[Federal Register Volume 88, Number 187 (Thursday, September 28, 2023)]
[Notices]
[Pages 66913-66916]
[FR Doc No: 2023-21136]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-98489; File No. SR-NASDAQ-2023-036]

Self-Regulatory Organizations; The Nasdaq Stock Market LLC;
Notice of Filing of Proposed Rule Change To Amend Rule 4120 and Rule
4753

September 22, 2023.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on September 12, 2023, The Nasdaq Stock Market LLC (``Nasdaq'' or
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I and
II below, which Items have been prepared by the self-regulatory
organization. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The Exchange proposes to amend Rule 4120 (Limit Up-Limit Down and
Trading Halts) and Rule 4753 (Nasdaq Halt Cross) to set forth specific
requirements for halting and resuming

trading in a security that is subject to a reverse stock split.
    The text of the proposed rule change is available on the Exchange's
website at https://listingcenter.nasdaq.com/rulebook/nasdaq/rules, at
the principal office of the Exchange, and at the Commission's Public
Reference Room.

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

    In its filing with the Commission, the Exchange 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. The Exchange has prepared summaries, set forth in
sections A, B, and C below, of the most significant aspects of such
statements.

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

1. Purpose
    In conjunction with the increase in overall reverse stock splits in
recent years, Nasdaq proposes to amend Rule 4120 and Rule 4753 to set
forth specific requirements for halting trading in a security that is
subject to a reverse stock split and resuming trading using the Nasdaq
Halt Cross. Current Rule 4120 does not specifically list rule reverse
stock splits in its numerated circumstances in which Nasdaq may halt
trading in a security. The proposed amendments will be specific to the
automatic initiation, pre-market trading and opening of a Nasdaq-listed
security undergoing a reverse stock split.
Background
    Nasdaq has observed that the current market environment has led to
an increase in reverse stock split activity. In 2022, Nasdaq processed
196 reverse stock splits, compared to 35 in 2021 and 98 in 2020. Just
in the first quarter of 2023, Nasdaq processed 78 reverse stock splits,
and projects significantly more throughout 2023. Reverse stock splits
are often effected by smaller companies that do not have broad media or
research coverage. In most cases, the companies are listed on the
Capital Market tier and are conducting reverse stock splits to achieve
compliance with Nasdaq's $1 minimum bid price requirement.\3\
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    \3\ Rule 5550(a)(2) specifies that a Company that has its
Primary Equity Security listed on the Capital Market must have a
minimum bid price of at least $1 per share. See also Rule 5450(a)(1)
(Global and Global Select Markets). Companies are afforded a grace
period pursuant to Rule 5810(c)(3)(A) to regain compliance.
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    Nasdaq believes that the increase in companies effecting reverse
stock splits warrants amendments to the trading halt rules to allow for
Nasdaq to help reduce the potential for errors resulting in a material
effect on the market resulting from market participants' processing of
the reverse stock split, including incorrect adjustment or entry of
orders. Nasdaq currently processes reverse stock splits overnight, with
the security opening for trading at 4:00 a.m. EST in the pre-market
hours (i.e., the trading session between 4:00 a.m. to 9:30 a.m. EST) on
a split-adjusted basis. Recently, market participants have expressed
concerns with allowing trading on an adjusted basis at 4:00 a.m.,
noting that it is not optimal because system errors or problems with
orders may go unnoticed for a period of time when a security that has
undergone a reverse stock split opens for trading with the other
thousands of securities. These errors have the potential to adversely
affect investors, market participants and the issuer.\4\ For example,
in one recent instance problems in connection with the processing of a
reverse stock split resulted in a broker executing trades selling more
shares than customers held in their accounts, resulting in a temporary
short position.
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    \4\ In a separate filing, Nasdaq also proposed changes to adopt
specific notification and disclosure requirements for reverse stock
splits. See Securities Exchange Act Release No. 98014 (July 28,
2023), 88 FR 51376 (August 3, 2023) (SR-Nasdaq-2023-21).
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    As such, Nasdaq believes it is appropriate to impose a regulatory
halt, which would prohibit pre-market trading immediately after a
reverse stock split and open trading in such securities using the
Nasdaq Halt Cross \5\ process set forth in Rule 4753. The proposed new
rule will allow for Nasdaq and market participants to better detect any
errors or problems with orders for the security resulting from the
reverse stock split before trading in the security begins and thereby
avoid any material effect on the market.
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    \5\ The ``Nasdaq Halt Cross'' is the process for determining the
price at which Eligible Interest shall be executed at the open of
trading for a halted security and for executing that Eligible
Interest. See Rule 4753(a)(4). ``Eligible Interest'' shall mean any
quotation or any order that has been entered into the system and
designated with a time-in-force that would allow the order to be in
force at the time of the Halt Cross. See Nasdaq Rule 4753(a)(5).
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Description of the Proposed Amendment
    Nasdaq is proposing to: (1) amend Rule 4120(a) to provide the
Exchange with explicit authority to declare a trading halt before the
end of Post-Market Hours \6\ on the day immediately before the market
effective date of a reverse stock split; and (2) amend Rule 4120(c) to
include this halt in the existing procedures for initiating and
terminating a trading halt. More specifically, proposed Rule
4120(a)(14) provides that Nasdaq shall halt trading of a security for
which Nasdaq is the primary listing market before the end of the Post-
Market Hours on the day immediately before the market effective date of
a reverse stock split. A trading halt due to a reverse stock split will
be mandatory pursuant to proposed Rule 4120(a)(14). Nasdaq also
proposes to modify Rule 4120(c)(7)(A) to include the new halt authority
proposed in Rule 4120(a)(14) in the reopening process currently
applicable to halts under Rules 4120(a)(1), (4), (5), (6), (9), (10)
and (11). In general, Nasdaq expects to initiate the halt at 7:50 p.m.,
prior to the close of post-market trading at 8:00 p.m. on the day
immediately before the split is effective,\7\ and resume trading at
9:00 a.m. on the day the split is effective.\8\ Nasdaq believes that
this halt and delayed opening will give sufficient time for investors
to review their orders and the quotes for the security and allow market
participants to ensure that their systems have properly adjusted for
the reverse stock split.
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    \6\ The term ``Post-Market Hours'' means the period of time
beginning immediately after the end of Market Hours and ending at
8:00 p.m. ET. See Nasdaq Rule Equity 1, Section 1(a)(9).
    \7\ Initiating the halt at approximately 7:50 p.m. will provide
Nasdaq with a limited buffer to ensure that trading in a security
that is undergoing a reverse stock split will not continue after the
close of post-market trading.
    \8\ Nasdaq may change the resumption time if, for example, there
was an Extraordinary Market Activity that could interfere with a
fair and orderly 9:00 a.m. resumption. ``Extraordinary Market
Activity'' is defined in the Fiftieth Amendment to the Joint Self-
Regulatory Organization Plan Governing the Collection, Consolidation
and Dissemination of Quotation and Transaction Information for
Nasdaq-Listed Securities Traded on Exchanges on an Unlisted Trading
Privileges Basis.
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    Nasdaq is also proposing to update Rule 4753(b) to include proposed
Rule 4120(a)(14) in the list of numerated provisions that would be
subject to the Nasdaq Halt Cross. As such, any security that is subject
to a reverse stock split will be reopened using the Nasdaq Halt Cross
prior to trading during market hours.
2. Statutory Basis
    The Exchange believes that its proposal is consistent with the
requirements of the Act and the rules and regulations thereunder that
are applicable to a national securities

exchange, and, in particular, with the requirements of section 6(b) of
the Act.\9\ Specifically, the proposal is consistent with section
6(b)(5) of the Act \10\ because it would promote just and equitable
principles of trade, remove impediments to, and perfect the mechanism
of, a free and open market and a national market system, and, in
general, protect investors and the public interest.
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    \9\ 15 U.S.C. 78f(b).
    \10\ 15 U.S.C. 78f(b)(5).
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    As described above, the Exchange is seeking to amend rules related
to halting and resuming trading in U.S.-listed equity securities
subject to a reverse stock split. The Exchange believes that
establishing a reverse stock split trading halt rule will protect
investors by giving the Exchange automatic authority to act in
situations where it is necessary to maintain fair and orderly markets.
It will also ensure that the process for resuming trading following a
reverse stock split halt is consistent with other types of halts
initiated by Nasdaq. Currently, none of the provisions in Rule 4120
provide authority to pre-emptively halt during pre-market hours the
trading in a security undergoing a significant corporate action that
could lead to investor or market confusion. The Exchange believes that
the proposed amendments will provide greater transparency and clarity
with respect to the manner in which trading will be halted due to a
reverse stock split, and the process through which that halt will be
implemented and terminated. Particularly, Nasdaq will not have the
discretion of determining when to halt a security following a reverse
stock split. Rather, following the reverse stock split of the security
for which Nasdaq is the primary listing market, trading in the security
will automatically halt prior to the close of post-market trading at
8:00 p.m. The proposed changes seek to achieve consistency with respect
to the initiation and termination of a trading halt with respect to
securities that have undergone a reverse stock split, while maintaining
a fair and orderly market, protecting investors and protecting the
public interest.
    Additionally, establishing a mandatory trading halt for securities
that have undergone a reverse stock split and resuming trading
thereafter promotes fair and orderly markets and the protection of
investors, because it encourages Nasdaq to consider the broader
interests of the national market system and addresses potential
concerns that system errors may affect immediate trading in those
securities. Based on the foregoing, the Exchange believes that the
proposed rules are consistent with section 6(b)(5) of the Act \11\
because they will promote just and equitable principles of trade and
will remove any impediments to a free and open market and a national
market system by allowing sufficient time for investors to review their
orders and the quotes for a security that has undergone a reverse stock
split, and allow market participants to ensure that their systems have
properly accounted for the reverse stock split. As discussed
previously, the Exchange believes that the proposed amendments
establishing the authority and process for reverse stock split trading
halts and the resumption of trading is consistent with the Act, which
itself imposes obligations on exchanges with respect to issuers that
are listed.
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    \11\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange believes the proposal is consistent with section
6(b)(8) of the Act in that it does not impose any burden on competition
that is not necessary or appropriate in furtherance of the purposes of
the Act as explained below.
    The Exchange believes the proposal will not impose a burden on
intermarket competition that is not necessary or appropriate in
furtherance of the purposes of the Act because the proposed rule change
is designed to protect investors and facilitate a fair and orderly
market, which are both important purposes of the Act. To the extent
that there is any impact on intermarket competition, it is incidental
to these objectives.
    The Exchange does not believe that the proposed rule change imposes
a burden on intra-market competition because the provisions apply to
all market participants and issuers equally. In addition, information
regarding the halting and resumption of trading will be disseminated
using several freely accessible sources to ensure broad availability of
information offered by the Exchange that are available to subscribers.
    In addition, the proposals include provisions related to the
declaration and timing of trading halts and the resumption of trading
designed to avoid any advantage to those who can react more quickly
than other participants.

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

    No written comments were either solicited or received.

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

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

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's internet comment form (https://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include
file number SR-NASDAQ-2023-036 on the subject line.

Paper Comments

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

All submissions should refer to file number SR-NASDAQ-2023-036. This
file number should be included on the subject line if email is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's internet website (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be

available for website viewing and printing in the Commission's Public
Reference Room, 100 F Street NE, Washington, DC 20549, on official
business days between the hours of 10 a.m. and 3 p.m. Copies of the
filing also will be available for inspection and copying at the
principal office of the Exchange. Do not include personal identifiable
information in submissions; you should submit only information that you
wish to make available publicly. We may redact in part or withhold
entirely from publication submitted material that is obscene or subject
to copyright protection. All submissions should refer to file number
SR-NASDAQ-2023-036 and should be submitted on or before October 19,
2023.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\12\
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    \12\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023-21136 Filed 9-27-23; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 82, Number 107 (Tuesday, June 6, 2017)]
[Notices]
[Pages 26205-26206]
[FR Doc No: 2017-11505]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-80810; File No. SR-NASDAQ-2017-052]

 Self-Regulatory Organizations; The NASDAQ Stock Market LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Amend Rule 5735

May 30, 2017.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on May 24, 2017, The NASDAQ Stock Market LLC (``Nasdaq'' or
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I and
II below, which Items have been prepared by the Exchange. The
Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The Exchange proposes to correct rule language added by a previous
filing \3\ that, in part, amended Nasdaq Rule 5735 (Managed Fund
Shares).
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    \3\ See Securities Exchange Act Release No. 80708 (May 17,
2017), 82 FR 23690 (May 23, 2017) (SR-NASDAQ-2017-040).
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    The text of the proposed rule change is available on the Exchange's
Web site at http://nasdaq.cchwallstreet.com, at the principal office of
the Exchange, and at the Commission's Public Reference Room.

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

    In its filing with the Commission, the Exchange 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. The Exchange has prepared summaries, set forth in
sections A, B, and C below, of the most significant aspects of such
statements.

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

1. Purpose
    Earlier this year, the Commission approved a Nasdaq filing (the
``Initial Filing'') to amend, among other things, the continued listing
requirements for exchange-traded products (``ETPs'') in the Nasdaq Rule
5700 Series.\4\ Subsequently, the Exchange submitted a filing \5\ (the
``Subsequent Filing'') containing a number of housekeeping and
conforming changes to the Initial Filing. The proposed amendment makes
a correction to language added as part of the Subsequent Filing.
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    \4\ See Securities Exchange Act Release No. 79784 (Jan. 12,
2017), 82 FR 6664 (Jan. 19, 2017) (SR-NASDAQ-2016-135).
    \5\ Supra note 3.
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    Specifically, the Exchange proposes to correct under the
applicability section of Nasdaq Rule 5735(b)(1) (Managed Fund Shares)
\6\ that any of the statements or representations regarding not just
the description of the portfolio, but also of reference assets, among
other things, will constitute continued listing requirements for
listing of shares. This correction will result in the language
mirroring that added by the Subsequent Filing in the initial and
continued listing requirements section of Nasdaq Rule 5735 \7\ as
intended.
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    \6\ See Nasdaq Rule 5735(b)(1).
    \7\ See Nasdaq Rule 5735(d)(2)(C)(iv).
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2. Statutory Basis
    The Exchange believes that its proposal is consistent with Section
6(b) of the Act,\8\ in general, and furthers the objectives of Section
6(b)(5) of the Act,\9\ in particular, in that it is designed to promote
just and equitable principles of trade, to remove impediments to and
perfect the mechanism of a free and open market and a national market
system, and, in general to protect investors and the public interest.
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    \8\ 15 U.S.C. 78f(b).
    \9\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes that the proposed rule change to correct
Nasdaq Rule 5735(b)(1) to require that any of the statements or
representations regarding not just the description of the portfolio,
but also of reference assets, will constitute continued listing
requirements for listing of shares will provide clarity and accurately
reflect the intent of the rule to the benefit of investors and the
public interest.
    For these reasons, Nasdaq believes the proposed rule change is
consistent with the requirements of Section 6(b)(5) of the Act.

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

    The Exchange does not believe that the proposed rule change will
impose any burden on competition not necessary or appropriate in
furtherance of the purposes of the Act, as amended. The Exchange
believes that the proposed rule change may enhance competition since it
corrects and makes more consistent the applicability of listing
requirements for ETPs.

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

    No written comments were either solicited or received.

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

    Because the foregoing proposed rule change does not: (i)
Significantly affect the protection of investors or the public
interest; (ii) impose any significant burden on competition; and (iii)
become operative for 30 days from the date on which it was filed, or
such shorter time as the Commission may designate, it has become
effective pursuant to Section 19(b)(3)(A) \10\ of the Act and Rule 19b-
4(f)(6) thereunder.\11\
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    \10\ 15 U.S.C. 78s(b)(3)(A).
    \11\ 17 CFR 240.19b-4(f)(6). As required under Rule 19b-
4(f)(6)(iii), the Exchange provided the Commission with written
notice of its intent to file the proposed rule change, along with a
brief description and the text of the proposed rule change, at least
five business days prior to the date of filing of the proposed rule
change, or such shorter time as designated by the Commission.
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    The Exchange has asked the Commission to waive the 30-day operative
delay, making this proposal operative upon filing. The Commission
believes that waiver of the operative delay is consistent with the
protection of investors and the public interest. The proposal will
modify Nasdaq Rule 5735(b)(1) to provide that any of the statements or
representations regarding not just the description of the portfolio,
but also the description of reference assets, among other things,
constitute continued listing requirements for Managed Fund Shares. This
aligns the

requirements in Nasdaq Rule 5735(b)(1) with the requirements in Nasdaq
Rule 5735(d)(2)(C)(iv) \12\ and ensures that the listing requirements
for Managed Fund Shares are consistent across the Exchange's rules,
reducing potential investor confusion. Therefore, the Commission
designates the proposed rule change to be operative upon filing.\13\
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    \12\ See Securities Exchange Act Release No. 79784, supra note
4.
    \13\ For purposes only of waiving the 30-day operative delay,
the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f). The Commission notes that the changes in the Subsequent
Filing become operative on October 1, 2017. See Securities Exchange
Act Release No. 80708, supra note 3, at 23691. Since this filing
proposes to modify rule text in the Subsequent Filing, the change
proposed herein will also be operative October 1, 2017.
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    At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is: (i)
Necessary or appropriate in the public interest; (ii) for the
protection of investors; or (iii) otherwise in furtherance of the
purposes of the Act. If the Commission takes such action, the
Commission shall institute proceedings to determine whether the
proposed rule should be approved or disapproved.

Solicitation of Comments

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

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to<EMAIL_ADDRESS>Please include
File Number SR-NASDAQ-2017-052 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-NASDAQ-2017-052. This
file number should be included on the subject line if email is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for Web site viewing and
printing in the Commission's Public Reference Room, 100 F Street NE.,
Washington, DC 20549, on official business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of such filing also will be available
for inspection and copying at the principal office of the Exchange. 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-NASDAQ-2017-052 and should
be submitted on or before June 27, 2017.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\14\
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    \14\ 17 CFR 200.30-3(a)(12).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-11505 Filed 6-5-17; 8:45 am]
 BILLING CODE 8011-01-P


[Federal Register: November 12, 2008 (Volume 73, Number 219)]
[Rules and Regulations]
[Page 66740-66743]
[DOCID:fr12no08-6]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2007-28160; Directorate Identifier 2007-NM-006-AD;
Amendment 39-15703; AD 2008-22-08]
RIN 2120-AA64

Airworthiness Directives; Boeing Model 757-200 and 757-300 Series
Airplanes

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Final rule.

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SUMMARY: We are adopting a new airworthiness directive (AD) for certain
Boeing Model 757-200 and 757-300 series airplanes. This AD requires
installing a bonding jumper between a ground and the clamp on the tube
of the forward and aft gray water composite drain masts. For certain
airplanes, this AD requires inspecting existing aft bonding jumper
assemblies that might be too short, repair if necessary, and replacing
the bonding jumper assembly with a new, longer bonding jumper assembly
if necessary. This AD results from a report of charred insulation
blankets and burned wires around the forward gray water composite drain
mast found during an inspection of the forward cargo compartment on a
Model 767-300F airplane. We are issuing this AD to prevent a fire near
a composite drain mast and possible disruption of the electrical power
system due to a lightning strike on a composite drain mast, which could
result in the loss of

several functions essential for safe flight.

DATES: This AD is effective December 17, 2008.
    The Director of the Federal Register approved the incorporation by
reference of a certain publication listed in this AD as of December 17,
2008.

ADDRESSES: For service information identified in this AD, contact
Boeing Commercial Airplanes, P.O. Box 3707, Seattle, Washington 98124-
2207; telephone<PHONE_NUMBER>; fax<PHONE_NUMBER>; e-mail<EMAIL_ADDRESS>
Internet https://www.myboeingfleet.com.

Examining the AD Docket

    You may examine the AD docket on the Internet at http://
www.regulations.gov; 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 AD, the regulatory evaluation,
any comments received, and other information. The address for the
Docket Office (telephone<PHONE_NUMBER>) is the Document Management
Facility, 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: Nicholas Wilson, Aerospace Engineer,
Cabin Safety and Environmental Systems Branch, ANM-150S, FAA, Seattle
Aircraft Certification Office, 1601 Lind Avenue, SW., Renton,
Washington 98057-3356; telephone<PHONE_NUMBER>; fax<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Discussion

    We issued a supplemental notice of proposed rulemaking (NPRM) to
amend 14 CFR part 39 to include an airworthiness directive (AD) that
would apply to certain Boeing Model 757-200 and 757-300 series
airplanes. That supplemental NPRM was published in the Federal Register
on April 8, 2008 (73 FR 19015). That supplemental NPRM proposed to
require installing a bonding jumper between a ground and the clamp on
the tube of the forward and aft gray water composite drain masts. For
certain airplanes, that supplemental NPRM also proposed to require
inspecting existing aft bonding jumper assemblies that might be too
short, repair if necessary, and replacing the bonding jumper assembly
with a new, longer bonding jumper assembly if necessary.

Comments

    We gave the public the opportunity to participate in developing
this AD. We considered the comments received.

Support for the AD

    Boeing concurs with the contents of the supplemental NPRM.
Continental Airlines has no objection to the supplemental NPRM.
Northwest Airlines (NWA) is in general concurrence with the
modification requirements and concurs with the 60-month compliance
time. The Air Transport Association (ATA), on behalf of member
airlines, states that its members agree with the intent of the NPRM.

Request To Have Service Information Revised

    American Airlines (AAL) requests that Boeing Special Attention
Service Bulletin 757-30-0024, Revision 1, dated October 25, 2007, be
revised to change the pilot hole dimensions in Figure 2, Sheet 2. (We
referred to Boeing Special Attention Service Bulletin 757-30-0024,
Revision 1, dated October 25, 2007, as the appropriate source of
service information for the proposed actions in the NPRM.) AAL points
out that the new bracket is provided without pilot holes, but the
service bulletin specifies the hole location: ``Tolerance on linear
dimensions, other than rivet and bolt edge margins, is plus or minus
0.03 inch.'' AAL is concerned that it may be an unreasonable
expectation, within the on-aircraft environment in which the work is
being performed, to locate the holes in the bracket to within 0.03 inch
of the specified location. Therefore, AAL recommends that the service
bulletin be revised to change the hole location dimensions to be ``0.43
minimum.'' As a supporting argument for this change, AAL points out
that the new grounding bracket is installed in a different location to
meet the same intent for the forward drain mast and does not include
dimensional location information, which AAL believes implies that the
hole location in the bracket is not critical to meeting the intent of
the service bulletin.
    While we do agree that the on-airplane environment can sometimes be
a difficult place to work, we disagree that the service bulletin should
be revised as requested by AAL. Boeing has pointed out that the edge
margin requirement for the fasteners on the bonding bracket is not as
critical as the placement of the fastener through stringer S-25 right.
This fastener location must be drilled to within 0.35 inch, plus or
minus 0.03 inch, from the top edge of the stringer on the airplane. If
it is possible to maintain this drawing requirement for on-airplane
installation, it should also be possible to maintain the edge margin
requirements for the bonding bracket. We have confirmed that Boeing has
no plans to revise the service bulletin to change the pilot hole
dimensions in Figure 2, Sheet 2. We have not changed the AD in this
regard.

Request To Revise the Costs of Compliance

    The ATA, on behalf of NWA, requests that we revise the proposed
Costs of Compliance provided in the supplemental NPRM. NWA states that
Boeing Special Attention Service Bulletin 757-30-0024, Revision 1,
dated October 25, 2007, estimates 5.35 work-hours to do the proposed
modification. NWA considers this estimate to be low because of the
limited access to the area to be modified. Further, NWA notes that the
cost estimate provided in the supplemental NPRM reduced the work-hour
estimate to only 2 work-hours. Therefore, NWA believes that we have
underestimated the costs of compliance imposed on operators.
    We do not agree to revise the proposed work-hour estimate. The
work-hour estimate of 5.35 pointed out by NWA includes time necessary
for access and close. The cost information below describes only the
direct costs of the specific actions required by this AD. Based on the
best data available, the manufacturer provided the number of work-hours
(2) necessary to do the required actions. This number represents the
time necessary to perform only the actions actually required by this
AD.
    We recognize that, in doing the actions required by an AD,
operators might incur incidental costs in addition to the direct costs.
The cost analysis in AD rulemaking actions, however, typically does not
include incidental costs such as the time required to gain access and
close up, time necessary for planning, or time necessitated by other
administrative actions. Those incidental costs, which might vary
significantly among operators, are almost impossible to calculate. We
have not changed the AD in this regard.

Conclusion

    We reviewed the relevant data, considered the comments received,
and determined that air safety and the public interest require adopting
the AD as proposed.

Costs of Compliance

    There are about 83 airplanes of the affected design in the
worldwide fleet. The following table provides the estimated costs for
U.S. operators to comply with this AD.

                                                                     Estimated Costs
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                             Average labor                                  Number of U.S.-
                  Action                      Work hours     rate per hour     Parts ($)       Cost per       registered    Fleet cost ($)
                                                                  ($)                        airplane ($)      airplanes
------------------------------------------------------------------------------------------------------------------------------------------
Bonding jumper installation...............               2              80          \1\392             944              70          66,080
Inspection of existing bonding jumper                    1              80             392             472        Up to 70    Up to 33,040
 installation in bulk cargo compartment...
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Per kit (1 kit per drain mast).

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

    This AD will not have federalism implications under Executive Order
13132. This AD will not have a substantial direct effect on the States,
on the relationship between the national government and the States, or
on the distribution of power and responsibilities among the various
levels of government.
    For the reasons discussed above, I certify that this AD:
    (1) Is not a ``significant regulatory action'' under Executive
Order 12866,
    (2) Is not a ``significant rule'' under DOT Regulatory Policies and
Procedures (44 FR 11034, February 26, 1979), 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.
    You can find our regulatory evaluation and the estimated costs of
compliance in the AD Docket.

List of Subjects in 14 CFR Part 39

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

Adoption of the Amendment

0
Accordingly, under the authority delegated to me by the Administrator,
the FAA amends 14 CFR part 39 as follows:

PART 39--AIRWORTHINESS DIRECTIVES

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

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

Sec.  39.13  [Amended]

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

    2008-22-08 Boeing: Amendment 39-15703. Docket No. FAA-2007-
28160; Directorate Identifier 2007-NM-006-AD.

Effective Date

    (a) This airworthiness directive (AD) is effective December 17,
2008.

Affected ADs

    (b) None.

Applicability

    (c) This AD applies to Boeing Model 757-200 and 757-300 series
airplanes, certificated in any category; as identified in Boeing
Special Attention Service Bulletin 757-30-0024, Revision 1, dated
October 25, 2007.

Unsafe Condition

    (d) This AD results from a report of charred insulation blankets
and burned wires around the forward gray water composite drain mast
found during an inspection of the forward cargo compartment on a
Model 767-300F airplane. We are issuing this AD to prevent a fire
near a composite drain mast and possible disruption of the
electrical power system due to a lightning strike on a composite
drain mast, which could result in the loss of several functions
essential for safe flight.

Compliance

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

Bonding Jumper Installation

    (f) Except as provided by paragraph (g) of this AD: Within 60
months after the effective date of this AD, install a bonding jumper
between a ground and the clamp on the tube of the forward and aft
gray water composite drain mast, in accordance with Parts 1 and 2 of
the Accomplishment Instructions of Boeing Special Attention Service
Bulletin 757-30-0024, Revision 1, dated October 25, 2007.

Existing Bonding Jumper Inspection

    (g) For airplanes on which the bonding jumper was installed on
the aft drain mast in accordance with Boeing Special Attention
Service Bulletin 757-30-0024, dated July 24, 2006: Within 60 months
after the effective date of this AD, do a general visual inspection
of the aft bonding jumper assembly for signs of riding (chafing), in
accordance with Part 3 of the Accomplishment Instructions of Boeing
Special Attention Service Bulletin 757-30-0024, Revision 1, dated
October 25, 2007 (``the service bulletin''). If no riding damage is
found, no further action is required by this AD for the aft drain
mast. If riding damage is found, before further flight do the
actions specified in paragraphs (g)(1) and (g)(2) of this AD. Doing
the actions specified in this paragraph terminates the requirement
to install the bonding jumper on the aft drain mast specified in
paragraph (f) of this AD.
    (1) Repair any riding damage found in accordance with the
service bulletin.
    (2) Remove the existing bonding jumper assembly and install a
new, longer bonding jumper assembly in accordance with Part 3 of the
Accomplishment Instructions of the service bulletin. As an option to
the longer bonding jumper assembly, operators may remove the
bracket, fill the holes in the stringer, and restore the finish in
accordance with Part 3 of the Accomplishment Instructions of the
service bulletin; and install the ground bracket and jumper assembly
in accordance with Part 2 of the Accomplishment Instructions of the
service bulletin.

Alternative Methods of Compliance (AMOCs)

    (h)(1) The Manager, Seattle Aircraft Certification Office (ACO),
FAA, ATTN: Nicholas Wilson, Aerospace Engineer, Cabin

Safety and Environmental Systems Branch, ANM-150S, FAA, Seattle
Aircraft Certification Office, 1601 Lind Avenue SW., Renton,
Washington 98057-3356; telephone<PHONE_NUMBER>; fax<PHONE_NUMBER>;
has the authority to approve AMOCs for this AD, if requested using
the procedures found in 14 CFR 39.19.
    (2) To request a different method of compliance or a different
compliance time for this AD, follow the procedures in 14 CFR 39.19.
Before using any approved AMOC on any airplane to which the AMOC
applies, notify your appropriate principal inspector (PI) in the FAA
Flight Standards District Office (FSDO), or lacking a PI, your local
FSDO.

Material Incorporated by Reference

    (i) You must use Boeing Special Attention Service Bulletin 757-
30-0024, Revision 1, dated October 25, 2007, to do the actions
required by this AD, unless the AD specifies otherwise.
    (1) The Director of the Federal Register approved the
incorporation by reference of this service information under 5
U.S.C. 552(a) and 1 CFR part 51.
    (2) For service information identified in this AD, contact
Boeing Commercial Airplanes, P.O. Box 3707, Seattle, Washington
98124-2207; telephone<PHONE_NUMBER>; fax<PHONE_NUMBER>; e-mail
<EMAIL_ADDRESS>Internet https://www.myboeingfleet.com.
    (3) You may review copies of the service information
incorporated by reference at the FAA, Transport Airplane
Directorate, 1601 Lind Avenue SW., Renton, Washington; or at the
National Archives and Records Administration (NARA). For information
on the availability of this material at NARA, call<PHONE_NUMBER>, or
go to: http://www.archives.gov/federal_register/code_of_federal_
regulations/ibr_locations.html.

    Issued in Renton, Washington, on October 10, 2008.
Ali Bahrami,
Manager, Transport Airplane Directorate, Aircraft Certification
Service.
 [FR Doc. E8-25636 Filed 11-10-08; 8:45 am]

BILLING CODE 4910-13-P


[Federal Register: February 25, 2011 (Volume 76, Number 38)]
[Notices]
[Page 10581]
[DOCID:fr25fe11-49]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

 [Docket No. ER11-2905-000]

Pioneer Trail Wind Farm, LLC; Supplemental Notice That Initial
Market-Based Rate Filing Includes Request for Blanket Section 204
Authorization

    This is a supplemental notice in the above-referenced proceeding of
Pioneer Trail Wind Farm, LLC's application for market-based rate
authority, with an accompanying rate tariff, noting that such
application includes a request for blanket authorization, under 18 CFR
Part 34, of future issuances of securities and assumptions of
liability.
    Any person desiring to intervene or to protest should file with the
Federal Energy Regulatory Commission, 888 First Street, NE.,
Washington, DC 20426, in accordance with Rules 211 and 214 of the
Commission's Rules of Practice and Procedure (18 CFR 385.211 and
385.214). Anyone filing a motion to intervene or protest must serve a
copy of that document on the Applicant.
    Notice is hereby given that the deadline for filing protests with
regard to the applicant's request for blanket authorization, under 18
CFR Part 34, of future issuances of securities and assumptions of
liability, is March 9, 2011.
    The Commission encourages electronic submission of protests and
interventions in lieu of paper, using the FERC Online links at http://
www.ferc.gov. To facilitate electronic service, persons with Internet
access who will eFile a document and/or be listed as a contact for an
intervenor must create and validate an eRegistration account using the
eRegistration link. Select the eFiling link to log on and submit the
intervention or protests.
    Persons unable to file electronically should submit an original and
14 copies of the intervention or protest to the Federal Energy
Regulatory Commission, 888 First Street, NE., Washington, DC 20426.
    The filings in the above-referenced proceeding are accessible in
the Commission's eLibrary system by clicking on the appropriate link in
the above list. They are also available for review in the Commission's
Public Reference Room in Washington, DC. There is an eSubscription link
on the Web site that enables subscribers to receive e-mail notification
when a document is added to a subscribed dockets(s). For assistance
with any FERC Online service, please e-mail<EMAIL_ADDRESS>
or call<PHONE_NUMBER> (toll free). For TTY, call<PHONE_NUMBER>.

    Dated: February 17, 2011.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2011-4235 Filed 2-24-11; 8:45 am]
BILLING CODE 6717-01-P


[Federal Register Volume 79, Number 219 (Thursday, November 13, 2014)]
[Notices]
[Pages 67430-67431]
[FR Doc No: 2014-26757]

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

DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

Combined Notice of Filings #1

    Take notice that the Commission received the following exempt
wholesale generator filings:
    Docket Numbers: EG15-11-000.
    Applicants: Duke Energy Beckjord Storage, LLC.
    Description: Notice of Self-Certification as an Exempt Wholesale
Generator of Duke Energy Beckjord Storage, LLC.
    Filed Date: 11/3/14.
    Accession Number: 20141103-5157.
    Comments Due: 5 p.m. ET 11/24/14.

    Take notice that the Commission received the following electric
rate filings:
    Docket Numbers: ER10-2983-004; ER10-2980-004; ER10-1777-005.
    Applicants: Sundevil Power Holdings, LLC, Castleton Energy
Services, LLC, Castleton Power, LLC.
    Description: Second Supplement to July 1, 2013 Updated Market Power
Analysis for the Southwest Region of the Wayzata Entities, et. al.
    Filed Date: 10/31/14.
    Accession Number: 20141031-5063.
    Comments Due: 5 p.m. ET 11/21/14.

    Docket Numbers: ER11-3391-003; ER11-4589-001; ER11-4591-001; ER10-
2400-004; ER11-4592-001; ER11-4593-001.
    Applicants: Dempsey Ridge Wind Farm, LLC, EcoGrove Wind LLC, Red
Hills Wind Project, L.L.C., Blue Canyon Windpower LLC, Tatanka Wind
Power, LLC, Nevada Solar One, LLC.
    Description: Notice of Non-Material Change in Status of AENAC
Sellers.
    Filed Date: 11/3/14.
    Accession Number: 20141103-5192.
    Comments Due: 5 p.m. ET 11/24/14.

    Docket Numbers: ER13-80-004.
    Applicants: Tampa Electric Company.
    Description: Compliance filing per 35: OATT Order No. 1000
Compliance Filing 2014 to be effective 1/1/2015.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5078.
    Comments Due: 5 p.m. ET 11/25/14.

    Docket Numbers: ER13-86-004.
    Applicants: Duke Energy Florida, Inc., Duke Energy Carolinas, LLC.
    Description: Compliance filing per 35: Order 1000 FRCC November
2014 Compliance Filing to be effective 1/1/2015.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5051.
    Comments Due: 5 p.m. ET 11/25/14.

    Docket Numbers: ER15-230-000.
    Applicants: GP Renewables & Trading, LLC.
    Description: Supplement to October 29, 2014 GP Renewables &
Trading, LLC tariff filing.
    Filed Date: 11/3/14.
    Accession Number: 20141103-5188.
    Comments Due: 5 p.m. ET 11/19/14

    Docket Numbers: ER15-316-000.
    Applicants: Green Current Solutions, LLC.
    Description: Tariff Withdrawal per 35.15: Green Current Solutions
Cancellation to be effective 1/3/2015.
    Filed Date: 11/3/14.
    Accession Number: 20141103-5169.
    Comments Due: 5 p.m. ET 11/24/14.

    Docket Numbers: ER15-317-000.
    Applicants: Utility Bid USA, LLC.
    Description: Tariff Withdrawal per 35.15: Utility Bid USA, LLC
Cancellation of Tariff to be effective 1/3/2015.
    Filed Date: 11/3/14.
    Accession Number: 20141103-5170.
    Comments Due: 5 p.m. ET 11/24/14.

    Docket Numbers: ER15-318-000.
    Applicants: Platinum Energy, LLC.
    Description: Tariff Withdrawal per 35.15: Platinum Energy, LLC
Tariff Cancellation to be effective 1/3/2015.
    Filed Date: 11/3/14.
    Accession Number: 20141103-5171.
    Comments Due: 5 p.m. ET 11/24/14.

    Docket Numbers: ER15-319-000.
    Applicants: Avista Corporation.
    Description: Initial rate filing per 35.12 Avista Corp Service
Agreement No. 545 to be effective 1/1/2015.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5002.
    Comments Due: 5 p.m. ET 11/25/14.

    Docket Numbers: ER15-320-000.
    Applicants: PJM Interconnection, L.L.C.
    Description: Sec.  205(d) rate filing per 35.13(a)(2)(iii):
Ministerial Clean-Up Filing--Att K-Appx and OA Sched 1 as a result of
ER14-623 to be effective 11/4/2014.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5071.
    Comments Due: 5 p.m. ET 11/25/14.

    Docket Numbers: ER15-321-000.
    Applicants: PJM Interconnection, L.L.C.
    Description: Sec.  205(d) rate filing per 35.13(a)(2)(iii):
Ministerial Clean-Up Filing to correct Attachment DD.2 to be effective
11/4/2014.
    Filed Date: 11/4/14
    Accession Number: 20141104-5072
    Comments Due: 5 p.m. ET 11/25/14

    Docket Numbers: ER15-322-000.
    Applicants: California Independent System Operator Corporation.
    Description: Sec.  205(d) rate filing per 35.13(a)(2)(iii): 2014-
11-04_CDWR_LGIAs to be effective 1/1/2015.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5102.
    Comments Due: 5 p.m. ET 11/25/14.

    Docket Numbers: ER15-324-000.
    Applicants: Public Service Company of Colorado.
    Description: Sec.  205(d) rate filing per 35.13(a)(2)(iii):
PacifiCorp Exchange Agreement to be effective 1/1/2015.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5119.
    Comments Due: 5 p.m. ET 11/25/14.

    Docket Numbers: ER15-325-000.
    Applicants: ISO New England Inc.
    Description: ISO New England Inc. submits Installed Capacity
Requirement, Hydro Quebec Interconnection Capability Credits and
Related Values for the 2018/2019 Capacity Commitment Period.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5129.
    Comments Due: 5 p.m. ET 11/25/14.

    Docket Numbers: ER15-326-000.
    Applicants: Public Service Company of Colorado.
    Description: Sec.  205(d) rate filing per 35.13(a)(2)(iii): Joint
Dispatch Agreement to be effective 1/1/2015.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5133.
    Comments Due: 5 p.m. ET 11/25/14.

    Docket Numbers: ER15-327-000.
    Applicants: PJM Interconnection, L.L.C.

    Description: Sec.  205(d) rate filing per 35.13(a)(2)(iii): Service
Agreement No. 3257; Queue No. W4-097 to be effective 10/28/2014.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5145.
    Comments Due: 5 p.m. ET 11/25/14.

    Docket Numbers: ER15-328-000.
    Applicants: ISO New England Inc.
    Description: ISO New England Inc. submits Informational Filing for
Qualification in the Forward Capacity Market.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5148.
    Comments Due: 5 p.m. ET 11/19/14.

    Docket Numbers: ER15-329-000.
    Applicants: Golden Spread Electric Cooperative, Inc.
    Description: Sec.  205(d) rate filing per 35.13(a)(2)(iii):
Greenbelt Amended SFA Filing to be effective 12/31/2014.
    Filed Date: 11/4/14.
    Accession Number: 20141104-5152.
    Comments Due: 5 p.m. ET 11/25/14.

    The filings are accessible in the Commission's eLibrary system by
clicking on the links or querying the docket number.
    Any person desiring to intervene or protest in any of the above
proceedings must file in accordance with Rules 211 and 214 of the
Commission's Regulations (18 CFR 385.211 and 385.214) on or before 5:00
p.m. Eastern time on the specified comment date. Protests may be
considered, but intervention is necessary to become a party to the
proceeding.
    eFiling is encouraged. More detailed information relating to filing
requirements, interventions, protests, service, and qualifying
facilities filings can be found at: http://www.ferc.gov/docs-filing/efiling/filing-req.pdf. For other information, call<PHONE_NUMBER>
(toll free). For TTY, call<PHONE_NUMBER>.

    Dated: November 04, 2014.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2014-26757 Filed 11-12-14; 8:45 am]
BILLING CODE 6717-01-P


[Federal Register Volume 85, Number 76 (Monday, April 20, 2020)]
[Rules and Regulations]
[Pages 21759-21762]
[FR Doc No: 2020-08201]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2019-0978; Product Identifier 2019-NM-163-AD; Amendment
39-19897; AD 2020-07-18]
RIN 2120-AA64

Airworthiness Directives; Airbus SAS Airplanes

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

ACTION: Final rule.

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

SUMMARY: The FAA is superseding Airworthiness Directive (AD) 2017-05-
12, which applied to certain Airbus SAS Model A318-112 airplanes; Model
A319-111, -112, -115, -132, and -133 airplanes; Model A320-214, -232,
and -233 airplanes; and Model A321-211, -212, -213, -231, and -232
airplanes. AD 2017-05-12 required a one-time eddy current conductivity
measurement of certain cabin, cargo compartment, and frame structural
parts to determine if aluminum alloy with inadequate heat treatment was
used, and replacement if necessary. This AD retains the requirements of
AD 2017-05-12, and for certain airplanes, requires additional work, as
specified in a European Union

Aviation Safety Agency (EASA) AD, which is incorporated by reference.
This AD was prompted by a determination that aluminum alloy with
inadequate heat treatment had been used for additional structural
parts. The FAA is issuing this AD to address the unsafe condition on
these products.

DATES: This AD is effective May 26, 2020.
    The Director of the Federal Register approved the incorporation by
reference of a certain publication listed in this AD as of May 26,
2020.

ADDRESSES: For the material incorporated by reference (IBR) in this AD,
contact the EASA, Konrad-Adenauer-Ufer 3, 50668 Cologne, Germany;
telephone +49 221 89990 1000; email<EMAIL_ADDRESS>internet
www.easa.europa.eu. You may find this IBR material on the EASA website
at https://ad.easa.europa.eu. You may view this IBR material 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 in the AD docket on the internet at
https://www.regulations.gov by searching for and locating Docket No.
FAA-2019-0978.

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-
0978; 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: Sanjay Ralhan, Aerospace Engineer,
International Section, Transport Standards Branch, FAA, 2200 South
216th St., Des Moines, WA 98198; telephone and fax<PHONE_NUMBER>; email
<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

Discussion

    The EASA, which is the Technical Agent for the Member States of the
European Union, has issued EASA AD 2019-0196, dated August 14, 2019
(``EASA AD 2019-0196'') (also referred to as the Mandatory Continuing
Airworthiness Information, or ``the MCAI''), to correct an unsafe
condition for certain Airbus SAS Model A318-112 airplanes; Model A319-
111, -112, -115, -132, and -133 airplanes; Model A320-214, -216, -232,
and -233 airplanes; and Model A321-211, -212, -213, -231, and -232
airplanes.
    The FAA issued a notice of proposed rulemaking (NPRM) to amend 14
CFR part 39 to supersede AD 2017-05-12, Amendment 39-18823 (82 FR
13382, March 13, 2017) (``AD 2017-05-12''), which applied to certain
Airbus SAS Model A318-112 airplanes; Model A319-111, -112, -115, -132,
and -133 airplanes; Model A320-214, -232, and -233 airplanes; and Model
A321-211, -212, -213, -231, and -232 airplanes. The NPRM published in
the Federal Register on December 16, 2019 (84 FR 68376). The NPRM was
prompted by a determination that aluminum alloy with inadequate heat
treatment had been used for additional structural parts. The NPRM
proposed to retain the requirements of AD 2017-05-12, and for certain
airplanes, would require additional work. The FAA is issuing this AD to
address structural parts made of aluminum alloy with inadequate heat
treatment, which could result in reduced structural integrity of the
airplane.

Comments

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

Request To Extend Compliance Time

    American Airlines (AAL) asked that the FAA extend the compliance
time for the additional work required by paragraph (2) of EASA AD 2019-
0196. AAL asked that the compliance time be changed from within 108
months to within 120 months (10 years) from the date of aircraft
manufacture due to the nature of the work, and in order for affected
airplanes to do the work at the next scheduled heavy maintenance check
opportunity.
    The FAA does not agree with the commenter's request to extend the
compliance time. AAL did not provide information showing that the
revised compliance time would provide an adequate level of safety. The
FAA has determined that the 108-month compliance time in EASA AD 2019-
0196 addresses the identified unsafe condition in a timely manner. In
developing an appropriate compliance time, EASA considered the degree
of urgency associated with addressing the subject unsafe condition, the
average utilization of the affected fleet, and the time necessary to
perform the additional work. The FAA has determined that the compliance
time specified in EASA AD 2019-0196 represents an appropriate interval
of time for affected airplanes to continue to operate without
compromising safety. However, under the provisions of paragraph (i)(1)
of this AD, the FAA will consider requests for approval of an extension
of the compliance time if sufficient data are submitted to substantiate
that the new compliance time would provide an acceptable level of
safety. The AD has not been changed in this regard.

Conclusion

    The FAA has reviewed the relevant data, considered the comment
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
NPRM for addressing the unsafe condition; and
     Do not add any additional burden upon the public than was
already proposed in the NPRM.

Related IBR Material Under 1 CFR Part 51

    EASA AD 2019-0196 describes procedures for a one-time eddy current
conductivity measurement of certain cabin, cargo compartment, and frame
structural parts to determine if aluminum alloy with inadequate heat
treatment was used, and replacement if necessary. EASA AD 2019-0196
also describes, for certain airplanes, additional work (a one-time eddy
current conductivity measurement of certain other structural parts, and
replacement if necessary). This material 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 63 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
----------------------------------------------------------------------------------------------------------------
Retained actions from AD 2017-05-  6 work-hours x $85               $0  $510...............  $32,130.
 12.                                per hour = $510.
New actions......................  Up to 7 work-hours               $0  Up to $595.........  Up to $37,485.
                                    x $85 per hour =
                                    Up to $595.
----------------------------------------------------------------------------------------------------------------

    The FAA has received no definitive data that enables the agency to
provide cost estimates for the on-condition actions specified in this
AD.
    According to the manufacturer, some or all of the costs of this AD
may be covered under warranty, thereby reducing the cost impact on
affected individuals. The FAA does not control warranty coverage for
affected individuals. As a result, the FAA has included all known costs
in the cost estimate.

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 removing Airworthiness Directive (AD)
2017-05-12, Amendment 39-18823 (82 FR 13382, March 13, 2017), and
adding the following new AD:

2020-07-18 Airbus SAS: Amendment 39-19897; Docket No. FAA-2019-0978;
Product Identifier 2019-NM-163-AD.

(a) Effective Date

    This AD is effective May 26, 2020.

(b) Affected ADs

    This AD replaces AD 2017-05-12, Amendment 39-18823 (82 FR 13382,
March 13, 2017) (``AD 2017-05-12'').

(c) Applicability

    This AD applies to the Airbus SAS airplanes identified in
paragraphs (c)(1) through (4) of this AD, certificated in any
category, as identified in European Union Aviation Safety Agency
(EASA) AD 2019-0196, dated August 14, 2019 (``EASA AD 2019-0196'').
    (1) Model A318-112 airplanes.
    (2) Model A319-111, -112, -115, -132, and -133 airplanes.
    (3) Model A320-214, -216, -232, and -233 airplanes.
    (4) Model A321-211, -212, -213, -231, and -232 airplanes.

(d) Subject

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

(e) Reason

    This AD was prompted by a determination that aluminum alloy with
inadequate heat treatment was used for certain structural parts,
including additional structural parts not addressed in AD 2017-05-
12. The FAA is issuing this AD to address structural parts made of
aluminum alloy with inadequate heat treatment, which could result in
reduced structural integrity of the airplane.

(f) Compliance

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

(g) Requirements

    Except as specified in paragraph (h) of this AD: Comply with all
required actions and compliance times specified in, and in
accordance with, EASA AD 2019-0196.

(h) Exceptions to EASA AD 2019-0196

    (1) Where EASA AD 2019-0196 refers to its effective date, this
AD requires using the effective date of this AD.
    (2) The ``Remarks'' section of EASA AD 2019-0196 does not apply
to this AD.

(i) Other FAA AD Provisions

    The following provisions also apply to this AD:
    (1) Alternative Methods of Compliance (AMOCs): The Manager,
International Section, Transport Standards 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 International Section, send it to the attention of
the person identified in paragraph (j) of this AD. Information may
be emailed to<EMAIL_ADDRESS>    (i) 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.
    (ii) AMOCs approved previously for AD 2017-05-12 are approved as
AMOCs for the corresponding provisions of EASA AD 2019-0196 that are
required by paragraph (g) of this AD.
    (2) Contacting the Manufacturer: For any requirement in this AD
to obtain instructions from a manufacturer, the instructions must be
accomplished using a method approved by the Manager, International
Section, Transport Standards Branch, FAA; or EASA; or Airbus SAS's
EASA Design Organization Approval (DOA). If approved by the DOA, the
approval must include the DOA-authorized signature.
    (3) Required for Compliance (RC): For any service information
referenced in EASA AD 2019-0196 that contains RC procedures and
tests: Except as required by paragraph (i)(2)

of this AD, RC procedures and tests must be done to comply with this
AD; any procedures or tests that are not identified as RC are
recommended. Those procedures and tests that are not identified 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 procedures and tests identified as
RC can be done and the airplane can be put back in an airworthy
condition. Any substitutions or changes to procedures or tests
identified as RC require approval of an AMOC.

(j) Related Information

    For more information about this AD, contact Sanjay Ralhan,
Aerospace Engineer, International Section, Transport Standards
Branch, FAA, 2200 South 216th St., Des Moines, WA 98198; telephone
and fax<PHONE_NUMBER>; email<EMAIL_ADDRESS>
(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 this AD specifies otherwise.
    (3) The following service information was approved for IBR on
May 26, 2020.
    (i) European Union Aviation Safety Agency (EASA) AD 2019-0196,
dated August 14, 2019.
    (ii) [Reserved]
    (4) For information about EASA AD 2019-0196, contact the EASA,
Konrad-Adenauer-Ufer 3, 50668 Cologne, Germany; telephone +49 221
89990 6017; email<EMAIL_ADDRESS>internet www.easa.europa.eu.
You may find this EASA AD on the EASA website at https://ad.easa.europa.eu.
    (5) You may view this material 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<PHONE_NUMBER>. This
material may be found in the AD docket on the internet at https://www.regulations.gov by searching for and locating Docket No. FAA-
2019-0978.
    (6) You may view this material 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 April 7, 2020.
Ross Landes,
Deputy Director for Regulatory Operations,Compliance & Airworthiness
Division, Aircraft Certification Service.
[FR Doc. 2020-08201 Filed 4-17-20; 8:45 am]
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