FEDERAL REGISTER VOLUME 32 • NUMBER 208 Thursday, October 26, 1967 • Washington, D.C. Pages 14813-14879

Agencies in this issue-— Agency for International Development Air Force Department Atomic Energy Commission Civil Aeronautics Board Consumer and Marketing Service Defense Department Federal Aviation Administration Federal Communications Commission Federal Home Loan Bank Board Federal Maritime Commission Federal Reserve System Federal Trade Commission Fish and Wildlife Service Food and Drug Administration General Services Administration Housing and Urban Development Department Internal Revenue Service Interstate Commerce Commission Land Management Bureau Post Office Department Securities and Exchange Commission Transportation Department Detailed list of Contents appears inside.

J Latest Edition Guide to Record Retention Requirements [Revised as of January 1, 1967]

This useful reference tool is designed keep them, and (3) how long they to keep businessmen and the general must be kept. Each digest also includes public informed concerning published a reference to the full text of the basic requirements in laws and regulations law or regulation providing for such relating to record retention. It con­ retention. tains over 900 digests detailing the retention periods for the many types of records required to be kept under The booklet’s index, numbering over Federal laws and rules. 2,000 items, lists for ready reference the categories of persons, companies, The “Guide” tells the user (1) what and products affected by Federal records must be kept, (2) who must record retention requirements.

Price: 40 cents

Compiled by Office of the Federal Register, National Archives and Records Service, General Services Administration

Order from Superintendent of Documents, U.S. Government Printing Office Washington, D.C. 20402

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Published dally, Tuesday through Saturday (no publication on Sundays, Mondays, or j FEDEMLM&HEGISTER on the day after an official Federal holiday), by the Office of the Federal Register, National! ^ ^ m, qa9 Archives and Records Service, General Services Administration (mail address National Area Code 202 one Archives Building, Washington, D.C. 20408), pursuant to the authority contained in the Federal Register Act, approved July 26, 1935 (49 Stat. 500, as amended; 44 U.S.C., Ch. 8B), under regulations prescribed by the Admin-1 istrative Committee of the Federal Register, approved by the President (1 CFR Ch. I). Distribution is made only by the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402. T h e F ederal R egister will be furnished by mail to subscribers, free of postage, for $1.50 per month or $15 per year, payable In j advance. The charge for individual copies varied in proportion to the size of the issue (15 cents for the first 80 pages and 5 cents for j each additional group of 40 pages, as actually bound). Remit check or money order, made payable to the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402. The regulatory material appearing herein is keyed to the Code of F ederal R egulations, which is published, under 50 titles, pur­ suant to section 11 of the Federal Register Act, as amended. The Code o f F ederal R egulations is sold by the Superintendent of Documents. Prices of books and pocket supplements are listed in the first F ederal R egister issue of each month. There are no restrictions on the republication of material appearing in the F ederal R egister or th e Code of F ederal R egulations. Contents a g en c y f o r international FEDERAL HOME LOAN BANK HEALTH, EDUCATION, AND DEVELOPMENT BOARD WELFARE DEPARTMENT Rules and Regulations Rules and Regulations See Food and Drug Administra­ tion. Miscellaneous amendments to Employee responsibilities and con­ chapter______14844 duct; miscellanéous amend­ ments ____ ;______14817 HOUSING AND URBAN DEVELOPMENT DEPARTMENT AGRICULTURE DEPARTMENT FEDERAL MARITIME See Consumer and Marketing COMMISSION Rules and Regulations S erv ice. Nondiscrimination in federally Notices assisted programs; discrimina­ AIR FORCE DEPARTMENT Agreements filed for approval; tion prohibited______14819 Rules and Regulations City of Oakland and Sea-Land of California, Inc______14866 INTERIOR DEPARTMENT Administrative claims------14824 Pacific Coast Australasian Tariff Miscellaneous amendments to Bureau ______14866 See Fish and Wildlife Service; chapter ______14821 Investigation regarding movement Land Management Bureau. of cargo in containers; Trans­ ATOMIC ENERGY COMMISSION pacific Freight Conference of INTERNAL REVENUE SERVICE Jap an _____ 14865 Notices Proposed Rule Making University of Illinois; issuance of FEDERAL RESERVE SYSTEM Income tax ; definition of “trade or facility license amendment___ 14863 Proposed Rule Making business within U.S.” as applied to nonresident aliens and for­ Credit by brokers, dealers, and eign corporations______•_ 14848 CIVIL AERONAUTICS BOARD members of national securities Notices exchanges______:— 14855 INTERSTATE COMMERCE Hearings, etc. : Loans by banks for purpose of pur­ Allegheny Airlines, Inc.,' and chasing or carrying registered COMMISSION Lake Central Airlines, Inc___ 14863 stocks______14857 Notices International Air Transport As­ Loans by persons other than banks, brokers, or dealers------14853 Fourth section applications for v sociation (3 documents)____ 14863, relief_*_I______14876 14864' FEDERAL TRADE COMMISSION Motor carrier, broker, water car­ rier, and freight forwarder ap- CONSUMER AND MARKETING Rules and Regulations lications______14868 SERVICE Prohibited trade practices: Motor carrier temporary authority Griff’s of America, Inc------14818 applications______14876 Proposed Rule Making Griff’s of America, Inc., et al— 14818 Milk in Central Arizona market­ Horikoshi New York, Inc., and LAND MANAGEMENT BUREAU ing area; extension of time___ 14851 Tetsukichi Fuji!______14818 Rigley Distributing Co., Inc., et Notices a l ______14819 Arizona; proposed classification of DEFENSE DEPARTMENT Spiewak, I., & Sons, Inc., et al— 14819 public lands for exchange____ 14860 See also Air Force Department. California; proposed classification Rules and Regulations FISH AND WILDLIFE SERVICE of public lands for multiple-use Rules and Regulations management______14861 Uniform training categories and Nevada: pay groups within reserve Hunting on certain national wild­ Classification______14861 forces______14820 life refuges: Opening of lands to entry and Tennessee; Tennessee______14846 patenting______14862 federal a v ia t io n Washington; Conboy Lake; cor­ Washington; termination of pro­ rection ______14847 posed classification of public ADMINISTRATION Sport fishing on Arrowwood Na­ lands______14862 Proposed Rule Making tional Wildlife Refuge, N. Dak.; correction ______14847 Control zone; alteration______14852 POST OFFICE DEPARTMENT FOOD AND DRUG Proposed Rule Making federal communications ADMINISTRATION International mail; customs clear­ ance and delivery fees______14851 COMMISSION Notices Proposed Rule Making Color additive petitions: SECURITIES AND EXCHANGE Business radio service; transmis­ Certified Color Industry Com­ sion of program material to mittee ______:______14862 COMMISSION community antenna television Colorcon Inc______14863 Notices (CATV) systems______14852 GENERAL SERVICES Hearings, etc.: Notices Coditron Corp______14867 Hearings, etc.: ADMINISTRATION Fidelity Capital F u n d , Inc____ 14867 Bluefield Television Cable and Rules and Regulations Jodmar Industries, Inc______14867 Bluefield Cable Corp______14865 Federal supply schedules; devel­ Power Oil Co______14867 CATV of Rockford, Inc., et al_ 14865 opment, revisions, and agency Subscription Television, Inc__ 14868 Multivision Northwest, Inc__ _ 14865 coverage______14844 (Continued on next page) 14815 14816 CONTENTS

STATE DEPARTMENT See Agency for International De­ velopment. TRANSPORTATION DEPARTMENT See also Federal Aviation Admin­ istration. ' Rules and Regulations Official seal; limitations on use__ 14846 TREASURY DEPARTMENT See Internal Revenue Service.

List of CFR Parts Affected (Codification Guide)

The following numerical guide is a list of the parts of each title of the Code of Federal Regulations affected by documents published in today's issue. A cumulative list of parts affected, covering the current month to date, appears at the end of each issue beginning with the second issue of the month. A cumulative guide is published separately at the end of each month. The guide lists the parts and sections affected by documents published since January 1, 1967, and specifies how they are affected.

7 CFR 24 CFR 41 CFR P r o p o se d R u l e s : 1___ 14819 5A-73___ 1______14844 1131_i______14851 7-1______14844 26 CFR 7-4------14845 12 CFR P r o p o se d R u l e s : ' 7-30______14846 511______14817 1______^ __ C-______- 14848 P r o p o se d R u l e s : 32 CFR 47 CFR 207______14853 P r o p o se d R u l e s : 220 ______14855 102—___ 14820 221 ______14857 806______14821 91______.______14852 842______: 14824 14 CFR 875______14821 49 CFR 882___ ■______14824 P r o p o se d R u l e s : 3______14846 71______L______14852 39 CFR P r o p o se d R u l e s : 50 CFR 16 CFR 224______14851 32 (2 documents)______14846,14847 13 (5 documents)______14818,14819 232____ 14851 33.______14847 14817 Rules and Regulations

§ 511.735—13 Accepting gifts from for­ interests by such person is not necessary eign governments. because of the degree of supervision and Title 12— BANKS AND BANKING review over such person and the remote An employee shall not accept a gift, and inconsequential effect on the integ­ Chapter V— Federal Home Loan Bank present, decoration, or other thing from Board a foreign government unless authorized rity of the Agency and the Government. SUBCHAPTER A— GENERAL by Congress as provided by the Constitu­ 7. Part 511 is hereby amended by add­ ing, immediately after § 511.735-36, a [No. 20,884] tion and in 5 U.S.C. 7342. 4. Section 511.735-14 is h e r e b y new section, § 511.735—36a, to read as PART 511— EMPLOYEE RESPONSI­ amended by revoking subparagraph of follows: BILITIES AND CONDUCT paragraph (d) and by revising the sec­ § 511.735—36a Employee’s complaint on Miscellaneous Amendments tion heading to read as follows: filin g requirem ent. § 511.735-14 Outside employment and The Board’s grievance procedure is S e p t e m b e r 28, 1967. other activities. available to consider a complaint by an Resolved that, pursuant to and in ac­ * * * * * employee that his position has been im­ cordance with sections 201 through 209 of properly included under the regulations Title 18, United States Code, Executive (d) This section does not preclude an as one requiring the submission of a Order 11222 of May 8,1965 (3 F.R. 6469), employee from : statement of employment and financial and Title 5, Chapter I, Part 735 of the (1) [Revoked] interests. Code of Federal Regulations, Part 511 ***** 8. Section 511.735-39 is hereby revised of the general regulations of the Federal 5. Section 511.735-35 is hereby amend­ Home Loan Bank Board (12 CFR Part ed by adding, immediately after para­ to read as follows: 511) is hereby amended by amendments graph (c), a new paragraph, paragraph § 511.735—39 Supplem entary state­ the substance of which are as follows: (d), to read as follows: m ents. 1. Paragraph (b) of § 511.735-11 is Changes in, or additions to, the in­ hereby amended by adding, immediately § 511.735—35 Filing and review of state­ ments of employment and financial formation contained in an employee’s after subparagraph (6) a new subpara­ Form 511A shall be reported in a supple­ graph (7) to read as follows: interests. ***** mentary statement as of June 30 each §511.735-11 Gifts, entertainment, fa­ (d) To insure the confidentiality of year. If no changes or additions occur, a vors, and loans. the information contained in Forms 511A negative report is required. Notwith­ ***** and 51 IB and attachments, such forms standing the filing of the annual report (b) Exceptions. * * * and attachments shall only be acces­ required by this section, each employee (7) The receipt of bona fide reim­ sible to the Chairman, the Member of shall at all times avoid acquiring a fi­ bursement, unless prohibited by law, for the Board referred to in paragraph (b) nancial interest that could result, or take expenses of travel and such other nec­ of this section and the counselors and an action that could result, in a viola­ essary subsistence as is compatible with deputy counselors referred to in tion of the conflict-of-interest provisions this part for which no Government pay­ § 511.735-4. They shall be responsible of section 208 of Title 18 U.S.C. or Sub­ ment or reimbursement is or will be for maintaining the statements in con­ part B of this part. made. This paragraph does not allow an fidence and shall not allow access to or 9. Paragraph (a) of § 511.735-44 is employee to be reimbursed, or payment allow information to be disclosed from hereby amended by revising subpara­ to be made on his behalf for excessive such forms and attachments to such graph (2) of said paragraph (a) to read personal living expenses, gifts, enter­ forms except to carry out the purpose as follows: tainment or other personal benefits, nor of this part and for good cause shown. does it allow an employee to be reim­ § 511.735—44 Specific provisions of bursed by any person for travel on offi­ 6. Section 511.735-36 is hereby revised Agency regulations for special Gov­ cial business under agency orders when to read as follows: ernm ent em ployees. reimbursement is proscribed by decision § 511.735—36 Employees required to (a) * * * B-128527 of the Comptroller General submit statements. (2) The financial interest of the spe­ dated March 7,1967. cial Government employee which are de­ Except as provided in § 511.735-37, termined to be relevant in the light of the ***** statements of employment and financial interests on Form 511A shall be filed by duties he is to perform. 2. Section 511.735-12 is hereby re­ * * * * * vised to read as follows: each employee who is a Director, Deputy Director, Associate Director or Assistant 10. Paragraphs (d), (g), (h), (j), and §511.735—12 Soliciting contributions; Director of a Division or an Office of the (p) of § 511.735-55 are hereby revised accepting and giving gifts. Agency (regardless of his specific title), to correct statutory reference made ob­ An employee shall not solicit a con­ an Adviser or Assistant to the Board, an solete by codification of Title 5 United tribution from another employee for a Assistant to the Chairman or Member of States Code and a new paragraph, para­ gift to an official superior, make a dona­ the Board, a Hearing Officer, the Office graph (q), is hereby added to said sec­ tion as a gift to an official superior or ac­ Services Manager, a Chief Examiner, tion. As amended, paragraphs (d), (g), cept a gift from an employee receiving an Assistant Chief Examiner and an (h), (j), (p), and (q) of § 511.735-55 less pay than himself (5 U.S.C. 7351). Examiner serving as Examiner-in­ read as follows: However, this paragraph does not pro­ charge of examinations of member in­ § 511.735—55 Miscellaneous statutory hibit a voluntary gift of nominal value or stitutions or institutions applying for provisions. donation in a nominal amount made on a membership. However, employees de­ ***** special occasion such as a marriage, ill­ scribed in this paragraph may be ex­ ness or retirement. cluded from the reporting requirement (d) The prohibitions against disloy­ alty and striking (5 U.S.C. 7311,18 U.S.C. 3. Section. 511.735-13 is h e r e b y when the Board determines that the amended by adding a statutory refer­ duties of such person are at such a level 1918) ($1,000 fine and/or 1 year and 1 ence; as so amended, that section reads of responsibility that the submission of day in prison). as follows: a statement of employment and financial

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14818 RULES AND REGULATIONS

(g) The provision relating to the ha­ from: Receiving or accepting, directly cease and desist from entering into, con. bitual use of intoxicants to excess (5 or indirectly, from any seller, anything of tinuing, cooperating in, or carrying out U.S.C. 7352) (ineligibility for many posi­ value as a commission, brokerage, or any agreement, understanding, com- tions) . other compensation, or any allowance or bination, conspiracy, or planned com- (h) The prohibition against the mis­ discount in lieu thereof, upon or in mon course of action, between or among use of a Government vehicle (suspension connection with any purchase of food any of said respondents or between any from duty or removal from employment). commodities or any other product for of said respondents and others not par- (31 U.S.C. 638a(c)). respondent’s own account or where re­ ties hereto to do or perform any of the * ' * * » * * spondent is the agent, representative, or following acts or things: (j) The prohibition against the use other intermediary acting for, or in be­ (1) Induce any seller of any com- i of deceit in an examination or personnel half of, or is subject to, the direct or in­ modity to pay or allow a brokerage fee, action in connection with Government direct control of, any buyer. commission or discount, to an agent or employment (18 U.S.C. 1917) ($1,000 fine It is further ordered, That the re­ representative of any buyer; and/or 1 year in prison). spondent herein shall, within sixty (60) (2) Negotiate with any seller for the days after service upon it of this order, ***** purchase of any commodity on condition file with the Commission a report in writ­ that the buyer’s entire requirements be (p) The prohibition against political ing setting forth in detail the manner supplied by such seller,. provided such activities in subchapter III of chapter 73 and form in which it has complied with seller pay a brokerage fee to an inter­ of Title 5, United States Code and 18 this order. mediary specified by respondents and/or U.S.C. 602, 603, 607, and 608 (fines of Issued: September 25,1967. that said seller recognize an intermediary $5,000 and/or 5 years in prison). specified by said respondents to act as (q) The prohibition against an em­ By the Commission. a wholesaler when said wholesaler is, in ployee acting as the agent of a foreign [ s e a l ] J o s e p h W. S h e a , fact, an agent of or subject to the control principal registered under the Foreign Secretary. of, said respondents or any of them. Agents Registration Act (18 U.S.C. 219). (3) Fixing or establishing prices for [F.R. Doc. 67-12623; Filed, Oct. 25, 1967; These amendments were approved by 8 :4 5 a.m .] resale of any commodity by any means the Civil Service Commission on October to any retailer. 18, 1967, and are effective upon publica­ It is further ordered, That the re­ tion in the F ede r a l R e g is t e r . [Docket No. C-1257] spondents herein shall, within sixty (60) days after service upon them of this By the Federal Home Loan Bank Board. PART 13— PROHIBITED TRADE order, file with the Commission a report [ s e a l ] H a r r y W. C a u l s e n , PRACTICES in writing setting forth in detail the Secretary. Griff’s of America, Inc., et al. manner and form in which they have complied with this order. [F.R. Doc. 67-12646; Filed, Oct. 25, 1967; Subpart—Combining or conspiring: 8 :4 7 a.m .] § 13.425 To enforce or "bring about re­ Issued: September 25,1967. sale price maintenance. Subpart—Deal­ By the Commission. ing on exclusive and tying basis: § 13.- 670 Dealing on exclusive and tying [ s e a l ] J o s e p h W. S hea, Title 16— COMMERCIAL basis; 13.670-20 Federal Trade Commis­ Secretary. sion Act. Subpart—Discriminating in [F.R. Doc. 67-12624; Filed, Oct. 25, 1967; PRACTICES price under section 5, Federal Trade 8:4 5 a.m .] Chapter I— Federal Trade Commission Act: § 13.892 Knowingly inducing or receiving discriminating [Docket No. C-1259] Commission payments. [Docket No. 0-1256] (Sec. 6, 38 Stat. 721; 15 U.S.C. 46. Interprets PART 13— PROHIBITED TRADE PART 13— PROHIBITED TRADE or applies sec. 5, 38 Stat. 719, as amended; PRACTICES 15 U.S.C. 45) [Cease and desist order, Griff’s PRACTICES of America, Inc., et al., Dallas, Tex., Docket Horikoshi New Yprk, Inc., and Griff’s of America, Inc. C-1257, Sept. 25, 1967] Tetsukichi Fujii In the Matter of Griff’s of America, Inc., Subpart—Discriminating in price un­ Subpart—Importing, selling, or trans­ a Corporation; Brice Wholesalers, porting flammable wear: § 13.1060 Im­ der section 2, Clayton Act—Payment or Inc., a Corporation; and Robert L. porting, selling, or transporting flam­ acceptance of commission, brokerage or Fellers, an Individual other compensation under 2(c) : § 13.800 mable wear. Buyers’ agents. Consent order requiring a Dallas (Sec. 6, 38 Stat. 721; 15 U.S.C. 46. Interpret Tex., corporation which operates and or apply sec. 5, 38 Stat. 719, as amended; 67 (Sec. 6, 38 Stat. 721; 15 U.S.C. 46. Interprets Stat. Ill, as amended; 15 U.S.C. 45, 1191) or applies sec. 2, 49 Stat. 1526; 15 US.C. 13) franchises hamburger stands in several States and an Iola, Kans., food whole­ [Cease and desist order, Horikoshi New York, [Cease and desist order, Griff’s of America, Inc., et al., New York, N.Y., Docket C-1259, Inc., Dallas, Tex., Docket C-1256, Sept. 25, saler, to cease inducing the payment of Oct. 6,1967] 1967] illegal brokerage fees, entering into total- requirement contracts, and fixing resale In the Matter of Horikoshi New York, Consent order requiring a Dallas, Tex., Inc., a Corporation, and Tetsukichi corporation which operates and fran­ prices of any commodity. The order to cease and desist, includ­ Fujii, Individually and as an Officer chises hamburger stands to cease engag­ of Said Corporation ing in illegal brokerage activities in the ing further order requiring report of sale of food products. compliance therewith, is as follows: Consent order requiring a New York The order to cease and desist, includ­ It is ordered, That respondents Griff’s City distributor of fabrics to cease im­ ing further order requiring report of of America, Inc., and Brice Wholesalers, porting, selling, and transporting dan­ compliance therewith, is as follows: Inc., each a corporation, and their of­ gerously flammable fabrics. It is ordered, That respondent Griff's ficers, agents, representatives, and em­ The order to cease and desist, includ­ of America, Inc., a corporation, and its ployees, and respondent Robert L. ing further order requiring report of officers, agents, representatives, and em­ Fellers, an individual, and his agents, compliance therewith, is as follows: ployees, directly or through any corpo­ representatives, and employees, directly It is ordered, That respondents Hori­ rate or other device in connection with or through any corporate or other de­ koshi New York, Inc., a corporation, and the purchase of food commodities and vice, in connection with the purchase or its officers, and Tetsukichi Fujii, indi-, other products, in commerce, as “com­ sale of any commodity in commerce, as vidually and as an officer of said cor­ merce” is defined in the amended Clay­ “commerce” is defined in the Federal poration, and respondents’ representa­ ton Act, do forthwith cease and desist Trade Commission Act, do forthwith tives, agents, and employees, d ir e c tly or

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14819

Ihrough any corporate or other device, Clayton Act, do forthwith cease and de­ commerce, of wool products, as “com­ wo forthwith cease and desist from: sist from: Receiving or accepting di­ merce” and “wool product” are defined [ (a) Importing into the United States; rectly or indirectly, from any seller, any­ in the Wool Products Labeling Act of 1939, do forthwith cease and desist from br thing of value as a commission, broker­ [ (b) Selling, offering for sale, intro­ age, or other compensation, or any allow­ misbranding wool products by: ducing, delivering for introduction, ance or discount in lieu thereof, upon or 1. Falsely and deceptively stamping, transporting, or causing to be trans­ in connection with any purchase of any tagging, labeling, or otherwise identify­ ported, in commerce, as “commerce” is of such products for respondents’ own ing such products as to the character or Befined in the Flammable Fabrics Act; account or where respondents are the amount of the constituent fibers con­ agents, representatives, or other inter­ tained therein. or 2. Failing to securely affix to, or place [ (c) Transporting or causing to be mediaries acting for, or in behalf of, or are subject to, the direct or indirect con­ on, each such product a stamp, tag, label, (transported, for the purpose of sale or or other means of identification showing delivery after sale in commerce, trol of, any buyer. It is further ordered, That the respond­ in a clear and conspicuous manner each Lny fabric which, under the provisions ents herein shall, within sixty (60) days element of information required to be Lf section 4 of the said Flammable Fab- after service upon them of this order, disclosed by section 4(a) (2) of the Wool tics Act, as amended, is so highly flam- file with the Commission a report in writ­ Products Labeling Act of 1939. hnable as to be dangerous when worn ing setting forth in detail the manner It is further ordered, That the re­ ay individuals. and form in which they have complied spondents herein shall, within sixty (60) [ It is further ordered, That the re­ with this order. days after service upon them of this spondents herein shall, within sixty (60) Issued: September 25,1967. order, file with the Commission a report days after service upon them of this in writing setting forth in detail the [order, file with the Commission a report By the Commission. manner and form in which they have in writing setting forth in detail the [ s e a l ] J o s e p h W. S h e a , complied with this order. banner and form in which they have Secretary. Issued: September 29,1967. ujomplied with this order. [F.R. Doc. 67-12627; Filed, Oct. 25, 1967; By the Commission. I Issu ed :.October 6,1967. 8 :46 a.m .] [ s e a l ] J o s e p h W. S h e a , By the Commission. Secretary. [ [seal] . " J o s e p h W. S h e a , [Docket No. C-1258] [F.R. Doc. 67-12626; Filed, Oct. 25, 1967; Secretary. PART 13— PROHIBITED TRADE 8 :4 6 a.m .] | [P.R. Doc. 67-12625; Filed, Oct. 25, 1967; PRACTICES 8 :4 5 a.m .] I. Spiewak & Sons, Inc., et al. [D o ck et N o. C -1255] Subpart—Misbranding or mislabel­ Title 24— HOUSING AND HOUSING ing: § 13.1185 Composition: 13.1185- PART 13— PROHIBITED TRADE 90 Wool Products Labeling Act; § 13.- CREDIT PRACTICES 1212 Formal regulatory and statutory Subtitle A— Office of the Secretary, ' Rigley Distributing Co., Inc., et al. requirements; 13.1212—90 Wool Prod­ ucts Labeling Act. Subpart—Neglecting, Department of Housing and Urban Subpart—Discriminating in price un­ unfairly or deceptively, to make material Development der section 2, Clayton Act—Payment or disclosure: § 13.1845 Composition: 13.- acceptance of commission, brokerage or 1845-80 Wool Products labeling Act; PART 1— NONDISCRIMINATION IN other compensation under 2(c) r§ 13.800 § 13.1852 Formal regulatory and statu­ FEDERALLY ASSISTED PROGRAMS Buyers’ agents. tory requirements: 13.1852-80 W o o l OF THE DEPARTMENT OP HOUSING (Sec. 6, 38 Stat. 721; 15 U.S.C. 46. Interprets Products Labeling Act. AND URBAN DEVELOPMENT— EF­ or applies sec. 2, 49 Stat. 1526; 15 U.S.C. 13) (Sec. 6, 38 Stat. 721; 15 U.S.C. 46. Interpret FECTUATION OF TITLE VI OF THE [Cease and d e s ist order, R ig ley D istr ib u tin g or apply sec. 5, 38 Stat. 719, as amended; CIVIL RIGHTS ACT OF 1964 Co., Inc., et al., Lawrence, Kans., Docket secs. 2-5, 54 Stat. 1128-1130; 15 U.S.C. 45, 68) C-1255, Sept. 2 5 ,1 9 6 7 ] [Cease and desist order, I. Spiewak & Sons, Discrimination Prohibited Inc., et al., New York, N.Y., Docket C—1258, In the Matter of Rigley Distributing Co., September 29,1967] In § 1.4(b), the text of subparagraph Inc., a Corporation; and James Shirley, (2) is designated (i), and a new subdivi­ Individually and as an Officer of Rigley In the Matter of I. Spiewak & Sons, Inc., sion (ii) is added to read as follows: Distributing Co., Inc., and Robert L. a Corporation, and Gerald Spiewak, Fellers, Individually and as an Officer Robert I. Spiewak, and Martin H. Spie­ § 1.4 Discrimination prohibited. of Rigley Distributing Co., Inc. wak, Individually and as Officers of * * * * * Said Corporation Consent order requiring a Lawrence, (b) * * * Kans., food broker to cease accepting il­ Consent order requiring a New York ( 2 ) * * * legal brokerage in connection with the City clothing manufacturer to cease mis­ (ii) A recipient, in operating low-rent sale of food products. branding its wool products and failing to housing with Federal financial assistance The order to cease and desist, includ­ affix proper labels thereto. under the United States Housing Act of ing further order requiring report of The order to cease and desist, includ­ 1937, as amended (42 U.S.C. 1401 et seq.), compliance therewith, is as follows: ing further order requiring report- of shall assign eligible applicants to dwelling \ It is ordered, That repsondents Rig­ compliance therewith, is as follows: units in accordance with a plan, duly ley Distributing Co., Inc., a corporation, It is ordered, That respondents I. Spie­ adopted by the recipient and approved and its officers, agents, representatives, wak & Bons, Inc., a corporation, and its by the responsible Department official, and employees; James Shirley, in­ officers, and Gerald Spiewak, Robert I. providing for assignment on a com­ dividually and as an officer of Rig­ Spiewak and Martin H. Spiewak, indi­ munity-wide basis in sequence based ley Distributing Co., Inc.,; and Rob­ vidually and as officers of said corpora­ upon the date and time the application is ert L. Fellers, individually and as tion, and respondents’ representatives, received, the size or type of unit suitable, an officer of Rigley Distributing Co., agents, and employees, directly or and factors affecting preference or Inc.; and their agents, representatives, through any corporate or other device, priority established by the recipient’s and employees, directly or through any in connection with the manufacture for regulations, which are not inconsistent corporate or other device, in connection introduction into commerce, the intro­ with the objectives of Title VI of the with the purchase of food commodities duction into commerce, or the offering Civil Rights Act of 1964 and this Part 1. ^nd other products, in commerce, as for sale, sale, transportation, distribution, The plan may allow an applicant to re­ “commerce” is defined in the amended delivery ion shipment or shipment, in fuse a tendered vacancy for good cause

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14820 RULES AND REGULATIONS without losing his standing on the list, be placed in one of the following training (b) The Secretaries of the Military but shall limit tlie number of refusals categories, as determined by the Secre­ Departments shall determine which of without cause as prescribed by the re­ tary of the Military Department con­ the above pay groups are to be estab­ sponsible Department official. The re­ cerned? lished for the reserve components of sponsible Department official is author­ their departments. (Designation of pay ized to prescribe and promulgate plans, Annual num­ groups does not preclude additional paid exceptions, procedures, and requirements Training ber of periods Annual active-duty-for- training where otherwise authorized.) category of inactive- training for the assignment and reassignment of duty training (c) In order to conform to the ac­ eligible applicants and tenants consistent counting classifications prescribed in with the purpose of this subdivision (ii), A ...... J 48 15 days. DoD Instruction 7220.11, “Budget and this Part 1, and Title VI of the Civil B ...... 24 Do. - Accounting Classifications for Reserve] O 12 Do. Rights Act of 1964, in order to effectuate D ...... 0 Do. Component Personnel Appropriations’’,1 and insure compliance with the require­ E ...... 0 30 days. paid active-duty-for-training for school' ments imposed thereunder. F ...... 0 and special tours shall not be identified active-duty-for-training. (Sec. 602, Civil Rights Act of 1964, P.L. 88- G...... 12 0. as separate pay groups, but may be in 352, 78 Stat. 252, 42 U.S.C. 2000d-l; sec. 7(d); H ...... addition to the training provided by the courses. P.L. 89-174, 79 Stat. 670, 42 U.S.C. 3535(d); il'...... No training. established pay groups. U.S. Housing Act of 1937, as amended, 42 J______Officer traini]lg programs. (d) The Secretaries of the Military] U.S.C. 1401 et seq.) Departments may authorize multiple R o b e r t C. W ea v er , (b) Units and members of the Army training periods within appropriate pay Secretary of Housing and National Guard of the United States and groups; that is, more than one (1) paid Urban Development. the Air National Guard of the United inactive-duty training period to be con­ Approved: October 19, 1967. States (except those who are members ducted within one (1) calendar day, of the inactive National Guard) shall provided each is of at least four (4) L y n d o n B . J o h n s o n . be placed in a training category con­ horn's’ duration. However, no more than [FR. Doc. 67-12664; Piled, Oct. 25, 1967; sistent with the training requirements two (2) such paid training periods in 8 :5 0 a .m .] set forth in title 32, United States Code. one (1) calendar days may be authorized. (c) Additional training within any § 102.5 Tours of active-duty-for-training category may be prescribed by the Secre­ in excess of fifteen (15) consecutive taries of the Military Departments as days. Title 32— NATIONAL DEFENSE necessary and consistent with law. Chapter I— Office of the Secretary of (d) Only the following members of (a) Training funds, appropriated for Defense the Standby Reserve may be permitted to tours of active-duty-for-training in ex­ participate voluntarily in reserve train­ cess of fifteen (15) consecutive days with SUBCHAPTER B— PERSONNEL; MILITARY AND pay for selected reserve component per-: CIVILIAN ing and earn promotion and retirement points. sonnel (as distinguished from other re­ PART 102— UNIFORM TRAINING serve components training funds), shall (1) Personnel who have not fulfilled be used to provide sufficient annual ac-! CATEGORIES AND PAY GROUPS their statutory military service ob­ tive-duty-for-training for such person-1 WITHIN THE RESERVE FORCES ligations. (2) Personnel temporarily assigned to nel to acquire or maintain essential pro­ The following revision to Part 102 has ficiency in their military occupational the active Standby Reserve for hardship specialties, as follows: been approved: or other cogent reason who intend to S ec. return to the Ready Reserve. (1) Tours of active-duty-for-training 102.1 Purpose. as students at regular, associate, and re­ (3) Personnel who qualify for reten­ fresher courses of service schools, area 102.2 Applicability. tion in an active reserve status under the 102.3 Training categories. schools, unit schools, officer candidate 102.4 Uniform pay groups. provisions of section 1006, title 10, schools and other installations which 102.5 Tours of active-duty-for-training in United States Code. provide training applicable to the indi­ excess of fifteen (15) consecutive (4) Personnel who were transferred vidual’s assignment. d ays. from the Ready to the Standby Reserve 102.6 Basic requirements and’policy. (2) Other justified tours of active- active status list as key personnel on or duty-for-training, not to exceed ninety j Authority : The provisions of this Part 102 before July 31,1965. (90) days (including travel time) in any issued under sec. 2001, Title 10, United States Code; sec. 502, Title 32, United States Code. Standby Reserve members who are au­ 1 fiscal year for the following purposes: ] thorized by subparagraphs (1), (2), (3), (i) Staff and faculty for schools. § 102.1 Purpose. ajad (4) of this paragraph, and who (ii) Special field, fleet, and joint This part (a) establishes policy and volunteer to participate in reserve train­ exercises. designates uniform training categories ing, shall be placed in appropriate train­ (iii) Indoctrination training. for Ready Reserve and Standby Reserve ing categories. These members will not be entitled to pay and allowances, including (iv) Special tours of active-duty-for- of the armed forces under provisions of training in connection with projects re­ section 2001 of title 10, United States travel and transportation allowances for such training. lating to the reserve component pro­ Code; (b) establishes uniform Ready Re­ grams, including supports for operation serve pay groups, for budget and pay § 102.4 Uniform pay groups. of training camps and training ships,, purposes; and (c) provides uniform (a) The following uniform pay groupswhen appropriate personnel in active] planning and budgeting policies and military service are not available for the procedures relating; to and authorizing are established within the Ready Reserve for budget and pay purposes: duties to be performed and if such duties tours of active-duty-for-training with are essential to the organization and pay in excess of fifteen (15) consecutive training programs of the reserve com-] days for selected personnel of the reserve Annual number of ponent and are beyond the services which components of the armed forces. Pay group paid periods Annual paid active-duty- the active military forces normally pro­ of inactive- for-training § 102.2 Applicability. duty vide for the support of the reserve com­ The provisions of this part apply to the training ponent programs. Departments of the Army," Navy, and (3) Tours of active-duty-for-training A ...... 48 15 days. of thirty (30) days, authorized by section Air Force in the administration of the B ______24 Do. reserve components. C...... 12 Do. 270(a) of title 10, United States Code. D ...... 0 Do. § 102.3 Training categories. E ...... 0 30 days. F ...... 0 4 months minimum initial 1 Piled as part of original document. Copies (a) Each unit and member of the active-duty-for-training. available at the Publications Counter, Ready Reserve not on active duty shall OASD(A), 3 B 200 Pentagon, or OX 52167.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14821

(4) Tours of active-duty-for-training' (c) Those members of the Ready Re­ documentary material is called a dis­ of not more than forty-five (45) days serve who are not subject to mandatory closure authority. for failure to perform reserve training training participation requirements shall (b) When appropriate under this part, duty satisfactorily, as authorized in sec­ be encouraged to participate to the ex­ a disclosure authority at the major com­ tion 270 (b) and (d of title 10, United tent necessary to maintain their mobili­ mand or comparable level or directorate States Code. zation potential. or higher authority within Hq USAF is (5) Initial tours of active-duty-for- (d) Individual reservists who are authorized to refuse to make available training for basic training for individ­ qualified for retirement under the pro­ records or other documentary material uals entering directly into the Reserve visions of sections 1331 and 1332, title 10, to members of the public. This refusal Forces under provisions of section 511, United States Code, except for having authority may not be delegated below title 10, United States Code. reached 60 years of age, are required to this level, except that the authority to (6) Tours of active-duty-for-train­ attain 50 points annually to be retained refuse to make available material de­ ing of three (3) to six (6) months for in the Ready Reserve. Waiver of this re­ scribed in § 806.5(a) may be delegated to graduates of officers’ training programs quirement on a one-time basis may be commanders1 at installation, wing, or under provisions of paragraph (1), sub­ made under exceptional circumstances comparable level, or chiefs or offices1 at section 6(d), the Universal Military by the Secretary concerned. This policy directorate or higher level, within Hq. Training and Service Act. is effective with the anniversary date of USAF. (b) The Secretaries of the Military each reservist’s current training year * * * * * Departments are authorized to include, (retirement year) beginning on or after § 806.9 Addressing requests. July 1,1967. in the budget for the regular service, * * * * * funds to provide tours of active duty for M a u r ic e W. R o c h e , reservists for the purpose of meeting Director, Correspondence and (e) For other records, where the loca­ te m p o r a r y personnel requirements Directives Division, OASD tion of the records is known: Director which may or may not be directly inci­ (Administration). or chief, administrative services activity where record is located. dent to the furthering of the Reserve O c t o b e r 19, 1967. Forces program. ***** ]F.R. Doc. 67-12663; Filed, Oct. 25, 1967; § 102.6 Basic requirements and policy. 8:4 9 a.m .] (Sec. 8012, 70A Stat. 488; 10 U.S.C. 8012; 5 U.S.C. 552; DoD Directive 5400.7, June 1967) (a) In order to insure that trained [AFR 11—30, Change 1, Sept. 15, 1967] units and qualified individuals are avail­ able for active duty in time of war or Chapter VII— Department of the national emergency, as set forth in sec­ Air Force SUBCHAPTER H— AIR FORCE RESERVE tions 262 and 263 of title 10, United States OFFICERS’ TRAINING CORPS Code, and that funds appropriated an­ MISCELLANEOUS AMENDMENTS TO PART 875— DELAY IN ACTIVE DUTY nually for reserve training are adequate CHAPTER FOR AFROTC GRADUATES to meet mobilization requirements but Chapter VII of Title 32 of the Code not excessive to such need, the Secre­ of Federal Regulations is amended as A new Part 875 is added as follows: taries of the Military Departments shall follows: Sec. tale the following actionsTn accordance 875.0 Purpose. SUBCHAPTER A— ADMINISTRATION with the principles indicated, depend­ Subpart A— Definitions and General ent on the particular needs of the Mili­ PART 806— DISCLOSURE OF Responsibilities tary Department concerned: UNCLASSIFIED RECORDS 875.1 Definitions. (1) Establish criteria by which indi­ 875.2 Educational delay program respon­ viduals subject to the mandatory partic­ Section 806.6 is amended by revising sibilities. ipation requirement will be placed in an paragraphs (a) and (b), and § 806-9 is appropriate training category. Such cri­ amended by revising paragraph (e) to Subpart B— Reserve Status of AFROTC Graduates teria shall include consideration of the read as follows: and Policies Regarding Their Entry on EAD individual’s civilian employment and the § 806.6 Persons authorized to disclose or 875.3 Reserve status. proximity of established reserve drilling not to disclose records requested by 875.4 Delay policies. units to his place of residence or employ­ members of the public. Subpart C— Procedures and Criteria for Delaying ment. No individual shall be involuntar­ Entry on EAD ily placed in Training Categories A, B, (a) Except for those categories of records listed in paragraph (c) of this 875.5 Periods of delay. C, or E unless there is a vacancy in an 875.6 Reasons for granting delays and established training unit within reason­ section, the authority to make available records or other documentary material, maximum delay periods. able commuting distance, as determined 875.7 Unauthorized delays. by the Secretary of the Military De­ or portions thereof, to members of the 875.8 Application for delay. partment concerned. public is vested in commanders1 at major 875.9 Exceptions to policy and criteria. command or comparable level or higher (2) Establish criteria for identify­ 875.10 Special Instructions for changing authority. This authority may be dele­ from rated to nonrated assign­ ing all organized training units with a gated, but not below the level of installa­ ment after completing educational training category. Such criteria shall in­ tion, wing, or comparable commanders1 d ela y . clude, but not necessarily be limited to, or chiefs of offices1 at directorate or 875.11 Delay Board. the specialized nature of the training higher level within Hq USAF.- Addi­ 875.12 Hq USAF Educational Delay Board. required and the availability to the unit 875.13 Instructions for applying for delay of proper training aids and equipment tionally however, the authority to re­ or appeal of decisions and approval lease records and documentary material a u th o r ity . necessary to perform the assigned train­ of a routine nature which heretofore by ing mission. policy or practice have been made avail­ Authority : The provisions of this Part (b) In establishing the criteria called 875 issued under sec. 8012, 70A Stat. 488; able to the general public may be dele­ 10 U.S.C. 8012. for in paragraph (a) of this section, the gated to a lower level, but must be main­ following considerations shall govern: tained high enough to insure that So u rce: AFR 45-31, Aug. 1, 1967. (1) Training prescribed should be the releases are made by a responsible au­ § 875.0 Purpose. minimum number of inactive duty train­ thority and are in accordance with this ing periods and minimum periods of part. Examples of such types of records This part states policies and proce­ annual training required to maintain and documentary material are: Unclas­ dures for delaying the entry of Air Force the proficiency of the unit or individual. sified publications, organizational charts, 1 The personal approval of these officials (2) Wherever practicable, multiple photographs, local reports, and statistics, to disclose or refuse to disclose is not re­ inactive -duty training periods will be etc., not designated “For Official Use quired. They may assign this responsibility Used as substitutes for weekly paid train­ Only.” Anyone having the authority to to their principal deputy, vice commander, ing periods. disclose and release records and other or chief of staff.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 N o. 208------2 14822 RULES AND REGULATIONS

Reserve Officers’ Training Corps (AP briefed on this part at the beginning of current Air Force program. This period ROTC) graduates on. extended active his final year in AFROTC. may be longer in some cases, but nor­ duty (EAD) after appointment as sec­ (2) Require each AFROTC cadet: mally will not exceed 1 year after com­ ond lieutenants. It tells how to apply and (i) To make an initial statement of in­ missioning. Those entering flying train­ process an application for delay for the tent concerning plans to pursue graduate ing are programed for entry on EAD to purpose of pursuing graduate studies or work, at the time he accomplishes ARPC meet specific class entry dates. The num­ alleviating a hardship condition. Form 43, “Personnel Data—AFROTC.” ber of AFROTC graduates granted initial Subpart A— Definitions and General (ii) To forward a delay application as delays for educational reasons may be directed by § 875.13, if he has indicated affected by the needs of the Air Force for Responsibilities an intent to apply. EAD personnel. During normal years, the § 875.1 Definitions. (3) Inform each AFROTC cadet, at number of officers completing delays and the time of completing AP Form 477, entering EAD will compensate for the (a) Accredited educational institu­ that: tion. A college or university listed as be­ number of officers entering delay status. ing accredited in the latest issue of Part (1) If he is granted a delay and does In times of international tension when 3, “Higher Education,” of the Educa­ not take it, his call to EAD will not have more officers are required for EAD, the tion Directory published by the U.S. De­ been programed and he will be out of the granting of initial delays and renewal of partment of Health, Education, and normal assignment cycle. There may be existing delays may be restricted. All ed­ Welfare. Accredited law schools are those more than 90 days’ delay between his de­ ucational delays will be - closely moni­ sired EAD date and the actual date of tored. Requests for delays for study to approved by the American Bar Associa­ EAD. tion. the doctorate level, -with or without a (ii) An application for delay sub­master’s degree, will be approved only (b) Additional delay. A delay granted mitted less than 90 days before his if the Air Force has a valid need for the to pursue a doctorate after receiving a scheduled commissioning date normally doctorate specialty. master’s degree, complete a medical in­ will not be approved, and he will be con­ ternship, or complete the requirements (a) Eligibility for the delay. An sidered as available for EAD upon grad­ AFROTC officer may be eligible for de- for legal licensing. uation. (See § 875.9.) l^y in reporting for EAD: (c) Appeal. A request' for review by (b) AFROTC cadets. (1) Complete AF (1) If he has been accepted by an ac­ Hq USAP of a decision on a delay re­ Form 477 as prescribed in § 875.13. quest. credited educational institution to: (2) Initiate all requests for delays (1) Pursue a full-time course of in­ (d) Delay application forms. AP Form within the time element prescribed in struction in graduate or professional 477, “Application for Delay Prom Entry § 875.13. studies. on Extended Active Duty (APROTC),” to (3) If granted an educational delay, (ii) Permit him to serve the intern­ be completed by a cadet/officer request­ comply with the requirement to forward ship if required to obtain an advanced ing either an educational or hardship a current transcript to Hq AFIT at the degree. delay; AP Form 478, “Application To end of each grading period as specified (2) To complete the requirement for Complete Legal Licensing Require­ in § 875.13, note 5. a license to practice law before the high­ ments,’’ to be completed for additional est court of a State or a Federal court. educational delay. Subpart B— Reserve Status of AFROTC Graduates and Policies Regarding (3) If he would suffer extreme per­ No t e : AP Forms 477 and 478 will be re­ sonal or community hardship as a result produced locally, each on 8" x 10y2 " paper. Their Entry on EAD of entry on EAD. (See § 875.6.) (e) Educational delay. A delay §875.3 Reserve status. (b) Approval of the delay. An approval granted an APROTC graduate to pur­ (a) AFROTC graduates. Upon their will be based upon the applicant’s meet­ sue a full-time course of instruction in execution of the oath of office as Air ing the eligibility criteria prescribed for graduate or professional studies, at an Force Reserve (AFRes) officers, all the appropriate delay, and the require­ accredited educational institution, for AFROTC graduates become Ready Re­ ments of the Air Force at the time of the purpose of obtaining an additional servists. Concurrently with their appoint­ application. academic degree. ment as AFRes officers, the Commander, Subpart C— Procedures and Criteria (f) Extended active duty (EAD). A ARPC, will assign the graduates to the for Delaying Entry on EAD tour of active military service (normally Obligated Reserve Section (ORS) of for more than 90 days) performed by a CAC. § 875.5 Periods of delay. Reservist who occupies an authorized (b) AFROTC graduates granted a de­ An applicant may request a delay for troop space of the active military estab­ lay. (1) Personnel granted delays will be the periods prescribed below: lishment. Strength accountability for retained in the ORS until ordered to (a) Initial delay. The initial delay may persons on EAD changes from the Air EAD. They are not authorized to partici­ not exceed 1 year for an educational de­ Force Reserve to the active military es­ pate voluntarily in active or inactive lay or 6 months for a hardship delay. If tablishment. duty training. In an emergency, delays the purpose of the delay can be accom­ (g) Extension of delay. A delay may be terminated and officers may be plished in less than this period of time, granted beyond the maximum period ordered to EAD immediately. An officer’s then the request will be for the lesser listed in § 875.6. delay from entry on EAD does not relieve period. (h) Full-time course of instruction. him from fulfilling his contractual agree­ (b) Renewal of delay. An educational An uninterrupted course of instruction ment to serve on EAD upon termination delay may be renewed as prescribed in (summer sessions included) defined as of delay. § 875.13, provided the applicant is satis­ full-time under regulations of an ac­ (2) A cadet, designated “Distinguishedfactorily continuing the studies in the credited educational institution. Graduate” and selected for a Regular same field for which delayed. A hardship (i) Hardship delay. A delay granted Air Force (Reg AF) appointment, who delay may be renewed if the circum­ an APROTC graduate to alleviate a per­ applies for and is granted an educational stances concerning the hardship condi­ sonal or community hardship condition. delay will be appointed an AFRes officer. tion warrant additional time. In either (j) Renewal of delay. A delay granted He may be tendered a RegAF appoint­ case, the total delay may not exceed that ment after entry on EAD provided he authorized by § 875.6. beyond initial period authorized by the meets current criteria. (c) Maximum delay period. A delay approving authority and within the § 875.4 Delay policies. period will not exceed that authorized maximum period listed in § 875.6. by § 875.6. If the student’s academic pro­ Unless granted a delay for educational § 875.2 Educational delay program re­ gram can be arranged so that he can at­ sponsibilities. or hardship reasons, AFROTC graduates tain his degree in less than the time will be programed for entry on active limit shown, an earlier graduation date (a) Professors of aerospace studies duty within 90 days of their stated de­ will be established and the date will be (PAS). (1) Insure that each cadet is sire for EAD when possible within the binding.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14823

§ 875.6 Reasons for granting delays and maximum delay periods. delay. He will include in the letter suf­ ficient justification for requesting the And will change in category, and attach a copy Buie If the person— Then delay may be granted for— not of his college transcript. exceed— (b) ARPC will notify USAFMPC (AFPMRE), Randolph AFB TX 78148, 1 Study leading to a master’s degree. 2 years. of all such assignment changes. 2 Study leading to a law degree. 3 years. §875.11 Delay Board. Has applied for enrollment or has been accepted 3~ or conditionally accepted for enrollment, in Study required for a degree in medicine, The Commander. CAC, will establish the first class (summer sessions included when dentistry, veterinary medicine, or osteo­ offered) beginning after appointment. . pathic medicine. a delay board at ARPC to consider and 4 years. make determinations on applications for 4 Study leading to a doctorate degree without | | | award of a master’s degree. all delays and extensions listed below. The board will consist of at least three 5 Has submitted a statement from the dean of the An additional period to complete medical professional school indicating the reasons en­ degree. officers. An officer selected for member­ rollment will not terminate at the end of the ship on the board will be of field grade, 4-year period. when possible. A field grade judge ad­ 6 Has completed medical or pharmacy degree re­ Completion of medical or pharmacy intern­ 1 year. vocate officer will be a voting member quirements except internship training. ship. of the board in cases involving delay re­ 7 Has completed degree requirements except in­ Completion of required internship. quests submitted by AFROTC cadets ap­ ternship in a nonmedical program.1 plying for law delays. Technical person­ nel will be used as required to assist 8 Has completed academic work for award of a Study leading to a doctorate level degree. 2 years. master’s degree. board members. 9 Is enrolled in an institution that requires a Attainment of a B.S. degree. (a) The ARPC Delay Board will con­ 5-year course to obtain a B.S. degree and has sider the: satisfied requirements for a B.A. degree. (1) Initial educational delay to obtain 10 Has completed law degree requirements but has Completion of the first examination for a master’s degree. not been admitted to the practice of law before licensing in the State of his choice following the highest court of a State or Federal court.3-3 attainment of the academic degree, in 1 year. (2) Initial educational delay to ob­ order to practice law. tain a law degree. 11 Can submit documentary evidence that his Hardship reasons. (3) Additional delay, after graduation entry on EAD would cause4 8 undue per­ from law school, to complete the exam­ sonal or community hardship. ination for licensing to practice law. 1A program (except medical and pharmacy) which includes internship, will be approved only when the intern­ (4) Delay to obtain a B.S. degree, pro­ ship is a published requirement for graduation. An internship that is voluntary will not be allowed as part of the vided the college or university of enroll­ approved program. The student’s advisor must certify that the internship is, in fact, a mandatory requirement ment requires a 5-year course for a B.S. for the award of a degree. 2 A person cannot be designated an Air Force judge advocate or assigned to duties in the legal career field in the degree and the applicant has satisfied Air Force until he has been admitted to practice law before the highest.court of a State or a Federal court. requirements for a B.A. degree. 3 A person who cannot furnish documentary evidence that he has been admitted to practice law within the maxi­ mum delay period will be called to EAD in an Air Force specialty other than legal. (5) Delay for hardship. 4 Personal hardship exists: a. When the illness of a member of the reservist’s family (that is, wife, child, brother or sister, parent, or any person (b) All delay and renewal of delay who stands in loco parentis to the reservi st) is such that, in the option of an attending physician, fatality appears requests will be processed expeditiously. imminent or the reservist’s immediate departure may have a serious effect upon the patient. b. When entry on EAD, after the death of a member of the reservist’s family (see a above), would create a hard­ ARPC will notify applicants of the ship on the surviving members and the reservist’s presence is necessary in the settling of the estate. board’s decision within 5 workdays after c. When a member or members of the reservist’s immediate family are dependent upon him for support and his receiving the appropriate applications presence ft the only means of eliminating or materially alleviating the condition. 6 Extreme community hardship exists only if the service performed by the reservist is essential to the maintenance (AF Forms 477 and 478). When a delay of thehealth, safety, or welfare of the community; the service cannot be performed by other persons residing in the is denied, the applicant will be notified area; and the reservist cannot be replaced in the community by another person who can perform the service. by “certified mail—return receipt re­ § 875.7 Unauthorized delays. (c) Renewal of initial or additional de­quested.” Delays will not be granted to individ­ lay. An applicant must submit AF Forms § 875.12 Hq USAF Educational Delay uals to: 477 and 478 according to § 875.13. Board. (a) Pursue part-time work or part- § 875.9 Exceptions to policy and criteria. The Assistant DCS/Personnel for time study. Requests for extension of the maxi­ Military Personnel will establish the Hq (b) Receive advanced education lead­ mum delay periods outlined in § 875.6, USAF Educational Delay Board which ing to a degree of doctor of chiropractic or applications for delay submitted less will consist of at least three Air Force or podiatry. than 90 days before the applicant’s officers who possess broad and diversi­ (c) Study theology. scheduled date of commission, normally fied experience. The board’s primary

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14824 RULES AND REGULATIONS

§ 875.13 Instructions for applying for delay or appeal of decisions and approval authority.

A B C D E F Rule If request or appeal And purpose of delay Is to obtain— Then person will apply— Using And addressing And approving authority is— is for— format— request—

1 B.S., master’s, or law degree. ARPC.» (Note 3.) Initial educational No later than 90 days before AF Form Thru PAS to 2 delay. Medical degree. graduation. 477. ARPC.» AFPMRDC (Hq USAF Educa­ tional Delay Board).* 3 Doctorate degree. 4 Renewal of educa­ Master’s law, doctorate, or medi­ Each 12 months after entry on AFIT. tional delay. cal degree. initial or additional delay. 5 Doctorate other than medical Upon completion of master’s (see Rule 8, section 875.6). degree.8 (!) (') Direct to AFIT, 6 Medical extension (see rule 5, During medical school. info cy to ARPC. AFPMRDC (H USAF Educa­ section 875.6). tional Delay Board).* Additional educa­ 7 tional delay. Medical internship (see Rule 6, Upon completion of medical section 875.6). degree requirements. 8 Legal license (Rule 10, section 150 days before graduation from AF Form ARPC.« 875.6). law school. 478. 9 Initial delay. As soon as hardship arises. Direct to ARPC. Hardship delay. AF Form ARPC. 10 Renewal of delay. 6 months after initial delay is 477. granted. 11 Appeal of delay deci­ Within 5 workdays from receipt Personal Direct to ARPC AFPMRDC (Hq USAF Educa­ sion. of denial. letter. Delay Board, tional Delay Board).*

* PAS will insure completeness of the request before indorsement to ARPC. 8 A personal letter with an official current transcript of grades attached will be forwarded to APIT (CIE). 8 A copy of the approved delay request will be forwarded to AFIT. 4 Hq USAF Educational Delay Board results will bo forwarded to ARPC and AFIT for action and/or information. 8 At the end of each grading period (School term), the student must forward a personal letter, with an official, current transcript of grades to: AFIT (CIE), Wright-Patterson AFB OH 45433. 8 In request for additional delay, indicate the approving authority, date of approval, total period of delay, and major academic field of initial delay;

SUBCHAPTER I— MILITARY PERSONNEL § 8 8 2 .1 3 2 Oak le a f clusters. Sec. 842.6 Participation in prosecution of PART 882— DECORATIONS AND * * * The oak leaf cluster is worn on claims and disclosure of infor­ AWARDS the pendant ribbon and ribbon bar of all m a tio n . U.S. military decorations, the Combat 842.7 Prejudging claims. Section 882.25 is amended by deleting Readiness Medal and the Air Force Good paragraph (j); new § 882.54a is added; Conduct Medal, and on the ribbon bar of Subpart B— Article 139 UCMJ Claims § 882.77 is amended by adding the Com­ (10 U.S.C. 939) bat Readiness Medal as the first entry the Air Force Longevity Service Award Ribbon, Air Reserve Forces Meritorious 842.10 Scope and limitations of Article 139. in the table; and § 882.132 is amended by 842.11 Cognizable claims. revising the last sentence to read as Service Ribbon, Distinguished Unit Cita­ 842.12 Claims not cognizable under Ar­ follows: tion, Presidential Unit Citation, and the tic le 139. 842.13 How claimant presents claim. § 882.25 Military decorations. Air Force Outstanding Unit Award, * * * * * (Sec. 8012, 70A Stat. 488; U.S.C. 8012) [In­ Subpart C— Personnel Claims terim Ch. 8, ARM 900-3, Sept. 15, 1967] (j) [Deleted] 842.20 Scope of subpart. * * * * * By order of the Secretary of the Air 842.21 General provisions. § 882.54a Combat Readiness Medal. Force. 842.22 Presenting cognizable claims. 842.23 Cognizable claims' not payable. L u c ia n M. F e r g u s o n , (a) Description. Encircling a ring of Colonel, U.S. Air Force, Special 842.24 Claims not cognizable. stylized cloud forms, a border of con­ 842.25 Actions when lost or damage Activities Group, Office of property is insured. centric rays, its rim concave between 12 The Judge Advocate General. 842.26 Transfer and assignment of rights. points, charged with 6 arrowheads, al­ 842.27 Replacement in kind. ternating with the points of 2 triangular [F.R. Doc. 67-12619; Filed, Oct. 25, 1967; 8:4 5 a.m .J 842.28 Claims procedure. flight symbols, having centerlines ridged 842.29 Settlement authority. conversely. One is pointed south and 842.30 Property recovered by claimant. overlapping, and the other pointing SUBCHAPTER D— CLAIMS AND LITIGATION 842.31 Items turned in for salvage. north whose apex extends beyond the PART 842— ADMINISTRATIVE CLAIMS Subpart D e c la im s Under the Military Claims rim, becoming the point of suspension of Act (10 U.S.C. 2733) the medal. The ribbon is predominantly Supchapter D of Chapter VII of Title old glory red and banded in blue, with a 32 of the Code of Federal Regulations is 842.40 Scope of subpart. narrow dark blue stripe separated by two 842.41 General. wider'stripes of light blue. amended as follows: 842.42 Nonoombat activities. Part 842 is revised to read as follows: 842.43 Proper claimants. § 882.77 Authority for U.S. service 842.44 Claimants excluded. awards. Sec. 842.45 Claims payable under this subpart. 842.0 Scope. 842.46 Claims payable and not payable Award— Established by— under this subpart. Combat Readiness Secretary of the Air Subpart A— Processing Claims 842.47 Contributory negligence. Medal (CRM). Force, March 9, 1964, 842.1 Who may present a claim. 842.48 Statute of limitations. ‘ with qualifying serv­ 842.2 Where to present a claim. ice retroactive to Au­ 842.3 Evidence to be submitted by Subpart E— Foreign Claims (10 U.S.C. 2734) gust 1, 1960, as c la im a n t. amended on August 842.4 Emergency payment to relieve 842.50 Scope of subpart. 2 8 ,1 9 6 7 . hardship and suffering. 842.51 Scope and limitations of foreign * * • * 842.5 Transfers and assignments of claims. c la im s.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14825

Sec. Sec. (c) Splitting claims. A claim will 842.52 Determining cognizability of a 842.142 Nonassertable claims. normally include all damages that accrue cla im . 842.143 Action on medical report. to a claimant by reason of an accident or 842.53 Claims cognizable under this sub- 842.144 Waivers for undue hardship. p art. 842.145 W h e n compromise may be incident. For example, when the same 842.54 Settlement authority. w arran ted. claimant has a claim for damage to or 842.146 Releasing records and requesting loss of property and a claim for personal Subpart F— International Agreement Claims w itn esse s. injury or a claim based on death arising (10 U.S.C. 2734a and 2734b) out of the same incident, each of these, Subpart M— Nonappropriated Fund Claims 842.60 Scope of subpart. or any combination of them, represent 842.61 Types of claims agreements. 842.150 Scope of subpart. only an integral part or parts of a single 842.62 Government-to-govemment claims 842.151 Claims i n v o l v in g commercial claim or cause of action. Even if local law waiver agreements. in su ra n ce. permits the filing of split claims for 842.63 Territorial application (NATO). 842.152 Claims payable and not payable un­ 842.64 Effect of NATO SOFA and other der this subpart. property damage and personal injury, SOF agreements on U.S. statutes. 842.153 Claims submitted by fund em­ such a split claim will not be settled or 842.65 Claims excluded (NATO). ployees, customers, members, and paid without the prior approval of Hq 842.66 Government-to-government claims participants. USAF (AFJALD). (NATO). 842.154 Claims in favor of nonappropriated (d) Subrogation. (1) The claims of a 842.67 Processing NATO third party claims. fu n d s. subrogor (insured) and subrogee (in­ 842.68 Counterclaims (NATO). 842.69 International military headquarters. Subpart N— Civil Air Patrol (CAP) Claims (5 surer) for damages arising out of the 842.70 Processing international military U.S.C. 8141(c); 10 U.S.C. 2733, 2734, 9441, same incident constitute the basis of a headquarters third party claims. and 9801-9806; 28 U.S.C. 2761-2680; 31 single claim, and thus the total of such 842.71 U.S. sending state offices (SOFA). U.S.C. 71, 951-953; and 36 U.S.C. 201-208) claims may not exceed the monetary 842.72 International agreement claims pay­ 842.160 Scope of subpart. jurisdiction of the approving authority. m e n ts. 842.161 Relation of the CAP to the Air Force. If either claim or the combined claim 842.73 U.S. receiving state office (SOFA). 842.162 Cognizable third party claims. exceeds, or is expected to exceed settle­ 842.74 Claims procedure in the United 842.163 Compensation claims. States (SOFA). ment limits, neither claim will be 842.164 Government claims. 842.75 Lawsuit procedure in United States approved for payment, but the claim file (SOFA). Au th o r it y : The provisions of this Part will be forwarded to the next higher 842.76 Japanese SOFA. 842 issued under sec. 8012, 70A Stat. 488; authority. Care will be exercised to avoid 10 U.S.C. 8012, except as otherwise noted. the splitting of subrogated claims Subpart G——Claims Incident to the Use of Government Property Not Cognizable Under Source: AFM 112-1, Feb. 24, 1967. through improper approval for payment. Any Other Law (10 U.S.C. 2737) (2) The subrogor and the subrogee § 842.0 Scope. may file a claim jointly or individually. 842.80 Scope of subpart. This part establishes standard pro­ 842.81 Settling claims under this subpart. A fully subrogated claim will be paid only 842.82 Claims and damages not payable. cedures and uniform policies for admin­ to the subrogee. Joint claims must be 842.83 Settlement authority. istrative processing of claims; prescribes asserted in the names of and signed by basic records and reports used to process the real parties in interest, and the Subpart H^Adm iralty Claims (10 U.S.C. 9801— claims arising out of Air Force activities approved payment will be by a joint 9804 and 9806) and claims for which the Air Force has check sent to the subrogee. If split claims 842.90 Scope of subpart. been assigned responsibility; tells how are filed, payment will be by check issued 842.91 Authority, waiver, and time limita­ to prevent, process, and settle claims. to each claimant to the extent of his tion for admiralty claims. undisputed interest. 842.92 Payable and nonpayable claims. Subpart A— Processing Claims 842.93 Salvage claims. (3) Subrogated claims are not cog­ 842.94 Assertable claims. § 842.1 Who may present a claim. nizable under Subpart B, C, D, or G of (a) Property damage. (1) A claim for this part. Subpart I— Claims Under the Federal Tort Claims damage to, or loss or destruction of, Act (28 U.S.C. 2671-2680) (e) Insurance. An insured claimant property may be presented by the owner must make a detailed disclosure of his 842.100 Scope of subpart. of the property, his duly authorized insurance coverage by stating: 842.101 General provisions. agent or legal representative or survi­ 842.102 Proper claimants under the Federal (1) Insurer’s name and address. Tort Claims Act. vors, only as authorized in this part. (2) Kind and amount of insurance. 842.103 Cognizable claims. (2) As used in this part, .owner (3) Insurance policy number. 842.104 Claims not cognizable under this includes; (4) Whether a claim has been pre­ su b p a rt. (i) For real property. The mortgagor, sented to the insurer, and, if so, in what 842.105 Damages payable and not payable. and the mortgagee if he can maintain a amount. 842.106 Statute of limitations. cause of action in the local courts involv­ (5) Whether insurer has paid or is 842.107 Government’s right of indeminity. ing a tort to that specific property. When expected to pay the claim. 842.108 Suits against individuals. notice of dividend interests in real prop­ (f) Signature on claim. Claim forms 842.109 Attorneys’ fees. erty is received, the claim should, if 842.110 Alternative remedies available to will be signed in ink by the claimant. Sig­ cla im a n ts. possible, be treated as a joint claim. nature will be first name, middle initial, 842.111 Settlement authority. (ii) For personal property. A bailee, and last name. lessee, mortgagor, and conditional ven­ (1) Claim presented by individuals, (i) Subpart J— Property Damage Tort Claims in dee. A mortgagee, conditional vendor, or A married woman signs her name, e.g., Favor of the United States (31 U.S.C. 71, 95 1- others having title for purposes of secu­ Mary A. Doe, rather than Mrs. John Doe. 953) rity only are not proper claimants. If (ii) An authorized agent or represent­ 842.120 Scope of subpart. more than one party has a real interest ative who signs for a claimant must 842.121 Assertable and nonassertable claims. in the property damaged, all must join show, after his signature, his title or 842.122 Statute of limitations. in the claim. capacity and attach evidence of his au­ 842.123 Counterclaims. (b) Personal injury or death. (1) A thority to present a claim on behalf of Subpart K— Air National Guard Claims (32 ll.S.C. claim for personal injury may be the claimant as agent, executor, admin­ 715) presented by the injured person or by istrator, parent, guardian, or other rep­ 842.130 Scope of subpart. his duly authorized agent or legal resentative, e.g., John Doe by Richard 842.131 Legal provision for ANG claims. representative. Roe, attorney in fact. The authority must 842.132 Claims and claimants. > (2) A claim based on death may be have been executed within 180 days of presented by the executor or adminis­ presentation of the claim. Subpart L— Hospital Recovery Claims (42 U.S.C. trator of the deceased’s estate, or by any (2) Claim with joint interest. In States 2651-3) other person legally or beneficially enti­ or countries where community property 842.140 Scope of subpart. tled to do so under local law governing laws exist, both the husband and wife will 842.141 Assertable claims. the rights of survivors. sign the claim form if the claim is for

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14826 RULES AND REGULATIONS property damage or personal injury to of estates. Provisions of the statute do ant or offender, but commander may either spouse. Where a joint ownership not apply to claims of insurance subro­ reconsider a case. or interest in real property is recognized gees based on involuntary assignments. (e) Statutes of limitations. See § 842.- 12(g). by law, both the husband and wife must §842.6 Participation in prosecution of (f) Disciplinary action. Action under sign the claim form. claims and disclosure of information. this subpart does not in any way affect, (3) A claim presented by a corpora­ (a) Aid to claimants prohibited. Air nor is it affected by, disciplinary action tion. (i) If a corporate officer signs the Force personnel are forbidden to: taken against offenders; the two actions form, he will show his title or capacity are separate and distinct. and affix the corporate seal (if any) to (1) Represent or aid any claimant or potential claimant in the prosecution or § 842.11 Cognizable claims. the claim form. support of any claim against the United (ii) If a person not an oficer of the States. Claims cognizable under Article 139 corporate claimant signs, the claim form are those resulting from: on behalf of the corporation, he must (2) Receive any gratuity, share, or (a) Riotous, violent, and disorderly attach to the form a certification by a interest in any claim against the United conduct or acts of depredation by an in­ corporate officer that he is an agent of States. dividual or group that evinces a reckless the corporation duly authorized to pre­ (b) Fulfillment of official duties ex­ disregard of property rights with an sent and settle the claim, and must affix cepted. The prohibition against furnish­ implication of guilty intent, or from a the corporate seal (if any) to the cer­ ing aid to a claimant does not include the wrongful taking of property. Such acts as tification. assistance that claims officers and other raiding an apple orchard, watermelon personnel render as an official part of patch, bar or lunch stand and breaking § 842.2 Where to present a claim. their duties. When he asks, the claimant street lights are cognizable; so are lar­ A claim will be presented to the com­ may: ceny, forgery, deceit, embezzlement, mander of the military or civilian per­ (1) Be advised how to present a claim fraud, misappropriation, and similar of­ sonnel involved, if known, or to the com­ and helped to prepare the claim and fenses when they involve a wrongful mander of the unit or installation at or assemble evidence. taking. nearest to which the accident or incident (2) See or have returned to him or his (b) Willful damage due to gross neg­ occurred. If the accident or incident oc­ representative any evidence he originally ligence, i.e., an entire want of care which curred in a foreign country where no Air furnished, including documentary evi­ would raise the presumption of a con­ Force unit is stationed, the claim will be dence. scious indifference to the rights of others presented to the U.S. air attaché, any § 842.7 Prejudging claims. equivalent to the intentional violation attaché of the U.S. Armed Forces, or of them. Military Assistance Advisory Group per­ No Air Force personnel will, before sonnel authorized to receive claims. settlement action is taken by the ap­ § 842.12 Claims not cognizable under proving authority: Article 139. § 842.3 Evidence to be submitted by Claims are not cognizable when the claim ant. (a) Express any opinion to the claim­ taking, damage, loss, or destruction of' The claimant must submit competent ant about whether his claim should be property involves any of the following: evidence and information about the approved or disapproved, (Claimant may (a) Claims cognizable under other cause of the damage or injury for which be told what Air Force policy is on sonic regulations, except those resulting from claim is made, proof of ownership of boom claims and engineering investiga­ tions, and what the investigating engi­ an act or omission that occurred outside property, and proof of correctness of the the scope of the member’s employment amount claimed. neer thinks caused the claimant’s may be processed under this subpart, (a) Recoveries from third parties. Ifdamage.) either in whole or part, , if specific au­ the claimant has elected to proceed (b) Reveal to claimant the recommen­ thority has been obtained from the ap­ against a third party as a joint tort­ dations made by initiating authorities proving authority concerned. feasor or has recovered from an insurer and other headquarters below the (b) Claims resulting from simple neg­ or common carrier, he reports the facts approving authority. ligence. of such action and any amounts recov­ Subpart B— Article 139 UCMJ Claims (c) Subrogation claims. ered for items of damage which other­ (10 U.S.C. 939) (d) Any portion of a claim covered wise may properly be included in the by insurance, regardless of whether claim against the Government. § 842.10 Scope and limitations of Article claim is made against the insurer. 139. § 842.4 Emergency payment to relieve (e) Claims for personal injury or hardship and suffering. (a) Damage covered by Article 139. death. Only property that has been willfully (f) Claims for damage, loss, or de­ (a) Emergency payments up to $1,000 damaged, lost, or destroyed or wrong­ struction of property resulting from acts may be made to a potential claimant for fully taken—maximum amount recov- or omissions of military personnel while damage, injury, or death resulting from able is $250, regardless of number of acting within the scope of their em­ an accident involving an Air Force or ployment. ANG-controlled aircraft or missile. persons involved. (b) Proper claimants. Any person or (g) Complaints presented more than (b) Ah emergency payment is not a 90 days after the incident out of which gift or grant but an advance payment legal entity except an insurer or subrogee and the United States and its instrumen­ the claim arises, unless the commander against future settlement. It is intended acting on board report determines that to relieve immediate hardship and suf­ talities; military personnel, States, coun­ ties, and municipalities are proper good cause has been shown for the delay fering but is based on responsibility of in making complaint. (The commander’s the United States. If later a determina­ claimants. determination that good cause has or tion of no responsibility is made, no claim (c) Who may be held liable. Only has not been shown is final.) is filed, or the amount of the final award members of the U.S. Armed Forces. (h) Claims for Government property, or judgment is less than the emergency N o te: The Article 139 procedure is the only including property furnished through payment, recoupment action will be legal means by which ah Armed Forces mem­ the Armed Forces Clothing Monetary taken. ber can be forced to reimburse from bis pay Allowance System or issue. the property damage suffered by an injured § 842.5 Transfers and assignments of party. Under AW 105 all persons subject to (i) Claims for damage, loss, or de­ claim s. military law, including certain categories of struction of property caused wholly or civilian employees, could be held responsible. partly by a negligent or wrongful act of Transfers and assignments of claims Article 139, however, is so worded that it the claimant, his agent or his employee. against the United States ordinarily are precludes stopping the pay of a civilian em­ (j) Claims for indirect damages. null and void under 31 U.S.C. 203; ex­ ployee to pay for damage to private property. (k) Claims paid by the United States ceptions are assignments of claims by (d) Right of appeal. Article 139 pro­ under statute or international agree­ operation of law, such as to receivers or ment. trustees in bankruptcy or administrators vides no right of appeal for either claim­

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14827 (1) Claims resulting from acts or omis­authorized transportation or storage on (ii) Normally, not more than $25 may sions of civilian employees. the same orders. For example, if an au­ be approved for tools shipped in an auto­ tomobile, hold baggage, and household mobile. However, if no household goods § 842.13 How claimant presents claim. goods or other household effects are are shipped and tools in excess of stand­ Any person who believes that his prop­ damaged while being transported, all ard automobile tools are shipped with the erty has been willfully . damaged or will be presented in the same claim. car, the shipper may be compensated wrongfully taken by military personnel However, if this procedure causes a a reasonable and proper maximum may complain, orally or in writing, to hardship to the claimant, he may pre­ amount for the tools. the commander of the alleged offender. sent his claim, be paid for the then (iii) Only the transportation officer If he does not know the alleged offender’s known monetary loss, and amend it later (never the carrier) may state what es­ unit, he may complain to the commander when damage to other parts of his ship­ sential items will be included in an ex­ of the nearest Air Force base, station, ment has been established. If, for in­ pedited mode of transportation (para­ installation, unit, or attaché. Before final stance, immediate repair of the damaged graph 8005.1, JTR). The Air Force will action is taken, claimant must present automobile is necessary, the claim for consider claims for any personal prop- a written claim, in triplicate, for a defi­ such damage may be paid before the perty atuhorized to be shipped by ex­ nite amount. When appropriate the household goods damage claim. Also, if pedited mode. written claim may be considered the the claimant’s entire household goods (iv) Actual released valuation of complaint. are destroyed, and a definite hardship household goods is shown on the Govern­ Subpart C— Personnel Claims exists, he will be permitted to present ment Bill of Lading (GBL). (Exception; claim for items which are readily capa­ Released valuation for CONUS interstate § 842.20 Scope of subpart. ble of adjudication, such as major ap­ shipments will not be shown on the GBL This subpart tells how to administra­ pliances and furniture. The approving when the governing Military Rate Tend­ tively settle and pay claims presented by authority can then settle the partial er provides that shipments will be deemed Air Force military and civilian person­ claim and return the file to the claims released to a value of 60 cents per pound nel and Air National Guard and Air officer for the claimant to present his per article. If the owner requests a valu­ Force Reserve military personnel for per­ supplemental claim. ation in excess of the prescribed mini­ sonal property damaged or lost incident (b) What claims are cognizable undermum of 60 cents per pound per article, to their service. this subpart. Claims for tangible per­ this will be annotated on the GBL.) sonal property (including money) lost (v) Claims for depreciated value of § 842.21 General provisions. or damaged incident to service are cog­ missing property that is replaced by ne­ (a) Governing statute. 31 U.S.C. 240- nizable and payable under this subpart, cessity when a shipment is lost for a long 242 (Military Personnel and Civilian Em­ but only for types, quantities, or period of time are payable. If replace­ ployees’ Claims Act of 1964, as amended, amounts that the approving authority ment of items essential to everyday use Sept. 15, 1965 (T9 Stat. 789)) provides determines to be reasonable, useful, or was necessary, the depreciated value can that claims may be considered when the proper under the circumstances at the be awarded even though missing items personal property is reasonable, useful, time and place of the loss. In making were^ delivered before claim is presented or proper and the loss, damage, destruc­ his decision, the approving authority or perfected. The approving authority tion, capture, or abandonment was inci­ will consider the type and quantity of will determine which items are essential dent to service. If a claim is cognizable property involved, the circumstances at­ and whether they could have been bor­ under this statute, it must be processed tending its acquisition and use, and rowed from Government sources. under this subpart; if doubt exists, the whether possession or use by the claim­ (3) Losses resulting from marine or approving authority makes final deter­ ant at the time of the loss or damage aircraft disaster. Losses experienced by mination. was incident to service. crew members and passengers in marine (b) Proper claimants. All active duty (1) Borrowed property. Property bor­ or aircraft disasters while in a duty status Air Force military and civilian. person­ rowed from others may be the subject are cognizable. They may include jet­ nel and AFRes and ANG military per­ of a claim. For example, if one Airman tisoned baggage, items of clothing being sonnel engaged in inactive duty training borrowed a suitcase from another to worn at the time of the disaster, a rea­ under Federal law, their authorized ¿transport personal property while on sonable amount of money, reasonable and agents and legal representatives, and TDY and the suitcase was damaged or proper amounts of jewelry, and other their survivors in following order of prec­ lost en route, the borrower would be the lost items. Losses by Air Force members edence: (1) Spouse; (2) child or chil­ proper claimant.' However, this provi­ or employees in leave status are payable dren; (3) father, mother, or both; (4) sion does not cover property damaged only if they occur during authorized Gov­ brother, sister, or both. Air Force retired while being transported by one person ernment transportation. military personnel, if damage is in con­ for another merely to avoid a weight re­ (4) Losses due to enemy action or pub­ nection with last movement of personal striction and is not cognizable under this lic service. Such losses may include: property incident to service. subpart. (i) Those due to enemy action; action (c) Statute of limitations. Claim must (2) Transportation losses. Cognizable to prevent capture or confiscation; or be presented in writing within 2 years transportation losses include those in­ combat, guerrilla, brigandage, or other after it accrues, except during war or cident to transportation or storage pur­ belligerent activity, regardless of whether armed conflict, or if war or armed con­ suant to orders, travel under orders, and the United States was involved; or un­ flict occurs within the 2-year period fol­ duty performance, including losses to just confiscation by a foreign power or lowing accrual, when claimant shows property in the custody of a common its nationals. good cause, the claim may be presented or contract carrier or other commercial (ii) Action by the claimant to quiet a within 2 years after the cause ceases to firm under contract with the Govern­ civil disturbance, alleviate a public dis­ exist but not more than 2 years after ment, a Government agency, or a claim­ aster, or save human life or Government termination of the war or armed conflict. ant traveling in a private or public con­ property. A claim accrues when loss or damage is veyance in duty performance. Claims for (5) Loss of money. Cognizable money or should have been discovered by claim­ loss or destruction of property stored at losses are those resulting from; ant even though such loss or damage a commercial facility for the personal (i) Nonavailability of local commercial occurred at a prior time. convenience of a claimant and at his own facilities or when existing facilities are (d) Right of appeal. Action of ap­ expense are not payable under this sub­ not generally used by U.S. personnel. proving authority is final, but he may part. (ii) Failure of Government officials to reconsider a decision. (i) Although JTRs do not usuallyeither apply as directed or return per­ authorize property to be shipped on or­ sonal funds turned over to them, because § 842.22 Presenting cognizable claims. ders if it was acquired after the effective of their apparent authority to receive (a) Presenting claims for separate date of orders, the Air Force does not dis­ them, for safekeeping; deposit in Uni­ losses. Present in a single claim all known approve claims for reasonable household formed Services Savings Deposit Pro­ losses or damage to personal property goods so purchased. gram; transmission by personal transfer

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14828 RULES AND REGULATIONS account; purchase of U.S. bonds or postal (c) Quarters occupied by the claimant (a) Quarters outside the United States: money orders; conversion into military outside the United States but not as­ Quarters need not have been assigned or payment order, Government check, or signed or otherwise provided in kind by provided in kind by the Government un­ other kind of currency ; or other author­ the Government, except those occupied less claimant is a non-U.S. citizen em­ ized disposition. When a Uniformed Serv­ by a civilian employee who is a local in­ ployee who is a local national or a locally ices Savings Deposit claim is determined habitant. Quarters assigned or other­ hired employee. The only criterion is that payable, the claimant is entitled to the wise furnished in kind by the Govern­ due care was exercised. principal sum deposited, plus interest ment to a local inhabitant who is a (b) Quarters in the United States, as­ accrued to the time the claim is approved civilian employee of the Air Force are signed or otherwise provided by the Gov­ (Public Law 89-538 (80 Stat. 347) ). included. ernment: Payable only when definite proof of loss through larceny, burglary, (iii) Theft from assigned quarters in (ii) “Other authorized places” include any warehouse, office, hospital, baggage­ or housebreaking is presented. the United States or any quarters out­ — (ii) Any warehouse, office, hospital, side the United States. holding area, or other place authorized to receive or store property. baggage-holding area, storeroom, or (6) Damage to or less, (i) Privately other place authorized to receive or store owned automobiles and other motor ve­ (8) Theft of property. Claims are pay­ property. hicles and their component parts (includ­ able if claimant has exercised due care (9) Clothing and accessories worn on ing tools) when shipped to, from, or in protecting his property, and theft oc­ the person. Claims for such items may in­ between overseas areas under permanent curred at: clude eyeglasses, hearing aids, or den­ change of station orders; on a space (i) Quarters: Since money, jewelry, tures, but not items of Government required reimbursable basis in connection cameras, and other smt.ll items of sub­ property. with overseas travel under orders; or as stantial value are highly susceptible to a replacement vehicle under the pro­ theft, “due care” requires that they be § 842.23 Cognizable claims not payable. visions of Public Law 89-101 (79 Stat. secured within quarters which are them­ Although otherwise within the scope 425) (paragraph Ml 1006, JTR) (includ­ selves secured. Mysterious disappearance of this subpart, the following types of ing; on-loading and off-loading oper­ claims will not be paid. claims are not payable: ations) . Under special or unusual circum­ stances, damage or loss of component Remarks— parts (including tools) that have been Claims for— ,Small items of substantial value and money Articles easily lost, damaged, or pilfered (in­ accepted by the Government for ship­ shipped or stored with household goods or cluding watches and expensive jewelry such ment may be recommended to the ap­ as unaccompanied baggage (includes as rings, pins, broaches, necklaces, and proving authority for consideration as stamp and ooin collections and trading bracelets) should be carried, shipped, or a transportation loss (see subparagraph stamps) which are missing on delivery of stored as high value items—for this pur­ (2) (ii) of this paragraph). shipment unless shipment by expedited pose sterling silver flatware, hollow ware, (ii) Housetrailers and contents in mode was requested (see note). costume jewelry, and silver service are not shipment; Claim is not payable if dam­ “items of extraordinary value” and require age to the housetrailer results from negli­ no special handling unless shipped in a gence of the owner or is due to structural house trailer. or mechanical failure or construction Articles acquired, purchased, possessed, or This category includes articles acquired at defects. (If possible, include in claim file transported for persons other than the the request of others and articles for sale photographs of the damage and expert claimant or members of his immediate or use in a private business enterprise. evidence that it was or was not due to family except as reasonable bona fide gifts. Intangible property--— ------;------A chose in action, or evidence thereof, such structural failure.) All claims for loss or as bankbooks, promissory notes, stock cer­ damage to contents of housetrailer must tificates, bonds, bills of lading, warehouse be supported by a copy of the inventory of receipts, baggage checks, insurance poli­ such contents prepared at the time the cies, money orders, and travelers’ checks, mobile home was shipped and by a state­ is not a basis for payable claims. ment of the condition of the mobile home Government property. Includes property furnished through the before shipment, if appropriate. (See Armed Forces Clothing Monetary Allow­ chapter 7, part C, 71005, volume 2, JTR, ance System or through issue except when Dec. 1, 1965, and chapter 10, part A, military clothing is lost or damaged in 10003, volume 1, JTR, Nov. 1, 1964.) shipment incident to a service member’s (7) Losses at quarters or other au­ last move before release from active duty thorized places, caused by unusual oc­ or when items of clothing are in excess of currences. These losses include those the quantity required under the Mone­ caused by fire, flood, hurricane, typhoon, tary Allowance System. Enemy property. tornado, cyclone, explosion, earthquake, Property at quarters within the United States and similar catastrophies and disasters. that were not assigned or otherwise pro­ (i) “Quarters”, as used in this subpart, vided in kind to the claimant, including include: th e f t. (a) Substandard quarters and trailers Losses recovered or recoverable from an in­ occupied by the claimant that were as­ surer or carrier. signed or otherwise provided in kind by Proparty not recoverable from insurer or car­ the Government and privately owned rier because of negligence of claimant, or his'agent or employee. trailers for which space is provided on Property for which losses, or any portion of base, in the United States and overseas. losses, have been recovered or are recover­ (b) Garages, carports, or attached able pursuant to contract. buildings and driveways connecting Damage to property caused by negligence of Includes damage or loss of personal property these buildings with a street or thorough­ c la im a n t. caused in whole or part by lack of due fare and parking lots adjacent to quart­ care, negligence, or wrongful act of the ers, if specifically assigned for use by oc­ claimant, his wife or other agent or an cupants of those quarters (does not in­ employee while acting within the scope of clude on-street parking). his employment.

FEDERAL REGISTER, VOL. 32, NO, 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14829

to the extent of any payment he accepts, Claim s fo r— Continued R em arks— Continued all his rights, title, and interest in any Major appliances In storage damaged because If qualified repairmen determine that major claim against any carrier, contractor, o f n o n u se . appliances, such as television sets, wash­ warehouseman, insurer, or other party ing machines, dryers, refrigerators, and arising from the incident on which his freezers have deteriorated in storage and are not functioning properly solely be­ claim against the United States is based. cause of nonuse, neither repair costs nor When requested, he must also furnish depreciated value will be paid. If nonuse any evidence the U.S. Government may is only partially responsible for nonfunc­ require to enforce the claim. tioning, and other storage conditions (b) The claimant must remit to the such as dampness, heat, etc., also con­ United States any award he receives tribute, 50 percent of the repair costs will from any such party, up to the amount of be paid. If item is beyond economical re­ the award be accepted from the United pair, a straight rate, rather than 50 per­ States. cent of normal depreciation rate, will be § 842.27 Replacement in kind. applied for the storage period. Fees for obtaining repair estimates in con­ Exception: When the approving authority de­ When a claim is cognizable and pay­ nection with submitting a claim under this termines that the claimant could not ob­ able under this subpart, the commander su b p a rt. tain an estimate without paying a fee, he of the organization to which the claimant will allow an amount that he determines is assigned or attached may direct that to be reasonable in relation to the value of lost or damaged personal property be re­ items or cost of repairs, but only if the fee placed in kind from available Air Force will not be credited to the cost of repair stocks. when the work is accomplished. Note : Disapproved claims cognizable under Items acquired, possessed, transported, or AFM 67-1 may not be reopened for consid­ stored in violation of any U.S. Armed eration under this paragraph. Force directive or regulation. § 842.28 Claims procedure. Motor vehicles, including automobiles, motor If damage to claimant’s vehicle occurred bikes, motor scooters, bicycles, aircraft, and when it was being used while he was on When the cost of repair or damage b o a ts. TDY or POS orders with travel by POV does not exceed $50 an item and the authorized, or if vehicle was lost by theft claims investigator has actually in­ or vandalism while not in Government spected the damaged property, the claims custody or located at assigned quarters. officer and the claimant may agree on a Items fraudulently claimed. When investigation discloses that a claim­ reasonable amount to be claimed for re­ ant, his agent, or employee has intention­ pairs on an individual item in lieu of an ally misrepresented the cost, condition, independent estimate or appraisal by a repair cost, etc. of any item claimed, that qualified repairman. In such cases, the item will be disallowed in its entirety claims officer will certify that the prop­ even though it sustained actual damage. erty ha,s been examined and that, in his However, the remainder of the claim, if opinion, the amount claimed is a reason­ proper, will be paid. This action will not preclude investigation and action under able allowance for the cost of repairs. UCMJ, if warranted. (N o te: A mere mis­ § 842.29 Settlement authority. take in stating the amount of damage or loss will not be considered intentional mis­ (a) Personnel claims for more than representation for claims purposes.) $10,000 may be presented but cannot be administratively paid in excess of $10,000. Agent or attorney fees. (b) The Secretary of the Air Force or his designees may settle personnel claims N o te: If small items of substantial value are lost or destroyed because of fire, flood, hurri­ against the United States payable for cane, sinking of vessel, or other serious occurrence, the foregoing is not applicable. Items of $10,000 or less. The Secretary has dele­ extraordinary value, except bulky items, are not payable unless shipment by expedited gated his authority to settle such claims mode was requested. to the following persons: (1) Claims payable for $10,000 or less: § 842.24 Claims not cognizable. § 842.25 Actions when lost or damaged (1) The Judge Advocate General. (a) Any claim that did not arise in­ property is insured. (ii) The Assistant Judge Advocate cident to service. (a) Action by claimant. (1) ConsultGeneral. (b) Subrogation claims. base staff judge advocate for assistance (iii) Chief, Claims Division. (c) Assigned claims. in negotiating with the insurance com­ (iv) Assistant Chief, Claims Division. (d) Conditional vendor claims. pany. (As a rule, the claim against the (2) Claims payable for $5,000 or less: (e) Claims by non-Air Force personnel, insurer should be concluded before a per­ Staff Judge Advocate of Air Force Lo­ such as Red Cross employees, USO per­ sonnel claim is settled.) gistics Command. formers, contractor employees (including (2) Make written demand on Insurer (3) Claims payable for $2,500 or less: technical representatives), nonappropri- for reimbursement under terms and con­ (i) Staff Judge Advocates of: ated fund employees and Civil Air Patrol ditions of insurance coverage and within (a) Ogden Air Materiel Area. members and cadets. However, a member the time limits prescribed by the policy (b) Oklahoma City Air Materiel Area. of another U.S. Armed Force may pre­ before filing claim against the Govern­ (c) Sacramento Air Materiel Area. sent a claim to the Air Force for loss of ment. (If the only insurance is the ware­ (d) San Antonio Air Materiel Area. or damage to personal property incident houseman’s or carrier’s tariff liability, the (e) Warner Robins Air Materiel Area. to his service under 31 U.S.C. 240-242. claims officer will prepare a written de­ (/) Wright-Patterson Air Force Base. The claims officer will investigate such mand on such insurer for claimant’s (g) Alaskan Air Command. claims locally under provisions of this signature but will not hold a claim ih) Headquarters Command. subpart and forward completed file direct against the Government in abeyance ii) Pacific Air Forces. to the service concerned. Include in the pending a response to the demand.) (;') Seventh Air Force. file appropriate recommendations and all § 842.26 Transfer and assignment of ik) Thirteenth Air Force. required supporting documents, includ­ rights. il) Twenty-sixth Air Division. ing evidence pertaining to recovery from im) U.S. Air Forces in Europe. (a) When he executes AF Form 529, in) U.S. Air Force Southern Com­ a carrier, insurer, or other third party. the claimant assigns to the United States, mand.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 N o. 208------3 14830 RULES AND REGULATIONS

(ii) Director of Claims, U.S. Air Forces an amount not over $5,000. Claims ap­ Force may settle many claims that arise in Europe. proval in excess of $5,000 may be reported from its activities. Since in missile and (iii) Chief, U.S. Armed Forces Claims to the Congress for its consideration. H ie aircraft op eration s (including sonic Service, Japan. claimant must accept an award in full booms) a claimant would have difficulty (iv) Chief, Claims Division, Pacific Air satisfaction of the claim. establishing negligence of Air Force per­ Forces. (b) The Military Claims Act is an actsonnel, he need not allege or prove (4) Claims payable for $500 or less:of grace. A claimant acquires no legal or negligence or a wrongful act by military The staff judge advocate of each Air equitable rights merely because his in­ or civilian personnel to recover for dam­ Force base, station, and fixed installation. juries or damage are cognizable under it. age or injury resulting from noncombat activities. Nor must he allege and prove § 842.30 Property recovered by claim­ § 842.42 Noncombat activities. that the military or civilian personnel ant. (a) Some examples of noncombat ac­ who cause the damage or injury were (a) When the claimant executes the tivities are maneuvers and special field acting within the scope of their employ­ AF Form 529, he is advised and agrees exercises; practice firing of heavy guns ment. He need prove only a causal con­ that if any of the property for which and missiles; practice bombing; oper­ nection between an authorized noncom­ the claim is made is later recovered he ation of spacecraft and aircraft, includ­ bat activity and his injury or damage. will notify AFJALD immediately. If he ing the generation of sonic booms; use Certain claims, such as those arising out recovers property after this claim has of balloons; and movement of combat of aircraft accidents, might appear to been paid, the claimant may: vehicles or other equipment designed for arise from negligence but, for historical (1) Accept all of the property and re­ military use, such as prime movers, and practical reasons, they are treated turn the payment awarded to him by amphibious vehicles," and other vehicles administratively as arising, under the the Air Force. not primarily designed or used for civilian noncombat activities provisions of this purposes. Act (also see 28 U.S.C. 2680). (2) In the presence of the claims offi­ (b) The noncombat activities provi­ cer, examine the property and state his § 842.43 Proper claimants. intention to keep certain items for which sion is the only means by which the Air he has been paid. The claims officer will then obtain from the approving author­ Proper claimants— Scope and limitations— ity or the office where the closed claim is Property owners or their representatives Includes those who stand In a certain legal filed the amount paid on each item the (Upon presentation of evidence of author­ relationship with record owner, such as claimant has elected to retain. The ity to act for owner, an authorized agent bailee, lessee, mortgagor, or conditional claimant then forwards through the or legal representative may present a claim vendee, but not one who holds title only claims officer to the approving authority in the name of the claim ant). for security purposes (e.g., conditional vendor). If record owner is paid for prop­ a check or money order for the total erty damage, a person who has purchased amount, made payable to the Treasurer the property under an executory agree­ of the United States. ment may not be paid for the same dam­ (3) Disclaim any interest ifithe prop­ age. However, make every effort to unite erty and request that it be turned over all interested parties as joint claimants. to the Air Force R&M officer at the near­ Su brogees If an insurer has fully compensated an owner est Air Force installation. for his loss, the insurer is the only proper § 842.31 Items turned in for salvage. claimant. When only part of loss has been compensated, the insurer and owner may If an item on which an award is based present claims jointly or separately; if is determined to have salvage value, the aggregate of both claims totals more than approving authority notifies the claim­ monetary jurisdiction of approving au­ ant in writing that the item must be de­ thority, he may not settle either claim but livered to the Air Force Redistribution must forward both, with claim 'files, (R&M) office as a condition to payment to the appropriate approving authority or of his claim. (Exception: If claims officer AFJAHD. had determined that the cost to turn Military and civilian personnel of the United Applies if claim is not cognizable under Sub­ the property in to Government salvage S ta te s. parts C or I. would exceed its monetary value, he may States or State agencies, counties, and munic­ ip a litie s. ask the claimant to discard it.) Prisoners of war or interned enemy aliens in May present claims for damage to or loss of Subpart D— Claims Under the Military the United States. private property if otherwise payable. Claims Act (10 U.S.C. 2733) Members of Armed Forces of the United For claims for property damage at an Air States on active duty. Force base or installation that resulted § 842.40 Scope of subpart. from negligent or wrongful action or omis­ sion of Air Force member or civilian em­ This, subpart tells how to adminis­ ployees acting within the scope of their tratively settle and pay certain claims employment. against the United States for damage to Persons in a foreign country who are not For claims rising out of Air Force noncom­ or loss of property and for personal inhabitants of it. bat activities in that country; or out of injury or death caused by Air Force negligent or wrongful acts or omissions of military or civilian personnel acting Air Force military or civilian personnel within the scope of their employment or acting within the scope of their employ­ otherwise incident to Air Force noncom­ ment in the foreign country (except mili­ bat activities. tary and civilian personnel who suffer injury or death incident to their service, § 842.41 General. and their representatives). (a) The Military Claims Act (10 U.S.C. 2733) provides worldwide authority to N ote ; If a claim arises from the acts of military personnel the scope of employment is not administratively settle and pay certain necessarily synonymous with the line of duty determination. If claim rises from acts of claims for property damage, personal civilians, note that prisoners of war and interned enemy aliens are considered civilian per­ injury, or death caused by military per­ sonnel when engaged in labor for pay; so are volunteer workers and others serving as Air sonnel or civilian employees of the Air Force employees, even though without compensation, if they are supervised and controlled Force engaged in the scope of their em­ by authorized Air Force personnel. However, household servants employed in quarters of ployment and claims arising from non­ military or civilian personnel are not. The source of wages and supervision are factors to be combat activities of the Department in considered in this decision.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 § 842.44 Claimants excluded. of the Air Force by authorized personnel A B (a) Military personnel or civilian acting in their official capacities. Bail­ O D employees of the United States who ment claims are not payable if the bailor Then it is Then it is has, by express agreement, assumed the payable not pay­ suffer personal injury or death inci­ Rule If claim arises from— under this And— able under dent to their service, and their legal risk of damage, loss, or destruction. subpart this representatives. (b) Claims arising from lost or dam­ subpart (b) Nonappropriated fund instrumen­ aged mail. When registered or insured 6 Combat activities of military forces during war or X talities. mail is delivered to the Air Force by the armed conflict. Post Office Department or Military (c) Bailees, when the bailor has, by Postal Service (APO or FPO), the Air 7 Injury to or death of military personnel incident to X express agreement, assumed the risk of Force assumes responsibility for trans­ their services. damage, loss, or destruction. porting and distributing it to the au­ 8 Injury to or death of civilian employees covered by X Federal Employees’ Compensation Act (5 U.S.C. (d) Other agencies or departments of thorized military and civilian personnel. 8101) or Longshoreman’s and Harbor Workers’ the U.S. Government, except the Post Claims for loss or damage to mail before Compensation Act (33 U.S.C. 901), as applicable Office Department for APO claims. to certain civilian employees of nonappropriated its delivery to authorized Air Force per­ fund instrumentalities of the U.S. Armed Forces § 842.45 Claims payable under this sub­ sonnel or after redelivery to the Post (5 U.S.C. 2105(c)) under Act of July 18, 1958 (5 U.S.C. 8171-8173). part. Office Department or Military Postal Service must be presented tb the Post 9 Death, injury, or damage in a foreign country when X See § 842.46. Office Department for consideration claim is presented to authorities of a foreign country under Article VIII, NATO Status of (a) Bailment claims. A bailment is notunder its contract of indemnity with the Forces Agreement, Article XVIII, Japanese created merely by the act of placing per­ sender. Status of Forces Agreement, or similar treaty or sonal property in a Government area. agreement, if reasonable disposition was made of (c) Contract claims. Normally, claims claim and claimant has given U.S. Government There must be an authority by which the release.

enforceable under a lease or other REGULATIONS AND RULES Government accepts custody of the prop­ express contract should be settled under 10 Death, injury, or damage occurring in a foreign X erty, and it must be accepted on behalf contract procedures. country to an inhabitant of that country. § 842.46 Gaims payable and not payable under this subpart. 11 Purely contractual transactions...... X 12 Private, as distinguished from Government, X A B c D transactions. Then it is Then it is 13 Patent or copyright infringement...... X payable not pay­ Rule If claim arises from— under this And— able under 14 Damage, rent, or other expenses or income involved X subpart this in acquisition, possession, and disposition of or subpart interest in real property by and for the Air Force. 15 Taking of private real property by trespass by X 1 Noncombat activities whether 6r not negligence is X flight of aircraft over property. alleged or present.\ 16 Loss or damage of mail of any type in the possession X 2 Negligent or wrongful act or omission by Air Force X of the Post Office department, a Military Postal military or civilian personnel in the scope of their Service or to ordinary mail and minimum-fee employment that results in personal injury or insured mail without an insurance number or death, or damage to real or personal property requirement for hand-to-hand receipt, and loss of when not cognizable under (but not prohibited registered mail by enemy action. by) the Federal Tort Claims Act, the Foreign Claims Act, or an international agreement (but 17 Loss of rental fee for personal property...... X see Rule 7). 18 Death, injury, or damage that is being litigated X 3 Loss or damage of personal property shipped at X If damage or loss occurred against the United States. Government expense by persons not proper under circumstances for Claimants under Subpart C of this part. which carrier was re­ sponsible, claimant must Note: No award for any claim under this subpart may include reimbursement for any medical, hospital, or burial make a demand for pay­ expenses borne by the United States. ment on carrier or insurer. § 842.47 Contributory negligence. parative negligence doctrine. The pres­ 4 Damage to or loss or destruction of registered or X Will be processed as a bail­ Any negligent or wrongful act on the ence or absence of contributory negli­ Insured mail while in custody of authorized Air ment claim. Force military or civilian personnel, e.g., unit part of the claimant, his agent, or gence is normally determined by local mail clerks, even though damage or loss resulted employee, whether or not acting within from criminal acts or Air Force noncombat law. activities. the scope of his employment, that is, in § 842.48 Statute of limitations. 6 Damage to or loss of bailed property (see § 842.45(a)). X whole or part, the proximate cause of the incident, bars recovery. It is immaterial A claim must be presented in writing that the law of the situs follows the com­ within 2 years after it accrues, unless it 14831

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14832 14832 accrues in time of war or armed conflict, Subpart E— Foreign Claims (10 U.S.C. ployees” within the meaning of the For­ curred imposes moral responsibility up­ on the United States which placed the or a war or armed conflict intervenes 2734) eign Claims Act only when in the serv­ within 2 years after it accrues, and ice of the United States. Ordinarily, a employee in the foreign country in a claimant shows good cause. In such § 842.50 Scope of subpart. slight deviation as to time or place does position to cause the injury or damage event, the claim must be presented not This subpart tells how to settle and not constitute a departure from the to its inhabitants. Whether the offender later than 2 years after the war or armed pay claims against the United States scope of employment. The deviation must was within the scope of employment conflict is terminated. Commencement presented by inhabitants of foreign be material. To determine status, con­ makes little difference to the injured and termination dates of an armed con­ countries for death, personal injury, or sider local law or custom and the time, claimant. Furthermore, if the offense is flict will be as established by concurrent damage to or loss of property caused by place, and purpose of the activity and a criminal act and thus Clearly without whether it is for furtherance of the gen­ the scope of employment, there is great­ resolution of the Congress or determined military and civilian members of the er reason for compensating the injured by the President. U.S. Armed Forces in foreign countries. eral interest of the Air Force and is usual for or reasonably to be expected of per­ person and taking prompt disciplinary § 842.51 Scope and limitations of foreign claims. sonnel of the grade and classification in­ action against the offènder. volved. Also consider whether the in­ (c) Contributory and comparative Appli­ Statute of Bight to strumentality from which the damage negligence. Unless required by local law cable limitations— appeal— Proper claimants-- Excluded claimants— or injury resulted was owned or fur­ or custom, contributory negligence by law— nished by the Air Force. the claimant, his agent, or employee is (2) Immaterial when claim arises not a bar to recovery. If the comparative 10 U.S.C. 2 years from No appeal Foreign nationals who are inhabi­ A national (or national-controlled from acts or omissions of members or 2784. date claim right. tants, of any foreign country; corporation) of a country en­ negligence doctrine is used in a jurisdic­ accrues. U.S. Citizens or corporations who gaged in war or armed conflict employees of the Air Force not covered actually inhabit the foreign with the United States or its by subparagraph (1) of this paragraph. tion, the adjudication will reflect the country in which claim arises; ally (see Note 1); A national government, and its U.S. Armed Forces military and The fact that the offender is a U.S. citi­ percentage of negligence of each party, political subdivisions (such as civilian personnel domiciled in

and the amount of damage sustained by REGULATIONS AND RULES municipal or préfectoral govern­ United States but living in a zen or a non-U.S. citizen hired .in an­ ments) of a foreign country. foreign country under competent other foreign country for . employment both parties will be apportioned accord­ orders; U.S. citizen dependents of Armed in the country where the damage oc­ ing to local law. Forces military and civilian per­ sonnel or other U.S. Government § 842.53 Claims cognizable under this subpart. employees residing with their sponsors in a foreign country; U.S. citizens present in, but not in­ A B c habitants of, a foreign country, including tourists, contractor Thén it is— And it is— employees, and their dependents; Foreign military personnel, if claim is for death or personal injury Buie If a claim arising outside the United States, its Cogni­ Not cogni­ arising out of a joint mission with territories, commonwealth, or possessions— zable zable Not the United States and caused by under under Payable payable act or omission of a member or this this employee.of U.S. Air Force en­ subpart subpart gaged in scope of employment; An insurer or other subrogee (see Note 2). 1 Arises from damage, loss, personal injury, or death X X caused by act or omission of Air Force military or ci­ vilian personnel or is otherwise incident to Air Force Notes: 1. A national (or national-controlled corporation) of a country engaged in _war or armed conflict with noncombat activities. the United States or its ally may be a proper claimant, if the foreign claims eommission considering the claim or the local military commander determines that at the time of the incident the claimant was and is friendly to the 2 Is for damage to or loss of real property of any foreign X X United States. country, its political subdivision, or inhabitant, includ­ 2. An insurer or subrogee may, however, claim as agent for its principal. If it does, the claim must be presented ing damage or loss incident to use and occupancy n the name of the insured and settled solely with him without regard to insurance. unless excluded by Buie 14. 3~ Is for damage to or loss of personal property of owners X X § 842.52 Determining cognizability of a which are criminal, negligent, willful, shown in Buie 2, including property bailed to the U.S. claim . wrongful, and mere mistakes of judg­ 4~ Is based on personal injury or death of an inhabitant of X X / ment. Cause and merit are the primary a foreign country. (a) Causation. Since the Foreigncriteria in determining applicability of 5 Is a nonappropriated fund claim...... X X Claims Act provides an ex gratia remedy, the Act. Proof of fault is required only 6~ Has been presented to authorities of a foreign country X X it should be broadly construed in the to the extent necessary to show that the and settled under Article VIII of NATO Status of light of its purpose. In view of its ex­ Forces, Agreement, Article XVIII of Japanese Status claim is meritorious. of Forces Agreement, or similar treaty or agreement. pressed intent to promote and maintain friendly relations with inhabitants of (b) Scope of employment. Scope of 7 Is purely contractoral in nature...... -...... X X foreign countries by expeditious settle­ employment is: F Is for court costs or reimbursement for a satisfied judg­ X X ment of meritorious claims, the United (1) A prerequisite to a finding of U.S. ment against Air Force military or civilian personnel. 9" Arises from private contractoral relationship between X X States must accept responsibility for al­ responsibility and payment of a claim if contract personnel and third parties about property most all damage caused by members the employee concerned is an indigenous leases, public utilities, hiring of domestic servants, and and employees of its armed forces. Some person, a prisoner of war, or an interned debts of any description. w Is based solely on compassionate grounds------X X applicable acts and omissions are those enemy alien. These persons are “em­ FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14833 (b) Other SOFAs. Different types of ▲ B c SOFAs are in effect between the United Then it is— And it is— States and Australia, Iceland, Japan, Korea, and Taiwan. They include modi­ Raie If a claim arising outside the United States, its Cogni­ Not cogni­ fications and changes to the NATO territories, commonwealth, or possessions— sable zable Not formula and, when applicable, their pro­ under under Payable payable this this visions must be complied with, since some subpart subpart of them state that certain or all claims will be settled according to U.S. law. 11 Is a bastardy claim------X X (c) Other bilateral agreements. Some foreign countries not a party to SOFAs, 12 Is for patent or copyright infringement...... X X such as the Democratic Republic of the 13 Is waived under an international agreement______X X Congo, the Dominican Republic, Ethio­ pia, India, Iran, Libera, Libya, Mali, 14 Is for rent, damage, or other payments involving regular X X acquisition, possession, and disposition of real property Nepal, Pakistan, the Philippines, Repub­ or interests therein by or for the Air Force. lic of Vietnam, Saudi Arabia, Spain, and 15 Is presented by a communist country or its inhabitant - . X X Thailand have executed bilateral agree­ ments with the United States that govern 16 Is for taking real property by trespass through flight of X X aircraft, when no actual physical damage resulted. the settlement of claims caused by U.S. personnel within their borders. 17 Is payable under Federal Employees’ Compensation Act X X (5 U.S.C. 8101, et seq.), or the Longshoreman’s and § 842.62 Government- to-governm ent Harbor Workers' Compensation Act (33 U.S.C. 901, et seq.), ox U.S. contract and costs or premiums are paid claims waiver agreements. by tne United States. (a) Many peace treaties and agree­ 18 Results directly or indirectly from combat activities------X ments executed after World War II re­ leased the United States and other allied 19 Is presented during a period when settlements are sus­ X pended by a commander during war or armed conflict. nations from responsibility for settling specific classes of claims and provided- 20 Is based on negligence of a concessionaire or other inde­ X pendent contractor. that other countries would assume the responsibility. 21 Arises out of activities of dependents of members and em­ X ployees of the Air Force, their guests, servants, or pets, (b) In 1946 and 1947 the United States unless directly attributable to lack of control or super­ and the United Kingdom executed a mu­ vision by an Air Force member or employee. tual forbearance and sharing agreement. 22 Is presented while litigation, commenced by the claimant X It provides for mutual waiver of certain and arising from the same incident or accident, is pend­ typ es of govemment-to-government ing against the United States or its employees. claims resulting from acts of armed forces or civilian personnel (61 Stat. § 842.54 Settlement authority. (a) NATO Status of Forces Agreement2876; T.I.A.S. 1622; 15 UNTS 281). (a) Claims for more than $15,000. (1) (NATO SOFA). (1) With formation of (c) Under the Department of State If the Secretary of the Air Force consid­ the North Atlantic Treaty Organization opinion that treaties and agreements re­ ers the claim meritorious and it is cogni­ (NATO) in 1949 (T.IA..S. 1964), the sta­ main in effect until they expire by their zable under the Foreign Claims Act, he: tioning of large military contingents of terms, are terminated by mutual agree­ one member nation within the territory ment, or are replaced or superseded by (1) Refers it to a foreign claims com­ of another became common practice. Un­ other agreements, the Department of the mission for settlement in an amount not der this new peacetime collective security Navy applies a 1946 waiver agreement over $15,000, or arrangement, current systems for proc­ between the United States and Canada (ii) After receiving a settlement essing third party claims were unac­ to admiralty claims for damage caused agreement in full satisfaction of the ceptable. As a compromise between the by public vessels of the respective govem- entire claim, certifies the claim to Con­ receiving states’ wish to exercise a N|ments that otherwise would be payable gress. greater degree of control over adjudica­ under NATO SOFA (61 Stat. 2520; (2) If the Secretary of the Air Force tion of third party claims and the send­ T.I.A.S. 1582; 7 UNTS 141). finds the claim without merit or not ing states’ reluctance to accept the re­ cognizable under the Foreign Claims Act, ceiving states’ adjudication in toto, the § 842.63 Territorial application he disapproves it. NATO Status of Forces Agreement (NATO). (b) Claims for $15,000 or less. These (NATO SOFA) was devised. Under Arti­ Normally, this Agreement applies only claims may be settled by a three-mem­ cle Vm, receiving states settle and pay to the metropolitan territory and to the ber foreign claims commission. certain claims and judgments under its central authorities and political subdi­ ► (c) Claims for $1,000 or less. Unless own laws and regulations and share with visions of contracting parties. The geo­ specifically limited in the appointing or­ sending states the costs of the sums graphic boundaries are not delineated ders, a one-member foreign claims com­ awarded in the pro rata amounts pro­ and the applicable area is not otherwise mission may settle claims presented for vided (4 U.S.T. 1792; T.I.A.S. 2846). defined except in the NATO Treaty $1,000 or less under this subpart. (2) Twelve countries signed the NATOwhich pertains to Europe, North Amer­ SOFA in London on June 19, 1951. They ica, and the North Atlantic Ocean area Subpart F— International Agreement •were: Belgium, Canada, Denmark, (see paragraph 2, Article I; Article X X ). Claims (10 U.S.C. 2734a and 2734b) France, Iceland, Italy, Luxembourg, The Article XX permits a state to extend the Netherlands, Norway, Portugal, United Treaty to any or all of its territories in § 842.60 Scope of subpart. Kingdom, and the United States. Iceland the North Atlantic Treaty area by is­ This subpart governs Air Force actions executed the agreement but did not ratify suing an instrument of ratification or in investigating and processing or set­ it, executing instead a somewhat similar accession, notifying the United States, or tling certain claims under international bilateral agreement with the United making special arrangements with each agreements, and provides Air Force'for­ States (see 2 U.S.T. 1533, 1550; T.IJV.S. sending state concerned. The following eign-country-claim reimbursement and 2295). The United States ratified the extensions have been accomplished: payment authority under the agreed pro NATO SOFA and it came into force on (a) The- Department of State advised rata sharing formulas and statutes. August 23, 1953 (4 U.S.T. 1792; T.I.A.S. DoD on November 16, 1960, that Alaska 2846; attachment 4, AFM 110-3 (Civil is included in the North Atlantic Treaty § 842.61 Types of claims agreements. Law)). Greece, Turkey, and the Federal area but that Hawaii is not. The United States has entered into Republic of Germany later became con­ (b) The United States and Denmark various agreements to meet conditions tracting parties by accession (Article have agreed that Article VUI applies to in specific foreign states: XVIII). Greenland.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14834 RULES AND REGULATIONS (c) The United Kingdom has ex­ Vm (excluded by paragraph 5, Article in excess of that amount will be waived tended its application to the Isle of VIII). under it. For example, paragraph 2(f) Man. N o t e : Article VIII is not limited to claims lists $1,400 as the waiver amount for the (d) Portugal specified that the agree­ arising from negligent or wrongful acts since United States. Therefore, if a U.S. Post ment only applies to thè territory of a claim may be payable under the legally Office building were damaged and the Continental Portugal and excludes the responsible provision. If a claim is not pay­ damage amounted to only $1,400 or less, “Adjacent Islands and Overseas Prov­ able under paragraph 5 of Article VIII, it may the claim would be waived. But if the inces.” be considered under paragraph 6 or 7 of the damage were for $5,000, no part of the (e) DoD has authorized the U.S. De­ Article and settled under Subpart E, G, or claim would be waived, i.e., it would be partment of the Navy to settle Navy non­ M of this part (see § 842.64). asserted for $5,000 not for $3,600. How­ scope claims under $200 that arise in §842.66 Government-to-government ever, the pro rata sharing formula ap­ foreign ports visited by U.S. forces afloat, claim s (NATO), plies, to these claims (paragraphs 2(d) and, subject to concurrence of the au­ (a) Complete or minimum waivers andand 5(e) , and paragraph 2(f)) includes thorities of the receiving state concerned, sharing provisions. (1) Paragraph 1 of a provision that authorizes the contract­ to process such claims without regard to Article VIII completely waives all claims ing parties to agree on appropriate ad­ paragraph 6 of Article VIII. justments of waiver amounts when rates for damage to any property owned and of exchange between currencies vary § 842.64 Effect of NATO SOFA and other used by a contracting party’s armed serv­ widely. If the contracting parties cannot SOF agreements on U.S. statutes. ices, if the damage was caused by the agree on liability and the amount of Some U.S. agencies have held that personnel or equipment of another con­ damage to assess, they will select a sole NATO SOFA supersedes domestic U.S. tracting party_in connection with the arbitrator, as provided in paragraph 2, operation of the North Atlantic Treaty, Article VIH, to make the determination. law, when a claim is cognizable under or if the damaged property was being both the Agreement (which has treaty used in a NATO operation. For example, (b) Property excluded. Private prop­ status) and other U.S. law. claims arising from aircraft damage to a erty and property owned by political sub­ (a) The Bureau of Employees’ Com­ military barracks by the armed services divisions of the central government of pensation, U.S. Department of Labor, of another contracting party while on contracting parties is not property owned requires a certificate showing that the by a contracting party within the mean­ claim is not cognizable under NATO maneuvers would be waived completely. (2) Paragraph 2 of Article VIH pro­ing of Article v m (paragraph a, Article before it will settle and pay a workman’s I ) . The claims of individuals, municipali­ compensation claim of a Canadian na­ vides for a minimum waiver or sharing of claims for damage to nonmilitary gov­ ties, cities, and villages will be handled tional employed in Canada by the United as any other claim under paragraph 5, 6, States (5 U.S.C. 751). ernment property, and for damage to military property not arising under con­ or 7, instead of paragraph 1 or 2 of this (b) When a claim cognizable under Article. NATO SOFA or a similar agreement is ditions of the paragraph, if the damaged presented to an Air Force authority, it property is owned by a contracting party. (c) Personal injury or death claims. will normally be referred to the foreign The minimum waiver provision applies Paragraph 4 of Article VIII completely country concerned for appropriate ac­ only to claims when the damage is not waives each contracting party’s claims tion unless the claimant is a U.S. national against any other contracting party for more than the minimum amounts listed injury or death suffered by any member and he specifically requests settlement in paragraph 2(f) of Article VIII or the under U.S. laws. of its armed services while such member (c) When a claim has been settled or instrument of accession for the country was engaged in the performance of offi­ adjudicated by a receiving state under concerned. No part of a claim for damage cial duties. a SOF Agreement, it will not be settled § 842.67 Processing NATO third party claims. or paid under any U.S. claims statute, since the matter is res judicata. A B C (d) If a U.S. national claimant with­ Buie draws his claim from consideration by If a claim arises— Then it will be— And— a SOFA country and presents a timely claim to the Air Force which is cogniza­ 1 From an act or omission of a member Settled or adjudicated by the The receiving state pays any of a force or civilian component receiving state under laws and award or judgment subject ble under U.S. law, the claim will be while performing official duty (see regulations governing claims to_pro rata reimbursement processed under the applicable law with­ Note 1). arising from activities of its by the sending state. own armed forces. out regard to the Agreement. 2 From any other act, omission or occur­ rence for which a force or civilian §842.65 Claims excluded (NATO). component is legally responsible (a) The following type of claims are (see Note 1); - excluded under NATO SOFA: 3 Out of a tortious unofficial act or omis­ Considered by the receiving state, The sending state then deter­ sion by a member of a force or civil­ which submits to the sending mines whether an ex gratia (1) War damage claims (specifically ian component, or the unauthorised state a report on the claim that award will be offered under excluded from provisions of paragraphs use of any military vehicle of the includes recommendations on its laws and in what amouflt 2 and 5, Article VIII, by Article XV). United States (see Note 2). liability and amount of a fair (see Note 3). (2) Admiralty property damage claims and just award. of third parties (specifically excluded by A Under rule 1. 2, or 3 and the U.S. Referred to the insurer by either The insurer settles and pays vehicle or individual concerned is state. (see Note 4). paragraph 5(h) of Article VUI). (Note, covered by a policy of liability insur­ however, that certain government-to- ance. govemment admiralty damage claims are covered by paragraphs 2 and 3, N otes: 1. Except contractual claims and those to which paragraphs 6 and 7 of Article VTH apply. Article VIII). 2. Except when a force or civilian component is legally responsible under paragraph 5 of Article VIII (see para- (3) Contractual claims and claims ^ ^ I f ^ n award is made under Subpart E, G, or M of this part and accepted by the claimant in full satisfaction of covered by paragraphs 6 and 7 of Article tile claim, payment will be made and the receiving state will be notified of the action taken. 4. If a nonscope claim is denied or not promptly paid, follow the procedure prescribed in Subpart E of this pan for claims covered by insurance.

FEDERAL REGISTER, V O L 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14835 § 842.68 Counterclaims (NATO). terclaim is discretionary or compulsory (ii) Also excluded is payment based (a) Under paragraph 5(a) of Articleunder its own laws governing counter­ on “owners liability”, “inherently dan­ VHI, a receiving state is authorized to claims for its own armed forces. If a re­ gerous activities”, “absolute liability”, assert, adjudicate (litigate), or settle ceiving state refuses to present a counter­ or similar doctrines of statutory liabil­ certain affirmative property damage claim on behalf of the United States in a ity. If a bill for a claim in this category claims on behalf of the United States. proper caser the staff judge advocate, is presented, do not make reimburse­ (1) A foreign country may assert a without further action, will report the ment. Forward a report to AFJALD so claim on behalf of the United States only refusal to AFJALD. Include with the re­ that special funding arrangements can if it relates to a third party NATO claim port any explanation the receiving state be made. arising from activities of U.S. military or gives for its refusal to process the coun­ (3) Arbitration fees and expenses. The terclaim and a statement of its applicable agreed pro rata share of foreign country civilian personnel. law. (2) Paragraph 5(h), Article VIII, also costs under subparagraphs (1) and (2) excludes from this provision claims aris­ § 842.69 International m ilitary head­ of this paragraph. ing out of or in connection with the navi­ quarters. (b) Excluded claims. (1) Combat gation or operation of a ship or with the (a) The Protocol, set up under the claims: A claim arising out of the act of loading, carriage, or discharge of a cargo North Atlantic Treaty, defines the status an enemy of the United States or arising, (see Subpart H of this part). of all headquarters and allied personnel directly or indirectly, from an act of the (3) A receiving state may assert a stationed, assigned, or attached to armed forces, or an armed forces mem­ counterclaim on behalf of the United SHAPE or its subordinate international ber, while engaged in combat may not be States only if its laws and regulations military headquarters (5 U.S.T. 870; considered or paid under this law (see permit a counterclaim in similar circum­ T.I.A.S. 2978). It is now effective in all also Article XV, NATO SOFA). stances for its own armed services and do NATO countries except Canada and the (2) Administrative expenses incurred not require that the claim be assigned to Federal Republic of Germany. by the receiving state. it. However, the sending state office may (b) Claims provisions of the Protocol (3) U.S. Coast Guard claims: The authorize a receiving state office to take, are included in Articles IV and VI. They Coast Guard is an armed force covered in its own name, any legal action neces­ provide that scope claims generated by under NATO SOFA and other agree­ sary to assert a claim and in particular, allied personnel attached to an interna­ ments of this type, but there is no specific to assert the claim by set-off, counter­ tional headquarters are the responsibility statutory authority to reimburse a for­ claim, or court action. of the international headquarters rather eign country for U.S. C6ast Guard claim > (b) The extent of a receiving state’s than the country to which the personnel settlements or adjudications under the obligation by treaty to present a counter­ belong. Claims caused by U.S. personnel agreements. Delete Coast Guard claims claim on behalf of the United States may assigned to these headquarters will be from bills and report them to AFJALD depend on whether the particular coun- processed as shown in § 842.70. for referral to the Coast Guard for § 842.70 Processing international military headquarters third party claims. funding. (4) Nonappropriate fund claims: Al­ A B C though these claims are covered under Buie NATO SOFA and similar agreements, If a claim— Then it will be— And— advance payment or later reimburse­ ment will be obtained from the proper 1 Arose out of an accident or incident Referred to the appropriate inter­ That headquarters will refer lionappropriated fund (Subpart M of this involving a vehicle owned by national headquarters, since it it to the insurance company. SHAPE or other similar head­ may be fully covered by part). quarters rather than on loan from an liability insurance. (c) Approving authorities. (1) 10 ¿lied government. U.S.C. 2734a and 2734b authorizes the 2 Is for damage, injury, or death not Referred to the receiving state in The sending state will reim­ Secretary of Defense to reimburse or pay covered by insurance or inade­ the same manner as other burse the receiving state quately insured, or if liability NATO claims. for the agreed pro rata foreign countries under international denied. share of any claim paid or agreements for the agreed pro rata share adjudicated subject to later reimbursement by the of third party or foreign country damage headquarters concerned. claims. No monetary limitation on the 3 Involves a nonscope act or omission... Processed under Subpart E or G amount payable is provided. The Secre­ of this part as appropriate.' tary of Defense has delegated the au­ thority to the secretaries of the military 4 Involves a TJ.S. vehicle loaned to and Referred for settlement to the used by another NATO country. country which caused the departments. damage or injury. (2) The Secretary of the Air Force has redelegated his authority to: § 842.71 U.S. sending state offices (1) Foreign government claims. The (i) The Judge Advocate General. (SOFA). agreed pro rata share of foreign country (ii) The Assistant Judge Advocate U.S. sending state offices have been property damage claims (§ 842.66). General. established to implement U.S. claims re­ (2) Third party claims. The agreed (iii) Chief, Claims Division, Office of sponsibilities under Article VTII of the pro rata share of claims settled or adjudi­ The Judge Advocate General. NATO SOFA and other agreements of cated and paid by a foreign country, (iv) Assistant Chief, Claims Division, this type. when the claim arose out of acts or Office of The Judge Advocate General. § 842.72 International agreement claims omissions in the performance of official (v) Staff Judge Advocate, U.S. Air paym ents. duty of civilian employees of armed Forces in Europe. (vi) Staff Judge Advocate, Pacific Air (a) Statutory implementing author­forces or military personnel of the United States. Forces. ity. NATO SOFA and other SOF agree­ (vii) Chief, U.S. Armed Forces Claims ments are not self-executing; they re­ (i) The law limits reimbursement toService, Japan. quire statutory implementation (see Act claims arising out of “Official duties” (viii> Staff Judge Advocate, First Air of Aug. 31, 1954, 68 Stat. 1006, as codified, and this has been interpreted as not in­ Force. 10 U.S.C. 2734a and 2734b; 2 U.S. Code cluding authority to reimburse a country Cong & Ad. News 1954, p. 1186, 3570). for the cost of payment of some claims § 842.73 U.S. receiving slate office The International Agreement Claims Act settled or adjudicated under the “le­ (SOFA). authorizes only the agreed pro rata reim­ gally responsible” provision of an agree­ (a) U.S. responsibility. (1) Under the bursement of, or payment to, a foreign ment or in accordance with a local law provisions of reciprocal international country under certain international which is not based on the doctrine of agreements which contain claims settle­ agreements for; respondent superior. ment provisions such as Article VHI,

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14836 RULES AND REGULATIONS NATO SOFA, and other similar agree­ Army authorities to sending state officials appropriated fund activities, hired lo­ ment, the United States is responsible for for a determination as to whether an ex cally, and ordinarily residents in the investigating accidents and incidents and gratia payment will be offered (par. 6, Japanese territory. processing claims that arise within the Art. VIH, NATO SOFA). (4) Official duty determinations are continental United States from acts or (d) Settlement authority. Each of the made by the nation to which the tort- omissions of: following Army authorities has been au­ feaser belongs, but disputes over the val­ (i) Members of the forces or civilian thorized to settle claims arising in the idity of these determinations are resolved components of other parties to applicable United States under NATO SOFA: by submitting "the issue to an arbitrator, SOF Agreements, For example, NATO (1) The Chief, U.S. Army Claims as in the NATO SOFA. personnel stationed or assigned in the Service. (5) Paragraph 5(g), Article XVm, ex­ United States, or engaged in aircraft (2) All officers of The Judge Advocate cludes admiralty property damage- flights over the United States, as well as General’s Corps assigned to U.S. Army claims from the liability provisions and students, trainees, members, and em­ Claims Service, subject to such limita­ procedures of subparagraphs 5(a) ployees of NATO countries on official tions as the chief of that Service may through 5(e) of the Article. Such claims duty in the United States in connection prescribe. are handled under general admiralty with military “sales agreements”, have (e) Advance payment in aircraft or procedures if they arise either in Japa­ been determined to be covered by NATO missile incidents. The settlement au­ nese territorial waters or on the high SOFA. Third party claims arising out of thorities listed in paragraph (d) of this seas in the Japanese area. However, an their activities may be presented in the section may make advance payments interpretation of paragraph 5(g) has pursuant to 10 U.S.C. 2736 in meritorious been negotiated to provide that subpara­ same manner as for U.S. personnel. graphs (a) to (f) of paragraph 5 will (ii) Military or civilian personnel as­ claims that arise in the United States, involve immediate hardship, and result apply to small maritime claims of the signed or attached to or employed by following types: international military headquarters from incidents involving an aircraft or missile within the category of claims cov­ (I) Damage to cultivation of marine under the provisions of the Protocol on ered by reciprocal agreements, including animals and plants in coastal waters; the status of international military head­ international military headquarters es­ (ii) Damage to fish nets; quarters (§ 842.69). tablished under such agreements (see (iii) Damage to boats of less than 20 Ob) Location of U.S. receiving state § 842.69). tons, involving individual claims of office. The U.S. Army Claims Service, $2,500 or less; Office of The Judge Advocate General, § 842.75 Lawsuit procedure in United (iv) Damage of similar nature that Fort Holabird, Md. 21219, is the U.S. States (SOFA). ' may be mutually agreed upon through receiving state office for claims cognizable The NATO SOFA and other reciprocal the Joint Committee (Exchange of Notes under NATO SOFA and other reciprocal agreements of this type provide that of August 22, 1960, 11 U.S.T. 2160; SOF Agreements. (Designated by the claims will be filed, considered, and set­ T.I.A.S. 4580). On September 7, 1961, the Department of the Army, under authority tled or adjudicated according to the re­ Joint Committee mutually agreed to in­ from the Secretary of Defense.) ceiving state’s laws and regulations that clude the following claims: (c) Sending states. These include Bel­apply to claims arising from the activi­ (a) Damages to cargoes of boats less gium, Canada, Denmark, Federal Re­ ties of its own armed forces. Adjudica­ than 20 tons when individual claims are public of Germany, France, Greece, Italy, tion here means action by a competent for $2,500 or less: Provided, That when a Luxembourg, Netherlands, Norway, Por­ tribunal of the United States in which a claimant owns both a boat and its cargo, tugal, Turkey, and the United Kingdom. claimant may seek recovery from the the claim for the two will be treated as § 842.74 Claims procedure in the United United States instead of the sending one claim. state. (b) Damages to lobster pots, octopus States (SOFA). pots, long lines, oyster baskets, fish traps (a) Place of filing. A third party claim § 842.76 Japanese SOFA. and shelters, and similar equipment used should be presented to the commander (a) On February 28, 1952, the United by fishermen to catch fish, lobster, octo­ of the U.S. military department installa­ States and Japan executed an Adminis- pus, and other marine life. tion nearest the place where the accident . trative Agreement under Article m of (6) A system of Agreed Views of the or incident occurred but it may be filed the Security Treaty and the occupation Joint Committee under Article XXV of at any other installation. The claim and was terminated. That agreement was re­ JSOFA has been implemented to resolve supporting documents must be filed in placed by the Japanese SOFA on June questions of interpretation. For example, four copies and must otherwise conform 23, 1960 (11 U.S.T. 1652; T.I.A.S. 4510). a “third party” within the meaning of to the regulations of the department of Article XVIH relates to claims. The paragraph 5, Article X V H I , is interpreted the installation where it is filed. Recom­ Japanese SOFA is somewhat similar to by an Agreed View as including anyone mendations for the assertion of Air Force NATO SOFA, but contains a number of in Japan other than members or em­ , counterclaims or claims against the substantial changes: ployees of the United States or United foreign government for damages to Air (1) The U.S. 4ort-feaser need merely Nations armed forces, or their: de­ Force property will be forwarded through be present in Japan, since the Agreement pendents. Air Force claims channels to the Chief, is not limited to personnel in the terri­ U.S. Army Claims Service, Fort Holabird, tory-in connection with duties under the Subpart G— Claims Incident to [the Md. 21219. treaty and international agreement. Use of Government Property tNot (b) Official duty claims. Pursuant to (2) “Civilian component” is more Cognizable Under Any Other Law 10 U.S.C. 2734b, tort claims generated by specifically defined, clearly designating (10 U.S.C. 2737) sending state personnel while performing the persons who are included and ex­ official duties are settled in the manner cluded. The definition includes the § 842.80 Scope of subpart. provided for claims generated by per­ phrases “serving with” or “accompany­ This subpart governs administrative sonnel of the armed forces of the United ing the armed forces,” thereby helping processing, settling, and paying of claims States, that is, under the Military Claims eliminate disputes about status that are against the United States, for damage to Act (10 U.S.C. 2733) or the Federal Tort sometimes troublesome under the NATO or loss of property or for personal injury Claims Act (28 U.S.C. 2671-2680). Scope SOFA. or death, incident to the use of Govern­ of employment determinations are made (3) The dual nationality problem is in ment property by Air Force military or by sending state officials. Payments made some "measure met by a provision that civilian personnel that are not cogniza­ are subject to pro rata reimbursement by dual nationals, United States and Japa­ ble under any other law. the sending state (par. 5, Art. VIII, NATO nese, who are brought to Japan by the § 842.81 Settling claims under this sub­ SOFA). United States are considered United part. (c) Ex gratia claims. Tort claims aris­ States nationals for the purpose of the ing from off-duty activities of sending Agreement. The Agreement does not I f any person has suffered damage to state personnel are, after investigation, specify the status of civilian U.S. na­ rear or personal property, personal in­ processing, and evaluation, referred by tionals employed by appropriated or non- jury, or death, and its proximate cause

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14837

was an act or omission of Air Force (h) USAF Southern Command. § 842.92 Payable and nonpayable claims. military or civilian personnel, regardless (i) Pacific Air Forces. of whether within their scope of employ­ (j) U.S. Air Forces in Europe. ment, and the act or omission was inci­ (Jfc) Wright-Patterson Air Force Base. A B dent to the use of a vehicle of the United (iff) Director of Claims, U.S. Air Then it is— States at any place or use of other Forces in Europe. Rule If claim is for— Government property on a Government (iv) Chief, Claims Division, Pacific installation and a claim is not cognizable Air Forces. Payable Not under any other provision of law, then (v) Air Force Foreign Claims payable he or his representative may present a Commissions. claim under this subpart (see § 842.82) (2) Claims payable for $500 or less. 1 Property damage caused X by a vessel of or in serv­ provided it is presented within 2 years of The staff judge advocate of each Air ice of the Department the occurrence of the act or omission Force base, station, or fixed installation. of the Air Force (see that caused the damage or injury and Note 1). Subpart H— Admiralty Claims (10 the amount awarded does not exceed 2 Personal injury or death X $ 1,000. U.S.C. 9801-9804 and 9806) of persons, Including stevedores, not attached § 842.82 Claims and damages not pay­ § 8 4 2 .9 0 Scope o f subpart. to the damaging Air Force vessel (see Note able. This subpart tells how to settle, pay, 2). * The following types of claims and ele­ and compromise claims for or against the 3 Salvage rendered to ves­ X ments of damage are excluded: United States that arise from marine sels of or in service of (a) A claim cognizable under any accidents or incidents and are not the the Air Force. other provision of law. subject of pending litigation. 4 Damage to or loss or de­ X struction of property re­ (b) A claim for punitive or general § 842.91 Authority, waiver, and time sulting from enemy ac­ damages in personal injury or death limitation for admiralty claims. tion or directly or Indi­ rectly from an act of cases. Awards are limited to the cost of (a) Statutory authority—(1) Air U.S. Armed Forces en- reasonable medical, hospital, and burial gagedrin combat or in Force. 10 U.S.C. 9801-9804 and 9806 immediate preparation expenses actually incurred. (authorizes administrative settlement, for impending combat. (c) A claim for medical, hospital, or payment, and compromise of claims 5 Personal injury or death X burial services furnished or paid by the within its provisions; supplements 28 of U.S. Armed Forces United States. U.S.C. 1346, 2401, and 2402 and 46 U.S.C. members incurred inci­ (d) A claim for property damage, per­ 741-799 under which suits in admiralty dent to their service. sonal injury, or death caused wholly or may be brought against the United 6 Personal injury or death X partly by the negligent or wrongful act of civilian employees of States). the United States to of the claimant, his agent, or his (2) Army. 10 U.S.C. 4801-4804, and whom the Federal Em­ employee^ ployees’ Compensation 4806. Act of September 7, (e) Subrogated claims. (3) Navy. 10 U.S.C. 7365, 7621-7623, 1916 (5 U.S.C. 8101, et (f) A claim or any part thereof, the and 7625. - seq.) applies. amount of which is legally recoverable (b) Waiver of interdepartmental 7 Damage or injury that is X by the claimant under an indemnifying claims. The following procedure applies the subject of a suit or law or indemnity contract. pending litigation to unless claim is payable by commercial which the United (g) Attorney fees—no effort will be underwriters. The interdepartmental States is a party. made to fix such a fee in connection with waiver is predicated on the doctrine that 8 Damage or injury cogni­ X the settlement of a claim. property belonging to the Government zable under a status of (h) Combat damage claims. forces agreement, such is not owned by any department of the as NATO SOFA. § 842.83 Settlement authority. Government. The Government does not A settlement agreement in full satis­ reimburse itself for the loss of its own faction of the claim is required before property, with the following exceptions: N otes: 1. “Vessel” Includes every description of water (1) Post Office Department claims. craft or other artificial contrivance used or capable of any payment is made. being used as a means of water transportation. Air Force (2) GSA vehicle damage claims. parallels Government liability under the Suits in (a) Claims for more than $1,000 may Admiralty Act (46 U.S.C. 741) and the Public Vessels be considered but cannot be administra­ (Maritime Administration vessels oper­ Act (46 U.S.C. 781). Property damage has been con­ tively approved or paid in excess of that ating under a bareboat charter and Navy strued to include, among other things, swell damage, damage to fish nets and lobster pots, and cargo damage. amount. vessel chartered to commercial operators 46 U.S.C. 740 extends admiralty jurisdiction to damage (b) The Secretary of the Air Force are covered by protection and indemnity caused by a vessel to a land structure (such as a dock or pier). has delegated authority to settle and pay (P&I) insurance; Government vessels 2. These are also subject to suit under the Public any claims under this subpart to the operating under a general agency agree­ Vessels Act. following persons: ment, by $1,000 deductible P&I insurance § 842.93 Salvage claims. (1) Claims payable for $1,000 or less. for damage to Air Force shore structures (i) Within HqUSAF: only.) Do not make waiver determina­ (a) Salvage claims are limited to those (a) The Judge Advocate General. tion in field; forward file to AFJALD. for salvage services rendered to vessels (b) The Assistant Judge Advocate (c) Statute of limitations. Claims of, or in the service of, the Air Force. General. against United States must be approved Although claims based on salvage service (c) Chief, Claims Division. for settlement by Secretary of the Air rendered to cargo are not payable under (d) Assistant Chief, Claims Division. Force or his designee and accepted by this subpart, they should be investigated (ii) Staff Judge advocates of: claimant within 2 years from date cause and forwarded to AFJALD. (a) Air Force Logistics Command. of action originated; thereafter no auth­ (b) Usually the following elements (b) Ogden Air Materiel Area. ority for administrative settlement must exist to constitute a valid salvage (c) Sacramento Air Materiel Area. exists. (When claims office receives claim. (d) Oklahoma City Air Materiel Area. notice of intention to file, it must advise (1) A marine peril, not occasioned by (e) San Antonio Air Materiel Area. the claimant or potential claimant of the salvor, to a vessel or her cargo. (/) Warner Robins Air Materiel Area. comprehensive application of this time (2) Services of the salvor must be (fir) Alaskan Air Command. limit.) voluntary and not rendered in pursuance

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 No. 208-----4 14838 RULES AND REGULATIONS of any duty owed to the owner or to though permitted by law of the situs; 89-506, 80 Stat. 304, July 18, 1966). The the property. made the Public Vessels Act and Suits last amendment further requires filing (3) The property or some portion ofin Admiralty Act exclusive authorities of an administrative claim as a pre­ it must have been saved from the iffi- for maritime suits; extended the Statute requisite to suit. pending peril, or the service rendered of Limitations to 2 years; made the Fed­ must have contributed to such success. eral Employees’ Compensation Act the § 842.102 Proper claimants under the Federal Tort Claims Act. (c) The amount of salvage to be exclusive remedy for death or injury of awarded cannot be reduced to precise a Federal employee in the performance There is no specific reference to values, but depends on consideration of of official duty; and increased the mone­ claimants in the Act. However, the* all the circumstances of each case. In tary jurisdiction for administrative broad sweep of the statute in imposing many instances, so-called salvage efforts settlement from $1,000 to $2,500. For the liability of a private person upon the amount only to a towing service. claims which accrue on or after Jan­ United States, and the fact that Con­ (d) A salvage contract is an agree­ uary 18, 1967, there is no monetary limit gress enacted the legislation to relieve ment containing the conditions by which on administrative settlement; however, itself of the burden of considering pri­ a vessel" in distress accepts the proposed an award, compromise, or settlement in vate claims, demonstrates an intent to services of a salvor in return for re­ excess of $25,000 can be made only with entertain the claim of anyone injured muneration. These agreements usually the prior written approval of the Attor­ by the negligence of an Air Force mem­ are made-on the “no cure, no pay” basis. ney General or his designee (Public Law ber or employee. The amount of remuneration in event of success is definitely fixed, usually with A B C a provision for arbitration of differences. Then he is— Rule § 842.94 Assertable claims. If injured person is— And— A proper N ota A claim is assertable if it is: claimant proper (a) Within the admiralty jurisdiction claimant of a Federal District Court pf the United States. 1 Damage was caused under such circumstances that the X (b) For damage caused by a vessel or United States if a private person, would be liable. floating object to property under the 2 A military m ember.. . . Damage was caused by negligence of another service X jurisdiction of the Department of the member and was not incident to service (see Note 1). Air Force or to property for which the 3 A military member___ Damage, injury, or death suffered was incident to X Department has assumed an obligation service (see Note 1). to claim for damages. 4 A dependent of a mili­ X (c) For towage or salvage services per­ tary member. formed by the Department of the Air 5 A subrogee of a proper X (see Force. Customarily, claims for salvage claimant. - Note 2) services are limited to operational costs. 6 A U.S. civilian em­ His claim is cognizable under statutes designated by law X These costs include such expenses as the ployee. as exclusive remedies, such as workmen’s compensa­ per diem charge for use of the Air Force tion laws. vessels involved and loss of or damage to equipment and labor costs. N otes: 1. Whether damage is incident to service is not determined alone by whether serviceman was on or oft the military reservation, on pass, furlough, or leave, although these factors have a bearing; determination ultimately depends on whether his actions at the time of damage were“ in the course of activity incident to service.” Ordinarily Subpart I— Claims Under the Federal the Military Personnel Claims Act is the proper remedy of a serviceman for any incident-to-service property damage; Tort Claims Act (28 U.S.C. 2671 — compensation for injury and death is provided for by a statutory scheme not depending on fault for payment. (Preferred Insurance Co. v. United States, 222 F. 2d, 942 (9th Cir.) cert, den., 350 U.S. 837 (1955)). 2680) 2. If

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967

V. tributory or comparative negligence and loquitur, measure of damages, last clear joint tort-feasprs liability. When there is chance, discovered peril, and compara­ A B O a conflict between local law and an ex­ tive and contributory negligence. Rule Then it If claim arises— And— is not press provision of the Federal Tort (3) The statement in the Act that the cognizable Claims Act, the Act governs. United States is liable if a private person (2) If local law applies the doctrine would be liable does not mean that the 14 When the Government takes an easement in air The flight of military aircraft over the land X of comparative negligence, damages Government can be sued only if a pri­ space over land. impairs its value for residential purposes may be apportioned commensurate with vate person can be sued under identical (see Note 4), fault in the same manner as in suits circumstances. The fact that the Air 15 From damage to property of U.S. Government X against private individuals. Thus, it is Force is performing a function that pri­ departments or agencies. important that a claims officer have a vate individuals do not usually perform 16 In a foreign country...... X working knowledge of local law, espe­ does not excuse the United States from N otes: 1. The Federal Civil Defense Act of 1951 (50 U.S.C. App 2294) states: “The Federal Government shall cially in the fields of dangerous instru­ liability for the negligence of its em­ not be liable for any damage to property or for any death or personal injury occurring directly or Indirectly as a result mentality, assumption of risk, res ipsa ployees in performing the function. of the exercise or performance of, or failure to exercise or perform, any function or duty, by any Federal agency or employees of the Government, in carrying out the provisions of this title during the period of (an emergency) * * *” The “emergency” contemplated by this law exists when the United States is under actual attack or an attack is § 842.104 Claims not cognizable under this subpart. anticipated. 2. 33 U.S.C. 702(c) provides that “no liability of any kind shall attach to or rest upon the United States for any damages'from floods or by flood waters at any place.” It has been held that this statutory exception was hot repealed i . B O by enactment of the Federal Tort Claims Act and is still in full force and effect. (National Manufacturing Company v. United States, 210 F.2d 263, cert, den., 347 U.S. 967; Villarreal v. United States, 177 F. Supp. 879 (D.C., Tex. Rule Then it (1959)). • 1 If claim arises— And— is not 3. An instrument of this type is a defense to a charge of ordinary negligence; however, it will not release the Govern­ cognizable ment from liability for willful, wanton, or gross negligence. (Friedman v. Lockheed Aircraft Corporation, 138 F. Supp. 530 (D.C., E.D., N.Y. 1956)).

4. In the cases of Highland Park, Inc., v. United States, 161 F. Supp. 597 (Ct. Cl. 1958) and Freeman v. United REGULATIONS AND RULES 1 For any cause that is otherwise cognizable under Is presented for more than $2,500 including X States, 167 F. Supp. 541 (D.C. Okla. 1959) the Court of Claims, under the Tucker Act (28 U.S.C. 1346(a)(2)), es­ this subpart. all interests, subrogated and principal, tablished the rule that the Government is liable for just compensation for taking the easement and the resulting and accrues before Jan. 8,1967, damage to the remainder of the property. Nevertheless, established Department of Defense policy is that such claims will not be administratively processed under any statute or directive, and will be returned to the claimant with a 2 From act or omission of military or civilian Regardless of whether the statute or direc­ X statement that the claim is not administratively cognizable. personnel exercising due care in executing a tive was valid. statute or directive. § 842.105 Damages payable and not pay­ § 842.106 Statute of limitations. 3 From the exercise or performance of, or failure Regardless of whether the discretion in­ X able. , • (a) Presenting claim. A claim must be to exercise or perform, a discretionary function volved is abused. or duty by a Federal agency or a Government presented in writing within 2 years after employee. A B it accrues. 4 Out of loss, miscarriage, or negligent trans­ X Then damage is— (1) A claim is considered to have been mission of letters or postal matters. Rule presented when the Air Force receives If damage is— . an executed SF 95 or written notification 5 In connection with assessment or collection of X Payable Not any tax or customs duty or detention of any payable of an incident, together with a claim for goods or merchandise by any customs or money damage, in a sum certain, for excise officer or other law enforcement officer. 1 Personal injury or death X property loss or damage, personal injury 6 From admiralty causes for which a remedy is X or pain and suffering or death from a claimant, his duly au­ provided by 46 U.S.C. 741-799. . preceding death (see note). thorized agent, or his legal representa­ 7 An act or omission of any Government employee X tive. in administering the Trading With the Enemy 2 To property______X Act (50 U.S.C. App 1-31). (2) The times of claim accrual is gov­ 3 Punitive damage, even X erned by Federal, not State law. A claim 8 From damages caused by imposing or establish- X though State law per­ , ing a U.S. quarantine. mits such an award accrues at the time the claimant dis­ against a private in­ covers, or in the exercise of reasonable 9 Willful torts, assault, battery, false imprison­ X dividual. ment, false arrest, malicious prosecution, diligence should have discovered, the ex­ abuse of process, libel, slander, negligent or 4 Reimbursement tor med­ X istence of the act which resulted in the intentional misrepresentation, deceit, or in­ ical or hospital services damage for which the claim is made. terference with contract rights. furnished at expense of the U-S. Government. (Hungerford v. United States, 307 F. 2d 10 From combat activities of military forces. X 5 Reimbursement for burial X 99 (9th Cir. 1962).) 11 During periods of national emergency (see X expenses paid by the (3) In computing time to determine Note 1). U.S. Government. whether the period of limitation has ex­ pired, exclude the first day and include 12 From a flood (see Note 2)...... X Note: Proceeds from private insurance policies should the last day. 13 From the inherent risk in a given activity...... The individual has accepted that risk by X not be taken into consideration in computing damage, (b) Filing suit. If an administrative signing a “covenant not to sue” or any but compensation and benefits from the Veterans Ad­ other release effective under local law (see ministration or monetary value reoeived from any U.S. claim for $2,500 or less accruing prior to Note 3). Government-associated source, are deductible from any payment except that sick and annual leave payments January 18, 1967, has been presented are deductible only when in accord with looal law. within 2 years after the claim accrued, 14S39

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14840 RULES AND REGULATIONS a suit may be filed in a U.S._ District -§ 842.110 Alternative rem edies avail­ (5) Staff Judge Advocates of: Court anytime within six months after able to claim ants. (i) Ogden Air Materiel Area. either notice of the final disposition of (a) For action arising before Janu­ (ii) Oklahoma City Air Materiel Area. the claim is mailed to the claimant or ary 18, 1967, the claimant may present the claim is withdrawn by the claimant, a demand not in excess of $2,500 under (iii) Sacramento Air Materiel Area. whichever is later. For actions accruing the Federal Tort Claims Act either ad­ (iv) San Antonio Air Materiel Area. subsequent to January 18, 1967, claim­ ministratively or by suit. However, if he (v) Warner Robins Air Materiel Area. ants are required to file administrative has filed a claim, he may not begin a (vi) Wright-Patterson Air Force Base. claims before they may sue. Suit may be suit until the Air Force has finally ad­ (d) Claims accruing before January brought after the claim has been finally judicated the claim or he has given 18, 1967, presented for more than $2,500. denied and the claimant notified in writ­ 15 days’ notice in writing that he has Such claims cannot be administratively ing, or if the Air Force has not disposed, withdrawn his claim. When he does considered (see § 842.104). of the claim within 6 months after it is bring suit after filing a claim with the (e) Claims accruing before January filed. The claimant may consider partial Federal Government, the suit may not 18, 1967, presented for $2,500 or less. approval as a denial. This requirement be for a larger amount than the claim (1) Within HQ USAF: will not apply to third party complaints, unless he presents proof of: cross-claims, or counterclaims. (1) Newly discovered evidence not rea­ (1) The Judge Advocate General. (c) Presenting a reduced claim. If asonably discoverable when the claim was (ii) The Assistant Judge Advocate claim for more than $2,500 is presented filed; or General. within 2 years after it accrues, the time (2) Intervening facts that relate to (iii) Chief, Claims Division. limit may not be extended to permit re­ the amount of the claim. (iv) Assistant Chief, Claims Division. submission in an amount of $2,500 or (b) For actions accruing on or after (2) Staff judge advocates of: less. The reduced claim also must be January 18, 1967, an administrative (i) Air Force Logistics Command. presented within 2 years after the claim claim must be presented before suit (see (ii) Ogden Air Materiel Area. accrues. This provision does not apply to § 842.106(b)). (iii) Oklahoma City Air Materiel Area. claims accruing subsequent to January (iv) Sacramento Air Materiel Area. 18,1967. § 842.111 Settlement authority. (v) San Antonio Air Materiel Area. (a) Claim accruing on or after Janu­ (vi) Warner Robins Air Materiel Area. § 842.107 Government’s right of indem­ ary 18, 1967, presented in any amount. nity. (vii) Alaskan Air Command. (1) The Judge Advocate General. (viii) USAF Southern Command. The United States after being sub­ (2) The Assistant Judge Advocate (ix) Pacific Air Forces. jected to liability under the Federal Tort General. s (x) Wright-Patterson Air Force Base. Claims Act, cannot sue its negligent em­ (3) Director of Civil Law. (f) Claims presented for $500 or less. ployee for indemnification. However, if (4) Chief, Claims Division. The staff judge advocate of each Air the Government employee whose negli­ (5) Assistant Chief, Claims Division. Force base, station, and fixed installa­ gence gives rise to an action against the (b) Claims accruing on or after Janu­ tion may settle claims presented for $500 United States is insured under a policy ary 18, 1967. Payable in amounts not in or less. that includes as an insured anyone who excess of $10,000. Staff Judge Advocate, is held responsible for an accident of the Air Force Logistics Command. Subpart J— Property Damage Tort policy holder, the United States should (c) Claims accruing on or after Janu­ Claims in Favor of the United States assert a claim against thé insurance ary 18, 1967, payable in amounts not in (31 U.S.C. 71,^51-953) company. excess of $5,000. Staff Judge Advocates § 842.120 Scope of subpart. § 842.108 Suits against individuals. of: (1) Alaskan Air Command. This subpart governs administrative Under general legal theory, a plaintiff (2) USAF Southern Command. determination, assertion, and collection may sue either the master or the servant (3) Pacific Air Forces. of claims for damage to, or loss or de­ for damage which arises from an act or (4) Chief, Claims Division, Pacific Air struction of, Government property omission of a servant engaged in the Forces. through a negligent act or omission. scope of his employment. The Federal Tort Claims Act, however, has been made § 842.121 Assertable and nonassertable claims. the exclusive legal remedy for claims that arise from the operation of any A B C motor vehicle by any employee of the Then it is— Government within the scope of employ­ Buie _ If claim is— And— ment. If a member or employee is sued Assert­ Not in a State court in his individual capac­ able assert­ ity, the Attorney General of the United able States defends the suit. He may either have it removed to a Federal Court or 1 Resulted from a negligent act or omis­ X A tort claim for damage to or loss of sion, and is for more than $100. settle or compromise it in the same màn- ~ Government property (see Note 1). ner as other claims under the Federal 2 Is less than $100 but collection cost X Tort Claims Act. would be m inim al. 3 Against nonappropriated funds (see X § 842.109 Attorneys’ fees. Note 2). The approving authority may deter­ 4 Against a foreign government-...... Is not specifically authorized by X mine and allow reasonable attorneys’ AFJALD. fees, but only if the claimant or his 5 An Air Force contracting officer has de­ X attorney asks him to do so, in writing, termined that either settlement can­ not be made under the contract or that before the award is made. If the award such settlement would be too expen­ is for $500 or more, the fees may not sive (see Note 3). exceed 10 percent of it (i.e., attorney 6 Assertable under nonappropriated X fees are not an element of damage). funds regulations. Fees will be paid to the claimant’s at­ 7 Cognizable under report of survey pro­ X torney out of the award, not in addition ceedings (see Note 4). to it. For claims accruing on and after 8 For reimbursement for damage arising The United States has paid a third-party X January 18, 1967, attorney fees may not from negligence of military or civilian claim based on the negligence. exceed 20 percent of the award; how­ personnel acting within scope of their ever, the Air Force has no authority to employment. fix the amount. See footnotes at end of table.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14811

Subpart L— Hospital Recovery Claims A B C (42 U.S.C. 2651-3) Then it is— Bui* If claim is— And— § 8 4 2 .1 4 0 Scope o f subpart. Assert- Not This subpart tells how to recover from able assert- tortiously liable third parties the cost able of hospital and medical care and treat­ ment furnished by the Air Force. For property damage arising from same The two claims are consolidated and incident that caused a hospital re- processed under Subpart L of this § 842.141 Assertable claims. covery claim. part (see Note 5). A claim is assertable when: Assertable as a counterclaim under an international agreement. (a) It is based on injury or disease that occurred after January 1, 1963, un­ Notes: 1. Assert claim when evidence indicates a third party not having command, supervisory, or custodial der circumstances creating tort liability responsibility for Government property may be liable in tort, even though are port of survey to determine property for payment of damage upon a third accounting responsibility has been processed. 2: The interdepartmental waiver applies to claims against and in favor of these Federal activities. person; 3. If a contracting officer refuses to assert a claim on the grounds that it is not a contract claim, forward the file (b) The Air Force furnishes, will fur­ through claims channels to AFJALD. nish, or is responsible for medical care; 4. Reports of survey relate only to property accounting responsibility (pecuniary liability) and collection of any charges raised against individuals with command, supervisory, or custodial responsibility. (c) And at least one of the following 5. Investigate the property damage portion under this subpart. conditions exist: (1) The total value of medical care § 842.122 Statute of limitations. loss of property, personal injury, or death that was caused by a member of the Air furnished to all injured parties from a Tort claims asserted by the Govern­ National Guard, not in active Federal Federal source, a non-Federal source, ment will be barred if suit is not filed service, while engaged in training or duty or a combination of such sources, is within 3 years from the date the cause under Federal law, or by a person em­ $100 or more. of action accrues (28 U.S.C. 2415-2416). ployed under 32 U.S.C. 709 acting within (2) A third party, his insurer, or other Therefore, such claims must be processed the scope of his employment, or was representative offers payment and re­ expeditiously. quests a release from the United States otherwise incident to noncombat activi­ as a condition precedent to payment of § 842.123 Counterclaims. ties of the ANG not in active Federal service. other damages to the injured party. When is is apparent to an approving (3) A property damage tort claim will authority that a debtor or his insurer § 842.131 Legal provision for ANG be asserted as provided in § 842.121, has presented a claim to the Govern­ claim s. Rule 9. ment which arises out of the same inci­ 32 U.S.C. 715 does not confer a legal (4) Liability is clear and investigation dent that gives rise to the claim against cause of action. Claimants dissatisfied and collection efforts will be minimal. the debtor, process both claims together. with the administrative settlement under When neither the provisions of subpara­ this statute have no legal right to initi­ graph (1), (2), nor (3) of this paragraph Subpart K— Air National Guard exist, this condition is applicable at dis­ ate suit against the United States. cretion of the base staff judge advocate. Claims (32 U.S.C. 715) Whether or not they have a right of § 842.130 Scope of subpart. action against the State maintaining the § 842.142 Nonassertable claims. This subpart governs administrative unit and the ANG military and civilian A claim is not assertable if it is: settlement of claims for damage to or personnel depends on local law. (a) For medical care furnished to a veteran, by the Veterans Administra­ § 842.132 Claims and claimants. tion, under 38 U.S.C. 601-643 for a serv­ ice-connected disability. However, if the Claims Claimants injured party is an Air Force member who is later discharged and transferred A B C D to a Veterans Administration facility, the claim may be asserted only for the Cognizable Not payable Proper Excluded reasonable value of medical care up to the date of his discharge. Claims caused by military, Claims shown Any person (or his agent or Members and employees of or civilian personnel act­ as nonpay- legal representative) who United States Armed Forces, (b) Against an employer of a seaman ing within scope of their able in suffers personal injury or including ANG military and treated under 42 U.S.C. 249. employment under 32 § 842.46. death, or damage to or loss civilian employees under 32 U.S.C. 316, 502-505, 709, of real property (including U.S.C. 709 who suffer personal (c) For injury resulting from torts or 37 U.S.C. 301; that incident to occupancy injury or death incident to of contractors performing work for the Claims incident to ANG or use) or personal property service. AN G members who Government when the United States is noncombat activities un­ (including that bailed to sustain personal property loss der provisions of U.S. the United States or AN G or damage while engaged in contractually obligated to defend the laws; and registered or insured inactive duty training under contractor... for such claims arising in AN G claims similar to those mail damaged, lost, or de­ Federal law (but see column described as payable in stroyed by a criminal act B, section 842.21). connection with performance of the con­ 1 842.46. while in possession of Those whose claims are cogni­ tract. Before making demand on a con­ ANG). zable under another subpart of Subrogees. this part. tractor for hospital and medical ex­ States and their agencies and U.S. Government agencies and penses, the staff judge advocate should, political subdivisions (ex­ departments. in all instances, be certain that no such cept the State maintaining A State to which an offending the offending ANG unit). AN G unit belongs. contractual obligation exists. Asserting A national or a corporation con­ a claim under such conditions would trolled by a national of a country at war or engaged in place the Air Force in a untenable posi­ armed conflict with the United tion should the injured party elect to States or of any country allied with such enemy country un­ sue the contractor. less the settlement authority determines that the claimant § 842.143 Action on medical report. is, and at the time of incident was, friendly to the United If third party liability is apparent or States. may be present, the base staff judge ad-

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14842 RULES AND REGULATIONS vocate will promptly contact, in person (2) If there is permanent disability on a percentage basis. Then by reducing or by correspondence, the injured party and the injured party is a member of a the Government’s claim, he may get an or, when appropriate, his guardian, per­ uniformed service, will he be medically earlier settlement for a larger amount sonal representative, estate, dependents, discharged and, if so, what pension will and at the same time avoid imposing any or survivors, and advise in writing that: he receive from the United States? limitation on the injured party. (a) ^ Under 42 U.S.C. 2651-3, the United (3) Has the injured party incurred (b) When in a compromise negotiation States is entitled to recover from the any separate medical expenses for which the third party offers a settlement, the third party responsible for the injuries U.S. treatment was not available or staff judge advocate may continue to ne­ or disease the reasonable value of med­ authorized? gotiate, until the third party or his repre­ ical care furnished or to be furnished by (4) Will the injured party have to pay sentative indicates that he will nego­ the United States. counsel fees? tiate no further. Then the staff judge (b) He is required to: (5) How much will they be? advocate will forward the claim file (1) Furnish any information requested (6) Who will bear the expense of any through hospital recovery channels. about the circumstances that caused the necessary future medical treatment? § 842.146 Releasing records and request­ injury or disease and any action insti­ (7) Has the injured party suffered, ing witnesses. tuted or to be instituted by dr against the and will he suffer in the future, any loss third party. (a) Records of medical history, diag­ of wages? nosis, treatment, and prognosis may be (2) Notify the base staff judge advo­ (8) What is the financial status of the cate of any settlement offer from the withheld from the injured party or other injured party? This discussion should party claiming through him, pending third party, his insurer, or other repre­ cover his marital status, obligations to sentative. compliance with § 842.143(b). After com­ his family, debts, etc. pliance, the base staff judge advocate (3) Cooperate in prosecuting all claims (9) What out-of-pocket expenses did and actions by the United States against may authorize release of the information the injured party have? without seeking approval from higher au­ the third party. (10) If the waiver request is predi­ (c) He should seek the advice of legal thority. A fee will be charged if specified cated on a compromise offer by the third in Part 813, Subchapter B of this chapter. counsel concerning any possible claim he party or his insurer, what is the size of may have for‘personal injury or disease the judgment that could reasonably be (b) Frequently an insurer has been and furnish the base Staff judge advo­ expected if the case were litigated? prepared to pay the U.S. claim. However, cate the name and address of any civilian (11) What amount is offered in the AF Form 438 provided him was in­ attorney he consults. settlement? sufficient to support a determination of (d) He should not execute a release or the reasonableness of the extent of treat­ settle any claim for the injury or disease § 842.145 When compromise may be ment since it merely showed the number nor furnish the third party or the insur­ warranted. of days hospitalized and the outpatient ance company or other representative of (a) Compromise of the Government’svisits and made brief reference to the in­ the third party any information or claim may be warranted in three situa­ jury and prognosis. This problem can be signed statement without first notifying tions: avoided by using SF 544, “Statement of the base staff judge advocate and his own (1) When the liability aspects of the Patient’s Treatment,” which was specif­ attorney. Government and injured party’s claims ically developed to release medical treat­ are weak. ment information to insurance com­ § 8 4 2 .1 4 4 "Waivers for undue hardship. (2) When there is a question that the panies (see paragraph 6-6h, AFM 168-4 (a) A hardship waiver must be based hospitalization incurred was necessary. (Administration of Medical Activities)). on proved actual, not imaginary, hard­ (3) When the third party’s liability When properly prepared it satisfies the ship. There must be a finding that the insurance coverage is limited. request for itemization of medical treat­ reasonable value of the injured party’s (i) If the U.S.’s claim exceeds or rep­ ment. claim for permanent injuries, pain and resents a substantial portion of the lia­ (c) If the injured party asks for au­ suffering, decreased earning power, and bility coverage available, an injured thorized travel or TDY, forward his re­ other items of special damage would not party’s counsel is justifiably reluctant to quest. In the recommendation, show be satisfied if the full amount of the cooperate in asserting the U.S. claim. whether permissive TDY .under AFR Government’s claim were collected. Or­ Frequently U.S. attorneys have inter­ 35-26 (Permissive Temporary Duty) dinarily, this determination requires a vened in pending litigation in such cases, would be an acceptable alternative. knowledge of the amount available to then later had to compromise the U.S. settle the claims of the injured party claim. The Department of Justice has Subpart M— Nonappropriated Fund and the Government. ruled that U.S. representatives may offer Gaims (1) Such f actors as pension rights and to accept a percentage of any recovery § 842.150 Scope of subpart:. other Government benefits accruing to in return for the counsel's cooperation the injured party will mitigate against and, in proper cases, will consider re­ This subpart governs the administra­ a finding of hardship. quests for authority to compromise be­ tive settlement and payment of claims (2) Sympathy for the injured party or fore settlement offers are received. against nonappropriated funds that those connected with him and other sub­ (ii) When a serviceman’s (and the arise from the acts or omissions of non­ jective considerations are not relevant in U.S.’s) claim is one of several arising from appropriated fund employees and certain determining undue hardship. an accident, insurance companies tend other persons, claims otherwise caused (3) An objective balance between the to settle it last. Unless insurance cover­ by a nonappropriated fund, and the per­ interest of the injured party and the" age is large enough to settle all claims, sonnel claims of fund employees. It also Government must be obtained. the Government and the serviceman may provides for asserting certain tort claims (b) No rule will fit every case since not receive a fair and equitable share. in favor of the funds. each must be decided on an individual If the injured party’s attorney has § 842.151 Claims involving commercial basis. There are, however, several ques­ agreed to represent the United States, insurance. tions that should be answered before a we cannot enter into separate negotia­ file is forwarded for approval. There are tions. If he has not, the. insurer will When the fund is protected by com­ in addition others that may be germane normally settle the Government’s claim mercial insurance, all such claims will to the specific case being handled: only after settling the serviceman’s. The be referred to the commercial insurer for settlement. Under certain circum­ (1) Does the. injured party have anystaff judge advocate may avoid this permanent disability and, if so, to what problem by asking for advance authority stances, foreign claims covered by insur­ degree? to compromise the Government’s claim ance may be settled under this subpart.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 § 842.152 Claims payable and not payable under this subpart. § 842.154 Claims in favor of nonappro­ signed operational missions under the priated funds. direction of the Air Force, or from dam­ A B C Tort claims: The procedures set forth age to U.S. Government property by the Then it is— in Subpart H or J of this part, as appro­ CAP or a third party. Buie If a claim— And is caused by— priate, will be used unless other proce­ § 842.161 Relation of the CAP to the Payable Not dures are prescribed by the fund (see Air Force. / payable paragraph 5.10, Exchange Service Man­ ual 55-3, and AFR 176-8). The law that established the CAP, a 1 Paid civilian employees of the fund while acting X nonprofit civilian corporation, as a vol­ within the scope of their employment. Subpart N— Civil Air Patrol (CAP) unteer civilian auxiliary of the Air Force authorized the Air Force to give it cer­ 2 Military personnel or appropriated fund employees X Claims (5 U.S.C. 8141(c); 10 U.S.C. Arises out of operation of while performing part-time duties for the fund for 2733, 2734, 9441, and 9801-9806; tain limited assistance and ,to use CAP a nonappropriated which they are paid from the fund (see Buie 5B). services to fulfill the Air Force noncom­ fund; 28 U.S.C. 2671-2680; 31 U.S.C. 71, 8 Negligent operation or condition of fund premises for X bat mission (10 U.S.C. 9441, and 36 U.S.C. which the fund is responsible (see Buie 6B ).. 951-953, and 36 U.S.C. 201-208) 201-208) . Since CAP senior and cadet 4 Members, participants, or authorized users of fund X § 8 4 2 .1 6 0 Scope o f subpart. members are members of a corporation, property (see note). This subpart explains how to process they are not military and civilian em­ f Military or appropriated fund civilian employees X ployees within the meaning of 31 U.S.C. performing assigned Air Force duties, even though certain administrative claims for and they involve nonappropriated funds. against the United States that arise out 240-242. Nothing in this subpart confers of CAP activities during specifically as- 6 Negligent construction or maintenance of a facility X military or veteran status on any person. Is payable from appro­ for which the Air Force is responsible (see Buie 3B priated funds. and A FE 34r-67 (Support for Beligious Welfare and § 8 4 2 .1 6 2 Cognizable third party claim s. Becreation Facilities)). UE AD REGULATIONS AND RULES 7 Other such circumstances as those in Buies 6 and 6___ X A B 3 Then it is— Note: This procedure agrees with Department of Defense policy that no claim previously covered by commercial comprehensive liability insurance be excluded. In practice, this means that a claim arising from the activity of a Buie If claim is— And— fund customer would not normally be payable. Cogniza­ Not cog­ ble nizable § 842.153 Claims submitted by fund em- ner as authorized in Subpart C of this ployees, customers, members, and part. Payment will be made from non­ 1 For personal injury, It arises from an accident or incident and was proxi- X participants. appropriated funds. death or property mately caused by the CAP acting under Air Force damage. direction on a specially assigned mission. (a) Fund employees. (1) Tort and (b) Fund customers, members, partici­ 2 A reimbursement claim.. Is for use or depreciation of privately owned property X tort-type workmen's compensation pants, or authorized users. The claims of used by the CAP, its senior members, or cadets on claims submitted by fund employees are such persons will be considered and any mission specifically assigned by the Air Force. not cognizable under this subpart since processed as third party claims, except: 3 An indemnity claim____ Is for damage to or loss of privately owned property X the remedies listed in this paragraph are ( 1 ) Customer complaint claims are not used on any mission specifically assigned by the exclusive: Air Force that resulted from acts or omissions of cognizable under this subpart. The pro­ the owner or operator. (1) Civilian employees (part or full­ cedures outlined in AFR 176-8 (Protec­ time) : All nonappropriated fund em­ 4 For personal services or They were incurred by the CAP, its senior members, X tion of Assets) and paragraph 5.11, expenses. or cadets while engaged in any mission specifically ployees within the United States and Exchange Service Manual 55-3, apply. assigned by the Air Force. those outside the CONUS who are However, if a claim cannot be satisfac­ 5 It arises out of a CAP accident or incident that occurs X U.S. citizens or are permanent resi­ torily settled under those procedures, or when CAP is not under Air Force direction. dents of the United States are covered by includes a demand for other damages For damage or injury___ the Longshoremen’s and Harbor Work­ e' It arises out of CAP accident or indicent occurring X (such as personal injury or property outside time limits prescribed for an Air Force er’s Act. damage to other than the article pur­ specially assigned mission. (ii) Foreign civilian employees outside chased or serviced), it is processed as a 7 Based solely on Govern­ X CONUS are protected by private insur­ third party claim. ment ownership of ance of the fund or other arrangements. property on loan to (2) Personnel claims of members or CAP. (Hi) Military personnel working part participants in morale, recreational, or time for the fund and paid by the fund welfare activities, jointly operated by ap­ are covered by military benefits. propriated and nonappropriated funds, § 842.163 Compensation claims. medical and burial expenses relating to (2) Personnel claims of employees for are not cognizable under Subpart C of (a) Coverage. Compensation benefit such injury or death are limited; Fed­ loss of or damage to their personal prop­ this part, and if compensable, must be claims by volunteer civilian CAP mem­ eral law applies only in special situations. erty incident to their employment will be processed under another appropriate bers (except CAP cadets), or their sur­ (1) Compensation claims are cogni­ processed and settled in the same man- subpart. vivors, for personal injury or death and zable under the Federal Employees’ Com- 14843

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14844 RULES AND REGULATIONS pensation Act and regulations of the § 5A—73.101—2 Approval required. Program and Systems Division, in the Bureau of Employees’ Compensation, U.S. • * * * For Schedules which are man­ case of regional Schedules. Department of Labor. They include datory upon the Department of Defense, (Sec. 205(c), 63 Stat. 390; 40 U.S.C. 486(c)- claims that arise incident to active serv­ see § 5A-73.109-2(b). a n d CFR 5-1.101 (c)) ice, or travel to or from active service, when the service was: 2. Section 5A-73.101-4(a) is amended Effective date. These regulations are (1) Authorized in writing by a com­ to add a cross reference which reads as effective upon publication in the F ederal petent authority for a specific assignment follows: R egister. within a prescribed time limit; and § 5A—73.101—4 No award becausfe of re­ Dated: October 19,1967. (ii) For the specific purpose of per­ moval of item. forming or directly supporting an opera­ H. A. Abersfeller, tional CAP mission under Air Force (a) * * * See also § 5A^73.109-2 (e). Commissioner, direction. * * * * * Federal Supply Service. (2) CAP cadets are specifically ex­ 3. Section 5A-73.109-2 is revised to [F.R . D oc. 67-12628; F iled , O ct. 25, 1967; cluded from coverage under this law, but read as follows: 8 :4 6 a.m .] may be provided limited service while § 5A—73.109—2 Determination of agency at encampments, including emergency and geographic coverage. hospital and medical care (see AFR 46-3 Chapter 7— Agency for International (Civil Air Patrol Cadet Program)). (a) The extent of agency and geo­ Development, Department of State (b) Presentation of claim and report.graphic coverage shall be determined in collaboration with using agencies in con­ MISCELLANEOUS AMENDMENTS TO The claimant (member or survivor) and CHAPTER the local commander of the CAP unit nection with development of new Sched­ (immediate superior) will initiate and ules or major revisions of existing Sched­ Chapter 7 of Title 41 is amended as submit claims and obtain supporting ules. follows: (b) Concurrence of the Department documents required by the Department PART 7-1— GENERAL of Labor. To avoid reporting delays, Air of Defense shall be obtained prior to es­ Force civilian personnel officers, on re­ tablishing a Federal Supply Schedule Subpart 7—1.1— Introduction quest, will provide employee, supervisor, which is mandatory upon the Depart­ and medical “CA” forms and help the ment of Defense, or prior to adding or 1. Section 7-1.107 is deleted in its en­ claimant and the CAP unit commander removing any items from the Federal tirety and the following substituted carry out their responsibilities (see AFM Supply Schedules which are mandatory therefor: 40-1 (Air Force Civilian Personnel Man­ upon the Department of Defense, or mak­ § 7—1.107 Deviations from Federal Pro­ ual) ). However, reports, claims, and ing any other changes in such Schedules curement Regulations (FPR) and forms should be submitted to the appro­ affecting their use by the Department of Agency for International Develop­ priate office of the Bureau of Employees’ Defense in meeting its supply require­ ment Procurement Regulations Compensation through the local com­ ments. See also § 5A-73.101-2. (AIDPR). mander of the CAP unit concerned. (c) The Office of Supply Management ' § 7—1.107—1 Description. as the representative of the Administra­ § 842.164 Government claims. tion shall, either by exchanges of cor­ The provisions of FPR 1-1.009-1 de­ Claims for damage to or loss of Gov­ respondence, personal contacts or ap­ fining deviations from FPR shall also ernment property on loan (not donated) propriate interagency conferences, take apply to the AIDPR. The following ac­ to the CAP normally are processed under whatever steps are necessary to effect tions shall also constitute a deviation report of survey procedures. However, proper coordination and achieve resolu­ from FPR or AIDPR : tort claims for damage or loss caused by tion of any problems, including neces­ (a) When a contract clause is set a negligent act or omission of a third sary supporting documentation, with rep­ forth hi FPR or AIDPR verbatim, use of party, including the negligent operation resentatives of executive agencies and a collateral provision which modifies of privately owned vehicles by CAP senior with the Executive Director, Procure­ either the clause or its prescribed appli­ cation. members or cadets, are cognizable. ment and Production, Defense Supply (b) When a contract clause is set forth By order of the Secretary of the Air Agency, as the representative for the De­ partment of Defense. in FPR or AIDPR but not for use ver­ Force. batim, use of a contract clause covering „ Lucian M. F erguson, (d) The Procurement Operations Di­ the same subject matter which is incon­ Colonel, U.S. Air Force, Special vision shall advise the Office of Supply sistent with the intent, principle, and Activities Group, Office of The Management of any proposed action substance of the FPR or. AIDPR Clause or Judge Advocate General. which will affect the concurrence func­ related coverage of the subject matter. tion described in paragraph (b) of this [F.R, Doc. 67-12477; Filed, Oct. 25, 1967; (c) Omission of any mandatory con­ 8:45 a.m.] section. tract clause. (e) Deletion of an item from a Fed­ eral Supply Schedule will not require De­ § 7-1.107-2 Policy. partment of Defense concurrence when It ia the policy of AID that deviation Title 41— PUBLIC CONTRACTS the reports of sales for that item amount from the mandatory requirements of to less than $1,000 per year (see also FPR and AIDPR shall be kept at a mini­ § 5A-73.101-4), except when: mum and be granted only if it is es­ AND PROPERTY MANAGEMENT (1) The item is a part or accessory sential to effect necessary procurement Chapter 5A-^Federal Supply Service, incidental to a basic item; and when special and exceptional cir­ General Services Administration (2) The item is a component of a unit cumstances make such deviation clearly assembly; in the best interests of the Government. PART 5A-73— FEDERAL SUPPLY (3) The item has a demonstrated need § 7—1.107—3 Procedure. SCHEDULE PROGRAM to fill out a range of colors, sizes, or other characteristics; or (a) Deviation from the FPR or AIDPR Subpart 5A-73.1—-Production and (4) The item involves'''i contract for affecting one contract or transaction: Maintenance services. (1) Deviations which affect only one (f) The agency or geographic cover­ contract or procurement will be made F ederal Supply Schedules; Develop­ age of a Schedule shall not be extended only after prior approval by the Assistant ment, R evisions, and Agency Cover­ or reduced without the prior approval of Administrator having cognizance over age the Director, Procurement Operations the procuring activity or by a principal 1. Section 5A-73.101-2 is amended toDivision, in the case of national or zone deputy designated by the Assistant Ad­ add a sentence which reads as follows: Schedules or the Director, Procurement ministrator. Deviation requests contain-

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14845

Ing the information listed in paragraph file which is forwarded to the approving Subpart 7—1.4— Procurement Respon­ (c) of this section, shall be submitted Assistant Administrator; sibility and Authority sufficiently in advance of the effective (ii) The request shall be processed in date of such deviation to allow adequate the same manner as paragraph (a) of 1. Section 7-1.451-3 is revised to read time for consideration and evaluation by this section if the request is not being as follows: the approving Assistant Administrator. jointly considered by AID and GSA. § 7—1.451—3 AID/Washington procuring (2) Requests for such deviations may (4) Deviations involving basic agree­ activities. be initiated by the responsible AID Con* ments or other master type contracts are The procuring activities located in tracting Officer who shall obtain clear­ considered to involve more than one con­ Washington are the regional bureaus, the ance and approvals as may be required tract. Office of Administrative Services and the by the approving Assistant Administra­ (5) Unless the approval is sooner re­ Contract Services Division, Office of tor. Prior to submission of the deviation scinded, class deviations shall expire 2 Procurement. Subject to delegations of request to the Assistant Administrator years from the date of approval provided authority from the Administrator, the for approval, the Contracting Officer that deviation authority shall continue regional bureaus are responsible for pro­ shall obtain written comments from the to apply to contracts or task orders which curement related to programs and Office of Procurement, Contract Services are active at the time the class deviation Division (PROC/CSD). PROC/CSD shall activities for their areas. There are pres­ expires. Authority to continue the use of ently five regional bureaus. The regions normally be allowed at least five work­ such deviation beyond 2 years may be re­ for which-they are responsible are: Near ing days prior to the submission of the quested in accordance with the proce­ East-South Asia, Africa, East Asia, Viet­ deviation request to the approving As­ dures prescribed in paragraph (a) of this nam, and Latin America. They are sistant Administrator, to review these section. headed by Assistant Administrators of requests and to submit comments. If (6) Expiration dates shall be shown AID (for the purpose of AIDPR, the the exigency of the situation requires on all class deviations. Bureau for Latin America is headed by more immediate action, the requesting (c) Requests for deviations shall con­ the U.S. Coordinator and the Deputy U.S. office may arrange with PROC/CSD for tain a complete description of the devia­ Coordinator of the Alliance for Progress). a shorter review period. In addition to tion, the effective date of the deviation, The Office of Administrative Services, a copy of the deviation request, PROC/ the circumstances in which the deviation which is under the Assistant Admin­ CSD shall be furnished any background will be used, a specific reference to the istrator for Administration, is respon­ or historical data which will contribute regulation being deviated from, an indi­ sible for administrative and program to a fuller understanding of the devia­ cation as to whether any identical or sim­ support procurements. The Contract tion. PROC/CSD’s comments shall be ilar deviations have been approved in the Services Division, Office of Procurement, made a part of the deviation request file past, a complete justification of the de­ which is also under the Assistant Admin­ which is forwarded to the approving As­ viation including any added or decreased sistant Administrator. istrator for Administration, is responsible cost to the Government, the name of the for procurements which do not fall with­ (3) Coordination with the Office of contractor, and the contract or task General Counsel, as appropriate, should order number. in the responsibility of other procuring also be effected prior to approval of a (d) Register of deviations: Separate activities, or which are otherwise as­ deviation by the approying Assistant registers shall be maintained by the pro­ signed to it. General delegations to Administrator. curing activities of the deviations granted AID/Washington procuring activities are (b) Class deviations from the FPR orfrom FPR and AIDPR. Each deviation published in the F ed e r a l R e g is t e r and in AIDPR: Class deviations are those which shall be recorded in its appropriate reg­ chapter 100 of the AID Manual. affect more than one contract or con­ ister and shall be assigned a control num­ tractor. ber as follows: The symbol of the pro­ (1) Class deviations from the AIDPR curing office, the abbreviation “DEV”, PART 7-4— SPECIAL TYPES AND will be processed in the same manner as the fiscal year, the serial number (issued METHODS OF PROCUREMENT prescribed in paragraph (a) of this in consecutive order during each fiscal section. year) assigned to the particular devia­ Subpart 7—4.2— Architect-Engineer (2) Class deviations from the PPR tion and the suffix “c” if it is a class Services shall be considered jointly by AID and deviation, e.g., LA-DEV-67-1, LA-DEV- GSA (PPR 1-1.009-2) unless, in the 67-2c. The control number shall be em­ § 7—4.203—1 [Amended] judgment of the approving Assistant Ad­ bodied in the document authorizing the 1. Section 7-4.203-1 (b) is revised to ministrator, after due consideration of deviation and shall be cited in all refer­ delete, in its entirety, the phrase “such the objective of uniformity, circum­ ences to the deviation. as the Industrial Development, Trans­ stances preclude such joint effort. The (e) Central record of deviations: approving Assistant Administrator shall Copies of approved deviations shall be portation, and Housing Service in the certify on the face of the deviation the furnished promptly to the Office of Pro­ Office of Technical Cooperation and reason for not obtaining GSA coordina­ curement, PROC/CSD, who shall be- Research.” tion. In such cases, PROC/CSD shall be responsible for maintaining a central § 7—4.203—2 [Amended] responsible for notifying GSA of the dass record of all deviations that are granted. deviation. (f) Semiannual report of class devia­ 2. Section 7-4.203-2 (b) is revised to (3) Class deviations from the PPR tions: delete, in its entirety, the phrase: “the shall be processed as follows: (1) AID Contracting Officers shall Office of Technical Cooperation and (i) The request shall be processed in submit a semiannual report to PROC/ Research”. the same manner as paragraph (a) of CSD of all contract actions effected this section, except that PROC/CSD shall under class deviations to FPR or Subpart 7—4.53— Procurement Under be allowed at least 10 working days prior AIDPR which have been approvedjpur- the AID Research and Analysis Pro­ to the submission of the deviation request suant to paragraph (b) of this section. gram to the approving Assistant Administra­ (2) The report shall contain the ,ap­ tor, to effect the necessary coordination plicable deviation control number, the § 7—4.5300 [Amended] with GSA and to submit comments. If contractor’s name, contract number and 1. Section 7-4.5300 is revised to delete the exigency of the situation requires task order number (if appropriate). the phrase: “Science Director, Office of more immediate action, the requesting (3) The report shall cover the 6- office may arrange with PROC/CSD for month periods ending June 30 and De­ Technical Cooperation and Research”, a shorter review and coordination period. cember 31, respectively, and shall be and insert, in lieu thereof, the phrase: GSA’s and PROC/CSD’s comments shall submitted within 20 working days after “Research and Institutional Grants Staff, be made a part of the deviation request the end of the reporting period. Office of the War on Hunger.”

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 No. 208------5 14846 RULES AND REGULATIONS

PART 7-30— CONTRACT FINANCING granted and is notr to be construed as 5,000 acres, is delineated on a map avail­ permission for any other use. able at the refuge headquarters, Paris, Subpart 7—30.4— Advance Payments (d) Use of the Seal shall be essen­ Tenn., and from the office of the Re­ 1. The Table of Contents for Subpart tially for informational purposes. The gional Director, Bureau of Sport Fisher­ 7-30.4 is revised to add: Seal may not be used on any article or ies and Wildlife, 809 Peachtree-Seventh in any manner which may discredit the Building, Atlanta, Ga. 30323. Hunting Sec. Seal or reflect unfavorably upon the De­ shall be in accordance with applicable 7-30.410 Findings, determinations, and au­ partment or which implies Departmental. State regulations except for the special thorization. endorsement of commercial products or conditions indicated: 2. New § 7-30.410 is added as follows: services, or of the users’ policies or activi­ (1) . Open season to run from Novem-. § 7—30.410 Findings, determinations, ties. Specifically, permission may not be ber 29, 1967, through January 7, 1968. and authorization. granted under this section for use— A kill quota of 500 geese is established. (1) On souvenir or novelty items of If this quota is reached during the above The appropriate authorities for ad­ an expendable nature; open season, the refuge hunt for all vance payments under AID contracts are (2) On toys, gifts, or premiums; waterfowl species will be terminated. section 635(b) of the Foreign Assistance (3) As a letterhead design; Hunting will be permitted from opening Act of 1961, as amended, and Executive (4) On menus, matchbook covers, time to 12 noon each day, Wednesdays Order No. 11223. calendars, or similar items; through Sundays. This amendment is effective upon pub­ (5) To adorn civilian clothing; or (2) Blinds—The construction of blinds lication in the F ede r a l R e g is t e r . (6) On athletic clothing or equipment. by the public is prohibited. Hunters are (e) Where necessary to avoid any pro­ Dated: October 18, 1967. authorized to hunt only from blinds con­ hibited implication or confusion as to structed by the Bureau, as specified on H . R e x L e e , the Department’s association with the their permit. Blind fees will be $2 per Assistant Administrator user, an appropriate legend will be pre­ person or $4 per blind if occupied singly. for Administration. scribed by the Department for prominent display in connection with the permitted (3) Guns must be unloaded at all times [F.R. Doc. 67-12642; Filed, Oct. 25, 1967; use. \ except when hunters are inside blinds. No 8:47 a.m .] shooting is permitted outside blinds. (f) Falsely making, forging, counter­ (4) Ammunition—No hunter m ay feiting, multilating, or altering the Seal, possess or fire more than twelve (12) or knowingly using or possessing with shells during any one refuge hunting Title 49— TRANSPORTATION fraudulent intent any altered Seal is trip. Shells containing shot larger than punishable under section 506 of title 18, Number two (2) will be prohibited. Subtitle A— Office of the Secretary United States Code. (5) Intoxicating beverages and per­ of Transportation Since this amendment relates to De­ sons under the influence of intoxicating [OST Docket No. 11, Amdt. 3-1] partmental management, procedures, beverages or drugs will not be permitted and practices, notice and public pro­ on the refuge. PART 3— OFFICIAL SEAL cedure thereon is unnecessary and the (6) Hunters under sixteen (16) years Limitations on Use of the Seal amendment may be made effective in less of age must be accompanied by an adult. than 30 days after publication. This (7) Hunters are required to check in The purpose of this amendment is to amendment is issued under the authority and out of the designated checking sta­ add a new § 3.5 to Part 3 of the Regula­ of section 9(k) of the Department of tion. tions of the Secretary “Official Seal”, to Transportation Act (49 U.S.C. 1657(h)). (8) Only persons with a refuge permit prescribe the limited conditions under Issued in Washington, D.C., on Octo­ and authorized officials will be allowed which persons or organizations outside ber 20, 1967. in the hunting area. of the Department of Transportation (9) Hunters must be in possession of a A l a n S. B o y d , may use the Seal of the Department. Secretary of Transportation. valid Tennessee Hunting License and, if Since the Seal is the official emblem of sixteen (16) years of age or older, an the Department, this amendment pro­ [F.R. Doc. 67-12644; Filed, Oct. 25, 1967; unexpired Federal migratory bird hunt­ vides strict guidelines under which lim­ 8 :4 7 a.m .] ing stamp to be eligible to draw for a ited uses may be made. Requests for per­ blind. mission to use the Seal must be made, (10) Controlled retrievers will be per­ in writing, to the Assistant Secretary for mitted on the refuge hunt. Public Affairs, setting forth in detail the Title 50— WILDLIFE AND (11) No more than two persons will be exact use to be made. permitted to hunt from a blind. In consideration of the foregoing, ef­ FISHERIES (12) Applications for advance reserva­ fective October 20, 1967, Part 3 of the Chapter I— Bureau of Sport Fisheries tions for refuge permits must be submit­ Regulations of the Secretary (49 CFR and Wildlife, Fish and Wildlife ted in writing to the refuge office, Bureau Part 3) is amended by adding the fol­ Service, Department of the Interior of Sport Fisheries and Wildlife, Box 849, lowing new section at the end thereof : Paris, Tenn. 38242. Applications will be § 3.5 Use of the Seal. PART 32— HUNTING accepted during the period October 1, 1967, through October 15, 1967. Only one (a) The Seal is the official emblem of Tennessee National Wildlife Refuge, application will be accepted per individ­ the Department of Transportation and Tenn. ual. Advance reservation dates will be its usé is therefore permitted only as pro­ The following special regulation is awarded on the basis of a drawing held vided in this part. at the refuge office on October 17, 1967, (b) Use by any person or organization issued and is effective on date of publi­ cation in the F ed e r a l R e g is t e r . and the successful hunters will be outside of the Department may be made promptly notified of the date(s) they are only with the Department’s prior written § 32.12 Special regulations; migratory to participate. Blinds for hunters hold­ approval. game birds; for individual wildlife ing advance reservations will-be awarded (c) Requests by any pêrson or orga­ refu ge areas. on the basis of a drawing held each hunt nization outside of the Department for T e n n e s s e e morning, 11/2 hours before shooting time, permission to use the Seal must be made at the checking station. Blinds not in writing to the Assistant Secretary for TENNESSEE NATIONAL WILDLIFE REFUGE claimed one (1) hour before shooting Public Affairs, 800 Independence Ave­ Public hunting of geese, ducks, and time will be awarded on the basis of a nue SW., \Washington, D.C. 20590, and coots on the Tennessee National Wild­ drawing held at the checking station must specify, in detail, the exact use to life Refuge, Tenn., is permitted only on each morning. be made. Any permission granted applies the area designated by signs as open to The provisions of this special regula­ only to the specific use for which it was hunting. This open area, comprising tion supplement the regulations which

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 RULES AND REGULATIONS 14847

govern hunting on wildlife refuge areas generally which are set forth in Title 50, Code of Federal Regulations, Part 32, and are effective through January 7, 1968. W . L . T o w n s , Acting Regional Director, Bu­ reau of Sport Fisheries and Wildlife. October 18, 1967. [F.R. Doc. 67-12629; Filed, Oct. 25, 1967; 8 :4 6 a.m .]

PART 32— HUNTING Conboy Lake National Wildlife Refuge, Wash.; Correction In F.R. Doc. 67-11744, appearing on page 13869 of the issue for Thursday, October 5,1967, the second sentence, first paragraph, should read as follows: This open area, comprising 1,900 acres, is delineated on a map available at ref­ uge headquarters, Toppenish National Wildlife Refuge, Toppenish, Wash., and from the Regional Director, Bureau of Sport Fisheries and Wildlife, 730 North­ east Pacific Street, Portland, Oreg. 97208. Clay E. Crawford, Acting Regional Director, Bu­ reau of Sport Fisheries and Wildlife. October 19,1967. [F.R. Doc. 67-12631; Filed, Oct. 25, 1967; 8:4 6 a.m .]

PART 33— SPORT FISHING ArrowwoocL National Wildlife Refuge, N. Dak.; Correction In F.R. Doc. 67-10964, appearing on page 13229 of the issue for Tuesday, September 19, 1967, subparagraph (1) under special conditions should read as follows: (1) The open season for sport fishing on the refuge shall extend from Novem­ ber 13, 1967, to March 24, 1968, daylight hours only. Arnold D. K ruse, Refuge Manager, Arrowwood National Wildlife Refuge, Edmunds, N. Dak. October 19, 1967. [F.R. Doc. 67-12630; Filed, Oct. 25, 1967; 8 :4 6 a.m .]

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14848 Proposed Rule Making

(b ) Trade or business within the United Par. 2. The following new sections are S ta te s .—For purposes of this part, part II, added immediately after § 1.864: DEPARTMENT OF THE TREASURY and chapter 3, the term “trade or business Internal Revenue Service within the United States” includes the per­ § 1.864-1 Meaning of sale, etc. formance of personal services within the For purposes of §§1.861 through [ 26 CFR Part 1 1 United States at any time within the taxable 1.864-7, the word “sale” includes “ex­ year, but does not include— change”; the word “sold” includes “ex­ INCOME TAX (1) Performance of personal services for foreign employer.—The performance of per­ changed”; the word “produced” includes Definition of “Trade or Business sonal services— “created”, “fabricated”, “manufactured”, Within the United States” as Ap­ (A) For a nonresident alien individual, “extracted”, “processed”, “cured”, or plied to Nonresident Aliens and foreign partnership, or foreign corporation, “aged”. Foreign Corporations not engaged in trade or business within the § 1.864—2 Trade or business within the United States, or United States. Notice is hereby given that the regu­ (B) For an office or place of business m ain­ lations set forth in tentative form below tained in a foreign country or in a possession (a) In general. As used in part I (sec­ are proposed to be prescribed by the of the United States by an individual who is tion 861 and following) and part II (sec­ a citizen or resident of the United States or tion 871 and following), subchapter N, Commissioner of Internal Revenue, with by a domestic partnership of a domestic chapter 1 of the Code, and chapter 3 the approval of the Secretary of the corporation, (section 1441 and following) of the Code, Treasury or his delegate. Prior to the final adoption of such regulations, con­ by a nonresident alien individual temporarily and the regulations thereunder, the term present in the United States for a period or “engaged in trade or business within the sideration will be given to any comments periods not exceeding a total of 90 days dur­ United States” does not include the ac­ or suggestions pertaining thereto which ing the taxable year and whose compensation tivities described in paragraphs (c) and are submitted in writing, in duplicate, to for such services does not exceed in the (d) of this section, but includes the per­ the Commissioner of Internal Revenue, aggregate $3,000. formance of personal services within the Attention: CC : LR : T, Washington, D.C. (2) Trading in securities or commodities.— United States at any time within the tax­ 20224, within the period of 30 days from (A ) Stocks and securities.— able year except to the extent provided the date of publication of this notice in (i) In general.—Trading in stocks or se­ in paragraph (b) of this section. the F ederal R egister. Any written com­ curities through a resident broker, commis­ sion agent, custodian, or other independent (b) Performance of personal services ments or suggestions not specifically des­ for foreign employer. For purposes of ignated as confidential in accordance a g en t. (ii) Trading for taxpayer’s own account.— paragraph (a) of this section, the term with 26 CFR 601.601(b) may be inspected Trading in stocks or securities for the tax­ “engaged in trade or business within the by any person upon written request. Any payer’s own account, whether by the tax­ United States” does not include the per­ person submitting written comments or payer or his employees or through a resident formance of personal services— suggestions who desires an opportunity broker, commission agent, custodian, or other (1) For a nonresident alien individual, to comment orally at a public hearing on agent, and whether or not any such employee or agent has discretionary authority to make foreign partnership, or foreign corpora­ these proposed regulations should submit tion, not engaged in trade or business his request, in writing, to the Commis­ decisions in effecting the transactions. This clause shall not apply in the case of a dealer within the United States at any time sioner within the 30-day period. In such in stocks or securities, or in the case of a during the taxable year, or case, a public hearing will be held, and corporation (other than a corporation which (2) For an office or place of business notice of the time, place, and date will is, or but for section 542(c) (7) or 543(b) (1) maintained in a foreign country or in a be published in a subsequent issue of the (C) would be, a personal holding company) possesison of the United States by an F ederal R egister. The proposed regula­ the principal business of which is trading in individual who is a citizten or resident tions are to be issued under the authority stocks or securities for its own account, if its principal office is in the United States. of the United States or by a domestic contained in section 7805 of the Internal partnership or a domestic corporation, Revenue Code of 1954 (68A Stat. 917; 26 (B) Commodities.— U.S.C. 7805). (1) In general.—Trading in commodities by a nonresident alien individual who through a resident broker, commission agent, is temporarily present in the United [seal] Sheldon S. Cohen, custodian, or other independent agent. States for a period or periods not ex­ Commissioner of Internal Revenue. (ii) Trading for taxpayer’s own account.— Trading In commodities for the taxpayer’s ceeding a total of 90 days during the In order to conform the Income Tax own account, whether by the taxpayer or his taxable year and whose compensation Regulations (26 CFR Part 1) to amend­ employees or through a resident broker, for such services does not exceed in the ments contained in section 864 (b) of the commission agent, custodian, or other agent, aggregate a gross amount of $3,000. The Internal Revenue Code of 1954 relating and whether or not any such employee or term “day”, as used in this paragraph, to, the definition of trade or business agent has discretionary authority to make means a calendar day during any portion decisions in effecting the transactions. This of which the nonresident alien individual within the United States conducted by clause shall not apply in the case of a dealer is physically present in the United States. nonresident alien individuals and foreign in commodities. (ill) Limitation.—Clauses (i) and (ii) Solely for purposes of applying subpara­ corporations, made by section 102(d) of shall apply only if the commodities are of a graph (1) of this paragraph, the non­ the Foreign Investors Tax Act of 1966 kind customarily dealt in on an organized resident alien individual, foreign partner­ (80 Stat. 1544), such regulations are commodity exchange and if the transaction ship, or foreign corporation for which amended as follows: is of a kind customarily consummated at such the nonresident alien individual is per­ p la ce. forming personal services in the United P aragraph 1. Section 1.864 is amended (C ) Limitation.—Subparagraphs (A) (i) States shall not be considered to be to read as follows: and (B) (i) shall apply only if, at no time during the taxable year, the taxpayer has engaged in trade or business in the United § 1.864 Statutory provisions; defini­ an office or other fixed place of business in States by reason of the performance of tions. the United States through which or by the such services by such individual. In ap­ direction of which the transactions in stocks plying subparagraph (1) or (2) of this Sec. 864. Definitions— (a) Sale, etc. For or securities, or in commodities, as the case paragraph it is immaterial whether the purposes of this part, the word “sale” includes may be, are effected. “exchange”; the word “sold” includes “ex­ services performed by the nonresident changed”; and the word “produced” includes * • • * • alien individual are performed as an em­ “created”, “fabricated", “manufactured”, “ex­ [Sec. 864 as amended by sec. 102(d), Foreign ployee for his employer or under any tracted”, “processed”, “cured”, and "aged”. Investors Tax Act 1966 (80 Stat. 1544) ] form for contract with the person for

FEDERAL REGISTER, V O L 32, NO. 208— THURSDAY, OCTOBER 26, 1967 PROPOSED RULE MAKING 14849 whom the services are performed. See and irrespective of whether any such (other than a partnership in which, at section 7701(a)(5) and § 301.7701-5 of employee or agent has discretionary any time during the last half of its tax­ this chapter (Procedure and Administra­ authority to make decisions in effecting able year, more than 50 percent of either tion Regulations) for the meaning of such transactions. For purposes of this the capital interest or the profits interest “foreign” when applied to a corporation subparagraph, the effecting of transac­ is owned, directly or indirectly, by five or partnership. As to the source of com­ tions in stocks or securities includes buy­ or fewer partners who are individuals) pensation for personal services, see ing, selling (whether or not by entering the principal business of which is trad­ §§ 1.861-4 and 1.862-1. The application into short sales), or trading in stocks, ing in stocks or securities for its own of this paragraph may be illustrated by securities, or contracts or options to buy account, if the principal office of such the following examples: or sell stocks or securities, on margin or partnership is in the United States at any E x a m p le (1 ). During 1967, A, a nonresident otherwise, for the account and risk of time during the taxable year. The princi­ alien individual, is employed by the London the taxpayer, and any other activity ples of subdivision (iii) of this subpara­ office of a domestic partnership. A, who uses closely related thereto (such as obtain­ graph for determining whether a foreign the calendar year, as his taxable year, is ing credit for the purpose of effectuating corporation has its principal office in the temporarily present in the United States such buying, selling, or trading). The United States shall apply in determining dining 1967 for 60 days performing personal volume of stock or security transactions under this subdivision whether a part­ service in the United. States for the nership has its principal office in the London office of the partnership and is paid effected during the taxable year shall not by that office a total gross salary of $2,600 be taken into account in determining United States. See section 707(b) (3) and for such services. During 1967, A is not en­ under this subparagraph whether the paragraph (b) (3) of § 1.707-1 for rules gaged in trade or business in the United taxpayer is engaged in trade or business for determining the extent of the owner­ States solely by reason of his performing within the United States. The applica­ ship by a partner of a capital interest such personal services for the London office tion of this subdivision may be illus­ or profits interest in a partnership. The of the domestic partnership. trated by the following example: application of this subdivision may be E x a m p le (2). The facts are the same as in E x a m p le. A, a nonresident alien individual illustrated by the following examples: example (1), except that A’s total gross salary who is not a dealer in stocks or securities, for the services performed in the United E x a m p le (1). B, a nonresident alien indi­ authorizes B, an individual resident of the States during 1967 amounts to $3,500, of vidual, is a member of partnership X, the United States, as his agent to effect transac­ which $2,625 is received in 1967 and $875 is members of which are U.S. citizens, non­ tions in the United States in stocks and se­ received in 1968. During 1967, A is engaged in resident alien individuals, and foreign cor­ curities for the account of A. B is em­ trade or business in the United States by porations. The principal business of partner­ powered with complete authority to trade in reason of his performance of personal services ship X is trading in stocks or securities for stocks and securities for the account of A in the United States. its own account. Pursuant to discretionary and to use his own discretion as to when to authority granted by B, partnership X effects (c) Trading in stocks or securities. Forbuy or sell for A’s account. This grant of transactions in the United States in stocks purposes of paragraph (a) of this discretionary authority from A to B is also or securities for the account of B. Partner­ section— communicated in writing by A to various ship X is not a dealer in stocks or securities, domestic brokerage firms through which A and more than 50 percent of either the capi­ (1) In general. The term “engaged in ordinarily effects transactions in the United tal interest or the profits interest in partner­ trade or business within the United States in stocks or securities. Under the ship X is owned throughout its taxable year States” does not include the effecting of agency arrangement B has the authority to by five or fewer partners who are individuals. transactions in the United States in place orders with the brokers, and all con­ B is not engaged in trade or business within stocks or securities through a resident firmations are to be made by the brokers to the United States solely by reason of such broker, commission agent, custodian, or B, subject to his approval. The brokers are effecting of transactions in the United States other independent agent. This subpara­ authorized by A to make payments to B and in stocks or securities by partnership X for to charge such payments to the account of the account of B. graph shall apply to any taxpayer, in­ A. In addition, B is authorized to obtain E x a m p le (2). The facts are the same as cluding a broker or dealer in stocks or and advance the necessary funds, if any, to in example (1), except that not more than securities, except that it shall not apply maintain credits with the brokerage firms. 50 percent of either the capital interest or if at any time during the taxable year Pursuant to his authority B carries on ex­ the profits interest in partnership X is owned the taxpayer has an office or other fixed tensive trading transactions in the United throughout the taxable year by five or fewer place of business in the United States States during the taxable year through the partners who are individuals. However, through which, or by the direction of various brokerage firms for the account of A. partnership X does not maintain its prin­ which, the transactions in stocks or se­ During the taxable year A makes several brief cipal office in the United States at any time visits to the United States in order to dis­ during the taxable year. 'B is not engaged curities are effected. The volume of stock cuss with B various aspects of his trading in trade or business within the United States or security transactions effected during activities and to make necessary changes in solely by reason of the trading in stocks or the taxable year shall not be taken into his trading policy. A is not engaged in trade securities by partnership X for the account account in determining under this sub- or business within the United States during o f B . paragraph whether the taxpayer is en­ the taxable year solely because of the effect­ E x a m p le (3). The facts are the same as in gaged in trade or business within the ing by B of transactions in the United States example (1), except that, pursuant to dis­ United States. in stocks or securities during such year for cretionary authority granted by partnership the account of A. X, domestic broker D effects transactions in (2) Trading for taxpayer’s own ac­ the United States in stocks or securities for count—(i) In general. The term “en­ (ii) Partnerships. A nonresident alien the account of partnership X. B is not en­ gaged in trade or business within the individual or foreign corporation shall gaged in trade or business in the United United States” does not include the ef­ not be considered to be engaged in trade States solely by reason of such trading in fecting of transactions in the United or business within the United States stocks or securities for the account of part­ States in stocks or securities for the tax­ solely because such person is a member of n ersh ip X . payer’s own account, irrespective of a partnership (whether domestic or for­ (iii) Dealers in stocks or securities whether such transactions are effected eign) which, pursuant to discretionary and certain foreign corporations. This by or through— authority granted to such partnership subparagraph shall not apply to the (a) The taxpayer himself while pres­ by such person, effects transactions in effecting of transactions in the United ent in the United States, the United States in stocks or securities States for the account of (a) a dealer for the account of such person or solely in stocks or securities or (b) a foreign (b) Employees of the taxpayer, because an employee of such partnership, corporation (other than a Corporation whether or not such employees are pres­ or a broker, commission agent, custodian, which is, or but for section 542(c)(7) ent in the United States while effecting or other agent, pursuant to discretionary or 543(b)(1)(C) would be, a personal the transactions, or authority granted by such partnership, holding company) the principal busi­ (c) A broker, commission agent, cus­ effects transactions in the United States ness of which is trading in stocks or todian, or other agent of the taxpayer, in stocks or securities for the account of securities for its own account, if the whether or not such agent while effect­ such partnership. This subdivision shall principal office of such corporation is ing the transactions is (1) dependent or not apply, however, to any member of in the United States at any time during independent, or (2) resident, nonresi­ (a) a partnership which is a dealer in the taxable year. Whether a foreign cor­ dent, or present, In the United States, stocks or securities or (b) a partnership poration’s principal office is in the

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14850 PROPOSED RULE MAKING

United States for this purpose is to be (d) The principal office of foreign corpo­ (c) Illustrations. The application of determined by comparing the activities ration X will not be considered to be in the this subdivision may be illustrated by (other than trading in stocks or securi­ United States; and, therefore, foreign corpo­ the following examples: ration X is not engaged in trade or busi­ ties) which the corporation conducts ness within the United States solely by E x a m p le (1). Foreign corporation X is a from its office or other fixed place of reason of its relationship with domestic member of an underwriting syndicate orga­ business located in the United States corporation Y. nized to distribute stock issued by domestic with the activities it conducts from its corporation Y to purchasers who are non­ offices or other fixed places of business (iv) Definition of dealer in stocks orresident alien individuals and foreign cor­ located outside the United States. For securities—(a) In general. For purposes porations. Domestic corporation M is sy n d i­ purposes of this subdivision, a foreign of this subparagraph, a dealer in stocks cate manager of the underwriting syndicate corporation is considered to have only or securities is a merchant of stocks or and, pursuant to the terms of the under­ securities, whether an individual, part­ writing agreement, reserves the right to sell one principal office, and an office of such certain quantities of the underwritten stock corporation will pot be considered to be nership, or corporation, with an estab­ on behalf of aU the members of the syndi­ its principal office merely because it is lished place of business, regularly en­ cate so as to engage in stabilizing trans­ a statutory office of such corporation. gaged as a merchant in purchasing stocks actions and to take certain other actions For example, a foreign corporation or securities and selling them to cus­ which may result in the realization of profit which carries on most or all of its stock tomers with a view to the gains and by all members of the underwriting syndi­ profits that may be derived therefrom. cate. Foreign corporation X is not engaged or security transactions in the United in trade or business within the United States States but maintains a general business Persons who buy and sell, or hold, stocks or securities for investment or specula­ solely by reason of its participation as a office outside the United States in which member of such underwriting syndicate or its management is located and from tion, irrespective of whether such buying by reason of the exercise by M corporation which it carries on all of its functions or selling constitutes the carrying on of of its discretionary authority as manager of of communicating with its shareholders a trade or business, and officers of corpo­ such syndicate. and the general public, soliciting sales rations and members of partnerships E x a m p le (2). Foreign corporation Y, a cal­ of its own stock, and maintaining its who in their individual capacities buy endar year taxpayer, is a bank which trades corporate records and books of account, and sell, or hold, stocks or securities for in stocks or securities both for its own ac­ investment or speculation are not dealers count and for the account of others. During is not considered as having its princi­ 1967 foreign corporation Y authorizes domes­ pal office in the United States. The ap­ in stocks or securities within the mean­ ing of this subparagraph. In determining tic corporation M, a broker, to exercise its plication of this subdivision may be under this subdivision whether a person discretion in effecting transactions in the illustrated by the following example: United States in stocks or securities for the is a dealer in stocks or securities such account of B, a nonresident alien individual E x a m p le, (a) Foreign corporation X (not person’s transactions in stocks or secu­ who has a trading account with foreign a corporation which is, or but for section rities effected both in and outside the corporation Y. Foreign corporation Y fur­ 542(c) (7) or 543(b) (1) (C) would be, a per­ United States shall be taken into account. nishes a written representation to domestic sonal holding company) was organized by (b) Underwriting syndicates and dealr corporation M to the effect that the funds foreign commercial banks and foreign brok­ ers trading for others. A foreign person in respect of which foreign corporation Y erage houses to sell its shares to nonresident has authorized domestic corporation M to alien individuals and foreign corporations who otherwise may be considered a use its discretion in trading in the United and to invest the proceeds from the sale of dealer in stocks or securities for pur­ States in stocks or securities are not funds such shares in stocks or securities in the poses of this subparagraph shall not be in respect of which foreign corporation Y is United States. Foreign corporation X is en­ considered a dealer in stocks or secu­ trading for its own account but are the funds gaged primarily in the business of investing, rities for such purposes— of one of its customers who is neither a reinvesting, and trading in stocks or secu­ (1) Solely because he acts as an un­ dealer in stocks or securities, a partnership rities for its own account. described in subdivision ( ii )( b ) of this sub- (b) For a period of three years, foreign derwriter or as a selling group member paragraph, or a foreign corporation described corporation X irrevocably authorizes domes­ for the purpose of making a distribution in subdivision (iii) (b) of this subparagraph. tic corporation Y to exercise its discretion of stocks or securities of a domestic Pursuant to the discretionary authority so in effecting transactions in the United issuer to foreign purchasers of such granted, domestic corporation M effects States in stocks or securities for the account stocks or securities, or transactions in the United States during 1967 and risk of foreign corporation X. Foreign (2) If he can demonstrate to the sat­ in stocks or securities for the account of the corporation X issues a prospectus in which customer of foreign corporation Y. At no it is stated that its funds will be invested isfaction of the Commissioner, in respect time during 1967 does foreign corporation Y pursuant to an investment advisory con­ of transactions effected in the United have an office or other fixed place of business tract with domestic corporation Y and other­ States in stocks or securities pursuant in the United States through which, or by wise advertises its services. The only func­ to his grant of discretionary authority the direction of which, such transactions; in tions performed for foreign corporation X to make decisions in effecting such trans­ stocks or securities are effected by domestic by domestic corporation Y is the rendering actions, that the broker, commission corporation M. During 1967 foreign corpo­ of investment advice and the effecting of agent, custodian, or other agent through ration Y is not engaged in trade or business -transactions in the United States in stocks within the United States solely by reason or securities for the account of foreign cor­ whom such transactions were effected of such trading in stocks or securities dur­ poration X; domestic corporation Y does not acted pursuant to his written representa­ ing such year by domestic corporation M participate in the marketing of the shares tion that the funds in respect of which for the account of the customer of foreign issued by foreign corporation X or in the such discretion was granted were the corporation Y. Copies of the written repre­ day-to-day conduct of other business activi­ funds of a customer who is neither a sentations furnished to domestic corporation ties of foreign corporation X. dealer in stocks or securities, a partner­ M should be retained by foreign corporation '(c) Foreign corporation X maintains a ship described in subdivision (ii) (b) of Y for inspection by the Commissioner, if general business office outside the United this subparagraph, or a foreign corpora­ inspection is requested. States in which its management is perma­ nently located and from which it communi­ tion described in subdivision (iii) (b) of (d) Trading in commodities. For pur­ cates with its shareholders and the general this subparagraph. poses of paragraph (a) of this section— public, solicits sales and makes redemptions For purposes of this (b), a foreign person (1) In general. The term “engaged in of its own stock, and maintains its books and includes a nonresident alien individual, trade or business within the United records. The management of foreign corpora­ States” does not include the effecting tion X at all times retains the independent a foreign corporation, or a partnership power to cancel the investment advisory con­ any member of which is a nonresident of transactions in the United States in tract with domestic corporation Y subject to alien individual or a foreign corporation. commodities through a resident broker, the contractual limitations contained there­ This (b) shall apply only if the foreign commission agent, custodian, or other in­ in and is in all other respects independent of person at no time during the taxable dependent agent if (i) the commodities the management of domestic corporation Y. year has an office or other fixed place are of a kind customarily dealt in on an The managing personnel of foreign corpo­ organized commodity exchange, such as ration X make occasional visits to the United of business in the United States through a grain futures or a cotton futures States at which time they visit the offices which, or by the direction of which, the of domestic corporation Y in connection with market, (ii) the transaction is of a kind the business activities of foreign corporation transactions in stocks or securities are customarily consummated at such place, X. effected. and (iii) the taxpayer at no time during

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 PROPOSED RULE MAKING 14851

the taxable year has an office or other (e) Other rules. The fact that an in­ revenue tax is collected, the fee is 50 fixed place of business in the United dividual, partnership, or corporation is cents for each packet. The fees apply States through which, or by the direction not determined by reason of this section also when post office service is rendered of which, the transactions in commodi­ to be not engaged in trade or business for formal entry articles on which im­ ties are effected. This subparagraph shall within the United States is not to be porters pay the customs charges directly not apply to the effecting of transactions considered a determination that such to the Customs Service. The fees are re­ in commodities for the taxpayer's own person is engaged in trade or business tained by the Postal Service, and are ac­ account. within the United States. Whether or not counted for by affixing postage due (2) Trading for taxpayer’s own ac­ such person is engaged in trade or busi­ stamps to the articles or packets and count. The term “engaged in trade or ness within the United States shall be canceling. See § 232.1 (a) of this chapter business within the United States” does determined on the basis of the facts and concerning fees on incoming dutiable not include the effecting of transactions circumsjtances in each case. For other parcel post, and § 261.5(e) of this chap­ in the United States in commodities for rules relating to the determination of ter concerning recording and reporting the taxpayer’s own account if the com­ whether a taxpayer is engaged in trade duty collections. modities are of a kind customarily dealt or business in the United States see sec­ ***** in on an organized commodity exchange tion 875 and the regulations thereunder. No te: The corresponding Postal Manual and if the transaction is of a kind cus­ (f) Effective date. The provisions of Section is 224.111. tomarily consummated at such place. this section'shall apply only in the case This rule shall apply irrespective of of taxablev years beginning after Decem­ whether such transactions are effected ber 31, 1966. PART 232— INCOMING PARCELS by or, through— [F.R. Doc. 67-12680; Filed, Oct. 25, 1967; § 232.1 Charges. (i) The taxpayer himself while pres­ 8:5 0 a m .] ent in the United States, , (a) Customs clearance and delivery (ii> Employees of the taxpayer, wheth­ fees. Post offices will collect a fee of 50 er, or not such employees are present in cents from the addressee of every parcel the United States while effecting the POST OFFICE DEPARTMENT post package on which customs duty or transactions, or internal revenue tax is collected. The [ 39 CFR Parts 224, 232 1 fee applies also when post office service is (iii) A broker, commission agent, cus­ rendered for formal entry parcels on todian, or other agent of the taxpayer, INTERNATIONAL MAIL whether or not such agent while effecting which importers pay the customs charges Customs Clearance and Delivery Fees directly to the Customs Service. The fee > the transactions is (a) dependent or in­ is retained by the Postal Service, and is dependent, or (b) resident, nonresident, Notice is hereby given of proposed accounted for by affixing postage-due or present, in the United States, rule making consisting of revisions to stamps to the parcel or to a postage-due and irrespective of whether any such §§ 224.1(a) (1) and 232.1(a) of Title 39, bill and canceling. The fee is authorized employee or agent has discretionary au­ Code of Federal Regulations and pro­ by international parcel post agreements thority to make decisions in effecting posed revision in paragraph (a) (1) of as reimbursement to the Postal Service such transactions. The application of § 224.1 which will reflect an increase of for the work it performs in clearing par­ this subparagraph may be illustrated by fees collected from the addressee of 13 cels through customs and for delivery to the following example: cents to 20 cents on every incoming postal the addressee. The provisions of § 224.1 E x a m p le. Foreign, corporation X, a calen­ union article other than a small packet (a) (3) through (5) of this chapter also dar year taxpayer, is engaged as a merchant on which customs duty or internal reve­ apply. See |f261.5 (e) of this chapter con­ in the business of purchasing grain in South nue tax is collected. A second proposed cerning recording and reporting duty America and selling such cash grain outside revision in paragraph (a) (1) of § 224.1 collections. the United States under long-term contracts will reflect an increase of fees collected ***** for delivery in foreign countries. Foreign from 33 cents to 50 cents on every small corporation X consummates a sale of 100,- N o te: The corresponding Postal Manual packet. This second proposed increase section is 232.11. 000 bushels of cash grain in February 1967 would be reflected in paragraph (a) of for July delivery to Sweden. Because foreign (5 U.S.C. 301, 39 U.S.C. 501, 505) corporation X does not actually own such § 232.1 where the customs clearance and grain at the time of the sales transaction, delivery fee would be changed from 33 T imothy J. May, such corporation buys as a hedge a July cents- to 50 cents on every incoming par­ General Counsel. “futures contract” few delivery of 100,000 cel post package on which customs duty October 24, 1967. bushels of grain, in order to protect itself or internal revenue tax is collected. [F.R. Doc. 67-12685; Filed, Oct. 25, 1967; from loss by reason of a possible rise in the Interested persons who may wish to 8:5 0 a.m .] price of grain between February and July. submit written data, views, and argu­ The “futures contract” is ordered through ments concerning the proposed fee in­ domestic corporation T, a futures commis­ sion merchant registered under the Com­ creases may submit such comments to modity Exchange Act. Foreign corporation X the Director, Classification and Special DEPARTMENT OF AGRICULTURE is not engaged in trade or business within Services Division, Bureau of Operations,. the United States during 1967 solely by rea­ Post Office Department, Washington, Consumer and Marketing Service son of its effecting of such futures contract D.C. 20260, at any time prior to the 30th [ 7 CFR Part 1131 1 for its own account through domestic cor­ day following the date of publication of poration Y. this notice in the F ederal R egister. [Docket No. AO 271-A12] (3) Definition of commodity. For pur­ Accordingly, it is proposed that MILK IN CENTRAL ARIZONA poses of section 864(b)(2)(B) and this §§ 224.1(a) (1) and 232.1(a) read as fol­ MARKETING AREA paragraph the term “commodities” does lows and to be effective January 1, 1968: not include goods or merchandise in the Notice of Extension of Time for Filing ordinary channels of commerce. Thus, PART 224— TREATMENT OF INCOM­ Exceptions to Recommended De­ this paragraph and such section apply ING POSTAL UNION MAIL cision on Proposed Amendments to solely to the purchase or sale of com­ modities for future delivery, including § 224.1 Charges. Tentative Marketing Agreement such a purchase or sale which is entered (a) Customs clearance and delivery and to Order into as part of a-hedging transaction. fees. (1) Post offices will collect a fee of Pursuant to the provisions of the Agri­ 20 cents from the addressee of every The purchase or sale of a commodity for postal union article, other than a small cultural Marketing Agreement Act of future delivery does not include a pur­ packet, on which customs duty or inter­ 1937, as amended (7 U.S.C. 601 et seq.), chase or sale of a cash commodity for nal revenue tax is collected. On every and the applicable rules of practice and deferred shipment or delivery. small packet on which duty or internal procedure governing the formulation of

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14852 PROPOSED RULE MAKING

marketing agreements and marketing The proposed additional control zone of our rules, we did not prohibit the li­ orders (7 CFR Part 900), notice is hereby extension is required for the protection censing of a private microwave point- given that the time for filing excep­ of IFR aircraft executing VOR-RWY- to-point radio station in the Business tions to the recommended decision with 5L standard instrument approach pro­ -Radio Service to a CATV system for respect to the proposed amendments to cedure utilizing the recently commis­ carrying program material originated in the tentative marketing agreement and sioned Liberty TVOR. its own studio to the head-end of the to the order regulating the handling of The official docket will be available for CATV cable system for transmission milk in the Central Arizona marketing examination by interested persons at the from there by cable to the subscribers. area, which was issued October 9* 1967 Southern Regional Office, Federal Avia­ 4. Nevertheless, with the increasing (32 F.R. 14232), is hereby extended to tion Administration, Room 724, 3400 trend toward program origination by November 6, 1967. Whipple Street, East Point, Ga. CATV systems, there is a strong likeli­ Signed at Washington, D.C., on Oc­ This amendment is proposed under the hood that CATV systems, in ever-grow­ tober 20, 1967. authority of section 307(a) of the Fed­ ing numbers, will desire radio facilities J ohn C. Blum, eral Aviation Act of 1958 (49 U.S.C. 1348 to transmit such programs from .the Acting Deputy Administrator, (a)). point of origination to the head-ends of Regulatory Programs. Issued in East Point, Ga., on October the cable systems. In many instances, [F.R. Doc. 67-12645; Filed, Get. 25, 1967;. 17,1967. the programs will probably originate in 8 :4 7 a.m .] a studio which is situated at the same Gordon A. Williams, Jr., point as the head-end, so the program Acting Director, Southern Region. will be fed directly into the cable system. [F.R. Doc. 67-12662; Filed, Oct. 25, 1967; However, in other instances, the studio DEPARTMENT OF 8:4 9 a.m .] may be some miles distant from /the head-end of the cable system. In this TRANSPORTATION event, the connecting link may be by cable. However, if the economics of the Federal Aviation Administration FEDERAL COMMUNICATIONS situation dictate otherwise, the CATV system may well request authorizations [1 4 CFR Part 71 1 COMMISSION for private point-to-point microwave [Airspace Docket No. 67-SO-lOOl [ 47 CFR Part 91 1 facilities instead. If we were to make such grants in the 12,200-12,700 Mc/s CONTROL ZONE [Docket No. 17824; FOC 67-1167] band, it would be in derogation of/the Proposed Alteration BUSINESS RADIO SERVICE action taken in the first report and order to conserve that band for non-CATV The Federal Aviation Administration Transmission of Program Material to applicants. is considering an amendment to Part 71 Community 'A ntenna Television 5. Additionally, we believe that the po­ of the Federal Aviation Regulations that (CATV) Systems tential demand for microwave links is would alter the Fort Stewart, Ga., con­ not necessarily confined to fixed point- trol zone. In the matter of amendment of § 91.- to-point facilities. Aside from originating Interested persons may submit such 552 of the Commission’s rules to provide program material in a permanent studio, written data, views, or arguments as that stations licensed in the Business the CATV system might seek to carry they may desire. Communications should Radio Service may not be used for the a wide variety of other matters of local be submitted in triplicate to the Area transmission of program material to origination, such as sport events and Manager, Atlanta Area Office, Attention: community antenna television (CATV) parades, which take place at locations Chief, Air Traffic Branch, Federal Avia­ systems, Docket No. 17824. not accessible to fixed microwave facil­ tion Administration, Post Office Box 1. Notice is hereby given of proposed ities. In such situations, the CATV sys- 20636, Atlanta, Ga. 30320. All communi­ rule making in the above-entitled. ~tem might seek an authorization in the cations received within 30 days after matter. Business Radio Service in the 10,550- publication of this notice in the F ederal 2. In its “First Report and Order’’ in 10,680 Mc/s microwave mobile band for R egister will be considered before action Docket 15586 (FCC 65-924, 1 FCC 2d a mobile radio station to serve as the is taken on the proposed amendment. No 897), except for certain stations “grand­ link between the point of program orig­ hearing is contemplated at this time, fathered” in until February 1, 1971, the ination and the head-end of the cable but arrangements for informal confer­ Commission provided that it would no system. To permit this type of operation ences with Federal Aviation Administra­ longer grant authorizations in the Busi­ in the Business Radio Service would be tion officials may be made by contacting ness Radio Service for microwave point- inconsistent with our action in Docket the Chief, Air Traffic Branch. Any data, to-point radio stations for relaying tele­ 15586. However, our current rules do not views, or arguments presented during vision, standard, or FM broadcast sig­ prohibit such usage. such conferences must also be submitted nals to community antenna television 6. We propose here to amend § 91.552 in writing in accordance with this notice (CATV) systems. The action was taken, of our rules to provide that stations in in order to become part of the record for among other reasons, to conserve the the Business Radio Service may not be consideration. The proposal contained in 12,200-12,700 Mc/s band for private used for the transmission of program this notice may be changed in the light of users other than CATV systems. As we material to community antenna televi­ comments received. stated in paragraphs 34 and 35 of the sion (CATV) systems. This action should The Fort Stewart control zone de­ order: not be construed as a judgment of the scribed in § 71.171 (32 F.R. 2071 and We do not think it consistent with sound merits of program origination by CATV 13269) would be altered by deleting spectrum management to permit one of systems. The judgment has already been “* * * within 2 miles each side of the numerous eligible users in a band to pre­ made, however, that the Business Radio' empt so large a proportion of the available 049° bearing from the Allenhurst RBN, frequencies to the possible prejudice of fu- Service is not a suitable vehicle for the extending from the 5-mile radius zone to turé use by other applicants * * * The transmission of program material in­ 2 miles northeast of the RBN * * number of authorizations for non-CATV tended for distribution to CATV systems and substituting “* * * within 2 miles use is growing, and we expect that demands when the material emanates from a each side of the 049° bearing from the for frequencies in this band will increase in broadcasting station. The same rationale Allenhurst RBN, extending from the 5- the future * * * The fact that CATV needs that supports this judgment, as reflected mile radius zone to 2 miles northeast of axe presently growing at a much more rapid in § 91.552 of the Commission’s rules, is pace than those of other users makes action the RBN; within 2 miles each side of the in advance of an actual crisis alU he more equally applicable to the transmission of Liberty TVOR 242° radial, extending imperative. program material for this purpose, re­ gardless of where or how it originates. from the 5-mile radius zone to 8 miles 3. In our cutoff action, however, im­ While the present rules governing the southwest of the TVOR * * therefor. plemented by the adoption of § 91.552(e) Community Antenna Relay (CAR) Serv-

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 PROPOSED RULE MAKING 14853 ice prohibit transmissions of any nature as to the types of messages transmitted eral Reserve System by filing Federal except those emanating from a broad­ as long as they are necessary to the Reserve Form 0-1 with the Federal Re­ casting station, the basis for this pro­ accomplishment of the business activity serve Bank of the district in which the hibition will be reexamined in the cur­ concerned: Provided, however, That all principal office of the lender is located, rent rule making proceeding in Docket stations licensed in this service must or (2) make any such loan in an amount No. 15586, “In the Matter of Amendment accord first priority for the use of the exceeding the maximum loan value of of Parts 2, 21, 74, and 91 of the Com­ frequency concerned to any station the collateral, as prescribed from time mission’s Rules and Regulations Rela­ transmitting communications resulting to time for registered equity securities tive to the Licensing of Microwave Radio from an actual emergency involving in § 207.5 (the Supplement to this Reg­ Stations Used to Relay Television Signals immediate danger to life or property. ulation G), and as determined by the to Community Antenna Television Sys­ ***** lender in good faith for any collateral tems.” The Commission will soon adopt a (f) Stations licensed in the Businessother than registered equity securities: second report and order in Docket 15586 Radio Service may not be used for the Provided, however, That in respect to a and the matter of providing private transmission of program material to loan made after October 20, 1967, and microwave facilities in the CAR Service community antenna television (CATV) before (effective date) such form shall be for carrying locally originated program systems. However, stations authorized filed by, and any reduction in the loan or material to CATV systems will be con­ as of November 22, 1965, to relay tele­ deposit of collateral required to meet this sidered and dealt with at that time. vision, standard, or FM broadcast sig­ requirement shall be accomplished by 7. We do not intend to disturb thenals to CATV systems, and stations so (effective date). “grandfather” rights previously accorded authorized after that date in accordance (c) -No lender shall make any purpose under which certain microwave point- with paragraph (e) of this section, may loan to any person who is a creditor sub­ to-point radio stations may continue to continue to relay such broadcast signals ject to Part 220 of this chapter (Regula­ be authorized in the Business Radio to CATV systems pursuant to the terms tion T) except loans on exempted secu­ Service, for terms not extending beyond of the station authorizations but in no rities and loans to dealers (as defined in February 1, 1971, to relay television, event beyond February 1, 1971. § 220.2(a) of this chapter) to aid in the financing of the distribution of securities standard, or FM broadcast signals to [F.R. Doc. 67-12656; Filed, Oct. 25, 1967; CATV systems. However, until the termi­ 8:48 a.m.] to customers not through the medium of nation of the rule making proceedings a national securities exchange. Where herein, we propose to take no action on the proceeds of a loan are to be used in applications for Business Radio Service the ordinary course of business of a stations which would be used to transmit creditor, the loan is'presumed to be for locally originated program material to FEDERAL RESERVE SYSTEM the purpose of purchasing or carrying CATV systems. [12 CFR Part 207 1 registered securities unless the lender 8/ Authority for the proposed amend­ has in his records a statement signed by ment is contained in sections 4(i) and [R eg. G ] the creditor which affirmatively describes 303 (r) of the Communications Act of LOANS BY PERSONS OTHER THAN a different purpose for the loan. 1934, as amended. (d) For the purpose of this part, the BANKS, BROKERS, OR DEALERS aggregate of all outstanding purpose 9. Pursuant to applicable procedures Notice of Proposed Rule Making loans to a borrower by a lender shall be set forth in § 1.415 of the Commission’s considered a single loan; and all the rules, interested persons may file com­ The Board of Governors of the Fed­ collateral securing such a loan shall be ments on or before November 27, 1967, eral Reserve System is considering the considered in determining whether the and reply comments on or before Decem­ adoption of a new Part 207 (Regulation loan complies with this part. ber 7, 1967. All relevant and timely com­ G), to be issued pursuant to authority (e) No lender shall make or maintain ments and reply comments will be con­ contained in the Securities Exchange any purpose loan if the loan is secured sidered by the Commission before final Act of 1934 (15 U.S.C. 78g), as follows: directly or indirectly by any registered or action is taken in this proceeding. In Sec. exempted security which also serves to reaching its decision, the Commission 207.1 General rule. secure directly or indirectly any other may also take into account other rele­ 207.2 Definitions. loan to the borrower, and no lender shall vant information before it, in addition 207.3 Reports and records. make or maintain any purpose loan to the specific comments invited by this 207.4 Miscellaneous provisions. which is to be secured by both registered notice. 207.5 Supplement. equity securities and any other collateral. 10. In accordance with the provisions Au t h o r it y : The provisions of this Part (f) (1) Except as permitted in sub- of § 1.419 of the Commission’s rules and 207 issued under 15 U.S.C. 78g. regulations, an original and 14 copies of paragraph (2) of this paragraph, while all statements, briefs, and comments § 207.1 General rule. a lender maintains any purpose loan, filed should be furnished the Commis­ (a) Every person who, in the ordinary whenever made, the lender shall not at sion. course of his business, after October 20, any time permit any withdrawal or sub­ 1967, makes or arranges for the making stitution of collateral unless either (i) the Adopted: October 18,1967. or maintenance of any loan for the pur­ loan would not exceed the maximum loan Released: October 23,1967. pose 1 of purchasing or carrying any value of the collateral after such with­ registered security2 (hereinafter called drawal or substitution, or (ii) the loan is F ederal Communications reduced by at least the amount by which Commission,1 “purpose loan”) and who is not subject to Part 220 of this chapter (Regulation the maximum loan value of any collateral [seal! Ben F. Waple, deposited is less than the “retention re­ Secretary. T) or Part 221 of this chapter (Regula­ tion U) is a “lender” subject to this part. quirement” of any collateral withdrawn. In § 91.552 of the Commission’s rules, (b) After October 20, 1967, no lender The retention requirement of collateral paragraph (a) is amended and para­ shall, (1) make or arrange for the mak­ other than registered equity securities is graph (f) is added to read: ing or maintenance of any purpose loan the same as its maximum loan value and the retention requirement of collateral § 91.552 Availability and use of service. which is secured directly or indirectly,* in whole or in part, by any registered consisting of registered equity securities (a) Except as provided in paragraphs security (other than an exempted secu­ is prescribed from time to time in § 207.5 (e) and (f) of this section, the Business rity) 4 without first having registered (the Supplement to this Regulation G ). Radio Service is available to the extent with the Board of Governors of the Fed- (2) A lender may permit a substitu­ indicated in the eligibility provisions of tion of registered non-exempted securi­ this subpart and is intended for use by 1 As defined in § 207.2(c). ties effected by a purchase and sale on those who are eligible without restriction 2 As defined in § 207.2(d). orders executed within the same day pro­ 8 As defined in § 207.2(1). vided (i) if the proceeds of the sale ex­ 1 Commissioner Bartley absent. * As defined in § 207.2(e). ceed the total cost of the purchase, the

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 No. 208----- 6 14854 PROPOSED RULE MAKING

/loan. Is reduced by at least an amount (3) A loan Is for the purpose of pur­a joint venture with the borrower with nqual to the retention requirement in chasing or carrying a registered security respect to a purpose loan. .respect to the sale less the retention re­ if the loan is for the purpose of purchas­ (i) Any arrangement as to assets of quirement in respect to the purchase, or ing or carrying a security issued by a unit the borrower which (1) serves to protect (ii) if the total cost of the purchase ex­ investment trust or management com­ the interest of the lender in the loan, (2) ceeds the proceeds of the sale, the loan pany as defined in the Investment Com­ serves to make assets of the borrower -may be increased by an amount no great­ pany Act of 1940, whose assets customar­ more readily available to the lender than er than the maximum loan value of the ily include registered securities. to other creditors of the borrower, or (3) securities purchased less the maximum (d) The term “registered security” under which the borrower surrenders the -loan value of the securities sold. If the means any security which (1) is regis­ right to dispose of assets so long as the maximum loan value of the collateral tered on a national securities exchange; loan remains outstanding, makes such .securing the loan haS-4>ecomo less than or (2) has unlisted trading privilege on a assets indirect “collateral” for the loan. the amount of the loan, the amount of national securities exchange and is not the loan may nonetheless be increased suspended from trading thereon; or § 207.3 Reports and records. if there is provided additional collateral (3) is exempted by the Securities (a) Every lender who Cl) lends in any -having maximum loan value at least and Exchange Commission from the op­ one calendar quarter a total of twenty- equal to the amount of the increase. eration of section 7(c) (2) of the Securi­ five thousand dollars ($25,000) or more (g) A loan which is secured in wholeties Exchange Act (15 U.S.C. 78g(c> (2) ) against collateral which includes regis­ or in part by a registered security is only to the extent necessary to render tered or exempted securities, or (2) had presumed to be for the purpose of pur­ lawful any direct or indirect extension outstanding at any time during the cal­ chasing or carrying such security, un­ or maintenance of credit on such secu­ endar quarter fifty thousand dollars less the lender has in his records a state­ rity or any direct or indirect arrange­ ($50,000) or more in loans against col­ ment signed by the borrower which af­ ment therefor which would have been lateral which included registered or firmatively describes the purpose of the lawful if such security had been a secu­ Exempted securities, shall within thirty loan, and a statement signed by the rity (other than an exempted security) (30) days following the end of such lender that he has exercised reasonable registered on a national securities calendar quarter file a report on Federal •diligence in acquainting himself with exchange. Reserve Form 0 -2 with the Federal .the circumstances surrounding the loan (e) The term “exempted security” in­ Reserve Bank of the district in which And has no information which would put cludes securities which are direct obliga­ the principal office of the lender is a prudent man upon inquiry and if in­ tions of or obligations guaranteed as to located. vestigated with reasonable diligence principal or interest by the United States; (b) Every lender shall maintain such would lead to the discovery of the falsity such securities issued or guaranteed by records as shall be prescribed by the .of the borrower’s statement. Circum­ corporations in which the United States Board of Governors of the Federal Re­ stances which would indicate that the has a direct or indirect interest as shall serve System to enable it to perform lender has not exercised reasonable dili­ be designated for exemption by the Sec­ the functions conferred upon it by the gence in so acquainting himself and so retary of the Treasury as necessary or Securities Exchange Act. investigating would include, but are not appropriate in the public interest or for § 207.4 Miscellaneous provisions. limited to, facts such as that (1) the the protection of investors; securities .proceeds of the loan were paid to a broker (a) In determining whether a security which are direct obligations of or obliga­ is a registered security or a security of or to a bank against delivery of registered tions guaranteed as to principal or securities, (2) there were frequent sub­ the kind described in § 207.2(c) (3), a interest by a State or any political subdi­ lender may rely upon the latest list of stitutions of registered securities serv­ vision thereof or any agency or instru­ ing as collateral for the loan, or (3) the such securities issued by the Board of mentality of a State or any political Governors of the Federal Reserve System. amount and terms of the loan were dis­ subdivision thereof or any municipal cor­ proportionate to the stated purpose. -Copies may be obtained from the Board porate instrumentality of one or more or from any Federal Reserve Bank. § 207.2 Definitions. States; and such.other securities (which (b) The renewal or extension of ma­ may include, among others, unregistered turity of a loan need not be treated as For the purposes of this part, unless securities, the market in which is pre­ the context otherwise requires: the making of a loan if the amount of the dominantly intrastate) as the Securities loan is not increased except by the ad­ (a) The term “person” means an in- and Exchange Commission may exempt idividual, a corporation, a partnership, an dition of interest or service charges on pursuant to the Securities Exchange Act the loan or of taxes on transactions in association, a joint stock company, a (15 U.S.C. 78) as amended. trust, or an unincorporated organization. connection with the loan. (f) The term “equity security” means (c) Nothing in this part shall be con­ (b) The term “in the ordinary course any stock or similar security; or any strued to prohibit withdrawal _^or of his business” means occurring-or rea­ security convertible, with or without con­ substitution of securities to enable a sonably expected to occur in the course of sideration, into such a security; or carry­ borrower to participate in a reorganiza­ any activity of the lender for livelihood ing any warrant or right to subscribe to tion. or profit or the management and pres­ or purchase such a security; or any such (d) Failure to comply with this part ervation of property or in addition, in warrant or right; or any other security due to a mistake made in good faith in the case of a lender other than an in­ which the Securities and Exchange Com­ determining, recording, or calculating dividual, carrying out or in furtherance mission shall deem to be of similar na­ any loan,-balance, market price, or loan of a purpose for which the lender was ture and consider necessary or appropri­ value, or other similar matter, shall not formed. ate, by such rules and regulations as it constitute a violation of this part if (c) (1) Substance, rather than form, may prescribe in the public interest or promptly after discovery of the mistake determines whether a loan is for the for the protection of investors, pursuant the lender takes whatever action is “purpose”, whether immediate, inciden­ to section 3(a) (11) of the Securities Ex­ practicable to remedy the noncompli­ tal, or ultimate, of purchasing or carry­ change Act (15 U.S.C. 78c(a) (11) ) to ance. ing registered securities. If the loan is treat as an equity security. (e) No lender shall perform any serv­ made for such purpose, it is a purpose (g) (1) The term “purchase” includes ices in respect to a loan which is secured loan despite any temporary application any contract to buy, purchase, or other­ directly or indirectly by any registered •of the funds otherwise. wise acquire. security unless such loan is made and (2) A loan is for the purpose of “carry­ (2) The term “sale” includes any con­ maintained in conformity with the pro­ ing” a security registered on a national tract to sell or otherwise dispose of. visions of this part. securities exchange if the. purpose of the (h) The term “borrower” includes a (f) A lender may arrange for the ex­ loan is to enable the borrower to reduce tension or maintenance of credit by any or retire indebtedness which was borrower and any other person to whom person upon the same terms and condi­ originally incurred to purchase such a a loan is made for the use of the borrower, tions as those upon which the lender, security. and also includes any person engaged in under the provisions of this part, may

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 PROPOSED RULE MAKING 14855 himself extend or maintain such credit, vertible into an equity security), without In conformity with the requirements of but only upon such terms and conditions, regard to initial margin requirements. the regulation. (A corresponding pro­ except that this limitation shall not ap­ In addition, lenders would be forbidden vision is proposed for insertion into ply with respect to the arranging by a to make loans to brokers or dealers ex­ Regulation U; Regulation T already for­ lender for a bank subject to Part 221 of cept for loans on exempted securities and bids brokers or dealers to perform such this chapter (Regulation U) to extend loans to dealers to aid in the financing services.) or maintain credit on registered securi­ of distributions off the exchange. In­ This notice is published pursuant to ties or exempted securities. stances of loans by nonbank sources, section 553(b) of title 5, United States made on an unsecured basis to creditors Code, and § 262.2(a) of the rules of § 2 0 7 .5 Supplem ent. subject to Regulation T, have been re­ procedure of the Board of Governors of (a) Maximum loan value of registered ported in the press. The Board considers the Federal Reserve System (12 CFR equity securities. For the purpose of that such loans constitute a potential 262.2(a)). § 207.1, the maximum loan value of any source of excessive credit in that they are To aid in the consideration of this registered equity security shall be 30 inherently unstable, and if called in large matter by the Board, interested persons percent of its current market value, as numbers at or about the same time, are invited to submit, in writing, relevant determined by any reasonable method. might contribute to a market decline. data, views, or arguments. Such material (b) Retention requirement. For the Except as stated above, same-day sub­ should be sent to the Secretary, Board purpose of § 207.1, in the case of a loan stitutions of equity collateral, or of non­ of Governors of the Federal Reserve which would exceed the maximum loan security collateral, securing a regulated System, Washington, D.C. 20551, to be value of the collateral following a with­ loan by a Regulation G lender, would be received not later than November 20, drawal of collateral, the “retention re­ permitted to the same extent as under 1967. Under the Board’s rules regarding quirement” of a registered equity security Regulation U. Regulation G would also availability of information (12 CFR 261), shall be 70 percent of its current market contain retention and withdrawal re­ such materials will be made available value, as determined by any reasonble strictions on undermargined accounts for inspection and copying to any person method. comparable to those in T and U. upon request unless the person submit­ The purpose of the proposed regula­ Under Regulation-G, any lender who ting the material requests that it be con­ tion is to bring lenders other than banks, after today makes any loan that would sidered confidential. brokers, or dealers within the coverage be subject to the regulation would, if Dated at Washington, D.C., this 20th of the Board’s rules governing margin re­ the regulation is adopted, have to file a day of October 1967. quirements on securities transactions. registration statement with the Federal By order of the Board of Governors. Available indications suggest that ex­ Reserve Bank in whose district the lend­ cessive credit may flow into the secu­ er’s head office is located. This state­ [ s e a l ] M e r r it t S h e r m a n , rities markets from such lenders. ment would have to be filed by the effec­ Secretary. The proposed regulation is designed to tive date of the regulation, 30 days after [F.R. Doc. 67-12620; Filed, Oct. 25, 1967; apply to any loan by any “person” that adoption. A form for the registration 8 :4 5 a.m .] is made in the ordinary course of such statement would be promulgated at the person’s business (1) if the collateral for time of adoption. Lenders would also be the loan includes any registered security required to file periodic reports and keep [12 CFR Part 220 1 and (21 if the purpose of the loan is to their records in such a way that exam­ [R eg. T ] purchase or carry any registered security iners could verify the accuracy of the (referred to as a “purpose loan”) . The registration statement and the periodic CREDIT BY BROKERS, DEALERS, AND regulation would presume that a loan reports. MEMBERS OF NATIONAL SECURI­ secured by registered securities was made In general, Regulation G would place TIES EXCHANGES for the purpose of purchasing or carry­ lenders who were subject to it on an ing those securities, unless the lender equal footing with other regulated Notice of Proposed Rule Making could demonstrate the contrary. lenders as to such matters as renewals The Board of Governors is considering The term '“person” would be defined to and extensions of loans, permitting with­ amending Part 220 in the following re­ include, for example, partnerships, tax- drawals or substitutions of collateral to spects: exempt organizations, and corporations, enable borrowers to participate in re­ 1. Section 220.2(a) would be amended and a loan would be considered to be organizations, and the correction of and a new paragraph (f) would be added made in the ordinary course of a person’s certain bookkeeping errors. However, the to read as follows: business if it was an event occurring or regulation would not permit the transfer reasonably expected to occur in the course of regulated loans between one lender § 220.2 Definitions. of any profit-making activity, or the and another, or one borrower and ***** management and preservation of prop­ another, nor would it provide special (a) The terms “person”, “member”, erty, or in the case of a lender other than terms for subscription loans. It is believed “broker”, “dealer”, “buy”, “purchase”, an individual, carrying out an objective that most lenders would have little oc­ “sale”, “sell”, “security”, “equity secu­ for which the lender was formed. A loan casion to make use of such provisions, rity”, and “bank” have the meanings by a corporation out of working capital, and that the recordkeeping and reporting given them in section 3(a) of the Act (15 for example, or made to a key executive problems of lenders would be unduly U.S.C. 78c(a)). to enable him to exercise a stock option, complicated if such provisions were in­ would be subject to the regulation if col­ cluded in the regulation. * * * * * lateral for the loan iiicluded any regis­ Foreign lenders making loans that are (f) The term “nonequity security” tered security. - used to purchase or carry securities in means any security other than an equity Because of the lack of comprehensive this country would be subject to Regula­ security or an exempted security. information about lenders who would be tion G. In most such cases, as well as 2. Section 220.3 (a), (b), (c), (e), and subject to the proposed regulation, no in many instances involving domestic (f) would be amended to read as fol­ lender would be permitted, at least until lenders subject to the regulation, a reli­ lows: appropriate information and enforce­ able agency in this country, usually but § 220.3 General accounts. ment techniques had been developed, to not always a bank, must be employed to make both “purpose” and “non-purpose” hold the collateral for the loan, effect (a) Contents of general account. All loans, or purpose loans secured by both substitutions, collect interest, and other­ financial relations between a creditor equity and nonequity securities, to the wise represent the interest of the lender. and a customer, whether recorded in one same borrower. However, lenders could Accordingly, a lender would be prohibited record or in more than one record, shall make nonpurpose loans, or loans whose from performing any services in respect be included in and be deemed to be parts collateral (fid not include any equity to a loan that was secured directly or of the customer’s general account with securities (a term which, as explained indirectly by any registered security un­ the creditor, except that the relations above, would include any security con­ less the loan was made and maintained which § 220.4 permits to be included in

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14856 PROPOSED RULE MAKING any special account provided for by that the short sale) of registered equity se­ sale, as the case may be, and at any section may be included in the appropri­ curities in the account, there may be other time shall use the closing sale ate special account, and all transactions withdrawn in cash an amount equal to price of the security on the preceding in commodities, and, except to the ex­ the difference between the current mar­ business day as shown by any regularly tent provided in paragraph (b) (2) of ket value of the securities sold and the published reporting or quotation service. this section, all transactions in non­ “retention requirement” of those securi­ In the absence of any such closing sale equity securities, exempted securities, ties, or (v) upon the sale (other than price, the creditor may use any reason­ and in other securities having no loan the short sale) or a registered nonequity able estimate of the market value of such value in a general account under the pro­ security or an exempted security that security as of the close of business on visions of paragraph (c) of this section was held in the account on (effective such preceding business day. and § 220.8 (except unissued securities, date) there may be withdrawn in cash an * * * * * short sales, and purchases to cover short amount equal to the difference between (e) Liquidation in lieu of deposit. In sales) shall be included in the appropri­ the current market value of the securities any case in which the deposit required ate special account provided for by sold and the “retention requirement” or by paragraph (b) of this section, or any § 220.4. During any period when § 220.8 those securities. The “retention require­ portion thereof, is not obtained by the specifies that registered equity securities ment” of an exempted security held in creditor within the 5-day period speci­ shall have no loan value in a general ac­ the account on (effective date) is the fied therein, registered nonexempted count, any transaction consisting of a same as its maximum loan value as de­ securities shall be sold (or, to the extent purchase of a security other than a pur­ termined by the creditor in good faith, that there are insufficient registered chase of a security to reduce or close and the “retention requirement” of a nonexempted securities in the account, out a short position shall be effected in registered nonequity security held in the other liquidating transactions shall be the special cash account provided for account on (effective date) and of a reg­ effected in the account), prior to the by § 220.4(c) or in some other appropri­ istered equity security are prescribed expiration of such 5-day period, in such ate special account provided for by from time to time in § 220.8(c) (the sup­ amount that the resulting decrease in § 220.4. „ plement to this Regulation T ). the adjusted debit balance of the account (b) General rule. (1) A creditor shall (3) Rules for computing the maxi­exceeds, by an amount at least as great not effect for or with any customer in a mum loan value of the securities in a as such required deposit or the unde­ general account any transaction which general account and the adjusted debit posited portion thereof, the “retention in combination with the other trans­ balance of such an account are provided requirement” of any registered or actions effected in the account on the in paragraphs (c ). and (d) of this sec­ exempted securities sold. same day, creates an excess of the ad­ tion, and certain modifications of and (f) Extensions of time. In exceptional justed debit balance of the account over exceptions to the general rule stated in cases, the 5-day period specified in para­ the maximum loan value of the securi­ this paragraph are provided in the sub­ graph (b) of this section may, on appli­ ties in the account, or increases any such sequent paragraphs of this section and cation of the creditor, be extended for excess, unless in connection therewith in § 220.6. one or more limited periods commensu­ the creditor obtains, as promptly as pos­ (c) Maximum loan value and currentrate with the circumstances by any regu­ sible and in any event before the expira** market value. (1) The maximum loan larly constituted committee of a national tion of 5 full business days following the value of the securities in a general securities exchange having jurisdiction date of such transaction, the deposit into account is the sum of the maximum loan over the business conduct of its mem­ the account of cash or securities in such values of the individual securities in the bers, of which exchange the creditor is a amount that the cash deposited plus the account, including securities (other member or through which his transac­ maximum loan value of the securities than unissued securities) bought for the tions are effected, provided such com­ deposited equals or exceeds the excess account but not yet debited thereto, but mittee is satisfied that the creditor is so created or the increase so caused. excluding securities sold for the account acting in good faith in making the appli­ (2) Except as permitted in this sub- whether or not payment has been cation and that the circumstances are paragraph, no withdrawal of cash or reg­ credited thereto. in fact exceptional and warrant such istered or exempted securities shall be (2) Except as otherwise provided in action. permissible if the adjusted debit balance this paragraph, the maximum loan value ***** of the account would exceed the maxi­ of a security in a general account shall 3. Section 220.4(h) would be amended mum loan value of the securities in the be such maximum loan value as the and a new paragraph (i) would be added account after such withdrawal. The ex­ Board shall prescribe for general to read as follows: ceptions are available only in the event accounts from time to time in § 220.8. no cash or securities need to be deposited No collateral other than an exempted § 220.4 Special accounts. in the account in connection with a security or a registered nonequity se­ ♦ * * ♦ * transaction on a previous day and none curity held in the account on (effective (h) Special subscriptions account. In a would need to be deposited thereafter in date) and a registered equity security, special subscriptions account a creditor connection with any withdrawal of cash shall have any loan value in a general may effect and finance the acquisition of or securities on the current day. The per­ account. a registered security for a customer missible exceptions are (i) registered (3) A warrant or certificate which through the exercise of a right to acquire nonequity or exempted securities held evidences only a right to subscribe to or such security which is evidenced by a in the account on (effective date) may otherwise acquire any security and which warrant or certificate issued to stock­ be withdrawn upon the deposit in the expires within ninety days of issuance holders and expiring within 90 days of account of cash (or registered equity shall have no loan value in a general issuance, and such special subscriptions securities counted at their maximum loan account; but, if the account contains the account shall be subject to the same-con­ value) at least equal to the “retention re­ security to the holder of which such war­ ditions to which it would be subject if it quirement” of such withdrawn securities, rant or certificate has been issued and were a general account except that: or (ii) registered equity securities may such warrant or certificate is held in the (1) Each such acquisition shall be be withdrawn upon the deposit in the appropriate account under § 220.4, the treated separately in the account, and account of cash (or registered equity current market value of such security prior to initiating the transaction the account of cash (or registered equity se­ (if such security be a registered secur­ creditor shall obtain a deposit of cash curities counted at their maximum loan ity) shall, for the purpose of calculating in the account such that the cash de­ value) at least equal to the “retention its maximum loan value, be increased by posited plus the maximum loan value of requirement” of those securities, or (iii) the current market value of such the securities so acquired equals or ex­ cash may be withdrawn upon the deposit warrant or certificate. ceeds the subscription price, giving effect in the account of registered equity se­ (4) For the current market value of to a minimum loan value for the securi­ curities having a miximum loan value at a security throughout the day of its ties so acquired of 75 percent of their least equal to the amount of cash with­ purchase or sale, the creditor shall use current market value as determined by drawn, or (iv) upon the sale (other than its total cost or the net proceeds of its any reasonable method;

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 PROPOSED RULE MAKING 14857

(2) After October 20, 1967, at the time (c) Retention requirement for general [12 CFR Part 221 1 when a loan is made pursuant to this accounts. In the case of a general ac­ [R eg. U ] paragraph, the creditor shall compute count which would have an excess of the the amount by which the loan exceeds adjusted debit balance of the account LOANS BY BANKS FOR PURPOSE OF the maximum loan value of the collateral over the maximum loan value of the se­ PURCHASING OR CARRYING REG­ as prescribed by § 220.8 and the customer curities in the account following a with­ ISTERED STOCKS shall reduce the loan by an amount equal drawal of cash or securities from the ac­ to one-fourth of such sum by the end count, pursuant to § 220.3(b) (2), the “re­ Notice of Proposed Rule Making of each of the four succeeding 3-calen­ tention requirement’' of an exempted dar-month periods or until the loan is security held in the account on (effective The Board of Governors is considering equal to such maximum loan value, date) shall be equal to its maximum loan amending Part 221 in the following re­ whichever shall occur first, and, if the value as determined by the creditor in spects: creditor fails to obtain the required re­ good faith, and the “retention require­ 1. Section 221.1 would be amended duction with respect to a particular ac­ ment” of a registered nonequity security to read as follows: quisition within 5 full business days af­ held in the account on (effective date) § 221.1 General rule. ter the reduction is due, the creditor shall and of a registered equity security shall (a) No bank shall extend any credit1 promptly sell the collateral so acquired: be 70 percent of the current market value secured directly or indirectly by any Provided, That, as to loans made between of thè security. stock2 for the purpose of purchasing or October 20, 1967, and (effective date), (d) Securities having no loan value carrying any stock registered on a na­ such four succeeding periods shall begin in general account. No security other tional securities exchange * (and no bank on (effective date); and than an exempted security or a regis­ shall make any loan described in (3) The creditor shall not permit any tered nonequity security held in the ac­ § 221.3 (q) regardless of whether or not withdrawal of cash or securities from the count on (effective date) and a regis­ such loan is secured by any stock) in an account so long as there is a debit bal­ tered equity security, shall have any loan amount exceeding the maximum loan ance in the account, except that when value in a general account. value of the collateral, as prescribed from the debit connected with a given acquisi­ A principal purpose of these amend­ time to time for stocks in § 221.4 (the tion of securities in the account has be­ ments is to change certain provisions Supplement to this Regulation U) and come equal to or less than the maximum through which excessive credit may be as determined by the bank in good faith loan value of such securities as prescribed flowing into the securities markets. The for any collateral other than stocks: Pro­ for general accounts (or in connection changes that would be made to accom­ vided, Any collateral other than stock with an acquisition after October 20, plish this purpose are described/in the shall have loan value only as collateral 1967, the requirements of subparagraph accompanying notice of proposed rule for a loan described in § 221.3(s), and (2) of this paragraph have been ful­ making with respect to amendments to not for any other“ loan subject to this filled), such securities may be trans­ Regulation U. part unless held as collateral for such ferred to the general account together Another purpose of these amendments loan on October 20, 1967, and continu­ with any remaining portion of such is to give creditors subject to Regulation ously thereafter. debit. T 5 full business days in which to ob­ (b) Except as permitted in paragraph In order to facilitate the exercise of a tain any additional deposit of margin (c) of this section, while a bank main­ right in accordance with the provisions required in connection with transactions tains any loan subject to this part, of this paragraph, a creditor may permit in a general account. This is 1 day more whenever made, the bank shall not at the right to be transferred from a general than the four presently permitted under any time permit any withdrawal or sub­ account to the special subscriptions ac­ the regulation. Such change appears de­ stitution of collateral unless either (1) count without regard to any other re­ sirable in order to relieve the pressure the loan would not exceed the maximum quirement of this part. on bookkeeping departments of broker­ loan value of the collateral after such (i) Special bond account. In a specialage firms by ensuring that a weekend will withdrawal or substitution, or (2) the always be included in the period of time loan is reduced by at least the amount bond account a creditor may effect and within which the required deposit must finance transactions in exempted securi­ by which the maximum loan value of ties and registered nonequity securities be obtained. any collateral deposited is less than the for any customer. This notice is published pursuant to “retention requirement” of any col­ section 553(b) of title 5, United States lateral withdrawn. The “retention re­ 4. Section 220.8 (the supplement toCode, and § 262.2(a) of the rules of pro­ quirement” of collateral other than stock Regulation T) would, be amended to read cedure of the Board of Governors of the is the same as its maximum loan value as follows: Federal Reserve System (12 CFR 262.2 and the “retention requirement” of col­ § 220.8 Supplem ent. (a) ). lateral consisting of stock is prescribed To aid in the consideration of this from time to time in § 221.4 (the Sup­ (a) Maximum loan value for general matter by the Board, interested persons plement to this Regulation U). accounts. The maximum loan value of are invited to submit, In writing, relevant (c) A bank may permit a substitution securities in a general account subject data, views, or arguments. Such material of registered nonexempted stock effected to § 220.3 shall be should be sent to the Secretary, Board by a purchase and sale on orders exe­ (1) Of a registered nonequity security of Governors of the Federal Reserve Sys­ cuted within the same day provided (1) held in the account on (effective date) tem, Washington, D.C. 20551, to be re­ if the proceeds of the sale exceed the and of a registered equity security, 30 ceived not later than November 20, 1967. total cost of the purchase, the loan is percent of the current market value of Under the Board’s rules regarding avail­ reduced by at least an amount equal to the security and ability of information (12 CFR 261), the “retention requirement” with respect (2) Of an exempted security held in such materials will be made available for to the sale less the “retention require­ the account on (effective date) the maxi­ inspection and copying to any person ment” with respect to the purchase, or mum loan value of the security as deter­ upon request unless the person submit­ (2) if the total cost of the purchase mined by the creditor in good faith. ting the material requests that it be con­ exceeds the proceeds of the sale, the loan (b) Margin required for short sales in sidered confidential. may be increased by an amount no Dated at Washington, D.C., this 20th greater than the maximum loan value general accounts. The amount to be in­ of the stock purchased less the maximum cluded in the adjusted debit balance of day of October 1967. loan value of the stock sold. If the maxi- a general account, pursuant to § 220.3 By order of the Board of Governors. (d) (3) , as margin required for short [seal] Merritt Sherman, iA “credit” Is sometimes referred to here­ inafter as a “loan". sales of securities (other than exempted Secretary. 8 As defined in § 221.3(1). securities) shall be 70 percent of the cur­ [F.R. Doc. 67-12621; Filed, Oct. 25, 1967; 8 Commonly referred to as a “purpose loan”. rent market value of each such security. 8 :4 5 a.m .] See §§ 221.3(b) (2) and (3) and (1).

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14858 PROPOSED RULE MAKING mum loan value of the collateral secur-» of the Federal Reserve System. A bank tered which is acquired by the borrower ing the loan has beeome less than the may also rely upon such a record to through the conversion or exchange of amount of the loan, the amount of the determine whether a stock into which the security pursuant to its terms, the loan may nonetheless be increased if a security is convertible is a stock regis­ loan shall thereupon be deemed to be for there is provided additional collateral tered on a national securities exchange. the purpose of purchasing or carrying a having maximum loan value at least ***** stock so registered. In any such case, the equal to the amount of the increase. (1), The term “stock” includes any amount of the outstanding loan, or such (d) For the purpose of this part, ex­security commonly known as a stock, amount plus any increase therein to en­ cept for a loan subject to § 221.3 (s), the any voting trust certificate or other able the borrower to acquire the stock entire indebtedness of any borrower to instrument representing such a secu­ so registered, shall not be permitted on any bank incurred at any time for the rity, any security convertible into such the date such stock is substituted as col­ purpose of purchasing or carrying stocks security, certificate, or other instrument, lateral to exceed the maximum loan registered on a national securities ex­ and any warrant or right to subscribe value of the collateral for the loan on change shall be considered a single loan; such date, and thereafter such indebted­ to or purchase such a security. ness shall be treated as subject to § 221.1: and all the collateral securing such in­ * * * * * debtedness shall be considered in deter­ Provided, however, That any reduction mining whether or not the loan com­ (p) A loan need not comply with the in the loan or deposit of collateral re­ plies with this part. other requirements of this part if it is quired on that date to meet this require­ to enable the borrower to acquire a stock ment may be brought about within 30 § 221.2 [Amended] by exercising a right to acquire such days of such substitution. 2. Section 221.2 would be amended by stock which is evidenced by a warrant or (2) If, after October 20,1967, but prior (1) eliminating the paragraph enumer­ certificate issued to stockholders and ex­ to (effective date), a loan is made by a ated (b ); (2) redesignating paragraphs piring within 90 days of issuance: Pro­ bank for the purpose of purchasing or (c), (d), (e), (f), (g), (h), (i), (j), and vided, That (1) each such acquisition un­ carrying a “security convertible into a (k) as paragraphs (b), (c), (d), (e), der this paragraph shall be treated sep­ stock registered on a national securities (f) , (g), (h), (i), and (j), respectively; arately, and the loan when made shall exchange”, the amount of the outstand­ and (3) amending the second proviso in not exceed 75 percent of the current ing loan shall not be permitted on (effec­ redesignated paragraphs (e), (f), and market value of the stock so acquired as tive date) to exceed the maximum loan (g) to read: “And provided further, That determined, by any reasonable method, value of the collateral for the loan on it is either (1) made to a broker or (2) after October 20, 1967, at the time a such date: Provided, however, That any dealer, or (2V made for a purpose other loan is made pursuant to this paragraph, reduction in the loan or deposit of col­ than to enable the borrower to pay for the bank shall compute the amount by lateral required to meet this requirement stock purchased in an account subject which the loan exceeds the maximum may be brought about within 30 days of to Part 220 of this chapter.” loan value of the collateral as prescribed (effective date). 3. Section 221.3 (b), (c), (1), (p), and by § 221.4 and the borrower shall reduce (s) A bank may make a loan for the (r) would be amended and new para­ the loan by an amount equal to one- purpose of purchasing or carrying a graphs (s), (t), and (u) would be added fourth of such sum by the end of each of stock registered on a national securities to read as follows: the four succeeding 3-calendar-month exchange secured by collateral other than periods or until the loan fs equal to the stock, and, in the case of such a loan, § 221.3 Miscellaneous provisions. maximum loan value of the stock, which­ * * * * * the maximum loan value of the collateral ever shall occur first, and if the borrower shall be as determined by the bank in (b) (1) No loan, however it may be shall fail to make the required reduction with respect to a particular acquisition good faith. secured, need be treated as a loan for (t) No bank shall perform any serv­ the purpose of “carrying” a stock regis­ within 5 full business days after such payment is due, the bank shall promptly ices in respect to a loan which is for the tered on a national securities exchange purpose of purchasing or carrying a unless the loan is as described in this sell the collateral so acquired: Provided, That, as to loans made between October stock registered on a national securities paragraph or the purpose of the loan exchange and is secured by any stock un­ is to enable the borrower to reduce or 20, 1967, and (effective date) such four succeeding periods shall begin on (effec­ less such loan is made and maintained in retire indebtedness which was originally conformity with the provisions off Part incurred to purchase such a stock, or, tive date), and (3) while the borrower has any loan outstanding at the bank 207, 220, or this 221 of this chapter (Reg­ if he be a broker or a dealer, to carry ulation G, T, or U). such stocks for customers. under this paragraph no withdrawal or substitution of stock used to make such (u) No bank shall arrange for the ex­ (2) A loan for the purpose of pur­ tension or maintenance of any credit for chasing or carrying a “reedeemable secu­ loan shall be permissible, except that when the loan has become equal to or the purpose of purchasing or carrying rity” (i.e., a redeemable proportionate any stock registered on a national securi­ interest in the issuer’s assets) issued by less than the maximum loan value of the an “open-end company,” as defined in stock as prescribed for § 221.1 in § 221.4 ties exchange, except upon the same the Investment Company Act of 1940, (or with respect to a loan made after terms and conditions on which the bank October 20,1967, the requirements of the itself could extend or maintain such whose assets customarily include stocks credit under the provisions of this part. registered on a national securities ex­ preceding clause have been fulfilled) the change, shall be deemed to be for the stock and indebtedness may thereafter A principal purpose of these amend­ purpose of purchasing or carrying a be treated as subject to § 221.1 instead of ments is to change certain provisions stock so registered. this paragraph. In order to facilitate the through which excessive credit may be (3) A loan made after October 20, exercise of a right under this paragraph, flowing into the securities markets. The a bank may permit the right to be with­ changes relate principally to the follow­ 1967, for the purpose of purchasing or carrying a “security convertible into a drawn from a loan subject to § 221.1 ing: stock registered on a national securities without regard to any other requirement (1) Special subscription accounts. Un­ exchange” shall be deemed to be for the of this part. der the current margin regulations, spe­ purpose of purchasing or carrying a * * * * * cial subscription accounts are intended stock so registered. (r) (1) If, prior to and including Oc­ to facilitate equity financing by corpora­ (c) In determining whether a security tober 20, 1967, but on or after June 15, tions, and to help stockholders retain is a “stock registered on a national secu­ 1959, a loan was made for the purpose of their proportionate interest in the issuer, rities exchange” or a “redeemable secu­ purchasing or carrying a security other by making it possible to borrow for the rity” described in paragraph (b) (2) of than a stock registered on a national purpose of exercising subscription rights this section, a bank may rely upon any securities exchange and the loan is se­ on more favorable terms than those gen­ reasonably current record of such secu­ cured by the security, but subsequently erally available under the margin regula­ rities that is published or specified in a there is substituted as direct or indirect tions. The Board’s rules relating to such publication of the Board of Governors collateral for the loan a stock so regis­ accounts contemplate, however, that such

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 PROPOSED RULE MAKING 14859 loans shall be brought up to a fully mar­ quire that margin accounts maintain CFR 221.111) stating that the “same- gined status within 9 months. minimum margin status at all times, but day” rule obtains under U. It has come to the Board’s attention for reasons discussed, for example, in the In addition, the proposed changes that in many instances this improvement Special Study of the Securities Markets, would close a loophole in the present in the margin status of subscription ac­ submitted to Congress in 1963 by the §§221.2 (f), (g), and (h) of Regulation count loans does not take place, leaving Securities and Exchange Commission, it U which • appears to permit a bank to the account vulnerable to margin calls has not done so. However, in 1959, the make a “clearance loan” in respect to in any subsequent general stock price de­ Board adopted the so-called “retention transactions with a broker that are car­ cline, and the proposed amendments re­ requirement” under which it was ex­ ried in some account other than the spe­ lating to such accounts would require pected that undermargined accounts cial cash account. The changes would that the difference between the amount, would gradually tend to be brought into make it clear that such loans are not ex­ of the loan and the maximum loan value conformity with the current level of mar­ empt if made to enable a borrower to pay of the securities serving as collateral for gin requirements, thus reducing the ag­ for equity securities purchased in any the loan shall be paid off in four equal gregate amount of credit in the market account subject to Regulation T. quarterly installments (unless the loan due to existing accounts, and minimizing A proposed new § 221.3 (t) of Regula­ becomes fully margined before this has to some extent the unfairness to an in­ tion U would forbid a bank to perform been done, due to a change in margin vestor newly entering the market of re­ services in connection with any loan that requirements or an increase in the loan quiring him to put Up more margin than is for the purpose of purchasing or value of the collateral), and that the is demanded of an investor with an ex­ carrying equity securities, and secured loan shall then be eligible for transfer to isting account. by such securities, unless the loan is the general (margin) account. If the In order to provide some investment made and maintained in conformity borrower failed to make a required pay­ flexibility in undermargined accounts, with Part 207, 220, or 221 (Regulation G, ment, the loan would be liquidated. the Board permitted substitutions by T, or U ). (2) Convertible bonds. At present, means of offsetting purchases and sales, Finally, a new § 221.3(u) of Regula­ Regulation U permits a bank to lend as executed on the same day, without the tion U would prohibit a bank from much as it sees fit against nonequity deposit of additional margin—the arranging credit for a customer on terms securities (chiefly bonds), but all regis­ “same-day” rule. However, abuses have more favorable than could be provided tered securities, „whether equities or non­ occurred through substitution into bonds by the bank itself. or exempted securities under this rule. This notice is published pursuant to equities, are subject to ordinary margin § 553(b) of Title 5, United States requirements under T. At the same time, In order to prevent abuses of this kind, Code, and § 262.2(a) of the rules of pro­ there appears to have been a substantial the proposed amendments would require increase in credit extended by banks to that collateral consisting of registered cedure of the Board of Governors of the finance the purchase of certain con­ nonconvertible bonds or exempted secu­ Federal Reserve System (12 CFR vertible bonds. The present § 221.3 (r) of rities be segregated in a separate ac­ 262.2(a)). U provides that a bank loan to purchase count, under a new § 221.3 (s). Such To aid in the consideration of this a convertible bond, where the bond is collateral would have good-faith loan matter by the Board, interested persons pledged to secure the loan, must be value but no stock (and no securities are invited to submit, in writing, relevant brought into conformity with ordinary convertible into stock) could be held as data, views, or arguments. Such material margin requirements within 30 days collateral for a loan in such an account, should be sent to the Secretary, Board after conversion takes place. and there could be no* exchange of col­ of Governors of the Federal Reserve System, Washington, D.C. 20551, to be The proposed amendments would treat lateral between the “bond account” and the general, or margin, account under received not later than November 20, any security convertible into a registered 1967. Under the Board’s rules regarding stock as “stock” for purposes of Regula­ either regulation. To minimize the bur­ den of having to transfer all nonequity availability of information (12 CFR tion U, so that loans by banks to pur­ Part 261), such materials will be made chase or carry such securities would be and exempted securities already held in margin accounts, as to Regulation U, available for inspection and copying to subject to ordinary margin requirements any person upon request unless the per­ from the outset. only transactions after October 20, 1967, and as to Regulation T, after the effec­ son submitting the material requests At the same time, the proposed changes that it be considered confidential. would give good faith loan value to non- tive date of the amendments would be convertible registered bonds under Reg­ affected. Dated at Washington, D.C., this 20th ulation T, thus removing, to the extent (4) Additional proposed changes inday of October 1967. permitted by section 7 of the Securities Regulation U. The “same-day” rule dis­ By order of the Board of Governors. Exchange Act of 1937, the unequal treat­ cussed above does not appear explicitly ment of banks, brokers, and dealers, in Regulation U. The proposed changes [seal] Merritt Sherman, under the two regulations. would insert into the regulation the sub­ Secretary. (3) Separate bond accounts. Under stance of an interpretation published in [F.R. Doc. 67-12622; Filed, Oct. 25, 1967; the law, the Board has authority to re- 1959 Federal Reserve Bulletin 590 (12 8:4 5 a.m .]

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14860 Notices

Sec. 12, Ev2, E%W&, W%SW%, and S% Sec. 13, all; DEPARTMENT OF THE INTERIOR swy4Nwy4; Sec. 14, SEV4 and sy2N E^; Sec. 13, all; Sec. 15, SE%; Bureau of Land Management Sec. 14, all; Sec. 20, NE 14 a n d s y 2 ; Sec. 17, Ey2SE% and SW&SEÎ4; Sec. 24, N^NW i4, SE^SW ^, and SE^4; [A 1382] Sec. 19, SE14 and SE&SW^; Sec. 25, N%NE% and SEy4NE%; ARIZONA Sec. 23, all; Sec. 31, lots 3, 4, Ey2SW%, SE^, and E y2 Sec. 24, all; NE*4. Notice of Proposed Classification of Sec. 25, N%; T. 7 S., R. 15 W., Sec. 26, all; Sec. 4; lots 1, 2,3, 4, Sy2, and SV£Ny2; Public Lands for Exchange Sec. 27, all. Sec. 8, aU; 1. Pursuant to the Act of SeptemberT. 6 S., R. 11 W., Sec. 9, NE%; 19, 1964 (43 U.S.C. 1411-18) notice is Sec. 28, E14; Sec. 10, NE^NW ^ and NW^NE%; Sec. 29, all; S ec. 15, Ny2Ny2NE%; hereby given of a proposal to classify Sec. 30, all; Sec. 17, all; the public lands described below for ex­ Sec. 31, all. _ Sec. 18, lots 1, 2, 3, 4, E y2 , an d E% W % ; change to acquire privately owned lands T. 7 S., R. 11 W., Sec. 19, lot 1, and NE^NW ^. within the boundaries of the Luke Air Sec. 1, sy2; T. 8 S., R. 15 W., Force Range. These exchanges would be S e c 0 9JI* Sec. 4, lots 1, 2, SE 14 and sy2NEi4^ made under the authority of section 8 Sec! 7! lots 1, 2, 3, NE14, E^NW ^. Ny2SE^, Sec. 9, all; of the Taylor Grazing Act of June 28, and NEy4SWÎ4T Sec. 10, NE% and SW%; Sec. 8, Sy2 and NWÎ4; S ec. 15, NW*4; 1934 (48 Stat. 1272) as amended by sec­ Sec. 9, sw%; Sec. 20, SW%; tion 3 of the act of June 26, 1936 (49 Sec. 10,sy2SWÎ4; Sec. 21, SEÎ4; Stat. 1976; 43 U.S.C. 315g). As used Sec. 11, SE14-; S ec. 2 2 ,s y 2; herein “public lands” means any lands Sec. 12, S% and NE%; Sec. 23, lots 1, 2, 3,4, E y2, and E^Wy^; withdrawn or reserved by Executive Sec. 13, all; Sec. 24, lots 1, 2, 3, 4, Wy2NE%, N&NWÎ4, Order No. 6910 of November 26, 1934, as Sec. 14, NE^i; Ny2Sy2NWy4,and SW 1 4 SW 1 4 ; amended, or within a grazing district Sec. 15, SE}4; Sec. 25, lots 1 through 8, inclusive, Ny2N>/2 Sec. 24, all; a n d S E y 4 : established pursuant to the Act of June Sec. 25, all; Sec. 26, lots 1 through 9, inclusive, NE^ 28, 1934 (48 Stat. 1269), as amended, Sec. 30, lots 3, 4, E^SWyi; NE 1 4 , Ey2SE]4, and SW%; which are not otherwise withdrawn or Sec. 31, lots 1, 2, 3, 4, Ey2, and Ey2Wy2. s e c . 2 7 , Ny2Ny2, s y 2s y 2 , sw%Nwy4. Nwy4 reserved for a Federal use or purpose. T. 6 S., R. 12 W- sw y4, SEV4NEy4, and NEy4SEy4; - 2. Publication of this notice has the Sec. 7, lot 4; Sec. 28, all; effect of segregating the described lands Sec. 9, NWy4; Sec. 29, all. from all forms of appropriation under Sec. 10, Ny2; T. 7 S., R. 16 W„ the public land laws, including the min­ Sec. 25, Sy2, SEÎ4NW&, Sy2NEV4, and NE*4 Sec. 13, all; NE%; s e c . 2 1 , N ^, Ny2sy2, sy2swy4. s w ^ s e h , ing and mineral leasing laws. Sec. 26, SE^SW%, Sy2SE%, and NE%SE*4; a n d N y2 SE % SE y4 ; 3. Information concerning these lands Sec. 31, lot 4 and SE^SW ^; Sec.-22,wy2; and the proposed disposal may be re­ Sec. 33, Sy2Sy2 and NE%SE^; Sec. 23, NE 1 4 , Ny2NWi4, SE^NW yi. NEii ceived by inquiry or inspection of Sec. 34, Sy2, .SE^NWyi, S^N E ^, and SW ^.and NW%SE%; records at the Bureau of Land Manage­ NE%NE%; Sec. 24, w y2NW% and NÎ4NEy4; ment, Room. 3041, Federal Building, - Sec. 35, NE%. Sec. 28, Ny2Ny2NWy4 and N y2 NW J4 NE % I T. 7 S., R. 12 W.f Sec. 29, NEiyjEyt, Ny2Ny2NWy4, and Ny2 Phoenix or at the Corps of Engineers, Sec. 3, lots 1, 2, 3, 4, S%, and S ^ N ^ ; NW % NE^; 2727 North Central Avenue, Room 402, Sec. 4, lots 1, 2, 3, 4, Sy2Ny2, and sy2; " Sec. 30, lots 1, 2, Ey2NWy4, N ^N E^. and Phoenix, Ariz. Sec. 5, lots 1, 2, 3, sy2NEi4, SE]4NWy4, Ny2sw%NEy4. 4. For a period of 60 days from the and sy2sw y4Nwy4; T. 7 S., R. 17 W., date of this publication, interested parties Sec. 6, lots 2 through 7, inclusive, SE14 g ç ç 25 iQjj1 may submit comments to the Manager, NWy4, SWy4NEy4, EyaSWyt, and SE%; Sec! 33! NE% and N E^SE^. Phoenix District Office, Bureau of Land Sec. 25, N14SE14 and sy2sy2; T. 9 S., R. 17 W., Management, Phoenix, Ariz. 85025. A Sec. 26, S%SE% and Wy2Wy2; Sec. 7, lots 1, 2, N^NEy^NWyi. arid SW’/4 Sec. 27, Sy2; NEy4Nwy4. public hearing on the proposed classifica­ Sec. 28, Sy2; T. 9 S., R. 18 W., tion will be held at the City-County Sec. 33, all; Sec. l,-SE%SEy4; Library Auditorium, 360 South 3d Ave­ Sec. 34, all; . s e c . 1 1 , sy2sy2,NEî4SEy4; nue, Yuma, Ariz., on November 15, 1967 Sec. 35, all. Sec. 12, Ny2; at 8 p.m. T. 6 S., R. 13 W., Sec. 16, SWi/4, SE%NWy4. and Sy2SWy4 Sec. 17, Ei/2SWy4 and SW&SW^; nw%; 5. The public lands involved are de­ Sec. 18, SE%SE%; Sec. 17, sy2swy4. scribed as follows: Sec. 19, Sy2SE%. T. 8 S., R. 19 W., Y t jm a -M a r ic o p a C o u n t ie s T. 7 S., R. 13 W., %_ Sec. 19, NE14SWÎ4; Sec. 1, lots 1, 2, 3, 4, S ^ N ^ , and Sy2; Sec. 29, Ny2. ' GILA AND SALT RIVER MERIDIAN, ARIZONA Sec. 3, lot 1, sy2, SE^NW ^, and sy2NE44; T. 9 S., R. 19 W., T. 4 S., R. 10 W., Sec. 7, lot 4, SE%SW%, Sy2SE^, and NE& s e c . 1 6 , s y 2s w y 4 : Sec. 4, E\/2N E a n d E%SWy4; se]4; Sec. 17, all; Sec. 10, S W ^ S W ^ . Sec. 8, sy2 andSy2NE^; Sec. 18, lots 1, 2, 3, 4, E y2, and EÎ4WÎ4; T. 5 S., R. 10 W .,' Sec. 9, all.«» Sec. 19, lots 1, 2, 3, 4, E y2, and E^jW^; Sec. 11, N^NW>/4, NE%SW^, and NWy4 T. 6 S., R. 14 W., Sec. 20, all; * SE%; Sec. 1, aU; Sec. 21, SEÎ4, Sy2sy2NEy4, and Ey2NEî4 Sec. 13, S ^ N E i4 and S E ^ ; Sec. 12, all; NE%; Sec. 23, NE%SE»/4; Sec. 34, sy2; Sec. 22, Ny2Ny2 a n d Ny2s y 2Ny2; Sec. 24, NM.NE14, SW 14NE14, and E^NW ^. Sec. 35, wy2, NEy4, and NWyiSE%. Sec. 23,Ny2; , T. 6 S., R. 11 W., T. 7 S., R. 14 W., Sec. 24, lots 1, 2, and W%NE}4. Sec. 1, s y 2SEy4 and S E ^ S W ^ ; Sec. 3, lots 1, 2, 3, 4, Sy2NWy4> NWy4SWy4 , T. 7 S., R. 20 W„ Sec. 10, all; and SW%NE14; Sec. 29, S y2 , sec. 1 1 , sy2, wi/2nwi/4> sy2sy2NEi,4, sy2 Sec. 4, lots 1, 2, 3, 4, Sj£, and Sy&N^; Sec. 30, lots 3,4, and SEy4l SE^NW^.and NW^SE^NW^; Sec. 5, lots 1, 2, 3, 4, S%N^. and N ^S^; Sec. 33, NW% and Ny2SW î4.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 NOTICES 14861

T. 8 S., R. 20 W., T. 26 S., R. 40 E., 4. As provided in paragraph 2 above, S ec. 3, S y2 ; Secs. 1,12,13, 24,25, and 36. the following lands are further segre­ Sec. 4, lots 1,2, S^NE»4, and NE»4SE%; T. 27 S., R. 40 E., gated from appropriation under the min­ Sec. 10, Ni/2NE% and SE&NEft; Secs. 1,12,13,24,25, and 36. Sec. 11,SW%; T. 28 S„ R. 40 E., ing laws (totaling approximately 5,510 Sec. 13, SW&; Secs. 1,12,13, 24, 25, and 36. acres). Sec. 14, Ni/2Ni/2, Si/2N E ^, and NE}4SE%; T. 25 S., R. 41 E„ unsurveyed. M ou n t Diablo Meridian, California Sec. 24, NV^NEi4. T. 26 S., R. 41 E. T. 9 S., R. 20 W., T .27S., R. 41 E. T. 27 S., R. 42 E., Sec. 23, all; T. 28 S., R. 41 E. / S e c . 13; Sec. 24, all. T. 29 S., R. 41 E. S e c . 14; T. 7 S., R. 21 W., T. 30 S.,R . 41 E., Sec. 15, S%S%SE%; Sec. 25, S%; Secs. 1 to 5, inclusive; Sec. 22, NEV4, SW&NW&SW&, SW&SWV 4 , Sec. 26, E^SE% . Sec. 6, W%; SW&SEiASW^, NEJ4SE&, NEV4NW& T. 8 S., R. 22 W., Sec. 7, NE&NE 1 4 , N E 1 4 NW&NE 1 4 , S% SEVti Sec. 1, lots 1, 2, 3, 4, S%, and S%N%; N W ^N W i/4N E % , S»/2NW%NE»A, S% S ec. 23, E y2 . NW%, N&SW&, N%SW% Sec. 2, lots 1} 2, S^ N E ^ , and SE&; NE%, Wy2, and SE%; swy4, SE%swy4sw%, SE&swyi; Sec. 11, NE}4; Secs. 8 to 36, inclusive. Sec. 24, NW%; Sec. 27, NW^NWyiNEft, S%NW«4NEV4, Sec. 12, N ft. T. 31 S., R. 41 E. S&NE}4, W ^.SE^; T. 32 S., R. 41 E. This includes 53,674.17 acres of public T. 25 S., R. 42 E., partly unsurveyed. Sec. 28,E 1AEi/2; lands. T. 26 S., R. 42 E. . Sec. 33, NE^NEi/4; Sec. 34, Ni/2N W ^. For the State Director. T. 27 S., R. 42 E„ , Secs. 1 to 12, inclusive; T. 27 S., R. 43 E. (unsurveyed), S ec. 3; G lendon E. Collins, Secs. 16 to 21, inclusive; S ec. 4; Secs. 25 and 26; Land Office Manager. S ec. &, E y2 , and that part of lying east Secs. 29 to 32, inclusive; of the centerline of the Trona Railway October 19,1967. Secs. 35 and 36. right-of-way; T. 28 S., R. 42 E. [F.R. Doc. 67-1&533; Filed, Oct. 25, 1967; S ec. 8, N E 1 4 , and that part of the E^NW ^ T. 29 S., R. 42 E. 8 :4 6 a.m .] lying east of the centerline of the Trona T. 30 S., R. 42 E. Railway right-of-way. T. 31 S., R. 42 E. T. 31 S., R. 45 E„ T. 32 S„ R. 42 E. [R 585] Sec. 30, S^NW Vi, &%. T . 25 S.V R. 43 E. CALIFORNIA T. 26 S., R. 43 E. 5. For a period of 60 days from the T. 27 S., R. 43 E., date of publication of this notice in the Notice of Proposed Classification of Secs. 1 and 2; F ed e r a l R e g is t e r , all persons who wish Public Lands for Multiple-Use Man­ Secs. 6 a n d 7; Secs. 9 to 36, inclusive. to submit comments, suggestions, or ob­ agement T. 28 S., R. 43 E. jections in connection with the proposed October 19, 1967. T. 29 S.,R . 43 E. classification may present their views in 1. Pursuant to the Act of September T. 30 S„ R. 43 E. writing to the Manager, Riverside Dis­ 19, 1964 (43 U.S.C. 1411-18) and to the T. 31 S., R. 43 E. trict and Land Office, Bureau of Land regulations in 43 CFR Parts 2410 and T. 32 S., R. 43 E. Management, 1414 University Avenue, 2411, it is proposed to classify for T. 25 S., R. 44 E„ Post Office Box 723, Riverside, Calif. . Secs. 4 to 9, inclusive; multiple-use management the public Secs. 16 to 21, inclusive; 92502, or at the public hearing. lands described in paragraph 3 below, Secs. 28 to 33, inclusive. 6. A public hearing on the proposed together with any lands therein that T. 26 S., R. 44 E. classification will be held on November may become public lands in the future. T. 27 S., R. 44 E. 30,1967, at 10 a.m. in the County Sheriff’s As used herein, “Public Lands” means T. 28 S., R. 44 E. Office Substation, Mountain View Ave­ any lands withdrawn or reserved by T. 29 S., R. 44 E. nue, at Barstow, Calif. Executive Order No. 6910 of November T. 30S., R. 44 E. T. 31 S„ R. 44 E., For the State Director. 26,1934, as amended, or within a grazing Secs. 1 to 29, inclusive; district established pursuant to the Act Secs. 31 to 36, inclusive. Hall H. McClain, of June 28, 1934 (48 Stat. 1269), as T. 25 S., R. 45 E. Manager, amended, which are not otherwise with­ T. 26 S., R. 45 E. Riverside District and Land Office. drawn or reserved for Federal use or T. 27 S., R. 45 E. purpose. T. 28 S., R. 45 E. [FJR. Doc. 67-12632; Filed, Oct. 25, 1967; T. 29 S., R. 45 E. 8 :4 6 a m .] 2. Publication of this notice has the T. 30 S., R. 45 E. effect of segregating the described lands T. 31 S., R. 45 E. from appropriation only under the agri­ T. 25 S., R. 46 E. [Serial No. N-619] cultural land laws (43 U.S.C. Chs. 7 and T. 26 S., R. 46 E. 9; 25 U.S.C. sec. 334), from sale under T. 27 S., R. 46 E. NEVADA sec. 2455 of the Revised Statutes as T. 28 S„ R. 46 E. amended (43 U.S.C. 1171), and the lands T. 29 S., R. 46 E. Notice o f Classification T. 30 S., R. 46 E. described in paragraph 4 from appro­ O c t o b e r 20,1967. priation under the Mining laws (30 T. 31 S., R. 46 E. U.S.C. Ch. 2). The lands shall remain T. 25 S„ R. 47 E. Pursuant to section 7 of the Taylor T. 26 S., R. 47 E. Grazing Act of June 28, 1934, 43 U.S.C. open to all other applicable fbrms of T. 27 S., R. 47 E. appropriation. 315g, the below listed lands are hereby T. 28 S., R. 47 E. classified for sale under the Recreation 3. The public lands are located in T. 29 S., R. 47 E. northwestern San Bernardino County T. 30 S., R. 47 E. and Public Purposes Act of June 14,1926, and are shown on the Trona Planning T. 31 S., R. 47 E. as amended, 43 U.S.C. 869. This notice Unit Classification Map, which is on file is published in compliance with section San B ernardino Meridian, California 2 of the Classification and Multiple Use in the Riverside District and Land Office, SAN BERNARDINO COUNTY Bureau of Land Management, Calif. Act of September 19,1964, 43 U.S.C. 1412. The overall description of the area is T. 13 N„ R. 1 E. These lands are segregated from all as follows: T. 14 N„ R. 1 E., other forms of disposal, including the Secs. 15 to 22, inclusive; mining laws, 43 CFR 2411.1-2 and 2232.1- M ount Diablo Meridian, California Secs. 25 to 36, inclusive. 4(a). SAN BERNARDINO COUNTY The public lands proposed to be classi­ The lands border Valley of Fire State T. 25 S., R. 40 E., fied aggregate approximately 406,642 Park in Clark County, Nev. They are Secs. 1,12,13, 24,25, and 36. acres. vacant public domain, unsuited to agri-

FEDERAL REGISTER, V O L 32, NO. 208— THURSDAY, OCTOBER 26, 1967 No.208-----7 14862 NOTICES culture and not needed for any Federal T. 18 S., R. 66 E. (partly surveyed), fore, pursuant to the regulations con­ program. Sec. 1, W%; tained in 43 CFR 2411.2(e) (2) (ii), such Sec. 2, all: One letter of protest was received fol­ Sec. 11, N%N%j lands will be at 10 a.m. on November 24, lowing publication of the notice of pro­ Sec. 12, N%NW&. 1967, relieved of the segregative effect of posed classification (32 F.R. 110) of the the above-mentioned proposed classi­ lands hereinafter described. The areas described aggregate approx­ fication. The protestant stated: (1) He has a imately 4,557 acres. The lands involved in this notice of grazing permit which includes the lands For a period of 30 days from the date termination are: of this publication, interested parties involved; (2) the State of Nevada already W illamette Meridian has more land in Valley of Fire State may submit comments to the Secretary Park than it can use or develop; and (3) of the Interior, LLM, 721, Washington, T. 36, N., R. 1 E., D.C. 20240. (43 CFR 2411.12(d)). Sec. 31, lot 2. he fails to see any advantage to taxpay­ T. 3 N., R. 5 E., ers in changing the status of the land For the State Director. Sec._29.SWi4. from useful purpose to restricted idle­ T. 31 N., R. 6 E., ness. R o ll a E . C h a n d l e r , Sec. 27, NEi4NWi4. The protest must be dismissed since: Land Office Manager. T. 2 N., R. 7 E., (1) The value of the grazing permit as [PR. Dop. 67-12634; Piled, Oct. 25, 1967, Sec. 10, NWi4NWi4, NWi4SWi4. to the lands affected by this classifica­ 8:46 am.] T.3N..R.7E., tion amounts to 54 animal unit months, Sec. 28, lot 3. or 5 head of livestock on an annual basis; T. 21 N., R. 7 E.," NEVADA Sec. 14, SW%SWi4. this private use is outweighed by the T 12 N R 8 E public recreational use and enjoyment Order Opening Lands to Entry and Sec. ' 12, SE^NE^SW iiSW ^, Ey2SWy4 provided to nearly 150,000 park visitors Patenting • SWi4SW%, SEi4SWi4SW)4• annually; (2> a review of the State’s T. 13 N., R. 9 E., plan indicates that the State of Nevada O c t o b e r 20,1967. Sec. 10, lot 3; can develop and use for park purposes Sec, 20, lot 8; 1. In accordance with the provisions Sec. 28, lot 2.. the lands included in this notice of clas­ of section 16 of the Act of May 13, 1946, T. 23 N., R. 9 E., sification; and (3) Nevada’s voters have, 60 Stat. 179, the following lands were S ec. 6 , Ny2SEi4;. by their support of the State parks’ pro­ reconveyed to the United States; Sec. 29, lots 3 to 6, inclusive; gram, approved the use of that portion Sec. 33, lots 6,10,11. Mo u n t D iablo Meridian of their tax funds, devoted to State park T. 34 N., R. 10 E., T. 21 S., R. 61 E., purposes. The State Legislature in 1965 Sec. 32, E^NEÎ4, NW%NE]4. Sec. 2, Ei4SEi4SEi4. passed a resolution providing funds for T . 15 N., R . 1 W ., the acquisition of lands for the Valley The area contains 120 acres. Sec. 15, lot 5. T. 30 N .,R . 1 W., of Fire State Park. 2. The land is located in Clark County, Sec. 28, lot 13. » Acquisition of these lands by the Ne­ Nev., and lies between and within the T. 30 N., R. 9 W., vada State Park System is consistent rights-of-way for Interstate 15 and U.S. Sec. 7, lot 15. with the system’s continuing program to Highway 91. Vegetation is sparse and T. 28 N., R. 14 W., develop recreation and visitor facilities consists of such species as cat claw, Sec. 30, NWi4SEi/4. and protect archeological and recrea­ burro brush, and annual weeds and T. 28 N., R. 15 W., tional values of Valley of Fire State Park. forbes. The parcel is dissected by drain­ Sec. 25, lots 5 and 7. The notice of proposed classification T. 8 N., R. 29 E., age channels. Sec. 6, lots 1 to 5, Inclusive, and SE^SW ^. (32 F.R. 110) rejected Nevada State Park 3. Subject to valid existing rights, the System’s petition-application as to sec. provisions of existing withdrawals, and M u r l w . S t o r m s , 25, T. 17 S., R. 67 E., MD Mer., Nevada, the requirements of applicable law, the Acting State Director. at the request of the Bureau of Recla­ land is hereby opened to application, [PR. Doc. 67-12636; PUed, Oct. 25, 1967; mation. Said sec. 25 is part of a reclama­ petition and selection generally. 8 :4 7 a.m .] tion withdrawal made by Secretarial Or­ All valid applications received at or der on March 31, 1933. The Bureau of prior to 10 a.m. on November 24, 1967, Reclamation has since determined there shall be considered as simultaneously is no need to retain the lands in sec. 25 filed at that time. Those received there­ DEPARTMENT OF HEALTH, EDU­ and no longer objects to the disposition. after shall be considered in order of The subject sec. 25 is therefore included filing. CATION, AND WELFARE in this notice of classification. Nevada State Park System is entitled 4. Inquiries shall be addressed to Land Food and Drug Administration Office Manager, Bureau of Land Man­ to the preference provided by section 7 CERTIFIED COLOR INDUSTRY of the Taylor Grazing Act of June 28, agement, Room 3008 Federal Building, 1934, as to the lands described below. 300 Booth Street, Reno, Nev. 89502. COMMITTEE The lands affected by this proposal R o l l a E . C h a n d l e r , Notice of Filing of Petition Regard­ are described as follows: Land Office Manager. ing Color Additive FD&C Blue No. 1 Mo u n t Diablo Meridian, Nevada [P.R. Doc. 67-12635; PUed, Oct. 25, 1967; Pursuant to the provisions of the Fed­ T. 16 S., R. 66 E., 8:46 a.m.] eral Food, Drug, and Cosmetic Act (sec. Sec. 25, Sy2\ Sec. 26, NE%NW%, SW%SW%. 706(d), 74 Stat. 402; 21 U.S.C. 376(d)), T. 16 S., R. 67 E., [OR 107 (Wash.) ] notice is given that a petition (CAP 53) Sec. 29, Wy2W%; has been filed by the Certified Color In­ Sec. 30, all. WASHINGTON dustry Committee c/o Hazleton Labora­ T. 17 S., R. 66 E„ tories, Inc., Post Office Box 30, Falls Sec. 12, lots 1, 4,10; Notice of Termination of Proposed Church, Va. 22046, proposing the issuance Sec. 13, lots 1,2,3, 8, 9,10,11,16,17; Classification of Public Lands Sec. 24, lots 1, 2; of a regulation to provide for the safe use Sec. 26, lots 12, 13; O c t o b e r 19,1967. and certification of FD&C Blue No. 1 (the Sec. 35, lots 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, Notice of a proposed classification of disodium salt of 4-{C4-(JV-ethyl sulfo- sy2Nw%, swy4, sy2SEy4. T. 17 S., R. 66i/2 E., public lands was published as F.R. Doc. benzylamino) - phenyl] - (2-sulfonium- Sec. 18, lots 1, 2, S^NWy4, SW%; 66-7973 on page 10000 of the issue for phenyl) -methylene}- C1- (N-ethyl-N-sul- Sec. 19, lots 2, 3. July 22, 1966. The proposed classifica­ fobenzyl) -Aa G-cyclohexadienimine 1) as a T 17 S R 67 E Sec. 24, iots 1,’2, SW&, WMtSEft; tion has been canceled insofar as it in­ color for foods (including dietary supple­ Sec. 25, all. volved the lands described below. There­ ments) and ingested drugs in amounts

FEDERAL REGISTER, VOL. 32, NO. 208-— THURSDAY, OCTOBER 26, 1967 NOTICES 14863 consistent with good manufacturing whose interest may be affected by this practice. proceeding may file a petition for leave CIVIL AERONAUTICS BOARD to intervene. Requests for a hearing and [Docket No. 19151] Dated: October 19,1967. petitions to Intervene shall be filed in R . E . D u g g a n , accordance with the provisions of the ALLEGHENY AIRLINES, INC., AND Acting Associate Commissioner Commission’s rules of practice, 10 CFR LAKE CENTRAL AIRLINES, INC. for Compliance. Part 2. If a request for a hearing or a Notice of Prehearing Conference [F.R. Doc. 67-12660; Filed, Oct. 26, 1967; petition for leave to intervene is filed 8 :4 9 a.m .] within the time prescribed in this notice, Application of Allegheny Airlines, Inc., the Commission will issue a notice of and Lake Central Airlines, Inc., under hearing or an appropriate order. sections 408 and 401 of the Federal Avia­ COLORCON INC. For further details with respect to this tion Act of 1958, as amended, for ap­ Notice of Filing of Petition Regarding amendment, see (1) the application for proval of the merger of Lake Central license amendment dated August 28, Airlines, Inc., into Allegheny Airlines, Diluent for Color Additive Mixtures 1967, and (2) a related safety evaluation Inc., and for transfer of Lake Central’s Pursuant to the provisions of the Fed­ prepared by the Division of Reactor Li­ certificate of public convenience and eral Food, Drug, and Cosmetic Act (sec. censing, both of which are available for necessity for route 88 to Allegheny. 706(d), 74 Stat. 402; 21 U.S.C. 376(d)), public inspection at the Commission’s Notice is hereby given that a prehear­ notice is given that a petition (CADP 3) Public Document Room, 1717 H Street ing conference in the above-entitled has been filed by Colorcon Inc., Box 24, NW., Washington, D.C. A copy of item matter is assigned to be held on Novem­ West Point, Pa. 19486, proposing that (2) above may be obtained at the Com­ ber 9,1967, at 10 am., e.s.t., in Room 911, § 8.300 Diluents in color additive mix­ mission’s Public Document Room, or Universal Building, 1825 Connecticut tures for food use exempt from certifi­ upon request addressed to the Atomic Avenue NW., Washington, D.C., before cation be amended to provide for the safe Energy Commission, Washington, D.C. Examiner Milton H. Shapiro. use of Specially Denatured Alcohol 3A 20545, Attention: Director, Division of In order to facilitate the conduct of the (as defined in 26 CFR Part 212) as a Reactor Licensing. conference interested parties are in­ diluent in inks for marking food supple­ Dated at Bethesda, Md., this 16th day structed to submit to the examiner and ments in tablet form, confectionery, and of October 1967. other parties on or before November 1, gum with the restriction that no residue 1967, (1) proposed statements of issues; of the diluent be present in the finished For the Atomic Energy Commission. (2) proposed stipulations; (3) requests food product. D o n a l d J. S k o v h o l t , for information; (4) statements of posi­ Dated: October 19,1967. Assistant Director, for Reactor tions of parties; and (5) proposed pro­ Operations, Division of Reac­ cedural dates.' R . E . D u g g a n , tor Licensing. Acting Associate Commissioner Dated at Washington, D.C., October 23, for Compliance. Am en d m en t to F acility L icense 1967. [F.R. Doc. 67-12661; Piled, Oct. 25, 1967; [License No. R-69, Arndt. 8] [ s e a l ] F r a n c is W . B r o w n , 8:49 a jn .] The Atomic Energy Commission has found Chief Examiner. th a t: [F.R. Doc. 67-12652; Filed, Oct. 25, 1967; 1. The application for amendment com­ 8 :4 8 a.m .] plies with the requirements of the Atomic ATOMIC ENERGY COMMISSION Energy Act of 1954, as amended, and the Commission’s regulations set forth in Title [Docket No. 18650; Order E-25860] [Docket No. 50-151] 10, Chapter I, CFR; 2. The issuance of this amendment will INTERNATIONAL AIR TRANSPORT UNIVERSITY OF ILLINOIS not be inimical to the common defense and ASSOCIATION Notice of Issuance of Facility License security or to the health and safety of the public; and Agreements Regarding Amendment 3. Prior public notice of proposed issuance Containerization of this amendment is not required since the The Atomic Energy Commission has amendment does not involve significant Adopted by the Civil Aeronautics Issued, effective as of the date of issuance, hazard considerations different from those Board at its office in Washington, D.C., on Amendment No. 8, set forth below, to previously evaluated. the 20th day of October 1967. Facility License No. R-69. The license Accordingly, License No. R-69, as amended, By Order E-25527, dated August 15, authorizes the University of Illinois to which authorizes the University of Illinois 1967, the Board in acting upon resolu­ operate its TRIGA-type nuclear reactor to possess and operate the TRIGA-type nu­ tions adopted by the member carriers of located on the campus in Urbana, HI. clear reactor located on the University’s the International Air Transport Associa­ The amendment authorizes the licensee campus at Urbana, 111., is hereby further tion (IATA), approved, inter alia, for a (1) to construct a mechanical equipment amended as follows: 2-year period through September 30, room and (2) to install therein the delay “The University is authorized to (1) con­ 1969, revisions to the then effective IATA tanks, pumps, heat exchanger, valves, struct a mechanical equipment room exter­ container resolutions.1 The Board, in ap­ and piping associated with a primary nal to the present reactor building, and (2) proving the agreements, granted 15 days and secondary cooling system to be used install therein the delay tanks, pumps, heat exchanger, valves, and associated piping as for interested persons to submit state­ in conjunction with an anticipated 1.5 proposed in the application for amendment ments, together with supporting data, in megawatt core to be installed at a later dated August 28,1967.” support of or in opposition to the Board’s date. The installation of the new equip­ This amendment is effective as of the date approval. ment will not affect operations with the of issuance. A statement has been received from present core. An application for the nec­ Date of issuance: October 16, 1967. Wings and Wheels Express, Inc. (WWE), essary licenses to install and operate an and Air Express International Corp. Advanced TRIGA reactor at a power For the Atomic Energy Commission. (AEI), requesting the Board to modify level of 1.5 megawatts has been filed D onald J. Skovholt, its approval of the container resolutions with the Commission. Assistant Director for Reactor Oper­ to the extent necessary to disapprove the Within fifteen (15) days from the date ations, Division of Reactor Licens­ ing. of publication of this notice in the F e d ­ 1 Resolution 520—Containers Board and eral R e g is t e r , the licensee may file a [F.R. Doc. 67-12618; Filed, Oct. 25, 1967; Resolution 521—Use of Containers and Pal­ request for a hearing, and any person 8 :45 a.m .] lets (unit load devices).

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14864 NOTICES agreement and thereby continue the pre­ [Docket No. 18650; Order E-25857] for review thereof is filed, or the Board existing container program. Pan Ameri­ INTERNATIONA! AIR TRANSPORT gives notice that it will review this order can World Airways, Inc. (PAA), and on its own motion. ASSOCIATION Trans World Airlines, Inc. (TWA), have This order will be published in the filed formal answers to the statement of Agreement Regarding Specific F ederal R e g is t e r . WWE and AEI. Commodity Rates Basically, the statement of WWE and [ s e a l ] H arold R . S a n d e r s o n , AEI alleges that the revisions made to Issued under delegated authority Oc­ Secretary. the container program (1) represent tober 20, 1967. [F.R. Doc. 67-12654; Filed, Oct. 25, 1967; tariff increases rather than decreases, An agreement has been filed with the 8 :4 8 a.m .] (2) provide for no density incentive, and Board pursuant to section 412(a) of the Federal Aviation Act of 1958 (the Act) (3) impose excessive and unnecessary [Docket No. 18650; Order E-25856] structural requirements on containers. and Part 261 of the Board’s economic The Board in approving the container regulations, between various air carriers, INTERNATIONAL AIR TRANSPORT program revisions noted that such re­ foreign air carriers, and other carriers, ASSOCIATION visions generally provided for decreases embodied in the resolutions of the Joint jin rates for containerized shipments. Conferences of the International Air Agreement Regarding Specific (The examples cited appear to be extreme Transport Association (IATA), and Commodity Rates adopted pursuant to the provisions of and not typical of the average shipment Issued under delegated authority Oc­ of air freight. The examples used are Resolution 590 dealing with specific commodity rates. tober 20,1967. based on consignments with a density of An agreement has been filed with the 22.6 pounds per cubic foot or more, while The agreement, adopted pursuant to unprotested notices to the carriers and Board pursuant to section 412(a) of the the average air freight shipment has a Federal Aviation Act of 1958 (the Act) density of approximately 10 pounds per promulgated in IATA letters dated Sep­ tember 8,1 September 25,2 and October 6, and Part 261 of the Board’s economic cubic foot. We would also note that even regulations, between various air carriers, if the examples used were typical, 1967 3a as set forth in the attachment consideration was not given to the de­ hereto,36 (1) names additional rates un­ foreign air carriers, and other carriers, creases in the general cargo rates, which der existing commodity descriptions, (2) embodied in the resolutions of Traffic when taken into consideration more names rates under new commodity Conference 1 of the International Air than offset any increases caused by the descriptions, (3) extends the validity of Transport Association (IATA), and revisions in the container rules. Although one presently effective specific commod­ adopted pursuant to the provisions of the container provisions include no ity rate, and (4) reduces one rate under Resolution 590 dealing with specific com­ density incentive as such, neither did the the existing commodity description. modity rates. old resolution. In any event, the Board Additionally, the agreement amends the The agreement, adopted pursuant to has given the carriers a considerable descriptions for Commodity Item 7103 by unprotested notices to the carriers and degree of flexibility to experiment with a the inclusion of “Envelopes” 4 and for promulgated in an IATA letter dated Oc­ container program, and finds no reason Commodity Item 9509 to read: “Handi­ tober 6, 1967,1 as set forth in the attach­ to withdraw its approval on the basis craft, Namely Handloom Textiles, Brass, ment hereto,2 (1) names additional rates of the considerations now being Copper, Iron, Wood, Bamboo, Wicker, under existing commodity descriptions, Paper, Paper Mache, and Clay Articles.” 5 (2) names one rate under a new com­ advanced. modity description, (3) reduces one rate The final point made by WWE and The new rates reflect reductions ranging from 5.2 to 66.0 percent and are con­ under the existing commodity descrip­ AEI is that the structural requirements tion, and (4) increases one rate under for containers are excessive and unnec­ sistent with the present level of specific commodity rates within the applicable the existing commodity description. The essary. Since the safety of the cargo new and reduced rates reflect reductions and aircraft is, in the first instance, the areas. Pursuant to authority duly delegated ranging from 15.2 to 81.0 percent. All responsibility of the carriers, the Board of the proposed rates are consistent with believes that the carriers should deter­ by the- Board in the Board’s regulations, 14 CFR 385.14, it is not found that the the present level of specific commodity mine the structural requirements for rates within the applicable areas. containers. Further, there has been no subject agreement is adverse to the pub­ lic interest or in violation of the Act: Pursuant to authority duly delegated showing on the part of WWE and AEI by the Board in the Board’s regulations, that the standards established under the Provided, That approval thereof is con­ ditioned as. hereinafter ordered. 14 CFR 385.14, it is not found that the IATA resolution are unreasonable. subject agreement is adverse to the pub­ Therefore, the Board finds ho reason to Accordingly, it is ordered, That: Agreement CAB 19703, R-13 through lic interest or in violation of the Act, withdraw its approval. R-26, be approved; however, this ap­ provided that approval thereof is con­ Accordingly, pursuant to the Federal proval shall not constitute acceptance ditioned as hereinafter ordered. Aviation Act of 1958, and particularly of the specific commodity descriptions Accordingly, it is ordered, That: sections 102, 204(a) , and 412 thereof : contained therein for purposes of tariff Agreement CAB 19654, R-22 through It is ordered, That: publication. R-37, be approved; however, this ap­ Persons entitled to petition the Board proval shall not constitute acceptance of The request of Wings and Wheels the specific commodity descriptions con­ Express, Inc., and Air Express Inter­ for review of this order, pursuant to the Board’s regulations, 14 CFR 385.50, may tained therein for purposes of tariff pub­ national Corp., that the Board modify file such petitions within 10 days after lication. its outstanding approval of Agreement the date of service of this order. Persons entitled to petition the Board CAB 19632, R-33 and R-34 be, and is This order shall be effective and be­ for review of this order, pursuant to the hereby, denied. come the action of the Civil Aeronautics Board’s regulations, 14 CFR 385.50, may Board upon expiration of the above pe­ file such petitions within 10 days after This order will be published in the riod unless within such period a petition the date of service of this order. F ed e r a l R e g is t e r . This order shall be effective and be­ By the Civil Aeronautics Board. 1 Received by the Board -Sept. 11, 1967. come the action of the Civil Aeronautics 2 Received by the Board Sept. 27, 1967. Board upon expiration of the above pe­ [ s e a l ] H arold R. S a n d e r s o n , ®* Received by the Board Oct. 9, 1967. riod unless within such period a petition Secretary 3b Filed as part of the original document. [F.R. Doc. 67-12653; Filed, Oct. 25, 1967; * R -1 7 . 1 Received by the Board Oct. 9, 1967. 8 :4 8 a m .] * R -2 4 . • Filed as part of the original document.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 NOTICES 14865

for review thereof is filed, or the Board At today’s conference the following allowances are permitted on certain com­ gives notice that it will review this order schedule was agreed to: modity rates when cargo is so unitized. on its own motion. Receipt of notification November 13,1967. Effective October 6, 1967, the Confer­ This order will be published in the of witnesses desired ence amended its Tariff No. 33, FMC-1, for cross-examination introducing Rule 116 “Unitized Ship­ F ederal R e g is t e r . (at same time, to ex­ ments in Containers”. This rule provides [ s e a l ] H arold R. S a n d e r s o n , tent possible, direct that: “General Tariff Rule and Regula­ Secreary. case oral witnesses and tion No. 40 and/or related Freight Al­ area of tbeir testimony lowances will not apply to cargo in [F.R. Doc. 67-12655; Piled, Oct. 25, 1967; will be specified). 8 :4 8 a.m .] H e a r in g ______November 27, 1967 shipper loaded containers”. (rescheduled from Upon consideration of Rule Nos. 40 October 30). and 116, there is reason to believe that So ordered. the^effect of these rules together with FEDERAL COMMUNICATIONS the tariff rules pertaining to unitized or Issued: October 19,1967. containerized cargoes, may unfairly treat COMMISSION Released: October 20, 1967. or unjustly discriminate against ship­ pers in the matter of cargo space accom­ [Docket No. 17469; PCC 67M-1773] F ed e r a l C ommunications modations or other facilities in violation C o m m i s s i o n , BLUEFIELD TELEVISION CABLE AND of section 14, Fourth, Shipping Act, 1916 [ s e a l ] B e n F . W a p l e , (the A ct); that they may cause an undue BLUEFIELD CABLE CORP. Secretary. or unreasonable preference or advantage Order Continuing Prehearing [P.R. Doc. 67-12658; Piled, Oct. 25, 1967; to particular persons or descriptions of Conference 8 :4 9 a m .] traffic, or subject particular persons or descriptions of traffic to an undue or In re petition of Bluefield^Television [Docket No. 17066; FCC 67M-1775] unreasonable prejudice or disadvantage Cable, Bluefield, W. Va., request for in violation of section 16, First, of the waiver of § 74.1103 of the Commission’s MULTIVISION NORTHWEST, INC. Act; that they may constitute an unrea­ rules; and cease and desist order to be sonable rule, regulation, or practice re­ directed against Bluefield Cable Corp., Order Continuing Hearing lating to the receiving, handling, storing, owner and operator of a CATV system at In re petition by Multivision North­ or delivering of property in violation of Bluefield, W. Va. west, Inc., Dalton, Ga., Docket No. 17066, section 17 of the Act; that they may On the unopposed oral request of coun­ File No. CATV 100-73; for authority pur­ result in rates or charges on unitized sel for WCYB-TV : It is ordered, That the suant to § 74.1107 to operate a CATV shipments in containers that may be so further prehearing conference is resched­ system in Dalton. unreasonably high as to be detrimental uled from October 23 to November 6, The Hearing Examiner having under to the commerce of the United States in 1967, at 9:30 a.m. consideration an oral request for con­ violation of section 18(b) (5) of the Act. Issued: October 19,1967. tinuance of hearing in the above-entitled Furthermore, the Conference by ap­ proceeding because of the serious illness plying Rule 116 may be effectuating its Released: October 20,1967. of one of the counsel appearing therein Agreement in a manner which has the effect of stifling development of con­ F ed e r a l C ommunications and to afford time for other counsel to become familiar with the case: tainer operations in the trade from C o m m i s s i o n , Japan, Korea, and Okinawa, to the [ s e a l ] B e n F . W a p l e , It is ordered, That the hearing pres­ Secretary. ently scheduled for October 19, 1967, is United States which may be unjustly continued to November 2, 1967, com­ discriminatory or unfair as between car­ [P.R. Doc. 67-12657; Piled, Oct. 25, 1967; mencing at 10 a.m. in the offices of the riers, contrary to the public interest, and 8 :4 9 a jn .] Commission at Washington, D.C. detrimental to the commerce of the United States, in violation of the provi­ Issued: October 18,1967. [Docket Nos. 17234r-17241; FCC 67M-1774] sions of section 15 of the Act. Released: October 20, 1967. Therefore, the Commission is of the CATV OF ROCKFORD, INC., ET AL. opinion that an investigation should be F ederal C ommunications conducted for the purpose of determin­ Statement and Order After Further o m m i s s i o n C , ing whether said Rule Nos. 40 and 116, Prehearing Conference [ s e a l ] B e n F . W a p l e , Secretary. together with the application of the other In re petitions by Catv of Rockford, unitized cargo and containerized cargo Inc., Rockford, HI., Docket No. 17234, File [P.R. Doc. 67-12659; Filed, Oct. 25, 1967; rules, rates, and allowances in said tariff Nos. CATV 100-23, 100-39; Rockford 8 :49 a.m .] operate in violation of the Act as set Community Television, Inc., Loves Park, out hereinabove. HI., Docket No. 17235, File No. CATV 100- It is ordered, That pursuant to au­ 68; TV Cable Company of Stephenson thority of section 22 of the Shipping Act County, Freeport, HI., Docket No. 17236, FEDERAL MARITIME COMMISSION of 1916 an investigation is hereby insti­ File No. CATV 100-105; Beloit Commu­ [Docket No. 67-53] tuted into the lawfulness of the rates, nity Television Services, Inc., Beloit, Wis., practices, rules, and regulations pertain­ Docket No. 17237, File No. CATV 100- TRANS-PACIFIC FREIGHT CON­ ing to unitized and containerized cargo 92; Television Wisconsin, Inc., White- FERENCE OF JAPAN and contained in Tariff No. 33, FMC-1, water, Wis., Docket No. 17238, File No. Order _of Investigation Regarding of the Trans-Pacific Freight Conference CATV 100-26; Whitewater Cable Corp., of Japan, with a view to making such Whitewater, Wis., Docket No. 17239, File Movement of Cargo in Containers findings and orders as facts and circum­ No. CATV 100-37; Jefferson Cable Corp., The Trans-Pacific Freight Conference stances warrant. In the event the matter Jefferson, Wis., Docket,No. 17240, File No. of Japan (the Conference) under the hereby placed under investigation is CATV 100-51; Total TV, Inc., Janesville, authority of Federal Maritime Commis­ changed or amended before this investi­ Wis., Docket No. 17241, File No. CATV sion Agreement No. 150, as amended, has gation has been concluded, such changed 100-13; for authority pursuant to on file with the Federal Maritime Com­ or amended matter will be included in this investigation. § 74.1107 to serve and operate CATV sys­ mission (the Commission) and in effect, its Freight Tariff No. 33, FMC-1. General It is further ordered, That Trans­ tems in the Milwaukee, Wis., Market Tariff Rule and Regulation No. 40 pro­ pacific Freight Conference of Japan (and (24), Madison, Wis., Market (80), and vides certain allowances for pallets when its member lines) be named as respond­ Rockford, HI., Market (99). cargo is unitized and furthermore freight ents in this proceeding;

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14866 NOTICES

It is further ordered, That this pro­ Nippon Yusen Kaisha, 20-1, 2-Chome, terminal. The purpose of the modifica­ ceeding be assigned fpr public hearing Marunouchi, Chiyoda-ku, Tokyo, Japan. tion is to (1) revise the description of the before an examiner of the Commission’s Pacific Far East Line, Inc., 315 California property, (2) provide for additional con­ Office of Hearing Examiners and that Street, San Francisco, Calif. 94111. struction and financing thereof and (3) the hearing be held at a date and a Showa Shipping Co., Ltd., Muromachi Build­ amend the rental. ing, 1, 4-Chome, Nihonbashi-Muromachi, place to be determined and announced Chuo-ku, Tokyo, Japan. Dated: October 23, 1967. by the presiding examiner; States Marine Lines, States Marine Lines, Inc., By order of the Commission. It is further ordered, That; (I) A Global Bulk Transport, Inc. (as one mem­ copy of this order shall forthwith be ber only), 90 Broad Street, New York, N.Y. F r a n c is C. H tjr n ey , served on the respondents herein; (II) 10004. Assistant Secretary. the said respondents be duly notified of States Steamship Co., 320 California Street, [F.R. Doc. 67-12650; Filed, Oct. 25, 1967; the time and place of the hearing; and San Francisco, Calif. 94104. 8 :4 8 a.m .] (HI) this order be published in the United Philippine Lines, Inc., U.P.L. Build­ F ed e r a l R e g is t e r and notice of hearing ing, Santa Clara, Street, Intramuros, be served upon respondents; Manila, Philippine^Islands. PACIFIC COAST AUSTRALASIAN It is further ordered, That all persons Waterman Steamship Co., 61 St. Joseph (including individuals, corporations, as­ Street, Mobile, Ala. 36601. TARIFF BUREAU sociations, firms, partnerships, and pub­ Yamashita-Shinnihon Steamship Co., Ltd., Notice of Agreement Filed for lic bodies) having an interest in this pro­ Palaceside Building, 1 Takehira-cho, ceeding and desiring to intervene therein, Chiyoda-ky, Tokyo, Japan. Approval should notify the Secretary of the Com­ United States Lines, Inc. (American Pioneer Notice is hereby given that the follow­ mission promptly and file petitions for Line), 1 Broadway, New York, N.Y. 10004. ing agreement has been filed with the leave to intervene in accordance with Trans-Pacific Freight Conference of Japan Commission for approval pursuant to Rule 5(1) of the Commission’s rules of (Agreement No. 150), Kindai Building, 11, 3-Chome Kyobashi, Chuo-ku, Toyko, section 15 of the Shipping Act, 1916, as practice and procedure (46 CFR 502.72); J a p a n . amended (39 Stat. 733, 75 Stat. 763, 46 And it is further ordered, That all U.S.C. 814) future notices issued by or on behalf of [F.R. Doc. 67-12649; Filed, Oct. 25, 1967; Interested parties may'inspect and ob­ the Commission in this proceeding, in­ 8 :4 8 a.m .] tain a copy of the agreement at the cluding notice of time and place of hear­ Washington office of the Federal Mari­ ing or prehearing conference, shall be time Commission, 1321 H Street NW., mailed directly to all parties of record. Room 609; or may inspect agreements at CITY OF OAKLAND AND SEA-LAND the offices of the District Managers, New By the Commission, October 19, 1967. OF CALIFORNIA, INC. York, N.Y., New Orleans, La., and San [ s e a l ] F r a n c is C. H t jr n e y , Francisco, Calif. Comments with refer­ Assistant Secretary. Notice of Agreement Filed for ence to an agreement including a request Approval A p p e n d ix A for hearing, if desired, may be submitted to the Secretary, Federal Maritime Com­ RESPONDENTS Notice is hereby given that the follow­ ing agreement has been filed with the mission, Washington, D.C. 20573, within American Export-Isbrandtsen Lines, Inc., 26 Commission for approval pursuant to 20 days after publication of this notice Broadway, New York, N.Y. 10004. in the F ederal R e g is t e r . A copy of any American Mail Line, Ltd., 1010 Washington^ section 15 of the Shipping Act, 1916, as such statement should also be forwarded Building, Seattle, Wash. amended (39 Stat. 733, 75 Stat. 763, 46 to the party filing the agreement (as set Barber-Wilhelmsen Line, Wilhelmsens Damp- U.S.C. 814). forth below) and the comments should skibsaktieselskab, A/S Den Norske Afika-og Interested parties may inspect and ob­ Australielinie, A/S Tonsberg, A/S Tankfart indicate that this has been done. I, A/S Tankfart IV, A/S Tankfart V, tain a copy of the agreement at the Notice of agreement filed for approval A/S Tankfart VI (as one member or party Washington office of the Federal Mari­ by: only), Roald Amundsens Gate 5, Oslo, time Commission, 1321 H Street NW., Room 1509; or may inspect agreements at Mr. W. C. Galloway, Chairman, Pacific N orw ay. Coast—Australasian Tariff Bureau, 635 Sac­ Fern-Ville Lines, Fearnley & Eger and A. F. the offices of the District Managers, New ramento Street, San Francisco, Calif. 94111. Klaveness & Co. A/S, Skibsaktieselskabet York, N.Y., New Orleans, La., and San Varild, Aksjeselskapet Marina, Aksjesel­ Francisco, Calif. Comments with refer­ Agreement No. 50-17, between member skapet Glittre, Dampskibsinteressentska- ence to an agreement including a request lines of the Pacifc Coast—Australasian vet Garonne, Aksjeselskapet Standard, Fearnley & Egers Befragtningsforretning for hearing, if desired, may be submitted Tariff Bureau (Agreement No. 50, as A/S, Skibsaktieselskapet Solstad, Skibsak­ to the Secretary, Federal Maritime Com­ amended), modifies Article I entitled tieselskapet Siljestad, Universal Trading mission, Washington, D.G. 20573, within “Purpose of this Agreement” and Article & Shipping Agency Aksjeselskap (as one 20 days after publication of this notice in HE entitled “Freight Charges” of the member or party only), Fearnley & Eger, the F ederal R e g is t e r . A copy of any such basic agreement. Hie purpose of this Inc., Radhusgaten 23, Oslo, Norway. statement should also be forwarded to amendment is to provide for the payment Japan Line, Ltd., Kokusai Building, 12, the party filing the agreement (as set 3-Chome, Marunouchi, Chiyoda-ku, Tokyo, of brokerage and compensation to freight J a p a n . forth below), and the comments should forwarders in connection with the trans­ Kawasaki Kisen Kaisha, Ltd., 8, Kaigan-dori, indicate that this has been done. portation oif cargoes coyered by the Ikut^-ku, Kobe, Japan. Notice of agreement filed for approval agreement. In effect the member lines Knutsen Line, Dampskibsaktieselskapet Jean­ by: ette Skinner, Skibsaktieselskapet Pacific, will be able to establish rules in their Skibsaktieselskapet Marie Bakke, Damp- J. Kerwin Rooney, Port Attorney, Port of tariffs covering the paymenthf brokerage skibsaktieselskapet Golden Gate, Damp­ Oakland, 66 Jack London Square, Oakland, or compensation to freight forwarders. skibsaktieselskapet Lisbeth, Skibsaktiesel­ Calif. 94607. skapet Ogeka, Havalfangstaktieselskapet Dated: October 23,1967. Suderoy (as one party only), Knut Knutsen Agreement No. T-5-K2) between the By order of the Federal Maritime O.A.S., Haugesund, Norway. City of Oakland (City) and Sea-Land of Commission. Maritime Company of the Philippines, 205 California, Inc. (Sea-Land), modifies the Juan Luna, Manila, Philippine Islands. basic agreement between the parties F r a n c is C. H tjrn ey, Matson Navigation Co., 215 Market Street, Assistant Secretary. San Francisco, Calif. 94105. which provides for the lease of certain Mitsui O.S.K. Lines, Ltd., 3-3, 5-Chome, land and improvements, at Oakland, Cal­ [F.R. Doc. 67-12651; Filed, Oct. 25, 1967; Akasaka, Minato-ku, Tokyo, Japan. ifornia, to Sea-Land for use as a tiruck 8:48 am.]

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 NOTICES 14867 (subject to certain adjustments set forth address stated above. Proof of such serv­ SECURITIES AND EXCHANGE in the agreement and plan of reorganiza­ ice (by affidavit "or in case of an at­ tion) of the assets of Fertig to be trans­ torney at law by certificate) shall be filed COMMISSION ferred to applicant by the net asset value contemporaneously with the request. At CODITRON CORP. per share of applicant, both to be deter­ any time after said date, as provided by mined as of the business day preceding Rule 0-5 of the rules and regulations Order Suspending Trading the date of the transfer, as defined in the promulgated under the Act, an order dis­ agreement. Applicant presently intends posing of the application herein may be October 20, 1967. to sell, subsequent to acquisition, ap­ issued by the Commission upon the basis It appearing to the Securities and Ex­ proximately 30 percent of the assets of of the information stated in said ap­ change Commission that the summary Fertig' to be acquired. plication, unless an order for hearing suspension of trading in the common The per share asset value of applicant’s upon said application shall be issued stock, $3 par value, of Coditron Corp., stock as of June 30, 1967, was $14.86. If upon request or upon the Commission’s New York, N.Y., otherwise than on a na­ the valuation in the agreement had taken own motion. Persons who request a hear­ tional securities exchange is required in place on that date, Fertig would have re­ ing or advice as to whether a hearing is the public interest and for the protection ceived 109,135 shares of applicant’s stock. ordered, will receive notice of further de­ of investors: When received by Fertig, the shares of velopments in this matter, including the It is ordered, Pursuant to section 15(c) applicant are to be distributed to the date of the hearing (if ordered) and any (5) of the Securities Exchange Act of postponements thereof. 1934, that trading in such securities Fertig shareholders on the liquidation of otherwise than on a national securities Fertig. Applicant has been advised by For the Commission (pursuant to exchange be summarily suspended, this the management of Fertig that the stock­ delegated authority). holders of Fertig do not have any pres­ order to be effective for the period Oc­ ent intention of redeeming or otherwise [seal] N ellye A. Thorsen, tober 23,1967, through November 1,1967, Assistant Secretary. both dates inclusive. transferring the shares of applicant to be received on such liquidation follow­ [F.R. Doc. 67-12638; FUed, Oct. 25, 1967; By the Commission. ing the sale of assets transaction. 8 :4 7 a.m .] [seal] N ellye A. Thorsen, There is no connection between ap­ Assistant Secretary. plicant and Fertig and no officer or shareholder of Fertig is an affiliated per­ JODMAR INDUSTRIES, INC. [F.R. Doc. 67-12637; Filed, Oct. 25, 1967; son of applicant or its adviser, and the Order Suspending Trading 8 :4 7 a .m .] agreement was negotiated at arms-length by the two companies. The Board of Di­ October 20, 1967. [812-2184] rectors of applicant approved the agree­ It appearing to the Securities and Ex­ ment as being in the best interests of its change Commission that the summary FIDELITY CAPITAL FUND, INC. shareholders, taking all relevant con­ suspension of trading in the common sideration into account. stock of Jodmar Industries, Inc., 1790 Notice of Filingof Application for East 93d Street, Brooklyn, N.Y., and all Order Exempting Proposed Trans­ Section 22(d) of the Act provides that registered open-end investment com­ other securities of Jodmar Industries, action panies may sell their shares only at the Inc., being traded otherwise than on a O c t o b e r 20, 1967. current public off ering price as described national securities exchange is required Notice is hereby given that Fidelity in the prospectus. Section 6(c) permits in the public interest and for the protec­ Capital Fund, Inc. (“applicant”) , 35 Con­ the Commission, upon application, to ex­ tion of investors: gress Street, Boston, Mass. 02109, a Mas­ empt such a transaction if it finds that It is ordered, Pursuant to section sachusetts Corporation registered under such an exemption is necessary or ap­ 15(c) (5) of the Securities Exchange Act the Investment Company Act of 1940 propriate in the public interest and con­ of 1934, that trading in such securities (“Act”) as an open-end diversified man­ sistent with the protection of investors otherwise than on a national securities agement investment company, has filed and the purposes fairly intended by the exchange be summarily suspended, this an application pursuant to section 6(c) policy and provisions of the Act. order to be effective for the period Oc­ of the Act for an order exempting from Applicant contends that the proposed tober 21, 1967, through October 30, 1967, the provisions of section 22(d) of the offering of its stock will comply with the both dates inclusive. Act a transaction in which applicant’s re­ provisions of the Act, other than section By the Commission. deemable securities will be issued at a 22(d) and submits that the granting of price other than the current public of­ the application would be in accordance [ seal] N e l l y e A. T horsen, fering price in exchange for substantially with established practice of the Commis­ Assistant Secretary. all of the assets of Lawrence Fertig & sion, is necessary or appropriate in the [F.R. Doc. 67-12639; Filed, Oct. 25, 1967; Co., Inc. (“Fertig”). All interested per­ public interest and consistent with the 8 :4 7 a jn .] sons are referred to the application on protection of investors and the purposes file with the Commission for a statement fairly intended by the policy and provi­ of applicant’s representations which are sions of the Act. POWER OIL CO. summarized below. Notice is further given that any in­ Order Suspending Trading Fertig, a New York Corporation, is a terested person may, not later than No­ personal holding company all of whose vember 8, 1967 at 5:30 p.m., submit to O c t o b e r 20, 1967. outstanding stock is owned by three indi­ the Commission in writing a request for a It appearing to the Securities and Ex­ viduals. Fertig is not making and does hearing on the matter accompanied by a change Commission that the summary not propose to make a public offering of statement as to the nature of his interest, suspension of trading in the common its stock and is exempt from registration the reason for such request and the issues stock of Power Oil Co., Houston, Tex., under the Act by reason of the provisions of fact or law proposed to be con­ and all other securities of Power Oil Co. of section 3(c) (1) thereof. Pursuant to troverted, or he may request that he be being traded otherwise than on a na­ an agreement between applicant and notified if the Commission shall order a tional securities exchange is required in Fertig, assets owned by Fertig with a hearing thereon. Any such communica­ the public interest and for the protection market value of approximately $1,628,033 tion should be addressed: Secretary, of investors: on June 30, 1967, will be transferred to Securities and Exchange Commission, It is ordered, Pursuant to section applicant in exchange for shares of ap­ Washington, D.C. 20549. A copy of such 15(c) (5) of the Securities Exchange Act plicant’s capital stock. request shall be served personally or by of 1934, that trading in such securities The number of shares of applicant to mail (air mail if the person being served otherwise than on a national securities be issued to Fertig is to be determined is located more than 500 miles from the exchange be summarily suspended, this by dividing the aggregate market value point of mailing) upon applicant at the order to be effective for the period Oc-

FEDERAL REGISTER, V O L 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14868 NOTICES tober 22, 1967, through October 31, 1967, scribing in detail the method—whether No. MC 1334 (Sub-No. 6), filed October both dates inclusive. by joinder, interline, or other means—by 2, 1967. Applicant: OURAY TRUCK which protestant would use such author­ LINE, INC., Post Office Box 15243, 2922 By the Commission* ity to provide all or part of the service South Main Street, Salt Lake City, Utah [ s e a l ] N e l l y e A . T h o r s e n , proposed), and shall specify with par­ 84115. Applicant’s representative: J. Assistant Secretary. ticularity the facts, matters, and things Bruce Eastlake, Post Office Box 4898, [F.B. Doc. 67-12640; Piled, Oct. 25, 1967; relied upon, but shall not include issues Tucson, Ariz. 85717. Authority sought to 8:47" a.m.] or allegations phrased generally. Pro­ operate as a common carrier, by motor tests not in reasonable compliance with vehicle, over regular ioutes, transport­ the requirements of the rules may be re­ ing: General commodities (except classes SUBSCRIPTION TELEVISION, INC. jected. The original and one copy of the A and B explosives, household goods as protest shall be filed with the Commis­ defined by the Commission, commodities Order Suspending Trading sion, and a copy shall be served concur­ in bulk, those of unusual value, and O c t o b e r 20,1967. rently upon applicant’s representative, those requiring special equipment), or applicant if no representative is serving Fort Rock, Ariz., and points It appearing to the Securities and Ex­ named. If the protest includes a request within 5 miles thereof, as off-route points change Commission that the summary for oral hearing, such requests shall in connection with carrier’s regular suspension of trading in the common meet the requirements of § 1.247(d)(4) route operations in Arizona. N o t e ¡'Fort stock, $1 par value of Subscription Tele­ of the special rule, and shall include the Rock is located cm an unnumbered vision, Inc., New York, N.Y., being traded certification required therein. county road approximately 25 miles otherwise than on a national securities Section 1.247(f) of the Commission’s southwest of Seligman, Ariz. If a hearing exchange is required in the public inter­ is deemed necessary, applicant did not est and for the protection of investors: rules of practice further providës that each applicant shall, if protests to its name location. It is ordered, Pursuant to section application have been filed, and within No. MC 1615 (Sub-No. 5), filed Oc- 15(c) (5) of the Securities Exchange Act 60 days of the date of this publication, “tober 2, 1967. Applicant: LLOYD V. of 1934, that trading in such securities notify the Commission in writing (1) ADKISON, Post Office Box 6, Higgins- otherwise than on a national securities that it is ready to proceed and £>r6secute ville, Mo. 64037. Applicant’s representa­ exchange be summarily suspended, this the application, or (2) that it wishes to tive: Tom B. Kretsinger, 450 Professional order to be effective for the period Octo­ withdraw the application, failure in Building, Kansas City, Mo. 64106. Au­ ber' 23, 1967, through October 24, 1967, which the application will be dismissed thority sought to operate as a common both dates inclusive. by the Commission. carrier, by motor vehicle, over regular By the Commission. Further processing steps (whether and irregular routes, transporting: Gen­ eral commodities, (1) over regular [ s e a l ] N e l l y e A. T h o r s e n , modified procedure, oral hearing, or Assistant Secretary. other procedures) will be determined routes—between Higginsville, Mo., and generally in accordance with the Com­ points in the Kansas City, Mo.-Kansas [F.R. Doc. 67-12641; Filed, Oct. 25, 1967; mission’s general policy statement con­ City, Kans., commercial'zone, from Hig­ 8:47 a.m.] ' cerning motor carrier licensing proce­ ginsville oyer Missouri Highway 13 to dures, published in the F ederal R e g ist e r junction U.S. Highway 40, thence over issue of May 3, 1966. This assignment U.S. Highway 40 to points in the Kansas will be by Commission order which will City, Mo.-Kansas City, Kans., commercial INTERSTATE COMMERCE be served on each party of record. zone, as defined by the Commission, and The publications hereinafter set forth return over the sanrie routes, serving no COMMISSION reflect the scope of the applications as intermediate points, and (2) over ir­ [Notice 1117] filed by applicants, and may include de­ regular routes—between Higginsville, scriptions, restrictions, or limitations Mo., and points within 20 miles thereof, MOTOR CARRIER, BROKER, WATER which are not in a. form acceptable to on the one hand, and, on the other, CARRIER AND FREIGHT FOR­ the Commission. Authority which ulti­ points in Missouri, subject to the restric­ WARDER APPLICATIONS mately may be granted as a result of the tion that no service shall be rendered applications here noticed will not neces­ between points on the regular route of O c t o b e r 20, 1967. sarily reflect the phraseology set forth in an authorized motor carrier. N ote: Ap­ The following applications are gov­ the application as filed, but also will plicant states it presently holds a certifi­ erned by Special Rule 1.2471 of the Com­ eliminate any restrictions which are not cate of registration under MC 1615 Sub- mission’s general rules of practice (49 acceptable to the Commission. 4 to serve between Kansas City and Hig­ CFR as amended), published in the F e d ­ No. MC 493 (Sub-No. 7), filed October ginsville, Mo., over regular routes. The e r a l R e g is t e r issue of April 20, 1966, 4, 1967. Applicant: HYMAN MOTOR purpose of the instant application is to effective May 20, 1966. These rules pro­ SERVICE CO., a corporation, 601 State obtain authority to serve the entire vide, among other things, that a protest Street, Quincy, 111. 62301. Applicant’s Kansas City, Mo.-Kansas City, Kans., to the granting of an application must representative: R. W. Burgess, 8514 commercial zone, as defined by the Com­ be filed with the Commission within 30 Midland Boulevard, St. Louis, Mo. 63114. mission. Applicant further states that if days after date of notice of filing of the Authority sought to operate as a common the authority herein sought is granted, application is published in the F ede r a l carrier, by motor vehicle, over regular the said certificate of registration would R e g is t e r . Failure seasonably to file a routes, transporting: General commod­ be withdrawn. If a hearing is deemed protest will be construed as a waiver of ities (except those of unusual value, necessary, applicant requests it be held opposition and participation in the pro­ at Kansas City, Mo. ceeding. A protest under these rules classes A and B explosives, household should comply with § 1.247(d) (3) of the goods as defined by the Commission, No. MC 5470 (Sub-No. 25) (Correc­ rules of practice which requires that it commodities in bulk, commodities re- tion) , filed May 25, 1967, published F ed­ set forth specifically the grounds upon •quiring special equipment, and those era l R e g ist e r issues of June 15, 1967, which it is made, contain a detailed injurious or contaminating to other and September 28, 1967, and republished statement of protestant’s interest in the lading), between Quincy, HI., and Keo­ as corrected this issue. Applicant: ER- proceeding (including a copy of the spe­ kuk, Iowa, from Quincy over U.S. High­ SKINE & SONS, INC., Rural Delivery No. cific portions of its authority which Pro­ way 24 to junction U.S. Highway 61, 5, Box 146, Mercer, Pa. 16137. Applicant’s testant believes to be in conflict with thence over U.S. Highway 61 to Keokuk, representative: Theodore Polydoroff, 1329 that sought in the application, and de- and return over the same route, as an E Street, NW., Washington, D.C. 20004. alternate route for operating conven­ 'Authority sought to operate as a com­ ience only, serving no intermediate 1 Copies of Special Buie 1.247 (as amended) mon carrier, by motor vehicle, over ir­ can be obtained by writing to the Secretary, points. N o t e : If a hearing is deemed regular routes, transporting: Scrap Interstate Commerce Commission, Washing­ necessary, applicant requests it be held metals, in bulk, in dump vehicles, be­ ton, D.C. 20423. at St. Louis, Mo., or Springfield, HI. tween Niagara Falls, N.Y., on the one

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 NOTICES 14869

hand, and, on the other, points in Penn­ by rail, motor, water, or air. Note: The September 28, 1967, amended by letter sylvania, West Virginia, Ohio, Kentucky, purpose of this republication is to more dated September 27, 1967, and repub­ Indiana, Illinois, Michigan, New Jersey, clearly set forth the commodity trans­ lished this issue. Applicant: McCUE Maryland, Delaware, and Virginia, re­ ported. If a hearing is deemed necessary, TRANSFER INC., 3524 East Fourth stricted against service from Painesville, applicant requests it be held at Bangor, Street, Hutchinson, Kans. Applicant’s Ohio, to Niagara Palls, N.Y., and, further, Augusta, or Portland, Maine. representative: John E. Jandera, 641 restricted against service between Niag­ No. MC 25798 (Sub-No. 160), filed Harrison Street, Top>eka, Kans. 66603. ara Falls, N.Y., and points in Cumber­ October 9, 1967. Applicant: CLAY HY- Authority sought to operate as a com­ land, Salem, Gloucester, Cape May, At­ DER TRUCKING LINES, INC., 502 East mon carrier, by motor vehicle, over ir­ lantic, Camden, and Burlington Coun­ Bridgers Avenue, Post Office Box 1186, regular routes, transporting: (1) Salt ties, N.J. Note: The purpose of this re­ Aubumdale, Fla. 33823. Applicant’s rep­ and salt products, and products used in publication is to correct the spelling of resentative: Tony G. Russell (same ad­ agricultural, water treatment, food proc­ Painesville, Ohio, inadvertently mis­ dress as applicant). Authority sought to essing, wholesale grocery and institu­ spelled in previous publication. If a hear­ operate as a common carrier, by motor tional supply industries when shipped ing is deemed necessary, applicant re­ vehicle, over irregular routes, transport­ in mixed truck loads with salt and salt quests it be held at Washington, D.C. ing: Candy, confectionary products, and products, from Kanop>olis, Kans., and No. MC 5470 (Sub-No. 30), filed Octo­ snack foods, from New Orleans and points within 5 miles thereof, to points ber 12, 1967. Applicant: ERSKINE & Ponchatoula, La., and "Memphis, Tenn., in Minnesota, Missouri, Nebraska, North SONS, INC., Rural Delivery No. 5, Mer­ to points in Alabama, Florida, Georgia, Dakota, South Dakota, Wyoming, Ar­ cer, Pa. 16137. Applicant’s representa­ Tennessee, North Carolina, South Caro­ kansas, Texas, and New Mexico; (2) tive: Theodore Polydoroff, 917 Munsey lina, Missouri, Oklahoma, Arkansas, canned goods, from Hutchinson, Kans., Building, Washington, D.C. 20004. Au­ Texas, Ohio, Kentucky, Indiana, Michi­ and La Junta, Colo., to p>oints in North thority sought to operate as a common gan, Illinois, Wisconsin, and Kansas, re­ Dakota, South Dakota, Iowa, Minnesota, carrier, by motor vehicle, over irregular stricted against originating traffic at Nebraska, and Kansas; (3) products routes, transporting: (1) Ferroalloys, Memphis, Tenn., when consigned to used in agricultural, water treatment, pig iron, and scrap metal, in dump vehi­ points in Tennessee. Note: If a hearing food processing, wholesale grocery and cles, from East Liverpool, Ohio, and is deemed necessary, applicant (requests institutional supply industries when Pittsburgh, Pa., to points in Connecticut, it be held at New Orleans, La. shipped in mixed truck loads with salt Delaware, Maryland, Massachusetts, No. MC 29883 (Sub-No. 6), filed Octo­ and salt products, from Hutchinson, Michigan, New Jersey, Pennsylvania, and ber 9, 1967. Applicant: FAIRALL Kans., to points in Nebraska, Minnesota, West Virginia; (2) ferrous and non fer­ TRUCKING COMPANY, a corporation, North Dakota, South Dakota, Missouri rous alloys, fluorspar, clay, pig iron, 18472 Allen Road, Wyandotte, Mich. (except St. Joseph, St. Louis, and p>oints scrap metals, chrome ore, and man­ 48192. Applicant’s representative: Wil- in the Kansas City, Missouri-Kansas ganese ore, in dump vehicles, between helmina Boersma, 1600 First Federal City, Kans., commercial zone), Wyoming, Braddock, Pa., and East Liverpool, Ohio, Building, Detroit, Mich. 48226. Authority Arkansas, points in Cochran, Bailey, on the one hand, and, on the other, sought to operate as a contract carrier, Randall, Roberts, Crosby, Swisher, Pot­ points in Connecticut^ Delaware, Ken­ by motor vehicle, over irregular routes, ter, Sherman, Wichita, Lubbock, Castro, tucky, Maryland, Massachusetts, Michi­ transporting: Drugs, medicines, biologi­ Oldham, Dallam, Cottle, Hay, Gray, gan, New Jersey, New York, North Caro­ cal products and chemicals; and ma­ Ochiltree, Yoakum, Dickens, Briscoe, lina, Ohio, Pennsylvania, Rhode Island, terials, equipment and supplies used in Carson, Hansford, Floyd, Collingsworth, Tennessee, Virginia, and West Virginia, the manufacture and packaging thereof, Hartley, Foard, Kent, Terry, Motley, (3) ferroalloys and silicon metal, in between Detroit, Rochester, and Hol­ Childress, Wheeler, Lipscomb, Lamb, dump vehicles, from Vancoram, Ohio, land, Mich., on the one hand, and, oh Armstrong, Hutchinson, W ilb a r g e r , to points in Connecticut, Delaware, the other, points in Ohio, Indiana, and Linn, Hale, Donley, Moore, Hockley, Maryland, Massachusetts, New Jersey, Illinois (except in the Chicago, 111. com­ Farmer, Deaf Smith, Hemphill, Harde­ and Virginia, and (4) ferroalloys, fluor­ mercial zone), under contract with man, and Garza Counties, Tex., and spar, and pig iron, in dump vehicles, be­ Parke, Davis & Co. Note: If a hearing is points in Curry, Bernalillo, Mona, San­ tween East Liverpool, Ohio, and Pitts­ deemed necessary, applicant requests it ta Fe, Colfax, Harding, Los Alamos, burgh, Pa., on the one hand, and, on be held at Detroit or Lansing, Mich. Taos, Quay, Guadalupe, Union, San Miquel, Torrence, Rio Arriba, Catron, the other, points in Delaware, Illinois, No. MC 29919 (Sub-No. 16), filed Oc­ Indiana, Kentucky, Maryland, Michi­ Chaves, De Baca, Dona Ana, Eddy, Grant, tober 9, 1967. Applicant: KOWALSKY’S Hidalgo, Lea, Lincoln, Luna, McKinley, gan, New Jersey, New York, Ohio, Penn­ EXPRESS SERVICE, a corporation, sylvania, and West Virginia. Note: If a Otero, Roosevelt, Sandoval, San Juan, 2235 West Main Street, Millville, N.J. Sierra, Socorro, and Valencia Counties, hearing is deemed necessary, applicant 08332. A p p lican t’s representative: requests it be held at Washington, D.C., N. Mex. Charles E. Creager, Post Office Box 81, (4) Products used in agricultural, or New York, N.Y. Winchester, Va. 22601. Authority sought Np. MC 19251 (Sub-No. 9) (Amend­ water treatment, food processing, whole­ to operate as a common carrier, by motor sale grocery and institutional supply in­ ment), filed July 13. 1967, published in vehicle, over irregular routes, trans­ dustries when shipped in mixed truck the F ederal R egister issue of August 25, porting: (1) Glassware, plastic articles, 1967, amended October 10, 1967, and loads with salt and salt products, from and closures therefor, from Gloucester Lyons, Kans., to points in Nebraska, republished this issue. Applicant: HER­ City and Millville, N.J., to points in Minnesota, North Dakota, South Dakota, BERT M. ADAMS, doing business as Delaware, Massachusetts, Maryland, Wyoming, Arkansas, points in Cochran, ADAMS VAN & STORAGE CO., 80 Dut­ New York, Pennsylvania, Virginia, and Bailey, Randall, Roberts, Crosby, Swish­ ton Street, Box 803, Bangor, Maine 04401. the District of Columbia, and (2) Pallets er, Potter, Sherman, Wichita, Lubbock, Applicant’s representative: Robert J. and containers used for the transporta­ Gallagher, Professional Building, 66 Cen­ Castro, Oldham, Dallam, Cottle, Hay, tion of commodities described in (1) Gray, Ochiltree, Yoakum, Dickens, Bris­ tral Street, Wellesley, Mass. ,02181. Au­ above, and returned, rejected, or dam­ coe, Carson, Hansford, Floyd, Collings­ thority sought to operate as a common aged shipments of glassware, plastic ar­ worth, Hartley, Foard, Kent, Terry, Mot­ carrier, by motor vehicle, over irregular ticles, and closures therefor, from points ley, Childress, Wheeler, Lipscomb, Lamb, routes, transporting: Used household in Delaware, Massachusetts, Maryland, Armstrong, Hutchinson, Wilbarger, goods, restricted to the transportation New York, Pennsylvania, Virginia, and Lynn, Hale, Donley, Moore, Hockley, of shipments both moving on the through the District of Columbia to Gloucester Farmer, Deaf Smith, Hemphill, Harde­ bill of lading of a freight forwarder City and Millville, N.J. Note: If a hear­ man,-and Garza Counties, Tex., and operating under the exemption provi­ ing is deemed necessary, applicant re­ points in Curry, Bernalillo, Mona, sions of section 402(b) (2) of the Inter­ quests it be held at Washington, D.C. Santa Fe, Colfax, Harding, Los Ala­ state Commerce Act, as amended, and No. MC 49504 (Sub-No. 16) (Amend­ mos, Taos, Quay, Guadalupe, Union, having an immediately prior or subse­ ment), filed September 8, 1967, pub­ San Miguel, Torrance, Rio Arriba, quent out-of-State line-haul movement lished in the F ederal R egister issue of Catron, Chaves, De Baca, Dona Ana,

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 N o. 208- 8 14870 NOTICES

Eddy, Grant, Hidalgo, Lea, Lincoln, 60616. Applicant’s representative: Maryland, Massachusetts, Michigan, New Luna, McKinley, Otero, Roosevelt, Sand­ George S. Mullins, 4704 West Irving Hampshire, New Jersey, New York, North oval, San Juan, Sierra, Socorro, and Va­ Park Road, Chicago, 111. 60641. Authority Carolina, Ohio, Pennsylvania, Rhode lencia Counties, N. Mex. Note: The pur­ sought to operate as a contract carrier, Island, South Carolina, '' Tennessee, pose of this republication is to broaden by motor vehicle, over irregular routes, Virginia, West Virginia, and the District the scope of the application as previously transporting: Printed matter arid mate­ of Columbia; and (2) from Camp Hill, published. If a hearing is deemed neces­ rials, supplies, and equipment used or Pa., to the plantsite of Becker Pretzel sary, applicant requests it be held at useful in the maintenance and operation Bakeries, Inc., Division of Tasty Sales Kansas City, Mo., Wichita or TOpeka, of printing houses, (1) between Chicago, Corp., Baltimore, Md. Note : If a hearing Kans. HI., on the one hand, and, on the other, is deemed necessary, applicant requests No. MC 50002 (Sub-No. 56), filed Octo­ Pinola, Ind., and (2) between Pinola, it be held at Washington, D.C. ber 12, 1967. Applicant: T. CLARENCE Ind., on the one hand, and, on the other, No. MC 73688 (Sub-No. 22), filed BRIDGE AND HENRY W. BRIDGE, a Willard, Ohio, under contract with October 5, 1967. Applicant: SOUTHERN partnership, doing business as BRIDGE Encyclopaedia Brittamca of Chicago, 111. TRUCKING CORPORATION, 1500 BROTHERS, Bridge and Anderson Note: If a hearing is deemed necessary, Orenda Avenue, Memphis, Tenn. 38107. Streets, Post Office Box 929, Lamar, Colo. applicant requests it be held at Chicago, Applicant’s representative: Charles H. 81052. Applicant’s representative: C. 111. Hudson, Jr., 833 Stahlman Building, Zimmerman, 503 Schweiter Building, No. MC 61592 (Sub-No. 91), filed Nashville, Tenn. 37201. Authority sought Wichita, Kans. 67202. Authority sought October 5, 1967. Applicant: JENKINS to operate as a common carrier, by motor to operate as a common carrier, by motor TRUCK LINE, INC., 3708 Elm Street, vehicle, over irregular routes, transport­ vehicle, over irregular routes, transport­ Bettenford, Iowa 52722. Applicant’s rep­ ing: Roofing materials and asphalt, be­ ing: Anhydrous ammonia and fertilizer resentative: R. Connor Wiggins, Jr., tween Memphis, Tenn., and points in solutions, in bulk, in tank vehicles, from 909, lOfK North Main Building, Memphis, Kentucky. Note: Applicant indicates the plantsite of Phillips Petroleum Co., Term. 38103. Authority sought to operate tacking at Memphis, Tenn., with pres­ located at or near Hoag, Nebr., to points as a common carrier, by motor vehicle, ently held: authority, serving points in in Oklahoma. Note: If a hearing is over irregular routes, transporting: Tennessee, Arkansas, and Mississippi. If deemed necessary, applicant requests it Grain carts, iron and steel, set up, and a hearing is deemed necessary, applicant be held at Kansas City, Mo., or Bartles­ tillage equipment, knocked down and requests it be held at Memphis, Tenn. ville, Okla. accessories thereto, from Forrest City, ’ No. MC 78228 (Sub-No. 16), filed Oc­ Ark., to points in Arkansas, Alabama, tober 2, 1967. Applicant: THE J. MIL­ No. MC 52629-(Sub-No. 65), filed Oc­ LER COMPANY, a corporation, 147 tober 10, 1967. Applicant: HUBER & Hlinois, Louisiana, Mississippi, Missouri, HUBER MOTOR EXPRESS, INC., Post Oklahoma, Tennessee, and Texas. Note: Nichol Avenue, McKees Rocks, Pa. 15136. Office Box 1000, Staunton, Va. 24401. Ap­ Applicant proposes to join the proposed Applicant’s representative: Henry M. plicant’s representative: James S. Mor­ authority to its Subs 13 and 25 with Wick, Jr., 2310 Grant Building, Pitts­ joinder at Memphis, Tenn., serving burgh, Pa. 15219. Authority sought to op­ rison (same address as applicant). Au­ erate as a common carrier, by motor ve­ thority sought to operate as a common points in Indiana, Kansas, Kentucky, carrier, by motor vehicle, over regular Michigan, Missouri, Nebraska, Ohio, hicle, over irregular routes, transporting : routes, transporting: General commodi­ Iowa, Wisconsin, North Dakota, South (1) Ferro alloys, pig iron and scrap metal, ties (except those of unusual value, Dakota, Illinois, and Minnesota. If a in dump vehicles, from East Liverpool, classes A and B explosives, livestock, hearing is deemed necessary, applicant Ohio, and Pittsburgh, Pa., to points in household goods as defined by the Com­ requests it be held at Memphis, Tenn. Connecticut, Delaware, Maryland, Mas­ mission, and commodities requiring spe­ No. MC 64819 (Sub-No. 4), filed Octo­ sachusetts, Michigan, New Jersey, Penn­ cial equipment), serving the plantsite ber 6, 1967. Applicant: C. D. GAMMON sylvania, and West Virginia; (2) ferrous and warehouse facilities of Rockwell- COMPANY, a corporation, 4551 West and nonferrous alloys, fluorspar, clay, Standard Corp. located at or near Win­ Monroe Street, Chicago, HI. 60624. Ap­ pig Iron, scrap metals, chrome ore and chester, Ky., as an off-route point in plicant’s representatives Carl L. Steiner, manganese ore, in dump vehicles, be­ connection with applicant’s regular- 39 South La Salle Street, Chicago, ^1. tween Braddock, Pa., and East Liverpool, 60603. Authority sought to operate as a Ohio, on the one hand, and, on the other, route authority to and from Lexington, points in Connecticut, Delaware, Ken­ Ky. Note: Applicant states that it pres­ contract carrier, by motor vehicle, over ently holds authority to serve all points iriegular routes, transporting: Such tucky, Maryland, Massachusetts, Michi­ in Kentucky in the transportation of commodities as are dealt in by wholesale gan, New Jersey, New York, North Caro­ general commodities, with exceptions, in and retail paint supply houses (except lina; Ohio, Pennsylvania, Rhode Island, truckload lots, via Cincinnati, Ohio, as a commodities in bulk), and glass, from Tennessee, Virginia, and West Virginia; gateway. If a hearing is deemed neces­ Chicago, 111., to points in Lake, Porter, (3) ferro alloys and silicon metal, in sary, applicant requests it be held at Lex­ and La Porte Counties, Ind., under con­ dump vehicles, from Vancoram, Ohio, to ington, Ky. tract with Hooker Glass and Paint Man­ points in Connecticut, Delaware, Mary­ No. MC 52752 (Sub-No. 17), filed ufacturing Co. Note: If a hearing is land, Massachusetts, New Jersey, and October 6, 1967. Applicant: WESTERN deemed necessary, applicant requests it Virginia, and (4) ferro alloys, fluorspar TRANSPORTATION COMPANY, a cor­ be held at Chicago, 111. and pig iron, in dump vehicles, between poration, 1300 West 35th Street, Chi­ No. MC 66650 (Sub-No. 8), filed Octo­ East Liverpool, Ohio, and Pittsburgh, Pa., cago, 111. 60609. Applicant’s representa­ ber 12, 1967. Applicant: STUART M. on the one hand, and, on the other, points tive: Carl L. Steiner, 39 South La Salle SMITH, INC., 3511 East North Avenue, in Delaware, niinois, Indiana, Kentucky, Street, Chicago, 111. 60603. Authority Baltimore, Md. 21213. Applicant’s repre­ Maryland, Michigan, New Jersey, New sought to operate as a common carrier, sentative : Donald E. Freeman, Post Office York, Ohio, Pennsylvania, and West Vir­ by motor vehicle, over irregular routes, Box 806, 172 East Green Street, West­ ginia. Note : If a hearing is deemed nec­ transporting: General commodities (ex­ minster, Md. 21157. Authority sought to essary, applicant requests it be held at cept those of unusual value, classes A operate as a common carrier, by motor Washington, D.C., or New York, N.Y. and B explosives, household goods as vehicle, over irregular routes, transport­ No. MC 80430 (Sub-No. 118), filed Oc­ defined by the Commission, commodities ing: Bakery products and supplies (ex­ tober 5, 1067. Applicant: GATEWAY in bulk, and those requiring special cept liquid commodities in bulk and TRANSPORTATION CO., INC., 2130 equipment), between Chicago, 111., and frozen commodities), (1) from the plant- South Avenue, Las Crosse, Wis. Appli- Washington, Iowa. Note: If a hearing is site of Becker Pretzel Bakeries, Inc., Divi­ - cant’s representative: Joseph E. Ludden deemed necessary, applicant requests it sion of Tasty Sales Corp., at Baltimore, (same address as applicant). Authority be held at Chicago, I1L Md., and the plantsite of Noel Potato sought to operate as a common carrier, No. MC 60987 (Sub-No. 11), filed Chip Co., Inc., Division of Tasty Sales by motor vehicle, over regular routes, October 5, 1967. Applicant: ARKXN Corp. "at Hanover, Pa., to points in transporting: General commodities (ex­ TRUCK LINE, INCORPORATED, 1600 Alabama, Connecticut, Delaware, Florida, cept those of unusual value, classes A and South Indiana Avenue, Chicago, HI. Georgia, Indiana, Kentucky, Louisiana, B explosives, livestock, household goods

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 NOTICES 14871 as defined by the Commission, commodi­ No. MC 106760 (Sub-No. 83), filed Oc­ No. MC 107496 (Sub-No. 594), filed ties in bulk, and those requiring special tober 11, 1967. Applicant: WHITE- October 5, 1967. Applicant: RUAN equipment), serving the proposed plant- HOUSE TRUCKING, INC., 2905 Airport TRANSPORT CORPORATION, Keo- site of Republic Powdered Metals Co., lo­ Highway, Toledo, Ohio 43614. Applicant’s sauqua Way at Third, Post Office Box cated at Brunswick, Ohio, as an off-route representative: O. L. Thee, 1925 National 855, Des Moines, Iowa 50304. Applicant’s point in connection with applicant’s Plaza, Tulsa, Okla. 74131. Authority representative: H. L. Fabritz (same ad­ presently authorized routes to and from sought to operate as a common carrier, dress as applicant). Authority sought to Cleveland, Ohio. Note : Common control by motor vehicle, over irregular routes, operate as a common carrier, by motor may be involved. If a hearing is deemed transporting: Prefabricated buildings, vehicle, over irregular routes, transport­ necessary, applicant requests it be held knocked down or in sections or prefabri­ ing: Petroleum and petroleum products, at Cleveland, Ohio, or Chicago, HI. cated building sections and components in bulk, from Forsyth, HI., to points in No. MC 101474 (Sub-No. 14), filed Oc­ together with materials necessary'for the Allamakee, Clayton, Dubuque, Jackson, tober 9, 1967. Applicant: RED TOP construction and erection thereof, from Clinton, Scott, Muscatine, Louisa, Des TRUCKING, INCORPORATED, 7020 points in Pinellas County, Fla., to points Moines, Lee, and Linn Counties, Iowa; Cline Avenue, Hammond, Ind. 46323. Ap­ in Alabama, Arkansas, Connecticut, Dela­ St. Louis, Mo., and points in St. Louis plicant’s representative: Ernest A. ware, Florida, Georgia, Illinois, Indiana, County, Mo. Note : Common control may Brooks n , 1301 Ambassador Building, St. Iowa, Kentucky, Louisiana, Maine, be involved. If a hearing is deemed nec­ Louis, Mo. 63101. Authority sought to op­ Maryland, Massachusetts, Michigan, Mis­ essary, applicant requests it be held at erate as a common carrier, by motor ve­ sissippi, Missouri, New Hampshire, New Kansas City, Mo., or Des Moines, Iowa. hicle, over irregular routes, transporting: Jersey, New York, North Carolina, Ohio, No. MC 107515 (Sub-No. 589) (Amend­ Iron and steel, and iron and steel articles, Pennsylvania, Rhode Island, South Car­ ment), filed August 29, 1967, published between Peotone, 111., on the one hand, olina, Tennessee, Vermont, Virginia, in F ederal R egister issue of September and, on the other, points in Kentucky, West Virginia, and the District of Colum­ 21, 1967, amended October 6, 1967, and Tennessee, and West Virginia. Note: If bia. Note: If a hearing is deemed neces­ republished as amended this issue. Ap­ a hearing is deemed necessary, applicant sary, applicant requests it be held at plicant: REFRIGERATED TRANSPORT requests it be held at Chicago, 111., or Tampa, Fla. CO., INC., Post Office Box 10799, Station Washington, D.C. No. MC 106904 (Sub-No. 14), filed A, Atlanta, Ga. 30310. Applicant’s repre­ sentative: B. L. Gundlach (same address No. MC 105813 (Sub-No. 158), filed October 5, 1967. Applicant: TOPEKA MOTOR FREIGHT, INC., 4490 Lower as above). Authority sought to operate as October 9, 1967. Applicant: BELFORD a common carrier, by motor vehicle, over TRUCKING CO., INC., 3500 Northwest Silver Lake Road, Topeka, Kans. 66603. Applicant’s representative: D. S. Hults, irregular routes, transporting: Candy, 79th Avenue, Miami, Fla. Authority confectionery products, and prepared sought to operate as a common carrier, Box 225, Lawrence, Kans. 66044. Author­ ity sought to operate as a common car­ foods, (1) from New Orleans, and Pon- by motor vehicle, over irregular routes, chatoula, La., to points in Alabama, Flor­ transporting: Candy and confectionery rier, by motor vehicle, over regular routes, transporting: General commodi­ ida, Georgia, Tennessee, Mississippi, from Bethlehem, Pa., to points in North North Carolina, South Carolina, Missouri, Carolina, South Carolina, Georgia, and ties, except those of unusual value, classes A and B explosives, household Oklahoma, Virginia, West Virginia, Florida. Note: If a hearing is deemed Maryland, Delaware, Pennsylvania, New necessary, applicant requests it be held goods as defined by the Commission, commodities in bulk, commodities re­ Jersey, Arkansas, Texas, New York, Ohio, at Washington, D.C. Kentucky, Indiana, Michigan, Illinois, No. MC 106194 (Sub-No. 20), filed Oc­ quiring special equipment, and those in­ jurious or contaminating to other lading, Wisconsin, Kansas, and the District of tober 5, 1967. Applicant: HORN TRANS­ Columbia, and (2) from Memphis, Tenn., PORTATION, INC., 1119 West 24th between Marysviller Kans., and Fairbury, Nebr., from Marysville, over U.S. High­ to points in the foregoing States except Street, Kansas City, Mo. 64108. Appli­ Tennessee. Note: The purpose of this cant’s representative: Frank W. Taylor, way 36 to junction Kansas Highway 15W, thence north over Kansas Highway 15W, republication is to redescribe the com­ Jr., 1221 Baltimore Avenue, Kansas City, modity description. If a hearing is Mo. 64105. Authority sought to operate as to Fairbury, and return over the same routes serving the intermediate points to deemed necessary, applicant requests it a common carrier, by motor vehicle, over be held at New Orleans, La. irregular routes, transporting: Iron and Washington, Kans., and Morrowville, steel and iron and steel articles, from Kans. Note: Applicant states it intends No. MC 107515 (Sub-No. 591) (Amend­ Kansas City, Mo., to points in Nebraska, to tack at Marysville, Kans., with its ment) , filed September 8,1967, published South Dakota, North Dakota, Minnesota, present authority. If a hearing is deemed in the F ederal R egister issue of Septem­ Montana, Wyoming, Idaho, Utah, New necessary, applicant requests it be held ber 28, 1967, amended and republished Mexico, Arizona, Texas, California, Ore­ at Kansas City, Kans. as amended this issue. Applicant: RE­ gon, Washington, Nevada, and points in No. MC 106920 (Sub-No. 25), filed FRIGERATED TRANSPORT CO., INC., Colorado on and west of U.S. Highways October 5, 1967. Applicant: RIGGS Post Office Box 10799, Station A, Atlanta, 85 and 87. Note: If a hearing is deemed FOOD EXPRESS, INC., Post Office Box Ga. 30310. Applicant’s representative: necessary, applicant requests it be held at 26, West Monroe Street, New Bremen, B. L. Bundlach (same address as appli­ Kansas City or St. Louis, Mo. Ohio 45869. Applicant’s representative: cant). Authority sought to operate as a No. MC 106760 (Sub-No. 82), filed Oc­ Carroll V. Lewis, 122 East North Street, common carrier, by motor vehicle, over tober 6, 1967. Applicant: WHITEHOUSE Sidney, Ohio 45365. Authority sought to irregular routes, transporting: Meats, TRUCKING, INC., 2905 Airport High­ operate as a common carrier, by motor meat products, and meat byproducts and way, Toledo, Ohio 43614. Applicant’s rep­ vehicle, over irregular routes, transport­ articles distributed by meat packing­ resentative: Leonard A. Jaskiewicz, ing: Dairy products as described in Ap­ houses, as described in sections A and C Madison Building, >1155 15th Street NW., pendix I to the report in Descriptions in of appendix I to the Report in Descrip­ Washington, D.C. 20005. Authority Motor Carrier Certificates, 61 M.C.C. 209, tions in Motor Carrier Certificates 61 sought to-eperate as a common carrier, from Louisville, Ky., to point» in Penn­ M.C.C. 209 and 766, from Balitmore, Md., by motor vehicle, over irregular routes, sylvania, New York, New Jersey, Con­ and Washington, D.C., to points in North transporting: Boards, building, wall, necticut, Rhode Island, New Hampshire, Carolina, South Carolina, and Georgia. and/or insulating, and parts, materials Vermont, Maine, Massachusetts, Dela­ Note : Applicant states it intends to tack and accessories incidental thereto; com­ ware, Maryland, Virginia, West Virginia, at points in G e o r g ia as authorized in its position boards and parts and materials North Carolina, South Carolina, Florida, Sub 1 to points in Florida, Alabama, and accessories incidental thereto (other, Mississippi, Louisiana, and Tennessee. -Georgia, Alabama, Mississippi, Louisiana, Common control may be involved. The than bulk commodities and lumber), Tennessee, and the District of Columbia. from Lagro and Wabash, Ind., to points purpose of this republication is to add Note: Common control may be involved. in Florida and Georgia. Note: If a hear­ Washington, D.C., as an origin point. If ing is deemed necessary, applicant re­ If a hearing is deemed necessary, appli­ a hearing is deemed necessary, applicant quests it be held at Washington, D.C., or cant requests it be held at Columbus, requests it be held at Baltimore, Md., or Tampa, Fla. Ohio, or Louisville, Ky. Washington, D.C.

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14872 NOTICES No. MC 108046 (Sub-No. 5), filed shire, New Jersey, New York, North between points in Kansas, Missouri, and October 5, 1967. Applicant: CURATOLA Carolina, North Dakota, Ohio (except Oklahoma and in its Sub 41 between BROS. TRUCKING, INC., 142-82 Rock- points in Ashtabula, Cuyahoga, Lake, points in Kansas. If a hearing is deemed away Boulevard, South Ozone Park, Summit, Muskingum, Licking, Franklin, necessary, applicant requests it be held N.Y. 11436. Applicant’s representative: and Wayne Counties), Oklahoma, Penn­ at Kansas.City or St. Louis, Mo. Edward M. Alfano, 2 West 45th Street, sylvania, Rhode Island, South Carolina, No. MC 113678 (Sub-No. 289), filed New York, N.Y. 10036. Authority sought South Dakota, Tennessee, Texas, Ver­ October 10, 1967. Applicant: CURTIS, to operate as a contract carrier, by motor mont, Virginia, West Virginia, and Wis­ INC., 770 East 51st Avenue, Denver, Colo. vehicle, over irregular routes, transport­ consin. Note: Applicant states that it 80216. Applicant’s representative: Duane ing: Aluminum ladders, set up and loose, would tack with any appropriate au­ W. Acklie, Post Office Box 2028, Lincoln, from Amityville, N.Y., to points in thorities now held. If a hearing is deemed Nebr. Authority sought to operate as a Illinois, Indiana, Michigan, and Ohio, necessary, applicant requests it be held common carrier, by motor vehicle, over and (2) returned shipments of aluminum at Columbus, Ohio, or Washington, D.C. irregular routes, transporting: Chemi­ ladders, on return, under contract with No. MC 110525 - (Sub-No. 845), filed cals, chemical compounds and cleaning American Ladder Corp. Note: Applicant October 9, 1967. Applicant: CHEMICAL compounds, other than in bulk, from indicates it is presently serving shipper LEAMAN TANK LINES, INC., 520 East Utica, 111., to points in Indiana, Ken­ under its contract carrier permit. Pur­ Lancaster Avenue, Downingtown, Pa. tucky, Michigan, Ohio, Tennessee, West pose of application is to furnish shipper 19335. Applicant’s representatives: Ed­ Virginia, and Wisconsin. Note: If a with a complete service. If a hearing is win H. van Deusen (same address as ap­ hearing is deemed necessary applicant deemed necessary, applicant requests it plicant) and Leonard A. Jaskiewicz, requests it be held at Washington, D.C. be held at New York, N.Y. Madison Building, 1155 15th Street NW., No. MC 114045 (Sub-No. 295), filed No. MC 109265 (Sub-No. 17) (Correc­ Washington, D.C. 20005. Authority October 10, 1967. Applicant: TRANS- tion) , filed September 25,1967, published sought to operate as a common carrier, COLD EXPRESS, INC., Post Office Box F ederal R egister issue of October 5, by motor vehicle, over irregular routes, 5842, Dallas, Tex. 75222. Applicant’s rep­ 1967, and republished as corrected this transporting: Liquid sugar and corn resentative: R. L. Moore (same address issue. Applicant: W. L. MEAD, INC., syrup blends, in bulk, in tank vehicles, as applicant). Authority sought to oper­ Post Office-Box 31, Norwalk, Ohio 44857. from Knoxville, Tenn., to London, Ky.; ate as a common carrier, by motor Applicant’s representative s James Mul- Bristol and Lynchburg, Va. Note: Com­ vehicle, over irregular routes, transport­ doon, 50 West Broad Street, Columbus, mon control may be involved. If a hear­ ing: Foodstuffs and items dealt in by Ohio 43215. Authority sought to operate ing is deemed necessary, applicant re­ candy and confectionery stores or stands, as a common carrier, by motor vehicle, quests it be held at Washington, D.C. from Boston, Mass., to points in Ala­ over regular routes, transporting: Gen­ No. MC 112520 (Sub-No. 168), filed . bama, Florida, Georgia, Illinois, Indiana, eral commodities (except those of un­ October 6, 1967. Applicant: McKENZIE Kansas, Louisiana, Michigan, Minnesota, usual value, classes A and B explosives, TANK LINES, INC., New Quincy Road, Mississippi, Missouri, Ohio, and Wiscon­ livestock, household goods as defined by Post Office Box 1200, Tallahassee, Fla. sin. Note: Applicant indicates tacking the Commission, commodities in bulk, 32302. Applicant’s representative: Sol H. possibilities with its existing authority, and those requiring spécial equipment), Proctor, 1729 Gulf Life Tower, Jackson­ wherein applicant is authorized to serve between Norwalk and Sandusky, Ohio, ville, Fla. 32207. Authority sought to op­ points in Indiana,.Kansas, New Mexico, over U.S. Highway 250, serving all in­ erate as a common carrier, by motor ve­ Oklahoma, Texas, Missouri (except St. termediate points. Note : Applicant states hicle, over irregular routes, transporting: Louis, Mo., and its commercial zone), service to be conducted will be in con- Hexamethylene diamine adipate (nylon Arizona, California, Oregon and Wash­ jection with other presently held au­ salt), in solution, and hexamethylene ington. However, applicant also states thorized regular route authority. The diamine solution, in bulk, in tank vehi­ that it does not consider such tacking purpose of this republication is-to cor­ cles, from the plantsite of Monsanto Co. feasible as it can already handle such rect the spelling of Norwalk, Ohio, located at or near Gonzalex, Fla., to traffic from the origin of the instant inadvertently misspelled in previous Mobile, Ala. Note: If a hearing is application to the destination territory publication. If a hearing is deemed nec­ deemed necessary, applicant requests it that could be served via another gate­ essary, applicant requests it be held at be held at Jacksonville or Tallahassee, way. If a hearing is deemed neces­ Sandusky, Columbus, or Cleveland, Ohio. Fla., or Mobile, Ala. sary, applicant requests it be held at No. MC 109376 (Sub-No. 8), filed Octo­ No. MC 112822 (Sub-No. 80), filed Washington, D.C., or Boston, Mass. ber 6, 1967. Applicant: E. R. SKINNER, October 9,1967. Applicant: EARL BRAY, No. MC 114301 (Sub-No. 50), filed Oc­ doing business as E. R. SKINNER INC., Post Office Box 1191, 1401 North tober 11, 1967. Applicant: DELAWARE TRANSFER, Reedsburg, Wis. 53959. Ap­ Little Street, Cushing, Okla. 74023. Appli­ EXPRESS CO., a corporation, Post Office plicant’s representative: Claude J. cant’s representative: Marion F. Jones, Boxv141, Elkton, Md. 21921. Applicant’s Jasper, 111 South Fairchild Street, 420 Denver Club Building, Denver, Colo. representative: Chester A. Zyblut, 1522 Madison, Wis. 53703. Authority sought to Authority sought to operate as a com­ K Street NW., Washington, D.C. 20005. operate as a common carrier, by motor mon carrier, by motor vehicle, over irreg­ Authority sought to operate as a common vehicle, over irregular routes, transport­ ular routes, transporting: Petroleiim and carrier, by motor vehicle, over irregular ing: Cans and can ends, from Love’s petroleum products, in packages and routes, transporting: (1) Feed and (2) Park, 111; (a suburb of Rockford, 111.), containers, (1) from points in Kansas commodities, the transportation of which to Sauk City and Reedsburg, Wis. Note : to points in Alabama, Arkansas, Georgia, is partially exempt under the provisions If a hearing is deemed necessary, appli­ Illinois (on and south of U.S. Highway of section 203(b)(6) of the Interstate cant requests it be held at Madison, Wis. 24), Louisiana, Mississippi, Missouri (on Commerce Act if transported in vehicles No. MC 109637 (Sub-No. 330), filed and south of U.S. Highway 50 and on and not used in carrying any other property, October 5, 1967. Applicant: SOUTHERN east of a line beginning at Jefferson City, when moving in the same vehicles at the TANK LINES, INC., 4107 Bells Lane, Mo., and extending along U.S. Highway same/ time with feed, from Manheim, Louisville, Ky. 40211. Applicant’s repre­ i54 to Camdenton, Mo., thence along Pa., to points in Kent, Cecil, and New sentative: Harris G. Andrews (same ad­ Missouri Highway 5 to Lebanon, Mo., Castle Counties, Del., and Kent and dress as applicant). Authority sought to thence along U.S. Highway 66 to Spring- Queen Anne Counties, Md. Note :. If a operate as a common carrier, by motor field, Mo., thence along U.S. Highway hearing is deemed necessary, applicant vehicle, over irregular routes, transport­ 65 to the Arkansas-Missouri State line requests it be held at Washington, D.C. ing: Chemicals dry, in bulk, in tank or (except the St. Louis commercial zone), No. MC 114301 (Sub-No. 51), filed Oc­ hopper vehicles, from Neal, W. Va., to and Tennessee, and (2) from the St. tober 13, 1967. Applicant: DELAWARE points in Alabama, Arkansas, Colorado, Louis, Mo., commercial zone and Madi-^ EXPRESS CO., a corporation, Post Office Connecticut, Florida, Georgia, Illinois, son County, 111., to points in Arkansas, Box 141, Elkton, Md. 21921. Applicant’s Indiana, Iowa, Kentucky, Louisiana, Kansas, Louisiana, Oklahoma, and representative: Chester A. Zyblut, 1522 Maine, Massachusetts, Minnesota, Mis­ Texas. Note: Applicant states tacking K Street NW., Washington, D.C. 20005. sissippi, Missouri, Nebraska, New Hamp- possibilities in the base certificate Authority sought to operate as a common

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 NOTICES 14873

carrier, by motor vehicle, over irregular ing: Classes A and B explosives, serving originating at and destined to the points routes, transporting: Dry dicalcium Parsons, Kans., as an off-route point in named above. Note: If a hearing is jphosphate (feed grade), in bulk, from connection with applicant’s regular deemed necessary, applicant requests it Baltimore, Md., to points in Delaware, route classes A and B explosives author­ be held at Des Moines, Iowa. Virginia, West Virginia, Massachusetts, ity under MC 116004 (Sub-No. 12). Note: No. MC 119226 (Sub-No. 65), filed New Jersey, Pennsylvania, New York, If a hearing is deemed necessary, appli­ October 11, 1967. Applicant: LIQUID Connecticut, Ohio, Rhode Island, Ver­ cant requests it be held at Dallas, Tex., TRANSPORT CORP., 3901 Madison Ave­ mont, ' and the District of Columbia. or Kansas City, Mo. nue, Indianapolis, Ind. 46227. Applicant’s Note: If a hearing is deemed necessary, No. MQ 117344 (Sub-No. 184), filed representative: Robert W. Loser, 409 applicant requests it be held at Wash­ October 9, 1967. Applicant: THE MAX­ Chamber of Commerce Building, Indian­ ington, D.C. WELL CO., a corporation, 10380 Even- apolis, Ind. 46204. Authority sought to No. MC 115841 (Sub-No. 315)',' filed dale Drive, Cincinnati, Ohio 45215. operate as a common carrier, by motor October 11, 1967. Applicant: COLONIAL Applicant’s representatives: Herbert vehicle, over irregular routes, transport­ REFRIGERATED TRANSPORTATION, Baker and James R. Stiverson, 50 West ing: Acetic acid, in bulk, in tank vehicles, INC., 1215 Bankhead Highway West, Post Broad Street, Columbus, Ohio 43215. from Elkhart, Ind., to Toledo, Ohio. Office Box 2169, Birmingham, Ala. 35201. Authority sought to operate as a common Note: If a hearing is deemed necessary, Applicant’s representative: C. E. Wesley carrier, by motor vehicle, over irregular applicant requests it be held at Indian­ (same address as applicant). Authority routes, transporting: Chemicals, dry, in apolis, Ind., or Chicago, HI. sought to operate as a common carrier, bulk, in tank or hopper vehicles, from No. MC 119702 (Sub-No. 27), filed Oc­ by motor vehicle, over irregular routes, Neal, W. Va., to points in Alabama, Ar­ tober 3, 1967. Applicant: STAHLY transporting: Agricultural commodities, kansas, Colorado, Connecticut, Florida, CARTAGE CO., a corporation, Post Of­ exempt from economic regulation pur­ Georgia, Illinois, Indiana, Iowa, Ken­ fice Box 381, Edwardsville, 111. 62025. Ap­ suant to section 203(b) (6) of the Inter­ tucky, Louisiana, Maine, Massachusetts, plicant’s representative: Mack Stephen­ state Commerce Act, when transported Minnesota, Mississippi, Missouri, Ne­ son, 42 Fox Mill Lane, Springfield, 111. at the same time and in the same vehicle braska, New Hampshire, New Jersey, New 62707. Authority sought to operate as a with commodities subject to economic York, North Carolina, North Dakota, common carrier, by motor vehicle, over regulation (as otherwise authorized), Ohio (except points imAshtabula, Cuya­ irregular routes, transporting: Petroleum (1) from New Orleans, La., to Nashville, hoga, Lake, Summit, Muskingum, Lick­ and petroleum products, in bulk, in tank Tenn., (2) from Jacksonville, Fla., to ing, Franklin, and Wayne Counties), Ok­ vehicles, from Forsyth, 111., to points in Birmingham, Ala., (3) from Gulfport, lahoma, Pennsylvania, Rhode Island, Allamakee, Clayton, Dubuque, Jackson, Miss., to Lake Charles, La., Houston, South Carolina, South Dakota, Tennes­ Clinton, Scott, Muscatine, Louisa, Des Tex., and points in Alabama (except see, Texas, Vermont, Virginia, West Vir­ Moines, Lee, and Linn Counties, Iowa; Montgomery), Arkansas, Illinois, Indi­ ginia, and Wisconsin. Note : If a hearing St. Louis, Mo.; and points in St. Louis ana, Iowa, Kansas, Kentucky, Michigan, is deemed necessary, applicant requests County, Mo. Note : If a hearing is deemed Minnesota, Mississippi, Missouri, Ne­ it be held at Columbus, Ohio, or Wash­ necessary, applicant requests it be held braska, Ohio, Tennessee, and Texas, and ington, D.C. at Kansas City, Mo. (4) from Mobile, A/a., to points in Ala­ No. MC 117574 (Sub-No. 165), filed No. MC 119767 (Sub-No. 203), filed Oc­ bama, Tennessee, Arkansas, Kentucky, October 5, 1967. Applicant: DAILY EX­ tober 2, 1967. Applicant: BEAVER Ohio, Pennsylvania, New York, Mich­ PRESS, INC., Post Office Box 39, Carlisle, TRANSPORT CO., a corporation, 100 igan, Indiana, and Hlirtois. Note: If a Pa. 17013. Applicant’s representative: South Calumet Street, Post Office Box hearing is deemed necessary, applicant G. K. Bishop (same address as appli­ 339, Burlington, Wis. 53105. Applicant’s requests it be held at New Orleans, La., cant). Authority sought to operate as a representatives: Allan B. Torhorst and or Mobile, Ala. common carrier, by motor vehicle, over Fred H. Figge (same address as appli­ No. MC 115841 (Sub-No. 316), filed irregular routes, transporting: Agricul­ cant) . Authority sought to operate as a October 11, 1967. Applicant: COLONIAL tural equipment, agricultural machinery, common carrier, by motor vehicle, over REFRIGERATED TRANSPORTATION, agricultural implements, agricultural irregular routes, transporting: Prepared INC., 1215 Bankhead Highway West, equipment, machinery, and implement food products, dairy products, and by­ Post Office Box 2169, Birmingham, Ala. attachments and parts, between La Porte, products, and materials, supplies, and 35201. Applicant’s representative: C. E. Ind., on the one hand, and, on the other, equipment, used or useful in the prepara­ Wesley (same address as applicant). Au­ points in Connecticut, Delaware, Florida, tion, packing, and sale of these commodi­ thority sought to operate as a common Georgia, Maine, Maryland, Massachu­ ties; canned and preserved foodstuffs, carrier, by motor vehicle, over irregular setts, New Hampshire, New Jersey, New and frozen foods, between points in Illi­ routes, transporting: Candy, confection­ York, North Carolina, Pennsylvania, nois and Indiana, on the one hand, and, ery products and snack foods (except in Rhode Island, South Carolina, Vermont, on the other, St. Paul, South St. Paul, bulk or tank vehicles), from New Orleans Virginia, West Virginia, and the District Newport, and Minneapolis, Minn. Note: and Ponchatoula, La., , and Memphis, of Columbia. Note; Common control may The purpose of this application is to Tenn., to points in Louisiana, Alabama, be involved. If a hearing is deemed neces­ eliminate the gateway into St. Paul, Florida, Georgia, Tennessee, Mississippi, sary, applicant requests it be held at South St. Paul, Newport, and Minne­ North Carolina, South Carolina, Mis­ Washington, D.C., or Chicago, HI. apolis, Minn. If a hearing is deemed nec­ souri, Oklahoma, Virginia, West Virginia, No. MC 117815 (Sub-No. 128), filed essary, applicant requests it be held at Delaware, Maryland, District of Colum­ October 9, 1967. Applicant: PULLEY Madison or Milwaukee, Wis. bia, Pennsylvania, New Jersey, Arkansas, FREIGHT LINES, INC., 405 South East No. MC 123048 (Sub-No. 105), filed Texas, New York, Ohio, Kentucky, Indi­ 20th Street, Des Moines, Iowa 50317. Ap­ October 9, 1967. Applicant: DIAMOND ana, Michigan, Illinois, Wisconsin, Kan­ plicant’s representative: William A. TRANSPORTATION SYSTEM, INC., sas, Arizona, and California. Note: Landau, 1451 East Grand Avenue, Des 1919 Hamilton Avenue, Racine, Wis. Common control may be involved. If a Moines, Iowa 50306. Authority sought to 53403. Applicant’s representative: Paul hearing is deemed necessary, applicant operate as a common carrier, by motor C. Gartzke, 121 West Doty Street, Madi­ requests it be held at New Orleans, La., vehicle, over irregular routes, transport­ son, Wis. 53703. Authority sought to or Birmingham, Ala. ing: Meats, meat products, meat by­ operate as a common carrier, by motor No. MC 116004 (Sub-No. 20), filed Oc­ products, and commodities distributed by vehicle, over irregular routes, transport­ tober 5,1967. Applicant: TEXAS-OKLA- meat packinghouses„ as described in sec­ ing: Agricultural equipment, farm ma­ HOMA EXPRESS, INC., 2515 Irving tions A and C of appendix I to the report chinery, and parts thereof (except such Boulevard, Post Office Box 743, Dallas, in Descriptions in Motor Carrier Cer­ equipment, machinery, and parts which Tex. 75221. Applicant’s representatives: tificates, 61 M.C.C. 209 and 766 (except because of size or weight require the use Reagan Sayers and Clayte Binion, Cen­ commodities in bulk, in tank vehicles), of special equipment), from Dubuque, tury Life Building, Post Office Box 17007, from the plantsite and storage facilities Iowa, to points in Alabama, Arkansas, Fort Worth, Tex. 76102. Authority sought of I. D. Packing Co., Des Moines, Iowa, to Colorado, Florida, Georgia, Illinois, In­ to operate as a common carrier, by motor Austin, Minn., and Fremont, Nebr. Re­ diana, Iowa, Kansas, Michigan, Minne­ vehicle, over regular routes, transport­ stricted: To the transportation of traffic sota, Mississippi, Missouri, North Caro-

FEOERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14874 NOTICES I... lina, North Dakota, Ohio, Oregon, South over irregular routes, transporting: Ice Co., at or near Gonzales, Fla., to Mobile, Carolina, South Dakota, Tennessee, cream, ice confections, and ice water con­ Ala. Note : If a hearing is deemed neces­ Utah, and Wisconsin. Note: If a hearing fections, (1) between Detroit, Mich., and sary, applicant requests it be held at is deemed necessary, applicant requests Pittsburgh, Pa., (2) from Detroit, Mich., Jacksonville or Tallahassee, Fla., it be held at Madison, Wis., Chicago, HI., to points in Ohio, West Virginia, and No. MC 127281 (Sub-No. 1), filed Octo­ or Des Moines, Iowa. Pennsylvania, and (3) from Pittsburgh, ber 9, 1967. Applicant: PORTA-CAR, No. MC 123487 (Sub-No. 5), filed Octo­ Pa., to points in Ohio, and West Virginia, INC., 5520 Daywalt Avenue, Baltimore, ber 5, 1967. Applicant: HENRY HAMEL under contract with Sealtest Foods, Divi­ Md. 21206. Applicant’s representative: AND NORM AND E. HAMEL, a partner­ sion of National Dairy Products Corp. John W. Hessian, HI, Post Office Box ship, doing business as HAMEL MOTOR Note : If a hearing is deemed necessary, 6892, Towson, Md. 21204. Authority TRANSP. CO., R.P.D. No. 1, River Road, applicant requests it be held at Pitts­ sought to operate as a common carrier, Allentown, N.H. Applicant’s representa­ burgh, Pa., Cleveland, Ohio, or Washing­ by motor vehicle, over irregular routes, tive: Guy A. Swenson, Jr., 9 Capitol ton, D.C. transporting: Used, second-hand pas­ Street, Concord, N.H. 03301. Authority No. MC 126291 (Sub-No. 9), filed Octo­ senger automobiles, station wagons, and sought to operate as a contract carrier, ber 2, 1967. Applicant: QUIRION pickup trucks (not exceeding %-ton by motor vehicle, over irregular routes, TRANSPORT, INC., La Guadeloupe, capacity), in truckaway service, between transporting: Rough granite, between County of Frontenac, Quebec, Canada. Manheim, Pa., on the one hand, and, on Vinalhaven, Maine, on the one hand, Applicant’s representative: Frank J. the other, Baltimore, Md. Note: If a and, on the other, Concord, N.H., under Weiner, Investors Building, 536 Granite hearing is deemed necessary, applicant contract with The John Swenson Gran­ Street, Braintree, Mass. 02184. Authority requests it be held at Baltimore, Md. ite Co., Inc. Note: Applicant states that sought to operate as a common carrier, No. MC 128256 (Sub-No. 1), filed Oc­ it could tack with its present authority by motor vehicle, over irregular routes, tober 9, 1967. Applicant: O. W. BLOS- in MC 123487, whereas it is authorized transporting: (1) Sleds, sleighs, chil­ SER, doing business as BLOSSER to operate between Concord, N.H., and dren’s wagons and parts thereof, chil­ TRUCKING, 215 North Main Street, Ogunquit and North Berwick, Maine. dren’s shovels, wooden benches, chairs, Middlebury, Ind. 46540. Applicant’s rep­ N ote: If a hearing is deemed necessary, stools, and tables, from ports of entry on resentative: Alki E. Scopelitis, 511 Fi­ applicant requests it be held at Concord, the international boundary line between delity Building, Indianapolis, Ind. 46204. N.H. the United States and Canada to points Authority sought to operate as a common No. MC 124692 (Sub-No. 41) (Amend­ in Connecticut, Illinois, Indiana, Iowa, carrier, by motor vehicle, over irregular ment), filed September 20, -1967, pub­ Kentucky, Maine, Massachusetts, Michi­ routes, transporting: Wooden mouldings, lished in the F ederal R egister issue of gan, Minnesota, Nebraska, New Hamp­ from the site of Middlebury Moulding, October 5, 1967, amended October 12, shire, New Jersey, New York, Ohio, Inc., near Middlebury, Ind., to points in 1967, and republished this issue. Appli­ Pennsylvania, Rhode Island, Vermont, the United States. Note: If a hearing is cant: SAMMONS TRUCKING, a corpo­ and Wisconsin, restricted to the trans­ deemed necessary, applicant requests it ration, Post Office Box 933, Missoula, portation of traffic originating at points be held at Indianapolis, Ind., or Chicago, Mont. 59801. Applicant’s representative: in Frontenac County, Quebec, Canada, 111. Gene P. Johnson, 502 First National Bank (2) cedar products, from ports of entry No. MC 128746 (Sub-No. 4) (Amend­ Building, Fargo, N. Dak. 58102. Authority on the international boundary line be­ ment), filed June 6, 1967, published sought to operate as a common carrier, tween the United States and Canada JFederal R egister issue of June 22, 1967, by motor vehicles, over irregular routes, located at or near Rouses Point, N.Y., amended October 11, 1967, and repub­ transporting: Building materials, and Jackman and Cobum Gore, Maine, and lished as amended, this issue. Applicant: gypsum and gypsum products, and ma­ Derby Line, Norton Mills and Highgate D’AGATA NATIONAL TRUCKING CO., terials and accessories used in connec­ Springs, Vt., to points in Pennsylvania, a corporation, 3240 South 61st Street, tion therewith, from points in Big Horn restricted to traffic originating at points Philadelphia, Pa. 19153. Applicant’s rep­ County, Wyo., to points in Colorado, in Beauce County, Quebec, Canada, and resentative: G. Donald Bullock, Box 103, Idaho, Iowa, Kansas, Minnesota, Mon­ (3) rough lumber, from points in Maine, Wyncote, Pa. 19095. Authority sought to tana, Nebraska, North Dakota, Oregon, New Hampshire, Vermont, and New operate as a common carrier, by motor South Dakota, Washington, Wisconsin, York, to ports of entry on the interna­ vehicle, over irregular routes, transport­ and Wyoming. Note : The purpose of this tional boundary line between the United ing: Malt beverages in containers, from republication is to broaden the scope of States and Canada located at or near Willimansett, Mass., to Philadelphia, Pa. the application as previously published. and points in New Jersey. Note: The If a hearing is deemed necessary, appli­ Jackman and Cobum Gore, Maine, Derby purpose of this republication is to change cant requests it be held at Portland, Line, Norton Mills, and Highgate Springs, the destination point from New York, Oreg., Seattle or Spokane, Wash. Vt. Note: Applicant presently holds au­ N.Y., to Philadelphia, Pa., and points in No. MC 124802 (Sub-No. 8), filed Octo­ thority sought in part (1) under MC New Jersey. If a hearing is deemed neces­ ber 11, 1967. Applicant: CURTIS 126291 (Sub-No. 3) to serve the destina­ sary, applicant requests it be held at WOMELDORF, doing business as ACE tion areas via the ports of entry of Philadelphia, Pa. MOTOR FREIGHT, Post Office Box 331, Jackman and Cobum Gore, Maine; Derby No. MC 129048 (Sub-No. 1), filed Oc­ Summerville, Pa. Applicant’s representa­ Line, Norton Mills, and Highgate Springs, tober 6, 1967. Applicant: M & J REFRIG­ tive: Chester A. Zyblut, 1522 K Street Vt.; and Rouses Point, N.Y. The purpose ERATED TRANSPORTATION, INC., NW., Washington, D.C. Authority sought of part (1) is to provide additional ports 636 South West Street, Indianapolis, Ind. to operate as a common carrier, by motor of entry. If a hearing is deemed neces­ 46225. Applicant’s representative: James vehicle, over irregular routes, transport­ sary, applicant requests it be held at C. Clark, 714 Indiana Building, Indi­ ing: Clay products, and refractory prod­ Augusta.or Portland, Maine, or Boston, anapolis, Ind. 46204. Authority sought ucts, from points in Clarion County, Pa. Mass. to operate as a common carrier, by motor to points irt Massachusetts, Connecticut, No. MC 126736 (Sub-No. 54), filed vehicle over irregular routes, transport­ Rhode Island, New York, New Jersey, October 6, 1967. Applicant: PETRO­ ing: Frozen foods, in mechanically re­ Delaware, Maryland, Virginia, West Vir­ LEUM CARRIER CORPORATION OF frigerated vehicles, between points in the ginia, and the District of Columbia. FLORIDA, Post Office Box 5809, Jackson­ Chicago, 111., commercial zone, and points Note: If a hearing is deemed necessary, ville, Fla. 32207. Applicant’s representa­ in Indiana. Note: If a hearing is deemed “applicant does not specify a location. tive: Martin Sack, Jr., 1754 Gulf Life necessary, applicant requests it be held No. MC 125035 (Sub-No. 14), filed Tower, 1301 Gulf Life Drive, Jackson­ at Indianapolis, Ind., Chicago, HI., or October 12, 1967. Applicant: RAY E. ville, Fla. 32207. ~ Authority sought to Louisville, Ind. BROWN TRUCKING, INC., 1132 55th operate as a common carrier, by motor No. MC 129204 (Sub-No. 2), filed Oc­ Street NE., North Canton, Ohio 44721. vehicle, over irregular routes, transport­ tober 9, 1967. Applicant: CROSBY LUM­ Applicant’s representative: Fred H. Zol­ ing: Hexamethylene diamine adipate BER COMPANY, INC., Eager-Springer- linger, 800 Cleve-Tusc Building, Canton, {nylon salt) in solution, and hexamethyl­ ville Highway, Post Office Box 670, Ohio 44702. Authority sought to operate ene diamine solution, in bulk, in tank Springerville, Ariz. 85938. Applicant’s as a contract carrier, by motor vehicle, vehicles, from the plantsite of Monsanto representative: A. Michael Bernstein,

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 NOTICES 14875

1327 Guaranty Bank Building, Phoenix, Calvert, and Anne Arundel Counties, and, on the other, Brooklyn, N.Y.; Alli­ Ariz, 85012. Authority sought to operate Md.; Arlington, Fairfax, Prince William, ance, Ohio; Strang, Tex.; Memphis, as a common carrier, by motor vehicle, and Loudoun Counties, Va.; and Chester, Term.; New Orleans, La.; Denver, Colo.; over irregular routes, transporting: Lancaster, York, and Adams Counties, Baltimore, Md.; Philadelphia, Pa.; and Lumber, from points in Apache, Navajo, Pa.; restricted to shipments: (1) Mov­ points in Georgia, New Jersey, Missis­ Coconino, and Gila Counties, Ariz., to ing on the through bill of lading of a sippi, and Florida, under contract with points in New Mexico, Texas, Oklahoma, forwarder operating under section W. R. Grace & Co. Note: If a hearing and points in San Diego, Los Angeles, 402(b) (2) of the Act; (2) having a prior is deemed necessary, applicant requests Orange, San Bernardino, Riverside, or subsequent line-haul movement by it be held at Miami, Fla., or Washington, Ventura, Santa Barbara, Imperial, and rail, motor, water, or air carrier; and, (3) D.C. Kern Counties, Calif. Note: 3f~a hearing having a prior or subsequent movement No. MC 129455, filed October 9, 1967. is deemed necessary, applicant requests beyond said points in containers. .Note : Applicant: CARRETTA TRUCKING, it be held at Phoenix, Ariz. Common control may be involved. Appli­ INC., 70 Canal Street, Jersey City, N.J. No. MC 129249 (Sub-No. 2), filed Octo­ cant holds contract carrier authority 07302. Applicant’s representative: Robert ber 12, 1967. Applicant: CONWAY under Docket No. MC 127980 (Sub-No. B. Pepper, 297 Academy Street, Jersey GUITEAU, doing business as CONWAY 1), therefore, dual operations may be City, N.J. 07306. Authority sought to op^- GUITEAU LUMBER CO., Post Office involved. If a hearing is deemed neces­ erate as a contract carrier, by motor ve­ Box 818, Amite, La. 70422. Applicant’s sary, applicant requests it be held at hicle, over irregular routes, transporting: representative: Burrell J. Carter, Post Washington, D.C. (1) Swimming pools including parts Office Box 97, Greensburg, La. 70441. No. MC 129439, filed October 9, 1967. thereof, garden sheds and radiator en­ Authority sought to operate as a contract Applicant: BRITO SHIPPING CORP., closures, from the plantsite of Quaker carrier, by motor vehicle, over irregular 19 Tomkins Avenue, Brooklyn, N.Y. City Industries, Carlstadt, N.J., to points routes, transporting: Lumber, from Pine 11206. Applicant’s representative: Max in Arkansas, California, Georgia, Illinois, Grove, La., to Baton Rouge, La., under Silberberg, 269-08 79th Avenue, New Indiana, Kentucky, Massachusetts, Mich­ contract with Edward Hines Lumber Co., Hyde Park, Queens, N.Y. Authority igan, Minnesota, Missouri, New York, of Louisiana. Note: Applicant states the sought to operate as a common carrier, North Carolina, Ohio, Oklahoma, Penn­ commodity specified above will have a by motor vehicle, over regular routes, sylvania, South Carolina, Virginia, and subsequent movement by barge to points transporting: Household goods and fur­ Washington, D.C., (2) redwood lumber, outside of Louisiana. If a hearing is nishings, and personal effects between from Fortuna, Calif., to the plantsite of deemed necessary, applicant requests it points within the New York, N.Y., com­ Quaker City Industries, Carlstadt, N.J., be held at Amite, Hammond, Baton mercial zone. Note: If a hearing is and (3) materials and supplies used in Rouge, or New Orleans, La. deemed necessary, applicant requests it the manufacture of swimming pools and No. MC 129365, filed August 28, 1967. be held at New York, N.Y. garden sheds, from St. Louis, Mo., and Applicant: E. J. DICKIE TRUCKING No. MC 129441, filed October 5, 1967. Bakerstown, Pa., to the plantsite of COMPANY, a corporation, Bagdad, Ariz. Applicant: EL FARO SHIPPING CO., Quaker Industries, Carlstadt, N.J., under Applicant’s representative: Richard INC., 100 Scholes Street, Brooklyn 6, contract with Quaker City Industries, Minne, 609 Luhrs Building, Phoenix, New York, N.Y. Applicant’s representa­ Carlstadt, N.J. Note: If a hearing is Ariz. 85003. Authority sought to operate tive: Harold Mondshein, 152 Manhattan deemed necessary, applicant requests it as a common carrier, by motor vehicle, Avenue, Brooklyn 6, New York, N.Y. Au­ be held at Newark, N.J., or New York, over irregular routes, transporting: (1) thority sought to operate as a common N.Y. General commodities (except those of carrier, by motor vehicle, over irregular unusual Value, classes A and B explo­ Motor Carrier of Passengers sives, and household goods as defined by routes, transporting: Household goods, the Commission), between points in that furnishings, and personal effects, be­ No. MC 128651 (Amendment), filed part of Arizona within a 25-mile radius tween points within the exempt New October 10, 1966, published F ederal of Hillside, Ariz., including Hillside; and York City commercial zone wherein ex­ R egister issue of October 27, 1966, (2) ores, concentrates, mining and mill­ empt operations may be conducted. amended and republished as amended ing supplies, between points in that part Note: If a hearing is deemed necessary, this issue. Applicant: CONTINENTAL of Arizona within a 25-mile radius of applicant requests it be held at New AIR TRANSPORT CO., INC., 300 North Hillside, Ariz., on the one hand, and, York, N.Y. \ Des Plaines Street, Chicago, 111. 60606. on the other, points in Arizona. Note: No. MC 129443, filed October 9, 1967. Applicant’s representative: Eugene L. Applicant states it presently holds con­ Applicant: CARIBE SHIPPING, INC., Cohn, 1 North La Salle Street, Chicago, tract carrier authority under MC 77340 1134 Broadway, Brooklyn, N.Y. 11221. HI. 60602. Authority sought to operate and Sub 1 thereunder, and the authority Applicant’s representative: Max Silber­ as a common carrier, by motor vehicle, sought in (1) above for common carriage berg, 269-08 79th Avenue, New Hyde over regular routes, transporting: Pas­ is duplicated in said contract carrier Park, N.Y. Authority sought to operate sengers and their baggage, in the same authority. Applicant further states that as a common carrier, by motor vehicle, vehicle with passengers, between Mil­ if the authority in the instant applica­ over irregular routes, transporting: waukee, Wis., and Chicago O’Hare tion is granted, the said contract carrier Household goods and furnishings, and International Airport, Chicago, HI., from authority would be canceled. Other dual personal effects, between points within Milwaukee oyer Interstate Highway 94 operations may be involved. If a hearing the New York, N.Y., exempt commercial to junction Interstate Highway 294 (also is deemed necessary, applicant requests zone wherein operations are exempt from from Milwaukee over U.S. Highway 41 it be held at Phoenix, Ariz. economic regulations. Note: If a hearing to junction Interstate Highway 94, No. MC 129437, filed September 29, is deemed necessary, applicant requests thence over Interstate Highway 94 to 1967. Applicant: MONUMENTAL SE­ it be held at New York, N.Y. junction Interstate Highway 294), CURITY STORAGE COMPANY, a cor­ No. MC 129446, filed October 6, 1967. thence over Interstate Highway 294 to poration, 3006 Druid Park Drive, Balti­ Applicant: ROLAND B. NICHOLSON, junction Kennedy Expressway, thence more, Md. 21215. Applicant’s representa­ Post Office Box 60, Route 4, Fort Pierce, over Kennedy Expressway to entrance tive: H. Charles Ephraim, 1411 K Street Fla. 33450. Applicant’s representative: and exit of Chicago O’Hare International NW., Washington, D.C. 20005. Authority Bernard C. Pestcoe, 708 City National Airport, and return over the same sought to operate as a common carrier, Bank Building, Miami, Fla. 33130. Au­ routes, serving as intermediate points by motor vehicle, over irregular routes, thority sought to operate as a contract junction Interstate Highway 94, U.S. transporting: Used household goods, be­ carrier, by motor vehicle, over irregular Highway 41 and Wisconsin Highway 20, tween points in the District of Columbia, routes, transporting: Insecticides, fungi­ approximately 6 miles west of Racine, Delaware, those in Maryland and Vir­ cides, pesticides, weed killers, fertilizer, Wis., and junction Interstate Highway ginia on the Delmarva Peninsula, and diluents and conditioners, emulsifier and 94, U.S. Highway 41 and Wisconsin points in Baltimore City and Baltimore, wetting agents, between the plantsite Highway 50, approximately 4 miles west Harford, Caroline, Frederick, Howard, and facilities of W. R. Grace & Co. at or of Kenosha, Wis. Note: The purpose of Montgomery, Prince Georges, Charles, near Fort Pierce, Fla., on the one hand, this republication is to change an inter-

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 14876 NOTICES mediate point from Wisconsin Highway and U.S. Highway 50 just south of New der section 210a (a) of the Interstate 43 to Wisconsin Highway 50. If a hearing Creek, W. Va., with its existing author­ Commerce Act provided for under the is deemed necessary, applicant requests ity. Applicant is authorized to serve var­ new rules of Ex Parte No. MC 67 (49 it be held at Chicago, 111., or Washington, ious points in 48 contiguous continental CFR Part 340) published in the F ederal D.C. United States under MC 1515 and subs R e g is t e r , issue of April 27,1965, effective thereunder. Further it is also intended July 1, 1965. These rules provide that A pplications i n W h i c h H a n d l in g W i t h ­ that the traffic originating or terminat­ protests to the granting of an applica­ o u t O ral H e a r in g H a s B e e n R e q u e s t e d ing on the proposed route described in tion must be filed with the field official No. MC 19227 (Sub-No. 121), filed paragraph (1) above will be interlined named in the F ederal R e g ist e r publica­ October 12, 1967. Applicant: LEONARD with other carriers at points where appli­ tion, within 15 calendar days after the BROS. TRUCKING CO., INC., 2595 cant presently interlines traffic with such date of notice of the filing of the applica­ Northwest 20th Street, Miami, Fla. 33152. carriers. N o t e : The purpose of this re­ tion is published in the F ed e r a l R e g is t e r . Applicant’s representatives: J. Fred publication is to clarify No. (2) above. One copy of such protest must be served Dewhurst, Post Office Box 602, Biscayne By the Commission. on the applicant, or its authorized rep­ Annex, Miami, Fla. and Armlon Leonard resentative, if any, and the protests must (same address as applicant). Authority [ s e a l ] H . N e i l G a r s o n , certify that such service has been made. sought to operate as a common carrier, Secretary. The protest must be specific as to the by motor vehicle, over irregular routes, [F.R. Doc. 67-12576; Filed, Oct. 25, 1967; service which such protestant can and transporting: Refuse, trash, and waste 8:45 a.m .} will offer, and must consist of a signed disposal and handling equipment, be­ original and six copies. tween Sun Valley and Pico Rivera, A copy of the application is on file, Calif., on the one hand, and, on the FOURTH SECTION APPLICATIONS and can be examined at the Office of the other, points in Maryland, the District FOR RELIEF Secretary, Interstate Commerce Com­ of Columbia, Pennsylvania, Delaware, O c t o b e r 23,1967. mission, Washington, D.C., and also in Rhode Island, New York, New Jersey, the field office to which protests are to Connecticut, Massachusetts, New Hamp­ Protests to the granting of an applica­ be transmitted. shire, Vermont, and Maine. tion must be prepared in accordance with No. MC 124530 (Sub-No. 2), filed Rule 1.40 of the general rules of practice M o to r C a r r ie r s o f P r o p e r t y October 9, 1967. Applicant: BELLMAN (49,CFR 1.40) and filed within 15 days No. MC 50493 (Sub-No. 34 TA), filed MILTON LEVINE, 123 Washington from the date of publication of this notice October 17, 1967. Applicant: P.C.M. Street, Biloxi, Miss. 39530. Authority in the F ederal R e g is t e r . TRUCKING, INC., 1063 Main Street, sought to operate as a contract carrier, L o n g - a n d -S h o r t H a u l Orefield, Pa. 18069. Applicant’s repre­ by motor vehicle, over irregular routes, FSA No. 41154—Newsprint paper from sentative: Frank A. Doocey, 527 Hamil­ transporting: Malted beverages and re­ points in Canada to Colorado and Wyo­ ton Street, Allentown, Pa. 18101. Au­ lated advertising material, from New ming points. Filed by Western Trunk thority sought to operate as a common Orleans, La., to Gulfport, Biloxi, Pasca­ LinerCommittee, agent (No. A-2524), for carrier, by motor vehicle, over irregular goula, and Moss Point, Miss., under interested rail carriers. Rates on news­ routes, transporting: Dry fish scrap, in contract with F.E.B. Distributing Co. print paper, in carloads, from Fort bulk, in tank vehicles with blower dis­ and Bellande Beverage Co. charge unit; from the plants and ware­ Frances, Fort William, Kenora, Port houses of Point Judity By-Products Co. M o to r C a r r ier o f P a s s e n g e r s Arthur, Sioux Lookout, and West Fort William, Ontario, and Pine Falls, Mani­ in Rhode Island; to Shiremanstown, Pa., No. MC 1515 (Sub-No. 118) (Clarifica­ toba, Canada, to points in Colorado and for 150 days. Supporting shipper: The tion) , filed September 18, 1967, published Wyoming. Quaker Oats Co., Merchandise Mart F ed e r a l R e g is t e r issue October 5, 1967, Plaza, Chicago, 111. 60654. Send protests and republished, as clarified this issue. Grounds for relief—Market competi­ to: F. W. Doyle, District Supervisor, 900 Applicant: GREYHOUND LINES, INC., tion. U.S.. Customhouse, Philadelphia, Pa. 1400 West Third Street, Cleveland, Ohio Tariffs—Supplement 158 to Western 19106. 44113. Applicant’s representative: Bar­ Trunk Line Committee, agent, tariff ICC A-4389, and supplement 6 to Canadian No. MC 107515 (Sub-No. 593 TA), filed rett Elkins (same address as applicant). October 17, 1967. Applicant: REFRIG­ Authority sought to operate as a common Pacific Railway tariff ICC W. 1095. FSA No. 41155—Sulphur from Dumas, ERATED TRANSPORT CO., INC., carrier, by motor vehicle, over regular Post Office Box 10799, Station A, 3901 and irregular routes, transporting: Pas­ Tex., and points in New Mexico. Filed by Southwestern Freight Bureau, agent (No. Jonesboro Road SE., Atlanta, Ga. sengers and their baggage, express, mail 30310. Authority sought to operate as and newspapers in the same vehicle with B-9022), for interested rail carriers. a common carrier, by motor vehicle, passengers, (1) regular routes—between Rates on crude, unground and unrefined sulphur, in carloads, minimum 100,000 over irregular routes, transporting: the junction of U.S. Highway 50 and Dry gum shellac or dry bleached West Virginia Highway 7 and the junc­ pounds, from Dumas, Tex., Artesia, Carlsbad and Lakewood, N. Mex., to shellac in vehicles equipped with me­ tion of U.S. Highway 50 and U.S. High­ chanical refrigeration from Savannah, way 220, from the junction of U.S. High­ points in official territory. Grounds for relief—Market competi­ Ga., to Jacksonville, Pensacola, and Tam­ way 50 and West Virginia Highway 7 pa, Fla., and Dallas, Tex., for 180 days. near Ridgeville, W. Va„ over West Vir­ tion. Tariff—Supplement 21 to Southwest­ Supporting shipper: Gillespie-Rogers- ginia Highway 7 tp junction U.S. High­ Pyatt Co., Inc., 40 Wall Street, New York, way 220, thence over U.S. Highway 220 ern Freight Bureau, agent, tariff ICC 4713. N.Y. 10005. Send protests to: William L. to Keyser, W. Va., thence over U.S. High­ Scroggs, District Supervisor, Interstate way 220 to junction U.S. Highway 220 By the Commission. Commerce Commission, Bureau of Opera­ and U.S Highway 50 just south of New [ s e a l ] H . N e il G a r s o n , tions, Room 309, 1252- West Peachtree Creek, W. Va., and return over the same Secretary. Street NW., Atlanta, Ga. 30309. route, serving all intermediate points, No. MC 114211 (Sub-No. 109 TA), filed and (2) irregular routes—in round-trip [F.R. Doc. 67-12647; Filed, Oct. 25, 1967; October 17, 1967. Applicant: WARREN charter operations, beginning, and end­ 8 :48 a.m .] TRANSPORT, INC., Post Office Box 420, ing at points on the routes specified in 213 Witry Street, Waterloo, Iowa 50704. (1) above, and extending to points in [Notice 479] Applicant’s representative: John E. the United States, including Alaska but MOTOR CARRIER TEMPORARY Wareen (same address as above). Au­ excluding Hawaii. N o t e : Applicant in­ AUTHORITY APPLICATIONS thority sought to operate as a common tends to tack the proposed authority at carrier, by motor vehicle, over irregular the junction of U.S. Highway 50 and October 23,1967. routes, transporting: (1) Tractors (not West Virginia Highway 7 near Ridgeville, The following are notices of filing of including tractors with vehicle beds, bed W. Va., and junction U.S. Highway 220 applications for temporary authority un­ frames, or fifth wheels), (2) agricultural

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 NOTICES 14877 machinery and implements, (3) indus­ alcohol, dry, in bulk and in bags, from modities described above (except trailers trial and construction machinery and Charleston» S.C., to Marietta, Ga., and designed to be drawn by passenger au­ equipment, (4) equipment designed for points in North Carolina and South Car­ tomobiles, (5-) attachments for the com­ use in connection with tractors, (5) olina; and from Marietta, Ga., to points modities described above, (6) internal trailers designed for the transportation in North Carolina and South Carolina, combustion engines, and (7) parts and of commodities described above (other for 180 days. Supporting shipper: North accessories of the commodities described than those designed to be drawn by Chemical Co., Inc., Post Office Box 760, (1) through (6) above when moving in passenger automobiles); (6) attachments Marietta,, Ga. 30061. Send protests to: mixed loads with such commodities; for the commodities described above, (7) William L. Scroggs, District Supervisor, from the plant and warehouse sites of internal combustion engines,' and (8) Interstate Commerce Commission, Bu­ Massey-Ferguson, Inc., at or near Cuya­ parts and accessories of the commodities reau of Operations, Room 309,1252 West hoga Falls, Ohio, to points in Alabama, described in (1) through (7) above when Peachtree Street NW., Atlanta, Ga. Arkansas, Connecticut, Delaware, Flor­ moving in mixed losCds with such com­ 30309. ida, Georgia, Illinois, Indiana, Iowa, Kan­ modities; from, Cuyahoga Falls, Ohio to No. MC 118808 (Sub-No. 8 TA), filed sas, Kentucky, Louisiana, Maine, Mary­ points in the United States (except October 17, 1967. Applicant: ABC EX­ land, Massachusetts, Michigan, Minne­ Washington, Oregon, California, Nevada, PRESS COMPANY, Fifth Street and sota, Mississippi, Missouri, Nebraska, Idaho, Utah, Arizona, Montana, Wyo­ Columbia Avenue, Philadelphia, Pa. New Hampshire, New Jersey, New York, ming, Colorado, New Mexico, Hawaii, and 19122. Applicant’s representative: An­ North Carolina, North Dakota, Ohio, Alaska), for 180 days. Supporting ship­ thony C. Vance, 2001 Massachusetts Ave­ Oklahoma, Pennsylvania, Rhode Island, per: Massey-Ferguson, Inc., 1901 Bell nue NW., Washington, D.C. 20036. Au­ South Carolina, South Dakota, Tennes­ Avenue, Des Moines, Iowa 50315. Send thority sought to operate as a contract see, Texas, Vermont, Virginia, West Vir­ protests to: Chas. C. Biggers, District carrier, by motor vehicle, over irregular ginia, and Wisconsin, for 180 days. Sup­ Supervisor, Interstate Commerce Com­ routes, transporting: Such commodities, porting shipper: Massey-Ferguson, Inc., mission, Bureau of Operations, 332 Fed­ as are dealt in by department stores; 1901 Bell Avenue, Des Moines, ’ Iowa eral Building, Fourth and Perry Streets, between Rutherford, N.J., on the one 50315 (R. E. Kidder, Vice President, Davenport, Iowa 52801. hand, and, on the other, St. Davids, Pa., Manufacturing). Send protests to: Dis­ No. MC 115311 (Sub-No. 73 TA), filed and points within 35 miles of the latter; trict Supervisor Lyle D. Heifer, Inter­ October 17, 1967. Applicant: J & M between St. Davids, Pa., and points in state Commerce Commission, Bureau of TRANSPORTATION CO., INC., Post Maryland, New Jersey, and Delaware Operations, 135 West Wells Street, Room Office Box 488, Milledgeville, Ga. 31061. within 35 miles of St. Davids, Pa.; re­ 807, Milwaukee, Wis. 53203. Applicant’s representative: Bill R. Davis, stricted to transportation service to be No. MC 126736 (Sub-No! 55 TA), filed Suite 1600, First Federal Building, At­ performed under a continuing contract October 17, 1967. Applicant: PETRO­ lanta, Ga. 30303. Authority sought to with B. Altman & Co., for 180 days. Sup­ LEUM CARRIER CORPORATION OF operate as a common carrier, by motor porting shipper: B. Altman & Co., 361 FLORIDA', Post Office Box 5809, 369 vehicle, over irregular routes, transport­ Fifth Avenue, New York, N.Y. Send pro­ Margaret Street, Jacksonville, Fla. 32207. ing: Dry corn sugar, in bulk, restricted tests to: Ross A. Davis, District Super­ Authority sought to operóte as a common to traffic having a prior movement by visor, Interstate Commerce Commission, carrier, by motor vehicle, over irregular rail, from Atlanta, Ga., to points in Bureau of Operations, 900 U.S. Custom­ routes, transporting: Ammonium lig- Georgia, North Carolina, and Alabama, house, Second and Chestnut Streets, nosulphanate, in bulk, in tank vehicles, for 180 days. Supporting shipper: Mr. R. Philadelphia, Pa. 19106. from plant or mill site of Rayonier, Inc., V. Haugen, Assistant Traffic Manager, Femandina Beach, Fla., to plant or mill Corn Products Co:, 101 South Wacker No. MC 123048 (Sub-No. 107 TA), filed Drive, Chicago, 111. 60606. Send protests October 17, 1967. Applicant: DIAMOND site of Rayonier, Inc., Doctortown, Ga., to: William L. Scroggs, District Super­ TRANSPORTATION SYSTEM, INC., for 180 days. Supporting shipper: Ray­ visor, Interstate Commerce Commission, 1919 Hamilton Avenue, Post Office Box onier, Inc., 161 East 42d Street, New York, Bureau of Operations, Room 309, 1252 A, Racine, Wis. 53401, Racine, Wis. 53403. N.Y. 10017. Send protests to: District West Peachtree Street NW., Atlanta, Ga. Applicant’s representative: C. Ernest Supervisor, G. H. Fauss, Jr., Bureau of 30309 Carter (same address as above). Author­ Operations, Interstate Commerce Com­ No. MC 115311 (Sub-No. 74 TA), filed ity sought to operate as a common car­ October 17, 1967. Applicant: J & M rier, by motor vehicle, over irregular mission, 400 West Bay Street, Jackson­ TRANSPORTATION CO., INC., Post routes, transporting: (1) Tractors (ex­ ville, Fla.32202. Office Box 488, Milledgeville, Ga. 31061. cept tractors with vehicle beds, bed By the Commission. Applicant’s representative: Bill R. Davis, frames, or fifth wheels), (2) industrial 1600 First Federal Building, Atlanta, Ga. and construction machinery and equip­ [seal] H. Neil G arson, 30303. Authority sought to operate as a ment, (3) equipment designed for use in Secretary. common carrier, by motor vehicle, over connection with tractors, (4) trailers de­ [F.R. Doc. 67-12648; Filed, Oct. 25, 1967; irregular routes, transporting: Polyvinyl signed for the transportation of the com­ 8:48 a.m.]

CUMULATIVE LIST OF PARTS AFFECTED— OCTOBER The following numerical guide is a list of the parts of each title of the Code of Federal Regulations affected by documents published to date during October. 3 CFR Page 3 CFR—Continued Page 5 CFR—Continued Page P roclamations: E x e c u t iv e O rde r s— Continued 302______13752 3810 ______13799 11374 ______14199 305______13752 3811 ______1______13853 11375 ______14303 335______13754 3812 _____ 14015 11376 ______14545 752______13754 3813 _ 14089 ' 11377___ 14725 771______13754 3814 ______14193 891____*______14363 3815 ______14195 5 CFR 2000___ :______14547 3816 ______14197 212 ______13752 7 CFR Executive Orders: 213 ______t ____ 13752, 68______14632 10946 (revoked by EO 11374) _ 14199 13754, 13855, 13909, 14017, 14201, 401 _ 14091-14096, 14147-14149, 14305 11246 (amended by EO 11375) _ 14303 14685. 402 ______14150

FEDERAL REGISTER, VOL. 32, NO. 208— THURSDAY, OCTOBER 26, 1967 No. 208- -9 14878 FEDERAL REGISTER

7 CFR— Continued P age 8 CFR 14 CFR—Continued Page 403 _*______14150 103______13755 214______13861 404 ___ 14150 212______13755 234______14598 406______:______14150 238______13755, 14274 249______13861 408 ______14150 252______13866 295___ 13862 409 _ 14150 299______13756 298______14320 410 ______14150 316a ______._____ 13756 1200______14648 706______14548 332a______13756, 14274 1207______14648 719______14599 336______13756 P roposed R ules: 722______14267-14269, 14305, 14306 337______13756 21______14106,14775 725______—______14269 343a______14274 27___ i i i f ______14106 777______„__ 14363 499______. 13756, 14274 29______Ji______14106 778 ______14727 39_ 13776, 13807, 14110, 14776, 14777 817______i_____ 14363 9 CFR 847______14017 43______14106 863 ______14096 76______13856 45_____ i ______14106 78______13757 71______13776, 864 ______13801 13820, 13821,13933-13936,14063, 873 ____ Ì______:_ 14737 P r o p o se d R u l e s : 14111,14158, 14333, 14564,14565, 874 ______14306 145 ______14224 14665-14668,14852. 906______„ _ 14309, 14372 146 ______14224 73______13937 908 ______13961,14270,14645 147______14224 909 ______14201 160______14225 9lll3871~ 14106^ 14334~ 14565,’ 14775 910 ___ 13961, 14271, 14310, 14645, 14685 161______14225 121______14334, 14565, 14777 912 ______14645 162_.______14225 127—„ ______14106,14777 913 ____ — ______—i 14271,14646 201______14106 302______14111 915______14310,14548 355.______1469* 925______— ______L 14202 378______14282 926 ______14150 10 CFR 927 ______14151 15 CFR 932______14202 30______13920 4______'tL____ 14017 944______14311 35______14265 210______13765 947 ______- ______13755 230______13765 948 ______13804 12 CFR 373------14213 982______14685,14739 13805 399______14214 987______î______14203 i l ______13962 989_____ 14271 336______13963 16 CFR 1001 ______12804 400______13758 13____ 13766, 14099, 14693, 14818, 14819 1002 _____ 13804 511______14817 15______14323, 14693, 14694 1003 ______^______13804 563______14265 300______14659 1004 ______13804 P r o p o se d R u l e s : 1015 _I______13804 12___1____ 13972 17 CFR 1016 _ 13804 13984 1094______13855 206______240__—______14018, 14322 207______14853 1132_____ 13855 249__ 14018 1421 13805, 13962, 14098, 14151,14272 220______14855 1424______14099 221______14857 335__;______13982 18 CFR 1427______14548 545______14283 P roposed R ules :„ . 1430______14647 561______13983 1464______14203 4______14778 131— _—______14778 1475______„ i ______14372 13 CFR 260___ 14606 1483______14739 105 __ 14383 1831______1______14373 106 ______14759 123_____ 14266 19 CFR P r o p o se d R u l e s : 1 ______— 14100 319______13820 14 CFR 11______13863 730______14331 1______13909 16_—______14204,14205 777______14332 25—______*______13913 P roposed R ules: 911__ 14560 37—______14685,14689 QQ ______13759 10—______13870 915 __ —.______14560,14665 18______— _ 14395 946 ______14605 13856~ 13857~ 1406l", Ï«51, 14311,’ 32______14768 14647,14755,14756. 947 ______— 14560 61______L i______13914,13915 20 CFR 948 ______‘______13820 71______13760, 967______- 14063 13806, 13857, 13915-13917, 13965, 325______—— 13862 982______13870,13933 14061, 14099, 14152-14154, 14207, 984______14227, 14395 14266, 14267, 14311, 14312, 14549, 21 CFR 989__ 14396 14550,14590,14648,14757. 2 ______13807 73______14154, 14207, 14648, 14757 3 ______- _ 14100 1001 ______14502,14771 75______13760,14154 17______13807 1002 _ 14771 91______— 13909, 14312 29______14205 1015______14502,14771 95______13858 42______14551 1040___ ,______14227,14665 97______13761, 120 ______13807, 1067______14278 13909, 13917, 14208, 14313, 14591, 13863, 14022, 14023, 14206, 14323 1120______14773 14758. 121 ______14023, 121______13909, 13913, 14550 14024, 14155, 14324, 14384, 14551, 1126_____ 14774 135______13909 14552,14694. 1131 ______14232, 14851 207—______13860 130—______13807 1132 ______14774 208______—_ 13860 146a______14101 1137______14774 212______13861 191______14025 FEDERAL REGISTER 14879

21 CFR—Continued page 32 CFR—Continued Page 43 CFR—Continued Pag6 P r o p o se d R u l e s : 874 ______13811 P ublic Land Orders—Continued 15______14237 875 ______4290 14821 ______14155 17______14239 882______13811, 14824 4291 ______14155 121______14239, 14403, 14697 901______14762 4292 ______14155 141____ 14239 1606______13811, 14328 4293 ______14156 141a______14239 4294 ______14156 32A CFR 4295 ______14275 4296 ______14276 23 CFR Ch. I (OEP): 4297 ______14276 P r o p o se d R u l e s : DMP 4______14388 4298 _:______14276 255______14278 Ch.X(OIA): 4299— ______14276 Reg. 1— '______13856 4300______14276 24 CFR 33 CFR P roposed R ules: 0______:______13921 23______13972 1 14819 151______—— 14390 1500 ______13808, 14695209______14392 45 CFR 212______14392 1520______13808 35______-_____ 14101 1530______- ______13809 P roposed R ules: 80______14555 82______14775 705______14589 25 CFR 1015______13965 P r o p o se d R u l e s : 35 CFR 221______— 143955 ______13770 46 CFR 9______401______14219 ___ 14104,14220 26 CFR 402______14223 1______14025 36 CFR 403______14223 170______13864 7 ______13812 240______13864 47 CFR 245 ______- ______13864 P roposed R ules: 270______- ______13865 37 CFR 1 _ 13821 296______13865 2 ______13972 400— ______14385 1______13812 1 3 ______:____ 13821 43______14158 P r o p o se d R u l e s : • 38 CFR 1______13773, 14848 73______13776, 13822, 14160, 14605 6 ______13927, 14274 87______14161 8 _____ 13927, 14274 89______13972,14161 29 CFR 13______13771 91______13972, 14161, 14852 8 14387 17______<______13812 93______13972,14161 512 ______14324,14552 95______13972 526______13767, 14157, 14326 3 9 CFR 779______14327 49 CFR 1501 ______14041 Ch. I______13808 1502 ______i______14047 822_____ ;______13869 1 ______14105, 14277 1503 __ 14051 P roposed R ules: 3______14846 224______14851 101.:______14696 P r o po se d R u l e s : 120______13927 524_.______- 14334 232______14851 124______14392 1602__ 14404 195______14156, 14601, 14755 41 CFR 270______13930 30 CFR 5A -8______— 13817 274______14557 40C____ 13809 5A-73______14844 281__ *______14601 6— 6 14695 423______- 14661 7- 1 14844 505___ — ______'______14557 31 CFR 7-4______14845 P roposed R ules : 0 _____ 13767 7-30______14846 90______- ______14599 9-1______14055 152_T______- ______14697 109-1 270______13823 92______14599 ______14765 282______13823 100___ 14274 293J______13821 128______14055 42 CFR 305______13823 202 ______| ______14215 71______(______14057 203 ______14216 360______'______14217 P roposed R ules: 50 CFR 73_1______13773,13775 28______14696 32______13771, 32 CFR 43 CFR 13817-13819, 13867-13869, 13930- 102______14820 P ublic Land Orders: 13932, 13970, 13971, 14060, 14061, 155______14552 14103, 14157, 14206, 14328, 14394, 246 ______14760 1166 (revoked by PLO 4295) — 14275 14558, 14559, 14664, 14696, 14766, 274______14660 2375 (revoked in part by PLO 14767, 14846, 14847. 291__ 14552 4296)______14276 33______13771, 13932, 14767, 14847 706______14388 4214 (corrected by PLO 4294) _ 14156 806______14821 4287 ______14060 P roposed R ules: 842______14824 4288 ______14060 32______13933,14063 845______13810 4289 ______14101 33 ______14063 i®

PUBLIC PAPERS OF THE PRESIDENTS OF THE UNITED STATES

CONTENTS • Messages to the Congress • Public speeches and letters • The President’s news conferences PUBLIC PAPERS OP THE PRESIDENTS • Radio and television reports to OP THE UNITED STATES the American people • Remarks to informal groups

Ctntainhl the Public Messages, Speeches, and PUBLISHED BY Statements of tlx President Office of the Federal Register »091») National Archives and Records •90S I Service General Services Administration

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