12–23–03 Tuesday Vol. 68 No. 246 Dec. 23, 2003

Pages 74161–74466

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1 II Federal Register / Vol. 68, No. 246 / Tuesday, December 23, 2003

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2 III

Contents Federal Register Vol. 68, No. 246

Tuesday, December 23, 2003

Agricultural Marketing Service Education Department NOTICES NOTICES Grants and cooperative agreements; availability, etc.: Agency information collection activities; proposals, Federal-State Marketing Improvement Program, 74204 submissions, and approvals, 74222–74224 Grants and cooperative agreements; availability, etc.: Agriculture Department Teaching American History Program, 74224–74229 See Agricultural Marketing Service See Food Safety and Inspection Service Employment and Training Administration See Forest Service NOTICES Adjustment assistance: Arts and Humanities, National Foundation Advanced Design & Knits, Inc., 74256 See National Foundation on the Arts and the Humanities Alamac American Knits LLC, 74256–74257 Authentic Fitness Corp., 74257 Centers for Disease Control and Prevention Kulicke & Soffa Industries, Inc., 74257 NOTICES Laurie B. Ketchikan, 74257 Agency information collection activities; proposals, Lumenis, 74257 submissions, and approvals, 74241–74242 Nighswonger Contract Cutting, 74257 Snap-Tite, Inc., 74257–74258 SPX, Lindberg Division, 74258 Coast Guard Susan Tendering, 74258 RULES Practice and procedure: Energy Department Civil monetary penalties; inflation adjustment, 74189– See Federal Energy Regulatory Commission 74196 NOTICES PROPOSED RULES Meetings: Reports and guidance documents; availability, etc.: Environmental Management Site-Specific Advisory Port access routes study; approaches to Narragensett and Board— Buzzards Bays, etc., CT, RI and MA, 74199–74201 Fernald Site, OH, 74229 High Energy Physics Advisory Panel, 74229 Commerce Department See Economic Development Administration Environmental Protection Agency See International Trade Administration NOTICES See National Oceanic and Atmospheric Administration Water supply: See National Telecommunications and Information Safe Drinking Water Act— Administration Submetered properties applicability, 74233–74235

Committee for the Implementation of Textile Agreements Executive Office of the President NOTICES See Presidential Documents Cotton, wool, and man-made textiles: Philippines, 74219 Federal Aviation Administration Vietnam, 74219–74220 RULES Airworthiness directives: Consumer Product Safety Commission Airbus, 74161–74164, 74172–74173, 74176–74177 NOTICES Boeing, 74167–74169, 74173–74176 Settlement agreements: Dassault, 74164–74166 The Lifelike Co., 74220–74221 McDonnell Douglas, 74166–74167, 74169–74172

Defense Department Federal Communications Commission PROPOSED RULES RULES Federal Acquisition Regulation (FAR): Frequency allocations and radio treaty matters: Labor standards; contracts involving construction, 74403– World Radiocommunication Conferences concerning 74409 frequency bands above 28 MHz, 74321–74388 NOTICES Radio stations; table of assignments: Military installations inside U.S.; selection criteria for Arkansas, 74197–74198 closure and realignment, 74221–74222 PROPOSED RULES Radio stations; table of assignments: Economic Development Administration Georgia, 74201 NOTICES Texas, 74201–74203 Trade adjustment assistance eligibility determination NOTICES petitions: Agency information collection activities; proposals, Gilmore Valve Co., Ltd., et al, 74207 submissions, and approvals, 74235–74237

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Federal Energy Regulatory Commission Internal Revenue Service NOTICES NOTICES Electric rate and corporate regulation filings: Agency information collection activities; proposals, FPL Energy New Mexico Wind, LLC, et al., 74229–74231 submissions, and approvals, 74290 Sunbury Generation, LLC, et al., 74231–74233 International Trade Administration Federal Motor Carrier Safety Administration NOTICES NOTICES Antidumping: Motor carrier safety standards: Folding gift boxes from— Safety fitness procedures— China, 74207–74208 Safety auditors, investigators, and inspectors; Gray portland cement and clinker from— certification, 74287–74289 Mexico, 74208–74209 Hot-rolled carbon steel flat products from— Federal Reserve System India, 74209–74214 NOTICES Netherlands, 74214–74216 Privacy Act: Silicon metal from— Systems of records, 74237–74241 Brazil, 74216 Applications, hearings, determinations, etc.: Federal Retirement Thrift Investment Board Frostburg State University, 74216–74217 RULES Thrift Savings Plan: International Trade Commission Catch-up contributions by participants age 50 and over, NOTICES and new record keeping system, 74449–74451 Import investigations: Ethyl alcohol for fuel use, 74253 Financial Management Service Prestressed concrete steel wire strand from— See Fiscal Service Various countries, 74253 Fiscal Service Justice Department PROPOSED RULES Marketable book-entry Treasury bills, notes, and bonds: See Juvenile Justice and Delinquency Prevention Office RULES Plain Language Uniform Offering Circular; sale and issue, Federal Employees Liability Reform and Tort Compensation 74293–74320 Act: Food and Drug Administration Suits based on acts or omissions of Federal employees NOTICES and other persons; certification and decertification, Reports and guidance documents; availability, etc.: 74187–74189 Advisory committees; annual reports, 74242 Juvenile Justice and Delinquency Prevention Office Food Safety and Inspection Service NOTICES NOTICES Meetings: Meetings: Juvenile Justice Advisory Committee, 74253–74254 Codex Alimentarius Commission— Meat Hygiene Codex Committee, 74205 Labor Department State of Food Safety Technologies to Enhance Public See Employment and Training Administration Health; new technology, 74205–74206 See Occupational Safety and Health Administration NOTICES Forest Service Agency information collection activities; proposals, NOTICES submissions, and approvals, 74254–74256 Reports and guidance documents; availability, etc.: Forest transportation system analysis; road management Land Management Bureau policy; revisions; correction, 74206 RULES Minerals management: General Services Administration Mining claims or sites, locating, recording, and PROPOSED RULES maintaining; fee requirements; correction, 74196– Federal Acquisition Regulation (FAR): 74197 Labor standards; contracts involving construction, 74403– 74409 Local Television Loan Guarantee Board RULES Health and Human Services Department LOCAL Television Loan Guarantee Program; See Centers for Disease Control and Prevention implementation, 74411–74433 See Food and Drug Administration NOTICES See Health Resources and Services Administration LOCAL Television Loan Guarantee Program; application See National Institutes of Health filing deadline, 74433–74434

Homeland Security Department National Aeronautics and Space Administration See Coast Guard PROPOSED RULES Federal Acquisition Regulation (FAR): Interior Department Labor standards; contracts involving construction, 74403– See Land Management Bureau 74409

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National Foundation on the Arts and the Humanities Presidential Documents NOTICES PROCLAMATIONS Agency information collection activities; proposals, Special observances: submissions, and approvals, 74259–74260 Wright Brothers Day (Proc. 7745), 74463–74464 EXECUTIVE ORDERS National Institutes of Health Defense, Department of; emergency appointment authority NOTICES to the Secretary of Defense (EO 13321), 74465 Inventions, Government-owned; availability for licensing, ADMINISTRATIVE ORDERS 74242–74244 Jerusalem Embassy Act; suspension of funding limitations Meetings: (Presidential Determination No. 2004-12 of December 9, Advisory Committee to Director, 74244 2003), 74459 National Center for Complementary and Alternative Liberia; assistance determination (Presidential Medicine, 74244–74245 Determination No. 2004-11 of December 8, 2003), National Diabetes and Digestive and Kidney Diseases, 74457 74245 Palestinian Authority; imposition and waiver of sanctions National Institute of Allergy and Infectious Diseases, (Presidential Determination No. 2004-14 of December 74247–74251 11, 2003), 74463 National Institute of Child Health and Human Russia; Chemical weapons destruction facility, waiver of Development, 74246–74247 conditions on funds (Presidential Determination No. National Institute of Dental and Craniofacial Research, 2004-10 of December 6, 2003), 74453–74455 74246 National Institute of Environmental Health Sciences, Public Debt Bureau 74247–74249 See Fiscal Service National Institute of General Medical Sciences, 74250 National Institute on Alcohol Abuse and Alcoholism, Research and Special Programs Administration 74250 NOTICES National Library of Medicine, 74251–74252 Pipeline safety: Scientific Review Center, 74252–74253 Advisory bulletins— Supervisory Control and Data Acquisition Systems; National Oceanic and Atmospheric Administration potential service disruptions, 74289–74290 RULES Fishery conservation and management: Securities and Exchange Commission Northeastern United States fisheries— RULES Summer flounder, 74198 Financial reporting matters: NOTICES Staff accounting bulletins; codification update, 74435– Fishery conservation and management: 74448 Northeastern United States fisheries— Securities: Vessel Monitoring Systems, 74217 Cancelled security certificates; processing requirements, Permits: 74389–74402 Exempted fishing, 74217–74218 NOTICES Applications, hearings, determinations, etc.: National Telecommunications and Information American Stock Exchange LLC, 74275 Administration Bio-Imaging Technologies, Inc., 74275–74276 NOTICES DepoMed, Inc., 74276 Frequency assignment coordination web site; establishment, GB Holdings, Inc., et al, 74276–74277 74218–74219 Small Business Administration Nuclear Regulatory Commission NOTICES NOTICES Applications; exemptions, renewals, etc. Environmental statements; availability, etc.: Aspen Ventures III, L.P., 74277 Nuclear Management Co., LLC., 74260–74262 TeleSoft Partners II, SBIC, L.P., 74277 Meetings; Sunshine Act, 74262 Operating licenses, amendments; no significant hazards Social Security Administration considerations; biweekly notices, 74262–74273 RULES Social security benefits: Occupational Safety and Health Administration Federal old age, survivors, and disability insurance— NOTICES Administrative wage garnishment, 74177–74187 Agency information collection activities; proposals, NOTICES submissions, and approvals, 74258–74259 Agency information collection activities; proposals, submissions, and approvals, 74277–74279 Personnel Management Office Social security acquiescence rulings: RULES Blakes v. Barnhart, 74279–74280 Practice and procedure: Debarment and suspension (nonprocurement), 74161 State Department NOTICES NOTICES Excepted service: Art objects; importation for exhibition: Schedules A, B, and C; positions placed or revoked— Annunciation and The Bridge at Courbevoie, 74280– Consolidated listing, 74273–74275 74281

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Beautiful and Gracious Manner: The Art of Parmigianino, Separate Parts In This Issue 74281 Love Letters: Dutch Genre Paintings in the Age of Part II Vermeer, 74281 Treasury Department, Fiscal Service, 74293–74320 Return of the Buddha: The Qingzhou Discoveries, 74281– 74282 Part III Turner and Venice, 74282 Federal Communications Commission, 74321–74388 Foreign terrorists and terrorist organizations; designation: Jarish e-Mohammed et al., 74282 Part IV Lashkar e-Tayyiba et al., 74282 Securities and Exchange Commission, 74389–74402 Grants and cooperative agreements; availability, etc.: Summer Institute for English Languauge Educators from Part V South Africa, 74282–74286 Defense Department; General Services Administration; Meetings: National Aeronautics and Space Administration, Cultural Property Advisory Committee, 74286–74287 74403–74409 Reports and guidance documents; availability, etc.: Alternative Fueled Vehicle Report for Fiscal Year 2003, Part VI 74287 Local Television Loan Guarantee Board, 74411–74434 Textile Agreements Implementation Committee Part VII See Committee for the Implementation of Textile Agreements Securities and Exchange Commission, 74435–74448

Transportation Department Part VIII See Federal Aviation Administration Federal Retirement Thrift Investment Board, 74449–74451 See Federal Motor Carrier Safety Administration See Research and Special Programs Administration Part IX Executive Office of the President, Presidential Documents, Treasury Department 74453–74455, 74457, 74459, 77463–74465 See Fiscal Service See Internal Revenue Service Reader Aids Veterans Affairs Department Consult the Reader Aids section at the end of this issue for NOTICES phone numbers, online resources, finding aids, reminders, Outer burial receptacle; private purchase in lieu of and notice of recently enacted public laws. government-furnished graveliner in VA national To subscribe to the Federal Register Table of Contents cemetery; monetary allowance, 74291 LISTSERV electronic mailing list, go to http:// Privacy Act: listserv.access.gpo.gov and select Online mailing list Computer matching programs, 74291–74292 archives, FEDREGTOC-L, Join or leave the list (or change settings); then follow the instructions.

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CFR PARTS AFFECTED IN THIS ISSUE

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

3 CFR 3838...... 74196 3839...... 74196 Proclamations: 3840...... 74196 7463 (See: EO 3850...... 74196 13321) ...... 74465 7745...... 74463 47 CFR 2...... 74322 Executive Orders: 25...... 74322 13321(See Proc. 73...... 74197 7463) ...... 74465 87...... 74322 Administrative Orders: Proposed Rules: No. 2004-10 of 73 (5 documents) ...... 74201, December 6, 2003 ...... 74455 74202 No. 2004-11 of December 8, 2003 ...... 74457 48 CFR No. 2004-12 of Proposed Rules: December 9, 2003 ...... 74459 22...... 74404 No. 2004-13 of 52...... 74404 December 11, 53...... 74404 2003 ...... 74461 50 CFR 5 CFR 648...... 74198 919...... 74161 970...... 74161 1600...... 74450 1601...... 74450 1603...... 74450 1604...... 74450 1605...... 74450 1606...... 74450 1640...... 74450 1645...... 74450 1650...... 74450 1651...... 74450 1653...... 74450 1655...... 74450 1690...... 74450 7 CFR 2200...... 74412 2201...... 74412 14 CFR 39 (10 documents) ...... 74161, 74163, 74164, 74166, 74167, 74169, 74171, 74172, 74173, 74175 17 CFR 211...... 74436 240...... 74390 20 CFR 404...... 74177 416...... 74177 422...... 74177 28 CFR 15...... 74187 31 CFR Proposed Rules: 356...... 74274 33 CFR 27...... 74189 Proposed Rules: 167...... 74199 43 CFR 3710...... 74196 3730...... 74196 3810...... 74196 3820...... 74196 3830...... 74196 3831...... 74196 3832...... 74196 3833...... 74196 3834...... 74196 3835...... 74196 3836...... 74196 3837...... 74196

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Rules and Regulations Federal Register Vol. 68, No. 246

Tuesday, December 23, 2003

This section of the FEDERAL REGISTER consistent with its general approach in SUMMARY: This amendment supersedes contains regulatory documents having general assigning regulatory part numbers, part an existing airworthiness directive (AD), applicability and legal effect, most of which 970 should be reserved for the joint applicable to certain Airbus Model are keyed to and codified in the Code of DHS/OPM regulations issued under 5 A319, A320, and A321 series airplanes, Federal Regulations, which is published under U.S.C. 9701. OPM expects those that currently requires modifying the 50 titles pursuant to 44 U.S.C. 1510. regulations to be issued early in 2004. fuel pipe couplings and installing The Code of Federal Regulations is sold by Currently, OPM has existing bonding leads in specified locations the Superintendent of Documents. Prices of regulations in part 970 that relate to a within the fuel tank. This amendment new books are listed in the first FEDERAL Governmentwide system for debarment continues to require the modification REGISTER issue of each week. and suspension of certain persons with and installation, but adds new respect to participation in transactions modifications of the bonding leads for under Federal nonprocurement certain airplanes. This amendment also OFFICE OF PERSONNEL programs. With the issuance of this final changes the applicability of the existing MANAGEMENT rule, these debarment and suspension AD. The actions specified by this AD are regulations will be relocated to part 919. intended to prevent ignition sources and 5 CFR Parts 919 and 970 Because the redesignation of part 970 consequent fire/explosion in the fuel RIN 3206–AK30 does not involve rulemaking, the tank. This action is intended to address redesignation changes are final and the identified unsafe condition. Governmentwide Debarment and become effective immediately. DATES: Effective January 27, 2004. The Suspension (Nonprocurement) incorporation by reference of certain List of Subjects in 5 CFR Part 919 publications, as listed in the regulations, AGENCY: Office of Personnel Administrative practice and is approved by the Director of the Management. procedure, Grant programs, Loan Federal Register as of January 27, 2004. ACTION: Final rule. programs. The incorporation by reference of a certain other publication, as listed in the SUMMARY: Office of Personnel Management. The Office of Personnel regulations, was approved previously by Kay Coles James, Management (OPM) is issuing a final the Director of the Federal Register as of rule to redesignate part 970 of title 5 of Director. August 28, 2000 (65 FR 45513, July 24, the Code of Federal Regulations as part 2000). 919. OPM intends to use part 970 in the ■ Accordingly, for the reasons stated in ADDRESSES: The service information near future as the location for new the preamble, OPM amends 5 CFR referenced in this AD may be obtained regulations issued jointly by the chapter I as follows: from Airbus Industrie, 1 Rond Point Department of Homeland Security and PART 970—[REDESIGNATED AS PART Maurice Bellonte, 31707 Blagnac Cedex, OPM, which will establish a new 919] France. This information may be human resources management system examined at the Federal Aviation ■ within DHS. 1. The authority citation for part 970 Administration (FAA), Transport EFFECTIVE DATE: December 23, 2003. continues to read as follows: Airplane Directorate, Rules Docket, FOR FURTHER INFORMATION CONTACT: Authority: Sec. 2455, Pub.L. 103–355, 108 1601 Lind Avenue, SW., Renton, David Cope, Debarring Official, Office of Stat.3327; E.O. 12549, 3 CFR, 1986 Comp., p. Washington; or at the Office of the Inspector General, Office of Personnel 189; E.O. 12689, 3 CFR, 1989 Comp., p. 235. Federal Register, 800 North Capitol Management, by telephone at (202) 606– ■ 2. Part 970 is redesignated as part 919. Street, NW., suite 700, Washington, DC. 2851, by fax at (202) 606–2153, or by e- FOR FURTHER INFORMATION CONTACT: Dan mail at [email protected]. [FR Doc. 03–31576 Filed 12–22–03; 8:45 am] Rodina, Aerospace Engineer, SUPPLEMENTARY INFORMATION: In BILLING CODE 6325–39–P International Branch, ANM–116, FAA, determining the organization of Transport Airplane Directorate, 1601 regulatory parts in title 5 of the Code of Lind Avenue, SW., Renton, Washington Federal Regulations, OPM generally DEPARTMENT OF TRANSPORTATION 98055–4056; telephone (425) 227–2125; assigns part numbers so that they link fax (425) 227–1149. to corresponding statutory sections of Federal Aviation Administration SUPPLEMENTARY INFORMATION: A title 5, United States Code. For example, proposal to amend part 39 of the Federal the leave statutes in 5 U.S.C. chapter 63 14 CFR Part 39 Aviation Regulations (14 CFR part 39) are regulated in 5 CFR part 630. As part [Docket No. 2002–NM–125–AD; Amendment by superseding AD 2000–14–15, of the Homeland Security Act of 2002 39–13387; AD 2003–25–04] amendment 39–11825 (65 FR 45513, (Pub. L. 107–296, November 25, 2002), July 24, 2000), which is applicable to Congress added a new chapter 97 to title RIN 2120–AA64 certain Airbus Model A319, A320, and 5, United States Code. Section 9701 of A321 series airplanes, was published in chapter 97 provides OPM and the Airworthiness Directives; Airbus Model the Federal Register on September 9, Department of Homeland Security A319, A320, and A321 Series Airplanes 2003 (68 FR 53061). The action (DHS) with authority to jointly issue AGENCY: Federal Aviation proposed to require modifying the fuel regulations establishing a new human Administration, DOT. pipe couplings and installing bonding resources management system for DHS leads in specified locations within the ACTION: Final rule. employees. OPM has determined that, fuel tank. The action also adds new

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modifications of the bonding leads, for Cost Impact ‘‘significant rule’’ under DOT certain airplanes, and changes the There are approximately 227 Regulatory Policies and Procedures (44 applicability in the existing AD. airplanes of U.S. registry that will be FR 11034, February 26, 1979); and (3) will not have a significant economic Comments affected by this AD. The actions that are currently impact, positive or negative, on a Interested persons have been afforded required by AD 2000–14–15 take substantial number of small entities an opportunity to participate in the between 20 and 100 work hours per under the criteria of the Regulatory making of this amendment. Due airplane to accomplish, at an average Flexibility Act. A final evaluation has consideration has been given to the labor rate of $65 per work hour. The been prepared for this action and it is comments received. Two commenters cost of required parts is negligible. contained in the Rules Docket. A copy have no objections or comments to the Based on these figures, the cost impact of it may be obtained from the Rules proposed AD. of the currently required actions on U.S. Docket at the location provided under the caption ADDRESSES. Request To Cite Revised Service operators is estimated to be between Information $295,100 and $1,475,500; or between List of Subjects in 14 CFR Part 39 $1,300 and $6,500 per airplane. Two commenters ask that the new Should an operator be required to Air transportation, Aircraft, Aviation requirements section of the proposed accomplish the actions specified in safety, Incorporation by reference, AD be changed to cite Revision 01, Airbus Service Bulletin A320–28–1077, Safety. dated April 26, 2000; Revision 02, dated Revision 01, 02, 03, 04, or 05, it takes Adoption of the Amendment June 28, 2000; and Revision 03, dated approximately 2 work hours per October 3, 2000; of Airbus Service airplane to accomplish, at an average ■ Accordingly, pursuant to the authority Bulletin A320–28–1077; as additional labor rate of $65 per work hour. The delegated to me by the Administrator, sources of service information to use for cost of required parts is negligible. the Federal Aviation Administration accomplishment of the specified Based on these figures, the cost impact amends part 39 of the Federal Aviation actions. One commenter states that of these new actions is estimated to be Regulations (14 CFR part 39) as follows: Revision 04, dated December 14, 2001 $130 per airplane. (cited in the proposed AD for Should an operator be required to PART 39—AIRWORTHINESS accomplishment of certain new actions) accomplish the actions specified in DIRECTIVES specifies that no additional work is Airbus Service Bulletin A320–28–1079, ■ 1. The authority citation for part 39 required on airplanes modified by it takes approximately 6 work hours per continues to read as follows: Revision 01, 02, or 03. airplane to accomplish, at an average The FAA agrees to add Revisions 01, labor rate of $65 per work hour. The Authority: 49 U.S.C. 106(g), 40113, 44701. 02, and 03 of the referenced service cost of required parts is negligible. § 39.13 [Amended] bulletin as additional sources of service Based on these figures, the cost impact information for accomplishment of the of these new actions is estimated to be ■ 2. Section 39.13 is amended by actions required by paragraph (b)(1) of $390 per airplane. removing amendment 39–11825 (65 FR this final rule. Those revisions are The cost impact figures discussed 45513, July 24, 2000), and by adding a acceptable if accomplished before the above are based on assumptions that no new airworthiness directive (AD), effective date of this AD, as the changes operator has yet accomplished any of amendment 39–13387 to read as follows: are mainly editorial changes. the requirements of this AD action, and 2003–25–04 Airbus: Amendment 39–13387. Change to Final Rule that no operator would accomplish Docket 2002–NM–125–AD. Supersedes those actions in the future if this AD AD 2000–14–15, Amendment 39–11825. In paragraph (c)(2) of the proposed were not adopted. The cost impact Applicability: Model A319, A320, and AD, we specified that alternative figures discussed in AD rulemaking A321 series airplanes; certificated in any methods of compliance (AMOC) actions represent only the time category; excluding those on which Airbus approved previously for AD 2000–14– necessary to perform the specific actions Modifications 27150, 27955, and 27472 have 15, were not approved as AMOCs with actually required by the AD. These been installed. this AD. We have changed paragraph figures typically do not include Compliance: Required as indicated, unless (c)(2) to specify that AMOCs approved incidental costs, such as the time accomplished previously. previously are approved as AMOCs with To prevent ignition sources and required to gain access and close up, consequent fire/explosion in the fuel tank, paragraph (a) of this AD. The AMOCs planning time, or time necessitated by accomplish the following: that have been issued are not other administrative actions. authorizing changes per the original Restatement of Requirements of AD 2000– issue of the service bulletin; therefore, Regulatory Impact 14–15 they meet the requirements specified in The regulations adopted herein will Modification and Installation those paragraphs. not have a substantial direct effect on (a) Within 36 months after August 28, 2000 the States, on the relationship between Conclusion (the effective date of AD 2000–14–15, the national government and the States, amendment 39–11825), modify the fuel pipe After careful review of the available or on the distribution of power and couplings and install bonding leads in the data, including the comments noted responsibilities among the various specified locations of the fuel tank, per the above, we have determined that air levels of government. Therefore, it is Accomplishment Instructions of Airbus safety and the public interest require the determined that this final rule does not Service Bulletin A320–28–1077, dated July 9, adoption of the rule with the changes have federalism implications under 1999; Revision 01, dated April 26, 2000; Revision 02, dated June 28, 2000; Revision previously described. We have Executive Order 13132. 03, dated October 3, 2000; Revision 04, dated determined that these changes will For the reasons discussed above, I December 14, 2001; or Revision 05, dated neither increase the economic burden certify that this action (1) is not a August 27, 2002. As of the effective date of on any operator nor increase the scope ‘‘significant regulatory action’’ under this AD, only Revision 01, 02, 03, 04, or 05 of the AD. Executive Order 12866; (2) is not a may be used.

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New Requirements of this AD Director of the Federal Register in accordance action is intended to address the with 5 U.S.C. 552(a) and 1 CFR part 51. identified unsafe condition. Modification and Installation (2) The incorporation by reference of DATES: Effective January 27, 2004. (b) Do the applicable actions required by Airbus Service Bulletin A320–28–1077, paragraphs (b)(1) and (b)(2) of this AD at the dated July 9, 1999, was approved previously The incorporation by reference of times specified. by the Director of the Federal Register as of certain publications listed in the (1) For airplanes on which the actions August 28, 2000 (65 FR 45513, July 24, 2000). regulations is approved by the Director required by paragraph (a) of this AD have (3) Copies may be obtained from Airbus of the Federal Register as of January 27, been done per Airbus Service Bulletin A320– Industrie, 1 Rond Point Maurice Bellonte, 2004. 28–1077, dated July 9, 1999: Within 36 31707 Blagnac Cedex, France. Copies may be ADDRESSES: The service information months after the effective date of this AD, inspected at the FAA, Transport Airplane referenced in this AD may be obtained install an additional bonding lead (including Directorate, 1601 Lind Avenue, SW., Renton, doing an electrical resistance check) by doing Washington; or at the Office of the Federal from Airbus Industrie, 1 Rond Point all the actions per paragraphs 3.B.(3) and 3.C. Register, 800 North Capitol Street, NW., suite Maurice Bellonte, 31707 Blagnac Cedex, of the Accomplishment Instructions of 700, Washington, DC. France. This information may be Airbus Service Bulletin A320–28–1077, Note 1: The subject of this AD is addressed examined at the Federal Aviation Revision 04, dated December 14, 2001; or in French airworthiness directive 2002– Administration (FAA), Transport Revision 05, dated August 27, 2002. 202(B), dated April 17, 2002. Airplane Directorate, Rules Docket, Accomplishment of the actions before the 1601 Lind Avenue, SW., Renton, effective date of this AD per Airbus Service Effective Date Washington; or at the Office of the Bulletin A320–28–1077, Revision 01, dated (e) This amendment becomes effective on Federal Register, 800 North Capitol April 26, 2000; Revision 02, dated June 28, January 27, 2004. 2000; or Revision 03, dated October 3, 2000; Street, NW., suite 700, Washington, DC. is considered acceptable for compliance with Issued in Renton, Washington, on FOR FURTHER INFORMATION CONTACT: Dan the actions required by this paragraph. December 5, 2003. Rodina, Aerospace Engineer, (2) For airplanes on which an additional Kalene C. Yanamura, International Branch, ANM–116, FAA, center fuel tank is installed, as described in Acting Manager, Transport Airplane Transport Airplane Directorate, 1601 Airbus Service Bulletin A320–28–1079, Directorate, Aircraft Certification Service. Lind Avenue, SW., Renton, Washington dated November 30, 1998: Within 20 months [FR Doc. 03–31063 Filed 12–22–03; 8:45 am] 98055–4056; telephone (425) 227–2125; after the effective date of this AD, modify the fax (425) 227–1149. fuel system of the additional center fuel tank BILLING CODE 4910–13–P (including an electrical resistance check) by SUPPLEMENTARY INFORMATION: A doing all the actions per paragraphs 2.A. proposal to amend part 39 of the Federal through 2.E. of the Accomplishment DEPARTMENT OF TRANSPORTATION Aviation Regulations (14 CFR part 39) to Instructions of the service bulletin. include an airworthiness directive (AD) Federal Aviation Administration Alternative Methods of Compliance that is applicable to certain Airbus Model A300 B4–600 series airplanes, (c)(1) In accordance with 14 CFR 39.19, the 14 CFR Part 39 Manager, International Branch, ANM–116, Model A300 B4–600R series airplanes, FAA, Transport Airplane Directorate, is Model A300 C4–605R Variant F [Docket No. 2002–NM–119–AD; Amendment airplanes, and Model A300 F4–605R authorized to approve alternative methods of 39–13392; AD 2003–25–09] compliance for this AD. airplanes, was published in the Federal (2) Alternative methods of compliance, RIN 2120–AA64 Register on September 8, 2003 (68 FR approved previously in accordance with AD 52862). That action proposed to require 2000–14–15, amendment 39–11825, are Airworthiness Directives; Airbus Model modification of certain components of considered to be approved as alternative A300 B4–600 Series Airplanes, Model the 115 Volts Alternating Current (VAC) methods of compliance with paragraph (a) of A300 B4–600R Series Airplanes, Model supply wiring and of the fuel gauging this AD. A300 C4–605R Variant F Airplanes, and system. Incorporation by Reference Model A300 F4–605R Airplanes Comments (d) The actions shall be done in accordance with Airbus Service Bulletin A320–28–1077, AGENCY: Federal Aviation Interested persons have been afforded dated July 9, 1999; Airbus Service Bulletin Administration, DOT. an opportunity to participate in the A320–28–1077, Revision 01, dated April 26, ACTION: Final rule. making of this amendment. Due 2000; Airbus Service Bulletin A320–28–1077, consideration has been given to the Revision 02, dated June 28, 2000; Airbus SUMMARY: This amendment adopts a comments received. The commenter Service Bulletin A320–28–1077, Revision 03, new airworthiness directive (AD), supports the proposed AD. dated October 3, 2000; Airbus Service applicable to certain Airbus Model Bulletin A320–28–1077, Revision 04, dated A300 B4–600 series airplanes, Model Conclusion December 14, 2001; Airbus Service Bulletin A300 B4–600R series airplanes, Model A320–28–1077, Revision 05, dated August After careful review of the available 27, 2002; and Airbus Service Bulletin A320– A300 C4–605R Variant F airplanes, and data, including the comment noted 28–1079, dated November 30, 1998; as Model A300 F4–605R airplanes. This above, the FAA has determined that air applicable. AD requires modification of certain safety and the public interest require the (1) The incorporation by reference of components of the 115 Volts Alternating adoption of the rule as proposed. Airbus Service Bulletin A320–28–1077, Current (VAC) supply wiring and of the Revision 01, dated April 26, 2000; Airbus fuel gauging system. This action is Cost Impact Service Bulletin A320–28–1077, Revision 02, necessary to prevent short circuits The FAA estimates that 70 airplanes dated June 28, 2000; Airbus Service Bulletin between 115 VAC wiring and certain of U.S. registry will be affected by this A320–28–1077, Revision 03, dated October 3, fuel system electrical wire runs with AD, that it will take approximately 29 2000; Airbus Service Bulletin A320–28–1077, Revision 04, dated December 14, 2001; subsequent overheating of the work hours per airplane to accomplish Airbus Service Bulletin A320–28–1077, cadensicon sensor thermistor or fuel the proposed actions, and that the Revision 05, dated August 27, 2002; and level sensor, which could be great average labor rate is $65 per work hour. Airbus Service Bulletin A320–28–1079, enough to ignite fuel vapors in the fuel Required parts will cost approximately dated November 30, 1998; is approved by the tank and cause an explosion. This $8,938 per airplane. Based on these

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figures, the cost impact of this AD on § 39.13 [Amended] Issued in Renton, Washington, on U.S. operators is estimated to be December 11, 2003. ■ $757,610, or $10,823 per airplane. 2. Section 39.13 is amended by adding Kevin M. Mullin, the following new airworthiness Acting Manager, Transport Airplane The cost impact figure discussed directive: above is based on assumptions that no Directorate, Aircraft Certification Service. operator has yet accomplished any of 2003–25–09 Airbus: Amendment 39–13392. [FR Doc. 03–31191 Filed 12–22–03; 8:45 am] the requirements of this AD action, and Docket 2002–NM–119–AD. BILLING CODE 4910–13–P that no operator would accomplish Applicability: Model A300 B4–600 series those actions in the future if this AD airplanes, Model A300 B4–600R series were not adopted. The cost impact airplanes, Model A300 C4–605R Variant F DEPARTMENT OF TRANSPORTATION figures discussed in AD rulemaking airplanes, and Model A300 F4–605R airplanes; as listed in Airbus Service Bulletin Federal Aviation Administration actions represent only the time A300–28–6066, dated November 8, 2000; or necessary to perform the specific actions Airbus Service Bulletin A300–28–6070, 14 CFR Part 39 actually required by the AD. These Revision 01, dated March 22, 2002; figures typically do not include certificated in any category. [Docket No. 2001–NM–269–AD; Amendment incidental costs, such as the time Compliance: Required as indicated, unless 39–13395; AD 2003–25–12] required to gain access and close up, accomplished previously. RIN 2120–AA64 planning time, or time necessitated by To prevent short circuits between 115 other administrative actions. Volts Alternating Current (VAC) wiring and Airworthiness Directives; Dassault certain fuel system electrical wire runs with Model Falcon 900 EX and Mystere- Regulatory Impact subsequent overheating of the cadensicon Falcon 900 Series Airplanes sensor thermistor or fuel level sensor, which The regulations adopted herein will could be great enough to ignite fuel vapors AGENCY: Federal Aviation not have a substantial direct effect on in the fuel tank and cause an explosion, Administration, DOT. the States, on the relationship between accomplish the following: ACTION: Final rule. the national government and the States, Modification or on the distribution of power and (a)Within 4,000 flight hours after the SUMMARY: This amendment adopts a responsibilities among the various effective date of this AD, modify elements of new airworthiness directive (AD), levels of government. Therefore, it is the electrical wiring to separate the applicable to certain Dassault Model determined that this final rule does not cadensicon wiring from the 115 VAC wiring, Falcon 900 EX and Mystere-Falcon 900 have federalism implications under in accordance with Airbus Service Bulletin series airplanes. This action requires Executive Order 13132. A300–28–6066, dated November 8, 2000. installing an attachment support (b)Within 4,000 flight hours after the For the reasons discussed above, I effective date of this AD, modify elements of assembly for the fire extinguishing certify that this action (1) is not a the electrical wiring to separate the 115 VAC piping in the baggage compartment. For ‘‘significant regulatory action’’ under supply wiring of the fuel gauging system, in certain airplanes this action also Executive Order 12866; (2) is not a accordance with Airbus Service Bulletin requires modifying the liner panel of the ‘‘significant rule’’ under DOT A300–28–6070, Revision 01, dated March 22, baggage compartment. The actions Regulatory Policies and Procedures (44 2002. specified by this AD are intended to FR 11034, February 26, 1979); and (3) prevent distortion of the fire Alternative Methods of Compliance will not have a significant economic extinguishing discharge nozzle as a impact, positive or negative, on a (c) In accordance with 14 CFR 39.19, the result of the nozzle not being secure, substantial number of small entities Manager, International Branch, ANM–116, which could result in poor diffusion of under the criteria of the Regulatory FAA, Transport Airplane Directorate, is the fire extinguishing agent in the event authorized to approve alternative methods of Flexibility Act. A final evaluation has compliance for this AD. of a fire in the baggage compartment. been prepared for this action and it is This action is intended to address the contained in the Rules Docket. A copy Incorporation by Reference identified unsafe condition. of it may be obtained from the Rules (d) The actions shall be done in accordance DATES: Effective January 27, 2004. Docket at the location provided under with Airbus Service Bulletin A300–28–6066, The incorporation by reference of the caption ADDRESSES. dated November 8, 2000; and Airbus Service certain publications listed in the Bulletin A300–28–6070, Revision 01, dated List of Subjects in 14 CFR Part 39 regulations is approved by the Director March 22, 2002. This incorporation by of the Federal Register as of January 27, reference was approved by the Director of the Air transportation, Aircraft, Aviation Federal Register in accordance with 5 U.S.C. 2004. safety, Incorporation by reference, 552(a) and 1 CFR part 51. Copies may be ADDRESSES: The service information Safety. obtained from Airbus Industrie, 1 Rond Point referenced in this AD may be obtained Adoption of the Amendment Maurice Bellonte, 31707 Blagnac Cedex, from Dassault Falcon Jet, P.O. Box 2000, France. Copies may be inspected at the FAA, South Hackensack, New Jersey 07606. ■ Accordingly, pursuant to the authority Transport Airplane Directorate, 1601 Lind This information may be examined at delegated to me by the Administrator, Avenue, SW., Renton, Washington; or at the the Federal Aviation Administration Office of the Federal Register, 800 North the Federal Aviation Administration (FAA), Transport Airplane Directorate, Capitol Street, NW., suite 700, Washington, 1601 Lind Avenue, SW., Renton, amends part 39 of the Federal Aviation DC. Regulations (14 CFR part 39) as follows: Washington; or at the Office of the Note 1: The subject of this AD is addressed Federal Register, 800 North Capitol PART 39—AIRWORTHINESS in French airworthiness directives 2002– Street, NW., Suite 700, Washington, DC. 172(B) and 2002–171(B), both dated April 3, DIRECTIVES 2002. FOR FURTHER INFORMATION CONTACT: Dan Rodina, Aerospace Engineer, ■ 1. The authority citation for part 39 Effective Date International Branch, ANM–116, FAA, continues to read as follows: (e) This amendment becomes effective on Transport Airplane Directorate, 1601 Authority: 49 U.S.C. 106(g), 40113, 44701. January 27, 2004. Lind Avenue, SW., Renton, Washington

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98055–4056; telephone (425) 227–2125; Based on these figures, the cost impact ‘‘significant rule’’ under DOT fax (425) 227–1149. of this action on U.S. operators is Regulatory Policies and Procedures (44 SUPPLEMENTARY INFORMATION: A estimated to be $29,250, or $195 per FR 11034, February 26, 1979); and (3) proposal to amend part 39 of the Federal airplane. will not have a significant economic Aviation Regulations (14 CFR part 39) to If required, the panel modification impact, positive or negative, on a include an airworthiness directive (AD) takes about 4 work hours per airplane, substantial number of small entities that is applicable to certain Dassault at an average labor rate of $65 per work under the criteria of the Regulatory Model Falcon 900 EX and Mystere- hour. Based on these figures, the cost Flexibility Act. A final evaluation has Falcon 900 series airplanes was impact of the proposed panel been prepared for this action and it is published as a supplemental notice of modification is estimated to be $260 per contained in the Rules Docket. A copy proposed rulemaking (NPRM) in the airplane. of it may be obtained from the Rules Federal Register on September 19, 2003 The cost impact figures discussed Docket at the location provided under (68 FR 54866). The action proposed to above are based on assumptions that no the caption ADDRESSES. operator has yet accomplished any of require installing an attachment support List of Subjects in 14 CFR Part 39 assembly for the fire extinguishing the proposed requirements of this AD piping in the baggage compartment. action, and that no operator would Air transportation, Aircraft, Aviation That action also proposed to require accomplish those actions in the future if safety, Incorporation by reference, modification of the liner panel of the this AD were not adopted. The cost Safety. baggage compartment for certain impact figures discussed in AD Adoption of the Amendment airplanes. rulemaking actions represent only the time necessary to perform the specific ■ Comments actions actually required by the AD. Accordingly, pursuant to the authority delegated to me by the Administrator, Interested persons have been afforded These figures typically do not include the Federal Aviation Administration an opportunity to participate in the incidental costs, such as the time amends part 39 of the Federal Aviation making of this amendment. No required to gain access and close up, Regulations (14 CFR part 39) as follows: comments were submitted in response planning time, or time necessitated by to the supplemental NPRM or the FAA’s other administrative actions. PART 39—AIRWORTHINESS determination of the cost to the public. Regulatory Impact DIRECTIVES Conclusion The regulations adopted herein will ■ 1. The authority citation for part 39 The FAA has determined that air not have a substantial direct effect on continues to read as follows: safety and the public interest require the the States, on the relationship between adoption of the rule as proposed in the the national government and the States, Authority: 49 U.S.C. 106(g), 40113, 44701. supplemental NPRM. or on the distribution of power and § 39.13 [Amended] responsibilities among the various Cost Impact levels of government. Therefore, it is ■ 2. Section 39.13 is amended by adding We estimate that 150 airplanes of U.S. determined that this final rule does not the following new airworthiness registry are affected by this AD. have federalism implications under directive: It takes about 3 work hours per Executive Order 13132. 2003–25–12 Dassault Aviation: airplane to install the support assembly, For the reasons discussed above, I Amendment 39–13395. Docket 2001– at an average labor rate of $65 per work certify that this action (1) is not a NM–269–AD. hour. Required parts are provided by the ‘‘significant regulatory action’’ under Applicability: The following airplanes, manufacturer at no cost to the operators. Executive Order 12866; (2) is not a certificated in any category:

TABLE—APPLICABILITY

Which cor- Excluding airplanes modified in accordance with responds to Model— Dassault Service Bulletin— Dassault Modification—

Mystere-Falcon 900 series airplanes ...... F900–279, dated June 7, 2001 ...... M3368. or F900–279, Revision 1, dated May 15, 2002 ...... M3368 and M874. Falcon 900EX series airplanes ...... F900EX—142, dated June 7, 2001 ...... F900EX M3368.

Compliance: Required as indicated, unless the baggage compartment, in accordance with the baggage compartment for airplanes accomplished previously. the following service information, as having serial numbers 1 through 59 To prevent distortion of the fire applicable: inclusive, with the nozzle directed extinguishing discharge nozzle as a result of (1) For Model Falcon 900 EX series downward. the nozzle not being secure, which could airplanes: Paragraphs 2.A. through 2.C. of the result in poor diffusion of the fire Accomplishment Instructions of Dassault Alternative Methods of Compliance extinguishing agent in the event of a fire in Service Bulletin F900EX–142, dated June 7, (b) In accordance with 14 CFR 39.19, the the baggage compartment, accomplish the 2001. Manager, International Branch, ANM–116, following: (2) For Model Mystere-Falcon 900 series Transport Airplane Directorate, FAA, is airplanes: Paragraphs 2.A. through 2.D., as authorized to approve alternative methods of Installation applicable, of the Accomplishment compliance for this AD. (a) Within 7 months or 330 flight hours Instructions of Dassault Service Bulletin after the effective date of this AD, whichever F900–279, Revision 1, dated May 15, 2002. Incorporation by Reference comes first, install an attachment support Paragraph 2.B. of this service bulletin (c) The actions shall be done in accordance assembly for the fire extinguishing piping in includes a modification of the liner panel of with Dassault Service Bulletin F900EX–142,

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dated June 7, 2001; and Dassault Service action is intended to address the safety and the public interest require the Bulletin F900–279, Revision 1, dated May 15, identified unsafe condition. adoption of the rule as proposed. 2002; as applicable. This incorporation by reference was approved by the Director of the DATES: Effective January 27, 2004. Cost Impact Federal Register in accordance with 5 U.S.C. The incorporation by reference of 552(a) and 1 CFR part 51. Copies may be certain publications listed in the There are approximately 59 airplanes obtained from Dassault Falcon Jet, P.O. Box regulations is approved by the Director of the affected design in the worldwide 2000, South Hackensack, New Jersey 07606. of the Federal Register as of January 27, fleet. The FAA estimates that 44 Copies may be inspected at the FAA, 2004. airplanes of U.S. registry will be affected Transport Airplane Directorate, 1601 Lind by this AD. ADDRESSES: Avenue, SW., Renton, Washington; or at the The service information It will take approximately 2 to 3 work Office of the Federal Register, 800 North referenced in this AD may be obtained hours per airplane to accomplish the Capitol Street, NW., suite 700, Washington, from Boeing Commercial Aircraft required actions, at an average labor rate DC. Group, Long Beach Division, 3855 of $65 per work hour. Required parts Note 1: The subject of this AD is addressed Lakewood Boulevard, Long Beach, will cost approximately $385 per in French airworthiness directives 2001– California 90846, Attention: Data and airplane. Based on these figures, the cost 192–034(B) R1 and 2002–261(B), both dated Service Management, Dept. C1–L5A May 15, 2002. impact of the AD on U.S. operators is (D800–0024). This information may be estimated to be $22,660 to 25,520, or Effective Date examined at the Federal Aviation $515 to $580 per airplane. Administration (FAA), Transport The cost impact figure discussed (d) This amendment becomes effective on Airplane Directorate, Rules Docket, January 27, 2004. above is based on assumptions that no 1601 Lind Avenue, SW., Renton, operator has yet accomplished any of Issued in Renton, Washington, on Washington; or at the FAA, Los Angeles the requirements of this AD action, and December 11, 2003. Aircraft Certification Office, 3960 that no operator would accomplish Kevin M. Mullin, Paramount Boulevard, Lakewood, those actions in the future if this AD Acting Manager, Transport Airplane California; or at the Office of the Federal were not adopted. The cost impact Directorate, Aircraft Certification Service. Register, 800 North Capitol Street, NW., figures discussed in AD rulemaking [FR Doc. 03–31192 Filed 12–22–03; 8:45 am] suite 700, Washington, DC. actions represent only the time BILLING CODE 4910–13–P FOR FURTHER INFORMATION CONTACT: necessary to perform the specific actions Natalie Phan-Tran, Aerospace Engineer, actually required by the AD. These DEPARTMENT OF TRANSPORTATION Systems and Equipment Branch, ANM– figures typically do not include 130L, FAA, Los Angeles Aircraft incidental costs, such as the time Federal Aviation Administration Certification Office, 3960 Paramount required to gain access and close up, Boulevard, Lakewood, California planning time, or time necessitated by 14 CFR Part 39 90712–4137; telephone (562) 627–5343; other administrative actions. fax (562) 627–5210. Regulatory Impact [Docket No. 2002–NM–08–AD; Amendment SUPPLEMENTARY INFORMATION: A 39–13396; AD 2003–25–13] proposal to amend part 39 of the Federal The regulations adopted herein will Aviation Regulations (14 CFR part 39) to not have a substantial direct effect on RIN 2120–AA64 include an airworthiness directive (AD) the States, on the relationship between the national government and the States, Airworthiness Directives; McDonnell that is applicable to certain McDonnell or on the distribution of power and Douglas Model DC–10–10, DC–10–10F, Douglas Model DC–10 airplanes was responsibilities among the various DC–10–15, DC–10–30, DC–10–30F, DC– published in the Federal Register on levels of government. Therefore, it is 10–30F (KC–10A and KDC–10), DC–10– September 8, 2003 (68 FR 52870). That determined that this final rule does not 40, and DC–10–40F Airplanes action proposed to require a one-time inspection for damage of the power have federalism implications under AGENCY: Federal Aviation feeder cables and surrounding structure, Executive Order 13132. Administration, DOT. and repair if necessary. For certain For the reasons discussed above, I ACTION: Final rule. airplanes, that action proposed to certify that this action (1) is not a require fabricating and installing a ‘‘significant regulatory action’’ under SUMMARY: This amendment adopts a power feeder support bracket assembly Executive Order 12866; (2) is not a new airworthiness directive (AD), and clamps at station Y=595.000, left ‘‘significant rule’’ under DOT applicable to certain McDonnell side. For certain other airplanes, that Regulatory Policies and Procedures (44 Douglas airplanes, that requires a one- action proposed to require installing FR 11034, February 26, 1979); and (3) time inspection for damage of the power two power feeder support brackets and will not have a significant economic feeder cables and surrounding structure, clamps at station Y=606.000, left side. impact, positive or negative, on a and repair if necessary. For certain substantial number of small entities Comments airplanes, this amendment requires under the criteria of the Regulatory fabricating and installing a power feeder Interested persons have been afforded Flexibility Act. A final evaluation has support bracket assembly and clamps at an opportunity to participate in the been prepared for this action and it is station Y=595.000, left side. For certain making of this amendment. Due contained in the Rules Docket. A copy other airplanes, this amendment consideration has been given to the of it may be obtained from the Rules requires installing two power feeder comment received. The commenter Docket at the location provided under support brackets and clamps at station supports the proposal. the caption ADDRESSES. Y=606.000, left side. This action is Conclusion List of Subjects in 14 CFR Part 39 necessary to prevent chafing of the external ground power feeder cables After careful review of the available Air transportation, Aircraft, Aviation against the adjacent structure, which data, including the comment noted safety, Incorporation by reference, could result in arcing and fire. This above, we have determined that air Safety.

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Adoption of the Amendment Instructions of Boeing Alert Service Bulletin DEPARTMENT OF TRANSPORTATION DC10–24A171, Revision 02, dated March 7, ■ Accordingly, pursuant to the authority 2003. Accomplishment of the actions before Federal Aviation Administration delegated to me by the Administrator, the effective date of this AD in accordance the Federal Aviation Administration with Revision 01 of the service bulletin, 14 CFR Part 39 amends part 39 of the Federal Aviation dated November 6, 2002, is also acceptable [Docket No. 2001–NM–180–AD; Amendment Regulations (14 CFR part 39) as follows: for compliance with the requirements of this 39–13394; AD 2003–25–11] paragraph. PART 39—AIRWORTHINESS (1) For Group 1 and Group 3 airplanes: RIN 2120–AA64 DIRECTIVES Fabricate and install a new power feeder ■ 1. The authority citation for part 39 support bracket assembly and clamps at Airworthiness Directives; Boeing continues to read as follows: station Y=595.000, left side. Bracket Model 747–100, 747–100B, 747–100B fabrication and installation done before the SUD, 747–200B, 747–200C, 747–200F, Authority: 49 U.S.C. 106(g), 40113, 44701. effective date of this AD in accordance with 747–300, 747–400, 747SR, and 747SP § 39.13 [Amended] the original issue of the service bulletin, Series Airplanes dated October 18, 2001, is also acceptable for ■ 2. Section 39.13 is amended by adding AGENCY: Federal Aviation the following new airworthiness compliance with the requirements of Administration, DOT. paragraph (b)(1) of this AD. directive: ACTION: (2) For Group 2 airplanes: Install 2 power Final rule. 2003–25–13 McDonnell Douglas: feeder support brackets and clamps at station SUMMARY: This amendment adopts a Amendment 39–13396. Docket 2002– Y=606.000, left side. NM–08–AD. new airworthiness directive (AD), Applicability: Model DC–10–10, DC–10– Alternative Methods of Compliance applicable to certain Boeing airplane models, that requires a one-time 10F, DC–10–15, DC–10–30, DC–10–30F, DC– (c) In accordance with 14 CFR 39.19, the inspection to identify all H–11 steel 10–30F (KC–10A and KDC–10), DC–10–40, Manager, Los Angeles Aircraft Certification bolts installed in the latch fittings of the and DC–10–40F airplanes; certificated in any Office, FAA, is authorized to approve category; as listed in Boeing Alert Service cargo doors, repetitive inspections for alternative methods of compliance for this Bulletin DC10–24A171, Revision 02, dated AD. cracked or broken H–11 steel bolts, and March 7, 2003. follow-on and corrective actions if Compliance: Required as indicated, unless Incorporation by Reference necessary. This amendment also accomplished previously. requires eventual replacement of all H– To prevent chafing of the external ground (d) Unless otherwise specified by this AD, power feeder cables against the adjacent the actions shall be done in accordance with 11 steel bolts in the latch fittings of the structure, which could result in arcing and Boeing Alert Service Bulletin DC10–24A171, cargo doors with Inconel bolts. This fire, accomplish the following: Revision 02, dated March 7, 2003. This action is necessary to prevent broken incorporation by reference was approved by bolts in the latch fittings, which could Inspection the Director of the Federal Register in reduce the capability of the door latch (a) Within 6 months after the effective date accordance with 5 U.S.C. 552(a) and 1 CFR to keep the door closed, and result in of this AD: Perform a general visual part 51. Copies may be obtained from Boeing loss of a cargo door and consequent inspection for damage of the power feeder Commercial Aircraft Group, Long Beach rapid depressurization of the airplane. cables and surrounding structure, in accordance with the Accomplishment Division, 3855 Lakewood Boulevard, Long This action is intended to address the Instructions of Boeing Alert Service Bulletin Beach, California 90846, Attention: Data and identified unsafe condition. DC10–24A171, Revision 02, dated March 7, Service Management, Dept. C1–L5A (D800– DATES: Effective January 27, 2004. 2003. If any damage is found, repair it before 0024). Copies may be inspected at the FAA, The incorporation by reference of further flight in accordance with the service Transport Airplane Directorate, 1601 Lind certain publications listed in the bulletin. Inspections and repairs done before Avenue, SW., Renton, Washington; or at the regulations is approved by the Director the effective date of this AD in accordance FAA, Los Angeles Aircraft Certification of the Federal Register as of January 27, with Revision 01 of the service bulletin, Office, 3960 Paramount Boulevard, 2004. dated November 6, 2002, are also acceptable Lakewood, California; or at the Office of the ADDRESSES: The service information for compliance with the requirements of this Federal Register, 800 North Capitol Street, paragraph. referenced in this AD may be obtained NW., suite 700, Washington, DC. Note 1: For the purposes of this AD, a from Boeing Commercial Airplane general visual inspection is defined as: ‘‘A Effective Date Group, P.O. Box 3707, Seattle, visual examination of an interior or exterior (e) This amendment becomes effective on Washington 98124–2207. This area, installation, or assembly to detect January 27, 2004. information may be examined at the obvious damage, failure, or irregularity. This Federal Aviation Administration (FAA), level of inspection is made from within Issued in Renton, Washington, on Transport Airplane Directorate, Rules touching distance unless otherwise specified. December 11, 2003. Docket, 1601 Lind Avenue, SW., A mirror may be necessary to enhance visual Renton, Washington; or at the Office of access to all exposed surfaces in the Kevin M. Mullin, inspection area. This level of inspection is Acting Manager, Transport Airplane the Federal Register, 800 North Capitol made under normally available lighting Directorate, Aircraft Certification Service. Street, NW., suite 700, Washington, DC. conditions such as daylight, hangar lighting, [FR Doc. 03–31193 Filed 12–22–03; 8:45 am] FOR FURTHER INFORMATION CONTACT: Nick flashlight, or droplight and may require BILLING CODE 4910–13–P Kusz, Aerospace Engineer, Airframe removal or opening of access panels or doors. Branch, ANM–120S, FAA, Seattle Stands, ladders, or platforms may be required Aircraft Certification Office, 1601 Lind to gain proximity to the area being checked.’’ Avenue, SW., Renton, Washington Bracket Installation 98055–4056; telephone (425) 917–6432; fax (425) 917–6590. (b) Within 6 months after the effective date of this AD: Perform the actions specified in SUPPLEMENTARY INFORMATION: A paragraphs (b)(1) and (b)(2) of this AD in proposal to amend part 39 of the Federal accordance with the Accomplishment Aviation Regulations (14 CFR part 39) to

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include an airworthiness directive (AD) or on the distribution of power and Instructions of Boeing Service Bulletin 747– that is applicable to certain Boeing responsibilities among the various 53A2464, Revision 1, dated August 30, 2001. Model 747–100, 747–100B, 747–100B levels of government. Therefore, it is (2) Although the service bulletin SUD, 747–200B, 747–200C, 747–200F, determined that this final rule does not referenced in this AD specifies to submit certain information to the manufacturer, this 747–300, 747–400, 747SR, and 747SP have federalism implications under AD does not include such a requirement. series airplanes was published in the Executive Order 13132. (3) Although the service bulletin specifies Federal Register on August 27, 2003 (68 For the reasons discussed above, I that the actions therein must be FR 51521). That action proposed to certify that this action (1) is not a accomplished prior to or concurrently with require a one-time inspection to identify ‘‘significant regulatory action’’ under the actions in Boeing Alert Service Bulletin all H–11 steel bolts installed in the latch Executive Order 12866; (2) is not a 747–52A2167 and Boeing Service Bulletin fittings of the cargo doors, repetitive ‘‘significant rule’’ under DOT 747–52–2197, this AD does not include such inspections for cracked or broken H–11 Regulatory Policies and Procedures (44 a requirement. AD 80–14–11, amendment 39–3831, already requires accomplishment of steel bolts, and follow-on and corrective FR 11034, February 26, 1979); and (3) Boeing Alert Service Bulletin 747–52A2167, actions if necessary. That action also will not have a significant economic Revision 1, dated March 28, 1980. proposed to require eventual impact, positive or negative, on a (4) Inspections and replacements replacement of all H–11 steel bolts in substantial number of small entities accomplished before the effective date of this the latch fittings of the cargo doors with under the criteria of the Regulatory AD per Boeing Alert Service Bulletin 747– Inconel bolts. Flexibility Act. A final evaluation has 53A2464, dated March 15, 2001, are been prepared for this action and it is considered acceptable for compliance with Comments contained in the Rules Docket. A copy this AD. Interested persons have been afforded of it may be obtained from the Rules Initial Inspection an opportunity to participate in the Docket at the location provided under (b) Within 1 year after the effective date of making of this amendment. No the caption ADDRESSES. this AD: Do a one-time detailed inspection to comments were submitted in response identify all H–11 steel bolts installed in the to the proposal or the FAA’s List of Subjects in 14 CFR Part 39 latch fittings of the main deck side cargo determination of the cost to the public. Air transportation, Aircraft, Aviation door, nose cargo door, and the forward and aft lower lobe cargo doors, as applicable. Do Conclusion safety, Incorporation by reference, Safety. the inspection by checking the bolt part The FAA has determined that air number stamped on the bolt head, or safety and the public interest require the Adoption of the Amendment verifying the bolt is steel by using a magnet, adoption of the rule as proposed. per the service bulletin. If no H–11 steel bolt ■ Accordingly, pursuant to the authority is found, no further action is required by this Cost Impact delegated to me by the Administrator, paragraph. If any H–11 steel bolt is found, do the requirements of paragraph (c) of this AD. There are approximately 566 the Federal Aviation Administration airplanes of the affected design in the amends part 39 of the Federal Aviation Note 1: For the purposes of this AD, a Regulations (14 CFR part 39) as follows: detailed inspection is defined as: ‘‘An worldwide fleet. The FAA estimates that intensive visual examination of a specific 179 airplanes of U.S. registry will be PART 39—AIRWORTHINESS structural area, system, installation, or affected by this AD, that it will take DIRECTIVES assembly to detect damage, failure, or between 2 and 8 work hours per irregularity. Available lighting is normally airplane (depending on the airplane’s ■ 1. The authority citation for part 39 supplemented with a direct source of good configuration) to accomplish the continues to read as follows: lighting at intensity deemed appropriate by the inspector. Inspection aids such as mirror, required inspection, and that the Authority: 49 U.S.C. 106(g), 40113, 44701. average labor rate is $65 per work hour. magnifying lenses, etc., may be used. Surface Based on these figures, the cost impact cleaning and elaborate access procedures § 39.13 [Amended] may be required.’’ of the AD on U.S. operators is estimated ■ 2. Section 39.13 is amended by adding to be between $130 and $520 per Follow-On Inspections/Corrective Actions the following new airworthiness airplane. directive: (c) For any H–11 steel bolt found during The cost impact figures discussed any inspection required by paragraph (b) of above are based on assumptions that no 2003–25–11 Boeing: Amendment 39–13394. this AD: Before further flight, do an operator has yet accomplished any of Docket 2001–NM–180–AD. ultrasonic inspection for cracked or broken the requirements of this AD action, and Applicability: Model 747–100, 747–100B, bolts, or replace the H–11 steel bolt with an that no operator would accomplish 747–100B SUD, 747–200B, 747–200C, 747– Inconel bolt, per the service bulletin. Replace those actions in the future if this AD 200F, 747–300, 747–400, 747SR, and 747SP any cracked or broken bolt with an Inconel were not adopted. The cost impact series airplanes; line numbers 1 through 721 bolt before further flight per the service inclusive, 976, and 982; certificated in any bulletin. Repeat the ultrasonic inspection of figures discussed in AD rulemaking category. remaining H–11 steel bolts in the latch actions represent only the time Compliance: Required as indicated, unless fittings of the main deck side cargo door, necessary to perform the specific actions accomplished previously. nose cargo door, and the forward and aft actually required by the AD. These To prevent bolts from breaking in the latch lower lobe cargo doors, at intervals not to figures typically do not include fittings of the cargo doors, which could exceed 18 months until the terminating incidental costs, such as the time reduce the capability of the door latch to action required by paragraph (d) of this AD required to gain access and close up, keep the door closed, and result in loss of a is done. cargo door and consequent rapid planning time, or time necessitated by Terminating Action other administrative actions. depressurization of the airplane, accomplish the following: (d) Within 6 years after the effective date Regulatory Impact of this AD: Replace, with Inconel bolts, all Service Bulletin References H–11 steel bolts in the latch fittings of the The regulations adopted herein will (a) The following information pertains to main deck side cargo door, nose cargo door, not have a substantial direct effect on the service bulletin referenced in this AD: and the forward and aft lower lobe cargo the States, on the relationship between (1) The term ‘‘service bulletin’’ as used in doors, per the service bulletin. The the national Government and the States, this AD, means the Accomplishment procedures for this replacement include

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performing a detailed inspection of the bolt DEPARTMENT OF TRANSPORTATION Register, 800 North Capitol Street, NW., hole for corrosion; oversizing the bolt hole to suite 700, Washington, DC. remove any corrosion; installing a new bolt, Federal Aviation Administration FOR FURTHER INFORMATION CONTACT: nut, and washers; and applying sealant. Such Brett Portwood, Aerospace Engineer, replacement terminates the repetitive 14 CFR Part 39 Systems and Equipment Branch, ANM– inspections required by paragraph (c) of this 130L, FAA, Transport Airplane AD. If corrosion is found and oversizing the [Docket No. 2001–NM–163–AD; Amendment Directorate, Los Angeles Aircraft bolt hole within the limits specified in the 39–13393; AD 2003–25–10] Certification Office, 3960 Paramount service bulletin is not adequate to remove the RIN 2120–AA64 Boulevard, Lakewood, California corrosion, before further flight, repair in 90712–4137; telephone (562) 627–5350; accordance with a method approved by the Airworthiness Directives; McDonnell fax (562) 627–5210. Manager, Seattle Aircraft Certification Office Douglas Model MD–11 and –11F SUPPLEMENTARY INFORMATION: A (ACO), FAA; or per data meeting the type proposal to amend part 39 of the Federal certification basis of the airplane approved Airplanes Aviation Regulations (14 CFR part 39) by a Boeing Company Designated AGENCY: Federal Aviation by superseding AD 2000–24–12, Engineering Representative who has been Administration, DOT. amendment 39–12019 (65 FR 75615, authorized by the Manager, Seattle ACO, to ACTION: Final rule. December 4, 2000), which is applicable make such findings. For a repair method to to certain McDonnell Douglas Model be approved, the approval must specifically SUMMARY: This amendment supersedes MD–11 series airplanes, was published reference this AD. an existing airworthiness directive (AD), in the Federal Register on July 24, 2003 Parts Installation applicable to certain McDonnell (68 FR 43695). For certain airplanes, the Douglas Model MD–11 series airplanes, (e) As of the effective date of this AD: No action proposed to require revising the that currently requires an inspection to person may install, on any airplane, an H– wire connection stack up of the cable detect chafing or damage of the 11 steel bolt in the latch fittings of the main terminals at the electrical power center deck side cargo door, nose cargo door, or the electrical wires leading to the terminal bays in the center accessory forward and aft lower lobe cargo doors. strips in the center accessory compartment (CAC), as applicable; compartment (CAC) area, and corrective doing a one-time general visual Alternative Methods of Compliance actions if necessary. That AD also inspection of the surrounding structure (f) In accordance with 14 CFR 39.19, the currently requires revising the wire and electrical cables for chafing or Manager, Seattle ACO, is authorized to connection stack up of certain cable damage; replacing terminal strips; approve alternative methods of compliance terminals at the electrical power center removing the applicable nameplate at for this AD. bays in the CAC, and replacing certain the electrical power center bays 1, 2, terminal strips with new strips and and 3 in the CAC; and doing a general Incorporation by Reference removing applicable nameplates at visual inspection of the surrounding (g) Unless otherwise specified in this AD, electrical power center bays. This structure and electrical cables for arcing the actions shall be done in accordance with amendment requires additional actions damage. For certain other airplanes, the Boeing Service Bulletin 747–53A2464, for improving the terminal strips and action also proposed to require Revision 1, dated August 30, 2001. This revises the applicability of the existing relocating the terminal strip, and doing incorporation by reference was approved by AD to include additional airplanes. The a general visual inspection of the the Director of the Federal Register in actions specified by this AD are surrounding structure and electrical accordance with 5 U.S.C. 552(a) and 1 CFR intended to prevent arcing and sparking cables for arcing damage. The action part 51. Copies may be obtained from Boeing damage to the power feeder cables, also proposed to revise the applicability Commercial Airplane Group, P.O. Box 3707, terminal strips, and adjacent structure, of the existing AD to include additional Seattle, Washington 98124–2207. Copies may and consequent smoke and fire in the airplanes. be inspected at the FAA, Transport Airplane CAC. This action is intended to address Directorate, 1601 Lind Avenue, SW., Renton, the identified unsafe condition. Comments Washington; or at the Office of the Federal DATES: Effective January 27, 2004. Interested persons have been afforded Register, 800 North Capitol Street, NW., suite an opportunity to participate in the 700, Washington, DC. The incorporation by reference of certain publications listed in the making of this amendment. No Effective Date regulations is approved by the Director comments were submitted in response to the proposal or the FAA’s (h) This amendment becomes effective on of the Federal Register as of January 27, determination of the cost to the public. January 27, 2004. 2004. Issued in Renton, Washington, on ADDRESSES: The service information Conclusion December 11, 2003. referenced in this AD may be obtained The FAA has determined that air from Boeing Commercial Aircraft Kevin M. Mullin, safety and the public interest require the Group, Long Beach Division, 3855 adoption of the rule as proposed. Acting Manager, Transport Airplane Lakewood Boulevard, Long Beach, Directorate, Aircraft Certification Service. California 90846, Attention: Data and Cost Impact [FR Doc. 03–31195 Filed 12–22–03; 8:45 am] Service Management, Dept. C1–L5A There are approximately 163 BILLING CODE 4910–13–P (D800–0024). This information may be airplanes of the affected design in the examined at the Federal Aviation worldwide fleet. The FAA estimates that Administration (FAA), Transport 73 airplanes of U.S. registry will be Airplane Directorate, Rules Docket, affected by this AD. 1601 Lind Avenue, SW., Renton, The new actions that are required by Washington; or at the FAA, Los Angeles this new AD will take approximately Aircraft Certification Office, 3960 between 1 and 7 work hours per Paramount Boulevard, Lakewood, airplane (depending on airplane California; or at the Office of the Federal configuration) to accomplish, at an

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average labor rate of $65 per work hour. PART 39—AIRWORTHINESS structure and electrical cables for arcing Required parts will cost approximately DIRECTIVES damage, per the service bulletin. Although between $721 and $2,035 per airplane the service bulletin references a reporting ■ (depending on airplane configuration). 1. The authority citation for part 39 requirement, such reporting is not required Based on these figures, the cost impact continues to read as follows: by this AD. of the requirements of this AD on U.S. Authority: 49 U.S.C. 106(g), 40113, 44701. Corrective Action operators is estimated to be between § 39.13 [Amended] (c) If any chafing or damage is detected $786 and $2,490 per airplane during any general visual inspection required (depending on airplane configuration). ■ 2. Section 39.13 is amended by removing amendment 39–12019 (65 FR by this AD, before further flight, repair or The cost impact figures discussed 75615, December 4, 2000), and by adding replace the damaged or chafed component above are based on assumptions that no a new airworthiness directive (AD), with new or serviceable components, per operator has yet accomplished any of amendment 39–13393, to read as Boeing Alert Service Bulletin MD11–24A097, the requirements of this AD action, and follows: Revision 02, dated December 4, 2002; except that no operator would accomplish if the type of structural material that has been those actions in the future if this AD 2003–25–10 McDonnell Douglas: affected is not covered in the Structural were not adopted. The cost impact Amendment 39–13393. Docket 2001– Repair Manual, repair per a method approved NM–163–AD. Supersedes AD 2000–24– by the Manager, Los Angeles Aircraft figures discussed in AD rulemaking 12, Amendment 39–12019. Certification Office (ACO), FAA. In addition, actions represent only the time Applicability: Model MD–11 and MD–11F although the service bulletin references a necessary to perform the specific actions airplanes, as listed in Boeing Alert Service actually required by the AD. These Bulletin MD11–24A097, Revision 02, dated reporting requirement, such reporting is not figures typically do not include December 4, 2002; certificated in any required by this AD. incidental costs, such as the time category. Credit for Earlier Service Bulletins required to gain access and close up, Compliance: Required as indicated, unless (d) Applicable actions specified in this AD planning time, or time necessitated by accomplished previously. accomplished before the effective date of this other administrative actions. To prevent arcing and sparking damage to the power feeder cables, terminal strips, and AD per McDonnell Douglas Alert Service Regulatory Impact adjacent structure, and consequent smoke Bulletin MD11–24A097, dated April 3, 2000; and fire in the center accessory compartment or Revision 01, dated July 12, 2001, are The regulations adopted herein will (CAC), accomplish the following: acceptable for compliance with the not have a substantial direct effect on Revising Wire Connection Stack Up, applicable requirements of this AD. the States, on the relationship between Inspecting, Replacing Terminal Strips, Alternative Methods of Compliance the national Government and the States, Removing the Nameplate, and Relocating or on the distribution of power and Terminal Strips; As Applicable (e) In accordance with 14 CFR 39.19, the Manager, Los Angeles ACO, FAA, is responsibilities among the various (a) For Groups 1 through 6 airplanes as levels of government. Therefore, it is listed in Boeing Alert Service Bulletin authorized to approve alternative methods of determined that this final rule does not MD11–24A097, Revision 02, dated December compliance (AMOCs) for this AD. have federalism implications under 4, 2002: Within 12 months after the effective Incorporation by Reference Executive Order 13132. date of this AD, do the actions specified in paragraphs (a)(1) and (a)(2) of this AD per the (f) Unless otherwise specified by this AD, For the reasons discussed above, I service bulletin. Although the service the actions shall be done in accordance with certify that this action (1) is not a bulletin references a reporting requirement, Boeing Alert Service Bulletin MD11–24A097, ‘‘significant regulatory action’’ under such reporting is not required by this AD. Revision 02, dated December 4, 2002. This Executive Order 12866; (2) is not a (1) Revise the wire connection stack up of incorporation by reference was approved by ‘‘significant rule’’ under DOT the cable terminals at the electrical power the Director of the Federal Register in center bays 1, 2, and 3 in the CAC, as Regulatory Policies and Procedures (44 accordance with 5 U.S.C. 552(a) and 1 CFR applicable, and do a one-time general visual part 51. Copies may be obtained from Boeing FR 11034, February 26, 1979); and (3) inspection of the surrounding structure and Commercial Aircraft Group, Long Beach will not have a significant economic electrical cables for chafing or damage. Division, 3855 Lakewood Boulevard, Long impact, positive or negative, on a Note: For the purposes of this AD, a Beach, California 90846, Attention: Data and substantial number of small entities general visual inspection is defined as ‘‘A Service Management, Dept. C1–L5A (D800– under the criteria of the Regulatory visual examination of an interior or exterior 0024). Copies may be inspected at the FAA, Flexibility Act. A final evaluation has area, installation, or assembly to detect obvious damage, failure, or irregularity. This Transport Airplane Directorate, 1601 Lind been prepared for this action and it is Avenue, SW., Renton, Washington; or at the contained in the Rules Docket. A copy level of inspection is made under normally available lighting conditions such as FAA, Los Angeles Aircraft Certification of it may be obtained from the Rules daylight, hangar lighting, flashlight, or drop- Office, 3960 Paramount Boulevard, Docket at the location provided under light, and may require removal or opening of Lakewood, California; or at the Office of the the caption ADDRESSES. access panels or doors. Stands, ladders, or Federal Register, 800 North Capitol Street, platforms may be required to gain proximity NW., suite 700, Washington, DC. List of Subjects in 14 CFR Part 39 to the area being checked.’’ Effective Date Air transportation, Aircraft, Aviation (2) Replace the terminal strips and remove safety, Incorporation by reference, the applicable nameplate at the electrical (g) This amendment becomes effective on power center bays 1, 2, and 3 in the CAC, and January 27, 2004. Safety. do a general visual inspection of the Issued in Renton, Washington, on Adoption of the Amendment surrounding structure and electrical cables for arcing damage. December 11, 2003. ■ (b) For Group 7 airplanes as listed in Kevin M. Mullin, Accordingly, pursuant to the authority Boeing Alert Service Bulletin MD11–24A097, Acting Manager, Transport Airplane delegated to me by the Administrator, Revision 02, dated December 4, 2002: Within Directorate, Aircraft Certification Service. the Federal Aviation Administration 12 months after the effective date of this AD, amends part 39 of the Federal Aviation relocate the terminal strip, and do a general [FR Doc. 03–31196 Filed 12–22–03; 8:45 am] Regulations (14 CFR part 39) as follows: visual inspection of the surrounding BILLING CODE 4910–13–P

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DEPARTMENT OF TRANSPORTATION Airplane Directorate, Rules Docket, are repeated for the convenience of 1601 Lind Avenue, SW., Renton, affected operators, as follows: Federal Aviation Administration Washington; or at the FAA, Los Angeles It takes approximately 8 work hours Aircraft Certification Office, 3960 per airplane to accomplish the actions 14 CFR Part 39 Paramount Boulevard, Lakewood, currently required by AD 2003–11–15, [Docket No. 2003–NM–169–AD; Amendment California; or at the Office of the Federal at an average labor rate of $65 per work 39–13400; AD 2003–11–15 R1] Register, 800 North Capitol Street, NW., hour. Required parts are provided at no suite 700, Washington, DC. cost to the operator. Based on these RIN 2120–AA64 FOR FURTHER INFORMATION CONTACT: figures, the cost impact of the actions Stephen Kolb, Aerospace Engineer, currently required by AD 2003–11–15 is Airworthiness Directives; McDonnell estimated to be $10,920, or $520 per Douglas Model MD–90–30 Airplanes Propulsion Branch, ANM–140L, FAA, Los Angeles Aircraft Certification airplane. The cost impact figure discussed AGENCY: Federal Aviation Office, 3960 Paramount Boulevard, above is based on assumptions that no Administration, DOT. Lakewood, California 90712–4137; operator has yet accomplished any of ACTION: Final rule. telephone (562) 627–5244; fax (562) the requirements of this AD action, and 627–5210. SUMMARY: This amendment revises an that no operator would accomplish SUPPLEMENTARY INFORMATION: existing airworthiness directive (AD), A those actions in the future if this AD applicable to all McDonnell Douglas proposal to amend part 39 of the Federal were not adopted. The cost impact Model MD–90–30 airplanes, that Aviation Regulations (14 CFR part 39) figures discussed in AD rulemaking currently requires replacing the by revising AD 2003–11–15, amendment actions represent only the time lanyards on the pressure relief door for 39–13174 (68 FR 33355, June 4, 2003), necessary to perform the specific actions the thrust reverser with new, improved which is applicable to all McDonnell actually required by the AD. These lanyards, and doing associated Douglas Model MD–90–30 airplanes, figures typically do not include modifications. The actions specified by was published in the Federal Register incidental costs, such as the time that AD are intended to ensure that the on August 21, 2003 (68 FR 50491). The required to gain access and close up, lanyards on the pressure relief door action proposed to continue to require planning time, or time necessitated by have adequate strength. Lanyards of replacing the lanyards on the pressure other administrative actions. relief door for the thrust reverser with inadequate strength could allow the Regulatory Impact pressure relief door to detach from the new, improved lanyards, and doing thrust reverser in the event that an associated modifications. The action The regulations adopted herein will engine bleed air duct bursts, which also proposed to prohibit installation of not have a substantial direct effect on could result in the detached door certain pressure relief door lanyards. the States, on the relationship between the national Government and the States, striking and damaging the horizontal Comments stabilizer, and consequent reduced or on the distribution of power and Interested persons have been afforded controllability of the airplane. This responsibilities among the various an opportunity to participate in the amendment is prompted by the fact that levels of government. Therefore, it is making of this amendment. No a certain paragraph of the existing AD determined that this final rule does not comments were submitted in response prohibits installation of certain part have federalism implications under to the proposal or the FAA’s numbers of lanyards; the numbers listed Executive Order 13132. determination of the cost to the public. For the reasons discussed above, I in that paragraph correspond to new, certify that this action (1) is not a improved lanyards that are acceptable Conclusion ‘‘significant regulatory action’’ under for installation. This amendment will The FAA has determined that air Executive Order 12866; (2) is not a correct these part numbers to prohibit safety and the public interest require the ‘‘significant rule’’ under DOT installation of suspect lanyards while adoption of the rule as proposed. Regulatory Policies and Procedures (44 allowing installation of the new, FR 11034, February 26, 1979); and (3) improved lanyards. This action is Changes to 14 CFR part 39/Effect on the will not have a significant economic intended to address the identified AD impact, positive or negative, on a unsafe condition. On July 10, 2002, the FAA issued a substantial number of small entities DATES: Effective January 27, 2004. new version of 14 CFR part 39 (67 FR under the criteria of the Regulatory The incorporation by reference of 47997, July 22, 2002), which governs the Flexibility Act. A final evaluation has Boeing Service Bulletin MD90–78–048, FAA’s airworthiness directives system. been prepared for this action and it is dated February 15, 2001, as listed in the The regulation now includes material contained in the Rules Docket. A copy regulations, was approved previously by that relates to altered products, special of it may be obtained from the Rules the Director of the Federal Register as of flight permits, and alternative methods Docket at the location provided under July 9, 2003 (68 FR 33355, June 4, 2003). of compliance (AMOCs). However, for the caption ADDRESSES. ADDRESSES: The service information clarity and consistency in this final rule, referenced in this AD may be obtained we have retained the language of the List of Subjects in 14 CFR Part 39 from Boeing Commercial Aircraft NPRM regarding that material. Air transportation, Aircraft, Aviation Group, Long Beach Division, 3855 safety, Incorporation by reference, Lakewood Boulevard, Long Beach, Cost Impact Safety. California 90846, Attention: Data and There are approximately 110 Adoption of the Amendment Service Management, Dept. C1–L5A airplanes of the affected design in the (D800–0024); and Rohr, Inc., 850 worldwide fleet. The FAA estimates that ■ Accordingly, pursuant to the authority Lagoon Drive, Chula Vista, California 21 airplanes of U.S. registry will be delegated to me by the Administrator, 91910–2098. This information may be affected by this AD. The changes in this the Federal Aviation Administration examined at the Federal Aviation action add no additional economic amends part 39 of the Federal Aviation Administration (FAA), Transport burden. The current costs for this AD Regulations (14 CFR part 39) as follows:

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PART 39—AIRWORTHINESS 2001, for instructions on replacing the DEPARTMENT OF TRANSPORTATION DIRECTIVES lanyards on the pressure relief door for the thrust reverser. Federal Aviation Administration ■ 1. The authority citation for part 39 continues to read as follows: Parts Installation 14 CFR Part 39 (b) After the effective date of this AD, no Authority: 49 U.S.C. 106(g), 40113, 44701. [Docket No. 2002–NM–92–AD; Amendment person may install a lanyard having part 39–13399; AD 2003–26–03] § 39.13 [Amended] number (S700M1392A170) or ■ 2. Section 39.13 is amended by (S700M1392A161) on the pressure relief door RIN 2120–AA64 for the thrust reverser on any airplane. removing amendment 39–13174 (68 FR Airworthiness Directives; Airbus Model 33355, June 4, 2003), and by adding a Alternative Methods of Compliance A319, A320, and A321 Series Airplanes new airworthiness directive (AD), (c) An alternative method of compliance or Equipped With Certain Litton Air Data amendment 39–13400, to read as adjustment of the compliance time that Inertial Reference Units follows: provides an acceptable level of safety may be AGENCY: Federal Aviation 2003–11–15 R1 McDonnell Douglas: used if approved by the Manager, Los Amendment 39–13400. Docket 2003– Angeles Aircraft Certification Office (ACO), Administration, DOT. NM–169–AD. Revises AD 2003–11–15, FAA. Operators shall submit their requests ACTION: Final rule. Amendment 39–13174. through an appropriate FAA Principal SUMMARY: This amendment adopts a Applicability: All Model MD–90–30 Maintenance Inspector, who may add airplanes, certificated in any category. new airworthiness directive (AD), comments and then send it to the Manager, applicable to certain Airbus Model Note 1: This AD applies to each airplane Los Angeles ACO. identified in the preceding applicability A319, A320, and A321 series airplanes provision, regardless of whether it has been Note 3: Information concerning the equipped with certain Litton air data modified, altered, or repaired in the area existence of approved alternative methods of inertial reference units (ADIRU). This subject to the requirements of this AD. For compliance with this AD, if any, may be AD requires modifying the shelf (floor airplanes that have been modified, altered, or obtained from the Los Angeles ACO. panel) above ADIRU 3, and, for certain repaired so that the performance of the Special Flight Permits airplanes, modifying the polycarbonate requirements of this AD is affected, the guard that covers the ADIRUs, and the owner/operator must request approval for an (d) Special flight permits may be issued in ladder located in the avionics alternative method of compliance in accordance with sections 21.197 and 21.199 accordance with paragraph (c) of this AD. compartment, as applicable. This action of the Federal Aviation Regulations (14 CFR is necessary to prevent failure of ADIRU The request should include an assessment of 21.197 and 21.199) to operate the airplane to the effect of the modification, alteration, or 3 during flight, which could result in a location where the requirements of this AD repair on the unsafe condition addressed by loss of one source of critical attitude and this AD; and, if the unsafe condition has not can be accomplished. airspeed data and reduce the ability of been eliminated, the request should include Incorporation by Reference the flightcrew to control the airplane. specific proposed actions to address it. (e) Unless otherwise specified in this AD, This action is intended to address the Compliance: Required as indicated, unless the actions shall be done in accordance with identified unsafe condition. accomplished previously. Boeing Service Bulletin MD90–78–048, dated DATES: Effective January 27, 2004. To ensure that the lanyards on the pressure The incorporation by reference of relief door for the thrust reverser have February 15, 2001. This incorporation by adequate strength so that the door will not reference was approved previously by the certain publications listed in the detach from the thrust reverser in the event Director of the Federal Register as of July 9, regulations is approved by the Director that an engine bleed air duct bursts, which 2003 (68 FR 33355, June 4, 2003). Copies may of the Federal Register as of January 27, could result in the door striking and be obtained from Boeing Commercial Aircraft 2004. damaging the horizontal stabilizer, Group, Long Beach Division, 3855 Lakewood ADDRESSES: The service information accomplish the following: Boulevard, Long Beach, California 90846, referenced in this AD may be obtained Replacement of Lanyards on the Thrust Attention: Data and Service Management, from Airbus, 1 Rond Point Maurice Reverser Pressure Relief Door Dept. C1–L5A (D800–0024). Copies may be Bellonte, 31707 Blagnac Cedex, France. (a) Within 18 months after the effective inspected at the FAA, Transport Airplane This information may be examined at date of the AD, replace the lanyards on the Directorate, 1601 Lind Avenue, SW., Renton, the Federal Aviation Administration pressure relief door for the thrust reverser Washington; or at the FAA, Los Angeles (FAA), Transport Airplane Directorate, with new, improved lanyards, and Aircraft Certification Office, 3960 Paramount Rules Docket, 1601 Lind Avenue, SW., accomplish associated modifications, per the Boulevard, Lakewood, California; or at the Renton, Washington; or at the Office of Accomplishment Instructions of Boeing Office of the Federal Register, 800 North the Federal Register, 800 North Capitol Service Bulletin MD90–78–048, dated Capitol Street, NW., suite 700, Washington, Street, NW., suite 700, Washington, DC. February 15, 2001. The associated DC. modifications include removing the pressure FOR FURTHER INFORMATION CONTACT: Tim relief door, modifying the pressure relief door Effective Date Dulin, Aerospace Engineer, (including replacing existing brackets with (f) This amendment becomes effective on International Branch, ANM–116, FAA, new brackets and re-identifying the door January 27, 2004. Transport Airplane Directorate, 1601 with a new part number), modifying the Lind Avenue, SW., Renton, Washington lower track beam (including removing Issued in Renton, Washington, on 98055–4056; telephone (425) 227–2141; terminals, replacing the aft quick-release pin December 12, 2003. fax (425) 227–1149. with a new pin, and re-identifying the beam Kevin M. Mullin, SUPPLEMENTARY INFORMATION: with a new part number), modifying the heat A shield on the lanyard assembly attach lugs, Acting Manager, Transport Airplane proposal to amend part 39 of the Federal and re-installing the pressure relief door. Directorate, Aircraft Certification Service. Aviation Regulations (14 CFR part 39) to Note 2: Boeing Service Bulletin MD90–78– [FR Doc. 03–31439 Filed 12–22–03; 8:45 am] include an airworthiness directive (AD) 048, dated February 15, 2001, refers to BILLING CODE 4910–13–P that is applicable to certain Airbus International Aero Engines Service Bulletin Model A319, A320, and A321 series V2500–NAC–78–0184, dated February 16, airplanes equipped with certain Litton

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air data inertial reference units (ADIRU) Regulatory Policies and Procedures (44 polycarbonate guard (umbrella) protecting that was published in the Federal FR 11034, February 26, 1979); and (3) the ADIRUs by installing shims between the Register on October 8, 2003 (68 FR will not have a significant economic guard and the shelf support structure. 58050). That action proposed to require impact, positive or negative, on a (3) For airplanes with Airbus Modification 23027P2852 or Airbus Service Bulletin modifying the shelf (floor panel) above substantial number of small entities A320–52–1038 accomplished as of the ADIRU 3, and, for certain airplanes, under the criteria of the Regulatory effective date of this AD: Modify the ladder modifying the polycarbonate guard Flexibility Act. A final evaluation has located in the avionics compartment by which covers the ADIRUs, and the been prepared for this action and it is machining the slot at the foot of the ladder ladder located in the avionics contained in the Rules Docket. A copy to increase the depth by 0.236 inch. compartment, as applicable. of it may be obtained from the Rules Alternative Methods of Compliance Docket at the location provided under Comments (b) In accordance with 14 CFR 39.19, the the caption ADDRESSES. Interested persons have been afforded Manager, International Branch, ANM–116, List of Subjects in 14 CFR Part 39 FAA, Transport Airplane Directorate, is an opportunity to participate in the authorized to approve alternative methods of making of this amendment. No Air transportation, Aircraft, Aviation compliance for this AD. comments were submitted in response safety, Incorporation by reference, to the proposal or the FAA’s Safety. Incorporation by Reference determination of the cost to the public. (c) The actions shall be done in accordance Adoption of the Amendment with Airbus Service Bulletin A320–25–1248, Conclusion ■ Accordingly, pursuant to the authority dated February 16, 2001. This incorporation The FAA has determined that air by reference was approved by the Director of delegated to me by the Administrator, the Federal Register in accordance with 5 safety and the public interest require the the Federal Aviation Administration U.S.C. 552(a) and 1 CFR part 51. Copies may adoption of the rule as proposed. amends part 39 of the Federal Aviation be obtained from Airbus, 1 Rond Point Cost Impact Regulations (14 CFR part 39) as follows: Maurice Bellonte, 31707 Blagnac Cedex, France. Copies may be inspected at the FAA, The FAA estimates that 200 airplanes PART 39—AIRWORTHINESS Transport Airplane Directorate, 1601 Lind of U.S. registry will be affected by this DIRECTIVES Avenue, SW., Renton, Washington; or at the AD, that it will take approximately 4 Office of the Federal Register, 800 North ■ work hours per airplane to accomplish 1. The authority citation for part 39 Capitol Street, NW., suite 700, Washington, the required actions, and that the continues to read as follows: DC. average labor rate is $65 per work hour. Authority: 49 U.S.C. 106(g), 40113, 44701. Note 1: The subject of this AD is addressed Required parts will cost approximately in French airworthiness directive 2002– § 39.13 [Amended] $300 per airplane. Based on these 125(B), dated March 6, 2002. figures, the cost impact of the AD on ■ 2. Section 39.13 is amended by adding U.S. operators is estimated to be the following new airworthiness Effective Date $112,000, or $560 per airplane. directive: (d) This amendment becomes effective on January 27, 2004. The cost impact figure discussed 2003–26–03 Airbus: Amendment 39–13399. above is based on assumptions that no Docket 2002-NM–92–AD. Issued in Renton, Washington, on operator has yet accomplished any of Applicability: Model A319, A320, and December 12, 2003. the requirements of this AD action, and A321 series airplanes; certificated in any Kevin M. Mullin, that no operator would accomplish category; equipped with Litton air data Acting Manager, Transport Airplane those actions in the future if this AD inertial reference units (ADIRU) installed per Directorate, Aircraft Certification Service. were not adopted. The cost impact Airbus Modification 24852, 25108, 25336, [FR Doc. 03–31270 Filed 12–22–03; 8:45 am] 26002, or 28218; except those airplanes on figures discussed in AD rulemaking BILLING CODE 4910–13–P actions represent only the time which Airbus Modification 30650 or 30872 has been accomplished. necessary to perform the specific actions Compliance: Required as indicated, unless actually required by the AD. These accomplished previously. DEPARTMENT OF TRANSPORTATION figures typically do not include To prevent failure of ADIRU 3 during incidental costs, such as the time flight, which could result in loss of one Federal Aviation Administration required to gain access and close up, source of critical attitude and airspeed data planning time, or time necessitated by and reduce the ability of the flightcrew to 14 CFR Part 39 other administrative actions. control the airplane, accomplish the following: [Docket No. 2003–NM–243–AD; Amendment Regulatory Impact 39–13397; AD 2003–26–01] Modification The regulations adopted herein will RIN 2120–AA64 (a) Within 2 years after the effective date not have a substantial direct effect on of this AD: Do the modifications specified in Airworthiness Directives; Boeing the States, on the relationship between paragraphs (a)(1), (a)(2), and (a)(3) of this AD, the national Government and the States, Model 737–100, –200, –200C, –300, as applicable, in accordance with paragraphs –400, and –500 Series Airplanes or on the distribution of power and A. through D. of the Accomplishment responsibilities among the various Instructions of Airbus Service Bulletin A320– AGENCY: Federal Aviation levels of government. Therefore, it is 25–1248, dated February 16, 2001; as Administration, DOT. determined that this final rule does not applicable. (1) For all airplanes: Modify the shelf (floor ACTION: Final rule; request for have federalism implications under comments. Executive Order 13132. panel) above ADIRU 3 by installing shims between the shelf and the webs of the shelf SUMMARY: For the reasons discussed above, I support structure. This amendment adopts a certify that this action (1) is not a (2) For airplanes with Airbus Modification new airworthiness directive (AD) that is ‘‘significant regulatory action’’ under 25900P3941 or Airbus Service Bulletin applicable to all Boeing Model 737–100, Executive Order 12866; (2) is not a A320–25–1200 accomplished as of the –200, –200C, –300, –400, and –500 ‘‘significant rule’’ under DOT effective date of this AD: Modify the series airplanes. This action requires a

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one-time general visual inspection to Washington 98055–4056; telephone service bulletin described previously, identify the material of the rudder (425) 917–6440; fax (425) 917–6590. except as discussed below. assembly, and corrective actions, if SUPPLEMENTARY INFORMATION: The Interim Action necessary. For airplanes with a graphite manufacturer, Boeing, has advised the This is considered to be interim assembly, this action requires repetitive FAA that it received two reports of loose action. We are continuing to investigate general visual inspections of the flange bolts common to the flange of the the cause of the loose flange bolts. Once bolts of the rudder front spar for any rudder front spar and main thrust hinge the cause and final action have been loose bolts, and corrective actions, if and actuator assembly, as well as identified, we may consider further necessary. This action is necessary to auxiliary actuator support fitting, on rulemaking. We are, however, currently detect and correct loose bolts common Boeing Model 737 series airplanes. In considering further rulemaking to to the flange of the rudder front spar and the first case, no additional damage was supersede this AD to require the Stage main thrust hinge and actuator reported. In the second case, the holes 2 and Stage 3 repetitive inspections assembly, as well as the auxiliary common to the flange of the rudder described in the alert service bulletin. actuator support fitting, which could front spar had become elongated and Should we determine that those cause the rudder actuator to separate were repaired using oversized bolts. inspections are necessary, the planned from the rudder during certain flight Boeing has notified us that it has compliance time would allow enough conditions, resulting in loss of rudder received nine additional reports of loose time to provide notice and opportunity control and consequent loss of control flange bolts. In all of the reported cases for prior public comment. of the airplane. This action is intended (including the original two), the rudders to address the identified unsafe had a graphite spar. The airplanes on Differences Between This AD and the condition. which the loose flange bolts were found Alert Service Bulletin DATES: Effective January 7, 2004. had between 7,246 and 45,312 total Operators should note that Boeing The incorporation by reference of flight hours and between 7,846 and Alert Service Bulletin 737–55A1087, certain publications listed in the 35,362 total flight cycles. The cause of dated October 2, 2003, specifies regulations is approved by the Director the loose flange bolts has not yet been inspections in addition to those of the Federal Register as of January 7, determined. required by this AD. As stated above, 2004. Loose bolts common to the flange of this AD does not require the Stage 2 and Comments for inclusion in the Rules the rudder front spar and main thrust Stage 3 repetitive inspections because Docket must be received on or before hinge and actuator assembly, as well as the planned compliance time for those February 23, 2004. the auxiliary actuator support fitting, inspections would allow enough time to could cause the rudder actuator to ADDRESSES: provide notice and opportunity for prior Submit comments in separate from the rudder during certain triplicate to the Federal Aviation public comment. flight conditions. This condition, if not Additionally, for any aluminum/ Administration (FAA), Transport detected and corrected, could result in Airplane Directorate, ANM–114, fiberglass rudder assembly having an loss of rudder control and consequent identification plate indicating a graphite Attention: Rules Docket No. 2003–NM– loss of control of the airplane. 243–AD, 1601 Lind Avenue, SW., assembly, or for any graphite rudder Renton, Washington 98055–4056. Explanation of Relevant Service assembly having an identification plate Comments may be inspected at this Information indicating an aluminum assembly, the location between 9 a.m. and 3 p.m., alert service bulletin specifies to contact The FAA has reviewed and approved Boeing for appropriate action. This AD Monday through Friday, except Federal Boeing Alert Service Bulletin 737– holidays. Comments may be submitted requires operators to contact us, or a 55A1087, dated October 2, 2003, which Boeing Company Designated via fax to (425) 227–1232. Comments describes procedures for performing a may also be sent via the Internet using Engineering Representative who has one-time general visual inspection of been authorized by us to make such the following address: 9-anm- the rudder assembly to determine if an [email protected]. Comments sent findings. aluminum/fiberglass rudder assembly, Although the Work Instructions of the via fax or the Internet must contain or, if a graphite rudder assembly, part alert service bulletin recommend that ‘‘Docket No. 2003–NM–243–AD’’ in the number 65C27234–() or 65C25841–(), is operators report inspection findings of subject line and need not be submitted installed; performing repetitive general any loose flange bolt to the in triplicate. Comments sent via the visual inspections of the flange bolts manufacturer, this AD does not require Internet as attached electronic files must (Stage 1); and corrective actions, if operators to submit those inspection be formatted in Microsoft Word 97 or necessary. The corrective actions findings. 2000 or ASCII text. include retorqueing or replacing the The service information referenced in flange bolts as necessary, and contacting Explanation of Compliance Time for this AD may be obtained from Boeing Boeing for certain conditions. One-time Inspection Commercial Airplane Group, PO Box The alert service bulletin also Operators should note that the 3707, Seattle, Washington 98124–2207. describes additional Stage 2 and Stage 3 compliance time for accomplishment of This information may be examined at repetitive flange bolt inspections for the one-time inspection of the rudder the FAA, Transport Airplane certain airplanes. assembly to identify the material of the Directorate, 1601 Lind Avenue, SW., rudder assembly and front spar and the Renton, Washington; or at the Office of Explanation of the Requirements of the initial Stage 1 repetitive flange bolt the Federal Register, 800 North Capitol Rule inspection required by this AD is 120 Street, NW., suite 700, Washington, DC. Since an unsafe condition has been days after the effective date of this AD. FOR FURTHER INFORMATION CONTACT: identified that is likely to exist or In developing an appropriate Nancy Marsh, Aerospace Engineer, develop on other airplanes of the same compliance time for this AD, we Airframe Branch, ANM–120S, FAA, type design registered in the United considered not only the manufacturer’s Seattle Aircraft Certification Office, States, this AD requires accomplishment recommendation, but also the degree of 1601 Lind Avenue, SW., Renton, of the actions specified in the alert urgency associated with addressing the

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subject unsafe condition, the significant concerned with the substance of this AD Applicability: All Model 737–100, –200, impact on scheduling and cost for the will be filed in the Rules Docket. –200C, –300, –400, and –500 series airplanes, large fleet of airplanes which must be Commenters wishing the FAA to certificated in any category. inspected, and adequate time and acknowledge receipt of their comments Compliance: Required as indicated, unless availability of facilities for safe and submitted in response to this rule must accomplished previously. submit a self-addressed, stamped To detect and correct loose bolts common accurate accomplishment of the to the flange of the rudder front spar and inspection. In light of all of these postcard on which the following main thrust hinge and actuator assembly, as factors, we find a 120-day compliance statement is made: ‘‘Comments to well as the auxiliary actuator support fitting, time for doing the flange bolt inspection Docket Number 2003–NM–243–AD.’’ which could cause the rudder actuator to to be warranted in that it represents an The postcard will be date stamped and separate from the rudder during certain flight appropriate interval of time allowable returned to the commenter. conditions, resulting in loss of rudder control and consequent loss of control of the for affected airplanes to continue to Regulatory Impact operate without compromising safety. airplane; accomplish the following: The regulations adopted herein will One-Time Inspection Determination of Rule’s Effective Date not have a substantial direct effect on the States, on the relationship between (a) For Groups 1, 2 and 3 airplanes, as Since a situation exists that requires listed in Boeing Alert Service Bulletin 737– the immediate adoption of this the national Government and the States, 55A1087, dated October 2, 2003: Within 120 regulation, it is found that notice and or on the distribution of power and days after the effective date of this AD, opportunity for prior public comment responsibilities among the various perform a one-time general visual inspection hereon are impracticable, and that good levels of government. Therefore, it is of the rudder assembly to determine if an cause exists for making this amendment determined that this final rule does not aluminum/fiberglass rudder assembly (Group effective in less than 30 days. have federalism implications under 1 airplanes), or, if a graphite rudder Executive Order 13132. assembly, part number 65C27234–() or Comments Invited The FAA has determined that this 65C25841–() (Group 2 and Group 3 airplanes) Although this action is in the form of regulation is an emergency regulation is installed; per the Work Instructions of a final rule that involves requirements that must be issued immediately to Boeing Alert Service Bulletin 737–55A1087, dated October 2, 2003. affecting flight safety and, thus, was not correct an unsafe condition in aircraft, preceded by notice and an opportunity and that it is not a ‘‘significant Note 1: For the purposes of this AD, a for public comment, comments are regulatory action’’ under Executive general visual inspection is defined as: ‘‘A invited on this rule. Interested persons Order 12866. It has been determined visual examination of an interior or exterior area, installation, or assembly to detect are invited to comment on this rule by further that this action involves an obvious damage, failure, or irregularity. This submitting such written data, views, or emergency regulation under DOT level of inspection is made from within arguments as they may desire. Regulatory Policies and Procedures (44 touching distance unless otherwise specified. Communications shall identify the FR 11034, February 26, 1979). If it is A mirror may be necessary to enhance visual Rules Docket number and be submitted determined that this emergency access to all exposed surfaces in the in triplicate to the address specified regulation otherwise would be inspection area. This level of inspection is under the caption ADDRESSES. All significant under DOT Regulatory made under normally available lighting communications received on or before Policies and Procedures, a final conditions such as daylight, hangar lighting, the closing date for comments will be regulatory evaluation will be prepared flashlight, or droplight and may require removal or opening of access panels or doors. considered, and this rule may be and placed in the Rules Docket. A copy Stands, ladders, or platforms may be required amended in light of the comments of it, if filed, may be obtained from the to gain proximity to the area being checked.’’ received. Factual information that Rules Docket at the location provided (b) If an aluminum/fiberglass assembly is supports the commenter’s ideas and under the caption ADDRESSES. found: No further action is required by suggestions is extremely helpful in List of Subjects in 14 CFR Part 39 paragraph (c) of this AD. evaluating the effectiveness of the AD action and determining whether Air transportation, Aircraft, Aviation Stage 1—Repetitive Flange Bolt Inspections additional rulemaking action would be safety, Incorporation by reference, (c) If a graphite assembly is found: Within needed. Safety. 120 days after the effective date of this AD, perform a general visual inspection of the Submit comments using the following Adoption of the Amendment format: flange bolts in the main thrust hinge and • Organize comments issue-by-issue. ■ Accordingly, pursuant to the authority actuator assembly, as well as the auxiliary For example, discuss a request to delegated to me by the Administrator, actuator support fitting to detect loose bolts, change the compliance time and a the Federal Aviation Administration per ‘‘Stage 1—Repeat Flange Bolt Inspection’’ of the Work Instructions of Boeing Alert request to change the service bulletin amends part 39 of the Federal Aviation Service Bulletin 737–55A1087, dated October reference as two separate issues. Regulations (14 CFR part 39) as follows: • 2, 2003. For each issue, state what specific (1) If no loose flange bolt is found: Repeat change to the AD is being requested. PART 39—AIRWORTHINESS the inspection required by paragraph (c) of • Include justification (e.g., reasons or DIRECTIVES this AD at intervals not to exceed 1,500 flight data) for each request. cycles or 2,000 flight hours, whichever ■ 1. The authority citation for part 39 Comments are specifically invited on occurs first. the overall regulatory, economic, continues to read as follows: (2) If any loose flange bolt is found: Before environmental, and energy aspects of Authority: 49 U.S.C. 106(g), 40113, 44701. further flight, do the applicable corrective the rule that might suggest a need to actions by accomplishing all actions § 39.13 [Amended] modify the rule. All comments specified in paragraphs 4. and 5. of ‘‘Stage 1—Repeat Flange Bolt Inspection’’ of the submitted will be available, both before ■ 2. Section 39.13 is amended by adding the following new airworthiness Work Instructions of the alert service and after the closing date for comments, bulletin. Thereafter, repeat the inspection in the Rules Docket for examination by directive: required by paragraph (c) of this AD at interested persons. A report that 2003–26–01 Boeing: Amendment 39–13397. intervals not to exceed 1,500 flight cycles or summarizes each FAA-public contact Docket 2003–NM–243–AD. 2,000 flight hours, whichever occurs first.

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(d) For any aluminum/fiberglass rudder DEPARTMENT OF TRANSPORTATION A319–113 and –114 series airplanes; assembly having an identification plate and Model A320–111, –211, and –212 indicating a graphite assembly, or for any Federal Aviation Administration series airplanes; was published in the graphite rudder assembly having an Federal Register on October 2, 2003 (68 identification plate indicating an aluminum 14 CFR Part 39 FR 56792). That action proposed to assembly, and the alert service bulletin [Docket No. 2002–NM–61–AD; Amendment require either a review of airplane specifies to contact Boeing for appropriate 39–13398; AD 2003–26–02] maintenance or delivery records, or one- action: Prior to further flight, contact the time inspection of the hydraulic Manager, Seattle Aircraft Certification Office RIN 2120–AA64 actuators located in the pivot doors of (ACO), FAA; or a Boeing Company both thrust reversers to identify the part Designated Engineering Representative who Airworthiness Directives; Airbus Model A319–113 and –114 Series Airplanes; number, and eventual replacement of has been authorized by the Manager, Seattle certain actuators with modified or new ACO, to make such findings. and Model A320–111, –211, and –212 Series Airplanes actuators. Parts Installation Comments AGENCY: Federal Aviation (e) As of the effective date of this AD, no Interested persons have been afforded person may install on any airplane a rudder Administration, DOT. ACTION: Final rule. an opportunity to participate in the assembly having part number 65C27234–() or making of this amendment. No 65C25841–(), unless it has been inspected per SUMMARY: This amendment adopts a comments were submitted in response paragraph (c) of this AD. new airworthiness directive (AD), to the proposal or the FAA’s Information Submission applicable to all Airbus Model A319– determination of the cost to the public. 113 and –114 series airplanes; and (f) Although the service bulletin referenced Conclusion in this AD specifies to submit inspection Model A320–111, –211, and –212 series findings to the manufacturer, this AD does airplanes; that requires either a review The FAA has determined that air not include such a requirement. of airplane maintenance or delivery safety and the public interest require the records, or one-time inspection of the adoption of the rule as proposed. Alternative Methods of Compliance hydraulic actuators located in the pivot Cost Impact (g) In accordance with 14 CFR 39.19, the doors of both thrust reversers to identify Manager, Seattle Aircraft Certification Office the part number, and eventual The FAA estimates that 108 airplanes (ACO), FAA, is authorized to approve replacement of certain actuators with of U.S. registry will be affected by this alternative methods of compliance (AMOCs) modified or new actuators. This action AD, that it will take approximately 8 for this AD. is necessary to prevent jamming of a work hours per airplane to accomplish thrust reverser door during operation, or the required actions, and that the Incorporation by Reference inadvertent deployment of a thrust average labor rate is $65 per work hour. (h) Unless otherwise specified in this AD, reverser door in-flight, which could Based on these figures, the cost impact the actions shall be done in accordance with result in reduced controllability of the of the AD on U.S. operators is estimated Boeing Alert Service Bulletin 737–55A1087, airplane. This action is intended to to be $56,160, or $520 per airplane. dated October 2, 2003. This incorporation by address the identified unsafe condition. The cost impact figure discussed reference was approved by the Director of the above is based on assumptions that no DATES: Effective January 27, 2004. Federal Register in accordance with 5 U.S.C. The incorporation by reference of operator has yet accomplished any of 552(a) and 1 CFR part 51. Copies may be certain publications listed in the the requirements of this AD action, and obtained from Boeing Commercial Airplane regulations is approved by the Director that no operator would accomplish Group, PO Box 3707, Seattle, Washington of the Federal Register as of January 27, those actions in the future if this AD 98124–2207. Copies may be inspected at the 2004. were not adopted. The cost impact FAA, Transport Airplane Directorate, 1601 figures discussed in AD rulemaking ADDRESSES: The service information Lind Avenue, SW., Renton, Washington; or at actions represent only the time referenced in this AD may be obtained the Office of the Federal Register, 800 North necessary to perform the specific actions from Airbus Industrie, 1 Rond Point Capitol Street, NW., suite 700, Washington, actually required by the AD. These Maurice Bellonte, 31707 Blagnac Cedex, DC. figures typically do not include France. This information may be incidental costs, such as the time Effective Date examined at the Federal Aviation required to gain access and close up, (i) This amendment becomes effective on Administration (FAA), Transport planning time, or time necessitated by January 7, 2004. Airplane Directorate, 1601 Lind other administrative actions. Issued in Renton, Washington, on Avenue, SW., Renton, Washington; or at December 12, 2003. the Office of the Federal Register, 800 Regulatory Impact North Capitol Street, NW., suite 700, The regulations adopted herein will Kevin M. Mullin, Washington, DC. Acting Manager, Transport Airplane not have a substantial direct effect on FOR FURTHER INFORMATION CONTACT: Tim Directorate, Aircraft Certification Service. the States, on the relationship between Dulin, Aerospace Engineer, the national Government and the States, [FR Doc. 03–31273 Filed 12–22–03; 8:45 am] International Branch, ANM–116, FAA, or on the distribution of power and BILLING CODE 4910–13–P Transport Airplane Directorate, 1601 responsibilities among the various Lind Avenue, SW., Renton, Washington levels of government. Therefore, it is 98055–4056; telephone (425) 227–2141; determined that this final rule does not fax (425) 227–1149. have federalism implications under SUPPLEMENTARY INFORMATION: A Executive Order 13132. proposal to amend part 39 of the Federal For the reasons discussed above, I Aviation Regulations (14 CFR part 39) to certify that this action (1) is not a include an airworthiness directive (AD) ‘‘significant regulatory action’’ under that is applicable to all Airbus Model Executive Order 12866; (2) is not a

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‘‘significant rule’’ under DOT structural area, system, installation, or and 1 CFR part 51. Copies may be obtained Regulatory Policies and Procedures (44 assembly to detect damage, failure, or from Airbus Industrie, 1 Rond Point Maurice FR 11034, February 26, 1979); and (3) irregularity. Available lighting is normally Bellonte, 31707 Blagnac Cedex, France. will not have a significant economic supplemented with a direct source of good Copies may be inspected at the FAA, lighting at intensity deemed appropriate by Transport Airplane Directorate, 1601 Lind impact, positive or negative, on a the inspector. Inspection aids such as mirror, Avenue, SW., Renton, Washington; or at the substantial number of small entities magnifying lenses, etc., may be used. Surface Office of the Federal Register, 800 North under the criteria of the Regulatory cleaning and elaborate access procedures Capitol Street, NW., suite 700, Washington, Flexibility Act. A final evaluation has may be required.’’ DC. been prepared for this action and it is (1) For any actuator having P/Ns Note 3: The subject of this AD is addressed contained in the Rules Docket. A copy D23090000–1, D23090000–2, D23090000–3, in French airworthiness directive 2001– of it may be obtained from the Rules or D23090000–4: Prior to the accumulation of 361(B) R1, dated September 3, 2003. 20,000 total actuator flight cycles, or within Docket at the location provided under Effective Date the caption ADDRESSES. 250 airplane flight cycles after accomplishment of the detailed inspection or (h) This amendment becomes effective on List of Subjects in 14 CFR Part 39 airplane records review required by January 27, 2004. Air transportation, Aircraft, Aviation paragraph (a) of this AD, whichever occurs Issued in Renton, Washington on later, replace the actuator with a modified or December 12, 2003. safety, Incorporation by reference, new actuator having part number Safety. D23090000–5 or D23090000–6, in accordance Kevin M. Mullin, Acting Manager, Transport Airplane Adoption of the Amendment with the service bulletin. (2) For any actuator having P/N Directorate, Aircraft Certification Service. ■ Accordingly, pursuant to the authority D23090000–5: Prior to the accumulation of [FR Doc. 03–31271 Filed 12–22–03; 8:45 am] delegated to me by the Administrator, 30,000 total actuator flight cycles, or within BILLING CODE 4910–13–P the Federal Aviation Administration 250 airplane flight cycles after the detailed inspection or airplane records review amends part 39 of the Federal Aviation required by paragraph (a) of this AD, Regulations (14 CFR part 39) as follows: whichever occurs later, replace the actuator SOCIAL SECURITY ADMINISTRATION with a modified or new actuator having P/N PART 39—AIRWORTHINESS D23090000–6, in accordance with the service 20 CFR Parts 404, 416 and 422 DIRECTIVES bulletin. RIN 0960–AE92 ■ 1. The authority citation for part 39 (3) For any actuator having P/N D23090000–6: No further action is required continues to read as follows: Federal Old-Age, Survivors, and by this paragraph. Disability Insurance and Supplemental Authority: 49 U.S.C. 106(g), 40113, 44701. Note 2: Airbus Service Bulletin A320–78– Security Income; Collection of 1020 references Rohr CFM56–5A Service § 39.13 [Amended] Overdue Program and Administrative Bulletin RA32078–106, dated November 16, Debts Using Administrative Wage ■ 2. Section 39.13 is amended by adding 2000, as an additional source of service Garnishment the following new airworthiness information for modification of the actuators. directive: (b) Once all of the actuators located in the AGENCY: Social Security Administration pivot doors of the thrust reversers have P/N (SSA). 2003–26–02 Airbus: Amendment 39–13398. D23090000–6, no further action is required ACTION: Final rules. Docket 2002–NM–61–AD. by paragraph (a) of this AD. Applicability: All Model A319–113 and (c) For operators that do not track actuator SUMMARY: We are modifying our –114 series airplanes; and Model A320–111, flight cycles, or do not have a means of –211, and –212 series airplanes; certificated regulations dealing with the collection obtaining information regarding actuator of program overpayment debts that arise in any category. flight cycles, engine flight cycles must be Compliance: Required as indicated, unless used instead of actuator flight cycles. under titles II and XVI of the Social accomplished previously. Security Act (the Act) and To prevent jamming of a thrust reverser Parts Installation administrative debts owed to us. door during operation or inadvertent (d) As of the effective date of this AD, no Specifically, we are making some deployment of a thrust reverser door in- person may install an actuator having P/N changes and establishing new flight, which could result in reduced D23090000–1, D23090000–2, D23090000–3, regulations on the use of administrative controllability of the airplane, accomplish or D23090000–4 on any airplane. the following: wage garnishment (AWG) to collect Submission of Inspection Results to such debts when they are past due. Inspection and Follow-on Actions Manufacturer Not Required AWG is a process whereby we order the (a) Within 500 airplane flight cycles after (e) Although the service bulletin referenced debtor’s employer to withhold and pay the effective date of this AD: Do a detailed in this AD specifies to submit information to to us up to 15 percent of the debtor’s inspection of the eight hydraulic actuators the manufacturer, this AD does not include disposable pay every payday until the located in the pivot doors of the thrust such a requirement. debt is repaid. The employer is required reversers (one actuator per pivot door, four pivot doors per thrust reverser, two thrust Alternative Methods of Compliance by law to comply with our AWG order. reversers per airplane) to identify the part (f) In accordance with 14 CFR 39.19, the EFFECTIVE DATE: These final rules are number (P/N) of each actuator, in accordance Manager, International Branch, ANM–116, effective on January 22, 2004. with Airbus Service Bulletin A320–78–1020, FAA, Transport Airplane Directorate, is Electronic Version: The electronic file excluding Appendix 01, dated March 28, authorized to approve alternative methods of of this document is available on the date 2001. Instead of a detailed inspection of the compliance for this AD. of publication in the Federal Register at hydraulic actuators, a review of airplane Incorporation by Reference http://www.gpoaccess.gov/fr/ maintenance and delivery records is index.html. It is also available on the acceptable if the P/N of each actuator (g) The actions must be done in accordance Internet Web site for SSA (i.e., Social installed on the airplane can be positively with Airbus Service Bulletin A320–78–1020, determined from that review. excluding Appendix 01, dated March 28, Security Online): http://policy.ssa.gov/ Note 1: For the purposes of this AD, a 2001. This incorporation by reference was pnpublic.nsf/LawsRegs. detailed inspection is defined as: ‘‘An approved by the Director of the Federal FOR FURTHER INFORMATION CONTACT: intensive visual examination of a specific Register in accordance with 5 U.S.C. 552(a) Robert J. Augustine, Social Insurance

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Specialist, Office of Regulations, Social Section 422.403 provides that, subject • We cannot recover the overpayment Security Administration, Room 100, to certain exceptions and conditions, we by adjustment of benefits payable to Altmeyer Building, 6401 Security will use AWG to collect any debt that someone other than you. Boulevard, Baltimore, Maryland 21235– is past due. We may use AWG According to 31 U.S.C. 3720D(b), we 6401, (410) 965–0020 or TTY (410) 966– concurrently with other practices, such must send you written notice at least 30 5609. For information on eligibility or as, tax refund offset and other days prior to taking AWG action. We filing for benefits: Call our national toll- administrative offset conducted by the will send the notice at least 60 days free number, 1–800–772–1213 or TTY Department of the Treasury and referral before we will take AWG action. Section 1–800–325–0778 or visit our Internet of information about the debt to 422.405 describes the information we Web site, Social Security Online, at consumer reporting agencies. See will include in that notice: http://www.socialsecurity.gov. paragraph (a). We will not use AWG to • The payment of your debt is past SUPPLEMENTARY INFORMATION: Section collect a debt from salary or wages paid due; • The nature and amount of your 31001(o)(1) of Pub. L. 104–134 amended by the United States Government. If you debt; Chapter 37, subchapter II, of title 31, have been separated involuntarily from • Our intention to collect the debt by United States Code, by adding section employment, we will not use AWG AWG; 3720D to permit Federal agencies to use against you until you have been re- • employed continuously for at least 12 The amount that could be withheld AWG to recover past due debts. We are from your disposable pay (the payment pursuing AWG to collect past due months. We will not use AWG to recover your debt while: schedule) under AWG; program overpayment debts incurred • You may inspect and copy our • Your title II disability benefits are under title II and title XVI of the Act and records about the debt; past due administrative debts (see 20 stopped during the reentitlement • You may ask us to review the debt CFR 422.306(a) for examples of period, under 20 CFR 404.1592a(a)(2) of (i.e., whether you owe the amount administrative debts). The final this chapter. • stated in the notice) or the payment regulations discussed below will Your Medicare entitlement is schedule stated in the notice; implement 31 U.S.C. 3720D under the continued because you are deemed to be • You may request an installment guidance provided by the Department of entitled to title II disability benefits payment plan. the Treasury at 31 CFR 285.11. under section 226(b) of the Social The notice will also explain that at Security Act, or Explanation of Changes to Regulations the expiration of 60 calendar days from • You are participating in the Ticket the date of the notice we will order your We are creating a new subpart E in to Work and Self-Sufficiency Program employer to begin withholding from part 422 of our regulations containing and your ticket is in use as described in your disposable pay, unless within that the rules we will use to collect both title 20 CFR 411.170 through 411.255. See 60-day period you pay us the full II and title XVI program overpayments paragraph (b). amount of the debt, request review of and administrative debts by AWG. In paragraphs (c) and (d) of § 422.403, the debt or the payment schedule or Subpart E will include the following we describe the conditions under which request to arrange to pay us by sections that explain the conditions for we may apply AWG to recover title II installments. We will keep an electronic our use of AWG, the rights of the debtor and title XVI program overpayment record of the notice, showing the date and the responsibilities of the employer. debts, respectively. We may apply AWG we mailed it and the amount of the debt. In § 422.401, we describe the scope of if all of the following conditions are Section 422.410 explains the actions this subpart—our use of AWG under 31 met. we will take after we send the notice. U.S.C. 3720D to recover past due debts • You are not receiving benefits We will not send an AWG order to your that you owe. under the program under which the employer before the expiration of 60 Section 422.402 contains definitions overpayment occurred. calendar days from the date of the of several terms used in the new • For an overpayment under title XVI, notice. If within that 60-day period you subpart, including: we are not collecting the debt by request that we review the debt (see • Paragraph (a), defining reducing your title II benefits. § 422.425) or the payment schedule (see ‘‘administrative wage garnishment’’ as • We have completed our billing § 422.415) stated in the notice or request the process whereby we order your sequence (i.e., we have sent an an installment payment arrangement, employer to withhold from your overpayment notice, reminder notice we will not take further action until we disposable pay and send the amount and past-due notice) or we have send you a written notice of our withheld to us; terminated or suspended collection decision. If within that 60-day period • Paragraph (b), defining the term activity. you do not pay the full balance of the ‘‘debt’’ to mean any amount of money or • We have no installment payment debt, request review, or request an property that we determine is owed to arrangement with you, or you failed to installment payment arrangement, we the United States government and that make payment under such an may send the AWG order to your arises from a program that we arrangement for two consecutive employer without further delay. If your administer or an activity that we months. request for review is late, we will still perform; • You have not requested that we perform the review even though we may • Paragraph (c), defining the term waive collection of the overpayment, or send the AWG order to your employer. ‘‘disposable pay’’ to mean the amount you requested waiver but we However, if you had good cause for equal to your total compensation from determined that we would not waive failing to request review of the debt or an employer (including, among other collection. the payment schedule on time, we will things, wages or salary, bonuses, • You have not requested treat your request as if we received it commissions and vacation pay) after reconsideration of the initial within the 60-day period and delay deduction of health insurance overpayment determination, or you further action until we send you our premiums and amounts withheld as requested reconsideration but we decision. Paragraph (b) of § 422.410 required by law other than amounts affirmed the initial determination in describes the circumstances that show withheld under court order. whole or in part. good cause for your failure and gives

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examples. If we arrange an installment CFR 422.317. To exercise your right to pay is subject to more than one payment plan with you after we send this review, you must request review garnishment order. A withholding order you the AWG notice and you fail to and give us evidence that you do not for family support always has priority make the installment payments for two owe all or part of the debt described in over our AWG order. Our AWG order consecutive months, we may send your the notice or that we do not have the has priority over other types of orders employer an AWG order without further right to collect it. If you do not request served after our AWG order unless delay. review and give us the evidence before Federal law provides otherwise. When As explained below in the discussion the expiration of 60 calendar days from your disposable pay is already subject to of PUBLIC COMMENTS, we revised the date of the notice, we may issue the one or more withholding orders with paragraph (a)(3) of § 422.410 to ensure AWG order without further delay. If you higher or equal priority with our AWG that the regulation is consistent with the request review and give us the evidence order, the amount that your employer regulation of the Department of the within that 60-day period, or if you had must withhold and remit to us will not Treasury on suspending an AWG order good cause for failing to request review be more than an amount calculated by pending our decision on a request for and give us the evidence on time, we subtracting the amount(s) withheld review. We also clarified the language of will not take further AWG action unless under the other withholding order(s) paragraph (b)(3) of that section and until we consider all of the from 25% of your disposable pay. Under regarding suspension of an AWG order evidence (including our own records) paragraph (f), we will have your when you have good cause for failing to and send you our written findings that employer withhold more than the request review on time. all or part of the debt is past due and amount calculated under these rules if Under 31 U.S.C. 3720D(b)(3) and (5) we have the right to collect it. Our you request in writing the higher rate of and (c), we must give you the findings will include supporting withholding. Moreover, as noted above, opportunity to inspect and copy our rationale and will be our final decision we will reduce the amount that your records relating to the debt and the on your request. If we find that you do employer will withhold if we find under opportunity for a hearing on the not owe the debt, or the debt is not § 422.415(b) that withholding at that existence and amount of the debt and overdue, or we do not have the right to amount will cause you financial the terms of the repayment schedule. collect it, we will not send your hardship. We address these requirements in employer an AWG order. In paragraphs (a) through (e) of §§ 422.415, 422.420 and 422.425. Section 422.430 states that, if we § 422.440, we discuss the Section 422.415 provides that, upon determine that you do not owe the debt responsibilities of your employer under your request, we will review the amount or we do not have the right to collect it, the AWG order. The rules require your that your employer will withhold from we will cancel any AWG order that we employer to begin withholding the your disposable pay (the payment issued and refund promptly any amount appropriate amount on the first payday schedule) and, when we find that withheld from your pay under that following receipt of the AWG order, or withholding a particular amount would order. Refunds will not bear interest on the first or second payday after such cause financial hardship, we will reduce unless Federal law or contract requires receipt if the employer received the that amount. We will not reduce the interest. AWG order within 10 days before the amount to be withheld every payday In § 422.435, we describe the AWG first payday. The rules require your below $10.00. We will find financial order, the factors that determine the employer to continue to withhold and hardship when evidence submitted by amount your employer must withhold promptly pay the withheld amount to us you shows that withholding a particular and the information that your employer every payday until we have recovered amount from your disposable pay will must send us. Paragraph (a) describes the debt and any interest, penalties and deprive you of income necessary to the information that will appear in the administrative costs that we may charge meet ordinary and necessary living AWG order (your name, address and you under applicable law. Your expenses. Such expenses include, social security number; the amount of employer need not alter its normal pay among other things, the cost of food, the debt; information about the amount and disbursement cycles. However, your clothing, housing, medical care, that the employer must withhold; and employer cannot honor any allotment or insurance, and support of others for where to send the withheld amount). assignment of pay by you (other than whom you are legally responsible. We We will maintain an electronic record of arrangements made to satisfy a family will not reduce the amount the the order showing the date that we support judgement or order) to the employer will withhold for financial mailed the order. See paragraph (b). We extent that such assignment or allotment hardship if the debt was caused by your will require the employer to certify interferes with or prevents withholding intentional false statement or willful within 20 days of receipt of the AWG under the AWG order. concealment of or failure to furnish order your employment status and the In paragraph (f) of § 422.440, we material information. amount of disposable pay available for explain that Federal law prohibits your Section 422.420 explains that we will withholding. See paragraph (c). employer from using an AWG order as arrange to make our records relating to Paragraph (d) of § 422.435 explains the basis for firing, refusing to employ the debt available for your inspection how the employer will calculate the or disciplining you. You may file a civil and copying if you notify us of your actual amount to withhold from your action in Federal or State court against intention to inspect and copy them. disposable pay on each payday and an employer who violates the Section 422.425 describes the hearing remit to us. This section implements 31 prohibition. See 31 U.S.C. 3720D(e). process, the process by which we will U.S.C. 3720D(b)(1) and 31 CFR In § 422.445, we explain that we may review the debt at your request. 285.11(i). Usually, the amount to be file a civil action in Federal court Essentially, this is the same process that withheld under the AWG order will be against the employer for any amounts we employ to review the debt upon your the lesser of the amount indicated in the that it fails to withhold in compliance request before we refer information to order (up to 15% of disposable pay) or with our AWG order issued under the Department of the Treasury for the amount by which disposable pay proposed § 422.435, and the employer collection by administrative offset or exceeds thirty times the minimum wage. may also be liable for our attorney fees refer information about the debt to Paragraph (e) of § 422.435 discusses and other associated costs and damages. consumer reporting agencies. See 20 our rules that apply if your disposable See 31 U.S.C. 3720D(f). We will not

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bring a civil action against your oral hearing should be conducted by an explained the overpayment and offered employer until we terminate collection administrative law judge. the debtor the opportunity to appeal action against you in accordance with Response: The statute on AWG that determination, to request waiver of applicable Federal standards, unless requires that, before an agency issues a recovery of the overpayment, and to earlier filing is necessary to avoid the garnishment order to an individual’s make arrangements to repay the debt. expiration of any applicable statute of employer, the agency must provide the The administrative processes provided limitations period. We will deem individual with an opportunity for a in 20 CFR part 404, subparts F and J, collection to be terminated if we receive ‘‘hearing’’ on the existence and amount and 20 CFR part 416, subparts E and N, no payment on the debt for one year. of the debt and the terms of the including the informal conference with repayment schedule stated in the an adjudicator and the oral hearing Other Changes agency’s notice of proposed before an administrative law judge, are We are amending 20 CFR 404.527 and garnishment. See 31 U.S.C. 3720D(b)(5) available at that time. 416.590 to mention that we may recover and (c). The statute does not describe By the time that we would send the title II and title XVI overpayments, the type of hearing that the agency must notice of intent to garnish, the issues on respectively, under the rules in subpart provide. This matter is addressed in the which the debtor has not had the E of part 422. regulation of the Department of the opportunity to challenge the agency can We are adding to 20 CFR 404.903 a Treasury established under the be adequately resolved by documentary new paragraph (v) to include in the list authority of 31 U.S.C. 3720D(h). The evidence. Examples of these issues are of administrative actions that are not Treasury regulation on AWG states at 31 whether the overpayment balance stated initial determinations our determination CFR 285.11(f)(2) that, when requested in the notice is accurate (reflects all to use AWG to collect an overpayment by the debtor, the agency ‘‘shall provide payments made by the debtor), whether made under title II of the Act. We are a hearing, which at the agency’s option collection of the overpayment was adding to 20 CFR 416.1403(a) a new may be oral or written * * *’’ The waived previously by SSA, and whether paragraph (20) to include in the list of agency must provide the debtor with ‘‘a the debt was discharged by (or SSA administrative actions that are not reasonable opportunity for an oral must suspend collection efforts) an initial determinations our determination hearing when the agency determines order of a bankruptcy court. Under to use AWG to collect an overpayment that the issues in dispute cannot be § 422.425, we will conduct the review made under title XVI of the Act. As a resolved by review of the documentary (hearing) by examining SSA records result of these two revisions, the evidence, for example, when the related to the debt and any evidence administrative review procedures in 20 validity of the claim turns on the issue submitted by the individual. When the CFR part 404, subpart J, and part 416, of credibility or veracity.’’ 31 CFR debtor requests review on time or has subpart N, will not apply to the 285.11(f)(3)(i). When an oral hearing is good cause for a late request, we will determination to use AWG. Moreover, not required, the agency must afford the not order the debtor’s employer to that determination is not subject to debtor a ‘‘paper hearing’’ and ‘‘decide withhold from the debtor’s disposable judicial review under 42 U.S.C. 405(g) the issues in dispute based upon a pay until we issue our decision. or 1383(c)(3). review of the written record.’’ 31 CFR Some of the commenters indicated In addition, we corrected an obsolete 285.11(f)(3)(iii). Moreover, the Treasury that they had concerns about the reference in 20 CFR 404.527(b)(1) to the regulation provides that ‘‘[n]othing in underlying overpayment determinations provisions of the Federal Claims this section requires agencies to and overpayment notices, and had Collection Standards on termination duplicate notices or administrative concerns that the procedures provided and suspension of collection activity. proceedings required by contract or in § 422.425 would not be adequate to ensure a meaningful opportunity for a Public Comments other laws or regulations.’’ 31 CFR 285.11(b)(6). hearing on these matters before we On November 15, 2002, we published Thus, the Treasury regulation leaves would send a garnishment order. We proposed rules in the Federal Register to the agency’s judgement the decision believe that the procedures provided in at 67 FR 69164 and provided a 60-day whether the circumstances warrant current regulations at 20 CFR parts 404 period for interested parties to providing the opportunity for an oral and 416 are adequate to resolve these comment. We received comments from hearing before taking garnishment matters. If the debtor indicates in 5 organizations and 3 individuals. action. Also, that regulation does not responding to the notice of intent to Because some of the comments received require the agency to afford the debtor garnish that he or she wants us to were quite detailed, we have condensed, an oral hearing in connection with the review the overpayment determination, summarized or paraphrased them in the AWG process regarding matters on we would invoke those procedures discussion below. We address all of the which the opportunity for an oral when consistent with those regulations issues raised by the commenters that are hearing has previously been provided (e.g., when the debtor shows good cause within the scope of the proposed rules. under other applicable laws and for extending the time to request Comment: Four organizations regulations. We believe that the process reconsideration, a hearing before an recommended that we provide an for review provided under § 422.425 of administrative law judge, or review by opportunity for an oral hearing when our AWG regulation combined with the the Appeals Council on the the individual requests review of the process established in other SSA overpayment determination). See 20 debt or the repayment schedule. These regulations for review of SSA’s CFR 404.909, 404.911, 404.933(c), organizations claimed that § 422.425 is overpayment and waiver determinations 404.968(b), 416.1409, 416.1411, not consistent with the AWG statute and fully complies with the requirements of 416.1433(c) and 416.1468(b). Moreover, the implementing regulation of the the statute and Treasury regulations at if the debtor cannot show good cause for Department of the Treasury at 31 CFR 31 CFR 285.11. an extension of time to review the 285.11. One organization stated that our Well before we would send the notice overpayment determination, other regulation overlooks the need for to a debtor of our intention to collect a regulations allow us to reopen and interactive discussion between SSA and program overpayment debt by AWG, we revise that determination under certain the debtor when paper review is would have sent the debtor notice of the conditions. See 20 CFR 404.987– inadequate. Another mentioned that the overpayment determination that 404.996 and 416.1487–416.1494. We

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have concluded that these long-standing time limit for issuing our decision on suspend any garnishment action that procedures adequately provide for the the person’s requests for review. began before we received the request. resolution of issues concerning the Response: Treasury’s regulation, 31 Comment: One organization stated overpayment determination. CFR 285.11(f)(10), provides that an that our decision to use AWG should be Finally, our procedures for agency shall issue a written decision as an initial determination subject to our implementing AWG would not preclude soon as practicable, but no later than 60 administrative appeal process and an individual from interactive days after the date on which a request further judicial appeal. discussions and exchange of for hearing was received by the agency. Response: Consistent with our information with SSA representatives Further, the regulation provides that if regulations regarding the decision to use about the overpayment, the garnishment the agency cannot issue the decision in other practices (such as, reporting debts process, or the options available to the that 60-day timeframe, then the agency to consumer reporting agencies and individual to obtain an explanation or may not issue a garnishment order (and collection through administrative offset review of the debt, waiver of collection, must suspend an order that it issued) against Federal payments) authorized by etc. Like other notices that we issue until the agency holds the hearing and 31 U.S.C. chapter 37, we will not regarding overpayments, the notice renders its decision. We have revised include the decision to use AWG among described in § 422.405 will contain § 422.410(a) to ensure that our policy is the actions listed as initial standard language inviting the consistent with the Treasury regulation. determinations in 20 CFR 404.902 and individual to contact SSA in writing, by We will strive to issue a written 416.1402. Those sections of our telephone, or by visiting a local SSA decision on a person’s request for regulations contain lists of SSA office to ask questions or obtain further review as soon as possible. In a case determinations that affect the rights of explanation of the debt. The notice will where a person requests review within individuals under the Social Security include telephone numbers and the the 60-day period from the date of the and Supplemental Security Income address of the SSA field office located notice of our intent to garnish, we will programs (among other things, closest to the individual’s address. not take further action to initiate entitlement to, eligibility for and Thus, the individual will have an garnishment until we send that person amount of benefit payments). Initial opportunity for interactive discussion a written notice of our decision. If the determinations are subject to the with SSA representatives. During that person has good cause for requesting administrative appeal process described discussion, he or she may provide and review after that 60-day period, we will in 20 CFR part 404, subpart J, and part receive explanations and information not take further action, and we will 416, subpart N. When an individual concerning the case. In conducting the suspend any AWG action already taken, exhausts the administrative remedies review described in § 422.425, we will until we send the decision notice. We provided in those regulations, the consider our records on the case and revised § 422.410(a)(3) to provide that, if individual may obtain further review in any information, explanations (oral or an individual requests review late Federal court under sections 205(g) and written) or documents furnished by the without ‘‘good cause’’ and we do not 1631(c) of the Act. Because our decision individual. make our decision on the request within to use AWG does not affect rights under Comment: Three organizations said 60 calendar days from the date that we these programs, it is not the type of that our AWG notice to individuals received the request, we will suspend determination described in 20 CFR should fully explain the right to request any AWG order already issued. AWG 404.902 and 416.1402. Thus, in these a reduction of the withholding based on will not resume before we conduct the final rules, we include the decision to financial hardship, and should clearly review and issue the notice of our use AWG among those decisions listed state that the request can be made at any decision. in 20 CFR 404.903 and 416.1403 that are time. Comment: One organization said we not initial determinations. Response: We are committed to should make the following two changes We note that waiver of collection of providing a full and clear written to § 422.405 of the proposed regulations: an overpayment is a right granted by explanation of an individual’s rights (1) Provide that our written notice to sections 204(b) and 1631(b)(1)(B) of the regarding AWG. The explanation individuals proposing garnishment will Act to individuals who meet the recommended by the three inform people they can request waiver; conditions prescribed in those laws. An organizations will appear in the notice and (2) explain the differences between individual notified under § 422.405 to the debtors. Specifically, our notice waiver and review. In addition, one regarding AWG will have the informing individuals about organization said we should not initiate opportunity to request waiver of garnishment will include an garnishment proceedings while the collection of the overpayment before we explanation of the right to request a request for waiver is pending. will issue a garnishment order. An reduction of the amount to be withheld Response: We are not adopting the individual may request waiver of from disposable pay based on financial recommended changes to § 422.405. Our collection of the overpayment at any hardship. Our notice will also explain regulations on administrative wage time. Our determination on a request for that the individual can make this garnishment implement 31 U.S.C. waiver is an initial determination request at any time. If the individual 3720D under the guidance of Treasury’s subject to the appeal process described shows us that the withholding schedule regulation at 31 CFR 285.11. Neither of in subpart J of part 404 or subpart N of in question would cause financial these provisions cover waiver of part 416. See 20 CFR 404.902(k) and hardship, we will lower the amount we collection. We will, however, follow our 416.1402(c). would collect from that person’s pay. usual practice and include detailed Comment: One organization stated We will find hardship if the language describing the right to request that the 60-day period to submit withholding schedule would keep the waiver in our notice to the debtor about documentary evidence will not be individual from meeting the ordinary garnishment. We will also explain the adequate for individuals to obtain and necessary living expenses of the difference between waiver and review of necessary records in many cases. The individual and his family. the debt in that same notice. While a organization recommended that SSA Comment: Two organizations said waiver request is pending, we will not provide in § 422.425 for extension of that we should remain consistent with initiate garnishment. Effective on the time to obtain such evidence where the Treasury’s regulations by providing a date we receive a request, we will individual shows good cause.

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Response: We are not changing the Imposing AWG on individuals who the person’s physical, mental, regulation to specifically provide for an are not receiving cash benefits during educational or linguistic limitations. extension of the 60-day period to submit the reentitlement period because they Comment: One organization documentary evidence. However, we are working, or during the period in recommended that we include with our will cover this matter in staff which they are entitled to extended notices lists of the names and addresses instructions on the procedures for Medicare coverage following of local legal aid organizations and other conducting AWG. The regulation termination of their cash benefits due to advocacy groups who could assist established by these final rules allows work activity, or during the period in individuals who are subject to AWG. us, but does not require us, to issue the which they are participating in the Response: As required by law, we garnishment order immediately after the Ticket to Work and Self-Sufficiency provide on notices of adverse 60-day period expires if the individual Program and have a ticket in use, could determinations, covered by 20 CFR part does not give us the evidence within discourage them from continuing to 404, subpart J, and part 416, subpart N, that period. See § 422.425(a). We will work and, thus, could act counter to the information on the options for obtaining give an individual a reasonable amount purposes of the work incentive legal representation to assist individuals of extra time to secure documentary programs. The exclusion from AWG in their dealings with us. See sections evidence if we find that the 60-day would be temporary if they continue to 206(c) and 1631(d)(2)(B) of the Act and period established in the regulation is work at a substantial level. The possible 20 CFR 404.1706 and 416.1506. We are inadequate in a particular case. The negative effects on our work incentive not required by law to provide this reasonable amount of extra time will programs would outweigh the benefits information in our AWG notices. depend on the individual’s specific of any additional overpayment recovery When we send the initial notice of circumstances and the type of that we might gain from imposing AWG overpayment to an individual and also documentary evidence the individual is on individuals during their early when we notify a person about an trying to obtain. In addition, if a person attempts to work. adverse determination regarding his or has good cause for requesting review of Comment: One organization her benefits, we include the information about options available to the person to the debt after the 60-day period expires commented that we should deliver our obtain legal representation or assistance. and also needs more time to obtain notice of planned garnishment action in We inform the person that he can have documentary evidence, we will allow formats other than written notices for a friend, lawyer or someone else help. that person a reasonable amount of time people who need special We also tell the person that any local according to the circumstances of the accommodations. Social Security office can provide a list case. Response: We have a tradition of helping people who need special of groups that can help. In the notice of Comment: One organization accommodations in their dealings with garnishment to the individual, we will commented that AWG should not be the Agency. This includes people with include the address of the local Social initiated while an individual is engaged visual and hearing impairments, people Security office that services the person’s in work activities with a Ticket to Work, with physical and mental disabilities area, as well as a toll-free telephone or is in an extended period of eligibility. and people who speak languages other number the person can call with any The organization expressed concern that than English. Depending upon the questions. We believe that the the financial condition and long-term individual’s needs, we will try to take information that the individual would work prospects of such an individual special action to help the person. For receive in certain notices prior to are uncertain. example, we give all people applying for receiving the notice about AWG, and the Response: We agree with the or receiving Social Security payments availability of the information about organization. We added paragraphs by reason of blindness the opportunity legal aid organizations and other (b)(3), (4) and (5) to § 422.403 of the to choose how they want to receive SSA advocacy groups in our local offices, are final regulations to provide that we will notices. Such people can elect to be adequate to help a person obtain not apply AWG in the situations notified by SSA in a telephone call, by independent advice and assistance. described in the comment. One of our certified mail and by first class mail. Consequently, we do not plan to include strategic goals is to deliver high-quality, They can change their election at any names and addresses of local legal aid citizen-centered service. In pursuit of time, and we will honor that change. At organizations and other advocacy this goal, we are committed to this time, however, due to a lack of groups in the notice of garnishment to encouraging and supporting the work contractor support for the production of individuals. activity of individuals with disabilities. Braille notices, we cannot offer that Comment: We received three To that end, our programs, including the option. comments from individuals. Two of the Ticket to Work and Self-Sufficiency In addition, our regulations on the use comments were not specific to the program, provide incentives and of AWG will provide some regulation and will therefore not be services to promote return to work. accommodation for people who have addressed. The third comment Also, title II disability beneficiaries can physical, mental, educational or questioned why Federal employees are be provided an extended period of linguistic limitations which prevent exempt from AWG under eligibility (the reentitlement period) and them from requesting review on time or § 422.403(b)(1). extended Medicare coverage while they from understanding the need to make a Response: Federal employees who attempt to work. Another of our request on time. Section 422.410(b) owe debts to the Federal Government strategic goals is to ensure superior provides that when a person has good are subject to Federal salary offset under stewardship of our programs and cause for a late request, SSA will treat 5 U.S.C. 5514, rather than AWG under resources. One of the steps we are taking the request for review as if we received 31 U.S.C. 3720D. The regulation of the to achieve this goal is the improvement it on time; i.e., we would not pursue Department of the Treasury regarding of debt management practices, and the garnishment (or we would stop it if it AWG under 31 U.S.C. 3720D does not implementation of AWG serves this has begun) until we notify the person cover Federal salary offset. See 31 CFR objective. In pursuing both of these about our decision. In determining § 285.11(b)(5). Thus, Federal salary goals, we must find the proper balance whether there is good cause for a late offset is not covered under our between these activities and objectives. request we will take into consideration regulations on AWG. However, we are

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developing a Federal salary offset governments. Any particular State or 20 CFR Part 422 program. local government is not likely to receive Administrative practice and Regulatory Procedures AWG orders from us concerning a procedure, Organization and functions significant number of employees. Under (Government agencies), Social Security. Executive Order (E.O.) 12866 § 422.435(c), States and local Dated: November 10, 2003. governments that employ delinquent The Office of Management and Budget Jo Anne B. Barnhart, (OMB) has reviewed these final rules in debtors must certify certain information Commissioner of Social Security. accordance with E.O. 12866, as about the debtors’ status such as the ■ amended by E.O. 13258. debtors’ employment status and For the reasons set out in the preamble, earnings. This information is contained we are amending parts 404, 416 and 422 Regulatory Flexibility Act in the States’ or local governments’ of Title 20 of the Code of Federal We certify that these final regulations payroll records. Therefore, it will not Regulations as follows: will not have a significant impact on a take a significant amount of time or PART 404—[AMENDED] substantial number of small entities. result in a significant cost for a State or Therefore, a regulatory flexibility local government to complete the ■ 1. The authority citation for subpart F analysis, as provided in the Regulatory certification form. Even if a State or of part 404 continues to read as follows: Flexibility Act, as amended, is not local government receives AWG orders Authority: Secs. 204, 205(a), and 702(a)(5) required. from us on several employees over the of the Social Security Act (42 U.S.C. 404, Some entities, as employers of some course of a year, the cost imposed on the 405(a) and 902(a)); 31 U.S.C. 3720A. individuals who owe debts to us, will be State or local government to complete subjected to these final regulations and ■ 2. Paragraph (a), introductory text, of the certifications, withhold from § 404.527 is revised and paragraph (b)(1) to the certification requirement in disposable pay, and remit those proposed § 422.435(c). However, any is amended by removing ‘‘4 CFR 104.2 or amounts to us will not have a significant particular small employer is not likely 104.3.’’ at the end of the paragraph and economic impact on that entity. States to receive wage garnishment orders from adding in its place ‘‘31 CFR 903.2 or or local governments are not required to us concerning a significant number of 903.3.’’. vary their normal pay cycles to comply employees. Under § 422.435(c), The revised text reads as follows: employers of delinquent debtors must with AWG orders that will be issued under these final rules. § 404.527 Additional methods for recovery certify certain information about the of title II benefit overpayments. debtor’s status such as the debtor’s Paperwork Reduction Act (a) General. In addition to the employment status and earnings. This methods specified in §§ 404.502 and information is contained in the The final rules in new subpart E of 404.520, an overpayment under title II employer’s payroll records. Therefore, it part 422 contain information collection of the Act is also subject to recovery will not take a significant amount of activities at §§ 422.415, 422.425 and under the rules in subparts D and E of time or result in a significant cost for an 422.435. However, the activities are part 422 of this chapter. Subpart D of employer to complete the certification exempt as administrative actions under part 422 of this chapter applies only form. Even if an employer receives 44 U.S.C. 3518(c)(1)(B)(ii) from the under the following conditions: withholding orders from us on several clearance requirements of 44 U.S.C. * * * * * employees over the course of a year, the 3507 as amended by section 2 of Pub. ■ 3. The authority citation for subpart J cost imposed on the employer to L. 104–13 (May 22, 1995), the of part 404 is revised to read as follows: complete the certifications, withhold Paperwork Reduction Act of 1995. from disposable pay, and remit those Authority: Secs. 201(j), 204(f), 205(a), (b), amounts to us will not have a significant (Catalog of Federal Domestic Assistance (d)–(h), and (j), 221, 225, and 702(a)(5) of the economic impact on that entity. Program Nos. 96.001, Social Security— Social Security Act (42 U.S.C. 401(j), 404(f), Disability Insurance; 96.002 Social Employers will not be required to vary 405(a), (b), (d)–(h), and (j), 421, 425, and Security—Retirement Insurance; 96.003 902(a)(5)); sec. 5, Pub. L. 97–455, 96 Stat. their normal pay cycles to comply with Social Security—Special Benefits for Persons 2500 (42 U.S.C. 405 note); secs. 5, 6(c)–(e), a withholding order that is issued under Aged 72 and Over; 96.004, Social Security— and 15, Pub. L. 98–460, 98 Stat. 1802 (42 these final rules. Survivors Insurance; 96.006, Supplemental U.S.C. 421 note). Federalism Security Income) ■ 4. Section 404.903 is amended by We have reviewed these final rules List of Subjects removing the word ‘‘and’’ at the end of under the threshold criteria of E.O. paragraph (t), replacing the period at the 13132, ‘‘Federalism,’’ and determined 20 CFR Part 404 end of paragraph (u) with ‘‘; and’’, and adding paragraph (v) to read as follows: that they will not have substantial direct Administrative practice and effects on the States, on the relationship procedure; Death benefits; Blind, § 404.903 Administrative actions that are between the national government and Disability benefits; Old-Age, Survivors not initial determinations. the States, or the distribution of power and Disability Insurance; Reporting and * * * * * and responsibilities among the various recordkeeping requirements, Social (v) Determining whether we will levels of government. order your employer to withhold from Although States and local Security. your disposable pay to collect an governments, as employers of some 20 CFR Part 416 overpayment you received under title II individuals who owe debts to us, are of the Social Security Act (see part 422, subject to these final regulations and to Administrative practice and subpart E, of this chapter). the certification requirement in procedure; Aged, Blind, Disability § 422.435(c), there will be a relatively benefits; Public assistance programs, PART 416—[AMENDED] small number of debtors who will meet Reporting and recordkeeping the criteria for selection who are requirements, Supplemental Security ■ 5. The authority citation for subpart E employed by the States and local Income (SSI). of part 416 continues to read as follows:

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Authority: Secs. 702(a)(5), 1147, 1601, 422.435 What happens when we decide to past due. We may use administrative 1602, 1611(c) and (e), and 1631(a)–(d) and (g) send an administrative wage wage garnishment while we are taking of the Social Security Act (42 U.S.C. garnishment order to your employer? other action regarding the debt, such as, 902(a)(5), 1320b–17, 1381, 1381a, 1382(c) 422.440 What are your employer’s using tax refund offset under and (e), and 1383(a)–(d) and (g)); 31 U.S.C. responsibilities under an administrative 3720A. wage garnishment order? §§ 404.520–404.526 and 416.580– 416.586 of this chapter and taking ■ 422.445 May we bring a civil action against 6. Paragraph (a), introductory text, of your employer for failure to comply with action under subpart D of this part. § 416.590 is revised to read as follows: our administrative wage garnishment (b) Exceptions. (1) We will not use this subpart to collect a debt from salary § 416.590 Are there additional methods for order? recovery of title XVI benefit overpayments? or wages paid by the United States Subpart E—Collection of Debts by Government. (a) General. In addition to the Administrative Wage Garnishment (2) If you have been separated methods specified in §§ 416.560, involuntarily from employment, we will 416.570, 416.572 and 416.580, we may Authority: Secs. 205(a), 702(a)(5) and not order your employer to withhold recover an overpayment under title XVI 1631(d)(1) of the Social Security Act (42 amounts from your disposable pay until of the Act from you under the rules in U.S.C. 405(a), 902(a)(5) and 1383(d)(1)) and you have been reemployed continuously subparts D and E of part 422 of this 31 U.S.C. 3720D. for at least 12 months. You have the chapter. Subpart D of part 422 of this burden of informing us about an chapter applies only under the § 422.401 What is the scope of this involuntary separation from following conditions: subpart? employment. * * * * * This subpart describes the procedures relating to our use of administrative (3) We will not use this subpart to ■ 7. The authority citation for subpart N wage garnishment under 31 U.S.C. collect a debt while your disability of part 416 continues to read as follows: 3720D to recover past due debts that benefits are stopped during the Authority: Secs. 702(a)(5), 1631, and 1633 you owe. reentitlement period, under of the Social Security Act (42 U.S.C. § 404.1592a(a)(2) of this chapter, 902(a)(5), 1383, and 1383b). § 422.402 What special definitions apply to because you are engaging in substantial this subpart? gainful activity. ■ 8. Section 416.1403 is amended by (4) We will not use this subpart to removing the word ‘‘and’’ at the end of (a) Administrative wage garnishment collect a debt while your Medicare paragraph (a)(18), replacing the period at is a process whereby we order your entitlement is continued because you the end of paragraph (a)(19) with ‘‘; and’’, employer to withhold a certain amount are deemed to be entitled to disability and adding paragraph (a)(20) to read as from your disposable pay and send the benefits under section 226(b) of the follows: withheld amount to us. The law requires your employer to comply with Social Security Act (42 U.S.C. 426(b)). § 416.1403 Administrative actions that are our garnishment order. (5) We will not use this subpart to not initial determinations. (b) Debt means any amount of money collect a debt if you have decided to (a) * * * or property that we determine is owed participate in the Ticket to Work and (20) Determining whether we will to the United States and that arises from Self-Sufficiency Program and your ticket order your employer to withhold from a program that we administer or an is in use as described in §§ 411.170 your disposable pay to collect an activity that we perform. These debts through 411.225 of this chapter. overpayment you received under title include program overpayments made (c) Overpayments under title II of the XVI of the Social Security Act (see part under title II or title XVI of the Social Social Security Act. This subpart 422, subpart E, of this chapter). Security Act and any other debt that applies to overpayments under title II of meets the definition of ‘‘claim’’ or the Social Security Act if all of the PART 422—[AMENDED] ‘‘debt’’ at 31 U.S.C. 3701(b). following conditions are met: (c) Disposable pay means that part of (1) You are not receiving title II ■ 9. Subpart E is added to read as your total compensation (including, but benefits. follows: not limited to, salary or wages, bonuses, (2) We have completed our billing commissions, and vacation pay) from system sequence (i.e., we have sent you Subpart E—Collection of Debts by an initial notice of the overpayment, a Administrative Wage Garnishment your employer after deduction of health insurance premiums and amounts reminder notice, and a past-due notice) Sec. withheld as required by law. Amounts or we have suspended or terminated 422.401 What is the scope of this subpart? withheld as required by law include collection activity in accordance with 422.402 What special definitions apply to such things as Federal, State and local applicable rules, such as, the Federal this subpart? taxes but do not include amounts Claims Collection Standards in 31 CFR 422.403 When may we use administrative withheld under court order. 903.2 or 31 CFR 903.3. wage garnishment? (3) We have not made an installment 422.405 What notice will we send you (d) We, our, or us means the Social about administrative wage garnishment? Security Administration. payment arrangement with you or, if we 422.410 What actions will we take after we (e) You means an individual who have made such an arrangement, you send you the notice? owes a debt to the United States within have failed to make any payment for 422.415 Will we reduce the amount that the scope of this subpart. two consecutive months. your employer must withhold from your (4) You have not requested waiver pay when withholding that amount § 422.403 When may we use administrative pursuant to § 404.506 or § 404.522 of causes financial hardship? wage garnishment? this chapter or, after a review conducted 422.420 May you inspect and copy our (a) General. Subject to the exceptions pursuant to those sections, we have records related to the debt? described in paragraph (b) of this 422.425 How will we conduct our review of determined that we will not waive the debt? section and the conditions described in collection of the overpayment. 422.430 When will we refund amounts of paragraphs (c) and (d) of this section, we (5) You have not requested your pay withheld by administrative may use administrative wage reconsideration of the initial wage garnishment? garnishment to collect any debt that is overpayment determination pursuant to

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§§ 404.907 and 404.909 of this chapter § 422.405 What notice will we send you If we sent the administrative wage or, after a review conducted pursuant to about administrative wage garnishment? garnishment order to your employer and § 404.913 of this chapter, we have (a) General. Before we order your we do not make our decision on your affirmed all or part of the initial employer to collect a debt by deduction request within 60 calendar days from overpayment determination. from your disposable pay, we will send the date that we received your request, (6) We cannot recover your you written notice of our intention to do we will tell your employer to stop overpayment pursuant to § 404.502 of so. withholding from your disposable pay. this chapter by adjustment of benefits (b) Contents of the notice. The notice Withholding will not resume before we payable to any individual other than will contain the following information: conduct the review and notify you of you. For purposes of this paragraph, an (1) We have determined that payment our decision. overpayment will be deemed to be of the debt is past due; (4) We may send an administrative unrecoverable from any individual who (2) The nature and amount of the wage garnishment order to your was living in a separate household from debt; employer without further delay if: yours at the time of the overpayment (3) Information about the amount that (i) You request an installment and who did not receive the your employer could withhold from payment plan after receiving the notice overpayment. your disposable pay each payday (the described in § 422.405, and payment schedule); (ii) We arrange such a plan with you, (d) Overpayments under title XVI of (4) No sooner than 60 calendar days and the Social Security Act. This subpart after the date of the notice, we will (iii) You fail to make payments in applies to overpayments under title XVI order your employer to withhold the accordance with that arrangement for of the Social Security Act if all of the debt from your disposable pay unless, two consecutive months. following conditions are met: within that 60-day period, you pay the (b) Good cause for failing to request (1) You are not receiving benefits full amount of the debt or take either of review on time. If we decide that you under title XVI of the Social Security the actions described in paragraphs had good cause for failing to request Act. (b)(6) or (7) of this section; review within the 60-day period (2) We are not collecting your title (5) You may inspect and copy our mentioned in paragraph (a)(2) of this XVI overpayment by reducing title II records about the debt (see § 422.420); section, we will treat your request for benefits payable to you. (6) You may request a review of the review as if we received it within that debt (see § 422.425) or the payment 60-day period. (3) We have completed our billing schedule stated in the notice (see (1) Determining good cause. In system sequence (i.e., we have sent you § 422.415); and determining whether you had good an initial notice of the overpayment, a (7) You may request to pay the debt cause, we will consider— reminder notice, and a past-due notice) by monthly installment payments to us. (i) Any circumstances that kept you or we have suspended or terminated (c) Mailing address. We will send the from making the request on time; collection activity under applicable notice to the most current mailing (ii) Whether our action misled you; rules, such as, the Federal Claims address that we have for you in our (iii) Whether you had any physical, Collection Standards in 31 CFR 903.2 or records. mental, educational, or linguistic 31 CFR 903.3. (d) Electronic record of the notice. We limitations (including any lack of (4) We have not made an installment will keep an electronic record of the facility with the English language) payment arrangement with you or, if we notice that shows the date we mailed which prevented you from making a have made such an arrangement, you the notice to you and the amount of request on time or from understanding have failed to make any payment for your debt. the need to make a request on time. two consecutive months. (2) Examples of good cause. Examples § 422.410 What actions will we take after of facts supporting good cause include, (5) You have not requested waiver we send you the notice? pursuant to § 416.550 or § 416.582 of but are not limited to, the following. (a) General. (1) We will not send an this chapter or, after a review conducted (i) Your serious illness prevented you administrative wage garnishment order pursuant to those sections, we have from contacting us yourself or through to your employer before 60 calendar determined that we will not waive another person. days elapse from the date of the notice collection of the overpayment. (ii) There was a death or serious described in § 422.405. illness in your family. (6) You have not requested (2) If paragraph (b) of this section does (iii) Fire or other accidental cause reconsideration of the initial not apply and you do not pay the debt destroyed important records. overpayment determination pursuant to in full or do not take either of the (iv) You did not receive the notice §§ 416.1407 and 416.1409 of this actions described in § 422.405(b)(6) or described in § 422.405. chapter or, after a review conducted (7) within 60 calendar days from the (v) In good faith, you sent the request pursuant to § 416.1413 of this chapter, date of the notice described in to another government agency within we have affirmed all or part of the initial § 422.405, we may order your employer the 60-day period, and we received the overpayment determination. to withhold and send us part of your request after the end of that period. (7) We cannot recover your disposable pay each payday until your (3) If we issued the administrative overpayment pursuant to § 416.570 of debt is paid. wage garnishment order. If we this chapter by adjustment of benefits (3) If you request review of the debt determine that you had good cause payable to any individual other than or the payment schedule after the end under paragraph (b) of this section and you. For purposes of this paragraph, if of the 60 calendar day period described we already had sent an administrative you are a member of an eligible couple in paragraph (a)(2) of this section and wage garnishment order to your that is legally separated and/or living paragraph (b) of this section does not employer, we will tell your employer to apart, we will deem unrecoverable from apply, we will conduct the review. stop withholding from your disposable the other person that part of your However, we may send the pay. Withholding will not resume until overpayment which he or she did not administrative wage garnishment order we conduct the review and notify you receive. to your employer without further delay. of our decision.

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§ 422.415 Will we reduce the amount that records will be available to you. At our (3) Information about the amount to your employer must withhold from your pay discretion, we may send copies of the be withheld, and when withholding that amount causes records to you. (4) Information about where to send financial hardship? the withheld amount. (a) General. Unless paragraph (d) of § 422.425 How will we conduct our review (b) Electronic record of the this section applies, we will reduce the of the debt? garnishment order. We will keep an amount that your employer must (a) You must request review and electronic record of the garnishment withhold from your pay when you present evidence. If you receive a notice order that shows the date we mailed the request the reduction and we find described in § 422.405, you have the order to your employer. financial hardship. In any event, we will right to have us review the debt. To (c) Employer certification. Along with not reduce the amount your employer exercise this right, you must request the garnishment order, we will send must withhold each payday below $10. review and give us evidence that you do your employer a certification form to When we decide to reduce the amount not owe all or part of the debt or that complete about your employment status that your employer withholds, we will we do not have the right to collect it. If and the amount of your disposable pay give you and your employer written you do not request review and give us available for withholding. Your notice. this evidence within 60 calendar days employer must complete the (1) You may ask us at any time to from the date of our notice, we may certification and return it to us within reduce the amount due to financial issue the garnishment order to your 20 days of receipt. hardship. employer without further delay. If you (d) Amounts to be withheld from your (2) If you request review of the request review of the debt and present disposable pay. After receipt of the payment schedule stated in the notice evidence within that 60 calendar-day garnishment order issued under this described in § 422.405 within the 60- period, we will not send a garnishment section, your employer must begin day period stated in the notice, we will order to your employer unless and until withholding from your disposable pay not issue a garnishment order to your we consider all of the evidence and each payday the lesser of: employer until we notify you of our send you our findings that all or part of (1) The amount indicated on the order decision. the debt is overdue and we have the (up to 15% of your disposable pay); or (b) Financial hardship. We will find right to collect it. (2) The amount by which your financial hardship when you show that (b) Review of the evidence. If you disposable pay exceeds thirty times the withholding a particular amount from request review of the debt, we will minimum wage as provided in 15 U.S.C. your pay would deprive you of income review our records related to the debt 1673(a)(2). necessary to meet your ordinary and and any evidence that you present. (e) Multiple withholding orders. If necessary living expenses. You must (c) Our findings. Following our review your disposable pay is subject to more give us evidence of your financial of all of the evidence, we will send you than one withholding order, we apply resources and expenses. written findings, including the the following rules to determine the (c) Ordinary and necessary living supporting rationale for the findings. amount that your employer will expenses. Ordinary and necessary living Issuance of these findings will be our withhold from your disposable pay: expenses include: final action on your request for review. (1) Unless otherwise provided by (1) Fixed expenses such as food, If we find that you do not owe the debt, Federal law or paragraph (e)(2) of this clothing, housing, utilities, or the debt is not overdue, or we do not section, a garnishment order issued maintenance, insurance, tax payments; have the right to collect it, we will not under this section has priority over (2) Medical, hospitalization and send a garnishment order to your other withholding orders served later in similar expenses; employer. time. (3) Expenses for the support of others (2) Withholding orders for family for whom you are legally responsible; § 422.430 When will we refund amounts of support have priority over garnishment and your pay withheld by administrative wage orders issued under this section. (4) Other reasonable and necessary garnishment? (3) If at the time we issue a miscellaneous expenses which are part If we find that you do not owe the garnishment order to your employer of your standard of living. debt or that we have no right to collect amounts are already being withheld (d) Fraud and willful concealment or it, we will promptly refund to you any from your pay under another failure to furnish information. (1) We amount withheld from your disposable withholding order, or if a withholding will not reduce the amount that your pay under this subpart that we received order for family support is served on employer withholds from your and cancel any administrative wage your employer at any time, the amounts disposable pay if your debt was caused garnishment order that we issued. to be withheld under this section will be by: Refunds under this section will not bear the lesser of: (i) Your intentional false statement, or interest unless Federal law or contract (i) The amount calculated under (ii) Your willful concealment of, or requires interest. paragraph (d) of this section; or failure to furnish, material information. (ii) The amount calculated by § 422.435 What happens when we decide (2) ‘‘Willful concealment’’ means an subtracting the amount(s) withheld to send an administrative wage under the withholding order(s) with intentional, knowing and purposeful garnishment order to your employer? delay in providing, or failure to reveal, priority from 25% of your disposable material information. (a) The wage garnishment order. The pay. wage garnishment order that we send to (4) If you owe more than one debt to § 422.420 May you inspect and copy our your employer will contain only the us, we may issue multiple garnishment records related to the debt? information necessary for the employer orders. If we issue more than one You may inspect and copy our to comply with the order. This garnishment order, the total amount to records related to the debt. You must information includes: be withheld from your disposable pay notify us of your intention to review our (1) Your name, address, and social under such orders will not exceed the records. After you notify us, we will security number, amount set forth in paragraph (d) or arrange with you the place and time the (2) The amount of the debt, (e)(3) of this section, as appropriate.

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(f) You may request that your § 422.445 May we bring a civil action Civil Division, U.S. Department of employer withhold more. If you request against your employer for failure to comply Justice, P.O. Box 888, Benjamin in writing that your employer withhold with our administrative wage garnishment Franklin Station, Washington, DC order? more than the amount determined 20044. under paragraphs (d) or (e) of this (a) We may bring a civil action against your employer for any amount that the SUPPLEMENTARY INFORMATION: The section, we will order your employer to employer fails to withhold from your Department published a proposed rule withhold the amount that you request. disposable pay in accordance with on this subject on October 22, 2002, at 67 FR 64844. No comments were § 422.440 What are your employer’s § 422.435(d), (e) and (f). Your employer responsibilities under an administrative may also be liable for attorney fees, received before the comment period wage garnishment order? costs of the lawsuit and (in the court’s closed on December 23, 2002, and, discretion) punitive damages. accordingly, the Department is (a) When withholding must begin. (b) We will not file a civil action finalizing the proposed rule without Your employer must withhold the against your employer before we change. appropriate amount from your terminate collection action against you, Background disposable pay on each payday unless earlier filing is necessary to avoid beginning on the first payday after expiration of any applicable statute of In 1961 Congress passed the Federal receiving the garnishment order issued limitations period. For purposes of this Drivers Act, 75 Stat. 539, which under this section. If the first payday is section, ‘‘terminate collection action’’ immunized Federal employees from within 10 days after your employer means that we have terminated liability for money damages based on receives the order, then your employer collection action in accordance with the torts involving the operation of motor must begin withholding on the first or Federal Claims Collection Standards (31 vehicles within the scope of their second payday after your employer CFR 903.3) or other applicable employment. In the event that a Federal receives the order. Withholding must standards. In any event, we will employee was sued in such a case, the continue until we notify your employer consider that collection action has been statute authorized the Attorney General to stop withholding. terminated if we have not received any to issue a certification that the employee was acting within the scope of his or her (b) Payment of amounts withheld. payments to satisfy the debt for a period of one year. employment at the time of the incident Your employer must promptly pay to us out of which the suit arose, and the suit all amounts withheld under this section. [FR Doc. 03–31493 Filed 12–22–03; 8:45 am] thereafter would be deemed a tort action (c) Other assignments or allotments of BILLING CODE 4191–02–P against the United States pursuant to the pay. Your employer cannot honor an Federal Tort Claims Act, 28 U.S.C. assignment or allotment of your pay to 1346(b), 2671–2680. the extent that it would interfere with or DEPARTMENT OF JUSTICE In ensuing years, a number of similar certification statutes were enacted to prevent withholding under this section, 28 CFR Part 15 unless the assignment or allotment is protect medical and legal personnel made under a family support judgement [CIV 102F; AG Order No. 2697–2003] employed by certain Federal agencies from tort liability for professional or order. RIN 1105–AA62 malpractice arising within the scope of (d) Effect of withholding on employer their employment. E.g., 10 U.S.C. 1054 pay and disbursement cycles. Your Certification and Decertification in Connection With Certain Suits Based (Department of Defense legal personnel); employer will not be required to vary its Upon Acts or Omissions of Federal 10 U.S.C. 1089 (Department of Defense normal pay and disbursement cycles in Employees and Other Persons medical personnel); 22 U.S.C. 2509(j) order to comply with the garnishment (Peace Corps medical personnel); 22 order. AGENCY: Department of Justice. U.S.C. 2702 (Department of State (e) When withholding ends. When we ACTION: Final rule. medical personnel); 38 U.S.C. 7316 (Department of Veterans Affairs medical have fully recovered the amounts you SUMMARY: In cases where employees of personnel); 42 U.S.C. 233 (Public Health owe, including interest, penalties, and the Federal government are sued for Service medical personnel); 42 U.S.C. administrative costs that we charge you money damages based on alleged torts, 2458a (National Aeronautics and Space as allowed by law, we will tell your if the Attorney General certifies that the Administration medical personnel). employer to stop withholding from your employees (and certain non-employees) Most recently, the Federal Employees disposable pay. As an added precaution, were acting within the scope of their Liability Reform and Tort Compensation we will review our debtors’ accounts at employment at the time, the suit would Act, 28 U.S.C. 2679(b)–(e), became law. least annually to ensure that be deemed an action against the United This certification statute, which withholding has been terminated for States under the Federal Tort Claims replaced the less comprehensive Federal accounts paid in full. Act. This final rule conforms Drivers Act, extended immunity from Department regulations to the (f) Certain actions by an employer liability for money damages to Federal provisions of the Federal Employees against you are prohibited. Federal law employees for all common law torts Liability Reform and Tort Compensation prohibits an employer from using a committed within the scope of their Act which expanded the tort protections garnishment order issued under this employment. section as the basis for discharging you for Federal employees (and certain non- A number of certification statutes also from employment, refusing to employ employees) by finalizing a proposed have been enacted to protect certain you, or taking disciplinary action rule the Department published on this non-employees from tort liability arising against you. If your employer violates subject on October 22, 2002. out of certain Federal programs. As part this prohibition, you may file a civil DATES: This final rule is effective of the National Swine Flu Immunization action against your employer in a January 22, 2004. Program of 1976, 90 Stat. 1113, Congress Federal or State court of competent FOR FURTHER INFORMATION CONTACT: authorized the Attorney General to issue jurisdiction. Phyllis J. Pyles, Director, Torts Branch, certifications in suits brought against

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certain agencies, organizations, and than the former tripartite subdivision, Unfunded Mandates Reform Act of individuals which participated in the each section is subdivided into two 1995 manufacture, distribution, and paragraphs, one of which governs suits This rule will not result in the administration of the swine flu vaccine. against Federal employees, and the expenditure by State, local and tribal Similar authority has been conferred on other which governs suits against governments, in the aggregate, or by the the Attorney General with respect to covered persons. The appendix is private sector, of $100,000,000 or more certain suits against fiduciaries of the removed. in any one year, and it will not Federal Retirement Thrift Savings Fund Executive Order 12866 significantly or uniquely affect small (5 U.S.C. 8477(e)(4)); atomic weapon governments. Therefore, no actions were testing contractors (42 U.S.C. 2212); and This rule falls within a category of deemed necessary under the provisions certain individuals enrolled as actions that the Office of Management of the Unfunded Mandates Reform Act volunteers in National Volunteer and Budget (OMB) has determined not of 1995. Programs (42 U.S.C. 5055(f)). to constitute ‘‘significant regulatory Finally, several statutes, without actions’’ under section 3(f) of Executive Small Business Regulatory Enforcement expressly providing for certification, Order 12866 and, accordingly, it was Fairness Act of 1996 confer Federal employee status on not reviewed by OMB. This rule is not a major rule as certain persons who would not defined by section 251 of the Small otherwise be encompassed within the Executive Order 13132 Business Regulatory Enforcement Federal Tort Claims Act’s definition of This regulation will not have Fairness Act of 1996, 5 U.S.C. 804. This an ‘‘employee of the United States’’ as substantial direct effects on the States, rule will not result in an annual effect that term is defined by 28 U.S.C. 2671. on the relationship between the national on the economy of $100,000,000 or E.g., 5 U.S.C. 3102 (persons employed to government and the States, or on the more; a major increase in costs or prices; assist handicapped federal employees in distribution of power and or significant adverse effects on performing duties); 5 U.S.C. 3111 responsibilities among the various competition, employment, investment, (unpaid student volunteers); 7 U.S.C. levels of government. Therefore, in productivity, innovation, or on the 2272 (volunteers to Department of accordance with Executive Order 13132, ability of the United States-based Agriculture); 10 U.S.C. 1588 (volunteers it is determined that this rule does not companies to compete with foreign- to Armed Services); 16 U.S.C. 18i have sufficient federalism implications based companies in domestic and (volunteers to National Park Service); 16 to warrant the preparation of a export markets. U.S.C. 558c (volunteers to Forest Federalism Assessment. Service); 22 U.S.C. 2504 (Peace Corps List of Subjects in 28 CFR Part 15 volunteers); 29 U.S.C. 1706 (Job Corps Regulatory Flexibility Act Authority delegations (Government enrollees); 33 U.S.C. 569c (volunteers to agencies), Tort claims. Army Corps of Engineers); 42 U.S.C. The Attorney General, in accordance ■ For the reasons stated in the preamble, 3788 (volunteers to Office of Justice with the Regulatory Flexibility Act (5 the Department of Justice revises 28 CFR Programs, Bureau of Justice Assistance, U.S.C. 605(b)), has reviewed this part 15 to read as follows: National Institute of Justice Assistance, regulation and by approving it certifies that this regulation will not have a and Bureau of Justice Statistics). PART 15—CERTIFICATION AND Part 15 has not been revised since the significant economic impact upon a substantial number of small entities for DECERTIFICATION IN CONNECTION enactment of the Federal Employees WITH CERTAIN SUITS BASED UPON Liability Reform and Tort Compensation the following reasons: This rule pertains to Federal employees and certain non- ACTS OR OMISSIONS OF FEDERAL Act. The regulations were initially EMPLOYEES AND OTHER PERSONS promulgated after passage of the Federal employees against whom civil actions Drivers Act, 26 FR 11420 (1961), and are filed under circumstances in which Sec. revised as additional certification the remedy against the United States 15.1 General provisions. statutes were enacted. See 40 FR 4910 under the Federal Tort Claims Act has 15.2 Expeditious delivery of process and (1975); 42 FR 15409 (1977); 44 FR 9379 been made exclusive of the remedy pleadings. (1979); 49 FR 44995 (1984). As last against such Federal employees and 15.3 Agency report. 15.4 Removal and defense of suits. revised, Part 15 comprises three sections non-employees. The regulation requires (15.1, 15.2, and 15.3) and an appendix. Federal employees in those Authority: 5 U.S.C. 301, 8477(e)(4); 10 Each section in turn is subdivided into circumstances promptly to deliver the U.S.C. 1054, 1089; 22 U.S.C. 2702; 28 U.S.C. process and pleadings in such actions to 509, 510, and 2679; 38 U.S.C. 7316; 42 U.S.C. three subsections which govern suits 233, 2212, 2458a, and 5055(f); and the subject to (1) the Federal Drivers Act their employing Federal agency, and the National Swine Flu Immunization Program of and the malpractice certification agency to send a report concerning the 1976, 90 Stat. 1113 (1976). statutes; (2) the swine flu statute; and (3) matter to the appropriate United States the atomic weapons testing statute. Attorney and the responsible Branch § 15.1 General provisions. This rule revises Part 15 to conform Director of the Torts Branch, Civil (a) This part contains the regulations it to the provisions of the Federal Division, Department of Justice. The of the Department of Justice governing Employees Liability Reform and Tort regulation further requires covered non- the application for and the issuance of Compensation Act, and to delete employees in those circumstances statutory certifications and references to specific certification promptly to deliver the process and decertifications in connection with statutes. Section 15.1 is new and sets pleadings in such actions to the certain suits based upon the acts or forth definitions of the terms appropriate Federal agency, and the omissions of Federal employees and ‘‘appropriate Federal agency,’’ ‘‘Federal agency to send a report concerning the certain other persons as to whom the employee,’’ and ‘‘covered person.’’ matter to the appropriate United States remedy provided by the Federal Tort Sections 15.2, 15.3, and 15.4 cover the Attorney and the responsible Branch Claims Act, 28 U.S.C. 1346(b) and 2672, same subjects which were covered by Director of the Torts Branch, Civil is made exclusive of any other civil the prior versions of sections 15.1, 15.2, Division, Department of Justice. The action or proceeding for money damages and 15.3, respectively, except that rather rule’s economic impact is minimal. by reason of the same subject matter

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against such Federal employees and on account of any act or omission, make the statutory certification that the other persons. under circumstances in which Congress Federal employee was acting within the (b) As used in this part: has provided by statute that the remedy scope of his office or employment with (1) Appropriate Federal agency means provided by the Federal Tort Claims Act the Federal Government at the time of the Federal agency most closely is made the exclusive remedy, shall the incident out of which the suit arose. associated with the program out of promptly deliver to the appropriate (b) The United States Attorney for the which the claim or suit arose. When it Federal agency all process and district where the civil action or cannot be ascertained which Federal pleadings served on the covered person, proceeding is brought, or any Director of agency is the most closely associated or an attested true copy thereof. In the Torts Branch, Civil Division, with the program out of which the claim addition, if prior to the covered person’s Department of Justice, is authorized to or suit arose, the responsible Director of receipt of such process or pleadings, the make the statutory certification that the the Torts Branch, Civil Division, covered person receives information covered person was acting at the time of Department of Justice, shall be regarding the commencement of such a the incident out of which the suit arose consulted and will thereafter designate civil action or proceeding, he shall under circumstances in which Congress the appropriate Federal agency. immediately so advise the appropriate has provided by statute that the remedy (2) Federal employee means Federal agency. The appropriate Federal provided by the Federal Tort Claims Act ‘‘employee of the United States’’ as that agency shall provide to the United is made the exclusive remedy. term is defined by 28 U.S.C. 2671. States Attorney for the district (c) A certification under this section (3) Covered person means any person embracing the place where the action or may be withdrawn if a further other than a Federal employee or the proceeding is brought, and the evaluation of the relevant facts or the estate of a Federal employee as to whom responsible Branch Director of the Torts consideration of new or additional Congress has provided by statute that Branch, Civil Division, Department of evidence calls for such action. The the remedy provided by 28 U.S.C. Justice, information concerning the making, withholding, or withdrawing of 1346(b) and 2672 is made exclusive of commencement of such action or certifications, and the removal and any other civil action or proceeding for proceeding, and copies of all process defense of, or refusal to remove or money damages by reason of the same and pleadings. defend, such civil actions or subject matter against such person. proceedings shall be subject to the § 15.3 Agency report. instructions and supervision of the § 15.2 Expeditious delivery of process and (a) The Federal employee’s employing pleadings. Assistant Attorney General in charge of Federal agency shall submit a report to the Civil Division or his or her designee. (a) Any Federal employee against the United States Attorney for the whom a civil action or proceeding is district embracing the place where the Dated: December 16, 2003. brought for money damages for loss or civil action or proceeding is brought John Ashcroft, damage to property, or personal injury fully addressing whether the employee Attorney General. or death, on account of any act or was acting within the scope of his office [FR Doc. 03–31489 Filed 12–22–03; 8:45 am] omission in the scope of the employee’s or employment with the Federal BILLING CODE 4410–12–P office or employment with the Federal Government at the time of the incident Government, shall promptly deliver all out of which the suit arose, and a copy process and pleadings served on the of the report shall be sent by the DEPARTMENT OF HOMELAND employee, or an attested true copy employing Federal agency to the SECURITY thereof, to the employee’s immediate responsible Branch Director of the Torts superior or to whomever is designated Branch, Civil Division, Department of Coast Guard by the head of the employee’s Justice. department or agency to receive such (b) The appropriate Federal agency 33 CFR PART 27 papers. In addition, if prior to the shall submit a report to the United [USCG–2003–15486] employee’s receipt of such process or States Attorney for the district pleadings, the employee receives embracing the place where the civil RIN 1625–AA73 information regarding the action or proceeding is brought fully commencement of such a civil action or addressing whether the person was Civil Monetary Penalties—Adjustments proceeding, he shall immediately so acting as a covered person at the time for Inflation advise his superior or the designee. If of the incident out of which the suit AGENCY: Coast Guard, DHS. the action is brought against the arose, and a copy of the report shall be ACTION: Final rule. employee’s estate this procedure shall sent by the appropriate Federal agency apply to the employee’s personal to the responsible Branch Director of the SUMMARY: The Coast Guard is adjusting representative. The superior or designee Torts Branch, Civil Division, fines and other civil monetary penalties shall provide the United States Attorney Department of Justice. to reflect the impact of inflation. These for the district embracing the place (c) A report under this section shall be adjustments are made in accordance where the action or proceeding is submitted at the earliest possible date, with the Federal Civil Penalties brought and the responsible Branch or within such time as shall be fixed Inflation Adjustment Act of 1990, as Director of the Torts Branch, Civil upon request by the United States amended by the Debt Collection Division, Department of Justice, Attorney or the responsible Branch Improvement Act of 1996. information concerning the Director of the Torts Branch. commencement of such action or DATES: This final rule is effective proceeding, and copies of all process § 15.4 Removal and defense of suits. January 22, 2004. and pleadings. (a) The United States Attorney for the ADDRESSES: Material received from the (b) Any covered person against whom district where the civil action or public, as well as documents mentioned a civil action or proceeding is brought proceeding is brought, or any Director of in this preamble as being available in for money damages for loss or damage the Torts Branch, Civil Division, the docket, are part of docket USCG– to property, or personal injury or death, Department of Justice, is authorized to 2003–15486 and are available for

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inspection or copying at the Docket involvement by Congress unnecessary. 1996, and with the exception of the non- Management Facility, U.S. Department This mechanism derives from the substantive changes described above, of Transportation, room PL–401, 400 Federal Civil Penalties Inflation that legislation mandates all our actions Seventh Street, SW., Washington, DC, Adjustment Act of 1990, Pub. L. 101– and allows us no discretion in between 9 a.m. and 5 p.m., Monday 410, 104 Stat. 890, §§ 1–6, as amended implementation, so that prior notice and through Friday, except Federal holidays. by the Debt Collection Improvement Act comment is unnecessary and contrary to You may also find this docket on the of 1996, Pub. L. 104–134, 110 Stat. 1321, the public interest. Internet at http://dms.dot.gov. § 31001(s)(1); see 28 U.S.C. 2461 note Method of Calculation FOR FURTHER INFORMATION CONTACT: If (collectively, ‘‘the statute’’). you have questions on this rule, call Mr. The Coast Guard is amending 33 CFR The statute (see ‘‘Background and Robert Spears of the Office of Standards 27.3 to update CMP adjustments first Purpose’’) requires inflation adjustments Evaluation and Development, Coast made in 1997. We expect to repeat the to be based on changes in the Consumer Guard, telephone 202–267–1099 or 202– adjustment process in 2007 and Price Index (CPI) from June of the 267–6826. If you have questions on quadrennially thereafter. We are also calendar year in which the penalties viewing the docket, call Andrea M. making two non-substantive changes, were last set or adjusted, through June Jenkins, Program Manager, Docket amending 33 CFR 27.1 to make the of the year prior to the adjustment. The Operations, Department of legislative authority for CMP statute also includes precise rules for Transportation, telephone 202–366– adjustments clearer, and removing 33 rounding penalty increases. It limits the 0271. CFR 27.2 which applied specifically to first adjustments of an agency’s SUPPLEMENTARY INFORMATION: the 1997 adjustments and is no longer penalties to 10 percent of the penalty necessary. amounts. Our method of calculation Background and Purpose takes into account the General Regulatory Procedure Many fines or other civil monetary Accounting Office (GAO) report ‘‘United penalties (CMPs) for violating Federal This final rule is published without States Coast Guard Implementation of laws and regulations were set by prior notice of proposed rulemaking or the Inflation Adjustment Act,’’ (GAO– Congress long ago, and their deterrent public comment. Pursuant to the 03–221R, Nov. 1, 2002) and subsequent value has weakened with time due to Administrative Procedure Act, 5 U.S.C. discussions with the GAO. Table A inflation. Congress recognizes this 553(b)(3)(B), the Coast Guard finds that below sets forth each CMP provision problem and has devised a mechanism good cause exists for dispensing with which is being increased in 2003 and to address it. It provides mandatory notice and comment in this rulemaking. shows the intermediate calculations inflation adjustment formulas and This rulemaking implements the performed to arrive at the adjusted final requires Federal agencies to adjust their Federal Civil Penalties Inflation maximum penalty contained in the last CMPs using those formulas at least once Adjustment Act of 1990, as amended by column. every four years, making further direct the Debt Collection Improvement Act of BILLING CODE 4910–15–P

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BILLING CODE 4910–15–C imposed for violating Federal law and Collection of Information Regulatory Evaluation regulations. It has no impact on law- This rule calls for no new collection abiding persons. This rule is not a ‘‘significant of information under the Paperwork regulatory action’’ under section 3(f) of Therefore, the Coast Guard certifies Reduction Act of 1995 (44 U.S.C. 3501– Executive Order 12866, Regulatory under 5 U.S.C. 605(b) that this final rule 3520). Planning and Review, and does not will not have a significant economic Federalism require an assessment of potential costs impact on a substantial number of small A rule has implications for federalism and benefits under section 6(a)(3) of that entities. under Executive Order 13132, Order. The Office of Management and Assistance for Small Entities Federalism, if it has a substantial direct Budget has not reviewed it under that effect on State or local governments and Order. It is not ‘‘significant’’ under the In accordance with section 213(a) of would either preempt State law or regulatory policies and procedures of the Small Business Regulatory impose a substantial direct cost of the Department of Homeland Security Enforcement Fairness Act of 1996 (Pub. compliance on them. We have analyzed (DHS). L. 104–121), we will assist small entities this rule under that Order and have We expect the economic impact of in understanding this rule. If you are a determined that it does not have this rule to be so minimal that a full small entity and the Coast Guard has implications for federalism. Regulatory Evaluation under the assessed a civil monetary penalty regulatory policies and procedures of against you, let your hearing officer Unfunded Mandates Reform Act DHS is unnecessary. This rule concerns know if you need help understanding The Unfunded Mandates Reform Act civil monetary penalties imposed for the provisions of this rule or how it of 1995 (2 U.S.C. 1531–1538) requires violating Federal law and regulations. It applies to you. Federal agencies to assess the effects of has no impact on law-abiding persons. their discretionary regulatory actions. In Small businesses may send comments Small Entities particular, the Act addresses actions on the actions of Federal employees that may result in the expenditure by a Under the Regulatory Flexibility Act who enforce, or otherwise determine State, local, or tribal government, in the (5 U.S.C. 601–612), we have considered compliance with, Federal regulations to aggregate, or by the private sector of whether this rule would have a the Small Business and Agriculture $100,000,000 or more in any one year. significant economic impact on a Regulatory Enforcement Ombudsman This rule affects only those persons who substantial number of small entities. and the Regional Small Business violate Federal law or regulations, and The term ‘‘small entities’’ comprises Regulatory Fairness Boards. The involves no discretion on the part of the small businesses, not-for-profit Ombudsman evaluates these actions Coast Guard. organizations that are independently annually and rates each agency’s owned and operated and are not responsiveness to small business. If you Taking of Private Property dominant in their fields, and wish to comment on actions by This rule will not effect a taking of governmental jurisdictions with employees of the Coast Guard, call 1– private property or otherwise have populations of less than 50,000. This 888–REG–FAIR (1–888–734–3247). taking implications under Executive rule concerns civil monetary penalties Order 12630, Governmental Actions and

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Interference with Constitutionally determined that it is not a ‘‘significant PART 27—ADJUSTMENT OF CIVIL Protected Property Rights. energy action’’ under that order because MONETARY PENALTIES FOR it is not a ‘‘significant regulatory action’’ Civil Justice Reform INFLATION under Executive Order 12866 and is not This rule meets applicable standards likely to have a significant adverse effect ■ 1. Revise the authority citation for part in sections 3(a) and 3(b)(2) of Executive on the supply, distribution, or use of 27 to read as follows: Order 12988, Civil Justice Reform, to energy. The Administrator of the Office Authority: Secs. 1–6, Pub. L. 101–410, 104 minimize litigation, eliminate of Information and Regulatory Affairs Stat. 890, as amended by Sec. 31001(s)(1), ambiguity, and reduce burden. has not designated it as a significant Pub. L. 104–134, 110 Stat. 1321 (28 U.S.C. energy action. Therefore, it does not Protection of Children 2461 note); Department of Homeland require a Statement of Energy Effects Security Delegation No. 0170.1, sec. 2 (106). We have analyzed this rule under under Executive Order 13211. Executive Order 13045, Protection of ■ 2. Revise § 27.1 to read as follows: Children from Environmental Health Environment Risks and Safety Risks. This rule is not We have analyzed this rule under § 27.1 Applicability. an economically significant rule and Commandant Instruction M16475.lD, does not create an environmental risk to which guides the Coast Guard in This part implements the Federal health or risk to safety that may complying with the National Civil Penalties Inflation Adjustment Act disproportionately affect children. Environmental Policy Act of 1969 of 1990, as amended, by periodically (NEPA)(42 U.S.C. 4321–4370f), and adjusting the maximum civil monetary Indian Tribal Governments have concluded that there are no factors penalty provided by statute for laws This rule does not have tribal in this case that would limit the use of administered by the Coast Guard and implications under Executive Order a categorical exclusion under section assessable in either civil judicial or 13175, Consultation and Coordination 2.B.2 of the Instruction. Therefore, administrative proceedings. with Indian Tribal Governments, figure 2–1, paragraph (34)(a) of the § 27.2 [Removed] because it does not have a substantial Instruction categorically excludes this direct effect on one or more Indian rule from further environmental ■ 3. Remove § 27.2. tribes, on the relationship between the documentation. An ‘‘Environmental ■ Federal Government and Indian tribes, Analysis Check List’’ and a ‘‘Categorical 4. Revise § 27.3 to read as follows: or on the distribution of power and Exclusion Determination’’ are available § 27.3 Penalty Adjustment Table. responsibilities between the Federal in the docket where indicated under Government and Indian tribes. ADDRESSES. Table 1 identifies statutes administered by the Coast Guard that Energy Effects List of Subjects in 33 CFR Part 27 authorize a civil monetary penalty. The We have analyzed this rule under Marine safety, Oil pollution, ‘‘adjusted maximum penalty’’ is the Executive Order 13211, Actions Penalties, Vessels, Waterways. maximum penalty authorized by the Concerning Regulations That ■ For the reasons discussed in the Federal Civil Penalties Inflation Significantly Affect Energy Supply, preamble, the Coast Guard amends 33 Adjustment Act of 1990, as amended, as Distribution, or Use. We have CFR part 27 as follows: determined by the Coast Guard.

TABLE 1.—CIVIL MONETARY PENALTY INFLATION ADJUSTMENTS

Adjusted max- U.S. Code citation Civil monetary penalty description imum penalty amount ($)*

14 U.S.C. 88(c) ...... Saving Life and Property ...... 6,500 14 U.S.C. 645(i) ...... Confidentiality of Medical Quality Assurance Records (first offense) ...... 3,300 14 U.S.C. 645(i) ...... Confidentiality of Medical Quality Assurance Records (subsequent offenses) ...... 27,000 33 U.S.C. 471 ...... Anchorage Ground/Harbor Regulations General ...... 110 33 U.S.C. 474 ...... Anchorage Ground/Harbor Regulations St. Mary’s river ...... 220 33 U.S.C. 495 ...... Bridges/Failure to Comply with Regulations ...... 1,100 33 U.S.C. 499 ...... Bridges/Drawbridges ...... 1,100 33 U.S.C. 502 ...... Bridges/Failure to Alter Bridge Obstructing Navigation ...... 1,100 33 U.S.C. 533 ...... Bridges/Maintenance and Operation ...... 1,100 33 U.S.C. 1208(a) ...... Bridge to Bridge Communication ...... 650 33 U.S.C. 1208(b) ...... Bridge to Bridge Communication ...... 650 33 U.S.C. 1232 ...... PWSA Regulations ...... 32,500 33 U.S.C. 1236(b) ...... Vessel Navigation: Regattas or Marine Parades ...... 6,500 33 U.S.C. 1236(c) ...... Vessel Navigation: Regattas or Marine Parades ...... 6,500 33 U.S.C. 1236(d) ...... Vessel Navigation: Regattas or Marine Parades ...... 2,750 33 U.S.C. 1319(d) ...... Pollution Prevention ...... 32,500 33 U.S.C. 1319(g)(2)(A) ...... Pollution Prevention (per violation) ...... 11,000 33 U.S.C. 1319(g)(2)(A) ...... Pollution Prevention (total under subparagraph) ...... 32,500 33 U.S.C. 1319(g)(2)(B) ...... Pollution Prevention (per day of violation) ...... 11,000 33 U.S.C. 1319(g)(2)(B) ...... Pollution Prevention (total under subparagraph) ...... 157,500 33 U.S.C. 1321(b)(6)(B)(i) ...... Oil/Hazardous Substances: Discharges (per violation) ...... 11,000 33 U.S.C. 1321(b)(6)(B)(i) ...... Oil/Hazardous Substances: Discharges (total under paragraph) ...... 32,500 33 U.S.C. 1321(b)(6)(B)(ii) ...... Oil/Hazardous Substances: Discharges (per day of violation) ...... 11,000 33 U.S.C. 1321(b)(6)(B)(ii) ...... Oil/Hazardous Substances: Discharges (total under paragraph) ...... 157,500 33 U.S.C. 1321(b)(7)(A) ...... Oil/Hazardous Substances: Discharges (per day of violation) ...... 32,500

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TABLE 1.—CIVIL MONETARY PENALTY INFLATION ADJUSTMENTS—Continued

Adjusted max- U.S. Code citation Civil monetary penalty description imum penalty amount ($)*

33 U.S.C. 1321(b)(7)(A) ...... Oil/Hazardous Substances: Discharges (per barrel of oil or unit of hazsub dis- 1,100 charged). 33 U.S.C. 1321(b)(7)(B) ...... Oil/Hazardous Substances: Discharges ...... 32,500 33 U.S.C. 1321(b)(7)(C) ...... Oil/Hazardous Substances: Discharges ...... 32,500 33 U.S.C. 1321(b)(7)(D) ...... Oil/Hazardous Substances: Discharges (per barrel of oil or unit of hazsub dis- 3,300 charged).. 33 U.S.C. 1321(j) ...... Oil/Hazardous Substances: Prevention Regulations ...... 32,500 33 U.S.C. 1322(j) ...... Marine Sanitation Devices ...... 2,200 33 U.S.C. 1322(j) ...... Marine Sanitation Devices ...... 6,500 33 U.S.C. 1517(a) ...... Deepwater Ports Regulations ...... 11,000 33 U.S.C. 1608(a) ...... International Regulations ...... 6,500 33 U.S.C. 1608(b) ...... International Regulations ...... 6,500 33 U.S.C. 1908(b)(1) ...... Pollution from Ships ...... 32,500 33 U.S.C. 1908(b)(2) ...... Pollution from Ships ...... 6,500 33 U.S.C. 2072(a) ...... Inland Navigation Rules ...... 6,500 33 U.S.C. 2072(b) ...... Inland Navigation Rules ...... 6,500 33 U.S.C. 2609(a) ...... Shore Protection ...... 32,500 33 U.S.C. 2609(b) ...... Shore Protection ...... 11,000 33 U.S.C. 2716a(a) ...... Oil Pollution Liability and Compensation ...... 32,500 46 U.S.C. 1505(a) ...... Safe Containers for International Cargo ...... 6,500 46 U.S.C. App 1805(c)(2) ...... Suspension of passenger service ...... 60,000 46 U.S.C. 2110(e) ...... Vessel inspection or examination fees ...... 6,500 46 U.S.C. 2115 ...... Alcohol and dangerous drug testing ...... 5,500 46 U.S.C. 2302(a) ...... Negligent operations: recreational vessels ...... 5,000 46 U.S.C. 2302(a) ...... Negligent operations: other vessels ...... 25,000 46 U.S.C. 2302(c)(1) ...... Negligent operations ...... 5,500 46 U.S.C. 2306(a)(2)(B)(4) ...... Vessel Reporting Requirements: Owner ...... 6,500 46 U.S.C. 2306(b)(2) ...... Vessel Reporting Requirements: Master ...... 1,100 46 U.S.C. 3102(c)(1) ...... Immersion suits ...... 6,500 46 U.S.C. 3302(i)(5) ...... Inspection Permit ...... 1,100 46 U.S.C. 3318(a) ...... Vessel inspection ...... 6,500 46 U.S.C. 3318(g) ...... Vessel inspection ...... 6,500 46 U.S.C. 3318(h) ...... Vessel inspection ...... 1,100 46 U.S.C. 3318(i) ...... Vessel inspection ...... 1,100 46 U.S.C. 3318(j)(1) ...... Vessel inspection ...... 11,000 46 U.S.C. 3318(j)(1) ...... Vessel inspection ...... 2,200 46 U.S.C. 3318(k) ...... Vessel inspection ...... 11,000 46 U.S.C. 3318(l) ...... Vessel inspection ...... 6,500 46 U.S.C. 3502(e) ...... List/count of passengers ...... 110 46 U.S.C. 3504(c) ...... Notification to passengers ...... 11,000 46 U.S.C. 3504(c) ...... Notification to passengers ...... 650 46 U.S.C. 3506 ...... Copies of laws on passenger vessels ...... 220 46 U.S.C. 3718(a)(1) ...... Dangerous cargo carriage ...... 32,500 46 U.S.C. 4106 ...... Uninspected vessels ...... 6,500 46 U.S.C. 4311(b) ...... Recreational vessels (maximum for related series of violations) ...... 120,000 46 U.S.C. 4311(b) ...... Recreational vessels ...... 2,200 46 U.S.C. 4311(c) ...... Recreational vessels ...... 1,100 46 U.S.C. 4507 ...... Vessel inspection ...... 6,500 46 U.S.C. 4703 ...... Abandonment of barges ...... 1,100 46 U.S.C. 5116(a) ...... Load lines ...... 6,500 46 U.S.C. 5116(b) ...... Load lines ...... 11,000 46 U.S.C. 5116(c) ...... Load lines ...... 6,500 46 U.S.C. 6103(a) ...... Reporting marine casualties ...... 27,500 46 U.S.C. 6103(b) ...... Reporting marine casualties ...... 6,500 46 U.S.C. 8101(e) ...... Manning of inspected vessels ...... 1,100 46 U.S.C. 8101(f) ...... Manning of inspected vessels ...... 11,000 46 U.S.C. 8101(g) ...... Manning of inspected vessels ...... 11,000 46 U.S.C. 8101(h) ...... Manning of inspected vessels ...... 1,100 46 U.S.C. 8102(a) ...... Watchmen on passenger vessels ...... 1,100 46 U.S.C. 8103(f) ...... Citizenship requirements ...... 650 46 U.S.C. 8104(i) ...... Watches on vessels ...... 11,000 46 U.S.C. 8104(j) ...... Watches on vessels ...... 11,000 46 U.S.C. 8302(e) ...... Staff department on vessels ...... 110 46 U.S.C. 8304(d) ...... Officer’s competency certificates ...... 110 46 U.S.C. 8502(e) ...... Coastwise Pilotage ...... 11,000 46 U.S.C. 8502(f) ...... Coastwise Pilotage ...... 11,000 46 U.S.C. 8503 ...... Federal Pilots ...... 32,500 46 U.S.C. 8701(d) ...... Merchant mariners documents ...... 650 46 U.S.C. 8702(e) ...... Crew requirements ...... 11,000 46 U.S.C. 8906 ...... Small vessel manning ...... 27,500

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TABLE 1.—CIVIL MONETARY PENALTY INFLATION ADJUSTMENTS—Continued

Adjusted max- U.S. Code citation Civil monetary penalty description imum penalty amount ($)*

46 U.S.C. 9308(a) ...... Pilotage: Great Lakes ...... 11,000 46 U.S.C. 9308(b) ...... Pilotage: Great Lakes ...... 11,000 46 U.S.C. 9308(c) ...... Pilotage: Great Lakes ...... 11,000 46 U.S.C. 10104(b) ...... Failure to report sexual offense ...... 6,500 46 U.S.C. 10307 ...... Posting of agreements ...... 110 46 U.S.C. 10308(b) ...... Foreign engagements by seamen ...... 110 46 U.S.C. 10309(b) ...... Replacement of lost/deserted seamen ...... 220 46 U.S.C. 10310 ...... Discharge of seamen ...... 65 46 U.S.C. 10312(c) ...... Foreign/intercoastal voyages ...... 110 46 U.S.C. 10314(a)(2) ...... Pay advances to seamen ...... 650 46 U.S.C. 10314(b) ...... Pay advances to seamen ...... 650 46 U.S.C. 10315(c) ...... Allotment to seamen ...... 650 46 U.S.C. 10321 ...... Seamen protection: general ...... 220 46 U.S.C. 10505(b) ...... Advances ...... 650 46 U.S.C. 10508(b) ...... Seamen protection: general ...... 22 46 U.S.C. 10711 ...... Effects of deceased seamen ...... 220 46 U.S.C. 10902(a)(2) ...... Complaints of unfitness ...... 650 46 U.S.C. 10903(d) ...... Proceedings on examination of vessel ...... 110 46 U.S.C. 10907(b) ...... Permission to make complaint ...... 650 46 U.S.C. 11101(f) ...... Accommodations for seamen ...... 650 46 U.S.C. 11102(b) ...... Medicine chests on vessels ...... 650 46 U.S.C. 11104(b) ...... Destitute seamen ...... 110 46 U.S.C. 11105(c) ...... Wages on discharge ...... 650 46 U.S.C. 11303(a) ...... Log books ...... 220 46 U.S.C. 11303(b) ...... Log books ...... 220 46 U.S.C. 11303(c) ...... Log books ...... 165 46 U.S.C. 11506 ...... Carrying of sheath knives ...... 65 46 U.S.C. 12122(a) ...... Identification of vessels ...... 11,000 46 U.S.C. 12122(c) ...... Vessel Documentation ...... 110,000 46 U.S.C. 12309(b) ...... Numbering of undocumented vessels ...... 1,100 46 U.S.C. 12507(b) ...... Vessel identification system ...... 11,000 46 U.S.C. 14701 ...... Measurement of vessels ...... 27,000 46 U.S.C. 14701 ...... Registry/recording: tonnage ...... 27,000 46 U.S.C. 14702 ...... Measurement/false statements ...... 27,000 46 U.S.C. 31309 ...... Instruments and liens ...... 11,000 49 U.S.C. 5123(a)(1)** ...... Hazardous materials—related to vessels ...... 32,500 * The penalty amounts listed in this column include penalties that were adjusted in 1997 and 2003; some penalties that were adjusted in 1997 did not qualify for an adjustment this year according to the rounding rules. However, we decided to include the adjusted 1997 penalties that were not adjusted in 2003 to show the comprehensive list of civil penalties. ** 49 U.S.C. 5123(a)(1) was formerly 49 U.S.C. 1809(a)(1).

Dated: December 5, 2003. SUMMARY: This document corrects eliminating duplication, and removing L.L. Hereth, editorial and typographical errors in a obsolete provisions. final rule published in the Federal Rear Admiral, Coast Guard, Acting Assistant Need for Correction Commandant for Marine Safety, Security and Register on October 24, 2003, regarding Environmental Protection. locating, recording, and maintaining As published, the final rule contained [FR Doc. 03–31491 Filed 12–22–03; 8:45 am] mining claims or sites on public lands editorial and typographical errors in the BILLING CODE 4910–15–P managed by the Bureau of Land preamble and regulatory text, some of Management (BLM). which may prove to be misleading and need to be clarified and all of which EFFECTIVE DATE: November 24, 2003. DEPARTMENT OF THE INTERIOR need to be corrected. FOR FURTHER INFORMATION CONTACT: Ted ■ In rule FR Doc. 03–26673 published on Bureau of Land Management Hudson, (202) 452–5042. October 24, 2003 (68 FR 61046), make the following corrections. 43 CFR Parts 3710, 3730, 3810, 3820, SUPPLEMENTARY INFORMATION: ■ 1. On page 61049, in the first column, 3830–3840, and 3850 Background correct the table under ‘‘Part 3835’’ by [WO–620–1430–00–24 1A] removing 10th row of the table beginning The final regulations that are the with ‘‘3835.17’’ and revising the 9th row RIN 1004–AD31 subject of these corrections reorganized of the table to read as follows: the regulations on locating, filing, and Locating, Recording, and Maintaining maintaining mining claims or sites by 3835.17 New; 3833.1–6(d); 3833.1–7(a)– Mining Claims or Sites; Correction consolidating provisions that were (d); 3833.2–1 AGENCY: Bureau of Land Management, scattered in various portions of Groups ■ Interior. 3700 and 3800 into 10 consecutive 2. On page 61051, in the first column, parts, placing the provisions in logical correct the first paragraph under the ACTION: Final rule; correction. order, clarifying conflicting language, heading Subpart C-Mining Law Minerals

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by removing the number ‘‘3830.12(a)(2)’’ Or Site?, correct the number ‘‘3737.11’’ Dated: December 18, 2003. from the third line, from the eighth line, to read ‘‘3837.11.’’ Ian Senio, and from the 17th line, and adding in its ■ 12. On page 61061, at the bottom of the Acting Group Manager, Regulatory Affairs. place in each line the number first column, in the heading Section [FR Doc. 03–31551 Filed 12–22–03; 8:45 am] ‘‘3830.12(a)(3)’’. 3737.21 How do I Notify the Delinquent BILLING CODE 4310–84–P ■ 3. On page 61052, in the third column, Co-Claimant That I Want To Acquire His correct the final paragraph that ends on or Her Interests?, correct the number page 61053 by: ‘‘3737.21’’ to read ‘‘3837.21.’’ ■ a. Adding after ‘‘paragraph (b)’’ in the FEDERAL COMMUNICATIONS ■ 13. On page 61061, at the top of the second line a comma and the phrase COMMISSION ‘‘which becomes paragraph (c) in the second column, in the heading Section final rule’’; 3737.23 How do I Notify BLM That I 47 CFR Part 73 ■ b. Removing from the fourth line from Have Acquired a Delinquent Co- the bottom of the page the phrase Claimant’s Interests in a Mining Claim or Site?, correct the number ‘‘3737.23’’ to [DA 03–3874; MB Docket No. 03–23 RM– ‘‘paragraph (b)(1)’’ and adding in its 10633] place the phrase ‘‘paragraph (c)(1)’’; and read ‘‘3837.23.’’ ■ c. Removing from the third line from ■ 14. On page 61063, in the second Radio Broadcasting Services; Conway the bottom of the page the phrase column, in the third full paragraph, and Vilonia, AR ‘‘paragraph (b)(5)’’ and adding in its under the heading Author, correct the place the phrase ‘‘paragraph (c)(5)’’. word ‘‘proposed’’ at the end of the first AGENCY: Federal Communications ■ 4. On page 61053, in the first column, line to read ‘‘final.’’ Commission. correct the first paragraph that continues ACTION: Final rule. from page 61052 by removing from the § 3830.21 [Corrected] third line the phrase ‘‘paragraph ■ 15. On page 61067, in paragraph (f) of SUMMARY: In response to a Notice of (b)(3)(iv)’’ and adding in its place the the table in section 3830.21, the correct Proposed Rulemaking, 68 FR 7964 phrase ‘‘paragraph (c)(3)(iv)’’. (February 19, 2003), this document ■ the parenthetical cross-reference 5. On page 61056, in the second ‘‘(§ 3836.30)’’ to read ‘‘(§ 3836.20).’’ grants a petition for rulemaking filed by column, correct the second and third ■ Creative Media, Inc, licensee of Station paragraphs to read as follows: 16. On page 61068, in the second KASR(FM), proposing to substitute Sections 3833.20 through 3833.22 column, correct the first sentence of Channel 224C3 for Channel 224A at describe when and how you may amend paragraph 3830.93(a) to read as follows: Conway, Arkansas, reallot Channel the record of a previously located § 3930.93 When are defects curable? 224C3 from Conway to Vilonia, mining claim or site. Sections 3833.30 Arkansas as the community’s first local through 3833.33 cover transfers of (a) If there is a defect in your aural transmission service, and modify mining claims or sites. compliance with a statutory the license for Station KASR(FM) to Finally, sections 3833.90 through requirement, the defect is incurable if reflect the changes. Channel 224C3 is 3833.92 describe how to cure certain the statute does not give the Secretary reallotted from Conway to Vilonia, defects in your recording of mining authority to permit exceptions (see Arkansas, at Creative’s requested site claims or sites. §§ 3830.91 and 3833.91 of this chapter). 12.7 kilometers (7.9 miles) east of the ■ 6. On page 61057, in the third column, *** community at coordinates 35–05–02 NL in the second to last line of the column, * * * * * and 92–04–59 WL. correct the number ‘‘3835.34’’ at the end of that line to read ‘‘3835.33.’’ § 3832.42 [Amended] DATES: Effective January 23, 2004. ■ 7. On page 61058, in the first column, ■ 17. On page 61071, in the second FOR FURTHER INFORMATION CONTACT: correct the heading for section 3835.10 to column, in the last line of paragraph Victoria M. McCauley, Media Bureau, read ‘‘How Do I request a waiver?’’ 3832.42(b)(4), correct the parenthetical (202) 418–2180. ■ 8. On page 61058, in the second cross-reference ‘‘(see § 3832.28(c) of this SUPPLEMENTARY INFORMATION: This is a column, in the sixth line of the paragraph part)’’ to read ‘‘(see § 3832.12(a) and synopsis of the Commission’s Report under the heading Section 3835.14 How (b)).’’ and Order, MB Docket No. 03–23, do I file for a small miner waiver for adopted December 3, 2003, and released newly-recorded mining claims?, correct § 3835.14 [Corrected] December 8, 2003. The full text of this the number ‘‘3835.34’’ near the end of ■ Commission decision is available for that line to read ‘‘3835.33.’’ 18. On page 61075, in the first column, inspection and copying during normal ■ 9. On page 61059, in the third column, in the last line of paragraph 3835.14(b), business hours in the FCC Reference in the first full paragraph of the column, correct the number ‘‘3835.34’’ at the end Center (Room 239), 445 12th Street SW., correct the last sentence of the paragraph of that line to read ‘‘3835.33.’’ Washington, DC. This document may to read as follows: ‘‘We have amended § 3835.15 [Corrected] also be purchased from the paragraph (h), which is numbered (9) in Commission’s duplicating contractor, the final rule, as suggested by the ■ 19. On page 61075, in the first column, Qualex International, Portals II, 445 comment.’’ in the third line of paragraph 3835.15(a), ■ 10. On page 61060, in the second correct the number ‘‘3835.34’’ near the 12th Street SW., Room CY–B402, column, in line 9 of the first full middle of that line to read ‘‘3835.33.’’ Washington, DC 20554, telephone (202) 863–2893, facsimile (202) 863–2898, or paragraph, correct the number ‘‘3836.16’’ § 3835.31 [Corrected] near the middle of that line to read via e-mail [email protected]. ‘‘3836.15.’’ ■ 20. On page 61076, in the third List of Subjects in 47 CFR Part 73 ■ 11. On page 61061, in the first column, column, (§ 3835.31(c)) in the sixth line of in the heading Section 3737.11 When the column, correct the number Radio, Radio broadcasting. May I Acquire a Delinquent Co- ‘‘3835.34’’ near the middle of that line to ■ Part 73 of title 47 of the Code of Federal Claimant’s Interests In a Mining Claim read ‘‘3835.33.’’ Regulations is amended as follows:

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PART 73—RADIO BROADCAST remainder of calendar year 2003, unless Register to advise the state and to notify SERVICES additional quota becomes available Federal vessel and dealer permit holders through a transfer. Regulations that, effective upon a specific date, the ■ 1. The authority citation for part 73 governing the summer flounder fishery state’s commercial quota has been continues to read as follows: require publication of this notification harvested and no commercial quota is Authority: 47 U.S.C. 154, 303, 334, and to advise New Jersey that the quota has available for landing summer flounder 336. been harvested and to advise vessel in that state. The Regional § 73.202 [Amended] permit holders and dealer permit Administrator has determined, based holders that no commercial quota is upon dealer reports and other available ■ 2. Section 73.202(b), the Table of FM available for landing summer flounder information, that New Jersey has Allotments under Arkansas, is amended in New Jersey. harvested its quota for 2003. by removing Channel 224A at Conway DATES: Effective 1801 hours, December The regulations at § 648.4(b) provide and by adding Vilonia, Channel 224C3. 22, 2003, through 2400 hours, December that Federal permit holders agree, as a Federal Communications Commission. 31, 2003. condition of the permit, not to land John A. Karousos, FOR FURTHER INFORMATION CONTACT: summer flounder in any state that the Assistant Chief, Audio Division, Media Jason Blackburn, Fishery Management Regional Administrator has determined Bureau. Specialist, (978) 281–9326, e-mail no longer has commercial quota [FR Doc. 03–31596 Filed 12–22–03; 8:45 am] [email protected] available. Therefore, effective 1801 BILLING CODE 6712–01–P hours, December 22, 2003, further SUPPLEMENTARY INFORMATION: landings of summer flounder in New Regulations governing the summer Jersey by vessels holding summer flounder fishery are found at 50 CFR DEPARTMENT OF COMMERCE flounder commercial Federal fisheries part 648. The regulations require annual permits are prohibited for the remainder National Oceanic and Atmospheric specification of a commercial quota that of the 2003 calendar year, unless Administration is apportioned on a percentage basis additional quota becomes available among the coastal states from North through a transfer and is announced in 50 CFR Part 648 Carolina through Maine. The process to the Federal Register. Effective 1801 set the annual commercial quota and the hours, December 22, 2003, federally [Docket No. 021122284–2323–02; I.D. percent allocated to each state is permitted dealers are also notified that 121803A] described in § 648.100. they may not purchase summer flounder The initial total commercial quota for from federally permitted vessels that Fisheries of the Northeastern United summer flounder for the 2003 calendar States; Summer Flounder Fishery; land in New Jersey for the remainder of year was set equal to 13,980,028 lb the calendar year, or until additional Commercial Quota Harvested for New (6,341,235 kg)(68 FR 60, January 2, Jersey quota becomes available through a 2003). The percent allocated to vessels transfer. AGENCY: National Marine Fisheries landing summer flounder in New Jersey Classification Service (NMFS), National Oceanic and is 16.72499 percent, resulting in a Atmospheric Administration (NOAA), commercial quota of 2,338,158 lb This action is required by 50 CFR part Commerce. (1,060,571 kg). The 2003 allocation was 648 and is exempt from review under ACTION: Closure of commercial fishery reduced to 2,329,010 lb (1,056,432 kg) E.O. 12866. due to research set-aside. Authority: 16 U.S.C. 1801 et seq. SUMMARY: NMFS announces that the Section 648.101(b) requires the summer flounder commercial quota Administrator, Northeast Region, NMFS Dated: December 18, 2003. available to New Jersey has been (Regional Administrator) to monitor Richard W. Surdi, harvested. Vessels issued a commercial state commercial quotas and to Acting Director, Office of Sustainable Federal fisheries permit for the summer determine when a state’s commercial Fisheries, National Marine Fisheries Service. flounder fishery may not land summer quota has been harvested. NMFS then [FR Doc. 03–31602 Filed 12–18–03; 2:48 pm] flounder in New Jersey for the publishes a notification in the Federal BILLING CODE 3510–22–S

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Proposed Rules Federal Register Vol. 68, No. 246

Tuesday, December 23, 2003

This section of the FEDERAL REGISTER (4) Delivery: Room PL–401 on the Viewing comments and documents: contains notices to the public of the proposed Plaza level of the Nassif Building, 400 To view comments, go to http:// issuance of rules and regulations. The Seventh Street SW., Washington, DC, dms.dot.gov at any time and conduct a purpose of these notices is to give interested between 9 a.m. and 5 p.m., Monday simple search using the docket number. persons an opportunity to participate in the through Friday, except Federal holidays. You may also visit the Docket rule making prior to the adoption of the final rules. The telephone number is (202) 366– Management Facility in room PL–401 9329. on the Plaza level of the Nassif Building, (5) Federal eRulemaking Portal: 400 Seventh Street SW., Washington, DEPARTMENT OF HOMELAND http://www.regulations.gov. DC, between 9 a.m. and 5 p.m., Monday SECURITY FOR FURTHER INFORMATION CONTACT: If through Friday, except Federal holidays. you have questions on this notice of Privacy Act: Anyone can search the Coast Guard study, call John Mauro, Project Officer, electronic form of all comments First Coast Guard District, telephone received into any of our dockets by the 33 CFR Part 167 (617) 223–8355, email name of the individual submitting the [email protected]; or George comment (or signing the comment, if [USCG–2003–16712] Detweiler, Office of Vessel Traffic submitted on behalf of an association, Management, Coast Guard, telephone business, labor union, etc.). You may Port Access Routes Study: In the (202) 267–0574, e-mail review the Department of Approaches to Narragansett Bay and [email protected]. If you have Transportation’s Privacy Act Statement Buzzards Bay, Cleveland Ledge to the questions on viewing or submitting in the Federal Register published on Race, Narragansett Bay East Passage, material to the docket, call Andrea M. April 11, 2000 (65 FR 19477), or you and the Areas Offshore of Connecticut, Jenkins, Program Manager, Docket may visit http://dms.dot.gov. Rhode Island, and Massachusetts Operations, telephone (202) 366–0271. Definitions SUPPLEMENTARY INFORMATION: AGENCY: Coast Guard, DHS. The following definitions are from the ACTION: Notice of study; request for Public Participation and Request for International Maritime Organization’s comments. Comments (IMO’s) ‘‘Ships’’ Routeing Guide’’ (except those marked by an asterisk) and We encourage you to participate in SUMMARY: The Coast Guard is should help you review this notice: this study by submitting comments and conducting a Port Access Route Study Area to be avoided or ATBA means a related materials. All comments (PARS) to evaluate the continued routing measure comprising an area received will be posted, without change, applicability of, and the need for within defined limits in which either to http://dms.dot.gov and will include modifications to, current vessel routing navigation is particularly hazardous or any personal information you have measures in the approaches to it is exceptionally important to avoid provided. We have an agreement with Narragansett Bay and Buzzards Bay, casualties and which should be avoided the Department of Transportation (DOT) Cleveland Ledge to the Race, by all vessels or certain classes of to use the Docket Management Facility. Narragansett Bay East Passage, and the vessels. Please see DOT’s ‘‘Privacy Act’’ areas offshore of Connecticut, Rhode Deep-water route means a route paragraph below. within defined limits, which has been Island, and Massachusetts. The goal of Submitting comments: If you submit a the study is to help reduce the risk of accurately surveyed for clearance of sea comment, please include your name and bottom and submerged obstacles as marine casualties and increase the address, identify the docket number for efficiency of vessel traffic management indicated on nautical charts. this notice of study (USCG–2003– Inshore traffic zone means a routing in the study area. The recommendations 16712), indicate the specific section of of the study may lead to future measure comprising a designated area this document to which each comment between the landward boundary of a rulemaking action or appropriate applies, and give the reason for each international agreements. traffic separation scheme and the comment. You may submit your adjacent coast, to be used in accordance DATES: Comments and related material comments and material by electronic with the provisions of Rule 10(d), as must reach the Docket Management means, mail, fax, or delivery to the amended, of the International Facility on or before February 23, 2004. Docket Management Facility at the Regulations for Preventing Collisions at ADDRESSES: You may submit comments address under ADDRESSES; but please Sea, 1972 (COLREGS). identified by Coast Guard docket submit your comments and material by Precautionary area means a routing number USCG–2003–16712 to the only one means. If you submit them by measure comprising an area within Docket Management Facility at the U.S. mail or delivery, submit them in an defined limits where vessels must Department of Transportation. To avoid unbound format, no larger than 81⁄2 by navigate with particular caution and duplication, please use only one of the 11 inches, suitable for copying and within which the direction of traffic following methods: electronic filing. If you submit them by flow may be recommended. (1) Web Site: http://dms.dot.gov. mail and would like to know that they Recommended route means a route of (2) Mail: Docket Management Facility, reached the Facility, please enclose a undefined width, for the convenience of U.S. Department of Transportation, 400 stamped, self-addressed postcard or vessels in transit, which is often marked Seventh Street SW., Washington, DC envelope. We will consider all by centerline buoys. 20590–0001. comments and material received during Recommended track means a route (3) Fax: (202) 493–2251. the comment period. which has been specifically examined to

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ensure so far as possible that it is free and consider the views of maritime Rhode Island, and Massachusetts that of dangers and along which vessels are community representatives, are used by commercial and public advised to navigate. environmental groups, and other vessels transiting to and from Long Regulated Navigation Area or RNA* interested stakeholders. A primary Island Sound and the Cape Cod Canal. means a water area within a defined purpose of this coordination is to As part of this study, we will consider boundary for which regulations for reconcile, to the extent practicable, the previous studies, analyses of vessel vessels navigating within the area have need for safe access routes with other traffic density, and agency and been established under 33 CFR part 165. reasonable uses of the waterway. stakeholder experience in vessel traffic Roundabout means a routing measure Were there previous port access route management, navigation, ship handling, comprising a separation point or studies? The Approaches to and affects of weather. We encourage circular separation zone and a circular Narragansett Bay, RI, and Buzzards Bay, you to participate in the study process traffic lane within defined limits. Traffic MA, were last studied in 1979, and the by submitting comments in response to within the roundabout is separated by final results were published in the this notice. moving in a counterclockwise direction Federal Register on January 7, 1982 (47 We will publish the results of the around the separation point or zone. FR 879). The study concluded that two PARS in the Federal Register. It is Separation zone or separation line minor modifications to the existing TSS possible that the study may validate means a zone or line separating the in the Approaches to Narragansett Bay, existing vessel routing measures and traffic lanes in which vessels are RI, and Buzzards Bay, MA, were conclude that no changes are necessary. proceeding in opposite or nearly needed. Both minor modifications were It is also possible that the study may opposite directions; or separating a made and are in effect. recommend one or more changes to traffic lane from the adjacent sea area; Why is a new port access route study enhance navigational safety and the or separating traffic lanes designated for necessary? Vessel size, traffic density, efficiency of vessel traffic management. particular classes of vessels proceeding and channel depths and widths have The recommendations may lead to in the same direction. changed since the 1979 study. Major future rulemakings or appropriate Traffic lane means an area within changes on channel depth, channel international agreements. defined limits in which one-way traffic width, and navigational aid alignment is established. Natural obstacles, are currently underway in the Possible Scope of the Recommendations including those forming separation Providence River and the port of We are attempting to determine the zones, may constitute a boundary. Providence, RI. The report by the U.S. scope of any safety problems associated Traffic Separation Scheme or TSS Army Corps of Engineers entitled with vessel transits in the study area. means a routing measure aimed at the ‘‘Waterborne Commerce of the United We expect that information gathered separation of opposing streams of traffic States’’ states that, from 1997 to 2001, during the study will identify any by appropriate means and by the the number of annual trips through the problems and appropriate solutions. establishment of traffic lanes. Cape Cod Canal decreased by 38 percent The study may recommend that we— Two-way route means a route within from 1,635 to 1,007; the number of trips 1. Maintain the current vessel routing defined limits inside which two-way to and from the Port of Providence, RI, measures; traffic is established, aimed at providing decreased by 36 percent from 1,449 to 2. Establish a deep-water route; safe passage of vessels through waters 930; the number of trips to and from the 3. Modify the existing TSS in the where navigation is difficult or Port of Fall River, MA, decreased by 18 Approaches to Narragansett Bay and dangerous. percent from 380 to 313, and the Buzzards Bay; Vessel routing system means any number of trips to and from the Port of 4. Designate a recommended route system of one or more routes or routing New Bedford/Fairhaven, MA, decreased encompassing the routes typically used measures aimed at reducing the risk of by 16 percent from 2,665 to 2,242. Since by merchant and naval vessels transiting casualties; it includes traffic separation 1944, a Corps of Engineers navigation the study area; schemes, two-way routes, recommended project for the Cape Cod Canal has 5. Create one or more additional tracks, areas to be avoided, inshore maintained a depth of 32 feet in the precautionary areas; traffic zones, roundabouts, Cape Cod Canal. Maintenance dredging 6. Create one or more inshore traffic precautionary areas, and deep-water is currently underway in the Providence zones near either or both approaches; routes. River, where shoaling has reduced the 7. Establish an area to be avoided depths in the channel by as much as 10 (ATBA) in shallow areas where the risk Background and Purpose to 12 feet in places. Dredging the of grounding is present; Why are port access route studies navigation channel to a depth of 40 feet 8. Establish, disestablish, or modify required? Under the Ports and and a width of 600 feet will restore the anchorage grounds; and Waterways Safety Act (PWSA)(33 U.S.C. channel to its full, congressionally 9. Establish a Regulated Navigation 1223(c)), the Commandant of the Coast authorized, project dimensions. Once Area (RNA) with specific vessel Guard may designate necessary fairways the dredging is complete, vessel traffic operating requirements to ensure safe and traffic separation schemes (TSSs) to to and from the Port of Providence and navigation near shallow water. provide safe access routes for vessels through the Cape Cod Canal should Questions proceeding to and from U.S. ports. The increase significantly. designation of fairways and TSSs What are the timeline, study area, and To help us conduct the port access recognizes the paramount right of process of this PARS? The First Coast route study, we request comments on navigation over all other uses in the Guard District will conduct this PARS. the following questions, although designated areas. The study will begin immediately and comments on other issues addressed in The PWSA requires the Coast Guard should take 6 to 12 months to complete. this document are also welcome. In to conduct a study of port access routes The study area will encompass the responding to a question, please explain before establishing or adjusting fairways approaches to Narragansett and your reasons for each answer and follow or TSSs. Through the study process, we Buzzards Bays, Cleveland Ledge to the the instructions under ‘‘Public must coordinate with Federal, State, and Race, Narragansett Bay East Passage, Participation and Request for foreign state agencies (as appropriate) and the areas offshore of Connecticut, Comments’’ above.

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1. What navigational hazards do ADDRESSES: Federal Communications Federal Communications Commission. vessels operating in the study area face? Commission, Washington, DC 20554. In John A. Karousos, Please describe. addition to filing comments with the Assistant Chief, Audio Division, Media 2. Are there strains on the current FCC, interested parties should serve Bureau. vessel routing system, such as counsel for the petitioner as follows: [FR Doc. 03–31608 Filed 12–22–03; 8:45 am] increasing traffic density? If so, please David G. O’Neil, Elise Dang, Manatt, BILLING CODE 6712–01–P describe. Phelps & Phillips, LLP, 1501 M Street, 3. Are modifications to existing vessel NW., Suite 700, Washington, DC 20005. routing measures needed to address FEDERAL COMMUNICATIONS hazards and strains and to improve FOR FURTHER INFORMATION CONTACT: COMMISSION traffic management efficiency in the Deborah A. Dupont, Media Bureau (202) study area? If so, please describe. 418–7072. 47 CFR Part 73 4. What costs and benefits are SUPPLEMENTARY INFORMATION: This is a associated with the potential study synopsis of the Commission’s notice of [DA 03–3891, Docket No. 02–369, RM– recommendations listed above? What proposed rulemaking, MB Docket No. 10611] measures do you think are most cost- 03–246, adopted December 3, 2003, and effective? Radio Broadcasting Services; released December 8, 2003. The full text 5. What impacts, both positive and Quitaque, TX of this Commission decision is available negative, would changes to existing AGENCY: Federal Communications routing measures or new routing for inspection and copying during Commission. measures have on the study area? normal business hours in the FCC Reference Information Center (Room ACTION: Proposed rule, dismissal. Dated: December 16, 2003. CY–A257), 445 12th Street, SW., Joseph J. Angelo, Washington, DC. The complete text of SUMMARY: This document dismisses a Director of Standards, Marine Safety, Security this decision may also be purchased pending petition for rulemaking to add & Environmental Protection. from the Commission’s copy contractor, an FM allotment in Quitaque, Texas. [FR Doc. 03–31623 Filed 12–22–03; 8:45 am] Qualex International, Portals II, 445 The Audio Division had requested BILLING CODE 4910–15–P 12th Street, SW., Room CY–B402, comment on a petition filed by Maurice Washington, DC 20554, telephone (202) Salsa, proposing the allotment of 863–2893. Channel 272A at Quitaque, Texas. See FEDERAL COMMUNICATIONS 67 FR 78402, December 24, 2002. The provisions of the Regulatory COMMISSION Petitioner did not file comments Flexibility Act of 1980 do not apply to supporting the requested allotment. 47 CFR Part 73 this proceeding. Members of the public This document dismisses the petition should note that from the time a notice for failure to demonstrate a continuing [DA 03–3868; MB Docket No. 03–246, RM– of proposed rulemaking is issued until 10830] interest in the requested allotment. The the matter is no longer subject to document therefore terminates the Radio Broadcasting Services; Commission consideration or court proceeding. Ambrose and Ocilla, GA review, all ex parte contacts are prohibited in Commission proceedings, ADDRESSES: Federal Communications AGENCY: Federal Communications such as this one, which involve channel Commission, Washington, DC 20554. Commission. allotments. See 47 CFR 1.1204(b) for FOR FURTHER INFORMATION CONTACT: ACTION: Proposed rule. rules governing permissible ex parte Deborah A. Dupont, Media Bureau (202) contacts. 418–7072. SUMMARY: This document sets forth a SUPPLEMENTARY INFORMATION: proposal to amend the FM Table of For information regarding proper This is a Allotments of the Commission’s rules. filing procedures for comments, see 47 synopsis of the Commission’s Report The Commission requests comment on CFR 1.415 and 1.420. and Order, MB Docket No. 02–369, adopted December 3, 2003, and released a petition filed by RTG Radio, LLC, List of Subjects in 47 CFR Part 73 licensee of Station WKAA(FM), Channel December 8, 2003. The full text of this Commission decision is available for 249A, Ocilla, Georgia. Petitioner Radio, Radio broadcasting. proposes to delete Channel 249A at inspection and copying during normal Ocilla, Georgia, to allot Channel 250A at For the reasons discussed in the business hours in the FCC Reference Ambrose, Georgia, and to modify the preamble, the Federal Communications Information Center (Room CY–A257), license of Station WKAA(FM) Commission proposes to amend 47 CFR 445 12th Street, SW., Washington, DC. accordingly. Channel 250A can be part 73 as follows: The complete text of this decision may allotted to Ambrose in compliance with also be purchased from the PART 73—RADIO BROADCAST the Commission’s minimum distance Commission’s copy contractor, Qualex separation requirements with a site SERVICES International, Portals II, 445 12th Street, restriction of 13.4 km (8.3 miles) SW., Room CY–B402, Washington, DC 1. The authority citation for Part 73 southeast of Ambrose. The coordinates 20554, telephone (202) 863–2893, continues to read as follows: for Channel 250A at Ambrose are 31– facsimile (202) 863–2898, or via e-mail 30–36 North Latitude and 82–54–48 Authority: 47 U.S.C. 154, 303, 334 and 336. [email protected]. West Longitude. See SUPPLEMENTARY Federal Communications Commission. § 73.202 [Amended] INFORMATION infra. John A. Karousos, DATES: Comments must be filed on or 2. Section 73.202(b), the Table of FM Assistant Chief, Audio Division, Media before January 30, 2004, and reply Allotments under Georgia, is amended Bureau. comments on or before February 17, by adding Ambrose, Channel 250A and [FR Doc. 03–31607 Filed 12–22–03; 8:45 am] 2004. by removing Channel 249A at Ocilla. BILLING CODE 6712–01–P

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FEDERAL COMMUNICATIONS FEDERAL COMMUNICATIONS II, 445 12th Street SW., CY–A257, COMMISSION COMMISSION Washington, DC 20554. This document may also be purchased from the 47 CFR Part 73 47 CFR Part 73 Commission’s duplicating contractors, [DA 03–3870; MB Docket No. 03–245; RM– Qualex International, Portals II, 445 [DA 03–3872, Docket No. 01–261, RM– 10826] 12th Street SW., Room CY–B402, 10271] Washington, DC 20554, telephone (202) Radio Broadcasting Services; Durant, 863–2893, facsimile (202) 863–2898, or Radio Broadcasting Services; Early, OK, and Whitewright, TX via e-mail [email protected]. TX The provisions of the Regulatory AGENCY: Federal Communications Flexibility Act of 1980 do not apply to Commission. AGENCY: Federal Communications this proceeding. Commission. ACTION: Proposed rule. Members of the public should note that from the time a Notice of Proposed SUMMARY: This document requests ACTION: Proposed rule, dismissal. Rule Making is issued until the matter comments on a petition for rulemaking is no longer subject to Commission filed by NM Licensing LLC, licensee of SUMMARY: This document dismisses a consideration or court review, all ex Station KLAK(FM), Channel 248C2, pending petition for rulemaking to add parte contacts are prohibited in Durant, Oklahoma. The petition an FM allotment in Early, Texas. The Commission proceedings, such as this proposes to reallot KLAK(FM) from Audio Division had requested comment one, which involve channel allotments. Durant, Oklahoma, to Whitewright, on a petition filed by Jeraldine See 47 CFR 1.1204(b) for rules Texas, and to provide Whitewright with governing permissible ex parte contacts. Anderson, proposing the allotment of its first local aural transmission service. For information regarding proper Channel 294A at Early, Texas. See 66 FR The coordinates for requested Channel filing procedures for comments, see 47 52733, October 17, 2001. Petitioner filed 248C2 at Whitewright, Texas are 33–30– CFR 1.415 and 1.420. comments supporting the requested 55 NL and 96–24–16 with a site allotment, but subsequently submitted a restriction of 1.2 kilometers (0.7 mile) List of Subjects in 47 CFR Part 73 request for dismissal of her petition. west of Whitewright. Radio, broadcasting. This document dismisses the petition Petitioner’s reallotment proposal for failure to demonstrate a continuing complies with the provisions of section For the reasons discussed in the interest in the requested allotment, 1.420(i) of the Commission’s Rules, and preamble, the Federal Communications based upon petitioner’s request for therefore, the Commission will not Commission proposes to amend 47 CFR dismissal. The document therefore accept competing expressions of interest part 73 as follows: terminates the proceeding. in the use of Channel 248C2 at PART 73—RADIO BROADCAST Whitewright, Texas, or require the ADDRESSES: SERVICES Federal Communications petitioner to demonstrate the Commission, Washington, DC 20554. availability of an additional equivalent 1. The authority citation for part 73 FOR FURTHER INFORMATION CONTACT: class channel. continues to read as follows: Deborah A. Dupont, Media Bureau (202) DATES: Comments must be filed on or Authority: 47 U.S.C. 154, 303, 334, and 418–7072. before January 30, 2004, and reply 336. comments on or before February 17, SUPPLEMENTARY INFORMATION: This is a 2004. § 73.202 [Amended] synopsis of the Commission’s Report 2. Section 73.202(b), the Table of FM ADDRESSES: and Order, MB Docket No. 012–261, Secretary, Federal Allotments under Oklahoma, is adopted December 3, 2003, and released Communications Commission, 445 12th amended by removing Channel 248C2 at December 8, 2003. The full text of this Street SW., Room TW–A325, Durant. Commission decision is available for Washington, DC 20554. In addition to 3. Section 73.202(b), the Table of FM filing comments with the FCC, inspection and copying during normal Allotments under Texas, is amended by interested parties should serve the business hours in the FCC Reference adding Whitewright, Channel 248C2. petitioners’ counsel, as follows: Joseph Information Center (Room CY–A257), A. Belisle, Esq., Leibowitz & Associates, Federal Communications Commission. 445 12th Street, SW., Washington, DC. PA; One Southeast Third Avenue, Suite John A. Karousos, The complete text of this decision may 1450; Miami, Florida 33131; and Mark Assistant Chief, Audio Division Media also be purchased from the N. Lipp, Esq. and J. Thomas Nolan, Esq., Bureau. Commission’s copy contractor, Qualex Vinson & Elkins, LLP; 1455 [FR Doc. 03–31605 Filed 12–22–03; 8:45 am] International, Portals II, 445 12th Street, Pennsylvania Avenue, NW., BILLING CODE 6712–01–P SW., Room CY–B402, Washington, DC Washington, DC 20004–1008. 20554, telephone (202) 863–2893, FOR FURTHER INFORMATION CONTACT: R. facsimile (202) 863–2898, or via e-mail Barthen Gorman, Media Bureau, (202) FEDERAL COMMUNICATIONS [email protected]. 418–2180. COMMISSION Federal Communications Commission. SUPPLEMENTARY INFORMATION: This is a 47 CFR Part 73 John A. Karousos, synopsis of the Commission’s Notice of Proposed Rule Making, MB Docket No. [DA 03–3886, Docket No. 02–368, RM– Assistant Chief, Audio Division, Media 10610] Bureau. 03–245, adopted December 3, 2003, and [FR Doc. 03–31606 Filed 12–22–03; 8:45 am] released December 8, 2003. The full text Radio Broadcasting Services; of this Commission decision is available Lockney, TX BILLING CODE 6712–01–P for inspection and copying during regular business hours in the FCC’s AGENCY: Federal Communications Reference Information Center at Portals Commission.

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ACTION: Proposed rule, dismissal. ADDRESSES: Federal Communications The complete text of this decision may Commission, Washington, DC 20554. also be purchased from the SUMMARY: This document dismisses a Commission’s copy contractor, Qualex pending petition for rulemaking to add FOR FURTHER INFORMATION CONTACT: International, Portals II, 445 12th Street an FM allotment in Lockney, Texas. The Deborah A. Dupont, Media Bureau (202) Audio Division had requested comment 418–7072. SW., Room CY–B402, Washington, DC on a petition filed by Linda Crawford, SUPPLEMENTARY INFORMATION: This is a 20554, telephone (202) 863–2893, proposing the allotment of Channel synopsis of the Commission’s Report facsimile (202) 863–2898, or via e-mail 271C3 at Lockney, Texas. See 67 FR and Order, MB Docket No. 02–368, [email protected]. 78,402, December 24, 2002. Petitioner adopted December 3, 2003, and released Federal Communications Commission. did not file comments supporting the December 8, 2003. The full text of this John A. Karousos, requested allotment. This document Commission decision is available for Assistant Chief, Audio Division, Media dismisses the petition for failure to inspection and copying during normal Bureau. demonstrate a continuing interest in the business hours in the FCC Reference [FR Doc. 03–31604 Filed 12–22–03; 8:45 am] requested allotment. The document Information Center (Room CY–A257), therefore terminates the proceeding. 445 12th Street SW., Washington, DC. BILLING CODE 6712–01–P

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Notices Federal Register Vol. 68, No. 246

Tuesday, December 23, 2003

This section of the FEDERAL REGISTER to assist State Departments of data and transportation and marketing contains documents other than rules or Agriculture or other appropriate State statistics relating to targeted domestic proposed rules that are applicable to the agencies in conducting studies or and international markets. public. Notices of hearings and investigations, developing innovative approaches committee meetings, agency decisions and (2) Transportation and distribution— related to the marketing of U.S. food and rulings, delegations of authority, filing of finding ways to improve efficiency and petitions and applications and agency agricultural products. Other reduce barriers in local, regional, statements of organization and functions are organizations interested in participating national and international examples of documents appearing in this in this program should contact their transportation and distribution systems section. State Department of Agriculture’s to promote free movement of U.S. food Marketing Division to discuss their and agricultural products. proposal. DEPARTMENT OF AGRICULTURE Proposals are submitted by the State (3) Competitiveness and new Agency and must be accompanied by markets—identifying new opportunities Agricultural Marketing Service completed Standard Forms (SF) 424 and for traditional and non-traditional [Docket No. TM–03–11] 424A. Note that the SF 424 has been products and by-products of agricultural revised and that all applicants now production and processing in domestic Notice of Program Continuation must have a DUNS number and provide and international markets. Assessing additional contact information when consumer preferences and consumer AGENCY: Agricultural Marketing Service, applying for this or any other Federal response to marketing and labeling USDA. grant program. The revised SF 424 is claims. ACTION: Notice inviting proposals for available at: http:// (4) Quality and variety—enhancing fiscal year (FY) 2004 grant funds under www.whitehouse.gov/omb/grants/ the value of food and agricultural _ the Federal-State Marketing grants forms.html. AMS will not products through improvements in Improvement Program. approve the use of FSMIP funds for product quality and traceability. Using advertising or, with limited exceptions, SUMMARY: technology to address marketing Notice is hereby given for for the purchase of equipment. Detailed proposals for FY 2004 grant funds under challenges and opportunities such as program guidelines may be obtained developing new products and the Federal-State Marketing from your State Department of Improvement Program (FSMIP). FSMIP innovative packaging, or improving Agriculture, the above AMS contact, or handling and storage methods. anticipates that approximately $1.3 the FSMIP Web site: million will be available for support of www.ams.usda.gov/tmd/fsmip.htm. Starting in FY 2004, applicants have this program in FY 2004. States FSMIP funds can be requested for a the option of submitting FSMIP interested in obtaining funds under the wide range of marketing research and applications electronically through the program are invited to submit proposals. marketing service activities, including central Federal grants Web site, http:// While only State Departments of projects aimed at: grants.gov instead of mailing hard copy Agriculture or other appropriate State documents. Applicants considering the (1) Developing and testing new or agencies are eligible to apply for funds, electronic application option are more efficient methods of processing, State agencies are encouraged to involve strongly urged to familiarize themselves packaging, handling, storing, industry groups, academia and with the Federal grants Web site well transporting, and distributing food and community-based organizations in the before the application deadline and to other agricultural products; development of proposals and the begin the application process before the (2) Assessing customer response to conduct of projects. deadline. Additional details about the new or alternative agricultural products DATES: FSMIP application process for all Funds will be allocated on the or marketing services and evaluating applicants are available at the FSMIP basis of one round of consideration. potential opportunities for U.S. Web site: http://www.ams.usda.gov/ Proposals will be accepted through producers, processors and other tmd/fsmip.htm. February 13, 2004. agribusinesses, in both domestic and ADDRESSES: Proposals may be sent to: international markets; and, FSMIP is listed in the ‘‘Catalog of FSMIP, Transportation and Marketing (3) Identifying problems and Federal Domestic Assistance’’ under Programs, Agricultural Marketing impediments in existing channels of number 10.156 and subject agencies Service (AMS), U.S. Department of trade between producers and consumers must adhere to Title VI of the Civil Agriculture, 1400 Independence of agricultural products and devising Rights Act of 1964, which bars Avenue, SW., Room 4009 South improved marketing practices, facilities, discrimination in all federally assisted Building, Washington, DC 20250. or systems to address such problems. programs. FOR FURTHER INFORMATION CONTACT: While all proposals which fall within Authority: 7 U.S.C. 1621–1627. Janise Zygmont, FSMIP Staff Officer, the FSMIP guidelines will be Dated: December 17, 2003. (202) 720–2704. considered, States are encouraged to SUPPLEMENTARY INFORMATION: FSMIP is submit proposals that have regional or A.J. Yates, authorized under section 204(b) of the national significance and that foster Administrator, Agricultural Marketing Agricultural Marketing Act of 1946 (7 innovation in the following areas: Service. U.S.C. 1621 et seq.). FSMIP provides (1) Market Analysis—collecting and [FR Doc. 03–31540 Filed 12–22–03; 8:45 am] matching grants on a competitive basis analyzing unique and relevant economic BILLING CODE 3410–02–P

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DEPARTMENT OF AGRICULTURE Nations organizations, the Food and of this notice, FSIS will announce it and Agriculture Organization (FAO) and the make copies of this Federal Register Food Safety and Inspection Service World Health Organization (WHO). publication available through the FSIS [Docket No. 03–040N] Codex is the major international Constituent Update. FSIS provides a organization for encouraging fair weekly Constituent Update, which is Codex Alimentarius: Meeting of the international trade in food and communicated via Listserv, a free e-mail Codex Committee on Meat Hygiene protecting the health and economic subscription service. In addition, the interests of consumers. Through update is available on-line through the AGENCY: Food Safety and Inspection adoption of food standards, codes of FSIS Web page located at http:// Service, USDA. practice, and other guidelines www.fsis.usda.gov. The update is used ACTION: Notice of public meeting and developed by its committees, and by to provide information regarding FSIS request for comments. promoting their adoption and policies, procedures, regulations, implementation by governments, Codex Federal Register notices, FSIS public SUMMARY: The Office of the Under seeks to ensure that the world’s food meetings, recalls, and any other types of Secretary for Food Safety, U. S. supply is sound, wholesome, free from information that could affect or would Department of Agriculture (USDA), is adulteration, and correctly labeled. In be of interest to our constituents/ sponsoring a public meeting on January the United States, USDA, the Food and stakeholders. The constituent Listserv 15, 2004, to provide information and Drug Administration, and the consists of industry, trade and farm receive public comments on agenda Environmental Protection Agency groups, consumer interest groups, allied items that will be discussed at the Tenth manage and carry out U.S. Codex health professionals, scientific Session of the Codex Committee on activities. professionals, and other individuals that Meat Hygiene, which will be held in The Codex Executive Committee have requested to be included. Through Auckland, New Zealand, on February (CEC), at its 47th Session in 2000, asked the Listserv and Web page, FSIS is able 16–20, 2004. The Under Secretary that the Codex Committee on Meat to provide information to a much recognizes the importance of providing Hygiene reconvene to redraft the broader, more diverse audience. interested parties with information existing codes on meat hygiene so that For more information about Listserv, about the Codex Committee on Meat they reflect contemporary contact the Congressional and Public Hygiene of the Codex Alimentarius developments. The CEC also asked that Affairs Office, at (202) 720–9113. To be Commission and to address items on the the scope of the existing codes be added to the free e-mail subscription Agenda for the 10th Session of the broadened so as to include poultry meat service (Listserv) go to the ‘‘Constituent Committee. hygiene. These recommendations were Update’’ page on the FSIS Web site at DATES: The public meeting is scheduled confirmed by the 24th Session of the http://www.fsis.usda.gov/oa/update/ for Thursday, January 15, 2004, from 1 Codex Alimentarius Commission in July update.htm. Click on the ‘‘Subscribe to p.m.–4 p.m. 2001. the Constituent Update Listserv’’ link, ADDRESSES: then fill out and submit the form. The public meeting will be Issues To Be Discussed at the Public held at the Department of Agriculture’s Meeting Done in Washington, DC on December 17, South Building in Room 0161, 1400 2003. Provisional agenda items to be Independence Avenue, SW., F. Edward Scarbrough, discussed during the public meeting: Washington, DC. To receive copies of U.S. Manager for Codex Alimentarius. the documents referenced in this notice, 1. Draft Code of Hygienic Practice for [FR Doc. 03–31541 Filed 12–22–03; 8:45 am] contact the Food Safety and Inspection Meat. Service (FSIS) Docket Clerk, USDA, 2. Proposed Draft Annex on Risk- BILLING CODE 3410–DM–P FSIS, Room 102, Cotton Annex, 300 Based Post-Mortem Examination Procedures for Meat. 12th Street, SW., Washington, DC DEPARTMENT OF AGRICULTURE 20250–3700. The documents will also 3. Proposed Draft Annex on Microbiological Verification of Process be accessible via the World Wide Web Food Safety and Inspection Service at the following address: http:// Control of Meat Hygiene. 4. Discussion Paper on Hygiene www.codexalimentarius.net/ccmh10/ [Docket No. 03–041N] _ Provisions for Processed Meat. mh04 01e.htm. If you have comments, Public Meeting on New Technology: please send an original and two copies Public Meeting The State of Food Safety Technologies to the FSIS Docket Clerk and reference At the January 15th public meeting, To Enhance Public Health Docket #03–040N. All comments the agenda items, including U.S. submitted will be available for public positions, will be described and AGENCY: Food Safety and Inspection inspection in the Docket Clerk’s Office discussed. Attendees will have the Service, USDA. between 8:30 a.m. and 4:30 p.m., opportunity to pose questions and offer ACTION: Notice of public meeting. Monday through Friday. comments. Comments may be sent to SUMMARY: The Food Safety and FOR FURTHER INFORMATION CONTACT: the FSIS Docket Room (see ADDRESSES). Inspection Service (FSIS) will hold a Edith Kennard, Staff Officer, U.S. Codex Written comments should state that they public meeting on January 13, 2004, to Office, FSIS, Room 4861, South relate to activities of the 10th Session of discuss the development and use of new Agriculture Building, 1400 the Codex Committee on Meat Hygiene food safety technologies to enhance Independence Avenue, SW., (Docket #03–040N). Washington, DC 20250, Telephone: public health. (202) 720–5261, Fax: (202) 720–3157. Additional Public Notification DATES: The public meeting is scheduled SUPPLEMENTARY INFORMATION: Public awareness of all segments of for Tuesday, January 13, 2004, from 8:30 rulemaking and policy development is a.m. to 5 p.m. Background important. Consequently, in an effort to ADDRESSES: The public meeting will be The Codex Alimentarius Commission better ensure that minorities, women, held at the Doubletree Hotel, 1616 was established in 1962 by two United and persons with disabilities are aware Dodge Street, Omaha, NE 68102;

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telephone (402) 346–7600. A tentative time between the development and free e-mail subscription service agenda will be available in the FSIS implementation of new technologies. (Listserv) go to the ‘‘Constituent Docket Room and on the Internet at Main topics to be discussed at the Update’’ page on the FSIS Web site at http://www.fsis.usda.gov. An official public meeting are as follows: http://www.fsis.usda.gov/oa/update/ transcript of the meeting, when it (1) The Agency’s new procedures and update.htm. Click on the ‘‘Subscribe to becomes available, will be kept in the ways to expedite even further the the Constituent Update Listserv’’ link, FSIS Docket Room, Room 102 Cotton process for making promising food then fill out and submit the form. Annex, 300 12th Street, SW., safety technologies available for use, including ways that FSIS and Done in Washington, DC on December 17, Washington, DC 20250–3700. 2003. FOR FURTHER INFORMATION CONTACT: Dr. stakeholders can work together to make Garry L. McKee, Perfecto Santiago, Executive Associate emerging technology more widely for Program Development, at (202) 205– available. The stakeholders include Administrator. 0699. Registration for the meeting will academia, state governments, industry, [FR Doc. 03–31542 Filed 12–22–03; 8:45 am] consumers, and other government be onsite. FSIS encourages attendees to BILLING CODE 3410–DM–P agencies. (2) Emerging technologies that pre-register as soon as possible by have been commercialized or will soon contacting Ms. Mary Harris of the FSIS be commercialized. These new Strategic Initiatives, Partnerships and DEPARTMENT OF AGRICULTURE technologies include the following Outreach Staff at (202) 690–6497 or by categories: e-mail to [email protected] or Forest Service a. Pre-slaughter operation fax (202) 690–6500. If a sign language interventions that treat the animal interpreter or other special RIN 0596–AB90 before slaughter operations begin, such accommodations are necessary, please as hide treatment and bacteria exclusion contact Ms. Harris no later than Forest Transportation System in the animal; December 31, 2003. Analysis; Revisions to Road b. Decontamination methods during Management Policy SUPPLEMENTARY INFORMATION: slaughter and processing operations, Background such as antimicrobials being used on the AGENCY: Forest Service, USDA. carcass; The 2003 FSIS Food Safety Vision c. Sanitation interventions to ACTION: Notice; correction. Statement states that FSIS is decontaminate product contact surfaces implementing several new initiatives in or to treat the environment in the SUMMARY: The Forest Service published order to continue towards its vision for slaughter and processing areas to on December 16, 2003 (68 FR 69986), a food safety, including expediting the exclude or remove organisms such as notice of issuance of a final directive to review and implementation of safe Listeria monocytogenes. Forest Service Manual (FSM) Title interventions at slaughter and Additional Public Notification 7700—Engineering, Chapter 7710— processing plants. FSIS reviews new Transportation Atlas, Records, and technologies that establishments plan to Public awareness of all segments of Analysis, as Amendment 7700–2003–2. employ to ensure that the use of these rulemaking and policy development is The notice contained an incorrect World technologies is consistent with agency important. Consequently, in an effort to Wide Web/Internet address. regulations, and that the technologies better ensure that minorities, women, will not adversely affect product safety, and persons with disabilities are aware FOR FURTHER INFORMATION CONTACT: inspection procedures, or the safety of of this notice, FSIS will announce it and Deborah Beighley or Nelson Hernandez, FSIS inspection program personnel. In make copies of this Federal Register Engineering Staff, Forest Service, at August 2003, the Office of the Under publication available through the FSIS (703) 605–4617 and (703) 605–4613, Secretary for Food Safety, United States Constituent Update. FSIS provides a respectively. Department of Agriculture, announced weekly Constituent Update, which is CORRECTION: In the Federal Register that the Food Safety and Inspection communicated via Listserv, a free e-mail issue of December 16, 2003, in FR Doc. Service (FSIS) had established a New subscription service. In addition, the 03–30871, page 69986, in the first Technology Staff to streamline the update is available on-line through the column, correct the ADDRESSES caption implementation of new technologies in FSIS Web page located at http:// to read: an establishment’s operations and to www.fsis.usda.gov. The update is used reduce the amount of time it takes the to provide information regarding FSIS ADDRESSES: The final directive, which agency to review these new policies, procedures, regulations, includes a digest of the summary of technologies. The New Technology Staff Federal Register notices, FSIS public changes and the revised directive text in will place significant emphasis on meetings, recalls, and any other types of its entirety, is available electronically fostering the development and use of information that could affect or would via the World Wide Web/Internet at new technologies that can help reduce be of interest to our constituents/ http://www.fs.fed.us/im/directives/fsm/ pathogens on meat and poultry stakeholders. The constituent Listserv 7700. Single paper copies of the products. consists of industry, trade and farm directive also are available by contacting One purpose of this public meeting is groups, consumer interest groups, allied the USDA Forest Service, Engineering to promote and facilitate an exchange of health professionals, scientific Staff (Mail Stop 1101), 1400 the latest information on new and professionals, and other individuals that Independence Avenue SW., emerging technologies of public health have requested to be included. Through Washington, DC 20250–1101. significance. In particular, FSIS will use the Listserv and Web page, FSIS is able Dated: December 18, 2003. the meeting to explore how small and to provide information to a much Jack L. Craven, very small plants can avail themselves broader, more diverse audience. of these technologies in their operations. For more information contact the Acting Deputy Chief, National Forest System. The Agency also intends to use the Congressional and Public Affairs Office, [FR Doc. 03–31654 Filed 12–22–03; 8:45 am] meeting to explore ways to reduce the at (202) 720–9113. To be added to the BILLING CODE 3410–11–P

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DEPARTMENT OF COMMERCE ACTION: To give all interested parties an opportunity to comment. Economic Development Administration Petitions have been accepted for filing Notice of Petitions by Producing Firms for Determination of Eligibility To on the dates indicated from the firms Apply for Trade Adjustment listed below. Assistance

AGENCY: Economic Development Administration (EDA), Commerce.

LIST OF PETITION ACTION BY TRADE ADJUSTMENT ASSISTANCE FOR PERIOD NOVEMBER 22, 2003–DECEMBER 17, 2003

Date petition Firm name Address accepted Product

Gilmore Valve Co., Ltd ...... 1231 Lumpkin Road, Houston, TX 77043 12/04/03 Hydraulic valves. Stout Industries, Inc., dba Stout Mar- 6425 W. Florissant Ave., St. Louis, MO 12/04/03 Point of sale metal signs, displays, build- keting, Inc. 63166. ing and canopy fascia. William Dudek Manufacturing Company 4901 W. Armitage Avenue, Chicago, IL 12/04/03 Mounting brackets of steel for consumer 60639. articles. Delta Machine and Tool, Inc ...... 1501 Lexington Avenue, DeLand, FL 12/08/03 Diagnostic lancets for diabetic testing 32724. kits, custom plastic-injection molded; and injection molded bodies for sur- gical punches used in cardiac surgery. Burgess Manufacturing of Oklahoma, Inc 1250 Roundhouse Road, Guthrie, OK 12/17/03 Wooden pallets. 73044.

The petitions were submitted DEPARTMENT OF COMMERCE telephone: (202) 482–5047, (202) 482– pursuant to section 251 of the Trade Act 5760, and (202) 482–0410, respectively. International Trade Administration of 1974 (19 U.S.C. 2341). Consequently, SUPPLEMENTARY INFORMATION: the United States Department of [A–570–866] Commerce has initiated separate Case History investigations to determine whether Certain Folding Gift Boxes From the On October 10, 2003, the Department increased imports into the United States People’s Republic of China; Final of Commerce (the Department) of articles like or directly competitive Results of Antidumping Duty published the preliminary results of the with those produced by each firm Administrative Review administrative review of the contributed importantly to total or AGENCY: Import Administration, antidumping duty order on certain partial separation of the firm’s workers, International Trade Administration, folding gift boxes from the People’s or threat thereof, and to a decrease in Department of Commerce. Republic of China (PRC). See sales or production of each petitioning ACTION: Notice of final results of Preliminary Results of Antidumping firm. Any party having a substantial antidumping duty administrative Duty Administrative Review: Certain interest in the proceedings may request review. Folding Gift Boxes from the People’s a public hearing on the matter. A Republic of China, 68 FR 58653. We request for a hearing must be received SUMMARY: On October 10, 2003, the gave interested parties an opportunity to by Trade Adjustment Assistance, Room Department of Commerce published the comment on the preliminary results of 7315, Economic Development preliminary results of the administrative review but received no comments. The review of the antidumping duty order Administration, U.S. Department of Department has now completed this on certain folding gift boxes from the Commerce, Washington, DC 20230, no review in accordance with section 751 People’s Republic of China. The review of the Tariff Act of 1930, as amended later than the close of business of the covers two manufacturers/exporters and (the Act). tenth calendar day following the the period of review is August 6, 2001, publication of this notice. through December 31, 2002. We gave Scope of Order The Catalog of Federal Domestic interested parties an opportunity to The products covered by this Assistance official program number and comment on the preliminary results of antidumping duty order are certain title of the program under which these review but received no comments. folding gift boxes. Certain folding gift petitions are submitted is 11.313, Trade Therefore, these final results of review boxes are a type of folding or knock- Adjustment Assistance. do not differ from the preliminary down carton manufactured from paper results of review. Dated: December 16, 2003. or paperboard. Certain folding gift boxes EFFECTIVE DATE: December 23, 2003. are produced from a variety of recycled Anthony J. Meyer, FOR FURTHER INFORMATION CONTACT: and virgin paper or paperboard Coordinator, Trade Adjustment and Jennifer Moats (Red Point), Yang Jin materials, including, but not limited to, Technical Assistance. Chun (Yun Choy), or Thomas Schauer, clay-coated paper or paperboard and [FR Doc. 03–31523 Filed 12–22–03; 8:45 am] Group 1, Office 3, Import kraft (bleached or unbleached) paper or BILLING CODE 3510–24–P Administration, International Trade paperboard. The scope of the order Administration, U.S. Department of excludes gift boxes manufactured from Commerce, 14th Street and Constitution paper or paperboard of a thickness of Avenue, NW., Washington, DC 20230; more than 0.8 millimeters, corrugated

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paperboard, or paper mache. The scope the period August 6, 2001, through duties occurred and the subsequent of the order also excludes those gift December 31, 2002: assessment of doubled antidumping boxes for which no side of the box, duties. when assembled, is at least nine inches Exporter/manufacturer Margin This notice also serves as a reminder in length. (percent) to parties subject to administrative Certain folding gift boxes are typically Red Point Paper Products protective order (APO) of their decorated with a holiday motif using Co., Ltd ...... 0.00 responsibility concerning the various processes, including printing, PRC-wide rate (including disposition of proprietary information embossing, debossing, and foil Yun Choy, Ltd.) ...... 164.75 disclosed under APO in accordance stamping, but may also be plain white with 19 CFR 351.305. Timely or printed with a single color. The Assessment Rates notification of return/destruction of subject merchandise includes certain APO materials or conversion to judicial The Department shall determine, and folding gift boxes, with or without protective order is hereby requested. U.S. Customs and Border Protection handles, whether finished or Failure to comply with the regulations (CBP) shall assess, antidumping duties unfinished, and whether in one-piece or and terms of an APO is a sanctionable on all appropriate entries. In accordance multi-piece configuration. One-piece violation. with 19 CFR 351.212(b)(1), we have gift boxes are die-cut or otherwise We are issuing and publishing this calculated, whenever possible, an formed so that the top, bottom, and administrative review and notice in exporter/importer (or customer)-specific sides form a single, contiguous unit. accordance with sections 751(a)(1) and assessment value for subject Two-piece gift boxes are those with a 777(i) of the Act. folded bottom and a folded top as merchandise. The Department will issue separate pieces. Certain folding gift appropriate assessment instructions Dated: December 17, 2003. boxes are generally packaged in shrink- directly to CBP within 15 days of James J. Jochum, wrap, cellophane, or other packaging publication of these final results of Assistant Secretary for Import materials, in single or multi-box packs review. We will direct CBP to assess the Administration. for sale to the retail customer. The scope resulting assessment rates against the [FR Doc. E3–00614 Filed 12–22–03; 8:45 am] of the order excludes folding gift boxes entered customs values for the subject BILLING CODE 3510–DS–S that have a retailer’s name, logo, merchandise on each of the importer’s trademark or similar company entries during the review period. DEPARTMENT OF COMMERCE information printed prominently on the Cash-Deposit Requirements box’s top exterior (such folding gift International Trade Administration boxes are often known as ‘‘not-for- The following deposit requirements resale’’ gift boxes or ‘‘give-away’’ gift will be effective upon publication of [A–201–802] boxes and may be provided by this notice of final results of department and specialty stores at no administrative review for all shipments Gray Portland Cement and Clinker charge to their retail customers). The of folding gift boxes entered, or From Mexico; Notice of Extraordinary scope of the order also excludes folding withdrawn from warehouse, for Challenge Committee’s Final Decision gift boxes where both the outside of the consumption on or after the date of and Amended Final Results of box is a single color and the box is not publication, as provided by section Antidumping Duty Administrative packaged in shrink-wrap, cellophane, 751(a)(1) of the Act: (1) The cash- Review other resin-based packaging films, or deposit rates for the reviewed companies will be the rates established AGENCY: Import Administration, paperboard. International Trade Administration, Imports of the subject merchandise above; (2) for previously investigated or Department of Commerce. are classified under Harmonized Tariff reviewed companies not listed above, Schedules of the United States (HTSUS) the cash-deposit rate will continue to be ACTION: Notice of Extraordinary subheadings 4819.20.00.40 and the company-specific rate published for Challenge Committee’s final decision 4819.50.40.60. These subheadings also the most recent period; (3) the cash and amended final results of cover products that are outside the deposit rate for all other PRC exporters antidumping duty administrative scope of the order. Furthermore, (except for Max Fortune, which was review. excluded from the antidumping duty although the HTSUS subheadings are SUMMARY: On October 30, 2003, the provided for convenience and customs order) will be the ‘‘PRC-wide’’ rate; and (4) the cash deposit rate for all other Extraordinary Challenge Committee purposes, our written description of the issued its decision to deny the scope of the order is dispositive. non-PRC exporters will be the rate applicable to the PRC exporter that Department of Commerce’s April 13, Analysis of the Comments Received supplied that exporter. 2000, extraordinary challenge petition No parties submitted comments on These deposit requirements shall with respect to a determination made by the preliminary results of review. remain in effect until publication of the the Binational Panel in the final results Accordingly, there is no concurrent final results of the next administrative of administrative review of the issues and decision memorandum or review. antidumping duty order on gray analysis memorandum issued with This notice serves as a final reminder portland cement and clinker from these final results of review. Further, we to importers of their responsibility Mexico covering the period August 1, have made no changes in the under 19 CFR 351.402(f) to file a 1994, through July 31, 1995. As there is calculations since the preliminary certificate regarding the reimbursement now a final and conclusive decision in results of review. of antidumping duties prior to this case, we are amending the amended liquidation of the relevant entries final results of review and we will Final Results of Review during this review period. Failure to instruct U.S. Customs and Border We determine the following comply with this requirement could Protection to liquidate entries subject to percentage weighted-average dumping result in the Department’s presumption this review. margins exist for folding gift boxes for that reimbursement of antidumping EFFECTIVE DATE: December 23, 2003.

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FOR FURTHER INFORMATION CONTACT: Border Protection (Customs) to liquidate and Border Protection (CBP) to assess Hermes Pinilla or Mark Ross, Office of entries subject to this review. antidumping duties as appropriate. AD/CVD Enforcement 3, Import Interested parties are invited to Amendment to Amended Final Results Administration, International Trade comment on these preliminary results. Administration, U.S. Department of Pursuant to section 516A(g) of the EFFECTIVE DATE: December 23, 2003. Tariff Act of 1930, as amended (the Act), Commerce, 14th Street and Constitution FOR FURTHER INFORMATION CONTACT: we are now amending the amended Avenue, NW., Washington, DC 20230; Timothy P. Finn or Kevin Williams, AD/ final results of the administrative review telephone: (202) 482–3477 or (202) 482– CVD Enforcement, Office IV, Group II, of the antidumping duty order on gray 4794, respectively. Import Administration, International portland cement and clinker from SUPPLEMENTARY INFORMATION: Trade Administration, U.S. Department Mexico for the period August 1, 1994, of Commerce, 14th and Constitution Background through July 31, 1995. Based on the Avenue, NW., Washington, DC 20230; final results of redetermination on On April 9, 1997, the Department of telephone: (202) 482–0065 or (202) 482– remand, the weighted-average Commerce (the Department) published 2371, respectively. antidumping margin for CEMEX and in the Federal Register the final results SUPPLEMENTARY INFORMATION: of the administrative review of the GCCC changes from 73.69 percent to antidumping duty order on gray 44.89 percent. Background The Department will determine and portland cement and clinker from Customs will assess appropriate On December 3, 2001, the Department Mexico (62 FR 17148) (amended May 5, antidumping duties on entries of the published in the Federal Register the 1997) 1 (Fifth Review Final Results). subject merchandise exported by firms antidumping duty order on HRS from CEMEX, S.A. de C.V. (CEMEX), GCC India. See Notice of Amended Final 2 covered by this review. Cemento, S.A. de C.V. (GCCC) , and the We are issuing and publishing this Antidumping Duty Determination of Southern Tier Cement Committee (the determination and notice in accordance Sales at Less Than Fair Value and petitioner) contested various aspects of with section 516A(g) of the Act. Antidumping Duty Order: Certain Hot- the Department’s Fifth Review Final Rolled Carbon Steel Flat Products from Results. On June 18, 1999, the Dated: December 17, 2003. India, 66 FR 60194 (December 3, 2001) Binational Panel (the Panel) issued an James J. Jochum, (Amended Final Determination). On order remanding to the Department the Assistant Secretary for Import December 2, 2002, the Department Fifth Review Final Results. Specifically, Administration. published a notice of ‘‘Opportunity to the Panel instructed the Department to [FR Doc. E3–00615 Filed 12–22–03; 8:45 am] Request Administrative Review’’ of the implement the following: (1) Exclude BILLING CODE 3510–DS–S antidumping duty order on HRS from the respondents’ home-market sales of India. See Antidumping or bagged Type I cement from the foreign Countervailing Duty Order, Finding, or like product in the calculation of normal DEPARTMENT OF COMMERCE Suspended Investigation; Opportunity value; (2) re-examine the record International Trade Administration to Request Administrative Review, 67 evidence to determine whether a FR 71533 (December 2, 2002). On constructed-export-price offset should [A–533–820] December 30 and 31, 2002, Essar Steel be granted; (3) recalculate the Ltd. (Essar) and Tata Iron and Steel difference-in-merchandise adjustment to Certain Hot-Rolled Carbon Steel Flat Company Ltd. (Tata), Indian producers/ reflect the exclusion of home-market Products from India: Preliminary exporters of subject merchandise, sales of bagged cement; (4) correct Results and Rescission in Part of requested administrative reviews of certain ministerial errors. Antidumping Duty Administrative their entries during the POR. On January On November 15, 1999, the Review 15, 2003, the Department initiated an Department issued the final results of AGENCY: Import Administration, administrative review of Essar and Tata. redetermination on remand, and on International Trade Administration, National Steel Corporation, Nucor February 10, 2000, the Panel affirmed Department of Commerce. Corporation, and United States Steel these results and dismissed the case. ACTION: Notice of Preliminary Results Corporation, petitioners in this See Secretariat File No. USA–97–1904– and Rescission in Part of Antidumping proceeding, did not request an 01. On April 30, 2000, the Department Duty Administrative Review. administrative review. See Initiation of filed an extraordinary challenge petition Antidumping and Countervailing Duty with the Extraordinary Challenge SUMMARY: In response to requests from Administrative Reviews and Request for Committee (ECC). On October 30, 2003, Indian producers/exporters of the Revocation in Part, 68 FR 3009 (January the ECC determined that the subject merchandise, the Department of 22, 2003). Department’s petition did not meet the Commerce (the Department) is On January 3, 2003, the Department criteria required for an extraordinary conducting an administrative review of issued an antidumping questionnaire to challenge review and thus denied the the antidumping duty order on certain Essar and Tata. The Department Department’s petition. Therefore, as hot-rolled carbon steel flat products received Essar’s responses to the there is now a final and conclusive ECC (HRS) from India. The review covers questionnaire in January and February decision in this action, we are amending one producer/exporter of subject 2003. On January 15, 2003, Essar our amended final results of review and merchandise during the period of requested that it be allowed to report we will instruct U.S. Customs and review (POR), May 3, 2001, through cost and home market sales information November 30, 2002. The Department for periods other than the POR. On 1 See Gray Portland Cement and Clinker from has preliminarily determined that no February 25, 2003, the Department Mexico: Amended Final Results of Antidumping dumping margin exists for the allowed Essar to limit the reporting Duty Administrative Review, 62 FR 24414 (May 5, manufacturer/exporter during the POR. period for its home market sales to the 1997). 2 Cementos de Chihuahua, S.A. de C.V., was If these preliminary results are adopted period May 1, 2002, through January 31, GCCC’s formal name during this segment of the in our final results of administrative 2003. On March 5, 2003, Tata withdrew proceeding. review, we will instruct U.S. Customs its request for an administrative review.

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On April 29, 2003, the Department as chromium, copper, niobium, 7208.25.30.00, 7208.25.60.00, allowed Essar to expand the POR for vanadium, and molybdenum. The 7208.26.00.30, 7208.26.00.60, cost reporting purposes to include the substrate for motor lamination steels 7208.27.00.30, 7208.27.00.60, month of April 2001. The Department contains micro-alloying levels of 7208.36.00.30, 7208.36.00.60, issued supplemental questionnaires to elements such as silicon and aluminum. 7208.37.00.30, 7208.37.00.60, Essar in March, April, May, June and Steel products to be included in the 7208.38.00.15, 7208.38.00.30, July 2003, and received timely scope of the order, regardless of 7208.38.00.90, 7208.39.00.15, responses. On June 27, 2003, Essar definitions in the Harmonized Tariff 7208.39.00.30, 7208.39.00.90, requested that it be excluded from Schedule of the United States (HTSUS), 7208.40.60.30, 7208.40.60.60, reporting sales from stockyards. On are products in which: (i) iron 7208.53.00.00, 7208.54.00.00, August 6, 2003, the Department granted predominates, by weight, over each of 7208.90.00.00, 7211.14.00.90, Essar’s request regarding its stockyard the other contained elements; (ii) the 7211.19.15.00, 7211.19.20.00, sales. carbon content is 2 percent or less, by 7211.19.30.00, 7211.19.45.00, On August 27, 2003 and November 4, weight; and iii) none of the elements 7211.19.60.00, 7211.19.75.30, 2003, the Department published in the listed below exceeds the quantity, by 7211.19.75.60, and 7211.19.75.90. Federal Register notices extending the weight, respectively indicated: Certain hot-rolled carbon steel flat deadline for issuing the preliminary 1.80 percent of manganese, or products covered by the order, results in this case until no later than 2.25 percent of silicon, or including: vacuum degassed fully November 3, 2003, and December 15, 1.00 percent of copper, or stabilized; high strength low alloy; and 2003, respectively. See Certain Hot- 0.50 percent of aluminum, or the substrate for motor lamination steel Rolled Carbon Steel Flat Products from 1.25 percent of chromium, or may also enter under the following tariff India: Extension of Time Limit for 0.30 percent of cobalt, or numbers: 7225.11.00.00, 7225.19.00.00, Preliminary Results of Antidumping 0.40 percent of lead, or 7225.30.30.50, 7225.30.70.00, Duty Administrative Review, 68 FR 1.25 percent of nickel, or 7225.40.70.00, 7225.99.00.90, 51557 (August 27, 2003); also see 0.30 percent of tungsten, or 7226.11.10.00, 7226.11.90.30, Certain Hot-Rolled Carbon Steel Flat 0.10 percent of molybdenum, or 7226.11.90.60, 7226.19.10.00, Products from India: Extension of Time 0.10 percent of niobium, or 7226.19.90.00, 7226.91.50.00, Limit for Preliminary Results of 0.15 percent of vanadium, or 7226.91.70.00, 7226.91.80.00, and Antidumping Duty Administrative 0.15 percent of zirconium. 7226.99.00.00. Subject merchandise Review, 68 FR 62430 (November 4, All products that meet the physical may also enter under 7210.70.30.00, 2003). and chemical description provided 7210.90.90.00, 7211.14.00.30, above are within the scope of the order Scope of the Review 7212.40.10.00, 7212.40.50.00, and unless otherwise excluded. The 7212.50.00.00. Although the HTSUS The products covered by the following products, by way of example, subheadings are provided for antidumping duty order are certain hot- are outside or specifically excluded convenience and customs purposes, the rolled carbon steel flat products of a from the scope of the order: • written description of the merchandise rectangular shape, of a width of 0.5 inch Alloy hot-rolled steel products in under investigation is dispositive. or greater, neither clad, plated, nor which at least one of the chemical coated with metal and whether or not elements exceeds those listed above Period of Review painted, varnished, or coated with (including, e.g., American Society for The POR is May 3, 2001, through plastics or other non-metallic Testing and Materials (ASTM) November 30, 2002. substances, in coils (whether or not in specifications A543, A387, A514, A517, successively superimposed layers), A506). Final Partial Rescission of Review regardless of thickness, and in straight • Society of Automotive Engineers As provided in 19 CFR 351.213(d)(1), lengths, of a thickness of less than 4.75 (SAE)/American Iron & Steel Institute ‘‘the Secretary will rescind an mm and of a width measuring at least (AISI) grades of series 2300 and higher. administrative review under this 10 times the thickness. Universal mill • Ball bearing steels, as defined in the section, in whole or in part, if a party plate (i.e., flat-rolled products rolled on HTSUS. that requested a review withdraws the four faces or in a closed box pass, of a • Tool steels, as defined in the HTSUS. request within 90 days of the date of width exceeding 150 mm, but not • Silico-manganese (as defined in the publication of notice of initiation of the exceeding 1250 mm, and of a thickness HTSUS) or silicon electrical steel with requested review.’’ Tata withdrew its of not less than 4.0 mm, not in coils and a silicon level exceeding 2.25 percent. request for an administrative review without patterns in relief) of a thickness • ASTM specifications A710 and A736. within 90 days of the date of publication not less than 4.0 mm is not included • USS abrasion-resistant steels (USS AR of the notice of initiation of the instant within the scope of the order. 400, USS AR 500). administrative review and no other Specifically included within the • All products (proprietary or party requested an administrative scope of the order are vacuum degassed, otherwise) based on an alloy ASTM review of Tata. Therefore, the fully stabilized (commonly referred to as specification (sample specifications: Department is rescinding the instant interstitial-free (IF)) steels, high strength ASTM A506, A507). administrative review with respect to low alloy (HSLA) steels, and the • Non-rectangular shapes, not in coils, Tata. substrate for motor lamination steels. IF which are the result of having been steels are recognized as low carbon processed by cutting or stamping and Verification steels with micro-alloying levels of which have assumed the character of As provided in section 782(i) of the elements such as titanium or niobium articles or products classified outside Tariff Act of 1930, as amended (the Act), (also commonly referred to as chapter 72 of the HTSUS. the Department conducted a verification columbium), or both, added to stabilize The merchandise subject to the order of the sales and cost information carbon and nitrogen elements. HSLA is classified in the HTSUS at provided by Essar. The Department steels are recognized as steels with subheadings: 7208.10.15.00, conducted this verification using micro-alloying levels of elements such 7208.10.30.00, 7208.10.60.00, standard verification procedures

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including: on-site inspection of the with the Essar Group companies and the year. Publicly available data from manufacturer’s facilities, examination of footnote 41 companies that it failed to independent sources that relate to the relevant sales, cost, production and identify as affiliated parties. relevant time period are generally financial records and selection of Specifically, we determined that the considered to be both relevant and relevant source documentation as costs that Essar incurred as a result of reliable because they are exhibits. The Department’s verification its transactions with these companies contemporaneous with the period under findings are identified in the sales and are less than the costs it would have consideration and not generated for cost verification memoranda dated incurred had the transactions been purposes of the trade action. Because December 15, 2003, the public versions conducted with unaffiliated parties. Ispat is an Indian producer of hot-rolled of which are on file in the Central Transactions with these companies carbon steel flat products and its 2000– Records Unit (CRU), room B099 of the affect Essar’s general and administrative 2001 financial statements are publicly main Commerce building. (G&A) expenses, financing expenses, available and cover a period close in Use of Partial Adverse Facts Available and manufacturing overhead expenses. time to the POR, the Department As adverse facts available, we considers these statements to have Section 776(a)(2) of the Act provides recalculated the G&A ratio used by Essar probative value, and therefore, to be that, if an interested party (A) withholds using information contained in Ispat corroborated. information requested by the Industries Ltd.’s (Ispat) 2000–2001 Department, (B) fails to provide such financial statements. We also adjusted Date of Sale information by the deadline for Essar’s manufacturing overhead Essar reported the invoice date for submission of the information, or in the expenses and financial expenses based both its home market and U.S. sales to form and manner requested, (C) on available information regarding the be the date of sale. Although the significantly impedes an antidumping amount by which the costs that Essar Department maintains a presumption or countervailing proceeding, or (D) incurred as a result of its transactions that the invoice date is the date of sale provides information that cannot be with affiliated parties are less than (19 CFR 351.401(i)), ‘‘[i]f the verified, the Department shall use, market prices. For a complete Department is presented with subject to section 782(d) of the Act, facts discussion of our use of adverse facts satisfactory evidence that the material otherwise available in reaching the available, see the memorandum from terms of sale are finally established on applicable determination. In selecting Thomas F. Futtner, Acting Director, a date other than the date of invoice, the from among the facts otherwise Office IV, to Holly A. Kuga, Acting available, section 776(b) of the Act Department will use that alternative Deputy Assistant Secretary, dated provides that if the Department finds December 15, 2003 (Facts Available date as the date of sale.’’ Antidumping that an interested party failed to Memorandum), which is on file in the Duties; Countervailing Duties: Final cooperate by not acting to the best of its CRU. Rule, 62 FR 27296, 27349 (May 19, ability to comply with a request for 1997) (Preamble). Because the record information, the Department may use an Section 776(c) of the Act provides that evidence does not indicate that the inference that is adverse to the interests when the Department relies on material terms of home market sales are of the party. The Act provides that an secondary information rather than on finally established on a date other than adverse inference may include reliance information obtained in the course of an the date of the invoice, consistent with on information derived from the investigation or review, it shall, to the the methodology employed with respect petition, a final determination in an extent practicable, corroborate that to Essar in the investigation, the information from independent sources antidumping investigation or review, or Department is preliminarily using the that are reasonably at its disposal. The any other information placed on the invoice date as the date of Essar’s home percentage used to increase Essar’s record. See section 776(b)(1), (2), (3), market sales. However, with respect to manufacturing overhead and financial and (4) of the Act. Essar’s U.S. sales, the Department found expenses is not considered secondary During the administrative review, no evidence of changes to the material information because it is based on Essar withheld certain information terms of sale after the contract date (e.g., information obtained during the course requested by the Department regarding changes to the price, quantity, of this review from Essar. Therefore, the its relationships with certain production or shipment schedules). companies, and reported information Department is not required to Therefore, the Department is regarding such relationships that does corroborate this percentage. With preliminarily using the contract date as not agree with the Department’s respect to the G&A expenses, we the date of Essar’s U.S. sales. verification findings. Moreover, the obtained Ispat’s 2000–2001 financial record indicates that Essar significantly statements from the public record of the Fair Value Comparison impeded the proceeding with respect to investigation of certain cold-rolled the issue of affiliation and did not carbon steel flat products from India. In order to determine whether Essar cooperate by acting to the best of its See Certain Cold-Rolled Carbon Steel sold HRS to the United States at less ability to comply with the Department’s Flat Products From Argentina, than normal value (NV), the Department requests for information regarding its Australia, Belgium, Brazil, France, compared the export price (EP) of relationships with the companies at Germany, India, Japan, Korea, the individual U.S. sales to the monthly issue. Therefore, as partial adverse facts Netherlands, New Zealand, the People’s weighted-average NV of sales of the available, the Department has Republic of China, the Russian foreign like product made in the preliminarily determined that Essar is Federation, South Africa, Spain, ordinary course of trade (see section affiliated with all of the companies in Sweden, Taiwan, Thailand, Turkey, and 777A(d)(2) of the Act; see also section the Essar Group, as well as the Venezuela; Notice of Initiation of 773(a)(1)(B)(i) of the Act). The companies identified in footnote 41 of Antidumping Duty Investigations, 66 FR methodology used to compare sales and Essar’s 2001/2002 Annual Report. 54198, 54207 (October 26, 2001). These to calculate EP and NV are described in Additionally, we applied an adverse financial statements cover the period the ‘‘Comparison Methodology’’, inference by determining that Essar did April 1, 2000, through March 31, 2001, ‘‘Export Price,’’ and ‘‘Normal Value’’ not engage in arm’s-length transactions which predates the POR by one fiscal sections of this notice.

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Comparison Methodology In determining whether separate the Act, we increased EP by the In accordance with section 771(16) of LOTs exist, we obtained information countervailing duty (CVD) rate the Act, the Department considered all from Essar about the marketing stages attributable to the export subsidies products within the scope of this review for the reported U.S. and home market found in the CVD investigation of HRS that Essar produced and sold in the sales, including a description of the from India (the ongoing first comparison market during the POR to selling activities performed by Essar for administrative review of the CVD order be foreign like products for purposes of each channel of distribution. In has not yet been completed). Essar claimed an adjustment for duty determining appropriate product identifying LOTs for EP and home drawback under the Duty Free comparisons to HRS sold in the United market sales, we considered the selling functions reflected in the starting price Remission Scheme (DFRC). The States. The Department determined that before any adjustments. See 19 CFR Department applies a two-pronged test the home market is the appropriate 351.412(c)(1)(i) and (iii). We expect that, to determine whether to grant a comparison market because the if claimed LOTs are the same, the respondent a duty drawback adjustment aggregate quantity of Essar’s home selling functions and activities of the pursuant to section 772(c)(1)(B) of the market sales of foreign like product is seller at each level should be similar. Act. Specifically, the Department grants more than five percent of the aggregate Conversely, if a party claims that LOTs a respondent a duty drawback quantity of its U.S. sales of subject are different for different groups of adjustment if it finds that: (1) Import merchandise (see section 773(a)(1)(C) of sales, the selling functions and activities duties and rebates are directly linked to, the Act and the ‘‘Normal Value’’ section of the seller for each group should be and are dependent upon, one another, of this notice, below). The Department dissimilar. and (2) the company claiming the compared U.S. sales to sales made in the In its questionnaire responses, Essar adjustment can demonstrate that there home market within the reported that during the POR, it sold the are sufficient imports of raw materials to contemporaneous window period, foreign like product in the home market account for the duty drawback received which extends from three months prior through one channel of distribution and on exports of the manufactured product. to the U.S. sale until two months after in the United States through one See Steel Wire Rope from the Republic the sale. Where there were no sales of channel of distribution. We found that of Korea; Final Results of Antidumping identical merchandise made in the Essar engaged in similar selling Duty Administrative Review, 61 FR home market in the ordinary course of activities for all home market sales. 55965, 55968 (October 30, 1996). trade, the Department compared U.S. There are also no differences in the However, Essar failed to demonstrate sales to sales of the most similar foreign selling functions performed in the U.S. that it received a duty drawback from like product made in the ordinary channel of distribution. Based on the the Government of India (GOI) under course of trade. In making product similarity of the selling functions, we the DFRC program. In fact, Essar comparisons, the Department selected have determined that Essar sold HRS at indicated that its application for the identical and most similar foreign like one LOT in the home market and one DFRC program had not yet been products based on the physical LOT in the U.S. market. We also found approved. See Essar’s April 22, 2003 characteristics reported by Essar in the that the selling activities performed by supplemental questionnaire response at following order of importance: painted Essar in the home market are similar to 62. At verification, company officials or not painted; quality; carbon content; those performed in the U.S. market. again reported that Essar had yet to yield strength; thickness; width; cut-to- Specifically, Essar engaged in price receive approval of its application for length or coil; tempered or not negotiations, contacted customers, the DFRC program. Because there is no tempered; pickled or not pickled; edge processed orders, made freight evidence that Essar received duty trim; and with or without patterns in arrangements, collected payments and drawback under the DFRC program, we relief. extended credit, and provided warranty have not increased U.S. price by the Level of Trade services in both markets at similar levels amount of drawback claimed by Essar. of intensity. Therefore, we have In accordance with section preliminarily determined that the LOTs Normal Value 773(a)(1)(B) of the Act, to the extent in the home and U.S. markets are the After testing home market viability, practical, the Department determined same LOT. Thus, a LOT adjustment is whether sales to affiliates were at arm’s- NV based on sales in the home market not required for comparison of U.S. length prices, and whether home market at the same level of trade (LOT) as the sales to home market sales. sales failed the cost test, we calculated EP sales. The NV LOT is that of the NV as noted in subsection 4, Export Price starting-price sales in the home market. ‘‘Calculation of NV,’’ below. For EP sales, the U.S. LOT is also the In calculating U.S. price, the level of the starting-price sale. Department used EP, as defined in 1. Home Market Viability To determine whether NV sales are at section 772(a) of the Act, because the In order to determine whether there is a different LOT than the EP sales, we merchandise was sold, prior to a sufficient volume of sales in the home examined stages in the marketing importation, by Essar to unaffiliated market to serve as a viable basis for process and selling activities along the purchasers in the United States. We calculating NV (i.e., whether the chain of distribution between the calculated EP based on the packed, aggregate volume of home market sales producer and the unaffiliated customer. delivered prices charged to unaffiliated of the foreign like product is equal to or If the home market sales are at a customers in the United States. In greater than five percent of the aggregate different LOT, and the difference affects accordance with section 772(c)(2)(A) of volume of U.S. sales), see 19 CFR price comparability, as manifested in a the Act, we made deductions from the 351.404(b)(2), we compared Essar’s pattern of consistent price differences starting price, where applicable, for volume of home market sales of the between the home market sales on foreign movement expenses (including foreign like product to the volume of its which NV is based and the home market brokerage and handling and inland U.S. sales of subject merchandise, in sales at the LOT of the export freight), international freight, U.S. accordance with section 773(a)(1) of the transaction, we make a LOT adjustment duties and importer handling fees. In Act. Because Essar’s aggregate volume of under section 773(a)(7)(A) of the Act. accordance with section 772(c)(1)(C) of home market sales of the foreign like

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product is greater than five percent of its A. Calculation of COP within an extended period of time (i.e., aggregate volume of U.S. sales of subject In accordance with section 773(b)(3) a period of one year). Further, because merchandise, we determined that the of the Act, we calculated the weighted- we compared prices to POR-average home market is viable and have used average COP, by model, for the POR costs, we determined that the below- the home market as the comparison based on the sum of materials and cost prices would not permit recovery of market. fabrication costs, G&A expenses, and all costs within a reasonable time period, and thus, we disregarded the 2. Affiliated-Party Transactions and packing costs. We relied on Essar’s cost below-cost sales in accordance with Arm’s-Length Test data, as submitted, except as noted below: sections 773(b)(1) and (2) of the Act. We found that for certain products, The Department may calculate NV 1. Essar purchased iron-ore pellets, an Essar made home market sales at prices based on a sale to an affiliated party input used to manufacture the below the COP within an extended only if it is satisfied that the price to the merchandise under review, from an period of time in substantial quantities. affiliated party is comparable to the affiliated party, Hy-Grade Pellets Further, we found that these sales prices price at which sales are made to parties Limited (Hy-Grade), at a price below did not permit the recovery of costs not affiliated with the exporter or Hy-Grade’s COP. Pursuant to section within a reasonable period of time. producer, i.e., sales at arm’s-length. See 773(f)(3) of the Act, we adjusted the Therefore, we excluded these sales from 19 CFR 351.403(c). Sales to affiliated reported per-unit cost of iron-ore our analysis in accordance with section customers for consumption in the home pellets to reflect Hy-Grade’s COP. 773(b)(1) of the Act. market that were determined not to be 2. We disallowed Essar’s reported scrap at arm’s-length were excluded from our offset because the offset was based, in D. Calculation of CV analysis. Essar reported sales of the part, on sales of scrap to affiliated foreign like product to affiliated end- In accordance with section 773(e)(1) parties. of the Act, we calculated CV by adding users and resellers. To test whether 3. As indicated in the ‘‘Use of Partial these sales were made at arm’s-length together Essar’s materials, fabrication, Adverse Facts Available’’ above, we selling and G&A expenses and interest prices, the Department compared the based Essar’s G&A expenses on prices of sales of comparable expenses and profit. In accordance with adverse facts available and made an section 773(e)(2)(A) of the Act, we based merchandise to affiliated and adverse adjustment to Essar’s unaffiliated customers, net of all rebates, selling and G&A expenses and profit on manufacturing overhead expenses and the amounts incurred by Essar in movement charges, direct selling financial expenses. See Facts expenses, and packing. Pursuant to 19 connection with the production and sale Available Memorandum. of the foreign like product in the CFR 351.403(c), and in accordance with For further information regarding the Department’s practice, when the ordinary course of trade, for each of the above adjustments, see the consumption in the home market. prices charged to an affiliated party calculation memorandum from Timothy were, on average, between 98 and 102 P. Finn, Senior Import Compliance 4. Calculation of NV percent of the prices charged to Specialist, to the File, dated December We calculated NV from ex-factory unaffiliated parties for merchandise 15, 2003, on file in the CRU. prices to unaffiliated customers in the comparable to that sold to the affiliated home market. These prices include party, we determined that the sales to B. Test of Comparison Market Sales charges for packing. We made the affiliated party were at arm’s-length. Prices deductions from the starting price, See Antidumping Proceedings: As required under section 773(b) of when appropriate, for discounts and Affiliated Party Sales in the Ordinary the Act, we compared the adjusted rebates, and movement expenses and Course of Trade, 67 FR 69186 weighted-average COPs to home market domestic brokerage and handling. See (November 15, 2002). We included in sales of the foreign like product, in section 773(a)(6)(B)(ii) of the Act. In our NV calculations those sales to order to determine whether these sales accordance with section 773(a)(6)(A) affiliated parties that were made at had been made at prices below the COP and (B) of the Act, we added U.S. arm’s length prices. within an extended period of time in packing costs to, and deducted home 3. Cost of Production (COP) Analysis substantial quantities, and whether such market packing costs from, the starting prices were sufficient to permit the price. In addition, in accordance with In the investigation of HRS from recovery of all costs within a reasonable section 773(a)(6)(C)(iii) of the Act, we India, the most recently completed period of time. On a model-specific made circumstance of sale (COS) segment of this proceeding, the basis, we compared the adjusted COPs adjustments to the starting price by Department disregarded Essar’s home to home market prices, less any deducting direct selling expenses market sales that failed the cost test. See applicable movement charges and direct incurred on home market sales from the Notice of Preliminary Determination of and indirect selling expenses. starting price and adding U.S. direct Sales at Less Than Fair Value and selling expenses to the starting price. Postponement of Final Determination: C. Results of the COP Test Certain Hot-Rolled Carbon Steel Flat Pursuant to section 773(b)(2)(C) of the Currency Conversion Products From India, 66 FR 22157 (May Act, if less than 20 percent of Essar’s Pursuant to section 773A(a) of the 3, 2001) (a portion of Essar’s home sales of a given product were made at Act, we converted foreign currencies market sales continued to be prices below the COP, we did not into U.S. dollars using the exchange disregarded in the final determination). disregard any below-cost sales of that rates in effect on the dates of the U.S. Accordingly, pursuant to section product because the below-cost sales sales as certified by the Federal Reserve 773(b)(2)(A)(ii) of the Act, the were not made in ‘‘substantial Bank. Department, initiated a COP quantities.’’ If 20 percent or more of investigation of Essar for purposes of Essar’s sales of a given product during Preliminary Results of Review this administrative review. We the POR were made at prices below the As a result of this review, we conducted the COP analysis as COP, we determined that such sales preliminarily determine that the described below. were made in substantial quantities following weighted-average percentage

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margin exists for the period May 3, Cash Deposit Requirements DEPARTMENT OF COMMERCE 2001, through November 30, 2002: The following cash deposit International Trade Administration requirements will be effective upon Margin [A–421–807] Manufacturer/Exporter (percent) publication of these final results for all shipments of the subject merchandise Notice of Amended Antidumping Duty Essar Steel Ltd...... 0.00 entered, or withdrawn from warehouse, for consumption on or after the Order; Certain Hot-Rolled Carbon Steel publication date of these final results of Flat Products From The Netherlands The Department will disclose the administrative review, as provided by calculations used in its analysis to AGENCY: Import Administration, section 751(a)(1) of the Act: (1) The cash parties to this proceeding within five International Trade Administration, deposit rate for the reviewed company days of the publication date of this Department of Commerce. will be the rate established in the final ACTION: notice. See 19 CFR 351.224(b). Any results of this review (except that if the Notice of amended antidumping interested party may request a hearing rate is de minimis, i.e., less than 0.5 duty order. within 30 days of the publication date percent, no cash deposit rate will be of this notice. See 19 CFR 351.310(c). If SUMMARY: On November 29, 2001, the required); (2) for previously investigated Department of Commerce (the requested, a hearing will be held 44 or reviewed companies not listed above, days after the date of publication of this Department) published the antidumping the cash deposit rate will continue to be duty order on certain hot-rolled carbon notice, or the first workday thereafter. the company-specific rate published for Interested parties may submit case briefs steel flat products (hot-rolled steel) from the most recent period; (3) if the the Netherlands. See Antidumping Duty within 30 days of the date of publication exporter is not a firm covered in this of this notice. See 19 CFR 309(c). Order: Certain Hot-Rolled Carbon Steel review, a prior review, or the original Flat Products From the Netherlands, 66 Rebuttal briefs, limited to issues raised less than fair value (LTFV) FR 59565 (November 29, 2001). As a in the case briefs, may be filed not later investigation, but the manufacturer is, result of the Court of International than 7 days after the deadline for filing the cash deposit rate will be the rate Trade’s (the Court’s) decisions in Corus case briefs. See 19 CFR 309(d). Parties established for the most recent period Staal BV, et al. v. United States, 283 F. who submit written arguments are for the manufacturer of the Supp. 2d 1357 (CIT 2003) (Corus Staal requested to submit with each merchandise; and (4) the cash deposit BV III) and Corus Staal BV, et al. v. argument: (1) a statement of the issue, rate for all other manufacturers or United States, 279 F. Supp. 2d 1363 (2) a brief summary of the argument and exporters will continue to be the ‘‘all (CIT 2003) (Corus Staal BV II), we are (3) a table of authorities. Further, we others’’ rate of 38.72 percent, which is publishing this notice of amended request that parties submitting written the ‘‘all others’’ rate established in the antidumping duty order. comments provide the Department with LTFV investigation.1 See Amended FOR FURTHER INFORMATION CONTACT: an additional copy of the public version Final Determination. These deposit Deborah Scott (202) 482–2657 or Robert of any such comments on a diskette. requirements, when imposed, shall James at (202) 482–0649, Antidumping The Department will publish the notice remain in effect until publication of the and Countervailing Duty Enforcement of the final results of this administrative final results of the next administrative Group III, Import Administration, review. review, which will include the results of International Trade Administration, its analysis of issues raised in any Notification to Interested Parties U.S. Department of Commerce, 14th written comments or hearing, within This notice also serves as a Street and Constitution Avenue, NW., 120 days from the publication date of Washington, DC 20230. this notice. preliminary reminder to importers of their responsibility under 19 CFR EFFECTIVE DATE: December 23, 2003. Assessment Rate 351.402(f)(2) to file a certificate SUPPLEMENTARY INFORMATION: regarding the reimbursement of Upon completion of this Scope of the Order antidumping duties prior to liquidation administrative review, the Department of the relevant entries during this For purposes of this order, the will determine, and CBP shall assess, review period. Failure to comply with products covered are certain hot-rolled antidumping duties on all appropriate this requirement could result in the carbon steel flat products of a entries. In accordance with 19 CFR Secretary’s presumption that rectangular shape, of a width of 0.5 inch 351.212(b)(1), we have calculated an reimbursement of the antidumping or greater, neither clad, plated, nor importer-specific assessment rate for duties occurred and the subsequent coated with metal and whether or not merchandise subject to this review. If assessment of double antidumping painted, varnished, or coated with the importer-specific assessment rate is duties. plastics or other non-metallic above de minimis, we will instruct CBP This administrative review and this substances, in coils (whether or not in to assess the importer-specific rate notice are in accordance with sections successively superimposed layers), uniformly on all entries made during 751(a)(1) and 777(i)(1) of the Act. regardless of thickness, and in straight the POR. The Department will issue Dated: December 15, 2003. lengths, of a thickness of less than 4.75 appropriate assessment instructions mm and of a width measuring at least James J. Jochum, directly to the CBP within 15 days of 10 times the thickness. Universal mill publication of the final results of Assistant Secretary for Import plate (i.e., flat-rolled products rolled on Administration. review. If these preliminary results are four faces or in a closed box pass, of a adopted in the final results of review, [FR Doc. E3–00613 Filed 12–22–03; 8:45 am] width exceeding 150 mm, but not we will direct CBP to assess the BILLING CODE 3510–DS–S exceeding 1250 mm, and of a thickness resulting assessment rates against the of not less than 4.0 mm, not in coils and entered customs values for the subject 1 The ‘‘all others’’ cash deposit rate, applied by CBP, is reduced to account for the export subsidy without patterns in relief) of a thickness merchandise on each of the importers’ rate found in the countervailing duty investigation. not less than 4.0 mm is not included entries during the review period. The adjusted ‘‘all others’’ rate is 23.87 percent. within the scope of this order.

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Specifically included within the scope specification (sample specifications: Determination). On November 13, 2001, of this order are vacuum degassed, fully ASTM A506, A507). the International Trade Commission stabilized (commonly referred to as Non-rectangular shapes, not in coils, notified the Department of its final interstitial-free (IF)) steels, high strength which are the result of having been determination pursuant to section low alloy (HSLA) steels, and the processed by cutting or stamping and 735(b)(1)(A)(i) of the Tariff Act that an substrate for motor lamination steels. IF which have assumed the character of industry in the United States is steels are recognized as low carbon articles or products classified outside materially injured by reason of less- steels with micro-alloying levels of chapter 72 of the HTS. than-fair-value imports of certain hot- elements such as titanium or niobium The merchandise subject to this order rolled steel from the Netherlands. On (also commonly referred to as is classified in the HTS at subheadings: November 29, 2001, the Department columbium), or both, added to stabilize 7208.10.15.00, 7208.10.30.00, published in the Federal Register the carbon and nitrogen elements. HSLA 7208.10.60.00, 7208.25.30.00, antidumping duty order on hot-rolled steels are recognized as steels with 7208.25.60.00, 7208.26.00.30, steel from the Netherlands. See micro-alloying levels of elements such 7208.26.00.60, 7208.27.00.30, Antidumping Duty Order: Certain Hot- as chromium, copper, niobium, 7208.27.00.60, 7208.36.00.30, Rolled Carbon Steel Flat Products From vanadium, and molybdenum. The 7208.36.00.60, 7208.37.00.30, the Netherlands, 66 FR 59565 substrate for motor lamination steels 7208.37.00.60, 7208.38.00.15, (November 29, 2001) (Antidumping contains micro-alloying levels of 7208.38.00.30, 7208.38.00.90, Duty Order). elements such as silicon and aluminum. 7208.39.00.15, 7208.39.00.30, Subsequent to the publication of the Steel products to be included in the 7208.39.00.90, 7208.40.60.30, Department’s antidumping duty order, scope of this order, regardless of 7208.40.60.60, 7208.53.00.00, the petitioners (National Steel definitions in the Harmonized Tariff 7208.54.00.00, 7208.90.00.00, Corporation, Bethlehem Steel Schedule of the United States (HTS), are 7211.14.00.90, 7211.19.15.00, Corporation, and United States Steel products in which: (i) Iron 7211.19.20.00, 7211.19.30.00, Corporation) and the respondent (Corus predominates, by weight, over each of 7211.19.45.00, 7211.19.60.00, Staal BV and Corus Steel USA Inc. the other contained elements; (ii) the 7211.19.75.30, 7211.19.75.60, and (collectively, Corus)) challenged certain carbon content is 2 percent or less, by 7211.19.75.90. Certain hot-rolled flat- aspects of the Department’s Final weight; and (iii) none of the elements rolled carbon steel flat products covered Determination before the Court. In listed below exceeds the quantity, by by this order, including: vacuum addition, the Department requested a weight, respectively indicated: degassed fully stabilized; high strength voluntary remand with respect to the low alloy; and the substrate for motor 1.80 percent of manganese, or inadvertent omission of the proper lamination steel may also enter under 2.25 percent of silicon, or language from the antidumping duty 1.00 percent of copper, or the following tariff numbers: order to cease collection of provisional 0.50 percent of aluminum, or 7225.11.00.00, 7225.19.00.00, measures six months after the 1.25 percent of chromium, or 7225.30.30.50, 7225.30.70.00, publication of the preliminary 0.30 percent of cobalt, or 7225.40.70.00, 7225.99.00.90, determination, in accordance with 0.40 percent of lead, or 7226.11.10.00, 7226.11.90.30, section 733(d) of the Tariff Act. On 1.25 percent of nickel, or 7226.11.90.60, 7226.19.10.00, March 7, 2003, the Court issued a 0.30 percent of tungsten, or 7226.19.90.00, 7226.91.50.00, remand order to the Department for the 0.10 percent of molybdenum, or 7226.91.70.00, 7226.91.80.00, and sole purpose of revising its antidumping 0.10 percent of niobium, or 7226.99.00.00. Subject merchandise duty order to preclude collection of 0.15 percent of vanadium, or may also enter under 7210.70.30.00, provisional measures beyond the six- 0.15 percent of zirconium. 7210.90.90.00, 7211.14.00.30, month period pursuant to section 733(d) All products that meet the physical and 7212.40.10.00, 7212.40.50.00, and of the Tariff Act, and also to explain its chemical description provided above 7212.50.00.00. Although the HTS practice of interpreting the provisional are within the scope of this order unless subheadings are provided for measures time period, i.e., in calendar otherwise excluded. The following convenience and U.S. Customs months or the equivalent in six 30-day products, by way of example, are purposes, the written description of the periods. See Corus Staal BV v. United outside or specifically excluded from merchandise under this order is States, 259 F. Supp. 2d 1253 (CIT 2003). the scope of this order: dispositive. See Certain Hot-Rolled Carbon Steel Flat Products From the Netherlands: Alloy hot-rolled steel products in Amended Antidumping Duty Order which at least one of the chemical Notice of Final Court Decision and elements exceeds those listed above In accordance with section 735(a) of Suspension of Liquidation, 68 FR 60912 (including, e.g., ASTM specifications the Tariff Act of 1930, as amended (October 24, 2003) for a summary of the A543, A387, A514, A517, A506). (Tariff Act), the Department published ensuing litigation. Society of Automotive Engineers its final determination that sales of hot- On September 29, 2003, the Court (SAE)/American Iron and Steel Institute rolled steel from the Netherlands were affirmed the Department’s remand (AISI) grades of series 2300 and higher. being made at less than fair value in the determination and entered a final Ball bearings steels, as defined in the United States. See Notice of Final judgment order in regards to the Final HTS. Determination of Sales at Less Than Determination and Antidumping Duty Tool steels, as defined in the HTS. Fair Value: Certain Hot-Rolled Carbon Order. See Corus Staal BV III; see also Silico-manganese (as defined in the Steel Flat Products, 66 FR 50408 Corus Staal BV II. As a result, the HTS) or silicon electrical steel with a (October 3, 2001) and accompanying Department is now amending the silicon level exceeding 2.25 percent. Issues and Decision Memorandum, as antidumping duty order on hot-rolled ASTM specifications A710 and A736. amended, Notice of Amended Final steel from the Netherlands to lift USS Abrasion-resistant steels (USS Determination of Sales at Less Than suspension of liquidation 180 days from AR 400, USS AR 500). Fair Value: Certain Hot-Rolled Carbon the date of publication of the All products (proprietary or Steel Flat Products, 66 FR 55637 preliminary determination in the otherwise) based on an alloy ASTM (November 2, 2001) (collectively, Final Federal Register until the date of

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publication of the Antidumping Duty DEPARTMENT OF COMMERCE petitioners withdrew their request for an Order. Because the preliminary administrative review of Minasligas. International Trade Administration determination was published on May 3, Rescission of Review 2001, and the Antidumping Duty Order [A–351–806] was published on November 29, 2001, 19 CFR 351.213(d)(1) provides that a the Department will issue instructions Silicon Metal From Brazil: Rescission party that requests an administrative to Customs and Border Protection of Antidumping Duty Administrative review may withdraw the request within 90 days after the date of (Customs) to terminate suspension of Review publication of the notice of initiation of liquidation of all entries of subject AGENCY: Import Administration, the requested administrative review. merchandise made between October 30, International Trade Administration, Since the notice of initiation of this 2001, and November 28, 2001, Department of Commerce. administrative review was published on inclusive, without regard to ACTION: Notice of rescission of an August 22, 2003, and the petitioners, the antidumping duties (i.e., release all party requesting this administrative bonds and refund all cash deposits). In antidumping duty administrative review. review, withdrew their request for addition, in accordance with section review within 90 days after the date of 736(a)(1) of the Tariff Act, the SUMMARY: On August 22, 2003, in publication of the notice of initiation, Department will also instruct Customs response to a request made by the the Department is rescinding the to resume collection, effective petitioners 1, the Department of administrative review of the November 29, 2001, of a cash deposit Commerce (the Department) published a antidumping duty order on silicon equal to the estimated weighted-average notice of initiation of an antidumping metal from Brazil for the period July 1, antidumping duty margins published in duty administrative review of silicon 2002, through June 30, 2003, in the Final Determination. Effective metal from Brazil, for the period of accordance with 19 CFR 351.213(d)(1). November 29, 2001, Customs officers review (POR) July 1, 2002, through June Further, we are rescinding the review must require, at the same time as 30, 2003. Because the petitioners have with respect to CBCC because, since the importers would normally deposit withdrawn their request for review, and initiation of this current review, the estimated duties on this merchandise, a there were no other requests for review Department has revoked the order in cash deposit equal to the estimated for this time period, the Department is part, with respect to CBCC, effective for weighted-average antidumping duty rescinding this review in accordance entries made on or after July 1, 2002. margins as noted below. The ‘‘All with 19 CFR 351.213 (d)(1). See Silicon Metal from Brazil: Final Others’’ rate applies to all exporters of EFFECTIVE DATE: December 23, 2003. Results of Antidumping Duty Administrative Review and Revocation subject hot-rolled steel from the FOR FURTHER INFORMATION CONTACT: of Order in Part 68 FR 57670, 57671 Netherlands not specifically listed. The Maisha Cryor, telephone: (202) 482– (October 6, 2003). 5831, Import Administration, weighted-average dumping margins are This notice is in accordance with International Trade Administration, as follows: section 777(i)(1) of the Tariff Act of U.S. Department of Commerce, 1930, as amended, and 19 CFR Cash deposit Washington, DC 20230. Producer/manufacturer/ 351.213(d)(4). exporter rate SUPPLEMENTARY INFORMATION: (percent) Dated: December 18, 2003. Background Holly A. Kuga, Corus Staal BV ...... 2.59 Acting Deputy Assistant Secretary for Import All Others ...... 2.59 On July 2, 2003, the Department published a notice of opportunity to Administration. request an administrative review of the [FR Doc. E3–00617 Filed 12–22–03; 8:45 am] This notice constitutes the amended antidumping duty order on silicon BILLING CODE 3510–25–U antidumping duty order with respect to metal from Brazil, covering the POR July certain hot-rolled carbon steel flat 1, 2002, through June 30, 2003. See products from the Netherlands. Antidumping or Countervailing Duty DEPARTMENT OF COMMERCE Interested parties may contact the Order, Finding or Suspended International Trade Administration Department’s Central Records Unit, Investigation; Opportunity to Request room B–099 of the main Commerce Administrative Review, 68 FR 39511 Application for Duty-Free Entry of building, for copies of an updated list of (July 2, 2003). On August 22, 2003, Scientific Instrument antidumping duty orders currently in pursuant to a request made by the effect. petitioners, the Department initiated an Pursuant to section 6(c) of the This amended order is published in administrative review of Companhia Educational, Scientific and Cultural accordance with section 736(a) of the Ferroligas Minas Gerais-Minasligas Materials Importation Act of 1966 (Pub. L. 89–651; 80 Stat. 897; 15 CFR part Tariff Act of 1930, as amended. (Minasligas) and Companhia Brasileira Carbureto de Calcio (CBCC), both of 301), we invite comments on the Dated: December 16, 2003. which are subject to the antidumping question of whether an instrument of James J. Jochum, duty order on silicon metal from Brazil equivalent scientific value, for the Assistant Secretary for Import for the POR July 1, 2002, through June purposes for which the instrument Administration. 30, 2003. See Initiation of Antidumping shown below is intended to be used, is [FR Doc. E3–00616 Filed 12–22–03; 8:45 am] and Countervailing Duty Administrative being manufactured in the United States. BILLING CODE 3510–DR–S Reviews and Request for Revocation in Part 68 FR 50750, 50751 (August 22, Comments must comply with 15 CFR 2003). On November 19, 2003, the 301.5(a)(3) and (4) of the regulations and be filed within 20 days with the 1 The petitioners are Elkem Metals Company and Statutory Import Programs Staff, U.S. Globe Metallurgical Inc. Department of Commerce, Washington,

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DC 20230. Applications may be certified the following unit for use in all first year. The applicant intended to examined between 8:30 a.m. and 5 p.m. Northeast fisheries in which VMS units expand the project to eight cages with in Suite 4100W, U.S. Department of are required: Boatracs FMCT/G, cobia, mahi-mahi, greater amberjack, Commerce, Franklin Court Building, available from Boatracs, 1935 Cordell Florida pompano, red snapper and 1099 14th Street, NW., Washington, DC. Court, El Cajon, CA 92020–0911, cubera snapper. The applicant stated Docket Number: 03–054. Applicant: Telephone: (619) 438–6000,1–800–336– that disease-free fingerlings would be Frostburg State University, Department 8722. obtained from the Aquaculture Center of of Biology, 101 Braddock Road, Authority: 16 U.S.C. 1801 et seq. the Florida Keys (59300 Overseas Compton Science Center, Frostburg, MD Highway, Marathon, FL, phone (305) Dated: December 16, 2003. 21532. Instrument: Electron Microscope, 743–6135) and the Marine Science Model JEM–1011. Manufacturer: JEOL Bruce C. Morehead, Institute of the University of Texas (750 Ltd., Japan. Intended Use: The Acting Director, Office of Sustainable Channel View Drive, Port Aransas, TX, instrument is intended to be used for Fisheries, National Marine Fisheries Service. phone (361) 749–6795). Further, the science-related educational purposes in [FR Doc. 03–31613 Filed 12–22–03; 8:45 am] applicant stated that the brood stock the course BIO 436/536, Electron BILLING CODE 3510–22–S and their spawn would be genetically Microscopy for Biologists. Application tagged using the satellite DNA method. accepted by Commissioner of Customs: On July 30, 2003, NMFS published in DEPARTMENT OF COMMERCE December 10, 2003. the Federal Register a notice of receipt Gerald A. Zerdy, National Oceanic and Atmospheric of an application for an exempted fishing permit with a request for Program Manager, Statutory Import Programs Administration Staff. comments on the EFP (68 FR 44745). [I.D. 071703A] During the public comment period, 340 [FR Doc. 03–31595 Filed 12–22–03; 8:45 am] individuals opposed the granting of the BILLING CODE 3510–DS–P Fisheries of the Caribbean, Gulf of EFP. In addition, one shrimp firm Mexico, and South Atlantic; Reef Fish opposed the EFP because it would Fishery of the Gulf of Mexico; Coastal disrupt their operations. Six DEPARTMENT OF COMMERCE Migratory Pelagic Resources of the environmental organizations opposed Gulf of Mexico and South Atlantic; granting the EFP and stated that an National Oceanic and Atmospheric Exempted Fishing Permit Administration Environmental Impact Statement (EIS) AGENCY: National Marine Fisheries rather than an Environmental [I.D. 121203C] Service (NMFS), National Oceanic and Assessment (EA) should be prepared for Vessel Monitoring Systems (VMS); Atmospheric Administration (NOAA), this project. In July 2003, the Florida Certification of New VMS Unit for Use Commerce. Department of Environmental Protection in Northeast Fisheries ACTION: Disapproval of an exempted (FDEP) expressed concerns about the EA fishing permit(EFP). and requested that the EA be revised to AGENCY: National Marine Fisheries reflect their concerns. The Florida Service (NMFS), National Oceanic and SUMMARY: NMFS announces that it has Department of Agriculture and Atmospheric Administration (NOAA), disapproved the request for an Consumer Services supported the Commerce. exempted fishing permit (EFP) from permit application. ACTION: Notice of VMS unit certification. Florida Offshore Aquaculture, Inc., of Consistent with the requirements of Madeira Beach, FL. The EFP would 50 CFR 600.745(b)(3)(i), NMFS provided SUMMARY: NMFS announces the have authorized a 24–month feasibility copies of the EFP application and approval and certification of the study for net cage culture of cobia, information to the State of Florida, the Boatracs FMCT/G (Fisheries Mobile mahi-mahi, greater amberjack, Florida Gulf of Mexico Fishery Management Communications Transceiver/Global pompano, red snapper and cubera Council (Council), the U.S. Coast Guard Positioning System (GPS) based) VMS snapper at a site approximately 33 (Coast Guard), and Region 4 of the unit for use in all fisheries in the statute miles (53 km) WSW. of Johns Environmental Protection Agency (EPA) northeastern United States in which Pass, FL. along with information on the EFP’s VMS units are required. FOR FURTHER INFORMATION CONTACT: effects on target species. DATES: This new FMCT/G VMS unit can Peter Eldridge, 727–570–5305; fax: 727– The Council considered the EFP be used effective December 23, 2003. 570–5583; e-mail: request at its September 2003 meeting, FOR FURTHER INFORMATION CONTACT: [email protected]. and strongly recommended that the EFP Northeast Office for Law Enforcement, SUPPLEMENTARY INFORMATION: The EFP for Florida Offshore Aquaculture, Inc. VMS Program, telephone 978–281– was requested under the authority of the be denied. The Coast Guard and the 9213. Magnuson-Stevens Fishery EPA did not respond to the NMFS SUPPLEMENTARY INFORMATION: Conservation and Management Act (16 request for comments. On October 27, Regulations at 50 CFR 648.9 set forth U.S.C. 1801 et seq.), and regulations at 2003, the Florida Department of VMS requirements for fisheries in the 50 CFR 600.745(b), concerning scientific Environmental Protection commented northeastern United States that require research activity, exempted fishing that the revised EA lacked adequate the use of VMS for fishery monitoring permits, and exempted educational information pertaining to the and/or reporting. Specifically, § 648.9(b) activity. environmental effects of caged lists minimum VMS performance Florida Offshore Aquaculture, Inc., aquaculture operations in warm waters, criteria that a VMS unit must meet in requested an EFP to determine the particularly the Gulf of Mexico, and the order to be certified for use. feasibility of raising fish in the exclusive potential for short- and long-term The Administrator, Northeast Region, economic zone approximately 33 miles environmental impacts due to NMFS, has reviewed all components of (53 km) WSW. of Johns Pass, FL. expansion of the facility. Also, they the FMCT/G and other information Initially, the project intended to raise stated that the precedent setting nature provided by the vendor and has juvenile cobia in four cages during the of the proposed action warrants a

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thorough evaluation under the National need for an EIS, NMFS believes that it electronic mail: [email protected]; Environmental Policy Act. is premature to grant an EFP at this or Thomas Woods, Office of Spectrum The major issues of concern, as time. Rather, applicants should work Management, Frequency Assignment indicated by the Council, environmental closely with the Council to develop Branch Chief, at (202) 482–1132, or organizations, and individuals, appropriate procedures for establishing electronic mail: [email protected]. included: (1) the applicant made false and maintaining future aquaculture SUPPLEMENTARY INFORMATION: New statements in connection with the projects in Federal waters. Thus, NMFS technologies are making widespread application; (2) which vessel would be denies the application for an EFP. beneficial use of the 70, 80, and 90 GHz used for transporting feed and fish to Authority: 16 U.S.C. 1801 et seq. bands possible for the first time. These and from the cages; (3) who would bands, which are shared between Dated: December 17, 2003. conduct the DNA fingerprinting that federal and non-federal users, can now would allow tracking of the aquaculture Bruce C. Morehead, be used to offer a broad range of new fish throughout their sale; (4) possible Acting Director, Office of Sustainable products and services, such as high- escapement and its impact on wild Fisheries, National Marine Fisheries Service. speed wireless local area networks, and stocks; (5) the type of food used for [FR Doc. 03–31611 Filed 12–22–03; 8:45 am] to increase access to broadband services, feeding; (6) possible transfer of diseases BILLING CODE 3510–22–S including access systems for the to wild fish; (7) timing of cage Internet. In order to accelerate the placement offshore; (8) timing of introduction of these technologies, DEPARTMENT OF COMMERCE acquiring fingerlings; (9) the expertise NTIA and the FCC have agreed to use and ability of the applicant to undertake National Telecommunications and an innovative Web-based frequency the endeavor; (10) associated penalties Information Administration coordination mechanism to coordinate for violating the EFP; (11) who is use between the federal and non-federal responsible for any environmental Notice, Establishment of a Frequency sectors. The FCC’s recent Allocations damage; (12) staff expertise on treating Assignment Coordination Web Site and Service Rules Order for the 71–76 disease; (13) how disease outbreaks GHz, 81–86 GHz, and 92–95 GHz bands, would be treated; (14) liability and AGENCY: National Telecommunications set in motion the steps necessary to environmental insurance; (15) paper and Information Administration, implement these technologies. The trail on aquacultured fish throughout Department of Commerce. NTIA/FCC agreement calls for the the marketing chain; (16) possible ACTION: Notice. formulation of a plan for the web-based conflicts or impacts on or with other frequency coordination mechanism SUMMARY: The National fishing activities; (17) possible within four months of the release of the Telecommunications and Information interactions of wild fish or other Allocations and Service Rules Order.2 Administration (NTIA), as part of an organisms with the cages; (18) response Within another four months, the agreement with the Federal to storm events; (19) why a smaller interactive system would be operational. Communications Commission (FCC) in number of cages will not be used if this This new system will allow non-federal its Allocations and Service Rules for the is a feasibility study; and (20) the range users to use a Web site to determine 71–76 GHz, 81–86 GHz and 92–95 GHz of species for possible stocking. whether they have any potential conflict Bands Report and Order, plans to Given the inexperience of the with federal users. Non-federal user establish a Web-based coordination applicant and the false information in applicants will be required to input system to facilitate frequency the application, it appears that the certain information into a database. assignment coordination between applicant lacks the capability to comply Once that information has been federal and non-federal operations with the conditions of the EFP. It is submitted, it will be processed within within the 70, 80, and 90 GHz bands.1 likely that the project could impact minutes and a determination will be Until the complete web-based significantly the surrounding habitat made on whether or not the applicant coordination system is operational, and marine fishery resources. Virtually can move forward in planning for their NTIA and the federal agencies will all of the agencies and environmental system’s operational use within those continue to process private sector organizations stated that the proposed bands of spectrum. action required either an EIS or a assignments for coordination within 14 Until the complete Web-based system thorough analysis of the environmental working days of the FCC providing is operational, however, federal and impacts. Given the precedent setting those assignment requests to NTIA. non-federal users will continue to nature of the action, NMFS concurs that Although the automated coordination coordinate their assignments through the proposed action warrants an EIS. system will not be ready for use for NTIA’s Interdepartment Radio Advisory The Council is developing a generic several months, NTIA is publicly Committee (IRAC) Frequency amendment and an EIS to determine the announcing that the following Web site Assignment Subcommittee (FAS). To feasibility of conducting and regulating can be accessed by non- a particular application with respect to in the Gulf of Mexico. This effort is federal applicants to determine the its FAS review, NTIA will provide expected to be completed within 2 status of their frequency assignment status information at http:// years. This process will result in applications for these bands at any point ntiacsd.ntia.doc.gov/webcoord/ extensive public input and appears in time. status.cfm. This site will identify when necessary to ensure that no FOR FURTHER INFORMATION CONTACT: Karl non-federal applications for these bands unanticipated consequences will result B. Nebbia, Office of Spectrum have been submitted to the FAS, when from proposed future aquaculture Management, Deputy Associate those applications completed federal projects. NMFS will work with the Administrator, at (202) 482–1850, or agency review, and the final result. Council and support the development of While not a part of the agreement the generic amendment and EIS. 1 Allocations and Service Rules for the 71–76 regarding the automated mechanism for Given the precedent setting nature of GHz, 81–86 GHz, and 92–95 GHz Bands, WT Docket No. 02–146, Report and Order, FCC 03–248 at ¶54 the 70, 80, 90 GHz bands, the 21.2–23.6 the project and the need for full public (released, Nov. 4, 2003) (Allocations and Service input into the process, especially the Rules Order). 2 See id. at ¶ 2.

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GHz band is also shared between federal see 67 FR 63632, published on October EFFECTIVE DATE: December 23, 2003. and non-federal users and presents 15, 2002. FOR FURTHER INFORMATION CONTACT: similar coordination challenges. James C. Leonard III, Naomi Freeman, International Trade Accordingly, NTIA will also provide on Specialist, Office of Textiles and this Web site status information Chairman, Committee for the Implementation of Textile Agreements. Apparel, U.S. Department of Commerce, regarding the processing of non-federal (202) 482–4212. For information on the applications for that band. Committee for the Implementation of Textile quota status of these limits, refer to the Agreements Dated: December 17, 2003. Quota Status Reports posted on the December 17, 2003. Kathy D. Smith, bulletin boards of each Customs port, Commissioner, call (202) 927–5850, or refer to the Chief Counsel, National Telecommunications Bureau of Customs and Border Protection, and Information Administration. Bureau of Customs and Border Washington, DC 20229. Protection Web site at http:// [FR Doc. 03–31511 Filed 12–22–03; 8:45 am] Dear Commissioner: This directive www.customs.gov. For information on BILLING CODE 3510–60–P amends, but does not cancel, the directive embargoes and quota re-openings, refer issued to you on October 8, 2002, by the to the Office of Textiles and Apparel Chairman, Committee for the Implementation of Textile Agreements. That directive Web site at http://otexa.ita.doc.gov. COMMITTEE FOR THE concerns imports of certain cotton, wool and SUPPLEMENTARY INFORMATION: IMPLEMENTATION OF TEXTILE man-made fiber textiles and textile products Authority: Section 204 of the Agricultural AGREEMENTS and silk blend and other vegetable fiber Act of 1956, as amended (7 U.S.C. 1854); apparel, produced or manufactured in the Executive Order 11651 of March 3, 1972, as Philippines and exported during the twelve- amended. Adjustment of Import Limits for Certain month period which began on January 1, Cotton and Man-Made Fiber Textile The current limits for certain 2003 and extends through December 31, categories are being adjusted for swing. Products Produced or Manufactured in 2003. the Philippines A description of the textile and Effective on December 23, 2003, you are apparel categories in terms of HTS directed to adjust the limits for the following December 17, 2003. categories, as provided for under the Uruguay numbers is available in the CORRELATION: Textile and Apparel AGENCY: Round Agreement on Textiles and Clothing: Committee for the Categories with the Harmonized Tariff Implementation of Textile Agreements Schedule of the United States (see Category Adjusted twelve-month (CITA). limit 1 Federal Register notice 68 FR 1599, ACTION: Issuing a directive to the published on January 13, 2003). Also Commissioner, Bureau of Customs and Levels in Group I see 68 FR 26575, published on May 16, 335 ...... 310,668 dozen. 2003. Border Protection adjusting limits. 338/339 ...... 3,633,517 dozen. 635 ...... 434,602 dozen. James C. Leonard III, EFFECTIVE DATE: December 23, 2003. 638/639 ...... 3,095,642 dozen. Chairman, Committee for the Implementation 1 of Textile Agreements. FOR FURTHER INFORMATION CONTACT: The limits have not been adjusted to ac- Naomi Freeman, International Trade count for any imports exported after December Committee for the Implementation of Textile 31, 2002. Specialist, Office of Textiles and Agreements Apparel, U.S. Department of Commerce, The Committee for the Implementation of December 17, 2003. Textile Agreements has determined that (202) 482–4212. For information on the Commissioner, quota status of these limits, refer to the these actions fall within the foreign affairs exception to the rulemaking provisions of 5 Bureau of Customs and Border Protection, Quota Status Reports posted on the U.S.C. 553(a)(1). Washington, DC 20229 bulletin boards of each Customs port, Sincerely, Dear Commissioner: This directive call (202) 927–5850, or refer to the James C. Leonard III, amends, but does not cancel, the directive Bureau of Customs and Border Chairman, Committee for the issued to you on May 12, 2003, by the Protection Web site at http:// Implementation of Textile Agreements. Chairman, Committee for the Implementation of Textile Agreements. That directive www.customs.gov. For information on [FR Doc. E3–00612 Filed 12–22–03; 8:45 am] concerns imports of certain cotton, wool and embargoes and quota re-openings, refer BILLING CODE 3510–DR–S man–made fiber textiles and textile products, to the Office of Textiles and Apparel produced or manufactured in Vietnam and Web site at http://otexa.ita.doc.gov. exported during the eight-month period COMMITTEE FOR THE which began on May 1, 2003 and extends SUPPLEMENTARY INFORMATION: IMPLEMENTATION OF TEXTILE through December 31, 2003. Authority: Section 204 of the Agricultural AGREEMENTS Effective on December 23, 2003, you are Act of 1956, as amended (7 U.S.C. 1854); directed to adjust the limits for the following Executive Order 11651 of March 3, 1972, as Adjustment of Import Limits for Certain categories, as provided for under the terms of amended. Cotton, Wool and Man-Made Fiber the current bilateral textile agreement Textiles and Textile Products between the Governments of the United The current limits for certain States and Vietnam: categories are being adjusted for special Produced or Manufactured in the shift. Socialist Republic of Vietnam Category Restraint limit 1 A description of the textile and December 17, 2003. apparel categories in terms of HTS 301 ...... 405,533 kilograms. AGENCY: Committee for the 332 ...... 2,667 dozen pairs. numbers is available in the Implementation of Textile Agreements 333 ...... 5,440 dozen. CORRELATION: Textile and Apparel (CITA). 338/339 ...... 10,463,635 dozen. Categories with the Harmonized Tariff ACTION: Issuing a directive to the 435 ...... 18,267 dozen. Schedule of the United States (see Commissioner, Bureau of Customs and 440 ...... 767 dozen. Federal Register notice 68 FR 1599, Border Protection. 447 ...... 36,827 dozen. published on January 13, 2003). Also 448 ...... 13,713 dozen.

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Category Restraint limit 1 Dated:December 16, 2003. allegations of the Complaint and the Todd A. Stevenson, Commission shall not initiate any civil 620 ...... 1,997,227 square me- Secretary. or administrative action against ters. Respondent for those alleged violations Consent Order Agreement 1 The limits have not been adjusted to ac- set forth in the Complaint. count for any imports exported after April 30, The Lifelike Company, d/b/a My 6. Upon final acceptance of this 2003. Twinn (‘‘Respondent’’‘‘Lifelike’’), a Agreement by the Commission and corporation, enters into this Consent issuance of the Final Order, Respondent The Committee for the Implementation of Order Agreement (‘‘Agreement’’) with knowingly, voluntarily, and completely Textile Agreements has determined that the staff of the Consumer Product Safety waives any rights it may have in this these actions fall within the foreign affairs Commission (‘‘the staff’’) pursuant to matter (a) to an administrative or exception to the rulemaking provisions of 5 the procedures set forth in section judicial hearing, (b) to judicial review or U.S.C. 553(a)(1). 1605.13 of the Commission’s Procedures other challenge or contest of the validity Sincerely, for Investigations, Inspections, and of the Commission’s actions, (c) to a James C. Leonard III, determination by the Commission as to Chairman, Committee for the Inquiries under the Flammable Fabrics Implementation of Textile Agreements. Act, 16 CFR part 1605. whether Respondent failed to comply This Agreement and Order are for the with the CPSA, FFA, FTCA, and the [FR Doc. E3–00610 Filed 12–22–03; 8:45 am] purpose of settling allegations of the underlying regulations, (d) to a BILLING CODE 3510–DR–S staff that Respondent sold purple satin statement of findings of fact and pajamas made from 100% polyester and conclusions of law, and (e) to any rosebud nightgowns made from 100% claims under the Equal Access to Justice polyester that failed to comply with the Act. CONSUMER PRODUCT SAFETY Standards for the Flammability of 7. Upon provisional acceptance of this COMMISSION Children’s Sleepwear (‘‘Sleepwear Agreement by the Commission, this Standards’’), 16 CFR parts 1615 and Agreement shall be placed on the public [CPSC Docket No. 04–C0001] 1616. record and shall be published in the Federal Register in accordance with the Lifelike Co., d/b/a My Twinn, a Respondent and the Staff Agree procedures set forth in 16 CFR Corporation, Provisional Acceptance 1. The Consumer Product Safety 1605.13d). If the Commission does not of a Settlement Agreement and Order Commission (‘‘Commission’’) is an receive any written objections within 15 Independent regulatory agency of the days, the Agreement will be deemed AGENCY: Consumer Product Safety United States Government. The finally accepted on the 20th day after Commission. Commission has jurisdiction over this the date it is published in the Federal matter under the Consumer Product Register. ACTION: Notice. Safety Act (CPSA), 15 U.S.C. 2051 et 8. In settlement of the staff’s seq., the Flammable Fabrics Act (FFA), allegations of the Complaint, SUMMARY: It is the policy of the 15 U.S.C. 1191 et seq., and the Federal Respondent agrees to comply with the Commission to publish settlements Trade Commission Act (FTCA), 15 attached Order incorporated herein by which it provisionally accepts under the U.S.C. 41 et seq. reference. Flammable Fabrics Act in the Federal 2. Respondent is a corporation 9. Upon a violation of the attached Register in accordance with the terms of organized and existing under the laws of Order by Respondent, the Commission 16 CFR Part 1605. Published below is a the State of Delaware with its principal reserves the right to take appropriate provisionally-accepted Settlement corporate offices located at 5655 South legal action against Respondent for all Agreement with The Lifelike Company, Yosemite Street, Suite 2121, violations listed in the Complaint and d/b/a My Twinn, a corporation. Greenwood, Village, CO 80111. for all violations occurring after the date 3. Respondent is now, and has been of this Agreement and respondent DATES: Any interested person may ask engaged in one or more of the following waives the statute of limitations. the Commission not to accept this activities: The sale, or the offering for 10. For any violation occurring after agreement or otherwise comment on its sale, in commerce, or the importation the date of this Agreement, if the contents by filing a written request with into the United States or the Commission finds that Respondent has the Office of the Secretary by January 7, introduction, delivery for introduction, manufactured for sale, sold, or offered 2004. transportation or causing to be for sale, in commerce, or imported into the United States, or introduced, ADDRESSES: transported, in commerce, or the sale or Persons wishing to delivered for introduction, transported comment on this Settlement Agreement delivery after sale or shipment in commerce, children’s sleepwear or caused to be transported, in should send written comments to the garments that are subject to the commerce, of any product, fabric, or Comment 04–C0001, Office of the Sleepwear Standards. related material which fails to comply Secretary, Consumer Product Safety 4. This Agreement is for the purpose with the Sleepwear Standards, Commission, Washington, DC 20207. of settling the allegations of the Respondent will pay to the Commission FOR FURTHER INFORMATION CONTACT: accompanying Complaint. This upon demand a penalty in the amount Dennis C. Kacoyanis, Trial Attorney, Agreement does not constitute an of five (5) times the retail value of the Office of Compliance, Consumer admission by Respondent that it product in question. This provision Product Safety Commission, violated the law. The Agreement does not preclude the Commission from Washington, DC 20207; telephone (301) becomes effective only upon its final taking additional action including, but 504–7587. acceptance by the Commission and not limited to, civil, administrative, service of the incorporated Order upon and/or criminal actions under sections SUPPLEMENTARY INFORMATION: The text of Respondent. 5, 6, and 7 of the FFA, 15 U.S.C. 1194, the Agreement and Order appears 5. The parties agree that this Consent 1195, and 1196; sections 2 and 21 of the below. Order Agreement resolves the CPSA, 15 U.S.C. 2069 and 2070; and

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sections 10 and 17(b) of the FTCA 15 By direction of the Commission, this section 3(a) of the FFA, 15 U.S.C. U.S.C. 50 and 57(b). Consent Agreement and Order is 1192(a). 11. Respondent reserves its right to provisionally accepted pursuant to 16 CFR 4. In 2001, Respondent sold, and challenge the Commission’s findings 1605.13, and shall be placed on the public offered for sale, in commerce, record, and the Secretary is directed to introduced, delivered for introduction, under paragraphs 9 and 10 of this publish the provisional acceptance of the Agreement before the Commission and Consent Order Agreement in the transported or caused to be transported, to have the court review whether the Commission’s Public Calendar and in the in commerce, and sold or delivered after Commission’s decision was arbitrary Federal Register a sale or shipment in commerce, 2,103 and capricious. So ordered by the Commission, this 16th pairs of purple satin pajamas, GPU 12. The Commission may publicize day of December, 2003. 072899, made from 100% polyester that the terms of this Consent Order Todd A. Stevenson, failed to meet the flammability requirements of the Children’s Agreement. Secretary, Consumer Product Safety 13. This Agreement, and the Commission. Sleepwear Standards, 16 CFR parts 1615 Complaint accompanying the and 1616, in violation of section 3(a) of Agreement, may be used in interpreting Complaint the FFA, 15 U;.S.C. 1192(a). 5. In 2001, Respondent sold, and the Order. Agreements, understandings, Nature of Proceedings representations, or interpretations, made offered for sale, in commerce, outside this Consent Order Agreement Pursuant to the provisions of the introduced, delivered for introduction, may not be used to vary or contradict its Flammable Fabrics Act (FFA), as transported or caused to be transported, terms. amended, 15 U.S.C. 1191 et seq.; the in commerce, and sold or delivered after 14. Upon acceptance of the Federal Trade Commission Act (FTCA), a sale or shipment in commerce 3,564 Agreement, the Commission shall issue as amended, 15 U.S.C. 41 et seq.; and rosebud nightgowns, GPU 072600, made the following Order. the Standards for the Flammability of from 100% polyester that failed to meet 15. The provisions of this Agreement Children’s Sleepwear (Sleepwear the flammability requirements of the shall apply to Respondent and each of Standards), 16 CFR parts 1615 and 1616, Children’s Sleepwear Standards, 16 CFR its successors and assigns. the Consumer Product Safety parts 1615 and 1616, in violation of section 3(a) of the FFA, 15 U.S.C. Dated: September 29, 2003. Commission having reason to believe that the Lifelike Company, d/b/a My 1192(a). Respondent, the Lifelike Co. Twinn, 5655 South Yosemite Street, 6. The acts by Respondent set forth in Dennis W. Scruggs, Suite 212, Greenwood, CO 80111, has paragraphs 3 through 5 of the complaint Executive Vice President and Chief Financial are unlawful and constitute an unfair Officer, The Lifelike Company, d/b/a My violated the provisions of said Acts; and further, it appearing to the Commission method of competition and an unfair Twinn, 5655 South Yosemite Street, Suite and deceptive practice in commerce 212, Greenwood Village, CO 80111. that a proceeding by it in respect to those violations would be in the public under the FTCA, in violation of section Commission Staff 3(a) of the FFA, 15 U.S.C. 1192(a), for interest, therefore, it hereby issues its Alan H. Schoem, which a cease and desists order may be complaint stating its charges as follows: Assistant Executive Director, Office of issued against Respondent pursuant to Compliance, Consumer Product Safety 1. Respondent the Lifelike Company,  section 5(b) of the FFA, 15 U.S.C. Commission, Washington, DC 20207–0001. d/b/a My Twinn is a corporation 1194(b), and section 5 of the FTCA, 15 Eric L. Stone, organized and existing under the laws of U.S.C. 45. Director, Legal Division, Office of the State of Colorado, with its principal Compliance. place of business located at 5655 South Relief Sought Dated: September 29, 2003. Yosemite Street, Suite 212, Greenwood 7. The staff seeks the issuance of a Dennis C. Kacoyanis, Village, CO 80111. cease and desist order against Trial Attorney, Office of Compliance. 2. Respondent is now and has been Respondent pursuant to section 5(b) of Order engaged in the sale, or the offering for the FFA, 15 U.S.C. 1194(b), and section sale, in commerce, or the importation 5 of the FTCA, 15 U.S.C. 45. It is hereby ordered that Respondent, its successors, and assigns, agents, into the United States, or the Wherefore, the premises considered, the representatives, and employees, directly or introduction, delivery for introduction, Commission hereby issues this Complaint on through any corporation, subsidiary, transportation or causing to be the 11th day of December, 2003. division, or other business entity, or through transported, ion commerce, or the sale By direction of the Commission. any agency, device, or instrumentality, do or delivery after a sale or shipment in Alan H. Schoem, forthwith cease and desist from commerce, as the term ‘‘commerce’’ is Assistant Executive Director, Office of manufacturing for sale, selling, or offering for defined in section 2(b) of the FFA, 15 Compliance. sale, in commerce, or importing into the U.S.C. 119(b), ‘‘children’s sleepwear’’ as [FR Doc. 03–31495 Filed 12–22–03; 8:45 am] United States or introducing, delivering for defined in 16 CFR 1615.1 and 1616.1. BILLING CODE 6355–01–M introduction, transporting or causing to be transported, in commerce, any product, 3. From October 15, 1999, through fabric, or related material that fails to comply December 3, 1999, Respondent imported with the flammability requirements of the into the United States, sold, and offered DEPARTMENT OF DEFENSE Standards for the Flammability of Children’s for sale, in commerce, introduced, Sleepwear, 16 CFR parts 1615 and 1616. delivered for introduction, transported Office of the Secretary It is further ordered That following service or caused to be transported, in Department of Defense Draft Selection upon Respondent of the Final Order in this commerce, and sold or delivered after a Criteria for Closing and Realigning matter, Respondent will notify the sale or shipment in commerce 4,366 Commission within 30 days following the Military Installations Inside the United pairs of purple satin pajamas made from consummation of the sale of a majority of its States stock or following a change in any of its 100% polyester that failed to meet the corporate officers responsible for compliance flammability requirements of the AGENCY: Office of the Deputy Under with the terms of this Consent Agreement Children’s Sleepwear Standards, 16 CFR Secretary of Defense (Installations and and Order. parts 1615 and 1616, in violation of Environment), DoD.

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ACTION: Notice. an analysis of public comments received Other Considerations and a description of the changes DoD SUMMARY: This notice publishes the 5. The extent and timing of potential made to the draft criteria. Having not costs and savings, including the number draft selection criteria that will be used been disapproved by Congress, the final by the Department of Defense to make of years, beginning with the date of criteria were used to make completion of the closure or closure and realignment recommendations to the 1991 Defense recommendations that will be reviewed realignment, for the savings to exceed Base Closure and Realignment the costs. by the 2005 Defense Base Closure and Commission. Subsequently, the DoD, in Realignment Commission. 6. The economic impact on existing a December 15, 1992 (57 FR 59334), and communities in the vicinity of military DATES: Comments should be submitted a December 9, 1994 (59 FR 63769), installations. to the Department of Defense at the Federal Register notice, announced that 7. The ability of both the existing and address shown below by January 28, it would use the same final criteria to potential receiving communities’ 2004, to be considered in the make recommendations to the 1993 and infrastructure to support forces, formulation of the final criteria. 1995 Defense Base Closure and missions, and personnel. ADDRESSES: Interested parties should Realignment Commissions, respectively. 8. The environmental impact, submit written comments to: Office of The Act specifies that the selection including the impact of costs related to the Deputy Under Secretary of Defense criteria shall ensure that military value potential environmental restoration, (Installations & Environment), ATTN: is the primary consideration in making waste management, and environmental Mr. Peter Potochney, Director, Base closure and realignment compliance activities. Realignment and Closure, Room 3D814, recommendations. It also lists specific D. Previous Federal Register References the Pentagon, Washington DC, 20301– considerations that military value must 3300. Please cite this Federal Register include and special considerations that 1. 55 FR 49678, November 30, 1990: announcement in all correspondence. the selection criteria must address. The Proposed selection criteria and request Interested parties may also forward their eight criteria proposed for this round for comments. comments via facsimile at 703–695– were based on the accepted, tested, and 2. 55 FR 53586, December 31, 1990: 1496. proven criteria used in past BRAC Extend comment period on proposed FOR FURTHER INFORMATION CONTACT: Mr. rounds. These criteria now incorporate selection criteria. Mike McAndrew, Base Realignment and statutory requirements and stress the 3. 56 FR 6374, February 15, 1991: Closure Office, ODUSD(I&E), (703) 614– Department’s capabilities based Published selection criteria and analysis 5356. approach to performing missions. of comments. 4. 57 FR 59334, December 15, 1992: SUPPLEMENTARY INFORMATION: C. Draft Selection Criteria Published selection criteria. A. Background 5. 59 FR 63769, December 9, 1994: It is proposed that the Department of Published selection criteria. The Defense Base Closure and Defense use the following criteria in Realignment Act of 1990, as amended making recommendations for the Dated: December 18, 2003. (the Act), establishes the authority by closure or realignment of military L.M. Bynum, which the Secretary of Defense may installations inside the United States: Alternate OSD Federal Register Liaison close or realign military installations Officer, Department of Defense. • In recommending military inside the United States. Section 2913(a) [FR Doc. 03–31631 Filed 12–19–03; 10:00 of the Act requires the Secretary of installations for closure or realignment, am] the Department of Defense will, giving Defense to publish the selection criteria BILLING CODE 5001–06–P proposed to be used by the Secretary in priority consideration to military value making recommendations for the (criteria 1–4), consider: closure or realignment of military Military Value DEPARTMENT OF EDUCATION installations inside the United States by December 31, 2003, for a 30-day public 1. The current and future mission Notice of Proposed Information comment period. Section 2913(e) capabilities and the impact on Collection Requests requires the Secretary of Defense to operational readiness of the Department AGENCY: publish the final selection criteria no of Defense’s total force, including the Department of Education. SUMMARY: The Leader, Regulatory later than February 16, 2004. The final impact on joint warfighting, training, Information Management Group, Office selection criteria are subject to and readiness. of the Chief Information Officer, invites Congressional disapproval by Act of 2. The availability and condition of comments on the proposed information Congress until March 15, 2004. land, facilities and associated airspace collection requests as required by the B. Relationship to Previous Criteria (including training areas suitable for Paperwork Reduction Act of 1995. maneuver by ground, naval, or air forces DATES: Interested persons are invited to Since the 1991 Base Realignment and throughout a diversity of climate and submit comments on or before February Closure (BRAC) round, the Department terrain areas and staging areas for the 23, 2004. of Defense (DoD) has used the same, use of the Armed Forces in homeland publicly accepted, selection criteria to defense missions) at both existing and SUPPLEMENTARY INFORMATION: Section make its closure and realignment potential receiving locations. 3506 of the Paperwork Reduction Act of recommendations. The Department first 1995 (44 U.S.C. Chapter 35) requires published these criteria for public 3. The ability to accommodate that the Office of Management and comment in a November 30, 1990 (55 contingency, mobilization, and future Budget (OMB) provide interested FR 49678), Federal Register notice. total force requirements at both existing Federal agencies and the public an early Based on comments received, the and potential receiving locations to opportunity to comment on information proposed criteria were appropriately support operations and training. collection requests. OMB may amend or amended. The February 15, 1991 (56 FR 4. The cost of operations and the waive the requirement for public 6374), Federal Register notice contained manpower implications. consultation to the extent that public

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participation in the approval process emotional competence, school climate, Information and Regulatory Affairs, would defeat the purpose of the positive and negative behavior, and Attention: Melanie Kadlic, Desk Officer, information collection, violate State or academic achievement? (2) For whom, Department of Education, Office of Federal law, or substantially interfere and under what conditions, are the Management and Budget, 725 17th with any agency’s ability to perform its interventions effective? and (3) What is Street, NW., Room 10235, New statutory obligations. The Leader, the process by which the interventions Executive Office Building, Washington, Regulatory Information Management affect children’s behavior? Data DC 20503 or should be electronically Group, Office of the Chief Information collection activities will include the mailed to the Internet address Officer, publishes that notice containing administration of surveys to children, [email protected]. proposed information collection teachers, principals, and primary SUPPLEMENTARY INFORMATION: Section requests prior to submission of these caregivers; school observations, and 3506 of the Paperwork Reduction Act of requests to OMB. Each proposed school record abstractions over a three 1995 (44 U.S.C. Chapter 35) requires information collection, grouped by year period: from 2004–05 to 2006–07. that the Office of Management and office, contains the following: (1) Type Results from the evaluation will provide Budget (OMB) provide interested of review requested, e.g. new, revision, education professionals with Federal agencies and the public an early extension, existing or reinstatement; (2) information they need to make informed opportunity to comment on information title; (3) summary of the collection; (4) choices about which intervention to collection requests. OMB may amend or description of the need for, and adopt. waive the requirement for public proposed use of, the information; (5) Requests for copies of the proposed consultation to the extent that public respondents and frequency of information collection request may be participation in the approval process collection; and (6) reporting and/or accessed from http://edicsweb.ed.gov, would defeat the purpose of the Recordkeeping burden. OMB invites by selecting the ‘‘Browse Pending information collection, violate State or public comment. Collections’’ link and by clicking on Federal law, or substantially interfere The Department of Education is link number 2428. When you access the with any agency’s ability to perform its especially interested in public comment information collection, click on statutory obligations. The Leader, addressing the following issues: (1) Is ‘‘Download Attachments’’ to view. Regulatory Information Management this collection necessary to the proper Written requests for information should Group, Office of the Chief Information functions of the Department; (2) will be addressed to Vivian Reese, Officer, publishes that notice containing this information be processed and used Department of Education, 400 Maryland proposed information collection in a timely manner; (3) is the estimate Avenue, SW., Room 4050, Regional requests prior to submission of these of burden accurate; (4) how might the Office Building 3, Washington, DC requests to OMB. Each proposed Department enhance the quality, utility, 20202–4651 or to the e-mail address _ information collection, grouped by and clarity of the information to be vivian [email protected]. Requests may also office, contains the following: (1) Type collected; and (5) how might the be electronically mailed to the Internet _ of review requested, e.g. new, revision, Department minimize the burden of this address OCIO [email protected] or faxed to extension, existing or reinstatement; (2) collection on the respondents, including 202–708–9346. Please specify the Title; (3) Summary of the collection; (4) through the use of information complete title of the information Description of the need for, and technology. collection when making your request. proposed use of, the information; (5) Dated: December 17, 2003. Comments regarding burden and/or Respondents and frequency of the collection activity requirements Angela C. Arrington, collection; and (6) Reporting and/or should be directed to Kathy Axt at her Recordkeeping burden. OMB invites Leader, Regulatory Information Management e-mail address [email protected]. Group, Office of the Chief Information Officer. public comment. Individuals who use a Institute of Education Sciences telecommunications device for the deaf Dated: December 17, 2003. Angela C. Arrington, Type of Review: New. (TDD) may call the Federal Information Title: Social and Character Relay Service (FIRS) at 1–800–877– Leader, Regulatory Information Management Group, Office of the Chief Information Officer. Development Research Program 8339. National Evaluation. [FR Doc. 03–31513 Filed 12–22–03; 8:45 am] Institute of Education Sciences Frequency: On occasion. BILLING CODE 4000–01–P Type of Review: Revision. Affected Public: Not-for-profit Title: Even Start Classroom Literacy institutions; Individuals or household. Interventions and Outcomes (CLIO) Reporting and Recordkeeping Hour DEPARTMENT OF EDUCATION Study. Burden: Frequency: Semi-Annually. Responses: 32,160. Submission for OMB Review; Affected Public: Individuals or Burden Hours: 13,868. Comment Request household; State, local, or tribal gov’t, Abstract: The Social and Character AGENCY: Department of Education. SEAs or LEAs. Development (SACD) National Reporting and Recordkeeping Hour SUMMARY: The Leader, Regulatory Evaluation will evaluate the success of Burden Information Management Group, Office seven school-based interventions Responses: 19,939. designed to promote positive social and of the Chief Information Officer invites Burden Hours: 8,766. character development among comments on the submission for OMB Abstract: CLIO will test the elementary school children. The review as required by the Paperwork effectiveness for children and parents of research will determine, through Reduction Act of 1995. promising early childhood education randomized field trials, whether one or DATES: Interested persons are invited to and parenting education interventions more program interventions produce submit comments on or before January in a sample of Even Start projects to meaningful effects. The study’s three 22, 2004. determine: (1) Whether enhanced primary research questions are: (1) Do ADDRESSES: Written comments should interventions that focus on literacy and the SACD interventions affect social- be addressed to the Office of integrate early childhood and parenting

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education are more effective than that the Office of Management and Avenue, SW., Room 4050, Regional existing Even Start services; (2) the Budget (OMB) provide interested Office Building 3, Washington, DC relative effectiveness of different Federal agencies and the public an early 20202–4651 or to the e-mail address interventions; and (3) the relative opportunity to comment on information [email protected]. Requests may also contribution of enhanced parenting collection requests. OMB may amend or be electronically mailed to the Internet education to program results. waive the requirement for public address [email protected] or faxed to Requests for copies of the submission consultation to the extent that public 202–708–9346. Please specify the for OMB review: Comment request may participation in the approval process complete title of the information be accessed from http:// would defeat the purpose of the collection when making your request. edicsweb.ed.gov, by selecting the information collection, violate State or Comments regarding burden and/or ‘‘Browse Pending Collections’’ link and Federal law, or substantially interfere the collection activity requirements by clicking on link number 2425. When with any agency’s ability to perform its should be directed to Katrina Ingalls at you access the information collection, statutory obligations. The Leader, [email protected]. Individuals who click on ‘‘Download Attachments’’ to Regulatory Information Management use a telecommunications device for the view. Written requests for information Group, Office of the Chief Information deaf (TDD) may call the Federal should be addressed to Vivian Reese, Officer, publishes that notice containing Information Relay Service (FIRS) at 1– Department of Education, 400 Maryland proposed information collection 800–877–8339. Avenue, SW., Room 4050, Regional requests prior to submission of these [FR Doc. 03–31515 Filed 12–22–03; 8:45 am] Office Building 3, Washington, DC requests to OMB. Each proposed BILLING CODE 4000–01–P 20202–4651 or to the e-mail address information collection, grouped by [email protected]. Requests may also office, contains the following: (1) Type be electronically mailed to the internet of review requested, e.g. new, revision, DEPARTMENT OF EDUCATION address [email protected] or faxed to extension, existing or reinstatement; (2) 202–708–9346. Please specify the Title; (3) Summary of the collection; (4) Office of Innovation and Improvement; complete title of the information Description of the need for, and Overview Information; Teaching collection when making your request. proposed use of, the information; (5) American History Grant Program; Comments regarding burden and/or Respondents and frequency of Notice Inviting Applications for New the collection activity requirements collection; and (6) Reporting and/or Awards for Fiscal Year (FY) 2004 should be directed to Kathy Axt at her Recordkeeping burden. OMB invites e-mail address [email protected]. public comment. Catalog of Federal Domestic Assistance Individuals who use a (CFDA) Number: 84.215X. telecommunications device for the deaf Dated: December 17, 2003. (TDD) may call the Federal Information Angela C. Arrington, DATES: Relay Service (FIRS) at 1–800–877– Leader, Regulatory Information Management Applications Available: December 23, 8339. Group, Office of the Chief Information Officer. 2003. Institute of Education Sciences Deadline for Notice of Intent to Apply: [FR Doc. 03–31514 Filed 12–22–03; 8:45 am] February 5, 2004. BILLING CODE 4000–01–P Type of Review: New. Deadline for Transmittal of Title: American Indian Supplement to Applications: March 2, 2004. the NAEP, Field Test 2004. Deadline for Intergovernmental DEPARTMENT OF EDUCATION Frequency: One time. Review: May 3, 2004. Affected Public: Eligible Applicants: Local educational Submission for OMB Review; State, local, or tribal gov’t, SEAs or agencies (LEAs)—including charter Comment Request LEAs; individuals or household. schools that are considered LEAs under AGENCY: Department of Education. Reporting and Recordkeeping Hour State law and regulations—working in Burden Responses: 1,300. SUMMARY: The Leader, Regulatory partnership with one or more of the Information Management Group, Office Burden Hours: 325. following entities: • of the Chief Information Officer invites Abstract: This study is a field test for Institutions of higher education a planned supplement to the National (IHE). comments on the submission for OMB • review as required by the Paperwork Assessment of Educational Progress Non-profit history or humanities Reduction Act of 1995. (NAEP). The study will determine the organizations. feasibility of oversampling the • Libraries and museums. DATES: Interested persons are invited to American Indian and Alaska Native Estimated Available Funds: Although submit comments on or before January student population. In addition to a the Congress has not enacted a final 22, 2004. standard assessment, it includes special appropriation for FY 2004, the ADDRESSES: Written comments should background questionnaires for student, Department is inviting applications for be addressed to the Office of teacher, and school components. A this competition now so that it may be Information and Regulatory Affairs, three-year clearance is requested. prepared to make awards following final Attention: Melanie Kadlic, Desk Officer, Requests for copies of the submission action on the Department’s Department of Education, Office of for OMB review: Comment request may appropriations bill. Based on the Management and Budget, 725 17th be accessed from http:// congressional action to date, we Street, NW., Room 10235, New edicsweb.ed.gov, by selecting the estimate that $100,000,000 will be Executive Office Building, Washington, ‘‘Browse Pending Collections’’ link and available for new awards under this DC 20503 or should be electronically by clicking on link number 2363. When competition. The actual level of funding mailed to the Internet address you access the information collection, _ depends on final congressional action. Melanie [email protected]. click on ‘‘Download Attachments’’ to Estimated Range of Awards: Total SUPPLEMENTARY INFORMATION: Section view. Written requests for information funding for a three-year project period is 3506 of the Paperwork Reduction Act of should be addressed to Vivian Reese, $350,000–1,000,000 for LEAs with 1995 (44 U.S.C. Chapter 35) requires Department of Education, 400 Maryland enrollments of less than 300,000

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students; and $500,000–2,000,000 for or institution(s) will help the applicant random assignment nor quasi- LEAs with enrollments above 300,000 implement the proposed project. experimental designs using a matched students. Under this competition we are comparison group nor regression Estimated Average Size of Awards: particularly interested in applications discontinuity designs will not be Total for all three years is $750,000. that address the following priorities. considered responsive to the priority Estimated Number of Awards: 100– Invitational Priorities: For FY 2004 these when sufficient numbers of participants 135. priorities are invitational priorities. are available to support these designs. Note: The Department is not bound by any Under 34 CFR 75.105(c)(1) we do not Evaluation strategies that involve too estimates in this notice. give an application that meets these small a number of participants to support group designs must be capable Project Period: Up to 36 months. invitational priorities a competitive or absolute preference over other of demonstrating the causal effects of an Full Text of Announcement applications. intervention or program on those These priorities are: participants. I. Funding Opportunity Description The proposed evaluation plan must Purpose of Program: Teaching Invitational Priority 1—Experimental describe how the project evaluator will American History grants support and Quasi-Experimental Evaluation collect—before the project intervention projects to raise student achievement by Designs commences and after it ends—valid and improving teachers’ knowledge, The Secretary is particularly reliable data that measure the impact of understanding, and appreciation of interested in receiving applications that participation in the program or in the traditional American history. Grant propose evaluation plans that are based comparison group. awards assist local educational agencies on rigorous scientifically based research In determining the quality of the (LEAs), in partnership with entities that methods to assess the effectiveness of a evaluation method, we will consider the have extensive content expertise, to particular intervention. The Secretary extent to which the applicant presents develop, document, evaluate, and intends that this priority will allow a feasible, credible plan that includes disseminate innovative, cohesive program participants and the the following: models of professional development. By Department to determine whether the (1) The type of design to be used (that helping teachers to develop a deeper project produces meaningful effects on is, random assignment or matched understanding and appreciation of student achievement or teacher comparison). If it will be matched traditional American history as a performance. comparison, the applicant should separate subject matter within the core Evaluation methods using an include in the plan a discussion of why curriculum, these programs improve experimental design are best for random assignment is not feasible. instruction and raise student determining project effectiveness. Thus, (2) Outcomes to be measured. achievement. the project should use an experimental (3) A discussion of how the applicant Priorities: This competition includes design under which participants—e.g., plans to assign students, teachers, one absolute priority and two students, teachers, classrooms, or classrooms, or schools to the project and invitational priorities that are explained schools—are randomly assigned to control group or match them for in the following paragraphs. To be participate in the project activities being comparison with other students, considered for funding, each applicant evaluated or to a control group that does teachers, classrooms, or schools. must address the absolute priority not participate in the project activities (4) A proposed evaluator, preferably regarding Partnerships with Other being evaluated. independent, with the necessary Agencies or Institutions. These If random assignment is not feasible, background and technical expertise to priorities are as follows. the project may use a quasi- carry out the proposed evaluation. (An In accordance with 34 CFR experimental design with carefully independent evaluator does not have 75.105(b)(2)(iv), this priority is from matched comparison conditions. This any authority over the project and is not section 2351(b) of the Elementary and alternative design attempts to involved in its implementation.) Secondary Education Act of 1965, as approximate a randomly assigned Invitational Priority 2—Traditional amended by the No Child Left Behind control group by matching American History Act of 2001 (Pub. L. 107–110). participants—e.g., students, teachers, The Secretary is particularly Absolute Priority: For FY 2004, this classrooms, or schools—with non- interested in receiving applications that priority is an absolute priority. Under 34 participants having similar pre-program propose projects that address traditional CFR 75.105(c)(3) we consider only characteristics. American history, meaning, for applications that meet this priority. In cases where random assignment is This priority is: not possible and an extended series of example, projects that teach the observations of the outcome of interest significant issues, episodes, and turning Partnerships With Other Agencies or precedes and follows the introduction of points in the history of the United Institutions a new program or practice, regression States, and how the words and deeds of Each applicant must propose to work discontinuity designs may be employed. individual Americans have determined in collaboration with one or more of the For projects that are focused on the course of our Nation. This history following: special populations in which sufficient teaches how the principles of freedom • IHE. numbers of participants are not and democracy, articulated in our • Non-profit history or humanities available to support random assignment founding documents, have shaped—and organizations. or matched comparison group designs, continue to shape—America’s struggles • Libraries or museums. single-subject designs such as multiple and achievements, as well as its social, political, and legal institutions and Note: Each applicant is encouraged to baseline or treatment-reversal or include in its application an assurance from interrupted time series that are capable relations. Applicants are invited to appropriate officials of the agency or of demonstrating causal relationships propose projects that enable students to institution(s) with which it will work in can be employed. gain an understanding of these partnership. This assurance may include Proposed evaluation strategies that principles and of the historical events information about how the partnering agency use neither experimental designs with and people that best illustrate them.

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Program Authority: 20 U.S.C. 6721 et edpubs.html or you may contact ED • Exceed the page limit if you apply seq., Part C, subpart 4, of Title II of the Pubs at its e-mail address: these standards; or Elementary and Secondary Education [email protected]. • Exceed the equivalent of the page Act of 1965, as reauthorized by the No If you request an application from ED limit if you apply other standards. Child Left Behind Act of 2001. Pubs, be sure to identify this 3. Submission Dates and Times: Applicable Regulations: The competition as follows: CFDA number Applications Available: December 23, Education Department General 84.215X. 2003. Administrative Regulations (EDGAR) in Individuals with disabilities may Deadline for Notice of Intent to Apply: 34 CFR parts 75, 77, 79, 80, 81, 82, 85, obtain a copy of the application package February 5, 2004. 86, 97, 98 and 99. in an alternative format (e.g., Braille, Deadline for Transmittal of large print, audiotape, or computer Applications: March 2, 2004. II. Award Information diskette) by contacting one of the The dates and times for the Type of Award: Discretionary grants. program contact persons listed under transmittal of applications by mail or Estimated Available Funds: Although FOR FURTHER INFORMATION CONTACT hand (including a courier service or the Congress has not enacted a final elsewhere in this notice. However, the commercial carrier) are in the appropriation for FY 2004, the Department is not able to reproduce in application package for this Department is inviting applications for an alternative format the standard forms competition. The application package this competition now so that it may be included in the application package. also specifies the hours of operation of prepared to make awards following final 2. Content and Form of Application the e-Application Web site. action on the Department’s Submission: Requirements concerning We do not consider an application appropriations bill. Based on the the content of an application, together that does not comply with the deadline congressional action to date, we with the forms you must submit, are in requirements. estimate that $100,000,000 will be the application package for this Deadline for Intergovernmental available for new awards under this program. Review: May 3, 2004. competition. The actual level of funding Notice of Intent to Apply: The 4. Intergovernmental Review: This depends on final congressional action. Department will be able to develop a competition is subject to Executive Estimated Range of Awards: Total more efficient process for reviewing Order 12372 and the regulations in 34 funding for a three-year project period is grant applications if it has a better CFR part 79. Information about $350,000–1,000,000 for LEAs with understanding of the number of LEAs Intergovernmental Review of Federal enrollments of less than 300,000 that intend to apply for funding under Programs under Executive Order 12372 students; and $500,000–2,000,000 for this competition. Therefore, the is in the application package for this LEAs with enrollments above 300,000 Secretary strongly encourages each competition. students. potential applicant to notify the 5. Funding Restrictions: We reference Estimated Average Size of Awards: Department with a short e-mail regulations outlining funding Total for all three years is $750,000. indicating the applicant’s intent to restrictions in the Applicable Estimated Number of Awards: 100– submit an application for funding. The Regulations section of this notice. 135. e-mail need not include information 6. Other Submission Requirements: Note: The Department is not bound by any regarding the content of the proposed Instructions and requirements for the estimates in this notice. application, only the applicant’s intent transmittal of applications by mail or by to submit it. The Secretary requests that hand (including a courier service or Project Period: Up to 36 months. this e-mail notification be sent no later commercial carrier) are in the III. Eligibility Information than February 5, 2004, to Christine application package for this 1. Eligible Applicants: Local Miller at: competition. Application Procedures: The educational agencies (LEAs)—including [email protected]. Applicants that fail to provide this e- Government Paperwork Elimination Act charter schools that are considered mail notification may still apply for (GPEA) of 1998 (Pub. L. 105–277) and LEAs under State law and regulations— funding. Page Limit: The application the Federal Financial Assistance working in partnership with one or narrative (Part III of the application) is Management Improvement Act of 1999 more of the following entities: • Institutions of higher education where you, the applicant, address the (Pub. L. 106–107) encourage us to (IHE). selection criteria that reviewers use to undertake initiatives to improve our • Non-profit history or humanities evaluate your application. You must grant processes. Enhancing the ability of organizations. limit the application narrative to the individuals and entities to conduct • Libraries and museums. equivalent of no more than 25 single- business with us electronically is a 2. Cost Sharing or Matching: This sided, double-spaced pages printed in major part of our response to these Acts. program does not involve cost sharing 12 point font or larger. If the applicant Therefore, we are taking steps to adopt or matching. is addressing the invitational priority for the Internet as our chief means of evaluation, the narrative must be conducting transactions in order to IV. Application and Submission limited to 30 single-sided, double- improve services to our customers and Information spaced pages printed in 12 point font or to simplify and expedite our business 1. Address to Request Application larger. The page limit does not apply to processes. Package: Education Publications Center the title page, the Application for Some of the procedures in these (ED Pubs), P.O. Box 1398, Jessup, MD Federal Assistance (ED 424), the one- instructions for transmitting 20794–1398. Telephone (toll free): 1– page abstract, the budget summary form applications differ from those in the 877–433–7827. FAX: (301) 470–1244. If (ED 524) and the narrative budget Education Department General you use a telecommunications device justification, any curriculum vitae, the Administrative Regulations (EDGAR) for the deaf (TDD), you may call (toll bibliography of literature cited, or the (34 CFR 75.102). Under the free): 1–877–576–7734. assurances and certifications. Administrative Procedure Act (5 U.S.C. You may also contact ED Pubs at its Our reviewers will not read any pages 553), the Department generally offers Web site: http://www.ed.gov/pubs/ of your application that— interested parties the opportunity to

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comment on proposed regulations. • When you enter the e-Application and 4:30 p.m., Washington, DC time) on However, these amendments make system, you will find information about the application deadline date. procedural changes only and do not its hours of operation. We strongly We must acknowledge and confirm establish new substantive policy. recommend that you do not wait until these periods of unavailability before Therefore, under 5 U.S.C. 553(b)(A), the the application deadline date to initiate granting you an extension. To request Secretary has determined that proposed an e-Application package. this extension or to confirm our rulemaking is not required. • You will not receive additional acknowledgement of any system We are requiring that applications for point value because you submit a grant unavailability, you may contact either grants under Teaching American application in electronic format, nor (1) one of the persons listed elsewhere History—CFDA Number 84.215X be will we penalize you if you submit an in this notice under FOR FURTHER submitted electronically using the application in paper format. INFORMATION CONTACT (see VII. Agency Electronic Grant Application System (e- • You must submit all documents Contacts) or (2) the e-GRANTS help Application) available through the electronically, including the desk at 1–888–336–8930. Department’s e-GRANTS system. The e- Application for Federal Education You may access the electronic grant GRANTS system is accessible through Assistance (ED 424), Budget application for Teaching American its portal page at: http://e-grants.ed.gov Information—Non-Construction History at: http://e-grants.ed.gov. If you are unable to submit an Programs (ED 524), and all necessary V. Application Review Information application through the e-GRANTS assurances and certifications. system, you may submit a written • Your e-Application must comply Selection Criteria: The following request for a waiver of the electronic with any page limit requirements selection criteria for this program are in submission requirement. In your described in this notice. 34 CFR 75.210 and 20 U.S.C. 6721: request, you should explain the reason • After you electronically submit 1. Meeting the statutory requirements. or reasons that prevent you from using your application, you will receive an (Total of 50 points) the Internet to submit your application. automatic acknowledgement, which (a) Project quality (40 points). The Address your request to: Christine will include a PR/Award number (an Secretary considers the quality of the Miller, U.S. Department of Education, identifying number unique to your proposed project by considering how 400 Maryland Avenue, SW., room application). well the applicant describes a plan for 5C126, FB–6, Washington, DC 20202– • Within three working days after development, implementation, and 6200. Please submit your request no submitting your electronic application, strengthening of programs to teach later than two weeks before the fax a signed copy of the Application for traditional American history as a application deadline date. Federal Education Assistance (ED 424) separate academic subject (not as a component of social studies) within If, within two weeks of the to the Application Control Center after elementary school and secondary school application deadline date, you are following these steps: curricula, including the implementation unable to submit an application 1. Print ED 424 from e-Application. of activities— electronically, you must submit a paper 2. The institution’s Authorizing (i) To provide professional application by the application deadline Representative must sign this form. development and teacher education date in accordance with the transmittal 3. Place the PR/Award number in the activities with respect to American instructions in the application package. upper right hand corner of the hard history; and The paper application must include a copy signature page of the ED 424. (ii) To improve the quality of written request for a waiver 4. Fax the signed ED 424 to the instruction. documenting the reasons that prevented Application Control Center at (202) you from using the Internet to submit 260–1349. Note. The Secretary encourages the your application. • We may request that you give us applicant to include a discussion of the specific history content to be covered by the Pilot Project for Electronic Submission original signatures on other forms at a grant; the format in which the applicant will of Applications: We are continuing to later date. deliver the history content; and the quality of expand our pilot project for electronic Application Deadline Date Extension the staff and consultants responsible for submission of applications to include in Case of System Unavailability: If you delivering these content-based professional additional formula grant programs and are prevented from submitting your development activities. The applicant may additional discretionary grant application on the application deadline also attach curriculum vitae for individuals competitions. Teaching American date because the e-Application system is who will provide the content training to the History—CFDA Number 84.215X is one unavailable, we will grant you an teachers. of the programs included in the pilot extension of one business day in order The Secretary also encourages applicants to provide a description of plans to project. If you are an applicant under to transmit your application demonstrate how teachers are using the Teaching American History, you must electronically, by mail, or by hand knowledge acquired from project activities to submit your application to us in delivery. We will grant this extension improve the quality of instruction. This electronic format or receive a waiver. if— description may include plans for reviewing The pilot project involves the use of 1. You are a registered user of e- how teachers’ lessons planning and e-Application. If you use e-Application, Application and you have initiated an e- classroom teaching are affected by their you will be entering data online while Application for this competition; and participation in project activities. completing your application. You may 2. (a) The e-Application system is (b) Partnership(s) (10 points). The not e-mail an electronic copy of a grant unavailable for 60 minutes or more Secretary considers how well the application to us. The data you enter between the hours of 8:30 a.m. and 3:30 applicant describes a plan that meets online will be saved into a database. We p.m., Washington, DC time, on the the statutory requirement to carry out shall continue to evaluate the success of application deadline date; or activities under the grant in partnership e-Application and solicit suggestions for (b) The e-Application system is with one or more of the following: its improvement. unavailable for any period of time (i) An institution of higher education. If you participate in e-Application, during the last hour of operation (that is, (ii) A nonprofit history or humanities please note the following: for any period of time between 3:30 p.m. organization.

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(iii) A library or museum. Note: The Secretary encourages the statewide U.S. history assessments than applicant to include benchmarks to monitor Note: The Secretary encourages the students in control and comparison progress toward specific project objectives groups. applicant to provide the rationale for and also outcome measures to assess the selecting the partners and explain the impact on teaching and learning or other We will track this indicator through specific activities that the partner(s) will important outcomes for project participants. the use of two measures. We will gather contribute to the grant during each year of The Secretary also encourages applicants to data for these measures through those the project. The Secretary also encourages the identify the individual and/or organization grantees who are using experimental applicant to include a memorandum of that has agreed to serve as evaluator for the understanding or detailed letters of and quasi-experimental evaluation project and describe the qualifications of that designs. commitment from the partner(s) in an evaluator. Applicants are encouraged to appendix to the application narrative. indicate (1) what types of data will be Measure One: Percentage of students 2. Significance (20 points). The collected; (2) when various types of data will in studies of educational effectiveness Secretary considers the significance of be collected; (3) what methods will be used who demonstrate higher achievement the proposed project. In determining the to collect data; (4) what data collection than those in control and comparison significance of the proposed project, the instruments will be developed and when; (5) groups. Secretary considers— how the data will be analyzed; (6) when reports of results and outcomes will be Measure Two: Percentage of school (a) The national significance of the available; and (7) how the applicant will use districts that demonstrate higher proposed project; and the information collected through the educational achievement for students (b) The importance or magnitude of evaluation to monitor the progress of the than those in control or comparison the results or outcomes likely to be funded project and to provide accountability groups. attained by the proposed project, information about both success at the initial especially improvements in teaching site and effective strategies for replication in VII. Agency Contacts and student achievement. other settings. Applicants are encouraged to devote an appropriate level of resources to FOR FURTHER INFORMATION CONTACT: Note: The Secretary encourages the project evaluation. Christine Miller, Alex Stein, Harry applicant to discuss the significance of the proposed project, including national Kessler, or Claire Geddes, U.S. significance. For example, the applicant VI. Award Administration Information Department of Education, 400 Maryland could include information on: the extent to 1. Award Notices: If your application Avenue, SW., room 5C126, Washington, which teachers in the LEA are not certified is successful, we notify your U.S. DC 20202–6200. Telephone: (202) 260– in history or social studies; student Representative and U.S. Senators and 8766 (Christine Miller); (202) 205–9085 achievement data in American history; and send you a Grant Award Notification (Alex Stein); (202) 708–9943 (Harry rates of student participation in courses such (GAN). We may also notify you Kessler); or (202) 260–8757 (Claire as Advanced Placement American History. informally. Geddes) or by e-mail: 3. Quality of the management plan If your application is not evaluated or [email protected]. (10 points). The Secretary considers the not selected for funding, we notify you. If you use a telecommunications quality of the management plan for the 2. Administrative and National Policy device for the deaf (TDD), you may call proposed project. In determining the Requirements: We identify the Federal Information Relay Service quality of the management plan for the administrative and national policy (FIRS) at 1–800–877–8339. proposed project, the Secretary requirements in the application package considers the following factors: and reference these and other Individuals with disabilities may (a) The adequacy of the management requirements in the Applicable obtain this document in an alternative plan to achieve the objectives of the Regulations section of this notice. format (e.g., Braille, large print, proposed project on time and within We reference the regulations outlining audiotape, or computer diskette) on budget, including clearly defined the terms and conditions of an award in request to one of the program contact responsibilities, timelines, and the Applicable Regulations section of persons listed in this section. milestones for accomplishing project this notice and include these and other VIII. Other Information tasks. specific conditions in the GAN. The (b) The extent to which the time GAN also incorporates your approved Electronic Access to This Document: commitments of the project director and application as part of your binding You may view this document, as well as other key project personnel are commitments under the grant. all other documents of this Department appropriate and adequate to meet the 3. Reporting: At the end of your published in the Federal Register, in objectives of the proposed project. project period, you must submit a final text or Adobe Portable Document 4. Quality of the project evaluation performance report, including financial Format (PDF) on the Internet at the (20 points). The Secretary considers the information, as directed by the following site: http://www.ed.gov/news/ quality of the evaluation to be Secretary. If you receive a multi-year fedregister. conducted of the proposed project. In award, you must submit an annual To use PDF you must have Adobe determining the quality of the performance report that provides the Acrobat Reader, which is available free evaluation, the Secretary considers the most current performance and financial at this site. If you have questions about extent to which the methods of expenditure information as specified by using PDF, call the U.S. Government evaluation include the use of objective the Secretary in 34 CFR 75.118. Printing Office (GPO), toll free, at 1– performance measures that are clearly 4. Performance Measures: We have 888–293–6498; or in the Washington, related to the intended outcomes of the established one performance indicator DC, area at (202) 512–1530. project and will produce quantitative for Teaching American History. The and qualitative data to the extent indicator is: Students in experimental Note: The official version of this document is the document published in the Federal possible. and quasi-experimental studies of Register. Free Internet access to the official Note: The Secretary encourages applicants educational effectiveness of Teaching edition of the Federal Register and the Code to align evaluation plans with the project American History projects will of Federal Regulations is available on GPO design explained under the Project Quality demonstrate higher achievement on Access at: http://www.gpoaccess.gov/nara/ criterion. course content measures and/or index.html.

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Dated: December 18, 2003. telephone number listed below. guidance on a continuing basis with Nina S. Rees, Requests must be received five days respect to the high energy physics Deputy Under Secretary for Innovation and prior to the meeting and a reasonable research program. Improvement. provision will be made to include the Tentative Agenda: Agenda will [FR Doc. 03–31567 Filed 12–22–03; 8:45 am] presentation in the agenda. The Deputy include discussions of the following: BILLING CODE 4000–01–P Designated Federal Officer, Gary Monday, February 9, 2004, and Stegner, Public Affairs Office, Ohio Tuesday, February 10, 2004. Field Office, U.S. Department of Energy, • Discussion of Department of Energy is empowered to conduct the meeting in DEPARTMENT OF ENERGY High Energy Physics Programs a fashion that will facilitate the orderly • Environmental Management Site- conduct of business. Each individual Discussion of National Science Specific Advisory Board, Fernald wishing to make public comment will Foundation Elementary Particle be provided a maximum of five minutes Physics Program • AGENCY: Department of Energy. to present their comments. Reports on and Discussions of ACTION: Notice of open meeting. Minutes: The minutes of this meeting Topics of General Interest in High will be available for public review and Energy Physics SUMMARY: This notice announces a copying at the Freedom of Information • Public Comment (10-minute rule) meeting of the Environmental Public Reading Room, 1E–190, Forrestal Public Participation: The meeting is Management Site-Specific Advisory Building, 1000 Independence Avenue, open to the public. If you would like to Board (EM SSAB), Fernald. The Federal SW., Washington, DC 20585 between 9 file a written statement with the Panel, Advisory Committee Act (Pub. L. 92– a.m. and 4 p.m., Monday-Friday, except you may do so either before or after the 463, 86 Stat. 770) requires that public Federal holidays. Minutes will also be meeting. If you would like to make oral notice of these meetings be announced available by writing to the Fernald statements regarding any of these items in the Federal Register. Citizens’ Advisory Board, c/o Phoenix on the agenda, you should contact Bruce DATES: Tuesday, January 13, 2004, 6 Environmental Corporation, MS–76, Strauss, 301–903–3705 or p.m.–9 p.m. Post Office Box 538704, Cincinnati, OH [email protected] (e-mail). ADDRESSES: Fernald Closure Project 43253–8704, or by calling the Advisory You must make your request for an oral Site, 7400 Willey Road, Trailer 214, Board at (513) 648–6478. statement at least 5 business days before Hamilton, OH 45013–9402. Issued at Washington, DC, on December 18, the meeting. Reasonable provision will FOR FURTHER INFORMATION CONTACT: 2003. be made to include the scheduled oral Doug Sarno, The Perspectives Group, Rachel Samuel, statements on the agenda. The Inc., 1055 North Fairfax Street, Suite Deputy Advisory Committee Management Chairperson of the Panel will conduct 204, Alexandria, VA 22314, at (703) Officer. the meeting to facilitate the orderly 837–1197, or e-mail; [FR Doc. 03–31526 Filed 12–22–03; 8:45 am] conduct of business. Public comment [email protected]. will follow the 10-minute rule. BILLING CODE 6450–01–P SUPPLEMENTARY INFORMATION: Purpose of Minutes: The minutes of the meeting the Board: The purpose of the Board is will be available for public review and to make recommendations to DOE in U.S. DEPARTMENT OF ENERGY copying within 90 days at the Freedom areas of environmental restoration, of Information Public Reading Room; waste management, and related Office of Science; High Energy Physics Room 1E–190; Forrestal Building; 1000 activities. Advisory Panel Independence Avenue, SW., Washington, DC between 9 a.m. and 4 AGENCY: Department of Energy. Tentative Agenda: p.m., Monday through Friday, except ACTION: 6 p.m.—Call to Order Notice of open meeting. Federal holidays. 6–6:30 p.m.—Chair’s Remarks, Ex SUMMARY: This notice announces a Issued at Washington, DC, on December 18, Officio Announcements and meeting of the High Energy Physics 2003. Updates Advisory Panel (HEPAP). Federal Rachel M. Samuel, 6:30–8 p.m.—Discuss Groundwater Advisory Committee Act (Pub. L. 92– Deputy Advisory Committee Management Treatment Alternatives 463, 86 Stat. 770) requires that public Officer. 8–8:15 p.m.—Status of Risk-Based End notice of these meetings be announced [FR Doc. 03–31525 Filed 12–22–03; 8:45 am] States Policy at Fernald in the Federal Register. 8:15–8:45 p.m.—Update on Stewardship BILLING CODE 6450–01–P DATES: Monday, February 9, 2004; 8:30 Issues a.m. to 6 p.m. and Tuesday, February —Comments on Draft Institutional DEPARTMENT OF ENERGY Controls Plan 10, 2004; 8:30 a.m. to 4 p.m. ADDRESSES: —Comments on Legacy Management Hilton Washington Embassy Federal Energy Regulatory Strategic Plan Row, 2015 Massachusetts Avenue, NW., Commission —Coalition for Post-Closure Washington, DC 20036. Involvement in Fernald FOR FURTHER INFORMATION CONTACT: [Docket No. EC04–10–000, et al.] 8:45–9 p.m.—Public Comment and Bruce Strauss, Executive Secretary; High Adjourn Energy Physics Advisory Panel; U.S. FPL Energy New Mexico Wind, LLC, et Public Participation: The meeting is Department of Energy; SC–20/ al.; Electric Rate and Corporate Filings open to the public. Written statements Germantown Building, 1000 may be filed with the Board chair either Independence Avenue, SW., December 9, 2003. before or after the meeting. Individuals Washington, DC 20585–1290; The following filings have been made who wish to make oral statements Telephone: (301) 903–3705. with the Commission. The filings are pertaining to agenda items should SUPPLEMENTARY INFORMATION: Purpose of listed in ascending order within each contact the Board chair at the address or Meeting: To provide advice and docket classification.

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1. FPL Energy New Mexico Wind, LLC Onondaga requests expedited Comment Date: December 19, 2003. and FPL Energy American Wind, LLC consideration of its application and 8. NEO California Power LLC [Docket EC04–10–000] certain waivers. Onondaga states that the transaction [Docket No. ER04–220–001] Take notice that on December 4, 2003, will have no effect on competition, rates FPL Energy New Mexico Wind, LLC and Take notice that on December 5, 2003, or regulation and is in the public FPL Energy American Wind, LLC NEO California Power LLC (NEO interest. (Applicants) submitted for filing a California) tendered for filing revised Comment Date: December 26, 2003. revision to Attachment A of Applicant’s rate schedule sheets for the Must-Run application that was approved by the 5. Sithe Energy Marketing, L.P., AG- Service Agreement (RMR Agreement) Commission’s November 26, 2003, Energy, L.P., Power City Partners, L.P., between NEO California and the Order in Docket No. EC04–10–000. Seneca Power Partners, L.P., Sterling California Independent System Operator Applicants’ filing contains a request for Power Partners, L.P., and Sithe/ Corporation (California ISO) an expedited clarification of the Independence Power Partners, L.P. amendment to one of the revised rate Commission’s November 26, 2003, schedule sheets that was filed in ER04– [Docket Nos. ER02–2202–003, ER98–2782– 220–000 on November 21, 2003. Order, as well as a request for a 005, and ER03–42–004] shortened comment period. Comment Date: December 26, 2003. Comment Date: December 11, 2003. Take notice that on December 4, 2003, Sithe Energy Marketing, L.P., AG- 9. APN Starfirst, LP 2. Covanta Energy Corporation Energy, L.P., Power City Partners, L.P., [Docket No. ER04–226–001] [Docket No. EC04–22–000] Seneca Power Partners, L.P., Sterling Take notice that on December 5, 2003, Take notice that on December 4, 2003, Power Partners, L.P., and Sithe/ APN Starfirst, LP (Starfirst) filed an Covanta Energy Corporation submitted a Independence Power Partners, L.P. amended Rate Schedule FERC No. 1 to Notice of Withdrawal of its November (collectively, the Sithe Entities) comply with Federal Energy Regulatory 13, 2003, application in the above- tendered for filing a notice of change in Commission requirements in Order 614. referenced proceeding. status pursuant to section 205 of the Comment Date: December 26, 2003. Comment Date: December 26, 2003. Federal Power Act with respect to their authority to engage in wholesale sales of 10. Central Hudson Gas & Electric 3. Oswego Cogen Company, LLC; Sithe/ capacity, energy and ancillary services Corporation Independence Equity LLC; and Sithe/ at market-based rates. The change in [Docket No. ER04–258–000] Independence Power Partners, L.P. status involves the transfer of Oswego Take notice that on December 4, 2003, [Docket No. EC04–33–000] Cogen Company, LLC’s 40% ownership Central Hudson Gas & Electric Take notice that on December 5, 2003, interests in Sithe/Independence Power Corporation (Central Hudson) tendered Oswego Cogen Company, LLC (Oswego), Partners, L.P. to Sithe/Independence for filing a Notice of Cancellation of Sithe/Independence Equity LLC Equity LLC, a transaction that will result Rate Schedule FERC No. 63, effective (Equity), and Sithe/Independence Power in Sithe Energies, Inc. holding, directly June 18, 1981, in Docket No. ER81–604– Partners, L.P. (Independence) and indirectly, 100% of the ownership 000. (collectively, the Applicants) filed with interests in Sithe/Independence Power Central Hudson states that the the Federal Energy Regulatory Partners, L.P. contract was terminated in accordance Commission an application pursuant to Comment Date: December 26, 2003. with its terms as a result of the sale, on section 203 of the Federal Power Act for 6. New York Independent System January 30, 2001, of the Central Hudson authorization of a disposition from Operator Inc. electric generation units designated in Oswego to Equity of a 40% limited the contract. partnership interest in Independence. [Docket No. ER03–690–003] Central Hudson requests waiver on Independence states it owns a 1,060 Take notice that on November 26, the notice requirements set forth in 18 MW generating facility in Oswego, New 2003, New York Independent System CFR 35.11 of the regulations to permit York. Applicants state that the Operator Inc. (NYISO) filed a Report on the Notice of Cancellation to be effective transaction will have no adverse effect Market Competitiveness at the New February 1, 2001. on competition, rates or regulation. York Independent System Operator Central Hudson states that a copy of Comment Date: December 26, 2003. Proxy Busses. NYISO states that this its filing was served on Orange & report was filed in compliance with Rockland Utilities, Inc., and the State of 4. Onondaga Cogeneration Limited directives in the Commission’s August New York Public Service Commission. Partnership 22, 2003 Order Conditionally Accepting Comment Date: December 26, 2003. Proposed Tariff Revisions, 104 FERC [Docket Nos. EC04–34–000 and ER00–895– 11. Central Hudson Gas & Electric 002] ¶ 61,220. Corporation Take notice that on December 5, 2003, Comment Date: December 26, 2003. [Docket No. ER04–259–000] Onondaga Cogeneration Limited 7. Columbus Southern Power Company Partnership (Onondaga), submitted an Take notice that on December 4, 2003, application pursuant to section 203 of [Docket No. ER04–150–001] Central Hudson Gas & Electric the Federal Power Act and a notice of Take notice that on November 20, Corporation (Central Hudson) tendered status change, seeking authorization for 2003, Columbus Southern Power for filing a Notice of Cancellation of an internal restructuring. This internal Company (CPS) submitted for filing a Rate Schedule FERC No. 66, effective restructuring, together with a Certificate of Concurrence related to a April 19, 1983, in Docket No. ER83– subsequent transaction, would result in November 3, 2003, Notice of 533–000. Central Hudson states that the the transfer of indirect control of certain Cancellation of its Service Agreement contract was terminated in accordance jurisdictional facilities associated with No. 3. CPS states that the certificate was with its terms as a result of the sale, on Onondaga’s 91–MW dual fuel, not signed at the time of the January 30, 2001, of the Central Hudson combined-cycle merchant energy cancellation and is now ready to be electric generation units designated in facility located in Geddes, New York. included with the cancellation. the contract. Central Hudson requests

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waiver on the notice requirements set Commission’s Web site at http:// 00247 02. The exhibits were not forth in 18 CFR 35.11 of the regulations www.ferc.gov, using the ‘‘FERRIS’’ link. previously filed with the Commission. to permit the notice of cancellation to be Enter the docket number excluding the NYISO and Dynegy state that certain effective February 1, 2001. Central last three digits in the docket number information relating to the level of bids Hudson states that a copy of its filing filed to access the document. For is confidential and therefore are was served on New York State Electric assistance, call (202) 502–8222 or TTY, requesting privileged treatment for and Gas Corporation, and the State of (202) 502–8659. Protests and portions of the Exhibits pursuant to 18 New York Public Service Commission. interventions may be filed electronically CFR 388.112. Comment Date: December 26, 2003. via the Internet in lieu of paper; see 18 Comment Date: December 19, 2003. 12. Tampa Electric Company CFR 385.2001(a)(1)(iii) and the 3. KES Kingsburg, L.P. instructions on the Commission’s Web [Docket No. ER04–260–000] site under the ‘‘e-Filing’’ link. The [Docket Nos. EL04–33–000 and QF86–155– Take notice that on December 4, 2003, Commission strongly encourages 004] Tampa Electric Company (Tampa electronic filings. Take notice that on December 8, 2003, Electric) tendered for filing a Notice of KES Kingsburg, L.P. (Kingsburg) filed in Cancellation of its transaction-specific Magalie R. Salas, the above-referenced dockets a request service agreement with Cargill Secretary. for a temporary waiver of the efficiency Fertilizer, Inc. (Cargill) under Tampa [FR Doc. E3–00611 Filed 12–22–03; 8:45 am] standard for its qualifying cogeneration Electric’s open access transmission BILLING CODE 6717–01–P facility in Kingsburg, California (the tariff. Tampa Electric proposes that the Facility), pursuant to section 292.205(c) cancellation be made effective on of the Commission’s regulations. January 1, 2004. Tampa Electric states DEPARTMENT OF ENERGY Kingsburg requests waiver for calendar that copies of the filing have been year 2003 due to unforeseen mechanical served on Cargill and the Florida Public Federal Energy Regulatory failures within the Facility’s steam Service Commission. Commission turbine. Comment Date: December 26, 2003. [Docket No. EC04–36–000, et al.] Comment Date: January 7, 2004. 13. PJM Interconnection, L.L.C. 4. City of Vernon, California Sunbury Generation, LLC, et al.; [Docket No. ER04–261–000] Electric Rate and Corporate Filings [Docket No. EL04–34–000] Take notice that on December 4, 2003, Take notice that on December 8, 2003, PJM Interconnection, LLC (PJM), December 11, 2003. the City of Vernon, California (Vernon) submitted for filing an interconnection The following filings have been made tendered for filing the annual update to service agreement (ISA) among PJM, with the Commission. The filings are its Transmission Revenue Balancing American Project Development Corp/ listed in ascending order within each Account Adjustment (TRBA American Hydro Power Company/ docket classification. Adjustment) and to Appendix I of its American Hydro Power Partners, L.P. 1. Sunbury Generation, LLC, and Transmission Owner Tariff (TO Tariff), and Pennsylvania Electric Company. Duquesne Power, L.P. to reflect that update. PJM requests a waiver of the Vernon also states that pursuant to Commission’s 60-day notice [Docket No. EC04–36–000] paragraph 1.4 of the Settlement requirement to permit a November 4, Take notice that on December 8, 2003, approved in Docket No. EL02103, 102 2003, effective date for the ISA. PJM Sunbury Generation, LLC (Sunbury) and FERC 61,141 (Feb. 5, 2003), Vernon is states that copies of this filing were Duquesne Power, L.P. (Duquesne) providing to the California Independent served upon the parties to the (collectively, Applicants) tendered for System Operator Corporation (ISO) on a agreements and the state regulatory filing an application requesting all confidential basis for ISO review and commissions within the PJM region. necessary authorizations under section verification, and submitting to the Comment Date: December 26, 2003. 203 of the Federal Power Act, 16 U.S.C. Commission on a confidential basis 824b, for Applicants to engage in the Standard Paragraph under 18 CFR 388.112, a volume of transfer from Sunbury to Duquesne of certain confidential data. Vernon states Any person desiring to intervene or to (1) an approximately 436 MW that nonconfidential, redacted versions protest this filing should file with the generating facility located in Snyder of this data are also being filed with the Federal Energy Regulatory Commission, County, Pennsylvania, and (2) Commission and served. 888 First Street, NE., Washington, DC Sunbury’s Rate Schedule FERC No. 2. Consistent with the ISO’s FERC 20426, in accordance with rules 211 and Applicants state that copies of this Electric Tariff, Vernon requests a 214 of the Commission’s rules of filing have been served on the January 1, 2004, effective date for its practice and procedure (18 CFR 385.211 Pennsylvania Public Utility filing. and 385.214). Protests will be Commission. Vernon states that copies of this filing considered by the Commission in Comment Date: December 29, 2003. have been served on the California determining the appropriate action to be 2. New York Independent System Independent System Operator taken, but will not serve to make Operator, Inc.; Dynegy Power Corporation and the seven other protestants parties to the proceeding. Marketing, Inc. Participating Transmission Owners, as Any person wishing to become a party well as served upon all individuals on must file a motion to intervene. All such [Docket No. EL03–26–001] the service list in Commission Docket motions or protests should be filed on Take notice that on December 5, 2003, No. EL03–31. or before the comment date, and, to the the New York Independent System Comment Date: December 29, 2003. extent applicable, must be served on the Operator, Inc. (NYISO) and Dynegy 5. Tenaska Alabama II Partners, L.P. applicant and on any other person Power Marketing, Inc. (Dynegy) are designated on the official service list. jointly submitting exhibits presented to [Docket No. ER01–137–001] This filing is available for review at the the Arbitrator in American Arbitration Take notice that on December 8, 2003, Commission or may be viewed on the Association proceeding no. 13 198 Tenaska Alabama II Partners, L.P.

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(Tenaska Alabama II) submitted for relating to station power service. 12. Nordic Marketing of New York, filing with the Federal Energy Midwest ISO states that the September L.L.C. Regulatory Commission its triennial 8, 2003 filing was made pursuant to [Docket No. ER04–265–000] updated market analysis in accordance section 205 of the Federal Power Act 16 with Appendix B of the Commission’s U.S.C. 824(d), and part 35 of the Take notice that on December 5, 2003, Order issued December 8, 2000, and regulations of the Federal Energy Nordic Marketing of New York, L.L.C. certain revisions to its FERC Electric Regulatory Commission 18 CFR 35 et petitioned the Commission to: Accept Tariff, Original Volume. No. 1 Tenaska seq. for filing its Rate Schedule FERC No. 1, Alabama II states that this filing Comment Date: December 29, 2003. which will permit it to sell electric includes incorporation of the Market energy and capacity to wholesale Behavior Rules set forth in the 9. White Pine Copper Refinery, Inc. customers at market-based rates and Commission’s November 17, 2003, [Docket No. ER04–262–000] permit transmission capacity Order in Docket Nos. EL01–118–000 reassignment; waive 60 days’ notice and and EL01–118–001, Investigation of Take notice that on December 5, 2003, allow that rate schedule to become White Pine Copper Refinery, Inc. (White Terms and Conditions of Public Utility effective upon acceptance, but no later Pine) filed with the Commission a Market-Based Rate Authorizations, 105 than February 3, 2004; and, grant such Petition for acceptance of its initial rate FERC ¶ 61,218 (2003). other waivers and blanket schedule, FERC Electric Tariff, Original Comment Date: December 29, 2003. authorizations as have been granted to Volume No. 1, and request for authority other power marketers. 6. New York Independent System to sell electric energy at market-based Operator, Inc. rates, certain blanket approvals, and Comment Date: December 29, 2003. [Docket No. ER01–3001–008] waiver of certain Commission 13. Central Vermont Public Service Take notice that on December 1, 2003, regulations. White Pine has requested Corporation the New York Independent System waiver of the 60-day notice period in [Docket No. ER04–266–000] Operator, Inc. (NYISO) submitted a order to allow an effective date of report which addresses: (1) The December 5, 2003. Take notice that on December 5, 2003, NYISO’s existing demand response Comment Date: December 29, 2003. Central Vermont Public Service programs, the status of real-time 10. Nordic Marketing of Corporation (Central Vermont) filed an demand response mechanisms, and the Massachusetts, L.L.C. executed version of Second Revised effects of demand response programs on Service Agreement No. 15, a Network wholesale prices; and (2) the status of [Docket No. ER04–263–000] Integration Transmission Service new generation resources in the New Take notice that on December 5, 2003, Agreement and Network Operating York Control Area. This submittal Nordic Marketing of Massachusetts, Agreement (Revised Service Agreement) represents the NYISO’s fifth report in L.L.C. petitioned the Commission to: with Vermont Electric Cooperative, Inc. compliance with the Commission’s Accept for filing its Rate Schedule FERC (VEC) under Central Vermont’s FERC October 25, 2001, Order. No. 1, which will permit it to sell Electric Tariff, Second Revised Volume The NYISO states it has served a copy electric energy and capacity to No. 7 (OATT). of this filing upon all parties that have wholesale customers at market-based Central Vermont states that copies of executed service agreements under the rates and permit transmission capacity the filing were served upon the VEC and NYISO’s Open Access Transmission reassignment; waive 60 days’ notice and the Vermont Public Service Board. Tariff and Market Administration and allow that rate schedule to become Comment Date: December 29, 2003. Control Area Services Tariff. effective upon acceptance, but no later Comment Date: December 22, 2003. than February 3, 2004; and, grant such 14. Pacific Gas and Electric Company other waivers and blanket 7. Innovative Technical Services, [Docket No. ER04–267–000] L.L.C. authorizations as have been granted to other power marketers. Take notice that on December 11, [Docket No. ER03–763–001] Comment Date: December 29, 2003. 2003, Pacific Gas and Electric Company Take notice that on December 3, 2003, (PG&E) tendered for filing Generator Innovative Technical Services, L.L.C. 11. Nordic Marketing of Michigan Special Facilities Agreement (GSFA), (InTech-LLC) submitted a compliance L.L.C. and Generator Interconnection filing to incorporate the market behavior [Docket No. ER04–264–000] Agreement (GIA) and Letter rules adopted by the Commission on Amendment Extensions between PG&E Take notice that on December 5, 2003, November 17, 2003, in Docket Nos. and Geysers Power Company, LLC EL01–118–000 and EL01–118–001, into Nordic Marketing of Michigan, L.L.C. petitioned the Commission to: accept for (Geysers Power), and Notices of InTech-LLC’s market based tariff. Termination of PG&E Rate Schedules Comment Date: December 29, 2003. filing its Rate Schedule FERC No. 1, which will permit it to sell electric FERC Nos. 204 and 205, as 8. Midwest Independent Transmission energy and capacity to wholesale supplemented, and Notice of System Operator, Inc. customers at market-based rates and Termination of PG&E 2nd Revised Service Agreement No. 1 under FERC [Docket No. ER03–1312–001] permit transmission capacity reassignment; waive 60 days’ notice and Electric Tariff, Sixth Revised Volume Take notice that on December 8, 2003, No. 5. the Midwest Independent Transmission allow that rate schedule to become System Operator, Inc. (Midwest ISO) effective upon acceptance, but no later PG&E states that copies of this filing filed information amending its than February 3, 2004; and, grant such have been served upon Geysers Power, September 8, 2003, filing, to revise the other waivers and blanket the California Independent System Midwest ISO’s Open Access authorizations as have been granted to Operator Corporation and the California Transmission Tariff (OATT) by other power marketers. Public Utilities Commission. incorporating certain procedures Comment Date: December 29, 2003. Comment Date: December 29, 2003.

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15. Duquesne Power, L.P.; Duquesne instructions on the Commission’s Web comments on the subject policy, can be Light Co.; Monmouth Energy, Inc.; site under the ‘‘e-Filing’’ link. The accessed at the Water Docket in the EPA Metro Energy, L.L.C.; NM Colton Genco, Commission strongly encourages Docket Center, (EPA/DC) EPA West, L.L.C.; NM Mid-Valley Genco, L.L.C.; electronic filings. Room B102, 1301 Constitution Ave., NM Milliken Genco, L.L.C. NW., Washington, DC. For more Magalie R. Salas, information, see section I..B.1 of the [Docket Nos. ER04–268–000, ER98–4159– Secretary. SUPPLEMENTARY INFORMATION section. 003, ER99–1293–002, ER01–2317–002, [FR Doc. E3–00609 Filed 12–22–03; 8:45 am] ER03–320–003, ER03–321–003, and ER03– FOR FURTHER INFORMATION CONTACT: For 322–003] BILLING CODE 6717–01–P more information please contact Ronald Take notice that on December 8, 2003, Bergman by phone at 202–564–3823, or Duquesne Power, L.P., Duquesne Light by e-mail at [email protected]. ENVIRONMENTAL PROTECTION SUPPLEMENTARY INFORMATION: Co., Monmouth Energy, Inc., Metro AGENCY Energy, L.L.C., NM Colton Genco, I. General Information L.L.C., NM Mid-Valley Genco, L.L.C., [FRL–7601–7] and NM Milliken Genco, L.L.C., A. Final Revised Policy Applicability of the Safe Drinking tendered for filing a Notice of Change in Today, EPA is publishing a Water Act to Submetered Properties Status and applications for certain memorandum revising current policy Docket: OW–2003–0065 waivers and authorizations under regarding regulatory requirements under section 205 of the Federal Power Act. AGENCY: Environmental Protection the Safe Drinking Water Act (SDWA) of Comment Date: December 29, 2003. Agency. submetered properties. The 16. The Morenci Water and Electric ACTION: Notice. memorandum changes EPA’s Company interpretation of section 1411 as it SUMMARY: The Environmental Protection applies in the specific context of [Docket No. OA04–2–000] Agency (EPA) finalized a memorandum submetering and direct billing of Take notice that on December 5, 2003, that outlined its revised policy tenants. EPA published a proposed The Morenci Water and Electric regarding regulatory requirements under memo in the Federal Register on August Company tendered for filing a request the Safe Drinking Water Act (SDWA) for 28, 2003 (68 FR 51777) and solicited for a disclaimer of jurisdiction that it is submetered properties. The revised public comments for 60 days. not a public utility under the Federal policy is shown in the SUPPLEMENTARY Comments were received from a variety Power Act and a waiver of the INFORMATION section of this notice, in its of stakeholders, including State, county, reciprocity requirement, or in the final memorandum form. Under SDWA and local governments, apartment alternative, a waiver of the requirements section 1411, the national primary building owners and associations, of Order Nos. 888 and 889 and certain drinking water regulations apply to utility companies, and housing regulations. public water systems (PWS) that have associations. Generally, commenters Comment Date: January 5, 2004. their own water source, treat, or ‘‘sell’’ strongly supported the proposed policy water. EPA staff and program managers Standard Paragraph and agreed that submetering promotes have previously issued memoranda water conservation. Any person desiring to intervene or to stating that any building or property protest this filing should file with the owner who meets the definition of a Memorandum Federal Energy Regulatory Commission, PWS and receives water from a Subject: Applicability of the Safe 888 First Street, NE., Washington, DC regulated public water system, but bills Drinking Water Act to Submetered 20426, in accordance with rules 211 and tenants separately for this water, is Properties. 214 of the Commission’s rules of ‘‘selling’’ the water and therefore is From: G. Tracy Mehan III, Assistant practice and procedure (18 CFR 385.211 independently subject to SDWA’s Administrator. and 385.214). Protests will be drinking water requirements. As a way To: Regional Administrators, Regions I– considered by the Commission in to promote full cost and conservation X. determining the appropriate action to be pricing to achieve water conservation, The purpose of this memorandum is taken, but will not serve to make the EPA is changing its interpretation of to announce EPA’s revised policy protestants parties to the proceeding. section 1411 as it applies to submetered concerning the applicability of the Safe Any person wishing to become a party properties. EPA believes that the Drinking Water Act (SDWA) to must file a motion to intervene. All such addition of a submeter should not in submetered properties. Submetering, as motions or protests should be filed on any way change the quality of water applied in this policy, means a billing or before the comment date, and, to the provided to customers on these process by which a property owner (or extent applicable, must be served on the properties. association of property owners, in the applicant and on any other person In general, the scope of this policy is case of co-ops or condominiums) bills designated on the official service list. not intended to extend where the tenants based on metered total water This filing is available for review at the property in question has a large use; the property owner is then Commission or may be viewed on the distribution system, serves a large responsible for payment of a water bill Commission’s Web site at http:// population or serves a mixed from a public water system. Under the www.ferc.gov, using the ‘‘FERRIS’’ link. (commercial/residential) population revised policy, a property owner who Enter the docket number excluding the (e.g., many military installations/ installs submeters to track usage of last three digits in the docket number facilities or large mobile home parks). water by tenants on his or her property filed to access the document. For DATES: EPA’s revised policy, as will not be subject to SDWA regulations assistance, call (202) 502–8222 or TTY, described in the section I.A. solely as a result of taking the (202) 502–8659. Protests and memorandum, effective December 16, administrative act of submetering and interventions may be filed electronically 2003. billing. Property owners must receive all via the Internet in lieu of paper; see 18 ADDRESSES: Related documents, of their water from a regulated public CFR 385.2001(a)(1)(iii) and the including EPA’s response to public water system to qualify under the terms

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of this policy revision for submetered stated that it ‘‘intends to exempt efforts.2 In response, EPA agreed to properties. businesses which merely store and reconsider the matter and issue further EPA proposed the revised policy in distribute water provided by others, guidance.3 the Federal Register on August 28, 2003 unless that business sells water as a • EPA’s approach in previous (68 FR 51777) and requested public separate item or bills separately for memoranda may have created a comment. In response, the Agency water it provides.’’ 1 Under EPA’s disincentive to water conservation, received strong support for the revised previous interpretation, an owner of an which can undermine water quality policy on submetering from a variety of apartment building or similar property over the long term. stakeholders. In light of this response, who is exempt under section 1411 but • Simply applying the concept of and because a key objective of the merely installed a submeter and billed ‘‘sell’’ to every billing transaction is not Agency is to promote water efficiency the tenants for the water, or simply appropriate. and conservation, EPA has decided to began billing tenants (even without a change the policy for submetering. submeter), would then be considered to Revised Policy Throughout the country, submetering be operating a fully regulated public Consistent with Congressional of apartment buildings has been found water system, even though there had requests to reconsider this matter, the to be an effective but little-used tool to been no other change relevant to the Agency now believes that certain support water conservation. Water delivery or potential health concerns conservation is an integral part of property owners, who had not associated with the water. This previously been (or would not be) watershed protection, particularly in application of the legislative history has arid and drought-stricken areas. In subject to SDWA’s national primary been cited as a discouragement to drinking water regulations, and who addition to helping reduce the risk of submetering and, as a result, to water water shortages, water conservation also install submeters to accurately track conservation measures. usage of water by tenants on his or her provides other important benefits. Water After further review, we no longer conservation helps ensure in-stream property, should not be subject to believe that Congress originally regulations solely as a result of taking flows, thereby providing protection for intended the statute to be applied in this ecosystems, which can become out of the action to submeter and bill. manner, or that it should continue to be The addition of a submeter should not balance when demands stress water the Agency’s interpretation for the resources. Water conservation also helps in any way change the quality of water following reasons: provided to customers on the property. reduce stress on water supply and • The legislative history from 1974 A PWS that provides water to a property wastewater infrastructure making them does not specifically address the maintains responsibility for providing less prone to failure. Further, the use of submetering of apartment buildings or public notification under 40 CFR submeters to measure water similar properties for water 141.201(c) (or approved State consumption is a necessary pre- conservation purposes. Rather, the equivalent) to consumers. In addition, requisite to achieving full-cost and legislative history was one Committee’s the PWS must make ‘‘good faith’’ efforts conservation pricing. attempt to explain broadly what the to provide the tenants with the annual term ‘‘selling’’ water in section 1411 Background Consumer Confidence Reports under 40 might mean. The statute itself does not Section 1401 of SDWA defines a CFR 141.155(b). A submetered property define the term ‘‘selling’’ or suggest an public water system (PWS) as a system would still be considered a PWS under interpretation that any billing of water that provides water through pipes or SDWA section 1401, hence States and would automatically trigger full SDWA other constructed conveyances to the EPA would retain the ability to take regulation. public for human consumption, if the corrective action under SDWA’s • Some owners of apartment system has at least 15 service emergency powers authority (section buildings and other multifamily housing connections or regularly serves at least 1431) if public health risks arise. 25 people. Under SDWA section 1411, expressed concern that, under EPA’s the SDWA national primary drinking previous policy, the installation of Scope of Revised Policy submeters subjected them to the full water regulations apply to PWSs that EPA received numerous comments regulatory requirements of the Safe have their own water source, treat, or asking that the revised policy be Drinking Water Act (SDWA), ‘‘sell’’ water. EPA staff and program expanded beyond apartment buildings. comparable to the requirements managers had issued several EPA agrees that submetering to achieve imposed on water utilities. memoranda stating that any building or water conservation may be appropriate • In 1996, a Congressional committee property owner who met the definition for other property types, which share expressed its concern that this of a PWS and received water from a similar characteristics to an apartment application of SDWA might discourage regulated public water system without building, and likewise should not be the practice of submetering, as owners adding further treatment, but billed considered as ‘‘selling’’ under SDWA of a multifamily housing property (e.g., tenants separately for this water, would section 1411, simply because a submeter apartment buildings and/or complexes) be considered to be ‘‘selling’’ the water is installed and the property owner would become subject to national and, therefore, would be independently begins direct billing for the water. This primary drinking water regulations if subject to SDWA’s drinking water description is the basis for the definition they billed separately for water. requirements. Today’s memorandum of submetering. Determinations of Congress asked that EPA review its reflects a change in EPA’s interpretation whether billing for water is a ‘‘sale’’ for guidance on this matter to prevent of section 1411 as it applies in the purposes of section 1411, and whether unnecessary requirements that do not specific context of submetering. systems are ‘‘submetering’’ as that term further public health protection and that The EPA memoranda referenced is used in this policy, should be made might inhibit water conservation above were based on a single statement by the Primacy Agency. in the 1974 legislative history for the 1 H. Rept. 93–1185 (93rd Cong., 2nd Session), SDWA in which Congress explained its reprinted in A Legislative History of the Safe 2 H. Rept. 104–632 at 55 (1996). intent in enacting section 1411. In that Drinking Water Act, Committee Print Serial 97–9 3 H. Rept. 104–632 (104th Cong., 2d Sess.) at 55 legislative history, the Committee report (1982) at 549. and 134 (1996).

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In making a determination, the should include this type of billing in the public comments, access the index Primacy Agency should consider if the revised policy because it would have no listing of the contents of the official property has certain characteristics, negative effect on water quality. Other public docket, and to access those such as a limited distribution system commenters encouraged EPA to exclude documents in the public docket that are with no known backflow or cross RUBS, stating that RUBS may not result available electronically. Although not connection issues; the majority of its in water conservation, and may, in fact, all docket materials may be available plumbing is within a structure instead reduce incentives to install submeters electronically, you may still access any of underground; and property and charge on the basis of actual water of the publicly available docket ownership is a single/individual (or usage. Water savings, if any, from RUBS materials through the docket facility association of property owners, in the and hot water hybrid billing systems identified in section I.B.1. Once in the case of co-ops or condominiums). Of (HWH) are uncertain. At this time, EPA system, select ‘‘search,’’ then key in the course, for any system to be excluded believes that RUBS or other allocation appropriate docket identification under section 1411, it must receive all billing systems do not meet the number. of its water from a regulated public definition of submetering, as used in Dated: December 17, 2003. this policy, and do not encourage water water system. G. Tracy Mehan III, In general, the scope of this policy is conservation. Therefore, a property Assistant Administrator, Office of Water. not intended to extend where the using these billing systems is not property in question has a large addressed by this policy. Primacy [FR Doc. 03–31588 Filed 12–22–03; 8:45 am] distribution system, serves a large Agencies will need to determine BILLING CODE 6560–50–P population or serves a mixed whether such properties are ‘‘selling’’ (commercial/residential) population water within the meaning of SDWA (e.g., many military installations/ section 1411. FEDERAL COMMUNICATIONS facilities or large mobile home parks). This memorandum clarifies EPA’s COMMISSION policy change and reconfirms our strong Although EPA is not requiring that Notice of Public Information submetered systems be regulated, each interest in advocating water conservation. Any previous EPA Collection(s) Being Reviewed by the State has the flexibility to determine Federal Communications Commission whether, and how, to best track statements or policy memoranda on this issue are superceded by this for Extension Under Delegated properties that submeter. For example, Authority in Alabama, the State defines a memorandum. submetered property as a ‘‘segmented B. How Can I Get Copies of This December 11, 2003. public water system’’ and requires that Document and Other Related SUMMARY: The Federal Communications it have access to a certified operator. Information? Commission, as part of its continuing Texas requires that submetered 1. Docket. EPA has established an effort to reduce paperwork burden properties allow access to the property official public docket for this action invites the general public and other by the public water system that provides under Docket ID No. OW–2003–0065. Federal agencies to take this it with water, register with the Texas The official public docket consists of the opportunity to comment on the Commission on Environmental Quality, documents specifically referenced in following information collection(s), as and follow regulations for submetering. this action, any public comments required by the Paperwork Reduction While submetering and billing for received, and other information related Act (PRA) of 1995, Public Law 104–13. water usage may positively induce to this action. Although a part of the An agency may not conduct or sponsor water conservation actions, States may official docket, the public docket does a collection of information unless it still want to take other steps to ensure not include Confidential Business displays a currently valid control that property owners and others convert Information (CBI) or other information number. No person shall be subject to to water efficient fixtures and whose disclosure is restricted by statute. any penalty for failing to comply with appliances. For example, Texas requires The official public docket is the a collection of information subject to the that apartment buildings have water- collection of materials that is available Paperwork Reduction Act (PRA) that efficient plumbing fixtures and for public viewing at the Water Docket does not display a valid control number. appliances as a condition of approval of in the EPA Docket Center, (EPA/DC) Comments are requested concerning (a) a submetered billing system. EPA West, Room B102, 1301 whether the proposed collection of Ratio Utility Billing Systems (RUBS) Constitution Ave., NW., Washington, information is necessary for the proper and Hybrid Billing Systems (HWH) DC. The EPA Docket Center Public performance of the functions of the Reading Room is open from 8:30 a.m. to Commission, including whether the Several commenters raised the issue 4:30 p.m., Monday through Friday, information shall have practical utility; 4 of ratio utility billing systems (RUBS) excluding legal holidays. The telephone (b) the accuracy of the Commission’s and other allocation billing systems. number for the Public Reading Room is burden estimate; (c) ways to enhance Some commenters suggested that EPA (202) 566–1744, and the telephone the quality, utility and clarity of the number for the Water Docket is (202) information collected; and (d) ways to 4 A ratio utility billing system (RUBS) or an minimize the burden of the collection of allocation formula, divides a property’s water bill 566–2426. among its residents based on a ratio of floor space, 2. Electronic Access. You may access information on the respondents, number of occupants, or some other quantitative this Federal Register document including the use of automated measure. With RUBS, a price signal based on actual electronically through the EPA Internet collection techniques or other forms of use is not sent to the tenant as with submetering, information technology. and the amount of water saved by these systems is under the ‘‘Federal Register’’ listings at unclear. A hot water hybrid (HWH) billing system http://www.epa.gov/fedrgstr/. An DATES: Written Paperwork Reduction is a combination of submetering and allocation electronic version of the public docket (PRA) comments should be submitted where hot water is submetered and a formula is is available through EPA’s electronic on or before February 23, 2004. If you applied to estimate the resident’s total water use based on the volume of hot water metered. HWH public docket and comment system, anticipate that you will be submitting systems provide more of a price signal than RUBS EPA Dockets. You may use EPA Dockets comments, but find it difficult to do so but less than that for submetering. at http://www.epa.gov/edocket/ to view within the period of time allowed by

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this notice, you should advise the FEDERAL COMMUNICATIONS Form Number: N/A. contact listed below as soon as possible. COMMISSION Respondents: Business or other for- profit entities; individuals or ADDRESSES: Direct all Paperwork Notice of Public Information households; State, local, or tribal Reduction Act (PRA) comments to Les Collection(s) Being Reviewed by the government. Smith, Federal Communications Federal Communications Commission Number of Respondents: 35,035. Commission, Room 1–A804, 445 12th Estimated Time per Response: 1 to 10 Street SW., Washington, DC 20554 or December 12, 2003. hours. via the Internet to [email protected]. SUMMARY: The Federal Communications Frequency of Response: Commission, as part of its continuing FOR FURTHER INFORMATION CONTACT: For Recordkeeping; on occasion and effort to reduce paperwork burden biennial reporting requirements; third additional information or copies of the invites the general public and other information collection(s), contact Les party disclosure. Federal agencies to take this Total Annual Burden: 145,869 hours. Smith at 202–418–0217 or via the opportunity to comment on the Total Annual Cost: $51,187,500. Internet at [email protected]. following information collection(s), as Needs and Uses: On March 17, 2003, SUPPLEMENTARY INFORMATION: OMB required by the Paperwork Reduction the FCC released the Third Order on Control Number: 3060–0439 Act of 1995, Public Law 104-13. An Reconsideration and Second Further Title: Regulations Concerning agency may not conduct or sponsor a Notice of Proposed Rulemaking, CC collection of information unless it Indecent Communications by Telephone Docket No. 94–129, FCC 03–42 (Third displays a current valid control number. Order on Reconsideration), in which the Form Number: N/A No person shall be subject to any Commission revised and clarified Type of Review: Extension of a penalty for failing to comply with a certain rules to implement Section 258 currently approved collection collection of information subject to the of the 1996 Act. On May 23, 2003, the Respondents: Business or other for- Paperwork Reduction Act (PRA) that Commission also released an Order (CC profit entities; Individuals or does not display a valid control number. Docket No. 94–129, FCC 03–116) households Comments are requested concerning (a) clarifying certain aspects of the Third whether the proposed collection of Order on Reconsideration. The rules Number of Respondents: 10,200 information is necessary for the proper and requirements implementing section Estimated Time per Response: 0.13 performance of the functions of the 258 can be found primarily at 47 CFR hrs. (8 mins.) (avg.) Commission, including whether the part 64. The modified and revised rules Frequency of Response: On occasion information shall have practical utility; will strengthen the ability of our rules reporting requirements; Third party (b) the accuracy of the Commission’s to deter slamming, while protecting disclosure burden estimate; (c) ways to enhance consumers from carriers that may take the quality, utility; and clarity of the advantage of consumer confusion over Total Annual Burden: 1,632 hours information collected; and (d) ways to different types of telecommunications Total Annual Cost: None minimize the burden of the collection of services. This Third Order of Needs and Uses: Under Section 223 of information on the respondents, Reconsideration also contains a Further the Communications Act of 1932, as including the use of automated Notice of Proposed Rulemaking, in amended, telephone companies are collection techniques or other forms of which we seek comment on rule required, to the extent technically information technology. modifications with respect to third party feasible, to prohibit access to indecent DATES: Written comments should be verifications. communications from the telephone of submitted on or before February 23, Federal Communications Commission. 2004. If you anticipate that you will be a subscriber who has not previously Marlene H. Dortch, submitting comments, but find it requested access. 47 CFR Section 64.201 Secretary. implements Section 223 and contains difficult to do so within the period of [FR Doc. 03–31599 Filed 12–22–03; 8:45 am] several information collection time allowed by this notice, you should requirements: (1) A requirement that advise the contact listed below as soon BILLING CODE 6712–01–M certain common carriers block access to as possible. ADDRESSES: Direct all comments to Les indecent messages unless the subscriber FEDERAL COMMUNICATIONS Smith, Federal Communications seeks access from the common carrier COMMISSION (telephone company) in writing; (2) A Commission, Room 1-A804, 445 12th requirement that adult message service Street, SW., Washington, DC 20554, or Notice of Public Information providers notify their carriers of the via the Internet to [email protected]. Collection(s) Being Reviewed by the nature of their programming; and (3) A FOR FURTHER INFORMATION CONTACT: For Federal Communications Commission requirement that a provider of adult additional information or copies of the for Extension Under Delegated message services request that their information collection(s) contact Les Authority carrier identify it as such in bills to its Smith at (202) 418–0217 or via the subscribers. The information Internet at [email protected]. December 16, 2003. requirements are imposed on carriers, SUPPLEMENTARY INFORMATION: SUMMARY: The Federal Communications adult message service providers, and OMB Control Number: 3060–0787. Commission, as part of its continuing those who solicit their services to Type of Review: Extension of a effort to reduce paperwork burden ensure that minors are denied access to currently approved collection. invites the general public and other material deemed indecent. Title: Implementation of the Federal agencies to take this Subscriber Carrier Selection Changes opportunity to comment on the Federal Communications Commission. Provisions of the Telecommunications following information collection(s), as Marlene H. Dortch, Act of 1996, Policies and Rules required by the Paperwork Reduction Secretary. Concerning Unauthorized Changes of Act (PRA) of 1995, Public Law 104–13. [FR Doc. 03–31598 Filed 12–22–03; 8:45 am] Consumers’ Long Distance Carriers, CC An agency may not conduct or sponsor BILLING CODE 6712–01–P Docket No. 94–129, FCC 03–42. a collection of information unless it

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displays a currently valid control for frequency coordination, to prevent SUPPLEMENTARY INFORMATION: number. No person shall be subject to warehousing of spectrum, and to OMB Control Number: 3060–1040. any penalty for failing to comply with prevent frequency interference. Title: Broadcast Ownership Rules, MB a collection of information subject to the Federal Communications Commission. Docket No. 02–277 and MM Docket Nos. Paperwork Reduction Act (PRA) that Marlene H. Dortch, 02–235, 02–327, and 00–244. does not display a valid control number. Form Number: N/A. Secretary. Comments are requested concerning (a) Type of Review: Extension of a Whether the proposed collection of [FR Doc. 03–31600 Filed 12–22–03; 8:45 am] currently approved collection. information is necessary for the proper BILLING CODE 6712–01–P Respondents: Business or other for- performance of the functions of the profit entities. Number of Respondents: 12. Commission, including whether the FEDERAL COMMUNICATIONS Estimated Time per Response: 2–10 information shall have practical utility; COMMISION (b) the accuracy of the Commission’s hours. burden estimate; (c) ways to enhance Notice of Public Information Frequency of Response: One-time the quality, utility and clarity of the Collection(s) Being Reviewed by the reporting requirement. information collected; and (d) ways to Federal Communications Commission Total Annual Burden: 12 hours. minimize the burden of the collection of Total Annual Cost: None. information on the respondents, December 17, 2003. Needs and Uses: On June 2, 2003, the including the use of automated SUMMARY: The Federal Communications Commission adopted a Report and collection techniques or other forms of Commission, as part of its continuing Order and Notice of Proposed information technology. effort to reduce paperwork burden Rulemaking (R&O), In the Matter of DATES: Written Paperwork Reduction invites the general public and other 2002 Biennial Regulatory Review— (PRA) comments should be submitted Federal agencies to take this Review of the Commission’s Broadcast on or before February 23, 2004. If you opportunity to comment on the Ownership Rules and Other Rules anticipate that you will be submitting following information collection(s), as Adopted Pursuant to Section 202 of the comments, but find it difficult to do so required by the Paperwork Reduction Telecommunications Act of 1996, MM within the period of time allowed by Act of 1995, Public Law 104–13. An Docket No. 02–277, Cross Ownership of this notice, you should advise the agency may not conduct or sponsor a Broadcast Stations and Newspapers, contact listed below as soon as possible. collection of information unless it MM Docket No. 01–235, Rules and displays a current valid control number. Policies Concerning Multiple Ownership ADDRESSES: Direct all Paperwork Reduction Act (PRA) comments to Les No person shall be subject to any of Radio Broadcast Stations in Local Smith, Federal Communications penalty for failing to comply with a Markets, MM Docket No. 01–317, Commission, Room 1–A804, 445 12th collection of information subject to the Definition of Radio Markets, MM Docket Street, SW., Washington, DC 20554 or Paperwork Reduction Act (PRA) that No. 00–244, and Definition of Radio via the Internet to [email protected]. does not display a valid control number. Markets for Areas Not Located in an Comments are requested concerning (a) Arbitron Survey Areas Not Located in FOR FURTHER INFORMATION CONTACT: For whether the proposed collection of an Arbitron Survey Area, MB Docket additional information or copies of the information is necessary for the proper No. 03–130, FCC 03–127. That R&O information collection(s), contact Les performance of the functions of the contained several one-time reporting Smith at 202–418–0217 or via the Commission, including whether the requirements which were outside of Internet at [email protected]. information shall have practical utility; form collections, affecting licensees SUPPLEMENTARY INFORMATION: (b) the accuracy of the Commission’s with: Temporary waivers, conditional OMB Control Number: 3060–0346. burden estimate; (c) ways to enhance waivers, pending waiver requests, Title: Section 78.27, License the quality, utility, and clarity of the extensions of waiver, or requests for Conditions. information collected; and (d) ways to permanent waivers of the broadcast Form Number: N/A. minimize the burden of the collection of ownership rules. These reporting Type of Review: Extension of a information on the respondents, requirements were adopted to ensure currently approved collection. including the use of automated compliance with the new broadcast Respondents: Individuals or collection techniques or other forms of ownership rules and to ensure the rules’ households; business and other for- information technology. effectiveness. profit entities; and not-for-profit DATES: Written comments should be institutions. Federal Communications Commission. Number of Respondents: 50. submitted on or before February 23, Marlene H. Dortch, Estimated Time per Response: 10 2004. If you anticipate that you will be Secretary. submitting comments, but find it mins. (0.167 hrs.). [FR Doc. 03–31601 Filed 12–22–03; 8:45 am] difficult to do so within the period of Total Annual Burden: 8 hours. BILLING CODE 6712–01–P Total Annual Costs: None. time allowed by this notice, you should Needs and Uses: 47 CFR 78.27 advise the contact listed below as soon as possible. requires licensees of Cable Television FEDERAL RESERVE SYSTEM Relay Service (CARS) stations to notify ADDRESSES: Direct all comments to Les the FCC in writing when the station Smith, Federal Communications [Docket No. OP–1177] commences operation. A CARS licensee, Commission, Room 1–A804, 445 12th which needs additional time to Street, SW., Washington, DC 20554, or Privacy Act of 1974; Notice of complete construction of the station, via the Internet to [email protected]. Amendment of System of Records must request an extension of time from FOR FURTHER INFORMATION CONTACT: For AGENCY: Board of Governors of the the FCC 30 days prior to the expiration additional information or copies of the Federal Reserve System. of the one-year construction period. The information collection(s) contact Les ACTION: Notice; amendment of systems Commission uses these filings to Smith at 202–418–0217 or via the of records. provide accurate CARS channel usage Internet at [email protected].

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SUMMARY: In accordance with the In accordance with 5 U.S.C. 552a(r), a a. By the National Archives and Privacy Act, the Board of Governors of report of these amended systems of Records Administration in connection the Federal Reserve System (Board) is records is being filed with the President with records management inspections amending three systems of records, of the Senate, the Speaker of the House and its role as Archivist. entitled Payroll and Leave (BGFRS–7), of Representatives, and the Director of b. To disclose to contractors, agents, Biographical File of Federal Reserve the Office of Management and Budget. or volunteers performing or working on Bank Officers (BGFRS–12), and Federal These amendments will become a contract, service, cooperative Reserve System Bank Supervision Staff effective on February 16, 2004, without agreement, or job for the Board. Qualifications (BGFRS–13) to include further notice, unless the Board c. To disclose information to Federal, new routine uses, as well as reflect publishes a notice to the contrary in the State, local, and professional licensing changes in the format and maintenance Federal Register. boards, Board of Medical Examiners, or of some records. We invite public Accordingly, the systems of records to the Federation of State Medical comment on this publication. entitled Payroll and Leave (BGFRS–7), Boards or a similar non-government entity which maintains records DATES: Comment must be received on or Biographical File of Federal Reserve concerning individuals’ employment before January 22, 2004. Bank Officer Personnel (BGFRS–12), and Federal Reserve System Bank histories or concerning the issuance, ADDRESSES: Comments should refer to Supervision Staff Qualifications retention or revocation of licenses, Docket No. OP–1177, and should be (BGFRS–13). certifications or registration necessary to mailed to Ms. Jennifer J. Johnson, practice an occupation, profession or Secretary, Board of Governors of the BGFRS–7 specialty, in order to obtain information Federal Reserve System, 20th Street and relevant to a Board decision concerning SYSTEM NAME: Constitution Avenue, NW., Washington, the hiring, retention or termination of an DC 20551. However, because paper mail Payroll and Leave. employee or to inform a Federal agency in the Washington area and at the Board SECURITY CLASSIFICATION: or licensing boards or the appropriate of Governors is subject to delay, please None. non-government entities about the consider submitting your comments by health care practices of a terminated, e-mail to SYSTEM LOCATION: resigned or retired health care employee [email protected], or Board of Governors of the Federal whose professional health care activity faxing them to the Office of the Reserve System, 20th and Constitution, so significantly failed to conform to Secretary at 202/452–3819 or 202/452– NW., Washington, DC 20551. Some generally accepted standards of 3102. Members of the public may information is electronically stored off- professional medical practice as to raise inspect comments in Room MP–500 of site on behalf of the Board by a reasonable concern for the health and the Martin Building between 9 a.m. and contractor. safety of patients in the private sector or 5 p.m. on weekdays pursuant to from another Federal agency. § 261.12, except as provided in § 261.14, CATEGORIES OF INDIVIDUALS COVERED BY THE d. To disclose pertinent information of the Board’s Rules Regarding SYSTEM: to the appropriate Federal, State, or Availability of Information, 12 CFR Past and present employees and local agency responsible for 261.12 and 261.14. members of the Board. investigating, prosecuting, enforcing, or FOR FURTHER INFORMATION CONTACT: implementing a statute, rule, regulation, CATEGORIES OF RECORDS IN THE SYSTEM: or order, when the Board becomes Elaine M. Boutilier, Managing Senior Payroll records, including pay Counsel, (202/452–2418), Legal aware of an indication of a violation or statements; requests for deductions; tax potential violation of civil or criminal Division. For the hearing impaired only, and social security withholdings; Board contact Telecommunications Device for law or regulation. retirement deductions; voluntary e. To disclose information to any the Deaf (TDD) (202–263–4869). withholdings for the Board’s Thrift Plan source from which additional SUPPLEMENTARY INFORMATION: Neither of or FERS, savings bonds, CFC, and information is requested (to the extent the systems for Payroll and Leave and insurance; tax forms; W–2 forms; necessary to identify the individual, Biographical Files of Federal Reserve overtime requests; leave data; and inform the source of the purpose(s) of Officers had been updated for several worker’s compensation data. Leave the request, and to identify the type of years. The current revisions to these two records, including compensatory time, information requested), when necessary systems reflect changes in records and codes indicating reasons for taking to obtain information relevant to a retained and the increasing use of leave, such as family illness, or military Board decision to hire or retain an electronic storage of Board records. In leave. employee, issue a security clearance, addition, the system managers have conduct a security or suitability AUTHORITY FOR MAINTENANCE OF THE SYSTEM: been changed to reflect an internal investigation of an individual, classify reorganization at the Board. Section 11 of the Federal Reserve Act jobs, let a contract, or issue a license, The system of records on Federal (12 U.S.C. 248(i) and 248(l)). grant, or other benefits. Reserve System Bank Supervision Staff PURPOSE(S): f. To disclose to a Federal agency or Qualifications has been revised to to a Federal Reserve Bank, in response These records are used by the Board reflect the inclusion of Board employees to its request, or at the initiation of the for payroll, attendance, leave, insurance, as well as Federal Reserve Bank Board, information in connection with tax, retirement, budget, and cost employees in the files, and the use of the hiring of an employee, issuing a accounting programs, and to facilitate electronic data bases to record the security clearance, conducting a compliance with statutory requirements. qualifications and assignments of the security or suitability investigation of an employees. ROUTINE USES OF RECORDS MAINTAINED IN THE individual, classifying positions, letting All three systems of records were SYSTEM, INCLUDING CATEGORIES OF USERS AND a contract, or issuing a license, grant, or reviewed for their routine uses and THE PURPOSES OF SUCH USES: other benefit by the requesting agency or appropriate amendments to those The information in the records may be Federal Reserve Bank, or the lawful routine uses have been made. used for the following purposes. statutory, administrative, or

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investigative purpose of the agency to practices before the Federal Reserve and the U.S. Coast Guard needed to the extent that the information is Board Labor Relations Panel when effect any adjustments in retired or relevant and necessary to the requesting requested. retained pay required by the dual agency’s or Federal Reserve Bank’s n. To provide information to a Federal compensation provisions of 5 U.S.C. decision. agency, in response to its request, in 5532. g. To provide information to a connection with the hiring or retention congressional office from the record of of an employee, the letting of a contract, POLICIES AND PRACTICES FOR STORING, RETRIEVING, ACCESSING, RETAINING, AND an individual in response to an inquiry or issuance of a license, grant, or other DISPOSING OF RECORDS IN THE SYSTEM: from the congressional office made at benefit by the requesting agency to the the request of the individual. extent that the information is relevant Storage. Electronic and paper files. Retrievability. Filed by name, Social h. To disclose information to another and necessary to the requesting agency’s Security number, and employee Federal agency, a court, or a party in decision on that matter. litigation before a court or in an o. To provide information to the number. Safeguards. Access to and use of these administrative proceeding being Office of Child Support Enforcement, records is limited to those persons conducted by a Federal agency, when Administration for Children and whose official duties require such the Board or United States is a party to Families, Department of Health and access. Personnel screening is employed the judicial or administrative Human Services Federal for the to prevent unauthorized access. proceeding. purposes of locating individuals to Electronic files are protected by i. To disclose information to the establish paternity, establishing and passwords. Paper records are stored in Department of Justice or in a proceeding modifying orders of child support, cabinets and a safe. before a court, adjudicative body, or identifying sources of income, and for Retention and disposal: Various; other administrative body before which other child support enforcement actions minimum of one year from date of the Board is authorized to appear, when: as required by the Personal annual audit; maximum of indefinite. (1) The Board or any employee of the Responsibility and Work Opportunity Board in his or her official capacity; or Reconciliation Act (Welfare Reform SYSTEM MANAGER(S) AND ADDRESS: (2) Any employee of the Board in his Law, Pub. L. 104–193). Associate Director, Human Resources or her individual capacity where the p. To appropriate Federal and State Function, Management Division, Board Department of Justice or the Board has agencies to provide required reports of Governors of the Federal Reserve agreed to represent the employee; or including data on unemployment System, 20th and Constitution, NW., (3) The United States (when the Board insurance. Washington, DC 20551. determines that the litigation is likely to q. To the Social Security affect the Board) is a party to litigation Administration to report FICA NOTIFICATION PROCEDURE: or has an interest in such litigation, and deductions. Inquiries should be sent to the the use of such records by the r. To charitable institutions to report Secretary of the Board, Board of Department of Justice or the Board is contributions. Governors of the Federal Reserve deemed by the Board to be relevant and s. To the Internal Revenue Service System, 20th Street and Constitution necessary to the litigation provided, and to State, local, tribal and territorial Avenue, NW., Washington, DC 20551. however, that in each case it has been governments for tax purposes. determined that the disclosure is t. To the Office of Personnel RECORD ACCESS PROCEDURES: compatible with the purpose for which Management in connection with Same as ‘‘Notification procedure’’ the records were collected. programs administered by that office. above. j. To disclose, in response to a request u. To an employee, agent, contractor, CONTESTING RECORD PROCEDURES: for discovery or for appearance of a or administrator of any Board, Federal witness, information that is relevant to Reserve System, or Federal government Same as ‘‘Notification procedure’’ the subject matter involved in a pending employee benefit or savings plan, any above. judicial or administrative proceeding. information necessary to carry out any RECORD SOURCE CATEGORIES: k. To disclose information to the function authorized under such plan, or Internal personnel forms, federal, Equal Employment Opportunity to carry out the coordination or audit of state, and local tax forms, employee Commission when requested in a benefit or savings plan. authorizations and directive forms, connection with investigations of v. To officials of labor organizations insurance forms, leave and overtime alleged or possible discrimination recognized under applicable law when reports, federal and state garnishment practices in the Federal sector, relevant and necessary to their duties of forms. examination of Federal affirmative exclusive representation concerning employment programs, or other personnel policies, practices, and SYSTEMS EXEMPTED FROM CERTAIN PROVISIONS functions vested in the Commission. matters affecting working conditions. OF THE ACT: l. To disclose information to the Merit w. To a Federal agency for the None. Systems Protection Board or the Office purpose of collecting a debt owed the of Special Counsel in connection with Federal government through BGFRS–12 appeals, special studies of the civil administrative or salary offset or the SYSTEM NAME: service and other merit systems, review offset of tax refunds Biographical File of Federal Reserve of Office rules and regulations, x. To other Federal agencies Bank Officers. investigation of alleged or possible conducting computer matching prohibited personnel practices, and programs to help eliminate fraud and SECURITY CLASSIFICATION: such other functions, e.g., as prescribed abuse and to detect unauthorized None. in 5 U.S.C. chapter 12, or as may be overpayments made to individuals. authorized by law. y. To the Department of Defense, SYSTEM LOCATION: m. To disclose information in National Oceanic and Atmospheric Board of Governors of the Federal connection with the investigation and Administration, U.S. Public Health Reserve System, 20th and Constitution resolution of allegations of unfair labor Service, Department of Veterans Affairs, Ave., NW., Washington, DC 20551.

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CATEGORIES OF INDIVIDUALS COVERED BY THE individuals) under the Freedom of RECORD ACCESS PROCEDURES: SYSTEM: Information Act or to locate specific Same as ‘‘Notification procedure’’ Current and former Federal Reserve individuals for personnel research or above. Bank officers. other personnel management functions. CONTESTING RECORD PROCEDURES: CATEGORIES OF RECORDS IN THE SYSTEM: g. To disclose pertinent information to the appropriate Federal, State, or local Same as ‘‘Notification procedure’’ The system contains a variety of agency responsible for investigating, above. biographical information on the Reserve prosecuting, enforcing, or implementing Bank officers, as well as personnel RECORD SOURCE CATEGORIES. a statute, rule, regulation, or order, actions that occurred during that Information in this system of records when the Board becomes aware of an officer’s employment by the Federal comes from either the individual to indication of a violation or potential Reserve System. The biographical whom it applies, or data provided by violation of civil or criminal law or information includes System Federal Reserve System officials and regulation. employment date; birth date; tenure; employees. medical; education; gender; ethnicity; h. To disclose information to another SYSTEMS EXEMPTED FROM CERTAIN PROVISIONS veteran status; past and present salaries, Federal agency, a court, or a party in OF THE ACT: group levels, department, and position litigation before a court or in an titles. Personnel actions include, but are administrative proceeding being None. conducted by a Federal agency, when not limited to: appointment, promotion, BGFRS–13 reassignment, transfer, demotion, the Board or United States is a party to awards, and separation. the judicial or administrative SYSTEM NAME: proceeding. Federal Reserve System Bank AUTHORITY FOR MAINTENANCE OF THE SYSTEM: i. To provide information to a Supervision Staff Qualifications. Sections 11 and 21 of the Federal congressional office from the record of Reserve Act (12 U.S.C. 248 and 12 an individual in response to an inquiry SECURITY CLASSIFICATION: U.S.C. 485). from the congressional office made at None. the request of the individual. PURPOSE(S): SYSTEM LOCATION: These records are collected and POLICIES AND PRACTICES FOR STORING, Board of Governors of the Federal maintained to assist the Board in its role RETRIEVING, ACCESSING, RETAINING, AND Reserve System, 20th and Constitution as supervisor of the Federal Reserve DISPOSING OF RECORDS IN THE SYSTEM: Avenue, NW., Washington, DC 20551; Banks. Storage: Records are maintained in and the twelve Federal Reserve Banks, ROUTINE USES OF RECORDS MAINTAINED IN THE file folders, loose-leaf notebooks, and an located in Boston, MA; New York, NY; SYSTEM, INCLUDING CATEGORIES OF USERS AND electronic database. Philadelphia, PA; Cleveland, OH; THE PURPOSES OF SUCH USES: Retrievability: Electronic records are Richmond, VA; Atlanta, GA; Chicago, Information in these records may be indexed by combination of name or IL; St. Louis, MO; Minneapolis, MN; used: identification number. Records in file Kansas City, MO; Dallas, TX; and San a. By the National Archives and folders and notebooks are maintained by Francisco, CA. Records Administration in connection Federal Reserve Districts. CATEGORIES OF INDIVIDUALS COVERED BY THE with records management inspections Safeguards: Records are maintained SYSTEM: and its role as Archivist. in lockable metal file cabinet or metal Past and present bank supervision b. To disclose to contractors, agents, file cabinets in secured rooms with staff employed by the Federal Reserve or volunteers performing or working on access limited to those whose official System, who are located at the Board of a contract, service, cooperative duties require access. Access to the Governors and the twelve Federal agreement, or job for the Board. electronic database is controlled Reserve Banks. Bank supervision staff c. By Federal Reserve System officials through assignment of security includes bank examiners and selected for purposes of review in connection clearances to appropriate personnel. supervision staff in the Federal Reserve with appointments, transfers, System. promotion, function reassignments, Retention and disposal: Records are retained by the system manager until adverse actions, reassignment to non- CATEGORIES OF RECORDS IN THE SYSTEM: the officer separates from the Federal officer status, and determination of This system of records contains qualifications of an individual. Reserve System, at which time they are sent to the Board’s Records for information relating to the skills, d. To publish name, title and qualifications, training, and experience department/function data for the permanent file, where they are maintained indefinitely. of bank supervision staff. It also directory of officers of the Federal contains information regarding past and Reserve Banks. SYSTEM MANAGER(S) AND ADDRESS: present assignments and current e. To provide reports to Congress, Director of Reserve Bank Operations availability of individual bank agencies, and the public on supervision staff employees. characteristics of the work force. and Payment Systems, Board of f. As a data source for management Governors of the Federal Reserve AUTHORITY FOR MAINTENANCE OF THE SYSTEM: information for production of summary System, 20th and Constitution Ave, Section 11 of the Federal Reserve Act, descriptive statistics and analytical NW., Washington, DC 20551. (12 U.S.C. 248(a) and 248(l)). studies in support of the function for which the records are collected and NOTIFICATION PROCEDURE: PURPOSE(S): maintained, or for related personnel Inquiries should be sent to the These records are collected and management functions or man-power Secretary of the Board, Board of maintained to assist the Board in studies. May also be utilized to respond Governors of the Federal Reserve performing its statutory duty to examine to general requests for information System, 20th Street and Constitution state member banks, bank holding (without personal identification of Avenue, NW., Washington, DC 20551. companies, financial holding companies

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and affiliates of such institutions. The employment opportunity investigator, CONTESTING RECORD PROCEDURES: information is used to assist in career arbitrator, mediator or other duly Same as ‘‘Notification procedure’’ development of examiners and other authorized official engaged in above. bank supervision staff. The information investigation, administrative resolution also aids the Board and the Reserve or settlement of a grievance, complaint RECORD SOURCE CATEGORIES: Banks in selecting qualified bank or appeal filed by an employee. The records come from the individual supervision staff for particular i. To disclose information to officials to whom the record pertains, and assignments. of state or local bar associations or personnel and training records disciplinary boards or committees when regarding the individual that are ROUTINE USES OF RECORDS MAINTAINED IN THE maintained by the Board and Federal SYSTEM, INCLUDING CATEGORIES OF USERS AND they are investigating complaints Reserve Banks. THE PURPOSES OF SUCH USES: against attorneys in connection with their representation of a party before the The information in the records may be SYSTEMS EXEMPTED FROM CERTAIN PROVISIONS used: Board, Equal Employment Opportunity OF THE ACT: Commission, or a court. a. To disclose information to Federal None. Reserve Banks, contractors, or agents in DISCLOSURE TO CONSUMER REPORTING By order of the Board of Governors of the connection with work performed on AGENCIES: Federal Reserve System, acting through the behalf of the Board. Not applicable. Secretary of the Board under delegated b. To disclose information to the authority, December 17, 2003. National Archives and Records POLICIES AND PRACTICES FOR STORING, Jennifer J. Johnson, Administration in connection with RETRIEVING, ACCESSING, RETAINING, AND Secretary of the Board. records management inspections and its DISPOSING OF RECORDS IN THE SYSTEM: [FR Doc. 03–31510 Filed 12–22–03; 8:45 am] role as Archivist. Storage: These records are maintained BILLING CODE 6210–01–P c. To disclose pertinent information to in file folders and in electronic media. the appropriate federal, state, or local agency responsible for investigation, Retrievability: These records are prosecuting, enforcing, or implementing retrievable by the name of and/or a DEPARTMENT OF HEALTH AND a statute, rule, regulation, or order, unique assigned identification number HUMAN SERVICES where the Board becomes aware of an for the individual on whom they are indication of a violation or potential maintained. Centers for Disease Control and violation of civil or criminal law or Safeguards: Access to, and use of, Prevention these records is limited to those persons regulation. [60Day–04–16] d. To disclose to a Federal Reserve whose official duties require such access. Bank or a federal agency in the Proposed Data Collections Submitted executive, legislative, or judicial branch Retention and disposal: Records for Public Comment and of government, in response to its regarding training are removed from the Recommendations request, information in connection with active file when the employee leaves the the hiring of an employee, the issuance Federal Reserve System and deleted five In compliance with the requirement of a security clearance, the conducting years later. Records in other parts of this of section 3506(c)(2)(A) of the of a security or suitability investigation system are currently under review to Paperwork Reduction Act of 1995 for of an individual, the classifying of jobs, determine the appropriate retention opportunity for public comment on or the lawful statutory, administrative, period and will be retained until the proposed data collection projects, the or investigative purpose of the Federal appropriate retention period has been Centers for Disease Control and Reserve Bank or agency to the extent established. Prevention (CDC) will publish periodic that the information is relevant or summaries of proposed projects. To SYSTEM MANAGER(S) AND ADDRESS: necessary to the requesting Federal request more information on the Reserve Bank’s or agency’s decision or Director, Division of Banking proposed projects or to obtain a copy of action. Supervision and Regulation, and the data collection plans and e. To provide information to a Director, Consumer and Community instruments, call the CDC Reports congressional office from the record of Affairs, Board of Governors of the Clearance Officer on (404) 498–1210. an individual in response to an inquiry Federal Reserve System, 20th and Comments are invited on: (a) Whether from that congressional office made at Constitution, NW., Washington, DC the proposed collection of information the request of that individual. 20551. is necessary for the proper performance f. To disclose, in response to a request of the functions of the agency, including for discovery or for appearance of a NOTIFICATION PROCEDURE: whether the information shall have witness, information that is relevant to Inquiries should be sent to the practical utility; (b) the accuracy of the the subject matter involved in a pending Secretary of the Board, Board of agency’s estimate of the burden of the judicial or administrative proceeding. Governors of the Federal Reserve proposed collection of information; (c) g. To disclose information to another System, 20th and Constitution Avenue, ways to enhance the quality, utility, and federal agency, to a court, or to a party NW., Washington, DC 20551. The clarity of the information to be in litigation before a court or in an request should contain the individual’s collected; and (d) ways to minimize the administrative proceeding being name, date of birth, Social Security burden of the collection of information conducted by a federal agency when the number, identification number (if on respondents, including through the Board or Federal government is a party known), approximate date of record, use of automated collection techniques to the judicial or administrative and type of position. or other forms of information proceeding. technology. Send comments to Seleda h. To disclose to an authorized appeal RECORD ACCESS PROCEDURES: Perryman, CDC Assistant Reports grievance examiner, formal complaints Same as ‘‘Notification procedure’’ Clearance Officer, 1600 Clifton Road, examiner, administrative judge, equal above. MS–E11, Atlanta, GA 30333. Written

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comments should be received within 60 heightened by concerns of U.S. The questionnaire will consist of both days of this notice. vulnerability to bioterrorist attack, and closed- and open-ended items, and will Proposed Project: Mechanisms of the inclusion of the development of be administered via Web-form or Foodborne Infectious Disease enhanced syndromic surveillance telephone interview. The initial 250 Outbreaks—New—Epidemiology systems. This information can be used outbreak sample will be stratified by Program Office (EPO), Centers for to identify ineffective successful State, partly in order to reasonably Disease Control and Prevention (CDC). methods, and to motivate investments distribute survey burden. With an This study will systematically in alternative methods for outbreak anticipated 80% response rate, the final determine how local and state health detection. sample will be approximately 200 departments find out about disease The investigation will consist of a outbreaks (and respondents). outbreaks. While it is assumed that collection of available documentation Additional efforts to reduce survey speed and accuracy of outbreak about the outbreak and administration burden will include completion of as detection can be improved, there is little of a questionnaire to the local or state many of the questionnaire items as reported analysis of current detection health department representative who possible prior to administration (based methods at the state and local levels. identified each of 250 different on supporting documents), and Web- Great attention is being focused on outbreaks, which are sampled from the form or telephone administration improving infectious disease outbreak Electronic Foodborne Outbreak options. There will be no cost to detection in the United States (U.S.), Reporting System (EFORS) database. respondents.

Average bur- No. of re- No. of re- den per re- Total burden Respondents spondents sponses per sponse (in hours) respondent (in hours)

State and Local Health Departments Representatives ...... 200 1 1 200 Total ...... 200

Dated: December 16, 2003. Administration, 5600 Fishers Lane, Gastroenterology and Urology Alvin Hall, Rockville, MD 20857, 301–827–1220. Devices Panel; General and Plastic Director, Management Analysis and Services SUPPLEMENTARY INFORMATION: Under Surgery Devices Panel; Dental Office, Centers for Disease Control and section 13 of the Federal Advisory Products Panel; Obstetrics and Prevention. Committee Act (5 U.S.C. app. 2) and 21 Gynecology Devices Panel; [FR Doc. 03–31524 Filed 12–22–03; 8:45 am] CFR 14.60(c), FDA has filed with the Neurological Devices Panel; BILLING CODE 4163–18–P Library of Congress the annual reports Ophthalmic Devices Panel; for the following FDA advisory Orthopaedic and Rehabilitation committees through September 30, Devices Panel; Radiological Devices DEPARTMENT OF HEALTH AND 2003: Panel) HUMAN SERVICES Center for Biologics Evaluation and Annual reports are available for Research public inspections between 9 a.m. and Food and Drug Administration Biological Response Modifiers 4 p.m., Monday through Friday at the Advisory Committee following locations: Advisory Committees; Filing of Annual 1. The Library of Congress, Madison Reports Vaccines and Related Biological Products Advisory Committee Bldg., Newspaper and Current Periodical Reading Room, 101 AGENCY: Food and Drug Administration, Center for Drug Evaluation and Research HHS. Anti-Infective Drugs Advisory Independence Ave. SE., rm. 133, Washington, DC; and ACTION: Notice. Committee Arthritis Advisory Committee 2. The Division of Dockets Management (HFA–305), Food and Drug SUMMARY: The Food and Drug Cardiovascular and Renal Drug Advisory Committee Administration, 5630 Fishers Lane, rm. Administration (FDA) is announcing, as 1061, Rockville, MD 20852. required by the Federal Advisory Gastrointestinal Drug Advisory Committee Act, that the agency has filed Committee Dated: December 15, 2003. with the Library of Congress the annual National Center for Toxicological Peter J. Pitts, reports of those FDA advisory Research Associate Commissioner for External committees that held closed meetings Science Advisory Board to the Relations. during fiscal year 2003. National Center for Toxicological [FR Doc. 03–31494 Filed 12–22–03; 8:45 am] Research ADDRESSES: Copies are available from BILLING CODE 4160–01–S Advisory Committee on Special the Division of Dockets Management Studies Relating to the Possible (HFA–305), Food and Drug Long-Term Health Effects of DEPARTMENT OF HEALTH AND Administration, 5630 Fishers Lane, rm. Phenoxy Herbicides and HUMAN SERVICES 1061, Rockville, MD 20857, 301–827– Contaminants (Ranch Hand 6860. Advisory Committee) National Institutes of Health FOR FURTHER INFORMATION CONTACT: Center for Devices and Radiological Government-Owned Inventions; Theresa L. Green, Committee Health Availability for Licensing Management Officer, Advisory Medical Devices Advisory Committee Committee Oversight and Management (consisting of reports for the AGENCY: National Institutes of Health, Staff (HF–4), Food and Drug Circulatory System Devices Panel; Public Health Service, DHHS.

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ACTION: Notice. Dated: December 16, 2003. deleterious side effects by producing an Steven M. Ferguson, NMDA mediated motor paralysis. In SUMMARY: The inventions listed below Director, Division of Technology Development disease states such as stroke, spinal cord are owned by an agency of the U.S. and Transfer, Office of Technology Transfer, injury or neuropathic pain, activation of Government and are available for National Institutes of Health. NMDA receptors by endogenous licensing in the U.S. in accordance with [FR Doc. 03–31652 Filed 12–22–03; 8:45 am] dynorphin may lead to 35 U.S.C. 207 to achieve expeditious BILLING CODE 4140–01–P neurodegeneration, hyperalgesia and commercialization of results of allodynia. Tolerance to opiate drugs federally-funded research and may also be mediated by the NMDA DEPARTMENT OF HEALTH AND development. Foreign patent actions of dynorphin. This invention HUMAN SERVICES applications are filed on selected provides materials and methods to block NMDA receptor activation by dynorphin inventions to extend market coverage National Institutes of Health for companies and may also be available thus allowing the use of exogenous for licensing. Government-Owned Inventions; dynorphin as a beneficial nociceptive Availability for Licensing agent without side effects and ADDRESSES: Licensing information and preventing pathological actions of copies of the U.S. patent applications AGENCY: National Institutes of Health, endogenous dynorphin in response to listed below may be obtained by writing Public Health Service, DHHS. injury. Experimental data demonstrate: to the indicated licensing contact at the ACTION: Notice. (1) attenuation of motor activity deficits, Office of Technology Transfer, National flaccid paralysis and mechanical Institutes of Health, 6011 Executive SUMMARY: The inventions listed below allodynia produced by dynorphin Boulevard, Suite 325, Rockville, are owned by an agency of the U.S. administration; (2) reduction of infarct Maryland 20852–3804; telephone: (301) Government and are available for size and locomotor deficits after cerebral 496–7057; fax: (301) 402–0220. A signed licensing in the U.S. in accordance with ischemia; (3) the reduction of morphine 35 U.S.C. 207 to achieve expeditious Confidential Disclosure Agreement will tolerization; and (4) so far no visible commercialization of results of be required to receive copies of the side effects. federally-funded research and patent applications. development. Foreign patent Pain Control by the Selective Local Methods and Compositions of Defensin- applications are filed on selected Ablation of Nociceptive Neurons Antigen Fusion Proteins and inventions to extend market coverage for companies and may also be available Michael Iadarola and Zoltan Olah Chemokine-Antigen Fusion Proteins as (NIDCR). Vaccines for Tumors and Viral for licensing. Infection ADDRESSES: Licensing information and PCT/US01/09425 filed 22 Mar 2001, copies of the U.S. patent applications published as WO 02/076444 (DHHS Arya Biragyn (NCI). listed below may be obtained by writing Reference No. E–109–2000/0–PCT–02). PCT Application No. PCT/US01/ to the indicated licensing contact at the Licensing Contact: Norbert Pontzer; 43830 filed 19 Nov 2001 (DHHS Office of Technology Transfer, National (301) 435–5502; [email protected]. Reference No. E–024–2002/0–PCT–02). Institutes of Health, 6011 Executive The vanilloid receptor (VR) is a cation Boulevard, Suite 325, Rockville, Licensing Contact: Catherine Joyce; channel predominantly expressed on Maryland 20852–3804; telephone: (301) (301) 435–5031; [email protected]. the peripheral processes and perikarya 496–7057; fax: (301) 402–0220. A signed of nociceptive primary afferent neurons. This invention relates to the Confidential Disclosure Agreement will Previous studies have shown that development of a vaccine for increasing be required to receive copies of the activation of the peripheral receptors by the immunogenicity of a tumor antigen, patent applications. agonists such as capsaicin from hot thus useful for the treatment of cancer, peppers, or the much more potent as well as a vaccine for increasing the Improved Endogenous Opioid Anti- Nociception With Reduced resiniferatoxin, produces acute pain immunogenicity of a viral antigen, thus Neurodegeneration, Hyperalgesia, sensation which may be followed by allowing treatment of viral infection. In Allodynia and Tolerance desensitization. These inventors particular, the present invention discovered that administration of VR Amina Woods, Toni Shippenberg, and provides a fusion protein comprising a agonists in the vicinity of neuronal cell Lawrence Sharp (NIDA). defensin or chemokine fused to either a bodies expressing the VR receptor can tumor antigen or viral antigen which is U.S. Provisional Application No. 60/ 459,830 filed 01 Apr 2003 (DHHS actually destroy those cells. To control administered as either a protein or pain and inflammatory disorders, the nucleic acid vaccine to elicit an immune Reference No. E–276–2001/0–US–01). Licensing Contact: Norbert Pontzer; present invention provides methods and response effective in treating cancer or (301) 435–5502; [email protected]. kits for the selective ablation of pain effective in treating or preventing viral Endogenous opioid peptides and sensing neurons. For example, the infection. In particular, the C–C receptors evolved to modulate intraganglionic administration of a VR chemokine macrophage inflammatory nociceptive input in response to injury. agonist selectively ablates primary protein (MIP–3a) was shown to be One of those peptides, dynorphin, acts afferent nociceptive neurons without particularly effective in increasing the on the kappa opioid receptor subtype to impairing other sensory modalities. This immunogenicity of a tumor antigen. produce analgesia without sedation, invention will greatly enhance the Aspects of this work have been respiratory depression or constipation. ability to control pain, inflammation published as a PCT patent application Prior to this invention, dynorphin was and other conditions mediated by with publication number WO 03/ not an acceptable analgesic because of nociceptive neurons while sparing 025002. certain severe toxic side effects, when mental function and other sensations. This technology is available for given in doses higher than physiological This research has been described, in licensing on an exclusive or a non- concentrations, mainly NMDA mediated part, in Olah et al., J. Biol. Chem., 276, exclusive basis. neurotoxicity. Dynorphin produces its pp. 11021–11030, 2001.

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Dated: December 17, 2003. Dated: December 16, 2003. DEPARTMENT OF HEALTH AND Steven M. Ferguson, LaVerne Y. Stringfield, HUMAN SERVICES Director, Division of Technology Development Director, Office of Federal Advisory and Transfer, Office of Technology Transfer, Committee Policy. National Institutes of Health National Institutes of Health. [FR Doc. 03–31497 Filed 12–22–03; 8:45 am] [FR Doc. 03–31653 Filed 12–22–03; 8:45 am] National Center for Complementary & BILLING CODE 4140–01–M Alternative Medicine; Notice of Meeting BILLING CODE 4140–01–P Pursuant to Section 10(d) of the DEPARTMENT OF HEALTH AND Federal Advisory Committee Act, as DEPARTMENT OF HEALTH AND HUMAN SERVICES amended (5 U.S.C. Appendix 2), notice HUMAN SERVICES is hereby given of the National Advisory National Institutes of Health Council for Complementary and National Institutes of Health National Center for Complementary & Alternative Medicine (NACCAM) Office of the Director, National Alternative Medicine; Notice of Closed meeting. Institutes of Health; Notice of Meeting Meetings The meeting will be open to the public as indicated below, with Pursuant to section 10(a) of the Pursuant to section 10(d) of the attendance limited to space available. Federal Advisory Committee Act, as Federal Advisory Committee Act, as Individuals who plan to attend and amended (5 U.S.C. Appendix 2), notice amended (5 U.S.C. Appendix 2), notice need special assistance, such as sign is hereby given of a meeting of the is hereby given of the following language interpretation or other Advisory Committee to the Director, meetings. reasonable accommodations, should NIH. The meetings will be closed to the notify the Contact Person listed below public in accordance with the in advance of the meeting. The meeting will be open to the provisions set forth in sections A portion of the meeting will be public, with attendance limited to space 552b(c)(4) and 552b(c)(6), title 5 U.S.C., closed to the public in accordance with available. Individuals who plan to as amended. The grant applications and the provisions set forth in sections attend and need special assistance, such the discussions could disclose 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., as sign language interpretation or other confidential trade secrets or commercial as amended. The grant applications reasonable accommodations, should property such as patentable material, and/or contract proposals and the notify the Contact Person listed below and personal information concerning discussion could disclose confidential in advance of the meeting. individuals associated with the grant trade secrets or commercial property Name of Committee: Advisory Committee applications, the disclosure of which such as patentable material, and to the Director, NIH. would constitute a clearly unwarranted personal information concerning Date: January 12, 2004. invasion of personal privacy. individuals associated with the grant Time: 8:30 a.m. to 5 p.m. applications and/or contract proposals, Agenda: Topics proposed for discussion Name of Committee: National Center for Complementary and Alternative Medicine the disclosure of which would include scientific presentations, budget Special Emphasis Panel, Basic Science. constitute a clearly unwarranted update, NIH Roadmap, and workgroup Date: February 23–24, 2004. invasion of personal privacy. updates. Time: 8 a.m. to 5 p.m. Place: National Institutes of Health, Name of Committee: National Advisory Agenda: To review and evaluate grant Building 31, Conference Room 6, 9000 Council for Complementary and Alternative applications. Medicine. Rockville Pike, Bethesda, MD 20892. Place: Bethesda Marriott Suites, 6711 Contact Person: Shelly Pollard, ACD Date: January 30, 2004. Democracy Boulevard, Bethesda, MD 20817. Closed: 8:30 a.m. to 12 noon. Coordinator, Building 2, National Institutes Contact Person: Dale Birkle, PhD, of Health, Bethesda, MD 20892, 301–496– Agenda: To review and evaluate grant Scientific Review Administrator, NIH/ applications and/or proposals. 0959. NCCAM, 6707 Democracy Blvd., Democracy In the interest of security, NIH has Open: 1 p.m. to adjournment. Two Building, Suite 401, Bethesda, MD Agenda: The agenda includes Opening instituted stringent procedures for entrance 20892, (301) 451–6570, [email protected]. into the building by non-government Remarks and the Annual State of the Center Name of Committee: National Center for Report by Director, NCCAM, Overview of employees. Persons without a government Complementary and Alternative Medicine I.D. will need to show a photo I.D. and sign- Activities at the National Center for Research Special Emphasis Panel, Clinical Science. Resources, Role of GCRCs—Launching New in at the security desk upon entering the Date: February 26–27, 2004. Areas of Research, and other business of the building. Time: 8 a.m. to 5 p.m. Council. Information is also available on the Agenda: To review and evaluate grant Place: Neuroscience Conference Center, Institute’s/Center’s home page: http:// applications. 6001 Executive Boulevard, Conference www.nih.gov/about/director/acd.htm, where Place: Bethesda Marriott Suites, 6711 Rooms C and D, Rockville, MD 20852. an agenda and any additional information for Democracy Boulevard, Bethesda, MD 20817. Contact Person: Jane F. Kinsel, Ph.D., the meeting will be posted when available. Contact Person: Martin H. Goldrosen, PhD, M.B.A., Executive Secretary, National Center (Catalogue of Federal Domestic Assistance Chief, Office of Scientific Review, National for Complementary and Alternative Program Nos. 93.14, Intramural Research Center for Complementary and Alternative Medicine, National Institutes of Health, 6707 Training Award; 93.22, Clinical Research Medicine, National Institutes of Health, 6707 Democracy Blvd., Suite 401, Bethesda, MD Loan Repayment Program for Individuals Democracy Blvd., Ste. 106, Bethesda, MD 20892, (301) 496–6701. from Disadvantaged Backgrounds; 93.232, 20892–5475, (301) 451–6331, The public comments session is scheduled Loan Repayment Program for Research [email protected]. from 4:30–5 p.m. Each speaker will be Generally; 93.39, Academic Research Dated: December 16, 2003. permitted 5 minutes for their presentation. Enhancement Award; 93.936, NIH Acquired LaVerne Y. Stringfield, Interested individuals and representatives of Immunodeficiency Syndrome Research Loan organizations are requested to notify Dr. Jane Repayment Program; 93.187, Undergraduate Director, Office of Federal Advisory Kinsel, National Center for Complementary Scholarship Program for Individuals from Committee Policy. and Alternative Medicine, NIH, 6707 Disadvantaged Backgrounds, National [FR Doc. 03–31505 Filed 12–22–03; 8:45 am] Democracy Boulevard, Suite 401, Bethesda, Institutes of Health, HHS) BILLING CODE 4140–01–M Maryland, 20892, (301) 496–6701, Fax: (301)

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480–0087. Letters of intent to present Date: February 4–5, 2004. Place: National Institutes of Health, comments, along with a brief description of Open: February 4, 2004, 8:30 a.m. to 12 Building 31, 31 Center Drive, Conference the organization represented, should be p.m. Room 9, Bethesda, MD 20892. received no later than 5 p.m. on January 20, Agenda: To present the Director’s Report Closed: February 4, 2004, 3:15 p.m. to 5:30 2004. Only one representative of an and other scientific presentations. p.m. organization may present oral comments. Place: National Institutes of Health, Agenda: To review and evaluate grant Any person attending the meeting who does Building 31, 31 Center Drive, Conference applications. not request an opportunity to speak in Room 10, Bethesda, MD 20892. Place: National Institutes of Health, advance of the meeting may be considered Closed: February 5, 2004, 9:45 a.m. to Building 31, 31 Center Drive, Conference for oral presentation, if time permits, and at 10:15 a.m. Room 9, Bethesda, MD 20892. the discretion of the Chairperson. In Agenda: To review and evaluate grant Open: February 5, 2004, 8 a.m. to 9:30 a.m. addition, written comments may be applications. Agenda: Confinuation of the review of the submitted to Dr. Jane Kinsel at the address Place: National Institutes of Health, Division’s scientific and planning activities. listed above up to ten calendar days Building 31, 31 Center Drive, Conference Place: National Institutes of Health, (February 9, 2004) following the meeting. Room 10, Bethesda, MD 20892. Building 31, 31 Center Drive, Conference Copies of the meeting agenda and the Open: February 5, 2004, 10:15 a.m. to Room 9, Bethesda, MD 20892. roster of members will be furnished upon adjournment. Contact Person: Robert D. Hammond, PhD, request by contacting Dr. Jane Kinsel, Agenda: Continuation of the Director’s Director for Extramural Activities, National Executive Secretary, NACCAM, National Report and other scientific presentations. Institute of Diabetes and Digestive and Institutes of Health, 6707 Democracy Place: National Institutes of Health, Kidney Diseases, National Institutes of Boulevard, Suite 401, Bethesda, Maryland Building 31, 31 Center Drive, Conference Health, 6707 Democracy Blvd, Room 715, 20892, (301) 496–6701, Fax (301) 480–0087, Room 10, Bethesda, MD 20892. MSC 5452, Bethesda, MD 20892–5452, 301– or via email at [email protected]. Contact Person: Robert D. Hammond, PhD, 594–8834, [email protected]. Director for Extramural Activities, National Name of Committee: National Diabetes and Dated: December 17, 2003. Institute of Diabetes and Digestive and Digestive and Kidney Diseases Advisory LaVerne Y. Stringfield, Kidney Diseases, National Institutes of Council Kidney, Urologic, and Hematologic Health, 6707 Democracy Blvd. Room 715, Director, Office of Federal Advisory Diseases Subcommittee. MSC 5452, Bethesda, MD 20892–5452, 301– Committee Policy, NIH. Date: February 4–5, 2004. 594–8834, [email protected]. [FR Doc. 03–31557 Filed 12–22–03; 8:45 am] Open: February 2, 2004, 1 p.m. to 5:30 p.m. Name of Committee: National Diabetes and BILLING CODE 4140–01–M Agenda: To review the Division’s scientific Digestive and Kidney Diseases Advisory and planning activities. Council, Diabetes, Endocrinology, and Place: National Institutes of Health, Metabolic Diseases Subcommittee. Building 31, 31 Center Drive, Conference DEPARTMENT OF HEALTH AND Date: February 4–5, 2004. HUMAN SERVICES Room 7, Bethesda, MD 20892. Open: February 4, 2004, 1 p.m. to 4 p.m. Closed: February 5, 2004, 8 a.m. to 9:30 Agenda: To review the Division’s scientific National Institute of Health a.m. and planning activities. Agenda: To review and evaluate grant Place: National Institutes of Health, applications. National Institute of Diabetes and Building 31, 31 Center Drive, Conference Digestive and Kidney Diseases; Notice Place: National Institutes of Health, Room 10, Bethesda, MD 20892. Building 31, 31 Center Drive, Conference Closed: February 4, 2004, 4 p.m. to 5:30 of Meetings Room 7, Bethesda, MD 20892. p.m. Contact Person: Robert D. Hammond, PhD, Pursuant to section 10(d) of the Agenda: To review and evaluate grant Director for Extramural Activities, National Federal Advisory Committee Act, as applications. Institute of Diabetes and Digestive and amended (6 U.S.C. Appendix 2), notice Place: National Institutes of Health, Kidney Diseases, National Institutes of Building 31, 31 Center Drive, Conference is hereby given of meetings of the Health, 6707 Democracy Blvd, Room 715, Room 10, Bethesda, MD 20892. National Diabetes and Digestive and MSC 5452, Bethesda, MD 20892–5452, 301– Closed: February 5, 2004, 8 a.m. to 8:30 Kidney Diseases Advisory Council. 594–8834, [email protected]. a.m. The meetings will be open to the In the interest of security, NIH has public as indicated below, with Agenda: To review and evaluate grant applications. instituted stringent procedures for entrance attendance limited to space available. Place: National Institutes of Health, into the building by non-government Individuals who plan to attend and Building 31, 31 Center Drive, Conference employees. Persons without a government need special assistance, such as sign Room 10, Bethesda, MD 20892. I.D. will need to show a phone I.D. and sign- language interpretation or other Open: February 5, 2004, 8:30 a.m. to 9:30 in at the security desk upon entering the reasonable accommodations, should a.m. building. Information is also available on the notify the Contact Person listed below Agenda: Continuation of the review of the Division’s scientific and planning activities. Institute’s/Center’s home page: http:// in advance of the meeting. www.niddk.nih.gov/fund/divisions/DEA/ The meetings will be closed to the Place: National Institutes of Health, Building 31, 31 Center Drive, Conference Council/coundesc.htm., where an agenda and public in accordance with the Room 10, Bethesda, MD 20892. any additional information for the meeting provisions set forth in sections Contact Person: Robert D. Hammond, PhD, will be posted when available. 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., Director for Extramural Activities, National (Catalogue of Federal Domestic Assistance as amended. The grant applications and Institute of Diabetes and Digestive and Program Nos. 93.847, Diabetes, the discussions could disclose Kidney Diseases, National Institutes of Endocrinology and Metabolic Research; confidential trade secrets or commercial Health, 6707 Democracy Blvd, Room 715, 93.848, Digestive Diseases and Nutrition property such as patentable material, MSC 5452, Bethesda, MD 20892–5452, 301– Research; 93.849, Kidney Diseases, Urology and personal information concerning 594–8834, [email protected]. and Hematology Research, National Institutes of Health, HHS) individuals associated with the grant Name of Committee: National Diabetes and applications, the disclosure of which Digestive and Kidney Diseases Advisory Dated: December 16, 2003 would constitute a clearly unwarranted Council Digestive Diseases and Nutrition LaVerne Y. Stringfield, Subcommittee. invasion of personal privacy. Date: February 4–5, 2004. Director, Office of Federal Advisory Name of Committee: National Diabetes and Open: February 4, 2004, 1 p.m. to 3 p.m. Committee Policy. Digestive and Kidney Disease Advisory Agenda: To review the Division’s scientific [FR Doc. 03–31500 Filed 12–22–03; 8:45 am] Council. and planning activities. BILLING CODE 4140–01–M

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DEPARTMENT OF HEALTH AND Dated: December 16, 2003. Agenda: To review and evaluate grant HUMAN SERVICES LaVerne Y. Stringfield, applications. Director, Office of Federal Advisory Place: National Institutes of Health, National Institutes of Health Committee Policy. Natcher Building, 45 Center Drive, Bethesda, MD 20892, (Telephone Conference Call). [FR Doc. 03–31501 Filed 12–22–03; 8:45 am] National Institute of Dental and Contact Person: H. George Hausch, PhD, BILLING CODE 4140–01–M Craniofacial Research; Notice of Acting Director, 4500 Center Drive, Natcher Building, Rm. 4AN44F, National Institutes of Meeting Health, Bethesda, MD 20892, (301) 594–2372, DEPARTMENT OF HEALTH AND [email protected]. Pursuant to section 10(d) of the HUMAN SERVICES Federal Advisory Committee Act, as (Catalogue of Federal Domestic Assistance amended (5 U.S.C. Appendix 2), notice National Institutes of Health Program Nos. 93.121, Oral Diseases and is hereby given of a meeting of the Disorders Research, National Institutes of National Advisory Dental and National Institute of Dental & Health, HHS) Craniofacial Research Council. Craniofacial Research; Notice of Dated: December 16, 2003. LaVerne Y. Stringfield, The meeting will be open to the Closed Meetings public as indicated below, with Director, Office of Federal Advisory Pursuant to section 10(d) of the Committee Policy. attendance limited to space available. Federal Advisory Committee Act, as [FR Doc. 03–31502 Filed 12–22–03; 8:45 am] Individuals who plan to attend and amended (5 U.S.C. Appendix 2), notice BILLING CODE 4140–01–M need special assistance, such as sign is hereby given of the following language interpretation or other meetings. reasonable accommodations, should The meetings will be closed to the DEPARTMENT OF HEALTH AND notify the Contact Person listed below public in accordance with the HUMAN SERVICES in advance of the meeting. provisions set forth in sections The meeting will be closed to the 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., National Institute of Child Health and public in accordance with the as amended. The grant applications and Human Development; Notice of provisions set forth in sections the discussions could disclose Meeting 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., confidential trade secrets or commercial as amended. The grant applications property such as patentable material, Pursuant to section 10(d) of the and/or contract proposals and the and personal information concerning Federal Advisory Committee Act, as discussions could disclose confidential individuals associated with the grant amended (5 U.S.C. Appendix 2), notice trade secrets or commercial property applications, the disclosure of which is hereby given of a meeting of the such as patentable material, and would constitute a clearly unwarranted National Advisory Child Health and personal information concerning invasion of personal privacy. Human Development Council. individuals associated with the grant Name of Committee: National Institute of The meeting will be open to the applications and/or contract proposals, Dental and Craniofacial Research Special public as indicated below, with the disclosure of which would Emphasis Panel 04–25, Review of R21s. attendance limited to space available. constitute a clearly unwarranted Date: January 13, 2004. Individuals who plan to attend and invasion of personal privacy. Time: 2 p.m. to 3 p.m. Agenda: To review and evaluate grant need special assistance, such as sign Name of Committee: National Advisory applications. language interpretation or other Dental and Craniofacial Research Council. Place: National Institutes of Health, reasonable accommodations, should Date: January 20, 2004. Natcher Building, 45 Center Drive, Bethesda, notify the Contact Person listed below Closed: 8:30 a.m. to 10:30 a.m. MD 20892, (Telephone Conference Call). in advance of the meeting. Agenda: To review and evaluate grant Contact Person: Rebecca Roper, MS, MPH, The meeting will be closed to the applications and/or proposals. Scientific Review Administrator, Scientific Place: National Institutes of Health, Review Branch, Division of Extramural public in accordance with the Natcher Building, 45 Center Drive, Bethesda, Research, National Inst of Dental & provisions set forth in sections 552(c)(4) MD 20892. Craniofacial Research, National Institutes of and 552b(c)(6), Title 5 U.S.C., as Open: 10:30 a.m. to 4 p.m. Health, 45 Center Dr., room 4AN32E, amended. The grant applications and/or Agenda: Director’s Report, Budget Update, Bethesda, MD 20892, (301) 451–5096. contract proposals and the discussions Scientific Presentation, Concept Clearances. Name of Committee: National Institute of could disclose confidential trade secrets Place: National Institutes of Health, Dental Craniofacial Research Special or commercial property such as Natcher Building, 45 Center Drive, Bethesda, Emphasis Panel 04–21, Review T32s. patentable material, and personal MD 20892. Date: January 29, 2004. information concerning individuals Contact Person: Norman S. Braveman, Time: 8 a.m. to 6 p.m. associated with the grant applications Assistant to the Director, NIH—NIDCR, Agenda: To review and evaluate grant and/or contract proposals, the Building 45, Room 4AN–24, Bldg 45 Rm applications. 4AN24 (301) 594–208, Bethesda, MD 20892, Place: Holiday Inn Chevy Chase, 5520 disclosure of which would constitute a 301 594–2089, Wisconsin Avenue, Chevy Chase, MD 20815. clearly unwarranted invasion of [email protected]. Contact Person: Lynn M. King, PhD, personal privacy. Information is also available on the Scientific Review Administrator, Scientific Name of Committee: National Advisory Institute’s/Center’s home page: http:// Review Branch, 45 Center Dr., Rm 4AN–38K, Child Health and Human Development www.nidcr.nih.gov/discover/ National Institute of Dental & Craniofacial Council. nadrc.index.htm, where an agenda and any Research, National Institutes of Health, Date: January 29–30, 2004. additional information for the meeting will Bethesda, MD 20892–6402, 301–594–5006. Open: January 29, 2004, 8:30 a.m. to be posted when available. Name of Committee: National Institute of Adjournment. Catalogue of Federal Domestic Assistance Dental Craniofacial Research Special Agenda: (1) A report by the Director, Program Nos. 93.121, Oral Diseases and Emphasis Panel 04–31, Review of R01s. NICHD; (2) a presentation by the Disorders Research, National Institutes of Date: February 23, 2004. Contraception and Reproductive Health Health, HHS) Time: 2 p.m. to 4 p.m. Branch; and other Council business.

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Place: National Institutes of Health, Bethesda, MD 20817, (Telephone conference Time: 7 p.m. to 5 p.m. Building 31, 31 Center Drive, Conf. Room 6, call). Agenda: To review and evaluate grant Bethesda, MD 20892. Contact Person: Tracy A. Shahan, PHD, applications. Closed: January 30, 2004, 8:30 a.m. to Scientific Review Administrator, Scientific Place: Doubletree Guest Suites, 2515 Adjournment. Review Program, Division of Extramural Meridian Parkway, Research Triangle Park, Agenda: To review and evaluate grant Activities, National Institutes of Health/ NC 27713. applications. NIAID, 6700B Rockledge Drive, MSC 7616, Contact Person: Janice B. Allen, PhD, Place: National Institutes of Health, Bethesda, MD 20892–7616, 301–496–2606, Scientific Review Administrator, Scientific Building 31, 31 Center Drive, Conf. Room 6, [email protected]. Review Ranch, Division of Extramural Bethesda, MD 20892 Name of Committee: National Institute of Research and Training, Nat. Institute of Contact Person: Mary Plummer, Committee Allergy and Infectious Diseases Special Environmental Health Science, P.O. Box Management Officer, Division of Scientific Emphasis Panel, Pathogenesis of PVN. 12233, MD EC–30/Room 3170 B, Research Review, National Institute of Child Health Date: January 9, 2004. Triangle Park, NC 27709, (919) 541–7556. and Human Development, NIH, 6100 Time: 12 p.m. to 4 p.m. (Catalogue of Federal Domestic Assistance Executive Blvd., Room 5E01, Bethesda, MD Agenda: To review and evaluate grant Program Nos. 93.115, Biometry and Risk 20892, 301–594–7232. applications. Estimation—Health Risks from Information is also available on the Place: National Institutes of Health, Environmental Exposures; 93.142, NIEHS Institute’s/Center’s home page: Rockledge 6700, 6700B Rockledge Drive, Hazardous Waste Worker Health and Safety www.nichd.nih.gov/about/nachhd.htm, Bethesda, MD 20817, (Telephone conference Training; 93.143, NIEHS Superfund where an agenda and any additional call). Hazardous Substances—Basic Research and information for the meeting will be posted Contact Person: Tracy A. Shahan, PHD, Education; 93.894, Resources and Manpower when available. Scientific Review Administrator, Scientific Development in the Environmental Health (Catalogue of Federal Domestic Assistance Review Program, Division of Extramural Sciences; 93.113, Biological Response to Program Nos. 93.864, Population Research; Activities, National Institutes of Health/ Environmental Health Hazards; 93.114, 93.865, Research for Mothers and Children; NIAID, 6700B Rockledge Drive, MSC 7616, Applied Toxicological Research and Testing, 93.929, Center for Medical Rehabilitation Bethesda, MD 20892–7616, 301–496–2606, National Institutes of Health, HHS) Research, 93.209, Contraception and [email protected]. Infertility Loan Repayment Program, National (Catalogue of Federal Domestic Assistance Dated: December 17, 2003. Institutes of Health, HHS) Program Nos. 93.855, Allergy, Immunology, LaVerne Y. Stringfield, Dated: December 16, 2003. and Transplantation Research; 93.856, Director, Office of Federal Advisory LaVerne Y. Stringfield, Microbiology and Infectious Diseases Committee Policy. Director, Office of Federal Advisory Research, National Institutes of Health, HHS.) [FR Doc. 03–31553 Filed 12–22–03; 8:45 am] Committee Policy. Dated: December 16, 2003. BILLING CODE 4140–01–M [FR Doc. 03–31503 Filed 12–22–03; 8:45 am] LaVerne Y. Stringfield, BILLING CODE 4140–01–M Director, Office of Federal Advisory Committee Policy. DEPARTMENT OF HUMAN SERVICES [FR Doc. 03–31504 Filed 12–22–03; 8:45 am] DEPARTMENT OF HEALTH AND National Institutes of Health BILLING CODE 4140–01–M HUMAN SERVICES National Institute of Environmental National Institutes of Health Health Sciences; Notice of Closed DEPARTMENT OF HEALTH AND Meeting National Institute of Allergy and HUMAN SERVICES Infectious Diseases; Notice of Closed Pursuant to section 10(d) of the National Institutes of Health Meetings Federal Advisory Committee Act, as amended (5 U.S.C. Appendix 2), notice Pursuant to section 10(d) of the National Institute of Environmental is hereby given of the following Federal Advisory Committee Act, as Health Sciences; Notice of Closed meeting. amended (5 U.S.C. Appendix 2), notice Meeting The meeting will be closed to the is hereby given of the following Pursuant to section 10(d) of the public in accordance with the meetings. Federal Advisory Committee Act, as provisions set forth in sections The meetings will be closed to the amended (5 U.S.C. Appendix 2), notice 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., public in accordance with the is hereby given of the following as amended. The contract proposals and provisions set forth in sections meeting. the discussions could disclose 552b(c)(4) and 552b(c)(6), title 5 U.S.C., The meeting will be closed to the confidential trade secrets or commercial as amended. The grant applications and public in accordance with the property such as patentable material, the discussions could disclose provisions set forth in sections and personal information concerning confidential trade secrets or commercial 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., individuals associated with the contract property such as patentable material, as amended. The grant applications and proposals, the disclosure of which and personal information concerning the discussions could disclose would constitute a clearly unwarranted individuals associated with the grant confidential trade secrets or commercial invasion of personal privacy. applications, the disclosure of which property such as patentable material, would constitute a clearly unwarranted Name of Committee: National Institute of and personal information concerning Environmental Health Sciences Special invasion of personal privacy. individuals associated with the grant Emphasis Panel Development of an Indoor Name of Committee: National Institute of applications, the disclosure of which Allergen Assay for Asthma Studies. Allergy and Infectious Diseases Special would constitute a clearly unwarranted Date: February 12, 2004. Emphasis Panel, the Immunology of Ricin. invasion of personal privacy. Time: 10:30 a.m. to 1 p.m. Date: January 8, 2004. Agenda: To review and evaluate contract Time: 10 a.m. to 2 p.m. Name of Committee: National Institute of proposals. Agenda: To review and evaluate grant Environmental Health Sciences Special Place: NIEHS/National Institutes of Health, applications. Emphasis Panel, The Role of PPARB in Building 4401, East Campus, 79 T.W. Place: National Institutes of Health, Environmental Liver Disease. Alexander Drive, Research Triangle Park, NC Rockledge 6700, 6700B Rockledge Drive, Date: February 4–5, 2004. 27709, (Telephone Conference Call).

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Contact Person: Janice B. Allen, PhD, 27709, (919) 541–1446, Estimation—Health Risks from Scientific Review Administrator, Scientific [email protected]. Environmental Exposures; 93.142, NIEHS Review Branch, Division of Extramural (Catalogue of Federal Domestic Assistance Hazardous Waste Worker Health and Safety Research and Training, Nat. Institute of Program Nos. 93.115, Biometry and Risk Training; 93.143, NIEHS Superfund Environmental Health Science, P. O. Box Estimation—Health Risks from Hazardous Substances—Basic Research and 12233, MD EC–30/Room 3170 B, Research Environmental Exposures; 93.142, NIEHS Education; 93.894, Resources and Manpower Triangle Park, NC 27709, (919) 541–7556. Hazardous Waste Worker Health and Safety Development in the Environmental Health (Catalogue of Federal Domestic Assistance Training; 93.143, NIEHS Superfund Sciences; 93.113, Biological Response to Program Nos. 93.115, Biometry and Risk Hazardous Substances—Basic Research and Environmental Health Hazards; 93.114, Estimation—Health Risks from Education; 93.894, Resources and Manpower Environmental Exposures; 93.142, NIEHS Development in the Environmental Health Applied Toxicological Research and Testing, Hazardous Waste Worker Health and Safely Sciences; 93.113, Biological Response to National Institutes of Health, HHS). Training; 93.143, NIEHS Superfund Environmental Health Hazards; 93.114, Dated: December 17, 2003. Hazardous Substances—Basic Research and Applied Toxicological Research and Testing, LaVerne Y. Stringfield Education; 93.894, Resources and Manpower National Institutes of Health, HHS) Director, Office of Federal Advisory Development in the Environmental Health Dated: December 17, 2003. Sciences; 93.113, Biological Response to Committee Policy. Environmental Health Hazards; 93.114, LaVerne Y. Stringfield, [FR Doc. 03–31556 Filed 12–22–03; 8:45 am] Director, Office of Federal Advisory Applied Toxicological Research and Testing, BILLING CODE 4140–01–M National Institutes of Health, HHS) Committee Policy. Dated: December 17, 2003. [FR Doc. 03–31555 Filed 12–22–03; 8:45 am] LaVerne Y. Stringfield, BILLING CODE 4140–01–M DEPARTMENT OF HEALTH AND Director, Office of Federal Advisory HUMAN SERVICES Committee Policy. DEPARTMENT OF HEALTH AND National Institutes of Health [FR Doc. 03–31554 Filed 12–22–03; 8:45 am] HUMAN SERVICES BILLING CODE 4140–01–M National Institute of Allergy and National Institutes of Health Infectious Diseases; Notice of Closed DEPARTMENT OF HEALTH AND National Institute of Environmental Meeting HUMAN SERVICES Health Sciences; Notice of Closed Meeting Pursuant to section 10(d) of the National Institutes of Health Federal Advisory Committee Act, as Pursuant to section 10(d) of the amended (5 U.S.C. appendix 2), notice National Institute of Environmental Federal Advisory Committee Act, as is hereby given of the following Health Sciences; Notice of Closed amended (5 U.S.C. Appendix 2), notice meeting. Meeting is hereby given of the following The meeting will be closed to the meeting. public in accordance with the Pursuant to section 10(d) of the The meeting will be closed to the Federal Advisory Committee Act, as provisions set forth in sections public in accordance with the 552b(c)(4) and 552b(c)(6), title 5 U.S.C., amended (5 U.S.C. Appendix 2), notice provisions set forth in sections is hereby given of the following as amended. The grant applications and 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., the discussions could disclose meeting. as amended. The contract proposals and The meeting will be closed to the confidential trade secrets or commercial the discussions could disclose public in accordance with the property such as patentable material, confidential trade secrets or commercial provisions set forth in sections and personal information concerning property such as patentable material, 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., individuals associated with the grant and personal information concerning as amended. The contract proposals and applications, the disclosure of which individuals associated with the contract the discussions could disclose would constitute a clearly unwarranted proposals, the disclosure of which confidential trade secrets or commercial invasion of personal privacy. would constitute a clearly unwarranted property such as patentable material, invasion of personal privacy. Name of Committee: National Institute of and personal information concerning Allergy and Infectious Diseases Special Name of Committee: National Institute of individuals associated with the contract Emphasis Panel, Unsolicited Program Project proposals, the disclosure of which Environmental Health Sciences Special Emphasis Panel Metabonomics of the Liver. Grant Application. would constitute a clearly unwarranted Date: February 18, 2004. Date: January 12, 2004. invasion of personal privacy. Time: 1 p.m. to 4 p.m. Time: 1 p.m. to 4 p.m. Name of Committee: National Institute of Agenda: To review and evaluate contract Agenda: To review and evaluate grant Environmental Health Sciences Special proposals. applications. Emphasis Panel Reduction of Allergen Levels Place: NIEHS/National Institutes of Health, Place: National Institutes of Health, in Residential Dwellings. Building 4401, East Campus, 79 T.W. Rockledge 6700, 6700B Rockledge Drive, Date: February 26, 2004. Alexander Drive, Room 122, Research Bethesda, MD 20817. (Telephone Conference Time: 1 p.m. to 3:30 p.m. Triangle Park, NC 27709, (Telephone Call). Agenda: To review and evaluate contract Conference Call). Contact Person: Annie Walker-Abbey, proposals. Contact Person: RoseAnne M. McGee, Scientific Review Administrator, Scientific Associate Scientific Review Administrator, Place: NIEHS, Building 4401, 79 T. W. Review Program, NIAID/DEA, 6700B Alexander Drive, Room 122, Research Scientific Review Branch, Office of Program Operations, Division of Extramural Research Rockledge Drive, RM 2217, MSC–7616, Triangle Park, NC 27709, (Telephone Bethesda, MD 20892–7616, 301–451–2761. Conference Call). and Training, Nat. Inst. of Environmental Contact Person: Sally Eckert-Tilotta, PhD, Health Sciences, P.O. Box 12233, MD EC–30, (Catalogue of Federal Domestic Assistance National Inst. of Environmental Health Research Triangle Park, NC 27709, (919) 541– Program Nos. 93.855, Allergy, Immunology, Sciences, Office of Program Operations, 0752. and Transplantation Research; 93.856, Scientific Review Branch, P.O. Box 12233, (Catalogue of Federal Domestic Assistance Microbiology and Infectious Diseases MD EC–30, Research Triangle Park, NC Program Nos. 93.115, Biometry and Risk Research, National Institutes of Health, HHS)

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Dated: December 17, 2003. Dated: December 17, 2003. Microbiology and Infectious Diseases LaVerne Y. Stringfield, LaVerne Y. Stringfield, Subcommittee. Date: January 26, 2004. Director, Office of Federal Advisory Director, Office of Federal Advisory Closed: 8:30 a.m. to 10:30 a.m. Committee Policy. Committee Policy. Agenda: To review and evaluate grant [FR Doc. 03–31558 Filed 12–22–03; 8:45 am] [FR Doc. 03–31560 Filed 12–22–03; 8:45 am] applications. BILLING CODE 4140–01–M BILLING CODE 4140–01–M Place: National Institutes of Health, Natcher Building, 45 Center Drive, Conference Room F1/F2, Bethesda, MD DEPARTMENT OF HEALTH AND DEPARTMENT OF HEALTH AND 20892. HUMAN SERVICES HUMAN SERVICES Open: 1 p.m. to adjournment. Agenda: Program advisory discussions and National Institutes of Health National Institutes of Health presentations. Place: National Institutes of Health, National Institute of Environmental National Institute of Allergy and Natcher Building, 45 Center Drive, Health Sciences; Notice of Closed Infectious Diseases; Notice of Conference Room F1/F2, Bethesda, MD Meeting Meetings 20892. Contact Person: John J. McGowan, PhD, Pursuant to section 10(d) of the Director, Division of Extramural Activities, Pursuant to section 10(d) of the Federal Advisory Committee Act, as NIAID, Room 2142, 6700–B Rockledge Drive, Federal Advisory Committee Act, as amended (5 U.S.C. appendix 2), notice MSC 7610, Rockville, MD 20892–7610, 301– amended (5 U.S.C. appendix 2), notice is hereby given of meetings of the 496–7291. is hereby given of the following National Advisory Allergy and Name of Committee: National Advisory meeting. Infectious Diseases Council. Allergy and Infectious Diseases Council, The meeting will be closed to the The meetings will be open to the Allergy, Immunology and Transportation public in accordance with the public as indicated below, with Subcommittee. Date: January 26, 2004. provisions set forth in sections attendance limited to space available. Individuals who plan to attend and Closed: 8:30 a.m. to 10:30 a.m. 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., Agenda: To review and evaluate grant as amended. The contract proposals and need special assistance, such as sign applications. the discussions could disclose language interpretation or other Place: National Institutes of Health, confidential trade secrets or commercial reasonable accommodations, should Natcher Building, 45 Center Drive, property such as patentable material, notify the Contact Person listed below Conference Room D, Bethesda, MD 20892. and personal information concerning in advance of the meeting. Open: 1 p.m. to adjournment. individuals associated with the contract The meetings will be closed to the Agenda: Program advisory discussions and proposals, the disclosure of which public in accordance with the presentations. provisions set forth in sections Place: National Institutes of Health, would constitute a clearly unwarranted Natcher Building, 45 Center Drive, invasion of personal privacy. 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., as amended. The grant applications Conference Room D, Bethesda, MD 20892. Name of Committee: National Institute of and/or contract proposals and the Contact Person: John J. McGowan, PhD, Director, Division of Extramural Activities, Environmental Health Sciences Special discussions could disclose confidential Emphasis Panel, Development and NIAID, Room 2142, 6700–B Rockledge Drive, trade secrets or commercial property MSC 7610, Rockville, MD 20892–7610, 301– Validation of High Throughput in Vitro such as patentable material, and Estrogen Receptor (ER) and Androgen 496–7291. Receptor (AR) Binding Assays. personal information concerning Name of Committee: National Advisory Date: February 19, 2004. individuals associated with the grant Allergy and Infectious Diseases Council. Time: 1 p.m. to 4 p.m. applications and/or contract proposals, Date: January 26, 2004. Agenda: To review and evaluate contract the disclosure of which would Open: 10:30 a.m. to 11:40 a.m. proposals. constitute a clearly unwarranted Agenda: Report from NIAID Director on Place: NIEHS/National Institutes of Health, invasion of personal privacy. Institute programs and a report on the Immune Tolerance Network. Building 4401, East Campus, 79 T.W. Name of Committee: National Advisory Alexander Drive, 122, Research Triangle Place: National Institutes of Health, Allergy and Infectious Diseases Council, Natcher Building, 45 Center Drive, Park, NC 27709 (Telephone Conference Call). Acquired Immunodeficiency Syndrome Contact Person: RoseAnne M. McGee, Conference Room E1/E2, Bethesda, MD Subcommittee. 20892. Associate Scientific Review Administrator, Date: January 26, 2004. Closed: 11:40 a.m. to 12 p.m. Scientific Review Branch, Office of Program Closed: 8:30 a.m. to 10:30 a.m. Agenda: To review and evaluate grant Operations, Division of Extramural Research Agenda: To review and evaluate grant applications. applications. and Training, Nat. Inst. of Environmental Place: National Institutes of Health, Health Sciences, P.O. Box 12233, MD EC–30, Place: National Institutes of Health, Natcher Building, 45 Center Drive, Natcher Building, 45 Center Drive, Research Triangle Park, NC 27709, 919/541– Conference Room E1/E2, Bethesda, MD 0752. Conference Room A, Bethesda, MD 20892. Open: 1 p.m. to adjournment. 20892. (Catalogue of Federal Domestic Assistance Agenda: Program advisory discussions and Contact Person: John J. McGowan, PhD, Program Nos. 93.115, Biometry and Risk presentations. Director, Division of Extramural Activities, Estimation—Health Risks from Place: National Institutes of Health, NIAID, Room 2142, 6700–B Rockledge Drive, Environmental Exposures; 93.142, NIEHS Natcher Building, 45 Center Drive, MSC 7610, Rockville, MD 20892–7610, 301– Hazardous Waste Worker Health and Safety Conference Room E1/E2, Bethesda, MD 496–7291. Training; 93.142, NIEHS Superfund 20892. In the interest of security, NIH has Hazardous Substances—Basic Research and Contact Person: John J. McGowan, PhD, Education; 93.894, Resources and Manpower Director, Division of Extramural Activities, instituted stringent procedures for Development in the Environmental Health NIAID, Room 2142, 6700–B Rockledge Drive, entrance into the building by non- Sciences; 93.113, Biological Response to MSC 7610, Rockville, MD 20892–7610, 301– government employees. Persons without Environmental Health Hazards; 93.114, 496–7291. a government I.D. will need to show a Applied Toxicological Research and Testing, Name of Committee: National Advisory photo I.D. and sign-in at the security National Institutes of Health, HHS) Allergy and Infectious Diseases Council, desk upon entering the building.

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Information is also available on the of the Director, NIGMS, new potential The meeting will be closed to the Institute’s/Center’s home page: opportunities and other business of Council. public in accordance with the www.niaid.nih.gov/facts/facts.htm, Place: National Institutes of Health, provisions set forth in sections Natcher Building, Conference Rooms E1 and 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., where an agenda and any additional E2, 9000 Rockville Pike, Bethesda, MD information for the meeting will be 20892. as amended. The grant applications posted when available. Closed: January 23, 2004, 8:30 a.m. to and/or contract proposals and the (Catalogue of Federal Domestic Assistance adjournment. discussions could disclose confidential Program Nos. 93.855, Allergy, Immunology, Agenda: To review and evaluate grant trade secrets or commercial property and Transplantation Research; 93.856, applications. such as patentable material, and Microbiology and Infectious Diseases Place: National Institutes of Health, personal information concerning Research, National Institutes of Health, HHS) Natcher Building, Conference Rooms E1 and individuals associated with the grant E2, 9000 Rockville Pike, Bethesda, MD applications and/or contract proposals, Dated: December 17, 2003. 20892. LaVerne Y. Stringfield, Contact Person: Ann A. Hagan, Phd, Acting the disclosure of which would Associate Director, Division of Extramural constitute a clearly unwarranted Director, Office of Federal Advisory invasion of personal privacy. Committee Policy. Activities, 45 Center Drive, Room 2AN24G, MSC6200, Bethesda, MD 20892–6200, (301) [FR Doc. 03–31561 Filed 12–22–03; 8:45 am] Name of Committee: National Advisory 594–3910, [email protected]. Council on Alcohol Abuse and Alcoholism. BILLING CODE 4140–01–M In the interest of security, NIH has Date: February 4–5, 2004. instituted stringent procedures for entrance Closed: February 4, 2004, 5:30 p.m. to 7:30 into the building by non-government p.m. DEPARTMENT OF HEALTH AND employees. Persons without a government Agenda: To review and evaluate grant HUMAN SERVICES I.D. will need to show a photo I.D. and sign- applications and/or proposals. in at the security desk upon entering the Place: Bethesda Marriott Suites, 6711 National Institutes of Health building. Democracy Boulevard, Bethesda, MD 20817. Information is also available on the Closed: February 5, 2004, 8:30 a.m. to 9:30 National Institute of General Medical Institute’s/Center’s home page: http:// a.m. Sciences; Notice of Meeting www.nigms.nih.gov/about/ Agenda: To review and evaluate the Board advisory_council.html, where an agenda and of Scientific Counselor’s Report. Pursuant to section 10(d) of the any additional information for the meeting Place: Bethesda Marriott Suites, 6711 Federal Advisory Committee Act, as will be posted when available. Democracy Boulevard, Bethesda, MD 20817. amended (5 U.S.C. appendix 2), notice Open: February 5, 2004, 9:30 a.m. to 3 p.m. is hereby given of a meeting of the (Catalogue of Federal Domestic Assistance Agenda: Program documents. Program Nos. 93.375, Minority Biomedical National Advisory General Medical Place: Bethesda Marriott Suites, 6711 Research Support; 93.821, Cell Biology and Democracy Boulevard, Bethesda, MD 20817. Sciences Council. Biophysics Research; 93.859, Pharmacology, Contact Person: Kenneth R. Warren, PhD, The meeting will be open to the Physiology, and Biological Chemistry Director, Office of Scientific Affairs, National public as indicated below, with Research; 93.862, Genetics and Institute on Alcohol Abuse and Alcoholism, attendance limited to space available. Developmental Biology Research; 93.88, National Institutes of Health, Willco Individuals who plan to attend and Minority Access to Research Centers; 93.96, Building, Suite 409, 6000 Executive need special assistance, such as sign Special Minority Initiatives, National Boulevard, Bethesda, MD 20892–7003, 301– language interpretation or other Institutes of Health, HHS) 443–4375, [email protected]. reasonable accommodations, should Dated: December 17, 2003. Information is also available on the LaVerne Y. Stringfield, Institute’s/Center’s home page: silk.nih.gov/ notify the Contact Person listed below silk/niaaa1/about/roster.htm, where an Director, Office of Federal Advisory in advance of the meeting. agenda and any additional information for The meeting will be closed to the Committee Policy. the meeting will be posted when available. public in accordance with the [FR Doc. 03–31562 Filed 12–22–03; 8:45 am] (Catalogue of Federal Domestic Assistance provisions set forth in sections BILLING CODE 4140–01–M Program Nos. 93.271, Alcohol Research 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., Career Development Awards for Scientists as amended. The grant applications and and Clinicians; 93.272, Alcohol National the discussions could disclose DEPARTMENT OF HEALTH AND Research Service Awards for Research confidential trade secrets or commercial HUMAN SERVICES Training; 93.273, Alcohol Research Programs; property such as patentable material, 93.891, Alcohol Research Center Grants, and personal information concerning National Institutes of Health National Institutes of Health, HHS) Dated: December 17, 2003. individuals associated with the grant National Institute on Alcohol Abuse LaVerne Y. Stringfield, applications, the disclosure of which and Alcoholism; Notice of Meeting would constitute a clearly unwarranted Director, Office of Federal Advisory invasion of personal privacy. Pursuant to section 10(d) of the Committee Policy. Name of Committee: National Advisory Federal Advisory Committee Act, as [FR Doc. 03–31563 Filed 12–22–03; 8:45 am] General Medical Sciences Council. amended (5 U.S.C. appendix 2), notice BILLING CODE 4140–01–M Date: January 22–23, 2004. is hereby given of a meeting of the Closed: January 22, 2004, 8:30 a.m. to 10:30 National Advisory Council on Alcohol a.m. Abuse and Alcoholism. DEPARTMENT OF HEALTH AND Agenda: To review and evaluate grant The meeting will be open to the HUMAN SERVICES applications. public as indicated below, with Place: National Institutes of Health, attendance limited to space available. National Institutes of Health Natcher Building, Conference Rooms E1 and Individuals who plan to attend and E2, 9000 Rockville Pike, Bethesda, MD National Institute of Allergy and need special assistance, such as sign 20892. Infectious Diseases; Notice of Closed Open: January 22, 2004, 10:30 a.m. to 5 language interpretation or other Meeting p.m. reasonable accommodations, should Agenda: For the discussion of program notify the Contract Person listed below Pursuant to section 10(d) of the policies and issues, opening remarks, report in advance of the meeting. Federal Advisory Committee Act, as

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amended (5 U.S.C. appendix 2), notice Date: January 26, 2004. Contact Person: Clayton C. Huntley, PhD, is hereby given of the following Time: 1 p.m. to 6 p.m. Scientific Review Administrator, Scientific meeting. Agenda: Framework for DAIDS Clinical Review Program, Division of Extramural The meeting will be closed to the Research in a Global Environment. Activities, National Institutes of Health/ Place: National Institutes of Health, public in accordance with the NIAID, 6700B Rockledge Drive, MSC 7616, Natcher Building, 45 Center Drive, Bethesda, MD 20892–7616, (301) 451–2570, provisions set forth in sections Conference Room E1/E2, Bethesda, MD [email protected]. 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., 20892. as amended. The grant applications and Contact Person: Rona L. Siskind, Executive (Catalogue of Federal Domestic Assistance the discussions could disclose Secretary, AIDS Research Advisory Program Nos. 93.855, Allergy, Immunology, Committee, Division of AIDS, NIAID/NIH, and Transplantation Research; 93.856, confidential trade secrets or commercial Microbiology and Infectious Diseases property such as patentable material, Room 4139, 6700–B Rockledge Drive, MSC 7610, Bethesda, MD 20892–7601, (301) 435– Research, National Institutes of Health, HHS) and personal information concerning 3732. Dated: December 17, 2003. individuals associated with the grant In the interest of security, NIH has LaVerne Y. Stringfield, applications, the disclosure of which instituted stringent procedures for entrance Director, Office of Federal Advisory would constitute a clearly unwarranted into the building by non-government Committee Policy. employees. Persons without a government invasion of personal privacy. [FR Doc. 03–31566 Filed 12–22–03; 8:45 am] I.D. will need to show a photo I.D. and sign- Name of Committee: National Institute of in at the security desk upon entering the BILLING CODE 4140–01–M Allergy and Infectious Diseases Special building. Emphasis Panel, Special Emphasis Panel 1 for Unsolicited Biodefense P01 Applications. (Catalogue of Federal Domestic Assistance DEPARTMENT OF HEALTH AND Date: January 14, 2004. Program Nos. 93.855, Allergy, Immunology, Time: 1 p.m. to 5 p.m. and Transplantation Research; 93.856, HUMAN SERVICES Agenda: To review and evaluate grant Microbiology and Infectious Diseases applications. Research, National Institutes of Health, HHS) National Institutes of Health Place: National Institutes of Health, Dated: December 17, 2003. National Library of Medicine; Notice of Rockledge 6700, 6700B Rockledge Drive, LaVerne Y. Stringfield, Bethesda, Md 20817. (Telephone Conference Meeting Call). Director, Office of Federal Advisory Contact Person: Stefani T. Rudnick, Phd, Committee Policy. Pursuant to section 10(d) of the Scientific Review Administrator, Scientific [FR Doc. 03–31565 Filed 12–22–03; 8:45 am] Federal Advisory Committee Act, as Review Program, Division of Extramural BILLING CODE 4140–01–M amended (5 U.S.C. Appendix 2), notice Activities, National Institutes of Health/ is hereby given of the following NIAID, 6700B Rockledge Drive, MSC 7616, meeting. Bethesda, MD 20892–7616, (301) 496–2550, DEPARTMENT OF HEALTH AND The meeting will be open to the [email protected]. HUMAN SERVICES public as indicated below, with (Catalogue of Federal Domestic Assistance Program Nos. 93.855, Allergy, Immunology, National Institutes of Health attendance limited to space available. and Transplantation Research; 93.856, Individuals who plan to attend and Microbiology and Infectious Diseases National Institute of Allergy and need special assistance, such as sign Research, National Institutes of Health, HHS) Infectious Disease; Notice of Closed language interpretation or other Dated: December 17, 2003. Meeting reasonable accommodations, should LaVerne Y. Stringfield, notify the Contact Person listed below Pursuant to section 10(d) of the in advance of the meeting. Director, Office of Federal Advisory Federal Advisory Committee Act, as Committee Policy. amended (5 U.S.C. appendix 2), notice The portions of the meeting devoted [FR Doc. 03–31564 Filed 12–22–03; 8:45 am] is hereby given of the following to the review and evaluation of journals BILLING CODE 4140–01–M meeting. for potential indexing by the National The meeting will be closed to the Library of Medicine will be closed to the public in accordance with the public in accordance with the DEPARTMENT OF HEALTH AND provisions set forth in sections provisions set forth in section HUMAN SERVICES 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., 552b(c)(9)(B), Title 5 U.S.C., as amended. Premature disclosure of the National Institutes of Health as amended. The grant applications and the discussions could disclose titles of the journals as potential titles to National Institute of Allergy and confidential trade secrets or commercial be indexed by the National Library of Infectious Diseases; Notice of Meeting property such as patentable material, Medicine, the discussions, and the and personal information concerning presence of individuals associated with Pursuant to section 10(a) of the individuals associated with the grant these publications could significantly Federal Advisory Committee Act, as applications, the disclosure of which frustrate the review and evaluation of amended (5 U.S.C. appendix 2), notice would constitute a clearly unwarranted individual journals. is hereby given of a meeting of the AIDS invasion of personal privacy. Name of Committee: Literature Selection Research Advisory Committee, NIAID. Name of Committee: National Institute of Technical Review Committee. The meeting will be open to the Allergy and Infectious Diseases Special Date: February 5–6, 2004. public, with attendance limited to space Emphasis Panel, Biodefense and Emerging Open: February 5, 2004, 9 a.m. to 11 a.m. available. Individuals who plan to Infectious Disease Research Opportunities. Agenda: Administrative reports and attend and need special assistance, such Date: January 16, 2004. program discussions. as sign language interpretation or other Time: 1 p.m. to 4 p.m. Place: National Library of Medicine, reasonable accommodations, should Agenda: To review and evaluate grant Building 38, Board Room, 2nd Floor, Center notify the Contact Person listed below applications. Drive, Bethesda, MD 20814. Place: National Institutes of Health, Closed: February 5, 2004, 11 a.m. to 5 p.m. in advance of the meeting. Rockledge 6700, 6700B Rockledge Drive, Agenda: To review and evaluate journals Name of Committee: AIDS Research Bethesda, MD 20817. (Telephone Conference as potential titles to be indexed by the Advisory Committee, NIAID. Call). National Library of Medicine.

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Place: National Library of Medicine, DEPARTMENT OF HEALTH AND This notice is being published less than 15 Building 38, Board Room, 2nd Floor, Center HUMAN SERVICES days prior to the meeting due to the timing Drive, Bethesda, MD 20814. limitations imposed by the review and Closed: February 6, 2004, 8:30 a.m. to 2 National Institutes of Health funding cycle. p.m. Name of Committee: Center for Scientific Agenda: To review and evaluate journals Center for Scientific Review; Amended Review Special Emphasis Panel, Yeast as potential titles to be indexed by the Notice of Meeting Molecular Biology. National Library of Medicine. Date: December 22, 2003. Place: National Library of Medicine, Notice is hereby given of a change in Time: 3 p.m. to 4 p.m. Building 38, Board Room, 2nd Floor, Center the meeting of the Center for Scientific Agenda: To review and evaluate grant Drive, Bethesda, MD 20814. Review Special Emphasis Panel, applications. Contact Person: Sheldon Kotzin, MLS, December 15, 2003, 1 p.m. to December Place: National Institutes of Health, 6701 Rockledge Drive, Bethesda, MD 20892 Chief, Bibliographic Services Division, 15, 2003, 2:30 p.m., National Institutes Division of Library Operations, National (Telephone Conference Call). of Health, 6701 Rockledge Drive, Contact Person: Alexander D. Politis, PhD, Library of Medicine, 8600 Rockville Pike, Bethesda, MD 20892 which was Scientific Review Administrator, Center for Bldg 38A/Room 4N419, Bethesda, MD 20894. published in the Federal Register on Scientific Review, National Institutes of Any interested person may file written December 3, 2003, 68 FR 67689–67690. Health, 6701 Rockledge Drive, Room 3210, comments with the committee by forwarding MSC 7808, Bethesda, MD 20892, (301) 435– the statement to the Contact Person listed on The meeting will be held December 22, 2003, from 11 a.m. to 12:30 p.m. The 1150, [email protected]. this Notice. The statement should include the This notice is being published less than 15 name, address, telephone number and, when location remains the same. The meeting days prior to the meeting due to the timing applicable, the business or professional is closed to the public. limitations imposed by the review and affiliation of the interest person. Dated: December 16, 2003. funding cycle. In the interest of security, NIH has LaVerne Y. Stringfield, Name of Committee: Center for Scientific instituted stringent procedures for entrance Review Special Emphasis Panel, into the building by non-government Director, Office of Federal Advisory Committee Policy. Bioanalytical Special Review. employees. Persons without a government Date: January 7, 2004. [FR Doc. 03–31499 Filed 12–22–03; 8:45 am] I.D. will need to show a photo I.D. and sign Time: 2 p.m. to 4 p.m. in at the security desk upon entering the BILLING CODE 4140–01–M Agenda: To review and evaluate grant building. applications. (Catalogue of Federal Domestic Assistance Place: National Institutes of Health, 6701 Program No. 93.879, Medical Library DEPARTMENT OF HEALTH AND Rockledge Drive, Bethesda, MD 20892 Assistance, National Institutes of Health, HUMAN SERVICES (Telephone Conference Call). HHS) Contact Person: Noni Byrnes, PhD, National Institutes of Health Scientific Review Administrator, Center for Dated: December 16, 2003. Scientific Review, National Institutes of LaVerne Y. Stringfield, Center for Scientific Review; Notice of Health, 6701 Rockledge Drive, Room 4196, Director, Office of Federal Advisory Closed Meetings MSC 7806, Bethesda, MD 20892, (301)–435– Committee Policy, NIH. 1217, [email protected]. [FR Doc. 03–31496 Filed 12–22–03; 8:45 am] Pursuant to section 10(d) of the Name of Committee: Center for Scientific Federal Advisory Committee Act, as Review Special Emphasis Panel, BILLING CODE 4140–01–M amended (5 U.S.C. appendix 2), notice Muculoskeletal Sciences. is hereby given of the following Date: January 9, 2004. Time: 11 a.m. to 1 p.m. DEPARTMENT OF HEALTH AND meetings. The meetings will be closed to the Agenda: To review and evaluate grant HUMAN SERVICES applications. public in accordance with the Place: National Institutes of Health, 6701 National Institutes of Health provisions set forth in sections Rockledge Drive, Bethesda, MD 20892, 552b(c)(4) and 552b(c)(6), Title 5 U.S.C., (Telephone Conference Call). Center for Scientific Review; Amended as amended. The grant applications and Contact Person: Jo Pelham, BA, Scientific Notice of Meeting the discussions could disclose Review Administrator, Center for Scientific confidential trade secrets or commercial Review, National Institutes of Health, 6701 Notice is hereby given of a change in property such as patentable material, Rockledge Drive, Room 4102, MSC 7814, the meeting of the Center for Scientific and personal information concerning Bethesda, MD 20892, (301) 435–1786. Review Special Emphasis Panel, individuals associated with the grant Name of Committee: Center for Scientific December 22, 2003, 1 p.m. to December applications, the disclosure of which Review Special Emphasis Panel, ZRG1 SB 22, 2003, 2 p.m., National Institutes of would constitute a clearly unwarranted 50R: PAR–03–032: Bioengineering Research Partnerships. Health, 6701 Rockledge Drive, Bethesda, invasion of personal privacy. MD, 20892 which was published in the Date: January 16, 2004. Name of Committee: Center for Scientific Time: 10 a.m. to 3 p.m. Federal Register on December 8, 2003, Review Special Emphasis Panel, Vaccine. Agenda: To review and evaluate grant 68 FR 68404–68405. Date: December 19, 2003. applications. The meeting will be held December Time: 1 p.m. to 2 p.m. Place: Holiday Inn Select Bethesda, 8120 15, 2003. The time and location remain Agenda: To review and evaluate grant Wisconsin Ave, Bethesda, MD 20814. the same. The meeting is closed to the applications. Contact Person: Dharam S. Dhindsa, DVM, Place: National Institutes of Health, 6701 PhD, Scientific Review Administrator, Center public. Rockledge Drive, Bethesda, MD 20892 for Scientific Review, National Institutes of Dated: December 16, 2003. (Telephone Conference Call). Health, 6701 Rockledge Drive, Room 5126, LaVerne Y. Stringfield, Contact Person: Kenneth A Roebuck, PhD, MSC 7854, Bethesda, MD 20892, (301) 435– Scientific Review Administrator, Center for 1174, [email protected]. Director, Office of Federal Advisory Scientific Review, National Institutes of (Catalogue of Federal Domestic Assistance Committee Policy. Health, 6701 Rockledge Drive, Room 5214, Program Nos. 93.306, Comparative Medicine; [FR Doc. 03–31498 Filed 12–22–03; 8:45 am] MSC 7852, Bethesda, MD 20892, (301) 435– 93.333, Clinical Research, 93.306, 93.333, BILLING CODE 4140–01–M 1166, [email protected]. 93.337, 93.393–93.396, 93.837–93.844,

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93.846–93.878, 93.892, 93.893, National Hearing-impaired individuals are the Commission’s electronic docket Institutes of Health, HHS) advised that information on this matter (EDIS) at http://edis.usitc.gov. Dated: December 17, 2003. can be obtained by contacting our TDD SUPPLEMENTARY INFORMATION: Effective LaVerne Y. Stringfield, terminal on (202) 205–1810. July 16, 2003, the Commission Background: For purposes of making Director, Office of Federal Advisory established a schedule for the conduct Committee Policy. determinations of the U.S. market for of the final phase of the subject fuel ethyl alcohol as required by section [FR Doc. 03–31559 Filed 12–22–03; 8:45 am] investigations (68 FR 52614, September 7 of the Act, the Commission instituted BILLING CODE 4140–01–M 4, 2003). By Executive Order announced Investigation No. 332–288, Ethyl on December 9, 2003, the Executive Alcohol for Fuel Use: Determination of Departments and Agencies of the the Base Quantity of Imports, in March Federal Government are scheduled to INTERNATIONAL TRADE 1990. The Commission uses official COMMISSION close on Friday, December 26, 2003. The statistics of the U.S. Department of Commission, therefore, is revising its [Investigation No. 332–288] Energy to make these determinations as schedule as follows: the Commission well as the PIERS database of the will make its final release of information Ethyl Alcohol for Fuel Use: Journal of Commerce, which is based on on December 29, 2003 and final party Determination of the Base Quantity of U.S. export declarations. comments are due on January 2, 2004. Imports Section 225 of the Customs and Trade For further information concerning Act of 1990 (Pub. L. 101–382, August AGENCY: International Trade these investigations see the 20, 1990) amended the original language Commission. Commission’s notice cited above and set forth in the Steel Trade ACTION: Notice of determination. the Commission’s Rules of Practice and Liberalization Program Implementation Procedure, part 201, subparts A through EFFECTIVE DATE: December 15, 2003. Act of 1989. The amendment requires E (19 CFR part 201), and part 207, SUMMARY: Section 7 of the Steel Trade the Commission to make a subparts A and C (19 CFR part 207). determination of the U.S. domestic Liberalization Program Implementation Authority: These investigations are being Act of 1989 (‘‘the Act’’), as amended (19 market for fuel ethyl alcohol for each year after 1989. conducted under authority of title VII of the U.S.C. 2703 note), which concerns local Tariff Act of 1930; this notice is published feedstock requirements for fuel ethyl Issued: December 18, 2003. pursuant to § 207.21 of the Commission’s alcohol imported by the United States By order of the Commission. rules. from CBERA-beneficiary countries, Marilyn R. Abbott, Issued: December 19, 2003. requires the Commission to determine Secretary to the Commission. By order of the Commission. annually the U.S. domestic market for [FR Doc. 03–31655 Filed 12–22–03; 8:45 am] Marilyn R. Abbott, fuel ethyl alcohol during the 12-month BILLING CODE 7020–02–P period ending on the preceding Secretary to the Commission. September 30. The domestic market [FR Doc. 03–31690 Filed 12–22–03; 8:45 am] BILLING CODE 7020–02–P determination made by the Commission INTERNATIONAL TRADE is to be used to establish the ‘‘base COMMISSION quantity’’ of imports that can be imported with a zero percent local [Investigations Nos. 701–TA–432 and 731– feedstock requirement. The base TA–1024–1028 (Final)] DEPARTMENT OF JUSTICE quantity to be used by the U.S. Customs Prestressed Concrete Steel Wire Office of Justice Programs Service in the administration of the law Strand from Brazil, India, Korea, is the greater of 60 million gallons or 7 Mexico, and Thailand percent of U.S. consumption as [OJP (OJJDP) Docket No. 1394] AGENCY: determined by the Commission. Beyond International Trade Office of Juvenile Justice and the base quantity of imports, Commission. Delinquency Prevention: Meeting of progressively higher local feedstock ACTION: Revised schedule for the subject the Juvenile Justice Advisory requirements are placed on imports of investigations. Committee fuel ethyl alcohol and mixtures from the CBERA-beneficiary countries. EFFECTIVE DATE: December 18, 2003. AGENCY: Office of Juvenile Justice and For the 12-month period ending FOR FURTHER INFORMATION CONTACT: Delinquency Prevention (OJJDP), Office September 30, 2003, the Commission Mary Messer (202–205–3193), Office of of Justice Programs, Justice. has determined the level of U.S. Investigations, U.S. International Trade ACTION: Notice of meeting. consumption of fuel ethyl alcohol to be Commission, 500 E Street SW, 2.67 billion gallons. Seven percent of Washington, DC 20436. Hearing- SUMMARY: The Office of Juvenile Justice this amount is 186.9 million gallons impaired persons can obtain and Delinquency Prevention is (these figures have been rounded). information on this matter by contacting announcing a meeting of the Juvenile Therefore, the base quantity for 2004 the Commission’s TDD terminal on 202– Justice Advisory Committee in Point should be 186.9 million gallons. 205–1810. Persons with mobility Clear, Alabama, from January 12–14, FOR FURTHER INFORMATION CONTACT: impairments who will need special 2004, at the meeting times and location Devry Boughner (202) 205–3313, assistance in gaining access to the noted below. [email protected], in the Commission should contact the Office DATES: The schedule of events is as Commission’s Office of Industries. For of the Secretary at 202–205–2000. follows: information on legal aspects of the General information concerning the investigation contact Mr. William Commission may also be obtained by Monday, January 12, 2004 Gearhart, [email protected], of the accessing its internet server (http:// 9 a.m.–5 p.m. Juvenile Justice Commission’s Office of the General www.usitc.gov). The public record for Advisory Committee Training Counsel at (202) 205–3091. these investigations may be viewed on (Closed Session)

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Tuesday, January 13, 2004 DEPARTMENT OF LABOR Number of Respondents: 2. Number of Annual Responses: 2. 9 a.m.–12 p.m. Juvenile Justice Office of the Secretary Estimated Time Per Response: 1 hour. Advisory Committee Training Total Burden Hours: 2. (Closed Session) Submission for OMB Review; Total Annualized Capital/Startup Comment Request 12 p.m.–1:30 p.m. Informal Personnel Costs: $0. Discussion (Closed Session) December 15, 2003. Total Annual Costs (operating/ maintaining systems or purchasing 1:30 p.m.–3 p.m. Organizational The Department of Labor (DOL) has services): $0. Discussion (Open Session) submitted the following public information collection requests (ICRs) to Description: Title 30, CFR § 57.5047 3 p.m.–5 p.m. Working Group— the Office of Management and Budget requires that gamma radiation surveys Subcommittee Organization (Closed (OMB) for review and approval in be conducted annually in all Session) accordance with the Paperwork underground mines where radioactive ores are mined. The Standard also Wednesday, January 14, 2004 Reduction Act of 1995 (Pub. L. 104–13, 44 U.S.C. Chapter 35). A copy of each requires, where average gamma 9 a.m.–10:15 a.m. Subcommittee individual ICR, with applicable radiation measurements are in excess of Reporting (Open Session) supporting documentation, may be 2.0 milliroentgens per hour in the obtained by contacting the Department working place, that gamma radiation 10:30 a.m.–12 p.m. Closing Remarks dosimeters be provided for all persons (Open Session) of Labor. To obtain documentation, contact Darrin King on 202–693–4129 affected, and that records of cumulative ADDRESSES: The meeting will take place (this is not a toll-free number) or by E- individual gamma radiation exposure be at the Grand Hotel Marriott, One Grand Mail: [email protected]. kept. These recordkeeping requirements Boulevard, Point Clear, Alabama, 36564. Comments should be sent to Office of are necessary to protect miners from Information and Regulatory Affairs, adverse health affects resulting from FOR FURTHER INFORMATION CONTACT: occupational exposure to gamma Timothy Wight, Designated Federal Attn: OMB Desk Officer for the Mine Safety and Health Administration radiation. Official, OJJDP, at 202–514–2190 (This (MSHA), Office of Management and Type of Review: Extension of a is not a toll-free number.) Budget, Room 10235, Washington, DC currently approved collection. SUPPLEMENTARY INFORMATION: The 20503 (202–395–7316 / this is not a toll- Agency: Mine Safety and Health Juvenile Justice Advisory Committee, free number), within 30 days from the Administration. established pursuant to section 3(2)A of date of this publication in the Federal Title: Mine Rescue Teams; the Federal Advisory Committee Act (5 Register. Arrangements for Emergency Medical U.S.C. App. 2), will meet to carry out its The OMB is particularly interested in Assistance; and Arrangements for advisory functions under section comments which: Transportation for Injured Persons. • 223(f)(2)(C–E) of the Juvenile Justice and Evaluate whether the proposed OMB Number: 1219–0078. Affected Public: Business or other for- Delinquency Prevention Act of 2002. collection of information is necessary profit. This is an administrative and for the proper performance of the Type of Response: Recordkeeping, organizational meeting of the Committee functions of the agency, including whether the information will have Reporting, and Third party disclosure. wherein the members will be addressed practical utility; Frequency: On occasion; Bi-monthly; by the Administrator of OJJDP, receive • Evaluate the accuracy of the Monthly; and Annually. training concerning the provisions of agency’s estimate of the burden of the Average Response Time: Varies from the Federal Advisory Committee Act, proposed collection of information, 15 minutes to 4 hours. elect a Committee chair and vice-chair, including the validity of the and organize into sub-committees. methodology and assumptions used; Annual Hour • Cite/Reference re- Members of the public who wish to Enhance the quality, utility, and sponses burden attend the open sessions of the meeting clarity of the information to be should notify the Juvenile Justice collected; and 30 CFR 49.2: Resource Center at 301–519–5790 • Minimize the burden of the Coal ...... 117 117 (Karen Goldstein) or 301–519–5245 collection of information on those who Metal/Non-metal ...... 31 31 (Carol Sadler)by 5 p.m., ET, on January are to respond, including through the 30 CFR 49.3 and 49.4: Coal ...... 2 4 5, 2004. Notification may also be sent to use of appropriate automated, electronic, mechanical, or other Metal/Non-metal ...... 11 22 the following e-mail address: 30 CFR 49.6: [email protected]. Please indicate your technological collection techniques or Coal ...... 14,868 4,510 name, address, phone number, and other forms of information technology, Metal/Non-metal ...... 14,904 4,521 which open sessions you are expecting e.g., permitting electronic submission of 30 CFR 49.7: responses. to attend. Coal ...... 1,652 3,511 Type of Review: Extension of a Metal/Non-metal ...... 1,656 3,519 J. Robert Flores, currently approved collection. 30 CFR 49.8: Coal ...... 7,623 4,226 Administrator, Office of Juvenile Justice and Agency: Mine Safety and Health Metal/Non-metal ...... 7,673 4,631 Delinquency Prevention. Administration. 30 CFR 49.9: [FR Doc. 03–31552 Filed 12–22–03; 8:45 am] Title: Gamma Radiation Exposure Records. Coal ...... 117 233 BILLING CODE 4410–18–P Metal/Non-metal ...... 31 62 OMB Number: 1219–0039. 30 CFR 75.1713–1: Affected Public: Business or other for- Coal ...... 117 233 profit. 30 CFR 75.1702: Type of Response: Recordkeeping. Coal ...... 166 332 Frequency: Annually.

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20503 (202–395–7316/this is not a toll- Type of Response: Reporting. Annual Hour Cite/Reference re- burden free number), within 30 days from the Frequency: On occasion. sponses date of this publication in the Federal Number of Respondents: 12,700. Register. Number of Annual Responses: 12,700. Coal total ...... 24,662 13,166 The OMB is particularly interested in Estimated Time Per Response: 30 Metal/Non-metal total 24,306 12,786 comments which: minutes for Longshore filings and 1 • Evaluate whether the proposed hour for FECA filings. Grand total ...... 48,968 25,952 collection of information is necessary Total Burden Hours: 7,850. for the proper performance of the Total Annualized Capital/Startup Total Annualized Capital/Startup functions of the agency, including Costs: $0. Costs: $0. whether the information will have Total Annual Costs (operating/ Total Annual Costs (operating/ practical utility; maintaining systems or purchasing maintaining systems or purchasing • Evaluate the accuracy of the services): $17,215. services): $561,306. agency’s estimate of the burden of the Description: Individuals filing for Description: Under 30 CFR part 49, proposed collection of information, compensation benefits with the Office of Mine Rescue Teams, the regulations set including the validity of the Workers’ Compensation Programs standards related to the availability of methodology and assumptions used; (OWCP) may be represented by an mine rescue teams; alternate mine • Enhance the quality, utility, and attorney or other representative. The rescue capability for small and remote clarity of the information to be representative is entitled to request a fee mines and mines with special mining collected; and for services under the Federal conditions; inspection and maintenance • Minimize the burden of the Employees’ Compensation Act (FECA), records of mine rescue equipment and collection of information on those who 20 CFR 10.700–703, and under the apparatus; physical requirements for are to respond, including through the Longshore and Harbor Workers’ mine rescue team members and use of appropriate automated, Compensation Act (LHWCA), 20 CFR alternates; and experience and training electronic, mechanical, or other 702.132. The fee must be approved by requirements for team members and technological collection techniques or the OWCP before any demand for alternates. Parts 75 and 77 requires that other forms of information technology, payment can be made by the coal mine operators make arrangements e.g., permitting electronic submission of representative. This information with a licensed physician, medical responses. collection request sets forth the criteria service, medical clinic, or hospital and Agency: Employment Standards for the information, which must be with an ambulance service to provide Administration. presented by the respondent in order to 24-hour emergency medical assistance Type of Review: Extension of a have the fee approved by the OWCP. and transportation. That information is currently approved collection. The information collection does not to be posted at the mine. Title: Notice of issuance of insurance have a particular form or format; the policy. Ira L. Mills, respondent must present the OMB Number: 1215–0059. information in any format which is Departmental Clearance Officer. Affected Public: Business or other for- convenient and which meets all the profit and State, Local, or Tribal [FR Doc. 03–31537 Filed 12–22–03; 8:45 am] required information criteria. The BILLING CODE 4510–43–P Government. Type of Response: Reporting. Department of Labor seeks the extension Frequency: Annually. of approval to collect this information in DEPARTMENT OF LABOR Number of Respondents: 60. order to carry out its responsibility to Annual Responses: 4,000. approve representative fees under the Office of the Secretary Estimated Time Per Response: 10 two Acts. minutes. Agency: Employment Standards Submission for OMB Review; Total Burden Hours: 667. Administration. Comment Request Total Annualized Capital/Startup Type of Review: Extension of a Costs: $0. currently approved collection. December 11, 2003. Total Annual Costs (operating/ Title: Request for Employment The Department of Labor (DOL) has maintaining systems or purchasing Information. submitted the following public services): $1,800. OMB Number: 1215–0105. information collection requests (ICRs) to Description: The CM–921 provides Affected Public: Business or other for- the Office of Management and Budget insurance carriers with the means to profit. (OMB) for review and approval in supply the Department of Labor with Type of Response: Reporting. accordance with the Paperwork information showing that a responsible Frequency: On occasion. Reduction Act of 1995 (Pub. L. 104–13, coal mine operator is insured against its Number of Respondents: 500. 44 U.S.C. Chapter 35). A copy of each Federal Black Lung compensation Number of Annual Responses: 500. individual ICR, with applicable liability pursuant to the requirements Estimated Time Per Response: 15 supporting documentation, may be established in the Federal Black Lung minutes. obtained by contacting the Department Benefits Act. The CM–921 is authorized Total Burden Hours: 125. of Labor. To obtain documentation, by 20 CFR part V, subpart C, 726.208– Total Annualized Capital/Startup contact Darrin King on 202–693–4129 213. Costs: $0. (this is not a toll-free number) or E-Mail: Agency: Employment Standards Total Annual Costs (operating/ [email protected]. Administration. maintaining systems or purchasing Comments should be sent to Office of Type of Review: Extension of a services): $200. Information and Regulatory Affairs, currently approved collection. Description: The Form CA–1027 is Attn: OMB Desk Officer for the Title: Representative Fee Request. used to collect information about a Employment Standards Administration OMB Number: 1215–0078. claimant’s employment. The (ESA), Office of Management and Affected Public: Business or other for- information is necessary to determine Budget, Room 10235, Washington, DC profit and individuals or households. continued eligibility for compensation

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payments under the Federal Employee’s DEPARTMENT OF LABOR Estimated Time Per Response: 20 Compensation Act (5 U.S.C. 8106). minutes to conduct employer Agency: Employment Standards Office of the Secretary interviews; 15 minutes for the Administration. Occupational Injury Supplement; and Type of Review: Extension of a Submission for OMB Review; 50 minutes for the Primary currently approved collection. Comment Request Questionnaire. Title: Provider Enrollment Form. December 15, 2003. Total Burden Hours: 3,570. OMB Number: 1215–0137. The Department of Labor (DOL) has Total Annualized Capital/Startup Affected Public: Business or other for- Costs: $0. profit. submitted the following public information collection request (ICR) to Total Annual Costs (operating/ Type of Response: Reporting. maintaining systems or purchasing Frequency: On occasion. the Office of Management and Budget (OMB) for review and approval in services): $0. Number of Respondents: 12,600. Description: NAWS provides an Number of Annual Responses: 12,600. accordance with the Paperwork Reduction Act of 1995 (Pub. L. 104–13, understanding of the manpower Estimated Time Per Response: 8 resources available to U.S. agriculture. It minutes. 44 U.S.C. Chapter 35). A copy of this ICR, with applicable supporting is the national source of information on Total Burden Hours: 1,676. the demographic, occupational health Total Annualized Capital/Startup documentation, may be obtained by and employment characteristics of hired Costs: $0. contacting the Department of Labor. To crop workers. Total Annual Costs (operating/ obtain documentation, contact Darrin maintaining systems or purchasing King on 202–693–4129 (this is not a toll- Ira Mills, services): $5,040. free number) or E-Mail: Departmental Clearance Officer. Description: The Office of Workers’ [email protected]. [FR Doc. 03–31539 Filed 12–22–03; 8:45 am] Compensation Programs (OWCP) Comments should be sent to Office of BILLING CODE 4510–23–M administers the Federal Employees’ Information and Regulatory Affairs, Compensation Act (FECA), 5 U.S.C. Attn: OMB Desk Officer for DOL, Office 8101, et seq., the Black Lung Benefits of Management and Budget, Room DEPARTMENT OF LABOR Act (BLBA), 30 U.S.C. 901 et seq., and 10235, Washington, DC 20503 (202– the Energy Employees Occupational 395–7316/this is not a toll-free number), Employment and Training Illness Compensation Program Act of within 30 days from the date of this Administration publication in the Federal Register. 2000 (EEOICPA), 42 U.S.C. 7384 et seq., [TA–W–52,915] and the Longshore and Harbor Workers’ The OMB is particularly interested in Compensation Act (LHWCA), 33 U.S.C. comments which: Advanced Design and Knits, Inc., • 901 et seq. These statutes require OWCP Evaluate whether the proposed Copiague, NY; Notice of Termination of to pay for medical and vocational collection of information is necessary Investigation rehabilitation services provided to for the proper performance of the beneficiaries. In order for OWCP’s functions of the agency, including Pursuant to section 221 of the Trade billing contractor to pay providers of whether the information will have Act of 1974, as amended, an these services with its automated bill practical utility; investigation was initiated on processing system, providers must • Evaluate the accuracy of the September 23, 2003 in response to a ‘‘enroll’’ with one or more of the OWCP agency’s estimate of the burden of the petition filed by a company official, and programs that administer the statues by proposed collection of information, ex-worker on behalf of workers at submitting certain profile information, including the validity of the Advanced Design and Knits, Inc. including identifying information, tax methodology and assumptions used; Copiague, New York. I.D. information, and whether they • Enhance the quality, utility, and The petitioner has requested that the possess specialty or sub-specialty clarity of the information to be petition be withdrawn. Consequently, training. Form OWCP–1168 is used to collected; and the investigation has been terminated. • obtain this information from each Minimize the burden of the Signed at Washington, DC this 16th day of provider. If this information is not collection of information on those who October, 2003. obtained before the provider submits his are to respond, including through the Richard Church, or her first bill, the bill payment process use of appropriate automated, Certifying Officer, Division of Trade is prolonged and increases the burden electronic, mechanical, or other Adjustment Assistance. on providers. The Department of Labor technological collection techniques or [FR Doc. 03–31527 Filed 12–22–03; 8:45 am] other forms of information technology, seeks approval for the extension of this BILLING CODE 4510–30–P information collection in order to carry e.g., permitting electronic submission of out a wide range of automated medical responses. bill ‘‘edits’’, such as, the identification Agency: Assistant Secretary for DEPARTMENT OF LABOR of duplicate billings, the application of Policy. pertinent fee schedules that apply to the Type of Review: Revision of a Employment and Training programs, utilization review, and fraud currently approved collection. Administration Title: National Agriculture Workers and abuse detection. This information is [TA–W–53,402] also used to furnish timely and detailed Survey (NAWS). reports to providers on the status of OMB Number: 1225–0044. Alamac American Knits LLC, previously submitted bills. Affected Public: Individuals or Lumberton, NC; Notice of Termination households and farms. of Investigation Ira L. Mills, Type of Response: Reporting. Departmental Clearance Officer. Frequency: Annually. Pursuant to section 221 of the Trade [FR Doc. 03–31538 Filed 12–22–03; 8:45 am] Number of Respondents: 5,200. Act of 1974, an investigation was BILLING CODE 4510–CK–M Number of Annual Responses: 5,344. initiated on October 31, 2003 in

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response to a petition filed by a The petitioner has requested that the In order to establish a valid petition, all company official on behalf of workers at petition be withdrawn. Consequently, petitioners must have been employed at Alamac American Knits LLC, further investigation in this case would the subject firm during the one year Lumberton, North Carolina. serve no purpose, and the investigation period prior to the petition. Not all three The petitioner has requested that the has been terminated. petitioners meet this requirement of a petition be withdrawn. Consequently, Signed in Washington, DC this 3rd day of valid petition. Consequently, the the investigation has been terminated. November, 2003. investigation has been terminated. Signed in Washington, DC this 14th day of Linda G. Poole, Signed in Washington, DC this 14th day of November 2003. Certifying Officer, Division of Trade November 2003. Richard Church, Adjustment Assistance. Richard Church, Certifying Officer, Division of Trade [FR Doc. 03–31528 Filed 12–22–03; 8:45 am] Certifying Officer, Division of Trade Adjustment Assistance. BILLING CODE 4510–30–P Adjustment Assistance. [FR Doc. 03–31534 Filed 12–22–03; 8:45 am] [FR Doc. 03–31533 Filed 12–22–03; 8:45 am] BILLING CODE 4510–30–P BILLING CODE 4510–30–P DEPARTMENT OF LABOR

DEPARTMENT OF LABOR Employment and Training DEPARTMENT OF LABOR Administration Employment and Training [TA–W–53,370] Employment and Training Administration Administration [TA–W–53,405] Fishing Vessel (F/V) Laurie B, Ketchikan, AK; Notice of Termination [TA–W–53,223] Authentic Fitness Corp., Los Angeles, of Investigation CA; Notice of Termination of Nighswonger Contract Cutting, Pursuant to section 221 of the Trade Investigation Coquille, OR; Notice of Termination of Act of 1974, as amended, an Investigation Pursuant to section 221 of the Trade investigation was initiated on October Act of 1974, as amended, an 29, 2003 in response to a petition filed Pursuant to section 221 of the Trade investigation was initiated on November by a company official on behalf of Act of 1974, an investigation was 1, 2003 in response to a worker petition workers of F/V Laurie B, Ketchikan, initiated on October 14, 2003 in filed on behalf of workers at Authentic Alaska. response to a petition filed by the South Fitness Corporation, Commerce, All workers were separated from the Coast Business Employment California. subject firm more than one year before Corporation on behalf of workers at The petitioning group of workers is the date of the petition. Section 223(b) Nighswonger Contract Cutting, Coquille, covered by an earlier petition filed on of the Act specifies that no certification Oregon. October 1, 2003 (TA–W–53,132) that is may apply to any worker whose last the subject of an ongoing investigation separation occurred more than one year The petitioner has requested that the for which a determination has not yet before the date of the petition. petition be withdrawn. Consequently, been issued. Further investigation in Consequently, further investigation in the investigation has been terminated. this case would duplicate efforts and this case would serve no purpose, and Signed in Washington, DC this 14th day of serve no purpose; therefore the the investigation has been terminated. November 2003. Richard Church, investigation under this petition has Signed at Washington, DC this 12th day of been terminated. November 2003. Certifying Officer, Division of Trade Signed at Washington, DC this 13th day of Linda G. Poole, Adjustment Assistance. November, 2003. Certifying Officer, Division of Trade [FR Doc. 03–31530 Filed 12–22–03; 8:45 am] Linda G. Poole, Adjustment Assistance. BILLING CODE 4510–30–P Certifying Officer, Division of Trade [FR Doc. 03–31532 Filed 12–22–03; 8:45 am] Adjustment Assistance. BILLING CODE 4510–30–P [FR Doc. 03–31535 Filed 12–22–03; 8:45 am] DEPARTMENT OF LABOR BILLING CODE 4510–30–P Employment and Training DEPARTMENT OF LABOR Administration DEPARTMENT OF LABOR Employment and Training Administration [TA–W–53,191] Employment and Training [TA–W–53,398] Administration Snap-Tite, Inc., dba Autoclave Engineers Division, Erie, PA; Notice of Lumenis, Santa Clara, CA; Notice of [TA–W–53,179] Termination of Investigation Termination of Investigation Kulicke & Soffa Industries, Inc., Willow Pursuant to section 221 of the Trade Pursuant to section 221 of the Trade Grove, PA; Notice of Termination of Act of 1974, as amended, an Investigation Act of 1974, as amended, an investigation was initiated on October investigation was initiated on October 8, Pursuant to section 221 of the Trade 31, 2003, in response to a petition filed 2003 in response to a worker petition Act of 1974, an investigation was on behalf of workers at Lumenis, Santa filed by a company official on behalf of initiated on October 8, 2003 in response Clara, California. The workers produced workers at Snap-tite, Inc., dba Autoclave to a petition filed by a company official medical laser systems and fiber optic Engineers Division, Erie, Pennsylvania. on behalf of workers at Kulicke & Soffa hand-pieces. The petitioner has requested that the Industries, Inc., Willow Grove, The petition regarding the petition be withdrawn. Consequently, Pennsylvania. investigation has been deemed invalid. the investigation has been terminated.

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Signed at Washington, DC this 14th day of Consequently, further investigation in OSHA Docket Office, Docket No. ICR– November, 2003. this case would serve no purpose, and 1218–0197 (2004), Room N–2625, U.S. Richard Church, the investigation has been terminated. Department of Labor, 200 Constitution Certifying Officer, Division of Trade Signed at Washington, DC this 12th day of Avenue, NW., Washington, DC 20210. Adjustment Assistance. November 2003. OSHA Docket Office and Department of [FR Doc. 03–31529 Filed 12–22–03; 8:45 am] Linda G. Poole, Labor hours of operation are 8:15 a.m. BILLING CODE 4510–30–P Certifying Officer, Division of Trade to 4:45 p.m. EST. Adjustment Assistance. Facsimile: If your comments, DEPARTMENT OF LABOR [FR Doc. 03–31531 Filed 12–22–03; 8:45 am] including any attachments, are 10 pages BILLING CODE 4510–30–P or fewer, you may fax them to the OSHA Employment and Training Docket Office at (202) 693–1648. You Administration must include the docket number of this DEPARTMENT OF LABOR document, Docket No. ICR–1218–0197 [TA–W–53,459] (2004), in your comments. Occupational Safety and Health SPX, Lindberg Division, Watertown, Administration Electronic. You may submit WI; Notice of Termination of comments, but not attachments, through Investigation [Docket No. ICR–1218–0197 (2004)] the Internet at http:// ecomments.osha.gov. Pursuant to section 221 of the Trade Construction Fall Protection Plans and Act of 1974, as amended, an Training Requirements (29 CFR II. Obtaining Copies of Supporting investigation was initiated on November 1926.502 and 1926.503); Extension of Statement for the Information Collection 6, 2003 in response to a worker petition the Office of Management and filed on behalf of workers at SPX, Budget’s (OMB) Approval of The Supporting Statement for the Lindberg Division, Watertown, Information Collection (Paperwork) Information Collection is available for Wisconsin. Requirements downloading from OSHA’s Web site at The petitioning group of workers is http://www.osha.gov. The supporting AGENCY: Occupational Safety and Health covered by an earlier petition instituted statement is available for inspection and Administration (OSHA), Labor. on October 31, 2003 (TA–W–53,399) copying in the OSHA Docket Office, at that is the subject of an ongoing ACTION: Request for comment. the address listed above. A printed copy investigation for which a determination SUMMARY: OSHA solicits comments of the supporting statement can be has not yet been issued. Further concerning its proposal to extend OMB obtained by contacting Todd Owen at investigation in this case would approval of the information collection (202) 693–2222. duplicate efforts and serve no purpose; requirement contained in the therefore the investigation under this FOR FURTHER INFORMATION CONTACT: construction standard for fall protection. petition has been terminated. Noah Connell, Directorate of The Standard allows employers to Construction, OSHA, U.S. Department Signed at Washington, DC this 14th day of develop alternative procedures to the of Labor, Room N–3467, 200 November 2003. use of conventional fall protection Constitution Avenue, NW., Washington, Richard Church, systems when the systems are infeasible DC 20210; telephone: (202) 693–2020. Certifying Officer, Division of Trade or create a greater hazard. The Adjustment Assistance. alternative procedures (plan) must be SUPPLEMENTARY INFORMATION: [FR Doc. 03–31536 Filed 12–22–03; 8:45 am] written. Also, employers who use safety I. Submission of Comments on This BILLING CODE 4510–30–P net systems may certify that the Notice and Internet Access to installation meets the standard’s criteria Comments and Submissions in lieu of performing a drop-test on the DEPARTMENT OF LABOR net. In addition, employers are required You may submit comments in to prepare training certification records response to this document by (1) hard Employment and Training for their employees. The plan and copy, (2) FAX transmission (facsimile), Administration certification records ensure that or (3) electronically through the OSHA [TA–W–53,368] employers comply with the webpage. Please note you cannot attach requirements to protect workers from materials such as studies or journal Fishing Vessel (F/V) Susan Tendering, falls, which account for the largest articles to electronic comments. If you Kodiak, AK; Notice of Termination of number of fatalities among construction have additional materials, you must Investigation workers. submit three copies of them to the Pursuant to section 221 of the Trade DATES: Comments must be submitted by OSHA Docket Office at the address Act of 1974, as amended, an the following dates: above. The additional materials must investigation was initiated on October Hard Copy: Your comments must be clearly identify your electronic 29, 2003 in response to a petition filed submitted by (postmarked or received) comments by name, date, subject and by a company official on behalf of by February 23, 2004. docket number so we can attach them to workers of F/V Susan Tendering, Facsimile and electronic your comments. Because of security- Kodiak, Alaska. transmission: Your comments must be related problems there may be a All workers were separated from the received by February 23, 2004. significant delay in the receipt of subject firm more than one year before ADDRESSES: comments by regular mail. Please the date of the petition. Section 223(b) contact the OSHA Docket Office at (202) of the Act specifies that no certification I. Submission of Comments 693–2350 for information about security may apply to any worker whose last Regular mail, express delivery, hand- procedures concerning the delivery of separation occurred more than one year delivery, and messenger service: Submit materials by express delivery, hand before the date of the petition. your comments and attachments to the delivery and messenger service.

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II. Background including whether the information is Signed at Washington, DC on December 17, useful; 2003. The Department of Labor, as part of its • The accuracy of OSHA’s estimate of John L. Henshaw, continuing effort to reduce paperwork the burden (time and costs) of the Assistant Secretary of Labor. and respondent (i.e. employer) burden, information collection requirements, [FR Doc. 03–31550 Filed 12–22–03; 8:45 am] conducts a preclearance consultation including the validity of the BILLING CODE 4510–26–M program to provide the public with an methodology and assumptions used; opportunity to comment on proposed • The quality, utility, and clarity of and continuing information collection the information collected; and requirements in accordance with the NATIONAL FOUNDATION FOR THE • Ways to minimize the burden on Paperwork Reduction Act of 1995 ARTS AND HUMANITIES employers who must comply; for (PRA–95) (44 U.S.C. 3506(c)(2)(A)). example, by using automated or other Study of IMLS Funded Digital This program ensures that technological information collection Collections and Content—Focus information is in the desired format, and transmission techniques. Groups, Submission for OMB Review, reporting burden (time and cost) is Comment Request minimal, collection instruments are IV. Proposed Actions AGENCY: Institute of Museum and clearly understood, and OSHA’s OSHA is proposing to extend the Library Services, NFAH. estimate of the information collection information collection requirements in burden is correct. The Occupational the Construction Fall Protection Plans ACTION: Notice of requests for new Safety and Health Act of 1970 (the Act) and Records (29 CFR 1926.502 and information collection approval. authorizes information collection by 1926.503). The Agency is proposing to SUMMARY: The Institute of Museum and employers as necessary or appropriate increase the burden by 149,895 hours, Library Services announces the for enforcement of the Act or for from 771,166 hours to 921,061 hours, following information collection has developing information regarding the mainly as a result of increasing the been submitted to the Office of causes and prevention of occupational estimated number of fall protection Management and Budget for review and injuries, illnesses, and accidents (29 plans. The fall protection plan and approval in accordance with the U.S.C. 657). certification records of net drop test and Paperwork Reduction Act of 1995 (Pub. The standards on Construction Fall training are needed to help employees L. 104–13, 44 U.S.C. Chapter 35). A Protection Systems Criteria and Practice identify fall hazards and to know which copy of this proposed information (29 CFR 1926.502) and Training protective measures are to be used. collection request, with applicable Requirements (29 CFR 1926.503) ensure OSHA will summarize the comments supporting documentation, may be that employers provide the required fall submitted in response to this notice, obtained by calling the Institute of protection for their employees. and will include this summary in the Museum and Library Services, Director Accordingly, these standards have the request to OMB to extend the approval of Research and Technology, Rebecca following paperwork requirements: of the information collection Danvers at (202) 606–2478. Individuals Paragraphs (c)(4)(ii) and (k) of 29 CFR requirements contained in the who use a telecommunications device 1926.502, which specify certification of Construction Fall Protection Plans and for the deaf (TTY/TDD) may call (202) safety nets and development of fall- Records Standard. 606–8636. protection plans, respectively, and Type of Review: Extension of a DATES: Comments must be received by paragraph (b) of 29 CFR 1926.502, currently-approved information January 22, 2004. The OMB is which requires employers to certify collection requirement. particularly interested in comments training records. The training- Title: Construction Fall Protection which: certification requirement specified in Plans and Training Requirements in • Evaluate whether the proposed paragraph (b) of 29 CFR 1926.503 Construction (29 CFR 1926.502 and collection of information is necessary documents the training provided to 1926.503). for the proper performance of the employees potentially exposed to fall OMB Number: 1218–0197. functions of the agency, including hazards. A competent person must train Affected Public: Business or other for- whether the information will have these employees to recognize fall profit. practical utility; hazards and in the use of procedures Number of Respondents: 100,080. • Evaluate the accuracy of the and equipment that minimize these Frequency: On occasion. agency’s estimate of the burden of the hazards. An employer must verify Average Time Per Response: Varies proposed collection of information, compliance with this training (i.e., 5 minutes (.08 hour) to certify a including the validity of the requirement by preparing and safety net to 65 minutes to develop and methodology and assumptions used; maintaining a written certification write a fall-protection plan). • Enhance the quality, utility, and record that contains the: Name or other Estimated Total Burden Hours: clarity of the information to be identifier of the employee receiving the 921,061. collected; and training; the date(s) of the training; and Estimated Cost (Operation and • Minimize the burden of the the signature of the competent person Maintenance): 0. collection of information on those who who conducted the training or of the are to respond, including through the employer. V. Authority and Signature use of appropriate automated, III. Special Issues for Comment John L. Henshaw, Assistant Secretary electronic, mechanical, or other of Labor for Occupational Safety and technological collection techniques or OSHA has a particular interest in Health, directed the preparation of this other forms of information technology, comments on the following issues: notice. The authority for this notice is e.g., permitting electronic submission of • Whether the proposed information the Paperwork Reduction Act of 1995 responses. collection requirements are necessary (44 U.S.C. 3506), and Secretary of ADDRESSES: For a copy of the for the proper performance of the Labor’s Order No. 5–2002 (67 FR information collection request contact: Agency’s functions to protect workers, 65008). Rebecca Danvers, Director of Research

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and Technology, Institute of Museum NUCLEAR REGULATORY proportionately increased. Regulatory and Library Services, 1100 Pennsylvania COMMISSION guidance relative to methodology to be Ave., NW., Room 223, Washington, DC utilized to establish whether the 20506. [Docket No. 50–305] radwaste effluent releases from a pressurized-water reactor meet the SUPPLEMENTARY INFORMATION: Nuclear Management Company, LLC, requirements of 10 CFR part 20 and 10 Kewaunee Nuclear Power Plant; I. Background CFR part 50, appendix I, is provided in Environmental Assessment and The Institute of Museum and Library NUREG–0017, Revision 1. The NUREG– Finding of No Significant Impact Services is an independent Federal 0017 methodology is independent of the grant-making agency authorized by the The U.S. Nuclear Regulatory length of the fuel cycle. Museum and Library Services Act, Commission (NRC) is considering The maximum expected increase in Public Law 104–208. The IMLS issuance of an amendment to Facility the reactor coolant source (associated provides a variety of grant programs to Operating License No. DPR–43, issued with the chemical group with the largest assist the nation’s museums and to Nuclear Management Company, LLC percentage increase) is approximately libraries in improving their operations (the licensee), for operation of the 17.6 percent for noble gas activity. This and enhancing their services to the Kewaunee Nuclear Power Plant, located increase is primarily a combination of public. Museums and libraries of all in Kewaunee County, Wisconsin. the impact of core power uprate and sizes and types may receive support Therefore, as required by 10 CFR 51.21, reduction in reactor coolant system from IMLS programs. In the National the NRC is issuing this environmental (RCS) mass. Considering the accuracy Leadership Grant Program, IMLS funds assessment and finding of no significant and error bounds of the operational data the digitization of library and museum impact. utilized in NUREG–0017, this collections. percentage change is well within the This study is to determine the Environmental Assessment uncertainty of the existing NUREG– feasibility of using the Open Archives Identification of the Proposed Action 0017-based expected reactor coolant Initiative (OAI) Metadata Harvesting isotopic inventory used for radwaste Protocol to aggregate and provide The proposed action would revise the effluent analyses and corrected for a integrated item-level search access to Kewaunee Nuclear Power Plant facility with this power rating. the digitization projects funded by the operating license and technical As discussed above, there is Institute of Museum and Library specifications (TSs) to increase the approximately a 17.6 percent increase Services through the National licensed rated power by 6.0 percent assumed for the liquid releases as input Leadership Grant Program. from 1673 megawatts thermal (MWt) to activities are based on the largest long- 1772 MWt. term RCS activity increase for any II. Current Action The proposed action is in accordance chemical grouping and on waste To develop an effective Open with the licensee’s application dated volumes which are essentially Archives Initiative metada harvesting May 22, 2003. independent of power level within the applicability range of NUREG–0017. protocol information will be collected The Need for the Proposed Action from focus groups of resource Tritium releases in liquid effluents are developers. The proposed action permits an assumed to increase approximately 11.4 Agency: Institute of Museum and increase in the licensed core thermal percent (corresponding to the effective Library Services power from 1673 MWt to 1772 MWt for increase in core power) since the facility Title: Study of IMLS Funded Digital the Kewaunee Nuclear Power Plant, is changing its power rating, without Collections and Content providing the flexibility to obtain a changing its operational procedures. OMB Number: none. higher electrical output from the However, for all liquid releases, the Agency Number: 3137. Kewaunee Nuclear Power Plant with power uprate analysis conservatively Frequency: Once. minimal modifications. used the worst case scaling factor for all isotopes between the pre-uprate case Affected Public: Museums and Environmental Impacts of the Proposed and the uprate case. libraries that created digital collections Action with IMLS funding. For all noble gases (limiting chemical Number of Respondents: 20, in two The licensee has submitted an group), there will be a maximum 17.6 focus groups. environmental evaluation supporting percent increase in effluent releases due Estimated Time Per Respondent: 1.5 the proposed stretch power uprate and to the core power uprate. Gaseous hours. provided a summary of its conclusions releases of Kr-85 in actuality will Total Burden Hours: 30. concerning the radiological and non- increase by approximately 11.4 percent. Total Annualized capital/startup radiological environmental impacts of Isotopes with shorter half lives will costs: n/a. the proposed action. have increases slightly greater than the Total Costs: $1,125. percentage increase in power level. The Radiological Environmental decrease in RCS mass (approximately 5 FOR FURTHER INFORMATION CONTACT: Assessment Comments should be sent to the Office percent) contributes to the increased of Information and Regulatory Affairs, The stretch power uprate will concentration of this chemical group in Attn.: OMB Desk Officer for Education, increase the activity level of radioactive the RCS (the primary removal term for Office of Management and Budget, isotopes in the primary and secondary the non-Kr-85 noble gases is decay in Room 10235, Washington, DC 20503 coolant. Due to leakage or process the RCS) such that the impact of power (202) 395–7316. operations, fractions of these fluids are uprate is conservatively approximated transported to the liquid and gaseous at 17.6 percent. The impact of the power Dated: December 17, 2003. radwaste systems where they are uprate in iodine releases is Rebecca Danvers, processed prior to discharge. As the approximated by the power level Director, Research and Technology. activity levels in the primary and increase. The other components of the [FR Doc. 03–31518 Filed 12–22–03; 8:45 am] secondary coolant are increased, the gaseous release (that is, particulates via BILLING CODE 7036–01–M activity level of radwaste inputs is the building ventilation systems and

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water activation gases) are not impacted exposures will be maintained within nonradiological plant effluents and has by the power uprate using the acceptable limits by the site as-low-as- no other environmental impact. methodology outlined in NUREG–0017. is-reasonably-achievable program that Therefore, there are no significant Tritium releases in the gaseous effluents controls access to radiation areas. The nonradiological environmental impacts increase in proportion to the increased licensee stated that the stretch power associated with the proposed action. tritium production, which is directly uprate has no significant effect on Accordingly, the NRC concludes that related to core power and is pathway normal plant operation radiation zones there are no significant environmental allocated in the analysis in the same and shielding requirements. impacts associated with the proposed ratio as pre-power uprate releases. For Following the power uprate, the action. particulates, the methodology of licensee stated that the post-LOCA vital NUREG–0017 specifies the release rate area operator dose estimates will remain Environmental Impacts of the per year per unit per building within the regulatory limits of NUREG– Alternatives to the Proposed Action ventilation system. This is not 0578, Item 2.1.6.b and NUREG–0737 As an alternative to the proposed dependent on power level. Thus, there II.B.2 and II.B.3. action, the staff considered denial of the is no change calculated for the power Non-Radiological Environmental proposed action (i.e., the ‘‘no-action’’ uprate. However, a 17.6 percent increase Assessment alternative). Denial of the application will be conservatively addressed. would result in no change in current The licensee assessment included The maximum increase in doses for environmental impacts. The determining whether the power uprate gaseous and liquid effluents is estimated environmental impacts of the proposed will cause the plant to exceed the to be 17.6 percent. The estimated doses action and the alternative action are National Pollutant Discharge are a very small fraction of that similar. allowable under appendix I. Elimination System (NPDES) permits’ Only minor, if any, changes in waste effluent discharge limitations and other Alternative Use of Resources generation volume are expected. conditions associated with operation of The action does not involve the use of However, it is expected that the activity the plant. This review is based upon any different resource than those levels for most of the solid waste would information contained in the State of previously considered in the Final increase proportionately to the increase Wisconsin, Department of Natural Environmental Statement for the in long half life coolant activity. Thus, Resources (WDNR), WPDES Permit No. Kewaunee Nuclear Power Plant, dated while the total longlived activity WI–0001571–06–0 and the Final December 1972. contained in the waste is expected to be Environmental Statement for the bounded by the percentage of the power Kewaunee Nuclear Power Plant. The Agencies and Persons Consulted uprate, the increase in the overall WPDES permit was effective beginning On November 4, 2003, the staff volume of waste generation resulting on August 1, 2002, and expires June 30, consulted with the Wisconsin State from the power uprate is expected to be 2005. The licensee stated that there are official, Jeff Kitzembul of the Public minor. no requirements in the NPDES Permit Service Commission—Electric Division, The licensee stated that the power impacted by the power uprate. regarding the environmental impact of uprate has no significant impact on the Circulating water outlet temperature rise the proposed action. The State official expected annual radwaste effluent increases by approximately 1.5 °F due to had no comments. releases or doses (that is, all doses the power uprate. The total temperature remain a small percentage of allowable rise across the condenser would be 16.7 Finding of No Significant Impact Appendix I doses). The licensee °F. No change in the circulating water On the basis of the environmental concluded that following the power flow is required due to the power assessment, the NRC concludes that the uprate, the liquid and gaseous radwaste uprate. The 1.5 °F increase in the proposed action will not have a effluent treatment system will remain circulating water outlet temperature rise significant effect on the quality of the capable of maintaining normal is acceptable because it is within the human environment. Accordingly, the operation offsite doses within the licensee’s WPDES Permit No. WI– NRC has determined not to prepare an requirements of 10 CFR Part 50, 0001571–06–0. Appendix I. environmental impact statement for the Summary proposed action. Dose Consideration The NRC has completed its evaluation For further details with respect to the The stretch power uprate will impact of the proposed action and concludes proposed action, see the licensee’s letter the radiation source terms in the core that there are no significant dated May 22, 2003. Documents may be and the expected radiation source terms environmental impacts associated with examined, and/or copied for a fee, at the in the coolant. The actual increase in the proposed action. NRC’s Public Document Room (PDR), radiation levels due to the power uprate The proposed action will not located at One White Flint North, Public will not significantly affect radiation significantly increase the probability or File Area O1 F21, 11555 Rockville Pike zoning or shielding requirements in the consequences of accidents, no changes (first floor), Rockville, Maryland. various areas of the plant because it is are being made in the types of effluents Publicly available records will be expected that the increase due to the that may be released off site, and there accessible electronically from the power uprate will be offset by (1) the is no significant increase in Agencywide Documents Access and conservative analytical techniques occupational or public radiation Management System (ADAMS) Public typically used to establish shielding exposure. Therefore, there are no Electronic Reading Room on the Internet requirements, (2) the conservatism in significant radiological environmental at the NRC Web site, http:// the pre-power uprate design-basis RCS impacts associated with the proposed www.nrc.gov/reading-rm/adams.html. source terms used to establish the action. Persons who do not have access to radiation zones, and (3) the plant TSs With regard to potential ADAMS or who encounter problems in that limit the RCS concentrations to nonradiological impacts, the proposed accessing the documents located in levels well below the design-basis action does not have a potential to affect ADAMS, should contact the NRC PDR source terms. Individual worker any historic sites. It has a small affect on Reference staff by telephone at 1–800–

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397–4209 or 301–415–4737, or by e-mail and § 9.107(a) of the Commission’s rules biweekly notice was published on to [email protected]. that ‘‘Affirmation of (1) SECY–03–0195 December 9, 2003 (68 FR 68654). (Final Rule: 10 CFR Part 50, Financial Dated at Rockville, Maryland, this 16th day Notice of Consideration of Issuance of Information Requirements for of December 2003. Amendments to Facility Operating Applications to Renew of Extend the For the Nuclear Regulatory Commission. Licenses, Proposed No Significant Term of an Operating License for a L. Raghavan, Hazards Consideration Determination, Power Reactor); and (2) SECY–03–0211 and Opportunity for a Hearing Chief, Section 1, Project Directorate III, (Dominion Nuclear Connecticut, Inc., Division of Licensing Project Management, The Commission has made a Office of Nuclear Reactor Regulation. Millstone Nuclear Power Station, Unit 2)’’ be held on December 18, and on less proposed determination that the [FR Doc. 03–31577 Filed 12–22–03; 8:45 am] than one week’s notice to the public. following amendment requests involve BILLING CODE 7590–01–P The NRC Commission Meeting no significant hazards consideration. Schedule can be found on the Internet Under the Commission’s regulations in at: http://www.nrc.gov/what-we-do/ 10 CFR 50.92, this means that operation NUCLEAR REGULATORY policy-making/schedule.html. of the facility in accordance with the COMMISSION This notice is distributed by mail to proposed amendment would not (1) Sunshine Notice several hundred subscribers; if you no involve a significant increase in the longer wish to receive it, or would like probability or consequences of an AGENCY: Nuclear Regulatory to be added to the distribution, please accident previously evaluated; or (2) Commission. contact the Office of the Secretary, create the possibility of a new or Washington, DC 20555, (301) 415–1969. different kind of accident from any DATES: Weeks of December 22, 29, 2003, In addition, distribution of this meeting accident previously evaluated; or (3) January 5, 12, 19, 26, 2004. notice over the Internet system is involve a significant reduction in a PLACE: Commissioners’ Conference available. If you are interested in margin of safety. The basis for this Room, 11555 Rockville Pike, Rockville, receiving this Commission meeting proposed determination for each Maryland. schedule electronically, please send an amendment request is shown below. STATUS: Public and closed. electronic message to [email protected]. The Commission is seeking public MATTERS TO BE CONSIDERED: Dated: December 18, 2003. comments on this proposed determination. Any comments received Timothy J. Frye, Week of December 22, 2003 within 30 days after the date of Technical Coordinator, Office of the publication of this notice will be There are no meetings scheduled for Secretary. the Week of December 22, 2003. considered in making any final [FR Doc. 03–31669 Filed 12–19–03; 11:02 determination. Week of December 29, 2003—Tentative am] Normally, the Commission will not There are no meetings scheduled for BILLING CODE 7590–01–M issue the amendment until the the Week of December 29, 2003. expiration of the 30-day notice period. However, should circumstances change Week of January 5, 2004—Tentative NUCLEAR REGULATORY COMMISSION during the notice period such that There are no meetings scheduled for failure to act in a timely way would the Week of January 5, 2004. Biweekly Notice; Applications and result, for example, in derating or shutdown of the facility, the Week of January 12, 2004—Tentative Amendments to Facility Operating Licenses Involving No Significant Commission may issue the license Wednesday, January 14, 2004 Hazards Considerations amendment before the expiration of the 30-day notice period, provided that its 9:30 a.m. Briefing on Status of Office Background final determination is that the of Chief Information Officer amendment involves no significant Programs, Performance, and Plans Pursuant to Public Law 97–415, the hazards consideration. The final (Public Meeting) (Contact: U.S. Nuclear Regulatory Commission determination will consider all public Jacqueline Silber, 301–415–7330) (the Commission or NRC staff) is publishing this regular biweekly notice. and State comments received before This meeting will be webcast live at Public Law 97–415 revised section 189 action is taken. Should the Commission the Web address http://www.nrc.gov. of the Atomic Energy Act of 1954, as take this action, it will publish in the Week of January 19, 2004—Tentative amended (the Act), to require the Federal Register a notice of issuance Commission to publish notice of any and provide for opportunity for a Wednesday, January 21, 2004 amendments issued, or proposed to be hearing after issuance. The Commission 1:30 p.m. Discussion of Security Issues issued, under a new provision of section expects that the need to take this action (Closed—Ex. 1) 189 of the Act. This provision grants the will occur very infrequently. Commission the authority to issue and Written comments may be submitted Week of January 26, 2004—Tentative make immediately effective any by mail to the Chief, Rules and There are no meetings scheduled for amendment to an operating license Directives Branch, Division of the Week of January 26, 2004. upon a determination by the Administrative Services, Office of The schedule for Commission Commission that such amendment Administration, U.S. Nuclear Regulatory meetings is subject to change on short involves no significant hazards Commission, Washington, DC 20555– notice. To verify the status of meetings consideration, notwithstanding the 0001, and should cite the publication call (recording)—(301) 415–1292. pendency before the Commission of a date and page number of this Federal Contact person for more information: request for a hearing from any person. Register notice. Written comments may Timothy J. Frye, (301) 415–1651. This biweekly notice includes all also be delivered to Room 6D22, Two Additional Information: By a vote of notices of amendments issued, or White Flint North, 11545 Rockville 3–0 on December 17, the Commission proposed to be issued from November Pike, Rockville, Maryland, from 7:30 determined pursuant to U.S.C. 552b(e) 27 through December 11, 2003. The last a.m. to 4:15 p.m. Federal workdays.

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Copies of written comments received admitted as a party may amend the A request for a hearing or a petition may be examined at the Commission’s petition without requesting leave of the for leave to intervene must be filed with Public Document Room (PDR), located Board up to 15 days prior to the first the Secretary of the Commission, U.S. at One White Flint North, Public File prehearing conference scheduled in the Nuclear Regulatory Commission, Area 01F21, 11555 Rockville Pike (first proceeding, but such an amended Washington, DC 20555–0001, Attention: floor), Rockville, Maryland. The filing of petition must satisfy the specificity Rulemaking and Adjudications Staff, or requests for a hearing and petitions for requirements described above. may be delivered to the Commission’s leave to intervene is discussed below. Not later than 15 days prior to the first PDR, located at One White Flint North, By January 22, 2004, the licensee may prehearing conference scheduled in the Public File Area 01F21, 11555 Rockville file a request for a hearing with respect proceeding, a petitioner shall file a Pike (first floor), Rockville, Maryland, to issuance of the amendment to the supplement to the petition to intervene subject facility operating license and which must include a list of the by the above date. Because of any person whose interest may be contentions which are sought to be continuing disruptions in delivery of affected by this proceeding and who litigated in the matter. Each contention mail to United States Government wishes to participate as a party in the must consist of a specific statement of offices, it is requested that petitions for proceeding must file a written request the issue of law or fact to be raised or leave to intervene and requests for for a hearing and a petition for leave to controverted. In addition, the petitioner hearing be transmitted to the Secretary intervene. Requests for a hearing and a shall provide a brief explanation of the of the Commission either by means of petition for leave to intervene shall be bases of the contention and a concise facsimile transmission to 301–415–1101 filed in accordance with the statement of the alleged facts or expert or by e-mail to [email protected]. Commission’s ‘‘Rules of Practice for opinion which support the contention A copy of the request for hearing and Domestic Licensing Proceedings’’ in 10 and on which the petitioner intends to petition for leave to intervene should CFR part 2. Interested persons should rely in proving the contention at the also be sent to the Office of the General consult a current copy of 10 CFR 2.714, hearing. The petitioner must also Counsel, U.S. Nuclear Regulatory which is available at the Commission’s provide references to those specific Commission, Washington, DC 20555– PDR, located at One White Flint North, sources and documents of which the 0001, and because of continuing Public File Area 01F21, 11555 Rockville petitioner is aware and on which the disruptions in delivery of mail to United Pike (first floor), Rockville, Maryland. petitioner intends to rely to establish States Government offices, it is Publicly available records will be those facts or expert opinion. Petitioner requested that copies be transmitted accessible from the Agencywide must provide sufficient information to either by means of facsimile Documents Access and Management show that a genuine dispute exists with transmission to 301–415–3725 or by e- System’s (ADAMS) Public Electronic the applicant on a material issue of law Reading Room on the Internet at the or fact. Contentions shall be limited to mail to [email protected]. A copy NRC Web site, http://www.nrc.gov/ matters within the scope of the of the request for hearing and petition reading-rm/doc-collections/cfr/. If a amendment under consideration. The for leave to intervene should also be request for a hearing or petition for contention must be one which, if sent to the attorney for the licensee. leave to intervene is filed by the above proven, would entitle the petitioner to Nontimely filings of petitions for date, the Commission or an Atomic relief. A petitioner who fails to file such leave to intervene, amended petitions, Safety and Licensing Board, designated a supplement which satisfies these supplemental petitions and/or requests by the Commission or by the Chairman requirements with respect to at least one for a hearing will not be entertained of the Atomic Safety and Licensing contention will not be permitted to absent a determination by the Board Panel, will rule on the request participate as a party. Commission, the presiding officer or the and/or petition; and the Secretary or the Those permitted to intervene become Atomic Safety and Licensing Board that parties to the proceeding, subject to any designated Atomic Safety and Licensing the petition and/or request should be Board will issue a notice of a hearing or limitations in the order granting leave to granted based upon a balancing of an appropriate order. intervene, and have the opportunity to As required by 10 CFR 2.714, a participate fully in the conduct of the factors specified in 10 CFR petition for leave to intervene shall set hearing, including the opportunity to 2.714(a)(1)(i)–(v) and 2.714(d). forth with particularity the interest of present evidence and cross-examine For further details with respect to this the petitioner in the proceeding, and witnesses. action, see the application for how that interest may be affected by the If a hearing is requested, the amendment which is available for results of the proceeding. The petition Commission will make a final public inspection at the Commission’s should specifically explain the reasons determination on the issue of no PDR, located at One White Flint North, why intervention should be permitted significant hazards consideration. The Public File Area 01F21, 11555 Rockville with particular reference to the final determination will serve to decide Pike (first floor), Rockville, Maryland. following factors: (1) The nature of the when the hearing is held. Publicly available records will be petitioner’s right under the Act to be If the final determination is that the accessible from the Agencywide made a party to the proceeding; (2) the amendment request involves no Documents Access and Management nature and extent of the petitioner’s significant hazards consideration, the System’s (ADAMS) Public Electronic property, financial, or other interest in Commission may issue the amendment Reading Room on the Internet at the the proceeding; and (3) the possible and make it immediately effective, effect of any order which may be notwithstanding the request for a NRC Web site, http://www.nrc.gov/ entered in the proceeding on the hearing. Any hearing held would take reading-rm/adams.html. If you do not petitioner’s interest. The petition should place after issuance of the amendment. have access to ADAMS or if there are also identify the specific aspect(s) of the If the final determination is that the problems in accessing the documents subject matter of the proceeding as to amendment request involves a located in ADAMS, contact the NRC which petitioner wishes to intervene. significant hazards consideration, any PDR Reference staff at 1–800–397–4209, Any person who has filed a petition for hearing held would take place before 301–415–4737 or by e-mail to leave to intervene or who has been the issuance of any amendment. [email protected].

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Carolina Power & Light Company, Society of Mechanical Engineers (ASME) the requested change does not involve a Docket No. 50–261, H. B. Robinson Code, Section XI, and the Maintenance Rule significant hazards consideration. (10 CFR 50.65) provide a high degree of Steam Electric Plant, Unit No. 2, The NRC staff has reviewed the Darlington County, South Carolina assurance that the containment vessel will not degrade in a manner that is detectable licensee’s analysis and, based on this Date of amendment request: June 11, only by Type A testing. Therefore, the review, it appears that the three 2003, as supplemented by letter dated proposed TS change does not involve a standards of 10 CFR 50.92(c) are August 20, 2003, and October 13, 2003. significant increase in the consequences of an satisfied. Therefore, the NRC staff Description of amendment request: accident previously evaluated. proposes to determine that the The proposed amendment would Therefore, this change does not involve a amendment request involves no modify Technical Specification (TS) significant increase in the probability or significant hazards consideration. consequences of an accident previously Attorney for licensee: Steven R. Carr, 5.5.16, ‘‘Containment Leakage Rate evaluated. Testing Program’’ to allow a one-time 2. The Proposed Change Does Not Create Associate General Counsel—Legal extension of the containment Type A the Possibility of a New or Different Kind of Department, Progress Energy Service leak rate test interval from once in 10 Accident From Any Previously Evaluated. Company, LLC, Post Office Box 1551, years to once in 15 years. The proposed change to TS 5.5.16 provides Raleigh, North Carolina 27602. Basis for proposed no significant a one-time extension of the containment NRC Section Chief: Allen G. Howe. hazards consideration determination: Type A test interval to 15 years for HBRSEP, Unit No. 2. The proposed change to the Type Duke Energy Corporation, et al., Docket As required by 10 CFR 50.91(a), the Nos. 50–413 and 50–414, Catawba licensee has provided its analysis of the A test interval does not result in any physical changes to HBRSEP, Unit No. 2. In addition, Nuclear Station, Units 1 and 2, York issue of no significant hazards the proposed test interval extension does not County, South Carolina consideration, which is presented change the operation of HBRSEP, Unit No. 2, below: such that a failure mode involving the Date of amendment request: March 20, 2003. 1. The Proposed Change Does Not Involve possibility of a new or different kind of a Significant Increase in the Probability or accident from any accident previously Description of amendment request: Consequences of an Accident Previously evaluated is created. The amendments would revise the Evaluated. Therefore, this change does not create the Technical Specifications to update the The proposed change to TS 5.5.16 provides possibility of a new or different kind of heatup, cooldown, criticality, and a one-time extension of the containment accident from any accident previously inservice test pressure and temperature Type A test interval to 15 years for HBRSEP evaluated. limits for the reactor coolant system. (H. B. Robinson Steam Electric Plant), Unit 3. The Proposed Change Does Not Involve Basis for proposed no significant No. 2. The proposed TS change does not a Significant Reduction in the Margin of Safety. hazards consideration determination: involve a physical change to the plant or a As required by 10 CFR 50.91(a), the change in the manner in which the plant is The proposed change to TS 5.5.16 provides operated or controlled. The containment a one-time extension of the containment licensee has provided its analysis of the vessel is designed to provide a leak-tight Type A test interval to 15 years for HBRSEP, issue of no significant hazards barrier against the uncontrolled release of Unit No. 2. The NUREG–1493 study of the consideration, which is presented radioactivity to the environment in the effects of extending containment leak rate below: unlikely event of postulated accidents. As testing found that a 20 year extension for such, the containment vessel is not Type A testing resulted in an imperceptible First Standard considered as the initiator of an accident. increase in risk to the public. NUREG–1493 Does operation of the facility in accordance Therefore, the proposed TS change does not found that, generically, the design with the proposed amendment involve a involve a significant increase in the containment leak rate contributes a very significant increase in the probability or probability of an accident previously small amount to the individual risk, and that consequences of an accident previously evaluated. the decrease in Type A testing frequency evaluated. The proposed change involves only a one- would have a minimal affect on this risk, Response: No. time change to the interval between since most potential leak paths are detected The proposed changes to the reactor containment Type A tests. Types B and C by Type B and C testing. coolant system (RCS) pressure-temperature leakage testing will continue to be performed The proposed change only involves a one- (P/T) limits are developed utilizing the at the intervals specified in 10 CFR part 50, time extension of the interval for methodology of ASME (American Society of Appendix J, Option A, as required by the containment Type A testing; the overall Mechanical Engineers) XI, 10 CFR (part) 50 HBRSEP, Unit No. 2, TS. As documented in containment leak rate specified by the Appendix G, in conjunction with the NUREG–1493, ‘‘Performance-Based HBRSEP, Unit No. 2, TS is being maintained. methodology of Code Case N–640. Usage of Containment Leakage-Test Program,’’ Type B and C testing will continue to be these methodologies provides compliance industry experience has shown that Types B performed at the frequency required by the with the underlying intent of 10 CFR (part) and C containment leak rate tests have HBRSEP, Unit No. 2, TS. The regular 50 Appendix G and provides operational identified a very large percentage of containment inspections being performed in limits that ensure failure of the reactor vessel containment leak paths, and that the accordance with the ASME Code, Section XI, will not occur. The proposed changes to percentage of containment leak paths that are and the Maintenance Rule (10 CFR 50.65) allow operation with two pumps capable of detected only by Type A testing is very small. provide a high degree of assurance that the injecting into the RCS and utilization of the In fact, an analysis of 144 integrated leak rate containment will not degrade in a manner residual heat removal (RHR) suction relief tests, including 23 failures, found that none that is only detectable by Type A testing. In valves has been evaluated and determined to of the failures involved a containment liner addition, a plant-specific risk evaluation provide adequate protection of the RCS from breach. NUREG–1493 also concluded, in demonstrates that the extension of the Type the worst case pressure transient. part, that reducing the frequency of A test interval from 10 years to 15 years The probability of any design basis containment Type A testing to once per 20 results in a ‘‘very small’’ increase in risk for accident (DBA) is not affected by these years results in an imperceptible increase in those accident sequences influenced by Type changes, nor are the consequences of any risk. The HBRSEP, Unit No. 2, test history A testing and a ‘‘small’’ increase in risk when DBA affected by these changes. The P/T and risk-based evaluation of the proposed compared to the test frequency of 3 tests per limits, and low temperature overpressure extension to the Type A test interval supports 10 years. protection (LTOP) setpoints, and Tenable value this conclusion. The design and construction Therefore, this change does not involve a are not considered to be initiators or requirements of the containment vessel, significant reduction in a margin of safety. contributors to any accident analysis combined with the containment inspections Based on the above discussion, Progress addressed in the Catawba UFSAR (updated performed in accordance with the American Energy Carolinas, Inc., has determined that final safety analysis report).

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The proposed changes do not adversely relaxation from the current requirements of 1. Does the change involve a significant affect the integrity of the RCS such that its 10 CFR (part) 50 Appendix G, the alternative increase in the probability or consequences function in the control of radiological methodology allowed by the Code is based of an accident previously evaluated? consequences is affected. The changes do not on industry experience gained since the Response: No. alter any assumption previously made in the inception of the 10 CFR (part) 50 Appendix Current licensing bases events remain radiological consequence evaluations nor G requirements for which some of the bounding for ATWS, transient, and accident affect the mitigation of the radiological requirements have now been determined to analyses. For the bounding events, a consequences of an accident previously be excessively conservative. The more reduction in the allowable value for the MSL evaluated. The proposed changes to the TS appropriate assumptions and provisions LPIS produces no significant change in the are consistent with the intent of the allowed by the Code Cases maintain a margin limiting results with respect to the flexibility currently provided in NUREG– of safety that is consistent with the intent of acceptance criteria. The proposed change 1431, Standard Technical Specifications for 10 CFR (part) 50 Appendix G, i.e., with does not alter the response of plant Westinghouse Plants, Revision 2. regard to the margin originally contemplated equipment to transient conditions, nor does Therefore, the proposed change does not by 10 CFR (part) 50 Appendix G for it introduce any new equipment, modes of involve a significant increase in the determination of RCS P/T limits. system operation or failure mechanisms. The probability or consequences of an accident The analyses completed for this proposed proposed change does not adversely impact previously evaluated in the updated final TS amendment demonstrate that established structures, systems, or components. safety analysis report (UFSAR) because the acceptance criteria continue to be met. Therefore, the proposed change does not accident analysis assumptions and initial Specifically, the P/T limit curves, LTOP involve a significant increase in the conditions will continue to be maintained. setpoints, allowances for operating two probability or consequences of an accident pumps, utilization of RHR suction relief previously evaluated. Second Standard valves and LTOP Tenable values provide ECCS–LOCA Performance Does operation of the facility in accordance acceptable margin to vessel fracture under In the analyses used to evaluate the ECCS- with the proposed amendment create the both normal operation and LTOPs design LOCA performance, the MSIVs are assumed possibility of a new or different kind of basis (mass addition and heat addition) to close at the start of the accident for all accident from any accident previously accident conditions. The proposed changes break locations. Therefore, the low pressure evaluated. to the TS are consistent with the intent of the isolation trip is not used in the LOCA Response: No. flexibility currently provided in NUREG– analyses and the LOCA analysis results are The proposed change does not involve any 1431, Standard Technical Specifications for not affected by the reduction in the LPIS. physical alteration of plant systems, Westinghouse Plants, Revision 2. Therefore, there will be no significant reduction in a For large breaks in the MSL (both inside structures, or components. The requirements and outside containment), the MSIV closure for the P/T limit curves and LTOP setpoints margin of safety as a result of the proposed changes. is initiated by a high steam line flow signal remain in place. The fundamental approach at the beginning of the event, well before the follows approved ASME and Westinghouse The NRC staff has reviewed the LPIS is reached. For these cases, the ECCS report methodology. The proposed curves licensee’s analysis and, based on this performance is not affected by the reduction and change to the enable temperature for review, it appears that the three in the LPIS. LTOP system reflect changes in material standards of 10 CFR 50.92(c) are If the steam line break is too small to result properties acknowledged and managed by in a high flow isolation signal, MSIV closure regulation and an upgrade in technology, satisfied. Therefore, the NRC staff proposes to determine that the may be initiated by another signal (e.g., high which has been approved by ASME. steam line tunnel temperature or low reactor The proposed changes to allow operation amendment request involves no water level) or it may occur due to the LPIS with two pumps capable of injecting into the significant hazards consideration. trip. In either case, steam line breaks of any RCS and utilization of the RHR suction relief Attorney for licensee: Ms. Lisa F. size are not the limiting events with respect valves has been evaluated. The evaluation Vaughn , Legal Department (PB05E), to ECCS performance, and a 40 psi reduction has shown that both the PORVs (power- Duke Energy Corporation, 422 South in the LPIS will not affect compliance with operated relief valves) and RHR suction relief Church Street, Charlotte, North Carolina the acceptance criteria of 10 CFR 50.46, valves provide adequate relief protection of 28201–1006. ‘‘Acceptance criteria for emergency core the RCS from the worst case pressure NRC Section Chief: John A. Nakoski. cooling systems for light-water nuclear power transient and provide equivalent protection reactors.’’ to that already allowed by the current TS Exelon Generation Company, LLC, Based on the above discussions, the (technical specification). Docket Nos. 50–237 and 50–249, reduction of the MSIV LPIS has no adverse The proposed changes do not introduce Dresden Nuclear Power Station, Units 2 impact on the plant response to a LOCA or new failure mechanisms for system and 3, Grundy County, Illinois; Docket on compliance with the acceptance criteria of structures, or components not already 10 CFR 50.46. considered in the UFSAR. Therefore, the Nos. 50–254 and 50–265, Quad Cities Nuclear Power Station, Units 1 and 2, Therefore, the proposed change does not possibility of a new or different kind of involve a significant increase in the accident from any accident previously Rock Island County, Illinois probability or consequences of a previously evaluated is not created because no new Date of application for amendment evaluated ECCS-LOCA accident. failure mechanisms or initiating events have request: March 28, 2003, as Containment System Response been introduced. supplemented by letter dated October In evaluating containment response to pipe Third Standard 23, 2003. breaks inside containment, the MSIVs are Does operation of the facility in accordance Description of amendment request: assumed to close at the start of the accident with the proposed amendment involve a The proposed amendments would for all break locations in the containment significant reduction in the margin of safety. revise the technical specifications to system response analyses. Therefore, the low Response: No. reduce the main steam line low pressure pressure isolation trip is not assumed and the The proposed changes are developed primary containment isolation analysis results are not affected by the utilizing the methodology of ASME XI, 10 allowable value. reduction in the LPIS. CFR (part) 50 Appendix G, in conjunction Basis for proposed no significant In the event that MSIV closure does not with Code Case N–640 and Code Case N–641 hazards consideration determination: occur at the beginning of the accident, MSL methodology. Usage of these methodologies isolation is effectively achieved as the provides compliance with the underlying As required by 10 CFR 50.91(a), the pressure regulator closes the turbine control intent of 10 CFR (part) 50 Appendix G and licensee has provided its analysis of the and bypass valves in an attempt to maintain provides operational limits that ensure issue of no significant hazards turbine throttle pressure at the regulator failure of the reactor vessel will not occur. consideration, which is presented setpoint of approximately 925 psig. Thus, for Although the Code Cases constitute below: events other than breaks in the main steam

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line, isolation occurs before the LPIS is probability or consequences of a previously kind of accident from any previously reached. evaluated station blackout event. evaluated. For large breaks in the MSL (both inside High Energy Line Break 3. Does the change involve a significant and outside containment), the MSIV closure reduction in a margin of safety? is initiated by a high steam line flow signal The steam line break analysis assumes Response: No. at the beginning of the event, well before the closure of the MSIVs due to high steam line The revised LPIS does not change the flow at the beginning of the event. Thus, the LPIS is reached. For these cases, the current licensing bases events, which remain low pressure isolation trip is not used in the containment system response is not affected bounding for ATWS, transient and accident analyses and the results are not adversely by the reduction in the LPIS. For a steam line analyses. The conclusion that a reduction in affected by the reduced LPIS. break too small to result in a high flow the MSIV LPIS will not have an adverse The steam line break case determines the isolation signal, MSIV closure may be impact on plant accident analyses is valid. initiated by another signal (e.g., low reactor short-term peak steam tunnel temperature. However, the range of break sizes for which The LPIS was analyzed by GE during the EPU water level) or it may occur due to the LPIS project for impact on safety limits and safety trip. Small breaks do not determine the peak the low pressure isolation trip initiates MSIV closure is limited. Such a break must be large margins and was determined to be a non- drywell shell temperature and equipment impacted item. Therefore, the proposed qualification (EQ) envelope. Large breaks, as enough to depressurize the vessel below the pressure regulator setpoint, approximately change does not involve a significant characterized in Section 3.3.2 of Attachment reduction in a margin of safety. 4, are large enough to depressurize the 925 psig, but small enough such that high reactor irrespective of the MSIV closure. steam line flow trip does not result. Although The NRC staff has reviewed the Hence, a 40-psi reduction in the LPIS will such cases could result in an increase in the licensee’s analysis and, based on this not affect the peak drywell shell temperature mass and energy released, similar to a larger review, it appears that the three or the drywell temperature EQ envelope. line break, isolation will still occur before the LPIS is reached. The isolation will occur as standards of 10 CFR 50.92(c) are Based on the above discussions, the satisfied. Therefore, the NRC staff reduction of the MSIV LPIS has no adverse a result of Main Steam Line Tunnel impact on the containment system response. Temperature—High for any leak greater than proposes to determine that the Therefore, the proposed change does not 1% rated steam flow. Thus, a 40 psig amendment request involves no involve a significant increase in the reduction in the LPIS will not adversely significant hazards consideration. probability or consequences of an accident affect the peak temperature in the steam Attorney for licensee: Mr. Edward J. previously evaluated for containment system tunnel. In addition, the dynamic effects (e.g., Cullen, Vice President, General Counsel, response. pipe whip and jet impingement) on other Exelon Generation Company, LLC, 300 structures, systems and components are Subcompartment Pressurization unaffected by the reduced LPIS. Exelon Way, Kennett Square, PA 19348. The MSL break mass and energy release Therefore, the proposed change does not NRC Section Chief: Anthony J. used in the evaluation are based on steady- involve a significant increase in the Mendiola. state reactor operating conditions. Therefore, probability or consequences of a high energy Exelon Generation Company, LLC, the low pressure isolation trip is not used in line break accident previously evaluated. Docket Nos. 50–373 and 50–374, LaSalle the subcompartment pressurization analysis. Radiological Consequences In addition, the peak annulus pressurization County Station, Units 1 and 2, LaSalle loads occur at the beginning of the event, The MSIVs are assumed to close due to County, Illinois high steam line flow at the start of an well before MSIV closure can occur. Date of amendment request: August The subcompartment pressurization results accident in the analysis. The low pressure are not affected by the reduction in the MSL isolation trip is not used in the mass release 19, 2003. LPIS. analysis and the radiological consequences Description of amendment request: Therefore, the proposed change does not are not affected by the reduction of the LPIS. The proposed amendments would involve a significant increase in the If the steam line break is too small to cause modify Technical Specification (TS) probability or consequences of an accident a high flow isolation signal, MSIV closure 5.5.13, ‘‘Primary Containment Leakage previously evaluated for subcompartment may be initiated by another signal (e.g., high Rate Testing Program,’’ by identifying a pressurization. steam tunnel temperature or low reactor water level) or it may result from the low specific exception to the testing Appendix R Fire Protection pressure isolation trip. Thus, a 40 psig guidance contained in Regulatory Guide The reactor system response for the reduction in the LPIS will have no adverse (RG) 1.163, ‘‘Performance-Based Appendix R fire protection analysis was impact on the radiological consequences. The Containment Leak-Test Program.’’ performed during the Extended Power Uprate radiological consequences of a reduction in LaSalle County Station (LSCS) Units 1 (EPU) project. The sequence of events for the the MSL LPIS are addressed further in and 2 conduct their leakage rate testing analysis shows that closure of the MSIVs is Section 6 of this attachment. of the primary containments to the initiated on low-low reactor water level. Therefore, the proposed change does not involve a significant increase in the requirements of 10 CFR 50.54(o) and 10 However, before the LPIS setpoint is reached, CFR part 50, Appendix J, Primary the turbine control valves closing on low probability or consequences of an accident inlet pressure effectively isolate steam flow previously evaluated for radiological Reactor Containment Leakage Testing following a scram. The revised LPIS has no consequences. for Water-Cooled Power Reactors,’’ adverse impact on the reactor system 2. Does the change create the possibility of Option B as modified by approved response to an Appendix R fire protection a new or different kind of accident from any exemptions. Additionally, the program event. accident previously evaluated? is in accordance with the guidelines Therefore, the proposed change does not Response: No. contained in RG 1.163. The proposed TS involve a significant increase in the General Electric Company (GE) evaluated the impact of reducing the LPIS analytical change would take exception to RG probability or consequences of an accident 1.163 guidance by allowing the testing previously evaluated for Appendix R fire limit from 825 to 785 psig, including analysis protection. of transient and safety related licensing bases of potential valve atmospheric leakage for DNPS, Units 2 and 3, and QCNPS, Units paths (e.g., valve stem packing), that are Station Blackout 1 and 2. Current licensing bases events not exposed to reverse direction Type B The initiating event for a station blackout, remain bounding for ATWS, transient, and or C leakage test pressure during the a loss of off-site power, results in MSIV accident analyses. The proposed change regularly scheduled Type A test. A list closure at the beginning of the event. The revises the allowable value of TS Table of the potential valve atmospheric reduction of the MSL LPIS has no adverse 3.3.6.1–1, Function 1.b, but does not alter the impact on the reactor system response during instrumentation or control logic of the leakage paths, the leakage rate a station blackout. Primary Containment Isolation System. measurement method and the Therefore, the proposed change does not Therefore, the proposed change does not acceptance criteria will be contained in involve a significant increase in the create the possibility of a new or different the program. This exception will be

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applicable only to valves that are not the essentially leak tight characteristics of the no adverse effect on the functional isolable from the primary containment primary containment at the design basis performance of any plant structure, free air space. accident pressure. The proposed change for system, or component (SSC). All SSCs Basis for proposed no significant a specific exception to the testing guidance will continue to perform their design hazards consideration determination: contained in Regulatory Guide (RG) 1.163 will continue to test all potential valve functions with no decrease in their As required by 10 CFR 50.91(a), the atmospheric leakage paths and does not capabilities to mitigate the licensee has provided its analysis of the effect the test acceptance criteria for Type A, consequences of postulated accidents. issue of no significant hazards B or C testing. Therefore, LSCS has SLMCPR values were not previously consideration, which is presented determined that the proposed change factored into the probability of below: provides an equivalent level of protection as accidents, nor were they factored into that currently provided. 1. The proposed change does not involve scenarios of previously analyzed Therefore, the proposed change does not a significant increase in probability or accidents. Accordingly, the revised involve a significant reduction in a margin of consequences of an accident previously SLMCPR values will lead to no increase safety. evaluated. in the consequences of an accident The proposed change will revise LaSalle The NRC staff has reviewed the previously evaluated, and no increase of County Station, Units I and 2, Technical licensee’s analysis and, based on this the probability of an accident previously Specification (TS) 5.5.13, ‘‘Primary review, it appears that the three evaluated. Containment Leakage Rate Testing Program’’ standards of 10 CFR 50.92(c) are The second standard requires that by identifying a specific exception to the satisfied. Therefore, the NRC staff testing guidance contained in Regulatory operation of the unit in accordance with Guide (RG) 1.163, ‘‘Performance-Based proposes to determine that the the proposed amendment will not create Containment Leak-Test Program.’’ requested amendments involve no the possibility of a new or different kind The function of the primary containment is significant hazards consideration. of accident from any accident to isolate and contain fission products Attorney for licensee: Mr. Edward J. previously evaluated. The proposed released from the reactor Primary Coolant Cullen, Deputy General Counsel, Exelon amendment is not the result of a System (PCS) following a design basis Loss BSC—Legal, 2301 Market Street, hardware design change, nor does it of Coolant Accident (LOCA) and to confine Philadelphia, PA 19101. the postulated release of radioactive material lead to the need for a hardware design NRC Section Chief : Anthony J. change. There is no change in the to within limits. The probability of an Mendiola. accident previously evaluated is not methods the unit is operated. As a dependent on the test-frequency of the Nine Mile Point Nuclear Station, LLC, result, all SSCs will continue to perform primary containment Type A, B or C testing. Docket No. 50–410, Nine Mile Point as previously analyzed by the licensee, The test interval associated with primary Nuclear Station Unit No. 2, Oswego and previously evaluated and accepted containment testing is not a precursor of any County, New York by the NRC staff. Therefore, the accident previously evaluated. The proposed specific exception to the testing guidance Date of amendment request: proposed amendment will not create the contained in RG 1.163 will continue to test November 20, 2003. possibility of a new or different kind of all potential valve atmospheric leakage paths Description of amendment request: accident from any previously evaluated. and will not be a precursor to a Design Basis The licensee proposes to revise the The third standard requires that Accident (DBA). Containment testing does safety limit minimum critical power operation of the unit in accordance with provide assurance that the LaSalle County ratio (SLMCPR) values in section 2.1.1.2 the proposed amendment will not Station primary containments will not of the Technical Specifications (TSs). involve a significant reduction in a exceed allowable leakage rate values margin of safety. Since the licensee did specified in the Technical Specifications and The SLMCPR values are based on cycle- will continue to perform their design specific calculations done for the next not propose to exceed or alter a design function following an accident. fuel cycle, Cycle 10, using methodology basis or safety limit, the proposed Therefore, the proposed change does not previously approved by the Nuclear amendment will not affect in any way involve a significant increase in the Regulatory Commission (NRC). the performance characteristics and probability or consequences of an accident Basis for proposed no significant intended functions of any SSC. previously evaluated. hazards consideration determination: Therefore, the proposed amendment 2. The proposed change does not create the As required by 10 CFR 50.91(a), the does not involve a significant reduction possibility of a new or different kind of in a margin of safety. accident from any accident previously licensee has provided its analysis of the evaluated. The proposed change does not issue of no significant hazards Based on the NRC staff’s analysis, it affect the control parameters governing unit consideration. The NRC staff has appears that the three standards of 10 operation or the response of plant equipment reviewed the licensee’s analysis against CFR 50.92(c) are satisfied. Therefore, the to transient conditions. The proposed change the three standards of 10 CFR 50.92(c). NRC staff proposes to determine that the does not introduce any new equipment, The NRC staff’s analysis is presented amendment request involves no modes of system operation or failure below: significant hazards consideration. mechanisms. The first standard requires that Attorney for licensee: Mark J. Therefore, the proposed change does not create the possibility of a new or different operation of the unit in accordance with Wetterhahn, Esquire, Winston & Strawn, kind of accident from any previously the proposed amendment will not 1400 L Street, NW., Washington, DC evaluated. involve a significant increase in the 20005–3502. 3. The proposed change does not involve probability or consequences of an NRC Section Chief: Richard J. Laufer. a significant reduction in a margin of safety. accident previously evaluated. The Tennessee Valley Authority, Docket No. The integrity of the primary containment is proposed SLMCPR values, calculated 50–390, Watts Bar Nuclear Plant, Unit 1, verified through Type B and Type C local using an NRC-approved methodology, Rhea County, Tennessee leak rate tests (LLRTs) and the overall leak will be made in a manner such that tight integrity of the primary containment is Date of amendment request: verified by a Type A integrated leak rate test conservatism is maintained through (ILRT) as required by 10 CFR part 50, compliance with applicable NRC November 21, 2003. Appendix J, ‘‘Primary Reactor Containment regulations and guidance. No hardware Description of amendment request: Leakage Testing for Water-Cooled Power design change is involved with the The proposed amendment would allow Reactors.’’ These tests are performed to verify proposed amendment, thus there will be the position of a rod to be monitored by

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a means other than the movable incore change does not alter the requirement to Assessment as indicated. All of these detectors. determine rod position but provides an items are available for public inspection Basis for proposed no significant alternative method for monitoring the at the Commission’s Public Document hazards consideration determination: position of the affected rod after the position of the rod is verified using the moveable Room, located at One White Flint North, As required by 10 CFR 50.91(a), the incore detector system. As a result, the initial Public File Area 01F21, 11555 Rockville licensee has provided its analysis of the conditions of the accident analysis are Pike (first floor), Rockville, Maryland. issue of no significant hazards preserved and the consequences of Publicly available records will be consideration, which is presented previously analyzed accidents are unaffected. accessible from the Agencywide below: Therefore, operation of the facility in Documents Access and Management accordance with the proposed amendment (1) Will operation of the facility in Systems (ADAMS) Public Electronic would not involve a significant reduction in Reading Room on the internet at the accordance with this proposed change the margin of safety. involve a significant increase in the NRC Web site, http://www.nrc.gov/ probability or consequences of an accident The NRC staff has reviewed the reading-rm/adams.html. If you do not previously evaluated? licensee’s analysis and, based on this have access to ADAMS or if there are No. The proposed change provides an review, it appears that the three problems in accessing the documents alternative method for the monitoring of the standards of 10 CFR 50.92(c) are located in ADAMS, contact the NRC position of a rod once the position of the rod satisfied. Therefore, the NRC staff Public Document Room (PDR) Reference is verified using the moveable incore detector proposes to determine that the system. The proposed monitoring of staff at 1–800–397–4209, 301–415–4737 stationary gripper coil parameters provides a amendment request involves no or by email to [email protected]. reasonably similar approach to rod position significant hazards consideration. monitoring as that provided by the movable Attorney for licensee: General Calvert Cliffs Nuclear Power Plant, Inc., incore detector system. In particular, the Counsel, Tennessee Valley Authority, Docket Nos. 50–317 and 50–318, Calvert ability to immediately detect a rod drop or 400 West Summit Hill Drive, ET 11A, Cliffs Nuclear Power Plant, Unit Nos. 1 misalignment is not directly provided by the Knoxville, Tennessee 37902. and 2, Calvert County, Maryland movable incore detector system or by the NRC Section Chief: Allen G. Howe. monitoring of stationary gripper coil Date of application for amendments: parameters. Additionally, neither the Notice of Issuance of Amendments to December 13, 2002, as supplemented movable incore detector system, nor the Facility Operating Licenses September 25, 2003. Brief description of amendments: monitoring of stationary gripper coil During the period since publication of parameters, provides the capability to verify These amendments changed the the last biweekly notice, the rod position following a reactor trip or Technical Specifications (TSs) by Commission has issued the following shutdown. Therefore, the monitoring of removing the requirement to have the amendments. The Commission has stationary gripper coil parameters, in lieu of charging pumps operable when thermal the use of the movable incore detector determined for each of these power is greater than 80% of rated system, provides an equivalent and amendments that the application thermal power. The change also acceptable method of monitoring rod complies with the standards and removes Surveillance Requirement position while a position indicator is requirements of the Atomic Energy Act 3.5.2.4 for verifying the required inoperable. of 1954, as amended (the Act), and the Therefore, operation of the facility in charging pump flow rate. The change to Commission’s rules and regulations. accordance with the proposed amendment TS 3.5.2 does not modify any other The Commission has made appropriate would not involve a significant increase in charging pump requirements in the findings as required by the Act and the the probability or consequences of an Technical Requirements Manual (e.g., accident previously evaluated. Commission’s rules and regulations in requirements of charging pump (2) Will operation of the facility in 10 CFR chapter I, which are set forth in availability for boration and cooldown accordance with this proposed change create the license amendment. the possibility of a new or different kind of Notice of consideration of issuance of remain in effect). accident from any accident previously amendment to facility operating license, Date of issuance: December 3, 2003. evaluated? proposed no significant hazards Effective date: As of the date of No. As described above, the proposed issuance to be implemented within 30 change provides only an alternative method consideration determination, and opportunity for a hearing in connection days. of monitoring the position of a rod. No new Amendment Nos.: 260 and 237. accident initiators are introduced by the with these actions was published in the proposed alternative manner of performing Federal Register as indicated. Renewed Facility Operating License rod position monitoring. The proposed Unless otherwise indicated, the Nos. DPR–53 and DPR–69: Amendments change does not affect the reactor protection Commission has determined that these revised the Technical Specifications. system or the reactor control system. Hence, amendments satisfy the criteria for Date of initial notice in Federal no new failure modes are created that would categorical exclusion in accordance Register: February 18, 2003 (68 FR cause a new or different kind of accident with 10 CFR 51.22. Therefore, pursuant 7812). from any accident previously evaluated. The September 25, 2003, Therefore, operation of the facility in to 10 CFR 51.22(b), no environmental accordance with the proposed amendment impact statement or environmental supplemental letter provided clarifying would not create the possibility of a new or assessment need be prepared for these information that did not enlarge the different kind of accident from any amendments. If the Commission has scope of the amendment as noticed in previously evaluated. prepared an environmental assessment the original Federal Register notice or (3) Will operation of the facility in under the special circumstances change the initial proposed no accordance with this proposed change provision in 10 CFR 51.12(b) and has significant hazards consideration involve a significant reduction in a margin of made a determination based on that determination. safety? assessment, it is so indicated. The Commission’s related evaluation No. The bases for TS (Technical of these amendments is contained in a Specification) 3.1.8 state that the operability For further details with respect to the of the rod position indicators is required to action see (1) the applications for Safety Evaluation dated December 3, determine control rod positions and thereby amendment, (2) the amendment, and (3) 2003. ensure compliance with the control rod the Commission’s related letter, Safety No significant hazards consideration alignment and insertion limits. The proposed Evaluation and/or Environmental comments received: No.

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Calvert Cliffs Nuclear Power Plant, Inc., 2003, supplemental letter provided position (and by deleting wording Docket Nos. 50–317 and 50–318, Calvert clarifying information that did not regarding the verified valves being Cliffs Nuclear Power Plant, Unit Nos. 1 change the scope of the original Federal positioned to take suction from the and 2, Calvert County, Maryland Register notice or the original no refueling water tank), and replacing the Date of application for amendments: significant hazards consideration quantitative allowable pump May 28, 2003, as supplemented determination. The Commission’s degradation value with a requirement to November 25, 2003. related evaluation of the amendment is verify the pumps perform in accordance Brief description of amendments: contained in a Safety Evaluation dated with the Inservice Testing Program. November 7, 2003. Date of issuance: December 4, 2003. These amendments changed the reactor Effective date: As of the date of pressure vessel pressure-temperature No significant hazards consideration comments received: No. issuance to be implemented within 60 limit cooldown curves in the Calvert days from the date of issuance. Cliffs 1 and 2 Technical Specifications Entergy Nuclear Operations, Inc., Amendment No.: 252. by incorporating a different range of Docket No. 50–286, Indian Point Facility Operating License No. NPF–6: temperatures for which a maximum Nuclear Generating Unit No. 3, Amendment revised the Technical cooldown rate of 100°F/hr is acceptable. Westchester County, New York Specifications. Date of issuance: December 9, 2003. Date of application for amendment: Date of initial notice in Federal Effective date: As of the date of May 28, 2003, as supplemented on June Register: May 27, 2003 (68 FR 28851). issuance to be implemented within 120 24, 2003. The September 30, 2003, days. Brief description of amendment: The supplemental letter provided clarifying Amendment Nos.: 261 and 238. amendment revised Technical information that did not change the Renewed Facility Operating License Specification (TS) Section 3.4.3, ‘‘RCS scope of the original Federal Register Nos. DPR–53 and DPR–69: Amendments Pressure and Temperature (P/T) notice or the original no significant revised the Technical Specifications. Limits,’’ and section 3.4.12, ‘‘Low hazards consideration determination. Federal The Commission’s related evaluation Date of initial notice in Temperature Overpressure Protection Register: of the amendment is contained in a July 8, 2003 (68 FR 40701). (LTOP),’’ to incorporate revised reactor Safety Evaluation dated December 4, The November 25, 2003, pressure vessel P/T limits and 2003. supplemental letter provided clarifying overpressure protection system limits to information that did not change the No significant hazards consideration allow operation up to 20 effective full- comments received: No. initial proposed no significant hazards power years. Specifically, the consideration determination. amendment changed TS Figures 3.4.3– Exelon Generation Company, LLC, The Commission’s related evaluation 1 to 3.4.3–3 and TS Figures 3.4.12–1 to Docket Nos. 50–237 and 50–249, of these amendments is contained in a 3.4.12–4. Dresden Nuclear Power Station (DNPS), Safety Evaluation dated December 9, Date of issuance: December 3, 2003. Units 2 and 3, Grundy County, Illinois 2003. Effective date: As of the date of Date of application for amendments: No significant hazards consideration issuance and shall be implemented comments received: No. February 27, 2003, as supplemented on within 30 days. July 17, July 31, September 11, and Entergy Gulf States, Inc., and Entergy Amendment No.: 220. Operations, Inc., Docket No. 50–458, November 25, 2003. Facility Operating License No. DPR– Brief description of amendments: The River Bend Station, Unit 1, West 64: Amendment revised the Technical amendments revise Technical Feliciana Parish, Louisiana. Specifications. Specification Section 3.4.9, ‘‘Reactor Date of amendment request: March Date of initial notice in Federal Coolant System Pressure and 14, 2003, as supplemented by letter Register: July 22, 2003 (68 FR 43389). Temperature (P/T) Limits,’’ dated June 24, 2003. The June 24 letter provided clarifying incorporating revisions to the P/T limit Brief description of amendment: The information that did not enlarge the curves. The amendment also deletes the amendment revises Technical scope of the amendment request or license conditions specified in DNPS Specification (TS) 3.8.1, ‘‘AC Sources— change the initial proposed no Unit 2 Facility Operating License Operating,’’ Surveillance Requirements significant hazards consideration Section 2.C(8) and DNPS Unit 3 Facility (SRs) pertaining to the testing of the determination. Operating License Section 3.P, Division 1 and 2 standby diesel The Commission’s related evaluation ‘‘Pressure-Temperature Limit Curves.’’ generators (DGs). Specifically, the of the amendment is contained in a Date of issuance: November 26, 2003. proposed changes eliminate mode Safety Evaluation dated December 3, Effective date: As of the date of restrictions that previously prevented 2003. issuance and shall be implemented performance of SRs during Modes 1 and No significant hazards consideration within 30 days of the date of issuance. 2 for the Division 1 and 2 DGs. The comments received: No. Amendment Nos.: 205/197. changes allow the performance of SR Entergy Operations, Inc., Docket No. 50– Facility Operating License Nos. DPR– 3.8.1.9 and SR 3.8.1.10 for the Division 19 and DPR–25: The amendments 1 and 2 DGs during any plant operating 368, Arkansas Nuclear One, Unit No. 2, Pope County, Arkansas revised the Facility Technical mode. Specifications and license conditions Date of issuance: November 7, 2003. Date of application for amendment: specified in the Facility Operating Effective date: As of the date of May 1, 2003, as supplemented by letter Licenses. issuance and shall be implemented 30 dated September 30, 2003. Date of initial notice in Federal days from the date of issuance. Brief description of amendment: The Register: August 5, 2003 (68 FR 46242). Amendment No.: 137. amendment modifies the surveillance The Commission’s related evaluation Facility Operating License No. NPF– testing requirements for the of the amendments is contained in a 47: The amendment revised the containment spray system by deleting Safety Evaluation dated November 26, Technical Specifications. the requirement to verify the position of 2003. Date of initial notice in Federal valves that are locked, sealed, or No significant hazards consideration Register: (68 FR 18275). The June 24, otherwise secured in their correct comments received: No.

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Exelon Generation Company, LLC, Safety Evaluation dated November 25, within 30 days of issuance. The UFSAR Docket Nos. 50–352 and 50–353, 2003. changes shall be implemented in the Limerick Generating Station, Units 1 No significant hazards consideration next periodic update to the UFSAR in and 2, Montgomery County, comments received: No. accordance with 10 CFR 50.71(e). Pennsylvania Southern California Edison Company, et Amendment Nos.: Unit 1—158; Unit Date of application for amendments: al., Docket Nos. 50–361 and 50–362, 2—146. November 26, 2002. San Onofre Nuclear Generating Station, Facility Operating License Nos. NPF– Brief description of amendments: Units 2 and 3, San Diego County, 76 and NPF–80: The amendments These amendments revised TS 3.1.3.1, California revised the UFSAR. ‘‘Control Rod Operability,’’ by adding Date of application for amendments: Date of initial notice in Federal new Limiting Condition for Operation December 9, 2002, as supplemented by Register: February 18, 2003 (68 FR 7821). criteria and applicable ACTION letter dated August 28, 2003. The October 30, and November 6, requirements for scram discharge Brief description of amendments: The 2003, supplemental letters provided volume (SDV) vent and drain valves. changes would revise Technical additional information that clarified the The changes also modified TS 3.6.3, Specification (TS) 3.75, ‘‘Auxiliary application, did not expand the scope of ‘‘Primary Containment Isolation Feedwater System,’’ Surveillance the application as originally noticed, Valves,’’ to clarify the relationship Requirement (SR) 3.7.5.2 Frequency. and did not change the NRC staff’s between TS 3.1.3.1 and TS 3.6.3 Specifically, the wording of the original proposed no significant hazards regarding SDV vent and drain valves. Frequency of SR 3.7.5.2 would change consideration determination as Date of issuance: November 26, 2003. from ‘‘31 days on a Staggered Test published in the Federal Register on Effective date: As of date of issuance Basis’’ to ‘‘In accordance with the February 18, 2003 (68 FR 7821). and shall be implemented within 60 Inservice Testing Program.’’ This change The Commission’s related evaluation days. is requested to implement of the amendments is contained in a Amendment Nos.: 168 and 131. recommendations of the Standard Safety Evaluation dated December 2, Facility Operating License Nos. NPF– Technical Specifications for 2003. 39 and NPF–85: The amendments Combustion Engineering Plants, No significant hazards consideration revised the Technical Specifications. NUREG–1432, Revision 2. Federal comments received: No. Date of initial notice in Date of issuance: November 25, 2003. Register: January 7, 2003 (68 FR 803). Effective date: November 25, 2003, to STP Nuclear Operating Company, The Commission’s related evaluation be implemented within 60 days of Docket Nos. 50–498 and 50–499, South of the amendments is contained in a issuance. Texas Project, Units 1 and 2, Matagorda Safety Evaluation dated November 26, Amendment Nos.: Unit 2—191; Unit County, Texas 2003. 3—182. Date of amendment request: May 22, No significant hazards consideration Facility Operating License Nos. NPF– comments received: No. 2003, as supplemented by letters dated 10 and NPF–15: The amendments September 10 and September 30, 2003. revised the Technical Specifications. FirstEnergy Nuclear Operating Brief description of amendments: The Date of initial notice in Federal Company, et al., Docket Nos. 50–334 amendments change the pressurizer Register: January 7, 2003 (68 FR 812). and 50–412, Beaver Valley Power safety valve lift tolerance, as specified in The August 28, 2003, supplemental Station, Unit Nos. 1 and 2, Beaver Technical Specification (TS) 3.4.2.2, letter provided additional information County, Pennsylvania ‘‘Reactor Coolant System,’’ from plus/ that clarified the application, did not minus (±) 2 percent (%) to +2% and Date of application for amendments: expand the scope of the application as ¥3%. March 26, 2003. originally noticed, and did not change Brief description of amendments: the staff’s original no significant hazards Date of issuance: December 2, 2003. These amendments modify Technical consideration determination. Effective date: As of the date of Specifications (TSs) 4.0.1 and 4.0.3 to be The Commission’s related evaluation issuance and shall be implemented consistent with the Improved Standard of the amendments is contained in a within 30 days of issuance. Technical Specifications. The Safety Evaluation dated November 25, Amendment Nos.: Unit 1—159; Unit amendments also modify the TS 2003. 2—147. requirements for missed surveillances in No significant hazards consideration Facility Operating License Nos. NPF– TS 4.0.3 to be consistent with the comments received: No. 76 and NPF–80: The amendments Nuclear Regulatory Commission- revised the TSs. approved Technical Specification Task STP Nuclear Operating Company, Federal Force (TSTF), Standard Technical Docket Nos. 50–498 and 50–499, South Date of initial notice in Register Specification Change TSTF–358, Texas Project, Units 1 and 2, Matagorda : June 24, 2003 (68 FR 37583). Revision 6. County, Texas The September 10 and September 30, Date of issuance: November 25, 2003. Date of amendment request: 2003, supplemental letters provided Effective date: As of the date of its November 14, 2002, as supplemented by clarifying information that was within issuance and shall be implemented letters dated October 30, and November the scope of the original Federal within 60 days. 6, 2003. Register notice (68 FR 37583) and did Amendment Nos.: 258 and 140. Brief description of amendments: The not change the initial no significant Facility Operating License Nos. DPR– amendments revise the Updated Final hazards consideration determination. 66 and NPF–73: Amendments revised Safety Analysis Report (UFSAR) to The Commission’s related evaluation the Technical Specifications. eliminate the turbine missile design of the amendments is contained in a Date of initial notice in Federal basis. Safety Evaluation dated December 2, Register: June 24, 2003 (68 FR 37577). Date of issuance: December 2, 2003. 2003. The Commission’s related evaluation Effective date: As of the date of No significant hazards consideration of the amendments is contained in a issuance and shall be implemented comments received: No.

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Tennessee Valley Authority, Docket No significant hazards consideration for public comment but less than 30 Nos. 50–259, 50–260, and 50–296, comments received: No. days, the Commission may provide an Browns Ferry Nuclear Plant, Units 1, 2, opportunity for public comment. If Notice of Issuance of Amendments to and 3, Limestone County, Alabama comments have been requested, it is so Facility Operating Licenses and Final stated. In either event, the State has Date of application for amendments: Determination of No Significant been consulted by telephone whenever August 7, 2003. Hazards Consideration and Description of amendment request: possible. Opportunity for a Hearing (Exigent Under its regulations, the Commission The amendments modified Technical Public Announcement or Emergency may issue and make an amendment Specification (TS) requirements for Circumstances) immediately effective, notwithstanding mode change limitations to adopt During the period since publication of the pendency before it of a request for Industry/TS Task Force (TSTF) change the last biweekly notice, the a hearing from any person, in advance TSTF–359, ‘‘Increase Flexibility in Commission has issued the following of the holding and completion of any Mode Restraints.’’ amendments. The Commission has required hearing, where it has Date of issuance: December 1, 2003. determined for each of these determined that no significant hazards Effective date: Date of issuance, to be amendments that the application for the consideration is involved. implemented within 60 days. amendment complies with the The Commission has applied the Amendment Nos.: 249, 286 & 244. standards and requirements of the standards of 10 CFR 50.92 and has made Facility Operating License Nos. DPR– Atomic Energy Act of 1954, as amended a final determination that the 33, DPR–52, and DPR–68. Amendments (the Act), and the Commission’s rules amendment involves no significant revised the TSs. and regulations. The Commission has hazards consideration. The basis for this Date of initial notice in Federal made appropriate findings as required determination is contained in the Register: October 14, 2003 (68 FR by the Act and the Commission’s rules documents related to this action. 59221). and regulations in 10 CFR chapter I, Accordingly, the amendments have The Commission’s related evaluation which are set forth in the license been issued and made effective as of the amendment is contained in a amendment. indicated. Safety Evaluation dated December 1, Because of exigent or emergency Unless otherwise indicated, the 2003. circumstances associated with the date Commission has determined that these No significant hazards consideration the amendment was needed, there was amendments satisfy the criteria for comments received: No. not time for the Commission to publish, categorical exclusion in accordance Tennessee Valley Authority, Docket No. for public comment before issuance, its with 10 CFR 51.22. Therefore, pursuant 50–327, Sequoyah Nuclear Plant (SQN), usual 30-day notice of consideration of to 10 CFR 51.22(b), no environmental Units 1 and 2, Hamilton County, issuance of amendment, proposed no impact statement or environmental Tennessee significant hazards consideration assessment need be prepared for these determination, and opportunity for a amendments. If the Commission has Date of application for amendment: hearing. prepared an environmental assessment March 13, 2003, as supplemented July For exigent circumstances, the under the special circumstances 30, 2003. Commission has either issued a Federal provision in 10 CFR 51.12(b) and has Description of amendment: The Register notice providing opportunity made a determination based on that amendment revises the boron for public comment or has used local assessment, it is so indicated. concentration requirements in media to provide notice to the public in For further details with respect to the Technical Specifications (TSs) 3.5.2, the area surrounding a licensee’s facility action see (1) the application for ‘‘Cold Leg Accumulators,’’ and 3.5.5, of the licensee’s application and of the amendment, (2) the amendment to ‘‘Refueling Water Storage Tank.’’ The Commission’s proposed determination Facility Operating License, and (3) the revised boron concentration of no significant hazards consideration. Commission’s related letter, Safety requirement is a function of the number The Commission has provided a Evaluation and/or Environmental of tritium producing burnable absorber reasonable opportunity for the public to Assessment, as indicated. All of these rods (TPBARs) in the core. comment, using its best efforts to make items are available for public inspection Date of issuance: December 1, 2003. available to the public means of at the Commission’s Public Document Effective date: As of the date of communication for the public to Room, located at One White Flint North, issuance to be implemented no later respond quickly, and in the case of Public File Area 01F21, 11555 Rockville than startup from an outage in which telephone comments, the comments Pike (first floor), Rockville, Maryland. TPBARs are loaded into the reactor. have been recorded or transcribed as Publicly available records will be Amendment Nos.: 289 & 279. appropriate and the licensee has been accessible from the Agencywide Facility Operating License Nos. DPR– informed of the public comments. Documents Assess and Management 77 and DPR–79: Amendment revised the In circumstances where failure to act System’s (ADAMS) Public Electronic TSs. in a timely way would have resulted, for Reading Room on the Internet at the Date of initial notice in Federal example, in derating or shutdown of a NRC Web site, http://www.nrc.gov/ Register: April 15, 2003 (68 FR 18286). nuclear power plant or in prevention of reading-rm/adams.html. If you do not The supplemental letter provided either resumption of operation or of have access to ADAMS or if there are clarifying information only and did not increase in power output up to the problems in accessing the documents change the scope of the original plant’s licensed power level, the located in ADAMS, contact the NRC amendment request or the initial Commission may not have had an Public Document Room (PDR) Reference proposed no significant hazards opportunity to provide for public staff at 1–800–397–4209, 301–415–4737 consideration determination. comment on its no significant hazards or by email to [email protected]. The Commission’s related evaluation consideration determination. In such The Commission is also offering an of the amendment is contained in a case, the license amendment has been opportunity for a hearing with respect to Safety Evaluation dated December 1, issued without opportunity for the issuance of the amendment. By 2003. comment. If there has been some time January 22, 2004, the licensee may file

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a request for a hearing with respect to proceeding, a petitioner shall file a also be sent to the Office of the General issuance of the amendment to the supplement to the petition to intervene Counsel, U.S. Nuclear Regulatory subject facility operating license and which must include a list of the Commission, Washington, DC 20555– any person whose interest may be contentions which are sought to be 0001, and because of continuing affected by this proceeding and who litigated in the matter. Each contention disruptions in delivery of mail to United wishes to participate as a party in the must consist of a specific statement of States government offices, it is proceeding must file a written request the issue of law or fact to be raised or requested that copies be transmitted for a hearing and a petition for leave to controverted. In addition, the petitioner either by means of facsimile intervene. Requests for a hearing and a shall provide a brief explanation of the transmission to 301–415–3725 or by e- petition for leave to intervene shall be bases of the contention and a concise mail to [email protected]. A copy filed in accordance with the statement of the alleged facts or expert of the request for hearing and petition Commission’s ‘‘Rules of Practice for opinion which support the contention for leave to intervene should also be Domestic Licensing Proceedings’’ in 10 and on which the petitioner intends to sent to the attorney for the licensee. CFR part 2. Interested persons should rely in proving the contention at the Nontimely filings of petitions for consult a current copy of 10 CFR 2.714, hearing. The petitioner must also leave to intervene, amended petitions, which is available at the Commission’s provide references to those specific supplemental petitions and/or requests PDR, located at One White Flint North, sources and documents of which the for a hearing will not be entertained Public File Area 01F21, 11555 Rockville petitioner is aware and on which the absent a determination by the Pike (first floor), Rockville, Maryland, petitioner intends to rely to establish Commission, the presiding officer or the and electronically on the Internet at the those facts or expert opinion. Petitioner Atomic Safety and Licensing Board that NRC Web site, http://www.nrc.gov/ must provide sufficient information to the petition and/or request should be reading-rm/doc-collections/cfr/. If there show that a genuine dispute exists with granted based upon a balancing of the are problems in accessing the document, the applicant on a material issue of law factors specified in 10 CFR contact the PDR Reference staff at 1– or fact. Contentions shall be limited to 2.714(a)(1)(i)-(v) and 2.714(d). 800–397–4209, 301–415–4737, or by e- matters within the scope of the mail to [email protected]. If a request for a amendment under consideration. The Southern Nuclear Operating Company, hearing or petition for leave to intervene contention must be one which, if Inc., et al., Docket No. 50–425, Vogtle is filed by the above date, the proven, would entitle the petitioner to Electric Generating Plant, Unit 2, Burke Commission or an Atomic Safety and relief. A petitioner who fails to file such County, Georgia Licensing Board, designated by the a supplement which satisfies these Date of amendment request: Commission or by the Chairman of the requirements with respect to at least one November 5, 2003. Atomic Safety and Licensing Board contention will not be permitted to Description of amendment request: Panel, will rule on the request and/or participate as a party. The proposed amendment would extend petition; and the Secretary or the Those permitted to intervene become the surveillance interval for the designated Atomic Safety and Licensing parties to the proceeding, subject to any Memories Test portion of the Actuation Board will issue a notice of a hearing or limitations in the order granting leave to Logic Test for: (1) Power Range Block an appropriate order. intervene, and have the opportunity to (Switch position 1), (2) Intermediate As required by 10 CFR 2.714, a participate fully in the conduct of the Range Block (Switch position 2), (3) petition for leave to intervene shall set hearing, including the opportunity to Source Range Block (Switch positions 3 forth with particularity the interest of present evidence and cross-examine and 4), (3) Safety Injection (SI) Block, the petitioner in the proceeding, and witnesses. Since the Commission has Pressurizer (Switch positions 5 and 6), how that interest may be affected by the made a final determination that the (4) SI Block, High Steam Pressure Rate results of the proceeding. The petition amendment involves no significant (Switch positions 7 and 8), (5) Auto SI should specifically explain the reasons hazards consideration, if a hearing is Block (Switch position 9), and (6) why intervention should be permitted requested, it will not stay the Feedwater Isolation on P14 or SI with particular reference to the effectiveness of the amendment. Any (Switch positions 10 and 11). In following factors: (1) The nature of the hearing held would take place while the addition to the functions listed above, petitioner’s right under the Act to be amendment is in effect. the licensee is requesting an extension made a party to the proceeding; (2) the A request for a hearing or a petition of the surveillance interval for the nature and extent of the petitioner’s for leave to intervene must be filed with portions of the Actuation Logic Test for property, financial, or other interest in the Secretary of the Commission, U.S. Feedwater Isolation on P14 or SI that the proceeding; and (3) the possible Nuclear Regulatory Commission, pass through the memories circuits and effect of any order which may be Washington, DC 20555–0001, Attention: the Power Range block of the Source entered in the proceeding on the Rulemakings and Adjudications Staff, or Range Trip test for the Unit 2 Train B petitioner’s interest. The petition should may be delivered to the Commission’s Solid State Protection System to the also identify the specific aspect(s) of the PDR, located at One White Flint North, next refueling outage at the end of Cycle subject matter of the proceeding as to Public File Area 01F21, 11555 Rockville 10 or the next Unit 2 shutdown to which petitioner wishes to intervene. Pike (first floor), Rockville, Maryland, MODE 5, whichever comes first. Any person who has filed a petition for by the above date. Because of the Date of issuance: December 3, 2003. leave to intervene or who has been continuing disruptions in delivery of Effective date: December 3, 2003. admitted as a party may amend the mail to United States government Amendment No.: 108. petition without requesting leave of the offices, it is requested that petitions for Facility Operating License No. NPF– Board up to 15 days prior to the first leave to intervene and requests for 81: Amendment revises the technical prehearing conference scheduled in the hearing be transmitted to the Secretary specifications. proceeding, but such an amended of the Commission either by means of Public comments requested as to petition must satisfy the specificity facsimile transmission to 301–415–1101 proposed no significant hazards requirements described above. or by e-mail to [email protected]. consideration (NSHC): Yes. November Not later than 15 days prior to the first A copy of the petition for leave to 18, 2003 (68 FR 65092). The notice prehearing conference scheduled in the intervene and request for hearing should provided an opportunity to submit

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comments on the Commission’s Schedule C Section 213.3306 Office of the proposed NSHC determination. No The following Schedule C Secretary of Defense comments have been received. The appointments were approved for DDGS00755 Personal & Confidential notice also provided an opportunity to October 2003: Assistant to Assistant Secretary of request a hearing by December 18, 2003, Defense (Special Operations/Low but indicated that if the Commission Section 213.3303 Executive Office of Intensity Conflict). Effective October makes a final NSHC determination, any the President 02, 2003. such hearing would take place after Office of Management and Budget issuance of the amendment. The DDGS00756 Staff Assistant to the Commission’s related evaluation of the BOGS60004 Special Assistant to the Deputy Assistant Secretary of Defense amendment, finding of exigent Administrator, Office of Information (Eurasia). Effective October 03, 2003. circumstances, state consultation, and and Regulatory Affairs. Effective DDGS16758 Deputy White House final NSHC determination are contained October 08, 2003. Liaison to the Special Assistant to the in a safety evaluation dated December 3, BOGS60034 Staff Assistant to the Secretary of Defense for White House 2003. Director, Office of Management and Liaison. Effective October 10, 2003. Attorney for licensee: Mr. Arthur H. Budget. Effective October 15, 2003. BOGS60012 Confidential Assistant to Section 213.3307 Department of the Domby, Troutman Sanders, Army NationsBank Plaza, Suite 5200, 600 the Controller, Office of Federal Peachtree Street, NE., Atlanta, Georgia Financial Management. Effective DWGS00086 Special Assistant to the 30308–2216. October 17, 2003. Army General Counsel. Effective NRC Section Chief: John A. Nakoski. BOGS60027 Confidential Assistant to October 08, 2003. the Administrator, Office of DWGS60075 Special Assistant to the Dated in Rockville, Maryland, this 15th Information and Regulatory Affairs. day of December, 2003. Assistant Secretary of the Army Effective October 27, 2003. For the Nuclear Regulatory Commission. (Installations, Logistics and BOGS00039 Confidential Assistant to Environment). Effective October 08, Ledyard B. Marsh, the Associate Director for Legislative 2003. Director, Division of Licensing Project Affairs. Effective October 31, 2003. Management, Office of Nuclear Reactor Section 213.3308 Department of the Regulation. Office of National Drug Control Policy Navy [FR Doc. 03–31314 Filed 12–22–03; 8:45 am] QQGS00023 Confidential Assistant to DNGS60056 Confidential Assistant to BILLING CODE 7590–01–P the Chief of Staff. Effective October the Assistant Secretary Financial 21, 2003. Management. Effective October 16, Section 213.3304 Department of State 2003. OFFICE OF PERSONNEL MANAGEMENT DSGS60487 Congressional Affairs Section 213.3310 Department of Manager to the Assistant Secretary for Justice Excepted Service International Organizational Affairs. Effective October 01, 2003. DJGS00034 Special Assistant to the AGENCY: Office of Personnel DSGS60531 Public Affairs Specialist Assistant Attorney General, Criminal Management. to the Assistant Secretary for Public Division. Effective October 02, 2003. ACTION: Notice. Affairs. Effective October 01, 2003. DJGS00217 Counsel to the Director, DSGS60575 Writer-Editor to the Violence Against Women Office. SUMMARY: This gives notice of OPM Assistant Secretary for Oceans, Effective October 02, 2003. decisions granting authority to make International Environment and DJGS00123 Senior Counsel to the appointments under Schedules A, B and Science Affairs. Effective October 02, Director, Office of Public Affairs. C in the excepted service as required by 2003. Effective October 10, 2003. 5 CFR 6.6 and 213.103. DSGS60544 Strategic Planning Officer DJGS00254 Counselor to the Assistant FOR FURTHER INFORMATION CONTACT: to the Coordinator for International Attorney General. Effective October Deborah Grade, Director, Washington Information Programs. Effective 16, 2003. Services Branch, Center for Talent October 10, 2003. DJGS00432 Senior Counsel to the Services, Division for Human Resources DSGS60703 Special Assistant to the Director of the Executive Office for Products and Services, (202) 606–5027. Assistant Secretary for Economic and United States Attorneys. Effective SUPPLEMENTARY INFORMATION: Appearing Business Affairs. Effective October 22, October 16, 2003. in the listing below are the individual 2003. DJGS00255 Counsel to the Assistant authorities established under Schedule DSGS60701 Public Affairs Specialist Attorney General. Effective October C between October 1, 2003, and October to the Assistant Secretary for Public 17, 2003. Affairs. Effective October 24, 2003. 31, 2003. Future notices will be DJGS00268 Counsel to the Assistant DSGS60702 Special Assistant to the published on the fourth Tuesday of each Attorney General. Effective October Deputy Chief of Protocol. Effective month, or as soon as possible thereafter. 22, 2003. A consolidated listing of all authorities October 24, 2003. DJGS00258 Counsel to the Assistant as of June 30 is published each year. DSGS60712 Special Advisor to the Assistant Legal Adviser for African Attorney General. Effective October Schedule A Affairs. Effective October 28, 2003. 30, 2003. No Schedule A appointments for DJGS00380 Principal Deputy Director Section 213.3305 Department of the October 2003. to the Director, Office of Public Treasury Affairs. Effective October 30, 2003. Schedule B DYGS60250 Director, Public Affairs to DJGS00377 Staff Assistant to the No Schedule B appointments for the Deputy Assistant Secretary (Public Director, Office of Public Affairs. October 2003. Affairs). Effective October 09, 2003. Effective October 31, 2003.

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Section 213.3311 Department of to the Director, National Park Service. DHGS60026 Special Assistant to the Homeland Security Effective October 03, 2003. Director, Public Affairs Office. DMGS00137 Special Assistant to the DIGS06077 Special Assistant— Effective October 15, 2003. Under Secretary for Information External and Intergovernmental DHGS60167 Confidential Assistant to Analysis and Infrastructure Affairs to the Director, External and the Assistant Secretary for Public Intergovernmental Affairs. Effective Protection. Effective October 03, 2003. Affairs. Effective October 27, 2003. DMGS00127 Director of Legislative October 10, 2003. DIGS50001 Counselor to the Assistant Section 213.3317 Department of Affairs for Secretarial Offices to the Secretary—Indian Affairs. Effective Education Assistant Secretary for Legislative October 10, 2003. DBGS00298 Confidential Assistant to Affairs. Effective October 06, 2003. DIGS06078 Confidential Assistant the Deputy Director of DMGS00141 Press Secretary to the (Press Secretary) to the Director, Communications, Office of Public Assistant Secretary for Public Affairs. External and Intergovernmental Affairs. Effective October 16, 2003. Effective October 16, 2003. Affairs. Effective October 23, 2003. DMGS00128 Director of Legislative Section 213.3318 Environmental Affairs for Information Analysis and Section 213.3313 Department of Protection Agency Infrastructure Protection to the Agriculture EPGS03606 Press Secretary to the Assistant Secretary for Legislative DAGS00198 Special Assistant to the Associate Assistant Administrator for Affairs. Effective October 17, 2003. Special Assistant. Effective October Public Affairs. Effective October 10, DMGS00135 Confidential Assistant to 28, 2003. 2003. the Director, State and Local Affairs. Effective October 20, 2003. Section 213.3314 Department of Section 213.3331 Department of DMGS00136 Confidential Assistant to Commerce Energy the Director, State and Local Affairs. DCGS60583 Special Assistant to the DEGS00380 Assistant to the Chief of Effective October 20, 2003. Assistant Secretary for Administration Staff and Congressional Specialist to DMOT00138 Policy Analyst to the and Chief Financial Officer. Effective the Assistant Secretary for Administrator, Transportation October 01, 2003. International Affairs. Effective Security Administration. Effective DCGS00429 Confidential Assistant to October 29, 2003. October 20, 2003. the Director, Office of White House DMGS00133 Assistant Director for Liaison. Effective October 09, 2003. 213.3332 Small Business Legislative Affairs to the Assistant DCGS00492 Confidential Assistant to Administration Secretary for Legislative Affairs. the Executive Assistant. Effective SBGS60195 Special Assistant to the Effective October 21, 2003. October 09, 2003. Associate Administrator for Field DMGS00140 Senior Advisor to the DCGS00461 Confidential Assistant to Operations. Effective October 17, Privacy Officer. Effective October 24, the Chief Economist and Special 2003. 2003. Advisor to the Secretary. Effective SBGS60011 Deputy Associate DMGS00144 External Affairs October 10, 2003. Administrator to the Associate Coordinator to the Chief of Staff. DCGS00298 Special Assistant to the Administrator for Communications/ Effective October 24, 2003. Deputy Assistant Secretary for Public Liaison. Effective October 20, DMOT00139 Director of Special Communications and Information. 2003. Projects for Transportation Security Effective October 31, 2003. SBGS60091 Special Assistant to the Policy to the Assistant Administrator DCGS00639 Press Secretary to the Associate Administrator for for Transportation Security Policy. Director of Public Affairs. Effective Communications/Public Liaison. Effective October 27, 2003. October 31, 2003. Effective October 20, 2003. DMGS00146 Policy Advisor to the SBGS60200 Special Assistant to the Section 213.3315 Department of Labor Chief of Staff. Effective October 29, Deputy Associate Administrator for 2003. DLGS60219 Special Assistant to the Congressional and Legislative Affairs. DMGS00148 Public Affairs Specialist Chief of Staff. Effective October 03, Effective October 20, 2003. to the Director of Communications for 2003. Information Analysis and DLGS60272 Special Assistant to the Section 213.3334 Federal Trade Infrastructure Protection. Effective Director of Public Liaison. Effective Commission October 29, 2003. October 06, 2003. FTGS60006 Congressional Liaison DMGS00138 Deputy Assistant DLGS60195 Special Assistant to the Specialist to the Chairman. Effective Secretary for Legislative Affairs Assistant Secretary for Employment October 16, 2003. (Senate) to the Assistant Secretary for Standards. Effective October 14, 2003. Legislative Affairs. Effective October DLGS60025 Senior Legislative Officer Section 213.3337 General Services 30, 2003. to the Assistant Secretary for Administration DMGS00143 Senior Advance Congressional and Intergovernmental GSGS00063 Director of Marketing to Representative to the Chief of Staff. Affairs. Effective October 31, 2003. the Deputy Associate Administrator Effective October 30, 2003. DLGS60178 Special Assistant to the for Communications. Effective DMGS00150 Public Affairs Specialist Director, 21st Century Workforce. October 22, 2003. to the Director of Communications for Effective October 31, 2003. GSGS60073 Special Assistant to the Information Analysis and Chief of Staff. Effective October 31, Section 213.3316 Department of Infrastructure Protection. Effective 2003. Health and Human Services October 31, 2003 DHGS60523 Executive Director, Section 213.3342 Export-Import Bank Section 213.3312 Department of the President’s Council on Physical EBSL00032 Senior Vice President of Interior Fitness and Sports to the Assistant Congressional Affairs to the President DIGS00545 Special Assistant Secretary, Health. Effective October and Chairman. Effective October 31, (Communications Program Manager) 06, 2003. 2003.

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Section 213.3367 Federal Maritime SECURITIES AND EXCHANGE the Commission determines to order a Commission COMMISSION hearing on the matter. MCGS60006 Counsel to the For the Commission, by the Division of Issuer Delisting; Notice of Application Market Regulation, pursuant to delegated Commissioner to a Member. Effective To Withdraw From Listing and authority.5 October 31, 2003. Registration on the American Stock Jonathan G. Katz, Exchange LLC (Vasogen Inc., Common Secretary. Section 213.3382 National Endowment Stock, No Par Value) File No. 0–29350 for the Humanities [FR Doc. 03–31546 Filed 12–22–03; 8:45 am] December 17, 2003. BILLING CODE 8010–01–P NHGS60076 Director, We the People Vasogen Inc., a Canada corporation Office to the Deputy Chairman. (‘‘Issuer’’), has filed an application with Effective October 31, 2003. the Securities and Exchange SECURITIES AND EXCHANGE COMMISSION Section 213.3384 Department of Commission (‘‘Commission’’), pursuant to section 12(d) of the Securities Housing and Urban Development Issuer Delisting; Notice of Application Exchange Act of 1934 (‘‘Act’’)1 and Rule of Bio-Imaging Technologies, Inc. To DUGS60534 Deputy Director to the 12d2–2(d) thereunder,2 to withdraw its Withdraw Its Common Stock, $.00025 common stock, no par value Director, Center for Faith-Based and Par Value, From Listing and (‘‘Security’’), from listing and Community Initiatives. Effective Registration on the American Stock registration on the American Stock October 22, 2003. Exchange LLC File No. 1–11182 DUGS60337 Director of Media Exchange LLC (‘‘Amex’’ or ‘‘Exchange’’). The Board of Directors (‘‘Board’’) of Development to the Assistant December 17, 2003. the Issuer approved a resolution on Secretary for Public Affairs. Effective Bio-Imaging Technologies, Inc., a December 9, 2003 to withdraw the October 24, 2003. Delaware corporation (‘‘Issuer’’), has Issuer’s Security from listing on the filed an application with the Securities DUGS60317 Special Assistant to the Amex and to list such Security on the and Exchange Commission Regional Director. Effective October Nasdaq National Market System (‘‘Commission’’), pursuant to section 30, 2003. (‘‘Nasdaq NMS’’). The Board states that 12(d) of the Securities Exchange Act of it considered the following reason in its 1 Section 213.3391 Office of Personnel 1934 (‘‘Act’’) and Rule 12d2–2(d) decision to withdraw the Security from 2 Management thereunder, to withdraw its common listing and registration on the Amex: stock, $.00025 par value (‘‘Security’’), PMGS00044 Executive Director to the listing on the Nasdaq NMS represents a from listing and registration on the Director. Effective October 10, 2003. logical next step to support of the American Stock Exchange LLC (‘‘Amex’’ Issuer’s growth while offering or ‘‘Exchange’’). PMGS00045 Special Assistant to the shareholders increased liquidity. The Board of Directors (‘‘Board’’) of Chief of Staff. Effective October 29, The Issuer stated in its application the Issuer unanimously approved a 2003. that it has met the requirements of resolution on November 5, 2003 to Section 213.3394 Department of Amex Rule 18 by complying with all withdraw the Issuer’s Security from Transportation applicable laws in Canada, in which it listing on the Amex and to list the is incorporated, and with the Amex’s Security on the Nasdaq National Market DTGS60159 Special Assistant to the rules governing an issuer’s voluntary System (‘‘Nasdaq NMS’’). The Board Associate Administrator for Policy. withdrawal of a security from listing states that it is taking such action Effective October 10, 2003. and registration. because the Board believes that listing The Issuer’s application relates solely DTGS60292 Associate Director for on the Nasdaq NMS will provide to the withdrawal of the Securities from Intergovernmental Affairs to the additional liquidity to the Issuer’s listing on the Amex and from stockholders and provide additional Deputy Assistant Secretary for registration under section 12(b) of the benefits to the Issuer and its Governmental Affairs. Effective Act 3 and shall not affect its obligation stockholders such as, among other October 10, 2003. to be registered under section 12(g) of things, greater coverage by analysts and Section 213.3397 Federal Housing the Act.4 greater interest by institutional Finance Board Any interested person may, on or investors. before January 9, 2004, submit by letter The Issuer stated in its application FBOT00005 Staff Assistant to the to the Secretary of the Securities and that it has met the requirements of Chairman. Effective October 15, 2003. Exchange Commission, 450 Fifth Street, Amex Rule 18 by complying with all NW., Washington, DC 20549–0609, facts applicable laws in Delaware, in which Authority: 5 U.S.C. 3301 and 3302; E.O. bearing upon whether the application it is incorporated, and with the Amex’s 10577, 3 CFR 1954–1958 Comp., P. 218. has been made in accordance with the rules governing an issuer’s voluntary Office of Personnel Management. rules of the Amex and what terms, if withdrawal of a security from listing Kay Coles James, any, should be imposed by the and registration. Commission for the protection of The Issuer’s application relates solely Director. investors. The Commission, based on to the withdrawal of the Securities from [FR Doc. 03–31575 Filed 12–22–03; 8:45 am] the information submitted to it, will listing on the Amex and from BILLING CODE 6325–38–P issue an order granting the application registration under section 12(b) of the after the date mentioned above, unless Act 3 and shall not affect its obligation

1 15 U.S.C. 78l(d). 5 17 CFR 200.30–3(a)(1). 2 17 CFR 240.12d2–2(d). 1 15 U.S.C. 78l(d). 3 15 U.S.C. 78l(b). 2 17 CFR 240.12d2–2(d). 4 15 U.S.C. 78l(g). 3 15 U.S.C. 78l(b).

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to be registered under section 12(g) of Nasdaq NMS in order to improve the SECURITIES AND EXCHANGE the Act.4 trading volume and liquidity of the COMMISSION Any interested person may, on or Security that may be obtained through before January 9, 2004, submit by letter increased investor awareness afforded Issuer Delisting; Notice of Application to the Secretary of the Securities and by the Nasdaq NMS; and (ii) the Board of GB Holdings, Inc. and its Wholly- Exchange Commission, 450 Fifth Street, believes that there is no advantage to Owned Subsidiaries Greate Bay Hotel NW., Washington, DC 20549–0609, facts listing the Security on both Amex and and Casino, Inc. and GB Property bearing upon whether the application the Nasdaq NMS and that it is, Funding Corp., To Withdraw its 11% Notes (Due 2005) From Listing and has been made in accordance with the therefore, in the best interests of the Registration on the American Stock rules of the Amex and what terms, if Issuer and its shareholders to delist the any, should be imposed by the Exchange LLC File No. 1–15064 Security from the Amex. Commission for the protection of investors. The Commission, based on The Issuer stated in its application December 17, 2003. the information submitted to it, will that it has met the requirements of GB Holdings, Inc., (‘‘Holdings’’), and issue an order granting the application Amex Rule l8 by complying with all its wholly-owned subsidiaries Greate after the date mentioned above, unless applicable laws in California, in which Bay Hotel and Casino, Inc. the Commission determines to order a it is incorporated, and with the Amex’s (‘‘Operating’’) and GB Property Funding hearing on the matter. rules governing an issuer’s voluntary Corp. (‘‘Funding’’), incorporated in the States of Delaware and New Jersey withdrawal of a security from listing For the Commission, by the Division of (together the ‘‘Issuer’’), have filed an and registration. Market Regulation, pursuant to delegated application with the Securities and authority.5 The Issuer’s application relates solely Exchange Commission (‘‘Commission’’), Jonathan G. Katz, to the withdrawal of the Securities from pursuant to section 12(d) of the Secretary. listing on the Amex and from Securities Exchange Act of 1934 [FR Doc. 03–31547 Filed 12–22–03; 8:45 am] registration under section 12(b) of the (‘‘Act’’)1 and Rule 12d2–2(d) BILLING CODE 8010–01–P Act 3 and shall not affect its obligation thereunder,2 to withdraw the 11% Notes to be registered under section 12(g) of (due 2005) issued by Funding and the Act.4 guaranteed by Operating and Holdings SECURITIES AND EXCHANGE (‘‘Security’’), from listing and COMMISSION Any interested person may, on or before January 9, 2004, submit by letter registration on the American Stock Exchange LLC (‘‘Amex’’ or ‘‘Exchange’’). Issuer Delisting; Notice of Application to the Secretary of the Securities and The Board of Directors (‘‘Board’’) of of DepoMed, Inc., To Withdraw its Exchange Commission, 450 Fifth Street, the Issuer, by unanimous written Common Stock, No Par Value From NW., Washington, DC 20549–0609, facts consent, dated November 11, 2003, Listing and Registration on the bearing upon whether the application determined to withdraw the Issuer’s American Stock Exchange LLC File No. has been made in accordance with the Security from listing on the Amex. The 1–13111 rules of the Amex and what terms, if Board states that it reached its decision December 17, 2003. any, should be imposed by the to withdraw the Security from listing DepoMed, Inc., a California Commission for the protection of and registration on the Amex after corporation (‘‘Issuer’’), has filed an investors. The Commission, based on concluding that the existing listing has application with the Securities and the information submitted to it, will not resulted in an active trading market, Exchange Commission (‘‘Commission’’), issue an order granting the application which, the Board believes, results from pursuant to section 12(d) of the after the date mentioned above, unless several factors, including the fact that: Securities Exchange Act of 1934 the Commission determines to order a (i) There are only 44 noteholders of (‘‘Act’’)1 and Rule 12d2–2(d) hearing on the matter. record; (ii) an affiliate of the Issuer owns 2 approximately 58% of the aggregate thereunder, to withdraw its common For the Commission, by the Division of stock, no par value (‘‘Security’’), from Market Regulation, pursuant to delegated principal amount of the Security and six listing and registration on the American authority. 5 record holders own approximately 95.3% of the aggregate principal amount Stock Exchange LLC (‘‘Amex’’ or Jonathan G. Katz, ‘‘Exchange’’). of the Security; and (iii) in the past 60 The Board of Directors (‘‘Board’’) of Secretary. days only $3,717,000 of the Security has the Issuer unanimously approved a [FR Doc. 03–31548 Filed 12–22–03; 8:45 am] been traded on the Amex. Accordingly, resolution on December 5, 2003 to BILLING CODE 8010–01–P the continued listing of the Security withdraw the Issuer’s Security from does not serve either the Issuer’s interest listing on the Amex and list to list the or the interests of the holders of the Security on the Nasdaq National Market Security because an active trading System (‘‘Nasdaq NMS’’). The Board market on the Amex has not developed. states that it considered the following The Issuer stated in its application reasons in its decision to withdraw the that it has met the requirements of Security from listing and registration on Amex Rule l8 by complying with all the Amex: (i) the Board believes that it applicable laws in the States of would be in the best interest of the Delaware and New Jersey, in which it is Issuer and its shareholders that the incorporated, and with the Amex’s rules Security be listed for trading on the governing an issuer’s voluntary withdrawal of a security from listing 4 15 U.S.C. 78l(g). and registration. 5 17 CFR 200.30–3(a)(1). 3 15 U.S.C. 781(b). 1 15 U.S.C. 78l(d). 4 15 U.S.C. 781(g). 1 15 U.S.C. 78l(d). 2 17 CFR 240.12d2–2(d). 5 17 CFR 200.30–3(a)(1). 2 17 CFR 240.12d2–2(d).

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The Issuer’s application relates solely L.P.’s limited partner Redleaf Group, comments on the transaction to the to the withdrawal of the Securities from Inc. (an investor in Aspen Ventures III) Associate Administrator for Investment, listing on the Amex and from and an Associate of Aspen Ventures III, U.S. Small Business Administration, registration under section 12(b) of the L.P., currently owns greater than 10 409 Third Street, SW, Washington, DC Act 3 and shall not affect its obligation percent of RedSiren, Inc. and therefore 20416. to be registered under section 12(g) of is considered an Associate Aspen Dated: November 24, 2003. 4 the Act. Ventures III, L.P., as defined in §107.50 Jeffrey D. Pierson, Any interested person may, on or of the regulations. Associate Administrator for Investment. before January 9, 2004, submit by letter Notice is hereby given that any [FR Doc. 03–31520 Filed 12–22–03; 8:45 am] to the Secretary of the Securities and interested person may submit written Exchange Commission, 450 Fifth Street, comments on the transaction to the BILLING CODE 8025–01–P NW., Washington, DC 20549–0609, facts Associate Administrator for Investment, bearing upon whether the application U.S. Small Business Administration, has been made in accordance with the 409 Third Street, SW, Washington, DC SOCIAL SECURITY ADMINISTRATION rules of the Amex and what terms, if 20416. Agency Information Collection any, should be imposed by the Dated: December 11, 2003. Activities: Proposed Request and Commission for the protection of Jeffrey D. Pierson, Comment Request investors. The Commission, based on Associate Administrator for Investment. the information submitted to it, will The Social Security Administration issue an order granting the application [FR Doc. 03–31519 Filed 12–22–03; 8:45 am] (SSA) publishes a list of information after the date mentioned above, unless BILLING CODE 8025–01–P collection packages that will require the Commission determines to order a clearance by the Office of Management and Budget (OMB) in compliance with hearing on the matter. SMALL BUSINESS ADMINISTRATION For the Commission, by the Division of Pub. L. 104–13, the Paperwork Market Regulation, pursuant to delegated [License No. 09/79–0432] Reduction Act of 1995, effective October authority. 5 1, 1995. The information collection TeleSoft Partners II, SBIC, LP; Notice Jonathan G. Katz, packages that may be included in this Seeking Exemption Under Section 312 Secretary. notice are for new information of the Small Business Investment Act, collections, approval of existing [FR Doc. 03–31549 Filed 12–22–03; 8:45 am] Conflicts of Interest information collections, revisions to BILLING CODE 8010–01–P Notice is hereby given that TeleSoft OMB-approved information collections, Partners II SBIC, L.P., of 1450 Fashion and extensions (no change) of OMB- approved information collections. SMALL BUSINESS ADMINISTRATION Island Blvd, Suite 610, San Mateo, California 94404, a Federal Licensee SSA is soliciting comments on the [License No. 09/79–0420] under the Small Business Investment accuracy of the agency’s burden Act of 1958, as amended (‘‘the Act’’), in estimate; the need for the information; Aspen Ventures III, L.P.; Notice connection with the financing of a small its practical utility; ways to enhance its Seeking Exemption Under Section 312 concern, has sought an exemption under quality, utility, and clarity; and on ways of the Small Business Investment Act, section 312 of the Act and section to minimize burden on respondents, Conflicts of Interest 107.730, Financings which Constitute including the use of automated Conflicts of Interest of the Small collection techniques or other forms of Notice is hereby given that Aspen information technology. Written Ventures III, L.P., of 1000 Fremont Business Administration (‘‘SBA’’) rules and regulations (13 CFR 107.730 comments and recommendations Avenue, Suite 200, Los Altos, California regarding the information collection(s) 94024, a Federal Licensee under the (2001)). TeleSoft Partners II, SBIC, L.P. proposes to provide equity financing to should be submitted to the OMB Desk Small Business Investment Act of 1958, Officer and the SSA Reports Clearance as amended (‘‘the Act’’), in connection Aarohi Communications, Inc. of 405 River Oaks Parkway, San Jose, Officer. The information can be mailed with the financing of a small concern, and/or faxed to the individuals at the has sought an exemption under section California 95134, and to CreekPath Systems, Inc., of 7420 E. Dry Creek addresses and fax numbers listed below: 312 of the Act and section 107.703, (OMB) Financings which Constitute Conflicts Parkway, Suite 100, Longmont, Office of Management and Budget of Interest of the Small Business Colorado 80503. The financings are (OMB), Attn: Desk Officer for SSA, Administration (‘‘SBA’’) rules and contemplated for general corporate New Executive Building, Room regulations (13 CFR 107.730 (2001)). purposes including working capital, 10235, 725 17th St., NW, Washington, Aspen Ventures III, L.P. proposes to product development and marketing. DC 20503, Fax: 202–395–6974. provide equity financing to RedSiren, The financings are brought within the Inc. of 650 Smithfield Street Suite 900, purview of §107.730(a)(1) of the Social Security Administration (SSA), Pittsburgh, Pennsylvania 15222. The Regulations because TeleSoft Partners II, DCFAM, Attn: Reports Clearance financing is contemplated for general L.P. and TeleSoft Partners II QP, L.P., Officer, 1338 Annex Building, 6401 corporate purposes including research Associates of TeleSoft Partners II, SBIC, Security Blvd., Baltimore, MD 21235, and development, sales and marketing LP, currently own greater than 10 Fax: 410–965–6400. expansion and working capital. percent of Aarohi Communications, Inc. I. The information collections listed This financing is brought within the and CreekPath Systems, Inc. and below are pending at SSA and will be purview of §107.730(a)(1) of the therefore each company is considered submitted to OMB within 60 days from regulations because Aspen Ventures III an Associate TeleSoft Partners II, SBIC, the date of this notice. Therefore, your L.P., as defined in §107.50 of the comments should be submitted to SSA 3 15 U.S.C. 781(b). regulations. within 60 days from the date of this 4 15 U.S.C. 781(g). Notice is hereby given that any publication. You can obtain copies of 5 17 CFR 200.30–3(a)(1). interested person may submit written the collection instruments by calling the

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SSA Reports Clearance Officer at (410)– prisoners applying for replacement resolution of the complaints. The 965–0454 or by writing to the address Social Security cards. respondents are individuals who allege listed above. Type of Request: New information discrimination on the grounds described 1. Pain Report-Child—20 CFR 416.912 collection. above. and 416.1512—0960–0540. The Number of Respondents: 1,000. Type of Request: Extension of an information collected by form SSA– Frequency of Response: 200. OMB-approved information collection. 3371-BK will be used to obtain the types Average Burden Per Response: 3 Number of Respondents: 98. of information specified in the minutes. Frequency of Response: 1. regulations, and to provide disability Estimated Annual Burden: 10,000 Average Burden Per Response: 60 interviewers (and applicants/claimants hours. minutes. in self-help situations) with a II. The information collections listed Estimated Annual Burden: 98 hours. convenient means of recording the below have been submitted to OMB for 3. Pre-1957 Military Service Federal information obtained. This information clearance. Your comments on the Benefit Questionnaire—20 CFR is used by the State disability information collections would be most 404.1301–1371—0960–0120. Form SSA– determination services (DDS) useful if received by OMB and SSA 2512 collects data used in the claims adjudicators and administrative law within 30 days from the date of this adjudication process to grant gratuitous judges to assess the effects of symptoms publication. You can obtain a copy of military wage credits, when applicable, on functionality for determining the OMB clearance packages by calling and solicits sufficient information to disability under the Social Security Act. the SSA Reports Clearance Officer at make a determination of eligibility. The The respondents are applicants for (410) 965–0454, or by writing to the respondents are individuals who are Supplemental Security Income (SSI) address listed above. applying for Social Security benefits on 1. Blood Donor Locator Service—20 benefits. the record of a wage earner with pre- CFR 401.200—0960–0501. Section Type of Request: Extension of an 1957 military service. 1141(a) of the Social Security Act and OMB-approved information collection. Type of Request: Extension of an 42 U.S.C. 1320b-11 require that Number of Respondents: 250,000. OMB-approved information collection. participating State agencies provide the Frequency of Response: 1. Number of Respondents: 12,000. SSA Blood Donor Locator Service Frequency of Response: 1. Average Burden Per Response: 15 (BDLS) with specific information on Average Burden Per Response: 10 minutes. blood donors who have tested positive minutes. Estimated Annual Burden: 62,500 for Human Immunodeficiency Virus Estimated Average Burden: 2,000 hours. (HIV). SSA uses the information to hours. 2. Medical Permit Parking identify the donor and to locate the 4. Application for Supplemental Application—41 CFR 101–20.104–2— donor’s address in SSA records for the Security Income—20 CFR 416.305– 0960–0624. SSA issues medical parking purpose of notifying the states and 335—0960–0229. The information assignments at SSA-owned and -leased assuring that states meet regulatory collected using Form SSA–8000–BK (or facilities to individuals who have a requirements to qualify for using the during a personal interview) is needed medical condition which meets the BDLS. SSA will retain no record of the and is used to determine eligibility for criteria for medical parking. In order to request or the information after SSI and the amount of benefits payable issue a medical parking permit, SSA processing has been completed. The to the applicant. The respondents are must obtain medical evidence from the respondents are participating State applicants for SSI payments. applicant’s physician. Form SSA–3192- agencies acting on behalf of authorized Type of Request: Extension of an F4 is used to collect this information. blood donor facilities. OMB-approved information collection. SSA then uses the information to Type of Request: Extension of an Number of Respondents: 1,128,374. determine whether the individual OMB-approved information collection. Frequency of Response: 1. qualifies for a medical parking permit Number of Respondents: 10. Average Burden Per Response: 40 and whether or not to issue the permit. Frequency of Response: 5. minutes. The respondents are physicians of Average Burden Per Response: 15 Estimated Annual Burden: 752,249 applicants for medical parking permits. minutes. hours. Type of Request: Extension of an Estimated Annual Burden: 13 hours. 5. Statement of Household Expenses OMB-approved information collection. 2. Discrimination Complaint Form— and Contributions—20 CFR 416.1130– Number of Respondents: 144. 0960–0585. The information collected 1148—0960–0456. Eligibility for Frequency of Response: 1. on form SSA–437 is used by SSA to Supplemental Security Income (SSI) is Average Burden Per Response: 60 investigate and formally resolve based on need. A factor for determining minutes. complaints of discrimination based on need is whether an individual receives Estimated Annual Burden: 144 hours. race, color, national origin, sex, age, in-kind support and maintenance in the 3. Certification of Prison Records by religion, and retaliation in any program form of food and shelter provided by Prison Officials—20 CFR 422.107— or activity conducted by SSA. A person other persons. SSA collects information 0960-NEW. When a valid agreement is who believes that he or she has been on form SSA–8011–F3 to determine the in place, prison officials provide to SSA discriminated against on any of the existence and amount of in-kind specific information to attest to the above bases may file a written support and maintenance received by a identity of certain incarcerated U.S. complaint of discrimination. The claimant/beneficiary of SSI. SSA uses citizens who need replacement Social information will be used to identify the the information to determine eligibility Security cards. The information the complainant; identify the alleged and payment amount under this prison officials provide will be taken discriminatory act; ascertain the date of program. The respondents are members from the official prison files and will be such alleged act; obtain the identity of of SSI claimants’/beneficiaries’ used by SSA to establish the applicant’s the individual(s)/facility/component households. identity in the Social Security card that allegedly discriminated; and Type of Request: Revision of an OMB- process. The respondents are prison ascertain other relevant information that approved information collection. officials who certify identity of would assist in the investigation and Number of Respondents: 400,000.

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Frequency of Response: 1. the Listings of Impairments and the Titles II and XVI of the Social Security Average Burden Per Response: 15 court remanded the case to us for Act. minutes. further administrative proceedings, you Issue: For cases originally decided by Estimated Annual Burden: 100,000 may request application of this Social Administrative Law Judges (ALJs) or the hours. Security Acquiescence Ruling. You Appeals Council before September 20, Dated: December 16, 2003. must demonstrate, pursuant to 20 CFR 2000, which version of listing 12.05 or 112.05 to use on remand from a Federal Elizabeth A. Davidson, 404.985(b)(2) or 416.1485(b)(2), that application of the Ruling could change court in the Seventh Circuit, and how Reports Clearance Officer, Social Security that listing should be applied. Administration. our prior decision in your case. Additionally, when we received this Statute/Regulation/Ruling Citation: [FR Doc. 03–31521 Filed 12–22–03; 8:45 am] Sections 205(b)and (g), 223, BILLING CODE 4191–02–P precedential Court of Appeals’ decision and determined that a Social Security 1614(a)(3)and(4)of the Social Security Act (42 U.S.C. 405(b) and (g), 423, Acquiescence Ruling might be required, 1382c(a)(3) and (4)); 20 CFR 404.1505, we began to identify those claims that SOCIAL SECURITY ADMINISTRATION 404.1520, 404.1520a, 404.1525, 416.905, were pending before us within the [Social Security Acquiescence Ruling 03– 416.906, 416.920, 416.920a, 416.924, circuit that might be subject to 1(7)] 416.925, and 20 CFR Part 404, Subpart readjudication if an Acquiescence P, Appendix 1, sections 12.05 and Ruling were subsequently issued. Blakes v. Barnhart; Court Cases 112.05. Involving Sections 12.05 and 112.05 of Because we determined that an Circuit: Seventh (Illinois, Indiana, the Listing of Impairments That Are Acquiescence Ruling is required and are Wisconsin). Remanded for Further Proceedings— publishing this Social Security Blakes v. Barnhart, 331 F.3d 565 (7th Titles II and XVI of the Social Security Acquiescence Ruling, we will send a Cir. 2003). Act notice to those individuals whose Applicability of Ruling: This Ruling claims we have identified which may be applies only to court remands at the AGENCY: Social Security Administration. affected by this Social Security Administrative Law Judge (ALJ) hearing ACTION: Notice of Social Security Acquiescence Ruling. The notice will and Appeals Council levels of the Acquiescence Ruling. provide information about the administrative review process. Acquiescence Ruling and the right to Description of Case: Sandra Blakes SUMMARY: In accordance with 20 CFR request readjudication under the Ruling. applied for Supplemental Security 402.35(b)(2), the Commissioner of Social It is not necessary for an individual to Income payments based on disability on Security gives notice of Social Security receive a notice in order to request behalf of her son, Lamanuel Wolfe, Jr., Acquiescence Ruling 03–1(7). application of this Social Security in 1998, when Lamanuel was 5 years EFFECTIVE DATE: December 23, 2003. Acquiescence Ruling to the prior old. At the ALJ hearing, Blakes FOR FURTHER INFORMATION CONTACT: decision on his or her claim as provided presented evidence that Lamanuel was Cassia Parson, Office of Acquiescence in 20 CFR 404.985(b)(2) or being treated for a seizure disorder and and Litigation Coordination, Social 416.1485(b)(2), discussed above. had received services for speech and Security Administration, 6401 Security If this Social Security Acquiescence language delays. There was also Boulevard, Baltimore, MD 21235–6401, Ruling is later rescinded as obsolete, we evidence of Stanford-Binet IQ testing in (410) 966–0446, or TTY (800) 966–5609. will publish a notice in the Federal February 1999 that resulted in a SUPPLEMENTARY INFORMATION: We are Register to that effect as provided for in composite score of 81 and subarea publishing this Social Security 20 CFR 404.985(e) or 416.1485(e). If we scores as low as 70. Acquiescence Ruling in accordance decide to relitigate the issue covered by The ALJ accepted the intelligence with 20 CFR 402.35(b)(2). this Social Security Acquiescence testing scores as valid. The ALJ also A Social Security Acquiescence Ruling as provided for by 20 CFR acknowledged that Lamanuel was Ruling explains how we will apply a 404.985(c) or 416.1485(c), we will receiving services for speech and holding in a decision of a United States publish a notice in the Federal Register language delays and being treated for a Court of Appeals that we determine stating that we will apply our possible seizure disorder. The ALJ noted conflicts with our interpretation of a interpretation of the Act or regulations a speech and language assessment provision of the Social Security Act (the involved and explaining why we have which demonstrated severe delays in Act) or regulations when the decided to relitigate the issue. speech intelligibility and receptive and Government has decided not to seek (Catalog of Federal Domestic expressive language. However, the ALJ further review of that decision or is Assistance, Program Nos. 96.001 Social rejected Lamanuel’s claim that the unsuccessful on further review. Security—Disability Insurance; 96.002 requirements of the listing for mental We will apply the holding of the Social Security—Retirement Insurance; retardation were met because the Court of Appeals’ decision as explained 96.004 Social Security—Survivors evidence did not establish that in this Social Security Acquiescence Insurance; 96.006—Supplemental Lamanuel had mental retardation. The Ruling. This Social Security Security Income.) ALJ stated that the examiner who Acquiescence Ruling will apply to all performed the intelligence testing decisions where the Agency issued a Dated: October 31, 2003. specifically stated that Lamanuel had a final decision prior to the effective date Jo Anne B. Barnhart, good prognosis, and that his language of the 2000 mental impairment rules Commissioner of Social Security. problems caused only minimal effects (September 20, 2000), and the Acquiescence Ruling 03–1(7) on his activities of daily living. In light Commissioner’s new final decision after of that examiner’s findings, the ALJ court remand was issued or will be Blakes v. Barnhart, 331 F.3d 565 (7th concluded that the evidence did not issued on or after December 23, 2003. If Cir. 2003)—Cases Involving Sections describe a person who has mental we made a decision on your application 12.05 and 112.05 of the Listing of retardation. The ALJ also found that for benefits prior to September 20, 2000, Impairments That Are Remanded By a Lamanuel’s impairments did not under Sections 12.05 and or 112.05 of Court for Further Proceedings Under medically equal any listing or

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functionally equal the listings. Court of Appeals also held that, on was adjudicated, since that decision has Therefore, she found that Lamanuel was remand, the ALJ should apply the Court been vacated. Rather, as is the case with not disabled. of Appeals’ interpretation of the pre- respect to other determinations and The Appeals Council denied the September 20, 2000, version of the decisions, we apply our current rules to request for review and the claimant listings. the entire period at issue. appealed to the United States District The Court of Appeals, on the other Statement As To How Blakes Differs Court for the Eastern District of hand, concluded that, on remand, the From SSA’s Interpretation Wisconsin. The United States Magistrate ALJ should apply the pre-September 20, Judge recommended that the ALJ’s Our interpretation of the pre- 2000, version of the Listings (as the decision be affirmed, because the September 20, 2000, version of Listings Court interpreted it, different from our conclusion that Lamanuel did not have 12.05 and 112.05 is the same as our intent), even though the ALJ will issue mental retardation was supported by interpretation of the current listings. the hearing decision after the September substantial evidence. The district court The diagnostic description of mental 20, 2000, effective date of the final rules. adopted the Magistrate Judge’s report retardation contained in the Explanation of How SSA Will Apply the and recommendation, and found that introductory paragraph of these Listings, Blakes Decision Within the Circuit the ALJ had adequately supported her or ‘‘capsule definition,’’ is an integral conclusion that Lamanuel did not have part of their criteria, as in all of the This Ruling applies only to cases in mental retardation. The district court mental disorders listings. For example, which the claimant resides or resided in therefore affirmed the Social Security in Acquiescence Ruling 98-2(8), Illinois, Indiana, Wisconsin at the time Administration’s (SSA’s) final decision. acquiescing in the decision in Sird v. of the court remand and applies only to On appeal to the United States Court Chater, 105 F.3d 401 (8th Cir. 1997), we ALJ hearing or Appeals Council of Appeals for the Seventh Circuit, explained that ‘‘SSA’s interpretation of decisions made pursuant to a court’s Blakes offered several arguments. Blakes the [pre-September 2000 version of ] remand order. argued that the ALJ failed to build a Listing [12.05] is that, if an individual This Ruling applies to any case ‘‘logical bridge’’ between the evidence has: involving: and her conclusions, and that the ALJ (1) mental retardation, i.e., (1) A final ALJ’s or Appeals Council’s relied on her own judgment about the significantly subaverage general decision, made prior to September 20, cause of Lamanuel’s impairments intellectual functioning with deficits in 2000, that was appealed to and without any medical support in the adaptive behavior initially manifested remanded by the court, and; and record for that judgment. In addition, during the developmental period, or (2) Evidence of a medically she argued that the ALJ should have autism, i.e., a pervasive developmental determinable mental impairment to be called upon a medical expert to testify disorder characterized by social and evaluated under Listings 12.05 or at the hearing, and that Lamanuel’s significant communication deficits 112.05. impairments met the requirements of originating in the developmental period; In deciding cases that meet the Listing 112.05D. 1 (2) a valid verbal, performance or full criteria in the preceding two paragraphs, In remanding the case for further scale IQ in the range specified by Listing the ALJ or Appeals Council will apply proceedings, including testimony from 12.05C; and the Seventh Circuit’s interpretation of an expert witness, the Court of Appeals (3) a physical or other mental the pre-September 20, 2000, version of held that the ALJ must apply the pre- impairment that is severe within the Listings 12.05 or 112.05. The ALJ or the September 20, 2000, version of listing meaning of 20 CFR 404.1520(c) or Appeals Council will not require that 112.05 in this case as the Court 416.920(c), the individual’s the claimant meet the capsule definition 3 interpreted it. The Court noted that after impairments meet Listing 12.05C.’’ of mental retardation in order to meet the ALJ had decided the case, SSA Therefore, the revisions that became Listing 12.05 or 112.05. To meet a issued final rules that, among other effective on September 20, 2000, were listing, the claimant need only satisfy things, revised Listings 12.05 and intended only to clarify sections 12.00A the requirements of subsections A 112.05.2 The court stated that the new and 112.00A of the introductory text of through D of listing 12.05 or subsections version of listing 112.05 ‘‘introduced a the mental disorders listings and were A through F of listing 112.05, as new, dual requirement’’ that an not a change in policy. See 65 FR at appropriate to the individual’s age. individual satisfy the diagnostic 50776, 50779. [FR Doc. 03–31522 Filed 12–22–03; 8:45 am] The holding is also inconsistent with description of the introductory BILLING CODE 4191–02–F paragraph and one of the six sets of our interpretation of the effective date criteria following the introductory provision of the final rules that became effective on September 20, 2000. We paragraph. The Court of Appeals held DEPARTMENT OF STATE that the pre-September 20, 2000, version interpret the effective date provision of of the Listings that had been applied by the final mental disorders rules to mean [Public Notice 4564] the ALJ in her decision did not require that, when a court decides a case after an individual to meet the diagnostic the effective date of the final rules, Culturally Significant Objects Imported description for mental retardation, only reverses the Commissioner’s final for Exhibition Determinations: ‘‘The the other criteria of the Listing. The decision, and remands the case for Annunciation and The Bridge at further administrative proceedings, we Courbevoie’’ 1 will apply the provisions of the final Although Blakes was a title XVI childhood AGENCY: Department of State. disability case involving the application of Listing rules on remand to the entire period at 112.05D, similar principles also apply to disability issue in the claim. We do not apply the ACTION: Notice. claims involving Listing 12.05 under title II and version of our rules that the adjudicator title XVI of the Act. Therefore, this Ruling extends SUMMARY: applied at the time the case originally Notice is hereby given of the to both title II and title XVI disability claims following determinations: Pursuant to involving Listings 12.05 and 112.05. 2 See 65 FR 50746 (2000). The final rules were 3 We rescinded Acquiescence Ruling 98-2(8) the authority vested in me by the Act of published on August 21, 2000, and they became when re revised the mental disorders listings in October 19, 1965 (79 Stat. 985; 22 U.S.C. effective on September 20, 2000. Id. at 50746. 2000. 65 FR 50784 (2000). 2459), Executive Order 12047 of March

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27, 1978, the Foreign Affairs Reform and determine that the objects to be foreign owner. I also determine that the Restructuring Act of 1998 (112 Stat. included in the exhibit, ‘‘A Beautiful exhibition or display of the exhibit 2681, et seq.; 22 U.S.C. 6501 note, et and Gracious Manner: The Art of objects at the Bruce Museum of Arts and seq.), Delegation of Authority No. 234 of Parmigianino,’’ imported from abroad Science, Greenwich, CT from on or October 1, 1999, and Delegation of for the temporary exhibition without about January 31, 2004 to on or about Authority No. 236 of October 19, 1999, profit within the United States, are of May 2, 2004 and at possible additional as amended, and Delegation of cultural significance. The objects are venues yet to be determined, is in the Authority No. 257 of April 15, 2003 (68 imported pursuant to loan agreements national interest. Public Notice of these FR 19875), I hereby determine that the with foreign lenders. I also determine Determinations is ordered to be objects to be included in the exhibition that the temporary exhibition or display published in the Federal Register. ‘‘The Annunciation and The Bridge at of the objects at The Frick Collection, FOR FURTHER INFORMATION CONTACT: For Courbevoie,’’ imported from abroad for New York, New York, from on or about further information, including a list of temporary exhibition within the United January 27, 2004, to on or about April the exhibit objects, contact Carol B. States, are of cultural significance. The 18, 2004, and possible additional Epstein, Attorney-Adviser, Office of the objects are imported pursuant to a loan venues yet to be determined is in the Legal Adviser, Department of State, agreement with the foreign owner. I also national interest. Public Notice of these (telephone: 202/619–6981). The address determine that the exhibition or display determinations is ordered to be is Department of State, SA–44, 301 4th of the exhibit objects at The J. Paul Getty published in the Federal Register. Street, SW., Room 700, Washington, DC Trust, Los Angeles, CA from on or about FOR FURTHER INFORMATION CONTACT: For 20547–0001. January 13, 2004 to on or about April further information, including a list of Dated: December 16, 2003. 25, 2004 and at possible additional the exhibit objects, contact Paul W. C. Miller Crouch, venues yet to be determined, is in the Manning, Attorney-Adviser, Office of Principal Deputy Assistant Secretary for national interest. Public Notice of these the Legal Adviser, 202/619–5997, and Determinations is ordered to be Educational and Cultural Affairs, Department the address is United States Department of State. published in the Federal Register. of State, SA–44, Room 700, 301 4th [FR Doc. 03–31580 Filed 12–22–03; 8:45 am] FOR FURTHER INFORMATION CONTACT: For Street, SW., Washington, DC 20547– BILLING CODE 4710–08–P further information, including a list of 0001. the exhibit objects, contact Carol B. Dated: December 11, 2003. Epstein, Attorney-Adviser, Office of the C. Miller Crouch, DEPARTMENT OF STATE Legal Adviser, Department of State, Principal Deputy Assistant Secretary for [Public Notice 4567] (telephone: 202/619–6981). The address Educational and Cultural Affairs, Department is Department of State, SA–44, 301 4th of State. Culturally Significant Objects Imported Street, SW., Room 700, Washington, DC [FR Doc. 03–31583 Filed 12–22–03; 8:45 am] for Exhibition Determinations: ‘‘Return 20547–0001. BILLING CODE 4710–08–P of the Buddha: The Qingzhou Dated: December 16, 2003. Discoveries’’ C. Miller Crouch, Principal Deputy Assistant Secretary for DEPARTMENT OF STATE AGENCY: Department of State. ACTION: Educational and Cultural Affairs, Department [Public Notice 4563] Notice. of State. SUMMARY: Notice is hereby given of the [FR Doc. 03–31581 Filed 12–22–03; 8:45 am] Culturally Significant Objects Imported following determinations: Pursuant to BILLING CODE 4710–08–P for Exhibition Determinations: ‘‘Love the authority vested in me by the Act of Letters: Dutch Genre Paintings in the October 19, 1965 (79 Stat. 985; 22 U.S.C. Age of Vermeer’’ DEPARTMENT OF STATE 2459), Executive Order 12047 of March AGENCY: Department of State. 27, 1978, the Foreign Affairs Reform and [Public Notice 4566] ACTION: Notice. Restructuring Act of 1998 (112 Stat. 2681, et seq.; 22 U.S.C. 6501 note, et Culturally Significant Objects Imported SUMMARY: Notice is hereby given of the seq.), Delegation of Authority No. 234 of for Exhibition Determinations: ‘‘A following determinations: Pursuant to October 1, 1999, Delegation of Authority Beautiful and Gracious Manner: The the authority vested in me by the Act of No. 236 of October 19, 1999, as Art of Parmigianino’’ October 19, 1965 (79 Stat. 985; 22 U.S.C. amended, and Delegation of Authority DEPARTMENT: Department of State. 2459), Executive Order 12047 of March No. 257 of April 15, 2003 [68 FR 19875], ACTION: Notice. 27, 1978, the Foreign Affairs Reform and I hereby determine that the objects to be Restructuring Act of 1998 (112 Stat. included in the exhibition ‘‘Return of SUMMARY: Notice is hereby given of the 2681, et seq.; 22 U.S.C. 6501 note, et the Buddha: The Qingzhou following determinations: Pursuant to seq.), Delegation of Authority No. 234 of Discoveries,’’ imported from abroad for the authority vested in me by the Act of October 1, 1999, and Delegation of temporary exhibition within the United October 19, 1965 [79 Stat. 985, 22 U.S.C. Authority No. 236 of October 19, 1999, States, are of cultural significance. The 2459], the Foreign Affairs Reform and as amended, and Delegation of objects are imported pursuant to loan Restructuring Act of 1998 [112 Stat. Authority No. 257 of April 15, 2003 [68 agreements with the foreign owners. I 2681 et seq.], Delegation of Authority FR 19875], I hereby determine that the also determine that the exhibition or No. 234 of October 1, 1999 [64 FR objects to be included in the exhibition display of the exhibit objects at the 56014], Delegation of Authority No. 236 ‘‘Love Letters: Dutch Genre Paintings in Arthur M. Sackler Gallery, Smithsonian of October 19, 1999 [64 FR 57920], as the Age of Vermeer,’’ imported from Institution, from on or about March 20, amended by Delegation of Authority No. abroad for temporary exhibition within 2004 until on or about August 8, 2004, 236–3 of August 28, 2000 [65 FR 53795], the United States, are of cultural and at possible additional venues yet to and Delegation of Authority No. 257 of significance. The objects are imported be determined, is in the national April 15, 2003 [68 FR 19875], I hereby pursuant to a loan agreement with the interest. Public Notice of these

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Determinations is ordered to be Dated: December 11, 2003. amended, 8 U.S.C. 1189, the Secretary published in the Federal Register. C. Miller Crouch, of State, in consultation with the FOR FURTHER INFORMATION CONTACT: For Principal Deputy Assistant Secretary for Secretary of the Treasury and the further information, including a list of Educational and Cultural Affairs, Department Attorney General, hereby redesignates, the exhibit objects, contact Damir of State. effective December 23, 2003, the Arnaut, the Office of the Legal Adviser, [FR Doc. 03–31582 Filed 12–22–03; 8:45 am] following two organizations as foreign U.S. Department of State, (telephone: BILLING CODE 4710–08–P terrorist organizations: 202/619–6982). The address is U.S. Lashkar e-Tayyiba Department of State, SA–44, 301 4th Street, SW., Room 700, Washington, DC DEPARTMENT OF STATE Also known as Lashkar e-Toiba 20547–0001. [Public Notice 4560] Also known as Lashkar-i-Taiba Dated: December 11, 2003. Also known as al Mansoorian Determinations Pursuant to Executive C. Miller Crouch, Also known as al Mansooreen Order 13224 Relating to Jaish e- Principal Deputy Assistant Secretary for Mohammed and Lashkar e-Tayyiba Also known as Army of the Pure Educational and Cultural Affairs, Department Also known as the Army of the of State. The Secretary of State, in consultation Righteous [FR Doc. 03–31584 Filed 12–22–03; 8:45 am] with the Secretary of the Treasury, the Also known as the Army of the Pure and BILLING CODE 4710–08–P Attorney General, and the Secretary of Righteous Homeland Security, has amended the designation of Jaish e-Mohammed Jaish e-Mohammed DEPARTMENT OF STATE pursuant to Executive Order 13224 to Also known as the Army of Mohammed [Public Notice 4565] add the following names as aliases: Khuddam-ul-Islam Also known as Mohammed’s Army Culturally Significant Objects Imported Khudamul Islam Also known as Tehrik ul-Furqaan for Exhibition Determinations: ‘‘Turner Kuddam e Islami. Also known as Khuddam-ul-Islam and Venice’’ The Secretary of State, in consultation Also known as Khudamul Islam AGENCY: Department of State. with the Secretary of the Treasury, the Also known as Kuddam e Islami Attorney General, and the Secretary of ACTION: Notice. Homeland Security, has amended the Dated: December 16, 2003. William P. Pope, SUMMARY: Notice is hereby given of the designation of Lashkar e-Tayyiba following determinations: Pursuant to pursuant to Executive Order 13224 to Acting Coordinator for Counterterrorism, Department of State. the authority vested in me by the Act of add the following names as aliases: October 19, 1965 (79 Stat. 985; 22 U.S.C. al Mansoorian [FR Doc. 03–31570 Filed 12–22–03; 5:00 pm] 2459), Executive Order 12047 of March al Mansooreen BILLING CODE 4710–10–P 27, 1978, the Foreign Affairs Reform and Army of the Pure Restructuring Act of 1998 (112 Stat. Army of the Pure and Righteous. DEPARTMENT OF STATE 2681, et seq.; 22 U.S.C. 6501 note, et Consistent with the determination in seq.), Delegation of Authority No. 234 of section 10 of Executive Order 13224 that October 1, 1999, Delegation of Authority ‘‘prior notice to persons determined to [Public Notice 4562] No. 236 of October 19, 1999, as be subject to the Order who might have Bureau of Educational and Cultural amended, and Delegation of Authority a constitutional presence in the United Affairs Request for Grant Proposals: No. 257, I hereby determine that the States would render ineffectual the 2004 Summer Institute for English objects to be included in the exhibition blocking and other measures authorized Language Educators from South Africa ‘‘Turner and Venice,’’ imported from in the Order because of the ability to transfer funds instantaneously’’, no abroad for temporary exhibition within SUMMARY: The African Programs Branch, the United States, are of cultural prior notice need be provided to any Office of Academic Exchange Programs significance. The objects are imported person subject to this determination of the Bureau of Educational and pursuant to loan agreements with the who might have a constitutional Cultural Affairs announces an open foreign owners and/or custodian. I also presence in the United States, because competition for the 2004 Summer determine that the exhibition or display to do so would render ineffectual the Institute for English Language Educators of the exhibit objects at the Kimbell Art measures authorized in the Order. from South Africa. Accredited, post- Museum, Fort Worth, Texas, from on or Dated: December 16, 2003. secondary educational institutions about February 15, 2004 to on or about William P. Pope, meeting the provisions described in May 30, 2004, and at possible additional Acting Coordinator for Counterterrorism, Internal Revenue Code section 26 U.S.C. venues yet to be determined, is in the Department of State. 501(c)(3) may submit proposals to national interest. Public Notice of these [FR Doc. 03–31569 Filed 12–22–03; 5:00 pm] provide a six-week academic training Determinations is ordered to be BILLING CODE 4710–10–P program for approximately 28 English published in the Federal Register. language educators form South Africa. FOR FURTHER INFORMATION CONTACT: For Subject to availability of funds, one further information, including a list of DEPARTMENT OF STATE grant will be awarded to conduct the the exhibit objects, contact Walter R. 2004 Institute. Sulzynsky, the Office of the Legal [Public Notice 4561] Important Note: This Request for Grant Adviser, U.S. Department of State, Redesignation of Foreign Terrorist Proposals contains language in the (telephone: 202/619–5078). The address Organizations ‘‘Shipment and Deadline for Proposals’’ is U.S. Department of State, SA–44, 301 section that is significantly different from 4th Street, SW., Room 700, Washington, Pursuant to section 219 of the that used in the past. Please pay special DC 20547–0001. Immigration and Nationality Act, as attention to procedural changes as outlined.

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Program Information minimum. Participants should be given Africa at the conclusion of the ample opportunity to work together and Washington program. Overview learn from each other as well as from Specific areas to address in the American institutions of higher their American instructors. Given the Institute are: education having an acknowledged project-based orientation exploring the 1. Materials development/delivery reputation in the field of English-as-a- themes of HIV-AIDS, civic education with an emphasis on content-based ESL Second Language (ESL) and in and civil society, and economics/ instruction. Techniques for continuous curriculum design may apply to develop entrepreneurship, participants will be assessment should also be addressed. and deliver a six-week summer program able to share not only content but Thematic issues should include HIV- for approximately twenty-eight English relevant ESL materials with their AIDS, civic education and civil society language educators from South Africa. colleagues and home institutions. and entrepreneurship/economics. The Summer Institute should be Participants will receive an educational 2. Classroom management (for programmed to encompass about 45 materials allowance. days and should begin on or about June secondary levels). Few participants will have visited the 3. Education Technology: 14, 2004. A variation in start date, up to United States previously. In view of one week beyond June 14, 2004, will be (a) Introduction and/or enrichment of this, an initial orientation to the computer-based word processing and considered if it is necessitated by the university community and a brief host institution’s academic calendar. appropriate software for participants introduction to U.S. society and who lack these skills. Introduction to The first five weeks of the program will education should be an integral part of consist of academic coursework computer networks for ESL the Institute and should be held on the professionals. specializing in project-based ESL first two to three days of the program. materials development/delivery (b) Introduction and/or enrichment of focusing on three content-based areas: Guidelines knowledge of e-mail and the Internet as HIV-AIDS, civic education and civil pedagogic and research tools. Applicants should design a two-part society, and economics/ program: 4. Visits to: entrepreneurship). The Institute will (a) Local institutions and include instruction in classroom (1) A five-week academic program supporting South Africa’s goal of organizations related to thematic areas. management and curriculum design to (b) On-going ESL classes at the host support these ESL content-based education transformation through the delivery of intensive training in content- institution, other universities, and in projects at the secondary and tertiary local educational or community centers, levels. Participants, with the help of the based materials development, classroom management, continuous assessment providing participants with host institution, will develop a web site opportunities to observe ESL for all projects. The sixth week will and curriculum design for Outcomes Based Education (OBE) and ESL methodology, materials, and multi- consist of an escorted cultural and cultural classrooms featuring content- educational tour of Washington DC. learning (English across the curriculum) at the secondary and tertiary levels. based language learning across the The 2004 Summer Institute for curriculum. English Language Educators from South Division of the group into 3–4 5. Involvement of participants in Africa will provide participants with manageable project teams, each with a American culture through community/ intensive training in the fundamentals selected thematic/content focus and of content-based ESL materials each targeting the particular needs of cultural activities. This should include development/delivery, continuous the secondary and tertiary levels is interaction with Americans from a assessment, classroom management and essential. Training should be sensitive variety of backgrounds. curriculum design. These four areas are to any special needs of the South 6. Formative evaluation and critical in South Africa where educators African participants. adjustment of program components are attempting to create a new English (2) A one-week escorted visit to accordingly, as well as summative curriculum in a context of educational Washington, DC, planned, arranged, and evaluation of the entire Institute upon transformation and Outcomes Based conducted by the Institute Program its completion. Education (OBE). Given the need to Director and principal Institute staff. In accordance with the objectives of teach content-based English across the The Washington program should be the Summer Institute, participants will South African curriculum, English seen as an integral part of the Summer concentrate on their thematic program language educators are key personnel Institute, complementing and projects. However, the academic for quality learning. Presently, there reinforcing both the academic and program should provide time for exists a severe shortage of skilled thematic content. This escorted visit interaction with American students, classroom educators. South African should take place at the end of the faculty, and school administrators, and teachers will need to produce and Institute. Programming in Washington the local community to promote mutual deliver culturally appropriate and will include a half-day briefing session understanding between the people of pedagogically sound content-based at the Bureau of Educational and the United States and South Africa. In materials in a multi-cultural setting. Cultural Affairs, United States this regard, the Institute should The Summer Institute will also Department of State. Additionally, visits incorporate cultural features such as provide structured exposure to U.S. to such organizations as TESOL, a community and cultural activities, field culture and the diversity of America. regional university, local school systems trips to places of local interest; home The challenges of teaching in a multi- and teacher resource centers, are stays with families in the area (with cultural society should be a component encouraged. A visit to the Embassy of other educators if possible), and events of the program. The program should South Africa should also be planned. that will bring the participants into maintain a relative balance among Proposals may include cultural and contact with Americans from a variety discussion sessions, lectures and educational visits en route to of backgrounds. collaborative workshops. A web site is Washington, if such stops contribute to Programs must comply with J–1 visa recommended for participants’ projects. program quality and are cost-effective. regulations. Please refer to Solicitation Lengthy lectures should be kept to a The participants will return to South Package for further information.

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Participants 4. Cultural activities facilitating the Institute. The Bureau will arrange Participants, to be selected by Public interaction among the South African participants’ international travel. The Affairs Section of the U.S. Embassy in participants, American students, participants will arrive directly at the Pretoria, will be South African faculty, and administrators and the local Institute site from their home countries. educators involved with English community to promote mutual It is expected that the Institute program language instruction. Professionally, understanding between the people of staff will make arrangements to have they can be teacher-trainers, subject the United States and the people of participants met upon arrival at the advisors, curriculum developers, and South Africa, planned within the five- airport nearest the host campus. learning facilitators/coordinators. The week academic program. Departures will be from Washington, selected participants will be drawn from 5. A one-week, escorted, cultural and DC. Participants will be given public and private sectors including the educational visit to Washington, DC, international tickets, which will include national and provincial departments of complementing and reinforcing the the leg from the host institution to education, teacher resource centers, academic material. The visit will be Washington, DC, if necessary. The non-governmental organizations, planned, arranged and conducted by the Institute staff will plan for ground university departments of education and Institute Program Director and staff. transportation to and from Washington teacher training colleges. 6. Follow-on communication among area airports. Minimum qualification for all participants and the U.S. institution to Proposals should describe the participants will be a three-year teacher- continue exchanges of ideas developed available health care system and the training diploma with preference given during the Institute. plan to provide health care access to to candidates with university degrees. 7. Assistance to participants in Institute participants. The Department Recruitment will concentrate on English selecting, purchasing and shipping of State will provide limited health language educators who are actively materials to use in follow-on activities insurance coverage to all participants. involved at secondary and tertiary and training projects in South Africa. The host institution will be responsible levels, some of whom may be relatively Orientation: The host institution for enrolling the participants in the inexperienced but are identified as should plan to conduct either a pre- insurance program with materials having leadership potential. Depending program needs assessment if time supplied by the Department. upon availability of funds, allows, or a needs assessment upon the Budget Guidelines: Applicants must approximately 28 participants from arrival of the participants. The Institute submit a comprehensive line-item South Africa will participate in the Director should be prepared to adjust budget for the entire program. There Institute. program emphasis as necessary to must be a summary budget as well as respond to participants’ professional Program Elements breakdowns reflecting both concerns. administrative and program budgets. The Public Affairs Section of the U.S. The proposal should be designed to Applicants may provide separate sub- Embassy, Pretoria, will hold a pre- support the following specific activities: budgets for each program component, departure orientation for all participants 1. Pre-program communication among phase, location, or activity in order to in South Africa. The grantee institution participants and the U.S. institution to provide clarification. will be expected to provide general facilitate an exchange of ideas The Bureau anticipates awarding one orientation materials for this meeting. developed for the Institute. grant in an amount not-to-exceed This material might include a tentative Communication should be e-mail based. $175,000 to support program and 2. Creation of a Web site identifying program outline with suggested goals administrative costs required to the program goals/syllabus and on-going and objectives, relevant background implement this program. Grants participant thematic projects. The site information about the U.S. institutions awarded to eligible organizations with should be a dynamic resource, with and individuals involved in the project, less than four years of experience in weekly updates during the duration of and information about the local conducting international exchange the program, and regular updates in housing, climate, and available services. South Africa following program programs are limited to $60,000. Program Administration completion. The web site should Therefore, such organizations are display each of the three completed All Summer Institute programming ineligible for this competition. The theme-based projects. The participants and administrative logistics, Bureau encourages applicants to should develop site content, while site management of the academic program provide maximum levels of cost-sharing construction and Internet hosting and the educational tour, and on-site and funding from private sources in should be provided by the grantee arrangements will be the responsibility support of its programs. institution. All Institute participants of the grantee institution. Allowable costs for the program should receive a CD-ROM of their Web The grantee institution is responsible include the following: site creation. for arrangements for lodging, food, 1. Instructional costs (for example: 3. A five-week academic program maintenance and local travel for instructors’ salaries, honoraria for comprising coursework on participants while at the host institution outside speakers, educational course —Project-based English for content- and in Washington. The host institution materials); based instruction, should strive to balance cost- 2. Lodging, meals, and incidentals for —Theory and practice of continuous effectiveness in accommodations and participants; assessment, meal plans with flexibility for differing 3. Expenses associated with cultural —Use of the Internet and web resources diets and personal habits among the activities planned for the group of for educators, participants. Single rooms or housing in participants; —Leadership training to enable residential suites, which offer privacy, 4. Administrative costs as necessary. participants to conduct workshops are preferable. 5. U.S. ground transportation costs to upon return to their countries. The Bureau will provide the grantee U.S. appointments, meetings and to/ Training should meet the special institution with participants’ curricula from airports. needs of participants from South vitae and travel itineraries and will be Proposals should maximize cost Africa. available to offer guidance throughout sharing through private sector support

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as well as institutional direct funding delivery services used by applicants must programs to human rights and contributions. have in-place, centralized shipping democracy leaders of such countries.’’ Please refer to the Solicitation identification and tracking systems that may Public Law 106–113 requires that the Package for complete budget guidelines be accessed via the Internet and delivery governments of the countries described and formatting instructions. people who are identifiable by commonly above do not have inappropriate Announcement Title and Number: All recognized uniforms and delivery vehicles. Proposals shipped on or before the above influence in the selection process. correspondence with the Bureau deadline but received at ECA more than Proposals should reflect advancement of concerning this RFGP should reference seven days after the deadline will be these goals in their program contents, to the above title and number ECA/A/E/ ineligible for further consideration under this the full extent deemed feasible. AF–04–01. competition. Proposals shipped after the Adherence to All Regulations Governing established deadlines are ineligible for FOR FURTHER INFORMATION CONTACT: The the J Visa African Programs Branch, ECA/A/E/AF, consideration under this competition. It is Room 232, U.S. Department of State, each applicant’s responsibility to ensure that The Bureau of Educational and SA–44, 301 4th Street, SW., each package is marked with a legible Cultural Affairs is placing renewed tracking number and to monitor/confirm emphasis on the secure and proper Washington, DC 20547, Tel: (202) 619– delivery to ECA via the Internet. Delivery of 5376 and fax (202) 619–6137, e-mail: administration of Exchange Visitor (J proposal packages may not be made via local visa) Programs and adherence by [email protected] to request a courier service or in person for this Solicitation Package. The Solicitation competition. Faxed documents will not be grantees and sponsors to all regulations Package contains detailed award accepted at any time. Only proposals governing the J visa. Therefore, criteria, required application forms, submitted as stated above will be considered. proposals should demonstrate the specific budget instructions, and applicant’s capacity to meet all Applicants must follow all requirements governing the standard guidelines for proposal instructions in the Solicitation Package. preparation. Please specify Bureau administration of Exchange Visitor The original and 8 copies of the Programs as set forth in 22 CFR 62, Program Officer, Ellen Berelson on all application should be sent to: other inquiries and correspondence. including the oversight of Responsible U.S. Department of State, SA–44, Officers and Alternate Responsible Please read the complete Federal Bureau of Educational and Cultural Register announcement before sending Officers, screening and selection of Affairs, Ref.: ECA/A/E/AF–04–01, program participants, provision of pre- inquiries or submitting proposals. Once Program Management, ECA/EX/PM, the RFGP deadline has passed, Bureau arrival information and orientation to Room 534, 301 4th Street, SW., participants, monitoring of participants, staff may not discuss this competition Washington, DC 20547. with applicants until the proposal proper maintenance and security of Applicants must also submit the forms, record-keeping, reporting and review process has been completed. ‘‘Executive Summary’’ and ‘‘Proposal To Download a Solicitation Package other requirements. ECA will be Narrative’’ sections of the proposal in Via Internet: The entire Solicitation responsible for issuing DS–2019 forms text (.txt) format on a PC-formatted disk. Package may be downloaded from the to participants in this program. The Bureau will provide these files Bureau’s Web site at http:// A copy of the complete regulations electronically to the Public Affairs exchanges.state.gov/education/RFGPs. governing the administration of Section at the U.S. Embassy for its Please read all information before Exchange Visitor (J) programs is review. downloading. available at http://exchanges.state.gov New OMB Requirement: An OMB Diversity, Freedom and Democracy or from: United States Department of policy directive published in the Guidelines State, Office of Exchange Coordination Federal Register on Friday, June 27, and Designation, ECA/EC/ECD—SA–44, Pursuant to the Bureau’s authorizing 2003, requires that all organizations Room 734, 301 4th Street, SW., legislation, programs must maintain a applying for Federal grants or Washington, DC 20547, Telephone: non-political character and should be cooperative agreements must provide a (202) 401–9810, FAX: (202) 401–9809. balanced and representative of the Dun and Bradstreet (D&B) Data diversity of American political, social, Review Process Universal Numbering System (DUNS) and cultural life. ‘‘Diversity’’ should be The Bureau will acknowledge receipt number when applying for all Federal interpreted in the broadest sense and of all proposals and will review them grants or cooperative agreements on or encompass differences including, but for technical eligibility. Proposals will after October 1, 2003. The complete not limited to ethnicity, race, gender, be deemed ineligible if they do not fully OMB policy directive can be referenced religion, geographic location, socio- adhere to the guidelines stated herein at http://www.whitehouse.gov/omb/ economic status, and physical and in the Solicitation Package. All fedreg/062703_grant_identifier.pdf. challenges. Applicants are strongly eligible proposals will be reviewed by Please also visit the ECA Web site at encouraged to adhere to the the program office, as well as the Public http://exchanges.state.gov/education/ advancement of this principle both in Diplomacy section overseas, where rfgps/menu.htm for additional program administration and in program appropriate. Eligible proposals will be information on how to comply with this content. Please refer to the review subject to compliance with Federal and new directive. criteria under the ‘‘Support for Bureau regulations and guidelines and Shipment and Deadline for Proposals Diversity’’ section for specific forwarded to Bureau grant panels for suggestions on incorporating diversity advisory review. Proposals may also be Important Note: The deadline for this into the total proposal. Public Law 104– reviewed by the Office of the Legal competition is Friday, February 6, 2004. In 319 provides that ‘‘in carrying out Adviser or by other Department light of recent events and heightened security programs of educational and cultural elements. Final funding decisions are at measures, proposal submissions must be sent via a nationally recognized overnight exchange in countries whose people do the discretion of the Department of delivery service (i.e., DHL, Federal Express, not fully enjoy freedom and State’s Assistant Secretary for UPS, Airborne Express, or U.S. Postal Service democracy,’’ the Bureau ‘‘shall take Educational and Cultural Affairs. Final Express Overnight Mail, etc.) and be shipped appropriate steps to provide technical authority for grants resides no later than the above deadline. The opportunities for participation in such with the Bureau’s Grants Officer.

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Review Criteria activity’s success, both as the activities Dated: December 17, 2003. Technically eligible applications will unfold and at the end of the program. A Patricia S. Harrison, be competitively reviewed according to draft survey questionnaire or other Assistant Secretary for Educational and the criteria stated below. These criteria technique plus description of a Cultural Affairs, Department of State. are not rank ordered and all carry equal methodology to use to link outcomes to [FR Doc. 03–31579 Filed 12–22–03; 8:45 am] weight in the proposal evaluation: original project objectives are BILLING CODE 4710–05–P 1. Quality of the program idea: recommended. Proposals should exhibit originality, 9. Cost-effectiveness: The overhead DEPARTMENT OF STATE substance, precision, and relevance to and administrative components of the the Bureau’s mission. Proposals should proposal, including salaries and [Public Notice 4534] demonstrate effective use of community honoraria, should be kept as low as and regional resources to enhance the Cultural Property Advisory Committee possible. All other items should be cultural and educational experiences of Notice of Meeting participants. necessary and appropriate. 2. Program planning: Relevant work 10. Cost-sharing: Proposals should In accordance with the provisions of plan and a detailed calendar should maximize cost sharing through other the Convention on Cultural Property demonstrate substantive undertakings private sector support as well as Implementation Act (19 U.S.C. 2601 et seq.) there will be a meeting of the and logistical capacity. Plan and institutional direct funding Cultural Property Advisory Committee calendar should adhere to the program contributions. overview and guidelines described on Tuesday, January 13, 2004, from above. The proposal should clearly Authority approximately 9:30 a.m. to 5 p.m., and demonstrate how the institution will on Wednesday, January 14, 2004, from Overall grant making authority for meet the program’s objectives. approximately 9:30 a.m. to 12 noon, at 3. Institutional Capacity: Proposed this program is contained in the Mutual the United States Department of State, personnel and institutional resources Educational and Cultural Exchange Act Annex 44, 301 4th St., SW., should be adequate and appropriate to of 1961, Public Law 87–256, as Washington, DC. Pursuant to 19 U.S.C. achieve a substantive academic program amended, also known as the Fulbright- 2605(g), the Committee will conduct a and effective cross-cultural Hays Act. The purpose of the Act is ‘‘to review of the ‘‘Memorandum of communication with South African enable the Government of the United Understanding between the Government participants. Proposal should show States to increase mutual understanding of the United States of America and the evidence of strong on-site between the people of the United States Government of the Republic of El administrative capabilities with specific and the people of other countries* * *; Salvador Concerning the Imposition of discussion of how logistical to strengthen the ties which unite us Import Restrictions on Certain arrangements will be undertaken. with other nations by demonstrating the Categories of Archaeological Material 4. Multiplier effect/impact: Proposed educational and cultural interests, from the Pre-Hispanic Cultures of the programs should strengthen long-term developments, and achievements of the Republic of El Salvador;’’ and the mutual understanding, including people of the United States and other ‘‘Agreement between the Government of the United States of America and the maximum sharing of information and nations* * *and thus to assist in the Government of the Republic of establishment of long-term institutional development of friendly, sympathetic and individual linkages. Nicaragua Concerning the Imposition of and peaceful relations between the Import Restrictions on Archaeological 5. Support of Diversity: Proposals United States and the other countries of should demonstrate substantive support Material from the Pre-Hispanic Cultures the world.’’ The funding authority for of the Bureau’s policy on diversity. of the Republic of Nicaragua.’’ The the program above is provided through Achievable and relevant features should Committee’s review will focus attention legislation. be cited in both program administration on Article II of each agreement. and program content (orientation and Notice Portions of the meeting will be closed wrap-up sessions, program meetings, pursuant to 5 U.S.C. 552b(c)(9)(B). resource materials and follow-up The terms and conditions published There will also be an open session to activities). in this RFGP are binding and may not receive comments from interested 6. Institution’s Record/Ability: be modified by any Bureau parties regarding these two agreements. Proposals should demonstrate an representative. Explanatory information The open portion of the meeting will be institutional record of successful provided by the Bureau that contradicts held from approximately 1:30 to 2:30 exchange programs, including published language will not be binding. p.m. on January 13. Seating is limited. responsible fiscal management and full Issuance of the RFGP does not Persons wishing to attend this open compliance with all reporting constitute an award commitment on the portion of the meeting must notify the requirements for past Bureau grants as part of the Government. The Bureau Cultural Property office at (202) 619– 6612 by 5 p.m. (EDT) Wednesday, determined by Bureau Grant Staff. The reserves the right to reduce, revise, or January 7, 2004, to arrange for Bureau will consider the past increase proposal budgets in accordance admission. Persons wishing to present performance of prior recipients and the with the needs of the program and the oral comments at the open portion of demonstrated potential of new availability of funds. Awards made will the meeting, or to submit written applicants. be subject to periodic reporting and 7. Follow-on Activities: Proposals comments for the Committee’s evaluation requirements. should provide a plan for continued consideration, must provide them in follow-on activity (without Bureau Notification writing by 5 p.m., (EDT) January 7, support) ensuring that Bureau 2004. All comments may be faxed to supported programs are not isolated Final awards cannot be made until (202) 260–4893. Oral presentations will events. funds have been appropriated by be limited to ensure time for the 8. Project Evaluation: Proposals Congress, allocated and committed Committee to pose questions. should include a plan to evaluate the through internal Bureau procedures. Information about the Convention on

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Cultural Property Implementation Act notice that after December 31, 2003, all Background and these two agreements may be found safety inspections, audits, and Sec. 210 of the Motor Carrier Safety at http://exchanges.state.gov/culprop. compliance reviews will be conducted Improvement Act (MCSIA) of 1999 (Pub. Dated: December 11, 2003. by FMCSA or State employees certified L. 106–159, 113 Stat. 1748) directs that Patricia S. Harrison, under the Certification of Safety all motor carriers (both foreign and Auditors, Safety Investigators, and Assistant Secretary for Educational and domestic) granted new operating Cultural Affairs, Department of State. Safety Inspectors interim final rule (67 authority must undergo a safety audit FR 12776, Mar. 19, 2002; 67 FR 41196, [FR Doc. 03–31578 Filed 12–22–03; 8:45 am] within 18 months of commencing Jun. 17, 2002) (commonly referred to as BILLING CODE 4710–05–P operations in interstate commerce in the the ‘‘Certification rule’’) or qualified United States [49 U.S.C. 31144(c)(1)]. under the grandfather provisions of 49 Sec. 211 of the MCSIA requires that any DEPARTMENT OF STATE U.S.C. 31148(b). The Certification rule safety audit conducted after December was one of three interim final rules set 31, 2002, be performed by: (1) A motor [Public Notice 4568] aside by the U.S. Court of Appeals for carrier safety auditor certified under the Ninth Circuit on January 16, 2003, rules established for that purpose, or (2) Bureau of Administration; Notice of on the grounds that FMCSA failed to Availability of Alternative Fueled a Federal or State employee qualified to comply with statutory environmental perform such an audit or review at the Vehicle (AFV) Report for Fiscal Year impact analysis requirements in 2003 time MCSIA was enacted [49 U.S.C. developing these regulations. On July 31148(b)]. The legislation gives the 28, 2003, FMCSA notified the public (68 AGENCY: Department of State. Secretary oversight responsibility for FR 44378) that, as authorized by Sec. ACTION: Notice. these motor carrier safety auditors and 211 of the Motor Carrier Safety investigators, including the authority to SUMMARY: The U.S. Department of State, Improvement Act of 1999 (MCSIA), the decertify them [49 U.S.C. 31148(e)]. In Bureau of Administration, is issuing this Secretary of Transportation (Secretary) addition, section 31148(c) authorizes notice in order to comply with the had extended by 12 months the agency’s the Secretary to extend (by no more than Energy Policy Act of 1992 and 42 U.S.C. December 31, 2002, statutory deadline 12 months) the December 31, 2002, 13218(b). The purpose of this notice is for compliance with the safety deadline for compliance with the safety to announce the public availability of certification requirements. The certification requirements of MCSIA if it the Department of State’s interim Fiscal extension of the statutory compliance is determined that the rulemaking Year 2003 report at the following Web deadline provided FMCSA the required by the statute cannot be timely site: http://www.state.gov/m/a/ necessary time to comply with the implemented. 26931.htm. A final report will be made court’s mandate by preparing an As required by Sec. 211, FMCSA available upon completion of data Environmental Assessment (EA) for the published an interim final rule entitled collection. Certification rule. The EA concluded ‘‘Certification of Safety Auditors, Safety that implementation of the Certification Investigators, and Safety Inspectors,’’ FOR FURTHER INFORMATION CONTACT: rule would have no adverse establishing procedures to certify and Questions regarding reports on the AFV environmental consequences and, in maintain certification for safety report Web site should be addressed to fact, would likely have a positive, if auditors, inspectors, and investigators the Domestic Fleet Management and minimal, impact on the affected (67 FR 12776, Mar. 19, 2002; 67 FR Operations Division (A/OPR/GSM/ environment. On October 2, 2003, the 41196, Jun. 17, 2002). The rule amends FMO) [Attn: Barry Shpil], 2201 C Street agency issued a notice announcing the 49 CFR parts 350 and 385 to provide for NW (Room B258), Washington, DC EA’s availability in the docket and three types of certification, as follows: 20520, phone 202–647–3628. requesting public comment (68 FR (1) Certification to conduct safety Dated: December 9, 2003. 56863). The agency received no audits, (2) certification to conduct Vincent J. Chaverini, comments on the EA. Following the compliance reviews, and (3) Deputy Assistant Secretary Office of close of the public comment period, certification to conduct roadside vehicle Operations, Department of State. FMCSA prepared a Finding of No and driver inspections. The Certification [FR Doc. 03–31585 Filed 12–22–03; 8:45 am] Significant Impact document for the rule took effect on July 17, 2002 (67 FR BILLING CODE 4710–24–P Certification rule. The Finding of No 41196). Significant Impact is attached to the EA The rule requires certification not in the docket. Compliance with the only for Federal employees performing statutory certification requirement by DEPARTMENT OF TRANSPORTATION safety audits, inspections, and FMCSA and its State partners will compliance reviews but also for State Federal Motor Carrier Safety assure the agency’s continued and local employees conducting these Administration fulfillment of its statutory activities under the Motor Carrier Safety responsibilities to reduce crashes, Assistance Program (MCSAP). States [Docket No. FMCSA–2003–15642 and injuries, and fatalities involving large must certify that safety employees meet FMCSA–2001–11060] trucks and buses. minimal Federal standards as a Safety Auditor Certification; Notice of DATES: Compliance with 49 U.S.C. condition of their continued Statutory Compliance Date 31148(b) begins January 1, 2004. participation in the MCSAP. Federal and MCSAP employees qualified to FOR FURTHER INFORMATION CONTACT: AGENCY: Federal Motor Carrier Safety perform compliance reviews on Mary Pat Woodman, Chief of the Administration (FMCSA), DOT. December 9, 1999, are grandfathered by Enforcement and Compliance Division 49 U.S.C. 31148(b)(2) and are not ACTION: Notice of statutory compliance (MC–ECE), (202) 366–9699, FMCSA, date. required to be certified under the rule. 400 Seventh Street, SW., Washington, The Certification rule extended this SUMMARY: The Federal Motor Carrier DC 20590. grandfather period to include personnel Safety Administration (FMCSA) gives SUPPLEMENTARY INFORMATION: who were fully trained and performing

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compliance reviews or roadside he had extended the deadline for a simplified, less comprehensive inspections before June 17, 2002. Both compliance with the statutory version of that required to conduct grandfathered employees and those certification requirements to December compliance reviews and roadside certified under the rule will be required 31, 2003, while FMCSA acted to comply vehicle and driver inspections. to maintain their certification by with the court’s mandate. FMCSA Therefore, the Certification rule will completing a minimum number of notified the public of this extension (68 neither increase commercial vehicular safety review activities each year. FR 44378, Jul. 28, 2003). traffic congestion, noise levels, and land The 2002 Department of On August 26, 2003, FMCSA issued a use nor adversely impact air quality. Transportation (DOT) Appropriations notice to advise the public that a Likewise, the certification process will Act (Pub. L. 107–87, 115 Stat. 833, Programmatic Environmental Impact have no measurable impact in December 18, 2001) had stipulated that Statement (PEIS) would be prepared conventional analysis areas such as FMCSA could not expend funds on pursuant to the National Environmental visual, cultural, and aesthetic resources, processing applications of Mexico- Policy Act of 1969 (NEPA) (42 U.S.C. geology and soils, water resources and domiciled motor carriers for authority to 4321, et seq.), as amended, and a hydrology, biological and ecological operate in the United States beyond the General Conformity Evaluation would resources, energy consumption, border commercial zones, as be made pursuant to the Clean Air Act socioeconomics, and environmental recommended by an international [42 U.S.C. 7506(c)(1)], before justice. arbitration panel convened pursuant to promulgation of the rules on application As required by DOT Order 5610.1C, the North American Free Trade and safety monitoring procedures for Procedures for Considering Agreement, until FMCSA published, Mexico-domiciled carriers seeking U.S. Environmental Impacts, September 18, among other things, a number of operating authority (68 FR 51322, Aug. 1979, as amended on July 13, 1982, and regulations including the Certification 26, 2003). The notice also announced July 30, 1985, and the Council on rule. (This condition was again imposed that FMCSA was preparing an EA for Environmental Quality’s regulations in the 2003 DOT Appropriations Act the Certification rule and that a implementing NEPA, the EA also [Pub. L. 108–7, 117 Stat. 11, February supplemental Notice of Intent would be analyzed the potential environmental 20, 2003]). Another precondition for issued if, based on the EA, the agency impact of failure to implement the processing such applications was determined that preparation of an proposed certification procedures (the publication of a rule implementing Sec. Environmental Impact Statement (EIS) No Action Alternative). Under this 210 of the MCSIA. An interim final rule is required. scenario, the agency would withdraw entitled ‘‘New Entrant Safety Assurance On September 8, 2003, the United the Certification rule and make no Process’’ (New Entrant rule), States sought Supreme Court review of changes to the safety fitness regulations establishing procedures to heighten the the Ninth Circuit decision that at 49 CFR part 385. In addition, FMCSA agency’s safety scrutiny of new entrant invalidated the rules concerning considered two alternative actions. As motor carriers, including standards and Mexico-domiciled carriers, but did not detailed in the EA, we judged all three procedures regarding the safety audits seek review on the exclusion issues that alternatives to be inadequate. mandated by Sec. 210, was published pertained solely to the Certification rule. The EA concluded that insofar as the on May 13, 2002 (67 FR 31978) and The following month, FMCSA issued a certification program increases the became effective on January 1, 2003. notice announcing the availability of an government’s ability to identify On January 16, 2003, the U.S. Court EA for the Certification rule and potentially unsafe carriers and vehicles of Appeals for the Ninth Circuit set requesting public comment (68 FR and remove them from the Nation’s aside the Certification rule and two 56863, Oct. 2, 2003). On December 15, roads, it will have positive, if minimal, other FMCSA rules establishing 2003, the Supreme Court granted the effects on air quality, noise levels, and application and safety monitoring Government’s petition for review. public safety. Accordingly, FMCSA procedures for Mexico-domiciled motor anticipates that the Certification rule Environmental Assessment and Finding carriers seeking authority to operate will produce a net positive impact on of No Significant Impact beyond the border commercial zones. the affected environment, and has The court concluded that FMCSA failed The EA noted that the Certification determined that an EIS for the rule is to comply with statutory environmental rule is intended to promote more not required. The agency received no impact analysis requirements in accurate safety audits, inspections, and public comments on the EA. developing these regulations. See Public compliance reviews by ensuring that As noted in the Background section of Citizen v. DOT, 316 F.3d 1002 (9th Cir. these activities are conducted by highly this document, the FY 2002 and 2003 2003). Specifically with respect to the trained personnel certified by FMCSA DOT Appropriations Acts made Certification rule, the court determined or by State or local governments. The issuance of the Certification rule a that because the rule did not fall within procedures established under the rule precondition to FMCSA’s expenditure any of the existing DOT categorical preserve and formalize training of funds on the processing of Mexico- exclusions, FMCSA acted arbitrarily and requirements and practices that have domiciled motor carrier applications for capriciously by failing to conduct an EA been in effect within the DOT system for authority to operate in the United States for the rule. DOT’s petition for rehearing more than 20 years. Implementation of beyond the border commercial zones. was denied on April 10, 2003. these procedures will not require Nevertheless, the EA does not attempt to Consequently, the court’s mandate FMCSA to engage in any new activities analyze the prospective environmental setting aside the three rules took effect or to construct new inspection facilities, impacts of Mexico-domiciled carriers on April 18, 2003. classroom facilities, or roadways; nor operating in the United States. This is On July 17, 2003, the Secretary will the certification program, in and of because the PEIS and General notified the Senate Committee on itself, increase the number of safety Conformity Evaluation required by the Commerce, Science, and Transportation inspections performed. Although the Ninth Circuit Court decision are already and the House of Representatives New Entrant rule created a new kind of being undertaken with respect to the Committee on Transportation and review—the ‘‘safety audit’’ of new two other rules discussed in the Infrastructure that, in accordance with entrant carriers—the training required Background section that are his authority under 49 U.S.C. 31148(c), for safety auditor certification is merely preconditions to the processing of

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applications of Mexican carriers for ACTION: Notice; issuance of advisory and non-routine SCADA modifications operating authority beyond the border bulletin. to occur at times when no significant commercial zones. Unless the Ninth changes to pipeline operations are Circuit Court decision is reversed or the SUMMARY: RSPA’s Office of Pipeline anticipated. relevant terms of the DOT Safety (RSPA/OPS) is issuing this It is good practice for owners and Appropriations Acts are not extended, advisory notice to owners and operators operators of pipeline systems to FMCSA cannot process applications of of gas and hazardous liquid pipelines periodically review their SCADA system Mexico-domiciled motor carriers who use Supervisory Control and Data configurations, operating procedures, seeking authority to operate beyond the Acquisition (SCADA) systems. Pipeline and performance measurements to border commercial zones until a PEIS owners and operators should establish ensure that the SCADA computer and General Conformity Evaluation thorough testing regimes when they servers are functioning as intended. design and implement modifications have been completed and considered by Owners and operators should consider and enhancements of their SCADA FMCSA. Implementing the Certification using off-line or development systems. Owners and operators should rule will not affect that prohibition. workstations/servers to help ensure that consider using off-line or developmental impending changes are tested as Further, the Certification rule workstations to test changes, then thoroughly as possible before moving standing alone will have no impact on deploy the changes on-line under close the changes into production. Although prospective Mexican truck and bus monitoring at times when few off-line or development workstations operations beyond the border operational changes are expected on the can be valuable, they may not fully commercial zones. For example, it will pipeline. Applying these techniques represent timing, load and other factors not affect either the number of Mexico- will help ensure that changes in the that will be present in the production domiciled vehicles entering the United SCADA system environment do not environment. System modifications States or the number and duration of have an unexpected effect on pipeline safety inspections of these vehicles. operations. should be implemented via structured Indeed, unlike the application and and managed processes to reduce the safety monitoring rules, which apply FOR FURTHER INFORMATION CONTACT: likelihood of unforeseen problems. Such solely to Mexico-domiciled motor Richard Huriaux, (202) 366–4565; or by controlled processes are especially carriers, the only connection between e-mail, [email protected]. important if an owner or operator makes the Certification rule and the operation This document can be viewed at the changes directly in the on-line of Mexican carriers beyond the border RSPA/OPS home page at http:// environment. commercial zones is the contingency ops.dot.gov. General information about In addition, owners or operators Congress created when it made issuance the RSPA/OPS programs can be should periodically confirm that of the rule one of the preconditions to obtained by accessing RSPA’s home associated design and maintenance page at http://rspa.dot.gov. the processing of these carriers’ personnel, whether employees, applications for operating authority. I. Advisory Bulletin (ADB–03–09) contractors, or third-party providers, are adequately skilled to perform SCADA As noted above, FMCSA received no To: Owners and Operators of Gas and system modifications without causing public comments in response to the EA. Hazardous Liquid Pipeline Systems undesirable consequences. These same Following the close of the public Who Use SCADA Systems. comment period, the agency prepared a Subject: Potential Service Disruptions personnel should be cognizant of the Finding of No Significant Impact in SCADA Systems. critical system attributes that should be document for the Certification rule. Purpose: To inform pipeline owners monitored during the testing phase of FMCSA’s full Environmental and operators of the potential for service implementation. Assessment and Finding of No disruptions in SCADA systems caused SUPPLEMENTARY INFORMATION: Significant Impact are available in the by maintenance or enhancements of docket. SCADA system configuration and other II. Background In accordance with the agency’s critical databases, and the possibility of This advisory bulletin responds to statutory obligation under 49 U.S.C. those disruptions leading to or National Transportation Safety Board 31148(b), FMCSA and its State partners aggravating pipeline releases. (NTSB) Recommendation P–02–05, will comply with the statutory Advisory: Each pipeline owner or which suggested that RSPA/OPS: certification requirement effective operator should review their procedures ‘‘[i]ssue an advisory bulletin to all January 1, 2004. for the upgrading, configuring, pipeline owners and operators who use maintaining, and enhancing its SCADA supervisory control and data acquisition Issued on: December 18, 2003. system. If not well thought out and (SCADA) systems advising them to Annette M. Sandberg, thoroughly tested, such changes could implement an off-line workstation that Administrator. cause inadvertent service disruptions in can be used to modify their SCADA [FR Doc. 03–31597 Filed 12–22–03; 8:45 am] the SCADA system. Resulting system database or to perform BILLING CODE 4910–EX–P conditions could may impede developmental and testing work controllers responsible for operating the independent of their on-line systems. pipeline from promptly recognizing and Advise owners and operators to use the DEPARTMENT OF TRANSPORTATION reacting to abnormal conditions, and off-line system before any modifications Research and Special Programs could potentially impact the controllers’ are implemented to ensure that those Administration abilities to restore normal operations. modifications are error-free and that Owners and operators should ensure they create no ancillary problems for Pipeline Safety: Potential Service that SCADA system modifications do controllers responsible for operating the Disruptions in Supervisory Control and not degrade overall SCADA pipeline.’’ Data Acquisition Systems performance to an unacceptable level. During an earlier investigation of a To further reduce the potential effect of pipeline incident, RSPA/OPS inspectors AGENCY: Research and Special Programs service disruptions, responsible identified inadequate SCADA Administration (RSPA), DOT. personnel should coordinate significant performance as an operational safety

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concern, and published advisory qualifications of individuals who SUPPLEMENTARY INFORMATION: bulletin ADB–99–03 on July 16, 1999 operate computer-based systems for Title: S Corporation Declaration and (64 FR 38501). That advisory identified controlling the operations of pipelines. Signature for Electronic Filing. eroding SCADA performance as a The RSPA/OPS project team is OMB Number: 1545–1867. contributing factor to the accident. evaluating current operator personnel Form Number: 8453–S. Through subsequent analysis, it has qualification practices for pipeline Abstract: Form 8453–S is necessary to become apparent that SCADA controllers in collaboration with a study enable the electronic filing of Form performance in general can be adversely team sponsored by the gas and 1120S U.S. Income Tax Return for an S impacted by system configuration hazardous liquid industry. RSPA/OPS Corporation. The form is created to meet changes, upgrades, or modifications to will develop an approach to the stated Congressional policy that critical databases. There are several certification programs and will paperless filing is the preferred and ways that pipeline owners and operators undertake pilot testing. Through most convenient means of filing Federal can reduce the risk of such conditions: research and pilot program evaluations, tax and information returns. Current Actions: There are no changes (1) Ensure that personnel assigned to RSPA/OPS will determine the best these duties are adequately skilled in being made to the form at this time. combination of prescriptive and Type of Review: Extension of a the maintenance and upgrading of the performance-based requirements that SCADA system configuration and currently approved collection. should be considered as certification Affected Public: Businesses or other critical databases. criteria for pipeline controllers. (2) Know what critical metrics can be for-profit organizations. monitored that provide thorough and Issued in Washington, DC on December 17, Estimated Number of Respondents: 2003. representative measures of system 2,500,000. Estimated Time Per Respondent: 7 performance during testing and after the Stacey L. Gerard, Associate Administrator for Pipeline Safety. hours, 1 minute. changes are implemented. Estimated Total Annual Burden (3) Consider making the changes first [FR Doc. 03–31574 Filed 12–22–03; 8:45 am] Hours: 17,550,000. on an isolated, off-line, or development BILLING CODE 4910–60–P The following paragraph applies to all workstation or processor, to test the of the collections of information covered effect of the changes prior to moving the by this notice: work into the production environment. DEPARTMENT OF THE TREASURY An agency may not conduct or (4) Recognize that the use of off-line sponsor, and a person is not required to or development workstations/servers to Internal Revenue Service respond to, a collection of information test impending changes can be valuable, unless the collection of information but probably does not fully represent Proposed Collection; Comment Request for Form 8453–S displays a valid OMB control number. timing, load, and other factors present Books or records relating to a collection in the production environment. AGENCY: Internal Revenue Service (IRS), of information must be retained as long (5) Know the limits and bounds of the Treasury. as their contents may become material testing regime, so that adequate and ACTION: in the administration of any internal targeted vigilance may be applied Notice and request for comments. revenue law. Generally, tax returns and during final testing and after initial tax return information are confidential, implementation into the production SUMMARY: The Department of the as required by 26 U.S.C. 6103. environment. Treasury, as part of its continuing effort Request for Comments: Comments (6) Coordinate significant and non- to reduce paperwork and respondent submitted in response to this notice will routine SCADA system modifications burden, invites the general public and be summarized and/or included in the with pipeline controller operating other Federal agencies to take this request for OMB approval. All personnel, so that revisions are opportunity to comment on proposed comments will become a matter of implemented and tested at times when and/or continuing information public record. Comments are invited on: no significant changes to pipeline collections, as required by the (a) Whether the collection of operations are anticipated. Paperwork Reduction Act of 1995, Pub. information is necessary for the proper Although NTSB Recommendation P– L. 104–13 (44 U.S.C. 3506(c)(2)(A)). performance of the functions of the 02–05 called only for an advisory Currently, the IRS is soliciting agency, including whether the bulletin, RSPA/OPS has taken comments concerning Form 8453–S, S information shall have practical utility; additional actions to improve SCADA Corporation Declaration and Signature (b) the accuracy of the agency’s estimate and controller operations and our for Electronic Filing. of the burden of the collection of inspection process. RSPA/OPS has DATES: Written comments should be information; (c) ways to enhance the initiated a study on the safety quality, utility, and clarity of the evaluation of pipeline SCADA received on or before February 23, 2004 to be assured of consideration. information to be collected; (d) ways to technology. In early 2004, RSPA/OPS minimize the burden of the collection of ADDRESSES: Direct all written comments will revise its SCADA inspection information on respondents, including to Robert M. Coar, Internal Revenue protocols. Later in 2004, RSPA/OPS will through the use of automated collection Service, room 6411, 1111 Constitution begin development of a new, multi- techniques or other forms of information Avenue NW., Washington, DC 20224. tiered approach to inspection of SCADA technology; and (e) estimates of capital systems. FOR FURTHER INFORMATION CONTACT: or start-up costs and costs of operation, RSPA/OPS has also initiated a study Requests for additional information or maintenance, and purchase of services of Controller Certification in compliance copies of the form and instructions to provide information. with Section 13(b) of the Pipeline Safety should be directed to Carol Savage at Improvement Act of 2002. Section 13(b) Internal Revenue Service, room 6407, Approved: December 17, 2003. of the Pipeline Safety Improvement Act 1111 Constitution Avenue NW., Robert M. Coar, of 2002 (PSIA), directs the Secretary of Washington, DC 20224, or at (202) 622– IRS Reports Clearance Officer. Transportation to develop tests and 3945, or through the internet at [FR Doc. 03–31616 Filed 12–22–03; 8:45 am] other requirements for certifying the [email protected]. BILLING CODE 4830–01–P

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DEPARTMENT OF VETERANS graveliners. Using this method of OPM records involved in the match are AFFAIRS computation, the average cost was from the OPM Civil Service Retirement determined to be $164.66 for fiscal year Pay File identified as OPM Central-1, Allowance for Private Purchase of an 2003. Civil Service Retirement and Insurance Outer Burial Receptacle in Lieu of a The administrative costs incurred by Records, published as 64 FR 54930, Government-Furnished Graveliner for VA consist of those costs that relate to October 8, 1999, as amended May 3, a Grave in a VA National Cemetery processing and paying an allowance in 2000 (65 FR 25775). In accordance with lieu of the government-furnished AGENCY: Department of Veterans Affairs. title 5 U.S.C. 552a(o)(2) and (r), copies graveliner. These costs have been ACTION: Notice. of the agreement are being sent to both determined to be $9.75 for calendar year Houses of Congress and to the Office of 2004. SUMMARY: Public Law 104–275 was Management and Budget. enacted on October 9, 1996. It allowed The net allowance payable for the Department of Veterans Affairs (VA) qualifying interments occurring during This notice is provided in accordance to provide a monetary allowance calendar year 2004, therefore, is with the provisions of the Privacy Act towards the private purchase of an outer $154.91. of 1974 as amended by Public Law 100– burial receptacle for use in a VA Approved: December 12, 2003. 503. national cemetery. Under VA regulation Anthony J. Principi, The match will start no sooner than (38 CFR 1.629), the allowance is equal Secretary of Veterans Affairs. 30 days after publication of this Notice to the average cost of government- [FR Doc. 03–31507 Filed 12–22–03; 8:45 am] in the Federal Register, or 40 days after furnished graveliners minus any BILLING CODE 8320–01–P copies of this Notice and the agreement administrative costs to VA. The law of the parties are submitted to Congress continues to provide a veteran’s and the Office of Management and survivors with the option of selecting a DEPARTMENT OF VETERANS Budget, whichever is later, and end not government-furnished graveliner for use AFFAIRS more than 18 months after the in a VA national cemetery where such agreement is properly implemented by use is authorized. Privacy Act of 1974; Report of the parties. The involved agencies’ Data The purpose of this notice is to notify Matching Program interested parties of the average cost of Integrity Boards (DIBs) may extend this government-furnished graveliners, AGENCY: Department of Veterans Affairs. match for 12 months provided the administrative costs that relate to ACTION: Notice. agencies certify to their DIBs, within processing a claim, and the amount of three months of the ending date of the the allowance payable for qualifying Notice is hereby given that the original match, that the matching interments that occur during calendar Department of Veterans Affairs (VA) program will be conducted without year 2004. intends to continue a recurring change and that the matching program computer matching program matching FOR FURTHER INFORMATION CONTACT: Lisa has been conducted in compliance with Office of Personnel Management (OPM) Ciolek, Capital and Performance the original matching program. records with VA pension and parents’ Budgeting (402A12), National Cemetery dependency and indemnity ADDRESSES: Interested persons are Administration, Department of Veterans compensation (DIC) records. invited to submit written comments, Affairs, 810 Vermont Avenue, NW., The goal of this match is to compare suggestions, or objections regarding the Washington, DC 20420. Telephone: income status as reported to VA with proposal to conduct the matching 202–273–5161 (this is not a toll-free records maintained by OPM. number). program to the Director, Regulations VA plans to match records of veterans Management (00REG1), Department of SUPPLEMENTARY INFORMATION: Under 38 and surviving spouses and children who Veterans Affairs, 810 Vermont Avenue, U.S.C. 501(a) and Pub. L. 104–275, receive pension, and parents who NW., Room 1068, Washington, DC section 213, VA may provide a receive DIC from VA with OPM benefit 20420. All written comments received monetary allowance for the private records maintained by OPM. The match will be available for public inspection in purchase of an outer burial receptacle with OPM will provide VA with data the Office of Regulations Management, for use in a VA national cemetery where from OPM civil service benefit records. its use is authorized. The allowance for VA will use this information to Room 1063B, 810 Vermont Avenue, qualified interments that occur during update the master records of VA NW., Washington, DC 20420, between 8 calendar year 2004 is the average cost of beneficiaries receiving income a.m. and 4:30 p.m., Monday through government-furnished graveliners in dependent benefits and to adjust VA Fridays except holidays. Please call fiscal year 2003, less the administrative benefit payments as prescribed by law. (202) 273–9515 for an appointment. costs incurred by VA in processing and Otherwise, information about a VA FOR FURTHER INFORMATION CONTACT: Paul paying the allowance in lieu of the beneficiary’s receipt of OPM benefits is Trowbridge (212B), (202) 273–7218. government-furnished graveliner. obtained from reporting by the The average cost of government- beneficiary. The proposed matching SUPPLEMENTARY INFORMATION: This furnished graveliners is determined by program will enable VA to ensure information is required by title 5 U.S.C. taking VA’s total cost during a fiscal accurate reporting of income. 552a(e)(12), the Privacy Act of 1974. A year for single-depth graveliners that Records to be Matched: The VA copy of this notice has been provided to were procured for placement at the time records involved in the match are the both Houses of Congress and the Office of interment and dividing it by the total VA system of records, VA of Management and Budget. number of such graveliners procured by Compensation, Pension and Education Approved: December 15, 2003. VA during that fiscal year. The and Rehabilitation Records—VA (58 VA calculation excludes both graveliners 21/22) first published at 41 FR 924 Anthony J. Principi, procured and pre-placed in gravesites as (March 3, 1976), and last amended at 66 Secretary of Veterans Affairs. part of cemetery gravesite development FR 47727 (September 13, 2001), with [FR Doc. 03–31506 Filed 12–22–03; 8:45 am] projects and all double-depth other amendments as cited therein. The BILLING CODE 8320–01–P

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DEPARTMENT OF VETERANS benefit payments as prescribed by law. without change and that the matching AFFAIRS The matching program will enable VA program has been conducted in to ensure accurate reporting of income. compliance with the original matching Privacy Act of 1974; Report of Records to be Matched: The VA program. Matching Program records involved in the match are the ADDRESSES: Mail or hand-deliver VA system of records, Compensation, AGENCY: Department of Veterans Affairs. written comments to: Director, Pension, Education and Rehabilitation Regulations Management (00REG1), ACTION: Notice of computer matching Records—VA (58 VA 21/22). The SSA Department of Veterans Affairs, 810 program. records consist of the SSA Master Vermont Avenue, NW., Washington, DC beneficiary Record (MBR), SSA/OSR, SUMMARY: Notice is hereby given that 20420. All comments received will be 60–0090. In the absence of MBR data, the Department of Veterans Affairs (VA) available for public inspection in the SSA will attempt to verify the SSN in intends to continue a recurring Office of Regulation Policy and VA records using the SSA Earnings computer matching program matching Management, Room 1158, 810 Vermont Recording and Self-Employment Income Social Security Administration (SSA) Avenue, NW., Washington, DC 20420, records with VA pension and parents’ System (MEF), SSA/OSR, 60–0059. This notice is provided in accordance between 8 a.m. and 4:30 p.m., Monday dependency and indemnity through Friday except holidays. compensation (DIC) records. with the provisions of the Privacy Act The purpose of the match is to of 1974 as amended by Public Law 100– FOR FURTHER INFORMATION CONTACT: Paul compare income status as reported to 503. Trowbridge (212B), (202) 273–7218. VA with records maintained by SSA. DATES: The match will start no sooner SUPPLEMENTARY INFORMATION: This VA plans to match records of than 30 days after publication in the information is required by title 5 U.S.C. beneficiaries who receive pension and Federal Register and end not more than 552a(e)(12), the Privacy Act of 1974. A DIC with the Master Beneficiary Record 18 months after the agreement is copy of this notice has been provided to (MBR) and the Earnings Recording and properly implemented by the parties. both Houses of Congress and OMB. Self-Employment Income System (MEF) The involved agencies’ Data Integrity Approved: December 12, 2003. maintained by SSA. Boards (DIB) may extend this match for VA will use this information to 12 months provided the agencies certify Anthony J. Principi, update the master records of VA to their DIBs within three months of the Secretary of Veterans Affairs. beneficiaries receiving income ending date of the original match that [FR Doc. 03–31508 Filed 12–22–03; 8:45 am] dependent benefits and to adjust VA the matching program will be conducted BILLING CODE 8320–01–P

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Part II

Department of the Treasury Fiscal Service

31 CFR Part 356 Sale and Issue of Marketable Book-Entry Treasury Bills, Notes, and Bonds—Plain Language Uniform Offering Circular; Proposed Rule

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DEPARTMENT OF THE TREASURY Uniform Offering Circular (UOC), in thereby eliminating repetitive parallel conjunction with the announcement for language. Please note that Appendix A Fiscal Service each auction, provides the terms and of the proposed rule adds a definition of conditions for the sale and issuance in ‘‘Foreign and International Monetary 31 CFR Part 356 an auction to the public of marketable Authorities,’’ a category of bidder that Treasury bills, notes and bonds.1 We was not previously described in the Sale and Issue of Marketable Book- have rewritten the UOC in plain UOC. Entry Treasury Bills, Notes, and language because the wide variety of Finally, we are proposing to eliminate Bonds—Plain Language Uniform bidders in our securities auctions— Offering Circular the two exhibits at the end of the UOC. broker-dealers, depository institutions, Exhibit A provides sample auction AGENCY: Bureau of the Public Debt, non-financial firms, individuals, etc.— announcements. Exhibit B is a sample Fiscal Service, Treasury. have widely different levels of autocharge agreement. Both auction experience in dealing with federal ACTION: Proposed Rule. announcements and autocharge regulations in general and with agreements are subject to more frequent SUMMARY: The Department of the securities-related concepts and revision than the UOC itself, and Treasury (‘‘Treasury,’’ ‘‘We,’’ or ‘‘Us’’) regulations in particular. We also examples of both are readily available at proposes to amend 31 CFR Part 356 believe that better understanding of the the Bureau of the Public Debt’s Web site (Uniform Offering Circular for the Sale auction rules may increase direct at http://www.publicdebt.treas.gov. and Issue of Marketable Book-Entry participation in our auctions and improve the auction process overall, We invite your comments on how to Treasury Bills, Notes, and Bonds) by make these proposed regulations easier converting it to plain language. We are resulting in lower borrowing costs. In addition to rewriting the existing to understand, including answers to proposing this amendment to make our questions such as the following: (1) Are marketable securities auction rules regulations in plain language, we are proposing to make certain minor the requirements in the proposed easier to understand. This amendment regulations clearly stated? (2) Do the would also make certain minor revisions to better make the auction rules conform to current auction proposed regulations contain technical revisions to better make the auction language or jargon that interferes with rules conform to current practices. practices. For example, we have eliminated references to multiple-price their clarity? (3) Does the format of the DATES: Send your comments to reach us auctions since we now use single-price proposed regulations (grouping and on or before February 23, 2004. auctions for all marketable Treasury order of sections, use of headings, ADDRESSES: You may send comments to: securities. We also have renamed paragraphing, etc.) aid or reduce their Government Securities Regulations ‘‘inflation-indexed’’ securities as clarity? (4) Would the regulations be Staff, Bureau of the Public Debt, 999 E ‘‘inflation-protected’’ securities so that easier to understand if they were Street NW., Room 315, Washington, DC the resulting acronym, TIPS, conforms divided into more (but shorter) sections? 20239–0001. You may also send us with the way these securities are (A section appears in bold type and is comments by e-mail at commonly referred to by market preceded by the section symbol and a [email protected]. When sending participants and the press. numbered heading, for example, comments by e-mail, please provide We also have made several § 356.20 How does the Treasury your full name and mailing address. organizational changes to streamline the determine auction awards?) You may download this proposed regulations and to aid their readability. Procedural Requirements amendment, and review the comments For example, in section 356.11, which we receive, from the Bureau of the addresses how bidders may submit bids, It has been determined that this is not Public Debt’s Web site at http:// the current UOC is organized according a significant regulatory action for www.publicdebt.treas.gov. The to whether the bid is submitted on a purposes of Executive Order 12866. proposed amendment and comments paper tender form or by computer. In Although we are issuing this proposed will also be available for public the plain-language version, the section rule in proposed form to benefit from inspection and copying at the Treasury is organized by whether we will be public comment, the notice and public Department Library, Room 1428, Main issuing awarded securities in the procedures requirements of the Treasury Building, 1500 Pennsylvania commercial book-entry system or in the Administrative Procedure Act do not Avenue, NW., Washington, DC 20220. TreasuryDirect book-entry system. This apply, under 5 U.S.C. 553(a)(2). To visit the library, call (202) 622–0990 reorganization was done to make it Since no notice of proposed for an appointment. easier for different types of bidders— rulemaking is required, the provisions FOR FURTHER INFORMATION CONTACT: Lori firms and institutions versus of the Regulatory Flexibility Act (5 Santamorena (Executive Director) or individuals, for example—to find out U.S.C. 601 et seq.) do not apply. Chuck Andreatta (Associate Director), their respective bidding requirements. The Office of Management and Budget Bureau of the Public Debt, Government Appendix A, which describes previously approved the collections of Securities Regulations Staff, (202) 691– different bidder categories, has also information in this proposed 3632 or e-mail us at been reorganized in the way it describes amendment in accordance with the [email protected]. the process for requesting separate- Paperwork Reduction Act under control bidder status. The UOC currently SUPPLEMENTARY INFORMATION: number 1535–0112. We are only Executive describes this process separately for Order 12866 requires each agency to rewriting the UOC in plain language and corporations and for partnerships. The are not proposing substantive changes to write regulations that are simple and plain-language version describes how to easy to understand. In addition to these requirements that would impose obtain separate-bidder recognition in a additional burdens on auction bidders. requiring us to write new regulations in single location within Appendix A, plain language, a Presidential List of Subjects in 31 CFR Part 356 memorandum dated June 2, 1998, 1 The Uniform Offering Circular was published as directs us to consider rewriting existing a final rule on January 5, 1993 (58 FR 412). The Bonds, Federal Reserve System, regulations in plain language. The circular, as amended, is codified at 31 CFR Part 356. Government Securities, Securities.

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For the reasons stated in the Appendix A to Part 356—Bidder Categories Treasury between a submitter or preamble, we propose to revise 31 CFR Appendix B to Part 356—Formulas and clearing corporation and a depository Part 356 to read as follows: Tables institution that authorizes us to: (1) Deliver awarded securities to PART 356—SALE AND ISSUE OF Appendix C to Part 356—Investment either: MARKETABLE BOOK-ENTRY Considerations (i) The book-entry securities account TREASURY BILLS, NOTES, AND Appendix D to Part 356—Description of the of a designated depository institution in BONDS (DEPARTMENT OF THE Consumer Price Index the commercial book-entry system, or TREASURY CIRCULAR, PUBLIC DEBT (ii) A TreasuryDirect account, and SERIES NO. 1–93) Authority: 5 U.S.C. 301; 31 U.S.C. 3102, et seq.; 12 U.S.C. 391. (2) Charge a funds account of a designated depository institution for the Subpart A—General Information Subpart A—General Information settlement amount of the securities. Sec. Bid means an offer to purchase a 356.0 What authority does the Treasury § 356.0 What authority does the Treasury stated par amount of securities, either have to sell and issue securities? have to sell and issue securities? competitively or noncompetitively, in 356.1 To which securities does this circular Chapter 31 of Title 31 of the United an auction. apply? States Code authorizes the Secretary of Bid-to-cover ratio means the total par 356.2 What definitions do I need to know the Treasury to issue United States amount of securities bid for in an to understand this part? obligations, and to offer them for sale auction divided by the total par amount 356.3 What is the role of the Federal with the terms and conditions that the Reserve Banks in this process? of securities awarded. It excludes bids 356.4 What are the book-entry systems in Secretary prescribes. by, and awards to, the Federal Reserve which auctioned Treasury securities may § 356.1 To which securities does this for its own account. be issued? circular apply? Bidder, as further defined in 356.5 What types of securities does the Appendix A, means a person or an The provisions in this part, including Treasury auction? entity that offers to purchase Treasury the appendices, and each individual securities in an auction either directly Subpart B—Bidding, Certifications, and auction announcement govern the sale or through a depository institution or Payment and issuance of marketable Treasury dealer. We may consider two or more 356.10 What is the purpose of an auction securities issued on or after March 1, persons or entities to be one bidder announcement? 1993. This part also governs all 356.11 How are bids submitted in an securities eligible for the Separate based on their relationship or their auction? Trading of Registered Interest and actions in participating in an auction. 356.12 What are the different types of bids Bidder Identification Number means a Principal of Securities (STRIPS) and do they have specific requirements number we assign to each institutional Program (See §356.31). In addition, or restrictions? submitter and to certain other 356.13 When must I report my net long these provisions and the auction competitive bidders. We assign such position and how do I calculate it? announcements govern any other types numbers either to identify certain 356.14 What are the requirements for of securities we may issue under this bidders or to grant separate bidder submitting bids for customers? part. 356.15 What rules apply to bids submitted status to different parts of the same by investment advisers? § 356.2 What definitions do I need to know corporate or partnership structure. 356.16 Do I have to make any certifications? to understand this part? Book-entry security means a security 356.17 How and when do I pay for Accrued interest means an amount that is issued and maintained as an securities awarded in an auction? that bidders must pay to us for interest accounting entry or electronic record in Subpart C—Determination of Auction income as part of the settlement either the commercial book-entry Awards; Settlement amount. Accrued interest compensates system or in TreasuryDirect. (See 356.20 How does the Treasury determine us up front for interest that bidders will § 356.3) auction awards? be paid but did not earn because it is Business day means any day on 356.21 How are awards at the high yield or attributable to a period of time prior to which the Federal Reserve Banks are discount rate calculated? open for business. 356.22 Does the Treasury have any the issue date. (See Appendix B, section I, paragraph C for additional Call means the redemption of a limitations on auction awards? security prior to maturity under the 356.23 How are the auction results explanation and examples.) announced? Adjusted value means, for an interest terms specified in its auction 356.24 Will I be notified directly of my component stripped from an inflation- announcement. awards and, if I am submitting bids for protected security, an amount derived Clearing corporation means a clearing others, do I have to provide by: agency as defined in section 3 of the confirmations? (1) Multiplying the semiannual Securities Exchange Act of 1934 (15 356.25 How does the settlement process interest rate by the par amount, and U.S.C. 78c(a)(23)). A clearing work? then corporation must be registered with the Subpart D—Miscellaneous Provisions (2) Multiplying this value by: 100 Securities and Exchange Commission 356.30 When does the Treasury pay divided by the Reference CPI of the under section 17A of the Securities principal and interest on securities? original issue date (or dated date, when Exchange Act of 1934 and its rules. 356.31 How does the STRIPS program the dated date is different from the Competitive bid means a bid to work? original issue date). (See Appendix B, purchase a stated par amount of 356.32 What tax rules apply? section IV for an example of how to securities at a specified yield or 356.33 Does the Treasury have any calculate the adjusted value.) discount rate. discretion in the auction process? Consumer Price Index (CPI) means the 356.34 What could happen if someone does Auction means a bidding process by not fully comply with the auction rules which we sell marketable Treasury monthly non-seasonally adjusted U.S. or fails to pay for securities? securities to the public. City Average All Items Consumer Price 356.35 Who approved the information Autocharge agreement means an Index for All Urban Consumers, collections? agreement in a format acceptable to published by the Bureau of Labor

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Statistics of the Department of Labor. Index means the Consumer Price Price means the price of a security as We use the CPI as the basis for adjusting Index. calculated using the formulas in the principal amounts of inflation- Index ratio means, for an inflation- Appendix B. protected securities. (See Appendix D) protected security, the Reference CPI of Real yield means, for an inflation- Corpus means the principal a particular date divided by the protected security, the yield based on component of a security that has been Reference CPI of the original issue date. the payment stream in constant dollars. stripped of its interest components. (When the dated date is different from In other words, the real yield is the CUSIP number means the unique the original issue date, the denominator yield in the absence of inflation. identifying number assigned to each of the index ratio is the Reference CPI Reference CPI (Ref CPI) means, for an separate security issue and each of the dated date rather than that of the inflation-protected security, the index separate STRIPS component. CUSIP original issue date.) number applicable to a given date. (See numbers are provided by the CUSIP Inflation-adjusted principal means, Appendix B, section I, paragraph B) Service Bureau of Standard & Poor’s for an inflation-protected security, the Reopening means the auction of an Corporation. CUSIP is an acronym for value of the security derived by additional amount of an outstanding Committee on Uniform Securities multiplying the par amount by the security. Identification Procedures. applicable index ratio as described in Security means a Treasury bill, note, Customer means a bidder that directs Appendix B, section I, paragraph B. or bond, each as described in this part. a depository institution or dealer to Interest rate means the annual Security also means any other obligation submit or forward a bid for a specific percentage rate of interest paid on the we issue that is subject to this part amount of securities in a specific par amount (or the inflation-adjusted according to its auction announcement. auction on the bidder’s behalf. Only principal) of a specific issue of notes or Security includes an interest or depository institutions and dealers may bonds. (See Appendix B for methods principal component under the STRIPS submit bids for customers directly to us, and examples of interest calculations on program. or forward them to another depository notes and bonds.) Settlement means final and complete institution or dealer. Intermediary means a depository payment for securities awarded in an Dated date means the date from institution or dealer that forwards bids auction and delivery of those securities. which interest accrues for notes and for customers to another depository Settlement amount means the total of bonds. The dated date and issue date are institution or dealer. An intermediary the par amount of securities awarded, usually the same. In those cases where does not submit bids directly to us. less any discount amount or plus any interest begins accruing prior to the Issue date means the date specified in premium amount, and plus any accrued issue date, however, the dated date will the auction announcement on which we interest. For inflation-protected be prior to the issue date. An example issue a security as an obligation of the securities, the settlement amount also is when the dated date is a Saturday and United States. Interest normally begins includes any inflation adjustment when the issue date is the following Monday. to accrue on a security’s issue date. such securities are reopened or when Dealer means an entity that is Marketable security means a security the dated date is different from the issue registered or has given notice of its that may be bought, sold and transferred date. status as a government securities broker in the secondary market. STRIPS (Separate Trading of Maturity date means the date on or government securities dealer under Registered Interest and Principal of which a security becomes due and Section 15C(a)(1) of the Securities Securities) means our program under payable, and ceases to earn interest. The Exchange Act of 1934. which eligible securities are authorized maturity date is specified in the auction Depository institution means: to be separated into principal and (1) An entity described in Section announcement. interest components, and transferred Minimum to bid means the smallest 19(b)(1)(A), excluding subparagraph separately. These components are amount of a security that may be bid for (vii), of the Federal Reserve Act (12 maintained and transferred in the in an auction as stated in the auction U.S.C. 461(b)(1)(A)). commercial book-entry system. announcement. (2) Any agency or branch of a foreign Submitter means a person or entity Multiple to bid means the smallest bank as defined by the International submitting bids directly to us for its additional amount of a security that may own account, for customer accounts, or Banking Act of 1978, as amended (12 be bid for in an auction as stated in the U.S.C. 3101). auction announcement. both. Only depository institutions and Discount means the difference Noncompetitive bid means a bid to dealers are permitted to submit bids for between par and the price of the purchase a stated par amount of customer accounts. We permit security, when the price is less than par. securities at the yield or discount rate investment advisers to submit bids on (See Appendix B for formulas and awarded to competitive bidders. behalf of controlled accounts. examples.) Offering amount means the par TINT means an interest component Discount amount means the discount from a stripped security. amount of securities we are offering to  divided by 100 and multiplied by the the public for purchase in an auction, as TreasuryDirect means the par amount. (See Appendix B for specified in the auction announcement. TreasuryDirect Book-Entry Securities formulas and examples.) Par means a price of 100. (See System. (See 31 CFR 357, subpart C) Discount rate means a rate of return, Appendix B) We (or ‘‘us’’) means the Secretary of on an annual basis, on bills held until Par amount means the stated value of the Treasury and his or her delegates, they mature. The discount rate is a security at original issuance. including the Department of the expressed in percentage terms and Person means a natural person. Treasury, Bureau of the Public Debt, and based on a 360-day year. It is also Premium means the difference their representatives. The term also referred to as the ‘‘bank discount rate.’’ between par and the price of the includes Federal Reserve Banks acting (See Appendix B for formulas and security, when the price is greater than as fiscal agents of the United States. examples.) par. Yield means the annualized rate of Funds account means a cash account Premium amount means the premium return to maturity on a fixed-principal maintained by a depository institution divided by 100 and multiplied by the security. Yield is expressed as a at a Federal Reserve Bank. par amount. percentage. For an inflation-protected

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security, yield means the real yield. issued under Chapter 31 of Title 31 of (2) Treasury inflation-protected Yield is also referred to as ‘‘yield to the United States Code. The securities bonds.—(i) Are issued with a stated rate maturity.’’ (See Appendix B) are subject to the terms and conditions of interest to be applied to the inflation- You means a prospective bidder in an in this part, the regulations governing adjusted principal on each interest auction. book-entry Treasury bills, notes, and payment date; bonds (31 CFR Part 357), and the (ii) Have interest payable § 356.3 What is the role of the Federal Reserve Banks in this process? auction announcements. When we issue semiannually; additional securities with the same (iii) Are redeemed at maturity at their The Treasury Department authorizes CUSIP number as outstanding inflation-adjusted principal, or at their Federal Reserve Banks, as fiscal agents securities, we consider them to be the par amount, whichever is greater; of the United States, to perform all same securities as the outstanding (iv) Are sold at discount, par, or activities necessary to carry out the provisions of this part, any auction securities. premium, depending on the auction (a) Treasury bills.—(1) Are issued at a announcements, and applicable results; and discount; regulations. (v) Have maturities of more than ten (2) Are redeemed at their par amount years. (See Appendix B for price and § 356.4 What are the book-entry systems at maturity; and interest payment calculations and in which auctioned Treasury securities may (3) Have maturities of not more than Appendix C for Investment be issued? one year. Considerations.) We issue Treasury marketable (b) Treasury notes.—(1) Treasury securities into either of two book-entry fixed-principal 1 notes. Subpart B—Bidding, Certifications, securities systems—the commercial (i) Are issued with a stated rate of and Payment book-entry system or TreasuryDirect. interest to be applied to the par amount; (ii) Have interest payable § 356.10 What is the purpose of an auction We maintain and transfer securities in announcement? these two book-entry systems at their semiannually; par amount. For example, par amounts (iii) Are redeemed at their par amount By issuing an auction announcement, of inflation-protected securities do not at maturity; we provide public notice of the sale of include adjustments for inflation. (iv) Are sold at discount, par, or bills, notes, and bonds. The auction Securities may be transferred from one premium, depending upon the auction announcement lists the specifics of each system to the other. See Department of results; and auction, e.g., offering amount, term and the Treasury Circular, Public Debt (v) Have maturities of at least one type of security, CUSIP number, and Series No. 2–86, as amended (31 CFR year, but of not more than ten years. issue and maturity dates. The auction Part 357). (2) Treasury inflation-protected announcement and this part, including (a) The commercial book-entry notes.—(i) Are issued with a stated rate the Appendices, specify the terms and system. When depository institutions or of interest to be applied to the inflation- conditions of sale. If anything in the dealers submit bids for Treasury adjusted principal on each interest auction announcement differs from this securities in an auction, securities payment date; part, the auction announcement will awarded as a result of those bids are (ii) Have interest payable control. If you intend to bid, you should generally held in the commercial book- semiannually; read the applicable auction entry system. Specifically, we maintain (iii) Are redeemed at maturity at their announcement along with this part. book-entry accounts in the National inflation-adjusted principal, or at their  § 356.11 How are bids submitted in an Book-Entry System (‘‘NBES’’) for par amount, whichever is greater; auction? Federal Reserve Banks, depository (iv) Are sold at discount, par, or (a) General. (1) Bids must be institutions, and other authorized premium, depending on the auction submitted using an approved method, entities, such as government and results (See Appendix B for price and which depends on whether you are international agencies and foreign interest payment calculations and requesting us to issue the awarded central banks. In their accounts, Appendix C for Investment securities in the commercial book-entry depository institutions maintain Considerations.); and system or in TreasuryDirect (See securities held for their own account (v) Have maturities of at least one § 356.3). The approved submission and for the accounts of others. The year, but not more than ten years. methods for these respective systems are accounts held for others include those (c) Treasury bonds—(1) Treasury explained in this section. A bidder must of other depository institutions and fixed-principal bonds. provide its assigned bidder dealers, which may, in turn, maintain (i) Are issued with a stated rate of identification numbers if it has been accounts for others. interest to be applied to the par amount; (b) TreasuryDirect. In this system, we (ii) Have interest payable assigned one. We have the option of maintain the book-entry securities of semiannually; accepting or rejecting incomplete bids. account holders directly on the records (iii) Are redeemed at their par amount (2) We must receive competitive and of the Bureau of the Public Debt, at maturity; noncompetitive bids prior to their Department of the Treasury. Bids for (iv) Are sold at discount, par, or respective closing times, which are securities to be held in TreasuryDirect premium, depending on the auction stated in the auction announcement. We are generally submitted directly to us, results; and will not include late bids in the auction. although such bids may also be (v) Have maturities of more than ten For bids other than those submitted on forwarded to us by a depository years. paper forms, our computer time stamp institution or dealer. will establish the receipt time. You are 1 We use the term ‘‘fixed-principal’’ in this part bound by your bids after the closing § 356.5 What types of securities does the to distinguish such securities from ‘‘inflation- time. Treasury auction? protected’’ securities. We refer to fixed-principal (3) We are not responsible for any notes and fixed-principal bonds as ‘‘notes’’ and We offer securities under this part ‘‘bonds’’ in official Treasury publications, such as delays, errors, or omissions. We are not exclusively in book-entry form and as auction announcements and auction results press responsible for any failures or direct obligations of the United States releases, as well as in auction systems. disruptions of equipment or

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communications facilities used for Number. You may not submit a in .005 percent increments. The third participating in Treasury auctions. competitive bid by computer or decimal must be either a zero or a five, (b) Commercial book-entry system. (1) telephone. for example, 5.320 or 5.325. If you are a submitter and the awarded (ii) Treasury fixed-principal securities are to be issued in the § 356.12 What are the different types of bids and do they have specific securities. A competitive bid must show commercial book-entry system, you requirements or restrictions? the yield bid, expressed with three must submit bids using one of our (a) General. All bids must state the par decimals, for example, 4.170. approved electronic methods except for amount of securities bid for and must (iii) Treasury inflation-protected contingency situations. equal or exceed the minimum to bid securities. A competitive bid must show (2) You must have an agreement on amount stated in the auction the real yield bid, expressed with three file with us under which you agree to announcement. Bids in larger amounts decimals, for example, 3.070. our terms and conditions for access to must be in the multiple stated in the our system for participating in our (2) Maximum recognized bid. There is auction announcement. no limit on the maximum dollar amount auctions. (b) Noncompetitive bids.—(1) (3) In contingency situations, such as that you may bid for competitively, Maximum bid. You may not bid either at a single yield or discount rate, a power outage, we may accept bids by noncompetitively for more than $1 telephone if you submit them prior to or at different yields or discount rates. million in a bill auction or more than $5 However, a competitive bid at a single the relevant bidding deadline. million in a note or bond auction. The (c) TreasuryDirect. (1) If you are a yield or discount rate that exceeds 35 maximum bid limitation does not apply percent of the offering amount will be submitter and the awarded securities are if you are bidding solely through a to be issued in TreasuryDirect, you may reduced to that amount. For example, if TreasuryDirect reinvestment request. A the offering amount is $10 billion, the submit bids by using one of our request for reinvestment of securities approved methods, e.g., computer, maximum bid amount we will recognize maturing in TreasuryDirect is a at any one yield or discount rate from automated telephone service, or paper noncompetitive bid. forms. You may also reinvest the any bidder is $3.5 billion. (See § 356.22 (2) Additional restrictions. You may for award limitations.) proceeds of maturing securities into not bid noncompetitively in an auction new securities by completing the in which you are bidding competitively. (3) Additional restriction. You may appropriate transaction request on time. You may not bid noncompetitively if, in not bid competitively in an auction in (2) If you are submitting bids by paper the security being auctioned, you hold which you are bidding form, you must use forms authorized by a position in when-issued trading or in noncompetitively. the Bureau of the Public Debt and futures or forward contracts at any time § 356.13 When must I report my net long provide the requested information. We between the date of the auction position and how do I calculate it? have the option of accepting or rejecting announcement and the time we bids on any other form. You are (a) Net long position reporting announce the auction results. During threshold. responsible for ensuring that we receive this same timeframe, a noncompetitive bids in paper form on time. A bidder may not enter into any agreement (1) If you are bidding competitively in competitive bid is on time if we receive to purchase or sell or otherwise dispose an auction, you must report your net it prior to the deadline for the receipt of of the securities it is acquiring in the long position when the total of your competitive bids. A noncompetitive bid auction. For this paragraph, futures bids plus your net long position in the is on time if: contracts include those: security being auctioned equals or (i) We receive it on or before the issue (i) That require delivery of the exceeds the net long position reporting date, and specific security being auctioned; threshold (See table). We will specify (ii) The envelope it arrived in bears (ii) For which the security being this threshold in the auction evidence, such as a U.S. Postal Service auctioned is one of several securities announcement for each security (See cancellation, that it was mailed prior to that may be delivered; or § 356.10). The threshold is typically 35 the auction date. (iii) That are cash-settled. percent of the offering amount, but we (3) If you are submitting a bid by (c) Competitive bids. may state a different threshold in the computer or telephone you must be an (1) Bid format—(i) Treasury bills. A auction announcement. To see whether established TreasuryDirect account competitive bid must show the discount you must report your net long position, holder with a Taxpayer Identification rate bid, expressed with three decimals follow this table:

If . . . And If. . . Then. . .

(i) the total of your bids and your net long posi- ...... you must report your net long position (which tion in the security being auctioned equals or does not include your bids). exceeds the reporting threshold. (ii) the total of your bids in the auction equals you have no position or a net short position in you must report a zero. or exceeds the reporting threshold. the security being auctioned. (iii) the total of your bids and your net long po- ...... you may either report nothing (leave the field sition in the security being auctioned is less blank) or report your net long position. than the reporting threshold.

(2) Also, if you have more than one a zero, you must report that figure prior to the closing time for receipt of bid in an auction and you must report through only one depository institution competitive bids. either your net long position or a zero, or dealer. (See § 356.14(d)) (c) Components of the net long you must report that figure only once. (b) ‘‘As of’’ time for calculating net position. Except as modified in (d) of Finally, if you are a customer and must long position. You must calculate your this section, your net long position is report either your net long position or net long position as of one half-hour the sum total of the par amounts of:

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(1) Your holdings of outstanding institutions or dealers may submit bids the customer is bidding for $100 million securities with the same CUSIP number for customers, or for customers of or more of securities. If the submitter’s as the security being auctioned; intermediaries, under the requirements or intermediary’s personnel know that (2) Your holdings of STRIPS principal set out in this section. If a bid from a the customer’s position information is components of the security being depository institution or a dealer fulfills not correct, the submitter or auctioned, and; a guarantee to a customer to sell a intermediary may not submit the (3) Your positions, in the security specified amount of securities at an customer’s bid. being auctioned, in: agreed-upon price, or a price fixed in (e) Noncompetitive customer bids. For (i) When-issued trading, including terms of an agreed-upon standard, then each noncompetitive bid, the submitter when-issued trading positions of the the bid is a bid of that depository must provide the customer’s name and STRIPS principal components; institution or dealer. It is not a customer the amount bid. Submitters may either (ii) Futures contracts that require bid. delivery of the specific security being (b) Payment. Submitters must remit provide the customer’s name with the auctioned (but not futures contracts for payment for bids they submit on behalf bid or, if the list of customers is lengthy, which the security being auctioned is of customers, including customers of the submitter may provide a summary one of several securities that may be intermediaries, that result in awards of bid amount covering all noncompetitive delivered, and not futures contracts that securities in the auction. customers. If it provides a summary bid are cash-settled); and (c) Identifying customers. Submitters amount, the submitter must transmit the (iii) Forward contracts that require must provide the names of customers list of individual customers and their delivery of the specific security being whenever they submit bids for them. bid amounts by close of business on the auctioned or of the STRIPS principal Submitters must provide the names of auction day. However, the submitter component of that security. their direct customers as well as must be able to provide the customer (d) Calculating the net long position customers of any intermediaries who are list details by the noncompetitive in a reopening. In a reopening forwarding customer bids. For bidding deadline if requested. (additional issue) of an outstanding individuals, submitters must provide security, you may subtract the exclusion the customer’s full name (first and last). § 356.15 What rules apply to bids amount stated in the auction submitted by investment advisers? For institutional customers, submitters announcement from: (1) Your holdings of the outstanding must provide the name of the (a) General. The auction rules that securities (paragraph (c)(1) of this institution, and the bidder identification apply to investment advisers are section) combined with number if the customer provides it. For determined by the relationship between (2) Your holdings of STRIPS principal trusts or other fiduciary estates (See ‘‘investment advisers’’ and ‘‘controlled components of the security being Appendix A), submitters must provide accounts.’’ An investment adviser auctioned (paragraph (c)(2) of this on the customer list: means any person or entity that has section). We will specify the amount of (1) The full name or title of the trustee investment discretion for the bids or holdings that you may exclude from the or fiduciary; positions of a different person or entity net long position calculation in the (2) A reference to the document (a controlled account). A person or auction announcement. You may not creating the trust or fiduciary estate entity has investment discretion if it take the exclusion if your combined with date of execution; and determines what, when, and what (3) The employer identification holdings are zero or less. The exclusion quantity of securities will be purchased number (not social security number) of is optional, but if you take the or sold on behalf of another person or the trust or fiduciary estate. We do not exclusion, you must include any entity. We consider a person that is consider trusts to be a separate bidder holdings that exceed the exclusion employed or supervised by an that have not been assigned, or that do amount in calculating your net long investment adviser to be part of that not provide, an employer identification position. If the exclusion amount is investment adviser. We also consider greater than your combined holdings number. (d) Competitive customer bids. For the bids or positions of controlled (paragraphs (c)(1) and (2) of this each customer competitive bid, the accounts to be separate from the bids or section), you may calculate the positions of the person or entity with combined holdings as zero, but they submitter must provide the customer’s name, the amount bid, and the yield or which they would otherwise be cannot be included in the calculation as associated under the bidder categories a negative number. discount rate. The submitter or intermediary must also report the net in Appendix A of this part. § 356.14 What are the requirements for long position amount if the customer (b) Bidding options.—(1) An submitting bids for customers? provides it. The submitter must inform investment adviser has two options for (a) Institutions that may submit bids a customer of the net long position whose name to use when bidding on for customers. Only depository reporting requirement (See § 356.13) if behalf of controlled accounts.

In such cases, we consider the bidder to An investment adviser may bid for a controlled account . . . be . . .

(i) in the investment adviser’s own name ...... the investment adviser. (ii) in the name of the controlled account ...... the controlled account.

(2) Using the first option (paragraph investment adviser could bid the same auction up to the (b)(1)(i)), an investment advisor could noncompetitively for each separately noncompetitive bidding limit. An bid noncompetitively up to the named controlled account up to the investment adviser may not bid for a noncompetitive bidding limit only for noncompetitive bidding limit. The controlled account both itself, as a single bidder. Using the investment adviser could also bid noncompetitively and competitively in second option (paragraph (b)(1)(ii)), an noncompetitively in its own name in the same auction. If an investment

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adviser is bidding competitively in the investment adviser must also include in which positions an investment adviser name of a controlled account, the the calculation all other competitive must include to determine whether it controlled account is subject to the bids and positions that it controls. If the meets the net long position reporting award limitations of § 356.22(b). net long position is reportable, the threshold in § 356.13(a). If an (c) Reporting net long positions. If it investment adviser must report it as a investment adviser does meet the is bidding competitively, an investment total in connection with only one bid as reporting threshold, the table also shows adviser must calculate the amount of its stated in § 356.13(a). This requirement which positions must be included in, bids and positions for purposes of the applies regardless of whether the and which may be excluded from, the net long position reporting requirement investment adviser bids in its own name net long position calculation. found in § 356.13(a). In addition to its or in the name of its controlled own competitive bids and positions, the accounts. The following table shows

If an investment adviser is bidding competitively, and . . . Then . . .

(1) the investment adviser has a net long position for its own account .. that position must be included in the investment adviser’s net long po- sition calculation. (2) the investment adviser’s competitive bid is for a controlled account any net long position of that account must be included in the invest- ment adviser’s net long position calculation. (3) the investment adviser is not bidding competitively for a controlled account and . . . (i) the controlled account has a net long position of $100 million or that position must be included in the investment adviser’s net long po- more. sition calculation. (ii) the controlled account has a net long position that is less than that position may be excluded from the investment adviser’s net long $100 million. position calculation. (iii) any net long position is excluded under paragraph (b)(3)(ii) of all net short positions of controlled accounts under $100 million must this table. also be excluded.

(d) Certifications. When an must sign and date the certification on to make debit entries to your deposit investment adviser bids for a controlled behalf of the submitter, and it must be account under 31 CFR part 370. account, we deem the investment filed with us and renewed at least Payment by debit entry occurs on the adviser to have certified that it is annually. settlement date for the actual settlement complying with this part and the (b) Intermediaries. If you forward bids amount due. (See § 356.25) You may auction announcement for the security. in an auction, we deem you to have also pay for reinvestments with Further, we deem the investment certified that: maturing securities, however, you must adviser to have certified that the (1) You are in compliance with this pay separately for any premium, information it provided about bids for part and the applicable auction accrued interest, or inflation adjustment controlled accounts is accurate and announcement; and as soon as you receive your Payment complete. (2) That the information you provided Due Notice. (e) Proration of awards. Investment to a submitter or other intermediary (1) Bidding by computer or by advisers that submit competitive bids in with regard to bids for customers telephone. If you are bidding by the names of controlled accounts are accurately and completely reflects computer or by telephone, you must pay responsible for prorating any awards at information provided by those for any securities awarded to you by the highest accepted yield or discount customers or intermediaries. debit entry to a deposit account. rate using the same percentage that we (c) Customers. By bidding for a (2) Bidding by paper form. If you are announce. See § 356.21 for examples of security as a customer we deem you to mailing bids to us on a paper form, you how to prorate. have certified that: may either enclose your payment with (1) You are in compliance with this the form or pay for any securities § 356.16 Do I have to make any part and the auction announcement and; awarded to you by debit entry to a certifications? (2) The information you provided to deposit account. (a) Submitters. If you submit bids or the submitter or intermediary in (i) Payment with paper form. For bills, other information in an auction, we connection with the bid is accurate and you may pay by depository institution deem you to have certified that: complete. (cashier’s or teller’s) check, certified (1) You are in compliance with this check, or currently dated Treasury or part and the auction announcement; § 356.17 How and when do I pay for fiscal agency check made payable to (2) The information provided with securities awarded in an auction? you. For notes or bonds, in addition to regard to any bids for your own account (a) General. By bidding in an auction, the payment options for bills, you may is accurate and complete; and you agree to pay the settlement amount also pay by personal check. If you (3) The information provided with for any securities awarded to you. (See submit a personal check, make it regard to any bids for customers § 356.25) For notes and bonds, the payable to TreasuryDirect and mail it to accurately and completely reflects settlement amount may include a the Federal Reserve Bank handling your information provided by your customers premium amount, accrued interest, and, account. In your payment amount you or intermediaries. for inflation-protected securities, an must include the par amount and any (4) If you submit bids by computer, inflation adjustment. announced accrued interest and/or you must have on file a written (b) TreasuryDirect. Unless you make inflation adjustment. certification that, each time you submit other provisions, you must submit (ii) Payment by debit entry to a such bids, you are in compliance with payment with your bids or pay by debit deposit account. If a depository this part and the applicable auction entry to a deposit account. To pay by institution or dealer is submitting your announcement. An authorized person debit entry, you must first authorize us bids for securities to be held in

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TreasuryDirect, payment may be either (1) Accepting bids. First we accept in $80,150,000 in this example. We always by debit entry to a deposit account or by full all noncompetitive bids that were make awards for at least the minimum allowing us to charge the Federal submitted by the noncompetitive to bid, and above that amount we make Reserve Bank funds account of a bidding deadline. After the closing time awards in the appropriate multiple to depository institution. for receipt of competitive bids we start bid. For example, Treasury bills may be (3) Payment by maturing securities. accepting those at the lowest yields or issued with a minimum to bid of $1,000 You may use maturing securities held in discount rates through successively and multiples to bid of $1,000. Say we TreasuryDirect as payment for higher yields or discount rates, up to the accept an $18,000 bid at the high reinvestments into new securities that amount required to meet the offering discount rate, and the percent awarded we are offering, as long as we receive amount. When necessary, we prorate at the high discount rate is 88.27%. We the appropriate transaction request on bids at the highest accepted yield or would award $16,000 to that bidder, time. discount rate as described below. If the which is an upward adjustment from (c) Commercial book-entry system. amount of noncompetitive bids would $15,888.60 ($18,000 × .8827) to the For securities to be held in the absorb most or all of the offering nearest multiple of $1,000. If we were to commercial book-entry system, payment amount, we will accept competitive bids award 4.65% of bids at the highest of the settlement amount must be by in an amount sufficient to provide a fair accepted rate, for example, the award charge to the funds account of a determination of the yield or discount for a $10,000 bid at that rate would be depository institution at a Federal rate for the securities we are auctioning. $1,000, rather than $465, in order to Reserve Bank. (2) Accepting bids at the high yield or meet the minimum to bid for a bill (1) A submitter that does not have a discount rate. Generally, the total issue. funds account at a Federal Reserve Bank amount of bids at the highest accepted (b) Awards to customers. The same or that chooses not to pay by charge to yield or discount rate exceeds the prorating rules apply to customers as its own funds account must have an offering amount remaining after we apply to submitters. Depository approved autocharge agreement on file accept the noncompetitive bids and the institutions and dealers, whether with us before submitting any bids. Any competitive bids at the lower yields or submitters or intermediaries, are depository institution whose funds discount rates. In order to keep the total responsible for prorating awards for account will be charged under an amount of awards as close as possible to their customers at the same percentage autocharge agreement will receive the announced offering amount, we that we announce. For example, if advance notice from us of the total par award a percentage of the bids at the 80.15% is the announced percentage at amount of, and price to be charged for, highest accepted yield or discount rate. the highest yield or discount rate, then securities awarded as a result of the We derive the percentage by dividing each customer bid at that yield or rate submitter’s bids. the remaining par amount needed to fill must be awarded 80.15%. (2) A submitter that is a member of a the offering amount by the par amount clearing corporation may instruct that of the bids at the high yield or discount § 356.22 Does the Treasury have any delivery and payment be made through rate and rounding up to the next limitations on auction awards? the clearing corporation for securities hundredth of a whole percentage point, (a) Awards to noncompetitive bidders. awarded to the submitter for its own for example, 17.13%. The maximum award to any bidder is $1 account. To do this, the following (b) Determining the interest rate for million for bills and $5 million for notes requirements must be met prior to new note and bond issues. We set the and bonds. This limit does not apply to submitting any bids: interest rate at the 1/8 of one percent bidders bidding solely through (i) We must have acknowledged and increment that produces the price TreasuryDirect reinvestment requests. closest to, but not above, par when have on file an autocharge agreement (b) Awards to competitive bidders. evaluated at the yield of awards to between the clearing corporation and a The maximum award is 35 percent of successful competitive bidders. depository institution. By entering into the offering amount less the bidder’s net such an agreement, the clearing (c) Determining purchase prices for awarded securities. For both long position as reportable under corporation authorizes us to provide § 356.13. For example, in a note auction aggregate par and price information to noncompetitive bidders and competitive bidders, we convert the highest with a $10 billion offering amount, and the depository institution whose funds therefore a maximum award of $3.5 account will be charged under the accepted discount rate or yield to a price expressed as a price per hundred. billion, a bidder with a reported net agreement. The clearing corporation is long position of $1 billion could receive responsible for remitting payment for This price is rounded to three decimals, for example, 99.954. (See Appendix B) a maximum auction award of $2.5 auction awards of the clearing billion. When the bids and net long corporation member. For inflation-protected securities, the price for awarded securities is the price positions of more than one person or (ii) We must have acknowledged and entity must be combined, as is the case have on file a delivery and payment equivalent to the highest accepted real yield. with investment advisers and controlled agreement between the submitter and accounts (See § 356.15(c)), we will use the clearing corporation. By entering § 356.21 How are awards at the high yield this combined amount for the purpose into such an agreement, the submitter or discount rate calculated? of this 35 percent award limit. authorizes us to provide award and (a) Awards to submitters. We payment information to the clearing § 356.23 How are the auction results generally prorate bids at the highest corporation. announced? accepted yield or discount rate under (a) After the conclusion of the Subpart C—Determination of Auction § 356.20(a)(2) of this part. For example, auction, we will announce the auction Awards; Settlement if 80.15% is the announced percentage at the highest yield or discount rate, we results through a press release that is § 356.20 How does the Treasury determine award 80.15% of the amount of each bid available on our Web site at http:// auction awards? at that yield or rate. A bid for $100 www.publicdebt.treas.gov. (a) Determining the range and amount million at the highest accepted yield or (b) The press release will include of accepted competitive bids. discount rate would be awarded such information as:

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(1) The amounts of bids we accepted million or more in an auction must send for in § 356.17 (b)(2), you may have to and the amount of securities we us a confirmation containing the pay an additional amount, or we may awarded; information in paragraphs (d)(1) and (2) have to pay an amount to you, as (2) The range of accepted yields or of this section. The confirmation must follows: discount rates; be sent no later than 10:00 a.m. on the (1) When we owe an amount to you. (3) The proration percentage; day following the auction. The If the amount you paid is more than the (4) The interest rate for a note or confirmation must be signed by the settlement amount, we will refund the bond; customer or authorized representative. If (5) A breakdown of the amounts of balance to you after the auction. This signed by an authorized representative, situation will generally be the case if noncompetitive and competitive bids the confirmation must include the we accepted from, and awarded to, the you submit payment with your bids. A capacity in which the representative is typical example would be an auction public; acting. A submitter or intermediary (6) The amounts of bids tendered and where the price is a discount from par submitting or forwarding bids for a and there is no accrued interest. accepted from the Federal Reserve customer must notify the customer of Banks for their own accounts; this requirement if we award the (2) When you must remit an (7) The bid-to-cover ratio; and customer $500 million or more as a additional amount. If the settlement (8) Other information that we may amount is more than the amount you decide to include. result of those bids. The information the customer must provide in writing is: paid, we will notify you of the § 356.24 Will I be notified directly of my (1) A confirmation of the awarded additional amount due, which you will awards and, if I am submitting bids for bid(s), including the name of the be responsible for remitting others, do I have to provide confirmations? depository institution or dealer that immediately. You may owe us such an (a) Notice of awards—(1) Notice to submitted the bid(s) on the customer’s additional amount if the auction submitters. We will provide notice to all behalf, and calculations result in a premium or if submitters letting them know whether (2) A statement indicating whether accrued interest or an inflation their bids were successful or not. the customer had a reportable net long adjustment is due. (2) Notice to clearing corporations. If position as defined in § 356.13. If a Subpart D—Miscellaneous Provisions we are to deliver awarded securities position had to be reported, the under a delivery and payment statement must provide the amount of § 356.30 When does the Treasury pay agreement, we will provide notice of the the position and the name of the principal and interest on securities? awards to the clearing corporation that depository institution or dealer that the (a) General. We will pay principal on is a party to the agreement. customer requested to report the bills, notes, and bonds on the maturity (b) Notification of awards to position. customers. If you are a submitter for date as specified in the auction customers, you are responsible for § 356.25 How does the settlement process announcement. Interest on bills consists notifying them of their awards. You are work? of the difference between the also responsible for notifying any Securities bought in the auction must discounted amount paid by the investor intermediaries that forwarded be paid for by the issue date. The at original issue and the par value we successful bids to you. Similarly, an payment amount for awarded securities pay to the investor at maturity. Interest intermediary is responsible for will be the settlement amount as on notes and bonds accrues from the providing notification of any awards to defined in § 356.2. (See formulas in dated date. Interest is payable on a its customers and any intermediaries Appendix B.) There are several ways to semiannual basis on the interest from whom it received bids. pay for securities: payment dates specified in the auction (c) Notification of awards and (a) Payment by debit entry to a deposit announcement through the maturity settlement amounts to a depository account. If you are paying by debit entry date. If any principal or interest institution having an autocharge to a deposit account as provided for in payment date is a Saturday, Sunday, or agreement with a submitter or a clearing § 356.17 (b)(1) or (b)(2), we will charge other day on which the Federal Reserve corporation. We will notify each the settlement amount to the specified System is not open for business, we will depository institution that has entered account on the issue date. make the payment (without additional into an autocharge agreement with a (b) Payment by authorized charge to interest) on the next business day. If a submitter or a clearing corporation of a funds account. Where the submitter’s bond is callable, we will pay the the amount to be charged, on the issue method of payment is an authorized principal prior to maturity if we call it date, to the institution’s funds account charge to the funds account of a under its terms, which include at the Federal Reserve Bank servicing depository institution as provided for in providing appropriate public notice. the institution. We will provide this § 356.17 (c)(1) and (c)(2), we will charge (b) Treasury inflation-protected notification no later than the day after the settlement amount to the specified securities. (1) This table explains the the auction. funds account on the issue date. amount that we will pay to holders of (d) Customer confirmation. Any (c) Payment with bids. If you paid the inflation-protected securities at customer awarded a par amount of $500 par amount with your bids as provided maturity.

At maturity, if . . . Then . . .

(i) the inflation-adjusted principal is equal to or more than the par we will pay the inflation-adjusted principal. amount of the security. (ii) the inflation-adjusted principal is less than the par amount of the se- we will pay an additional amount so that the additional amount plus the curity, and the security has not been stripped. inflation-adjusted principal equals the par amount. (iii) the inflation-adjusted principal is less than the par amount of the to holders of principal components only we will pay an additional security, and the security has been stripped. amount so that the additional amount plus the inflation-adjusted prin- cipal equals the par amount.

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(2) Regardless of whether or not we (i) They are maintained in accounts, (iii) Payment at maturity. At maturity, pay an additional amount, we will base and transferred, at their original the payment to the holder will be the final interest payment on the payment value, which is derived by derived by multiplying the adjusted inflation-adjusted principal at maturity. multiplying the semiannual interest rate value of the interest component by the (c) Discharge of payment obligations. and the par amount; Reference CPI of the maturity date, (1) The commercial book-entry (ii) Their interest payment date divided by 100. See Appendix B, system. We discharge our payment becomes the maturity date for the Section IV to this part for an example of obligations when we credit payment to component; how to do this calculation. the account maintained at a Federal (iii) All interest components with the (iv) Rebasing of the CPI. If the CPI is Reserve Bank for a depository same maturity date have the same rebased to a different time base institution or other authorized entity, or CUSIP number, regardless of the reference period (See Appendix D), the when we make payment according to underlying security from which the adjusted values of all outstanding the instructions of the person or entity interest payments were stripped, and inflation-protected interest components maintaining the account. Further, we do therefore are fungible (interchangable). will be converted to adjusted values (iv) The CUSIP numbers of interest not have any obligations to any person based on the new base reference period. components are different from the or entity that does not have an account At that time, we will publish CUSIP numbers of principal with a Federal Reserve Bank. We also information that describes how this components and fully constituted will not recognize the claims of any conversion will occur. After rebasing, securities, even if they have the same person or entity: any interest components created from a maturity date, and therefore are not (i) That does not have an account at security that was issued during a prior fungible. base reference period will be issued a Federal Reserve Bank, or (c) Treasury inflation-protected (ii) With respect to any accounts not with adjusted values calculated using securities—(1) Minimum par amounts reference CPIs under the most-recent maintained at a Federal Reserve Bank. required for STRIPS. The minimum par base reference period. (2) TreasuryDirect. We discharge our amount of an inflation-protected payment obligations when we make (d) Reconstituting a security. Stripped security that may be stripped is $1,000. interest and principal components may payment to a depository institution for Any par amount to be stripped above credit to the account specified by the be reconstituted, that is, put back $1,000 must be in a multiple of $1,000. together into their fully constituted owner of the security, or when we make (2) Principal components. Principal form. A principal component and all payment according to the instructions of components stripped from inflation- related unmatured interest components, the security’s owner or the owner’s legal protected securities are maintained in in the appropriate minimum or multiple representative. accounts, and transferred, at their par amounts or adjusted values, must be amount. At maturity, the holder will § 356.31 How does the STRIPS program submitted together for reconstitution. receive the inflation-adjusted principal work? Because inflation-protected interest or the par amount, whichever is greater. components are different from fixed- (a) General. Notes or bonds may be (See § 356.30) A principal component principal interest components, they are ‘‘stripped’’—divided into separate has a CUSIP number that is different not interchangeable for reconstitution principal and interest components. from the CUSIP number of the fully purposes. These components must be maintained constituted (unstripped) security. in the commercial book-entry system. (3) Interest components.—(i) Adjusted (e) Applicable regulations. Subparts Stripping is done at the option of the value. Interest components stripped A, B, and D of part 357 of this chapter holder, and may occur at any time from from inflation-protected securities are govern notes and bonds stripped into issuance until maturity. We provide the maintained in accounts, and transferred, their STRIPS components, unless we CUSIP numbers and payment dates for at their adjusted value. This value is state differently in this part. the principal and interest components derived by multiplying the semiannual § 356.32 What tax rules apply? in auction announcements and on our interest rate by the par amount and then (a) General. Securities issued under Web site at http:// multiplying this value by: 100 divided www.publicdebt.treas.gov. this part are subject to all applicable by the Reference CPI of the original taxes imposed under the Internal (b) Treasury fixed-principal securities issue date. (The dated date is used Revenue Code of 1986, or its successor. (notes and bonds other than Treasury instead of the original issue date when Under section 3124 of title 31, United inflation-protected securities—(1) the dates are different.) See Appendix B, States Code, the securities are exempt Minimum par amounts required for Section IV of this part for an example of from taxation by a State or political STRIPS. The minimum par amount of a how to do this calculation. subdivision of a State, except for State fixed-principal security that may be (ii) CUSIP numbers. When an interest estate or inheritance taxes and other stripped is $1,000. Any par amount to payment is stripped from an inflation- exceptions as provided in that section. be stripped above $1,000 must be in a protected security, the interest payment (b) Treasury inflation-protected multiple of $1,000. date becomes the maturity date for the securities. Special federal income tax (2) Principal components. Principal component. All interest components rules for inflation-protected securities, components stripped from fixed- with the same maturity date have the including stripped inflation-protected principal securities are maintained in same CUSIP number, regardless of the principal and interest components, are accounts, and transferred, at their par underlying security from which the set forth in Internal Revenue Service amount. They have a CUSIP number interest payments were stripped. Such regulations. that is different from the CUSIP number interest components are fungible of the fully constituted (unstripped) (interchangeable). The CUSIP numbers § 356.33 Does the Treasury have any security. of interest components are different discretion in the auction process? (3) Interest components. Interest from the CUSIP numbers of principal (a) We have the discretion to: components stripped from fixed- components and fully constituted (1) Accept, reject, or refuse to principal securities have the following securities, even if they have the same recognize any bids submitted in an features: maturity date. auction;

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(2) Award more or less than the (a) Corporation—We consider a an account at the Federal Reserve Bank of amount of securities specified in the corporation to be one bidder. A corporation New York (See paragraph (f)). auction announcement; includes all of its affiliates, which may be We generally consider an investment, (3) Waive any provision of this part persons, partnerships, or other entities. We reserve, or other fund of one of the above use the term ‘‘corporate structure’’ to refer to government-related entities as part of that for any bidder or submitter; and entity and not a separate bidder. We will (4) Change the terms and conditions the collection of affiliates that we consider collectively to be one bidder. An affiliate is consider a government-related entity’s fund of an auction. any: to be a separate bidder if it meets the (b) Our decisions under this part are • entity that is more than 50% owned, definition of the ‘‘trust or other fiduciary final. We will provide a public notice if directly or indirectly, by the corporation; estate’’ category, or if applicable law requires we change any auction provision, term, • entity that is more than 50% owned, that the investments of such fund be made or condition. directly or indirectly, by any other affiliate of separately. (c) We reserve the right to modify the the corporation; (d) Trust or other fiduciary estate—We terms and conditions of new securities • person or entity that owns, directly or consider a legal entity created under a valid and to depart from the customary indirectly, more than 50% of the corporation; trust instrument, court order, or other legal • person or entity that owns, directly or authority that designates a trustee or pattern of securities offerings at any fiduciary to act for the benefit of a named time. indirectly, more than 50% of any other affiliate of the corporation; or beneficiary to be one bidder. The following § 356.34 What could happen if someone • entity, a majority of whose board of conditions must also be met for us to directors or a majority of whose general consider a trust entity to be one bidder: does not fully comply with the auction rules • or fails to pay for securities? partners are directors or officers of the The legal entity must be able to be identified by: (a) General. If a person or entity fails corporation, or of any affiliate of the corporation. 1. the name or title of the trustee or to comply with any of the auction rules We consider a business trust, such as a fiduciary; in this part, we will consider the Massachusetts or Delaware business trust, to 2. specific reference to the trust circumstances and take what we deem be a corporation. instrument, court order, or legal authority to be appropriate action. This could (b) Partnership—We consider a partnership under which the trustee or fiduciary is include barring the person or entity to be one bidder if it is a partnership for acting; and from participating in future auctions which the Internal Revenue Service has 3. the unique IRS-assigned employer identification number (not social security under this part. We also may refer the assigned a tax-identification number. A partnership includes all of its affiliates, number) for the entity. matter to an appropriate regulatory • The trustee or fiduciary must make the which may be persons, corporations, general agency. decisions on participating in auctions on partners acting on behalf of the partnership, (b) Liquidated damages. If you fail to behalf of the trust or fiduciary estate. or other entities. We use the term pay for awarded securities in a timely (e) Individual—We consider a person to be ‘‘partnership structure’’ to refer to the one bidder, regardless of whether he or she manner, we may require you to pay collection of affiliates that we consider liquidated damages of up to one percent is acting as an individual, a sole proprietor, collectively to be one bidder. We may or for any entity not otherwise defined as a of the par amount of securities we consider a partnership structure that contains awarded to you. Our use of this bidder. If a person meets the definition of an one or more corporations as a ‘‘partnership’’ affiliate within a corporate or partnership liquidated damages remedy does not or a ‘‘corporation,’’ but not both. structure, we will consider him or her to be preclude us from using any other An affiliate is any: • a bidder in this ‘‘individual’’ category if the appropriate remedy. entity that is more than 50% owned, corporation or partnership is not bidding in directly or indirectly, by the partnership; • the same auction. We do not consider a § 356.35 Who approved the information entity that is more than 50% owned, person acting in an official capacity as an collections? directly or indirectly, by any other affiliate of employee or other representative of a bidder The Office of Management and Budget the partnership; • defined in any other category to be an approved the collections of information person or entity that owns, directly or ‘‘individual’’ bidder. We consider a person, indirectly, more than 50% of the partnership; his or her spouse, and any children under the contained in §§ 356.11, 356.12, 356.13, • person or entity that owns, directly or age of 21 having a common household to be 356.14, and 356.15 and in Appendix A indirectly, more than 50% of any other of this part under control number 1535– one ‘‘individual’’ bidder. affiliate of the partnership; or (f) Foreign and International Monetary • 0112. entity, a majority of whose general Authority (‘‘FIMA’’)—We consider one or Appendix A to Part 356—Bidder partners or a majority of whose board of more parties making up a foreign or directors are general partners or directors of Categories international monetary organization that is the partnership or of any affiliate of the not private in nature to be a bidder called a I. Categories of Eligible Bidders partnership. FIMA entity if at least one of the parties is We describe below various categories of (c) Government-related entity—We a foreign or international entity that is (i) bidders eligible to bid in Treasury auctions. consider each of the following entities to be financial in nature, or (ii) not financial in You may use them to determine whether we one bidder: nature but is authorized to open an account consider you and other entities to be one (1) a state government or the government at the Federal Reserve Bank of New York. We bidder or more than one bidder for auction of the District of Columbia. consider each of the following entities to be bidding and compliance purposes. For (2) a unit of local government, including a single FIMA entity: example, we use these definitions to apply any county, city, municipality, or township, (1) A foreign central bank or regional the competitive and noncompetitive award or other unit of general government as central bank. limitations and for other requirements. defined by the Bureau of the Census for (2) A foreign governmental monetary or Notwithstanding these definitions, we statistical purposes. finance entity. consider any persons or entities that (3) a commonwealth, territory, or (3) A non-governmental international intentionally act together with respect to possession of the United States. financial organization that is not private in bidding in a Treasury auction to collectively (4) a governmental entity, body, or nature (for example, the International be one bidder. Even if an auction participant corporation established under Federal, State, Monetary Fund, the World Bank, the Inter- does not fall under any of the categories or local law. American Development Bank, and the Asian listed below, it is our intent that no auction (5) a foreign central bank, the government Development Bank). participant receives a larger auction award by of a foreign state, or an international (4) A non-financial international acquiring securities through others than it organization in which the United States organization that the United States could have received had it been considered holds membership. This type of entity participates in (for example, the United one of these types of bidders. applies only when such entity is not using Nations).

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(5) A multi-party arrangement of a securities must not perform the same II. Formulas for Conversion of Fixed- governmental ministry and/or a foreign function for other components within the Principal Security Yields to Equivalent central bank or monetary authority with a corporate or partnership structure; and Prices. United States Government Department and/ (d) The records of such component(s) III. Formulas for Conversion of Inflation- or the Federal Reserve Bank of New York. related to the bidding for, acquisition of, and Protected Security Yields to Equivalent (6) A foreign or international monetary disposition of Treasury securities must be Prices. entity or an entity authorized by statute or by maintained by such component(s). Those IV. Computation of Adjusted Values and us to open accounts at the Federal Reserve records must be identifiable—separate and Payment Amounts for Stripped Inflation- Bank of New York. apart from similar records for other Protected Interest Components. (g) Other Bidder—We do not consider a components within the corporate or V. Computation of Purchase Price, bidder defined by any of the above categories partnership structure. To obtain recognition Discount Rate, and Investment Rate (Coupon- to be a bidder in this category. For purposes as a separate bidder, each component or Equivalent Yield) for Treasury Bills. of this definition, ‘‘other bidder’’ means an group of components must request such The examples in this appendix are given institution or organization with a unique IRS- recognition from us, provide a description of for illustrative purposes only and are in no assigned employer identification number. the component or group and its position way a prediction of interest rates on any bills, This definition includes such entities as an within the corporate or partnership structure, association, church, university, union, or notes, or bonds issued under this part. club. This category does not include any and provide the following certification: In some of the following examples, we use person or entity acting in a fiduciary or [Name of the bidder] hereby certifies that intermediate rounding for ease in following investment management capacity, a sole to the best of its knowledge and belief it the calculations. In actual practice, we proprietorship, an investment account, an meets the criteria for a separate bidder as generally do not round prior to determining investment fund, a form of registration, or described in Appendix A to 31 CFR Part 356. the final result. investment ownership designation. The above-named bidder also certifies that it I. Computation of Interest on Treasury II. How To Obtain Separate Bidder has established written policies or Bonds and Notes Recognition procedures, including ongoing compliance monitoring processes, that are designed to A. Treasury Fixed-Principal Securities Under certain circumstances, we may prevent the component or group of 1. Regular Half-Year Payment Period. We recognize a major organizational component components from: pay interest on marketable Treasury fixed- (e.g., the parent or a subsidiary) in a (1) Exchanging any of the following principal securities on a semiannual basis. corporate or partnership structure as a bidder information with any other part of the The regular interest payment period is a full separate from the larger corporate or corporate [partnership] structure: (a) Yields half-year of six calendar months. Examples of partnership structure. We also may recognize or rates at which it plans to bid; (b) amounts half-year periods are: (1) February 15 to two or more major organizational of securities for which it plans to bid; (c) components collectively as one bidder. All of August 15, (2) May 31 to November 30, and positions that it holds or plans to acquire in the following criteria must be met for such (3) February 29 to August 31 (in a leap year). a security being auctioned; and (d) component(s) to qualify for recognition as a Calculation of an interest payment for a investment strategies that it plans to follow separate bidder: fixed-principal note with a par amount of regarding the security being auctioned, or (a) Such component(s) must be prohibited $1,000 and an interest rate of 8% is made in (2) In any way intentionally acting together by law or regulation from exchanging, or this manner: ($1,000 x .08) / 2 = $40. with any other part of the corporate must have established written internal Specifically, a semiannual interest payment [partnership] structure with respect to procedures designed to prevent the exchange represents one half of one year’s interest, and formulating or entering bids in a Treasury of, information related to bidding in Treasury is computed on this basis regardless of the auctions with any other component in the auction. actual number of days in the half-year. corporate or partnership structure; The above-named bidder agrees that it will 2. Daily Interest Decimal. We compute a (b) Such component(s) must not be created promptly notify the Department in writing daily interest decimal in cases where an for the purpose of circumventing our bidding when any of the information provided to interest payment period for a fixed-principal and award limitations; obtain separate bidder status changes or security is shorter or longer than six months (c) Decisions related to purchasing when this certification is no longer valid. or where accrued interest is payable by an Treasury securities at auction and Appendix B to Part 356—Formulas and investor. We base the daily interest decimal participation in specific auctions must be Tables on the actual number of calendar days in the made by employees of such component(s). half-year or half-years involved. The number Employees of such component(s) that make I. Computation of Interest on Treasury of days in any half-year period is shown in decisions to purchase or dispose of Treasury Bonds and Notes. Table 1. TABLE 1

Beginning and ending Beginning and ending days are 1st or 15th of days are the last days the months listed under of the months listed interest period (number under interest period Interest period of days) (number of days) Regular Leap Regular Leap year year year year

January to July ...... 181 182 181 182 February to August ...... 181 182 184 184 March to September ...... 184 184 183 183 April to October ...... 183 183 184 184 May to November ...... 184 184 183 183 June to December ...... 183 183 184 184 July to January ...... 184 184 184 184 August to February ...... 184 184 181 182 September to March ...... 181 182 182 183 October to April ...... 182 183 181 182 November to May ...... 181 182 182 183 December to June ...... 182 183 181 182

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Table 2 below shows the daily interest one percent. These decimals represent 1⁄181, interest payment, depending on which half- 1 decimals covering interest from ⁄8% to 20% 1⁄182, 1⁄183, or 1⁄184 of a full semiannual year is applicable. on $1,000 for one day in increments of 1⁄8 of

TABLE 2.—DECIMAL FOR ONE DAY’S INTEREST ON $1,000 AT VARIOUS RATES OF INTEREST, PAYABLE SEMINANNUALLY OR ON A SEMIANNUAL BASIS, IN REGULAR YEARS OF 365 DAYS AND IN YEARS OF 366 DAYS (TO DETERMINE APPLI- CABLE NUMBER OF DAYS, SEE TABLE 1)

Half-year of Half-year of Half-year of Half-year of Rate per annum (percent) 184 days 183 days 182 days 181 days

1⁄8 ...... 0.003396739 0.003415301 0.003434066 0.003453039 1⁄4 ...... 0.006793478 0.006830601 0.006868132 0.006906077 3⁄8 ...... 0.010190217 0.010245902 0.010302198 0.010359116 1⁄2 ...... 0.013586957 0.013661202 0.013736264 0.013812155 5⁄8 ...... 0.016983696 0.017076503 0.017170330 0.017265193 3⁄4 ...... 0.020380435 0.020491803 0.020604396 0.020718232 7⁄8 ...... 0.023777174 0.023907104 0.024038462 0.024171271 1 ...... 0.027173913 0.027322404 0.027472527 0.027624309 11⁄8 ...... 0.030570652 0.030737705 0.030906593 0.031077348 11⁄4 ...... 0.033967391 0.034153005 0.034340659 0.034530387 13⁄8 ...... 0.037364130 0.037568306 0.037774725 0.037983425 11⁄2 ...... 0.040760870 0.040983607 0.041208791 0.041436464 15⁄8 ...... 0.044157609 0.044398907 0.044642857 0.044889503 13⁄4 ...... 0.047554348 0.047814208 0.048076923 0.048342541 17⁄8 ...... 0.050951087 0.051229508 0.051510989 0.051795580 2 ...... 0.054347826 0.054644809 0.054945055 0.055248619 21⁄8 ...... 0.057744565 0.058060109 0.058379121 0.058701657 21⁄4 ...... 0.061141304 0.061475410 0.061813187 0.062154696 23⁄8 ...... 0.064538043 0.064890710 0.065247253 0.065607735 21⁄2 ...... 0.067934783 0.068306011 0.068681319 0.069060773 25⁄8 ...... 0.071331522 0.071721311 0.072115385 0.072513812 23⁄4 ...... 0.074728261 0.075136612 0.075549451 0.075966851 27⁄8 ...... 0.078125000 0.078551913 0.078983516 0.079419890 3 ...... 0.081521739 0.081967213 0.082417582 0.082872928 31⁄8 ...... 0.084918478 0.085382514 0.085851648 0.086325967 31⁄4 ...... 0.088315217 0.088797814 0.089285714 0.089779006 33⁄8 ...... 0.091711957 0.092213115 0.092719780 0.093232044 31⁄2 ...... 0.095108696 0.095628415 0.096153846 0.096685083 35⁄8 ...... 0.098505435 0.099043716 0.099587912 0.100138122 33⁄4 ...... 0.101902174 0.102459016 0.103021978 0.103591160 37⁄8 ...... 0.105298913 0.105874317 0.106456044 0.107044199 4 ...... 0.108695652 0.109289617 0.109890110 0.110497238 41⁄8 ...... 0.112092391 0.112704918 0.113324176 0.113950276 41⁄4 ...... 0.115489130 0.116120219 0.116758242 0.117403315 43⁄8 ...... 0.118885870 0.119535519 0.120192308 0.120856354 41⁄2 ...... 0.122282609 0.122950820 0.123626374 0.124309392 45⁄8 ...... 0.125679348 0.126366120 0.127060440 0.127762431 43⁄4 ...... 0.129076087 0.129781421 0.130494505 0.131215470 47⁄8 ...... 0.132472826 0.133196721 0.133928571 0.134668508 5 ...... 0.135869565 0.136612022 0.137362637 0.138121547 51⁄8 ...... 0.139266304 0.140027322 0.140796703 0.141574586 51⁄4 ...... 0.142663043 0.143442623 0.144230769 0.145027624 53⁄8 ...... 0.146059783 0.146857923 0.147664835 0.148480663 51⁄2 ...... 0.149456522 0.150273224 0.151098901 0.151933702 55⁄8 ...... 0.152853261 0.153688525 0.154532967 0.155386740 53⁄4 ...... 0.156250000 0.157103825 0.157967033 0.158839779 57⁄8 ...... 0.159646739 0.160519126 0.161401099 0.162292818 6 ...... 0.163043478 0.163934426 0.164835165 0.165745856 61⁄8 ...... 0.166440217 0.167349727 0.168269231 0.169198895 61⁄4 ...... 0.169836957 0.170765027 0.171703297 0.172651934 63⁄8 ...... 0.173233696 0.174180328 0.175137363 0.176104972 61⁄2 ...... 0.176630435 0.177595628 0.178571429 0.179558011 65⁄8 ...... 0.180027174 0.181010929 0.182005495 0.183011050 63⁄4 ...... 0.183423913 0.184426230 0.185439560 0.186464088 67⁄8 ...... 0.186820652 0.187841530 0.188873626 0.189917127 7 ...... 0.190217391 0.191256831 0.192307692 0.193370166 71⁄8 ...... 0.193614130 0.194672131 0.195741758 0.196823204 71⁄4 ...... 0.197010870 0.198087432 0.199175824 0.200276243 73⁄8 ...... 0.200407609 0.201502732 0.202609890 0.203729282 71⁄2 ...... 0.203804348 0.204918033 0.206043956 0.207182320 75⁄8 ...... 0.207201087 0.208333333 0.209478022 0.210635359 73⁄4 ...... 0.210597826 0.211748634 0.212912088 0.214088398 77⁄8 ...... 0.213994565 0.215163934 0.216346154 0.217541436 8 ...... 0.217391304 0.218579235 0.219780220 0.220994475 81⁄8 ...... 0.220788043 0.221994536 0.223214286 0.224447514

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TABLE 2.—DECIMAL FOR ONE DAY’S INTEREST ON $1,000 AT VARIOUS RATES OF INTEREST, PAYABLE SEMINANNUALLY OR ON A SEMIANNUAL BASIS, IN REGULAR YEARS OF 365 DAYS AND IN YEARS OF 366 DAYS (TO DETERMINE APPLI- CABLE NUMBER OF DAYS, SEE TABLE 1)—Continued

Half-year of Half-year of Half-year of Half-year of Rate per annum (percent) 184 days 183 days 182 days 181 days

81⁄4 ...... 0.224184783 0.225409836 0.226648352 0.227900552 83⁄8 ...... 0.227581522 0.228825137 0.230082418 0.231353591 81⁄2 ...... 0.230978261 0.232240437 0.233516484 0.234806630 85⁄8 ...... 0.234375000 0.235655738 0.236950549 0.238259669 83⁄4 ...... 0.237771739 0.239071038 0.240384615 0.241712707 87⁄8 ...... 0.241168478 0.242486339 0.243818681 0.245165746 9 ...... 0.244565217 0.245901639 0.247252747 0.248618785 91⁄8 ...... 0.247961957 0.249316940 0.250686813 0.252071823 91⁄4 ...... 0.251358696 0.252732240 0.254120879 0.255524862 93⁄8 ...... 0.254755435 0.256147541 0.257554945 0.258977901 91⁄2 ...... 0.258152174 0.259562842 0.260989011 0.262430939 95⁄8 ...... 0.261548913 0.262978142 0.264423077 0.265883978 93⁄4 ...... 0.264945652 0.266393443 0.267857143 0.269337017 97⁄8 ...... 0.268342391 0.269808743 0.271291209 0.272790055 10 ...... 0.271739130 0.273224044 0.274725275 0.276243094 101⁄8 ...... 0.275135870 0.276639344 0.278159341 0.279696133 101⁄4 ...... 0.278532609 0.280054645 0.281593407 0.283149171 103⁄8 ...... 0.281929348 0.283469945 0.285027473 0.286602210 101⁄2 ...... 0.285326087 0.286885246 0.288461538 0.290055249 105⁄8 ...... 0.288722826 0.290300546 0.291895604 0.293508287 103⁄4 ...... 0.292119565 0.293715847 0.295329670 0.296961326 107⁄8 ...... 0.295516304 0.297131148 0.298763736 0.300414365 11 ...... 0.298913043 0.300546448 0.302197802 0.303867403 111⁄8 ...... 0.302309783 0.303961749 0.305631868 0.307320442 111⁄4 ...... 0.305706522 0.307377049 0.309065934 0.310773481 113⁄8 ...... 0.309103261 0.310792350 0.312500000 0.314226519 111⁄2 ...... 0.312500000 0.314207650 0.315934066 0.317679558 115⁄8 ...... 0.315896739 0.317622951 0.319368132 0.321132597 113⁄4 ...... 0.319293478 0.321038251 0.322802198 0.324585635 117⁄8 ...... 0.322690217 0.324453552 0.326236264 0.328038674 12 ...... 0.326086957 0.327868852 0.329670330 0.331491713 121⁄8 ...... 0.329483696 0.331284153 0.333104396 0.334944751 121⁄4 ...... 0.332880435 0.334699454 0.336538462 0.338397790 123⁄8 ...... 0.336277174 0.338114754 0.339972527 0.341850829 121⁄2 ...... 0.339673913 0.341530055 0.343406593 0.345303867 125⁄8 ...... 0.343070652 0.344945355 0.346840659 0.348756906 123⁄4 ...... 0.346467391 0.348360656 0.350274725 0.352209945 127⁄8 ...... 0.349864130 0.351775956 0.353708791 0.355662983 13 ...... 0.353260870 0.355191257 0.357142857 0.359116022 131⁄8 ...... 0.356657609 0.358606557 0.360576923 0.362569061 131⁄4 ...... 0.360054348 0.362021858 0.364010989 0.366022099 133⁄8 ...... 0.363451087 0.365437158 0.367445055 0.369475138 131⁄2 ...... 0.366847826 0.368852459 0.370879121 0.372928177 135⁄8 ...... 0.370244565 0.372267760 0.374313187 0.376381215 133⁄4 ...... 0.373641304 0.375683060 0.377747253 0.379834254 137⁄8 ...... 0.377038043 0.379098361 0.381181319 0.383287293 14 ...... 0.380434783 0.382513661 0.384615385 0.386740331 141⁄8 ...... 0.383831522 0.385928962 0.388049451 0.390193370 141⁄4 ...... 0.387228261 0.389344262 0.391483516 0.393646409 143⁄8 ...... 0.390625000 0.392759563 0.394917582 0.397099448 141⁄2 ...... 0.394021739 0.396174863 0.398351648 0.400552486 145⁄8 ...... 0.397418478 0.399590164 0.401785714 0.404005525 143⁄4 ...... 0.400815217 0.403005464 0.405219780 0.407458564 147⁄8 ...... 0.404211957 0.406420765 0.408653846 0.410911602 15 ...... 0.407608696 0.409836066 0.412087912 0.414364641 151⁄8 ...... 0.411005435 0.413251366 0.415521978 0.417817680 151⁄4 ...... 0.414402174 0.416666667 0.418956044 0.421270718 153⁄8 ...... 0.417798913 0.420081967 0.422390110 0.424723757 151⁄2 ...... 0.421195652 0.423497268 0.425824176 0.428176796 155⁄8 ...... 0.424592391 0.426912568 0.429258242 0.431629834 153⁄4 ...... 0.427989130 0.430327869 0.432692308 0.435082873 157⁄8 ...... 0.431385870 0.433743169 0.436126374 0.438535912 16 ...... 0.434782609 0.437158470 0.439560440 0.441988950 161⁄8 ...... 0.438179348 0.440573770 0.442994505 0.445441989 161⁄4 ...... 0.441576087 0.443989071 0.446428571 0.448895028 163⁄8 ...... 0.444972826 0.447404372 0.449862637 0.452348066 161⁄2 ...... 0.448369565 0.450819672 0.453296703 0.455801105 165⁄8 ...... 0.451766304 0.454234973 0.456730769 0.459254144 163⁄4 ...... 0.455163043 0.457650273 0.460164835 0.462707182

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TABLE 2.—DECIMAL FOR ONE DAY’S INTEREST ON $1,000 AT VARIOUS RATES OF INTEREST, PAYABLE SEMINANNUALLY OR ON A SEMIANNUAL BASIS, IN REGULAR YEARS OF 365 DAYS AND IN YEARS OF 366 DAYS (TO DETERMINE APPLI- CABLE NUMBER OF DAYS, SEE TABLE 1)—Continued

Half-year of Half-year of Half-year of Half-year of Rate per annum (percent) 184 days 183 days 182 days 181 days

167⁄8 ...... 0.458559783 0.461065574 0.463598901 0.466160221 17 ...... 0.461956522 0.464480874 0.467032967 0.469613260 171⁄8 ...... 0.465353261 0.467896175 0.470467033 0.473066298 171⁄4 ...... 0.468750000 0.471311475 0.473901099 0.476519337 173⁄8 ...... 0.472146739 0.474726776 0.477335165 0.479972376 171⁄2 ...... 0.475543478 0.478142077 0.480769231 0.483425414 175⁄8 ...... 0.478940217 0.481557377 0.484203297 0.486878453 173⁄4 ...... 0.482336957 0.484972678 0.487637363 0.490331492 177⁄8 ...... 0.485733696 0.488387978 0.491071429 0.493784530 18 ...... 0.489130435 0.491803279 0.494505495 0.497237569 181⁄8 ...... 0.492527174 0.495218579 0.497939560 0.500690608 181⁄4 ...... 0.495923913 0.498633880 0.501373626 0.504143646 183⁄8 ...... 0.499320652 0.502049180 0.504807692 0.507596685 181⁄2 ...... 0.502717391 0.505464481 0.508241758 0.511049724 185⁄8 ...... 0.506114130 0.508879781 0.511675824 0.514502762 183⁄4 ...... 0.509510870 0.512295082 0.515109890 0.517955801 187⁄8 ...... 0.512907609 0.515710383 0.518543956 0.521408840 19 ...... 0.516304348 0.519125683 0.521978022 0.524861878 191⁄8 ...... 0.519701087 0.522540984 0.525412088 0.528314917 191⁄4 ...... 0.523097826 0.525956284 0.528846154 0.531767956 193⁄8 ...... 0.526494565 0.529371585 0.532280220 0.535220994 191⁄2 ...... 0.529891304 0.532786885 0.535714286 0.538674033 195⁄8 ...... 0.533288043 0.536202186 0.539148352 0.542127072 193⁄4 ...... 0.536684783 0.539617486 0.542582418 0.545580110 197⁄8 ...... 0.540081522 0.543032787 0.546016484 0.549033149 20 ...... 0.543478261 0.546448087 0.549450549 0.552486188

3. Short First Payment Period. In cases 4. Long First Payment Period. In cases 1990, to and including February 15), resulted where the first interest payment period for a where the first interest payment period for a in interest for the fractional portion of Treasury fixed-principal security covers less bond or note covers more than a full half-year $15.835597810. When added to $39.375 (the than a full half-year period (a ‘‘short period (a ‘‘long coupon’’), we multiply the normal interest payment portion ending on coupon’’), we multiply the daily interest daily interest decimal by the number of days August 15, 1991), this produced a first decimal by the number of days from, but not from, but not including, the issue date to, and interest payment of $55.210597810, or $55.21 including, the issue date to, and including, including, the last day of the fractional per $1,000 par amount. For $7,000 par the first interest payment date. This period that ends one full half-year before the amount of these notes, $55.210597810 would calculation results in the amount of the interest payment date. We add that amount be multiplied by 7, resulting in an interest interest payable per $1,000 par amount. In to the regular interest amount for the full payment of $386.474184670 ($386.47). cases where the par amount of securities is half-year ending on the first interest payment B. Treasury Inflation-Protected Securities a multiple of $1,000, we multiply the date, resulting in the amount of interest appropriate multiple by the unrounded payable for $1,000 par amount. In cases 1. Indexing Process. We pay interest on interest payment amount per $1,000 par where the par amount of securities is a marketable Treasury inflation-protected amount. multiple of $1,000, the appropriate multiple securities on a semiannual basis. We issue inflation-protected securities with a stated Example should be applied to the unrounded interest payment amount per $1,000 par amount. rate of interest that remains constant until A 2-year note paying 83⁄8% interest was maturity. Interest payments are based on the issued on July 2, 1990, with the first interest Example security’s inflation-adjusted principal at the payment on December 31, 1990. The number A 5-year 2-month note paying 77⁄8% time we pay interest. We make this of days in the full half-year period of June 30 interest was issued on December 3, 1990, adjustment by multiplying the par amount of to December 31, 1990, was 184 (See Table 1). with the first interest payment due on August the security by the applicable Index Ratio. The number of days for which interest 15, 1991. Interest for the regular half-year 2. Index Ratio. The numerator of the Index actually accrued was 182 (not including July portion of the payment was computed to be Ratio, the Ref CPIDate, is the index number 2, but including December 31). The daily $39.375 per $1,000 par amount. The applicable for a specific day. The interest decimal, $0.227581522 (See Table 2, fractional portion of the payment, from denominator of the Index Ratio is the Ref CPI line for 83⁄8%, under the column for half-year December 3 to February 15, fell in a 184-day applicable for the original issue date. of 184 days), was multiplied by 182, resulting half-year (August 15, 1990, to February 15, However, when the dated date is different in a payment of $41.419837004 per $1,000. 1991). Accordingly, the daily interest from the original issue date, the denominator For $20,000 of these notes, $41.419837004 decimal for 77⁄8% was $0.213994565. This is the Ref CPI applicable for the dated date. would be multiplied by 20, resulting in a decimal, multiplied by 74 (the number of The formula for calculating the Index Ratio payment of $828.39674008 ($828.40). days from but not including December 3, is:

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Where Date = valuation date interpolation between the Ref CPI applicable decimal places, and round to five decimal 3. Reference CPI. The Ref CPI for the first to the first day of the month in which the day places. Therefore the Ref CPI and the Index day of any calendar month is the CPI for the falls (in the example, January) and the Ref Ratio for a particular date will be expressed third preceding calendar month. For CPI applicable to the first day of the next to five decimal places. example, the Ref CPI applicable to April 1 in month (in the example, February). For (i) The formula for the Ref CPI for a any year is the CPI for January, which is interpolation purposes, we truncate reported in February. We determine the Ref calculations with regard to the Ref CPI and specific date is: CPI for any other day of a month by a linear the Index Ratio for a specific date to six

Where Date = valuation date CPIM = CPI reported for the calendar month Ref CPIM∂1 = Ref CPI for the first day of the D = the number of days in the month in M by the Bureau of Labor Statistics calendar month immediately following which Date falls Ref CPIM = Ref CPI for the first day of the Date t = the calendar day corresponding to Date calendar month in which Date falls, e.g., (ii) For example, the Ref CPI for April 15, Ref CPIApril 1 is the CPIJanuary 1996 is calculated as follows:

Where D = 30, t = 15 Ref CPIMay 1, 1996 = 154.90, the non-seasonally Ref CPIApril 1, 1996 = 154.40, the non- adjusted CPI–U for February 1996. seasonally adjusted CPI–U for January (iii) Putting these values in the equation in 1996. paragraph (ii) above:

This value truncated to six decimals is (iv) To calculate the Index Ratio for April the same values in the equation above except 154.633333; rounded to five decimals it is 16, 1996, for an inflation-protected security that t=16, the Ref CPIApril 16, 1996 is 154.65000. 154.63333. issued on April 15, 1996, the Ref The Index Ratio for April 16, 1996 is: CPIApril 16, 1996 must first be calculated. Using

This value truncated to six decimals is inflation-protected security is outstanding, substitute index and how we will apply it. 1.000107; rounded to five decimals it is the applicable CPI is: Determinations of the Secretary in this regard 1.00011. • Discontinued, will be final. • 4. Index Contingencies. In the judgment of the Secretary, (iv) If the CPI for a particular month is not (i) If a previously reported CPI is revised, fundamentally altered in a manner materially reported by the last day of the following we will continue to use the previously adverse to the interests of an investor in the month, we will announce an index number reported (unrevised) CPI in calculating the security, or based on the last available twelve-month principal value and interest payments. • In the judgment of the Secretary, altered If the CPI is rebased to a different year, we by legislation or Executive Order in a manner change in the CPI. We will base our will continue to use the CPI based on the materially adverse to the interests of an calculations of our payment obligations that base reference period in effect when the investor in the security. rely on that month’s CPI on the index security was first issued, as long as that CPI (iii) If we decide to substitute an number we announce. continues to be published. alternative index we will consult with the (a) For example, if the CPI for month M is (ii) We will replace the CPI with an Bureau of Labor Statistics or any successor not reported timely, the formula for appropriate alternative index if, while an agency. We will then notify the public of the calculating the index number to be used is:

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(b) Generalizing for the last reported CPI issued N months prior to month M:

(c) If it is necessary to use these formulas 2. For a Treasury fixed-principal security, 44 days, from July 2 to August 15, 1985, to calculate an index number, we will use if accrued interest covers a fractional portion during a 181-day half-year (February 15 to that number for all subsequent calculations of a full half-year period, the number of days August 15); and for 81 days, from August 15 that rely on the month’s index number. We in the full half-year period and the stated to November 4, during a 184-day half-year will not replace it with the actual CPI when interest rate will determine the daily interest (August 15, 1985, to February 15, 1986). it is reported, except for use in the above decimal to use in computing the accrued Accordingly, $0.296961326 was multiplied formulas. If it becomes necessary to use the interest. We multiply the decimal by the by 44, and $0.292119565 was multiplied by above formulas to derive an index number, number of days for which interest has 81, resulting in products of $13.066298344 we will use the last CPI that has been accrued. and $23.661684765 which, added together, reported to calculate CPI numbers for months 3. If a reopened bond or note has a long resulted in accrued interest payable of for which the CPI has not been reported first interest payment period (a ‘‘long $36.727983109, or $36.72798, for each $1,000 timely. coupon’’), and the dated date for the bond purchased. If the bonds have a par 5. Computation of Interest for a Regular reopened issue is less than six full months amount of $11,000, then 11 is multiplied by Half-Year Payment Period. Interest on before the first interest payment, the accrued $36.72798, resulting in an amount payable of marketable Treasury inflation-protected interest will fall into two separate half-year $404.00778 ($404.01). periods. A separate daily interest decimal securities is payable on a semiannual basis. II. Formulas for Conversion of Fixed- must be multiplied by the respective number The regular interest payment period is a full Principal Security Yields to Equivalent of days in each half-year period during which half-year or six calendar months. Examples of Prices half-year periods are January 15 to July 15, interest has accrued. and April 15 to October 15. An interest 4. We round all accrued interest Definitions computations to five decimal places for a payment will be a fixed percentage of the P = price per 100 (dollars), rounded to three $1,000 par amount, using normal rounding value of the inflation-adjusted principal, in places, using normal rounding procedures procedures. We calculate accrued interest for current dollars, for the date on which it is C = the regular annual interest per $100, a par amount of securities greater than $1,000 paid. We will calculate interest payments by payable semiannually, e.g., 6.125 (the by applying the appropriate multiple to 1 multiplying one-half of the specified annual decimal equivalent of a 6 ⁄8% interest rate) accrued interest payable for $1,000 par interest rate for the inflation-protected i = nominal annual rate of return or yield to amount, rounded to five decimal places. securities by the inflation-adjusted principal maturity, based on semiannual interest 5. For an inflation-protected security, we for the interest payment date. Specifically, payments and expressed in decimals, e.g., calculate accrued interest as shown in we compute a semiannual interest payment .0719 section III, paragraphs A and B of this on the basis of one-half of one year’s interest n = number of full semiannual periods from appendix. regardless of the actual number of days in the the issue date to maturity, except that, if Examples. (1) Treasury Fixed-Principal half-year. the issue date is a coupon frequency date, Securities—(i) Involving One Half-Year: A n will be one less than the number of full Example 3 note paying interest at a rate of 6 ⁄4%, semiannual periods remaining to maturity. A 10-year inflation-protected note paying originally issued on May 15, 2000, as a 5-year Coupon frequency dates are the two 37⁄8% interest was issued on January 15, note with a first interest payment date of semiannual dates based on the maturity 1999, with the first interest payment on July November 15, 2000, was reopened as a 4-year date of each note or bond issue. For 15, 1999. The Ref CPI on January 15, 1999 9-month note on August 15, 2000. Interest example, a security maturing on November (Ref CPIIssueDate) was 164, and the Ref CPI on had accrued for 92 days, from May 15 to 15, 2015, would have coupon frequency July 15, 1999 (Ref CPIDate) was 166.2. For a August 15. The regular interest period from dates of May 15 and November 15. par amount of $100,000, the inflation- May 15 to November 15, 2000, covered 184 r = (1) number of days from the issue date adjusted principal on July 15, 1999, was days. Accordingly, the daily interest decimal, to the first interest payment (regular or (166.2/164) × $100,000, or $101,341. This $0.183423913, multiplied by 92, resulted in short first payment period), or (2) number amount was multiplied by .03875/2, or accrued interest payable of $16.874999996, of days in fractional portion (or ‘‘initial .019375, resulting in a payment of $1,963.48. or $16.87500, for each $1,000 note short period’’) of long first payment period purchased. If the notes have a par amount of s = (1) number of days in the full semiannual C. Accrued Interest $150,000, then 150 is multiplied by period ending on the first interest payment 1. You will have to pay accrued interest on $16.87500, resulting in an amount payable of date (regular or short first payment period), a Treasury bond or note when interest $2,531.25. or (2) number of days in the full accrues prior to the issue date of the security. (2) Involving Two Half-Years: semiannual period in which the fractional Because you receive a full interest payment A 103⁄4% bond, originally issued on July 2, portion of a long first payment period falls, despite having held the security for only a 1985, as a 20-year 1-month bond, with a first ending at the onset of the regular portion portion of the interest payment period, you interest payment date of February 15, 1986, of the first interest payment must compensate us through the payment of was reopened as a 19-year 10-month bond on vn = 1/[1 + (i/2)]n = present value of 1 due accrued interest at settlement. November 4, 1985. Interest had accrued for at the end of n periods

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n 2 3 n an = (1—v )/(i/2) = v + v + v + . . . + v A = accrued interest A. For fixed-principal securities with a = present value of 1 per period for n regular first interest payment period: periods Formula:

Example: Definitions: n = 59 (There are 60 full semiannual periods, For an 83⁄4% 30-year bond issued May 15, C = 8.75 but n is reduced by 1 because the issue 1990, due May 15, 2020, with interest i = .0884 date is a coupon frequency date.) n 59 payments on November 15 and May 15, r = 184 (May 15 to November 15, 1990) v = 1/[(1 + .0884/2)] , or .077940 a  = (1—.077940)/.0442, or 20.861086 solve for the price per 100 (P) at a yield s = 184 (May 15 to November 15, 1990) n of 8.84%. Resolution:

B. For fixed-principal securities with a Formula: short first interest payment period:

Example: solve for the price per 100 (P) at a yield n = 3 of 8.59%. r = 181 (April 2 to September 30, 1990) For an 81⁄2% 2-year note issued April 2, 1990, s = 183 (March 31 to September 30, 1990) due March 31, 1992, with interest Definitions: vn = 1/[(1 + .0859/2)]3, or .881474 payments on September 30 and March 31, C = 8.50 an = (1—.881474)/.04295, or 2.759627 i = .0859

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Resolution:

C. For fixed-principal securities with a long Formula: first interest payment period:

Example: Definitions: s = 181 (November 15, 1989, to May 15, 1990)

For an 81⁄2% 5-year 2-month note issued C = 8.50 v = 1/(1+.0853/2), or .959095 March 1, 1990, due May 15, 1995, with i = .0853 vn = 1/(1+.0853/2)10, or .658589 interest payments on November 15 and n = 10 an = (1¥.658589)/.04265, or 8.004947 May 15 (first payment on November 15, r = 75 (March 1 to May 15, 1990, which is Resolution: 1990), solve for the price per 100 (P) at a the fractional portion of the first interest yield of 8.53%. payment)

D. (1) For fixed-principal securities (2) For new fixed-principal securities auction being used to determine the accrued reopened during a regular interest period accruing interest from the coupon frequency interest payable on the issue date. where the purchase price includes date immediately preceding the issue date, Formula: predetermined accrued interest. with the interest rate established in the

Where: A = [(s¥r)/s](C/2) 100 (P) at a yield of 9.54%. Accrued n = 19 Example: interest is from November 15 to November r = 167 (November 29, 1985, to May 15, 1986) For a 91⁄2% 10-year note with interest 29 (14 days). s = 181 (November 15, 1985, to May 15, 1986) accruing from November 15, 1985, issued Definitions: vn = 1/[(1 + .0954/2)]19, or .412570400  ¥ November 29, 1985, due November 15, C = 9.50 an = (1 .412570)/.0477, or 12.315094 1995, and interest payments on May 15 i = .0954 A = [(181¥167)/181](9.50/2), or .367403 and November 15, solve for the price per

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Resolution:

E. For fixed-principal securities reopened Formula: during the regular portion of a long first payment period:

Where: regular portion of the first interest payment n = 39 A = AI′ + AI period r = 103 (November 4, 1985, to February 15, AI′ = (r′/s″)(C/2) Example: 1986) 3 AI = [(s¥r)/s](C/2) and A 10 ⁄4% 19-year 9-month bond due August s = 184 (August 15, 1985, to February 15, r = number of days from the reopening date 15, 2005, is issued on July 2, 1985, and 1986) reopened on November 4, 1985, with to the first interest payment date r′ = 44 (July 2 to August 15, 1985) s = number of days in the semiannual period interest payments on February 15 and ″ August 15 (first payment on February 15, s = 181 (February 15 to August 15, 1985) for the regular portion of the first interest vn = 1/[(1 + .1047/2)]39, or .136695 payment period 1986), solve for the price per 100 (P) at a an = (1¥.136695)/.05235, or 16.491022 r′ = number of days in the fractional portion yield of 10.47%. Accrued interest is calculated from July 2 to November 4. AI′ = (44/181)(10.75 / 2), or 1.306630 (or ‘‘initial short period’’) of the first ¥ interest payment period Definitions: AI = [(184 103)/184](10.75/2), or 2.366168 ′ s″ = number of days in the semiannual period C = 10.75 A = AI + AI, or 3.672798 ending with the commencement date of the i = .1047 Resolution:

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F. For fixed-principal securities reopened during a short first payment period: Formula:

Where: payments on November 15 and May 15 r = 92 (August 15, 1983, to November 15, A = [(r′¥r)/s](C/2) and (first payment on November 15, 1983), 1983) r′ = number of days from the original issue solve for the price per 100 (P) at a yield s = 184 (May 15, 1983, to November 15, 1983) of 10.53%. Accrued interest is calculated ′ date to the first interest payment date r = 183 (May 16, 1983, to November 15, from May 16 to August 15. 1983) Example: Definitions: vn = 1/[(1 + .1053/2)]15, or .463170 1 For a 10 ⁄2% 8-year note due May 15, 1991, C = 10.50 an = (1—.463170)/.05265, or 10.196201 originally issued on May 16, 1983, and i = .1053 A = [(183¥92) / 184](10.50 / 2), or 2.596467 reopened on August 15, 1983, with interest n = 15 Resolution:

G. For fixed-principal securities reopened Formula: during the fractional portion (initial short period) of a long first payment period:

Where: November 15, 1988, with interest payments r = 30 (November 15, 1988, to December 15, A = [(r′¥r)/s](C/2) and on June 15 and December 15 (first payment 1988) r = number of days from the reopening date on June 15, 1989), solve for the price per s = 183 (June 15, 1988, to December 15, 1988) to the end of the short period 100 (P) at a yield of 9.79%. Accrued r′ = 61 (October 15, 1988, to December 15, ′ r = number of days in the short period interest is calculated from October 15 to 1988) s = number of days in the semiannual period November 15. v = 1 / (1 + .0979/2), or .953334 ending with the end of the short period Definitions: vn = [1 / (1 + .0979/2)]12, or .563563 Example: C = 9.75 an = (1¥.563563)/.04895, or 8.915975 For a 93⁄4% 6-year 2-month note due i = .0979 December 15, 1994, originally issued on n = 12 A = [(61—30)/183](9.75/2), or .825820 October 15, 1988, and reopened on

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Resolution:

III. Formulas for Conversion of Inflation- C = real annual coupon, payable Date = valuation date Protected Security Yields to Equivalent semiannually, in terms of real dollars paid D = the number of days in the month in Prices on $100 initial, or real, principal of the which Date falls Definitions: security t = calendar day corresponding to Date n = number of full semiannual periods from P = unadjusted or real price per 100 (dollars) CPI = Consumer Price Index number issue date to maturity date, except that, if P = inflation adjusted price; P × Index adj the issue date is a coupon frequency date, CPIM = CPI reported for the calendar month RatioDate n will be one less than the number of full M by the Bureau of Labor Statistics A = unadjusted accrued interest per $100 semiannual periods remaining until Ref CPIM = reference CPI for the first day of original principal maturity. Coupon frequency dates are the the calendar month in which Date falls, Aadj = inflation adjusted accrued interest; two semiannual dates based on the e.g., Ref CPIApril1 is the CPIJanuary A × Index RatioDate maturity date of each note or bond issue. Ref CPIM∂1 = reference CPI for the first day SA = settlement amount including accrued For example, a security maturing on July of the calendar month immediately interest in current dollars per $100 original 15, 2026 would have coupon frequency following Date principal; P + A adj adj dates of January 15 and July 15. Ref CPI = Ref CPI + [(t¥1)/D][Ref r = days from settlement date to next coupon vn = 1/(1 + i/2)n = present value of 1 due at Date M CPI ∂ ¥Ref CPI ] date the end of n periods M 1 M n 2 3 Index RatioDate = Ref CPIDate/Ref CPIIssueDate s = days in current semiannual period an = (1¥v )/(i/2) = v + v + v + * * * + i = real yield, expressed in decimals (e.g., vn= present value of 1 per period for n A. For inflation-protected securities with a 0.0325) periods regular first interest payment period:

Padj = P × Index RatioDate at a discount to yield of 3.898% (real). The i = 0.03898 A = [(s¥r)/s] × (C/2) note bears a 37⁄8% real coupon, payable on n = 19 (There are 20 full semiannual periods Aadj = A × Index RatioDate July 15 and January 15 of each year. The but n is reduced by 1 because the issue SA = Padj + Aadj base CPI index applicable to this note is date is a coupon frequency date.) Index RatioDate = Ref CPIDate/Ref CPIIssueDate 164. (We normally derive this number r = 181 (January 15, 1999 to July 15, 1999) Example: using the interpolative process described s = 181 (January 15, 1999 to July 15, 1999) in Appendix B, section I, paragraph B.) We issued a 10-year inflation-protected note Ref CPIDate = 164 on January 15, 1999. The note was issued Definitions: Ref CPIIssueDate = 164 C = 3.875

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Resolution:

Formula:

P = 99.811030 B. (1) For inflation-protected securities Bidding: The dollar amount of each bid is P = 99.811 reopened during a regular interest period in terms of the par amount. For example, if Padj = P × Index RatioDate where the purchase price includes the Ref CPI applicable to the issue date of the predetermined accrued interest. Padj = 99.811 × 1 = 99.811 note is 120, and the reference CPI applicable (2) For new inflation-protected securities SA = Padj + Aadj to the reopening issue date is 132, a bid of accruing interest from the coupon frequency SA = 99.811 + 0 = 99.811 × date immediately preceding the issue date, $10,000 will in effect be a bid of $10,000 Note: For the real price (P), we have with the interest rate established in the (132/120), or $11,000. rounded to three places. These amounts are auction being used to determine the accrued Formulas: based on 100 par value. interest payable on the issue date.

Padj = P × Index RatioDate a reopening on October 15, 1998, with reference CPI applicable to October 15, A = [(s¥r)/s] × (C/2) inflation compensation accruing from 1998, is 163.29032. × Aadj = A Index RatioDate January 15, 1998 to October 15, 1998, and Definitions: SA = Padj + Aadj accrued interest accruing from July 15, C = 3.625 Index RatioDate = Ref CPIDate/Ref CPIIssueDate 1998 to October 15, 1998 (92 days), solve i = 0.0365 Example: for the price per 100 (P) at a real yield, as n = 18 We issued a 35⁄8% 10-year inflation-protected determined in the reopening auction, of r = 92 (October 15, 1998 to January 15, 1999) note on January 15, 1998, with interest 3.65%. The base index applicable to the s = 184 (July 15, 1998 to January 15, 1999) payments on July 15 and January 15. For issue date of this note is 161.55484 and the Ref CPIDate = 163.29032

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Ref CPIIssueDate = 161.55484 Resolution:

Formula:

P = 100.703267¥0.906250 IV. Computation of Adjusted Values and c = C/100 = the regular annual interest rate, P = 99.797017 Payment Amounts for Stripped Inflation- payable semiannually, e.g., .03625 (the P = 99.797 Protected Interest Components decimal equivalent of a 33⁄8% interest rate) × Par = par amount of the security to be Padj = P Index RatioDate Note: Valuing an interest component × stripped Padj = 99.797 1.01074 = 100.8688 stripped from an inflation-protected security Padj = 100.869 Ref CPIIssueDate = reference CPI for the original ¥ × at its adjusted value enables this interest A = [(184 92)/184] 3.625/2 = 0.906250 component to be interchangeable (fungible) issue date (or dated date, when the dated × Aadj = A Index RatioDate with other interest components that have the date is different from the original issue Aadj = 0.906250 x 1.01074 = 0.915983 same maturity date, regardless of the date) of the underlying (unstripped) SA = Padj + Aadj = 100.869 + 0.915983 underlying inflation-protected security from security SA = 101.784983 which the interest components were Ref CPIDate = reference CPI for the maturity Note: For the real price (P), and the stripped. The adjusted value provides for date of the interest component AV = adjusted value of the interest inflation-adjusted price (Padj), we have fungibility of these various interest rounded to three places. For accrued interest components when buying, selling, or component PA = payment amount at maturity by (A) and the adjusted accrued interest (Aadj), transferring them or when reconstituting an we have rounded to six places. These inflation-protected security. Treasury amounts are based on 100 par value. Definitions: Formulas:

Example: and the Ref CPI on January 15, 2000 (Ref Par = $1,000,000 A 10-year inflation-protected note paying CPIDate) was 168.24516. Calculate the Ref CPIIssueDate = 164.00000 7 3 ⁄8% interest was issued on January 15, adjusted value and the payment amount at Ref CPIDate = 168.24516 1999, with the second interest payment on maturity of the interest component. Resolution: January 15, 2000. The Ref CPI of January Definitions: For a par amount of $1 million, the adjusted 15, 1999 (Ref CPIIssueDate) was 164.00000, c = .03875 value of each stripped interest component

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was $1,000,000(.03875/2)(100/164.00000), 100 to obtain the multiple (100). That have sold bills only on a discount rate basis. or $11,814.02 (no intermediate rounding). multiple times 98.098 results in a purchase For regular Treasury bills—13-, 26-, and 52- For an interest component that matured on price of $9,809.80. week bills—discount rates bid were January 15, 2000, the payment amount was 2. To determine the discount amount for submitted with two decimals in increments $11,814.02 (168.24516/100), or $19,876.52 any bill, subtract the purchase price from the of .01 percent, e.g., 5.32, until 1997, when we (no intermediate rounding). par amount of the bill. instituted a change to three-decimal bidding V. Computation of Purchase Price, Discount Example: in increments of .005 percent, e.g., 5.320 or Rate, and Investment Rate (Coupon- For a $10,000 bill with a purchase price of 5.325. Equivalent Yield) for Treasury Bills $9,809.80, the discount amount would be D. Calculation of investment rate (coupon- A. Conversion of the discount rate to a $190.20, or $10,000—$9,809.80. equivalent yield) for Treasury bills: purchase price for Treasury bills of all C. Conversion of prices to discount rates 1. For bills of not more than one half-year maturities: for Treasury bills of all maturities: to maturity: Formula: Formula: Formula:

Where: d = discount rate, in decimals r = number of days remaining to maturity P = price per 100 (dollars) Example: Where: Where: For a bill issued November 24, 1989, due P = price per 100 (dollars) i = investment rate, in decimals February 22, 1990, at a discount rate of d = discount rate P = price per 100 (dollars) 7.61%, solve for price per 100 (P). r = number of days remaining to maturity r = number of days remaining to maturity Definitions: Example: y = number of days in year following the issue date; normally 365 but, if the year d = .0761 For a 26-week bill issued December 30, 1982, r = 90 (November 24, 1989 to February 22, due June 30, 1983, with a price of $95.930, following the issue date includes February 1990) solve for the discount rate (d). 29, then y is 366. Resolution: Definitions: Example: P = 95.930 For a cash management bill issued June 1, r = 182 (December 30, 1982, to June 30, 1983) 1990, due June 21, 1990, with a price of $99.559 (computed from a discount rate of Resolution: 7.93%), solve for the investment rate (i). Definitions: P = 99.559 r = 20 (June 1, 1990, to June 21, 1990) y = 365 Resolution:

Note: Purchase prices per $100 are rounded to three decimal places, using normal rounding procedures. B. Computation of purchase prices and discount amounts based on price per $100, for Treasury bills of all maturities: 1. To determine the purchase price of any bill, divide the par amount by 100 and multiply the resulting quotient by the price per $100. Note: Prior to April 18, 1983, we sold all Example: bills in price-basis auctions, in which To compute the purchase price of a $10,000 discount rates calculated from prices were 13-week bill sold at a price of $98.098 per rounded to three places, using normal 2. For bills of more than one half-year to $100, divide the par amount ($10,000) by rounding procedures. Since that time, we maturity:

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Formula:

This formula must be solved by using the Therefore, rewriting the bill formula in the quadratic equation, which is: quadratic equation form gives:

and solving for ‘‘i’’ produces: a = (r/2y)¥.25 (computed from a discount rate of 7.65%), c = (P¥100)/P solve for the investment rate (i). P = price per 100 (dollars) Definitions: r = number of days remaining to maturity r = 364 (June 7, 1990, to June 6, 1991) y = number of days in year following the y = 365 issue date; normally 365, but if the year following the issue date includes February P = 92.265 29, then y is 366. b = 364 / 365, or .997260 Where: Example: a = (364 / 730)¥.25, or .24863 i = investment rate in decimals For a 52-week bill issued June 7, 1990, due c = (92.265¥100) / 92.265, or ¥.083835 b = r/y June 6, 1991, with a price of $92.265 Resolution:

Appendix C to Part 356—Investment principal security. Such factors include the • in the event of sustained deflation, the Considerations possibility that: amount of the semiannual interest payments, • the inflation index may be subject to the inflation-adjusted principal of the I. Inflation-Protected Securities significant changes, security, and the value of stripped components will decrease. However, if at A. Principal and Interest Variability • changes in the index may or may not correlate to changes in interest rates generally maturity the inflation-adjusted principal is An investment in securities with principal less than a security’s par amount, we will pay or with changes in other indices, or interest determined by reference to an an additional amount so that the additional • the resulting interest may be greater or inflation index involves factors not amount plus the inflation-adjusted principal less than that payable on other securities of associated with an investment in a fixed- equals the par amount. Regardless of whether similar maturities, and or not we pay such an additional amount, we

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will always base interest payments on the services, movements in the CPI that have Labor. The CPI is a measure of the average inflation-adjusted principal as of the interest occurred in the past do not necessarily change in consumer prices over time in a payment date. If a security has been stripped, indicate changes that may occur in the fixed market basket of goods and services. we will pay any such additional amount at future. This market basket includes food, clothing, maturity to holders of principal components The calculation of the index ratio shelter, fuels, transportation, charges for only. (See § 356.30) incorporates an approximate three-month lag, doctors’ and dentists’ services, and drugs. which may have an impact on the trading B. Trading in the Secondary Market price of the securities, particularly during In calculating the index, price changes for The Treasury securities market is the periods of significant, rapid changes in the the various items are averaged together with largest and most liquid securities market in index. weights that represent their importance in the world. The market for Treasury inflation- The CPI is reported by the Bureau of Labor the spending of urban households in the protected securities, however, may not be as Statistics, a bureau within the Department of United States. The BLS periodically updates active or liquid as the market for Treasury Labor. The Bureau of Labor Statistics the contents of the market basket of goods fixed-principal securities. In addition, operates independently of Treasury and, and services, and the weights assigned to the Treasury inflation-protected securities may therefore, we have no control over the not be as widely traded or as well understood various items, to take into account changes determination, calculation, or publication of in consumer expenditure patterns. as Treasury fixed-principal securities. Lesser the index. For a discussion of how we will The CPI is expressed in relative terms in liquidity and fewer market participants may apply the CPI in various situations, see result in larger spreads between bid and Appendix B, Section I, Paragraph B. In relation to a time base reference period for asked prices for inflation-protected securities addition, for a discussion of actions that we which the level is set at 100. For example, than the bid-asked spreads for fixed-principal would take in the event the CPI is: if the CPI for the 1982–84 reference period securities with the same time to maturity. discontinued; in the judgment of the is 100.0, an increase of 16.5 percent from that Larger bid-asked spreads normally result in Secretary, fundamentally altered in a manner period would be shown as 116.5. The CPI for higher transaction costs and/or lower overall materially adverse to the interests of an a particular month is released and published returns. The liquidity of an inflation- investor in the security; or, in the judgment during the following month. From time to protected security may be enhanced over of the Secretary, altered by legislation or time as we issue additional amounts or more time, the CPI is rebased to a more recent base Executive Order in a manner materially reference period. We provide the base entities participate in the market. adverse to the interests of an investor in the reference period for a particular inflation- C. Tax Considerations security, see Appendix B, Section I, Paragraph B.4. protected security on the auction Treasury inflation-protected securities and announcement for that security. the stripped interest and principal Appendix D to Part 356—Description of Further details about the CPI may be components of these securities are subject to the Consumer Price Index obtained by contacting the BLS. specific tax rules provided by Treasury regulations issued under sections 1275(d) The Consumer Price Index (‘‘CPI’’) for Dated: December 9, 2003. and 1286 of the Internal Revenue Code of purposes of inflation-protected securities is Donald V. Hammond, 1986, as amended. the non-seasonally adjusted U.S. City Average All Items Consumer Price Index for Fiscal Assistant Secretary. D. Indexing Issues All Urban Consumers. It is published [FR Doc. 03–31173 Filed 12–22–03; 8:45 am] While the Consumer Price Index (‘‘CPI’’) monthly by the Bureau of Labor Statistics BILLING CODE 4810–39–P measures changes in prices for goods and (BLS), a bureau within the Department of

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Part III

Federal Communications Commission 47 CFR Parts 2, 25, and 87 World Radiocommunication Conferences Concerning Frequency Bands Above 28 MHz; Final Rule

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FEDERAL COMMUNICATIONS purchased from the Commission’s 4. We further implement domestically COMMISSION duplication contractor, Qualex various allocation decisions from International, Portals II, 445 12th St., several WRCs concerning the space 47 CFR Parts 2, 25, and 87 SW., Room CY–B402, Washington, DC science services and the ISS. In this [ET Docket No. 02–305; FCC 03–269] 20554; telephone (202) 863–2893; fax regard, we take the following actions: (202) 863–2898; e-mail • Revise secondary allocations for the World Radiocommunication [email protected]. Federal government EESS and the Federal government space research Conferences Concerning Frequency Summary of the Report and Order Bands Above 28 MHz service (‘‘SRS’’) from secondary to 1. In the R&O, we provided for primary status in 950 megahertz of AGENCY: Federal Communications generic MSS allocations across all of the spectrum in eight frequency bands and Commission. frequencies in the bands 1525–1559 specify that these allocations are to be ACTION: Final rule. MHz and 1626.5–1660.5 MHz. used for active sensor operations (‘‘EESS Specifically, we expanded the primary (active)’’ and ‘‘SRS (active)’’): 5250– SUMMARY: This document amends our allocation in the bands 1545–1549.5 5255 MHz, 5255–5350 MHz, 8550–8650 rules to implement domestically various MHz, 1558.5–1559 MHz, 1646.5–1651 MHz, 9500–9800 MHz, 13.4–13.75 GHz, allocation decisions from several World MHz, and 1660–1660.5 MHz from the and 17.2–17.3 GHz. Radiocommunication Conferences • aeronautical mobile-satellite (route) Modify the non-Federal (‘‘WRCs’’) concerning the frequency service (‘‘AMS(R)S’’) to all services government/Federal government shared bands between 28 MHz and 36 GHz, and within the MSS while preserving the allocations at 13.25–13.4 GHz and 35.6– to otherwise update our rules in this status of AMS(R)S. The effect of this 36 GHz to provide flexibility for the frequency range. The following actions action is that the bands 1545–1559 MHz Federal government to use 550 are the most significant to non-Federal and 1646.5–1660.5 MHz will be made megahertz of additional spectrum for government operations: Implementation available to all types of MSS EESS (active) and SRS (active) on a of generic mobile-satellite service communications on a primary basis, primary basis, and change the primary (‘‘MSS’’) allocations in the bands 1525– rather than segmented for specialized footnote allocation for active spaceborne 1559 MHz and 1626.5–1660.5 MHz (‘‘L- use. This action permits more efficient sensors in the band 35.5–35.6 GHz to a band’’); allocation of the band 1164– use of this radio spectrum and facilitates direct Table listing. 1215 MHz to the radionavigation- • the expansion of MSS use globally. In Modify the non-Federal satellite service (‘‘RNSS’’); deletion of addition, we deleted the existing government/Federal government shared unused and limited fixed-satellite primary maritime mobile-satellite allocation at 5350–5460 MHz to provide service (‘‘FSS’’) and broadcasting- service (‘‘MMSS’’) and MSS allocations flexibility for the Federal government to satellite service (‘‘BSS’’) allocations in the bands 1530–1544 MHz and use 110 megahertz of additional from the band 2500–2690 MHz; and 1626.5–1645.5 MHz, as they would now spectrum for the EESS (active) on a upgrade of the Earth exploration- be superfluous. We also deleted the primary basis. satellite service (‘‘EESS’’) allocation in • secondary allocation for aeronautical Modify the non-Federal the band 25.5–27 GHz from secondary telemetry from the band 1525–1535 government/Federal government shared to primary. In addition, at the request of MHz to remove potentially conflicting allocation at 401–403 MHz to provide the National Telecommunications and allocations. flexibility for the Federal government to Information Administration (‘‘NTIA’’), use EESS uplinks and meteorological- 2. We allocate the band 1164–1215 we implement various allocation satellite service (‘‘METSAT’’) uplinks on MHz to the RNSS for space-to-Earth changes for the space science services a primary basis. and the inter-satellite service (‘‘ISS’’), (‘‘downlink’’) and space-to-space • Modify the non-Federal most of which involve spectrum transmissions in order to accommodate government/Federal government shared primarily used by the Federal a new civil global positioning system allocation at 410–420 MHz to provide government. These actions conform our (‘‘GPS’’) signal. This action permits the flexibility for the Federal government to rules to previous WRC decisions and are addition of GPS signal ‘‘L5,’’ which use the SRS on a primary basis for expected to provide significant benefits supports the safety-of-life requirements space-to-space transmissions. to the American public. demanded by civil aviation. We also • Modify the non-Federal allocated the bands 1215–1240 MHz and DATES: government/Federal government shared Effective January 22, 2004. 1559–1610 MHz, which are currently FOR FURTHER INFORMATION CONTACT: allocation at 7750–7850 MHz to provide limited to RNSS downlinks, for RNSS flexibility for the Federal government to Rodney Small, Office of Engineering space-to-space transmissions as well. and Technology, (202) 418–2452, TTY use METSAT downlinks on a primary This action allows use of spaceborne basis, limited to non-geostationary (202) 418–2989, e-mail RNSS receivers for scientific and [email protected]. satellite systems. commercial applications. • Modify the non-Federal SUPPLEMENTARY INFORMATION: This is a 3. We deleted the flight test and government/Federal government shared summary of the Commission’s Report radiolocation allocations in the band allocation at 8400–8450 MHz to provide and Order, ET Docket No. 02–305, FCC 2320–2345 MHz because of the potential flexibility for the non-Federal 03–269, adopted October 31, 2003, and for conflict between these services and government to use SRS downlinks from released November 4, 2003. The full text the Satellite Digital Audio Radio Service deep space on a secondary basis. of this document is available on the (‘‘Satellite DARS’’), which has been • Modify the non-Federal Commission’s Internet site at brought into operation in this band. We government/Federal government shared www.fcc.gov. It is also available for also deleted the unused FSS and BSS allocation at 25.25–27.5 GHz to provide inspection and copying during regular allocations from the band 2500–2690 flexibility for the Federal government to business hours in the FCC Reference MHz in order to remove allocations that use the ISS on a primary basis. Center (Room CY–A257), 445 12th are not compatible with two-way fixed • Revise the EESS allocation from Street, SW., Washington, DC 20554. The and mobile operations that are operating secondary to primary status in the band full text of this document also may be and anticipated in the band. 25.5–27 GHz and change the directional

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indicator from space-to-space to space- radiolocation allocations in the band 10. The Commission also requested to-Earth. 2320–2345 MHz to secondary status, comment on whether the secondary 5. In addition, we: (1) Delete the deleting the limited BSS and FSS mobile allocation, which is limited to primary ISS shared allocation from the allocations from the band 2500–2690 aeronautical telemetry in the band band 32–32.3 GHz; (2) delete the MHz, deleting unused IFPRS allocations 1525–1535 MHz, should be deleted in secondary AMS(R)S allocation from the from the bands 2.1–2.2 GHz and 10.7– the United States Table of Frequency band 136–137 MHz; (3) more than 11.7 GHz, and making various Allocations (‘‘U.S. Table’’) and on double the size of the geographic area in ministerial amendments to clean up and whether co-frequency transmissions New Mexico and Texas where amateur update the rules. from aircraft can cause harmful stations in the band 420–450 MHz will A. Generic MSS at L-Band interference to the MSS. Consistent with be limited in power and where spread this proposal, the Commission also 7. Proposals. Domestically, the spectrum radiolocation systems in the proposed to revise footnote US78 to Commission has previously sub-band 420–435 MHz should not remove the frequency 1525.5 MHz, expect to be accommodated; (4) modify implemented generic MSS proposals in which can be used for both aircraft and our rules to reflect NTIA’s recent action, portions of the L-band. However, spacecraft telemetry. The Commission which specified that Federal routine, non-safety related MSS public further requested comment on whether government wind profiler radars correspondence is currently precluded (‘‘WPRs’’) will operate in the sub-band in the uppermost one megahertz of the aeronautical telemetry operations in 448–450 MHz; (5) permit U.S. flagged upper L-band spectrum (1558.5–1559 the band 1525–1535 MHz can be ships to use more spectrum-efficient MHz and 1660–1660.5 MHz) and may relocated to either the band 1435–1525 equipment for on-board mobile be provided in nine megahertz of MHz or to the band 2310–2385 MHz. radiotelephony communications in additional upper L-band spectrum only 11. Decision. We adopted the generic areas outside the territorial waters of the on a secondary basis (1545–1549.5 MHz MSS allocation proposal for the bands United States; (6) delete unused and 1646.5–1651 MHz). Accordingly, 1525–1559 MHz/1626.5–1660.5 MHz set allocations for the International Fixed the Commission proposed in the NPRM forth in the NPRM, deleting the Public Radiocommunication Services to expand the permitted primary secondary aeronautical telemetry (‘‘IFPRS’’) from the bands 2.1–2.2 GHz services from AMS(R)S to all MSS in the allocation from the band 1525–1535 and 10.7–11.7 GHz; and (7) allocate the bands 1545–1549.5 MHz, 1558.5–1559 MHz and revising footnote US78 to band 14–14.5 GHz to the MSS (Earth-to- MHz, 1646.5–1651 MHz, and 1660– remove the frequency 1525.5 MHz, and space), which includes aeronautical 1660.5 MHz. retaining footnotes US308 and US315. mobile-satellite service (‘‘AMSS’’), on a 8. In addition, the Commission Commenters expressed strong support secondary basis. We also make proposed to take the following non- for a generic MSS allocation and numerous ministerial amendments to substantive, ‘‘clean-up’’ actions: (1) deletion of the secondary aeronautical part 2 of our rules. Delete the superfluous MMSS telemetry allocation, and we find that allocations from bands 1530–1544 MHz these changes will enhance flexibility Discussion and 1626.5–1645.5 MHz, (2) delete the and efficiency in the bands 1525–1559 6. In response to various petitions for superfluous secondary MSS allocations MHz and 1626.5–1660.5 MHz. While rulemaking, the Commission has from the bands 1545–1549.5 MHz and there is a difference of opinion addressed in a number of proceedings 1646.5–1651 MHz, and (3) delete the regarding the desirability of retaining many allocation changes that resulted superfluous AMS(R)S allocations from from the 1992 World Administrative the bands 1549.5–1558.5 MHz and footnotes US308 and US315, we concur Radio Conference (‘‘WARC–92’’) and the 1651–1660 MHz. The effect of these with MSV that the advantages of 1995 and 1997 World proposals is that the band 1525–1559 retaining them outweigh the Radiocommunication Conferences MHz would be allocated for MSS disadvantages. As noted by MSV, (‘‘WRC–95’’ and ‘‘WRC–97’’). In the downlinks on a primary basis and the footnotes US308 and US315 are long- Notice of Proposed Rule Making band 1626.5–1660.5 MHz would be standing and replacement of them by (‘‘NPRM’’), 67 FR 75968, December 10, allocated for MSS uplinks on a primary international footnotes 5.357A and 2002, in this proceeding, the basis. 5.362A, which have different language, Commission turned to additional 9. The Commission proposed to would introduce confusion as to allocation changes from these maintain footnotes US308 and US315 whether policy changes were being conferences that have not previously concerning the priority to be afforded made. Further, § 25.136(d) and (e) of the been considered, including several distress and safety communications, Commission’s rules set forth specific changes sought mainly at the request of stating that it believed that these generic requirements for MSS mobile and land NTIA. The NPRM also addressed the MSS allocations would provide MSV earth stations that satisfy the priority RNSS allocation changes from the 2000 and others with maximum flexibility, and preemption requirements of World Radiocommunication Conference without hindering the use of this footnote US315. Regarding footnote (‘‘WRC–2000’’), a Petition for Rule spectrum for distress and safety US309, we concur with MSV that this Making filed by the Lockheed Martin communications. The Commission footnote allows terrestrial stations in the Corporation (‘‘Lockheed Martin’’) requested comment on whether footnote AMS(R)S to operate in more of the band requesting that the WRC–2000 RNSS US308 should be modified or replaced than international footnotes 5.357A and allocations in the bands 1164–1215 by international footnotes 5.357A and 5.362A, in order to supplement satellite- MHz and 1559–1610 MHz be 5.362A. The Commission also proposed to-aircraft links in that service. The implemented domestically and that to update part 25 of the rules by stating broader spectrum range allowed by these frequency bands be added to part that the bands 1525–1559 MHz and US309 is more consistent with the 25 of the Commission’s Rules, and some 1626.5–1660.5 MHz are available for use Commission’s decision to expand non-WRC allocation issues that concern by L-band MSS systems and that use of AMS(R)S use within a generic MSS the frequency bands between 28 MHz the bands 1544–1545 MHz and 1645.5– allocation. Thus, we decline to modify and 36 GHz. These issues included 1646.5 MHz is limited to distress and US309, which we did not propose to downgrading the primary flight test and safety communications. change in the NPRM. Accordingly, we

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are retaining footnotes US308, US315, § 25.202(a) of the Commission’s Rules, modifying our part 25 satellite service and US309. as requested by the Lockheed Martin rules, when we initiate a proceeding to petition for rule making. address WRC–03 implementation. B. RNSS Allocations 15. Decision. Since adoption of the 16. With regard to Lockheed Martin’s 12. Proposals. As requested by NTIA, NPRM in this docket, WRC–03 has recommendations that we expand the the Commission proposed in the NPRM taken certain decisions regarding RNSS current GPS L2 spectrum at 1215–1240 to adopt new footnote US385, which that are relevant to issues raised in this MHz to 1215–1300 MHz and permit would allocate the band 1164–1189 proceeding. In particular, as noted by non-Federal government RNSS use of MHz for RNSS downlink and space-to- NTIA, WRC–03 has modified footnote the band 1215–1300 MHz, we observe space transmissions on a primary basis. 5.328A of the international Table of that the NPRM did not propose either of It also proposed to add definitions of Allocations to clarify that all stations in those changes and thus we have Differential Radionavigation Satellite the RNSS operating in the band 1164– declined to consider these changes at Service (‘‘Differential RNSS’’) Station 1215 MHz shall operate in accordance this time. With regard to Lockheed and Differential Global Positioning with specified aggregate interference Martin’s recommendation that we add System (‘‘DGPS’’) Station to part 2 of the protection criteria for ARNS (¥121.5 the international RNSS allocations at Commission’s Rules, as follows: dB(W/m2) in any 1 MHz band) and not 1164–1215 MHz and 1559–1610 MHz to Differential Radionavigation Satellite the part 25 list of frequency bands Service (Differential RNSS) Station. A claim protection from stations in the ARNS operating in the 960–1215 MHz available for satellite services, we see no station used for the transmission of advantage to be gained by taking that band. Administrations operating RNSS differential correction data and related action now. As the Commission stated stations in these bands are to cooperate information (such as ionospheric data in the NPRM, such action would be to ensure that the protection criteria are and RNSS satellite integrity more appropriate in connection with satisfied. In the NPRM in this information) as an augmentation to an development of service and licensing proceeding, we proposed to add a RNSS system for the purpose of rules for the RNSS frequency bands, and primary RNSS allocation in the band improved navigation accuracy. following development of international 1164–1189 MHz, and sought comment Differential Global Positioning System technical criteria for operations in these on whether we should extend the (DGPS) Station. A differential RNSS bands. We will explore all of these allocation to the band 1189–1215 MHz, station for specific augmentation of issues when we consider the WRC–03 GPS. noting in regard to the latter band that protection criteria for ARNS in the 13. Additionally, the Commission studies were underway in the WRC–03 implementation proceeding. requested comment on whether the international process to determine the 17. With regard to Inmarsat’s band 1164–1189 MHz should be added aggregate impacts of multiple RNSS recommendation that we not adopt the to a new footnote US343 that was systems on incumbent ARNS systems. proposed definitions of Differential proposed in WT Docket No. 01–289. We stated that we would not anticipate RNSS and DGPS stations, we disagree This footnote would provide that DGPS adopting this additional allocation with Inmarsat that these definitions stations may be authorized on a primary unless a need was demonstrated and create ambiguity or confusion between basis in the bands 108–117.975 MHz studies completed. Although we did not them and any current definition in and 1559–1610 MHz for the specific propose pfd limits on RNSS systems, we either our rules or in the ITU rules. The purpose of transmitting DGPS did propose to adopt a new United definitions are simply informational. As information intended for aircraft States footnote that would require RNSS we observed in the NPRM, differential navigation. The Commission further stations to not cause interference to, nor RNSS correction data and related sought comment on whether it should claim protection from, stations in the information is transmitted in a data link allocate domestically the international ARNS. Given the WRC–03 results and and sometimes is not within the RNSS. RNSS allocation at 1189–1215 MHz, and support on the record in this These definitions clarify that this in particular on whether this allocation proceeding, we conclude that the RNSS information augments the RNSS system is needed to support U.S. requirements. allocation should extend from 1164– and improves navigation accuracy. In the NPRM, the Commission observed 1215 MHz. This increased allocation Accordingly, we are adding the that studies continue in the will provide flexibility for potential proposed definitions of Differential international process to determine the future GPS implementation plans and RNSS and DGPS stations to part 2 of the aggregate impact of multiple RNSS facilitate cooperative efforts among rules. systems on incumbent aeronautical administrations operating RNSS systems 18. Finally, with regard to Inmarsat’s radionavigation service (‘‘ARNS’’) in these bands to protect ARNS systems. comments on whether the band 1164– systems and that, given the safety-of-life However, we concur with NTIA that a 1189 MHz should be added to proposed aspects of these ARNS systems, the footnote—rather than a table—allocation footnote US343, we note that this Commission did not anticipate adopting for the new 1164–1215 MHz RNSS band footnote was proposed in the Notice of this additional allocation unless a need is appropriate, and that this footnote Proposed Rule Making in WT Docket is demonstrated and studies are done should include language specifying that No. 01–289, which is still pending. We that support such a move. RNSS shall not cause harmful do not wish to prejudge whether 14. The NPRM also proposed to add interference to ARNS. While Inmarsat proposed US343 will be adopted in that a space-to-space directional indicator to Ventures plc (‘‘Inmarsat’’) contends that proceeding; hence, we will defer the primary RNSS allocation in the this language could be construed as an consideration of the possible addition of bands 1215–1240 MHz and 1559–1610 additional requirement or superfluous the band 1164–1189 MHz to proposed MHz, which are currently limited to to the WRC–03 aggregate interference US343 to the Report and Order in WT downlink transmissions, to recognize protection criteria, we find it Docket No. 01–289. current and future use of spaceborne appropriate as an interim measure. We RNSS receivers for scientific and intend to address how best to reference C. Satellite DARS and Adjacent Bands commercial applications. Finally, the the WRC–03 protection criteria for 19. Proposals. In the NPRM, the NPRM declined to propose adding the ARNS, whether by adopting Commission proposed to revise footnote RNSS L1 and L5 frequencies to international footnote 5.328A or US328 to permit flight testing

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operations to continue on a secondary US276 currently limits the use of the allocations from the band 2500–2690 basis in the band 2320–2345 MHz. The mobile service in the band 2320–2385 MHz and are deleting footnotes NG47, Commission also proposed to delete the MHz to aeronautical telemetry, this NG101, and NG102. radiolocation service from footnote United States footnote is retained but E. Space Science Services US328 because there are no non-Federal henceforth will apply only to the band government radiolocation operations in 2360–2385 MHz. In contrast, footnote 23. Proposals. With respect to active the Satellite DARS band and because US328, which applies only to the band spaceborne sensors, in the NPRM the the Federal government already has a 2320–2345 MHz, is deleted in its Commission proposed, in response to a secondary direct Table allocation for entirety. In all other respects, we adopt request from NTIA, to allocate the bands this service. It further proposed to delete the proposals for the band 2310–2390 1215–1300 MHz, 3100–3300 MHz, the requirement that Satellite DARS MHz set forth in the NPRM. This action 5255–5350 MHz, 8550–8650 MHz, licensees take cognizance of the launch will eliminate possible interference to 9500–9800 MHz, 13.25–13.4 GHz, 17.2– vehicle frequency 2332.5 MHz because Satellite DARS operations, as well as 17.3 GHz, and 35.5–36 GHz to the EESS satellite DARS systems have been remove confusion regarding use of the (active) and SRS (active); the bands implemented. In addition, the band 2310–2390 MHz. 5250–5255 MHz and 13.4–13.75 GHz to the EESS (active) and SRS; and the band Commission requested comment on D. ITFS/MDS Band whether all secondary operations 5350–5460 MHz to the EESS (active). should be deleted from this band in 21. Proposals. In the NPRM, the These allocation changes would order to protect Satellite DARS Commission stated its belief that FSS implement WRC–97 allocation changes operations. It proposed to amend and BSS operations in the band 2500– for the space science services. For the § 87.303(d)(1) to state that frequencies in 2690 MHz could affect the reliability of Federal Government Table, the the band 2310–2360 MHz may be point-to-multipoint channels and low- Commission proposed that all of these assigned on a secondary basis for power consumer response channels in active spaceborne sensor allocations telemetry and telecommand operations that band and noted that service rules have primary status, except in the band associated with the flight testing of for advanced mobile operations may 3100–3300 MHz, where the sensors manned or unmanned aircraft and also be implemented in that band in the would continue to have secondary missiles, or their major component, and future. Therefore, the Commission status. For the non-Federal Government proposed to delete the launch vehicle proposed to delete the unused and Table, the Commission proposed that all limited FSS and BSS allocations from of these allocations have secondary frequency 2332.5 MHz from the band 2500–2690 MHz in order to status. At the request of NTIA, the § 87.303(d)(1). The Commission also remove regulatory uncertainty. Commission also proposed to add five proposed to add cross-references in the Consistent with its proposal to delete international footnotes to the U.S. Table U.S. Table to part 25, Satellite these allocations, the Commission also to ensure that active spaceborne sensors Communications, in the band 2320– proposed to delete footnotes NG101 and not cause harmful interference to, nor 2345 MHz, and to part 87, Aviation NG102, which limit the use of the constrain the use and development of, Services, in the band 2310–2390 MHz. allocations. In addition, it proposed to incumbent primary services in the Finally, the NPRM proposed to delete delete footnote NG47 so as to make the bands 1215–1300 MHz, 5350–5460 footnote 5.396 from the band 2310–2360 band 2655–2690 MHz available for MHz, and 13.25–13.75 GHz. Finally, MHz from the Federal Government ITFS/MDS use in Alaska. and also at the request of NTIA, the Table because that footnote pertains to 22. Decision. We are adopting the Commission proposed to add two the broadcasting-satellite service, which proposals pertaining to the band 2500– international footnotes to the U.S. Table is not regulated by NTIA; and to delete 2690 MHz set forth in the NPRM. No to ensure that primary SRS allocations footnote US338 from the band 2310– party objects to the proposal to delete in the bands 5250–5255 MHz and 13.4– 2320 MHz because that footnote does the FSS allocation in that band, and 13.75 GHz are limited to active not pertain to that band. These only AirTV Limited (‘‘AirTV’’) objects to spaceborne sensors and that other space combined actions were designed to the proposal to delete the BSS allocation research users are on a secondary basis. clarify use of the band 2310–2390 MHz in that band. We make no finding on the Consistent with these proposals, the and to permit the new satellite DARS potential benefits of AirTV’s proposed Commission proposed to delete from the service to operate in an interference-free based Direct-to-Aircraft entertainment U.S. Table international footnotes 5.333 environment in the band 2320–2345 and e-mail system in the band 2535– and 5.551, which provide the current MHz. 2670 MHz. However, we find that such secondary active spaceborne sensor 20. Decision. We are adopting the a system would increase costs for allocations, and also proposed to delete proposals pertaining to the band 2310– terrestrial services due to the need to the secondary allocation for the SRS 2390 MHz set forth in the NPRM, except mitigate interference caused by AirTV’s (Earth-to-space) in the band 13.25–13.4 that we are deleting the mobile service system. We concur with Boeing that the GHz. allocation from band 2320–2345 MHz in World Trade Organization agreement 24. With respect to other space the U.S. Table and are deleting footnotes does not apply to AirTV’s system and science services, in the band 401–403 US276 and US328, which limit uses thus the U.S. may limit new satellite MHz the Commission proposed in the under the mobile allocation, from that authorizations when faced with NPRM, in response to a request from band. The comments of the Aerospace potential interference issues with NTIA, to upgrade the secondary EESS and Flight Test Radio Coordinating incumbent operations. We concur with and METSAT allocations to primary Council and the Boeing Company the Wireless Communications status for Federal government use and to (‘‘Boeing’’) convince us that there is no Association International, Inc. that limit non-Federal government use of need to maintain a secondary AirTV has not met the burden of these allocations to earth stations aeronautical telemetry allocation in the demonstrating that its system will not transmitting to Federal government band 2320–2345 MHz because such an cause interference to terrestrial services space stations. The Commission allocation would be unusable due to that use the band 2520–2670 MHz. requested comment on whether non- potential interference from new Satellite Accordingly, as proposed in the NPRM, Federal government use of these DARS operations. Because footnote we are deleting the FSS and BSS allocations should be limited to earth

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stations transmitting to Federal band 1215–1300 MHz. Thus, if the U.S., conclusively determine whether Federal government space stations. The in the future, decides to add a primary government fixed, mobile, ISS, and Commission proposed to allocate the RNSS allocation to the 1260–1300 MHz EESS users of the sub-band 25.5–27 GHz band 410–420 MHz to the SRS (space- band, such a decision would be would be adversely affected by this to-space) on a primary basis for Federal consistent with the existing upgrade. Accordingly, we decline to government use and to limit its use, international allocation. Any take that action at this time. However, through the application of footnote appropriate sharing criteria can be we plan to explore in the WRC–03 5.268, to permit communications among worked out at that time. With regard to implementation proceeding referenced astronauts and their base spacecraft Medtronic Inc.’’s recommendation that in paragraph 24, of the R&O, whether while those astronauts are performing non-Federal government use of the that change could be made without activities outside the base spacecraft. In EESS and METSAT allocations in the adversely impacting Federal the band 7750–7850 MHz, the band 401–403 MHz be limited to earth government users of that sub-band. In Commission proposed an allocation for stations transmitting to Federal the interim, because non-Federal Federal government METSAT downlink government space stations, no party government EESS providers will use use, limited to NGSO satellites, as supports permitting earth stations to that sub-band on a secondary basis to requested by NTIA. In the band 8400– transmit to non-Federal government Federal government users, it is 8450 MHz, the Commission proposed an space stations in this band and we did incumbent that EESS applicants allocation for Deep Space downlinks on not propose such use. Accordingly, we coordinate their proposed operations a secondary basis, to permit non-Federal decline to permit that use. with NTIA in order to protect those users. Accordingly, we are adopting the government entities, such as F. The Band 25.25–27.5 GHz educational institutions, to perform changes for the band 25.25–27.5 GHz scientific research in cooperation with 26. Proposals. In the NPRM, the proposed in the NPRM, except for the National Aeronautics and Space Commission noted that there are maintaining the secondary non-Federal Administration (‘‘NASA’’). In the 32 currently no FCC licensees using the government allocation for the EESS GHz band range, the Commission secondary EESS allocation in the band (space-to-space) in that band. 25.25–27.5 GHz and proposed to: (1) proposed to delete the unused ISS G. Other Allocation Issues allocation from the band 32–32.3 GHz in generally reflect changes previously order to protect deep space reception at made to the Federal government Table (1) Secondary AMS(R)S Allocation in in the NTIA Manual, including adopting Goldstone, California, and proposed to the Band 136–137 MHz a primary ISS allocation in that band 28. Proposals. The NPRM proposed a move the text of an international and changing the directional indicator footnote change in the U.S. Table in footnote into a U.S. footnote to reflect for the secondary EESS allocation in the order to delete the unused AMS(R)S the anticipated prohibition on use of the sub-band 25.5–27 GHz from space-to- allocation from the band 136–137 MHz. band 32–32.3 GHz by the ISS. Finally, space to space-to-Earth; (2) In addition, the NPRM proposed a in the 34 GHz frequency range, the correspondingly change the directional footnote change to remove the expired Commission proposed to move the SRS indicator for the secondary non-Federal transition plan for METSAT use of the (deep space) (Earth-to-space) allocation government EESS allocation in that sub- band 136–137 MHz. at 34.2–34.7 GHz from a U.S. footnote band; (3) upgrade the Federal 29. Decision. No party commented on into the U.S. Table as a direct Table government EESS allocation in that sub- the proposals pertaining to the band allocation, with Federal government use band to primary status; and (4) delete 136–137 MHz set forth in the NPRM. We on a primary basis and with non-Federal the remainder of the secondary EESS are adopting these proposals. This government use on a secondary basis; allocation (25.25–25.5 GHz and 27–27.5 action will bring the U.S. Table in the and proposed to move the Goldstone GHz). band 136–137 MHz into conformance site restriction in that same band from 27. Decision. We are adopting the with the band’s use by the AM(R)S, footnote US252 to US262. proposals pertaining to the band 25.25– remove the potentially conflicting 25. Decision. We are adopting the 27.5 GHz set forth in the NPRM, except AMS(R)S secondary allocation, and proposals to provide a primary Federal that we are maintaining, rather than remove the expired transition plan for government allocation and a secondary deleting, the secondary non-Federal METSAT use of the band. non-Federal government allocation for government allocation for the EESS EESS (active) and SRS (active) in the (space-to-space) in that band. We take (2) The Band 420–450 MHz band 1215–1260 MHz. With regard to the latter action to allow flexibility for 30. Proposals. In the NPRM, the Lockheed Martin’s concerns that a both space-to-space and space-to-Earth Commission, in response to a request primary allocation for EESS (active) and operations by Federal and non-Federal from NTIA on behalf of the U.S. Army, SRS (active) would pose a threat of government users in that band. With proposed to modify footnotes to the U.S. harmful interference to domestic and respect to DigitalGlobe Inc.’’s and Space Table to more than double the combined global RNSS, we disagree. First, we are Imaging, LLC’s concerns about non- size of the geographical area in Texas adding international footnote 5.332, Federal government EESS systems, we and New Mexico where the maximum which states that, for the band 1215– find that these two companies have transmitter power that amateur radio 1260 MHz, active spaceborne sensors in presented evidence that the non-Federal stations may use in the band 420–450 the EESS and SRS shall not cause government, as well as the Federal MHz would generally be limited to 50 harmful interference to, claim government, EESS allocation in the sub- watts PEP, rather than the usual limit of protection from, or otherwise impose band 25.5–27 GHz band should be 1.5 kW PEP. In its request to the constraints on operation or development upgraded to primary status, but we Commission, NTIA states that this of the radiolocation service, the RNSS conclude that we have insufficient basis geographical area must be extended to and other services allocated on a to upgrade that allocation at this time. prevent interference from amateur radio primary basis. Second, we observe that The NPRM did not propose to upgrade operations to a New Mexico missile test the international frequency table already the non-Federal government allocation, range. NTIA cites Army concerns that contains primary allocations for RNSS, and ‘‘based on the limited record in this amateur operations in this area present EESS (active) and SRS (active) in the proceeding ‘‘we are unable to an interference threat to missiles

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launched at Fort Wingate, NM, aimed at (3) On-Board Mobile Radiotelephony (5) Secondary MSS Use of the Band 14– the airspace over White Sands Missile Communications 14.5 GHz Range, NM, because there is now a 36. Proposals. In the NPRM, the Department of Defense test and 32. Proposals. In the NPRM, the Commission proposed to replace Commission observed that LMSS evaluation center that uses areas west operates on the band 14–14.5 GHz in the international footnote 669 with footnote and south of Albuquerque, NM. Also in United States on a secondary basis 5.287 in the U.S. Table for the band response to a request from NTIA, the without causing harmful interference to 456–470 MHz. The effect of this Commission stated that it intended to ubiquitously deployed VSATs and that proposal would be to permit U.S. place an informational footnote in its other nations have implemented MMSS licensees to use maritime mobile Rules pertaining to Federal government uplinks in the band 14–14.5 GHz on a equipment that is more spectrum- wind profiler radar (‘‘WPR’’) secondary basis. The Commission also efficient and that has access to ten radiolocation use of the sub-band 448– observed that it agreed with the U.S. instead of six channels for on-board 450 MHz. Finally, the NPRM requested WRC–97 Proposals that using the same comment on whether non-Federal communications in areas outside U.S. or similar terminals to offer MMSS government WPRs should also be territorial waters. services in the band 14–14.5 GHz allowed in that sub-band on either a 33. Decision. No party commented on should be compatible with other primary or secondary basis and on the our proposal to replace international services in this band, especially since impact of WPRs on non-Federal footnote 669 with footnote 5.287 in the the LMSS allocation has been government operations permitted in that U.S. Table for the band 456–470 MHz, successfully used in the United States sub-band. thereby revising the frequency use for some time. Accordingly, the 31. Decision. We are adopting the provision for on-board mobile Commission proposed in the NPRM to proposals pertaining to the band 420– radiotelephony maritime allocate the band 14–14.5 GHz to the 450 MHz set forth in the NPRM. With communications. Accordingly we are MSS (Earth-to-space) except AMSS on a regard to the recommendation of ARRL, adopting this proposal. This action will secondary basis for non-Federal the National Association for Amateur permit more efficient maritime mobile government use. Radio (‘‘ARRL’’), that the Commission equipment to be employed outside U.S. 37. Decision. We are allocating the establish an expedited method of territorial waters. band 14–14.5 GHz to the MSS, processing amateur radio license including AMSS (Earth-to-space), for requests in cases where amateurs are (4) IFPRS Use in the Bands 2.1–2.2 GHz non-Federal government use on a able to reach agreements with military and 10.7–11.7 GHz secondary basis. There is no opposition area frequency coordinators, we note 34. Proposals. In the NPRM, the to this allocation. Consistent with the that our license processing procedures Commission, in order to remove comments of Boeing regarding AMSS, are not subject to rulemaking; however, regulations that are no longer needed, we believe that such use of the band we always seek to process applications proposed to delete footnote NG23, appears to be technically feasible and as expeditiously as possible. With which pertains to the band 2100–2200 would be helpful in meeting the regard to the concern of Douglas Hanz— MHz, and to revise footnote NG41 to growing demand for two-way broadband an amateur radio licensee—that amateur remove the band 10.7–11.7 GHz because data and communications capabilities for commercial aircraft passengers and radio stations be permitted to use 110 there are no longer any IFPRS licensees watts PEP in that band with a restriction crew. Further, WRC–03 added a operating in either of these bands. The of 6dBi antenna gain, inclusive of worldwide secondary AMSS allocation Commission also proposed to delete all transmission line loss, we observe that in this band. We find that conforming cross-references to part 23, except for C- there already is a procedure by which the U.S. Table to this recent band, from column 6 of the Table of amateur licensees can use powers international allocation is desirable Frequency Allocations. greater than 50 watts; i.e., by reaching because it will facilitate an important agreement with a military area 35. Decision. We are adopting the new use of the 14–14.5 GHz band on a frequency coordinator. As indicated in proposals pertaining to the IRPRS set non-interference basis to other uses of NTIA’s correspondence to us of August forth in the NPRM, but are rejecting the the band. We further find that no party 2002, the Army finds that the area in recommendation of the PanAmSat need be adversely impacted by this Texas and New Mexico where amateur Corporation (‘‘PanAmSat’’) to prohibit action. However, we note that the SRS transmitter power in the band must be new C-band IFPRS facilities. There is no has a secondary allocation in a portion limited should be expanded to protect opposition to the proposals relating to of this band and NASA uses that missile testing and evaluation at a test the IFPRS; however, PanAmSat allocation as a downlink for its Tracking range in New Mexico. Accordingly, we recommends that we take additional and Data Relay Satellite System are adopting our proposal to modify action. While we concur with (‘‘TDRSS’’). Further, the National footnotes to the U.S. Table to expand PanAmSat that new IFPRS facilities are Science Foundation (‘‘NSF’’) operates the area in Texas and New Mexico unlikely to be required in C-band, we do radio astronomy services (‘‘RAS’’) in the where the maximum transmitter power not want to foreclose the opportunity for band 14.47–14.50 GHz in accordance that amateur radio stations may use in additional use of this service in remote with footnote US203 and Radio the band 420–450 MHz would generally island areas if it is required. Further, we Astronomy is allocated on a secondary be limited to 50 watts PEP. With regard have not given interested parties basis internationally. Therefore, users of to permitting non-Federal government sufficient notice in this proceeding to AMSS will need to deal with protection WPR use of the sub-band 448–450 MHz, prohibit such facilities. Additionally, of radio astronomy. We also note that a only ARRL commented, and it is there would be no significant number of administrations have strongly opposed. Because no one administrative advantage of such a specified specific protection expresses an interest in such non- prohibition, as C-band IFPRS rules must requirements for radio astronomy. In Federal use, we will not permit non- be retained for existing facilities. December 2001, we issued Boeing a Federal government WPR use in the Accordingly, we deny PanAmSat’s license to operate mobile earth stations 448–450 MHz sub-band. request. aboard aircraft in the 14–14.5 GHz band

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and imposed several conditions on that with AMSS service rules in the 14–14.5 5460 MHz that are already provided license, including the conditions that GHz band. elsewhere in the Table. That is, there is Boeing not constrain deployment of 39. Accordingly, we are allocating the already a primary direct Table additional government stations operated 14–14.5 GHz band to all MSS uses on allocation for Federal government by NASA in the SRS and that Boeing a secondary basis to the primary FSS in radiolocation and a secondary direct design and operate its system in that band, as well as on a secondary Table allocation for non-Federal accordance with its Technical basis to the primary radionavigation government radiolocation in the band Operational Coordination Agreement service in the 14–14.2 GHz sub-band. 5350–5460 MHz for this purpose. with NSF to facilitate the protection of Finally, with regard to PanAmSat’s 44. Fifth, the Commission proposed to RAS. Boeing must continue to operate concern about MMSS, we observe that revise footnote US110 to remove in accordance with the conditions that such use of the band 14–14.5 GHz—like provisions regarding certain bands that we imposed on its license and thus other MSS use of this band—will be on are already shown in the Table. That is, must continue to protect the TDRSS and a secondary basis to FSS, and we find there are primary direct Table RAS operations in the 14–14.5 GHz no need to further restrict how MMSS allocations for Federal government band. Further, in accordance with a should operate in the band. radiolocation and secondary direct Memorandum of Understanding Table allocations for non-Federal H. Ministerial Amendments (‘‘MOU’’) that we reached with NTIA in government radiolocation in all of the July 2002, we will protect those 40. Proposals. In the NPRM, the bands listed in footnote US110, except operations from interference by any Commission proposed to make a for the band 9200–9300 MHz, which is future AMSS operations that we number of ministerial amendments to allocated to both the Federal and non- authorize in that band. Until we adopt part 2 of the Commission’s rules. First, Federal government radiolocation final rules relating to allocation changes to eliminate both confusion and service on a secondary basis. in the 14–14.5 GHz band or licensing of outdated provisions, the Commission 45. Sixth, the Commission proposed AMSS terminals in that band, we will proposed to: to revise footnote US310 to specify the place the following conditions on any (1) Replace international footnotes pfd limits for all angles of arrival. additional system authorizations that 599A, 608A, 608B, and 647B in the Currently US310 specifies only the we may issue in that band for a service ‘‘Little LEO’’ bands of the U.S. Table maximum and minimum pfd limits and similar to Boeing’s: with footnotes 5.208, 5.219, 5.220, and references CCIR Recommendation 510– (1) The system shall be designed and 5.264, respectively, which are non- 1, which has been renumbered as operated so as not to cause harmful substantive changes; Recommendation ITU–R SA.510–2, for interference to TDRSS or RAS (2) Merge footnote US322 into US320, the specific requirements. operations in the United States; and that is, add the bands 149.9–150.05 46. Seventh, the Commission (2) The system shall not constrain MHz and 399.9–400.05 MHz to footnote proposed to add a reference to footnote future deployment of additional Federal US320, and delete superfluous footnotes NG167 in the band 17.3–17.7 GHz to Earth Stations in the SRS and RAS US322 and 599B from the U.S. Table; explicitly tie the allocation for the authorized pursuant to existing (3) Delete expired footnote US318 broadcasting-satellite service in the allocations. from the band 137–138 MHz and the band 17.3–17.7 GHz to its feeder link Because RAS operations in the band part 25 cross reference from the band allocation in the band 24.75–25.25 GHz. 14.47–14.5 GHz operate on an 136–137 MHz; and 47. Eighth, the Commission proposed unprotected basis domestically, we will (4) Delete expired text from section to make the following changes to the maintain the protection of RAS as 25.202(a)(3), which concerns the rule part cross-references in column 6 of articulated in the conditions specified allocation status of certain of the Little the Table of Frequency Allocations: above. However, we note that the LEO bands. (1) Delete part 87, the Aviation Commission may explore in a future 41. Second, the Commission observed Services, from the band 29.8–30 MHz rulemaking the protection levels or that, in WT Docket No. 01–289, it and add part 87 to the bands 72–73 mechanism necessary to protect these proposed to delete the Civil Air Patrol MHz, 74.6–74.8 MHz, and 156.2475– services. The NTIA/FCC MOU states (‘‘CAP’’) from part 87 of the rules 157.0375 MHz; that ‘‘[t]he FCC will endeavor to reflect because the Commission has no formal (2) Add part 90, the Private Land in its decisions conditions and relationship with the CAP, which is Mobile Radio Services, to the band 410– constraints that explicitly protect authorized by the U.S. Air Force and 420 MHz; NASA, NSF and other government NTIA. To be consistent with that (3) Add part 80, the Maritime operations (i.e., ITU–R proposal, in the NPRM the Commission Services, to the band 1525–1535 MHz; Recommendation RA. 769 for Radio proposed to delete footnote US10, and Astronomy and ITU–R which states that several frequencies in (4) Add part 25, Satellite Recommendations S.A. 5.10, S.A. 1017, the band 138–144 MHz are available for Communications, to the band 1660– S.A. 1155, S.A. 1414, M. AMSS for use by the CAP. 1660.5 MHz. TDRSS earth stations, and Boeing’s 42. Third, the Commission proposed 48. Ninth, the Commission proposed Technical Operational Coordination to delete international footnote 510 from to make the following changes to Agreement with NSF, dated 13 the band 144–146 MHz in the non- eliminate outdated requirements or December 2001, and the letter of Federal Government Table. This correct typographical errors: guidance provided to Boeing by NASA, footnote, through its reference of (1) Clarify in footnote US217 that dated December 18, 2001.’’ Resolution 640, invited administrations spread spectrum radiolocation systems 38. Lastly, as noted in paragraph 55, to provide for the needs of international may be authorized for Federal and non- of the R&O, government fixed and disaster communications and for the Federal government use in the sub-band mobile services are allocated on a needs of emergency communications 420–435 MHz within Alaska and the secondary basis in the band 14.4–14.5 using certain amateur bands. contiguous 48 states and correct several GHz. Protection criteria for these 43. Fourth, the Commission proposed typographical errors; government terrestrial operations may to revise footnote US48 to remove (2) Correct a typographical error in need to be developed in conjunction provisions regarding the band 5350– footnote US316 by changing the

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NEXRAD expansion band from 2900– US355. We are correcting footnote 2690 MHz. Concerning L-band MSS, 3100 MHz to 2900–3000 MHz; US355 in order to use the proper currently there is only one U.S. licensee. (3) Delete the references to footnote symbols for degree, minute, and second. Concerning the RNSS allocation, only NG30 in the band 806–894 MHz and to We remove the ‘‘S’’ reference in footnote one or at most a few large companies are footnote NG43 in the band 806–849 US303 to make the cross-reference to expected to be able to launch and MHz from the non-Federal Government ITU Radio Regulation No. 21.16 maintain RNSS systems, which are Table because these footnotes have consistent with current practice. We are expensive. The last action merely previously been deleted, but were not updating footnote NG114 to refer to the deletes unused allocations, with no fully removed from the non-Federal Public Mobile Service, not the Domestic direct effect on licensees or regulatees. Government Table; Public Service, which no longer exists. 54. We have determined that the rules (4) Delete footnote NG63 because the At the request of NTIA, we are adding adopted in this R&O will not have a Commission’s licensing files show that footnote 5.391, which prohibits high- significant economic impact on a there are no television broadcast density mobile systems, to the band substantial number of small entities. translator stations still authorized to 2200–2290 MHz, which is Federal Accordingly, we hereby certify that this operate in the band 806–890 MHz (old government exclusive band. We are TV channels 70–83); and R&O will not have a significant adding cross reference to the Aviation economic impact on a substantial (5) Delete footnote US54 because Services (part 87) in the bands 2310– Federal government radiolocation number of small entities. The 2320 MHz and 2345–2385 MHz. We also Commission’s Consumer and systems that could cause harmful remove those footnotes to the Table of Governmental Affairs Bureau, Reference interference to ARNS have had at least Frequency Allocations that are no Information Center, will send a copy of since 1961 to move to other frequency longer in effect because they have been this R&O, including this certification, to bands. suppressed in the ITU Radio the Chief Counsel for Advocacy of the 49. Tenth, the Commission proposed Regulations. These additional Small Business Administration. to replace the reference to international ministerial actions will update and footnote 5.149 with footnote US342 in otherwise remove errors from the U.S. Ordering Clauses the U.S. Table for several frequency Table. bands and proposed to add two 55. Pursuant to sections 1, 4, 301, additional bands to the text of that Final Regulatory Flexibility 302(a), 303, 307, 309, 316, 332, 334, and footnote. In addition, it proposed to Certification 336 of the Communications Act of 1934, delete footnote 5.149 from the band 52. The Regulatory Flexibility Act of as amended, 47 U.S.C. sections 151, 1660.5–1668.4 MHz, and proposed to 1980, as amended (‘‘RFA’’) requires that 154, 301, 302(a), 303, 307, 309, 316, 332, revise US342 by deleting the indication a final regulatory analysis be prepared 334, and 336, the Report and Order and showing which frequency bands are for notice-and-comment rule making final rules are adopted. used for spectral line observations. The proceedings, unless the agency certifies 56. The late-filed comments of Commission also requested comment on that the ‘‘the rule will not, if DigitalGlobe, Inc. to the Notice of whether US342 could be revised to state promulgated, have a significant Proposed Rule Making in this that licensees are ‘‘urged,’’ (similar to economic impact on a substantial proceeding are accepted. footnote 5.149) instead of ‘‘required’’ to number of small entities. The RFA take all practicable steps to protect the generally defines the term ‘‘small 57. The Commission’s Consumer and radio astronomy service (‘‘RAS’’) from entity’’ as having the same meaning as Governmental Affairs Bureau, Reference harmful interference. the terms ‘‘small business,’’ ‘‘small Information Center, shall send a copy of 50. Finally, the Commission observed organization,’’ and ‘‘small governmental this Report and Order, including the that the band 73–74.6 MHz is allocated jurisdiction.’’ In addition, the term Final Regulatory Flexibility exclusively to the RAS, which is a ‘‘small business’’ has the same meaning Certification, to the Chief Counsel for passive service, and that passive bands as the term ‘‘small business concern’’ Advocacy of the Small Business are listed in footnote US246. under the Small Business Act. A ‘‘small Administration. Accordingly, it proposed to add the business concern’’ is one which: (1) Is 58. This proceeding is terminated. band 73–74.6 MHz to US246. independently owned and operated; (2) List of Subjects 51. Decision. No party commented on is not dominant in its field of operation; any of the proposals pertaining to and (3) satisfies any additional criteria 47 CFR Part 2 ministerial amendments to part 2 of the established by the Small Business Commission’s rules set forth in the Administration (‘‘SBA’’). Communications equipment, Radio. NPRM. We are adopting these proposals, 53. The Report and Order amends 47 CFR Part 25 to enhance the accuracy of the U.S. parts 2, 25, and 87 of our rules in order Table. In addition, on our own motion, to implement domestically various Commmunications equipment, we are making nine additional allocation decisions from several World Satellites. ministerial changes. We are merging the Radiocommunication Conferences 47 CFR Part 87 bands 698–746 MHz and 746–764 MHz concerning the frequency bands as the band 698–764 MHz because the between 28 MHz and 36 GHz and to Air transportation. allocations in these bands are exactly otherwise update our rules in this Federal Communications Commission. the same and thus, this action simplifies frequency range. These allocations our Table. We are deleting the band mainly affect Federal agencies. Those Marlene H. Dortch, 34.2–34.7 GHz from footnote US252 allocations that are most significant to Secretary. because the SRS allocation for this band non-Federal government operations are: Final Rules has been made a direct Table allocation. (1) Implementing generic L-band MSS We are deleting the obsolete list of allocations; (2) allocating the band ■ For the reasons discussed in the coordinated observatories from footnote 1164–1189 MHz to the RNSS; and (3) preamble, the Federal Communications US277 and are instead cross referencing deleting unused and limited FSS and Commission amends 47 CFR parts 2, 25, the list of observatories in footnote BSS allocations from the band 2500– and 87 as follows:

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PART 2—FREQUENCY ALLOCATIONS information (such as ionospheric data US258, US262, US276, US277, US278, AND RADIO TREATY MATTERS; and RNSS satellite integrity US303, US310, US316, US320, US342, GENERAL RULES AND REGULATIONS information) as an augmentation to an and US355; remove US10, US54, US228, RNSS system for the purpose of ■ US269, US318, US322, and US328; and 1. The authority citation for part 2 improved navigation accuracy. continues to read as follows: add footnotes US384, US385, and * * * * * US386. Authority: 47 U.S.C. 154, 302a, 303, and ■ 3. Section 2.106 is amended as follows: ■ e. In the list of Non-Federal 336, unless otherwise noted. ■ a. Revise pages 22 through 75 of the Government (NG) Footnotes, remove ■ 2. Section 2.1 is amended by adding Table. NG23, NG47, NG63, NG101, and NG102; ■ b. In the list of International Footnotes the following definitions in alphabetic and revise NG41 and NG114. order: under heading I, remove footnotes 5.120, 5.148, 5.333, and 5.551; add footnotes ■ f. In the list of Federal Government (G) § 2.1 Terms and definitions. 5.457A, 5.457B, 5.504A, 5.504B, 5.504C, Footnotes, revise footnote G2 and add * * * * * 5.506A, 5.506B, 5.508A, and 5.509A; and footnote G129. Differential Global Positioning System revise footnotes 5.505 and 5.508. The revisions and additions read as (DGPS) Station. A differential RNSS ■ c. In the list of International Footnotes follows: station for specific augmentation of under heading II, remove footnotes 591, GPS. 599A, 599B, 608A, 608B, 647B, 669, and § 2.106 Table of Frequency Allocations. Differential Radionavigation Satellite 792A. * * * * * Service (Differential RNSS) Station. A ■ d. In the list of United States (US) station used for the transmission of Footnotes, revise US7, US48, US78, BILLING CODE 6712–01–P differential correction data and related US110, US217, US244, US246, US252,

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BILLING CODE 6712–01–C

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* * * * * footnote shall not apply to ship earth stations (b) The entire State of Florida including the for which the complete Appendix 4 Key West area and the areas enclosed within International Footnotes information has been received by the a 322-kilometer (200-mile) radius of Patrick * * * * * Radiocommunication Bureau prior to 5 July Air Force Base, Florida (latitude 28° 21′ 5.457A In the bands 5925–6425 MHz and 2003. North, longitude 80° 43′ West), and within a 14–14.5 GHz, earth stations on board vessels 5.506B Earth stations on board vessels 322-kilometer (200-mile) radius of Eglin Air may communicate with space stations of the communicating with space stations in the Force Base, Florida (latitude 30° 30′ North, fixed-satellite service. Such use shall be in fixed-satellite service may operate in the longitude 86° 30′ West); accordance with Resolution 902 (WRC–03). frequency band 14–14.5 GHz without the (c) The entire State of Arizona; 5.457B In the bands 5925–6425 MHz and need for prior agreement from Cyprus, (d) Those portions of California and 14–14.5 GHz, earth stations located on board Greece, and Malta within the minimum Nevada south of latitude 37° 10′ North, and vessels may operate with the characteristics distance given in Resolution 902 (WRC–03) the areas enclosed within a 322-kilometer and under the conditions contained in from these countries. (200-mile) radius of the Pacific Missile Test Resolution 902 (WRC–03) in Algeria, Saudi 5.508 Additional allocation: in Germany, Center, Point Mugu, California (latitude 34° Arabia, Bahrain, Comoros, Djibouti, Egypt, Bosnia and Herzegovina, France, Italy, The 09′ North, longitude 119° 11′ West). United Arab Emirates, Jordan, Kuwait, Former Yugoslav Republic of Macedonia, (e) In the State of Massachusetts within a Libyan Arab Jamahiriya, Morocco, Libyan Arab Jamahiriya, the United 160-kilometer (100-mile) radius around Mauritania, Oman, Qatar, Syrian Arab Kingdom, Slovenia and Serbia and locations at Otis Air Force Base, Republic, Sudan, Tunisia and Yemen, in the Montenegro, the band 14.25–14.3 GHz is also Massachusetts (latitude 41° 45′ North, maritime mobile-satellite service on a allocated to the fixed service on a primary longitude 70° 32′ West). secondary basis. Such use shall be in basis. (f) In the State of California within a 240- accordance with Resolution 902 (WRC–03). 5.508A In the band 14.25–14.3 GHz, the kilometer (150-mile) radius around locations * * * * * power flux-density produced on the territory at Beale Air Force Base, California (latitude ° ′ ° ′ 5.504A In the band 14–14.5 GHz, aircraft of the countries of Saudi Arabia, Botswana, 39 08 North, longitude 121 26 West). earth stations in the secondary aeronautical China, Coˆte d’Ivoire, Egypt, France, Guinea, (g) In the State of Alaska within a 160- mobile-satellite service may also India, Iran, Italy, Kuwait, Lesotho, Nigeria, kilometer (100-mile) radius of Clear, Alaska ° ′ ° ′ communicate with space stations in the Oman, Syrian Arab Republic, the United (latitude 64 17 North, longitude 149 10 fixed-satellite service. The provisions of Nos. Kingdom and Tunisia by any aircraft earth West). 5.29, 5.30 and 5.31 apply. station in the aeronautical mobile-satellite (h) In the State of North Dakota within a 5.504B Aircraft earth stations operating in service shall not exceed the limits given in 160-kilometer (100-mile) radius of Concrete, ° ′ the aeronautical mobile-satellite service in Annex 1, Part B of Recommendation ITU–R North Dakota (latitude 48 43 North, ° ′ the band 14–14.5 GHz shall comply with the M.1643, unless otherwise specifically agreed longitude 97 54 West). provisions of Annex 1, Part C of by the affected administration(s). The (i) In the States of Alabama, Georgia and Recommendation ITU–R M.1643, with provisions of this footnote in no way South Carolina within a 200-kilometer (124- respect to any radio astronomy station derogate the obligations of the aeronautical mile) radius of Warner Robins Air Force ° ′ performing observations in the 14.47–14.5 mobile-satellite service to operate as a Base, Georgia (latitude 32 38 North, ° ′ GHz band located on the territory of Spain, secondary service in accordance with No. longitude 83 35 West). France, India, Italy, the United Kingdom and 5.29. (j) In the State of Texas within a 200- South Africa. kilometer (124-mile) radius of Goodfellow * * * * * ° ′ 5.504C In the band 14–14.25 GHz, the Air Force Base, Texas (latitude 31 25 North, 5.509A In the band 14.3–14.5 GHz, the ° ′ power flux-density produced on the territory power flux-density produced on the territory longitude 100 24 West). of the countries of Saudi Arabia, Botswana, of the countries of Saudi Arabia, Botswana, * * * * * Coˆte d’Ivoire, Egypt, Guinea, India, Iran, Cameroon, China, Coˆte d’Ivoire, Egypt, US48 In the band 9000–9200 MHz, the Kuwait, Lesotho, Nigeria, Oman, Syrian Arab France, Gabon, Guinea, India, Iran, Italy, use of the radiolocation service by non- Republic and Tunisia by any aircraft earth Kuwait, Lesotho, Morocco, Nigeria, Oman, Federal Government licensees may be station in the aeronautical mobile-satellite Syrian Arab Republic, the United Kingdom, authorized on the condition that harmful service shall not exceed the limits given in Sri Lanka, Tunisia and Viet Nam by any interference is not caused to the aeronautical Annex 1, Part B of Recommendation ITU–R aircraft earth station in the aeronautical radionavigation service or to the Federal M.1643, unless otherwise specifically agreed mobile-satellite service shall not exceed the Government radiolocation service. by the affected administration(s). The limits given in Annex 1, Part B of * * * * * provisions of this footnote in no way Recommendation ITU–R M.1643, unless US78 In the mobile service, the derogate the obligations of the aeronautical otherwise specifically agreed by the affected frequencies between 1435 and 1525 MHz will mobile-satellite service to operate as a administration(s). The provisions of this be assigned for aeronautical telemetry and secondary service in accordance with No. footnote in no way derogate the obligations associated telecommand operations for flight 5.29. of the aeronautical mobile-satellite service to testing of manned or unmanned aircraft and 5.505 Additional allocation: in Algeria, operate as a secondary service in accordance missiles, or their major components. Angola, Saudi Arabia, Bahrain, Bangladesh, with No. 5.29. Permissible usage includes telemetry Botswana, Brunei Darussalam, Cameroon, * * * * * associated with launching and reentry into China, Congo, Korea (Rep. of), Egypt, the the Earth’s atmosphere as well as any United Arab Emirates, Gabon, Guatemala, United States (US) Footnotes incidental orbiting prior to reentry of manned Guinea, India, Indonesia, Iran (Islamic * * * * * objects undergoing flight tests. The following Republic of), Iraq, Israel, Japan, Jordan, US7 In the band 420–450 MHz and frequencies are shared with flight telemetry Kuwait, Lesotho, Lebanon, Malaysia, Mali, within the following areas, the peak envelope mobile stations: 1444.5, 1453.5, 1501.5, Morocco, Mauritania, Oman, Pakistan, the power output of a transmitter employed in 1515.5, and 1524.5 MHz. Philippines, Qatar, Syrian Arab Republic, the the amateur service shall not exceed 50 Dem. People’s Rep. of Korea, Singapore, watts, unless expressly authorized by the * * * * * Somalia, Sudan, Swaziland, Tanzania, Chad Commission after mutual agreement, on a US110 In the band 9200–9300 MHz, the and Yemen, the band 14–14.3 GHz is also case-by-case basis, between the Federal use of the radiolocation service by non- allocated to the fixed service on a primary Communications Commission Engineer in Federal Government licensees may be basis. Charge at the applicable district office and authorized on the condition that harmful * * * * * the military area frequency coordinator at the interference is not caused to the maritime 5.506A In the band 14–14.5 GHz, ship applicable military base. For areas (e) radionavigation service or to the Federal earth stations with an e.i.r.p. greater than 21 through (j), the appropriate military Government radiolocation service. dBW shall operate under the same conditions coordinator is located at Peterson AFB, CO. * * * * * as earth stations located on board vessels, as (a) The entire State of New Mexico and US217 In the band 420–450 MHz, pulse- provided in Resolution 902 (WRC–03). This Texas west of longitude 104° 00′ West; ranging radiolocation systems may be

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authorized for Federal and non-Federal observation stations (AWOS), automatic hundred most populous urbanized areas as Government use along the shorelines of the terminal information services (ATIS), flight defined by the 1990 U.S. Census. For the list contiguous 48 States and Alaska. In the Sub- information services-broadcast (FIS–B), and of observatories operating in this band see 47 band 420–435 MHz, spread spectrum airport control tower communications. CFR 2.106, footnote US355. radiolocation systems may be authorized for * * * * * US278 In the bands 22.55–23.55 GHz and Federal and non-Federal Government use US246 No station shall be authorized to 32.3–33 GHz, non-geostationary inter- within the contiguous 48 States and Alaska. transmit in the following bands: satellite links may operate on a secondary All stations operating in accordance with this basis to geostationary inter-satellite links. provision shall be secondary to stations 73–74.6 MHz, 608–614 MHz, except for medical telemetry * * * * * operating in accordance with the Table of 1 Frequency Allocations. Authorizations shall equipment, US303 In the band 2285–2290 MHz, non- be granted on a case-by-case basis; however, 1400–1427 MHz, Federal government space stations in the operations proposed to be located within the 1660.5–1668.4 MHz, space research, space operations and Earth following geographic areas should not expect 2690–2700 MHz, exploration-satellite services may be to be accommodated: 4990–5000 MHz, authorized to transmit to the Tracking and (a) The entire State of New Mexico and 10.68–10.7 GHz, Data Relay Satellite System subject to such Texas west of longitude 104° 00′ West; 15.35–15.4 GHz, conditions as may be applied on a case-by- (b) The entire State of Florida including the 23.6–24 GHz, case basis. Such transmissions shall not Key West area and the areas enclosed within 31.3–31.8 GHz, cause harmful interference to authorized a 322-kilometer (200-mile) radius of Patrick 50.2–50.4 GHz, Federal Government stations. The power flux Air Force Base, Florida (latitude 28° 21′ 52.6–54.25 GHz, density at the Earth’s surface from such non- North, longitude 80° 43′ West), and within a 86–92 GHz, Federal Government stations shall not exceed 322-kilometer (200-mile) radius of Eglin Air 100–102 GHz, –144 to –154 dBW/m2/4 kHz, depending on Force Base, Florida (latitude 30° 30′ North, 105–116 GHz, angle of arrival, in accordance with ITU longitude 86° 30′ West); 164–168 GHz, Radio Regulation 21.16. (c) The entire State of Arizona; 182–185 GHz, 217–231 GHz. * * * * * (d) Those portions of California and US310 In the band 14.896–15.121 GHz, ° ′ Nevada south of latitude 37 10 North, and * * * * * non-Federal Government space stations in the areas enclosed within a 322-kilometer US252 The bands 2110–2120 MHz and the space research service may be authorized (200-mile) radius of the Pacific Missile Test 7145–7190 MHz are also allocated for Earth- on a secondary basis to transmit to Tracking Center, Point Mugu, California (latitude 34° to-space transmissions in the space research ′ ° ′ and Data Relay Satellites subject to such 09 North, longitude 119 11 West). service, limited to deep space conditions as may be applied on a case-by- (e) In the State of Massachusetts within a communications at Goldstone, California. case basis. Such transmissions shall not 160-kilometer (100-mile) radius around * * * * * cause harmful interference to authorized locations at Otis Air Force Base, US258 In the band 8025–8400 MHz, the Federal Government stations. The power Massachusetts (latitude 41° 45′ North, Earth exploration-satellite service (space-to- flux-density produced by such non-Federal longitude 70° 32′ West). Earth) is allocated on a primary basis for non- Government stations at the Earth’s surface in (f) In the State of California within a 240- Federal Government use. Authorizations are any 4 kHz band for all conditions and kilometer (150-mile) radius around locations subject to a case-by-case electromagnetic at Beale Air Force Base, California (latitude methods of modulation shall not exceed: compatibility analysis. 39° 08′ North, longitude 121° 26′ West). ¥148 dB(W/m2) for 0°

1 in the band 608–614 MHz and shall be coordinated Medical telemetry equipment shall not cause under the requirements found in 47 CFR 95.1119. harmful interference to radio astronomy operations

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13360–13410 kHz, 14.47–14.5 GHz, 145.45–145.75 GHz, 25550–25670 kHz, 22.01–22.21 GHz, 146.82–147.12 GHz, 37.5–38.25 MHz, 22.21–22.5 GHz, 150–151 GHz, 322–328.6 MHz, 22.81–22.86 GHz, 174.42–175.02 GHz, 1330–1400 MHz, 23.07–23.12 GHz, 177–177.4 GHz, 1610.6–1613.8 MHz, 31.2–31.3 GHz, 178.2–178.6 GHz, 1660–1660.5 MHz, 36.43–36.5 GHz, 181–181.46 GHz, 1668.4–1670 MHz, 42.5–43.5 GHz, 186.2–186.6 GHz, 3260–3267 MHz, 48.94–49.04 GHz, 250–251 GHz, 3332–3339 MHz, 93.07–93.27 GHz, 257.5–258 GHz, 3345.8–3352.5 MHz, 97.88–98.08 GHz, 261–265 GHz, 4825–4835 MHz, 140.69–140.98 GHz, 262.24–262.76 GHz, 4950–4990 MHz, 144.68–144.98 GHz, 265–275 GHz 6650–6675.2 MHz,

are allocated, all practicable steps shall be 4.6 and Article 29 of the ITU Radio to commencing operations, shall coordinate taken to protect the radio astronomy service Regulations). with the following radio astronomy from harmful interference. Emissions from * * * * * observatories to achieve a mutually spaceborne or airborne stations can be US355 In the band 10.7–11.7 GHz, non- acceptable agreement regarding the particularly serious sources of interference to geostationary satellite orbit licensees in the protection of the radio telescope facilities the radio astronomy service (see Nos. 4.5 and fixed-satellite service (space-to-Earth), prior operating in the band 10.6–10.7 GHz:

West lon- North Elevation Observatory gitude latitude (in meters)

Arecibo Observatory ...... 66°45′11″ 18°20′46″ 496 Green Bank Telescope (GBT) ...... 79°50′24″ 38°25′59″ 825 Very Large Array (VLA) ...... 107°37′04″ 34°04′44″ 2126 Very Long Baseline Array (VLBA) Stations: Brewster, WA ...... 119°40′55″ 48°07′53″ 255 Fort Davis, TX ...... 103°56′39′ 30°38′06″ 1615 Hancock, NH ...... 71°59′12″ 42°56′01″ 309 Kitt Peak, AZ ...... 111°36′42″ 31°57′22″ 1916 Los Alamos, NM ...... 106°14′42″ 35°46′30″ 1967 Mauna Kea, HI ...... 155°27′29″ 19°48′16″ 3720 North Liberty, IA ...... 91°34′26″ 41°46′17″ 241 Owens Valley, CA ...... 118°16′34″ 37°13′54″ 1207 Pie Town, NM ...... 108°07′07″ 34°18′04″ 2371 St. Croix, VI ...... 64°35′03″ 17°45′31″ 16

* * * * * located in Puerto Rico, the U.S. Virgin interference to, nor claim protection from, US384 In the band 401–403 MHz, the Islands, and Navassa Island. military mobile radiolocation stations that non-Federal Government Earth exploration- * * * * * are engaged in critical national defense satellite (Earth-to-space) and meteorological- NG114 In the Gulf of Mexico offshore operations. satellite (Earth-to-space) services are limited from the Louisiana-Texas coast, the band to earth stations transmitting to Federal 476–494 MHz (TV channels 15, 16 and 17) PART 25—SATELLITE Government space stations. is allocated to the Public Mobile and Private COMMUNICATIONS US385 The band 1164–1215 MHz is also Land Mobile Radio Services in accordance allocated to the radionavigation-satellite with the regulations set forth in 47 C.F.R. ■ 4. The authority citation for part 25 service (space-to-Earth, space-to-space) on a parts 22 and 90, respectively. continues to read as follows: primary basis. In this band, stations in the * * * * * Authority: 47 U.S.C. 701–744. Interprets or radionavigation-satellite service shall not applies Sections 4, 301, 302, 303, 307, 309 Federal Government (G) Footnotes cause harmful interference to, nor claim and 332 of the Communications Act, as protection from, stations of the aeronautical * * * * * amended, 47 U.S.C. Sections 154, 301, 302, radionavigation service. G2 In the bands 216–225, 420–450 303, 307, 309 and 332, unless otherwise US386 In designing systems for the inter- (except as provided by US217 and G129), noted. satellite service in the band 32.3–33 GHz, for 890–902, 928–942, 1300–1400, 2310–2385, the radionavigation service in the band 32– 2417–2450, 2700–2900, 5650–5925 and ■ 5. Section 25.202(a)(3) is revised and 33 GHz, and for the space research service 9000–9200 MHz, the Federal Government paragraph 25.202(a)(4)(iii) is added to (deep space) (space-to-Earth) in the band radiolocation service is limited to the read as follows: 31.8–32.3 GHz, all necessary measures shall military services. be taken to prevent harmful interference * * * * * § 25.202 Frequencies, frequency tolerance between these services, bearing in mind the G129 Federal Government wind profilers and emission limitations. safety aspects of the radionavigation service. are authorized to operate on a primary basis (a) * * * * * * * * in the radiolocation service in the frequency (3) The following frequencies are band 448–450 MHz with an authorized Non-Federal Government (NG) Footnotes available for use by the non-voice, non- bandwidth of no more than 2 MHz centered geostationary mobile-satellite service: * * * * * on 449 MHz, subject to the following NG41 Frequencies in the bands 3700– conditions: (1) wind profiler locations must 137–138 MHz: Space-to-Earth 4200 MHz and 5925–6425 MHz, may also be be pre-coordinated with the military services 148–150.05 MHz: Earth-to-space assigned to stations in the international fixed to protect fixed military radars; and (2) wind 399.9–400.05 MHz: Earth-to-space public and international control services profiler operations shall not cause harmful 400.15–401 MHz: Space-to-Earth

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(4) * * * § 87.303 Frequencies. orbiting prior to reentry, of manned or (iii)(A) The following frequencies are * * * * * unmanned objects undergoing flight available for use by the L-band Mobile- tests. In the band 1435–1530 MHz, the (d)(1) Frequencies in the bands 1435– Satellite Service: following frequencies are shared with 1525 MHz and 2360–2385 MHz are flight telemetry mobile stations: 1444.5, 1525–1559 MHz: Space-to-Earth assigned primarily for telemetry and 1626.5–1660.5 MHz: Earth-to-space 1453.5, 1501.5, 1515.5, 1524.5, and telecommand operations associated 1525.5 MHz. In the band 2360–2390 (B) The use of the frequencies 1544– with the flight testing of manned or MHz, the following frequencies may be 1545 MHz and 1645.5–1646.5 MHz is unmanned aircraft and missiles, or their assigned on a co-equal basis for limited to distress and safety major components. The bands 2310– telemetry and associated telecommand communications. 2320 MHz and 2345–2360 MHz are also operations in fully operational or * * * * * available for these purposes on a expendable and re-usable launch secondary basis. Until January 1, 2007, PART 87—AVIATION SERVICES vehicles, whether or not such operations flight test operations in the band 2385– involve flight testing: 2364.5, 2370.5 2390 MHz may continue on a primary ■ 6. The authority citation for part 87 and 2382.5 MHz. In the band 2360–2390 basis within 160 km of the nine sites continues to read as follows: MHz, all other mobile telemetry uses are listed in 47 CFR 2.106, footnote US363. secondary to the above stated launch Authority: 47 U.S.C. 154, 303 and 307(e), Permissible uses of these bands include unless otherwise noted. vehicle uses. telemetry and telecommand ■ 7. Section 87.303 is amended by transmissions associated with the * * * * * revising paragraph (d)(1) to read as launching and reentry into the Earth’s [FR Doc. 03–31256 Filed 12–22–03; 8:45 am] follows: atmosphere, as well as any incidental BILLING CODE 6712–01–P

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Part IV

Securities and Exchange Commission 17 CFR Part 240 Processing Requirements for Cancelled Security Certificates; Final Rule

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SECURITIES AND EXCHANGE 12.2 The proposed rule and rule associated with cancelled securities COMMISSION amendments principally were designed certificates. to address problems associated with In particular, we address the problem 17 CFR Part 240 cancelled securities certificates. Rule that, until properly destroyed or 17Ad–19 as proposed would have disposed of, cancelled securities [Release No. 34–48931; File No. S7–18–00] required every transfer agent that certificates can resurface in the handles, processes, or stores securities RIN 3235–AH94 certificates to establish and implement marketplace and can be and have been written procedures for the cancellation, used to defraud members of the public Processing Requirements for storage, transportation, and destruction or financial institutions. Requiring Cancelled Security Certificates of retired securities certificates. The rule better procedures for processing and destroying cancelled certificates will AGENCY: Securities and Exchange would require transfer agents to: Mark reduce this potential for harm. Commission (‘‘Commission’’). each cancelled securities certificate with the word ‘‘cancelled;’’ maintain a secure ACTION: Final rule. C. Comment Letters storage area for cancelled certificates; SUMMARY: The Commission is revising maintain a retrievable database of all of The Commission received 13 its rules governing cancelled securities its cancelled and destroyed certificates; comment letters on the proposed rule certificates to improve the processing of and have specific procedures for the and proposed rule amendments.4 Ten securities certificates by transfer agents. destruction of cancelled certificates. commenters generally expressed The Commission is adopting a new rule Additionally, proposed amendments to support for proposed Rule 17Ad–19 and under the Securities Exchange Act of Rule 17f–1 (the lost and stolen securities the proposed amendments to Rules 17f– rule) would have: Required the tracking 1934 that will require every transfer 1 and 17Ad–12 and for the of securities certificates, cancelled or agent to establish and implement Commission’s efforts to address written procedures for the cancellation, otherwise, in transit between reporting institutions; established time frames for cancelled certificate fraud, and offered storage, transportation, destruction, or suggestions for modification or requests other disposition of securities making required ‘‘inquiries’’ about lost, stolen, missing, or counterfeit securities for clarification with respect to specific certificates. This rule will require provisions of the proposal. As discussed transfer agents to: Mark each cancelled under Rule17f–1; and defined certain terms for purposes of the rules. Finally, below, we have adopted some of the securities certificate with the word suggestions. The remaining three ‘‘cancelled’’; maintain a secure storage proposed amendments to Rule 17f–1 commenters addressed only the issue of area for cancelled certificates; maintain and Rule 17Ad–12 (the transfer agent certificate destruction, arguing that a retrievable database of all of its safekeeping rule) would have made cancelled, destroyed, or otherwise clear that unissued and cancelled because securities certificates are disposed of certificates; and have securities certificates must be culturally important due to their specific procedures for the destruction safeguarded under Rule 17Ad–12 and historical, aesthetic, and collectors’ of cancelled certificates. Additionally, that they fall within the Commission’s values, they should be preserved and Lost and Stolen Securities Program the Commission is amending its lost and not destroyed. We discuss these under Rule 17f–1. stolen securities rule and its transfer comments below. We are adopting the proposed new agent safekeeping rule to make it clear rule and rule amendments, with minor 4 The Commission received comment letters from that these rules apply to unissued and modifications as discussed below, cancelled certificates. five transfer agents, one broker-dealer, one bank, substantially as they were proposed. one business corporation, one trade group EFFECTIVE DATE: The amendments will Further, as discussed below, we have representing transfer agents, one trade group become effective on January 22, 2004. modified Rule 17Ad–19 from the representing investment companies, the president FOR FURTHER INFORMATION CONTACT: Jerry proposal in response to comments to of an organization representing collectors of securities certificates, a finance professor, and a W. Carpenter, Assistant Director, or address situations where cancelled group of business students at Florida State Thomas C. Etter, Jr., Special Counsel, at securities are ‘‘otherwise disposed of.’’ University. Letters from James J. Angel, Ph.D., George Washington University (October 19, 2000); (202) 942–0178, Division of Market B. The Commission’s Goals Regulation, Securities and Exchange Loren Hanson, Manager, Shareholder Relations, Commission, 450 Fifth Street, NW., The new rule and rule amendments Otter Tail Power Co. (October 24, 2000); Frank Hammelbacher, Norrico, Inc. (October 30, 2000); Washington, DC 20549–1001. promote several fundamental Commission goals: Improving the safety John E. Nolan, Senior Vice President, Raymond SUPPLEMENTARY INFORMATION: The James & Associates, Inc. (November 2, 2000); and efficiency in processing and Commission is today adopting new Rule Charles V. Rossi, Division President, EquiServe transferring securities; reducing or (December 4, 2000); Steven Turowski, Senior 17Ad–19 and adopting amendments to eliminating the physical movement of Regulatory Counsel, PFPC Inc. (December 4, 2000); existing Rules 17f–1, 17Ad–7, and securities certificates; and reducing the Kathleen C. Joaquin, Director, Transfer Agency & 17Ad–12. International Operations, Investment Company potential for fraudulent use of cancelled Institute (‘‘ICI’’) (December 5, 2000); Daniel M. Hill, 3 I. Introduction securities certificates. The rules Assistant Vice President, U.S. Bank Trust National primarily relate to problems and costs Association (December 6, 2000); John F. Kuntz, Vice A. The Proposal President and Assistant General Counsel, Chase- On October 2, 2000, the Commission 2 17 CFR 240.17f–1 and 240.17Ad–12; Securities Mellon Shareholder Services (December 14, 2000); published for comment a release Exchange Act Release No. 43401 (October 2, 2000), Keith G. Berkheimer, President, CTA (December 14, 2000); Robert A. Kerstein, President, (‘‘Proposing Release’’) that proposed 65 FR 59766 (October 6, 2000). 3 See, generally, Exchange Act Section 17A(a), 15 Scripophily.com (March 5, 2001); and Robert Rule 17Ad–19 under the Securities U.S.C. 78q–1(a); Section 17(f)(1), 15 U.S.C. 78q(f)(1); Serrano et al, business students at Florida State Exchange Act of 1934 (‘‘Exchange Securities Act Amendments of 1975, Senate Comm. University (dated November 29, 2000, received at Act’’) 1 and proposed amendments to on Banking, Housing & Urban Affairs, S. Rep. 94 to the Commission February 19, 2002). These Exchange Act Rules 17f–1 and 17Ad– accompany S.249, 58–59 (1975); Securities Industry comment letters are available for inspection and Study, H.R. Report of the Subcom. on Commerce & copying in the Commission’s Public Reference Finance, House Rep. No. 92–1519, pp. 68–70, 75– Room, 450 Fifth Street, NW., Washington, DC 1 15 U.S.C. 78a et seq. 76 (1972). 20549.

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II. Background worldwide. A number of banks and Other instances have involved bulk brokers as well as individuals were thefts of cancelled certificates from A. History defrauded through sales of the cancelled warehouses. In some cases, the records When a security certificate is retired, certificates for cash or through use of of the certificate numbers of the stored such as when a bond is redeemed or the cancelled certificates as loan certificates also were stolen because ownership of stock is transferred, the collateral. The bulk of these cancelled they were stored with the certificates. certificate is cancelled by the transfer certificates still remain unaccounted for Even in cases where certificate records agent. Cancellation normally involves and continue to resurface in the for stolen securities were available, they both an accounting entry on the books marketplace.8 generally were of limited value in of the transfer agent and an alteration of In a similar case in 1994, cancelled identifying the stolen securities because the certificate itself, though either by bonds with a face amount of the records were organized itself is an act of cancellation. After approximately $6 billion disappeared chronologically by cancellation dates cancellation of a registered certificate,5 after being delivered from a transfer rather than by certificate numbers. As a the Exchange Act’s record retention agent’s record center to two certificate result, the necessary information was rules for transfer agents require that the destruction vendors. The cancelled not easily retrievable from the records. certificate or appropriate record of the certificates, issued by well-known A common transfer agent practice certificate be retained for not less than companies, later began to resurface contributed to this widespread problem. six years.6 In recent years, many worldwide. Again, the bulk of these In physically cancelling certificates, corporate bond issues have been called cancelled certificates remain many transfer agents marked the for redemption and cancelled decades unaccounted for and continue to certificates only with pinhole-sized before their maturities.7 These bond resurface in the marketplace.9 perforations. These tiny perforations redemptions and an active stock market In another instance, a transfer agent’s were intended to indicate cancelled have generated vast amounts of shipping bags filled with cancelled status without defacing the certificates cancelled securities certificates that certificates were stolen while in and impairing their usefulness as must be processed, stored, and commercial air transit. The transfer records. The pinholes, which usually safeguarded. Certificate processing of agent regularly shipped cancelled show the cancellation date and the retired certificates can involve certificates from the West Coast to a initials of the transfer agent within a significant costs and risks. The New York bank for processing. The space about the size of a quarter, often following examples illustrate some of transfer agent, however, did not record have been barely noticeable. In some these risks. the contents of its shipments and, in cases, they have been mistaken for In a 1992 case, cancelled bond effect, relied on its New York bank notary or authentication markings. Even certificates with a face amount of processing agent to do its bookkeeping. more problematic has been the practice approximately $111 billion disappeared When the shipping bags were stolen, by some transfer agents of not marking after being delivered from a transfer neither the transfer agent nor its bank certificates at all to indicate that the agent’s warehouse to a certificate processing agent realized that the certificates have been cancelled. destruction vendor. The certificates, certificates were missing. A number of In many cases, the stolen certificates issued by many well-known public the certificates later resurfaced in off- have reentered the marketplace either companies, later began to resurface market transactions.10 through sales or as collateral for loans, resulting in substantial fraud on public 5 The term ‘‘registered’’ as used in 17 CFR 8 The Commission brought an action against this investors, public companies, creditors, 240.17Ad–6(c) with reference to cancelled transfer agent for its failure to report stolen certificates means certificates registered in the name certificates pursuant to Rule 17f–1, 17 CFR 240.17f– broker-dealers, and transfer agents. Not of an owner, as distinct from bearer certificates that 1, and for its failure to safeguard securities in its only do situations such as these present were in wide circulation when this rule was possession pursuant to Rule 17Ad–12, 17 CFR potential liability for the transfer agents promulgated in 1977. 240.17Ad–12. The transfer agent agreed to pay a responsible, but they consume the 6 17 CFR 240.17Ad–6(c) and 240.17Ad–7(d). See civil penalty of $750,000 and to cease and desist also 17 CFR 240.17Ad–7(f). It has been suggested from future violations of Sections 17(f)(1) and 17A resources of regulatory and criminal law that transfer agents should have the option to of the Exchange Act and Rules 17f–1 and 17Ad–12 enforcement agencies. destroy cancelled certificates shortly after thereunder. SEC v. Citibank, N.A., Civil Action No. As discussed below, the Commission cancellation. See comment letter from Steven 92–2833 (USDC, DC, 1992). See also Securities hopes that these unfortunate practices Turowski, Chief Regulatory Counsel, PFPC, Inc, Exchange Act Release No. 31612 (December 17, (December 4, 2000). While current practices are 1992). have been or are being eliminated by the changing and some transfer agents may want to 9 The Commission and the Comptroller of the transfer agents themselves through select alternative means, such as electronic imaging, Currency brought a joint action against this transfer improved trade practices. But without to satisfy the recordkeeping requirements for agent for its failure to report as stolen the cancelled standards and verification, there is no cancelled certificates, many transfer agents may certificates pursuant to Rule 17f–1 and its failure to prefer to satisfy these recordkeeping requirements safeguard securities in its possession pursuant to way to be certain. The new rule and rule by maintaining the physical certificates themselves. Rule 17Ad–12. The transfer agent agreed to pay a amendments address these practices Nevertheless, in the Proposing Release, we invited civil penalty of $100,000 and to cease and desist and will permit the Commission’s commenters to address this issue, and their from future violations of Sections 17(f)(1) and 17A examiners to verify compliance as a comments are summarized below. of the Exchange Act and Rules 17f–1 and 17Ad–12 We note that we have also proposed amendments thereunder. As remedial measures, the transfer routine part of their examination to Securities Exchange Act Rule 17Ad–7, 17 agent also agreed to mark cancelled certificates with schedules. CFR240.17Ad–7, which if adopted would make the word ‘‘cancelled’’ and to adopt other safeguards. clear that transfer agents may use certain alternative The Chase Manhattan Bank, Securities Exchange B. The Commission’s Authority means to store cancelled securities certificates Act Release No. 34784 (October 4, 1994). Sections 17(f) and 17A of the provided that the certificates are electronically 10 The Commission and the Office of the stored in conformity with the terms of Rule 17Ad– Comptroller of the Currency brought a joint action Exchange Act provide the Commission 7. Because these electronic records satisfy the against this transfer agent for violation of Section with authority and responsibility to recordkeeping obligations, the paper certificates 17(f)(1) of the Exchange Act and Rule 17f–1 protect investors and securities industry would not be required to be kept by Rule 17Ad– thereunder for failure to report the missing participants from the dangers associated 7. Securities Exchange Act Release No. 48036 (June securities to the Commission’s Lost and Stolen 16, 2003), 68 FR 36951. Securities Program. The transfer agent agreed to pay with the fraudulent use of cancelled 7 Among the reasons for these bond redemptions a $75,000 civil penalty and to cease and desist from has been the decline in long-term interest rates any further violations of Section 17(f)(1) and Rule Securities Exchange Act Release No. 34293 (July 1, since the early 1980s. 17f–1 thereunder. Seattle-First National Bank, 1994).

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certificates.11 Section 17(f)(1), in fact, is procedures for the cancellation, storage, minor changes have been made to designed to curtail the profitability of transportation, destruction, or other paragraphs (a)(2) and (a)(4) for and the unlawful trafficking in lost and disposition of securities certificates. At clarification and specificity. Rule 17Ad– stolen securities certificates.12 Section a minimum, the written procedures 19 also includes procedures for the 17(a)(3) of the Act expressly provides must provide: (1) For controlled access Commission to provide conditional or the Commission with rulemaking to any cancelled certificate facility; (2) unconditional exemptions from any of authority over transfer agent that the transfer agent clearly apply to these provisions of the rule in recordkeeping matters.13 In Section the face of each cancelled certificate the appropriate cases upon written request 17A(a), Congress directs the word ‘‘cancelled’’ unless the transfer or upon its own motion. A related Commission to carry out certain agent’s procedures will cause the amendment to Rule 17Ad–7(i) requires objectives including the safeguarding of certificate to be destroyed in accordance transfer agents to maintain records to securities and funds that are related to with other Commission rules within demonstrate compliance with the securities transfers and the elimination three business days of its cancellation; requirements of Rule 17Ad–19 for not of inefficient securities processing that (3) that the transfer agent keep a readily less than three years, the first year in an imposes unnecessary costs on retrievable record of each cancelled easily accessible place.19 investors.14 The Commission has broad certificate with identifying data 2. Comment Letters discretion in carrying out these consisting of CUSIP number, certificate mandates.15 We believe that most number including prefix or suffix, Many comments received in reply to situations where cancelled securities denomination, registration, issue date, the Proposing Release addressed certificates resurfaced in the and cancellation date; (4) that the particular aspects of proposed Rule marketplace have resulted from a lack of 17Ad–19. transportation of cancelled certificates 20 good internal control systems for the be made in a secure manner with a Three commenters, objected to the proposed requirement that certificates processing, storage, transportation, or record of the certificates in transit kept must be ‘‘cancelled’’ unless existing destruction of the certificates. The rules separately; (5) that the transfer agent procedures would cause their that we adopt today are intended to keep a readily retrievable record of each destruction ‘‘within 72 hours of their provide for more efficient and secure destroyed certificate or certificate cancellation.’’ They each recommended certificate processing, particularly of otherwise disposed of;18 and (6) that that ‘‘72 hours’’ be changed to ‘‘three cancelled certificates. authorized personnel of the transfer business days’’ to avoid problems with agent, supervise, witness and document III. Final Rules weekends and holidays. We agreed that the destruction of certificates. this change would achieve our goal, A. Rule 17Ad–19: Processing of We are modifying proposed Rule Cancelled Certificates while avoiding problems with weekends 17Ad–19 to require that transfer agents and holidays and, therefore, we made Currently, the processing of cancelled maintain records not only of the this modification. certificates is largely governed by certificates that they or their agents ChaseMellon asked for clarification industry practices. For example, in destroy but also of those certificates that whether the provision in the rule 1994, the Securities Transfer they dispose of by any other means and concerning certificates in transit would Association (‘‘STA’’), the largest transfer which may, for example, become the apply to shipments between a transfer 16 agent trade association, adopted property of collectors or dealers in agent’s own offices and affiliates or only guidelines for its members which, collectibles. In this regard, we note that to shipments between unaffiliated among other things, called for marking cancelled certificates, after a period in reporting institutions, vendors, and cancelled certificates with the word transfer agent storage, are generally others. The transportation provision of ‘‘cancelled’’ and for greater security destroyed by the transfer agent or the rule is intended to apply only to measures in certificate storage and destroyed by some other party acting at 17 shipments between a reporting destruction. However, these the direction of the transfer agent or the institution and unaffiliated parties. We guidelines are not mandatory, and not issuer. However, a small amount of have modified the rule to reflect this all transfer agents follow them. cancelled certificates may find their way point.21 Therefore, because cancellation is the from transfer agents to collectors or ChaseMellon asked whether having critical first step in the processing of perhaps to other places currently written procedures that are consistent retired securities certificates, we believe unknown to us. Accordingly, to make with STA’s recommended guidelines that rulemaking is necessary to the rule as complete as possible, we are would constitute compliance with Rule strengthen and standardize this process. inserting in paragraph (b) the words ‘‘or 17Ad–19. Because some requirements of 1. Discussion of Text other disposition’’ into the phrase Rule 17Ad–19 may differ from those of ‘‘destruction of securities certificates.’’ the STA’s guidelines, transfer agents Rule 17Ad–19 requires each transfer The term ‘‘otherwise disposed of’’ agent to have and implement written must be sure they are in compliance requires that a record be maintained of with the requirements of Rule 17Ad–19. how (as by sale or gift) and to whom 11 ChaseMellon also requested clarification 15 U.S.C. 78q(f) and 78q–1. (with name and address) the certificates 12 Section 17(f)(1), 15 U.S.C. 78q(f)(1). whether the records required by Rule 13 15 U.S.C. 78q(a)(3). were disposed of and the date of 14 15 U.S.C. 78q–1(a). See Securities Acts disposition. In the text of Rule 17Ad–19, 19 17 CFR 240.17Ad–7(i). Amendments of 1975, Comm. on Banking, Housing 20 EquiServe, ICI, and PFPC, Inc. PFPC, Inc. is a and Urban Affairs, Sen. Rep. No. 75 to Accompany 18 Required certificate detail is: CUSIP number, member of the PFPC Financial Services Group, Inc. S.249, 56–58 (1975). certificate number including prefix or suffix, 21 This provision is intended to address 15 ‘‘The Commission is empowered with broad denomination, registration, issue date, and shipments between unaffiliated financial rulemaking authority over all aspects of a transfer cancellation date. See 17 CFR 240.17Ad–9(a) and institutions. We believe that less risk of this type agent’s activities as a transfer agent.’’ Id. at 57. 240.17f–1(c)(6). The term ‘‘certificate otherwise of loss exists in intrafirm shipments where the same 16 STA has over 400 members, the majority of disposed of’’ is intended to include the small firm controls both the sending and receiving offices. whom are registered transfer agents. For STA’s Web minority of certificates that are not destroyed by We note, however, that a transfer agent’s general site, see www.stai.org. transfer agents or other agents and may, for obligation to safeguard funds and securities applies 17 Rules of the STA, Section 1.26 (Recommended example, become the property of collectors or of to intrafirm shipments. See Exchange Act Rule Procedures for Cancelled Securities). dealers in collectibles. 17Ad–12, 15 CFR 240.17Ad–12.

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17Ad–19 for cancelled certificates or counterfeit. Operationally, the 2. Rule 17f–1 ‘‘Requirements for require retrievable information both for Program has two essential parts: Reporting and Inquiry With Respect to certificates that are (1) cancelled but not ‘‘reports’’ and ‘‘inquiries.’’ Most Missing, Lost, Counterfeit or Stolen destroyed and (2) cancelled and financial institutions (including Securities’’ destroyed. The rule requires that the exchanges, banks, brokers, clearing a. ‘‘Securities Certificate’’. We have applicable information be kept for both agencies, and transfer agents), which amended Rule 17f–1 by adding types of cancelled certificates. Rule 17f–1 designates ‘‘reporting subparagraph (a)(6), which defines ChaseMellon asked whether institutions,’’24 are required to report ‘‘securities certificate’’ to clarify that the maintaining cancelled certificate data any certificates that they discover to be scope of Rule 17f–1 covers the life span based solely on cancellation dates lost, stolen, missing, or counterfeit.25 of a certificate from the time it is printed would be adequate under Rule 17Ad– These institutions also must inquire of until the time it is destroyed. 19. Cancellation date recordkeeping has the Program about any securities Accordingly, the rule covers: (1) led to identification problems in the certificate valued at more than $10,000 Certificates that have been printed but past when cancelled certificates were that comes into their ‘‘possession or not issued; (2) certificates that have lost or stolen. Data organized by keeping.’’26 These financial institutions been issued and remain outstanding; (3) cancellation date, rather than by CUSIP certificates that have been issued and and certificate number, has proved to be also may voluntarily report or inquire about other certificates.27 reacquired by the issuer; and (4) of little value when there is a need for certificates that have been cancelled.30 It prompt identification of lost, missing, or The Program is operated by the likewise includes certificates that are stolen certificates. It is important that Securities Information Center (‘‘SIC’’) as counterfeit or reasonably believed to be CUSIP numbers and certificate numbers the Commission’s designee pursuant to counterfeit. As discussed below, we also are readily available for the prompt a contract. SIC receives all reports and have incorporated this definition of reporting of lost, missing, or stolen inquiries, responds to inquiries, and ‘‘securities certificate’’ into Rules 17Ad– certificates to the Lost and Stolen maintains the Program’s database. As of 12(b) and 17Ad–19(a)(8).31 Securities Program and for the prompt December 31, 2002, the Program’s We received several comments on this alerting of law enforcement authorities database reflected securities with a proposal. ICI and Otter Tail requested and other financial institutions. value of approximately $672 billion. clarification of the term ‘‘printed but not Accordingly, this requirement is There were 26,011 reporting issued.’’ Specifically, they asked what contained in Rule 17Ad–19. institutions.28 During the year 2002, identifying information must be ICI asked whether the new reports were made on 926,475 included on certificates to qualify such recordkeeping provisions applicable to certificates (an average of 3,676 certificates for reporting to LSSP. Under cancelled certificates would apply certificates per business day); inquiries Rule 17f–1, as amended, a securities retroactively (i.e., apply to certificates were made on 5,231,310 certificates (an certificate is ‘‘printed but not issued’’ previously cancelled), in which case ICI average of 20,759 certificates per when it sets forth: The name of the suggested the provisions would be issuer, the CUSIP number, the certificate burdensome on transfer agents. The new business day); and matches or ‘‘hits’’ resulting from inquiries occurred on number, and the authenticating recordkeeping provisions will apply signatures of the issuer. Therefore, a 224,338 certificates, which had a value only prospectively, becoming effective securities certificate to be considered of approximately $36.5 billion.29 The sixty days after the date of adoption of ‘‘printed but not issued’’ does not have hits essentially warned the inquirers the rule. to set forth: the name of the registrant, that the certificates had been reported as the number of units, or the B. Rule 17f–1: Lost and Stolen Securities lost, stolen, missing, or counterfeit and Program countersignature of the transfer agent. were not eligible for transfer. U.S. Bank asked whether the 1. Background of Lost and Stolen proposed definition of ‘‘securities Securities Program certificate’’ would include both registered and bearer certificates, noting Section 17(f)(1) of the Exchange Act 24 The term ‘‘reporting institution’’ is defined in requires the Commission to operate a 17 CFR 240.17f–1(a)(1). that including bearers and their coupons Lost and Stolen Securities Program 25 17 CFR 240.17f–1(c) and (d). would be burdensome on transfer (‘‘LSSP’’ or ‘‘Program’’).22 Congress 26 17 CFR 240.17f–1(d)(iv). The rule’s inquiry agents. U.S. Bank suggested that if directed the establishment of the requirement applies to any securities certificate coupons are to be included, they should Program in 1975 to curtail trafficking in received as part of a transaction whose aggregate be subject to cancellation practices at lost, stolen, missing, and counterfeit value (face value in the case of debt or market value the transfer agent’s discretion which securities certificates.23 Rule 17f–1 in the case of stocks) exceeds $10,000. Required could include such methods as ‘‘hole inquiries under existing Rule 17f–1(d) would not be under the Exchange Act governs LSSP punching’’ of coupons as an acceptable changed by the amendment. means of cancellation. In the rule as operations. The Program consists 27 E.g., inquiries on securities certificates valued mainly of a database for securities that at less than $10,000. 17 CFR 17f–1(e). amended, the definition of ‘‘securities have been reported lost, stolen, missing, 28 Reporting instructions were comprised of certificate’’ in subparagraph (a)(6) of 13,948 banks, 11,116 securities organizations, and Rule 17f–1 includes both registered and 22 17 U.S.C. 78q(f)(1). 947 non-bank transfer agents. ‘‘Securities bearer certificates. Although processing 23 See Lost and Stolen Securities Program, organizations’’ are: (1) National securities bearer certificates may in some ways be Hearings before the Permanent Subcommittee on exchanges, (2) national securities exchange more onerous to transfer agents than Investigations of the Senate Committee on members, (3) national securities exchange member processing registered certificates, we do Government Operations, 93d Cong., 1st Sess. firms, (4) registered securities associations, (5) (1973), 2d Sess. (1974). S.249, which became the registered securities association members, (6) Securities Acts Amendments of 1975, was amended 30 For purposes of market value under the inquiry securities brokers, (7) securities dealers, and (8) on the floor of the Senate to add legislation requirements of Rule 17f–1(d), the cancelled concerning lost, stolen, missing, and counterfeit municipal securities dealers. certificates would be given the market value of securities. 121 Cong. Rec. 6186 (April 17, 1975). See 29 Securities Information Center, ‘‘Annual ‘‘live’’ securities of the same issue. also Conference Report to Accompany S.249, 94th Statistics for the Period January 1, 2002, through 31 17 CFR 240.17Ad–12(b) and 240.17Ad– Cong., 1st Sess. 103–104 (1975). December 31, 2002.’’ 19(a)(8).

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not believe that bearer certificates can especially where arson is found, there is it specifies no time frames for making reasonably be excluded from a a risk that some of the certificates may the inquiries.38 definition of securities certificates. We not have been destroyed and may When Rule 17f–1 was adopted in note, too, that any burden caused by resurface in the marketplace. 1976, requirements for making inquiries bearer certificates is diminishing year- We are amending Rule 17f–1(a)(7), as were intended to accommodate business by-year due to the Tax Equity and Fiscal proposed, to define the term ‘‘missing’’ practices and to avoid commercial Responsibility Act of 1982, which for purposes of Rule 17f–1 as any disruptions.39 The time frames for essentially eliminated the issuance of certificate that: (1) Cannot be located but making inquiries were left to the bearer certificates.32 which is not believed to be lost or stolen business judgment of inquiring Moreover, the definition of ‘‘securities or (2) the transfer agent believes was companies.40 Since then, business certificate’’ of Rule 17f–1(a)(6) does not destroyed but was not destroyed conditions have changed substantially, contemplate bond coupons, which are according to the certificate destruction in large part due to improvements in expressly exempted from the reporting procedures required by Rule 17Ad–19. automation and communications. and inquiry provisions of Rule 17f–1 by We received no comments on this Inquiries to LSSP by financial its subparagraph (f)(2). We note, proposal. institutions have become quite routine however, that while, due to the As a result, it will be clear that and automated. In addition, the lack of exemption, coupons are not securities reporting institutions are required to any time limit for making required certificates or reportable within the report the above-described types of inquiries has made compliance with the meaning of Rule 17f–1, they are not missing certificates to LSSP. Then, if rule difficult to monitor, and it has exempted from Rule 17Ad–12 and, such certificates later resurface, there produced judicial comment.41 No accordingly, they do come within the will be a high degree of likelihood that public comment was received in ‘‘funds and securities’’ safeguarding they will be promptly identified and response to our Proposing Release provisions of Rule 17Ad–12(a). In any interdicted through LSSP. concerning the time frames for case, Rule 17Ad–19 does not establish inquiries. specific cancellation practices for 3. LSSP Reports of Cancelled coupons. We believe that it is Certificates Accordingly, we are adding appropriate for coupon cancellation to The Commission has brought subparagraph (d)(3), as proposed, to be governed by accepted, reasonable enforcement actions for violations of Rule 17f–1 which provides that industry practices at this time. Rule 17f–1 where cancelled securities inquiries must be made by the end of b. ‘‘Missing’’ Securities Certificates. certificates that were lost or stolen were the fifth business day after a certificate comes into the ‘‘possession or keeping’’ The term ‘‘missing’’ is used in Section not reported to LSSP.35 Nevertheless, of a reporting institution.42 17(f)(1) of the Exchange Act and in Rule there appears to be some uncertainty The 17f–1 thereunder, but until now it was about whether this rule applies to amendment also provides that inquiries 33 shall be made before the certificate is not defined. The term generally has cancelled certificates.36 We believe sold, used as collateral, or sent to been used to describe certificates that clarification would be useful. cannot be located, such as certificates We believe that cancelled certificates another reporting institution if that are not found during a count or are within the meaning and purpose of audit, but that are thought to be misfiled Rule 17f–1. Like counterfeit certificates, 38 See Section III.B.1 above for description of inquiries. rather than lost or stolen. cancelled certificates have no There are other circumstances, 39 When enacting the underlying statute, Congress investment value, but they can be used stated that the Commission should carefully weigh however, where a transfer agent does to defraud.37 The inclusion of the the benefits of mandating inquiries against the costs not have possession of a certificate definition of ‘‘securities certificate’’ in and effects on efficient business practices. though it believes, but cannot be certain, Rule 17f–1(a)(6) as discussed above Conference Report on S. 249, Securities Acts that it knows what happened to the Amendments of 1975, 94th Cong., 1st Sess. 104 clarifies that cancelled certificates are (1975). In 1976, the Commission observed that the certificate, i.e., that it was destroyed. reportable to LSSP. system for inquiries should avoid undue Some would claim that such a disruptions to commercial transactions and chose certificate is not ‘‘missing’’ but is more 4. LSSP Inquiries not to set time limits for inquiries. Securities accurately described as ‘‘destroyed,’’ In Rule 17f–1, paragraph (c) governs Exchange Act Release No. 12030 (January 20, 1976), and that accordingly a reporting 41 FR 04834. reports and paragraph (d) governs 40 In 1979, when the Commission asked for institution is not required to report the inquiries about lost, stolen, missing, and comments from the industry, reporting institutions certificate under Rule 17f–1 as being counterfeit securities. While the rule said they favored a policy of leaving to their own missing, lost, or stolen. For example, if specifies time frames for making reports, business judgment the time frames for valuing and cancelled certificates are stored by a inquiring of LSSP about securities that came into their possession. The Commission accepted that transfer agent in a warehouse that is destroyed a large number of cancelled securities position. See ‘‘Inquiry Time Frames,’’ Securities destroyed by a fire, the transfer agent certificates held in storage by a transfer agent. See Exchange Act Release No. 15683 (March 29, 1979), may reasonably believe but cannot be ‘‘A Burning Question: How Safe Are Your Records,’’ 44 FR 20614. certain (i.e., to the point of providing a Business Week, June 23, 1997, at page 130E4. 41 The Seventh Circuit Court of Appeals observed 35 Supra notes 8, 9 and 10. that the addition of a precise time frame for making guarantee) that all the stored certificates 36 34 For example, one court has found that because required inquiries would improve the operation of were destroyed. In such a situation, ‘‘cancelled securities’’ were not expressly included the rule. First National Bank of Cicero v. Lewco in Rule 17f–1, they were not subject to the reporting Securities Corp., 860 F.2d 1407, 1416, n.14 (7th Cir. 32 Pub.L. 97–248 (September 9, 1982), 26 U.S.C. requirements of that rule. A.G. Edwards & Sons, Inc. 1988). The court also said that whether an 309 et seq. While not prohibiting bearer securities, v. Centocor, Inc., Civil Action No. 91–6133 (E.D. institution meets the test of ‘‘good faith’’ required TEFRA imposes financial disadvantages on both PA, 1992). for bona fide purchaser status with respect to their issuers and their holders. See, e.g., 26 U.S.C. 37 In United States v. Jackson, 576 F.2d. 749, 757 securities certificates may depend on whether it has 6049. (8th Cir. 1978), the court recognized that stolen met the inquiry requirements of Rule 17f–1. Id. at 33 While parallel terms (lost, stolen, and blank stock certificates have no intrinsic value as 1413–1415. See also Yadley and Ilkson, ‘‘Bona Fide counterfeit) also are not defined by the statute or investments but that they have a ‘‘thieves’ market Purchasers of Lost and Stolen Securities: Meeting the rule, we believe that their meanings are clear value’’ as demonstrated by an FBI undercover the ‘Good Faith’ and ‘Notice’ Requirements,’’ 5 from the context. operation, which was part of the case, where the George Mason U.L. Rev. 101, 127–133 (1982). 34 On March 9, 1997, a major warehouse fire, certificates were purchased at 40% of their apparent 42 The term ‘‘reporting institution’’ is defined in believed to have been caused by arson, apparently market value. 17 CFR 240.17f–1(a)(1).

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occurring sooner than the end of the suggests, the coverage of the rule certificates.’’ We requested comment on fifth business day. proposal could be limited to retired whether the proposal should apply to certificates. all registered transfer agents 5. Securities Shipments We agree with EquiServe’s reasoning (approximately 900) or only to the We proposed to add to Rule 17f– on this matter. The proposed rule approximately 800 registered transfer 1(c)(2)(ii) a requirement that transfer appears unnecessary for live certificates, agents that maintain securityholder agents track shipments of securities which generally are carefully records for one or more securities issues certificates, including cancelled safeguarded by the securities industry and are directly involved with the certificates, between reporting and where the rule would impose keeping, handling, or processing of institutions. When such a shipment higher expenses due to the small securities certificates. Excluded from becomes unaccounted for (for example, shipments usually involved.45 But we the larger group would be ‘‘named when the delivering institution fails to believe the proposal is necessary with transfer agents’’ (transfer agents that receive notice of receipt of the respect to retired certificates where contract their transfer agent functions to shipment), the delivering institution there is less financial incentive for the transfer agent ‘‘service Companies’’) and would be required to investigate to industry to safeguard the certificates transfer agents that conduct a specialty determine the facts. If the certificates and where shipments tend to be fewer business not involving securities cannot be located, under the proposed and in bulk amounts so that the tracking certificates.48 We received two amendment, the delivering institution expenses per certificate would be less. comments. would be required to report to LSSP that Accordingly, the proposed rule has been CTA recommended that proposed the certificates are missing, stolen, or modified to apply only to shipments Rule 17Ad–19 apply only to the transfer lost within a reasonable time not containing retired certificates. agents that maintain securityholder exceeding ten business days after the records, with an exception for issuers C. Rule 17Ad–12: Safeguarding of Funds shipment was sent. registered as transfer agents that act only and Securities We received five comments on this for their own issues (‘‘issuer-only proposal.43 The commenters said that Rule 17Ad–12 governs the transfer agents’’) with average monthly the proposed time frame of ten business safekeeping of funds and securities by volumes of 100 transfer items or less. days was too short a period for transfer transfer agents. Secondly, Otter Tail, an issuer-only agents to verify the non-delivery, to It requires that securities be handled transfer agent, said it averages only 30 investigate the cause, and to report such in a manner that is reasonably free from certificates per month and that matters to LSSP. Alternative suggestions the risk of destruction, theft, or other maintaining retrievable records and were 15, 20, and 30 business days. In loss. We proposed an amendment to witnessing the destruction of certificates response to these suggestions, and upon Rule 17Ad–12 to make clear that would require more staff and equipment consideration of the time we believe is cancelled certificates come within the and would be unduly expensive. reasonably needed to verify and meaning and purpose of Rule 17Ad– As Rule 17Ad–19 is written, it is investigate such non-deliveries, we have 12.46 As we observed earlier, a cancelled applicable only to transfer agents that increased the time frame to 20 business certificate has no intrinsic value but, are involved in the handling, days. like a counterfeit certificate, it can be processing, or storage of securities EquiServe also commented that used to defraud. Accordingly, we have certificates.49 Therefore, a number of inasmuch as the overall purpose of the amended Rule 17Ad–12 as proposed to transfer agents, such as named transfer rule package is to address problems provide that the term ‘‘securities’’ used agents, are not subject to the provisions with retired or cancelled certificates, the in that rule will have the same meaning of Rule 17Ad–19, which includes the securities shipment proposal in as the term ‘‘securities certificate’’ requirement to prepare written question should not apply to ‘‘live’’ defined in Rule 17f–1. As such, procedures. Nevertheless, a transfer certificates.44 EquiServe noted that, as cancelled certificates will be expressly agent that outsources its transfer agent proposed, the rule would appear to included in the coverage of Rule 17Ad– work, which consists of handling, apply to all shipments of securities 12, and transfer agents will be processing, or storage of securities certificates, both live certificates and responsible for safeguarding cancelled certificates, to another transfer agent 47 retired certificates, but it noted that live certificates under their control. (i.e., a service company transfer agent) is certificates tend to be shipped (1) in D. Other Comments legally responsible for ensuring that the small amounts and perhaps only as provisions of Rule 17Ad–19 are Discussed below are other comments single certificates and (2) in protected followed with respect to the securities we received in response to the ways, such as by certified mail, that for which it is the named transfer agent. Proposing Release. reflect their asset value. It also Therefore, both named transfer agents commented that it would be expensive 1. Exceptions for Certain Transfer and service company transfer agents for transfer agents to monitor the receipt Agents have responsibilities for complying with of each such small mailing. EquiServe Paragraph (b) of proposed Rule 17Ad– Rule 17Ad–19. Regarding the provisions stated that retired certificates, however, 19 would have applied only to those of Rule 17Ad–19 dealing with the tend to be shipped in bulk, and since transfer agents involved in the ‘‘keeping, recordkeeping of the destruction of they have no investment value there is handling, or processing of securities retired securities certificates, we do not less economic incentive to record and believe that these requirements become track such certificates. Thus, EquiServe 45 See Rule 17Ad–12, 17 CFR 240.17Ad–12. burdensome simply because the number 46 We have brought enforcement actions for 43 The five commenters were: CTA, EquiServe, violations of Rule 17Ad–12 that involved cancelled 48 For the definitions of ‘‘named transfer agent’’ ICI, PFPC, Inc., and U.S. Bank. securities certificates. See, e.g., SEC v. Citibank, and ‘‘service company’’ refer to 17 CFR 240.17Ad– 44 We are using the term ‘‘retired certificate’’ in N.A., supra at note 8. 9(j) and (k). a slightly broader sense that the term ‘‘cancelled 47 The only comment received concerning Rule 49 The new language of ‘‘handling, processing, or certificate.’’ A certificate is ‘‘retired’’ at the time it 17Ad–12 concerned the new definition of storage of securities certificates’’ more appropriately is taken out of circulation, often by transfer or ‘‘securities certificate’’ of Rule 17f1–(a)(6), which is describes the procedure in question than the redemption, regardless of whether it has yet been being incorporated by reference into Rule 17Ad–12. previously proposed language of ‘‘keeping, cancelled. See Section III.B.2.a above. handling, and processing of securities certificates.’’

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of certificates being destroyed is small. maintain for the purpose of identifying placed on a certificate. EquiServe Even a small transfer agent, for example, securities certificates. CTA noted that questioned the Commission’s criticism can designate a person to destroy instead of CUSIP numbers some transfer in the Proposing Release of the use of certificates under specific procedures. agents may prefer to use, for example, pin-hole sized perforation markings, We also believe that these limited issuer identification numbers. We which were previously used to indicate burdens are justified by the rule’s value believe, however, that the use of CUSIP cancelled status, and asked ‘‘the what as an antifraud measure. We do not numbers, which is currently the most type of perforation’’ would be deemed think it is prudent, with recordkeeping widely-used securities issue sufficient.53 At least for the present, we rules that are linked to antifraud rules, identification system, provides for are leaving to securities industry to establish different standards based on uniformity and that it substantially aids practices,54 rather than to Commission the number of certificates processed, the the Commission, LSSP, and law action, the details of size of the word number of transfers made, or the enforcement programs. We also note ‘‘cancelled’’ and how it should be number of issuers serviced. We believe that since 1979, Rule 17f–1(c)(6) has marked on securities certificates (e.g., by that the requirements of Rule 17Ad–19 expressly required the inclusion of stamp or by perforation). For the are appropriate for all transfer agents CUSIP numbers for purposes of present, we believe it is sufficient to that process certificates, regardless of securities certificate identification when state that the term ‘‘cancelled’’ should their size or volume. making a report to LSSP. be ‘‘clear and conspicuous.’’ But if it should appear at a later time that further 4. Consideration of Additional 2. Cancelled-in-Error Notations rulemaking or interpretations are Reporting Obligations We requested comments in the necessary or appropriate to clarify these Proposing Release on whether we Raymond James & Associates matters, we will provide them. should prohibit the use of ‘‘cancelled- recommended that Rule 17f–1 be 6. Maintaining Certificates as Collectors’ in-error’’ notations,50 as some members amended to include the additional Items of the securities industry previously had reporting category of escheated suggested. PFPC Inc. commented that securities (in addition to lost, stolen, The Proposing Release requested such notations should be permitted missing, and counterfeit securities). The comments on whether the Commission provided they are used with a medallion commenter also recommended that the should mandate the destruction of signature guarantee.51 PFPC Inc. reporting time frames under paragraph cancelled certificates within thirty days observed that cancelled-in-error (c) of Rule 17f–1 be shortened. of their cancellation. Three commenters, notations can be useful when a We note that Section 17(f)(1) a finance professor, a non-public certificate is mistakenly cancelled, expressly addresses only lost, stolen, corporation, and the president of a especially when quick processing is missing, and counterfeit securities. securities certificate collectors’ essential or where resubmission is From time to time, we have received organization, 55 argued against impossible because the endorsing party recommendations to add to the destroying old securities certificates has died or is otherwise unable to act. reporting categories of Rule 17f–1, because of their importance to financial U.S. Bank, however, recommended that including among others: Securities history, their aesthetic merits, and their transfer agents be prohibited from using certificates that have escheated, have value to collectors in a field known as cancelled-in-error stamps for registered been called for redemption, are scripophily. certificates but be permitted to use them restricted, are the subject of litigation, or We are sensitive to these interests. We for bearer certificates, especially bearer whose issuers are in bankruptcy. The believe that the adoption of sound bonds with coupons attached, because subject of adding reporting categories to such certificates are not usually Rule 17f–1 has been studied 53 The cancellation pinholes, as used by some periodically by securities industry major transfer agents, usually spelled out a available in transfer agents’ inventories. certificate’s cancellation date and the transfer Inasmuch as these comment letters have groups, but no clear consensus has agent’s initials in a small circle. Such markings specified uses for the practice that were developed concerning either the scope were intended to indicate that the certificates no not previously identified, the of or the support for such a rule longer had value as a security while preserving the proposal. Therefore, at this time we are certificates’ form as a record. Except for the small Commission has decided not to adopt circle of pinholes, the certificates usually appeared any rule amendments with respect to not expanding the number of reporting entirely presentable. The pinholes, however, often prohibiting the use of ‘‘cancelled-in- categories. However, there is nothing to were not noticed by subsequent recipients of the error’’ notations until there is further prevent voluntary reporting of more certificates and, if noticed, their meaning was not necessarily clear. study of the matter. categories if individual reporting companies choose to do so.52 Regarding 54 Some transfer agents have advised that they 3. Data Retention currently are stamping or perforating certificates the recommendation to shorten the with an abbreviation of the word ‘‘cancelled.’’ This CTA and PFPC Inc. commented that reporting time frames in paragraph (c) of is because they use older equipment that lacks the transfer agents should be given leeway Rule 17f–1, the Commission believes necessary space for nine letters. Typically, in these that this issue requires further study. cases, one or two apostrophes or similar characters concerning the data that they choose to are used in place of up to four letters. To avoid the 5. Perforations and the Word need for immediate purchase of new equipment, the 50 This refers to an industry practice of using Commission will interpret the use of such hand stamps that state ‘‘cancelled in error’’ or ‘‘Cancelled’’ abbreviations as consistent with the requirement in similar language to avoid the time and expense of Regarding Rule 17Ad–19(b)(2), which Rule 17Ad–12(c) that written procedures shall replacing certificates that are marked ‘‘cancelled’’ requires that cancelled certificates be ‘‘[r]equire that each cancelled certificate be marked by mistake. with the work ‘cancelled’ ***.’’ However, this 51 The use of a medallion signature guarantee marked ‘‘cancelled’’ by stamp or interpretation shall apply only until a transfer agent would mean that the ‘‘cancelled-in-error’’ notation perforation, PFPC Inc. recommended using such older equipment acquires new is guaranteed by a guarantor financial institution that the Commission specifically set equipment by purchase or other means that replaces under a signature guarantee program pursuant to forth the dimensions for the word the older equipment in question. Thereafter, the Exchange Act Rule 17Ad–15, 17 CFR 240.17Ad–15. transfer agent must use all nine letters of the word Accordingly, the financial risk of the cancelled-in- ‘‘cancelled’’ and where it should be ‘‘cancelled’’ in cancelling securities certificates. error procedure would not be imposed on the 55 James J. Angel, Ph.D., Georgetown Univ.; Frank transfer agent but on the guarantor or the surety for 52 See paragraph (e) of 17 CFR 240.17f–1, which Hammelbacher, Norrico Inc.; and Robert A. the guarantor. permits ‘‘permissive reports and inquiries.’’ Kerstein, President, Scripology, Inc.

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recordkeeping, safeguarding, and electronically preserved in conformity When the Commission proposed the destruction procedures will greatly with the terms of that rule. rule and rule amendment, reduce the risk of improper use of approximately 1,100 transfer agents IV. Paperwork Reduction Act cancelled certificates. Therefore, we do were registered with the Commission. not believe it is necessary at this time Certain provisions of the proposed The Commission staff estimated that the to mandate destruction. rule and proposed amendments contain average amount of time per transfer In this regard, we note that cancelled ‘‘collection of information’’ agent needed to comply with the securities certificates, after a period in requirements within the meaning of the collection of information requirements transfer agent storage, are generally Paperwork Reduction Act of 1995 of proposed Rule 17Ad–19 would be 40 destroyed by the transfer agent or (‘‘PRA’’).57 The Commission published hours per transfer agent for developing destroyed by some other party at the a notice soliciting comments on the the written procedures. The direction of the transfer agent or the collection of information requirements Commission staff further estimated that issuer. However, a small amount of in the proposing release and submitted the average amount of time per transfer cancelled securities certificates find them to the Office of Management and agent per year to comply with the their way from transfer agents into Budget (‘‘OMB’’) for review in collection of information associated collectors’ markets. Accordingly, to accordance with 44 U.S.C. 3507(d) and with recording and tracking cancelled make the rule as complete as possible, 5 CFR 1320.11. The title for the securities certificates would be 50 hours we are modifying proposed Rule 17Ad– collection of information is: ‘‘Record per transfer agent per year, a figure that 19 to require that transfer agents Retention Requirements for Registered would vary greatly depending on the maintain records not only of the Transfer Agents.’’ OMB approved the size of an entity and the volume of its certificates that they or their agents collection and assigned it OMB Control business. Thus, assuming 1,100 destroy but also of those certificates that No. 3235–0136. The collection registered transfer agents, it was they dispose of by any other means, requirements are necessary to ensure the estimated that the start-up collection of such as by sale to collectors or to dealers integrity of transfer agents’ records and information requirements would require for collectors. For certificates disposed the safeguarding of securities about 44,000 hours (40 × 1,100), and the of by such other means, transfer agents certificates. annual collection of information Rule 17Ad–19 contains collection of are required to maintain records of how requirements would be about 55,000 information requirements that are the certificates were disposed and to hours (50 × 1,100). Thus, in October of intended to ensure the integrity and whom, with such party’s name and 2000, the Commission staff estimated completeness of transfer agents’ records address, and the date of disposition. that the combined total during the first regarding physical securities year would be about 99,000 hours. 7. Destruction of Certificates by Transfer certificates, in particular, cancelled Agents securities certificates. Rule 17Ad–19 At this time, in contrast with the One transfer agent, PFPC Inc., requires each registered transfer agent 1,100 transfer agents at the proposing recommended that questions of to: (1) Have a written statement setting stage, approximately 900 transfer agents certificate retention or destruction be forth its procedures for the cancellation, are registered with the Commission, of which about 800 are actively involved discretionary matters for individual storage, transportation, destruction, or 58 transfer agents, and that transfer agents other disposition of securities in transfer agent activities. After be given the option to destroy certificates; (2) mark each cancelled further review and staff conversations certificates within 72 hours of their certificate with the word ‘‘cancelled’’ on with representative transfer agents, as cancellation, which it said would the face of the certificate; (3) supervise, discussed below in Section V, the reduce fraud and storage expenses. witness and document the destruction Commission staff has lowered its Another transfer agent, Otter Tail, took of certificates; and (4) keep an easily estimate of the amount of time per a different position and said that the retrievable record of each cancelled, transfer agent needed to comply with Commission should mandate certificate destroyed, or otherwise disposed of the collection of information destruction at the end of the required certificate with identifying certificate requirements of Rule 17Ad–19. The six-year retention period. ICI and data. The amendments to Rules 17f–1 lower staff estimates, as compared with Mellon recommended that the and 17Ad–12 involve no additional the higher estimates in the Proposing Commission explore new overall paperwork requirements. Release, result from (1) lower than requirements for cancelled securities Rule 17Ad–19 incorporates the three- anticipated cost estimates in a survey of certificates including (1) the use of year record retention requirement of small transfer agents and (2) reports electronic media and microfiche for Rule 17Ad–7(i), but the amendments to from both small transfer agents and recordkeeping purposes, and (2) the Rules 17f–1 and 17Ad–12 do not add large transfer agents (the latter group as destruction of cancelled certificates, any retention periods for recordkeeping represented by the Securities Transfer perhaps after they are scanned, imaged, requirements. The maintenance of Association) that most of the proposed and electronically stored.56 As noted written procedures by transfer agents rule changes have already been put into above in footnote 6, the Commission is under Rule 17Ad–19 would be effect over the past few years at most proposing amendments to Exchange Act mandatory. The written procedures are transfer agents. The Commission staff Rule 17Ad–7, 17 CFR 240.17Ad–7, confidential and will not be available to now estimates the time needed will which if adopted would make clear that the public, although they will be subject range from about two hours for the transfer agents could use certain to examination by the Commission or smallest transfer agents to about 40 alternative means to store cancelled other appropriate regulatory agencies. hours for the largest transfer agents. The securities certificates provided that the We note that an agency may not conduct staff believes that the average time per cancelled certificates first were or sponsor, and a person is not required transfer agent to develop written to respond to, a collection of 56 For a recent Commission rule that authorized information unless it displays a 58 The Commission notes that there is relative the use of optical storage, refer to 15 CFR ease of entrance into and exit out of the transfer 240.17Ad–7(f). See Securities Exchange Act Release currently valid control number. agent business, and the numbers of transfer agents No. 44227 (April 27, 2001), 66 FR 21648 (May 1, at a given time are affected by the circumstances of 2001). 57 44 U.S.C. 3501 et seq. the securities industry and the general economy.

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procedures will be about 20 hours. The it would be imprudent to exempt certain proposals. The STA advised that the Commission staff further estimates that transfer agents from recordkeeping rules large transfer agents are already in the average amount of time per transfer linked to antifraud rules simply because compliance with the rule proposals and agent per year to comply with the their volume of business is small. that, in its opinion, the rule proposals collection of information associated Additionally, Otter Tail has provided us in large part codify existing STA rules. with recording and tracking cancelled with no financial or other information to As discussed in the PRA analysis, the securities certificates will be 20 hours support its claim that the new STA further reported that the one new per transfer agent per year, a combined requirements would be unduly item in the rule proposals that would 40 hours for the first year, all of which burdensome on itself or on other small involve new costs is the requirement to are figures that would vary greatly transfer agents. have ‘‘written procedures’’ for depending on the size of an entity and To supplement our information on cancellation procedures, which would the volume of its business. Thus, small transfer agents for cost and benefit take a large transfer agent about 40 work assuming 800 registered transfer agents purposes, Commission staff conducted a hours to draft the procedures or about actively involved in transfer agent survey of six small transfer agents. Staff $3,000. The STA emphasized its view activities, the start-up collection of provided them with a written summary that most of the proposed rule changes information requirements will require of the rule proposals and later contacted are already in effect at transfer agents. about 16,000 hours (20 × 800), and the them by telephone to discuss in detail annual collection of information the costs and benefits of the proposals. A. Benefits requirements will be about 16,000 hours The small transfer agents reported that, (20 × 800). Thus, the estimated in general, they already were in The new rule and rule amendments combined total during the first year will compliance with the proposed rules. will provide specific benefits to U.S. be about 32,000 hours. That is, they generally were already investors, issuers, transfer agents, and Additionally, as discussed above in marking retired securities certificates other financial intermediaries. Some of Sections III.A and III.D.7, the with the word ‘‘cancelled;’’ they were these benefits are not readily Commission is modifying proposed already maintaining the certificates in a quantifiable in terms of dollar value. Rule 17Ad–19 to include securities secure environment; and they were However, the proposals are designed to certificates that are disposed of in some destroying the certificates on-premises reduce the fraudulent use of securities way other than by destruction as, for and witnessing their destruction. All but certificates, particularly cancelled example, by sale to collectors. The one transfer agent reported that they certificates, by requiring improved purpose of this modification is to make already had their data on certificate safeguarding and recordkeeping by the rule complete with respect to all cancellation and destruction available transfer agents. In recent years, the dispositions of cancelled securities in electronically retrievable format, and fraudulent resale and fraudulent certificates, but we believe that the the one remaining transfer agent said it collateralization of cancelled certificates number of certificates disposed of by had plans to modify its computer to (certificates with no investment value) transfer agents by means other than by provide such data. As discussed in the cost private individuals and financial destruction will be de minimis and will PRA analysis, the one item in the rule institutions many millions of dollars. not affect the PRA numbers. proposal that would generally involve We expect the costs of the described an added expense is the requirement to forms of certificate fraud on public V. Costs and Benefits of Proposed draft ‘‘written procedures’’ for investors and on market participants to Amendments processing cancelled securities. The be substantially reduced by the The Commission has considered the transfer agents estimated that drafting requirements related to adequate costs and benefits of Rule 17Ad–19 and written procedures would involve a safeguarding, recordkeeping, and the amendments to Rules 17f–1 and one-time outlay of between 15 minutes destruction procedures for these 17Ad–12. The Commission identified and four hours, costs they variously certificates by transfer agents. certain costs and benefits relating to the estimated (based on the number of B. Costs proposals, which are discussed below. hours times their relevant expenses per We requested public comment in our hour) at between $15 and $500. Two of The rule changes require transfer Proposing Release. In particular, we the small transfer agents suggested that agents to have written procedures for requested comment on the potential it is the larger transfer agents that would the cancellation, storage, transportation, costs for any necessary modifications to tend to have problems with these rules destruction, or other disposition of information gathering, management, and because the large transfer agents are retired securities certificates; to mark record-keeping systems or procedures, more apt to engage outside vendors for cancelled securities certificates as as well as any potential benefits the transportation, warehousing, and ‘‘cancelled;’’ to supervise, witness, and resulting from the proposals for issuers, destruction of cancelled certificates document the destruction of certificates; transfer agents, banks, brokers, whereas the small transfer agents tend and to keep an easily retrievable record regulators, or others. to perform these services within their of each cancelled, destroyed, or In general, the comment letters did own premises. One small transfer agent otherwise disposed of certificate. The not address costs or benefits in financial questioned the need for certain of the preparation of these written procedures terms, and none provided cost or benefit recordkeeping requirements, but required by the new rules will be a cost data. One transfer agent, Otter Tail, another described the rule proposals as to transfer agents, and we have commented that because of its small ‘‘nice and clean, with no problems.’’ discussed the paperwork costs above in size it would be burdensome to witness Commission staff also surveyed the Section IV, estimating the combined the destruction of its cancelled Securities Transfer Association (‘‘STA’’) total paperwork burden during the first certificates and to keep automated as a proxy for large transfer agents. The year will be about 32,000 hours. records of its cancelled certificates. This STA, at the staff’s request, reviewed the comment letter was discussed above in rule proposals and later reported that its Regarding the required use of the Section III.D.2, 59 where we stated that review had revealed ‘‘no problems’’ word ‘‘cancelled’’ on cancelled with the proposals and that it would not certificates, we reiterate that, with the 59 See, supra, in text accompanying notes 48–50. be submitting formal comments on the encouragement of the STA’s published

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guidelines,60 most transfer agents consider the impact any rule would certificates that will reduce this already are marking their cancelled have on competition.66 Further, the law potential for harm. certificates with the word ‘‘cancelled’’ requires that the Commission not adopt The case history of fraud involving to designate their cancelled status.61 We any rule that would impose a burden on cancelled certificates includes several believe the new requirement to use the competition not necessary or major cases. In one case, approximately word ‘‘cancelled’’ to a large extent appropriate in furtherance of the $111 billion of cancelled bond codifies existing business practices with Exchange Act. We believe the new rule certificates were stolen after being little additional cost to the industry. and amendments should improve delivered from a transfer agent’s As noted, the requirements to market efficiency by reducing a source warehouse to a certificate destruction supervise, witness, and record the of fraud and its associated costs (i.e., the vendor. Many of these stolen certificates destruction of certificates and to keep fraudulent introduction of cancelled resurfaced worldwide where they were easily retrievable records of the and worthless securities into the reintroduced into the marketplace or cancelled certificates will mean marketplace). In addition, the new rule were used as loan collateral at financial additional costs to some transfer agents. and amendments should have no institutions. In many cases, even However, the additional costs are material anticompetitive effects because security professionals were misled justified. As the Commission discussed they would apply equally to all transfer because the certificates appeared to be above, its experience has been that agents and should have no material in pristine condition with little or no securities certificates records that are effect on capital formation. evidence of having been cancelled. not easily retrievable are not appropriate While a number of trade practices have for investor protection, securities VII. Summary of Final Regulatory since been formulated by transfer agents processing, or law enforcement Flexibility Analysis to help address these problems, purposes. In addition, the existing rules A Final Regulatory Flexibility Commission rulemaking will require of the Exchange Act have since 1983 Analysis (‘‘FRFA’’) has been prepared in universal compliance among all transfer required registered transfer agents to accordance with the Regulatory agents concerning the proper processing maintain ‘‘appropriate certificate Flexibility Act (‘‘RFA’’).67 This analysis of cancelled certificates. detail’’62 for purposes of their master relates to a rule and two rule B. Significant Issues Raised by Public securityholder files concerning ‘‘every amendments adopted under the Comment security transferred, purchased, Exchange Act that primarily address the redeemed, or issued,’’63 which includes processing of cancelled securities One commenter, CTA, a trade records of cancelled certificates.64 These certificates by transfer agents. New Rule association, suggested that Rule 17Ad– new requirements also will apply only 17Ad–19 under the Exchange Act 19 should apply only to transfer agents on a going forward basis, i.e., no transfer requires every transfer agent to establish that maintain securityholder records agent will have to provide easily and implement written procedures for and suggested an exemption from the retrievable records for certificates the cancellation, storage, transportation, rule for transfer agents that act only for cancelled prior to the Rule’s effective destruction, or other disposition of their own issuers (i.e., issuer-only date. Moreover, the newly-adopted securities certificates. The rule requires transfer agents) and have average recordkeeping requirements are transfer agents to mark each cancelled monthly volumes of 100 transfer items consistent with good business practices, securities certificate with the word or less. Another commenter, Otter Tail such as the STA guidelines. ‘‘cancelled;’’ maintain a secure storage Power Co., a transfer agent, noted that area for cancelled certificates; maintain it processes less than 30 certificates per VI. Consideration of the Burden on an easily retrievable database of all of its month and that maintaining retrievable Competition, and Promotion of cancelled certificates, including records and witnessing the destruction Efficiency, Competition, and Capital cancelled, destroyed, or otherwise of certificates would be unduly Formation disposed of certificates; and have expensive. Section 3(f) of the Exchange Act specific procedures for the destruction We note that Rule 17Ad–19 does, in requires the Commission, when engaged of cancelled certificates. Additionally, fact, exempt certain registered transfer in rulemaking and required to consider the Commission has amended Rules agents (about 100 out of a total transfer whether an action is necessary or 17f–1 (the lost and stolen securities agent population of about 900) that do appropriate in the public interest, to rule) and 17Ad–12 (the transfer agent not maintain securityholder records. consider whether the action would safekeeping rule) to make it clear that These are ‘‘named transfer agents’’ that promote efficiency, competition, and these rules apply to unissued and outsource their transfer agent functions 65 capital formation. In adopting rules cancelled certificates. to other transfer agents known as under the Exchange Act, Section ‘‘service company’’ transfer agents.68 23(a)(2) requires the Commission to A. Need for Rule and Rule Amendments But we do not believe that the The rule and rule amendments requirements of Rule 17Ad–19, which 60 Supra, note 17. address problems involving cancelled deal with recordkeeping and the 61 We believe that most transfer agents are securities certificates. In particular, they cancellation, storage, transportation, properly marking their retired certificates with the word ‘‘cancelled,’’ as STA has recommended. address the problem that, until properly destruction, or other disposition of However, because doing so is not a Commission destroyed, or properly disposed of, retired certificates, are inappropriately requirement, it currently is not a part of the cancelled securities certificates can burdensome simply because the number Commission’s examination module for transfer of certificates that a transfer agent is agents. Thus, we have no systematic data on the resurface in the marketplace where they subject. can and have been used to defraud processing or destroying is small. Even 62 17 CFR 240.17Ad–9(a). The existing public investors and financial a small transfer agent can designate a requirements for ‘‘certificate detail’’ include the institutions. The rule and rule person to destroy certificates under certificate number, number of units, owner’s name specific procedures. Moreover, we also and address, the issue date, the cancellation date, amendments provide better procedures etc. for processing and destroying cancelled believe that these limited burdens are 63 17 CFR 240.17Ad–10(a). justified by the rule’s value as an 64 See 17 CFR 240.17Ad–6(c) and 240.17Ad–9(a). 66 15 U.S.C. 78w. 65 15 U.S.C. 78c(f). 67 15 U.S.C. 601 et seq. 68 17 CFR 240.17Ad–9 (j)–(k).

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antifraud measure. We do not believe it Additionally, the amendments to Rules Regulation, Securities and Exchange would be prudent, especially in an 17f–1 and 17Ad–12 clarify that these Commission, 450 Fifth Street, NW., antifraud provision, to establish two rules apply broadly to securities Washington, DC 20549–1001. different standards for transfer agents certificates, including cancelled VIII. Statutory Basis and Text of based on the number of certificates they securities certificates. Amendments process or the number of transfers they E. Agency Action To Minimize Effect on make within a given period, particularly Statutory Basis Small Entities when, as noted below in Section VII.C, Pursuant to the Securities Exchange As required by Section 603 of the approximately one-half of the transfer Act of 1934 and particularly Sections RFA, the Commission has considered agents may be viewed as small entities. 3(b), 17(a), 17(f)(1), 17A(d), and 23(a) the following alternatives to minimize Considering that the underlying concern thereof, 15 U.S.C. 78q–1(d) and 78w(a), impact of the proposed rules and rule here is the protection of public investors the Commission is adopting amendments on small entities: (1) The from certificate fraud, we believe that § 240.17Ad–19 and amendments to establishment of differing compliance or the requirements of Rule 17Ad–19 are Rules 17f–1, 17Ad–7, and 17Ad–12 of reporting requirements or timetables appropriate for all transfer agents that Title 17 of the Code of Federal that take into account the resources are in the business of processing Regulation in the manner set forth available to small entities; (2) the securities certificates. below. clarification, consolidation, or C. Small Entities Subject to the Rule simplification of compliance and List of Subjects in 17 CFR Part 240 A transfer agent is a small entity if it: reporting requirements under the rules Reporting and recordkeeping (1) Received less than 500 items for for small entities; (3) the use of requirements; Securities. transfer and less than 500 items for performance rather than design processing during the preceding six standards; and (4) an exemption from Text of Rules months (or in the time that it has been coverage of the rule, or any part thereof, ■ 70 In accordance with the foregoing, the in business, if shorter); (2) transferred for small entities. As part of our Commission is amending part 240 of items only of issuers that would be consideration of the proposed rules, the chapter II of title 17 of the Code of deemed ‘‘small business’’ or ‘‘small staff conducted a survey of a few small Federal Regulations as follows: organizations’’ as defined in Exchange transfer agents. The consensus among Act Rule 0–10; (3) maintained master small transfer agents is that Rule 17Ad– PART 240—GENERAL RULES AND shareholder files that in the aggregate 19 will essentially codify their existing REGULATIONS, SECURITIES contained less than 1,000 shareholder practices (based to some extent on trade EXCHANGE ACT OF 1934 accounts or was the named transfer association guidelines in effect since the agent for less than 1,000 shareholder mid-1990s) and will have minimal effect ■ 1. The authority citation for Part 240 accounts at all times during the on them as transfer agents. We also continues to read in part as follows: preceding fiscal year (or the time that it considered alternatives that would Authority: 15 U.S.C. 77c, 77d, 77g, 77j, has been in business, if shorter); and (4) exempt small transfer agents from some 77s, 77z–2, 77z–3, 77eee, 77ggg, 77nnn, is not affiliated with any person (other portions of the rule, but given that the 77sss, 77ttt, 78c, 78d, 78e, 78f, 78g, 78i, 78j, than a natural person) that is not a small rule is designed in large measure to 78j–1, 78k, 78k–1, 78l, 78m, 78n, 78o, 78p, business or small organization under protect public investors from certificate 78q, 78s, 78u–5, 78w, 78x, 78ll, 78mm, 79q, 69 79t, 80a–20, 80a–23, 80a–29, 80a–37, 80b–3, Exchange Act Rule 0–10. We note that fraud, we do not believe a size 80b–4, 80b–11, 7202, 7241, 7262, and 7263; approximately 470 registered transfer exemption for transfer agents would be and 18 U.S.C. 1350, unless otherwise noted. appropriate. agents out of a population of about 900 * * * * * apparently qualify as ‘‘small entities’’ The Commission has considered for purposes of the RFA and will be significant alternatives to the proposed ■ 2. Section 240.17f–1 is amended by: subject to the requirements of Rule rules that would adequately address the ■ a. Adding paragraphs (a)(6), (a)(7) and 17Ad–19. problem posed by cancelled securities (a)(8); In the Proposing Release, the certificates. The Commission believes ■ b. Revising the phrase ‘‘lost in transit’’ Commission summarized, and requested that the establishment of different to read ‘‘lost, missing, or stolen while in comment on, the Initial Regulatory requirements for small entities is neither transit’’ in paragraph (c)(2)(i); ■ Flexibility Analysis (‘‘IRFA’’). We did necessary nor practical because the c. Redesignating paragraphs (c)(2)(ii) not receive any comments specifically proposal is designed to provide general and (c)(2)(iii) as paragraphs (c)(2)(iii) and standards that will protect the public (c)(2)(iv) respectively; responding to the IRFA. However, we ■ did receive comments related to small and members of the financial d. Adding new paragraph (c)(2)(ii); and ■ e. Adding paragraph (d)(3) to read as business, which are summarized above community from certain types of follows: in Section VII.B. securities fraud, and the proposal will include an exemption procedure that D. Projected Reporting, Recordkeeping, § 240.17f–1 Requirements for reporting will be available to small entities on a and inquiry with respect to missing, lost, and Other Compliance Requirements case by case basis. Moreover, the FRFA counterfeit or stolen securities. Rule 17Ad–19 requires all transfer concludes that the Commission believes (a) * * * agents to establish and implement that the proposal, if adopted, will not (6) The term securities certificate written procedures for the cancellation, adversely affect small entities. Finally, means any physical instrument that storage, transportation, destruction, or the FRFA addresses each of the other represents or purports to represent other disposition of securities requirements set forth under 5 U.S.C. ownership in a security that was printed certificates. Such written procedures 603. A copy of the FRFA may be by or on behalf of the issuer thereof and and their implementation are subject to obtained by contacting Jerry W. shall include any such instrument that examination by each transfer agent’s Carpenter or Thomas C. Etter, Jr., at is or was: appropriate regulatory agency. (202) 942–0178, Division of Market (i) Printed but not issued; (ii) Issued and outstanding, including 69 17 CFR 240.0–10. 70 5 U.S.C. 603(c). treasury securities;

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(iii) Cancelled, which for this purpose destruction procedures pursuant to implement written procedures for the means either or both of the procedures § 240.17Ad-19);’’ and adding paragraph cancellation, storage, transportation, set forth in § 240.17Ad–19(a)(1); or (b) to read as follows: destruction, or other disposition of (iv) Counterfeit or reasonably believed securities certificates. This requirement to be counterfeit. § 240.17Ad–12 Safeguarding of funds and applies to any agent that the transfer securities. (7) The term issuer shall include an agent uses to perform any of these issuer’s: * * * * * activities. (i) Transfer agent(s), paying agent(s), (b) For purposes of this section, the (c) Written procedures. The written tender agent(s), and person(s) providing term securities shall have the same procedures required by paragraph (b) of similar services; and meaning as the term securities this section at a minimum shall provide (ii) Corporate predecessor(s) and certificate as defined in § 240.17f– that: successor(s). 1(a)(6). (1) There is controlled access to any (8) The term missing shall include any ■ 5. Section 240.17Ad–19 is added to cancelled certificate facility; securities certificate that: read as follows: (2) Each cancelled certificate be (i) Cannot be located or accounted for, marked with the word ‘‘CANCELLED’’ but is not believed to be lost or stolen; § 240.17Ad–19 Requirements for by stamp or perforation on the face of cancellation, processing, storage, or the certificate unless the transfer agent (ii) A transfer agent claims or believes transportation, and destruction or other disposition of securities certificates. has procedures adopted pursuant to this was destroyed in any manner other than rule for the destruction of cancelled (a) Definitions. For purposes of this by the transfer agent’s own certificate certificates within three business days section: destruction procedures as provided in of their cancellation; (1) The terms cancelled or § 240.17Ad–19. (3) A record that is indexed and * * * * * cancellation means the process in which a securities certificate: retrievable by CUSIP and certificate (c) * * * number that contains the CUSIP (2) * * * (i) Is physically marked to clearly indicate that it no longer represents a number, certificate number with any (ii) Where a shipment of retired prefix or suffix, denomination, securities certificates is in transit claim against the issuer; and (ii) Is voided on the records of the registration, issue date, and cancellation between any transfer agents, banks, date of each cancelled certificate; brokers, dealers, or other reporting transfer agent. (2) The term cancelled certificate (4) A record that is indexed and institutions, with no affiliation existing retrievable by CUSIP and certificate between such entities, and the facility means any location where securities certificates are cancelled and number of each destroyed securities delivering institution fails to receive certificate or securities certificate notice of receipt or non-receipt of the thereafter processed, stored, transported, destroyed or otherwise otherwise disposed of, the records must certificates, the delivering institution contain for each destroyed or otherwise shall act to determine the facts. In the disposed of. (3) The term certificate number means disposed of certificate the CUSIP event of non-delivery where the number, certificate number with any certificates are not recovered by the a unique identification or serial number that is assigned and affixed by an issuer prefix or suffix, denomination, delivering institution, the delivering registration, issue date, and cancellation institution shall report the certificates as or transfer agent to each securities certificate. date, and additionally for any certificate lost, stolen, or missing to the otherwise disposed of a record of how Commission or its designee within a (4) The term controlled access means the practice of permitting the entry of it was disposed of, the name and reasonable time under the address of the party to whom it was circumstances but in any event within only authorized personnel to areas where securities certificates are disposed, and the date of disposition; twenty business days from the date of (5) The physical transportation of shipment. cancelled and thereafter processed, stored, transported, destroyed or cancelled certificates be made in a * * * * * otherwise disposed of. secure manner and that the transfer (d) * * * (5) The term CUSIP number means agent maintain separately a record of the (3) A reporting institution shall make the unique identification number that is CUSIP number and certificate number of required inquiries by the end of the fifth assigned to each securities issue. each certificate in transit; business day after a securities certificate (6) The term destruction means the (6) Authorized personnel of the comes into its possession or keeping, physical ruination of a securities transfer agent or its designee supervise provided that such inquiries shall be certificate by a transfer agent as part of and witness the intentional destruction made before the certificate is sold, used the certificate destruction procedures of any cancelled certificate and retain as collateral, or sent to another reporting that make the reconstruction of the copies of all records relating to institution. certificate impossible. certificates which were destroyed; and * * * * * (7) The term otherwise disposed of (7) Reports to the Lost and Stolen § 240.17Ad–7 [Amended] means any disposition other than by Securities Program be effected in a destruction. timely and complete manner, as ■ 3. Section 240.17Ad–7, paragraph (i), (8) The term securities certificate has provided in § 240.17f–1 of any cancelled is amended by revising the phrase the same meaning that it has in certificate that is lost, stolen, missing, or ‘‘§ 240.17Ad–17(c)’’ to read § 240.17f-1(a)(6). counterfeit. ‘‘§§ 240.17Ad–17(c) and 240.17Ad– (b) Required procedures for the (d) Recordkeeping. Every transfer 19(c)’’. cancellation, storage, transportation, agent subject to this section shall ■ 4. Amend § 240.17Ad-12, paragraph destruction, or other disposition of maintain records that demonstrate (a)(1), by revising the phrase ‘‘risk of securities certificates. Every transfer compliance with the requirements set destruction, theft or other loss;’’ to read agent involved in the handling, forth in this section and that describe ‘‘risk of theft, loss or destruction (other processing, or storage of securities the transfer agent’s methodology for than by a transfer agent’s certificate certificates shall establish and complying with this section for three

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years, the first year in an easily section, either unconditionally or on By the Commission. accessible place. specific terms and conditions, to any Margaret H. McFarland, (e) Exemptive authority. Upon written transfer agent or any class of transfer Deputy Secretary. application or upon its own motion, the agents and to any securities certificate [FR Doc. 03–31450 Filed 12–22–03; 8:45 am] Commission may grant an exemption or any class of securities certificates. BILLING CODE 8010–01–P from any of the provisions of this Dated: December 16, 2003.

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Part V

Department of Defense General Services Administration National Aeronautics and Space Administration 48 CFR Parts 22, 52, and 53 Federal Acquisition Regulation; Labor Standards for Contracts Involving Construction; Proposed Rule

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DEPARTMENT OF DEFENSE the regulations with Federal appellate mechanic.’’ Also the terms ‘‘building or court decisions and subsequent work’’ and ‘‘public building or public GENERAL SERVICES decisions of DoL’s Administrative work’’ have been combined into a single ADMINISTRATION Review Board regarding the term of ‘‘building or work’’ and ‘‘public transportation of supplies and materials building or public work’’ for NATIONAL AERONAUTICS AND to or from the construction site. In definitional purposes. No substantive SPACE ADMINISTRATION addition, the DoL rule revised the change is intended with these editorial definition of the ‘‘site of the work’’ to changes. 48 CFR Parts 22, 52, and 53 include secondary sites, other than the The Councils propose revisions to the clause at 52.222–11, Subcontracts [FAR Case 2002–004] project’s final resting place, which have been established specifically for the (Labor Standards), to clarify that it flows RIN 9000–AJ79 performance of the Davis-Bacon covered down only to subcontracts for contract and at which a significant construction within the United States, Federal Acquisition Regulation; Labor portion of the public building or work and that the clause entitled ‘‘Contract Standards for Contracts Involving called for by the contract is constructed. Work Hours and Safety Standards Act— Construction The Councils propose revisions to the Overtime Compensation’’ does not flow AGENCIES: Department of Defense (DoD), definitions of ‘‘construction, alteration, down unless included in the contract. General Services Administration (GSA), or repair’’ and ‘‘site of the work’’ in This change is necessary because the and National Aeronautics and Space 22.401, to reflect the changes in the DoL coverage threshold for the Contract Administration (NASA). regulations. A new provision at 52.222- Work Hours and Safety Standards Act is XX, Davis-Bacon Act—Secondary Site of $100,000 and the threshold for the ACTION: Proposed rule. the Work, is proposed to regulate Davis-Bacon Act is $2,000. Thus for SUMMARY: The Civilian Agency potential situations where an offeror construction contracts of $100,000 or Acquisition Council and the Defense intends to perform significant portions less, the Contract Work Hours and Acquisition Regulations Council of the building or work at a secondary Safety Standards Act clause is not (Councils) are proposing to amend the site outside the primary site of the work included in the contract and therefore Federal Acquisition Regulation (FAR) to and for which the wage determination would not flow down to any implement the revised definitions of provided by the Government for work at subcontract. If the construction contract ‘‘Construction’’ and ‘‘site of the work’’ the primary site is not applicable. is in excess of $100,000, then the clause in the Department of Labor (DoL) The proposed revision to the Davis- flows down to subcontracts that may regulations. In addition, the Councils Bacon Act clause at FAR 52.222–6 require or involve the employment of are proposing to clarify several mandates that any subsequent laborers and mechanics including definitions relating to labor standards incorporation to the contract of a wage watchmen and guards without regard to for contracts involving construction and determination for a secondary site shall the value of the subcontract. The clause make requirements for flow down of become retroactively effective from the at 52.222–4 is being revised to reflect labor clauses more precise. first day work under the contract was this principle. performed at that site, without any The Councils have also proposed DATES: Interested parties should submit changes to the Standard Form 1413, comments in writing on or before adjustment in contract price or Statement and Acknowledgment, to February 23, 2004, to be considered in estimated cost. This is based on the require that the contractor state whether the formulation of a final rule. premise that secondary sites are initiatives of the offeror that can be its contract contains the clause entitled ADDRESSES: Submit written comments instituted before or after contract award. ‘‘Contract Work Hours and Safety to—General Services Administration, The proposed rule also specifies that Standards Act—Overtime FAR Secretariat (MVA), 1800 F Street, whenever there is transportation of Compensation,’’ so that the NW., Room 4035, ATTN: Laurie Duarte, portions of the building or work subcontractor certification will only Washington, DC 20405. Submit between the secondary site and the cover this clause if the contractor has electronic comments via the Internet primary site of the work, the applicable indicated that the clause is in its to— farcase.2002–[email protected]. Please wage determination that would prevail contract. In addition, the Councils have submit comments only and cite FAR shall be for the primary site of the work. proposed corrections to two of the case 2002–004 in all correspondence This decision was made in accordance clause titles and added to the list the related to this case. with the DoL’s administrative clause entitled ‘‘Compliance with Davis- FOR FURTHER INFORMATION CONTACT: The determination as outlined in the Federal Bacon and Related Act Regulations,’’ FAR Secretariat at (202) 501–4755 for Register at 65 FR 80276. which is one of the clauses for which information pertaining to status or The Councils also proposed to revise certification is required (29 CFR 5.6(a)). publication schedules. For clarification the Davis-Bacon Act clause to establish A correction is proposed to FAR of content, contact Ms. Linda Nelson, that any wage determination for a 22.406–9(c). That section was Procurement Analyst, at (202) 501– secondary site shall be posted both at incorrectly changed by FAR Case 1999– 1900. Please cite FAR case 2002–004. the primary site of the work and at the 003, published in the Federal Register SUPPLEMENTARY INFORMATION: secondary site of the work. The at 65 FR 46064, July 26, 2000, by Councils are proposing to include DoL’s redirecting the transfer of withheld A. Background revised definition of ‘‘site of the work’’ funds under the Davis-Bacon to the The Department of Labor (DoL) in the Davis-Bacon Act clause. Secretary of the Treasury instead of the published a final rule at 65 FR 80268, In addition, the Councils are Comptroller General of the General December 20, 2000, revising the terms proposing editorial changes to other Accounting Office (GAO). Section 3(a) ‘‘construction, prosecution, completion, definitions in this section. Specifically, of the Davis-Bacon Act specifically, or repair’’ (29 CFR 5.2(j)) and ‘‘site of the definitions of ‘‘apprentice’’ and provides that ‘‘the Comptroller General the work’’ (29 CFR 5.2(l)). The DoL rule ‘‘trainee’’ have been listed separately in of the United States is authorized and became effective on January 19, 2001. the alphabetical list of definitions rather directed to pay directly to laborers and The DOL changes were made to conform than as a subcategory of ‘‘laborer and mechanics from any accrued payments

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withheld under the terms of the contract will consider comments from small State Apprenticeship Agency any wages found to be due laborers and entities concerning the affected FAR recognized by OATELS; or mechanics pursuant to this Act.’’ The parts 22, 52, and 53 in accordance with (2) Who is in the first 90 days of proposed revision would restore the 5 U.S.C. 610. Interested parties must probationary employment as an appropriate FAR language to that which submit such comments separately and apprentice in an apprenticeship existed prior to the aforementioned FAR should cite 5 U.S.C. 601, et seq. (FAR program, and is not individually case. case 2002–004), in correspondence. registered in the program, but who has The Councils endorsed the proposal been certified by the OATELS or a State C. Paperwork Reduction Act to selectively insert in FAR parts Apprenticeship Agency (where 22.404–3 through 22.404–7, ‘‘for the The Paperwork Reduction Act (Pub. appropriate) to be eligible for primary site of the work,’’ to provide L. 104–13) applies, but the Councils probationary employment as an clarity when the requirements do not estimate that the current burden is apprentice. apply to the wage determination for the unaffected by the revisions to the form. * * * * * secondary site of the work. The form is being revised for Construction, alteration, or repair Finally, the Councils have proposed clarification. The form (OMB Control means all types of work done by plain language changes to the clause Number 9000–0014) is currently laborers and mechanics employed by prescriptions at FAR 22.407, and the approved by the Office of Management the construction contractor or clause at 52.222–l1. and Budget under 44 U.S.C. 3501, et construction subcontractor on a This is not a significant regulatory seq. action and, therefore, was not subject to particular building or work at the site review under Section 6(b) of Executive List of Subjects in 48 CFR Parts 22, 52, thereof, including without limitations— Order 12866, Regulatory Planning and and 53 (l) Altering, remodeling, installation (if appropriate) on the site of the work Review, dated September 30, 1993. This Government procurement. rule is not a major rule under 5 U.S.C. of items fabricated off-site; Dated: December 15, 2003. 804. (2) Painting and decorating; Laura Auletta, (3) Manufacturing or furnishing of B. Regulatory Flexibility Act Director, Acquisition Policy Division. materials, articles, supplies, or The Councils do not expect this Therefore, DoD, GSA, and NASA equipment on the site of the building or proposed rule to have a significant propose amending 48 CFR parts 22, 52, work; economic impact on a substantial and 53 as set forth below: (4) Transportation of materials and number of small entities within the 1. The authority citation for 48 CFR supplies between the site of the work meaning of the Regulatory Flexibility parts 22, 52, and 53 is revised to read within the meaning of paragraphs (l)(i) Act, 5 U.S.C. 601, et seq., because this as follows: and (ii) of the ‘‘site of the work’’ rule only implements DoL regulation or Authority: 40 U.S.C. 121(c); 10 U.S.C. definition and a facility which is clarifies the existing requirements. The chapter 137; and 42 U.S.C. 2473(c). dedicated to the construction of the Councils agree with the Department of building or work and is deemed part of Labor’s (DoL) December 20, 2000, PART 22—APPLICATION OF LABOR the site of the work within the meaning determination that its regulation would LAWS TO GOVERNMENT of paragraph (l)(iii) of the ‘‘site of work’’ not have a significant economic impact ACQUISITIONS definition; and on a substantial number of small entities (5) Transportation of portions of the 2. Amend section 22.401 by— (see Federal Register at 65 FR 80277). building or work between a secondary a. Adding, in alphabetical order, the DoL stated that the rule primarily site where a significant portion of the definitions ‘‘Apprentice’’ and implements modifications resulting building or work is constructed, which ‘‘Trainee’’; from court decisions interpreting is part of the ‘‘site of the work’’ b. Removing from the first sentence of statutory language, which would reduce definition in paragraph (l)(ii), and the the definition ‘‘Building or work the coverage of Davis-Bacon prevailing physical place or places where the generally’’ and removing from the third wage requirements as applied to building or work will remain (paragraph sentence ‘‘building or work’’ and adding construction contractors and (l)(i) in the ‘‘site of the work’’ ‘‘building or work’’ in both places; subcontractors, both large and small, on c. Revising the definitions definition). Davis-Bacon and Related Act covered ‘‘Construction, alteration, or repair’’, Laborers or mechanics—(1) Means— contracts. In addition, the rule makes a ‘‘Laborers or mechanics’’ and ‘‘Site of (i) Workers, utilized by a contractor or limited amendment to the site of the the work’’; and subcontractor at any tier, whose duties work definition to address an issue not d. Amending the definition ‘‘Public are manual or physical in nature contemplated under the current building or public work’’ by removing (including those workers who use tools regulatory language—those instances ‘‘building or public work’’ and adding or who are performing the work of a where significant portions of buildings ‘‘building or public work’’ in its place. trade), as distinguished from mental or or works may be constructed at The added and revised text reads as managerial; secondary sites which are not in the follows: (ii) Apprentices, trainees, helpers, vicinity of the project’s final resting and, in the case of contracts subject to place. DoL believes that such instances § 22.401 Definitions. the Contract Work Hours and Safety will be rare, and that any increased * * * * * Standards Act, watchmen and guards. costs, which may arise on such projects, Apprentice means a person— (iii) Working foremen who devote would be offset by the savings due to (1) Employed and individually more than 20 percent of their time the other limitations on coverage registered in a bona fide apprenticeship during a workweek performing duties of provided by the rule. An Initial program registered with the U.S. a laborer or mechanic, and who do not Regulatory Flexibility Analysis has, Department of Labor, Employment and meet the criteria of 29 CFR part 541, for therefore, not been performed. We invite Training Administration, Office of the time so spent; and comments from small businesses and Apprenticeship Training, Employer, and (iv) Every person performing the other interested parties. The Councils Labor Services (OATELS), or with a duties of a laborer or mechanic,

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regardless of any contractual 22.404–3 Procedures for requesting wage (i) If the new determination for the relationship alleged to exist between the determinations. primary site of the work changes any contractor and those individuals. * * * * * wage rates for classifications to be used (2) Does not include workers whose (c) Time for submission of requests. in the contract, the contracting officer duties are primarily executive, (1) The time required by the Department may cancel the solicitation only in supervisory (except as provided in of Labor for processing requests for accordance with 14.404–1. * * * paragraph (1)(iii) of this definition), project wage determinations varies (ii) If the new determination for the administrative, or clerical, rather than according to the facts and circumstances primary site of the work does not manual. Persons employed in a bona in each case. An agency should expect change any wage rates, the contracting fide executive, administrative, or the processing to take at least 30 days. officer shall award the contract and professional capacity as defined in 29 Accordingly, agencies should submit modify it to include the number and CFR part 541 are not deemed to be requests for project wage determinations date of the new determination. (See laborers or mechanics. for the primary site of the work to the 43.103(b)(1).) * * * * * Department of Labor at least 45 days (60 (c) * * * Site of the work—(1) Means— days if possible) before issuing the (2) The contracting officer need not (i) The physical place or places where solicitation or exercising an option to delay opening and reviewing proposals the construction called for in the extend the term of a contract. or discussing them with the offerors contract will remain when work on it is (2) Agencies should promptly submit while a new determination for the completed (primary site of the work); to the Department of Labor an offeror’s primary site of the work is being (ii) Any secondary site where a request for a project wage determination obtained. * * * significant portion of the building or for a secondary site of the work. The (3) If the new determination for the work is constructed, provided that such Contracting Officer shall not extend the primary site of the work changes any site is established specifically for the due date for receipt of offers as a result wage rates, the contracting officer shall performance of the contract or project; of such a request. amend the solicitation to incorporate and * * * * * the new determination, and furnish the (iii) Except as provided in paragraph wage rate information to all prospective (2) of this definition, fabrication plants, 22.404–4 [Amended] offerors that were sent a solicitation if mobile factories, batch plants, borrow 4. Amend section 22.404–4 by the closing date for receipt of proposals pits, job headquarters, tool yards, etc., revising the section heading as set forth has not yet occurred, or to all offerors provided they are dedicated exclusively, below; and amending paragraphs (a), that submitted proposals if the closing or nearly so, to performance of the (b), and (c) by adding ‘‘for the primary date has passed. * * * contract or project, and provided they site of the work’’ after determination’’ (4) If the new determination for the are adjacent or virtually adjacent to the each time it appears. primary site of the work does not ‘‘site of the work’’ as defined in change any wage rates, the contracting 22.404–4 Solicitations issued without paragraphs (1)(i) or (ii) of this definition; officer shall amend the solicitation to wage determinations for the primary site of include the number and date of the new (2) Does not include permanent home the work. offices, branch plant establishments, determination and award the contract. * * * * * fabrication plants, or tool yards of a 6. Amend section 22.404–6 by 5. Amend section 22.404–5 by— contractor or subcontractor whose revising the second sentence of a. Revising the first sentence of locations and continuance in operation paragraph (a)(2), the first sentence of paragraphs (b)(1), (b)(2) introductory are determined wholly without regard to paragraph (a)(3), the first sentence of text, and (b)(2)(i); a particular Federal contract or project. paragraph (b)(3), and paragraph (b)(4) to b. Revising paragraph (b)(2)(ii); In addition, fabrication plants, batch read as follows: c. Revising the first sentence of plants, borrow pits, job headquarters, paragraphs (c)(2) and (c)(3); and 22.404–6 Modifications of wage yards, etc., of a commercial or material d. Revising paragraph (c)(4). determinations. supplier which are established by a The revised text reads as follows: (a) * * * supplier of materials for the project (2) * * * The need to include a before opening of bids and not on the 22.404–5 Expiration of project wage modification of a project wage project site, are not included in the ‘‘site determinations. determination for the primary site of the of the work.’’ Such permanent, * * * * * work in a solicitation is determined by previously established facilities are not (b) * * * the time of receipt of the modification a part of the ‘‘site of the work’’, even if (1) If a project wage determination for by the contracting agency. * * * the operations for a period of time may the primary site of the work expires (3) The need for inclusion of the be dedicated exclusively, or nearly so, before bid opening, or if it appears modification of a general wage to the performance of a contract. before bid opening that a project wage determination for the primary site of the Trainee means a person registered determination may expire before award, work in a solicitation is determined by and receiving on-the-job training in a the contracting officer shall request a the publication date of the notice in the construction occupation under a new determination early enough to Federal Register, or by the time of program which has been approved in ensure its receipt before bid opening. receipt of the modification (annotated advance by the U.S. Department of *** with the date and time immediately Labor, Employment and Training (2) If a project wage determination for upon receipt) by the contracting agency, Administration, as meeting its standards the primary site of the work expires whichever occurs first. * * * for on-the-job training programs and after bid opening but before award, the (b) * * * which has been so certified by that contracting officer shall request an (3) If an effective modification of the Administration. extension of the project wage wage determination for the primary site * * * * * determination expiration date from the of the work is received by the 3. Amend section 22.404–3 by Administrator, Wage and Hour Division. contracting officer before bid opening, revising paragraph (c) to read as follows: *** the contracting officer shall postpone

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the bid opening, if necessary, to allow Contract Work Hours and Safety Standards (b)(1) All laborers and mechanics a reasonable time to amend the Act—Overtime Compensation (Date) employed or working upon the site of the solicitation to incorporate the * * * * * work will be paid unconditionally and not modification and permit bidders to (e) Subcontracts. The Contractor shall less often than once a week, and without insert the provisions set forth in paragraphs subsequent deduction or rebate on any amend their bids. * * * account (except such payroll deductions as (a) through (d) of this clause in subcontracts (4) If an effective modification of the are permitted by regulations issued by the that may require or involve the employment wage determination for the primary site Secretary of Labor under the Copeland Act of laborers and mechanics including of the work is received by the (29 CFR part 3), the full amount of wages and watchmen and guards and require contracting officer after bid opening, but bona fide fringe benefits (or cash equivalents subcontractors to include these provisions in before award, the contracting officer thereof) due at time of payment computed at any such lower tier subcontracts. The rates not less than those contained in the shall follow the procedures in 22.404– Contractor shall be responsible for 5(b)(2)(i) or (ii). wage determination of the Secretary of Labor compliance by any subcontractor or lower- which is attached hereto and made a part * * * * * tier subcontractor with the provisions set hereof, or as may be subsequently forth in paragraphs (a) through (d) of this incorporated for a secondary site of the work, 22.404–8 [Amended] clause. regardless of any contractual relationship 7. Amend section 22.404–8 in (End of clause) which may be alleged to exist between the paragraphs (b)(1) introductory text, 11. Amend section 52.222–6 by— Contractor and such laborers and mechanics. (b)(2), and (c) by adding ‘‘of an improper a. Revising the date of the clause; Any wage determination subsequently wage determination for the primary b. Redesignating paragraphs (a) incorporated for a secondary site of the work site’’ after ‘‘notification’’. through (d) as paragraphs (b) through shall be effective from the first day on which (e); work under the contract was performed at 22.406–9 [Amended] c. Adding a new paragraph (a); that site and shall be incorporated without 8. Amend section 22.406–9 by— any adjustment in contract price or estimated d. Revising the newly designated cost. Laborers employed by the construction a. Removing from the first sentence of paragraph (b); and paragraph (c)(1) ‘‘Secretary of the Contractor or construction subcontractor that e. Removing from the newly are transporting portions of the building or Treasury’’ and adding ‘‘Comptroller designated paragraph (c)(4) ‘‘(b)(2)’’ and work between the secondary site of the work General’’ in its place and removing from ‘‘(b)(3)’’ and adding ‘‘(c)(2)’’ and ‘‘(c)(3)’’ and the primary site of the work shall be paid the last sentence of paragraph (c)(1) in their places, respectively. in accordance with the wage determination ‘‘Secretary of the Treasury’’ and adding The revised and added text reads as applicable to the primary site of the work. ‘‘Comptroller General (Claims Section)’’ follows: (2) Contributions made or costs reasonably in its place; and anticipated for bona fide fringe benefits b. Removing from paragraph (c)(3) 52.222–6 Davis-Bacon Act. under section 1(b)(2) of the Davis-Bacon Act ‘‘Secretary of the Treasury’’ and adding * * * * * on behalf of laborers or mechanics are ‘‘Comptroller General’’ in its place. considered wages paid to such laborers or 9. Amend section 22.407 by— Davis-Bacon Act (Date) mechanics, subject to the provisions of a. Revising the heading and removing (a) Definition—Site of the work—(1) paragraph (e) of this clause; also, regular contributions made or costs incurred for from the introductory text of paragraph Means— (i) The physical place or places where the more than a weekly period (but not less often (a) ‘‘The contracting officer shall insert’’ than quarterly) under plans, funds, or and adding ‘‘Insert’’ in its place; construction called for in the contract will remain when work on it is completed programs which cover the particular weekly b. Removing from paragraphs (a)(1) (primary site of the work); period, are deemed to be constructively made through (a)(10) ‘‘The clause at’’; (ii) Any secondary site where a significant or incurred during such period. c. Removing from paragraph (b) ‘‘The portion of the building or work is (3) Such laborers and mechanics shall be contracting officer shall insert’’ and constructed, provided that such site is paid not less than the appropriate wage rate adding ‘‘Insert’’ in its place; established specifically for the performance and fringe benefits in the wage determination d. Removing from paragraph (c) ‘‘the of the contract or project; and for the classification of work actually performed, without regard to skill, except as contracting officer shall’’; (iii) Except as provided in paragraph (2) of provided in the clause entitled Apprentices e. Removing from paragraph (d) ‘‘The this definition, fabrication plants, mobile and Trainees. Laborers or mechanics factories, batch plants, borrow pits, job contracting shall insert’’ and adding performing work in more than one headquarters, tool years, etc., provided they ‘‘Insert’’ in its place; and classification may be compensated at the rate are dedicated exclusively, or nearly so, to f. Adding paragraph (h) to read as specified for each classification for the time performance of the contract or project, and follows: actually worked therein; provided that the provided they are adjacent or virtually employer’s payroll records accurately set adjacent to the ‘‘site of the work’’ as defined 22.407 Solicitation Provision and Contract forth the time spent in each classification in in paragraph (1)(i) or (ii) of this definition; clauses. which work is performed. * * * * * (2) Does not include permanent home (4) The wage determination applicable to (h) Insert the provision at 52.222–XX, offices, branch plant establishments, the respective site of the work (including any fabrication plants, or tool yards of a Davis Bacon Act—Secondary Site of the additional classifications and wage rates Contractor or subcontractor whose locations conformed under paragraph (c) of this clause) Work, in solicitations in excess of and continuance in operation are determined $2,000 for construction within the and the Davis-Bacon poster (WH–1321) shall wholly without regard to a particular Federal be posted at all times by the Contractor and United States. Contractor project. In addition, fabrication its subcontractors at the primary site of the plants, batch plants, borrow pits, job PART 52—SOLICITATION PROVISIONS work and the secondary site of the work, if headquarters, yards, etc., of a commercial any, in a prominent and accessible place AND CONTRACT CLAUSES material supplier which are established by a where it can be easily seen by the workers. supplier of materials for the project before 10. Amend section 52.222–4 by opening of bids and not on the site are not * * * * * revising the date of the clause and included in the ‘‘site of the work.’’ Such 12. Amend section 52.222–9 by paragraph (e) to read as follows: permanent, previously established facilities revising the date of the clause and are not a part of the ‘‘site of the work’’ even paragraph (a) to read as follows: 52.222–4 Contract Work Hours and Safety if the operations for a period of time may be Standards Act— Overtime Compensation. dedicated exclusively or nearly so, to the 52.222–9 Apprentices and Trainees. * * * * * performance of a contract. * * * * *

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Apprentices and Trainees (Date) 13. Revise section 52.222–11 to read (2) Within 14 days after the award of any (a) Apprentices—(1) An apprentice will be as follows: subsequently awarded subcontract the permitted to work at less than the Contractor shall deliver to the Contracting predetermined rate for the work performed 52.222–11 Subcontracts (Labor Officer an updated completed SF 1413 for when employed— Standards). such additional subcontract. (i) Pursuant to and individually registered As prescribed in 22.407(a), insert the (e) The Contractor shall insert the in a bona fide apprenticeship program following clause: substance of this clause, including this registered with the U.S. Department of Labor, paragraph (e) in all subcontracts for Employment and Training Administration, Subcontracts (Labor Standards) (Date) construction within the United States. Office of Apprenticeship Training, Employer, (a) Definition. Construction, alteration or (End of clause) and Labor Services (OATELS) or with a State repair, as used in this clause, means all types 52.222–41 [Amended] Apprenticeship Agency recognized by the of work done by laborers and mechanics OATELS; or employed by the construction Contractor or 14. Amend section 52.222–41 in (ii) In the first 90 days of probationary construction subcontractor on a particular paragraph (r) by removing ‘‘Bureau of employment as an apprentice in such an building or work at the site thereof, including Apprenticeship and Training, without limitation— apprenticeship program, even though not Employment and Training individually registered in the program, if (1) Altering, remodeling, installation (if certified by the OATELS or a State appropriate) on the site of the work of items Administration’’ and adding ‘‘Office of Apprenticeship Agency (where appropriate) fabricated off-site; Apprenticeship Training, Employer, and to be eligible for probationary employment as (2) Painting and decorating; Labor Services (OATELS)’’ in its place. an apprentice. (3) Manufacturing or furnishing of 15. Add provision 52.222–XX to read materials, articles, supplies, or equipment on (2) The allowable ratio of apprentices to as follows: journeymen on the job site in any craft the site of the building or work; classification shall not be greater than the (4) Transportation of materials and 52.222–XX Davis-Bacon Act—Secondary ratio permitted to the Contractor as to the supplies between the site of the work within Site of the Work. entire work force under the registered the meaning of paragraphs (1)(i) and (ii) of program. the ‘‘site of the work’’ definition and a As prescribed in 22.407(h), insert the (3) Any worker listed on a payroll at an facility which is dedicated to the following provision: apprentice wage rate, who is not registered or construction of the building or work and is Davis-Bacon Act—Secondary Site of the otherwise employed as stated in paragraph deemed part of the site of the work within Work (Date) (a)(1) of this clause, shall be paid not less the meaning of paragraph (1)(iii) of the ‘‘site than the applicable wage determination for of work’’ definition; and (a) The offeror shall notify the Government the classification of work actually performed. (5) Transportation of portions of the if— In addition, any apprentice performing work building or work between a secondary site (1) The offeror intends to perform work at on the job site in excess of the ratio permitted where a significant portion of the building or any secondary site, as defined in paragraph under the registered program shall be paid work is constructed, which is part of the ‘‘site (a)(1)(ii) of the Davis-Bacon Act clause of this not less than the applicable wage rate on the of the work’’ definition in paragraph (1)(ii), solicitation; and wage determination for the work actually and the physical place or places where the (2) The Davis-Bacon Act is applicable to performed. building or work will remain (paragraph the work at any secondary site. (4) Where a Contractor is performing (1)(i) in the ‘‘site of the work’’ definition). (b) If the wage determination provided by construction on a project in a locality other (b) The Contractor shall insert in any the Government for work at the primary than that in which its program is registered, subcontracts for construction, alterations and place of performance is not applicable to the the ratios and wage rates (expressed in repairs within the United States the clauses secondary site(s), the offeror shall— percentages of the journeyman’s hourly rate) entitled— (1) Obtain a general wage determination for (1) Davis-Bacon Act; specified in the Contractor’s or the secondary site via the Internet at (2) Contract Work Hours and Safety subcontractor’s registered program shall be www.xxx, provide it to the Government for Standards Act—Overtime Compensation (if observed. Every apprentice must be paid at inclusion in any subsequent contract; or the clause is included in this contract); not less than the rate specified in the (2) If a general wage determination is not (3) Apprentices and Trainees; registered program for the apprentice’s level available for the secondary site, request the (4) Payrolls and Basic Records; of progress, expressed as a percentage of the Contracting Officer to obtain a project wage (5) Compliance with Copeland Act journeyman hourly rate specified in the determination from the Department of Labor. Requirements; applicable wage determination. The offeror should request the project wage (6) Withholding of Funds; (5) Apprentices shall be paid fringe determination for the secondary site as soon (7) Subcontracts (Labor Standards); benefits in accordance with the provisions of (8) Contract Termination—Debarment; as possible. The due date for receipt of offers the apprenticeship program. If the (9) Disputes Concerning Labor Standards; will not be extended as a result of an offeror’s apprenticeship program does not specify (10) Compliance with Davis-Bacon and request for a project wage determination for fringe benefits, apprentices must be paid the Related Act Regulations; and a secondary site of the work. full amount of fringe benefits listed on the (11) Certification of Eligibility. (End of provision) wage determination for the applicable (c) The prime Contractor shall be classification. If the Administrator responsible for compliance by any PART 53—FORMS determines that a different practice prevails subcontractor or lower tier subcontractor for the applicable apprentice classification, 53.222 [Amended] performing construction within the United fringes shall be paid in accordance with that States with all the contract clauses cited in 16. Amend section 53.222 in determination. this paragraph. paragraph (e) by removing ‘‘(Rev 6/89)’’ (6) In the event OATELS, or a State (d)(1) Within 14 days after award of the Apprenticeship Agency recognized by and adding ‘‘(Date)’’ in its place, and contract, the Contractor shall deliver to the removing the last sentence. OATELS, withdraws approval of an Contracting Officer a completed Statement apprenticeship program, the Contractor will and Acknowledgment Form (SF 1413) for 17. Amend section 53.301–1413 by no longer be permitted to utilize apprentices each subcontract for construction within the revising the form to read as follows: at less than the applicable predetermined rate United States, including the subcontractor’s for the work performed until an acceptable signed and dated acknowledgment that the 52.301–1413 Statement and program is approved. clauses set forth in paragraph (a) of this Acknowledgement. * * * * * clause have been included in the subcontract. BILLING CODE 6820–EP–P

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[FR Doc. 03–31232 Filed 12–22–03; 8:45 am] BILLING CODE 6820–EP–C

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Part VI

LOCAL Television Loan Guarantee Board 7 CFR Parts 2200 and 2201 LOCAL Television Loan Guarantee Program; Final Rule and Notice

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LOCAL TELEVISION LOAN Executive Order 12866 Unfunded Mandates GUARANTEE BOARD This rule has been determined to be This rule contains no Federal mandates (under the regulatory 7 CFR Parts 2200 and 2201 significant for purposes of Executive Order 12866, and therefore has been provision of Title II of the Unfunded reviewed by the Office of Management Mandates Reform Act of 1995) for State, RIN 0572–AB82 and Budget (OMB). In accordance with local, and tribal governments or the Executive Order 12866, an Economic private sector. Thus, this rule is not LOCAL Television Loan Guarantee subject to the requirements of Sections Program Impact Analysis was completed, outlining the costs and benefits of 202 and 205 of the Unfunded Mandates AGENCY: LOCAL Television Loan implementing this program. The Reform Act of 1995. Guarantee Board. complete analysis is available from the National Environmental Policy Act Board upon request. ACTION: Final rule. It has been determined that this rule Executive Order 12988 does not constitute a major Federal SUMMARY: The LOCAL Television Loan This rule has been reviewed under action significantly affecting the quality Guarantee Board (Board) is issuing of the human environment, and in regulations to implement the LOCAL Executive Order 12988, Civil Justice Reform. The Board has determined that accordance with the National Television Loan Guarantee Program Environmental Policy Act of 1969 [42 (Program or LOCAL TV Program) as this rule meets the applicable standards provided in Section 3 of the Executive U.S.C. 4321 et seq.] (NEPA), an authorized by the Launching Our Environmental Impact Statement is not Communities’ Access to Local Order, to minimize litigation, eliminate ambiguity, and reduce burden. required. If necessary, Loans sought to Television Act of 2000 (the Act). Section be guaranteed under this Program will 1002 of the Act sets forth that the Administrative Procedure Act be assessed individually to determine primary purpose of the Act is to appropriate compliance with NEPA. facilitate access, on a technologically Pursuant to authority at 5 U.S.C. neutral basis to signals of local 553(a)(2), this rule related to loans is Government Paperwork Elimination television stations for households exempt from the rulemaking Act requirements of the Administrative located in Nonserved Areas and The Board is committed to Underserved Areas. The Act establishes Procedure Act, 5 U.S.C. 551 et seq., including the requirement to provide compliance with the Government a LOCAL Television Loan Guarantee Paperwork Elimination Act, which Board (the Board) to approve Guarantees prior notice and an opportunity for public comment. requires Government agencies to made under the Act. The Board is provide the public the option of comprised of the Secretary of the Regulatory Flexibility Act submitting information or transacting Treasury, the Chairman of the Board of Because this rule is not subject to a business electronically to the maximum Governors of the Federal Reserve extent possible. System, the Secretary of Agriculture, requirement to provide prior notice and and the Secretary of Commerce, or their an opportunity for public comment Civil Rights designees. pursuant to 5 U.S.C. 553, or any other The LOCAL TV Board is an equal This rule establishes eligibility and law, the analytical requirements of the opportunity lender. Applicants are Guarantee requirements, the application Regulatory Flexibility Act, 5 U.S.C. 601 required to comply with regulations on and approval process, as well as the et seq. are inapplicable. nondiscrimination and equal administration of Guarantees made by Information Collection and employment opportunity. the Board. Additionally, this rule Recordkeeping Requirements Executive Order 12630 establishes the process through which The reporting and recordkeeping the Board will consider applications This rule does not contain policies requirements contained in the rule have under the priority considerations that have takings implications. been approved by OMB pursuant to the required in the Act. Paperwork Reduction Act of 1995 (44 Executive Order 13132 DATES: Effective: This rule becomes U.S.C. chapter 35) under OMB control This rule does not contain policies effective December 23, 2003. number 0572–0135. having federalism implications ADDRESSES: A complete set of comments Catalog of Federal Domestic Assistance requiring preparation of a Federalism filed in response to the Proposed Rules Summary Impact Statement. are available for public inspection at The Program described by this rule is 1400 Independence Avenue, SW., STOP listed in the Catalog of Federal Domestic Background 1575, Room 2919–S, Washington, DC Assistance Programs under No. 10.853, On December 21, 2000, the President 20250–1575. These comments can be LOCAL Television Loan Guarantee signed into law Public Law 106–553, the viewed electronically at http:// Program. This catalog is available on a Federal Funding Act for Fiscal Year www.usda.gov/rus/localtvboard/reply- subscription basis from the 2001. Title X of Pub. L. 106–553, comments.htm. Superintendent of Documents, the entitled Launching our Communities United States Government Printing Access to Local Television Act of 2000 FOR FURTHER INFORMATION CONTACT: Office, Washington, DC 20402. (‘‘LOCAL TV Act’’ or ‘‘Act’’) established Jacqueline G. Rosier, Secretary, LOCAL Telephone: (202) 512–1800. the LOCAL Television Loan Guarantee Television Loan Guarantee Board, 1400 Board (‘‘Board’’). The Board is Independence Avenue, SW., STOP Executive Order 12372 authorized to guarantee loans to 1575, Room 2919–S, Washington, DC No intergovernmental consultation facilitate access, on a technologically 20250–1575. Telephone (202) 720–0530; with State and local officials is required neutral basis, to signals of local Facsimile (202) 720–2734; E-mail because this rule is not subject to the television stations for households [email protected]. provisions of Executive Order 12372, located in nonserved or underserved SUPPLEMENTARY INFORMATION: Intergovernmental Consultation. areas. The Board is comprised of the

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Secretary of Treasury, the Chairman of currently receiving local broadcast applying for a loan guarantee under the the Board of Governors of the Federal signals from a cable or satellite provider program. Reserve System, the Secretary of in accordance with FCC rules to be The floor was set by the Board after Agriculture, and the Secretary of considered nonserved or underserved taking into consideration the full costs Commerce, or their designees. erroneously; (3) it would limit the to the Board of analyzing the eligibility On August 15, 2003, the Board applicability of the loan guarantee to and creditworthiness of applicants and published proposed regulations to that portion of a loan required to finance their compliance with appropriate implement the LOCAL Television Loan facilities necessary to provide only some statutes and regulations. Such costs, Guarantee Program (Program or LOCAL of the local signals that a cable or which might appear to be borne by the TV Program).1 The proposed regulations satellite provider would be required by Board, would be passed on to applicants outlined proposed eligibility and FCC rules to provide; or (4) it would through application and origination guarantee requirements, the application direct applicants to provide fees. Lenders would be authorized to process, as well as the administration of retransmission of a smaller number of charge reasonable fees as well. For loans guarantees made by the Board. signals than the FCC’s rules would of less than $1 million, total amount of Additionally, the proposed regulations dictate, thereby possibly running afoul fees charged by the Board and the outlined the proposed process through of both FCC rules and copyright laws. lenders would be larger than the benefit which the Board would consider While we do not agree that all of these of reduced interest expense of the application under the priority results were possible, because nothing borrower from receiving a Federal loan considerations required in the Act. The in the Board’s rules would have affected guarantee. Therefore, the Board will not Board received eight comments in the power of copyright law or the delete the $1 million floor from the response to the proposed regulations. In authority of the FCC’s rules regarding regulations. this document, the Board adopts rules to carriage of local signals by providers Two commenters expressed concern implement the LOCAL TV Program. applying for loan guarantees under the about how the Board would determine program, the Board acknowledges that the portion of the loan eligible for Section 2201.1 Definitions the proposed definition could be coverage by the guarantee under Section One commenter suggested that the improved. 2201.10. The Act makes clear that the Board amend the proposed rule to Therefore, the Board has amended the guarantee should not cover any portion provide that the Board will publish definition of Local Television Broadcast of a loan being used for purposes other contour maps for each Designated Signals to include all television than the establishment of the means by Market Area (DMA), including grade A broadcast signals located in a DMA, which local television broadcast signals and B contours, to ensure that all subject to limitations pertaining to will be delivered to a nonserved or applicants are using the same duplication, similar to the rules the FCC underserved Area. However, if the definitions and data sets. has used in Part 76 of Title 47 of the Board were to prorate the costs of The Act does not require the Board to Code of Federal Regulations. The Board facilities based simply on the percentage create contour maps and the Board does has also added definitions of the terms of local television broadcast signals not have funds available to undertake ‘‘low power television station,’’ carried relative to all signals carried or such a project. Applicants are required ‘‘television broadcast station,’’ the percentage of signals delivered to to indicate the number of nonserved and ‘‘television broadcast translator station,’’ nonserved or underserved areas relative underserved households their projects and ‘‘television network’’ to ensure that to all Areas served and adjust the will reach. See Section 2201.11(c)(4) of these terms are well understood in the portion of the loan eligible for guarantee the regulations. It is expected that revised definition of ‘‘local television accordingly, the effect would be to undermine the effectiveness of the applicants will also disclose the manner broadcast signals.’’ To address the concern that the local LOCAL TV Program, by dropping the in which this determination was made. signals carried by a cable or satellite actual guarantee percentage This information, along with the other provider under the FCC’s rules might, in significantly in many cases. Nonetheless information requested as part of the some case, not accord with the any separable costs used to pay for application, will be analyzed in a definition of ‘‘local television broadcast features, services, or facilities not consistent manner across all applicants signals’’ in this rule, the Board has essential to the means by which local by the Board. added a new Section 2201.9 which television broadcast signals will be A number of commenters suggested clarifies that the local signals carried by delivered to a nonserved or underserved amending the definition of ‘‘local cable or satellite providers in Area will be excluded from the portion television broadcast signals’’ to include accordance with the FCC’s rules will of the loan eligible for coverage by the all local television broadcast stations in always be considered to meet the guarantee. A new subsection a DMA or, at least, all local television definition of ‘‘local television broadcast 2201.10(b)(3) has been added to clarify broadcast stations eligible for mandatory signals’’ for the purposes of this this policy. carriage under Federal Communications regulation. Commission (FCC) rules applicable to Section 2201.11 Application cable television systems or satellite Section 2201.10 Loan Amount and Requirements providers. These suggestions were made Guarantee Percentage Credit Opinion. The proposed rules because of the concerns of commenters One comment recommended that the require applicants for loans of $5 that the proposed definition would have regulations be amended to delete the million or more to submit to the Board one of four possible negative results: (1) proposed $1 million minimum size of a a preliminary credit rating opinion It would overlook some local stations in guaranteed loan (floor), so that the letter. The Board solicited comment on determining the existing availability of Board might consider applications for whether the minimum amount should service; (2) it would cause some areas small loans on a case-by-case basis. The be set within the range of $5 million to commenter indicated that, while the $25 million. One comment argued that 1 See 68 FR 48814 (August 15, 2003). The proposed regulations can also be viewed at proposed $1 million floor would not this requirement could serve as a costly http://www.usda.gov/rus/localtvboard/ pose a problem for it, it might serve to barrier for potential applicants and that legislative_docs.htm. deter certain small companies from this credit opinion letter was not

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required by the Act. The commenter required to be submitted as part of the will make its determination, in also stated that this requirement is application. accordance with the Act, on a case-by- inconsistent with the ‘‘no credit The Board’s regulations state both the case basis based on the nature of the elsewhere test’’ and that the proposed factors for determining eligibility of an project under consideration. A detailed regulations do not specify what outcome applicant and the information items process outlined in the regulations as to would be required from this opinion necessary to be submitted as part of a how the Board will make this letter as a condition to obtaining a complete application. A determination determination is not required by the Guarantee. that an applicant is eligible does not Act. Because of the importance of this The creditworthiness of an applicant mean that the applicant will be made an determination, however, the regulations is an important consideration for the offer of guarantee. Similarly, a complete have been amended to move this Board as it implements this program. At application presenting an economically determination from Section 2201.15(c) the same time, the Board recognizes the viable project cannot receive an offer of to Section 2201.18(f). commenter’s concern that the cost of guarantee if the party submitting the application is not eligible. Several Section 2201.17 Submission of obtaining a credit opinion letter may be Applications a potential barrier for some applicants. commenters suggested that the Board Therefore, the Board will raise the amend either the requirement that an One group of commenters minimum amount of a loan for which a applicant show that their loan would recommended that the Board amend the credit rating opinion letter is required not be available on reasonable terms and regulations to state that each application from $5 million to $15 million. Section conditions without a program guarantee window will be at least 120 days long, 2201.11(g)(2) of the final rules has been or the documentation requested in the and not just approximately 120 days changed accordingly. application to show that this long, as was stated in the proposed rule. Elsewhere in today’s Federal Register Environmental Impact and requirement has been satisfied. See Section 2201.12(b)(2)(v) of the proposed the Board is publishing a notice Documentation for Eligibility rule. announcing that applications for Determination. One commenter The ‘‘not available on reasonable guarantees are being accepted through recommended amending the terms and conditions’’ requirement in April 21, 2004; a 120 day period. While documentation and other requirements the proposed rule is taken directly from the Board believes 120 days is an for an applicant to be eligible for a loan the statute, and therefore cannot be appropriate period of time for an guarantee consistently throughout the eliminated by regulation. See Section applicant to submit an application, it regulations to provide that the 1004(d)(3)(v) of the Act. The does not believe that a slightly shorter environmental impact assessment and documentation requirement is similar to period for additional application all necessary regulatory approvals, that used in other government loan windows is inappropriate. As such, spectrum licenses, and delivery guarantee programs. should the Board decide to open permissions will be required to be additional application windows, any Section 2201.15 Ineligible Loan finalized prior to the closing of the loan such window could be shorter than 120 Purposes to be guaranteed, but not necessarily at days. the time of application, as appeared to One commenter noted that the Two commenters recommended that be required under certain sections of the regulations do not lay out how the the regulations require that a public proposed regulations. Board, in consultation with the National notice be put in place so that affected Applications may be submitted, Telecommunications and Information participants in the DMA are aware an evaluated and conditionally approved Administration (NTIA), will make a application has been filed. The Board prior to finalization of the determination that a project is ‘‘not expects to give the public notice of the environmental assessment and likely to have a substantial adverse names of those who applied during an completion of the NEPA process impact on competition that outweighs application window after the however, guaranteed loan funds will not the benefits of improving access to Local application window has closed. This be advanced until the NEPA process is Television Broadcast Signals in a notice will be published in the Federal completed. Section 2201.11(i) of the Nonserved Area or Underserved area Register. regulations has been amended * * *. ‘‘Another commenter asked that accordingly. Applications may also be the section be moved to a new location Section 2201.18 Application Selection submitted, evaluated and conditionally in the regulations in order to underscore Two commenters asked that the Board approved prior to an Applicant the importance of this requirement for explain in the regulations how it will obtaining all required regulatory and Board deliberations on this issue.’’ meet its statutory requirement to other approvals, licenses and The standard that the Board is to prioritize the service of nonserved areas permissions; however, guaranteed loan apply in making its determination is over the course of the program; e.g., how funds will not be advanced until they clearly stated in the Act, i.e., the project will the Board prevent the majority of have been obtained. The regulations is not likely to have a substantial loan guarantees from being issued to have been amended to clarify this point adverse impact on competition that serve underserved areas in the initial as well. outweighs the benefits of improving application window or windows so that access to the signals of a local television the opportunities to serve nonserved Section 2201.12 Applicant station in a nonserved area or areas will not be limited in later One commenter asked that the Board underserved area and is commercially application windows. Another amend the regulations to clearly state viable. Moreover, the Act requires the commenter raised the related issue of what the Board actually requires in Board to consult with the NTIA in its how the Board will select applications order for an applicant to be deemed determination. Given the wide variety of from the same area if more than one eligible to receive a loan guarantee and types of projects, market conditions, and application meets the eligibility indicate the timing for the Board’s consumer services that may be offered, requirements. determination on the applicant’s it would be inappropriate to specify a All applications received during the eligibility, as opposed to merely listing formula for making this determination time period established in the Board’s in the regulations the information in the regulations. Rather, the Board public notice, published elsewhere in

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today’s Federal Register, will be describing how high-speed Internet appropriations shortfall such that the reviewed based on the criteria in the services will be provided in conjunction cost of the loan guarantee cannot be statute and these regulations. Included with the proposed project. covered and that, in such cases, that in these criteria is a statutory priority to The Act states that the Board should credit risk premiums will be kept to the provide service to nonserved areas. The give additional consideration to projects lowest practical amount. Board will extend offers of guarantee to that also provide high-speed Internet With regard to the liens issue, the eligible applicants in accordance with service. See Section 1004(e)(1)(B) of the regulations must preserve discretion for such priority standards. However, the Act. The Board, therefore, does not have Board will apply that priority with the flexibility to consider any means the Board to hold liens in an amount regard only to the applications before it. outside of the project in question by sufficient to protect the taxpayer. With The Board will not withhold funds for which an applicant might already respect to credit risk premiums, Section potential future applications that may provide, or would provide in the future, 2201.23 already permits the Board to be submitted during a possible high-speed Internet service. use its discretion, with OMB additional funding availability period. Another commenter recommended concurrence as to the amount, regarding With respect to applications covering that the regulations be amended to whether and to what extent credit risk the same geographic area, the Board will preserve the statutory requirement that premiums will be charged. Section again apply the statutory and regulatory ‘‘additional’’—not ‘‘higher’’ as the 2201.23 also states that the Board will approval criteria to its determination as regulations now state—priority is given reduce the credit risk premium with to whether to make an offer of to projects that provide high-speed respect to guarantees proportionately to guarantee. The Board may extend an Internet service. The Board agrees with the extent appropriations of budget offer of guarantee to more than one this comment and has changed the authority are sufficient to cover the cost applicant seeking to provide service to regulations to reflect this change in of guarantees, as determined under the same geographic area. However, Section 2201.18(b)(1). Section 502(5) of the Federal Credit analysis of the financial feasibility of Section 2201.20 Collateral Reform Act of 1990. any particular project proposed by an applicant will necessarily take into One commenter suggested amending Section 2201.21 Fees account any other applications received the proposed rule to specifically allow collateral to include certain intangible One commenter stated that the by the Board covering the same origination fee, if one is charged at all, geographic area. This analysis will assets. The definition of collateral in the proposed rule is broad, and does not should be capped at 50 percent of the include determining whether both application fee. A loan guarantee Projects can be economically preclude the use of intangible assets. All origination fee capped at 50 percent of sustainable. collateral, including any intangible One commenter asked that the Board assets, will be subject to review and the application fee would impair the amend the regulations to facilitate the approval by the Board under Section Board’s ability to recover its costs. The transition to digital television (DTV) by 2201.20(e) of the regulations. loan guarantee origination fee will be giving priority to those entities whose Another commenter recommended charged only to those applicants that business and technical plans include amending the regulations to provide have been made an offer of guarantee. the delivery of all local DTV broadcast that the Board will adjust the value of The application fee, on the other hand, stations and the entire 19.4 MBPS collateral downward and require an will be charged for all applications. The digital signal, whether stations are applicant to pledge additional collateral amount of the application fee is meant delivering one high-definition signal, only if the Board makes a finding that to cover Board expenses incurred in several DTV multicast signals, data, or such an adjustment is appropriate as a reviewing an application, while the loan a combination. result of fraud or abuse by the applicant guarantee origination fee is meant to The Act specifies the considerations or any affiliate of the applicant. Such an recoup Board expenses incurred in that the Board shall give priority to with amendment cannot be made. The Act issuing a guarantee and closing the loan. requires that collateral having a value respect to the approval of loan To ensure that the loan guarantee equal to the unpaid balance of the loan, guarantees. The transition to DTV is not origination fee more accurately reflects secure the loan. The government must included within the priorities stated in the administrative costs of issuing the be able to evaluate, at all times, the the Act. If Congress had wanted the guarantee and closing the loan, the Board to give priority to those entities value of the collateral, regardless of Board has decided to revise the amount that facilitate the transition to DTV, it fraud or abuse. The Act clearly of the loan guarantee origination fee. could have made that a priority in the contemplates that, in the event the value This change is reflected in subsection Act. The regulations have not been of pledged collateral is not equal to the amended to give priority to those unpaid balance of the loan, additional 2201.21(b) of the final rules. This entities that facilitate the transition to collateral securing the loan will be subsection provides a fee sufficient to DTV. However, Section 2201.11(e)(8) of provided either by the applicant or its cover the Board’s administrative costs the proposed rule does require the affiliates. and requires borrowers to enter into an applicant to identify the capacity Another commenter recommended agreement with the Board regarding necessary to digitally broadcast all local that the regulations be amended to payment of the fee once an offer of television broadcast signals to be enable the Board to use its discretion to guarantee has been extended. Such costs provided by the project so that the minimize burdensome fees and will likely include legal, financial technical capabilities of the project can penalties and the use of credit analysis and other outside consulting be evaluated in light of the ongoing premiums by providing that: (1) The fees as well as other administrative costs transition to DTV. Administrator will never hold liens on incurred by the Board. The language One commenter proposed that the assets securing the loan that are in conditions closing the loan on full Board amend the proposed rule so that excess of the unpaid balance of the loan payment of the fee and makes it clear an applicant could refer to its entire amount covered by the loan guarantee; that a borrower is liable for the system, and not merely the assets and (2) credit risk premiums should be administrative costs of the Board involved with a proposed project, when required only in the event of an regardless of whether the loan closes.

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Section 2201.25 Performance Section 2201.31 Indemnification § 2200.1 Definitions. Agreement One commenter recommended * * * * * One commenter suggested that the amending the regulations to clarify that (d) Person means any individual, proposed rule be amended to provide only those affiliates that are providing corporation, cooperative, partnership, that the penalty in subsection collateral for the loan guarantee will be joint venture, association, joint-stock 2201.25(b) of the proposed rule for subject to the statutorily required company, limited liability company or failure to comply with a stipulated indemnification requirements. A case- partnership, trust, unincorporated performance schedule would not be by-case statutorily required organization, government entity, agency or instrumentality or any subdivision charged if the applicant in good faith determination will be made concerning thereof. failed to meet the performance which affiliates will be required to ■ schedule. indemnify the government. It is 4. Part 2200 is amended by adding The Act provides the Board with possible, however, that indemnification §§ 2200.10 through 2200.12 to read as authority to impose a penalty not to will be received from affiliates which follows: exceed three times the interest due on are not providing collateral for a § 2200.10 Restrictions on lobbying. guarantee. It is anticipated that a guaranteed loan if an applicant fails to (a) No funds received through a Loan appropriate contracts, between the meet its stipulated performance guaranteed under this Program in this 2 affiliates and the government, schedule. While the Board believes that chapter may be expended by the it is important to retain the flexibility evidencing such indemnification recipient of a Federal contract, grant, granted to it in the Act to impose the obligation, will be obtained. loan, loan guarantee, or cooperative penalty, the Board expects to use its Section 2201.33 Defaults agreement to pay any person for authority very judiciously in order to One commenter recommended influencing or attempting to influence protect the financial interests of the an officer or employee of any agency, a United States. amending the regulations to state that the failure of a lender to provide all of Member of Congress, an officer or Another commenter recommended employee of Congress, or an employee that in the event a borrower in good the required documents to the Board in the event of a default will not void the of a Member of Congress in connection faith failed to meet the stipulated with any of the following covered performance schedule, the loan guarantee and that instead only a good faith effort by lender in this regard Federal actions: the awarding of any Administrator should provide the Federal contract, the making of any will be required, which is consistent borrower with a minimum of 120 days Federal grant, the making of any Federal with current commercial practice. to attempt to cure the failure to perform loan or loan Guarantee, the entering into before the assessment of the penalty. Subsection 2201.33(c) of the regulations requires the lender to of any cooperative agreement, and the The issue of a ‘‘cure period’’ is more extension, continuation, renewal, appropriately addressed in the loan provide certain information, relating to the collection process, to the Board amendment, or modification of any documents. It is anticipated that an Federal contract, grant, loan, loan appropriate ‘‘cure period’’ provision within 90 days of the date of a payment demand. Paragraph (f) of that section Guarantee, or cooperative agreement. will be included in the loan documents. (b) Each person who requests or provides that the Board may withhold receives from an agency a commitment Section 2201.27 Assignment or payment under the guarantee if such providing for the United States to insure Transfer of Loans information has not been provided. This or guarantee a loan shall file with that One commenter recommended that provision is reasonable in light of the agency a statement, set forth in the only modifications of significant Board’s reliance on the lender in the application form, whether that person material provisions of the Loan loan collection process. has made or has agreed to make any Documents should require prior written List of Subjects in 7 CFR Parts 2200 and payment to influence or attempt to approval of the Board. The commenter 2201 influence an officer or employee of any also recommended that Board approval Loan programs—Communications, agency, a Member of Congress, an not be required for the transfer of certain Rural areas, Telecommunications, officer or employee of Congress, or an participation interests in a Loan (e.g., Reporting and recordkeeping employee of a Member of Congress in transfer of interests within a group of requirements. connection with that loan insurance or participating Lenders). Guarantee. The requirements and limitations in ■ For the reasons set forth in the (c) Each person who requests or section 2201.27 of the regulations are preamble, chapter XX of title 7 of the receives from an agency a commitment needed for the Board to assure Code of Federal Regulations is amended providing for the United States to insure compliance with the authorizing statute, as follows: or guarantee a loan shall file with that which requires, for example, that the agency a Standard Form-LLL if that PART 2200—ACCESS TO LOCAL Board determine whether or not Lenders person has made or has agreed to make TELEVISION SIGNALS GUARANTEED are eligible to participate in the Program any payment to influence or attempt to LOAN PROGRAM; GENERAL and take note of any transfer of the influence an officer or employee of any POLICIES AND PROCEDURES guaranteed portion of the loan separate agency, a Member of Congress, an and apart from the unguaranteed ■ 1. The authority citation for part 2200 officer or employee of Congress, or an portion of a loan (‘‘loan stripping’’). continues to read as follows: employee of a Member of Congress in Such loan stripping is prohibited under Authority: 47 U.S.C. 1101 et seq.; Pub. L. connection with that loan insurance or subsection 1005(d) of the Act. The 106–553; Pub. L.107–171. Guarantee. Board’s need for this information exists (d) Each person shall file a not only at the time the loan is ■ 2. The title of part 2200 is revised to certification, contained in the originated, but throughout the read as set out above. application form, and a disclosure form repayment period. ■ 3. Section 2200.1 is amended by (Standard Form-LLL), if required, with adding a new paragraph (d) to read as each submission that initiates agency 2 See Section 1005(f)(2) of the Act. follows: consideration of such person for:

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(1) Award of a Federal contract, grant, under Federal nonprocurement (iii) Benefits to an individual as a or cooperative agreement exceeding programs. For purposes of this section personal entitlement without regard to $100,000; or such transactions will be referred to as the individual’s present responsibility (2) An award of a Federal loan or a ‘‘covered transactions.’’ (but benefits received in an individual’s commitment providing for the United (1) Covered transaction. For purposes business capacity are not accepted); States to insure or guarantee a loan of this section, a covered transaction is (iv) Federal employment; exceeding $150,000. a primary covered transaction or a lower (v) Transactions pursuant to national (e) Each person shall file a tier covered transaction. Covered or agency-recognized emergencies or certification, and a disclosure form, if transactions at any tier need not involve disasters; required, upon receipt by such person the transfer of Federal funds. (vi) Incidental benefits derived from of: (i) Primary covered transaction. ordinary governmental operations; and (1) A Federal contract, grant, or Except as noted in paragraph (b)(2) of (vii) Other transactions where the cooperative agreement exceeding this section, a primary covered application of this section would be $100,000; or transaction is any nonprocurement prohibited by law. (2) A Federal loan or a commitment transaction between an agency and a (3) Board covered transactions. This providing for the United States to insure person, regardless of type, including: section applies to the Board’s Loan or guarantee a loan exceeding $150,000, grants, cooperative agreements, Guarantees, subcontracts and unless such person previously filed a scholarships, fellowships, contracts of transactions at any tier that are charges certification, and a disclosure form, if assistance, loans, loan guarantees, as direct or indirect costs, regardless of required, under paragraph (c) of this subsidies, insurance, payments for type. (c) Primary covered transactions. section. specified use, donation agreements and Except to the extent prohibited by law, (f) Each person shall file a disclosure any other nonprocurement transactions persons who are debarred or suspended form at the end of each calendar quarter between a Federal agency and a person. shall be excluded from primary covered in which there occurs any event that (ii) Lower tier covered transaction. A transactions as either participants or requires disclosure or that materially lower tier covered transaction is: principals throughout the Executive affects the accuracy of the information (A) Any transaction between a contained in any disclosure form Branch of the Federal Government for participant and a person other than a the period of their debarment, previously filed by such person under procurement contract for goods or paragraphs (d) or (e) of this section. An suspension, or the period they are services, regardless of type, under a proposed for debarment under 48 CFR event that materially affects the primary covered transaction; accuracy of the information reported part 9, subpart 9.4. Accordingly, no (B) Any procurement contract for agency shall enter into primary covered includes: goods or services between a participant (1) A cumulative increase of $25,000 transactions with such excluded and a person, regardless of type, persons during such period, except as or more in the amount paid or expected expected to equal or exceed the Federal to be paid for influencing or attempting permitted pursuant to paragraph (l) of procurement small purchase threshold this section. to influence a covered Federal action; or fixed at 10 U.S.C. 2304(g) and 41 U.S.C. (2) A change in the person(s) or (d) Lower tier covered transactions. 253(g) (currently $100,000) under a individual(s) influencing or attempting Except to the extent prohibited by law, primary covered transaction; to influence a covered Federal action; or persons who have been proposed for (C) Any procurement contract for (3) A change in the officer(s), debarment under 48 CFR part 9, subpart goods or services between a participant employee(s), or Member(s) contacted to 9.4, debarred or suspended shall be and a person under a covered influence or attempt to influence a excluded from participating as either transaction, regardless of amount, under covered Federal action. participants or principals in all lower which that person will have a critical tier covered transactions (see paragraph § 2200.11 Government-wide debarment influence on or substantive control over (b)(1)(ii) of this section for the period of and suspension (nonprocurement). that covered transaction. Such persons their exclusion). (a) Executive Order (E.O.) 12549 may include loan officers or chief (e) Exceptions. Debarment or provides that, to the extent permitted by executive officers acting as principal suspension does not affect a person’s law, Executive departments and investigators and providers of federally eligibility for: agencies shall participate in a required audit services. (1) Statutory entitlements or governmentwide system for (2) Exceptions. The following mandatory awards (but not subtier nonprocurement debarment and transactions are not covered: awards thereunder which are not suspension. A person who is debarred (i) Statutory entitlements or themselves mandatory), including or suspended shall be excluded from mandatory awards (but not subtier deposited funds insured by the Federal Federal financial and nonfinancial awards thereunder which are not Government; assistance and benefits under Federal themselves mandatory), including (2) Direct awards to foreign programs and activities. Debarment or deposited funds insured by the Federal governments or public international suspension of a participant in a program Government; organizations, or transactions with by one agency shall have (ii) Direct awards to foreign foreign governments or foreign governmentwide effect. The Board shall governments or public international governmental entities, public review the List of Debarred entities prior organizations, or transactions with international organizations, foreign to making final loan Guarantee foreign governments or foreign government owned (in whole or in part) decisions. Suspension or debarment governmental entities, public or controlled entities, and entities may be a basis for denying a loan international organizations, foreign consisting wholly or partially of foreign Guarantee. government owned (in whole or in part) governments or foreign governmental (b) This section applies to all persons or controlled entities, entities consisting entities; who have participated, are currently wholly or partially of foreign (3) Benefits to an individual as a participating or may reasonably be governments or foreign governmental personal entitlement without regard to expected to participate in transactions entities; the individual’s present responsibility

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(but benefits received in an individual’s (2) Proposed for debarment under 48 institution of undergraduate higher business capacity are not accepted); CFR part 9, subpart 9.4; or education, graduate higher education, (4) Federal employment; (3) Ineligible for or voluntarily professional education, or an institution (5) Transactions pursuant to national excluded from the covered transaction. of vocational education that operates a or agency-recognized emergencies or (l) Violation of the restriction under program of scholarly research. disasters; paragraph (k) of this section may result (6) Noncommercial scientific (6) Incidental benefits derived from in disallowance of costs, annulment or institution refers to an institution that is ordinary governmental operations; and termination of award, issuance of a stop not operated on a ‘‘commercial’’ basis (7) Other transactions where the work order, debarment or suspension, or (as that term is used in this section) and application of this section would be other remedies as appropriate. which is operated solely for the purpose prohibited by law. (m) A participant may rely upon the of conducting scientific research, the (f) Persons who are ineligible are certification of a prospective participant results of which are not intended to excluded in accordance with the in a lower tier covered transaction that promote any particular product or applicable statutory, executive order, or it and its principals are not debarred, industry. regulatory authority. suspended, proposed for debarment (7) News means information about (g) Persons who accept voluntary under 48 CFR part 9, subpart 9.4, current events or that would be of exclusions are excluded in accordance ineligible, or voluntarily excluded from current interest to the public. Examples with the terms of their settlements. The the covered transaction, unless it knows of news media entities include, but are Board shall, and participants may, that the certification is erroneous. An not limited to, television or radio contact the original action agency to agency has the burden of proof that a stations broadcasting to the public at ascertain the extent of the exclusion. participant did knowingly do business large, and publishers of newspapers and (h) The Board may grant an exception with a person that filed an erroneous other periodicals (but only in those permitting a debarred, suspended, or certification. instances when they can qualify as voluntarily excluded person, or a person disseminators of ‘‘news’’) who make proposed for debarment under 48 CFR § 2200.12 Freedom of Information Act. their products available for purchase or part 9, subpart 9.4, to participate in a (a) Definitions. All terms used in this subscription by the general public. particular covered transaction upon a section, which are defined in 5 U.S.C. ‘‘Freelance’’ journalists may be regarded written determination by the agency 551 or 5 U.S.C. 552 shall have the same as working for a news organization if head or an authorized designee stating meaning in this section. In addition the they can demonstrate a solid basis for the reason(s) for deviating from the following definitions apply to this expecting publication through that Presidential policy established by section: organization, even though not actually Executive Order 12549. However, in (1) FOIA, as used in this section, employed by it. accordance with the President’s stated means the ‘‘Freedom of Information (8) Representative of the news media intention in the Executive Order, Act,’’ as amended, 5 U.S.C. 552. means any person actively gathering exceptions shall be granted only (2) Commercial use request means a news for an entity that is organized and infrequently. Exceptions shall be request from or on behalf of one who operated to publish or broadcast news to reported in accordance with the seeks information for a use or purpose the general public. Executive Order. that furthers the commercial, trade, or (9) Review means the process of (i) Notwithstanding the debarment, profit interests of the requester or the examining documents, located in suspension, proposed debarment under person on whose behalf the request is response to a request for access, to 48 CFR part 9, subpart 9.4, made. determine whether any portion of a determination of ineligibility, or (3) Direct costs mean those document is exempt information. It voluntary exclusion of any person by an expenditures that the Board actually includes doing all that is necessary to agency, agencies and participants may incurs in searching for, reviewing, and excise the documents and otherwise to continue covered transactions in duplicating documents in response to a prepare them for release. Review does existence at the time the person was request made under paragraph (c) of this not include time spent resolving general debarred, suspended, proposed for section. Direct costs include, for legal or policy issues regarding the debarment under 48 CFR part 9, subpart example, the labor costs of the employee application of exemptions. 9.4, declared ineligible, or voluntarily performing the work (the basic rate of (10) Search means the process of excluded. A decision as to the type of pay for the employee, plus 16 percent of looking for material that is responsive to termination action, if any, to be taken that rate to cover benefits). Not included a request, including page-by-page or should be made only after thorough in direct costs are overhead expenses line-by-line identification within review to ensure the propriety of the such as the costs of space and heating documents. Searches may be done proposed action. or lighting of the facility in which the manually or by computer. (j) Agencies and participants shall not records are kept. (b) Records available for public renew or extend covered transactions (4) Duplication means the process of inspection and copying. (1) Types of (other than no-cost time extensions) making a copy of a document in records made available. The with any person who is debarred, response to a request for disclosure of information in this section is furnished suspended, proposed for debarment records or for inspection of original for the guidance of the public and in under 48 CFR part 9, subpart 9.4, records that contain exempt material or compliance with the requirements of the ineligible or voluntary excluded, except that otherwise cannot be inspected FOIA. This section sets forth the as provided in paragraph (h) of this directly. Among others, such copies procedures the Board follows to make section. may take the form of paper, microfilm, publicly available the materials (k) Except as permitted under audiovisual materials, or machine- specified in 5 U.S.C. 552(a)(2). These paragraphs (h) or (i) of this section, a readable documentation (e.g., magnetic materials shall be made available for participant shall not knowingly do tape or disk). inspection and copying at the Board’s business under a covered transaction (5) Educational institution means a offices pursuant to 5 U.S.C. 552(a)(2). with a person who is: preschool, a public or private Information routinely provided to the (1) Debarred or suspended; elementary or secondary school, or an public as part of a regular Board activity

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(for example, press releases) may be number of pages involved, or some be conducted of records in the custody provided to the public without other measure of the amount of work and control of the Board on the date of following this section. and/or time needed to process the receipt of the request, and a review (2) Reading room procedures. request, and whether the request made of any responsive information Information available under this section qualifies for expedited processing as located. The Secretary of the Board shall is available for inspection and copying, described in paragraph (d)(2) of this notify the requester of: from 9 a.m. to 5 p.m. weekdays, at 1400 section. When using multitrack (i) The Secretary of the Board’s Independence Avenue, SW., processing, the Secretary of the Board determination of the request and the Washington, DC. may provide requesters in the slower reasons therefore; (3) Electronic records. Information track(s) with an opportunity to limit the (ii) The information withheld, and the available under this section shall also be scope of their requests in order to basis for withholding; and available on the Board’s Web site found qualify for faster processing. The (iii) The right to appeal any denial or at http://www.usda.gov/rus/ Secretary of the Board shall contact the partial denial, pursuant to paragraph (e) localtvboard. requester by telephone or by letter, of this section. (c) Records available to the public on whichever is most efficient in each case. (5) Referral to another agency. To the request—(1) Types of records made (2) Expedited processing. (i) A person extent a request covers documents that available. All records of the Board that may request expedited access to records were created by, obtained from, are not available under paragraph (b) of by submitting a statement, certified to classified by, or is in the primary this section shall be made available be true and correct to the best of that interest of another agency, the Secretary upon request, pursuant to the person’s knowledge and belief, that of the Board may refer the request to procedures in this section and the demonstrates a compelling need for the that agency for a direct response by that exceptions set forth in the FOIA. records, as defined in 5 U.S.C. agency and inform the requester (2) Procedures for requesting records. 552(a)(6)(E)(v). promptly of the referral. The Secretary A request for records shall reasonably (ii) The Secretary of the Board shall of the Board shall consult with another describe the records in a way that notify a requester of the determination Federal agency before responding to a enables the Board’s staff to identify and whether to grant or deny a request for requester if the Board receives a request produce the records with reasonable expedited processing within ten for a record in which: effort and without unduly burdening or working days of receipt of the request. (i) Another Federal agency subject to significantly interfering with any of the If the Secretary of the Board grants the the FOIA has a significant interest, but Board’s operations. The request shall be request for expedited processing, the not the primary interest; or submitted in writing to the Secretary of Board shall process the request for (ii) Another Federal agency not the Board at LOCAL Television Loan access to information as soon as subject to the FOIA has the primary Guarantee Board, 1400 Independence practicable. If the Secretary of the Board interest or a significant interest. Avenue, SW., STOP 1575, Room 2919– denies a request for expedited Ordinarily, the agency that originated a S, Washington, DC 20250–1575, or sent processing, the requester may file an record will be presumed to have the by facsimile to the Secretary of the appeal pursuant to the procedures set primary interest in it. Board at (202) 720–2734. The request forth in paragraph (e) of this section, (6) Providing responsive records. (i) A shall be clearly marked FREEDOM OF and the Board shall respond to the copy of records or portions of records INFORMATION ACT REQUEST. appeal within twenty days after the responsive to the request shall be sent (3) Contents of request. The request appeal was received by the Board. to the requester by regular U.S. mail to shall contain the following information: (3) Time limits. The time for response the address indicated in the request, (i) The name and address of the to requests shall be 20 working days, unless the requester elects to take requester, and the telephone number at except: delivery of the documents at the Board’s which the requester can be reached (i) In the case of expedited treatment Freedom of Information Office or makes during normal business hours; under paragraph (d)(2) of this section; other acceptable arrangements, or the (ii) Whether the requested (ii) Where the running of such time is Secretary of the Board deems it information is intended for commercial suspended for payment of fees pursuant appropriate to send the documents by use, or whether the requester represents to paragraph (f)(2)(ii) of this section; another means. The Secretary of the an educational or noncommercial (iii) Where the estimated charge is Board shall provide a copy of the record scientific institution, or news media; less than $250, and the requester does in any form or format requested if the (iii) A statement agreeing to pay the not guarantee payment pursuant to record is readily reproducible in that applicable fees, or a statement paragraph (f)(2)(i) of this section; or form or format, but the Secretary of the identifying any fee limitation desired, or (iv) In unusual circumstances, as Board need not provide more than one a request for a waiver or reduction of defined in 5 U.S.C. 552(a)(6)(B)(iii), the copy of any record to a requester. fees that satisfies paragraph (f) of this time limit may be extended for a period (ii) The Secretary of the Board shall section. of time not to exceed 10 working days provide any reasonably segregable (d) Processing requests—(1) Priority of as provided by written notice to the portion of a record that is responsive to responses. The date of receipt for any requester, setting forth the reasons for the request after deleting those portions request, including one that is addressed the extension and the date on which a that are exempt under the FOIA or this incorrectly or that is referred to the determination is expected to be section. Board by another agency, is the date the dispatched; or such alternative time (iii) Except where disclosure is Secretary of the Board actually receives period as mutually agreed to by the expressly prohibited by statute, the request. The Secretary of the Board Secretary of the Board and the requester regulation, or order, the Secretary of the shall normally process requests in the when the Secretary of the Board notifies Board may authorize the release of order they are received. However, in the the requester that the request cannot be records that are exempt from mandatory Secretary of the Board’s discretion, the processed in the specified time limit. disclosure whenever the Board or Board may use two or more processing (4) Response to request. In response to designated Board members determine tracks by distinguishing between simple a request that satisfies paragraph (c) of that there would be no foreseeable harm and more complex requests based on the this section, an appropriate search shall in such disclosure.

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(iv) The Board is not required in paragraph (f)(3) of this section) will be pay fees by check or money order made response to the request to create records charged no search fee and certain other payable to the Treasury of the United or otherwise to prepare new records. requesters (as provided in paragraph States. (7) Prohibition against disclosure. (f)(3)) are entitled to the cost equivalent (i) Advance notification of fees. If the Except as provided in this part, no of two hours of manual search time estimated charges are likely to exceed officer, employee, or agent of the Board without charge. These direct costs $25, the Secretary of the Board shall shall disclose or permit the disclosure of include the costs, attributable to the notify the requester of the estimated any unpublished information of the search, of operating a central processing amount, unless the requester has Board to any person (other than Board unit and operator/programmer salary. indicated a willingness to pay fees as officers, employees, or agents properly (ii) Duplication. Duplication fees will high as those anticipated. Upon receipt entitled to such information for the be charged to all requesters, subject to of such notice, the requester may confer performance of official duties), unless the limitations of paragraph (f)(1)(iv) of with the Secretary of the Board to required by law. this section. For a paper photocopy of reformulate the request to lower the (e) Appeals. (1) Any person denied a record (no more than one copy of costs. The processing of the request access to Board records requested under which need be supplied), the fee shall shall be suspended until the requester paragraph (c) of this section, denied be 15 cents per page. For copies provides the Secretary of the Board with expedited processing under paragraph produced by computer, such as tapes or a written guarantee that payment will be (d) of this section, or denied a waiver of printouts, the Secretary of the Board made upon completion of the fees under paragraph (f) of this section shall charge the direct costs, including processing. may file a written appeal within 30 operator time, of producing the copy. (ii) Advance payment. The Secretary calendar days after the date of such For other forms of duplication, the of the Board shall require advance denial with the Board. The written Secretary of the Board will charge the payment of any fee estimated to exceed appeal shall prominently display the direct costs of that duplication. $250. The Secretary of the Board shall phrase FREEDOM OF INFORMATION (iii) Review. Review fees shall be also require full payment in advance ACT APPEAL on the first page, and charged to requesters who make a where a requester has previously failed shall be addressed to Chairman of the commercial use request. Review fees to pay a fee in a timely fashion. If an Board, LOCAL Television Loan shall be charged only for the initial advance payment of an estimated fee Guarantee Board, 1400 Independence record review—the review done when exceeds the actual total fee by $1 or Avenue, SW., STOP 1575, Room 2919– the Secretary of the Board determines more, the difference shall be refunded to S, Washington, DC 20250–1575, or sent whether an exemption applies to a the requester. The time period for by facsimile to (202) 720–2734. The particular record at the initial request responding to requests under paragraph appeal shall include a copy of the level. No charge will be made for review (d)(4) of this section, and the processing original request, the initial denial, if at the administrative appeal level for an of the request shall be suspended until any, and a statement of the reasons why exemption already applied. However, the Secretary of the Board receives the the requested records should be made records withheld under an exemption required payment. available and why the initial denial was that is subsequently determined not to (iii) Late charges. The Secretary of the in error. apply may be reviewed again to Board may assess interest charges when (2) The Chairman of the Board shall determine whether any other exemption fee payment is not made within 30 days make a determination regarding any not previously considered applies, and of the date on which the billing was appeal within 20 working days of actual the costs of that review are chargeable. sent. Assessment of such interest will receipt of the appeal, and the Review fees shall be the direct costs of commence on the 31st day following the determination letter shall notify the conducting the review by the involved day on which the billing was sent. appealing party of the right to seek employees. Interest is at the rate prescribed in 31 judicial review in event of denial. (iv) Limitations on charging fees. (A) U.S.C. 3717. (f) Fee schedules and waiver of fees— No search fee will be charged for (3) Categories of uses. The fees (1) Fee schedule. The fees applicable to requests by educational institutions, assessed depend upon the fee category. a request for records pursuant to noncommercial scientific institutions, In determining which category is paragraph (c) of this section are set forth or representatives of the news media. appropriate, the Secretary of the Board in the uniform fee schedule at the end (B) No search fee or review fee will be shall look to the identity of the requester of this paragraph (f). charged for a quarter-hour period unless and the intended use set forth in the (i) Search. (A) Search fees shall be more than half of that period is required request for records. Where a requester’s charged for all requests other than for search or review. description of the use is insufficient to requests made by educational (C) Whenever a total fee calculated make a determination, the Secretary of institutions, noncommercial scientific under this paragraph is $25 or less for the Board may seek additional institutions, or representatives of the any request, no fee will be charged. clarification before categorizing the news media, subject to the limitations of (D) For requesters other than those request. paragraph (f)(1)(iv) of this section. The seeking records for a commercial use, no (i) Commercial use requester. The fees Secretary of the Board shall charge for fee will be charged unless the cost of for search, duplication, and review time spent searching even if no search in excess of two hours plus the apply when records are requested for responsive record is located or if the cost of duplication in excess of 100 commercial use. Secretary of the Board withholds the pages totals more than $25. (ii) Educational, non-commercial record(s) located as entirely exempt (2) Payment procedures. All persons scientific institutions, or representatives from disclosure. Search fees shall be the requesting records pursuant to of the news media requesters. The fees direct costs of conducting the search by paragraph (c) of this section shall pay for duplication apply when records are the involved employees. the applicable fees before the Secretary not sought for commercial use, and the (B) For computer searches of records, of the Board sends copies of the requester is a representative of the news requesters will be charged the direct requested records, unless a fee waiver media or an educational or costs of conducting the search, although has been granted pursuant to paragraph noncommercial scientific institution, certain requesters (as provided in (f)(6) of this section. Requesters must whose purpose is scholarly or scientific

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research. The first 100 pages of (C) Whether the requester has the information shall state in reasonable duplication, however, will be provided intention and ability to disseminate the detail the facts supporting the free. information to the public; commercial or financial nature of the (iii) All other requesters. For all other (D) Whether the information is business information and the legal requests, the fees for search and already in the public domain; justification under which the business duplication apply. The first two hours (E) Whether the requester has a information should be protected. of search time and the first 100 pages of commercial interest that would be Conclusory statements that release of duplication, however, will be provided furthered by the disclosure; and, if so, the information would cause free. (F) Whether the magnitude of the competitive harm generally will not be identified commercial interest of the (4) Nonproductive search. Fees for considered sufficient to justify requester is sufficiently large, in search may be charged even if no confidential treatment. comparison with the public interest in (3) Designation and separation of responsive documents are found. Fees disclosure, that disclosure is primarily confidential material. All information for search and review may be charged in the commercial interest of the considered confidential by a submitter even if the request is denied. requester. shall be clearly designated (5) Aggregated requests. A requester (ii) Contents of request for waiver. A ‘‘PROPRIETARY’’ or ‘‘BUSINESS may not file multiple requests at the request for a waiver or reduction of fees CONFIDENTIAL’’ in the submission and same time, solely in order to avoid shall include a clear statement of how separated from information for which payment of fees. If the Secretary of the the request satisfies the criteria set forth confidential treatment is not requested. Board reasonably believes that a in paragraph (f)(6)(i) of this section. Failure to segregate confidential requester is separating a request into a (iii) Burden of proof. The burden shall commercial or financial information series of requests for the purpose of be on the requester to present evidence from other material may result in release evading the assessment of fees or that or information in support of a request of the nonsegregated material to the several requesters appear to be acting for a waiver or reduction of fees. public without notice to the submitter. together to submit multiple requests (iv) Determination by Secretary of the (h) Request for access to confidential solely in order to avoid payment of fees, Board. The Secretary of the Board shall commercial or financial information— the Secretary of the Board may aggregate make a determination on the request for (1) Request for confidential commercial such requests and charge accordingly. It a waiver or reduction of fees and shall or financial information. A request by a is considered reasonable for the notify the requester accordingly. A submitter for confidential treatment of Secretary of the Board to presume that denial may be appealed to the Board in any business information shall be multiple requests by one requester on accordance with paragraph (e) of this considered in connection with a request the same topic made within a 30-day section. for access to that information. period have been made to avoid fees. (7) Uniform fee schedule. (2) Notice to the submitter. (i) The (6) Waiver or reduction of fees. A Secretary of the Board shall notify a request for a waiver or reduction of the Service Rate submitter who requested confidential fees, and the justification for the waiver, treatment of information pursuant to 5 shall be included with the request for (i) Manual search ...... Actual salary rate of U.S.C. 552(b)(4), of the request for records to which it pertains. If a waiver employee involved, access. plus 16 percent of (ii) Absent a request for confidential is requested and the requester has not salary rate. indicated in writing an agreement to pay treatment, the Secretary of the Board (ii) Computerized Actual direct cost, in- may notify a submitter of a request for the applicable fees if the waiver request search. cluding operator is denied, the time for response to the time. access to submitter’s business request for documents, as set forth in (iii) Duplication of information if the Secretary of the Board under paragraph (d)(4) of this section, records: reasonably believes that disclosure of shall not begin until a determination has (A) Paper copy $.15 per page. the information may cause substantial been made on the request for a waiver reproduction. competitive harm to the submitter. (B) Other repro- Actual direct cost, in- (iii) The notice given to the submitter or reduction of fees. duction (e.g., cluding operator by mail, return receipt requested, shall (i) Standards for determining waiver computer disk time. be given as soon as practicable after or reduction. The Secretary of the Board or printout, receipt of the request for access, and may grant a waiver or reduction of fees microfilm, shall describe the request and provide microfiche, or where it is determined both that the submitter seven working days from disclosure of the information is in the microform). (iv) Review of records Actual salary rate of the date of notice, to submit written public interest because it is likely to objections to disclosure of the contribute significantly to public (includes employee conducting review, preparation for re- plus 16 percent of information. Such statement shall understanding of the operation or lease, i.e. excising). salary rate. specify all grounds for withholding any activities of the government, and that of the information and shall the disclosure of information is not (g) Request for confidential treatment demonstrate why the information which primarily in the commercial interest of of business information—(1) Submission is considered to be commercial or the requester. In making this of request. Any submitter of information financial information, and that the determination, the following factors to the Board who desires confidential information is a trade secret, is shall be considered: treatment of business information privileged or confidential, or that its (A) Whether the subject of the records pursuant to 5 U.S.C. 552(b)(4) shall file disclosure is likely to cause substantial concerns the operations or activities of a request for confidential treatment with competitive harm to the submitter. If the the government; the Board at the time the information is submitter fails to respond to the notice (B) Whether disclosure of the submitted or a reasonable time after within the time specified, the submitter information is likely to contribute submission. will be considered to have no objection significantly to public understanding of (2) Form of request. Each request for to the release of the information. government operations or activities; confidential treatment of business Information a submitter provides under

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this paragraph may itself be subject to PART 2201—LOCAL TELEVISION incidental to, the terms and conditions disclosure under the FOIA. LOAN GUARANTEE PROGRAM— of the Guarantee. (3) Exceptions to notice to submitter. PROGRAM REGULATIONS Applicant means any party that is seeking financing under the Act in order Notice to the submitter need not be Subpart A—General given if: to provide access to Local Television Sec. Broadcast Signals for households in (i) The Secretary of the Board 2201.1 Definitions. Nonserved Areas and Underserved determines that the request for access 2201.2–2201.8 [Reserved] Areas. should be denied; 2201.9 Limitation on the applicability of Asset means anything owned by the the definition of Local Television (ii) The requested information Broadcast signals. Applicant that has commercial or lawfully has been made available to the exchange value including, but not public; Subpart B—Loan Guarantees limited to, cash flows and rights thereto. (iii) Disclosure of the information is 2201.10 Loan amount and Guarantee Banking Institution means a bank or required by law (other than 5 U.S.C. percentage. bank holding company. 2201.11 Application requirements. 552); or Board means the LOCAL Television 2201.12 Applicant. Loan Guarantee Board authorized by the 2201.13 Lender. (iv) The submitter’s claim of Act to approve Guarantees to facilitate confidentiality under 5 U.S.C. 552(b)(4) 2201.14 Eligible Loan purposes. 2201.15 Ineligible Loan purposes. access, on a technologically neutral appears obviously frivolous or has basis, to Local Television Broadcast already been denied by the Secretary of 2201.16 Environmental requirements. 2201.17 Submission of applications. Signals for households located in the Board, except that in this last 2201.18 Application selection. Nonserved Areas and Underserved instance the Secretary of the Board shall 2201.19 Loan terms. Areas. give the submitter written notice of the 2201.20 Collateral. Borrower means the entity liable for determination to disclose the 2201.21 Fees. the payment of principal and interest on information at least seven working days 2201.22 Issuance of Guarantees. any Loan guaranteed under the Act, prior to disclosure. 2201.23 Funding for the Program. 2201.24 Insurance. where such entity shall be a (4) Notice to requester. At the same 2201.25 Performance Agreement. corporation, partnership, joint venture time the Secretary of the Board notifies 2201.26 Lender standard of care. trustee or government entity, agency or the submitter, the Secretary of the Board 2201.27 Assignment or transfer of Loans. instrumentality. An individual cannot also shall notify the requester that the 2201.28 Participation in guaranteed Loans. be a Borrower. request is subject to the provisions of 2201.29 Supplemental guarantees. Collateral means all Assets this section. 2201.30 Adjustments. economically pledged by the Applicant, 2201.31 Indemnification. (5) Determination by Secretary of the any Affiliate of the Applicant, or both 2201.32 Termination of obligations. that is required under the provisions of Board. The Secretary of the Board’s 2201.33 Defaults. determination whether or not to 2201.34 OMB Control Number. the Act or the Loan Documents to secure disclose any information for which the repayment of the indebtedness of Authority: 47 U.S.C. 1101 et seq.; Pub. L. the Borrower under the Loan confidential treatment has been 106–553; Pub. L. 107–171. requested pursuant to this section shall Documents. be communicated to the submitter and Subpart A—General Default means a failure by a Borrower, the requester immediately. If the other than a Payment Default, on its Secretary of the Board determines to § 2201.1 Definitions. obligations under the Loan Documents disclose the business information over Act means Title X of Public Law 106– which has not been cured by the the objection of a submitter, the 553, entitled the Launching Our Borrower or duly waived by the Lender Secretary of the Board shall give the Communities’ Access to Local within any applicable cure period. submitter written notice via mail, return Television (LOCAL TV) Act of 2000, as Designated Market Area (DMA) means receipt requested, or similar means, amended. an area designated as such by Nielsen which shall include: Administrator means the Media Research and published in the Administrator of the Rural Utilities most recent Nielsen Station Index (i) A statement of reason(s) why the Service, U.S. Department of Agriculture, Directory and Nielsen Station Index submitter’s objections to disclosure acting pursuant to the Act and on behalf United States Television Household were not sustained; of the Board. Estimates. (ii) A description of the business Affiliate means any person or entity Generally Accepted Accounting information to be disclosed; and that controls, or is controlled by, or is Principles (GAAP) means a common set (iii) A statement that the component under common control with, another of accounting standards and procedures intends to disclose the information person or entity; and may include any that are either promulgated by an seven working days from the date the individual who is a director or senior authoritative accounting rulemaking submitter receives the notice. management officer of an Affiliate, a body or accepted as appropriate due to shareholder controlling more than 25 wide-spread application in the United (6) Notice of lawsuit. The Secretary of percent of the voting securities of an States. the Board shall promptly notify any Affiliate, or more than 25 percent of the Guarantee means the written submitter of information covered by this ownership interest in an Affiliate not agreement, including all terms and section of the filing of any suit against organized in stock form. conditions and all exhibits thereto, the Board to compel disclosure of such Agent means that Lender authorized guaranteeing repayment of a specified information, and shall promptly notify a to take such actions, exercise such percentage of the principal of a Loan requester of any suit filed against the powers, and perform such duties on pursuant to the Act. Board to enjoin the disclosure of behalf and in representation of all Guaranteed Portion means the portion requested documents. Lenders party to a Guarantee of a single of the principal of a loan that is subject ■ 5. Part 2201 is added to read as follows: Loan, as is required by, or necessarily to the Guarantee.

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High-Speed Internet means a data CFR 76.5(n), and more than 50 percent Project means a proposal for the connection to the Internet providing an outside of prime time over a 3-month acquisition, improvement, information rate exceeding 200 kilobits period, the signal of any one of these enhancement, construction, per second (kbps) in the consumer’s Television Broadcast Stations will deployment, launch, or rehabilitation of connection to the network in at least qualify as the Local Television the means to deliver Local Television one direction, either from the provider Broadcast Signal. In areas not included Broadcast Signals to a Nonserved Area to the consumer (downstream) or from in a DMA, but under the jurisdiction of or Underserved Area. the consumer to the provider the Federal Communications Regulatory Capital Ratio means tier 1 (upstream). Commission (FCC), an appropriate set of and total capital ratios as shown on a Lender means an entity that has Local Television Broadcast Signals will Banking Institution’s balance sheet. committed to make a Loan to an be determined on a case-by-case basis, Security means all Collateral required Applicant, where such entity shall be: subject to the approval of the Board. by the provisions of the Act or the Loan (1) An entity currently engaged in Low Power Television Station means a Documents to secure repayment of any commercial lending in the normal station authorized by the FCC under indebtedness of the Borrower under the course of its business; or subpart G of part 74 of title 47, Code of Loan Documents. (2) A nonprofit corporation, including Federal Regulations, that may retransmit Separate Tier of Local Television the National Rural Utilities Cooperative the programs and signals of a Television Broadcast Signals means a category or Finance Corporation, engaged primarily Broadcast Station and that may originate package of services provided by the in commercial lending, but does not programming in any amount greater applicant, to include the Local include any governmental entity or any than 30 seconds per hour and/or Television Broadcast Signals and all Affiliate thereof, the Federal operates a subscription service. over-the-air television broadcast signals Agricultural Mortgage Corporation, any Net equity means the value of the total carried pursuant to the must-carry institution supervised by the Office of Assets of an entity, less the total requirement of the Communications Act Federal Housing Enterprise Oversight, liabilities of that entity, as recorded of 1934, as amended, offered as a the Federal Housing Finance Board, or under Generally Accepted Accounting distinct and separate service choice to any Affiliate of such entities. Loan means a Loan guaranteed Principles for the fiscal quarter ended the applicant’s subscribers at a specified pursuant to the Act and includes the immediately prior to the date on which lower rate when compared to other funds made available to the Borrower by the subject Loan is approved. program service choices. the Lender. Net Worth Ratio means the book value Television Broadcast Station means Loan Agreement means the contract of equity over total Assets. an over-the-air commercial or between the Lender and the Borrower, Nonserved Area means any area that noncommercial Television Broadcast approved by the Board, setting forth the is outside the grade B contour (as Station licensed by the FCC under terms applicable to the Loan. determined using standards employed subpart E of part 73 of title 47, Code of Loan Documents means the Loan by the Federal Communications Federal Regulations, except that such Agreement, Guarantee and all other Commission (FCC)) of the Local term does not include a Low Power instruments, and all documentation Television Broadcast Signals serving a Television Station or Television between or among the Lender, the particular Designated Market Area and Broadcast Translator Station. Borrower, and the Board or does not have access to such signals by Television Broadcast Translator Administrator, evidencing the making, any commercial, for profit, Station means a station in the broadcast disbursing, securing, collecting, or multichannel video provider. service operated for the purpose of otherwise administering of the Loan. Offer of Guarantee means the Board’s retransmitting the programs and signals Local Television Broadcast means the decision to approve an application for, of a Television Broadcast Station, signals of all Television Broadcast and extend a Guarantee under, the without significantly altering any Stations located in a DMA. However, LOCAL TV Act. characteristic of the original signal other when more than one commercial Payment Default means any failure of than its frequency and amplitude, for Television Broadcast Station within the a Borrower to pay any amount of the purpose of providing television same DMA is affiliated with a particular principal or interest on the Loan when reception to the general public. Television Network, the signal of any and as due under the Loan Agreement Television Network means an entity one of these commercial Television (including, without limitation, which offers an interconnected program Broadcast Stations will qualify as the following any acceleration thereunder) service on a regular basis for 15 or more Local Television Broadcast Signal of the which has not been cured within any hours per week to at least 25 affiliated network at that location, unless such applicable cure period. broadcast stations in 10 or more States. stations are licensed to communities in Payment Demand means a request, by Term Sheet means an executed different States, in which case both the Lender or Agent, following a agreement between the Applicant and stations must be counted. Even if they Payment Default, in writing to the the Lender or Agent that sets forth the are not affiliated with the same Board, for payment under the Guarantee key business terms and conditions of Television Network, when two or more in respect of the defaulted principal. the proposed Loan. Execution of this commercial Television Broadcast Performance Agreement means the agreement represents evidence of the Stations simultaneously broadcast the written agreement between the commitment between the Applicant and identical programming for more than 50 Administrator and the Borrower (and Lender or Agent. percent of the broadcast week, the signal Lender, if applicable), pursuant to Underserved Area means any area of any one of these Television Broadcast which the Borrower provides stipulated that is outside the grade A contour (as Stations will qualify as the Local performance schedules with respect to determined using standards employed Television Broadcast Signal. When two Local Television Broadcast Signals by the Federal Communications or more noncommercial television provided through the Project. Commission) of the Local Television stations simultaneously broadcast the Program means the LOCAL Television Broadcast Signals serving a particular same programming for more than 50 Loan Guarantee Program (LOCAL TV Designated Market Area and has access percent of prime time as defined in 47 Program) established under the Act. to such signals from not more than one

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commercial, for profit, multichannel Local Television Broadcast Signals or Incorporation and bylaws for video provider. the provision of signals to areas other incorporated Applicants; other types of Unguaranteed Portion means the than Nonserved or Underserved Areas. Applicants should submit appropriate portion of the principal of a Loan that However, any amounts of a Loan which documentation for their forms of is not covered by the Guarantee. the Board determines will be used for organization. If the Applicant is a separable costs not essential to funding special purpose entity (SPE) formed for §§ 2201.2—2201.8 [Reserved] the means by which Local Television the purpose of the Project, then the § 2201.9 Limitation on the applicability of Broadcast Signals are delivered to a Applicant must provide a copy of the the definition of Local Television Broadcast Nonserved Area or Underserved Area, Deed of Partnership or Articles of Signals. will be excluded from the portion of the Organization for the SPE. Notwithstanding the definition of Loan eligible for a Guarantee. (2) Affiliates descriptions. A listing of Local Television Broadcast Signals (c) Minimum Loan Amount. The all Affiliates of the Applicant including provided in § 2201.1 of this part, if an Board will not approve a Guarantee for a description of the nature of the area is being served by either a satellite a Loan in an amount less than Applicant’s relationship to each carrier which rebroadcasts signals of $1,000,000 (inclusive of both the Affiliate. Any existing or proposed Television Broadcast Stations located in Guaranteed and Unguaranteed Portions contractual arrangements with each the DMA or a cable television system, of the Loan). Affiliate should be described. and that satellite carrier or cable § 2201.11 Application requirements. (3) Legal name. The legal name and television system is currently in form of organization of the proposed A completed application consists of compliance with the rules administered Lender or Agent. the following information: by the Federal Communications (4) Cover Form. A signed copy of Commission (FCC) as described in part (a) An executive summary of the Project. The Applicant must provide the Standard Form 424. 76 of title 47, Code of Federal (5) Management Credentials. A Regulations, the group of signals of Board with a general Project overview that addresses each of the following six description of the experience and Television Broadcast Stations located in capabilities of the Applicant’s the DMA being retransmitted by such categories: (1) A general overview of the system management to carry out the Project. satellite carrier or cable television to be developed and description of the (c) A business plan. A plan, system will be considered to meet the Project including the types of satisfactory to the Board, presenting in definition of Local Television Broadcast equipment, technologies, and facilities detail the fundamentals of the business Signals for the purposes of the to be used; and providing sufficient financial data regulation. (2) An explanation of how the to indicate that the business will be Subpart B—Loan Guarantees Applicant will provide Local Television economically sustainable. The business Broadcast Signals to Nonserved Areas plan should include, at a minimum: § 2201.10 Loan amount and Guarantee and Underserved Areas; (1) Risk Assessments. An assessment percentage. (3) A short description of the of the risks related to construction, (a) Aggregate Value of Loans. The Applicant including a written narrative performance, demand, and financing aggregate value of all Loans for which describing its demonstrated capability structure, including a narrative Guarantees are issued under the and experience in providing access to statement detailing planned risks Program, including the Unguaranteed Local Television Broadcast Signals for mitigation strategies; Portions of such Loans, may not exceed households; (2) Plans. A comprehensive $1,250,000,000. (4) An explanation of the total Project operations and maintenance plan, as (b) Guarantee Percentage. (1) A cost including a breakdown of the Loan well as a marketing strategy; Guarantee approved by the Board may required and the source of funding for (3) Economic and Financial Analysis. not exceed an amount equal to 80 the remainder of the Project, if a portion A review of economic and financial percent of the principal amount of a of the Project is to be paid with non- factors affecting the business in general Loan made to finance the acquisition, Loan funds; and the Project in particular. Applicants improvement, enhancement, (5) The name of the Lender or Agent should refer to economic and financial construction, deployment, launch, or (including a listing of other conditions in the past three years, and rehabilitation of the means by which participating Lenders, if applicable) and also discuss expectations of such Local Television Broadcast Signals are a description of the financing structure conditions in the future, including: delivered to a Nonserved Area or of the proposed Loan; and (i) The adequacy and stability of the Underserved Area; (6) A general description of the business’ customer base. Applicants (2) If only a portion of a Loan is meant geographic area to be served. to achieve the purposes described in (b) Background information. General should provide information on the paragraph (b)(1) of this section, the information concerning the Applicant, number of subscribers, subscriber Board shall determine that portion of its Affiliates, and its Lender or Agent, churn, subscriber acquisition cost or the Loan meant to achieve such purpose including a description of any financial cost per gross added, subscriber and may approve a Guarantee in an and contractual arrangements among the penetration, geographic concentration of amount not exceeding 80 percent of that parties. Specific information required of customers, nature of the terms of portion of the Loan. all Applicants is as follows: customer contracts, customer technical (3) The portion of the Loan meant to (1) Evidence of legal authority and support, customer satisfaction and achieve the purposes described in existence of the applicant. The retention; paragraph (b)(1) of this section will not Applicant must provide evidence of its (ii) The demand for services; be lowered simply because the means legal existence and authority to execute (iii) The sensitivity of the business to by which Local Television Broadcast the Loan Documents under the economic cycles; Signals are delivered to a Nonserved proposed Loan and perform the (iv) Future capital needs; Area or Underserved Area also enable activities proposed under the Project. (v) The adequacy, competitiveness either the provision of signals other than Such evidence must include Articles of and affordability of service fees;

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(vi) An overview of the prevailing shareholders of the Applicant, estimated the cables, and intended number of economic and demographic trends in Project costs, and proposed terms. channels, frequencies used, bandwidth the target service area; and (3) A Pro-forma financial forecast capacity, etc.), and the serving area of (vii) Information on programming covering the life of the proposed loan, the proposed facilities; content and costs. including balance sheets, income (3) The intended capabilities of the (4) Project Market Analysis. A statements and cash flow statements, Project’s facilities, including bandwidth, breakdown of the key elements of the with an explanation of assumptions. proposed television signal topology, Project, including: These Projections must be prepared in standards, and television signal (i) All proposed services to be offered, accordance with Generally Accepted transmission protocols. In addition, the including High-speed Internet Service, Accounting Principles and should Applicant must explain the manner in and whether a Separate Tier of Local discuss such issues as the effects of which the transmission facilities will Television Broadcast Signals will be inflation, competition, ongoing repair deliver the proposed Local Television provided; and replacement needs, technological Broadcast Signals, including any (ii) The total number of households, obsolescence, working capital equipment necessary to receive the by DMA, and by Nonserved and requirements, and other factors that may signals which will be located at the Underserved Area, which will have affect the Applicant’s ability to meet its subscribers’ premises, and/or, near or on access to Local Television Broadcast debt service obligations. the subscribers’ television sets; Signals under the Project; (4) Project budget. A detailed cost (4) A listing of all regulatory (iii) The total number of households, breakdown of all facilities to be approvals required to operate facilities, by DMA, and by Nonserved and constructed as part of the Project. This including licenses, permits, and Underserved Area, which will have breakdown should be on a per unit franchises and the status of any required basis. It should also clearly show what access under the Project to any other approvals not obtained at the time of the will be financed with guaranteed loan services as described pursuant to application. For any approvals not yet funds and what will be financed with paragraph (c)(4)(i) of this section, received, the Applicant should provide other funds, consistent with the plan of including an explanation if this number details on the nature of the needed finance in paragraph (d)(2) of this is greater than the total identified in approval, the justification for expecting section. such an approval, the track-record of the paragraph (c)(4)(ii); (5) Commitments. The Applicant Applicant in obtaining such approvals, (iv) Estimates of the number of must disclose all reasonably foreseeable and the contingency plan in the event households identified in paragraphs financial obligations, contingent the approval is delayed; (c)(4)(ii) and (c)(4)(iii) which will liabilities, or other commitments that subscribe to each of the services could affect its financial health over the (5) A description of the television identified in paragraph (c)(4)(i) of this proposed financing term. At the Board’s signal sources (including, but not section by DMA, including a breakdown request, the Applicant must take all limited to local, regional and national of Nonserved and Underserved reasonable measures to insulate the television signal broadcasters, other households; Project and the Loan from external television signal providers, content (v) A breakdown of the Applicant’s factors that could affect timely payment providers, cable television operators and proposed pricing coupled with an of principal and interest. The Board may providers, enhanced service providers, evaluation of any competitor’s services ask for additional detailed information providers of satellite services, and the offerings and pricings; and on commitments where it is deemed anticipated role of such providers in the (vi) A service deployment plan and a necessary. proposed Project); deployment performance schedule, by (6) Credit enhancement. In cases (6) The results of discussions, if any, DMA, for the services to access the where an Affiliate provides credit with local television broadcasters Local Television Broadcast Signals. enhancement, the Applicant must serving the Project area; (d) Financial forecast and provide documentation demonstrating (7) An identification of all Local information. The Applicant must the Affiliate is sufficiently capitalized Television Broadcast Signals that will demonstrate its financial ability to and evidencing the strength, extent, be carried by the Project; complete and maintain the Project and limitations, and priority of the credit (8) An identification of the digital repay its obligations. The financial data enhancement relative to the other signal quality and capacity in megabits must include the following: obligations of the Affiliate. per second (Mb/s) that will be required (1) Audited financial statements. (e) A certified system plan, technical to digitally broadcast all Local Income statements, balance sheets, and analysis, and design. Prepared by Television Broadcast Signals to be cash flow statements for at least the last qualified personnel on the Applicant’s provided by the Project; three years or from the date of inception staff or by a licensed consulting (9) An identification of the net usable if less than three years. If the Applicant engineer, consisting of the following: bandwidth, in Mb/s, that are surplus to is an SPE, then the Applicant must (1) A detailed description of the the provision of the Local Television provide at least the last three years of proposed service area including maps of Broadcast Signals to be provided by the audited financial statements of the the service area; Project and that will be used to provide shareholders or partners of the SPE. If (2) A TV Signals Coverage Diagram High Speed Internet Service; and an Affiliate has been designated by the and detailed description of all existing (10) A description of the extent to Applicant as a source of credit support, and proposed facilities. The diagram which the Project will enable the then at least three years audited must include proposed route miles of delivery of Local Television Broadcast financial statements for the Affiliate cable plant, if applicable, the estimated Signals by a means reasonably must be submitted as well. area served, types of facilities to be compatible with existing systems or (2) Plan of finance. An identification deployed (terrestrial microwave or devices predominantly in use for the and explanation of all sources and uses satellite microwave, wireless, translator, reception of television signals. of funds throughout the proposed loan fiber optic cable or coaxial cable, (f) Lender information—(1) Lender. period, including, but not limited to, electronic equipment, etc.), the capacity The Application shall include the any payments to Affiliates or of the facilities (number of fibers, size of information described in § 2201.13(b),

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(c) and (d) of this part concerning the The Board will utilize this preliminary (l) Additional information required by Lender or Lenders. credit assessment to assist in evaluating the Board. The Applicant must provide (2) Term Sheet. The Application shall the creditworthiness of the proposed any additional information the Board include a signed Term Sheet. transaction and determining whether it determines is necessary to adequately (3) Lender’s Analysis. The Applicant provides a reasonable assurance of evaluate the application. shall submit the Lender’s detailed repayment. In addition, applicants for (m) Application Fee. For an analysis of the creditworthiness of the loans less than $15 million that have a application to be considered complete, transaction at the time of application credit rating shall provide that credit the Applicant must submit a check and any supporting due diligence rating to the Board. The Board will payable to the United States Treasury in documentation, including a complete utilize this preliminary credit the amount of the application fee as set underwriting analysis of the Project assessment (for loans over $15 million) forth in § 2201.21(a) of this part. (assessing Applicant creditworthiness or an existing credit rating (for loans (n) Incomplete application. An and Project feasibility) exercising the less than $15 million) to assist in incomplete application, including any Lender’s standard of care as set forth at evaluating the creditworthiness of the fee submitted therewith, will be § 2201.26(a). proposed transaction and determining returned to the Applicant without (4) Certification. The Lender must whether it provides a reasonable action. certify that the information provided assurance of repayment. The Board may pursuant to paragraphs (f)(1), (2) and (3) approve a Guarantee over $15 million § 2201.12 Applicant. of this section is true and accurate. only if it receives a final credit rating (a) Eligibility. (1) The Board will make (5) Additional Information. The Board opinion letter from the rating agency on a determination of eligibility of an will request any other information the the Loan that is in form and substance Applicant to be a Borrower under the Board deems material to its assessment acceptable to the Board. Program based upon the Applicant’s of the Lender. (3) Evidence of Lack of Credit ability to directly provide, as a result of (g) Other Financial Information—(1) Elsewhere. The Applicant shall provide financing received under the Program, Collateral. The Applicant shall provide the information required pursuant to Local Television Broadcast Signals to a detailed description and valuation of § 2201.12(b)(2)(v) of this part. households in Nonserved Areas and/or all Collateral to be used to secure the (h) Compliance with other Federal Underserved Areas and the information Loan. This valuation shall be supported statutes, regulations and Executive provided pursuant to paragraph (b) of by an independent, third party appraisal Orders. The Applicant must certify this section. for existing Assets, and/or adequate cost compliance with other applicable (2) A determination that an Applicant substantiation for Assets to be Federal statutes, regulations, and is eligible does not assure that the Board constructed for purposes of the Project, Executive Orders. will approve a Guarantee sought, or and in all cases shall be acceptable to (i) Environmental impact. The otherwise preclude the Board from the Board. Such a valuation should Applicant must provide information declining to approve a Guarantee. address, at a minimum, pledged Assets describing the Project’s impact on the (b) Documentation for Eligibility of the Applicant, any designated environment as required pursuant to Determination. (1) An Applicant must Affiliate of the Applicant, or both as § 2201.16 of this part. The application provide a Term Sheet evidencing a identified in the Loan Documents, may be submitted prior to final commitment of that Lender or Agent, including primary Assets to be used in determination of a Project’s and the Lenders it represents, to make the delivery of the service for which the environmental impacts; however, a a Loan to the Applicant upon an Offer Loan sought would be guaranteed. The Guarantee shall not be made and no of Guarantee by the Board, subject to the Applicant also must provide a Loan funds will be advanced prior to requirements of the Act and the depreciation schedule (as classified such determination and demonstrated regulations set forth in this part. under and in accordance with GAAP) compliance with all environmental (2) An Applicant must provide for the major Assets in order for the statutes, regulations and executive documentation demonstrating that: Board to determine the economically orders. (i) The Assets, facilities, or equipment useful life of the primary Assets to be (j) Federal debt certification. The covered by the Loan will be utilized used in delivery of the signals Applicant must provide a certification economically and efficiently; concerned. Appraisals of real property that it is not delinquent on any (ii) The terms, conditions, security, must be prepared by State licensed or obligation owed to the government (7 and schedule and amount of repayments certified appraisers, and be consistent CFR parts 3016 and 3019). No Guarantee of principal and the payment of interest with the ‘‘Uniform Standards of will be made if either the Applicant or with respect to the Loan protect the Professional Appraisal Practice,’’ Lender has an outstanding, delinquent financial interests of the United States promulgated by the Appraisal Standards Federal debt until: and are reasonable; Board of the Appraisal Foundation. (1) The delinquent account has been (iii) Appropriate and adequate (2) Credit Opinion. With respect to paid in full; Collateral secures the Loan sought to be applications for a Loan of $15 million or (2) A negotiated repayment schedule guaranteed; more, the Applicant is required to is established and at least one payment (iv) All necessary and required obtain and submit to the Board a has been received; or regulatory and other approvals, preliminary credit rating opinion letter (3) Other arrangements, satisfactory to spectrum licenses, and delivery on the proposed transaction at the time the agency responsible for collecting the permissions for the Loan and the Project of application, prepared by a nationally debt, are made. under the Loan have been applied for or recognized statistical rating organization (k) Supplemental information. The obtained (a Guarantee shall not be made (rating agency) approved by the Board. Applicant should provide any and no Loan funds will be advanced This preliminary credit rating opinion additional information it considers until all such approvals, licenses and shall be based on the financing structure relevant to the Project and likely to be permissions have been obtained); proposed by the Applicant for the helpful in determining the extent to (v) The Loan would not be available Project absent the Federal Guarantee, which the Project would further the on reasonable terms and conditions without regard to recovery expectations. purposes of the Act. without a Guarantee under this

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Program. To satisfy this requirement, an all outstanding loans by the Lender to acquisition of licenses for the use of Applicant must provide, with its the Borrower and any of its Affiliates, spectrum in any competitive bidding. application, documentation from at least does not exceed 10 percent of the Net (b) The Applicant shall not transfer one lending institution other than the Equity of the Lender; and proceeds of the Loan to any Affiliate(s). Lender to which the Applicant has (3) If the Lender is a nonprofit (c) The Board will not fund a Project applied for financial assistance dated corporation, the Board determines that: that is designed primarily to serve one within six months of submission of the (i) Such nonprofit corporation has one or more of the top 40 Designated Market application, indicating that the or more issues of outstanding long-term Areas. Applicant was unable to obtain debt that is rated within the highest 3 (d) The Board will not fund a Project that would alter or remove National substantially the same Loan it is rating categories of a nationally Weather Service warnings from Local applying for on reasonable terms and recognized statistical rating conditions; and Television Broadcast Signals. organization, as evidenced by written (e) No Guarantee may be granted or (vi) Repayment of the Loan can confirmation from the nationally reasonably be expected. used to provide funds to a Project that recognized statistical rating extends, upgrades, or enhances the § 2201.13 Lender. organization, subject to updating upon services provided over any cable system request of the Board; and (a) Eligibility. (1) The Board will make to an area that, as of the enactment of (ii) The making of the Loan would not a determination of eligibility of a Lender the Act, is covered by a cable franchise cause a decline in the rating of such to make a Loan to be guaranteed under agreement that expressly obligates a Lender’s long-term debt below the the Program based upon the criteria set cable operator to serve such area. highest 3 rating categories of a forth in paragraphs (b) and (c) of this nationally recognized statistical rating § 2201.16 Environmental requirements. section. (2) A determination that a Lender is organization, as evidenced by written (a) General. (1) Environmental eligible does not assure that the Board confirmation from the nationally assessments of the Board’s actions will will approve a Guarantee sought, or recognized statistical rating be conducted in accordance with otherwise preclude the Board from organization, subject to updating upon applicable statutes, regulations, and other applicable authorities. Therefore, declining to approve a Guarantee. request of the Board. (b) Qualifications. In addition to (d) Agent. (1) An application for a each application for a Guarantee under evaluating an application pursuant to Guarantee of a single Loan that includes the Program must be accompanied by § 2201.18, in making a determination to participation of more than one Lender information necessary for the Board to approve a Guarantee to a Lender, the must identify one of the Lenders meet the requirements of applicable law. Board will assess: participating in such Loan to act as (2) Actions requiring compliance with (1) The Lender’s Regulatory Capital Agent for all Lenders. This Agent is NEPA. (i) The types of actions classified Ratios, in the case of Banking responsible for administering the Loan as ‘‘major Federal actions’’ subject to Institutions, or Net Worth Ratios, in the and shall have those duties and NEPA procedures are discussed in 40 case of other institutions; responsibilities required of an Agent, as CFR parts 1500 through 1508. (2) Whether the Lender possesses the set forth in the Guarantee. (2) If more than one Lender is seeking (ii) With respect to this Program, these ability to administer the Loan, including actions typically include: a Guarantee of a single Loan, each one its experience with loans to (A) Any Project, permanent or of the Lenders on the application must telecommunications companies; temporary, that will involve (3) The scope, volume and duration of meet the qualifications set forth in construction and/or installations; the Lender’s activity in administering paragraphs (b) and (c) of this section. (B) Any Project, permanent or loans, including federally guaranteed However, only the Agent must meet the temporary, that will involve ground loans; qualifications set forth in paragraph disturbing activities; and (4) The performance of the Lender’s (b)(2) and (3) of this section. (C) Any Project supporting loan portfolio, including its current (3) Each Lender, irrespective of any renovation, other than interior delinquency rate; indemnities or other agreements remodeling. (5) The Lender’s charge-off rate, between the Lenders and the Agent, (3) Environmental information expressed as a percentage of outstanding shall be bound by all actions, and/or required from the Applicant. (i) loans for its current fiscal year; failures to act, of the Agent. The Board Environmental data or documentation (6) If the Lender intends to sell and the Administrator shall be entitled concerning the use of the proceeds of participation interests in the Loan, the to rely upon such actions and/or failures any Loan guaranteed under this Program plan of syndication; and to act of the Agent as binding all must be provided by the Applicant to (7) Any other matter the Board deems Lenders. the Board to assist the Board in meeting material to its assessment of the Lender. its legal responsibilities. (c) A Loan will not be guaranteed § 2201.14 Eligible Loan purposes. (ii) Such information includes: unless: To be guaranteed under the Program, (A) Documentation for an (1) If the Lender is not a nonprofit a Loan must be made for the purpose of environmental threshold review from corporation and is subject to loan-to- financing the acquisition, improvement, qualified data sources, such as a one-borrower and Affiliate transaction enhancement, construction, Federal, State or local agency with restrictions under applicable law, the deployment, launch, or rehabilitation of expertise and experience in Loan is made in accordance with such the means by which Local Television environmental protection, or other restrictions; Broadcast Signals will be delivered to a sources, qualified to provide reliable (2) If the Lender is not a nonprofit Nonserved Area or Underserved Area. environmental information; corporation and is not subject to the (B) Any previously prepared restrictions described in paragraph (c)(1) § 2201.15 Ineligible Loan purposes. environmental reports or data relevant of this section, the Loan is made to a (a) The proceeds of the Loan shall not to the Loan at issue; Borrower that is not an Affiliate of the be used for operating, advertising, or (C) Any environmental review Lender and the amount of the Loan, and promotion expenses, or for the prepared by Federal, State, or local

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agencies relevant to the Loan at issue; attention of the Secretary of the Board. (I) A sole source aquifer recharge area; and The Secretary of the Board will prepare (J) A State water quality standard (D) Any other information that can be or, at his or her discretion, coordinated (including designated and/or existing used by the Board to ensure compliance replies to such correspondence. beneficial uses and anti-degradation with environmental laws. (ii) With respect to actions of the requirements); or (iii) All information supplied by the Board, the Board will: (K) The release or disposal of Applicant is subject to verification by (A) Ensure preparation of all regulated substances above the levels set the Board. necessary environmental assessments forth in a permit or license issued by an (b) The regulations of the Council on and EISs; appropriate regulatory authority. Environmental Quality implementing (B) Maintain a list of actions for (5) Responsibilities and procedures NEPA require the Board to provide which environmental assessments are for preparation of an environmental public notice of the availability of being prepared; assessment. (i) The Board will request Project specific environmental (C) Revise this list at regular intervals, that the Lender and Applicant prepare documents such as environmental and send the revisions to the an environmental assessment that impact statements, environmental Environmental Protection Agency; provides information concerning all assessments, findings of no significant (D) Make the list available for public potentially significant environmental impact, records of decision, etc., to the inspection; impacts of the Applicant’s proposed affected public. See 40 CFR 1506.6(b). (E) Maintain a list of EISs; and Project. The Board, consulting at its (F) Maintain a file of draft and final Environmental information concerning discretion with CEQ, will review the EISs. information provided by the Lender and specific Projects can be obtained from (4) Categorical exclusions. (i) This Applicant. Though no specific format the Board by contacting: Secretary, paragraph describes various classes of for an environmental assessment is LOCAL Television Loan Guarantee Board actions that normally do not have prescribed, it shall be a separate Board, 1400 Independence Ave., SW., a significant impact on the human Room 2919–S, Stop 1575; Washington, environment and are categorically document, suitable for public review DC 20250–1575. excluded. The word ‘‘normally’’ is and should include the following in (c) National Environmental Policy stressed; there may be individual cases conformance with 40 CFR 1508.9: (A) Description of the environment. Act— (1) Purpose. The purpose of this in which specific factors require The existing environmental conditions paragraph (c) is to adopt procedures for contrary action. compliance with the National (ii) Subject to the limitations in relevant to the Board’s analysis Environmental Policy Act, 42 U.S.C. paragraph (c)(4)(iii) of this section, the determining the environmental impacts 4321 et seq., by the Board. This actions described in this paragraph have of the proposed Project should be paragraph supplements regulations at 40 been determined not to have a described. The no action alternative also CFR Chapter V. significant impact on the quality of the should be discussed; (B) Documentation. Citations to (2) Definitions. For purposes of this human environment. They are information used to describe the section, the following definitions apply: categorically excluded from the need to Categorical exclusion means a existing environment and to assess prepare an environmental assessment or category of actions which do not environmental impacts should be an EIS under NEPA. individually or cumulatively have a (A) Guarantees of working capital clearly referenced and documented. significant effect on the human loans; and These sources should include, as environment and for which neither an (B) Guarantees of loans for the appropriate, but not be limited to, local, environmental assessment nor an refinancing of outstanding indebtedness tribal, regional, State, and Federal environmental impact statement is of the Applicant, regardless of the agencies, as well as, public and private required. purpose for which the original organizations and institutions; Environmental assessment means a indebtedness was incurred. (C) Evaluating environmental document that briefly discusses the (iii) Actions listed in paragraph consequences of proposed actions. A environmental consequences of a (c)(4)(ii) of this section that otherwise brief discussion should be included of proposed action and alternatives are categorically excluded from NEPA the need for the proposal, of alternatives prepared for the purposes set forth in 40 review are not necessarily excluded as required by 42 U.S.C. 4332(2)(E) and CFR 1508.9. from review if they would be located their environmental impacts. The EIS means an environmental impact within, or in other cases, potentially discussion of the environmental impacts statement prepared pursuant to section affect: should include measures to mitigate 102(2)(C) of NEPA. (A) A floodplain; adverse impacts and any irreversible or FONSI means a finding of no (B) A wetland; irretrievable commitments of resources significant impact on the quality of (C) Important farmlands, or prime to the proposed Project. human environment after the forestlands or rangelands; (ii) An environmental assessment, completion of an environmental (D) A listed species or critical habitat may: assessment. for an endangered species; (A) Tier upon the information NEPA means the National (E) A property that is listed on or may contained in a previous EIS, as Environmental Policy Act, 42 U.S.C. be eligible for listing on the National described in 40 CFR 1502.20; 4321, et seq. Register of Historic Places; (B) Incorporate by reference Working capital loan means money (F) An area within an approved State reasonably available material, as used by an ongoing business concern to Coastal Zone Management Program; described in 40 CFR 1502.21; and/or fund its existing operations. (G) A coastal barrier or a portion of a (C) Adopt a previously completed EIS (3) Delegations to the Secretary of the barrier within the Coastal Barrier reasonably related to the Project for Board. (i) All incoming correspondence Resources System; which the proceeds of the Loan sought from Council on Environmental Quality (H) A river or portion of a river to be guaranteed under the Program will (CEQ) and other agencies concerning included in, or designated for, potential be used, as described in 40 CFR 1506.3. matters related to NEPA, including draft addition to the Wild and Scenic Rivers (iii) If, on the basis of the and final EIS, shall be brought to the System; environmental assessment, the Board

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determines that an EIS is not required, (3) 40 CFR 1506.10 places certain communities (including noncontiguous a FONSI, as described in 40 CFR limitations on the timing of Board States) in areas that are unlikely to be 1508.13 will be prepared. The FONSI decisions on taking ‘‘major Federal served through market mechanisms. The will include the environmental actions.’’ A Guarantee shall not be made Board shall consider the Project’s assessment or a summary of it and be before the times set forth in 40 CFR estimated cost per household and shall available to the public from the Board. 1506.10. give priority to those applications for The Board shall maintain a record of (iii) A public record of decision Projects that provide the highest quality these decisions, making them available stating what the decision was; service at the lowest cost per household. to interested parties upon request. identifying alternatives that were (b) Additional Considerations. (1) The Requests should be directed to LOCAL considered, including the Board shall give additional Television Loan Guarantee Board, 1400 environmentally preferable one(s); consideration to applications for Independence Ave., SW., Room 2919–S, discussing any national considerations Projects that, in addition to providing Stop 1575; Washington, DC 20250– that entered into the decision; and Local Television Broadcast Signals, also 1575. Prior to a final Guarantee summarizing a monitoring and provide High-speed Internet service. decision, a copy of the NEPA enforcement program if applicable for (2) The Board shall consider other documentation shall be sent to the mitigating the environmental effects of a factors, which shall include Board for consideration. proposal will be prepared. This record applications for Projects that: (6) Responsibilities and procedures of decision will be prepared at the time (i) Offer a separate tier of Local for preparation of an environmental the decision is made. Television Broadcast Signals at a lower impact statement. (i) If after the cost to consumers, except where environmental assessment has been § 2201.17 Submission of applications. prohibited by applicable Federal, State, completed, the Board determines that an (a) Applications should be submitted or local laws or regulations; and EIS is necessary, it and other related as follows: (ii) Enable the delivery of Local documentation will be prepared by the (1) Applications for Guarantees shall Television Broadcast Signals consistent Board in accordance with section be submitted to the LOCAL Television with the purpose of the Act by means 102(2)(c) of NEPA, this section, and 40 Loan Guarantee Board, 1400 reasonably compatible with existing CFR parts 1500 through 1508. The Independence Avenue, SW., Stop 1575, systems or devices predominantly in Board may seek additional information Room 2919–S, Washington, DC 20250– use. from the Applicant in preparing the EIS. 1575. Applications should be marked (c) Other Considerations. All other Once the document is prepared, the Attention: Secretary, LOCAL Television evaluation factors and priority Board will transmit the document to the Loan Guarantee Board. considerations being equal, the Board Environmental Protection Agency. (2) Applications must be submitted will give a preference in approving (ii) EIS. (A) The following procedures, postmarked not later than the Guarantees to those applications for as discussed in 40 CFR parts 1500 application filing deadline established Projects that provide greater amounts through 1508, will be followed in by the Board if the applications are to and higher quality Collateral. preparing an EIS: be considered during the period for (d) Protection of United States (1) The format and contents of the which the application was submitted. Financial Interests. The Board may not draft and final EIS shall be as discussed (3) All Applicants must submit an approve the Guarantee of a Loan unless: in 40 CFR part 1502. original and two copies of a completed (1) The Board has been given (2) The requirements of 40 CFR application. documentation, assurances, and access 1506.9 for filing of documents with the (b) Application deadline. One or more to information, persons, and entities Environmental Protection Agency shall application windows will be necessary, as determined by the Board, be followed. announced. The duration of each to address issues relevant to review of (3) The Board, consulting at its application window for submission of the Loan by the Board for purposes of discretion with CEQ, shall examine applications will be approximately 120 the Act; and carefully the basis on which supportive days. Notice of an application window (2) The Board makes a determination studies have been conducted to assure will be published in the Federal in writing that: that such studies are objective and Register. (i) To the best of its knowledge upon comprehensive in scope and in depth. due inquiry, the Assets, facilities, or (4) NEPA requires that the decision § 2201.18 Application selection. equipment covered by the Loan will be making ‘‘utilize a systematic, (a) Application Priority. When utilized economically and efficiently; interdisciplinary approach that will evaluating applications to determine (ii) The terms, conditions, security, ensure the integrated use of the natural which Project or combinations of and schedule and amount of repayments and social sciences and the Projects will best facilitate access to of principal and the payment of interest environmental design arts.’’ 42 U.S.C. Local Television Broadcast Signals, the with respect to the Loan protect the 4332(A). If such disciplines are not Board shall give priority in the approval financial interests of the United States present on the Board staff, appropriate of Guarantees to the following and are reasonable; use should be made of personnel of categories: (iii) The value of Collateral provided Federal, State, and local agencies, (1) First, to applications for Projects by an Applicant is at least equal to the universities, non-profit organizations, or that will serve households in Nonserved unpaid balance of the Loan amount; and private industry. Areas. if the value of Collateral provided by an (B) Until the Board issues a record of (2) Second, to applications for Applicant is less than the Loan amount, decision as provided in 40 CFR 1502.2 Projects that will serve households in additional required Collateral is no action concerning the proposal shall Underserved Areas. provided by the Applicant or an be taken which would: (3) Within each category, the Board Affiliate designated by the Applicant (1) Have an adverse environmental shall balance applications for Projects and acceptable to the Board; impact; or that will serve the largest number of (iv) All necessary and required (2) Limit the choice of reasonable households with applications for regulatory and other approvals, alternatives. Projects that will serve remote, isolated spectrum licenses, and delivery

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permissions have been received for the outstanding marketable obligations of the Project or company, and any after- Loan and the Project under the Loan; the United States of comparable acquired property. (v) The Loan would not be available maturity. (c) Applicant’s compliance findings. on reasonable terms and conditions (2) Have terms that, in the judgment An Applicant’s compliance with without a Guarantee under the Act; and of the Board, are consistent in material paragraphs (a) and (b) of this section (vi) Repayment of the Loan can be respects with the terms of similar does not assure a finding of reasonable reasonably expected. obligations in the private capital market. assurance of repayment, or assure the (e) Non approvals. A Guarantee will (c) So long as any principal and Board’s Guarantee of the Loan. not be approved if it is determined that: interest is due and payable on a Loan (d) Collateral for entire loan. The (1) The Applicant’s proposal does not guaranteed under the Act, a Borrower same Collateral shall secure the entire indicate financial feasibility, or the shall: Loan, including both the Guaranteed Collateral is determined to not (1) Maintain Assets, equipment, Portion and the Unguaranteed Portion. adequately secure the Loan; facilities, and operations on a (e) Review of valuation. The value of (2) The Applicant’s proposal indicates continuing basis; Collateral securing a Loan is subject to technical flaws, which, in the opinion of (2) Not make any discretionary review and approval by the Board, and the Board, would prevent successful dividend payments that impair its may be adjusted downward by the implementation, or operation of the ability to repay obligations guaranteed Board if the Board reasonably believes Project; under the Act; such adjustment is appropriate. The (3) Any other aspect of the (3) Remain sufficiently capitalized; Board’s evaluation of the proposed Applicant’s proposal fails to adequately and Collateral for the Loan will be based on address any requirements of the Act or several factors, including but not (4) Submit to and cooperate fully with the regulations in this part or contains limited to: any audit or Collateral review required inadequacies which would, in the (1) The expected value of the pledged by the Board. opinion of the Board, undermine the Collateral in the event of defaults with ability of the Project to meet the general § 2201.20 Collateral. specific consideration given to the purpose of the Act or comply with (a) Existence of adequate Collateral. residual value of Project Assets to third- requirements in this part; or An Applicant shall provide the Board parties and the liquidity of such Assets; (2) The cash flow characteristics of (4) Proceeds for the Loan will be used such documentation as is necessary, in the Project; for any of the ineligible purposes set the judgment of the Board, to provide (3) The contractual characteristics of forth in § 2201.15. satisfactory evidence that appropriate (f ) Impact on Competition. A Loan the Project to the extent Project-related and adequate Collateral secures a Loan shall not be guaranteed unless the agreements underpin the Project’s guaranteed under the Program. Prior to proposed Project, as determined by the estimated cash flows; approving a Guarantee, the Board shall Board in consultation with the National (4) The competitiveness of the require that the value of the Collateral Telecommunications and Information Project’s economics and the associated pledged be at least equal to the unpaid Administration, is not likely to have a certainty of cash flows in the future; and balance of the Loan Amount. substantial adverse impact on (5) The creditworthiness of any (b) Form of Collateral. Collateral competition that outweighs the benefits designated Affiliates(s) that provides required by paragraph (a) of this section of improving access to Local Television services to the Applicant or provides shall consist solely of Assets of the Broadcast Signals in a Nonserved Area any credit support. Applicant, any Affiliate of the or Underserved Area and is (f) Ongoing Collateral Assessment. Applicant, or both, as identified in the commercially viable. The Board shall require that the value Loan Documents, including primary of the Collateral shall be at all times at § 2201.19 Loan terms. Assets to be used in the delivery of the least equal to the unpaid balance of the (a) All Loans guaranteed under the service for which the Loan is Loan Amount. To ensure that the Program shall be due and payable in full guaranteed. Such Assets may include, ongoing value of the Collateral is no later than the earlier of 25 years from but are not limited to, the following: properly maintained, the Board may date of the closing of the Loan or the (1) Tangible Assets, including current require the borrower to have an ongoing economically useful life of the primary Assets (such as cash, accounts third-party inspection and valuation of Assets to be used in delivery of the receivable, and inventory), reserve the Collateral that is acceptable to the signals concerned, as determined by the funds, land, buildings, machinery, Board. If the Collateral value at the Board. fixtures, and equipment; measurement date is less than the (b) Loans guaranteed under the (2) Assignments of all relevant unpaid balance of the Loan Amount, the Program must: contractual agreements, including Borrower or its designated Affiliates(s) (1) Bear a rate of interest determined contractual rights to certain cash flows, will be required to pledge additional by the Board to protect the financial marketing arrangements, third-party acceptable Collateral to cover any interests of the United States and to be guarantees, insurance policies, deficit. reasonable. This determination will be contractors’ bonds, and other (g) Lien on Collateral. (1) Upon the based on the Board’s comparison of the: agreements or rights that may be of Board’s approval of a Guarantee, the (i) Difference, or interest rate spread, value; Administrator shall have liens on between the interest rate on the Loan (3) All permits, governmental Collateral securing the Loan, which sought to be guaranteed and the current approvals, franchises and licenses, shall be superior to all other liens on average yield on outstanding marketable necessary to carry out and operate the such Collateral. The value of the obligations of the United States of required equipment or service; and Collateral (based on a determination comparable maturity; and (4) Other Assets, which, in the satisfactory to the Board) shall be at (ii) The interest rate spread between judgment of the Board, possess least equal to the unpaid balance of the the rates on recently issued and Collateral value suitable for securing the Loan amount, giving significant similarly rated and structured Loan, including a pledge of all or part consideration to the expected value of obligations and the current yields on of the Applicant’s ownership interest in the Collateral in the event of defaults

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with specific consideration given to the (2) The Lender or Agent and accepted with respect to a Guarantee on residual value of the Project Assets to Applicant being legally authorized to the basis of: third-parties and the liquidity of such enter into the Loan under the terms and (A) The financial and economic Assets. conditions submitted to the Board in the circumstances of the Borrower, (2) Both the Administrator and the application; including the amount of Collateral Lender or Agent shall have a perfected (3) The Board’s receipt of the Loan offered; security interest in the Collateral fully Documents and any related instruments, (B) The proposed schedule of Loan sufficient to protect the financial in form and substance satisfactory to the disbursements; interests of the United States and the Board all properly executed by the (C) The business plans of the Lenders. However, the security interest Lender or Agent, Applicant, and any Borrower; perfected by the Administrator shall other required party other than the (D) Any financial commitment from a ensure that the Administrator has first Board; broadcast signal provider; and priority in such Collateral. (E) The concurrence of the Director of (4) No material adverse change in the the Office of Management and Budget as § 2201.21 Fees. Applicant’s ability to repay the Loan to the amount of the credit risk between the date of the Board’s (a) Application Fee. The Board shall premium. approval and the date the Guarantee is (ii) Proportionality. To the extent that charge each Applicant for a Guarantee to be issued; under the Program a non-refundable fee, appropriations of budget authority are (5) Entering into the Guarantee payable to the United States Treasury, to sufficient to cover the cost, as violates no Loan covenants or existing cover the costs of making necessary determined under section 502(5) of the contractual obligations of the Borrower; determinations and findings with Federal Credit Reform Act of 1990, of and respect to an application for a Guarantee Guarantees, the credit risk premium (6) Such other conditions as under the Program. The amount of the with respect to each Guarantee shall be determined by the Board. fee is $10,000 for Loans of $1 million up reduced proportionately. to $50 million, $15,000 for Loans of $50 (b) The Board may withdraw its (iii) Payment of premiums. Credit risk million up to $100 million, $30,000 for approval of an application and rescind premiums under this paragraph shall be Loans of $100 million up to $500 its Offer of Guarantee if the Board paid to an escrow account established in million, and $40,000 for Loans of $500 determines that the Lender or Agent or the Treasury, which shall accrue million or greater. the Applicant cannot, or is unwilling to, interest. Such interest shall be retained (b) Guarantee Origination Fee. The provide adequate documentation and by the escrow account, subject to Board shall charge and collect from a proof of compliance with paragraph (a) paragraph (b)(2)(iv) of this section. (iv) Deductions from escrow account. Borrower a Guarantee Origination Fee. of this section within the time provided If a liquidation of the Collateral occurs The amount of such fee will be for in the Offer of Guarantee. pursuant to § 2201.33(h), any shortfall sufficient to cover the administrative (c) Only after receipt of all the between the proceeds of the liquidation costs of the Board associated with the documentation required by this section net of costs and expenses relating to the Loan. Upon extending an offer of will the Administrator sign and deliver liquidation, and the guarantee amount Guarantee, the Board and the Borrower the Guarantee. paid shall be deducted from funds in shall enter into an agreement providing § 2201.23 Funding for the Program. the escrow account and credited to the for the payment of the Guarantee (a) Costs incurred by the Government. Administrator for payment of such Origination Fee; the agreement shall The Act provides funding for the costs shortfall. At such time as all Loans include terms relating to the schedule of incurred by the Government as a result guaranteed under this Program have payments and deposit of such payments of granting Guarantees under the been repaid or otherwise satisfied in into an escrow account. The Guarantee Program. While pursuing the goals of accordance with the Act and the Origination Fee must be paid in full no the Act, it is the intent of the Board to regulations in this part, remaining funds later than and as a condition of the minimize the cost of the Program to the in the escrow account, if any, shall be closing of any Loan. A Borrower will be Government. The Board will estimate refunded, on a pro rata basis, to responsible for paying the the risk posed by the guaranteed Loans Borrowers whose Loans guaranteed administrative costs of the Board to the funds appropriated for the costs under the Program were not in Payment regardless of whether the Loan actually of the Guarantees under the Program Default or Default, or where any closes. Payment Default or Default was cured in (c) Lender Fees. A Lender or Agent and operate the Program accordingly. (b) Credit Risk Premium—(1) accordance with the terms of the Loan may assess and collect from the Documents. Borrower such fees and costs associated Establishment and approval. The Board with the application and origination of may establish and approve the § 2201.24 Insurance. acceptance of credit risk premiums with the Loan as are reasonable and The Borrower of a Loan guaranteed respect to a Guarantee under this Act in customary, taking into consideration the under the Program shall obtain, at its amount and complexity of the credit. order to offset the cost, as defined in expense, insurance sufficient to protect The Board may take such fees and costs section 502(5) of the Federal Credit the financial interests of the United into consideration when determining Reform Act of 1990, of the Guarantee. States, as determined by the Board. whether to offer a Guarantee. To the extent that appropriations of budget authority are insufficient to § 2201.25 Performance Agreement. § 2201.22 Issuance of Guarantees. cover the cost, as so determined, of a (a) The Borrower of a Loan guaranteed (a) The Board’s decision to approve an Guarantee, and the Board approves such under the Program shall enter into a application and extend an Offer of a Guarantee, credit risk premiums shall Performance Agreement with the Guarantee under the Program is be accepted from a non-Federal source Administrator with respect to the Local conditioned upon: on behalf of a Borrower. Television Broadcast Signals to be (1) The Lender or Agent and (2) Credit risk premium amount—(i) provided through the Project. Applicant obtaining any required General. The Board shall determine the (b) The Administrator may assess regulatory or judicial approvals; amount of any credit risk premium to be against and collect from a Borrower a

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penalty not to exceed 3 times the Portion has been made under the held by the Agent or sole Lender interest accrued on the Loan during the Guarantee. pursuant to § 2201.27(d) of this part; period of noncompliance if the (e) The Guarantee shall have no force (b) The Loan Documents relating to Borrower fails to meet its stipulated or effect if any part of the Guaranteed any supplemental guarantee shall be Performance Agreement entered into Portion of the Loan is transferred acceptable in form and substance to the under paragraph (a) of this section. separate and apart from the Board; and Unguaranteed Portion of the Loan. At (c) In approving the issuance of a § 2201.26 Lender standard of care. least five percent of any assignment or Guarantee, the Board may impose any (a) The Lender or Agent shall exercise transfer interest in a Loan must be conditions with respect to supplemental due care and diligence in analyzing and unguaranteed to ensure that no part of guarantee(s) relating to the Loan that it administering the Loan as would be the Guaranteed Portion of the Loan is considers appropriate. exercised by a responsible and prudent transferred separate and apart from the Banking Institution when analyzing and Unguaranteed Portion of the Loan. § 2201.30 Adjustments. administering a secured loan of such (a) The Board must approve the Banking Institution’s own funds without § 2201.28 Participation in guaranteed adjustment of any term or condition of a Guarantee. Such standards shall also Loans. the Loan Documents under this apply to any and all underwriting (a) Subject to paragraphs (b), (c) and Program, including the rate of interest, analysis, approvals, determinations, (d) of this section, a Lender may time of payment of principal or interest, permissions, acceptances, requirements, distribute the risk of a portion of a Loan or Collateral requirements. Adjustments or opinion made, given, imposed or guaranteed under the Program by sale of may be approved by the Board only if: reached by Lender. participations therein if: (1) The adjustment is consistent with (b) The Lender or Agent shall have (1) Neither the Loan note nor the the financial interests of the United such other obligations and duties to the Guarantee is assigned, conveyed, sold, States; Board and the Administrator as are set or transferred in whole or in part as a (2) Consent has been obtained from forth in the Act or Loan Documents. result of the sale of such participations; the parties to the Loan Agreement; (2) The Lender remains solely (3) The adjustment is consistent with § 2201.27 Assignment or transfer of responsible for the administration of the the underwriting criteria developed for Loans. Loan as an Agent; and the Program; (a) Modifications. The Loan (3) The Board’s ability to assert any (4) The adjustment does not adversely Documents may not be modified, in and all defenses available to it under the affect the interest of the Federal whole or in part, without the prior law and under the Loan Documents is Government in the Assets or Collateral written approval of the Board. not adversely affected. of the Borrower; (b) Requirements. (1) Subject to the (b) The following categories of entities (5) The adjustment does not adversely provisions of paragraphs (c) and (d) of may purchase participation interests in affect the ability of the Borrower to this section and other provisions of this Loans guaranteed under the Program: repay the Loan; and part, a Lender or Agent may assign or (1) Lenders that meet the eligibility (6) The National Telecommunications transfer the Loan including the Loan requirements of § 2201.13 of this part; and Information Administration of the Documents to another Lender that meets (2) Qualified institutional buyers as Department of Commerce has been the eligibility requirements of § 2201.13 defined in 17 CFR 230.144A (a), known consulted by the Board regarding the of this part. as Rule 144A (a) of the Securities and adjustment. Exchange Commission and issued under (b) A Lender’s decision to forego (2) Any assignment or transfer of a the Securities Act of 1933 (15 U.S.C. 77a remedial action in the event of a breach Loan, or any pledge or other use of a et seq.); or of financial covenants required under Loan as security, including but not (3) Any other entity approved by the the Loan Agreement will not constitute limited to any derivatives transaction, Board on a case-by-case basis. an adjustment under this section. will require the prior written approval (c) An Agent may not grant of the Board. participations in that portion of its § 2201.31 Indemnification. (c) The provisions of paragraph (b) of interest in a Loan that may not be (a) The United States may be this section shall not apply to transfers assigned or transferred under indemnified by any Affiliate of a which occur by operation of law. § 2201.27(d) of this part. A Lender, other Borrower designated in the Loan (d) The Agent must hold an interest than the Agent, may not grant Documents for any losses that the in a Loan guaranteed under the Program participations in that portion of its United States incurs as a result of: equal to at least the lesser of $25 million interest in a Loan that may not be (1) A judgment against the Borrower or fifteen percent of the aggregate assigned or transferred under or any of its Affiliates; amount of the Loan. Of this amount, the § 2201.27(d) of this part. (2) Any breach by the Borrower or any Agent must hold an interest in the (d) At least five percent of any of its Affiliates of their obligations Unguaranteed Portion of the Loan equal participation interest in a Loan must be under the Loan Documents; to at least the minimum amount of the unguaranteed. (3) Any violation of the provisions of Loan required to be held by the Agent the Act, or the regulations in this part, under the preceding sentence § 2201.29 Supplemental guarantees. by the Borrower or any of its Affiliates; multiplied by the percentage of the The Board will allow the structure of (4) Any penalties incurred by the entire Loan that is not guaranteed. A a guaranteed Loan to include one or Borrower or any of its Affiliates for any non-Agent Lender must hold an interest more supplemental guarantees only reason, including violation of a in the Unguaranteed Portion of the Loan from a State or local governmental or performance schedule stipulated in a representing no less than five percent of tribal entity that cover the Unguaranteed Performance Agreement; and such Lender’s total interest in the Loan; Portion of the Loan, provided that: (5) Any other circumstances that the provided, that a non-Agent Lender may (a) There shall be no supplemental Board considers appropriate. transfer its interest in the Unguaranteed guarantee with respect to the (b) The Board may require more than Portion after payment of the Guaranteed Unguaranteed Portion required to be one Affiliate of a Borrower to make the

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indemnifications referred to in limitation, detailed estimates by the Demand, the Board shall approve paragraph (a) of this section. Agent or Lender of the time and payment of the amount to be paid in (c) The indemnifications referred to in reasonable costs of collection respect of the unpaid principal amount paragraph (a) of this section shall be anticipated to be necessary in order to under the Loan to which the Payment included in the Loan Documents. carry out such plan; and Demand relates. The Board may (2) A written, detailed and reasonable withhold such payment if any audit or § 2201.32 Termination of obligations. work-out plan, if such a plan is feasible, investigation is pending or if The Board shall have such rights to for the continued operation of the information remains to be furnished by terminate the Guarantee as are set forth Borrower calculated, in the Agent’s or the Agent or Lender. Further, payment in the Act and Loan Documents. Lender’s judgment, to assure the best shall not be made to the extent it is prospect for repayment of principal and § 2201.33 Defaults. determined by the Board, whether as the interest under the Loan without partial result of an audit, investigation or (a) In determining, following any or complete foreclosure and liquidation Payment Default or Default, whether to otherwise, that the Board’s payment of the Collateral, including, without obligation has terminated. Payment accelerate the maturity of any amounts limitation, detailed estimates of the time outstanding under the Loan Documents shall be made by wire transfer in and expense required for such work-out immediately available funds to the bank or otherwise to declare such amounts to and an assessment of the risks to the be immediately due and payable, or and account designated by the Agent or Agent or Lender and the Board Lender for such purpose. pursue other remedial actions available associated therewith relative to such under the Loan Documents, the Agent or risks associated with complete (g) The Board may take, or direct to Lender, as the case may be, shall act at foreclosure and liquidation; and, if any be taken any action in liquidating the all times in accordance with the partial foreclosure and liquidation is a Collateral that the Board determines to standard of care and diligence required part of such proposed work-out plan, a be necessary or proper, consistent with under § 2201.26(a) of this part. detailed estimate of the time and Federal law and regulations. (b) Following any Payment Default, reasonable costs of collection (h) Pursuant to the Guarantee, upon the Agent or Lender shall promptly anticipated by the Agent or Lender to be Payment Demand by the Agent or notify the Board and be entitled to make required to effect such partial Lender, and whether the Board has a Payment Demand. Any Payment liquidation. approved any payment under the Demand shall: (d) By making a Payment Demand, the Guarantee or any payment has been (1) Identify the amount and due date Agent or Lender shall be conclusively made under the Guarantee, the Board, of the defaulted payment of principal deemed to have certified, with full through the Administrator, shall have and the outstanding amounts of knowledge of the provisions of 18 principal and interest under the Loan; the right to liquidate, or cause to be U.S.C. 1001 and 31 U.S.C. 3729 liquidated, the Collateral. The Board, at (2) Describe briefly the circumstances including, without limitation, the leading to the Payment Default, its sole discretion, shall have the right provisions thereof for penalties and to require that the Agent or Lender, including, without limitation, the nature damages, to the Board that it has fully solely or with the Administrator, of any precipitating Default, whether an and timely complied with all material conduct to completion any liquidation acceleration has occurred, and whether provisions and obligations under the of any of the Collateral. Such a bankruptcy proceeding has been Guarantee and the Loan Documents, liquidation shall be conducted by the instituted or threatened; and that the amount demanded is past due Agent or Lender in accordance with the (3) Be accompanied by a copy of each and owed by the Borrower under the of the Loan Documents and all notices Loan Agreement, and that the demand standards of care specified in and other correspondence with the is properly made and required to be § 2201.26(a) of this part. Borrower or other Lender relating to the satisfied by the Board under the terms § 2201.34 OMB Control Number. Payment Default and any precipitating of the Guarantee. Default. (e) Following receipt of any Payment The information collection (c) Following any Payment Demand Demand, the Board or, on its behalf, any requirements in this part are approved being made, the Agent or Lender shall duly authorized representative or by the Office of Management and furnish to the Board promptly upon designee, may conduct an audit and Budget and assigned OMB control request from the Board and, in any investigation of compliance with all number 0572–0135. event, not later than ninety (90) days material provisions and obligations Dated: December 15, 2003. from the date of such request, each of under the Guarantee. The Agent and/or the following: Lender shall cooperate fully and Jacqueline G. Rosier, (1) A written, detailed and reasonable diligently with any such audit and Secretary, LOCAL Television Loan Guarantee plan for the partial or complete investigation. Board. foreclosure on and liquidation of the (f) Within a reasonable period of time [FR Doc. 03–31299 Filed 12–22–03; 8:45 am] Collateral, including, without from receipt by the Board of a Payment BILLING CODE 3410–15–P

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LOCAL TELEVISION LOAN Applications with postmarked dates at least 75 percent of designated market GUARANTEE BOARD after April 21, 2004 will not be areas (DMAs), other than the top 40 considered and will be returned to the DMAs, have access to local television LOCAL Television Loan Guarantee applicant. broadcast signals for virtually all Program ADDRESSES: An original and two copies households or December 31, 2006. AGENCY: LOCAL Television Loan of completed applications must be The Act requires the issuance of Guarantee Board. submitted to the Board at: Secretary, regulations to implement its provisions. ACTION: Notice of application filing Local Television Loan Guarantee Board, Specifically, the Act requires that these deadline. STOP 1575, Room 2919–S, 1400 regulations set forth: (1) The form of any Independence Avenue, SW., application to be submitted to the SUMMARY: The LOCAL Television Loan Washington, DC 20250–1575. Board; (2) the time periods for the Guarantee Board (Board) announces a FOR FURTHER INFORMATION CONTACT: review and consideration by the Board 120-day application window for the Richard Anderson, Rural Utilities submission of guarantee applications. of applications submitted to the Board, Service/USDA, STOP 1590, Room 5151, as well as any other actions to be taken DATES: Applications for guarantees must 1400 Independence Avenue, SW., by the Board with respect to such be postmarked no later than April 21, Washington, DC 20250–1590. applications; (3) appropriate safeguards 2004. Applications submitted through Telephone: (202) 720–9556, fax: (202) guaranteed carrier services will be against evasions of the Act; (4) 720–0810, e-mail: circumstances in which an applicant, considered postmarked on the date they [email protected]. are submitted to the carrier. together with any affiliate of an Applications must show proof of SUPPLEMENTARY INFORMATION: On applicant, shall be treated as an mailing consisting of one of the December 21, 2000, the President signed applicant for a guarantee; (5) following: (1) A legibly dated U.S. Public Law 106–553, the Federal requirements that appropriate parties Postal Service postmark; (2) a legible Funding Act for Fiscal Year 2001. Title submit to the Board any documents and mail receipt with the date of mailing X of the statute, entitled the ‘‘Launching assurances that are required for the stamped by the U.S. Postal Service; or Our Communities’’ Access to Local administration of the Act’s provisions; (3) a dated shipping label, invoice, or Television Act of 2000’’ (Act), (6) requirements governing defaults on receipt from a commercial carrier. If an established the LOCAL Television Loan loans guaranteed under the Act, application is sent through the U.S. Guarantee Board and authorized the including the administration of the Postal Service, neither of the following Board to guarantee loans to facilitate payment of guaranteed amounts upon will be accepted as proof of mailing: (1) access, on a technologically neutral default; and (7) other provisions A private metered postmark; or (2) a basis, to signals of local television consistent with the Act’s purposes as stations for households located in mail receipt that is not dated by the U.S. the Board considers appropriate. The nonserved areas or underserved areas. Postal Service. Applicants should note final regulations to implement the The Board is composed of the that the U.S. Postal Service does not program are published elsewhere in Secretaries of Agriculture, Treasury, and uniformly provide a dated postmark. today’s Federal Register and will be Before relying on this method, Commerce, and the Chairman of the Board of Governors of the Federal codified at Title 7 of the Code of Federal applicants should check with their local Regulations Parts 2200 and 2201. post office. Reserve System, or their designees. Due to screening procedures at the Individuals have been designated as Application requirements are set forth Department of Agriculture, packages Board members for each of the agencies in the final regulations published today. arriving via the United States Postal represented on the Board. The Act Each application will be reviewed in Service’s Priority Mail, First Class, and authorizes the Board to approve loan accordance with the program’s final Parcel Post services are irradiated, guarantees up to 80 percent of the regulations. Incomplete or ineligible which can damage the contents, or principal amount of loans; the aggregate applications will be returned to delay delivery to the Board. Thus, value of all loans for which loan applicants. guarantees are issued under the Act applicants are encouraged to consider Dated: December 15, 2003. the impact of these procedures in (including the unguaranteed portion of selecting their chosen method for such loans) may not exceed $1.25 Jacqueline G. Rosier, application delivery. billion. The Board’s authority to Secretary, LOCAL Television Loan Guarantee Applications will not be accepted via guarantee loans under the program Board. facsimile machine transmission or expires on the earlier of the date the [FR Doc. 03–31298 Filed 12–22–03; 8:45 am] electronic mail. Secretary of Agriculture determines that BILLING CODE 3410–15–P

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Part VII

Securities and Exchange Commission

17 CFR Part 211 Staff Accounting Bulletin No. 104; Final Rule

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SECURITIES AND EXCHANGE a. The examples of existing literature multiple deliverables is deleted to COMMISSION referenced in the first paragraph are eliminate redundancy. deleted. o. The subheading License fee revenue is 17 CFR Part 211 b. The last paragraph, including footnote 7, added. is added to make reference to EITF Issue p. Topic 13.A.3(d) Question (formerly [Release No. SAB 104] 00–21, ‘‘Revenue Arrangements With Question 9 of the FAQ) is added. The Multiple Deliverables,’’ which governs interpretive response is modified to Staff Accounting Bulletin No. 104 how to determine if revenue eliminate redundancy. arrangements contain more than one unit q. The subheading Layaway sales AGENCY: Securities and Exchange of accounting. arrangements is added. Commission. 2. Topic 13.A.2 is modified as follows: r. Topic 13.A.3(e) Question is formerly ACTION: Publication of staff accounting a. Question 3 (formerly Question 1 of the Question 4. staff’s Revenue Recognition in Financial bulletin. s. The subheading Nonrefundable up-front Statements Frequently Asked Questions fees is added. and Answers document (FAQ)) is added. SUMMARY: t. The examples in Topic 13.A.3(f) This staff accounting bulletin 3. Topic 13.A.3 is modified as follows: revises or rescinds portions of the Question 1 (formerly Question 5) are a. The subheading Bill and hold modified to include the examples from interpretative guidance included in arrangements is added. what was formerly Question 10 of the Topic 13 of the codification of staff b. Topic 13.A.3(a) Question is formerly FAQ. Guidance in the interpretive accounting bulletins in order to make Question 3. response is added and conformed from this interpretive guidance consistent c. The subheading Customer acceptance is Question 10 of the FAQ which clarifies with current authoritative accounting added. the incurrence of substantive costs does and auditing guidance and SEC rules d. Topic 13.A.3(b) Question 1 (formerly not necessarily indicate there is a Question 5 of the FAQ) is added. The separate earnings event, and that the and regulations. The principal revisions question format is conformed. relate to the rescission of material no determination of a separate earnings e. Topic 13.A.3(b) Question 2 (formerly event should be evaluated on a case-by- longer necessary because of private Question 6 of the FAQ) is added. The case basis. sector developments in U.S. generally facts, question and interpretive response u. Footnote 36 is added to clarify the staff’s accepted accounting principles. are modified to reflect the evaluation of view regarding the vendor activities This staff accounting bulletin also the arrangement in the context of associated with up-front fees. rescinds the Revenue Recognition in separate units of accounting. In addition, v. Topic 13.A.3(f) Question 2 (formerly the last paragraph of the interpretive Question 6) is modified to reflect the Financial Statements Frequently Asked response is deleted due to the issuance evaluation in the context of a single unit Questions and Answers document of EITF Issue 00–21. of accounting. issued in conjunction with Topic 13. f. Footnote 29 is added to highlight that the w. Footnote 14 is deleted. The subject Selected portions of that document have changes to Topic 13.A.3(b) Question 2 matter of footnote 14 is conformed and been incorporated into Topic 13. are to facilitate an analysis of revenue recognition, not interpret EITF Issue 00– included in Topic 13.A.3(f) Question 3; EFFECTIVE DATE: December 17, 2003. 21. accordingly, Topic 13.A.3(f) Question 3 FOR FURTHER INFORMATION CONTACT: g. Topic 13.A.3(b) Question 3 (formerly reflects the guidance formerly located in Chad Kokenge or Shelly Luisi in the Exhibit A Example 1 Scenario A of the footnote 14. Office of the Chief Accountant (202) FAQ) is added. x. Topic 13.A.3(f) Question 4 (formerly Question 15 of the FAQ) is added. The 942–4400, Securities and Exchange h. Topic 13.A.3(b) Question 4 (formerly Exhibit A Example 1 Scenario B of the question format is conformed. Commission, 450 Fifth Street, NW., y. Topic 13.A.3(f) Question 5 (formerly Washington, DC 20549–1103. FAQ) is added. i. Topic 13.A.3(b) Question 5 (formerly Question 16 of the FAQ) is added. The SUPPLEMENTARY INFORMATION: The Exhibit A Example 1 Scenario C of the question format is conformed. statements in staff accounting bulletins FAQ) is added. z. The subheading Deliverables within an are not rules or interpretations of the j. The subheading Inconsequential or arrangement is added. Commission, nor are they published as perfunctory performance obligations is aa. Topic 13.A.3(g) Question (formerly Question 8 of the FAQ) is added and is bearing the Commission’s approval. added. k. Topic 13.A.3(c) Question 1 (formerly modified to reflect the evaluation of the They represent interpretations and question under EITF Issue 00–21. practices followed by the Division of Question 2 of the FAQ) is added. The question and interpretive response are bb. Footnote 45 is added to clarify the Corporation Finance and the Office of modified from the FAQ to reflect the staff’s view of the obligation described in Chief Accountant in administering the evaluation of the arrangement in the Topic 13.A.3(g) Question under FIN 45. disclosure requirements of the Federal context of a single unit of accounting. 4. Topic 13.A.4 is modified as follows: securities laws. The question format is conformed. a. The subheading Refundable fees for l. Topic 13.A.3(c) Question 2 (formerly services is added. Dated: December 17, 2003. Question 3 of the FAQ) is added. The b. Topic 13.A.4(a) Question 1 is formerly Margaret H. McFarland, question and interpretive response are Question 7. Deputy Secretary. modified from the FAQ to reflect the c. Footnote 56 is added to include evaluation in the context of a single unit guidance from Question 23 of the FAQ. PART 211—[AMENDED] of accounting. d. Topic 13.A.4(a) Question 2 (formerly m. Topic 13.A.3(c) Question 3 (formerly Question 18 of the FAQ) is added. ■ Accordingly, part 211 of title 17 of the Question 7 of the FAQ) is added. The e. Topic 13.A.4(a) Question 3 (formerly Code of Federal Regulations is amended facts, question and interpretive response Question 19 of the FAQ) is added. The by adding Staff Accounting Bulletin No. are modified to reflect the evaluation of question format is conformed. 104 to the table found in subpart B. the arrangement in the context of f. Topic 13.A.4(a) Question 4 (formerly combined deliverables, which result in a Question 20 of the FAQ) is added. Staff Accounting Bulletin No. 104 single unit of accounting. In addition, g. Topic 13.A.4(a) Question 5 (formerly the interpretive response is modified to Question 21 of the FAQ) is added. The Note: The text of SAB 104 will not appear delete the last four sentences as this question format is conformed. in the Code of Federal Regulations. guidance is no longer necessary due to h. Topic 13.A.4(a) Question 6 (formerly The staff hereby revises Topic 13 of the the issuance of EITF 00–21. Question 22 of the FAQ) is added. Staff Accounting Bulletin Series as follows: n. The segue sentence and related footnote i. The subheading Estimates and changes 1. Topic 13.A.1 is modified as follows: discussing delivery or performance of in estimates is added.

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j. Topic 13.A.4(b) Question 1 is formerly realizable and earned.2 Concepts Statement • Collectibility is reasonably assured.6 Question 9. 5, paragraph 83(b) states that ‘‘an entity’s Some revenue arrangements contain k. Topic 13.A.4(b) Question 2 (formerly revenue-earning activities involve delivering multiple revenue-generating activities. The Question 24 of the FAQ) is added. or producing goods, rendering services, or staff believes that the determination of the l. Topic 13.A.4(b) Question 3 (formerly other activities that constitute its ongoing units of accounting within an arrangement Question 25 of the FAQ) is added. The major or central operations, and revenues are should be made prior to the application of question format is conformed. The last considered to have been earned when the the guidance in this SAB Topic by reference two sentences of the interpretive entity has substantially accomplished what it to the applicable accounting literature.7 response are deleted to eliminate must do to be entitled to the benefits 2. Persuasive evidence of an arrangement redundancy. represented by the revenues’’ [footnote m. Topic 13.A.4(b) Question 4 (formerly reference omitted]. Paragraph 84(a) continues Question 1 Question 26 of the FAQ) is added. ‘‘the two conditions (being realized or Facts: Company A has product available to n. Topic 13.A.4(b) Question 5 (formerly realizable and being earned) are usually met ship to customers prior to the end of its Question 27 of the FAQ) is added. by the time product or merchandise is current fiscal quarter. Customer Beta places o. The subheading Contingent rental delivered or services are rendered to an order for the product, and Company A income is added. customers, and revenues from manufacturing delivers the product prior to the end of its p. Topic 13.A.4(c) Question is formerly and selling activities and gains and losses current fiscal quarter. Company A’s normal Question 8. and customary business practice for this class q. The subheading Claims processing and from sales of other assets are commonly recognized at time of sale (usually meaning of customer is to enter into a written sales billing services is added. agreement that requires the signatures of the r. Topic 13.A.4(d) Question (formerly delivery)’’ [footnote reference omitted]. In addition, paragraph 84(d) states that ‘‘If authorized representatives of the Company Question 28 of the FAQ) is added. The and its customer to be binding. Company A services are rendered or rights to use assets facts are modified to reflect to evaluation prepares a written sales agreement, and its extend continuously over time (for example, in the context of a single unit of authorized representative signs the interest or rent), reliable measures based on accounting. agreement before the end of the quarter. 5. Topic 13.A.5 is deleted. This topic contractual prices established in advance are However, Customer Beta does not sign the provided guidance on income statement commonly available, and revenues may be agreement because Customer Beta is awaiting presentation and whether transactions recognized as earned as time passes.’’ the requisite approval by its legal should be presented on a gross as a The staff believes that revenue generally is department. Customer Beta’s purchasing principal or net as an agent basis. EITF realized or realizable and earned when all of department has orally agreed to the sale and Issue 99–19, ‘‘Reporting Revenue Gross as the following criteria are met: • stated that it is highly likely that the contract a Principal versus Net as an Agent’’, which Persuasive evidence of an arrangement will be approved the first week of Company 3 was issued subsequent to SAB 101, exists, A’s next fiscal quarter. • provides such guidance. Therefore, this Delivery has occurred or services have Question: May Company A recognize the 4 guidance is no longer necessary. been rendered, revenue in the current fiscal quarter for the • 6. Topic 13.B is modified as follows: The seller’s price to the buyer is fixed or sale of the product to Customer Beta when a. The interpretive response to Question 1 determinable,5 and (1) the product is delivered by the end of its is modified to reference multiple units of current fiscal quarter and (2) the final written accounting in lieu of multiple elements. 2 Concepts Statement 5, paragraphs 83–84; ARB sales agreement is executed by Customer b. Question 2 is modified to delete the 43, Chapter 1A, paragraph 1; Opinion 10, paragraph Beta’s authorized representative within a few reference to Question 10 of Topic 13.A 12. The citations provided herein are not intended days after the end of the current fiscal and Topic 8.A. to present the complete population of citations quarter? c. Question 3 (formerly Question 29 of the where a particular criterion is relevant. Rather, the Interpretive Response: No. Generally the citations are intended to provide the reader with FAQ) is added. staff believes that, in view of Company A’s d. Question 4 (formerly Question 30 of the additional reference material. 3 Concepts Statement 2, paragraph 63 states business practice of requiring a written sales FAQ) is added. agreement for this class of customer, e. Question 5 (formerly Question 31 of the ‘‘Representational faithfulness is correspondence or persuasive evidence of an arrangement FAQ) is added. agreement between a measure or description and the phenomenon it purports to represent.’’ The staff would require a final agreement that has been Topic 13: Revenue Recognition believes that evidence of an exchange arrangement executed by the properly authorized must exist to determine if the accounting treatment personnel of the customer. In the staff’s view, A. Selected Revenue Recognition Issues represents faithfully the transaction. See also SOP Customer Beta’s execution of the sales 1. Revenue recognition—general 97–2, paragraph 8. The use of the term agreement after the end of the quarter causes ‘‘arrangement’’ in this SAB Topic is meant to The accounting literature on revenue identify the final understanding between the parties the transaction to be considered a transaction 8 recognition includes both broad conceptual as to the specific nature and terms of the agreed- of the subsequent period. Further, if an discussions as well as certain industry- upon transaction. arrangement is subject to subsequent specific guidance.1 If a transaction is within 4 Concepts Statement 5, paragraph 84(a), (b), and approval (e.g., by the management committee the scope of specific authoritative literature (d). Revenue should not be recognized until the or board of directors) or execution of another that provides revenue recognition guidance, seller has substantially accomplished what it must agreement, revenue recognition would be that literature should be applied. However, in do pursuant to the terms of the arrangement, which inappropriate until that subsequent approval usually occurs upon delivery or performance of the the absence of authoritative literature or agreement is complete. services. Customary business practices and addressing a specific arrangement or a 5 Concepts Statement 5, paragraph 83(a); processes for documenting sales transactions specific industry, the staff will consider the Statement 48, paragraph 6(a); SOP 97–2, paragraph existing authoritative accounting standards 8. SOP 97–2 defines a ‘‘fixed fee’’ as a ‘‘fee required vary among companies and industries. as well as the broad revenue recognition to be paid at a set amount that is not subject to Business practices and processes may also criteria specified in the FASB’s conceptual refund or adjustment. A fixed fee includes amounts vary within individual companies (e.g., based framework that contain basic guidelines for designated as minimum royalties.’’ Paragraphs 26– on the class of customer, nature of product revenue recognition. 33 of SOP 97–2 discuss how to apply the fixed or or service, or other distinguishable factors). If Based on these guidelines, revenue should determinable fee criterion in software transactions. a company does not have a standard or The staff believes that the guidance in paragraphs customary business practice of relying on not be recognized until it is realized or 26 and 30–33 is appropriate for other sales transactions where authoritative guidance does not 1 The February 1999 AICPA publication ‘‘Audit otherwise exist. The staff notes that paragraphs 27 6 ARB 43, Chapter 1A, paragraph 1 and Opinion Issues in Revenue Recognition’’ provides an through 29 specifically consider software 10, paragraph 12. See also Concepts Statement 5, overview of the authoritative accounting literature transactions, however, the staff believes that paragraph 84(g) and SOP 97–2, paragraph 8. and auditing procedures for revenue recognition guidance should be considered in other sales 7 See EITF Issue 00–21 paragraph 4 for additional and identifies indicators of improper revenue transactions in which the risk of technological discussion. recognition. obsolescence is high. 8 AU Section 560.05

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written contracts to document a sales (b) The buyer does not pay the seller at the transaction is a consignment, a financing, or arrangement, it usually would be expected to time of sale but rather is obligated to pay at other arrangement for which revenue have other forms of written or electronic a specified date or dates, and the buyer’s recognition is not appropriate. If title to the evidence to document the transaction. For obligation to pay is contractually or goods has passed but the substance of the example, a company may not use written implicitly excused until the buyer resells the arrangement is not a sale, the consigned contracts but instead may rely on binding product or subsequently consumes or uses inventory should be reported separately from purchase orders from third parties or on-line the product,10 other inventory in the consignor’s financial authorizations that include the terms of the (c) The buyer’s obligation to the seller statements as ‘‘inventory consigned to sale and that are binding on the customer. In would be changed (e.g., the seller would others’’ or another appropriate caption. that situation, that documentation could forgive the obligation or grant a refund) in the Question 3 represent persuasive evidence of an event of theft or physical destruction or arrangement. damage of the product,11 Facts: The laws of some countries do not The staff is aware that sometimes a (d) The buyer acquiring the product for provide for a seller’s retention of a security customer and seller enter into ‘‘side’’ resale does not have economic substance interest in goods in the same manner as established in the U.S. Uniform Commercial agreements to a master contract that apart from that provided by the seller,12 or Code (UCC). In these countries, it is common effectively amend the master contract. (e) The seller has significant obligations for for a seller to retain a form of title to goods Registrants should ensure that appropriate future performance to directly bring about delivered to customers until the customer policies, procedures, and internal controls resale of the product by the buyer.13 makes payment so that the seller can recover exist and are properly documented so as to 2. The seller is required to repurchase the the goods in the event of customer default on provide reasonable assurances that sales product (or a substantially identical product payment. transactions, including those affected by side or processed goods of which the product is Question: Is it acceptable to recognize agreements, are properly accounted for in a component) at specified prices that are not revenue in these transactions before payment accordance with GAAP and to ensure subject to change except for fluctuations due compliance with Section 13 of the Securities 14 is made and title has transferred? to finance and holding costs, and the Interpretive Response: Presuming all other Exchange Act of 1934 (i.e., the Foreign amounts to be paid by the seller will be Corrupt Practices Act). Side agreements revenue recognition criteria have been met, adjusted, as necessary, to cover substantially the staff would not object to revenue could include cancellation, termination, or all fluctuations in costs incurred by the buyer other provisions that affect revenue recognition at delivery if the only rights that in purchasing and holding the product a seller retains with the title are those recognition. The existence of a subsequently (including interest).15 The staff believes that executed side agreement may be an indicator enabling recovery of the goods in the event indicators of the latter condition include: of customer default on payment. This limited that the original agreement was not final and (a) The seller provides interest-free or revenue recognition was not appropriate. form of ownership may exist in some foreign significantly below market financing to the jurisdictions where, despite technically Question 2 buyer beyond the seller’s customary sales holding title, the seller is not entitled to terms and until the products are resold, Facts: Company Z enters into an direct the disposition of the goods, cannot (b) The seller pays interest costs on behalf arrangement with Customer A to deliver rescind the transaction, cannot prohibit its of the buyer under a third-party financing Company Z’s products to Customer A on a customer from moving, selling, or otherwise arrangement, or consignment basis. Pursuant to the terms of using the goods in the ordinary course of (c) The seller has a practice of refunding the arrangement, Customer A is a consignee, business, and has no other rights that rest (or intends to refund) a portion of the original and title to the products does not pass from with a titleholder of property that is subject sales price representative of interest expense Company Z to Customer A until Customer A to a lien under the U.S. UCC. On the other for the period from when the buyer paid the consumes the products in its operations. hand, if retaining title results in the seller seller until the buyer resells the product. Company Z delivers product to Customer A retaining rights normally held by an owner 3. The transaction possesses the under the terms of their arrangement. of goods, the situation is not sufficiently characteristics set forth in EITF Issue 95–1 Question: May Company Z recognize different from a delivery of goods on and does not qualify for sales-type lease revenue upon delivery of its product to consignment. In this particular case, revenue accounting. Customer A? should not be recognized until payment is 4. The product is delivered for Interpretive Response: No. Products received. Registrants and their auditors may demonstration purposes.16 delivered to a consignee pursuant to a wish to consult legal counsel knowledgeable This list is not meant to be a checklist of consignment arrangement are not sales and of the local law and customs outside the U.S. all characteristics of a consignment or a do not qualify for revenue recognition until to determine the seller’s rights. financing arrangement, and other a sale occurs. The staff believes that revenue characteristics may exist. Accordingly, the 3. Delivery and performance recognition is not appropriate because the staff believes that judgment is necessary in seller retains the risks and rewards of a. Bill and hold arrangements assessing whether the substance of a ownership of the product and title usually Facts: Company A receives purchase does not pass to the consignee. 10 orders for products it manufactures. At the Other situations may exist where title to Statement 48, paragraphs 6(b) and 22. The end of its fiscal quarters, customers may not arrangement may not specify that payment is delivered products passes to a buyer, but the yet be ready to take delivery of the products substance of the transaction is that of a contingent upon subsequent resale or consumption. However, if the seller has an established business for various reasons. These reasons may consignment or a financing. Such practice permitting customers to defer payment include, but are not limited to, a lack of arrangements require a careful analysis of the beyond the specified due date(s) until the products available space for inventory, having more facts and circumstances of the transaction, as are resold or consumed, then the staff believes that than sufficient inventory in their distribution well as an understanding of the rights and the seller’s right to receive cash representing the channel, or delays in customers’ production obligations of the parties, and the seller’s sales price is contingent. schedules. customary business practices in such 11 Statement 48, paragraph 6(c). Question: May Company A recognize arrangements. The staff believes that the 12 Statement 48, paragraph 6(d). revenue for the sale of its products once it presence of one or more of the following 13 Statement 48, paragraph 6(e). has completed manufacturing if it segregates characteristics in a transaction precludes 14 Statement 49, paragraph 5(a). Paragraph 5(a) the inventory of the products in its own revenue recognition even if title to the provides examples of circumstances that meet this warehouse from its own products? product has passed to the buyer: requirement. As discussed further therein, this May Company A recognize revenue for the condition is present if (a) a resale price guarantee 1. The buyer has the right to return the sale if it ships the products to a third-party product and: exists, (b) the seller has an option to purchase the product, the economic effect of which compels the warehouse but (1) Company A retains title to (a) The buyer does not pay the seller at the seller to purchase the product, or (c) the buyer has the product and (2) payment by the customer time of sale, and the buyer is not obligated an option whereby it can require the seller to is dependent upon ultimate delivery to a to pay the seller at a specified date or dates.9 purchase the product. customer-specified site? 15 Statement 49, paragraph 5(b). Interpretative Response: Generally, no. The 9 Statement 48, paragraphs 6(b) and 22. 16 See SOP 97–2, paragraph 25. staff believes that delivery generally is not

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considered to have occurred unless the 3. Whether the buyer has the expected risk order. In those cases, revenue should not be customer has taken title and assumed the of loss in the event of a decline in the market recognized because a sale has not occurred. risks and rewards of ownership of the value of goods; In applying this concept, the staff observes products specified in the customer’s 4. Whether the seller’s custodial risks are that customer acceptance provisions purchase order or sales agreement. Typically insurable and insured; normally take one of four general forms. this occurs when a product is delivered to 5. Whether extended procedures are Those forms, and how the staff generally the customer’s delivery site (if the terms of necessary in order to assure that there are no assesses whether customer acceptance the sale are ‘‘FOB destination’’) or when a exceptions to the buyer’s commitment to provisions should result in revenue deferral, product is shipped to the customer (if the accept and pay for the goods sold (i.e., that are described below: terms are ‘‘FOB shipping point’’). the business reasons for the bill and hold (a) Acceptance provisions in arrangements The Commission has set forth criteria to be have not introduced a contingency to the that purport to be for trial or evaluation met in order to recognize revenue when buyer’s commitment). purposes.23 In these arrangements, the seller delivery has not occurred.17 These include: Delivery generally is not considered to delivers a product to a customer, and the 1. The risks of ownership must have have occurred unless the product has been customer agrees to receive the product, solely passed to the buyer; delivered to the customer’s place of business to give the customer the ability to evaluate 2. The customer must have made a fixed or another site specified by the customer. If the delivered product prior to acceptance. commitment to purchase the goods, the customer specifies an intermediate site The customer does not agree to purchase the preferably in written documentation; but a substantial portion of the sales price is delivered product until it accepts the 3. The buyer, not the seller, must request not payable until delivery is made to a final product. In some cases, the acceptance that the transaction be on a bill and hold site, then revenue should not be recognized provisions lapse by the passage of time basis.18 The buyer must have a substantial until final delivery has occurred.21 without the customer rejecting the delivered business purpose for ordering the goods on b. Customer acceptance product, and in other cases affirmative a bill and hold basis; acceptance from the customer is necessary to 4. There must be a fixed schedule for After delivery of a product or performance trigger a sales transaction. Frequently, the delivery of the goods. The date for delivery of a service, if uncertainty exists about title to the product does not transfer and must be reasonable and must be consistent customer acceptance, revenue should not be payment terms are not established prior to 22 with the buyer’s business purpose (e.g., recognized until acceptance occurs. customer acceptance. These arrangements storage periods are customary in the Customer acceptance provisions may be are, in substance, consignment arrangements industry); included in a contract, among other reasons, until the customer accepts the product as set 5. The seller must not have retained any to enforce a customer’s rights to (1) test the forth in the contract with the seller. specific performance obligations such that delivered product, (2) require the seller to Accordingly, in arrangements where the earning process is not complete; perform additional services subsequent to products are delivered for trial or evaluation 6. The ordered goods must have been delivery of an initial product or performance purposes, revenue should not be recognized segregated from the seller’s inventory and not of an initial service (e.g., a seller is required until the earlier of when acceptance occurs be subject to being used to fill other orders; to install or activate delivered equipment), or or the acceptance provisions lapse. and (3) identify other work necessary to be done In contrast, other arrangements do not 7. The equipment [product] must be before accepting the product. The staff purport to be for trial or evaluation purposes. complete and ready for shipment. presumes that such contractual customer In these instances, the seller delivers a The above listed conditions are the acceptance provisions are substantive, specified product pursuant to a customer’s important conceptual criteria that should be bargained-for terms of an arrangement. order, establishes payment terms, and used in evaluating any purported bill and Accordingly, when such contractual transfers title to the delivered product to the hold sale. This listing is not intended as a customer acceptance provisions exist, the customer. However, customer acceptance checklist. In some circumstances, a staff generally believes that the seller should provisions may be included in the transaction may meet all factors listed above not recognize revenue until customer but not meet the requirements for revenue arrangement to give the purchaser the ability acceptance occurs or the acceptance to ensure the delivered product meets the recognition. The Commission also has noted provisions lapse. that in applying the above criteria to a criteria set forth in its order. The staff Question 1 purported bill and hold sale, the individuals evaluates these provisions as follows: responsible for the preparation and filing of Question: Do circumstances exist in which (b) Acceptance provisions that grant a right financial statements also should consider the formal customer sign-off (that a contractual of return or exchange on the basis of following factors: 19 customer acceptance provision is met) is subjective matters. An example of such a 1. The date by which the seller expects unnecessary to meet the requirements to provision is one that allows the customer to payment, and whether the seller has recognize revenue? return a product if the customer is modified its normal billing and credit terms Interpretive Response: Yes. Formal dissatisfied with the product.24 The staff for this buyer; 20 customer sign-off is not always necessary to believes these provisions are not different 2. The seller’s past experiences with and recognize revenue provided that the seller from general rights of return and should be pattern of bill and hold transactions; objectively demonstrates that the criteria accounted for in accordance with Statement specified in the acceptance provisions are 48. Statement 48 requires that the amount of 17 See In the Matter of Stewart Parness, AAER 108 satisfied. Customer acceptance provisions future returns must be reasonably estimable (August 5, 1986); SEC v. Bollinger Industries, Inc., generally allow the customer to cancel the in order for revenue to be recognized prior et al., LR 15093 (September 30, 1996); In the Matter arrangement when a seller delivers a product to the expiration of return rights.25 That of Laser Photonics, Inc., AAER 971 (September 30, that the customer has not yet agreed to estimate may not be made in the absence of 1997); In the Matter of Cypress Bioscience Inc., purchase or delivers a product that does not a large volume of homogeneous transactions AAER 817 (September 19, 1996). Also see Concepts or if customer acceptance is likely to depend Statement 5, paragraph 84(a) and SOP 97–2, meet the specifications of the customer’s paragraph 22. on conditions for which sufficient historical 26 18 Such requests typically should be set forth in 21 SOP 97–2, paragraph 22. experience is absent. Satisfaction of these writing by the buyer. 22 SOP 97–2, paragraph 20. Also, Concepts requirements may vary from product-to- 19 See Note 17, supra. Statement 5, paragraph 83(b) states ‘‘revenues are product, location-to-location, customer-to- 20 Such individuals should consider whether considered to have been earned when the entity has customer, and vendor-to-vendor. Opinion 21 pertaining to the need for discounting substantially accomplished what it must do to be (c) Acceptance provisions based on seller- the related receivable, is applicable. Opinion 21, entitled to the benefits represented by the specified objective criteria. An example of paragraph 3(a), indicates that the requirements of revenues.’’ If an arrangement expressly requires such a provision is one that gives the that Opinion to record receivables at a discounted customer acceptance, the staff generally believes that customer acceptance should occur before the value are not intended to apply to ‘‘receivables and 23 payables arising from transactions with customers entity has substantially accomplished what it must See, for example, SOP 97–2, paragraph 25. or suppliers in the normal course of business which do to be entitled to the benefits represented by the 24 Statement 48, paragraph 13. are due in customary trade terms not exceeding revenues, especially when the seller is obligated to 25 Statement 48, paragraph 6(f). approximately one year’’ (emphasis added). perform additional steps. 26 Statement 48, paragraphs 8(c) and 8(d).

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customer a right of return or replacement if Question: Must revenue allocated to the Question 3 the delivered product is defective or fails to equipment always be deferred until Facts: Company E is an equipment meet the vendor’s published specifications installation and on-site testing are manufacturer whose main product is 27 for the product. Such rights are generally successfully completed? generally sold in a standard model. The identical to those granted to all others within Interpretive Response: No. The staff would contracts for sale of that model provide for the same class of customer and for which not object to revenue recognition for the customer acceptance to occur after the satisfaction can be generally assured without equipment upon delivery (presuming all equipment is received and tested by the consideration of conditions specific to the other revenue recognition criteria have been customer. The acceptance provisions state customer. Provided the seller has previously met for the equipment) if the seller that if the equipment does not perform to demonstrated that the product meets the demonstrates that, at the time of delivery, the Company E’s published specifications, the specified criteria, the staff believes that these equipment already meets all of the criteria customer may return the equipment for a full provisions are not different from general or and specifications in the customer-specific refund or a replacement unit, or may require specific warranties and should be accounted acceptance provisions. This may be Company E to repair the equipment so that for as warranties in accordance with demonstrated if conditions under which the it performs up to published specifications. Statement 5. In this case, the cost of customer intends to operate the equipment Customer acceptance is indicated by either a potentially defective goods must be reliably are replicated in pre-shipment testing, unless formal sign-off by the customer or by the estimable based on a demonstrated history of the performance of the equipment, once passage of 90 days without a claim under the substantially similar transactions.28 installed and operated at the customer’s acceptance provisions. Title to the equipment However, if the seller has not previously facility, may reasonably be different from that passes upon delivery to the customer. demonstrated that the delivered product tested prior to shipment. meets the seller’s specifications, the staff Determining whether the delivered Company E does not perform any installation believes that revenue should be deferred equipment meets all of a product’s criteria or other services on the equipment it sells until the specifications have been objectively and specifications is a matter of judgment and tests each piece of equipment against its achieved. that must be evaluated in light of the facts specifications before shipment. Payment is (d) Acceptance provisions based on and circumstances of a particular transaction. due under Company E’s normal payment customer-specified objective criteria. These Consultation with knowledgeable project terms for that product 30 days after customer provisions are referred to in this document as managers or engineers may be necessary in acceptance. ‘‘customer-specific acceptance provisions’’ such circumstances. Company E receives an order from a new against which substantial completion and For example, if the customer acceptance customer for a standard model of its main contract fulfillment must be evaluated. While provisions were based on meeting certain product. Based on the customer’s intended formal customer sign-off provides the best size and weight characteristics, it should be use of the product, location and other factors, evidence that these acceptance criteria have possible to determine whether those criteria there is no reason that the equipment would been met, revenue recognition also would be have been met before shipment. Historical operate differently in the customer’s appropriate, presuming all other revenue experience with the same specifications and environment than it does in Company E’s recognition criteria have been met, if the functionality of a particular machine that facility. seller reliably demonstrates that the demonstrates that the equipment meets the Question: Assuming all other revenue delivered products or services meet all of the customer’s specifications also may provide recognition criteria are met (other than the specified criteria prior to customer sufficient evidence that the currently shipped issue raised with respect to the acceptance acceptance. For example, if a seller reliably equipment satisfies the customer-specific provision), when should Company E demonstrates that a delivered product meets acceptance provisions. recognize revenue from the sale of this piece the customer-specified objective criteria set If an arrangement includes customer of equipment? forth in the arrangement, the delivery acceptance criteria or specifications that Interpretive Response: While the staff criterion would generally be satisfied when cannot be effectively tested before delivery or presumes that customer acceptance title and the risks and rewards of ownership installation at the customer’s site, the staff provisions are substantive provisions that transfers unless product performance may believes that revenue recognition should be generally result in revenue deferral, that reasonably be different under the customer’s deferred until it can be demonstrated that the presumption can be overcome as discussed testing conditions specified by the criteria are met. This situation usually will above. Although the contract includes a acceptance provisions. Further, the seller exist when equipment performance can vary customer acceptance clause, acceptance is should consider whether it would be based on how the equipment works in based on meeting Company E’s published successful in enforcing a claim for payment combination with the customer’s other specifications for a standard model. even in the absence of formal sign-off. equipment, software, or environmental Company E demonstrates that the equipment Whether the vendor has fulfilled the terms of conditions. In these situations, testing to shipped meets the specifications before the contract before customer acceptance is a determine whether the criteria are met shipment, and the equipment is expected to matter of contract law, and depending on the cannot be reasonably performed until the operate the same in the customer’s facts and circumstances, an opinion of products are installed or integrated at the environment as it does in Company E’s. In counsel may be necessary to reach a customer’s facility. this situation, Company E should evaluate conclusion. Although the following questions provide the customer acceptance provision as a Question 2 several examples illustrating how the staff warranty under Statement 5. If Company E Facts: Consider an arrangement that calls evaluates customer acceptance, the can reasonably and reliably estimate the for the transfer of title to equipment upon determination of when customer-specific amount of warranty obligations, the staff delivery to a customer’s site. However, acceptance provisions of an arrangement are believes that it should recognize revenue customer-specific acceptance provisions met in the absence of the customer’s formal upon delivery of the equipment, with an permit the customer to return the equipment notification of acceptance depends on the appropriate liability for probable warranty unless the equipment satisfies certain weight of the evidence in the particular obligations. circumstances. Different conclusions could performance tests. The arrangement calls for Question 4 the vendor to perform the installation. be reached in similar circumstances that vary Assume the equipment and the installation only with respect to a single variable, such Facts: Assume the same facts about are separate units of accounting under EITF as complexity of the equipment, nature of the Company E’s equipment, contract terms and Issue 00–21.29 interface with the customer’s environment, customary practices as in Question 3 above. extent of the seller’s experience with the Company E enters into an arrangement with same type of transactions, or a particular a new customer to deliver a version of its 27 Statement 5, paragraph 24 and Statement 48, paragraph 4(c). clause in the agreement. The staff believes standard product modified as necessary to fit 28 Statement 5, paragraph 25. management and auditors are uniquely into a space of specific dimensions while still 29 This fact is provided as an assumption to positioned to evaluate the facts and arrive at meeting all of the published vendor facilitate an analysis of revenue recognition in this a reasoned conclusion. The staff will not specifications with regard to performance. In fact pattern. No interpretation of Issue 00–21 is object to a determination that is well addition to the customer acceptance intended. reasoned on the basis of this guidance. provisions relating to the standard

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performance specifications, the customer until the product is successfully integrated at remaining obligations are inconsequential or may reject the equipment if it does not its customer’s location and meets the perfunctory. For example, the staff also conform to the specified dimensions. customer-specific criteria before recognizing considers the following factors, which are not Company E creates a testing chamber of the revenue. While this is best evidenced by all-inclusive, to be indicators that a exact same dimensions as specified by the formal customer acceptance, other objective remaining performance obligation is customer and makes simple design changes evidence that the equipment has met the substantive rather than inconsequential or to the product so that it fits into the testing customer-specific criteria may also exist (e.g., perfunctory: chamber. The equipment still meets all of the confirmation from the customer that the • The seller does not have a demonstrated standard performance specifications. specifications were met). history of completing the remaining tasks in Question: Assuming all other revenue c. Inconsequential or Perfunctory a timely manner and reliably estimating their recognition criteria are met (other than the Performance Obligations costs. issue raised with respect to the acceptance • provision), when should Company E Question 1 The cost or time to perform the recognize revenue from the sale of this piece remaining obligations for similar contracts Question: Does the failure to complete all historically has varied significantly from one of equipment? activities related to a unit of accounting instance to another. Interpretive Response: Although the preclude recognition of revenue for that unit • The skills or equipment required to contract includes a customer acceptance of accounting? clause that is based, in part, on a customer Interpretive Response: No. Assuming all complete the remaining activity are specific criterion, Company E demonstrates other recognition criteria are met, revenue for specialized or are not readily available in the that the equipment shipped meets that the unit of accounting may be recognized in marketplace. • objective criterion, as well as the published its entirety if the seller’s remaining obligation The cost of completing the obligation, or specifications, before shipment. The staff is inconsequential or perfunctory. the fair value of that obligation, is more than believes that the customer acceptance A seller should substantially complete or insignificant in relation to such items as the provisions related to the standard fulfill the terms specified in the arrangement contract fee, gross profit, and operating performance specifications should be related to the unit of accounting at issue in income allocable to the unit of accounting. evaluated as a warranty under Statement 5. order for delivery or performance to have • The period before the remaining If Company E can reasonably and reliably occurred.30 When applying the substantially obligation will be extinguished is lengthy. estimate the amount of warranty obligations, complete notion, the staff believes that only Registrants should consider whether it should recognize revenue upon delivery of inconsequential or perfunctory actions may reasonably possible variations in the period the equipment, with an appropriate liability remain incomplete such that the failure to to complete performance affect the certainty for probable warranty obligations. complete the actions would not result in the that the remaining obligations will be Question 5 customer receiving a refund or rejecting the completed successfully and on budget. delivered products or services performed to • Facts: Assume the same facts about The timing of payment of a portion of the date. In addition, the seller should have a Company E’s equipment, contract terms and sales price is coincident with completing demonstrated history of completing the customary practices as in Question 3 above. performance of the remaining activity. remaining tasks in a timely manner and Company E enters into an arrangement with Registrants’ determinations of whether reliably estimating the remaining costs. If a new customer to deliver a version of its remaining obligations are inconsequential or revenue is recognized upon substantial standard product modified as necessary to be perfunctory should be consistently applied. completion of the terms specified in the integrated into the customer’s new assembly arrangement related to the unit of accounting Question 3 line while still meeting all of the standard at issue, all related costs of performance or published vendor specifications with regard Facts: Consider a unit of accounting that delivery should be accrued. to performance. The customer may reject the includes both equipment and installation equipment if it fails to meet the standard Question 2 because the two deliverables do not meet the published performance specifications or Question: What factors should be separation criteria under EITF Issue 00–21. cannot be satisfactorily integrated into the considered in the evaluation of whether a This may be because the equipment does not new line. Company E has never modified its remaining obligation related to a unit of have value to the customer on a standalone equipment to work on an integrated basis in accounting is inconsequential or basis, there is no objective and reliable the type of assembly line the customer has perfunctory? evidence of fair value for the installation or proposed. In response to the request, Interpretive Response: A remaining there is a general right of return when the Company E designs a version of its standard performance obligation is not installation is not considered probable and in equipment that is modified as believed inconsequential or perfunctory if it is control of the vendor. necessary to operate in the new assembly essential to the functionality of the delivered Question: In this situation, must all line. The modified equipment still meets all products or services. In addition, remaining revenue be deferred until installation is of the standard published performance activities are not inconsequential or performed? specifications, and Company E believes the perfunctory if failure to complete the Interpretive Response: Yes, if installation is equipment will meet the requested activities would result in the customer essential to the functionality of the specifications when integrated into the new receiving a full or partial refund or rejecting equipment. 31 Examples of indicators that assembly line. However, Company E is (or a right to a refund or to reject) the installation is essential to the functionality of unable to replicate the new assembly line products delivered or services performed to equipment include: conditions in its testing. date. The terms of the sales contract • The installation involves significant Question: Assuming all other revenue regarding both the right to a full or partial changes to the features or capabilities of the recognition criteria are met (other than the refund and the right of return or rejection equipment or building complex interfaces or issue raised with respect to the acceptance should be considered when evaluating connections; provision), when should Company E whether a portion of the purchase price • The installation services are unavailable recognize revenue from the sale of this piece would be refundable. If the company has a from other vendors.32 of equipment? historical pattern of granting such rights, that Conversely, examples of indicators that Interpretive Response: This contract historical pattern should also be considered includes a customer acceptance clause that is installation is not essential to the even if the current contract expressly functionality of the equipment include: based, in part, on a customer specific precludes such rights. Further, other factors • criterion, and Company E cannot The equipment is a standard product; should be considered in assessing whether • demonstrate that the equipment shipped Installation does not significantly alter the equipment’s capabilities; meets that criterion before shipment. 30 Concepts Statement 5, paragraph 83(b) states Accordingly, the staff believes that the ‘‘revenues are considered to have been earned when contractual customer acceptance provision the entity has substantially accomplished what it 31 See SOP 97–2, paragraph 13. has not been met at shipment. Therefore, the must do to be entitled the benefits represented by 32 See SOP 97–2, paragraphs 68–71 for analogous staff believes that Company E should wait the revenues.’’ guidance.

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• Other companies are available to perform merchandise to the customer. Until then, the • A registrant charges users a fee for non- the installation.33 amount of cash received should be exclusive access to its Web site that contains If it is determined that the undelivered recognized as a liability entitled such as proprietary databases. The fee allows access service is not essential to the functionality of ‘‘deposits received from customers for to the Web site for a one-year period. After the delivered product but a portion of the layaway sales’’ or a similarly descriptive the customer is provided with an contract fee is not payable until the caption. Because Company R retains the risks identification number and trained in the use undelivered service is delivered, the staff of ownership of the merchandise, receives of the database, there are no incremental would not consider that obligation to be only a deposit from the customer, and does costs that will be incurred in serving this inconsequential or perfunctory. Generally, not have an enforceable right to the customer. the portion of the contract price that is remainder of the purchase price, the staff • A registrant charges a fee to users for withheld or refundable should be deferred would object to Company R recognizing any advertising a product for sale or auction on until the outstanding service is delivered revenue upon receipt of the cash deposit. certain pages of its Web site. The company because that portion would not be realized or This is consistent with item two (2) in the agrees to maintain the listing for a period of realizable.34 Commission’s criteria for bill-and-hold time. The cost of maintaining the transactions which states ‘‘the customer must advertisement on the Web site for the stated d. License Fee Revenue have made a fixed commitment to purchase period is minimal. Facts: Assume that intellectual property is the goods.’’ • A registrant charges a fee for hosting physically delivered and payment is received f. Nonrefundable up-front fees another company’s Web site for one year. The on December 20, upon the registrant’s arrangement does not involve exclusive use consummation of an agreement granting its Question 1 of any of the hosting company’s servers or customer a license to use the intellectual Facts: Registrants may negotiate other equipment. Almost all of the projected property for a term beginning on the arrangements pursuant to which they may costs to be incurred will be incurred in the following January 1. receive nonrefundable fees upon entering initial loading of information on the host Question: Should the license fee be into arrangements or on certain specified company’s Internet server and setting up recognized in the period ending December dates. The fees may ostensibly be received for appropriate links and network connections. 31? conveyance of a license or other intangible Question: Assuming these arrangements Interpretive Response: No. In licensing and right or for delivery of particular products or qualify as single units of accounting under similar arrangements (e.g., licenses of motion services. Various business factors may EITF Issue 00–21 36, when should the pictures, software, technology, and other influence how the registrant and customer revenue relating to nonrefundable, up-front intangibles), the staff believes that delivery structure the payment terms. For example, in fees in these types of arrangements be does not occur for revenue recognition exchange for a greater up-front fee for an recognized? purposes until the license term begins.35 intangible right, the registrant may be willing Interpretive Response: The staff believes Accordingly, if a licensed product or to receive lower unit prices for related that registrants should consider the specific technology is physically delivered to the products to be delivered in the future. In facts and circumstances to determine the customer, but the license term has not yet some circumstances, the right, product, or appropriate accounting for nonrefundable, begun, revenue should not be recognized service conveyed in conjunction with the up-front fees. Unless the up-front fee is in prior to inception of the license term. Upon nonrefundable fee has no utility to the exchange for products delivered or services inception of the license term, revenue should purchaser separate and independent of the performed that represent the culmination of be recognized in a manner consistent with registrant’s performance of the other a separate earnings process,37 the deferral of the nature of the transaction and the earnings elements of the arrangement. Therefore, in revenue is appropriate. process. the absence of the registrant’s continuing In the situations described above, the staff e. Layaway sales arrangements involvement under the arrangement, the does not view the activities completed by the customer would not have paid the fee. registrants (i.e., selling the membership, Facts: Company R is a retailer that offers Examples of this type of arrangement include signing the contract, enrolling the customer, ‘‘layaway’’ sales to its customers. Company R the following: activating telecommunications services or retains the merchandise, sets it aside in its • A registrant sells a lifetime membership providing initial set-up services) as discrete inventory, and collects a cash deposit from in a health club. After paying a earnings events.38 The terms, conditions, and the customer. Although Company R may set nonrefundable ‘‘initiation fee,’’ the customer amounts of these fees typically are negotiated a time period within which the customer is permitted to use the health club in conjunction with the pricing of all the must finalize the purchase, Company R does indefinitely, so long as the customer also elements of the arrangement, and the not require the customer to enter into an pays an additional usage fee each month. The customer would ascribe a significantly lower, installment note or other fixed payment monthly usage fees collected from all and perhaps no, value to elements ostensibly commitment or agreement when the initial customers are adequate to cover the operating associated with the up-front fee in the deposit is received. The merchandise costs of the health club. absence of the registrant’s performance of generally is not released to the customer until • A registrant in the biotechnology other contract elements. The fact that the the customer pays the full purchase price. In industry agrees to provide research and registrants do not sell the initial rights, the event that the customer fails to pay the development activities for a customer for a products, or services separately (i.e., without remaining purchase price, the customer specified term. The customer needs to use the registrants’ continuing involvement) forfeits its cash deposit. In the event the certain technology owned by the registrant supports the staff’s view. The staff believes merchandise is lost, damaged, or destroyed, for use in the research and development that the customers are purchasing the on- Company R either must refund the cash activities. The technology is not sold or deposit to the customer or provide licensed separately without the research and 36 replacement merchandise. The staff believes that the vendor activities development activities. Under the terms of associated with the up-front fee, even if considered Question: In the staff’s view, when may the arrangement, the customer is required to a deliverable to be evaluated under EITF Issue 00– Company R recognize revenue for pay a nonrefundable ‘‘technology access fee’’ 21, will rarely provide value to the customer on a merchandise sold under its layaway in addition to periodic payments for research standalone basis. program? and development activities over the term of 37 See Concepts Statement 5, footnote 51, for a Interpretive Response: Provided that the the contract. description of the ‘‘earning process.’’ other criteria for revenue recognition are met, • A registrant requires a customer to pay 38 In a similar situation, lenders may collect the staff believes that Company R should a nonrefundable ‘‘activation fee’’ when nonrefundable loan origination fees in connection recognize revenue from sales made under its entering into an arrangement to provide with lending activities. The FASB concluded in layaway program upon delivery of the telecommunications services. The terms of Statement 91 that loan origination is not a separate revenue-producing activity of a lender, and the arrangement require the customer to pay therefore, those nonrefundable fees collected at the 33 Ibid. a monthly usage fee that is adequate to outset of the loan arrangement are not recognized 34 Concepts Statement 5, paragraph 83(a) and recover the registrant’s operating costs. The as revenue upon receipt but are deferred and Statement 48, paragraph 6(b). costs incurred to activate the recognized over the life of the loan (paragraphs 5 35 SOP 00–2, paragraph 7. telecommunications service are nominal. and 37).

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going rights, products, or services being tracking of property tax payment activity, Question: Are the initial customer set-up provided through the registrants’ continuing sending delinquency letters on overdue costs incurred by Company A within the involvement. Further, the staff believes that accounts, etc.) for a ten-year period. scope of SOP 98–5? the earnings process is completed by Company A requires customers to prepay for Interpretive Response: Footnote 1 of SOP performing under the terms of the all the services for the term specified in the 98–5 states that ‘‘this SOP does not address arrangements, not simply by originating a arrangement. The on-going services to be the financial reporting of costs incurred revenue-generating arrangement. provided are generally automated after the related to ongoing customer acquisition, such While the incurrence of nominal up-front initial customer set-up. At the outset of the as policy acquisition costs in Statement 60 costs helps make it clear that there is not a arrangement, Company A performs set-up * * * and loan origination costs in separate earnings event in the procedures to facilitate delivery of its on- Statement 91 * * * The SOP addresses the telecommunications example above, going services to the customers. Such more substantive one-time efforts to establish incurrence of substantive costs, such as in procedures consist primarily of establishing business with an entirely new class of the web hosting example above, does not the necessary records and files in Company customers (for example, a manufacturer who necessarily indicate that there is a separate A’s pre-existing computer systems in order to does all of its business with retailers attempts earnings event. Whether there is a separate provide the services. Once the initial to sell merchandise directly to the public).’’ earnings event should be evaluated on a case- customer set-up activities are complete, As such, the set-up costs incurred in this by-case basis. Some have questioned whether Company A provides its services in example are not within the scope of SOP 98– revenue may be recognized in these accordance with the arrangement. Company 5. transactions to the extent of the incremental A is not required to refund any portion of the The staff believes that the incremental direct costs incurred in the activation. fee if the customer terminates the services or direct costs (Statement 91 provides an Because there is no separable deliverable or does not utilize all of the services to which analogous definition) incurred related to the earnings event, the staff would generally it is entitled. However, Company A is acquisition or origination of a customer object to that approach, except where it is required to provide a refund if Company A contract in a transaction that results in the provided for in the authoritative literature terminates the arrangement early. Assume deferral of revenue, unless specifically (e.g., Statement 51). Company A’s activities are not within the provided for in the authoritative literature, Supply or service transactions may involve scope of Statement 91 and that this may be either expensed as incurred or the charge of a nonrefundable initial fee with accounted for in accordance with paragraph subsequent periodic payments for future arrangement qualifies as a single unit of accounting under EITF Issue 00–21.42 4 of Technical Bulletin 90–1 or paragraph 5 products or services. The initial fees may, in of Statement 91. The staff believes the substance, be wholly or partly an advance Question: When should Company A recognize the service revenue? accounting policy chosen for these costs payment for future products or services. In should be disclosed and applied consistently. the examples above, the on-going rights or Interpretive Response: The staff believes services being provided or products being that, provided all other revenue recognition Question 4 delivered are essential to the customers criteria are met, service revenue should be Facts: Assume the same facts as in receiving the expected benefit of the up-front recognized on a straight-line basis, unless Question 2 above. payment. Therefore, the up-front fee and the evidence suggests that the revenue is earned Question: What is the staff’s view of the continuing performance obligation related to or obligations are fulfilled in a different pool of contract acquisition and origination the services to be provided or products to be pattern, over the contractual term of the costs that are eligible for capitalization? delivered are assessed as an integrated arrangement or the expected period during Interpretive Response: As noted in package. In such circumstances, the staff which those specified services will be Question 3 above, Statement 91 includes a 43 believes that up-front fees, even if performed, whichever is longer. In this definition of incremental direct costs in its nonrefundable, are earned as the products case, the customer contracted for the on- glossary. Paragraph 6 of Statement 91 and/or services are delivered and/or going activity tracking service, not for the set- provides further guidance on the types of performed over the term of the arrangement up activities. The staff notes that the costs eligible for capitalization as customer or the expected period of performance 39 and customer could not, and would not, acquisition costs indicating that only costs generally should be deferred and recognized separately purchase the set-up services that result from successful loan origination systematically over the periods that the fees without the on-going services. The services efforts are capitalized. The FASB staff has are earned.40 specified in the arrangement are performed published an Implementation Guide on Some propose that revenue should be continuously over the contractual term of the Statement 91 that provides additional recognized when the initial set-up is arrangement (and any subsequent renewals). guidance on the costs that qualify for completed in cases where the on-going Therefore, the staff believes that Company A capitalization as customer acquisition costs. obligation involves minimal or no cost or should recognize revenue on a straight-line Further, Technical Bulletin 90–1 also effort and should, therefore, be considered basis, unless evidence suggests that the requires capitalization of incremental direct perfunctory or inconsequential. However, the revenue is earned or obligations are fulfilled customer acquisition costs and requires that staff believes that the substance of each of in a different pattern, over the contractual those costs be ‘‘identified consistent with the these transactions indicates that the term of the arrangement or the expected guidance in paragraph 6 of Statement 91.’’ purchaser is paying for a service that is period during which those specified services Although the facts of a particular situation delivered over time. Therefore, revenue will be performed, whichever is longer. should be analyzed closely to capture those recognition should occur over time, reflecting In this situation, the staff would object to costs that are truly direct and incremental, the provision of service.41 Company A recognizing revenue in the staff generally would not object to an Question 2 proportion to the costs incurred because the accounting policy that results in the set-up costs incurred bear no direct capitalization of costs in accordance with Facts: Company A provides its customers relationship to the performance of services paragraph 6(a) and (b) of Statement 91 or with activity tracking or similar services (e.g., specified in the arrangement. The staff also Technical Bulletin 90–1. Registrants should believes that it is inappropriate to recognize disclose their policies for determining which 39 The revenue recognition period should extend the entire amount of the prepayment as costs to capitalize as contract acquisition and beyond the initial contractual period if the revenue at the outset of the arrangement by origination costs. relationship with the customer is expected to accruing the remaining costs because the Question 5 extend beyond the initial term and the customer services required by the contract have not continues to benefit from the payment of the up- been performed. Facts: Assume the same facts as in front fee (e.g., if subsequent renewals are priced at Question 2 above. Based on the guidance in a bargain to the initial up-front fee). Question 3 40 Questions 2, 3 and 4 above, Company A has A systematic method would be on a straight- Facts: Assume the same facts as in line basis, unless evidence suggests that revenue is capitalized certain direct and incremental earned or obligations are fulfilled in a different Question 2 above. customer set-up costs associated with the pattern, in which case that pattern should be deferred revenue. followed. 42 See Note 36, supra. Question: Over what period should 41 Concepts Statement 5, paragraph 84(d). 43 See Note 39, supra. Company A amortize these costs?

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Interpretive Response: When both costs Question 1 prepaid fees, then the prepaid fees should be and revenue (in an amount equal to or greater Facts: Company M is a discount retailer. It accounted for as a monetary liability. In than the costs) are deferred, the staff believes generates revenue from annual membership consideration of whether the monetary that the capitalized costs should be charged fees it charges customers to shop at its stores liability can be derecognized, Statement 140 to expense proportionally and over the same and from the sale of products at a discount provides that liabilities may be derecognized period that deferred revenue is recognized as price to those customers. The membership only if (1) the debtor pays the creditor and revenue.44 arrangements with retail customers require is relieved of its obligation for the liability g. Deliverables within an arrangement the customer to pay the entire membership (paying the creditor includes delivery of fee (e.g., $35) at the outset of the cash, other financial assets, goods, or services Question: If a company (the seller) has a or reacquisition by the debtor of its patent to its intellectual property which it arrangement. However, the customer has the unilateral right to cancel the arrangement at outstanding debt securities) or (2) the debtor licenses to customers, the seller may any time during its term and receive a full is legally released from being the primary represent and warrant to its licensees that it refund of the initial fee. Based on historical obligor under the liability.49 If a customer has has a valid patent, and will defend and data collected over time for a large number the unilateral right to receive both (1) the maintain that patent. Does that obligation to of homogeneous transactions, Company M seller’s substantial performance under the maintain and defend patent rights, in and of estimates that approximately 40% of the arrangement and (2) a cash refund of prepaid itself, constitute a deliverable to be evaluated customers will request a refund before the fees, then the refund obligation is not under EITF Issue 00–21? end of the membership contract term. relieved upon performance of the service or Interpretive Response: No. Provided the Company M’s data for the past five years delivery of the products. Rather, the seller’s seller has legal and valid patents upon indicates that significant variations between refund obligation is relieved only upon entering the license arrangement, existing actual and estimated cancellations have not refunding the cash or expiration of the refund GAAP on licenses of intellectual property occurred, and Company M does not expect privilege. (e.g., SOP 97–2, SOP 00–2, and SFAS No. 50) significant variations to occur in the does not indicate that an obligation to defend Some have argued that there may be a foreseeable future. limited exception to the general rule that valid patents represents an additional Question: May Company M recognize in deliverable to which a portion of an revenue from membership or other service earnings the revenue for the membership fees transaction fees should not be recognized in arrangement fee should be allocated in an and accrue the costs to provide membership arrangement that otherwise qualifies for earnings prior to the refund privileges services at the outset of the arrangement? expiring. Despite the fact that Statement 48 sales-type accounting. While this clause may Interpretive Response: No. In the staff’s obligate the licenser to incur costs in the expressly does not apply to the accounting view, it would be inappropriate for Company for service revenue if part or all of the service defense and maintenance of the patent, that M to recognize the membership fees as obligation does not involve an additional fee is refundable under cancellation earned revenue upon billing or receipt of the privileges granted to the buyer,50 they believe deliverable to the customer. Defending the initial fee with a corresponding accrual for patent is generally consistent with the seller’s that in certain circumstances a potential estimated costs to provide the membership refund of a membership fee may be seen as representation in the license that such patent services. This conclusion is based on is legal and valid. Therefore, the staff would being similar to a right of return of products Company M’s remaining and unfulfilled under Statement 48. They argue that revenue not consider a clause like this to represent an contractual obligation to perform services 45 from membership fees, net of estimated additional deliverable in the arrangement. (i.e., make available and offer products for refunds, may be recognized ratably over the sale at a discounted price) throughout the 4. Fixed or determinable sales price period the services are performed whenever membership period. Therefore, the earnings pertinent conditions of Statement 48 are met, a. Refundable fees for services process, irrespective of whether a namely, there is a large population of A company’s contracts may include cancellation clause exists, is not complete. transactions that grant customers the same customer cancellation or termination clauses. In addition, the ability of the member to unilateral termination or cancellation rights Cancellation or termination provisions may receive a full refund of the membership fee and reasonable estimates can be made of how be indicative of a demonstration period or an up to the last day of the membership term many customers likely will exercise those otherwise incomplete transaction. Examples raises an uncertainty as to whether the fee is rights. of transactions that financial management fixed or determinable at any point before the The staff believes that, because service and auditors should be aware of and where end of the term. Generally, the staff believes arrangements are specifically excluded from such provisions may exist include ‘‘side’’ that a sales price is not fixed or determinable the scope of Statement 48, the most direct agreements and significant transactions with when a customer has the unilateral right to authoritative literature to be applied to the unusual terms and conditions. These terminate or cancel the contract and receive extinguishment of obligations under such contractual provisions raise questions as to a cash refund. A sales price or fee that is contracts is Statement 140. As noted above, whether the sales price is fixed or variable until the occurrence of future events because the refund privilege extends to the determinable. The sales price in (other than product returns that are within end of the contract term irrespective of the arrangements that are cancelable by the the scope of Statement 48) generally is not amount of the service performed, Statement customer is neither fixed nor determinable fixed or determinable until the future event 140 indicates that the liability would not be until the cancellation privileges lapse.46 If occurs. The revenue from such transactions extinguished (and therefore no revenue the cancellation privileges expire ratably over should not be recognized in earnings until would be recognized in earnings) until the a stated contractual term, the sales price is the sales price or fee becomes fixed or cancellation or termination and related considered to become determinable ratably determinable. Moreover, revenue should not refund privileges expire. Nonetheless, the over the stated term.47 Short-term rights of be recognized in earnings by assessing the staff recognizes that over the years the return, such as thirty-day money-back probability that significant, but unfulfilled, accounting for membership refunds evolved guarantees, and other customary rights to terms of a contract will be fulfilled at some based on analogy to Statement 48 and that return products are not considered to be point in the future. Accordingly, the revenue practice did not change when Statement 140 cancellation privileges, but should be from such transactions should not be became effective. Reasonable people held, accounted for in accordance with Statement recognized in earnings prior to the refund and continue to hold, different views about 48.48 privileges expiring. The amounts received from customers or subscribers (i.e., the $35 the application of the accounting literature. Pending further action in this area by the 44 fee mentioned above) should be credited to Technical Bulletin 90–1, paragraph 4. FASB, the staff will not object to the 45 Note, however, the staff believes that this a monetary liability account such as ‘‘customers’ refundable fees.’’ recognition of refundable membership fees, obligation qualifies as a guarantee within the scope net of estimated refunds, as earned revenue of FIN 45, subject to a scope exception from the The staff believes that if a customer has the initial recognition and measurement provisions. unilateral right to receive both (1) the seller’s over the membership term in the limited 46 SOP 97–2, paragraph 31. substantial performance under an 47 Ibid. arrangement (e.g., providing services or 49 Statement 140, paragraph 16. 48 Ibid. delivering product) and (2) a cash refund of 50 Statement 48, paragraph 4.

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circumstances where all of the following services or products, and changes in the fee, recorded as an asset until the earlier of criteria have been met:51 customer’s ‘‘accessibility’’ to the refund (i.e., termination or cancellation or refund; or (2) • The estimates of terminations or how easy it is for customers to obtain the if revenue, net of estimated refunds, is cancellations and refunded revenues are refund). recognized in earnings over the membership being made for a large pool of homogeneous • The amount of the membership fee period, a like percentage of incremental items (e.g., membership or other service specified in the agreement at the outset of the direct costs should be deferred and transactions with the same characteristics arrangement is fixed, other than the recognized in earnings in the same pattern as such as terms, periods, class of customers, customer’s right to request a refund. revenue is recognized, and the remaining nature of service, etc.). If Company M does not meet all of the portion should be either (a) charged to • Reliable estimates of the expected foregoing criteria, the staff believes that expense when incurred if the costs are not refunds can be made on a timely basis.52 Company M should not recognize in earnings refundable to the company in the event the Either of the following two items would be any revenue for the membership fee until the customer obtains a refund of the membership considered indicative of an inability to make cancellation privileges and refund rights fee, or (b) if the costs are refundable to the reliable estimates: (1) Recurring, significant expire. company in the event the customer obtains differences between actual experience and If revenue is recognized in earnings over a refund of the membership fee, recorded as estimated cancellation or termination rates the membership period pursuant to the above an asset until the refund occurs.57 All costs (e.g., an actual cancellation rate of 40% criteria, the initial amounts received from other than incremental direct costs (e.g., versus an estimated rate of 25%) even if the customer or subscribers (i.e., the $35 fee indirect costs) should be expensed as impact of the difference on the amount of mentioned above) should be allocated to two incurred. estimated refunds is not material to the liability accounts. The amount of the fee Question 2 consolidated financial statements 53 or (2) representing estimated refunds should be recurring variances between the actual and credited to a monetary liability account, such Question: Will the staff accept an analogy estimated amount of refunds that are material as ‘‘customers’ refundable fees,’’ and the to Statement 48 for service transactions to either revenue or net income in quarterly remaining amount of the fee representing subject to customer cancellation privileges or annual financial statements. In addition, unearned revenue should be credited to a other than those specifically addressed in the the staff believes that an estimate, for nonmonetary liability account, such as previous question? purposes of meeting this criterion, would not ‘‘unearned revenues.’’ For each income Interpretive Response: The staff has be reliable unless it is remote 54 that material statement presented, registrants should accepted the analogy in limited adjustments (both individually and in the disclose in the footnotes to the financial circumstances due to the existence of a large aggregate) to previously recognized revenue statements the amounts of (1) the unearned pool of homogeneous transactions and would be required. The staff presumes that revenue and (2) refund obligations as of the satisfaction of the criteria in the previous reliable estimates cannot be made if the beginning of each period, the amount of cash question. Examples of other arrangements customer’s termination or cancellation and received from customers, the amount of involving customer cancellation privileges refund privileges exceed one year. revenue recognized in earnings, the amount and refundable service fees that the staff has • of refunds paid, other adjustments (with an addressed include the following: There is a sufficient company-specific • historical basis upon which to estimate the explanation thereof), and the ending balance A leasing broker whose commission from refunds,55 and the company believes that of (1) unearned revenue and (2) refund the lessor upon a commercial tenant’s signing such historical experience is predictive of obligations. of a lease agreement is refundable (or in some future events. In assessing these items, the If revenue is recognized in earnings over cases, is not due) under lessor cancellation staff believes that estimates of future refunds the membership period pursuant to the above privileges if the tenant fails to move into the criteria, the staff believes that adjustments for leased premises by a specified date. should take into consideration, among other • things, such factors as historical experience changes in estimated refunds should be A talent agent whose fee receivable from by service type and class of customer, recorded using a retrospective approach its principal (i.e., a celebrity) for arranging a changing trends in historical experience and whereby the unearned revenue and refund celebrity endorsement for a five-year term is the basis thereof (e.g., economic conditions), obligations are remeasured and adjusted at cancelable by the celebrity if the celebrity the impact or introduction of competing each balance sheet date with the offset being breaches the endorsement contract with its recorded as earned revenue.56 customer. • An insurance agent whose commission 51 Companies offering memberships often The staff will question further analogies to the received from the insurer upon selling an guidance in Statement 48 for transactions expressly distribute membership packets describing excluded from its scope. and discussing the terms, conditions, and insurance policy is refundable in whole for the 30-day period that state law permits the 52 Reliability is defined in Concepts Statement 2 benefits of membership. Packets may include as ‘‘the quality of information that assures that vouchers, for example, that provide new consumer to repudiate the contract and then information is reasonably free from error and bias members with discounts or other benefits refundable on a declining pro rata basis until and faithfully represents what it purports to from third parties. The costs associated with the consumer has made six monthly represent.’’ Paragraph 63 of Concepts Statement 5 the vouchers should be expensed when payments. reiterates the definition of reliability, requiring that distributed. Advertising costs to solicit In the first two of these cases, the staff ‘‘the information is representationally faithful, members should be accounted for in advised the registrants that the portion of verifiable, and neutral.’’ accordance with SOP 93–7. Incremental revenue subject to customer cancellation and 53 For example, if an estimate of the expected direct costs incurred in connection with refund must be deferred until no longer cancellation rate varies from the actual cancellation subject to that contingency because the rate by 100% but the dollar amount of the error is enrolling customers (e.g., commissions paid immaterial to the consolidated financial statements, to agents) should be accounted for as follows: registrants did not have an ability to make some would argue that the estimate could still be (1) If revenue is deferred until the reliable estimates of customer cancellations viewed as reliable. The staff disagrees with that cancellation or termination privileges expire, due to the lack of a large pool of argument. incremental direct costs should be either (a) 54 The term ‘‘remote’’ is used here with the same charged to expense when incurred if the 57 Statement 91, paragraph 5 and Technical definition as used in Statement 5. costs are not refundable to the company in Bulletin 90–1, paragraph 4 both provide for the 55 Paragraph 8 of Statement 48 notes various the event the customer obtains a refund of deferral of incremental direct costs associated with factors that may impair the ability to make a the membership fee, or (b) if the costs are acquiring a revenue-producing contract. Even reasonable estimate of returns, including the lack of refundable to the company in the event the though the revenue discussed in this example is sufficient historical experience. The staff typically refundable, if a registrant meets the aforementioned expects that the historical experience be based on customer obtains a refund of the membership criteria for revenue recognition over the the particular registrant’s historical experience for membership period, the staff would analogize to a service and/or class of customer. In general, the 56 The staff believes deferred costs being this guidance. However, if neither a nonrefundable staff typically expects a start-up company, a amortized on a basis consistent with the deferred contract nor a reliable basis for estimating net cash company introducing new services, or a company revenue should be similarly adjusted. Such an inflows under refundable contracts exists to provide introducing services to a new class of customer to approach is generally consistent with the a basis for recovery of incremental direct costs, the have at least two years of experience to be able to amortization methodology in Statement 91, staff believes that such costs should be expensed as make reasonable and reliable estimates. paragraph 19. incurred. See SAB Topic 13.A.3.f. Question 3.

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homogeneous transactions. In the case of the company experiences a change in the ability recognition of the gross margin on the insurance agent, however, the particular to make reasonable estimates of future transaction is not appropriate. registrant demonstrated that it had a product returns. Question 2 sufficient history of homogeneous b. Estimates and changes in estimates transactions with the same characteristics Question: Is the requirement cited in the from which to reliably estimate contract Accounting for revenues and costs of previous question for ‘‘reliable’’ estimates cancellations and satisfy all the criteria revenues requires estimates in many cases; meant to imply a new, higher requirement specified in the previous question. those estimates sometimes change. than the ‘‘reasonable’’ estimates discussed in Accordingly, the staff did not object to that Registrants should ensure that they have Statement 48? registrant’s policy of recognizing its sales appropriate internal controls and adequate Interpretive Response: No. ‘‘Reliability’’ of commission as revenue when its performance books and records that will result in timely financial information is one of the qualities was complete, with an appropriate allowance identification of necessary changes in of accounting information discussed in for estimated cancellations. estimates that should be reflected in the Concepts Statement 2. The staff’s expectation financial statements and notes thereto. that estimates be reliable does not change the Question 3 existing requirement of Statement 48. If Question: Must a registrant analogize to Question 1 management cannot develop an estimate that Statement 48, or may it choose to defer all Facts: Paragraph 8 of Statement 48 lists a is sufficiently reliable for use by investors, revenue until the refund period lapses as number of factors that may impair the ability the staff believes it cannot make a reasonable suggested by Statement 140 even if the to make a reasonable estimate of product estimate meeting the requirements of that criteria above for analogy to Statement 48 are returns in sales transactions when a right of standard. met? return exists.58 The paragraph concludes by Question 3 Interpretive Response: The analogy to stating ‘‘other factors may preclude a Question: Does the staff expect registrants Statement 48 is presented as an alternative reasonable estimate.’’ to apply the guidance in Question 1 of Topic that would be acceptable to the staff when Question: What ‘‘other factors,’’ in addition the listed conditions are met. However, a 13.A.4(a) above to sales of tangible goods and to those listed in paragraph 8 of Statement other transactions specifically within the registrant may choose to defer all revenue 48, has the staff identified that may preclude until the refund period lapses. The policy scope of Statement 48? a registrant from making a reasonable and Interpretive Response: The specific chosen should be disclosed and applied reliable estimate of product returns? consistently. guidance above does not apply to Interpretive Response: The staff believes transactions within the scope of Statement Question 4 that the following additional factors, among 48. The views set forth in Question 1 of Question: May a registrant that meets the others, may affect or preclude the ability to Topic 13.A.4(a) are applicable to the service above criteria for reliable estimates of make reasonable and reliable estimates of transactions discussed in that Question. cancellations choose at some point in the product returns: (1) Significant increases in Service transactions are explicitly outside the future to change from the Statement 48 or excess levels of inventory in a distribution scope of Statement 48. channel (sometimes referred to as ‘‘channel method to the Statement 140 method of Question 4 accounting for these refundable fees? May a stuffing’’), (2) lack of ‘‘visibility’’ into or the registrant change from the Statement 140 inability to determine or observe the levels of Question: Question 1 of Topic 13.A.4(a) method to the Statement 48 method? inventory in a distribution channel and the above states that the staff would expect a Interpretive Response: The staff believes current level of sales to end users, (3) two-year history of selling a new service in that Statement 140 provides a preferable expected introductions of new products that order to be able to make reliable estimates of accounting model for service transactions may result in the technological obsolescence cancellations. How long a history does the subject to potential refunds. Therefore, the of and larger than expected returns of current staff believe is necessary to estimate returns staff would not object to a change from the products, (4) the significance of a particular in a product sale transaction that is within Statement 48 method to the Statement 140 distributor to the registrant’s (or a reporting the scope of Statement 48? method. However, if a registrant had segment’s) business, sales and marketing, (5) Interpretive Response: The staff does not previously chosen the Statement 140 method, the newness of a product, (6) the believe there is any specific length of time the staff would object to a change to the introduction of competitors’ products with necessary in a product transaction. However, Statement 48 method. superior technology or greater expected Statement 48 states that returns must be subject to reasonable estimation. Preparers Question 5 market acceptance, and (7) other factors that affect market demand and changing trends in and auditors should be skeptical of estimates Question: Is there a minimum level of that demand for the registrant’s products. of product returns when little history with a customers that must be projected not to Registrants and their auditors should particular product line exists, when there is cancel before use of Statement 48 type carefully analyze all factors, including trends inadequate verifiable evidence of historical accounting is appropriate? in historical data, which may affect experience, or when there are inadequate Interpretive Response: Statement 48 does registrants’ ability to make reasonable and internal controls that ensure the reliability not include any such minimum. Therefore, reliable estimates of product returns. and timeliness of the reporting of the the staff does not believe that a minimum The staff reminds registrants that if a appropriate historical information. Start-up must apply in service transactions either. transaction fails to meet all of the conditions companies and companies selling new or However, as the refund rate increases, it may of paragraphs 6 and 8 in Statement 48, no significantly modified products are be increasingly difficult to make reasonable revenue may be recognized until those frequently unable to develop the requisite and reliable estimates of cancellation rates. conditions are subsequently met or the return historical data on which to base estimates of Question 6 privilege has substantially expired, returns. Question: When a registrant first whichever occurs first.59 Simply deferring Question 5 determines that reliable estimates of Question: If a company selling products cancellations of service contracts can be 58 These factors include ‘‘(a) the susceptibility of subject to a right of return concludes that it made (e.g., two years of historical evidence the product to significant external factors, such as cannot reasonably estimate the actual return becomes available), how should the change technological obsolescence or changes in demand, rate due to its limited history, but it can from the complete deferral method to the (b) relatively long periods in which a particular conservatively estimate the maximum method of recognizing revenue, net of product may be returned, (c) absence of historical possible returns, does the staff believe that estimated cancellations, over time be experience with similar types of sales of similar the company may recognize revenue for the products, or inability to apply such experience reflected? because of changing circumstances, for example, portion of the sales that exceeds the Interpretive Response: Changes in the changes in the selling enterprise’s marketing maximum estimated return rate? ability to meet the criteria set forth above policies and relationships with its customers, and Interpretive Response: No. If a reasonable should be accounted for in the manner (d) absence of a large volume of relatively estimate of future returns cannot be made, described in paragraph 6 of Statement 48, homogeneous transactions.’’ Statement 48 requires that revenue not be which addresses the accounting when a 59 Statement 48, paragraph 6. recognized until the return period lapses or

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a reasonable estimate can be made.60 would be limited to $200 per month if the achieves net sales of $25 million, the Deferring revenue recognition based on the store were subsequently closed and no sales contingent rentals, which may not upper end of a wide range of potential return were made thereafter. materialize, should not be recognized until rates is inconsistent with the provisions of Technical Bulletin 85–3 addresses whether the customer’s net sales actually exceed $25 Statement 48. it is appropriate for lessors in operating million. Once the $25 million threshold is c. Contingent rental income leases to recognize scheduled rent increases met, Company A would recognize the on a basis other than as required in Statement contingent rental income as it becomes Facts: Company A owns and leases retail 13, paragraph 19(b). Paragraph 2 of Technical accruable, in this case, as the customer space to retailers. Company A (lessor) renews Bulletin 85–3 states ‘‘using factors such as recognizes net sales. The staff does not a lease with a customer (lessee) that is the time value of money, anticipated believe that it is appropriate to recognize classified as an operating lease. The lease inflation, or expected future revenues revenue based upon the probability of a term is one year and provides that the lease [emphasis added] to allocate scheduled rent factor being achieved. The contingent payments are $1.2 million, payable in equal increases is inappropriate because these revenue should be recorded in the period in monthly installments on the first day of each factors do not relate to the time pattern of the which the contingency is resolved. month, plus one percent of the lessee’s net physical usage of the leased property. sales in excess of $25 million if the net sales d. Claims processing and billing services However, such factors may affect the periodic exceed $25 million during the lease term reported rental income or expense if the lease Facts: Company M performs claims (i.e., contingent rental). The lessee has agreement involves contingent rentals, which processing and medical billing services for historically experienced annual net sales in are excluded from minimum lease payments healthcare providers. In this role, Company excess of $25 million in the particular space and accounted for separately under M is responsible for preparing and being leased, and it is probable that the lessee Statement 13, as amended by Statement 29.’’ submitting claims to third-party payers, will generate in excess of $25 million net In developing the basis for why scheduled tracking outstanding billings, and collecting sales during the term of the lease. rent increases should be recognized on a amounts billed. Company M’s fee is a fixed Question: In the staff’s view, should the straight-line basis, the FASB distinguishes percentage (e.g., five percent) of the amount lessor recognize any rental income the accounting for scheduled rent increases collected. If no collections are made, no fee attributable to the one percent of the lessee’s from contingent rentals. Paragraph 13 states is due to Company M. Company M has net sales exceeding $25 million before the historical evidence indicating that the third- lessee actually achieves the $25 million net ‘‘There is an important substantive difference between lease rentals that are contingent party payers pay 85 percent of the billings sales threshold? submitted with no further effort by Company Interpretive Response: No. The staff upon some specified future event and scheduled rent increases that are unaffected M. Company M has determined that the believes that contingent rental income services performed under the arrangement ‘‘accrues’’ (i.e., it should be recognized as by future events; the accounting under Statement 13 reflects that difference. If the are a single unit of accounting. revenue) when the changes in the factor(s) on Question: May Company M recognize as which the contingent lease payments is (are) lessor and lessee eliminate the risk of variable payments by agreeing to scheduled revenue its five percent fee on 85 percent of based actually occur.61 the gross billings at the time it prepares and Statement 13 paragraph 19(b) states that rent increases, the accounting should reflect those different circumstances.’’ submits billings, or should it wait until lessors should account for operating leases as collections occur to recognize any revenue? follows: ‘‘Rent shall be reported in income The example provided in Statement 29 implies that contingent rental income in Interpretive Response: The staff believes over the lease term as it becomes receivable that Company M must wait until collections according to the provisions of the lease. leases classified as sales-type or direct- financing leases becomes ‘‘accruable’’ when occur before recognizing revenue. Before the However, if the rentals vary from a straight- third-party payer has remitted payment to line basis, the income shall be recognized on the changes in the factors on which the contingent lease payments are based actually Company M’s customers for the services a straight-line basis unless another systematic billed, Company M is not entitled to any and rational basis is more representative of occur. Technical Bulletin 85–3 indicates that contingent rental income in operating leases revenue. That is, its revenue is not yet the time pattern in which use benefit from 62 should not be recognized in a manner realized or realizable. Until Company M’s the leased property is diminished, in which customers collect on the billings, Company case that basis shall be used.’’ consistent with scheduled rent increases (i.e., on a straight-line basis over the lease term or M has not performed the requisite activity Statement 29 amended Statement 13 and 63 another systematic and rational allocation under its contract to be entitled to a fee. clarifies that ‘‘lease payments that depend on Further, no amount of the fee is fixed or a factor that does not exist or is not basis if it is more representative of the time pattern in which the leased property is determinable or collectible until Company measurable at the inception of the lease, such Ms’ customers collect on the billings. as future sales volume, would be contingent physically employed) because the risk of rentals in their entirety and, accordingly, variable payments inherent in contingent B. Disclosures rentals is substantively different than would be excluded from minimum lease Question 1 payments and included in the determination scheduled rent increases. The staff believes of income as they accrue.’’ [Summary] that the reasoning in Technical Bulletin 85– Question: What disclosures are required Paragraph 17 of Statement 29 provides the 3 supports the conclusion that the risks with respect to the recognition of revenue? following example of determining contingent inherent in variable payments associated Interpretive Response: A registrant should rentals: with contingent rentals should be reflected in disclose its accounting policy for the A lease agreement for retail store space financial statements on a basis different than recognition of revenue pursuant to Opinion could stipulate a monthly base rental of $200 rental payments that adjust on a scheduled 22. Paragraph 12 thereof states that ‘‘the and a monthly supplemental rental of one- basis and, therefore, operating lease income disclosure should encompass important fourth of one percent of monthly sales associated with contingent rents would not judgments as to appropriateness of principles volume during the lease term. Even if the be recognized as time passes or as the leased relating to recognition of revenue * * *.’’ lease agreement is a renewal for store space property is physically employed. Because revenue recognition generally that had averaged monthly sales of $25,000 Furthermore, prior to the lessee’s involves some level of judgment, the staff for the past 2 years, minimum lease achievement of the target upon which believes that a registrant should always payments would include only the $200 contingent rentals are based, the lessor has disclose its revenue recognition policy. If a monthly base rental; the supplemental rental no legal claims on the contingent amounts. company has different policies for different is a contingent rental that is excluded from Consequently, the staff believes that it is types of revenue transactions, including minimum lease payments. The future sales inappropriate to anticipate changes in the barter sales, the policy for each material type for the lease term do not exist at the factors on which contingent rental income in of transaction should be disclosed. If sales inception of the lease, and future rentals operating leases is based and recognize rental transactions have multiple units of income prior to the resolution of the lease accounting, such as a product and service, 60 Statement 48, paragraph 6(f). contingencies. 61 Lessees should follow the guidance established Because Company A’s contingent rental 62 Concepts Statement 5, paragraph 83(a). in EITF Issue 98–9. income is based upon whether the customer 63 Concepts Statement 5, paragraph 83(b).

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the accounting policy should clearly state the statements when the fair value does not the Commission may take enforcement action accounting policy for each unit of accounting approximate the carrying amount.) 67 where a registrant in prior financial as well as how units of accounting are • Changing trends in shipments into, and statements has violated the antifraud or determined and valued. In addition, the staff sales from, a sales channel or separate class disclosure provisions of the securities laws believes that changes in estimated returns of customer that could be expected to have with respect to revenue recognition. a significant effect on future sales or sales recognized in accordance with Statement 48 Question 3 should be disclosed, if material (e.g., a returns. • change in estimate from two percent of sales An increasing trend toward sales to a Question: The previous question indicates to one percent of sales). different class of customer, such as a reseller that the staff will not object to cumulative Regulation S–X requires that revenue from distribution channel that has a lower gross effect-type transition so long as the prior the sales of products, services, and other profit margin than existing sales that are accounting does not represent an error. Could products each be separately disclosed on the principally made to end users. Also, a company whose prior accounting does not face of the income statement.64 The staff increasing service revenue that has a higher represent an error voluntarily adopt a new believes that costs relating to each type of profit margin than product sales. method consistent with this SAB Topic by • Seasonal trends or variations in sales. revenue similarly should be reported restatement of prior periods, rather than • A gain or loss from the sale of an separately on the face of the income through a cumulative catch-up adjustment? asset(s).68 statement. Interpretive Response: In most instances, MD&A requires a discussion of liquidity, Question 2 no. Opinion 20 does not permit restatement capital resources, results of operations and Question: Will the staff expect retroactive of financial statements for a change in other information necessary to an changes by registrants to comply with the accounting principle that does not represent understanding of a registrant’s financial accounting described in this bulletin? correction of an error, except in very rare 70 condition, changes in financial condition and Interpretive Response: All registrants are circumstances. An exception is a company results of operations.65 This includes expected to apply the accounting and that is filing publicly for the first time. As unusual or infrequent transactions, known disclosures described in this bulletin. The stated in paragraph 29 of Opinion 20, those trends or uncertainties that have had, or staff, however, will not object if registrants companies are permitted to reflect the might reasonably be expected to have, a that have not applied this accounting do not adoption of the new policy via a restatement, favorable or unfavorable material effect on restate prior financial statements provided and the staff believes that approach is usually revenue, operating income or net income and they report a change in accounting principle necessary to avoid confusing investors in an the relationship between revenue and the in accordance with Opinion 20 and initial public offering. costs of the revenue. Changes in revenue Statement 3 no later than the fourth fiscal Question 4 should not be evaluated solely in terms of quarter of the fiscal year beginning after Question: Should a registrant reporting a volume and price changes, but should also December 15, 1999. In periods subsequent to change in accounting principle as a result of include an analysis of the reasons and factors transition, registrants should disclose the this SAB Topic file a preferability letter? contributing to the increase or decrease. The amount of revenue (if material to income Interpretive Response: No preferability Commission stated in FRR 36 that MD&A before income taxes) recognized in those should ‘‘give investors an opportunity to look periods that was included in the cumulative letter is required if an accounting change is at the registrant through the eyes of effect adjustment. If a registrant files made in response to a newly issued Staff management by providing a historical and financial statements with the Commission Accounting Bulletin. prospective analysis of the registrant’s before applying the guidance in this bulletin, Question 5 financial condition and results of operations, disclosures similar to those described in SAB Topic 11.M should be provided. Question: If a company had not previously with a particular emphasis on the registrant’s adjusted sales revenues, but deferred prospects for the future.’’ 66 However, if registrants have not previously complied with GAAP, for example, by recognition of the gross margin of estimated Examples of such revenue transactions or returns for a transaction subject to Statement events that the staff has asked to be disclosed recording revenue for products prior to delivery that did not comply with the 48, how should it present a current change and discussed in accordance with FRR 36 applicable bill-and-hold guidance, those in accounting to reduce revenue and cost of are: registrants should apply the guidance in sales for estimated returns? • Shipments of product at the end of a Opinion 20 for the correction of an error.69 Interpretive Response: Paragraph 7 of reporting period that significantly reduce In addition, registrants should be aware that Statement 48 states that ‘‘sales revenue and customer backlog and that reasonably might cost of sales reported in the income statement be expected to result in lower shipments and 67 shall be reduced to reflect estimated returns.’’ revenue in the next period. Statement 107. • 68 Gains or losses from the sale of assets should Statement 48 does not provide for Granting of extended payment terms that recognition of sales and costs of sales while will result in a longer collection period for be reported as ‘‘other general expenses’’ pursuant to Regulation S–X, Article 5–03(b)(6). Any material deferring gross margin under any accounts receivable (regardless of whether item should be stated separately. circumstance. This SAB Topic provides no revenue has been recognized) and slower 69 Opinion 20, paragraph 13 and paragraphs 36– new guidance on this point. If a registrant has cash inflows from operations, and the effect 37 describe and provide the accounting and failed to comply with GAAP, the registrant on liquidity and capital resources. (The fair disclosure requirements applicable to the correction should retroactively revise prior financial value of trade receivables should be of an error in previously issued financial statements in the manner set forth in Opinion disclosed in the footnotes to the financial statements. Because the term ‘‘error’’ as used in 20 and Statement 16. Opinion 20 includes ‘‘oversight or misuse of facts that existed at the time that the financial statements [FR Doc. 03–31512 Filed 12–22–03; 8:45 am] 64 See Regulation S–X, Article 5–03(b)(1) and (2). were prepared,’’ that term includes both 65 See Regulation S–K, Article 303 and FRR 36. unintentional errors as well as intentional BILLING CODE 8010–01–P 66 FRR 36, also see In the Matter of Caterpillar fraudulent financial reporting and misappropriation Inc., AAER 363 (March 31, 1992). of assets as described in SAS 99. 70 See, for example, Opinion 20, paragraph 27.

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Part VIII

Federal Retirement Thrift Investment Board 5 CFR Parts 1600, 1601, et al. Employee Elections To Contribute To the Thrift Savings Plan, Participants’ Choices of Investment Funds, Vesting, Uniformed Services Accounts, Correction of Administrative Errors, Lost Earnings Attributable to Employing Agency Errors, Participant Statements, Calculation of Share Prices, Methods of Withdrawing Funds From the Thrift Savings Plan, Death Benefits, Domestic Relations Orders Affecting Thrift Savings Plan Accounts, Loans, Miscellaneous; Final Rule

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FEDERAL RETIREMENT THRIFT On June 25, 2002, the Board However, a participant who is a chapter INVESTMENT BOARD published a proposed rule with request 13 debtor is not necessarily protected for comments in the Federal Register from hardship based on an 5 CFR Parts 1600, 1601, 1603, 1604, (67 FR 42856). The proposed rule extraordinary expense. Therefore, final 1605, 1606, 1640, 1645, 1650, 1651, explained how the Board planned to § 1650.32(f) provides that a participant 1653, 1655, 1690 amend TSP regulations to reflect the cannot receive a hardship withdrawal processes and terminology of the new based solely on negative monthly cash Employee Elections To Contribute To record keeping system. On April 4, flow while he or she is a debtor in a the Thrift Savings Plan, Participants’ 2003, the Board published a notice of chapter 13 bankruptcy action. Choices of Investment Funds, Vesting, proposed rulemaking in the Federal Uniformed Services Accounts, Register (68 FR 16449). That notice Parts 1651 and 1653 Correction of Administrative Errors, explained that the Board also planned to Lost Earnings Attributable to amend TSP regulations to permit Parts 1651 and 1653 concern the Employing Agency Errors, Participant participants who are age 50 or older to payment of death benefits and court Statements, Calculation of Share make catch-up TSP contributions. The ordered payments to TSP beneficiaries. Prices, Methods of Withdrawing Funds notice also proposed additional changes When the TSP informs a beneficiary that From the Thrift Savings Plan, Death to the TSP regulations to accommodate he or she will receive a payment from Benefits, Domestic Relations Orders further the operation of the new record the TSP, it also provides each Affecting Thrift Savings Plan keeping system. beneficiary with information concerning Accounts, Loans, Miscellaneous On June 13, 2003, the Board TSP payment options, the tax treatment published an interim rule with request of a payment from the TSP and the AGENCY: Federal Retirement Thrift for comments in the Federal Register forms the beneficiary needs to elect tax Investment Board. (68 FR 35492). The interim rule adopted withholding, electronic funds transfer, ACTION: Final rule. the June 25, 2002, proposed rule with or a transfer of the payment to an SUMMARY: The Executive Director of the the changes discussed in the April 4 individual retirement account or eligible Federal Retirement Thrift Investment notice. employer plan. The TSP schedules the Board (Board) is adopting as final the The Board received no comment on payment to occur 60 days after the interim rule the Board published in June the proposed rule, the notice of information and forms are mailed to the 2003 to implement the new Thrift proposed rulemaking, or the interim beneficiary. If the TSP does not receive Savings Plan (TSP) record keeping rule. Accordingly, the Board is adopting any of the election forms from the system and to permit the making of the interim rule as a final rule with beneficiary by the scheduled payment catch-up contributions by TSP several minor changes. These changes date, or if the beneficiary does not participants who are age 50 and over. are described below. request additional time to complete the EFFECTIVE DATE: This final rule is Part 1640 forms, the TSP pays the beneficiary directly by United States Treasury effective December 23, 2003. Interim § 1640.6 requires the TSP to check. FOR FURTHER INFORMATION CONTACT: mail quarterly account statements and Patrick J. Forrest or Merritt A. Willing twice-yearly investment fund The TSP expects a beneficiary to on (202) 942–1684. information to each participant, unless review the tax and payment SUPPLEMENTARY INFORMATION: The Board the participant elects to receive that information, and return, in a timely administers the TSP, which was information via the TSP Web site. The manner, the appropriate forms to the established by the Federal Employees’ Board has determined that it is more TSP to request additional tax Retirement System Act of 1986 cost effective to furnish account and withholding or to elect a payment (FERSA), Public Law 99–335, 100 Stat. investment fund information to the 3.2 option. Therefore, if the TSP pays a 514. The TSP provisions of FERSA have million TSP participants by posting it beneficiary directly, he or she cannot been codified, as amended, largely at 5 on the TSP Web site and to mail costly return the funds to the TSP with an U.S.C. 8351 and 8401–8479. The TSP is paper copies of that information only to untimely request to reissue the payment a tax-deferred retirement savings plan participants who request them. in a different form. The current TSP for Federal civilian employees and Therefore, final § 1640.6 establishes the regulations do not inform participants of members of the uniformed services, TSP Web site as the primary source for this policy; therefore, the final rule which is similar to cash or deferred TSP account statements and investment explains that a beneficiary cannot return arrangements established under section fund information. a properly paid court order or death 401(k) of the Internal Revenue Code (26 Part 1650 benefit payment, once issued, to the U.S.C. 401(k)). Sums in a TSP TSP. participant’s account are held in trust A participant can qualify for a for the participant. hardship withdrawal if his or her Regulatory Flexibility Act Congress amended FERSA in 1996 by monthly income is insufficient to pay enacting the Thrift Savings Plan Act of monthly expenses or the participant I certify that these regulations will not 1996, Public Law 104–208, 110 Stat. cannot pay certain specified have a significant economic impact on 3009, which permitted the Executive extraordinary expenses. Interim a substantial number of small entities. Director of the Board to offer, among § 1650.32(f) states that a participant They will affect only employees and other things, new withdrawal options to cannot receive a hardship withdrawal former employees of the Federal TSP participants. In order to while he or she is a debtor in a chapter government. accommodate these new withdrawal 13 bankruptcy action. The Board Paperwork Reduction Act options and to make a number of adopted this policy because the benefits arising from recent bankruptcy court establishes a plan for I certify that these regulations do not technological advances available to TSP a chapter 13 debtor to repay creditors require additional reporting under the participants, the Board redesigned its while preserving sufficient monthly criteria of the Paperwork Reduction Act record keeping system. income for the debtor’s support. of 1980.

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Unfunded Mandates Reform Act of PART 1605—CORRECTION OF Subpart D—In-Service Withdrawals 1995 ADMINISTRATIVE ERRORS ■ 9. Amend § 1650.32 by revising Pursuant to the Unfunded Mandates ■ 1. The authority citation for part 1605 paragraph (f) to read as follows: Reform Act of 1995, Public Law 104–4, continues to read as follows: section 201, 109 Stat. 48, 64, the effects § 1650.32 Financial hardship withdrawals. Authority: 5 U.S.C. 8351, 8432a, and of this regulation on State, local, and 8474(b)(5) and (c)(1). * * * * * tribal governments and the private (f) A participant is not eligible for an sector have been assessed. This ■ 2. Amend § 1605.2 by removing ‘‘after in-service hardship withdrawal based regulation will not compel the December 31, 2000’’ from paragraph solely on monthly negative cash flow (as expenditure in any one year of $100 (b)(1) and adding in its place ‘‘on or after described in paragraph (b)(1) of this million or more by State, local, and January 1, 2000’’. section) during the time he or she has tribal governments, in the aggregate, or ■ 3. Amend § 1605.12 as follows: pending a petition in bankruptcy under by the private sector. Therefore, a ■ a. By removing ‘‘after December 31, Chapter 13 of the Bankruptcy Code (11 statement under section 202, 109 Stat. 2000’’ from paragraphs (a) and (c)(1) and U.S.C. chapter 13). 48, 64–65, is not required. adding in its place ‘‘on or after January PART 1651—DEATH BENEFITS Submission to Congress and the 1, 2000’’. General Accounting Office ■ b. By removing ‘‘on or before December ■ 10. The authority citation for part 1651 31, 2000’’ from paragraph (a) and adding continues to read as follows: Pursuant to 5 U.S.C. 801(a)(1)(A), the in its place ‘‘before January 1, 2000’’. Board submitted a report containing Authority: 5 U.S.C. 8424(d), 8432(j), ■ 4. Amend § 1605.13 as follows: these rules and other required 8433(e), 8435(c)(2), 8474(b)(5) and 8474(c)(1). ■ a. By removing ‘‘after December 31, information to the U.S. Senate, the U.S. ■ 2000’’ from paragraph (b)(3)(i) and 11. Amend § 1651.14 by adding a new House of Representatives, and the paragraph (h) to read as follows: Comptroller General of the United adding in its place ‘‘on or after January States prior to publication of this rule in 1, 2000’’. § 1651.14 How payment is made. ■ today’s Federal Register. These rules are b. By removing ‘‘on or before December * * * * * not major rules as defined at 5 U.S.C. 31, 2000’’ from paragraph (b)(3)(ii) and (h) A properly paid death benefit 804(2). adding in its place ‘‘before January 1, payment cannot be returned to the TSP. 2000’’. List of Subjects ■ 5. Amend § 1605.14 as follows: PART 1653—COURT ORDERS AND 5 CFR Parts 1600, 1601, 1603, 1606, ■ a. By removing ‘‘after December 31, LEGAL PROCESSES AFFECTING 1645, 1650, 1651, 1653, 1690 2000’’ from paragraph (a)(1) and adding THRIFT SAVINGS PLAN ACCOUNTS in its place ‘‘on or after January 1, 2000’’. Employee benefit plans, Government ■ 12. The authority citation for Part 1653 ■ b. By removing ‘‘on or before December employees, Pensions, Retirement. continues to read as follows: 31, 2000’’ from paragraph (a)(1) and 5 CFR Parts 1604, 1655 adding in its place ‘‘before January 1, Authority: 5 U.S.C. 8435, 8436(b), 2000’’. 8437(e)(3), 8467, 8474(b)(5) and 8474(c)(1). Employee benefit plans, Government employees, Military personnel, PART 1640—PERIODIC PARTICIPANT Subpart A—Retirement Benefits Court Pensions, Retirement. STATEMENTS Orders 5 CFR Part 1605 ■ 6. The authority citation for Part 1640 ■ 13. Amend § 1653.5 by adding a new Administrative practice and continues to read as follows: paragraph (l) after paragraph (k) to read procedure, Employee benefit plans, Authority: 5 U.S.C. 8439(c)(1) and (c)(2), 5 as follows: Government employees, Pensions, U.S.C. 8474(b)(5) and (c)(1). § 1653.5 Payment. Retirement. ■ 7. Revise § 1640.6 to read as follows: * * * * * 5 CFR Part 1640 (l) A properly paid court order § 1640.6 Methods of providing information. Employee benefit plans, Government payment cannot be returned to the TSP. The TSP will furnish the information employees, Pensions, Reporting and described in this part to participants by PART 1655—LOAN PROGRAM recordkeeping requirements, making it available on the TSP Web site. Retirement. ■ 14. The authority citation for Part 1655 A participant can request paper copies continues to read as follows: Gary A. Amelio, of that information from the TSP by Executive Director, Federal Retirement Thrift calling the ThriftLine, submitting a Authority: 5 U.S.C. 8433(g) and 8474. Investment Board. request through the TSP Web site, or by ■ 15. Amend § 1655.15 by removing the writing to the TSP record keeper. word ‘‘because’’ from paragraph (a)(7) ■ For the reasons set out in the preamble, and adding in its place the word the Executive Director of the Federal PART 1650—METHODS OF ‘‘became’’. Retirement Thrift Investment Board WITHDRAWING FUNDS FROM THE ■ 16. Amend § 1655.18 by removing the adopts as a final rule the interim rule THRIFT SAVINGS PLAN citation ‘‘1650.64 and 1650.65’’ from amending 5 CFR parts 1600, 1601, 1603, paragraph (c) and adding in its place the 1604, 1605, 1606, 1640, 1645, 1560, ■ 8. The authority citation for Part 1650 citation ‘‘part 1650, subpart G’’. 1651, 1653, 1655 and 1690, which was continues to read as follows: published at 68 FR 35492 on June 13, Authority: 5 U.S.C. 8351, 8433, 8434, [FR Doc. 03–31516 Filed 12–22–03; 8:45 am] 2003, with the following changes: 8435, 8474(b)(5), and 8474(c)(1). BILLING CODE 6760–01–P

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Part IX

The President Presidential Determination No. 2004–10 of December 6, 2003 Presidential Determination No. 2004–11 of December 8, 2003 Presidential Determination No. 2004–12 of December 9, 2003 Presidential Determination No. 2004–14 of December 11, 2003 Proclamation 7745—Wright Brothers Day, 2003 Executive Order 13321—Appointments During National Emergency

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Federal Register Presidential Documents Vol. 68, No. 246

Tuesday, December 23, 2003

Title 3— Presidential Determination No. 2004–10 of December 6, 2003

The President Presidential Determination on Waiver of Conditions on Obli- gation and Expenditure of Funds for Planning, Design, and Construction of a Chemical Weapons Destruction Facility in Russia

Memorandum for the Secretary of State

Consistent with the authority vested in me by section 1306 of the Department of Defense Authorization Act for Fiscal Year 2004 (Public Law 108–136) (the ‘‘Act’’), I hereby certify that waiving the conditions described in section 1305 of the National Defense Authorization Act for Fiscal Year 2000 (Public Law 106–65) is important to the national security interests of the United States, and include herein, for submission to the Congress, the statement, justification, and plan described in section 1306 of the Act. You are authorized and directed to transmit this certification, including the statement, justification, and plan to the Congress and to arrange for its publication of this determination in the Federal Register. W THE WHITE HOUSE, Washington, December 6, 2003.

[FR Doc. 03–31589 Filed 12–22–03; 8:45 am] Billing code 4710–10–P

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Presidential Determination No. 2004–11 of December 8, 2003

Determination Consistent with Section 620(q) of the Foreign Assistance Act of 1961, as amended, and Section 512 of the FY 2002 and 2003 Foreign Operations, Export Financing, and Related Programs Appropriations Acts

Memorandum for the Secretary of State[,] the Secretary of the Treasury[,] the Secretary of Defense[, and] the Administrator, U.S. Agency for Inter- national Development

Consistent with the authority vested in me by section 620(q) of the Foreign Assistance Act of 1961, as amended, (22 U.S.C. 2370) and section 512 of the FY 2002 and 2003 Foreign Operations, Export Financing, and Related Programs Appropriations Acts, (Public Law 107–115 and Public Law 108– 7), I hereby determine that the furnishing of assistance to Liberia is in the national interest of the United States and waive, with respect to that country, the application of section 620(q) of the Foreign Assistance Act and section 512 of the FY 2002 and 2003 Foreign Operations, Export Financ- ing, and Related Programs Appropriations Acts. The Secretary of State is authorized and directed to report this determination to the Congress and to arrange for its publication in the Federal Register. W THE WHITE HOUSE, Washington, December 8, 2003.

[FR Doc. 03–31590 Filed 12–22–03; 8:45 am] Billing code 4710–10–P

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Presidential Determination No. 2004–12 of December 9, 2003

Suspension of Limitations Under the Jerusalem Embassy Act

Memorandum for the Secretary of State

Consistent with the authority vested in me as President by the Constitution and the laws of the United States, including section 7(a) of the Jerusalem Embassy Act of 1995 (Public Law 104–45) (the ‘‘Act’’), I hereby determine that it is necessary to protect the national security interests of the United States to suspend for a period of 6 months the limitations set forth in sections 3(b) and 7(b) of the Act. My Administration remains committed to beginning the process of moving our embassy to Jerusalem. You are hereby authorized and directed to transmit this determination to the Congress, accompanied by a report in accordance with section 7(a) of the Act, and to publish the determination in the Federal Register. This suspension shall take effect after transmission of this determination and report to the Congress. W THE WHITE HOUSE, Washington, December 9, 2003.

[FR Doc. 03–31591 Filed 12–22–03; 8:45 am] Billing code 4710–10–P

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Presidential Determination No. 2004–14 of December 11, 2003

Imposition and Waiver of Sanctions Under Section 604 of the FY 2003 Foreign Relations Authorization Act (Public Law 107–228)

Memorandum for the Secretary of State

Consistent with the authority contained in section 604 of the FY 2003 Foreign Relations Authorization Act (Public Law 107–228) (the ‘‘Act’’), and with reference to the determinations set out in the report to the Congress transmitted herewith, consistent with section 603 of that Act, regarding noncompliance by the PLO and the Palestinian Authority with certain com- mitments, I hereby impose the sanction set out in section 604(a)(2) ‘‘Down- grade in Status of the PLO Office in the United States.’’ This sanction is imposed for a period of 180 days from the date hereof or until such time as the next report required by section 603 of the Act is transmitted to the Congress, whichever is later. You are authorized and directed to transmit to the appropriate congressional committees the report described in section 603 of the Act. Furthermore, I hereby determine that it is in the national security interest of the United States to waive that sanction, pursuant to section 604 of the Act. This waiver shall be effective for a period of 180 days from the date hereof or until such time as the next report required by section 603 of the Act is transmitted to the Congress, whichever is later. You are hereby authorized and directed to transmit this determination to the Congress and to publish it in the Federal Register. W THE WHITE HOUSE, Washington, December 11, 2003.

[FR Doc. 03–31592 Filed 12–22–03; 8:45 am] Billing code 4710–10–P

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Proclamation 7745 of December 17, 2003

Wright Brothers Day, 2003

By the President of the United States of America

A Proclamation A spirit of exploration and discovery has been a part of the American character since our founding days. Orville and Wilbur Wright exemplified this spirit when they made the dream of human flight a reality on December 17, 1903. On Wright Brothers Day, we honor the vision of these bicycle mechanics from Dayton, Ohio, and celebrate the centennial of manned, powered flight. One hundred years ago, the Wright brothers changed our world with their 12-second, 120-foot flight in North Carolina. Their achievement inspired other aviation pioneers and marked the beginning of a new era of freedom. Since that first flight, aviation and aerospace technology has advanced at a remarkable pace, allowing us to fly across oceans, break the sound barrier, orbit the Earth, land on the moon, and study our universe in a way our ancestors could not have imagined. Each new generation of engineers and other inventors, following in the Wright Brothers’ footsteps, continues to move the technology of flight further. Today, air transportation touches the lives of people throughout the United States, and helps unite the American people. Air transportation brings fami- lies and friends together, delivers aid to those in need, and facilitates industry and commerce. As we look to the future, we remember the extraordinary accomplishments of the Wright Brothers. Their determination and innovation continue to inspire us as we embark on the second century of flight. The Congress, by a joint resolution approved December 17, 1963 (77 Stat. 402; 36 U.S.C. 143) as amended, has designated December 17 of each year as ‘‘Wright Brothers Day’’ and has authorized and requested the President to issue annually a proclamation inviting the people of the United States to observe that day with appropriate ceremonies and activities. NOW, THEREFORE, I, GEORGE W. BUSH, President of the United States of America, do hereby proclaim December 17, 2003, as Wright Brothers Day.

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IN WITNESS WHEREOF, I have hereunto set my hand this seventeenth day of December, in the year of our Lord two thousand three, and of the Independence of the United States of America the two hundred and twenty-eighth. W

[FR Doc. 03–31593 Filed 12–22–03; 8:45 am] Billing code 3195–01–P

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Executive Order 13321 of December 17, 2003

Appointments During National Emergency

By the authority vested in me as President by the Constitution and the laws of the United States of America, including the National Emergencies Act (50 U.S.C. 1601 et seq.), and section 301 of title 3, United States Code, and in order to further respond to the national emergency I declared in Proclamation 7463 of September 14, 2001, I hereby order as follows: Section 1. Emergency Appointments Authority. The emergency appointments authority at section 603 of title 10, United States Code, is invoked and made available to the Secretary of Defense in accordance with the terms of that statute and of Executive Order 12396 of December 9, 1982. Sec. 2. Judicial Review. This order is not intended to, and does not, create any right or benefit, substantive or procedural, enforceable at law or in equity by a party against the United States, its departments, agencies, entities, officers, employees or agents, or any person. Sec. 3. Administration. This order shall be transmitted to the Congress and published in the Federal Register. W THE WHITE HOUSE, December 17, 2003.

[FR Doc. 03–31594 Filed 12–22–03; 8:45 am] Billing code 3195–01–P

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Reader Aids Federal Register Vol. 68, No. 246 Tuesday, December 23, 2003

CUSTOMER SERVICE AND INFORMATION CFR PARTS AFFECTED DURING DECEMBER

Federal Register/Code of Federal Regulations At the end of each month, the Office of the Federal Register General Information, indexes and other finding 202–741–6000 publishes separately a List of CFR Sections Affected (LSA), which aids lists parts and sections affected by documents published since Laws 741–6000 the revision date of each title. Presidential Documents 1 CFR 1690...... 74450 Executive orders and proclamations 741–6000 Proposed Rules: 7 CFR The United States Government Manual 741–6000 11...... 70191 51...... 69941 Other Services 3 CFR 56...... 68487 Electronic and on-line services (voice) 741–6020 70...... 68487 Proclamations: 91...... 69944 Privacy Act Compilation 741–6064 7529 (See Proc. Public Laws Update Service (numbers, dates, etc.) 741–6043 96...... 69944 7741) ...... 68483 319...... 70421 TTY for the deaf-and-hard-of-hearing 741–6086 7576 (See Proc. 354...... 67937 7741) ...... 68483 772...... 69948 ELECTRONIC RESEARCH 7463 (See EO 905...... 68717 13321) ...... 74465 World Wide Web 966...... 70689 7740...... 67787 1220...... 69953 Full text of the daily Federal Register, CFR and other publications 7741...... 68483 1412...... 67938 is located at: http://www.access.gpo.gov/nara 7742...... 68999 1421...... 67938 7743...... 69293 Federal Register information and research tools, including Public 1901...... 69948 7744...... 69939 Inspection List, indexes, and links to GPO Access are located at: 1942...... 69001 7745...... 74463 http://www.archives.gov/federallregister/ 1951...... 69948, 69954 Executive Orders: 2200...... 74412 E-mail 11582 (See EO 2201...... 74412 FEDREGTOC-L (Federal Register Table of Contents LISTSERV) is 13320) ...... 69295 Proposed Rules: an open e-mail service that provides subscribers with a digital 13119...... 68233 60...... 71039 form of the Federal Register Table of Contents. The digital form 13183 (Amended by 275...... 70193 of the Federal Register Table of Contents includes HTML and EO 13319)...... 68233 319...... 70448 PDF links to the full text of each document. 13320...... 69295 810...... 70201 13321 (See Proc. 900...... 67381 To join or leave, go to http://listserv.access.gpo.gov and select 7763) ...... 74465 Online mailing list archives, FEDREGTOC-L, Join or leave the list 929...... 69343 Administrative Orders: (orchange settings); then follow the instructions. 1230...... 70201 Memorandums: 2902...... 70730 PENS (Public Law Electronic Notification Service) is an e-mail Memorandum of March service that notifies subscribers of recently enacted laws. 5, 2002 (See Proc. 8 CFR To subscribe, go to http://listserv.gsa.gov/archives/publaws-l.html 7741) ...... 68483 264...... 67578 No. 2004–10 of and select Join or leave the list (or change settings); then follow 10 CFR the instructions. December 6, 2003 ...... 74455 No. 2004–11 of 72...... 70121, 70423 FEDREGTOC-L and PENS are mailing lists only. We cannot December 8, 2003 ...... 74457 Proposed Rules: respond to specific inquiries. No. 2004–12 of 35...... 68549 Reference questions. Send questions and comments about the December 9, 2003 ...... 74459 50...... 67811 Federal Register system to: [email protected] No. 2004–13 of 72...... 70463 The Federal Register staff cannot interpret specific documents or December 11, 300...... 68204 regulations. 2003 ...... 74461 850...... 68276 851...... 68276 4 CFR FEDERAL REGISTER PAGES AND DATE, DECEMBER 27...... 69297 11 CFR 67013–67356...... 1 28...... 69297 4...... 70426 67357–67584...... 2 29...... 69297 100...... 67013, 69583 102...... 67013 67585–67786...... 3 5 CFR 67787–67936...... 4 106...... 69583 919...... 74461 67937–68232...... 5 111...... 70426 970...... 74461 68233–68486...... 8 114...... 69583 1600...... 74450 9004...... 69583 68487–68716...... 9 1601...... 74450 9034...... 69583 68717–69000...... 10 1603...... 74450 69001–69294...... 11 1604...... 74450 12 CFR 69295–69582...... 12 1605...... 74450 3...... 70122 69583–69940...... 15 1606...... 74450 5...... 70122, 70691 69941–70120...... 16 1640...... 74450 6...... 70122 70121–70420...... 17 1645...... 74450 7...... 70122 70421–70688...... 18 1650...... 74450 9...... 70122 70689–70994...... 19 1651...... 74450 11...... 68489 70995–72396...... 22 1653...... 74450 16...... 68489 74161–74466...... 23 1655...... 74450 28...... 70122, 70691

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34...... 70122 270...... 70388 9...... 70217 11...... 69442 225...... 68493 274...... 70402 25...... 67388 264b...... 68720 403...... 69059 38 CFR 905...... 67789 28 CFR 17...... 70714 18 CFR Proposed Rules: 2...... 70709 Proposed Rules: 202...... 68786 4...... 69957 15...... 74187 19...... 69062 205...... 68788 5...... 69978 Proposed Rules: 20...... 69062 213...... 68791 11...... 67592 901...... 67991 226...... 68793 35...... 69599 39 CFR 37...... 69134 230...... 68799 29 CFR Proposed Rules: 161...... 69134 1626...... 70150 111...... 69066 14 CFR 250...... 69134 4011...... 67032 284...... 69134 11...... 70132 4022...... 67033, 69606 40 CFR 25 ...... 68499, 68501, 70133 358...... 69134 4044...... 67035, 69606 51...... 71009 39 ...... 67018, 67020, 67021, 19 CFR Proposed Rules: 52 ...... 67045, 67598, 67805, 67024, 67025, 67027, 67585, 1917...... 68804 67807, 67948, 68521, 68523, 67588, 67789, 67792, 67794, 4...... 68140 1918...... 68804 69025, 69318, 69320, 69611, 67796, 67798, 69596, 70136, 10...... 67338 2510...... 68710 70437 70428, 70429, 70431, 70432, 103...... 68140 60 ...... 69029, 69036, 70960 70434, 74161, 74163, 74164, 113...... 68140 30 CFR 61 ...... 67932, 69029, 69036 74166, 74167, 74169, 74171, 122...... 68140 62...... 68738 74172, 74173, 74175 123...... 68140 250...... 69308 63 ...... 67953, 69029, 69036, 71 ...... 67357, 67358, 67359, 163...... 67338 934...... 67801 69164, 70726, 70904, 70948, 67360, 67361, 67590, 68449, 178...... 68140 948...... 67035, 68724 70960 68503, 68504, 68505, 68506, 192...... 68140 Proposed Rules: 81...... 69611 68507, 68508, 68973, 69305, 732...... 67776 20 CFR 180...... 69322 69597, 69598, 69599, 70137, 931...... 70749 271...... 68526 70138, 70139, 70140 404...... 69003, 74177 437...... 71014 91...... 70132 416...... 69003, 74177 31 CFR 721...... 70155 97...... 67363, 69306 422...... 74177 1...... 67943 135...... 69307 718...... 69930 323...... 67943 Proposed Rules: 1260...... 67364 725...... 69930 Proposed Rules: 51...... 68805 52 ...... 67821, 67993, 68579, Proposed Rules: Proposed Rules: 50...... 67100 68580, 68581, 69069, 69366, 25...... 68563 422...... 69978 356...... 74274 69637, 69640, 70484 39 ...... 67385, 67611, 67613, 21 CFR 61...... 69069 67616, 67618, 67622, 67812, 32 CFR 62...... 68805 67814, 67816, 67971, 67973, 1...... 69957 706 ...... 68511, 68513, 68514, 63...... 69069, 70752 67975, 67978, 67980, 67981, 314...... 69009 68515, 68516 81...... 69640, 70108 67984, 67986, 67988, 68299, 347...... 68509 806b...... 68517 180...... 68806 68301, 68304, 68306, 68308, 520...... 68723 Proposed Rules: 247...... 68813 68311, 68802, 69051, 69053, 522...... 68723, 70701 312...... 68577 271...... 68585 69055, 69057, 69633, 70204, 601...... 69009 806b...... 68578 302...... 67916 70206, 70208, 70210, 70213, 872...... 67365 355...... 67916 70464, 70469, 70473, 70475, 882...... 70435 33 CFR 70477, 70479, 71040, 71045, Proposed Rules: 1...... 69958 41 CFR 71047, 71049, 71051 17...... 67094 27...... 74189 105–55...... 68740 71 ...... 68573, 68575, 68576, 872...... 67097 66...... 68235 70746, 71053 105–56...... 68750 22 CFR 100...... 67944, 68239 105–57...... 68760 15 CFR 110...... 70995 300–3...... 71026 89...... 69600 117 ...... 69607, 70152, 70712 6...... 69001 126...... 67032 301–10...... 69618 165 ...... 67371, 67946, 68518, 301–50...... 71026 740...... 68976 303...... 68695 69609, 69958, 70153 742...... 67030 Proposed Rules: 301–52...... 71026 Proposed Rules: 301–70...... 71026 743...... 68976 302...... 71054 167...... 74199 772...... 68976 301–73...... 71026 24 CFR 774...... 67030, 68976 34 CFR 42 CFR 801...... 69955 570...... 69580 200...... 68698 806...... 67939 891...... 67316 52a...... 69619 668...... 69312 102...... 70080 16 CFR 25 CFR 674...... 69312 403...... 69840 1500...... 70140 170...... 67941 682...... 69312 408...... 69840 685...... 69312 412...... 67955 17 CFR 26 CFR 413...... 67955 36 CFR 211...... 74436 1 ...... 67595, 68511, 69020, 414...... 67960 228...... 69204 69024, 70141, 70584, 70701 7...... 69268 476...... 67955 229...... 69204 301...... 67595, 70701 242...... 67595, 70712 484...... 67955 240...... 69204, 74390 602 ...... 67595, 70141, 70701 Proposed Rules: Proposed Rules: 249...... 69204 Proposed Rules: 7...... 69358 1001...... 69366 270...... 69204 1 ...... 69061, 69062, 70214, 274...... 69204 70482, 70747, 71235 37 CFR 43 CFR Proposed Rules: 301...... 70214, 70747 1...... 67805, 70996 4...... 68765 143...... 69634 253...... 67045 3710...... 74196 27 CFR 200...... 68186 Proposed Rules: 3730...... 74196 201...... 68186 9...... 67367 1...... 67818, 69442 3810...... 74196 239...... 70402 Proposed Rules: 2...... 69442, 70482 3820...... 74196 240...... 68186 7...... 67388 10...... 69442 3830...... 74196

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3831...... 74196 25...... 74322 52 ...... 67354, 69251, 69257, Proposed Rules: 3832...... 74196 54...... 69622 69258 24...... 70342 3833...... 74196 73 ...... 67378, 67599, 67964, 53...... 69227, 69248 171...... 67821 3834...... 74196 68254, 68547, 69327, 69328, 232...... 69628, 69631 173...... 67821 3835...... 74196 69627, 70728, 70729, 74201, 252...... 69628, 69631 174...... 67821 3836...... 74196 74197 904...... 68771 176...... 67821 3837...... 74196 74...... 68241, 69328 923...... 68771 177...... 67821 3838...... 74196 76...... 67599 952...... 68771 192 ...... 67128, 67129, 69368 3839...... 74196 78...... 68241 970...... 68771 195...... 67129, 69368 3840...... 74196 87...... 74322 Ch. 30 ...... 67868 571...... 68319, 71057 3850...... 74196 90...... 68531 Proposed Rules: Proposed Rules: 95...... 68531 8...... 69262 50 CFR 4100...... 68452 101...... 68241 22...... 74404 Proposed Rules: 31...... 69264 17...... 70185 44 CFR 2...... 68823 52...... 74404 100...... 67595, 70712 64...... 67051 15...... 68823 53...... 74404 223...... 69962 65 ...... 67052, 69323, 69959 52...... 68831 1809...... 67995 229...... 69967 67...... 67056, 69961 53...... 68585 1813...... 71055 300...... 67607 Proposed Rules: 54...... 69641 1814...... 71055 402...... 68254 67...... 67106, 67107 64...... 68312 1815...... 71055 600...... 69331 73 ...... 67389, 67390, 67624, 622...... 68784 45 CFR 1816...... 71055 68833, 69648, 70753, 74201, 1817...... 71055 635...... 69969 31...... 70444 74202 1819...... 71056 648 ...... 67609, 69970, 71032, 1185...... 70184 76...... 67624 1822...... 71056 71033, 74198 1604...... 67372 1823...... 71056 679 ...... 67086, 67379, 67964, 48 CFR Proposed Rules: 1824...... 71056 68265, 69047, 69048, 69049, 2400...... 69980 Ch. 1...... 69226, 69259 1825...... 71056 69974, 70753, 71036 1...... 69227, 69258 Proposed Rules: 46 CFR 1837...... 67995 2...... 67354, 69246 1852...... 67995 216...... 67629 401...... 69564 4...... 69248 222...... 70219 404...... 69564 6...... 69258 223...... 68834, 70219 Proposed Rules: 8...... 69249 49 CFR 224...... 68834 501...... 67510 9...... 67354, 69250 171...... 67746 600...... 67636, 69070 535...... 67510 13...... 69258 192...... 69778 622...... 68854, 71058 22...... 67354 199...... 69046 648...... 69373 47 CFR 25...... 69258 222...... 70586 660 ...... 67132, 67638, 67640, 2 ...... 68241, 68531, 74322 28...... 67354 229...... 70586 67998, 68834 15...... 68531 31...... 69246, 69251 571...... 67068, 69046 679 ...... 67390, 67642, 68002, 18...... 68531 36...... 69227 586...... 67068 70484, 70753 20...... 70184 44...... 67354 1152...... 67809 697...... 67636

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REMINDERS Provisional registration statement; comments due by 12-30-03; The items in this list were certificates for due by 12-29-03; published 12-10-03 [FR editorially compiled as an aid individuals and entities published 11-28-03 [FR 03-30542] to Federal Register users. and provisional grants 03-29827] Wireless telecommunications Inclusion or exclusion from of access to biological Ocean and coastal resource services— this list has no legal agents and toxins for management: Spectrum-based services significance. individuals; comments Marine sanctuaries— to rural areas; due by 1-2-04; Gray’s Reef National comments due by 12- published 11-3-03 [FR Marine Sactuary, GA; 29-03; published 11-12- 03-27640] RULES GOING INTO anchoring prohibition 03 [FR 03-28047] EFFECT DECEMBER 23, Plant related quarantine; and fishing restrictions; Digital television stations; table 2003 domestic: comments due by 12- of assignments: Mexican fruit fly; comments 31-03; published 10-31- Alabama; comments due by LOCAL TELEVISION LOAN due by 12-29-03; 03 [FR 03-27237] 12-29-03; published 11- GUARANTEE BOARD published 10-28-03 [FR COURT SERVICES AND 14-03 [FR 03-28463] LOCAL Television Loan 03-27149] OFFENDER SUPERVISION Indiana; comments due by Guarantee Program; AGRICULTURE AGENCY FOR THE 12-29-03; published 11- implementation; published DEPARTMENT DISTRICT OF COLUMBIA 14-03 [FR 03-28462] 12-23-03 Food and Nutrition Service Semi-annual agenda; Open for HEALTH AND HUMAN PERSONNEL MANAGEMENT Child nutrition programs: comments until further SERVICES DEPARTMENT OFFICE Commodity Supplemental notice; published 12-22-03 Food and Drug Practice and procedure: Food Program— [FR 03-25121] Administration Debarment and suspension Plane language use and EDUCATION DEPARTMENT Reports and guidance (nonprocurement); program accountability Grants: documents; availability, etc.: published 12-23-03 and flexibility changes; Direct grant programs; Evaluating safety of TRANSPORTATION comments due by 12- discretionary grants; antimicrobial new animal DEPARTMENT 30-03; published 10-31- application process; drugs with regard to their 03 [FR 03-27305] comments due by 12-29- microbiological effects on Federal Aviation bacteria of human health Administration COMMERCE DEPARTMENT 03; published 10-30-03 [FR 03-27376] concern; Open for Airworthiness directives: National Institute of comments until further ENERGY DEPARTMENT AeroSpace Technologies of Standards and Technology notice; published 10-27-03 Australia Pty Ltd.; National Construction Safety Federal Energy Regulatory [FR 03-27113] Commission published 11-13-03 Team Act; implementation; HEALTH AND HUMAN Boeing; published 11-18-03 comments due by 12-29-03; Electric rate and corporate SERVICES DEPARTMENT regulation filings: published 11-28-03 [FR 03- Quarantine, inspection, and 29615] Virginia Electric & Power licensing: COMMENTS DUE NEXT Co. et al.; Open for COMMERCE DEPARTMENT Select agents and toxins; WEEK comments until further National Oceanic and possession, use, and notice; published 10-1-03 Atmospheric Administration transfer; comments due AGRICULTURE [FR 03-24818] Endangered and threatened by 1-2-04; published 11-3- DEPARTMENT ENVIRONMENTAL species: 03 [FR 03-27659] Agricultural Marketing PROTECTION AGENCY Service Sea turtle conservation— HOMELAND SECURITY Environmental statements; DEPARTMENT Labeling; country of origin: Hawaii State waters; sea availability, etc.: turtle interactions with Federal Emergency Beef, lamb, pork, fish, Coastal nonpoint pollution Management Agency perishable agricultural fishing activities; control program— environmental impact Disaster assistance: commodities, and Minnesota and Texas; peanuts; mandatory statement and scoping Hazard mitigation planning meeting; comments due Open for comments and Hazard Mitigation labeling definitions, until further notice; requirements, and by 12-31-03; published Grant Program; comments 9-22-03 [FR 03-23994] published 10-16-03 [FR due by 12-29-03; recordkeeping 03-26087] responsibilities; comments Fishery conservation and published 10-28-03 [FR Pesticides; tolerances in food, due by 12-29-03; management: 03-27140] animal feeds, and raw published 10-30-03 [FR JUSTICE DEPARTMENT Alaska; fisheries of agricultural commodities: 03-27249] Exclusive Economic Drug Enforcement Imidacloprid; comments due Organic producers and Zone— Administration by 12-29-03; published marketers; exemption from Controlled substances; Bering Sea and Aleutian 10-29-03 [FR 03-26926] assessments for market Islands groundfish; manufacturers, distributors, Solid wastes: promotion activities; comments due by 1-2- and dispensers; registration: comments due by 1-2-04; 04; published 12-3-03 Hazardous waste; Long term care facilities; published 12-2-03 [FR 03- [FR 03-30134] identification and listing— controlled substances 29958] Bering Sea and Aleutian Exclusions; comments due surplus accumulation; AGRICULTURE Islands groundfish; by 1-2-04; published prevention; comments due DEPARTMENT comments due by 1-2- 11-17-03 [FR 03-28650] by 1-2-04; published 11-3- Animal and Plant Health 04; published 12-19-03 FEDERAL 03 [FR 03-27511] Inspection Service [FR 03-31340] COMMUNICATIONS NATIONAL AERONAUTICS Biological agents and toxins; Atlantic highly migratory COMMISSION AND SPACE possession, use, and species— Common carrier services: ADMINISTRATION transfer: Atlantic pelagic longline Wireless telecommunication Acquisition regulations: Agricultural Bioterrorism fishery; sea turtle services— Government property— Protection Act of 2002; bycatch mitigation; Telephone number NASA Form 1018 implementation— environmental impact portability; comments preparation instructions;

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comments due by 12- Dassault; comments due by Initial claims procedures; Act (Dec. 16, 2003; 117 Stat. 30-03; published 10-31- 12-31-03; published 12-1- comments due by 12-31- 2676) 03 [FR 03-27490] 03 [FR 03-29570] 03; published 12-1-03 [FR Research and development Empresa Brasileira de 03-29729] H.J. Res. 82/P.L. 108–185 abstracts; comments due Aeronautica S.A. TREASURY DEPARTMENT Making further continuing by 12-30-03; published (EMBRAER); comments Alcohol and Tobacco Tax appropriations for the fiscal 10-31-03 [FR 03-27492] due by 1-2-04; published and Trade Bureau year 2004, and for other Grant and Cooperative 12-3-03 [FR 03-30116] Alcohol; viticultural area purposes. (Dec. 16, 2003; 117 Agreement Handbook: Hartzell Propeller Inc.; designations: Stat. 2684) Research and development comments due by 12-29- abstracts; comments due 03; published 10-29-03 Ribbon Ridge, Yamhill S. 811/P.L. 108–186 by 12-30-03; published [FR 03-27102] County, OR; comments To support certain housing 10-31-03 [FR 03-27489] Learjet; comments due by due by 1-2-04; published 11-3-03 [FR 03-27586] proposals in the fiscal year NATIONAL CREDIT UNION 12-29-03; published 11- 2003 budget for the Federal ADMINISTRATION 13-03 [FR 03-28399] Salado Creek, Stanislaus County, CA; comments Government, including the Security programs.: McDonnell Douglas; due by 12-29-03; downpayment assistance Unauthorized access to comments due by 12-29- published 10-30-03 [FR initiative under the HOME member information and 03; published 11-12-03 03-27317] Investment Partnership Act, member notice; response [FR 03-28325] and for other purposes. (Dec. programs; guidance; Pratt & Whitney; comments 16, 2003; 117 Stat. 2685) comments due by 12-29- due by 1-2-04; published LIST OF PUBLIC LAWS 03; published 10-30-03 11-3-03 [FR 03-27327] S. 877/P.L. 108–187 [FR 03-27312] Rolls-Royce plc; comments This is a continuing list of Controlling the Assault of Non- due by 12-29-03; NUCLEAR REGULATORY public bills from the current Solicited Pornography and published 10-28-03 [FR COMMISSION session of Congress which Marketing Act of 2003 (Dec. 03-26916] Rulemaking petitions; have become Federal laws. It 16, 2003; 117 Stat. 2699) Hee, Terrence O., Ion Class D airspace; comments may be used in conjunction Technology; comments due by 12-29-03; published with ‘‘PLUS’’ (Public Laws H.J. Res. 63/P.L. 108–188 due by 12-29-03; 11-5-03 [FR 03-27752] Update Service) on 202–741– Compact of Free Association published 10-15-03 [FR Class E airspace; comments 6043. This list is also Amendments Act of 2003 03-25986] due by 12-31-03; published available online at http:// (Dec. 17, 2003; 117 Stat. 11-28-03 [FR 03-29452] www.nara.gov/fedreg/ SECURITIES AND 2720) EXCHANGE COMMISSION TRANSPORTATION plawcurr.html. DEPARTMENT Last List December 17, 2003 Securities: The text of laws is not Security holders and boards Research and Special Programs Administration published in the Federal of directors; nominating Register but may be ordered Pipeline safety: committee functions and in ‘‘slip law’’ (individual communications; Internal inspection devices; pamphlet) form from the Public Laws Electronic disclosure requirements information request; Superintendent of Documents, Notification Service Correction; comments due comments due by 12-31- U.S. Government Printing (PENS) by 1-1-04; published 03; published 12-1-03 [FR Office, Washington, DC 20402 12-11-03 [FR R3-29723] 03-29853] (phone, 202–512–1808). The TREASURY DEPARTMENT TRANSPORTATION text will also be made PENS is a free electronic mail Foreign Assets Control DEPARTMENT available on the Internet from notification service of newly Office Federal Aviation GPO Access at http:// enacted public laws. To Administration Iraqi sanctions regulations: www.access.gpo.gov/nara/ subscribe, go to http:// Airworthiness directives: Sanctions regulations nara005.html. Some laws may listserv.gsa.gov/archives/ Aerospatiale; comments due removed and interpretive not yet be available. publaws-l.html by 12-29-03; published guidance for secondary- H.R. 2297/P.L. 108–183 11-28-03 [FR 03-29701] market transactions in Note: This service is strictly Veterans Benefits Act of 2003 Airbus; comments due by Iraqi debt; comments due for E-mail notification of new (Dec. 16, 2003; 117 Stat. 12-29-03; published 11- by 12-29-03; published laws. The text of laws is not 2651) 28-03 [FR 03-29696] 10-28-03 [FR 03-27073] available through this service. Bombardier; comments due TREASURY DEPARTMENT H.R. 3491/P.L. 108–184 PENS cannot respond to by 12-29-03; published Terrorism Risk Insurance National Museum of African specific inquiries sent to this 11-28-03 [FR 03-29698] Program American History and Culture address.

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