[Federal Register: December 9, 2005 (Volume 70, Number 236)]
[Rules and Regulations]
[Page 73343-73345]
[DOCID:fr09de05-18]

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Part III

Securities and Exchange Commission

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17 CFR Parts 231, 241, and 271

Commission Guidance Regarding Accounting for Sales of Vaccines and
Bioterror Countermeasures to the Federal Government for Placement Into
the Pediatric Vaccine Stockpile or the Strategic National Stockpile;
Final Rule

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SECURITIES AND EXCHANGE COMMISSION

17 CFR Parts 231, 241, and 271

[Release Nos. 33-8642; 34-52885; IC-27178]

Commission Guidance Regarding Accounting for Sales of Vaccines
and Bioterror Countermeasures to the Federal Government for Placement
Into the Pediatric Vaccine Stockpile or the Strategic National
Stockpile

AGENCY: Securities and Exchange Commission.

ACTION: Interpretation.

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SUMMARY: The Securities and Exchange Commission (Commission) is
publishing this interpretive release with respect to accounting for
sales of vaccines and bioterror countermeasures to the Federal
government for placement into stockpiles related to the Vaccines for
Children Program or the Strategic National Stockpile.

DATES: Effective: December 5, 2005.

FOR FURTHER INFORMATION CONTACT: Shelly C. Luisi, Senior Associate
Chief Accountant or G. Anthony Lopez, Associate Chief Accountant, both
of the Office of the Chief Accountant, at<PHONE_NUMBER><EMAIL_ADDRESS>
U.S. Securities and Exchange Commission, 100 F Street, NE., Washington,
DC 20549-6561.

SUPPLEMENTARY INFORMATION:

I. Introduction

    The Commission is committed to addressing any unintended
consequences of accounting requirements that could impair the nation's
ability to create and maintain sufficient supplies of various vaccines
and bioterror countermeasures (vaccines). The Commission is aware that
questions have been raised about the timing of the vaccine
manufacturers' revenue recognition for vaccines placed into stockpiles
related to the Vaccines for Children Program and the Strategic National
Stockpile. Additionally, concerns have been expressed that Commission
guidance, which may require revenue recognition to be delayed beyond
the period in which the vaccine is placed in the stockpile in some
circumstances, may have the unintended consequence of causing some
vaccine manufacturers to decline to participate in these critical
stockpile programs. Although the Commission is not aware of any
instance to date of a vaccine manufacturer declining to participate in
these programs based on the resulting accounting, the Commission is
publishing this guidance to remove the accounting questions from the
debate.
    Government vaccine stockpile programs are unique in many respects.
For example, the primary objective of purchasing the vaccines is not to
take delivery but rather to be able to require delivery on a moment's
notice. The hope of both parties to these contracts is that the
vaccines will never be needed and thus never delivered. Another unique
characteristic of vaccine stockpile programs is the critical public
policy objective of safeguarding the public health in the event of
potentially catastrophic disease outbreaks. An additional unusual
characteristic of vaccine stockpiles is the need for rotation of the
stockpile due to limited shelf life. For these and other reasons, the
Commission limits this guidance to the vaccines enumerated below
(enumerated vaccines).

II. The Application of Generally Accepted Accounting Principles for
Revenue Recognition to Vaccine Stockpiles

    The Commission historically has recognized pronouncements of the
Financial Accounting Standards Board (FASB) as authoritative in the
absence of any contrary determination by the Commission.\1\ More
recently, in Financial Reporting Release No. 70,\2\ the Commission
announced its determination that the FASB and its parent organization,
the Financial Accounting Foundation, satisfied the criteria in section
108 of the Sarbanes-Oxley Act of 2002 \3\ and section 19(b) of the
Securities Act of 1933 \4\ and, accordingly, FASB's financial
accounting and reporting standards are recognized as ``generally
accepted'' for purposes of the Federal securities laws. As a result,
registrants are required to comply with those standards in preparing
financial statements filed with the Commission, unless the Commission
provides otherwise.\5\
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    \1\ Rule 4-01(a)(1) of Regulation S-X, 17 CFR 210.4-01(a)(1).
See Accounting Series Release (``ASR'') No. 150 (December 20, 1973)
and ASR No. 4 (April 25, 1938).
    \2\ Release Nos. 33-8221; 34-47743; IC-26028; FR-70 (April 25,
2003) (``FR-70''); 68 FR 23333 (May 1, 2003).
    \3\ 15 U.S.C. 7218.
    \4\ 15 U.S.C. 77s(b).
    \5\ See FR-70; Rule 4-01(a)(1) of Regulation S-X, 17 CFR 210.4-
01(a)(1).
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    Although no specific guidance has been published by the FASB
related to revenue recognition for vaccine stockpiles, general criteria
for revenue recognition are discussed in the FASB's Concepts
Statements. Statement of Financial Accounting Concepts No. 5,
Recognition and Measurement in Financial Statements of Business
Enterprises (Concepts Statement 5) identifies two criteria necessary
for revenue recognition: the revenue must be realized or realizable and
earned.\6\ Concepts Statement 5 goes on to explain that ``revenues are
considered to have been earned when the entity has substantially
accomplished what it must do to be entitled to the benefits represented
by the revenues'' \7\ and that the two conditions for revenue
recognition are ``usually met by the time product or merchandise is
delivered. * * *'' \8\
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    \6\ See Concepts Statement 5, ] 83 (a) and (b).
    \7\ Concepts Statement 5, ] 83(b).
    \8\ Concepts Statement 5, ] 84(a).
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    In 1986, in Securities Exchange Act Release No. 23507 and
Accounting and Auditing Enforcement Release No. 108, In the Matter of
Stewart Parness (AAER 108), the Commission set forth criteria to be met
in order to recognize revenue when delivery has not occurred.\9\ Of the
seven criteria AAER 108 set forth as necessary for revenue recognition
in the absence of delivery (commonly referred to as ``bill and hold''),
transfers of vaccines to government stockpiles sometimes do not satisfy
the following two:
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    \9\ See In the Matter of Stewart Parness, AAER 108 (August 5,
1986). The Commission staff reiterated this guidance in Staff
Accounting Bulletin (SAB) Topic 13 in 1999 through the issuance of
SAB 101.
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     There must be a fixed schedule for delivery of the goods;
and
     The ordered goods must have been segregated from the
seller's inventory and not be subject to being used to fill other
orders.\10\
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    \10\ See SAB Topic 13. A. 3 and AAER 108.
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III. Current Commission Guidance

    Notwithstanding the Commission's previous guidance discussed above,
the Commission will not object if vaccine manufacturers recognize
revenue from the sale of enumerated vaccines related to Federal
governmental stockpile programs if the arrangements meet the applicable
revenue recognition criteria specified under generally accepted
accounting principles and Commission rules and regulations, other than
for the requirements associated with product delivery and inventory
segregation noted above, so long as disclosures are provided that allow
for a clear understanding by investors of the subject transactions, the
related accounting, and the effect of this alternative accounting
method in the financial statements.
    The following vaccines are subject to this Release when sold to the
Federal

government for purposes of placing the vaccines into a Federal
governmental vaccine stockpile (enumerated vaccines):
     Childhood disease vaccines;
     Influenza vaccines; and
     Other vaccines and countermeasures sold to the Federal
government for placement in the Strategic National Stockpile.
    The Commission would not object if a registrant that sells
enumerated vaccines elects this alternative accounting method beginning
in the first fiscal quarter of the registrant's next fiscal year. If
elected, the change in accounting represents a change in accounting
principle under FASB Statement No. 154, Accounting Changes and Error
Corrections. No preferability letter would be required if an accounting
change is made solely in response to the adoption of the alternative
method described above.
    Any financial statements filed with the Commission before adoption
of the provisions of this announcement would be subject to the
disclosure provisions of SAB Topic 11-M, Disclosure of the Impact That
Recently Issued Accounting Standards Will Have on the Financial
Statements of a Registrant When Adopted in a Future Period.
    Due to the uniqueness of the vaccine stockpile programs as
discussed above, the alternative method is available only to the sales
of enumerated vaccines by vaccine manufacturers and may not be extended
by analogy to other circumstances.

IV. Financial Statement and Other Disclosures

    If the alternative accounting method is elected, the Commission
believes that sufficient disclosures should be provided to allow for a
clear understanding by investors of the subject transactions, related
accounting, and the effect of the alternative accounting method in the
financial statements. The following disclosures should be considered:
    A. Material terms and conditions of contracts for which the
alternative accounting method was selected, including all fees received
and a description of each enumerated vaccine product that the vaccine
manufacturer sells to vaccine stockpiles. The vaccine manufacturer
should also describe the nature of its continuing involvement with the
stockpiles for enumerated vaccine products for which revenue has been
recognized, such as stock rotation. Additionally, the election of this
alternative form of revenue recognition would generally be a
significant accounting policy under APB Opinion No. 22, Disclosure of
Accounting Policies. Vaccine manufacturers should clearly disclose that
this alternative policy applies only to enumerated vaccine product
sales.
    B. Disclosures quantifying the effects of using the alternative
policy on relevant balance sheet and income statement captions,
including revenue, cost of sales, inventory and deferred revenue.
    C. Supplemental disclosure of the market value of inventory
available to be rotated out of vaccine stockpiles and of sales to third
parties that were filled from vaccine stockpiles.
    D. Supplemental disclosure of enumerated vaccine product quantities
and related product sales revenue for enumerated vaccines actually
delivered from stockpiles to the CDC or other party for use during the
period (i.e., delivered out of stockpiles).

List of Subjects in 17 CFR Parts 231, 241, and 271

    Securities.

Amendments to the Code of Federal Regulations

0
For the reasons set out in the preamble, the Commission is amending
Title 17, chapter II of the Code of Federal Regulations as set forth
below:

PART 231--INTERPRETATIVE RELEASES RELATING TO THE SECURITIES ACT OF
1933 AND GENERAL RULES AND REGULATIONS THEREUNDER

0
Part 231 is amended by adding Release No. 33-8642 and the release date
of December 5, 2005 to the list of interpretive releases.

PART 241--INTERPRETATIVE RELEASES RELATING TO THE SECURITIES
EXCHANGE ACT OF 1934 AND GENERAL RULES AND REGULATIONS THEREUNDER

0
Part 241 is amended by adding Release No. 34-52885 and the release date
of December 5, 2005 to the list of interpretive releases.

PART 271--INTERPRETATIVE RELEASES RELATING TO THE INVESTMENT
COMPANY ACT OF 1940 AND GENERAL RULES AND REGULATIONS THEREUNDER

0
Part 271 is amended by adding Release No. IC-27178 and the release date
of December 5, 2005 to the list of interpretive releases.

    By the Commission.

    Dated: December 5, 2005.
Jonathan G. Katz,
Secretary.
[FR Doc. 05-23843 Filed 12-8-05; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register Volume 81, Number 79 (Monday, April 25, 2016)]
[Rules and Regulations]
[Pages 24033-24036]
[FR Doc No: 2016-09471]

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DEPARTMENT OF HOMELAND SECURITY

Federal Emergency Management Agency

44 CFR Part 64

[Docket ID FEMA-2016-0002; Internal Agency Docket No. FEMA-8431]

Suspension of Community Eligibility

AGENCY: Federal Emergency Management Agency, DHS.

ACTION: Final rule.

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SUMMARY: This rule identifies communities where the sale of flood
insurance has been authorized under the National Flood Insurance
Program (NFIP) that are scheduled for suspension on the effective dates
listed within this rule because of noncompliance with the floodplain
management requirements of the program. If the Federal Emergency
Management Agency (FEMA) receives documentation that the community has
adopted the required floodplain management measures prior to the
effective suspension date given in this rule, the suspension will not
occur and a notice of this will be provided by publication in the
Federal Register on a subsequent date. Also, information identifying
the current participation status of a community can be obtained from
FEMA's Community Status Book (CSB). The CSB is available at http://www.fema.gov/fema/csb.shtm.

DATES: The effective date of each community's scheduled suspension is
the third date (``Susp.'') listed in the third column of the following
tables.

FOR FURTHER INFORMATION CONTACT: If you want to determine whether a
particular community was suspended on the suspension date or for
further information, contact Patricia Suber, Federal Insurance and
Mitigation Administration, Federal Emergency Management Agency, 500 C
Street SW., Washington, DC 20472,<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION: The NFIP enables property owners to purchase
Federal flood insurance that is not otherwise generally available from
private insurers. In return, communities agree to adopt and administer
local floodplain management measures aimed at protecting lives and new
construction from future flooding. Section 1315 of the National Flood
Insurance Act of 1968, as amended, 42 U.S.C. 4022, prohibits the sale
of NFIP flood insurance unless an appropriate public body adopts
adequate floodplain management measures with effective enforcement
measures. The communities listed in this document no longer meet that
statutory requirement for compliance with program regulations, 44 CFR
part 59. Accordingly, the communities will be suspended on the
effective date in the third column. As of that date, flood insurance
will no longer be available in the community. We recognize that some of
these communities may adopt and submit the required documentation of
legally enforceable floodplain management measures after this rule is
published but prior to the actual suspension date. These communities
will not be suspended and will continue to be eligible for the sale of
NFIP flood insurance. A notice withdrawing the suspension of such
communities will be published in the Federal Register.
    In addition, FEMA publishes a Flood Insurance Rate Map (FIRM) that
identifies the Special Flood Hazard Areas (SFHAs) in these communities.
The date of the FIRM, if one has been published, is indicated in the
fourth column of the table. No direct Federal financial assistance
(except assistance pursuant to the Robert T. Stafford Disaster Relief
and Emergency Assistance Act not in connection with a flood) may be
provided for construction or acquisition of buildings in identified
SFHAs for communities not participating in the NFIP and identified for
more than a year on FEMA's initial FIRM for the community as having
flood-prone areas (section 202(a) of the Flood Disaster Protection Act
of 1973, 42 U.S.C. 4106(a), as amended). This prohibition against
certain types of Federal assistance becomes effective for the
communities listed on the date shown in the last column. The
Administrator finds that notice and public comment procedures under 5
U.S.C. 553(b), are impracticable and unnecessary because communities
listed in this final rule have been adequately notified.
    Each community receives 6-month, 90-day, and 30-day notification
letters addressed to the Chief Executive Officer stating that the
community will be suspended unless the required floodplain management
measures are met prior to the effective suspension date. Since these
notifications were made, this final rule may take effect within less
than 30 days.
    National Environmental Policy Act. This rule is categorically
excluded from the requirements of 44 CFR part 10, Environmental
Considerations. No environmental impact assessment has been prepared.
    Regulatory Flexibility Act. The Administrator has determined that
this rule is exempt from the requirements of the Regulatory Flexibility
Act because the National Flood Insurance Act of 1968, as amended,
Section 1315, 42 U.S.C. 4022, prohibits flood insurance

coverage unless an appropriate public body adopts adequate floodplain
management measures with effective enforcement measures. The
communities listed no longer comply with the statutory requirements,
and after the effective date, flood insurance will no longer be
available in the communities unless remedial action takes place.
    Regulatory Classification. This final rule is not a significant
regulatory action under the criteria of section 3(f) of Executive Order
12866 of September 30, 1993, Regulatory Planning and Review, 58 FR
51735.
    Executive Order 13132, Federalism. This rule involves no policies
that have federalism implications under Executive Order 13132.
    Executive Order 12988, Civil Justice Reform. This rule meets the
applicable standards of Executive Order 12988.
    Paperwork Reduction Act. This rule does not involve any collection
of information for purposes of the Paperwork Reduction Act, 44 U.S.C.
3501 et seq.

List of Subjects in 44 CFR Part 64

    Flood insurance, Floodplains.

    Accordingly, 44 CFR part 64 is amended as follows:

PART 64--[AMENDED]

0
1. The authority citation for Part 64 continues to read as follows:

    Authority:  42 U.S.C. 4001 et seq.; Reorganization Plan No. 3 of
1978, 3 CFR, 1978 Comp.; p. 329; E.O. 12127, 44 FR 19367, 3 CFR,
1979 Comp.; p. 376.

Sec.  64.6  [Amended]

0
2. The tables published under the authority of Sec.  64.6 are amended
as follows:

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                                         Effective date
                                         authorization/                                  Date certain  Federal
  State and location     Community    cancellation of sale    Current effective  map      assistance no longer
                            No.      of flood insurance in             date                available in SFHAs
                                           community
----------------------------------------------------------------------------------------------------------------
      Region III

Pennsylvania:
    Anthony, Township        420971  December 6, 1973,      June 2, 2016.............  June 2, 2016.
     of, Lycoming                     Emerg; December 1,
     County.                          1986, Reg; June 2,
                                      2016, Susp.
    Armstrong,               420635  March 30, 1973,        ......do *...............   Do.
     Township of,                     Emerg; September 28,
     Lycoming County.                 1979, Reg; June 2,
                                      2016, Susp.
    Brady, Township          421169  April 30, 1974,        ......do.................   Do.
     of, Lycoming                     Emerg; July 16,
     County.                          1979, Reg; June 2,
                                      2016, Susp.
    Brown, Township          420636  May 11, 1973, Emerg;   ......do.................   Do.
     of, Lycoming                     March 2, 1981, Reg;
     County.                          June 2, 2016, Susp.
    Cascade, Township        421837  July 29, 1976, Emerg;  ......do.................   Do.
     of, Lycoming                     December 1, 1986,
     County.                          Reg; June 2, 2016,
                                      Susp.
    Clinton, Township        420637  April 10, 1973,        ......do.................   Do.
     of, Lycoming                     Emerg; September 28,
     County.                          1979, Reg; June 2,
                                      2016, Susp.
    Cogan House,             421838  February 5, 1981,      ......do.................   Do.
     Township of,                     Emerg; June 1, 1987,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.
    Cummings,                420638  June 6, 1973, Emerg;   ......do.................   Do.
     Township of,                     September 17, 1980,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.
    DuBoistown,              420639  December 22, 1972,     ......do.................   Do.
     Borough of,                      Emerg; March 1,
     Lycoming County.                 1977, Reg; June 2,
                                      2016, Susp.
    Eldred, Township         421839  June 20, 1974, Emerg;  ......do.................   Do.
     of, Lycoming                     September 17, 1980,
     County.                          Reg; June 2, 2016,
                                      Susp.
    Fairfield,               420972  September 25, 1973,    ......do.................   Do.
     Township of,                     Emerg; June 1, 1981,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.
    Franklin,                420973  January 28, 1974,      ......do.................   Do.
     Township of,                     Emerg; June 1, 1987,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.
    Gamble, Township         420974  August 1, 1973,        ......do.................   Do.
     of, Lycoming                     Emerg; September 30,
     County.                          1980, Reg; June 2,
                                      2016, Susp.
    Hepburn, Township        420640  June 19, 1973, Emerg;  ......do.................   Do.
     of, Lycoming                     February 17, 1982,
     County.                          Reg; June 2, 2016,
                                      Susp.
    Hughesville,             420641  January 21, 1974,      ......do.................   Do.
     Borough of,                      Emerg; October 15,
     Lycoming County.                 1981, Reg; June 2,
                                      2016, Susp.
    Jackson, Township        422601  January 19, 1989,      ......do.................   Do.
     of, Lycoming                     Emerg; January 1,
     County.                          1991, Reg; June 2,
                                      2016, Susp.
    Jersey Shore,            420642  October 27, 1972,      ......do.................   Do.
     Borough of,                      Emerg; March 5,
     Lycoming County.                 1976, Reg; June 2,
                                      2016, Susp.
    Jordan, Township         422596  January 27, 1976,      ......do.................   Do.
     of, Lycoming                     Emerg; December 1,
     County.                          1986, Reg; June 2,
                                      2016, Susp.
    Lewis, Township          420643  June 14, 1973, Emerg;  ......do.................   Do.
     of, Lycoming                     March 2, 1983, Reg;
     County.                          June 2, 2016, Susp.
    Limestone,               422588  June 5, 1980, Emerg;   ......do.................   Do.
     Township of,                     June 1, 1987, Reg;
     Lycoming County.                 June 2, 2016, Susp.
    Loyalsock,               421040  February 5, 1974,      ......do.................   Do.
     Township of,                     Emerg; May 16, 1977,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.
    Lycoming,                420644  May 4, 1973, Emerg;    ......do.................   Do.
     Township of,                     September 17, 1980,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.
    McHenry, Township        420975  September 7, 1973,     ......do.................   Do.
     of, Lycoming                     Emerg; August 15,
     County.                          1980, Reg; June 2,
                                      2016, Susp.
    McIntyre,                420645  June 6, 1973, Emerg;   ......do.................   Do.
     Township of,                     November 4, 1981,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.

    McNett, Township         422597  September 26, 1975,    ......do.................   Do.
     of, Lycoming                     Emerg; December 23,
     County.                          1983, Reg; June 2,
                                      2016, Susp.
    Mifflin, Township        422590  September 15, 1975,    ......do.................   Do.
     of, Lycoming                     Emerg; April 17,
     County.                          1985, Reg; June 2,
                                      2016, Susp.
    Montgomery,              420646  September 1, 1972,     ......do.................   Do.
     Borough of,                      Emerg; June 15,
     Lycoming County.                 1978, Reg; June 2,
                                      2016, Susp.
    Montoursville,           420648  February 9, 1973,      ......do.................   Do.
     Borough of,                      Emerg; August 15,
     Lycoming County.                 1977, Reg; June 2,
                                      2016, Susp.
    Moreland,                421846  June 15, 1976, Emerg;  ......do.................   Do.
     Township of,                     March 2, 1981, Reg;
     Lycoming County.                 June 2, 2016, Susp.
    Muncy, Borough           420649  June 30, 1972, Emerg;  ......do.................   Do.
     of, Lycoming                     February 16, 1977,
     County.                          Reg; June 2, 2016,
                                      Susp.
    Muncy, Township          421847  May 9, 1980, Emerg;    ......do.................   Do.
     of, Lycoming                     August 19, 1987,
     County.                          Reg; June 2, 2016,
                                      Susp.
    Muncy Creek,             420650  August 23, 1974,       ......do.................   Do.
     Township of,                     Emerg; September 30,
     Lycoming County.                 1980, Reg; June 2,
                                      2016, Susp.
    Nippenose,               420651  May 1, 1973, Emerg;    ......do.................   Do.
     Township of,                     April 15, 1980, Reg;
     Lycoming County.                 June 2, 2016, Susp.
    Old Lycoming,            420652  January 19, 1973,      ......do.................   Do.
     Township of,                     Emerg; April 15,
     Lycoming County.                 1977, Reg; June 2,
                                      2016, Susp.
    Penn, Township           421848  March 7, 1977, Emerg;  ......do.................   Do.
     of, Lycoming                     August 15, 1990,
     County.                          Reg; June 2, 2016,
                                      Susp.
    Piatt, Township          420653  April 10, 1973,        ......do.................   Do.
     of, Lycoming                     Emerg; April 1,
     County.                          1980, Reg; June 2,
                                      2016, Susp.
    Picture Rocks,           420654  March 21, 1975,        ......do.................   Do.
     Borough of,                      Emerg; September 5,
     Lycoming County.                 1990, Reg; June 2,
                                      2016, Susp.
    Pine, Township           420954  October 4, 1973,       ......do.................   Do.
     of, Lycoming                     Emerg; September 17,
     County.                          1980, Reg; June 2,
                                      2016, Susp.
    Plunketts Creek,         420655  March 2, 1973, Emerg;  ......do.................   Do.
     Township of,                     August 2, 1982, Reg;
     Lycoming County.                 June 2, 2016, Susp.
    Porter, Township         420656  March 9, 1973, Emerg;  ......do.................   Do.
     of, Lycoming                     January 14, 1977,
     County.                          Reg; June 2, 2016,
                                      Susp.
    Salladasburg,            420657  September 12, 1975,    ......do.................   Do.
     Borough of,                      Emerg; January 5,
     Lycoming County.                 1979, Reg; June 2,
                                      2016, Susp.
    Shrewsbury,              421148  April 9, 1974, Emerg;  ......do.................   Do.
     Township of,                     December 15, 1990,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.
    South                    420658  January 7, 1974,       ......do.................   Do.
     Williamsport,                    Emerg; April 15,
     Borough of,                      1977, Reg; June 2,
     Lycoming County.                 2016, Susp.
    Susquehanna,             420659  April 19, 1973,        ......do.................   Do.
     Township of,                     Emerg; September 28,
     Lycoming County.                 1979, Reg; June 2,
                                      2016, Susp.
    Upper Fairfield,         420660  May 15, 1973, Emerg;   ......do.................   Do.
     Township of,                     September 17, 1980,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.
    Washington,              422613  September 15, 1975,    ......do.................   Do.
     Township of,                     Emerg; December 1,
     Lycoming County.                 1986, Reg; June 2,
                                      2016, Susp.
    Watson, Township         420661  May 4, 1973, Emerg;    ......do.................   Do.
     of, Lycoming                     October 15, 1980,
     County.                          Reg; June 2, 2016,
                                      Susp.
    Williamsport,            420662  November 24, 1972,     ......do.................   Do.
     City of,                         Emerg; December 1,
     Lycoming County.                 1977, Reg; June 2,
                                      2016, Susp.
    Wolf, Township           420663  March 30, 1973,        ......do.................   Do.
     of, Lycoming                     Emerg; December 2,
     County.                          1980, Reg; June 2,
                                      2016, Susp.
    Woodward,                420664  June 4, 1973, Emerg;   ......do.................   Do.
     Township of,                     September 28, 1979,
     Lycoming County.                 Reg; June 2, 2016,
                                      Susp.
----------------------------------------------------------------------------------------------------------------
* ......do = Ditto.
Code for reading third column: Emerg.--Emergency; Reg.--Regular; Susp.--Suspension.

Michael M. Grimm,
Assistant Administrator for Mitigation, Federal Insurance and
Mitigation Administration, Department of Homeland Security, Federal
Emergency Management Agency.
[FR Doc. 2016-09471 Filed 4-22-16; 8:45 am]
 BILLING CODE 9110-12-P


[Federal Register Volume 85, Number 242 (Wednesday, December 16, 2020)]
[Notices]
[Pages 81548-81551]
[FR Doc No: 2020-27597]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-90627; File No. SR-ICEEU-2020-013]

Self-Regulatory Organizations; ICE Clear Europe Limited; Order
Approving Proposed Rule Change Relating to the ICE Clear Europe
Investment Management Procedures

December 10, 2020.

I. Introduction

    On October 23, 2020, ICE Clear Europe Limited (``ICE Clear
Europe'') filed with the Securities and Exchange Commission
(``Commission''), pursuant to Section 19(b)(1) of the Securities
Exchange Act of 1934 (the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ a
proposed rule change to amend its Investment Management Procedures (the
``Procedures'') to make certain clarifications and updates with respect
to permissible investments.\3\ The proposed rule change was published
for comment in the Federal Register on November 5, 2020.\4\ The
Commission did not receive comments regarding the proposed rule change.
For the reasons discussed below, the Commission is approving the
proposed rule change.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Self-Regulatory Organizations; ICE Clear Europe Limited;
Notice of Filing of Proposed Rule Change Relating to the ICE Clear
Europe Investment Management Procedures, Exchange Act Release No.
90290 (October 30, 2020), 85 FR 70697 (November 5, 2020) (SR-ICEEU-
2020-013) (``Notice'').
    \4\ See Notice supra note 3.
---------------------------------------------------------------------------

II. Description of the Proposed Rule Change

    The proposed rule change would amend the Procedures to clarify the
requirements for investment of customer funds by FCM/BD Clearing
Members \5\ resulting from the expansion of permitted investments to
include qualifying Euro-denominated non-U.S. sovereign debt pursuant to
an exemptive order issued by the U.S. Commodity

Futures Trading Commission (the ``CFTC Order'').\6\
---------------------------------------------------------------------------

    \5\ Capitalized terms used but not defined herein have the
meanings specified in the Procedures or the ICE Clear Europe
Clearing Rules (the ``Rules''), as applicable.
    \6\ Order Granting Exemption From Certain Provisions of the
Commodity Exchange Act Regarding Investment of Customer Funds and
From Certain Related Commission Regulations, 83 FR 35241, 35245
(July 25, 2018) (permitting the investment of futures and swap
customer funds in euro-denominated debt issued by the French
Republic and the Federal Republic of Germany under specified
conditions, and granting other related limited exemptions to CFTC-
registered derivatives clearing organizations or ``DCOs'').
---------------------------------------------------------------------------

    In Section 1 of the Procedures, ICE Clear Europe proposes to amend
its investment management objective to clarify that the cash subject to
investment excludes its corporate cash held for operating purposes, but
would include cash held for the purposes of meeting ICE Clear Europe's
contributions to the guaranty fund (referred to below as ``skin in the
game''), maintaining its capital pursuant to applicable regulatory
requirements (referred to below as ``regulatory capital''), or for any
other purpose in connection with its daily treasury activities for the
management of Clearing Members' margin or guaranty fund contributions.
ICE Clear Europe represented that this clarification is consistent with
current practice.\7\
---------------------------------------------------------------------------

    \7\ See Notice, 85 FR at 70697.
---------------------------------------------------------------------------

    In Section 2 of the Procedures, ICE Clear Europe proposes three
main changes to its overall investment considerations, which are a list
of criteria that ICE Clear Europe considers when making investments.
First, it would clarify that the goal for non-overnight investments to
have a variety of maturity dates only applies where applicable and thus
not necessarily in all cases, such as investments in bank deposits.
Second, it would amend the description of how futures commission
merchant (``FCM'') customer funds may be invested by permitting
investments in cash deposits, clarifying that direct purchases with
U.S. dollar cash are limited to U.S. sovereign bonds, and providing
that direct purchases with Euro cash may be made in French and German
sovereign bonds as permitted in the CFTC Order. Third, it would clarify
that ICE Clear Europe calculates the requirement of no more than 5% of
the investible funds should be held as unsecured cash over an average
period of one calendar month. In addition, ICE Clear Europe would make
certain other typographical and similar corrections to this section of
the Procedures.
    ICE Clear Europe would also amend its table of authorized
investments and concentration limits for cash from Clearing Members and
from skin in the game to expand the investments in which ICE Clear
Europe may invest such cash and skin in the game. This table identifies
the permitted instruments for investment and then identifies, for each
instrument: (i) The maximum issuer or counterparty concentration
limits; (ii) the maximum portfolio concentration limits; (iii) the
maximum maturity; and (iv) the minimum credit ratings of the instrument
or allowed issuers of the instrument. The proposed rule change would
retain the permitted investments currently listed in this table (i.e.,
reverse repurchase agreements, US, UK, and EU sovereign obligations,
US, UK, and EU government agency bonds, central bank obligations, and
commercial bank obligations) and make four main changes with respect to
the currently permitted instruments. First, it would apply the existing
maximum issuer/counterparty concentration limit of 15% of the total EUR
balance in a single government issuer only to government bonds issued
by Belgium and the Netherlands, and provide no limit for French and
German government bonds. Second, it would remove the current reference
to the issuer limit and impose new maximum portfolio concentration
limits for EU government bonds at 20% of the total EUR balance in a
single issue for German or French government bonds, and 10% of the
total EUR balance in a single issue for Belgian or Dutch government
bonds. Third, for investments of FCM customer funds in EU government
bonds, it would apply additional criteria as required in the CFTC
Order, as described further below in the new defined term ``Permitted
Purchases of Euro denominated debt for FCM Customer Funds'' in the
Glossary section of the Procedures. Fourth, with respect to central
bank deposits, it would add the Federal Reserve and the European
Central Bank (ECB) to the list of allowed central banks. While ICE
Clear Europe represented that it does not necessarily have access to
deposits at such central banks at this time, the amendment would allow
for possible future developments.\8\
---------------------------------------------------------------------------

    \8\ See Notice, 85 FR at 70697.
---------------------------------------------------------------------------

    The proposed rule change would also add a new instrument category
of commercial bank deposits to ICE Clear Europe's table of authorized
investments and concentration limits for its regulatory capital. This
table currently lists US, UK, and EU sovereign obligations, and US, UK,
and EU government agency bonds as the only permitted investments for
ICE Clear Europe's regulatory capital. The addition of commercial bank
deposits thus expands this list. For this instrument category, ICE
Clear Europe would set unsecured cash limits separately for financial
service providers; impose a maximum portfolio concentration limit at no
more than 5% of the total investible funds in unsecured cash on average
each calendar month; set the maximum maturity at overnight; and require
minimum credit ratings of A-1/P-1.
    The Procedures currently contain an additional table that describes
the collateral acceptable for reverse repurchase agreements (also
referred to below as ``reverse repo''). This table specifies the
currency of the agreement, the currency of the collateral, the credit
rating, the securities used as collateral, and the haircut applied by
ICE Clear Europe. The proposed rule change would expand the scope of
acceptable collateral for reverse repurchase agreements to allow ICE
Clear Europe to use GBP and EUR agency bonds with AA-/Aa3 credit
ratings and a 2% haircut. The proposed rule change would also remove
the current credit rating requirement of AA-/Aa3 for UK and US
sovereign bonds. For FCM customer funds invested in EUR reverse
repurchase agreements, the proposed rule change would specify that only
collateral meeting the CFTC Order requirements will be accepted.
    ICE Clear Europe would also update the Glossary section of the
Procedures to add central banks to the definition of ``Permitted
Depositories for FCM Customer Funds'' where the CFTC has provided the
relevant exemption to ICE Clear Europe. In addition, the proposed rule
change would include a definition of the term ``Permitted Purchases of
Euro denominated debt for FCM Customer Funds.'' This new definition
would set forth the conditions under the CFTC Order for investment of
FCM customer funds in euro-denominated sovereign debt issued by the
French Republic and the Federal Republic of Germany.\9\
---------------------------------------------------------------------------

    \9\ Specifically, the proposed definition of ``Permitted
Purchases of Euro denominated debt for FCM Customer Funds'' would
include the conditions listed in section (3)(a) through (d) in the
CFTC Order. See supra note 6 at 35245.
---------------------------------------------------------------------------

III. Discussion and Commission Findings

    Section 19(b)(2)(C) of the Act directs the Commission to approve a
proposed rule change of a self-regulatory organization if it finds that
such proposed rule change is consistent with the requirements of the
Act and the rules and regulations thereunder applicable to such
organization.\10\ For the reasons given below, the Commission finds
that the proposed

rule change is consistent with Section 17A(b)(3)(F) of the Act \11\ and
Rule 17Ad-22(e)(16).\12\
---------------------------------------------------------------------------

    \10\ 15 U.S.C. 78s(b)(2)(C).
    \11\ 15 U.S.C. 78q-1(b)(3)(F).
    \12\ 17 CFR 240.17Ad-22(e)(16).
---------------------------------------------------------------------------

A. Consistency With Section 17A(b)(3)(F) of the Act

    Section 17A(b)(3)(F) of the Act requires, among other things, that
the rules of ICE Clear Europe be designed to promote the prompt and
accurate clearance and settlement of securities transactions and, to
the extent applicable, derivative agreements, contracts, and
transactions, as well as to assure the safeguarding of securities and
funds which are in the custody or control of ICE Clear Europe or for
which it is responsible.\13\
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------

    The Commission believes that, by clarifying ICE Clear Europe's
criteria for investments of cash received from Clearing Members and
certain other cash it holds for skin in the game and regulatory
capital, and updating the requirements for investment of customer funds
by FCM/BD Clearing Members resulting from the CFTC's authorized
expansion of permitted investments to include qualifying Euro-
denominated sovereign debt, the proposed rule change generally should
provide ICE Clear Europe with enhanced efficiency and flexibility in
how it manages and invests customer funds and cash balances, in a
manner consistent with applicable regulatory requirements. The
Commission believes that these aspects of the proposed rule change
would help to diversify permissible investments for such cash in a
conservative manner that protects against loss. Thus, the Commission
believes these aspects of the proposed rule change should ensure that
ICE Clear Europe will have sufficient resources to promptly and
accurately clear and settle securities transactions and, therefore, are
consistent with Section 17A(b)(3)(F) of the Act.\14\ Further, the
Commission believes that the proposed amendments to add a new category
of commercial bank deposits as an authorized investment for ICE Clear
Europe's regulatory capital, to facilitate investments in bank deposits
or other non-overnight investments by only requiring a variety of
maturity dates where applicable, and to add GBP and EUR agency bonds
with AA-/Aa3 credit ratings and a 2% haircut as acceptable collateral
for reverse repo, should also enhance ICE Clear Europe's efficiency in
meeting its investment management objective to safeguard the principal
of cash and maintain sufficient liquidity for its payment obligations.
By having defined investment criteria and conservative investment
management procedures, the Commission believes that these aspects of
the proposed rule change should also help to ensure that cash is
invested reasonably, conservatively, and in a manner that protects
against loss, which, in turn, should help to thereby assuring the
safeguarding of securities and funds which are in the custody or
control of ICE Clear Europe or for which it is responsible, and,
therefore, are consistent with Section 17A(b)(3)(F) of the Act.\15\
---------------------------------------------------------------------------

    \14\ 15 U.S.C. 78q-1(b)(3)(F).
    \15\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------

    Similarly, the Commission believes that by facilitating ICE Clear
Europe's use of central bank deposits, including by expanding the list
of allowed central banks; updating certain concentration and similar
limits for investment in US, UK, and EU government bonds; and adding
acceptable collateral for reverse repo, the proposed rule change would
expand ICE Clear Europe's permitted investments to include investments
that should be generally reasonable and conservative and have minimal
credit, market, and liquidity risks. Moreover, the Commission believes
that the other changes to the authorized investments discussed above,
i.e., eliminating the maximum issuer/counterparty concentration limit
for French and German sovereign bonds, removing the credit rating
requirement for UK and US sovereign bonds as acceptable collateral for
reverse repo, and specifying that only collateral that meets the CFTC
Order requirements is acceptable for FCM customer funds invested in EUR
reverse repo, should not reduce the reasonableness or conservativeness
of ICE Clear Europe's permitted investments. Thus, the Commission
believes these aspects of the proposed rule change should provide ICE
Clear Europe additional investment options that should help to
safeguard skin in the game, regulatory capital, and Clearing Member
cash against loss. Because the loss of skin in the game, regulatory
capital, and Clearing Member cash could impair ICE Clear Europe's
ability to operate and therefore clear and settle transactions and
safeguard securities and funds, the Commission believes that these
aspects of the proposed rule change should be consistent with Section
17A(b)(3)(F) of the Act.\16\
---------------------------------------------------------------------------

    \16\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------

    Therefore, for these reasons, the Commission finds that the
proposed rule change should promote the prompt and accurate clearance
and settlement of securities transactions and assure the safeguarding
of securities and funds in ICE Clear Europe's custody and control,
consistent with the Section 17A(b)(3)(F) of the Act.\17\
---------------------------------------------------------------------------

    \17\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------

B. Consistency With Rule 17Ad-22(e)(16)

    Rule 17Ad-22(e)(16) requires that ICE Clear Europe establish,
implement, maintain and enforce written policies and procedures
reasonably designed to, among other things, safeguard its own and its
Clearing Members' assets, minimize the risk of loss of loss and delay
in access to these assets, and invest such assets in instruments with
minimal credit, market, and liquidity risks.\18\ The Commission
believes that by clarifying ICE Clear Europe's criteria for investments
of cash, updating investment concentration limits and similar
requirements for EU, US, and UK government bonds, and generally
expanding permitted investment options to facilitate ICE Clear Europe's
flexibility to diversify investments, the proposed rule change should
help to ensure that ICE Clear Europe safeguards its own and its
participants' assets--specifically, ICE Clear Europe's deposits of
cash, which would include cash posted by Clearing Members to satisfy
their margin and guaranty fund requirements--in a manner that should
appropriately minimize the risk of loss or delay of such assets.
---------------------------------------------------------------------------

    \18\ 17 CFR 240.17Ad-22(e)(16).
---------------------------------------------------------------------------

    In addition, the proposed rule change would facilitate ICE Clear
Europe's use of commercial and central bank deposits, in particular by
adding the Federal Reserve and ECB to the list of allowed central banks
to facilitate access to these deposits. Further, the proposed rule
change would expand the scope of acceptable collateral in reverse
repurchase agreements subject to appropriate limitations. The
Commission believes these investments, as well as the investments
currently permitted under the Procedures, constitute instruments with
minimal credit, market, and liquidity risks. Therefore, the Commission
believes the proposed rule change generally should help to ensure that
ICE Clear Europe invests cash reasonably and in a manner that protects
against loss which, in turn, should help ICE Clear Europe to safeguard
its own and its Clearing Members' assets and invest such assets in
instruments with minimal credit, market, and liquidity risks. For these
reasons, the Commission finds that the

proposed rule change is consistent with Rule 17Ad-22(e)(16).\19\
---------------------------------------------------------------------------

    \19\ 17 CFR 240.17Ad-22(e)(16).
---------------------------------------------------------------------------

IV. Conclusion

    On the basis of the foregoing, the Commission finds that the
proposed rule change is consistent with the requirements of the Act,
and in particular, with the requirements of Section 17A(b)(3)(F) of the
Act \20\ and Rule 17Ad-22(e)(16).\21\
---------------------------------------------------------------------------

    \20\ 15 U.S.C. 78q-1(b)(3)(F).
    \21\ 17 CFR 240.17Ad-22(e)(16).
---------------------------------------------------------------------------

    It is therefore ordered pursuant to Section 19(b)(2) of the Act
\22\ that the proposed rule change (SR-ICEEU-2020-013), be, and hereby
is, approved.\23\
---------------------------------------------------------------------------

    \22\ 15 U.S.C. 78s(b)(2).
    \23\ In approving the proposed rule change, the Commission
considered the proposal's impact on efficiency, competition, and
capital formation. 15 U.S.C. 78c(f).

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\24\
---------------------------------------------------------------------------

    \24\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020-27597 Filed 12-15-20; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 80, Number 94 (Friday, May 15, 2015)]
[Notices]
[Pages 27972-27973]
[FR Doc No: 2015-11685]

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

DEPARTMENT OF HEALTH AND HUMAN SERVICES

Food and Drug Administration

[Docket No. FDA-2015-D-1484]

Investigational New Drug Applications Prepared and Submitted by
Sponsor-Investigators; Draft Guidance for Industry; Availability

AGENCY: Food and Drug Administration, HHS.

ACTION: Notice.

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

SUMMARY: The Food and Drug Administration (FDA or Agency) is announcing
the availability of a draft guidance for industry entitled
``Investigational New Drug Applications Prepared and Submitted by
Sponsor-Investigators.'' The purpose of this guidance is to assist
sponsor-investigators in preparing and submitting complete
investigational new drug applications (INDs) to the Center for Drug
Evaluation and Research (CDER) and the Center for Biologics Evaluation
and Research (CBER) at FDA. Although not an exhaustive step-by-step
instruction manual, this guidance highlights certain elements of this
process to facilitate a sponsor-investigator's successful submission of
an IND. This guidance also discusses the IND review process and general
responsibilities of sponsor-investigators related to clinical
investigations. Details of the informational content of an IND as well
as information needed to complete required forms also are provided
throughout this guidance.

DATES: Although you can comment on any guidance at any time (see 21 CFR
10.115(g)(5)), to ensure that the Agency considers your comment on this
draft guidance before it begins work on the final version of the
guidance, submit either electronic or written comments on the draft
guidance by July 14, 2015.

ADDRESSES: Submit written requests for single copies of the draft
guidance to the Division of Drug Information, Center for Drug
Evaluation and Research, Food and Drug Administration, 10001 New
Hampshire Ave., Hillandale Building, 4th Floor, Silver Spring, MD
20993-0002; or the Office of Communication, Outreach, and Development
(HFM-40), Center for Biologics Evaluation and Research, Food and Drug
Administration, 10903 New Hampshire Ave., Bldg. 71, Rm. 3128, Silver
Spring, MD 20993-0002. Send one self-addressed adhesive label to assist
that office in processing your requests. See the SUPPLEMENTARY
INFORMATION section for electronic access to the draft guidance
document.
    Submit electronic comments on the draft guidance to http://www.regulations.gov. Submit written comments to the Division of Dockets
Management (HFA-305), Food and Drug Administration, 5630 Fishers Lane,
Rm. 1061, Rockville, MD 20852.

FOR FURTHER INFORMATION CONTACT: Amalia Himaya, Center for Drug
Evaluation and Research, Food and Drug Administration, 10903 New
Hampshire Ave., Bldg. 22, Rm. 6439, Silver Spring, MD 20993-0002, 301-
796-0700; or Stephen Ripley, Center for Biologics Evaluation and
Research, Food and Drug Administration, 10903 New Hampshire Ave., Bldg.
71, Rm. 7301, Silver Spring, MD 20993-0002,<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

I. Background

    FDA is announcing the availability of a draft guidance for industry
entitled ``Investigational New Drug Applications Prepared and Submitted
by Sponsor-Investigators.'' The purpose of this guidance is to assist
investigators in preparing and submitting complete INDs to CDER and
CBER at FDA. Sponsor-investigators seeking to do clinical research
often do not have the regulatory knowledge or the resources to hire
experts to help them with the IND submission process. Although not an
exhaustive step-by-step instruction manual, this guidance highlights
certain elements of this process to facilitate a sponsor-investigator's
successful submission of an IND. This guidance also discusses the IND
review process and general responsibilities of sponsor-investigators
related to clinical investigations. The guidance does not include
discussions of all of the requirements that apply to the IND submission
and review process or to conducting clinical research.
    This guidance is directed primarily at those sponsor-investigators
who are seeking to evaluate a drug that is either currently approved or
is being investigated under an existing IND for a different indication.
This guidance is not intended for sponsor-investigators who are
developing a drug for commercial purposes (i.e., seeking market
approval or licensure). This guidance does not apply to clinical trials
that do not need to be conducted under an IND (i.e., that qualify for
an IND exemption). The guidance also is not intended to address
expanded access INDs or biologic devices.
    This draft guidance is being issued consistent with FDA's good
guidance practices regulation (21 CFR 10.115). The draft guidance, when
finalized, will represent the current thinking of FDA on INDs prepared
and submitted by sponsor-investigators. It does not establish any
rights for any person and is not binding on FDA or the public. You can
use an alternative approach if it satisfies the requirements of the
applicable statutes and regulations.

II. The Paperwork Reduction Act of 1995

    This guidance refers to previously approved collections of
information that are subject to review by the Office of Management and
Budget (OMB) under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-
3520). The collections of information in 21 CFR part 312 have been
approved under OMB control number 0910-0014.

III. Comments

    Interested persons may submit either electronic comments regarding
this document to http://www.regulations.gov or written comments to the
Division of Dockets Management (see ADDRESSES). It is only necessary to
send one set of comments. Identify comments with the docket number
found in brackets in the heading of this document. Received comments
may be seen in the Division of Dockets Management between 9 a.m. and 4
p.m., Monday through Friday, and

will be posted to the docket at http://www.regulations.gov.

IV. Electronic Access

    Persons with access to the Internet may obtain the document at
http://www.fda.gov/Drugs/GuidanceComplianceRegulatoryInformation/Guidances/default.htm, http://www.fda.gov/BiologicsBloodVaccines/GuidanceComplianceRegulatoryInformation/default.htm, or http://www.regulations.gov.

    Dated: May 11, 2015.
Leslie Kux,
Associate Commissioner for Policy.
[FR Doc. 2015-11685 Filed 5-14-15; 8:45 am]
 BILLING CODE 4164-01-P


[Federal Register: April 16, 2010 (Volume 75, Number 73)]
[Rules and Regulations]
[Page 19877-19878]
[DOCID:fr16ap10-2]

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

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Parts 61, 63, and 65

[Docket No. FAA-2009-0923; Special Federal Aviation Regulation No. 100-
2]
RIN 2120-AJ54

Relief for U.S. Military and Civilian Personnel Who Are Assigned
Outside the United States in Support of U.S. Armed Forces Operations

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Confirmation of effective date.

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

SUMMARY: This action confirms the direct final rule issued March 4,
2010, which becomes effective June 20, 2010. The rule changes SFAR 100-
1 with an expiration date from June 20, 2010, to SFAR 100-2 with an
expiration of until further notice.

DATES: The effective date for the direct final rule that published in
the Federal Register on March 4, 2010 (75 FR 9763) is confirmed as June
20, 2010.

FOR FURTHER INFORMATION CONTACT: R. Lance Nuckolls, AFS-810, General
Aviation and Commercial Division, Flight Standards Service, Federal
Aviation Administration, 800 Independence Avenue, SW., Washington, DC
20591; telephone<PHONE_NUMBER>.
    For legal questions about this SFAR, contact: Michael Chase, AGC-
240, Office of Chief Counsel, Regulations Division, Federal Aviation
Administration, 800 Independence Avenue, SW., Washington, DC 20591;
telephone<PHONE_NUMBER>; e-mail to<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

Background

    The FAA is replacing Special Federal Aviation Regulation 100-1
(SFAR 100-1), with SFAR 100-2 that continues to allow Flight Standards
District Offices (FSDOs) to accept expired flight

instructor certificates and inspection authorizations for renewals from
U.S. military and civilian personnel (U.S. personnel) who are assigned
outside the United States in support of U.S. Armed Forces operations.
SFAR 100-2 also continues to allow FSDOs to accept expired airman
written test reports for certain practical tests from U.S. personnel
who are assigned outside the United States in support of U.S. Armed
Forces operations. This action is necessary to avoid penalizing U.S.
personnel who are unable to meet the regulatory time limits of their
flight instructor certificate, inspection authorization, or airman
written test report because they are serving outside the United States
in support of U.S. Armed Forces operations. The effect of this action
is to give U.S. personnel who are assigned outside the United States in
support of U.S. Armed Forces operations extra time to meet certain
eligibility requirements in the current rules.
    The FAA received no comments on Relief for U.S. Military and
Civilian Personnel Who Are Assigned Outside the United States in
Support of U.S. Armed Forces Operations direct final rule.

Availability of Docket

    The complete docket for the direct final rule entitled Relief for
U.S. Military and Civilian Personnel Who Are Assigned Outside the
United States in Support of U.S. Armed Forces Operations, Docket No.
FAA-2009-0923 may be examined at http://www.regulations.gov at any time
or go to Docket Operations in Room W12-140 of the West Building, Ground
Floor at 1200 New Jersey Avenue, SE., Washington, DC, between 9 a.m.
and 5 p.m., Monday through Friday, except Federal holidays.

Conclusion

    In consideration that no comments were submitted in response to the
direct final rule, the FAA has determined that no further rulemaking
action is necessary. SFAR 100-2 remains in effect as adopted.

    Issued in Washington, DC, on April 12, 2010.
Pamela Hamilton-Powell,
Director of Rulemaking, ARM-1.
[FR Doc. 2010-8696 Filed 4-15-10; 8:45 am]
BILLING CODE 4910-13-P


			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on August 21, 2003

NOTICE OF ACTION TAKEN -- DOCKET OST-2003-15824

________________________________________________________________________
________________________________________________________

This serves as notice to the public of the action described below, taken
by the Department official indicated (no additional confirming order
will be issued in this matter).

Applicant:  Cayman Airways Limited					Date Filed:  July 31, 2003

Relief requested: Exemption authority from 49 U.S.C. § 41301 to engage
in scheduled foreign air transportation of persons, property and mail
between the Cayman Islands and Chicago, Illinois (O’Hare).

If renewal, date and citation of last action:  New authority

Applicant representative:  Richard Littell<PHONE_NUMBER>

DOT Analyst:  Gordon H. Bingham<PHONE_NUMBER>

Responsive pleadings:  None filed

	DISPOSITION

Action:  Approved								Action date:  August 21, 2003

Effective dates of authority granted:  August 21, 2003-August 21, 2004

Basis for approval (bilateral agreement/reciprocity):  Air Services
Agreement between the United States and the United Kingdom

Except to the extent exempted/waived, this authority is subject to the
terms, conditions, and limitations indicated:

X  Standard exemption conditions (Attached)

Special conditions/Partial grant/Denial basis/Remarks:

Action taken by:  Paul L. Gretch, Director

		     Office of International Aviation

________________________________________________________________________
________________________________________________________

Under authority assigned by the Department in its regulations, 14 CFR
Part 385, we found that (1) the applicant was qualified to perform the
proposed operations; (2) our action was consistent with Department
policy; (3) grant of the authority was consistent with the public
interest; and (4) grant of the authority would not constitute a major
regulatory action under the Energy Policy and Conservation Act of 1975.
To the extent not granted/deferred/dismissed, we

denied all requests in the referenced Docket.  We may amend, modify, or
revoke the authority granted in this Notice at any time without hearing
at our discretion.

Persons entitled to petition the Department for review of the action set
forth in this Notice under the Department’s regulations, 14 CFR §
385.30, may file their petitions within seven (7) days after the date of
issuance of this Notice.  This action was effective when taken, and the
filing of a petition for review will not alter such effectiveness.

An electronic version of this document is available on the World Wide
Web at:

  HYPERLINK "http://dms.dot.gov//reports/reports_aviation.asp"
http://dms.dot.gov//reports/reports_aviation.asp

Foreign Carrier Conditions

In the conduct of the operations authorized, the foreign carrier
applicant(s) shall:

(1)  Not conduct any operations unless it holds a currently effective
authorization from its homeland for such operations, and it has filed a
copy of such authorization with the Department;

(2)  Comply with all applicable requirements of the Federal Aviation
Administration, including, but not limited to, 14 CFR Parts 129, 91, and
36, and with all applicable U.S. Government requirements concerning
security.  To assure compliance with all applicable U.S. Government
requirements concerning security, the holder shall, before commencing
any new service (including charter flights) from a foreign airport that
would be the holder’s last point of departure for the United States,
contact its Principal Security Inspector (PSI) to advise the PSI of its
plans and to find out whether the Transportation Security Administration
has determined that security is adequate to allow such airport(s) to be
served;

(3)  Comply with the requirements for minimum insurance coverage
contained in 14 CFR Part 205, and, prior to the commencement of any
operations under this authority, file evidence of such coverage, in the
form of a completed OST Form 6411, with the Federal Aviation
Administration’s Program Management Branch (AFS-260), Flight Standards
Service (any changes to, or termination of, insurance also shall be
filed with that office);

(4)  Not operate aircraft under this authority unless it complies with
operational safety requirements at least equivalent to Annex 6 of the
Chicago Convention;

(5)  Conform to the airworthiness and airman competency requirements of
its Government for international air services;

(6)  Except as specifically exempted or otherwise provided for in a
Department Order, comply with the requirements of 14 CFR Part 203,
concerning waiver of Warsaw Convention liability limits and defenses;

(7)  Agree that operations under this authority constitute a waiver of
sovereign immunity, for the purposes of 28 U.S.C. 1605(a), but only with
respect to those actions or proceedings instituted against it in any
court or other tribunal in the United States that are: (a)  based on its
operations in international air transportation that, according to the
contract of carriage, include a point in the United States as a point of
origin, point of destination, or agreed stopping place, or for which the
contract of carriage was purchased in the United States; or (b)  based
on a claim under any international agreement or treaty cognizable in any
court or other tribunal of the United States.  In this condition, the
term "international air transportation" means "international
transportation" as defined by the Warsaw Convention, except that all
States shall be considered to be High Contracting Parties for the
purpose of this definition;

(8)  Except as specifically authorized by the Department, originate or
terminate all flights to/from the United States in its homeland;

(9)  Comply with the requirements of 14 CFR Part 217, concerning the
reporting of scheduled, nonscheduled, and charter data;

(10) If charter operations are authorized, except as otherwise provided
in the applicable aviation agreement, comply with the Department's rules
governing charters (including 14 CFR Parts 212 and 380); and

(11) Comply with such other reasonable terms, conditions, and
limitations required by the public interest as may be prescribed by the
Department, with all applicable orders or regulations of other U.S.
agencies and courts, and with all applicable laws of the United States.

This authority shall not be effective during any period when the holder
is not in compliance with the
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[Federal Register Volume 85, Number 61 (Monday, March 30, 2020)]
[Rules and Regulations]
[Pages 17483-17487]
[FR Doc No: 2020-06508]

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

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2019-0438; Product Identifier 2019-NM-033-AD; Amendment
39-19875; AD 2020-05-25]
RIN 2120-AA64

Airworthiness Directives; The Boeing Company Airplanes

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Final rule.

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

SUMMARY: The FAA is adopting a new airworthiness directive (AD) for all
The Boeing Company Model 757-200, -200PF, -200CB, and -300 series
airplanes. This AD was prompted by a report that during a maintenance
check an operator discovered cracking of the aft cargo compartment
frames in the station 1460 frame web and inner chord between certain
stringers. This AD requires an inspection of the fuselage frames for
any existing repair, repetitive surface high frequency eddy current
(HFEC) inspections of the fuselage frames with a cargo liner support
channel for any cracking, and applicable on-condition actions. The FAA
is issuing this AD to address the unsafe condition on these products.

DATES: This AD is effective May 4, 2020.
    The Director of the Federal Register approved the incorporation by
reference of a certain publication listed in this AD as of May 4, 2020.

ADDRESSES: For service information identified in this final rule,
contact Boeing Commercial Airplanes, Attention: Contractual & Data
Services (C&DS), 2600 Westminster Blvd., MC 110-SK57, Seal Beach, CA
90740-5600; telephone<PHONE_NUMBER>; internet https://www.myboeingfleet.com. You may view this service information at the
FAA, Transport Standards Branch, 2200 South 216th St., Des Moines, WA.
For information on the availability of this material at the FAA, call
206-231-3195. It is also available on the internet at https://www.regulations.gov by searching for and locating Docket No. FAA-2019-
0438.

Examining the AD Docket

    You may examine the AD docket on the internet at https://www.regulations.gov by searching for and locating Docket No. FAA-2019-
0438; or in person at Docket Operations between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays. The AD docket contains
this final rule, the regulatory evaluation, any comments received, and
other information. The address for Docket Operations is U.S. Department
of Transportation, Docket Operations, M-30, West Building Ground Floor,
Room W12-140, 1200 New Jersey Avenue SE, Washington, DC 20590.

FOR FURTHER INFORMATION CONTACT: Peter Jarzomb, Aerospace Engineer,
Airframe Section, FAA, Los Angeles ACO Branch, 3960 Paramount
Boulevard, Lakewood, CA 90712-4137; phone:<PHONE_NUMBER>; fax: 562-627-
5210; email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

Discussion

    The FAA issued a notice of proposed rulemaking (NPRM) to amend 14
CFR part 39 by adding an AD that would apply to all The Boeing Company
Model 757 airplanes. The NPRM published in the Federal Register on June
28, 2019 (84 FR 30958). The NPRM was prompted by a report that during a
maintenance check an operator discovered cracking of the aft cargo
compartment frames in the station 1460 frame web and inner chord
between stringers S-26 and S-27 near an existing repair. The NPRM
proposed to require an inspection of the fuselage frames for any
existing repair, repetitive surface HFEC inspections of the fuselage
frames with a cargo liner support channel for any cracking, and
applicable on-condition actions.
    The FAA issued a supplemental notice of proposed rulemaking (SNPRM)
to amend 14 CFR part 39 by adding an AD that would apply to all The
Boeing Company Model 757 airplanes. The SNPRM published in the Federal
Register on December 2, 2019 (84 FR 65931). The FAA issued the SNPRM to
reduce the compliance time for certain airplane configurations.
    The FAA is issuing this AD to address cracking at the frame web and
inner chord; such cracks could propagate until they cause a severed
frame, which could result in additional undetected cracking in adjacent
fuselage frames, and could ultimately result in reduced structural
integrity of the aft cargo frames and consequent rapid decompression of
the airplane.

Comments

    The FAA gave the public the opportunity to participate in
developing this final rule. The following presents the comments
received on the SNPRM and the FAA's response to each comment.

Support for the SNPRM

    Boeing and United Airlines concurred with the SNPRM. FedEx stated
they had no objection to the SNPRM.

Request To Utilize Actions for a Certain Airplane Group and a
Compliance Time for Another Airplane Group

    VT Mobile Aerospace Engineering Inc. (VT MAE Inc.) requested to
utilize inspections and methods for Group 7 airplanes, and utilize the
compliance times for Groups 3 and 5 airplanes, which would reduce the
repetitive inspection interval from 6,000 flight cycles to 4,000 flight
cycles. VT MAE Inc. stated that its Model 757-200 airplanes were
converted to freighter configuration per VT MAE Inc. supplemental type
certificate (STC) ST04242AT (15 pallet configuration) and VT MAE Inc.
STC ST03952AT (combi configuration/14 pallet configuration), and are no
longer configured as a passenger airplanes. VT MAE Inc. also stated
that Boeing Alert Requirements Bulletin 757-53A0113 RB, dated February
22, 2019, shows that its converted Model 757-200 freighter fleet falls
under Group 7 airplanes. VT MAE Inc. provided no justification for
using compliance times for different airplane groups.
    The FAA agrees to provide additional clarification. The FAA issued
the SNPRM to add an airplane configuration to the NPRM that addressed
FedEx's fleet of 119 airplanes (approximately 22% of the affected U.S.
fleet) that were converted from a passenger configuration to a
freighter configuration using VT MAE Inc. STC ST03562AT. It was
determined that these airplanes are subjected to the same fatigue loads
as Groups 3 and 5 airplanes, as specified in Boeing Alert Requirements
Bulletin 757-53A0113 RB, dated February 22, 2019. Therefore, paragraph
(g)(2) of this AD was added in the SNPRM to address the required
actions and compliance times for this added airplane configuration.
    The FAA agrees with VT MAE Inc.'s comments that airplanes modified
using VT MAE Inc. STC ST04242AT and VT MAE Inc. STC ST03952AT are no
longer configured as passenger airplanes. However, the FAA disagrees
with the request to include additional exceptions in this AD that are
specific to certain airplanes converted by VT MAE Inc. There are many
different airplane configurations across multiple operators, and ADs
cannot accommodate all possible configurations.
    The FAA has already delayed this AD to address one configuration.
To reduce the compliance time of the proposed AD for airplanes modified
using VT MAE Inc. STCs ST04242AT and ST003952AT would necessitate
(under the provisions of the Administrative Procedure Act) reissuing
the notice, reopening the period for public comment, considering
additional comments subsequently received, and eventually issuing a
final rule. That procedure could add unwarranted time to the rulemaking
process. To delay this AD again would be inappropriate, since the FAA
has determined that an unsafe condition exists and that inspections
must be conducted to ensure continued safety. However, if additional
data are presented that would justify a shorter compliance time for
these airplanes, the FAA may consider further rulemaking on this issue.
Under the provisions of paragraph (i) of this AD, the FAA will consider
requests for approval of alternative actions and compliance times if
sufficient data are submitted to substantiate that the change would
provide an acceptable level of safety. The FAA has not changed this AD
in this regard.

Request To Revise the Language in Note (a) of the Service Information

    DAL requested that the language in Note (a) of paragraph ``3.
Compliance,'' of Boeing Alert Requirements Bulletin 757-53A0113 RB,
dated February 22, 2019, be revised from ``meets the following
criteria'' to ``meets one of the following criteria,'' and to also add
``757-200 SRM [Structural Repair Manual] 53-00-07 Repair 5'' to the
criteria. DAL stated that it interprets the note to mean either
criterion 1 or criterion 2 provides relief from performing the subject
inspections and that the statement only takes into consideration that a
repair may be approved using FAA Form 8100-9. DAL commented that ``757-
200 SRM 53-00-07 Repair 5'' is also an FAA-approved repair for aft
cargo compartment lower frames. DAL commented that the Boeing 757 SRM
and any repair approved by The Boeing Organization Designation
Authorization (ODA) using FAA Form 8100-9 are both FAA-approved and
have damage tolerance analyses.
    The FAA disagrees with the comment. Note (a) in Boeing Alert
Requirements Bulletin 757-53A0113 RB, dated February 22, 2019, is
intended to address repairs that were designed as corrective actions to
the unsafe condition addressed in the service information and this AD,
are Boeing ODA-approved, and include a follow-on inspection program,
but were installed before this AD becomes effective. For this reason,
the FAA allows FAA Form 8100-9 for approved repairs that meet both
criteria (1) and (2) specified in Note (a) of Boeing Alert Requirements
Bulletin 757-53A0113 RB, dated February 22, 2019, to be exempted from
the inspections in those repaired areas, but do not allow just any FAA-
approved repair to be exempted from these required inspections.
However, under the provisions of paragraph (i) of this AD, the FAA will
consider requests for approval of certain repairs in this area that
affect compliance with this AD if sufficient data are submitted to
substantiate that the change would provide an acceptable level of
safety. The FAA has not changed this AD in this regard.

Request To Revise Certain Wording

    DAL pointed out that Sheet 3 of 3 of Figure 21 of Boeing Alert
Requirements Bulletin 757-53A0113 RB, dated February 22, 2019, contains
an error in the inspection task description. DAL stated that the
inspection task description and general visual inspection for station
1260 nomenclature should be ``FRAME'' instead of ``FRAME WEB.'' DAL
also stated that the procedure is to do a general visual inspection for
any existing repairs in the area prior to accomplishing a detailed
inspection and HFEC inspection. DAL commented that this is also
consistent with the other general visual inspection nomenclature of
adjacent frames to a frame found with a severed inner chord on Group 12
airplanes.
    From these statements, the FAA infers that DAL was requesting that
the SNPRM be revised to correct the error in Figure 21 (Sheet 3 of 3)
of Boeing Alert Requirements Bulletin 757-53A0113 RB, dated February
22, 2019. The FAA disagrees with the commenter's request. While the FAA
agrees that the name of the part specified in Figure 21 (Sheet 3 of 3)
of Boeing Alert Requirements Bulletin 757-53A0113 RB, dated February
22, 2019, is incorrect, it will not affect the operator's ability to
accomplish the inspection in Figure 21 (Sheet 3 of 3) of Boeing Alert
Requirements Bulletin 757-53A0113 RB, dated February 22, 2019, as the
location where the inspection is to be performed is clearly identified
in the figure. The FAA has not changed this AD in this regard.

Request To Define ``Unrepaired Locations''

    Delta Airlines (DAL) requested that the FAA define ``unrepaired
locations'' in the SNPRM to eliminate misinterpretations. DAL stated
that it has interpreted the definition of ``unrepaired locations'' to
mean the areas of each frame that do not have a repair, which
interferes with accomplishment of the HFEC inspection. DAL commented
that this interpretation is based on the possibility that airplanes in
a cargo liner attachment channel configuration with two fasteners may
have one fastener location with an interfering repair and one fastener
location without an interfering repair. DAL also stated that it
possible to interpret ``unrepaired locations'' to mean only body
stations with fuselage frames free of existing repairs.
    The FAA disagrees with the commenter's request. The service
information defines the locations that are to be inspected for repairs
and cracks. Boeing Alert Requirements Bulletin 757-53A0113 RB, dated
February 22, 2019, specifies operators to do a general visual
inspection of the fuselage frames with a cargo liner support channel
for any existing repair and provides figures that define the areas
where these inspections for repairs are to be performed. The on-
condition actions in Boeing Alert Requirements Bulletin 757-53A0113 RB,
dated February 22, 2019, then specify that if a repair in the
inspection area is found to contact Boeing for alternative inspections
and then to do those inspections and any corrective actions, as
applicable. Paragraph (h) of this AD requires operators to do the
repair, or alternative inspections and applicable on-condition actions
using a method approved in accordance with the procedures specified in
paragraph (i) of this AD. In addition, Boeing Alert Requirements
Bulletin 757-53A0113 RB, dated February 22, 2019, specifies that
operators perform the inspections for cracks at the locations that did
not have repairs and provides figures that clearly define those
inspection areas. The FAA has not changed this AD in this regard.

Conclusion

    The FAA reviewed the relevant data, considered the comments
received, and determined that air safety and the public interest
require adopting this final rule as proposed, except for minor
editorial changes. The FAA has determined that these minor changes:
     Are consistent with the intent that was proposed in the
SNPRM for addressing the unsafe condition; and
     Do not add any additional burden upon the public than was
already proposed in the SNPRM.

Related Service Information Under 1 CFR Part 51

    The FAA reviewed Boeing Alert Requirements Bulletin 757-53A0113 RB,
dated February 22, 2019. This service information describes procedures
for a general visual inspection of the fuselage frames with a cargo
liner support channel for any existing repair, repetitive surface HFEC
inspections of the fuselage frames with a cargo liner support channel
for any cracking, and applicable on-condition actions. On-condition
actions include a general visual inspection of the fuselage frames
adjacent to a frame with a severed inner chord for any existing repair,
a detailed inspection and a surface HFEC inspection of the fuselage
frames adjacent to a frame with a severed inner chord for any cracking,
and repair. This service information is reasonably available because
the interested parties have access to it through their normal course of
business or by the means identified in the ADDRESSES section.

Costs of Compliance

    The FAA estimates that this AD affects 544 airplanes of U.S.
registry.

The FAA estimates the following costs to comply with this AD:

                                      Estimated Costs for Required Actions
----------------------------------------------------------------------------------------------------------------
                                                                                Cost on U.S.
              Action                    Labor cost        Parts cost      Cost per product        operators
----------------------------------------------------------------------------------------------------------------
General visual inspection........  37 work-hours x $85              $0  $3,145.............  $1,710,880.
                                    per hour = $3,145.
Repetitive surface HFEC            Up to 37 work-hours               0  Up to $3,145 per     Up to $1,710,880
 inspections.                       x $85 per hour =                     inspection cycle.    per inspection
                                    Up to $3,145 per                                          cycle.
                                    inspection cycle.
----------------------------------------------------------------------------------------------------------------

    The FAA estimates the following costs to do any necessary on-
condition inspections that would be required. The FAA has no way of
determining the number of aircraft that might need these on-condition
inspections:

                                     Estimated Costs of On-Condition Actions
----------------------------------------------------------------------------------------------------------------
                        Labor cost                            Parts cost              Cost per product
----------------------------------------------------------------------------------------------------------------
Up to 20 work-hour x $85 per hour = Up to $1,700 per                   $0   Up to $1,700 per inspection cycle.
 inspection cycle.
----------------------------------------------------------------------------------------------------------------

    The FAA has received no definitive data that would enable the
agency to provide cost estimates for the on-condition repair specified
in this AD.

Authority for This Rulemaking

    Title 49 of the United States Code specifies the FAA's authority to
issue rules on aviation safety. Subtitle I, section 106, describes the
authority of the FAA Administrator. Subtitle VII: Aviation Programs,
describes in more detail the scope of the Agency's authority.
    The FAA is issuing this rulemaking under the authority described in
Subtitle VII, Part A, Subpart III, Section 44701: ``General
requirements.'' Under that section, Congress charges the FAA with
promoting safe flight of civil aircraft in air commerce by prescribing
regulations for practices, methods, and procedures the Administrator
finds necessary for safety in air commerce. This regulation is within
the scope of that authority because it addresses an unsafe condition
that is likely to exist or develop on products identified in this
rulemaking action.

Regulatory Findings

    This AD will not have federalism implications under Executive Order
13132. This AD will not have a substantial direct effect on the States,
on the relationship between the national government and the States, or
on the distribution of power and responsibilities among the various
levels of government.
    For the reasons discussed above, I certify that this AD:
    (1) Is not a ``significant regulatory action'' under Executive
Order 12866,
    (2) Will not affect intrastate aviation in Alaska, and
    (3) Will not have a significant economic impact, positive or
negative, on a substantial number of small entities under the criteria
of the Regulatory Flexibility Act.

List of Subjects in 14 CFR Part 39

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

Adoption of the Amendment

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

PART 39--AIRWORTHINESS DIRECTIVES

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

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

Sec.  39.13  [Amended]

0
2. The FAA amends Sec.  39.13 by adding the following new airworthiness
directive (AD):

2020-05-25 The Boeing Company: Amendment 39-19875; Docket No. FAA-
2019-0438; Product Identifier 2019-NM-033-AD.

(a) Effective Date

    This AD is effective May 4, 2020.

(b) Affected ADs

    None.

(c) Applicability

    (1) This AD applies to all The Boeing Company Model 757-200, -
200PF, -200CB, and -300 series airplanes, certificated in any
category.
    (2) Installation of Supplemental Type Certificate (STC)
ST01518SE does not affect the ability to accomplish the actions
required by this AD. Therefore, for airplanes on which STC ST01518SE
is installed, a ``change in product'' alternative method of
compliance (AMOC) approval request is not necessary to comply with
the requirements of 14 CFR 39.17.

(d) Subject

    Air Transport Association (ATA) of America Code 53, Fuselage.

(e) Unsafe Condition

    This AD was prompted by a report that during a maintenance check
an operator discovered cracking of the aft cargo compartment frames
in the station 1460 frame web and inner chord between certain
stringers. The FAA is issuing this AD to address cracking at the
frame web and inner chord; such cracks could propagate until they
cause a severed frame, which could result in additional undetected
cracking in adjacent fuselage frames, and could ultimately result in
reduced structural integrity of the aft cargo frames and consequent
rapid decompression of the airplane.

(f) Compliance

    Comply with this AD within the compliance times specified,
unless already done.

(g) Required Actions

    (1) Except as specified by paragraphs (g)(2) and (h) of this AD:
At the applicable times specified in the ``Compliance'' paragraph of
Boeing Alert Requirements Bulletin 757-53A0113 RB, dated February
22, 2019, do all applicable actions identified in, and in accordance
with, the Accomplishment Instructions of Boeing Alert Requirements
Bulletin 757-53A0113 RB, dated February 22, 2019.
    (2) For airplanes that have been converted from a passenger to
freighter configuration using VT Mobile Aerospace Engineering Inc.
(VT MAE Inc.) STC ST03562AT: Except as specified by paragraph (h) of
this AD, at the times specified for Groups 3 and 5 airplanes, as
applicable, in the ``Compliance'' paragraph of Boeing Alert
Requirements Bulletin 757-53A0113 RB, dated February 22, 2019, do
all

applicable actions for Groups 2, 7, and 10 airplanes as identified
in, and in accordance with the Accomplishment Instructions of Boeing
Alert Requirements Bulletin 757-53A0113 RB, dated February 22, 2019.

    Note 1 to paragraph (g):  Guidance for accomplishing the actions
required by this AD can be found in Boeing Alert Service Bulletin
757-53A0113, dated February 22, 2019, which is referred to in Boeing
Alert Requirements Bulletin 757-53A0113 RB, dated February 22, 2019.

(h) Exceptions To Service Information Specifications

    (1) Where Boeing Alert Requirements Bulletin 757-53A0113 RB,
dated February 22, 2019, uses the phrase ``the original issue date
of Requirements Bulletin 757-53A0113 RB,'' this AD requires using
``the effective date of this AD,'' except where Boeing Alert
Requirements Bulletin 757-53A0113 RB, dated February 22, 2019, uses
the phrase ``the original issue date of Requirements Bulletin 757-
53A0113 RB'' in a note or flag note.
    (2) Where Boeing Alert Requirements Bulletin 757-53A0113 RB,
dated February 22, 2019, specifies contacting Boeing for repair
instructions or for alternative inspections: This AD requires doing
the repair, or doing the alternative inspections and applicable on-
condition actions before further flight using a method approved in
accordance with the procedures specified in paragraph (i) of this
AD.

(i) Alternative Methods of Compliance (AMOCs)

    (1) The Manager, Los Angeles ACO Branch, FAA, has the authority
to approve AMOCs for this AD, if requested using the procedures
found in 14 CFR 39.19. In accordance with 14 CFR 39.19, send your
request to your principal inspector or local Flight Standards
District Office, as appropriate. If sending information directly to
the manager of the certification office, send it to the attention of
the person identified in paragraph (j)(1) of this AD. Information
may be emailed to<EMAIL_ADDRESS>    (2) Before using any approved AMOC, notify your appropriate
principal inspector, or lacking a principal inspector, the manager
of the local flight standards district office/certificate holding
district office.
    (3) An AMOC that provides an acceptable level of safety may be
used for any repair, modification, or alteration required by this AD
if it is approved by The Boeing Company Organization Designation
Authorization (ODA) that has been authorized by the Manager, Los
Angeles ACO Branch, FAA, to make those findings. To be approved, the
repair method, modification deviation, or alteration deviation must
meet the certification basis of the airplane, and the approval must
specifically refer to this AD.

(j) Related Information

    (1) For more information about this AD, contact Peter Jarzomb,
Aerospace Engineer, Airframe Section, FAA, Los Angeles ACO Branch,
3960 Paramount Boulevard, Lakewood, CA 90712-4137; phone: 562-627-
5234; fax:<PHONE_NUMBER>; email<EMAIL_ADDRESS>    (2) Service information identified in this AD that is not
incorporated by reference is available at the addresses specified in
paragraphs (k)(3) and (4) of this AD.

(k) Material Incorporated by Reference

    (1) The Director of the Federal Register approved the
incorporation by reference (IBR) of the service information listed
in this paragraph under 5 U.S.C. 552(a) and 1 CFR part 51.
    (2) You must use this service information as applicable to do
the actions required by this AD, unless the AD specifies otherwise.
    (i) Boeing Alert Requirements Bulletin 757-53A0113 RB, dated
February 22, 2019.
    (ii) [Reserved]
    (3) For service information identified in this AD, contact
Boeing Commercial Airplanes, Attention: Contractual & Data Services
(C&DS), 2600 Westminster Blvd., MC 110-SK57, Seal Beach, CA 90740-
5600; telephone<PHONE_NUMBER>; internet https://www.myboeingfleet.com.
    (4) You may view this service information at the FAA, Transport
Standards Branch, 2200 South 216th St., Des Moines, WA. For
information on the availability of this material at the FAA, call
206-231-3195.
    (5) You may view this service information that is incorporated
by reference at the National Archives and Records Administration
(NARA). For information on the availability of this material at
NARA, email<EMAIL_ADDRESS>or go to: https://www.archives.gov/federal-register/cfr/ibr-locations.html.

    Issued on March 10, 2020.
Gaetano A. Sciortino,
Deputy Director for Strategic Initiatives, Compliance & Airworthiness
Division, Aircraft Certification Service.
[FR Doc. 2020-06508 Filed 3-27-20; 8:45 am]
 BILLING CODE 4910-13-P


Steve Fruh/RTP/USEPA/US
10/04/2007 07:37 PM	To
Conrad Chin/RTP/USEPA/US@EPA
cc
<EMAIL_ADDRESS><EMAIL_ADDRESS>"Jeff Hannapel"
<EMAIL_ADDRESS>Phil Mulrine/RTP/USEPA/US@EPA, Rhonda
Minnick/DC/USEPA/US@EPA
bcc

Subject
Re: Today's meeting with AFS representatives

	History:
This message has been forwarded.

Attached is contact information for Mary Bills and a recent annual report
with web links for the mercury switch program.
Mary J. Bills
Executive Director
End of Life Vehicle Solutions (ELVS)
Phone: 248/848-1410
Cell: 586/506-9781

"ELVS - Mary Bills"<EMAIL_ADDRESS>

Conrad Chin/RTP/USEPA/US
10/04/2007 07:00 PM
To
<EMAIL_ADDRESS>"Jeff Hannapel"
<EMAIL_ADDRESS>cc
Steve Fruh/RTP/USEPA/US@EPA, Phil Mulrine/RTP/USEPA/US@EPA, <EMAIL_ADDRESS>
Rhonda Minnick/DC/USEPA/US@EPA
Subject
Today's meeting with AFS representatives

Hi Christian and Jeff,

I really appreciate the opportunity of meeting with you folks today and
working to resolve some of the issues AFS identified on the foundry
proposal.  We should touch base early next week to check on our progress.
I wonder if you could identify some action items for both AFS and EPA to
work on?

Just to follow up on the mercury switch/scrap inspection issue.  We have
identified two person who are very familiar with this program:  Rhonda
Minnick and Mary Bills.  Rhonda 's email address is copied, and her phone
number is<PHONE_NUMBER>.  I don't have the contact information for Mary
Bills yet.  It would be great if you could articulate small foundries'
problems in complying with the foundry proposal to Rhonda.  She can also
direct you to the appropriate websites for questions you raised.

Conrad K. Chin
Mail Code D243-02
Metals and Minerals Group
Sector Policies and Programs Division
Office of Air Quality Planning and Standards
U.S. Environmental Protection Agency
919-541-1512 (voice)
919-541-3207 (fax)