[Federal Register Volume 77, Number 82 (Friday, April 27, 2012)]
[Notices]
[Pages 25218-25224]
[FR Doc No: 2012-10158]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-66846; File No. SR-NYSEArca-2012-34]

Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
of Proposed Rule Change To List and Trade the Huntington US Equity
Rotation Strategy ETF and Huntington EcoLogical Strategy ETF Under NYSE
Arca Equities Rule 8.600

April 23, 2012.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Exchange Act'' or ``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice
is hereby given that, on April 12, 2012, NYSE Arca, Inc. (``Exchange''
or ``NYSE Arca'') 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 substantially prepared by the
Exchange. The Commission is publishing this notice to solicit comments
on the proposed rule change from interested persons.
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    \1\ 15 U.S.C.78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The Exchange proposes to list and trade the following under NYSE
Arca Equities Rule 8.600 (``Managed Fund Shares''): Huntington US
Equity Rotation Strategy ETF and Huntington EcoLogical Strategy ETF.
The text of the proposed rule change is available at the Exchange,
www.nyse.com, and the Commission's Public Reference Room.

II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, the self-regulatory organization
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 those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to list and trade shares (``Shares'') of the
following under NYSE Arca Equities Rule 8.600, which governs the
listing and trading of Managed Fund Shares: \3\ Huntington US Equity
Rotation Strategy ETF and Huntington EcoLogical Strategy ETF (each, a
``Fund'' and collectively, ``Funds'').\4\ The Funds will be actively
managed exchange-traded funds (``ETFs''). The Shares of each Fund will
be offered by Huntington Strategy Shares (``Trust''), a statutory trust
organized under the laws of the State of Delaware and registered with
the Commission as an open-end management investment company.\5\
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    \3\ A Managed Fund Share is a security that represents an
interest in an investment company registered under the Investment
Company Act of 1940 (15 U.S.C. 80a-1) (``1940 Act'') organized as an
open-end investment company or similar entity that invests in a
portfolio of securities selected by its investment adviser
consistent with its investment objectives and policies. In contrast,
an open-end investment company that issues Investment Company Units,
listed and traded on the Exchange under NYSE Arca Equities Rule
5.2(j)(3), seeks to provide investment results that correspond
generally to the price and yield performance of a specific foreign
or domestic stock index, fixed income securities index, or
combination thereof.
    \4\ The Commission has approved listing and trading on the
Exchange of a number of actively managed funds under NYSE Arca
Equities Rule 8.600. See, e.g., Securities Exchange Act Release Nos.
57801 (May 8, 2008), 73 FR 27878 (May 14, 2008) (SR-NYSEArca-2008-
31) (order approving Exchange listing and trading of twelve actively
managed funds of the WisdomTree Trust); 65468 (October 3, 2011), 76
FR 62873 (October 11, 2011) (SR-NYSEArca-2011-51) (order approving
listing and trading of TrimTabs Float Shrink ETF); 63076 (October
12, 2010), 75 FR 63874 (October 18, 2010) (SR-NYSEArca-2010-79)
(order approving listing of Cambria Global Tactical ETF).
    \5\ The Trust is registered under the 1940 Act. On April 6,
2012, the Trust filed with the Commission an amendment to the
Trust's Registration Statement on Form N-1A under the Securities Act
of 1933 (15 U.S.C. 77a) and under the 1940 Act relating to the Funds
(File Nos. 333-170750 and 811-22497) (``Registration Statement'').
The description of the operation of the Trust and the Funds herein
is based, in part, on the Registration Statement. As of the date of
this filing, the Trust has also filed an Amended and Restated
Application for an Order under Section 6(c) of the 1940 Act for
exemptions from various provisions of the 1940 Act and rules
thereunder (File No. 812-13785), dated April 3, 2012 (``Exemptive
Application''). See Investment Company Act Release No. 30032 (April
10, 2012). The Shares will not be listed on the Exchange until an
order (``Exemptive Order'') under the 1940 Act has been issued by
the Commission with respect to the Exemptive Application.
Investments made by the Funds will comply with the conditions set
forth in the Exemptive Order.
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    Huntington Asset Advisors, Inc. (``Adviser'') is the investment
adviser of each Fund and manages the investment portfolios of the
Funds. SEI Investments Distribution Co. (``Distributor'') is the
principal underwriter and distributor of the Funds' Shares. Citibank,
N.A. is the custodian (``Custodian'') for the Funds.
    Commentary .06 to Rule 8.600 provides that, if the investment
adviser to the investment company issuing Managed Fund Shares is
affiliated with a broker-dealer, such investment adviser shall erect a
``fire wall'' between the investment adviser and the broker-dealer with
respect to access to information concerning the composition and/or
changes to such investment company portfolio. In addition, Commentary
.06 further requires that personnel who make decisions on the open-end
fund's portfolio composition must be subject to procedures designed to
prevent the use and dissemination of material non-public information
regarding the open-end fund's portfolio.\6\ Commentary .06 to Rule
8.600 is similar to Commentary .03(a)(i) and (iii) to NYSE Arca
Equities Rule 5.2(j)(3); however, Commentary .06 in

connection with the establishment of a ``fire wall'' between the
investment adviser and the broker-dealer reflects the applicable open-
end fund's portfolio, not an underlying benchmark index, as is the case
with index-based funds. The Adviser is affiliated with two broker-
dealers and has implemented a fire wall with respect to each affiliated
broker-dealer regarding access to information concerning the
composition and/or changes to a Fund portfolio. In the event (a) the
Adviser becomes newly affiliated with a broker-dealer, or (b) any new
adviser or sub-adviser becomes affiliated with a broker-dealer, it will
implement a fire wall with respect to such broker-dealer regarding
access to information concerning the composition and/or changes to a
portfolio, and will be subject to procedures designed to prevent the
use and dissemination of material non-public information regarding such
portfolio.
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    \6\ An investment adviser to an open-end fund is required to be
registered under the Investment Advisers Act of 1940 (``Advisers
Act''). As a result, the Adviser and its related personnel are
subject to the provisions of Rule 204A-1 under the Advisers Act
relating to codes of ethics. This Rule requires investment advisers
to adopt a code of ethics that reflects the fiduciary nature of the
relationship to clients as well as compliance with other applicable
securities laws. Accordingly, procedures designed to prevent the
communication and misuse of non-public information by an investment
adviser must be consistent with Rule 204A-1 under the Advisers Act.
In addition, Rule 206(4)-7 under the Advisers Act makes it unlawful
for an investment adviser to provide investment advice to clients
unless such investment adviser has (i) adopted and implemented
written policies and procedures reasonably designed to prevent
violation, by the investment adviser and its supervised persons, of
the Advisers Act and the Commission rules adopted thereunder; (ii)
implemented, at a minimum, an annual review regarding the adequacy
of the policies and procedures established pursuant to subparagraph
(i) above and the effectiveness of their implementation; and (iii)
designated an individual (who is a supervised person) responsible
for administering the policies and procedures adopted under
subparagraph (i) above.
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Huntington US Equity Rotation Strategy ETF
    According to the Registration Statement, the Fund's investment
objective is to seek capital appreciation. Under normal conditions,\7\
the Fund will invest at least 80% of its net assets in the exchange-
listed common stocks of select companies organized in the U.S. and
included in the S&P Composite 1500[supreg] (``Companies''). The
Registration Statement states that the S&P Composite 1500 is a
combination of the following indices: the S&P 500[supreg]; the S&P
MidCap 400[supreg]; and the S&P SmallCap 600[supreg].\8\
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    \7\ The term ``under normal conditions'' includes, but is not
limited to, the absence of extreme volatility or trading halts in
the equity markets or the financial markets generally; operational
issues causing dissemination of inaccurate market information; or
force majeure type events such as systems failure, natural or man-
made disaster, act of God, armed conflict, act of terrorism, riot or
labor disruption or any similar intervening circumstance.
    \8\ The adjusted statistics for the S&P Composite 1500, the S&P
500, the S&P MidCap 400, and the S&P SmallCap 600 are as follows
(figures are as of April 4, 2012):
     For the S&P Composite 1500, the adjusted average market
capitalization of companies in the index was approximately $9.55
billion, and the adjusted median market capitalization was
approximately $2.24 billion. The adjusted market capitalization
range for the companies included in the S&P Composite 1500 was
approximately $10 million to $582.09 billion.
     For the S&P 500, the adjusted average market
capitalization of companies in the index was approximately $25.28
billion, and the adjusted median market capitalization was
approximately $11.65 billion. The adjusted market capitalization
range for the companies included in the S&P 500 was approximately
$1.08 billion to $582.09 billion.
     For the S&P MidCap 400, the adjusted average market
capitalization of companies in the index was approximately $2.94
billion, and the adjusted median market capitalization was
approximately $2.60 billion. The adjusted market capitalization
range for the companies included in the S&P MidCap 400 was
approximately $520 million to $9.47 billion.
     For the S&P SmallCap 600, the adjusted average market
capitalization of companies in the index was approximately $830
million, and the adjusted median market capitalization was
approximately $700 million. The adjusted market capitalization range
for the companies included in the S&P SmallCap 600 was approximately
$10 million to $3.17 billion.
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    The Fund will invest in Companies within each of the large-cap,
mid-cap, and small-cap U.S. equity market segments (each a ``Market
Segment''). The large-cap segment is represented by companies
comprising the S&P 500, the mid-cap segment is represented by companies
comprising the S&P MidCap 400, and the small-cap segment is represented
by the companies comprising the S&P SmallCap 600.
    The Fund will also invest in Companies operating in each of the ten
(10) sectors represented in the S&P Composite 1500. A sector is a large
grouping of companies operating within the market that share similar
characteristics. The ten (10) sectors comprising the S&P Composite 1500
are: Utilities, consumer staples, information technology, healthcare,
financials, energy, consumer discretionary, materials, industrials, and
telecommunication services (``Sectors'').
    As market conditions change, the Fund intends to rotate the
investment focus of the Fund so as to overweight its portfolio in
Companies comprising those Market Segments and Sectors that the Adviser
believes offer the greatest potential for capital appreciation in the
given market environment and underweight its portfolio in those Market
Segments and Sectors that the Adviser believes offer the least
potential for capital appreciation in that same market environment (as
described in more detail below). If the Fund's portfolio allocation to
a particular Market Segment or Sector exceeds that Market Segment's or
Sector's current weighting in the S&P Composite 1500, the Fund will be
``overweighting'' that Market Segment or Sector. Similarly, if the
Fund's portfolio allocation to a specific Market Segment or Sector is
less than that Market Segment's or Sector's current weighting in the
S&P Composite 1500, then the Fund will be ``underweighting'' that
Market Segment or Sector. The Adviser believes that these adjustments,
collectively, will position the Fund for continued capital appreciation
in the new market environment.
    The Adviser retains a broad mandate and discretion to invest in
Companies consistent with its evaluation of the capital appreciation
potential of the Market Segments and Sectors. The strategy of
overweighting and underweighting Sectors to maximize opportunities for
capital appreciation may result in the Fund investing greater than 25%
of its total assets in the equity securities of Companies operating in
one or more Sectors. Sectors are comprised of multiple individual
industries, and the Fund will not invest more than 25% of its total
assets in an individual industry.
    According to the Registration Statement, the Adviser will invest in
Companies consistent with its assessment of the capital appreciation
opportunities of each Market Segment and Sector. To determine the
percentage of the Fund's portfolio to invest in each Market Segment and
Sector, the Adviser will use ``top-down'' analysis (analyzing the
impact of economic trends before considering the performance of
individual stocks) to evaluate broad economic trends. These trends are
used to anticipate shifts in the business cycle. The Adviser also will
analyze each Market Segment and Sector to determine which Market
Segment(s) and Sector(s) may benefit the most from these trends and
business shifts over the next 12 months. Factors considered in
assessing each Market Segment and Sector include: (1) The relationship
between each Market Segment or Sector and the current business cycle;
(2) valuation levels; (3) earnings growth potential; and (4) analyses
of the Companies included in the respective Market Segments and
Sectors.
    The Adviser will monitor the market environment, Market Segments,
and Sectors and may rotate the Fund's investment focus by adjusting the
Fund's Market Segments and/or Sector weightings consistent with its
ongoing assessment of the capital appreciation potential of each Market
Segment and Sector. The Adviser may also rely, in part, on technical
analysis (such as analyzing and examining past price movements to
anticipate or forecast future price movements) to determine the timing
of any changes to the Market Segment and/or Sector weightings.
    The Fund will invest in those Companies within the Market Segments
and Sectors that offer the best potential for capital appreciation
based on the Adviser's evaluation of company fundamentals (including
historic earnings, revenue, cash flow, and valuation (such as price-
earnings ratio and book value)).
Huntington EcoLogical Strategy ETF
    According to the Registration Statement, the Fund's investment
objective is to seek capital appreciation.

Under normal conditions, the Fund will invest at least 80% of its net
assets in the exchange-listed equity securities of ecologically-focused
companies. The Fund will primarily (at least 65% of total assets)
invest in the U.S. exchange-listed common stock of ecologically-focused
companies organized in the U.S. (``U.S. Companies''). The Fund,
however, may also invest up to 35% of total assets in the exchange-
listed common stock (or the equivalent thereof) and sponsored American
Depositary Receipts (``ADRs'') \9\ of ecologically-focused companies
organized outside the U.S. (``Foreign Companies'').\10\ The Fund may
invest in companies of all sizes.
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    \9\ ADRs are securities issued by a U.S. bank or trust company
evidencing ownership of underlying securities issued by a foreign
company. ADRs are designed for use in U.S. securities markets.
    \10\ The foreign equity securities, including any depositary
receipts, in which the Funds may invest will be limited to
securities that trade in markets that are members of the Intermarket
Surveillance Group (``ISG''), which includes all U.S. national
securities exchanges and certain foreign exchanges, or are parties
to a comprehensive surveillance sharing agreement with the Exchange.
See notes 16 and 23, infra.
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    The Adviser will apply the following ecologically-focused criteria
to identify the equity securities of U.S. and Foreign Companies.
``Ecologically-focused companies'' are companies that have positioned
their business to respond to increased environmental legislation,
cultural shifts towards environmentally conscious consumption, and
capital investments in environmentally oriented projects. These
companies include, but are not limited to, all U.S. and Foreign
Companies that are components of one or more well-recognized
environmentally focused indices (such as the Dow Jones Sustainability
Indexes and the DB NASDAQ OMX Clean Tech Index).
    The Fund will also invest in ecologically-focused companies which
are not included in a well-recognized environmentally-focused index,
but generate at least \1/3\ of their revenues from activities aligned
with one or more of the following environmental themes (``Environmental
Themes''):
     Alternative renewable power such as solar, wind,
geothermal, hydro, or biomass;
     Alternative renewable fuel such as biofuel, biomass, or
hydrogen;
     Alternative engines such as electric, flywheel, or micro
turbines;
     Energy efficiency such as energy efficient building
materials, power, lighting, heating, or fuel;
     Resource conservation/healthier use of resources such as
recycling or renewable materials; and
     Healthy lifestyle, such as pollution control or organic
foods.
    A company that is not included in an environmentally-focused index
or does not generate \1/3\ of its revenue from activities aligned with
one or more Environmental Themes shall also be considered an
ecologically-focused company if the Adviser believes that
environmentally conscious trends such as a stronger demand for
chemical-free cleaning and farming, recycling, alternative fuel and
energy, energy efficiency, pollution control, or environmental cleanup/
restoration will positively impact that company's future revenue
(``Environmentally Conscious Companies''). Ecologically-focused
companies also include those companies that the Adviser believes
demonstrate sustainable environmental practices (``Other Environmental
Companies''). Sustainable environmental practices include, but are not
limited to, demonstrated progress in:
     Improving energy and resource efficiency;
     Reducing emissions from business operations;
     Financial and operational support of renewable materials
and less pollutive energy sources; or
     Using or promoting the use of efficient buildings
(measured by such labels as LEED or Energy Star).
    The Fund's investment in the securities of Environmentally
Conscious Companies and Other Environmental Companies will be limited
to 10% of the Fund's total assets.
    The strategy of investing in ecologically-focused companies may
result in the Fund investing greater than 25% of its total assets in
one or more market sectors. A sector is a large grouping of companies
operating within the market that share similar characteristics. The ten
most commonly recognized market sectors are: Utilities, consumer
staples, information technology, healthcare, financials, energy,
consumer discretionary, materials, industrials, and telecommunication
services. Sectors are comprised of multiple individual industries, and
the Fund will not invest more than 25% of its total assets in an
individual industry.
    According to the Registration Statement, the Adviser will review
company fundamentals and the composition of recognized environmentally-
focused indices to identify a universe of ecologically-focused
companies. Company fundamentals include factors reflective of a
company's financial condition, including balance sheets and income
statements, asset history, product or service development, and
management productivity. The Adviser also will examine annual
sustainability reports from companies, as well as supplemental
disclosures regarding environmental practices within corporate investor
relations materials.
    The Adviser will focus on ecologically-focused companies that it
believes have better than average potential for growth in sales and
profits. Historical financial statements (income, balance sheet, cash
flow) will serve as quantitative guides in the selection process.
Qualitative reviews of a company's competitive position and target
market potential also will influence portfolio decisions. The Fund
will, under most market conditions, include a blend of growth or
cyclical stocks held for price appreciation potential and dividend
growth stocks held for their potential to deliver a growing stream of
income.\11\ Factors regarding valuation such as price to sales ratios,
price to earnings ratios, and price to book ratios will influence the
size of the Fund's position in each company.
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    \11\ Growth stocks are shares in a company whose earnings are
expected to grow at an above-average rate relative to the market.
Cyclical stocks are shares in a company that rise quickly when
economic growth is strong and fall rapidly when growth is slowing
down.
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Other Permitted Investments, Investment Limitations, and Additional
Information
    Each Fund, to a lesser extent, may attempt to pursue its investment
objective by employing other investment strategies and by investing in
additional types of securities that are not otherwise part of its
principal investment strategies as described above. To the extent a
Fund's principal investment policies are satisfied, including but not
limited to its 80% investment policy, such Fund may also invest up to
20% of its total assets in the securities described below. However,
each Fund will also be subject to certain additional investment
limitations including those set forth below.
    A Fund may only purchase securities of any issuer only when
consistent with the maintenance of such Fund's status as a diversified
company under the 1940 Act, the rules or regulations thereunder, as
such statute, rules, or regulations may be amended from time to time,
or any applicable exemptive relief.\12\
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    \12\ Under Section 5(b)(1) of the 1940 Act, a fund may not (i)
with respect to 75% of its total assets, purchase securities of any
issuer (except securities issued or guaranteed by the U.S.
Government, its agencies or instrumentalities or shares of
investment companies) if, as a result, more than 5% of its total
assets would be invested in the securities of such issuer; or (ii)
acquire more than 10% of the outstanding voting securities of any
one issuer. For purposes of determining a Fund's compliance with
Section 5(b)(1), the issuer of the underlying security will be
deemed to be the issuer of any respective depositary receipt.

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    A Fund may not concentrate investments in a particular industry or
group of industries as concentration is defined under the 1940 Act, the
rules or regulations thereunder, as such statute, rules, or regulations
may be amended from time to time, or any applicable exemptive
relief.\13\
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    \13\ See Form N-1A, Item 9. The Commission has taken the
position that a fund is concentrated if it invests more than 25% of
the value of its total assets in any one industry. See, e.g.,
Investment Company Act Release No. 9011 (October 30, 1975), 40 FR
54241 (November 21, 1975). The Commission has also taken the
position that concentration of investment in an industry or group of
industries is not applicable to investments in tax-exempt securities
issued by governments or political subdivisions of governments since
such issuers are not members of any industry. See, e.g., Investment
Company Act Release No. 9785 (May 31, 1977). For purposes of
determining a Fund's compliance with its concentration policy, the
issuer of the underlying security will be deemed to be the issuer of
any respective depositary receipt.
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    A Fund may not hold in the aggregate more than 15% of its net
assets in illiquid investments, including Rule 144A securities and loan
participations.\14\ Further, in accordance with the Exemptive
Application, the Funds will not invest in options, futures, or swaps.
The Funds' investments will be consistent with the Funds' investment
objective and will not be used to enhance leverage.
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    \14\ The Commission has stated that long-standing Commission
guidelines have required open-end funds to hold no more than 15% of
their net assets in illiquid securities and other illiquid assets.
See Investment Company Act Release No. 28193 (March 11, 2008), 73 FR
14617 (March 18, 2008), footnote 34. See also Investment Company Act
Release No. 5847 (October 21, 1969), 35 FR 19989 (December 31, 1970)
(Statement Regarding ``Restricted Securities''); Investment Company
Act Release No. 18612 (March 12, 1992), 57 FR 9828 (March 20, 1992)
(Revisions of Guidelines to Form N-1A). A fund's portfolio security
is illiquid if it cannot be disposed of in the ordinary course of
business within seven days at approximately the value ascribed to it
by the fund. See Investment Company Act Release No. 14983 (March 12,
1986), 51 FR 9773 (March 21, 1986) (adopting amendments to Rule 2a-7
under the 1940 Act); Investment Company Act Release No. 17452 (April
23, 1990), 55 FR 17933 (April 30, 1990) (adopting Rule 144A under
the Securities Act of 1933).
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    According to the Registration Statement, each Fund will elect to be
treated, and intends to qualify each year, as a regulated investment
company (``RIC'') under Subchapter M of the Internal Revenue Code.\15\
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    \15\ 26 U.S.C. 851. Qualification as a RIC requires, among other
things, that a Fund: (i) Derive in each taxable year at least 90% of
its gross income from: (a) Dividends, interest, payments with
respect to certain securities loans, and gains from the sales or
other disposition of stock, securities or foreign currencies, or
other income (including but not limited to gain from options,
futures and forward contracts) derived with respect to its business
of investing in such stock, securities or foreign currencies; and
(b) net income derived from interests in certain publicly traded
partnerships that are treated as partnerships for U.S. federal
income tax purposes and that derive less than 90% of their gross
income from the items described in (a) above (each a ``Qualified
Publicly Traded Partnership''); and (ii) diversify its holdings so
that, at the end of each quarter of each taxable year: (a) At least
50% of the value of a Fund's total assets is represented by (I) cash
and cash items, U.S. government securities, the securities of other
regulated investment companies and (II) other securities, with such
other securities limited, in respect of any one issuer, to an amount
not greater than 5% of the value of a Fund's total assets and not
more than 10% of the outstanding voting securities of such issuer
and (b) not more than 25% of the value of a Fund's total assets is
invested in the securities (other than U.S. government securities
and the securities of other regulated investment companies) of (I)
any one issuer, (II) any two or more issuers that a Fund controls
and that are determined to be engaged in the same or similar trades
or businesses or related trades or businesses or (III) any one or
more Qualified Publicly Traded Partnerships.
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    Finally, each Fund may also invest up to 20% of total assets in
fixed income securities issued by companies organized in the U.S.,
including convertible securities that may be exchanged for or converted
into common stock, corporate debt securities, U.S. Government
securities, money market instruments, and zero coupon bonds. Each Fund
may invest in other investment company securities, including mutual
funds, consistent with the 1940 Act, the rules thereunder or relief
from the Commission, as well as repurchase and reverse repurchase
agreements. The Funds may also participate in foreign currency
transactions and purchase securities on a when-issued or delayed
delivery basis.
Permitted Investments and Investment Limitations Applicable to
Huntington US Equity Rotation Strategy ETF
    The Fund may invest up to 20% of total assets in equity securities,
other than common stock of Companies, including preferred stocks,
exchange-traded funds, interests in other business organizations, real
estate investment trusts, and other domestic equity securities which
the Adviser believes have equity characteristics (``Other Domestic
Equities'').
    The Fund may invest up to 20% of its total assets in the following
foreign securities which are issued by companies located outside of the
U.S. and principally traded in foreign markets: (i) Equity securities
and fixed income securities of foreign entities; (ii) obligations of
foreign branches of U.S. banks and foreign or domestic branches of
foreign banks including European Certificates of Deposit, European Time
Deposits, Canadian Time Deposits, Canadian Yankee Bonds, Canadian
Certificates of Deposit, and investments in Canadian commercial paper
and europaper; (iii) depositary receipts including ADRs, European
Depositary Receipts (``EDRs''), which are also known as Continental
Depositary Receipts (``CDRs''), and Global Depositary Receipts
(``GDRs'');\16\ (iv) securities issued or guaranteed by foreign
corporations or foreign governments, their political subdivisions,
agencies, and instrumentalities (e.g., fixed income securities
supported by national, state, or provincial governments, or similar
political subdivisions); (v) debt obligations of supranational
entities, including international organizations designed or supported
by governmental entities to promote economic reconstruction or
development, international banking institutions, and related government
agencies such as the International Bank for Reconstruction and
Development (World Bank), the Asian Development Bank, the European
Investment Bank, and the Inter-American Development Bank; and (vi)
fixed income securities of quasi-governmental agencies that are either
issued by entities owned by a national, state, or equivalent
government, or are obligations of a political unit that are not backed
by the national government's full faith and credit (collectively,
``Foreign Securities'').\17\
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    \16\ According to the Registration Statement, EDRs/CDRs are
securities typically issued by a non-U.S. financial institution and
evidence ownership interests in a security or a pool of securities
issued by either a U.S. or foreign issuer. GDRs are issued globally
and evidence a similar ownership arrangement. EDRs are designed for
trading in European securities markets, and GDRs are designed for
trading in non-U.S. securities markets.
    \17\ See note 10, supra, and note 23, infra.
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Permitted Investments and Investment Limitations Specific to Huntington
EcoLogical Strategy ETF
    The Fund may invest up to 20% of its total assets in Other Domestic
Equities and Foreign Securities other than those issued by Foreign
Companies permitted as part of the Fund's principal investment
strategies.\18\
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    \18\ See id.
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Creations and Redemptions
    Creations and redemptions of Shares will occur in large specified
blocks of Shares, referred to as ``Creation Units.'' A Creation Unit of
a Fund is currently comprised of 25,000 Shares of that Fund. The number
of Shares comprising a Creation Unit may change over time. According to
the Registration Statement, to purchase or redeem Creation Units
directly from a Fund, an investor must

be an Authorized Participant, or an investor must purchase the Shares
through a financial institution that is an Authorized Participant. An
``Authorized Participant'' is a participant in the Continuous Net
Settlement System of the National Securities Clearing Corporation
(``NSCC'') or the Depository Trust Company that has executed a
participant agreement with the Distributor that has been accepted by
the Trust's Custodian. Authorized Participants may purchase Creation
Units of a Fund and sell individual Shares on the NYSE Arca. Similarly,
Shares can only be redeemed in Creation Units. The prices at which
creations and redemptions occur are based on the next calculation of
net asset value (``NAV'') after an order in proper form is received by
the Distributor on any day that a Fund is open for business.
    Generally, a Creation Unit will be purchased or redeemed from a
Fund for a designated portfolio of securities along with a cash payment
(``Deposit Securities,'' in the case of purchases, and ``Redemption
Securities,'' in the case of redemptions). Generally, the Deposit
Securities and the Redemption Securities will correspond pro rata to
the portfolio securities of the applicable Fund. Purchases and
redemptions of Creation Units may be made in whole or in part on a cash
basis, rather than in-kind, under circumstances set forth in the
Registration Statement.
    The Shares will conform to the initial and continued listing
criteria under NYSE Arca Equities Rule 8.600. The Exchange represents
that, for initial and/or continued listing, each Fund will be in
compliance with Rule 10A-3 under the Exchange Act,\19\ as provided by
NYSE Arca Equities Rule 5.3. A minimum of 100,000 Shares for each Fund
will be outstanding at the commencement of trading on the Exchange. The
Exchange will obtain a representation from the issuer of the Shares
that the NAV will be calculated daily and that the NAV and the
Disclosed Portfolio, as defined in NYSE Arca Equities Rule 8.600(c)(2),
will be made available to all market participants at the same time.
---------------------------------------------------------------------------

    \19\ 17 CFR 240.10A-3.
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    Additional information regarding the Trust and the Shares,
including investment strategies, risks, creation and redemption
procedures, fees, portfolio holdings, disclosure policies,
distributions, and taxes is included in the Registration Statement. All
terms relating to the Funds that are referred to, but not defined in,
this proposed rule change are defined in the Registration Statement.
Net Asset Value
    According to the Registration Statement, the NAV per Share of a
Fund will be computed by dividing the value of the net assets of the
Fund (i.e., the value of its total assets less total liabilities) by
the total number of Shares of the Fund outstanding. The NAV per Share
for a Fund will be calculated by the Trust's fund accountant and
determined as of the close of the regular trading session on the NYSE
Arca (ordinarily 4 p.m., Eastern Time) on each day that the Exchange is
open.
Availability of Information
    The Funds' Web site (www.huntingtonstrategyshares.com), which will
be publicly available prior to the public offering of Shares, will
include a form of the prospectus for the Funds that may be downloaded.
The Funds' Web site will include additional quantitative information
updated on a daily basis, including, for each Fund, (1) daily trading
volume, the prior business day's reported closing price, NAV, and a
calculation of the premium and discount of the closing price against
the NAV, and (2) data in chart format displaying the frequency
distribution of discounts and premiums of the daily closing price
against the NAV, within appropriate ranges, for each of the four
previous calendar quarters.
    On each business day, before commencement of trading in Shares in
the Core Trading Session on the Exchange, the Funds will disclose on
their Web site the Disclosed Portfolio that will form the basis for the
Funds' calculation of NAV at the end of the business day.\20\ On a
daily basis, the Adviser will disclose on the Funds' Web site for each
portfolio security or other financial instrument of the Funds the
following information: ticker symbol (if applicable) and name of
security and financial instrument, the number of shares or dollar value
of each security and financial instrument held in the portfolio, and
percentage weighting of the security and financial instrument in the
portfolio. The Web site information will be publicly available at no
charge.
---------------------------------------------------------------------------

    \20\ Under accounting procedures followed by the Funds, trades
made on the prior business day (``T'') will be booked and reflected
in NAV on the current business day (``T+1''). Accordingly, the Funds
will be able to disclose at the beginning of the business day the
portfolio that will form the basis for the NAV calculation at the
end of the business day.
---------------------------------------------------------------------------

    In addition, a basket composition file, which includes the security
names and share quantities required to be delivered in exchange for
Fund Shares, together with estimated cash components, will be publicly
disseminated daily prior to the opening of the Core Trading Session of
the Exchange via the NSCC. The basket represents one Creation Unit of a
Fund. Investors can also obtain the Trust's Statement of Additional
Information (``SAI''), each Fund's Shareholder Reports, and its Form N-
CSR and Form N-SAR, filed twice a year. The Trust's SAI and Shareholder
Reports are available free upon request from the Trust, and those
documents and the Form N-CSR and Form N-SAR may be viewed on-screen or
downloaded from the Commission's Web site at www.sec.gov. Information
regarding market price and trading volume of the Shares will be
continually available on a real-time basis throughout the day on
brokers' computer screens and other electronic services. Information
regarding the previous day's closing price and trading volume
information for the Shares will be published daily in the financial
section of newspapers. Quotation and last-sale information for the
Shares will be available via the Consolidated Tape Association
(``CTA'') high-speed line. In addition, the Portfolio Indicative Value,
as defined in NYSE Arca Equities Rule 8.600(c)(3), will be widely
disseminated by one or more major market data vendors at least every 15
seconds during the Core Trading Session.\21\ The dissemination of the
Portfolio Indicative Value, together with the Disclosed Portfolio, will
allow investors to determine the value of the underlying portfolio of
the Funds on a daily basis and to provide a close estimate of that
value throughout the trading day. The intra-day, closing, and
settlement prices of the portfolio securities are also readily
available from the national securities exchanges trading such
securities, automated quotation systems, published or other public
sources, or on-line information services such as Bloomberg or Reuters.
---------------------------------------------------------------------------

    \21\ Currently, it is the Exchange's understanding that several
major market data vendors display and/or make widely available
Portfolio Indicative Values published on CTA or other data feeds.
---------------------------------------------------------------------------

Trading Halts
    With respect to trading halts, the Exchange may consider all
relevant factors in exercising its discretion to halt or suspend
trading in the Shares of the Funds.\22\ Trading in Shares of the Funds
will be halted if the circuit breaker parameters in NYSE Arca Equities
Rule 7.12 have been reached. Trading also may be halted because of
market conditions or for reasons that, in

the view of the Exchange, make trading in the Shares inadvisable. These
may include: (1) The extent to which trading is not occurring in the
securities and/or the financial instruments comprising the Disclosed
Portfolio of the Funds; or (2) whether other unusual conditions or
circumstances detrimental to the maintenance of a fair and orderly
market are present. Trading in the Shares will be subject to NYSE Arca
Equities Rule 8.600(d)(2)(D), which sets forth circumstances under
which Shares of the Funds may be halted.
---------------------------------------------------------------------------

    \22\ See NYSE Arca Equities Rule 7.12, Commentary .04.
---------------------------------------------------------------------------

Trading Rules
    The Exchange deems the Shares to be equity securities, thus
rendering trading in the Shares subject to the Exchange's existing
rules governing the trading of equity securities. Shares will trade on
the NYSE Arca Marketplace from 4:00 a.m. to 8:00 p.m. Eastern Time in
accordance with NYSE Arca Equities Rule 7.34 (Opening, Core, and Late
Trading Sessions). The Exchange has appropriate rules to facilitate
transactions in the Shares during all trading sessions. As provided in
NYSE Arca Equities Rule 7.6, Commentary .03, the minimum price
variation (``MPV'') for quoting and entry of orders in equity
securities traded on the NYSE Arca Marketplace is $0.01, with the
exception of securities that are priced less than $1.00 for which the
MPV for order entry is $0.0001.
Surveillance
    The Exchange intends to utilize its existing surveillance
procedures applicable to derivative products (which include Managed
Fund Shares) to monitor trading in the Shares. The Exchange represents
that these procedures are adequate to properly monitor Exchange trading
of the Shares in all trading sessions and to deter and detect
violations of Exchange rules and applicable federal securities laws.
    The Exchange's current trading surveillance focuses on detecting
securities trading outside their normal patterns. When such situations
are detected, surveillance analysis follows and investigations are
opened, where appropriate, to review the behavior of all relevant
parties for all relevant trading violations.
    The Exchange may obtain information via the ISG from other
exchanges that are members of ISG or with which the Exchange has in
place a comprehensive surveillance sharing agreement.\23\ All of the
primary equity investments to be held by each Fund, as well as the non-
U.S.-listed equity securities, including any depositary receipts, held
by each Fund will trade in markets that are ISG members or are parties
to a comprehensive surveillance sharing agreement with the Exchange.
---------------------------------------------------------------------------

    \23\ For a list of the current members of ISG, see http://www.isgportal.org. The Exchange notes that not all components of the
Disclosed Portfolio for the Funds may trade on markets that are
members of ISG or with which the Exchange has in place a
comprehensive surveillance sharing agreement.
---------------------------------------------------------------------------

    In addition, the Exchange also has a general policy prohibiting the
distribution of material, non-public information by its employees.
Information Bulletin
    Prior to the commencement of trading, the Exchange will inform its
Equity Trading Permit (``ETP'') Holders in an Information Bulletin
(``Bulletin'') of the special characteristics and risks associated with
trading the Shares. Specifically, the Bulletin will discuss the
following: (1) The procedures for purchases and redemptions of Shares
in Creation Unit aggregations (and that Shares are not individually
redeemable); (2) NYSE Arca Equities Rule 9.2(a), which imposes a duty
of due diligence on its ETP Holders to learn the essential facts
relating to every customer prior to trading the Shares; (3) the risks
involved in trading the Shares during the Opening and Late Trading
Sessions when an updated Portfolio Indicative Value will not be
calculated or publicly disseminated; (4) how information regarding the
Portfolio Indicative Value is disseminated; (5) the requirement that
ETP Holders deliver a prospectus to investors purchasing newly issued
Shares prior to or concurrently with the confirmation of a transaction;
and (6) trading information.
    In addition, the Bulletin will reference that the Funds are subject
to various fees and expenses described in the Registration Statement.
The Bulletin will discuss any exemptive, no-action, and interpretive
relief granted by the Commission from any rules under the Exchange Act.
The Bulletin will also disclose that the NAV for the Shares will be
calculated after 4:00 p.m. Eastern Time each trading day.
2. Statutory Basis
    The basis under the Exchange Act for this proposed rule change is
the requirement under Section 6(b)(5) \24\ that an exchange have rules
that are designed to prevent fraudulent and manipulative acts and
practices, to promote just and equitable principles of trade, to remove
impediments to, and perfect the mechanism of a free and open market
and, in general, to protect investors and the public interest.
---------------------------------------------------------------------------

    \24\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    The Exchange believes that the proposed rule change is designed to
prevent fraudulent and manipulative acts and practices in that the
Shares will be listed and traded on the Exchange pursuant to the
initial and continued listing criteria in NYSE Arca Equities Rule
8.600. The Exchange has in place surveillance procedures that are
adequate to properly monitor trading in the Shares in all trading
sessions and to deter and detect violations of Exchange rules and
applicable federal securities laws. The Exchange may obtain information
via ISG from other exchanges that are members of ISG or with which the
Exchange has entered into a comprehensive surveillance sharing
agreement. Under normal conditions, the Huntington US Equity Rotation
Strategy ETF will invest at least 80% of its net assets in the
exchange-listed common stocks of select companies organized in the U.S.
and included in the S&P Composite 1500, and the Huntington EcoLogical
Strategy ETF will invest at least 80% of its net assets in the
exchange-listed equity securities of ecologically-focused companies.
While each Fund may hold non-U.S. equity securities, the foreign equity
securities, including any depositary receipts, in which the Funds may
invest will be limited to securities that trade in markets that are
members of the ISG or are parties to a comprehensive surveillance
sharing agreement with the Exchange. The Funds will not hold more than
15% of net assets in illiquid investments, including Rule 144A
securities and loan participations. Each Fund's investments will be
consistent with its Fund's investment objective and will not be used to
enhance leverage. The Funds will not invest in options contracts,
futures contracts, or swap agreements. The Adviser is affiliated with
two broker-dealers and has implemented a fire wall with respect to each
affiliated broker-dealer regarding access to information concerning the
composition and/or changes to a Fund portfolio.
    The proposed rule change is designed to promote just and equitable
principles of trade and to protect investors and the public interest in
that the Exchange will obtain a representation from the issuer of the
Shares that the NAV per Share will be calculated daily and that the NAV
and the Disclosed Portfolio will be made available to all market
participants at the same time. In addition, a large amount of
information is publicly available regarding the Funds and the Shares,
thereby promoting market transparency.

Moreover, the Portfolio Indicative Value will be widely disseminated by
one or more major market data vendors at least every 15 seconds during
the Core Trading Session. On each business day, before commencement of
trading in Shares in the Core Trading Session on the Exchange, the
Funds will disclose on their Web site the Disclosed Portfolio that will
form the basis for the Funds' calculation of NAV at the end of the
business day. Information regarding market price and trading volume of
the Shares will be continually available on a real-time basis
throughout the day on brokers' computer screens and other electronic
services, and quotation and last-sale information will be available via
the CTA high-speed line. The Web site for the Funds will include a form
of the prospectus for the Funds and additional data relating to NAV and
other applicable quantitative information. Moreover, prior to the
commencement of trading, the Exchange will inform its ETP Holders in an
Information Bulletin of the special characteristics and risks
associated with trading the Shares. Trading in Shares of the Funds will
be halted if the circuit breaker parameters in NYSE Arca Equities Rule
7.12 have been reached or because of market conditions or for reasons
that, in the view of the Exchange, make trading in the Shares
inadvisable, and trading in the Shares will be subject to NYSE Arca
Equities Rule 8.600(d)(2)(D), which sets forth circumstances under
which Shares of the Funds may be halted. In addition, as noted above,
investors will have ready access to information regarding the Funds'
holdings, the Portfolio Indicative Value, the Disclosed Portfolio, and
quotation and last-sale information for the Shares.
    The proposed rule change is designed to perfect the mechanism of a
free and open market and, in general, to protect investors and the
public interest in that it will facilitate the listing and trading of
additional types of actively managed exchange-traded products that will
enhance competition among market participants, to the benefit of
investors and the marketplace. As noted above, the Exchange has in
place surveillance procedures relating to trading in the Shares and may
obtain information via ISG from other exchanges that are members of ISG
or with which the Exchange has entered into a comprehensive
surveillance sharing agreement. In addition, as noted above, investors
will have ready access to information regarding the Funds' holdings,
the Portfolio Indicative Value, the Disclosed Portfolio, and quotation
and last-sale information for the Shares.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act.

C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others

    No written comments were solicited or received with respect to the
proposed rule change.

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 (i) as the Commission may
designate up to 90 days of such date 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 the proposed rule change, or
    (B) Institute proceedings to determine whether the proposed rule
change should be disapproved.

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to<EMAIL_ADDRESS>Please include
File Number SR-NYSEArca-2012-34 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-NYSEArca-2012-34. This
file number should be included on the subject line if email is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml
). Copies of the submission, all subsequent amendments, all written
statements with respect to the proposed rule change that are filed with
the Commission, and all written communications relating to the proposed
rule change between the Commission and any person, other than those
that may be withheld from the public in accordance with the provisions
of 5 U.S.C. 552, will be available for Web site viewing and printing in
the Commission's Public Reference Room, 100 F Street NE., Washington,
DC 20549 on official business days between 10 a.m. and 3 p.m. Copies of
the filing will also be available for inspection and copying at the
NYSE's principal office and on its Internet Web site at www.nyse.com.
All comments received will be posted without change; the Commission
does not edit personal identifying information from submissions. You
should submit only information that you wish to make available
publicly. All submissions should refer to File Number SR-NYSEArca-2012-
34 and should be submitted on or before May 18, 2012.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\25\
---------------------------------------------------------------------------

    \25\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-10158 Filed 4-26-12; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 79, Number 151 (Wednesday, August 6, 2014)]
[Notices]
[Pages 45827-45828]
[FR Doc No: 2014-18604]

=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF HOMELAND SECURITY

Coast Guard

[USCG-2014-0151]

Collection of Information Under Review by Office of Management
and Budget

AGENCY: Coast Guard, DHS.

ACTION: Thirty-day notice requesting comments.

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

SUMMARY: In compliance with the Paperwork Reduction Act of 1995 the
U.S. Coast Guard is forwarding the Information Collection Request
(ICR), abstracted below, to the Office of Management and Budget (OMB),
Office of Information and Regulatory Affairs (OIRA), requesting
approval of a revision to the following collection of information:
1625-0036, Plan Approval and Records for U.S. and Foreign Tank Vessels
Carrying Oil in Bulk. Review and comments by OIRA ensure we only impose
paperwork burdens commensurate with our performance of duties.

DATES: Comments must reach the Coast Guard and OIRA on or before
September 5, 2014.

ADDRESSES: You may submit comments identified by Coast Guard docket
number [USCG-2014-0151] to the Docket Management Facility (DMF) at the
U.S. Department of Transportation (DOT) and/or to OIRA. To avoid
duplicate submissions, please use only one of the following means:
    (1) Online: (a) To Coast Guard docket at http://www.regulations.gov. (b) To OIRA by email via<EMAIL_ADDRESS>.
    (2) Mail: (a) DMF (M-30), DOT, West Building Ground Floor, Room
W12-140, 1200 New Jersey Avenue SE., Washington, DC 20590-0001. (b) To
OIRA, 725 17th Street NW., Washington, DC 20503, attention Desk Officer
for the Coast Guard.
    (3) Hand Delivery: To DMF address above, between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays. The telephone number is
202-366-9329.
    (4) Fax: (a) To DMF,<PHONE_NUMBER>. (b) To OIRA at<PHONE_NUMBER>. To
ensure your comments are received in a timely manner, mark the fax,
attention Desk Officer for the Coast Guard.
    The DMF maintains the public docket for this Notice. Comments and
material received from the public, as well as documents mentioned in
this Notice as being available in the docket, will become part of the
docket and will be available for inspection or copying at room W12-140
on the West Building Ground Floor, 1200 New Jersey Avenue SE.,
Washington, DC, between 9 a.m. and 5 p.m., Monday through Friday,
except Federal holidays. You may also find the docket on the Internet
at http://www.regulations.gov.
    Copies of the ICR are available through the docket on the Internet
at http://www.regulations.gov. Additionally, copies are available from:
COMMANDANT (CG-612), ATTN: PAPERWORK REDUCTION ACT MANAGER, US COAST
GUARD, 2703 MARTIN LUTHER KING JR AVE SE., STOP 7710, WASHINGTON DC
20593-7710.

FOR FURTHER INFORMATION CONTACT: Contact Mr. Anthony Smith, Office of
Information Management, telephone<PHONE_NUMBER> or fax<PHONE_NUMBER>, for
questions on these documents. Contact Ms. Cheryl Collins, Program
Manager, Docket Operations,<PHONE_NUMBER>, for questions on the docket.

SUPPLEMENTARY INFORMATION:

Public Participation and Request for Comments

    This Notice relies on the authority of the Paperwork Reduction Act
of 1995; 44 U.S.C. Chapter 35, as amended. An ICR is an application to
OIRA seeking the approval, extension, or renewal of a Coast Guard
collection of information (Collection). The ICR contains information
describing the Collection's purpose, the Collection's likely burden on
the affected public, an explanation of the necessity of the Collection,
and other important information describing the Collection. There is one
ICR for each Collection.
    The Coast Guard invites comments on whether these ICRs should be
granted based on the Collection being necessary for the proper
performance of Departmental functions. In particular, the Coast Guard
would appreciate comments addressing: (1) The practical utility of the
Collection; (2) the accuracy of the estimated burden of the Collection;
(3) ways to enhance the quality, utility, and clarity of information
subject to the Collection; and (4) ways to minimize the burden of the
Collection on respondents, including the use of automated collection
techniques or other forms of information technology. These comments
will help OIRA determine whether to approve the ICR referred to in this
Notice.
    We encourage you to respond to this request by submitting comments
and related materials. Comments to Coast Guard or OIRA must contain the
OMB Control Number of the ICR. They must also contain the docket number
of this request, [USCG 2014-0151], and must be received by September 5,
2014. We will post all comments received, without change, to http://www.regulations.gov. They will include any personal information you
provide. We have an agreement with DOT to use their DMF. Please see the
``Privacy Act'' paragraph below.

Submitting Comments

    If you submit a comment, please include the docket number [USCG-
2014-0151]; indicate the specific section of the document to which each
comment applies, providing a reason for each comment. You may submit
your

comments and material online (via http://www.regulations.gov), by fax,
mail, or hand delivery, but please use only one of these means. If you
submit a comment online via www.regulations.gov, it will be considered
received by the Coast Guard when you successfully transmit the comment.
If you fax, hand deliver, or mail your comment, it will be considered
as having been received by the Coast Guard when it is received at the
DMF. We recommend you include your name, mailing address, an email
address, or other contact information in the body of your document so
that we can contact you if we have questions regarding your submission.
    You may submit comments and material by electronic means, mail,
fax, or delivery to the DMF at the address under ADDRESSES, but please
submit them by only one means. To submit your comment online, go to
http://www.regulations.gov, and type ``USCG-2014-0151'' in the
``Search'' box. If you submit your comments by mail or hand delivery,
submit them in an unbound format, no larger than 8\1/2\ by 11 inches,
suitable for copying and electronic filing. If you submit comments by
mail and would like to know that they reached the Facility, please
enclose a stamped, self-addressed postcard or envelope. We will
consider all comments and material received during the comment period
and will address them accordingly.

Viewing Comments and Documents

    To view comments, as well as documents mentioned in this Notice as
being available in the docket, go to http://www.regulations.gov, click
on the ``read comments'' box, which will then become highlighted in
blue. In the ``Search'' box insert ``USCG-2014-0151'' and click
``Search.'' Click the ``Open Docket Folder'' in the ``Actions'' column.
You may also visit the DMF in Room W12-140 on the ground floor of the
DOT West Building, 1200 New Jersey Avenue SE., Washington, DC 20590,
between 9 a.m. and 5 p.m., Monday through Friday, except Federal
holidays.
    OIRA posts its decisions on ICRs online at http://www.reginfo.gov/public/do/PRAMain after the comment period for each ICR. An OMB Notice
of Action on each ICR will become available via a hyperlink in the OMB
Control Numbers: 1625-0036.

Privacy Act

    Anyone can search the electronic form of comments received in
dockets by the name of the individual submitting the comment (or
signing the comment, if submitted on behalf of an association,
business, labor union, etc.). You may review a Privacy Act statement
regarding Coast Guard public dockets in the January 17, 2008, issue of
the Federal Register (73 FR 3316).

Previous Request for Comments

    This request provides a 30-day comment period required by OIRA. The
Coast Guard published the 60-day notice (79 FR 19105, April 7, 2014)
required by 44 U.S.C. 3506(c)(2). We received several comments from one
commenter to the 60-day notice. The comments were not related to the
periodic renewal of this information collection. The comments were
about a mystery oil spill off the Asbury Park coast several years ago.

Information Collection Request

    1. Title: Plan Approval and Records for U.S. and Foreign Tank
Vessels Carrying Oil in Bulk.
    OMB Control Number: 1625-0036.
    Type of Request: Revision of a currently approved collection.
    Respondents: Owners and operators of vessels.
    Abstract: This information collection aids the Coast Guard in
determining if a vessel complies with certain safety and environmental
protection standards. Plans/records for construction or modification of
U.S. or foreign vessels submitted and/or maintained on board are needed
for compliance with these standards.
    Forms: None.
    Burden Estimate: The estimated burden has increased from 1,357
hours to 2,032 hours a year due to an increase in the estimated number
of respondents.

    Authority: The Paperwork Reduction Act of 1995; 44 U.S.C.
Chapter 35, as amended.

    Dated: July 28, 2014.
Marshall B. Lytle,
Rear Admiral, U.S. Coast Guard, Assistant Commandant for Command,
Control, Communications, Computers and Information Technology.
[FR Doc. 2014-18604 Filed 8-5-14; 8:45 am]
BILLING CODE 9110-04-P


28371 Federal Register / Vol. 64, No. 101 / Wednesday, May 26, 1999 / Rules and Regulations ENVIRONMENTAL PROTECTION AGENCY 40 CFR Part 180 [ OPP   300860; FRL   6081   2]

RIN 2070   AB78 Aspergillus flavus AF36; Pesticide Tolerance Exemption AGENCY: Environmental Protection Agency ( EPA). ACTION: Final rule.

SUMMARY: This regulation establishes a temporary exemption from the requirement of a tolerance for residues of the biological Aspergillus flavus AF36, a non aflatoxin producing strain of A. flavus, on cotton when applied/ used as an antifungal agent. The Interregional Research Project Number 4 ( IR   4) submitted an amended Pesticide Petition ( PP) 5E4575 to EPA under the Federal Food, Drug, and Cosmetic Act ( FFDCA), and also to comply with the Food Quality Protection Act of 1996 ( FQPA) requesting an extension of the temporary exemption from the requirement of a tolerance. This regulation eliminates the need to establish a maximum permissible level for residues of Aspergillus flavus AF36. The temporary exemption from the requirement of a tolerance will expire on December 30, 2000. DATES: This regulation is effective May 26, 1999. Objections and requests for hearings must be received by EPA on or before July 26, 1999. ADDRESSES: Written objections and hearing requests, identified by the docket control number [ OPP   300860], must be submitted to: Hearing Clerk ( 1900), Environmental Protection Agency, Rm. M3708, 401 M St., SW., Washington, DC 20460. Fees accompanying objections and hearing requests shall be labeled `` Tolerance Petition Fees'' and forwarded to: EPA Headquarters Accounting Operations Branch, OPP ( Tolerance Fees), P. O. Box 360277M, Pittsburgh, PA 15251. A copy of any objections and hearing requests filed with the Hearing Clerk identified by the docket control number, [ OPP   300860], must also be submitted to: Public Information and Records Integrity Branch, Information Resources and Services Division ( 7502C), Office of Pesticide Programs, Environmental Protection Agency, 401 M St., SW., Washington, DC 20460. In person, bring a copy of objections and hearing requests to Rm. 119, Crystal Mall 2 ( CM # 2), 1921 Jefferson Davis Hwy., Arlington, VA. A copy of objections and hearing requests filed with the Hearing Clerk may be submitted electronically by sending electronic mail ( e mail) to: oppdocket Copies of electronic objections and hearing requests must be submitted as an ASCII file avoiding the use of special characters and any form of encryption. Copies of electronic objections and hearing requests will also be accepted on disks in WordPerfect 5.1/ 6.1 file format or ASCII file format. All copies of electronic objections and hearing requests must be identified by the docket number [ OPP   300860]. No Confidential Business Information ( CBI) should be submitted through e mail. Copies of electronic objections and hearing requests on this rule may be filed online at many Federal Depository Libraries.

FOR FURTHER INFORMATION CONTACT: By mail: Shanaz Bacchus, c/ o Product Manager ( PM) 90, Biopesticides and Pollution Prevention Division ( 7511C), Environmental Protection Agency, 401 M St., SW., Washington, DC 20460. Office location, telephone number, and e mail address: 9th fl., CM # 2, 1921 Jefferson Davis Hwy., Arlington, VA, ( 703) 308   8097, e mail: bacchus. shanaz @ epa. gov.

SUPPLEMENTARY INFORMATION: In the Federal Register of February 19, 1999 ( 64 FR 8358) ( FRL   6081   2), EPA issued a notice pursuant to section 408 of the FFDCA, 21 U. S. C. 346a, as amended by the FQPA of 1996 ( Pub. L. 104   170) announcing the filing of a pesticide tolerance petition by the IR   4, New Jersey Agricultural Experiment Station, Technology Center of New Jersey, Rutgers University, 681 U. S. Highway # 1 South, North Brunswick, NJ 08902   3390. The notice included a summary of the petition prepared by the petitioner, IR   4. The petition requested that 40 CFR part 180 be amended by establishing a temporary exemption from the requirement of a tolerance for residues of Aspergillus flavus AF36 in/ on cotton in Arizona. Comments submitted to the Agency regarding the proposed use of the antifungal agent were by the cotton growers in the region who were all in favor of the extension of the temporary exemption from the tolerance. Both the toxigenic and atoxigenic strains are naturally occurring in Arizona. The growers were of the opinion that this technology is likely to reduce the high levels of the naturally occurring, toxinproducing strain of A. flavus by displacement. I. Background and Statutory Findings New section 408( c)( 2)( A)( i) of the FFDCA allows EPA to establish an exemption from the requirement for a tolerance ( the legal limit for a pesticide chemical residue in or on a food) only if EPA determines that the exemption is `` safe.'' Section 408( c)( 2)( A)( ii) defines `` safe'' to mean that `` there is a reasonable certainty that no harm will result from aggregate exposure to the pesticide chemical residue, including all anticipated dietary exposures and all other exposures for which there is reliable information.'' This includes exposure through drinking water and in residential settings, but does not include occupational exposure. Section 408( b)( 2)( C) requires EPA to give special consideration to exposure of infants and children to the pesticide chemical residue in establishing a tolerance and to `` ensure that there is a reasonable certainty that no harm will result to infants and children from aggregate exposure to the pesticide chemical residue...''. Additionally, section 408 ( b)( 2)( D) requires that the Agency consider `` available information'' concerning the cumulative effects of a particular pesticide's residues and `` other substances that have a common mechanism of toxicity.'' EPA performs a number of analyses to determine the risks from aggregate exposure to pesticide residues. First, EPA determines the toxicity of pesticides. Second, EPA examines exposure to the pesticide through food, drinking water, and through other exposures that occur as a result of pesticide us in residential settings. This extension of the temporary exemption from the requirement of a tolerance is associated with an extension of an Experimental Use Permit ( 69224   EUP   1), published in the Federal Register of February 14, 1996, ( 61 FR 5771) ( FRL   5347   5), which was granted to the Southern Regional Research Center, United States Department of Agriculture, Agricultural Research Service ( USDA ARS), 1100 Robert E. Lee Blvd., New Orleans, LA 70179   0687 on May 28, 1996 and expires May 20, 1999. Approximately 1,120 acres of cotton in Yuma County, Arizona, were treated at a rate of 10 pounds ( lbs.) of the pesticide per acre over the 3   year period. A temporary exemption from the requirement of a tolerance was established in connection with this EUP as published in the Federal Register of June 14, 1996, ( 61 FR 30235) ( FRL   5377   6). No adverse effects were reported in the annual reports which the registrant submitted as required in the EUP. 28372 Federal Register / Vol. 64, No. 101 / Wednesday, May 26, 1999 / Rules and Regulations USDA ARS has amended the EUP and extended treatment to a total of 20,000 acres of commercial cotton fields in 5 of the 15 counties in Arizona. The aerial applications are to be made in the following counties: Yuma ( 3,000 A), LaPaz ( 1,000 A), Maricopa ( 9,000 A), Mohave ( 1,000 A) and Pinal ( 6,000 A). The antifungal agent is applied prebloom to the soil of treated cotton fields, where the mycelia germinate to displace the naturally occurring toxigenic strain. Of the strains of A. flavus which abound naturally in Arizona, this atoxigenic L strain comprises 15% of the natural microbial population in the soil, as opposed to the predominant S or toxigenic S strain.

II. Toxicological Profile Consistent with section 408( b)( 2)( D) of the FFDCA, EPA has reviewed the available scientific data and other relevant information in support of this action and considered its validity, completeness and reliability and the relationship of this information to human risk. EPA has also considered available information concerning the variability of the sensitivities of major identifiable subgroups of consumers, including infants and children. The toxicological profile in support of the extension of the temporary exemption from a tolerance of the residues of the atoxigenic ( non toxin producing) A. flavus AF36 demonstrates that the LD50 of A. flavus AF36 is greater than 5,000 milligrams/ kilograms ( mg/ kg). No adverse clinical effects were observed after 14 days in rats treated by gavage with the microbial antifungal agent and no abnormalities or adverse effects were observed in any of the rats upon autopsy. Studies were not conducted to evaluate the potential of the active ingredient as an agent linked to genotoxicity, or reproductive, developmental, subchronic or chronic effects, because the researchers have worked with the proposed microbial antifungal agent for several years in laboratory and field settings with no adverse effects. Also, the organism is a naturally occurring, ubiquitous microbe.

III. Aggregate Exposures In examining aggregate exposure, section 408 of the FFDCA directs EPA to consider available information concerning exposures from the pesticide residue in food and all other nonoccupational exposures, including drinking water from ground water or surface water and exposure through pesticide use in gardens, lawns, or buildings ( residential and other indoor uses). There is a reasonable certainty that no harm will result from aggregate exposure to the U. S. population, including infants and children, to A. flavus AF36 from the limited use pattern of the experimental use permit. This includes all anticipated dietary exposures and all other exposures for which there is reliable information.

A. Dietary Exposure 1. Food. Application of the microbial pesticide prebloom in the cultural practice precludes the potential for direct residues of A. flavus per se to remain on the treated cotton. The proposed strain of A. flavus, AF36, is atoxigenic, i. e. not producing aflatoxin. Only the seed of the treated commodity, cotton, is likely to be processed as food for cottonseed oil. Residues of A. flavus AF36 or its metabolites are likely to be removed from cotton seed oil during this processing. Moreover, the applications are proposed for 5 of the 15 counties of Arizona only, on 3   7% of the total cotton, thus minimizing any potential dietary exposure. The Food and Drug Administration ( FDA) regulates the levels of aflatoxin in cotton seed meal and other commodities associated with the production of cotton. Cottonseed is monitored for aflatoxin content during the ginning process, and all cotton seed from these experiments will be closely monitored for aflatoxin content as part of the experimental program. On the basis of the preceding discussion, dietary exposure to the treated commodity is likely to be minimal to human adults, infants and children. exposure to immunocompromised human adults, infants and children. Moreover, the application of the microbial pesticide to specific counties during the EUP represents application to approximately 3   7% cultivated areas in these counties, thus minimizing exposure. 1. Dermal exposure. Nonoccupational dermal exposure and risk to adults, infants and children are not likely if the pesticide is used as labeled. The antifungal agent is a naturally occurring microbe to be applied to the soil of cotton fields prebloom. It is ubiquitous in the environment. If the microbe exhibits dermal sensitizing properties which is associated with this genus of fungi, the boundaries and the large particle size of the spores are likely to maintain distribution near treated areas thus protecting nearby atrisk populations. Based on the low toxicity potential as evidenced by the data submitted, the microbial pesticide active ingredient is likely to pose a minimal to non existent hazard if used as labeled. 2. Inhalation exposure. Based on the large spore size of AF36, and on the method of application to the soil of cultivated cotton fields prebloom with set boundaries, non occupational inhalation exposure and risk to human adults, children and infants are likely to be minimal.

IV. Cumulative Effects There are no other registered products containing Aspergillus flavus isolate AF36 or any other isolates ( strains) of the microbial active ingredient. Moreover, data submitted to the Agency demonstrate that this strain does not produce aflatoxin on the crop or in artificial media in the lab. Data submissions also show that this strain has been shown to exclude the aflatoxin producing strain when it is applied prior to flowering. Thus, the proposed use is not likely to result in appreciable increases in the long term population of A. flavus on the crop beyond naturally occurring levels. Furthermore, there is no expectation of cumulative effects with other pesticides.

V. Determination of Safety for U. S. Population, Infants and Children FFDCA section 408 provides that EPA shall apply an additional tenfold margin of exposure ( safety) for infants and children in the case of threshold effects to account for pre and postnatal toxicity and the completeness of the data base unless EPA determines that a different margin of exposure ( safety) will be safe for infants and children. In this instance, EPA believes there are reliable data to support the conclusion that there are no threshold effects of concern to infants, children and adults when A. flavus AF36 is used as labeled. As a result, the provision requiring an additional margin of exposure does not apply. The label will require applicators and other handlers to wear gloves, a dust/ mist filtering respirator with National Institute of Occupational Safety and Health ( NIOSH) approval prefix N 95, R 95 or P 95, long sleeved shirt and long pants, and shoes plus socks so worker exposure should not be a problem. Label language reflecting potential dermal sensitization is also required.

VI. Other Considerations A. Endocrine Disruptors EPA does not have any information regarding endocrine effects of this microbial pesticide at this time. The Agency is not requiring information on 28373 Federal Register / Vol. 64, No. 101 / Wednesday, May 26, 1999 / Rules and Regulations the endocrine effects of this pesticide at this time; and Congress allowed 3 years after August 3, 1996, for the Agency to implement a screening and testing program with respect to endocrine effects.

B. Analytical Method( s) Starter cultures are screened on the basis of vegetative incompatibility with the toxigenic strain, as well as for aflatoxin by standard procedures, which allow a zero tolerance for aflatoxin production. A. flavus AF36 does not demonstrate vegetative compatibility with the toxigenic S strain and has never been found to produce aflatoxin. According to the data submissions human pathogens are also within regulatory levels. Treated cotton and its byproducts are screened for aflatoxin prior to introduction into the channels of commerce. FDA does not allow cottonseed products containing aflatoxin at 20 parts per billion ( ppb) or higher to be used in dairy rations. FDA regulations also do not allow cottonseed products containing aflatoxin above 300 ppb to be used for feeding beef cattle.

C. Codex Maximum Residue Level An exemption from temporary tolerance for residues of Aspergillus flavus isolate AF36 on cotton is currently in effect in conjunction with an Experimental Use Permit published in the Federal Register of June 14, 1996 ( 61 FR 30235).

VII. Objections and Hearing Requests The new section 408( g) of the FFDCA provides essentially the same process for persons to `` object'' to a regulation for an exemption from the requirement of a tolerance issued by EPA under new section 408( d) and as was provided in the old section 408 and in section 409. However, the period for filing objections is 60 days, rather than 30 days. EPA currently has procedural regulations which governs the submission of objections and hearing requests. These regulations will require some modification to reflect the new law. However, until those modifications can be made, EPA will continue to use those procedural regulations with appropriate adjustments to reflect the new law. Any person may, by July 26, 1999, file written objections to any aspect of this regulation and may also request a hearing on those objections. Objections and hearing requests must be filed with the hearing clerk, at the address given under the `` ADDRESSES'' section ( 40 CFR 178.20). A copy of the objections and/ or hearing requests filed with the hearing clerk should be submitted to the OPP docket for this rulemaking. The objections submitted must specify the provisions of the regulation deemed objectionable and the grounds for the objections ( 40 CFR 178.25). Each objection must be accompanied by the fee prescribed by 40 CFR 180.33( i). EPA is authorized to waive any fee requirement `` when in the judgement of the Administrator such a waiver or refund is equitable and not contrary to the purpose of this subsection.'' For additional information regarding tolerance objection fee waivers, contact James Tompkins, Registration Division ( 7505C), Office of Pesticide Programs, Environmental Protection Agency, 401 M St., SW., Washington, DC 20460. Office location, telephone number, and e mail address: Rm. 239, CM # 2, 1921 Jefferson Davis Hwy., Arlington, VA, ( 703) 305   5697, tompkins. jim@ epa. gov. Requests for waiver of tolerance objection fees should be sent to James Hollins, Information Resources and Services Division ( 7502C), Office of Pesticide Programs, Environmental Protection Agency, 401 M St., SW., Washington, DC 20460. If a hearing is requested, the objections must include a statement of the factual issues( s) on which a hearing is requested, the requestor's contentions on such issues, and a summary of any evidence relied upon by the objector ( 40 CFR 178.27). A request for a hearing will be granted if the Administrator determines that the material submitted shows the following: There is a genuine and substantial issue of fact; there is a reasonable possibility that available evidence identified by the requestor would, if established resolve one or more of such issues in favor of the requestor, taking into account uncontested claims or facts to the contrary; and resolution of the factual issues( s) in the manner sought by the requestor would be adequate to justify the action requested ( 40 CFR 178.32). Information submitted in connection with an objection or hearing request may be claimed confidential by marking any part or all of that information as CBI. Information so marked will not be disclosed except in accordance with procedures set forth in 40 CFR part 2. A copy of the information that does not contain CBI must be submitted for inclusion in the public record. Information not marked confidential may be disclosed publicly by EPA without prior notice.

VIII. Public Record and Electronic Submissions EPA has established a record for this regulation under docket control number [ OPP   300860] ( including any comments and data submitted electronically). A public version of this record, including printed, paper versions of electronic comments, which does not include any information claimed as CBI, is available for inspection from 8: 30 a. m. to 4 p. m., Monday through Friday, excluding legal holidays. The public record is located in Rm. 119 of the Public Information and Records Integrity Branch, Information Resources and Services Division ( 7502C), Office of Pesticide Programs, Environmental Protection Agency, CM # 2, 1921 Jefferson Davis Hwy., Arlington, VA. Objections and hearing requests may be sent by e mail directly to EPA at: opp docket@ epa. gov E mailed objections and hearing requests must be submitted as an ASCII file avoiding the use of special characters and any form of encryption. The official record for this regulation, as well as the public version, as described in this unit will be kept in paper form. Accordingly, EPA will transfer any copies of objections and hearing requests received electronically into printed, paper form as they are received and will place the paper copies in the official record which will also include all comments submitted directly in writing. The official record is the paper record maintained at the Virginia address in `` ADDRESSES'' at the beginning of this document.

IX. Regulatory Assessment Requirements A. Certain Acts and Executive Orders This final rule establishes an exemption from the tolerance requirement under section 408( d) of the FFDCA in response to a petition submitted to the Agency. The Office of Management and Budget ( OMB) has exempted these types of actions from review under Executive Order 12866, entitled Regulatory Planning and Review ( 58 FR 51735, October 4, 1993). This final rule does not contain any information collections subject to OMB approval under the Paperwork Reduction Act ( PRA), 44 U. S. C. 3501 et seq., or impose any enforceable duty or contain any unfunded mandate as described under Title II of the Unfunded Mandates Reform Act of 1995 ( UMRA) ( Pub. L. 104   4). Nor does it require any prior consultation as specified by Executive Order 12875, entitled Enhancing the Intergovernmental Partnership ( 58 FR 58093, October 28, 1993), or special considerations as required by Executive Order 12898, entitled Federal Actions to Address Environmental Justice in Minority 28374 Federal Register / Vol. 64, No. 101 / Wednesday, May 26, 1999 / Rules and Regulations Populations and Low Income Populations ( 59 FR 7629, February 16, 1994), or require OMB review in accordance with Executive Order 13045, entitled Protection of Children from Environmental Health Risks and Safety Risks ( 62 FR 19885, April 23, 1997). In addition, since tolerances and exemptions that are established on the basis of a petition under FFDCA section 408( d), such as the [ tolerance/ exemption] in this final rule, do not require the issuance of a proposed rule, the requirements of the Regulatory Flexibility Act ( RFA) ( 5 U. S. C. 601 et seq.) do not apply. Nevertheless, the Agency previously assessed whether establishing tolerances, exemptions from tolerances, raising tolerance levels or expanding exemptions might adversely impact small entities and concluded, as a generic matter, that there is no adverse economic impact. The factual basis for the Agency's generic certification for tolerance actions published on May 4, 1981 ( 46 FR 24950), and was provided to the Chief Counsel for Advocacy of the Small Business Administration.

B. Executive Order 12875 Under Executive Order 12875, entitled Enhancing the Intergovernmental Partnership ( 58 FR 58093, October 28, 1993), EPA may not issue a regulation that is not required by statute and that creates a mandate upon a State, local or tribal government, unless the Federal government provides the funds necessary to pay the direct compliance costs incurred by those governments. If the mandate is unfunded, EPA must provide to OMB a description of the extent of EPA's prior consultation with representatives of affected State, local, and tribal governments, the nature of their concerns, copies of any written communications from the governments, and a statement supporting the need to issue the regulation. In addition, Executive Order 12875 requires EPA to develop an effective process permitting elected officials and other representatives of State, local, and tribal governments `` to provide meaningful and timely input in the development of regulatory proposals containing significant unfunded mandates.'' Today's rule does not create an unfunded Federal mandate on State, local, or tribal governments. The rule does not impose any enforceable duties on these entities. Accordingly, the requirements of section 1( a) of Executive Order 12875 do not apply to this rule. C. Executive Order 13084 Under Executive Order 13084, entitled Consultation and Coordination with Indian Tribal Governments ( 63 FR 27655, May 19, 1998), EPA may not issue a regulation that is not required by statute, that significantly or uniquely affects the communities of Indian tribal governments, and that imposes substantial direct compliance costs on those communities, unless the Federal government provides the funds necessary to pay the direct compliance costs incurred by the tribal governments. If the mandate is unfunded, EPA must provide OMB, in a separately identified section of the preamble to the rule, a description of the extent of EPA's prior consultation with representatives of affected tribal governments, a summary of the nature of their concerns, and a statement supporting the need to issue the regulation. In addition, Executive Order 13084 requires EPA to develop an effective process permitting elected officials and other representatives of Indian tribal governments `` to provide meaningful and timely input in the development of regulatory policies on matters that significantly or uniquely affect their communities.'' Today's rule does not significantly or uniquely affect the communities of Indian tribal governments. This action does not involve or impose any requirements that affect Indian tribes. Accordingly, the requirements of section 3( b) of Executive Order 13084 do not apply to this rule.

X. Submission to Congress and the Comptroller General The Congressional Review Act, 5 U. S. C. 801 et seq. , as added by the Small Business Regulatory Enforcement Fairness Act of 1996, generally provides that before a rule may take effect, the Agency promulgating the rule must submit a rule report, which includes a copy of the rule, to each House of the Congress and the Comptroller General of the United States. EPA will submit a report containing this rule and other required information to the U. S. Senate, the U. S. House of Representatives and the Comptroller General of the United States prior to publication of the rule in the Federal Register. This rule is not a `` major rule'' as defined by 5 U. S. C. 804( 2).

List of Subjects in 40 CFR Part 180 Environmental protection, Administrative practice and procedure, Agricultural commodities, Pesticides and pests, Reporting and recordkeeping requirements. Dated: May 14, 1999.

Janet L. Andersen, Director, Biopesticides and Pollution Prevention Division Therefore, 40 CFR chapter I is amended as follows:

PART 180   [ AMENDED]

1. The authority citation for part 180 continues to read as follows:

Authority: 21 U. S. C. 321( q), 346( a) and 371.

2. Section 180.1206 is added to subpart D to read as follows:

§ 180.1206 Aspergillus flavus AF 36; Exemption from the requirement of a tolerance. Aspergillus flavus AF 36 is temporarily exempt from the requirement of a tolerance in/ on cotton when used on cotton in Arizona in accordance with the Experimental Use Permit 69224   EUP   1. The temporary exemption from the requirement of a tolerance will expire on December 30, 2000.

[ FR Doc. 99   13192 Filed 5   25   99; 8: 45 am]

BILLING CODE 6560   50   F ENVIRONMENTAL PROTECTION AGENCY 40 CFR Part 180 [ OPP   300861; FRL   6080   6]

RIN 2070   AB78 Clomazone; Extension of Tolerance for Emergency Exemptions AGENCY: Environmental Protection Agency ( EPA). ACTION: Final rule.

SUMMARY: This rule extends a timelimited tolerance for residues of the herbicide clomazone and its metabolites in or on watermelons at 0.1 part per million ( ppm) for an additional 2   year period, to May 30, 2001. This action is in response to EPA's granting of an emergency exemption under section 18 of the Federal Insecticide, Fungicide, and Rodenticide Act authorizing use of the pesticide on watermelons. Section 408( l)( 6) of the Federal Food, Drug, and Cosmetic Act ( FFDCA) requires EPA to establish a time limited tolerance or exemption from the requirement for a tolerance for pesticide chemical residues in food that will result from the use of a pesticide under an emergency exemption granted by EPA under section 18 of FIFRA. DATES: This regulation becomes effective May 26, 1999. Objections and