[Federal Register Volume 88, Number 14 (Monday, January 23, 2023)]
[Rules and Regulations]
[Pages 3926-3928]
[FR Doc No: 2023-01125]

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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

33 CFR Part 165

[Docket Number USCG-2023-0039]
RIN 1625-AA00

Safety Zone; Charleston Harbor, Charleston, SC

AGENCY: Coast Guard, DHS.

ACTION: Temporary final rule.

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SUMMARY:  The Coast Guard is establishing a temporary safety zone for
navigable waters of the Cooper River, Charleston Harbor, and Atlantic
Ocean at the Charleston Harbor Entrance and Approach, Charleston
Harbor, within a 100-yard radius of the vessel USNS Gordon and all
towing vessels supporting its operations. The safety zone is needed to
protect personnel, vessels, and the marine environment from potential
hazards created by the dead ship movement of USNS Gordon from the Naval
Weapons Station, Joint Base Charleston Transportation Core (TC) Dock or
Wharf Alpha through the Charleston Harbor Entrance Channel. Entry of
vessels or persons into this zone is prohibited unless specifically
authorized by the Captain of the Port Sector Charleston.

DATES: This rule is effective without actual notice from January 23,
2023 through January 24, 2023. For the purposes of enforcement, actual
notice will be used from January 12, 2023, until January 23, 2023.

ADDRESSES: To view documents mentioned in this preamble as being
available in the docket, go to https://www.regulations.gov, type USCG-
2023-0039 in the search box and click ``Search.'' Next, in the Document
Type column, select ``Supporting & Related Material.''

FOR FURTHER INFORMATION CONTACT:  If you have questions on this rule,
call or email MST1 Thomas J. Welker, Sector Charleston, Waterways
Management Division, U.S. Coast Guard; telephone<PHONE_NUMBER>, email
[email protected].

SUPPLEMENTARY INFORMATION:

I. Table of Abbreviations

CFR Code of Federal Regulations
DHS Department of Homeland Security
FR Federal Register
NPRM Notice of proposed rulemaking
Sec.  Section
U.S.C. United States Code

II. Background Information and Regulatory History

    The Coast Guard is issuing this temporary rule without prior notice
and opportunity to comment pursuant to authority under section 4(a) of
the Administrative Procedure Act (APA) (5 U.S.C. 553(b)). This
provision authorizes an agency to issue a rule without prior notice and
opportunity to comment when the agency for good cause finds that those
procedures are ``impracticable, unnecessary, or contrary to the public
interest.'' Under 5 U.S.C. 553(b)(B), the Coast Guard finds that good
cause exists for not publishing a notice of proposed rulemaking (NPRM)
with respect to this rule because doing so would be impracticable. The
Coast Guard lacks sufficient time to provide for a comment period and
then consider those comments before issuing the rule since this rule is
needed by January 12, 2023. It would be contrary to the public interest
since immediate action is necessary to protect the safety of the
public, and vessels transiting the waters of the Cooper River,
Charleston Harbor, and the Atlantic Ocean at the Charleston Harbor
Entrance and Approach during the dead ship movement of USNS Gordon.
    Under 5 U.S.C. 553(d)(3), the Coast Guard finds that good cause
exists for making this rule effective less than 30 days after
publication in the Federal Register. Delaying the effective date of
this rule would be impracticable because immediate action is needed to
minimize the potential safety hazards associated with the dead ship
movement of the USNS Gordon.

III. Legal Authority and Need for Rule

    The Coast Guard is issuing this rule under authority in 46 U.S.C.
70034. The Captain of the Port Charleston (COTP) has determined that
potential hazards associated with the dead ship movement and berthing
of USNS Gordon on January 12, 2023 (or on a contingency date prior
January 25, 2023), will be a safety concern for anyone within a 100-
yard radius of vessel and any towing vessels supporting the operation.
This rule is needed to protect personnel, vessels, and the marine
environment during the dead ship movement of the USNS Gordon while
outbound from berthing at the Naval Weapons Station, Joint Base
Charleston Transportation Core (TC) Dock or Wharf Alpha, on the Cooper
River in Goose Creek, SC to sea.

IV. Discussion of the Rule

    This rule establishes a temporary safety zone on January 12, 2023
through January 24, 2023, however the zone will only be enforced while
the USNS Gordon is underway with supporting, towing vessles. The moving
100-yard safety zone will be established for the the USNS Gordon and
all towing vessels supporting its operations during transit from berth
at the Naval Weapons Station, Joint Base Charleston Transportation Core
(TC) Dock or Wharf Alpha on the Cooper River in Goose Creek, SC to the
Charleston Harbor Entrance Channel Buoy #6. The safety zone is needed
to protect personnel, vessels, and the marine environment from
potential hazards created by the dead ship movement of USNS Gordon
while transiting the Charleson Harbor area. No vessel or person will be
permitted to enter the safety zone without obtaining permission from
the COTP or a designated representative.

V. Regulatory Analyses

    We developed this rule after considering numerous statutes and
Executive orders related to rulemaking. Below we summarize our analyses
based on a number of these statutes and Executive orders, and we
discuss First Amendment rights of protestors.

A. Regulatory Planning and Review

    Executive Orders 12866 and 13563 direct agencies to assess the
costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits. This rule has not been designated a ``significant
regulatory action,'' under Executive Order 12866. Accordingly, this
rule has not been reviewed by the Office of Management and Budget
(OMB).
    This regulatory action determination is based on the size,
location, and scope of the safety zone. The zone is limited in size,
location, and duration as it will cover all navigable waters of the
Cooper River, Charleston Harbor, and Atlantic Ocean at the Charleston
Harbor Entrance and Approach within a 100-yard radius of the vessel
USNS Gordon and any towing vessels supporting the operation. The zone
is limited in scope as vessel traffic may be able to safely transit
around this safety zone and vessels may seek permission from the COTP
to enter the zone. The zone is limited in duration in that it will be
enforced for no more than eight hours. Moreover, the Coast Guard would
issue a Broadcast Notice to Mariners via VHF-FM marine channel 16 about
the safety zone.

B. Impact on Small Entities

    The Regulatory Flexibility Act of 1980, 5 U.S.C. 601-612, as
amended, requires Federal agencies to consider the potential impact of
regulations on small entities during rulemaking. The term ``small
entities'' comprises small businesses, not-for-profit organizations
that are independently owned and operated and are not dominant in their
fields, and governmental jurisdictions with populations of less than
50,000. The Coast Guard certifies under 5 U.S.C. 605(b) that this rule
will not have a significant economic impact on a substantial number of
small entities.
    While some owners or operators of vessels intending to transit the
regulated area may be small entities, for the reasons stated in section
V.A above, this rule will not have a significant economic impact on any
vessel owner or operator.
    Under section 213(a) of the Small Business Regulatory Enforcement
Fairness Act of 1996 (Pub. L. 104-121), we want to assist small
entities in understanding this rule. If the rule would affect your
small business, organization, or governmental jurisdiction and you have
questions concerning its provisions or options for compliance, please
call or email the person listed in the FOR FURTHER INFORMATION CONTACT
section.
    Small businesses may send comments on the actions of Federal
employees who enforce, or otherwise determine compliance with, Federal
regulations to the Small Business and Agriculture Regulatory
Enforcement Ombudsman

and the Regional Small Business Regulatory Fairness Boards. The
Ombudsman evaluates these actions annually and rates each agency's
responsiveness to small business. If you wish to comment on actions by
employees of the Coast Guard, call 1-888-REG-FAIR (1-888-734-3247). The
Coast Guard will not retaliate against small entities that question or
complain about this rule or any policy or action of the Coast Guard.

C. Collection of Information

    This rule will not call for a new collection of information under
the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520).

D. Federalism and Indian Tribal Governments

    A rule has implications for federalism under Executive Order 13132,
Federalism, if it has 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. We have analyzed this rule under that Order and have
determined that it is consistent with the fundamental federalism
principles and preemption requirements described in Executive Order
13132.
    Also, this rule does not have tribal implications under Executive
Order 13175, Consultation and Coordination with Indian Tribal
Governments, because it does not have a substantial direct effect on
one or more Indian tribes, on the relationship between the Federal
Government and Indian tribes, or on the distribution of power and
responsibilities between the Federal Government and Indian tribes. If
you believe this rule has implications for federalism or Indian tribes,
please call or email the person listed in the FOR FURTHER INFORMATION
CONTACT section above.

E. Unfunded Mandates Reform Act

    The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538)
requires Federal agencies to assess the effects of their discretionary
regulatory actions. In particular, the Act addresses actions that may
result in the expenditure by a State, local, or tribal government, in
the aggregate, or by the private sector of $100,000,000 (adjusted for
inflation) or more in any one year. Though this rule will not result in
such an expenditure, we do discuss the effects of this rule elsewhere
in this preamble.

F. Environment

    We have analyzed this rule under Department of Homeland Safety
Directive 023-01, Rev. 1, associated implementing instructions, and
Environmental Planning COMDTINST 5090.1 (series), which guide the Coast
Guard in complying with the National Environmental Policy Act of 1969
(42 U.S.C. 4321-4370f), and have determined that this action is one of
a category of actions that do not individually or cumulatively have a
significant effect on the human environment. This rule involves a
temporary, moving safety zone on waters of the Cooper River, Charleston
Harbor, and Atlantic Ocean at the Charleston Harbor Entrance and
Approach, within a 100-yard radius of the vessel USNS Gordon and all
towing vessels supporting its operations until the vessel proceeds
seaward of the Charleston Harbor Entrance Channel Buoy #6. This zone is
not expected to last more than eight hours. It is categorically
excluded from further review under paragraph L60(a) of Appendix A,
Table 1 of DHS Instruction Manual 023-01-001-01, Rev. 1. A Record of
Environmental Consideration supporting this determination is available
in the docket. For instructions on locating the docket, see the
ADDRESSES section of this preamble.

G. Protest Activities

    The Coast Guard respects the First Amendment rights of protesters.
Protesters are asked to call or email the person listed in the FOR
FURTHER INFORMATION CONTACT section to coordinate protest activities so
that your message can be received without jeopardizing the safety or
security of people, places or vessels.

List of Subjects in 33 CFR Part 165

    Harbors, Marine safety, Navigation (water), Reporting and
recordkeeping requirements, Safety measures, Waterways.

    For the reasons discussed in the preamble, the Coast Guard amends
33 CFR part 165 as follows:

PART 165--REGULATED NAVIGATION AREAS AND LIMITED ACCESS AREAS.

0
1. The authority citation for part 165 continues to read as follows:

    Authority:  46 U.S.C. 70034, 70051; 33 CFR 1.05-1, 6.04-1, 6.04-
6, 160.5; and Department of Homeland Safety Delegation No. 00170.1,
Revision No. 01.2.

0
2. Add Sec.  165.T07-0039 to read as follows:

Sec.  165.T07-0039   Safety Zone; Charleston Harbor, Charleston, SC

    (a) Location. The following is a safety zone: The moving safety
zone will include all navigable waters of the Cooper River, Charleston
Harbor, and the Atlantic Ocean at the Charleston Harbor Entrance and
Approach, within a 100-yard radius of the vessel USNS Gordon and all
towing vessels supporting its operations, while transiting outbound
until the vessel proceeds seaward of the Charleston Harbor Entrance
Channel Buoy #6.
    (b) Definition. The term ``designated representative'' means Coast
Guard Patrol Commanders, including Coast Guard coxswains, petty
officers, and other officers operating Coast Guard vessels, and
Federal, state, and local officers designated by or assisting the
Captain of the Port (COTP) in the enforcement of the safety zone.
    (c) Regulations. (1) No person or vessel will be permitted to
enter, transit, anchor, or remain within the safety zone described in
paragraph (a) of this section unless authorized by the COTP Charleston
or a designated representative. If authorization is granted, persons
and/or vessels receiving such authorization must comply with the
instructions of the COTP Charleston or designated representative.
    (2) Persons who must notify or request authorization from the COTP
Charleston may do so by telephone at<PHONE_NUMBER>, or may contact a
designated representative via VHF radio on channel 16.
    (d) Effective and enforcement period. This section is effective on
January 12, through January 24, 2023. The moving zone will be enforced
while USNS Gordon and all towing vessels supporting its operations are
transiting, until seaward of the Charleston Harbor Entrance Channel
Buoy #6.

    Dated: January 11, 2023.
John D. Cole,
Captain, U.S. Coast Guard, Captain of the Port Charleston.
[FR Doc. 2023-01125 Filed 1-20-23; 8:45 am]
BILLING CODE 9110-04-P


[Federal Register: March 5, 2007 (Volume 72, Number 42)]
[Notices]
[Page 9826-9828]
[DOCID:fr05mr07-100]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-55362; File No. SR-OCC-2007-01]

Self-Regulatory Organizations; The Options Clearing Corporation;
Notice of Filing of Proposed Rule Change Relating to Credit Default
Options

February 27, 2007.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on February 13, 2007, The
Options Clearing Corporation (``OCC'') filed with the Securities and
Exchange Commission (``Commission'') the proposed rule change described
in Items I, II, and III below, which items have been prepared primarily
by OCC. The Commission is publishing this notice to solicit comments on
the proposed rule change from interested parties.
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    \1\ 15 U.S.C. 78s(b)(1).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The proposed rule change would permit OCC to clear and settle
credit default options (``CDOs''), which are options related to the
creditworthiness of an issuer or guarantor of one or more specified
debt securities. Credit default options are proposed to be traded by
the Chicago Board Options Exchange (``CBOE'').\2\
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    \2\ File No. SR-CBOE-2006-84, Securities Exchange Act Release
No. 55251 (February 7, 2007), 72 FR 7091 (February 14, 2007) (notice
of filing of proposed rule change).
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II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, OCC included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. OCC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of these
statements.\3\
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    \3\ The Commission has modified the text of the summaries
prepared by OCC.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

    The purpose of this rule change is to permit OCC to clear and
settle CDOs, which are options related to the creditworthiness of an
issuer or guarantor (``reference entity'') of one or more specified
debt securities (``reference obligation(s)''). CDOs are binary options
that pay a fixed amount to the holder of the option upon the occurrence
of a ``credit event'' affecting the reference obligations.\4\
Characteristics of CDOs are described below, followed by an explanation
of the specific rule changes being proposed to clear them.
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    \4\ ``Binary'' options (also sometimes referred to as
``digital'' options) are ``all-or-nothing'' options that pay a fixed
amount if automatically exercised and otherwise pay nothing.
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Description of Credit Default Options
    CDOs are structured as binary options that are automatically
exercised and the exercise settlement amount payable if a ``credit
event'' occurs at any time prior to the last day of trading. A ``credit
event'' is generally defined as any failure to pay on any of the
reference obligations or any other occurrence that would constitute an
``event of default'' or ``restructuring'' under the terms of any of the
reference obligations and that the listing exchange has determined
would be a credit event for purposes of the CDO. Under CBOE's current
proposal, the payout or ``settlement amount'' for a single exercised
option would be $100,000.
    OCC does not currently clear any binary options although OCC has
filed a rule change \5\ seeking to clear binary options on securities
and securities indexes that have been proposed for trading by CBOE and
the American Stock Exchange (``Amex'').\6\ The binary options rule
filings of OCC, Amex, and CBOE are still pending approval by the
Commission, and OCC expects to amend its binary options rule filing in
the near future in order to conform it to the changes made in this
filing and to make any additional changes necessary to accommodate the
Amex and CBOE products. Under the binary options rule filings, binary
options are proposed to be traded on the price of single securities or
on the price of indexes of securities where the option is exercised if
the closing value of the underlying interest meets the specified
criterion for automatic exercise, which could be defined as ``at or
above'' a certain value, ``below'' a certain value, or in other ways.
In other words, the underlying interest is a continuous measure that
could have a wide range of positive values. CDOs, on the other hand,
are options for which the payout is determined by the occurrence or
non-occurrence of a discrete credit event affecting underlying
securities. The rules proposed in the current rule filing for CDOs are
intended to be sufficiently generic to be the basis for clearing CDOs
as well as other binary options although certain provisions specific to
other binary options proposals will be filed separately.
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    \5\ File No. SR-OCC-2004-21.
    \6\ File Nos. SR-Amex-2004-27 and SR-CBOE-2006-105.
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By-Law and Rule Amendments Applicable to CDOs
    In order to accommodate trading in CDOs and to provide a framework
of rules that can accommodate other binary option products as well, OCC
proposes to add a new By-Law Article and a new Chapter to its Rules to
incorporate several new defined terms and procedures for clearing and
settling binary options generally and CDOs specifically.
1. Terminology--Article I, Section 1 and Article XIV, Section 1 of the
By-Laws
    ``Binary Option'' is defined in Article XIV, Section 1 of the By-
Laws, and that definition is cross-referenced in Article I of the By-
Laws. The definition of ``expiration time'' in Article I is modified to
be a default provision, permitting the expiration time to be defined
differently for different classes of options. The definition of
``option contract'' in Article I of the By-Laws is amended to include a
binary option and

to provide a more generic definition of ``cash-settled option.''
    ``Adjustment event'' is defined in Article XIV by reference to the
rules of the listing exchange. Similarly, ``credit event'' is defined
by reference to exchange rules. The terms ``credit event confirmation''
and ``credit event confirmation deadline'' are used, respectively, to
refer to the notice that must be provided by the listing exchange or
other reporting authority to OCC that a credit event has occurred (and
that a CDO will therefore automatically be exercised) and to the
deadline for receipt of such notice if it is to be treated as having
been received on the business day on which it is submitted. Credit
event confirmations received after the deadline on the expiration date
but before the expiration time will be given effect but may result in
delayed exercise settlement.
    The definition of ``exercise price'' in Article I is replaced with
respect to CDOs with a revised definition in Article XIV, Section 1
which recognizes that binary options will be settled by a fixed cash
payment. The ``exercise price'' of a binary option is not, as defined
in Article I, an amount that is paid in exchange for an underlying
interest and is not used to determine the exercise settlement amount as
in the case of other cash-settled options. In the case of a binary
option other than a CDO, the exercise price is simply a defined value
or range of values for the underlying interest. If the underlying
interest falls within the defined range at expiration of the option,
the option will be automatically exercised. Otherwise, it will expire
unexercised. A CDO is said to have no exercise price.
    OCC is also redefining the term ``exercise settlement amount'' in
Article XIV for purposes of binary options. The exercise settlement
amount of a binary option is the amount specified by the exchange on
which the option is traded that will be paid in settlement of an
automatically exercised option. CBOE has specified the exercise
settlement amount for a single CDO as $100,000. OCC's proposed
definition would permit an exchange to specify a different exercise
settlement amount. The exercise settlement amount will be determined by
the exchange at the time of listing when the exchange fixes the other
variable terms for the options of a particular class or series.
    OCC is replacing the definitions of ``variable terms,''
``premium,'' and ``multiplier'' in Article I with revised definitions
in Article XIV, Section 1 that are applicable to binary options
generally. The term ``class'' is also redefined in Article XIV, Section
1. This new definition of ``class'' does not apply to binary options
other than CDOs and will need to be supplemented for other binary
options. To be within the same class, CDOs must have the same reporting
authority, which OCC anticipates will ordinarily be the listing
exchange. This is necessary because of the degree of discretion that
the reporting authority will have in determining whether a credit event
has occurred.
    CDOs will be a subcategory of binary options where exercise is
triggered by a discrete event such as a ``credit event'' affecting the
``reference obligations'' issued by a ``reference entity,'' which terms
are defined to have the meanings given to them in the rules of the
listing exchange. The term ``underlying interest'' is defined in the
case of CDOs to be the reference obligation(s) with respect to which
the credit event will or will not occur. In the case of other binary
options, ``underlying interest'' is defined as the underlying security,
index, or measure whose underlying interest value is compared to the
option's exercise price to determine whether the option will be
automatically exercised. ``Underlying interest value'' is defined to
mean the value or level of the underlying interest used to determine
whether a binary option will be automatically exercised. The term
``underlying interest value'' is not applicable to CDOs.
2. Terms of Cleared Contracts--Article VI, Section 10(e)
    A new paragraph (e) is added to Article VI, Section 10 so that an
exchange is required to designate the exercise settlement amount,
expiration date, and exercise price for a series of binary options at
the time the series is opened for trading. Section 10(e) also reminds
the reader that binary options are subject to adjustment under Article
XIV.
3. Rights and Obligations--Article XIV, Section 2
    Article XIV, Section 2 defines the general rights and obligations
of holders and writers of binary options. As noted above, the holder of
a binary option that is automatically exercised has the right to
receive the fixed exercise settlement amount from OCC, and the assigned
writer has the obligation to pay that amount to OCC.
4. Adjustments of Credit Default Options--Article XIV, Section 3;
Determination of Occurrence of Credit Event--Article XIV, Section 4
    Article XIV, Section 3 provides for adjustment of CDOs in
accordance with the rules of the listing exchange. CBOE's proposed
rules provide for adjustment of CDOs in the case of certain corporate
events affecting the reference obligations, and OCC proposes simply to
defer to those rules and to the determinations of CBOE pursuant to
those rules. Accordingly, OCC will have no responsibility for
adjustment determinations with respect to CDOs. Adjustment rules for
other binary options will be supplied as necessary for other products.
    Similarly, Section 4 provides that the listing exchange for a class
of CDOs will have responsibility for determining the occurrence of a
credit event that will result in automatic exercise of the options of
that class. The listing exchange has the obligation to provide a credit
event confirmation to OCC in order to trigger the automatic exercise.
    New Article XIV, Section 5 provides, in essence, that the
underlying interest value of a series of binary options other than CDOs
will be determined by the exchange or exchanges on which such series is
traded. OCC reserves the right to override that determination in
certain circumstances. If a series of binary options is traded on more
than one exchange, OCC may use the underlying interest value received
from the exchange deemed by OCC to be the principal exchange, or OCC
may employ a procedure to derive a single value based on some or all of
the values received.
5. Exercise and Settlement--Chapter XV of the Rules and Rule 801
    Binary options would not be subject to the exercise-by-exception
procedures applicable to most other options under OCC's Rules but would
instead be automatically exercised at expiration if the specified
criterion for exercise is met. The procedures for the automatic
exercise of binary options, as well as their assignment and settlement
(including during periods when a clearing member is suspended), are set
forth in Rules 1501 through 1505 of new Chapter XV and in revised Rule
801(b).
6. Special Margin Requirements--Rule 601; Deposits in Lieu of Margin--
Rule 1506
    OCC will not initially margin CDOs through its usual ``STANS''
system. Because of CDOs' fixed payout feature, further systems
development is needed to accommodate these options in STANS. Until such
development is completed, OCC has initially determined to require that
writers of such options post margin in a fixed amount that will be set
at 100% of the fixed exercise settlement amount

applicable to each series of CDOs. OCC would have discretion to reduce
the requirement to something less than 100% if research, analysis, and
experience suggest that a lower percentage is sufficient. Initially,
long positions in CDOs will be valued at zero and will provide no
offset against margin requirements on the shorts. Again, based on
research, analysis, and experience, OCC may determine to give some
value to the longs. Ultimately, CDOs will be incorporated into the
STANS system and valued and will be margined on a risk basis.
    OCC does not propose to accept escrow deposits in lieu of clearing
margin for binary options. Therefore, Rule 1506 states that Rule 610,
which otherwise would permit such deposits, does not apply to binary
options.
7. Acceleration of Expiration Date--Rule 1507
    This provision permits OCC to accelerate the expiration date of a
binary option when the value of the underlying interest has become
fixed (e.g., where a stock underlying a binary option has been
converted by a merger into the right to receive a fixed amount of
cash). If the value of the underlying interest does not meet the
specified criterion for automatic exercise, it will expire unexercised.
Otherwise, it will be automatically exercised.
    The proposed changes to OCC's By-Laws and Rules are consistent with
the purposes and requirements of Section 17A of the Act, as amended,
because they are designed to promote the prompt and accurate clearance
and settlement of transactions in, including exercises of, credit
default options and other binary options, and to foster cooperation and
coordination with persons engaged in the clearance and settlement of
such transactions, to remove impediments to and perfect the mechanism
of a national system for the prompt and accurate clearance and
settlement of such transactions, and, in general, to protect investors
and the public interest. They accomplish these purposes by applying
substantially the same rules and procedures to binary options and
specifically CDOs as OCC applies to similar transactions in other cash-
settled options. Other than as described in this Item II, the proposed
rule change is not inconsistent with the existing rules of OCC,
including rules proposed to be amended.

(B) Self-Regulatory Organization's Statement on Burden on Competition

    OCC does not believe that the proposed rule change would impose any
burden on competition.

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

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

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

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

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml.
) or     Send an e-mail to<EMAIL_ADDRESS>Please include

File Number SR-OCC-2007-01 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-OCC-2007-01. This file
number should be included on the subject line if e-mail is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml
). Copies of the submission, all subsequent amendments, all

written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for inspection and
copying in the Commission's Public Reference Section, 100 F Street,
NE., Washington, DC 20549. The text of the proposed rule change is
available at OCC, the Commission's Public Reference Room, and http://www.theocc.com/publications/rules/proposed_changes/sr_occ_07_01.pdf.
 All comments received will be posted without change; the

Commission does not edit personal identifying information from
submissions. You should submit only information that you wish to make
available publicly. All submissions should refer to File Number SR-OCC-
2007-01 and should be submitted on or before March 26, 2007.

    For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\7\
---------------------------------------------------------------------------

    \7\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E7-3773 Filed 3-2-07; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register Volume 79, Number 103 (Thursday, May 29, 2014)]
[Proposed Rules]
[Pages 30763-30766]
[FR Doc No: 2014-12362]

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

DEPARTMENT OF HEALTH AND HUMAN SERVICES

Food and Drug Administration

21 CFR Part 101

[Docket Nos. FDA-2012-N-1210 and FDA-2004-N-0258]

Proposed Rules on Food Labeling: Revision of the Nutrition and
Supplement Facts Labels and Serving Sizes of Foods That Can Reasonably
Be Consumed at One-Eating Occasion; Dual-Column Labeling; Updating,
Modifying, and Establishing Certain Reference Amounts Customarily
Consumed; Serving Size for Breath Mints; and Technical Amendments;
Public Meeting

AGENCY: Food and Drug Administration, HHS.

ACTION: Notification of public meeting.

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

SUMMARY: The Food and Drug Administration (FDA or we) is announcing a
public meeting to discuss two proposed rules aimed at updating
nutrition information and serving size requirements on the nutrition
facts labels to provide consumers with information that could be used
to maintain healthy dietary practices. The purpose of the public
meeting is to inform the public of the provisions of the proposed rules
and the rulemaking process (including how to submit comments, data, and
other information to both dockets) as well as solicit oral stakeholder
and public comments on the proposed rules and to respond to questions
about the proposed rules.

DATES: See ``How to Participate in the Public Meeting'' in the
SUPPLEMENTARY INFORMATION section of this document for dates and times
of the public meeting, closing dates for advance registration,
requesting special accommodations due to disability, and information on
deadlines for submitting either electronic or written comments to FDA's
Division of Dockets Management.

ADDRESSES: See ``How to Participate in the Public Meeting'' in the
SUPPLEMENTARY INFORMATION section of this document.

FOR FURTHER INFORMATION CONTACT:
    For questions about registering for this meeting, registering to
make oral comments, to register by phone, or to submit a notice of
participation by mail, fax, or email: Cindy de Sales, The Event
Planning Group, LLC, 7910 Woodmont Ave., Suite 310, Bethesda, MD 20814,
240-316-3207, FAX:<PHONE_NUMBER>, email<EMAIL_ADDRESS>    For general questions about this meeting or for special
accommodations due to disability, contact: Juanita Yates, Center for
Food Safety and Applied Nutrition (HFS-005), Food and Drug
Administration, 5100 Paint Branch Pkwy., College Park, MD 20740, 240-
402-1731, email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

I. Background

A. Nutrition Facts Label Proposed Rule

    After the passage of the Nutrition Labeling and Education Act of
1990 (NLEA) (Pub. L. 101-535), which added section 403(q) of the
Federal Food, Drug, and Cosmetic Act (the FD&C Act) (21 U.S.C. 343(q),
we issued various regulations related to nutrition information on food
labels, including regulations requiring the declaration of certain
nutrients, regulations specifying the format for nutrition labeling,
regulations setting reference values for use in declaring nutrient
content for certain nutrients, and regulations exempting certain
products from nutrition labeling (see 21 CFR 101.9). In addition, after
the passage of the Dietary Supplement Health and Education Act of 1994
(Pub. L. 103-417), we amended our food labeling regulations to
establish requirements for the nutrition labeling of dietary
supplements (Sec.  101.9(j)(6) and 21 CFR 101.36). Section 403(q) of
the FD&C Act specifies certain nutrients to be declared in nutrition
labeling, and authorizes the Secretary of Health and Human Services to
require other nutrients to be declared if the Secretary determines that
a nutrient will provide information regarding the nutritional value of
such food that will assist consumers in maintaining healthy dietary
practices. The Secretary also has discretion under section 403(q) of
the FD&C Act to remove, by regulation and under certain

circumstances, nutrient information that is otherwise explicitly
required in food labeling under this section.
    In the Federal Register of March 3, 2014 (79 FR 11879), we
published a proposed rule entitled ``Food Labeling: Revision of the
Nutrition and Supplement Facts Labels'' (the Nutrition Facts label
proposed rule). In the Nutrition Facts label proposed rule, we proposed
to revise our regulations to update, among other things, the nutrients
that are required and/or permitted to be declared and the daily values,
as applicable, for required and permitted nutrients; amend requirements
for foods represented or purported to be specifically for children
under the age of 4 years and pregnant and lactating women and establish
nutrient reference values specifically for these population subgroups;
and update the format of the Nutrition Facts label. We based the
proposed rule on the latest science and public health information,
dietary recommendations of the most recent consensus reports, and
public comments received in response to advance notices of proposed
rulemaking.

B. Serving Size Proposed Rule

    After the passage of the NLEA, we issued various regulations
related to serving size requirements (see Sec.  101.9 and 21 CFR
101.12). Since we established those regulations, developments have
compelled us to re-evaluate our regulations on serving sizes and
determine whether and what, if any, revisions are needed to ensure that
the Nutrition Facts label meets its intended goal of helping consumers
maintain healthy dietary practices. Specifically, such developments
include the availability of newer consumption data, research showing
that amounts of food consumed by the American public have changed, and
recent consumer research on the use and understanding of the Nutrition
Facts label.
    Therefore, in the Federal Register of March 3, 2014 (79 FR 11989),
we published a proposed rule entitled ``Food Labeling: Serving Sizes of
Foods That Can Reasonably Be Consumed at One-Eating Occasion; Dual-
Column Labeling; Updating, Modifying, and Establishing Certain
Reference Amounts Customarily Consumed; Serving Size for Breath Mints;
and Technical Amendments'' (the serving size proposed rule). In the
serving size proposed rule, we proposed to amend the definition of a
single-serving container; require dual-column labeling for certain
packages; update and modify certain reference amounts customarily
consumed (RACCs); add several food products and food product categories
to the RACCs for the general food supply; amend the label serving size
for breath mints; and make technical amendments to various aspects of
the serving size regulations.

II. Purpose and Format of the Public Meeting

    FDA is holding the public meeting on the Nutrition Facts label and
serving size proposed rules to inform the public of the provisions of
the proposed rules and the rulemaking process (including how to submit
comments, data, and other information to both dockets) as well as
solicit oral stakeholder and public comments on the proposed rules and
to respond to questions about the proposed rules. In general, the
meeting format will include introductory presentations by FDA with time
to hear stakeholder perspectives, questions and public comments.

III. How To Participate in the Public Meeting

    The meeting will be held on June 26, 2014, from 8:30 a.m. to 5 p.m.
Eastern Standard Time (EST) at the Jefferson Auditorium, U.S.
Department of Agriculture (USDA), Wing 5 Entrance, 14th and
Independence Ave. SW., Washington, DC 20024. FDA encourages all persons
who wish to attend the meeting to register in advance of the meeting.
There is no fee to register for the public meeting, and registration
will be on a first-come, first-served basis. Early registration is
recommended because seating is limited.
    If you preregister and would like to make an oral presentation at
the meeting, please submit a request when you preregister. Due to the
anticipated high level of interest in presenting public comment and
limited time available, FDA will allocate time (typically 3 to 4
minutes) to each speaker to make an oral presentation. Speakers will be
limited to making oral remarks; there will not be an opportunity to
display materials such as slide shows, videos, or other media during
the meeting. We would like to maximize the number of individuals who
make a presentation at the meeting and will do our best to accommodate
all persons who wish to make a presentation or express their opinions
at the meeting.
    FDA encourages persons and groups who have similar interests to
consolidate their information for presentation by a single
representative. After reviewing the oral presentation requests, FDA
will notify each participant before the meeting if their presentation
request is granted, and, if so, the approximate time their presentation
is scheduled to begin and remind them of the presentation format (e.g.,
3-minute oral presentation without visual media).
    While oral presentations from specific individuals and
organizations will be limited to a certain length of time due to time
constraints during the public meeting, stakeholders may submit
electronic or written comments discussing any issues of concern to the
dockets for the proposed rules. All relevant data and documentation
should be submitted with the comments to the relevant docket, i.e.,
Nutrition Facts label proposed rule, Docket No. FDA-2012-N-1210 http://www.regulations.gov/#!documentDetail;D=FDA-2012-N-1210-0002, or serving
size proposed rule, Docket No. FDA-2004-N-0258 http://www.regulations.gov/#!documentDetail;D=FDA-2004-N-0258-0006.
    Table 1 of this document provides information on participation in
the public meeting.

   Table 1--Information on Participation in the Meeting and on Submitting Comments to Dockets for the Proposed
                                                      Rules
----------------------------------------------------------------------------------------------------------------
                                         Date         Electronic address        Address        Other information
----------------------------------------------------------------------------------------------------------------
Attend public meeting...........  June 26, 2014,      Please preregister  Jefferson           Registration check-
                                   from 8:30 a.m. to   at http://          Auditorium, U.S.    in begins at 8
                                   5 p.m. EST.         www.fda.gov/Food/   Department of       a.m.
                                                       NewsEvents/         Agriculture
                                                       WorkshopsMeetings   (USDA), Wing 5
                                                       Conferences/        Entrance, 14th
                                                       default.htm.        and Independence
                                                                           Ave. SW.,
                                                                           Washington, DC
                                                                           20024. Photo ID
                                                                           Required.

View Web cast...................  June 26, 2014,      Please preregister  ..................  The Web cast will
                                   from 8:30 a.m. to   at http://                              have closed
                                   5 p.m. EST.         www.fda.gov/Food/                       captioning.
                                                       NewsEvents/
                                                       WorkshopsMeetings
                                                       Conferences/
                                                       default.htm.
Preregister.....................  Register by June    Individuals who     We encourage the    There is no
                                   20, 2014.           wish to             use of electronic   registration fee
                                                       participate in      registration, if    for the public
                                                       person or via Web   possible.\1\        meeting.
                                                       Cast are asked to
                                                       preregister at
                                                       http://www.fda.gov/Food/NewsEvents/WorkshopsMeetingsConferences/default.htm.
Request special accommodations    Request by June     Juanita Yates,      See For Further     ..................
 due to disability.                12, 2014.           email:              Information
                                                       Juanita.yates@fda   Contact.
                                                       .hhs.gov.
Request to make oral              Register by June    http://www.fda.gov/ ..................  We will grant
 presentation.                     12, 2014.           Food/NewsEvents/                        requests made on
                                                       WorkshopsMeetings                       the day of the
                                                       Conferences/                            meeting to make
                                                       default.htm.\2\                         an oral
                                                                                presentation as
                                                                                time permits.
                                                                                Information on
                                                                                requests to make
                                                                                an oral
                                                                                presentation may
                                                                                be posted without
                                                                                change to http://www.regulations.gov ov, including any
                                                                                personal
                                                                                information.
Submit electronic or written      Submit comments by  Federal             Mail/Hand delivery/ Identify your
 comments.                         August 1, 2014.     eRulemaking         Courier (for        comments with the
                                                       Portal: http://     paper               appropriate
                                                       www.regulations.g   submissions):       docket number
                                                       ov. Follow the      Division of         (Docket No. FDA-
                                                       instructions for    Dockets             012-N-1210 http://
                                                       submitting          Management (HFA-    www.regulations.g
                                                       comments.           305), Food and      ov/
                                                                           Drug                #!documentDetail;
                                                                           Administration,     D=FDA-2012-N-1210-
                                                                           5360 Fishers        0002 for
                                                                           Lane, rm. 1061,     Nutrition Facts
                                                                           Rockville, MD       label proposed
                                                                           20852.              rule or Docket
                                                                                No. FDA-2004-N-
                                                                                0258 http://www.regulations.gov/#!documentDetail;
                                                                                D=FDA-2004-N-0258-
                                                                                0006 for serving
                                                                                size proposed
                                                                                rule). We
                                                                                encourage you to
                                                                                submit electronic
                                                                                comments by using
                                                                                the Federal
                                                                                eRulemaking
                                                                                Portal.
----------------------------------------------------------------------------------------------------------------
\1\ You may also register via email, mail, or fax. Please include your name, title, firm name, address, and
  phone and fax numbers in your registration information and send to: Cindy de Sales, The Event Planning Group,
  LLC, 7910 Woodmont Avenue, suite 310, Bethesda, MD 20814,<PHONE_NUMBER>, FAX:<PHONE_NUMBER>, email:
<EMAIL_ADDRESS>\2\ You may also request to make an oral presentation at the public meeting via email. Please include your name,
  title, firm name, address, and phone and fax numbers, and send to Cindy de Sales (see FOR FURTHER INFORMATION
  CONTACT).

IV. Comments, Transcripts, and Recorded Video

    Information and data, including any personal information, submitted
to FDA during the public meeting and the comment period for the
proposed rules will become part of the administrative record for the
relevant rulemaking. This information and data will be accessible to
the public at http://www.regulations.gov and between 9 a.m. and 4 p.m.,
Monday through Friday, at the Division of Dockets Management (see
Addresses in table 1).
    Regardless of attendance at the public meeting, interested persons
may submit to FDA's Division of Dockets Management (see Addresses in
table 1) either electronic or written comments. You only need to send
one set of comments. Identify the comments with the appropriate docket
number (Docket No. FDA-2012-N-1210 for the Nutrition Facts label
proposed rule or Docket No. FDA-2004-N-0258 for the serving size
proposed rule). If you have comments pertaining to both proposed rules,
submit them separately for each rule to ensure consideration.
    The transcript of the proceedings from the public meeting will
become part of the administrative record for each of the rulemakings.
As soon as the transcript is ready, we will make it available at http://www.regulations.gov and at http://www.fda.gov/Food/. It may also be
viewed between 9 a.m. and 4 p.m., Monday through Friday, at the
Division of Dockets Management (see Addresses in table 1). The
transcript will also be available in either hardcopy or on CD-ROM after
submission of a Freedom of Information request. Send written requests
to the Division of Freedom of Information (ELEM-1029), Food and Drug
Administration, 12420 Parklawn Dr., Element Bldg., Rockville, MD 20857.
    Additionally, FDA will be video recording the public meeting. Once
the

recorded video is available, you can access it at http://www.fda.gov/Food/.

    Dated: May 22, 2014.
Leslie Kux,
Assistant Commissioner for Policy.
[FR Doc. 2014-12362 Filed 5-28-14; 8:45 am]
BILLING CODE 4160-01-P


[Federal Register: April 12, 2010 (Volume 75, Number 69)]
[Notices]
[Page 18522-18523]
[DOCID:fr12ap10-86]

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

DEPARTMENT OF HOMELAND SECURITY

Federal Emergency Management Agency

[Internal Agency Docket No. FEMA-1894-DR; Docket ID FEMA-2010-0002]

Rhode Island; Amendment No. 1 to Notice of a Major Disaster
Declaration

AGENCY: Federal Emergency Management Agency, DHS.

ACTION: Notice.

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

SUMMARY: This notice amends the notice of a major disaster declaration
for the State of Rhode Island (FEMA-1894-DR), dated March 29, 2010, and
related determinations.

DATES: Effective Date: April 2, 2010.

FOR FURTHER INFORMATION CONTACT: Peggy Miller, Recovery Directorate,
Federal Emergency Management Agency, 500 C Street, SW., Washington, DC
20472,<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION: The notice of a major disaster declaration
for the State of Rhode Island is hereby amended to include the
following area among those areas determined to have been adversely
affected by the event declared a major disaster by the President in his
declaration of April 2, 2010.

    Bristol County for Individual Assistance. The following Catalog
of Federal Domestic Assistance Numbers (CFDA) are to be used for
reporting and drawing funds: 97.030, Community Disaster Loans;
97.031, Cora Brown Fund; 97.032, Crisis Counseling; 97.033, Disaster
Legal Services; 97.034, Disaster Unemployment Assistance (DUA);
97.046, Fire Management Assistance Grant; 97.048, Disaster Housing
Assistance to Individuals and Households In Presidentially Declared
Disaster Areas; 97.049, Presidentially Declared Disaster
Assistance--Disaster Housing Operations for Individuals and
Households; 97.050 Presidentially Declared Disaster Assistance to
Individuals and Households--Other Needs; 97.036, Disaster Grants--
Public Assistance

(Presidentially Declared Disasters); 97.039, Hazard Mitigation
Grant.

W. Craig Fugate,
Administrator, Federal Emergency Management Agency.
[FR Doc. 2010-8260 Filed 4-9-10; 8:45 am]
BILLING CODE 9111-23-P


[Federal Register Volume 81, Number 60 (Tuesday, March 29, 2016)]
[Proposed Rules]
[Pages 17415-17417]
[FR Doc No: 2016-07023]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2016-5034; Directorate Identifier 2015-NM-172-AD]
RIN 2120-AA64

Airworthiness Directives; The Boeing Company Airplanes

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed rulemaking (NPRM).

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

SUMMARY: We propose to adopt a new airworthiness directive (AD) for all
The Boeing Company Model 737-600, -700, -700C, -800, -900, and 900ER
series airplanes. This proposed AD was prompted by an evaluation by the
design approval holder (DAH) indicating that the S-14L and S-14R lap
splices are subject to widespread fatigue damage (WFD). This proposed
AD would require repetitive low frequency eddy current inspections for
cracking in the lower fastener row of the S-14L and S-14R lap splices
and repair if necessary. We are proposing this AD to detect and correct
widespread cracking in the S-14L and S-14R lap splices that could
rapidly link up and result in possible rapid decompression and reduced
structural integrity of the airplane.

DATES: We must receive comments on this proposed AD by May 13, 2016.

ADDRESSES: You may send comments, using the procedures found in 14 CFR
11.43 and 11.45, by any of the following methods:
     Federal eRulemaking Portal: Go to http://www.regulations.gov. Follow the instructions for submitting comments.
     Fax:<PHONE_NUMBER>.
     Mail: U.S. Department of Transportation, Docket
Operations, M-30, West Building Ground Floor, Room W12-140, 1200 New
Jersey Avenue SE., Washington, DC 20590.
     Hand Delivery: Deliver to Mail address above between 9
a.m. and 5 p.m., Monday through Friday, except Federal holidays.
    For service information identified in this NPRM, contact Boeing
Commercial Airplanes, Attention: Data & Services Management, P.O. Box
3707, MC 2H-65, Seattle, WA 98124-2207; telephone<PHONE_NUMBER>,
extension 1; fax<PHONE_NUMBER>; Internet https://www.myboeingfleet.com.
You may view this referenced service information at the FAA, Transport
Airplane Directorate, 1601 Lind Avenue SW., Renton, WA. For information
on the availability of this material at the FAA, call<PHONE_NUMBER>. It
is also available on the Internet at http://www.regulations.gov by
searching for and locating Docket No. FAA-2016-5034.

Examining the AD Docket

    You may examine the AD docket on the Internet at http://www.regulations.gov by searching for and locating Docket No. FAA-2016-
5034; or in person at the Docket Management Facility between 9 a.m. and
5 p.m., Monday through Friday, except Federal holidays. The AD docket
contains this proposed AD, the regulatory evaluation, any comments
received, and other information. The street address for the Docket
Office (phone:<PHONE_NUMBER>) is in the ADDRESSES section. Comments will
be available in the AD docket shortly after receipt.

FOR FURTHER INFORMATION CONTACT: Jason Deutschman, Aerospace Engineer,
Airframe Branch, ANM-120S, FAA, Seattle Aircraft Certification Office
(ACO), 1601 Lind Avenue SW., Renton, WA 98057-3356; phone: 425-917-
6595; fax:<PHONE_NUMBER>; email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

Comments Invited

    We invite you to send any written relevant data, views, or
arguments about this proposal. Send your comments to an address listed
under the ADDRESSES section. Include ``Docket No. FAA-2016-5034;
Directorate Identifier 2015-NM-172-AD'' at the beginning of your
comments. We specifically invite comments on the overall regulatory,
economic, environmental, and energy aspects of this proposed AD. We
will consider all comments received by the closing date and may amend
this proposed AD because of those comments.
    We will post all comments we receive, without change, to http://www.regulations.gov, including any personal information you provide. We
will also post a report summarizing each substantive verbal contact we
receive about this proposed AD.

Discussion

    Structural fatigue damage is progressive. It begins as minute
cracks, and those cracks grow under the action of repeated stresses.
This can happen because of normal operational conditions and design
attributes, or because of isolated situations or incidents such as
material defects, poor fabrication quality, or corrosion pits, dings,
or scratches. Fatigue damage can occur locally, in small areas or
structural design details, or globally. Global fatigue damage is
general degradation of large areas of structure with similar structural
details and stress levels. Multiple-site damage is global damage that
occurs in a large structural element such as a single rivet line of a
lap splice joining two large skin panels. Global damage can also occur
in multiple elements such as adjacent frames or stringers. Multiple-
site-

damage and multiple-element-damage cracks are typically too small
initially to be reliably detected with normal inspection methods.
Without intervention, these cracks will grow, and eventually compromise
the structural integrity of the airplane, in a condition known as WFD.
As an airplane ages, WFD will likely occur, and will certainly occur if
the airplane is operated long enough without any intervention.
    The FAA's WFD final rule (75 FR 69746, November 15, 2010) became
effective on January 14, 2011. The WFD rule requires certain actions to
prevent structural failure due to WFD throughout the operational life
of certain existing transport category airplanes and all of these
airplanes that will be certificated in the future. For existing and
future airplanes subject to the WFD rule, the rule requires that DAHs
establish a limit of validity (LOV) of the engineering data that
support the structural maintenance program. Operators affected by the
WFD rule may not fly an airplane beyond its LOV, unless an extended LOV
is approved.
    The WFD rule (75 FR 69746, November 15, 2010) does not require
identifying and developing maintenance actions if the DAHs can show
that such actions are not necessary to prevent WFD before the airplane
reaches the LOV. Many LOVs, however, do depend on accomplishment of
future maintenance actions. As stated in the WFD rule, any maintenance
actions necessary to reach the LOV will be mandated by airworthiness
directives through separate rulemaking actions.
    In the context of WFD, this action is necessary to enable DAHs to
propose LOVs that allow operators the longest operational lives for
their airplanes, and still ensure that WFD will not occur. This
approach allows for an implementation strategy that provides
flexibility to DAHs in determining the timing of service information
development (with FAA approval), while providing operators with
certainty regarding the LOV applicable to their airplanes.
    We received reports that the existing inspection program is not
sufficient to preclude the occurrence of WFD in the S-14L and S-14R lap
splices. This condition, if not corrected, could result in widespread
cracking that could rapidly link up and result in possible rapid
decompression and reduced structural integrity of the airplane.

Relevant Service Information Under 1 CFR Part 51

    We reviewed Boeing Alert Service Bulletin 737-53A1352, dated
October 2, 2015. The service information describes procedures for low
frequency eddy current inspections for cracking in the lower fastener
row of the S-14L and S-14R lap splices 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.

FAA's Determination

    We are proposing this AD because we evaluated all the relevant
information and determined the unsafe condition described previously is
likely to exist or develop in other products of these same type
designs.

Proposed AD Requirements

    This proposed AD would require accomplishing the actions specified
in the service information described previously, except as discussed
under ``Differences Between this Proposed AD and the Service
Information.'' For information on the procedures and compliance times,
see this service information at http://www.regulations.gov by searching
for and locating Docket No. FAA-2016-5034.

Differences Between This Proposed AD and the Service Information

    Boeing Alert Service Bulletin 737-53A1352, dated October 2, 2015,
specifies to contact the manufacturer for instructions on how to repair
certain conditions, but this proposed AD would require repairing those
conditions in one of the following ways:
     In accordance with a method that we approve; or
     Using data that meet the certification basis of the
airplane, and that have been approved by the Boeing Commercial
Airplanes Organization Designation Authorization (ODA) whom we have
authorized to make those findings.

Costs of Compliance

    We estimate that this proposed AD affects 1,513 airplanes of U.S.
registry. We estimate the following costs to comply with this proposed
AD:

                                                 Estimated Costs
----------------------------------------------------------------------------------------------------------------
                                                                                Cost on U.S.
              Action                    Labor cost        Parts cost      Cost per product        operators
----------------------------------------------------------------------------------------------------------------
Inspection for Group 1 airplanes   84 work-hours x $85              $0  $7,140 per           $10,502,940 per
 (1,471 airplanes).                 per hour = $7,140                    inspection cycle.    inspection cycle.
                                    per inspection
                                    cycle.
Inspection for Group 2 airplanes   65 work-hours x $85              $0  $5,525 per           $232,050 per
 (42 airplanes).                    per hour = $5,525                    inspection cycle.    inspection cycle.
                                    per inspection
                                    cycle.
----------------------------------------------------------------------------------------------------------------

    We have received no definitive data that would enable us to provide
cost estimates for the on-condition actions specified in this proposed
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.
    We are issuing this rulemaking under the authority described in
Subtitle VII, Part A, Subpart III, Section 44701: ``General
requirements.'' Under that section, Congress charges the FAA with
promoting safe flight of civil aircraft in air commerce by prescribing
regulations for practices, methods, and procedures the Administrator
finds necessary for safety in air commerce. This regulation is within
the scope of that authority because it addresses an unsafe condition
that is likely to exist or develop on products identified in this
rulemaking action.

Regulatory Findings

    We determined that this proposed AD would not have federalism
implications under Executive Order 13132. This proposed AD would 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 this proposed
regulation:
    (1) Is not a ``significant regulatory action'' under Executive
Order 12866,
    (2) Is not a ``significant rule'' under the DOT Regulatory Policies
and Procedures (44 FR 11034, February 26, 1979),
    (3) Will not affect intrastate aviation in Alaska, and
    (4) Will not have a significant economic impact, positive or
negative, on a substantial number of small entities under the criteria
of the Regulatory Flexibility Act.

List of Subjects in 14 CFR Part 39

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

The Proposed Amendment

    Accordingly, under the authority delegated to me by the
Administrator, the FAA proposes to amend 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):

The Boeing Company: Docket No. FAA-2016-5034; Directorate Identifier
2015-NM-172-AD.

(a) Comments Due Date

    We must receive comments by May 13, 2016.

(b) Affected ADs

    None.

(c) Applicability

    This AD applies to all The Boeing Company Model 737-600, -700, -
700C, -800, -900, and -900ER series airplanes, certificated in any
category.

(d) Subject

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

(e) Unsafe Condition

    This AD was prompted by an evaluation by the design approval
holder (DAH) indicating that the S-14L and S-14R lap splices are
subject to widespread fatigue damage (WFD). We are issuing this AD
to detect and correct widespread cracking in the S-14L and S-14R lap
splices that could rapidly link up and result in possible rapid
decompression and reduced structural integrity of the airplane.

(f) Compliance

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

(g) Repetitive Inspections

    At the applicable compliance time specified in paragraph 1.E.,
``Compliance,'' of Boeing Alert Service Bulletin 737-53A1352, dated
October 2, 2015, do a low frequency eddy current inspection for
cracking of the lower fastener row of S-14L and S-14R lap splices,
in accordance with the Accomplishment Instructions of Boeing Alert
Service Bulletin 737-53A1352, dated October 2, 2015. Repeat the
inspection thereafter at the applicable times specified in paragraph
1.E., ``Compliance,'' of Boeing Alert Service Bulletin 737-53A1352,
dated October 2, 2015. If any cracking is found, before further
flight, repair using a method approved in accordance with the
procedures specified in paragraph (h) of this AD.

(h) Alternative Methods of Compliance (AMOCs)

    (1) The Manager, Seattle Aircraft Certification Office (ACO),
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 ACO, send it to the
attention of the person identified in paragraph (i)(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 Commercial Airplanes Organization
Designation Authorization (ODA) that has been authorized by the
Manager, Seattle ACO, 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.
    (4) For service information that contains steps that are labeled
as Required for Compliance (RC), the provisions of paragraphs
(h)(4)(i) and (h)(4)(ii) of this AD apply.
    (i) The steps labeled as RC, including substeps under an RC step
and any figures identified in an RC step, must be done to comply
with the AD. An AMOC is required for any deviations to RC steps,
including substeps and identified figures.
    (ii) Steps not labeled as RC may be deviated from using accepted
methods in accordance with the operator's maintenance or inspection
program without obtaining approval of an AMOC, provided the RC
steps, including substeps and identified figures, can still be done
as specified, and the airplane can be put back in an airworthy
condition.

(i) Related Information

    (1) For more information about this AD, contact Jason
Deutschman, Aerospace Engineer, Airframe Branch, ANM-120S, FAA,
Seattle ACO, 1601 Lind Avenue SW., Renton, WA 98057-3356; phone:
425-917-6595; fax:<PHONE_NUMBER>; email<EMAIL_ADDRESS>    (2) For service information identified in this AD, contact
Boeing Commercial Airplanes, Attention: Data & Services Management,
P.O. Box 3707, MC 2H-65, Seattle, WA 98124-2207; telephone 206-544-
5000, extension 1; fax<PHONE_NUMBER>; Internet https://www.myboeingfleet.com. You may view this referenced service
information at the FAA, Transport Airplane Directorate, 1601 Lind
Avenue SW., Renton, WA. For information on the availability of this
material at the FAA, call<PHONE_NUMBER>.

    Issued in Renton Washington, on March 20, 2016.
Michael Kaszycki,
Acting Manager, Transport Airplane Directorate, Aircraft Certification
Service.
[FR Doc. 2016-07023 Filed 3-28-16; 8:45 am]
 BILLING CODE 4910-13-P