[Federal Register Volume 83, Number 64 (Tuesday, April 3, 2018)]
[Notices]
[Page 14310]
[FR Doc No: 2018-06749]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

Agency Information Collection Activities: Requests for Comments;
Clearance of Renewed Approval of Information Collection: Special
Awareness Training for the Washington DC Metropolitan Area

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice and request for comments.

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SUMMARY: In accordance with the Paperwork Reduction Act of 1995, FAA
invites public comments about our intention to request the Office of
Management and Budget (OMB) approval to renew an information
collection. This collection of information is required of persons who
must receive training and testing in order to fly within 60 nautical
miles (NM) of the Washington, DC omni-directional range/distance
measuring equipment (DCA VOR/DME).

DATES: Written comments should be submitted by June 4, 2018.

ADDRESSES: Send comments to the FAA at the following address: Barbara
Hall, Federal Aviation Administration, ASP-110, 10101 Hillwood Parkway,
Fort Worth, TX 76177.
    Public Comments Invited: You are asked to comment on any aspect of
this information collection, including (a) Whether the proposed
collection of information is necessary for FAA's performance; (b) the
accuracy of the estimated burden; (c) ways for FAA to enhance the
quality, utility and clarity of the information collection; and (d)
ways that the burden could be minimized without reducing the quality of
the collected information. The agency will summarize and/or include
your comments in the request for OMB's clearance of this information
collection.

FOR FURTHER INFORMATION CONTACT: Barbara Hall by email at:
[email protected]; phone:<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:
    OMB Control Number: 2120-0734.
    Title: Special Awareness Training for the Washington DC
Metropolitan Area.
    Form Numbers: There are no FAA forms associated with this
collection.
    Type of Review: Renewal of an information collection.
    Background: The final rule containing this information collection
requirement was published on August 12, 2008 (73 FR 46797). The
collection of information is solicited by the FAA in order to maintain
a National database registry for those persons who are required to
receive training and be tested for flying in the airspace that is
within 60 NM of the DCA VOR/DME. This National database registry
provides the FAA with information on how many persons and the names of
those who have completed this training.
    Respondents: Approximately 366 pilots.
    Frequency: Information is collected on occasion.
    Estimated Average Burden per Response: 1 hour.
    Estimated Total Annual Burden: 122 hours.

    Issued in Fort Worth, TX, on March 26, 2018.
Barbara L. Hall,
FAA Information Collection Clearance Officer, Performance, Policy, and
Records Management Branch, ASP-110.
[FR Doc. 2018-06749 Filed 4-2-18; 8:45 am]
 BILLING CODE P


(2)	 The survey program plan shall meet all of the requirements of paragraph (b),) except paragraphs (b)(4)(ii) and (b)(4)(v) of this section.  The survey program plan shall specify the sampling strata, clusters and area, and number of samples to be included.  Notwithstanding paragraph (b)(2), in order to comply with this paragraph the survey plan need not be conducted by a consortium.
(b) 		Survey option 2.
(1) 		To comply with the requirements under this paragraph (b), any
            gasoline refiner, gasoline importer, ethanol blender, ethanol producer, or ethanol importer who manufactures, introduces into commerce, sells or offers for sale E15, gasoline, blendstock for oxygenate blending, ethanol, or gasoline-ethanol blend intended for use in or as E15 must participate in a consortium which arranges to have an independent survey association conduct a statistically valid program of compliance surveys pursuant to a survey program plan which has been approved by EPA, in accordance with the requirements of paragraphs (b)(2) through (b)(4) and (b)(6) of this section.
(2)	  	The consortium survey program under this paragraph (b)
      must be:
(i)  		Planned and conducted by a survey association that is independent of the ethanol
            blenders, ethanol producers, ethanol importers, gasoline refiners, and/or gasoline importers that arrange to have the survey conducted.  In order to be considered independent:
(A) 		Representatives of the survey association shall not be an employee of any ethanol
            blender, ethanol producer, ethanol importer, gasoline refiner, or gasoline importer;
(B) 		The survey association shall be free from any obligation to or interest in any
            ethanol blender, ethanol producer, ethanol importer, gasoline refiner, or gasoline importer; and
(C) 	The ethanol blenders, ethanol producers, ethanol importers, gasoline refiners, and/or gasoline importers that arrange to have the survey conducted shall be free from any obligation to or interest in the survey association.
(ii)  		Conducted at retail outlets that sell gasoline; and
(iii)  		Represent all gasoline dispensed nationwide.
(3)  		Independent Survey Association Requirements. The consortium described in
            paragraph (b)(1) of this section shall require the independent survey association conducting the surveys to:
(i)  		Submit to EPA for approval each calendar year a proposed survey program plan 			in accordance with the requirements of paragraph (b)(4) of this section.
(ii) 		Obtain samples of gasoline offered for sale at gasoline retail outlets in accordance
            with the survey program plan approved under this paragraph (b), or immediately notify EPA of any refusal of retail outlets to allow samples to be taken.
(iii)   		Test, or arrange to be tested, the samples required under paragraph (b)(3)(ii) of
      this section for Reid vapor pressure (RVP), and oxygenate content as follows:
(A) 		Samples collected at retail outlets shall be shipped the same day the samples are
            collected via ground service to the laboratory and analyzed for oxygenate content.  Samples collected at a dispenser labeled E15 in any manner, or at a tank serving such a dispenser, shall also be analyzed for RVP.  Such analysis shall be completed within 10 days after receipt of the sample in the laboratory.   Nothing in this section shall be interpreted to require RVP testing of a sample from any dispenser or tank serving it unless the dispenser is labeled E15 in any manner.
            (B) 	Any laboratory to be used by the independent survey association for oxygenate or RVP testing shall be approved by EPA and its test method for determining oxygenate content shall be a method permitted under § 80.46(g), and its test method for determining RVP shall be the method permitted under § 80.46(b).
(iv)  		 In the case of any test that yields a result that does not match the label
            affixed to the product (e.g., a sample greater than 15.0 volume percent ethanol dispensed from a fuel dispenser labeled as "E15" or a sample containing greater than 10.0 volume percent ethanol and not more than 15.0 volume percent ethanol dispensed from a fuel dispenser not labeled as "E15"), or the RVP standard of §80.27(a)(2), the independent survey association shall, within 24 hours after the laboratory receives the sample, send notification of the test result as follows:
(A)  		In the case of a sample collected at a retail outlet at which the brand name of a
            gasoline refiner or gasoline importer is displayed, to the gasoline refiner or gasoline importer, and EPA.  This initial notification to a gasoline refiner or gasoline importer shall include specific information concerning the name and address of the retail outlet, contact information, the brand, and the ethanol content, and the RVP if required, of the sample.
(B) 	In the case of a sample collected at other retail outlets, to the retailer and EPA, and such notice shall contain the same information as in paragraph (b)(3)(iv)(A) of this section.
(C) 		The independent survey association shall provide notice to the identified contact
            person or persons for each party in writing (which includes e-mail or facsimile) and, if requested by the identified contact person, by telephone.
(v)  		Confirm that each fuel dispenser sampled is labeled as required in § 80.1501 by
      confirming that:
(A)		The label meets the appearance and content requirements of § 80.1501.
(B)		The label is located on the fuel dispenser according to the requirements in
		§ 80.1501.
(vi)  	In the case of a fuel dispenser that is improperly labeled, or whose fuel does not meet the RVP standards of §80.27(a)(2) the survey association shall provide notice as provided in paragraphs (b)(2)(iv)(A) through (C) of this section.
(vii)  		Provide to EPA quarterly and annual summary survey reports which include the
            information specified in paragraph (b)(5) of this section.
(viii)  		Maintain all records relating to the surveys conducted under this paragraph (b) for
      a period of at least five (5) years.
(ix)  		Permit any representative of EPA to monitor at any time the conducting of the
      surveys, including sample collection, transportation, storage, and analysis.
(4) 		Survey Plan Design Requirements. The proposed survey program plan required
            under paragraph (b)(3)(i) of this section shall, at a minimum, include the following:
(i) 		Number of Surveys.  The survey program plan shall include four quarterly
            surveys each calendar year.  The four quarterly surveys collectively are called the survey series as defined in § 80.1500.
(ii) 		Sampling Areas.  The survey program plan shall include sampling in all
            sampling strata, as defined in § 80.1500, during each survey.  These sampling strata shall be further divided into discrete sampling areas or clusters.  Each survey shall include sampling in at least 40 sampling areas in each stratum which are randomly selected.
(iii) 		No advance notice of surveys. The survey plan shall include procedures to keep  			the identification of the sampling areas that are included in any survey plan 			confidential from any regulated party prior to the beginning of a survey in an area.  		However, this information shall not be kept confidential from EPA.
(iv) 		Retail outlet selection.
(A) 		The retail outlets to be sampled in a sampling area shall be selected from among
            all retail outlets in the sampling area that sell gasoline, with the probability of selection proportionate to the volume of gasoline sold at the retail outlets; the sample should also include retail outlets with different brand names as well as those retail outlets that are unbranded.
(B) 		In the case of any retail outlet from which a sample of gasoline was collected
            during a survey and determined to have an ethanol content that does not match the fuel dispenser label (e.g. a sample greater than 15.0 volume percent ethanol dispensed from a fuel dispenser labeled as "E15" or a sample with greater than 10.0 volume percent ethanol and not more than 15.0 volume percent ethanol dispensed from a fuel dispenser not labeled as "E15") or determined to have a dispenser containing fuel whose RVP does not comply with §80.27(a)(2), that retail outlet shall be included in the subsequent survey.
(C) 		One sample of each product dispensed as gasoline shall be collected at each retail
            outlet, and separate samples shall be taken that represent the gasoline contained in each gasoline storage tank unless collection of separate samples is not practicable.
(v) 		Number of samples.
(A) 		The minimum number of samples to be included in the survey plan for each
      calendar year shall be calculated as follows:

      Where:
            n 	= 	minimum number of samples in a year-long survey series.
                  However, in no case shall n be smaller than 7,500.
	Z	=	upper percentile point from the normal distribution to achieve a
                        one-tailed 95% confidence level (5% -level).  Thus, Z equals 1.645.
            Z	=	upper percentile point to achieve 95% power.  Thus, Z equals
                  1.645.
			=	the maximum proportion of non-compliant stations for a region to
                        be deemed compliant.  In this test, the parameter needs to be 5% or greater, i.e., 5% or more of the stations, within a stratum such that the region is considered non-compliant. For this survey,  will be 5%.
		= 	the underlying proportion of non-compliant stations in a sample.
                        For the first survey plan, will be 2.3%.  For subsequent survey plans,  will be the average of the proportion of stations found to be non-compliant over the previous four surveys.
	Stn	=	number of sampling strata.  For purposes of this survey program,
                  Stn equals 3.
	Fa	=	adjustment factor for the number of extra samples required to
                        compensate for collected samples that cannot be included in the survey, based on the number of additional samples required during the previous four surveys.  However, in no case shall the value of Fa be smaller than 1.1.
	Fb	=	adjustment factor for the number of samples required to resample
                        each retail outlet with test results exceeding the labeled amount (e.g. a sample greater than 15.0 volume percent ethanol dispensed from a fuel dispenser labeled as "E15", a sample with greater than 10.0 volume percent ethanol and not more than 15.0 volume percent ethanol dispensed from a fuel dispenser not labeled as "E15"), or a sample dispensed from a fuel dispenser labeled as "E15" with greater than the applicable seasonal and geographic RVP pursuant to § 80.27, based on the rate of resampling required during the previous four surveys.  However, in no case shall the value of Fb be smaller than 1.1.
	Sun	=	number of surveys per year.  For purposes of this survey program,
                  Sun equals 4.
(B) 		The number of samples determined pursuant to paragraph (b)(4)(v)(A) of this
            section, after being incremented as necessary to allocate whole numbers of samples to each cluster, shall be distributed approximately equally for the quarterly surveys conducted during the calendar year.
(5) 		Summary survey reports.  The quarterly and annual summary survey reports
            required under paragraph (b)(3)(vii) of this section shall include the following information:
(i)		An identification of the parties that are participating in the survey.
(ii) 		The identification of each sampling area included in a survey and the dates that
      the samples were collected in that area.
(iii) 		For each retail outlet sampled:
(A)  		The identification of the retail outlet;
(B)  		The gasoline refiner or gasoline importer brand name displayed, if any;
(C)  		The fuel dispenser labeling (e.g., "E15");
(D)  		The sample test result for oxygenate content, and RVP result, if any;
(E)  		The test method used to determine oxygenate content under § 80.46(g); and
(F)		The test method used to determine RVP under § 80.46(b).
(iv) 		Ethanol level summary statistics by brand and unbranded for each
            sampling area, strata, and survey series.  These summary statistics shall:
(A)  		Include the number of samples, the average, median and range of ethanol
            content, expressed in volume percent.
(B) 		 [Reserved]
(v)  		The quarterly reports required under this paragraph (b)(5) are due 60 days
            following the end of the quarter.  The annual reports required under this paragraph (b)(5) are due 60 days following the end of the calendar year.
(vi)  		The reports required under this paragraph (b)(5) shall be submitted to EPA in
      an electronic spreadsheet.
(c) 	Procedures for obtaining approval of survey plan and providing required notices.  The first year in which a survey program is conducted may consist of only a portion of a calendar year ending on December 31 (i.e. in the initial year, a survey program may begin on a date after January 1, but would still end on December 31).  Subsequent survey programs shall be conducted on a calendar year basis. The procedure for obtaining EPA approval of a survey program plan under paragraph (b) or paragraph (c) is as follows:
(1)  		For the first year in which a survey will be conducted, a survey program plan that
            complies with the requirements of  paragraph (a) or paragraph (b) must be submitted to EPA no later than 60 days prior to the date on which the survey program is to begin.
(2)  		For subsequent years in which a survey will be conducted, a survey program plan
            that complies with the requirements of paragraph (a) or paragraph (b) must be submitted to EPA no later than November 1 of the year preceding the calendar year in which the survey will be conducted.
(3)  		The survey program plan must be signed by a responsible officer of the 				consortium which arranges to have an independent surveyor conduct the survey 			program.
(4)  		The survey program plan must be sent to the following address:  Director,
            Compliance and Innovative Strategies Division, U.S. Environmental Protection Agency, 1200 Pennsylvania Ave., N.W. Mail Code 6506J, Washington, D.C. 20460.
(5)  		EPA will send a letter to the party submitting the survey program plan that
            indicates whether EPA approves or disapproves the survey plan.
 (6)  		The approving official for a survey plan under this section is the Director of the
            Compliance and Innovative Strategies Division, Office of Transportation and Air Quality.
(7)  		Any notifications or reports required to be submitted to EPA under this section  			must be directed to the official designated in paragraph (b)(6)(iv) of this section.
(d)  		Independent surveyor contract.
(1) 		For the first year in which a survey program will be conducted, no later than 30
            days preceding the start of the survey, the contract with the independent surveyor shall be in effect, and an amount of money necessary to carry out the entire survey plan shall be paid to the independent surveyor or placed into an escrow account with instructions to the escrow agent to pay the money to the independent surveyor during the course of the conduct of the survey plan.
(2) 		For subsequent years in which a survey program will be conducted, no later than
            December 1 of the year preceding the year in which the survey will be conducted, the contract with the independent surveyor shall be in effect, and an amount of money necessary to carry out the entire survey plan shall be paid to the independent surveyor or placed into an escrow account with instructions to the escrow agent to pay the money to the independent surveyor during the course of the conduct of the survey plan.
(3) 		For the first year in which a survey program will be conducted, no later than 15
      days preceding the start of the survey EPA must receive a copy of the contract
      with the independent surveyor and proof that the money necessary to carry out the
      survey plan has either been paid to the independent surveyor or placed into an
      escrow account; if the money has been placed into an escrow account, a copy of
            the escrow agreement must to be sent to the official designated in paragraph (b)(6)(iv) of this section.
(4)  		For subsequent years in which a survey program will be conducted, no later than
            December 15 of the year preceding the year in which the survey will be conducted, EPA must receive a copy of the contract with the independent surveyor and proof that the money necessary to carry out the survey plan has either been paid to the independent surveyor or placed into an escrow account; if placed into an escrow account, a copy of the escrow agreement must be sent to the official designated in paragraph (b)(6)(iv) of this section.
(e)  	Consequences of failure to fulfill requirements.  A failure to fulfill or cause to be fulfilled any of
            the requirements of this section is a prohibited act under Clean Air Act section 211(c) and § 80.1504.
(1)	EPA may revoke its approval of a survey plan under this section for cause, including, but not limited to, an EPA determination that the approved survey plan has proved to be inadequate in practice.
(2)	EPA may void ab initio its approval of a survey plan if EPA's approval was based on false information, misleading information, or incomplete information, or if there was a failure to fulfill, or cause to be fulfilled, any of the requirements of the survey plan.

§ 80.1503  	What are the product transfer document requirements for gasoline-ethanol
            blends, gasolines, and conventional blendstocks for oxygenate blending subject to this subpart?
(a)  	Product transfer documentation for conventional blendstock for oxygenate blending, or gasoline transferred upstream of an ethanol blending facility.
(1)  	In addition to any other product transfer document requirements under 40 CFR part 80, on each occasion after October 31, 2011, when any person transfers custody or title to any conventional blendstock for oxygenate blending which could become conventional gasoline solely upon the addition of ethanol, or gasoline upstream of an oxygenate blending facility, as defined in § 80.2(ll), the transferor shall provide to the transferee product transfer documents which include the following information:
(i) 		The name and address of the transferor;
(ii) 		The name and address of the transferee;
(iii) 		The volume of conventional blendstock for oxygenate blending or gasoline being 			transferred;
(iv) 		The location of the conventional blendstock for oxygenate blending or gasoline at 			the time of the transfer;
(v) 		The date of the transfer;
(vi) 	For gasoline during the regulatory control periods defined in § 80.27(a)(2)(ii) or any SIP approved or promulgated under §§ 110 or 172 of the Clean Air Act:
(A) 		The maximum RVP, as determined by a method permitted
            under § 80.46(c), stated in the following format: "The RVP of this gasoline does not exceed [fill in appropriate value]"; and
(B) 	For gasoline designed for the special provisions for gasoline-ethanol blends in § 80.27(d)(2), information about the ethanol content and RVP in paragraphs (1) through (3), with insertions as indicated:
(1)	"Suitable for the special RVP provisions for ethanol blends that contain between 9 and 10 vol % ethanol."
(2)	"The RVP of this blendstock/gasoline for oxygenate blending does not exceed [Fill in appropriate value] psi.
(3)	The use of this gasoline to manufacture a gasoline-ethanol blend containing anything other than between 9 and 10 volume percent ethanol may cause a summertime RVP violation.
(C)	For gasoline not described in paragraph (a)(vi)(B) of this section, information regarding the suitable ethanol content, stated in the following format: "Suitable for blending with ethanol at a concentration of no more than 15 vol % ethanol."
(2)	The requirements in paragraph (a)(1) do not apply to reformulated gasoline blendstock for oxygenate blending, as defined in § 80.2(kk), which are subject to the product transfer document requirements of § 80.69 and § 80.77.
(b)  		Product transfer documentation for gasoline transferred downstream of an
      oxygenate blending facility.
(1) 	In addition to any other product transfer document requirements under 40 CFR part 80, on each occasion after October 31, 2011, when any person transfers custody or title to any gasoline-ethanol blend downstream of an oxygenate blending facility, as defined in § 80.2(ll), except for transfers to the ultimate consumer, the transferor shall provide to the transferee product transfer documents which include the following information:
(i) 		The name and address of the transferor;
(ii) 		The name and address of the transferee;
(iii) 		The volume of gasoline being transferred;
(iv) 		The location of the gasoline at the time of the transfer;
(v) 		The date of the transfer; and
(vi) 	One of the statements detailed in paragraph (b)(1)(vi)(A) though (E) which accurately describes the gasoline-ethanol blend.  The information regarding the ethanol content of the fuel is required year-round.  The information regarding the RVP of the fuel is only required for gasoline during the regulatory control periods.
(A)  		For gasoline containing no ethanol (E0), the following statement; "E0: Contains
      no ethanol.  The RVP does not exceed [fill in appropriate value] psi."
(B)	For gasoline containing less than 9.0 volume percent ethanol, the following statement: "EX  -  Contains up to X% ethanol.  The RVP does not exceed [fill in appropriate value] psi."   The term X refers to the maximum volume percent ethanol present in the gasoline.
(C)  		For gasoline containing between 9.0 and 10.0 volume percent ethanol (E10), the
            following statement:  "E10:  Contains between 9 and 10 vol % ethanol.  The RVP does not exceed [fill in appropriate value] psi. The 1.0 psi RVP waiver applies to this gasoline.  Do not mix with gasoline containing anything other than between 9 and 10 vol % ethanol."
(D)   		For gasoline containing greater than 10.0 volume percent and not more than 15.0
            volume percent ethanol (E15), the following statement:  "E15:  Contains up to 15 vol % ethanol.  The RVP does not exceed [fill in appropriate value] psi;" or
(E) 		For all other gasoline that contains ethanol, the following statement:  "EXX-
      Contains no more than XX% ethanol," where XX equals the volume % ethanol.
(2)  		Except for transfers to truck carriers, retailers, or wholesale purchaser-consumers,
            product codes may be used to convey the information required under paragraph (b)(1) of this section if such codes are clearly understood by each transferee.
(c)		The records required by this section must be kept by the transferor and transferee
            for five (5) years from the date they were created or received by each party in the distribution system.
(d)		On request by EPA, the records required by this section must be made available
            to the Administrator or the Administrator's authorized representative.  For records that are electronically generated or maintained, the equipment or software necessary to read the records shall be made available, or, if requested by EPA, electronic records shall be converted to paper documents.

§ 80.1504	What acts are prohibited under this subpart?
      No person shall ---
            (a) (1)	Sell, introduce, cause or permit the sale or introduction of gasoline containing greater than 10.0 volume percent ethanol (i.e., greater than E10) into any model year 2000 or older light-duty gasoline motor vehicle, any heavy-duty gasoline motor vehicle or engine, any highway or off-highway motorcycle, or any gasoline-powered nonroad engines, vehicles or equipment.
(2)  	Manufacture or introduce into commerce E15 in any calendar year for use in an area prior to commencement of a survey approved under 80.1502 for that area.
(3) 	Notwithstanding paragraphs (a)(1) and (a)(2) of this section, no person shall be prohibited from manufacturing, selling, introducing, or causing or allowing the sale or introduction of gasoline containing greater than 10.0 volume percent ethanol into any flex-fuel vehicle.
(b)		Sell, offer for sale, dispense, or otherwise make available at a retail or wholesale
            purchaser-consumer facility E15 that is not correctly labeled in accordance with § 80.1501;
(c)	Fail to fully or timely implement, or cause a failure to fully or timely implement, an approved survey required under §80.1502;
(d)		Fail to generate, use, transfer and maintain product transfer documents that
            accurately reflect the type of product, ethanol content, maximum RVP, and other information required under § 80.1503;
(e)		Improperly blend, or cause the improper blending of, ethanol into
            conventional blendstock for oxygenate blending, gasoline or gasoline already containing ethanol, in a manner inconsistent with the information on the product transfer document under § 80.1503(a)(1)(vi) or § 80.1503(b)(1)(vi);
(f)	For gasoline during the regulatory control periods, combine any gasoline or conventional blendstock for oxygenate blending intended for blending with E10 that qualifies for the 1 psi allowance under the special regulatory treatment as provided by § 80.27(d)  applicable to 9-10 volume percent gasoline-ethanol blends with any gasoline or conventional blendstock for oxygenate blending intended for blending with E15, unless the resultant combination is designated, in its entirety, as an E10 blendstock for oxygenate blending.
(g)	For gasoline during the regulatory control periods,  combine any gasoline-ethanol blend containing E10 that qualifies for  the 1 psi allowance under the special regulatory treatment as provided by § 80.27(d)  applicable to 9-10 volume percent gasoline-ethanol blends, with any gasoline containing E0 or any gasoline blend containing E15.
(h)		Fail to meet any other requirement of this subpart.
(i) 		Cause another person to commit an act in violation of paragraphs (a) through (h) 			of this section.

§ 80.1505 	Who is liable for violations of this subpart?
(a) 	Persons liable. Any person who violates § 80.1504(a) through (i) is liable for the violation.  In addition, when the gasoline contained in any storage tank at any facility owned, leased, operated, controlled or supervised by any gasoline refiner, gasoline importer, oxygenate blender, carrier, distributor, reseller, retailer, or wholesale purchaser-consumer is found in violation of the prohibitions described in §80.1504(a), and (c) through (i), the following persons shall be deemed in violation:
(1) 	Each gasoline refiner, gasoline importer, oxygenate blender, carrier, distributor, reseller, retailer, or wholesale purchaser-consumer who owns, leases, operates, controls or supervises the facility where the violation is found.
(2) 	Each gasoline refiner or gasoline importer whose corporate, trade, or brand name, or whose marketing subsidiary's corporate, trade, or brand name, appears at the facility where the violation is found.
(3) 	Each gasoline refiner, gasoline importer, oxygenate blender, distributor, and reseller who manufactured, imported, sold, offered for sale, dispensed, supplied, offered for supply, stored, transported, or caused the transportation of any gasoline which is in the storage tank containing gasoline found to be in violation.
(4) 	Each carrier who dispensed, supplied, stored, or transported any gasoline which is in the storage tank containing gasoline found to be in violation, provided that EPA demonstrates, by reasonably specific showings using direct or circumstantial evidence, that the carrier caused the violation.
(b)  	For label violations under § 80.1504(b), only the wholesale purchaser-consumer or retailer and the branded gasoline refiner or branded gasoline importer, if any, shall be liable.
(c)	Each partner to a joint venture, or each owner of a facility owned by two or more owners, is jointly and severally liable for any violation of this subpart that occurs at the joint venture facility or a facility that is owned by the joint owners, or a facility that is committed by the joint venture operation or any of the joint owners of the facility.
(d) 	Any parent corporation is liable for any violations of this subpart that are committed by any of its solely-owned subsidiaries.

§ 80.1506	What penalties apply under this subpart?
(a) 		Any person under § 80.1505 who is liable for a violation under § 80.1504 is  			subject to an administrative or civil penalty, as specified in sections 205 and 			211(d) of the Clean Air Act, for every day of each such violation and the amount 			of economic benefit or savings resulting from the violation.
(b)	(1) Any violation of any requirement that pertains to the ethanol content of gasoline shall constitute a separate day of violation for each and every day such gasoline giving rise to such violations remains any place in the gasoline distribution system, beginning on the day that the gasoline that violates such requirement is produced or imported and distributed and/or offered for sale, and ending on the last day that any such gasoline is offered for sale or is dispensed to any ultimate consumer for use in any motor vehicle, unless the violation is corrected by altering the properties and characteristics of the gasoline giving rise to the violations and any mixture of gasolines that contains any of the gasoline giving rise to the violations such that the gasoline or mixture of gasolines has the properties and characteristics that would have existed if the gasoline giving rise to the violations had been produced or imported in compliance with all requirements that pertain to the ethanol content of gasoline..
(2) 	For the purposes of this paragraph (b), the length of time the gasoline in question remained in the gasoline distribution system shall be deemed to be 25 days; unless the respective party or EPA demonstrates by reasonably specific showings, using direct or circumstantial evidence, that the gasoline giving rise to the violations remained any place in the gasoline distribution system for fewer than or more than 25 days.
(c) 	Any violation of any affirmative requirement or prohibition not included in paragraph (b) of this section shall constitute a separate day of violation for each and every day such affirmative requirement is not properly accomplished, and/or for each and every day the prohibited activity continues.  For those violations that may be ongoing each and every day the prohibited activity continues shall constitute a separate day of violation.

§ 80.1507	What are the defenses for acts prohibited under this subpart?
(a) 		Defenses for prohibited activities.
(1)	In any case in which a gasoline refiner, gasoline importer, oxygenate blender, carrier, distributor, reseller, retailer, or wholesale purchaser-consumer would be in violation under § 80.1504(a), and (c) through (i) it shall be deemed not in violation if it can demonstrate:
(i) 	That the regulated party or its employee or agent did not commit, cause, or contribute to another person's causing the violation;
(ii)		That product transfer documents account for all of the gasoline in the storage 			tank found in violation and indicate that the gasoline met relevant requirements; 			and
(iii)		(A) That it has conducted a quality assurance program, including a sampling and 			testing program, as described in paragraph (b) of this section;
(B)		A carrier may rely on the sampling and testing program carried out by another 			party, including the party that owns the gasoline in question, provided that the 			sampling and testing program is carried out properly.
(2)		(i) Where a violation is found at a facility which is operating under the corporate, 			trade or brand name of a refiner, that refiner must show, in addition to the defense 		elements required by paragraph (a)(1) of this section, that the violation was 			caused by:
(A) 		An act in violation of law (other than the Act or this part), or an act of sabotage or 		vandalism;
(B) 	The action of any reseller, distributor, oxygenate blender, carrier, or a retailer or wholesale purchaser-consumer supplied by any of these persons, in violation of a contractual undertaking imposed by the gasoline refiner designed to prevent such action, and despite periodic sampling and testing by the gasoline refiner to ensure compliance with such contractual obligation; or
(C) 	The action of any carrier or other distributor not subject to a contract with the gasoline refiner but engaged by the gasoline refiner for transportation of gasoline, despite specification or inspection of procedures and equipment by the gasoline refiner which are reasonably calculated to prevent such action.
(ii) 	In this paragraph (a), to show that the violation "was caused" by any of the specified actions the party must demonstrate by reasonably specific showings using direct or circumstantial evidence, that the violation was caused or must have been caused by another.
(3) 	For label violations under § 80.1504(b), the branded gasoline refiner or branded gasoline importer shall not be deemed liable if the requirements of paragraph (b)(4) of this section are met.
(b) 		Quality assurance program. In order to demonstrate an acceptable quality 				assurance program for gasoline at all points in the gasoline distribution network, 			other than at retail outlets and wholesale purchaser-consumer facilities, a party 			must present evidence of the following in addition to other regular appropriate 			quality assurance procedures and practices.
(1) 		A periodic sampling and testing program to determine if the gasoline contains 			applicable maximum and/or minimum volume percent of ethanol.
(2) 		That on each occasion when gasoline is found in noncompliance with one of the 			requirements referred to in paragraph (b)(1) of this section:
(i) 		The party immediately ceases selling, offering for sale, dispensing, supplying, 			offering for supply, storing, transporting, or causing the transportation of the 			violating product; and
(ii) 		The party promptly remedies the violation (such as by removing the violating 			product or adding more complying product until the applicable requirements are 			achieved).
(3) 		An oversight program conducted by a carrier under paragraph (b)(1) of this 			section need not include periodic sampling and testing of gasoline in a tank truck 			operated by a common carrier, but in lieu of such tank truck sampling and testing 			the common carrier shall demonstrate evidence of an oversight program for 			monitoring compliance with the requirements of §80.1504 relating to the transport 		or storage of gasoline by tank truck, such as appropriate guidance to drivers on 			compliance with applicable requirements and the periodic review of records 			normally received in the ordinary course of business concerning gasoline quality 			and delivery.
(4) 		The periodic sampling and testing program specified in paragraph (b)(1) of this 	section shall be deemed to have been in effect during the relevant time period for 	any party, including branded gasoline refiners and branded gasoline importers, if:
(i) 		An EPA approved survey program under § 80.1502 was in effect and was 				implemented fully and properly;
(ii) 		Any retailer at which a violation was discovered allowed survey inspectors to take 		samples and inspect labels; and
(iii) 	For truck loading terminals and truck distributors that perform oxygenate blending, additional quality assurance procedures and practices were in place, such as regular checks to reconcile volumes of ethanol in inventory and regular checks of equipment for proper ethanol blend rates.

§ 80.1508  	What evidence may be used to determine compliance with the requirements
      of this subpart and liability for violations of this subpart?
(a) 	Compliance with the requirements of this subpart pertaining to the ethanol content of gasoline shall be determined based on the ethanol level of the gasoline, measured using the methodologies specified in § 80.46(g).  Any evidence or information, including the exclusive use of such evidence or information, may be used to establish the ethanol content of gasoline if the evidence or information is relevant to whether the ethanol content of gasoline would have been in compliance with the requirements of this subpart if the appropriate sampling and testing methodology had been correctly performed.  Such evidence may be obtained from any source or location and may include, but is not limited to, test results using methods other than those specified in § 80.46(g), business records, and commercial documents.
(b) 	Determinations of compliance with the requirements of this subpart other than those pertaining to the ethanol content of gasoline, and determinations of liability for any violation of this subpart, may be based on information obtained from any source or location.  Such information may include, but is not limited to, business records and commercial documents.


[Federal Register Volume 88, Number 93 (Monday, May 15, 2023)]
[Notices]
[Pages 30967-30968]
[FR Doc No: 2023-10272]

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ENVIRONMENTAL PROTECTION AGENCY

[EPA R9-2022-01; FRL-10948-01-R9]

Notice of Proposed Administrative Settlement Agreement for
Recovery of Response Costs at the Omega Chemical Corporation Superfund
Site in Los Angeles County, California

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of proposed settlement; request for public comment and
opportunity for public meeting.

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SUMMARY: In accordance with the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended (``CERCLA''), and
the Resource Conservation and Recovery Act (``RCRA''), notice is hereby
given that the Environmental Protection Agency (``EPA''), has entered
into a proposed settlement, embodied in an Administrative Settlement
Agreement for Recovery of Response Costs (``Settlement Agreement''),
with Powerine Oil Company and Lakeland Development Company. Under the
Settlement Agreement, Powerine and Lakeland agree to pay a total of
$150,000 to reimburse EPA for costs EPA has incurred at the Omega
Chemical Corporation Superfund Site (``Omega'').

DATES: Comments must be received on or before June 14, 2023. A request
for a public meeting must be made in writing before May 30, 2023.

ADDRESSES: Please contact Michael Massey at [email protected] or
(415) 972-3034 to request a copy of the Settlement Agreement. Comments
on the Settlement Agreement should be submitted in writing to Mr.
Massey at [email protected]. Comments should reference the Omega
Site and the EPA Docket Number for the Settlement Agreement, EPA R9-
2022-01. If for any reason you are not able to submit a comment by
email, please contact Mr. Massey at<PHONE_NUMBER> to make alternative
arrangements for submitting your comment. EPA will post its response to
comments at https://cumulis.epa.gov/supercpad/cursites/csitinfo.cfm?id=0903349, EPA's web page for the Omega Site.

FOR FURTHER INFORMATION CONTACT: Michael Massey, Assistant Regional
Counsel (ORC-3), Office of Regional Counsel, U.S. EPA Region IX, 75
Hawthorne Street, San Francisco, CA 94105; Email:
[email protected]; Phone<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION: Notice of this proposed Settlement Agreement
is made in accordance with section 122(i) of CERCLA, 42 U.S.C. 9622(i),
and section 7003(d) of RCRA, 42 U.S.C. 6973(d). The Settlement
Agreement concerns costs incurred by EPA in connection with Omega, a
CERCLA response action in Los Angeles County, California, where
groundwater contamination has come to be located. Powerine and
Lakeland, which agree to pay EPA a total of $150,000, are the only
parties to the Settlement Agreement. EPA has collected costs from other
responsible parties at Omega and intends further cost recovery from
additional parties in the future; however, because EPA is not
recovering one hundred percent of its past costs at this time, this
Settlement Agreement represents a compromise of EPA's costs.

The settlement includes a covenant not to sue pursuant to sections 106
and 107(a) of CERCLA, 42 U.S.C. 9606 and 9607(a), and section 7003 of
RCRA, 42 U.S.C. 6973(d). Under section 7003(d) of RCRA, a commenter may
request an opportunity for a public meeting in the affected area. EPA
will consider all comments received on the Settlement Agreement in
accordance with the DATES and ADDRESSES sections of this Notice and may
modify or withdraw its consent to the Settlement Agreement if comments
received disclose facts or considerations that indicate that the
settlement is inappropriate, improper, or inadequate.

    Dated: May 9, 2023.
Michael Montgomery,
Director, Superfund and Emergency Management Division, EPA Region 9.
[FR Doc. 2023-10272 Filed 5-12-23; 8:45 am]
BILLING CODE 6560-50-P


                                  Placeholder
   This .zip file has been sent to the Docket Office for upload to OneDrive
                        Air Quality Modeling (zip file)
Abstract: RIA Appendix A - Air Quality Modeling analysis files


[Federal Register Volume 86, Number 166 (Tuesday, August 31, 2021)]
[Notices]
[Pages 48693-48695]
[FR Doc No: 2021-18772]

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ENVIRONMENTAL PROTECTION AGENCY

[EPA-HQ-OPPT-2018-0436; FRL-8806-01-OCSPP]

Di-isononyl Phthalate (DINP); Final Scope of the Risk Evaluation
To Be Conducted Under the Toxic Substances Control Act (TSCA); Notice
of Availability

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice.

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SUMMARY: In accordance with the Toxic Substances Control Act (TSCA) and
implementing regulations, EPA is announcing the availability of the
final scope of the risk evaluation to be conducted for di-isononyl
phthalate (DINP) (1,2-benzene-dicarboxylic acid, 1,2-diisononyl ester,
and 1,2-benzenedicarboxylic acid, di-C8-10-branched alkyl esters, C9-
rich; Chemical Abstracts Service Registry Number (CASRN) 28553-12-0 and
CASRN

68515-48-0), a category of chemical substances for which EPA received a
manufacturer request for risk evaluation. The scope document includes
the conditions of use, hazards, exposures, and the potentially exposed
or susceptible subpopulations that EPA plans to consider in conducting
the risk evaluation for this category of chemical substances.

ADDRESSES: The docket, identified by docket identification (ID) number
EPA-HQ-OPPT-2018-0436, is available online at http://www.regulations.gov or in-person at the Office of Pollution Prevention
and Toxics Docket (OPPT Docket), Environmental Protection Agency Docket
Center (EPA/DC), West William Jefferson Clinton Bldg., Rm. 3334, 1301
Constitution Ave. NW, Washington, DC.
    Due to the public health concerns related to COVID-19, the EPA
Docket Center (EPA/DC) and Reading Room is closed to visitors with
limited exceptions. The staff continues to provide remote customer
service via email, phone, and webform. For the latest status
information on EPA/DC services and docket access, visit https://www.epa.gov/dockets.

FOR FURTHER INFORMATION CONTACT: For technical information contact:
Collin Beachum, Existing Chemical Risk Assessment Division (Mailcode
E205-02), Office of Pollution Prevention and Toxics, Environmental
Protection Agency, 109 T.W. Alexander Drive, RTP, NC 27711; telephone
number:<PHONE_NUMBER>; email address<EMAIL_ADDRESS>    For general information contact: The TSCA-Hotline, ABVI-Goodwill,
422 South Clinton Ave., Rochester, NY 14620; telephone number: (202)
554-1404; email address<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

I. General Information

A. Does this action apply to me?

    This action is directed to the public in general and may be of
interest to entities that manufacture (including import) a chemical
substance regulated under TSCA (e.g., entities identified under North
American Industrial Classification System (NAICS) codes 325 and
324110). The action may also be of interest to chemical processors,
distributors in commerce, and users; non-governmental organizations in
the environmental and public health sectors; state and local government
agencies; and members of the public. Since other entities may also be
interested, the Agency has not attempted to describe all the specific
entities and corresponding NAICS codes for entities that may be
interested in or affected by this action.

B. What is the Agency's authority for taking this action?

    The final scope document is issued pursuant to TSCA section
6(b)(4)(D) and EPA's implementing regulations at 40 CFR 702.41(c)(8).

C. What action is the Agency taking?

    EPA is publishing the final scope of the risk evaluation for DINP
under TSCA. Through the risk evaluation process, EPA will determine
whether the category of chemical substances presents an unreasonable
risk of injury to health or the environment under the conditions of
use, as determined by the Administrator, in accordance with TSCA
section 6(b)(4).

II. Background

    TSCA allows chemical manufacturers to request an EPA-conducted risk
evaluation of a chemical substance under 40 CFR 702.37. On May 24,
2019, EPA received a manufacturer request for a risk evaluation of DINP
(Ref. 1). On December 2, 2019, the Agency granted the request and
subsequently initiated the scoping process for a risk evaluation for
this category of chemical substances on January 2, 2020. Pursuant to 40
CFR 702.41(c)(7), EPA announced the availability of and sought public
comment on the draft scope document for the risk evaluation to be
conducted for DINP under TSCA (85 FR 76072, November 27, 2020) (FRL-
10017-15) (Ref. 2).
    The purpose of risk evaluation is to determine whether a chemical
substance, or group of chemical substances, presents an unreasonable
risk to health or the environment, under the conditions of use,
including an unreasonable risk to a relevant potentially exposed or
susceptible subpopulation (15 U.S.C. 2605(b)(4)(A)). As part of this
process, EPA must evaluate both hazards and exposures for the
conditions of use; describe whether aggregate or sentinel exposures
were considered and the basis for consideration; not consider costs or
other nonrisk factors; take into account where relevant, likely
duration, intensity, frequency, and number of exposures and describe
the weight of the scientific evidence for hazards and exposures (15
U.S.C. 2605(b)(4)(F)). This process will culminate in a determination
of whether or not the category of chemical substances presents an
unreasonable risk of injury to health or the environment under the
conditions of use (15 U.S.C. 2605(b)(4)(A); 40 CFR 702.47).

III. Information and Comments Received on the Draft Scope

    In the Federal Register of November 27, 2020 (Ref. 2), EPA
announced the availability of the draft scope document for the risk
evaluation to be conducted for DINP under TSCA and invited public
comments on EPA's draft scope document, including additional data or
information relevant to the category of chemical substances or that
otherwise could be useful to the Agency in finalizing the scope of the
risk evaluation. To the extent that comments provided information on
conditions of use, as well as other elements of the draft scope
document. Those comments and other submitted information (e.g.,
relevant studies and assessments) were used to inform revisions to the
draft scope document and may be considered in subsequent phases of the
risk evaluation process.
    EPA received six unique submissions for DINP, including comments
from potentially affected businesses or trade associations,
environmental and public health advocacy groups (some submissions were
signed by more than one group), a group of state attorneys general, and
one anonymous comment.
    Comments addressed the overall approach to the risk evaluation
process (e.g., collection, consideration, and systematic review of
relevant information), the specific elements of the scope document
(e.g., hazard, exposure, and potentially exposed or susceptible
subpopulations), information specific to the chemical substances (e.g.,
relevant studies, assessments, and conditions of use), and topics
beyond the draft scope document phase of the process (e.g., risk
management). EPA considered those comments, as applicable and
appropriate, in developing the final scope document. Concurrently with
the publication of the final scope document, EPA is publishing a
response to comments document that contains a comprehensive summary of
and response to public comments received on the DINP draft scope
document. The comprehensive response to comments document is available
in the docket EPA-HQ-OPPT-2019-0436 (Ref. 3).

IV. References

    The following is a listing of the documents that are specifically
referenced in this Federal Register notice. The docket for this action
includes these documents and other information considered by EPA,
including documents that are referenced

within the documents that are included in the docket. For assistance in
locating these referenced documents, please consult the technical
person listed under FOR FURTHER INFORMATION CONTACT.
    1. EPA. Di-isononyl Phthalate (DINP) (1,2-Benzene- dicarboxylic
acid, 1,2-diisononyl ester); Manufacturer Request for Risk Evaluation
Under the Toxic Substances Control Act (TSCA); Notice of Availability
and Request for Comments. Federal Register. (84 FR 42912, August 19,
2019) (FRL-9998-25).
    2. EPA. Di-isononyl phthalate (DINP); Draft Scope of the Risk
Evaluation To Be Conducted Under the Toxic Substances Control Act
(TSCA); Notice of Availability and Request for Comments. Federal
Register. (85 FR 76072, November 27, 2020) (FRL-10017-15).
    3. EPA. EPA Response to Public Comments Received on the Draft
Scopes of the Risk Evaluations Under the Toxic Substances Control Act
(TSCA) for: Di-isodecyl Phthalate (DIDP) (1,2-Benzenedicarboxylic acid,
1,2-diisodecyl ester and 1,2-Benzenedicarboxylic acid, di-C9-11-
branched alkyl esters, C10-rich) CASRN 26761-40-0 and 68515-49-1 and
Di-isononyl Phthalate (DINP) (1,2-Benzene-dicarboxylic acid, 1,2-
diisononyl ester, and 1,2-Benzenedicarboxylic acid, di-C8-10-branched
alkyl esters, C9-rich) CASRNs 28553-12-0 and 68515-48-0. (August 2021).
    Authority: 15 U.S.C. 2601 et seq.

Michael S. Regan,
Administrator.
[FR Doc. 2021-18772 Filed 8-30-21; 8:45 am]
BILLING CODE 6560-50-P


[Federal Register Volume 78, Number 211 (Thursday, October 31, 2013)]
[Rules and Regulations]
[Pages 65187-65190]
[FR Doc No: 2013-25130]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2013-0665; Directorate Identifier 2012-NM-082-AD;
Amendment 39-17634; AD 2013-22-02]
RIN 2120-AA64

Airworthiness Directives; Airbus Airplanes

AGENCY: Federal Aviation Administration (FAA), Department of
Transportation (DOT).

ACTION: Final rule.

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SUMMARY: We are adopting a new airworthiness directive (AD) for all
Airbus Model A330-300 series airplanes and Model A340-200 and -300
series airplanes. This AD was prompted by reports of corrosion found on
certain trimmable horizontal stabilizer actuators (THSA), affecting the
ballscrew lower splines between the tie bar and the screw-jack. This AD
requires repetitive detailed inspections for corrosion of certain
THSAs, ballscrew integrity tests if necessary; and replacing any
affected THSA with a serviceable or new and improved THSA, if
necessary. We are issuing this AD to detect and correct corrosion of
the THSAs, which could lead, in the case of ballscrew rupture, to the
loss of transmission of THSA torque loads from the ballscrew to the
tie-bar, prompting THSA blowback, and possibly resulting in loss of
control of the airplane.

DATES: This AD becomes effective December 5, 2013.
    The Director of the Federal Register approved the incorporation by
reference of certain publications listed in this AD as of December 5,
2013.

ADDRESSES: You may examine the AD on the Internet at http://www.regulations.gov/#!docketDetail;D=FAA-2013-0665 or in person at the
U.S. Department of Transportation, Docket Operations, M-30, West
Building Ground Floor, Room W12-140, 1200 New Jersey Avenue SE.,
Washington, DC.
    For Airbus service information identified in this AD, contact
Airbus SAS, Airworthiness Office--EAL, 1 Rond Point Maurice Bellonte,
31707 Blagnac Cedex, France; telephone +33 5 61 93 36 96; fax +33 5 61
93 45 80; email<EMAIL_ADDRESS>Internet http://www.airbus.com. For Goodrich service information identified in this AD,
contact Goodrich Corporation, Actuation Systems, Product Support
Department 13, Avenue de L'Eguillette--Saint-Ouen L'Aumone Boite
Postale 7186 95056, Cergy Pontoise Cedex, France; fax: 33-1-34326310.
You may view this referenced service information at the FAA, Transport
Airplane Directorate, 1601 Lind Avenue SW., Renton, WA. For information
on the availability of this material at the FAA, call<PHONE_NUMBER>.

FOR FURTHER INFORMATION CONTACT: Vladimir Ulyanov, Aerospace Engineer,
International Branch, ANM-116, Transport Airplane Directorate, FAA,
1601 Lind Avenue SW., Renton, WA 98057-3356; telephone<PHONE_NUMBER>;
fax<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Discussion

    We issued a notice of proposed rulemaking (NPRM) to amend 14 CFR
part 39 by adding an AD that would apply to the specified products. The
NPRM published in the Federal Register on August 1, 2013 (78 FR 46543).
The NPRM proposed to correct an unsafe condition for the specified
products.
    The European Aviation Safety Agency (EASA), which is the Technical
Agent for the Member States of the European Community, has issued EASA
Airworthiness Directive 2012-0061R1, dated November 30, 2012 (referred
to after this as the Mandatory Continuing Airworthiness Information, or
``the MCAI''), to correct an unsafe condition for the specified
products. The MCAI states:

    Some Trimmable Horizontal Stabilizer Actuators (THSA), Part
Number (P/N) 47147-500, have been found with corrosion, affecting
the ballscrew lower splines between the tie bar and the screw-jack.
    The results of the technical investigations have identified that
the corrosion was caused by a combination of:

--Contact/friction between the tie bar and the inner surface of the
ballscrew leading to the removal of Molykote (corrosion protection)
at the level of the tie bar splines,
--Humidity ingress initiating surface oxidation starting from areas
where Molykote is removed, and
--Water retention in THSA lower part leading to corrosion spread out
and to the creation of a brown deposit (iron oxide).

    The results of the technical investigations have also concluded
that THSA P/N 47147-500 and P/N 47147-700 ballscrews might be
affected by this corrosion issue.
    THSA P/N 47147-400 ballscrews might be affected as well, but
should no longer be in service, and modified into P/N 47147-500, as
required by EASA AD 2010-0192 and EASA AD 2010-0193 [and as required
by FAA AD 2005-07-04, Amendment 39-14028 (70 FR 16104, March 30,
2005)].
    This condition, if not detected and corrected, may lead, in case
of ballscrew rupture, to loss of transmission of THSA torque loads
from the ballscrew to the tie-bar, prompting THSA blowback, possibly
resulting in loss of control of the aeroplane.
    To correct this potential unsafe condition, EASA issued AD 2012-
0061 to require repetitive [detailed] visual inspections of the
ballscrew lower splines of THSA having P/N 47147-500 or P/N 47147-
700 to detect corrosion and, depending on findings [ballscrew
integrity tests], the accomplishment of applicable corrective
actions [replacing the affected THSA with a serviceable or improved
THSA].
    Since that [EASA] AD [2012-0061] was issued, Airbus published
new Service Bulletin (SB) A330-27-3194 or Airbus SB A340-27-4187
(Airbus modification 202802), which allow installation in service of
an improved THSA P/N 47172-530.
    For the reasons described above, this [EASA] AD [2012-0061R1] is
revised to specify that installation of THSA P/N 47172-530 is an
alternative (optional) terminating action to the repetitive
inspections required by this AD.

    You may examine the MCAI in the AD docket on the Internet at http://www.regulations.gov/#!documentDetail;D=FAA-2013-0665-0002.

Relevant Service Information

    We have received Airbus Mandatory Service Bulletins A330-27-3179
and A340-27-4175, both Revision 01, both dated June 13, 2013; which
specify no additional work. We have updated paragraphs (g), (i), and
(n) of this final rule to reference this service information. We have
also added new paragraph (m) to this final rule to allow credit for the
actions specified in paragraphs (g), (i), and (n) of this final rule,
if those actions were performed before the effective date of this AD
using Airbus Mandatory Service Bulletins A330-27-3179, dated February
14, 2012; or A340-27-4175, dated February 14, 2012. Subsequent
paragraphs have been re-designated accordingly.

Comments

    We gave the public the opportunity to participate in developing
this AD. We received no comments on the NPRM (78 FR 46543, August 1,
2013) or on the determination of the cost to the public.

Conclusion

    We reviewed the available data and determined that air safety and
the

public interest require adopting this AD with the changes described
previously and minor editorial changes. We have determined that these
changes:
     Are consistent with the intent that was proposed in the
NPRM (78 FR 46543, August 1, 2013) for correcting the unsafe condition;
and
     Do not add any additional burden upon the public than was
already proposed in the NPRM (78 FR 46543, August 1, 2013).

Costs of Compliance

    Based on the service information, we estimate that this AD affects
about 30 products of U.S. registry. We also estimate that it takes
about 6 work-hours per product to comply with the basic requirements of
this AD. The average labor rate is $85 per work-hour. Based on these
figures, we estimate the cost of this AD on U.S. operators to be
$15,300, or $510 per product.
    In addition, we estimate that any necessary follow-on actions would
take about 13 work-hours and require parts costing up to $722,556 for a
cost of up to $723,661 per product. We have no way of determining the
number of products that may need these actions.

Paperwork Reduction Act

    A federal agency may not conduct or sponsor, and a person is not
required to respond to, nor shall a person be subject to penalty for
failure to comply with a collection of information subject to the
requirements of the Paperwork Reduction Act unless that collection of
information displays a current valid OMB control number. The control
number for the collection of information required by this AD is 2120-
0056. The paperwork cost associated with this AD has been detailed in
the Costs of Compliance section of this document and includes time for
reviewing instructions, as well as completing and reviewing the
collection of information. Therefore, all reporting associated with
this AD is mandatory. Comments concerning the accuracy of this burden
and suggestions for reducing the burden should be directed to the FAA
at 800 Independence Ave. SW., Washington, DC 20591. ATTN: Information
Collection Clearance Officer, AES-200.

Authority for This Rulemaking

    Title 49 of the United States Code specifies the FAA's authority to
issue rules on aviation safety. 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.
    We are issuing this rulemaking under the authority described in
``Subtitle VII, Part A, Subpart III, Section 44701: General
requirements.'' Under that section, Congress charges the FAA with
promoting safe flight of civil aircraft in air commerce by prescribing
regulations for practices, methods, and procedures the Administrator
finds necessary for safety in air commerce. This regulation is within
the scope of that authority because it addresses an unsafe condition
that is likely to exist or develop on products identified in this
rulemaking action.

Regulatory Findings

    We determined that this AD will not have federalism implications
under Executive Order 13132. This AD will not have a substantial direct
effect on the States, on the relationship between the national
government and the States, or on the distribution of power and
responsibilities among the various levels of government.
    For the reasons discussed above, I certify that this AD:
    1. Is not a ``significant regulatory action'' under Executive Order
12866;
    2. Is not a ``significant rule'' under the DOT Regulatory Policies
and Procedures (44 FR 11034, February 26, 1979);
    3. Will not affect intrastate aviation in Alaska; and
    4. Will not have a significant economic impact, positive or
negative, on a substantial number of small entities under the criteria
of the Regulatory Flexibility Act.
    We prepared a regulatory evaluation of the estimated costs to
comply with this AD and placed it in the AD docket.

Examining the AD Docket

    You may examine the MCAI in the AD docket on the Internet at http://www.regulations.gov/#!documentDetail;D=FAA-2013-0665-0002; or in
person at the Docket Operations office between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays. The AD docket contains
this AD, the MCAI, the regulatory evaluation, any comments received,
and other information. The street address for the Docket Operations
office (telephone<PHONE_NUMBER>) is in the ADDRESSES section.

List of Subjects in 14 CFR Part 39

    Air transportation, Aircraft, Aviation safety, Incorporation by
reference, Safety.

Adoption of the Amendment

    Accordingly, under the authority delegated to me by the
Administrator, the FAA amends 14 CFR part 39 as follows:

PART 39--AIRWORTHINESS DIRECTIVES

0
1. The authority citation for part 39 continues to read as follows:

    Authority:  49 U.S.C. 106(g), 40113, 44701.

Sec.  39.13  [Amended]

0
2. The FAA amends Sec.  39.13 by adding the following new AD:

2013-22-02 Airbus: Amendment 39-17634. Docket No. FAA-2013-0665;
Directorate Identifier 2012-NM-082-AD.

(a) Effective Date

    This airworthiness directive (AD) becomes effective December 5,
2013.

(b) Affected ADs

    None.

(c) Applicability

    This AD applies to Airbus Model A330-301, -302, -303, -321, -
322, -323, -341, -342, and -343 airplanes; and Model A340-211, -212,
-213, -311, -312, and -313 airplanes; certificated in any category;
all manufacturer serial numbers.

(d) Subject

    Air Transport Association (ATA) of America Code 27, Flight
controls.

(e) Reason

    This AD was prompted by reports of corrosion found on certain
trimmable horizontal stabilizer actuators (THSA), affecting the
ballscrew lower splines between the tie bar and the screw-jack. We
are issuing this AD to detect and correct corrosion of the THSAs,
which could lead, in the case of ballscrew rupture, to loss of
transmission of THSA torque loads from the ballscrew to the tie-bar,
prompting THSA blowback, and possibly resulting in loss of control
of the airplane.

(f) Compliance

    You are responsible for having the actions required by this AD
performed within the compliance times specified, unless the actions
have already been done.

(g) Repetitive Inspections

    At the applicable time specified in paragraph (g)(1) or (g)(2)
of this AD, except as required by paragraphs (h)(1) and (h)(2) of
this AD: Do a detailed inspection of the gaps between the screw
shaft and tie rod teeth of any THSA having part numbers (P/N) 47147-
500 and 47147-700, to determine if the corrosion condition is Type
I, Type II, or Type III, in accordance with the Accomplishment
Instructions of Airbus Mandatory Service Bulletin A330-27-3179,
Revision 01, dated June 13, 2013 (for Model A330-301, -302, -303, -
321, -322, -323, -341, -342, and -343 airplanes); or A340-27-4175,
Revision 01, dated June 13, 2013 (for Model A340-211, -212, -213, -
311, -312, and -313 airplanes); and the Accomplishment Instructions
and flowchart

following the Accomplishment Instructions of Goodrich Actuation
Systems Service Bulletin 47147-27-18, dated February 17, 2012.
Repeat the inspection thereafter at intervals not to exceed 24
months until the modification specified in paragraph (k) is done.
    (1) For any THSA, which, as of the effective date of this AD,
has accumulated less than 156 months since its first flight on an
airplane as THSA P/N 47147-400, or since its first flight after the
modification specified in the Accomplishment Instructions of Airbus
Mandatory Service Bulletin A330-27-3052 or A340-27-4059 has been
done: Do the inspection before the accumulation of 156 months but
not before the accumulation of 132 months since first flight on an
airplane as THSA P/N 47147-400, or since the THSA's first flight
after the modification specified in the Accomplishment Instructions
of Airbus Mandatory Service Bulletin A330-27-3052 or A340-27-4059
has been done; or within 3 months after the effective date of this
AD; whichever occurs later.
    (2) For any THSA, which, as of the effective date of this AD,
has accumulated 156 months or more since its first flight on an
airplane as THSA P/N 47147-400, or since its first flight after the
modification specified in the Accomplishment Instructions of Airbus
Mandatory Service Bulletin A330-27-3052 or A340-27-4059 has been
done: Do the inspection within 3 months after the effective date of
this AD.

(h) Compliance Time Exceptions

    (1) Some THSAs having P/N 47147-500 (and further derivative with
P/N 47147-700) were originally THSA P/N 47147-400 and were
subsequently modified in service. In this case, the time accumulated
by any THSA must be calculated from the first installation on
airplanes as THSA P/N 47147-400.
    (2) Some THSAs having P/N 47147-500 (and further derivative with
P/N 47147-700) were originally THSA P/N 47147-200, -210, -213, -300,
-303, or -350 and were subsequently modified in service as specified
in the Accomplishment Instructions of Airbus Mandatory Service
Bulletin A330-27-3052 or A340-27-4059. In this case, the time
accumulated by any THSA must be calculated from the first flight on
an airplane after the THSA has been modified as specified in the
Accomplishment Instructions of Airbus Mandatory Service Bulletin
A330-27-3052 or A340-27-4059.

(i) Ballscrew Integrity Test and Corrective Actions

    If, during any inspection required by paragraph (g) of this AD,
it is determined that a THSA has Type II or Type III corrosion:
Before further flight, do a ballscrew integrity test, in accordance
with the Accomplishment Instructions of Airbus Mandatory Service
Bulletin A330-27-3179, Revision 01, dated June 13, 2013 (for Model
A330-301, -302, -303, -321, -322, -323, -341, -342, and -343
airplanes); or A340-27-4175, Revision 01, dated June 13, 2013 (for
Model A340-211, -212, -213, -311, -312, and -313 airplanes).
    (1) For THSAs having Type II or Type III corrosion, and on which
the results of the ballscrew integrity test were not correct, as
specified in the Accomplishment Instructions of Airbus Mandatory
Service Bulletin A330-27-3179, Revision 01, dated June 13, 2013 (for
Model A330-301, -302, -303, -321, -322, -323, -341, -342, and -343
airplanes); or A340-27-4175, Revision 01, dated June 13, 2013 (for
Model A340-211, -212, -213, -311, -312, and -313 airplanes): Before
further flight, replace the affected THSA with a new or serviceable
THSA, in accordance with the Accomplishment Instructions of Airbus
Mandatory Service Bulletin A330-27-3179, Revision 01, dated June 13,
2013 (for Model A330-301, -302, -303, -321, -322, -323, -341, -342,
and -343 airplanes); or A340-27-4175, Revision 01, dated June 13,
2013 (for Model A340-211, -212, -213, -311, -312, and -313
airplanes).
    (2) For THSAs having Type III corrosion, and on which the
results of the ballscrew integrity test are correct, as specified in
the Accomplishment Instructions of Airbus Mandatory Service Bulletin
A330-27-3179, Revision 01, dated June 13, 2013 (for Model A330-301,
-302, -303, -321, -322, -323, -341, -342, and -343 airplanes); or
A340-27-4175, Revision 01, dated June 13, 2013 (for Model A340-211,
-212, -213, -311, -312, and -313 airplanes): Within 10 days after
the most recent inspection, replace the THSA with a new or
serviceable THSA, in accordance with the Accomplishment Instructions
of Airbus Mandatory Service Bulletin A330-27-3179, Revision 01,
dated June 13, 2013 (for Model A330-301, -302, -303, -321, -322, -
323, -341, -342, and -343 airplanes); or A340-27-4175, Revision 01,
dated June 13, 2013 (for Model A340-211, -212, -213, -311, -312, and
-313 airplanes).
    (3) For THSAs having Type II corrosion, and on which the results
of the ballscrew integrity test are correct: Within 24 months or
4,400 flight cycles after the most recent inspection, whichever
occurs first, replace the THSA with a new or serviceable THSA, in
accordance with the Accomplishment Instructions of Airbus Mandatory
Service Bulletin A330-27-3179, Revision 01, dated June 13, 2013 (for
Model A330-301, -302, -303, -321, -322, -323, -341, -342, and -343
airplanes); or A340-27-4175, Revision 01, dated June 13, 2013 (for
Model A340-211, -212, -213, -311, -312, and -313 airplanes).

(j) Replacement of a THSA Is Not Terminating Action

    Replacement of a THSA with a THSA having P/N 47147-500 or 47147-
700 does not constitute a terminating action for the repetitive
inspections required by paragraph (g) of this AD.

(k) Optional Terminating Modification

    (1) Replacing any THSA having P/N 47147-500 with a new improved
THSA having P/N 47172-300 (Airbus modification 200238), in
accordance with the Accomplishment Instructions of Airbus Service
Bulletin A330-27-3182 (for Model A330-301, -302, -303, -321, -322, -
323, -341, -342, and -343 airplanes); or A340-27-4178 (for Model
A340-211, -212, -213, -311, -312, and -313 airplanes); both dated
February 14, 2012; terminates the repetitive inspections required by
paragraph (g) of this AD.
    (2) Replacing any THSA having P/N 47147-700 with a new improved
THSA having P/N 47172-530 (Airbus modification 202802), in
accordance with the Accomplishment Instructions of Airbus Service
Bulletin A330-27-3194 (for Model A330-301, -302, -303, -321, -322, -
323, -341, -342, and -343 airplanes); or A340-27-4187 (for Model
A340-211, -212, -213, -311, -312, and -313 airplanes); both dated
October 8, 2012; terminates the repetitive inspections required by
paragraph (g) of this AD.

(l) Parts Installation Limitation

    As of the effective date of this AD, no person may install a
THSA, P/N 47147-500 or P/N 47147-700, on any airplane, unless the
THSA is classified as Type I (no corrosion), in accordance with the
criteria defined in Goodrich Actuation Systems Service Bulletin
47147-27-18, dated February 17, 2012; and thereafter inspected in
accordance with the requirements of paragraph (g) of this AD and any
applicable actions required by paragraph (i) of this AD are
accomplished.

(m) Credit for Previous Actions

    (1) This paragraph provides credit for the actions specified in
paragraphs (g), (i), and (n) of this AD, if those actions were
performed before the effective date of this AD using Airbus
Mandatory Service Bulletin A330-27-3179, dated February 14, 2012,
which is not incorporated by reference in this AD.
    (2) This paragraph provides credit for the actions specified in
paragraphs (g), (i), and (n) of this AD, if those actions were
performed before the effective date of this AD using Airbus
Mandatory Service Bulletin A340-27-4175, dated February 14, 2012,
which is not incorporated by reference in this AD.

(n) Reporting

    Submit a report of the findings (both positive and negative) of
the inspection required by paragraph (g) of this AD to Airbus, at
the applicable time specified in paragraph (n)(1) or (n)(2) of this
AD, using Appendix 01 of Airbus Mandatory Service Bulletin A330-27-
3179, Revision 01, dated June 13, 2013 (for Model A330-301, -302, -
303, -321, -322, -323, -341, -342, and -343 airplanes); or A340-27-
4175, Revision 01, dated June 13, 2013 (for Model A340-211, -212, -
213, -311, -312, and -313 airplanes).
    (1) If the inspection was done on or after the effective date of
this AD: Submit the report within 90 days after the inspection.
    (2) If the inspection was done before the effective date of this
AD: Submit the report within 90 days after the effective date of
this AD.

(o) Other FAA AD Provisions

    The following provisions also apply to this AD:
    (1) Alternative Methods of Compliance (AMOCs): The Manager,
International Branch, ANM-116, Transport Airplane Directorate, FAA,
has the authority to approve AMOCs for this AD, if requested using
the procedures found in 14 CFR 39.19. In accordance with 14 CFR
39.19, send your

request to your principal inspector or local Flight Standards
District Office, as appropriate. If sending information directly to
the International Branch, send it to ATTN: Vladimir Ulyanov,
Aerospace Engineer, International Branch, ANM-116, Transport
Airplane Directorate, FAA, 1601 Lind Avenue SW., Renton, WA 98057-
3356; telephone<PHONE_NUMBER>; fax<PHONE_NUMBER>. Information may
be emailed to<EMAIL_ADDRESS>Before using any
approved AMOC, notify your appropriate principal inspector, or
lacking a principal inspector, the manager of the local flight
standards district office/certificate holding district office. The
AMOC approval letter must specifically reference this AD.
    (2) Airworthy Product: For any requirement in this AD to obtain
corrective actions from a manufacturer or other source, use these
actions if they are FAA-approved. Corrective actions are considered
FAA-approved if they are approved by the State of Design Authority
(or their delegated agent). You are required to assure the product
is airworthy before it is returned to service.
    (3) Reporting Requirements: A federal agency may not conduct or
sponsor, and a person is not required to respond to, nor shall a
person be subject to a penalty for failure to comply with a
collection of information subject to the requirements of the
Paperwork Reduction Act unless that collection of information
displays a current valid OMB Control Number. The OMB Control Number
for this information collection is 2120-0056. Public reporting for
this collection of information is estimated to be approximately 5
minutes per response, including the time for reviewing instructions,
completing and reviewing the collection of information. All
responses to this collection of information are mandatory. Comments
concerning the accuracy of this burden and suggestions for reducing
the burden should be directed to the FAA at: 800 Independence Ave.
SW., Washington, DC 20591, Attn: Information Collection Clearance
Officer, AES-200.

(p) Related Information

    (1) Refer to Mandatory Continuing Airworthiness Information
(MCAI) EASA Airworthiness Directive 2012-0061R1, dated November 30,
2012, for related information. You may examine the MCAI in the AD
docket on the Internet at http://www.regulations.gov/#!documentDetail;D=FAA-2013-0665-0002.
    (2) Service information identified in this AD that is not
incorporated by reference may be obtained at the addresses specified
in paragraphs (q)(3) and (q)(4) of this AD.

(q) Material Incorporated by Reference

    (1) The Director of the Federal Register approved the
incorporation by reference (IBR) of the service information listed
in this paragraph under 5 U.S.C. 552(a) and 1 CFR part 51.
    (2) You must use this service information as applicable to do
the actions required by this AD, unless this AD specifies otherwise.
    (i) Airbus Mandatory Service Bulletin A330-27-3179, Including
Appendix 01, Revision 01, dated June 13, 2013.
    (ii) Airbus Service Bulletin A330-27-3182, dated February 14,
2012.
    (iii) Airbus Service Bulletin A330-27-3194, dated October 8,
2012.
    (iv) Airbus Mandatory Service Bulletin A340-27-4175, including
Appendix 01, Revision 01, dated June 13, 2013.
    (v) Airbus Service Bulletin A340-27-4178, dated February 14,
2012.
    (vi) Airbus Service Bulletin A340-27-4187, dated October 8,
2012.
    (vii) Goodrich Actuation Systems Service Bulletin 47147-27-18,
dated February 17, 2012.
    (3) For Airbus service information identified in this AD,
contact Airbus SAS, Airworthiness Office--EAL, 1 Rond Point Maurice
Bellonte, 31707 Blagnac Cedex, France; telephone +33 5 61 93 36 96;
fax +33 5 61 93 45 80; email<EMAIL_ADDRESS>
Internet http://www.airbus.com. For Goodrich Actuation Systems
service information identified in this AD, contact Goodrich
Corporation, Actuation Systems, Product Support Department 13,
Avenue de L'Eguillette--Saint-Ouen L'Aumone Boite Postale 7186
95056, Cergy Pontoise Cedex, France; fax: 33-1-34326310.
    (4) You may review copies of the service information at the FAA,
Transport Airplane Directorate, 1601 Lind Avenue SW., Renton, WA.
For information on the availability of this material at the FAA,
call<PHONE_NUMBER>.
    (5) You may view this service information that is incorporated
by reference at the National Archives and Records Administration
(NARA). For information on the availability of this material at
NARA, call<PHONE_NUMBER>, or go to: http://www.archives.gov/federal-register/cfr/ibr-locations.html.

    Issued in Renton, Washington, on October 15, 2013.
Jeffrey E. Duven,
Acting Manager, Transport Airplane Directorate, Aircraft Certification
Service.
[FR Doc. 2013-25130 Filed 10-30-13; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 87, Number 146 (Monday, August 1, 2022)]
[Notices]
[Pages 47016-47018]
[FR Doc No: 2022-16352]

=======================================================================
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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-95364; File No. SR-OCC-2022-009]

Self-Regulatory Organizations; The Options Clearing Corporation;
Notice of Filing of Proposed Rule Change by The Options Clearing
Corporation Concerning One Multiplier Options

July 26, 2022.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on July 18, 2022, The Options Clearing Corporation (``OCC'') 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 primarily by OCC. The Commission is publishing this
notice to solicit comments on the proposed rule change from interested
persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

I. Clearing Agency's Statement of the Terms of Substance of the
Proposed Rule Change

    This proposed rule change would amend provisions of OCC Rules to
accommodate the issuance, clearance and settlement of index options and
flexibly structured index options with an index multiplier of one
(collectively ``One Multiplier Options''). The proposed changes to
OCC's Rules are contained in Exhibit 5 to filing number SR-OCC-2022-
009. Material proposed to be added to OCC's Rules as currently in
effect is marked by underlining, and material proposed to be deleted is
marked with strikethrough text. All terms with initial capitalization
that are not otherwise defined herein have the same meaning as set
forth in the By-Laws and Rules.\3\
---------------------------------------------------------------------------

    \3\ OCC's By-Laws and Rules can be found on OCC's public
website: https://www.theocc.com/Company-Information/Documents-and-Archives/By-Laws-and-Rules.

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

II. Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change

    In its filing with the Commission, OCC 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. OCC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of these
statements.

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

(1) Purpose
    The Cboe Exchange (``Cboe'') received approval from the Commission
to list One Multiplier Options as a variation of currently-traded index
and index flex options.\4\ One Multiplier Options will be similar to
currently traded index and index flex options except that the
multiplier for such options will be one rather than 100. With the
proliferation of options with multipliers less than 100, OCC is
proposing to modify its Rules to explicitly allow for a corresponding
reduction in the automatic exercise threshold used for expiration
processing for these products.
---------------------------------------------------------------------------

    \4\ See Securities Exchange Act Release No. 34-91528 (April 9,
2021), 86 FR 19933 (April 15, 2021) (SR-CBOE-2020-117), and
Securities Exchange Act Release No. 34-993122 [sic] (September 24,
2021), 86 FR 54269 (September 30, 2021) (SR-CBOE-2021-041).
---------------------------------------------------------------------------

    OCC Rule 1804 provides expiration procedures for cash-settled
options. Rule 1804(b) establishes that expiring index options with
standard expiration dates will be automatically exercised on an
option's expiration date if it is in-the-money by $1.00 or more per
contract unless a Clearing Member instructs that any such option
contract should not be exercised. Options are exercised under this
section as an operational convenience for Clearing Members to
automatically exercise an option that is in-the-money by $1.00 or more,
but Clearing Members have the ability to prevent the exercise of an in-
the-money option that would otherwise be deemed exercised by submitting
contrary exercise instructions. OCC proposes to make Rule 1804(b)
applicable to One Multiplier Options that are not flexibly structured
index options. Rule 1804(c) addresses expiration processing for
expiring OTC index option contracts, flexibly structured index option
contracts, quarterly index option contracts, monthly index option
contracts, weekly index option contracts, and short term index options,
and these products will be subject to automatic exercise on an option's
expiration date if the option is in-the-money by the threshold amount
specified in the rule.\5\ By product design, the index product types
covered by Rule 1804(c) are automatically exercised if expiring option
contracts meets the exercise threshold established therein, and
Clearing Members do not have the ability to submit instructions to
prevent the exercise of an option that is in-the-money by the exercise
threshold amount. OCC proposes to make Rule 1804(c) applicable to
flexibly-structured One Multiplier Options.
---------------------------------------------------------------------------

    \5\ Currently, Rule 1804(c) establishes a $0.01 per contract
automatic exercise amount for OTC index options and a $1.00 per
contract automatic exercise amount for all other index option types
addressed in Rule 1804(c).
---------------------------------------------------------------------------

    With the exception of OTC index options, Rule 1804(b) and (c) set
$1.00 per contract as the threshold amount to determine if an expiring
index option contract will be deemed exercised immediately prior to the
expiration time of the index option, meaning such options will be
exercised if the Exercise Settlement Amount of such option is $1.00 or
more. As defined in Article XVII Section 1 of the OCC By-Laws, the
Exercise Settlement Amount is the difference between the aggregate
exercise price and the aggregate index value on the day of exercise.
The $1.00 amount provided in Rule 1804(b) and (c) serves as a threshold
amount to determine which option positions will be automatically
exercised. In other words, index option positions, other than OTC index
option positions which have an exercise threshold amount of $0.01 per
contract, will be deemed automatically exercised if the option is in-
the-money by $1.00 or more per contract on an option's expiration date.
    One Multiplier Options are 1/100th the size of most index option or
index flex option on the same underlying index. Whereas the standard
option has a multiplier of 100, One Multiplier Options will have a
multiplier of one, meaning that the exercise settlement amount for One
Multiplier Options will be determined as the difference between the
strike price (multiplied by one) and the index value (multiplied by
one). Due to the decrease in product size as the result of the smaller
multiplier, Cboe has requested a proportionate reduction to the
exercise threshold amount as established in Rule 1804(b) and (c).\6\
Consequently, OCC proposes to amend Rule 1804(b) and (c) to establish
an exercise threshold that is 1/100th the size of a standard option, or
$0.01 per contract for the One Multiplier Options.
---------------------------------------------------------------------------

    \6\ Pursuant to Rule 1804, OCC may change the exercise threshold
amounts by providing Clearing Members with notice of the new
threshold amount not less than 30 days prior to the effective date
of the new threshold amount. OCC provided such notice to Clearing
Members by posting OCC Information Memo #50046 on the OCC website on
February 11, 2022, stating that index options with a multiplier less
than 100 will have an exercise threshold of $0.01 per contract. Cboe
launched standard One Multiplier Options on March 14, 2022 and OCC
applied the $0.01 exercise threshold to the product at that time.
Given the proliferation of options with multipliers less than 100,
OCC is proposing this change to its Rules to explicitly state an
exercise threshold that should apply to each product with this
characteristic.
---------------------------------------------------------------------------

    To achieve this outcome, OCC proposes to amend Rule 1804 to state
that any index option with a multiplier of one will have an exercise
threshold of $0.01 per contract. The threshold amount for all other
options included in Rule 1804 will remain unchanged. To clearly
differentiate between the exercise amounts for options with a
multiplier of one from other options, OCC proposes to modify Rule
1804(b) and (c) to include separate subsections in Rule 1804(b)(1) and
(2) and Rule 1804(c)(1), (2) and (3).
    As noted previously, Rule 1804(b) and (c) allow OCC to establish a
different threshold amount by providing 30 days' prior notice to Index
Clearing Members. The proposed rule change will subsequently align the
exercise threshold in the rule with the exercise threshold for One
Multiplier Options established by previously providing the required 30
days' advance notice in the form of an Information Memo.
(2) Statutory Basis
    OCC believes that the proposed rule change is consistent with
Section 17A of the Act \7\ and the rules thereunder applicable to OCC.
Section 17A(b)(3)(F) of the Act \8\ requires, among other things, that
the rules of a clearing agency be designed to promote the prompt and
accurate clearance and settlement of securities transactions and, to
the extent applicable, derivative agreements, contracts, and
transactions. As described in greater detail above, the proposed rule
aligns OCC's Rules with respect to expiration processing with the
specifications of One Multiplier Options as established by Cboe.
Accordingly, OCC believes the proposed rule change is designed to
promote the prompt and accurate clearance and settlement of securities
and derivatives transactions in accordance with Section 17A(b)(3)(F) of
the Act.
---------------------------------------------------------------------------

    \7\ 15 U.S.C. 78q-1.
    \8\ 15 U.S.C. 78q-1(b)(3)(F).

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

(B) Clearing Agency's Statement on Burden on Competition

    Section 17A(b)(3)(I) of the Act \9\ requires that the rules of a
clearing agency not impose any burden on competition not necessary or
appropriate in furtherance of the purposes of the Act. OCC does not
believe that the proposed rule change would impose any burden on
competition not necessary or appropriate in furtherance of the purposes
of the Act. The proposed rule change would apply the automatic exercise
threshold of $0.01 uniformly to any index product with a multiplier
less than 100 traded on any exchange. Furthermore, the automatic
exercise threshold is used in expiration processing solely for the
operational convenience of OCC Clearing Members and thus does not
impact or impose any burden on competition.
---------------------------------------------------------------------------

    \9\ 15 U.S.C. 78q-1(b)(3)(I).
---------------------------------------------------------------------------

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

    Written comments on the proposed rule change were not and are not
intended to be solicited with respect to the proposed rule change and
none have been received.

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. The proposal shall not take effect until all
regulatory actions required with respect to the proposal are completed.

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 protected]. Please include
File Number SR-OCC-2022-009 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-OCC-2022-009. 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 website (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 website 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 filing also will be available for inspection
and copying at the principal office of OCC and on OCC's website at
https://www.theocc.com/Company-Information/Documents-and-Archives/By-Laws-and-Rules.
    All comments received will be posted without change. Persons
submitting comments are cautioned that we do not redact or edit
personal identifying information from comment submissions. You should
submit only information that you wish to make available publicly.
    All submissions should refer to File Number SR-OCC-2022-009 and
should be submitted on or before August 22, 2022.
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    \10\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2022-16352 Filed 7-29-22; 8:45 am]
BILLING CODE 8011-01-P