[Federal Register Volume 80, Number 109 (Monday, June 8, 2015)]
[Notices]
[Pages 32425-32427]
[FR Doc No: 2015-13869]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-75094: File No. SR-DTC-2015-007]

Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing of Proposed Rule Change Regarding the Discontinuance
of the Distribution of Fractional Shares in Respect of Corporate
Actions for New Issues in DTC's System

June 2, 2015.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act'') and Rule 19b-4 \2\ thereunder, notice is hereby given
that on May 27, 2015, The Depository Trust Company (``DTC'') filed with
the Securities and Exchange Commission (``Commission'') the proposed
rule change as described in Items I, II and III below, which Items have
been prepared by DTC. The Commission is publishing this notice to

solicit comments on the proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Clearing Agency's Statement of the Terms of Substance of the
Proposed Rule Change

    The proposed rule change by DTC would discontinue the option
offered by DTC to issuers that allows for the distribution of
fractional shares of securities in DTC's system, when DTC is handling
fractional dispositions of shares resulting from corporate actions, for
new issues, as more fully described below.\3\ The proposed change does
not affect the text of DTC's Rules and Procedures.
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    \3\ Terms not otherwise defined herein have the meaning set
forth in the DTC Rules and Procedures (``DTC Rules''), available at
http://www.dtcc.com/legal/rules-and-procedures.aspx.
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II. Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change

    In its filing with the Commission, DTC included statements
concerning the purpose of, and basis for, the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. DTC has prepared summaries, set forth in sections A, B,
and C below, of the most significant aspects of such statements.

(A) Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change

1. Purpose
    The purpose of the proposed rule change is to discontinue the
option offered by DTC to issuers that allows for the distribution of
fractional shares of securities in DTC's system, when DTC is handling
fractional dispositions of shares resulting from corporate actions, for
new issues, as more fully described below.
Background
    When a securities issue is made eligible at DTC, DTC offers three
options to the issuer for handling the disposition of fractional shares
in DTC's system resulting from a corporate action for the issue. The
issuer may: (i) Round up to the next full share or drop fractions, (ii)
pay ``cash-in-lieu'' of fractional shares, or (iii) issue the
fractional shares into an identifying number (``Fractional
Identifier'') generated by DTC.\4\ The assets comprising the
disposition of fractional shares, whether in the form of shares or
cash, once received from the issuer's transfer or paying agent, are
credited by DTC in proportional amounts to the respective accounts of
Participants depending on the amount shares of the issue they have on
deposit. Participants then distribute credits on their own books, as
applicable, to their customers that hold beneficial interests in those
shares.
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    \4\ The Fractional Identifier generated for the third option
above is separate from the CUSIP[supreg] identifier (``CUSIP'') that
is universally recognized by the marketplace.
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    The first two options for handling the disposition of fractional
shares are specified in the DTC Distributions Service Guide (``Guide'')
\5\ and DTC's Operational Arrangements (``OA'').\6\ Distributions of
fractional shares in DTC's system under the third option are delivered
to Participants in accordance with the provisions of DTC Rule 6 that
are applicable to DTC services related to Deposited Securities.\7\
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    \5\ See the Guide, p. 31, available at http://www.dtcc.com/~/
media/Files/Downloads/legal/service-guides/
Distributions%20Service%20Guide%20FINAL%20November%202014.pdf.
    \6\ See the OA, p. 31, available at http://www.dtcc.com/~/media/
Files/Downloads/legal/issue-eligibility/eligibility/operational-
arrangements.pdf.
    \7\ See DTC Rules (Rule 6 (Services)), p. 45, available at
http://www.dtcc.com/~/media/Files/Downloads/legal/rules/
dtc_rules.pdf.
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Proposal
    Fractional shares are not tradable. The distribution of fractional
shares in respect of corporate actions reduces efficiencies for
investors in an issue, including with respect to the value and
transferability of assets delivered, as investors are required to wait
for an extended period for the aggregation of fractional shares into a
full share that may be traded. Tracking, processing and reporting of
fractional shares separately from the associated CUSIP, which are
necessitated by this process, increases costs to DTC and the industry.
    In order to improve efficiencies for investors and reduce costs for
DTC and the industry, DTC proposes to discontinue the option for
issuers to distribute any fractional shares for new issues into DTC's
system. DTC would continue to allow issuers undergoing a corporate
action with a choice between: (i) The rounding up and dropping of
fractions, and (ii) the payment of cash-in-lieu of fractional shares.
DTC would maintain the Fractional Identifiers previously designated for
existing fractional shares within DTC, and continue to perform
corporate actions processing with respect to those Fractional
Identifiers.
Implementation
    The effective date of the proposed rule change would be announced
via a DTC Important Notice.
2. Statutory Basis
    By eliminating the distribution of fractional shares for new issues
within DTC's system, the proposed rule change would improve
efficiencies for investors relating to the disposition of fractional
shares in corporate action events, as well as reduce the costs for DTC
and the industry relating to DTC tracking, processing and reporting on
separate Fractional Identifiers for those issues. Therefore, by
improving efficiencies for investors and reducing costs for DTC and the
industry, the proposed rule change is consistent with the provisions of
Section 17A(b)(3)(F) \8\ of the Act, which requires that the rules of
the clearing agency be designed, inter alia, to promote the prompt and
accurate clearance and settlement of securities transactions, as well
as, in general, protect the interests of investors.
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    \8\ 15 U.S.C. 78q-1(b)(3)(F).
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(B) Clearing Agency's Statement on Burden on Competition

    DTC does not believe that the proposed rule change would have any
impact, or impose any burden, on competition.

(C) Clearing Agency's Statement on Comments on the Proposed Rule Change
Received From Members, Participants, or Others

    Written comments relating to the proposed rule change have not yet
been solicited or received. DTC will notify the Commission of any
written comments received by DTC.

III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action

    Within 45 days of the date of publication of this notice in the
Federal Register or within such longer period up to 90 days (i) as the
Commission may designate if it finds such longer period to be
appropriate and publishes its reasons for so finding or (ii) as to
which the self-regulatory organization consents, the Commission will:
    (A) By order approve or disapprove such proposed rule change, or
    (B) institute proceedings to determine whether the proposed rule
change should be disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views and
arguments concerning the foregoing,

including whether the proposed rule change is consistent with the Act.
Comments may be submitted by any of the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to<EMAIL_ADDRESS>Please include
File Number SR-DTC-2015-007 on the subject line.

Paper Comments

     Send paper comments in triplicate to Brent J. Fields,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-1090.

All submissions should refer to File Number SR-DTC-2015-007. This file
number should be included on the subject line if email is used. To help
the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for Web site viewing and
printing in the Commission's Public Reference Room, 100 F Street NE.,
Washington, DC 20549 on official business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the filing also will be available
for inspection and copying at the principal office of DTC and on DTCC's
Web site (http://dtcc.com/legal/sec-rule-filings.aspx). All comments
received will be posted without change; the Commission does not edit
personal identifying information from submissions. You should submit
only information that you wish to make available publicly. All
submissions should refer to File Number SR-DTC-2015-007 and should be
submitted on or before June 29, 2015.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\9\
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    \9\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2015-13869 Filed 6-5-15; 8:45 am]
 BILLING CODE 8011-01-P


[Federal Register Volume 78, Number 100 (Thursday, May 23, 2013)]
[Notices]
[Pages 30948-30951]
[FR Doc No: 2013-12266]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-69602; File No. SR-FICC-2013-802]

Self-Regulatory Organizations; Fixed Income Clearing Corporation;
Notice of Filing of Advance Notice To Include Options on Interest Rate
Futures Contracts With Maturities Not Longer Than Two Years in the One-
Pot Cross-Margining Program Between the Government Securities Division
and New York Portfolio Clearing, LLC

May 17, 2013.
    Pursuant to Section 806(e)(1) of the Payment, Clearing, and
Settlement Supervision Act of 2010 (``Clearing Supervision Act'') \1\
and Rule 19b-4(n)(1)(i) \2\ of the Securities Exchange Act of 1934
(``Exchange Act''),\3\ notice is hereby given that, on April 15, 2013,
the Fixed Income Clearing Corporation (``FICC'') filed with the
Securities and Exchange Commission (``Commission'') the advance notice
described in Items I and II below, which Items have been prepared
primarily by FICC. The Commission is publishing this notice to solicit
comments on the advance notice from interested persons.
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    \1\ 12 U.S.C. 5465(e)(1).
    \2\ 17 CFR 240.19b-4(n)(1)(i).
    \3\ 15 U.S.C. 78q-1.
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I. Clearing Agency's Statement of the Terms of Substance of the Advance
Notice

    This advance notice concerns proposed rule changes that would allow
FICC to include options on interest rate futures contracts with
maturities not longer than two years in the one-pot cross-margining
program between FICC's Government Securities Division (``GSD'') and New
York Portfolio Clearing, LLC (``NYPC'').\4\
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    \4\ NYPC is jointly owned by NYSE Euronext and The Depository
Trust & Clearing Corporation (``DTCC'').
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II. Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Advance Notice

    In its filing with the Commission, FICC included statements
concerning the purpose of and basis for the advance notice and
discussed any comments it received on the advance notice. The text of
these statements may be examined at the places specified in Item IV
below. FICC has prepared summaries, set forth in sections (A), (B), and
(C) below, of the most significant aspects of these statements.\5\
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    \5\ The Commission has modified the text of the summaries
prepared by FICC.
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(A) Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Advance Notice

    (i) The purpose of the advance notice is to include options on
interest rate futures contracts with maturities not longer than two
years in the one-pot cross-margining program between the GSD and NYPC.
Background on NYPC and the FICC-NYPC One-Pot Cross-Margining Program
    NYPC is registered with the Commodity Futures Trading Commission
(``CFTC'') as a derivatives clearing organization (``DCO'') pursuant to
Section 5b of the Commodity Exchange Act and Part 39 of the CFTC
regulations. NYPC launched operations on March 21, 2011, and currently
clears U.S. dollar-denominated interest rate futures contracts. It
plans to add options on interest rate futures to its suite of products.
    Pursuant to FICC Rule Filing 2010-09,\6\ FICC offers ``single pot''
cross margining of certain positions cleared at NYPC and the GSD. This
arrangement is reflected in a cross-margining agreement (``FICC-NYPC
Cross-Margining Agreement'') between FICC and NYPC, which is a part of
the GSD's rules. Specifically, certain GSD members are permitted to
combine their positions at GSD with their positions at NYPC, or with
the positions of certain permitted affiliates that are cleared at NYPC,
within a single margin portfolio. Joint GSD-NYPC members or GSD members
and their permitted affiliates who wish to participate in the one-pot
program must execute the requisite cross-margining participant
agreements, which are exhibits to the FICC-NYPC Cross-Margining
Agreement.\7\
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    \6\ The Commission approved this rule filing on February 28,
2011. See Securities Exchange Act Release No. 63986 (Feb. 28, 2011);
76 FR 12144 (Mar. 4, 2011) (SR-FICC-2010-09).
    \7\ GSD members and NYPC members are also permitted to cross
margin in the single pot the activity of their market professional
customers. See Securities Exchange Act Release No. 66989 (May 15,
2012); 77 FR 30032 (May 21, 2012) (SR-FICC-2012-03).
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    As noted in FICC Rule Filing 2010-09, FICC is responsible for
performing the margin calculations in its capacity as the
``Administrator'' under the terms of the FICC-NYPC Cross-Margining
Agreement. Specifically, FICC determines the combined FICC Clearing
Fund and NYPC Original Margin \8\ requirement for each cross-margining
participant. The FICC-NYPC one-pot margin requirement for each
participant is then allocated between FICC and NYPC in proportion to
each clearing organization's respective ``stand-alone'' margin
requirements--in other words, an amount reflecting the ratio of what
each clearing organization would have required from that member if it
were not participating in the cross-margining program. The FICC-NYPC
Cross-Margining Agreement refers to this as the ``Constituent Margin
Ratio.''
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    \8\ Original Margin is NYPC's equivalent of the GSD's Clearing
Fund.
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    The FICC-NYPC Cross-Margining Agreement provides that either FICC
or NYPC may, at any time, require additional margin to be deposited by
a participant (above what is calculated under the FICC-NYPC Cross-
Margining Agreement) based upon the financial condition of the
participant, unusual market conditions or other special circumstances.
The standards that FICC proposed in Rule Filing 2010-09 to use for
these purposes are the standards contained within the GSD's rules
currently, so that notwithstanding the calculation of a participant's
Clearing Fund requirement pursuant to the FICC-NYPC Cross-Margining
Agreement, FICC still retains the rights contained within the GSD's
rules to require an additional Clearing Fund deposit under the
circumstances specified in the GSD's rules. For example, the GSD's
rules currently provide that, if a Dealer Netting Member \9\ falls
below its minimum financial requirement, it shall be required to make
an additional Clearing Fund deposit equal to the greater of (i) $1
million or (ii) 25 percent of its Required Fund Deposit.\10\
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    \9\ The GSD's rules define the term ``Dealer Netting Member'' as
``a Registered Government Securities Dealer that is admitted to
membership in the Netting System pursuant to these Rules, and whose
membership in the Netting System has not been terminated. . . .''
GSD Rulebook, Rule 2A, Section 2.
    \10\ The GSD's rules define the term ``Required Fund Deposit''
as ``the amount a Netting Member is required to deposit to the
Clearing Fund.'' GSD Rulebook, Rule 1.
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    In the event of the insolvency or default of a member that
participates in the one-pot cross-margining arrangement, the positions
in such member's FICC-NYPC one-pot portfolio (including, when
applicable, the positions of its permitted margin affiliate at NYPC)
will be liquidated by FICC and NYPC as a single portfolio, and the
liquidation proceeds will be applied to the defaulting member's
obligations to FICC and NYPC in accordance with the provisions of the
FICC-NYPC Cross-Margining Agreement. The FICC-NYPC Cross-Margining
Agreement provides for the sharing of losses by FICC and NYPC in the
event that the one-pot portfolio

margin deposits of a defaulting participant are not sufficient to cover
the losses resulting from the liquidation of that participant's trades
and positions, which is covered in detail in FICC Rule Filing 2010-09,
and is reflected in the terms of the FICC-NYPC Cross-Margining
Agreement.
    According to FICC, the addition of options on interest rate futures
to the one-pot cross-margining arrangement does not require any changes
to the terms of the FICC-NYPC Cross-Margining Agreement. FICC would
continue to act as the Administrator for purposes of margin
calculations if the proposed rule changes were approved. The loss-
sharing provisions in the FICC-NYPC Cross-Margining Agreement that
would apply in the event of a participant's default would remain
unchanged under this proposal, as well.
Proposal To Include Options on Interest Rate Futures in the One-Pot
Cross-Margining Arrangement
    FICC proposes to add options on interest rate futures contracts
with maturities not longer than two years to the one-pot cross-
margining arrangement. NYPC will act as the DCO for such products.
    FICC observes that options on interest rate futures are a well-
established, standardized product traded and cleared by futures
exchanges \11\ around the globe, including the Chicago Mercantile
Exchange (``CME'').\12\ FICC states that the key risks associated with
adding options on interest rate futures to the one-pot cross-margining
arrangement relate to the ability of FICC and NYPC to properly model,
test and monitor the risks that options on interest rate futures
present to the clearing organizations. Consistent with FICC's
quantitative policy for new initiatives, any new models or enhancements
are subject to external review before they are utilized. FICC avers
that the options proposal has followed this protocol, and that a team
of external reviewers has tested the models and validated their
methodology.
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    \11\ Exchanges that list options on interest rate futures
include the following: (i) CME (US); (ii) CBOT (a subsidiary of
CME); (iii) BM&F (Brazil); (iv) NYSE LIFFE (UK); (v) Eurex
(Germany); (vi) ASX (Australia); (vii) Montreal Exchange (Canada);
(viii) SGX (Singapore); and (ix) TFX (Japan).
    \12\ Options on interest rate futures are currently included in
the ``two-pot'' cross-margining arrangement between FICC and the
CME. The cross-margining agreement between FICC and the CME is
incorporated in the GSD's Rules and may be found on the DTCC Web
site, www.dtcc.com.
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    FICC asserts that, in the case of options on interest rate futures
that are physically deliverable, the addition of options on interest
rate futures to the one-pot cross-margining arrangement will not alter
the manner in which physical deliveries occur. According to FICC, upon
exercise or assignment of an option, the resulting futures position
will be treated as a traded futures contract, with the same delivery
obligations if the resulting futures position is not closed out prior
to delivery. In general, delivery of U.S. Treasury futures can be
submitted to FICC by NYPC on a locked-in basis and processed in
accordance with FICC's rules (when such futures are submitted to FICC,
they are no longer futures contracts but rather are in the form of buy-
sells eligible for processing at the GSD).
    FICC asserts that it will submit a separate rule filing to the
Commission seeking approval for the inclusion in the single pot of
longer-dated interest rate options products. FICC contends that it will
also conduct appropriate testing and analysis of any future changes to
the options model and, consistent with FICC's quantitative policy for
new initiatives, submit the model for external review.
Risk Considerations Regarding the Proposal To Include Options on
Interest Rate Futures in the One-Pot Cross-Margining Arrangement
    FICC states that its methodology for managing the risks associated
with options on interest rate futures that will be included in the one-
pot cross-margining arrangement has three pillars: (i) Value-at-Risk
(``VaR'') with historical simulation, (ii) the Barone-Adesi & Whaley
(``BAW'') approximation, and (iii) the Stochastic Alpha, Beta, Rho
(``SABR'') volatility model.
    According to FICC, the historical-simulation-based VaR model
proposed for options on interest rate futures to be included in the
one-pot cross-margining arrangement is the same model utilized in the
current one-pot cross-margining arrangement between NYPC and the GSD,
which is described in FICC Rule Filing 2010-09. FICC contends that the
backbone of this VaR model--namely, the three-day/one-day liquidation
period assumption for cash and derivatives positions, respectively; the
99th percentile confidence level; the one-year look-back period and the
use of a linear interpolation/front-weighting mechanism to arrive at
the 99th percentile threshold from simulated profits and losses--will
remain the same when options on interest rate futures are added to
FICC-NYPC one-pot portfolios.
    FICC asserts that the BAW approximation is the pricing function
that FICC and NYPC will use to estimate the value of options on
interest rate futures within the Black-Scholes-Merton framework. FICC
also contends that the SABR volatility model will be used to estimate
volatility curves for various options series.
    As noted above, a three-day liquidation period is assumed for cash
positions cleared by FICC, whereas a one-day liquidation period is
assumed for futures positions cleared by NYPC. FICC states that options
on interest rate futures in the one-pot cross-margining arrangement
will also be subject to a one-day liquidation requirement because
options and futures share a similar liquidity profile. FICC contends
that this is also consistent with CFTC requirements. FICC further
observes that each cross-margining participant's FICC-NYPC one-pot
margin requirement is currently subject to a daily back test, and that
a ``coverage component'' is applied and charged to the participant in
the event the daily back test reflects insufficient coverage. FICC
states that options on interest rate futures in the one-pot cross-
margining arrangement will be subject to this daily testing.
    FICC asserts that the one-pot FICC-NYPC VaR model will account for
the non-linear risk posed by the addition of options on interest rate
futures to the one-pot cross-margining arrangement by performing full
revaluation of such options using BAW and SABR. As options on interest
rate futures can exhibit magnified exposure in extreme market
conditions, FICC is proposing to employ the additional tools described
below:
1. Minimum Margin Charge for Portfolios That Include Options
    Similar to the practice FICC's Mortgage-Backed Securities Division
uses to address potential mark-to-market offset of margin requirements,
FICC and NYPC are proposing to apply a floor margin charge of five
basis points of the gross market value of positions in options on
interest rate futures to the unadjusted Required Fund Deposit of GSD
Netting Members with one-pot portfolios that include options on
interest rate futures. Therefore, for GSD Netting Members with one-pot
portfolios that include options on interest rate futures, their minimum
Required Fund Deposit will be the greater of: (i) The current minimum
Required Fund Deposit as prescribed in GSD Rule 4, Section 2; or (ii)
the proposed floor margin charge.
2. Short Option Minimum Charge
    To address the risk associated with short positions in deep out-of-
the-

money (``OTM'') options, FICC and NYPC propose to introduce a short
option minimum (``SOM'') for options on interest rate futures in the
one-pot cross-margining arrangement. The SOM will apply only to options
on interest rate futures with a settlement price of ``cabinet.'' \13\
FICC notes that these options demonstrate minimum price volatility in
normal market conditions, but may potentially become volatile when
market conditions change dramatically. In light of the losses that such
options may cause, FICC proposes to apply an SOM charge to any short
position in these options.
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    \13\ The minimum price increment for futures or options on
futures is normally referred to as a ``tick.'' For options on
futures whose value is less than one tick, trading and settlement in
the options are allowed at a price that is less than a tick. This
latter price is known as ``cabinet.''
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3. Out-of-the-Money Options Surcharge
    FICC and NYPC also propose to impose a surcharge on all OTM options
positions in the one-pot cross-margining arrangement in order to
address any potential biases in the BAW options pricing model. The
amount of the surcharge will be determined by the moneyness of the
options position.
4. Options Stress Testing
    In addition to the regular stress testing practices utilized by
FICC and NYPC, FICC proposes to conduct monthly hypothetical implied
volatility stress tests of FICC-NYPC one-pot portfolios, including
options on interest rate futures, in order to analyze specifically the
non-linear tail risks associated with options products.
Proposed Rule Changes
    FICC's proposal to add options on interest rate futures to the one-
pot cross-margining arrangement requires that Rule 4, Section 2 of
GSD's rulebook be changed to include a reference to the proposed
minimum margin charge discussed above. Technical clarifications to
certain GSD Rules would also be required in order to make it clear that
options on interest rate futures will be included in the arrangement.
Specifically, FICC is proposing to make technical clarifications to the
following: (i) The definitions of ``CFTC-Recognized Clearing
Organization'' and ``Eligible Positions'' set forth in Rule 1; (ii)
Section 5a of GSD Rule 13, and (iii) subsection (b) of GSD Rule 29. As
noted above, no changes are required to be made to the FICC-NYPC Cross-
Margining Agreement itself.
    (ii) FICC believes the proposed rule changes described above are
consistent with the purposes and requirements of Section 17A of the
Exchange Act \14\ and the rules and regulations promulgated thereunder.
FICC contends that these proposed changes may increase the available
offsets among positions held at FICC and NYPC, which, in turn, may
allow a more efficient use of member collateral and promote additional
efficiencies in the marketplace. FICC therefore believes the proposed
rule changes would support the prompt and accurate clearance and
settlement of securities transactions.\15\ FICC further believes that,
as it will implement the proposed rule changes using the enhanced risk-
management measures discussed above, the proposed rule changes will
also be consistent with the Exchange Act because they will help to
assure the safeguarding of the securities and funds in FICC's custody
and control.\16\
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    \14\ 15 U.S.C. 78q-1.
    \15\ 15 U.S.C. 78q-1(b)(3)(F) (requiring that a clearing
agency's rules be designed to ``promote the prompt and accurate
clearance and settlement of securities transactions. . . .'').
    \16\ 15 U.S.C. 78q-1(b)(3)(A) (requiring a clearing agency to
have the capacity to ``safeguard securities and funds in its custody
or control or for which it is responsible. . .'').
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(B) Clearing Agency's Statement on Burden on Competition

    FICC does not believe that the proposed rule changes described
above will have any negative impact, or impose any burden, on
competition that is not necessary or appropriate in furtherance of the
purposes of the Exchange Act.

(C) Clearing Agency's Statement on Comments on the Advance Notice
Received From Members, Participants, or Others

    Written comments relating to the advance notice have not yet been
solicited or received. FICC will notify the Commission of any written
comments received by FICC.

(D) Anticipated Effect on and Management of Risk

    FICC is filing these proposed rule changes as an advance notice
pursuant to Section 806(e)(2) of Clearing Supervision Act because it
believes the proposed changes could be deemed to affect materially the
nature or level of risks presented by FICC. FICC believes that the
proposed rule changes will not impair its ability to manage these
risks. As described in Section (A) above, FICC has enhanced its risk-
management framework to account for the added risks posed by including
options on interest rate futures with a maturity of less than two years
in the one-pot cross-margining arrangement. This framework has three
pillars: (i) VaR with historical simulation, (ii) BAW approximation,
and (iii) the SABR volatility model. Options on interest rate futures
in the one-pot cross-margining arrangement will also be subject to a
one-day liquidation requirement, as these products' liquidity profile
is similar to that of futures, and because this is consistent with CFTC
requirements. In addition, each cross-margining participant's FICC-NYPC
one-pot margin requirement is currently subject to a daily back test,
and a ``coverage component'' is applied and charged to the participant
in the event the daily back test reflects insufficient coverage.
Options on interest rate futures in the one-pot cross-margining
arrangement will be subject to this daily testing.
    The one-pot FICC-NYPC VaR model will account for the non-linear
risk posed by the addition of options on interest rate futures to the
one-pot cross-margining arrangement by performing full revaluation of
such options using the BAW and SABR methodologies. Because options on
interest rate futures may exhibit magnified exposure in extreme market
conditions, FICC is proposing to employ the following additional tools,
as described above: (1) A minimum margin charge for portfolios
including options, (2) an SOM charge, (3) an OTM options surcharge, and
(4) options stress testing.

III. Date of Effectiveness of the Advance Notice and Timing for
Commission Action

    A clearing agency may implement a proposed change pursuant to
Section 806(e)(1)(G) of the Clearing Supervision Act \17\ if the
Commission does not object to the proposed change within 60 days of the
later of: (i) The date the advance notice was filed with the
Commission; or (ii) the date the Commission receives any further
information it requests in order to facilitate its review of the
notice. The clearing agency shall not implement the proposed change if
the Commission has any objection to the proposed change.
---------------------------------------------------------------------------

    \17\ 12 U.S.C. 5465(e)(1)(G).
---------------------------------------------------------------------------

    The Commission may extend the period for review by an additional 60
days if the proposed change raises novel or complex issues, subject to
the Commission providing the clearing agency with prompt written notice
of the extension. A proposed change may be implemented in less than 60
days from the date the advance notice is filed, or the date the
Commission receives any further information it has

requested, if the Commission notifies the clearing agency in writing
that it does not object to the proposed change and authorizes the
clearing agency to implement the proposed change on an earlier date,
subject to any conditions imposed by the Commission.
    The proposal shall not take effect until all regulatory actions
required with respect to the proposal are completed.\18\ The clearing
agency shall post notice on its Web site of proposed changes that are
implemented.\19\
---------------------------------------------------------------------------

    \18\ FICC also filed the proposals contained in this advance
notice as a proposed rule change under Section 19(b)(1) of the Act
and Rule 19b-4 thereunder, seeking Commission approval to permit it
to change its rules to reflect the proposed changes in this advance
notice. Securities Exchange Act Release No. 69470 (Apr. 29, 2013),
78 FR 26093 (May 3, 2013) (File No. SR-FICC-2013-02). Pursuant to
Section 19(b)(2) of the Exchange Act, within 45 days of the date of
publication of the proposed rule change in the Federal Register or
within such longer period up to 90 days (i) as the Commission may
designate if it finds such longer period to be appropriate and
publishes its reasons for so finding or (ii) as to which the self-
regulatory organization consents, the Commission will: (A) by order
approve or disapprove such proposed rule change, or (B) institute
proceedings to determine whether the proposed rule change should be
disapproved. 15 U.S.C. 78s(b)(2)(A). The Commission will consider
all public comments received on these proposed changes regardless of
whether the comments are submitted in response to the proposed rule
change (File No. SR-FICC-2013-02) or this advance notice (File No.
SR-FICC-2013-802).
    \19\ See 17 CFR 240.19b-4(n)(4).
---------------------------------------------------------------------------

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the advance
notice is consistent with the Clearing Supervision Act. Comments may be
submitted by any of the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to<EMAIL_ADDRESS>Please include
File No. SR-FICC-2013-802 on the subject line.

Paper Comments

     Send paper comments in triplicate to Elizabeth M. Murphy,
Secretary, Securities and Exchange Commission, 100 F Street NE.,
Washington, DC 20549-1090.

All submissions should refer to File No. SR-FICC-2013-802. This file
number should be included on the subject line if email is used. To help
the Commission process and review your comments more efficiently,
please use only one method of submission. The Commission will post all
comments on the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments,
all written statements with respect to the advance notice that are
filed with the Commission, and all written communications relating to
the advance notice between the Commission and any person, other than
those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for Web site viewing and
printing in the Commission's Public Reference Room, 100 F Street NE.,
Washington, DC 20549, on official business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of such filings also will be available
for inspection and printing at the principal office of FICC and on
FICC's Web site at http://dtcc.com/downloads/legal/rule_filings/2013/ficc/AN_FICC_2013_802.pdf. All comments received will be posted
without change; the Commission does not edit personal identifying
information from submissions. You should submit only information that
you wish to make available publicly. All submissions should refer to
File No. SR-FICC-2013-802 and should be submitted on or before June 13,
2013.

    By the Commission.
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-12266 Filed 5-22-13; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register: January 12, 2007 (Volume 72, Number 8)]
[Rules and Regulations]
[Page 1460]
[DOCID:fr12ja07-14]

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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Food and Drug Administration

21 CFR Parts 807, 868, 870, 872, 874, 876, 878, 880, 882, 884, 886,
and 892

[Docket No. 2006N-0335]

Medical Devices; Reprocessed Single-Use Devices; Requirement for
Submission of Validation Data; Withdrawal

ACTION: Direct final rule; withdrawal.

-----------------------------------------------------------------------

SUMMARY: The Food and Drug Administration (FDA) published a direct
final rule that appeared in the Federal Register of September 25, 2006
(71 FR 55729), that would have amended certain classification
regulations for reprocessed single-use devices (SUDs) whose exemption
from premarket notification (510(k)) requirements have been terminated
and other reprocessed SUDs already subject to premarket notification
for which validation data, as specified under the Medical Device User
Fee and Modernization Act of 2002, are necessary in a 510(k). FDA
stated in the direct final rule that, if it received a significant
adverse comment by December 11, 2006, FDA would publish a notice of
withdrawal. FDA received two comments and considers at least one of
these comments a significant adverse comment and, therefore, is
withdrawing the direct final rule. Accordingly, the agency will
consider the comments received under our usual procedures for notice
and comment in connection with the notice of proposed rulemaking that
was published in the Federal Register of September 25, 2006 (71 FR
55748) as a companion to the direct final rule.

DATES: The direct final rule published at 71 FR 55729 on September 25,
2006, is withdrawn as of January 12, 2007.

FOR FURTHER INFORMATION CONTACT: Heather S. Rosecrans, Center for
Devices and Radiological Health (HFZ-404), Food and Drug
Administration, 9200 Corporate Blvd., Rockville, MD 20850, 240-276-
4040.

 Authority: Therefore, under the Federal Food, Drug, and Cosmetic Act
and under authority delegated to the Commissioner of Food and Drugs,
the direct final rule published on September 25, 2006 (71 FR 55729), is
withdrawn.

    Dated: January 9, 2007.
Jeffrey Shuren,
Assistant Commissioner for Policy.
[FR Doc. 07-105 Filed 1-9-07; 2:49 pm]

BILLING CODE 4160-01-S


[Federal Register Volume 82, Number 31 (Thursday, February 16, 2017)]
[Notices]
[Page 10912]
[FR Doc No: 2017-03136]

=======================================================================
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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

[Docket No. USCG-2017-0082]

Certificate of Alternative Compliance for the TUG CLAYTON W MORAN

AGENCY: Coast Guard, DHS.

ACTION: Notice.

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SUMMARY: The Coast Guard announces that a Certificate of Alternative
Compliance (COAC) was issued for the TUG CLAYTON W MORAN. We are
issuing this notice because its publication is required by statute.

DATES: The Certificate of Alternative Compliance was issued on January
30th, 2017.

FOR FURTHER INFORMATION CONTACT: For information or questions about
this notice call or email Mr. Kevin Miller, First District Towing
Vessel/Barge Safety Specialist, U.S. Coast Guard; telephone (617) 223-
8272, email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION: The United States is signatory to the
International Maritime Organization's International Regulations for
Preventing Collisions at Sea, 1972 (72 COLREGS), as amended. The
special construction or purpose of some vessels makes them unable to
comply with the light, shape, and sound signal provisions of the 72
COLREGS. Under statutory law \1\ and Coast Guard regulation,\2\ a
vessel may instead meet alternative requirements and the vessel's
owner, builder, operator, or agent may apply for a COAC. For vessels of
special construction, the cognizant Coast Guard District Office
determines whether the vessel for which the COAC is sought complies as
closely as possible with the 72 COLREGS, and decides whether to issue
the COAC. Once issued, a COAC remains valid until information supplied
in the COAC application or the COAC terms become inapplicable to the
vessel. Under the governing statute \3\ and regulation,\4\ the Coast
Guard must publish notice of this action.
---------------------------------------------------------------------------

    \1\ 33 U.S.C. 1605(c).
    \2\ 33 CFR 81.3.
    \3\ 33 U.S.C. 1605(c).
    \4\ 33 CFR 81.18.
---------------------------------------------------------------------------

    The Commandant, U.S. Coast Guard, certifies that the TUG CLAYTON W
MORAN is a vessel of special construction or purpose, and that, with
respect to the position of the navigation and towing lights, it is not
possible to comply fully with the requirements of the provisions
enumerated in the 72 COLREGS, without interfering with the normal
operation of the vessel. The Commandant further finds and certifies
that the sidelights (13' 5.25'' from the vessel's side mounted on the
pilot house) and stern/towing lights (3' 5.75'' aft of frame 20 mounted
on top of the pilot house) are in the closet possible compliance with
the applicable provisions of the 72 COLREGS and that full compliance
with the 72 COLREGS would not significantly enhance the safety of the
vessel's operation.
    This notice is issued under authority of 33 U.S.C. 1605(c) and 33
CFR. 81.

    Dated: February 6, 2017.
Capt B.L. Black,
Chief, Prevention Department, First District, U.S. Coast Guard.
[FR Doc. 2017-03136 Filed 2-15-17; 8:45 am]
 BILLING CODE 9110-04-P


[Federal Register Volume 78, Number 157 (Wednesday, August 14, 2013)]
[Notices]
[Pages 49496-49497]
[FR Doc No: 2013-19582]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

Combined Notice of Filings 2

    Take notice that the Commission received the following electric
rate filings:

    Docket Numbers: ER10-2124-004; ER10-2125-004; ER10-2127-004; ER10-
2128-004; ER10-2130-005; ER10-2132-004; ER10-2133-005; ER10-2137-005;
ER10-2131-005; ER10-2138-005; ER10-2139-005; ER10-2140-005; ER10-2141-
005; ER10-2764-004; ER11-3872-005; ER11-4044-006; ER11-4046-005; ER12-
161-004; ER12-164-004; ER12-645-006.
    Applicants: Spring Canyon Energy LLC, Judith Gap Energy LLC,
Invenergy TN LLC, Wolverine Creek Energy LLC, Forward Energy LLC,
Willow Creek Energy LLC, Sheldon Energy LLC, Beech Ridge Energy LLC,
Grand Ridge Energy LLC, Grand Ridge Energy II LLC, Grand Ridge Energy
III LLC, Grand Ridge Energy IV LLC, Grand Ridge Energy V LLC, Vantage
Wind Energy LLC, Stony Creek Energy LLC, Gratiot County Wind LLC,
Gratiot County Wind II LLC, Bishop Hill Energy LLC, Bishop Hill Energy
III LLC, California Ridge Wind Energy LLC.
    Description: Notification of Change in Facts of Spring Canyon
Energy LLC, et al.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5103.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-1776-001.
    Applicants: Spokane Energy, LLC
    Description: Spokane Energy, LLC submits Spokane Energy Amendment
to June 25, 2013 Filing to be effective 6/26/2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5076.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2053-000.
    Applicants: Southern California Edison Company.
    Description: Notices of Cancellation with Carson Dominguez
Properties, L.P to be effective 3/29/2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5000.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2054-000.
    Applicants: Pacific Gas and Electric Company.
    Description: Pacific Gas and Electric Company submits 3rd Amendment
to Extend the PG&E-NCPA Interconnection Agreement to be effective 9/30/
2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5001.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2055-000.
    Applicants: Southern California Edison Company.
    Description: Notice of Cancellation with CBP 19 Acres, LLC to be
effective 3/29/2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5002.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2056-000.
    Applicants: Southwest Power Pool, Inc.
    Description: 2198R9 Kansas Power Pool NITSA and NOA to be effective
7/1/2013.

    Filed Date: 7/30/13.
    Accession Number: 20130730-5050.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2057-000.
    Applicants: BG Energy Merchants, LLC.
    Description: Notice of Cancellation of Tariff to be effective 7/31/
2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5055.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2058-000.
    Applicants: Southern California Edison Company.
    Description: True-Up SGIA & Distrib Serv Agmt with County
Sanitation Districts of LA County to be effective 9/29/2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5068.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2059-000.
    Applicants: Duke Energy Progress, Inc.
    Description: Duke Energy Progress, Inc. submits tariff filing per
35.13(a)(2)(iii: Service Agreement No. 268 under Duke Energy Progress
OATT to be effective 7/1/2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5077.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2060-000.
    Applicants: Niagara Mohawk Power Corporation, New York Independent
System Operator, Inc.
    Description: Notice of Termination of Service Agreement No. 1743 to
be effective 6/30/2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5109.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2061-000.
    Applicants: Southwest Power Pool, Inc.
    Description: 1154R9 Associated Electric Cooperative NITSA and NOA
to be effective 7/1/2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5113.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: ER13-2062-000.
    Applicants: Niagara Mohawk Power Corporation.
    Description: Niagara Mohawk Borderline Sales Tariff Filing to be
effective 9/29/2013.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5123.
    Comments Due: 5 p.m. ET 8/20/13
    Take notice that the Commission received the following electric
securities filings:
    Docket Numbers: ES13-37-000.
    Applicants: AEP Generating Company, AEP Texas North Company, AEP
Texas Central Company, Appalachian Power Company, Indiana Michigan
Power Company, Kentucky Power Company, Kingsport Power Company, Public
Service Company of Oklahoma, Southwestern Electric Power Company,
Wheeling Power Company.
    Description: Application under Section 204 of the Federal Power Act
for Authorization to Issue Securities of AEP Generating Company, et al.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5116.
    Comments Due: 5 p.m. ET 8/20/13.
    Take notice that the Commission received the following land
acquisition reports:

    Docket Numbers: LA13-2-000.
    Applicants: Spring Canyon Energy LLC, Judith Gap Energy LLC,
Invenergy TN LLC, Wolverine Creek Energy LLC, Grays Harbor Energy LLC,
Forward Energy LLC, Willow Creek Energy LLC, Sheldon Energy LLC, Hardee
Power Partners Limited, Spindle Hill Energy LLC, Invenergy Cannon Falls
LLC, Beech Ridge Energy LLC, Grand Ridge Energy LLC, Grand Ridge Energy
II LLC, Grand Ridge Energy III LLC, Grand Ridge Energy IV LLC, Grand
Ridge Energy V LLC, Vantage Wind Energy LLC, Stony Creek Energy LLC,
Gratiot County Wind LLC, Gratiot County Wind II LLC, Bishop Hill Energy
LLC, Bishop Hill Energy III LLC, California Ridge Wind Energy LLC.
    Description: Quarterly Land Acquisition Report of Spring Canyon
Energy LLC, et al.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5070.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: LA13-2-000.
    Applicants: Bishop Hill Energy II LLC, Cordova Energy Company LLC,
MidAmerican Energy Company, Saranac Power Partners, L.P.
    Description: Quarterly Land Acquisition Report of the MidAmerican
Parties.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5072.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: LA13-2-000.
    Applicants: Alabama Electric Marketing, LLC, Big Sandy Peaker
Plant, LLC, California Electric Marketing, LLC, Crete Energy Venture,
LLC, CSOLAR IV South, LLC, High Desert Power Project, LLC, Kiowa Power
Partners, LLC, Lincoln Generating Facility, LLC, New Covert Generating
Company, LLC, New Mexico Electric Marketing, LLC, Rolling Hills
Generating, L.L.C., Tenaska Alabama Partners, L.P., Tenaska Alabama II
Partners, L.P., Tenaska Frontier Partners, Ltd., Tenaska Gateway
Partners, Ltd., Tenaska Georgia Partners, L.P., Tenaska Power
Management, LLC, Tenaska Power Services Co., Tenaska Virginia Partners,
L.P., Texas Electric Marketing, LLC, TPF Generation Holdings, LLC, Wolf
Hills Energy, LLC.
    Description: Quarterly Land Acquisition Report of the Tenaska MBR
Sellers.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5073.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: LA13-2-000.
    Applicants: Astoria Generating Company, L.P.
    Description: Quarterly Land Acquisition Report of Astoria
Generating Company, L.P.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5075.
    Comments Due: 5 p.m. ET 8/20/13.

    Docket Numbers: LA13-2-000.
    Applicants: Arlington Valley Solar Energy II, LLC, Bluegrass
Generation Company, L.L.C., Calhoun Power Company, LLC, Centinela Solar
Energy, LLC, Cherokee County Cogeneration Partners, LLC, DeSoto County
Generating Company, LLC, Doswell Limited Partnership, Las Vegas Power
Company, LLC, LS Power Marketing, LLC, LSP Safe Harbor Holdings, LLC,
LSP University Park, LLC, Renaissance Power, L.L.C., Riverside
Generating Company, L.L.C., Rocky Road Power, LLC, Tilton Energy LLC,
University Park Energy, LLC, Wallingford Energy LLC.
    Description: Quarterly Land Acquisition Report of the LS MBR
Sellers.
    Filed Date: 7/30/13.
    Accession Number: 20130730-5119.
    Comments Due: 5 p.m. ET 8/20/13.
    The filings are accessible in the Commission's eLibrary system by
clicking on the links or querying the docket number.
    Any person desiring to intervene or protest in any of the above
proceedings must file in accordance with Rules 211 and 214 of the
Commission's Regulations (18 CFR 385.211 and 385.214) on or before 5:00
p.m. Eastern time on the specified comment date. Protests may be
considered, but intervention is necessary to become a party to the
proceeding.
    eFiling is encouraged. More detailed information relating to filing
requirements, interventions, protests, service, and qualifying
facilities filings can be found at: http://www.ferc.gov/docs-filing/efiling/filing-req.pdf. For other information, call<PHONE_NUMBER>
(toll free). For TTY, call<PHONE_NUMBER>.

    Dated: July 30, 2013.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2013-19582 Filed 8-13-13; 8:45 am]
BILLING CODE 6717-01-P


 [ Federal Register: August 30, 2002 ( Volume 67, Number 169)] [ Notices] [ Page 55839 55840] From the Federal Register Online via GPO Access [ wais. access. gpo. gov] [ DOCID: fr30au02 100]

ENVIRONMENTAL PROTECTION AGENCY [ OPP 2002 0194; FRL 7197 6]

EPA Pesticide Program Dialogue Committee; Notice of Public Meeting AGENCY: Environmental Protection Agency ( EPA).

ACTION: Notice.

SUMMARY: EPA's Office of Pesticide Programs will hold a public meeting of the Pesticide Program Dialogue Committee ( PPDC) on September 17 and 18, 2002. An agenda will be available by September 13, 2002, and posted on EPA's Web site at  www. ep a. gov/ pesticides/ ppdc/. An agenda is being developed and will include the following topics: Alternative, i. e., non animal or reduced animal testing ( with special focus on acute toxicity testing), pesticide program resource allocations and expenditures, follow up reports from the May 2002, PPDC meeting, and other topics.

DATES: The meeting will be held on Tuesday, September 17, 2002, from 9 a. m. to 5 p. m., and on Wednesday, September 18, 2002, from 9 a. m. to 3 p. m.

ADDRESSES: The meeting will be held at the Old Town Holiday Inn Select, 480 King Street, Carlyle Conference Room fifth floor, Alexandria, VA. Telephone: ( 703) 549 6080.

FOR FURTHER INFORMATION CONTACT: Margie Fehrenbach, Office of Pesticide Programs ( 7501C), Environmental Protection Agency, 1200 Pennsylvania Avenue, NW., Washington, DC 20460; telephone number: ( 703) 308 4775; fax [[ Page 55840]]

number: ( 703) 308 4776; e mail address:  fehrenbach. margie@ epa. gov.

SUPPLEMENTARY INFORMATION:

I. General Information A. Does this Action Apply to Me?

This action is directed to the public in general. This action may, however be of interest to persons who are concerned about implementation of the Federal Insecticide, Fungicide, and Rodenticide Act ( FIFRA); the Federal Food, Drug, and Cosmetic Act ( FFDCA); and the amendments to both of these major pesticide laws by the Food Quality Protection Act ( FQPA) ( Public Law 104 170) of 1996. Since other entities may also be interested, the Agency has not attempted to describe all the specific entities that may be affected by this action. If you have any questions regarding the applicability of this action to a particular entity, consult the person listed under FOR FURTHER INFORMATION CONTACT.

B. How Can I Get Additional Information, Including Copies of this Document and Other Related Documents?

1. Electronically. You may obtain electronic copies of this document, and certain other related documents that might be available electronically, from the EPA Internet Home Page at  http:// www. epa. gov/. To access this document, on the Home Page select `` Laws and Regulations,'' `` Regulations and Proposed Rules,'' and then look up the entry for this document under the `` Federal Register Environmental Documents.'' You can also go directly to the Federal Register listings at  http:// www. epa. gov/ fedrgstr/. To access information about PPDC, go directly to the Home Page for EPA's Office of Pesticide Programs at  http:// www. epa. gov/ pesticid es/ ppdc/. 2. In person. The Agency has established an official record for this action under docket ID number OPP 2002 0194. The official record consists of the documents specifically referenced in this action, any public comments received during an applicable comment period, and other information related to this action, including any information claimed as Confidential Business Information ( CBI). This official record includes the documents that are physically located in the docket, as well as the documents that are referenced in those documents. The public version of the official record, which includes printed, paper versions of any electronic comments submitted during an applicable comment period, is available for inspection in the Public Information and Records Integrity Branch ( PIRIB), Rm. 119, Crystal Mall < greek i> 2, 1921 Jefferson Davis Hwy., Arlington, VA, from 8: 30 a. m. to 4 p. m., Monday through Friday, excluding legal holidays. The PIRIB telephone number is ( 703) 305 5805.

II. Background The PPDC is composed of 42 members appointed by EPA's Deputy Administrator. Committee members were selected from a balanced group of participants from the following sectors: 1. Pesticide user, grower, and commodity groups. 2. Industry and trade associations. 3. Environmental/ public interest and farmworker groups. 4. Federal, State and tribal governments. 5. Public health organizations. 5. Animal welfare and academia. PPDC was established to provide a public forum to discuss a wide variety of pesticide regulatory development and reform initiatives, evolving public policy, program implementation issues, science policy issues associated with evaluating, and reducing risks from use of pesticides.

III. How Can I Participate in this Meeting?

The PPDC meetings and workshops are open to the public under section 10( a)( 2) of the Federal Advisory Committee Act ( FACA), Public Law 92 463. Outside statements by observers are welcome. Oral statements will be limited to 3 to 5 minutes, and it is preferred that only one person per organization present the statement. Any person who wishes to file a written statement may do so before or after the meeting. These statements will become part of the permanent record and will be available for public inspection at the address in Unit I. B. 2.

List of Subjects Environmental protection, Pesticides and pests.

Dated: August 26, 2002. Marcia E. Mulkey, Director, Office of Pesticide Programs. [ FR Doc.  02 22219  Filed 8 27  02; 4: 06 pm] BILLING CODE 6560 50 S


[Federal Register Volume 87, Number 131 (Monday, July 11, 2022)]
[Rules and Regulations]
[Pages 41058-41059]
[FR Doc No: 2022-14666]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 71

[Docket No. FAA-2021-0813; Airspace Docket No. 19-AAL-74]
RIN 2120-AA66

Amendment of United States Area Navigation (RNAV) Route T-275;
Bethel, AK

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Final rule.

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SUMMARY: This action amends United States Area Navigation (RNAV) route
T-275 in the vicinity of Bethel, AK in support of a large and
comprehensive T-route modernization project for the state of Alaska.

DATES: Effective date 0901 UTC, September 8, 2022. The Director of the
Federal Register approves this incorporation by reference action under
1 CFR part 51, subject to the annual revision of FAA Order JO 7400.11
and publication of conforming amendments.

ADDRESSES: FAA Order JO 7400.11F, Airspace Designations and Reporting
Points, and subsequent amendments can be viewed online at https://www.faa.gov/air_traffic/publications/. For further information, you can
contact the Rules and Regulations Group, Federal Aviation
Administration, 800 Independence Avenue SW, Washington, DC 20591;
telephone:<PHONE_NUMBER>.

FOR FURTHER INFORMATION CONTACT: Jesse Acevedo, Rules and Regulations
Group, Office of Policy, Federal Aviation Administration, 800
Independence Avenue SW, Washington, DC 20591; telephone: (202) 267-
8783.

SUPPLEMENTARY INFORMATION:

Authority for This Rulemaking

    The FAA's authority to issue rules regarding aviation safety is
found in Title 49 of the United States Code. Subtitle I, Section 106
describes the authority of the FAA Administrator. Subtitle VII,
Aviation Programs, describes in more detail the scope of the agency's
authority. This rulemaking is promulgated under the authority described
in Subtitle VII, Part A, Subpart I, Section 40103. Under that section,
the FAA is charged with prescribing regulations to assign the use of
the airspace necessary to ensure the safety of aircraft and the
efficient use of airspace. This regulation is within the scope of that
authority as it expands the availability of RNAV in Alaska and improve
the efficient flow of air traffic within the National Airspace System
by lessening the dependency on ground based navigation.

History

    The FAA published a notice of proposed rulemaking for Docket No.
FAA-2021-0813 in the Federal Register (86 FR 55754; October 7, 2021),
amending United States Area Navigation (RNAV) route T-275 in the
vicinity of Bethel, AK in support of a large and comprehensive T-route
modernization project for the state of Alaska. Interested parties were
invited to participate in this rulemaking effort by submitting comments
on the proposal. There were no comments received.
    United States Area Navigation Routes are published in paragraph
6011 of FAA Order JO 7400.11F dated August 10, 2021 and effective
September 15, 2021, which is incorporated by reference in 14 CFR 71.1.
The RNAV route listed in this document would be published subsequently
in FAA Order JO 7400.11.

Differences From the NPRM

    Subsequent to the publication of the NPRM for Docket No. FAA-2021-
0813 in the Federal Register (86 FR 55754; October 7, 2021), amending
United States Area Navigation (RNAV) route T-275 in the vicinity of
Bethel, AK, the FAA determined it was necessary to relocate the ZIKNI
waypoint (WP) to address instrument flight procedure concerns related
to two points (i.e., fix, navigational aid, WPs) being located too
close to one another. As a result, the latitude/longitude geographic
coordinates for the WP are changed from what was proposed in the NPRM.
This change moves the WP by approximately 600-feet from the location as
proposed in the NPRM. The regulatory text in this action incorporates
this change.

Availability and Summary of Documents for Incorporation by Reference

    This document amends FAA Order JO 7400.11F, Airspace Designations
and Reporting Points, dated August 10, 2021, and effective September
15, 2021. FAA Order JO 7400.11F is publicly available as listed in the
ADDRESSES section of this document. FAA Order JO 7400.11F lists Class
A, B, C, D, and E airspace areas, air traffic service routes, and
reporting points.

The Rule

    This action amends 14 CFR part 71 by amending RNAV route T-275 in
the vicinity of Bethel, AK in support of a large and comprehensive T-
route

modernization project for the state of Alaska.
    The route changes are described below.
    T-275: T-275 extends from the Bethel, AK, (BET) VHF Omnidirectional
Range Tactical Air Navigation (VORTAC) and the Unalakleet, AK, (UNK)
VOR Distance Measuring Equipment (VOR/DME). This action extends the
route south from the Bethel, AK, (BET) VORTAC to provide alternate
navigation for Colored Federal airway B-7. An additional turn point is
added between the Bethel, AK, (BET) VORTAC and the Unalakleet, AK,
(UNK) VOR/DME taking the airway slightly to the west to allow for
better route connectivity with other proposed and current T-routes. The
resulting T-route extends between the ZIKNI, AK, WP and the Unalakleet,
AK, (UNK) VOR/DME.
    FAA Order JO 7400.11, Airspace Designations and Reporting Points,
is published yearly and effective on September 15.

Regulatory Notices and Analyses

    The FAA determined that this regulation only involves an
established body of technical regulations for which frequent and
routine amendments are necessary to keep them operationally current.
It, therefore: (1) is not a ``significant regulatory action'' under
Executive Order 12866; (2) is not a ``significant rule'' under
Department of Transportation (DOT) Regulatory Policies and Procedures
(44 FR 11034; February 26, 1979); and (3) does not warrant preparation
of a regulatory evaluation as the anticipated impact is so minimal.
Since this is a routine matter that only affects air traffic procedures
and air navigation, it is certified that this rule, when promulgated,
does not have a significant economic impact on a substantial number of
small entities under the criteria of the Regulatory Flexibility Act.

Environmental Review

    The FAA determined that this airspace action of amending RNAV route
T-275 in the vicinity of Bethel, AK qualifies for categorical exclusion
under the National Environmental Policy Act (42 U.S.C. 4321 et seq.)
and its implementing regulations at 40 CFR part 1500, and in accordance
with FAA Order 1050.1F, Environmental Impacts: Policies and Procedures,
paragraph 5-6.5a, which categorically excludes from further
environmental impact review rulemaking actions that designate or modify
classes of airspace areas, airways, routes, and reporting points (see
14 CFR part 71, Designation of Class A, B, C, D, and E Airspace Areas;
Air Traffic Service Routes; and Reporting Points), and paragraph 5-
6.5i, which categorically excludes from further environmental review
the establishment of new or revised air traffic control procedures
conducted at 3,000 feet or more above ground level (AGL); procedures
conducted below 3,000 feet AGL that do not cause traffic to be
routinely routed over noise sensitive areas; modifications to currently
approved procedures conducted below 3,000 feet AGL that do not
significantly increase noise over noise sensitive areas; and increases
in minimum altitudes and landing minima. As such, this action is not
expected to result in any potentially significant environmental
impacts. In accordance with FAA Order 1050.1F, paragraph 5-2 regarding
Extraordinary Circumstances, the FAA has reviewed this action for
factors and circumstances in which a normally categorically excluded
action may have a significant environmental impact requiring further
analysis. Accordingly, the FAA has determined that no extraordinary
circumstances exist that warrant preparation of an environmental
assessment or environmental impact study.

List of Subjects in 14 CFR Part 71

    Airspace, Incorporation by reference, Navigation (air).

The Amendment

    In consideration of the foregoing, the Federal Aviation
Administration amends 14 CFR part 71 as follows:

PART 71--DESIGNATION OF CLASS A, B, C, D, AND E AIRSPACE AREAS; AIR
TRAFFIC SERVICE ROUTES; AND REPORTING POINTS

0
1. The authority citation for part 71 continues to read as follows:

    Authority:  49 U.S.C. 106(f), 106(g); 40103, 40113, 40120; E.O.
10854, 24 FR 9565, 3 CFR, 1959-1963 Comp., p. 389.

Sec.  71.1  [Amended]

0
2. The incorporation by reference in 14 CFR 71.1 of FAA Order JO
7400.11F, Airspace Designations and Reporting Points, dated August 10,
2021, and effective September 15, 2021, is amended as follows:

Paragraph 6011 United States Area Navigation Routes.

* * * * *

T-275 ZIKNI, AK to Unalakleet, AK (UNK) [Amended]

ZIKNI, AK                     WP                  (Lat. 58[deg]39'21.68'' N, long. 162[deg]04'13.87'' W)
Bethel, AK (BET)              VORTAC              (Lat. 60[deg]47'05.41'' N, long. 161[deg]49'27.59'' W)
DAVBE, AK                     WP                  (Lat. 61[deg]50'52.64'' N, long. 161[deg]30'41.89'' W)
Unalakleet, AK (UNK)          VOR/DME             (Lat. 63[deg]53'30.99'' N, long. 160[deg]41'03.39'' W)

* * * * *

    Issued in Washington, DC, on July 5, 2022.
Scott M. Rosenbloom,
Manager, Airspace Rules and Regulations.
[FR Doc. 2022-14666 Filed 7-8-22; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 76, Number 238 (Monday, December 12, 2011)]
[Rules and Regulations]
[Pages 77115-77119]
[FR Doc No: 2011-31682]

=======================================================================
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DEPARTMENT OF COMMERCE

Bureau of Industry and Security

15 CFR Parts 732, 736, 738, 740, 742, 746, and 774

[Docket No. 110627356-1475-01]
RIN 0694-AF29

Amendments to the Export Administration Regulations: Facilitating
Enhanced Public Understanding of the Provisions That Implement the
Comprehensive U.S. Sanctions on Syria

AGENCY: Bureau of Industry and Security, Commerce.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: In this rule, the Bureau of Industry and Security (BIS) amends
the Export Administration Regulations (EAR) by moving the substantive
provisions of the comprehensive sanctions on Syria from General Order
No. 2 in Supplement No. 1 to part 736 to a revised Sec.  746.9. This
rule also includes conforming changes to the EAR. This rule will
facilitate compliance with the comprehensive sanctions on Syria.

DATES: This rule is effective December 12, 2011.

FOR FURTHER INFORMATION CONTACT: Director, Foreign Policy Division,
Office of Nonproliferation and Treaty Compliance, Bureau of Industry
and Security,<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Background

Amendments to Parts 736 and 746 of the Export Administration
Regulations

    In this rule, the Bureau of Industry and Security (BIS) amends the
Export Administration Regulations (EAR) by moving the substantive
provisions of the comprehensive sanctions on Syria from General Order
No. 2 in Supplement No. 1 to part 736 to a revised Section 746.9. In
General Order No. 2 of May 14, 2004, BIS implemented the U.S. sanctions
on Syria pursuant to the Syria Accountability and Lebanese Sovereignty
Restoration Act of 2003 (SAA) and the International Emergency Economic
Powers Act (IEEPA). Part 746 of the EAR addresses embargoes and other
special controls and is therefore the most appropriate place for the
comprehensive sanctions against Syria. For this reason, part 746
previously contained a cross reference to the Syria provisions in
General Order No. 2 at section 746.9. BIS is removing the cross
reference and replacing it with the substantive provisions previously
set forth in the General Order. As a result, the Syria controls will be
included in part 746 along with the controls applicable to other
embargoed and sanctioned countries. As noted below, certain Syria
controls continue to be set forth in section 742.9 of the EAR, and
section 746.9 supersedes the substantive provisions of section 742.9.
These changes will facilitate compliance with the comprehensive U.S.
sanctions on Syria.
    Although all the substantive provisions from General Order No. 2
are being included in part 746, BIS is maintaining certain provisions
relating to the sanctions against Syria in the General Order at this
time because of wording in Executive Order 13338. That Executive Order
invokes the waiver authority granted to the President in the SAA by
waiving application of certain prohibitions of the SAA ``so as to
permit the exportation or reexportation of certain items as specified
in the Department of Commerce's General Order No. 2 to Supplement No. 1
* * *.'' Because of this cross reference to General Order No. 2 in the
Executive Order, BIS is maintaining in the General Order the waiver
provisions referenced in the Executive Order.
    This rule also makes conforming changes to the EAR for the
amendments to Supplement No. 1 to part 736, General Order No. 2, and
Section 746.9.

Conforming Changes: Parts 732, 736, 738, 740, 742, and 774

    This rule amends sections 732.1 (Steps overview), 740.2
(Restrictions on all License Exceptions), and 740.9 (Temporary imports,
exports, and reexports) of the EAR. Specifically, Syria is now listed
in paragraphs 732.1(d)(2), 732.1(d)(3), 732.3(d)(4), 732.3(i),
740.2(a)(6), and 740.9(a)(2).
    This rule also amends Section 742.9 (Anti-terrorism: Syria) and
Supplement No. 1 to part 738--Commerce Country Chart. Paragraph (e) of
Section 742.9 and the sentence that appears in the entry for Syria in
the Commerce Country Chart now direct the public to revised Section
746.9, which provides export and reexport license requirements,
licensing policy and license exceptions as applied to Syria.
    Finally, this rule amends the entries on the Commerce Control List
in Supplement No. 1 to part 774 of the EAR for items controlled by
Export Control Classification Numbers 1C350, 1C355 and 1C395. The rule
removes a statement in the License Requirements section of those
entries that directed exporters to Supplement No. 1 to part 736 of the
EAR for controls on Syria.
    Since August 21, 2001, the Export Administration Act (the Act) has
been in lapse and the President, through Executive Order 13222 of
August 17, 2001 (3 CFR, 2001 Comp. 783 (2002)), which has been extended
by successive Presidential Notices, the most recent being that of
August 12, 2011 (76 FR 50,661 (Aug. 16, 2011)), has continued the
Regulations in effect under the International Emergency Economic Powers
Act (50 U.S.C. 1701 et seq. (2000)). BIS continues to carry out the
provisions of the Act, as appropriate and to the extent permitted by
law, pursuant to Executive Order 13222.

Rulemaking Requirements

    1. Executive Orders 13563 and 12866 direct agencies to assess all
costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health and safety effects, distributive impacts, and equity). Executive
Order 13563 emphasizes the importance of quantifying both costs and
benefits, of reducing costs, of harmonizing rules, and of promoting
flexibility. This rule has been designated a ``significant regulatory
action,'' although not economically significant, under section 3(f) of
Executive Order 12866. Accordingly, the rule has been reviewed by the
Office of Management and Budget.
    2. Notwithstanding any other provisions of law, no person is
required to respond to nor be subject to a penalty for failure to
comply with a collection of information, subject to the requirements of
the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA),
unless that collection of information displays a currently valid Office
of Management and Budget (OMB) Control Number. This rule does not
involve a collection of information and, therefore, does not implicate
requirements of the PRA.
    3. This rule does not contain policies with Federalism implications
as that term is defined under Executive Order 13132.
    4. The Department finds that the provisions of the Administrative
Procedure Act (5 U.S.C. 553) requiring prior notice, the opportunity
for public participation, and a delay in effective date are
inapplicable because the Department for good cause finds that prior
notice and opportunity for public

comment are unnecessary (5 U.S.C. 553(b)(B)). It is unnecessary to
provide prior notice and an opportunity for public comment in issuing
this notice because the notice does not make any substantive changes to
the Regulations. This rule simply reorganizes certain Syria-related
provisions of the EAR. The provisions are currently in a General Order
and the public is directed to them through a cross-reference in the EAR
section addressing embargoes and special controls. This rule places the
Syria provisions into the EAR section addressing embargoes and special
controls, replacing the existing cross-reference. All controls in place
pertaining to Syria remain in place and no new controls have been
added. Therefore, this regulation is issued in final form. In addition,
the Department finds good cause under 5 U.S.C. 553(d)(3) to waive the
30-day delay in effectiveness. The controls at issue have been in
effect since 2004 and the public has been expected to be in compliance
with the provisions since that time. Thus, because the controls on
Syria are not changed by this rule, there is no need to delay the
effectiveness of the rule to allow the regulated public time to come
into compliance. Accordingly, this regulation is made effective
immediately upon publication.
    No other law requires that a notice of proposed rulemaking and an
opportunity for public comments be given for this final rule. Because a
notice of proposed rulemaking and an opportunity for public comment are
not required to be given for this rule under the Administrative
Procedure Act or by any other law, the analytical requirements of the
Regulatory Flexibility Act (5 U.S.C. 601 et seq.) are not applicable.

List of Subjects

15 CFR Parts 732 and 740

    Administrative practice and procedure, Exports, Reporting and
recordkeeping requirements.

15 CFR Parts 736 and 738

    Exports.

15 CFR Part 742

    Exports, Terrorism.

15 CFR Part 746 and 774

    Exports, Reporting and recordkeeping requirements.

    Accordingly, parts 732, 736, 738, 740, 742, 746 and 774 of the
Export Administration Regulations (15 CFR parts 730-774) are amended as
follows:

PART 732--[AMENDED]

0
1. The authority citation for 15 CFR part 732 continues to read as
follows:

    Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 13222, 66
FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August 12, 2011 (76
FR 50661 (Aug. 16, 2011)).

Sec.  732.1  [Amended]

0
2. Section 732.1 is amended by:
0
a. Removing the phrase ``, and Three (Foreign-Produced Direct Product
Reexports) for all countries except: Cuba, Iran, and North Korea.'' in
the next to last sentence of paragraph (d)(2) and adding in its place
``, and Three (Foreign-Produced Direct Product Reexports) for all
countries except: Cuba, Iran, North Korea, and Syria.''; and
0
b. Removing the parenthetical phrase ``(e.g., Cuba, Iran, and North
Korea)'' in paragraph (d)(3) and adding in its place ``(e.g., Cuba,
Iran, North Korea and Syria)''.

0
3. Section 732.3 is amended by revising paragraphs (d)(4) and (i) to
read as follows:

Sec.  732.3  Steps regarding the ten general prohibitions.

* * * * *
    (d) * * *
    (4) Destinations subject to embargo and other special controls
provisions. The Country Chart does not apply to Cuba, Iran, North
Korea, and Syria. For those countries you should review the provisions
at part 746 of the EAR and may skip this step concerning the Country
Chart. For Iraq and Rwanda, the Country Chart provides for certain
license requirements, and part 746 of the EAR provides additional
requirements.
* * * * *
    (i) Step 14: Embargoed countries and special destinations. If your
destination for any item is Cuba, Iran, Iraq, North Korea, Rwanda, or
Syria you must consider the requirements of parts 742 and 746 of the
EAR. Unless otherwise indicated, General Prohibition Six (Embargo)
applies to all items subject to the EAR, i.e. both items on the CCL and
within EAR99. You may not make an export or reexport contrary to the
provisions of part 746 of the EAR without a license unless:
* * * * *

PART 736--[AMENDED]

0
4. The authority citation for 15 CFR part 736 continues to read as
follows:

    Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 2151 note; E.O. 12938, 59 FR 59099, 3 CFR, 1994 Comp., p.
950; E.O. 13020, 61 FR 54079, 3 CFR, 1996 Comp., p. 219; E.O. 13026,
61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 13222, 66 FR 44025, 3
CFR, 2001 Comp., p. 783; E.O. 13338, 69 FR 26751, 3 CFR, 2004 Comp.,
p. 168; Notice of August 12, 2011 (76 FR 50661 (Aug. 16, 2011));
Notice of November 4, 2010, 75 FR 68673 (November 8, 2010).

0
5. Supplement No. 1 to part 736--General Order No. 2--is revised to
read as follows:

Supplement No. 1 to Part 736--General Orders

* * * * *

    General Order No. 2; Section 5(b) of the Syria Accountability
and Lebanese Sovereignty Restoration Act of 2003 (SAA) gives the
President authority to waive the application of certain prohibitions
set forth in the SAA if the President determines that it is in the
national security interest of the United States to do so. The
President made such a determination in Executive Order 13338,
finding that it was ``in the national security interest of the
United States to waive application of subsection 5(a)(1) and
5(a)(2)(A) of the SAA so as to permit the exportation or
reexportation of certain items as specified in the Department of
Commerce's General Order No. 2.'' The President's reference to
General Order No. 2 addresses applications to export and reexport
the following items, which are considered on a case-by-case basis as
opposed to the general policy of denial set forth in section 746.9
of the Regulations: items in support of activities, diplomatic or
otherwise, of the United States Government (to the extent that
regulation of such exportation or reexportation would not fall
within the President's constitutional authority to conduct the
nation's foreign affairs); medicine (on the CCL) and medical devices
(both as defined in part 772 of the EAR); parts and components
intended to ensure the safety of civil aviation and the safe
operation of commercial passenger aircraft; aircraft chartered by
the Syrian Government for the transport of Syrian Government
officials on official Syrian Government business; telecommunications
equipment and associated computers, software and technology; and
items in support of United Nations operations in Syria. The total
dollar value of each approved license for aircraft parts for flight
safety normally will be limited to no more than $2 million over the
24-month standard license term, except in the case of complete
overhauls.

    Note to General Order No. 2: The controls for exports and
reexports to Syria are set forth in Sec.  746.9 of the EAR.

* * * * *

PART 738--[AMENDED]

0
6. The authority citation for 15 CFR part 738 continues to read as
follows:

    Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
10 U.S.C. 7420; 10 U.S.C. 7430(e); 22 U.S.C. 287c; 22 U.S.C. 3201 et
seq.; 22 U.S.C. 6004; 30 U.S.C. 185(s), 185(u); 42 U.S.C. 2139a; 42
U.S.C. 6212; 43 U.S.C. 1354; 15 U.S.C. 1824a; 50 U.S.C. app. 5; 22
U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 13026, 61 FR 58767, 3 CFR,
1996 Comp., p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p.
783; Notice of August 12, 2011 (76 FR 50661 (Aug. 16, 2011)).

0
7. Supplement No. 1 to part 738--Commerce Country Chart--is amended by
revising the sentence that appears in the entry for ``Syria'' to read
``See Sec.  746.9 of the EAR to determine whether a license is required
in order to export or reexport to this destination.''

PART 740--[AMENDED]

0
8. The authority citation for 15 CFR part 740 continues to read as
follows:

    Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 7201 et seq.; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp.,
p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice
of August 12, 2011 (76 FR 50661 (Aug. 16, 2011)).

0
9. Section 740.2 is amended by revising paragraph (a)(6) to read as
follows:

Sec.  740.2  Restriction on all License Exceptions.

    (a) * * *
    (6) The export or reexport is to a sanctioned destination (Cuba,
Iran, North Korea, and Syria), unless a license exception or portion
thereof is specifically listed in the license exceptions paragraph
pertaining to a particular sanctioned country in part 746 of the EAR.
* * * * *

0
10. Section 740.9 is amended by:
0
(a) Revising the heading and first sentence of paragraph (a)(2)(i)(A)
to read as set forth below.
0
(b) Removing the clause in paragraph (a)(2)(viii)(A), ``to Country
Groups D:1 or E:2, or Sudan (see supplement No. 1 to part 740) if the
commodities:'', and adding in its place ``to Country Groups D:1 or E:2,
Sudan, or Syria (see Supplement No. 1 to part 740) if the
commodities:''

Sec.  740.9  Temporary imports, exports, and reexports (TMP).

    (a) * * *
    (2) * * *
    (i) * * *
    (A) Destinations other than Country Group E:2, Sudan or Syria.
Exports and reexports of tools of trade for use by the exporter or
employees of the exporter may be made only to destinations other than
Country Group E:2, Sudan, or Syria. * * *
* * * * *

PART 742--[AMENDED]

0
11. The authority citation for 15 CFR part 742 continues to read as
follows:

    Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22
U.S.C. 7210; Sec 1503, Pub. L. 108-11, 117 Stat. 559; E.O. 12058, 43
FR 20947, 3 CFR, 1978 Comp., p. 179; E.O. 12851, 58 FR 33181, 3 CFR,
1993 Comp., p. 608; E.O. 12938, 59 FR 59099, 3 CFR, 1994 Comp., p.
950; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 13222,
66 FR 44025, 3 CFR, 2001 Comp., p. 783; Presidential Determination
2003-23 of May 7, 2003, 68 FR 26459, May 16, 2003; Notice of August
12, 2011 (76 FR 50661 (Aug. 16, 2011)); Notice of November 4, 2010,
75 FR 68673 (November 8, 2010).

0
12. Section 742.1 is amended by revising the last sentence of paragraph
(d) to read as follows:

Sec.  742.1  Introduction.

* * * * *
    (d) * * * If you are exporting or reexporting to Cuba, Iran, North
Korea, or Syria, you should review part 746 of the EAR, Embargoes and
Other Special Controls.
* * * * *

0
13. Section 742.9 is amended by revising paragraph (e) to read as
follows:

Sec.  742.9  Anti-terrorism: Syria.

* * * * *
    (e) Section 746.9 (Syria) of the EAR sets forth the export and
reexport controls for Syria. Section 746.9 supersedes the provisions of
paragraphs (a) through (d) of this section.

PART 746--[AMENDED]

0
14. The authority citation for 15 CFR part 746 continues to read as
follows:

    Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 287c; Sec 1503, Pub. L. 108-11, 117 Stat. 559; 22 U.S.C.
6004; 22 U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 12854, 58 FR
36587, 3 CFR, 1993 Comp., p. 614; E.O. 12918, 59 FR 28205, 3 CFR,
1994 Comp., p. 899; E.O. 13222, 3 CFR, 2001 Comp., p. 783;
Presidential Determination 2003-23 of May 7, 2003, 68 FR 26459, May
16, 2003; Presidential Determination 2007-7 of December 7, 2006, 72
FR 1899 (January 16, 2007); August 12, 2011 (76 FR 50661 (Aug. 16,
2011)).

0
15. Section 746.1 is amended by revising paragraph (a) introductory
text and adding paragraph (a)(3) to read as follows:

Sec.  746.1  Introduction.

* * * * *
    (a) Comprehensive controls. This part contains or refers to all the
BIS licensing requirements, licensing policies, and License Exceptions
for countries subject to general embargoes or comprehensive sanctions,
currently Cuba, Iran, and Syria. This part is the focal point for all
the EAR requirements for transactions involving these countries.
* * * * *
    (3) Syria. Pursuant to Sections 5(a)(1) and 5(a)(2)(A) of the Syria
Accountability and Lebanese Sovereignty Restoration Act of 2003 (Pub.
L. 108-175, codified as a note to 22 U.S.C. 2151) (the SAA), since May
14, 2004 BIS has maintained a prohibition on the export to Syria of all
items on the Commerce Control List (in 15 CFR part 774) (CCL) and a
prohibition on the export to Syria of products of the United States,
other than food and medicine. The President also exercised national
security waiver authority pursuant to Section 5(b) of the SAA for
certain transactions. Section 746.9 of this part sets forth the
specific license requirements, licensing policy and license exceptions
applicable to Syria as a sanctioned country under the EAR. These
provisions were issued consistent with Executive Order 13338 of May 11,
2004 which implemented the SAA.
* * * * *

0
16. Section 746.9 is revised to read as follows:

Sec.  746.9  Syria.

    Sections 5(a)(1) and 5(a)(2)(A) of the Syria Accountability and
Lebanese Sovereignty Restoration Act of 2003 (Pub. L. 108-175, codified
as a note to 22 U.S.C. 2151) (the SAA) require a prohibition on the
export to Syria of all items on the Commerce Control List (in 15 CFR
part 774) (CCL) and a prohibition on the export to Syria of products of
the United States, other than food and medicine. The President also
exercised national security waiver authority pursuant to Section 5(b)
of the SAA for certain transactions. The provisions in this section
were issued consistent with Executive Order 13338 of May 11, 2004 which
implemented the SAA.
    (a) License requirements. A license is required for the export or
reexport to Syria of all items subject to the EAR, except food and
medicine classified as EAR99 (food and medicine are defined in part 772
of the EAR). A license is required for the ``deemed export'' and
``deemed reexport,'' as described in Sec.  734.2(b) of the EAR, of any
technology or source code on the Commerce Control List (CCL) to a
Syrian foreign

national. ``Deemed exports'' and ``deemed reexports'' to Syrian foreign
nationals involving technology or source code subject to the EAR but
not listed on the CCL do not require a license.
    (b) License Exceptions. No License Exceptions to the license
requirements set forth in paragraph (a) of this section are available
for exports or reexports to Syria, except the following:
    (1) TMP for items for use by the news media as set forth in Sec.
740.9(a)(2)(viii) of the EAR,
    (2) GOV for items for personal or official use by personnel and
agencies of the U.S. Government as set forth in Sec.  740.11(b)(2)(i)
and (ii) of the EAR,
    (3) TSU for operation technology and software, sales technology,
and software updates pursuant to the terms of Sec.  740.13(a), (b), or
(c) of the EAR,
    (4) BAG for exports of personally-owned items by individuals
leaving the United States as personal baggage pursuant to the terms of
Sec.  740.14(a) through (d), only, of the EAR, and
    (5) AVS for the temporary sojourn of civil aircraft reexported to
Syria pursuant to the terms of Sec.  740.15(a)(4) of the EAR.
    (c) Licensing policy. (1) Except as described in this paragraph
(c), all license applications for export or reexport to Syria are
subject to a general policy of denial. License applications for
``deemed exports'' and ``deemed reexports'' of technology and source
code will be reviewed on a case-by-case basis. BIS may consider, on a
case-by-case basis, license applications for exports and reexports of
items necessary to carry out the President's constitutional authority
to conduct U.S. foreign affairs and as Commander-in-Chief, including
exports and reexports of items necessary for the performance of
official functions by the United States Government personnel abroad.
    (2) BIS may also consider the following license applications on a
case-by-case basis: items in support of activities, diplomatic or
otherwise, of the United States Government (to the extent that
regulation of such exportation or reexportation would not fall within
the President's constitutional authority to conduct the nation's
foreign affairs); medicine (on the CCL) and medical devices (both as
defined in part 772 of the EAR); parts and components intended to
ensure the safety of civil aviation and the safe operation of
commercial passenger aircraft; aircraft chartered by the Syrian
Government for the transport of Syrian Government officials on official
Syrian Government business; telecommunications equipment and associated
computers, software and technology; and items in support of United
Nations operations in Syria. The total dollar value of each approved
license for aircraft parts for flight safety normally will be limited
to no more than $2 million over the 24-month standard license term,
except in the case of complete overhauls.
    (3) In addition, consistent with part 734 of the EAR, the following
are not subject to the EAR and therefore not subject to this General
Order: informational materials in the form of books and other media;
publicly available software and technology; and technology exported in
the form of a patent application or an amendment, modification, or
supplement thereto or a division thereof (see 15 CFR 734.3(b)(1)(v),
(b)(2) and (b)(3)).

    Note to Sec.  746.9: For administrative reasons, BIS continues
to maintain provisions in General Order No. 2, Supplement No. 1 to
part 736 of the EAR relating to the President's waiver of certain
prohibitions. This section contains all of the substantive controls
against Syria, including the waiver-related provisions maintained in
General Order No. 2.

PART 774--[AMENDED]

0
17. The authority citation for 15 CFR part 774 continues to read as
follows:

    Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
10 U.S.C. 7420; 10 U.S.C. 7430(e); 22 U.S.C. 287c, 22 U.S.C. 3201 et
seq., 22 U.S.C. 6004; 30 U.S.C. 185(s), 185(u); 42 U.S.C. 2139a; 42
U.S.C. 6212; 43 U.S.C. 1354; 15 U.S.C. 1824a; 50 U.S.C. app. 5; 22
U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 13026, 61 FR 58767, 3 CFR,
1996 Comp., p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p.
783; Notice of August 12, 2011 (76 FR 50661 (Aug. 16, 2011)).

0
18. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals, ``Micro
Organisms,'' and ``Toxins''--Export Control Classification Number
(ECCN) 1C350 is amended by revising the AT paragraph in the License
Requirements section to read as follows:

Supplement No. 1 to Part 774--Commerce Control List

* * * * *

1C350 Chemicals that may be used as precursors for toxic chemical
agents.

License Requirements

* * * * *
    AT applies to entire entry. The Commerce Country Chart is not
designed to determine licensing requirements for items controlled
for AT reasons in 1C350. A license is required, for AT reasons, to
export or reexport items controlled by 1C350 to a country in Country
Group E:1 of Supplement No. 1 to part 740 of the EAR. (See part 742
of the EAR for additional information on the AT controls that apply
to Iran, North Korea, Sudan, and Syria. See part 746 of the EAR for
additional information on sanctions that apply to Cuba, Iran, North
Korea, and Syria.)
* * * * *

0
19. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals, ``Micro
Organisms,'' and ``Toxins''--Export Control Classification Number
(ECCN) 1C355 is amended by revising the Control(s) paragraphs in the
License Requirements section to read as follows:

1C355 Chemical Weapons Convention (CWC) Schedule 2 and 3 chemicals and
families of chemicals not controlled by ECCN 1C350 or by the Department
of State under the ITAR.

License Requirements

* * * * *
    Control(s): CW applies to entire entry. The Commerce Country Chart
is not designed to determine licensing requirements for items
controlled for CW reasons. A license is required to export or reexport
CWC Schedule 2 chemicals and mixtures identified in 1C355.a to States
not Party to the CWC (destinations not listed in Supplement No. 2 to
part 745 of the EAR). A license is required to export CWC Schedule 3
chemicals and mixtures identified in 1C355.b to States not Party to the
CWC, unless an End-Use Certificate issued by the government of the
importing country is obtained by the exporter, prior to export. A
license is required to reexport CWC Schedule 3 chemicals and mixtures
identified in 1C355.b from a State not Party to the CWC to any other
State not Party to the CWC. (See Sec.  742.18 of the EAR for license
requirements and policies for toxic and precursor chemicals controlled
for CW reasons.)
    AT applies to entire entry. The Commerce Country Chart is not
designed to determine licensing requirements for items controlled for
AT reasons in 1C355. A license is required, for AT reasons, to export
or reexport items controlled by 1C355 to a country in Country Group E:1
of Supplement No. 1 to part 740 of the EAR. (See part 742 of the EAR
for additional information on the AT controls that apply to Iran, North
Korea, Sudan, and Syria. See part 746 of the EAR for additional
information on sanctions that apply to Cuba, Iran, North Korea, and
Syria.)
* * * * *

0
20. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals, ``Micro
Organisms,'' and ``Toxins''--Export Control Classification Number
(ECCN) 1C395 is amended by revising the AT paragraph in the License
Requirements section to read as follows:

1C395 Mixtures and Medical, Analytical, Diagnostic, and Food Testing
Kits Not Controlled by ECCN 1C350, as Follows (See List of Items
Controlled).

License Requirements

* * * * *
    AT applies to entire entry. The Commerce Country Chart is not
designed to determine licensing requirements for items controlled for
AT reasons in 1C395. A license is required, for AT reasons, to export
or reexport items controlled by 1C395 to a country in Country Group E:1
of Supplement No. 1 to part 740 of the EAR. (See part 742 of the EAR
for additional information on the AT controls that apply to Iran, North
Korea, Sudan, and Syria. See part 746 of the EAR for additional
information on sanctions that apply to Cuba, Iran, North Korea, and
Syria.)
* * * * *

    Dated: December 5, 2011.
Kevin J. Wolf,
Assistant Secretary for Export Administration.
[FR Doc. 2011-31682 Filed 12-9-11; 8:45 am]
BILLING CODE 3510-33-P