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2 III

Contents Federal Register Vol. 61, No. 220

Wednesday, November 13, 1996

Agency for Health Care Policy and Research Education Department NOTICES NOTICES Nurse staffing; impact on quality of care in hospitals; Agency information collection activities: comment request, 58194–58195 Submission for OMB review; comment request, 58171– 58172 Agriculture Department Meetings: See Food and Consumer Service National Assessment Governing Board, 58172 See Forest Service See National Agricultural Statistics Service Employment and Training Administration NOTICES Air Force Department Adjustment assistance: NOTICES Rau Fastener Co., LLC, 58220 Base realignment and closure: United Technologies Automotive, Wiring Systems Surplus Federal property— Division, 58220–58221 O’Hare Air Reserve, IL, 58170 Adjustment assistance and NAFTA transitional adjustment assistance: Army Department A. P. Green Industries, Inc., et al., 58219–58220 See Engineers Corps Federal-State unemployment compensation program: RULES Federal Unemployment Tax Act certifications (1996); Real property: employer credits, 58221–58222 Real estate handbook; homeowners assistance program NAFTA transitional adjustment assistance: regulation rescinded, 58133 General Electric Co., 58222 NOTICES Seams Right et al., 58222–58223 Environmental statements; availability, etc.: Johnston Island in Pacific and Tooele, UT; non-stockpile Energy Department chemical warfare materiel containing chemical agent; See Energy Efficiency and Renewable Energy Office destruction; correction, 58281 See Energy Information Administration Meetings: See Federal Energy Regulatory Commission Armed Forces Epidemiological Board, 58170 NOTICES Meetings: Census Bureau Environmental Management Site-Specific Advisory NOTICES Board— Surveys, determinations, etc.: Idaho National Engineering Laboratory, 58174–58175 Company organization, 58166–58167 Kirtland Area Office (Sandia), 58172–58173 Oak Ridge Reservation, 58174 Plant capacity, 58167 Pantex Plant, TX, 58173–58174 Children and Families Administration Savannah River Site, 58173 RULES Energy Efficiency and Renewable Energy Office National Voter Registration Act of 1993; implementation, NOTICES 58140–58143 Consumer product test procedures; waiver petitions: General Electric Appliances, 58175–58176 Coast Guard RULES Energy Information Administration Dangerous cargoes: NOTICES Cargoes compatibility; CFR correction, 58143 Agency information collection activities: Submission for OMB review; comment request, 58176 Commerce Department See Census Bureau Engineers Corps See Export Administration Bureau NOTICES See National Oceanic and Atmospheric Administration Base realignment and closure: Surplus Federal property— Committee for the Implementation of Textile Agreements Fort Dix, NJ, 58170 NOTICES Environmental statements; availability, etc.: Cotton, wool, and man-made textiles: Dallas County et al., TX; Upper Trinity River feasibility Guatemala, 58169 study, 58171 Nepal, 58169–58170 Environmental Protection Agency Defense Department RULES See Air Force Department Air pollution control; new motor vehicles and engines: See Army Department Nonhandheld new nonroad phase 1 small spark-ignition See Engineers Corps engines, class I and II; carbon monoxide standard, See Navy Department 58296–58301 IV Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Contents

Air programs; fuels and fuel additives: Applications, hearings, determinations, etc.: Reformulated gasoline program; alternative analytical test Armstrong Energy Co., 58176 methods use, 58304–58306 Canyon Creek Compression Co., 58176–58177 Air quality implementation plans; approval and Colorado Interstate Gas Co., 58177 promulgation; various States: Copano Field Services/Copano Bay, L.P., 58177–58178 Arizona; correction, 58281 East Tennessee Natural Gas Co., 58178–58179 California, 58133–58134 Midwestern Natural Gas Co., 58179 Clean Air Act: Natural Gas Pipeline Co. of America, 58179 Special exemptions; American Samoa et al., 58284–58294 NorAm Gas Transmission Co., 58179–58180 Pesticides; tolerances in food, animal feeds, and raw Stingray Pipeline Co., 58180 agricultural commodities: Tennessee Gas Pipeline Co., 58180–58181 Propiconazole, 58135–58140 Trailblazer Pipeline Co., 58181 PROPOSED RULES Williams Natural Gas Co., 58182 Clean Air Act: Wyoming Interstate Co., Ltd., 58182–58183 Special exemptions; American Samoa et al., 58158 NOTICES Federal Maritime Commission Meetings: PROPOSED RULES Environmental Policy and Technology National Advisory Maritime carriers in foreign commerce: Council, 58188–58189 Conditions unfavorable to shipping, actions to adjust or Municipal solid waste disposal facilities; no-migration meet— petitions; guidance document, 58189 United States/Japan trade; port restrictions and Pesticides; emergency exemptions, etc.: requirements, 58160–58165 Dimethomorph, etc., 58189–58190 NOTICES Pesticides; experimental use permits, etc.: Freight forwarder licenses: Abbott Laboratories et al., 58190–58191 K.M. International et al., 58192

Executive Office of the President Federal Reserve System See Presidential Documents NOTICES Banks and bank holding companies: Export Administration Bureau Change in bank control, 58192 NOTICES Formations, acquisitions, and mergers, 58192–58193 Meetings: Permissible nonbanking activities, 58193 Regulations and Procedures Technical Advisory Meetings; Sunshine Act, 58193–58194 Committee, 58167 Federal Retirement Thrift Investment Board Farm Credit Administration NOTICES NOTICES Meetings; Sunshine Act, 58194 Meetings; Sunshine Act, 58191 Financial Management Service Federal Aviation Administration See Fiscal Service RULES Class E airspace, 58131 Fiscal Service PROPOSED RULES NOTICES Airworthiness directives: Book-entry Treasury securities held at Federal Reserve AlliedSignal Inc., 58148–58150 banks transfer; 1997 fee schedule, 58278 Avions Pierre Robin, 58145–58147 Rolls-Royce plc, 58147–58148 Fish and Wildlife Service Class E airspace, 58150–58151 NOTICES NOTICES Endangered and threatened species permit applications, Aviation safety data; availability and accessibility issues; 58209 paper availability, 58276–58277 Environmental statements; availability, etc.: Exemption petitions; summary and disposition, 58277– Incidental take permits— 58278 Butler County et al., AL; Red Hill’s salamander, 58209– 58210 Federal Emergency Management Agency NOTICES Food and Consumer Service Disaster and emergency areas: RULES California, 58191 Food stamp program: Maine, 58191–58192 Mickey Leland Childhood Hunger Relief Act; Massachusetts, 58192 implementation Correction, 58281 Federal Energy Regulatory Commission NOTICES Food and Drug Administration Electric rate and corporate regulation filings: PROPOSED RULES CMS Morocco Operating Co. SCA et al., 58183–58185 Food for human consumption: UGI Power Supply, Inc., et al., 58185–58188 Food labeling— Environmental statements; availability, etc.: Free glutamate content of foods; label information Pacific Gas & Electric Co., 58188 requirements, 58151–58152 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Contents V

NOTICES Fresh tomatoes from— Medical devices: Mexico, 58217–58218 Suction lipoplasty sytem for aesthetic body contouring; Global positioning system coarse acquisition code reclassification, 58195–58199 receivers and products containing same, 58218

Forest Service Labor Department PROPOSED RULES See Employment and Training Administration National Forest System timber; disposal and sale: See Occupational Safety and Health Administration Market-related contract term additions; indices See Pension and Welfare Benefits Administration Correction, 58281 NOTICES Agency information collection activities: Geological Survey Submission for OMB review; comment request, 58218– NOTICES 58219 Agency information collection activities: Proposed collection; comment request, 58210–58211 Land Management Bureau Meetings: PROPOSED RULES Federal Geographic Data Committee— Appeals and hearings procedures; revisions, 58160 Facilities working group, 58211 NOTICES Public land orders: Health and Human Services Department Oregon; correction, 58216 See Agency for Health Care Policy and Research See Children and Families Administration National Agricultural Statistics Service See Food and Drug Administration NOTICES See Health Care Financing Administration Agency information collection activities: See Public Health Service Proposed collection; comment request, 58166

Health Care Financing Administration National Archives and Records Administration RULES NOTICES National Voter Registration Act of 1993; implementation, Nixon Presidential historical materials; opening of 58140–58143 materials; correction, 58253 NOTICES Agency information collection activities: National Labor Relations Board Proposed collection; comment request, 58199–58201 NOTICES Submission for OMB review; comment request, 58200 Meetings; Sunshine Act, 58253

Housing and Urban Development Department National Oceanic and Atmospheric Administration NOTICES RULES Agency information collection activities: Oil Pollution Act: Proposed collection; comment request, 58200–58201 Natural resource damage assessments Submission for OMB review; comment request, 58207– Guidance documents availability, 58131–58133 58209 NOTICES Marine mammals: Indian Affairs Bureau Incidental taking; authorization letters, etc.— NOTICES Parker & Parsley Petroleum USA, Inc., et al., 58168 Indian entities recognized and eligible to receive services Meetings: from BIA; list, 58211–58216 Mid-Atlantic Fishery Management Council, 58168 Pacific Fishery Management Council, 58168–58169 Interior Department See Fish and Wildlife Service Navy Department See Geological Survey NOTICES See Indian Affairs Bureau Meetings: See Land Management Bureau Planning and Steering Advisory Committee, 58171

Internal Revenue Service Nuclear Regulatory Commission PROPOSED RULES NOTICES Income taxes: Meetings: Computer programs transactions; classification, 58152– Reactor Safeguards Advisory Committee, 58256–58257 58158 Meetings; Sunshine Act, 58257 NOTICES Petitions; Director’s decisions: Agency information collection activities: Blanch, Paul M., 58257–58261 Proposed collection; comment request, 58278–58279 Applications, hearings, determinations, etc.: Northeast Nuclear Energy Co., 58253–58256 International Trade Commission Texas Utilities Electric Co., 58256 NOTICES Import investigations: Occupational Safety and Health Administration Crawfish tail meat from— NOTICES China, 58216 Meetings: Cut-to-length carbon steel plate from— Occupational Safety and Health National Advisory China et al., 58216–58217 Committee, 58223–58224 VI Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Contents

Pension and Welfare Benefits Administration Thrift Supervision Office NOTICES PROPOSED RULES Employee benefit plans; class exemptions: Mutual savings and loan holding companies: Bank collective investment fund conversion transactions, Intermediate stock holding company establishment by 58224–58231 mutual holding company structure, 58144–58145 Employee benefit plans; prohibited transaction exemptions: NOTICES Dimensional Fund Advisors Inc. et al., 58231–58237 Applications, hearings, determinations, etc.: Morgan Stanley & Co. Inc. et al., 58237–58253 Advance Financial Savings Bank, f.s.b., 58279–58280 Empire Federal Savings & Loan Association of Presidential Documents Livingston, 58280 ADMINISTRATIVE ORDERS Weapons of mass destruction; continuation of emergency Transportation Department (Notice of November 12, 1996), 58309 See Coast Guard See Federal Aviation Administration Public Health Service See Surface Transportation Board See Agency for Health Care Policy and Research NOTICES See Food and Drug Administration Agency information collection activities: PROPOSED RULES Proposed collection; comment request, 58275–58276 Organ Procurement and Transplantation Network; operation framework and Federal oversight provisions: Treasury Department Human livers allocation policies, 58158–58160 See Fiscal Service Securities and Exchange Commission See Internal Revenue Service NOTICES See Thrift Supervision Office Self-regulatory organizations; proposed rule changes: American Stock Exchange, Inc., 58270–58271 National Association of Securities Dealers, Inc., 58271– Separate Parts In This Issue 58272 Pacific Stock Exchange, Inc., 58272–58274 Part II Applications, hearings, determinations, etc.: Environmental Protection Agency, 58284–58294 Alternative Investment Fund et al., 58261–58266 E. Acquisition Corp., 58266 Part III SunAmerica Series Trust et al., 58266–58269 Environmental Protection Agency, 58296–58301 T. Acquisition Corp., 58269–58270 United Vision Group, Inc., 58270 Part IV Small Business Administration Environmental Protection Agency, 58304–58306 NOTICES Disaster loan areas: Part V Florida et al., 58274–58275 The President, 58309 Massachusetts et al., 58275 New Hampshire, 58275 Reader Aids Statistical Reporting Service Additional information, including a list of public laws, See National Agricultural Statistics Service telephone numbers, reminders, and finding aids, appears in the Reader Aids section at the end of this issue. Surface Transportation Board NOTICES Railroad operation, acquisition, construction, etc.: Morris Leasing Co., Ltd., et al., 58278 Electronic Bulletin Board Free Electronic Bulletin Board service for Public Law Textile Agreements Implementation Committee numbers, Federal Register finding aids, and a list of See Committee for the Implementation of Textile documents on public inspection is available on 202–275– Agreements 1538 or 275–0920. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / 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.

3 CFR 3180...... 58160 3200...... 58160 Administrative Orders: 3240...... 58160 Notices: 3250...... 58160 Notice of November 3260...... 58160 12, 1996 ...... 58309 3280...... 58160 7 CFR 3410...... 58160 271...... 58281 3420...... 58160 272...... 58281 3430...... 58160 273...... 58281 3450...... 58160 3470...... 58160 12 CFR 3480...... 58160 Proposed Rules: 3500...... 58160 575...... 58144 3510...... 58160 14 CFR 3520...... 58160 71...... 58131 3530...... 58160 3540...... 58160 Proposed Rules: 3550...... 58160 39 (3 documents) ...... 58145, 3560...... 58160 58147, 58148 3590...... 58160 71...... 58150 3710...... 58160 15 CFR 3730...... 58160 990...... 58131 3740...... 58160 3800...... 58160 21 CFR 3810...... 58160 Proposed Rules: 3830...... 58160 101...... 58151 3870...... 58160 26 CFR 4200...... 58160 4300...... 58160 Proposed Rules: 4700...... 58160 1...... 58152 5000...... 58160 32 CFR 5470...... 58160 644...... 58133 5510...... 58160 8370...... 58160 36 CFR 9180...... 58160 Proposed Rules: 9230...... 58160 223...... 58281 45 CFR 40 CFR 205...... 58140 52 (2 documents) ...... 58133, 58281 46 CFR 69...... 58284 150...... 58143 80...... 58304 Proposed Rules: 90...... 58296 586...... 58160 180...... 58135 Proposed Rules: 69...... 58158 42 CFR 431...... 58140 Proposed Rules: 121...... 58158 43 CFR Proposed Rules: 1600...... 58160 1820...... 58160 1840...... 58160 1850...... 58160 1860...... 58160 1880...... 58160 2090...... 58160 2200...... 58160 2300...... 58160 2520...... 58160 2540...... 58160 2560...... 58160 2620...... 58160 2720...... 58160 2800...... 58160 2810...... 58160 2880...... 58160 2910...... 58160 2920...... 58160 3000...... 58160 3100...... 58160 3120...... 58160 3150...... 58160 3160...... 58160 58131

Rules and Regulations Federal Register Vol. 61, No. 220

Wednesday, November 13, 1996

This section of the FEDERAL REGISTER proceeding by submitting written § 71.1 [Amended] contains regulatory documents having general comments on the proposal to the FAA. 2. The incorporation by reference in applicability and legal effect, most of which No comments objecting to the proposal 14 CFR 71.1 of Federal Aviation are keyed to and codified in the Code of were received. Class E airspace Administration Order 7400.9D, Airspace Federal Regulations, which is published under designations are published in paragraph Designations and Reporting Points, 50 titles pursuant to 44 U.S.C. 1510. 6005 of FAA Order 7400.9D, dated dated September 4, 1996, and effective The Code of Federal Regulations is sold by September 4, 1996, and effective September 16, 1996, is amended as the Superintendent of Documents. Prices of September 16, 1996, which is follows: new books are listed in the first FEDERAL incorporated by reference in 14 CFR Paragraph 6005 Class E airspace areas REGISTER issue of each week. 71.1. The Class E airspace designation extending upward from 700 feet or more listed in this document will be above the surface of the earth. published subsequently in the Order. DEPARTMENT OF TRANSPORTATION * * * * * The rule AEA VA E5 Saluda, VA [New] Federal Aviation Administration This amendment to Part 71 of the Hummel Field Airport, VA (Lat. 37°36′01′′ N, 76°26′59′′ W) 14 CFR Part 71 Federal Aviation Regulations (14 CFR Part 71) establishes a Class E airspace That airspace extending upward from 700 [Airspace Docket No. 96±AEA±08] area at Saluda, VA. The development of feet above the surface within a 6-mile radius of Hummel Field Airport and within 4 miles a GPS RWY 1 SIAP at Hummel Field ° Establishment of Class E Airspace; Airport has made this action necessary. either side of the 176 bearing from the Saluda, VA Hummel Field Airport extending from the 6- The intended effect of this action is to mile radius to 9 miles south of the airport. provide adequate Class E airspace for AGENCY: Federal Aviation * * * * * aircraft executing the GPS RWY 1 SIAP Administration (FAA) DOT. Issued in Jamaica, New York on October at the airport. ACTION: Final rule. 25, 1996. The FAA has determined that this John S. Walker, SUMMARY: This action establishes Class regulation only involves an established Manager, Air Traffic Division, Eastern Region. body of technical regulations for which E airspace at Saluda, VA. The [FR Doc. 96–29071 Filed 11–12–96; 8:45 am] development of a Global Positioning frequent and routine amendment are BILLING CODE 4910±13±M System (GPS) Standard Instrument necessary to keep them operationally Approach Procedure (SIAP) to Hummel current. Therefore, this regulation (1) is Field Airport, Saluda, VA has made this not a ‘‘significant regulatory action’’ DEPARTMENT OF COMMERCE action necessary. The intended effect of under Executive Order 12866; (2) is not this action is to provide adequate a ‘‘significant rule’’ under DOT National Oceanic and Atmospheric controlled airspace for Instrument Flight Regulatory Policies and Procedures (44 Administration Rules (IFR) operations at Hummel Field FR 10034; February 26, 1979); and (3) Airport. does not warrant preparation of a 15 CFR Part 990 regulatory evaluation as the anticipated EFFECTIVE DATE: 0901 UTC. January 30, RIN 0648±AE13 1997. impact is so minimal. Since this is a routine matter that will only affect air FOR FURTHER INFORMATION CONTACT: Natural Resource Damage traffic procedures and air navigation, it Mr. Frances T. Jordan, Airspace Assessments is certified that this rule will not have Specialist, Operations Branch, AEA– significant economic impact on a AGENCY: National Oceanic and 530, Air Traffic Division, Eastern substantial number of small entities Atmospheric Administration (NOAA), Region, Federal Aviation under the criteria of the Regulatory Commerce. Administration, Federal Building #111, Flexibility Act. John F. Kennedy International Airport, ACTION: Notice of availability. Jamaica, New York 11430, telephone: List of Subjects in 14 CFR Part SUMMARY: Section 1006(e)(1) of the Oil (718) 553–4521. Airspace, Incorporation by reference, Pollution Act of 1990 requires the SUPPLEMENTARY INFORMATION: Navigation (air). President, acting through the Under Secretary of Commerce for Oceans and History Adoption of the Amendment Atmosphere, to promulgate regulations On September 17, 1996, the FAA In consideration of the foregoing, the for the assessments of natural resource proposed to amend Part 71 of the Federal Aviation Administration damages resulting from the discharge of Federal Aviation Regulations (14 CFR amends 14 CFR Part 71 as follows: oil. The National Oceanic and Part 71) by establishing a Class E Atmospheric Administration (NOAA) airspace area at Hummel Field Airport, PART 71Ð[AMENDED] promulgated final regulations on Saluda, VA (61 FR 48870). The January 5, 1996. As part of the development of a GPS RWY 1 SIAP at 1. The authority citation for 14 CFR development of the regulations, NOAA Hummel Field Airport has made this Part 71 continues to read as follows: has developed five natural resource action necessary. Authority: 49 U.S.C. 106(g), 40103, 40113, damage assessment guidance Interested parties were invited to 40120, EO 10854, 24 FR 9565, 3 CFR, 1959– documents. These documents are not participate in this rulemaking 1963 Comp., p. 389; 14 CFR 11.69. regulatory in nature, but are designed to 58132 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations provide guidance to natural resource now available in final form. The natural resources and compensate for trustees using the natural resource guidance documents are: interim lost services. This document damage assessment regulations. Natural Resource Damage Assessment does not direct the user in the selection DATES: The five guidance documents are Guidance Document: Preassessment Phase of specific procedures, but describes a available as of November 13, 1996. (Oil Pollution Act of 1990). National Oceanic logical, flexible, and cost-effective and Atmospheric Administration, Damage approach that can accommodate varied ADDRESSES: Written inquiries are to be Assessment and Restoration Program, Silver circumstances of incidents under OPA. submitted to: NOAA, Damage Spring, MD. Interested parties may obtain a Preassessment Phase: The purpose of Assessment Center, Attn: Eli Reinharz, copy of this document from the National the Preassessment Phase Guidance # 1305 East-West Highway, SSMC 4, N/ Technical Information Service, 5285 Port Document is to provide trustees with # ORCAx1, Workstation 10218, Silver Royal Road, Springfield, VA 22161; PB96– general guidance for early assessment Spring, MD 20910–3281. 199419; ph: (703) 487–4650. Natural Resource Damage Assessment activities required under the FOR FURTHER INFORMATION CONTACT: Eli Guidance Document: Injury Assessment (Oil Preassessment Phase of the OPA Reinharz, 1305 East-West Highway, Pollution Act of 1990). National Oceanic and regulations. The Preassessment Phase is SSMC #4, N/ORCAx1, Workstation Atmospheric Administration, Damage a preliminary fact-finding exercise that #10218, Silver Spring, MD 20910–3281, Assessment and Restoration Program, Silver provides the information to determine if phone: (301) 713–3038, ext. 193; Spring, MD. Interested parties may obtain a trustees have the jurisdiction to pursue facsimile: (301) 713–4387, e-mail: copy of this document from the National restoration under OPA, and, if so, [email protected]. Technical Information Service, 5285 Port whether it is appropriate to do so. The Royal Road, Springfield, VA 22161; PB96– information gained through SUPPLEMENTARY INFORMATION: The Oil 199427; ph: (703) 487–4650. Pollution Act of 1990 (OPA), 33 U.S.C. Natural Resource Damage Assessment preassessment activities should serve as 2701 et seq., provides for the prevention Guidance Document: Specifications for the foundation for a more detailed of, liability for, removal of, and Use of NRDAM/CME Version 2.4 to assessment of injuries to natural compensation for the discharge, or Generate Compensation Formula (Oil resources and services. Primary Restoration: The purpose of substantial threat of discharge, of oil Pollution Act of 1990). National Oceanic the Primary Restoration Guidance into or upon the navigable waters of the and Atmospheric Administration, Document is to provide trustees with a United States, adjoining shorelines, or Damage Assessment and Restoration review of the state of the art for the Exclusive Economic Zone. Section Program, Silver Spring, MD. Interested restoration of certain habitats and 1006(e) requires the President, acting parties may obtain a copy of this biological natural resources and an through the Under Secretary of document from the National Technical evaluation of potential restoration Commerce of Oceans and Atmosphere, Information Service, 5285 Port Royal actions following injury to natural to develop regulations establishing Road, Springfield, VA 22161; PB96– resources resulting from incidents. This procedures for natural resource trustees 199435; ph: (703) 487–4650. document focuses on the procedures Natural Resource Damage Assessment to use in the assessment of damages for that may be used to restore or replace injury to, destruction of, loss of, or loss Guidance Document: Primary Restoration (Oil Pollution Act of 1990). National Oceanic natural resources injured as a result of of use of natural resources covered by an oil incident. The guidance in this OPA. The National Oceanic and and Atmospheric Administration, Damage Assessment and Restoration Program, Silver document is meant to summarize Atmospheric Administration (NOAA) Spring, MD. Interested parties may obtain a existing information and methods so published the final natural resource copy of this document from the National that informed decisions can be made in damage assessment regulations on Technical Information Service, 5285 Port the restoration planning and January 5, 1996 (61 FR 440). A major Royal Road, Springfield, VA 22161; PB96– implementation process. goal of OPA is to make the environment 199443; ph: (703) 487–4650. Restoration Planning: The purpose of and public whole for injury to natural Natural Resource Damage Assessment the Restoration Planning Guidance Guidance Document: Restoration Planning resources and their services as a result Document is to provide trustees with of an incident. The OPA regulations (Oil Pollution Act of 1990). National Oceanic and Atmospheric Administration, Damage general guidance for developing provide a framework for conducting Assessment and Restoration Program, Silver restoration plans under OPA that sound natural resource damage Spring MD. Interested parties may obtain a comply with the National assessments that achieve this OPA goal. copy of this document from the National Environmental Policy Act (NEPA) Under the regulations, assessments are Technical Information Service, 5285 Port procedural requirements. Federal conducted in the open, with responsible Royal Road, Springfield, VA 22161; PB96– agencies who must comply with the parties and the public involved in the 199450; ph: (703) 487–4650. requirements of NEPA are encouraged to planning process so that restoration may Although the guidance documents integrate those requirements with the be achieved more quickly, transaction were prepared primarily to provide restoration planning procedures costs may decrease, and litigation may guidance to natural resource trustees required by OPA. Therefore, the focus of be avoided. Restoration plans developed using the OPA regulations, other this document is to more fully describe with input from the public and interested persons may also find the the processes and products required for responsible parties form the basis of a information contained in these restoration planning under the OPA claim for natural resource damages, documents useful. regulations and how the NEPA with final restoration plans presented to Injury Assessment: The purpose of the requirements can be integrated into the responsible parties for funding or Injury Assessment Guidance Document OPA process. implementation. is to provide trustees with general Specifications for Use of NRDAM/ NOAA also has developed guidance approaches for identifying and CME Version 2.4 to Generate documents as part of, and in support of, evaluating injuries to natural resources Compensation Formulas: The purpose the rulemaking effort. Five guidance resulting from incidents. This document of the Specifications for Use of NRDAM/ documents were made available in draft provides guidance on conducting injury CME Version 2.4 to Generate form when the OPA regulations were assessment studies based upon careful Compensation Formulas document is to first proposed January 7, 1994 (59 FR consideration of preassessment provide trustees with guidance and data 1061). These guidance documents are information and the need to restore to use with the Natural Resource Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58133

Damage Assessment Model for Coastal SUPPLEMENTARY INFORMATION: Pursuant (MDAQMD or the District). This and Marine Environments (NRDAM/ to its authorities in section 1013 of approval action will incorporate these CME), Version 2.4, developed by the Public Law 89–754, as amended and rules into the federally approved SIP. Department of the Interior. Using the DoD Directive 4165.50, The Corps The intended effect of approving these NRDAM/CME Version 2.4 and the removes and reserves 32 CFR, Part 644, rules is to regulate air pollution in information contained in this document, Subpart E. accordance with the requirements of the trustees will have a simplified, cost- Clean Air Act, as amended in 1990 Economic Assessment and Certification effective tool to use in estimating (CAA or the Act). The rules control expected impacts of most incidents This deletion is issued with respect to emissions of air pollutants from new involving oil. This information also can the administration of the Homeowners and modified stationary sources. Thus, be used to evaluate the possible Assistance Program. There will be no EPA is finalizing the approval of these development of a simplified method, negative impacts on potential applicants rules into the California SIP under such as a compensation formula, that to the Homeowners Assistance Program provisions of the CAA regarding EPA could be developed through the use of and no impacts on small businesses or action on SIP submittals, SIPs for the NRDAM/CME Version 2.4. governments in the areas of the national primary and secondary ambient NOAA plans to have these documents approved programs. air quality standards and plan available on the Internet at http:// I hereby certify the deletion of this requirements for nonattainment areas. www.darcnw.noaa.gov/opa.htm and on subpart will have no significant impact EFFECTIVE DATE: This action is effective CD–ROM by the end of the calendar on a substantial number of small on December 13, 1996. year. NOAA would appreciate any entities. suggestion on how these documents ADDRESSES: Copies of the submitted could be made more practical and List of Subjects in 32 CFR Part 644 rules and EPA’s evaluation report are useful in the future. Persons wishing to Administrative practice and available for public inspection at EPA’s make any suggestions are referred to the procedure, Government employees, and Region IX office during normal business address at the front of this Notice. Military personnel. hours. Copies of the submitted rules are available for inspection at the following Dated: November 7, 1996. Accordingly, part 644 of title 32 Code locations: Terry D. Garcia, of Federal Regulations is amended as set General Counsel. forth below: New Source Section (A–5–1), Air and Toxics Division, U.S. Environmental [FR Doc. 96–29047 Filed 11–12–96; 8:45 am] PART 644Ð[AMENDED] Protection Agency, Region IX, 75 BILLING CODE 3510±12±M Hawthorne Street, San Francisco, CA 1. The authority citation for part 644 94105. continues to read as follows: Environmental Protection Agency, Air DEPARTMENT OF DEFENSE Authority: 5 U.S.C. 301; 10 U.S.C. 3012, Docket (6102), 401 ‘‘M’’ Street, SW., unless otherwise noted. Department of the Army Washington, DC 20460. Mojave Desert AQMD, 15428 Civic Subpart EÐ[Removed and Reserved] 32 CFR Part 644 Drive, suite 200, Victorville, CA 2. Subpart E, consisting of §§ 644.181 92932. Real Estate Handbook through 644.242, is removed and Air Resources Board, 2020 L Street, Sacramento, CA 95814. AGENCY: U.S. Army Corps of Engineers, reserved. DoD. Gregory D. Showalter, FOR FURTHER INFORMATION CONTACT: ACTION: Final rule. Army Federal Register Liaison Officer. Steve Ringer, Permits Office, Air [FR Doc. 96–28990 Filed 11–12–96; 8:45 am] Division, U.S. Environmental Protection SUMMARY: The Corps of Engineers has BILLING CODE 3710±92±M Agency, Region IX, 75 Hawthorne rescinded Subpart E—Homeowners Street, San Francisco, CA 94105, Assistance Program. The Homeowners Telephone: (415) 744–1260. Assistance Program has undergone SUPPLEMENTARY INFORMATION: substantial revision in the last few years ENVIRONMENTAL PROTECTION since the enactment of Appendix E, AGENCY Background Defense Authorization Amendments 40 CFR Part 52 On October 31, 1995 at 60 FR 55355, and Base Closure and Realignment Act EPA proposed to approve MDAQMD of 1988 (Public Law 100–526). As [CA 079±3±002; FRL±5640±2] rules 1301–1308, and 1310–1312 into published, subpart E bears no the California SIP, contingent upon the resemblance to the internal Engineer Approval and Promulgation of Implementation Plans; California State District’s adoption (and submittal as a Regulation (ER) 405–1–12, Chapter 7. It SIP revision) of corrections to a number is anticipated that ER 405–1–12 will Implementation Plan Revision, Mojave Desert Air Quality Management District of deficiencies in the rules. On March continue to be revised as needed to 25, 1996, MDAQMD adopted the better serve the interests of applicants AGENCY: Environmental Protection following rules as the corrections under the program. Copies of ER 405– Agency (EPA). required in the October 1995 proposed 1–12 may be obtained by contacting any ACTION: Final rule. approval: MDAQMD Rule 1300, Corps of Engineers District office having General; MDAQMD Rule 1301, responsibility for the Homeowners SUMMARY: EPA is finalizing the approval Definitions; MDAQMD Rule 1302, Assistance Program. of revisions to the California State Procedure; MDAQMD Rule 1303, EFFECTIVE DATES: November 13, 1996. Implementation Plan (SIP) proposed in Requirements; MDAQMD Rule 1304, ADDRESSES: HQUSACE, ATTN: CERE– the Federal Register on October 31, Emissions Calculations; MDAQMD Rule RP, Washington, DC 20314–1000. 1995. The revisions concern new source 1305, Emission Offsets; MDAQMD Rule FOR FURTHER INFORMATION CONTACT: Mr. review (NSR) rules from the Mojave 1306, Electric Energy Generating John F. Downey at (202) 761–8987. Desert Air Quality Management District Facilities. On March 25, 1996, 58134 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations

MDAQMD also rescinded rules 1307– EPA Action General of the General Accounting 1313 and incorporated the substantive EPA is finalizing action to approve Office prior to publication of the rule in provisions of those rules into rules rules 1300–1306 as described above for today’s Federal Register. This rule is 1300–1306. Rules 1300–1306 (adopted) inclusion into the California SIP, and to not a ‘‘major rule’’ as defined by 5 and rules 1307–1313 (rescinded) were rescind the proposed approval of rules U.S.C. 804(2). submitted by the California Air 1307, 1308, and 1310–1312, as This action has been classified as a Resources Board to EPA on July 23, described above. EPA is approving the Table 3 action for signature by the 1996, as an amendment to the SIP (rules submittal under section 110(k)(3) as Regional Administrator under the 1300–1306, as submitted on July 23, meeting the requirements of section procedures published in the Federal 1996, will hereafter be referred to as 110(a) and part D of the CAA. This Register on January 19, 1989 (54 FR ‘‘the submitted rules’’). In the technical approval action will incorporate the 2214–2225), as revised by a July 10, support document (TSD) that EPA submitted rules into the federally 1995, memorandum from Mary Nichols, prepared for the October 1995 proposed approved SIP. The intended effect of Assistant Administrator for Air and approval, EPA discussed the approving these rules is to regulate Radiation. The Office of Management consolidation of the substantive emissions of air pollution in accordance and Budget (OMB) has exempted this portions of rules 1307–1313 into rules with the requirements of the CAA. regulatory action from Executive Order 1300–1306, and the manner in which Nothing in this action should be 12866 review. rules 1300–1306 would, upon construed as permitting or allowing or List of Subjects in 40 CFR Part 52 consolidation, contain all of the establishing a precedent for any future necessary NSR elements and make all of request for revision to any state Environmental protection, Air the corrections necessary for final SIP implementation plan. Each request for approval. pollution control, Hydrocarbons, revision to the SIP shall be considered Incorporation by reference, EPA has evaluated the submitted separately in light of specific technical, Intergovernmental relations, Ozone, rules to ensure that these rules contain economic, and environmental factors Reporting and recordkeeping the changes that were listed as and in relation to relevant statutory and requirements, Volatile organic contingencies for final approval in the regulatory requirements. compounds. October 1995 proposed approval. The submitted rules contain the changes Unfunded Mandates Note: Incorporation by reference of the necessary for approval, in a manner that Under sections 202, 203, and 205 of State Implementation Plan for the State of is identical to that described in the TSD the Unfunded Mandates Reform Act of California was approved by the Director of for the proposed approval. Because the 1995 (‘‘Unfunded Mandates Act’’), the Federal Register on July 1, 1982. submitted rules meet the contingencies signed into law on March 22, 1995, EPA Dated: September 16, 1996. for final approval, EPA is now must undertake various actions in Felicia Marcus, promulgating final approval of rules association with proposed or final rules Regional Administrator. 1300–1306, as submitted on July 23, that include a Federal mandate that may 1996. EPA is also rescinding the result in estimated costs of $100 million Part 52, chapter I, title 40 of the Code proposed approval of rules 1307, 1308, or more to the private sector or to State, of Federal Regulations is amended as 1310, 1311, and 1312, because the local, or tribal governments in the follows: substantive portions of these rules have aggregate. been consolidated in the submitted Through submission of this state PART 52Ð[AMENDED] rules. implementation plan revision, the State For a detailed description of how the and any affected local or tribal 1. The authority citation for part 52 submitted rules contain the changes that governments have elected to adopt the continues to read as follows: were listed as contingencies for final program provided for under part D of Authority: 42 U.S.C. 7401–7671q. approval in the October 1995 proposed the Clean Air Act. These rules may bind approval, please see the TSD for the State, local, and tribal governments to Subpart FÐCalifornia proposed approval. The TSD for the perform certain actions and also require proposed approval is available at EPA’s the private sector to perform certain 2. Section 52.220 is amended by Region IX office at the location listed duties. The rules being approved by this adding paragraph (c)(239) to read as under the Addresses section of this action will impose no new requirements follows: Federal Register document. because affected sources are already § 52.220 Identification of plan. EPA has also evaluated the submitted subject to these regulations under State rules for consistency with the law. Therefore, no additional costs to * * * * * requirements of sections 172 and 173 of State, local, or tribal governments or to (c) * * * the CAA and EPA’s NSR regulations at the private sector result from this action. (239) New and amended regulations 40 CFR 51.160 through 51.165. EPA has EPA has also determined that this final for the following APCDs were submitted found that the rules meet the applicable action does not include a mandate that on July 23, 1996, by the Governor’s EPA requirements. A detailed may result in estimated costs of $100 designee: discussion of the rule provisions and million or more to State, local, or tribal evaluations has been provided in the governments in the aggregate or to the (i) Incorporation by reference. TSD for the proposed approval. private sector. (A) Mojave Desert Air Quality Under 5 U.S.C. 801(a)(1)(A) as added Response to Public Comments Management District. by the Small Business Regulatory (1) Rules 1300–1306, adopted on A 30-day public comment period was Enforcement Fairness Act of 1996, EPA March 25, 1996. published in the Federal Register on submitted a report containing this rule October 31, 1995 at 60 FR 55355. EPA and other required information to the * * * * * received no comments on the proposed U.S. Senate, the U.S. House of [FR Doc. 96–28477 Filed 11–12–96; 8:45 am] approval of these rules. Representatives and the Comptroller BILLING CODE 6560±50±P Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58135

40 CFR Part 180 sending electronic mail (e-mail) to: opp- residue, including all anticipated [email protected]. Copies of dietary exposures and all other [OPP±300441; FRL±5572±9] objections and hearing requests must be exposures for which there is reliable RIN 2070±AB78 submitted as an ASCII file avoiding the information.’’ This includes exposure use of special characters and any form through drinking water, but does not Propiconazole; Pesticide Tolerances of encryption. Copies of objections and include occupational exposure. Section for Emergency Exemptions hearing requests will also be accepted 408(b)(2)(C) requires EPA to give special on disks in WordPerfect 5.1 file format consideration to exposure of infants and AGENCY: Environmental Protection or ASCII file format. All copies of children to the pesticide chemical Agency (EPA). objections and hearing requests in residue in establishing a tolerance and ACTION: Final rule. electronic form must be identified by to ‘‘ensure that there is a reasonable the docket number [OPP–300441]. No certainty that no harm will result to SUMMARY: This regulation establishes Confidential Business Information (CBI) infants and children from aggregate time-limited tolerances for combined should be submitted through e-mail. exposure to the pesticide chemical residues of the fungicide propiconazole Electronic copies of objections and residue. . . .’’ Section 408(b)(2)(D) in or on the raw agricultural commodity hearing requests on this rule may be specifies factors EPA is to consider in sorghum in connection with EPA’s filed online at many Federal Depository establishing a tolerance. Section granting of an emergency exemption Libraries. 408(b)(3) requires EPA to determine that under section 18 of the Federal FOR FURTHER INFORMATION CONTACT: By there is a practical method for detecting Insecticide, Fungicide, and Rodenticide mail: Stephen Schaible, Registration and measuring levels of the pesticide Act authorizing use of propiconazole on Division (7505W), Environmental chemical residue in or on food and that sorghum in Texas. This regulation Protection Agency, 401 M St., SW., the tolerance be set at a level at or above establishes maximum permissible levels Washington, DC 20460. Office location, the limit of detection of the designated for residues of propiconazole in this telephone number, and e-mail address: method. Section 408(b)(4) requires EPA food pursuant to section 408(l)(6) of the Sixth Floor, Crystal Station #1, 2800 to determine whether a maximum Federal Food, Drug, and Cosmetic Act, Jefferson Davis Highway, Arlington, VA residue level has been established for as amended by the Food Quality 22202, (703) 308–8337, e-mail: the pesticide chemical by the Codex Protection Act of 1996. The tolerances [email protected]. Alimentarius Commission. If so, and will expire and be revoked EPA does not propose to adopt that SUPPLEMENTARY INFORMATION: EPA, on automatically without further action by level, EPA must publish for public its own initiative, pursuant to section EPA on October 31, 1998. comment a notice explaining the 408(e) and (l)(6) of the Federal Food, reasons for departing from the Codex DATES: This regulation becomes Drug, and Cosmetic Act (FFDCA), 21 effective November 13, 1996. This level. Section 408(c) governs EPA’s U.S.C. 346a(e) and (l)(6), is establishing establishment of exemptions from the regulation expires and is revoked tolerances for residues of the fungicide automatically without further action by requirement for a tolerance using the propiconazole, 1-[[2-(2,4- same safety standard as section EPA on October 31, 1998. Objections dichlorophenyl)-4-propyl-1,3-dioxolan- and requests for hearings must be 408(B)(2)(A) and incorporating the 2-yl]methyl]-1H-1,2,4-triazole, in or on provisions of section 408(b)(2)(C) and received by EPA on or before January grain sorghum at 0.1 part per million 13, 1997. (D). (ppm) and grain sorghum stover at 1.5 Section 18 of FIFRA authorizes EPA ADDRESSES: Written objections and ppm. These tolerances will expire and to exempt any Federal or State agency hearing requests, identified by the be revoked automatically without from any provision of FIFRA, if EPA docket control number, [OPP–300441], further action by EPA on October 31, determines that ‘‘emergency conditions must be submitted to: Hearing Clerk 1998. exist which require such exemption.’’ (1900), Environmental Protection I. Background and Statutory Authority This provision was not amended by Agency, Rm. M3708, 401 M St., SW., FQPA. EPA has established regulations Washington, DC 20460. Fees The Food Quality Protection Act of governing such emergency exemptions accompanying objections and hearing 1996 (FQPA) (Pub. L. 104–170) was in 40 CFR part 166. Generally, these requests shall be labeled ‘‘Tolerance signed into law August 3, 1996. FQPA regulations allow a State or Federal Petition Fees’’ and forwarded to: EPA amends both the Federal Food, Drug, agency to apply for an exemption to Headquarters Accounting Operations and Cosmetic Act (FFDCA), 21 U.S.C. allow use of a pesticide for which that Branch, OPP (Tolerance Fees), P.O. Box 301 et seq., and the Federal Insecticide, pesticide is not registered to alleviate an 360277M, Pittsburgh, PA 15251. A copy Fungicide, and Rodenticide Act emergency condition. The regulations of any objections and hearing requests (FIFRA), 7 U.S.C. 136 et seq. The FQPA set forth information requirements, filed with the Hearing Clerk identified amendments went into effect procedures, and standards for EPA’s by the document control number, [OPP– immediately. Among other things, approval or denial of such exemptions. 300441], must also be submitted to: FQPA amends FFDCA to bring all EPA Prior to FQPA, when EPA granted an Public Response and Program Resources pesticide tolerance-setting activities emergency exemption under section 18 Branch, Field Operations Division under a new section 408 with a new in connection with use of a pesticide (7506C), Office of Pesticide Programs, safety standard and new procedures. that could result in residues of the Environmental Protection Agency, 401 New section 408(b)(2)(A)(i) allows pesticide chemical in or on food, EPA M St., SW., Washington, DC 20460. In EPA to establish a tolerance (the legal did not establish a tolerance or person, bring a copy of objections and limit for a pesticide chemical residue in exemption from the requirement for a hearing requests to Rm. 1132, CM #2, or on a food) only if EPA determines tolerance under FFDCA. Rather, EPA 1921 Jefferson Davis Hwy., Arlington, that the tolerance is ‘‘safe.’’ Section advised the Food and Drug VA. 408(b)(2)(A)(ii) defines ‘‘safe’’ to mean Administration (FDA) of the emergency A copy of objections and hearing that ‘‘there is a reasonable certainty that exemption and of the level of residues requests filed with the Hearing Clerk no harm will result from aggregate that EPA concluded would be present in may also be submitted electronically by exposure to the pesticide chemical or on affected foods as a result of the 58136 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations emergency use. However, new section soon summarizing the requirements of ensure that food containing pesticide 408(l)(6) requires EPA to establish a FQPA, indicating how EPA intends to residues as a result of use under an time-limited tolerance or exemption meet those requirements, and describing emergency exemption will not be from the requirement for a tolerance for actions necessary to assure that EPA considered ‘‘adulterated.’’ pesticide chemical residues in food that complies with the law. EPA intends to In deciding to continue to act on will result from the use of a pesticide promulgate the procedural rule required section 18 emergency exemptions and to under an emergency exemption granted under section 408(l)(6) by August 3, issue the associated tolerances and by EPA under section 18 of FIFRA. 1997, but EPA also intends to continue exemptions early in the process of Section 408(l)(6) also requires EPA to to grant appropriate section 18 FQPA implementation, EPA recognizes promulgate regulations by August 3, emergency exemptions and issue the that it will be necessary to make 1997, governing the establishment of associated tolerances and exemptions in decisions about the new FFDCA section tolerances and exemptions under the interim pending promulgation of 408, including the new safety standard. section 408(l)(6) and requires that the that rule. EPA also intends to issue In establishing section 18-related regulations be consistent with section interim guidance to States and others on tolerances and exemptions during this 408(b)(2) and (c)(2) and FIFRA section how EPA will implement section 18 of interim period before EPA issues the 18. FIFRA and section 408(l)(6) in the near section 408(l)(6) procedural regulation Section 408(e) gives EPA general future. and before EPA makes its broad policy authority to establish tolerances and EPA intends to address how it will decisions concerning the interpretation and implementation of the new section exemptions from the requirement for a provide an expiration date for section tolerance through notice and comment 408, EPA does not intend to set 408(l)(6) tolerances and exemptions in rulemaking procedures upon EPA’s precedents for the application of section the general procedural rule to be initiative. Section 408(l)(6) allows EPA 408 and the new safety standard to other promulgated by August 3, 1997. In the to establish tolerances or exemptions tolerances and exemptions. Rather, interim, EPA has decided to proceed as from the requirement for a tolerance, in these early section 18 tolerance and follows. Section 408(l)(5) specifies that, connection with EPA’s granting of exemption decisions will be made on a if a tolerance or exemption from the FIFRA section 18 emergency case-by-case basis and will not bind requirement for a tolerance for a exemptions, without providing notice or EPA as it proceeds with further pesticide chemical residue in or on a a period for public comment. Thus, rulemaking and policy development. food has been revoked under section consistent with the need to act EPA intends to act on section 18-related expeditiously on requests for emergency 408, food containing the residue is not tolerances and exemptions that clearly exemptions under FIFRA, EPA can unsafe (and thus subject to action by qualify under the new law. establish such tolerances or exemptions FDA as ‘‘adulterated’’) if ‘‘the residue is II. Emergency Exemption for under the authority of section 408(e) present as the result of an application or Propiconazole on Sorghum and FFDCA and (l)(6) without notice and comment use of a pesticide at a time and in a Tolerances rulemaking. The other procedures set manner that was lawful’’ under FIFRA out in section 408(e) and (g) are and ‘‘the residue does not exceed a level On September 4, 1996, the Texas applicable to these tolerances and that was authorized at the time of that Department of Agriculture availed of exemptions. Tolerances and exemptions application or use to be present on the itself the authority to declare the issued under section 408(l)(6) must be food under a tolerance. . . .’’ Taking existence of a crisis situation within the consistent with the safety standards in section 408(l)(5) and (6) together, EPA state, thereby authorizing use under section 408(b)(2) and (c)(2), has concluded that the best way to effect FIFRA section 18 of propiconazole on respectively, that are applicable to all an ‘‘expiration date’’ during this interim sorghum for control of northern leaf tolerances and exemptions under period for a tolerance or exemption blight. Texas stated that unusually wet section 408, and with FIFRA section 18. established in connection with EPA’s weather conditions this summer have Section 408(l)(6) specifies that such grant of a FIFRA section 18 emergency resulted in an increase of this disease tolerances and exemptions must have an exemption is to specify that the above normally occurring levels. It is expiration date but does not specify tolerance or exemption will expire and estimated that as much as 90% of all the how EPA is to set such an expiration be revoked automatically, without world’s grain sorghum grown for seed date. further action by EPA, as of a specified production is grown in the requested In light of FQPA, EPA is engaged in date. That date will generally be site of this section 18 application. Due an intensive process, including approximately 1 year from the date of to the high market prices for grain consultation with registrants, States, issuance of the emergency exemption. sorghum, acreage has increased this last and other interested stakeholders, to Under section 408(l)(5), food that year and reserves of certified seed for make decisions on the new policies and contains residues of the pesticide planting have been exhausted. If procedures that will be appropriate as a chemical as a result of lawful use under northern leaf blight significantly result of enactment of FQPA. This the terms of the section 18 emergency reduces yield and seed quality of the process will generally delay the review exemption, and at levels that are sorghum grown for seed in this area, of food use applications, particularly authorized at the time of that there may not be enough available seed those involving exposure to children. application or use under the tolerance for planting in the 1997 season. This However, recognizing the importance of or exemption that was established under could result in an economic disaster FIFRA section 18 emergency section 408(l)(6) in connection with the affecting grain sorghum producers exemptions and their time sensitive section 18 action, would remain lawful everywhere. nature, EPA will continue to process after the tolerance or exemption is As part of its assessment of this crisis section 18 applications for food uses automatically revoked. EPA believes declaration, EPA assessed the potential which clearly are emergencies and that handling the section 18-related risks presented by residues of which clearly are consistent with the tolerances and exemptions in this propiconazole in or on sorghum. In new FFDCA section 408 safety standard manner will allow EPA to respond doing so, EPA considered the new safety and with FIFRA section 18. EPA will promptly to emergency conditions standard in FFDCA section 408(b)(2), issue a notice in the Federal Register during this interim period and will and EPA decided to grant the section 18 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58137 exemptions only after concluding that determined, which provides a dose that commodity by the tolerance level or the the necessary tolerances under FFDCA causes adverse effects (threshold effects) anticipated pesticide residue level. The section 408(l)(6) would clearly be and doses causing no observed effects Theoretical Maximum Residue consistent with the new safety standard (the ‘‘no-observed effect level’’ or Contribution (TMRC) is an estimate of and with FIFRA section 18. These ‘‘NOEL’’). the level of residues consumed daily if tolerances for propiconazole will permit Once a study has been evaluated and each food item contained pesticide the marketing of sorghum treated in the observed effects have been residues equal to the tolerance. The accordance with the provisions of the determined to be threshold effects, EPA TMRC is a ‘‘worst case’’ estimate since section 18 emergency exemptions. generally divides the NOEL from the it is based on the assumptions that food Consistent with the need to move study with the lowest NOEL by an contains pesticide residues at the quickly on the emergency exemptions uncertainty factor (usually 100 or more) tolerance level and that 100 percent of and to ensure that the resulting food is to determine the Reference Dose (RfD). the crop is treated by pesticides that safe and lawful, EPA is issuing these The RfD is a level at or below which have established tolerances. If the tolerances without notice and daily aggregate exposure over a lifetime TMRC exceeds the RfD or poses a opportunity for public comment under will not pose appreciable risks to lifetime cancer risk that is greater than section 408(e) as provided in section human health. An uncertainty factor approximately one in a million, EPA 408(l)(6). Although these tolerances will (sometimes called a ‘‘safety factor’’) of attempts to derive a more accurate expire and be revoked automatically 100 is commonly used since it is exposure estimate for the pesticide by without further action by EPA on assumed that people may be up to 10 evaluating additional types of October 31, 1998, under FFDCA section times more sensitive to pesticides than information (anticipated residue data 408(l)(5), residues of propiconazole not the test animals, and that one person or and/or percent of crop treated data) in excess of the amounts specified in the subgroup of the population (such as which show, generally, that pesticide tolerances remaining in or on sorghum infants and children) could be up to 10 residues in most foods when they are after that date will not be unlawful, times more sensitive to a pesticide than eaten are well below established provided the pesticide is applied during another. In addition, EPA assesses the tolerances. the term of, and in accordance with all potential risks to infants and children IV. Aggregate Risk Assessment and the conditions of, the emergency based on the weight of the evidence of Determination of Safety exemptions. EPA will take action to the toxicology studies and determines revoke these tolerances earlier if any whether an additional uncertainty factor Consistent with section 408(b)(2)(D), experience with, scientific data on, or is warranted. Thus, an aggregate daily EPA has reviewed the available other relevant information on this exposure to a pesticide residue at or scientific data and other relevant pesticide indicate that the residues are below the RfD (expressed as 100 percent information in support of this action. not safe. or less of the RfD) is generally Propiconazole is already registered by EPA has not made any decisions considered by EPA to pose a reasonable EPA for use on apricots, bananas, about whether propiconazole meets the certainty of no harm. barley, celery, corn, grass, nectarines, requirements for registration under Lifetime feeding studies in two peaches, peanuts, pecans, pineapple, FIFRA section 3 for use on sorghum, or species of laboratory animals are plums, rice, rye, wheat, and wild rice whether a permanent tolerance for conducted to screen pesticides for (see 40 CFR 180.434 for specific propiconazole for sorghum would be cancer effects. When evidence of tolerances). Tolerances exist for meat, appropriate. This action by EPA does increased cancer is noted in these milk, poultry and eggs to address the not serve as a basis for registration of studies, the Agency conducts a weight potential for secondary residues propiconazole by a State for special of the evidence review of all relevant resulting from the use of treated local needs under FIFRA section 24(c). toxicological data including short term commodities as feed. Secondary Nor does this action serve as the basis and mutagenicity studies and structure residues in animal commodities from for any State other than Texas to use activity relationship. Once a pesticide this section 18 use, resulting from the this product on this crop under section has been classified as a potential human use of grain sorghum stover as feed, are 18 of FIFRA without following all carcinogen, different types of risk not expected to exceed existing provisions of section 18 as identified in assessments (e.g., linear low dose tolerances. At this time, EPA is not in 40 CFR part 166. For additional extrapolations or margin of exposure possession of a registration application information regarding the emergency calculation based on the appropriate for propiconazole on sorghum. exemptions for propiconazole, contact NOEL) will be carried out based on the However, based on information the Agency’s Registration Division at the nature of the carcinogenic response and submitted to the Agency, EPA has address provided above. the Agency’s knowledge of its mode of sufficient data to assess the hazards of action. propiconazole and to make a III. Risk Assessment and Statutory In examining aggregate exposure, determination on aggregate exposure, Findings FFDCA section 408 requires that EPA consistent with section 408(b)(2), for a EPA performs a number of analyses to take into account available and reliable time-limited tolerance for residues of determine the risks from aggregate information concerning exposure from propiconazole on grain sorghum at 0.1 exposure to pesticide residues. First, the pesticide residue in the food in ppm and grain sorghum stover at 1.5 EPA determines the toxicity of question, residues in other foods for ppm. EPA’s assessment of the dietary pesticides based primarily on which there are tolerances, and other exposures and risks associated with toxicological studies using laboratory non-occupational exposures, such as establishing these tolerances follows. animals. These studies address many where residues leach into groundwater adverse health effects, including (but or surface water that is consumed as A. Toxicological Profile not limited to) reproductive effects, drinking water. Dietary exposure to 1. Chronic toxicity. Based on the developmental toxicity, toxicity to the residues of a pesticide in a food available chronic toxicity data, EPA has nervous system, and carcinogenicity. commodity are estimated by established the RfD for propiconazole at For many of these studies, a dose multiplying the average daily 0.013 milligrams(mg)/kilogram(kg)/day. response relationship can be consumption of the food forms of that This RfD is based on a 1 year dog 58138 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations feeding study with a NOEL of 1.25 mg/ health advisory levels have been would be present at tolerance level on kg/day and an uncertainty factor of 100. established for propiconazole. all food eaten that day for which The uncertainty factor of 100 was The Agency does not have available propiconazole tolerances exist, as is applied to account for inter-species data to perform a quantitative drinking assumed in the acute dietary risk extrapolation (10) and intra-species water risk assessment for propiconazole analysis, and on the lawn that same day. variability (10). Mild irritation of the at this time. Previous experience with Because the acute dietary exposure gastric mucosa was the effect observed more persistent and mobile pesticides estimate assumes tolerance level at the lowest effect level (LEL) of 6.2 for which there have been available data residues and 100% crop treated for all mg/kg/day. to perform quantitative risk assessments crops evaluated it is a large over- 2. Acute toxicity. Agency toxicologists have demonstrated that drinking water estimate of exposure and it is have recommended that the exposure is typically a small percentage considered to be protective of any acute developmental NOEL of 30 mg/kg/day of the total exposure when compared to exposure scenario. from the rat developmental toxicity the total dietary exposure. This At this time, the Agency has not made study be used for acute dietary risk observation holds even for pesticides a determination that propiconazole and calculations. The LEL of 90 mg/kg/day detected in wells and drinking water at other substances that may have a is based on the increased incidence of levels nearing or exceeding established common mode of toxicity would have unossified sternebrae, rudimentary ribs, MCLs. Based on this experience and the cumulative effects. For purposes of this and shortened or absent renal papillae. OPP’s best scientific judgement, EPA tolerance only, the Agency is The population of concern for this risk concludes that it is not likely that the considering only the potential risks of assessment is females 13+ years old. potential exposure from residues of propiconazole in its aggregate exposure. 3. Carcinogenicity. Using its propiconazole in drinking water added C. Determination of Safety for U.S. Guidelines for Carcinogen Risk to the current dietary exposure will Population Assessment published September 24, result in an exposure which exceeds the 1986 (51 FR 33992), EPA has classified RfD. 1. Chronic risk. Based on the propiconazole as Group ‘‘C’’ for Propiconazole is currently registered completeness and reliability of the carcinogenicity (possible human for residential use as a preservative toxicity data, EPA has concluded that carcinogen). The Cancer Peer Review treatment for wood and for lawn and dietary exposure to propiconazole will Committee recommended the RfD ornamental uses. At this time, the utilize 6% of the RfD for the U.S. approach for quantitation of human risk. Agency does not have reliable data population. EPA generally has no Therefore, the RfD is deemed protective which would allow quantitative concern for exposures below 100 of all chronic human health effects, incorporation of risk from these uses percent of the RfD. Acceptable, reliable including cancer. into a human health risk assessment. data are not available to quantitatively Of residential uses, EPA believes that assess risk from drinking water. B. Aggregate Exposure the lawn use poses the greatest potential However, EPA concludes that there is a Tolerances have been established (40 for chronic exposure. According to lawn reasonable certainty that no harm to the CFR 180.434) for the residues of care usage data, there is no reported U.S. population will result from propiconazole and its metabolites usage by homeowners. Two sources aggregate exposure to propiconazole determined as 2,4-dichlorobenzoic acid report usage by lawn care operators and residues. (expressed as parent compound) in or landscapers. Based on acres treated 2. Acute risk. For the population on various raw agricultural commodities information, between 3,850 to 6,725 subgroup of concern, females 13+ years ranging from 0.05 ppm in milk to 60.0 households are estimated to be old, the calculated Margin Of Exposure ppm in grass seed screenings. potentially treated with propiconazole. (MOE) value is 3000. This MOE does 1. Chronic exposure. For the purpose This would represent between 0.004% not exceed the Agency’s level of of assessing chronic dietary exposure to 0.007% of all households nationally. concern for acute dietary exposure. from propiconazole, EPA assumed This calculation does not include anticipated residue and percent of crop propiconazole use on golf courses. D. Determination of Safety for Infants treated refinements to estimate the 2. Acute exposure. In assessing acute and Children Anticipated Residue Contribution (ARC) dietary exposure for propiconazole, EPA In assessing the potential for from the proposed and existing food assumed tolerance level residues, 100 additional sensitivity of infants and uses of propiconazole. The use of percent crop treated, and individual, children to residues of propiconazole, anticipated residues and/or percent of single-day consumption information for EPA considered data from crop treated data for several of the ‘‘females, 13+ years old’’, the population developmental toxicity studies in the rat existing food uses in this analysis of concern. and rabbit and a 2-year reproductive results in a more refined estimate of EPA has not estimated non- toxicity study in rats. The exposure than the TMRC. occupational exposures other than developmental toxicity studies are Other potential sources of exposure of dietary for propiconazole. Though the designed to evaluate adverse effects on the general population to residues of Agency acknowledges that there may be the developing organism resulting from pesticides are residues in drinking water short-term residential or drinking water pesticide exposure during prenatal and exposure from non-occupational exposure scenarios, no acceptable development. Reproductive toxicity sources. Review of terrestrial field reliable data to assess these potential studies provide information relating to dissipation data by the Environmental risks are available at this time. effects from exposure to the pesticide on Fate and Effects Division indicates that Propiconazole is registered for the reproductive capability of mating propiconazole is persistent and leaches residential uses. While dietary and animals and data on systemic toxicity. into groundwater (Pesticides in residential scenarios could possibly Based on current toxicological data Groundwater Database (EPA 734-12-92- occur in a single day, propiconazole requirements, the data base for 001, September 1992). There is no would rarely be present on both the propiconazole relative to pre- and post- established Maximum Concentration food eaten and the lawn on that single natal toxicity is complete. EPA notes Level for residues of propiconazole in day. Even assuming this were the case, developmental toxicity NOELs of 30 drinking water. No drinking water it is yet more unlikely that residues mg/kg/day in rats and 400 mg/kg/day Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58139

(HDT) in rabbits. Developmental and percent of crop treated refinements 409. However, the period for filing toxicity was observed in rats at 90 mg/ for some commodities. Acceptable, objections is 60 days, rather than 30 kg/day; these effects occurred in the reliable data are not available to days. EPA currently has procedural presence of maternal toxicity. In rabbits, quantitatively assess risk to this regulations which govern the no developmental delays or alterations subgroup from drinking water. submission of objections and hearing were noted; increased abortions were However, EPA concludes that there is a requests. These regulations will require observed at the maternally toxic dose of reasonable certainty that no harm will some modification to reflect the new 400 mg/kg/day. The developmental result to infants and children from law. However, until those modifications NOELs are more than 24- and 320-fold aggregate exposure to propiconazole can be made, EPA will continue to use higher in the rats and rabbits, residues. those procedural regulations with respectively, than the NOEL of 1.25 mg/ 2. Acute risk. At present, the acute appropriate adjustments to reflect the kg/day from the 1-year feeding study in dietary MOE for females 13+ years old new law. dogs, which is the basis of the RfD. is 3000. This MOE calculation was Any person may, by January 13, 1997 In the two-generation reproductive based on the developmental NOEL of 30 file written objections to any aspect of toxicity study in the rat, the mg/kg/day from the rat study. This risk this regulation (including the automatic reproductive/developmental toxicity assessment assumed 100% crop treated revocation provision) and may also NOEL of 25 mg/kg/day was greater than with tolerance level residues on all request a hearing on those objections. the parental (systemic) toxicity NOEL treated crops consumed, resulting in a Objections and hearing requests must be (<5 mg/kg/day; LDT). EPA notes that the significant over-estimate of dietary filed with the Hearing Clerk, at the NOEL of 25 mg/kg/day, for reproductive exposure. The large acute dietary MOE address given above (40 CFR 178.20). A (pup) toxicity, was 20-fold higher than calculated for females 13+ years old copy of the objections and/or hearing the NOEL of 1.25 mg/kg/day from the 1- provides assurance that there is a requests filed with the Hearing Clerk year feeding study in dogs, which is the reasonable certainty of no harm for both should be submitted to the OPP docket basis of the RfD. The reproductive (pup) females 13+ years and the pre-natal for this rulemaking. The objections LEL of 125 mg/kg/day was based on development of infants. submitted must specify the provisions decreased offspring survival of second of the regulation deemed objectionable generation (F2) pups, and on decreased V. Other Considerations and the grounds for the objections (40 body weight throughout lactation, and The nature of the residue in plants CFR 178.25). Each objection must be an increase in the incidence of hepatic and animals is adequately understood accompanied by the fee prescribed by cellular swelling for both generations of for this tolerance. There are no Codex 40 CFR 180.33(i). If a hearing is offspring (F1 and F2 pups). Because maximum residue levels established for requested, the objections must include a these reproductive effects occurred in residues of propiconazole on sorghum. statement of the factual issues on which the presence of parental (systemic) Adequate enforcement methodology, a hearing is requested, the requestor’s toxicity, these data do not suggest an GC/ECD, is available to enforce the contentions on such issues, and a increased post-natal sensitivity to tolerance expression. Analytical summary of any evidence relied upon children and infants (that infants and methodologies for the determination of by the requestor (40 CFR 178.27). A children might be more sensitive than propiconazole and its metabolites in request for a hearing will be granted if adults) to propiconazole exposure. plant and animal commodities (Ciba- the Administrator determines that the 1. Chronic risk. Based on ARC Geigy Analytical Methods AG-454 and material submitted shows the following: exposure estimates, EPA has concluded AG-517, respectively) have been There is genuine and substantial issue that the percentage of the RfD that will successfully validated by the Agency’s of fact; there is a reasonable possibility be utilized by dietary exposure to Analytical Chemistry Laboratory and that available evidence identified by the residues of propiconazole ranges from have been approved for publication in requestor would, if established, resolve 8% for children 7-12 years old, up to PAM II for enforcement purposes. These one or more of such issues in favor of 20% for non-nursing infants. methods have not as of this time the requestor, taking into account FFDCA section 408 provides that EPA appeared in PAM II, but a copy of the uncontested claims or facts to the shall apply an additional safety factor methods may be obtained from the contrary; and resolution of the factual for infants and children in the case of Public Response and Program Resources issues in the manner sought by the threshold effects to account for pre- and Branch at the location listed under the requestor would be adequate to justify post-natal toxicity and the completeness ADDRESSES unit. the action requested (40 CFR 178.32). of the data base unless EPA concludes Information submitted in connection that a different margin of safety is VI. Conclusion with an objection or hearing request appropriate. Based on current Therefore, tolerances in connection may be claimed confidential by marking toxicological data requirements, the data with the FIFRA section 18 emergency any part or all of that information as base for propiconazole relative to pre- exemptions are established for residues CBI. Information so marked will not be and post-natal toxicity is complete. As of propiconazole in grain sorghum at 0.1 disclosed except in accordance with mentioned above, because reproductive ppm and grain sorghum stover at 1.5 procedures set forth in 40 CFR part 2. effects occurred in the presence of ppm. These tolerances will expire and A copy of the information that does not parental (systemic) toxicity, these data be automatically revoked without contain CBI must be submitted for do not suggest an increased post-natal further action by EPA on October 31, inclusion in the public record. sensitivity of children and infants to 1998. Information not marked confidential propiconazole exposure, and therefore may be disclosed publicly by EPA VII. Objections and Hearing Requests an additional safety factor was not without prior notice. applied. The new FFDCA section 408(g) The ARC value for the most highly provides essentially the same process VIII. Public Docket exposed infant and children subgroup for persons to ‘‘object’’ to a tolerance A record has been established for this (non-nursing infants <1 year old) regulation issued by EPA under new rulemaking under docket number [OPP– occupies 20 percent of the RfD. This section 408(e) and (l)(6) as was provided 300441]. A public version of this record, calculation assumes anticipated residue in the old section 408 and in section which does not include any information 58140 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations claimed as CBI, is available for special consideration as required by inspection from 8 a.m. to 4:30 p.m., Executive Order 12898 (59 FR 7629, Monday through Friday, excluding legal February 16, 1994). Parts per Expiration/ holidays. The public record is located in Because FFDCA section 408(l)(6) Commodity million revocation Room 1132 of the Public Response and permits establishment of this regulation date Program Resources Branch, Field without a notice of proposed rulemaking, the regulatory flexibility Grain sorghum sto- 1.5 October Operations Division (7506C), Office of ver 31, 1998 Pesticide Programs, Environmental analysis requirements of the Regulatory Protection Agency, Crystal Mall #2, Flexibility Act, 5 U.S.C. 604(a), do not 1921 Jefferson Davis Highway, apply. [FR Doc. 96–29020 Filed 11–12–96; 8:45 am] Arlington, VA. Under 5 U.S.C. 801(a)(1)(A) of the BILLING CODE 6560±50±F The official record for this Administrative Procedure Act (APA) as rulemaking, as well as the public amended by the Small Business version, as described above, is kept in Regulatory Enforcement Fairness Act of paper form. Accordingly, in the event 1996 (Title II of Pub. L. 104-121, 110 DEPARTMENT OF HEALTH AND there are objections and hearing Stat. 847), EPA submitted a report HUMAN SERVICES requests, EPA will transfer any copies of containing this rule and other required Health Care Financing Administration objections and hearing requests received information to the U.S. Senate, the U.S. electronically into printed, paper form House of Representatives and the 42 CFR Part 431 as they are received and will place the Comptroller General of the General paper copies in the official rulemaking Accounting Office prior to publication Administration for Children and record. The official rulemaking record is of the rule in today’s Federal Register. Families the paper record maintained at the This rule is not a ‘‘major rule’’ as address in ADDRESSES at the beginning defined by 5 U.S.C. 804(2) of the APA 45 CFR Part 205 of this document. as amended. IX. Regulatory Assessment List of Subjects in 40 CFR Part 180 RIN 0970±AB32 Requirements Environmental protection, Medicaid and Aid to Families With Under Executive Order 12866 (58 FR Administrative practice and procedure, Dependent Children; Certain 51735, October 4, 1993), the Agency Agricultural commodities, Pesticides Provisions of the National Voter must determine whether the regulatory and pests, Reporting and recordkeeping Registration Act of 1993 action is ‘‘significant’’ and therefore requirements. subject to review by the Office of Dated: October 31, 1996. AGENCIES: Administration for Children Management and Budget (OMB) and the Daniel M. Barolo, and Families (ACF), and Health Care requirements of the Executive Order. Director, Office of Pesticide Programs. Financing Administration (HCFA), Under section 3(f), the order defines ‘‘a Therefore, 40 CFR Chapter I is HHS. significant regulatory action’’ as an amended as follows: ACTION: Final rule. action that is likely to result in a rule: (1) Having an annual effect on the PART 180Ð[AMENDED] SUMMARY: These final rules would economy of $100 million or more, or remove certain regulatory restrictions adversely and materially affecting a 1. The authority citation for part 180 that conflict with implementation of the sector of the economy, productivity, continues to read as follows: National Voter Registration Act of 1993 competition, jobs, the environment, Authority: 21 U.S.C. 346a and 371. (NVRA), Pub. L. 103–31. The NVRA public health or safety, or State, local or 2. In § 180.434, by adding a new provisions will make it easier for tribal governments or communities (also paragraph (d) to read as follows: individuals to vote in elections for referred to as ‘‘economically Federal office. § 180.434 1-[[2-(2,4-dichlorophenyl)-4- significant’’); (2) creating serious EFFECTIVE DATE: November 13, 1996. inconsistency or otherwise interfering propyl-1,3-dioxolan-2-yl]methyl]-1H-1,2,4- FOR FURTHER INFORMATION CONTACT: with an action taken or planned by triazole; tolerances for residues. AFDC: Mr. Mack A. Storrs, ACF/OFA another agency; (3) materially altering ***** 5th floor, 370 L’Enfant Promenade SW., the budgetary impacts of entitlement, (d) Time-limited tolerances are Washington, DC 20447, telephone (202) grants, user fees, or loan programs or the established for residues of the fungicide 401–9289. rights and obligations thereof; or (4) propiconazole, 1-[[2-(2,4- Medicaid: Mr. Marinos T. Svolos, raising novel legal or policy issues dichlorophenyl)-4-propyl-1,3-dioxolan- 7500 Security Boulevard, Baltimore, arising out of legal mandates, the 2-yl]methyl]-1H-1,2,4-triazole, in Maryland, 21244–1850, telephone (410) President’s priorities, or the principles connection with use of the pesticide 786–4582. set forth in this Executive Order. under section 18 emergency exemptions Pursuant to the terms of this Executive granted by EPA. The tolerances are SUPPLEMENTARY INFORMATION: specified in the following table. Each Order, EPA has determined that this Background rule is not ‘‘significant’’ and is therefore tolerance expires and is automatically not subject to OMB review. revoked on the date specified in the The NVRA contains three provisions This action does not impose any table without further action by EPA. which will make it easier for enforceable duty, or contain any individuals to register to vote in ‘‘unfunded mandates’’ as described in elections for Federal office. These Title II of the Unfunded Mandates include: (1) The simultaneous Reform Act of 1995 (Pub. L. 104-4), or Expiration/ application for or renewal of drivers Commodity Parts per revocation require prior consultation as specified million date licenses and voter registration (the by Executive Order 12875 (58 FR 58093, motor voter part of the bill); (2) the October 28, 1993), entitled Enhancing Grain sorghum 0.1 October adoption and use of a ‘‘mail’’ the Intergovernmental Partnership, or 31, 1998 application form for voter registration; Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58141 and (3) the designation of State voter assistance agencies toward the Response to Comments registration agencies, including among successful implementation of this Act. We received six comments on the others all offices in a state that provide Under section 9 of the NVRA the proposed rules. Four were from ‘‘public assistance’’ and ‘‘State-funded Federal Election Commission (FEC), in advocacy groups, one was from a State programs primarily engaged in consultation with the chief election government agency, and one was from providing services to persons with officers of the States, is required to a real estate agency. A discussion of disabilities.’’ develop a national mail voter these comments and our response As defined in the conference report, registration application form for follows: dated February 2, 1993, the term elections to Federal office and to submit Comment: We received four ‘‘public assistance agencies’’ includes reports to Congress assessing the impact comments indicating that State welfare ‘‘* * * those State agencies in each of the legislation during the preceding offices should be required to use a State that administer or provide services 2-year period for each odd-numbered single form which would allow AFDC under the Food Stamp, Medicaid, the year beginning June 30, 1995. The FEC applicants to register to vote at the same Women, Infants and Children (WIC) and published a Final Rule related to these time they apply for AFDC. This single the Aid to Families with Dependent provisions in the Federal Register on form would ensure that the voter Children (AFDC) programs’’ (H. Rep. June 23, 1994 (59 FR 32311–32325). registration is not overlooked by the No. 103–66 (1993), p. 19). worker handling the AFDC/Medicaid The Department regards the NVRA as According to section 7(a)(4) of the application. The commenters believe an integral feature of its goal to reform NVRA, public assistance offices shall: that, among other benefits, the the welfare system. Our present Distribute mail voter registration forms; combined voter registration/AFDC/ initiative encourages States to change provide assistance in forms completion; Medicaid application form would lead welfare agency culture from one that and provide a service to accept to a greater number of people registering completed forms and to transmit them focuses primarily on issuing checks and to vote than if the forms were separated. to appropriate authorities. These monitoring eligibility to one that They contend that combining the services are to be available at the time provides an array of services in support registration form with the application of application, recertification, or of family responsibility and financial for services is the single most effective renewal or when a change in address is independence. These NVRA provisions way to offer registration services, and reported. The NVRA also contains promote family responsibility by that using separate forms for voter provisions addressing how applicants empowering the client population to registration purposes results in and or recipients of public assistance exercise the essential democratic right significantly lower registration rates. are to be informed to their right to to participate in the electoral process. Response: We acknowledge that a request or decline this assistance. Notice of Proposed Rulemaking single form that combines the AFDC/ Section 7(a)(5) of the NVRA indicates Medicaid and voter applications may that these offices shall not: Seek to Current regulatory provisions at 45 better facilitate the voter registration influence a party preference; display CFR 205.50(a)(4) and 42 CFR process. Accordingly, we encourage party-affiliated materials; discourage 431.307(a)(2), (b), and (c) result in State agencies to adopt this solution. registration; or imply in any way that barring the distribution of voter However, the statute does not mandate the availability of services or benefits is registration materials to AFDC and that a combined application/registration dependent upon a decision to register or Medicaid applicants and recipients. form be used. not to register to vote. Enactment of the NVRA mandates that Consequently, each state has the States that have continuously State and local public assistance offices latitude to use a combined AFDC/ permitted voter registration at polling conduct such activities. In order to Medicaid/voter registration form or not places at the time of voting in a general comply with these statutory to use such a form, whichever is election for Federal office (since March requirements, we proposed amending deemed most practical for that 11, 1993, or pursuant to State law the aforementioned regulations to particular State. enacted on or before that date) or States remove the bar from the States subject Accordingly, we have not adopted the with no voter registration requirements to the NVRA. An NPRM was published commenters’ suggestion but feel that for any voter in the State with respect in the Federal Register on November 22, States should seriously consider the to an election for Federal office 1994 (59 FR 60109). merits of utilizing a single form that continuously since March 11, 1993, are combines the AFDC/Medicaid voter As originally written, the NPRM exempt from NVRA requirements. registration applications. When using a would continue the bar on distribution State agencies responsible for the combined form, workers must inform of voter registration materials by State administration of the AFDC and clients, as required by section 7(a)(5) of public assistance and Medicaid agencies Medicaid programs have already been the NVRA, that their receipt of AFDC/ in States that are exempt from the advised of the availability of Federal Medicaid benefits is not dependent NVRA. This position was questioned by financial participation (FFP) necessary upon a decision to register or not to to conduct voter registration assistance a number of commenters. We agree with register to vote. in public assistance offices in the commenters that exempt States Comment: Although the Federal accordance with section 7 of the NVRA. should not be barred from conducting Election Commission (FEC) final rule The Administration for Children and voter registration activities as provided requires States to submit statistical data Families and the Health Care Financing under the NVRA. We, therefore, have on registrations that are received from Administration will issue further eliminated language that would prohibit agencies in the States, four commenters guidance in program instructions as such discretionary activities by those suggested that the HHS final rules also needed to AFDC and Medicaid agencies States. This is discussed in greater detail provide for some sort of data collection regarding the implementation of these in the following section. to help evaluate the implementation of provisions. All relevant Federal We also have made a minor, clarifying the NVRA. The commenters suggested agencies will continue to work closely change in §§ 431.307(d) and 205.50(a) that HHS would find it useful to with each other and with State public (4)(iv). compile some statistics of its own to 58142 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations facilitate program improvements and party preference; display party-affiliated age citizens in a jurisdiction belong to cost efficiency measures. materials; discourage registration; or a single language minority with limited Response: Under section 9 of the imply in any way that the availability of English proficiency and the illiteracy NVRA the FEC is required to submit services or benefits is dependent upon rate of the citizens in the language reports to Congress to assess the impact the applicant’s or recipient’s decision to minority is higher than the national of the NVRA each odd-numbered year register or not to register to vote. The illiteracy rate. It was also suggested that beginning June 30, 1995. The FEC final final regulation has been modified to HHS take a greater role in support of rules describe the extensive expressly prohibit the mailing or bilingual voting assistance. recordkeeping and reporting distribution of partisan voting Response: We do not feel that it is requirements that must be maintained information. We added the word necessary for DHHS to regulate in this by the chief election official of each ‘‘partisan’’ because we believe it will be area. The regulatory requirements State. According to the FEC final rules, helpful to State agencies in implementing the Language Assistance among other data, reports must include implementing their voter registration Act of 1992 can be found at 28 CFR Part the statewide number of registration activities. We also removed redundant 55. State election officials and AFDC/ applications that were received from all references to the NVRA. Medicaid agency staff should work public assistance agencies. While more Comment: One commenter objected to together to implement these regulatory data might prove useful in the employees’ assisting applicants in the requirements. evaluation of program operations, these completion of voter registration Executive Order 12866 final rules do not seek or require the application forms because this would compilation of additional information. impose a burden unrelated to the Executive Order 12866 requires that We have not adopted the commenters’ employees’ basic work. The commenter regulations be reviewed to ensure that suggestion because additional also questioned the possibility of an they are consistent with the priorities recordkeeping and reporting employee influencing the applicant to and principles set forth in the Executive requirements above those already register for the employee’s choice of Order. The Department has determined required by the FEC would negatively political parties. that this rule is consistent with these impact State welfare agency staff who Response: We do not agree. The priorities and principles. statute requires that public assistance are providing voter registration services Paperwork Reduction Act in conjunction with other caseload offices make available assistance to priorities. AFDC/Medicaid applicants and These final regulations do not require Comment: The NPRM proposed to recipients in registering them to vote. any information collection activities, continue to apply the bar against According to section 7(a)(4)(A) of the and therefore no approval is necessary registering voters in States that are NVRA, public assistance offices shall under the Paperwork Reduction Act of exempt from the NVRA. Specifically, make the following services available: 1995. those States that permit voter ‘‘(i) Distribution of mail voter Regulatory Flexibility Act registration at polling places (since registration application forms.* * *; (ii) March 11, 1993 or pursuant to State law Assistance to applicants in completing The Regulatory Flexibility Act (Pub. enacted on or before that date) or States voter registration application forms, L. 96–354) requires the Federal with no voter registration for any voter unless the applicant refuses such government to anticipate and reduce the in the State with respect to an election assistance;’’ and, ‘‘(iii) Acceptance of impact of regulations and paperwork for Federal office (since March 11, 1993) completed voter registration application requirements on small businesses. The are exempt from NVRA requirements forms for transmittal to the appropriate primary impact of these proposed rules and are currently prohibited from State election official.’’ Therefore, staff is on State governments and conducting voter registration activities must make available to applicants the individuals. Therefore, we certify that at the welfare office level. Three same level of assistance in completing these rules will not have a significant commenters objected to continuing this voter registration application forms as economic impact on a substantial bar and requested that it be stricken they do in assisting applicants number of small entities because they from the final rule. These commenters completing AFDC/Medicaid forms. affect benefits to individuals and indicated that no State should be barred Regarding the commenter’s concern payments to States. Thus, a regulatory from conducting such registration about an employee’s influencing a client flexibility analysis is not required. activities and recommended that States to register for one particular party, the List of Subjects exempt from the NVRA be allowed the statute provides a safeguard. Section discretion to determine whether they 7(a)(5) of the NVRA states that an 45 CFR Part 205 will offer voter registration by public employee who provides voter Computer technology, Grant assistance agencies. registration services shall not ‘‘seek to programs—social programs, Privacy, Response: We agree with the influence an applicant’s political Public assistance programs, Reporting recommendation. Neither the NVRA nor preference or party registration’’ or and recordkeeping requirements, Wages. the Social Security Act expressly ‘‘display any such political preference prohibit an exempt State from assisting or party allegiance.’’ We are confident 42 CFR Part 431 clients to register to vote. Accordingly, that State welfare agencies have Aid to families with dependent we believe that States exempt from the instituted the proper safeguards to children, Aliens, Contracts NVRA should have the discretion to prevent abuse. (agreements)—State plan), Eligibility, allow their AFDC/Medicaid population Comment: One commmenter was Grant-in-Aid Program—health, Guam, to register to vote so long as the concerned because the HHS regulations Health facilities, Medicaid, Puerto Rico, provisions of section 7(a)(5) of the are silent as to the obligation to comply Supplemental Security Income (SSI), NVRA are followed. These provisions with the Voting Rights Language Virgin Islands. contain a number of protections to Assistance Act of 1992, in particular (Catalog of Federal Domestic Assistance ensure that the registration process will section 203. This section enables a Programs 13.780, Assistance Payments- be fair and non-partisan. Specifically, community to receive bilingual voting Maintenance Assistance; Program No. 93.778, offices shall not: Seek to influence a assistance if more than 10,000 voting Medical Assistance Program) Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58143

Dated: June 6, 1996. general public announcements, partisan ‘‘holiday’’ greetings, general public Mary Jo Bane, voting information and alien registration announcements, alien registration Assistant Secretary for Children and Families. notices. notices, and partisan voting * * * * * information. Dated: June 14, 1996. (d) Under NVRA, the agency must * * * * * Bruce C. Vladeck, distribute voter information and (iv) Under NVRA, the agency must Administrator, Health Care Financing registration materials as specified in Administration. distribute voter information and NVRA. registration materials as specified in Approved: July 26, 1996. For the reasons explained in the NVRA. Donna E. Shalala, preamble, Part 205 of Chapter II, Title (b) Voluntary voter registration Secretary, Health and Human Services. 45, Code of Federal Regulations, is amended as set forth below: activities. For States that are exempt For the reasons explained in the from the requirements of NVRA, voter preamble, part 431 of Chapter IV, Title PART 205ÐGENERAL registration may be a voluntary activity 42, Code of Federal Regulations, is ADMINISTRATIONÐPUBLIC so long as the provisions of section amended as set forth below: ASSISTANCE PROGRAMS 7(a)(5) of NVRA are observed. * * * * * PART 431ÐSTATE ORGANIZATION 1. The authority citation for Part 205 AND GENERAL ADMINISTRATION is revised to read as follows: [FR Doc. 96–28939 Filed 11–12–96; 8:45 am] BILLING CODE 4184±01±M 1. The authority citation for Part 431 Authority: 42 U.S.C. 602, 603, 606, 607, continues to read as follows: 1302, 1306(a), and 1320b–7: 42 U.S.C. 1973gg–5. Authority: Sec. 1102 of the Social Security Act (42 U.S.C. 1302). 2. Section 205.50 is amended by DEPARTMENT OF TRANSPORTATION revising paragraphs (a)(4), introductory 2. Section 431.307 is amended by text, and (a)(4)(i), adding a new Coast Guard revising paragraph (a)(2) and (b) and by paragraph (a)(4)(iv), and adding adding a new paragraph (d) to read as paragraph (b) to read as follows: 46 CFR Part 150 follows: § 205.50 Safeguarding information for the Compatibility of Cargoes § 431.307 Distribution of information financial assistance programs. materials. (a) * * * CFR Correction (a) * * * (4) All materials sent or distributed to In title 46 of the Code of Federal (2) Have no political implications applicants, recipients, or medical Regulations, parts 140 to 155, revised as except to the extent required to vendors, including material enclosed in of October 1, 1995, on page 46, in the implement the National Voter envelopes containing checks, will be second column, in part 150, appendix I Registration Act of 1993 (NVRA) Pub. L. limited to those which are directly (a), the entry for ‘‘Ethyl alcohol (20)’’ 103–31; for States that are exempt from related to the administration of the was inadvertently omitted in the the requirements of NVRA, voter program and will not have political ‘‘Compatible with’’ column for the entry registration may be a voluntary activity implications except to the extent ‘‘Caustic soda, 50% or less (5)’’ in the so long as the provisions of section required to implement the National ‘‘Member of reactive group’’ column, 7(a)(5) of NVRA are observed; Voter Registration Act of 1993 (NVRA), preceding the entry for ‘‘Ethyl alcohol * * * * * Pub. L. 103–31. Under this requirement: (b) The agency must not distribute (i) Specifically excluded from mailing (40%, whiskey) (20). materials such as ‘‘holiday’’ greetings, or distribution are materials such as BILLING CODE 1505±01±D 58144

Proposed Rules Federal Register Vol. 61, No. 220

Wednesday, November 13, 1996

This section of the FEDERAL REGISTER Deputy Chief Counsel (202/906–6990), stock holders, to engage in a stock contains notices to the public of the proposed Business Transactions Division, Chief repurchase program without the issuance of rules and regulations. The Counsel’s Office; Gary Masters, potential negative tax consequences that purpose of these notices is to give interested Financial Analyst (202/906–6729), would ensue if such a program were persons an opportunity to participate in the Corporate Activities Division, Office of engaged in by the insured savings rule making prior to the adoption of the final rules. Thrift Supervision, 1700 G Street, NW., association subsidiary. Under the Washington, D.C. 20552. current MHC regulations, 12 CFR SUPPLEMENTARY INFORMATION: The OTS 575.11(c), a savings association DEPARTMENT OF THE TREASURY has received several inquiries from subsidiary is permitted to engage in a MHCs and mutual savings associations stock repurchase program subject to Office of Thrift Supervision contemplating conversion to stock and certain restrictions. It is the OTS’ reorganization into MHC form current view that the current repurchase 12 CFR Part 575 concerning whether an MHC can form restrictions at § 575.11(c) would apply [No. 96±105] an intermediate state-chartered stock to the intermediate holding company. holding company to hold the stock of its Entities seeking to form a multi-tier RIN 1550±AB04 insured savings association subsidiary. mutual holding company structure also The MHC would hold at least a majority have suggested other reasons for its Mutual Savings and Loan Holding creation: the presence of an Companies of the stock of the intermediate holding company. The intermediate holding intermediate stock holding company AGENCY: Office of Thrift Supervision, company could issue a minority of its would facilitate acquisitions; and the Treasury. shares of stock to the public and would intermediate holding company may ACTION: Advance notice of proposed hold 100% of the stock of the insured have greater powers than the MHC. rulemaking. savings association subsidiary. The Questions on Which Comment is Sought intermediate holding company would SUMMARY: The Office of Thrift The OTS is hereby requesting be a state-chartered corporation, unlike Supervision (OTS), is issuing this comment during a 30-day comment the MHC, which has a federal charter. advance notice of proposed rulemaking period on the following questions and Under current mutual holding to solicit comments on amending the issues: company regulations (12 CFR part 575), regulations regarding Mutual Savings (1) Assuming the mutual holding a mutual savings association may and Loan Holding Companies to permit company statute and the OTS’ reorganize into a MHC by forming a the establishment of a mutual holding implementing regulations can be read to stock savings association which company (‘‘MHC’’) structure that permit the formation of an intermediate assumes the liabilities and assets of the includes an intermediate stock holding stock holding company, should that mutual savings association and issues at company. The OTS will consider the holding company be subject to the same least a majority of its stock to the MHC. comments received in determining activities limitations as a MHC or may Depositors of the mutual association whether to proceed with the it be treated as a unitary savings and continue to maintain a deposit-creditor development of a proposed rule to loan holding company? relationship with the stock savings permit the formation of intermediate (2) The MHC regulations impose association subsidiary while retaining stock holding companies by MHCS. The various restrictions and limitations on their other indicia of ownership, eq., OTS solicits comments on the specific the MHC and the savings association voting rights, liquidation rights, with questions set forth below and on all subsidiary of the MHC. These the MHC. The stock savings association aspects of permitting MHCs to form limitations include restrictions on subsidiary may issue up to 49 percent intermediate holding companies. pledges of the subsidiary savings of its shares to the public. association’s stock by a MHC, waiver of DATES: Comments must be received on In a previous legal opinion, the OTS’ dividends, and limitations on or before December 13, 1996. staff declined to concur with a request indemnification and employment ADDRESSES: Send comments to Manager, to permit the formation of a multi-tier contracts. It is not clear that these Dissemination Branch, Records mutual holding company structure. restrictions would be directly applicable Management and Information Policy, Upon further consideration of this issue, to the intermediate stock holding Office of Thrift Supervision, 1700 G the OTS has determined to solicit company. Should these restrictions be Street, NW., Washington, D.C. 20552, comments from the public on whether applicable to an intermediate stock Attention Docket No. 96–105. These Section 10(o) of the Home Owners Loan holding company in the same manner in submissions may be hand-delivered to Act and the regulations promulgated which they are applicable to the MHC? 1700 G Street, NW., from 9:00 A.M. to thereunder should be read to permit the Commenters should discuss any reasons 5:00 P.M. on business days; they may be formation of a multi-tier mutual holding for not applying the restrictions and the sent by facsimile transmission to FAX company structure, and if so, what consequences of such. Number (202) 906–7755. Comments will restrictions should apply to such a (3) Should the intermediate stock be available for inspection at 1700 G structure. holding company be required to obtain Street, NW., from 9:00 A.M. until 4:00 Entities interested in forming multi- the approval of the OTS prior to issuing P.M. on business days. tier MHCs have indicated that the any debt or equity security to any FOR FURTHER INFORMATION CONTACT: primary purpose is to permit the person other than its parent MHC? James H. Underwood, Special Counsel intermediate stock holding company, Should a subsidiary stock thrift be able (202/906–7354), Dwight C. Smith, which would issue shares to minority to issue minority voting stock or other Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58145 classes of securities? If so, under what DEPARTMENT OF TRANSPORTATION telephone (816) 426–6934; facsimile circumstances? How should any such (816) 426–2169. Federal Aviation Administration stock be treated in a conversion of the SUPPLEMENTARY INFORMATION: MHC to stock form? 14 CFR Part 39 Comments Invited (4) The OTS is the sole chartering authority for MHCs that are subject to [Docket No. 92±CE±25±AD] Interested persons are invited to part 575. Since both the parent MHC participate in the making of the and the savings association subsidiary RIN 2120±AA64 proposed rule by submitting such written data, views, or arguments as of an intermediate holding company are Airworthiness Directives; Avions they may desire. Communications chartered by the OTS as special limited Pierre Robin Model R2160 Airplanes purpose corporations, to what extent should identify the Rules Docket should the charter and bylaws (and any AGENCY: Federal Aviation number and be submitted in triplicate to amendments) of the intermediate Administration, DOT. the address specified above. All holding company be subject to review ACTION: Notice of proposed rulemaking communications received on or before and approval by the OTS? Should the (NPRM). the closing date for comments, specified OTS require that provisions of the above, will be considered before taking intermediate company’s charter be SUMMARY: This document proposes to action on the proposed rule. The consistent with the Federal MHC adopt a new airworthiness directive proposals contained in this notice may be changed in light of the comments charter? (AD) that would apply to Avions Pierre Robin Model R2160 airplanes. The received. (5) The savings association subsidiary proposed action would require Comments are specifically invited on of a MHC is subject to various repetitively inspecting the weld area the overall regulatory, economic, restrictions on stock issuances, between the strut and the lower plate of environmental, and energy aspects of including a requirement that all stock the nose landing gear leg for cracks, and the proposed rule. All comments issuances generally be structured in a replacing the strut when cracks are submitted will be available, both before manner that is similar to a stock found. The proposed AD is the result of and after the closing date for comments, conversion offering under 12 CFR part several reports of cracks in the weld in the Rules Docket for examination by 563b. Should these restrictions also be securing the nose wheel steering bottom interested persons. A report that applicable to the intermediate holding bracket to the nose landing gear leg on summarizes each FAA-public contact company? If not, why not? Should all the affected airplanes. The actions concerned with the substance of this other provisions of 12 CFR part 575 specified by the proposed AD are proposal will be filed in the Rules governing minority stock issuances be intended to prevent nose landing gear Docket. applicable to minority stock issuances failure caused by cracks in the weld area Commenters wishing the FAA to by intermediate holding companies? If between the strut and the lower plate of acknowledge receipt of their comments not, why not? the nose landing gear leg, which could submitted in response to this notice result in loss of control of the airplane must submit a self-addressed, stamped (6) What are the consequences to the during landing operations. MHC of permitting the intermediate postcard on which the following DATES: Comments must be received on holding company to retain capital statement is made: ‘‘Comments to or before January 31, 1997. generated by the savings association Docket No. 92–CE–25–AD.’’ The subsidiary? ADDRESSES: Submit comments in postcard will be date stamped and triplicate to the Federal Aviation returned to the commenter. (7) Other than permitting stock Administration (FAA), Central Region, Availability of NPRMs repurchases and, perhaps, facilitating Office of the Assistant Chief Counsel, acquisitions and expanding the powers Attention: Rules Docket No. 92–CE–25– Any person may obtain a copy of this in the MHC structure, are there other AD, Room 1558, 601 E. 12th Street, NPRM by submitting a request to the reasons for creating a multi-tier Kansas City, Missouri 64106. Comments FAA, Central Region, Office of the structure? Commenters should identify may be inspected at this location Assistant Chief Counsel, Attention: any additional potential benefits of a between 8 a.m. and 4 p.m., Monday Rules Docket No. 92–CE–25–AD, Room multi-tier holding company structure through Friday, holidays excepted. 1558, 601 E. 12th Street, Kansas City, and address any necessary regulatory Service information that applies to the Missouri 64106. changes that would facilitate the use of proposed AD may be obtained from Discussion the multi-tier structure consistent with Avions Pierre Robin, 1, Route de Troyes, the MHC statute. 21121 Darois France; telephone: 80 35 The Direction Generale de L’Aviation 61 01; facsimile: 80 35 60 80. This Dated: November 1, 1996. Civile (DGAC), which is the information also may be examined at airworthiness authority for France, By the Office of Thrift Supervision. the Rules Docket at the address below. recently notified the FAA that an unsafe Nicolas P. Retsinas, FOR FURTHER INFORMATION CONTACT: Mr. condition may exist on Avions Pierre Director. Greg Holt, Program Manager, Brussels Robin Model R2160 airplanes. The [FR Doc. 96–28989 Filed 11–12–96; 8:45 am] Aircraft Certification Division, FAA, DGAC reports that cracks in the weld BILLING CODE 6720±01±P Europe, Africa, and Middle East Office, securing the nose wheel steering bottom c/o American Embassy, B–1000 bracket to the nose landing gear leg have Brussels, Belgium; telephone (32 2) been found on several of the affected 513.2692; facsimile (32 2) 230.6899; or airplanes. This condition, if not Mr. Roman T. Gabrys, Project Officer, detected and corrected, could lead to Small Airplane Directorate, Aircraft nose landing gear failure, which could Certification Office, FAA, 1201 Walnut, result in loss of control of the airplane suite 900, Kansas City, Missouri 64106; during landing operations. 58146 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules

Applicable Service Information landing gear leg is considered primary 39 of the Federal Aviation Regulations Avions Pierre Robin Service Bulletin structure). (14 CFR part 39) as follows: (SB) No. 101, Revision 3, dated March Cost Impact PART 39ÐAIRWORTHINESS 5, 1992, specifies a dye penetrant The FAA estimates that 10 airplanes DIRECTIVES inspection of the welding area between in the U.S. registry would be affected by the strut and lower plate of the bottom 1. The authority citation for part 39 the proposed AD, that it would take bracket of the nose landing gear leg. continues to read as follows: approximately 1 workhour per airplane This SB also includes a figure that Authority: 49 U.S.C. 106(g), 40113, 44701. depicts the inspection area, and to accomplish the proposed initial includes crack limitations for when the inspection, and that the average labor § 39.13 [AMENDED] rate is approximately $60 an hour. strut needs repairs. 2. Section 39.13 is amended by The DGAC classified this service Based on these figures, the total cost impact of the proposed AD on U.S. adding a new airworthiness directive bulletin as mandatory and issued DGAC (AD) to read as follows: AD 83–206(A)R3, dated March 18, 1992, operators is estimated to be $600. This in order to assure the continued figure does not take into account the Avions Pierre Robin: Docket No. 92–CE–25– AD. airworthiness of these airplanes in number of repetitive inspections each France. airplane owner/operator would incur Applicability: Model R2160 airplanes (all over the life of the airplane, or the serial numbers), certificated in any category. The FAA’s Determination number of airplanes that would have Note 1: This AD applies to each airplane This airplane model is manufactured cracked weld areas and would need the identified in the preceding applicability in France and is type certificated for strut replaced. The FAA has no way of provision, regardless of whether it has been determining the number of repetitive modified, altered, or repaired in the area operation in the United States under the subject to the requirements of this AD. For provisions of section 21.29 of the inspections each owner/operator would airplanes that have been modified, altered, or Federal Aviation Regulations (14 CFR incur over the life of the airplane or the repaired so that the performance of the 21.29) and the applicable bilateral number of nose landing gear leg struts requirements of this AD is affected, the airworthiness agreement. Pursuant to that would need to be replaced because owner/operator must request approval for an this bilateral airworthiness agreement, of cracks in the weld area. alternative method of compliance in the DGAC has kept the FAA informed accordance with paragraph (d) of this AD. Regulatory Impact of the situation described above. The The request should include an assessment of FAA has examined the findings of the The regulations proposed herein the effect of the modification, alteration, or DGAC; reviewed all available would not have substantial direct effects repair on the unsafe condition addressed by this AD; and, if the unsafe condition has not information, including the service on the States, on the relationship between the national government and been eliminated, the request should include information referenced above; and specific proposed actions to address it. determined that AD action is necessary the States, or on the distribution of Compliance: Required initially within the for products of this type design that are power and responsibilities among the next 100 hours time-in-service (TIS) after the certificated for operation in the United various levels of government. Therefore, effective date of this AD, unless already States. in accordance with Executive Order accomplished, and thereafter as follows, as 12612, it is determined that this applicable: Explanation of the Provisions of the proposal would not have sufficient 1. If the width of the lower plate of the Proposed AD federalism implications to warrant the bottom bracket of the nose landing gear leg Since an unsafe condition has been preparation of a Federalism Assessment. is 84 millimeters: at intervals not to exceed identified that is likely to exist or For the reasons discussed above, I 500 hours TIS; or develop on other Avions Pierre Robin certify that this action (1) is not a 2. If the width of the lower plate of the bottom bracket of the nose landing gear leg Model R2160 airplanes of the same type ‘‘significant regulatory action’’ under is less than 84 millimeters: at intervals not design registered in the United States, Executive Order 12866; (2) is not a to exceed 100 hours TIS. the proposed AD would require ‘‘significant rule’’ under DOT To prevent nose landing gear failure repetitively inspecting the weld area Regulatory Policies and Procedures (44 caused by cracks in the weld area between between the strut and the lower plate of FR 11034, February 26, 1979); and (3) if the strut and the lower plate of the nose the nose landing gear leg for cracks, and promulgated, will not have a significant landing gear leg, which could result in loss replacing the strut when cracks are economic impact, positive or negative, of control of the airplane during landing found. on a substantial number of small entities operations, accomplish the following: under the criteria of the Regulatory (a) Inspect, using dye penetrant methods, Differences Between the Proposed AD, the weld area between the strut and the lower Service Bulletin, and DGAC AD Flexibility Act. A copy of the draft plate of the nose landing gear leg for cracks. regulatory evaluation prepared for this Both Avions Pierre Robin SB No. 101, Use the figure in Avions Pierre Robin Service action has been placed in the Rules Bulletin (SB) No. 101, Revision 3, dated Revision 3, dated March 5, 1992, and Docket. A copy of it may be obtained by March 5, 1992, as a guide in accomplishing DGAC AD 83–206(A)R3, dated March contacting the Rules Docket at the this inspection. 18, 1992, specify repetitive inspection location provided under the caption (b) If any crack is found during any intervals of 25 hours time-in-service if a ADDRESSES. inspection required by this AD, prior to crack in the weld area is found that is further flight, replace the strut with a new or within a certain limit. The limit is ‘‘if List of Subjects in 14 CFR Part 39 serviceable strut. the crack runs along the circumference Air transportation, Aircraft, Aviation (1) If the replacement strut is not new, prior to further flight after installing it, and is less than 15 mm long max. or/and safety, Safety. radial crack is less than 8 mm max.’’ accomplish the inspection specified in The Proposed Amendment paragraph (a) of this AD. The proposed AD, if adopted, would not (2) Replacing the strut with a new or allow continued flight if any crack is Accordingly, pursuant to the serviceable strut does not eliminate the found. FAA policy is to disallow authority delegated to me by the repetitive inspection requirement of this AD. airplane operation when known cracks Administrator, the Federal Aviation (c) Special flight permits may be issued in exist in primary structure (the nose Administration proposes to amend part accordance with sections 21.197 and 21.199 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58147 of the Federal Aviation Regulations (14 CFR thermal fatigue, which can result in statement is made: ‘‘Comments to 21.197 and 21.199) to operate the airplane to combustor liner and case burn-through Docket Number 95–ANE–56.’’ The a location where the requirements of this AD and engine fire. postcard will be date stamped and can be accomplished. returned to the commenter. (d) An alternative method of compliance or DATES: Comments must be received by adjustment of the compliance time that January 13, 1997. Availability of NPRMs provides an equivalent level of safety may be ADDRESSES: Submit comments in approved by the Manager, Brussels Aircraft triplicate to the Federal Aviation Any person may obtain a copy of this Certification Division, FAA, Europe, Africa, Administration (FAA), New England NPRM by submitting a request to the and Middle East Office, c/o American Region, Office of the Assistant Chief FAA, New England Region, Office of the Embassy, B–1000 Brussels, Belgium. The Counsel, Attention: Rules Docket No. Assistant Chief Counsel, Attention: request shall be forwarded through an Rules Docket No. 95–ANE–56, 12 New appropriate FAA Maintenance Inspector, 95–ANE–56, 12 New England Executive Park, Burlington, MA 01803–5299. England Executive Park, Burlington, MA who may add comments and then send it to 01803–5299. the Manager, Brussels Aircraft Certification Comments may be inspected at this Division. location between 8:00 a.m. and 4:30 Discussion Note 2: Information concerning the p.m., Monday through Friday, except The Civil Aviation Authority (CAA), existence of approved alternative methods of Federal holidays. which is the airworthiness authority for compliance with this AD, if any, may be The service information referenced in the United Kingdom, recently notified obtained from the Brussels Aircraft the proposed rule may be obtained from Certification Division. the Federal Aviation Administration Rolls-Royce North America, Inc., 2001 (FAA) that an unsafe condition may (e) All persons affected by this directive South Tibbs Ave., Indianapolis, IN exist on Rolls-Royce plc (R–R) RB.211– may obtain copies of the document referred 46241; telephone (317) 230–3995, fax to herein upon request to Avions Pierre 524 series turbofan engines. The CAA (317) 230–4743. This information may received three reports of engine fires Robin, 1, Route de Troyes, 21121 Darois be examined at the FAA, New England France; or may examine this document at the during takeoff and climb. The FAA, Central Region, Office of the Assistant Region, Office of the Assistant Chief investigation revealed that the engine Chief Counsel, Room 1558, 601 E. 12th Counsel, 12 New England Executive combustor liners had deteriorated, due Street, Kansas City, Missouri 64106. Park, Burlington, MA. to thermal fatigue of either the head Issued in Kansas City, Missouri, on FOR FURTHER INFORMATION CONTACT: section or meterpanels. In addition, the November 5, 1996. Eugene Triozzi, Aerospace Engineer, CAA received reports of premature Michael Gallagher, Engine Certification Office, FAA, Engine engine combustor distress found during Manager, Small Airplane Directorate, Aircraft and Propeller Directorate, 12 New routine borescope inspections. This Certification Service. England Executive Park, Burlington, MA condition, if not corrected, could result [FR Doc. 96–28945 Filed 11–12–96; 8:45 am] 01803–5299; telephone (617) 238–7148, in engine combustor liner deterioration BILLING CODE 4910±13±U fax (617) 238–7199. due to thermal fatigue, which can result SUPPLEMENTARY INFORMATION: in combustor liner and case burn- through and engine fire. 14 CFR Part 39 Comments Invited Rolls-Royce plc has issued Service [Docket No. 95±ANE±56] Interested persons are invited to Bulletin (SB) No. RB.211–72–B482, participate in the making of the Revision 2, dated March 11, 1996, that RIN 2120±AA64 proposed rule by submitting such specifies procedures for borescope written data, views, or arguments as inspections; and SB No. RB.211–72– Airworthiness Directives; Rolls-Royce they may desire. Communications 9764, Revision 2, dated November 10, plc RB.211±524 Series Turbofan should identify the Rules Docket 1995, that specifies procedures for Engines number and be submitted in triplicate to installing a front combustion liner with AGENCY: Federal Aviation the address specified above. All a strengthened head section Administration, DOT. communications received on or before manufactured of C263 material. The ACTION: Notice of proposed rulemaking the closing date for comments, specified CAA classified SB No. RB.211–72–B482, (NPRM). above, will be considered before taking Revision 2, dated March 11, 1996, as action on the proposed rule. The mandatory and issued AD 005–07–95, SUMMARY: This document proposes the proposals contained in this notice may dated March 11, 1996, in order to assure adoption of a new airworthiness be changed in light of the comments the airworthiness of these engines in the directive (AD) that is applicable to received. United Kingdom. Rolls-Royce plc RB.211–524 series Comments are specifically invited on This engine model is manufactured in turbofan engines. This proposal would the overall regulatory, economic, the United Kingdom and is type require initial and repetitive borescope environmental, and energy aspects of certificated for operation in the United inspections of the head section and the proposed rule. All comments States under the provisions of Section meterpanel assembly of the combustion submitted will be available, both before 21.29 of the Federal Aviation liner, and replacement, if necessary, and after the closing date for comments, Regulations (14 CFR 21.29) and the with serviceable parts. In addition, this in the Rules Docket for examination by applicable bilateral airworthiness AD would propose an optional interested persons. A report agreement. Pursuant to this bilateral installation of a front combustion liner summarizing each FAA-public contact airworthiness agreement, the CAA has with a strengthened head section as a concerned with the substance of this kept the FAA informed of the situation terminating action to the inspection proposal will be filed in the Rules described above. The FAA has requirements. This proposal is Docket. examined the findings of the CAA, prompted by reports of engine fires due Commenters wishing the FAA to reviewed all available information, and to premature engine combustor distress. acknowledge receipt of their comments determined that AD action is necessary The actions specified by the proposed submitted in response to this notice for products of this type design that are AD are intended to prevent engine must submit a self-addressed, stamped certificated for operation in the United combustor liner deterioration due to postcard on which the following States. 58148 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules

Since an unsafe condition has been Administration proposes to amend part November 10, 1995, constitutes terminating identified that is likely to exist or 39 of the Federal Aviation Regulations action to the inspection requirements of this develop on other engines of the same (14 CFR part 39) as follows: AD. type design registered in the United (d) An alternative method of compliance or adjustment of the compliance time that States, the proposed AD would require PART 39ÐAIRWORTHINESS DIRECTIVES provides an acceptable level of safety may be initial and repetitive borescope used if approved by the Manager, Engine inspections of the head section and 1. The authority citation for part 39 Certification Office. The request should be meterpanel assembly of the combustion continues to read as follows: forwarded through an appropriate FAA liner, and replacement, if necessary, Principal Maintenance Inspector, who may with serviceable parts. In addition, this Authority: 49 U.S.C. 106(g), 40113, 44701. add comments and then send it to the Manager, Engine Certification Office. AD would propose an optional § 39.13 [Amended] Note 2: Information concerning the installation of a front combustion liner 2. Section 39.13 is amended by with a strengthened head section C263 existence of approved alternative methods of adding the following new airworthiness compliance with this airworthiness directive, material as a terminating action to the directive: inspection requirements. The actions if any, may be obtained from the Engine Certification Office. would be required to be accomplished Rolls-Royce plc: Docket No. 95–ANE–56. in accordance with the SB’s described Applicability: Rolls-Royce plc (R–R) (e) Special flight permits may be issued in accordance with sections 21.197 and 21.199 previously. Models RB.211–524G and –524H turbofan engines that have not been modified in of the Federal Aviation Regulations (14 CFR There are approximately 250 engines 21.197 and 21.199) to operate the aircraft to of the affected design in the worldwide accordance with R–R Service Bulletin (SB) No. RB.211–72–9764, Revision 2, dated a location where the requirements of this AD fleet. There are currently no domestic November 10, 1995, installed on but not can be accomplished. operators of Rolls-Royce plc RB.211– limited to Boeing 747–400 and 767–300 Issued in Burlington, Massachusetts, on 524G or –524H series turbofan engines. series aircraft. October 30, 1996. The FAA estimates that it would take Note 1: This airworthiness directive (AD) James C. Jones, approximately 8 work hours per engine applies to each engine identified in the Acting Manager, Engine and Propeller to accomplish the proposed inspections, preceding applicability provision, regardless Directorate, Aircraft Certification Service. and that the average labor rate is $60 per of whether it has been modified, altered, or [FR Doc. 96–28983 Filed 11–12–96; 8:45 am] work hour. Based on these figures, the repaired in the area subject to the BILLING CODE 4910±13±P cost impact per engine per inspection is requirements of this AD. For engines that estimated to be $480. have been modified, altered, or repaired so The regulations proposed herein that the performance of the requirements of this AD is affected, the owner/operator must 14 CFR Part 39 would not have substantial direct effects request approval for an alternative method of [Docket No. 96±ANE±25] on the States, on the relationship compliance in accordance with paragraph (d) between the national government and of this AD. The request should include an RIN 2120±AA64 the States, or on the distribution of assessment of the effect of the modification, power and responsibilities among the alteration, or repair on the unsafe condition Airworthiness Directives; AlliedSignal various levels of government. Therefore, addressed by this AD; and, if the unsafe Inc. T5311, T5313, T5317, and T53 in accordance with Executive Order condition has not been eliminated, the (Military) Series Engines 12612, it is determined that this request should include specific proposed actions to address it. AGENCY: Federal Aviation proposal would not have sufficient Administration, DOT. federalism implications to warrant the Compliance: Required as indicated, unless accomplished previously. To prevent engine preparation of a Federalism Assessment. ACTION: Notice of proposed rulemaking combustor liner deterioration due to thermal (NPRM). For the reasons discussed above, I fatigue, which can result in combustor liner certify that this proposed regulation (1) and case burn-through and engine fire, SUMMARY: This document proposes the is not a ‘‘significant regulatory action’’ accomplish the following: adoption of a new airworthiness under Executive Order 12866; (2) is not (a) Perform initial and repetitive borescope directive (AD) that is applicable to a ‘‘significant rule’’ under the DOT inspections of the engine combustor liner AlliedSignal Inc. (formerly Textron Regulatory Policies and Procedures (44 head section in accordance with the intervals Lycoming) T5311, T5313, T5317, and FR 11034, February 26, 1979); and (3) if listed in Section 1.C. Compliance (1), and the procedures described in Section 1.D. Action T53 series military engines approved for promulgated, will not have a significant installation on aircraft certified in economic impact, positive or negative, (1) of R–R SB No. RB.211–72–B482, Revision 2, dated March 11, 1996. Prior to further accordance with Section 21.25 of the on a substantial number of small entities flight, remove combustors that do not meet Federal Aviation Regulations (FAR). under the criteria of the Regulatory the return to service criteria specified in This proposal would require removal Flexibility Act. A copy of the draft Section 1.E. Acceptance Limits of the SB and and replacement of the N2 spur gear nut regulatory evaluation prepared for this replace with serviceable parts. retainer (lock cup). This proposal is action is contained in the Rules Docket. (b) Perform initial and repetitive borescope prompted by reports of N2 spur gear nut A copy of it may be obtained by inspections of the meterpanel in accordance retainer (lock cup) separation. The with the intervals listed in Section 1.C. contacting the Rules Docket at the actions specified by the proposed AD location provided under the caption Compliance (2), and the procedures described in Section 1.D. Action (2) of R–R are intended to prevent N2 accessory ADDRESSES. SB No. RB.211–72–B482, Revision 2, dated drive assembly disengagement due to List of Subjects in 14 CFR Part 39 March 11, 1996. Prior to further flight, N2 spur gear nut retainer (lock cup) remove combustors that do not meet the separation, which could result in an Air transportation, Aircraft, Aviation return to service criteria specified in Section safety, Safety. uncommanded engine acceleration. 1.E. Acceptance Limits of the SB and replace DATES: Comments must be received by The Proposed Amendment with serviceable parts. (c) Installation of a front combustion liner January 13, 1997. Accordingly, pursuant to the with a strengthened head section in C263 ADDRESSES: Submit comments in authority delegated to me by the material in accordance with R–R SB No. triplicate to the Federal Aviation Administrator, the Federal Aviation RB.211–72–9764, Revision 2, dated Administration (FAA), New England Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58149

Region, Office of the Assistant Chief Availability of NPRMs power and responsibilities among the Counsel, Attention: Rules Docket No. Any person may obtain a copy of this various levels of government. Therefore, 96–ANE–25, 12 New England Executive NPRM by submitting a request to the in accordance with Executive Order Park, Burlington, MA 01803–5299. FAA, New England Region, Office of the 12612, it is determined that this Comments may be inspected at this Assistant Chief Counsel, Attention: proposal would not have sufficient location between 8:00 a.m. and 4:30 Rules Docket No. 96–ANE–25, 12 New federalism implications to warrant the p.m., Monday through Friday, except England Executive Park, Burlington, MA preparation of a Federalism Assessment. For the reasons discussed above, I Federal holidays. 01803–5299. certify that this proposed regulation (1) The service information referenced in Discussion is not a ‘‘significant regulatory action’’ the proposed rule may be obtained from under Executive Order 12866; (2) is not AlliedSignal Aerospace, Attn: Data The FAA has received reports of N2 spur gear nut retainer (lock cup), P/N 1– a ‘‘significant rule’’ under the DOT Distribution, M/S 64–3/2101–201, P.O. Regulatory Policies and Procedures (44 Box 29003, Phoenix, AZ 85038–9003; 070–066–01, separation on AlliedSignal Inc. (formerly Textron Lycoming) T53 FR 11034, February 26, 1979); and (3) if telephone (602) 365–2493, fax (602) promulgated, will not have a significant 365–5577. This information may be turboshaft engines. Separation of the retainer can cause the N2 accessory economic impact, positive or negative, examined at the FAA, New England on a substantial number of small entities Region, Office of the Assistant Chief drive assembly to disengage. The investigation revealed that the sheet under the criteria of the Regulatory Counsel, 12 New England Executive Flexibility Act. A copy of the draft Park, Burlington, MA. metal retainer tab was found separated in fatigue. This condition, if not regulatory evaluation prepared for this FOR FURTHER INFORMATION CONTACT: corrected, could result in N2 accessory action is contained in the Rules Docket. Raymond Vakili, Aerospace Engineer, drive assembly disengagement due to A copy of it may be obtained by Los Angeles Aircraft Certification N2 spur gear nut retainer (lock cup) contacting the Rules Docket at the Office, FAA, Transport Airplane separation, which could result in an location provided under the caption Directorate, 3960 Paramount Blvd., uncommanded engine acceleration. ADDRESSES. Lakewood, CA 90712–4137; telephone The FAA has reviewed and approved List of Subjects in 14 CFR Part 39 the technical contents of AlliedSignal (310) 627–5262; fax (310) 627–5210. Air transportation, Aircraft, Aviation Aerospace Service Bulletin (SB) No. safety, Safety. SUPPLEMENTARY INFORMATION: T5311/T53–L–11–0080, dated May 28, Comments Invited 1996, SB No. T5313B/T5317–0081, The Proposed Amendment Revision 1, dated May 28, 1996, SB No. Accordingly, pursuant to the Interested persons are invited to T53–L–13B–0082, dated May 28, 1996, authority delegated to me by the participate in the making of the SB No. T53–L–13B/D–0083, dated May Administrator, the Federal Aviation proposed rule by submitting such 28, 1996, and SB No. T53–L–703–0084, Administration proposes to amend part written data, views, or arguments as dated May 28, 1996, that describe 39 of the Federal Aviation Regulations they may desire. Communications procedures for removal and replacement (14 CFR part 39) as follows: should identify the Rules Docket of the N2 spur gear nut retainer (lock number and be submitted in triplicate to cup). PART 39ÐAIRWORTHINESS the address specified above. All Since an unsafe condition has been DIRECTIVES communications received on or before identified that is likely to exist or the closing date for comments, specified develop on other products of this same 1. The authority citation for part 39 continues to read as follows: above, will be considered before taking type design, the proposed AD would action on the proposed rule. The require removal and replacement of the Authority: 49 USC 106(g), 40113, 44701. sheet metal lock cup with a more proposals contained in this notice may 39.13 [Amended] be changed in light of the comments durable machined lock cup. The actions 2. Section 39.13 is amended by received. would be required to be accomplished in accordance with the SBs described adding the following new airworthiness Comments are specifically invited on previously. directive: the overall regulatory, economic, There are approximately 450 AlliedSignal Inc.: Docket No. 96–ANE–25. environmental, and energy aspects of (excluding military) engines of the Applicability: AlliedSignal Inc. (formerly the proposed rule. All comments affected design in the worldwide fleet. Textron Lycoming) T5311, T5313, T5317, submitted will be available, both before The FAA estimates that 125 (excluding and T53 (military) series turboshaft engines, and after the closing date for comments, military) engines installed on aircraft of installed on but not limited to Bell Helicopter in the Rules Docket for examination by Textron 209, 205, and 204 series, and Kaman U.S. registry would be affected by this K–1200 series aircraft, and the following interested persons. A report proposed AD, that it would take summarizing each FAA-public contact military aircraft: Bell Helicopter Textron AH– approximately 3 work hours per engine 1 and UH–1, and Grumman OV–1 (turboprop concerned with the substance of this to accomplish the proposed actions, and proposal will be filed in the Rules installation), certified in accordance with that the average labor rate is $60 per Section 21.25 or 21.27 of the Federal Docket. work hour. Required parts would cost Aviation Regulations (FAR). Commenters wishing the FAA to approximately $75 per engine. Based on Note 1: This airworthiness directive (AD) acknowledge receipt of their comments these figures, the total cost impact of the applies to each engine identified in the submitted in response to this notice proposed AD on U.S. operators is preceding applicability provision, regardless must submit a self-addressed, stamped estimated to be $31,875. of whether it has been modified, altered, or postcard on which the following The regulations proposed herein repaired in the area subject to the requirements of this AD. For engines that statement is made: ‘‘Comments to would not have substantial direct effects have been modified, altered, or repaired so Docket Number 96–ANE–25.’’ The on the States, on the relationship that the performance of the requirements of postcard will be date stamped and between the national government and this AD is affected, the owner/operator must returned to the commenter. the States, or on the distribution of request approval for an alternative method of 58150 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules compliance in accordance with paragraph (b) 14 CFR Part 71 commenter. All communications of this AD. The request should include an received on or before the specified assessment of the effect of the modification, [Airspace Docket No. 96±ANM±010] closing date for comments will be alteration, or repair on the unsafe condition considered before taking action on the addressed by this AD; and, if the unsafe Proposed Amendment of Class E Airspace; Holyoke, CO proposed rule. The proposal contained condition has not been eliminated, the in this notice may be changed in the request should include specific proposed AGENCY: Federal Aviation light of comments received. All actions to address it. Administration (FAA), DOT. comments submitted will be available Compliance: Required as indicated, unless ACTION: Notice of proposed rulemaking for examination at the address listed accomplished previously. above both before and after the closing To prevent N2 accessory drive assembly (NPRM). date for comments. A report disengagement due to N2 spur gear nut SUMMARY: This proposed rule would retainer (lock cup) separation, which could summarizing each substantive public amend the Holyoke, Colorado, Class E contact with FAA personnel concerned result in an uncommanded engine airspace to provide additional acceleration, accomplish the following: with this rulemaking will be filed in the (a) Within 300 hours time in service, or 2 controlled airspace to accommodate docket. Global Positioning System (GPS) and years after the effective date of this AD, Availability of NPRM’s whichever occurs first, remove from service Nondirectional Beacon (NDB) standard N2 spur gear nut retainers (lock cups), Part instrument approach procedures (SIAP) Any person may obtain a copy of this Number (P/N) 1–070–066–01, and replace at the Holyoke Airport. The area would NPRM by submitting a request to the with N2 spur gear nut retainers P/Ns 1–070– be depicted on aeronautical charts for Federal Aviation Administration, 066–02 or 1–070–066–03, in accordance with pilot reference. Operations Branch, ANM–530, 1601 the following applicable AlliedSignal DATES: Comments must be received on Lind Avenue, SW, Renton, Washington Aerospace Service Bulletins (SBs): or before December 31, 1996. 98055–4056. Communications must (1) For retainers installed on T5311 and ADDRESSES: identify the notice number of this T53–L–11 (military) series engines, in Send comments on the proposal in triplicate to: Manager, NPRM. Persons interested in being accordance with SB No. T5311/T53–L–11– placed on a mailing list for future 0080, dated May 28, 1996. Operations Branch, ANM–530, Federal Aviation Administration, Docket No. NPRM’s should also request a copy of (2) For retainers installed on T5313B and Advisory Circular No. 11–2A, which T5317 series engines, in accordance with SB 96–ANM–010, 1601 Lind Avenue, SW, describes the application procedure. No. T5313B/T5317–0081, Revision 1, dated Renton, Washington 98055–4056. May 28, 1996. The official docket may be examined The Proposal (3) For retainers installed on T53–L–13B/ at the same address. The FAA is considering an SSA/SSB (military) series engines, in An informal docket may also be amendment to part 71 of the Federal accordance with SB No. T53–L–13B–0082, examined during normal business hours Aviation Regulations (14 CFR part 71) to dated May 28, 1996. at the address listed above. (4) For retainers installed on T53–L–13B/ amend Class E airspace at Holyoke, FOR FURTHER INFORMATION CONTACT: Colorado, to provide additional SSD (military) series engines, in accordance James C. Frala, ANM–532.4, Federal with SB No. T53–L–13B/D–0083, dated May controlled airspace for GPS and NDB 28, 1996. Aviation Administration, Docket No. SIAP’s at the Holyoke Airport. The area (5) For retainers installed on T53–L–703 96–ANM–010, 1601 Lind Avenue, SW, would be depicted on aeronautical (military) series engines, in accordance with Renton, Washington 98055–4056; charts for pilot reference. The SB No. T53–L–703–0084, dated May 28, telephone number: (206) 227–2535. coordinates for this airspace docket are 1996. SUPPLEMENTARY INFORMATION: based on North American Datum 83. (b) An alternative method of compliance or Class E airspace areas extending upward adjustment of the compliance time that Comments Invited from 700 feet or more above the surface provides an acceptable level of safety may be Interested parties are invited to of the earth are published in paragraph used if approved by the Manager, Los participate in this proposed rulemaking 6005 of FAA Order 7400.9D dated Angeles Aircraft Certification Office. The by submitting such written data, views, request should be forwarded through an September 4, 1996, and effective appropriate FAA Principal Maintenance or arguments as they may desire. September 16, 1996, which is Inspector, who may add comments and then Comments that provide the factual basis incorporated by reference in 14 CFR send it to the Manager, Los Angeles Aircraft supporting the views and suggestions 71.1. The Class E airspace designation Certification Office. presented are particularly helpful in listed in this document would be Note 2: Information concerning the developing reasoned regulatory published subsequently in the Order. existence of approved alternative methods of decisions on the proposal. Comments The FAA has determined that this compliance with this airworthiness directive, are specifically invited on the overall proposed regulation only involves an if any, may be obtained from the Los Angeles regulatory, aeronautical, economic, established body of technical Aircraft Certification Office. environmental, and energy related regulations for which frequent and (c) Special flight permits may be issued in aspects of the proposal. routine amendments are necessary to accordance with sections 21.197 and 21.199 Communications should identify the keep them operationally current. It, of the Federal Aviation Regulations (14 CFR airspace docket number and be therefore, (1) is not a ‘‘significant 21.197 and 21.199) to operate the aircraft to submitted in triplicate to the address regulatory action’’ under Executive a location where the requirements of this AD listed above. Commenters wishing the Order 12866; (2) is not a ‘‘significant can be accomplished. FAA to acknowledge receipt of their rule’’ under DOT Regulatory Policies Issued in Burlington, Massachusetts, on comments on this notice must submit and Procedures (44 FR 11034; February October 30, 1996. with those comments a self-addressed, 26, 1979); and (3) does not warrant James C. Jones, stamped postcard on which the preparation of a regulatory evaluation as Acting Manager, Engine and Propeller following statement is made: the anticipated impact is so minimal. Directorate, Aircraft Certification Service. ‘‘Comments to Airspace Docket No. 96– Since this is a routine matter that will [FR Doc. 96–28985 Filed 11–12–96; 8:45 am] ANM–010.’’ The postcard will be date/ only affect air traffic procedures and air BILLING CODE 4910±13±U time stamped and returned to the navigation, it is certified that this rule, Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58151 when promulgated, will not have a DEPARTMENT OF HEALTH AND November 12, 1996, to comment on the significant economic impact on a HUMAN SERVICES ANPRM. substantial number of small entities FDA received two requests for a 120- under the criteria of the Regulatory Food and Drug Administration day extension of the comment period on Flexibility Act. its ANPRM on declaration of free 21 CFR Part 101 glutamate. The requests were from trade List of Subjects in 14 CFR Part 71 associations that collectively represent [Docket No. 96N±0244] more than 90 percent of the food Airspace, Incorporation by reference, industry. Both requests indicated that Navigation (air). Food Labeling: Declaration of Free industry representatives would need to The Proposed Amendment Glutamate in Food collect and analyze relevant data before comments could be compiled. One AGENCY: Food and Drug Administration, In consideration of the foregoing, the request further explained that the data HHS. Federal Aviation Administration requested by the agency in the ANPRM proposes to amend 14 CFR part 71 as ACTION: Advance notice of proposed are not readily available, and that the rulemaking; extension of comment follows: food industry began collecting this data period. only after the September 12, 1996, PART 71Ð[AMENDED] publication of the ANPRM. SUMMARY: The Food and Drug Furthermore, because of the 1. The authority citation for 14 CFR Administration (FDA) is extending to unanticipated demand for the test kits part 71 continues to read as follows: March 12, 1997, the comment period for necessary to measure the glutamate the advance notice of proposed Authority: 49 U.S.C. 106(g), 40103, 40113, content in foods and the limited number rulemaking (ANPRM) on the declaration of suppliers of the test kits, the delivery 40120; E.O. 10854, 24 FR 9565, 3 CFR, 1959– of free glutamate in food. The ANPRM 1963 Comp., p. 389; 14 CFR 11.69. of the kits has been delayed. As further appeared in the Federal Register of discussed in the second request for an § 71.1 [Amended] September 12, 1996. The agency is extension, it is expected that the taking this action in response to collection and analysis of the 2. The incorporation by reference in requests for an extension of the preliminary data to identify foods that 14 CFR 71.1 of the Federal Aviation comment period. This extension is would be affected by a labeling policy Administration Order 7400.9D, Airspace intended to allow interested persons would require an additional 45 days. Designations and Reporting Points, additional time to submit comments to Once such data have been analyzed it is dated September 4, 1996, and effective FDA on the declaration of free glutamate expected that an additional 60 days will September 16, 1996, is amended as in foods. be required to collect and analyze cost follows: DATES: Written comments by March 12, estimate data to address analytical costs, administrative costs, potential Paragraph 6005 Class E airspace areas 1997. extending upward from 700 feet or more ADDRESSES: Submit written comments reformulation costs, label redesign costs, above the surface of the earth. to the Dockets Management Branch printing costs, and the value of any discarded label and package inventory. * * * * * (HFA–305), Food and Drug Administration, 12420 Parklawn Dr., Following analysis of the data, a few ANM CO E5 Holyoke, CO [Revised] rm. 1–23, Rockville, MD 20857. additional days will be needed to prepare final comments. Holyoke Airport, CO FOR FURTHER INFORMATION CONTACT: After careful consideration, FDA has (Lat. 40°34′37′′N, long.102°16′42′′W) Felicia B. Satchell, Center for Food decided to extend the comment period That airspace extending upward from 700 Safety and Applied Nutrition (HFS– to March 12, 1997, to allow additional feet above the surface within a 7.5-mile 158), 200 C St. SW., Washington, DC time for the submission of comments on radius of the Holyoke Airport, and within 4.5 20204, 202–205–5099. whether the agency should establish ° miles west and 8 miles east of the 023 SUPPLEMENTARY INFORMATION: In the labeling requirements to alert MSG- bearing from the Holyoke Airport extending Federal Register of September 12, 1996 intolerant consumers to the presence of from the 7.5-mile radius to 17 miles north, (61 FR 48102), FDA issued an ANPRM free glutamate in food and whether the and within 5 miles west and 8 miles east of announcing that it is: (1) Considering ° agency should establish formal criteria the 180 bearing from the Holyoke Airport establishing labeling requirements to for the use of claims about the absence extending from the 7.5-mile radius to 22 alert MSG-intolerant consumers to the of MSG. In the ANPRM, the agency miles south. presence of free glutamate in a food asked a series of questions and * * * * * when the amount of free glutamate in a requested data, as discussed above, Issued in Seattle, Washington, on October serving of the food may contribute to the because the agency did not have 29, 1996. occurrence of adverse reactions, and (2) sufficient information on which to base Glenn A. Adams III, intending to establish formal criteria for a labeling policy for free glutamate or Assistant Manager, Air Traffic Division, the use of claims about the absence of establish criteria for a ‘‘No MSG’’ claim. Northwest Mountain Region. MSG to ensure that labels bearing such Consequently, the agency believes that [FR Doc. 96–29068 Filed 11–12–96; 8:45 am] claims are not misleading. The agency extending the comment period to allow asked a series of questions on both the requested data to be collected is BILLING CODE 4910±13±M issues. In particular, the agency prudent and in the consumer’s best requested data on the levels of interest, because any labeling policy glutamate in foods to determine how that the agency develops should be many and what kinds of foods would be based on data that are sound, valid, and affected by various regulatory that accurately reflects the free approaches and the associated costs of glutamate content of foods. requiring free glutamate labeling. Interested persons may, on or before Interested persons were given until March 12, 1997, submit to the Dockets 58152 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules

Management Branch (address above) by selecting the ‘‘Tax Regs’’ option on limited in time, the transaction should written comments regarding this the IRS Home Page, or by submitting generally be treated the same proposal. Two copies of any comments comments directly to the IRS Internet irrespective of whether, at the end of the are to be submitted, except that site at http:\\www.irs.ustreas. period of permitted use, a disk individuals may submit one copy. gov\prod\taxlregs\comments.html. The containing the computer program must Comments are to be identified with the public hearing will be held in the NYU be returned, or the program docket number found in brackets in the Classroom, room 2615, Internal Revenue automatically deactivates itself. heading of this document. Received Building, 1111 Constitution Avenue II. Copyright Law Principles comments may be seen in the office NW., Washington, DC. above between 9 a.m. and 4 p.m., FOR FURTHER INFORMATION CONTACT: Distinguishing between transactions Monday through Friday. Concerning the regulations, William H. in a copyright and in the subject of the copyright requires an examination of Dated: November 8, 1996. Morris, (202) 622–3880 or Carol P. Tello, (202) 622–3880; concerning U.S. and foreign copyright law (e.g. EC William K. Hubbard, Directive on Legal Protection of submissions and the hearing, Christina Associate Commissioner for Policy Computer Programs, 1991 (91/250/EEC); Vasquez, (202) 622–7180 (not toll-free Coordination. and the Berne Convention (Paris Text, numbers). [FR Doc. 96–29237 Filed 11–8–96; 2:56 pm] July 24, 1971)). An overview of U.S. BILLING CODE 4160±01±F SUPPLEMENTARY INFORMATION: copyright law as it relates to computer Background programs is set forth below. However, the IRS and the Treasury do not purport DEPARTMENT OF THE TREASURY These regulations are proposed to in these regulations to interpret U.S. clarify the treatment under certain copyright law and these proposed Internal Revenue Service provisions of the Internal Revenue Code regulations should not be taken as an (Code) and tax treaties of income from expression of the legal or policy views 26 CFR Part 1 transactions involving computer of the U.S. Copyright Office. programs. [REG±251520±96] The Copyright Act of 1976, as I. Introduction amended (17 U.S.C. 101 et seq.), RIN 1545±AU70 provides protection against Computer programs are generally infringement of the exclusive rights of Classification of Certain Transactions protected by copyright law. Typically the owner of a copyright in original Involving Computer Programs the protection afforded by copyright law works of authorship, fixed in any is a principal source of the value of a tangible medium of expression, AGENCY: Internal Revenue Service (IRS), computer program to the owner of the Treasury. including literary works. (17 U.S.C. copyright. Conversely, the principal 102.) The term literary works is defined ACTION: Notice of proposed rulemaking source of the value of a computer to include: ‘‘* ** numbers, or other and notice of public hearing. program to the purchaser of a copy of verbal or numerical symbols or indicia, the program is not the protection SUMMARY: This document contains regardless of the nature of the material afforded by copyright law, but the right objects, such as books, periodicals, proposed regulations relating to the tax to use or sell the copy. In this regard, treatment of certain transactions manuscripts, phonorecords, film, tapes, computer programs are similar to other disks, or cards, in which they are involving the transfer of computer copyrighted works such as books, programs. The proposed regulations embodied.’’ (17 U.S.C. 101.) Thus, records, motion pictures, etc. For computer programs are literary works provide rules for classifying such example, when a copy of a book is transactions as sales, licenses, leases, or for purposes of the Copyright Act. purchased, the purchaser does not The Copyright Act grants five the provision of services or of know- thereby also acquire any copyright exclusive rights to a copyright owner. Of how under certain provisions of the rights. Accordingly, the proposed these, three are most relevant in the case Internal Revenue Code and tax treaties. regulations generally distinguish of computer programs: the right to This document also provides notice of between transactions in a copyright and reproduce copies of the copyrighted a public hearing on the proposed in the subject of the copyright. work (17 U.S.C. 106(1)); the right to regulations. In developing regulations addressing prepare derivative works, which may DATES: Comments must be received by the treatment of computer programs, the themselves be separately copyrighted, February 11, 1997. Requests to speak IRS and Treasury generally have been based upon the copyrighted work (17 (with outlines of oral comments) at a guided by the following principles: (i) U.S.C. 103 and 106(2)); and the right to public hearing scheduled for March 19, the rules should take into account the distribute copies of the copyrighted 1997, at 10 a.m. must be submitted by special features of computer programs, work to the public by sale or other February 26, 1997. such as the ability to deliver copies transfer of ownership, or by rental, lease ADDRESSES: Send submissions to: electronically as well as physically, and or lending (17 U.S.C. 106(3)). CC:DOM:CORP:R (REG–251520–96), to make perfect copies at little or no Additionally, in certain circumstances, room 5228, Internal Revenue Service, cost, and (ii) wherever possible, the right to publicly perform the POB 7604, Ben Franklin Station, transactions that are functionally copyrighted work (17 U.S.C. 106(4)) and Washington, DC 20044. In the equivalent should be treated similarly. the right to publicly display the alternative, submissions may be hand For example, a transaction that involves copyrighted work may also be relevant delivered between the hours of 8 a.m. the transfer for internal use only of fifty (17 U.S.C. 106(5)). and 5 p.m. to: CC:DOM:CORP:R (REG– copies of a computer program should Thus, under U.S. copyright law, the 251520–96), Courier’s Desk, Internal generally be treated the same as a user of a computer program who does Revenue Service, 1111 Constitution transfer of one copy (for internal use) not possess any of those five rights (or Avenue NW., Washington, DC. with the right to make forty-nine other parts of them) has obtained only rights Alternately, taxpayers may submit copies all for internal use. Similarly, if to use the copyrighted article it comments electronically via the Internet the right to use a computer program is possesses. Generally, that user is treated Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58153 only as having received a copy of the disks are purchased. Accordingly, the Section 1.861–18(c)(1)(ii) provides copyrighted work. Under U.S. copyright proposed regulations treat the that if such rights are not transferred law, a copy is a material object in which transaction as the transfer of a and the transaction does not involve, or a work is fixed by any method now copyrighted article, rather than of a involves to only a de minimis extent, known or later developed, and from copyright right, despite a copyright law the provision of services or know-how, which the work can be perceived, requirement that the corporation receive then the transaction will be classified reproduced, or otherwise a ‘‘license’’ to make those fifty copies. solely as the transfer of a copyrighted communicated, either directly or with Similarly, under the proposed article. the aid of a machine or device (17 regulations, the transfer of a computer Section 1.861–18(c)(2) identifies those U.S.C. 101.). In these proposed program in perpetuity for internal use rights that will be treated as copyright regulations a copy is also referred to as only on a single disk or set of disks in rights for purposes of the proposed a ‘‘copyrighted article.’’ The distinction return for a one-time payment, in a regulations. This list differs from the list between copies and copyrights is made transaction styled as a license of of rights set out in the Copyright Act to most clearly in section 202 of the copyright rights (a so-called shrink wrap take into account the special nature of Copyright Act which provides: license), is treated as the sale of a computer programs. Specifically, the copyrighted article and not the transfer copyright law right to copy will only be Ownership of a copyright, or of any of the treated as a copyright right for the exclusive rights under a copyright, is distinct of a copyright right. Therefore, such a from ownership of any material object in transfer is classified solely as the sale of purposes of the proposed regulations if which the work is embodied. Transfer of a copyrighted article for the purposes of it is accompanied by the right to ownership of any material object, including the proposed regulations. distribute such copies to the public. The the copy or phonorecord in which the work copyright rights that apply for purposes is first fixed, does not of itself convey any IV. Explanation of Provisions of this section are, in addition to the rights in the copyrighted work embodied in Section 1.861–18(a)(1) of the right to copy and distribute to the the object; nor, in the absence of an proposed regulations describes the public, the right to prepare derivative agreement, does transfer of ownership of a computer programs, the right to make a copyright or of any exclusive rights under a scope of the proposed regulations. These proposed regulations provide public performance of the computer copyright convey property rights in any program, and the right to publicly material object. rules for classifying transfers of computer programs for the purposes of display the computer program. The list Certain rights pass to the purchaser of subchapter N of chapter 1 of the Internal of rights contained in § 1.861–18(c)(2) a copy of a computer program. The most Revenue Code, sections 367, 404A, 482, rather than those contained in the important of these is the right to sell 551, 679, 1057, 1059A, chapter 3, Copyright Act will apply for the (but not, without permission, to lease, chapter 5, sections 842 and 845 (to the purposes of the proposed regulations. rent, or lend) the copy to another extent involving a foreign person), and Section 1.861–18(c)(3) defines a person. (17 U.S.C. 109.) Additionally, transfers to foreign trusts not covered by copyrighted article as a copy of a the owner of a copy of a computer section 679. computer program from which the work program has the right to make a copy of can be perceived, reproduced or Section 1.861–18(a)(2) describes the that copy as an essential step in the otherwise communicated. utilization of the program (e.g., copying categories of transactions relating to Section 1.861–18(d) of the proposed to the memory of the computer) and computer programs. In particular, a regulations provides rules for may also make a copy for archival transfer of a copyright right may be determining whether a transaction purposes. (17 U.S.C. 117.) If, however, either a sale or license of that right and involving a newly-developed or the owner of the copy sells that copy, a transfer of a copyrighted article may modified computer program will be all copies made pursuant to the 17 be either a sale or lease of that treated as the provision of services or U.S.C. 117 right must be destroyed. copyrighted article. Section 1.861– another transaction described in 18(a)(3) defines the term computer paragraph (b)(1) of this section. The III. The Proposed Regulations and program. determination is based on all facts and Copyright Law Principles Section 1.861–18(b)(1) provides that a circumstances, including how risk of Although the proposed regulations are transaction involving the transfer of a loss is allocated and the intent of the guided by copyright law principles in computer program will be classified as parties as to ownership of the copyright. determining whether a copyright right either the transfer of a copyright right, See, e.g., Boulez v. Commissioner, 83 or copyrighted article has been the transfer of a copyrighted article, the T.C. 584 (1984); Rev. Rul. 74–555 transferred, the regulations depart in provision of services relating to the (1974–2 C.B. 202); Rev. Rul. 84–78 some cases from a strict reliance on development of a computer program, or (1984–1 C.B. 173). copyright law in order to take into the provision of know-how. Section 1.861–18(e) provides rules for account the special nature of computer Section 1.861–18(b)(2) provides that a determining whether a transfer of programs and to treat functionally transaction involving computer information related to a computer equivalent transactions in the same way. programs which consists of more than program will be considered the For example, the proposed regulations one of the categories in paragraph (b)(1), provision of know-how. A provision of do not treat the transfer of a right to is treated as separate transactions. Any know-how will not be considered to copy as the transfer of a copyright right, resulting transaction that is de minimis, occur unless a party transfers unless it is accompanied by the right to however, taking into account all facts information that (i) relates to computer distribute the copies to the public. and circumstances, will not be treated programming techniques, (ii) is not Thus, where a corporation obtains the as a separate transaction. capable of being copyrighted, and (iii) is right, under an agreement, to make fifty Section 1.861–18(c)(1)(i) provides that protected by trade secret protection. copies of a program for use by its the transfer of a computer program will Under § 1.861–18(f)(1), if a transfer employees at one location (a site be classified as the transfer of a involves copyright rights, it will be license) the transaction is not, for all copyright right if the transferee acquires further classified as either a sale or a practical purposes, any different from a one or more of the rights set forth in license of copyright rights. This transaction in which fifty individual paragraph (c)(2). classification will be made by 58154 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules examining whether, taking into account The application of these rules for passed. Copies of the agenda will be all facts and circumstances, all purposes of the affected Internal available free of charge at the hearing. substantial rights, under the principles Revenue Code sections may result in a Drafting Information of sections 1222 and 1235, have passed change in the method of accounting for to the transferee. certain transactions involving computer The principal authors of these Under § 1.861–18(f)(2), if a transfer programs by certain taxpayers. If the regulations are William H. Morris and involves a copyrighted article, it will be final regulations are adopted, the IRS Carol P. Tello, of the Office of Associate further classified as either a sale or a will consider issuing an automatic Chief Counsel (International), IRS. lease of a copyrighted article. This change revenue procedure to address However, other personnel from the IRS classification will be made by the situation where the taxpayer is and Treasury Department participated examining whether the benefits and required to change its method of in their development. burdens of ownership have passed to accounting to comport with the new List of Subjects in 26 CFR Part 1 the transferee. See, e.g., Grodt & McKay regulations. Realty, Inc. v. Commissioner, 77 T.C. Income taxes, Reporting and Special Analyses 1221, 1237–38 (1981); Torres v. recordkeeping requirements. Commissioner, 88 T.C. 702, 720–27 It has been determined that this notice Proposed Amendments to the (1987); Estate of Thomas v. of proposed rulemaking is not a Regulations Commissioner, 84 T.C. 412, 431–40 significant regulatory action as defined Accordingly, 26 CFR part 1 is (1985). in EO 12866. Therefore, a regulatory proposed to be amended as follows: Under § 1.861–18(f)(3), the assessment is not required. It also has determination of the classification of a been determined that section 553(b) of PART 1ÐINCOME TAXES transfer involving a copyright right or the Administrative Procedure Act (5 copyrighted article must appropriately U.S.C. chapter 5) does not apply to these Paragraph 1. The authority citation consider the special nature of computer regulations, and because the regulations for part 1 continues to read in part as programs in transactions that take do not impose a collection of follows: advantage of those characteristics. For information on small entities, the Authority: 26 U.S.C. 7805 * * * Regulatory Flexibility Act (5 U.S.C. example, a transaction in which a Par. 2. Section 1.861–18 is added to chapter 6) does not apply. Pursuant to person acquires a copyrighted article on read as follows: disk subject to a requirement that the section 7805(f) of the Internal Revenue disk be destroyed after a specified Code, this notice of proposed § 1.861±18 Classification of transactions period is generally the equivalent of a rulemaking will be submitted to the involving computer programs. requirement that the disk be returned Chief Counsel for Advocacy of the Small (a) General—(1) Scope. This section after such period. Similarly, a Business Administration for comment provides rules for classifying transaction in which the program on its impact on small business. transactions relating to computer deactivates itself after a specified period Comments and Public Hearing programs for purposes of subchapter N may also be treated as the equivalent of of chapter 1 of the Internal Revenue returning the copy. Before these proposed regulations are Code, sections 367, 404A, 482, 551, 679, Section 1.861–18(g) of the proposed adopted as final regulations, 1057, 1059A, chapter 3, chapter 5, regulations provides certain additional consideration will be given to any sections 842 and 845 (to the extent rules of operation. Section 1.861– comments that are submitted timely (in involving a foreign person), and 18(g)(1) provides that neither the form the manner described in the ADDRESSES transfers to foreign trusts not covered by adopted by the parties to a transaction caption) to the IRS. All comments will section 679. nor the classification of a transaction be available for public inspection and (2) Categories of transactions. This under copyright law are determinative copying. section generally requires that such for tax purposes. Therefore, as A public hearing has been scheduled transactions be treated as being solely illustrated in Example 1, a transfer of a for March 19, 1997, at 10 a.m. in the within one of four categories (described computer program on a disk subject to NYU Classroom, room 2615, Internal in paragraph (b)(1) of this section) and a shrink-wrap license will generally be Revenue Building, 1111 Constitution provides certain rules for categorizing a sale of a copyrighted article. Avenue NW., Washington, DC. Because such transactions. In the case of a Section 1.861–18(g)(2) provides that of access restrictions, visitors will not be transfer of a copyright right, this section the method of transferring the computer admitted beyond the Internal Revenue provides rules for determining whether program, for example by disk or Building lobby more than 15 minutes the transaction should be classified as electronically, shall not be relevant in before the hearing starts. either a sale or exchange, or a license determining whether a copyright right The rules of 26 CFR 601.601(a)(3) generating royalty income. In the case of or a copyrighted article has been apply to the hearing. a transfer of a copyrighted article, this transferred. Persons that wish to present oral section provides rules for determining The foregoing rules are illustrated by comments at the hearing must submit whether the transaction should be a number of examples contained in comments by February 11, 1997 and classified as either a sale or exchange, § 1.861–18(h). submit an outline of the topics to be or a lease generating rental income. Under § 1.861–18(i), these regulations discussed and the time to be devoted to (3) Computer program. For purposes are proposed to apply to all transactions each topic (in the manner described in of this section, a computer program is a occurring on or after the date that is 60 the ADDRESSES caption) by February 26, set of statements or instructions to be days after the date the final regulations 1997. used directly or indirectly in a computer are published in the Federal Register. A period of 10 minutes will be in order to bring about a certain result. No inference should be drawn from the allotted to each person for making For purposes of this paragraph (a)(3), a proposed effective date concerning the comments. computer program includes any data treatment of transactions involving An agenda showing the scheduling of base or similar item if the data base or computer programs entered into before the speakers will be prepared after the similar item is incidental to the the regulations are applicable. deadline for receiving outlines has operation of the computer program. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58155

(b) Categories of transactions—(1) paragraph (e) of this section), the royalty income. For this purpose, the General. Except as provided in transfer of the copy of the computer principles of sections 1222 and 1235 paragraph (b)(2) of this section, a program is classified solely as a transfer shall apply. transaction involving the transfer of, or of a copyrighted article. (2) Transfers of copyrighted articles. the provision of services or of know- (2) Copyright rights. The copyright The determination of whether a transfer how with respect to, a computer rights referred to in paragraph (c)(1) of of a copyrighted article is a sale or program (collectively, a transfer of a this section are as follows— exchange is made on the basis of computer program) is treated as being (i) The right to make copies of the whether, taking into account all facts solely one of the following— computer program for purposes of and circumstances, the benefits and (i) A transfer of a copyright right in distribution to the public by sale or burdens of ownership have been the computer program; other transfer of ownership, or by rental, transferred. A transaction that does not (ii) A transfer of a copy of the lease or lending; constitute a sale or exchange because computer program (a copyrighted (ii) The right to prepare derivative insufficient benefits and burdens of article); computer programs based upon the ownership of the copyrighted article (iii) The provision of services for the copyrighted computer program; have been transferred, such that a development or modification of the (iii) The right to make a public person other than the transferee is computer program; or performance of the computer program; properly treated as the owner of the (iv) The provision of know-how or copyrighted article, will be classified as relating to computer programming (iv) The right to publicly display the a lease generating rental income. techniques. computer program. (3) Special circumstances of computer (2) Transactions consisting of more (3) Copyrighted article. A copyrighted programs. In connection with than one category. Any transaction article is a copy of a computer program determinations under this paragraph (f), involving computer programs which from which the work can be perceived, consideration must be given as consists of more than one of the reproduced or otherwise communicated, appropriate to the special characteristics transactions described in paragraph either directly or with the aid of a of computer programs in transactions (b)(1) of this section shall be treated as machine or device. The copy of the that take advantage of these separate transactions, with the program may be fixed in the magnetic characteristics (such as the ability to appropriate provisions of this section medium of a floppy disk or in the main make perfect copies at minimal cost). being applied to each such transaction. memory or hard drive of a computer. However, any transaction that is de (d) Provision of services. The For example, a transaction in which a minimis, taking into account the overall determination of whether a transaction person acquires a copy of a computer transaction and the surrounding facts involving a newly developed or program on disk subject to a and circumstances, shall not be treated modified computer program is treated as requirement that the disk be destroyed as a separate transaction, but as part of either the provision of services or after a specified period is generally the another transaction. another transaction described in equivalent of a transaction subject to a (c) Transfers involving both a paragraph (b)(1) of this section is based requirement that the disk be returned copyright right and a copyrighted on all the facts and circumstances of the after such period. Similarly, a article—(1) Classification—(i) Transfers transaction, including, as appropriate, transaction in which the program treated as transfers of copyright rights. the intent of the parties (as evidenced by deactivates itself after a specified period A transfer of a computer program is their agreement and conduct) as to is generally the equivalent of returning classified as a transfer of a copyright which party is to own the copyright the copy. right if, as a result of the transaction, a rights in the computer program and how (g) Rules of operation—(1) Term person acquires any one or more of the the risks of loss are allocated between applied to transaction by parties. rights described in paragraphs (c)(2)(i) the parties. Neither the form adopted by the parties through (iv) of this section. For (e) Provision of know-how. The to a transaction, nor the classification of example, if a person receives a disk provision of information with respect to the transaction under copyright law, containing a copy of a computer a computer program will not be treated shall be determinative. Therefore, for program which enables it to exercise, in as the provision of know-how for the example, if there is a transfer of a relation to that program, a non-de purposes of this section unless the computer program on a single disk for minimis right described in paragraphs information is— a one-time payment with restrictions on (c)(2)(i) through (iv) of this section (and (1) Information relating to computer transfer and reverse engineering, which the transaction does not involve, or programming techniques; the parties characterize as a license involves only a de minimis provision of (2) Not capable itself of being (generally referred to as a shrink-wrap services as described in paragraph (d) of copyrighted; and license), application of the rules of this section or of know-how as (3) Subject to trade secret protection. paragraphs (c) and (f) of this section described in paragraph (e) of this (f) Further classification of transfers may nevertheless result in the section), then, under paragraph (b)(2) of involving copyright rights and transaction being classified as the sale of this section, the transfer is classified copyrighted articles—(1) Transfers of a copyrighted article. solely as a transfer of a copyright right. copyright rights. The determination of (2) Means of transfer not to be taken (ii) Transfers treated solely as whether a transfer of a copyright right into account. The rules of this section transfers of copyrighted articles. If a is a sale or exchange of property is made shall be applied irrespective of the person acquires a copy of a computer on the basis of whether, taking into physical or electronic medium used to program but does not acquire any of the account all facts and circumstances, effectuate a transfer of a computer rights described in paragraphs (c)(2)(i) there has been a transfer of all program. through (iv) of this section (and the substantial rights in the copyright. A (h) Examples. The provisions of this transaction does not involve, or involves transaction that does not constitute a section may be illustrated by the only a de minimis provision of services sale or exchange because not all following examples. All of the following as described in paragraph (d) of this substantial rights have been transferred examples assume that all parties are section or of know-how as described in will be classified as a license generating unrelated to each other: 58156 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules

Example 1. (i) Facts. Corp A, a U.S. (ii) Analysis. (A) Under paragraph (c)(2) of on it to Corp B, under paragraph (c)(1)(i) of corporation, owns the copyright in a this section, P has received no copyright this section because this transfer is computer program, Program X. It copies rights. Because P has received a copy of the accompanied by a copyright right identified Program X on to disks. The disks are placed program under paragraph (c)(1)(ii) of this in paragraph (c)(2)(i) of this section, this in boxes covered with a wrapper on which section, he has, therefore, received a transaction is a transfer solely of copyright is printed what is generally referred to as a copyrighted article. rights, not of copyrighted articles. For shrink-wrap license. The license is stated to (B) Taking into account all of the facts and purposes of paragraph (b)(2) of this section, be perpetual. Under the license no reverse circumstances, P is not properly treated as the disk containing a copy of Program X is engineering of the computer program is the owner of a copyrighted article. Therefore, a de minimis component of the transaction. permitted. The transferee receives, first, the under paragraph (f)(2) of this section, there (B) Applying the all substantial rights test right to use the program on two of its own has been a lease of a copyrighted article under paragraph (f)(1) of this section, Corp A computers (for example, a laptop and a rather than a sale. Taking into account the will be treated as having sold copyright rights desktop) provided that only one copy is in special characteristics of computer programs to Corp B. Corp B has acquired all of the use at any one time, and, second, the right as provided in paragraph (f)(3) of this section, copyright rights in Program X, has received to make one copy of the program on each the result would be the same if P were the right to use them exclusively within a machine as an essential step in the utilization required to destroy the disk at the end of the geographic area, and has received the rights of the program. The transferee is permitted one-week period instead of returning it since for the remaining life of the copyright in by the shrink-wrap license to sell the copy Corp A can make additional copies of the Program X. Under paragraph (g)(1) of this so long as it destroys any other copies it has program at minimal cost. section, the fact that the agreement is labelled made and imposes the same terms and Example 4. (i) Facts. The facts are the same a license is not controlling (nor is the fact conditions of the license on the purchaser of as those in Example 2, where P, the Country that Corp A receives a sum labelled a its copy. These disks are made available for Z resident, receives Program X from Corp A’s royalty). (This would also be the case if the sale to the general public in Country Z. In home page on the Internet, except that P may copy of Program X to be used for the return for valuable consideration, P, a only use Program X for a period of one week purposes of reproduction were transmitted Country Z resident, receives one such disk. at the end of which an electronic lock is electronically to Corp B, as a result of the (ii) Analysis. (A) Under paragraph (g)(1) of activated and the program can no longer be application of the rule of paragraph (g)(2) of this section, the label license is not accessed. Thereafter, if P wishes to use this section.) determinative. None of the copyright rights Program X, it must return to the home page Example 6. (i) Facts. Corp A, a U.S. described in paragraph (c)(2) of this section and pay Corp A to send an electronic key to corporation, transfers a disk containing have been transferred in this transaction. P reactivate the program for another week. Program X to Corp B, a Country Z has received a copy of the program, however, (ii) Analysis. (A) As in Example 3, under corporation, and grants Corp B the non and, therefore, under paragraph (c)(1)(ii) of paragraph (c)(2) of this section, P has not exclusive right to reproduce and distribute this section, P has acquired solely a received any copyright rights. P has received for sale to the public an unlimited number copyrighted article. a copy of the program, and under paragraph of disks at its factory in Country Z in return (B) Taking into account all of the facts and (g)(2) of this section, the means of for a payment related to the number of disks circumstances, P is properly treated as the owner of a copyrighted article. Therefore, transmission is irrelevant, P has, therefore, copied and sold. The term of the agreement under paragraph (f)(2) of this section, there under paragraph (c)(1)(ii) of this section, is two years, which is less than the remaining has been a sale of a copyrighted article rather received a copyrighted article. life of the copyright. than the grant of a lease. (B) As in Example 3, P is not properly (ii) Analysis. (A) As in Example 5, the Example 2. (i) Facts. The facts are the same treated as the owner of a copyrighted article. transfer of the disk containing the copy of the as those in Example 1, except that instead of Therefore, under paragraph (f)(2) of this program does not constitute the transfer of a selling disks, Corp A, the U.S. corporation, section, there has been a lease of a copyrighted article under paragraph (c)(1) of decides to make Program X available, for a copyrighted article rather than a sale. While this section because Corp B has also acquired fee, on a World Wide Web home page on the P does retain Program X on its computer at a copyright right under paragraph (c)(2)(i) of Internet. P, the Country Z resident, in return the end of the one week period, as a legal this section. For purposes of paragraph (b)(2) for payment made to Corp A, downloads matter P no longer has the right to use the of this section, the disk containing Program Program X (via modem) onto the hard drive program (without further payment) and, X is a de minimis component of the of his computer. As part of the electronic indeed, cannot use the program without the transaction. communication, P signifies his assent to a electronic key. Functionally, Program X is no (B) Taking into account all of the facts and license agreement with terms identical to longer on the hard drive of P’s computer. circumstances, there has been a license of those in Example 1, except that in this case Instead, the hard drive contains only a series Program X to Corp B, and the payments made P may make a back-up copy of the program of numbers which no longer perform the by Corp B are royalties. Under paragraph on to a disk. function of Program X. Although in Example (f)(1) of this section, there has not been a (ii) Analysis. (A) None of the copyright 3, P was required to physically return the transfer of all substantial rights in the rights described in paragraph (c)(2) of this disk, taking into account the special copyright to Program X because Corp A has section have passed to P. Although P did not characteristics of computer programs as the right to enter into other licenses with buy a physical copy of the disk with the provided in paragraph (f)(3) of this section, respect to the copyright of Program X, program on it, paragraph (g)(2) of this section the result in this Example 4 is the same as including in Country Z (or even to sell that provides that the means of transferring the in Example 3. copyright, subject to Corp B’s interest). Corp program is irrelevant. Therefore, P has Example 5. (i) Facts. Corp A, a U.S. B has acquired no right itself to license the acquired a copyrighted article. corporation, transfers a disk containing copyright rights in Program X. Finally, the (B) As in Example 1, P is properly treated Program X to Corp B, a Country Z term of the license is for less than the as the owner of a copyrighted article. corporation, and grants Corp B an exclusive remaining life of the copyright in Program X. Therefore, under paragraph (f)(2) of this license for the remaining term of the Example 7. (i) Facts. Corp C, a distributor section, there has been a sale of a copyrighted copyright to copy and distribute an unlimited in Country Z, enters into an agreement with article rather than the grant of a lease. number of copies of Program X in the Corp A, a U.S. corporation, to purchase as Example 3. (i) Facts. The facts are the same geographic area of Country Z, prepare many copies of Program X on disk as it may as those in Example 1, except that Corp A derivative works based upon Program X, from time-to-time request. Corp C will then only allows P, the Country Z resident, to use make public performances of Program X, and sell these disks to retailers. The disks are Program X for one week. At the end of that publicly display Program X. Corp B will pay shipped in boxes covered by shrink-wrap week, P must return the disk with Program Corp A a royalty of $y a year for three years, licenses (identical to the license described in X on it to Corp A. P must also destroy any which is the expected period during which Example 1). copies made of Program X. If P wishes to use Program X will have commercially (ii) Analysis. (A) Corp C has not acquired Program X for a further period he must enter exploitable value. any copyright rights under paragraph (c)(2) of into a new agreement to use the program for (ii) Analysis. (A) Although Corp A has this section with respect to Program X. It has an additional charge. transferred a disk with a copy of Program X acquired individual copies of Program X, Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58157 which it may sell to others. The use of the subsequently introduced, Program X may be (B) Taking into account all facts and term license is not dispositive under loaded on to those machines for additional circumstances, under the benefits and paragraph (g)(1) of this section. Under one-time per-user fees. The license which burdens test Corp E is not properly treated paragraph (c)(1)(ii) of this section, Corp C has grants the rights to operate Program X on 50 as the owner of the copyrighted article. Corp acquired copyrighted articles. workstations also prohibits Corp E from E does not receive the right to use Program (B) Taking into account all of the facts and selling the disk (or any of the 50 copies) or X in perpetuity, but only for so long as it circumstances, Corp C is properly treated as reverse engineering the program. The term of continues to make payments. Corp E does not the owner of copyrighted articles. Therefore, the license is stated to be perpetual. have the right to purchase Program X on under paragraph (f)(2) of this section, there (ii) Analysis. (A) The grant of a right to advantageous (or, indeed, any) terms once a has been a sale of copyrighted articles. copy, unaccompanied by the right to certain amount of money has been paid to Example 8. (i) Facts. Corp A, a U.S. distribute those copies to the public, is not Corp A or a certain period of time has corporation, transfers a disk containing the transfer of a copyright right under elapsed (which might indicate a sale). Once Program X to Corp D, a foreign corporation paragraph (c)(2) of this section. Therefore, the agreement is terminated, Corp E will no engaged in the manufacture and sale of under paragraph (c)(1)(ii) of this section, this longer possess any copies of Program X, personal computers in Country Z. Corp A transaction is a transfer of copyrighted current or superseded. Therefore under grants Corp D the non-exclusive right to copy articles (50 copies of Program X). paragraph (f)(2) of this section there has been Program X onto the hard drive of computers (B) Taking into account all of the facts and a lease of a copyrighted article. which it manufactures, and to distribute circumstances, P is properly treated as the Example 13. (i) Facts. The facts are the those copies (on the hard drive) to the public. owner of a copyrighted article. Therefore, same as in Example 12, except that while The term of the agreement is two years, under paragraph (f)(2) of this section, there Corp E must return copies of Program X as which is less than the remaining life of the has been a sale of copyrighted articles rather new upgrades are received, if the agreement copyright in Program X. Corp D pays Corp A than the grant of a lease. Notwithstanding the terminates, Corp E may keep the latest an amount based on the number of copies of restriction on sale, other factors such as, for version of Program X (although Corp E is still Program X it loads on to computers. example, the risk of loss and the right to use prohibited from selling or otherwise (ii) Analysis. The analysis is the same as the copies in perpetuity outweigh, in this transferring any copy of Program X). in Example 6. Under paragraph (c)(2)(i) of case, the restrictions placed on the right of (ii) Analysis. For the reasons stated in this section, Corp D has acquired a copyright alienation. Example 10, the transfer of the program will right enabling it to exploit Program X by Example 11. (i) Facts. The facts are the be treated as a sale of a copyrighted article copying it on to the hard drives of the same as in Example 10, except that Corp E, rather than as a lease. computers that it manufactures and then the Country Z corporation, acquires the right Example 14. (i) Facts. Corp G, a Country to make Program X available to workstation sells. For purposes of paragraph (b)(2) of this Z corporation, enters into a contract with users who are Corp E employees by way of section, the disk containing Program X is a Corp A, a U.S. corporation, for Corp A to a local area network (LAN). The number of de minimis component of the transaction. modify Program X so that it can be used at users that can use Program X on the LAN at Taking into account all of the facts and Corp G’s facility in Country Z. Under the any one time is limited to 50. Corp E pays circumstances, Corp D has not, however, contract, Corp G is to acquire one copy of the a one-time fee for the right to have up to 50 acquired all substantial rights in the employees use the program at the same time. program on a disk and the right to use the copyright to Program X (for example, the (ii) Analysis. Under paragraph (g)(2) of this program on 5,000 workstations. The contract term of the agreement is less than the section the mode of transmission is requires Corp A to rewrite elements of remaining life of the copyright). Under irrelevant. Therefore, as in Example 10, Program X so that it will conform to Country paragraph (f)(1) of this section, this under paragraph (c)(2) of this section, no Z accounting standards. The services transaction is, therefore, a license of Program copyright right has been transferred and thus, required to perform this task are de minimis X to Corp D rather than a sale and the under paragraph (c)(1)(ii) of this section, this taking into account the facts and payments made by Corp D are royalties. transaction will be classified as the transfer circumstances of this transaction. The Example 9. (i) Facts. The facts are the same of a copyrighted article. Under the benefits agreement between Corp A and Corp G is as in Example 8, except that Corp D, the and burdens test of paragraph (f)(2) of this otherwise identical as to rights and payment Country Z corporation, receives physical section, this transaction is a sale of terms as the agreement described in Example disks. The disks are shipped in boxes copyrighted articles. 10. covered by shrink-wrap licenses (identical to Example 12. (i) Facts. The facts are the (ii) Analysis. (A) As in Example 10, no the licenses described in Example 1). Corp D same as in Example 11, except that Corp E copyright rights are being transferred under uses each individual disk only once to load pays a monthly fee to Corp A, the U.S. paragraph (c)(2) of this section. Under a single copy of Program X onto each corporation, calculated with reference to the paragraph (b)(2) of this section, the services separate computer. Corp D transfers the disk permitted maximum number of users (which provided are de minimis. This transaction with the computer when it is sold. can be changed) and the computing power of will be classified, therefore, as a transfer of (ii) Analysis. (A) As in Example 7 (unlike Corp E’s server. In return for this monthly copyrighted articles under paragraph (c)(1)(ii) Example 8) no copyright right identified in fee, Corp C receives the right to receive of this section. paragraph (c)(2) of this section has been upgrades of Program X when they become (B) Taking into account all facts and transferred. Corp D acquires the disks available. The agreement may be terminated circumstances, Corp G is properly treated as without the right to reproduce and distribute by either party at the end of any month. the owner of copyrighted articles. Therefore, publicly further copies of Program X. This is When the disk containing the upgrade is under paragraph (f)(2) of this section, there therefore the transfer of copyrighted articles received, or if the contract is terminated, has been the sale of a copyrighted article under paragraph (c)(1)(ii) of this section. Corp E must return the disk containing the rather than the grant of a lease. (B) Taking into account all of the facts and earlier version of Program X to Corp A, and Example 15. (i) Facts. Corp H, a Country circumstances, Corp D is properly treated as delete (or otherwise destroy) any copies Z corporation, enters into a license agreement the owner of copyrighted articles. Therefore, made of the current version of Program X. for a modified version of Program X only if under paragraph (f)(2) of this section, the The agreement specifically provides that Corp A, a U.S. corporation, makes substantial transaction is classified as the sale of a Corp E has not thereby been granted an modifications to the program. Only the core copyrighted article. option to purchase Program X. idea of Program X will be used and a Example 10. (i) Facts. Corp A, a U.S. (ii) Analysis. (A) Corp E has received no considerable amount of labor will be corporation, transfers a disk containing copyright rights under paragraph (c)(2) of this expended in rewriting Program X, which Program X to Corp E, a Country Z section. Under paragraph (d) of this section, under applicable copyright law as a corporation, and grants Corp E the right to based on all the facts and circumstances of derivative work will be a separate, new load Program X onto 50 individual the transaction, Corp A has not provided program. Corp A and Corp H agree that Corp workstations for use only by Corp E services to Corp E. Therefore, under A is modifying Program X for Corp H and employees at one location in return for a one- paragraph (c)(1)(ii) of this section, the that, when modified Program X is completed, time per-user fee (generally referred to as a transaction is a transfer of a copyrighted the copyright in the modified program will site license). If additional workstations are article. belong to Corp H. Corp H gives instructions 58158 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules to Corp A programmers regarding program ENVIRONMENTAL PROTECTION DATES: Comments on this proposed rule specifications. Corp H agrees to pay Corp A AGENCY must be received in writing by a fixed monthly sum during development of December 13, 1996. the program. If Corp H is dissatisfied with the 40 CFR Part 69 ADDRESSES: Written comments on this development of the program it may cancel action should be addressed to: Norm the contract at the end of any month. In the [AD±FRL±5645±2] Lovelace, Chief, Office of Pacific Islands event of termination, Corp A will retain all and Native American Programs, US payments, while any procedures, techniques Proposed Conditional Special EPA-Region IX, 75 Hawthorne Street, or copyrightable interests will be the Exemption From Requirements of the San Francisco, California 94105. property of Corp H. All of the payments are Clean Air Act for the Territory of Supporting information used to develop labelled royalties. There is no provision in American Samoa, the Commonwealth the proposed conditional exemptions, the agreement for any continuing of the Northern Mariana Islands, and including copies of the petitions, all relationship between Corp A and Corp H, the Territory of Guam comments received, and the response to such as the furnishing of updates of the comments document, are available for program, after completion of the modification AGENCY: Environmental Protection inspection during normal business work. Agency (EPA). hours at this location. (ii) Analysis. Taking into account all of the ACTION: Proposed rule. facts and circumstances, Corp A is treated as FOR FURTHER INFORMATION CONTACT: providing services to Corp H. Under Norm Lovelace (telephone 415/744– SUMMARY: On September 13, 1995 (60 paragraph (d) of this section, Corp A is 1599, fax 415/744–1604), Chief, Office FR 47515), EPA proposed to grant the treated as providing services to Corp H of Pacific Islands and Native American Territory of American Samoa (American because Corp H bears all of the risks of loss Programs or Sara Bartholomew Samoa) and the Commonwealth of the associated with the development of modified (telephone 415/744–1250, fax 415/744– Program X and is the owner of all copyright Northern Mariana Islands (CNMI) a 1076), Operating Permits Section, Air rights in modified Program X. Under conditional exemption from title V and Toxics Division, at the address paragraph (g)(1) of this section, the fact that requirements and to grant the Territory above. of Guam (Guam) an extension of time in the agreement is labelled a license is not SUPPLEMENTARY INFORMATION: For controlling (nor is the fact that Corp A which to adopt a title V permit program. additional information, please see the receives a sum labelled a royalty). EPA proposed these conditional direct final rulemaking located in a Example 16. (i) Facts. Corp A, a U.S. exemptions and this extension under separate part of this Federal Register. corporation, and Corp I, a Country Z the authority of section 325 of the Clean Authority: 42 U.S.C. 7401–7671q. corporation, agree that a development Air Act. EPA received comments during engineer employed by Corp A will travel to the public comment period requesting List of Subjects in 40 CFR Part 69 Country Z to provide know-how relating to that EPA grant a permanent exemption to Guam. EPA also received a letter on Environmental protection, certain techniques which are not generally Administrative practice and procedure, known to computer programmers which will December 18, 1995 from the Administrator of the Guam Air pollution control, Hazardous air enable Corp I to more efficiently create pollutants, Intergovernmental relations, computer programs. These techniques Environmental Protection Agency stating that Guam would develop an Nitrogen oxides, Operating permits, represent the product of experience gained Reporting and recordkeeping by Corp A from working on many computer alternate local permitting program in requirements, Sulfur dioxide, Volatile programming projects. Such information is exchange for a permanent exemption. In organic compounds. not capable of being copyrighted, but it is response to these comments and this subject to trade secret protection. commitment, EPA is proposing to Dated: October 28, 1996. (ii) Analysis. This transaction contains the conditionally exempt Guam, as well as Carol M. Browner, elements of know-how specified in paragraph American Samoa and CNMI, from title Administrator. (e) of this section. Therefore, this transaction V of the Clean Air Act. [FR Doc. 96–28431 Filed 11–12–96; 8:45 am] will be classified as the provision of know- In a separate part of this Federal BILLING CODE 6560±50±P how. Register, EPA is promulgating this action as a direct final rule without a (i) Effective date. This section applies prior proposal because the public to transactions occurring on or after the DEPARTMENT OF HEALTH AND comments received to date support HUMAN SERVICES date that is sixty days after the date final granting a permanent exemption. A regulations are published in the Federal detailed rationale and conditions for Health Resources and Services Register. this approval are set forth in the direct Administration Margaret Milner Richardson, final rule. If no adverse comments are Commissioner of Internal Revenue. received in response to this proposed 42 CFR Part 121 rule, the direct final rule will take effect [FR Doc. 96–29055 Filed 11–7–96; 3:11 pm] Organ Procurement and BILLING CODE 4830±01±U on January 13, 1997. If adverse comments are received during the Transportation Network; Organ comment period, EPA will publish Allocation Policies timely notice in the Federal Register AGENCY: Health Resources and Services withdrawing the direct final rule for Administration, DHHS. Guam, American Samoa and CNMI, and ACTION: Request for additional public all public comments will be addressed comment on proposed rule; notice of in a subsequent final rule based on this public hearings. proposal. The EPA will not institute an additional comment period on this SUMMARY: This document announces action and any parties interested in that the Secretary of Health and Human commenting should do so at this time. Services is formally inviting additional Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58159 public comment on the Notice of governing the operation of the OPTN (59 patients in that region in descending point Proposed Rulemaking (NPRM) FR 46482–99). The public comment order; then to published on September 8, 1994, to period expired on December 7, 1994, all other regional patients in descending point order; then to establish rules governing the operation although additional comments were Status 1 patients in all other regions in of the Organ Procurement and received and accepted after that date. descending point order; then to Transportation Network (OPTN). The As part of the preamble to the NPRM, Status 2 patients in all other regions in Secretary is seeking additional the Department solicited comments on descending point order; and finally to comments on policies affecting the the organ-allocation policies used to all other patients in all other regions in allocation of human livers for distribute organs by the OPTN (59 FR descending point order. transplantation. In addition, this 46487). Since that time, the OPTN has The Status definitions, in pertinent document announces that a public undertaken a major review of its part, are as follows: policies governing the allocation of hearing will be held at which interested A patient listed as Status 1 is in a individuals may submit oral comments livers, and the Board of Directors of the hospital’s Intensive Care Unit (ICU) due to regarding such policies as well as OPTN has proposed a revised policy to acute or chronic liver failure with a life regarding methods to increase organ allocate livers. The revisions proposed expectancy without a liver transplant of less donation. by the Board have generated than 7 days. considerable controversy within the A patient listed as Status 2 is continuously DATES: transplant community. In view of hospitalized in an acute care bed for at least Hearing: The hearing will be held on sections 372–375 of the Public Health five days, or is ICU bound. December 10–11, 1996, beginning at 9 A patient listed as Status 3 requires Service Act, 42 U.S.C. 274–274c, which continuous medical care. a.m. each day. Requests to testify must vest responsibility in the Secretary of A patient listed as Status 4 is at home and be submitted by December 2, 1996. Health and Human Services for functioning normally. Comments: For those who choose to oversight of the OPTN, the Department A patient listed as Status 7 is temporarily send written comments only, comments has concluded that further public inactive—patients who are temporarily must be submitted by December 13, participation in the development of unsuitable for transplant are listed as Status 1996 in order to ensure full allocation policies related to livers is 7. consideration. Because the issue of desirable. Accordingly, we have decided The OPTN Board’s proposed policy organ donation is not part of the to seek additional comments on the would revise the definitions of several rulemaking process, we will accept NPRM and to accept oral testimony and of the status groups and would revise comments and suggestions on this issue written comments on liver allocation the ‘‘local’’ area which constitutes the at any time. policies and the processes by which first allocation area. In seeking ADDRESSES: Written requests to testify they may be developed. additional comment, the Secretary and written comments on allocation In addition, we recognize that the invites comments on the following policies should be transmitted to: Ms. difficult issues associated with questions: Judith Braslow, Director, HRSA Division establishing allocation policies stem a. Does the OPTN Board’s policy of Transplantation, Room 7–29, 5600 from a central problem: the medical achieve the best outcome that can Fishers Lane, Rockville, Maryland need for organs far exceeds organs reasonably be expected for the patients 20857. donated. Accordingly, we have decided of America? If not, what revisions to the In light of the short period for to use a public hearing as an policy, alternative policy, or submitting requests to testify, such opportunity to solicit public comments combination of policies would yield a requests may also be submitted by on methods to increase organ donation superior result? telefax to Ms. Braslow at (301) 594– and general awareness of organ Please present data and other 6095. transplantation as a therapeutic information that support your view; for Comments will be available for public alternative for end-stage organ disease. example, success measures or factors inspection three business days after Participants in the hearing will be mentioned in the NPRM which include their receipt in Room 7–29, Parklawn limited to ten minutes per individual (or (1) equitable distribution of organs; (2) Building, 5600 Fishers Lane, Rockville, institution). Those requesting to testify improvement in graft and patient Maryland, Monday through Friday of should indicate whether their comments survival, and (3) enhanced patient each week from 8:00 a.m. to 4:30 p.m. will address allocation policies, organ choice among transplant programs. In To view public comments in donation, or both. We are particularly particular, please indicate the measures Washington, D.C., call (202) 690–7890 interested in comments addressing the you considered most important in to make an appointment for inspection following issues: assessing the relative efficacy of various in Room 309 G of the Hubert Humphrey policy options. 1. Allocation of Human Livers for b. Would changes in other OPTN Building, 200 Independence Avenue, Transplantation policies related to liver allocation, such S.W. The hearing will be held at the The Organ Procurement and as those noted below, yield a better Natcher Center on the National Transplantation Network (OPTN) outcome for the patients of America Institutes of Health campus in Bethesda, currently allocates human livers for than the present system? Should such Maryland. transplantation in accordance with the changes be implemented in addition to following policy: a change in the OPTN Board’s allocation FOR FURTHER INFORMATION CONTACT: policy or phased in with a change? Ms. Braslow at the address listed above. To local Status 1 patients first in • Criteria for entering patients on the Telephone: (301) 443–7577. descending point order; then to waiting list for liver transplant. local Status 2 patients in descending point SUPPLEMENTARY INFORMATION: Allocation • order; then to Definition of the status categories of human livers for transplantation has all other local patients in descending point for patients on the waiting list for liver been debated within the transplant order; then to transplant. community for several years. On Status 1 patients in the Host OPO’s (organ • Procedures for ensuring compliance September 8, 1994, the Department procurement organization) region in with OPTN policies affecting liver published an NPRM to establish rules descending point order; then to Status 2 allocation. 58160 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules

• Use of performance measures, e.g., DEPARTMENT OF THE INTERIOR FOR FURTHER INFORMATION CONTACT: Jeff quality of transplant outcomes and Holdren 202–452–7779, or Bernie Hyde annual number of transplants Bureau of Land Management 202–452–5057. performed, in determining the eligibility 43 CFR Parts 1600, 1820, 1840, 1850, Dated: November 6, 1996. of transplant centers to receive donor 1860, 1880, 2090, 2200, 2300, 2520, Annetta Cheek, livers. 2540, 2560, 2620, 2720, 2800, 2810, Regulatory Affairs Group Manager. 2. Donation of Organs for 2880, 2910, 2920, 3000, 3100, 3120, [FR Doc. 96–29028 Filed 11–12–96; 8:45 am] Transplantation 3150, 3160, 3180, 3200, 3240, 3250, BILLING CODE 4310±84±M 3260, 3280, 3410, 3420, 3430, 3450, The medical need for livers and other 3470, 3480, 3500, 3510, 3520, 3530, human organs for transplantation 3540, 3550, 3560, 3590, 3710, 3730, FEDERAL MARITIME COMMISSION continues to exceed the number of 3740, 3800, 3810, 3830, 3870, 4200, donor organs by a considerable margin. 4300, 4700, 5000, 5470, 5510, 8370, 46 CFR Part 586 No organ allocation policies, no matter 9180 and 9230 [Docket No. 96±20] how well crafted or effectively [WO±130±1820±00 24 1A] implemented, can be expected to Port Restrictions and Requirements in compensate for serious short-falls in the RIN 1004±AC99 the United States/Japan Trade supply of organs relative to the demand. Appeals Procedures; Hearings AGENCY: Federal Maritime Commission. a. What are the major impediments to Procedures ACTION: Notice of proposed rulemaking. organ donation? AGENCY: Bureau of Land Management, SUMMARY: The Federal Maritime b. How can the Department, organ Interior. Commission, in response to apparent procurement organizations, hospitals, ACTION: Proposed regulations, extension unfavorable conditions in the foreign and other entities improve current of comment period. oceanborne trade between the United efforts to promote organ donation? States and Japan, proposes the c. Where and to what extent are SUMMARY: On October 17, 1996, the imposition of fees on liner vessels further initiatives necessary to ensure Bureau of Land Management (BLM) operated by Japanese carriers calling at that members of racial and ethnic published a document in the Federal United States ports. The effect of the minority groups are appropriately Register announcing a proposed rule to rule will be to adjust or meet apprised regarding such matters as the revise and consolidate existing unfavorable conditions caused by role of organ transplantation within the procedures for hearings and appeals Japanese port restrictions and health-care system, the unique health into a single, streamlined administrative requirements by imposing benefits that can ensue from successful review process covering most of BLM’s countervailing burdens on Japanese transplantation, the limitations decisions (61 FR 54120). The 30-day carriers. comment period for the proposed rule associated with transplant procedures, DATES: Comments due on or before expires on November 18, 1996. BLM has and the challenges involved in January 13, 1997. received several requests from the recruiting organ donors? ADDRESSES: Send comments (original public for additional time to comment and 15 copies) to: Joseph C. Polking, Dated: November 6, 1996. and is extending the comment period Secretary, Federal Maritime Ciro V. Sumaya, for an additional 60 days. Commission, 800 North Capitol Street, Administrator. DATES: Submit comments by January 17, N.W., Washington, D.C. 20573, (202) 1997. Approved: November 7, 1996. 523–5725. ADDRESSES: If you wish to comment, Donna E. Shalala, FOR FURTHER INFORMATION CONTACT: you may: Robert D. Bourgoin, General Counsel, Secretary. (a) Hand-deliver comments to the Federal Maritime Commission, 800 [FR Doc. 96–29145 Filed 11–8–96; 10:52 am] Bureau of Land Management, North Capitol Street, N.W., Washington, BILLING CODE 4160±15±M Administrative Record, Room 401, 1620 D.C. 20573, (202) 523–5740. L St., NW., Washington, DC.; (b) Mail comments to the Bureau of SUPPLEMENTARY INFORMATION: Land Management, Administrative Background Record, Room 401LS, 1849 C Street, Information Demand Orders NW., Washington, DC 20240; or (c) Send comments through the On September 12, 1995, the Federal Internet to [email protected]. Maritime Commission (‘‘Commission’’ Please include ‘‘attn: AC99’’, and your or ‘‘FMC’’) issued information demand name and return address in your orders to carriers in the U.S./Japan Internet message. If you do not receive trade,1 inquiring about certain a confirmation from the system that we restrictions and requirements for the use have received your Internet message, please contact us directly at (202)452– 1 NYK Line (North America) Inc.; Mitsui O.S.K. Lines (America), Inc.; K Line America Inc.; Sea- 5030. Land Service, Inc.; American President Line; You will be able to review comments Westwood Shipping Lines; Evergreen Line; Hanjin at BLM’s Regulatory Affairs Group Shipping Co. Ltd.; Maersk Inc.; China Ocean office, Room 401, 1620 L Street, N.W., Shipping Co.; Hyundai Merchant Marine; Orient Overseas Container Line (‘‘OOCL’’); Yangming Washington, D.C., during regular Marine Line; Neptune Orient Lines; Senator Linie business hours (7:45 a.m. to 4:15 p.m.) (USA) Inc.; Mexican Line (TMM); Hapag-Lloyd Monday through Friday. (America) Inc.; Zim Container; and Cho Yang Line. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58161 of port and terminal facilities in Japan. arrangements; or any other changes competition and maintain an agreed- Four issues of concern were addressed which affect stevedoring or terminal upon allocation of work among the by the information demand orders: (1) operations. JHTA member companies. Several The ‘‘prior consultation’’ system, a The comments shed light on the carriers recounted instances where prior process of mandatory discussions and complex and opaque procedural aspects consultation requests were held up until operational approvals involving port of the prior consultation system. the carriers agreed to take on additional, and terminal management, unions, and According to several respondents, if a unnecessary stevedoring companies or ocean carriers serving Japan; (2) carrier wants to take one of the above- contractors. A number of carriers restrictions on the operation of Japanese described actions, it first submits a draft observed that JHTA may require that, ports on Sunday; (3) the requirement written request for prior consultation when carriers consolidate terminal that all containerized cargo exported outlining its proposal to JHTA. If the operations, the benefitting stevedore from Japan be weighed and measured by matter is deemed to be important, a must reach an agreement with the losing harbor workers, regardless of meeting is then scheduled for a carrier one to take on some of the latter’s commercial necessity; and (4) the representative to explain its request to workers, thereby insuring that there is disposition of the Japanese Harbor JHTA chairman Shiroo Takashima. still income passing to the losing Management Fund, which was the Often, the carrier executive is stevedoring company. These practices, subject of Docket No. 91–19, Actions to accompanied by an official of the according to a number of commenters, Address Conditions Affecting U.S. stevedoring company used by that line. prevent any real competition and Carriers Which do not Exist for Foreign At this stage, the JHTA chairman may undermine attempts to increase the Carriers in the U.S./Japan Trade. The refuse to accept the request, or require efficiency of port operations, with the Commission observed that these changes or impose conditions for result that Japan has port costs that far practices may result in conditions acceptance. exceed those of its Asian neighbors and unfavorable to shipping in the United According to several respondents, if other major trading nations. States/Japan trade, and may constitute the carriers’ request is acceptable to the Much of JHTA’s ability to compel adverse conditions affecting U.S. JHTA chairman, it is taken up at a participation in prior consultation carriers that do not exist for Japanese formal ‘‘pre-prior consultation’’ appears to stem from its relationship carriers in the United States. meeting. These meetings, generally held with, and support of, organized labor. monthly, are attended by the JHTA Some respondents explained that, if Prior Consultation chairman, vice-chairman, secretary, they did not participate in prior Many of the questions in the prior consultation administrator, a consultation or comply with JHTA’s information demand orders centered on representative from the carrier, and requests, they would be subject to the prior consultation system and how often a representative of its affected retaliation, such as work stoppages or it is administered by the Japan Harbor stevedore or terminal operator. If the labor disruptions. Some respondents Transportation Association (‘‘JHTA’’). request is accepted at this stage, the recounted an instance in 1985 when JHTA is an association of companies matter is deliberated at formal prior JHTA, in response to an investigation by providing harbor transportation consultation meetings between JHTA the Japanese Fair Trade Commission services, including terminal operators, and union officials, both in Tokyo and (‘‘FTC’’), announced that it was stevedores, and sworn measurers. Under at the local level. Carrier representatives abandoning the carrier-JHTA this system, carriers serving Japan must do not attend the JHTA-union meetings. component of the prior consultation consult with JHTA about operational A number of respondents suggested system. When the now-defunct matters involving Japanese ports or that the final prior consultation Yamashita Shiminon Kaisha Line harbor labor. After JHTA consults with meetings are simply formalities. It attempted to go ahead with changes in a carrier, it may conduct consultations appears that if a carrier’s request is its operations, two of its vessels with labor interests, then approve or unacceptable to JHTA, this is conveyed reportedly were boycotted by the deny the line’s request. early in the process, often in the unions, on the grounds that there had The responses to the Commission’s carrier’s initial meeting with the JHTA been no prior consultation. In order to orders indicated that virtually all chairman. If JHTA takes an unfavorable prevent any further disruptions, operational plans and changes made by view of a request, there is no formal respondents stated, carriers had no carriers serving Japan must be submitted rejection; instead, it simply is not choice but to request that JHTA for prior consultation. These include: accepted for consideration at the formal reestablish its prior consultation system. any changes in berth, route, or port prior consultation meetings. In contrast, calls; inauguration of new services or if a request has been accepted by the Japanese Government Oversight new vessels; the addition of extra port JHTA chairman, it is almost assured to Respondents confirmed that the calls (either permanently or be approved at the formal meetings. agency with direct authority over harbor temporarily), or calls by non-container Beyond the above-described services is the Ministry of Transport ships at container berths; jumboization procedures, JHTA’s decision-making (‘‘MOT’’). Persons wishing to perform of vessels or changes in vessel process in prior consultation appears to harbor transportation services must technology which affect stevedoring or be characterized by a total lack of obtain a license from MOT, in terminal operations; temporary transparency. The respondents accordance with the Port Transportation assignment of vessels as substitutes indicated that there are almost no Business Law. Also, under the Law (even if only for one voyage) or the written rules, either substantive or Establishing the Ministry of renaming of vessels; rationalization procedural, nor are there written Transportation, MOT is invested with agreements between carriers involving reasons for decisions or an appeal authority over, inter alia, the vessel sharing or berthing changes; the process; JHTA appears to have absolute development, improvement and assignment of a stevedoring contractor discretion over the terms and conditions coordination of the harbor or terminal operator to a carrier and any imposed in the prior consultation transportation business. MOT subsequent change in assignment; process. reportedly can give oversight or requests for Sunday work; changes in Many respondents suggested that guidance relating to the conduct of the mandatory weighing and measuring JHTA uses prior consultation to prevent Prior Consultation System if a national 58162 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules policy (i.e., the development, activities, including restricting Japanese and foreign carrier groups), to improvement and coordination of the competition, limiting the number of phase out mandatory weighing and harbor transport business) is sought to entrepreneurs, restricting unduly the measuring over the course of five years. be furthered. Respondents also activities of constituent entrepreneurs, Reportedly, under the plan agreed to by indicated that administrative guidance, and causing entrepreneurs to engage in the parties, carriers will be required to or gyoseishido, is practiced by unfair business practices. As the agency make a lump-sum payment to the sworn governmental bodies in Japan, to secure responsible for administering the measurers each year from 1996 to 2000. cooperation of affected parties to further Antimonopoly Law, the FTC has the The payments will be based on the an administrative purpose.2 authority to investigate JHTA and its amount paid for weighing and MOT appears to have given guidance activities. measuring in 1994. The lump sum or otherwise become involved with This FTC authority has been invoked payments for the five years will be prior consultation on at least a few on occasion. In June, 1985, a complaint 83.3%, 66.6%, 49.9%, 33.2%, and occasions. In 1986, MOT signed, as a was filed with the Fair Trade 16.5% of the 1994 total. witness, the Letter of Confirmation on Commission against JHTA, reportedly Sunday Work New Prior Consultation, an agreement alleging that JHTA was restricting the between JHTA and carriers establishing activities of carriers and the competition Because the earthquake that struck the the current version of the system. More among terminal operators. However, Kobe region in January, 1995, disabled recently, in 1992, MOT reportedly respondents stated that the complaint most of that port’s facilities, the volume issued a ministerial view to JHTA and was later withdrawn and the FTC of cargo moving through other Japanese the Japanese Shipowners Ports Council suspended its investigation. ports increased substantially. According setting forth basic principles for prior Another FTC complaint was filed late to several of the respondents, harbor consultation regarding container last year. Apparently, a dispute erupted workers immediately began operating terminal disputes.3 In that document (a between JHTA and one of its members, on Sundays on an emergency basis to translation of which was provided by Sankyu, Inc. Sankyu filed a complaint accommodate the additional capacity. In respondents), MOT directed that, if with the FTC, alleging that JHTA was May, 1995, a one-year agreement carriers make changes to their violating Japanese antitrust laws, reportedly was reached between JHTA operations, these changes must be allocating work among operators. In and the unions to keep Sunday work in submitted for prior consultation. It was response, according to published place in Japan’s six major ports (Tokyo, also stated in the Ministerial View that reports, JHTA began exerting Yokohama, Nagoya, Osaka, Kobe, and if a shipping company changes the considerable pressure on one of Kanmon). consortium with which it is affiliated, or Sankyu’s clients, OOCL. JHTA The one-year agreement (the text of reorganizes its service, it will give reportedly refused to permit prior which was provided by several explanations to JHTA and obtain its consultation and approve the carrier’s respondents) has several requirements understanding as early as possible. space sharing and terminal and restrictions for Sunday work. For While the Ministerial View was reorganization plans. In February, example, Sunday work is limited to the addressed specifically to the Japanese according to press reports and other moving of containers between vessels shipowners, it appears that its sources, Sankyu acquiesced to JHTA and the carriers container yards. principles are applied uniformly to all pressure and withdrew its FTC Therefore, cargo cannot arrive at the gate on Sunday for loading that day, and shipping companies. complaint. While the FTC has not JHTA’s operations also fall within the formally dismissed or terminated its cargo discharged on Sunday cannot be jurisdiction of the Japanese Fair Trade investigation, it does not appear to have released the same day to the consignee. Commission (‘‘FTC’’). The Japanese taken any further action in this area Also, the agreement provides that respondents explained that Article 8 of since Sankyu’s withdrawal. receipt of cargo on Saturdays should be minimized as much as possible, as the Law Relating to the Prohibition of Mandatory Weighing and Measuring Private Monopoly and Methods of Saturday is a day off for most harbor The respondents uniformly confirmed Preserving Fair Trade of Japan workers. Vessels may be loaded and that mandatory weight and measure (‘‘Antimonopoly Law’’) prohibits trade unloaded on Sundays only between 8:30 data for all cargo is not required for any associations from engaging in certain a.m. and 4:30 p.m. administrative functions or According to the text of the documentary procedures in Japan, nor agreement, a shipping company wishing 2 The Commission in its information demand orders described further authority that MOT do carriers require measurement of to work on Sunday must apply by the apparently maintains under the Port Transportation export box load cargo. Some carriers preceding Friday. An additional charge Business Law. For example, MOT reviews rates stated that they have attempted is imposed for Sunday work. Sunday based on whether they are reasonable and non- unsuccessfully to refuse sworn work is limited to shipping companies discriminatory. Art. 9. MOT must approve operators’ ‘‘terms and conditions on port measurement services and charges; that ‘‘have fully implemented the MOT transportation,’’ to determine that ‘‘there is no fear however, JHTA and union approved rates and charges.’’ Sunday that the terms and conditions may impede the representatives threatened work delays, work is also limited to carriers that benefits of users,’’ and also approve any changes in stoppages, and other retaliation if these ‘‘have observed the harbor industrial operators’ business plans. Art. 11 & 17. If MOT determines that the port transportation businesses efforts continued. The majority of labor/management agreement’’ ‘‘impede benefits of users’’ it may order changes in carriers have not attempted unilaterally concerning numbers of hours and days business plans, terms and conditions, or rates. Art. to stop weighing and measuring. that union laborers may work and 21. Estimates of per-container weighing and amount of overtime available. 3 The Japanese Shipowners Ports Council (‘‘JSPC’’) is the component of the Japanese measuring costs ranged from $41 to $85 The current restrictions on Sunday Shipowners’ Association that deals directly with per TEU, with the majority of responses work apparently have had a number of harbor service-related matters. JSPC often served as in the $60–$68 range. negative effects on the respondent the voice of the Japanese lines in prior consultation In December, 1995, and January, 1996, carriers. Some pointed out that and other dealings with JHTA. There is a similar association for non-Japanese shipowners operating agreements were reached involving restrictions on moving cargo into or out in Japan, the Japan Foreign Steamship Association JHTA, the sworn measurement of the container yard causes inefficiency (‘‘JFSA’’). companies, and JSPC and JFSA (the and leads to gate congestion on Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58163

Saturday and Monday. Several noted assign and allocate work among its clearly by the 1992 Ministerial View that Sunday work surcharges result in member companies. This process is issued to carriers by MOT. This extra costs. Also, respondents noted that used to eliminate competition among document, on its face, mandates that the requirement that lines apply in terminal operators and stevedores, carriers submit changes in their advance for Sunday work, and the obviating the need for them to operate business plans to JHTA for prior shortened working hours, can be a more efficiently, reorganize, downsize, consultation. This would appear to be burden and pose planning problems. or otherwise cut costs to gain market an unequivocal validation and It appears that the uncertainty share. It also puts JHTA in a position to endorsement of JHTA’s prior surrounding the one-year agreement has block any carrier initiatives to reduce consultation activities. also discouraged carriers from taking terminal costs, such as plans by various However, the most significant full advantage of Sunday work. While carrier alliances to share terminals and example of government support for more than half of the respondents reduce the number of stevedoring JHTA is the MOT licensing of harbor indicated that they have used Sunday companies used, until plans are made to service companies. The Japanese Port work on occasion, virtually all of this protect the harbor workers’ competitive Transportation Business Law directs use has been to accommodate vessel status quo. that, if a person seeks to begin delays or other exigencies. No JHTA has pushed prior consultation performing harbor services, MOT shall respondent indicated that it changed far beyond its purported use as a labor evaluate, inter alia, whether the sailing schedules to use Sunday work relations device. As numerous business in question ‘‘has an on a regular basis. Apparently, since a respondents pointed out, virtually every appropriate plan to perform the permanent shift in vessel schedules operational change by a carrier, even business,’’ and whether it would ‘‘cause would be complex and costly for an those with no apparent labor impact, port transportation supply to be individual carrier, its alliance partners, must be submitted to JHTA. This all- excessively over transportation and its feeder services, carriers cannot encompassing scope of prior demand.’’ Art. 5 & 6. It appears that switch to regular Sunday calls without consultation has given JHTA broad MOT uses this authority to restrict entry guarantees that Sunday work will leverage to implement programs that and to shield JHTA and its members continue to be available. benefit its constituents. It can, for from foreign competition. U.S. carriers While it appears that Sunday work example, extract unwarranted payments have stated that they have been shut out will continue to be provided for the near from carriers, such as the Harbor of the market entirely, and advised by term, there has been no discernable Maintenance Fund and the mandatory Japanese authorities that they should progress in reaching a stable and weighing and measuring fees. JHTA also not even bother to apply because such permanent resolution of the Sunday appears to have unchecked authority to certificates would not be granted. work issue. The previous one-year punish its detractors. It appears that, by preventing foreign lines from providing terminal services agreement for Sunday work expired in JHTA has shown little regard for for themselves and by blocking new June 1996, and was extended for one- public accountability in its entrants from the market, the month intervals for July and August. It administration of prior consultation. Government of Japan virtually has been reported recently that JHTA There are virtually no written rules and guarantees that JHTA’s monopoly over and waterfront unions have reached an no public records, decisions, or appeals. harbor operations will continue agreement by which Sunday work This lack of transparency makes it unabated. The licensing requirement would be continued for six months, almost impossible for government, ensures that JHTA is insulated from through March 10, 1997. However, industry, or media critics to scrutinize pressure to reform, either from outside beyond the March 10 deadline, the fate the workings of the system. of Sunday work appears uncertain. competitors or new members. Carriers The Role of the Government of Japan remain captive in an increasingly Discussion unworkable port system, and their Prior consultation and JHTA customers are forced to absorb the JHTA Dominance Through the Prior dominance do not, however, appear to resultant costs, which are among the Consultation System be an entirely private sector problem. highest in the world. Moreover, the Prior consultation and JHTA enjoy a Of all the issues raised in the Government of Japan’s licensing substantial amount of support from Commission’s information demand practices appear blatantly Japanese authorities. Under the Port order, it is apparent that prior discriminatory against U.S. carriers. Transportation Business Law and the consultation is the most serious. The There are no legal restrictions on the Law Establishing the Ministry of prior consultation system is central to ownership of terminal operations by JHTA’s dominance of the harbor Transportation, MOT has broad Japanese companies in the United services market in Japan, as it is the authority to oversee and regulate the States. mechanism by which JHTA exercises activities and business practices of It is our conclusion that the control over the activities of individual JHTA and its members. In exercising Government of Japan’s support for the carriers and stevedoring companies. this authority, however, MOT officials prior consultation system, through its Other JHTA restrictions, such as those have chosen to permit JHTA to wield discriminatory and restrictive licensing affecting Sunday work and mandatory unchecked authority through the prior requirements for persons wishing to weighing and measuring, are also of consultation process, rather than perform harbor services, appears to serious concern to the Commission; requiring JHTA to be less constitute conditions unfavorable to however, it appears that these matters anticompetitive, less arbitrary, and more shipping in the U.S./Japan trade. 4 are symptoms rather than root causes of transparent. Accordingly, we are proposing the JHTA’s dominant position. Further Government of Japan support imposition of countervailing sanctions, By serving as intermediary in all for prior consultation was evinced pursuant to section 19(1)(b) of the negotiations and requiring, on threat of Merchant Marine Act, 1920, 46 U.S.C. 4 We would also note that the FTC has repeatedly labor disruption, that carriers submit discontinued investigations into JHTA’s activities app. 876(1)(b) (‘‘Section 19’’). To avert virtually all planned operational without taking measures to curb the anticompetitive the imposition of these sanctions, we changes for approval, JHTA is able to effects of JHTA’s actions. would urge the Government of Japan to 58164 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules afford U.S. carriers relief by making prescribed fees are not paid, the the use of the prior consultation system, available to them all necessary licenses, Proposed Rule provides for the denial of by which carriers are required to submit permissions, or certificates to perform, clearance or entry to or detention at U.S. virtually all operational plans and for themselves and third parties, ports. requests for JHTA review. stevedoring and terminal operating In order to provide proper notice and (3) JHTA has used the leverage services, or to establish subsidiaries or a fair opportunity to respond to the afforded by the prior consultation related ventures to do so, as Japanese proposed action, the Commission is system to force carriers, inter alia, to carriers are permitted to do in the giving all interested parties sixty days to change terminal and stevedoring United States. file comments. Factual submissions, arrangements, to take on unnecessary In addition, we remain concerned where relevant, should include stevedoring companies or contractors, about the long term resolution of the evidence or statistics showing and to make unwarranted payments to Sunday work issue. We are encouraged, commercial loss and to the extent JHTA and its members. This has however, that some progress appears to possible be supported by sworn resulted in detrimental excess costs for have been made in this area, as well as documents and affidavits. carriers and shippers engaged U.S.– with regard to weighing and measuring. Japan oceanborne trade. Therefore, we are not proposing List of Subjects in 46 CFR Part 586 (4) The Government of Japan has sanctions in these areas at this time. Cargo vessels; Exports; Foreign discriminated against U.S. carriers by However, the Commission will continue relations; Imports; Maritime carriers; refusing to make licenses to perform to monitor progress on these issues, and Penalties; Rates and fares; Tariffs. port services available to them. This has on the disposition of the yet undisposed For the reasons set forth in the left U.S. carriers with no choice but to balances in the Harbor Management preamble, the FMC proposes to amend submit their shoreside planning and Fund, and will take further remedial 46 CFR Part 586 as follows: operations to JHTA control. In contrast, action if appropriate. Therefore, pursuant to section 19(1)(b) there are no legal restrictions on the Section 19 authorizes and directs the of the Merchant Marine Act, 1920, 46 ownership of terminal operations by Federal Maritime Commission to U.S.C. app. 876(1)(b), as amended, Japanese carriers in the United States. make rules and regulations affecting shipping Reorganization Plan No. 7 of 1961, 75 (b) Definitions. (1) Japanese carrier in the foreign trade not in conflict with law Stat. 840, and 46 CFR Part 585, it is means Kawasaki Kisen Kaisha, Ltd., in order to adjust or meet general or special proposed to amend Part 586 of Title 46 Mitsui O.S.K. Lines, Ltd, and Nippon conditions unfavorable to shipping in the of the Code of Federal Regulations as Yusen Kaisha. foreign trade, whether in any particular trade (2) Designated vessel means any follows: or upon any particular route or in commerce container-carrying liner vessel owned or generally, including intermodal movements, PART 586ÐACTIONS TO ADJUST OR operated by a Japanese carrier (or any terminal operations, cargo solicitations, subsidiary, related company, or parent forwarding and agency services, non-vessel- MEET CONDITIONS UNFAVORABLE operating common carrier operations, and TO SHIPPING IN THE U.S. FOREIGN company thereof). other activities and services integral to TRADE (c) Assessment of fees. A fee of one transportation systems, and which arise out hundred thousand dollars shall be of or result from foreign laws, rules, or 1. The authority citation for Part 586 assessed each time a designated vessel regulations or from competitive methods or continues to read as follows: is entered in any port of the United practices employed by owners, operators, Authority: 46 U.S.C. app. 876(1)(b); 46 States from any foreign port or place. agents, or masters of vessels of a foreign U.S.C. app. 876(5) through (12); 46 CFR Part (d) Report and payment. Each country * * *. 585; Reorganization Plan No. 7 of 1961, 26 Japanese carrier, on the fifteenth day of The measures authorized under FR 7315 (August 12, 1961). each month, shall file with the Secretary Section 19 include limitation of sailings, 2. Section 586.2 is added to read as of the Federal Maritime Commission a suspension of carriers’ tariffs or rights to follows: report listing each vessel for which fees use conference tariffs, suspension of were assessed under paragraph (c) of carriers’ rights to operate under FMC- § 586.2 Conditions unfavorable to this section during the preceding filed terminal and other agreements, shipping in the United States/ Japan trade. calendar month, and the date of each fees of up to $1,000,000 per voyage, or (a) Conditions unfavorable to vessel’s entry. Each report shall be any other action deemed necessary and shipping in the trade. (1) The Federal accompanied by a cashiers check or appropriate to adjust or meet the Maritime Commission (‘‘Commission’’) certified check, payable to the Federal unfavorable condition. 46 U.S.C. app. has determined that the Government of Maritime Commission, for the full 876(9). Japan has created conditions amount of the fees owed for the month After giving consideration to all unfavorable to shipping in the U.S.– covered by the report. Each report shall available countervailing sanctions, Japan trade, by discriminatorily be sworn to be true and complete, under including limitations of sailings and restricting the licensing of persons oath, by the carrier official responsible suspension of carrier tariffs or terminal wishing to offer harbor and terminal for its execution. or other agreements, the Commission services in Japan. (e) Refusal of clearance by the has determined to propose a primary (2) Through its discriminatory and collector of customs. If any Japanese remedy of a $100,000 fee, assessed on restrictive licensing practices, the carrier subject to this section shall fail Japanese carriers when their liner Government of Japan has protected the to pay any fee or to file any quarterly vessels enter U.S. ports. However, the dominant position of the Japan Harbor report required by paragraph (d) of this Commission specifically solicits Transportation Association (‘‘JHTA’’), section within the prescribed period, comment on the feasibility of additional an association of Japanese waterfront the Commission may request the Chief, or alternative sanctions. The employers. Benefitting from this Carrier Rulings Branch of the U.S. Commission reserves the right to adjust protection and from a lack of oversight Customs Service to direct the collectors the level of the fee or add additional or by the Government of Japan, JHTA has of customs at U.S. ports to refuse the alternative sanctions at any time if the virtually eliminated competition in the clearance required by 46 U.S.C. app. subject adverse conditions are not Japanese harbor services market. JHTA section 91 to any designated vessel remedied. In the event that the presently effectively controls competition through owned or operated by that carrier. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Proposed Rules 58165

(f) Denial of entry to or detention at United States ports by the Secretary of Transportation. If any Japanese carrier subject to this section shall fail to pay any fee or to file any quarterly report required by paragraph (d) of this section within the prescribed period, the Commission may request the Secretary of Transportation to direct the Coast Guard to: (1) Deny entry for purpose of oceanborne trade, of any designated vessel owned or operated by that carrier to any port or place in the United States or the navigable waters of the United States; or (2) Detain that vessel at the port or place in the United States from which it is about to depart for another port or place in the United States. By the Commission. Joseph C. Polking, Secretary. [FR Doc. 96–28943 Filed 11–12–96; 8:45 am] BILLING CODE 6730±01±W 58166

Notices Federal Register Vol. 61, No. 220

Wednesday, November 13, 1996

This section of the FEDERAL REGISTER operations, number of animals, and 14th and Independence Ave., SW, Room contains documents other than rules or economic information will provide a 4162 South Building, Washington, D.C. proposed rules that are applicable to the focus on the importance of the equine 20250–2000. All responses to this notice public. Notices of hearings and investigations, industry to state economies. Income will be summarized and included in the committee meetings, agency decisions and data provides a view of the benefits that request for OMB approval. All rulings, delegations of authority, filing of petitions and applications and agency the industry provides to the state comments will also become a matter of statements of organization and functions are economy and a ranking in terms of its public record. examples of documents appearing in this relative importance within both the Signed at Washington, D.C., October 25th, section. agricultural sector and the state’s total 1996. economic sector. The expenditure Rich Allen, information provides data regarding the Acting Administrator, National Agricultural DEPARTMENT OF AGRICULTURE multiplier effect of money from the Statistics Service. equine industry, effects of wage rates [FR Doc. 96–28948 Filed 11–12–96; 8:45 am] National Agricultural Statistics Service paid to both permanent and part-time employees, and secondary businesses BILLING CODE 3410±20±M Notice of Intent to Seek Approval to supported by the industry. These data Conduct an Information Collection will be collected under the authority of DEPARTMENT OF COMMERCE AGENCY: National Agricultural Statistics 7 U.S.C. 2204(a). Individually Service, USDA. identifiable data collected under this Bureau of the Census ACTION: Notice and request for authority are governed by Section 1770 comments. of the Food Security Act of 1985, 7 [Docket No. 961104308±6308±01] U.S.C. 2276, which requires USDA to RIN 0607±XX22 SUMMARY: In accordance with the afford strict confidentiality to non- Paperwork Reduction Act of 1995 (Pub. aggregated data provided by 1996 Company Organization Survey L. 104–13) and Office of Management respondents. and Budget (OMB) regulations at 5 CFR Estimate of Burden: Public reporting AGENCY: Bureau of the Census, Part 1320 (60 FR 44978, August 29, burden for this collection of information Commerce. 1995), this notice announces the is estimated to average 45 minutes per ACTION: Notice of determination. National Agricultural Statistics Service’s response. (NASS) intention to request approval for Respondents: Horse owners, breeders, SUMMARY: In conformity with Title 13, a new information collection, the trainers, boarders. United States Code, Sections 182, 224, Equine Survey. Estimated Number of Respondents: and 225, I have determined that a 1996 DATES: Comments on this notice must be 54,000. Company Organization Survey is received by January 21, 1997 to be Estimated Total Annual Burden on needed to update the multi- assured of consideration. Respondents: 40,500 hours. establishment companies in the ADDITIONAL INFORMATION OR COMMENTS: Copies of this information collection Standard Statistical Establishment List. Contact Rich Allen, Associate and related instructions can be obtained The survey, which has been conducted Administrator, National Agricultural without charge from Larry Gambrell, the for many years, is designed to collect Statistics Service, U.S. Department of Agency OMB Clearance Officer, at (202) information on the number of Agriculture, 14th and Independence 720–5778. employees, payrolls, geographic Avenue, SW, Washington, D.C. 20250– Comments: Comments are invited on: location, current status, and kind of 2000, (202) 720–4333. (a) whether the proposed collection of business for the establishments of multiestablishment companies. These SUPPLEMENTARY INFORMATION: information is necessary for the proper performance of the functions of the data will have significant application to Title: Equine Survey. the needs of the public and to Type of Request: Intent to seek agency, including whether the governmental agencies and are not approval to conduct an information information will have practical utility; publicly available from collection. (b) the accuracy of the agency’s estimate Abstract: To improve information of the burden of the proposed collection nongovernmental or governmental regarding the equine industry, several of information including the validity of sources. State Departments of Agriculture are the methodology and assumptions used; FOR FURTHER INFORMATION CONTACT: expected to contract with the National (c) ways to enhance the quality, utility, Edward D. Walker, Assistant Division Agricultural Statistics Service to and clarity of the information to be Chief for Business Register, Economic conduct an Equine Survey in their state collected; and (d) ways to minimize the Planning and Coordination Division, on within the next 2 years. Equine burden of the collection of information (301) 457–2617. activities offer unusually varied on those who are to respond, including SUPPLEMENTARY INFORMATION: The data opportunities for rural development. In through the use of appropriate collected in this survey will be within addition to providing the livelihood for automated, electronic, mechanical, or the general scope, type, and character of breeders, trainers, veterinarians, and other technological collection those that are covered in the economic many others, the horse remains techniques or other forms of information censuses. important to recreation. Equine survey technology. Comments may be sent to: The Office of Management and Budget data will quantify the importance of the Larry Gambrell, Agency OMB Clearance (OMB) approved the proposed survey industry in the state. The number of Officer, U.S. Department of Agriculture, on October 18, 1996 under OMB Control Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58167

No. 0607–0444 in accordance with the only comprehensive source of capacity 6. Update on review of the Enhanced Paperwork Reduction Act, Public Law utilization rates covering all Proliferation Control Initiative (EPCI). 104–13. Report forms will be furnished manufacturing industries on a 7. Update on the status of the Export to organizations included in the survey, consistent basis. Data are used in Administration Act. and additional copies of the forms are monitoring inflationary pressure and available on request to the Director, capital flows, understanding Closed Session Bureau of the Census, Washington, DC productivity determinants, determining 20233–0101. industry’s ability to meet increasing 8. Discussion of matters properly I have, therefore, directed that the demand for products in an emergency, classified under Executive Order 12958, 1996 Company Organization Survey be and analyzing and forecasting economic dealing with the U.S. export control conducted for the purpose of collecting and industrial trends. The primary program and strategic criteria related these data. Government users of the survey results thereto. Dated: November 5, 1996. will be the Federal Reserve Board, The General Session of the meeting Department of Defense, Federal Martha Farnsworth Riche, will be open to the public and a limited Emergency Management Agency, and number of seats will be available. To the Director, Bureau of the Census. the International Trade Administration extent that time permits, members of the [FR Doc. 96–29013 Filed 11–12–96; 8:45 am] among others. The data collected in this public may present oral statements to BILLING CODE 3510±07±P survey will be within the general scope and nature of those inquiries covered in the Committee. Written statements may be submitted at any time before or after [Docket No. 961031306±6306±01] the economic censuses. This survey has been submitted to the the meeting. However, to facilitate the RIN 0607±XX21 Office of Management and Budget for distribution of public presentation approval in accordance with the materials to the Committee members, Survey of Plant Capacity Paperwork Reduction Act, Public Law the Committee suggests that presenters AGENCY: Bureau of the Census, 104–13. We will provide copies of the forward the public presentation Commerce. proposed form upon written request to materials two weeks prior to the ACTION: Notice of consideration. the Director, Bureau of the Census, meeting date to the following address: Washington, D.C. 20233. Ms. Lee Ann Carpenter, TAC Unit/OAS/ SUMMARY: Notice is hereby given that Dated: November 6, 1996. EA, Room 3886C, Bureau of Export the Bureau of the Census is considering Martha Farnsworth Riche, Administration, U.S. Department of a proposal to conduct the Survey of Director, Bureau of the Census. Commerce, Washington, D.C. 20230. Plant Capacity for the years 1995 and [FR Doc. 96–29012 Filed 11–12–96; 8:45 am] The Assistant Secretary for 1996 and annually for subsequent years under the authority of Title 13, United BILLING CODE 3510±07±P Administration, with the concurrence of States Code, Sections 182, 224, and 225. the delegate of the General Counsel, formally determined on December 22, On the basis of information and Bureau of Export Administration recommendations received by the 1994, pursuant to Section 10(d) of the Federal Advisory Committee Act, as Bureau of the Census and other Regulations and Procedures Technical agencies, the data have significant Advisory Committee; Notice of amended, that the series of meetings or application to the needs of the public Partially Closed Meeting portions of meetings of the Committee and industry. and of any Subcommittees thereof, A meeting of the Regulations and DATES: Any suggestions or dealing with the classified materials recommendations concerning the Procedures Technical Advisory listed in 5 U.S.C. 552b(c)(1) shall be proposed survey should be submitted in Committee will be held December 4, exempt from the provisions relating to writing by December 13, 1996 in order 1996, 9:00 a.m., in the Herbert C. public meetings found in section Hoover Building, Room 3884, 14th to receive consideration. 10(a)(1) and (a)(3), of the Federal Street between Constitution and Advisory Committee Act. The remaining ADDRESSES: Director, Bureau of the Pennsylvania Avenues, N.W., series of meetings or portions thereof Census, Washington, D.C. 20233. Washington, D.C. The Committee will be open to the public. FOR FURTHER INFORMATION CONTACT: advises the Office of the Assistant Elinor Champion, Chief, Special Studies Secretary for Export Administration on A copy of the Notice of Determination Branch, Manufacturing and implementation of the Export to close meetings or portions of Construction Division (301) 457–4683. Administration Regulations (EAR) and meetings of the Committee is available SUPPLEMENTARY INFORMATION: The plant provides for continuing review to for public inspection and copying in the capacity survey gathers data from a update the EAR as needed. Central Reference and Records sample of manufacturing plants in the Agenda Inspection Facility, Room 6020, U.S. United States. The survey forms will Department of Commerce, Washington, collect data on the value of production Open Session D.C. For further information, call Lee during the fourth quarter of the year and 1. Opening remarks by the Chairman. Ann Carpenter at (202) 482–2583. the value of production that could have 2. Presentation of papers or comments Dated: November 6, 1996. been attained if operating at full by the public. production capability. The survey will 3. Discussion on disclosures to Lee Ann Carpenter, also collect estimates of production that Iranian nationals under the Iranian Director, Technical Advisory Committee Unit. could have been achieved under a Transaction Rules of the Office of [FR Doc. 96–29008 Filed 11–12–96; 8:45 am] national emergency situation. These Foreign Assets Control (Treasury). BILLING CODE 3510±DT±M data are used to calculate rates of 4. Update on implementation of The utilization for each 4-digit standard Wassenaar Arrangement. industrial classification code in the 5. Discussion on policy developments manufacturing sector. The series is the regarding encryption. 58168 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

National Oceanic and Atmospheric methods of taking and other means Council address: Mid-Atlantic Fishery Administration effecting the least practicable adverse Management Council, 300 S. New impact on the species and its habitat, Street, Dover, DE 19901. [I.D. 102996C] and on the availability of the species for FOR FURTHER INFORMATION CONTACT: Incidental Take of Marine Mammals; subsistence uses, paying particular David R. Keifer, Executive Director; Bottlenose Dolphins and Spotted attention to rookeries, mating grounds telephone: 302–674–2331. Dolphins and areas of similar significance. The SUPPLEMENTARY INFORMATION: The regulations must include requirements purpose of this meeting is to discuss AGENCY: National Marine Fisheries pertaining to the monitoring and alternatives for summer flounder Service (NMFS), National Oceanic and reporting of such taking. Regulations management to be included in Atmospheric Administration (NOAA), governing the taking of bottlenose and Amendment 10 to the Summer Commerce. spotted dolphins incidental to oil and Flounder, Scup, and Black Sea Bass ACTION: Notice of issuance of letters of gas structure removal activities in the Fishery Management Plan. authorization. Gulf of Mexico were published on October 12, 1995 (60 FR 53139) and Special Accommodations SUMMARY: In accordance with the remain in effect until November 13, This meeting is physically accessible Marine Mammal Protection Act 2000. to people with disabilities. Requests for (MMPA) as amended, and implementing sign language interpretation or other regulations, notification is hereby given Summary of Request auxiliary aids should be directed to that letters of authorization to take NMFS received requests for letters of Joanna Davis at the Council (see bottlenose and spotted dolphins authorization on October 15, 1996, from ADDRESSES) at least 5 days prior to the incidental to oil and gas structure Parker & Parsley Petroleum USA, and on meeting date. removal activities were issued to Parker October 23, 1996, from Amoco Dated: November 6, 1996. & Parsley Petroleum USA, Inc., 555 N. Production Company and the Oryx Carancahua, Corpus Christi, TX 78478 Energy Company. These letters Bruce C. Morehead, on October 17, 1996; Amoco Production requested a take by harassment of a Acting Director, Office of Sustainable Company, P.O. Box 50879, New small number of bottlenose and spotted Fisheries, National Marine Fisheries Service. Orleans, LA 70150 on October 24, 1996; dolphins incidental to the described [FR Doc. 96–29049 Filed 11–12–96; 8:45 am] and Oryx Energy Company, P.O. Box activity. Issuance of these letters of BILLING CODE 3510±22±F 2880, Dallas, Texas 75221–2880 on authorization are based on a finding that November 6, 1996. the total takings will have a negligible [I.D. 110596D] ADDRESSES: The application and letter impact on the bottlenose and spotted are available for review in the following dolphin stocks of the Gulf of Mexico. Pacific Fishery Management Council; offices: Office of Protected Resources, Dated: November 6, 1996. Public Meeting NMFS, 1315 East-West Highway, Silver Patricia Montanio, Spring, MD 20910 and the Southeast AGENCY: National Marine Fisheries Region, NMFS, 9721 Executive Center Acting Director, Office of Protected Resources, Service (NMFS), National Oceanic and National Marine Fisheries Service. Drive N, St. Petersburg, FL 33702. Atmospheric Administration (NOAA), [FR Doc. 96–28952 Filed 11–12–96; 8:45 am] FOR FURTHER INFORMATION CONTACT: Commerce. Kenneth R. Hollingshead, Office of BILLING CODE 3510±22±F ACTION: Notice of public meeting. Protected Resources, NMFS, (301) 713– SUMMARY: The Pacific Fishery 2055 or Charles Oravetz, Southeast Management Council will hold a public Region (813) 570–5312. [I.D. 110596E] meeting. SUPPLEMENTARY INFORMATION: Mid-Atlantic Fishery Management DATES: The meeting will be held on Section 101(a)(5)(A) of the MMPA (16 Council; Meeting November 25, 1996, beginning at 11:00 U.S.C. 1361 et seq.) directs NMFS to a.m. and will continue until business for allow, on request, the incidental, but not AGENCY: National Marine Fisheries the day is completed. The meeting will intentional, taking of small numbers of Service (NMFS), National Oceanic and reconvene on November 26, 1996, at marine mammals by U.S. citizens who Atmospheric Administration (NOAA), 8:00 a.m. and will adjourn when engage in a specified activity (other than Commerce. business for the day is concluded. commercial fishing) within a specified ACTION: Notice of public meeting. geographical region, if certain findings ADDRESSES: The meetings will be held at are made and regulations are issued. the Council office. SUMMARY: The Mid-Atlantic Fishery Council address: Pacific Fishery Under the MMPA, the term ‘‘taking’’ Management Council’s Demersal means to harass, hunt, capture, or kill or Management Council, 2130 SW Fifth Species Committee, together with its Avenue, Suite 224, Portland, OR 97201. to attempt to harass, hunt, capture or Summer Flounder Advisors and the FOR FURTHER INFORMATION CONTACT: kill marine mammals. Atlantic States Marine Fisheries Lawrence D. Six, Executive Director; Permission may be granted for periods Commission’s (ASMFC) Summer telephone: (503) 326–6352. up to 5 years if NMFS finds, after Flounder, Scup, and Black Sea Bass notification and opportunity for public Board will hold a public meeting. SUPPLEMENTARY INFORMATION: The comment, that the taking will have a purpose of the meeting will be to DATES: negligible impact on the species or The meeting will be held on develop options for long term stock(s) of marine mammals and will November 25, 1996, beginning at 10:00 management of the limited entry fixed not have an unmitigable adverse impact a.m. gear sablefish fishery. on the availability of the species or ADDRESSES: This meeting will be held at stock(s) for subsistence uses. In the Days Inn, 4101 Island Avenue, Special Accommodations addition, NMFS must prescribe Philadelphia, PA 19153; telephone: These meetings are physically regulations that include permissible 215–492–0400. accessible to people with disabilities. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58169

Requests for sign language of the provisions of the Uruguay Round Specialist, Office of Textiles and interpretation or other auxiliary aids Agreements Act and the Uruguay Round Apparel, U.S. Department of Commerce, should be directed to Heather M. Munro Agreement on Textiles and Clothing, but (202) 482–4212. For information on the at (503) 326–6352 at least 5 days prior are designed to assist only in the quota status of this limit, refer to the to the meeting date. implementation of certain of their Quota Status Reports posted on the Dated: November 6, 1996. provisions. bulletin boards of each Customs port or Bruce C. Morehead, Troy H. Cribb, call (202) 927–5850. For information on embargoes and quota re-openings, call Acting Director, Office of Sustainable Chairman, Committee for the Implementation of Textile Agreements. Fisheries, National Marine Fisheries Service. (202) 482–3715. [FR Doc. 96–29050 Filed 11–12–96; 8:45 am] Committee for the Implementation of Textile Agreements SUPPLEMENTARY INFORMATION: BILLING CODE 3510±22±F November 7, 1996. Authority: Executive Order 11651 of March Commissioner of Customs, 3, 1972, as amended; section 204 of the Agricultural Act of 1956, as amended (7 COMMITTEE FOR THE Department of the Treasury, Washington, DC 20229. U.S.C. 1854). IMPLEMENTATION OF TEXTILE Dear Commissioner: This directive In a Memorandum of Understanding AGREEMENTS amends, but does not cancel, the directive issued to you on November 29, 1995, by the (MOU) dated November 6, 1996, the Adjustment of an Import Restraint Chairman, Committee for the Implementation Governments of the United States and Limit for Certain Wool Textile Products of Textile Agreements. That directive Nepal agreed to establish a limit for Produced or Manufactured in concerns imports of certain cotton, wool and cotton shoptowels in Category 369–S for Guatemala man-made fiber textile products, produced or four consecutive one-year periods manufactured in Guatemala and exported beginning on January 1, 1997 and November 7, 1996. during the twelve-month period beginning on AGENCY: Committee for the January 1, 1996 and extending through extending through December 31, 2000. Implementation of Textile Agreements December 31, 1996. Also, the two governments agreed to (CITA). Effective on November 7, 1996, you are increase the 1996 limit for Category 340 directed to increase the limit for Category 448 for special carryforward. ACTION: Issuing a directive to the 1 to 49,642 dozen , as provided for by the Effective on January 1, 1997, textile Commissioner of Customs increasing a Uruguay Round Agreements Act, the limit. Uruguay Round Agreement on Textiles and products in Category 369 which are Clothing and based on exchange of letters produced or manufactured in Nepal and EFFECTIVE DATE: November 7, 1996. dated October 24, 1996 and November 4, exported from Nepal on and after FOR FURTHER INFORMATION CONTACT: 1996 between the Governments of the United January 1, 1997 shall require a 369–S or Jennifer Aldrich, International Trade States and Guatemala. 369–O visa. There will be a grace period Specialist, Office of Textiles and The guaranteed access level for Category from January 1, 1997 through January Apparel, U.S. Department of Commerce, 448 remains unchanged. 31, 1997 during which goods exported (202) 482–4212. For information on the The Committee for the Implementation of Textile Agreements has determined that this from Nepal in Category 369 may be quota status of this limit, refer to the action falls within the foreign affairs accompanied by a 369, 369–S or 369–O Quota Status Reports posted on the exception of the rulemaking provisions of 5 visa. Textile products exported in bulletin boards of each Customs port or U.S.C. 553(a)(1). Category 369 on and after February 1, call (202) 927–5850. For information on Sincerely, 1997 must be accompanied by an embargoes and quota re-openings, call Troy H. Cribb, appropriate part-category visa. (202) 482–3715. Chairman, Committee for the Implementation In the letter published below, the of Textile Agreements. SUPPLEMENTARY INFORMATION: Chairman of CITA directs the Authority: Executive Order 11651 of March [FR Doc. 96–29209 Filed 11–8–96; 1:53 pm] Commissioner of Customs to amend the 3, 1972, as amended; section 204 of the BILLING CODE 3510±DR±F visa requirements to require a 369–S or Agricultural Act of 1956, as amended (7 369–O part category visa and to increase U.S.C. 1854); Uruguay Round Agreements the current limit for Category 340. As a Act. Announcing Establishment and result of the increase to Category 340, The current limit for Category 448 is Adjustment of Import Limits and Amendment of Visa Requirements for the limit, which is currently filled, will being increased for special re-open. carryforward, based on exchange of Certain Cotton Textile Products A description of the textile and letters dated October 24, 1996 and Produced or Manufactured in Nepal apparel categories in terms of HTS November 4, 1996 between the November 7, 1996. numbers is available in the Governments of the United States and AGENCY: Committee for the CORRELATION: Textile and Apparel Guatemala. Implementation of Textile Agreements Categories with the Harmonized Tariff A description of the textile and (CITA). apparel categories in terms of HTS Schedule of the United States (see ACTION: Issuing a directive to the numbers is available in the Federal Register notice 60 FR 65299, Commissioner of Customs announcing published on December 19, 1995). Also CORRELATION: Textile and Apparel the establishment and adjustment of Categories with the Harmonized Tariff see 52 FR 11724, published on April 3, limits and amendment of visa 1987; and 60 FR 62410, published on Schedule of the United States (see requirements. Federal Register notice 60 FR 65299, December 6, 1995. published on December 19, 1995). Also EFFECTIVE DATE: November 13, 1996. The letter to the Commissioner of see 60 FR 62398, published on FOR FURTHER INFORMATION CONTACT: Customs and the actions taken pursuant December 6, 1995. Janet Heinzen, International Trade to it are not designed to implement all The letter to the Commissioner of of the provisions of the bilateral Customs and the actions taken pursuant 1 The limit has not been adjusted to account for agreement and the November 6, 1996 to it are not designed to implement all any imports exported after December 31, 1995. MOU, but are designed to assist only in 58170 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices the implementation of certain of its Commission (‘‘Report’’), issued in SUPPLEMENTARY INFORMATION: None. provisions. accordance with the Defense Base Gregory D. Showalter, Troy H. Cribb, Closure and Realignment Act of 1990, as Army Federal Register Liaison Officer. amended (‘‘Base Closure Act’’), Chairman, Committee for the Implementation [FR Doc. 96–28991 Filed 11–12–96; 8:45 am] of Textile Agreements. concerning the closure of the O’Hare Air BILLING CODE 3710±08±M Committee for the Implementation of Textile Reserve (ARS) in Chicago, Illinois. As Agreements required by the Base Closure Act and the Report, and pursuant to the November 7, 1996. Department of the Army Agreement, the Air Force will close the Commissioner of Customs, Department of the Treasury, Washington, DC O’Hare ARS, deactivate the Air Reserve Corps of Engineers 20229. Unit at the O’Hare ARS, and relocate Dear Commissioner: This directive Illinois Air National Guard units to Available Surplus Real Property at Fort amends, but does not cancel, the directive other locations in the state. The Air Dix, Burlington County, New Jersey issued to you on November 29, 1995, by the Force has completed all the Chairman of CITA. That directive concerns environmental analyses and reviews AGENCY: U.S. Army Corps of Engineers, imports of certain cotton and man-made fiber required under the National New York District. textile products, produced or manufactured Environmental Policy Act and the Clean in Nepal and exported during the twelve- Air Act for the implementation of the ACTION: Notice. month period which began on January 1, O’Hare ARS portion of the Report. The 1996 and extends through December 31, 1996. Air Force will convey the O’Hare ARS SUMMARY: This Notice identifies the Effective on November 13, 1996, you are property in its entirety to the City of surplus real property located at Fort directed, pursuant to a Memorandum of Chicago, unless the City fails to satisfy Dix, New Jersey. For Dix is located Understanding dated October 24, 1996 the conditions specified in the approximately eight (8) miles from the between the Governments of the United Agreement. Execution of the Agreement New Jersey Turnpike (I–95) Exit 7. States and Nepal, to increase the current constitutes the Air Force’s final action limit for Category 340 to 438,408 dozen 1. with respect to arranging for the closure SUPPLEMENTARY INFORMATION: This Effective on January 1, 1997, textile and disposal of the O’Hare ARS. surplus property is available under the products produced or manufactured in Nepal Patsy J. Conner, provisions of the Federal Property and and exported from Nepal on and after Administrative Services Act of 1949 and January 1, 1997, in Category 369 shall require Air Force Federal Register Liaison Officer. the Base Closure Community a 369–S 2 or 369–O 3 visa. There will be a [FR Doc. 96–29017 Filed 11–12–96; 8:45 am] Redevelopment and Homeless grace period from January 1, 1997 through BILLING CODE 3910±01±P January 31, 1997 during which goods Assistance Act of 1994. Notices of exported from Nepal in Category 369 may be interest should be forwarded to Mr. accompanied by a 369, 369–S or 369–O visa. Department of the Army Tony Mazzella, Director, Division Textile products exported in Category 369 on Property Management, State of New and after February 1, 1997 must be Armed Forces Epidemiological Board Jersey, CN 229, Trenton, New Jersey accompanied by an appropriate part-category visa. (AFEB) 08625–0229. The Committee for the Implementation of AGENCY: Office of The Surgeon General. FOR FURTHER INFORMATION CONTACT: Textile Agreements has determined that Additional information regarding these actions fall within the foreign affairs ACTION: Notice of meeting. exception to the rulemaking provisions of 5 particular properties identified in this U.S.C. 553(a)(1). SUMMARY: In accordance with section Notice (i.e., acreage, floor plans, existing Sincerely, 10(a)(2) of Public Law 92–463, the sanitary facilities, exact street address), Troy H. Cribb, Federal Advisory Committee Act, this contact Mr. Randy Williams, Army Chairman, Committee for the Implementation announces the forthcoming AFEB Corps of Engineers, 26 Federal Plaza, of Textile Agreements. Meeting. The meeting will be held from Room 2007, New York, NY 10278–0090 [FR Doc. 96–29208 Filed 11–8–96; 1:53 pm] 0800–1600, Thursday and Friday, (telephone 212–264–6122, fax 212–264– BILLING CODE 3510±DR±F December 12–13, 1996. The purpose of 0230); or Ms. Jean Johnson, Department the meeting is to complete pending of the Army, Regional Directorate of Board issues, introduce new questions, Public Works, ATTN: AFZT–EHP, Bldg. DEPARTMENT OF DEFENSE and to conduct an executive planning 5318 Delaware Avenue, Fort Dix, New session. The meeting location will be at Jersey 08640 (telephone 609–562–3253, Department of the Air Force the Walter Reed Army Institute of fax 609–562–6350). Research, Washington, D.C., Building O'Hare ARS The Surplus real property at Fort Dix 40, Room 3092. The meeting will be totals 15.32 acres of land in fee, open to the public, but limited by space On October 30, 1996, the Air Force improved with two (2) barracks accommodations. Any interested person entered into an Agreement buildings, one (1) administrative-supply may attend, appear before or file (‘‘Agreement’’) with the City of Chicago building, one (1) general instruction statements with the committee at the (‘‘City’’) to implement portions of the building and one (1) confinement Final Report to the President of the 1995 time and in the manner permitted by the committee. facility (State Prison). The Defense Base Closure and Realignment aforementioned property and buildings FOR FURTHER INFORMATION CONTACT: Col. are currently occupied by the State of 1 The limit for Category 340 has not been adjusted Vicky Fogelman, AFEB Executive New Jersey. to account for any imports exported after December Secretary, Armed Forces 31, 1995. Epidemiological Board, Skyline Six, Jay B. Hecht, 2 Category 369–S: only HTS number Chief, Real Estate Division. 6307.10.2005. 5109 Leesburg Pike, Room 693, Falls [FR Doc. 96–28992 Filed 11–12–96; 8:45 am] 3 Category 369–O: all HTS numbers except Church, Virginia 22041–3258, (703) 6307.10.2005 (Category 369–S). 681–8012/3. BILLING CODE 3710±06±M Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58171

Department of the Army development along Johnson Creek, and threatened species in accordance Arlington, Texas; environmental with the Endangered Species Act. The Corps of Engineers restoration within River Legacy Parks in State Historic Preservation Officer and Arlington, Texas; environmental the Advisory Council on Historic Intent to Prepare a Programmatic restoration and recreation facility Preservation will be consulted for Environmental Impact Statement development within Coppell, Texas; information in accordance with Section (PEIS) for the Upper Trinity River environmental restoration and 106 of the Historic Preservation Act. Feasibility Study, in Dallas, Denton, recreation facility development in 4. Scoping meetings have been and Tarrant Counties, Texas Denton County, Texas, channel and/or tentatively scheduled for January 7, AGENCY: U.S. Army Corps of Engineers, levee modifications, environmental 1997, and January 9, 1997. Information DOD. restoration (including a Chain-of-Lakes), regarding the scoping meeting for the and recreation development within the PEIS will be distributed through public ACTION: Notice of Intent. existing Dallas Floodway project limits notice and media releases. SUMMARY: The Fort Worth District is in Dallas, Texas; levee alignments and 5. The Draft PEIS has been scheduled preparing a PEIS for the proposed Upper recreation facility development in the for public review in the fall of 1997. Trinity River Feasibility Study, in Stemmons North Industrial Corridor of Gregory D. Showalter, Dallas, Denton, and Tarrant Counties, Dallas, Texas; modification to existing Army Federal Register Liaison Officer. Texas. The tentatively selected plans urban sumps (14W/15W) in Fort Worth, [FR Doc. 96–28993 Filed 11–12–96; 8:45 am] consist of structural and non-structural Texas; and river channel modification, BILLING CODE 3710±20±M measures at sites in the Upper Trinity and levee construction and modification River Basin study area which include: at Riverside Drive in Fort Worth, Texas. detention structures, channel 1. Proposed Action: The plan to be Department of the Navy modifications, levee enhancements, addressed in the PEIS consists of several floodway sumps, channel and levee projects which implement structural Notice of Planning and Steering combinations, and other allied purposes and non-structural measures in the Advisory Committee; Closed Meeting Upper Trinity River Basin, specifically of water quality improvement, SUMMARY: Pursuant to the provisions of environmental enhancement/restoration the Texas counties of Dallas, Denton, and Tarrant. The structural and non- the Federal Advisory Committee Act (5 opportunities, and recreation U.S.C. App. 2), notice is hereby given development. structural measures include: detention structures, channel modifications, levee that the Planning and Steering Advisory FOR FURTHER INFORMATION CONTACT: enhancements, floodway sumps, and a Committee will meet November 20, Mr. Gene T. Rice, Jr., CESWF–PL–M, 1996 from 9:00 a.m. to 4:00 p.m., at the U.S. Army Engineer District, Fort combination of channel modifications and floodway levees. These measures Center for Naval Analyses, 4401 Ford Worth, P.O. Box 17300 Fort Worth, Avenue, Alexandria, Virginia. This Texas 76102–0300, phone (817) 978– will provide flood damage reduction, water quality improvement, session will be closed to the public. 2187. The purpose of this meeting is to environmental enhancement/restoration SUPPLEMENTARY INFORMATION: discuss topics relevant to SSBN This opportunities, and recreation security. The entire agenda will consist action is being conducted in response to development. the authority contained in the following 2 Alternatives: Alternatives to the of classified information that is United States Senate Committee on projects which will be considered specifically authorized by Executive Environment and Public Works include numerous structural and non- order to be kept secret in the interest of Resolution dated April 22, 1988, as structural measures, in addition to the national defense and is properly quoted below: ‘‘No Action’’ alternative. classified pursuant to such Executive Resolved by the Committee on 3. The Corps’ scoping process and order. Environment and Public Works of the United public involvement for the PEIS under Accordingly, the Under Secretary of States Senate, that the Board of Engineers for consideration are described as follows: the Navy has determined in writing that Rivers and Harbors is hereby requested to a. The public involvement program all sessions of the meeting shall be requested to review the report of the Chief of for this study will consist of at least one closed to the public because they Engineers on the Trinity River and public meeting to be scheduled at a later concern matters listed in 552b(c)(1) of Tributaries, Texas, House Document No. 276, date. The public information meeting title 5, United States Code. Eighty-Ninth Congress, and other pertinent FOR FURTHER INFORMATION CONTACT: reports, with a view to determining the would be scheduled at the conclusion of advisability of modifying the proposal for the study to present study results to LCDR J. D. Skufca, 2000 Navy Pentagon, further studies contained therein, with local interests. Additional public Room 4D534, Washington, DC 20350– particular reference to providing workshops would be scheduled as 2000, telephone number (703) 693– improvements in the interest of flood necessary. 7248. protection, environmental enhancement, b. Some of the significant issues that Dated: October 30, 1996. water quality, recreation, and other allied will be analyzed in depth include: (1) Donald E. Koenig, purposes in the Upper Trinity River Basin Impacts of flooding and construction on LCDR, JAGC, USN, Federal Register Liaison with specific attention on the Dallas-Fort biological resources (bottomland Worth Metroplex. Officer. hardwoods, wetlands, etc.), water [FR Doc. 96–28958 Filed 11–12–96; 8:45 am] Numerous water resource quality, and socio-economic factors; (2) BILLING CODE 3810±FF-P development projects are being Recreational opportunities; and (3) proposed in the Upper Trinity River Mitigation and environmental Basin in Dallas, Denton, and Tarrant restoration opportunities. Counties, Texas. Projects in the study c. No other Federal agencies have DEPARTMENT OF EDUCATION area tentatively include: non-structural been invited to participate in the Notice of Proposed Information flood damage reduction river channel development of the PEIS at this time. Collection Requests modifications, environmental d. The U.S. Fish and Wildlife Service restoration, and recreation facility will furnish information on endangered AGENCY: Department of Education. 58172 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

ACTION: Submission for OMB review; Dated: November 6, 1996. National Assessment Governing comment request. Gloria Parker, Board; Meeting Director, Information Resources Group. SUMMARY: The Director, Information AGENCY: National Assessment Resources Group, invites comments on Office of Elementary and Secondary Governing Board. the proposed information collection Education ACTION: Amendment to notice of requests as required by the Paperwork Type of Review: New. partially closed meeting of the National Reduction Act of 1995. Title: Guidance on the Goals 2000 Assessment Governing Board. DATES: Interested persons are invited to Amendments (Draft). SUMMARY: This amends the notice of a submit comments on or before Frequency: One-time submission. partially closed meeting published on December 13, 1996. Affected Public: State, local or Tribal October 23, 1996, Vol. 61, No. 206, ADDRESSES: Written comments should Gov’t, SEAs or LEAs. pages 54990–54991. The Design and be addressed to the Office of Reporting and Recordkeeping Hour Methodology Committee will meet in Information and Regulatory Affairs, Burden: Responses: 30; Burden Hours: partially closed session on November Attention: Wendy Taylor, Desk Officer, 3,000. 14, 1996. The meeting will be closed Department of Education, Office of Abstract: The Omnibus Consolidated from 4:30—5:00 p.m. to permit the Management and Budget, 725 17th Rescissions and Appropriations Act of Committee to review the draft grants Street, NW., Room 10235, New 1996 amended portions of Titles II and announcement for an upcoming Executive Office Building, Washington, III of the Goals 2000: Educate America procurement that is being sponsored by DC 20503. Requests for copies of the Act. Included within those amendments the National Center for Education proposed information collection is a provision which offers states an Statistics. The Committee will review requests should be addressed to Patrick alternative to submitting their Goals the contents of the grants announcement J. Sherrill, Department of Education, 600 2000 plans in order to receive funding. for the purpose of giving approval to the Independence Avenue, S.W., Room specifications contained in the 5624, Regional Office Building 3, Office of Elementary and Secondary Education document. Public disclosure of this Washington, DC 20202–4651. information would likely have an FOR FURTHER INFORMATION CONTACT: Type of Review: New. adverse financial effect on the NAEP Patrick J. Sherrill (202) 708–8196. Title: Guidance on the Goals 2000 program. The discussion of this Individuals who use a Amendments (Draft). information would be likely to telecommunications device for the deaf Frequency: Annually. significantly frustrate implementation of (TDD) may call the Federal Information Affected Public: State, local or Tribal a proposed agency action if conducted Relay Service (FIRS) at 1–800–877–8339 Gov’t, SEAs or LEAs. in open session. Such matters are between 8 a.m. and 8 p.m., Eastern time, Reporting and Recordkeeping Hour protected by exemption 9(B) of Section Monday through Friday. Burden: Responses: 56; Burden Hours: 552b(c) of Title 5 U.S.C. The public is SUPPLEMENTARY INFORMATION: Section 5,600. given less than fifteen days notice of the 3506 of the Paperwork Reduction Act of Abstract: The Omnibus Consolidated closed portion of this meeting because 1995 (44 U. S. C. Chapter 35) requires Rescissions and Appropriations Act of the document to be considered was not that the Office of Management and 1996 amended portions of Titles II and available for review before now. II of the Goals 2000: Educate American Budget (OMB) provide interested Dated: November 7, 1996. Federal agencies and the public an early Act. The guidance document which was Roy Truby, opportunity to comment on information created to clarify these amendments collection requests. OMB may amend or addresses the reporting requirements of Executive Director, National Assessment Governing Board. waive the requirement for public states participating in Goals 2000. [FR Doc. 96–28984 Filed 11–12–96; 8:45 am] consultation to the extent that public Office of Educational Research and BILLING CODE 4000±01±M participation in the approval process Improvement would defeat the purpose of the information collection, violate State or Type of Review: Reinstatement. Federal law, or substantially interfere Title: Application for Grants Under DEPARTMENT OF ENERGY with any agency’s ability to perform its the Library Services and Construction Environmental Management Site- statutory obligations. The Director of the Act, Titles I, II and III. Specific Advisory Board, Kirtland Area Information Resources Group publishes Frequency: Annually. Office (Sandia) this notice containing proposed Affected Public: Not-for-profit institutions; State, local or Tribal Gov’t, information collection requests prior to AGENCY: Department of Energy. SEAs or LEAs. submission of these requests to OMB. ACTION: Notice of open meeting. Each proposed information collection, Reporting Burden and Recordkeeping: grouped by office, contains the Responses: 55; Burden Hours: 2,475. SUMMARY: Pursuant to the provisions of following: (1) Type of review requested, Abstract: The Office of Library the Federal Advisory Committee Act e.g., new, revision, extension, existing Programs needs the information to know (Pub. L. 92–463, 86 Stat. 770) notice is or reinstatement; (2) Title; (3) Summary how the respondents plan to use the hereby given of the following Advisory of the collection; (4) Description of the funds. The information is used to Committee meeting: Environmental need for, and proposed use of, the determine compliance with matching, Management Site-Specific Advisory information; (5) Respondents and four separate maintenance-of-effort Board, Kirtland Area Office (Sandia). frequency of collection; and (6) requirements, and use of funds for DATES: Wednesday, November 20, 1996: Reporting and/or Recordkeeping allowable activities. The respondents 6:50 pm-9:30 pm (Mountain Daylight burden. OMB invites public comment at are State Library Administrative Time). the address specified above. Copies of Agencies. ADDRESSES: Thomas Bell Community the requests are available from Patrick J. [FR Doc. 96–28950 Filed 11–12–96; 8:45 am] Center, 3001 University Boulevard, SE, Sherrill at the address specified above. BILLING CODE 4000±01±P Albuquerque, New Mexico. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58173

FOR FURTHER INFORMATION CONTACT: Issued at Washington, DC on November 7, 1:00 p.m. Environmental restoration & Mike Zamorski, Acting Manager, 1996. waste management subcommittee report Department of Energy Kirtland Area Rachel M. Samuel, continued (—1 hour); Nuclear materials Office, P.O. Box 5400, Albuquerque, NM management subcommittee (—30 Acting Deputy Advisory Committee minutes); Administrative subcommitteee 87185 (505) 845–4094. Management Officer. report (—30 minutes); —Includes bylaws SUPPLEMENTARY INFORMATION: [FR Doc. 96–29000 Filed 11–12–96; 8:45 am] amendments proposal to be voted on in BILLING CODE 6450±01±P January 1997; Budget subcommittee Purpose of the Board: The purpose of the report (—15 minutes). Board is to make recommendations to DOE 4:00 p.m. Adjourn and its regulators in the areas of Environmental Management Site- If necessary, time will be allotted after public comments for items added to the environmental restoration, waste Specific Advisory Board, Savannah management, and related activities. agenda, and administrative details. A final River Site agenda will be available at the meeting Tentative Agenda: Monday, November 18, 1996. 6:50 p.m. Public Comment Period AGENCY: Department of Energy. Public Participation: The meeting is open to the public. Written statements may be filed 7:00 p.m. Approval of Agenda ACTION: Notice of open meeting. 7:05 p.m. Approval of 10/16/96 Minutes with the Committee either before or after the meeting. Individuals who wish to make oral 7:10 p.m. Chair’s Report—DOE/SNL 10- SUMMARY: Pursuant to the provisions of statements pertaining to agenda items should Year Plan Report the Federal Advisory Committee Act contact Tom Heenan’s office at the address or 7:15 p.m. Board Committees (deferred from telephone number listed above. Requests October 16, 1996 meeting) (Pub. L. 92–463, 86 Stat. 770) notice is hereby given of the following Advisory must be received 5 days prior to the meeting 7:25 p.m. Inhalation Toxicology Research and reasonable provision will be made to Institute—Privatization and DOE Committee meeting: Environmental include the presentation in the agenda. The Regulations vs. Privatization Regulations Management Site-Specific Advisory Designated Federal Official is empowered to 7:40 p.m. Corrective Action Management Board (EM SSAB), Savannah River Site. conduct the meeting in a fashion that will Unit—Review of Design and Permit facilitate the orderly conduct of business. (DOE, EPA, New Mexico Environment DATES AND TIMES: Monday and Tuesday, Each individual wishing to make public Department) November 18 & 19, 1996: November comment will be provided a maximum of 5 8:00 p.m. Break 18—6:00 p.m.–9:30 p.m.; November minutes to present their comments. This 8:10 p.m. Future Use Management Areas 19—8:30 a.m.–4:00 p.m. notice is being published less than 15 days 3,4,5, and 6 in advance of the meeting due to 8:40 p.m. Board Budget Report ADDRESSES: The November 18, 1996 programmatic issues that needed to be 8:55 p.m. New/Other Business meeting will be held at: The First resolved. 9:05 p.m. Agenda Items for Next Meeting Baptist Church, 1803 Allen Street, Minutes: The minutes of this meeting will 9:10 p.m. Public Comment Barnwell, South Carolina. The be available for public review and copying at 9:20 p.m. Announcement of Next Meeting/ November 19, 1996 meeting will be held the Freedom of Information Public Reading Room, 1E–190, Forrestal Building, 1000 Adjourn at: Barnwell County State Park, Route 2, A final agenda will be available at the Independence Avenue, SW, Washington, DC Highway 3, Blackville, South Carolina. 20585 between 9:00 a.m. and 4 p.m., meeting Wednesday, November 20, 1996. Monday–Friday except Federal holidays. Public Participation: The meeting is open FOR FURTHER INFORMATION CONTACT: Tom Minutes will also be available by writing to to the public. Written statements may be filed Heenan, Manager, Environmental Tom Heenan, Department of Energy with the Committee either before or after the Restoration and Solid Waste, Savannah River Operations Office, P.O. Box meeting. Individuals who wish to make oral Department of Energy Savannah River A, Aiken, S.C. 29802, or by calling him at statements pertaining to agenda items should Operations Office, P.O. Box A, Aiken, (803) 725–8074. contact Mike Zamorski’s office at the address S.C. 29802 (803) 725–8074. Issued at Washington, DC, on October 31, or telephone number listed above. Requests 1996. SUPPLEMENTARY INFORMATION: must be received 5 days prior to the meeting Rachel Murphy Samuel, and reasonable provision will be made to Purpose of the Board: The purpose of the Acting Deputy Advisory Committee include the presentation in the agenda. The Board is to make recommendations to DOE Management Officer. Designated Federal Official is empowered to and its regulators in the areas of [FR Doc. 96–29001 Filed 11–12–96; 8:45 am] conduct the meeting in a fashion that will environmental restoration, waste BILLING CODE 6450±01±P facilitate the orderly conduct of business. management and related activities. Each individual wishing to make public comment will be provided a maximum of 5 Tentative Agenda: Environmental Management Site- minutes to present their comments. This Monday, November 18, 1996 notice is being published less than 15 days Specific Advisory Board, Pantex Plant, 6:00 p.m. Joint meeting of issues-based in advance of the meeting due to Amarillo, Texas subcommittee chairs programmatic issues that needed to be 6:30 p.m. Public comment session (5- AGENCY: Department of Energy. resolved. minute rule) ACTION: Minutes: The minutes of this meeting will Notice of open meeting. 7:00 p.m. Subcommittee meetings be available for public review and copying at 9:00 p.m. Adjourn SUMMARY: Pursuant to the provisions of the Freedom of Information Public Reading the Federal Advisory Committee Act Room, 1E–190, Forrestal Building, 1000 Tuesday, November 19, 1996 (Public Law 92–463, 86 Stat. 770) notice Independence Avenue, SW, Washington, DC 8:30 a.m. Approval of minutes, agency is hereby given of the following 20585 between 9:00 a.m. and 4 p.m., updates (—15 minutes); Public comment Advisory Committee meeting: Monday–Friday, except Federal holidays. session (5-minute rule) (—30 minutes); Minutes will also be available by writing to Environmental Management Site- Proposed spent nuclear fuel forum Specific Advisory Board (EM SSAB), Mike Zamorski, Department of Energy motion (—30 minutes); Environmental Kirtland Area Office, P.O. Box 5400, restoration & waste management Pantex Plant, Amarillo, Texas. Albuquerque, NM 87185, or by calling subcommittee report (—1 hour). DATES AND TIMES: Tuesday, November (505)845–4094. 12:00 p.m. Lunch 26, 1996: 1:30 p.m.–5:30 p.m. 58174 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

ADDRESSES: Boatman’s First National at the address or telephone number listed Room, 1E–190, Forrestal Building, 1000 Bank, Centennial Room, 8th and above. Independence Avenue, SW., Washington, DC Fillmore, Amarillo, Texas. Issued at Washington, DC on November 6, 20585 between 9:00 a.m. and 4 p.m., 1996. Monday–Friday, except Federal holidays. FOR FURTHER INFORMATION CONTACT: Minutes will also be available at the Tom Rachel Murphy Samuel, Williams, Program Manager, Department of Energy’s Information Resource Acting Deputy Advisory Committee Center at 105 Broadway, Oak Ridge, TN Department of Energy, Amarillo Area Management Officer. Office, P.O. Box 30030, Amarillo, TX between 8:30 a.m. and 5:00 p.m. on Monday, [FR Doc. 96–29002 Filed 11–12–96; 8:45 am] 79120 (806) 477–3121. Wednesday, and Friday; 8:30 a.m. and 7:00 BILLING CODE 6450±01±P p.m. on Tuesday and Thursday; and 9:00 SUPPLEMENTARY INFORMATION: a.m. and 1:00 p.m. on Saturday, or by writing to Sandy Perkins, Department of Energy Oak Purpose of the Committee: The Board Ridge Operations Office, 105 Broadway, Oak provides input to the Department of Energy Environmental Management Site- Specific Advisory Board, Oak Ridge Ridge, TN 37830, or by calling her at (423) on Environmental Management strategic 576–1590. decisions that impact future use, risk Reservation Issued at Washington, DC, on November 5, management, economic development, and AGENCY: 1996. budget prioritization activities. Department of Energy. ACTION: Notice of open meeting. Rachel Murphy Samuel, Tentative Agenda Acting Deputy Advisory Committee 1:30 p.m. Welcome—Agenda Review— SUMMARY: Pursuant to the provisions of Management Officer. Approval of Minutes the Federal Advisory Committee Act [FR Doc. 96–29003 Filed 11–12–96; 8:45 am] 1:35 p.m. Co-Chairs’ Comments (Pub. L. 92–463, 86 Stat. 770) notice is BILLING CODE 6450±01±P 1:45 p.m. Subcommittee Reports—Policy & hereby given of the following Advisory Personnel/Community Outreach— Committee meeting: Environmental Program and Training Management Site-Specific Advisory Environmental Management Site- 2:00 p.m. Task Force Reports—Transition— Board (EM SSAB), Oak Ridge Air Monitoring Specific Advisory Board, Idaho 2:10 p.m. Updates—Occurrence Reports Reservation. National Engineering Laboratory 2:25 p.m. Break DATES: Wednesday, December 5, 1996— 2:40 p.m. Presentation, Agency for Toxic 6:00 p.m.–9:30 p.m. AGENCY: Department of Energy. Substances and Disease Registry Dr. Paul ADDRESSES: Roane County Courthouse, ACTION: Notice of open meeting. Charp and Rick Collins 200 East Race Street, Commissioners SUMMARY: Pursuant to the provisions of 3:40 p.m. Discussion, Preparation/Disposal Conference Room, Kingston, Tennessee. Options for Plutonium the Federal Advisory Committee Act 5:30 p.m. Adjourn FOR FURTHER INFORMATION CONTACT: (Pub. L. 92–463, 86 Stat. 770) notice is Public Participation: The meeting is open Sandy Perkins, Site-Specific Advisory hereby given of the following Advisory to the public, and public comment will be Board Coordinator, Department of Committee meeting: Environmental invited throughout the meeting. Written Energy Oak Ridge Operations Office, Management Site-Specific Advisory statements may be filed with the Committee 105 Broadway, Oak Ridge, TN 37830, Board (EM SSAB), Idaho National either before or after the meeting. Written (423) 576–1590. Engineering Laboratory (INEL). comments will be accepted at the address above for 15 days after the date of the SUPPLEMENTARY INFORMATION: DATES: Tuesday, November 19, 1996 from 8:00 a.m. to 6:00 p.m.; Mountain meeting. Individuals who wish to make oral Purpose of the Board: The purpose of the statements pertaining to agenda items should Board is to make recommendations to DOE Savings Time (MST); Wednesday, contact Tom Williams’ office at the address and its regulators in the areas of November 20, 1996 from 1:00 p.m. to or telephone number listed above. Requests environmental restoration, waste 5:00 p.m. MST. There will be a public must be received 5 days prior to the meeting management, and related activities. comment availability session Tuesday, and reasonable provision will be made to Tentative Agenda: November 19, 1996 from 5:00 p.m. to include the presentation in the agenda. The 6:00 p.m. MST. Designated Federal Official is empowered to December Meeting Topics conduct the meeting in a fashion that will This meeting will include Board members ADDRESSES: Holiday Inn Westbank, 475 facilitate the orderly conduct of business. providing trip reports from visits to the River Parkway, Idaho Falls, Idaho Each individual wishing to make public Waste Isolation Pilot Project, Envirocare of 83402. comment will be provided a maximum of 5 Utah and the Nevada Test Site, and a trip FOR FURTHER INFORMATION CONTACT: minutes to present their comments. report regarding the Susceptibility and Risk Idaho National Engineering Laboratory Minutes: The minutes of this meeting will Symposium. be available for public review and copying at Public Participation: The meeting is open Information 1–800–708–2680 or Marsha the Pantex Public Reading Rooms located at to the public. Written statements may be filed Hardy, Jason Associates Corporation the Amarillo College Lynn Library and with the Committee either before or after the Staff Support 1–208–522–1662. Learning Center, 2201 South Washington, meeting. Individuals who wish to make oral SUPPLEMENTARY INFORMATION: Amarillo, TX phone (806) 371–5400. Hours statements pertaining to agenda items should of operation are from 7:45 a.m. to 10:00 p.m., contact Sandy Perkins at the address or Purpose of the Board: The purpose of the Monday through Thursday; 7:45 a.m. to 5:00 telephone number listed above. Requests Board is to make recommendations to DOE p.m. on Friday; 8:30 a.m. to 12:00 noon on must be received 5 days prior to the meeting and its regulators in the areas of Saturday; and 2:00 p.m. to 6:00 p.m. on and reasonable provision will be made to environmental restoration, waste Sunday, except for Federal holidays. include the presentation in the agenda. The management, and related activities. Additionally, there is a Public Reading Room Designated Federal Official is empowered to Tentative Agenda: The EM SSAB, INEL located at the Carson County Public Library, conduct the meeting in a fashion that will will meet to discuss the Waste Isolation Pilot 401 Main Street, Panhandle, TX phone (806) facilitate the orderly conduct of business. Project Supplemental Environmental Impact 537–3742. Hours of operation are from 9:00 Each individual wishing to make public Statement and the Strategic Laboratory a.m. to 7:00 p.m. on Monday; 9:00 a.m. to comment will be provided a maximum of 5 Mission Plan. The Board will be updated on 5:00 p.m., Tuesday through Friday; and minutes to present their comments. the Advanced Mixed Waste Treatment closed Saturday and Sunday as well as Minutes: The minutes of this meeting will Facility, Test Area North Groundwater, and Federal Holidays. Minutes will also be be available for public review and copying at the INEL Ten Year Plan. Presentations will be available by writing or calling Tom Williams the Freedom of Information Public Reading given to the Board on High-Level Waste at Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58175

INEL, the Idaho Chemical Processing Plant 004 was granted to GEA on April 4, remain in effect until final test Remedial Investigation Feasibility Study, and 1996, and published in the Federal procedure amendments become the Radioactive Waste Management Complex Register on April 24, 1996, for its effective, resolving the problem that is Remedial Investigation Feasibility Study. For clothes washer with non-traditional the subject of the waiver. a most current copy of the agenda, contact The Interim Waiver provisions, added Woody Russell, DOE-Idaho, (208) 526–0561, wash temperature selections and or Marsha Hardy, Jason Associates, (208) automatic water fill capability. The by the 1986 amendment, allow the 522–1662. The final agenda will be available Department has not yet issued a Assistant Secretary to grant an Interim at the meeting. Decision and Order and is extending the Waiver when it is determined that the Public Comment Availability: The two-day Interim Waiver by 180 days. applicant will experience economic meeting is open to the public, with a Public FOR FURTHER INFORMATION CONTACT: hardship if the Application for Interim Comment Availability session scheduled for P. Marc LaFrance, U.S. Department of Waiver is denied, if it appears likely Tuesday, November 19, 1996 from 5:00 p.m. Energy, Office of Energy Efficiency that the Petition for Waiver will be to 6:00 p.m. MST. The Board will be granted, and/or the Assistant Secretary available during this time period to hear and Renewable Energy, Mail Station EE–431, Forrestal Building, 1000 determines that it would be desirable for verbal public comments or to review any public policy reasons to grant written public comments. If there are no Independence Avenue, SW., members of the public wishing to comment Washington, DC 20585–0121, (202) immediate relief pending a or no written comments to review, the board 586–8423. determination on the Petition for will continue with its current discussion. Eugene Margolis, Esq., U.S. Department Waiver. An Interim Waiver remains in Written statements may be filed with the of Energy, Office of General Counsel, effect for a period of 180 days or until Committee either before or after the meeting. Mail Station GC–72, Forrestal DOE issues its determination on the Individuals who wish to make oral Building, 1000 Independence Avenue, Petition for Waiver, whichever is statements pertaining to agenda items should sooner, and may be extended for an contact the Idaho National Engineering SW, Washington, DC 20585–0103, (202) 586–9507. additional 180 days, if necessary. Laboratory Information line or Marsha Hardy, On October 9, 1995, GEA filed a Jason Associates, at the addresses or SUPPLEMENTARY INFORMATION: The Petition for Waiver and an Application telephone numbers listed above. Requests Energy Conservation Program for for Interim Waiver regarding its clothes must be received 5 days prior to the meeting Consumer Products (other than and reasonable provision will be made to washer model WZSE5310. The design automobiles) was established pursuant features of this model that differ from include the presentation in the agenda. The to the Energy Policy and Conservation Designated Federal Official is empowered to those covered by the existing clothes conduct the meeting in a fashion that will Act, as amended, (EPCA) 42 U.S.C. 6291 washer test procedure are: five wash facilitate the orderly conduct of business. et seq., which requires DOE to prescribe temperatures (a cold, three warms and Each individual wishing to make public standardized test procedures to measure a hot) in a factory preset primary mode, comment will be provided a maximum of 5 the energy consumption of certain 34 wash temperature selections in a minutes to present their comments. consumer products, including clothes secondary programming mode which Minutes: The minutes of this meeting will washers. The intent of the test may be substituted for the factory preset be available for public review and copying at procedures is to provide a comparable temperatures, and a consumer activated the Freedom of Information Public Reading measure of energy consumption through choice of a manual or automatic water Room, 1E–190, Forrestal Building, 1000 which manufacturers can establish Independence Avenue, SW, Washington, DC fill capability. Current test procedures 20585 between 9:00 a.m. and 4 p.m., compliance and that will assist do not contain provisions for testing Monday–Friday, except Federal holidays. consumers in making purchasing clothes washers with these features. On Issued at Washington, DC, on November 5, decisions. These test procedures appear April 4, 1996, in accordance with 10 1996. at Title 10 CFR Part 430, Subpart B. CFR Part 430, Section 430.27(g), the Rachel M. Samuel, DOE amended the test procedure Department granted GEA an Interim rules to provide for a waiver process by Acting Deputy Advisory Committee Waiver on the grounds that it is ‘‘likely Management Officer. adding § 430.27 to 10 CFR Part 430. (45 that the Petition for Waiver will be FR 64108, September 26, 1980.) [FR Doc. 96–29004 Filed 11–12–96; 8:45 am] granted’’ and for ‘‘public policy Thereafter, DOE further amended the reasons.’’ On April 24, 1996, both the BILLING CODE 6450±01±P appliance test procedure waiver process Interim Waiver and Petition for Waiver to allow the Assistant Secretary for were published in the Federal Register. Office of Energy Efficiency and Energy Efficiency and Renewable 61 FR 18125. The Interim Waiver was Renewable Energy Energy (Assistant Secretary) to grant an granted for 180 days. Interim Waiver from test procedure Currently, the Department is [Case No. CW±004] requirements to manufacturers that have considering adoption of revisions to the petitioned DOE for a waiver from such clothes washer test procedure found at Energy Conservation Program for prescribed test procedures. (51 FR 10 CFR Part 430, Subpart B, Appendix Consumer Products: Granting of an 42823, November 26, 1986). J, which may resolve some or all of the Extension for an Interim Waiver to The waiver process allows the issues addressed in the Interim Waiver General Electric Appliances From the Assistant Secretary to temporarily waive granted to GEA. Therefore, a decision DOE Clothes Washer Test Procedure the test procedures for a particular basic regarding the Petition for Waiver for the (Case No. CW±004) model when a petitioner shows that the GEA clothes washer is being delayed. AGENCY: Office of Energy Efficiency and basic model contains one or more Accordingly, in accordance with 10 CFR Renewable Energy, Department of design characteristics which prevent Part 430, Section 430.27 (h), the Energy. testing according to the prescribed test Department is granting GEA an ACTION: Notice. procedures or when the prescribed test extension to the Interim Waiver. procedures may evaluate the basic The Interim Waiver is based upon the SUMMARY: Today’s notice grants an model in a manner so unrepresentative presumed validity of all statements and extension of the Interim Waiver of its true energy consumption as to assertions submitted by GEA. The previously granted to General Electric provide materially inaccurate Interim Waiver may be revoked or Appliances (GEA). Interim Waiver CW– comparative data. Waivers generally modified at any time upon a 58176 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices determination that the factual basis 3084. (Also, please notify the EIA Federal Energy Regulatory underlying the Application is incorrect. contact listed below.) Commission The Interim Waiver shall remain in effect until March 29, 1997, or until the ADDRESSES: Address comments to the [Project Nos. 11499 & 11500ÐTennessee] Department of Energy Desk Officer, Department acts on the Petition for Armstrong Energy Company; Notice of Waiver, whichever is sooner. Office of Information and Regulatory Affairs, Office of Management and Inter-Agency Meeting Issued in Washington, DC, November 6, Budget, 726 Jackson Place NW., November 6, 1996. 1996. Washington, DC 20503. (Comments The interdisciplinary team consisting Christine A. Ervin, should also be addressed to the Office of staff of the Federal Energy Regulatory Assistant Secretary, Energy Efficiency and of Statistical Standards at the address Commission (FERC), the Tennessee Renewable Energy. below.) [FR Doc. 96–29006 Filed 11–12–96; 8:45 am] Valley Authority (TVA), and the U.S. BILLING CODE 6450±01±P FOR FURTHER INFORMATION: Requests for Army Corps of Engineers has scheduled additional information should be a meeting to discuss preliminary directed to Herbert Miller, Office of scoping issues submitted in public Energy Information Administration Statistical Standards, (EI–73), Forrestal comments for the Environmental Impact Building, U.S. Department of Energy, Statement for Armstrong Energy Agency Information Collection Under Washington, DC 20585. Mr. Miller may Company’s proposed Reynolds Creek Review by the Office of Management be telephoned at (202) 426–1103, FAX Pumped Storage Project No. 11500 and and Budget (202) 426–1081, or e-mail at Laurel Branch Pumped Storage Project AGENCY: Energy Information [email protected]. No. 11499. The meeting will be held in Administration, Department of Energy. SUPPLEMENTARY INFORMATION: The Knoxville, Tennessee, from 10 a.m. to 5 ACTION: Submission for OMB review; energy information collection submitted p.m. November 22, 1996, and will be comment request . to OMB for review was: located in the Knoxville Towers, Room SUMMARY: The Energy Information 1. EIA–411, ‘‘Regional Bulk Power WT 9D. Administration (EIA) has submitted the Supply Program’’. Any questions concerning this energy information collection(s) listed at 2. Energy Information Administration, meeting may be directed to Ed Crouse the end of this notice to the Office of OMB No. 1905–0195, Reinstatement, (FERC) at (202) 219–2794, or Linda Management and Budget (OMB) for Voluntary; (Based upon comments Oxendine (TVA) at (432) 632–3440. review under section 3507(a)(1)(D)of the received on our Federal Register notice, Lois D. Cashell, Paperwork Reduction Act of 1995 (Pub. 61 FR 14766, dated April 3, 1996, EIA Secretary. L. 104–13). The listing does not include will be reinstating Item 1 of the form, [FR Doc. 96–28965 Filed 11–12–96; 8:45 am] collections of information contained in Projected Energy and Peak Demand for BILLING CODE 6717±01±M new or revised regulations which are to the First Ten Years and Actual Data for be submitted under section the Previous Year. In addition, EIA is 3507(d)(1)(A) of the Paperwork undertaking a broader review of the data [Docket No. RP97±66±000] Reduction Act, nor management and collection needs associated with Canyon Creek Compression Company; procurement assistance requirements assuring adequate public access to Notice of Proposed Changes in FERC collected by the Department of Energy information necessary for assessing the Gas Tariff (DOE). adequacy and reliability of the nation’s Each entry contains the following electrical system.). November 6, 1996. information: (1) Collection number and 3. EIA–411 provides a single, Take notice that on November 1, title; (2) summary of the collection of comprehensive source of information on 1996, Canyon Creek Compression information (includes sponsor (the DOE current and planned electric power for Company (Canyon) tendered for filing as component)), current OMB document the U.S. The data are used to evaluate part of its FERC Gas Tariff, Third number (if applicable), type of request the current and projected reliability of Revised Volume No. 1, certain pro (new, revision, extension, or bulk electric power supply, and the forma tariff sheets to be effective May 1, reinstatement); response obligation effects of unforseen changes in 1997. (mandatory, voluntary, or required to powerplant construction schedules. Ten Canyon states that the purpose of the obtain or retain benefits); (3) a Regional Electric Reliability Councils filing is to reflect changes to conform to description of the need and proposed submit data for electric utilities. the standards adopted by the Gas use of the information; (4) description of Industry Standards Board and the likely respondents; and (5) estimate 4. Regional Electric Reliability incorporated into the Commission’s of total annual reporting burden Councils, electric utilities. Regulations by Order No. 587, issued (average hours per response x proposed 5. 16,657 (20.89 hrs. × 1 response per July 17, 1996 in Docket No. RM96–1– frequency of response per year x year × 797 respondents). 000. estimated number of likely Statutory Authority: 44 U.S.C. Canon states that copies of the filing respondents.) 3506(a)(2)(A) of the Paperwork Reduction are being mailed to its jurisdictional DATES: Comments must be filed on or Act of 1995 (Pub. L. No. 104–13). customers and interested state before December 13, 1996. If you regulatory agencies. Issued in Washington, DC, November 4, anticipate that you will be submitting Any person desiring to be heard or to 1996. comments but find it difficult to do so protest said filing should file a motion within the time allowed by this notice, Yvonne M. Bishop, to intervene or protest with the Federal you should advise the OMB DOE Desk Director, Office of Statistical Standards, Energy Regulatory Commission, 888 Officer listed below of your intention to Energy Information Administration. First Street, N.E., Washington, D.C. do so as soon as possible. The Desk [FR Doc. 96–29005 Filed 11–12–96; 8:45 am] 20426, in accordance with Sections Officer may be telephoned at (202) 395– BILLING CODE 6450±01±P 385.214 and 385.211 of the Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58177

Commission’s Rules and Regulations. Fifth Revised Sheet No. 8 Second Revised Sheet No. 305 All such motions or protests must be Seventh Revised Sheet No. 9 Second Revised Sheet No. 306 filed on or before November 22, 1996. Eighth Revised Sheet No. 10 First Revised Sheet No. 307 Protests will be considered by the Twentieth Revised Sheet No. 11 Second Revised Sheet No. 326 Fourth Revised Sheet No. 13 Second Revised Sheet No. 327 Commission in determining the First Revised Sheet No. 17A First Revised Sheet No. 330 appropriate action to be taken, but will Second Revised Sheet No. 133 First Revised Sheet No. 331 not serve to make protestants parties to First Revised Sheet No. 134 First Revised Sheet No. 332 the proceeding. Any person wishing to First Revised Sheet No. 135 [FR Doc. 96–28972 Filed 11–12–96; 8:45 am] become a party must file a motion to First Revised Sheet No. 136 intervene. Copies of this filing are on First Revised Sheet No. 137 BILLING CODE 6717±01±M file with the Commission and are First Revised Sheet No. 138 First Revised Sheet No. 139 available for public inspection in the [Docket No. CP97±77±000] Third Revised Sheet No. 224 Public Reference Room. Fifth Revised Sheet No. 228 Copano Field Services/Copano Bay, Lois D. Cashell, Fifth Revised Sheet No. 229 Secretary. Fifth Revised Sheet No. 230 L.P.; Notice of Petition for Declaratory Order [FR Doc. 96–28975 Filed 11–12–96; 8:45 am] Second Revised Sheet No. 230A Original Sheet No. 230B BILLING CODE 6717±01±M Fourth Revised Sheet No. 231 November 6, 1996. Fourth Revised Sheet No. 232 Take notice that on October 23, 1996, [Docket No. RP97±63±000] Fourth Revised Sheet No. 233 Copano Field Services/Copano Bay, L.P. Third Revised Sheet No. 234 (Copano) 1300 Post Oak Boulevard, Colorado Interstate Gas Company; Original Sheet No. 234A Suite 1750, Houston, Texas 77056, filed Notice of Proposed Changes in FERC Original Sheet No. 234B a petition in Docket No. CP97–77–000, Gas Tariff Third Revised Sheet No. 236 requesting that when Copano acquires Second Revised Sheet No. 237 the Blind Pass Facilities, which are November 6, 1996. Second Revised Sheet No. 238 certain pipeline and measuring facilities Take notice that on November 1, Second Revised Sheet No. 239 Third Revised Sheet No. 240 with appurtenances located in San 1996, Colorado Interstate Gas Company Patricio, Aransas, and Nueces Counties, (CIG), tendered for filing to become part Third Revised Sheet No. 241 Third Revised Sheet No. 242 Texas, from Florida Gas Transmission of its FERC Gas Tariff, First Revised Third Revised Sheet No. 243 Company (FGT), that the Commission Volume No. 1, the pro forma tariff Third Revised Sheet No. 244 declare that the facilities are gathering sheets listed in the attached Appendix Third Revised Sheet No. 245 facilities exempt from the provisions of A to be effective May 1, 1997. Third Revised Sheet No. 246 the Natural Gas Act (NGA), all as more CIG states that the purpose of this Second Revised Sheet No. 247 fully set forth in the petition which is compliance filing is to conform CIG’s First Revised Sheet No. 248 on file with the Commission and open First Revised Sheet No. 249 tariff to the requirements of Order No. to public inspection. 587. Second Revised Sheet No. 250 Second Revised Sheet No. 251 Copano requests that its petition be CIG further states that copies of this consolidated with FGT’s application filing have been served on CIG’s Second Revised Sheet No. 252 Second Revised Sheet No. 253 filed in Docket No. CP97–52–000 which jurisdictional customers and public Third Revised Sheet No. 254 involves the abandonment by sale of the bodies. Fourth Revised Sheet No. 255 Blind Pass Facilities to Copano. Any person desiring to protest this Fourth Revised Sheet No. 256 Copano states it currently renders filing should file a motion to intervene Third Revised Sheet No. 257 non-jurisdictional gathering services or protest with the Federal Energy Second Revised Sheet No. 258 through its Copano Bay System located Regulatory Commission, 888 First Second Revised Sheet No. 259 adjacent to the Blind Pass Facilities to Third Revised Sheet No. 272 Street, N.E., Washington, DC 20426, in be acquired from FGT. Copano relates accordance with Section 385.214 and Third Revised Sheet No. 274 Second Revised Sheet No. 278 that the Copano Bay System gathers Section 385.211 of the Commission’s wellhead production which undergoes Regulations. All such motions or Third Revised Sheet No. 279 Original Sheet No. 279A separation and compression at Copano’s protests must be filed on or before Second Revised Sheet No. 280 K.G. Pearce Plant, after which the November 22, 1996. Protests will be First Revised Sheet No. 281 condensed and compressed gas is considered by the Commission in Original Sheet No. 281A delivered to a processing plant owned determining the appropriate action to be Original Sheet No. 281B by Tejas Gas Corporation. Copano says taken, but will not serve to make Fourth Revised Sheet No. 282 it then sells the processed gas near the Fourth Revised Sheet No. 283 protestants parties to the proceeding. tailgate of the Tejas plant. Copano states Any person wishing to become a party First Revised Sheet No. 283A Fifth Revised Sheet No. 284 that the Blind Pass Facilities will be must file a motion to intervene. Copies integrated into the Copano Bay System. of this filing are on file with the First Revised Sheet No. 284A First Revised Sheet No. 284B Copano says it anticipates attaching Commission and are available for public First Revised Sheet No. 284C additional supplies to the Blind Pass inspection in the Public Reference Second Revised Sheet No. 286 Facilities, thereby increasing the Room. Second Revised Sheet No. 287 throughput through FGT’s Station No. 3. Lois D. Cashell, Second Revised Sheet No. 289 Copano relates that it will, effective Secretary. Third Revised Sheet No. 293 the date of transfer, assume all future First Revised Sheet No. 297 operational and commercial Appendix A—Colorado Interstate Gas First Revised Sheet No. 298 Company Pro Forma First Revised Volume Second Revised Sheet No. 299 responsibilities and maintenance No. 1 Filed Tariff Sheets First Revised Sheet No. 300 obligations for the Blind Pass Facilities. First Revised Sheet No. 5 Third Revised Sheet No. 302 Copano states that FGT is not currently Fifth Revised Sheet No. 7 Second Revised Sheet No. 303 providing any firm transportation First Revised Sheet No. 7A First Revised Sheet No. 304 services from the Blind Pass Facilities 58178 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices pursuant to Part 284 of the therein must file a motion to intervene inspection in the Public Reference Commission’s regulations or the in accordance with the Commission’s Room. transportation rate schedules in FGT’s Rules. Lois D. Cashell, FERC Gas Tariff, Original Volume No. 3. Lois D. Cashell, Secretary. Copano says that FGT has one Western Secretary. Division Interruptible Transportation Appendix A—East Tennessee Natural Gas Agreement with a receipt point on the [FR Doc. 96–28963 Filed 11–12–96; 8:45 am] Company Blind Pass Lateral for a shipper who is BILLING CODE 6717±01±M First Revised Sheet No. 1 purchasing gas from the one active well First Revised Sheet No. 9 Second Revised Sheet No. 10 on the Blind Pass Facilities. Copano First Revised Sheet No. 20 expects to negotiate an acceptable [Docket No. RP97±58±000] Second Revised Sheet No. 21 gathering agreement with that shipper First Revised Sheet No. 30A in the near future. East Tennessee Natural Gas Company; Second Revised Sheet No. 31 Copano believes that the Blind Pass Notice of Tariff Filing First Revised Sheet No. 33 Facilities meet the criteria of ‘‘gathering Third Revised Sheet No. 51 facilities’’ under Section 1(b) of the November 6, 1996. Fourth Revised Sheet No. 52 NGA as interpreted by the Commission Take notice that on November 1, Third Revised Sheet No. 52A Second Revised Sheet No. 54 under the ‘‘modified primary function’’ 1996, East Tennessee Natural Gas test, as set forth in Amerada Hess Corp., First Revised Sheet No. 60 Company (East Tennessee), filed the pro Third Revised Sheet No. 61 et al., as amended. 52 FERC ¶61,268 forma tariff sheets listed on the attached Second Revised Sheet No. 63 (1990). Appendix A in compliance with the First Revised Sheet No. 100 Copano asserts that the Blind Pass Second Revised Sheet No. 102 Facilities are well within the range of Commission’s directives in Order No. 587. Third Revised Sheet No. 103 onshore systems the Commission has Third Revised Sheet No. 104 determined to be gathering because the East Tennessee states that the pro Third Revised Sheet No. 105 facilities consist of relatively short, forma tariff sheets reflect the changes to First Revised Sheet No. 109 small-diameter pipe configured in a East Tennessee’s tariff that result from Second Revised Sheet No. 111 web-like arrangement; there is a typical the Gas Industry Standards Board’s First Revised Sheet No. 115 backbone-type arrangement which First Revised Sheet No. 123 (GISB) consensus standards that were First Revised Sheet No. 124 collects gas from many wells for adopted by the Commission in its July First Revised Sheet No. 127 delivery to the FGT mainline at Station 17, 1996 Order No. 587 in Docket No. First Revised Sheet No. 128 No. 3; there are no compressors or RM96–1–000. East Tennessee further First Revised Sheet No. 129 processing plants located on the Blind states that Order No. 587 contemplates Original Sheet No. 129A Pass Facilities; and the facilities operate that East Tennessee will implement the First Revised Sheet No. 131 based on wellhead pressures for First Revised Sheet No. 132 GISB consensus standards for May 1997 delivery to FGT’s Station No. 3. First Revised Sheet No. 133 Copano cities to the most recent business, and that the pro forma tariff First Revised Sheet No. 134 twelve-month period ending May 1996, sheets therefore reflect an effective date First Revised Sheet No. 135 First Revised Sheet No. 136 which shows the Blind Pass Facilities of May 1, 1997. East Tennessee’s filing includes a table listing each First Revised Sheet No. 137 have been considerably underutilized First Revised Sheet No. 138 recently. Copano says the facilities were Commission-adopted GISB standard and Second Revised Sheet No. 139 designed to move approximately 10,000 its relationship to East Tennessee’s Second Revised Sheet No. 140 Mcf per day, but during this twelve- tariff, including a brief description of First Revised Sheet No. 140A month period, the average daily volume the tariff changes that are submitted First Revised Sheet No. 141 moved was less than 5% of the design with East Tennessee’s filing. First Revised Sheet No. 142 Third Revised Sheet No. 143 capacity. Copano believes that its East Tennessee states that copies of acquisition of the Blind Pass Facilities First Revised Sheet No. 144 the filing have been mailed to all Second Revised Sheet No. 145 for use as non-jurisdictional gathering affected customers and state regulatory First Revised Sheet No. 147 will bring increased use of the Blind commissions. First Revised Sheet No. 148 Pass Facilities for the benefit of First Revised Sheet No. 149 consumers served by means of the FGT Any person desiring to be heard or to First Revised Sheet No. 150 transmission system. protest this filing should file a motion First Revised Sheet No. 151 Any person desiring to be heard or to to intervene or protest with the Federal First Revised Sheet No. 152 make any protest with reference to said Energy Regulatory Commission, First Revised Sheet No. 153 petition should on or before November Washington, DC 20426, in accordance Second Revised Sheet No. 154 27, 1996, file with the Federal Energy with Sections 385.214 and 385.211 of Second Revised Sheet No. 155 First Revised Sheet No. 156 Regulatory Commission, Washington, the Commission’s Regulations. All such First Revised Sheet No. 165 D.C. 20426, a motion to intervene or a motions or protests must be filed on or First Revised Sheet No. 168 protest in accordance with the before November 22, 1996. Protests will First Revised Sheet No. 169 requirements of the Commission’s Rules be considered by the Commission in First Revised Sheet No. 185 of Practice and Procedure (18 CFR determining the appropriate action to be First Revised Sheet No. 188 385.214 or 385.211). All protests filed taken, but will not serve to make First Revised Sheet No. 194 with the Commission will be considered First Revised Sheet No. 196 protestants parties to this proceeding. First Revised Sheet No. 202 by it in determining the appropriate Any person wishing to become a party action to be taken but will not serve to First Revised Sheet No. 203 must file a motion to intervene. Copies First Revised Sheet No. 211 make the protestants parties to the of this filing are on file with the First Revised Sheet No. 221 proceeding. Any person wishing to Commission and are available for public First Revised Sheet No. 228 become a party to a proceeding or to First Revised Sheet No. 229 participate as a party in any hearing First Revised Sheet No. 232 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58179

First Revised Sheet No. 236 taken, but will not serve to make First Revised Sheet No. 190 First Revised Sheet No. 241 protestants parties to this proceeding. First Revised Sheet No. 191 First Revised Sheet No. 244 Any person wishing to become a party First Revised Sheet No. 192 First Revised Sheet No. 248 must file a motion to intervene. Copies First Revised Sheet No. 193 First Revised Sheet No. 251 First Revised Sheet No. 194 First Revised Sheet No. 253 of this filing are on file with the First Revised Sheet No. 255 Commission and are available for public [FR Doc. 96–28968 Filed 11–12–96; 8:45 am] First Revised Sheet No. 257 inspection in the Public Reference BILLING CODE 6717±01±M First Revised Sheet No. 259 Room. First Revised Sheet No. 260 Lois D. Cashell, First Revised Sheet No. 261 [Docket No. RP97±64±000] Secretary. First Revised Sheet No. 262 Natural Gas Pipeline Company of First Revised Sheet No. 263 Appendix AÐMidwestern Gas First Revised Sheet No. 264 America; Notice of Proposed Changes First Revised Sheet No. 265 Transmission Company in FERC Gas Tariff Original Sheet No. 282 First Revised Sheet No. 1 November 6, 1996. [FR Doc. 96–28967 Filed 11–12–96; 8:45 am] Second Revised Sheet No. 14 Take notice that on November 1, BILLING CODE 6717±01±M Second Revised Sheet No. 20 First Revised Sheet No. 30 1996, Natural Gas Pipeline Company of First Revised Sheet No. 31 America (Natural) tendered for filing as [Docket No. RP97±59±000] Second Revised Sheet No. 32 part of its FERC Gas Tariff, Sixth First Revised Sheet No. 33 Revised Volume No. 1, certain pro Midwestern Natural Gas Company; First Revised Sheet No. 36 forma tariff sheets to be effective May 1, Notice of Proposed Changes in FERC First Revised Sheet No. 37 1997. Gas Tariff First Revised Sheet No. 39 Natural states that the purpose of the First Revised Sheet No. 40 filing is to reflect changes to conform to November 6, 1996. First Revised Sheet No. 53 First Revised Sheet No. 54 the standards adopted by the Gas Take notice that on November 1, Industry Standards Board and 1996, Midwestern Gas Transmission First Revised Sheet No. 55 First Revised Sheet No. 56 incorporated into the Commission’s Company (Midwestern), filed the pro First Revised Sheet No. 60 Regulations by Order No. 587, issued forma tariff sheets listed on the attached First Revised Sheet No. 61 July 17, 1996 in Docket No. RM96–1– Appendix A in compliance with the First Revised Sheet No. 62 000. Commission’s directives in Order No. First Revised Sheet No. 63 Natural states that copies of the filing 587. Second Revised Sheet No. 64 are being mailed to its jurisdictional First Revised Sheet No. 66 Midwestern states that the pro forma customers and interested state tariff sheets reflect the changes to First Revised Sheet No. 70 First Revised Sheet No. 71 regulatory agencies. Midwestern’s tariff that results from the Any person desiring to be heard or to Gas Industry Standards Board’s (GISB) First Revised Sheet No. 72 First Revised Sheet No. 73 protest said filing should file a motion consensus standards that were adopted First Revised Sheet No. 79 to intervene or protest with the Federal by the Commission in its July 17, 1996 First Revised Sheet No. 80 Energy Regulatory Commission, 888 Order No. 587 in Docket No. RM96–1– First Revised Sheet No. 84 First Street, N.E., Washington, D.C. 000. Midwestern further states that First Revised Sheet No. 86 20426, in accordance with Sections Order No. 587 contemplates that First Revised Sheet No. 87 385.214 and 385.211 of the Midwestern will implement the GISB First Revised Sheet No. 88 First Revised Sheet No. 89 Commission’s Rules and Regulations. consensus standards for May 1997 All such motions or protests must be business, and that the pro forma tariff Third Revised Sheet No. 90 First Revised Sheet No. 91 filed on or before November 22, 1996. sheets therefore reflect an effective date First Revised Sheet No. 92 Protests will be considered by the of May 1, 1997. First Revised Sheet No. 93 Commission in determining the Midwestern states that its filing First Revised Sheet No. 94 appropriate action to be taken, but will includes a table listing each First Revised Sheet No. 95 not serve to make protestants parties to Commission-adopted GISB standard and First Revised Sheet No. 96 the proceeding. Any person wishing to its relationship to Midwestern’s tariff, First Revised Sheet No. 97 become a party must file a motion to including a brief description of the tariff First Revised Sheet No. 98 intervene. Copies of this filing are on changes that are submitted with First Revised Sheet No. 99 file with the Commission and are Midwestern’s filing. Second Revised Sheet No. 100 Midwestern states that copies of the First Revised Sheet No. 105 available for public inspection in the Second Revised Sheet No. 108 filing have been mailed to all affected Public Reference Room. First Revised Sheet No. 125 Lois D. Cashell, customers and state regulatory First Revised Sheet No. 126 Secretary. commissions. First Revised Sheet No. 135 Any person desiring to be heard or to First Revised Sheet No. 143 [FR Doc. 96–28973 Filed 11–12–96; 8:45 am] protest this filing should file a motion First Revised Sheet No. 144 BILLING CODE 6717±01±M to intervene or protest with the Federal First Revised Sheet No. 145 Energy Regulatory Commission, 888 First Revised Sheet No. 151 [Docket No. RP97±61±000] First Street, N.E., Washington, D.C. First Revised Sheet No. 152 First Revised Sheet No. 158 20426, in accordance with Sections NorAm Gas Transmission Company; 285.214 and 385.211 of the First Revised Sheet No. 159 First Revised Sheet No. 171 Notice of Proposed Changes in FERC Commission’s Regulations. All such First Revised Sheet No. 172 Gas Tariff motions or protests must be filed on or First Revised Sheet No. 175 before November 22, 1996. Protests will First Revised Sheet No. 179 November 6, 1996. be considered by the Commission in First Revised Sheet No. 188 Take notice that on November 1, determining the appropriate action to be First Revised Sheet No. 189 1996, NorAm Gas Transmission 58180 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Company (NGT) tendered for filing as Original Sheet No. 194A [Docket No. RP97±68±000] part of its FERC Gas Tariff, Pro Forma Second Revised Sheet No. 195 Fourth Revised Volume No. 1, the Original Sheet No. 195A Stingray Pipeline Company; Notice of revised tariff sheets listed on Appendix Second Revised Sheet No. 196 Proposed Changes in FERC Gas Tariff First Revised Sheet No. 196A A, to be effective May 1, 1997. November 6, 1996. Second Revised Sheet No. 197 NGT states that the purpose of this Take notice that on November 1, filing is to comply with Order No. 587 First Revised Sheet No. 201 Original Sheet No. 201A 1996, Stingray Pipeline Company issued July 17, 1996, in Docket No. (Stingray) tendered for filing as part of RM96–1–000, as clarified, requiring Second Revised Sheet No. 202 Original Sheet No. 202A its FERC Gas Tariff, Third Revised interstate gas pipelines to implement Volume No. 1, certain pro forma tariff and follow standardized procedures for Second Revised Sheet No. 203 Second Revised Sheet No. 204 sheets to be effective May 1, 1997. certain business practices in accordance Stingray states that the purpose of the with the Standards promulgated by the Original Sheet No. 204A Second Revised Sheet No. 205 filing is to reflect changes to conform to Gas Industry Standards Board as the standards adopted by the Gas incorporated by reference in the Original Sheet No. 205A Second Revised Sheet No. 206 Industry Standards Board and Commission’s Regulations. First Revised Sheet No. 208 incorporated into the Commission’s NGT states that copies of the filing Regulations by Order No. 587, issued were served on its customers and First Revised Sheet No. 209 First Revised Sheet No. 210 July 17, 1996 in Docket No. RM96–1– interested State Commissions. 000. Any person desiring to be heard or to Second Revised Sheet No. 211 Second Revised Sheet No. 212 Stingray states that copies of the filing protest this filing should file a motion First Revised Sheet No. 216B are being mailed to its jurisdictional to intervene or protest with the Federal First Revised Sheet No. 216C customers and interested state Energy Regulatory Commission, 888 Second Revised Sheet No. 217 regulatory agencies. First Street, NE., Washington, DC 20426, First Revised Sheet No. 220 Any person desiring to be heard or to in accordance with Rules 214 and 211 First Revised Sheet No. 235 protest said filing should file a motion of the Commission’s Rules of Practice Original Sheet No. 235A to intervene or protests with the Federal and Procedure (18 CFR 385.214, First Revised Sheet No. 236 Energy Regulatory Commission, 888 385.211). All such motions or protests Original Sheet No. 236A First Street, NE., Washington, DC 20426, should be filed on or before November First Revised Sheet No. 237 in accordance with Sections 385.214 22, 1996. Protests will be considered by Original Sheet No. 237A and 385.211 of the Commission’s Rules the Commission in determining the First Revised Sheet No. 273 and Regulations. All such motions or appropriate action to be taken, but will Second Revised Sheet No. 276 protests must be filed on or before not serve to make protestants parties to Second Revised Sheet No. 277 November 22, 1996. Protests will be the proceeding. Any person wishing to First Revised Sheet No. 278 considered by the Commission in become a party must file a motion to Original Sheet No. 278A determining the appropriate action to be intervene. Copies of this filing are on Second Revised Sheet No. 279 taken, but will not serve to make file with the Commission and are Original Sheet No. 279A protestants parties to the proceeding. available for public inspection in the Original Sheet No. 279B Any person wishing to become a party Public Reference Room. Original Sheet No. 279C must file a motion to intervene. Copies Lois D. Cashell, Second Revised Sheet No. 280 of this filing are on file with the Secretary. First Revised Sheet No. 281 Commission and are available for public Original Sheet No. 281A Third Revised Sheet No. 1 inspection in the Public Reference Fifth Revised Sheet No. 5 First Revised Sheet No. 282 Room. First Revised Sheet No. 283 Fifth Revised Sheet No. 6 Lois D. Cashell, Second Revised Sheet No. 12 Second Revised Sheet No. 286 Secretary. Seventh Revised Sheet No. 13 Original Sheet No. 286A First Revised Sheet No. 15 First Revised Sheet No. 305 [FR Doc. 96–28974 Filed 11–12–96; 8:45 am] Second Revised Sheet No. 126 Original Sheet No. 305A BILLING CODE 6717±01±M Second Revised Sheet No. 127 First Revised Sheet No. 306 Second Revised Sheet No. 137 Original Sheet No. 306A [Docket No. RP97±60±000] Second Revised Sheet No. 162 First Revised Sheet No. 307 Third Revised Sheet No. 163 Fourth Revised Sheet No. 325 Tennessee Gas Pipeline Company; Third Revised Sheet No. 164 First Revised Sheet No. 326 First Revised Sheet No. 164A Notice of Proposed Changes in FERC Third Revised Sheet No. 329 Gas Tariff Third Revised Sheet No. 165A Second Revised Sheet No. 330 Second Revised Sheet No. 167 First Revised Sheet No. 331 Third Revised Sheet No. 169 November 6, 1996. Third Revised Sheet No. 334A Second Revised Sheet No. 169A Take notice that on November 1, Second Revised Sheet No. 172 Third Revised Sheet No. 334D 1996, Tennessee Gas Pipeline Company First Revised Sheet No. 173 Third Revised Sheet No. 342 (Tennessee), filed the pro forma tariff First Revised Sheet No. 175 Third Revised Sheet No. 344 sheets listed on the attached Appendix Original Sheet No. 175A Third Revised Sheet No. 345 A in compliance with the Commission’s First Revised Sheet No. 178 First Revised Sheet No. 347A directives in Order No. 587. Second Revised Sheet No. 190 First Revised Sheet No. 348 Tennessee states that the pro forma Original Sheet No. 190A Original Sheet No. 360 tariff sheets reflect the changes to First Revised Sheet No. 191 Original Sheet No. 361 Tennessee’s tariff that result from the Original Sheet No. 191A Original Sheet No. 362 Gas Industry Standards Board’s (GISB) Second Revised Sheet No. 192 Original Sheet No. 363 Original Sheet No. 192A consensus standards that were adopted First Revised Sheet No. 193 [FR Doc. 96–28970 Filed 11–12–96; 8:45 am] by the Commission in its July 17, 1996 Second Revised Sheet No. 194 BILLING CODE 6717±01±M Order No. 587 in Docket No. RM96–1– Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58181

000. Tennessee further states that Order First Revised Sheet No. 222 Third Revised Sheet No. 529 No. 587 contemplates that Tennessee Third Revised Sheet No. 227 First Revised Sheet No. 536 will implement the GISB consensus First Revised Sheet No. 228 First Revised Sheet No. 544 standards for May 1997 business, and First Revised Sheet No. 229 First Revised Sheet No. 552 Fourth Revised Sheet No. 301 First Revised Sheet No. 559 that the pro forma tariff sheets therefore First Revised Sheet No. 302 First Revised Sheet No. 560F reflect an effective date of May 1, 1997. Third Revised Sheet No. 305 First Revised Sheet No. 566 Tennessee’s filing includes a table First Revised Sheet No. 309 First Revised Sheet No. 574 listing each Commission-adopted GISB First Revised Sheet No. 310 First Revised Sheet No. 578 standard and its relationship to First Revised Sheet No. 311 First Revised Sheet No. 583 Tennessee’s tariff, including a brief Second Revised Sheet No. 312 First Revised Sheet No. 592 description of the tariff changes that are Third Revised Sheet No. 313 First Revised Sheet No. 593C submitted with Tennessee’s filing. Third Revised Sheet No. 314 Second Revised Sheet No. 601 Second Revised Sheet No. 314A First Revised Sheet No. 602 Tennessee states that copies of the Second Revised Sheet No. 314B First Revised Sheet No. 617D filing have been mailed to all affected Second Revised Sheet No. 314C Second Revised Sheet No. 654 customers and state regulatory Third Revised Sheet No. 315 First Revised Sheet No. 657 commissions. Fourth Revised Sheet No. 316 First Revised Sheet No. 659F Any person desiring to be heard or to Sixth Revised Sheet No. 317 [FR Doc. 96–28969 Filed 11–12–96; 8:45 am] Fifth Revised Sheet No. 318 protest this filing should file a motion BILLING CODE 6717±01±M to intervene or protest with the Federal Fifth Revised Sheet No. 319 Energy Regulatory Commission, 888 Second Revised Sheet No. 321 First Street, N.E., Washington, D.C. Second Revised Sheet No. 323 [Docket No. RP97±54±000] Third Revised Sheet No. 324 20426, in accordance with Sections First Revised Sheet No. 325 Trailblazer Pipeline Company; Notice 385.214 and 385.211 of the First Revised Sheet No. 326 of Proposed Changes in FERC Gas Commission’s Regulations. All such Second Revised Sheet No. 327 Tariff motions or protests must be filed on or Third Revised Sheet No. 328 before November 22, 1996. Protests will First Revised Sheet No. 329 November 6, 1996. be considered by the Commission in First Revised Sheet No. 330 Take notice that on November 1, determining the appropriate action to be First Revised Sheet No. 331 1996, Trailblazer Pipeline Company taken, but will not serve to make Second Revised Sheet No. 332 (Trailblazer) tendered for filing as part protestants parties to this proceeding. Second Revised Sheet No. 333 Second Revised Sheet No. 334 of its FERC Gas Tariff, Third Revised Any person wishing to become a party First Revised Sheet No. 334A Volume No. 1, certain pro forma tariff must file a motion to intervene. Copies Second Revised Sheet No. 335 sheets to be effective May 1, 1997. of this filing are on file with the Second Revised Sheet No. 336 Trailblazer states that the purpose of Commission and are available for public Fourth Revised Sheet No. 337 the filing is to reflect changes to inspection in the Public Reference First Revised Sheet No. 338 conform to the standards adopted by the Room. First Revised Sheet No. 340 Gas Industry Standards Board and Lois D. Cashell, First Revised Sheet No. 341 incorporated into the Commission’s Second Revised Sheet No. 342 Regulations by Order No. 587, issued Secretary. First Revised Sheet No. 342A July 17, 1996 in Docket No. RM96–1– Appendix A—Tennessee Gas Pipeline First Revised Sheet No. 343 Company First Revised Sheet No. 344 000. Second Revised Sheet No. 345 Trailblazer states that copies of the Pro Forma Fifth Revised Volume No. 1 Second Revised Sheet No. 346 filing are being mailed to its Fifth Revised Sheet No. 1 First Revised Sheet No. 346A jurisdictional customers and interested First Revised Sheet No. 95B Second Revised Sheet No. 347 state regulatory agencies. Third Revised Sheet No. 99 Second Revised Sheet No. 348 Any person desiring to be heard or to First Revised Sheet No. 100A First Revised Sheet No. 349 protest said filing should file a motion Second Revised Sheet No. 110 Third Revised Sheet No. 350 to intervene or protest with the Federal Second Revised Sheet No. 115 First Revised Sheet No. 352 Energy Regulatory Commission, 888 Second Revised Sheet No. 121 Second Revised Sheet No. 355 First Street, N.E., Washington, D.C. Fourth Revised Sheet No. 154 First Revised Sheet No. 356 Third Revised Sheet No. 155C First Revised Sheet No. 357 20426, in accordance with Sections First Revised Sheet No. 158 First Revised Sheet No. 358 385.214 and 385.211 of the Fourth Revised Sheet No. 161 Second Revised Sheet No. 363 Commission’s Rules and Regulations. Fifth Revised Sheet No. 167 Third Revised Sheet No. 364 All such motions or protests must be Fourth Revised Sheet No. 173 Second Revised Sheet No. 399 filed on or before November 22, 1996. Fifth Revised Sheet No. 178 First Revised Sheet No. 400 Protests will be considered by the Fourth Revised Sheet No. 204 Second Revised Sheet No. 401A Commission in determining the Fifth Revised Sheet No. 205A Second Revised Sheet No. 405 appropriate action to be taken, but will Second Revised Sheet No. 205B Second Revised Sheet No. 405A not serve to make protestants parties to Fourth Revised Sheet No. 206 Second Revised Sheet No. 405B Second Revised Sheet No. 207A Second Revised Sheet No. 405C the proceeding. Any person wishing to Fifth Revised Sheet No. 209 First Revised Sheet No. 406A become a party must file a motion to Second Revised Sheet No. 209C First Revised Sheet No. 406B intervene. Copies of this filing are on Second Revised Sheet No. 209H First Revised Sheet No. 503 file with the Commission and are First Revised Sheet No. 209I First Revised Sheet No. 504 available for public inspection in the Third Revised Sheet No. 211 First Revised Sheet No. 514 Public Reference Room. Second Revised Sheet No. 211A First Revised Sheet No. 515 Lois D. Cashell, Fifth Revised Sheet No. 212 First Revised Sheet No. 516 Third Revised Sheet No. 215 First Revised Sheet No. 517 Secretary. Third Revised Sheet No. 217 First Revised Sheet No. 520 [FR Doc. 96–28966 Filed 11–12–96; 8:45 am] Second Revised Sheet No. 220 First Revised Sheet No. 524 BILLING CODE 6717±01±M 58182 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

[Docket No. RP97±67±000] First Revised Sheet No. 237A Original Sheet No. 13B Third Revised Sheet No. 240 Original Sheet No. 13C Williams Natural Gas Company; Notice Second Revised Sheet No. 241 Original Sheet No. 13D of Proposed Changes in FERC Gas Original Sheet No. 241A Original Sheet No. 13E Tariff Second Revised Sheet No. 242 Original Sheet No. 13F Third Revised Sheet No. 244 Original Sheet No. 13G November 6, 1996. First Revised Sheet Nos. 245 and 246 Fourth Revised Sheet No. 14 Take notice that on November 1, Second Revised Sheet No. 261 Original Sheet No. 14A 1996, Williams Natural Gas Company Original Sheet No. 261A Fourth Revised Sheet No. 15 (WNG) tendered for filing as part of its Third Revised Sheet No. 262 Second Revised Sheet No. 15A Fourth Revised Sheet No. 16 FERC Gas Tariff, Second Revised Second Revised Sheet No. 263 Third Revised Sheet No. 280 First Revised Sheet No. 16A Volume No. 1, the pro forma tariff Second Revised Sheet No. 458 Original Sheet No. 16B sheets listed on Appendix A. hereto, to Original Sheet Nos. 458A–458D Original Sheet No. 16C be effective May 1, 1997. Second Revised Sheet No. 471 Fourth Revised Sheet No. 17 WNG states that this filing is being [FR Doc. 96–28976 Filed 11–12–96; 8:45 am] Fourth Revised Sheet No. 18 made to comply with Commission Second Revised Sheet No. 24 BILLING CODE 6717±01±M issued Order No. 587, issued July 17, Third Revised Sheet No. 25 1996. Sixth Revised Sheet No. 26 WNG states that a copy of its filing [Docket No. RP97±62±000] Fourth Revised Sheet No. 27 was served on all jurisdictional Third Revised Sheet No. 28 customers and interested state Wyoming Interstate Company, Ltd.; Original Sheet No. 28A Notice of Proposed Changes in FERC Second Revised Sheet No. 29 commissions. Second Revised Sheet No. 29A Any person desiring to be heard or to Gas Tariff Third Revised Sheet No. 29B protest this filing should file a motion First Revised Sheet No. 29C November 6, 1996. to intervene or a protest with the First Revised Sheet No. 29D Federal Energy Regulatory Commission, Take notice that on November 1, Second Revised Sheet No. 29E 888 First Street, N.E., Washington, D.C. 1996, Wyoming Interstate Company First Revised Sheet No. 29G 20426, in accordance with Sections LTD. (WIC), tendered for filing to First Revised Sheet No. 29H 385.214 and 385.211 of the become part of its FERC gas Tariffs, First Third Revised Sheet No. 30 Commission’s Rules and Regulations. Revised Volume No. 1 and Second First Revised Sheet No. 36 All such motions or protests must be Revised Volume No. 2, the pro forma First Revised Sheet No. 37 Second Revised Sheet No. 38 filed on or before November 22, 1996. tariff sheets listed in the attached Appendix A to be effective May 1, 1997. Third Revised Sheet No. 42 Protests will be considered by the Original Sheet No. 42A Commission in determining the WIC states that the purpose of this Original Sheet No. 42B appropriate action to be taken, but will compliance filing is to conform WIC’s Original Sheet No. 42C not serve to make protestants parties to tariff to the requirements of Order No. Third Revised Sheet No. 43 the proceedings. Any person wishing to 587. Second Revised Sheet No. 44 become a party must file a motion to WIC further states that copies of this Original Sheet No. 44A intervene. Copies of this filing are on filing have been served on WIC’s Third Revised Sheet No. 45 file with the Commission and are jurisdictional customers and public Original Sheet No. 45A Original Sheet No. 45B available for public inspection in the bodies. Any person desiring to be heard or to Second Revised Sheet No. 46 Public Reference Room. Third Revised Sheet No. 51 Lois D. Cashell, protest this filing should file a motion to intervene or protest with the Federal Wyoming Interstate Gas Company, Ltd. Pro Secretary. Energy Regulatory Commission, 888 Forma Second Revised Volume No. 2 Filed Appendix A—Williams Natural Gas First Street, N.E., Washington, DC Tariff Sheet Company 20426, in accordance with Section First Revised Sheet No. 2 Pro Forma Second Revised Volume No. 1 385.214 and Section 385.211 of the Sixth Revised Sheet No. 4 Fifth Revised Sheet No. 4A To Be Effective May 1, 1997 Commission’s Regulations. All such motions or protests must be filed on or Eighth Revised Sheet No. 5 Fifth Revised Sheet No. 1 Original Sheet No. 34A Sixth Revised Sheet No. 2 before November 22, 1996. Protests will Original Sheet No. 34B First Revised Sheet Nos. 132 and 138 be considered by the Commission in Original Sheet No. 34C Second Revised Sheet No. 144 determining the appropriate action to be Original Sheet No. 34D First Revised Sheet Nos. 145 and 146 taken, but will not serve to make Original Sheet No. 34E Original Sheet No. 147 protestants parties to the proceeding. Original Sheet No. 34F Fifth Revised Sheet No. 200 Any person wishing to become a party Original Sheet No. 34G Second Revised Sheet No. 201 must file a motion to intervene. Copies Third Revised Sheet No. 35 Third Revised Sheet Nos. 202 and 203 of this filing are on file with the Fourth Revised Sheet No. 36 First Revised Sheet No. 210 Commission and are available for public Second Revised Sheet No. 36A Original Sheet No. 210A Original Sheet No. 36B Second Revised Sheet Nos. 212 and 213 inspection in the Public Reference Fourth Revised Sheet No. 37 First Revised Sheet No. 223 Room. Second Revised Sheet No. 37A Second Revised Sheet No. 226A Lois D. Cashell, Original Sheet No. 37B Fifth Revised Sheet No. 227 Secretary. Fourth Revised Sheet No. 38 First Revised Sheet Nos. 227A and 227B Original Sheet No. 38A Fifth Revised Sheet No. 228 Appendix A—Wyoming Interstate Gas Original Sheet No. 38B Fourth Revised Sheet No. 229 Company, Ltd. Pro Forma First Revised Fourth Revised Sheet No. 39 Revised Sheet Nos. 229C, 230, and 231 Volume No. 1 Filed Tariff Sheets Second Revised Sheet No. 39A Third Revised Sheet No. 233 First Revised Sheet No. 2 Second Revised Sheet No. 45 Second Revised Sheet No. 234 Sixth Revised Sheet No. 5 Third Revised Sheet No. 47 Third Revised Sheet No. 236 Original Sheet No. 13A Second Revised Sheet No. 49 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58183

Original Sheet No. 49A will any electric energy be sold to 5. Louisville Gas and Electric Company Second Revised Sheet No. 50 consumers in the United States. Second Revised Sheet No. 51 [Docket Nos. ER96–2520–000, ER96–2528– Second Revised Sheet No. 52 Comment date: November 27, 1996, in 000, ER96–2545–000, ER96–2548–000, Original Sheet No. 52A accordance with Standard Paragraph E ER96–2589–000, ER96–2620–000, ER96– Original Sheet No. 52B at the end of this notice. The 2621–000, ER96–2622–000, ER96–2623–000, Second Revised Sheet No. 53 Commission will limit its consideration ER96–2745–000, ER96–2746–000, ER96– Third Revised Sheet No. 54 of comments to those that concern the 2747–000, ER96–2793–000, ER96–2794–000, ER96–2800–000, ER96–2802–000, ER96– Sixth Revised Sheet No. 55 adequacy or accuracy of the application. Fourth Revised Sheet No. 56 2822–000, ER96–2825–000, ER96–2845–000, Original Sheet No. 56A 2. Western Systems Power Pool ER96–2904–000, ER96–2931–000, ER96– Second Revised Sheet No. 57 2932–000, ER96–2933–000, ER96–3041–000, Second Revised Sheet No. 57A [Docket No. ER91–195–026] ER96–3042–000, ER96–3053–000, ER96– Second Revised Sheet No. 57B Take notice that on November 1, 3071–000, and ER96–3072–000] Second Revised Sheet No. 57C 1996, the Western Systems Power Pool Take notice that on October 21, 1996, Third Revised Sheet No. 57D Louisville Gas and Electric Company First Revised Sheet No. 57E (WSPP) filed certain information to update its October 30, 1996, quarterly tendered for filing amendments in the First Revised Sheet No. 57F above-referenced dockets. Second Revised Sheet No. 57G filing. This data is required by Ordering First Revised Sheet No. 57H Paragraph (D) of the Commission’s June Comment date: November 19, 1996, in First Revised Sheet No. 57I 27, 1991 order (55 FERC ¶ 61,495) and accordance with Standard Paragraph E First Revised Sheet No. 57J Ordering Paragraph (C) of the at the end of this notice. Third Revised Sheet No. 58 Commission’s June 1, 1992 Order on 6. Louisville Gas and Electric Company Third Revised Sheet No. 64 Rehearing Denying Request Not To Original Sheet No. 64A Submit Information, and Granting In [Docket Nos. ER96–2559–000, ER96–2668– Original Sheet No. 64B 000, ER96–2752–000, ER96–2799–000, Original Sheet No. 64C Part and Denying In Part Privileged ER96–2877–000, ER96–2893–000, ER96– Second Revised Sheet No. 65 Treatment. Pursuant to 18 CFR 3008–000, ER96–3009–000, and ER96–3010– Second Revised Sheet No. 66 § 385.211, WSPP has requested 000] First Revised Sheet No. 67 Privileged Treatment for some of the Take notice that on October 21, 1996, First Revised Sheet No. 68 information filed consistent with the Louisville Gas and Electric Company First Revised Sheet No. 69 June 1, 1992 order. Copies of WSPP’s tendered for filing amendments in the Third Revised Sheet No. 72 informational filing are on file with the First Revised Sheet No. 73 above-referenced dockets. Commission, and the non-privileged Comment date: November 19, 1996, in Second Revised Sheet No. 81 portions are available for public Third Revised Sheet No. 82 accordance with Standard Paragraph E inspection. [FR Doc. 96–28971 Filed 11–12–96; 8:45 am] at the end of this notice. BILLING CODE 6717±01±M 3. Cook Inlet Energy Supply Limited 7. Delmarva Power & Light Company Partnership [Docket No. ER97–236–000] [Docket No. ER96–1410–001] [Docket No. EG97±10±000, et al.] Take notice that on October 28, 1996, Delmarva Power & Light Company CMS Morocco Operating Company Take notice that on October 30, 1996, (Delmarva), tendered for filing executed SCA, et al.; Electric Rate and Cook Inlet Energy Supply Limited umbrella service agreements with Corporate Regulation Filings Partnership (Cook) tendered for filing supplements to its October 1, 1996, DuPont Power Marketing Inc. and with November 5, 1996. Notification of Change in Status. In Western Power Services, Inc. under Take notice that the following filings addition, Cook tendered for Delmarva’s market rate sales tariff, FERC have been made with the Commission: supplements to its May 16, 1996, Electric Tariff, Original Volume No. 14, request for Approval of Rate Schedule, filed by Delmarva in Docket No. ER96– 1. CMS Morocco Operating Company Clarification of Jurisdiction and Petition 2571–000. SCA for Waivers and Blanket approvals. Comment date: November 19, 1996, in [Docket No. EG97–10–000] Comment date: November 19, 1996, in accordance with Standard Paragraph E On October 31, 1996, CMS Morocco accordance with Standard Paragraph E at the end of this notice. Operating Company SCA (‘‘Applicant’’), at the end of this notice. 8. Kentucky Utilities Company with its principal office at c/o CMS Generation Co., Fairlane Plaza South, 4. Central Power and Light Company, [Docket No. ER97–237–000] 330 Town Center Drive, Suite 1000, Public Service Company of Oklahoma, Take notice that on October 29, 1996, Dearborn, Michigan 48126, filed with Southwestern Electric Power Company Kentucky Utilities Company (KU), the Federal Energy Regulatory and West Texas Utilities Company tendered for filing information on Commission an application for [Docket No. ER96–2342–001] transactions that occurred during July 1, determination of exempt wholesale 1996 through September 30, 1996, generator status pursuant to Part 365 of Take notice that on October 18, 1996 pursuant to the Power Services Tariff the Commission’s Regulations. and October 21, 1996, Central Power accepted by the Commission in Docket Applicant states that it is a company and Light Company, Public Service No. ER95–854–000. in the process of formation under the Company of Oklahoma, Southwestern Comment date: November 19, 1996, in laws of Morocco, and will operate two Electric Company and West Texas accordance with Standard Paragraph E existing 330 MW coal-fired units and Utilities Company amended their at the end of this notice. compliance filing made on September 3, operate two additional 348 MW units to 9. Portland General Electric Company be constructed. Electric energy 1996 in this proceeding. produced by the Facility will be sold at Comment date: November 19, 1996, in [Docket No. ER97–238–000] wholesale to the state-owned Office accordance with Standard Paragraph E Take notice that on October 29, 1996, National de l’Electricite. In no event at the end of this notice. Portland General Electric Company 58184 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

(PGE), tendered for filing under PGE’s Bay), tendered for filing a service 16. Central Illinois Public Service Final Rule pro forma tariff, (Docket No. agreement between the New York Power Company OA96–137–000) an executed Service Authority and Great Bay for service [Docket No. ER97–249–000] Agreement for Non-firm Point-to-Point under Great Bay’s revised Tariff for Transmission Service to PACIFICORP. Short Term Sales. This Tariff was Take notice that on October 28, 1996, Pursuant to 18 CFR 35.11 and the accepted for filing by the Commission Central Illinois Public Service Company Commission’s order issued July 30, 1993 on May 17, 1996, in Docket No. ER96– (CIPS), submitted a service agreement, (Docket No. PL93–2–002), PGE 726–000. The service agreement is dated October 21, 1996, establishing respectfully requests the Commission proposed to be effective October 28, Delhi Energy Services, Inc. (Delhi) as a grant a waiver of the notice 1996. customer under the terms of CIPS’ Open requirements of 18 CFR 35.3 to allow Access Transmission Tariff. Comment date: November 19, 1996, in the executed Service Agreement to CIPS requests an effective date of accordance with Standard Paragraph E become effective October 15, 1996. October 21, 1996 for the service at the end of this notice. Copies of this filing were caused to be agreement. Accordingly, CIPS requests served upon the entities listed in the 13. Great Bay Power Corporation waiver of the Commission’s notice body of the filing letter. requirements. Copies of this filing were Comment date: November 19, 1996, in [Docket No. ER97–244–000] served upon Delhi and the Illinois accordance with Standard Paragraph E Take notice that on October 28, 1996, Commerce Commission. at the end of this notice. Great Bay Power Corporation, tendered Comment date: November 19, 1996, in 10. Montaup Electric Company for filing a summary of activity for the accordance with Standard Paragraph E quarter ending September 30, 1996. [Docket No. ER97–240–000] at the end of this notice. Take notice that on October 29, 1996, Comment date: November 19, 1996, in 17. Louisville Gas and Electric Montaup Electric Company (Montaup), accordance with Standard Paragraph E Company filed rate schedule revisions at the end of this notice. [Docket No. ER97–250–000] incorporating the 1997 forecast billing 14. Northeast Utilities Service Company rate for its Purchased Capacity Take notice that on October 28, 1996, Adjustment Clause (PCAC) for all- [Docket No. ER97–247–000] Louisville Gas and Electric Company (LG&E), tendered for filing a Purchase requirements service to Montaup’s Take notice that on October 28, 1996, affiliates Eastern Edison Company in and Sales Agreement between Louisville Northeast Utilities Service Company Massachusetts and Blackstone Valley Gas and Electric Company (LG&E) and (NUSCO), tendered for filing a Service Electric Company and Newport Electric Aquila Power Corporation, pursuant to Agreement to provide Short-Term Firm Corporation in Rhode Island, and LG&E’s Rate Schedule GSS. Point-to-Point Transmission Service to contract demand service to two non- the Unitil Power Corp. under the NU Comment date: November 19, 1996, in affiliated customers: the Town of System Companies’ Open Access accordance with Standard Paragraph E Middleborough in Massachusetts and Transmission Service Tariff No. 8. at the end of this notice. the Pascoag Fire District in Rhode Island. The new forecast billing rate is NUSCO states that a copy of this filing 18. Niagara Mohawk Power $15.49516/Kw-mo. Montaup requests has been mailed to the Unitil Power Corporation that the new rate become effective Corp. [Docket No. ER97–251–000] January 1, 1997 in accordance with the NUSCO requests that the Service Take notice that on October 28, 1996, PCAC. Agreement become effective July 9, Niagara Mohawk Power Corporation Montaup’s filing was served on the 1996. (NMPC), tendered for filing with the affected customers, the Attorneys Federal Energy Regulatory Commission General of Massachusetts and Rhode Comment date: November 19, 1996, in an executed Transmission Service Island, the Rhode Island Public Utilities accordance with Standard Paragraph E Agreement between NMPC and Citizens Commission and the Massachusetts at the end of this notice. Lehman Power Sales. This Transmission Department of Public Utilities. 15. Houston Lighting & Power Company Service Agreement specifies that Comment date: November 19, 1996, in Citizens Lehman Power Sales has signed accordance with Standard Paragraph E [Docket No. ER97–248–000] on to and has agreed to the terms and at the end of this notice. Take notice that on October 25, 1996, conditions of NMPC’s Open Access 11. Louisville Gas and Electric Houston Lighting & Power Company Transmission Tariff as filed in Docket Company (HL&P), tendered for filing an executed No. OA96–194–000. This Tariff, filed transmission service agreement (TSA) with FERC on July 9, 1996, will allow [Docket No. ER97–241–000] with Questar Energy Trading Company Take notice that on October 29, 1996, NMPC and Citizens Lehman Power for Economy Energy Transmission Sales to enter into separately scheduled Louisville Gas and Electric Company, Service under HL&P’s FERC Electric tendered for filing copies of service transactions under which NMPC will Tariff, Original Volume No. 1, for provide transmission service for agreements between Louisville Gas and Transmission Service To, From and Electric Company and Koch Power Citizens Lehman Power Sales as the Over Certain HVDC Interconnections. parties may mutually agree. Services under Rate GSS. HL&P has requested an effective date of NMPC requests an effective date of Comment date: November 19, 1996, in October 25, 1996. accordance with Standard Paragraph E October 3, 1996. NMPC has requested at the end of this notice. Copies of the filing were served on waiver of the notice requirements for Questar and the Public Utility good cause shown. 12. Great Bay Power Corporation Commission of Texas. NMPC has served copies of the filing [Docket No. ER97–242–000] Comment date: November 19, 1996, in upon the New York State Public Service Take notice that on October 29, 1996, accordance with Standard Paragraph E Commission and Citizens Lehman Great Bay Power Corporation (Great at the end of this notice. Power Sales. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58185

Comment date: November 19, 1996, in In its filing, KCPL states that the rates 1. UGI Power Supply, Inc. accordance with Standard Paragraph E included in the above-mentioned [Docket No. ER96–2715–001] at the end of this notice. Service Agreement are KCPL’s rates and Take notice that on October 24, 1996, charges in the compliance filing to 19. Duquesne Light Company UGI Power Supply, Inc. tendered for FERC Order 888 in Docket No. OA96– filing its compliance filing, pursuant to [Docket No. ER97–252–000] 4–000. the Commission’s October 11, 1996, Take notice that on October 25, 1996, Comment date: November 19, 1996, in Order Conditionally Accepting for Duquesne Light Company (DLC), filed a accordance with Standard Paragraph E Filing Proposed Market Based Rates, 77 Service Agreement dated October 1, at the end of this notice. FERC ¶ 61,021. 1996 with PacifiCorp Power Marketing, 23. Tampa Electric Company Comment date: November 20, 1996, in Inc. under DLC’s Open Access accordance with Standard Paragraph E Transmission Tariff (Tariff). The Service [Docket No. ER97–256–000] at the end of this notice. Agreement adds PacifiCorp Power Take notice that on October 29, 1996, Marketing, Inc. as a customer under the Tampa Electric Company (Tampa 2. Citizens Power & Light Corp., DC Tie, Tariff. DLC requests an effective date of Electric), tendered for filing an Inc., Heartland Energy Services, Inc., October 1, 1996 for the Service amendment to its partial requirements Electric Clearinghouse, Inc., Valero Agreement. service agreement with the City of St. Power Services Company, Calpine Comment date: November 19, 1996, in Cloud, Florida (St. Cloud). The Power Services Company, CNG Power accordance with Standard Paragraph E amendment revises Exhibit A to the Services Corporation, and National at the end of this notice. service agreement to reflect a change in Power Exchange 20. New England Power Company the delivery points thereunder. [Docket Nos. ER89–401–029, ER91–435–020, Tampa Electric proposes an effective ER94–108–010, ER94–968–015, ER94–1394– [Docket No. ER97–253–000] date of November 1, 1996, for the 009, ER94–1545–008, ER94–1554–010, Take notice that on October 28, 1996, amendment to the service agreement, ER94–1593–008 (not consolidated)] New England Power Company, and therefore requests waiver of the Take notice that the following submitted for filing a corrective Commission’s notice requirement. informational filings have been made amendment to its open access Copies of the filing have been served with the Commission and are on file transmission tariff, FERC Electric Tariff, on St. Cloud and the Florida Public and available for inspection and Original Volume No. 9. Service Commission. copying in the Commission’s Public Comment date: November 19, 1996, in Comment date: November 19, 1996, in Reference Room: accordance with Standard Paragraph E accordance with Standard Paragraph E On October 31, 1996, Citizens Power at the end of this notice. at the end of this notice. & Light Corporation filed certain 21. Public Service Electric and Gas information as required by the Company Standard Paragraph Commission’s August 8, 1989, order in Docket No. ER89–401–000. [Docket No. ER97–254–000] E. Any person desiring to be heard or to protest said filing should file a On October 31, 1996, DC Tie, Inc. Take notice that on October 29, 1996, motion to intervene or protest with the filed certain information as required by Public Service Electric and Gas Federal Energy Regulatory Commission, the Commission’s July 11, 1991, order in Company (PSE&G), tendered for filing 888 First Street, N.E., Washington, D.C. Docket No. ER91–435–000. agreements to provide non-firm 20426, in accordance with Rules 211 On October 31, 1996, Heartland transmission service to Sonat Power and 214 of the Commission’s Rules of Energy Services, Inc., filed certain Marketing L.P., and AIG Trading Practice and Procedure (18 CFR 385.211 information as required by the Corporation, pursuant to PSE&G’s Open and 18 CFR 385.214). All such motions Commission’s August 9, 1994, order in Access Transmission Tariff presently on or protests should be filed on or before Docket No. ER94–108–000. file with the Commission in Docket No. On October 31, 1996, Electric the comment date. Protests will be OA96–80–000. Clearinghouse, Inc., filed certain considered by the Commission in PSE&G further requests waiver of the information as required by the determining the appropriate action to be Commission’s Regulations such that the Commission’s April 7, 1994, order in taken, but will not serve to make agreements can be made effective as of Docket No. ER94–968–000. October 29, 1996. protestants parties to the proceeding. On October 31, 1996, Valero Power Comment date: November 19, 1996, in Any person wishing to become a party Services Company, filed certain accordance with Standard Paragraph E must file a motion to intervene. Copies information as required by the at the end of this notice. of this filing are on file with the Commission’s August 24, 1994, order in Commission and are available for public Docket No. ER94–1394–000. 22. Kansas City Power & Light inspection. Company On October 31, 1996, Calpine Power Lois D. Cashell, Services Company, filed certain [Docket No. ER97–255–000] Secretary. information as required by the Take notice that on October 29, 1996, [FR Doc. 96–29011 Filed 11–12–96; 8:45 am] Commission’s March 9, 1995, order in Kansas City Power & Light Company BILLING CODE 6717±01±P Docket No. ER94–1545–000. (KCPL), tendered for filing a Service On October 31, 1996, CNG Power Agreement dated October 8, 1996, Services Corporation, filed certain between KCPL and Western Resources. [Docket No. ER96±2715±001, et al.] information as required by the KCPL proposes an effective date of Commission’s October 25, 1994, order October 8, 1996, and requests waiver of UGI Power Supply, Inc., et al; Electric in Docket No. ER94–1554–000. the Commission’s notice requirement. Rate and Corporate Regulation Filings On November 1, 1996, National Power This Agreement provides for the rates Exchange, filed certain information as and charges for Non-Firm Transmission November 6, 1996. required by the Commission’s October Service between KCPL and Western Take notice that the following filings 7, 1994, order in Docket No. ER94– Resources. have been made with the Commission: 1593–000. 58186 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

3. Chicago Energy Exchange of Chicago, required by the Commission’s January Agreements provide for transmission Inc., CRSS Power Marketing, Inc., EDC 13, 1995, order in Docket No. ER95– service under the Open Access Power Marketing, Inc., Delhi Energy 216–000. Transmission Service Tariff, FERC Services, Inc., Proler Power Marketing, On October 31, 1996, Western Power Original Volume No. 11. Inc., DuPont Power Marketing, Inc., Services, Inc. filed certain information Comment date: November 20, 1996, in and Global Petroleum Corp. as required by the Commission’s May accordance with Standard Paragraph E 16, 1995, order in Docket No. ER95– at the end of this notice. [Docket Nos. ER90–225–026, ER94–142–011, ER94–1538–008, ER95–940–006, ER95– 748–000. 8. Northern States Power Company On October 31, 1996, CL Power Sales 1433–004, ER95–1441–006, ER96–359–003 (Minnesota Company) (not consolidated)] One, L.L.C. filed certain information as required by the Commission’s June 8, [Docket No. ER97–258–000] Take notice that the following 1995, order in Docket No. ER95–892– Take notice that on October 29, 1996, informational filings have been made 000. Northern States Power Company with the Commission and are on file On October 31, 1996, Energy Services (Minnesota) (NSP), tendered for filing and available for inspection and Inc. filed certain information as required the Transmission Service Agreement copying in the Commission’s Public by the Commission’s June 13, 1995, between NSP and NorAm Energy Reference Room: order in Docket No. ER95–1021–000. Services, Inc. On October 23, 1996, Chicago Energy On October 31, 1996, USGen Power NSP requests that the Commission Exchange of Chicago, Inc. filed certain Services, L.P. filed certain information accept the agreement effective information as required by the as required by the Commission’s September 29, 1996, and requests Commission’s April 19, 1990, order in December 13, 1995, order in Docket No. waiver of the Commission’s notice Docket No. ER90–225–000. ER95–1625–000. requirements in order for the agreement On October 29, 1996, CRSS Power On November 1, 1996, Federal Energy to be accepted for filing on the date Marketing, Inc. filed certain information Sales, Inc. filed certain information as requested. as required by the Commission’s required by the Commission’s March 1, Comment date: November 20, 1996, in December 30, 1993, order in Docket No. 1996, order in Docket No. ER96–918– accordance with Standard Paragraph E ER94–142–000. 000. at the end of this notice. On October 29, 1996, EDC Power Marketing, Inc. filed certain information 5. Ocean State Power and Ocean State 9. Louisville Gas and Electric Company as required by the Commission’s Power II [Docket No. ER97–259–000] September 14, 1994, order in Docket No. [Docket Nos. ER96–1211–001 and ER96– Take notice that on October 29, 1996, ER94–1538–000. 1212–001] Louisville Gas and Electric Company, On October 17, 1996, Delhi Energy Take notice that on October 18, 1996, tendered for filing information on Services, Inc. filed certain information Ocean State Power and Ocean State transactions that occurred during July 1, as required by the Commission’s June 1, Power II tendered for filing its 1996 through September 30, 1996, 1995, order in Docket No. ER95–940– compliance filing in the above- pursuant to the Generation Sales Service 000. referenced dockets pursuant to the Tariff accepted by the Commission in On October 29, 1996, Proler Power Commission’s Letter order issued Docket No. ER92–533–000. Marketing, Inc. filed certain information September 16, 1996. Comment date: November 20, 1996, in as required by the Commission’s Comment date: November 20, 1996, in accordance with Standard Paragraph E October 16, 1995, order in Docket No. accordance with Standard Paragraph E at the end of this notice. ER95–1433–000. at the end of this notice. 10. Duke Power Company On October 10, 1996, DuPont Power Marketing Inc. filed certain information 6. DPL Energy, Inc. and Dayton Power [Docket No. ER97–260–000] as required by the Commission’s August & Light Company Take notice that on October 29, 1996, 30, 1995, order in Docket No. ER95– [Docket Nos. ER96–2601–001 and ER96– Duke Power Company (Duke), tendered 1441–000. 2602–001] for filing a Transmission Service On October 7, 1996, Global Petroleum Take notice that on October 15, 1996, Agreement between Duke, on its own Corp. filed certain information as DPL Energy, Inc. and Dayton Power & behalf and acting as agent for its wholly- required by the Commission’s December Light Company tendered for filing owned subsidiary, Nantahala Power and 20, 1995, order in Docket No. ER96– amendments in response to the Light Company, and El Paso Energy 359–000. Commission’s Order issued September Marketing Company (El Paso). Duke states that the TSA sets out the 4. Aquila Power Corporation, Western 30, 1996 in the above-referenced transmission arrangements under which Power Services, Inc., CL Power Sales dockets. Comment date: November 20, 1996, in Duke will provide Aquila non-firm One, L.L.C., Energy Services, Inc., accordance with Standard Paragraph E point-to-point transmission service USGen Power Services, L.P., and at the end of this notice. under Duke’s Pro Forma Open Access Federal Energy Sales, Inc. Transmission Tariff. Duke requests that 7. Wisconsin Public Service Corp. [Docket Nos. ER95–216–012, ER95–748–006, the Agreement be made effective as of ER95–892–007, ER95–1021–005, ER95– [Docket Nos. ER97–78–000, ER97–89–000, September 29, 1996. 1625–007, ER96–918–003 (not consolidated) and ER97–90–000] Comment date: November 20, 1996, in Take notice that on the following Take notice that on October 28, 1996, accordance with Standard Paragraph E informational filings have been made Wisconsin Public Service Corporation at the end of this notice. with the Commission and are on file (WPSC) tendered for filing separate 11. Southwestern Public Service and available for inspection and executed Transmission Service Company copying in the Commission’s Public Agreements between WPSC and Reference Room: Wisconsin Power & Light Company, [Docket No. ER97–261–000] On October 31, 1996, Aquila Power Western Power Services, Inc. and Take notice that on October 30, 1996, Corporation filed certain information as National Gas & Electric L.P. The Southwestern Public Service Company Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58187

(Southwestern), submitted amendments 14. PECO Energy Company Minnesota Power and Light Company; to agreements with New Corp [Docket No. ER97–265–000] (ii) KN Marketing, Inc.; (iii) Phibro Inc.; Resources, Inc. (New Corp) and Cap (iv) Questar Energy Trading Company; Take notice that on October 30, 1996, Rock Electric Cooperative, Inc. (Cap and (v) CPS Utilities. SCSI states that PECO Energy Company (PECO), filed a Rock). The amendments relate to facility the service agreement will enable Service Agreement dated October 22, financing agreements between Southern Companies to engage in short- 1996 with Illinois Power Company Southwestern, New Corp, and Cap Rock. term market-based rate transactions (ILLINOIS) under PECO’s FERC Electric with this entity. Comment date: November 20, 1996, in Tariff, First Revised Volume No. 4 Comment date: November 20, 1996, in accordance with Standard Paragraph E (Tariff). The Service Agreement adds accordance with Standard Paragraph E at the end of this notice. ILLINOIS as a customer under the at the end of this notice. 12. Unocal Corporation Tariff. PECO requests an effective date of 19. Allegheny Power Service [Docket No. ER97–262–000] October 22, 1996, for the Service Corporation, on behalf of Monongahela Take notice that on October 30, 1996, Agreement. Power Company, The Potomac Edison Unocal Corporation, tendered for filing, PECO states that copies of this filing Company, and West Penn Power pursuant to Rule 205 and 207 of the have been supplied to ILLINOIS and to Company (Allegheny Power) Commission’s Rules of Practice and the Pennsylvania Public Utility [Docket No. ER97–270–000] Procedure, 18 CFR 385.205 and 385.207, Commission. and Section 35.12 of the Commission’s Comment date: November 20, 1996, in Take notice that on October 30, 1996, Regulations under the Federal Power accordance with Standard Paragraph E Allegheny Power Service Corporation Act, 18 CFR 35.12, a petition for waivers at the end of this notice. on behalf of Monongahela Power Company, The Potomac Edison and blanket approvals under various 15. Maine Public Service Company regulations of the Commission, and for Company and West Penn Power an order accepting its FERC Electric [Docket No. ER97–266–000] Company (Allegheny Power), filed Rate Schedule No. 1, to be effective on Take notice that on October 30, 1996, Supplement No. 5 to add CPS utilities, the earlier of 60 days after the date of Maine Public Service Company (Maine Electric Clearinghouse, Inc., and its filing, or the date the Commission Public), filed an executed Service SCANA Energy Marketing, Inc. to the issues an order accepting the rate Agreement with The Power Company of Allegheny Power Open Access schedule. America. Transmission Service Tariff which has Unocal Corporation intends to engage Comment date: November 20, 1996, in been submitted for filing by the Federal in electric power and energy accordance with Standard Paragraph E Energy Regulatory Commission in transactions as a marketer and broker. In at the end of this notice. Docket No. OA96–18–000. The proposed effective date under the Unocal Corporation’s marketing 16. Maine Public Service Company transactions, Unocal Corporation Service Agreements is October 29, 1996. proposes to charge rates mutually [Docket No. ER97–267–000] Copies of the filing have been agreed upon by the parties. Unocal Take notice that on October 30, 1996, provided to the Public Utilities Corporation is not in the business of Maine Public Service Company (Maine Commission of Ohio, the Pennsylvania producing or transmitting electric Public), filed an executed Service Public Utility Commission, the power. Unocal Corporation does not Agreement with VTEC Energy, Inc. Maryland Public Service Commission, currently have nor contemplate Comment date: November 20, 1996, in the Virginia State Corporation acquiring title to any electric power accordance with Standard Paragraph E Commission, the West Virginia Public transmission facilities or any electricity at the end of this notice. Service Commission. Comment date: November 20, 1996, in service area franchises. 17. Maine Public Service Company accordance with Standard Paragraph E Comment date: November 20, 1996, in [Docket No. ER97–268–000] at the end of this notice. accordance with Standard Paragraph E at the end of this notice. Take notice that on October 30, 1996, 20. Wisconsin Public Service Maine Public Service Company (Maine Corporation 13. PECO Energy Company Public), filed an executed Service [Docket No. ER97–271–000] [Docket No. ER97–263–000] Agreement with CPS Utilities. Comment date: November 20, 1996, in Take notice that on October 30, 1996, Take notice that on October 30, 1996, accordance with Standard Paragraph E Wisconsin Public Service Corporation PECO Energy Company (PECO), filed a at the end of this notice. (WPSC), tendered for filing an executed Service Agreement dated October 25, Transmission Service Agreement 18. Southern Company Services, Inc. 1996 with Northeast Utilities Service between WPSC and Wisconsin Power & Company (NUSCO) under PECO’s FERC [Docket No. ER97–269–000] Light Company. The Agreement Electric Tariff, First Revised Volume No. Take notice that on October 30, 1996, provides for transmission service under 4 (Tariff). The Service Agreement adds Southern Company Services, Inc. the Open Access Transmission Service NUSCO as a customer under the Tariff. (SCSI), acting on behalf of Alabama Tariff, FERC Original Volume No. 11. PECO requests an effective date of Power Company, Georgia Power WPSC also filed a refund compliance October 25, 1996, for the Service Company, Gulf Power Company, report. Agreement. Mississippi Power Company and Comment date: November 20, 1996, in PECO states that copies of this filing Savannah Electric and Power Company accordance with Standard Paragraph E have been supplied to NUSCO and to (collectively referred to as ‘‘Southern at the end of this notice. the Pennsylvania Public Utility Companies’’) filed five (5) service 21. Indiana Michigan Power Company Commission. agreements under Southern Companies’ Comment date: November 20, 1996, in Market-Based Rate Power Sales Tariff [Docket No. ER97–272–000] accordance with Standard Paragraph E (FERC Electric Tariff, Original Volume Take notice that on October 30, 1996, at the end of this notice. No. 4) with the following entities: (i) Indiana Michigan Power Company 58188 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

(I&M), tendered for filing with the Service Agreement under its Open Hydropower Licensing has reviewed the Commission Facility Request No. 9 to Access Transmission Tariff. application for a new license for the the existing Agreement, dated December PG&E proposes that this Service Haas-Kings River Hydroelectric Project, 11, 1989 (1989 Agreement), between Agreement, as may be subject to refund located on the North Fork Kings River I&M and Wabash Valley Power or otherwise, become effective on near the towns of Centerville, Fresno Association, Inc. (WVPA). Facility October 1, 1996. PG&E is requesting any and Sanger, in Fresno County, Request No. 9 was negotiated in necessary waivers. California and has prepared a final response to WVPA’s request that I&M Copies of this filing have been served Environmental Assessment (EA) for the provide new facilities at two existing 69 upon the California Public Utilities project. In the EA, the Commission’s Kv tap stations to be owned by WVPA Commission and Minnesota Methane, staff has analyzed the potential and operated by I&M known as Fruit LLC. environmental impacts of the existing Belt Electric Cooperative-Daily and Comment date: November 20, 1996, in project and has concluded that approval Jones Tap Stations. The Commission has accordance with Standard Paragraph E of the project, with appropriate previously designated the 1989 at the end of this notice. environmental protection or Agreement as I&M’s Rate Schedule 25. PECO Energy Company enhancement measures, would not FERC No. 81. constitute a major federal action As requested by, and for the sole [Docket No. ER97–277–000] significantly affecting the quality of the benefit of WVPA, I&M proposes an Take notice that on October 30, 1996, human environment. effective date of December 31, 1996, for PECO Energy Company (PECO), filed a Copies of the EA are available for Facility Request No. 9. A copy of this summary of transactions made during review in the Public Reference Branch, filing was served upon WVPA, the the third quarter of calendar year 1996 Room 2A, of the Commission’s offices at Indiana Utility Regulatory Commission, under PECO’s market based rate tariff 888 First Street, NE., Washington, DC and the Michigan Public Service for power service accepted by the 20426. Commission. Commission in Docket No. ER96–640– Lois D. Cashell, Comment date: November 20, 1996, in 000. Secretary. accordance with Standard Paragraph E Comment date: November 20, 1996, in [FR Doc. 96–28964 Filed 11–12–96; 8:45 am] at the end of this notice. accordance with Standard Paragraph E BILLING CODE 6717±01±M at the end of this notice. 22. Interstate Power Company [Docket No. ER97–273–000] Standard Paragraph ENVIRONMENTAL PROTECTION E. Any person desiring to be heard or Take notice that on October 30, 1996, AGENCY Interstate Power Company (IPW), to protest said filing should file a tendered for filing a revised motion to intervene or protest with the [FRL±5650±9] Transmission Interconnection and Federal Energy Regulatory Commission, Operating Agreement between IPW and 888 First Street, N.E., Washington, D.C. National Advisory Council for the City of Luverne. IPW also requested 20426, in accordance with Rules 211 Environmental Policy and Technology withdrawal of the notice of cancellation and 214 of the Commission’s Rules of Reinvention Criteria Committee; Public in Docket No. ER96–1242–000 and Practice and Procedure (18 CFR 385.211 Meeting deferral of action in Docket No. ER96– and 18 CFR 385.214). All such motions AGENCY: Environmental Protection 2989–000. or protests should be filed on or before Agency (EPA). the comment date. Protests will be Comment date: November 20, 1996, in ACTION: Notice of public meeting. accordance with Standard Paragraph E considered by the Commission in at the end of this notice. determining the appropriate action to be SUMMARY: Under the Federal Advisory taken, but will not serve to make Committee Act, PL 92463, EPA gives 23. Central Illinois Light Company protestants parties to the proceeding. notice of a two-day meeting of the [Docket No. ER97–275–000] Any person wishing to become a party National Advisory Council for Take notice that on October 30, 1996, must file a motion to intervene. Copies Environmental Policy and Technology. Central Illinois Light Company (CILCO), of this filing are on file with the (NACEPT) Reinvention Criteria 300 Liberty Street, Peoria, Illinois Commission and are available for public Committee (RCC). NACEPT provides 61202, tendered for filing with the inspection. advice and recommendations to the Commission a substitute Index of Lois D. Cashell, Administrator of EPA on a broad range Customers under its Coordination Sales Secretary. of environmental policy issues. The Tariff and service agreements for one [FR Doc. 96–29009 Filed 11–12–96; 8:45 am] RCC has been asked to identify criteria new customer. BILLING CODE 6717±01±P the Agency can use to measure the CILCO requested an effective date of progress and success of specific October 1, 1996. reinvention projects and its overall Copies of the filing were served on all [Project No. 1988±007 California] reinvention efforts; and to identify affected customers and the Illinois Pacific Gas & Electric Co.; Notice of criteria to promote opportunities for Commerce Commission. Availability of Environmental self-certification, similar to the concept Comment date: November 20, 1996, in Assessment used for pesticide registration. This accordance with Standard Paragraph E meeting is being held to provide the at the end of this notice. November 6, 1996. EPA with perspectives from representatives of state and local 24. Pacific Gas and Electric Company In accordance with the National Environmental Policy Act of 1969 and government, academia, industry, and [Docket No. ER97–276–000] the Federal Energy Regulatory NGOs. Take notice that on October 30, 1996, Commission’s (Commission’s) DATES: The two-day public meeting will Pacific Gas and Electric Company regulations, 18 CFR Part 380 (Order No. be held on Wednesday, December 11, (PG&E), tendered for filing the first 486, 52 FR 47897), the Office of 1996 from 8:30am to 5:00pm and on Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58189

Thursday, December 12, 1996 from DATES: Comments will be accepted until 424–9346 or TDD (800) 553–7672 8:30am to 3:00pm. February 11, 1997. (hearing impaired). The document ADDRESSES: The meeting will be held at ADDRESSES: Commenters must send an number is EPA530–R–96–020. In the the Dupont Plaza Hotel, 1500 New original and two copies of their Washington, DC, metropolitan area, call Hampshire Avenue, N.W., Washington, comments referencing docket number (703) 412–9810 or TDD (703) 412–3323. DC 20036. F–96–NMP-FFFFF to: RCRA Docket The Draft Guidance Document is also Materials or written comments, may Information Center, Office of Solid available in electronic format on the be transmitted to the Committee through Waste (5305G), U.S. Environmental Internet. Follow these instructions to Gwendolyn Whitt, Designated Federal Protection Agency Headquarters (EPA, access the report. WWW: http:// Official, NACEPT/RCC, U.S. EPA, Office HQ), 401 M Street, SW., Washington, www.epa.gov/epaoswerGopher: of Cooperative Environmental DC 20460. Hand deliveries of comments gopher.epa.gov Dial-up: 919 558–0335 Management (1601–F), 401 M Street, should be made to the Arlington, VA, If you are using the gopher or direct S.W., Washington, D.C. 20460. address listed below. Comments may dialup method, once you are connected FOR FURTHER INFORMATION CONTACT: also be submitted electronically by to the EPA Public Access Server, look Gwendolyn Whitt, Designated Federal sending electronic mail through the for this report in the directory EPA Official for the Reinvention Criteria Internet to: rcra- Offices and Regions/Office of Solid Committee at 202–260–9484. [email protected]. Comments in Waste and Emergency Response Dated: November 4, 1996. electronic format should also be (OSWER)/Office of Solid Waste (RCRA)/ Gwendolyn C.L. Whitt, identified by the docket number F–96– [consult with Communication Strategist Designated Federal Official. NMP-FFFFF. All electronic comments for precise subject heading]. [FR Doc. 96–29027 Filed 11–12–96; 8:45 am] must be submitted as an ASCII file FTP: ftp.epa/gov BILLING CODE 6560±50±M avoiding the use of special characters Login: anonymous and any form of encryption. Password: your Internet address Commenters should not submit Files are located in /pub/gopher/ [FRL±5630±3] electronically any confidential business OSWRCRA. Preparing No-Migration Petitions for information (CBI). An original and two The official record for this action will Municipal Solid Waste Disposal copies of CBI must be submitted under be kept in paper form. Accordingly, EPA FacilitiesÐDraft Guidance Document separate cover to: RCRA CBI Document will transfer all comments received Control Officer, Office of Solid Waste electronically into paper form and place AGENCY: Environmental Protection (5305W), U.S. EPA, 401 M Street, SW., Agency (EPA). them in the official record, which will Washington, DC 20460. Public also include all comments submitted ACTION: Notice. comments and supporting materials are directly in writing. The official record is available for viewing in the RCRA SUMMARY: The Environmental Protection the paper record maintained at the Agency (EPA) is issuing a draft guidance Information Center (RIC), located at address in ‘‘ADDRESSES’’ at the document for comment. The draft Crystal Gateway I, First Floor, 1235 beginning of this document. EPA guidance affects EPA regulations (40 Jefferson Davis Highway, Arlington, VA. responses to comments, whether the CFR Part 258) for municipal solid waste The RIC is open from 9 a.m. to 4 p.m., comments are written or electronic, will landfills (MSWLFs) that allow Monday through Friday, excluding be in a notice in the Federal Register or groundwater monitoring requirements federal holidays. To review docket in a response to comments document to be suspended if there is no potential materials, it is recommended that the placed in the official record. EPA will for migration of hazardous constituents public make an appointment by calling not immediately reply to commenters from the unit to the uppermost aquifer (703) 603–9230. The public may copy a electronically other than to seek during the active life and post-closure maximum of 100 pages from any clarification of electronic comments that care period. The requirements may be regulatory docket at no charge. may be garbled in transmission or suspended by the Director of an Additional copies cost $0.15/page. For during conversion to paper form, as Approved State/Tribe. information on accessing paper and/or discussed above. This manual is intended to help the electronic copies of the document, see Michael Shapiro, Director, owners and operators of small MSWLFs the ‘‘Supplementary Information’’ Office of Solid Waste. (20 tons per day) to develop and submit section. [FR Doc. 96–29025 Filed 11–12–96; 8:45 am] no-migration petitions (NMP) to State FOR FURTHER INFORMATION CONTACT: For BILLING CODE 6560±50±P permit authorities. A NMP can be a cost general information, contact the RCRA effective way for owners and operators Hotline at (800) 424–9346 or TDD (800) of MSWLFs in specific climatic and 553–7672 (hearing impaired). In the [OPP±181029; FRL±5571±9] hydrogeologic conditions to comply Washington, DC, metropolitan area, call with the Groundwater Monitoring (703) 412–9810 or TDD (703) 412–3323. Emergency Exemptions provisions of EPA’s rules. NMPs result For information on specific aspects of AGENCY: Environmental Protection in the same environmental protection at the report, contact Allen J. Geswein, Agency (EPA). less cost. Office of Solid Waste [5306W], U.S. ACTION: Notice. The primary audience for the draft Environmental Protection Agency, 401 guidance manual is owners and M Street, SW., Washington, DC 20460, SUMMARY: EPA has granted specific operators of small MSWLFs, however, [(703) 308–7261], exemptions for the control of various the general approach could be used by [[email protected]]. pests to the three States listed below. an owner/operator of any size MSWLF. SUPPLEMENTARY INFORMATION: A paper Four crisis exemptions were initiated by The Agency was directed by the Land copy of ‘‘Preparing No-Migration various States. These exemptions, Disposal Program Flexibility Act Petitions for Municipal Solid Waste issued during the months of May, June, (LDPFA) to issue a guidance document Disposal Facilities—Draft Guidance and August 1996, are subject to to facilitate the use of NMPs by small Document’’, is free and may be obtained application and timing restrictions and MSWLFs. by calling the RCRA Hotline at (800) reporting requirements designed to 58190 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices protect the environment to the weeds. The program has ended. European corn borer, southwestern corn maximum extent possible. Information (Margarita Collantes) borer, fall armyworm, and corn on these restrictions is available from Authority: 7 U.S.C. 136. earworm. The program is authorized the contact persons in EPA listed below. only in the States of Connecticut, DATES: See each specific and crisis List of Subjects Florida, Georgia, Hawaii, Kansas, Illinois, Indiana, Iowa, Maryland, exemption for its effective date. Environmental protection, Pesticides Michigan, Minnesota, Missouri, FOR FURTHER INFORMATION CONTACT: See and pests, Crisis exemptions. each emergency exemption for the name Nebraska, North Carolina, Ohio, Dated: October 30, 1996. Pennsylvania, South Dakota, Tennessee, of the contact person. The following Stephen L. Johnson, information applies to all contact Texas, and Wisconsin and Puerto Rico. Director, Registration Division, Office of The experimental use permit is effective persons: By mail: Registration Division Pesticide Programs. (7505W), Office of Pesticide Programs, from May 2, 1996 to April 30, 1997. Environmental Protection Agency, 401 [FR Doc. 96–29022 Filed 11–12–96; 8:45 am] This permit is issued with the limitation M St., SW., Washington, DC 20460. BILLING CODE 6560±50±F that all crops are destroyed or used for Office location and telephone number: research purposes only. (Michael Mendelsohm, CS 1 5th Floor, 707-308- 6th Floor, CS 1B1, 2800 Jefferson Davis [OPP±50822; FRL±5570±9] Highway, Arlington, VA (703–308– 8715, e-mail: [email protected]) 8417); e-mail: Issuance of Experimental Use Permits [email protected]. 707–EUP–136. Issuance. Rohm and Haas Company, 100 Independence Mall SUPPLEMENTARY INFORMATION: EPA has AGENCY: Environmental Protection granted specific exemptions to the: Agency (EPA). West, Philadelphia, PA 19106-2399. 1. Indiana, Office of State Chemist for ACTION: Notice. This experimental use permit allows the the use of Dimethomorph on tobacco to use of 565.0 pounds of the herbicide 3- SUMMARY: control blue mold; August 15, 1996, to EPA has granted experimental pyridinecarboxylic acid, 2- August 14, 1997. (Libby Pemberton) use permits to the following applicants. (difluoromethyl)-5-(4,5-dihydro-2- 2. Tennessee Department of These permits are in accordance with, thiazolyl)-4-(2-methylpropyl)-6- Agriculture for the use of tebufenozide and subject to, the provisions of 40 CFR (trifluoromethyl)-, methyl ester on 800 on cotton to control beet armyworms; part l72, which defines EPA procedures acres of tree nuts and 660 acres of August 1, 1996, to September 30, 1996. with respect to the use of pesticides for peanuts to evaluate the preemergence (Margarita Collantes) experimental use purposes. control of various annual grasses and 3. Tennessee Department of FOR FURTHER INFORMATION CONTACT: By broadleaf weeds. The program is Agriculture for the use of Pirate on mail: Registration Division (7505C), authorized only in the States of cotton to control beet armyworms; Office of Pesticide Programs, California, Georgia, New Mexico, August 1, 1996, to September 30, 1996. Environmental Protection Agency, 401 Oregon, and Texas for the tree nut (Margarita Collantes) M St., SW., Washington, DC 20460. program and in the States of Alabama, 4. Utah Department of Agriculture for In person or by telephone: Contact the Georgia, North Carolina, Oklahoma, the use of Dimethomorph on potatoes to product manager at the following Texas, and Virginia for the peanut control late blight; August 2, 1996, to address at the office location, telephone program. The experimental use permit August 2, 1997. (Libby Pemberton) number, or e-mail address cited in each is effective from July 25, 1996 to July 25, 5. Utah Department of Agriculture for experimental use permit: 1921 Jefferson 1998. Temporary tolerances for residues the use of propamocarb hydrochloride Davis Highway, Arlington, VA. of the active ingredient in or on tree on potatoes to control late blight; SUPPLEMENTARY INFORMATION: EPA has nuts and peanuts have been established. August 2, 1996, to August 2, 1997. issued the following experimental use (Joanne Miller, PM 23, Rm. 237, CM #2, (Libby Pemberton) permits: 703–305–6224, e-mail: 6. Utah Department of Agriculture for 275–EUP–81. Issuance. Abbott [email protected]) the use of cymoxanil on potatoes to Laboratories, 1401 Sheridan Road, 59639–EUP–118. Issuance. Valent control late blight; August 2, 1996, to North Chicago, IL 60064–4000. This U.S.A. Corporation, 1333 N. California August 2, 1997. (Libby Pemberton) experimental use permit allows the use Blvd., Suite 600, Walnut Creek, CA Crisis exemptions were initiated by of 108.5 pounds of the plant growth 95496. This experimental use permit the: regulator gibberellic acid on 492 acres of allows the use of 91.78 pounds (45.89 1. Idaho Department of Agriculture on hybrid rice to evaluate crop each year) of the herbicide 7-fluoro-6- August 5, 1996, for the use of zinc performance. The program is authorized [(3,4,5,6-tetrahydro)phthalimido)]-4-(2- phosphide on potatoes to control voles. only in the State of Texas. The propynyl)-1,4-benzoxazin-3(2(H)-one on This program has ended. (Libby experimental use permit is effective 480 acres of soybeans to evaluate the Pemberton) from June 11, 1996 to June 15, 1997. control of various broadleaf weeds. The 2. Idaho Department of Agriculture on This permit is issued with the limitation program is authorized only in the States August 5, 1996, for the use of zinc that all crops are destroyed or used for of Arkansas, Illinois, Indiana, Iowa, phosphide on sugar beets to control research purposes only. (Denise Kansas, Kentucky, Louisiana, Maryland, voles. This program has ended. (Libby Greenway, CS 1 5th Floor, 703–308– Michigan, Minnesota, Mississippi, Pemberton) 8263, e-mail: Missouri, Nebraska, North Carolina, 3. Maine Department of Agriculture [email protected]) Ohio, Tennessee, and Virginia. The Food and Rural Resources on June 10, 69575–EUP–1. Issuance. Dekalb experimental use permit is effective 1996, for the use of fomesafen on dry Genetics Corporation, Discovery from August 1, 1996 to August 1, 1998. beans to control weeds. The program Research, 62 Maritime Drive, Mystic, CT A temporary tolerance for residues of has ended. (Margarita Collantes) 06355-1958. This experimental use the active ingredient in or on soybeans 4. Missouri Department of Agriculture permit allows the use of 730 grams of has been established. (Joanne Miller, PM on May 29, 1996, for the use of the Bacillus thuringiensis δ-endotoxin 23, Rm. 237, CM #2, 703–305–6224, e- fomesafen on snap beans to control in seeds to evaluate the control of the mail: [email protected]) Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58191

Persons wishing to review these October 23, 1996, and related provide assistance for debris removal and experimental use permits are referred to determinations. emergency protective measures as authorized under subsection 502(a) (4) and (5), the designated product manager. EFFECTIVE DATE: October 31, 1996. Inquires concerning these permits excluding regular time costs for subgrantees’ FOR FURTHER INFORMATION CONTACT: regular employees, and disaster housing as should be directed to the person cited Pauline C. Campbell, Response and authorized under subsection 502(a)(6). above. It is suggested that interested Recovery Directorate, Federal In order to provide Federal assistance, you persons call before visiting the EPA Emergency Management Agency, are hereby authorized to coordinate and office, so that the appropriate file may Washington, DC 20472, (202) 646–3606. direct other Federal agencies and fund be made available for inspection activities not authorized under other Federal SUPPLEMENTARY INFORMATION: Notice is purposes from 8 a.m. to 4 p.m., Monday statutes and allocate from funds available for hereby given that the incident period for these purposes, such amounts as you find through Friday, excluding legal this emergency is closed effective Octo- holidays. necessary for Federal emergency assistance ber 31, 1996. and administrative expenses. Authority: 7 U.S.C. 136. (Catalog of Federal Domestic Assistance No. Pursuant to this emergency declaration, 83.516, Disaster Assistance.) you are authorized to provide emergency List of Subjects assistance as you deem appropriate under Lacy E. Suiter, Title V of the Stafford Act at 75 percent Environmental protection, Executive Associate Director, Response and Federal funding. Experimental use permits. Recovery Directorate. The time period prescribed for the [FR Doc. 96–29030 Filed 11–12–96; 8:45 am] Dated: October 28, 1996. implementation of section 310(a), Stephen L. Johnson, BILLING CODE 6718±02±P Priority to Certain Applications for Director, Registration Division, Office of Public Facility and Public Housing Pesticide Programs. [FEMA±3121±EM] Assistance, 42 U.S.C. 5153, shall be for [FR Doc. 96–29021 Filed 11–12–96; 8:45 am] a period not to exceed six months after BILLING CODE 6560±50±F Maine; Emergency and Related the date of this declaration. Determinations Notice is hereby given that pursuant to the authority vested in the Director of AGENCY: Federal Emergency the Federal Emergency Management FARM CREDIT ADMINISTRATION Management Agency (FEMA). Agency under Executive Order 12148, I ACTION: Notice. Farm Credit Administration Board; hereby appoint Sharon Stoffel of the Regular Sunshine Act Meeting SUMMARY: This is a notice of the Federal Emergency Management Agency Presidential declaration of an to act as the Federal Coordinating AGENCY: Farm Credit Administration. emergency for the State of Maine Officer for this declared emergency. I do hereby determine the following SUMMARY: Notice is hereby given, (FEMA–3121–EM), dated October 24, 1996, and related determinations. areas of the State of Maine to have been pursuant to the Government in the affected adversely by this declared EFFECTIVE DATE: October 24, 1996. Sunshine Act (5 U.S.C. 552b(e)(3)), that emergency: the November 14, 1996 regular meeting FOR FURTHER INFORMATION CONTACT: The counties of Cumberland and of the Farm Credit Administration Pauline C. Campbell, Response and York. Board (Board) will not be held. Recovery Directorate, Federal Emergency Management Agency, FEMA has been authorized to provide FOR FURTHER INFORMATION CONTACT: Federal funding for disaster housing, debris Floyd Fithian, Secretary to the Farm Washington, DC 20472, (202) 646–3606. removal, and emergency protective measures Credit Administration Board, (703) 883– SUPPLEMENTARY INFORMATION: Notice is as authorized under Title V subsections 4025, TDD (703) 883–4444. hereby given that, in a letter dated 502(a) (4), (5), and (6). ADDRESSES: Farm Credit October 24, 1996, the President declared (Catalog of Federal Domestic Assistance No. Administration, 1501 Farm Credit Drive, an emergency under the authority of the 83.516, Disaster Assistance.) McLean, Virginia 22102–5090. Robert T. Stafford Disaster Relief and James L. Witt, Emergency Assistance Act (42 U.S.C. Director. Dated: November 7, 1996 5121 et seq.), as follows: [FR Doc. 96–29032 Filed 11–12–96; 8:45 am] Floyd Fithian, I have determined that the damage in BILLING CODE 6718±02±P Secretary, Farm Credit Administration Board. certain areas of the State of Maine, resulting [FR Doc. 96–29122 Filed 11–7–96; 4:42 pm] from a severe storm, heavy rains, high winds, BILLING CODE 6705±01±P and inland and coastal flooding on October [FEMA±3121±EM] 20, 1996, and continuing, is of sufficient severity and magnitude to warrant an Maine; Amendment to Notice of a emergency declaration under subsection Presidential Declaration of an FEDERAL EMERGENCY 501(a) of the Robert T. Stafford Disaster Emergency MANAGEMENT AGENCY Relief and Emergency Assistance Act (the Stafford Act). I, therefore, declare that such AGENCY: Federal Emergency [FEMA±3120±EM] an emergency exists in the State of Maine. Management Agency (FEMA). California; Amendment to Notice of an You are authorized to coordinate all ACTION: Notice. disaster relief efforts which have the purpose Emergency Declaration of alleviating the hardship and suffering SUMMARY: This notice amends the notice AGENCY: Federal Emergency caused by the emergency on the local of the Presidential declaration of an Management Agency (FEMA). population, and to provide appropriate emergency for the State of Maine assistance for required emergency measures, (FEMA–3121–EM), dated October 24, ACTION: Notice. authorized under Title V of the Stafford Act, 1996, and related determinations. to save lives, protect property and public SUMMARY: This notice amends the notice health and safety, and lessen or avert the EFFECTIVE DATE: November 4, 1996. of an emergency for the State of threat of a catastrophe in the designated FOR FURTHER INFORMATION CONTACT: California (FEMA–3120–EM), dated areas. Specifically, you are authorized to Pauline C. Campbell, Response and 58192 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Recovery Directorate, Federal K.M. International 1. Robert Dunkin, Trustee for the First Emergency Management Agency, 23516 Arlington Avenue, Torrance, National Bank Employee Stock Washington, DC 20472, (202) 646–3606. CA 90501; Naomi Saito, Sole Ownership Plan, to acquire an SUPPLEMENTARY INFORMATION: Notice is Proprietor additional 14.2 percent, for a total of hereby given that the incident period for Cargo Maritime Services, Inc. 17.9 percent; Robert Dunkin, San this emergency is closed effective 9345 N.E. 6th Avenue, Suite 401, Benito, Texas, to decrease voting shares October 26, 1996. Miami Shores, FL 33138; Officer: by 1.8 percent, for a total of 17.8 (Catalog of Federal Domestic Assistance No. Dennis E. Joseph, President/ percent; Lucy Ann Dunkin, San Benito, 83.516, Disaster Assistance.) Director Texas, to acquire a total of 0.2 percent, Lacy E. Suiter, Dated: November 6, 1996. of the voting shares of First San Benito Bancshares, Inc., San Benito, Texas, and Executive Associate Director, Response and Joseph C. Polking, thereby indirectly acquire First National Recovery Directorate. Secretary. Bank of San Benito, San Benito, Texas. [FR Doc. 96–29033 Filed 11–12–96; 8:45 am] [FR Doc. 96–28953 Filed 11–12–96; 8:45 am] Board of Governors of the Federal Reserve BILLING CODE 6718±02±P BILLING CODE 6730±01±M System, November 6, 1996. Jennifer J. Johnson, [FEMA±3119±EM] FEDERAL RESERVE SYSTEM Deputy Secretary of the Board. Massachusetts; Amendment to Notice [FR Doc. 96–28956 Filed 11-12-96; 8:45 am] of a Presidential Declaration of an Change in Bank Control Notices; BILLING CODE 6210-01-F Emergency Acquisitions of Shares of Banks or Bank Holding Companies AGENCY: Federal Emergency Formations of, Acquisitions by, and Management Agency (FEMA). The notificants listed below have Mergers of Bank Holding Companies ACTION: Notice. applied under the Change in Bank Control Act (12 U.S.C. 1817(j)) and § The companies listed in this notice SUMMARY: This notice amends the notice 225.41 of the Board’s Regulation Y (12 have applied to the Board for approval, of the Presidential declaration of an CFR 225.41) to acquire a bank or bank pursuant to the Bank Holding Company emergency for the Commonwealth of holding company. The factors that are Act of 1956 (12 U.S.C. 1841 et seq.) Massachusetts (FEMA–3119–EM), dated considered in acting on the notices are (BHC Act), Regulation Y (12 CFR Part October 23, 1996, and related set forth in paragraph 7 of the Act (12 225), and all other applicable statutes determinations. U.S.C. 1817(j)(7)). and regulations to become a bank EFFECTIVE DATE: November 4, 1996. The notices are available for holding company and/or to acquire the FOR FURTHER INFORMATION CONTACT: immediate inspection at the Federal assets or the ownership of, control of, or Pauline C. Campbell, Response and Reserve Bank indicated. Once the the power to vote shares of a bank or Recovery Directorate, Federal notices have been accepted for bank holding company and all of the Emergency Management Agency, processing, they will also be available banks and nonbanking companies Washington, DC 20472, (202) 646–3606. for inspection at the offices of the Board owned by the bank holding company, SUPPLEMENTARY INFORMATION: Notice is of Governors. Interested persons may including the companies listed below. hereby given that the incident period for express their views in writing to the The applications listed below, as well this emergency is closed effective Reserve Bank indicated for that notice as other related filings required by the October 25, 1996. or to the offices of the Board of Board, are available for immediate Governors. Comments must be received inspection at the Federal Reserve Bank (Catalog of Federal Domestic Assistance No. 83.516, Disaster Assistance.) not later than November 26, 1996. indicated. Once the application has A. Federal Reserve Bank of been accepted for processing, it will also Lacy E. Suiter, Minneapolis (Karen L. Grandstrand, be available for inspection at the offices Executive Associate Director, Response and Vice President) 250 Marquette Avenue, of the Board of Governors. Interested Recovery Directorate. Minneapolis, Minnesota 55480: persons may express their views in [FR Doc. 96–29031 Filed 11–12–96; 8:45 am] 1. Orville T. and Helen M. Graslie, writing on the standards enumerated in BILLING CODE 6718±02±P both of Faith, South Dakota; to acquire the BHC Act (12 U.S.C. 1842(c)). If the a total of 23.08 percent; Gary W. and proposal also involves the acquisition of Nancy K. Vance, both of Faith, South a nonbanking company, the review also FEDERAL MARITIME COMMISSION Dakota, to acquire a total of 23.08 includes whether the acquisition of the percent; Eldon S. Jensen, Lemmon, nonbanking company complies with the Ocean Freight Forwarder License South Dakota, to acquire a total of 23.08 standards in section 4 of the BHC Act, Applicants percent; Carveth S. and Margaret A. including whether the acquisition of the Notice is hereby given that the Thompson, both of Faith, South Dakota, nonbanking company can ‘‘reasonably following applicants have filed with the to acquire an additional 15.68 percent, be expected to produce benefits to the Federal Maritime Commission for a total of 23.08 percent; and Morris public, such as greater convenience, applications for licenses as ocean freight M. Gustafson, Faith, South Dakota, to increased competition, or gains in forwarders pursuant to section 19 of the acquire a total of 7.69 percent, of the efficiency, that outweigh possible Shipping Act of 1984 (46 U.S.C. app. voting shares of Faith Bank Holding adverse effects, such as undue 1718 and 46 CFR 510). Company, Faith, South Dakota, and concentration of resources, decreased or Persons knowing of any reason why thereby indirectly acquire Farmers State unfair competition, conflicts of any of the following applicants should Bank, Faith, South Dakota. interests, or unsound banking practices’’ not receive a license are requested to B. Federal Reserve Bank of Dallas (12 U.S.C. 1843). Any request for a contact the Office of Freight Forwarders, (Genie D. Short, Vice President) 2200 hearing must be accompanied by a Federal Maritime Commission, North Pearl Street, Dallas, Texas 75201- statement of the reasons a written Washington, D.C. 20573. 2272: presentation would not suffice in lieu of Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58193 a hearing, identifying specifically any 4.99 percent, for a total of 40.60 percent, reasons a written presentation would questions of fact that are in dispute, of the voting shares of First National not suffice in lieu of a hearing, summarizing the evidence that would Bancshares of Scott City, Ltd., Scott identifying specifically any questions of be presented at a hearing, and indicating City, Kansas, and thereby indirectly fact that are in dispute, summarizing the how the party commenting would be acquire First National Bank of Scott evidence that would be presented at a aggrieved by approval of the proposal. City, Scott City, Kansas. hearing, and indicating how the party Unless otherwise noted, nonbanking 2. Platte Valley Financial Service commenting would be aggrieved by activities will be conducted throughout Companies, Inc., Scottsbluff, Nebraska; approval of the proposal. the United States. to become a bank holding company by Unless otherwise noted, comments Unless otherwise noted, comments acquiring 100 percent of the voting regarding the applications must be regarding each of these applications shares of Platte Valley Banc, Inc., received at the Reserve Bank indicated must be received at the Reserve Bank Scottsbluff, Nebraska, Platte Valley or the offices of the Board of Governors indicated or the offices of the Board of National Bank, Scottsbluff, Nebraska, not later than November 26, 1996. Governors not later than December 6, FirstMorrill Co., Morrill, Nebraska, and A. Federal Reserve Bank of Boston 1996. Platte Valley National Bank-Morrill, (Robert M. Brady, Vice President) 600 A. Federal Reserve Bank of Atlanta Minatare, Lyman, and Morrill, Atlantic Avenue, Boston, Massachusetts (Zane R. Kelley, Vice President) 104 Nebraska. 02106: Marietta Street, N.W., Atlanta, Georgia Board of Governors of the Federal Reserve 1. Campello Bancorp, Brockton, 30303: System, November 6, 1996. Massachusetts; to engage de novo 1. First American Corporation, Jennifer J. Johnson, through its subsidiary, Cody Services Nashville, Tennessee; to merge with Deputy Secretary of the Board. Corporation, Brockton, Massachusettts, Hartsville Bancshares, Inc., Hartsville, [FR Doc. 96–28955 Filed 11-12-96; 8:45 am] in loan servicing and/or subservicing, Tennessee, and thereby indirectly BILLING CODE 6210-01-F pursuant to § 225.25(b)(1) of the Board’s acquire CommunityFIRST Bank, Regulation Y. Hartsville, Tennessee. Board of Governors of the Federal Reserve B. Federal Reserve Bank of Chicago Notice of Proposals to Engage in (James A. Bluemle, Vice President) 230 System, November 6, 1996. Permissible Nonbanking Activities or Jennifer J. Johnson, South LaSalle Street, Chicago, Illinois to Acquire Companies that are 60690: Engaged in Permissible Nonbanking Deputy Secretary of the Board. 1. Mound City Bancshares, Inc., Activities [FR Doc. 96–28954 Filed 11-12-96; 8:45 am] Platteville, Wisconsin; to become a bank BILLING CODE 6210-01-F holding company by acquiring 100 The companies listed in this notice percent of the voting shares of Mound have given notice under section 4 of the City Bank, Platteville, Wisconsin. Bank Holding Company Act (12 U.S.C. Sunshine Act Meeting C. Federal Reserve Bank of St. Louis 1843) (BHC Act) and Regulation (Randall C. Sumner, Vice President) 411 Y, (12 CFR Part 225) to engage de novo, AGENCY HOLDING THE MEETING: Board of Locust Street, St. Louis, Missouri 63166: or to acquire or control voting securities Governors of the Federal Reserve 1. CNB Bancshares, Inc., Evansville, or assets of a company that engages System. Indiana; to merge with BMC Bancshares, either directly or through a subsidiary or TIME AND DATE: 11:00 a.m., Monday, Inc., Mt. Carmel, Illinois, and thereby other company, in a nonbanking activity November 18, 1996. indirectly acquire Bank of Mt. Carmel, that is listed in § 225.25 of Regulation PLACE: Marriner S. Eccles Federal Mt. Carmel, Illinois. Y (12 CFR 225.25) or that the Board has Reserve Board Building, C Street 2. Linn Holding Company, Linn, determined by Order to be closely entrance between 20th and 21st Streets, Missouri; to acquire an additional 64.86 related to banking and permissible for N.W., Washington, D.C. 20551. percent, for a total of 79.28 percent, of bank holding companies. Unless STATUS: the voting shares of Heritage Bank, otherwise noted, these activities will be Closed. Loose Creek, Missouri. conducted throughout the United States. MATTERS TO BE CONSIDERED: 3. Louisville Development Bancorp, Each notice is available for inspection 1. Proposal regarding a maintenance Inc., Louisville, Kentucky; to become a at the Federal Reserve Bank indicated. contract within the Federal Reserve bank holding company by acquiring 100 Once the notice has been accepted for System. (This item was originally percent of the voting shares of processing, it will also be available for announced for a closed meeting on Louisville Community Development inspection at the offices of the Board of October 30, 1996.) Bank Louisville, Kentucky (a de novo Governors. Interested persons may 2. Personnel actions (appointments, express their views in writing on the bank). In connection with this promotions, assignments, question whether the proposal complies application, Applicant also has applied reassignments, and salary actions) with the standards of section 4 of the to acquire Real Estate Development involving individual Federal Reserve BHC Act, including whether Company, Louisville, Kentucky, and System employees. consummation of the proposal can thereby engage de novo in community 3. Any items carried forward from a ‘‘reasonably be expected to produce development activities, pursuant to § previously announced meeting. 225.25(b)(6) of the Board’s Regulation Y. benefits to the public, such as greater These activities will be conducted in convenience, increased competition, or CONTACT PERSON FOR MORE INFORMATION: low to moderate communities in gains in efficiency, that outweigh Mr. Joseph R. Coyne, Assistant to the Louisville, Kentucky. possible adverse effects, such as undue Board; (202) 452–3204. You may call D. Federal Reserve Bank of Kansas concentration of resources, decreased or (202) 452–3207, beginning at City (John E. Yorke, Senior Vice unfair competition, conflicts of approximately 5 p.m. two business days President) 925 Grand Avenue, Kansas interests, or unsound banking practices’’ before this meeting, for a recorded City, Missouri 64198: (12 U.S.C. 1843). Any request for a announcement of bank and bank 1. Hoeme Family Partnership, Scott hearing on this question must be holding company applications City, Kansas; to acquire an additional accompanied by a statement of the scheduled for the meeting. 58194 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Dated: November 8, 1996. DEPARTMENT OF HEALTH AND Report is that the National Institute of William W. Wiles, HUMAN SERVICES Nursing Research and other appropriate Secretary of the Board. agencies fund scientifically sound Agency for Health Care Policy and [FR Doc. 96–29232 Filed 11–8–96; 2:37 pm] research on the relationships between Research quality of care and nurse staffing levels BILLING CODE 6210±01±P and skill mix, taking into account Proposed Research Agenda organizational variables. The Report AGENCY: Agency for Health Care Policy further recommends that NINR, along FEDERAL RETIREMENT THRIFT and Research, with the National with AHCPR and private organizations, INVESTMENT BOARD Institute for Nursing Research and develop a research agenda on staffing Health Resources and Services and quality of care (See page 122 of the Sunshine Act Meeting Administration, Division of Nursing. Report). In July 1996, AHCPR, DN (HRSA), ACTION: Notice of request for comments. TIME AND DATE: 8:00 a.m. (EST); and NINR jointly convened a group of November 18, 1996. SUMMARY: The Agency for Health Care research experts to discuss Policy and Research (AHCPR), the methodological issues and key research PLACE: 4th Floor, Conference Room, National Institute for Nursing Research questions on nurse staffing and quality 1250 H Street, N.W., Washington, D.C. (NINR), and the Division of Nursing of care in hospitals. Also discussed were STATUS: Open. (DN) of the Health Resources and selected outcomes from a conference Services Administration (HRSA) invite held by the American Academy of MATTERS TO BE CONSIDERED: comments and suggestions of priority Nursing in June 1996, sponsored by 1. Labor Department audit briefing. research topics related to the impact of AHCPR, the American Nurses’ nurse staffing on the quality of care in Association, and the American 2. Approval of the minutes of the hospitals. These comments and Organization of Nurse Executives, October 21, 1996, Board meeting. suggestions will be considered by entitled ‘‘Outcome Measures and Care 3. Thrift Savings Plan activity report AHCPR, NINR, and DN of HRSA in Delivery Systems.’’ by the Executive Director. planning for future research initiatives Nurse Staffing 4. Review of KPMG Peat Marwick to benefit health care for the public and audit reports: the health of the nation. Comments and Research efforts in this area will suggestions on the proposed research require refinement and standardization (a) ‘‘Pension and Welfare Benefits agenda will be considered by the three of conceptual as well as operational Administration Review of the Policies Agencies in developing research definitions of variables such as nurse and Procedures of the Federal priorities, but they will not be staffing level and nursing skill mix. Retirement Thrift Investment Board responded to individually. Included in this process must be an Administrative Staff.’’ DATES: Comments and suggestions must evaluation of the characteristics of the (b) ‘‘Pension and Welfare Benefits be postmarked by December 30, 1996. nurses providing care, such as level of Administration Review of the Thrift ADDRESSES: Written comments and education and psychological factors Savings Plan Billing Process at the suggestions should be submitted to (e.g., nurse satisfaction with work). United States Department of Kelly Morgan, Program Analyst, Center What nurses actually do (clinical vs Agriculture, National Finance Center.’’ for Primary Care Research, Agency for administrative vs other duties), how (c) ‘‘Pension and Welfare Benefits Health Care Policy and Research, Suite nursing care is provided (staffing Administration Review of Backup, 502, 2101 East Jefferson Street, models used in each unit), and Recovery, and Contingency Planning of Rockville, Maryland 20852. organizational characteristics (such as the Thrift Savings Plan at the United Respondents should provide a clear management or leadership style) are States Department of Agriculture, rationale and supporting evidence of the also important considerations. National Finance Center.’’ importance of the suggested topic. Quality of Nursing Care All responses will be available for (d) ‘‘Pension and Welfare Benefits public inspection at the Center for The concept of health care quality is Administration Review of Capacity Primary Care Research. Telephone 301– extremely complex and usually includes Planning and Performance Management 594–1357 ext. 1335, weekdays between a consideration of the structure and of the Thrift Savings Plan at the United 8:30 a.m. and 5:00 p.m. process as well as the outcomes of care. States Department of Agriculture, Research focusing on nurse staffing and SUPPLEMENTARY INFORMATION: In National Finance Center.’’ quality of care in hospitals may, response to a congressional directive, therefore, be expected to include an 5. Semiannual review of status of the Department requested the Institute evaluation of the organization and audit recommendations. of Medicine (IOM) to conduct a study delivery of nursing care in the hospital 6. Quarterly investment policy on nurse staffing levels in hospitals and setting. review. nursing homes. The IOM issued a report 7. Annual ethics briefing. in January 1996, Nursing Staff in Proposed Research Agenda Hospitals and Nursing Homes—Is It Based on the expert discussions, the CONTACT PERSON FOR MORE INFORMATION: 1 Adequate? (the Report). The Report IOM Report, and a review of the Thomas J. Trabucco, Director, Office of notes a paucity of objective research on External Affairs, (202) 942–1640. published literature, the overarching the relationships among restructuring, questions to be addressed by research Dated: November 6, 1996. nurse staffing, and quality in hospitals. related to nurse staffing and quality of Roger W. Mehle, One of the recommendations of the care in hospitals are: What is the Executive Director, Federal Retirement Thrift contribution of nursing to the quality of Investment Board. 1 Wunderlich, Gooloo S. & Davis, Carolyne K. (1996). Nursing Staff in Hospitals and Nursing care in hospitals, and what are the cost [FR Doc. 96–29124 Filed 11–7–96; 4:42 pm] Homes—Is It Adequate? Washington, D.C.: National implications of this contribution? BILLING CODE 6760±01±M Academy Press. Within this area, a high research priority Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58195 continues to be identifying patient research pertaining to nurse staffing and components of this system, the cannula outcomes that are sensitive to nursing quality in other types of delivery (a manual surgical instrument for care. settings are welcome by AHCPR, NINR, general use (21 CFR 878.4800)), and the The primary areas proposed for future and DN (HRSA). suction pump (powered suction pump research focusing on the impact of nurse Dated: November 6, 1996. (21 CFR 878.4780)) when intended for staffing on the quality of care in Clifton R. Gaus, certain uses other than suction hospitals include: Administrator. lipoplasty procedures are classified in • What is the relationship between [FR Doc. 96–28997 Filed 11–12–96; 8:45 am] class I and class II, respectively. the organization and delivery of nursing BILLING CODE 4160±90±M However, when these devices, care and patient outcomes? What are the individually labeled or combined into a key organizational variables that system, are intended for use in aesthetic influence staff performance and Food and Drug Administration body contouring, they are automatically outcomes? classified into class III under section • What are the unique skills and the [Docket No. 88P±0439] 513(f)(1) of the act. mix of registered nurses and other Medical Devices; Reclassification of Section 513(f)(2) of the act provides nursing and ancillary staff that impact that FDA may initiate the on outcomes? This includes Suction Lipoplasty System for Aesthetic Body Contouring reclassification of a device classified understanding what work needs to be into class III under section 513(f)(1) of done for patients to impact patient AGENCY: Food and Drug Administration, the act, or the manufacturer or importer outcomes and who are the best people HHS. of a device may petition the agency to to do it. ACTION: reclassify the device into class I or class • What specific organizational Notice of panel recommendation. II. FDA’s regulations in 21 CFR 860.134 variables and delivery of care variables set forth the procedures for the filing are related to specific patient outcomes? SUMMARY: The Food and Drug and review of a petition for Specific questions within this category Administration (FDA) is issuing for reclassification of such class III devices. include: What is the relationship public comment the recommendation of In order to change the classification of between nursing skill mix and the General and Plastic Surgery Devices the suction lipectomy system for use in achievement of outcomes such as Panel (the Panel) to reclassify the aesthetic body contouring, it is appropriate self-care? What are the suction lipoplasty system for aesthetic necessary that the proposed new class relative contributions of nurse, patient, body contouring from class III to class has sufficient regulatory controls to other clinicians (e.g., M.D.), and II. The Panel made this recommendation provide reasonable assurance of the organizational factors to specific patient after reviewing the reclassification safety and effectiveness of the device for outcomes? petition submitted by the American its intended use. • What is the impact of computer Society for Aesthetic Plastic Surgery Under the Federal Food, Drug, and technology on patient outcomes? (ASAPS) and other publicly available Cosmetic Act (the act) (21 U.S.C. 310– Included in this area are questions about information. FDA is also issuing for 394), (as amended by the Medical the use of decision support that may public comment its tentative findings on Device amendments of 1976 (the extend off-site clinical expertise to the Panel’s recommendation. After amendments) (Pub. L. 94–295), class II hospital nursing staff. Also included are considering any public comments on devices were defined as those devices questions about the data elements about the Panel’s recommendation and FDA’s for which there is insufficient nursing and nurses that should be tentative findings, FDA will approve or information to show that general routinely collected. controls alone will ensure safety and • deny the reclassification petition by What is costworthy in an era when order in the form of a letter to the effectiveness, but there is sufficient limited resources are available for petitioner. FDA’s decision on the information to establish that hospital care? Although a nursing reclassification petition will be performance standards would provide a intervention may work for a clinical announced in the Federal Register. reasonable assurance of safety and problem and even be more effective effectiveness of the device. In the time DATES: Written comments by February than other interventions, there may be that has passed since the submission of 11, 1997. other diseases or clinical problems that the petition and the Panel meeting, the affect more people and also have cost- ADDRESSES: Submit written comments definition of class II devices has been effective interventions. to the Dockets Management Branch amended by the Safe Medical Devices At the AAN Conference, the following (HFA–305), Food and Drug Act of 1990 (the SMDA). Under the patient outcomes were identified for Administration, 12420 Parklawn Dr., SMDA, class II devices are those devices further refinement by research teams: rm. 1–23, Rockville, MD 20857. for which there is insufficient achievement of appropriate self-care, FOR FURTHER INFORMATION CONTACT: information to show that general demonstration of health-promoting Stephen P. Rhodes, Center for Devices controls alone will ensure safety and behaviors, health-related quality of life, and Radiological Health (HFA–410), effectiveness, but there is sufficient perception of being well cared for Food and Drug Administration, 9200 information to establish special controls (broadened beyond patient satisfaction), Corporate Blvd., Rockville, MD 20850, to provide such assurance, including the symptom management, and adverse 301–594–3090. issuance of a performance standard, outcomes. Other outcomes of interest SUPPLEMENTARY INFORMATION: On postmarket surveillance, patient relate to the patient’s family and December 28, 1988, ASAPS submitted a registries, development and community. petition under section 513(e) of the dissemination of guidelines, In line with the recommendations of Federal Food, Drug, and Cosmetic Act recommendations, and other the IOM Report the specific focus of this (the act) (21 U.S.C. 360c(e)), requesting appropriate actions the agency deems proposed research agenda is the that the suction lipoplasty system necessary (section 513(a)(B) of the act). relationship between nurse staffing and intended for surgical use in aesthetic It is the agency’s position that is not quality of care in hospitals. However, body contouring, be reclassified from necessary to obtain a new comments and suggestions about class III into class II. The major reclassification recommendation from a 58196 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Panel which had recommended indicated and that another panel IV. Summary of Reasons for the reclassification into class II prior to the meeting would be necessary to allow the Recommendation SMDA. If a Panel recommended that a Panel to address specific issues After reviewing the data and device be reclassified from class III to concerning the reclassification of the information contained in the petition class II under the 1976 definition of suction lipoplasty systems (Ref. 2). The and provided by FDA, and after class II, which included only Panel noted that the suction lipoplasty consideration of the open discussions performance standards as a class II system is indicated for aesthetic body during the Panel meetings and the Panel control, clearly the Panel’s contouring (Ref. 2, p. 52) and is not members’ personal knowledge of and recommendation for class II status intended to be a substitute for a weight clinical experience with the device would not change if controls in addition reduction regimen. On March 10, 1989, system, the Panel gave the following to performance standards could be after considering the device components reasons in support of its added. and accompanying surgical risks as recommendation to reclassify the I. Background addressed in the petition and literature, generic type suction lipoplasty system the Panel recommended that the suction In 1983 three firms submitted four for use in aesthetic body contouring lipoplasty systems intended for from class III into class II: premarket notifications to FDA under aesthetic body contouring be section 510(k) of the act (21 U.S.C. (1) General controls by themselves are reclassified from class III into class II insufficient to provide reasonable 360(k)) advising the agency of their (Ref. 3, p. 95). The Panel also intentions to place into commercial assurance of the safety and effectiveness recommended that FDA assign a high of the device. distribution either the suction cannula priority for the development of a or the powered suction pump for use in (2) There is sufficient publicly performance standard for the generic available information to establish a suction lipoplasty for aesthetic body type device. contouring. FDA determined that performance standard to provide neither the suction cannula nor the III. Device Description reasonable assurance of the safety and powered suction pump for aesthetic effectiveness of the device for its The suction lipoplasty system body contouring was substantially intended use. consists of a powered suction pump equivalent to any preamendments (3) There is sufficient publicly (containing a microbial filter on the device, nor was either device available information to demonstrate exhaust and a microbial in-line filter in substantially equivalent to any that the risks to health and the the connecting tubing between the postamendments device that had been performance parameters of the device collection bottle and the safety trap), classified into class I or class II for use have been characterized and that the collection bottle, cannula, and in suction lipectomy for aesthetic body relationship of these risks and connecting tube. The microbial filters, contouring. Accordingly, both devices performance parameters have been tubing, collection bottle, and cannula were classified into class III under evaluated (Refs. 8, 11, and 12). section 513(f)(1) of the act, and neither must be sterile and capable of being (4) Sufficient voluntary standards device could be placed in commercial changed between patients. The powered exist to reasonably assure the design distribution for use in suction lipoplasty suction pump has a motor with a and performance of the device system for aesthetic body contouring unless it minimum of 1/3 horsepower, a variable (Refs. 5, 13, 14, 15, 16, and 26). was reclassified under section 513(f)(2), vacuum range from 0 to 29.9 inches of The Panel believed that current and or subject to an approved premarket mercury, vacuum control valves to any subsequent manufacturer of the approval application under section 515 regulate the vacuum with accompanying suction lipoplasty system can comply of the act (21 U.S.C. 360e). vacuum gauges, single or double rotary with these voluntary standards and a Subsequently, ASAPS initiated a vane (oil or oil-less), single or double performance standard; that FDA can clinical trial to identify the risks diaphragm, single or double piston, and assure the safety and effectiveness of associated with suction lipoplasty a safety trap (Ref. 4). The pump meets device systems made by new procedures and to determine the the voluntary Underwriters Laboratories manufacturers through premarket relationship of the risks to (UL) UL–455 Standards for Medical and notification procedures under section characteristics of suction lipoplasty Dental Equipment (Ref. 5). The 510(k) of the act; and that a regulatory devices and thereby develop measures collection bottle is calibrated to permit level of class III is unnecessary to to minimize or control the risks (Ref. 1). precise continual monitoring of the provide a reasonable assurance of safety After completing the clinical trial, amount of material being removed from and effectiveness. the patient. The cannulas are composed ASAPS petitioned FDA to reclassify V. Risks to Health suction lipoplasty systems for use in of biocompatible material such as aesthetic body contouring from class III plastic or surgical grade stainless steel The Panel determined that the into class II (Ref. 1). Consistent with the with various dimensions and foreseeable risks to health associated act and applicable regulations, the configurations determined by the with the use of the suction lipoplasty agency referred the petition to the Panel particular application or surgical site system fall into two categories: (1) for its recommendation on the requested and preference of the individual Those related to the device system that change in classification. surgeon (Refs. 4, 6, and 7). The include the potential of infection of a connecting tubing has an internal subsequent patient resulting from the II. Recommendation of the Panel diameter appropriate to the size of the backflow of contaminated material The Panel met on January 26, 1989, in cannula handle, generally 7.5 to 12.5 trapped by the in-line filter during the a public meeting and on March 10, millimeters. The tubing is able to preceding procedure, and (2) those 1989, via a telephone conference to withstand the amount of negative related to the suction procedure that discuss the suction lipoplasty systems pressure created by the pump without include tissue trauma (i.e., pain, nerve intended for use in aesthetic body collapsing. and blood vessel damage, hypesthesia, contouring. During the January 6, 1989, The device is used in the clinical field and hemorrhage). The degree of tissue meeting, the Panel determined that of plastic surgery for the purpose of trauma is believed to be related to the additional data and information were aesthetic body contouring. amount of vacuum applied and the type Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58197 of cannula used during the procedure VII. Summary Data Upon Which the identified a liposuction complication (Refs. 10, 17, 18, and 19). Panel Recommendation is Based rate of 0.1 percent with 2 deaths among After reviewing the Panel meeting During its review and discussion of the 75,591 liposuction procedures transcripts, the petition, and the the petition, the Panel paid close analyzed in the survey. One death was relevant literature, FDA identified other attention to the potential risks and caused by fat embolism and the other potential risks which include airborne benefits to health associated with the death by pulmonary thromboembolism. bacterial or viral contamination of other use of the suction lipoplasty system and Twenty-five cases of deep venous thrombosis, 10 transfusion patients and hospital personnel concluded that the data and information complications, 9 cases of pulmonary resulting from inefficient or overused contained in the petition and presented thromboembolism, 5 cases of major skin in-line filters, patient bio- by FDA demonstrated that the risks to loss, 1 stroke, and 1 nonlethal fat incompatibility to materials, and health associated with this system could embolus were reported (Ref. 11). be adequately controlled (Ref. 1). The infection resulting from improper In 1990, the Fornebu Clinic in sterilization or practitioner handling. Panel relied on the following Norway conducted a study involving Several of the procedure-related risks information in recommending that the 3,511 liposuctions in 2,009 patients. It reported in the literature (fat embolism, suction lipoplasty system for aesthetic reported excessive bleeding in eight venous thrombosis, hematoma/seroma, body contouring be class II devices. patients and anesthesia related A 1988 ASAPS multicenter study pain, infection, necrosis/skin slough, complications in nine patients; (Ref. 1) provided some perspective of edema, hypovolemia/hypotension, and however, no deaths, thromboembolic the above mentioned risks and potential death (Refs. 8, 11, 20, 21, 22, events, fat emboli or cardiovascular complications. The study, using 2 and 23)) were not observed in the complications were reported (Ref. 8). different suction pumps and connective petitioner’s clinical studies and other Infection, an issue of particular concern tubing and 8 different cannulas, procedure-related risks were reduced to the Panel and to FDA, occurred in reported that of the 113 patients in when the surgical procedure was only 1 of the 2,009 patients. The low whom 189 procedures had been incidence of infection associated with performed by adequately trained performed, where the amount of fluid surgeons on properly selected patients. liposuction devices is confirmed and aspirated ranged from 15 to 4,700 cubic supported by several other reports in In general, the best candidates for centimeters per patient, there were no liposuction are healthy individuals who have which the infection rate was less than complications, undesired sequelae or concentrated areas of fat and firm, elastic 1 percent (Refs. 7, 8, 10, and 25). health problems directly related to the skin. Age is usually a criterion for a healthy device system used to perform VIII. Panel Recommendation patient. However, after age 55, some patients liposuctions (Ref. 1, p. 24). The study lose skin elasticity and will not achieve the The Panel concluded that the same good results as a younger patient. also noted no mortality or episodes of incidence of infections and other Liposuction is not recommended for shock, although 1 patient developed complications associated with patients with heart or lung diseases, poor subcutaneous emphysema of the neck liposuction using the suction lipoplasty blood circulation, diabetes, or those who that was determined to be anesthesia system for aesthetic body contouring have had recent surgery near the area of fat related and 39 patients required can be controlled by proper patient to be suctioned. Patients who are obese with postoperative transfusions. Other selection, utilization of the proper diffuse areas of fat are not considered ideal reported complication rates were surgical technique, and restricting the candidates because of a greater risk of hypesthesia, 46.6 percent; pain, 18.6 use of the device to trained and complications. However, in some cases, a percent; change in pigmentation, 10.6 experienced practitioners. series of carefully controlled procedures may percent; and scarring (thickening of the Focusing on other potential problems be an effective adjunct to a weight-loss skin) during the immediate and performance aspects of the device program. postoperative period, 9.9 percent. system, the Panel considered the issues Additional complications which of electrical malfunctions; bacterial, (Ref. 24) occurred in less than 5 percent of viral, or oil contamination of the VI. Benefits patients include asymmetry, waviness, operating room; bioincompatibility of insufficient fat removal, hematoma, materials; reflux of possible Suction lipoplasty systems provide excessive fat removal, and edema. Most contaminated aspirated material; and benefits to patients by effectively of these complications improved or product labeling. performing aesthetic body contouring. resolved with time resulting in an Regarding potential electrical The benefits of these devices are overall complication rate of 4.1 percent. malfunctioning of the components and probably best characterized in terms of Many of the items listed as properties of the device, the Panel patient satisfaction. The ASAPS study complications in the study would be believed that the UL–544 Standard for reported 56 percent of patients being classified as undesirable sequela by Medical and Dental Equipment (Ref. 2) very satisfied, 34 percent satisfied, and other authors (Ref. 1, p. 24). can provide the necessary provisions to 6 percent not satisfied. Two other large A 1987 American Society of Plastic control the potential electrical hazards studies reported overall satisfaction and Rescontructive Surgery (ASPRS) associated with the use of the suction rates of 88 and 76 percent, respectively task force studied the safety of pump. Likewise, the Panel believed that (Refs. 8 and 9). Both studies found liposuction. Eleven deaths and nine the American Society for Testing dissatisfaction rates highest in patients nonfatal serious complications over a 5- Materials (ASTM) F 960–86 Standard who had undergone liposuction of the year period (an estimated 100,000 cases) Specification for Medical and Surgical buttocks. From the physicians’ survey, were documented (Ref. 12). Suction and Drainage Systems can review of the long-term results reveal Two other major studies on control the potential risk of leakage, risk that less than half of the respondents liposuction devices have been of filtration, and implosion of the reported totally permanent results. completed since the January 26, 1989, contaminants into the operating room Twenty nine percent reported fat Panel recommendation. In 1989, a by emissions from the exhaust port of ‘‘regrowth’’ as minimal and 62 percent national survey of plastic surgeons was the pump. Proper sterilization of the were satisfied with the results. conducted. The findings of this survey cannula and tubing can control the risk 58198 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices of infection as indicated by the low rate recommended the issuance of a (8) Loss of blood and fluid is of infection reported in the literature performance standard on a high priority predictable based on suction volume. (Ref. 1, p. 29). The risk of oil vapor basis. Capability of providing adequate, timely leakage can be reduced by properly replacement of these components is IX. FDA’s Tentative Findings maintaining the pump in oil based essential for patient safety. aspirators (Refs. 1 and 4). The Panel FDA believes that the data provided (9) All reusable components of the noted that there are no reports of viral by the petitioners and others constitute device must be sterilized between transmissions to operating room valid scientific evidence demonstrating patients and all disposable components personnel from aerosolization of that the regulatory controls of class II in replaced. aspirate (Ref. 4). combination with class I are sufficient FDA does not believe that the A major concern to the Panel was the to provide reasonable assurance of the performance standard recommended by reflux of possibly contaminated safety and effectiveness of the generic the Panel is necessary because the aspirated material from the collection type lipoplasty system as identified in voluntary standards listed above will bottle into the sterile surgical field. section III. of this document. FDA provide a reasonable assurance of safety They concluded that filters and/or tentatively agrees with the and effectiveness for the suction valves can minimize the potential risk recommendation of the Panel that the lipectomy system. of bacterial contamination of the suction lipoplasty system for aesthetic Consistent with the purpose of the cannula, surgical field, and operating body contouring and substantially act, class II controls as identified above room air. equivalent devices of this generic type and as defined by section 513(a)(1)(B) of The Panel believed the should be reclassified from class III into the act are sufficient to provide biocompatibility of materials used to class II. The agency has identified the reasonable assurance of the safety and manufacture the cannula can be special controls as the four following effectiveness of the suction lipoplasty assessed by voluntary standards voluntary standards: International system. established by ASTM (Ref. 13), United Organization for Standardization (ISO) X. Environmental Impact States Pharmacopeia (USP) (Ref. 14), 10079–1, Medical Suction Equipment, and by methods described in Tripartite Part 1, Electrically Powered suction The agency has determined under 21 Biocompatibility Guidance for Medical Equipment—Safety Requirements, 1993 CFR 25.24(e)(2) that this action is of a Devices (Ref. 26), and that these test (Ref. 15); Canadian Standards type that does not individually or methods will provide reasonable Association (CSA), Standard Z168.11– cumulatively have a significant effect on assurance that the materials used to 94, Vacuum Devices Used for Suction the human environment. Therefore, manufacture the device system, as well and Drainage, 1994 (Ref. 16); Clinical neither an environmental assessment as any residues remaining on the Practice Guidelines, Plastic and nor an environmental impact statement devices after manufacturing, are not Maxillofacial Surgery, American Society is required. toxic and that the system is of Plastic and Reconstructive Surgeons, XI. Analysis of Impacts biocompatible. The Panel also believed Chapter L: Localized Adiposity, FDA has examined the impacts of this that when the device is manufactured of September 1993 (Ref. 27); International proposed action under Executive Order materials that meet the specifications of Standard ISO–10993 Biological 12866 and the Regulatory Flexibility Act existing voluntary standards, a Evaluation of Medical Devices Part I (Pub. L. 96–354). Executive Order 12866 biocompatible cannula can be produced Evaluation and Testing, 1995 (Ref. 28); directs agencies to assess all costs and thereby providing reasonable assurance and the inclusion of the following benefits of available regulatory of safety and effectiveness with respect labeling statements to provide alternatives and, when regulation is to biocompatibility. reasonable assurance of the safety and necessary, to select regulatory The Panel believed that device effectiveness of the suction lipoplasty approaches that maximize net benefits labeling should reflect the nature of the system: device as it relates to the intended use (1) This device is designed to contour (including potential economic, and should include appropriate the body by removing localized deposits environmental, public health and safety, directions for use, warnings, and of excess fat through small incisions. and other advantages; distributive precautions, based upon current (2) Use of this device is limited to impacts; and equity). The agency scientific knowledge. The Panel further those physicians who, by means of believes that this proposed action is believed that the labeling should be residency training or sanctioned consistent with the regulatory accessible to physicians and patients. continuing medical education, have philosophy and principles identified in In summary, the Panel believed that, demonstrated proficiency in suction the Executive Order. In addition, the based on publicly available valid lipoplasty. proposed action is not a significant scientific evidence, class II controls can (3) This device will not, in and of regulatory action as defined by the provide reasonable assurance that the itself, produce significant weight Executive Order and so is not subject to suction lipoplasty system is safe and reduction. review under the Executive Order. effective for use in aesthetic body (4) This device should be used with The Regulatory Flexibility Act contouring. The Panel specified that the extreme caution in patients with requires agencies to analyze regulatory device conform to the provisions similar chronic medical conditions such as options that would minimize any to those in the Tripartite diabetes, heart or lung disease, significant impact of a rule on small Biocompatibility Guidance for Medical circulatory diseases, or obesity. entities. Because reclassification of Devices, the above voluntary standards (5) Results of this procedure will vary devices relieve manufacturers of the established by UL, ASTM, the Canadian depending upon patient age, surgical cost of complying with the premarket Standards Association (CSA), the site, and experience of the surgeon. approval requirements of section 515 of International Organization for (6) Results of this procedure may or the act, and may permit small potential Standardization (ISO), and USP, and may not be permanent. competitors to enter the marketplace by specific labeling which identifies the (7) The amount of fat removed should lowering their costs, the agency certifies appropriate patient selection criteria be limited to that necessary to achieve that this proposed action would not and surgeon training. The panel also a desired cosmetic effect. have a significant economic impact on Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58199 a substantial number of small entities. F 749–87 Standard Practice for Evaluating are to be submitted, except that Therefore, under the Regulatory Material Extracts by Intracutaneous Injection individuals may submit one copy. Flexibility Act, no further analysis is in the Rabbit. Comments are to be identified with the required. F 750–87 Standard Practice for Evaluating docket number found in brackets in the Material Extracts by Systemic Injection in the heading of this document. Received XII. References Mouse. F 813–83 Standard Practice for Direct Cell comments may be seen in the office The following references have been Culture Evaluation of Materials for Medical above between 9 a.m. and 4 p.m., placed on display in the Documents Devices. Monday through Friday. Management Branch (address above) F 960–86 Standard Specification for Dated: November 6, 1996. and may be seen by interested persons Medical and Surgical Suction and Drainage between 9 a.m. and 4 p.m., Monday Systems. Joseph A. Levitt, through Friday. 14. United States Pharmacopeia XXI, Deputy Director for Regulations Policy, Center 1. Reclassification Petition for the Suction Biological Tests—Plastics. for Devices and Radiological Health. Lipectomy Systems for Aesthetic Body 15. ISO (International Organization for [FR Doc. 96–29066 Filed 11–12–96; 8:45 am] Contouring, submitted by American Society Standardization) 10079–1, Medical Suction BILLING CODE 4160±01±F for Aesthetic Surgery, December 28, 1989. Equipment, Part I, Electrically Powered 2. Transcript of the General and Plastic Suction Equipment—Safety Requirements, Surgery Devices Panel Meeting, January 26, 1993. Health Care Financing Administration 1989. 16. CSA (Canadian Standards Association), 3. Transcript of the General and Plastic Standard Z168.11–94, Vacuum Devices Used [Document Identifier: HCFA±1450] Surgery Devices Panel Meeting, March 10, for Suction and Drainage, 1994. 1989. 17. Grazer, F. M., ‘‘Suction-Assisted Agency Information Collection 4. Pitman, G. H., ‘‘Instrumentation,’’ Lipectomy: Its Indications, Activities: Proposed Collection; Liposuction and Aesthetic Surgery, Quality Contraindications, and Complications,’’ Year Comment Request Medical Publishing Inc., St. Louis, MO, Part Book Medical Publishers, 1984. I, 2:31–36. 18. Ersek, R. A., J. Zambrona, G. S. Surak, AGENCY: Health Care Financing 5. Underwriters Laboratories, UL–544, et al., ‘‘Suction-assisted Lipectomy for Administration, HHS. Correction of 202 Figure Faults in 101 Standard for Medical and Dental Equipment, In compliance with the requirement 1976, Reprinted 1985. Patients: Indications, Limitations, and Applications,’’ Plastic and Reconstructive of section 3506(c)(2)(A) of the 6. Illouz, Y. G., ‘‘Illouz’s Technique of Paperwork Reduction Act of 1995, the Body Contouring by Lipolysis,’’ Clinics in Surgery, 78:615–626, 1986. Plastic Surgery, 11:409–417, 1984. 19. Hetter, G. P., ‘‘Optimum Vacuum Health Care Financing Administration 7. Kesselring, U. K., ‘‘Body Contouring Pressures for Lipolysis,’’ Aesthetic Plastic (HCFA), Department of Health and with Suction Lipectomy,’’ Clinics in Plastic Surgery, 8:23–26, 1984. Human Services, is publishing the Surgery, 11:393–498, 1984. 20. Christman, K. D., ‘‘Death Following following summaries of proposed 8. Dillerud, E., ‘‘Suction Lipoplasty, A Lipectomy and Tissue,’’ ‘‘Neither Panacea of collections for public comment. Humbug,’’ Postgraduate Medicine, 75:124, Report on Complications, Undesired Results, Interested persons are invited to send and Patient Satisfaction Based on 3,511 126, 128, 1984. 21. Courtiss, E. H., ‘‘Suction Lipectomy: A comments regarding this burden Procedures,’’ Plastic and Reconstructive estimate or any other aspect of this Surgery, 88:239–246, August 1991. Retrospective Analysis of 100 Patients,’’ 9. Dillerud, E., and L. L. Haheim, ‘‘Long- Plastic and Reconstructive Surgery, 73:780– collection of information, including any term Results of Blunt Suction Lipectomy 796, 1984. of the following subjects: (1) The Assessed By Questionnaire Survey,’’ Plastic 22. Badran, H. A., K. Z. Kodeara, and M. necessity and utility of the proposed and Reconstructive Surgery, 92:35–42, July H. Mabrouk, ‘‘Blood Conservation in Massive information collection for the proper 1993. Suction Lipectomy,’’ Plastic and performance of the agency’s functions; 10. Dolsky, R. L., J. Newman, J. R. Fetzek, Reconstructive Surgery, 92:1298–1304, 1993. (2) the accuracy of the estimated et al., ‘‘Liposuction History, Techniques and 23. Hunter, G. R., R. O. Crapo, and T. R. Broadbent, ‘‘Pulmonary Complications burden; (3) ways to enhance the quality, Complications,’’ Dermatology Clinics of utility, and clarity of the information to North America, 5:313–333, 1987. Following Abdominal Lipectomy,’’ Plastic 11. Teimourian, B. and W. B. Rogers, ‘‘A and Reconstructive Surgery, 71:809–817, be collected; and (4) the use of National Survey of Complications Associated 1983. automated collection techniques or with Suction Lipectomy: A Comparative 24. Backgrounder, ‘‘Liposuction’’ American other forms of information technology to Study,’’ Plastic and Reconstructive Surgery, Society of Plastic and Reconstructive minimize the information collection 84:628–631, 1989. Surgeons, July 1994. burden. 12. Fredricks, S., ‘‘Five-year Updated 25. Pitman, G. H., and B. Teimourian, 1. Type of Information Collection ‘‘Suction Lipectomy: Complications and Evaluation of Suction-assisted Lipectomy,’’ Request: Reinstatement, with change, of ASPRS Ad Hoc Committee on New Results by Survey,’’ Plastic and Reconstructive Surgery, 76:65–72, 1985. previously approved collection for Procedures, September 30, 1987. 26. Tripartite Biocompatibility Guidance which approval has expired; Title of 13. Annual Book of American Society for for Medical Devices, September 1986. Information Collection: Medicare Testing and Materials Standards, Medical 27. Clinical Practice Guidelines, Plastic Devices, vol. 13.01, 1088. Uniform Institutional Provider Bill and Maxillofacial Surgery, American Society F 639–79 Standard Specification for Form HCFA–1450 (UB–92) and of Plastic and Reconstructive Surgeons, Polyethylene Plastics for Medical Instructions, and Supporting Chapter L: Localized Adiposity, September Applications. Regulations 42 CFR 424.5 (a) (5) (Claim 1993. F 665–80 Standard Classification for Vinyl 28. International Standard ISO–10993 for Payment), 42 CFR 424.32 (Basic Chloride Plastics Used in Biomedical Biological Evaluation of Medical Devices Part Requirements for all Claims) and 42 Application. I Evaluation and Testing, 1995. CFR 412.60 (Diagnosis-Related Groups F 719–81 Standard Practice for Testing Classification and Weighting Factors); Biomaterials in Rabbits for Primary Skin XIII. Request for Comments Form No.: HCFA–1450; Use: This form Irritation. F 720–81 Standard Practice for Testing Interested persons may, on or before and instructions are standardized for Guinea Pig Maximization Test. February 11, 1997, submit to the use in the Medicare/Medicaid programs F 748–87 Standard Practice for Selecting Dockets Management Branch (address to apply for reimbursement for covered Generic Biological Test Method for Materials above) written comments regarding this services. The HCFA–1450 is managed and Devices. document. Two copies of any comments by the National Uniform Billing 58200 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Committee, a standards body sponsored (OMB) the following request for Dated: November 6, 1996. by the American Hospital Association. emergency review. We are requesting an Edwin J. Glatzel, Most major payers, such as the Blues emergency review because the Director, Management Analysis and Planning network, the members of the Health collection of Section 3515 of the Chief Staff, Office of Financial and Human Insurance Association of America, as Financial Officers Act of 1990 requires Resources, Health Care Financing well as the state hospital associations, government agencies to produce Administration. are represented on this body. 42 CFR auditable financial statements in [FR Doc. 96–29014 Filed 11–12–96; 8:45 am] 424.5 (a) (5), 42 CFR 424.32, and 42 CFR accordance with Office of Management BILLING CODE 4120±03±P 412.60 are regulations underlying the and Budget guidelines on form and use of the form HCFA–1450 and the content. Beginning in fiscal year 1996, [HCFA±1961] information captured on the form the Government Management and HCFA–1450, including the use of Reform Act of 1994 requires that all Agency Information Collection diagnostic and procedural coding offices, bureaus and associated activities Activities: Proposed Collection: systems. HCFA solicits comments on of the 24 CFO Act agencies must be Comment Request any and all aspects of the HCFA–1450, covered in an agency-wide, audited and the use of diagnostic and financial statement. Because of the size In compliance with the requirement procedural coding systems: HCFA of the Medicaid program, we believe of section 3506(c)(2)(A) of the currently uses the most current version that Medicaid payables and receivables Paperwork Reduction Act of 1995, the of the ICD–9–CM and CPT/HCPCS; are material to both financial Health Care Financing Administration Frequency: On occasion; Affected statements. The agency cannot (HCFA), Department of Health and Public: Business or other for profit, not reasonably comply with the normal Human Services, has submitted to the for profit institutions, State, local or clearance procedures because it is Office of Management and Budget tribal government, Federal Government; imperative that HCFA collects this data (OMB) the following proposals for the Number of Respondents: 133,100,000; in time for incorporation into HCFA’s collection of information. Interested Total Annual Responses: 133,100,000; fiscal year 1996 financial statement. persons are invited to send comments Total Annual Hours: 993,250. Failure to collect this information could regarding this burden estimate or any To obtain copies of the supporting result in a disclaimer on the audit other aspect of this collection of information, including any of the statement and any related forms and opinion. following subjects: (1) The necessity and instructions for the proposed paperwork HCFA is requesting that OMB provide utility of the proposed information collection referenced above, E-mail your a completed review by November 15, request, including your address and collection for the proper performance of 1996 and a 180 day approval. During the agency’s functions; (2) the accuracy phone number, to [email protected], or this 180-day period, HCFA will publish of the estimated burden; (3) ways to call the Reports Clearance Office on a separate Federal Register notice enhance the quality, utility, and clarity (410) 786–1325. Written comments and announcing the initiation of an of the information to be collected; and recommendations for the proposed extensive 60-day agency review and (4) the use of automated collection information collections must be mailed public comment period on these techniques or other forms of information within 60 days of this notice directly to requirements. Then HCFA will submit technology to minimize the information the HCFA Paperwork Clearance Officer the requirements for OMB review and collection burden. designated at the following address: an extension of this emergency 1. Type of Request: Reinstatement, HCFA, Office of Financial and Human approval. without change, of previously approved Resources, Management Analysis and Title of Information Collection collection for which approval has Planning Staff, Attention: John Burke, Request: New Collection; Title of expired; Title of Information Collection: Room C2–26–17, 7500 Security Information Collection: Medicaid Report HCFA Forms and manuals Order; Form Boulevard, Baltimore, Maryland 21244– on Payables and Receivables; Form No.: No.: HCFA–1961; Use: The HCFA–1961 1850. HCFA–R–199; Use: The Chief Financial will be used by Medicare Dated: November 4, 1996. Officers Act of 1990 requires Intermediaries, Carriers, State Agencies, Edwin J. Glatzel, government agencies to produce SSA and End Stage Renal Networks to Director, Management Analysis and Planning auditable financial statements. Form order Medicare/Medicaid forms and Staff, Office of Financial and Human HCFA–R–199 will collect accounting program manuals from the Health Care Resources, Health Care Financing data from the States on payables and Financing Administration; Frequency: Administration. receivables. Frequency: Annually; Annually; Affected Public: Federal [FR Doc. 96–28947 Filed 11–12–96; 8:45 am] Affected Public: State, Local or Tribal Government and State, local, or tribal BILLING CODE 4120±03±P Government; Number of Respondents: government; Number of Respondents: 57; Total Annual Responses: 57; Total 200; Total Annual Responses: 200; Total Annual Hours Requested: 171. Annual Hours: 400. [HCFA±R±199] To request copies of the proposed To request copies of the proposed Emergency Clearance: Public paperwork collection referenced above, paperwork collection referenced above, Information Collection Requirements call the Reports Clearance Office on E-mail your request, including your Submitted to the Office of Management (410) 786–1326. Written comments and address, to [email protected], or call and Budget (OMB) recommendations for the proposed the Reports Clearance Office on (410) information collections should be sent 786–1326. Written comments and In compliance with the requirement within 2 working days of this notice recommendations for the proposed of section 3506(c)(2)(A) of the directly to the OMB Desk Officer information collections should be sent Paperwork Reduction Act of 1995, the designated at the following address: within 60 days of this notice directly to Health Care Financing Administration OMB Human Resources and Housing the HCFA Paperwork Clearance Officer (HCFA), Department of Health and Branch, Attention: Laura Oliven, New designated at the following address: Human Services, has submitted to the Executive Office Building, Room 10235, HCFA, Office of Financial and Human Office of Management and Budget Washington, D.C. 20503. Resources, Management Analysis and Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58201

Planning Staff, Attention: Linda the proposal by name and/or OMB This Notice also lists the following Mansfield, Room C2–26–17, 7500 Control Number and should be sent to: information: Security Boulevard, Baltimore, Mildred M. Hamman, Reports Liaison Title of Proposal: Contract and Maryland 21244–1850. Officer, Public and Indian Housing, Subcontract Activity. Dated: November 5, 1996. Department of Housing and Urban Development, 451 7th Street, S.W., OMB Control Number: 2577–0088. Edwin J. Glatzel, Room 4238, Washington, D.C. 20410– Description of the need for the Director, Management Analysis and Planning 5000. information and proposed use: The Staff, Office of Financial and Human information provided to HUD by Resources, Health Care Financing FOR FURTHER INFORMATION CONTACT: Administration. Mildred M. Hamman, (202) 708–0846, Housing Agencies/Grantees will be used to prepare an annual report on Minority [FR Doc. 96–29015 Filed 11–12–96; 8:45 am] for copies of the proposed forms and Business Enterprise (MBE) participation BILLING CODE 4120±03±P other available documents. (This is not a toll-free number). in Public and Indian Housing Programs. SUPPLEMENTARY INFORMATION: The The report will be submitted to the Department will submit the proposed Department of Commerce pursuant to DEPARTMENT OF HOUSING AND Executive Order 12432. HUD will also URBAN DEVELOPMENT information collection to OMB for review, as required by the Paperwork use the information to monitor and [Docket No. FR±4086±N±14] Reduction Act of 1995 (44 U.S.C. evaluate Housing Agency performance. Chapter 35, as amended). Form Number: HUD–2516. Notice of Proposed Information This Notice is soliciting comments Members of affected public. State, Collection for Public Comment from members of the public and affected Local or Tribal Government, Small agencies concerning the proposed AGENCY: Office of the Assistant Businesses or Organizations. collection of information to: (1) evaluate Secretary for Public and Indian whether the proposed collection of Estimation of the total number of Housing, HUD. information is necessary for the proper hours needed to prepare the information ACTION: Notice. performance of the functions of the collection including the number of agency, including whether the respondents, frequency of response, and SUMMARY: The proposed information information will have practical utility; hours of response: 3,400 respondents collection requirement described below (2) valuate the accuracy of the agency’s annually, one hour per response, 3,400 will be submitted to the Office of estimate of the burden of the proposed total burden hours. management and Budget (OMB) for collection of information; (3) enhance review, as required by the Paperwork Status of the proposed information the quality, utility, and clarity of the Reduction Act. The Department is collection: Revision. information to be collected; and (4) Authority: Section 3506 of the Paperwork soliciting public comments on the minimize the burden of the collection of subject proposal. Reduction Act of 1995, 44 U.S.C. Chapter 35, information on those who are to as amended. DATES: Comments due: January 13, respond, including through the use of Dated: November 4, 1996. 1997. appropriate automated collection Michael B. Janis, ADDRESSES: Interested persons are techniques or other forms of information invited to submit comments regarding technology; e.g., permitting electronic General Deputy, this proposal. Comments should refer to submission of responses. BILLING CODE 4210±33±M 58202 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58203

[FR Doc. 96–28951 Filed 11–12–96; 8:45 am] BILLING CODE 4210±33±C 58204 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

[Docket No. FR±4086±N±74] Jane Karadbil, Office of University Title of the Proposal: Notice of Partnerships—telephone (202) 708– Funding Availability and Application Notice of Proposed Information 1537. This is not a toll-free number. Kit for the Hispanic-Serving Institutions Collection for Public Comment SUPPLEMENTARY INFORMATION: The Work Study Program (HSI–WSP). AGENCY: Office of the Assistant Department will submit the proposed Description of the need for the Secretary for Policy Development and information collection to OMB for information and proposed use: The Research, HUD. review, as required by the Paperwork information is being collected to select Reduction Act of 1995 (44 U.S.C. ACTION: Notice. grantees in this statutorily-created Chapter 35, as amended). competitive grant program. The This Notice is soliciting comments SUMMARY: The proposed information information is also being used to from members of the public and affected collection requirement described below monitor the performance of grantees to will be submitted to the Office of entities concerning the proposed information collection to: (1) Evaluate ensure that they meet statutory and Management and Budget (OMB) for program goals and requirements. review, as required by the Paperwork whether the proposed collection of Reduction Act. The soliciting public information is necessary for the proper Members of the affected public: comments on the subject proposal. performance of the functions of the Certain Hispanic-serving institutions of agency, including whether the higher education: 89 applicants and 30 DATES: Comments are due January 13, information will have practical utility; 1997. grantees. (2) Evaluate the accuracy of the agency’s Estimation of the total number of ADDRESSES: Interested persons are estimate of the burden of the proposed invited to submit comments regarding hours needed to prepare the information collection of information; (3) Enhance collection including the number of this proposal. Comments should refer to the quality, utility, and clarity of respondents, frequency of response, and the proposal by name or OMB Control information to be collected; and (4) hours of response: Information pursuant Number and be sent to: Reports Liaison Minimize the burden of collection of to submitting applications will be Officer, Office of Policy Development information on those who are to submitted once. Information pursuant to and Research, U.S. Department of respond; including through the use of Housing and Urban Development, 451 appropriate technology, e.g., permitting grantee monitoring requirements will be 7th Street, SW, Room 8226, Washington, electronic submission of responses. submitted once a year. DC 20410. This Notice also lists the following The following chart details the FOR FURTHER INFORMATION CONTACT: information: respondent burden on an annual basis:

No. of Total re- annual Hours Total spond- re- per re- hours ents sponses sponse

Application ...... 89 89 40 3,560 Annual Reports ...... 30 30 6 180 Final Reports ...... 30 30 8 240 Recordkeeping ...... 30 30 5 150

...... 4,130

Status of proposed information ACTION: Notice. proposed forms and other available collection: OMB approved an emergency documents. paperwork clearance for this SUMMARY: The proposed information SUPPLEMENTARY INFORMATION: The information collection and assigned it collection requirement described below will be submitted to the Office of Department will submit the proposed OMB Control No. 2528–0182, expiration information collection to OMB for date December 31, 1996. OMB’s Management and Budget (OMB) for review, as required by the Paperwork review, as required by the Paperwork approval of this regular paperwork Reduction Act of 1995 (44 U.S.C. clearance is pending. Reduction Act. The Department is soliciting public comments on the Chapter 35, as amended). Authority: Section 3506 of the Paperwork subject proposal. The Notice is soliciting comments Reduction Act of 1995, 44 U.S.C. Chapter 35, from members of the public and as amended. DATES: Comments due: January 13, 1997. affecting agencies concerning the Dated: October 15, 1996. proposed collection of information to: Michael A. Stegman, ADDRESSES: Interested persons are (1) Evaluate whether the proposed Assistant Secretary for Policy Development invited to submit comments regarding collection of information is necessary and Research. this proposal. Comments should refer to for the proper performance of the [FR Doc. 96–28961 Filed 11–12–96; 8:45 am] the proposal by name and/or OMB functions of the agency, including BILLING CODE 4210±62±M Control Number and should be sent to: whether the information will have Oliver Walker, Housing, Department of practical utility; (2) Evaluate the Housing and Urban Development, 451— accuracy of the agency’s estimate of the [Docket No. FR±4086±N±67] 7th Street, SW, Room 9116, Washington, burden of the proposed collection of DC 20410. Notice of Proposed Information, information; (3) Enhance the quality, FOR FURTHER INFORMATION CONTACT: Collection for Public Comment utility, and clarity of the information to Jane E. Luton, telephone number (202) be collected; and (4) Minimize the AGENCY: Office of the Assistant 708–2556; extension 2537 (this is not a burden of the collection of information Secretary for Housing, HUD. toll-free number) for copies of the on those who are to respond; including Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58205 through the use of appropriate will be submitted to the Office of developments, and how to measure the automated collection techniques or Management and Budget (OMB) for unique contribution of housing other forms of information technology, review, as required by the Paperwork assistance across various dimensions of e.g., permitting electronic submission of Reduction Act. The Department is the residents’ quality of life. Once the responses. soliciting public comment on the best questions are identified through This Notice also lists the following subject proposal. this survey, they will be used uniformly information: DATES: Comments due: January 13, across HUD’s program evaluations. This Title of Proposal: 24 CFR, Part 266, 1997. project is a joint project with Canada Housing Finance Agency Risk-Sharing ADDRESSES: Interested persons are Mortgage and Housing Corporation Program for Insured Affordable invited to submit comments regarding (CMHC) and they hope to use it for the Multifamily Project Loans. this proposal. Comments should refer to same purpose. Ultimately, it will allow OMB Control Number: 2502–0500. the proposal by name or OMB Control better comparison of programs between Description of the need for the Number and should be sent to: Reports the U.S. and Canada. information and proposed use: Section Liaison Officer, Office of Policy Members of affected public: A total of 542(c) of the Housing and Urban Development and Research, Department 600 renters in a select number of Development Act of 1992 directs HUD of Housing and Urban Development, assisted and unassisted developments in to implement a pilot program of risk- 451 7th Street, SW, Room 8226, the Columbus, OH Metropolitan sharing with State and local housing Washington, DC 20410. Statistical Area will be surveyed. finance agencies (HFAs). Under this Estimation of the total number of FOR FURTHER INFORMATION CONTACT: program, HUD provides full mortgage Todd Richardson, Social Science hours needed to prepare the information insurance on multifamily housing Analyst, Office of Policy Development collection including number of projects whose loans are underwritten, and Research—telephone (313) 226– respondents, frequency of response, and processed and serviced by HFAs. The 6896 (this is not a toll-free number). hours of response: Information will be HFAs will reimburse HUD a certain collected to result in 600 one-time SUPPLEMENTARY INFORMATION: The percentage of any loss under an insured interviews with renters. To test the Department will submit the proposed loan depending upon the level of risk question utility using different methods information collection to OMB for the HFA contracts to assume. of administration, 200 renters will be review, as required by the Paperwork The regulatory authority for this surveyed in-person, 200 residents will Reduction Act of 1995 (44 U.S.C. program is set forth in 24 CFR 266, be surveyed by telephone, and 200 will Chapter 35, as amended). be surveyed by mail. The in-person published in final form on December 5, This Notice is soliciting comments interviews are estimated to take 1994. This regulation was amended on from members of the public and affected approximately 1 hour and 10 minutes February 29, 1996, as part of the agencies concerning the proposed each. The shorter telephone and mail President’s regulatory reinvention effort. collection of information to: (1) Evaluate surveys are estimated to take 40 minutes Accordingly, the collection of this whether the proposed collection of each. This means a total of 500 hours of information is consistent with statutory information is necessary for the proper response for the information collection. requirements. performance of the functions of the Status of the proposed information Agency form numbers: None. agency, including whether the Members of affected public: An collection: Pending OMB approval. information will have practical utility; estimation of the total number of hours (2) Evaluate the accuracy of the agency’s Authority: Section 3506 of the Paperwork needed to prepare the information estimate of the burden of the proposed Reduction Act of 1995, 44 U.S.C. Chapter 35, collection is 18,051, the number of collection of information; (3) Enhance as amended. respondents is 330, frequency of the quality, utility, and clarity of the Dated: October 23, 1996. response is 1, and the hours of response information to be collected; and (4) Michael A. Stegman, is 547. Minimize the burden of the collection of Assistant Secretary, Office of Policy Status of the proposed information information on those who are to Development and Research. collection: Extension. respond; including through the use of [FR Doc. 96–28977 Filed 11–12–96; 8:45 am] Authority: Section 3506 of the Paperwork appropriate automated collection BILLING CODE 4210±62±M Reduction Act of 1995, 44 U.S.C. Chapter 35, techniques or other forms of information as amended. technology, e.g. permitting electronic [Docket No. FR±4086±N±71] Dated: November 4, 1996. submission of responses. Nicolas P. Retsinas, This notice also lists the following Notice of Proposed Information Assistant Secretary for Housing-Federal information: Collection for Public Comment Housing Commissioner. Title of Proposal: Measuring Quality [FR Doc. 96–28962 Filed 11–12–96; 8:45 am] of Life, Health, and Well-Being in AGENCY: Office of the Assistant BILLING CODE 4210±27±M Different Housing Environments. Secretary for Community Planning and Description of the need for the Development, HUD. information and proposed use: With the ACTION: Notice. [Docket No. FR±4086±N±73] reinvention of the Department of Housing and Urban Development and SUMMARY: The proposed information Notice of Proposed Information the restructuring of many HUD collection requirement described below Collection for Public Comment programs, it has become increasingly will be submitted to the Office of AGENCY: Office of the Assistant important to understand why certain Management and Budget (OMB) for Secretary for Policy Development and housing developments ‘‘work’’ and review, as required by the Paperwork Research, HUD. others do not. The information collected Reduction Act. The Department is soliciting public comments on the ACTION: Notice. throughout this project will be used to help HUD determine what survey subject proposal. SUMMARY: The proposed information methods and questions appropriately DATES: Comments due: January 13, collection requirement described below assess the quality of life in housing 1997. 58206 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

ADDRESSES: Interested persons are whether the proposed collection of Description of the need for the invited to submit comments regarding information is necessary for the proper information and proposed use: The this proposal. Comments should refer to performance of the functions of the reports provide information to HUD the proposal by name and/or OMB agency, including whether the necessary for program monitoring and Control Number and should be sent to: information will have practical utility; evaluation. Reports Liaison Officer, Sheila E. Jones, (2) Evaluate the accuracy of the agency’s Agency form numbers, if applicable: Department of Housing and Urban estimate of the burden of the proposed Only as necessary the grantee may have Development, 451 7th Street, SW, Room collection of information; (3) Enhance occassion to submit the following forms: 7230, Washington, DC 20410. the quality, utility, and clarity of the HUD–27053 (if requesting draw down of FOR FURTHER INFORMATION CONTACT: information to be collected; and (4) funds) Ophelia H. Wilson (202) 708–2186 (this Minimize the burden of the collection of HUD–27054 (if there is a change in is not a toll-free number) for copies of information on those who are to access authorization) the proposed forms and other available respond; including through the use of SF–1199A (if banking information documents. appropriate automated collection changes) SUPPLEMENTARY INFORMATION: The techniques or other forms of information SF–269A (if funds are still being raised Department will submit the proposed technology, e.g., permitting electronic to meet matching requirements) information collection to OMB for submission of responses. Members of affected public: Grantees review, as required by the Paperwork This Notice also lists the following that have received HUD funding from Reduction Act of 1995 (44 U.S.C. information: FY ’94 to the present. Chapter 35, as amended). Title of Proposal: Quarterly Estimation of the total numbers of The Notice is soliciting comments Performance Report for John Heinz hours needed to prepare the information from members of the public and affected Neighborhood Development Program. collection, including number of agencies concerning the proposed OMB Control Number, if applicable: respondents, frequency of response, and collection of information to: (1) Evaluate OMB No. 2506–0158. hours of response:

Number of Response Burden Activity respondents Frequency of response hours hours

Report Prep...... 100 Quarterly (4) ...... 42 4,200

Status of the proposed information Number and should be sent to: Reports technology, e.g. permitting electronic collection: Information is currently Liaison Officer, Office of Policy submission of responses. being collected from each grantee. Development and Research, Department This notice also lists the following Authority: Section 3506 of the Paperwork of Housing and Urban Development, information: Reduction Act of 1995, 44 U.S.C. Chapter 35, 451 7th Street, SW, Room 8226, Title of Proposal: A Survey of Rents, as amended. Washington, DC 20410. Vacancy, and Amenities in Multifamily Dated: November 4, 1996. FOR FURTHER INFORMATION CONTACT: Projects in Michigan. Andrew Cuomo, Todd Richardson, Economist and Social Description of the need for the Assistant Secretary for Community Planning Science Analyst, Office of Policy information and proposed use: HUD has and Development. Development and Research—telephone three primary needs for the information [FR Doc. 96–28981 Filed 11–12–96; 8:45 am] (313) 226–6896 (this is not a toll-free to be collected from this survey. The BILLING CODE 4210±29±M number). first is for our Portfolio Re-engineering SUPPLEMENTARY INFORMATION: The Demonstration. Under that Department will submit the proposed demonstration, the department is to [Docket No. FR±4086±N±72] information collection to OMB for explore ways to resolve the over- subsidization of HUD insured projects Notice of Proposed Information review, as required by the Paperwork receiving project based Section 8. If Collection for Public Comment Reduction Act of 1995 (44 U.S.C. Chapter 35, as amended). Portfolio Re-engineering is to be AGENCY: Office of the Assistant This Notice is soliciting comments implemented, it is crucial that HUD Secretary for Policy Development and from members of the public and affected know what the appropriate market rent Research, HUD. agencies concerning the proposed is for different unit sizes at individual ACTION: Notice. collection of information to: (1) Evaluate developments. whether the proposed collection of The second is HUD’s annual SUMMARY: The proposed information information is necessary for the proper adjustment factors for Section 8 project collection requirement described below performance of the functions of the based subsidy. With this survey, we will will be submitted to the Office of agency, including whether the know what are the appropriate Management and Budget (OMB) for information will have practical utility; adjustments. review, as required by the Paperwork (2) Evaluate the accuracy of the agency’s The third is to assist HUD in its Reduction Act. The Department is estimate of the burden of the proposed overall underwriting process. The soliciting public comment on the collection of information; (3) Enhance department insures mortgages for subject proposal. the qualify, utility, and clarity of the market rate multi-family developments. DATES: Comments due: January 13, information to be collected; and (4) As part of its determination on whether 1997. Minimize the burden of the collection of HUD should insure the project, HUD ADDRESSES: Interested persons are information on those who are to conducts a market study and does an invited to submit comments regarding respond; including through the use of appraisal. This survey will greatly this proposal. Comments should refer to appropriate automated collection improve the accuracy and efficiency of the proposal by name or OMB Control techniques or other forms of information this process. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58207

Members of affected public: We ADDRESSES: Interested persons are and (10) the names and telephone estimate that 3,000 housing managers in invited to submit comments regarding numbers of an agency official familiar the state will be surveyed. this proposal. Comments must be with the proposal and of the OMB Desk Estimation of the total number of received within thirty (30) days from the Officer for the Department. hours needed to prepare the information date of this Notice. Comments should Authority: Section 3507 of the Paperwork collection including number of refer to the proposal by name and/or Reduction Act of 1995, 44 U.S.C. 35, as respondents, frequency of response, and OMB approval number and should be amended. hours of response: Information will be sent to: Joseph F. Lackey, Jr., OMB Desk Dated: October 30, 1996. collected from approximately 3,000 Officer, Office of Management and David S. Cristy, managers of multifamily rental Budget, Room 10235, New Executive developments in the State of Michigan. Acting Director, Information Resources, Office Building, Washington, DC 20503. Management Policy and Management The 15 minute mail survey is planned FOR FURTHER INFORMATION CONTACT: Kay Division. to be conducted annually. The F. Weaver, Reports Management Officer, information being requested is Notice of Submission of Proposed Department of Housing and Urban information normally maintained by Information Collection to OMB Development, 451 7th Street, housing managers. The total annual Southwest, Washington, DC 20410, Title of Proposal: Evaluation of the burden for respondents is estimated at telephone (202) 708–0050. This is not a HUD Lead-Based Paint Hazard 750 hours. Status of the proposed information toll-free number. Copies of the proposed Reduction Grant Program. collection: Pending OMB approval. forms and other available documents Office: Lead Hazard Control. submitted to OMB may be obtained OMB Approval Number: 2539–0004. Authority: Section 3506 of the Paperwork from Ms. Weaver. Reduction Act of 1995, 44 U.S.C. Chapter 35, Description of the Need for the as amended. SUPPLEMENTARY INFORMATION: The Information and its Proposed Use: Dated: October 23, 1996. Department has submitted the proposal Public and private organizations Michael A. Stegman, for the collection of information, as concerned with both environmental Assistant Secretary, Office of Policy described below, to OMB for review, as health and the provision of affordable Development and Research. required by the Paperwork Reduction housing need information on how to [FR Doc. 96–28982 Filed 11–12–96; 8:45 am] Act (44 U.S.C. Chapter 35). control lead-based paint hazards in BILLING CODE 4210±62±M The Notice lists the following housing in the most cost effective information: (1) the title of the manner. Data from the evaluation study information collection proposal; (2) the will be used by HUD and other Federal [Docket No. FR±4086±N±68] office of the agency to collect the agencies to determine the cost and information; (3) the OMB approval efficacy of various strategies for Submission for OMB Review: number, if applicable; (4) the Comment Request controlling lead-based paint hazards description of the need for the and reducing childhood lead exposure. AGENCY: Office of Administration, HUD. information and its proposed use; (5) Results will affect Federal regulations ACTION: Notice. the agency form number, if applicable; and guidelines required under law, and (6) what members of the public will be the actions of State, local and private- SUMMARY: The proposed information affected by the proposal; (7) how sector organizations will be affected as collection requirement described below frequently information submissions will well. has been submitted to the Office of be required; (8) an estimate of the total Form Number: None. Management and Budget (OMB) for number of hours needed to prepare the review, as required by the Paperwork information submission including Respondents: Individuals or Reduction Act. The Department is number of respondents, frequency of Households and State, Local, or Tribal soliciting public comments on the response, and hours of response; (9) Government. subject proposal. whether the proposal is new, an Frequency of Submission: On DATES: Comments due date: December extension, reinstatement, or revision of Occasion. 13, 1996. an information collection requirement; Reporting Burden:

Number of re- Frequency of Hours per Burden spondents x response x response = hours

Information Collection ...... 14 1,791 .52 13,162

Total Estimated Burden Hours: [Docket No. FR±4086±N±69] soliciting public comments on the 13,162. subject proposal. Submission for OMB Review: Status: Extension, without changes. Comment Request DATES: Comments due date: December Contact: Barbara Haley, HUD, (202) 13, 1996. 755–1805 x126; Joseph F. Lackey, Jr., AGENCY: Office of Administration, HUD. ADDRESSES: Interested persons are OMB, (202) 395–7316. ACTION: Notice. invited to submit comments regarding Dated: October 30, 1996. this proposal. Comments must be SUMMARY: [FR Doc. 96–28978 Filed 11–12–96; 8:45 am] The proposed information received within thirty (30) days from the collection requirement described below date of this Notice. Comments should BILLING CODE 4210±01±M has been submitted to the Office of refer to the proposal by name and/or Management and Budget (OMB) for OMB approval number and should be review, as required by the Paperwork sent to: Joseph F. Lackey, Jr., OMB Desk Reduction Act. The Department is Officer, Office of Management and 58208 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Budget, Room 10235, New Executive (6) what members of the public will be Dated: October 31, 1996. Office Building, Washington, DC 20503. affected by the proposal; (7) how David S. Cristy, FOR FURTHER INFORMATION CONTACT: frequently information submissions will Acting Director, Information Resources Kay F. Weaver, Reports Management be required; (8) an estimate of the total Management Policy and Management Officer, Department of Housing and number of hours needed to prepare the Division. Urban Development, 451 7th Street, information submission including Notice of Submission of Proposed Southwest, Washington, DC 20410, number of respondents, frequency of Information Collection to OMB telephone (202) 708–0050. This is not a response, and hours of response; (9) Title of Proposal: Mortgagee toll-free number. Copies of the proposed whether the proposal is new, an Questionnaire. forms and other available documents extension, reinstatement, or revision of Office: Housing. submitted to OMB may be obtained an information collection requirement; from Ms. Weaver. OMB Approval Number: 2502–0121. and (10) the names and telephone Description of the Need for the SUPPLEMENTARY INFORMATION: The numbers of an agency official familiar Department has submitted the proposal Information and Its Proposed Use: The with the proposal and of the OMB Desk for the collection of information, as information collected on form HUD– Officer for the Department. described below, to OMB for review, as 9800 provides an overview of the required by the Paperwork Reduction Authority: Section 3507 of the Paperwork mortgagee’s operations for servicing Act (44 U.S.C. Chapter 35). Reduction Act of 1995, 44 U.S.C. 35, as HUD-insured single family mortgages. The Notice lists the following amended. HUD uses this information to forecast information: (1) the title of the possible weaknesses in a servicing information collection proposal; (2) the operation prior to an on-site review of office of the agency to collect the the mortgagee’s office procedures. information; (3) the OMB approval Form Number: HUD–9800. number, if applicable; (4) the Respondents: Business or Other For- description of the need for the Profit. information and its proposed use; (5) Frequency of Submission: Biennially. the agency form number, if applicable; Reporting Burden:

Number of re- × Frequency of × Hours per Burden spondents response response = hours

HUD±9800 ...... 2,800 .1428 1.5 600

Total Estimated Burden Hours: 600. OMB approval number and should be number of hours needed to prepare the Status: Reinstatement, without sent to: Joseph F. Lackey, Jr., OMB Desk information submission including changes. Officer, Office of Management and number of respondents, frequency of Contact: Ted Green, HUD, (202) 708– Budget, Room 10235, New Executive response, and hours of response; (9) 1719, Joseph F. Lackey, Jr., OMB, (202) Office Building, Washington, DC 20503. whether the proposal is new, an 395–7316. FOR FURTHER INFORMATION CONTACT: extension, reinstatement, or revision of Dated: October 31, 1996. Kay F. Weaver, Reports Management an information collection requirement; [FR Doc. 96–28979 Filed 11–12–96; 8:45 am] Officer, Department of Housing and and (10) the names and telephone numbers of an agency official familiar BILLING CODE 4210±01±M Urban Development, 451 7th Street, Southwest, Washington, DC 20410, with the proposal and of the OMB Desk telephone (202) 708–0050. This is not a Officer for the Department. [Docket No. FR±4086±N±70] toll-free number. Copies of the proposed Authority: Section 3507 of the Paperwork forms and other available documents Reduction Act of 1995, 44 U.S.C. 35, as Submission for OMB Review: amended. Comment Request submitted to OMB may be obtained from Ms. Weaver. Dated: October 24, 1996. AGENCY: Office of Administration, HUD. SUPPLEMENTARY INFORMATION: The David S. Cristy, ACTION: Notice. Department has submitted the proposal Acting Director, Information Resources for the collection of information, as Management Policy and Management SUMMARY: The proposed information described below, to OMB for review, as Division. collection requirement described below required by the Paperwork Reduction Notice of Submission of Proposed has been submitted to the Office of Act (44 U.S.C. Chapter 35). Information Collection to OMB Management and Budget (OMB) for The Notice lists the following review, as required by the Paperwork information: (1) the title of the Title of Proposal: Request for Reduction Act. The Department is information collection proposal; (2) the Occupied Conveyance. soliciting public comments on the office of the agency to collect the Office: Housing. subject proposal. information; (3) the OMB approval OMB Approval Number: 2502–0268. DATES: Comments due date: December number, if applicable; (4) the Description of the Need for the 13, 1996. description of the need for the Information and Its Proposed Use: ADDRESSES: Interested persons are information and its proposed use; (5) Tenants will provide certain invited to submit comments regarding the agency form number, if applicable; information to HUD that will determine this proposal. Comments must be (6) what members of the public will be if the occupant is financially able to pay received within thirty (30) days from the affected by the proposal; (7) how the fair market rent and/or whether a date of this Notice. Comments should frequently information submissions will member of the immediate family suffers refer to the proposal by name and/or be required; (8) an estimate of the total from a temporary illness or injury which Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58209 would prevent a physical move from the Respondents: Individuals or Frequency of Submission: On property. Households and Business or Other For- Occasion. Form Number: HUD–9535. Profit. Reporting Burden:

Number of re- × Frequency of × Hours per Burden spondents response response = hours

Mortgagees ...... 3,000 17.83 .25 13,375 Mortgagors ...... 8,025 1.00 .50 4,013

Total Estimated Burden Hours: Monroe County, Florida for the purpose acres owned by the Applicant in Butler, 17,388. of enhancement of survival of the Conecuh, Covington, and Crenshaw Status: Extension, without changes. species. Counties, Alabama. The Service also Contact: Rose Donnelly/Art Orton, Written data or comments on these announces the availability of an HUD, (202) 708–4767, Joseph F. Lackey, applications should be submitted to: Environmental Assessment (EA) and Jr., OMB, (202) 395–7316. Regional Permit Coordinator, U.S. Fish Habitat Conservation Plan (HCP) for this Dated: October 24, 1996. and Wildlife Service, 1875 Century ITP application. The HCP, which is [FR Doc. 96–28980 Filed 11–12–96; 8:45 am] Boulevard, Suite 200, Atlanta, Georgia required by Section 10(a)(2)(A) of the 30345. All data and comments must be Act, was prepared and submitted by the BILLING CODE 4210±01±M received within 30 days of the date of Applicant with the permit application. this publication. Copies of the EA and/or HCP may be Documents and other information obtained by making a request in writing DEPARTMENT OF THE INTERIOR submitted with these applications are to the Regional Office (see ADDRESSES). Fish and Wildlife Service available for review, subject to the This notice also advises the public that requirements of the Privacy Act and the Service has made preliminary Notice of Receipt of Application for Freedom of Information Act, by any determinations that issuing an ITP to Permit party who submits a written request for the Applicant is not a major Federal a copy of such documents to the action significantly affecting the quality The following applicants have following office within 30 days of the of the human environment within the applied for permits to conduct certain date of publication of this notice: U.S. meaning of Section 102(2)(C) of the activities with endangered species. This Fish and Wildlife Service, 1875 Century National Environmental Policy Act of notice is provided pursuant to Section Boulevard, Suite 200, Atlanta, Georgia 1969, (NEPA) as amended. The Finding 10(c) of the Endangered Species Act of 30345 (Attn: David Dell, Permit of No Significant Impact (FONSI) is 1973, as amended (16 U.S.C. 1531 et Biologist). Telephone: 404/679–7313; based on information contained in the seq.): Fax: 404/679–7081. EA and HCP. The final determination PRT–820586 Dated: November 1, 1996. will be made no sooner than 30 days Applicant: Leslie Colley, Clinch River Garland B. Pardue, from the date of this notice. This notice Community Project, Sneedville, Tennessee Acting Regional Director. is provided pursuant to Section 10(c) of The applicant requests a permit to [FR Doc. 96–28987 Filed 11–12–96; 8:45 am] the Act and National Environmental Policy Act Regulations (40 CFR 1506.6). take (collect and retain relic shells) BILLING CODE 4310±55±P endangered and threatened mussel DATES: Written comments on the species native to the upper Clinch River, application, EA and HCP should be sent Hancock County, Tennessee for the Notice of Receipt of an Application, to the Service’s Regional Office (see purpose of enhancement of survival of and Availability of an Environmental ADDRESSES) and should be received on the species. Assessment and Finding of No or before December 13, 1996. PRT–820707 Significant Impact for an Incidental ADDRESSES: Persons wishing to review Take Permit by Union Camp Applicant: Dr. Gary D. Schnell, Oklahoma the application, HCP, and EA may Biological Survey, Norman, Oklahoma Corporation, Woodlands Division, for obtain a copy by writing the Service’s Forest Management in South-Central Southeast Regional Office, Atlanta, The applicant requests a permit to Alabama take (capture and release for population Georgia. Documents will also be surveys, or temporarily hold for AGENCY: Fish and Wildlife Service, available for public inspection by translocation or behavioral research) the Interior. appointment during normal business endangered American burying beetle, ACTION: Notice. hours at the Regional Office, 1875 Nicrophorus americanus, throughout Century Boulevard, Suite 200, Atlanta, SUMMARY: the species range in Arkansas and Union Camp Corporation, Georgia 30345 (Attn: Endangered Oklahoma for the purpose of Woodlands Division (Applicant), seeks Species Permits), or at the Jackson, enhancement of survival of the species. an incidental take permit (ITP) from the Mississippi, Field Office, 6578 Dogwood Fish and Wildlife Service (Service), View Parkway, Suite A, Jackson, PRT–820585 pursuant to Section 10(a)(1)(B) of the Mississippi 39213. Written data or Applicant: Alejandro N. Lima, Miami-Dade Endangered Species Act of 1973 (16 comments concerning the application, Community College, Wolfson Campus, U.S.C. 1531 et seq.), (Act) as amended. EA, or HCP should be submitted to the Miami, Florida The ITP would authorize for a period of Regional Office. Comments must be The applicant requests a permit to 30 years, the incidental take of a submitted in writing to be processed. take (collect cuttings and fruits, and threatened species, the Red Hill’s Please reference permit number PRT– manipulate blossoms) the endangered salamander (Phaeognathus hubrichti). 821527 in such comments, or in Key tree- cactus, Pilosocereus robinii, at The proposed take is incidental to forest requests for the documents discussed Key Deer National Wildlife Refuge, management activities on about 3,810 herein. Requests for the documents 58210 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices must be in writing to be adequately 3,810 acres of lands owned or managed substantially reduce or eliminate the processed. by Union Camp Corporation. This likelihood of incidental take in FOR FURTHER INFORMATION CONTACT: Mr. represents about seven percent of the preferred and marginally suitable Rick G. Gooch, Regional Permit rangewide total habitat estimated to habitat. Coordinator, Atlanta, Georgia (see remain in 1978. Such measures, in comparison to the ADDRESSES above), telephone: 404/679– The EA considers the environmental first alternative, would be expected to 7110; or Mr. Will McDearman at the consequences of two alternatives. The involve additional restrictions on timber Jackson, Mississippi, Field Office (see proposed action is the issuance of the harvest and managing habitat occupied ADDRESSES above), telephone: 601/965– ITP based upon the submittal of the by RHS in a manner to avoid incidental 4900 ext. 24. HCP. This action is based on a take. SUPPLEMENTARY INFORMATION: The Red preliminary determination by the As stated above, the Service has made Hill’s salamander (RHS), Phaeognathus Service that the HCP will satisfy the a preliminary determination that the hubrichti, is a plethodontid salamander requirements of Section 10(a)(2)(B) of issuance of this ITP is not a major known only from the Red Hills region the Act. By this alternative, the HCP Federal action significantly affecting the of south-central Alabama in portions of restricts timber management activities quality of the human environment Butler, Conecuh, Covington, Crenshaw, in habitat preferred by RHS. Preferred within the meaning of Section 102(2)(C) and Monroe Counties. This habitat occupies about 1,816 acres with of NEPA and will result in the FONSI. physiographic subdivision of the Gulf steep (>30 degree) slopes, underlain by This preliminary determination is based the Tallahatta or Hatchetigbee Coastal Plain is distinguished by hilly, on information in the EA and HCP. The formations, with a hardwood or mixed dissected terrain, frequently with steep determination may be revised due to hardwood-pine forest. Pine will be side slopes extending 200 feet from the public comment received in response to harvested by limited single tree ridge to the base of the lower slope. this notice. An excerpt from the FONSI selection while maintaining a hardwood Natural vegetation of these moist, steep, reflecting the Service’s finding on the canopy coverage over at least 90 percent sheltered slopes and ravines consists of application is provided below: of a site. To minimize disturbance to a beech-magnolia forest community. Based on the analysis conducted by soils and destruction of burrows, no Characteristic woody species in the the Service, it has been determined that: vehicular logging equipment will 1. Issuance of an ITP would not have forest overstory include American beech operate within preferred habitat. Felled significant effects on the human (Fagus grandifolia), bigleaf magnolia timber will be pulled from preferred environment in the project area. (Magnolia macrophylla), southern habitat by cable from vehicular or other 2. The proposed take is incidental to magnolia (M. grandiflora), white oak logging equipment located in adjacent, an otherwise lawful activity. (Quercus alba), and tulip tree non-preferred habitat. In habitat 3. The Applicant has ensured that (Liriodendron tulipifera). Portions of marginally suitable for RHS, about 1,994 adequate funding will be provided to this and closely related forest types in acres, normal industrial forest implement the measures proposed in the Red Hills region are underlain by silvicultural practices will be applied. the submitted HCP. clays, claystones, and siltones of the Marginally suitable habitat consists of The Service will also evaluate Tallahatta and Hatchetigbee formations. slopes less than 30 degrees, with whether the issuance of a Section RHS occupy subterranean burrows Tallahata or Hatchetigbee formations 10(a)(1)(B) ITP complies with Section 7 within the fissures and channels of and forest cover of mixed hardwood- of the Act by conducting an intra- these formations on relatively steep pine or pine. RHS populations in Service Section 7 consultation. The slopes beneath undisturbed and marginally suitable habitat will be results of the Section 7 biological moderately disturbed hardwood and significantly reduced or eliminated as a opinion, in combination with the above hardwood-pine dominated forests. RHS, result of clearcutting, site preparation, findings, will be used in the final which rarely leave their burrows, prey and conversion to pine forests. Because analysis to determine whether or not to upon ground-dwelling arthropods RHS are more common and abundant in issue the ITP. located within burrows or outside preferred (optimal) habitat, the HCP will Dated: November 11, 1996. burrows near the burrow entrance. conserve core RHS populations where Substrates of the Tallahatta and Garland B. Pardue, most RHS exist. Populations in Acting Regional Director. Hatchetigbee formation apparently are preferred habitat are expected to remain important for maintaining suitable viable, contributing to the recovery of [FR Doc. 96–28986 Filed 11–12–96; 8:45 am] moisture required for these amphibians. the species. The HCP also includes BILLING CODE 6450±01±P Other important factors preventing the maintaining forest buffer zones adjacent dessication of RHS microhabitat include to preferred habitat, staff training to Geological Survey loamy soils, leaf litter from deciduous implement the HCP, funding, and trees, and a well developed overstory monitoring and reporting of Request for Public Comment on canopy of hardwoods that intercepts management actions in preferred and Proposed Information Collection To Be direct sunlight. Timber management marginally suitable habitat. Submitted to the Office of Management practices that reduce or eliminate the The second alternative in the EA is and Budget for Review Under the forest canopy, disturb or compact soils, the no action alternative in which the Paperwork Reduction Act and convert hardwood-dominated Service would not issue the ITP. The forests to pine-dominated forests can basis for this alternative would be the The proposal for the collection of incidentally kill or injure RHS in failure of the Applicant to satisfy information described below will be violation of Section 9 of the Act. Such requirements of Section 10(a)(2)(B) of submitted to the Office of Management practices can involve timber harvest, the the Act for ITP issuance. Without the and Budget for approval under the operation of vehicular logging authority to incidentally take RHS, the provisions of the Paperwork Reduction equipment, timber regeneration, and site Applicant is expected to continue to Act (44 U.S.C. Chapter 35). Copies of the preparation in habitat occupied by RHS. manage forests in occupied habitat proposed collection of information may Based on RHS surveys conducted by the according to existing current company be obtained by contacting the Bureau’s Applicant, RHS may occur on about guidelines or modified guidelines that clearance officer at the phone number Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58211 listed below. Comments and suggestions Geological Survey, 590 National Center, SUPPLEMENTARY INFORMATION: This on the proposal should be made within 12201 Sunrise Valley Drive, Reston, notice is published in exercise of 60 days directly to the Bureau clearance Virginia 20192; telephone (703) 648– authority delegated to the Assistant officer, U.S. Geological Survey, 208 5514; facsimile (703) 648–5755; Internet Secretary—Indian Affairs under 25 National Center, 12201 Sunrise Valley ‘‘[email protected]’’. U.S.C. 2 and 9 and 209 DM 8. Published below are lists of federally Drive., Reston, Virginia, 20192, SUPPLEMENTARY INFORMATION: The FGDC telephone (703) 648–7313. is a committee of Federal agencies acknowledged tribes in the contiguous Title: National Mapping Division Data engaged in geospatial activities. The 48 states and in Alaska. The list is Grant Program for Land Processes FGDC Facilities Working Group updated from the last such list Research. specifically focuses on geospatial data published in February 16, 1995 (60 FR OMB approval number: 1028–0052. issues related to facilities and facility 9250), to include tribes acknowledged Abstract: Respondents supply management. A facility is an entity with through the Federal acknowledgment information and awardees supply a final location, deliberately established as a process. The listed entities are report. Application information site for designated activities. A facility acknowledged to have ‘‘the immunities identifies the land processes research database might describe a factory, a and privileges available to other project and remotely sensed data military base, a college, a hospital, a federally acknowledged Indian tribes by requirements. Final report identifies power plant, a fishery, a national park, virtue of their government-to- utility of Data Grant Program in the an office building, a space command government relationship with the completion of the nonprofit institution’s center, or a prison. The database for a United States as well as the research project. complex facility may describe multiple responsibilities, powers, limitations and Bureau form number: None. functions or missions, multiple obligations of such tribes.’’ 25 CFR 83.2 Frequency: Annually. buildings, or even a county, town, or (1996 ed.). We have, however, Description of respondents: Non- city. The objectives of the Working continued the practice of listing the profit institutions. Group are to: promote standards of Alaska Native entities separately solely Estimated completion time: 25 hours. accuracy and currentness in facilities for the purpose of facilitating Annual responses: 520. identification of them and reference to Annual burden hours: 13,000 hours. data which are financed in whole or in part by Federal funds; exchange them given the large number of complex Bureau clearance officer: John Native names. Cordyack, 703–648–7313. information on technological improvements for collecting facilities Indian Tribal Entities Within the Dated: November 4, 1996. data; encourage the Federal and non- Contiguous 48 States Recognized and Richard E. Witmer, Federal community to identify and Eligible to Receive Services From the Acting Chief, National Mapping Division. adopt standards specifications for United States Bureau of Indian Affairs [FR Doc. 96–28944 Filed 11–12–96; 8:45 am] facilities data; and promote the sharing Absentee-Shawnee Tribe of Indians of BILLING CODE 4310±31±M of facilities data among Federal and Oklahoma non-Federal organizations. Agua Caliente Band of Cahuilla Indians Dated: November 1, 1996. of the Agua Caliente Indian Federal Geographic Data Committee Wendy A. Budd, Reservation, California (FGDC); Public Meeting of the FGDC Ak Chin Indian Community of Papago Facilities Working Group Associate Chief, National Mapping Division. [FR Doc. 96–28949 Filed 11–12–96; 8:45 am] Indians of the Maricopa, Ak Chin AGENCY: U.S. Geological Survey, BILLING CODE 4310±31±M Reservation, Arizona Interior. Alabama and Coushatta Tribes of Texas Alabama-Quassarte Tribal Town of the ACTION: Notice of meeting. Bureau of Indian Affairs Creek Nation of Oklahoma SUMMARY: This notice is to invite public Alturas Indian Rancheria of Pit River participation in meetings of the FGDC Indian Entities Recognized and Eligible Indians of California Facilities Working Group and its To Receive Services From the United Apache Tribe of Oklahoma subgroups. The major topic for these States Bureau of Indian Affairs Arapahoe Tribe of the Wind River meetings is development of a Facility ID Reservation, Wyoming standard, a utility data content standard, AGENCY: Bureau of Indian Affairs, Aroostook Band of Micmac Indians of and an environmental hazard data Interior. Maine Assiniboine and Sioux Tribes of the Fort content standard. ACTION: Notice. Peck Indian Reservation, Montana TIME AND PLACE: 9 December 1996, at Augustine Band of Cahuilla Mission SUMMARY: Notice is hereby given of the Headquarters U.S. Army Corps of Indians of the Augustine Reservation, Engineers, in Room 8124C of the Pulaski current list of tribal entities recognized and eligible for funding and services California Building, 20 Massachusetts Avenue, Bad River Band of the Lake Superior from the Bureau of Indian Affairs by NW, Washington, DC. The Pulaski Tribe of Chippewa Indians of the Bad virtue of their status as Indian tribes. building is located just a few blocks River Reservation, Wisconsin This notice is published pursuant to west of Union Station. The Facilities Bay Mills Indian Community of the Section 104 of the Act of November 2, Working Group will meet from 1:00 Sault Ste. Marie Band of Chippewa 1994 (Pub. L. 103–454; 108 Stat. 4791, p.m. until 3:00 p.m.; the Facility ID and Indians, Bay Mills Reservation, 4792). Environmental Hazard Data Content Michigan Standard teams will meet from 10:00 FOR FURTHER INFORMATION CONTACT: Bear River Band of the Rohnerville a.m. until 12:00 noon; and Utility Data Daisy West, Bureau of Indian Affairs, Rancheria of California Content Standard team will meet from Division of Tribal Government Services, Berry Creek Rancheria of Maidu Indians 3:15 until 4:15 p.m. MS–4641–MIB, 1849 C Street, NW, of California FOR FURTHER INFORMATION CONTACT: Washington, D.C. 20240. Telephone Big Lagoon Rancheria of Smith River Jennifer Fox, FGDC Secretariat, U.S. number: (202) 208–2475. Indians of California 58212 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Big Pine Band of Owens Valley Paiute Colorado River Indian Tribes of the Fort Independence Indian Community Shoshone Indians of the Big Pine Colorado River Indian Reservation, of Paiute Indians of the Fort Reservation, California Arizona and California Independence Reservation, California Big Sandy Rancheria of Mono Indians of Comanche Indian Tribe, Oklahoma Fort McDermitt Paiute and Shoshone California Confederated Salish & Kootenai Tribes Tribes of the Fort McDermitt Indian Big Valley Rancheria of Pomo & Pit of the Flathead Reservation, Montana Reservation, Nevada River Indians of California Confederated Tribes of the Chehalis Fort McDowell Mohave-Apache Indian Blackfeet Tribe of the Blackfeet Indian Reservation, Washington Community of the Fort McDowell Reservation of Montana Confederated Tribes of the Colville Indian Reservation, Arizona Blue Lake Rancheria of California Reservation, Washington Fort Mojave Indian Tribe of Arizona, Bridgeport Paiute Indian Colony of Confederated Tribes of the Coos, Lower California & Nevada California Umpqua and Siuslaw Indians of Fort Sill Apache Tribe of Oklahoma Buena Vista Rancheria of Me-Wuk Oregon Gila River Pima-Maricopa Indian Indians of California Confederated Tribes of the Goshute Community of the Gila River Indian Burns Paiute Tribe of the Burns Paiute Reservation, Nevada and Utah Reservation of Arizona Indian Colony of Oregon Confederated Tribes of the Grand Ronde Grand Traverse Band of Ottawa & Cabazon Band of Cahuilla Mission Community of Oregon Chippewa Indians of Michigan Indians of the Cabazon Reservation, Confederated Tribes of the Siletz Greenville Rancheria of Maidu Indians California Reservation, Oregon of California Cachil DeHe Band of Wintun Indians of Confederated Tribes of the Umatilla Grindstone Indian Rancheria of Wintun- the Colusa Indian Community of the Reservation, Oregon Wailaki Indians of California Colusa Rancheria, California Confederated Tribes of the Warm Guidiville Rancheria of California Caddo Indian Tribe of Oklahoma Springs Reservation of Oregon Hannahville Indian Community of Cahuilla Band of Mission Indians of the Confederated Tribes and Bands of the Wisconsin Potawatomie Indians of Cahuilla Reservation, California Yakama Indian Nation of the Yakama Michigan Cahto Indian Tribe of the Laytonville Reservation, Washington Havasupai Tribe of the Havasupai Rancheria, California Coquille Tribe of Oregon Reservation, Arizona Campo Band of Diegueno Mission Cortina Indian Rancheria of Wintun Ho-Chunk Nation of Wisconsin Indians of the Campo Indian Indians of California (formerly known as the Wisconsin Reservation, California Coushatta Tribe of Louisiana Winnebago Tribe) Capitan Grande Band of Diegueno Cow Creek Band of Umpqua Indians of Hoh Indian Tribe of the Hoh Indian Mission Indians of California: Oregon Reservation, Washington Barona Group of Capitan Grande Band Coyote Valley Band of Pomo Indians of Hoopa Valley Tribe of the Hoopa Valley of Mission Indians of the Barona California Reservation, California Reservation, California Crow Tribe of Montana Hopi Tribe of Arizona Crow Creek Sioux Tribe of the Crow Viejas (Baron Long) Group of Capitan Hopland Band of Pomo Indians of the Creek Reservation, South Dakota Grande Band of Mission Indians of Hopland Rancheria, California Cuyapaipe Community of Diegueno Houlton Band of Maliseet Indians of the Viejas Reservation, California Mission Indians of the Cuyapaipe Maine Catawba Tribe of South Carolina Reservation, California Hualapai Indian Tribe of the Hualapai Cayuga Nation of New York Death Valley Timbi-Sha Shoshone Band Indian Reservation, Arizona Cedarville Rancheria of Northern Paiute of California Huron Potawatomi, Inc., Michigan Indians of California Delaware Tribe of Indians, Oklahoma Inaja Band of Diegueno Mission Indians Chemehuevi Indian Tribe of the Delaware Tribe of Western Oklahoma of the Inaja and Cosmit Reservation, Chemehuevi Reservation, California Devils Lake Sioux Tribe of the Devils California Cher-Ae Heights Indian Community of Lake Sioux Reservation, North Dakota Ione Band of Miwok Indians of the Trinidad Rancheria, California Dry Creek Rancheria of Pomo Indians of California Cherokee Nation of Oklahoma California Iowa Tribe of Kansas and Nebraska Cheyenne-Arapaho Tribes of Oklahoma Duckwater Shoshone Tribe of the Iowa Tribe of Oklahoma Cheyenne River Sioux Tribe of the Duckwater Reservation, Nevada Jackson Rancheria of Me-Wuk Indians of Cheyenne River Reservation, South Eastern Band of Cherokee Indians of California Dakota North Carolina Jamestown Klallam Tribe of Washington Chickasaw Nation of Oklahoma Eastern Shawnee Tribe of Oklahoma Jamul Indian Village of California Chicken Ranch Rancheria of Me-Wuk Elem Indian Colony of Pomo Indians of Jena Band of Choctaw Indians, Indians of California the Sulphur Bank Rancheria, Louisiana Chippewa-Cree Indians of the Rocky California Jicarilla Apache Tribe of the Jicarilla Boy’s Reservation, Montana Elk Valley Rancheria of California Apache Indian Reservation, New Chitimacha Tribe of Louisiana Ely Shoshone Tribe of Nevada Mexico Choctaw Nation of Oklahoma Enterprise Rancheria of Maidu Indians Kaibab Band of Paiute Indians of the Citizen Potawatomi Nation, Oklahoma of California Kaibab Indian Reservation, Arizona Cloverdale Rancheria of Pomo Indians Flandreau Santee Sioux Tribe of South Kalispel Indian Community of the of California Dakota Kalispel Reservation, Washington Coast Indian Community of Yurok Forest County Potawatomi Community Karuk Tribe of California Indians of the Resighini Rancheria, of Wisconsin Potawatomi Indians, Kashia Band of Pomo Indians of the California Wisconsin Stewarts Point Rancheria, California Cocopah Tribe of Arizona Fort Belknap Indian Community of the Kaw Nation, Oklahoma Coeur D’Alene Tribe of the Coeur Fort Belknap Reservation of Montana Keweenaw Bay Indian Community of D’Alene Reservation, Idaho Fort Bidwell Indian Community of L’Anse and Ontonagon Bands of Cold Springs Rancheria of Mono Indians Paiute Indians of the Fort Bidwell Chippewa Indians of the L’Anse of California Reservation, California Reservation, Michigan Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58213

Kialegee Tribal Town of the Creek Minnesota Chippewa Tribe, Minnesota Peoria Tribe of Oklahoma Indian Nation of Oklahoma (Six component reservations: Bois Picayune Rancheria of Chukchansi Kickapoo Tribe of Indians of the Forte Band (Nett Lake); Fond du Lac Indians of California Kickapoo Reservation in Kansas Band; Grand Portage Band; Leech Pinoleville Rancheria of Pomo Indians Kickapoo Tribe of Oklahoma Lake Band; Mille Lacs Band; White of California Kickapoo Traditional Tribe of Texas Earth Band) Pit River Tribe of California (includes Kiowa Indian Tribe of Oklahoma Mississippi Band of Choctaw Indians, Big Bend, Lookout, Montgomery Klamath Indian Tribe of Oregon Mississippi Creek & Roaring Creek Rancherias & Kootenai Tribe of Idaho Moapa Band of Paiute Indians of the XL Ranch) La Jolla Band of Luiseno Mission Moapa River Indian Reservation, Poarch Band of Creek Indians of Indians of the La Jolla Reservation, Nevada Alabama California Modoc Tribe of Oklahoma Pokagon Band of Potawatomi Indians of La Posta Band of Diegueno Mission Mohegan Indian Tribe of Connecticut Michigan Indians of the La Posta Indian Mooretown Rancheria of Maidu Indians Ponca Tribe of Indians of Oklahoma Reservation, California of California Ponca Tribe of Nebraska La Courte Oreilles Band of Lake Morongo Band of Cahuilla Mission Port Gamble Indian Community of the Superior Chippewa Indians of the Lac Indians of the Morongo Reservation, Port Gamble Reservation, Washington Courte Oreilles Reservation of California Potter Valley Rancheria of Pomo Indians Wisconsin Muckleshoot Indian Tribe of the of California Lac du Flambeau Band of Lake Superior Muckleshoot Reservation, Washington Prairie Band of Potawatomi Indians, Chippewa Indians of the Lac du Muscogee (Creek) Nation of Oklahoma Kansas Flambeau Reservation of Wisconsin Narragansett Indian Tribe of Rhode Prairie Island Indian Community of Lac Vieux Desert Band of Lake Superior Island Minnesota Mdewakanton Sioux Chippewa Indians of Michigan Navajo Nation of Arizona, New Mexico Indians of the Prairie Island Las Vegas Tribe of Paiute Indians of the & Utah Reservation, Minnesota Las Vegas Indian Colony, Nevada Nez Perce Tribe of Idaho Pueblo of Acoma, New Mexico Little River Band of Ottawa Indians of Nisqually Indian Tribe of the Nisqually Pueblo of Cochiti, New Mexico Michigan Reservation, Washington Pueblo of Jemez, New Mexico Little Traverse Bay Bands of Odawa Nooksack Indian Tribe of Washington Pueblo of Isleta, New Mexico Indians of Michigan Northern Cheyenne Tribe of the Pueblo of Laguna, New Mexico Los Coyotes Band of Cahuilla Mission Northern Cheyenne Indian Pueblo of Nambe, New Mexico Indians of the Los Coyotes Reservation, Montana Pueblo of Picuris, New Mexico Pueblo of Pojoaque, New Mexico Reservation, California Northfork Rancheria of Mono Indians of Pueblo of San Felipe, New Mexico Lovelock Paiute Tribe of the Lovelock California Indian Colony, Nevada Pueblo of San Juan, New Mexico Northwestern Band of Shoshoni Nation Pueblo of San Ildefonso, New Mexico Lower Brule Sioux Tribe of the Lower of Utah (Washakie) Pueblo of Sandia, New Mexico Brule Reservation, South Dakota Oglala Sioux Tribe of the Pine Ridge Pueblo of Santa Ana, New Mexico Lower Elwha Tribal Community of the Reservation, South Dakota Pueblo of Santa Clara, New Mexico Lower Elwha Reservation, Omaha Tribe of Nebraska Pueblo of Santo Domingo, New Mexico Washington Oneida Nation of New York Pueblo of Taos, New Mexico Lower Sioux Indian Community of Oneida Tribe of Wisconsin Pueblo of Tesuque, New Mexico Minnesota Mdewakanton Sioux Onondaga Nation of New York Pueblo of Zia, New Mexico Indians of the Lower Sioux Osage Nation of Oklahoma Puyallup Tribe of the Puyallup Reservation in Minnesota Ottawa Tribe of Oklahoma Reservation, Washington Lummi Tribe of the Lummi Reservation, Otoe-Missouria Tribe of Indians, Pyramid Lake Paiute Tribe of the Washington Oklahoma Pyramid Lake Reservation, Nevada Lytton Rancheria of California Paiute Indian Tribe of Utah Quapaw Tribe of Oklahoma Makah Indian Tribe of the Makah Indian Paiute-Shoshone Indians of the Bishop Quartz Valley Indian Community of the Reservation, Washington Community of the Bishop Colony, Quartz Valley Reservation of Manchester Band of Pomo Indians of the California California Manchester-Point Arena Rancheria, Paiute-Shoshone Tribe of the Fallon Quechan Tribe of the Fort Yuma Indian California Reservation and Colony, Nevada Reservation, California & Arizona Manzanita Band of Diegueno Mission Paiute-Shoshone Indians of the Lone Quileute Tribe of the Quileute Indians of the Manzanita Reservation, Pine Community of the Lone Pine Reservation, Washington California Reservation, California Quinault Tribe of the Quinault Mashantucket Pequot Tribe of Pala Band of Luiseno Mission Indians of Reservation, Washington Connecticut the Pala Reservation, California Ramona Band or Village of Cahuilla Mechoopda Indian Tribe of Chico Pascua Yaqui Tribe of Arizona Mission Indians of California Rancheria, California Paskenta Band of Nomlaki Indians of Red Cliff Band of Lake Superior Menominee Indian Tribe of Wisconsin California Chippewa Indians of Wisconsin Mesa Grande Band of Diegueno Mission Passamaquoddy Tribe of Maine Red Lake Band of Chippewa Indians of Indians of the Mesa Grande Pauma Band of Luiseno Mission Indians the Red Lake Reservation, Minnesota Reservation, California of the Pauma & Yuima Reservation, Redding Rancheria of California Mescalero Apache Tribe of the California Redwood Valley Rancheria of Pomo Mescalero Reservation, New Mexico Pawnee Indian Tribe of Oklahoma Indians of California Miami Tribe of Oklahoma Pechanga Band of Luiseno Mission Reno-Sparks Indian Colony, Nevada Miccosukee Tribe of Indians of Florida Indians of the Pechanga Reservation, Rincon Band of Luiseno Mission Middletown Rancheria of Pomo Indians California Indians of the Rincon Reservation, of California Penobscot Tribe of Maine California 58214 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Robinson Rancheria of Pomo Indians of Shoshone-Paiute Tribes of the Duck Tuscarora Nation of New York California Valley Reservation, Nevada Twenty-Nine Palms Band of Luiseno Rosebud Sioux Tribe of the Rosebud Sisseton-Wahpeton Sioux Tribe of the Mission Indians of California Indian Reservation, South Dakota Lake Traverse Reservation, South United Auburn Indian Community of Round Valley Indian Tribes of the Dakota the Auburn Rancheria of California Round Valley Reservation, California Skokomish Indian Tribe of the United Keetoowah Band of Cherokee (formerly known as the Covelo Indian Skokomish Reservation, Washington Indians of Oklahoma Community) Skull Valley Band of Goshute Indians of Upper Lake Band of Pomo Indians of Rumsey Indian Rancheria of Wintun Utah Upper Lake Rancheria of California Indians of California Smith River Rancheria of California Upper Sioux Indian Community of the Sac & Fox Tribe of the Mississippi in Soboba Band of Luiseno Mission Upper Sioux Reservation, Minnesota Iowa Indians of the Soboba Reservation, Upper Skagit Indian Tribe of Sac & Fox Nation of Missouri in Kansas California Washington and Nebraska Sokaogon Chippewa Community of the Ute Indian Tribe of the Uintah & Ouray Sac & Fox Nation, Oklahoma Mole Lake Band of Chippewa Indians, Reservation, Utah Saginaw Chippewa Indian Tribe of Wisconsin Ute Mountain Tribe of the Ute Mountain Michigan, Isabella Reservation Southern Ute Indian Tribe of the Reservation, Colorado, New Mexico & Salt River Pima-Maricopa Indian Southern Ute Reservation, Colorado Utah Community of the Salt River Spokane Tribe of the Spokane Utu Utu Gwaitu Paiute Tribe of the Reservation, Arizona Reservation, Washington Benton Paiute Reservation, California Samish Indian Tribe Squaxin Island Tribe of the Squaxin Walker River Paiute Tribe of the Walker San Carlos Apache Tribe of the San Island Reservation, Washington River Reservation, Nevada Carlos Reservation, Arizona St. Croix Chippewa Indians of Wampanoag Tribe of Gay Head San Juan Southern Paiute Tribe of Wisconsin, St. Croix Reservation (Aquinnah) of Massachusetts Arizona St. Regis Band of Mohawk Indians of Washoe Tribe of Nevada & California San Manual Band of Serrano Mission New York (Carson Colony, Dresslerville & Indians of the San Manual Standing Rock Sioux Tribe of North & Washoe Ranches) Reservation, California South Dakota White Mountain Apache Tribe of the San Pasqual Band of Diegueno Mission Stockbridge-Munsee Community of Fort Apache Reservation, Arizona Indians of California Mohican Indians of Wisconsin Wichita and Affiliated Tribes (Wichita, Santa Rosa Indian Community of the Stillaguamish Tribe of Washington Keechi, Waco & Tawakonie), Santa Rosa Rancheria, California Summit Lake Paiute Tribe of Nevada Oklahoma Santa Rosa Band of Cahuilla Mission Suquamish Indian Tribe of the Port Winnebago Tribe of Nebraska Indians of the Santa Rosa Reservation, Madison Reservation, Washington Winnemucca Indian Colony of Nevada California Susanville Indian Rancheria of Paiute, Wyandotte Tribe of Oklahoma Santa Ynez Band of Chumash Mission Maidu, Pit River & Washoe Indians of Yankton Sioux Tribe of South Dakota Indians of the Santa Ynez California Yavapai-Apache Nation of the Camp Reservation, California Swinomish Indians of the Swinomish Verde Indian Reservation, Arizona Santa Ysabel Band of Diegueno Mission Reservation, Washington Yavapai-Prescott Tribe of the Yavapai Indians of the Santa Ysabel Sycuan Band of Diegueno Mission Reservation, Arizona Reservation, California Indians of California Yerington Paiute Tribe of the Yerington Santee Sioux Tribe of the Santee Table Bluff Rancheria of Wiyot Indians Colony & Campbell Ranch, Nevada Reservation of Nebraska of California Yomba Shoshone Tribe of the Yomba Sauk-Suiattle Indian Tribe of Table Mountain Rancheria of California Reservation, Nevada Washington Te-Moak Tribes of Western Shoshone Ysleta Del Sur Pueblo of Texas Sault Ste. Marie Tribe of Chippewa Indians of Nevada Yurok Tribe of the Yurok Reservation, Indians of Michigan Thlopthlocco Tribal Town of the Creek California Scotts Valley Band of Pomo Indians of Nation of Oklahoma Zuni Tribe of the Zuni Reservation, New California Three Affiliated Tribes of the Fort Mexico Seminole Nation of Oklahoma Berthold Reservation, North Dakota Seminole Tribe of Florida, Dania, Big Tohono O’odham Nation of Arizona Native Entities Within the State of Cypress & Brighton Reservations (formerly known as the Papago Tribe Alaska Recognized and Eligible To Seneca Nation of New York of the Sells, Gila Bend & San Xavier Receive Services From the United Seneca-Cayuga Tribe of Oklahoma Reservation, Arizona) States Bureau of Indian Affairs Shakopee Mdewakanton Sioux Tonawanda Band of Seneca Indians of Village of Afognak Community of Minnesota (Prior Lake) New York Native Village of Akhiok Sheep Ranch Rancheria of Me-Wuk Tonkawa Tribe of Indians of Oklahoma Akiachak Native Community Indians of California Tonto Apache Tribe of Arizona Akiak Native Community Sherwood Valley Rancheria of Pomo Torres-Martinez Band of Cahuilla Native Village of Akutan Indians of California Mission Indians of California Village of Alakanuk Shingle Springs Band of Miwok Indians, Tule River Indian Tribe of the Tule Alatna Village Shingle Springs Rancheria (Verona River Reservation, California Native Village of Aleknagik Tract), California Tulalip Tribes of the Tulalip Algaaciq Native Village (St. Mary’s) Shoalwater Bay Tribe of the Shoalwater Reservation, Washington Allakaket Village Bay Indian Reservation, Washington Tunica-Biloxi Indian Tribe of Louisiana Native Village of Ambler Shoshone Tribe of the Wind River Tuolumne Band of Me-Wuk Indians of Village of Anaktuvuk Pass Reservation, Wyoming the Tuolumne Rancheria of California Yupiit of Andreafski Shoshone-Bannock Tribes of the Fort Turtle Mountain Band of Chippewa Angoon Community Association Hall Reservation of Idaho Indians of North Dakota Village of Aniak Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58215

Anvik Village Village of Iliamna Nondalton Village Arctic Village (See Native Village of Inupiat Community of the Arctic Slope Noorvik Native Community Venetie Tribal Government) Native Ivanoff Bay Village Northway Village Village of Atka Kaguyak Village Native Village of Nuiqsut (aka Nooiksut) Atqasuk Village (Atkasook) Organized Village of Kake Nulato Village Village of Atmautluak Kaktovik Village (aka Barter Island) Native Village of Nunapitchuk Native Village of Barrow Village of Kalskag Village of Ohogamiut Beaver Village Village of Kaltag Village of Old Harbor Native Village of Belkofski Native Village of Kanatak Orutsararmuit Native Village (aka Village of Bill Moore’s Slough Native Village of Karluk Bethel) Birch Creek Village Organized Village of Kasaan Oscarville Traditional Village Native Village of Brevig Mission Native Village of Kasigluk Native Village of Ouzinkie Native Village of Buckland Kenaitze Indian Tribe Native Village of Paimiut Native Village of Cantwell Ketchikan Indian Corporation Pauloff Harbor Village Native Village of Chanega (aka Chenega) Native Village of Kiana Pedro Bay Village Chalkyitsik Village Agdaagux Tribe of King Cove Native Village of Perryville Village of Chefornak King Island Native Community Petersburg Indian Association Chevak Native Village Native Village of Kipnuk Native Village of Pilot Point Chickaloon Native Village Native Village of Kivalina Pilot Station Traditional Village Native Village of Chignik Klawock Cooperative Association Native Village of Pitka’s Point Native Village of Chignik Lagoon Native Village of Kluti Kaah (aka Copper Platinum Traditional Village Chignik Lake Village Center) Native Village of Point Hope Chilkat Indian Village (Kluckwan) Knik Tribe Native Village of Point Lay Chilkoot Indian Association (Haines) Native Village of Kobuk Native Village of Port Graham Chinik Eskimo Community (Golovin) Kokhanok Village Native Village of Port Heiden Native Village of Chistochina Koliganek Village Native Village of Port Lions Native Village of Chitina Native Village of Kongiganak Portage Creek Village (aka Ohgsenakale) Native Village of Chuatbaluk (Russian Village of Kotlik Pribilof Islands Aleut Communities of Mission, Kuskokwim) Native Village of Kotzebue St. Paul & St. George Islands Chuloonawick Native Village Native Village of Koyuk Qagan Toyagungin Tribe of Sand Point Circle Native Community Koyukuk Native Village Village Village of Clarks’s Point Organized Village of Kwethluk Rampart Village Native Village of Council Native Village of Kwigillingok Village of Red Devil Craig Community Association Native Village of Kwinhagak (aka Native Village of Ruby Village of Crooked Creek Quinhagak) Native Village of Russian Mission Native Village of Deering Native Village of Larsen Bay (Yukon) Native Village of Dillingham Levelock Village Village of Salamatoff Native Village of Diomede (aka Inalik) Lesnoi Village (aka Woody Island) Organized Village of Saxman Village of Dot Lake Lime Village Native Village of Savoonga Douglas Indian Association Village of Lower Kalskag Saint George (See Pribilof Islands Aleut Native Village of Eagle Manley Hot Springs Village Communities of St. Paul & St. George Native Village of Eek Manokotak Village Islands) Egegik Village Native Village of Marshall (aka Fortuna Native Village of Saint Michael Eklutna Native Village Ledge) Saint Paul (See Pribilof Islands Aleut Native Village of Ekuk Native Village of Mary’s Igloo Communities of St. Paul & St. George Ekwok Village McGrath Native Village Islands) Native Village of Elim Native Village of Mekoryuk Native Village of Scammon Bay Emmonak Village Mentasta Lake Village Native Village of Selawik Evansville Village (aka Bettles Field) Metlakatla Indian Community, Annette Seldovia Village Tribe Native Village of Eyak (Cordova) Island Reserve Shageluk Native Village Native Village of False Pass Native Village of Minto Native Village of Shaktoolik Native Village of Fort Yukon Native Village of Mountain Village Native Village of Sheldon’s Point Native Village of Gakona Naknek Native Village Native Village of Shishmaref Galena Village (aka Louden Village) Native Village of Nanwalek (aka English Native Village of Shungnak Native Village of Gambell Bay) Sitka Tribe of Alaska Native Village of Georgetown Native Village of Napaimute Skagway Village Native Village of Goodnews Bay Native Village of Napakiak Village of Sleetmute Organized Village of Grayling (aka Native Village of Napaskiak Village of Solomon Holikachuk) Native Village of Nelson Lagoon South Naknek Village Gulkana Village Nenana Native Association Stebbins Community Association Native Village of Hamilton New Stuyahok Village Native Village of Stevens Healy Lake Village Newhalen Village Village of Stony River Holy Cross Village Newtok Village Takotna Village Hoonah Indian Association Native Village of Nightmute Native Village of Tanacross Native Village of Hooper Bay Nikolai Village Native Village of Tanana Hughes Village Native Village of Nikolski Native Village of Tatitlek Huslia Village Ninilchik Village Native Village of Tazlina Hydaburg Cooperative Association Native Village of Noatak Telida Village Igiugig Village Nome Eskimo Community Native Village of Teller 58216 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Native Village of Tetlin INTERNATIONAL TRADE Bridge, LA, alleging that an industry in Central Council of the Tlingit & Haida COMMISSION the United States is materially injured by reason of LTFV imports of crawfish Indian Tribes [Investigation No. 731±TA±752 (Preliminary)] tail meat from China. Accordingly, Traditional Village of Togiak effective September 20, 1996, the Native Village of Toksook Bay Crawfish Tail Meat From China; Import Commission instituted antidumping Tuluksak Native Community Investigation investigation No. 731–TA–752 (Preliminary). Native Village of Tuntutuliak Determination Notice of the institution of the Native Village of Tununak On the basis of the record 1 developed Commission’s investigation and of a public conference to be held in Twin Hills Village in the subject investigation, the Commission determines, pursuant to connection therewith was given by Native Village of Tyonek section 733(a) of the Tariff Act of 1930 posting copies of the notice in the Office Ugashik Village (19 U.S.C. § 1673b(a)), that there is a of the Secretary, U.S. International Trade Commission, Washington, DC, Umkumiute Native Village reasonable indication that an industry in the United States is materially and by publishing the notice in the Native Village of Unalakleet injured by reason of imports from China Federal Register of September 27, 1996 Qawalingin Tribe of Unalaska of crawfish tail meat, provided for in (61 FR 50868). The conference was held in Washington, DC, on October 11, Native Village of Unga subheadings 0306.19.00 and 0306.29.00 of the Harmonized Tariff Schedule of 1996, and all persons who requested the Village of Venetie (See Native Village of the United States, that are alleged to be opportunity were permitted to appear in Venetie Tribal Government) sold in the United States at less than fair person or by counsel. Native Village of Venetie Tribal value (LTFV). The Commission transmitted its Government (Arctic Village and determination in this investigation to Village of Venetie) Commencement of Final Phase the Secretary of Commerce on Investigation November 4, 1996. The views of the Village of Wainwright Pursuant to section 207.18 of the Commission are contained in USITC Native Village of Wales Commission’s rules, as amended in 61 Publication 3002 (November 1996), Native Village of White Mountain FR 37818 (July 22, 1996), the entitled ‘‘Crawfish Tail Meat from China: Investigation No. 731–TA–752 Wrangell Cooperative Association Commission also gives notice of the commencement of the final phase of its (Preliminary).’’ Yakutat Tlingit Tribe investigation. The Commission will Issued: November 7, 1996. Dated: November 4, 1996. issue a final phase notice of scheduling By order of the Commission. Ada E. Deer, which will be published in the Federal Donna R. Koehnke, Register as provided in section 207.21 Assistant Secretary—Indian Affairs. Secretary. of the Commission’s rules upon notice [FR Doc. 96–29053 Filed 11–12–96; 8:45 am] [FR Doc. 96–28935 Filed 11–12–96; 8:45 am] from the Department of Commerce BILLING CODE 7020±02±P BILLING CODE 4310±4J±P (Commerce) of an affirmative preliminary determination in the investigation under section 733(b) of the [Investigations Nos. 731±TA±753±756 Bureau of Land Management Act, or, if the preliminary determination (Preliminary)] is negative, upon notice of an Cut-to-length Carbon Steel Plate From [OR±958±1430±01; GP7±0007; OR±50856] affirmative final determination in that China, Russia, South Africa, and investigation under section 735(a) of the Ukraine; Antidumping Investigation Public Land Order No. 7215; Act. Parties that filed entries of Withdrawal for the Pacific Ocean appearance in the preliminary phase of AGENCY: United States International Coastline; Oregon; Correction the investigation need not enter a Trade Commission. separate appearance for the final phase ACTION: Institution of antidumping AGENCY: Bureau of Land Management, of the investigation. Industrial users, investigations and scheduling of Interior. and, if the merchandise under preliminary phase investigations. ACTION: Correction. investigation is sold at the retail level, representative consumer organizations SUMMARY: The Commission hereby gives have the right to appear as parties in notice of the institution of investigations SUMMARY: In Public Land Order No. Commission antidumping and and commencement of preliminary 7215, 61 FR 47954–55, published countervailing duty investigations. The phase antidumping Investigations Nos. September 11, 1996, as FR Doc. 96– Secretary will prepare a public service 731–TA–753–756 (Preliminary) under 23248, make the following correction: list containing the names and addresses section 733(a) of the Tariff Act of 1930 On page 47954, the heading which of all persons, or their representatives, (19 U.S.C. 1673b(a)) (the Act) to reads ‘‘Proposed Withdrawal for the who are parties to the investigation. determine whether there is a reasonable Pacific Ocean Coastline’’, is hereby indication that an industry in the Background corrected to read ‘‘Withdrawal for the United States is materially injured or Pacific Ocean Coastline, Oregon.’’ On September 20, 1996, a petition threatened with material injury, or the was filed with the Commission and the establishment of an industry in the Robert D. DeViney, Jr., Department of Commerce by the United States is materially retarded, by Chief, Branch of Realty and Records Services, Crawfish Processors Alliance, Breaux reason of imports of cut-to-length Oregon/Washington. carbon steel plate 1 from China, Russia, [FR Doc. 96–28946 Filed 11–12–96; 8:45 am] 1 The record is defined in sec. 207.2(f) of the BILLING CODE 4310±33±P Commission’s Rules of Practice and Procedure (19 1 For the purpose of these investigations, cut-to- CFR § 207.2(f)). length carbon steel plate is defined as hot-rolled Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58217

South Africa, and Ukraine provided for Co., Provo, UT, and Gulf States Steel, request permission to present a short in provisions of headings 7208 through Inc., Gadsden, AL. statement at the conference. 7212 of the Harmonized Tariff Schedule Participation in the Investigations and Written Submissions of the United States, that are alleged to Public Service List be sold in the United States at less than As provided in sections 201.8 and fair value. Unless the Department of Persons (other than petitioners) 207.15 of the Commission’s rules, any Commerce extends the time for wishing to participate in the person may submit to the Commission initiation pursuant to section investigations as parties must file an on or before December 2, 1996, a written 732(c)(1)(B) of the Act (19 U.S.C. entry of appearance with the Secretary brief containing information and 1673a(c)(1)(B)), the Commission must to the Commission, as provided in arguments pertinent to the subject reach a preliminary determination in sections 201.11 and 207.10 of the matter of the investigations. Parties may antidumping investigations in 45 days, Commission’s rules, not later than seven file written testimony in connection or in this case by December 20, 1996. days after publication of this notice in with their presentation at the conference The Commission’s views are due at the the Federal Register. Industrial users no later than three days before the Department of Commerce within five and (if the merchandise under conference. If briefs or written business days thereafter, or by investigation is sold at the retail level) testimony contain BPI, they must December 30, 1996. representative consumer organizations conform with the requirements of For further information concerning have the right to appear as parties in sections 201.6, 207.3, and 207.7 of the the conduct of these investigations and Commission antidumping Commission’s rules. rules of general application, consult the investigations. The Secretary will In accordance with sections 201.16(c) Commission’s Rules of Practice and prepare a public service list containing and 207.3 of the rules, each document Procedure, part 201, subparts A through the names and addresses of all persons, filed by a party to the investigations E (19 CFR part 201), and part 207, or their representatives, who are parties must be served on all other parties to subparts A and B (19 CFR part 207), as to these investigations upon the the investigations (as identified by amended in 61 FR 37818 (July 22, 1996). expiration of the period for filing entries either the public or BPI service list), and EFFECTIVE DATE: November 5, 1996. of appearance. a certificate of service must be timely filed. The Secretary will not accept a FOR FURTHER INFORMATION CONTACT: Limited Disclosure of Business Douglas Corkran (202–205–3177), Office document for filing without a certificate Proprietary Information (BPI) Under an of service. of Investigations, U.S. International Administrative Protective Order (APO) Trade Commission, 500 E Street SW., and BPI Service List Authority: These investigations are being Washington, DC 20436. Hearing- conducted under authority of title VII of the impaired persons can obtain Pursuant to section 207.7(a) of the Tariff Act of 1930; this notice is published information on this matter by contacting Commission’s rules, the Secretary will pursuant to section 207.12 of the the Commission’s TDD terminal on 202– make BPI gathered in these Commission’s rules. 205–1810. Persons with mobility investigations available to authorized Issued: November 7, 1996. impairments who will need special applicants representing interested By order of the Commission. assistance in gaining access to the parties (as defined in 19 U.S.C. Donna R. Koehnke, Commission should contact the Office § 1677(9)) who are parties to the Secretary. of the Secretary at 202–205–2000. investigations under the APO issued in [FR Doc. 96–29046 Filed 11–12–96; 8:45 am] General information concerning the the investigations, provided that the BILLING CODE 7020±02±P Commission may also be obtained by application is made not later than seven accessing its internet server (http:// days after the publication of this notice www.usitc.gov or ftp://ftp.usitc.gov). in the Federal Register. A separate [Investigation No. 731±TA±747 (Final)] service list will be maintained by the SUPPLEMENTARY INFORMATION: Fresh Tomatoes From Mexico; Secretary for those parties authorized to Investigation Suspension Background receive BPI under the APO. These investigations are being Conference AGENCY: United States International instituted in response to a petition filed Trade Commission. on November 5, 1996, by Geneva Steel The Commission’s Director of ACTION: Suspension of investigation. Operations has scheduled a conference iron and nonalloy steel universal mill plates (i.e., in connection with these investigations SUMMARY: On November 1, 1996, the flat-rolled products rolled on four faces or in a for 9:30 a.m. on November 26, 1996, at United States Department of Commerce closed box pass, of a width exceeding 150 mm but the U.S. International Trade published notice of a preliminary not exceeding 1,250 mm and of a thickness of not less than 4 mm, not in coils and without patterns Commission Building, 500 E Street SW., determination of sales at less than fair in relief), of rectangular shape, neither clad, plated Washington, DC. Parties wishing to value (61 FR 56608) and a suspension nor coated with metal, and whether or not painted, participate in the conference should of its antidumping investigation (61 FR varnished, or coated with plastics or other contact Douglas Corkran (202–205– 56618) of fresh tomatoes from Mexico. nonmetallic substances; and certain iron and nonalloy steel flat-rolled products not in coils, of 3177) not later than November 21, 1996, The basis for the suspension is an rectangular shape, hot-rolled, neither clad, plated, to arrange for their appearance. Parties agreement between Commerce and nor coated with metal, and whether or not painted, in support of the imposition of producers/exporters accounting for varnished, or coated with plastics or other antidumping duties in these substantially all imports of fresh nonmetallic substances, 4.75 mm or more in thickness and of a width which exceeds 150 mm investigations and parties in opposition tomatoes from Mexico wherein each and measures at least twice the thickness. Included to the imposition of such duties will signatory producer/exporter has agreed in this definition are flat-rolled products of each be collectively allocated one hour to revise its prices to eliminate nonrectangular cross-section where such cross- within which to make an oral completely the injurious effects of section is achieved subsequent to the rolling process (i.e., products which have been ‘‘worked presentation at the conference. A exports of this merchandise to the after rolling’’)—for example, products which have nonparty who has testimony that may United States. Accordingly, the United been bevelled or rounded at the edges. aid the Commission’s deliberations may States International Trade Commission 58218 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices gives notice of the suspension of its [Inv. No. 337±TA±386] On October 15, 1996, the ALJ issued antidumping investigation involving an ID (Order No. 7) granting the joint imports from Mexico of fresh tomatoes,1 Certain Global Positioning System motion to terminate the investigation on Coarse Acquisition Code Receivers provided for in subheadings 0702.00.20, the basis of a settlement agreement. No and Products Containing Same; Notice 0702.00.40, 0702.00.60, and 9906.07.01 petitions for review were filed. of Commission Determination Not To through 9906.07.09 of the Harmonized This action is taken under the Review an Initial Determination Tariff Schedule of the United States. authority of section 337 of the Tariff Act Terminating the Investigation on the of 1930, 19 U.S.C. 1337, and section EFFECTIVE DATE: November 1, 1996. Basis of a Settlement Agreement 210.42(h)(3) of the Commission’s Rules FOR FURTHER INFORMATION CONTACT: AGENCY: U.S. International Trade of Practice and Procedure, 19 C.F.R. Douglas Corkran (202–205–3177), Office Commission. 210.42(h)(3). of Investigations, U.S. International Copies of the public version of the ACTION: Notice. Trade Commission, 500 E Street SW., ALJ’s ID, and all other nonconfidential documents filed in connection with this Washington, DC 20436. Hearing- SUMMARY: Notice is hereby given that investigation are or will be available for impaired individuals are advised that the U.S. International Trade inspection during official business information on this matter can be Commission has determined not to hours (8:45 a.m. to 5:15 p.m.) in the obtained by contacting the review the presiding administrative law Office of the Secretary, U.S. Commission’s TDD terminal on 202– judge’s (ALJ’s) initial determination (ID) International Trade Commission, 500 E 205–1810. Persons with mobility in the above-captioned investigation Street S.W., Washington, D.C. 20436, impairments who will need special terminating the investigation on the telephone 202–205–2000. Hearing- assistance in gaining access to the basis of a settlement agreement. impaired persons are advised that Commission should contact the Office FOR FURTHER INFORMATION CONTACT: Jean information on the matter can be of the Secretary at 202–205–2000. Jackson, Esq., Office of the General obtained by contacting the General information concerning the Counsel, U.S. International Trade Commission’s TDD terminal on 202– Commission may also be obtained by Commission, telephone 202–205–3104. 205–1810. accessing its internet server (http:// SUPPLEMENTARY INFORMATION: On March www.usitc.gov or ftp://ftp.usitc.gov). Issued: November 1, 1996. 28, 1996, the Commission instituted an By order of the Commission. investigation based on a complaint filed Authority: This investigation is being Donna R. Koehnke, suspended under authority of title VII of the by Trimble Navigation (Trimble) Secretary. Tariff Act of 1930; this notice is published alleging violations of section 337 of the pursuant to section 207.40 of the Tariff Act of 1930 in the importation [FR Doc. 96–29052 Filed 11–12–96; 8:45 am] Commission’s rules (19 CFR § 207.40). and sale of certain global positioning BILLING CODE 7020±02±P Issued: November 5, 1996. system (GPS) code receivers by reason By order of the Commission. of infringement of claims 1 and 7 of U.S. Letters Patent 4,754,465 (the ‘465 DEPARTMENT OF LABOR Donna R. Koehnke, patent). 61 FR 13876. NovAtel Secretary. Communications Ltd., of Canada was Office of the Secretary [FR Doc. 96–29051 Filed 11–12–96; 8:45 am] the only respondent named in either Submission for OMB Review; BILLING CODE 7020±02±P Trimble’s complaint or the Comment Request Commission’s notice of investigation. On May 8, 1996, Trimble filed a November 7, 1996. 1 The products covered by this investigation are motion to add Harris Canada, Inc. The Department of Labor (DOL) has all fresh or chilled tomatoes (fresh tomatoes) except (Harris) as a respondent to the submitted the following public for cocktail tomatoes and those tomatoes which are investigation. That motion was granted information collection requests (ICRs) to for processing. For purposes of this investigation, in an ID issued on July 3, 1996. the Office of Management and Budget cocktail tomatoes are greenhouse-grown tomatoes, On July 18, 1996, while the ID adding (OMB) for review and approval in generally larger than cherry tomatoes and smaller Harris as a new respondent was pending accordance with the Paperwork than roma or common round tomatoes, and are before the Commission, Trimble and Reduction Act of 1995 (Pub. L. 104–13, harvested and packaged on-the-vine for retail sale. For purposes of this investigation, processing is NovAtel filed a joint motion to 44 U.S.C. Chapter 35). A copy of this defined to include preserving by any commercial terminate the investigation based on a individual ICR, with applicable process, such as canning, dehydrating, drying or the settlement agreement. On July 25, 1996, supporting documentation, may be addition of chemical substances, or converting the the Commission determined not to obtained by calling the Department of tomato product into juices, sauces or purees. review the ID adding Harris as a Labor Acting Departmental Clearance Further, imports of fresh tomatoes for processing respondent. On July 29, 1996, the Officer, Theresa M. O’Malley (202 219– are accompanied by an ‘‘Importer’s Exempt Commission investigative attorney (IA) 5096 x 166). Individuals who use a Commodity Form’’ (FV–6) (within the meaning of 7 C.F.R. section 980.501(a)(2) and 980.212(I)). Fresh filed a response in support of the joint telecommunications device for the deaf tomatoes that are imported for cutting up, not motion to terminate conditioned upon (TTY/TDD) may call 202 219–4720 further processed (e.g., tomatoes used in the the subscription of newly-added between 9:00 a.m. and 12:00 p.m. preparation of fresh salsa or salad bars), and not respondent Harris to the settlement Eastern time, Monday through Friday. accompanied by an FV–6 form are covered by the agreement and joint motion and the Comments should be sent to Office of scope of this investigation. filing of a public version of the Information and Regulatory Affairs, All commercially-grown tomatoes sold in the settlement agreement. On August 5, Attn: OMB Desk Officer for the Bureau United States, both for the fresh market and for 1996, Trimble, NovAtel and Harris filed of Labor Statistics, Office of processing, are classified as Lycopersicon esculentum. Important commercial varieties of fresh a reply to the IA’s response, which Management and Budget, Room 10235, tomatoes include common round, cherry, plum, and stated that respondent Harris joined in Washington, DC 20503 (202 295–7316), pear tomatoes, all of which, with the exception of the request to terminate the within 30 days from the date of this cocktail tomatoes, are covered by this investigation. investigation. publication in the Federal Register. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58219

The OMB is particularly interested in summaries of determinations regarding The investigation revealed that comments which: eligibility to apply for trade adjustment criteria (2) and criteria (3) have not been • evaluate whether the proposed assistance for workers (TA–W) issued met. Sales or production did not decline collection of information is necessary during the period of October and during the relevant period as required for the proper performance of the November, 1996. for certification. Increases of imports of functions of the agency, including In order for an affirmative articles like or directly competitive with whether the information will have determination to be made and a articles produced by the firm or practical utility; certification of eligibility to apply for appropriate subdivision have not • evaluate the accuracy of the worker adjustment assistance to be contributed importantly to the agency’s estimate of the burden of the issued, each of the group eligibility separations or threat thereof, and the proposed collection of information, requirements of Section 222 of the Act absolute decline in sales or production. including the validity of the must be met. TA–W–32,840; Trinity Industries, Inc., methodology and assumptions used; (1) That a significant number or New London, MN • enhance the quality, utility, and proportion of the workers in the The predominate reason for the clarity of the information to be workers’ firm, or an appropriate workers layoffs was a decision by collected; and subdivision thereof, have become totally Trinity Industries to consolidate the • minimize the burden of the or partially separated, firm’s production to another affiliate in collection of information on those who (2) That sales or production, or both, the US. are to respond, including through the of the firm or subdivision have use of appropriate automated, decreased absolutely, and Affirmative Determinations for Worker electronic, mechanical, or other (3) That increases of imports of Adjustment Assistance technological collection techniques or articles like or directly competitive with The following certifications have been other forms of information technology, articles produced by the firm or issued; the date following the company e.g., permitting electronic submission of appropriate subdivision have name & location for each determination responses. contributed importantly to the references the impact date for all Agency: Bureau of Labor Statistics. separations, or threat thereof, and to the workers for such determination. Title: National Longitudinal Survey of absolute decline in sales or production. TA–W–32,706; Anderson Proffitt, Women. Negative Determinations for Worker Apparel, Sparta, TN: August 21, OMB Number: 1220–0110. Adjustment Assistance 1995. Frequency: Biennially. TA–W–32,711; Fender Musical In each of the following cases the Affected Public: Individuals or Instruments, Inc., Lake Oswego, OR: investigation revealed that criterion (3) households. August 26, 1995. Number of Respondents: 7,221. has not been met. A survey of customers TA–W–32,717; Andin International, Estimated Time Per Respondent: indicated that increased imports did not Inc., New York, NY: August 29, Total Burden Hours: 7,762. contribute importantly to worker 1996. Total Annualized capital/startup separations at the firm. TA–W–32,768; Burlington Industries, costs: 0. TA–W–32,784; A.P. Green Industries, Menswear Div., Forest City, NC: Total annual costs (operating/ Inc., Rockdale, IL September 13, 1995. maintaining systems or purchasing TA–W–32,703; Niagara Cutter, Inc., TA–W–32,788; Tyrone Apparel services): 0. North Tonawanda, NY Manufacturing USA, Inc., Tyrone, Description: The Department of Labor TA–W–32,682; BASF Corp., Graphics PA: September 13, 1995. will use this information to help Group, Holland, MI & Operating at TA–W–32,849; Fruit of The Loom understand and explain the the Following Locations: A; (Including Annex), Campbellsville, employment activities, unemployment Warsaw, IL, B; Salem, IL, C; Willard, KY: October 8, 1995. problems, and retirement decisions of OH, D; Nashville, TN, E; Brunswick, TA–W–32,802; Matsushita Electric Corp. two groups of women: those aged 43–53 OH, F; Louisville, KY, G; of America, Matsushita Logistics and those aged 60–74. The 43–53 year Crawfordsville, IN, H; Dyersburg, Co., Fort Worth, TX: September 13, old women were 14–24 years of age TN 1995. when they were first interviewed in In the following cases, the TA–W–32,718 & A,B; The Olga Co., Div. 1968. The 60–74 year old women were investigation revealed that the criteria of Warnaco, Inc., Fillmore, CA, 30–44 years of age when they were first for eligibility have not been met for the Santa Paula, CA and Commerce, interviewed in 1967. reasons specified. CA: July 16, 1995. Theresa M. O’Malley, TA–W–32,676; NOWSCO, Midland, TX TA–W–32,820; Mercury Industries, Inc., Acting Departmental Clearance Officer. TA–W–32,751; Detroit Gasket, Div of Fayetteville, NC: September 27, [FR Doc. 96–29065 Filed 11–12–96; 8:45 am] Indian Head Industries, Alcoa, TN 1995. TA–W–32,777; P. Clayman & Sons, Inc., Increased imports did not contribute BILLING CODE 4510±24±M St. Louis, MO: September 13, 1995. importantly to worker separations at the TA–W–32,753; JPS Converter & firm. Industrial Corp., A Subsidiary of Employment and Training TA–W–32,825; Arco Pipe Line Co., JPS Textile, Inc., Greenville, SC: Administration Independence, KS September 3, 1995. The workers firm does not produce an Notice of Determinations Regarding TA–W–32,746; Wolverine International, article as required for certification under Eligibility To Apply for Worker Inc., Bay City, MI: August 29, 1995. Section 222 of the Trade Act of 1974. Adjustment Assistance and NAFTA TA–W–32,739; Mission Plastic of Transitional Adjustment Assistance TA–W–32,704; Temple Inland Forest DeQueen, AR: August 29, 1995. Products Corp., Eastex Div., TA–W–32,803; Monon Corp., Monon, In accordance with Section 223 of the Evandale, TX IN: October 7, 1995. Trade Act of 1974, as amended, the TA–W–32,699; Menominee Paper Co., Also, pursuant to Title V of the North Department of Labor herein presents Menominee, MI American Free Trade Agreement 58220 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Implementation Act (P.L. 103–182) NAFTA–TAA–01242; Tyrone Apparel inspection in Room C–4318, U.S. concerning transitional adjustment Manufacturing USA, Inc., Tyrone, Department of Labor, 200 Constitution assistance hereinafter called (NAFTA– PA Avenue, NW., Washington, DC 20210 TAA) and in accordance with Section NAFTA–TAA–0151; Saldan Bindery, during normal business hours or will be 250(a) Subchapter D, Chapter 2, Title II, Inc., Abaca Products, Brooklyn, NY mailed to persons who write to the of the Trade Act as amended, the NAFTA–TAA–01205; Lucent above address. Department of Labor presents Technologies, Custom Dated: November 4, 1996. Manufacturing Services (CMS) Unit, summaries of determinations regarding Russell T. Kile, eligibility to apply for NAFTA–TAA Little Rock, AR NAFTA–TAA–01245; OPTO Program Manager, Policy & Reemployment issued during the month of October and Services, Office of Trade Adjustment November, 1996. Technology, Inc., Platteville, WI Assistance. NAFTA–TAA–01225; W.W. Henry, Inc., In order for an affirmative [FR Doc. 96–29060 Filed 11–12–96; 8:45 am] South River, NJ determination to be made and a BILLING CODE 4510±30±M certification of eligibility to apply for NAFTA–TAA–01237; Burlington NAFTA–TAA the following group Industrial, Inc., Burlington eligibility requirements of Section 250 Menswear, (J.C. Cowan Plant), [TA±W±32,133] of the Trade Act must be met: Forest City, NC Rau Fastener Company, LLC, (1) That a significant number or NAFTA–TAA–01263; Mueller Co., Providence, RI; Dismissal of proportion of the workers in the Decatur Plant, Decatur, IL Application for Reconsideration workers’ firm, or an appropriate NAFTA–TAA–01252; F K Apparel, Inc., Charlotte, NC subdivision thereof, (including workers Pursuant to 29 CFR 90.18(C) an NAFTA–TAA–01253; Weyerhaeuser Co., in any agricultural firm or appropriate application for administrative Klamath Falls, OR subdivision thereof) have become totally reconsideration was filed with the In the following cases, the or partially separated from employment Program Manager of the Office of Trade investigation revealed that the criteria and either— Adjustment Assistance for workers at for eligibility have not been met for the Rau Fastener Company, LLC, (2) That sales or production, or both, reasons specified. of such firm or subdivision have Providence, Rhode Island. The review decreased absolutely, NAFTA–TAA–01247; Herdez Corp., indicated that the application contained Formerly Festin Foods, Carlsbad, (3) That imports from Mexico or no new substantial information which CA Canada of articles like or directly would bear importantly on the competitive with articles produced by The investigation revealed that the Department’s determination. Therefore, such firm or subdivision have increased, workers of the subject firm did not dismissal of the application was issued. produce an article within the meaning and that the increases in imports TA–W–32,133; Rau Fastener Company, contributed importantly to such of Section 250(a) of the Trade Act, as LLC, Providence, Rhode Island (October 28, workers’ separations or threat of amended. 1996). separation and to the decline in sales or Affirmative Determinations NAFTA– Signed at Washington, DC, this 31st day of production of such firm or subdivision; TAA October, 1996. or Russell T. Kile, The following certifications have been (4) That there has been a shift in issued; the date following the company Program Manager, Policy & Reemployment production by such workers’ firm or Services, Office of Trade Adjustment name & location for each determination subdivision to Mexico or Canada of Assistance. references the impact date for all articles like or directly competitive with [FR Doc. 96–29062 Filed 11–12–96; 8:45 am] workers for such determination. articles which are produced by the firm BILLING CODE 4510±30±M or subdivision. NAFTA–TAA–01200; South West Fashion, Inc., El Paso, TX: August Negative Determinations NAFTA–TAA 19, 1995. [TA±W±32,559] NAFTA–TAA–01238; Monon Corp., In each of the following cases the United Technologies Automotive, investigation revealed that criteria (3) Monon, IN: September 20, 1995. NAFTA–TAA–01271; Acme Boot Co., Wiring Systems Division, Newton, IL; and (4) were not met. Imports from Notice of Termination of Certification Canada or Mexico did not contribute Inc. (A.K.A. Dan Post Boots), El importantly to workers’ separations. Paso, TX: September 10, 1995. This notice terminates the There was no shift in production from NAFTA–TAA–01211; Mercury Certification Regarding Eligibility to the subject firm to Canada or Mexico Industries, Inc., Fayetteville, NC: Apply For Worker Adjustment during the relevant period. September 29, 1995. Assistance issued by the department on NAFTA–TAA–01265; Fruit of The Loom, NAFTA–TAA–01196; Weyerhaeuser Co., August 16, 1996, for workers of United Raymondville Apparel, Technologies Automotive, Wiring Western Timberlands Div., Raymondville, TX: October 2, 1995. Vancouver, WA Systems Division located in Newton, NAFTA–TAA–01264; Petersburg Illinois. The notice was published in the NAFTA–TAA–01217; Temple Inland Garment Co., Petersburg, WV: Federal Register on September 13, 1996 Forest Products Corp., Eastex Div., September 27, 1995. (61 FR 48504). Evadale, TX NAFTA–TAA–01240; Dana Corp., Victor At the request of the State agency, the NAFTA–TAA–01236; Eastern Products Div., Robinson, IL: Department reviewed the certification # Associated Coal Corp., Harris 1 September 13, 1995. for workers of the subject firm. Findings Mine, Bald Knob, WV I hereby certify that the show that the worker group is covered NAFTA–TAA–01239; A.P. Green aforementioned determinations were under an existing TAA certification Industries, Inc., Rockdale, IL issued during the month of October and (TA–W–32,261B). NAFTA–TAA–01219; Steven Hirt Farms, November, 1996. Copies of these Since the workers are already covered Inc., Stanton, TX determinations are available for by a TAA certification, the continuation Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58221 of the certification would serve no approved under the Federal Signed at Washington, DC, on October 31, purpose and the certification has been Unemployment Tax Act: 1996. Robert B. Reich, terminated. Alabama Secretary of Labor. Signed at Washington, DC, this 30th day of Alaska October 1996. Arizona Department of Labor, Office of the Russell T. Kile, Secretary, Washington, D.C. Arkansas Program Manager, Policy and Reemployment Services, Office of Trade Adjustment California Certification of State Unemployment Assistance. Colorado Compensation Laws to the Secretary of the Treasury Pursuant to Section [FR Doc. 96–29058 Filed 11–12–96; 8:45 am] Connecticut 3303(b)(1) of the Internal Revenue Code BILLING CODE 4510±30±M Delaware of 1986 District of Columbia In accordance with the provisions of Federal-State Unemployment Florida paragraph (1) of Section 3303(b) of the Compensation Program: Certifications Georgia Internal Revenue Code of 1986 (26 Under the Federal Unemployment Tax Hawaii U.S.C. 3303(b)(1)), I hereby certify the Act for 1996 Idaho unemployment compensation laws of Illinois the following named States, which On October 31, 1996, the Secretary of heretofore have been certified pursuant Labor signed the annual certifications Indiana to paragraph (3) of Section 3303(b) of under the Federal Unemployment Tax Iowa the Code, to the Secretary of the Act, 26 U.S.C. 3301 et seq., thereby Kansas Treasury for the 12-month period enabling employers who make Kentucky ending on October 31, 1996: contributions to State unemployment Louisiana Alabama funds to obtain certain credits for their Maine Alaska liability for the Federal unemployment Arizona Maryland tax. By letter of the same date the Arkansas certifications were transmitted to the Massachusetts California Secretary of the Treasury. The letter and Michigan Colorado certifications are printed below. Minnesota Connecticut Dated: November 1, 1996. Mississippi Delaware District of Columbia Timothy M. Barnicle, Missouri Assistant Secretary of Labor. Florida Montana Georgia October 31, 1996. Nebraska Hawaii The Honorable Robert Rubin, Nevada Idaho Secretary of the Treasury, Washington, D.C. Illinois 20220. New Hampshire New Jersey Indiana Dear Secretary Rubin: Transmitted Iowa herewith are an original and one copy of the New Mexico Kansas certifications of the States and their New York Kentucky unemployment compensation laws for the 12-month period ending on October 31, 1996. North Carolina Louisiana One is required with respect to normal North Dakota Maine Federal unemployment tax credit by Section Ohio Maryland Massachusetts 3304 of the Internal Revenue Code of 1986, Oklahoma and the other is required with respect to Michigan additional tax credit by Section 3303 of the Oregon Minnesota Code. Both certifications list all 53 Pennsylvania Mississippi jurisdictions. Puerto Rico Missouri Sincerely, Rhode Island Montana Nebraska Robert B. Reich South Carolina Enclosures Nevada South Dakota New Hampshire Department of Labor, Office of the Tennessee New Jersey Secretary, Washington, D.C. Texas New Mexico Certification of States to the Secretary of Utah New York North Carolina the Treasury Pursuant to Section 3304 Vermont of the Internal Revenue Code of 1986 North Dakota Virginia Ohio In accordance with the provisions of Virgin Islands Oklahoma Section 3304(c) of the Internal Revenue Washington Oregon Code of 1986 (26 U.S.C. 3304(c)), I West Virginia Pennsylvania hereby certify the following named Wisconsin Puerto Rico States to the Secretary of the Treasury Rhode Island for the 12-month period ending on Wyoming South Carolina October 31, 1996, in regard to the This certification is for the maximum South Dakota unemployment compensation laws of normal credit allowable under Section Tennessee those States which heretofore have been 3302(a) of the Code. Texas 58222 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Utah reviewed the findings of the indentified in the Appendix to this Vermont investigation. The petitioning workers Notice. Upon notice from a Governor Virginia were engaged in the production of that a NAFTA–TAA petition has been Virgin Islands locomotives and locomotive parts. New received, the Program Manager of the Washington findings show that beginning in July Office of Trade Adjustment Assistance West Virginia 1995, the production of motor coils was (OTAA), Employment and Training Wisconsin shifted from the subject firm’s Erie, Administration (ETA), Department of Wyoming Pennsylvania production facility to Labor (DOL), announces the filing of the This certification is for the maximum Mexico. petition and takes actions pursuant to additional credit allowable under Conclusion paragraphs (c) and (e) of Section 250 of Section 3302(b) of the Code. the Trade Act. After careful review of the additional Signed at Washington, DC, on October 31, The purpose of the Governor’s actions 1996. facts obtained on reopening, I conclude that there was a shift in production from and the Labor Department’s Robert B. Reich, the workers’ firm to Mexico of articles investigations are to determine whether Secretary of Labor. that are like or directly competitive with the workers separated from employment [FR Doc. 96–29063 Filed 11–12–96; 8:45 am] those produced by the subject firm. In after December 8, 1993 (date of BILLING CODE 4510±30±M accordance with the provisions of the enactment of P.L. 103–182) are eligible Act, I make the following revised to apply for NAFTA–TAA under determination: Subchapter D of the Trade Act because [NAFTAÐ00633] of increased imports from or the shift in ‘‘All workers of General Electric Company, production to Mexico or Canada. General Electric Company, GE GE Transportation Systems, Erie, Transportation SystemsÐErie, Erie, Pennsylvania, engaged in the production of The petitioners or any other persons Pennsylvania; Notice of Revised motor coils who became totally or partially showing a substantial interest in the Determination on Reconsideration separated from employment on or after subject matter of the investigations may October 2, 1994, are eligible to apply for request a public hearing with the On November 21, 1995, the NAFTA–TAA under Section 250 of the Trade Program Manager of OTAA at the U.S. Department issued a Negative Act of 1974.’’ Department of Labor (DOL) in Determination Regarding Eligibility to Signed at Washington, DC, this 31st day of October 1996. Washington, D.C. provided such request Apply for NAFTA-Transitional Russell T. Kile, is filed in writing with the Program Adjustment Assistance, applicable to all Manager of OTAA not later than Program Manager, Policy and Reemployment workers of General Electric Company, November 25, 1996. GE Transportation Systems located in Services, Office of Trade Adjustment Assistance. Also, interested persons are invited to Erie, Pennsylvania. The denial notice submit written comments regarding the was published in the Federal Register [FR Doc. 96–29061 Filed 11–12–96; 8:45 am] subject matter of the petitions to the on December 1, 1995 (60 FR 61711). BILLING CODE 4510±30±M Program Manager of OTAA at the The initial investigation resulted in a address shown below not later than negative determination because criteria Investigations Regarding Certifications November 25, 1996. (3) and (4) of the Eligibility of Eligibility To Apply for NAFTA Petitions filed with the Governors are Requirements of Section 250 of the Transitional Adjustment Assistance Trade Act, as amended, were not met for available for inspection at the Office of workers at the subject firm. There was Petitions for transitional adjustment the Program Manager, OTAA, ETA, no shift in production from General assistance under the North American DOL, Room C–4318, 200 Constitution Electric Company of locomotives or Free Trade Agreement-Transitional Avenue, N.W., Washington, D.C. 20210. locomotive parts from Mexico or Adjustment Assistance Implementation Signed at Washington, D.C. this 5th day of Canada, nor did the subject firm import Act (P.L. 103–182), hereinafter called November, 1996. these products from Mexico or Canada. (NAFTA–TAA), have been filed with Russell Kile, Based on new information received State Governors under Section 250(b)(1) Program Manager, Policy & Reemployment from counsel for the petitioners, the of Subchapter D, Chapter 2, Title II, of Services, Office of Trade Adjustment department, on its own motion, the Trade Act of 1974, as amended, are Assistance.

APPENDIX

Date re- ceived at Petitioner (union/workers/firm) Location Governor's Petition No. Articles produced office

Seams Right (Wkrs) ...... St. Mary's, MO ...... 10/16/96 NAFTA±01274 Bras. United Technologies Automotive North Manchester, IN ..... 10/15/96 NAFTA±01275 Battery cables and wiring harnesses. (USWA). Dal-Tile International (Wkrs) ...... Pocatello, ID ...... 10/11/96 NAFTA±01276 Tile. U.S. Natural Resources (Wkrs) ...... Portland, OR ...... 10/14/96 NAFTA±01277 Sawmill machinery. Saranac (vabry) Glove and Mitten (Wkrs) Marinette, WI ...... 10/14/96 NAFTA±01278 Leather gloves. Tri-Con Industries (Wkrs) ...... Livingston, TN ...... 10/11/96 NAFTA±01279 Automotive seat covers. Litco International (Co.) ...... Parkersburg, WV ...... 10/19/96 NAFTA±01280 Wooden pallets. Mont Source (Wkrs) ...... Newport Beach, CA ...... 10/16/96 NAFTA±01281 Hair and shave care products and co- lognes. Faneuil Research (Wkrs) ...... Chicago, IL ...... 10/18/96 NAFTA±01282 Customer services. Rexel, Inc. (Wkrs) ...... Miami, FL ...... 10/17/96 NAFTA±01283 Distributor. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58223

APPENDIXÐContinued

Date re- ceived at Petitioner (union/workers/firm) Location Governor's Petition No. Articles produced office

Horsehead Resource Development Palmerton, PA ...... 10/22/96 NAFTA±01284 Electric arc furnace (EAF) recyling ma- (USWA). terials. Assembly Services (Co.) ...... El Paso, TX ...... 10/21/96 NAFTA±01285 Brooms. Nicholson Manufacturing (IAM) ...... Seattle, WA ...... 10/18/96 NAFTA±01286 Logging and sawmill machinery. The Mead Corporation (Wkrs) ...... Fairless Hills, PA ...... 10/22/96 NAFTA±01287 Folding cartons. EWI, Inc. (Co.) ...... Southbend, IN ...... 10/21/96 NAFTA±01288 Auto parts. Magnetek (Co.) ...... Huntington, IN ...... 10/08/96 NAFTA±01289 Electronic ballasts. Sara Lee Bodywear (Co.) ...... New York, NY ...... 10/24/96 NAFTA±01290 Sport bra. Otari Corporation (Wkrs) ...... Hauppauge, NY ...... 10/23/96 NAFTA±01291 Cicruit boards. Haddon Craftsmen; R.R. Donnelley and Scranton, PA ...... 10/24/96 NAFTA±01292 Books. Sons (IAM). Eleco Group (USWA) ...... East Hampton, MA ...... 10/22/96 NAFTA±01293 Household brushes. Delta Painting (Wkrs) ...... Deerfield Beach, FL ...... 10/22/96 NAFTA±01294 Painters, interior and exterior. Royals, Inc. (Co.) ...... High Point, NC ...... 10/25/96 NAFTA±01295 Jeans. Sportswear Associates (Co.) ...... Moss, TN ...... 10/21/96 NAFTA±01296 Women's apparel. Celina Apparel (Co.) ...... Celina, TN ...... 10/21/96 NAFTA±01297 Women's apparel. Will Knit (Wkrs) ...... Clayton, NC ...... 10/22/96 NAFTA±01298 Circuler knit fabrics. Advanced Metallurgy (Wkrs) ...... McKeesport, PA ...... 10/28/96 NAFTA±01299 Electrical contacts for circuit breakers. Ivax Corporation (Wkrs) ...... Shreveport, LA ...... 10/25/96 NAFTA±01300 Generic liquid and solid pharmaceutical. Masco Tech Stamping (Wkrs) ...... Oxford, MI ...... 10/23/96 NAFTA±01301 Battery straps and fender molds. United Technologies (UFCW) ...... Niles, MI ...... 10/23/96 NAFTA±01302 Leather wrap assembly. Armour Swift-Eckrich (Wkrs) ...... Kalamazoo, MI ...... 10/23/96 NAFTA±01303 Smoked sausage. Johnson Control (IAM) ...... Milwaukee, WI ...... 10/22/96 NAFTA±01304 VT series terminal unit valves. Borg-Warner Automotive (Wkrs) ...... Muncie, IN ...... 10/24/96 NAFTA±01305 Manual transmissions. Endicott Johnson (Wkrs) ...... Scranton, PA ...... 10/25/96 NAFTA±01306 Retail. WTTC, Inc. (Wkrs) ...... El Paso, TX ...... 10/25/96 NAFTA±01307 Garments, pants, jackets. Witco Corporation (Wkrs) ...... Bradford, PA ...... 10/22/96 NAFTA±01308 Refined petroleum based lubricants and corrosion preventatives. J.H. Collectibles (ILGWU) ...... Milwaukee, WI ...... 10/25/96 NAFTA±01309 Ladies garments. Burns Philp Food (USWA) ...... San Francisco, CA ...... 10/28/96 NAFTA±01310 Food color line and famous sauce line. Spectro Knit (Wkrs) ...... Mifflinburg, PA ...... 10/28/96 NAFTA±01311 Ladies knit tank tops, t-shirts and fleece sweatshirts. Warnaco (Wkrs) ...... Van Nuys, CA ...... 10/28/96 NAFTA±01312 Sewing production of women's intimate apparel. Alphabet (Co.) ...... Greenwood, SC ...... 10/28/96 NAFTA±01313 Electrical wiring harnesses. Kibak Tile (Wkrs) ...... Redmond, OR ...... 10/28/96 NAFTA±01314 Hand painted tile. Hecht Manufacturing (ILGWU) ...... Milwaukee, WI ...... 10/30/96 NAFTA±01315 Women's clothing. Lambda Electronics (Wkrs) ...... McAllen, TX ...... 10/29/96 NAFTA±01316 Power supplies. Timberline Forest Products (Wkrs) ...... Burlington, WA ...... 10/29/96 NAFTA±01317 Lumber resaw production. Tasus Corp. (Wkrs) ...... Bloomington, IN ...... 10/30/96 NAFTA±01318 Printed materials. Amp, Inc. (Wkrs) ...... Lowell, NC ...... 10/31/96 NAFTA±01319 Slimline products.

[FR Doc. 96–29059 Filed 11–12–96; 8:45 am] S4215 A–C, and January 15–16, 1997, in 11 there will be a panel presentation on BILLING CODE 4510±30±M Room N3437 A–D of the Department of ergonomics including an update on the Labor Building located at 200 planned conference; enforcement Constitution Avenue NW, Washington, activities; the development of a Occupational Safety and Health DC. Both meetings are open to the regulation; OSHA’s ergonomics Administration public and will begin at 9:00 a.m. each capability; and NIOSH research relating day lasting until approximately 4:00 to ergonomics. The remainder of the day National Advisory Committee on p.m. the first day and 3:00 p.m. the will be devoted to planning future Occupational Safety and Health; Notice second day of each meeting. NACOSH meetings and activities. of Meetings Agenda items for December 10 will The January 15–16 meeting will be include: a brief overview of current devoted to the subject of developing Notice is hereby given of the dates activities in the Occupational Safety and performance measurements and and locations of the next two meetings Health Administration (OSHA) and the evaluating programs in addition to the of the National Advisory Committee on National Institute for Occupational regular updates on OSHA and NIOSH Occupational Safety and Health Safety and Health (NIOSH); a activities. Several panels will be formed (NACOSH), established under section description of a NIOSH Cooperative to discuss the indicators and measures 7(a) of the Occupational Safety and Research Agreement on hearing loss OSHA might use, as well as the data and Health Act of 1970 (29 U.S.C. 656) to prevention; a regulatory update; and a mechanisms that would be needed for advise the Secretary of Labor and the discussion of the Government such measurement. The committee is Secretary of Health and Human Services Performance and Results Act (GIPRA) in interested in exploring what other on matters relating to the administration relation to OSHA as well as organizations and groups are doing in of the Act. NACOSH will hold meetings performance measurement and program terms of measuring performance and on December 10–11, 1996, in Room evaluation within OSHA. On December evaluating safety programs, 58224 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices interventions and related issues such as ACTION: Notice of Proposed Class submitted on behalf of Federated employee participation. In this respect, Exemption. Investors (Federated) pursuant to the committee requests that members of section 408(a) of the Act and section the public who have participated in SUMMARY: This document contains a 4975(c)(2) of the Code, and in studies or programs related to notice of pendency before the accordance with the procedures set performance measurement and Department of Labor (the Department) of forth in 29 CFR Part 2570, Subpart B (55 evaluation of occupational safety and a proposed class exemption from certain FR 32836, August 10, 1990).1 health programs share their findings prohibited transaction restrictions of the I. Paperwork Reduction Act Analysis and/or experiences with NACOSH Employee Retirement Income Security either in written form or in oral Act of 1974 (the Act or ERISA) and from The Department of Labor, as part of its presentations before the committee to certain taxes imposed by the Internal continuing effort to reduce paperwork the extent time permits. Those who are Revenue Code of 1986 (the Code). If and respondent burden, provides the interested in making presentations on granted, the proposed exemption would general public and Federal agencies January 15 or 16 should notify, no later permit an employee benefit plan (the with an opportunity to comment on than December 9, Joanne Goodell, Client Plan) to purchase shares of a proposed and/or continuing collections OSHA, Room N–3641, 200 Constitution registered investment company (the of information in accordance with the Avenue NW, Washington, DC 20210, Fund), the investment adviser for which Paperwork Reduction Act of 1995 (PRA telephone (202) 219–8021, ext. 107, or is a bank (the Bank) that serves as a 95) (44 U.S.C. 3506(c)(2)(A). This FAX (202) 219–4383. Presenters must fiduciary of the Client Plan, in exchange program helps to ensure that requested provide their name, the capacity in for plan assets transferred in-kind to the data can be provided in the desired which the person will appear, a brief Fund from a collective investment fund format, reporting burden (time and outline of the content of the (the CIF) maintained by the Bank. The financial resources) is minimized, presentation, preference of appearance proposed exemption, if granted, would collection instruments are clearly date if there is one, mail address, affect participants and beneficiaries of understood, and the impact of collection telephone and FAX numbers. the Client Plans that are involved in requirements on respondents can be Presentations will be limited to 10 such transactions as well as the Bank properly assessed. Currently, the minutes with time allowed for questions and the Fund. Pension and Welfare Benefits from committee members. ADDRESSES: All written comments and Administration is soliciting comments Written data, views or comments for requests for a public hearing (preferably concerning the proposed new collection consideration by the committee may be 3 copies) should be sent to: Office of of information under the Proposed Class submitted, preferably with 20 copies to Exemption Determinations, Pension and Exemption for Bank Collective Joanne Goodell at the address provided Welfare Benefits Administration, Room Investment Fund Conversion above. Any such submissions received N–5649, 200 Constitution Avenue N.W., Transactions. prior to the meeting will be provided to Washington, DC 20210, (Attention: ‘‘CIF DATES: Written comments must be the members of the Committee and will Conversion Class Exemption’’). The submitted on or before January 13, 1996 be included in the record of the application for exemption (Application to Mr. Gerald B. Lindrew, Department of meeting. Individuals with disabilities No. D–09988) and all additional Labor, Pension and Welfare Benefits who need special accommodations comments received from interested Administration, 200 Constitution should contact Tom Hall (phone: 202– persons will be available for public Avenue, NW, Washington, D.C. 20210. 219–8615; FAX: 202–219–5986) one inspection in the Public Documents The Department of Labor is particularly week before the meeting. Room, Pension and Welfare Benefits interested in comments which: An official record of the meeting will Administration, U.S. Department of • Evaluate whether the proposed be available for public inspection in the Labor, Room N–5638, 200 Constitution collection of information is necessary OSHA Technical Data Center (TDC) Avenue N.W., Washington, DC 20210. for the proper performance of the located in Room N2625 of the FOR FURTHER INFORMATION CONTACT: Ms. functions of the agency, including Department of Labor Building (202– Jan D. Broady or Mr. E.F. Williams, whether the information will have 219–7500). For additional information Office of Exemption Determinations, practical utility; • contact Joanne Goodell (phone, FAX Pension and Welfare Benefits Evaluate the accuracy of the and address provided above.) Administration, U.S. Department of agency’s estimate of the burden of the Labor, Washington, DC 20210 at (202) proposed collection of information, Signed at Washington, D.C. this 6th day of including the validity of the November, 1996. 219–8881 or (202) 219–8194, respectively, or Ms. Susan E. Rees, Plan methodology and assumptions used; Joseph A. Dear, • Benefits Security Division, Office of the Enhance the quality, utility, and Assistant Secretary of Labor. Solicitor, U.S. Department of Labor, clarify the information to be collected; [FR Doc. 96–29064 Filed 11–12–96; 8:45 am] Washington, DC 20210 at (202) 219– and • BILLING CODE 4510±26±M 4600, ext. 105. (These are not toll-free Minimize the burden of the numbers.) collection of information on those who are to respond, including through the SUPPLEMENTARY INFORMATION: This Pension and Welfare Benefits use of appropriate automated, document contains a notice of pendency Administration electronic, mechanical, or other before the Department of a proposed class exemption from the restrictions of [Application No. D±09988] 1 Section 102 of Reorganization Plan No. 4 of sections 406(a) and 406 (b)(1) and (b)(2) 1978, 5 USC App. 1 (1996) generally transferred the Proposed Class Exemption for Bank of the Act and from the taxes imposed authority of the Secretary of the Treasury to issue Collective Investment Fund by section 4975 (a) and (b) of the Code exemptions under section 4975(c)(2) of the Code to by reason of section 4975(c)(1) (A) the Secretary of Labor. Conversion Transactions In the discussion of the exemption, references to through (E) of the Code. The proposed specific provisions of the Act should be read to AGENCY: Pension and Welfare Benefits exemption was requested in an refer as well to the corresponding provisions of Administration, Department of Labor. application dated March 28, 1995 section 4975 of the Code. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58225 technological collection techniques or relief for the in-kind transfer of assets believes that class exemptive relief is other forms of information technology, from a CIF in which Client Plans invest warranted because of the large number e.g., permitting electronic submissions to a Fund in exchange for shares of the of Banks that have entered into, or of responses. Fund. The exemption is being requested propose to enter into, such transactions. Title: Class Exemption for Bank in light of the Department’s position In Federated’s view, the exemptive Collective Investment Fund Conversion that Prohibited Transaction Exemption relief requested would reduce the Transactions. (PTE) 77–4 (42 FR 18732, April 8, 1977) burden that has been placed on Banks Summary: The proposed exemption is unavailable for the purchase of shares and would create certainty as to how would permit employee benefit plans to in Funds other than for cash. In such transactions may be structured to purchase shares of a registered pertinent part, PTE 77–4 permits the comply with provisions of the Act. investment company in exchange for purchase or sale by an employee benefit plan assets transferred in-kind from a plan of shares of a Fund when a III. Discussion of the Application bank maintained collective investment fiduciary with respect to the plan is also The applicant represents that, as part fund, where the bank that serves as a the investment adviser of the Fund. of the conversion process, assets fiduciary of the plan is also the Federated represents that it advises, representing the Client Plans’ interests investment adviser for the investment administers and distributes its own in the CIFs are being transferred to the company. The proposal is conditioned Funds and also administers, distributes Funds in exchange for which the Client upon an independent fiduciary and provides related services to Funds Plans receive shares of the Funds. The receiving advance notice concerning the that are advised by other financial in-kind transfers are subject to the prior transfer of assets and written institutions, including many Banks. In approval of Independent Fiduciaries confirmation after the completion of total, Federated provides such services and a number of additional safeguards each transaction. with respect to over $70 billion in that are discussed below. Needs and Uses: ERISA requires that assets. The Banks that would be covered by the Department make a finding that the Since April 1989, Federated has the requested exemption include banks proposed exemption meets the statutory assisted a number of Banks in or trust companies that are regulated by requirements of section 408(a) before establishing ‘‘proprietary’’ mutual federal or state law. The Banks may granting the exemption. The Department funds, (i.e., mutual funds advised by the serve as trustees, investment managers therefore finds it necessary that certain Bank and for which the Bank may or custodians for Client Plans that are information be provided to an provide other services, such as custody subject to the Act. If a Bank has independent fiduciary of each plan in or shareholder recordkeeping). These investment discretion over the assets of advance of, and subsequent to, the Funds are often established through the a Client Plan, it commonly manages proposed transaction, and that the complete or partial conversion of the such assets through CIFs. Where a Bank independent fiduciary approve the Bank’s CIFs into the Funds. Such serves as a nondiscretionary trustee or a proposed transaction. conversions have been motivated by Respondents and Proposed Frequency changes in the investment industry and custodian, it has made CIFs available as of Response: The Department staff the increasing trend toward the investment options for participant- estimates that approximately 50 parties establishment of participant-directed directed plans at the election of the plan will seek to take advantage of the class plans under section 401(k) of the Code. sponsor. CIF investments have allowed exemption in any given year. The Federated assists these Banks in the Client Plans to pool their assets thereby respondents will be banks and trust conversion process and may serve as permitting greater diversification and companies acting as fiduciaries of plans administrator, as well as in other lower management fees than investing in collective investment funds capacities (such as transfer agent and individually-managed portfolios. maintained by such entities. portfolio recordkeeper) with respect to Federated represents that over the Estimated Annual Burden: The such Funds. past 15 years mutual funds have become Department staff estimates the annual Federated explains that these in-kind increasingly popular investments for burden for preparing the materials transfers have been completed in plan investors. Among the advantages of required under the proposed class compliance with the banking rules Funds over CIFs are daily pricing and exemption to be 892 hours. The total governing CIFs and the requirements of redemption, published prices available annual burden cost (operating/ the Investment Company Act of 1940 in newspapers of general circulation maintenance) is estimated to be (the ’40 Act). To avoid engaging in a and greater portability. Daily pricing $113,772.00. There are estimated to be prohibited transaction, the Banks have and redemption permits: (a) immediate no capital/start-up burden costs. sought in good faith to comply with PTE investment of plan contributions in Comments submitted in response to this 77–4 and have relied on the availability various types of investments; (b) greater notice will be summarized and/or of that class exemption. Federated states flexibility in transferring assets from one included in the request for Office of that the conditions of PTE 77–4 (as they type of investment to another; and (c) Management and Budget approval of the were interpreted by the banking faster distributions. CIFs, by contrast, information collection request; they will industry at that time) were met, generally have been valued quarterly also become a matter of public record. including the provision of disclosures and have not permitted daily regarding the Fund to an independent withdrawals or transfers. Because of the II. Background plan fiduciary (the Independent advantages offered by Funds, many The application contains facts and Fiduciary) and prior approval by that Banks have been converting their CIFs representations with regard to the fiduciary. However, Federated notes into Funds by transferring the assets out requested exemption which are that the Department’s position that PTE of the CIFs and into the Banks’ summarized below. Interested persons 77–4 does not apply to in-kind proprietary Funds. In some cases, the are referred to the application on file exchanges of assets, such as occur in a Banks have terminated their CIFs. In with the Department for the complete CIF-to-Fund conversion, has created other cases, the CIFs have been partially representations of the applicant. The uncertainty as to what Banks should do converted and not terminated because applicant, Federated, requests with regard to past and future one or more clients has preferred to retroactive and prospective exemptive transactions. Therefore, Federated remain invested in the CIFs. 58226 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

The applicant represents that the transaction. Among the conditions of Federated represents that, in a conversion transaction that is the Rule 17a–7 is the requirement that the conversion transaction, a portion of the subject of this exemption request is transaction be effected at the plan assets in each CIF, representing the structured as an in-kind transfer of plan ‘‘independent current market price’’ for interests in the CIF of the Client Plans assets held by the CIF to the the security involved.3 In this regard, that approve the asset transfer, are corresponding Funds, in exchange for the ‘‘independent current market price’’ transferred to the corresponding Funds shares of the Funds. This approach, for specific types of CIF securities using the then-current market value of according to the applicant, avoids involved in the transactions is the plans’ assets in exchange for shares incurring transaction costs in determined as follows: in the Fund. Simultaneously, each connection with liquidating the CIF (a) If the security is a ‘‘reported security’’ Client Plan’s investment in the CIF is investments and making the same as the term is defined in Rule 11Aa3–1 under liquidated and Fund shares of equal investments for the Funds. the Securities Exchange Act of 1934 (the ’34 value to the Client Plan’s interest in the It is represented that the process used Act) (17 CFR 240.11Aa3–1), the last sale CIF are distributed to the Client Plan. by Banks assisted by Federated has been price with respect to such security reported Prior to the transfers, the applicant designed to comply with the ’40 Act and in the consolidated transaction reporting states that the CIF assets must be system (the Consolidated System); or, if there PTE 77–4, as applicable. In this regard, are no reported transactions in the reviewed to determine whether they are Federated represents that the Bank Consolidated System that day, the average of appropriate investments for the obtains the approval of an Independent the highest current independent bid and the corresponding Fund, consistent with the Fiduciary prior to investing a Client lowest current independent offer for such Fund’s investment objectives and Plan’s assets in a Fund. The security (reported pursuant to Rule 11Ac1–1 policies and applicable requirements Independent Fiduciary is generally the under the ’34 Act) (17 CFR 240.11Ac1–1), as under the ’40 Act and the Code. In Client Plan’s named fiduciary or plan of the close of business on the CIF valuation addition, Federated notes that Rule 17a– sponsor. In requesting the Independent date. 7 permits transfers only of securities for Fiduciary’s approval, the Bank provides (b) If the security is not a reported security, which market quotations are readily such fiduciary with a description of the and the principal market for such security is available and does not include restricted an exchange, then the last sale on such transaction, information about each exchange or, if there are no reported securities (such as those described by Fund into which assets would be transactions on such exchange that day, the SEC Rule 144) or other securities for transferred and a current prospectus. It average of the highest current independent which market quotations are not readily is represented that all disclosures and bid and lowest current independent offer on available.5 If the class exemption were the form of approval are designed to the exchange as of the close of business on not available, the transferring plans meet the requirements of PTE 77–4.2 the CIF valuation date. would request cash distributions, To the extent that the Independent (c) If the security is not a reported security causing the CIF to incur higher Fiduciary of a Client Plan approves the and is quoted in the NASDAQ system, then transaction costs in liquidating a larger investment in the Funds, the purchase the average of the highest current proportion of its securities holdings. of Fund shares by the Client Plan is independent bid and lowest current Federated explains that if the CIF will accomplished in accordance with independent offer reported on Level 1 of be terminated, the Client Plans not NASDAQ as of the close of business on the Securities and Exchange Commission CIF valuation date.4 transferring assets to a Fund will receive Rule 17a–7 (Rule 17a–7 or the Rule) (d) For all other securities, the average of a distribution, prior to the transfer date, under the ’40 Act (17 CFR 270.17a–7). the highest current independent bid and of their pro rata portions of each CIF Rule 17a–7 is an exemption from the lowest current independent offer determined asset. The remaining CIF assets are then prohibited transaction provisions of on the basis of reasonable inquiry from at transferred to the Funds on behalf of the section 17(a) of the ’40 Act (15 USC least three independent sources as of the Client Plans that approve the 80a–17(a)), which prohibit, among other close of business on the CIF valuation date. transaction. If the CIF will not be things, transactions between an Federated represents that these terminated, the assets of the CIF are investment company and its investment valuation conditions are objective and divided, prior to the transfer, so that adviser or affiliates of its investment require documentation to permit review each Client Plan that chooses to remain adviser. Thus, Rule 17a–7 permits by independent parties. invested in the CIF retains its pro rata transactions between the Funds and share of the CIF assets. other accounts that use the same or Although the Bank will generally 3 Rule 17a–7 also includes the following affiliated investment advisers, subject to requirements: (a) the transaction must be consistent divide the assets held in a CIF among certain conditions that are designed to with the investment objectives and policies of the the Client Plans on a pro rata basis, assure fair valuation of the assets Fund, as described in its registration statement; (b) Federated explains that in some involved in the transaction and fair the security that is the subject of the transaction instances, the CIF may hold ‘‘small must be one for which market quotations are readily investments’’ in fixed-income securities treatment of both parties to the available; (c) no brokerage commissions or other remuneration may be paid in connection with the that are not divisible, or that can be 2 In pertinent part, PTE 77–4 requires that a transaction; and (d) the Fund’s board of directors divided only at substantial cost. fiduciary of a plan who is independent of and (i.e., those directors who are independent of the Federated states that these investments unrelated to the fiduciary/investment adviser, or Fund’s investment adviser) must adopt procedures will typically be issued in units of any affiliate thereof, receive a prospectus issued by to ensure that the requirements of Rule 17a–7 are the investment company and full written disclosure followed, and determine no less frequently than $1,000 or more. For example, a CIF may of the investment advisory and other fees charged quarterly that the transactions during the preceding have 5 bonds in $1,000 denominations, to, or paid by, the plan and the investment quarter were in compliance with such procedures. for an aggregate principal value of company. Such information should include: (a) the 4 It is represented that Level 1 of NASDAQ $5,000, and 50 percent of the Client nature and extent of any differential between the provides the best bid and ask quotations for each Plans participating in the CIF may elect rates of such fees; (b) the reasons why the fiduciary/ NASDAQ security that has a minimum of two investment adviser may consider such purchases of registered market-makers providing quotations. to transfer their investments to a Fund. shares in the investment company to be appropriate Level 2 provides the current bid and ask prices for for the plan; (c) whether there are any limitations each market-maker in any available NASDAQ 5 The Department notes that the Bank retains on the fiduciary/investment adviser with respect to securities, not just the best prices. Level 3 allows ongoing responsibilities under ERISA’s general which plan assets may be invested in shares of the for market-makers instantaneously to insert new standards of fiduciary conduct with respect to plans investment company; and, if so, (d) the nature of quotations into the system and is generally only electing to remain as investors in the CIF and with such limitations. used by market-makers and traders. respect to other aspects of the transfers. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58227

A strict pro rata allocation to each directors of the Fund pursuant to such IV. Description of the Proposed Client Plan would require that $2,500 of Rule. The assets are valued by the CIF Exemption the principal value of these bonds be and the Fund in the same manner using The proposed class exemption transferred to the Fund. However, a the ‘‘independent current market price’’ consists of four sections. Section I $1,000 bond cannot be divided into two of the securities as defined in Rule 17a– would provide conditional exemptive segments of $500 each. Federated states 7 as of the close of business on the same relief for transactions occurring from that securities, such as the bond in this business day. In addition, no brokerage October 1, 1988 until the date the notice example, that are incapable of division commissions or other remuneration is granting the final exemption is could be liquidated for cash prior to the charged to the Client Plans in published in the Federal Register. transfer but, if there are many such connection with the asset transfer and Section II would provide prospective securities, the transaction costs may any such costs or expenses are paid by relief for transactions which must meet become significant. the Bank. certain additional conditions which are In these situations, solely for purposes Federated states that the same values described below. Section III provides of the prospective relief requested are used for the securities both in that a transaction that meets the herein 6, Federated represents that the determining the amount transferred applicable conditions of the proposed Banks will treat equivalent, ‘‘small from the CIF and the amount received exemption will be deemed a purchase investment’’ fixed-income securities as by the Fund. Thus, the total net asset by the Client Plan of shares of an open- fungible for allocation purposes if such value of the Fund shares received by the end investment company registered securities have the same coupon rates, Client Plan is equal in value to the under the Investment Company Act of maturities and credit ratings at the time Client Plan’s share of the assets of the 1940 for purposes of PTE 77–4. of the transaction. For example, notes CIF exchanged for shares of the Fund on Accordingly, if the exemption is with variable interest rates will be the date of transfer. granted, a Bank that complies with the The valuations are based on prices, treated as fungible only if they have the terms of this exemption and with the bids and offers as of the close of identical interest rate formulas. This terms of PTE 77–4 would be able to business on the date of the asset requirement will ensure that all Client receive investment management and transfer. Federated states that, in the Plans receive securities that have investment advisory fees from the Fund transactions in which it has been equivalent terms and features. The and the Client Plan with respect to the involved, the asset transfers have Banks will allocate such fixed-income plan’s assets invested in shares of the primarily been scheduled to occur over securities among the Client Plans in a Fund to the extent permitted under PTE a weekend to allow sufficient time for manner such that each receives its pro 77–4. Section III also provides that processing. As applicable, securities rata share of the value of such compliance with the proposed have been valued based on their closing securities.7 Federated represents that exemption will constitute compliance prices, or the average of bid and ask providing Banks with the ability to with paragraphs (a), (d) and (e) of quotations (or prices obtained from allocate fixed-income securities other section II of PTE 77–4. Finally, Section pricing services) obtained from at least than on a strictly pro rata basis would IV contains definitions for certain terms three independent sources, as of the permit the CIF, and, therefore, the Client used in the proposed exemption. close of business on the Friday Plans, to avoid the transaction costs Specifically, the proposed class preceding the weekend of the asset involved in liquidating these small exemption set forth in Section I would transfers. The transfer of the securities positions prior to maturity. provide retroactive relief from the has been completed by the following In order to establish what constitutes restrictions of sections 406(a) and Monday, at which time the Client Plans ‘‘small investments,’’ Federated 406(b)(1) and (b)(2) of the Act for the whose assets were formerly invested in purchase of Fund shares by an proposes that this exception from the a CIF hold shares in the corresponding general pro rata division rule be employee benefit plan, where a Bank Fund of equal value to their units in the that serves as investment adviser to the available only for investment positions CIF as of the close of business the in fixed-income securities which, in the Fund is also a fiduciary with respect to previous Friday. the plan, in exchange for plan assets aggregate, constitute no more than one Subsequent to the transaction, transferred in-kind to the Fund from a (1) percent of the CIF’s assets. This one Federated explains that compliance CIF maintained by the Bank. The (1) percent limit will ensure that the with Rule 17a–7 procedures of the Fund exemption is generally similar to a ‘‘small investment’’ positions in fixed- is reviewed by independent members of income securities will represent a de the Fund’s board of directors and by number of individual exemptions that minimis portion of the overall assets independent auditors. In this regard, have been granted by the Department for held by the CIF at the time of the records pertaining to Rule 17a–7 such transactions, but the operative transactions. language of this proposal differs from transactions are reviewed by SEC staff 8 In implementing the asset transfers, during their periodic inspections of the that of the individual exemptions. The Federated represents that the current Funds. principal purpose of the language in the market value of the assets of the CIFs Thus, in Federated’s view, the asset proposal is to make clear that the class have been and will be determined in transfer transactions are ministerial in exemption would not provide relief for accordance with Rule 17a–7 and the nature because they are performed in any prohibited transactions that may procedures adopted by the board of accordance with procedures that are arise in connection with terminating a prescribed by Rule 17a–7 and approved CIF, permitting certain plans to 6 In this regard, the Department wishes to by the Fund’s board of directors. emphasize that the proposed class exemption 8 See, for example, PTE 94–82 involving Marshall would provide no retroactive relief for any past in- Further, Federated states that the & Ilsley Trust Company (59 FR 62422, December 5, kind transfer of CIF assets to a Fund unless all or pricing of all securities transferred to a 1994); PTE 94–86 involving The Bank of California, a pro rata portion of the assets of the CIF were Fund is accomplished by reference to N.A. (59 FR 65403, December 19, 1994); PTE 95– transferred to the Fund in exchange for shares of independent sources. In each case, the 33 involving Bank South, N.A. (60 FR 20773, April such Fund. (See Section I(c) below.) 27, 1995); PTE 95–48 involving Mellon Bank, N.A. 7 The applicant represents that the valuation of affected Client Plans receive shares of (60 FR 32995, June 26, 1995); and PTE 95–49 fixed income securities will be performed in the Funds that are of equal value to the involving Norwest Bank (60 FR 33000, June 26, accordance with Rule 17a–7. previously-held CIF units. 1995). 58228 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices withdraw from a CIF that is not written information concerning the the CIF and the Fund must have the terminating, or liquidating or Funds: (a) a current prospectus for each same coupon rates, maturities and credit transferring any plan assets held by the Fund in which a Client Plan is ratings at the time of the transaction and CIF. The class exemption would provide considering investing; (b) full and cannot exceed one (1) percent of the relief only for the purchase of Fund detailed written disclosure of the aggregate assets held by the CIF as of shares by a Client Plan in exchange for investment advisory and other fees each transfer. In this regard, section IV(j) assets that are transferred from a CIF. charged to, or paid by, the Client Plan defines the term ‘‘fixed-income Although the Department interprets the (and by such Fund) to the Bank or any security’’ as any interest-bearing or individual exemptions as being unrelated third party, including the discounted government or corporate similarly limited in their scope, the nature and extent of any differential security with a face amount of $1,000 or language of the proposed class between the rates of the fees; (c) the more that obligates the issuer to pay the exemption is intended to clarify this reasons why the Bank may consider an holder a specified sum of money, limitation. The Department believes that exchange of the Client Plan’s CIF assets usually at specific intervals, and to the scope of the proposed class for investments in the Fund to be repay the principal amount of the loan exemption is consistent with the appropriate for the Client Plan; and (d) at maturity. applicant’s request for relief based on a statement describing whether there are Under section II(f) of the proposal, the the applicant’s mistaken reliance on any limitations applicable to the Bank Independent Fiduciary must give prior PTE 77–4. The Department, however, with respect to which assets of the approval in writing of each in-kind specifically solicits comments on Client Plan may be invested in the transfer of the Client Plan’s CIF assets to whether the scope of the proposed Fund, and, if so, the nature of such a Fund in exchange for shares of the exemption should be modified to limitations. Fund. The advance notice required by include other aspects of in-kind Moreover, under section I(f), the section II(e) will include the identity of transfers of CIF assets. The Department Independent Fiduciary gives prior securities that will be valued in also notes that the proposal defines the approval in writing of each in-kind accordance with Rule 17a–7(b)(4) of the term ‘‘Client Plan’’ in section IV so as transfer of the Client Plan’s CIF assets to ’40 Act and allocated under section II(c), to exclude exemptive relief for a Fund in exchange for shares of the and the identity of any fixed-income purchases of Fund shares by plans Fund, on the basis of the information securities allocated under section II(c).9 sponsored by the Bank for its own disclosed to the Independent Fiduciary. Section II(g)(1) requires a Bank to employees. In addition, section I(g) requires that the send the Independent Fiduciary of a The conditions applicable to the Independent Fiduciary receive written Client Plan an additional written retroactive exemption set forth in confirmation of the transaction no later confirmation, not later than 30 days Section I of the proposal are described than 105 days after the transaction. This after the completion of the transaction, below. written confirmation must disclose the for securities that were valued in Under section I(a) of the proposal, no number of CIF units held by the Client accordance with Rule 17a–7(b)(4). The sales commissions or other fees are paid Plan immediately before the transaction additional confirmation must contain by Client Plan in connection with the and the number of Fund shares held by the following information: (a) the transaction. the Client Plan immediately following identity of each such security; (b) the Section I(b) and (c) of the proposed the transaction, the related per unit and current market price as of the date of the exemption requires that the transferred per share values, and the dollar amounts transaction of each such security assets be securities for which market of the CIF units and the Fund shares involved in the transaction; and (c) the quotations are readily available and involved in the transaction. identity of each pricing service or consist of the Client Plan’s pro rata Section I(h) requires that, for each market-maker consulted in determining portion of all the transferable assets held Client Plan, the combined total of all the value of such securities. by the CIFs immediately prior to the fees received by the Bank for the In addition, section II(h) requires the transfer. Under section I(d), the Client provision of services to the Client Plan, Bank to provide certain ongoing Plan must receive shares of a Fund to and in connection with the provision of disclosures to the Independent which the CIF assets have been services to a Fund in which a Client Fiduciary of a Client Plan. Such written transferred that have a total net asset Plan invests, must not exceed disclosures must include: (a) a copy of value that is equal to the value of the ‘‘reasonable compensation’’ within the an updated prospectus for each Fund in Client Plan’s pro rata portion of the meaning of section 408(b)(2) of the Act. which such plan has invested, which is transferred assets on the date of the Finally, section I(i) provides that all to be provided at least on an annual transfer, based on the current market dealings between a Client Plan and a basis; and (b) upon the request of the value of such assets, as determined in a Fund are on a basis no less favorable to Independent Fiduciary, a report or single valuation for each asset, with all the Client Plan than such dealings are statement (which may take the form of valuations performed in the same with other shareholders of the Fund. the most recent financial report, the manner at the close of the same business On a prospective basis, Section II current Statement of Additional day, in accordance with Rule 17a–7 of requires that the transactions meet Information, or some other written the ’40 Act (using sources independent certain conditions in addition to those statement) containing a description of of the Bank) and the procedures described in Section I of the proposal. established by the Funds pursuant to These additional conditions are 9 Rule 17a–7(b)(4) describes the method for Rule 17a–7 for the valuation of such described below. determining the current market price of securities assets. The same valuation must be used Section II(c) provides an exception to that are not reported securities under Rule 11Aa3– 1 (17 CFR 240.11Aa3–1), are not traded principally for each asset in determining the the general requirement that the assets on an exchange and are not quoted in the NASDAQ amount transferred from the CIF and the transferred to a Fund consist of the system. 17 CFR 270.17a–7(b)(4). Because the proper amount received by the Fund. Client Plan’s pro rata portion of each of valuation of such securities may require more Section I(e) provides that an the assets of the CIF. This exception extensive inquiry than in the valuation of securities described in Rule 17a–7(b)(1)–(b)(3), the Independent Fiduciary must receive applies to certain investments in fixed- Department believes that the Independent Fiduciary advance written notice of the income securities. The fixed-income should receive advance notice that the transfer will transaction, as well as the following securities which are allocated between entail such valuations. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58229 all fees paid by the Fund to the Bank. exclusive benefit of the employees of Investment Company Act of 1940, the The purpose of this additional the employer maintaining the plan and investment adviser for which is a bank disclosure is to ensure that the their beneficiaries; (the Bank) that is also a fiduciary of the Independent Fiduciary will continue to (2) Before an exemption may be Client Plan, in exchange for assets of the have the information necessary to granted under section 408(a) of the Act Client Plan transferred in-kind to the effectively monitor the Fund and section 4975(c)(2) of the Code, the Fund from a collective investment fund investments made by the Client Plan. Department must find that the (the CIF) maintained by the Bank, if the The Department wishes to note that exemption is administratively feasible, following conditions are met: the requirement under sections I and II in the interests of the plans and their (a) No sales commissions or other fees of the proposal that all valuations of all participants and beneficiaries and are paid by the Client Plan in plan assets transferred from a CIF to a protective of the rights of participants connection with the purchase of Fund Fund be determined in accordance with and beneficiaries of such plans; shares. Rule 17a–7 under the ’40 Act is (3) If granted, the proposed exemption (b) All transferred assets are securities designed to provide flexibility for future will be applicable to a transaction only for which market quotations are readily transactions. Thus, for example, if Rule if the conditions specified in the class available. 17a–7 is subsequently amended by the exemption are met; and (c) The transferred assets constitute SEC to accommodate new pricing (4) The proposed exemption, if the Client Plan’s pro rata portion of systems, Banks could take advantage of granted, will be supplemental to, and such assets that were held by the CIF the amended Rule without having to not in derogation of, any other immediately prior to the transfer. request an amendment to the class provisions of the Code and the Act, (d) The Client Plan receives Fund exemption. However, the Department including statutory or administrative shares that have a total net asset value cautions that the exemption would not exemptions and transitional rules. equal to the value of the Client Plan’s be available for transactions involving Furthermore, the fact that a transaction pro rata share of transferred assets on assets that are not valued by reference is subject to an administrative or the date of the transfer, as determined to sources independent of the Bank. statutory exemption is not dispositive of in a single valuation for each asset, with Unlike the individual exemptions whether the transaction is in fact a all valuations performed in the same cited above, this proposed class prohibited transaction. manner, at the close of the same exemption does not grant relief for fees business day, in accordance with that the Bank may receive from the Written Comments and Hearing Securities and Exchange Commission Fund as a result of the Client Plans’ Requests Rule 17a–7 (using sources independent purchase of Fund shares. However, All interested persons are invited to of the Bank and the Fund) and the section III of this proposal provides that submit written comments or requests for procedures established by the Funds a purchase of Fund shares that complies a public hearing on the proposed pursuant to Rule 17a–7. with sections I and II will be deemed a exemption to the address and within the (e) With respect to each Client Plan purchase of shares of an open-end time period set forth above. All owning assets held by the CIF, an investment company for purposes of comments will be made a part of the Independent Fiduciary with respect to PTE 77–4, and in compliance with record. Comments and requests for a such plan receives advance written paragraphs (a), (d) and (e) of section II hearing should state the reasons for the notice of the in-kind transfer and of that exemption. Compliance with all writer’s interest in the proposed purchase and full written disclosure of of the conditions of PTE 77–4 would exemption. Comments received will be information concerning the Funds permit the Bank to receive investment available for public inspection with the which includes the following: advisory and similar fees from the Fund referenced application at the above (1) A current prospectus for each with respect to shares acquired by a address. Fund to which the CIF assets may be Client Plan in accordance with the transferred; proposal. Proposed Exemption (2) A statement describing the fees to The Department has under be charged to, or paid by, a Client Plan General Information consideration the grant of the following and the Funds to the Bank or any The attention of interested persons is class exemption under the authority of unrelated third party, including the directed to the following: section 408(a) of the Act and section nature and extent of any differential (1) The fact that a transaction is the 4975(c)(2) of the Code, and in between the rates of the fees; subject of an exemption under section accordance with the procedures set (3) A statement of the reasons why the 408(a) of the Act and section 4975(c)(2) forth in 29 CFR Part 2570, Subpart B (55 Bank may consider the transfer and of the Code does not relieve a fiduciary FR 32836, 32847, August 10, 1990.) purchase to be appropriate for the Client or other party in interest or disqualified Plan; and Section I. Retroactive Exemption for the person from certain other provisions of (4) A statement of whether there are Purchase of Fund Shares With Assets the Act and the Code, including any any limitations on the Bank with respect Transferred In-Kind From A CIF prohibited transaction provisions to to which plan assets may be invested in which the exemption does not apply For the period from October 1, 1988, shares of the Funds, and, if so, the and the general fiduciary responsibility to [date of publication of final class nature of such limitations. provisions of section 404 of the Act exemption], the restrictions of sections (f) On the basis of the foregoing which require, among other things, that 406(a) and 406(b)(1) and (b)(2) of the information, the Independent Fiduciary a fiduciary discharge his duties with Act and the taxes imposed by section gives approval, in writing, for each respect to the plan solely in the interests 4975 of the Code, by reason of section purchase of Fund shares in exchange for of the participants and beneficiaries of 4975(c)(1)(A) through (E), shall not the Client Plan’s transferred CIF assets, the plan and in a prudent fashion in apply to the purchase by an employee consistent with the responsibilities, accordance with section 404(a)(1)(B) of benefit plan (the Client Plan) of shares obligations and duties imposed on the Act; nor does it affect the of one or more diversified open-end fiduciaries by Part 4 of Title I of the Act. requirement of section 401(a) of the management investment companies (the (g) The Bank sends by regular mail to Code that the plan must operate for the Fund or Funds) registered under the the Independent Fiduciary of each 58230 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Client Plan that purchases shares in held by a CIF among Client Plans on the imposed on fiduciaries by Part 4 of Title connection with the in-kind transfer, no basis of each Client Plan’s pro rata share I of the Act. later than 105 days after completion of of the aggregate value of such securities (g) The Bank sends by regular mail to each purchase, a written confirmation of will not fail to meet the requirements of the Independent Fiduciary of each the transaction containing— section II(b) if: Client Plan that purchases Fund shares (1) The number of CIF units held by (1) The aggregate value of such in connection with the in-kind transfer, the Client Plan immediately before the securities does not exceed one (1) the following information: transfer, the related per unit value and percent of the total value of the assets (1) Not later than 30 days after the the total dollar amount of such CIF held by the CIF immediately prior to the completion of the purchase, a written units; and transfer; and confirmation which contains— (2) The number of shares in the Funds (2) Such securities have the same (i) The identity of each security that that are held by the Client Plan coupon rate and maturity, and at the was valued for purposes of the purchase immediately following the transfer, the time of the transfer, the same credit of Fund shares in accordance with Rule related per share net asset value and the ratings from nationally recognized 17a–7(b)(4); total dollar amount of such shares. statistical rating agencies. (h) As to each Client Plan, the (d) The Client Plan receives Fund (ii) The current market price, as of the combined total of all fees received by shares that have a total net asset value date of the in-kind transfer, of each such the Bank for the provision of services to equal to the value of the Client Plan’s security involved in the purchase of the Client Plan, and in connection with pro rata share of transferred assets on Fund shares; and the provision of services to a Fund in the date of the transfer, as determined (iii) The identity of each pricing which a Client Plan holds shares in a single valuation for each asset, with service or market-maker consulted in purchased in connection with the in- all valuations performed in the same determining the current market price of kind transfer is not in excess of manner, at the close of the same such securities. ‘‘reasonable compensation’’ within the business day, in accordance with (2) Within 105 days after the meaning of section 408(b)(2) of the Act. Securities and Exchange Commission completion of each purchase, a written (i) All dealings in connection with the Rule 17a–7 (using sources independent confirmation which contains— in-kind transfer and purchase between of the Bank and the Fund) and the (i) The number of CIF units held by the Client Plan and a Fund are on a procedures established by the Funds the Client Plan immediately before the basis no less favorable to the Client Plan pursuant to Rule 17a–7. in-kind transfer, the related per unit than dealings between the Fund and (e) With respect to each Client Plan value, and the total dollar amount of other shareholders. owning assets held in the CIF, an such CIF units; and Section II. Prospective Exemption for Independent Fiduciary for such Client (ii) The number of shares in the Funds the Purchase of Fund Shares With Plan receives advance written notice of that are held by the Client Plan Assets Transferred In-Kind From A CIF the in-kind transfer and purchase of immediately following the purchase, the assets and full written disclosure of related per share net asset value and the Effective [date of publication of final information concerning the Funds total dollar amount of such shares. class exemption], the restrictions of which includes the following: (h) With respect to each of the Funds sections 406(a) and 406 (b)(1) and (b)(2) (1) A current prospectus for each in which a Client Plan continues to hold of the Act and the taxes imposed by Fund to which the CIF assets may be shares acquired in connection with the section 4975 of the Code, by reason of transferred; in-kind transfer, the Bank provides the section 4975(c)(1) (A) through (E) of the (2) A statement describing the fees to Independent Fiduciary of the Client Code, shall not apply to the purchase by be charged to or paid by the Client Plan Plan with— an employee benefit plan (the Client and the Funds to the Bank or any (1) A copy of an updated prospectus Plan) of shares of one or more unrelated third party, including the of such Fund, at least annually; and diversified open-end management nature and extent of any differential (2) Upon request of the Independent investment companies (the Fund) between the rates of such fees; Fiduciary, a report or statement (which registered under the Investment (3) A statement of the reasons why the may take the form of the most recent Company Act of 1940, the investment Bank may consider the transfer and financial report, the current Statement adviser for which is a bank (the Bank) purchase to be appropriate for the Client of Additional Information, or some that is also a fiduciary of the Client Plan; Plan, in exchange for assets of the Client (4) A statement of whether there are other written statement) containing a Plan transferred in-kind to the Fund any limitations on the Bank with respect description of all fees paid by the Fund from a collective investment fund (the to which plan assets may be invested in to the Bank. CIF) maintained by the Bank if the shares of the Funds, and, if so, the (i) As to each Client Plan, the following conditions are met: nature of such limitations; combined total of all fees received by (a) No sales commissions or other fees (5) The identity of securities that will the Bank for the provision of services to are paid by the Client Plans in be valued in accordance with Rule 17a– the Client Plan, and in connection with connection with the purchase of Fund 7(b)(4) and allocated under section II(c); the provision of services to a Fund in shares through the transfer of assets and which a Client Plan holds shares from the CIF. (6) The identity of any fixed-income acquired in connection with the in-kind (b) All transferred assets are securities securities allocated pursuant to section transfer, is not in excess of ‘‘reasonable for which market quotations are readily II(c). compensation’’ within the meaning of available. (f) On the basis of the foregoing section 408(b)(2) of the Act. (c) The transferred assets constitute information, the Independent Fiduciary (j) All dealings in connection with the the Client Plan’s pro rata portion of gives prior approval, in writing, for each in-kind transfer and purchase between such assets that were held by the CIF purchase of Fund shares in exchange for the Client Plan and a Fund are on a immediately prior to the transfer. the Client Plan’s assets transferred from basis no less favorable to the Client Plan Notwithstanding the foregoing, the the CIF, consistent with the than dealings between the Fund and allocation of fixed-income securities responsibilities, obligations and duties other shareholders. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58231

Section III. Availability of Prohibited section 4975(e)(6) of the Code), or a Signed at Washington, D.C., this 5th day of Transaction Exemption (PTE) 77–4 brother, a sister, or a spouse of a brother November, 1996. Alan D. Lebowitz, Any purchase of Fund shares that or a sister. complies with the conditions of either (h) The term ‘‘Independent Fiduciary’’ Deputy Assistant Secretary for Program means a fiduciary of a Client Plan who Operations, Pension and Welfare Benefits Section I or Section II of this class Administration, U.S. Department of Labor. exemption shall be treated as a is independent of and unrelated to the [FR Doc. 96–29036 Filed 11–12–96; 8:45 am] ‘‘purchase or sale’’ of shares of an open- Bank. For purposes of this exemption, end investment company for purposes the Independent Fiduciary will not be BILLING CODE 4510±29±P of PTE 77–4 and shall be deemed to deemed to be independent of and have satisfied paragraphs (a), (d) and (e) unrelated to the Bank if: [Prohibited Transaction Exemption 96±82; of section II of that exemption. 42 FR (1) Such fiduciary directly or Exemption Application No. D±10034, et al.] 18732 (April 8, 1977). indirectly controls, is controlled by, or Grant of Individual Exemptions; Section IV. Definitions is under common control with the Bank Dimensional Fund Advisors Inc. or any affiliate thereof; For purposes of this proposed (2) Such fiduciary, or any officer, AGENCY: Pension and Welfare Benefits exemption: Administration, Labor. (a) The term ‘‘Bank’’ means a bank or director, partner, employee, or relative ACTION: trust company, and any affiliate thereof of such fiduciary, is an officer, director, Grant of individual exemptions. [as defined below in paragraph (b)(1)], partner, employee of the Bank (or is a SUMMARY: This document contains which is supervised by a state or federal relative of such persons) or any affiliate exemptions issued by the Department of agency. thereof; Labor (the Department) from certain of (b) An ‘‘affiliate’’ of a person (3) Such fiduciary directly or the prohibited transaction restrictions of includes— indirectly receives any compensation or the Employee Retirement Income (1) Any person directly or indirectly other consideration for his or her own Security Act of 1974 (the Act) and/or through one or more intermediaries, personal account in connection with the Internal Revenue Code of 1986 (the controlling, controlled by, or under any transaction described in this Code). common control with the person. proposed exemption. Notices were published in the Federal (2) Any officer, director, employee or If an officer, director, partner, Register of the pendency before the relative of such person, or partner in Department of proposals to grant such any such person; and employee of the Bank (or relative of such persons) or any affiliate thereof, is exemptions. The notices set forth a (3) Any corporation or partnership of summary of facts and representations which such person is an officer, a director of such Independent Fiduciary, and if he or she abstains from contained in each application for director, partner or employee. exemption and referred interested (c) The term ‘‘control’’ means the participation in (i) the choice of the Client Plan’s investment adviser, and persons to the respective applications power to exercise a controlling for a complete statement of the facts and (ii) the approval of any purchase or sale influence over the management or representations. The applications have between the Client Plan and the Funds, policies of a person other than an been available for public inspection at as well as any transaction described in individual. the Department in Washington, D.C. The Sections I and II above, then paragraph (d) The term ‘‘collective investment notices also invited interested persons (h)(2) of this Section IV shall not apply. fund’’ or ‘‘CIF’’ means a common or to submit comments on the requested collective trust fund or pooled (i) The term ‘‘secondary service’’ exemptions to the Department. In investment fund maintained by a means a service provided by a Bank to addition the notices stated that any ‘‘Bank’’ as defined in paragraph (a) of a Fund other than investment interested person might submit a this Section IV. management, investment advisory or written request that a public hearing be (e) The term ‘‘Fund’’ or ‘‘Funds’’ similar services. held (where appropriate). The means any diversified open-end (j) The term ‘‘fixed-income security’’ applicants have represented that they management investment company or means any interest-bearing or have complied with the requirements of companies registered under the ’40 Act discounted government or corporate the notification to interested persons. for which the Bank serves as an security with a face amount of $1,000 or No public comments and no requests for investment adviser, and may also serve more that obligates the issuer to pay the a hearing, unless otherwise stated, were as a custodian, shareholder servicing holder a specified sum of money, at received by the Department. agent, transfer agent or provide some specific intervals, and to repay the The notices of proposed exemption other secondary service (as defined principal amount of the loan at were issued and the exemptions are below in paragraph (i) of this section). maturity. being granted solely by the Department (f) The term ‘‘net asset value’’ means because, effective December 31, 1978, (k) The term ‘‘Client Plan’’ means a the amount calculated by dividing the section 102 of Reorganization Plan No. pension plan described in 29 CFR value of all securities, determined by a 4 of 1978 (43 FR 47713, October 17, 2510.3–2, a welfare benefit plan method as set forth in a Fund’s 1978) transferred the authority of the described in 29 CFR 2510.3–1, and a prospectus and statement of additional Secretary of the Treasury to issue plan described in section 4975(e)(1) of information, and other assets belonging exemptions of the type proposed to the the Code, but does not include an to each of the portfolios in such Fund, Secretary of Labor. less the liabilities chargeable to each employee benefit plan established or portfolio, by the number of outstanding maintained by the Bank or by an Statutory Findings shares. affiliate thereof, for its own employees. In accordance with section 408(a) of (g) The term ‘‘relative’’ means a (l) The term ‘‘security’’ shall have the the Act and/or section 4975(c)(2) of the ‘‘relative’’ as that term is defined in same meaning as defined in section Code and the procedures set forth in 29 section 3(15) of the Act (or a ‘‘member 2(36) of the ’40 Act, as amended, 15 CFR Part 2570, Subpart B (55 FR 32836, of the family’’ as that term is defined in U.S.C. 80a–2(36) (1996). 32847, August 10, 1990) and based upon 58232 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices the entire record, the Department makes in the corresponding series of the 3. the identity of each pricing service the following findings: Master Fund. Such authorization is to or market maker consulted in (a) The exemptions are be consistent with the responsibilities, determining the value of such securities; administratively feasible; obligations, and duties imposed on (h) No later than 90 days after (b) They are in the interests of the fiduciaries by Part 4 of Title I of the Act; completion of each in-kind transfer of plans and their participants and (c) No sales commissions, redemption the Group Trust’s assets to the Master beneficiaries; and fees or other fees are paid by the Client Fund, DFA will send by regular mail to (c) They are protective of the rights of Plans in connection with the in-kind the Second Fiduciary, who is acting on the participants and beneficiaries of the transfer of the Group Trust’s assets, in behalf of each affected Client Plan and plans. exchange for the shares of the Master who is independent of and unrelated to Dimensional Fund Advisors Inc. (DFA) Fund; DFA, as defined in paragraph (g) of Located in Santa Monica, California (d) The transfers will be one-time Section III below, written confirmation transactions for each subtrust of a Group that contains the following information: [Prohibited Transaction Exemption 96–82; 1. the number of Group Trust’s units Trust for which a comparable series of Exemption Application No. D–10034] held by the Client Plan immediately the Master Fund exists; Exemption before the transfer (and the related per (e) Each Group Trust receives shares unit value and the total dollar amount The restrictions of sections 406(a), of the Master Fund which have a total of such Group Trust’s units transferred); 406 (b)(1) and (b)(2) of the Act and the net asset value that is equal to the value and sanctions resulting from the application of the Client Plans’ all or pro rata share 2. the number of shares in the Master of section 4975 of the Code, by reason of the Group Trust’s assets on the date Fund that are held by the Client Plan of section 4975(c)(1) (A) through (E) of of the transfer; following the transfer (and the related the Code, shall not apply to the in-kind (f) The current market value of the per share net asset value and the total transfers of the assets of employee Group Trust’s assets to be transferred in- dollar amount of such shares received); benefit plans (the Client Plans) for kind in exchange for the shares of the (i) The transferred securities will be which DFA or an affiliate act as a Master Fund, is determined in a single valued using the same methodology in fiduciary 1 and which are held in DFA valuation performed in the same the Group Trusts and in the Master sponsored group trusts (the Group manner at the close of the same business Fund; Trusts) to the DFA Investment Trust day with respect to any such transfer, (j) DFA will not execute an in-kind Company (the Master Fund), in using independent sources in transfer of the Client Plan’s assets unless exchange for the shares of the Master accordance with the procedures set the Second Fiduciary of each affected Fund, an open-end investment company forth in Rule 17a–7 (Rule 17a–7) under Client Plan affirmatively consents to the registered under the Investment the 1940 Act, as amended from time to in-kind transfer in writing; and Company Act of 1940 (the 1940 Act), for time or any successor rule, regulation, (k) There will be no penalty to a which DFA acts as investment advisor; or similar pronouncement and the Client Plan for not participating in the provided that the following conditions procedures established by DFA in-kind transfer. are satisfied: pursuant to Rule 17a–7 for the valuation Section II—General Conditions (a) A fiduciary (the Second Fiduciary) of such assets. Such procedures must who is acting on behalf of each affected require that all securities for which a (a) DFA maintains for a period of six Client Plan and who is independent of current market price cannot be obtained years the records necessary to enable the and unrelated to DFA, as defined in by reference to the last sales price for persons described below in paragraph paragraph (g) of Section III below, will transactions reported on a recognized (b) to determine whether the conditions receive advance written notice of the in- securities exchange or NASDAQ, be of this exemption have been met, except kind transfer of the Client Plan’s assets valued based on the average of the that (1) a prohibited transaction will not held in a subtrust of a Group Trust to highest current independent bid and be considered to have occurred if, due a corresponding series of the Master lowest current independent offer, as of to circumstances beyond the control of Fund in exchange for the shares of the the close of business on the last DFA, the records are lost or destroyed Master Fund, and the investment of business day preceding the day of the prior to the end of the six-year period, such assets in the corresponding series Group Trust transfer, determined on the and (2) no party in interest other than of the Master Fund, and will receive full basis of reasonable inquiry from at least DFA shall be subject to the civil penalty written disclosures concerning the three sources that are broker-dealers or that may be assessed under section Master Fund described in paragraph (c) pricing services independent of DFA; 502(i) of the Act or to the taxes imposed by section 4975(a) and (b) of the Code of Section II below; (g) No later than 30 days after if the records are not maintained or are (b) On the basis of such information completion of each in-kind transfer of not available for examination as described in paragraph (c) of Section II Group Trust’s assets to the Master Fund, required by paragraph (b) below. below, the Second Fiduciary will DFA will send by regular mail to each (b) (1) Except as provided in authorize in writing the in-kind transfer Second Fiduciary, who is acting on paragraph (b)(2) and notwithstanding of the Client Plan’s assets from a behalf of each affected Client Plan and any provisions of section 504(a)(2) and subtrust of a Group Trust to the who is independent of and unrelated to (b) of the Act, the records referred to in corresponding series of the Master Fund DFA, as defined in paragraph (g) of paragraph (a) are unconditionally in exchange for the shares of the Master Section III below, written confirmation available at their customary location for Fund, and the investment of such assets containing the following information: examination during normal business 1 The applicant states that no retirement plan 1. the identity of each security that hours by— established by DFA is invested in any of the Group was valued for purposes of the (i) Any duly authorized employee or Trusts, and no relief is being requested herein on transaction in accordance with Rule representative of the Department or the behalf of any of DFA’s own plans. Accordingly, the 17a–7(b)(4) under the 1940 Act; Department is not proposing relief for in-kind Internal Revenue Service, transfers involving any plan established and 2. the price of each such security (ii) Any fiduciary of the Client Plans maintained by DFA or its affiliates or subsidiaries. involved in the transaction; and who has authority to acquire or dispose Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58233 of shares of the Funds owned by the investment income, expenses, net For purposes of this exemption, the Client Plans, or any duly authorized investment income, dividends from net Second Fiduciary will not be deemed to employee or representative of such investment income, net realized and be independent of and unrelated to DFA fiduciary, and unrealized gains (losses) on securities; if: (iii) Any participant or beneficiary of distributions from net realized gains (1) Such Second Fiduciary directly or the Client Plans or duly authorized (losses) on securities; net increase indirectly controls, is controlled by, or employee or representative of such (decrease) in net asset value, net asset is under common control with DFA; participant or beneficiary; value at the beginning of the period, net (2) Such Second Fiduciary, or any (2) None of the persons described in asset value at the end of the period, officer, director, partner, employee, or paragraph (b)(1)(ii) and (iii) of Section II expenses to average net assets, portfolio relative of the fiduciary is an officer, shall be authorized to examine trade turnover rate, and number of shares director, partner or employee of DFA (or secrets of DFA, or commercial or outstanding at the end of the period. is a relative of such persons); financial information which is Section III—Definitions (3) Such Second Fiduciary directly or privileged or confidential; and indirectly receives any compensation or (c) A Second Fiduciary who is acting For purposes of this proposed other consideration for his or her own on behalf of a Client Plan and who is exemption: personal account in connection with independent and unrelated to DFA, as (a) The term ‘‘DFA’’ means any transaction described in this defined in paragraph (g) of Section III Dimensional Fund Advisors Inc., and exemption. below, will receive in advance of the any affiliate thereof as defined below in If an officer, director, partner or investment by a Client Plan in the paragraph (b) of this section. employee of DFA (or relative of such Master Fund full written disclosure of (b) An ‘‘affiliate’’ of a person includes: persons), is a director of such Second information concerning the Master Fund (1) Any person directly or indirectly Fiduciary, and if he or she abstains from which shall include, but not be limited through one or more intermediaries, participation in (i) the choice of the to the following: controlling, controlled by, or under Client Plan’s investment manager (1) a current copy of SEC Form N–1A common control with the person; (regarding the registration of an open (2) Any officer, director, employee, advisor, (ii) the approval of any such end investment company under the relative, or partner in any such person; purchase or sale between the Client Plan 1940 Act) 2 with respect to the Master and and the Funds, and (iii) the approval of Fund, plus certain additional (3) Any corporation or partnership of any change in fees charged to or paid by information as specified in the Advisory which such person is an officer, the Client Plan in connection with any Opinion 94–35A 3; director, partner, or employee. of the transactions described in Section (2) a table listing management fees for (c) The term ‘‘control’’ means the I above, then paragraph (g)(2) of this the most recent completed fiscal period, power to exercise a controlling Section III shall not apply. all other expenses broken down by influence over the management or For a more complete statement of the category and total portfolio operating policies of a person other than an facts and representations supporting the expenses; individual. Department’s decision to grant this (3) a chart showing the effect of such (d) The term ‘‘Fund’’ or ‘‘Funds’’ shall exemption refer to the notice of fees on an investment in the Master include the DFA Investment Trust proposed exemption published on Fund over one, three, five and ten years; Company, such additional series as may September 18, 1996 at 61 FR 49156/ and be added to the DFA Investment Trust 49160. (4) a list of per share income and Company, or any other diversified open- FOR FURTHER INFORMATION CONTACT: capital changes for shares outstanding end investment company or companies Ekaterina A. Uzlyan of the Department, throughout the year, including registered under the 1940 Act for which telephone (202) 219–8883. (This is not DFA serves as an investment advisor a toll-free number.) 2 Form N–1A requires the registrant to answer a and may also serve as a custodian, series of questions regarding financial information, Operating Engineers Local 150 shareholder servicing agent, or transfer management of the fund, risk factors and expenses. Apprenticeship Fund (the Plan) Located 3 agent. In the Advisory Opinion 94–35A (AO 94–35A) in Plainfield, Illinois issued by the Department to DFA, DFA requested (e) The term ‘‘net asset value’’ means an advisory opinion with regard to certain the amount for purposes of pricing all [Prohibited Transaction Exemption 96–83; disclosures required by the Securities Act of 1933 purchases and sales calculated by Exemption Application No. L–10279] (the 1933 Act), and which are provided by DFA to independent plan fiduciaries in connection with dividing the value of all securities, Exemption the plans’ investment in a certain open-end determined by a method as set forth in investment company to which DFA serves as an the Fund’s SEC Form N–1A and The restrictions of sections 406(a), investment advisor (the Core Fund), and which is statement of additional information, and 406 (b)(1) and (b)(2) of the Act shall not registered under the 1940 Act, but not under the apply to the sale by the Plan of a parcel 1933 Act. Specifically, DFA requested an advisory other assets belonging to each of the opinion that a receipt by the independent plan portfolios in the Fund or the Fund, less of unimproved real property in Will fiduciary of the Core Fund’s Form N–1A and the the liabilities charged to each such County, Illinois (the Property) to the additional information as specified in AO 94–35A portfolio or the Fund, by the number of International Union of Operating complies with the prospectus disclosure Engineers Local 150, AFL–CIO, a party requirement of paragraph (d) of section II of PTCE outstanding shares. 77–4. In AO 94–35A, the Department stated that the (f) The term ‘‘relative’’ means a in interest with respect to the Plan; disclosure of the Core Fund’s Form N–1A ‘‘relative’’ as that term is defined in provided the following conditions are information and the additional information as section 3(15) of the Act (or a ‘‘member satisfied: specified in AO 94–35A to an independent plan (A) All terms of the transaction are at fiduciary, in lieu of a prospectus, will satisfy the of the family’’ as that term is defined in prospectus disclosure requirement of paragraph (d) section 4975(e)(6) of the Code), or a least as favorable to the Plan as those of section II of PTCE 77–4, provided that the brother, a sister, or a spouse of a brother which the Plan could obtain in an additional information as specified in AO 94–35A or a sister. arm’s-length transaction with an contains all the information, otherwise included in unrelated party; a prospectus, that is relevant to the independent (g) The term ‘‘Second Fiduciary’’ fiduciary’s decision as to whether to approve the means a fiduciary of a Client Plan who (B) The Plan incurs no costs or purchase and sale of shares in the Core Fund. is independent of and unrelated to DFA. expenses related to the transaction; and 58234 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

(C) The Plan receives a purchase price initial issuance of certificates between (2) the pooling and servicing no less than the greater of (1) $65,000, the sponsor or underwriter and a plan agreement is provided to, or described or (2) the fair market value of the when the person who has discretionary in all material respects in the prospectus Property as of the sale date. authority or renders investment advice or private placement memorandum For a more complete statement of the with respect to the investment of plan provided to, investing plans before they facts and representations supporting assets in the certificates is (a) an obligor purchase certificates issued by the this exemption, refer to the notice of with respect to 5 percent or less of the trust.6 proposed exemption published on July fair market value of obligations or Notwithstanding the foregoing, 31, 1996 at 61 FR 40011. receivables contained in the trust, or (b) section I.C. does not provide an FOR FURTHER INFORMATION CONTACT: an affiliate of a person described in (a); exemption from the restrictions of Ronald Willett of the Department, if: section 406(b) of the Act or from the telephone (202) 219–8881. (This is not (i) the plan is not an Excluded Plan; taxes imposed by reason of section a toll-free number.) (ii) solely in the case of an acquisition 4975(c) of the Code for the receipt of a of certificates in connection with the fee by a servicer of the trust from a HSBC Securities, Inc. (HSBC) Located initial issuance of the certificates, at person other than the trustee or sponsor, in New York, New York least 50 percent of each class of unless such fee constitutes a ‘‘qualified [Prohibited Transaction Exemption 96–84; certificates in which plans have administrative fee’’ as defined in section Exemption Application No. D–10316] invested is acquired by persons III.S. independent of the members of the D. The restrictions of sections 406(a) Exemption Restricted Group and at least 50 percent and 407(a) of the Act, and the taxes I. Transactions of the aggregate interest in the trust is imposed by sections 4975 (a) and (b) of A. The restrictions of sections 406(a) acquired by persons independent of the the Code by reason of sections and 407(a) of the Act and the taxes Restricted Group; 4975(c)(1) (A) through (D) of the Code, imposed by section 4975 (a) and (b) of (iii) a plan’s investment in each class shall not apply to any transactions to the Code by reason of section 4975(c)(1) of certificates does not exceed 25 which those restrictions or taxes would (A) through (D) of the Code shall not percent of all of the certificates of that otherwise apply merely because a apply to the following transactions class outstanding at the time of the person is deemed to be a party in involving trusts and certificates acquisition; and interest or disqualified person (iv) immediately after the acquisition evidencing interests therein: (including a fiduciary) with respect to a (1) The direct or indirect sale, of the certificates, no more than 25 plan by virtue of providing services to exchange or transfer of certificates in the percent of the assets of a plan with the plan (or by virtue of having a initial issuance of certificates between respect to which the person has relationship to such service provider the sponsor or underwriter and an discretionary authority or renders described in section 3(14) (F), (G), (H) or employee benefit plan when the investment advice are invested in (I) of the Act or section 4975(e)(2) (F), sponsor, servicer, trustee or insurer of a certificates representing an interest in a (G), (H) or (I) of the Code), solely trust, the underwriter of the certificates trust containing assets sold or serviced because of the plan’s ownership of 5 representing an interest in the trust, or by the same entity. For purposes of this certificates. paragraph B.(1)(iv) only, an entity will an obligor is a party in interest with II. General Conditions respect to such plan; not be considered to service assets (2) The direct or indirect acquisition contained in a trust if it is merely a A. The relief provided under Part I is or disposition of certificates by a plan in subservicer of that trust; available only if the following the secondary market for such (2) The direct or indirect acquisition conditions are met: certificates; and or disposition of certificates by a plan in (1) The acquisition of certificates by a (3) The continued holding of the secondary market for such plan is on terms (including the certificates acquired by a plan pursuant certificates, provided that the conditions certificate price) that are at least as to subsection I.A. (1) or (2). set forth in paragraphs B.(1) (i), (iii) and favorable to the plan as they would be Notwithstanding the foregoing, (iv) are met; and in an arm’s-length transaction with an section I.A. does not provide an (3) The continued holding of unrelated party; exemption from the restrictions of certificates acquired by a plan pursuant (2) The rights and interests evidenced sections 406(a)(1)(E), 406(a)(2) and 407 to subsection I.B. (1) or (2). by the certificates are not subordinated for the acquisition or holding of a C. The restrictions of sections 406(a), to the rights and interests evidenced by certificate on behalf of an Excluded Plan 406(b) and 407(a) of the Act, and the other certificates of the same trust; by any person who has discretionary taxes imposed by section 4975 (a) and (3) The certificates acquired by the authority or renders investment advice (b) of the Code by reason of section plan have received a rating at the time with respect to the assets of that 4975(c) of the Code, shall not apply to of such acquisition that is in one of the Excluded Plan.4 transactions in connection with the three highest generic rating categories B. The restrictions of sections servicing, management and operation of from either Standard & Poor’s 406(b)(1) and 406(b)(2) of the Act and a trust, provided: Corporation (S&P’s), Moody’s Investors the taxes imposed by section 4975 (a) (1) such transactions are carried out in Service, Inc. (Moody’s), Duff & Phelps and (b) of the Code by reason of section accordance with the terms of a binding Inc. (D & P) or Fitch Investors Service, 4975(c)(1)(E) of the Code shall not apply pooling and servicing arrangement; and Inc. (Fitch); to: (1) The direct or indirect sale, 5 For purposes of this exemption, each plan 6 In the case of a private placement memorandum, participating in a commingled fund (such as a bank such memorandum must contain substantially the exchange or transfer of certificates in the collective trust fund or insurance company pooled same information that would be disclosed in a separate account) shall be considered to own the prospectus if the offering of the certificates were 4 Section I.A. provides no relief from sections same proportionate undivided interest in each asset made in a registered public offering under the 406(a)(1)(E), 406(a)(2) and 407 for any person of the commingled fund as its proportionate interest Securities Act of 1933. In the Department’s view, rendering investment advice to an Excluded Plan in the total assets of the commingled fund as the private placement memorandum must contain within the meaning of section 3(21)(A)(ii) and calculated on the most recent preceding valuation sufficient information to permit plan fiduciaries to regulation 29 CFR 2510.3–21(c). date of the fund. make informed investment decisions. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58235

(4) The trustee is not an affiliate of III. Definitions (3) undistributed cash or temporary any member of the Restricted Group. For purposes of this exemption: investments made therewith maturing However, the trustee shall not be A. ‘‘Certificate’’ means: no later than the next date on which considered to be an affiliate of a servicer (1) a certificate— distributions are to made to solely because the trustee has succeeded (a) that represents a beneficial certificateholders; and to the rights and responsibilities of the ownership interest in the assets of a (4) rights of the trustee under the servicer pursuant to the terms of a trust; and pooling and servicing agreement, and pooling and servicing agreement (b) that entitles the holder to pass- rights under any insurance policies, providing for such succession upon the through payments of principal, interest, third-party guarantees, contracts of occurrence of one or more events of and/or other payments made with suretyship and other credit support default by the servicer; respect to the assets of such trust; or arrangements with respect to any (2) a certificate denominated as a debt (5) The sum of all payments made to obligations described in subsection instrument— B.(1). and retained by the underwriters in (a) that represents an interest in a Real connection with the distribution or Notwithstanding the foregoing, the Estate Mortgage Investment Conduit term ‘‘trust’’ does not include any placement of certificates represents not (REMIC) within the meaning of section more than reasonable compensation for investment pool unless: (i) The 860D(a) of the Internal Revenue Code of investment pool consists only of assets underwriting or placing the certificates; 1986; and the sum of all payments made to and of the type which have been included in (b) that is issued by and is an other investment pools, (ii) certificates retained by the sponsor pursuant to the obligation of a trust; evidencing interests in such other assignment of obligations (or interests with respect to certificates defined in (1) investment pools have been rated in one therein) to the trust represents not more and (2) above for which HSBC is either of the three highest generic rating than the fair market value of such (i) the sole underwriter or the manager categories by S&P’s, Moody’s, D & P, or obligations (or interests); and the sum of or co-manager of the underwriting Fitch for at least one year prior to the all payments made to and retained by syndicate, or (ii) a selling or placement plan’s acquisition of certificates the servicer represents not more than agent. pursuant to this exemption, and (iii) reasonable compensation for the For purposes of this exemption, certificates evidencing interests in such servicer’s services under the pooling references to ‘‘certificates representing other investment pools have been and servicing agreement and an interest in a trust’’ include purchased by investors other than plans reimbursement of the servicer’s certificates denominated as debt which for at least one year prior to the plan’s reasonable expenses in connection are issued by a trust. acquisition of certificates pursuant to therewith; and B. ‘‘Trust’’ means an investment pool, this exemption. (6) The plan investing in such the corpus of which is held in trust and C. ‘‘Underwriter’’ means: certificates is an ‘‘accredited investor’’ consists solely of: (1) HSBC; as defined in Rule 501(a)(1) of (1) either (2) any person directly or indirectly, (a) secured consumer receivables that Regulation D of the Securities and through one or more intermediaries, bear interest or are purchased at a Exchange Commission under the controlling, controlled by or under discount (including, but not limited to, Securities Act of 1933. common control with HSBC; or home equity loans and obligations (3) any member of an underwriting B. Neither any underwriter, sponsor, secured by shares issued by a syndicate or selling group of which trustee, servicer, insurer, nor any cooperative housing association); obligor, unless it or any of its affiliates (b) secured credit instruments that HSBC or a person described in (2) is a has discretionary authority or renders bear interest or are purchased at a manager or co-manager with respect to investment advice with respect to the discount in transactions by or between the certificates. plan assets used by a plan to acquire business entities (including, but not D. ‘‘Sponsor’’ means the entity that certificates, shall be denied the relief limited to, qualified equipment notes organizes a trust by depositing provided under Part I, if the provision secured by leases, as defined in section obligations therein in exchange for of subsection II.A.(6) above is not III.T); certificates. satisfied with respect to acquisition or (c) obligations that bear interest or are E. ‘‘Master Servicer’’ means the entity holding by a plan of such certificates, purchased at a discount and which are that is a party to the pooling and provided that (1) such condition is secured by single-family residential, servicing agreement relating to trust disclosed in the prospectus or private multi-family residential and commercial assets and is fully responsible for placement memorandum; and (2) in the real property (including obligations servicing, directly or through case of a private placement of secured by leasehold interests on subservicers, the assets of the trust. certificates, the trustee obtains a commercial real property); F. ‘‘Subservicer’’ means an entity representation from each initial (d) obligations that bear interest or are which, under the supervision of and on purchaser which is a plan that it is in purchased at a discount and which are behalf of the master servicer, services compliance with such condition, and secured by motor vehicles or loans contained in the trust, but is not obtains a covenant from each initial equipment, or qualified motor vehicle a party to the pooling and servicing purchaser to the effect that, so long as leases (as defined in section III.U); agreement. such initial purchaser (or any transferee (e) ‘‘guaranteed governmental G. ‘‘Servicer’’ means any entity which of such initial purchaser’s certificates) is mortgage pool certificates,’’ as defined services loans contained in the trust, required to obtain from its transferee a in 29 CFR 2510.3–101(i)(2); including the master servicer and any representation regarding compliance (f) fractional undivided interests in subservicer. with the Securities Act of 1933, any any of the obligations described in H. ‘‘Trustee’’ means the trustee of the such transferees will be required to clauses (a)–(e) of this section B.(1); trust, and in the case of certificates make a written representation regarding (2) property which had secured any of which are denominated as debt compliance with the condition set forth the obligations described in subsection instruments, also means the trustee of in subsection II.A.(6) above. B.(1); the indenture trust. 58236 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

I. ‘‘Insurer’’ means the insurer or renders investment advice with respect (2) the trust holds a security interest guarantor of, or provider of other credit to any assets of such person. in the leased motor vehicle; and support for, a trust. Notwithstanding the P. ‘‘Sale’’ includes the entrance into a (3) the trust’s security interest in the foregoing, a person is not an insurer forward delivery commitment (as leased motor vehicle is at least as solely because it holds securities defined in section Q below), provided: protective of the trust’s rights as would representing an interest in a trust which (1) The terms of the forward delivery be the case if the trust consisted of are of a class subordinated to certificates commitment (including any fee paid to motor vehicle installment loan representing an interest in the same the investing plan) are no less favorable contracts. trust. to the plan than they would be in an V. ‘‘Pooling and Servicing J. ‘‘Obligor’’ means any person, other arm’s-length transaction with an Agreement’’ means the agreement or than the insurer, that is obligated to unrelated party; agreements among a sponsor, a servicer make payments with respect to any (2) The prospectus or private and the trustee establishing a trust. In obligation or receivable included in the placement memorandum is provided to the case of certificates which are trust. Where a trust contains qualified an investing plan prior to the time the denominated as debt instruments, motor vehicle leases or qualified plan enters into the forward delivery ‘‘Pooling and Servicing Agreement’’ also equipment notes secured by leases, commitment; and includes the indenture entered into by ‘‘obligor’’ shall also include any owner (3) At the time of the delivery, all the trustee of the trust issuing such of property subject to any lease included conditions of this exemption applicable certificates and the indenture trustee. in the trust, or subject to any lease to sales are met. The Department notes that this Q. ‘‘Forward delivery commitment’’ securing an obligation included in the exemption is included within the means a contract for the purchase or trust. meaning of the term ‘‘Underwriter sale of one or more certificates to be K. ‘‘Excluded Plan’’ means any plan Exemption’’ as it is defined in section delivered at an agreed future settlement with respect to which any member of V(h) of Prohibited Transaction date. The term includes both mandatory the Restricted Group is a ‘‘plan sponsor’’ Exemption 95–60 (60 FR 35925, July 12, contracts (which contemplate obligatory within the meaning of section 3(16)(B) 1995), the Class Exemption for Certain delivery and acceptance of the of the Act. Transactions Involving Insurance certificates) and optional contracts L. ‘‘Restricted Group’’ with respect to Company General Accounts at 35932. (which give one party the right but not a class of certificates means: For a more complete statement of the (1) each underwriter; the obligation to deliver certificates to, facts and representations supporting the (2) each insurer; or demand delivery of certificates from, Department’s decision to grant this (3) the sponsor; the other party). exemption, refer to the notice of (4) the trustee; R. ‘‘Reasonable compensation’’ has proposed exemption published on (5) each servicer; the same meaning as that term is September 18, 1996 at 61 FR 49163. (6) any obligor with respect to defined in 29 CFR 2550.408c-2. FOR FURTHER INFORMATION CONTACT: Gary obligations or receivables included in S. ‘‘Qualified Administrative Fee’’ Lefkowitz of the Department, telephone the trust constituting more than 5 means a fee which meets the following (202) 219–8881. (This is not a toll-free percent of the aggregate unamortized criteria: number.) (1) the fee is triggered by an act or principal balance of the assets in the failure to act by the obligor other than General Information trust, determined on the date of the the normal timely payment of amounts initial issuance of certificates by the The attention of interested persons is owing in respect of the obligations; trust; or directed to the following: (2) the servicer may not charge the fee (1) The fact that a transaction is the (7) any affiliate of a person described absent the act or failure to act referred in (1)–(6) above. subject of an exemption under section to in (1); 408(a) of the Act and/or section M. ‘‘Affiliate’’ of another person (3) the ability to charge the fee, the includes: 4975(c)(2) of the Code does not relieve circumstances in which the fee may be a fiduciary or other party in interest or (1) Any person directly or indirectly, charged, and an explanation of how the through one or more intermediaries, disqualified person from certain other fee is calculated are set forth in the provisions to which the exemptions controlling, controlled by, or under pooling and servicing agreement; and does not apply and the general fiduciary common control with such other (4) the amount paid to investors in the responsibility provisions of section 404 person; trust will not be reduced by the amount (2) Any officer, director, partner, of any such fee waived by the servicer. of the Act, which among other things employee, relative (as defined in section T. ‘‘Qualified Equipment Note require a fiduciary to discharge his 3(15) of the Act), a brother, a sister, or Secured By A Lease’’ means an duties respecting the plan solely in the a spouse of a brother or sister of such equipment note: interest of the participants and other person; and (1) which is secured by equipment beneficiaries of the plan and in a (3) Any corporation or partnership of which is leased; prudent fashion in accordance with which such other person is an officer, (2) which is secured by the obligation section 404(a)(1)(B) of the Act; nor does director or partner. of the lessee to pay rent under the it affect the requirement of section N. ‘‘Control’’ means the power to equipment lease; and 401(a) of the Code that the plan must exercise a controlling influence over the (3) with respect to which the trust’s operate for the exclusive benefit of the management or policies of a person security interest in the equipment is at employees of the employer maintaining other than an individual. least as protective of the rights of the the plan and their beneficiaries; O. A person will be ‘‘independent’’ of trust as would be the case if the (2) These exemptions are another person only if: equipment note were secured only by supplemental to and not in derogation (1) such person is not an affiliate of the equipment and not the lease. of, any other provisions of the Act and/ that other person; and U. ‘‘Qualified Motor Vehicle Lease’’ or the Code, including statutory or (2) the other person, or an affiliate means a lease of a motor vehicle where: administrative exemptions and thereof, is not a fiduciary who has (1) the trust holds a security interest transactional rules. Furthermore, the investment management authority or in the lease; fact that a transaction is subject to an Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58237 administrative or statutory exemption is Labor, 200 Constitution Avenue, N.W., and the taxes imposed by section 4975 not dispositive of whether the Washington, D.C. 20210. Attention: (a) and (b) of the Internal Revenue Code transaction is in fact a prohibited Application No. stated in each Notice of of 1986 (the Code), by reason of section transaction; and Proposed Exemption. The applications 4975 (c)(1) (A) through (D) of the Code, (3) The availability of these for exemption and the comments shall not apply to any purchase or sale exemptions is subject to the express received will be available for public of a security between an employee condition that the material facts and inspection in the Public Documents benefit plan and a broker-dealer representations contained in each Room of Pension and Welfare Benefits affiliated with Morgan Stanley & Co. application accurately describes all Administration, U.S. Department of and subject to British law (MSC/UK material terms of the transaction which Labor, Room N–5507, 200 Constitution Affiliate), if the following conditions, is the subject of the exemption. Avenue, N.W., Washington, D.C. 20210. and the conditions of Section II, are satisfied: Signed at Washington, D.C., this 7th day of Notice to Interested Persons November, 1996. (1) The MSC/UK Affiliate customarily Notice of the proposed exemptions purchases and sells securities for its Ivan Strasfeld, will be provided to all interested own account in the ordinary course of Director of Exemption Determinations, persons in the manner agreed upon by its business as a broker-dealer. Pension and Welfare Benefits Administration, the applicant and the Department (2) Such transaction is on terms at U.S. Department of Labor. within 15 days of the date of publication least as favorable to the plan as those [FR Doc. 96–29034 Filed 11–12–96; 8:45 am] in the Federal Register. Such notice which the plan could obtain in an arm’s BILLING CODE 4510±29±P shall include a copy of the notice of length transaction with an unrelated proposed exemption as published in the party. [Application No. D±10108, et al.] Federal Register and shall inform (3) Neither the MSC/UK Affiliate nor interested persons of their right to an affiliate thereof has discretionary Proposed Exemptions; Morgan Stanley comment and to request a hearing authority or control with respect to the & Company Incorporated (where appropriate). investment of the plan assets involved SUPPLEMENTARY INFORMATION: The in the transaction, or renders investment AGENCY: Pension and Welfare Benefits proposed exemptions were requested in advice (within the meaning of 29 CFR Administration, Labor. applications filed pursuant to section 2510.3–21(c)) with respect to those ACTION: Notice of proposed exemptions. 408(a) of the Act and/or section assets, and the MSC/UK Affiliate is a 4975(c)(2) of the Code, and in party in interest or disqualified person SUMMARY: This document contains with respect to the plan assets involved notices of pendency before the accordance with procedures set forth in 29 CFR Part 2570, Subpart B (55 FR in the transaction solely by reason of Department of Labor (the Department) of section 3(14)(B) of the Act or section proposed exemptions from certain of the 32836, 32847, August 10, 1990). Effective December 31, 1978, section 4975(e)(2)(B) of the Code, or by reason prohibited transaction restriction of the of a relationship to a person described Employee Retirement Income Security 102 of Reorganization Plan No. 4 of 1978 (43 FR 47713, October 17, 1978) in such sections. For purposes of this Act of 1974 (the Act) and/or the Internal paragraph, the MSC/UK Affiliate shall Revenue Code of 1986 (the Code). transferred the authority of the Secretary of the Treasury to issue exemptions of not be deemed to be a fiduciary with Written Comments and Hearing the type requested to the Secretary of respect to a plan solely by reason of Requests Labor. Therefore, these notices of providing securities custodial services proposed exemption are issued solely for a plan. All interested persons are invited to B. Effective August 25, 1995, the by the Department. submit written comments or requests for restrictions of section 406(a)(1) (A) a hearing on the pending exemptions, The applications contain representations with regard to the through (D) of the Act and the taxes unless otherwise stated in the Notice of imposed by section 4975(a) and (b) of Proposed Exemption, within 45 days proposed exemptions which are summarized below. Interested persons the Code, by reason of section 4975(c)(1) from the date of publication of this (A) through (D) of the Code, shall not Federal Register Notice. Comments and are referred to the applications on file with the Department for a complete apply to the lending of securities that requests for a hearing should state: (1) are assets of an employee benefit plan the name, address, and telephone statement of the facts and representations. to an MSC/UK Affiliate if the following number of the person making the conditions, and the conditions of comment or request, and (2) the nature Morgan Stanley & Co. Incorporated; Section II, are satisfied: of the person’s interest in the exemption Located in New York, New York (1) Neither the MSC/UK Affiliate (the and the manner in which the person [Application No. D–10108] Borrower) nor an affiliate of the would be adversely affected by the Borrower has discretionary authority or exemption. A request for a hearing must Proposed Exemption control with respect to the investment of also state the issues to be addressed and The Department is considering the plan assets involved in the include a general description of the granting an exemption under the transaction, or renders investment evidence to be presented at the hearing. authority of section 408(a) of the Act advice (within the meaning of 29 CFR A request for a hearing must also state and section 4975(c)(2) of the Code and 2510.3–21(c)) with respect to those the issues to be addressed and include in accordance with the procedures set assets; a general description of the evidence to forth in 29 CFR Part 2570, Subpart B (55 (2) The plan receives from the be presented at the hearing. FR 32836, 32847, August 10, 1990). Borrower, either by physical delivery or ADDRESSES: All written comments and by book entry in a securities depository requests for a hearing (at least three Section I—Transactions located in the United States, by the copies) should be sent to the Pension A. Effective August 25, 1995, the close of business on the day on which and Welfare Benefits Administration, restrictions of section 406(a)(1) (A) the securities lent are delivered to the Office of Exemption Determinations, through (D) of the Employee Retirement Borrower, collateral consisting of U.S. Room N–5649, U.S. Department of Income Security Act of 1974 (the Act) currency, securities issued or 58238 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices guaranteed by the United States (7) If the market value of the collateral transaction shall not be deemed to have Government or its agencies or on the close of trading on a business day caused the plan to engage in a instrumentalities, or irrevocable United is less than 100 percent of the market transaction prohibited by section States bank letters of credit issued by a value of the borrowed securities at the 406(a)(1)(A) through (D) of the Act person other than the Borrower or an close of trading on that day, the solely by reason of the Borrower’s affiliate thereof, or any combination Borrower shall deliver, by the close of failure to comply with the conditions of thereof, having, as of the close of business on the following business day, the exemption. business on the preceding business day, an additional amount of collateral (as C. Effective August 25, 1995, the a market value (or, in the case of letters described in paragraph (2)) the market restrictions of sections 406(a)(1) (A) of credit, a stated amount) equal to not value of which, together with the market through (D) and 406(b)(2) of the Act and less than 100 percent of the then market value of all previously delivered the taxes imposed by section 4975 (a) value of the securities lent. The collateral, equals at least 100 percent of and (b) of the Code shall not apply to collateral referred to in this Section the market value of all the borrowed any extension of credit to an employee I(B)(2) must be held in the United securities as of such preceding day. benefit plan by an MSC/UK Affiliate to States; Notwithstanding the foregoing, part of permit the settlement of securities (3) Prior to the making of any such the collateral may be returned to the transactions or in connection with the loan, the Borrower shall have furnished Borrower if the market value of the writing of options contracts provided the following items to the fiduciary for collateral exceeds 100 percent of the that the following conditions are met: the plan who is making decisions on market value of the borrowed securities, (a) The MSC/UK Affiliate is not a behalf of the plan with respect to the as long as the market value of the fiduciary with respect to any assets of lending of securities (the Lending remaining collateral equals at least 100 such plan, unless no interest or other Fiduciary): (1) the most recent available percent of the market value of the consideration is received by such audited statement of the Borrower’s borrowed securities; fiduciary or any affiliate thereof in financial condition, (2) the most recent (8) The loan may be terminated by the connection with such extension of available unaudited statement of the plan at any time, whereupon the credit; and Borrower’s financial condition (if more Borrower shall deliver certificates for (b) Such extension of credit would be recent than such audited stated), and (3) securities identical to the borrowed lawful under the Securities Exchange a representation that, at the time the securities (or the equivalent thereof in Act of 1934 and any rules or regulations loan is negotiated, there has been no the event of reorganization, thereunder if such act, rules or material adverse change in the recapitalization or merger of the issuer regulations were applicable. of the borrowed securities) to the plan Borrower’s financial condition since the Section II—General Conditions within (1) the customary delivery period date of the most recent financial A. The MSC/UK Affiliate is registered statement furnished to the plan that has for such securities, (2) three business days, or (3) the time negotiated for such as a broker-dealer with the Securities not been disclosed to the Lending delivery by the plan and the Borrower, and Futures Authority of the United Fiduciary. Such representation may be whichever is lesser; and Kingdom (the S.F.A.); made by the Borrower’s agreement that (9) In the event the loan is terminated B. The MSC/UK Affiliate is in each such loan shall constitute a and the Borrower fails to return the compliance with all requirements of representation by the Borrower that borrowed securities or the equivalent Rule 15a–6 (17 CFR 240.15a–6) under there has been no such material adverse thereof within the time described in the Securities and Exchange Act of change; paragraph (8) above, then (i) the plan 1934, which provides for foreign broker- (4) The loan is made pursuant to a may, under the terms of the loan dealers a limited exemption from U.S. written loan agreement, the terms of agreement, purchase securities identical registration requirements; which are at least as favorable to the to the borrowed securities (or their C. Prior to the transaction, the MSC/ plan as those which the plan could equivalent as described above) and may UK Affiliate enters into a written obtain in an arm’s-length transaction apply the collateral to the payment of agreement with the plan in which the with an unrelated party. Such the purchase price, any other MSC/UK Affiliate consents to the agreement may be in the form of a obligations of the Borrower under the jurisdiction of the courts of the United master agreement covering a series of agreement, and any expenses associated States with respect to the transactions securities-lending transactions; with the sale and/or purchase, and (ii) covered by this exemption; (5) The plan (1) receives a reasonable the Borrower is obligated, under the D.(1) The MSC/UK Affiliate maintains fee that is related to the value of the terms of the loan agreement, to pay, and or causes to be maintained within the borrowed securities and the duration of does pay to the plan, the amount of any United States for a period of six years the loan, or (2) has the opportunity to remaining obligations and expenses not from the date of such transaction such derive compensation through the covered by the collateral plus interest at records as are necessary to enable the investment of cash collateral. Where the a reasonable rate. Notwithstanding the persons described in this section to plan has that opportunity, the plan may foregoing, the Borrower may, in the determine whether the conditions of pay a loan rebate or similar fee to the event the Borrower fails to return this exemption have been met; except Borrower, if such fee is not greater than borrowed securities as described above, that a party in interest with respect to the plan would pay an unrelated party replace non-cash collateral with an an employee benefit plan, other than the in an arm’s-length transaction; amount of cash not less than the then MSC/UK Affiliate, shall not be subject (6) The plan receives the equivalent of current market value of the collateral, to a civil penalty under section 502(i) of all distributions made to holders of the provided such replacement is approved the Act or the taxes imposed by section borrowed securities during the term of by the Lending Fiduciary. 4975(a) or (b) of the Code, if such the loan, including, but not limited to, (10) If the Borrower fails to comply records are not maintained, or are not cash dividends, interest payments, with any condition of this exemption, in available for examination as required by shares of stock as a result of stock splits the course of engaging in a securities- this section, and a prohibited and rights to purchase additional lending transactions, the plan fiduciary transaction will not be deemed to have securities; who caused the plan to engage in such occurred if, due to circumstances Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58239 beyond the control of the MSC/UK foreign affiliates customarily operate as registration requirements pursuant to Affiliate, such records are lost or traders in dealers markets wherein the provisions with which the MSC/UK destroyed prior to the end of such six broker-dealer purchases and sells Affiliate is able to comply. However, year period; securities for its own account and MSC states that because of the S.E.C. (2) The records referred to in engages in purchases and sales of registration requirement of PTCE 75–1, subsection (1) above are unconditionally securities with its clients, and that such the MSC/UK Affiliate is prevented from available for examination during normal trades are referred to as principal engaging in principal transactions with business hours by duly authorized transactions. MSC states that in issuing plans with respect to which MSC is a employees of the Department of Labor, Prohibited Transaction Class Exemption party in interest, even though such the Internal Revenue Service, plan 75–1 (PTCE 75–1, 40 FR 50845, October affiliate is registered with the S.F.A., participants and beneficiaries, any 31, 1975) the Department has experienced in the markets, and able to employer of plan participants and recognized the functions of registered satisfy the Rule 15(a)–6 requirements for beneficiaries, and any employee broker-dealers in principal transactions S.E.C. registration exemption. organization any of whose members are on behalf of clients which are employee Accordingly, MSC is requesting an covered by such plan; except that none benefit plans covered by the Act. Part II individual exemption to permit its of the persons described in this of PTCE 75–1 provides exemptive relief MSC/UK Affiliate to engage in principal subsection shall be authorized to from section 406(a) of the Act for transactions with plans under the terms examine trade secrets of Morgan Stanley principal transactions between plans and conditions set forth herein, which & Co. or the MSC/UK or any commercial and broker-dealers which are registered MSC represents are equivalent to those or financial information which is under the Securities Exchange Act of set forth in PTCE 75–1, Part II.1 privileged or confidential. 1934, provided all requirements stated 4. The proposed exemption will be Section III—Definitions in Part II are satisfied. MSC represents applicable only to transactions affected that like the U.S. dealer markets, by an MSC/UK Affiliate which is ‘‘Affiliate’’ of a person shall include: international equity and debt markets, registered as a broker-dealer with the (i) Any person directly or indirectly, including the options markets, are no S.F.A. and in compliance with Rule through one or more intermediaries, less dependent on a willingness of 15(a)–6. MSC represents that the role of controlling, controlled by, or under dealers to trade as principals. In the a broker-dealer in a principal common control with such other absence of an exemption for principal transaction in the United Kingdom is person; (ii) any officer, director, or transactions, such as PTCE 75–1, those substantially identical to that of a partner, employee or relative (as defined responsible for trading activities on broker-dealer in a principal transaction in section 3(15) of the Act) of such other behalf of plan investors would be in the United States. MSC further person; and (iii) any corporation or prevented from engaging in transactions represents that registration of a broker- partnership of which such other person with those broker-dealers and banks that dealer with the S.F.A. is equivalent to is an officer, director or partner. For provide the markets for the securities registration of a broker-dealer with the purposes of this definition, the term and are most capable of handling such S.E.C. under the 1934 Act. MSC ‘‘control’’ means the power to exercise transactions. maintains that the S.F.A. has a controlling influence over the promulgated rules for broker-dealers management or policies of a person 3. MSC represents that over the past decade, plans have increasingly which are equivalent to S.E.C. rules, other than an individual. relating to registration requirements, ‘‘Security’’ shall include equities, invested in foreign equity and debt minimum capitalization, reporting fixed income securities, options on securities, including foreign government requirements, periodic examinations, equity and on fixed income securities, securities. MSC states that plans seeking fund segregation, client protection, and government obligations, and any other to enter into such investments may wish enforcement. MSC represents that the instrument that constitutes a security to increase the number of trading rules and regulations set forth by the under U.S. securities laws. The term partners available to them by trading S.F.A. and the S.E.C. share a common ‘‘security’’ does not include swap with foreign broker-dealers such as the objective: the protection of the investor agreements or other notional principal MSC/UK Affiliate. However, where by the regulation of securities markets. contracts. MSC provides services to such plans which are covered by the Act, principal MSC explains that under S.F.A. rules, Summary of Facts and Representations transactions with the MSC/UK Affiliate persons who manage investments or 1. Morgan Stanley & Co. Incorporated would be prohibited by the Act. The give advice with respect to investments (MSC) is an international securities firm exemptive relief afforded U.S. broker- must be registered as a ‘‘registered that performs securities underwriting, dealers by PTCE 75–1 would not be representative’’. If a person is not a distribution and trading, merger, available with respect to the MSC/UK registered representative and, as part of acquisition, restructuring and other Affiliate because that class exemption is his duties, makes commitments in corporate financial services for clients limited to broker-dealers registered with market dealings or transactions, that world wide. Clients include the U.S. Securities and Exchange person must be registered as a multinational corporations, Commission (S.E.C.) under the ‘‘registered trader’’. MSC represents that governments, emerging growth Securities Exchange Act of 1934 (the the S.F.A. rules require each firm which companies, financial institutions and 1934 Act). MSC represents that its MSC/ employs registered representatives or individual investors. UK Affiliate is not so registered but, 2. MSC has foreign affiliates world instead, is governed by the rules, 1 The Department notes that the proposed principal transactions are subject to the fiduciary wide who are in the business of trading regulations and registration responsibility requirements of part 4, subtitle B, securities, including a broker-dealer requirements of the Securities and title I of the Act. Section 404(a) of the Act requires, affiliate in London, England (the MSC/ Futures Authority of the United among other things, that a fiduciary of a plan act UK Affiliate), currently Morgan Stanley Kingdom (the S.F.A.). Furthermore, prudently, solely in the interest of the plan’s participants and beneficiaries, and for the exclusive & Co. International Limited. MSC MSC represents that Rule 15(a)–6 of the purpose of providing benefits to participants and represents that in the ordinary course of 1934 Act offers foreign broker-dealers beneficiaries when making investment decisions on their business as broker-dealers, these limited exemption from the S.E.C. behalf of a plan. 58240 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices registered traders to have positive MSC represents that under Rule 15a– period, and that such extensions of tangible net worth and be able to meet 6, a foreign broker-dealer that induces or credit are also customary activities of its obligations as they fall due, and that attempts to induce the purchase or sale broker-dealers in connection with the the S.F.A. rules set forth comprehensive of any security by a U.S. institutional or writing of option contracts. MSC notes financial resource and reporting/ major institutional investor in that exemptive relief for such disclosure rules regarding capital accordance with Rule 15a–6 must, transactions is provided under Part V of adequacy. In addition to demonstration among other things: PTCE 75–1. However, the exemptive of capital adequacy, MSC states that the (a) Consent to service of process for relief under Part V of PTCE 75–1, like S.F.A. rules impose reporting/disclosure any civil action brought by, or that under Part II, is available only with requirements on broker-dealers with proceeding before, the S.E.C. or any self- respect to broker-dealers which are respect to risk management, internal regulatory organization; registered with the S.E.C. under the controls, and all records relating to a (b) Provide the S.E.C. with any 1934 Act. Accordingly, MSC requests counterparty, and that all records must information or documents within its that the exemption include relief for be produced at the request of the S.F.A. possession, custody or control, any extensions of credit by the MSC/UK at any time. MSC states that S.F.A.’s testimony of any such foreign associated affiliate in the ordinary course of the persons, and any assistance in taking registration requirements for broker- purchase or sale of securities, regardless the evidence of other persons, wherever dealers are backed up by potential fines of whether they are effected on an located, that the S.E.C. requests and that and penalties, and rules which establish agency or a principal basis. The relates to transactions effected pursuant a comprehensive disciplinary system. proposed exemption provides relief for to the Rule; 5. MSC represents that in addition to extensions of credit by the MSC/UK the protections which are afforded by (c) Rely on the U.S. registered broker- dealer through which the transactions Affiliate to a plan to permit the registration with S.F.A., compliance settlement of securities transactions or with the requirements of Rule 15a–6 (17 with the U.S. institutional and major institutional investors are effected to in connection with the writing of CFR 240.15a–6) under the 1934 Act will options contracts, provided that the offer additional protections in lieu of (among other things): (1) Effect the transactions, other than MSC/UK Affiliate is not a fiduciary with registration with the S.E.C. MSC states negotiating their terms; respect to any assets of the plan, unless that Rule 15a–6 provides an exemption (2) Issue all required confirmations no interest or other consideration is from U.S. broker-dealer registration for and statements; received by the MSC/UK Affiliate in a foreign broker-dealer that induces or (3) As between the foreign broker- connection with such extension of attempts to induce the purchase or sale dealer and the U.S. registered broker- credit. The proposed exemption also of any security (including over-the- dealer, extend or arrange for the requires that the extension of credit counter equity and debt options) by a extension of credit in connection with would be lawful under the 1934 Act and ‘‘U.S. institutional investor’’ or a ‘‘U.S. the transactions; any rules or regulations thereunder if major institutional investor’’, provided (4) Maintain required books and such act, rules, or regulations were that the foreign broker dealer, among records relating to the transactions, applicable. other things, enters into these including those required by Rules 17a– 7. In addition to exemptive relief for transactions through a U.S. registered 3 (Records to be Made by Certain principal transactions and extensions of broker-dealer intermediary. The term Exchange Members) and 17a–4 (Records credit in connection with the purchase ‘‘U.S. institutional investor’’, as defined to be Preserved by Certain Exchange or sale of securities, MSC is also in Rule 15a–6(b)(7), includes an Members, Brokers and Dealers) of the requesting exemptive relief for the employee benefit plan within the 1934 Act; meaning of the Employee Retirement (5) Receive, deliver, and safeguard lending of securities, equivalent to that Income Security Act of 1974 (the Act) if funds and securities in connection with provided under the terms and (a) the investment decision is made by the transactions on behalf of the U.S. conditions of Prohibited Transaction a plan fiduciary, as defined in section institutional investor or U.S. major Class Exemption 81–6 (PTCE 81–6, 46 3(21) of the Act, which is either a bank, institutional investor in compliance FR 7527, January 23, 1981, amended at savings and loan association, insurance with Rule 15c3–3 of the 1934 Act 52 FR 18754, May 19, 1987), a class company or registered investment (Customer Protection—Reserves and exemption to permit certain loans of advisor, or (b) the employee benefit plan Custody of Securities); and securities by employee benefit plans. has total assets in excess of $5 million, (6) Participate in all oral MSC represents that in PTCE 81–6 the or (c) the employee benefit plan is a self- communications (e.g., telephone calls) Department has recognized that directed plan with investment decisions between the foreign associated person securities lending represents a low-risk made solely by persons that are and the U.S. institutional investor (not means of enhancing the investment ‘‘accredited investors’’ as defined in the U.S. major institutional investor), return of plans with respect to securities Rule 501(a)(1) of Regulation D of the and accompany the foreign associated that would otherwise be idle. MSC Securities Act of 1933, as amended. The person on all visits with both U.S. represents that the conditions of Section term ‘‘U.S. major institutional investor’’ institutional and major institutional I(B) of the proposed exemption will is defined as a person that is a U.S. investors. By virtue of this participation, subject the MSC/UK Affiliate to all of institutional investor that has total the U.S. registered broker-dealer would the conditions imposed on broker- assets in excess of $100 million. MSC become responsible for the content of all dealers under PTCE 81–6, other than represents that the intermediation of the these communications. registration under the 1934 Act. MSC U.S. registered broker-dealer imposes 6. MSC represents that a normal part notes that such conditions include upon the foreign broker-dealer the of the execution of securities requirements relating to daily marking requirement that the securities transactions by broker-dealers on behalf to market, setting collateral at 100 transaction be effected in accordance of customers, including employee percent of the market value of the with a number of U.S. securities laws benefit plans, is the extension of credit securities, the rules for termination of and regulations applicable to U.S. to customers to permit the settlement of the loan, and return of the borrowed registered broker-dealers. transactions in the customary settlement securities. In addition, MSC notes that Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58241 the collateral will be in U.S. dollars and Trust of its stock in AmeriData the ERC Retirement Plan, which is will be held in the United States. Technologies, Inc. (the AmeriData maintained by Employers Reinsurance 8. In summary, the applicant Stock) to General Electric Capital Corporation, an affiliate of GE. As of represents that the proposed Corporation (GECC) and GECC’s December 31, 1995, the GE Trust had transactions satisfy the criteria of indirect, wholly-owned subsidiary, GAC total net assets of approximately $30.3 section 408(a) of the Act for the Acquisition I Corporation (GAC), both of billion. following reasons: (1) With respect to which are parties in interest with 2. The assets of the GE Trust are held principal transactions affected by the respect to the GE Trust and affiliates of in trust by seven (7) trustees (the MSC/UK Affiliate, the exemption will the General Electric Company (GE) the Trustees) who are all employees of GE enable plans to realize the same benefits sponsor of the GE Trust, in connection and who are appointed by the Benefit of efficiency and convenience which with the merger (the Merger) of GAC Plans Investment Committee (BPIC). derive from principal transactions and AmeriData Technologies, Inc. The Board of Directors of GE appoints executed pursuant to Part II of PTCE 75– (AmeriData), provided that the officers of GE to serve as members of 1 by broker-dealers registered in the following conditions were satisfied: BPIC. BPIC determines the investment United States; (2) With respect to (a) The sale of the AmeriData Stock by policies with respect to the assets of the extensions of credit by the MSC/UK the GE Trust was a one-time transaction Plans in the GE Trust. Affiliate in connection with purchases for cash; 3. GE offers diversified manufacturing or sales of securities, the exemption will (b) The GE Trust received the fair and technical services worldwide. An enable the MSC/UK to extend credit in market value for each share of the indirect, wholly-owned subsidiary of the ordinary course of business to affect AmeriData Stock on the date of the sale; GE, GECC, provides financial services in the transactions within the customary (c) The GE Trust received no less the following categories: special settlement period or in connection with consideration than that received by insurance services, consumer services, the writing of options contracts; (3) similarly situated AmeriData specialized financing, equipment With respect to securities lending shareholders at the same time in the management, and mid-market financing. transactions affected by the MSC/UK same transaction; The affiliates of GE play a primary role Affiliate, the exemption will enable (d) The GE Trust paid no in the proposed transaction. In this plans to realize a low-risk return on commissions, fees or other expenses in regard, GECC established GAC, as an securities that otherwise would remain connection with the sale of the indirect, wholly-owned special purpose idle, as in securities lending AmeriData Stock to GECC and GAC; subsidiary, to acquire AmeriData. In this (e) The terms of the sale were no less transactions executed pursuant to PTCE regard, it is represented that GAC will favorable to the GE Trust than those 81–6 by broker-dealers registered in the be merged into AmeriData at which time obtainable by other similarly situated United States; and (3) The proposed AmeriData will become an affiliate of shareholders of AmeriData Stock; GE. Because GECC is a participating exemption generally imposes terms and (f) The GE Trust tendered its shares of conditions upon the transactions employer under the GE Plan, GECC and AmeriData Stock only at the close of the GAC are parties in interest with respect executed by the MSC/UK Affiliate tender-offer period and only after a which are the same as those imposed on to the GE Trust. majority of the outstanding shares of 4. AmeriData, with offices in U.S. broker-dealers under PTCE 75–1 AmeriData had been tendered; and Stamford, Connecticut, is a corporation and PTCE 81–6. (g) The transactions engaged in by the registered under the laws of the State of FOR FURTHER INFORMATION CONTACT: GE Trust with respect to the AmeriData Delaware. AmeriData is an international Ronald Willett of the Department, Stock (including the acquisition, provider of computer products and telephone (202) 219–8881. (This is not holding and subsequent sale to GECC services, as well as technology a toll-free number.) and GAC) were not part of an consulting services. Shares of General Electric Pension Trust (the GE arrangement designed to benefit GE, any AmeriData Stock are widely-held and Trust), Located in Fairfield, of its affiliates, or any other party in publicly-traded on the New York Stock Connecticut interest with respect to the GE Trust. Exchange. It is represented that EFFECTIVE DATE: This proposed approximately 24,938,845 shares of [Application Nos. D–10285 Thru D–10287] exemption, if granted, will be effective AmeriData Stock are considered Proposed Exemption as of July 12, 1996, the closing date of outstanding for purposes of Delaware the tender-offer period for the General Corporation Law (DGCL), as of The Department is considering AmeriData Stock in connection with the July 23, 1996. granting an exemption under the Merger. 5. The Applicants represent that, as of authority of section 408(a) of the Act December 31, 1995, the readily and section 4975(c)(2) of the Code and Summary of Facts and Representations identifiable shareholders of AmeriData in accordance with the procedures set 1. The GE Trust is a single pension Stock were: (1) the GE Trust; (2) two forth in 29 CFR Part 2570, Subpart B (55 trust through which three (3) defined investment Partnerships; (3) SBC FR 32836, 32847, August 10, 1990). If benefit plans (the Plans) are funded. Technologies, Inc., a wholly-owned the exemption is granted, the These Plans provide pension and death subsidiary of AmeriData; and (4) the restrictions of sections 406(a), 406(b)(1) benefits to eligible employees and their officers and directors of AmeriData. It is and 406(b)(2) of the Act and the beneficiaries. As of December 31, 1995, represented that the remaining shares of sanctions resulting from the application there were approximately 465,000 AmeriData Stock were held by the of section 4975 of the Code, by reason participants in the Plans. The Plans general public. of section 4975(c)(1) (A) through (E) of which participate in the GE Trust are: As of December 31, 1995, the officers 2 the Code, shall not apply, effective July (a) the General Electric Company and directors of AmeriData owned 11.8 12, 1996, to the past sale by the GE Pension Plan (the GE Plan), which is percent (11.8%) of the shares of maintained by GE; (b) the Components AmeriData Stock. It is represented that, 2 For purposes of this proposed exemption references to specific provisions of Title I of the Pension Plan for Puerto Rico, which is as of May 20, 1996, management Act, unless otherwise specified, refer also to the maintained by Caribe General Electric shareholders of AmeriData owning corresponding provisions of the Code. Products, Inc., an affiliate of GE; and (c) approximately 6 percent (6%) of the 58242 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices outstanding shares of AmeriData Stock of AmeriData Stock. The tender-offer shares of AmeriData Stock were had entered into binding agreements to period began on May 24, 1996, and was tendered, then GAC was bound to tender their shares. None of the officers to expire on June 21, 1996, subject to the acquire the tendered shares. Further, and directors of AmeriData are satisfaction or waiver of certain closing under the terms of the Merger employed by GE or its affiliates. conditions. Because certain closing Agreement once a majority of shares had With respect to the two investment conditions could not be satisfied or been tendered, GAC in its capacity as partnerships, the combined ownership waived before June 21, the tender-offer the acquiring corporation, was obligated represented a total of 10.9% of the period was extended until July 12, 1996. to cause a forced redemption of all the shares of AmeriData Stock. Neither Pursuant to the tender, GAC offered to shares of AmeriData Stock which had investment partnership has any purchase the stock of AmeriData for $16 not been tendered initially. In this affiliation with GE. a share or approximately $490 million regard, under the terms of the Merger 6. As of December 31, 1995, the GE in the aggregate. The tender price Agreement, such follow-on merger Trust owned approximately 2,101,404 represented a premium of would redeem, at the same $16 per shares of the AmeriData Stock. These approximately 47.1 percent (47.1%) share consideration, all the remaining shares represented approximately 9.7 over the closing price of $107⁄8 per share shares of AmeriData Stock held by percent (9.7%) of the total outstanding for AmeriData Stock on April 19, 1996, parties other than GAC. GAC was shares of the AmeriData Stock at that thirty-one (31) days prior to the public assured under Delaware law, that once time. It is represented that the Trustees announcement of the execution of the a majority of shares had been tendered, acquired the 2,101,404 shares of the Merger Agreement. In this regard, it is it would be able to acquire all of the AmeriData Stock in a number of represented the trading price of shares shares of AmeriData either through a transactions over the period from May of AmeriData Stock on the open market short-form merger or a shareholder vote 1993 through October 1994. The cost to during the tender-offer period, ranged followed by a merger. In the event that the GE Trust of its 2,101,404 shares of from $153⁄4 to $157⁄8 per share, except at least 90 percent (90%) of the shares AmeriData stock, as shown on the GE that the closing price per share was of AmeriData Stock were tendered in Trust’s financial records, was $155⁄8 on May 27, and $16 on June 17, the tender offer, such follow-on merger $21,566,026. It is represented that the and July 5, 8, and 10, 1996. The Board would be a ‘‘short-form’’ merger under GE Trust acquired some of the of Directors of AmeriData unanimously Section 253 of the DGCL and would not AmeriData Stock in blind transactions approved such tender offer and require a vote of shareholders. In the on the open market. In addition, the recommended that its shareholders event that less than 90 percent (90%) of remaining AmeriData Stock was accept the tender. the shares were tendered, a follow-on acquired in various transactions with 8. While it would have been possible merger under Section 251 of DGCL AmeriData or its predecessor, including for the GE Trust, as a shareholder of would be accomplished by a but not limited to purchases, the AmeriData Stock to ignore the shareholder vote. exercise of warrants, and the receipt of recommendation of the Board of It is represented that the total number stock dividends.3 It is represented that Directors and sell its shares in the open of shares of AmeriData Stock tendered at the time of these transactions neither market or in a private transaction before to GAC at the close of the tender-offer AmeriData nor its predecessor was the close of the tender-offer period, it is period was 22,421,080 out of a total of related to GE, nor was either a party in represented that this approach would 24,938,845 shares. The number of shares interest with respect to the GE Trust. probably have resulted in loss of some tendered represented 89.9 percent The Applicants represent that the profits to the GE Trust. Since any (89.9%) of the total number of decisions made by the Trustees purchaser of the AmeriData Stock outstanding shares of AmeriData Stock. regarding the acquisition of the (either in the open market or in a private In order to proceed with a ‘‘short-form’’ AmeriData Stock were made transaction) during the tender-offer merger under Section 253 of the DGCL independent of, and without knowledge period could normally expect to resell which would not require a vote of that in the future an affiliate of GE such shares for the tender-offer price, shareholders, GAC subsequently would attempt to acquire all of the the transaction would be worthwhile for purchased a sufficient number of shares outstanding shares of AmeriData Stock. such purchaser only if it paid to the GE of AmeriData Stock directly from 7. On May 20, 1996, GECC, GAC and Trust a price less than the tender-offer AmeriData at the same $16 per share AmeriData entered into an agreement price so as to realize a profit from the price so that GAC became a 90 percent and plan of merger (the Merger spread. By accepting the tender offer, (90%) shareholder. AmeriData was then Agreement). In this regard, the Boards of the GE Trust avoided losing part of the merged with GAC using the ‘‘short- Directors of these parties unanimously profit on its investment and was able to form’’ merger provisions of DGCL with approved the acquisition of AmeriData sell its shares for the full tender-offer the result that AmeriData as a surviving by GECC and GAC by means of the price. company is now a wholly owned merger of GAC with and into 9. Regardless of whether or not the GE subsidiary of GECC. AmeriData. In connection with the Trust tendered its shares, once a 10. The Applicants represent that the Merger, GAC made a tender offer on majority of the outstanding shares of Trustees made a fiduciary decision not May 24, 1996, for all outstanding shares AmeriData Stock were tendered by to tender the GE Trust’s shares of shareholders other than the GE Trust, in AmeriData Stock until the close of the 3 In this regard, the Department is not providing no event could the GE Trust have tender-offer period, and then to do so any opinion in this proposed exemption as to continued to hold its shares of only if at that time at least 51 percent whether the acquisition and holding of the AmeriData Stock. In this regard, under (51%) of the other shareholders had AmeriData Stock by the GE Trust violated any of the provisions of Part IV of Title I of the Act. the terms of the Merger Agreement, GAC already tendered their shares. The However, the Department notes that section 404(a) was not required to proceed with the Trustees determined that such a of the Act requires, among other things, that a plan purchase of the tendered shares, if less conditional tender should be made, and fiduciary act prudently, solely in the interest of the than a majority of AmeriData Stock was that the shares of AmeriData Stock held participants and beneficiaries of a plan, and for the exclusive purpose of providing benefits to tendered as of the close of the tender- by the GE Trust should be tendered only participants and beneficiaries when making offer period. However, if a majority, but if the specified conditions were met investment decisions for such plan. less than 100 percent (100%) of the immediately prior to the close of the Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58243 tender-offer period, so that the arm’s 13. It is represented that the AmeriData Stock on the open market at length nature of the transaction by the transaction is protective of the GE Trust $151⁄2 per share, rather than tendering Trustees would be confirmed by the and the Plans, because the terms of such shares at $16 per share, the Plans actions of independent parties, prior to transaction to the Plan were no less would have received $1,050,702 less. the tender by the Trustees. Also, the favorable than those received by other Further, the GE Trust and the Plans Trustees concluded that by waiting for similarly situated shareholders of benefit from being able to tender the a majority of shareholders other than the AmeriData Stock. In this regard, the AmeriData Stock, rather than sell the GE Trust to tender, no issue would arise terms of the tender were carefully shares on the open market. In this as to whether the Trustees had negotiated on an arm’s length basis as to regard, in a sale on the open market the facilitated the acquisition by GAC of all AmeriData shareholders by parties Plans would have paid commissions, AmeriData Stock, since once a majority independent of the Applicants. which were not incurred by the Plans by of other shareholders had tendered their It is represented that the transaction accepting the tender offer. shares, GAC was obligated to redeem all has sufficient safeguards for the 15. In summary, the Applicants of the outstanding shares of AmeriData protection of the Plans. Among such represent that the transaction satisfies Stock. safeguards included in this exemption, the statutory criteria of section 408(a) of 11. The Trustees carried out the is the fact that the GE Trust could only the Act and section 4975(c)(2) of the conditional tender in a two part process. tender its shares of AmeriData Stock at Code because: First, several days prior to the close of the close of the tender-offer period and (a) The sale of the AmeriData Stock by the tender-offer period, the Trustees then only if at the close of such period the GE Trust was a one- time transaction filed a letter with the Chase Manhattan a majority of the outstanding shares of for cash; Bank, in its capacity as Depository for AmeriData Stock had already been (b) The GE Trust, and the Plans the tender-offer, which stated that the tendered by parties other than the GE received the fair market value for each Trustees’ tender of the shares of Trust. In this regard it is represented share of the AmeriData Stock on the AmeriData Stock held by the GE Trust that GE Trust could not have caused the date of the sale; was conditional and was to be effective transaction to occur because of their (c) The GE Trust received no less if and only if immediately prior to the decision to tender. In addition, because consideration than other similarly expiration of the tender-offer period, at the GE Trust did not tender its shares situated shareholders of the AmeriData least 51 percent (51%) of the shares of until the end of the tender-offer period Stock received at the same time in the AmeriData Stock had been validly and then tendered only after a majority same transaction; tendered and not withdrawn. In of independent investors in AmeriData (d) The GE Trust paid no addition, the Trustees dispatched a had tendered, it is represented that the commissions, fees, or other expenses in letter which would effectuate the arm’s length nature of the tender was connection with the sale of the transmittal of its shares of AmeriData confirmed. AmeriData Stock to GECC and GAC; Stock, providing that the conditions of It is further represented that the GE (e) The terms of the sale were no less its tender were met. As more than a Trust was protected, because a majority favorable to the GE Trust, and the Plans, majority of shares of AmeriData Stock of the shares of AmeriData Stock were then those obtainable in an arm’s length were tendered by independent tendered by independent shareholders transaction engaged in by other shareholders at the close of the tender- before the GE Trust tendered its shares. similarly situated shareholders of offer period, the GE Trust tendered its Since all tenders were revocable up to AmeriData Stock; and shares to GAC on July 12, 1996. In this the close of the tender-offer period, had (f) The GE Trust tendered its shares of regard, it is represented that, as of July a third party made a more favorable AmeriData Stock only at the close of the 17, 1996, a check in an amount of offer, then all the shareholders, tender-offer period and only after a approximately $33,622,464 million including the GE Trust, would have majority of the outstanding shares of representing a purchase price of $16 per revoked their tender to GAC in favor of AmeriData had been tendered. share, payable to the GE Trust for its such competing offer. Accordingly, it is Notice to Interested Persons 2,101,404 shares of AmeriData Stock represented that there was no potential tendered to GAC was received by State for abuse. In addition, it is represented The Applicants represent that because Street Bank, acting as custodian for the that during the tender-offer period, there of the large number of potentially GE Trust. Accordingly, the GE Trust and was in fact no competing tender offer interested persons, it is not possible to the Plans (collectively, the Applicants) made by a third party. provide a separate copy of the Notice of request retroactive relief from the 14. It is represented that the Proposed Exemption (the Notice) to prohibited transactions provisions of the transaction is in the interest of the GE each participant in the Plans. However, Act provided certain conditions were Trust and the Plans, because accepting GE will post a photocopy of the Notice, met for the past sale to GAC under the the tender resulted in the highest and as published in the Federal Register, terms of the tender offer of AmeriData best sales price of AmeriData Stock for plus a copy of the supplemental Stock which, prior to the effective date the GE Trust and the Plans. In this statement (the Supplemental of this exemption, was held by the GE regard, the GE Trust and the Plans Statement), in the form set forth in the Trust. avoided disposing of their shares of Department’s regulations under 29 CFR 12. The Applicants maintain that the AmeriData Stock on the open market at 2570.43(b)(2), on bulletin boards proposed sale is administratively less than the tender-offer price. It is normally used for employee notices in feasible in that the transaction would be represented that the GE Trust was each of its offices and operating a one-time cash sale. In this regard, informally advised by outside facilities and in the offices and there will be no need for the Department investment counsel that, because the GE operating facilities of its affiliates within to monitor or supervise the transaction. Trust would be disposing of a large fifteen (15) days of the publication of It is represented that the cost of filing block of AmeriData Stock, if such shares such Notice in the Federal Register. the application for exemption will be were sold on the open market the price Apart from this method of notifying all borne by GE Trust and that the cost of would likely be reduced to as low as interested persons, the Applicants notifying interested persons will be $151⁄2 per share. It is estimated that if represent that the only practical form of borne by GE or one of its affiliates. the GE Trust had disposed of the providing notice to former employees, 58244 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices retirees, and other employees, is to B. Effective October 8, 1996, the and 407(a) of the Act, and the taxes publish a notice in the 1995 Summary restrictions of sections 406(b)(1) and imposed by section 4975(a) and (b) of Annual Report which will be 406(b)(2) of the Act and the taxes the Code by reason of section 4975(c) of distributed to such person on or before imposed by section 4975(a) and (b) of the Code, shall not apply to transactions December 15, 1996, via first class mail. the Code by reason of section in connection with the servicing, Such notice in the Summary Annual 4975(c)(1)(E) of the Code shall not apply management and operation of a trust, Report will notify former employees, to: provided: retirees, and other employees that they (1) The direct or indirect sale, (1) such transactions are carried out in may obtain a copy of the proposed exchange or transfer of certificates in the accordance with the terms of a binding exemption and information on how to initial issuance of certificates between pooling and servicing arrangement; and comment from Joseph C. Keifer, the sponsor or underwriter and a plan (2) the pooling and servicing Controller of the GE Trust at (203) 921– when the person who has discretionary agreement is provided to, or described 2167. The comment period will end authority or renders investment advice in all material respects in the prospectus thirty (30) days after the mailing of the with respect to the investment of plan or private placement memorandum Summary Annual Report. assets in the certificates is (a) an obligor provided to, investing plans before they with respect to 5 percent or less of the FOR FURTHER INFORMATION CONTACT: purchase certificates issued by the fair market value of obligations or 6 Janet L. Schmidt of the Department, trust. receivables contained in the trust, or (b) telephone (202) 219–8883. (This is not Notwithstanding the foregoing, an affiliate of a person described in (a); a toll-free number.) section I.C. does not provide an if: exemption from the restrictions of First Chicago NBD Corporation (i) The plan is not an Excluded Plan; section 406(b) of the Act or from the (FCNBD), Located in Chicago, Illinois (ii) Solely in the case of an acquisition taxes imposed by reason of section of certificates in connection with the [Application No. D–10361] 4975(c) of the Code for the receipt of a initial issuance of the certificates, at fee by a servicer of the trust from a Proposed Exemption least 50 percent of each class of person other than the trustee or sponsor, certificates in which plans have unless such fee constitutes a ‘‘qualified I. Transactions invested is acquired by persons administrative fee’’ as defined in section independent of the members of the A. Effective October 8, 1996, the III.S. Restricted Group and at least 50 percent restrictions of sections 406(a) and 407(a) D. Effective October 8, 1996, the of the aggregate interest in the trust is of the Act and the taxes imposed by restrictions of sections 406(a) and 407(a) acquired by persons independent of the section 4975(a) and (b) of the Code by of the Act, and the taxes imposed by Restricted Group; reason of section 4975(c)(1) (A) through sections 4975(a) and (b) of the Code by (D) of the Code shall not apply to the (iii) A plan’s investment in each class of certificates does not exceed 25 reason of sections 4975(c)(1)(A) through following transactions involving trusts (D) of the Code, shall not apply to any and certificates evidencing interests percent of all of the certificates of that class outstanding at the time of the transactions to which those restrictions therein: or taxes would otherwise apply merely (1) The direct or indirect sale, acquisition; and (iv) Immediately after the acquisition because a person is deemed to be a party exchange or transfer of certificates in the in interest or disqualified person initial issuance of certificates between of the certificates, no more than 25 percent of the assets of a plan with (including a fiduciary) with respect to a the sponsor or underwriter and an respect to which the person has plan by virtue of providing services to employee benefit plan when the discretionary authority or renders the plan (or by virtue of having a sponsor, servicer, trustee or insurer of a investment advice are invested in relationship to such service provider trust, the underwriter of the certificates certificates representing an interest in a described in section 3(14)(F), (G), (H) or representing an interest in the trust, or trust containing assets sold or serviced (I) of the Act or section 4975(e)(2)(F), an obligor is a party in interest with by the same entity.5 For purposes of this (G), (H) or (I) of the Code), solely respect to such plan; paragraph B.(1)(iv) only, an entity will because of the plan’s ownership of (2) The direct or indirect acquisition not be considered to service assets certificates. or disposition of certificates by a plan in contained in a trust if it is merely a II. General Conditions the secondary market for such subservicer of that trust; certificates; and (2) The direct or indirect acquisition A. The relief provided under Part I is (3) The continued holding of or disposition of certificates by a plan in available only if the following certificates acquired by a plan pursuant the secondary market for such certifi conditions are met: to subsection I.A.(1) or (2). cates, provided that the conditions set (1) The acquisition of certificates by a Notwithstanding the foregoing, forth in paragraphs B.(1) (i), (iii) and (iv) plan is on terms (including the section I.A. does not provide an are met; and certificate price) that are at least as exemption from the restrictions of (3) The continued holding of favorable to the plan as they would be sections 406(a)(1)(E), 406(a)(2) and 407 certificates acquired by a plan pursuant in an arm’s-length transaction with an for the acquisition or holding of a to subsection I.B. (1) or (2). unrelated party; certificate on behalf of an Excluded Plan C. Effective October 8, 1996, the (2) The rights and interests evidenced by any person who has discretionary restrictions of sections 406(a), 406(b) by the certificates are not subordinated authority or renders investment advice with respect to the assets of that 5 For purposes of this exemption, each plan 6 In the case of a private placement memorandum, Excluded Plan.4 participating in a commingled fund (such as a bank such memorandum must contain substantially the collective trust fund or insurance company pooled same information that would be disclosed in a separate account) shall be considered to own the prospectus if the offering of the certificates were 4 Section I.A. provides no relief from sections same proportionate undivided interest in each asset made in a registered public offering under the 406(a)(1)(E), 406(a)(2) and 407 for any person of the commingled fund as its proportionate interest Securities Act of 1933. In the Department’s view, rendering investment advice to an Excluded Plan in the total assets of the commingled fund as the private placement memorandum must contain within the meaning of section 3(21)(A)(ii) and calculated on the most recent preceding valuation sufficient information to permit plan fiduciaries to regulation 29 CFR 2510.3–21(c). date of the fund. make informed investment decisions. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58245 to the rights and interests evidenced by such initial purchaser (or any transferee (e) ‘‘Guaranteed governmental other certificates of the same trust; of such initial purchaser’s certificates) is mortgage pool certificates,’’ as defined (3) The certificates acquired by the required to obtain from its transferee a in 29 CFR 2510.3–101(i)(2); plan have received a rating at the time representation regarding compliance (f) Fractional undivided interests in of such acquisition that is in one of the with the Securities Act of 1933, any any of the obligations described in three highest generic rating categories such transferees will be required to clauses (a)–(e) of this section B.(1); 7 from either Standard & Poor’s make a written representation regarding (2) property which had secured any of Structured Rating Group (S&P’s), compliance with the condition set forth the obligations described in subsection Moody’s Investors Service, Inc. in subsection II.A.(6) above. B.(1); (Moody’s), Duff & Phelps Inc. (D & P) or III. Definitions (3) Undistributed cash or temporary Fitch Investors Service, Inc. (Fitch); investments made therewith maturing For purposes of this exemption: (4) The trustee is not an affiliate of no later than the next date on which any member of the Restricted Group. A. Certificate means: (1) A certificate— distributions are to made to However, the trustee shall not be (a) That represents a beneficial certificateholders; and considered to be an affiliate of a servicer ownership interest in the assets of a (4) Rights of the trustee under the solely because the trustee has succeeded trust; and pooling and servicing agreement, and to the rights and responsibilities of the (b) That entitles the holder to pass- rights under any insurance policies, servicer pursuant to the terms of a through payments of principal, interest, third-party guarantees, contracts of pooling and servicing agreement and/or other payments made with suretyship and other credit support providing for such succession upon the respect to the assets of such trust; or arrangements with respect to any occurrence of one or more events of (2) A certificate denominated as a obligations described in subsection default by the servicer; debt instrument— B.(1). (5) The sum of all payments made to (a) That represents an interest in a Notwithstanding the foregoing, the and retained by the underwriters in Real Estate Mortgage Investment term ‘‘trust’’ does not include any connection with the distribution or Conduit (REMIC) within the meaning of investment pool unless: (i) the placement of certificates represents not section 860D(a) of the Internal Revenue investment pool consists only of assets more than reasonable compensation for Code of 1986; and of the type which have been included in underwriting or placing the certificates; (b) That is issued by and is an other investment pools, (ii) certificates the sum of all payments made to and obligation of a trust; evidencing interests in such other retained by the sponsor pursuant to the With respect to certificates defined in investment pools have been rated in one assignment of obligations (or interests (1) and (2) above for which FCNBD or of the three highest generic rating therein) to the trust represents not more any of its affiliates is either (i) the sole categories by S&P’s, Moody’s, D&P, or than the fair market value of such underwriter or the manager or co- Fitch for at least one year prior to the obligations (or interests); and the sum of manager of the underwriting syndicate, plan’s acquisition of certificates all payments made to and retained by or (ii) a selling or placement agent. pursuant to this exemption, and (iii) the servicer represents not more than For purposes of this exemption, certificates evidencing interests in such reasonable compensation for the references to ‘‘certificates representing other investment pools have been servicer’s services under the pooling an interest in a trust’’ include purchased by investors other than plans and servicing agreement and certificates denominated as debt which for at least one year prior to the plan’s reimbursement of the servicer’s are issued by a trust. acquisition of certificates pursuant to reasonable expenses in connection B. Trust means an investment pool, this exemption. therewith; and the corpus of which is held in trust and C. Underwriter means: (6) The plan investing in such consists solely of: certificates is an ‘‘accredited investor’’ (1) FCNBD; (1) Either (2) Any person directly or indirectly, as defined in Rule 501(a)(1) of (a) Secured consumer receivables that Regulation D of the Securities and through one or more intermediaries, bear interest or are purchased at a controlling, controlled by or under Exchange Commission under the discount (including, but not limited to, Securities Act of 1933. common control with FCNBD; or home equity loans and obligations (3) Any member of an underwriting B. Neither any underwriter, sponsor, secured by shares issued by a trustee, servicer, insurer, nor any syndicate or selling group of which cooperative housing association); FCNBD or a person described in (2) is obligor, unless it or any of its affiliates (b) Secured credit instruments that a manager or co-manager with respect to has discretionary authority or renders bear interest or are purchased at a the certificates. investment advice with respect to the discount in transactions by or between D. Sponsor means the entity that plan assets used by a plan to acquire business entities (including, but not organizes a trust by depositing certificates, shall be denied the relief limited to, qualified equipment notes obligations therein in exchange for provided under Part I, if the provision secured by leases, as defined in section certificates. of subsection II.A.(6) above is not III.T); satisfied with respect to acquisition or (c) Obligations that bear interest or are 7 It is the Department’s view that the definition of holding by a plan of such certificates, purchased at a discount and which are ‘‘trust’’ contained in III.B. includes a two-tier provided that (1) such condition is secured by single-family residential, structure under which certificates issued by the first disclosed in the prospectus or private multi-family residential and commercial trust, which contains a pool of receivables placement memorandum; and (2) in the real property (including obligations described above, are transferred to a second trust which issues securities that are sold to plans. case of a private placement of secured by leasehold interests on However, the Department is of the further view that, certificates, the trustee obtains a commercial real property); since the exemption provides relief for the direct or representation from each initial (d) Obligations that bear interest or indirect acquisition or disposition of certificates purchaser which is a plan that it is in are purchased at a discount and which that are not subordinated, no relief would be available if the certificates held by the second trust compliance with such condition, and are secured by motor vehicles or were subordinated to the rights and interests obtains a covenant from each initial equipment, or qualified motor vehicle evidenced by other certificates issued by the first purchaser to the effect that, so long as leases (as defined in section III.U); trust. 58246 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

E. Master Servicer means the entity common control with such other (4) The amount paid to investors in that is a party to the pooling and person; the trust will not be reduced by the servicing agreement relating to trust (2) Any officer, director, partner, amount of any such fee waived by the assets and is fully responsible for employee, relative (as defined in section servicer. servicing, directly or through 3(15) of the Act), a brother, a sister, or T. Qualified Equipment Note Secured subservicers, the assets of the trust. a spouse of a brother or sister of such By A Lease means an equipment note: F. Subservicer means an entity which, other person; and (1) Which is secured by equipment under the supervision of and on behalf (3) Any corporation or partnership of which is leased; of the master servicer, services which such other person is an officer, (2) Which is secured by the obligation receivables contained in the trust, but is director or partner. of the lessee to pay rent under the not a party to the pooling and servicing N. Control means the power to equipment lease; and agreement. exercise a controlling influence over the (3) With respect to which the trust’s G. Servicer means any entity which management or policies of a person security interest in the equipment is at other than an individual. services receivables contained in the least as protective of the rights of the O. A person will be ‘‘independent’’ of trust, including the master servicer and trust as would be the case if the another person only if: any subservicer. equipment note were secured only by H. Trustee means the trustee of the (1) Such person is not an affiliate of that other person; and the equipment and not the lease. trust, and in the case of certificates U. Qualified Motor Vehicle Lease which are denominated as debt (2) The other person, or an affiliate thereof, is not a fiduciary who has means a lease of a motor vehicle where: instruments, also means the trustee of investment management authority or (1) The trust holds a security interest the indenture trust. renders investment advice with respect in the lease; I. Insurer means the insurer or (2) The trust holds a security interest guarantor of, or provider of other credit to any assets of such person. P. Sale includes the entrance into a in the leased motor vehicle; and support for, a trust. Notwithstanding the forward delivery commitment (as (3) The trust’s security interest in the foregoing, a person is not an insurer defined in section Q below), provided: leased motor vehicle is at least as solely because it holds securities (1) The terms of the forward delivery protective of the trust’s rights as would representing an interest in a trust which commitment (including any fee paid to be the case if the trust consisted of are of a class subordinated to certificates the investing plan) are no less favorable motor vehicle installment loan representing an interest in the same to the plan than they would be in an contracts. trust. arm’s-length transaction with an V. Pooling and Servicing Agreement J. Obligor means any person, other unrelated party; means the agreement or agreements than the insurer, that is obligated to (2) The prospectus or private among a sponsor, a servicer and the make payments with respect to any placement memorandum is provided to trustee establishing a trust. In the case obligation or receivable included in the an investing plan prior to the time the of certificates which are denominated as trust. Where a trust contains qualified plan enters into the forward delivery debt instruments, ‘‘Pooling and motor vehicle leases or qualified commitment; and Servicing Agreement’’ also includes the equipment notes secured by leases, (3) At the time of the delivery, all indenture entered into by the trustee of ‘‘obligor’’ shall also include any owner conditions of this exemption applicable the trust issuing such certificates and of property subject to any lease included to sales are met. the indenture trustee. in the trust, or subject to any lease Q. Forward delivery commitment W. FCNBD means First Chicago NBD securing an obligation included in the means a contract for the purchase or Corporation and its affiliates. trust. sale of one or more certificates to be The Department notes that this K. Excluded Plan means any plan delivered at an agreed future settlement proposed exemption is included within with respect to which any member of date. The term includes both mandatory the meaning of the term ‘‘Underwriter the Restricted Group is a ‘‘plan sponsor’’ contracts (which contemplate obligatory Exemption’’ as it is defined in section within the meaning of section 3(16)(B) delivery and acceptance of the V(h) of Prohibited Transaction of the Act. certificates) and optional contracts Exemption 95–60 (60 FR 35925, July 12, L. Restricted Group with respect to a (which give one party the right but not 1995), the Class Exemption for Certain class of certificates means: the obligation to deliver certificates to, Transactions Involving Insurance (1) Each underwriter; or demand delivery of certificates from, (2) Each insurer; the other party). Company General Accounts at 35932. (3) The sponsor; R. Reasonable compensation has the Summary of Facts and Representations (4) The trustee; same meaning as that term is defined in (5) Each servicer; 29 CFR 2550.408c–2. 1. FCNBD, a Delaware corporation, is (6) Any obligor with respect to S. Qualified Administrative Fee a Chicago, Illinois based bank holding obligations or receivables included in means a fee which meets the following company formed by the merger of First the trust constituting more than 5 criteria: Chicago Corporation with and into NBD percent of the aggregate unamortized (1) The fee is triggered by an act or Bancorp, Inc., which has assets of over principal balance of the assets in the failure to act by the obligor other than $113 billion and through its subsidiaries trust, determined on the date of the the normal timely payment of amounts operates more than 763 branches in initial issuance of certificates by the owing in respect of the obligations; various cities in Florida, Illinois, trust; or (2) The servicer may not charge the Indiana, Michigan and Wisconsin, as (7) Any affiliate of a person described fee absent the act or failure to act well as various overseas locations. in (1)–(6) above. referred to in (1); FCNBD also owns and operates M. Affiliate of another person (3) The ability to charge the fee, the subsidiaries that engage in trust, includes: circumstances in which the fee may be brokerage, investment management, (1) Any person directly or indirectly, charged, and an explanation of how the equipment leasing, venture capital, through one or more intermediaries, fee is calculated are set forth in the mortgage banking, consumer finance controlling, controlled by, or under pooling and servicing agreement; and and insurance. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58247

First Chicago Capital Markets, Inc. receivable investment trusts; (3) On or prior to the closing date, the (FCCM), a Delaware corporation, is a consumer or commercial receivables sponsor acquires legal title to all assets wholly-owned indirect subsidiary of investment trusts; and (4) guaranteed selected for the trust, establishes the FCNBD. FCCM was organized in 1988 governmental mortgage pool certificate trust and designates an independent and pursuant to an August 1988 order investment trusts.9 entity as trustee. On the closing date, (the 1988 Order) of the Federal Reserve 3. Commercial mortgage investment the sponsor conveys to the trust legal Board (FRB) is authorized to engage, to trusts may include mortgages on ground title to the assets, and the trustee issues a limited extent, in underwriting and leases of real property. Commercial certificates representing fractional dealing in certain mortgage-backed mortgages are frequently secured by undivided interests in the trust assets. securities, municipal revenue bonds, ground leases on the underlying FCNBD, alone or together with other commercial paper and consumer property, rather than by fee simple broker-dealers, acts as underwriter or receivables-related securities interests. The separation of the fee placement agent with respect to the sale transactions. In March, 1994, FCCM simple interest and the ground lease of the certificates. All of the public received further authorization from the interest is generally done for tax offerings of certificates presently FRB to: (i) underwrite and deal in all reasons. Properly structured, the pledge contemplated are to be underwritten by types of debt securities, including rated of the ground lease to secure a mortgage FCNBD on a firm commitment basis. In and unrated long-term debt, medium provides a lender with the same level of addition, FCNBD anticipates that it may term notes and convertible debt security as would be provided by a privately place certificates on both a securities; (ii) privately place and act as pledge of the related fee simple interest. firm commitment and an agency basis. riskless principal in all types of The terms of the ground leases pledged FCNBD may also act as the lead securities, including equity securities; to secure leasehold mortgages will in all underwriter for a syndicate of securities and (iii) engage in certain related cases be at least ten years longer than underwriters. investment and advisory activities. the term of such mortgages.10 Certificateholders will be entitled to These orders are currently subject to the receive monthly, quarterly or semi- Trust Structure condition that FCNBD does not derive annual installments of principal and/or more than 10% of its total gross 4. Each trust is established under a interest, or lease payments due on the revenues from such activities. FCCM pooling and servicing agreement receivables, adjusted, in the case of does not at this time have authority to between a sponsor, a servicer and a payments of interest, to a specified underwrite equity securities. FCCM is a trustee. The sponsor or servicer of a rate—the pass-through rate—which may broker-dealer registered with the trust selects assets to be included in the be fixed or variable. Securities and Exchange Commission trust. These assets are receivables which When installments or payments are and in all 50 states, and is a member of may have been originated by a sponsor made on a semi-annual basis, funds are the National Association of Securities or servicer of the trust, an affiliate of the not permitted to be commingled with Dealers, Inc. In addition, FCNBD sponsor or servicer, or by an unrelated the servicer’s assets for longer than affiliates have the power to sell interests lender and subsequently acquired by the would be permitted for a monthly-pay in their own assets in the form of asset- trust sponsor or servicer.11 security. A segregated account is backed securities. established in the name of the trustee FCNBD’s investment banking pool investment trusts, would generally apply to (on behalf of certificateholders) to hold department has served as senior trusts containing single-family residential funds received between distribution mortgages, provided that the applicable conditions dates. The account is under the sole manager with full structuring of PTE 83–1 are met. FCNBD requests relief for responsibilities for over $16.4 billion in single-family residential mortgages in this control of the trustee, who invests the public asset-backed securities exemption because it would prefer one exemption account’s assets in short-term securities transactions since 1988 and agented for all trusts of similar structure. However, FCNBD which have received a rating has stated that it may still avail itself of the comparable to the rating assigned to the $1.1 billion of private placement exemptive relief provided by PTE 83–1. transactions in 1994 alone. It has one of 9 Guaranteed governmental mortgage pool certificates. In some cases, the servicer the largest departments specializing in certificates are mortgage-backed securities with may be permitted to make a single asset-backed securities of any bank or respect to which interest and principal payable is deposit into the account once a month. guaranteed by the Government National Mortgage When the servicer makes such monthly Wall Street firm, with approximately 50 Association (GNMA), the Federal Home Loan professionals. The asset-backed Mortgage Corporation (FHLMC), or the Federal deposits, payments received from securities staff has extensive experience National Mortgage Association (FNMA). The obligors by the servicer may be in structuring both taxable and tax- Department’s regulation relating to the definition of commingled with the servicer’s assets plan assets (29 CFR 2510.3–101(i)) provides that during the month prior to deposit. exempt obligations having a wide range where a plan acquires a guaranteed governmental of structural characteristics as well as mortgage pool certificate, the plan’s assets include Usually, the period of time between security arrangements. FCNBD the certificate and all of its rights with respect to receipt of funds by the servicer and originated and placed $22.8 billion in such certificate under applicable law, but do not, deposit of these funds in a segregated solely by reason of the plan’s holding of such account does not exceed one month. asset-backed commercial paper certificate, include any of the mortgages underlying transactions through October 1995. such certificate. The applicant is requesting Furthermore, in those cases where exemptive relief for trusts containing guaranteed distributions are made semi-annually, Trust Assets governmental mortgage pool certificates because the the servicer will furnish a report on the 2. FCNBD seeks exemptive relief to certificates in the trusts may be plan assets. operation of the trust to the trustee on 10 Trust assets may also include obligations that a monthly basis. At or about the time permit plans to invest in pass-through are secured by leasehold interests on residential certificates representing undivided real property. See PTE 90–32 involving Prudential- this report is delivered to the trustee, it interests in the following categories of Bache Securities, Inc. (55 FR 23147, June 6, 1990 trusts: (1) single and multi-family at 23150). supplement the interest rates otherwise payable on residential or commercial mortgage 11 It is the view of the Department that section the obligations described in section III.B.(1), in 8 III.B.(4) includes within the definition of the term accordance with the terms of a yield supplement investment trusts; (2) motor vehicle ‘‘trust’’ rights under any yield supplement or arrangement described in the pooling and servicing similar arrangement which obligates the sponsor or agreement, provided that such arrangements do not 8 The Department notes that PTE 83–1 [48 FR 895, master servicer, or another party specified in the involve swap agreement or other notional principal January 7, 1983], a class exemption for mortgage relevant pooling and servicing agreement, to contracts. 58248 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices will be made available to 6. For tax reasons, the trust must be beneficiary of all the documents and certificateholders and delivered to or maintained as an essentially passive instruments deposited in the trust, and made available to each rating agency entity. Therefore, both the sponsor’s as such is responsible for enforcing all that has rated the certificates. discretion and the servicer’s discretion the rights created thereby in favor of 5. Some of the certificates will be with respect to assets included in a trust certificateholders. multi-class certificates. FCNBD requests are severely limited. Pooling and The trustee will be an independent exemptive relief for two types of multi- servicing agreements provide for the entity, and therefore will be unrelated to class certificates: ‘‘strip’’ certificates and substitution of receivables by the FCNBD, the trust sponsor or the ‘‘fast-pay/slow-pay’’ certificates. Strip sponsor only in the event of defects in servicer. FCNBD represents that the certificates are a type of security in documentation discovered within a trustee will be a substantial financial which the stream of interest payments short time after the issuance of trust institution or trust company on receivables is split from the flow of certificates (within 120 days, except in experienced in trust activities. The principal payments and separate classes the case of obligations having an trustee receives a fee for its services, of certificates are established, each original term of 30 years, in which case which will be paid by the servicer or representing rights to disproportionate the period will not exceed two years). sponsor. The method of compensating payments of principal and interest.12 Any receivable so substituted is the trustee which is specified in the ‘‘Fast-pay/slow-pay’’ certificates required to have characteristics pooling and servicing agreement will be involve the issuance of classes of substantially similar to the replaced disclosed in the prospectus or private certificates having different stated receivable and will be at least as placement memorandum relating to the maturities or the same maturities with creditworthy as the replaced receivable. offering of the certificates. different payment schedules. Interest In some cases, the affected receivable 10. The servicer of a trust administers and/or principal payments received on would be repurchased, with the the receivables on behalf of the the underlying receivables are purchase price applied as a payment on certificateholders. The servicer’s distributed first to the class of the affected receivable and passed functions typically involve, among other certificates having the earliest stated through to certificateholders. things, notifying borrowers of amounts maturity of principal, and/or earlier due on receivables, maintaining records payment schedule, and only when that Parties to Transactions of payments received on receivables and class of certificates has been paid in full 7. The originator of a receivable is the instituting foreclosure or similar (or has received a specified amount) entity that initially lends money to a proceedings in the event of default. In will distributions be made with respect borrower (obligor), such as a cases where a pool of receivables has to the second class of certificates. homeowner or automobile purchaser, or been purchased from a number of Distributions on certificates having later leases property to a lessee. The different originators and deposited in a stated maturities will proceed in like originator may either retain a receivable trust, the receivables may be manner until all the certificateholders in its portfolio or sell it to a purchaser, ‘‘subserviced’’ by their respective have been paid in full. The only such as a trust sponsor. originators and a single entity may difference between this multi-class pass- Originators of receivables included in ‘‘master service’’ the pool of receivables through arrangement and a single-class the trusts will be entities that originate on behalf of the owners of the related pass-through arrangement is the order in receivables in the ordinary course of series of certificates. Where this which distributions are made to their business, including finance arrangement is adopted, a receivable certificateholders. In each case, companies for whom such origination continues to be serviced from the certificateholders will have a beneficial constitutes the bulk of their operations, perspective of the borrower by the local ownership interest in the underlying financial institutions for whom such subservicer, while the investor’s assets. In neither case will the rights of origination constitutes a substantial part perspective is that the entire pool of a plan purchasing a certificate be of their operations, and any kind of receivables is serviced by a single, subordinated to the rights of another manufacturer, merchant, or service central master servicer who collects certificateholder in the event of default enterprise for whom such origination is payments from the local subservicers on any of the underlying obligations. In an incidental part of its operations. Each and passes them through to particular, if the amount available for trust may contain assets of one or more certificateholders. distribution to certificateholders is less originators. The originator of the Receivables of the type suitable for than the amount required to be so receivables may also function as the inclusion in a trust invariably are distributed, all senior certificateholders trust sponsor or servicer. serviced with the assistance of a then entitled to receive distributions 8. The sponsor will be one of three computer. After the sale, the servicer will share in the amount distributed on entities: (i) a special-purpose or other keeps the sold receivables on the a pro rata basis.13 corporation unaffiliated with the computer system in order to continue servicer, (ii) a special-purpose or other monitoring the accounts. Although the 12 It is the Department’s understanding that where corporation affiliated with the servicer, records relating to sold receivables are a plan invests in REMIC ‘‘residual’’ interest or (iii) the servicer itself. Where the kept in the same master file as certificates to which this exemption applies, some receivables retained by the originator, of the income received by the plan as a result of sponsor is not also the servicer, the such investment may be considered unrelated sponsor’s role will generally be limited the sold receivables are flagged as business taxable income to the plan, which is to acquiring the receivables to be having been sold. To protect the subject to income tax under the Code. The included in the trust, establishing the investor’s interest, the servicer Department emphasizes that the prudence ordinarily covenants that this ‘‘sold requirement of section 404(a)(l)(B) of the Act would trust, designating the trustee, and require plan fiduciaries to carefully consider this assigning the receivables to the trust. flag’’ will be included in all records and other tax consequences prior to causing plan 9. The trustee of a trust is the legal relating to the sold receivables, assets to be invested in certificates pursuant to this owner of the obligations in the trust. including the master file, archives, tape exemption. extracts and printouts. 13 If a trust issues subordinated certificates, The trustee is also a party to or holders of such subordinated certificates may not The sold flags are invisible to the share in the amount distributed on a pro rata basis notes that the exemption does not provide relief for obligor and do not affect the manner in with the senior certificateholders. The Department plan investment in such subordinated certificates. which the servicer performs the billing, Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58249 posting and collection procedures 12. The price of the certificates, both by a third party, usually the obligor. related to the sold receivables. However, in the initial offering and in the These administrative fees fall into three the servicer uses the sold flag to identify secondary market, is affected by market categories: (a) prepayment fees; (b) late the receivables for the purpose of forces, including investor demand, the payment and payment extension fees; reporting all activity on those pass-through interest rate on the and (c) expenses, fees and charges receivables after their sale to investors. certificates in relation to the rate associated with foreclosure or Depending on the type of receivable payable on investments of similar types repossession, or other conversion of a and the details of the servicer’s and quality, expectations as to the effect secured position into cash proceeds, computer system, in some cases the on yield resulting from prepayment of upon default of an obligation. servicer’s internal reports can be underlying receivables, and Compensation payable to the servicer adapted for investor reporting with little expectations as to the likelihood of will be set forth or referred to in the or no modification. In other cases, the timely payment. pooling and servicing agreement and servicer may have to perform special The pass-through rate for certificates described in reasonable detail in the calculations to fulfill the investor is equal to the interest rate on prospectus or private placement reporting responsibilities. These receivables included in the trust minus memorandum relating to the certificates. 14 calculations can be performed on the a specified servicing fee. This rate is 15. Payments on receivables may be servicer’s main computer, or on a small generally determined by the same made by obligors to the servicer at computer with data supplied by the market forces that determine the price of various times during the period main system. In all cases, the numbers a certificate. The price of a certificate preceding any date on which pass- produced for the investors are and its pass-through, or coupon, rate through payments to the trust are due. reconciled to the servicer’s books and together determine the yield to In some cases, the pooling and servicing reviewed by public accountants. investors. If an investor purchases a agreement may permit the servicer to The underwriter will be a registered certificate at less than par, that discount place these payments in non-interest broker-dealer that acts as underwriter or augments the stated pass-through rate; bearing accounts maintained with itself placement agent with respect to the sale conversely, a certificate purchased at a or to commingle such payments with its premium yields less than the stated of the certificates. Public offerings of own funds prior to the distribution coupon. certificates are generally made on a firm dates. In these cases, the servicer would 13. As compensation for performing commitment basis. Private placement of be entitled to the benefit derived from certificates may be made on a firm its servicing duties, the servicer (who may also be the sponsor or an affiliate the use of the funds between the date of commitment or agency basis. It is payment on a receivable and the pass- anticipated that the lead and co- thereof, and receive fees for acting in that capacity) will retain the difference through date. Commingled payments managing underwriters will make a may not be protected from the creditors market in certificates offered to the between payments received on the receivables in the trust and payments of the servicer in the event of the public. servicer’s bankruptcy or receivership. In In some cases, the originator and payable (at the pass-through rate) to certificateholders, except that in some those instances when payments on servicer of receivables to be included in receivables are held in non-interest a trust and the sponsor of the trust cases a portion of the payments on receivables may be paid to a third party, bearing accounts or are commingled (although they may themselves be with the servicer’s own funds, the related) will be unrelated to FCNBD. In such as a fee paid to a provider of credit support. The servicer may receive servicer is required to deposit these other cases, however, affiliates of payments by a date specified in the FCNBD may originate or service additional compensation by having the use of the amounts paid on the pooling and servicing agreement into an receivables included in a trust or may account from which the trustee makes sponsor a trust. receivables between the time they are received by the servicer and the time payments to certificateholders. Certificate Price, Pass-Through Rate and they are due to the trust (which time is 16. The underwriter will receive a fee Fees set forth in the pooling and servicing in connection with the securities 11. In some cases, the sponsor will agreement). The servicer typically will underwriting or private placement of obtain the receivables from various be required to pay the administrative certificates. In a firm commitment originators pursuant to existing expenses of servicing the trust, underwriting, this fee would consist of contracts with such originators under including in some cases the trustee’s the difference between what the which the sponsor continually buys fee, out of its servicing compensation. underwriter receives for the certificates receivables. In other cases, the sponsor The servicer is also compensated to that it distributes and what it pays the will purchase the receivables at fair the extent it may provide credit sponsor for those certificates. In a market value from the originator or a enhancement to the trust or otherwise private placement, the fee normally third party pursuant to a purchase and arrange to obtain credit support from takes the form of an agency commission sale agreement related to the specific another party. This ‘‘credit support fee’’ paid by the sponsor. In a best efforts offering of certificates. In other cases, may be aggregated with other servicing underwriting in which the underwriter the sponsor will originate the fees, and is either paid out of the would sell certificates in a public receivables itself. interest income received on the offering on an agency basis, the As compensation for the receivables receivables in excess of the pass-through underwriter would receive an agency transferred to the trust, the sponsor rate or paid in a lump sum at the time commission rather than a fee based on receives certificates representing the the trust is established. the difference between the price at entire beneficial interest in the trust, or 14. The servicer may be entitled to which the certificates are sold to the the cash proceeds of the sale of such retain certain administrative fees paid public and what it pays the sponsor. In certificates. If the sponsor receives some private placements, the certificates from the trust, the sponsor 14 The pass-through rate on certificates underwriter may buy certificates as sells all or a portion of these certificates representing interests in trusts holding leases is principal, in which case its determined by breaking down lease payments into for cash to investors or securities ‘‘principal’’ and ‘‘interest’’ components based on an compensation would be the difference underwriters. implicit interest rate. between what it receives for the 58250 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices certificates that it sells and what it pays trustee, but in either event it will trustee the amount of all past-due the sponsor for these certificates. provide such funds to cover payments payments and the amount of all servicer Purchase of Receivables by the Servicer to the full extent of its obligations under advances, along with other current the credit support mechanism. In some 17. The applicant represents that as information as to collections on the cases, however, the master servicer may the principal amount of the receivables receivables and draws upon the credit not be obligated to advance funds but in a trust is reduced by payments, the support. Further, the master servicer is instead would be called upon to provide cost of administering the trust generally required to deliver to the trustee funds to cover defaulted payments to increases, making the servicing of the annually a certificate of an executive the full extent of its obligations as trust prohibitively expensive at some officer of the master servicer stating that insurer. Moreover, a master servicer point. Consequently, the pooling and a review of the servicing activities has typically can recover advances either servicing agreement generally provides been made under such officer’s from the provider of credit support or that the servicer may purchase the supervision, and either stating that the from future payments on the affected receivables remaining in the trust when master servicer has fulfilled all of its assets. obligations under the pooling and the aggregate unpaid balance payable on If the master servicer fails to advance the receivables is reduced to a specified servicing agreement or, if the master funds, fails to call upon the credit servicer has defaulted under any of its percentage (usually 5 to 10 percent) of support mechanism to provide funds to the initial aggregate unpaid balance. obligations, specifying any such default. cover delinquent payments, or The master servicer’s reports are The purchase price of a receivable is otherwise fails in its duties, the trustee specified in the pooling and servicing reviewed at least annually by would be required and would be able to independent accountants to ensure that agreement and will be at least equal to: enforce the certificateholders’ rights, as (1) the unpaid principal balance on the the master servicer is following its both a party to the pooling and servicing normal servicing standards and that the receivable plus accrued interest, less agreement and the owner of the trust any unreimbursed advances of principal master servicer’s reports conform to the estate, including rights under the credit master servicer’s internal accounting made by the servicer; or (2) the greater support mechanism. Therefore, the of (a) the amount in (1) or (b) the fair records. The results of the independent trustee, who is independent of the accountants’ review are delivered to the market value of such obligations in the servicer, will have the ultimate right to case of a REMIC, or the fair market value trustee; and enforce the credit support arrangement. (d) The credit support has a ‘‘floor’’ of the receivables in the case of a trust When a master servicer advances that is not a REMIC. dollar amount that protects investors funds, the amount so advanced is against the possibility that a large Certificate Ratings recoverable by the master servicer out of number of credit losses might occur 18. The certificates will have received future payments on receivables held by towards the end of the life of the trust, one of the three highest ratings available the trust to the extent not covered by whether due to servicer advances or any from either S&P’s, Moody’s, D&P or credit support. However, where the other cause. Once the floor amount has Fitch. Insurance or other credit support master servicer provides credit support been reached, the servicer lacks an (such as surety bonds, letters of credit, to the trust, there are protections in incentive to postpone the recognition of guarantees, or overcollateralization) will place to guard against a delay in calling credit losses because the credit support be obtained by the trust sponsor to the upon the credit support to take amount thereafter is subject to reduction extent necessary for the certificates to advantage of the fact that the credit only for actual draws. From the time attain the desired rating. The amount of support declines proportionally with that the floor amount is effective until the decrease in the principal amount of this credit support is set by the rating the end of the life of the trust, there are the obligations in the trust as payments agencies at a level that is a multiple of no proportionate reductions in the on receivables are passed through to the worst historical net credit loss credit support amount caused by investors. These safeguards include: experience for the type of obligations reductions in the pool principal included in the issuing trust. (a) There is often a disincentive to postponing credit losses because the balance. Indeed, since the floor is a Provision of Credit Support sooner repossession or foreclosure fixed dollar amount, the amount of 19. In some cases, the master servicer, activities are commenced, the more credit support ordinarily increases as a or an affiliate of the master servicer, value that can be realized on the percentage of the pool principal balance may provide credit support to the trust security for the obligation; during the period that the floor is in (i.e. act as an insurer). In these cases, the (b) The master servicer has servicing effect. master servicer, in its capacity as guidelines which include a general Disclosure servicer, will first advance funds to the policy as to the allowable delinquency 20. In connection with the original full extent that it determines that such period after which an obligation issuance of certificates, the prospectus advances will be recoverable (a) out of ordinarily will be deemed uncollectible. or private placement memorandum will late payments by the obligors, (b) from The pooling and servicing agreement be furnished to investing plans. The the credit support provider (which may will require the master servicer to prospectus or private placement be the master servicer or an affiliate follow its normal servicing guidelines memorandum will contain information thereof) or, (c) in the case of a trust that and will set forth the master servicer’s material to a fiduciary’s decision to issues subordinated certificates, from general policy as to the period of time invest in the certificates, including: amounts otherwise distributable to after which delinquent obligations (a) Information concerning the holders of subordinated certificates, and ordinarily will be considered payment terms of the certificates, the the master servicer will advance such uncollectible; rating of the certificates, and any funds in a timely manner. When the (c) As frequently as payments are due material risk factors with respect to the servicer is the provider of the credit on the receivables included in the trust certificates; support and provides its own funds to (monthly, quarterly or semi-annually, as (b) A description of the trust as a legal cover defaulted payments, it will do so set forth in the pooling and servicing entity and a description of how the trust either on the initiative of the trustee, or agreement), the master servicer is was formed by the seller/servicer or on its own initiative on behalf of the required to report to the independent other sponsor of the transaction; Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58251

(c) Identification of the independent Securities and Exchange Commission, a Secondary Market Transactions trustee for the trust; complete exemption from the 25. It is FCNBD’s normal policy to (d) A description of the receivables requirement to file quarterly reports on attempt to make a market for securities contained in the trust, including the Form 10–Q and a modification of the for which it is lead or co-managing types of receivables, the diversification disclosure requirements for annual underwriter. FCNBD anticipates that it of the receivables, their principal terms, reports on Form 10–K. If such an will make a market in certificates. and their material legal aspects; exemption is obtained, these trusts (e) A description of the sponsor and normally would continue to have the Retroactive Relief servicer; obligation to file current reports on 26. FCNBD represents that it has not (f) A description of the pooling and Form 8–K to report material engaged in transactions related to servicing agreement, including a mortgage-backed and asset-backed description of the seller’s principal developments concerning the trust and securities based on the assumption that representations and warranties as to the the certificates. While the Securities and retroactive relief would be granted prior trust assets and the trustee’s remedy for Exchange Commission’s interpretation to the date of their application. any breach thereof; a description of the of the periodic reporting requirements is However, FCNBD requests the procedures for collection of payments subject to change, periodic reports exemptive relief granted to be on receivables and for making concerning a trust will be filed to the retroactive to October 8, 1996, the date distributions to investors, and a extent required under the Securities of their application, and would like to description of the accounts into which Exchange Act of 1934. rely on such retroactive relief for such payments are deposited and from 23. At or about the time distributions transactions entered into prior to the which such distributions are made; are made to certificateholders, a report date exemptive relief may be granted. identification of the servicing will be delivered to the trustee as to the compensation and any fees for credit status of the trust and its assets, Summary enhancement that are deducted from including underlying obligations. Such 27. In summary, the applicant payments on receivables before report will typically contain information represents that the transactions for distributions are made to investors; a regarding the trust’s assets, payments which exemptive relief is requested description of periodic statements received or collected by the servicer, the satisfy the statutory criteria of section provided to the trustee, and provided to amount of prepayments, delinquencies, 408(a) of the Act due to the following: or made available to investors by the servicer advances, defaults and (a) The trusts contain ‘‘fixed pools’’ of trustee; and a description of the events foreclosures, the amount of any assets. There is little discretion on the that constitute events of default under payments made pursuant to any credit part of the trust sponsor to substitute the pooling and servicing contract and support, and the amount of receivables contained in the trust once a description of the trustee’s and the compensation payable to the servicer. the trust has been formed; investors’ remedies incident thereto; Such report also will be delivered to or (b) Certificates in which plans invest (g) A description of the credit support; made available to the rating agency or will have been rated in one of the three (h) A general discussion of the agencies that have rated the trust’s highest rating categories by S&P’s, principal federal income tax certificates. Moody’s, D&P or Fitch. Credit support consequences of the purchase, will be obtained to the extent necessary ownership and disposition of the pass- In addition, promptly after each distribution date, certificateholders will to attain the desired rating; through securities by a typical investor; (c) All transactions for which FCNBD (i) A description of the underwriters’ receive a statement prepared by the seeks exemptive relief will be governed plan for distributing the pass-through servicer or trustee summarizing by the pooling and servicing agreement, securities to investors; and information regarding the trust and its which is made available to plan (j) Information about the scope and assets. Such statement will include fiduciaries for their review prior to the nature of the secondary market, if any, information regarding the trust and its for the certificates. plan’s investment in certificates; assets, including underlying receivables. (d) Exemptive relief from sections 21. Reports indicating the amount of Such statement will typically contain payments of principal and interest are 406(b) and 407 for sales to plans is information regarding payments and substantially limited; and provided to certificateholders at least as prepayments, delinquencies, the frequently as distributions are made to (e) FCNBD anticipates that it will remaining amount of the guaranty or make a secondary market in certificates. certificateholders. Certificateholders other credit support and a breakdown of will also be provided with periodic payments between principal and Discussion of Proposed Exemption information statements setting forth interest. material information concerning the I. Differences Between Proposed underlying assets, including, where Forward Delivery Commitments Exemption and Class Exemption PTE applicable, information as to the amount 83–1 and number of delinquent and defaulted 24. To date, no forward delivery The exemptive relief proposed herein loans or receivables. commitments have been entered into by is similar to that provided in PTE 81– 22. In the case of a trust that offers FCNBD in connection with the offering 7 [46 FR 7520, January 23, 1981], Class and sells certificates in a registered of any certificates, but FCNBD may Exemption for Certain Transactions public offering, the trustee, the servicer contemplate entering into such Involving Mortgage Pool Investment or the sponsor will file such periodic commitments. The utility of forward Trusts, amended and restated as PTE reports as may be required to be filed delivery commitments has been 83–1 [48 FR 895, January 7, 1983]. under the Securities Exchange Act of recognized with respect to offering PTE 83–1 applies to mortgage pool 1934. Although some trusts that offer similar certificates backed by pools of investment trusts consisting of interest- certificates in a public offering will file residential mortgages, and FCNBD may bearing obligations secured by first or quarterly reports on Form 10–Q and find it desirable in the future to enter second mortgages or deeds of trust on Annual Reports on Form 10–K, many into such commitments for the purchase single-family residential property. The trusts obtain, by application to the of certificates. exemption provides relief from sections 58252 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

406(a) and 407 for the sale, exchange or limited section 406(b) and section 407 the Act.17 Likewise, issues are raised transfer in the initial issuance of relief for sales transactions. under section 406(a)(1)(D) of the Act mortgage pool certificates between the where a plan fiduciary causes a plan to trust sponsor and a plan, when the II. Ratings of Certificates purchase certificates where trust funds sponsor, trustee or insurer of the trust is After consideration of the will be used to benefit a party in a party-in-interest with respect to the representations of the applicant and interest. Additionally, FCNBD represents that plan, and the continued holding of such information provided by S&P’s, a trust sponsor, servicer, trustee, certificates, provided that the conditions Moody’s, D&P and Fitch, the insurer, and obligor with respect to set forth in the exemption are met. PTE Department has decided to condition 83–1 also provides exemptive relief receivables contained in a trust, or an exemptive relief upon the certificates from section 406 (b)(1) and (b)(2) of the underwriter of certificates representing having attained a rating in one of the Act for the above-described transactions an interest in a trust may be a fiduciary three highest generic rating categories when the sponsor, trustee or insurer of with respect to an investing plan. from S&P’s, Moody’s, D&P or Fitch. The the trust is a fiduciary with respect to FCNBD represents that the exercise of the plan assets invested in such Department believes that the rating fiduciary authority by any of these certificates, provided that additional condition will permit the applicant parties to cause the plan to invest in conditions set forth in the exemption flexibility in structuring trusts certificates representing an interest in are met. In particular, section 406(b) containing a variety of mortgages and the trust would violate section 406(b)(1), relief is conditioned upon the approval other receivables while ensuring that and in some cases section 406(b)(2), of of the transaction by an independent the interests of plans investing in the Act. fiduciary. Moreover, the total value of certificates are protected. The Moreover, FCNBD represents that to certificates purchased by a plan must Department also believes that the ratings the extent there is a plan asset ‘‘look not exceed 25 percent of the amount of are indicative of the relative safety of through’’ to the underlying assets of a the issue, and at least 50 percent of the investments in trusts containing secured trust, the investment in certificates by a aggregate amount of the issue must be receivables. The Department is plan covering employees of an obligor acquired by persons independent of the conditioning the proposed exemptive under receivables contained in a trust trust sponsor, trustee or insurer. Finally, relief upon each particular type of asset- may be prohibited by sections 406(a) PTE 83–1 provides conditional backed security having been rated in and 407(a) of the Act. exemptive relief from section 406 (a) one of the three highest rating categories After consideration of the issues and (b) of the Act for transactions in for at least one year and having been involved, the Department has connection with the servicing and sold to investors other than plans for at determined to provide the limited operation of the mortgage trust. least one year.15 sections 406(b) and 407(a) relief as Under PTE 83–1, exemptive relief for specified in the proposed exemption. III. Limited Section 406(b) and Section the above transactions is conditioned NOTICE TO INTERESTED PERSONS: The upon the sponsor and the trustee of the 407(a) Relief for Sales applicant represents that because those mortgage trust maintaining a system for FCNBD represents that in some cases potentially interested participants and insuring or otherwise protecting the a trust sponsor, trustee, servicer, beneficiaries cannot all be identified, pooled mortgage loans and the property insurer, and obligor with respect to the only practical means of notifying securing such loans, and for receivables contained in a trust, or an such participants and beneficiaries of indemnifying certificate holders against underwriter of certificates may be a pre- this proposed exemption is by the reductions in pass-through payments existing party in interest with respect to publication of this notice in the Federal due to defaults in loan payments or an investing plan.16 In these cases, a Register. Comments and requests for a property damage. This system must direct or indirect sale of certificates by hearing must be received by the provide such protection and that party in interest to the plan would Department not later than 30 days from indemnification up to an amount not be a prohibited sale or exchange of the date of publication of this notice of less than the greater of one percent of property under section 406(a)(1)(A) of proposed exemption in the Federal the aggregate principal balance of all Register. trust mortgages or the principal balance FOR FURTHER INFORMATION CONTACT: Gary of the largest mortgage. 15 In referring to different ‘‘types’’ of asset-backed securities, the Department means certificates Lefkowitz of the Department, telephone The exemptive relief proposed herein representing interests in trusts containing different (202) 219–8881. (This is not a toll-free differs from that provided by PTE 83– ‘‘types’’ of receivables, such as single family number.) 1 in the following major respects: (1) residential mortgages, multi-family residential The proposed exemption provides mortgages, commercial mortgages, home equity General Information loans, auto loan receivables, installment obligations individual exemptive relief rather than for consumer durables secured by purchase money The attention of interested persons is class relief; (2) The proposed exemption security interests, etc. The Department intends this directed to the following: covers transactions involving trusts condition to require that certificates in which a plan (1) The fact that a transaction is the containing a broader range of assets than invests are of the type that have been rated (in one subject of an exemption under section single-family residential mortgages; (3) of the three highest generic rating categories by S&P’s, D&P, Fitch or Moody’s) and purchased by 408(a) of the Act and/or section Instead of requiring a system for investors other than plans for at least one year prior 4975(c)(2) of the Code does not relieve insuring the pooled receivables, the to the plan’s investment pursuant to the proposed a fiduciary or other party in interest of proposed exemption conditions relief exemption. In this regard, the Department does not disqualified person from certain other upon the certificates having received intend to require that the particular assets contained in a trust must have been ‘‘seasoned’’ provisions of the Act and/or the Code, one of the three highest ratings available (e.g., originated at least one year prior to the plan’s from S&P’s, Moody’s, D&P or Fitch investment in the trust). 17 The applicant represents that where a trust (insurance or other credit support 16 In this regard, we note that the exemptive relief sponsor is an affiliate of FCNBD, sales to plans by would be obtained only to the extent proposed herein is limited to certificates with the sponsor may be exempt under PTE 75–1, Part respect to which FCNBD or any of its affiliates is II (relating to purchases and sales of securities by necessary for the certificates to attain either (a) the sole underwriter or manager or co- broker-dealers and their affiliates), if FCNBD is not the desired rating); and (4) The manager of the underwriting syndicate, or (b) a a fiduciary with respect to plan assets to be invested proposed exemption provides more selling or placement agent. in certificates. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58253 including any prohibited transaction made available to the general public in NUCLEAR REGULATORY provisions to which the exemption does NARA’s research room at 8601 Adelphi COMMISSION not apply and the general fiduciary Road, College Park, MD. responsibility provisions of section 404 [Docket Nos. 50±245, 50±336, and 50±423; of the Act, which among other things In notice document 96–26174 beginning on page 53460 in the issue of License Nos. DPR±21, DPR±65, and NPF± require a fiduciary to discharge his 49] duties respecting the plan solely in the Friday, October 11, 1996, make the interest of the participants and following correction: Northeast Nuclear Energy Company beneficiaries of the plan and in a In the second full paragraph in the (Millstone Nuclear Power Station Units prudent fashion in accordance with second column of page 53460, the hours 1, 2 and 3); Order Requiring section 404(a)(1)(b) of the act; nor does are corrected to read ‘‘between 9 a.m. Independent, Third-Party Oversight of it affect the requirement of section and 4:30 p.m.’’ Northeast Nuclear Energy Company's 401(a) of the Code that the plan must Implementation of Resolution of operate for the exclusive benefit of the Dated: November 8, 1996. Millstone Station Employees' Safety employees of the employer maintaining Nancy Y. Allard, Concerns the plan and their beneficiaries; Alternate Federal Register Liaison. I (2) Before an exemption may be [FR Doc. 96–29142 Filed 11–12–96; 8:45 am] granted under section 408(a) of the Act BILLING CODE 7515±01±M Northeast Nuclear Energy Company and/or section 4975(c)(2) of the Code, (Licensee) is the holder of Facility the Department must find that the Operating License Nos. DPR–21, DPR– exemption is administratively feasible, 65, and NPF–49 issued by the Nuclear in the interests of the plan and of its NATIONAL LABOR RELATIONS Regulatory Commission (NRC or participants and beneficiaries and BOARD Commission) pursuant to Title 10 of the protective of the rights of participants Code of Federal Regulations (10 CFR) and beneficiaries of the plan; Sunshine Act Meeting Part 50 on October 31, 1986,1 September (3) The proposed exemptions, if 26, 1975, and January 31, 1986, granted, will be supplemental to, and AGENCY HOLDING THE MEETING: National respectively. The licenses authorize the not in derogation of, any other Labor Relations Board. operation of Millstone Units 1, 2 and 3 provisions of the Act and/or the Code, in accordance with conditions specified TIME AND DATE: including statutory or administrative 10:00 a.m., Friday, therein. All three facilities are located exemptions and transitional rules. November 1, 1996. on the Licensee’s site in Waterford, Furthermore, the fact that a transaction PLACE: Board Conference Room, Connecticut. is subject to an administrative or Eleventh Floor, 1099 Fourteenth St., II statutory exemption is not dispositive of N.W., Washington, D.C. 20570. whether the transaction is in fact a Over the past several years, the prohibited transaction; and STATUS: Closed to public observation Licensee’s management has failed to (4) The proposed exemptions, if pursuant to 5 U.S.C. Section 552b(c)(2) ensure compliance with regulatory granted, will be subject to the express (internal personnel rules and practices); requirements. In an attempt to address condition that the material facts and (c)(6) (personal information where this compliance problem, the NRC representations contained in each disclosure would constitute a clearly issued an Order on August 14, 1996 application are true and complete, and unwarranted invasion of personal establishing independent, third-party that each application accurately privacy) and 9(B) Disclosure would oversight of corrective actions for design describes all material terms of the significantly frustrate implementation of and plant operation deficiencies. The transaction which is the subject of the a proposed Agency action* * *). August 14, 1996 Order, directing the exemption. implementation of an Independent MATTERS TO BE CONSIDERED: Personnel Signed at Washington, DC, this 7th day of Corrective Action Verification Program November, 1996. Matters. (ICAVP) for the Millstone facilities, Ivan Strasfeld CONTACT PERSON FOR MORE INFORMATION: summarizes the Licensee’s failures to Director of Exemption Determinations, John J. Toner, Executive Secretary, meet Criterion XVI of Appendix B to 10 Pension and Welfare Benefits Administration, Washington, D.C. 20570, Telephone: CFR Part 50 and other NRC Department of Labor. (202) 273–1940. requirements. The August 14, 1996 [FR Doc. 96–29035 Filed 11–12–96; 8:45 am] Order also outlines what the NRC found Dated: Washington, D.C., November 7, BILLING CODE 4510±29±P to be ineffective implementation of the 1996. Licensee’s oversight programs, By direction of the Board. including its NRC-approved quality NATIONAL ARCHIVES AND RECORDS John J. Toner, assurance (QA) program. The purpose of ADMINISTRATION Executive Secretary, National Labor Relations the ICAVP is to provide independent Board. verification, for selected systems, that Nixon Presidential Historical Materials; [FR Doc. 96–29194 Filed 11–8–96; 3:17 pm] the Licensee’s own Configuration Opening of Materials; Correction Management Plan (CMP) has identified BILLING CODE 7545±01±M and resolved existing problems, AGENCY: National Archives and Records documented and utilized licensing and Administration (NARA). design bases, and established programs, ACTION: Correction.

SUMMARY: This document corrects the 1 Millstone Unit 1 was issued its provisional operating license on October 7, 1970, and hours that the tape recordings described commenced operation on March 1, 1971. This unit in the notice published in the Federal received a full term operating license on October Register on October 11, 1996, will be 31, 1986. 58254 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices processes, and procedures for effective raised safety concerns. The Licensee’s lessons learned. The Millstone configuration management in the future. 1996 study team found that many of Independent Review Group reported: 6 This Order addresses past failures in these problems still exist, because the 1. A large number of allegations (an management processes and procedures Licensee had not implemented past average of 42 per year) were being raised for handling safety issues raised by recommendations in a coordinated and to the NRC, which indicated that the employees, and in ensuring that the effective manner. The review also found Licensee’s own programs were not employees who raise safety concerns are that a concurrent lack of commitment to effective in resolving its employee not discriminated against. As discussed and accountability in implementing concerns. below, the Commission is concerned corrective actions had resulted in a 2. The Licensee’s employees believed about the manner in which the Licensee continuing failure to proactively resolve that the managers responsible for has treated employees who brought emerging issues. It commented that this discrimination were not appropriately safety and other concerns to the situation was compounded by the disciplined. attention of the Licensee’s management. general inability on the part of 3. The Licensee’s management As evidenced by the large number of individual Licensee managers to admit frequently identified problems but was deficiencies currently being identified at when they are in error. All of these ineffective in implementing corrective all three Millstone plants, it appears that factors have contributed to a strained actions. some employees have been reluctant to and ineffective relationship between 4. The Licensee’s management was identify safety issues. Both the NRC and management and some employees. reluctant to admit mistakes. the Licensee rely on a defense-in-depth Finally, the study team concluded that 5. The Licensee’s managers lacked approach to ensuring safety. The the effectiveness of the NSCP has been skill in handling concerns and were persistence of an environment where historically undermined by a lack of generally not supportive of their employees are reluctant to raise safety executive management support. employees raising concerns. There was concerns can erode the safety- In May 1996, the Nuclear Committee a lack of communication along the chain consciousness of the work-place and, of the Licensee’s Board of Trustees of command and across parallel thereby, can affect safety. As the established a Nuclear Committee organizational lines. Commission has stated, it expects that Advisory Team (NCAT) to evaluate the The Millstone Independent Review licensees will establish and maintain a performance of the Licensee’s nuclear Group and the Licensee’s recent internal safety-conscious work environment in program. A Fundamental Cause reviews have produced consistent which employees feel free to raise Assessment Team (FCAT) was also findings for which corrective actions concerns both to their own management formed to evaluate whether have not yet been effectively and the NRC without fear of retaliation, management actions are effectively implemented. It is clear that the licensee and in which such concerns are addressing the causes of declining has not established a safety-conscious promptly reviewed, given the proper performance. environment. priority based on their potential safety The FCAT identified 4 the following significance, and appropriately resolved fundamental causes of the decline in III with timely feedback to employees. performance: In light of the foregoing, I have • Such an environment is critical to a The top level of the Licensee’s concluded that the Licensee must take licensee’s ability to safely carry out management did not consistently action to correct and improve its licensed activities 2 in the work-place; exercise effective leadership and handling of safety concerns raised by its thus it can affect safety. articulate and implement appropriate employees so that the NRC can have Over the past several years, numerous vision and direction; • confidence that concerns will be acted Licensee assessments, audits, and The nuclear organization did not on promptly and adequately, and that internal task group studies have been establish and maintain high standards employees who bring forth such conducted to assess employee safety and expectations; and concerns can do so without fear of • The nuclear organization’s concerns programs at the Millstone retaliation or retribution. Station. leadership, management, and In this Order, the NRC directs that, In January 1996, the Licensee interpersonal skills were weak. prior to resumption of power 3 The NRC has also performed several completed a review of the effectiveness operations, the Licensee shall develop, assessments of the way that the Licensee of its Nuclear Safety Concerns Program submit to the NRC, and implement a has dealt with technical and safety (NSCP) in taking corrective actions comprehensive plan for reviewing and concerns raised at the Millstone related to employee concerns and dispositioning safety issues raised by facilities and the manner in which the ensuring that the employees who raise the Licensee’s employees and ensuring Licensee has treated those employees concerns are treated appropriately. The that employees who raise safety who have raised safety concerns. On findings of the Licensee’s 1996 review concerns are not subject to December 12, 1995, the NRC staff were similar to those of previous discrimination. Additionally, the initiated an historical review of both the Licensee assessments, studies, and Licensee shall retain an independent Licensee’s and the NRC’s handling of audits performed since 1991. Some of third-party, subject to the approval of Millstone employee concerns and the common findings were that the NRC, to oversee its implementation allegations, covering the past 10 years.5 management (1) lacked accountability, of its comprehensive plan. The The staff’s review included indepth case (2) inadequately resolved identified employees of the third-party studies of selected employees’ concerns problems, and (3) tended to punish organization shall have unfettered site and allegations to identify root causes, rather than reward employees who access after meeting the NRC’s access common patterns between cases, and authorization requirements. 2 Freedom of Employees in the Nuclear Industry The independent third-party is to to Raise Safety Concerns Without Fear of 4 Report of the Fundamental Cause Assessment Retaliation; Policy Statement, 61 FR 24336 (May 14, Team, dated July 12, 1996. develop and submit for NRC approval 1996). The attributes of a safety-conscious 5 Millstone Independent Review Group— environment are described in the Policy Statement. Handling of Employee Concerns and Allegations at 6 Transcribed public meetings to report the review 3 Millstone Employee Concerns Assessment Team Millstone Nuclear Power Station, Units 1, 2, and 3. group findings, held on August 7 and 8, 1996 in the Report, dated January 29, 1996. Prior NRC studies are discussed in this report. vicinity of the plant. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58255 an oversight plan. The independent on the third-party oversight plan will be Licensee’s comprehensive plan shall third-party shall monitor and oversee forwarded to the Licensee and the allow for revisions based upon the the Licensee’s efforts to correct and independent third-party for evaluation Licensee’s experience in prevent repetition of its past failures in and implementation as appropriate. implementation of its plan and its treatment of employee concerns and comments and recommendations of the IV of those employees who raised such independent third-party and/or the concerns. The oversight plan shall Accordingly, pursuant to Sections NRC. include observation and monitoring of 103, 161b, 161i, 161o, 182 and 186 of 3. If the independent third-party the Licensee’s activities, performance of the Atomic Energy Act of 1954, as receives allegations of safety concerns, it technical and audit reviews, amended, and the Commission’s is to encourage the alleger to bring those investigation of concerns, and regulations in 10 CFR 2.202 and 10 CFR concerns to the attention of the assessment of changes in the Licensee’s Part 50, It is hereby ordered That, prior Licensee. If the alleger elects not to do treatment of employee concerns as to restart of any Millstone units: so, the independent third-party is to compared to past practices. This 1. Within 60 days from the date of this encourage the alleger to report the oversight must be comprehensive in Order, the Licensee shall develop, concerns to the NRC. If the alleger does scope and cover all NRC-regulated submit for NRC review, and begin to not elect to report the safety concerns to activities at the Millstone facilities. implement a comprehensive plan for (a) either the Licensee or the NRC, the Recommendations are to be made to reviewing and dispositioning safety independent third-party is to accept the address the handling of specific issues raised by its employees and (b) allegation and forward it directly to the concerns as well as the Licensee’s ensuring that employees who raise NRC. The independent third-party is to programs and processes for handling safety concerns are not subject to develop procedures for protecting the concerns. discrimination. The comprehensive identity of any such allegers and The qualifications of the independent plan shall address the root causes of limiting the disclosure of the allegers’ third-party must include the expertise past performance failures as described identity to those with a need to know.7 necessary to audit technical reviews of in the Licensee’s July 12, 1996 report of 4. The plan for independent, third- employee concerns, monitor corrective the Fundamental Cause Assessment party oversight will continue to be actions, recognize technical weaknesses Team and the NRC’s September 1996 implemented until the Licensee in approaches to concerns taken by the report of the Millstone Independent demonstrates, by its performance, that Review Group, with the objective of Licensee, audit and determine the the conditions which led to the meeting a goal of achieving a safety- adequacy of the Licensee’s requirement of that oversight have been conscious environment. investigations into harassment, corrected to the satisfaction of the NRC. intimidation, and discrimination 2. Within 30 days from the date of this complaints, and conduct employee Order, the Licensee shall submit, for V surveys to determine the views of the NRC approval, a proposed independent, The Director, Office of Nuclear third-party organization to oversee Licensee’s employees on the success Reactor Regulation, may, in writing, implementation of the above and completeness of these activities. relax or rescind this Order upon comprehensive plan. The independent The factors to be examined by the demonstration by the Licensee of good third-party shall be approved by the independent organization include cause. actions taken or to be taken by the NRC and its activities, under this Order, Licensee to create an environment in are subject to continuing NRC oversight. VI which employees of both the Licensee The independent third-party shall In accordance with 10 CFR 2.202, the and onsite contractors are encouraged to oversee plan implementation by (a) Licensee must, and any other person raise concerns and the timeliness and observing and monitoring the Licensee’s adversely affected by this Order may, thoroughness with which such concerns activities; (b) performing technical submit an answer to this Order, and are reviewed and resolved, including reviews; (c) auditing and investigating, may request a hearing on this Order, how employees are informed of results. when necessary, cases of alleged within 20 days of the date of this Order. The third-party organization chosen to harassment, intimidation, and Where good cause is shown, discrimination; (d) auditing and oversee the conduct of the Licensee’s consideration will be given to extending reviewing the Licensee’s handling of comprehensive plan must be the time to request a hearing. A request employee safety concerns; and (e) independent of the Licensee, such that for extension of time must be made in assessing and monitoring the Licensee’s none of its members has had any direct, writing to the Director, Office of Nuclear performance. Within 30 days of the previous involvement with the activities Reactor Regulation, U.S. Nuclear NRC’s approval of the third-party, an at the Millstone Station that the Regulatory Commission, Washington, oversight plan for conduct of this third- organization will be overseeing. D.C. 20555, and include a statement of party oversight shall be developed by The independent third-party is to good cause for the extension. report concurrently to the NRC and the third-party and forwarded for NRC The Licensee’s answer may consent to Licensee, on at least a quarterly basis, review. NRC approval of the oversight this Order. Unless the answer consents the results of its oversight activities, plan is required prior to its to this Order, the answer shall, in including all findings and implementation. Reports on oversight writing and under oath or affirmation, recommendations. activities, findings, and specifically admit or deny each After the NRC receives the Licensee’s recommendations shall be provided to allegation or charge made in this Order comprehensive plan and the both the licensee and the NRC at least and set forth the matters of fact or law independent third-party oversight plan, quarterly following NRC approval of the on which the Licensee or any other a notice of availability of the plans will oversight plan. The plan shall specify person adversely affected relies and the be published in the Federal Register procedures for concurrent reporting of reasons as to why the Order should not and one or more public meetings will be oversight activities, findings, and held to allow members of the public to recommendations to the NRC and the 7 Such procedures may not withhold the identity comment on the plans. The results of Licensee. The Licensee will provide a of any alleger or any information related to the NRC review and public comments response to each recommendation. The allegations from the NRC. 58256 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices have been issued. Any answer or Commission that TUC proposes to For the Nuclear Regulatory Commission. request for a hearing shall be submitted acquire ENSERCH Corporation William D. Beckner, to the Director, Office of Nuclear (ENSERCH), which is a company Director, Project Directorate IV–1, Division Reactor Regulation, U.S. Nuclear engaged in natural gas and oil of Reactor Projects III/IV, Office of Nuclear Regulatory Commission, Washington, exploration and production, natural gas Reactor Regulation. D.C. 20555, with a copy to the pipeline gathering, processing and [FR Doc. 96–28995 Filed 11–12–96; 8:45 am] Commission’s Document Control Desk, marketing, and natural gas distribution BILLING CODE 7590±01±P Washington, D.C. 20555. Copies shall and power generation. TUC’s also be sent to the Assistant General acquisition of ENSERCH will be Counsel for Hearings and Enforcement accomplished through the following Advisory Committee on Reactor at the same address, to the Regional merger transactions: (1) The formation Safeguards, Subcommittee Meeting on Administrator, NRC Region I, 475 of a new Texas Corporation, TUC Probabilistic Risk Assessment; Notice Allendale Road, King of Prussia, PA Holding Company, and two new of Meeting 19406–1415; and to the Licensee if the subsidiaries of TUC Holding Company The ACRS Subcommittee on answer or hearing request is by a person (i.e., TUC Merger Corporation and Probabilistic Risk Assessment will hold other than the Licensee. If such a person Enserch Merger Corporation); (2) the a meeting on November 21 and 22, requests a hearing, that person shall set merger of TUC Merger Corporation with 1996, Room T–2B3, 11545 Rockville forth with particularity the manner in and into TUC with TUC being the Pike, Rockville, Maryland. which his or her interest is adversely surviving corporation; and (3) the The entire meeting will be open to affected by this Order and shall address merger of Enserch Merger Corporation public attendance. the criteria set forth in 10 CFR 2.714(d). with and into ENSERCH with ENSERCH The agenda for the subject meeting If a hearing is requested by the being the surviving company. Upon the shall be as follows: Licensee or a person whose interest is consummation of these transactions, Thursday, November 21, 1996—8:30 adversely affected, the Commission will TUC and ENSERCH will both become a.m. until the conclusion of business. issue an Order designating the time and wholly owned subsidiaries of TUC Friday, November 22, 1996—8:30 a.m. place of any hearing. If a hearing is held, Holding Company, which will change until the conclusion of business. the issue to be considered at such its name to Texas Utilities Company. The Subcommittee will discuss the hearing shall be whether this Order TUEC would continue to remain the NRC staff’s approach to codify risk- shall be sustained. sole owner and operator of CPSES. informed, performance-based regulation In the absence of any request for a Upon consummation of the through development of Standard hearing, or written approval of an restructuring, current stockholders of Review Plan (SRP) section(s) and extension of time in which to request a TUC would become stockholders of the associated regulatory guide(s). The hearing, the provisions specified in new Texas Utilities Company and purpose of this meeting is to gather Section IV above shall be effective and would hold approximately 94 percent of information, analyze relevant issues and final 20 days from the date of this Order the issued and outstanding shares of facts, and to formulate proposed without further Order or proceedings. If common stock of the new Texas positions and actions, as appropriate, an extension of time for requesting a Utilities Company. for deliberation by the full Committee. hearing has been approved, the Oral statements may be presented by provisions specified in Section IV shall Pursuant to 10 CFR 50.80, the members of the public with the be final when the extension expires if a Commission may approve the transfer of concurrence of the Subcommittee hearing request has not been received. control of a license after notice to interested persons. Such approval is Chairman; written statements will be Dated at Rockville, Maryland, this 24th day contingent upon the Commission’s accepted and made available to the of October 1996. determination that the holder of the Committee. Electronic recordings will For the Nuclear Regulatory Commission. license following the transfer is be permitted only during those portions Frank J. Miraglia, Jr., qualified to hold the license and that the of the meeting that are open to the Acting Director, Office of Nuclear Reactor transfer is otherwise consistent with public, and questions may be asked only Regulation. applicable provisions of law, by members of the Subcommittee, its [FR Doc. 96–28996 Filed 11–12–96; 8:45 am] regulations, and orders of the consultants, and staff. Persons desiring BILLING CODE 7590±01±P Commission. to make oral statements should notify the cognizant ACRS staff engineer For further details with respect to this named below five days prior to the [Docket Nos. 50±445 and 50±446] action, see the licensee’s letter dated meeting, if possible, so that appropriate September 20, 1996, with the following Texas Utilities Electric Company; arrangements can be made. attachments: TUEC’s Request for During the initial portion of the Comanche Peak Steam Electric Consent and the Joint Proxy Statement/ Station, Units 1 and 2 meeting, the Subcommittee, along with Prospectus filed with the Securities and any of its consultants who may be Notice is hereby given that the United Exchange Commission. These present, may exchange preliminary States Nuclear Regulatory Commission documents are available for public views regarding matters to be (the Commission) is considering inspection at the Commission’s Public considered during the balance of the approval under 10 CFR 50.80 of an Document Room, The Gelman Building, meeting. application concerning the proposed 2120 L Street, NW., Washington, DC, The Subcommittee will then hear corporate restructuring of Texas Utilities and at the local public document room presentations by and hold discussions Company (TUC), the parent holding located at the University of Texas at with representatives of the NRC staff, its company, for Texas Utilities Electric Arlington Library, Government consultants, and other interested Company (TUEC), the licensee for Publications/Maps, 702 College, P.O. persons regarding this review. Comanche Peak Steam Electric Station Box 19497, Arlington, TX 76019. Further information regarding topics (CPSES), Units 1 and 2. By letter dated Dated at Rockville, Maryland, this 6th day to be discussed, whether the meeting September 20, 1996, TUEC informed the of November 1996. has been cancelled or rescheduled, the Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58257

Chairman’s ruling on requests for the Week of November 25—Tentative of fuel in spent fuel pools, and opportunity to present oral statements Wednesday, November 27 reminding licensees of their and the time allotted therefor can be responsibilities to perform timely 11:30 a.m. obtained by contacting the cognizant Affirmation Session (Public Meeting) (if operability determinations in ACRS staff engineer, Mr. Michael T. needed) accordance with their technical Markley (telephone 301/415–6885) specifications and NRC Generic Letter between 7:30 a.m. and 4:15 p.m. (EST). Week of December 2—Tentative 91–18; (2) direct each licensee to Persons planning to attend this meeting Friday, December 6 immediately perform an evaluation of are urged to contact the above named 9:30 a.m. this potential deficiency to determine individual one or two working days Meeting with Advisory Committee on compliance with its current licensing prior to the meeting to be advised of any Reactor Safeguards (ACRS) basis; (3) deny all requests for license potential changes to the agenda, etc., (Contact: John Larkins, 301–415–7360) amendments for the expansion of spent that may have occurred. 11:00 a.m. fuel pool capacity until these safety Affirmation Session (Public Meeting) (if concerns are fully resolved; and (4) after Dated: November 5, 1996. needed) evaluation by each licensee, if the NRC Sam Duraiswamy, The schedule for Commission determines there is little or no risk to Chief, Nuclear Reactors Branch. meetings is subject to change on short public health and safety, the NRC may [FR Doc. 96–28999 Filed 11–12–96; 8:45 am] notice. To verify the status of meetings issue a Notice of Enforcement BILLING CODE 7590±01±P call (Recording)—(301) 415–1292. Discretion. Request (3) was determined CONTACT PERSON FOR MORE INFORMATION: to be a request for a licensing action and Bill Hill (301) 415–1661. so was beyond the scope of 10 CFR Sunshine Act Meeting The NRC Commission Meeting Schedule 2.206. can be found on the Internet at: The Acting Director of the Office of AGENCY HOLDING THE MEETING: Nuclear http://www.nrc.gov/SECY/smj/schedule.htm Nuclear Reactor Regulation has granted Regulatory Commission. in part Requests (1) and (2) of the April This notice is distributed by mail to DATE: Weeks of November 11, 18, 25, 13, 1994, Petition. With regard to several hundred subscribers; if you no and December 2, 1996. Petitioner’s Request (4), the Director has longer wish to receive it, or would like concluded that there has been no need PLACE: Commissioners’ Conference to be added to it, please contact the for issuance of NOEDs regarding Room, 11555 Rockville Pike, Rockville, Office of the Secretary. Attn: Operations potential failure of fuel in spent fuel Maryland. Branch, Washington, D.C. 20555 (301– pools. The reasons for these decisions 415–1661). STATUS: Public and Closed. are explained in the ‘‘Final Director’s In addition, distribution of this Decision Under 10 CFR 2.206’’ (DD–96– MATTERS TO BE CONSIDERED: meeting notice over the internet system 18), the complete text of which follows is available. If you are interested in Week of November 11 this notice, and which is available for receiving this Commission meeting public inspection at the Commission’s Wednesday, November 13 schedule electronically, please send an Public Document Room, the Gelman 2:00 p.m. electronic message to [email protected] or Building, 2120 L Street, NW., Briefing on Control and Accountability of [email protected]. Washington, DC, and at the local public Licensed Devices (Public Meeting) Dated: November 8, 1996. (Contact: John Lubinski, 310–415–7868) document room for all power reactor 3:30 p.m. William M. Hill, Jr., licensees. Affirmation Session (Public Meeting) (if SECY Tracking Officer, Office of the A copy of this Final Director’s needed) Secretary. Decision has been filed with the [FR Doc. 96–29233 Filed 11–8–96; 2:37 pm] Secretary of the Commission for review Thursday, November 14 BILLING CODE 7590±01±M in accordance with 10 CFR 2.206(c) of 2:00 p.m. the Commission’s regulations. As Briefing on Spent Fuel Pool Study (Public provided in this regulation, this Meeting) All Power Reactor Licensees; Issuance Decision will constitute the final action (Contact: Ernie Rossi, 301–415–7379) 3:30 p.m. of Final Director's Decision Under 10 of the Commission 25 days after the date Discussion of Management Issues CFR 2.206 of its issuance, unless the Commission, (Closed—Ex. 2) on its own motion, institutes review of Notice is hereby given that the Acting the Decision within that time. Week of November 18—Tentative Director, Office of Nuclear Reactor Dated at Rockville, Maryland, this 6th day Thursday, November 21 Regulation, U.S. Nuclear Regulatory Commission (NRC) has granted in part of November 1996. 9:00 a.m. and denied in part a Petition, dated For the Nuclear Regulatory Commission. Affirmation Session (Public Meeting) (if Frank J. Miraglia, Jr., needed) April 13, 1994, submitted by Mr. Paul Acting Director, Office of Nuclear Reactor 1:30 p.m. M. Blanch (Petitioner). The Petition Regulation. Briefing by DOE on International Nuclear requested that the NRC take action with Safety Program (Public Meeting) regard to all power reactor licensees, Final Director’s Decision Under 10 CFR 3:00 p.m. concerning the potential failure of the 2.206 Discussion of Management Issues fuel in the spent fuel pools for all (Closed—Ex. 2) reactors in the United States. I. Introduction Friday, November 22 Specifically, the Petitioner requested By a Petition submitted pursuant to 1:30 p.m. that the NRC: (1) immediately issue an 10 CFR 2.206 on April 13, 1994, Mr. Briefing on Integrated Materials information notice or other appropriate Paul M. Blanch (Petitioner) requested Performance Evaluation Program (Public notification forwarding all information that the U.S. Nuclear Regulatory Meeting) in its possession to all power reactor Commission (NRC) take immediate (Contact: Don Cool, 301–415–7197) licensees regarding the potential failure action with regard to all power reactor 58258 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Licensees, concerning the potential radiation levels and a failure of the the environment that would cause failure of the fuel in the spent fuel pools spent fuel in the pool and a consequent significant harm to the public health for all reactors in the United States. release of massive amounts of airborne and safety. Specifically, the Petitioner requested radioactivity outside of primary and The NRC staff determined initially that the NRC: (1) immediately issue an secondary containment. Petitioner that the issues appeared to be of low information notice or other appropriate alleged further that the residual heat safety significance because of the low notification forwarding all information removal system could not cool the fuel probability that the necessary sequence in its possession to all power reactor pool under accident conditions, and of events would take place. Specifically, Licensees regarding the potential failure that if replacement water could be the NRC staff observed that a loss-of- of fuel in spent fuel pools, and provided, temperature and humidity coolant accident followed by multiple reminding Licensees of their conditions inside the reactor building failures of emergency core cooling responsibilities to perform timely would cause the emergency systems to systems would be necessary to achieve operability determinations in fail, resulting in additional fuel failure the adverse radiological conditions that accordance with their technical and failure of the primary and would preclude operator actions to specifications and NRC Generic Letter secondary containment. ensure continued adequate decay heat 91–18; (2) direct each Licensee to In a letter of May 5, 1994, the Director removal from the spent fuel pool. On immediately perform an evaluation of of the Office of Nuclear Reactor this basis, the NRC staff determined that this potential deficiency to determine Regulation acknowledged receipt of the immediate actions to assure public compliance with its current licensing Petition and denied the Petitioner’s health and safety were not warranted. basis; (3) deny all requests for license requests for immediate relief. In the However, because of the complex amendments for the expansion of spent acknowledgement letter, he informed nature of the issues raised in the Part 21 fuel pool capacity until these safety the Petitioner that the remaining report, the NRC staff undertook an concerns are fully resolved;1 and (4) requests were being evaluated under 10 extensive evaluation of the matter after evaluation by each Licensee, if the CFR 2.206 of the Commission’s which continued from November 1992 NRC determines there is little or no risk regulations and that action would be to June 1995. The NRC staff review to public health and safety, the NRC taken in a reasonable time. process included information-gathering may issue a Notice of Enforcement The NRC staff’s review of the issues trips to the Licensee’s engineering Discretion which represents a related to spent fuel storage pool safety offices and to the Susquehanna Steam determination by the NRC not to enforce raised in the April 13, 1994, Petition is Electric Station (SSES), public meetings an applicable technical specification or now complete. As explained below, the with the Licensee, public meetings and license condition. NRC staff has taken actions which, in written correspondence with the As a basis for his requests, the part, address Petitioner’s requests. A authors of the Part 21 report, and Petitioner asserted that approximately discussion of these issues and the NRC numerous written requests for 11⁄2 years before the Petition was response to the Petitioner’s requests information to the Licensee and submitted, the NRC was informed of a follows. corresponding responses. The staff issued Information Notice 93–83, potential substantial nuclear safety II. Discussion hazard at the Susquehanna Steam ‘‘Potential Loss of Spent Fuel Pool Electric Station (SSES) operated by On November 27, 1992, a report was Cooling After a Loss-of-Coolant Pennsylvania Power and Light Company filed pursuant to 10 CFR Part 21 by two Accident,’’ on October 7, 1993, which (PP&L or Licensee) and that the NRC contract engineers at SSES, which informed licensees of all operating overlooked the need to inform utilities notified the Commission of potential reactors of the nature of the issues of this potential problem. The Petitioner design deficiencies in spent fuel pool raised in the Part 21 report. claimed that this hazard involves a decay heat removal systems and The NRC staff reviewed and evaluated major design flaw such that, during a containment systems at the the plant design and expected operation design-basis loss-of-coolant-accident, Susquehanna Steam Electric Station. of plant equipment with respect to the the electrical power to the fuel pool The report noted that, under certain various event sequences described in cooling system would be turned off, conditions, systems designed to remove the Part 21 report. The staff also resulting in loss of cooling for the spent decay heat from the spent fuel pool evaluated the response of plant fuel pool. Petitioner alleged that, as a would be unable to perform their equipment to a broader range of result of the loss-of-coolant-accident, intended function and that, due to initiating events than was identified in radiation levels in the reactor building concurrent plant conditions, it would the Part 21 report. For example, the staff would prohibit operators from entering not be possible for operators to place considered the safety significance of a the reactor building to restart the backup systems in service or that loss of spent fuel pool decay heat system. Petitioner claimed that, if backup systems would also otherwise be removal capability resulting from loss of cooling is not restored, the water in the unable to perform their intended offsite power events, from seismic spent fuel pool will boil, water will function. The report contended that, events, and from flooding events. The evaporate and, since the valves which under such conditions, the spent fuel staff considered the potential for such must be opened to provide replacement pool could reach boiling conditions and events to lead to spent fuel pool boiling water are located within the that the adverse environment created by sequences that could in turn jeopardize inaccessible reactor building, a boiling pool would render systems safety-related equipment needed to replacement water cannot be provided. designed to remove decay heat from the maintain reactor core cooling. The NRC Petitioner postulated that this would reactor core and systems designed to staff conducted both deterministic and result in high onsite and offsite limit the release of fission products to probabilistic evaluations to fully the environment unable to perform their understand the safety significance of the 1 This request by Petitioner is not within the intended function. The ultimate issues raised. In addition, the staff scope of the 2.206 process as it does not request consequence of this condition would be evaluated the impact of certain enforcement action as is more fully discussed in my the failure of fuel in both the reactor modifications made by the Licensee letter transmitting this Director’s Decision to Petitioner. Accordingly, it will not be further vessel and the spent fuel pool and a during the course of the NRC staff’s addressed in this Director’s Decision. substantial release of fission products to review. Finally, the staff examined Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58259 issues associated with the design of the Coolant Accident or a Loss of Offsite operation), accident mitigation (e.g., spent fuel pool cooling system to Power,’’ to all power reactor licensees multiple cooling systems and multiple determine the extent to which the on August 24, 1995, in which the SSES makeup water paths), radiation Licensee’s design and operation met the SE was summarized. The information protection, and emergency applicable regulatory requirements. notice also described the staff’s plans to preparedness. Design features The NRC staff issued a draft safety undertake an action plan to evaluate the addressing each of these areas for spent evaluation addressing the issues raised generic concerns raised in the SSES SE fuel storage for each operating reactor in the Part 21 report regarding SSES for and to address certain additional have been reviewed and approved by comment on October 25, 1994. After concerns arising from a special the staff. In addition, the limited risk receiving comments from the Licensee, inspection at a permanently shutdown analyses available for spent fuel storage the authors of the Part 21 report and the reactor facility.3 The generic action suggest that current design features and Advisory Committee on Reactor plan, entitled ‘‘Task Action Plan for operational constraints cause issues Safeguards, the staff issued a final safety Spent Fuel Storage Pool Safety’’ (Task related to spent fuel pool storage to be evaluation regarding the issues raised in Action Plan) was issued on October 13, a small fraction of the overall risk the Part 21 report for the Susquehanna 1994, and included the following associated with an operating light-water Steam Electric Station on June 19, 1995 actions: (1) a search for and analysis of reactor. (SSES SE).2 information regarding spent fuel storage Notwithstanding the findings In the SSES SE, the staff documented pool issues, (2) an assessment of the resulting from the Task Action Plan, the the deterministic and probabilistic operation and design of spent fuel NRC staff reviewed each operating evaluations regarding the spent fuel storage pools at selected reactor reactor’s spent fuel pool design to pool issues raised in the Part 21 report facilities, (3) an evaluation of the identify strengths and weaknesses, and and resulting conclusions. On the basis assessment findings for safety concerns, to identify potential areas for safety of the deterministic analysis of the plant and (4) selection and execution of an enhancements. The NRC staff identified as it was configured at the time the appropriate course of action based on seven categories of design features that SSES SE was prepared, the NRC staff the safety significance of the findings. reduce the reliability of spent fuel pool concluded that systems used to cool the As part of its review under the Task decay heat removal, increase the spent fuel storage pool are adequate to Action Plan, the staff performed potential for loss of spent fuel coolant prevent unacceptable challenges to assessment visits to four operating inventory, or increase the potential for safety-related systems needed to protect reactors. The staff also reviewed consequential loss of essential safety the health and safety of the public operating experience, as documented in functions at an operating reactor. The during design-basis accidents. Licensee Event Reports and other NRC staff determined that these design On the basis of the probabilistic information sources, as well as in features existed at twenty-two sites. evaluation, the NRC staff concluded that previous studies of spent fuel pool As the staff has concluded that the specific scenario involving a large issues. Finally, the staff gathered present facility designs provide radionuclide release from the reactor detailed design data for every operating adequate protection of public health and vessel, which was described in the Part reactor and analyzed this data to safety, possible safety enhancements 21 report, is a sequence of very low identify potential safety issues. will be evaluated pursuant to 10 CFR probability. The NRC staff’s evaluation The NRC staff completed its work 50.109(a)(3). The analyses for possible concluded that, even with consideration under the Task Action Plan in July safety enhancement backfits will of the additional initiating events 1996. The staff forwarded the results of consider whether modifications to the described above, ‘‘loss of spent fuel pool its review to the Commission on July 26, plant design to address the plant- cooling events’’ represented events of 1996.4 In the report, the staff concluded specific design features identified by the low safety significance at the time the that existing spent fuel storage pool NRC staff could provide a substantial Part 21 report was submitted. However, structures, systems, and components increase in the overall protection of the staff also concluded that the plant provide adequate protection for public public health and safety and whether modifications and procedural upgrades health and safety. Protection is provided such modifications could be justified on made during the course of the staff’s by several layers of defense involving a cost-benefit basis. review, which included removal of the accident prevention (e.g., quality The NRC staff also identified three gates that separate the spent fuel storage controls on design, construction, and additional categories of design features pools from the common cask storage pit, that may have the potential to reduce installation of remote spent fuel pool 3 On January 25, 1994, the licensee for Dresden the reliability of spent fuel pool decay temperature and level indication in the Unit 1, a permanently shutdown facility, discovered heat removal, increase the potential for control room, and numerous procedural approximately 55,000 gallons of water in the loss of spent fuel coolant inventory, or upgrades, provided a measurable basement of the unheated Unit 1 containment. The increase the potential for consequential water originated from a rupture of the service water improvement in plant safety and that system that occurred due to freeze damage. The loss of essential safety functions at an these conclusions had potential generic licensee investigated further and found that, operating reactor. The NRC staff implications. In summary, with regard although the fuel transfer system was not damaged, preliminarily determined that these to loss of spent fuel pool cooling events, there was a potential for a portion of the fuel design features existed at eleven sites. transfer system inside containment to fail and result the design of the SSES facility was in a partial drain-down of the spent fuel pool that However, the staff has insufficient adequate to protect public health and contained 660 spent fuel assemblies. The NRC information at this time to determine safety. issued Bulletin 94–01, ‘‘Potential Fuel Pool whether backfits pursuant to 10 CFR The staff issued Information Notice Draindown Caused by Inadequate Maintenance 50.109(a)(3) are warranted. For plants Practices at Dresden Unit 1,’’ on April 8, 1994 to 93–83, Supplement 1, ‘‘Potential Loss of all licensees with permanently shutdown reactors identified as having design features in Spent Fuel Pool Cooling After a Loss-of- who had spent fuel stored in spent fuel pools. The these three categories, the NRC staff will NRC requested that such licensees take certain gather and evaluate additional 2 Letter to R. Byram, PP&L, from J. Stolz, NRC, actions to ensure that spent fuel storage safety did information prior to determining ‘‘Susquehanna Steam Electric Station, Units 1 and not become degraded. 2, Safety Evaluation Regarding Spent Fuel Pool 4 Memorandum to the Commission, from J. whether to require any backfits. Cooling Issues’’ (TAC NO. M85337), dated June 19, Taylor, ‘‘Resolution of Spent Fuel Storage Pool In addition to the plant-specific 1995. Action Plan Issues,’’ dated July 26, 1996. analyses described above for twenty-two 58260 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices sites which will address certain design heat removal, are consistent with the could be considered part of the SSES features, the NRC staff plans to address licensing basis, including the Final licensing basis with the exception of issues relating to the functional Safety Analysis Report, technical mitigation of loss of spent fuel pool performance of spent fuel pool decay specifications, and license conditions; cooling following a design-basis seismic heat removal, as well as the operational (2) changes are evaluated through the event. In general, the NRC staff’s aspects related to coolant inventory application of the provisions of 10 CFR conclusion is based on the fact that, control and reactivity control, for all 50.59, as appropriate; and (3) all with respect to operation of the spent operating reactors. The staff plans to relevant procedures associated with fuel pool cooling systems during normal expand the proposed, performance- core offloads have been appropriately and design-basis accident conditions, based rule for shutdown operations at reviewed. the SSES operating license safety nuclear power plants (10 CFR 50.67) to As described in Section II, the NRC evaluation report 6 (SER) did not cite the encompass fuel storage pool operations staff also forwarded the July 26, 1996, applicable General Design Criteria to address these performance and report on spent fuel to all licensees. The (GDC) (GDC 44 and GDC 61 in its operational considerations. NRC has determined that these generic entirety) as the basis for finding the The NRC staff has sent the July 26, communications to power reactor system acceptable. With respect to the 1996, report to all licensees. For those licensees are sufficient to provide mitigation of the effects of a loss of licensees whose plants have one or licensees with information on spent fuel spent fuel pool cooling during normal more of the design features which pool cooling issues. and design-basis accident conditions, in warrant an analysis of possible plant- Petitioner’s request that the NRC issue the SSES SE, the staff found no specific safety enhancements, the staff an information notice or other evidence that it expected secondary has provided an opportunity for appropriate notification forwarding all containment systems to accommodate licensees to comment on (1) the information in its possession to all the added heat and vapor loads that accuracy of the NRC staff’s power reactor licensees regarding the would follow a sustained loss of spent understanding of the plant design, (2) potential failure of fuel in spent fuel fuel pool cooling for any design-basis the safety significance of the design pools is granted to the extent that the event with the specific exception of a concern, (3) the cost of potential NRC staff has provided information on design-basis seismic event. modifications to address the design spent fuel storage safety issues by way The NRC staff’s finding that concern, or (4) the existing protection of the generic communications and mitigation of a loss of spent fuel pool from the design concern provided by correspondence described above. cooling following a design basis seismic administrative controls or other means. Petitioner’s request that the NRC event was part of the licensing basis was In developing a schedule and plans for remind licensees of their based on specific statements in the SER conducting the plant-specific regulatory responsibilities to perform timely that acceptance of a non-seismic spent analyses, the NRC staff will consider operability determinations in fuel pool cooling system was an comments received from licensees. accordance with their technical acceptable deviation from GDC 2, based, specifications is granted to the extent III. Response to Petitioner’s Requests in part, on the existence of an adequate that the NRC has communicated to standby gas treatment system. At the A. Issuance of Generic Communications licensees the importance of conducting time of the original licensing review, the to Licensees on Failure of Spent Fuel relevant spent fuel pool decay heat staff did not attempt to extend the The NRC staff has issued three removal activities in accordance with licensing basis for loss of spent fuel pool information notices on matters related technical specifications and other plant- cooling following a design basis seismic to adequate decay heat removal from the specific applicable regulatory event to any other design basis events. spent fuel pool. Information Notice 93– requirements in IN 95–54. During its review of spent fuel pool 83, ‘‘Potential Loss of Spent Fuel Pool B. Licensee Evaluation of Compliance concerns at SSES, the NRC staff raised Cooling After a Loss-of-Coolant With the Licensing Basis its concerns to the Licensee regarding the ability to mitigate a loss of spent fuel Accident,’’ was issued on October 7, Petitioner requested that the staff 1993, and described the concerns raised pool cooling following a seismic event. direct each licensee to immediately As discussed in the SSES SE, the in the November 27, 1992, Part 21 perform an evaluation of the potential report. Information Notice 93–83, Licensee took certain actions, including failure of the fuel in the spent fuel pool implementing routine operation of the Supplement 1, was issued on August 24, to determine compliance with the 1995, to inform licensees of the results adjacent spent fuel pools in a cross- current licensing basis. The NRC staff connected manner, that adequately of the NRC review of the concerns at examined the issue of the conformance SSES. Information Notice (IN) 95–54, addressed NRC staff concerns. In of the existing plant design with the summary, with regard to the spent fuel ‘‘Decay Heat Management Practices facility licensing basis in great detail for During Refueling Outages,’’ was issued pool issues raised by Petitioner, SSES SSES.5 As documented in the SSES SE, on December 1, 1995. It described recent design and operation conform to the the NRC staff concluded that neither NRC assessments of events at certain facility licensing basis. operation of spent fuel pool cooling plants regarding licensee control of As part of the Task Action Plan, the during design-basis accident conditions refueling operations and the methods staff considered on a generic basis the nor mitigation of the effects of a loss of for removing decay heat produced from history of regulatory requirements spent fuel pool cooling during normal the irradiated fuel stored in the spent related to spent fuel pools as they were and design-basis accident conditions fuel pool during refueling outages. In IN applied in plant licensing activities. The 95–54, the NRC staff communicated to staff observed that such regulatory 5 In the SSES spent fuel pool design review, the requirements evolved since the first licensees that the plant-specific events NRC staff determined which regulations the described in IN 95–54 and the previous licensee was required to comply with. In addition, nuclear power plants were licensed and information notices illustrated the operational limitations were extracted from plant- specific licensing documents including the Final 6 U.S. Nuclear Regulatory Commission, ‘‘Safety importance of assuring that (1) planned Safety Analysis Report, technical specifications, Evaluation Report Related to the Operation of core offload evolutions, including license amendments and other docketed Susquehanna Steam Electric Station, Units 1 and refueling practices and irradiated decay correspondence. 2,’’ NUREG–0776, April 1981. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58261 observed that specific regulatory Petitioner requested that evaluations involving a request for a NOED, such a guidance on the design of spent fuel be performed of Petitioner’s concern request will be considered in pool cooling systems was not issued regarding spent fuel pool cooling by accordance with the Enforcement until 1975 when the Standard Review licensees to determine compliance with Policy. Plan was issued, after construction their licensing basis. This request is IV. Conclusion permits for most currently operating granted to the extent that the NRC staff reactors were issued. Because the has performed evaluations of both the Based on the NRC staff’s evaluation regulatory requirements were not design and operational aspects of spent described above, the NRC staff has constant during the era when the staff fuel pool storage issues for all operating issued generic communications was conducting licensing reviews for reactors to the extent described above. responsive to Petitioner’s Request 1. In the current generation of operating C. Issuance of Notices of Enforcement addition, the NRC staff has reviewed the reactors, the staff observed that Discretion aspect of compliance of NRC-licensed approved designs varied from plant to facilities in the area of spent fuel pool plant. However, the staff did conclude, The Atomic Energy Act of 1954, as design responsive in part to Petitioner’s based on information available during amended, (the Act) and the Energy Request 2. To this extent, the Petition is the recent review of spent fuel pool Reorganization Act of 1974, as granted. With regard to Petitioner’s system design, that all operating amended, give NRC the authority to take Request 4, the NRC staff has concluded reactors had design features for spent enforcement actions necessary to ensure that there has been no need for issuance fuel storage (addressing accident compliance with certain provisions of of NOEDs regarding potential failure of prevention functions, accident those Acts and with NRC regulations, fuel in spent fuel pools. mitigation functions, radiation orders, and licenses. Licenses include specified license conditions and facility A copy of this Final Director’s protection functions, and emergency Decision will be placed in the preparedness functions) which had been technical specifications which are part of the license. The NRC’s enforcement Commission’s Public Document Room, reviewed and approved by the staff and the Gelman Building, 2120 L Street, that these facility designs were in policy is published in NUREG–1600, ‘‘General Statement of Policy and NW., Washington, D.C., and at the local compliance with the NRC requirements public document room for all power applied at the time of licensing. Procedures for NRC Enforcement Actions,’’ July 1995 (Enforcement reactor licensees. Although the NRC staff concluded Policy). A copy of this Final Director’s that plants were in compliance with the The Enforcement Policy recognizes Decision will also be filed with the NRC design requirements applied at the that, on occasion, circumstances may Secretary of the Commission for review time of licensing, the NRC staff also arise concerning a licensee’s compliance in accordance with 10 CFR 2.206(c) of recently reviewed certain operating with a Technical Specification Limiting the Commission’s Regulations. This practices at all operating reactors to Condition for Operation or with some Decision will become the final action of verify that the plants were being other license conditions which would the Commission 25 days after its operated consistent with the plant involve an unnecessary plant transient issuance, unless the Commission, on its design described in the licensing basis. 7 or the performance of plant testing that own motion, institutes review of the Specifically, the staff reviewed refueling is inappropriate for the specific plant Decision within that time. outage practices with regard to conditions. For such occasions, the offloading irradiated fuel into the spent Dated at Rockville, Maryland, this 6th day Enforcement Policy provides a process, of November 1996. fuel pool. The staff concluded on the referred to as a Notice of Enforcement For the Nuclear Regulatory Commission. basis of the information collected and Discretion (NOED), by which the NRC Frank J. Miraglia, Jr., reviewed and the specific licensee staff, upon request from the licensee, actions taken and commitments made may choose not to enforce compliance Acting Director, Office of Nuclear Reactor Regulation. during the course of this review, core with the applicable technical offload practices are currently specifications or license conditions in [FR Doc. 96–29007 Filed 11–12–96; 8:45 am] consistent with the spent fuel pool limited circumstances. A NOED will BILLING CODE 7590±01±P decay heat removal licensing basis for only be issued if the NRC staff is all plants or will be prior to the next satisfied that the action is consistent refueling outage. However, during the with public health and safety. course of the review, the staff In Request 4, Petitioner seems to SECURITIES AND EXCHANGE determined that 9 sites (15 units) suggest that the exercise of enforcement COMMISSION needed to perform evaluations or make discretion by issuance of a NOED may modifications, pursuant to 10 CFR 50.59 be appropriate concerning spent fuel [Investment Company Act Release No. or 10 CFR 50.90, to ensure that their pool issues raised in the Petition. As 22324; 812±10116] reload practices adhered to their discussed in Section B, with regard to licensing basis. This is an indication potential failure of fuel in spent fuel The Alternative Investment Fund and that these plants may have previously pools, the NRC staff has determined that Pacific Corporate Advisors, Inc.; performed full core offloads spent fuel pools contain design features Notice of Application inconsistent with their licensing basis. which were reviewed and approved by November 6, 1996. The staff has documented the details the staff. In addition, these facility AGENCY: Securities and Exchange designs have been found to be in of its findings in recent NRC inspection Commission (‘‘SEC’’). reports for each of the nine sites. The compliance with NRC requirements staff will take regulatory action, as applied at the time of licensing. Based ACTION: Notice of application for an appropriate, to address these potential upon the review of the information order under the Investment Company operational non-conformances. provided in the Petition, the NRC staff Act of 1940 (the ‘‘Act’’). has not identified any circumstances APPLICANTS: 7 Memorandum to the Commission, from J. warranting the issuance of a NOED. If a The Alternative Investment Taylor, dated May 21, 1996. situation is presented to the staff Fund (the ‘‘Fund’’) and Pacific 58262 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Corporate Advisors, Inc. (the Investment Management, Office of or capital of the Fund. This fee may ‘‘Adviser’’).1 Investment Company Regulation). include a performance-based RELEVANT ACT SECTIONS: Order requested SUPPLEMENTARY INFORMATION: The component with respect to direct under section 6(c) of the Act exempting following is a summary of the investments of the Fund that complies applicants from section 12(d)(1)(A) of application. The complete application with the requirements of the Advisers the Act and pursuant to section 17(d) of may be obtained for a fee from the SEC’s Act and the rules thereunder. The the Act and rule 17d–1 thereunder. Public Reference Branch. Adviser will not, however, receive performance-based compensation with SUMMARY OF APPLICATION: The order Applicants’ Representations would permit the Fund, which will be respect to indirect investments. a registered closed-end investment 1. The Fund is a Delaware business 5. In addition to serving as the company, to invest in unaffiliated trust that intends to register under the investment adviser to the Fund, the private investment companies excepted Act as a non-diversified, closed-end Adviser or its affiliates also may serve from the definition of investment management investment company. The as investment adviser to private company by section 3(c)(1) of the Act.2 Fund will offer its shares only to accounts on a discretionary basis, and as The order also would permit the Fund ‘‘accredited investors,’’ as defined in general partner (or equivalent position) to co-invest with other investment rule 501 under the Securities Act of and/or investment adviser to other vehicles managed by the Adviser or its 1933 (‘‘Securities Act’’), and the offering investment vehicles that are not affiliates and/or, under certain will be exempt from registration under required to be registered under the Act circumstances, with the Adviser or its the Securities Act. Applicants presently pursuant to section 3(c)(1). These affiliates. contemplate that the Fund will have at private accounts and vehciles, along least four individual trustees FILING DATES: The application was filed with any similar entity created, advised, (‘‘Trustees’’), a majority of whom will on April 30, 1996. Applicants have sponsored or otherwise organized by the not be ‘‘interested persons’’ of the Fund agreed to file an amendment, the Adviser or its affiliates in the future, are within the meaning of the Act. collectively referred to herein as the substance of which is incorporated 2. The Fund’s investment objective herein, during the notice period. will be to achieve long-term capital ‘‘Private Funds.’’ To the extent the HEARING OR NOTIFICATION OF HEARING: An gains through alternative investments. Adviser acts as the general partner of a order granting the application will be These investments, which generally are Private Fund, the Adviser may make a issued unless the SEC orders a hearing. offered only to institutional investors, capital contribution in connection with Interested persons may request a include indirect investments in limited the organization of such Private Fund, hearing by writing to the SEC’s partnerships and direct investments in and maintain an interest in items of Secretary and serving applicants with a privately-negotiated transactions with gain, loss, income, or expense of such copy of the request, personally or by established companies. Indirect Private Funds. mail. Hearing requests should be investments include interests in 6. Applicants state that the Adviser or received by the SEC by 5:30 p.m. on partnerships targeting opportunities in its affiliate may be required by a December 3, 1996, and should be leveraged buyouts, mezzanine capital, placement agent offering shares of the accompanied by proof of service on venture capital, and project finance. Fund or a Subsequent Fund at the time applicants, in the form of an affidavit, Direct investments are expected to of the offering or by a Private Fund to or, for lawyers, a certificate of service. consist of structured investments in or make a commitment to co-invest in all Hearing requests should state the nature with established corporations in their direct investments with the relevant of the writer’s interest, the reason for the core areas of business. entity in an amount equal to 1% of the request, and the issues contested. 3. Applicants expect that a majority of entity’s investment. Persons may request notification of a the Fund’s alternative investments will 7. Applicants request an order to hearing by writing to the SEC’s constitute indirect investments. The permit the Fund and any Subsequent Secretary. Fund will not acquire 10% or more of Funds to invest in unaffiliated 3(c)(1) ADDRESSES: Secretary, SEC, 450 Fifth the outstanding voting securities of any Entities. Applicants also request an Street, N.W., Washington, D.C. 20549. entity excepted from the definition of order to permit the Fund and any Applicants, c/o Brown & Wood LLP, investment company under the Act by Subsequent Funds to make investments One World Trade Center, New York, NY section 3(c)(1) thereof (‘‘3(c)(1) of the type described herein, 10048–0557. Entities’’) 3 and does not intend to invest concurrently with one or more more than 15% of its assets in any FOR FURTHER INFORMATION CONTACT: Subsequent Fund and/or one or more single investment. Indirect investments David W. Grim, Staff Attorney, at (202) Private Funds, and, under certain will be made in entities managed by 942–0571, or Alison E. Baur, Branch circumstances, with the Adviser or its parties who are not ‘‘affiliated persons,’’ Chief, at (202) 942–0564 (Division of affiliates (a ‘‘Co-Investment’’), subject to as defined in section 2(a)(3) of the Act, the conditions set forth below. of the Fund. The Fund will not invest 1 Applicants request that any relief granted Applicants’ Legal Analysis extend to any future registered investment company in registered investment companies. advised by the Adviser (‘‘Subsequent Funds’’) 4. The Adviser is registered under the A. Section 12(d)(1) (together with the Fund, the ‘‘Funds’’). Subsequent Investment Advisers Act of 1940 (the Funds will be similar to the Fund in terms of ‘‘Advisers Act’’) and is a wholly-owned 1. Section 12(d)(1)(A) provides that no structure, investment objective, eligible investors, subsidiary of Pacific Corporate Group, registered investment company may and offering procedures. Inc. The Fund will pay an advisory fee acquire securities of another investment 2 Applicants represent that the Fund’s investments in such private investment companies to the Adviser based on the net assets company if such securities represent are permitted under the amendments to section more than 3% of the acquired 3(c)(1) enacted on October 11, 1996 (‘‘Section 3 Section 3(c)(1) of the Act excepts from the company’s outstanding voting stock, 3(c)(1) Amendments’’). However, because the definition of investment company issuers whose more than 5% of the acquiring Section 3(c)(1) Amendments generally will not outstanding securities are beneficially owned by not become effective until 180 days after the date of more than 100 persons and which is not making company’s total assets, or if such enactment, applicants submit that it is appropriate and does not presently propose to make a public securities, together with the securities of to grant the requested relief at this time. offering. any other acquired investment Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58263 companies, represent more than 10% of investors and the purposes fairly Act. In addition, the complexity of the the acquiring company’s total assets. intended by the policy and provisions of Fund’s structure will be limited because 2. Section 3(c)(1) excepts from the the Act. Applicants do not believe that the conditions require that the Fund definition of investment company the concerns underlying section 12(d)(1) will make an investment in a particular issuers whose outstanding securities are will be present in the case of the Fund. issuer only if the issuer does not, at the beneficially owned by not more than Applicants further believe that the terms time of the Fund’s investment, hold 100 persons and which is not making and conditions of the requested order securities of another investment and does not presently propose to make will provide significant protection to company in excess of the limits in a public offering. Under section investors in the Fund. section 12(d)(1)(A) of the Act, and does 3(c)(1)(A), if a company owns 10% or 6. Applicants state that the not intend to invest in securities of more of the shares of a 3(c)(1) Entity, the restrictions in section 12(d)(1) were other investment companies in excess of 3(c)(1) Entity is deemed to be an intended to prevent abuses occurring as the section 12(d)(1)(A) limits. investment company for purposes of a result of pyramiding of investment section 12(d)(1). If a 3(c)(1) Entity is companies. These abuses related B. Section 17(d) deemed to be an investment company primarily to the following: (i) 1. Section 17(d) makes it unlawful for for purposes of section 12(d)(1), the unnecessary layering of fees and any affiliated person of a registered ability of any registered investment duplication of costs, (ii) undue investment company, acting as company, including the Fund, to influence by management of a fund principal, to effect any transaction in acquire securities issued by that entity holding company over underlying which such company, or a company (even if the registered investment investment companies, (iii) threat of controlled by such company, is a joint company is not itself a 10 percent large scale redemptions out of the or joint and several participant with the owner) is restricted. Applicants believe underlying funds, and (iv) investor affiliated person in contravention of that it is likely that a number of entities confusion. SEC rules. Rule 17d–1 provides that the in which the Fund will seek to invest 7. With respect to layering of fees and SEC may approve a transaction subject may be deemed investment companies duplication of costs, applicants believe to section 17(d) after considering solely for purposes of section 12(d)(1) that the fees to be paid by the Fund are whether the participation of such by virtue of the provisions of section distinct from those paid by underlying registered company is consistent with 3(c)(1). Although the Fund does not vehicles. Further, the conditions to the the provisions, policies, and purposes of intend to acquire 10% or more of the relief requested require an express the Act and the extent to which such outstanding voting securities of any finding by the Trustees that the advisory participation is on a basis different from 3(c)(1) Entity, it cannot similarly limit fees are not based on services or less advantageous than that of other the investment by other investors duplicative of those provided to entities participants. Applicants request an purchasing interests in the same entity. in which the Fund will invest. The order pursuant to section 17(d) and rule 3. The Fund’s investments in any conditions also require that investment 17d–1 thereunder, permitting the Fund 3(c)(1) Entity in which an investor owns advisory fees not include performance- and any Subsequent Funds to make Co- 10% or more of the vehicle’s related components, except with respect Investments of the type described outstanding voting securities become to direct investments. Such limitation herein, subject to the conditions set subject to the percentage limitations in reflects the fact that indirect alternative forth below. section 12(d)(1)(A), including the investments in which the Fund invests 2. Applicants submit that the overall ceiling of 10% of the Fund’s will typically pay performance-based requested order is necessary and assets in such investments in the compensation to an advisory entity, and appropriate in the public interest and aggregate. Since the Fund expects to is included so that investors in the Fund consistent with the protection of invest in indirect alternative do not pay duplicative performance investors and the purposes fairly investments at the time they are compensation. In addition, the intended by the policy and provisions of structured, the Fund will not know at conditions limit direct and indirect the Act. Applicants further assert that the time it is considering an investment placement fees and sales charges paid the terms and conditions of such relief whether the particular entity will have by investors in the Fund. will ensure that participation by the a 10% investor. Consequently, as a 8. Applicants believe that the Fund’s Fund and/or one or more Subsequent result of both the limitations contained method of operation and the conditions Funds in Co-Investments with one or in section 12(d)(1)(A) and the related set forth below address the other more Private Funds, and, under certain obstacles in determining whether concerns underlying section 12(d)(1) circumstances, with the Adviser or its particular investments will be eligible and provide significant protection to affiliates, and/or Subsequent Funds will for investment, in the absence of the investors. In this regard, the Fund will not be on a basis different from or less exemption requested in this application, not have the ability to control advantageous than that of the Private the Fund’s ability to operate in underlying investment companies Funds, or, if applicable, the Adviser or accordance with its objective would be through the threat of large-scale its affiliates, and/or Subsequent Funds, limited. redemptions because the Fund will not and will provide significant protection 4. Section 6(c) provides that the SEC acquire 10% or more of a 3(c)(1) Entity to investors from the abuses that section may exempt persons or transactions if and will not invest in securities issued 17(d) was designed to protect against. and to the extent that such exemption by any investment company registered Applicants state that such relief is in the is necessary or appropriate in the public under the Act. Further, applicants best interest of investors in that it interest and consistent with the represent that the Fund will not invest eliminates the concern over whether to protection of investors and the purposes for the purpose of obtaining control over allocate a Co-Investment to the Fund or fairly intended by the policy and underlying investment entities. to the Private Funds. Applicants also provisions of the Act. 9. The Fund will not be confusing to state that the participation by the 5. Applicants believe that the its investors because investors in the Adviser or its affiliate has been requested exemption is necessary and Fund will be limited to investors formulated to be consistent with the appropriate in the public interest and qualifying as accredited investors expectations of the market for entities consistent with the protection of within the meaning of the Securities such as the Fund and the Private Funds 58264 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices and, under the limited ‘‘lock-step’’ limits contained in section 12(d)(1)(A) position that they consider appropriate circumstances contemplated by the of the Act applicable to such issuer. The under the circumstances, the Fund will terms and conditions of the application, provisions of this condition shall not be not participate in the Co-Investment. does not raise concerns beyond those applicable to purchases of shares of Similarly, the Fund will not participate raised by the participation of the Private money market funds registered under in a Co-Investment if a majority of the Funds in Co-Investments. the Act which are acquired by issuers in non-interested Trustees of the Fund which the Fund invests and are determines that the amount proposed to Applicants’ Conditions permitted by section 12(d)(1) of the Act. be invested is an amount in excess of Applicants agree that the order 8. No Co-Investments (except for that which is determined to be granting the requested relief shall be follow-on investments made pursuant to appropriate under the circumstances, subject to the following conditions: condition 15 below) will be made although the non-interested Trustees 1. A majority of the Trustees of each pursuant to the requested order with may make a determination that the Fund will not be ‘‘interested persons,’’ respect to portfolio companies in which Fund take other than their allotted as defined in section 2(a)(19) of the Act, the Adviser, any Fund or Private Fund, portion of an investment, pursuant to of the Fund. or any of their affiliates has previously condition 12 below. A Fund will only 2. Before approving any investment acquired an interest. make a Co-Investment if a majority of advisory contract under section 15 of 9. The Trustees of each Fund the non-interested Trustees of the Fund the Act with the Adviser, the Trustees participating in a Co-Investment, prior to making the Co-Investment of the Fund, including a majority of the including a majority of the non- conclude, after consideration of all Trustees who are not ‘‘interested interested Trustees, will approve Co- information deemed relevant (including persons,’’ as defined in the Act, must Investments in advance. To facilitate the the extent to which such participation is find that the advisory fees charged Trustees’ determinations, the Adviser on a basis different from or less under the contract are based on services will provide the Trustees of a Fund with advantageous than that of other that are in addition to, rather than periodic information listing all participants), that the investments by duplicative of, services provided to investments made by the other Funds, any Private Fund and/or the Adviser or entities in which the Fund will invest. the Private Funds, and/or the Adviser or its affiliates, as applicable, would not This finding, and the basis upon which its affiliate, as applicable, that would be disadvantage the Fund in the making of the finding was made, will be recorded suitable for investment by a Fund. such investment, in maintaining its fully in the minute books of the Fund. 10. (a) Before making a Co- investment position or in disposing of 3. Investment advisory fees received Investment, the Adviser will make a such investment, and that participation by the Adviser from the Funds will be preliminary determination as to whether by the Fund would not be on a basis based on each Fund’s net assets or each particular Co-Investment different from or less advantageous than capital and will not include opportunity meets the Fund’s that of such Private Fund and/or the performance-based compensation with investment objective, policies, and Adviser or its affiliate, as applicable. respect to any indirect investments, but restrictions. Co-Investment The non-interested Trustees will may include performance-based opportunities will be offered to eligible maintain at the Fund’s office written compensation in respect of direct Funds and Private Funds in amounts records of the factors considered in any investments to the extent permitted by proportionate to capital available for decision regarding the proposed Co- the Advisers Act and the rules investment at the time of such Investment. thereunder. opportunities. The Adviser will (d) The non-interested Trustees will, 4. A Fund will not acquire 10 percent maintain written records of the factors for purposes of reviewing each or more of the outstanding voting considered in any preliminary recommendation of the Adviser, request securities of an entity excepted from the determination. such additional information from the definition of investment company under (b) Following the making of the Adviser as they deem necessary for the the Act by section 3(c)(1) thereof. determination referred to in (a), exercise of their reasonable business 5. The Funds will not acquire information concerning the proposed judgment, and they will also employ securities issued by any investment Co-Investment will be distributed to the such experts, including lawyers and company registered under the Act. Trustees. Such information will be accountants, as they deem appropriate 6. Any sales charges or placement fees presented in written form and will for the reasonable exercise of this charged with respect to securities of the include the name of each Fund and each oversight function. Funds, when aggregated with any sales Private Fund that may participate and, 11. The Trustees, including a majority charge or service fees paid by the Funds if permitted by condition 11 below, the of the non-interested Trustees, will with respect to securities of the Adviser or its affiliate and the maximum make their own decision and have the underlying entities, will not exceed the amount offered to each entity. right to decide not to participate in a limits set forth in section 2830(d) of the (c) Information regarding the particular Co-Investment. There will be NASD Conduct Rules. Adviser’s preliminary determinations no consideration paid to the Adviser or 7. The Fund will not invest in an referred to in (a) will be reviewed by the its affiliates, directly or indirectly, entity which, at the time of the Fund’s Trustees, including the non-interested including without limitation any type of investment, holds securities of another Trustees. The Trustees, including a brokerage commission, in connection investment company in excess of the majority of the non-interested Trustees, with a Co-Investment. However, the limits contained in section 12(d)(1)(A) will make an independent decision as to Adviser and its affiliates (i) may seek of the Act applicable to such entity. whether to participate and the extent of reimbursement from direct investment Prior to committing to an investment, participation in a Co-Investment based issuers for documented out-of-pocket the Fund will make due inquiry to on such factors as are deemed expenses approved by the Trustees confirm that the issuer does not intend appropriate under the circumstances. If incurred by the Adviser or its affiliates to invest in investment companies a majority of the non-interested Trustees in connection with a direct investment, (except to the extent it may hold of the Fund determines that the amount (ii) will continue to receive advisory underlying investments through proposed to be invested by the Fund is and other fees from the Fund and the intermediary vehicles) in excess of the not sufficient to obtain an investment Private Funds, and (iii) may participate Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58265 in any Co-Investment that is a direct distribution of securities to the partners been made pursuant to the order investment wherein the Adviser or its or shareholders of a Private Fund upon requested hereby) in a particular affiliate is required by the placement dissolution shall not be deemed a portfolio company whose securities are agent offering shares of the Fund or a ‘‘disposition’’ of securities. (However, to held by it and one or more Funds, or to Subsequent Fund at the time of the the extent that a Private Fund exercise warrants or other rights to offering or by a Private Fund to commit distributes securities in dissolution to purchase securities of such an issuer, to co-invest in all direct investments partners or shareholders who are notice of such transaction will be with such entity in the amount of 1% affiliates of the Funds, such partners or provided to such other Fund(s), of the investment of each such entity shareholders will be bound by the lock- including its or their non-interested participating in the offering. step disposition procedures established Trustees at the earliest practical time. 12. The Fund will be entitled to herein.) If a Fund or a Private Fund The Adviser will formulate a purchase a portion of each Co- elects to dispose of a security purchased recommendation as to the proposed Investment equal to the ratio of its in a Co-Investment with one or more participation by a Fund in a follow-on capital available for investment to the Funds or Private Funds, notice of the investment and provide the capital available for investment of each proposed sale will be given to the non- recommendation to the non-interested other Co-Investment participant interested Trustees of the relevant Trustees of the Fund along with notice (including the interest of the Adviser or Fund(s) and to the relevant Private of the total amount of the follow-on its affiliate). Any Co-Investment Fund(s) at the earliest practical time. investment. Each Fund’s non-interested participant may determine not to take The Funds, the Private Funds, and/or Trustees will make their own its full allocation, as long as, in the case the Adviser or its affiliate, as applicable, determination with respect to follow-on of a Fund, a majority of the non- will participate in the disposition of investments. Follow-on investments interested Trustees determines that not such security on a lock-step basis, will be entered into on the same basis doing so would be in the best interest unless the non-interested Trustees of a as initial Co-Investments and will be of the Fund. All follow-on investments Fund determine that the Fund should subject to the same approval procedure (as defined in condition 15 below), not participate in such sale or not as those required for initial Co- including the exercise of warrants or participate on a lock-step basis. A Fund Investments. Assuming that the amount other rights to purchase securities of the need not participate on a lock-step basis of a follow-on investment available to a issuer, will be allocated in the same in the disposition of securities sold by Fund is not based on the amount of the manner as initial Co-Investments. If a any other Fund or a Private Fund if the Fund’s initial Co-Investment, the Fund or Private Fund decides to non-interested Trustees of the Fund find relative amount of investment by each participate in a Co-Investment that the retention or sale, as the case Fund participating in a follow-on opportunity to a lesser extent than its may be, of the securities is fair to the investment will be based on a ratio full allocation, that entity’s portion may Fund and that the Fund’s participation derived by comparing the capital be allocated to the other Co-Investment or choice not to participate in the sale available for investment of each participants based on their respective on a lock-step basis is not the result of participating Fund, Private Fund and/or capital available for investment. If one overreaching by any other Fund, any the Adviser or its affiliate, as applicable, or more Funds decline to participate in Private Fund, and/or the Adviser or its with the total amount of the available a Co-Investment opportunity, the affiliate, as applicable. If such a finding follow-on investment. Each Fund will remaining Funds and the Private Funds is not made, then the relevant Fund participate in such investment if a shall have the right to pursue such must participate in such sale on the majority of its non-interested Trustees investment independently. Similarly, if basis of a lock-step disposition. Like a determines that such action is in the one or more Private Funds decline to Fund, a Private Fund may elect not to best interest of the Fund. The non- participate in a Co-Investment participate in a sale of securities held as interested Trustees of each Fund will opportunity, the remaining Private Co-Investments or not to participate on record in their records the Funds and the Funds shall have the a lock-step basis. If at any time the recommendation of the Adviser and right to pursue such investment result of a proposed disposition of any their decision as to whether to engage in independently. 13. Co-Investments in securities by a portfolio security held by a Fund or a a follow-on transaction with respect to Fund with any other Fund, any Private Private Fund would alter the that portfolio company, as well as the Fund, and/or the Adviser or its affiliate, proportionate holdings of each class of basis for such decision. as applicable, will consist of the same securities held by the other Funds, 16. A decision by the Trustees of a class of securities, including the same Private Funds, and/or the Adviser or its Fund (i) not to participate in a Co- registration rights (if any), and other affiliate, as applicable, holding the Co- Investment, (ii) to take less or more than rights related thereto, purchased at the Investment, then the non-interested the Fund’s full pro rata allocation, or same unit consideration, and the Trustees of the Fund or Funds involved (iii) not to sell, exchange, or otherwise approval of such transactions, including must determine that such a result is fair dispose of a Co-Investment in the same the determination of the terms of the to the relevant Fund(s) and is not the manner and at the same time as another transactions by the Fund’s non- result of overreaching by any other Fund or a Private Fund shall include a interested Trustees, will be made in the Fund, any Private Fund, and/or the finding that such decision is fair and same time period. Adviser or its affiliate, as applicable. reasonable to the Fund and not the 14. Except as described below, the The non-interested Trustees will record result of overreaching of the Fund or its Funds, the Private Funds and/or the in the records of the Fund the basis for securityholders by the Private Funds Adviser or its affiliate, as applicable, their decisions as to whether to and/or the Adviser or its affiliate, as will participate in the disposition of participate in such sale. applicable. The non-interested Trustees securities held by them as Co- 15. If a Fund or a Private Fund of each Fund will be provided quarterly Investments on a proportionate basis at determines that it should make a for review all information concerning the same time and on the same terms ‘‘follow-on’’ investment (i.e., an Co-Investments made by the Funds, the and conditions (a ‘‘lock-step’’ additional investment in a portfolio Private Funds, and/or the Adviser or its disposition). For this purpose, a company in which a Co-Investment has affiliate, as applicable, including Co- 58266 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Investments in which the Fund declined by the non-interested Trustees under APPLICANT'S REPRESENTATIONS to participate, so they may determine section 57(f). 1. Applicant is a non-diversified, whether all Co-Investments made For the Commission, by the Division of closed-end management investment during the preceding quarter, including Investment Management, pursuant to company organized as a corporation those Co-Investments they declined, delegated authority. under the laws of Delaware. On complied with the conditions set forth Margaret H. McFarland, December 27, 1995, applicant filed a above. In addition, the non-interested Deputy Secretary. notification of registration on Form N– Trustees of each Fund will consider at [FR Doc. 96–29037 Filed 11–12–96; 8:45 am] 8A under the Act. Applicant never filed least annually the continuing BILLING CODE 8010±01±M a registration statement under the Act or appropriateness of the standards under the Securities Act of 1933. established for Co-Investments by the 2. In connection with its formation, Fund, including whether use of such [Investment Company Act Release No. on December 22, 1995, applicant sold standards continues to be in the best 22321; 811±9144] 100 shares of common stock to its sole interest of the Fund and its stockholder at a price of $100 per share. securityholders and does not involve E. Acquisition Corp.; Notice of Upon dissolution, applicant distributed overreaching of the Fund or its Application $10,000 in cash to the stockholder. securityholders on the part of any party 3. Applicant has no assets, debts or concerned. November 6, 1996. liabilities. Applicant is not a party to 17. No non-interested Trustee of a AGENCY: Securities and Exchange any litigation or administrative Fund will be an affiliated person of a Commission (‘‘SEC’’). proceeding. Private Fund or have had, at any time ACTION: Notice of Application for 4. Applicant has filed a certificate of since the beginning of the last two Deregistration under the Investment dissolution under Delaware law. completed fiscal years of any Private Company Act of 1940 (the ‘‘Act’’). 5. Applicant is not now engaged, nor Fund, a material business or does it propose to engage, in any professional relationship with any APPLICANT: E. Acquisition Corp. business activities other than those Private Fund. RELEVANT ACT SECTION: Section 8(f). necessary for the winding-up of its 18. A Fund, each Private Fund, and/ SUMMARY OF APPLICATION: Applicant affairs. or the Adviser or its affiliate, as requests an order declaring that it has For the SEC, by the Division of Investment applicable, will each bear its own ceased to be an investment company. Management, under delegated authority. expenses associated with the FILING DATE: The application was filed Margaret H. McFarland, disposition of portfolio securities. The on August 27, 1996, and amended on Deputy Secretary. expenses, if any, of distributing and October 23, 1996. [FR Doc. 96–29042 Filed 11–12–96; 8:45 am] registering securities under the HEARING OR NOTIFICATION OF HEARING: An BILLING CODE 8010±01±M Securities Act sold by the Fund, one or order granting the application will be more Private Funds, and/or the Adviser issued unless the SEC orders a hearing. or its affiliate, as applicable, at the same [Rel. No. IC±22323; 812±10174] Interested persons may request a time will be shared by the Fund, the hearing by writing to the SEC’s SunAmerica Series Trust, et al.; Notice selling Private Fund(s), and/or the Secretary and serving applicant with a of Application Adviser or its affiliate, as applicable, in copy of the request, personally or by proportion to the relative amounts they mail. Hearing requests should be November 6, 1996. are selling. received by the SEC by 5:30 p.m. on AGENCY: Securities and Exchange 19. Other than as provided in December 2, 1996, and should be Commission (‘‘SEC’’). condition 11, neither the Adviser nor accompanied by proof of service on the ACTION: Notice of Application for any of its affiliates (other than the applicant, in the form of an affidavit or, Exemption Under the Investment Private Funds pursuant to any order for lawyers, a certificate of service. Company Act of 1940 (the ‘‘Act’’). issued on this application) nor any Hearing requests should state the nature director of the Fund will participate in APPLICANTS: SunAmerica Series Trust of the writer’s interest, the reason for the a Co-Investment with the Fund unless a (the ‘‘Series Trust’’), SunAmerica Equity request, and the issues contested. separate exemptive order with respect to Funds (the ‘‘Equity Trust’’ or Persons may request notification of a such Co-Investment has been obtained. collectively with the Series Trust, hearing by writing to the SEC’s For this purpose, the term ‘‘participate’’ ‘‘Trusts’’) on behalf of SunAmerica Secretary. shall not include either the existing Global Balanced Fund (‘‘Global’’), and interests of the Adviser or its affiliates ADDRESSES: Secretary, SEC. 450 Fifth SunAmerica Asset Management Corp in, or their management fee and expense Street, N.W., Washington D.C. 20549. (‘‘SAAMCo’’ or the ‘‘Adviser’’). reimbursement arrangements with, Applicants, 205 East 42nd Street, Suite RELEVANT ACT SECTIONS: Order requested Private Funds, and the term 2020, New York, New York 10017. under section 6(c) of the Act for an ‘‘participate’’ shall also not include any FOR FURTHER INFORMATION CONTACT: exemption from section 15(a) of the Act reimbursement from direct investment Diane L. Titus, Paralegal Specialist, at and rule 18f–2 thereunder; and from issuers described in condition 11 above. (202) 942–0584, or Alison E. Baur, certain disclosure requirements set forth 20. The Fund will maintain all Branch Chief, at (202) 942–0564 in item 22 of Schedule 14A under the records required of it by the Act, and all (Division of Investment Management, Securities Exchange Act of 1934 (the records referred to or required under Office of Investment Company ‘‘Exchange Act’’); items 2, 5(b)(iii), and these conditions will be available for Regulation). 16(a)(iii) of Form N–1A; item 3 of Form inspection by the SEC. The Fund will SUPPLEMENTARY INFORMATION: The N–14; item 48 of Form N–SAR; and also maintain the records required by following is a summary of the sections 6–07(2) (a), (b), and (c) of section 57(f)(3) of the Act as if the Fund application. The complete application Regulation S–X. was a business development company may be obtained for a fee from the SEC’s SUMMARY OF APPLICATION: Applicants and the Co-Investments were approved Public Reference Branch. request an order permitting the Adviser Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58267 to enter into or amend contracts with (Global and each Series Portfolio are preparing reports thereon for the Board subadvisers without obtaining referred to herein as the ‘‘Portfolios’’).1 of Trustees of each Trust (the ‘‘Trustees’’ shareholder approval and permitting 2. Each Portfolio has its own or the ‘‘Board’’), or any committee of the applicants to disclose only aggregate investment objectives and policies and Board, (c) evaluating each Portfolio’s subadvisory fees for each portfolio in each is managed as though it was a performance in comparison to similar their prospectuses and other reports. separate mutual fund issuing its own mutual funds and other market FILING DATES: The application was filed shares. Some Portfolios benefit from information, (d) conducting searches for on May 29, 1996, and amended on discretionary advisory services provided replacement Subadvisers, and selecting, October 31, 1996. by one or more separate registered subject to the review and approval of HEARING OR NOTIFICATION OF HEARING: An investment advisers (‘‘Subadvisers’’), the Trustees, Subadvisers who have order granting the application will be which are retained and compensated by distinguished themselves by able issued unless the SEC orders a hearing. the Adviser. Applicants state that the performance in their respective areas of Interested persons may request a Trusts’ prospectuses disclose that the responsibility and overseeing their hearing by writing to the SEC’s Adviser has the authority to hire one or continued performance, and (e) Secretary and serving applicants with a more Subadvisers for a Portfolio, and preparing presentations to shareholders copy of the request, personally or by that the Adviser is responsible for analyzing the Portfolios’ investment mail. Hearing requests should be monitoring the Subadvisers’ program and performance. received by the SEC by 5:30 p.m. on performance and recommending 6. Under the Subadvisory December 1, 1996, and should be replacement Subadvisers to the Board Agreements, the Subadvisers manage accompanied by proof of service on from time to time. the investment and reinvestment of the 3. The Adviser, a registered applicants, in the form of an affidavit or, assets of the respective Portfolios for investment adviser under the for lawyers, a certificate of service. which they are responsible. Each of the Investment Advisers Act of 1940, as Hearing requests should state the nature Subadvisers is independent of SAAMCo amended, has entered into an of the writer’s interest, the reason for the and discharges its responsibilities investment advisory agreement request, and the issues contested. subject to the policies of the Trustees (‘‘Advisory Agreement’’) with each Persons who wish to be notified of a and the oversight and supervision of Trust. The Advisory Agreements hearing may request such notification SAAMCo, which pays the Subadvisers’ provide that the Adviser shall manage fees. Currently, SAAMCo divides the by writing to the SEC’s Secretary. the Trusts’ investments, administer their subadvisory services for Global between ADDRESSES: Secretary, SEC, 450 Fifth business affairs, provide office space itself and a Subadviser, while the other Street, N.W., Washington, D.C. 20549. and other facilities and equipment for Portfolios each have either a single Applicants: Series Trust, P.O. Box the management of the affairs of the Subadviser or are managed solely by 54299, Los Angeles, CA 90054–0299; Trusts, and pay the compensation of SAAMCo. Applicants intend that, in the Equity Trust and SAAMCo, The certain officers of the Trusts who are future, a Portfolio may be managed by SunAmerica Center, 733 Third Avenue, affiliated persons of SAAMCo. The a single Subadviser or may be allocated New York, N.Y. 10017–3204. Advisory Agreements further provide by the Adviser between or among more FOR FURTHER INFORMATION CONTACT: that the Adviser may delegate the than one Subadviser. None of the Christine Y. Greenlees, Senior Counsel, management of a Portfolio’s investments Subadvisers are affiliated persons of the at (202) 942–0581, or Mercer E. Bullard, to the Subadviser of the Portfolio, if any. Adviser, as defined in section 2(a)(3) of Branch Chief, at (202) 942–0564 For its services, the Adviser receives the Act. (Division of Investment Management, from each Trust a fee based on the net 7. Applicants request an exemption Office of Investment Company assets of each Portfolio. from section 15(a) of the Act and rule Regulation). 4. SAAMCo has in turn entered into 18f–2 thereunder to permit the Adviser SUPPLEMENTARY INFORMATION: The an agreement with each Subadviser to enter into a Subadvisory Agreement following is a summary of the (‘‘Subadvisory Agreement’’). The for a Portfolio or to amend an existing application. The complete application Subadvisory Agreements are similar in Subadvisory Agreement without may be obtained for a fee from the SEC’s all material respects except for the obtaining shareholder approval thereon. Public Reference Branch. names of the Subadvisers and the rates The exemption would cover new of compensation, which are a portion of Subadvisory Agreements necessitated Applicants’ Representations the management fee that is paid by each because the prior Subadvisory 1. Each of the Trusts is an open-end Portfolio to SAAMCo and which Agreements were terminated as a result management investment company SAAMCo pays to the Subadvisers. of an assignment (as defined in section registered under the Act and organized 5. The Adviser, either alone or with 2(a)(4) of the Act). as a Massachusetts business trust. The the assistance of one or another of its 8. Applicants also request an Series Trust, currently composed of SunAmerica corporate affiliates, is exemption from certain disclosure eighteen separate portfolios (each a responsible for (a) supervising the requirements, as described below, that ‘‘Series Portfolio’’), was established to Subadvisers’ compliance with state and may require disclosure of fees paid to provide a funding medium for certain federal regulations, (b) analyzing the individual Subadvisers. annuity contracts issued by the Variable composition of the investment 9. Item 2 of Form N–1A requires the Separate Account and FS Variable portfolios of the Portfolios and Trusts to disclose in their prospectuses, Separate Account, which are separate as a percentage of average net assets, accounts of Anchor National Life 1 Applicants also request relief with respect to management fees paid by them. Item Insurance Company and First any series of either Trust, now existing or organized 5(b)(iii) of Form N–1A requires that the in the future, and for any open-end management SunAmerica Life Insurance Company, investment company or series thereof advised by Trusts set forth in their prospectuses ‘‘a respectively. The Equity Trust is the Adviser, or a person controlling, controlled by brief description of the investment currently composed of six separate or under common control with the Adviser in the adviser’s compensation.’’ Item 16(a)(iii) portfolios (each an ‘‘Equity Portfolio’’). future, provided that such investment company or of Form N–1A requires that the Trusts series operates in substantially the same manner as Global is the only Equity Portfolio to the Portfolios and complies with the conditions to set forth in their Statements of which the application currently applies the requested order. Additional Information for each 58268 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices investment adviser its compensation stock in a series company affected by a increase costs to shareholders without and the method of computing the matter must approve such matter if the an offsetting benefit. advisory fee. Act requires shareholder approval. 5. Section 6(c) of the Act provides that 10. Item 3 of Form N–14, the 2. Applicants assert that the requested the SEC may exempt any person, registration form for business exemption will permit the Adviser to security, or transaction from any combinations involving investment more efficiently perform the functions provision of the Act, if and to the extent companies, requires the inclusion of a the Portfolios are paying it to perform: that such exemption is necessary or ‘‘table showing the current fees for the selecting and monitoring the appropriate in the public interest and registrant and the company being performance of Subadvisers, and consistent with the protection of acquired and pro forma fees, if different, changing Subadvisers with Board investors and the purposes fairly for the registrant after giving effect to approval. Applicants believe that intended by the policy and provisions of the transaction using the format requiring shareholders to approve each the Act. Applicants believe that the prescribed’’ in item 2 of Form N–1A. new Subadviser would not only result requested relief meets this standard. 11. Rule 20a–1 under the Act requires in unnecessary administrative expense Applicants’ Conditions proxies solicited with respect to an to the Portfolios, but could also result in investment company to comply with harmful delays in executing changes in Applicants agree that the order Schedule 14A under the Exchange Act. Subadvisers. Applicants note that granting the requested relief shall be Subparagraphs (a)(3)(iv), (c)(1)(ii) and primary responsibility for management subject to the following conditions: (c)(1)(iii) of Item 22 of Schedule 14A of the Portfolios is vested in the 1. The Adviser will provide general and paragraphs (c)(8) and (c)(9) of Item Adviser, subject to oversight by the management and administrative 22 of Schedule 14A, taken together, respective Board. Applicants also note services to the Trusts, including overall require that a proxy statement on a that its contracts with the Trusts will supervisory responsibility for the shareholder meeting at which an remain fully subject to the requirements general management and investment of advisory contract is to be voted upon, of section 15(a) of the Act and rule 18f– the Trusts’ securities portfolios, and, shall include, among other information, 2 thereunder, including the subject to review and approval by each the ‘‘rate of compensation of the requirements for shareholder voting. Board with respect to its respective investment adviser’’ and the ‘‘aggregate 3. Applicants also state that the Portfolios, will (a) set the Portfolios’ amount of the investment adviser’s fee.’’ Trusts’ prospectuses disclose overall investment strategies; (b) select 12. Item 48 of Form N–SAR provides information concerning the identity, Subadvisers; (c) monitor and evaluate that the Trusts must disclose the rate ownership, and qualifications of the the performance of Subadvisers; (d) schedule for fees paid to their Subadvisers in full compliance with allocate and, when appropriate, investment advisers, including the Form N–1A. Further, the information reallocate a Portfolio’s assets among its Subadvisers. Items 6–07(2) (a), (b), and statement described in condition 3 Subadvisers in those cases where a (c) of Regulation S–X may be deemed to below would provide shareholders with Portfolio has more than one Subadviser; require that the Trusts’ financial all information regarding a new and (e) implement procedures statements contain information Subadviser or a material change in a reasonably designed to ensure that the concerning fees paid to the Subadvisers Subadvisory Agreement to the same Subadvisers comply with the Trusts’ by the Adviser. extent as would be set forth in a proxy and the relevant Portfolio’s investment 13. Applicants propose to disclose statement. Applicants contend that objectives, policies, and restrictions. (both as a dollar amount and as a investors therefore would be in a 2. Before a Portfolio may rely on any percentage of the Portfolio’s net assets) position to make a fully informed order granting the requested relief, the in each Trust’s registration statement investment decision as to the purchase, operation of the Portfolio in the manner and other public documents only the redemption or retention of Portfolio described in the application will be ‘‘Aggregate Fee Disclosure,’’ which shares. In addition, applicants assert approved by a majority of its means: (a) the total advisory fee charged that, if the exemptive relief is not outstanding voting securities (or, in the by the Adviser with respect to each granted, all shareholders would bear the case of the Series Trust, by the Portfolio; (b) the aggregate fees paid by higher expenses associated with formal unitholders of any separate account for the Adviser to all Subadvisers managing proxy solicitations without receiving which the Series Trust serves as a assets of each Portfolio; (c) the net more meaningful disclosure. funding medium), as defined in the Act, advisory fee retained by the Adviser 4. Because of the desire of most or, in the case of a new Portfolio whose with respect to each Portfolio after the investment advisers to price their public shareholders purchased shares Adviser pays all Subadvisers managing services based on ‘‘posted’’ fee rates, on the basis of a prospectus containing assets of the Portfolio; and (d) fees paid applicants believe that, in the absence of the disclosure contemplated by to any Subadviser who is an affiliated the requested relief, the Adviser, the condition 4 below, by the sole person (as defined in section 2(a)(3) of Trusts and shareholders of the Portfolios shareholder before offering of shares of the Act) of either Trust or the Adviser may be able to obtain a specific such Portfolio to the public. other than by reason of serving as a Subadviser’s services only by the 3. Each Trust will furnish to its Subadviser (an ‘‘Affiliated Subadviser’’). Adviser paying higher fee rates than it shareholders all information about a would otherwise be able to negotiate if new Subadviser or Subadvisory Applicants’ Legal Analysis the rates were not disclosed publicly. If Agreement for one of its Portfolios that 1. Section 15(a) of the Act makes it the Adviser must pay higher fees, would be included in a proxy statement, unlawful for any person to act as applicants argue that it must charge the except as may be modified by the order investment adviser to a registered Portfolios or the shareholders higher with respect to the disclosure of fees investment company except pursuant to fees to cover its cost of doing business. paid to the Subadvisers (the ‘‘Disclosure a written contract that has been Applicants submit that the Order’’). Such information will include approved by a majority of the nondisclosure of individual disclosure as to the level of fees to be investment company’s outstanding Subadviser’s fees is in the best interest paid to the Adviser and each Subadviser securities. Rule 18f–2 under the Act of the Portfolios and their shareholders, of the Portfolio (unless the Trust is provides that each series or class of where disclosure of such fees would relying on the Disclosure Order, in Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58269 which case it will include Aggregate Fee reflected in the Board’s minutes, that HEARING OR NOTIFICATION OF HEARING: An Disclosure) and any change in such such change is in the best interests of order granting the application will be disclosure caused by the addition of a the Portfolio and its shareholders (or, in issued unless the SEC orders a hearing. new Subadviser or any material change the case of the Series Trust, the Interested persons may request a in a Subadvisory Agreement. Each Trust unitholders of any separate account for hearing by writing to the SEC’s will meet this condition by providing its which the Series Trust serves as a Secretary and serving applicant with a shareholders with an informal funding medium) and does not involve copy of the request, personally or by information statement complying with a conflict of interest from which the mail. Hearing requests should be the provisions of Regulation 14C under Adviser or the Affiliated Subadviser received by the SEC by 5:30 p.m. on the Exchange Act and Schedule 14C derives an inappropriate advantage. December 2, 1996, and should be thereunder. With respect to a newly In addition to the above conditions, accompanied by proof of service on the retained Subadviser, or a change in a applicants agree to comply with the applicant, in the form of an affidavit or, Subadvisory Agreement, this following conditions prior to relying on information statement will be provided the Disclosure Order: for lawyers, a certificate of service. to shareholders of the Portfolio a 9. Each Trust will disclose both as a Hearing requests should state the nature maximum of sixty (60) days after the dollar amount and as a percentage of a of the writer’s interest, the reason for the addition of the new Subadviser or the Portfolio’s net assets in its registration request, and the issues contested. implementation of any change in a statement the respective Aggregate Fee Persons may request notification of a Subadvisory Agreement. The Disclosure. hearing by writing to the SEC’s information statement will also meet the 10. The Independent Trustees shall Secretary. requirements of Schedule 14A, except retain and be represented by ADDRESSES: Secretary, SEC, 450 Fifth as may be modified by the Disclosure independent counsel knowledgeable Street, N.W., Washington, D.C. 20549. Order. The Series Trust will ensure that about the Act and the duties of the information statement is furnished Independent Trustees. The selection of Applicants, 205 East 42nd Street, Suite to the unitholders of any separate such counsel shall at all times be within 2020, New York, New York 10017. account for which the Series Trust the discretion of the Independent FOR FURTHER INFORMATION CONTACT: serves as a funding medium. Trustees. Diane L. Titus, Paralegal Specialist, at 4. Each Trust will disclose in its 11. The Adviser will provide the (202) 942–0584, or Alison E. Baur, prospectus the existence, substance and Board, no less frequently than quarterly, effect of the order. information about the Adviser’s Branch Chief, at (202) 942–0564 5. No trustee, director, or officer of a profitability on a per-Portfolio basis. (Division of Investment Management, Trust or director or officer of the Such information will reflect the impact Office of Investment Company Adviser will own directly or indirectly on profitability of the hiring or Regulation). (other than through a pooled investment termination of any Subadviser during SUPPLEMENTARY INFORMATION: The vehicle that is not controlled by any the applicable quarter. following is a summary of the such director, trustee or officer) any 12. Whenever a Subadviser is hired or application. The complete application interest in any Subadviser except for (a) terminated, the Adviser will provide the may be obtained for a fee from the SEC’s ownership of interests in the Adviser or Board information showing the Public Reference Branch. any entity that controls, is controlled by expected impact on the Adviser’s or is under common control with the profitability. Applicant’s Representation Adviser; or (b) ownership of less than For the SEC, by the Division of Investment 1. Applicant is a non-diversified, 1% of the outstanding securities of any Management, under delegated authority. class of equity or debt of a publicly- closed-end management investment Margaret H. McFarland, traded company that is either a company organized as a corporation Subadviser or any entity that controls, is Deputy Secretary. under the laws of Delaware. On controlled by or is under common [FR Doc. 96–29040 Filed 11–12–96; 8:45 am] December 27, 1995, applicant filed a control with a Subadviser. BILLING CODE 8010±01±M notification of registration on Form N– 6. The Adviser will not enter into a 8A under the Act. Applicant never filed Subadvisory Agreement with any [Investment Company Act Release No. a registration statement under the Act or Affiliated Subadviser without such 22322; 811±9146] under the Securities Act of 1933. agreement, including the compensation 2. In connection with its formation, to be paid thereunder, being approved T. Acquisition Corp.; Notice of on December 22, 1995, applicant sold by the shareholders of the applicable Application 100 shares of common stock to its sole Portfolio. 7. At all times, a majority of the November 6, 1996. stockholder at a price of $100 per share. members of each Board will be persons AGENCY: Securities and Exchange Upon dissolution, applicant distributed each of whom is not an ‘‘interested Commission (‘‘SEC’’). $10,000 in cash to the stockholders. person’’ of the respective Trust as ACTION: Notice of Application for 3. Applicant has no assets, debts or defined in Section 2(a)(19) of the Act Deregistration under the Investment liabilities. Applicant is not a party to (‘‘Independent Trustees’’), and the Company Act of 1940 (the ‘‘Act’’). any litigation or administrative nomination of new or additional APPLICANT: T. Acquisition Corp. proceeding. Independent Trustees will be placed 4. Applicant has filed a certificate of within the discretion of the then RELEVANT ACT SECTION: Section 8(f). dissolution under Delaware law. existing Independent Trustees. SUMMARY OF APPLICATION: Applicant 8. When a Subadviser change is requests an order declaring that it has 5. Applicant is not now engaged, nor proposed for a Portfolio with an ceased to be an investment company. does it propose to engage, in any Affiliated Subadviser, the Board, FILING DATE: The application was filed business activities other than those including a majority of the Independent on August 27, 1996, and amended on necessary for the winding-up of its Trustees, will make a separate finding, October 23, 1996. affairs. 58270 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

For the SEC, by the Division of Investment [Release No. 34±37924; File No. SR±Amex± offers. However, unlike Rule 108, which Management, under delegated authority. 96±39] governs parity and priority at openings, Margaret H. McFarland, Rule 126 does not specify how Self-Regulatory Organizations; Notice securities to be executed are to be Deputy Secretary. of Filing of Proposed Rule Change by [FR Doc. 96–29041 Filed 11–12–96; 8:45 am] divided between orders that are on the American Stock Exchange, Inc. parity. Rule 108 provides that all orders BILLING CODE 8010±01±M Relating to Various Updates to Amex entitled to precedence are first paired Trading Rules and Company Guide off, and the balance of securities to be Section 402 Issuer Delisting; Notice of Application executed are divided as equally as To Withdraw From Listing and November 6, 1996. practicable between the specialist and Registration; (United Vision Group, Pursuant to Section 19(b)(1) of the the brokers on parity. However, when Common Stock, $.001 Par Value and Securities Exchange Act of 1934 the specialist has an accumulation of Redeemable Warrants) File No. (‘‘Act’’),1 notice is hereby given that on orders on his book representing a 1±12812 October 16, 1996, the American Stock substantial amount of the security at a Exchange, Inc. (‘‘Amex’’ or ‘‘Exchange’’) limit equal to the proposed opening November 6, 1996. filed with the Securities and Exchange price, the specialist is entitled to execution of the following percentages United Vision Group, Inc. Commission (‘‘Commission’’) the of the limit orders to be executed: 60% (‘‘Company’’) has filed an application proposed rule change as described in when there is one broker on parity, 40% with the Securities and Exchange Items I, II, and III below, which Items when there are 2–5 brokers on parity, Commission (‘‘Commission’’), pursuant have been prepared by the self- and 30% when there are 6 or more to Section 12(d) of the Securities regulatory organization. The brokers on parity. Although in practice Exchange Act of 1934 (‘‘Act’’) and Rule Commission is publishing this notice to the Exchange has been using Rule 108 12d2–2(d) promulgated thereunder, to solicit comments on the proposed rule as a guideline for non-opening withdraw the above specified securities change from interested persons. situations, this has been confusing at (‘‘Securities’’) from listing and I. Self-Regulatory Organization’s times to members. Therefore, the registration on the Boston Stock Statement of the Terms of Substance of Exchange proposes that Rule 126 be Exchange, Inc. (‘‘BSE’’). the Proposed Rule Change amended to incorporate such The reasons alleged in the application The Amex proposes to amend procedures. for withdrawing the Securities from Exchange Rules 126, 132, 135, 152, 171, listing and registration include the 340, 904, 950 and Section 402 of the Amex Rule 132: Price Adjustment of following: Company Guide to update or clarify Open Orders on ‘‘Ex-Date’’ According to the Company, the those provisions. When a security is quoted ex- common stock is listed on the NASDAQ The text of the proposed rule change dividend, ex-distribution, ex-rights, or Bulletin Board and is held of record by is available at the Office of the ex-interest (except for stock dividends less than one hundred (100) holders. Secretary, the Amex, and at the and distributions), Rule 132(a) provides The Redeemable Warrants are held of Commission. that the specialist must generally reduce record by twenty-six (26) holders, and II. Self-Regulatory Organization’s all open orders to buy and open stop are quoted on NASDAQ. The Company Statement of the Purpose of, and orders to sell by the cash value of the cannot justify the expense of being Statutory Basis for, the Proposed Rule payment or rights. However, there listed on two exchanges and thereby Change occasionally has been some confusion concerning stop limit orders because the wishes to withdraw from the Boston In its filing with the Commission, the Stock Exchange, Inc. rule does not specifically provide that self-regulatory organization included both the limit and the stop price must Any interested person may, on or statements concerning the purpose of be reduced. Therefore, the Exchange before November 29, 1996, submit by and basis for the proposed rule change proposes that paragraph (a) be amended letter to the Secretary of the Securities and discussed any comments it received to provide such specificity. This change and Exchange Commission, 450 Fifth on the proposed rule change. The text also will conform Rule 132 to New York Street, N.W., Washington, D.C. 20549, of these statements may be examined at Stock Exchange (‘‘NYSE’’) Rule 118. facts bearing upon whether the the places specified in Item IV below. application has been made in The self-regulatory organization has Miscellaneous accordance with the rules of the prepared summaries, set forth in The Exchange also proposes that the exchanges and what terms, if any, Sections A, B, and C below, of the most following rules be amended to make should be imposed by the Commission significant aspects of such statements. minor updating changes: for the protection of investors. The A. Self-Regulatory Organization’s A. Rule 135—delete the reference to Commission, based on the information Statement of the Purpose of, and sales sheets published by ‘‘Francis submitted to it, will issue an order Statutory Basis for, the Proposed Rule Emory Fitch, Inc.’’ because the granting the application after the date Change Exchange no longer utilizes this mentioned above, unless the company’s service. Commission determines to order a 1. Purpose B. Rule 152—delete the reference to hearing on the matter. The following is a description of the Rule 570 because Rule 570 was For the Commission, by the Division of proposed rule changes: rescinded. C. Rule 340—change the reference to Market Regulation, pursuant to delegated Amex Rule 126: Precedence of Bids and authority. the Exchange’s ‘‘Market Operations Offers Division’’ to the ‘‘Exchange.’’ Jonathan G. Katz, This rule specifies the rules of D. Rule 171—remove the prohibition Secretary. precedence with respect to bids and against specialist units of less than three [FR Doc. 96–29044 Filed 11–12–96; 8:45 am] natural persons to conform with a BILLING CODE 8010±01±M 1 15 U.S.C. 78s(b)(1). comparable NYSE provision. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58271

E. Rule 904—change the reference to IV. Solicitation of Comments I. Self-Regulatory Organization’s the Exchange’s ‘‘Membership Statement of the Terms of Substance of Compliance Division’’ to the Interested persons are invited to the Proposed Rule Change ‘‘Exchange.’’ submit written data, views, and arguments concerning the foregoing. The NASD is submitting this rule F. Rule 950—delete Rule 170 from the filing to amend the minimum list of rules that are applicable in their Persons making written submissions should file six copies thereof with the requirements for inclusion in the entirety to option transactions because Mutual Fund Quotation Service all of that rule’s commentary is not Secretary, Securities and Exchange Commission, 450 Fifth Street, N.W., (‘‘Service’’). Specifically, the NASD applicable (paragraph (n) of Rule 950 proposes to amend NASD Rule 6800 to already specifies which portions of Rule Washington, D.C. 20549. Copies of the submission, all subsequent provide new criteria to permit smaller 170 are applicable). mutual funds to disseminate their prices amendments, all written statements G. Section 402 of the Company via the Service. The specific criteria are with respect to the proposed rule Guide—add Bloomberg Business News set forth below. (Additions are change that are filed with the to the list of approved services for italicized; material to be deleted is Commission, and all written disclosure of material information. bracketed). communications relating to the 2. Statutory Basis proposed rule change between the NASD Rule 6800. MUTUAL FUND The Exchange believes the proposed Commission and any person, other than QUOTATION SERVICE rule change is consistent with Section those that may be withheld from the * * * * * 6(b) 2 of the Act in general and furthers public in accordance with the the objectives of Section 6(b)(5) 3 in provisions of 5 U.S.C. 552, will be (d) Supplemental List particular in that it is designed to available for inspection and copying at An eligible fund shall be authorized promote just and equitable principles of the Commission’s Public Reference for inclusion in the Supplemental List trade, remove impediments to and Section, 450 Fifth Street, N.W., released to vendors of Nasdaq Level 1 perfect the mechanism of a free and Washington, D.C. 20549. Also, copies of Service if the fund: (1) has net assets of open market, and, in general, to protect such filing will be available for $10 million or more; or (2) has had two investors and the public interest. The inspection and copying at the principal full years of operation. [the fund has at Exchange also believes the proposed office of the Amex. All submissions least 300 shareholders at the time of rule change is consistent with Section should refer to File No. SR–Amex–96– initial application for inclusion in the 11(b) 4 of the Act which allows 39 and should be submitted by Supplemental List.] exchanges to promulgate rules relating December 4, 1996. * * * * * to specialists in order to maintain fair For the Commission, by the Division of II. Self-Regulatory Organization’s and orderly markets. Market Regulation, pursuant to delegated authority.5 Statement of the Purpose of, and B. Self-Regulatory Organization’s Statutory Basis for, the Proposed Rule Statement on Burden on Competition Margaret H. McFarland, Change Deputy Secretary. The Exchange believes the proposed In its filing with the Commission, the [FR Doc. 96–29043 Filed 11–12–96; 8:45 am] rule change will impose no burden on NASD included statements concerning competition. BILLING CODE 8010±01±M the purpose of and basis for the proposed rule change and discussed any C. Self-Regulatory Organization’s comments it received on the proposed Statement on Comments on the [Release No. 34±37922; File No. SR±NASD± rule change. The text of these statements Proposed Rule Change Received From 96±40] may be examined at the places specified Members, Participants, or Others in Item IV below. The NASD has The Exchange has neither solicited Self-Regulatory Organizations; Notice prepared summaries, set forth in nor received written comments. of Filing of Proposed Rule Change by Sections A, B, and C below, of the most the National Association of Securities significant aspects of such statements. III. Date of Effectiveness of the Dealers, Inc. Amending the Inclusion Proposed Rule Change and Timing for Criteria for the Supplemental List of A Self-Regulatory Organization’s Commission Action the Mutual Fund Quotation Service Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Within 35 days of the publication of November 5, 1996. Change this notice in the Federal Register or within such longer period (i) as the Pursuant to Section 19(b)(1) of the The NASD has determined to amend Commission may designate up to 90 Securities Exchange Act of 1934 the criteria for inclusion of mutual days of such date if it finds such longer (‘‘Act’’), 15 U.S.C. 78s(b)(1), notice is funds and money market funds in its period to be appropriate and publishes hereby given that on October 18, 1996, Service facility. The Service provides its reasons for so finding or (ii) as to the National Association of Securities for the collection and dissemination of which the self-regulatory organization Dealers, Inc. (‘‘NASD’’ or ‘‘Association’’) prices for both mutual funds and money consents, the Commission will: filed with the Securities and Exchange market funds. The Service consists of (A) by order approve the proposed Commission (‘‘Commission’’ or ‘‘SEC’’) two lists: the News Media List and the rule change, or the proposed rule change as described Supplemental List. The News Media (B) institute proceedings to determine in Items I, II, and III below, which Items List,1 which is not being amended by whether the proposed rule change have been prepared by the NASD. The this rule filing, consists of data on more should be disapproved. Commission is publishing this notice to solicit comments on the proposed rule 1 The criteria for inclusion in the News Media List change from interested persons. are: (1) for initial inclusion—least 1,000 2 15 U.S.C. 78f(b). shareholders or $25 million in net assets; (2) for 3 15 U.S.C. 78f(b)(5). continued inclusion—at least 750 shareholders or 4 15 U.S.C. 78k(b). 5 17 CFR 200.30–3(a)(12). $15 million in net assets. 58272 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices than 6,000 funds which Nasdaq information by less efficient means. the principal office of the NASD. All distributes daily to newspapers and to Accordingly, the NASD believes that the submissions should refer to the file vendors through its Level 1 Service. proposed rule change is consistent with number in the caption above and should Eligible funds that do not qualify for the provisions of Section 15A(b)(6) in be submitted by December 4, 1996. the News Medial List have been eligible that it promotes better processing of For the Commission, by the Division of for price dissemination solely through pricing information in securities, Market Regulation, pursuant to delegated the Level 1 Service. The criteria for protects investors and the public authority, 17 CFR 200.30–3(a)(12). inclusion in this list of smaller funds interest, and is designed to produce fair Margaret H. McFarland, has been a size test based on the number and informative prices for smaller Deputy Secretary. of fund shareholders at the time of mutual funds. [FR Doc. 96–29038 Filed 11–12–96; 8:45 am] initial application for inclusion in the Supplemental List. According to the B. Self-Regulatory Organization’s BILLING CODE 8010±01±M Investment Company Institute (‘‘ICI’’), Statement on Burden on Competition approximately 2,100 funds do not The NASD does not believe that the [Release No. 34±37923; File No. SR±PSE± qualify for either the News Media or proposed rule change will result in any 96±39] Supplemental Lists. burden on competition that is not Because these funds do not qualify for necessary or appropriate in furtherance Self-Regulatory Organizations; Notice the Nasdaq Stock Market, Inc. of the purposes of the Act, as amended. of Filing and Immediate Effectiveness (‘‘Nasdaq’’) Service, these smaller funds of Proposed Rule Change by the do not have a centralized means of C. Self-Regulatory Organization’s Pacific Stock Exchange, Incorporated disseminating their prices to broker- Statement on Comments on the Relating to Amending the Minor Rule dealers, rating services and individual Proposed Rule Change Received From Plan and the Recommended Fine investors. Instead, these funds distribute Members, Participants, or Others Schedule their prices to various entities by fax or Written comments were neither telephone. solicited nor received. November 6, 1996. Because of the inefficiencies, costs Pursuant to Section 19(b)(1) of the and lack of transparency associated with III. Date of Effectiveness of the Securities Exchange Act of 1934 the fax or telephone means of Proposed Rule Change and Timing For (‘‘Act’’), 15 U.S.C. 78s(b)(1), notice is communication, the Nasdaq examined Commission Action hereby given that on October 10, 1996, whether the Supplemental List criteria Within 35 days of the date of the Pacific Stock Exchange Incorporated for its Service could be refined to permit publication of this notice in the Federal (‘‘PSE’’ or ‘‘Exchange’’) filed with the more funds to provide Nasdaq with Register or within such longer period (i) Securities and Exchange Commission price information through its Level 1 as the Commission may designate up to (‘‘Commission’’) the proposed rule Service which is distributed over more 90 days of such date if it finds such change as described in Items I, II and III than 280,000 terminals. In the course of longer period to be appropriate and below, which Items have been prepared discussions with ICI, it became apparent publishes its reasons for so finding or by the self-regulatory organization. The that while many smaller funds may (ii) as to which the self-regulatory Exchange has designated the proposed have smaller numbers of beneficial organization consents, the Commission rule change as constituting a ‘‘non- owners that keep such funds from will: controversial’’ rule change under meeting the 300 shareholder test, the A. by order approve such proposed paragraph (e)(6) of Rule 19b–4 under the same funds often have substantial net rule change, or Act which renders the proposal effective assets. Accordingly, Nasdaq determined B. institute proceedings to determine upon receipt of this filing by the to revise the Supplemental List criteria whether the proposed rule change Commission.1 The Commission is to delete the shareholder requirement should be disapproved. publishing this notice to solicit and replace it with two, alternative comments on the proposed rule change IV. Solicitation of Comments standards. First, a mutual fund may from interested persons. Interested persons are invited to meet the Supplemental List inclusion I. Self-Regulatory Organization’s submit written data, views, and standard if the fund has net assets at the Statement of the Terms of Substance of arguments concerning the foregoing. time of application of $10 million or the Proposed Rule Change more. In the alternative, a fund would Persons making written submissions qualify regardless of net assets or should file six copies thereof with the The Exchange is proposing to amend shareholder members if it has operated Secretary, Securities and Exchange its Minor Rule Plan (‘‘MRP’’) to add for two full years. Under this new Commission, 450 Fifth Street, N.W., certain rules for which violations may criteria, Nasdaq believes that Washington, D.C. 20549. Copies of the be adjudicated pursuant to Rule 10.13, approximately 1,400 additional funds submission, all subsequent and to amend its Recommended Fine would qualify for the Supplemental amendments, all written statements Schedule to establish recommended List. with respect to the proposed rule fines for violations of those rules and to The NASD believes that distribution change that are filed with the increase the recommended fines for of Net Asset Value information for Commission, and all written certain rules violations already subject smaller funds significantly aids communications relating to the to the MRP. investors in such funds. The Service proposed rule change between the promotes efficient dissemination of Commission and any person, other than 1 The PSE has represented that this proposed rule change: (i) will not significantly affect the critical information to a wide audience those that may be withheld from the protection of investors or the public interest; (ii) and thereby promotes the transparency public in accordance with the will not impose any significant burden on of smaller fund prices. By providing a provisions of 5 U.S.C. 552, will be competition, and (iii) will not become operative for more efficient means of communicating available for inspection and copying in 30 days after the date of this filing. The PSE also has provided at least five business days notice to this information, the service may help the Commission’s Public Reference the Commission of its intent to file this proposed the affected funds in containing the Room. Copies of such filing will also be rule change, as required by Rule 19b–4(e)(6) under costs associated with distributing this available for inspection and copying at the Act. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58273

II. Self-Regulatory Organization’s approval for Member or Member Firm of Members on the Equity Floor (EFPA Statement of the Purpose of, and electronic devices or systems used for 1–B and Rules 5.1(g) and 5.1(h)) from Statutory Basis for, the Proposed Rule trading purposes on the Exchange Floor $100 and $250 to $250 and $500; (3) Change (with recommended fines of $250, $750 increases for second and third violations In its filing with the Commission, the and $1,500 for first, second and third of the rule on Conduct of Guests (EFPA 3 self-regulatory organization included violations); (2) Failure to answer a 1–B) from $50 and $100 to $250 and statements concerning the purpose of Trading Crowd/LMM Questionnaire as $500; (4) increases for second and third and basis for the proposed rule change required (Option Floor Procedure violations of the rule on Proper and discussed any comments it received Advices (‘‘OFPA’’) B–13(c)) (with Reporting of Transactions Executed at on the proposed rule change. The text recommended fines of $250, $500 and the Exchange (EFPA 2–C and Rules 5.12 of these statements may be examined at $750 for first, second and third and 5.13) from $25 and $50 to $250 and the places specified in Item IV below. violations); (3) Violations of rules on $500; and (5) increases for first, second The self-regulatory organization has visitors to the Options Floor (Rule 6.2(a) and third violations of the rule on prepared summaries, set forth in and OFPA F–2) (with recommended Staffing at the Specialist Post (prior to sections A, B and C below, of the most fines of $250, $500 and $1,000 for first, the opening) (Rule 5.28 (c)–(d)) from significant aspects of such statements. second and third violations); and (4) $25, $50 and $100 to $100, $250 and Misuse of Member badge or Member $500. A. Self-Regulatory Organization’s Firm identification (OFPA F–1) (with Other Minor Rule Violations Statement of the Purpose of, and recommended fines of $250, $500 and Statutory Basis for, the Proposed Rule $1,000 for first, second and third The Exchange is proposing to increase Change violations). the recommended fines for violations of 1. Purpose The Exchange is also proposing to the following rules, which are already increase the recommended fines for the included in the MRP: (1) increases for The Exchange is proposing to amend following rule violations, which are 2 first, second and third violations of the its MRP, which provides that the already included in the MRP: (1) rule on submitting trade data to the Exchange may impose a fine not to increases for second and third violations Exchange in a timely manner (Rule exceed $5,000 on any member, member of Rule 6.35, Commentary .03 (Failure to 10.2(c)) from $100, $200 and $500 to organization, or person associated with meet 75% Primary Appointment Zone $250, $500 and $750); (2) increases for a member organization, for any violation Requirement) from $750 and $1,250 to first, second and third violations of the of an Exchange rule that has been $1,000 and $2,500; and (2) increases for rule on furnishing in a timely manner deemed to be minor in nature and second and third violations of Rule 6.37, books, records or other requested approved by the Commission for Commentary .07 (Failure to meet 60% information or testimony in connection inclusion in the MRP. PSE Rule 10.13, In-Person Trading Requirement) from with an examination of financial subsections (h)–(j), sets forth the $750 and $1,250 to $1,000 and $2,500. responsibility and/or operational specific Exchange rules deemed to be Equity Floor Rule Violations conditions (Rule 2.12(c)) from $100, minor in nature. $250 and $500 to $250, $500 and $750; Options Floor Rule Violations The Exchange is proposing to add the (3) increases for first, second and third following Equity Floor Decorum and violations of the rule on notifying the The Exchange is proposing to add the Minor Trading Rule Violation to the following Options Floor Decorum and Exchange of a change of address where MRP: Failure to Clear the Post Properly notices may be served (Rule 1.13) from Minor Trading Rule Violations to the (Rules 5.16 and Equity Floor Procedure MRP: (1) Failure to obtain Exchange $100, $250 and $500 to $250, $500 and Advice (‘‘EFPA’’) 1–B) (with an Official $750; (4) increases for first, second and Warning and fines of $250 and $500 for third violations of the rule on filing 2 Rule 19d–1(c)(2) under the Act authorizes first, second and third violations). national securities exchanges to adopt minor rule financial reports or financial violation plans for the summary discipline and The Exchange is also proposing to information in the type, form, manner abbreviated reporting of minor rule violations by increase the recommended fines for the and time prescribed by the Exchange exchange members and member organizations. See following rule violations, which are (Rule 2.12(a)) from $100, $250 and $500 Securities Exchange Act Release No. 21013 (June 1, already included in the MRP: (1) 1984), 49 FR 23828 (June 8, 1984) (order approving to $250, $500 and $750; and (5) amendments to paragraph (c)(2) of Rule 19d–1 increases for first and second violations increases for first, second and third under the Act). The PSE’s MRP was approved by of the rule on Equity Floor Decorum violations of the rule on delaying, the Commission in 1985. See Securities Exchange (EFPA 1–A) from $25 and $100 to $100 impeding or failing to cooperate in an Act Release No. 22654 (November 21, 1985), 50 FR and $250; (2) increases for second and 48853 (November 27, 1985) (order approving File Exchange investigation (Rule 10.2(b)) No. SR–PSE–85–24). In 1993, the Exchange third violations of the rule on Conduct from $100, $250 and $500 to $500, amended its MRP and adopted detailed procedures $1,000 and $2,000. relating to the adjudication of minor rule violations. 3 Cf. Amex Rule 590(h)(14). The PSE has See Securities Exchange Act Release No. 32510 informed the Commission that misuse of electronic Other Related Rule Changes (June 24, 1993), 58 FR 35491 (July 1, 1993). devices by Exchange members, which was Thereafter, the Exchange has modified its MRP previously covered by Rule 10.13(h)(12), will be The Exchange is proposing to add several times. See Securities Exchange Act Release covered by the new rule violation added to the MRP violations of EFPA 1–C(i) (Admission of Nos. 34322 (July 6, 1994), 59 FR 35958 (July 14, under Rule 10.13(h)(13), ‘‘Failure to obtain 1994); 35144 (December 23, 1994), 59 FR 67743 Exchange approval for Member or Member Firm Members to the Equity Floor) to those (December 30, 1994); and 36622 (December 21, electronic devices or systems used for trading rules for which a summary sanction 1995), 60 FR 67384 (December 29, 1995). The purposes on the Exchange floor.’’ The new Rule may be imposed pursuant to Rule Exchange currently has pending before the cover misuses of devices because, pursuant to the 10.14(a).4 Commission a proposal to provide PSE staff with Rule, the Exchange grants approval for classes of the authority to make findings of rule violations and uses of such devices or systems for member use and to impose fines for violations of rules contained in provides members with notice of the approved uses 4 The Exchange may summarily sanction a the Exchange’s MRP. See Securities Exchange Act of such devices or systems, rendering any other member, member organization or person associated Release No. 37592 (August 21, 1996), 61 FR 45468 uses not approved as unauthorized ones. Telephone with a member organization, in lieu of commencing (August 29, 1996) (File No. SR–PSE–96–26). See conversation between Michael Pierson, Senior a ‘‘disciplinary action’’ (as that term is used in Rule also Securities Exchange Act Release No. 37799 Attorney, PSE, and Heather Seidel, Attorney, SEC, 10.3), provided that the procedures set forth in Rule (October 9, 1996) (File No. SR–PSE–96–30). dated October 28, 1996. 10.14(a) are followed. 58274 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

The Exchange is also proposing to subparagraph (e)(6) of Rule 19b–4 For the Commission, by the Division of amend EFPAs 1–A, 1–B, 2–C and 3–A thereunder. Market Regulation, pursuant to delegated authority.10 to conform with the proposed changes One of the changes that the PSE has Margaret H. McFarland, in recommended fine levels, and to proposed it to amend EFPAs 1–A, 1–B, Deputy Secretary. eliminate references in the EFPAs to 2–C, and 3–A to eliminate references to ‘‘4th,’’ ‘‘5th,’’ and ‘‘Subsequent’’ ‘‘4th’’, ‘‘5th,’’ and ‘‘subsequent’’ [FR Doc. 96–29039 Filed 11–12–96; 8:45 am] offenses. offenses. The Commission believes that BILLING CODE 8010±01±M In addition, the Exchange is this amendment does not subsequently proposing to remove the provision in change the Exchange’s flexibility with EFPA 1–B that prohibits consumption of regard to discipline for 4th, 5th and SMALL BUSINESS ADMINISTRATION food and drink on the Los Angeles subsequent violations of the MRP; the Trading Floor, and to remove the related Exchange may still impose a fine or # provision from the MRP. bring a formal disciplinary action for [Declaration of Disaster Loan Area 2907] Finally, the Exchange is proposing to violation of a rule included in the MRP. add its Recommended Fine Schedule to Florida (and Contiguous Counties in the text of the MRP. Accordingly, the The Commission notes that the PSE Georgia); Declaration of Disaster Loan Exchange is proposing to remove a still has general authority, subject to the Area provision from Rule 10.13(f) that requirements in Rule 10.13, to impose a As a result of the President’s major requires the Exchange to maintain this fine, not to exceed $5000, on any disaster declaration on October 15, Schedule and to circulate it to the member, member organization, or 1996, I find that the Counties of Baker, Exchange’s Membership periodically. person associated with a member or member organization, for violation of an Citrus, Clay, Dixie, Duval, Hernando, 2. Statutory Basis Exchange rule that is included in the Hillsborough, Levy, Manatee, Nassau, Pasco, Pinellas, Putnam, Sarasota, The Exchange believes that the MRP.8 In addition, Exchange Rule 10.3 Taylor and Volusia in the State of proposal is consistent with Section 6(b) provides the PSE with the authority to Florida constitute a disaster area due to of the Act,5 in general, and Sections bring formal disciplinary action for a damages caused by storm surge, heavy 6(b)(5) and 6(b)(7) of the Act, in violation of a rule included in the MRP.9 rains, flooding and wind damage particular, in that it is designed to At any time within 60 days of the associated with Tropical Storm promote just and equitable principles of filing of such proposed rule change, the Josephine which occurred October 7, trade and to assure that members, Commission may summarily abrogate 1996 and continuing. Applications for member organizations, and persons such rule change if it appears to the loans for physical damages may be filed associated with members and member Commission that such action is until the close of business on December organizations are appropriately necessary or appropriate in the public 14, 1996, and for loans for economic disciplined for violations of Exchange interest, for the protection of investors, injury until the close of business on July rules. or otherwise in furtherance of the 15, 1997 at the address listed below: B. Self-Regulatory Organization’s purposes of the Act. U.S. Small Business Administration, Statement on Burden on Competition IV. Solicitation of Comments Disaster Area 2 Office, One Baltimore The Exchange does not believe that Place, Suite 300, Atlanta, GA 30308 the proposed rule change will impose Interested persons are invited to or other locally announced locations. In any burden on competition. submit written data, views and addition, applications for economic arguments concerning the foregoing. injury loans from small businesses C. Self-Regulatory Organization’s Persons making written submissions located in the following contiguous Statement on Comments on the should file six copies thereof with the counties may be filed until the specified Proposed Rule Change Received From Secretary, Securities and Exchange date at the above location: Alachua, Members, Participants, or Others Commission, 450 Fifth Street, N.W., Bradford, Brevard, Charlotte, Columbia, Written comments on the proposed Washington, D.C. 20549. Copies of the De Soto, Flagler, Gilcrest, Hardee, rule change were neither solicited nor submission, all subsequent Jefferson, Lafayette, Lake, Madison, received. amendments, all written statements Marion, Polk, Seminole, St. Johns, with respect to the proposed rule Sumter, and Union Counties in Florida, III. Date of Effectiveness of the change that are filed with the and Camden, Charlton, Clinch, and Proposed Rule Change and Timing for Commission, and all written Ware Counties in Georgia. Commission Action communications to the proposed rule Interest rates are: This proposed rule change has been change between the Commission and For Physical Damage: ...... Percent filed by the Exchange as a any person, other than those that may be Homeowners With Credit ‘‘noncontroversial’’ rule change withheld from the public in accordance Available Elsewhere ...... 8.000 pursuant to paragraph (e)(6) of Rule with the provisions of 5 U.S.C. 552, will Homeowners Without Credit 19b–4.6 Consequently, the rule change be available for inspection and copying Available Elsewhere ...... 4.000 shall become operative 30 days after the in the Commission’s Public Reference Businesses With Credit Avail- date of filing, or such shorter time as the Room. Copies of such filings will also be able Elsewhere ...... 8.000 Businesses and Non-Profit Or- Commission may designate if consistent available for inspection and copying at the principal office of the PSE. All ganizations Without Credit with the protection of investors and the Available Elsewhere ...... 4.000 public interest pursuant to Section submissions should refer to File No. Others (Including Non-Profit 19(b)(3)(A)(iii) of the Act 7 and SR–PSE–96–39 and should be submitted Organizations) With Credit by December 4, 1996. Available Elsewhere ...... 7.125 5 15 U.S.C. 78f(b). 6 17 CFR 240.19b–4(e)(6). 8 Exchange Rule 10.13(a). 7 15 U.S.C. 78s(b)(3)(A)(iii). 9 See Exchange Rule 10.3. 10 17 CFR 200.30–3(a)(12). Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58275

For Economic Injury: [Declaration of Disaster Loan Area #2909] the close of business on July 25, 1997 Businesses and Small Agri- at the address listed below: cultural Cooperatives With- Commonwealth of Massachusetts (and out Credit Available Else- Contiguous Counties in New U.S. Small Business Administration, where ...... 4.000 Hampshire and Rhode Island); Disaster Area 1 Office, 360 Rainbow Declaration of Disaster Loan Area Blvd., South 3rd Floor, Niagara Falls, The number assigned to this disaster NY 14303 for physical damage is 290708. For As a result of the President’s major economic injury the numbers are disaster declaration on October 25, or other locally announced locations. In 922200 for Florida and 922300 for 1996, I find that the Counties of Essex, addition, applications for economic Georgia. Middlesex, Norfolk, Plymouth, and injury loans from small businesses Suffolk in the Commonwealth of located in the following contiguous (Catalog of Federal Domestic Assistance counties may be filed until the specified Program Nos. 59002 and 59008) Massachusetts constitute a disaster area due to damages caused by extreme date at the above location: Barnstable, Dated: November 4, 1996. weather conditions and flooding which Bristol, and Worcester Counties in James Rivera, occurred on October 20, 1996 and Massachusetts; Hillsborough and Acting Associate Administrator for Disaster continuing. Applications for loans for Rockingham Counties in New Assistance. physical damages may be filed until the Hampshire; and Providence County in [FR Doc. 96–28960 Filed 11–12–96; 8:45 am] close of business on December 24, 1996, Rhode Island. BILLING CODE 8025±01-P and for loans for economic injury until Interest rates are: For Physical Damage: Percent Homeowners With Credit Available Elsewhere ...... 8.000 Homeowners Without Credit Available Elsewhere ...... 4.000 Businesses With Credit Available Elsewhere ...... 8.000 Businesses and Non-Profit Organizations Without Credit Available Elsewhere ...... 4.000 Others (Including Non-Profit Organizations) With Credit Available Elsewhere ...... 7.125 For Economic Injury: Businesses and Small Agricultural Cooperatives Without Credit Available Elsewhere ...... 4.000

The number assigned to this disaster [Declaration of Disaster Loan Area #2911] U.S. Small Business Administration, for physical damage is 290906. For Disaster Area 1 Office, 360 Rainbow economic injury the numbers are New Hampshire; Declaration of Blvd., South 3rd Floor, Niagara Falls, Disaster Loan Area 924200 for Massachusetts, 924300 for NY 14303 New Hampshire, and 924400 for Rhode As a result of the President’s major or other locally announced locations. In Island. disaster declaration on October 29, addition, applications for economic 1996, I find that the Counties of (Catalog of Federal Domestic Assistance injury loans from small businesses Program Nos. 59002 and 59008) Hillsborough, Rockingham and Strafford in the State of New Hampshire located in the following contiguous Dated: November 4, 1996. constitute a disaster area due to counties may be filed until the specified James Rivera, damages caused by a fall northeaster date at the above location: Belknap, Acting Associate Administrator for Disaster rainstorm which occurred October 20– Cheshire, Merrimack, and Sullivan Assistance. 23, 1996. Applications for loans for Counties in New Hampshire. Any [FR Doc. 96–28959 Filed 11–12–96; 8:45 am] physical damages may be filed until the counties contiguous to the above-named BILLING CODE 8025±01±P close of business on December 28, 1996, counties and not listed herein have been and for loans for economic injury until previously declared. the close of business on July 29, 1997 Interest rates are: at the address listed below: For Physical Damage: Percent Homeowners With Credit Available Elsewhere ...... 8.000 Homeowners Without Credit Available Elsewhere ...... 4.000 Businesses With Credit Available Elsewhere ...... 8.000 Businesses and Non-Profit Organizations Without Credit Available Elsewhere ...... 4.000 Others (Including Non-Profit Organizations) With Credit Available Elsewhere ...... 7.125 For Economic Injury: Businesses and Small Agricultural Cooperatives Without Credit Available Elsewhere ...... 4.000

The number assigned to this disaster DEPARTMENT OF TRANSPORTATION SUMMARY: The Bureau of Transportation for physical damage is 291111 and for Statistics (BTS), announces a new economic injury the number is 924800. Bureau of Transportation Statistics information collection request in (Catalog of Federal Domestic Assistance accordance with the Paperwork Reports, Forms and Recordkeeping Program Nos. 59002 and 59008) Reduction Act of 1995, and invites Dated: November 6, 1996. Requirements comments on ‘‘Customer Satisfaction Herbert L. Mitchell, Surveys’’ for which the BTS intends to AGENCY: Bureau of Transportation request approval from the Office of Acting Associate Administrator for Disaster Statistics (BTS). Assistance. Management and Budget. [FR Doc. 96–29019 Filed 11–12–96; 8:45 am] ACTION: Notice. BILLING CODE 8025±01±P 58276 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

DATES: Interested parties are invited to Federal Aviation Administration telephone 202–267–7663 (voice), 202– submit comments on or before February 267–5234 (fax). The paper, ‘‘A Review [Docket No. 28730] 15, 1997. of Issues Related to Availability and Accessibility of Aviation Safety Data,’’ ADDRESSES: Please address written Issues Related to Availability and Accessibility of Aviation Safety Data can be downloaded at the following comments to Susan J. Lapham, 400 Internet location: http://nasdac.faa.gov/ Seventh Street, SW, Room 3430, AGENCY: Federal Aviation safetylinfolstudy/. Washington, DC 20590, telephone Administration (FAA), DOT. SUPPLEMENTARY INFORMATION: number 202/366–9913. Requests for a ACTION: Notice of availability of issue copy of the information collection paper and request for comments. Background should be directed to Susan J. Lapham, GRA Inc. has prepared a paper SUMMARY: 400 Seventh Street, SW, Room 3430, The FAA, in response to a entitled ‘‘A Review of Issues Related to Washington, DC 20590, telephone request from Senators Wyden and Ford, Availability and Accessibility of Safety number 202/366–9913. has undertaken an effort to determine Data’’ which reviews aviation safety the best means of providing aviation SUPPLEMENTARY INFORMATION: Office of data and measurement issues. In safety information to the public while addition, the paper examines the more Management and Budget (OMB) ensuring the integrity of the aviation regulations (5 CFR 1320) implementing general subject of risk communication safety system. The Senators asked the and how some non-aviation provisions of the Paperwork Reduction FAA to work with the aviation Act of 1995 (Pub. L. 104–13) require that organizations approach issues related to community, and others, to recommend informing the public. The purpose of interested members of the public and the best means to educate the public the paper is to elicit input from FAA, affected agencies have an opportunity to and to make available to them the aviation industry, consumer groups, comment on information collection and information about commercial aviation and other interested parties on this recordkeeping activities [see 5 CFR safety. At FAA’s request, GRA Inc. has subject. As such, the paper makes no 1320.8 (d)]. This notice identifies a prepared a paper entitled, ‘‘A Review of recommendations per se; rather, it collection that BTS is submitting to Issues Related to Availability and identifies options that may be available OMB for processing clearance. Accessibility of Aviation Safety Data.’’ to FAA and others regarding the This paper has not been approved by, Title: Customer Satisfaction Survey. dissemination of aviation safety and does not necessarily represent the Affected Entities: Transportation information. views of, the FAA. The paper is The paper is organized as a discussion statistics industry and the general intended to serve as a starting point for of the following topics: public. discussion, not as a statement of what Abstract: Customer satisfaction should be done. This notice describes Safety Data surveys are required by Executive Order how the paper can be obtained and how Accident and Incident Data 12862, Setting Customer Service comments may be provided. Inspection and Surveillance Data Standards, to ensure that the BTS DATES: Comments must be received on Exposure Data provides the highest quality service to or before December 3, 1996. Analysis and Interpretation of Safety our customers. Steps will be taken to ADDRESSES: Send or deliver comments Data in triplicate to: Federal Aviation assure anonymity of respondents in Recent Research each activity covered under this request. Administration, Office of Chief Counsel, Value of Safety Information to FAA Attention: Rules Docket (AGC–200), Need for information: Executive Order Value of Safety Information to Docket No. 28730, 800 Independence 12862, Setting Customer Service Consumers Ave., SW., Washington, DC 20591. Standards, directs BTS to conduct Conflicts Between FAA and Comments must be marked Docket No. Consumer Uses surveys to determine the kind and 28730. Commenters wishing the FAA to quality of services the transportation acknowledge receipt of their comments Availability and Accessibility of Safety statistics industry and general public must include a pre-addressed, stamped Data wants and expects. postcard on which the following Accident, Incident, and Exposure Proposed Use of Information: This statement is made: ‘‘Comments to Data information will be used by the Bureau Docket No. 28730.’’ The postcard will be Inspection and Surveillance Data date stamped and mailed to the of Transportation Statistics to improve Experience of Other Federal Agencies service delivery and determine whether commenter. All comments submitted additional services are needed. will be available for examination (both The FDIC and Measures of the before and after the closing date for Financial Strengths of Banks Burden Statement: The current total comments) in the FAA Rules Docket, at NHTSA and Automobile Safety annual respondent burden estimate is the above address, room 915G, on The NRC and Nuclear Power 1,273 hours. The average burden hour weekdays, except on Federal holidays, Public Access to Safety Information per response varies with each survey. between 8:30 a.m. and 5:00 p.m. Comments Invited Issued in Washington, DC on November 6, FOR FURTHER INFORMATION CONTACT: 1996. Copies of the paper, and other Interested parties are invited to T.R. Lakshmanan, information can be obtained by written, submit such written data, views, or Director, Bureau of Transportation Statistics. telephone, or fax request, or in person, arguments as they may desire. Comments that address the following [FR Doc. 96–28936 Filed 11–12–96; 8:45 am] from Mr. Dave Balderston, Program Analyst, System Safety Plans Division, issues will be most helpful to the FAA BILLING CODE 4910±FE±P Office of System Safety (ASY–300), concerning the public availability of Room 726, Federal Aviation safety information: Administration, 800 Independence —What information is now publicly Ave., SW., Washington, DC 20591, available concerning aviation safety? Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58277

—How accessible and timely is the Independence Avenue, SW., processing, and disposition of petitions aviation safety information that is Washington, D.C. 20591. for exemption (14 CFR Part 11), this currently available? Comments may also be sent notice contains a summary of certain —What public needs for aviation safety electronically to the following internet petitions seeking relief from specified information are not now being met? address: [email protected]. requirements of the Federal Aviation —How could the availability and The petition, any comments received, Regulations (14 CFR Chapter I), accessibility of safety information to and a copy of any final disposition are dispositions of certain petitions the public be increased? filed in the assigned regulatory docket previously received, and corrections. —To what extent would these increases and are available for examination in the The purpose of this notice is to improve in the availability and accessibility of Rules Docket (AGC–200), Room 915G, the public’s awareness of, and safety information satisfy unmet FAA Headquarters Building (FOB 10A), participation in, this aspect of FAA’s public needs, and what are the other 800 Independence Avenue, SW., regulatory activities. Neither publication pros and cons of these increases? Washington, D.C. 20591; telephone of this notice nor the inclusion or (202) 267–3132. Communications should identify the omission of information in the summary document number and be submitted to FOR FURTHER INFORMATION CONTACT: is intended to affect the legal status of the address listed above. Comments Fred Haynes (202) 267–3939 or Angela any petition or its final disposition. Anderson (202) 267–9681 Office of should not be sent or directed to GRA DATES: Comments on petitions received Rulemaking (ARM–1), Federal Aviation Inc. All comments received on or before must identify the petition docket Administration, 800 Independence the closing date for comments will be number involved and must be received Avenue, SW., Washington, DC 20591. considered. This notice is published pursuant to on or before December 3, 1996. Issued in Washington, D.C. on November 7, paragraphs (c), (e), and (g) of § 11.27 of ADDRESSES: Send comments on any 1996. Part 11 of the Federal Aviation petition in triplicate to: Federal Barry P. Bermingham, Regulations (14 CFR Part 11). Aviation Administration, Office of the Chief Counsel, Attn: Rule Docket (AGC– Deputy Assistant Administrator for System Issued in Washington, D.C., on November Safety. 7, 1996. 200), Petition Docket No. 28720, 800 [FR Doc. 96–29067 Filed 11–12–96; 8:45 am] Donald P. Byrne, Independence Avenue, SW., Washington, D.C. 20591. BILLING CODE 4910±13±M Assistant Chief Counsel for Regulations. Comments may also be sent Petitions for Exemption electronically to the following internet [Summary Notice No. PE±96±53] Docket No.: 28684. address: [email protected]. Petitioner: COMAIR, Inc. The petition, any comments received, Petitions for Exemption; Summary of Sections of the FAR Affected: 14 CFR and a copy of any final disposition are Petitions Received; Dispositions of 121.163(b). filed in the assigned regulatory docket Petitions Issued Description of Relief Sought: To and are available for examination in the AGENCY: Federal Aviation permit COMAIR to conduct 10 hours of Rules Docket (AGC–200), Room 915G, Administration (FAA), DOT. validation flights during revenue service FAA Headquarters Building (FOB 10A), in its Embraer EMB–120, in lieu of the 800 Independence Avenue, SW., ACTION: Notice of petitions for 50 hours of proving tests required in Washington, D.C. 20591; telephone exemption received and of dispositions that type of aircraft. The validation (202) 267–3132. of prior petitions. flights would be conducted on routes FOR FURTHER INFORMATION CONTACT: SUMMARY: Pursuant to FAA’s rulemaking selected by the Federal Aviation Fred Haynes (202) 267–3939 or Angela provisions governing the application, Administration (FAA). Anderson (202) 267–9681 Office of processing, and disposition of petitions Docket No.: 28706. Rulemaking (ARM–1), Federal Aviation for exemption (14 CFR Part 11), this Petitioner: Saperston & Day, P.C. Administration, 800 Independence notice contains a summary of certain Sections of the FAR Affected: 14 CFR Avenue, SW., Washington, DC 20591. 91.315. petitions seeking relief from specified This notice is published pursuant to Description of Relief Sought: To requirements of the Federal Aviation paragraphs (c), (e), and (g) of § 11.27 of permit the National Warplane Museum Regulations (14 CFR Chapter I), to carry passengers on local flights in its Part 11 of the Federal Aviation dispositions of certain petitions limited category Boeing B–17 aircraft in Regulations (14 CFR Part 11). previously received, and corrections. support of its fundraising activities. Issued in Washington, D.C., on November The purpose of this notice is to improve 7, 1996. [FR Doc. 96–29069 Filed 11–12–96; 8:45 am] the public’s awareness of, and Donald P. Byrne, BILLING CODE 4910±13±M participation in, this aspect of FAA’s Assistant Chief Counsel for Regulations. regulatory activities. Neither publication Petitions for Exemption of this notice nor the inclusion or [Summary Notice No. PE±96±54] omission of information in the summary Docket No.: 28720. is intended to affect the legal status of Petitions for Exemption; Summary of Petitioner: Boeing Commercial any petition or its final disposition. Petitions Received; Dispositions of Airplane Group. DATE: Comments on petitions received Petitions Issued Sections of the FAR Affected: 14 CFR must identify the petition docket AGENCY: Federal Aviation 25.785(b) and 25.562. number involved and must be received Administration (FAA), DOT. Description of Relief Sought: To on or before December 3, 1996. ACTION: Notice of petitions for permit a stowable hospital berth ADDRESS: Send comments on any exemption received and of dispositions installation, for non-ambulatory petition in triplicate to: Federal of prior petitions. persons, be exempt from compliance Aviation Administration, Office of the with all dynamic testing and personal Chief Counsel, Attn: Rule Docket (AGC– SUMMARY: Pursuant to FAA’s rulemaking injury requirements defined in the 200), Petition Docket No. lll, 800 provisions governing the application, preceding affected sections, for the 58278 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices

Boeing Model 777–200 and –300 DEPARTMENT OF THE TREASURY separate notice published by the Board airplanes. of Governors of the Federal Reserve Fiscal Service System. [FR Doc. 96–29070 Filed 11–12–96; 8:45 am] BILLING CODE 4910±13±M 1997 Fee Schedule for the Transfer of The following is the Treasury fee U.S. Treasury Book-Entry Securities schedule that will be effective January 1, Held at Federal Reserve Banks 1997, for the Treasury book-entry Surface Transportation Board transfer service: AGENCY: Bureau of the Public Debt, Fiscal Service, Department of the EE CHEDULE [STB Finance Docket No. 33265] 1997 F S Treasury. ACTION: Notice. Cost Morris Leasing Co., Ltd. and Michigan per Southern Railroad, Inc.ÐAcquisition SUMMARY: The Department of the trans- and Operation ExemptionÐLines of Treasury is announcing the schedule of fer Consolidated Rail Corporation fees to be charged in 1997 on the On-line transfers originated ...... $1.65 transfer of book-entry Treasury Morris Leasing Co., Ltd. (Morris On-line reversal transfers received 1.65 securities between depository Off-line transfers originated ...... 9.40 Leasing) and Michigan Southern institution accounts maintained at Off-line transfers received ...... 9.40 Railroad, Inc. (Michigan Southern), Federal Reserve Banks and Branches, as Off-line reversal transfers received 9.40 Class III rail carriers, have filed a notice well as transfers to and from Federal of exemption under 49 CFR 1150.41 to Reserve Bank accounts. Dated: November 6, 1996. acquire and operate 10.9 miles of rail EFFECTIVE DATE: January 1, 1997. Gerald Murphy, lines of Consolidated Rail Corporation: FOR FURTHER INFORMATION CONTACT: Carl Fiscal Assistant Secretary. (1) between milepost No. 119.0 and M. Locken, Jr., Assistant Commissioner [FR Doc. 96–29072 Filed 11–12–96; 8:45 am] milepost No. 120.1, at or near (Financing), Bureau of the Public Debt, BILLING CODE 4810±35±P Kendallville, Noble County, IN, (a Room 534, E St. Building, Washington, portion of the GR&I Industrial Track); D.C. 20239–0001, telephone (202) 219– and (2) between milepost No. 0.0 and 3350. Internal Revenue Service milepost No. 9.8, at or near Elkhart, Diane M. Polowczuk, Government Elkhart and St. Joseph Counties, IN, (a Securities Specialist, Bureau of the Proposed Collection; Comment portion of the E&W Secondary Track). Public Debt, Room 534, E St. Building, Request for Form 4810 Michigan Southern will be the operator Washington, D.C. 20239–0001, of the lines. telephone (202) 219–3350. AGENCY: Internal Revenue Service (IRS), Treasury. The transaction was expected to be SUPPLEMENTARY INFORMATION: On consummated on November 1, 1996. October 1, 1985, the Department of the ACTION: Notice and request for Treasury established a fee schedule for comments. If the notice contains false or the transfer of Treasury book-entry misleading information, the exemption securities between one book-entry SUMMARY: The Department of the is void ab initio. Petitions to revoke the account to another book-entry account Treasury, as part of its continuing effort exemption under 49 U.S.C. 10502(d) of the same depository institution, and to reduce paperwork and respondent may be filed at any time. The filing of between the accounts of one depository burden, invites the general public and a petition to revoke does not institution and the accounts of another other Federal agencies to take this automatically stay the transaction. depository institution that maintain opportunity to comment on proposed An original and 10 copies of all their accounts at Federal Reserve Banks and/or continuing information pleadings, referring to STB Finance and Branches. This fee schedule also collections, as required by the Docket No. 33265, must be filed with applies to the book-entry transfer of Paperwork Reduction Act of 1995, the Surface Transportation Board, Office securities between depository Public Law 104–13 (44 U.S.C. of the Secretary, Case Control Branch, institution accounts and Federal 3506(c)(2)(A)). Currently, the IRS is 1201 Constitution Avenue, N.W., Reserve Bank accounts. soliciting comments concerning Form Based on the latest review of book- Washington, DC 20423. In addition, a 4810, Request for Prompt Assessment entry costs and volumes, the Treasury copy of each pleading must be served Under Internal Revenue Code Section has decided that the fees for securities 6501(d). on: Thomas F. McFarland, Jr., Esq., transfers in 1997 should remain McFarland & Herman, 20 North Wacker unchanged from the levels currently in DATES: Written comments should be Drive, Suite 1330, Chicago, IL 60606– effect. received on or before January 13, 1997 2902. Telephone: (312) 236–0204. The fees described in this notice to be assured of consideration. apply only to the transfer of Treasury Decided: November 5, 1996. ADDRESSES: Direct all written comments By the Board, David M. Konschnik, book-entry securities. The Federal to Garrick R. Shear, Internal Revenue Director, Office of Proceedings. Reserve System assesses the fees to Service, room 5571, 1111 Constitution recover the costs associated with the Avenue NW., Washington, DC 20224. Vernon A. Williams, processing of the funds component of Secretary. Treasury book-entry transfer messages, FOR FURTHER INFORMATION CONTACT: [FR Doc. 96–29016 Filed 11–12–96; 8:45 am] as well as the costs of providing book- Requests for additional information or BILLING CODE 4915±00±P entry services for Government agencies. copies of the information collection Information concerning book-entry should be directed to Carol Savage, transfers of government agency (202) 622–3945, Internal Revenue securities, which are priced by the Service, room 5569, 1111 Constitution Federal Reserve System, is set out in a Avenue NW., Washington, DC 20224. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices 58279

SUPPLEMENTARY INFORMATION: Approved: November 6, 1996. Type of Review: Extension of OMB Garrick R. Shear, approval. Title: Request for Prompt Assessment IRS Reports Clearance Officer. Affected Public: Business or other for- Under Internal Revenue Code Section profit organizations. 6501(d). [FR Doc. 96–29056 Filed 11–12–96; 8:45 am] BILLING CODE 4830±01±P Estimated Number of Respondents: OMB Number: 1545–0430. 743. Form Number: Form 4810. Estimated Time Per Respondent: 3 Abstract: Fiduciaries representing a [EE±147±87] hours, 55 minutes. dissolving corporation or a decedent’s Estimated Total Annual Burden Proposed Collection; Comment estate may request a prompt assessment Hours: 2,907. Request For Regulation Project of tax under Internal Revenue Code The following paragraph applies to all section 6501(d). Form 4810 is used to AGENCY: Internal Revenue Service (IRS), of the collections of information covered help locate the return and expedite the Treasury. by this notice: processing of the taxpayer’s request. ACTION: Notice and request for An agency may not conduct or Current Actions: There are no changes comments. sponsor, and a person is not required to being made to the form at this time. respond to, a collection of information SUMMARY: Type of Review: Extension of a The Department of the unless the collection of information currently approved collection. Treasury, as part of its continuing effort displays a valid OMB control number. to reduce paperwork and respondent Books or records relating to a collection Affected Public: Individuals or burden, invites the general public and households, business or other for-profit of information must be retained as long other Federal agencies to take this as their contents may become material organizations, farms, and the Federal opportunity to comment on proposed Government. in the administration of any internal and/or continuing information revenue law. Generally, tax returns and Estimated Number of Respondents: collections, as required by the tax return information are confidential, 4,000. Paperwork Reduction Act of 1995, as required by 26 U.S.C. 6103. Estimated Time Per Respondent: 30 Public Law 104–13 (44 U.S.C. Request for Comments: Comments minutes. 3506(c)(2)(A)). Currently, the IRS is submitted in response to this notice will Estimated Total Annual Burden soliciting comments concerning an be summarized and/or included in the Hours: 2,000. existing final regulation, EE–147–87 (TD request for OMB approval. All The following paragraph applies to all 8376), Qualified Separate Lines of comments will become a matter of of the collections of information covered Business (§§ 1.414(r)–3, 1.414(r)–4, and public record. Comments are invited on: by this notice: 1.414(r)–6). (a) whether the collection of information An agency may not conduct or DATES: Written comments should be is necessary for the proper performance sponsor, and a person is not required to received on or before January 13, 1997 of the functions of the agency, including respond to, a collection of information to be assured of consideration. whether the information shall have unless the collection of information ADDRESSES: Direct all written comments practical utility; (b) the accuracy of the displays a valid OMB control number. to Garrick R. Shear, Internal Revenue agency’s estimate of the burden of the Books or records relating to a collection Service, room 5571, 1111 Constitution collection of information; (c) ways to of information must be retained as long Avenue NW., Washington, DC 20224. enhance the quality, utility, and clarity as their contents may become material FOR FURTHER INFORMATION CONTACT: of the information to be collected; (d) in the administration of any internal Requests for additional information or ways to minimize the burden of the revenue law. Generally, tax returns and copies of the information collection collection of information on tax return information are confidential, should be directed to Carol Savage, respondents, including through the use as required by 26 U.S.C. 6103. (202) 622–3945, Internal Revenue of automated collection techniques or REQUEST FOR COMMENTS: Comments Service, room 5569, 1111 Constitution other forms of information technology; submitted in response to this notice will Avenue NW., Washington, DC 20224. and (e) estimates of capital or start-up costs and costs of operation, be summarized and/or included in the SUPPLEMENTARY INFORMATION: request for OMB approval. All maintenance, and purchase of services Title: Qualified Separate Lines of to provide information. comments will become a matter of Business. public record. Comments are invited on: OMB Number: 1545–1221. Approved: November 6, 1996. (a) whether the collection of information Regulation Project Number: EE–147– Garrick R. Shear, is necessary for the proper performance 87 (Final). IRS Reports Clearance Officer. of the functions of the agency, including Abstract: Section 414(r) of the Internal [FR Doc. 96–29057 Filed 11–12–96; 8:45 am] whether the information shall have Revenue Code requires that employers BILLING CODE 4830±01±P practical utility; (b) the accuracy of the who wish to test their qualified agency’s estimate of the burden of the retirement plans on a separate line of collection of information; (c) ways to business basis, rather than on a Office of Thrift Supervision enhance the quality, utility, and clarity controlled group basis, provide notice to [AC±51; OTS No. 3507] of the information to be collected; (d) the IRS that the employer treats itself as ways to minimize the burden of the operating qualified separate lines of Advance Financial Savings Bank, collection of information on business. Additionally, an employer f.s.b., Wellsburg, WV; Approval of respondents, including through the use may request an IRS determination that Conversion Application of automated collection techniques or such lines satisfy administrative other forms of information technology; scrutiny. This regulation elaborates on Notice is hereby given that on and (e) estimates of capital or start-up the notice requirement and the November 5, 1996, the Director, costs and costs of operation, determination process. Corporate Activities, Office of Thrift maintenance, and purchase of services Current Actions: There is no change to Supervision, or her designee, acting to provide information. this existing regulation. pursuant to delegated authority, 58280 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Notices approved the application of Advance By the Office of Thrift Supervision. application of Empire Federal Savings Financial Savings Bank, f.s.b., Nadine Y. Washington, and Loan Association of Livingston, Wellsburg, West Virginia, to convert to Corporate Secretary. Livingston, Montana, to convert to the the stock form of organization. Copies of [FR Doc. 96–28942 Filed 11–12–96; 8:45 am] stock form of organization. Copies of the the application are available for BILLING CODE 6720±01±M application are available for inspection inspection at the Dissemination Branch, at the Dissemination Branch, Office of Office of Thrift Supervision, 1700 G Thrift Supervision, 1700 G Street, N.W., [AC±50; OTS No. 0756] Street, N.W., Washington, D.C. 20552, Washington, D.C. 20552, and the West Regional Office of Thrift Supervision, 1 and the Northeast Regional Office, Empire Federal Savings and Loan Montgomery Street, Suite 400, San Office of Thrift Supervision, 10 Association of Livingston, Livingston, Francisco, California 94104. Exchange Place, 18th Floor, Jersey City, Montana; Approval of Conversion New Jersey 07302. Application Dated: November 6, 1996. By the Office of Thrift Supervision. Dated: November 6, 1996. Notice is hereby given that on October 30, 1996, the Director, Corporate Nadine Y. Washington, Activities, Office of Thrift Supervision, Corporate Secretary. or her designee, acting pursuant to [FR Doc. 96–28941 Filed 11–12–96; 8:45 am] delegated authority, approved the BILLING CODE 6720±01±M 58281

Corrections Federal Register Vol. 61, No. 220

Wednesday, November 13, 1996

This section of the FEDERAL REGISTER DEPARTMENT OF DEFENSE TABLE 2.ÐLOCATIONS WITH RECOVERED CHEM- contains editorial corrections of previously ICAL WARFARE MATERIEL AND RESEARCH, published Presidential, Rule, Proposed Rule, Department of the Army DEMONSTRATION, TESTING, AND EVALUATION and Notice documents. These corrections are MATERIEL1ÐContinued prepared by the Office of the Federal Programmatic Environmental Impact ***** Register. Agency prepared corrections are Statement: Destruction of Non- issued as signed documents and appear in Stockpile Chemical Warfare Materiel 1 Based on a U.S. Army Non-Stockpile the appropriate document categories Containing Chemical Agent Chemical Materiel Program Survey and Analy- elsewhere in the issue. sis Report, November 1993 updated data Correction base which is unpublished. In notice document 96–26343 BILLING CODE 1505±01±D DEPARTMENT OF AGRICULTURE beginning on page 54421 in the issue of Friday, October 18, 1996, make the Food and Consumer Service following corrections: ENVIRONMENTAL PROTECTION 1. On page 54421, in the 2d column, AGENCY 7 CFR Parts 271, 272, and 273 in the SUMMARY, in the 2d paragraph, in 40 CFR Part 52 the 19th line, after ‘‘(NSCM)’’ remove all [Amendment No. 375] text down through ‘‘CWM’’ in the fourth [AZ 58±1±7131±a; FRL±5634±4] line from the bottom of the third RIN 0584±AB76 column. Arizona Redesignation of the Yavapai- 2. On page 54423, in Table 1, the Apache Reservation to a PDS Class I Correction following entries should appear as set Area forth below: In rule document 96–26072, Correction beginning on page 54270, in the issue of TABLE 1.ÐLOCATIONS WITH KNOWN OR POS- In rule document 96–27849, Thursday, October 17, 1996, make the SIBLE BURIED CHEMICAL WARFARE MATERIEL1 following corrections: beginning on page 56461, in the issue of Friday, November 1, 1996, make the 1. On page 54278, in the third following correction: column, under Implementation, in the ***** first paragraph, in the ninth line, ‘‘June Indiana: § 52.150 [Corrected] Camp Atterbury 30’’ should read ‘‘March 1’’. Naval Surface Warfare Center, Crane Divi- On page 56470, in the first column, § 272.1 [Corrected] sion under Subpart D, ‘‘§ 150’’ should read Newport Chemical Activity ‘‘§ 52.150’’. 2. On page 54279, in the second BILLING CODE 1505±01±D column, in § 272.1(g)(151), in the eighth ***** and in the last line from the bottom, New Jersey: ‘‘June 30, 1997’’ should read ‘‘March 1, Fort Hancock 1997’’. Naval Air Warfare Center, Lakehurst DEPARTMENT OF DEFENSE Raritan Arsenal BILLING CODE 1505±01±D Department of the Army ***** Availability of Non-Exclusive, DEPARTMENT OF AGRICULTURE 1 Based on a U.S. Army Non-Stockpile Chemical Materiel Program Survey and Analy- Exclusive, or Partially Exclusive sis Report, November 1993 updated data Licensing of Tank Weapon Technology Forest Service base which is unpublished. AGENCY: Picatinny Arsenal, New Jersey, 36 CFR Part 223 3. On the same page, in Table 2, the DOA, DOD. following entries should appear as set ACTION: Notice. RIN 0596±AB41 forth below: SUMMARY: TABLE 2.ÐLOCATIONS WITH RECOVERED CHEM- The Department of the Army Sale and Disposal of National Forest ICAL WARFARE MATERIEL AND RESEARCH, announces the general availability of Timber; Indices To Determine Market- DEMONSTRATION, TESTING, AND EVALUATION exclusive, partially exclusive or non- Related Contract Term Additions MATERIEL1 exclusive Licenses under the patents, patent applications, and other Correction technology as shown on the attached In proposed rule document 96–26755, ***** list. Licenses shall comply with 35 Colorado: U.S.C. 209 and 37 CFR 404. beginning on page 54589, in the issue of Pueblo Army Activity FOR FURTHER INFORMATION CONTACT: Monday, October 21, 1996, make the Rocky Mountain Arsenal following correction: Johnston Island Mr. Edward Goldberg, Chief, Intellectual On page 54589, in the third column, Property Law Division, AMSTA–AR– in the Dates: section, ‘‘November 20, GCL, U.S. Army ARDEC, Picatinny 1996’’ should read ‘‘January 21, 1977’’. Arsenal, NJ 07806–5000, telephone number (201) 724–6950. BILLING CODE 1505±01±D 58282 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Corrections

SUPPLEMENTARY INFORMATION: Written objections must be filed within 3 months from the date of publication of this notice in the Federal Register. Gregory D. Showalter, Army Federal Register Liaison Officer. [FR Doc. 96–28994 Filed 11–12–96; 8:45 am] BILLING CODE 3710±08±M federal register November 13,1996 Wednesday Rule Islands, andtheTerritoryofGuam;Final Commonwealth oftheNorthernMariana Territory ofAmericanSamoa,the Clean AirActRequirementsforthe Final ConditionalSpecialExemptionFrom 40 CFRPart69 Protection Agency Environmental Part II 58283 58284 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations

ENVIRONMENTAL PROTECTION FOR FURTHER INFORMATION CONTACT: goals of title V by developing an AGENCY Norm Lovelace (telephone 415/744– alternate operating permit program. EPA 1599, fax 415/744–1604), Chief, Office is now granting the government of 40 CFR Part 69 of Pacific Islands and Native American Guam an exemption from the Programs, or Sara Bartholomew requirement to adopt a title V program [AD-FRL±5645±1] (telephone 415/744–1250, fax 415/744– on the condition that Guam adopt and 1076), Operating Permits Section, Air implement a local alternate operating Final Conditional Special Exemption and Toxics Division, at the EPA-Region permit program. From Requirements of the Clean Air IX address listed above. In the proposal, EPA also proposed granting American Samoa and CNMI Act for the Territory of American I. Background Samoa, the Commonwealth of the exemptions from the requirement to Northern Mariana Islands, and the Section 325(a) of the Act authorizes implement a title V permit program and Territory of Guam the Administrator of EPA, upon petition proposed granting owners or operators by the Governor, to exempt any person of certain sources subject to title V a AGENCY: Environmental Protection or source or class of persons in Guam, similar exemption from the requirement Agency (EPA). American Samoa, and CNMI from any to apply for a title V permit. Today’s ACTION: Direct final rule. requirement of the Act except for direct final rule exempts both American requirements of Section 110 and Part D Samoa and CNMI from the requirement SUMMARY: The EPA is promulgating a of subchapter I of the Act (where to adopt a title V program on the direct final rule conditionally necessary to attain and maintain the condition that American Samoa and exempting the Territory of American National Ambient Air Quality Standards CNMI adopt and implement programs to Samoa (American Samoa), the (NAAQS), and Section 112. Such permit stationary sources and programs Commonwealth of the Northern Mariana exemption may be granted if the to protect the NAAQS. The programs to Islands (CNMI), and the Territory of Administrator finds that compliance protect the NAAQS are described in the Guam (Guam), as well as certain owners with such requirement is not feasible or proposal and the petitions. and operators of sources in American is unreasonable due to unique EPA is also granting owners or Samoa, CNMI and Guam from the geographical, meteorological, or operators of certain sources on requirements of title V of the Clean Air economic factors of such territory, or American Samoa, CNMI, and Guam a Act (Act). EPA is revising its September such other local factors as the conditional exemption from the 13, 1995 proposed rule with respect to Administrator deems significant. requirement to apply for a federal title Guam. In the proposed action, EPA The Governors of American Samoa, V operating permit under part 71. This granted American Samoa and CNMI, as CNMI, and Guam each submitted a rulemaking does not waive part 71 well as owners and operators of certain petition pursuant to section 325(a) of permitting requirements for owners or sources within those territories, a the Act for an exemption from title V of operators of solid waste incinerators conditional exemption from title V the Act. Title V requires states, required to obtain a title V operating requirements. In the proposal, EPA also including American Samoa, CNMI, and permit under section 129(e) of the Act granted Guam an extension of time in Guam, to adopt and submit to EPA a or of major sources under Section 112 which to adopt a title V permit program title V operating permit program for of the Act required to obtain title V and owners or operators of certain major sources and certain other permits. This rulemaking also does not sources an extension of time in which stationary sources. If any state does not waive or exempt the governments of to obtain title V permits. EPA has adopt an operating permit program, title Guam, American Samoa, or CNMI, or revised the proposal and today is V requires EPA to apply certain owners or operators of sources located promulgating a direct final rule that sanctions within that area and to in these territories, from complying with maintains the conditional exemptions promulgate, administer, and enforce a all other applicable Clean Air Act granted to American Samoa and CNMI federal operating permit program for provisions. and also conditionally exempts Guam such area. EPA proposed regulations to EPA is promulgating this action as a implement a federal operating permit from title V of the Clean Air Act. EPA direct final rule because the Agency program on April 27, 1995 (60 FR is granting these conditional exemptions views this as a noncontroversial action 20804) and promulgated the final rule under the authority of section 325 of the and anticipates no adverse comments. on July 1, 1996, at 40 CFR part 71 (61 In fact, the public comments received to Act. FR 34202) (part 71). Title V also requires date support granting an exemption DATES: The direct final rule for that sources located in states that do not from title V requirements. In the American Samoa, CNMI, and Guam is adopt a title V permitting program Proposed Rules Section of this Federal effective on January 13, 1997 unless obtain a federal operating permit from Register, however, EPA has also adverse or critical comments are the EPA. published a proposal that allows the received by December 13, 1996. If the On September 13, 1995, EPA issued a public 30 days to comment on the direct effective date is delayed, EPA will proposed rule (60 FR 47515) (the final rule for American Samoa, CNMI, publish a timely notice in the Federal proposal) in response to petitions from and Guam. If adverse comments are Register. the Governors of American Samoa, received during the comment period, ADDRESSES: Copies of the petitions, the Guam and CNMI. In the proposal, EPA EPA will publish a subsequent response to comments document, and granted the government of Guam a document in the Federal Register before other supporting information used in three-year extension of the deadlines for the effective date of the exemption and developing the final special exemption submitting a title V program and also will withdraw the direct final rule for are available for inspection during proposed granting certain sources on any territory for which adverse normal business hours at the following Guam a similar three-year extension of comments are received. All public location: Office of Pacific Islands and time in which to obtain title V permits. comments received will then be Native American Programs, US EPA- After the proposal, Guam submitted addressed by the Agency in a Region IX, 75 Hawthorne Street, San comments requesting an exemption and subsequent final rule based on this Francisco, California 94105. committed to achieving several of the action serving as a proposed rule. The Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58285

EPA will not institute a second instead. They commented that the costs B. Final Conditions for the Alternate comment period on this action. Any of the title V program would be an Operating Permit Programs for parties interested in commenting on this economic burden and would require American Samoa, CNMI, and Guam action should do so at this time. If no that GEPA develop additional technical The final requirements for each such comments are received, the public resources. They also stated that thirty alternate operating permit program is advised that this action will be local businesses would be required to address deficiencies in existing effective on January 13, 1997. pay $10,000 per year for the program. programs and generally reflect II. Final Action and Implications EPA believes that the alternate commitments made by the petitioners. program addresses concerns over the The conditions for Guam’s operating A. Conditional Approval of Guam’s permit program are similar to the Exemption Request program’s costs by allowing Guam flexibility to develop a less expensive conditions set forth in the proposal for the alternate operating permit programs 1. Guam’s Commitment Letter program based on local priorities. The for American Samoa and CNMI. The Administrator of the Guam alternate air operating permit program American Samoa and CNMI will also Environmental Protection Agency requires that Guam improve its air implement programs to monitor (GEPA) sent a letter to EPA on program and obtain additional technical compliance with the NAAQS and December 18, 1995. The GEPA resources, but allows Guam flexibility to Administrator committed to develop reduce emissions as necessary. Guam is reduce costs and address local needs. In not required to implement new and implement an alternate air addition, most of the local businesses operating permit program that addresses programs to protect ambient air quality cited in the comments, including standards if granted a title V exemption, many of the elements of a title V several with no emissions, would not program in exchange for an exemption because a previous waiver for Guam (see have been required to obtain a title V from title V. GEPA’s commitment letter 40 CFR 69.11) imposed similar permit because they are not major states that Guam would develop an requirements. The final conditions also alternate operating permit program that sources. include express terms clarifying that the would: (1) permit all major sources; (2) Two of the commenters also stated alternate program must require incorporate all applicable federal that air quality is pristine because Guam compliance certifications, include a requirements in permit conditions; (3) is an isolated island and that title V will system of regular inspections, and incorporate monitoring, recordkeeping not improve air quality. Guam has a provide that fees collected under the and reporting requirements in permit significant number of major sources of program are not used for other purposes. The provisions clarify that the permits conditions; (4) allow for public review criteria pollutants and hazardous air must be renewed periodically. In and comment; (5) enhance enforcement pollutants. While Guam is unlikely to addition, the final rule explicitly sets authorities, including civil and criminal suffer from or contribute to regional air penalties; (6) identify the resources forth EPA’s opportunity to review pollution problems due to its isolation, permits, which was previously included necessary to maintain an alternate these major sources can contribute to program; (7) permit existing major in the proposed conditions by reference localized air pollution problems. EPA to EPA’s general June 28, 1989 permit sources within three years; (8) conduct believes that a comprehensive regular inspections of permitted program guidelines. In order to address permitting program, such as title V, will sources; and (9) coordinate the local EPA’s concern that all owner or help ensure that local air quality is not program with EPA air programs. operators of sources subject to title V EPA continues to believe that degraded by improving compliance with permitting requirements eventually implementation of title V would applicable Clean Air Act requirements. obtain an operating permit, the enhance air quality by ensuring that a However, EPA is granting Guam exemptions for each territory provide comprehensive and effective permitting flexibility to demonstrate that a local instances in which the exemption will program is implemented. However, in alternate operating permit program expire by a certain date. First, the light of GEPA’s new commitment to would adequately protect air quality exemption will expire two (2) years after develop an alternate operating permit under Guam’s unique local the effective date of this rule if a program that encourages compliance circumstances. territory has not submitted an alternate and allows public participation, EPA is Two of the commenters also stated operating permit program to EPA by that time. Second, the exemption for owners allowing Guam the opportunity to that the title V permit program is or operators of sources subject to title V demonstrate that the proposed excessively intrusive to Guam’s requirements will expire six (6) years alternative operating permit program government because it requires that can meet title V’s goals. EPA is after the effective date of this rule for Guam Power Authority, which is any source subject to title V permitting promulgating an exemption for Guam operated by Guam’s government, obtain from the requirement to develop a title requirements that has not obtained a title V permits and pay title V fees. EPA V permitting program on the condition permit under an EPA approved alternate notes, however, that the Clean Air Act that Guam adopt and implement the permit program. If the exemption alternate operating permit program. requires that sources controlled by expires, the requirements of part 71 governments meet the same air quality apply. The exemptions for each territory 2. Additional Comments standards as other sources. Therefore, also include conditions when EPA will EPA received similar comments from sources controlled by Guam’s revoke the exemption in its entirety or four other commenters supporting the government or the U.S. government on a source specific basis. The Governor’s petition for an exemption for must obtain an operating permit under exemptions for American Samoa and Guam. Two commenters objected to the alternate operating permit program. CNMI have been revised to include EPA’s proposed requirement that Guam Please see the response to comments these clarifications and additions. implement title V within three years document in the docket for more details Without these ‘‘checks’’ to ensure that and requested that EPA grant an on the comments that were submitted sources will eventually be permitted exemption from the requirement to and EPA’s responses. through an adequate air operating develop a title V permit program permit program, EPA does not believe 58286 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations that it could allow the exemption from Authority (GPA) after an EPA programs are adequately funded and the title V requirements that it is enforcement action and claimed that that permit program funding is used granting today. ‘‘[t]here is no environmental benefit to solely for the permit program. While the be gained from a repeat of the same alternate programs will impose lower 1. Inspections exercise.’’ costs than title V programs, adequate Guam’s conditional exemption EPA believes that a one-time funding will still be necessary to requires that Guam implement a system confidential audit cannot achieve the develop and implement the alternate of regular inspections of permitted same compliance benefits as a programs. The alternate operating sources and a system to identify any comprehensive and ongoing permitting permit programs and the NAAQS unpermitted major sources. 40 CFR Part program like title V. Title V improves programs for American Samoa and 70 requires that states adequately air quality by requiring that sources CNMI must also ensure that sufficient inspect and monitor sources identify their emissions, all applicable ongoing funding will be provided and (70.10(c)(iii)), and EPA believes that the requirements, and their compliance not diverted from the program. These inspections required under title V are status with each such requirement. safeguards are necessary to ensure that also essential for the success of the Furthermore, permit holders agree to funds committed to the permit program alternate operating permit programs. remedy any noncompliance through a and used as the basis for EPA approval Guam does not currently have a compliance schedule, continue to meet will be used to support the air program. program for routinely inspecting air applicable Clean Air Act obligations in pollution sources, but GEPA committed the future, and inform the public of 4. EPA Review and Objection to implement a system of regular their compliance status. (40 CFR EPA is replacing the review inspections as part of the alternate 70.5(c)(8) and (9), 70.5(d), and 70.6(c)). requirements that were included in the operating permit program in its State implementation of title V proposal by reference to June 28, 1989 December 18, 1995 letter. EPA programs has already created numerous guidance (see 54 FR 27282) with understands this commitment to mean examples of the program’s value in explicit provisions that allow EPA the that Guam will provide adequate identifying ongoing compliance opportunity to comment on and object inspector staff and training and develop problems and prompting action to to permits that do not conform to the appropriate internal procedures to resolve these problems. EPA is alternate operating permit program inspect all permitted sources. EPA also clarifying that the alternate local requirements. EPA will object to draft expects that Guam will develop programs must require that sources permits that are not consistent with the appropriate guidelines for responding to submit initial compliance certifications approved alternate operating permit violations that are discovered. EPA will and plans with permit applications and program and the 40 CFR part 69 assist Guam by providing guidance and regular compliance certifications at least exemption conditions, including manuals for inspecting permitted annually thereafter to provide air permits that do not contain the correct sources. quality benefits and protect the public’s applicable requirements and emission EPA is modifying the conditions set right to know of any Clean Air Act limits or are not issued through the forth in the proposal for American violations. correct procedures. If EPA objects to a Samoa and CNMI to explicitly require EPA is modifying the conditions set permit, the permit must be revised to that these territories also implement a forth in the proposal for American address EPA’s concerns prior to system of regular inspections. EPA Samoa and CNMI to explicitly require issuance or it will not be considered a believes that inspections will be equally compliance certifications, plans, and valid federally enforceable permit that important for these air quality programs, schedules for the same reasons. The complies with the conditions of the and the proposal for American Samoa proposal required that permits be exemption and an alternate operating and CNMI implicitly required enforceable and that they provide for permit program approved by EPA. In inspections and appropriate responses monitoring, recordkeeping, and such a situation, the source must obtain to violations to ensure compliance with reporting that would assure compliance a permit that resolves EPA’s objections all applicable requirements. After with applicable requirements. EPA or the source and the permitting considering Guam’s comments and the believes that the conditions set forth in authority (Guam, CNMI or American need for inspections on Guam, EPA has the proposal would require that sources Samoa) will no longer meet the decided to include this requirement as report and correct violations to assure conditions of the exemption with an explicit provision of each waiver. compliance with applicable respect to that permit. If EPA objects to requirements. However, Guam’s a permit, EPA will notify the permitting 2. Compliance Certifications comment shows that explicit guidance authority of its objections and send a EPA is requiring that Guam’s alternate is necessary to clarify this requirement copy to the permit applicant. The operating permit program require and ensure that compliance permitting authority will have 180 days sources to submit compliance certifications, plans, and schedules are to work with EPA to issue a revised certifications and compliance plans to submitted and that violations are permit that resolves EPA’s objections. If address noncompliance. The program corrected. EPA will provide examples of the territory does not issue a permit that shall also require that sources submit, as approved compliance certifications so resolves EPA’s objections within 180 part of the compliance plan, a schedule that the petitioners may use them as days, the exemption will be revoked for to expeditiously remedy any models for the alternate operating that source and the source will be noncompliance or achieve compliance permit programs. subject to the federal operating permit with promulgated regulations that have requirements of part 71. a future compliance date. The Governor 3. Resources EPA believes that this oversight role of Guam and R.W. Beck stated that the EPA is requiring that the petitioners will lead to the issuance of permits that compliance benefits of title V will be develop appropriate mechanisms to both EPA and the permitting authority achieved without implementing the provide adequate funding for the local agree comply with the exemption, the compliance requirements of title V. alternate air permit programs. Most approved alternate operating permit They cited an environmental audit states have created a special fund to program and all applicable conducted by the Guam Power ensure that title V operating permit requirements. The petitioners all stated Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58287 that they currently lack the technical under section 40 CFR 70.7, which it date of this rulemaking, the exemption resources to issue comprehensive finds is a reasonable deadline for will expire for any source without a operating permits, and EPA oversight issuing corrected permits under the permit and that source will become will help them implement the alternate alternate operating permit programs. subject to the part 71 federal operating operating permit program. In addition, permit requirements. The six year date 6. Revocation, Expiration or federal review will help prevent any is based on similar deadlines set forth Modification of Exemption perception of bias when government in Title V of the Clean Air Act for power plants are permitted by This rulemaking establishes the submittal and approval of the operating essentially the same organization that conditions for which the exemption for permit program and issuance of permits operates them. Therefore, EPA oversight Guam, American Samoa, or CNMI will to all sources. These expiration and will assist the implementation of the expire or will be revoked or modified, revocation provisions will not apply to alternate permitting programs. Finally, and explains the appropriate any source that has obtained an EPA believes that oversight during the administrative mechanism. First, the operating permit through an alternate permit process will reduce subsequent exemption for any territory will expire operating permit program approved by disputes between EPA, sources, and two years after the effective date of this EPA within the six year deadline. This each territory over permit terms and rule without further rulemaking unless requirement provides a backstop for conditions. Therefore, EPA is including the territory submits an alternate assuring that all subject sources will a condition in the exemption that EPA operating permit program by the date have a means for applying for an will have a review period in which to specified in the rule. The program operating permit no later than six years object to permits that EPA believes do should substantively address each from today. not comply with the alternate program. requirement of the exemption. If a These new termination/revocation program is not submitted by the provisions are necessary to fill gaps that 5. Renewals and Reopening for Cause deadlines set forth in this rule, part 71 existed in the proposal. With these EPA is requiring each territory to will become effective for the territory on procedures EPA will ensure that all include a provision in the alternate that date. As set forth in Section E, owners or operators of subject sources operating permit program for permit below, American Samoa and CNMI are that would have been required to obtain renewal within five years of issuance. required by this rule to conduct a Title V permit will eventually be Regular renewals will be necessary to modeling and to submit any State permitted under an approved program. incorporate any new or revised Implementation Plan (SIP) revision These provisions will also ensure that requirements, add or remove necessary to address compliance with all owners and operators of subject compliance schedules, and keep permits the NAAQS. For American Samoa, the sources will apply for an operating current. The petitioners may choose to exemption will also expire if American permit by a date certain so that no issue permits for any fixed duration that Samoa fails to submit air quality source goes unpermitted. does not exceed five years. modeling and supporting data within EPA may determine in the future that EPA is also requiring that each two years of the effective date of this the implementation of a title V alternate program allows each petitioner rule. For CNMI the exemption will permitting program or the modification to reopen permits for cause. For expire if CNMI fails to submit a SIP to of the exemption is necessary to ensure instance, an application may contain assure compliance with the NAAQS for compliance with applicable Clean Air incorrect information or a permit may SO2, unless CNMI demonstrates within Act requirements and to protect air contain an incorrect applicability one year through additional modeling quality. If EPA determines that determination or other material mistake. and site specific meteorological data revocation or modification of the In addition, a new or revised applicable that the NAAQS for SO2 is protected. exemption is necessary due to changed requirement may be substantially If an alternate program is submitted circumstances or other causes, EPA will inconsistent with a permit that would by the deadline, the exemption will conduct a rulemaking to revoke or not otherwise be updated for up to five continue while EPA reviews the modify the exemption. In this case the years. Petitioners should reopen permits program to determine if it qualifies for exemption and its conditions will to incorporate new requirements in such approval. EPA will approve the program remain effective until EPA has situations if, in their estimation, there is and provide notice of the approval in completed its rulemaking. a substantial amount of time remaining the Federal Register if the program in the permit term. Therefore, EPA is meets the conditions of the exemption 7. Federal Enforceability requiring that each territory and EPA and will disapprove the program and In order for EPA to authorize an have authority to reopen permits that revoke the exemption by rulemaking if exemption for each territory as set forth are not consistent with the Act. The it does not. In addition, EPA may revoke in this rule, EPA must ensure that program must provide for notice to the or modify the conditional exemption permits issued under the alternate permittee and the public when a permit through rulemaking if the permitting programs required by this rule are is reopened in this manner. Consistent authority does not adequately federally enforceable. This is consistent with the requirements for EPA objection implement and enforce the alternate with the title V permit program and is discussed above, if EPA determines that program. an important component to assure that cause exists for reopening a permit EPA is including additional each territory attains and/or maintains issued to a source (i.e. the permit is procedures for expiration or revocation compliance with the NAAQS. inconsistent with the applicable of the exemption in this rulemaking to Therefore, EPA is requiring, as a requirements and the terms of this assure that all sources will eventually condition of the exemptions authorized exemption), and the permitting agency obtain a valid federally enforceable in this rule, that each territory submit a does not issue a new permit that operating permit under either an revision to its SIP to make permits corrects the deficiency within 180 days approved alternate operating permit issued under an approved alternate of receiving EPA’s notice, EPA will program or part 71. First, if the local program federally enforceable. The SIP revoke the exemption and issue a permit agency fails to issue an operating permit revision should provide that a person under part 71. EPA is basing the 180 day under an approved alternate program to shall not violate any permit condition or deadline on the longest period allowed a source within six years of the effective term in a permit that has been issued 58288 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations under an alternate operating permit 1. Title V Permits currently lacks the technical resources program approved by EPA. As noted earlier, title V requires that to issue a title V permit. EPA published a Federal Register Notice on July 31, C. Implementation of Title V for EPA implement a federal operating 1996 (61 FR 39877, July 31, 1996), Hazardous Air Pollutant Sources and permitting program in any area that listing the state and local jurisdictions Solid Waste Incineration Units does not have an approved title V program (Section 502(e) of the Act, 42 where a Federal Operating Permits This action does not waive any title U.S.C. 7661(e)). The part 71 program at Program became effective on that day. V permitting requirement that applies to 40 CFR part 71 (61 FR 34202) became This notice included Guam, American major sources of hazardous air effective on July 31, 1996. EPA’s Samoa and CNMI. Applications for pollutants (HAPs) in American Samoa, proposal of September 13, 1995 required major sources of HAPs and solid waste CNMI, or Guam and is conditioned to that the existing major sources of HAPs, incinerators under part 71 are due to be address special concerns presented by and owners and operators of any new submitted to the permitting authority by the local impact of HAPs. Any source source on Guam subject to title V July 31, 1997, except for those major that would be subject to title V because because it is a major source under perchloroethylene dry cleaning it is a major source under Section 112 section 112, or a solid waste incinerator facilities, which are due by April 1, of the Clean Air Act or a solid waste subject to section 129, obtain title V 1997. incinerator regulated under section 129 permits under part 71. In the proposal 2. Case-By-Case Maximum Achievable of the Clean Air Act must obtain a title EPA requested comments on whether Control Technology (MACT) V permit under part 71. any existing municipal waste Determinations Any nonmajor source of hazardous air incinerators or major HAP sources on Section 112 MACT requirements for pollutants that is subject to a standard American Samoa and CNMI should be case-by-case MACT determinations or other requirement under Section 112 required to obtain title V permits under apply to major sources in certain may be subject to the requirement to part 71. No comments were received. situations where EPA has not obtain a title V permit. Currently, the EPA has decided that the exemptions promulgated an applicable MACT requirement to obtain a title V permit for Guam, American Samoa, and CNMI standard. Section 112 (j) requires that has been deferred for such sources, as authorized in today’s action do not where EPA has missed a deadline for noted in each applicable standard 1. If at apply to these solid waste incinerators promulgating a section 112(d) standard any time in the future EPA requires and major HAP sources and that owners then any major source of HAPs in the these nonmajor sources of HAPs to or operators of these sources must applicable source category must submit obtain a title V permit, it is EPA’s intent obtain part 71 permits. This final rule an application for a case-by-case MACT that these nonmajor sources be will ensure that section 112 standards determination within 18 months of the permitted under the local alternate that apply to major sources of HAPs are missed deadline. Section 112(g) sets permitting program authorized by appropriately implemented through the forth certain case-by-case MACT today’s rule. Sources subject to Section title V operating permit program. requirements for newly constructed or 112 standards under 40 CFR part 63 Section 112 of the Clean Air Act reconstructed sources. These should refer to the applicable subpart of recognizes that HAP sources can have a requirements apply to all major sources part 63 for the dates required for significant impact on human health of HAPs in American Samoa, CNMI, and submission of permit applications. regardless of geographic location, and Guam after the effective date of part 71. section 325 of the Act explicitly The regulations implementing 112(j) 1 On June 3, 1996, EPA published in the Federal prohibits waivers from section 112 at 40 CFR part 63, subpart B, apply as Register (61 FR 27785) an amendment to certain requirements. Because sections 112 and of the effective date of part 71 (July 31, hazardous air pollutant standards for Chromium Electroplating and Chromium Anodizing Tanks 129 generally rely on an effective title V 1996), but the petitioners’ source (subpart N); Ethylene Oxide Commercial permitting program to ensure that the inventories indicate that there are no Sterilization and Fumigation Operations (subpart standards are implemented correctly major sources that are subject to 112(j) O); Perchloroethylene Dry Cleaning Facilities and HAP reductions are achieved, EPA at this time. Should any source be (subpart M); and Secondary Lead Smelting (subpart X). In that action, EPA amended the requirement in believes that sources subject to section subject to this requirement, EPA will each of these rules that required nonmajor sources 129 and major sources of HAPs must use part 71 permit applications as the (emitting or having the potential to emit less than have title V permits. Several sources on compliance mechanism for 10 tons per year of any hazardous air pollutant or Guam currently subject to Section 112 implementing these case-by-case MACT less than 25 tons per year of any combination of hazardous air pollutants) to obtain Title V permits. standards did not meet the deadline for approvals, as the petitioners have For certain of these nonmajor sources, the rules submitting initial applicability demonstrated that they lack the have been amended to allow the permitting notifications to EPA. EPA believes that technical resources to conduct such a authority the option of deferring the requirement to expeditious compliance with title V will determination. obtain a title V permit for 5 years. Certain nonmajor sources subject to subpart N of part 63 (Chromium resolve any potential applicability EPA recently reopened the comment Anodizing Tanks) that are not located at major questions or compliance problems for period and published a notice of sources are permanently exempted from the title V sources and that waiving title V availability of a draft rule implementing requirement to obtain a title V permit consistent for these sources could result in Section 112(g) (61 FR 13125, March 26, with 40 CFR § 63.340(e)(1) (61 FR 27787, June 3, 1996). Any nonmajor batch cold solvent cleaning confusion and greater emissions of 1996). After the 112(g) regulation machines subject to subpart T of part 63 HAPs. EPA believes that regulating becomes effective, any newly (Halogenated Solvent Cleaners) that are not located these sources under title V will not constructed or reconstructed major at major sources are permanently exempted from impose an undue burden, because, as source of HAPs in each territory must the requirement to obtain a title V permit consistent with 40 CFR § 63.468(j) (59 FR 61801, December 2, noted above, EPA has deferred comply with a MACT level of control. 1994). For any other nonmajor solvent cleaning nonmajor HAP sources from the This will be determined on a case-by- machines subject to subpart T of part 63 requirement to obtain a title V permit. case basis when no applicable standard (Halogenated Solvent Cleaners) that are not located EPA will be the permitting authority has been promulgated by EPA. Any new at major sources, the rules have been amended to allow the permitting authority the option of and will issue title V permits to these source subject to section 112(g) must deferring the requirement to obtain a title V permit sources under part 71, as each of the apply for case-by-case MACT approval for 5 years (59 FR 61801, December 2, 1994). petitioners has demonstrated that it after the effective date of the regulation. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58289

Other section 112 requirements, such III. Administrative Requirements List of Subjects in 40 CFR Part 69 as 112(d) MACT standards, A. Executive Order 12866 Environmental protection, automatically apply to all HAP sources Administrative practice and procedure, in American Samoa, CNMI, and Guam. The Office of Management and Budget Air pollution control, Hazardous air This exemption does not waive any has exempted this action from Executive pollutants, Intergovernmental relations, Section 112 requirements applicable to Order 12866 review. Nitrogen oxides, Operating permits, any sources; this rule only exempts the B. Regulatory Flexibility Act Reporting and recordkeeping nonmajor sources from the requirement requirements, Sulfur dioxide, Volatile to obtain a part 71 permit. This action under section 325 of the organic compounds. EPA’s proposal required that Act does not impose new requirements, Dated: October 28, 1996. American Samoa and CNMI develop an but allows local agencies flexibility to Carol M. Browner, implementation agreement with EPA reduce the impacts of title V on small Administrator. regarding hazardous air pollutant entities. Because this action does not sources, but EPA believes that the EPA’s impose any new requirements, and 40 CFR part 69 is amended as follows: implementation of part 71 (which merely approves requests for additional PART 69Ð[AMENDED] includes section 129(e) solid waste flexibility to meet existing requirements, incinerators and major HAP sources) it does not have a significant impact on 1. The authority citation for part 69 renders this agreement unnecessary as a a substantial number of small entities. continues to read as follows: waiver condition. Authority: Sec. 325, Clean Air Act, as C. Unfunded Mandates D. Effective Date of Title V Approval for amended (42 U.S.C. 7625–1). Under Section 202 of the Unfunded Other Programs Subpart AÐGuam Mandates Reform Act of 1995, signed In addition to sections 112(g) and into law on March 22, 1995, EPA must 2. Subpart A is amended by adding 112(j), the implementation of other prepare a budgetary impact statement to § 69.13 to read as follows: regulations may depend on the approval accompany any proposed or final rule date of a title V permitting program. For that includes a federal mandate that § 69.13 Title V conditional exemption. instance, EPA has considered may result in estimated costs to state, (a) Conditional exemption. In implementing 40 CFR part 64 local, or tribal governments in the response to a petition submitted by the compliance assurance monitoring aggregate; or to the private sector, of Governor of Guam and pursuant to through title V permitting programs, and $100 million or more. Under Section section 325(a) of the Clean Air Act (Act), other future regulations may also be 205, EPA must select the most cost- the Administrator of the United States implemented or triggered by the effective and least burdensome EPA (EPA) grants the following effective date of an approved title V alternative that achieves the objectives conditional exemptions: program. In this case, for sources that of the rule and is consistent with (1) Guam is exempted from the are not required to obtain a part 71 statutory requirements. Section 203 requirement to develop, submit for permit under today’s rule, the local requires EPA to establish a plan for approval, and implement an operating alternate operating permit programs, informing and advising any small permit program under title V of the after approval by EPA, will implement governments that may be significantly Clean Air Act on the condition that all applicable requirements, including or uniquely impacted by the rule. Guam meets the requirements of any part 64 monitoring rule. This rule paragraph (b) of this section and subject EPA has determined that this grants a conditional exemption to to the provisions of paragraphs (c) exemption does not include a federal owners and operators only from the through (e) of this section. mandate that may result in estimated requirement to obtain a title V permit (2) Except for sources listed under costs of $100 million or more to either and to each territory from the paragraph (a)(4) of this section, owners state, local, or tribal governments in the requirement to adopt a title V program. or operators of sources located in Guam aggregate, or to the private sector. This All sources on American Samoa, CNMI, subject to the operating permit federal action approves exemptions and Guam must comply with all other requirements of title V of the Clean Air requested to reduce the cost of applicable Clean Air Act provisions. For Act are exempt from the requirement to implementing the Clean Air Act. any requirement other than the case-by- apply for and obtain a title V operating Accordingly, this action will reduce case MACT requirement addressed permit, on the condition that the owner costs to state governments and the above that is implemented or triggered or operator of each such source must private sector. by an approved title V program, the apply for and obtain an operating permit implementation or trigger date is July D. Small Business Regulatory under an EPA approved alternate 31, 1996, the date individual sources Enforcement Fairness Act program that meets the requirements of became subject to part 71. paragraph (b) of this section and subject Under 5 U.S.C. 801(a)(1)(A) as added to the provisions of paragraphs (c) E. Air Quality Modeling and SIP by the Small Business Regulatory through (e) of this section. The owner or Submittals Enforcement Fairness Act of 1996, EPA operator of each such source shall apply In the proposal, EPA discussed submitted a report containing this rule for and obtain a permit under the potential problems with air quality on and other required information to the alternate operating permit program by American Samoa and CNMI and U.S. Senate, the U.S. House of the deadlines set forth in the approved required these territories to conduct Representatives and the Comptroller program, but in any event shall obtain modeling and make any SIP revision General of the General Accounting a permit no later than March 14, 2003. necessary to ensure compliance with the Office prior to publication of the rule in If the owner or operator of any source NAAQS. EPA is retaining the today’s Federal Register. This rule is has not obtained an operating permit requirements for American Samoa and not a ‘‘major rule’’ as defined by 5 under an alternate operating program CNMI set forth in the proposal for air U.S.C. 804(2). approved by EPA for Guam by March quality modeling and SIP submittals. Authority: 42 U.S.C. 7401–7671q. 14, 2003, the exemption for such source 58290 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations shall expire and the owner or operator provide that each permit contain a (8) The program shall include a of such source shall become subject to requirement that the owner or operator system of regular inspections of the permitting requirements of 40 CFR of a source submit annual compliance permitted sources, a system to identify part 71 on that date, consistent with certifications. The compliance any unpermitted major sources, and paragraph (d)(4) of this section. certification shall contain a compliance guidelines for appropriate responses to (3) Upon EPA approval of an alternate plan, and shall contain a schedule for violations. operating permit program adopted by expeditiously achieving compliance if (9) The program shall provide for the Guam in accordance with this § 69.13, a the source is not in compliance with all issuance of permits with a fixed term person shall not violate any permit applicable requirements. The program that shall not exceed five years. condition or term in a permit that has must provide that approval of a permit (10) The program shall allow Guam or been issued under such alternate permit with a compliance plan and schedule the EPA to reopen a permit for cause. program. does not sanction noncompliance. The program shall provide that if EPA (4) This exemption does not apply to (2) The program shall provide for the provides Guam with written notice that owners or operators of major sources of collection of fees from permitted a permit must be reopened for cause, hazardous air pollutants (HAPs) as sources or other revenues in an amount Guam shall issue a revised permit defined under section 112 of the Clean that will pay for the cost of operation of within 180 days (including public Air Act or to owners or operators of such a program and ensure that these notice and comment) that sufficiently solid waste incinerators subject to the funds are used solely to support the addresses EPA’s concerns. The program title V requirements of section 129(e) of program. shall provide that if Guam fails to issue the Act. Owners or operators of major (3) The program shall provide for a permit that resolves EPA’s concerns sources of HAPs or solid waste public notice and a public comment within 180 days, then EPA will incinerators shall be subject to the period of at least 30 days for each terminate, modify, or revoke and reissue requirements of 40 CFR part 71 and permit, significant permit modification, the permit under part 71 after providing shall apply for and obtain a part 71 and permit renewal, and shall include the permittee and the public with notice permit by the deadlines specified in 40 submittal to EPA of each permit, and opportunity for comment. (c) State Implementation Plan (SIP) CFR part 71. Any owner or operator of significant permit modification, and submittal. In conjunction with the a major source of HAPs subject to 40 permit renewal. submittal of the alternative operating CFR part 63, subpart B, shall submit a (4) The program shall provide EPA at permit program, Guam shall, no later timely part 71 permit application as least 45 days from receipt of a permit, than March 15, 1999 submit a revision required by 40 CFR part 71 and 40 CFR modification, or renewal for EPA review to its SIP that provides that a person part 63, subpart B, requesting a case-by- and objection prior to issuance. The shall not violate a permit condition or case section 112(g) or 112(j) Maximum program shall provide that if EPA term in an operating permit that has Achievable Control Technology (MACT) objects to a permit sent to EPA for been issued under an EPA approved determination. review, Guam cannot issue such permit (b) Requirements for the alternate alternate operating permit program until the permit is revised in a manner operating program. Guam shall develop adopted by Guam pursuant to the that resolves EPA’s objections. The and submit an alternate operating exemption authorized in this § 69.13. program shall provide that Guam will permit program (the program) to EPA for (d) Expiration and revocation of the have no more than 180 days to resolve approval. Upon approval by EPA, Guam exemption. This exemption shall expire EPA’s objections and that if the shall implement the program. The or may be revoked under the following objections are not resolved within that program, including the necessary circumstances: time period, EPA shall issue the permit statutory and regulatory authority, must (1) If Guam fails to submit an alternate under 40 CFR part 71. be submitted by March 15, 1999 for operating permit program by March 15, (5) The program shall provide that all approval. The submittal shall include 1999, the exemption shall automatically documents other than confidential the following elements: expire with no further rulemaking and (1) The program must contain business information will be made 40 CFR part 71 shall become effective regulations that ensure that: available to the public. for all subject sources in Guam on that (i) The permits shall include emission (6) The program shall provide Guam date. limits and standards, and other terms or with the authority to enforce permits, (2) In the event that EPA disapproves conditions necessary to ensure including the authority to assess civil Guam’s alternate operating permit compliance with all applicable federal and criminal penalties up to $10,000 per program because the program does not requirements, as defined under 40 CFR day per violation and to enjoin activities meet the requirements set forth in 70.2. that are in violation of the permit, the paragraph (b) of this section, EPA will (ii) The limitations, controls, and program, or the Act without first revoke the exemption by rulemaking. requirements in the permits shall be revoking the permit. (3) If, by March 14, 2003, the owner permanent, quantifiable, and otherwise (7) The program shall require that or operator of any subject source has not enforceable as a practical matter. owners or operators of nonmajor sources obtained a federally enforceable (iii) Permits shall contain monitoring, of hazardous air pollutants that are operating permit under an EPA recordkeeping and reporting required to obtain title V permits, and approved program, the exemption shall requirements sufficient to ensure owners or operators of major sources of automatically expire for such source compliance with applicable federal all other air pollutants as defined at 40 and such source shall be subject to the requirements during the reporting CFR 70.2 that are exempted from 40 permitting requirements of 40 CFR part period. CFR part 71 under paragraph (a) of this 71. Guam will work with EPA to (iv) The program shall require that the section, obtain an operating permit identify such sources prior to expiration owner or operator of each source submit under the approved program. The of the exemption under this paragraph permit applications with compliance program shall include a schedule for (d). certifications describing the source’s issuing permits to all subject sources (4) EPA shall revoke the exemption in compliance status with all applicable within three years of EPA approval of its entirety through rulemaking if Guam requirements. The program shall also the program. does not adequately administer and Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58291 enforce an alternate operating permit or operators of sources located in 15, 1999 for approval. The submittal program approved by EPA. American Samoa subject to the shall include the following elements: (5) EPA shall revoke the exemption by operating permit requirements of title V (1) The program must contain rulemaking with respect to the owner or of the Clean Air Act are exempt from the regulations that ensure that: operator of any source if, during the 45- requirement to apply for and obtain a (i) The permits shall include emission day review period, EPA objects to title V operating permit, on the limits and standards, and other terms or issuance of a permit and Guam fails to condition that the owner or operator of conditions necessary to ensure resolve EPA’s objections within 180 each such source must apply for and compliance with all applicable federal days. EPA shall also revoke the obtain an operating permit under an requirements, as defined under 40 CFR exemption by rulemaking for the owner EPA approved alternate program that 70.2. or operator of any source in the event meets the requirements of paragraph (b) (ii) The limitations, controls, and that EPA reopens a permit for cause and of this section and subject to the requirements in the permits shall be Guam does not issue a permit that provisions of paragraphs (c) through (f) permanent, quantifiable, and otherwise resolves the concerns as set forth in of this section. The owner or operator of enforceable as a practical matter. EPA’s notice to reopen within 180 days. each such source shall apply for and (iii) Permits shall contain monitoring, (6) EPA reserves its authority to obtain a permit under the alternate recordkeeping and reporting revoke or modify this exemption in operating permit program by the requirements sufficient to ensure whole or in part. deadlines set forth in the approved compliance with applicable federal (e) Scope of the exemption. This program, but in any event shall obtain requirements during the reporting exemption applies solely to the a permit no later than March 14, 2003. period. requirement that an owner or operator If the owner or operator of any source (iv) The program shall require that the obtain an operating permit under title V has not obtained an operating permit owner or operator of each source submit of the Clean Air Act and the under an alternate operating program permit applications with compliance requirement that Guam implement a approved by EPA for American Samoa certifications describing the source’s title V permit program. In addition, this by March 14, 2003, the exemption for compliance status with all applicable exemption does not apply to owners or such source shall expire and the owner requirements. The program shall also operators of sources set forth in or operator of such source shall become provide that each permit contain a paragraph (a)(4) of this section. Owners subject to the permitting requirements requirement that the owner or operator and operators of air pollutant sources of 40 CFR part 71 on that date, of a source submit annual compliance are required to comply with all other consistent with paragraph (e)(4) of this certifications. The compliance applicable requirements of the Clean Air section. certification shall contain a compliance Act. For purposes of complying with (3) Upon EPA approval of an alternate plan, and shall contain a schedule for any applicable requirement that is operating permit program adopted by expeditiously achieving compliance if triggered or implemented by the American Samoa in accordance with the source is not in compliance with all approval of a title V permit program, the this § 69.22, a person shall not violate applicable requirements. The program approval date for owners or operators to any permit condition or term in a permit must provide that approval of a permit which this exemption applies shall be that has been issued under such with a compliance plan and schedule the date that EPA approves the alternate alternate permit program. does not sanction noncompliance. (2) The program shall provide for the program for each territory or, for owners (4) This exemption does not apply to collection of fees from permitted or operators of sources that are subject owners or operators of major sources of sources or other revenues in an amount to 40 CFR part 71, the approval date hazardous air pollutants (HAPs) as that will pay for the cost of operation of shall be the effective date of 40 CFR part defined under section 112 of the Clean such a program and ensure that these 71, which is July 31, 1996. Air Act or to owners or operators of 3. Subpart B is amended by revising solid waste incinerators subject to the funds are used solely to support the the subpart heading and adding § 69.22 title V requirements of section 129(e) of program. (3) The program shall provide for to read as follows: the Act. Owners or operators of major sources of HAPs or solid waste public notice and a public comment Subpart BÐAmerican Samoa incinerators shall be subject to the period of at least 30 days for each requirements of 40 CFR part 71 and permit, significant permit modification, § 69.22 Title V conditional exemption. shall apply for and obtain a part 71 and permit renewal, and shall include (a) Conditional exemption. In permit by the deadlines specified in 40 submittal to EPA of each permit, response to a petition submitted by the CFR part 71. Any owner or operator of significant permit modification, and Governor of American Samoa (American a major source of HAPs subject to 40 permit renewal. Samoa) and pursuant to section 325(a) CFR part 63, subpart B, shall submit a (4) The program shall provide EPA at of the Clean Air Act (Act), the timely part 71 permit application as least 45 days from receipt of a permit, Administrator of the United States EPA required by 40 CFR part 71 and 40 CFR modification, or renewal for EPA review (EPA) grants the following conditional part 63, subpart B, requesting a case-by- and objection prior to issuance. The exemptions: case 112(g) or 112(j) Maximum program shall provide that if EPA (1) American Samoa is exempted from Achievable Control Technology (MACT) objects to a permit sent to EPA for the requirement to develop, submit for determination. review, American Samoa cannot issue approval, and implement an operating (b) Requirements for the alternate such permit until the permit is revised permit program under title V of the operating program. American Samoa in a manner that resolves EPA’s Clean Air Act on the condition that shall develop and submit an alternate objections. The program will provide American Samoa meets the operating permit program (the program) that American Samoa will have no more requirements of paragraph (b) of this to EPA for approval. Upon approval by than 180 days to resolve EPA’s section and subject to the provisions of EPA, American Samoa shall implement objections and that if the objections are paragraphs (c) through (f) of this section. the program. The program, including not resolved within that time period, (2) Except for sources listed under the necessary statutory and regulatory EPA shall issue the permit under 40 paragraph (a)(4) of this section, owners authority, must be submitted by March CFR part 71. 58292 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations

(5) The program shall provide that all shall ensure compliance with the issue a permit that resolves the concerns documents other than confidential NAAQS is achieved by March 14, 2002. as set forth in EPA’s notice to reopen business information will be made (d) State Implementation Plan (SIP) within 180 days. available to the public. submittal. In conjunction with the (6) EPA reserves its authority to (6) The program shall provide submittal of the alternative operating revoke or modify this exemption in American Samoa with the authority to permit program, American Samoa shall, whole or in part. enforce permits, including the authority no later than March 15, 1999, submit a (f) Scope of the exemption. This to assess civil and criminal penalties up revision to its SIP that provides that a exemption applies solely to the to $10,000 per day per violation and to person shall not violate a permit requirement that an owner or operator enjoin activities that are in violation of condition or term in an operating permit obtain an operating permit under title V the permit, the program, or the Act that has been issued under an EPA of the Clean Air Act and the without first revoking the permit. approved alternate operating permit requirement that American Samoa (7) The program shall require that program adopted by American Samoa implement a title V permit program. In owners or operators of nonmajor sources pursuant to the exemption authorized in addition, this exemption does not apply of hazardous air pollutants that are this § 69.22. to owners or operators of sources set required to obtain title V permits, and (e) Expiration and revocation of the forth in paragraph (a)(4) of this section. owners or operators of major sources of exemption. This exemption shall expire Owners and operators of air pollutant all other air pollutants as defined in 40 or may be revoked under the following sources are required to comply with all CFR 70.2 that are exempted from 40 circumstances: other applicable requirements of the CFR part 71 under paragraph (a) of this (1) If American Samoa fails to submit Clean Air Act. For purposes of section, obtain an operating permit the required alternate operating permit complying with any applicable under the approved program. The program or modeling (and supporting requirement that is triggered or program shall include a schedule for data) by March 15, 1999, the exemption implemented by the approval of a title issuing permits to all subject sources shall automatically expire with no V permit program, the approval date for within three years of EPA approval of further rulemaking and 40 CFR part 71 owners or operators to which this the program. shall become effective for all subject exemption applies shall be the date that (8) The program shall include a sources in American Samoa on that EPA approves the alternate program for system of regular inspections of date. The exemption will also expire each territory or, for owners or operators permitted sources, a system to identify with no further rulemaking in the event of sources that are subject to 40 CFR any unpermitted major sources, and that American Samoa fails to submit a part 71, the approval date shall be the guidelines for appropriate responses to SIP revision by March 14, 2000, effective date of 40 CFR part 71, which violations. consistent with paragraph (c)(2) of this is July 31, 1996. (9) The program shall provide for the section. 4. Subpart C is amended by revising issuance of permits with a fixed term (2) In the event that EPA disapproves the subpart heading and adding § 69.32 that shall not exceed five years. American Samoa’s alternate operating to read as follows: (10) The program shall allow permit program because the program American Samoa or the EPA to reopen does not meet the requirements set forth Subpart CÐCommonwealth of the a permit for cause. The program shall in paragraph (b) of this section, EPA Northern Mariana Islands provide that if EPA provides American will revoke the exemption by Samoa with written notice that a permit rulemaking. § 69.32 Title V conditional exemption. must be reopened for cause, American (3) If, by March 14, 2003, the owner (a) Conditional exemption. In Samoa shall issue a revised permit or operator of any subject source has not response to a petition submitted by the within 180 days (including public obtained a federally enforceable Governor of The Commonwealth of the notice and comment) that sufficiently operating permit under an EPA Northern Mariana Islands (CNMI) and addresses EPA’s concerns. The program approved program, the exemption shall pursuant to section 325(a) of the Clean shall provide that if American Samoa automatically expire for such source Air Act (Act), the Administrator of the fails to issue a permit that resolves and such source shall be subject to the United States EPA (EPA) grants the EPA’s concerns within 180 days, then permitting requirements of 40 CFR part following conditional exemptions: EPA will terminate, modify, or revoke 71. American Samoa will work with (1) CNMI is exempted from the and reissue the permit under part 71 EPA to identify such sources prior to requirement to develop, submit for after providing the permittee and the expiration of the exemption under this approval, and implement an operating public with notice and opportunity for paragraph (d). permit program under title V of the comment. (4) EPA shall revoke the exemption in Clean Air Act on the condition that (c) Ambient air quality program. its entirety through rulemaking if CNMI meets the requirements of American Samoa shall implement the American Samoa does not adequately paragraph (b) of this section and subject following program to address the administer and enforce an alternate to the provisions of paragraphs (c) National Ambient Air Quality Standards operating permit program approved by through (f) of this section. (NAAQS) as a condition of the waiver: EPA. (2) Except for sources listed under (1) American Samoa shall collect (5) EPA shall revoke the exemption by paragraph (a)(4) of this section, owners complete meteorological data and rulemaking with respect to the owner or or operators of sources located in CNMI complete refined air quality modeling operator of any source if, during the 45- subject to the operating permit for the Pago Pago Harbor and submit day review period, EPA objects to requirements of title V of the Clean Air such data and modeling results to EPA issuance of a permit and American Act are exempt from the requirement to by March 15, 1999. Samoa fails to resolve EPA’s objections apply for and obtain a title V operating (2) American Samoa shall address any within 180 days. EPA shall also revoke permit, on the condition that the owner NAAQS exceedances demonstrated the exemption by rulemaking for the or operator of each such source must through the modeling results with owner or operator of any source in the apply for and obtain an operating permit revisions to its SIP that shall be event that EPA reopens a permit for under an EPA approved alternate submitted by March 14, 2000. The plan cause and American Samoa does not program that meets the requirements of Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58293 paragraph (b) of this section and subject permanent, quantifiable, and otherwise (7) The program shall require that to the provisions of paragraphs (c) enforceable as a practical matter. owners or operators of nonmajor sources through (f) of this section. The owner or (iii) Permits shall contain monitoring, of hazardous air pollutants that are operator of each such source shall apply recordkeeping and reporting required to obtain title V permits, and for and obtain a permit under the requirements sufficient to ensure owners or operators of major sources of alternate operating permit program by compliance with applicable federal all other air pollutants as defined at 40 the deadlines set forth in the approved requirements during the reporting CFR 70.2 that are exempted from 40 program, but in any event shall obtain period. CFR part 71 under paragraph (a) of this a permit no later than March 14, 2003. (iv) The program shall require that the section, obtain an operating permit If the owner or operator of any source owner or operator of each source submit under the approved program. The has not obtained an operating permit permit applications with compliance program shall include a schedule for under an alternate operating program certifications describing the source’s issuing permits to all subject sources approved by EPA for CNMI by March compliance status with all applicable within three years of EPA approval of 14, 2003, the exemption for such source requirements. The program shall also the program. shall expire and the owner or operator provide that each permit contain a (8) The program shall include a of such source shall become subject to requirement that the owner or operator system of regular inspections of the permitting requirements of 40 CFR of a source submit annual compliance permitted sources, a system to identify part 71 on that date, consistent with certifications. The compliance any unpermitted major sources, and paragraph (e)(3) of this section. certification shall contain a compliance guidelines for appropriate responses to (3) Upon EPA approval of an alternate plan, and shall contain a schedule for violations. operating permit program adopted by expeditiously achieving compliance if (9) The program shall provide for the CNMI in accordance with this § 69.32, a the source is not in compliance with all issuance of permits with a fixed term person shall not violate any permit applicable requirements. The program that shall not exceed five years. (10) The program shall allow CNMI or condition or term in a permit that has must provide that approval of a permit the EPA to reopen a permit for cause. been issued under such alternate permit with a compliance plan and schedule The program shall provide that if EPA program. does not sanction noncompliance. (4) This exemption does not apply to provides CNMI with written notice that (2) The program shall provide for the owners or operators of major sources of a permit must be reopened for cause, collection of fees from permitted hazardous air pollutants (HAPs) as CNMI shall issue a revised permit sources or other revenues in an amount defined under section 112 of the Clean within 180 days (including public that will pay for the cost of operation of Air Act or to owners or operators of notice and comment) that sufficiently such a program and ensure that these solid waste incinerators subject to the addresses EPA’s concerns. The program funds are used solely to support the title V requirements of section 129(e) of shall provide that if CNMI fails to issue the Act. Owners or operators of major program. a permit that resolves EPA’s concerns sources of HAPs or solid waste (3) The program shall provide for within 180 days, then EPA will incinerators shall be subject to the public notice and a public comment terminate, modify, or revoke and reissue requirements of 40 CFR part 71 and period of at least 30 days for each the permit under part 71 after providing shall apply for and obtain a part 71 permit, significant permit modification, the permittee and the public with notice permit by the deadlines specified in 40 and permit renewal, and shall include and opportunity for comment. CFR part 71. Any owner or operator of submittal to EPA of each permit, (c) Ambient air quality program. a major source of HAPs subject to 40 significant permit modification, and CNMI shall implement the following CFR part 63, subpart B, shall submit a permit renewal. program to protect attainment of timely part 71 permit application as (4) The program shall provide EPA at National Ambient Air Quality Standards required by 40 CFR part 71 and 40 CFR least 45 days from receipt of a permit, (NAAQS) as a condition of the waiver: part 63, subpart B, requesting a case-by- modification, or renewal for EPA review (1) CNMI shall enforce its January 19, case section 112(g) or 112(j) Maximum and objection prior to issuance. The 1987 Air Pollution Control (APC) Achievable Control Technology (MACT) program shall provide that if EPA regulations, including the requirement determination. objects to a permit sent to EPA for that all new or modified sources comply (b) Requirements for the alternate review, CNMI cannot issue such permit with the NAAQS and Prevention of operating program. CNMI shall develop until the permit is revised in a manner Significant Deterioration (PSD) and submit an alternate operating that resolves EPA’s objections. The increments. permit program (the program) to EPA for program will provide that CNMI will (2) CNMI may conduct air emissions approval. Upon approval by EPA, CNMI have no more than 180 days to resolve modeling, using EPA guidelines, for shall implement the program. The EPA’s objections and that if the power plants located on Saipan to program, including the necessary objections are not resolved within that assess EPA’s preliminary determination statutory and regulatory authority, must time period, EPA shall issue the permit of non-compliance with the NAAQS for be submitted by March 15, 1999 for under 40 CFR part 71. sulfur dioxide (SO2). CNMI shall approval. The submittal shall include (5) The program shall provide that all complete and submit any additional the following elements: documents other than confidential modeling to EPA by March 16, 1998 to (1) The program must contain business information will be made determine whether existing power regulations that ensure that: available to the public. plants cause or contribute to violation of (i) The permits shall include emission (6) The program shall provide CNMI the NAAQS and PSD increments in the limits and standards, and other terms or with the authority to enforce permits, APC regulations and 40 CFR 52.21. conditions necessary to ensure including the authority to assess civil (3) If CNMI’s additional modeling, compliance with all applicable federal and criminal penalties up to $10,000 per based on EPA guidelines, predicts requirements, as defined under 40 CFR day per violation and to enjoin activities exceedances of the NAAQS for SO2, or 70.2. that are in violation of the permit, the if CNMI elects to accept EPA’s (ii) The limitations, controls, and program, or the Act without first preliminary determination that the requirements in the permits shall be revoking the permit. NAAQS for SO2 have been exceeded, 58294 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations

CNMI shall submit a revised SIP that (2) In the event that EPA disapproves resolves the concerns as set forth in ensures compliance with the NAAQS CNMI’s alternate operating permit EPA’s notice to reopen within 180 days. for SO2. CNMI shall submit the program because the program does not (6) EPA reserves its authority to proposed revision to the SIP by March meet the requirements set forth in revoke or modify this exemption in 16, 1998 or, if CNMI elects to conduct paragraph (b) of this section, EPA will whole or in part. additional modeling, by March 15, 1999. revoke the exemption by rulemaking. CNMI shall take appropriate corrective (3) If, by March 14, 2003, the owner (f) Scope of the exemption. This actions through the SIP to demonstrate or operator of any subject source has not exemption applies solely to the compliance with the NAAQS for SO2 by obtained a federally enforceable requirement that an owner or operator March 14, 2001. operating permit under an EPA obtain an operating permit under title V (d) State Implementation Plan (SIP) approved program, the exemption shall of the Clean Air Act and the submittal. In conjunction with the automatically expire for such source requirement that CNMI implement a submittal of the alternative operating and such source shall be subject to the title V permit program. In addition, this permit program, CNMI shall, no later permitting requirements of 40 CFR part exemption does not apply to owners or than March 15, 1999 submit a revision 71. CNMI will work with EPA to operators of sources set forth in to its SIP that provides that a person identify such sources prior to expiration paragraph (a)(4) of this section. Owners shall not violate a permit condition or of the exemption under this paragraph and operators of air pollutant sources term in an operating permit that has (e). are required to comply with all other been issued under an EPA approved applicable requirements of the Clean Air alternate operating permit program (4) EPA shall revoke the exemption in adopted by CNMI pursuant to the its entirety through rulemaking if CNMI Act. For purposes of complying with exemption authorized in this § 69.32. does not adequately administer and any applicable requirement that is (e) Expiration and revocation of the enforce an alternate operating permit triggered or implemented by the exemption. This exemption shall expire program approved by EPA. approval of a title V permit program, the or may be revoked under the following (5) EPA shall revoke the exemption by approval date for owners or operators to circumstances: rulemaking with respect to the owner or which this exemption applies shall be (1) If CNMI fails to submit the operator of any source if, during the 45- the date that EPA approves the alternate required alternate operating permit day review period, EPA objects to program for each territory or, for owners program or any required SIP revision by issuance of a permit and CNMI fails to or operators of sources that are subject March 15, 1999, the exemption shall resolve EPA’s objections within 180 to 40 CFR part 71, the approval date automatically expire with no further days. EPA shall also revoke the shall be the effective date of 40 CFR part rulemaking and 40 CFR part 71 shall exemption by rulemaking for the owner 71, which is July 31, 1996. become effective for all subject sources or operator of any source in the event in CNMI on that date, consistent with that EPA reopens a permit for cause and [FR Doc. 96–28432 Filed 11–12–96; 8:45 am] paragraph (c)(3) of this section. CNMI does not issue a permit that BILLING CODE 6560±50±P federal register November 13,1996 Wednesday Final Rule Revised CarbonMonoxide(CO)Standard; Phase 1SmallSpark-IgnitionEngines; Class IandIINonhandheldNewNonroad 40 CFRPart90 Protection Agency Environmental Part III 58295 58296 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations

ENVIRONMENTAL PROTECTION (313) 741–7803. FAX: (313) 741–7816. pub/gopher/OMS AGENCY Electronic mail: TTN BBS: 919–541–5742 [email protected]. (1200–14400 bps, no parity, 8 data bits, 40 CFR Part 90 SUPPLEMENTARY INFORMATION: 1 stop bit) [FRL±5650±6] Voice Helpline: 919–541–5384. I. Regulated Entities Off-line: Mondays from 8:00 AM to Revised Carbon Monoxide (CO) Entities potentially regulated by this 12:00 noon EST. Standard for Class I and II action are those which manufacture A user who has not called TTN Nonhandheld New Nonroad Phase 1 engines used in nonhandheld previously will be required to answer Small Spark-Ignition Engines applications, such as lawnmowers, and some basic informational questions for those which manufacture engines used registration purposes. After completing AGENCY: Environmental Protection exclusively to power snowthrowers. the registration process, proceed Agency (EPA). Regulated categories and entities through the following menu choices ACTION: Final rule. include: from the Top Menu to access SUMMARY: This rule revises the Phase 1 information on this rulemaking. Category Examples of regulated entities > carbon monoxide (CO) emission spark-ignition (SI) engines at or below 19 kilowatts. Today’s action increases gines used in nonhandheld Non-Road the CO standard from 469 grams per > kilowatt-hour (g/kW-hr) to 519 g/kW-hr. lawnmowers. <2 Non-road Engines This action addresses the CO emission Industry ...... Manufacturers of small At this point, the system will list all difference between oxygenated and nonroad engines used ex- available files in the chosen category in clusively to power reverse chronological order with brief nonoxygenated fuels that was not snowthrowers. reflected when the Agency previously descriptions. To download a file, select set the CO standard for these a transfer protocol that is supported by This table is not intended to be the terminal software on your own nonhandheld engines in a final rule exhaustive, but rather provides a guide published July 3, 1995. This correction computer, then set your own software to for readers regarding entities likely to be receive the file using that same protocol. of the nonhandheld engine CO standard regulated by this action. This table lists will ensure that the CO standard for If unfamiliar with handling the types of entities that EPA is now compressed (i.e. ZIP’ed) files, go to the manufacturers of Class I and II small SI aware could potentially be regulated by engines used to power equipment such TTN top menu, System Utilities this action. Other types of entities not (Command: 1) for information and the as lawnmowers is achievable and listed in the table could also be otherwise appropriate under the Clean necessary program to download in order regulated. To determine whether your to unZIP the files of interest after Air Act and that it is technically feasible company is regulated by this action, you for manufacturers to certify their engine downloading to your computer. After should carefully examine the getting the files you want onto your models to the Phase 1 emission applicability criteria in § 90.1 of title 40 standards and make them commercially computer, you can quit the TTN BBS of the Code of Federal Regulations. If with the oodbye command. available for the 1997 model year. you have questions regarding the In addition, today’s action permits the Please note that due to differences applicability of this action to a between the software used to develop use of open crankcases in engines used particular entity, consult the person exclusively to power snowthrowers. the document and the software into listed in the preceding ``FOR FURTHER which the document may be This change will allow engine INFORMATION CONTACT'' section. manufacturers to certify engines with downloaded, changes in format, page open crankcases to be used in II. Obtaining Electronic Copies of length, etc. may occur. snowthrowers upon a demonstration Documents III. Legal Authority and Background that the engine still meets all applicable Electronic copies of the preamble and emission standards. Authority for the actions set forth in the regulatory text of this final rule are this rule is granted to EPA by sections EFFECTIVE DATE: This rule is effective available electronically from the EPA 213(a) and 301(a) of the Clean Air Act November 5, 1996. internet site and via dial-up modem on as amended (42 U.S.C. 7547(a) and ADDRESSES: Materials relevant to this the Technology Transfer Network 7601(a)). rulemaking are contained in EPA Air (TTN), which is an electronic bulletin On July 3, 1996, the Agency and Radiation Docket No. A–93–25 and board system (BBS) operated by EPA’s published a Notice of Proposed Docket No. A–96–02, at the U.S. Office of Air Quality Planning and Rulemaking (NPRM) for this rule.1 That Environmental Protection Agency, room Standards. Both services are free of proposed rule contains substantial M–1500, 401 M St., S.W., Washington, charge, except for your existing cost of background information relevant to the D.C. 20460. The materials in these internet connectivity or the cost of the matters discussed throughout this final dockets may be viewed from 8:00 a.m. phone call to TTN. Users are able to rule. The reader is referred to that until 5:30 p.m. weekdays. The docket access and download files on their first document for additional background may also be reached by telephone at call using a personal computer and information and discussion of various (202) 260–7548. As provided in 40 CFR modem per the following information. issues. Discussion in this notice will part 2, a reasonable fee may be charged Internet: focus on the comments received during by EPA for photocopying. World Wide Web: http:// the public comment period and describe FOR FURTHER INFORMATION CONTACT: www.epa.gov/OMSWWW changes made from the proposal to the Laurel Horne, U.S. Environmental Gopher: gopher.epa.gov Follow final rule. The two issues discussed in Protection Agency, 2565 Plymouth menus for: Offices/Air/OMS Road, Ann Arbor, MI 48105. Telephone: FTP: ftp.epa.gov Change Directory to 1 61 FR 34778 (July 3, 1996). Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58297 the NPRM and this final rule are small SI rule that as a requirement of demonstration may be based on best revision to the Phase 1 carbon monoxide certification crankcases must be closed engineering judgment. Upon request of exhaust emission standard for in order to eliminate emissions that the Administrator, the manufacturer nonhandheld small engines, and would otherwise occur when a must provide an explanation of the changes to the closed crankcase crankcase is vented to the atmosphere. procedure or methodology used to requirement for engines used Subsequent to publication of the Phase determine that the total CO emissions exclusively in snowthrowers. 1 small SI engine final rule, however, from the breather and the exhaust are On March 4, 1996, Briggs and Stratton the Agency was made aware of concerns below the regulatory requirement for Corporation submitted to EPA a petition specific to manufacturers of engines CO. The Agency is convinced that the requesting reconsideration and revision used exclusively in snowthrowers. cost of abating emissions from an open of the certification fuel requirements These manufacturers indicated that it is crankcase would be prohibitive, and and carbon monoxide (CO) emission necessary to maintain an open therefore seeks no further demonstration standard for nonhandheld engines. The crankcase in order to prevent the freeze of prohibitive cost. petition asks the Agency to amend its up of the intake which would likely V. Public Participation and Comment July 3, 1995 final rule, Emission occur if a crankcase breather hose was Standards for New Nonroad Spark- required. Additionally, these The Agency received written ignition (SI) Engines At or Below 19 manufacturers provided evidence that submissions during the comment period Kilowatts, hereafter referred to as the the cost to close these crankcases and for the NPRM from four commenters. Phase 1 small SI engine regulations.2 prevent freeze up would be Copies may be obtained from the docket Specifically, the petition requests that prohibitively expensive, with the for this rule (see ADDRESSES). the Agency amend the Phase 1 small SI emissions benefit not justifying the cost. This section responds to significant engine rule to either: (1) Permit the use Manufacturers also claimed that the CO comments received and provides EPA’s of appropriate oxygenated gasolines for emission impact on CO nonattainment rationale for its responses. emissions certification testing as a direct will also be minor due to the limited A. Revision of the CO Standard alternative to Indolene 3 under the numbers of these pieces of equipment current CO standard, or (2) revise the and the small impact opening the In its petition to the Agency, Briggs & CO standard for nonhandheld small crankcase has on overall CO emissions Stratton Corporation requested that EPA engines from 469 grams per kilowatt- from this small number of engines. amend the small engine Phase 1 final hour (g/kW-hr) to 536 g/kW-hr, in order EPA addressed these issues in a rule to either permit the use of to reflect the emission characteristics of notice of proposed rulemaking appropriate oxygenated gasoline for these engines when tested on published on July 3, 1996. The public certification testing or revise the CO nonoxygenated gasolines. Nonhandheld comment period closed on August 2, standard for nonhandheld engines from engines are intended for use in 1996. 469 g/kW-hr to 536 g/kW-hr to reflect emission characteristics of these engines nonhandheld applications and fall IV. Description of This Rule under one of two classes based on when tested on nonoxygenated gasoline. engine displacement.4 Class I engines This final rule revises the CO The Agency has decided to address the are less than 225 cubic centimeters (cc) emission standard for Class I and II petitioner’s concern by raising the Phase displacement, and Class II engines are nonhandheld small SI engines from 469 1 CO standard for Class I and II g/kW-hr to 519 g/kW-hr in response to greater than or equal to 225 cc nonhandheld engines from 469 g/kW-hr the petition submitted by Briggs and displacement.5 to 519 g/kW-hr. Specific engine manufacturers and the Stratton Corporation (B&SC). The Both the Engine Manufacturers Engine Manufacturers Association underlying technical analysis and a Association (EMA) and Briggs and (EMA) have also raised concerns about description of the data on which it is Stratton Corporation submitted the closed crankcase certification based is presented in the Regulatory comments on the NPRM indicating full requirement specified in the Phase 1 Support Document, a copy of which is support for modifying the CO standard. small SI engine final rule at § 90.109. in the public docket for this rulemaking. EMA supported the proposal to raise the Given that the Agency, had it known The Agency specified in its Phase 1 standard to 519 g/kW-hr. However, that Briggs and Stratton had used an Briggs & Stratton Corporation expressed oxygenated test fuel to generate the test 2 60 FR 34582, July 3, 1995, codified at 40 CFR concern about several points contained part 90. The docket for the Phase 1 small SI engine data which EPA used to set the Class I in the July 1996 NPRM. rulemaking, EPA Air Docket #A–93–25, is and II nonhandheld standard, would One concern raised by B&SC is that in incorporated by reference. have taken fuel effects into account the prior rulemaking leading to the 3 See § 90.308(b) and page 34589 of the preamble when determining the CO standard, the Phase 1 standards the Agency never for the certification fuel specification for the Phase 1 small SI engine rulemaking. Indolene is one Agency believes that it is appropriate, addressed comments submitted August possible Federal certification fuel. Indolene is not now knowing about the fuel differences, 5, 1994, by the Engine Manufacturers the only eligible fuel, but it is within the eligible to revise the Phase 1 final rule to reflect Association (EMA) and the Outdoor range specified in part 86 (section 86.1313–94(a)) to the fuel effect on CO emissions. Power Equipment Institute (OPEI) which the Phase 1 small SI engine rule refers. The Phase 1 small SI engine rulemaking provides for a In addition, the Agency is convinced which requested that EPA include a range and based on experience with the on-highway by the arguments presented by the ‘‘Phase 2 or later California/Federal program, EPA expects that engine manufacturers manufacturers of engines used certification fuel’’ in the Phase 1 final will use Indolene. California Phase II Reformulated exclusively in snowthrowers that a rule. In these comments, EMA and OPEI Gasoline and other oxygenated fuels are not within the range specified in the Phase 1 small SI engine change to the closed crankcase argued that allowing such a fuel for rule. requirement is appropriate. Therefore, certification would harmonize the EPA 4 For additional discussion of engine classes and the Administrator will allow open regulations with California’s, and handheld engine qualifications, see 60 FR 34585, crankcases for engines used exclusively thereby eliminate the need for July 3, 1995. to power snowthrowers based upon a manufacturers to duplicate certification 5 Class I engines are predominantly found in lawnmowers. Class II engines primarily include manufacturer’s demonstration that all tests for EPA and California. engines used in generator sets, garden tractors, and applicable emission standards will still In its small engine Phase 1 final rule, commercial lawn and garden equipment. be met by the engine. This EPA did address the commenters’ 58298 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations concern about the need for duplicate but maintain its current standards, it variability into account at an earlier certification testing by allowing for the would not be certain of the benefits of stage of the small engine rulemaking use of Indolene fuel. Since the CARB HC and NOX emission reductions process, and thus should increase the regulation allows the use of either described in the Phase 1 final rule when standard by 67 g/kW-hr to 536 g/kW-hr Indolene or Phase 2 fuel, a test the engines designed to meet the new instead of by 50 g/kW-hr to 519 g/kW- performed using Indolene could be used emission standards are run on hr. The Agency disagrees. EPA had to satisfy both Federal and CARB nonoxygenated fuels in the field. In stated in the NPRM that the data it requirements for small SI engines. In addition, the Agency wishes to maintain analyzed to determine the CO emission addition, as EMA points out in its its longheld position that engines difference between oxygenated and comments, the Agency already provides should be certified on fuels nonoxygenated fuels indicated that fuel a mechanism under the alternative test representative of fuels they will see in- differences may account for as much as procedures provision of the small use and representative of fuels on which 50 g/kW-hr. However, as EPA does not engine Phase 1 final rule for those the standards are based. The Agency expect the production variability to manufacturers who certify in California believes that the current test fuel change based on differences in fuel using oxygenated fuel and wish to use specifications meets this objective better type, the Agency has no reason to those test results for certification with than California Phase II Reformulated increase the CO standard in this rule to EPA. Gasoline. For these reasons, the Agency account for production variability. As B&SC also commented that while it believes the most effective and timely EPA mentions in the July 1996 NPRM supports EPA’s decision to raise the CO method for addressing the problem and explains in the small engine Phase raised by B&SC is not to change the 1 final rule Response to Comments standard, it believes the most efficient 6 and technically correct method for certification test fuel specifications, but document, EPA took production addressing the concern raised in their to raise the nonhandheld CO emission variability into account when it petition would be for EPA to permit the standard. increased the CO standard from 402 g/ B&SC also raised a concern about use of certification test fuels allowed by kW-hr to 469 g/kW-hr between the small EPA’s statement in the July 1996 NPRM CARB. As EPA explained in the July engine Phase 1 NPRM and final rule. that the data was inconclusive regarding 1996 NPRM for this rule, the Agency set B&SC mischaracterizes EPA’s position the potential for increases in in-use NOX by stating that the underlying premise nonhandheld CO emission standards emissions from not allowing for EPA’s position is that the degree of that only engines tested on oxygenated certification testing on oxygenated variability in mass emissions data will fuel had been demonstrated to meet. In gasoline. Briggs and Stratton states that not increase in relation to mass. This conjunction with a test fuel like a review of the Regulatory Support was not EPA’s underlying premise; EPA Indolene, the current 469 g/kW-hr Document (RSD) does not support the examined B&SC’s production variability nonhandheld CO emission standard is position taken by EPA in the preamble concern from the perspective of more stringent than the Agency that the data is inconclusive, but instead specifically addressing the high volume intended because it did not take into shows that the EPA data was production issue that Briggs & Stratton account the effect of the oxygenated fuel inconclusive and the pertinent Briggs & raised in its petition. B&SC itself makes used in the test data on which EPA Stratton data showed an increase in no claim regarding variability in relation based the standard. As described in NOX emissions. EPA maintains that the to mass, nor provides data concerning detail in the July 1996 NPRM for this data is inconclusive, and believes no mass emissions and variability. EPA rule, it is the Agency’s position that the change in the HC + NOX standard is believes it adequately addressed the most effective and timely way to required due to the change in the CO production variability concern B&SC address this problem is to raise the CO emission standard. EPA’s analysis, as raised in its petition when the Agency emission standard for nonhandheld presented in the RSD, indicates that the increased the CO standard from 402 g/ engines. The Agency considered Briggs & Stratton test data, based on the kW-hr to 469 g/kW-hr between the small addressing the problem by allowing average of 6 engine models, shows a engine Phase 1 NPRM and final rule. oxygenated fuels for certification, but NOX increase of 0.14 g/kW-hr with the Accordingly, EPA believes the only because of several concerns about this use of an oxygenated fuel over Indolene. rationale for increasing the CO emission approach, EPA has concluded that EPA’s data showed a NOX decrease of standard in this rule is to account for revising the CO standard is the preferred 0.08 g/kW-hr with the use of an emission differences between way to address the problem. In its July oxygenated fuel over a nonoxygenated oxygenated and nonoxygenated fuels. 1996 NPRM, the Agency described three fuel. EPA views the combined data to be The Agency is therefore increasing the concerns regarding the allowance of inconclusive regarding the effect of nonhandheld Class I and II CO standard oxygenated test fuels for small SI engine oxygenated versus nonoxygenated fuel to 519 g/kW-hr. certification. One concern is that while on NOX emissions. the Agency based its nonhandheld Class In its petition, Briggs & Stratton B. Open Crankcase for Snowthrowers I and II emission standards on Briggs proposed a revised CO emission In the July 1996 NPRM, EPA proposed and Stratton test data, which it now standard of 536 g/kW-hr to take into allowing the Administrator the option to knows was run on oxygenated fuels, the account not only the offset between test permit the use of open crankcases in same cannot be said for the data EPA fuels but also production variability. engines used exclusively to power used to set its standards for Classes III, B&SC argued that in order to account for snowthrowers. As described in the IV and IV. Allowing the use of the wider range in test results that NPRM, EPA would consider allowing oxygenated certification fuel for these would occur when an engine model open crankcases for these engines if other standards would be inconsistent enters high volume production and the adequate demonstrations are made by with the technical basis used to set the family on a whole is tested in a product the manufacturers that the applicable standard, and would undermine the line audit, a 67 g/kW-hr change to the emission standards would be met and level of stringency expected by the standard is necessary. Briggs & Stratton that the cost of abating emissions from Agency in adopting these standards. commented that in the July 1996 NPRM Secondly, if the Agency were to allow EPA had failed to support its position 6 See EPA Air Docket #A–93–25, item V–C–01, p. certification testing on oxygenated fuels that the Agency had taken production 37. Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58299 an open crankcase would be prohibitive. also indicates that it does not support models to the Phase 1 emission EPA received comment on this issue the requirement to measure crankcase standards and make them available for from the Engine Manufacturers breather emissions because the amount the 1997 model year. Consequently, Association (EMA) and two of CO in crankcase emissions is EPA believes no delay in the effective manufacturers of engines used extremely small, and because no test date of this rule is necessary. exclusively in snowthrowers, American procedure is defined to measure CO Honda Motor Co., Inc. (Honda) and emissions in crankcase gases. However, VI. Environmental Benefit Assessment Tecumseh Products Company Tecumseh expressed willingness to Although the change in the (Tecumseh). share with EPA the procedure it used to nonhandheld CO standard results in a All of the commenters expressed determine the crankcase CO emissions, change from the 7% reduction in CO support for the idea of allowing open which it states are approximately 1% of estimated in the final rule to a 2% crankcases on engines used exclusively the exhaust CO emissions, regardless of reduction in the CO inventory, the to power snowthrowers. However, all operating mode. Honda suggests in its Agency has concluded that this rule has three commenters oppose EPA requiring concluding comments that the Agency no effect on the HC+NOX inventory and a demonstration to show that the cost of should allow open crankcases for minimal effect on the CO inventory in abating emissions from an open snowthrower engines if the total CO nonattainment areas. The majority of crankcase would be prohibitive. In emissions from the breather and the equipment powered by the Class I and addition, commenters expressed exhaust are below the regulatory II nonhandheld engines subject to this concern about the provision requiring requirement for CO. Honda’s research rule is used during the summer months, manufacturers to demonstrate that the on open crankcases indicates that gas when CO nonattainment is generally not engine would meet applicable emission flow from the crankcase breather does a concern. Furthermore, the CO standards even with the open crankcase. not exceed 2.5% of the exhaust flow, emission rate for many nonhandheld After considering the comments and crankcase breather CO gas flow engine models will remain unchanged received, EPA has determined that it accounts for only 0.025% of the total despite the change in the CO standard will permit the use of open crankcases exhaust flow. In its concluding since CO levels often are controlled in in engines used exclusively to power comments, Honda states that since the meeting the HC+NOX emission snowthrowers, based on a crankcase breather CO is very small standards which are not affected by this manufacturer’s demonstration that the when compared to the exhaust, EPA action. applicable standards will be met. This should accept a manufacturer’s The provision to permit open demonstration may be based on best engineering judgment when crankcases in engines used exclusively engineering judgment. The Agency will determining the total engine CO. to power snowthrowers will require that not require a demonstration of Based on the comments, EPA believes manufacturers show compliance with prohibitive cost. However, the Agency that in many cases snowthrowers with applicable standards. The Agency will require manufacturers to provide to open crankcases would continue to expects, therefore, that the proposed the Agency upon request the meet all of the applicable standards, open crankcase option will not affect methodology or procedure used to including the CO standard. However, the emission inventory or the emission determine that the applicable CO the data before the agency is relatively reductions to be achieved by the Phase emission standard would be met. limited and EPA is not in a position at 1 small SI engine final rule. EPA is convinced by commenters this time to conclude that no arguments that requiring individual demonstration of compliance is needed VII. Economic Effects demonstrations of prohibitive cost for any such engines before a certificate The Agency anticipates that this rule would be burdensome for the of conformity is issued. The comments will have minimal, if any, effect on the manufacturers and the Agency, and do reflect that manufacturers should costs or benefits of the Phase 1 small SI possibly could create competitive often be in a position to demonstrate engine final rule. Industry costs are inequities among manufacturers. In that the standards are met with an open unlikely to change because engine addition, some manufacturers crankcase using best engineering manufacturers will not need to make previously shared information with the judgment. Only a limited amount of additional modifications to meet the Agency regarding costs that the Agency data generation would seem necessary relaxed CO standard. As there will be no believes shows the technological fix that to make such a demonstration. additional cost for industry to pass on would generally be required to close Therefore the final rule requires that to the consumer as a result of this snowthrower crankcases are prohibitive. manufacturers make such a rulemaking, EPA is convinced that Consequently, manufacturers will not demonstration, but makes it clear that consumer cost impacts will remain need to make any demonstration of the this may be based on best engineering unchanged. The Agency therefore cost to close the crankcase on engines judgment. Upon request by EPA, the concludes that the economic effects of used exclusively to power manufacturers of engines used this rulemaking are negligible. snowthrowers. exclusively in snowthrowers must The Agency received comment from explain to the Agency the procedure or VIII. Administrative Requirements the same three commenters on the methodology used to determine that the A. Administrative Designation proposed provision that manufacturers applicable standards would be met. demonstrate that the applicable Under Executive Order 12866 (58 FR emission standards would be met with C. Effective Date 51735 (October 4, 1993)), EPA must open crankcases. EMA states in its As proposed in the July 1996 NPRM, determine whether a regulatory action is comments that no test procedure has this rule will be effective upon signature ‘‘significant’’ and therefore subject to been defined nor test method developed by the Administrator. This rule is not OMB review and the requirements of to measure the CO contained within the adding regulatory burdens to any the executive order. The order defines crankcase gasses emitted from the open regulated entities; rather, it is relieving ‘‘significant regulatory action’’ as one crankcase; EMA thus views the required burden. In addition, EPA needs to act that is likely to result in a rule that may: demonstration to be difficult if not expeditiously in order that (1) Have an annual effect on the impossible. In its comments, Tecumseh manufacturers may certify their engine economy of $100 million or more or 58300 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations adversely affect in a material way the promulgating a rule for which a and the Comptroller General of the economy, a sector of the economy, budgetary impact statement must be General Accounting Office prior to productivity, competition, jobs, the prepared. EPA must select from those publication of the rule in today’s environment, public health or safety, or alternatives the least costly, most cost- Federal Register. This rule is not a State, local, or tribal governments or effective, or least burdensome ‘‘major rule’’ as defined by 5 U.S.C. communities; alternative that achieves the objectives 804(2). (2) Create a serious inconsistency or of the rule, unless EPA explains why List of Subjects in 40 CFR Part 90 otherwise interfere with an action taken this alternative is not selected or the or planned by another agency; selection of this alternative is Environmental protection, (3) Materially alter the budgetary inconsistent with law. Administrative practice and procedure, impact of entitlement, grants, user fees, Because this rule is expected to result Confidential business information, or loan programs or the rights and in the expenditure by State, local, and Imports, Labeling, Motor vehicle obligations of recipients thereof; tribal governments or the private sector pollution, Reporting and recordkeeping (4) Raise novel legal or policy issues of less than $100 million in any one requirements. arising out of legal mandates, the year, EPA has not prepared a budgetary Dated: November 5, 1996. President’s priorities, or the principles impact statement or specifically Carol M. Browner, addressed selection of the least costly, set forth in the order. Administrator. EPA has determined that this rule is most cost-effective or least burdensome not a ‘‘significant regulatory action’’ alternative. Because small governments For the reasons set out in the under the terms of Executive Order will not be significantly or uniquely preamble, part 90 of title 40 of the Code 12866 and is therefore not subject to affected by this rule, EPA is not required of Federal Regulations is amended as OMB review. to develop a plan with regard to small follows: governments. B. Paperwork Reduction Act PART 90±CONTROL OF EMISSIONS D. Regulatory Flexibility Act FROM NONROAD SPARK-IGNITION This rule does not contain any new ENGINES information requirements subject to the The Regulatory Flexibility Act (5 Paperwork Reduction Act, 44 U.S.C. U.S.C. 601) requires EPA to consider 1. The authority citation for part 90 3501 et seq., nor does it change the potential impacts of proposed continues to read as follows: information collection requirements the regulations on small business. If a Authority: Sections 203, 204, 205, 206, Office of Management and Budget preliminary analysis indicates that a 207, 208, 209, 213, 215, 216, and 301(a) of proposed regulation would have a (OMB) has previously approved. OMB the Clean Air Act, as amended (42 U.S.C. has previously assigned OMB control significant adverse economic impact on 7522, 7523, 7524, 7525, 7541, 7542, 7543, number 2060–0338 to the requirements a substantial number of small business 7547, 7549, 7550, and 7601(a)). associated with the nonroad small SI entities, a regulatory flexibility analysis engine certification information must be prepared. Subpart BÐ[Amended] collection request (ICR); this action does This rule decreases the stringency of not change those requirements in any the CO exhaust emission standard for 2. Section 90.103 is amended by way. Class I and II nonhandheld engines, and revising the table in paragraph (a) allows manufacturers of snowthrowers introductory text to read as follows: C. Unfunded Mandates Reform Act to be relieved of the requirement that § 90.103 Exhaust emission standards. Section 202 of the Unfunded crankcases be closed, thereby (a) * * * Mandates Reform Act of 1995 (signed potentially creating beneficial effects on into law on March 22, 1995) requires small businesses by easing these two EXHAUST EMISSION STANDARDS that EPA prepare a budgetary impact provisions required of small engine statement before promulgating a rule manufacturers by the Phase 1 small SI [Grams per kilowatt-hour] that includes a Federal mandate that engine regulations. As a result, EPA has Hydro- may result in expenditure by State, determined that this rulemaking will Engine carbon local, and tribal governments, in not have a significant adverse effect on dis- Carbon Oxides place- plus Hydro- mon- of ni- aggregate, or by the private sector, of a substantial number of small entities. ment oxides carbon oxide trogen $100 million or more in any one year. Consequently, EPA has not prepared a of ni- class trogen Section 203 of the Unfunded Mandates regulatory flexibility analysis for this Reform Act requires EPA to establish a rule. I ...... 16.1 ...... 519 ...... plan for obtaining input from and II ...... 13.4 ...... 519 ...... informing, educating, and advising any IX. Submission to Congress and the General Accounting Office III ...... 295 805 5.36 small governments that may be IV ...... 241 805 5.36 significantly or uniquely affected by the Under 5 U.S.C. 801(a)(1)(A) as added V ...... 161 603 5.36 rule. by the Small Business Regulatory Under section 205 of the Unfunded Enforcement Fairness Act of 1996, EPA * * * * * Mandates Act, EPA must identify and submitted a report containing this rule 3. Section 90.109 is amended by consider a reasonable number of and required information to the U.S. adding new paragraph (c) to read as regulatory alternatives before Senate, the House of Representatives follows: Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58301

§ 90.109 Requirement of certificationÐ closed crankcase. * * * * * (c) Notwithstanding paragraph (a) of this section, the Administrator will allow open crankcases for engines used exclusively to power snowthrowers based upon a manufacturer’s demonstration that all applicable emission standards will be met by the engine for the combination of emissions from the crankcase, and exhaust emissions measured using the procedures in subpart E of this part. This demonstration may be made based upon best engineering judgment. Upon request of the Administrator, the manufacturer must provide an explanation of any procedure or methodology used to determine that the total CO emissions from the crankcase and the exhaust are below the applicable standard for CO. [FR Doc. 96–29026 Filed 11–12–96; 8:45 am] BILLING CODE 6560±50±P federal register November 13,1996 Wednesday Program; FinalRule Methods intheReformulatedGasoline Use ofAlternativeAnalyticalTest 40 CFRPart80 Protection Agency Environmental Part IV 58303 58304 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations

ENVIRONMENTAL PROTECTION EFFECTIVE DATE: This amendment is specified ozone nonattainment areas AGENCY effective January 13, 1997. (covered areas), as well as standards for FOR FURTHER INFORMATION CONTACT: non-reformulated, or conventional, 40 CFR Part 80 Joseph R. Sopata, Chemist, U.S. gasoline used in the rest of the country, Environmental Protection Agency, beginning in January 1995. The Act [FRL±5650±5] Office of Air and Radiation, (202) 233– requires that RFG reduce VOC and 9034. toxics emissions from motor vehicles, Use of Alternative Analytical Test not increase NOx emissions, and meet Methods in the Reformulated Gasoline SUPPLEMENTARY INFORMATION: certain content standards for oxygen, Program Regulated Entities. Entities potentially benzene and heavy metals. EPA regulated by this action are those that promulgated the final RFG regulations AGENCY: Environmental Protection on December 15, 1993.1 See 40 CFR part Agency (EPA). use analytical test methods to comply with the Reformulated Gasoline 80 subparts D, E and F. ACTION: Final rule. Program. Regulated categories and B. Test Methods Utilized at § 80.46 entities include: SUMMARY: This rule extends the time Refiners, importers and oxygenate period during which certain alternative blenders are required, among other Category Examples of regulated analytical test methods may be used in entities things, to test RFG and conventional the Federal reformulated gasoline (RFG) gasoline for various gasoline parameters program. Currently, the time period for Industry ...... Oil refiners, gasoline import- or qualities, such as sulfur levels, ers, oxygenate blenders, the use of these alternative test methods aromatics, benzene, and so on.2 During expires on January 1, 1997. This analytical testing labora- tories. the Federal RFG rulemaking, and in amendment extends the time period for response to comments by the regulated the use of alternative test methods in the This table is not intended to be industry, EPA concluded that it would reformulated gasoline program to be appropriate to temporarily allow the September 1, 1998. exhaustive, but rather provides a guide for readers regarding entities likely to be use of alternative analytical test EPA is considering expanding the regulated by this action. This table lists methods for measuring the parameters ability of industry to use various the types of entities that EPA is now of aromatics and oxygenates. See 40 alternative analytical test methods in aware that could potentially be CFR 80.46. EPA adopted this provision the federal RFG program. Extension of regulated by this action. Other types of because the designated analytical test this deadline will allow refiners and entities not listed in this table could methods for each of these parameters others to continue using the currently also be regulated. To determine whether were costly and relatively new, leaving approved alternative analytical test your business is regulated by this the industry little time to fully methods pending a final decision by action, you should carefully examine implement the designated analytical test EPA on additional alternatives. This the applicability criteria in part 80 of methods. EPA therefore provided extension provides greater flexibility for title 40 of the Code of Federal flexibility to the regulated industry by the regulated industry and reduce costs Regulations. If you have any questions allowing the use of alternative analytical to all interested parties. regarding the applicability of this action test methods for the two above The Federal RFG program reduces to a particular entity, consult the person mentioned parameters until January 1, motor vehicle emissions of volatile listed in the preceding FOR FURTHER 1997. After that date, use of the organic compounds (VOC), oxides of INFORMATION CONTACT section. designated analytical test methods was nitrogen (NOX) and certain toxic required. Table 1 lists the designated pollutants. This change in the deadline I. Introduction analytical test method for each for the use of certain alternative test A. RFG Standards parameter measured under the RFG methods under § 80.46 preserves the program. status quo of the RFG program and will Section 211(k) of the Clean Air Act have no change in the emission benefits (the Act) requires that EPA establish 1 59 FR 7812, February 16, 1994. that result from the RFG program. standards for RFG to be used in 2 40 CFR 80.65(e), 80.10(i). Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations 58305

TABLE 1.ÐDESIGNATED ANALYTICAL TEST METHOD UNDER THE RFG PROGRAM

RFG Gasoline parameter Designated analytical test method

Sulfur ...... ASTM D±2622±92, entitled ``Standard Test Method for Sulfur in Petroleum Products by X-Ray Spectrometry.'' Olefins ...... ASTM D±1319±93, entitled ``Standard Test Method for Hydrocarbon Types in Liquid Petroleum Products by Fluo- rescent Indicator Absorption.'' Reid Vapor Pressure ...... Method 3, as described in 40 CFR part 80, appendix E. Distillation ...... ASTM D±86±90, entitled ``Standard Test Method for Distillation of Petroleum Products.'' 1 Benzene ...... ASTM D±3606±92, entitled ``Standard Test Method for Determination of Benzene and Toluene in Finished Motor and Aviation Gasoline by Gas Chromatography.'' 2 Aromatics ...... Gas Chromatography as described in 40 CFR 80.46(f).3 Oxygen and Oxygenate con- Gas Chromatography as described in 40 CFR 80.46(g).4 tent analysis. 1 Except that the figures for repeatability and reproducibility given in degrees Fahrenheit in Table 9 in the ASTM method are incorrect, and shall not be used. 2 Except that Instrument parameters must be adjusted to ensure complete resolution of the benzene, ethanol and methanol peaks because ethanol and methanol may cause interference with ASTM standard method D±3606±92 when present. 3 Prior to January 1, 1997, any refiner or importer may determine aromatics content using ASTM standard test method D±1319±93 entitled ``Standard Test Method for Hydrocarbon Types in Liquid Petroleum Products by Fluorescent Indicator Absorption'' for the purpose of meeting any testing requirement involving aromatics content. Note: The January 1, 1997 deadline is the subject of today's document. 4 Prior to January 1, 1997, and when oxygenates present are limited to MTBE, ETBE, TAME, DIPE, tertiary-amyl alcohol, and C1 and C4 alco- hols, any refiner, importer, or oxygenate blender may determine oxygen and oxygenated content using ASTM standard method D±4815±93, enti- tled ``Standard Test Method for Determination of MTBE, ETBE, TAME, DIPE, tertiary-Amyl Alcohol and C1 and C4 Alcohols in Gasoline by Gas Chromatography. Note: The January 1, 1997 deadline is the subject of today's document.

C. Public Comment compliance under the RFG and cost for regulated parties because it EPA proposed the revisions in this conventional gasoline programs for continues to provide a choice for the rule on July 3, 1996.3 As stated in the analytical test methods that differ from procurement of test methods for preamble in the NPRM, Mobil Oil the designated analytical test method. aromatics and oxygenates under the Corporation, the American Petroleum EPA expects to finalize action on such RFG program. This analysis applies to Institute (API) and the National a rulemaking by September 1, 1998. regulated parties that are small entities, Petroleum Refiners Association (NPRA) In the meantime, EPA is today as well as other regulated parties. Based have requested that EPA extend the amending the deadline for the use of the on this, the Agency has determined that deadline for the use of alternative alternative analytical test procedures for this final rule will not have a significant aromatics and oxygenates under analytical test methods for the impact on a substantial number of small § 80.46(f)(3) and § 80.46(g)(9) until measurement of aromatics and entities. September 1, 1998. The Agency believes oxygenates as specified in § 80.46. that it is appropriate to allow parties to IV. Executive Order 12866 Currently, the ability to use alternative continue using these alternative Under Executive Order 12866 4, the analytical test methods under § 80.46 analytical test methods until a final Agency must determine whether a expires on January 1, 1997. In a decision is made on the performance regulation is ‘‘significant’’ and therefore September 25, 1995 letter to EPA, API based analytical test method approach. subject to OMB review and the and NPRA jointly urged extension of the This would allow parties to make long- requirements of the Executive Order. deadline for the use of alternative term purchasing decisions based on all The Order defines ‘‘significant analytical test methods at § 80.46 the testing options that could be made regulatory action’’ as one that is likely beyond January 1, 1997. In addition to available at the conclusion of the to result in a rule that may: these parties, ASTM, WSPA, Phillips performance-based rulemaking. (1) Have an annual effect on the Petroleum Company, Fying J. Inc., and economy of $100 million or more, or Chevron submitted comments in favor II. Environmental Impact adversely affect in a material way the of this extension. There were no adverse The RFG program, as required by the economy, a sector of the economy, public comments following publication Act, obtains emission reductions for productivity, competition, jobs, the of the NPRM. VOC, NOX and toxic emissions from environment, public health or safety, or EPA intends to undertake a motor vehicles. This change in the State, local or tribal governments of rulemaking to consider establishing a deadline for the use of certain communities; performance based analytical test alternative test methods under § 80.46 (2) Create a serious inconsistency or method approach for the measurement preserves the status quo of the RFG otherwise interfere with an action taken of the reformulated gasoline (RFG) program and will result in no change in or planned by another agency; parameters at § 80.46. One approach the emission benefits of the RFG (3) Materially alter the budgetary under consideration involves program. impact of entitlements, grants, user fees, developing quality assurance or loan programs or the rights and specifications under which the III. Economic Impact and Impact on Small Entities obligations of recipients thereof, or performance of alternate analytical test (4) Raise novel legal or policy issues methods would be deemed acceptable This final rule provides for flexibility arising out of legal mandates, the for compliance. The Agency envisions in allowing the regulated industry to use President’s priorities, or the principles that a performance based approach certain alternative analytical test set forth in this Executive Order.5 could provide additional flexibility to methods at § 80.46 for eighteen It has been determined that this final the regulated industry in their choice of additional months. This final rule is not rule is not a ‘‘significant regulatory analytical test methods to be utilized for expected to result in any additional compliance cost to regulated parties and 4 58 FR 51735, October 4, 1993. 3 (61 FR 34775). may be expected to reduce compliance 5 Id. at section 3(f)(1)–(4). 58306 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Rules and Regulations action’’ under the terms of Executive 2060–0277. The Agency number for the PART 80Ð[AMENDED] Order 12866 and is therefore not subject information collection requirements to OMB review. contained in this rule is 1591.03. This 1. The authority citation for part 80 final rule is not expected to result in any continues to read as follows: V. Unfunded Mandates additional compliance cost to regulated Authority: Secs. 114, 211, and 301(a) of the Under section 202 of the Unfunded parties and may be expected to reduce Clean Air Act as amended (42 U.S.C. 7414, Mandates Reform Act of 1995 compliance cost for regulated parties 7545, and 7601(a)). (‘‘UMRA’’), P.L. 104–4, EPA must because it continues to provide a choice 2. Section 80.46 is amended by prepare a budgetary impact statement to for the procurement of test methods for revising paragraphs (f)(3)(i) and (g)(9)(i) accompany any general notice of aromatics and oxygenates under the to read as follows: proposed rulemaking or final rule that RFG program. The Paperwork Reduction includes a Federal mandate which may Act of 1980, 44 U.S.C. 3501 et seq., and § 80.46 Measurement of reformulated result in estimated costs to State, local, implementing regulations, 5 CFR Part gasoline fuel parameters. or tribal governments in the aggregate, 1320, do not apply to this action as it * * * * * or to the private sector, of $100 million does not involve the collection of (f) * * * or more. Under section 205, for any rule information as defined therein. subject to section 202 EPA generally (3) Alternative test method. (i) Prior to must select the least costly, most cost- VII. Submission to Congress and the September 1, 1998, any refiner or effective, or least burdensome General Accounting Office importer may determine aromatics alternative that achieves the objectives content using ASTM standard method Under 5 U.S.C. 801(a)(1)(A) as added D–1319–93, entitled ‘‘Standard Test of the rule and is consistent with by the Small Business Regulatory statutory requirements. Under section Method for Hydrocarbon Types in Enforcement Fairness Act of 1996, EPA 203, before establishing any regulatory Liquid Petroleum Products by submitted a report containing this rule requirements that may significantly or Fluorescent Indicator Adsorption,’’ for and other required information to the uniquely affect small governments, EPA purposes of meeting any testing U.S. Senate, the U.S. House of must take steps to inform and advise requirement involving aromatics Representatives and the Comptroller small governments of the requirements content; provided that General of the General Accounting and enable them to provide input. * * * * * EPA has determined that this final Office prior to publication of the rule in today’s Federal Register. This rule in (g) * * * rule does not include a Federal mandate (9)(i) Prior to September 1, 1998, and as defined in UMRA. This final rule not a ‘‘major rule’’ as defined by 5 U.S.C. 804(2). when the oxygenates present are limited does not include a Federal mandate that to MTBE, ETBE, TAME, DIPE, tertiary- may result in estimated annual costs to List of Subjects in 40 CFR Part 80 amyl alcohol, and C to C alcohols, any State, local or tribal governments in the 1 4 Environmental Protection, Fuel refiner, importer, or oxygenate blender aggregate, or to the private sector, of may determine oxygen and oxygenate $100 million or more, and it does not additives, Gasoline, Imports, Labeling, Motor vehicle pollution, Penalties, content using ASTM standard method establish regulatory requirements that D–4815–93, entitled ‘‘Standard Test may significantly or uniquely affect Reporting and recordkeeping requirements. Method for Determination of MTBE, small governments. ETBE, TAME, DIPE, tertiary-Amyl Dated: November 5, 1996. VI. Paperwork Reduction Act Alcohol and C1 to C4 Alcohols in Carol M. Browner, The Office of Management and Budget Gasoline by Gas Chromatography,’’ for Administrator. has approved the information collection purposes of meeting any testing requirements contained in this rule For the reasons set forth in the requirement; provided that under the provisions of the Paperwork preamble, 40 CFR part 80 of the Code * * * * * Reduction Act, 44 U.S.C. 3501 et seq., of Federal Regulations is proposed to be [FR Doc. 96–29023 Filed 11–12–96; 8:45 am] and has assigned OMB control number amended as follows: BILLING CODE 6560±50±P federal register November 13,1996 Wednesday Weapons ofMassDestruction Continuation ofEmergencyRegarding Notice ofNovember12,1996Ð The President Part V 58307

58309

Federal Register Presidential Documents Vol. 61, No. 220

Wednesday, November 13, 1996

Title 3— Notice of Novemeber 12, 1996

The President Continuation of Emergency Regarding Weapons of Mass Destruction

On November 14, 1994, by Executive Order 12938, I declared a national emergency with respect to the unusual and extraordinary threat to the na- tional security, foreign policy, and economy of the United States posed by the proliferation of nuclear, biological, and chemical weapons (‘‘weapons of mass destruction’’) and the means of delivering such weapons. Because the proliferation of weapons of mass destruction and the means of delivering them continues to pose an unusual and extraordinary threat to the national security, foreign policy, and economy of the United States, the national emergency declared on November 14, 1994, and extended on November 14, 1995, must continue in effect beyond November 14, 1996. Therefore, in accordance with section 202(d) of the National Emergencies Act (50 U.S.C. 1622(d)), I am continuing the national emergency declared in Execu- tive Order 12938. This notice shall be published in the Federal Register and transmitted to the Congress. œ–

THE WHITE HOUSE, November 12, 1996. [FR Doc. 96–29317 Filed 11–12–96; 11:35 am] Billing code 3195–01–P i

Reader Aids Federal Register Vol. 61, No. 220 Wednesday, November 13, 1996

CUSTOMER SERVICE AND INFORMATION CFR PARTS AFFECTED DURING NOVEMBER

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 271...... 58281 For additional information 523±5227 272...... 58281 Proclamations: Presidential Documents 273...... 58281 6949...... 56397 Executive orders and proclamations 523±5227 301...... 56403, 57987 6950...... 56873 457...... 57577, 57583 The United States Government Manual 523±5227 6951...... 58129 Proposed Rules: Other Services Executive Orders: 400...... 57595 Electronic and on-line services (voice) 523±4534 199±A (Superseded in 932...... 57782 part by EO Privacy Act Compilation 523±3187 944...... 57782 13022) ...... 56875 1728...... 57788 TDD for the hearing impaired 523±5229 8682 (Superseded in part by EO 8 CFR ELECTRONIC BULLETIN BOARD 13022) ...... 56875 103...... 57583 8729 (Superseded in Free Electronic Bulletin Board service for Public Law numbers, part by EO 9 CFR Federal Register finding aids, and list of documents on public 13022) ...... 56875 53...... 56877 inspection. 202±275±0920 11048 (Superseded in 71...... 56877 part by EO FAX-ON-DEMAND 82...... 56877 13022) ...... 56875 92...... 56877 You may access our Fax-On-Demand service. You only need a fax 11593 (See EO 94...... 56877 machine and there is no charge for the service except for long 13022) ...... 56875 161...... 56877 distance telephone charges the user may incur. The list of 12015 (Amended by documents on public inspection and the daily Federal Register’s 13024) ...... 58125 Proposed Rules: table of contents are available using this service. The document 12992 (Amended by 304...... 57790 numbers are 7050-Public Inspection list and 7051-Table of EO 13023)...... 57767 308...... 57790 Contents list. The public inspection list will be updated 12996 (See EO 310...... 57790 immediately for documents filed on an emergency basis. 13022) ...... 56875 318...... 57791 NOTE: YOU WILL ONLY GET A LISTING OF DOCUMENTS ON 13022...... 56875 320...... 57790 FILE AND NOT THE ACTUAL DOCUMENT. Documents on 13023...... 57767 327...... 57790 public inspection may be viewed and copied in our office located 13024...... 58125 381...... 57790 416...... 57790 at 800 North Capitol Street, N.W., Suite 700. The Fax-On-Demand Administrative Orders: 417...... 57790 telephone number is: 301±713±6905 Presidential Determinations: 10 CFR FEDERAL REGISTER PAGES AND DATES, NOVEMBER No. 96±53 of September 26, 2...... 56623 13...... 56623 56397±56622...... 1 1996 ...... 56859 56623±56876...... 4 No. 96±55 of Proposed Rules: 430...... 56918, 57794 56877±57280...... 5 September 30, 1996 ...... 56861 57281±57576...... 6 12 CFR 57577±57766...... 7 No. 96±56 of September 30, 215...... 57769 57567±57986...... 8 1996 ...... 56863 218...... 57287 57987±58130...... 12 No. 96±57 of 225...... 56404 58131±58310...... 13 September 30, 250...... 57287 1996 ...... 56865 263...... 56407 No. 96±58 of 308...... 57987 September 30, 747...... 57290 1996 ...... 56857 Proposed Rules: No. 96±59 of 215...... 57797 September 30, 960...... 57799 1996 ...... 56859 Notices: 14 CFR Notice of November 21...... 57002 12, 1996 ...... 58309 25...... 56408, 57946 39 ...... 57291, 57295, 57296, 5 CFR 57298, 57299, 57300, 57301, Ch. XLII...... 57281 57304, 57311, 57313, 57315, Ch. LVII...... 56399 57317, 57319, 57322, 57232, Proposed Rules: 57993, 57994 1605...... 56904 71 ...... 56623, 56624, 57324, 57771, 57772, 58131 7 CFR 97 ...... 57003, 57998, 57999, 1...... 57577 58000 ii Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Reader Aids

121...... 57585 5...... 56928, 57597 455...... 57518 3810...... 58160 382...... 56409 7...... 56928, 57597 Proposed Rules: 3820...... 57837 Proposed Rules: 19...... 56928 52 ...... 56491, 56492, 56649, 3830...... 58160 39 ...... 56640, 56642, 56919, 20...... 56928 56650, 56930, 57343, 57834 3870...... 58160 56921, 56923, 56925, 57342, 22...... 56928 63...... 57602 4100...... 57605 57830, 57832, 58012, 58014, 24...... 56928 69...... 58158 4200...... 58160 58016, 58145, 58147, 58148 25...... 56928 82...... 56493 4300 ...... 56497, 57605, 58160 71 ...... 56479, 56480, 56644, 27...... 56928 85...... 58022 4700...... 57605, 58160 58150 70...... 56928 86...... 58028 5000...... 58160 73...... 56927 250...... 56928 89...... 58028 5460...... 57605 382...... 56481 251...... 56928 152...... 57356 5470...... 58160 156...... 57356 5510...... 57605, 58160 15 CFR 28 CFR 180...... 57356 6400...... 56651 902...... 56425 540...... 57568 247...... 57748 8200...... 57605 990...... 58131 300...... 56931 8340...... 57605 2301...... 57966 29 CFR 437...... 56650 8350...... 57605 0...... 57281 8360...... 57605 41 CFR 17 CFR 1910...... 56746 8370...... 58160 200...... 56891 1915...... 56746 105±735...... 56399 8570...... 57605 9180...... 58160 201...... 57773 1926...... 56746 42 CFR Proposed Rules: 9210...... 57605 300...... 56485 30 CFR 50...... 56631 9230...... 58160 Proposed Rules: 431...... 58140 9260...... 57605 18 CFR 943...... 56648 Proposed Rules: 44 CFR 365...... 57325 121...... 58158 32 CFR 375...... 57325 43 CFR 64...... 57572 Proposed Rules: 92...... 56896 Proposed Rules: 45 CFR 1301...... 58018 176...... 56896 644...... 58133 1600...... 58160 205...... 58140 19 CFR 706...... 58009 1820...... 58160 1301...... 57186 1840...... 58160 Proposed Rules: 1303...... 57186 Proposed Rules: 1850...... 58160 10...... 56645 199...... 56929 1304...... 57186 1860...... 58160 18...... 56645 1305...... 57186 1880...... 58160 114...... 56645 33 CFR 1306...... 57186 2090...... 56496, 58160 117...... 57585 1308...... 57186 2200...... 58160 21 CFR Proposed Rules: 2300...... 58160 46 CFR 50...... 57278 117...... 57599 2520...... 58160 14...... 56632 178...... 56892 165...... 57599 2540...... 58160 28...... 57268 312...... 57278 2560...... 58160 36 CFR 150...... 58143 520...... 56892 2620...... 58160 221...... 56900 530...... 57732 Proposed Rules: 2720...... 58160 556...... 56892 223...... 58281 2800...... 57605, 58160 Proposed Rules: 610...... 57328 2810...... 58160 586...... 58160 812...... 57278 37 CFR 2880...... 58160 47 CFR 1308...... 56893 1...... 56439 2910...... 58160 Proposed Rules: 2...... 56439 2920...... 57605, 58160 1...... 57334 101...... 58151 5...... 56439 3000...... 58160 73...... 57335, 57336 10...... 56439 80...... 58010 22 CFR 3100...... 56651, 58160 3120...... 58160 87...... 58010 38 CFR 41...... 56438 3150...... 58160 Proposed Rules: 121...... 56894 2...... 56448 3160...... 58160 73...... 57359, 57360 3...... 56626, 57586 23 CFR 3180...... 58160 17...... 56897 3200...... 58160 48 CFR 640...... 57330 36...... 56449 3240...... 58160 1501...... 57336 42...... 56449 3250...... 58160 1503...... 57336 24 CFR Proposed Rules: 3260...... 58160 1509...... 57336 245...... 57960 17...... 56486 3280...... 58160 1510...... 57336 3500...... 56624 3410...... 58160 1511...... 57336 39 CFR 3420...... 58160 1512...... 57336 25 CFR 233...... 56450 3430...... 58160 1513...... 57336 309...... 57002 3450...... 58160 1516...... 57336 40 CFR 3470...... 58160 1519...... 57336 26 CFR 52 ...... 56461, 56470, 56472, 3480...... 58160 1527...... 57336 40...... 58004 56474, 56627, 56629, 56897, 3500...... 58160 1532...... 57336 48...... 58004 57331, 57775, 58133, 58281 3510...... 58160 1533...... 57336 49...... 58004 69...... 58158 3520...... 58160 1535...... 57336 301...... 58004 70...... 056631, 57589 3530...... 58160 1542...... 57336 601...... 58004 80...... 58304 3540...... 58160 1552...... 57336 602...... 58004 86...... 58102 3550...... 58160 9904...... 58011 Proposed Rules: 89...... 58102 3560...... 58160 Proposed Rules: 1 ...... 56647, 58020, 58152 90...... 58296 3590...... 58160 1...... 57622 180...... 58135 3710...... 58160 2...... 57622 27 CFR 261...... 57334 3730...... 58160 14...... 57622 Proposed Rules: 266...... 56631 3740...... 58160 15...... 57622 4...... 56928 300...... 56477, 57594 3800...... 58160 36...... 57622 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Reader Aids iii

52...... 57622 53...... 57622 1552...... 57623

49 CFR 27...... 56409 1011...... 57339 1104...... 57339 1111...... 57339 1112...... 57339 1113...... 57339 1114...... 57339 1115...... 57339 1121...... 57339 Proposed Rules: 383...... 56936 391...... 56936 395...... 57252 571...... 56652 1310...... 56652

50 CFR 285...... 57340 600...... 57843 679 ...... 56425, 56477, 57340, 57341 Proposed Rules: 17...... 56501 36...... 56502 285...... 57361 300...... 57625 630...... 57361 644...... 57361 648...... 56902 660...... 56902 678...... 57361 679 ...... 56902, 57780, 57781 iv Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Reader Aids

REMINDERS Retailers and grocery Contracting by negotiation; Air quality implementation The items in this list were wholesalers; phase-out of Phase I rewrite; plans; √A√approval and editorially compiled as an aid license fee payments, comments due by 11-12- promulgation; various to Federal Register users. etc.; comments due by 96; published 9-12-96 States; air quality planning Inclusion or exclusion from 11-12-96; published 9-10- Contractors and offerors; purposes; designation of this list has no legal 96 certification requirements areas: significance. AGRICULTURE removed; comments due Louisiana et al.; comments DEPARTMENT by 11-12-96; published 9- due by 11-14-96; Animal and Plant Health 12-96 published 10-15-96 RULES GOING INTO Performance-based Hazardous waste: EFFECT TODAY Inspection Service Interstate transportation of payments; comments due Identification and listing-- by 11-12-96; published 9- Exclusions; comments due DEFENSE DEPARTMENT animals and animal products 10-96 by 11-14-96; published Army Department (quarantine): Simplified acquisition 10-2-96 Real estate handbook: Brucellosis in cattle, bison, procedures; comments Pesticide programs: Homeowners assitance and swine-- due by 11-12-96; Risk/benefit information; program; subpart E Rapid automated published 9-13-96 rescinded; published 11- presumptive test; reporting requirements; EDUCATION DEPARTMENT 13-96 comments due by 11- comments due by 11-12- Federal regulatory review: 96; published 10-25-96 ENVIRONMENTAL 12-96; published 9-13- PROTECTION AGENCY 96 Vocational and adult FARM CREDIT education programs; Pesticides; emergency Plant-related quarantine, ADMINISTRATION comments due by 11-15- exemptions, etc.: domestic: Farm credit system: 96; published 10-16-96 Propiconazole; published 11- Fire ant, imported; Disclosure to shareholders 13-96 comments due by 11-14- ENERGY DEPARTMENT and investors in FEDERAL 96; published 10-15-96 Property management: systemwide and COMMUNICATIONS AGRICULTURE Federal regulatory review; consolidated bank debt COMMISSION DEPARTMENT comments due by 11-12- obligations; quarterly report; comments due by Common carrier services: Federal Crop Insurance 96; published 9-11-96 11-12-96; published 10- Terminal equipment, Corporation ENVIRONMENTAL 11-96 connection to basic rate Crop insurance regulations: PROTECTION AGENCY access service and public Air programs: FEDERAL Cranberry crop; comments COMMUNICATIONS switched digital service; Fuel and fuel additives-- due by 11-12-96; COMMISSION published 8-15-96 published 9-13-96 Guam; anti-dumping and Terminal equipment, Common carrier services: Forage production crop; detergent additization connection to telephone Interstate operator services comments due by 11-12- requirements for network-- calls from payphones, 96; published 9-13-96 conventional gasoline; End-to-end digital exemption petition; other away-from-home AGRICULTURE connectivity for comments due by 11- aggregator locations, and DEPARTMENT consumers; correction; 15-96; published 10-16- collect calls from prison published 10-23-96 Food and Consumer Service 96 inmates; charges; comments due by 11-13- HEALTH AND HUMAN Food stamp program: Guam; anti-dumping and 96; published 10-23-96 SERVICES DEPARTMENT Quality control system; detergent additization Children and Families technical amendments; requirements for Radio stations; table of Administration comments due by 11-12- conventional gasoline; assignments: National Voter Registration Act 96; published 9-10-96 exemption petition; Florida; comments due by 11-12-96; published 9-30- of 1993; implementation; ARMS CONTROL AND comments due by 11- 96 published 11-13-96 DISARMAMENT AGENCY 15-96; published 10-16- Illinois et al.; comments due HEALTH AND HUMAN National Security Information; 96 SERVICES DEPARTMENT Air quality implementation by 11-12-96; published 9- comments due by 11-15-96; 30-96 Health Care Financing published 10-10-96 plans; approval and Administration promulgation; various South Carolina; comments COMMERCE DEPARTMENT National Voter Registration Act States: due by 11-12-96; of 1993; implementation; National Oceanic and Alaska; comments due by published 9-30-96 published 11-13-96 Atmospheric Administration 11-12-96; published 10- FEDERAL DEPOSIT Fishery conservation and 10-96 INSURANCE CORPORATION COMMENTS DUE NEXT management: District of Columbia; Assessments: WEEK Bering Sea and Aleutian comments due by 11-12- Savings Association Islands and Gulf of 96; published 10-10-96 Insurance Fund-- ADVISORY COUNCIL ON Alaska groundfish; Maine; comments due by Base assessment, HISTORIC PRESERVATION comments due by 11-12- 11-14-96; published 10- adjusted assessment 96; published 9-27-96 Historic Preservation, 15-96 and special interim rate Advisory Council Bering Sea and Aleutian New Jersey; comments due schedules; comments Historic and cultural properties Islands groundfish; by 11-14-96; published due by 11-15-96; protection; comments due comments due by 11-12- 10-15-96 published 10-16-96 by 11-12-96; published 9- 96; published 9-19-96 Pennsylvania; comments GENERAL SERVICES 13-96 Puerto Rico and U.S. Virgin due by 11-12-96; ADMINISTRATION AGRICULTURE Islands queen conch; published 10-10-96 Federal Acquisition Regulation DEPARTMENT comments due by 11-12- Tennessee; comments due (FAR): 96; published 9-27-96 Agricultural Marketing by 11-14-96; published Contracting by negotiation; Service DEFENSE DEPARTMENT 10-15-96 Phase I rewrite; Perishable Agricultural Federal Acquisition Regulation Utah; comments due by 11- comments due by 11-12- Commodities Act: (FAR): 12-96; published 10-10-96 96; published 9-12-96 Federal Register / Vol. 61, No. 220 / Wednesday, November 13, 1996 / Reader Aids v

Contractors and offerors; Permanent program and POSTAL SERVICE Allison; comments due by certification requirements abandoned mine land Domestic Mail Manual: 11-12-96; published 9-11- removed; comments due reclamation plan Address correction 96 by 11-12-96; published 9- submissions: information; comments Beech; comments due by 12-96 Kentucky; comments due by due by 11-12-96; 11-15-96; published 10- Performance-based 11-12-96; published 10- published 10-10-96 25-96 payments; comments due 25-96 SECURITIES AND Boeing; comments due by by 11-12-96; published 9- JUSTICE DEPARTMENT 10-96 EXCHANGE COMMISSION 11-12-96; published 10-3- Immigration and Securities: 96 Simplified acquisition Naturalization Service procedures; comments Quote Rule; continuous two- Immigration: Fokker; comments due by due by 11-12-96; sided quotations from 11-12-96; published 10-1- Agreements promising non- published 9-13-96 over-the-counter market 96 deportation or other makers and exchange HEALTH AND HUMAN immigration benefits; Hiller Aircraft Corp.; SERVICES DEPARTMENT specialists; comments due comments due by 11-12- by 11-12-96; published 9- comments due by 11-12- Food and Drug 96; published 9-13-96 12-96 96; published 9-13-96 Administration Children born outside United Food for human consumption: TRANSPORTATION Jetstream; comments due States; citizenship DEPARTMENT by 11-15-96; published 9- Food labeling-- certificate applications; 16-96 Free glutamate content of comments due by 11-12- Coast Guard foods; label information 96; published 9-10-96 Ports and waterways safety: Saab; comments due by 11- 15-96; published 9-16-96 requirements; comments LABOR DEPARTMENT Charleston Harbor and Cooper River, SC; safety due by 11-12-96; Occupational Safety and Class E airspace; comments zone; comments due by published 9-12-96 Health Administration due by 11-13-96; published 11-12-96; published 9-11- INTERIOR DEPARTMENT Safety and health standards: 10-16-96 Land Management Bureau 96 Exit routes (means of Regattas and marine parades: TRANSPORTATION Disposition; sales: egress); comments due DEPARTMENT Special areas: State by 11-12-96; published 9- Holiday Boat Parade of the Maritime Administration irrigation districts; 10-96 Palm Beaches; comments comments due by 11-12- due by 11-12-96; Subsidized vessels and State plans; development, published 10-11-96 96; published 9-13-96 enforcement, etc.: operators: Key West Super Boat Race; Forest management: California; comments due by comments due by 11-12- Maritime security program; Nonsale disposals-- 11-12-96; published 9-13- 96; published 10-11-96 establishment; comments Timber use by settlers 96 due by 11-15-96; TRANSPORTATION and homesteaders on NATIONAL AERONAUTICS published 10-16-96 pending claims and free DEPARTMENT AND SPACE TRANSPORTATION use of timber upon oil ADMINISTRATION Economic regulations: and gas leases; Federal DEPARTMENT Federal Acquisition Regulation Passenger manifest regulatory review; (FAR): information; comments Saint Lawrence Seaway comments due by 11- Development Corporation Contracting by negotiation; due by 11-12-96; 12-96; published 9-13- published 9-10-96 96 Phase I rewrite; Seaway regulations and rules: comments due by 11-12- TRANSPORTATION Indian allotments: Great Lakes Pilotage 96; published 9-12-96 DEPARTMENT Federal regulatory review; Regulations; rates Contractors and offerors; Federal Aviation comments due by 11-15- increase; comments due certification requirements Administration 96; published 10-16-96 by 11-12-96; published 9- removed; comments due Air traffic operating and flight 25-96 INTERIOR DEPARTMENT by 11-12-96; published 9- rules, etc.: TREASURY DEPARTMENT Fish and Wildlife Service 12-96 Grand Canyon National Endangered and threatened Performance-based Park, CO; special flight Customs Service species: payments; comments due rules in vicinity (SFAR Cactus ferruginous pygmy- by 11-12-96; published 9- Customs relations with No. 50-2)-- Canada and Mexico: owl; comments due by 10-96 Flight free zones and 11-12-96; published 10- Simplified acquisition reporting requirements Port Passenger Acceleration 10-96 procedures; comments for commercial Service System Northern copperbelly water due by 11-12-96; sightseeing companies; (PORTPASS); land-border snake; comments due by published 9-13-96 comments due by 11- inspection programs; 11-15-96; published 9-17- PANAMA CANAL 14-96; published 10-21- comments due by 11-12- 96 COMMISSION 96 96; published 9-12-96 INTERIOR DEPARTMENT Shipping and navigation: Aircraft products and parts; Information availability: Surface Mining Reclamation Canal tolls rates and vessel certification procedures: Export manifest data; and Enforcement Office management rules-- Replacement and confidential treatment of Indian lands program: Toll rates increase and modification parts; shippers' name and Abandoned mine land on-deck container standard parts address information on reclamation plan-- capacity measurement; interpretation; comments Automated Export System Hopi Tribe; comments due comments due by 11- due by 11-12-96; (AES); comments due by by 11-15-96; published 15-96; published 10-16- published 9-10-96 11-12-96; published 9-12- 10-16-96 96 Airworthiness directives: 96