[Federal Register: February 19, 2010 (Volume 75, Number 33)]
[Proposed Rules]
[Page 7409-7411]
[DOCID:fr19fe10-18]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2010-0124; Directorate Identifier 2010-CE-002-AD]
RIN 2120-AA64

Airworthiness Directives; PIAGGIO AERO INDUSTRIES S.p.A Model
PIAGGIO P-180 Airplanes

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

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: We propose to adopt a new airworthiness directive (AD) for the
products listed above. This proposed AD results from mandatory
continuing airworthiness information (MCAI) originated by an aviation
authority of another country to identify and correct an unsafe
condition on an aviation product. The MCAI describes the unsafe
condition as: A failure of fuel pump sealing, due to possible incorrect
maintenance procedures and subsequent testing, caused a fuel leakage
into the main landing gear bay. Presence of fuel vapours in that zone
creates a risk of fire due to presence of potential ignition sources
such as electrical equipment and connectors. The proposed AD actions
that are intended to address the unsafe condition described in the
MCAI.

DATES: We must receive comments on this proposed AD by April 5, 2010.

ADDRESSES: You may send comments 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: U.S. Department of Transportation, Docket
Operations, M-30, West Building Ground Floor, Room W12-140, 1200 New
Jersey Avenue, SE., Washington, DC 20590, between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays.

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 proposed AD, the regulatory
evaluation, any comments received, and other information. The street
address for the Docket Office (telephone<PHONE_NUMBER>) is in the
ADDRESSES section. Comments will be available in the AD docket shortly
after receipt.

FOR FURTHER INFORMATION CONTACT: Sarjapur Nagarajan, Aerospace
Engineer, FAA, Small Airplane Directorate, 901 Locust, Room 301, Kansas
City, Missouri 64106; telephone:<PHONE_NUMBER>; fax:<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Comments Invited

    We invite you to send any written relevant data, views, or
arguments about this proposed AD. Send your comments to an address
listed under the ADDRESSES section. Include ``Docket No. FAA-2010-0124;
Directorate Identifier 2010-CE-002-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

    The European Aviation Safety Agency (EASA), which is the Technical
Agent for the Member States of the European Community, has issued EASA
AD No.: 2009-0228, dated October 26, 2009 (referred to after this as
``the MCAI''), to correct an unsafe condition for the specified
products. The MCAI states:

    A failure of fuel pump sealing, due to possible incorrect
maintenance procedures and subsequent testing, caused a fuel leakage
into the main landing gear bay. Presence of fuel vapours in that
zone creates a risk of fire due to presence of potential ignition
sources such as electrical equipment and connectors.
    As a consequence, this new Airworthiness Directive (AD) requires
a functional check of main and stand-by fuel pumps for absence of
leakage and an update of the Aircraft Maintenance Manual (AMM).

    You may obtain further information by examining the MCAI in the AD
docket.

Relevant Service Information

    PIAGGIO AERO INDUSTRIES S.p.A. has issued Service Bulletin
(Mandatory) N.: 80-0278, dated July 15, 2009. The actions described in
this service information are intended to correct the unsafe condition
identified in the MCAI.

FAA's Determination and Requirements of the Proposed AD

    This product has been approved by the aviation authority of another
country, and is approved for operation in the United States. Pursuant
to our bilateral agreement with this State of Design Authority, they
have notified us of the unsafe condition described in the MCAI and
service information referenced above. We are proposing this AD because
we evaluated all information and determined the unsafe condition exists
and is likely to exist or develop on other products of the same type
design.

Differences Between This Proposed AD and the MCAI or Service
Information

    We have reviewed the MCAI and related service information and, in
general, agree with their substance. But we might have found it
necessary to use different words from those in the MCAI to ensure the
AD is clear for U.S. operators and is enforceable. In making these
changes, we do not intend to differ substantively from the information
provided in the MCAI and related service information.
    We might also have proposed different actions in this AD from those
in the MCAI in order to follow FAA policies. Any such differences are
highlighted in a Note within the proposed AD.

Costs of Compliance

    We estimate that this proposed AD will affect 63 products of U.S.
registry.

We also estimate that it would take about 2 work-hours per product to
comply with the basic requirements of this proposed AD. The average
labor rate is $85 per work-hour. Required parts would cost about $10
per product.
    Based on these figures, we estimate the cost of the proposed AD on
U.S. operators to be $11,340, or $180 per product.
    In addition, we estimate that any necessary follow-on actions would
take about 40 work-hours and require parts costing $7,349 for a cost of
$10,749 per product. We have no way of determining the number of
products that may need these actions.

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); 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.
    We prepared a regulatory evaluation of the estimated costs to
comply with this proposed AD and placed it in the AD docket.

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

    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]

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

Piaggio Aero Industries S.p.A.: Docket No. FAA-2010-0124;
Directorate Identifier 2010-CE-002-AD.

Comments Due Date

    (a) We must receive comments by April 5, 2010.

Affected ADs

    (b) None.

Applicability

    (c) This AD applies to Model PIAGGIO P-180 airplanes, all serial
numbers up to and including serial number 1192, certificated in any
category.

Subject

    (d) Air Transport Association of America (ATA) Code 28: Fuel.

Reason

    (e) The mandatory continuing airworthiness information (MCAI)
states:

``A failure of fuel pump sealing, due to possible incorrect
maintenance procedures and subsequent testing, caused a fuel leakage
into the main landing gear bay. Presence of fuel vapours in that
zone creates a risk of fire due to presence of potential ignition
sources such as electrical equipment and connectors.
    As a consequence, this new Airworthiness Directive (AD) requires
a functional check of main and stand-by fuel pumps for absence of
leakage and an update of the Aircraft Maintenance Manual (AMM).''

Actions and Compliance

    (f) Unless already done, do the following actions:
    (1) For all airplanes equipped with any main or standby fuel
pump P/N 1C12-43 that has been replaced for any reason on or before
doing the action in paragraph (f)(3) of this AD, within 150 hours
time-in-service after the effective date of this AD do a functional
inspection of the main and standby fuel pumps for leakage following
steps 1 through 14 of the Accomplishment Instructions of PIAGGIO
AERO INDUSTRIES S.p.A. Service Bulletin (Mandatory) N.: 80-0278,
dated July 15, 2009.
    (2) If any leakage is found during the inspection required in
paragraph (f)(1) of this AD, before further flight, replace the fuel
pump with a serviceable unit following the Accomplishment
Instructions in PIAGGIO AERO INDUSTRIES S.p.A Service Bulletin
(Mandatory) N.: 80-0278, dated July 15, 2009. For the purpose of
this AD, a serviceable fuel pump is a pump where no leakage is found
during the functional inspection as instructed in the Accomplishment
Instructions of PIAGGIO AERO INDUSTRIES S.p.A Service Bulletin
(Mandatory) N.: 80-0278, dated July 15, 2009.
    (3) For all airplanes, within 30 days after the effective date
of this AD, incorporate PIAGGIO P.180 AVANTI MAINTENANCE MANUAL
Temporary Revision (TR) No. 33 and 34, dated July 7, 2009, or
PIAGGIO P.180 AVANTI II MAINTENANCE MANUAL TR No. 31 and 41, dated
July 7, 2009, in the approved operator's airplane maintenance
program, e.g. aircraft maintenance manual (AMM).

FAA AD Differences

    Note:  This AD differs from the MCAI and/or service information
as follows: No differences.

Other FAA AD Provisions

    (g) The following provisions also apply to this AD:
    (1) Alternative Methods of Compliance (AMOCs): The Manager,
Standards Office, FAA, has the authority to approve AMOCs for this
AD, if requested using the procedures found in 14 CFR 39.19. Send
information to ATTN: Sarjapur Nagarajan, Aerospace Engineer, FAA,
Small Airplane Directorate, 901 Locust, Room 301, Kansas City,
Missouri 64106; telephone:<PHONE_NUMBER>; fax:<PHONE_NUMBER>.
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.
    (2) Airworthy Product: For any requirement in this AD to obtain
corrective actions from a manufacturer or other source, use these
actions if they are FAA-approved. Corrective actions are considered
FAA-approved if they are approved by the State of Design Authority
(or their delegated agent). You are required to assure the product
is airworthy before it is returned to service.
    (3) Reporting Requirements: For any reporting requirement in
this AD, under the provisions of the Paperwork Reduction Act (44
U.S.C. 3501 et seq.), the Office of Management and Budget (OMB) has
approved the information collection requirements and has assigned
OMB Control Number 2120-0056.

Related Information

    (h) Refer to MCAI EASA AD No.: 2009-0228, dated October 26,
2009; and PIAGGIO AERO INDUSTRIES S.p.A. Service Bulletin
(Mandatory) N.: 80-0278, dated July 15, 2009, for related
information.

    Issued in Kansas City, Missouri, on February 8, 2010.
Steven W. Thompson,
Acting Manager, Small Airplane Directorate, Aircraft Certification
Service.
[FR Doc. 2010-3290 Filed 2-18-10; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register: April 13, 2009 (Volume 74, Number 69)]
[Notices]
[Page 16903-16905]
[DOCID:fr13ap09-128]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-59706; File No. SR-NASDAQ-2009-029]

Self-Regulatory Organizations; The NASDAQ Stock Market LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Modify Fees for Members Using the NASDAQ Market Center

April 6, 2009.
    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 March 25, 2009, The NASDAQ Stock Market LLC (``NASDAQ'') filed with
the Securities and Exchange Commission (``Commission'') the proposed
rule change as described in Items I, II, and III below, which Items
have been prepared by NASDAQ. Pursuant to Section 19(b)(3)(A)(ii) of
the Act \3\ and Rule 19b-4(f)(2) thereunder,\4\ NASDAQ has designated
this proposal as establishing or changing a due, fee, or other charge,
which renders the proposed rule change effective upon filing.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \4\ 17 CFR 240.19b-4(f)(2).
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    The Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.

I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    NASDAQ proposes to modify pricing for NASDAQ members using the
Nasdaq Market Center. NASDAQ will implement this rule change on April
1, 2009. The text of the proposed rule change is available at http://
nasdaqomx.cchwallstreet.com/, at NASDAQ's principal office, 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, NASDAQ 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. NASDAQ 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
    NASDAQ is proposing to modify its pricing for order execution and
routing. As detailed below, the effect of the fee changes varies with
respect to the listing venue of the securities being traded and whether
a member is accessing or providing liquidity or routing an order.

Execution of Orders for Securities Listed on NASDAQ or the New York
Stock Exchange (``NYSE''); Routing of Orders for Securities Listed on
NASDAQ or NYSE to Venues Other Than NYSE; Routing of Orders for
Exchange-Traded Funds (``ETFs'') to NYSE

    NASDAQ is reducing fees to access liquidity in securities listed on
NASDAQ and NYSE by reducing the levels of market activity at which
members qualify for reduced pricing and by reducing the fees charged to
these qualifying members. Specifically, NASDAQ is introducing a new
pricing tier for members with an average daily volume through the
Nasdaq Market Center in all securities of (i) more than 50 million
shares of liquidity provided, and (ii) more than 60 million shares of
liquidity accessed and/or routed.\5\ Members qualifying for this tier
will pay $0.0026 per share executed when accessing liquidity (or 0.1%
of the total transaction cost in the case of executions of securities
priced at less than $1 per share). A second pricing tier will apply to
members with an average daily volume through the Nasdaq Market Center
in all securities of (i) more than 25 million shares of liquidity
provided, and (ii) more than 40 million shares of liquidity accessed
and/or routed. Members qualifying for this tier will pay $0.0028 per
share executed when accessing liquidity (or 0.1% of the total
transaction cost in the case of executions at less than $1 per share).
By contrast, under the current pricing schedule, a member must have an
average daily volume of (i) more than 35 million shares of liquidity
provided and (ii) more than 55 million shares of liquidity accessed
and/or routed in order to qualify for a fee to access liquidity of
$0.0029. Thus, under the change, favorable pricing becomes available at
lower levels of liquidity provision (25 million shares versus 35
million shares) and routing and/or accessing (40 million shares versus
55 million shares), and the reduced fees are themselves lower ($0.0026
or $0.0028 per share executed, versus $0.0029 per share executed).
However, in order to simplify its schedule, NASDAQ is eliminating a
reduced fee of $0.00295 per share executed for members that access a
daily average of more than 55 million shares of liquidity during a
month but that do not otherwise qualify for a lower rate. As is
currently the case, members not qualifying for a reduced pricing tier
will pay $0.0030 per share executed to access liquidity (or 0.1% of the
total transaction cost in the case of executions at less than $1 per
share).
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    \5\ As is currently the case with respect to reduced pricing
tiers, orders that do not attempt to execute in the Nasdaq Market
Center for the full size of the order prior to routing are not
counted in determining shares of liquidity routed.
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    NASDAQ is also instituting changes with respect to fees for routing
orders that attempt to execute in the Nasdaq Market Center for the full
size of the order before routing. These routing changes apply to orders
in NASDAQ-listed securities, orders in NYSE-listed securities routed to
venues other than NYSE, and routing of orders for ETFs to NYSE. With
respect to such activity, NASDAQ is eliminating volume-based tiers,
with fees that currently range from $0.0029 to $0.003, and instituting
a lower fee of $0.0026 available to all members.\6\ Fees for routing
orders that do not check the Nasdaq Market Center for the full size of
the order before routing remain unchanged, except with respect to
orders in securities that are priced at $1 or more per share and listed
on NASDAQ or NYSE, where the order is directed to NASDAQ OMX BX
(``BX''). For securities listed on NASDAQ or NYSE, BX is replacing its
fee to access liquidity with a credit of $0.0006.\7\ Because that
credit is designed to encourage direct use of BX by its members, NASDAQ
will not be passing on the credit to NASDAQ members that use its
routing facility to access BX. Nevertheless, NASDAQ believes that the
change in BX pricing warrants eliminating the fee for routing orders to
BX in circumstances where NASDAQ members choose to direct orders to BX.
Similarly, NASDAQ is

eliminating the fee to route orders to BX if the orders check the
Nasdaq Market Center book for the full size of the order prior to
routing but are designated by the market participant as not eligible
for posting to the Nasdaq Market Center book after routing. This would
occur in circumstances where a market participant wishes to route an
order to NYSE or NYSEAlternext for posting but specifies that the order
should check the Nasdaq Market Center and BX books before being routed
to the destination market.
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    \6\ The fee remains 0.3% of the total transaction cost in the
case of securities priced at less than $1 per share.
    \7\ SR-BX-2009-018 (March 25, 2009).
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    To offset the reduction in fees to access and route liquidity,
NASDAQ is decreasing the overall credits it pays to liquidity
providers. Currently, members qualify for the most favorable credit
tier if they provide an average daily volume during the month of more
than 35 million shares of liquidity: members in this tier receive
$0.0015 per share of liquidity provided in the case of non-displayed
quotes/orders, and $0.0028 per share of liquidity provided in the case
of displayed quotes/orders.\8\ Under the revised fees, a member must
provide more than 50 million shares of liquidity to qualify for the
most favorable pricing tier, and the credit for displayed liquidity
will be reduced to $0.0025 per share, with the credit for non-displayed
liquidity remaining at $0.0015 per share. The next most favorable tier
currently requires providing more than 20 million shares of liquidity:
the credit for non-displayed liquidity is $0.001 per share, and the
credit for displayed liquidity is $0.0025. Under the revised pricing
schedule, a member must provide a daily average of more than 25 million
shares of liquidity, and the credit for displayed liquidity will be
reduced to $0.0022 per share, with the credit for non-displayed
liquidity remaining $0.001 per share. Members not qualifying for these
pricing tiers will continue to receive $0.001 per share for non-
displayed liquidity and $0.002 per share for displayed liquidity.
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    \8\ All credits described relate to executions of securities
priced at $1 or more per share. Both before and after implementation
of the proposed rule change, the credit with respect to executions
of securities priced at less than $1 per share is $0.
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    Finally, NASDAQ is deleting obsolete fee language regarding a
surcharge for orders routed to the American Stock Exchange and charged
a fee by the specialist. Specialists at NYSEAlternext (formerly the
American Stock Exchange) no longer charge this fee.

Execution and Routing of Orders for Securities Listed on Exchanges
Other Than NASDAQ or NYSE

    With respect to securities listed on exchanges other than NASDAQ or
NYSE, NASDAQ is modifying the levels of activity required to qualify
for favorable pricing tiers, but is not modifying the level of charges
and credits associated with tiers. Thus, in order to qualify for the
most favorable fee to access and route liquidity, a member must (i)
provide more than 50 million shares of liquidity (currently 35 million)
and (ii) access or route more than 60 million shares of liquidity
(currently 55 million). Members qualifying for this tier currently pay
$0.0029 per share executed to access liquidity or to route after
attempting to execute for the full size of the order, and this fee will
remain unchanged.\9\ As is the case with executions of NASDAQ- and
NYSE-listed securities, NASDAQ is eliminating a reduced fee of $0.00295
per share executed for members that access a daily average of more than
55 million shares of liquidity during a month. Members not qualifying
for a reduced pricing tier will continue to pay $0.0030 per share
executed to access liquidity and to route after checking the Nasdaq
Market Center book for the full size of the order.
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    \9\ For securities priced under $1, the fee to access liquidity
remains 0.1% of the total transaction cost, and the fee to route
remains 0.3% of the total transaction cost.
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    The level of credits for providing liquidity to support executions
of securities listed on exchanges other than NASDAQ and NYSE will
remain unchanged, but the volume levels required to qualify for
favorable credits will increase. Thus, in order to qualify for the most
favorable credit, a member must provide an average daily volume of more
than 50 million shares of liquidity (currently 35 million): the most
favorable credit will remain $0.0015 for non-displayed liquidity and
$0.0028 for displayed liquidity. To qualify for the next most favorable
credit, a member must provide a daily average volume of more than 25
million shares of liquidity (currently 20 million): members is this
tier receive $0.001 per share for non-displayed liquidity and $0.0025
per share for displayed liquidity. Other members will continue to
receive $0.001 per share for non-displayed liquidity and $0.002 per
share for displayed liquidity.\10\
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    \10\ In all cases, no credit is paid with respect to securities
priced at less than $1 per share.
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    Because BX is maintaining a fee of $0.0014 per share executed for
orders that access liquidity in securities listed on exchanges other
than NASDAQ and NYSE,\11\ NASDAQ is maintaining its current fee of
$0.0016 per share executed for directed orders routed to BX. NASDAQ is,
however, lowering the fee to route orders for such securities to BX if
the orders check the Nasdaq Market Center book for the full size of the
order prior to routing but are not designated as eligible for posting
to the Nasdaq Market Center book after routing. The new fee for such
orders will be $0.0016 per share, rather than the current fee of
$0.0029 or $0.0030.
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    \11\ SR-BX-2009-018 (March 25, 2009).
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    Finally, NASDAQ is deleting obsolete fee language regarding a
surcharge for orders routed to the American Stock Exchange and charged
a fee by the specialist. Specialists at NYSEAlternext (formerly the
American Stock Exchange) no longer charge this fee.

Fees for Routing of Securities Other Than Exchange-Traded Funds to NYSE

    With respect to fees for routing orders for securities other than
ETFs to NYSE, NASDAQ is modifying the volume level required to qualify
for a reduced routing fee. Currently, members with an average daily
volume of more than 35 million shares of liquidity provided pay a fee
of $0.0019 per share when routing an order to NYSE that does not
attempt to execute in the Nasdaq Market Center prior to routing and
that is not designated as an Intermarket Sweep Order.\12\ Members with
a lower volume of liquidity provision pay $0.0020 per share when
routing such orders. The volume of liquidity provision required to
receive the reduced routing rate is being raised to an average daily
volume of 50 million shares of liquidity provided.
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    \12\ The fee is $0.0020 for Intermarket Sweep Orders and for
orders that attempt to execute solely against displayed interest
prior to routing. Orders that attempt to execute for the full size
of the order prior to routing pay $0.0018 per share if they access
liquidity at NYSE or receive a credit for $0.0010 per share if they
add liquidity at NYSE.
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    For orders that execute at NYSE as an odd lot (including the odd
lot portion of a partial round lot orders), NASDAQ will charge a fee of
$0.0005 (rather than $0.001) to reflect a recent fee change by
NYSE.\13\ In addition, in March 2009, NASDAQ instituted a per order fee
for round lot or mixed lot orders that are designated only to remove
liquidity from the NASDAQ book prior to routing to NYSE (``DOTI
Orders''). The fee, which is designed to discourage inefficient use of
DOTI Orders that do not result in executions, applies if a member sends
an average of more than 10,000 DOTI Orders per day during the month and
its ratio of DOTI Orders to executions exceeds 300 to 1. NASDAQ is
modifying this fee to exclude from the calculation of a member's DOTI
Orders during the month the day with the

single highest ratio of DOTI Orders to executions. Because the purpose
of the new fee is to discourage persistently inefficient use of DOTI
Orders, the change will exclude from the calculation an ``outlier'' day
that may occur due to unusual conditions on a particular day. This will
help to guard against the possibility that a member that is a high
volume user of DOTI Orders may be assessed the per order charge merely
due to one day on which its volume of DOTI Orders is disproportionate
to executions.
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    \13\ Securities Exchange Act Release No. 59483 (March 2, 2009),
74 FR 10328 (March 10, 2009) (SR-NYSE-2009-22).
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    Recent widespread reductions in the quoted prices of cash equities
have increased the relative costs of accessing liquidity by making bid-
ask spreads account for a greater percentage of that cost. Accordingly,
NASDAQ believes that its members have become more focused than ever on
paying the lowest possible cost when accessing liquidity. The proposed
changes to fees for execution and routing of orders for securities
listed on NASDAQ or NYSE are designed to respond to this trend by
significantly reducing the cost to access liquidity (and to route, when
liquidity must be sought on other venues). To ensure that the changes
do not unduly impact NASDAQ's revenues, they are being partially offset
by increasing the volume levels required to qualify for favorable
liquidity provider credits, favorable fees to access liquidity in
securities listed on venues other than NASDAQ or NYSE, and favorable
fees for routing certain types of orders to NYSE.
2. Statutory Basis
    NASDAQ believes that the proposed rule change is consistent with
the provisions of Section 6 of the Act,\14\ in general, and with
Section 6(b)(4) of the Act,\15\ in particular, in that it provides for
the equitable allocation of reasonable dues, fees and other charges
among members and issuers and other persons using any facility or
system which NASDAQ operates or controls. The proposed fee change
applies uniformly to all NASDAQ members. The impact of the changes upon
the net fees paid by a particular market participant will depend upon a
number of variables, including its monthly volume, the order types it
uses, the prices of its quotes and orders (i.e., its propensity to add
or remove liquidity), and the listing venue for the securities that it
trades. NASDAQ notes that it operates in a highly competitive market in
which market participants can readily direct order flow to competing
venues if they deem fee levels at a particular venue to be excessive.
The proposed rule change reflects a significant reduction in the fees
charged by NASDAQ to route orders and access liquidity with respect to
securities listed on NASDAQ or NYSE. Although this reduction is
partially offset by (i) reductions in the overall level of credits paid
to liquidity providers, (ii) increases in the overall fees charged to
route or access liquidity with respect to securities not listed on
NASDAQ or NYSE and (iii) increases in the overall fees charged to route
certain orders to NYSE, Nasdaq believes that the applicable fees and
credits remain competitive with those charged by other venues and
therefore continue to be reasonable and equitably allocated to those
members that opt to direct orders to NASDAQ rather than competing
venues.
---------------------------------------------------------------------------

    \14\ 15 U.S.C. 78f.
    \15\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

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

    NASDAQ does not believe that the proposed rule change will result
in any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act, as amended.

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

    Written comments were neither solicited nor received.

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

    The foregoing rule change has become effective pursuant to Section
19(b)(3)(A)(ii) of the Act \16\ and subparagraph (f)(2) of Rule 19b-4
thereunder.\17\ At any time within 60 days of the filing of the
proposed rule change, the Commission may summarily abrogate such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act.
---------------------------------------------------------------------------

    \16\ 15 U.S.C. 78s(b)(3)(a)(ii) [sic].
    \17\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

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-NASDAQ-2009-029 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-NASDAQ-2009-029. 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 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 will also be available for
inspection and copying at the principal office of the self-regulatory
organization. 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-2009-029 and should be submitted on or before May 4, 2009.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\18\
---------------------------------------------------------------------------

    \18\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-8325 Filed 4-10-09; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register Volume 83, Number 101 (Thursday, May 24, 2018)]
[Notices]
[Page 24100]
[FR Doc No: 2018-11150]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. EL18-91-000]

Notice of Filing: DATC Path 15, LLC

    Take notice that on May 10, 2018, DATC Path 15, LLC submitted a
response to the March 15, 2018 Show Cause Order.\1\
---------------------------------------------------------------------------

    \1\ Alcoa Power Generation, Inc.--Long Sault Division, et al.,
162 FERC ] 61,224 (2018) (Show Cause Order).
---------------------------------------------------------------------------

    Any person desiring to intervene or to protest this filing must
file in accordance with Rules 211 and 214 of the Commission's Rules of
Practice and Procedure (18 CFR 385.211, 385.214). Protests will be
considered by the Commission in determining the appropriate action to
be taken, but will not serve to make protestants parties to the
proceeding. Any person wishing to become a party must file a notice of
intervention or motion to intervene, as appropriate. Such notices,
motions, or protests must be filed on or before the comment date.
Anyone filing a motion to intervene or protest must serve a copy of
that document on the Applicant.
    The Commission encourages electronic submission of protests and
interventions in lieu of paper using the ``eFiling'' link at http://www.ferc.gov. Persons unable to file electronically should submit an
original and 5 copies of the protest or intervention to the Federal
Energy Regulatory Commission, 888 First Street NE, Washington, DC
20426.
    This filing is accessible on-line at http://www.ferc.gov, using the
``eLibrary'' link and is available for review in the Commission's
Public Reference Room in Washington, DC. There is an ``eSubscription''
link on the website that enables subscribers to receive email
notification when a document is added to a subscribed docket(s). For
assistance with any FERC Online service, please email
[email protected], or call<PHONE_NUMBER> (toll free). For
TTY, call<PHONE_NUMBER>.
    Comment Date: 5:00 p.m. Eastern time on May 31, 2018.

    Dated: May 18, 2018.
Kimberly D. Bose,
Secretary.
[FR Doc. 2018-11150 Filed 5-23-18; 8:45 am]
 BILLING CODE 6717-01-P


[Federal Register Volume 78, Number 247 (Tuesday, December 24, 2013)]
[Proposed Rules]
[Pages 78067-78069]
[FR Doc No: 2013-30372]

Vol. 78

Tuesday,

No. 247

December 24, 2013

Part V

Department of Health and Human Services

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

Food and Drug Administration

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

21 CFR Parts 16 and 121

 Focused Mitigation Strategies To Protect Food Against Intentional
Adulteration; Public Meeting on Proposed Rule; Proposed Rule

Federal Register / Vol. 78 , No. 247 / Tuesday, December 24, 2013 /
Proposed Rules

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

DEPARTMENT OF HEALTH AND HUMAN SERVICES

Food and Drug Administration

21 CFR Parts 16 and 121

[Docket No. FDA-2013-N-1425]

Focused Mitigation Strategies To Protect Food Against Intentional
Adulteration; Public Meeting on Proposed Rule

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 the proposed rule to require domestic and
foreign food facilities that are required to register under the Federal
Food, Drug, and Cosmetic Act (the FD&C Act) to address hazards that may
be intentionally introduced by acts of terrorism. FDA is proposing
these requirements as part of our implementation of the FDA Food Safety
Modernization Act (FSMA). The purpose of the public meeting is to
inform the public of the provisions of the proposed rule and the
rulemaking process (including how to submit comments, data, and other
information to the rulemaking docket) as well as solicit oral
stakeholder and public comments on the proposed rule and to respond to
questions about the rule.

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

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

FOR FURTHER INFORMATION CONTACT:
    For questions about registering for the meeting, to register by
phone, or to submit a notice of participation by mail, FAX, or email,
contact: Nick Cane, Nakamoto Group, Inc., 11820 Parklawn Dr., suite
240, Rockville, MD 20852,<PHONE_NUMBER>, FAX:<PHONE_NUMBER>, email:
<EMAIL_ADDRESS>    For general questions about the meeting, to request an opportunity
to make an oral presentation at the public meeting, to submit the full
text, comprehensive outline, or summary of an oral presentation, or for
special accommodations due to a disability, contact: Juanita Yates,
Center for Food Safety and Applied Nutrition (HFS-009), Food and Drug
Administration, 5100 Paint Branch Pkwy., College Park, MD 20740, 240-
402-1731, email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

I. Background

    FSMA (Pub. L. 111-353) was signed into law by President Obama on
January 4, 2011, to better protect public health by helping to ensure
the safety and security of the food supply. FSMA amends the FD&C Act to
establish the foundation of a modernized, prevention-based food safety
system. Among other things, FSMA requires FDA to issue regulations
requiring domestic and foreign food facilities that are required to
register under the FD&C Act to address hazards that may be
intentionally introduced by acts of terrorism. These food facilities
would be required to identify and implement focused mitigation
strategies to significantly minimize or prevent significant
vulnerabilities identified at actionable process steps in a food
operation. We expect the rulemaking would help to protect food from
intentional adulteration caused by acts of terrorism.
    Along with this public meeting, FDA is considering additional
public meetings on this subject or other public engagement
opportunities. Any further public meetings on this subject would be
announced at a later time in the Federal Register.

II. How To Participate in the Public Meeting

    FDA is holding the public meeting on ``Focused Mitigation
Strategies to Protect Food Against Intentional Adulteration'' to: (1)
Inform the public about the rulemaking process, including how to submit
comments, data, and other information to the rulemaking docket; (2)
respond to questions about the proposed rules; and (3) provide an
opportunity for interested persons to make oral presentations. Due to
limited space and time, FDA encourages all persons who wish to attend
the meeting to register in advance. 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.
Onsite registration will be accepted, as space permits, after all
preregistered attendees are seated.
    Those requesting an opportunity to make an oral presentation during
the time allotted for public comment at the meeting are asked to submit
a request and to provide the specific topic or issue to be addressed.
Due to the anticipated high level of interest in presenting public
comment and limited time available, FDA is allocating 3 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 public
meeting. If time permits, individuals or organizations that did not
register in advance may be granted the opportunity to make an oral
presentation. FDA would like to maximize the number of individuals who
make a presentation at the public meeting and will do our best to
accommodate all persons who wish to make a presentation or express
their opinions at the public meeting.
    FDA encourages persons and groups who have similar interests to
consolidate their information for presentation by a single
representative. After reviewing the presentation requests, FDA will
notify each participant before the meeting of the approximate time
their presentation is scheduled to begin, and remind them of the
presentation format (i.e., 3-minute oral presentation without visual
media).
    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 the Rulemaking Dockets
----------------------------------------------------------------------------------------------------------------
                                         Date         Electronic address        Address        Other information
----------------------------------------------------------------------------------------------------------------
College Park, MD public meeting.  February 20, 2014,  https://            Wiley Auditorium,
                                   8:30 a.m. to 3      collaboration.fda   Harvey W. Wiley
                                   p.m.                .gov/r38z65kh91j/.  Federal Bldg.,
                                                                           5100 Paint Branch
                                                                           Pkwy., College
                                                                           Park, MD 20740.

Deadline for registration.......  February 7, 2014..  http://www.fda.gov/ We encourage you    There is no
                                                       Food/               to use electronic   registration fee
                                                       GuidanceRegulatio   registration if     for the public
                                                       n/FSMA/             possible \1\.       meeting. Early
                                                       ucm377956.htm.                          registration is
                                                      Docket No. FDA-                          recommended
                                                       2013-N-1425.                            because seating
                                                                                is limited.
Request to make a public comment  January 17, 2014..  http://www.fda.gov/                     Requests made on
                                                       Food/NewsEvents/                        the day of the
                                                       WorkshopsMeetings                       public meeting to
                                                       Conferences/                            make an oral
                                                       default.htm \2\.                        presentation will
                                                                                be granted 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
                                                                                provided.
Request special accommodations    January 17, 2014..  Juanita Yates,      See FOR FURTHER
 due to a disability.                                  email:              INFORMATION
                                                       Juanita.yates@fda   CONTACT.
                                                       .hhs.gov.
Closing date for electronic or    March 31, 2014....  Docket No. FDA-
 written comments.                                     2013-N-1425.
----------------------------------------------------------------------------------------------------------------
\1\ For questions about registering for the public meeting, to register by phone, or to submit a notice of
  participation by mail, FAX or email, contact: Nick Cane, Nakamoto Group, Inc., 11820 Parklawn Dr., suite 240,
  Rockville, MD 20852,<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 as well as the full text, comprehensive outline, or
  summary of your oral presentation and send to: Juanita Yates, Center for Food Safety and Applied Nutrition,
  Food and Drug Administration, 5100 Paint Branch Pkwy, College Park, MD 20740,<PHONE_NUMBER>, email:
<EMAIL_ADDRESS>
    While oral presentations from specific individuals and
organizations will be necessarily limited due to time constraints
during the public meeting, stakeholders may submit electronic or
written comments discussing any issues of concern to the administrative
record (the docket) for the rulemaking. All relevant data and
documentation should be submitted with the comments to the relevant
docket, i.e., Docket No. FDA-2013-N-1425.

III. Comments, Transcripts, and Recorded Video

    Information and data submitted voluntarily to FDA during the public
meeting will become part of the administrative record for the relevant
rulemaking and will be accessible to the public at http://www.regulations.gov. The transcript of the proceedings from the public
meeting will become part of the administrative record for each of the
rulemakings. Please be advised that as soon as a transcript is
available, it will be accessible at http://www.regulations.gov and at
FDA's FSMA Web site at: http://www.fda.gov/Food/GuidanceRegulation/FSMA/default.htm. It may also be viewed at the Division of Dockets
Management (HFA-305), Food and Drug Administration, 5630 Fishers Lane,
rm. 1061, Rockville, MD 20852. A transcript will also be available in
either hardcopy or on CD-ROM, after submission of a Freedom of
Information request. Written requests are to be sent to the Division of
Freedom of Information (ELEM-1029), 12420 Parklawn Dr., Element Bldg.,
Rockville, MD 20857. Additionally, FDA will be live webcasting and
recording the public meeting. Once the recorded video is available, it
will be accessible at FDA's FSMA Web site at http://www.fda.gov/Food/GuidanceRegulation/FSMA/default.htm.

    Dated: December 13, 2013.
Leslie Kux,
Assistant Commissioner for Policy.
[FR Doc. 2013-30372 Filed 12-18-13; 8:45 am]
BILLING CODE 4160-01-P


Posted: 10/24/2002

10:45am

	                   UNITED STATES OF AMERICA

            DEPARTMENT OF TRANSPORTATION

                    OFFICE OF THE SECRETARY

                             WASHINGTON, DC

                                              Served: October 29, 2002

           2002/2003 U.S.-HONG KONG SERVICE OPPORTUNITIES

NOTICE INVITING APPLICATIONS

By this Notice, we invite all U.S. carriers interested in making use of
new service opportunities in the U.S.-Hong Kong aviation market to file
applications as set forth below, no later than seven calendar days after
the service date of this Notice.

Background

On October 19, 2002, the United States and the Hong Kong Special
Administrative Region of the People’s Republic of China (Hong Kong),
signed a Memorandum of Understanding (MOU) authorizing new services in
the U.S.-Hong Kong market.  The agreement between the United States and
Hong Kong represents a significant expansion of opportunities for U.S.
carriers and the traveling and shipping public.

The agreement provides for 28 additional weekly flights for U.S.
combination services between Hong Kong and third countries, including
Japan.  With respect to all-cargo services, the new agreement provides
for an increase of 56 weekly all-cargo flights by U.S. carriers between
Hong Kong and third countries.  Additionally, the new agreement provides
for first-time code-sharing for U.S.-Hong Kong services.  Finally, the
new agreement provides that both U.S. and Hong Kong combination and
all-cargo carriers may fly between Hong Kong and any U.S. city.

In light of the fact that certain of these new route opportunities have
limitations, restrictions, and/or phase-in clauses, and in the interest
of convenience to interested parties, we have attached a copy of the
U.S. carrier combination and all-cargo route schedules and related notes
as set forth in Appendices 1 and 2 of the MOU.

Applications

In order to ensure that U.S. carriers are given the opportunity to use
these valuable new route rights, we invite interested carriers to file
exemption applications, designation requests, and frequency
applications, as well as, where applicable, third-country code-share
authorization applications and requests for statements of authorization.
 By this notice, we are soliciting applications and requests for all of
the new U.S. carrier rights set forth in the MOU that are
frequency-limited, with the exception of those all-cargo frequencies
that do not become available until the third year of the phase-in.  We
shall award these rights subsequently.

Except for the procedural dates, exemption/frequency applications should
conform to Part 302, Subpart C of our regulations (14 CFR Part 302).
All applications and other related requests should be filed with the
Department of Transportation (Room PL-401, 400 Seventh Street, SW,
Washington, DC  20590), and should include, at a minimum and as
applicable, the proposed startup date(s); routings from origin to
destination of all proposed flights; days scheduled; frequencies
requested per market, and the duration of service in each market, if not
provided on a year-round basis; route integration authority, if desired;
equipment types (including seating configuration—first, business, and
economy); and existing authority held to conduct the operations.  In
cases where the U.S. carrier proposes to conduct code-share operations
involving fifth-freedom traffic rights, applications should include, at
a minimum, the code-share partner(s) involved; which carrier(s) would be
operating the flights; and the country and specific intermediate
point(s) over which the services would be provided.  In addition, unless
previously filed and approved by the Department, the carriers must
provide as part of their applications, copies of any relevant
cooperative service arrangements.  Applicants are also free to submit
any additional information that they believe will help us in making our
decisions here.

In view of the immediate availability of the majority of the new rights,
we will request that these applications, etc., be filed no later than
seven calendar days from the service date of this Notice.  We intend to
award the available opportunities based on the applications filed in
response to this notice.  Should comparative selection among the
applicants be necessary, we will establish further proceedings to handle
the requests.

We will authorize service of documents by facsimile and by electronic
mail.  Carriers that are interested in such service, however, should
state if they want service by email and should provide interested
parties with their fax number and/or email address.

Therefore, acting under authority assigned in 14 CFR 385.3, we invite
the applications as described above to be filed no later than seven
calendar days from the service date of this Notice.

We will serve this Notice on all U.S. certificated carriers operating
large aircraft; the U.S. Department of State (Office of Aviation
Negotiations); and the Federal Aviation Administration.

By:

		                                                PAUL L. GRETCH

 		                                                Director

		                                                Office of
International Aviation

(SEAL)

Attachment

Dated: October 24, 2002

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

  HYPERLINK "http://dms.dot.gov//reports/reports_ aviation.asp"
http://dms.dot.gov//reports/reports_ aviation.asp

   These increases will be phased in over a two-year period.

   These increases will be phased in over a three-year period.

   Previously, U.S. and Hong Kong carriers were limited to service from
only six U.S. gateways in the continental United States.

   “Where applicable” refers to situations in which the U.S. carrier
is proposing to exercise fifth-freedom traffic rights on a code-share
operation.

   The original filing is to be unbound and without tabs on 8-1/2” X
11” white paper, using dark ink (not green) to facilitate use of the
Department’s docket imaging system.  In the alternative, filers are
encouraged to use the electronic submission capacity available through
the Dockets/DMS Internet site (  HYPERLINK https://dms.dot.gov
https://dms.dot.gov ) by following the instructions at the web site.

   It will not be necessary for applicants to file separate motions to
consolidate to assure that the Department considers mutually exclusive
applications contemporaneously; the Department will consolidate all
mutually exclusive applications filed in response to this Notice on its
own initiative for contemporaneous consideration.

 PAGE   4

 PAGE   2


[Federal Register Volume 78, Number 117 (Tuesday, June 18, 2013)]
[Notices]
[Pages 36616-36619]
[FR Doc No: 2013-14418]

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

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-69741; File No. SR-DTC-2013-03]

Self-Regulatory Organizations; The Depository Trust Company;
Order Approving Proposed Rule Change in Connection With the
Implementation of The Foreign Account Tax Compliance Act (FATCA)

June 12, 2013.
    On April 22, 2013, The Depository Trust Company (``DTC'') filed
with the Securities and Exchange Commission (``Commission'') the
proposed rule change SR-DTC-2013-03 pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4
thereunder.\2\ The proposed rule change was published for comment in
the Federal Register on May 8, 2013.\3\ The Commission did not receive
comments on the proposed rule change. This order approves the proposed
rule change.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Securities Exchange Act Release No. 69494 (May 2, 2013), 78
FR 26823 (May 8, 2013) (SR-DTC-2013-03).
---------------------------------------------------------------------------

I. Description

    DTC is amending various DTC rules ``in connection with the
implementation of sections 1471 through 1474 of the Internal Revenue
Code of 1986, as amended, which sections were enacted as part of the
Foreign Account Tax Compliance Act, and the Treasury Regulations or
other official interpretations thereunder (collectively ``FATCA'').''
\4\ In its filing with the Commission, DTC provided information
concerning FATCA background, implementation, and DTC's proposed rule
changes.
---------------------------------------------------------------------------

    \4\ Id. at 26823.
---------------------------------------------------------------------------

DTCC's Background Statement

    FATCA was enacted on March 18, 2010, as part of the Hiring
Incentives to Restore Employment Act, and became effective, subject to
transition rules, on

January 1, 2013. The U.S. Treasury Department finalized and issued
various implementing regulations (``FATCA Regulations'') on January 17,
2013. FATCA generally requires foreign financial institutions
(``FFIs'') \5\ to become ``participating FFIs'' by entering into
agreements with the Internal Revenue Service (``IRS''). Under these
agreements, FFIs are required to report to the IRS information on U.S.
persons and entities that have (directly or indirectly) accounts with
these FFIs. If an FFI does not enter into such an agreement with the
IRS, FATCA will impose a 30% withholding tax on U.S.-source interest,
dividends and other periodic amounts paid to such ``nonparticipating
FFI'' (``Income Withholding''), as well as on the payment of gross
proceeds arising from the sale, maturity, or redemption of securities
or any instrument yielding U.S.-source interest and dividends (``Gross
Proceeds Withholding,'' and, together with Income Withholding, ``FATCA
Withholding''). The 30% FATCA Withholding taxes will apply to payments
made to a nonparticipating FFI acting in any capacity, including
payments made to a nonparticipating FFI that is not the beneficial
owner of the amount paid and acting only as a custodian or other
intermediary with respect to such payment. To the extent that U.S.-
source interest, dividend, and other periodic amount or gross proceeds
payments are due to a nonparticipating FFI in any capacity, a U.S.
payor, such as DTC, transmitting such payments to the nonparticipating
FFI will be liable to the IRS for any amounts of FATCA Withholding that
the U.S. payor should, but does not, withhold and remit to the IRS with
respect to those payments.
---------------------------------------------------------------------------

    \5\ According to DTC, non-U.S. financial institutions are
referred to as ``foreign financial institutions'' or ``FFIs'' in the
FATCA Regulations.
---------------------------------------------------------------------------

    According to DTC, as an alternative to FFIs entering into
individual agreements with the IRS, the U.S. Treasury Department
provided another means of complying with FATCA for FFIs which are
resident in jurisdictions that enter into intergovernmental agreements
(``IGA'') with the United States.\6\ Generally, such a foreign
jurisdiction (``FATCA Partner'') would pass laws to eliminate the
conflicts of law issues that would otherwise make it difficult for FFIs
in its jurisdiction to collect the information required under FATCA and
transfer this information, directly or indirectly, to the United
States. An FFI resident in a FATCA Partner jurisdiction would either
transmit FATCA reporting to its local competent tax authority, which in
turn would transmit the information to the IRS, or the FFI would be
authorized/required by FATCA Partner law to enter into an FFI agreement
and transmit FATCA reporting directly to the IRS. Under both IGA
models, payments to such FFIs would not be subject to FATCA Withholding
taxes so long as the FFI complies with the FATCA Partner's laws
mandated in the IGA.
---------------------------------------------------------------------------

    \6\ DTC states that as of the date of this proposed rule change
filing, the United Kingdom, Mexico, Ireland, Switzerland, Spain,
Norway, Denmark, Italy and Germany have signed or initialed an IGA
with the United States. The U.S. Treasury Department has announced
that it is engaged in negotiations with more than 50 countries and
jurisdictions regarding entering into an IGA.
---------------------------------------------------------------------------

    According to DTC, under the FATCA Regulations, (A) beginning
January 1, 2014, DTC will be required to do Income Withholding on any
payments made to any nonparticipating FFI approved for membership by
DTC as of such date or thereafter, (B) beginning July 1, 2014, DTC will
be required to do Income Withholding on any payments made to any
nonparticipating FFI approved for membership by DTC prior to January 1,
2014 and (C) beginning January 1, 2017, DTC will be required to do
Gross Proceeds Withholding on all nonparticipating FFIs, regardless
when any such FFI's membership was approved.
    DTC stated that it already has established tax services that are
currently available to its Participants in which DTC, in accordance
with sections 1441 through 1446 of the Code, withholds on certain
payments of income made to certain of its Participants. Thus, DTC can
and intends to support certain FATCA Income Withholding as part of such
established tax services.

DTC's Statement on FATCA Implementation

    According to DTC, in preparation for FATCA's implementation, FFIs
are being asked to identify their expected FATCA status as a condition
of continuing to do business. Customary legal agreements in the
financial services industry already contain provisions allocating the
risk of any FATCA Withholding tax that will need to be collected, and
requiring that, upon FATCA's effectiveness, foreign counterparties must
certify (and periodically recertify) their FATCA status using the
relevant tax forms that the IRS has announced it will provide.\7\
Advance disclosure by an FFI client or counterparty would permit a
withholding agent to readily determine whether it must, under FATCA,
withhold on payments it makes to the FFI. If an FFI fails to provide
appropriate compliance documentation to a withholding agent, such FFI
would be presumed to be a nonparticipating FFI and the withholding
agent will be obligated to withhold on certain payments.
---------------------------------------------------------------------------

    \7\ For example, credit agreements now routinely require foreign
lenders to agree to provide certifications of their FATCA status
under approved IRS forms to U.S. borrowers, and subscription
agreements for alternative investment funds that are anticipated to
earn U.S.-source income are routinely requiring similar covenants.
---------------------------------------------------------------------------

    DTC states that FATCA will require DTC to deduct FATCA Withholding
on payments to certain of its Participants arising from certain
transactions processed by DTC on behalf of such Participants.\8\
Because FATCA treats any entity holding financial assets for the
account of others as a ``financial institution,'' and almost all
Participants hold financial assets for the account of others, new and
existing Participants which are treated as non-U.S. entities for
federal income tax purposes, including those members and limited
members that are U.S. branches of non-U.S. entities (collectively,
``FFI Participants'') \9\ will likely be FFIs under FATCA. DTC says
that as a result, it will be liable to the IRS for the amounts
associated with any failures to withhold correctly under FATCA on
payments made to its FFI Participants.
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    \8\ According to DTC, FFI participants resident in IGA
countries, that are compliant with the terms of applicable IGAs,
should not be subject to FATCA Withholding.
    \9\ Currently, only a small percentage of DTC's Participants are
treated as non-U.S. entities for federal income tax purposes.
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    In light of this, DTC has evaluated its existing systems and
services to determine whether and how it may comply with its FATCA
obligations. As a result of this evaluation, DTC has determined that
its existing systems are incapable of processing and accounting for
Gross Proceeds Withholding with regard to the securities transactions
processed by it, as no similar withholding obligation of this magnitude
has ever been imposed on it to date and DTC has therefore not built
systems to support such an obligation.
    Additionally, DTC nets credits and debits per Participant for end
of day net funds settlement. There is further netting with DTC's
affiliated central counterparty, National Securities Clearing
Corporation and further netting on a settling bank basis; the effect of
this netting is to significantly reduce the number and magnitude of
payments made via the NSS System of the Federal Reserve. Gross Proceeds
Withholding would foreclose such netting, greatly reducing liquidity
available to the

system and Participants, increasing systemic risk.
    Furthermore, DTC believes that, given DTC's netting, undertaking
Gross Proceeds Withholding could require DTC in certain circumstances
to apply its Participants Fund in order to fund FATCA Withholding taxes
with regard to nonparticipating FFI Participants in non-FATCA Partner
jurisdictions whenever the net credit owed to such FFI Participant is
less than the 30% FATCA tax. In the view of DTC, this would not be the
best application of such funds which are required to support liquidity
and satisfy losses attributable to the settlement activities of DTC,
inter alia. For example, if a nonparticipating FFI is owed a $100M
gross payment from the sale or maturity of U.S. securities, but such
nonparticipating FFI is in a net debit settlement position at the end
of that day because of DTC's end of day net crediting and debiting, and
the other netting described above, there would be no payment to this
FFI Participant from which DTC could withhold. In this example, DTC
would likely need to fund the $30M FATCA Withholding tax until such
time as the FFI Participant can reimburse DTC.\6\ In that case, DTC
would need to consider an increase in the amount of cash required to be
deposited into the Participants Fund, either by FFI Participants or all
Participants, which would reduce liquidity resources of Participants
and could have significant systemic effects. The amount of the FATCA
Gross Proceeds Withholding taxes would be removed from market
liquidity, which could lead to increased risk of Participant failure
and increased financial instability.
    For the reasons explained above and the following additional
reasons, DTC is amending its rules to implement preventive measures
that would generally require all of DTC's FFI Participants not to cause
a Gross Proceeds Withholding obligation on DTC because DTC believes
that:
     Undertaking Gross Proceeds Withholding by DTC (even if
possible) would make it economically discouraging for affected FFI
Participants to engage in transactions involving U.S. securities. It
would likely also quickly cause a significant negative impact on
liquidity because such withholding taxes would be imposed on the very
large gross amounts due to such FFI Participants. Furthermore,
Participants would be burdened with extra costs and the negative impact
on liquidity caused by the likely need to substantially increase the
amount of cash required to be deposited into the Participants Fund.
     The cost of implementing a Gross Proceeds Withholding
system for a small number of nonparticipating FFI Participants would be
substantial and disproportionate to the related benefit. Under the
Model I IGA form and its executed versions with various FATCA Partners,
DTC would not be required to withhold with regard to FFI residents in
such FATCA Partner jurisdictions. Accordingly, DTC's withholding
obligations under FATCA would effectively be limited to
nonparticipating FFI Participants in non-FATCA Partner jurisdictions.
Since the cost of developing and maintaining a complex Gross Proceeds
Withholding system would be passed on to DTC's Participants at large,
it may burden Participants that otherwise comply with, or are not
subject to, FATCA Withholding.
     As briefly noted above, absent this current action and in
order to avoid counterparty credit risk, DTC would likely require each
of the nonparticipating FFI Participants in non-FATCA Partner
jurisdictions to make initial or additional cash deposits to the
Participants Fund as liquidity for the approximate potential FATCA tax
liability of such nonparticipating FFI Participant or otherwise adjust
required deposits to the Participants Fund. The amount of such
deposits, which could amount to billions of dollars, would be removed
from market liquidity.
     From the nonparticipating FFI Participant's perspective,
having 30% of its payments withheld and sent to the IRS would have a
severe negative impact on such nonparticipating FFI Participants'
financial stability. In most cases, the gross receipts are for client
accounts, and the nonparticipating FFI Participant would need to make
such accounts whole. Without receipt of full payment for its
dispositions, the nonparticipating FFI Participant would not have
sufficient assets to fund its client accounts.
     These rule changes should not create an undue burden for
Participants because requiring FFIs to certify (and to periodically
recertify) their FATCA status, and imposing the costs of non-compliance
on them, are becoming standard market practice in the United States,
separate and apart from being a Participant of DTC.

Rule Changes

    In line with its risk management focus, DTC has determined that
compliance with FATCA, so that DTC shall not be responsible for Gross
Proceeds Withholding, should be a general membership requirement (A)
for all applicants that are treated as non-U.S. entities for U.S.
federal income tax purposes, and (B) for all existing FFI
Participants.\10\ DTC is amending its rules as follows:
---------------------------------------------------------------------------

    \10\ DTC may grant a waiver under certain circumstances,
provided, however, that DTC will not grant a waiver if it causes DTC
to be obligated to withhold under FATCA on gross proceeds from the
sale or other disposition of any property.
---------------------------------------------------------------------------

     Amending Rule 1: adding ``FATCA,'' ``FATCA
Certification,'' ``FATCA Compliance Date,'' \11\ ``FATCA Compliant,''
and ``FFI Participant'' to Section 2 as terms cross-referenced from
Rule 2, Section 9;
---------------------------------------------------------------------------

    \11\ Although FATCA Withholding with regard to FFI Participants
approved for membership by DTC prior to January 1, 2014 is first
required under FATCA beginning July 1, 2014, the proposed amendments
to DTC rules would require such existing FFI Participants to be
FATCA compliant approximately 60 days prior to July 1, 2014 in order
for DTC to comply with its disciplinary and notice processes as set
forth in DTC rules.
---------------------------------------------------------------------------

     Amending Section 1 of Rule 2: adding the requirements
that, (i) with regard to any applicant that shall be an FFI
Participant, such applicant must be FATCA Compliant, and (ii) as a
qualification for activation of its membership that each applicant
approved by DTC complete and deliver to DTC a FATCA Certification; and
     Adding new Section 9 of Rule 2: (i) Requiring all FFI
Participants (both new and existing) to agree not to conduct any
transaction or activity through DTC if such Participant is not FATCA
Compliant, (ii) requiring all FFI Participants to certify and, as
required under the timelines set forth under FATCA, periodically
recertify, to DTC, in accordance with the timelines set out under
FATCA, that they are FATCA Compliant, (iii) specifying that failure to
be FATCA Compliant creates a duty upon an FFI Member (both new and
existing) to inform DTC, (iv) providing that Participants that violate
the provisions of Section 9 are subject to disciplinary sanction or
other applicable actions by DTC in accordance with DTC rules,
including, but not limited to, a fine, as well as restrictions of
services to the Participant and/or ceasing to act for the Participant
in accordance with Rule 10, and (v) requiring all FFI Participants to
indemnify DTC for any losses sustained by DTC resulting from such FFI
Participants' failure to be FATCA Compliant. In addition, Rule 2,
Section 9 will include the definitions for ``FATCA,'' ``FATCA
Certification,'' ``FATCA Compliance Date,'' ``FATCA Compliant,'' and
``FFI Participant''.
     In addition, DTC will modify its Policy Statement on the
Admission of Non-U.S. Entities as Direct Depository

Participants to reference DTC rules requirements of foreign entities
which are treated as non-U.S. entities for tax purposes.

II. Discussion

    Section 19(b)(2)(C) of the Act \12\ directs the Commission to
approve a proposed rule change of a self-regulatory organization if it
finds that such proposed rule change is consistent with the
requirements of the Act and rules and regulations thereunder applicable
to such organization. Section 17A(b)(3)(F) of the Act \13\ requires the
rules of a clearing agency to be designed to, among other things,
promote the prompt and accurate clearance and settlement of securities
transactions, assure the safeguarding of securities and funds which are
in the custody or control of the clearing agency or for which it is
responsible, and protect investors and the public interest. The
Commission finds that DTC's proposed rule change is consistent with
these requirements because it is designed to comply with FATCA while
eliminating uncertainty in funds settlement. Specifically, based on
DTC's representations, the Commission understands that the proposed
rule change is designed codify DTC's rules in a way that will allow DTC
to comply with FACTA without developing and maintaining a complex Gross
Proceeds Withholding system under FATCA and, as a result, it will
eliminate uncertainty in funds settlement that DTC believes will arise
if DTC is subject to FATCA Withholding.\14\
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    \12\ 15 U.S.C. 78s(b)(2)(C).
    \13\ 12 U.S.C. 78q-1(b)(3)(F).
    \14\ In approving this proposed rule change, the Commission is
mindful of the IRS's jurisdiction respecting FATCA. This Order does
not interpret FATCA. The Commission's approval of the proposed rule
change in no way constitutes a determination or finding by the
Commission that the proposed rule change complies with FATCA, which
is under the purview of the IRS.
---------------------------------------------------------------------------

III. Conclusion

    On the basis of the foregoing, the Commission finds that the
proposal is consistent with the requirements of the Act and in
particular with the requirements of Section 17A of the Act \15\ and the
rules and regulations thereunder.
---------------------------------------------------------------------------

    \15\ In approving this proposed rule change, the Commission has
considered the proposed rule's impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
---------------------------------------------------------------------------

    It is therefore ordered, pursuant to Section 19(b)(2) of the Act,
that the proposed rule change (SR-DTC-2013-03) be, and it hereby is,
approved.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\16\
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    \16\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-14418 Filed 6-17-13; 8:45 am]
BILLING CODE 8011-01-P


PAPERWORK REDUCTION ACT SUBMISSION Please read the instructions before completing this form. For additional forms or assistance in completing this form, contact your agency's Paperwork Clearance Officer. Send two copies of this form, the collection instrument to be reviewed, the Supporting Statement and any additional documentation to: Office of Information and Regulatory Affairs, Office of Management and Budget, Docket Library, Room 10102, 725 17th Street NW Washington, DC 20503.

1. Agency/ Subagency originating request USEPA/ Office of Enforcement and Compliance Assurance 2. OMB control number b. G None a. 2060 0092 __ __ __ __

3. Type of information collection ( check one) a. G New collection b. G Revision of a currently approved collection c. X Extension of a currently approved collection d. G Reinstatement, without change, of a previously approved collection for which approval has expired e. G Reinstatement, with change, of a previously approved collection for which approval has expired f. G Existing collection in use without an OMB control number 4. Type of review requested ( check one) a. X Regular b. G Emergency  Approval requested by: / / c. G Delegated 5. Small entities Will this information collection have a significant economic impact on a substantial number of small entities? G Yes X No For b f, note item A2 of Supporting Statement Instructions 6. Requested expiration date a. X Three years from approval date b. G Other Specify: / /___

7. Title NESHAP for Beryllium ( 40 CFR part 61, subpart C) ( Renewal)

8. Agency form number( s) ( If applicable) EPA ICR 0193.08 9. Keywords Beryllium, beryllium emissions, machine shops, extraction plants, ceramic plants, foundries, incinerators, propellant plants.

10. Abstract The sources subject to this rule ( i. e., extraction plants, ceramic plants, foundries, incinerators, propellant plants and machine shops which process beryllium and its derivatives) complying with the one time only stack test, would be required to submit initial notifications and a one time report with the emission limit determination. The sources complying with the alternative ambient air quality limit by operating a continuous monitor in the vicinity of the affected facility are required to submit a monthly report of all measured concentrations. Records shall be retained for two years.

11. Affected public ( Mark primary with " P" and all others that apply with " X") a. Individuals or households d. Farms b. P Business or other for profit e. Federal Government c. Not for profit institutions f. State, Local or Tribal Government 12. Obligation to respond ( Mark primary with " P" and all others that apply with " X") a. G Voluntary b. G Required to obtain or retain benefits c. P Mandatory 13. Annual reporting and recordkeeping hour burden a. Number of respondents 33 b. Total annual responses 166 1. Percentage of these responses collected electronically 10 ____ __ % c. Total hours requested 2,627 d. Current OMB inventory 2,232 e. Difference 395 f. Explanation of difference 1. Program Change 2. Adjustment 395 14. Annual reporting and recordkeeping cost burden ( in thousands of dollars) a. Total annualized capital/ startup costs 0 b. Total annual costs ( O& M) 35 c. Total annualized cost requested 35 d. Current OMB inventory 35 e. Difference 0 f. Explanation of difference 1. Program change 2. Adjustment 0 15. Purpose of information collection ( Mark Primary With " P" and all others that apply with " X") a. Application for benefits e. Program planning or management b. Program evaluation f. Research c. General purpose statistics g. P Regulatory or compliance d. __ Audit 16. Frequency of recordkeeping or reporting ( check all that apply) a. X Recordkeeping b. Q Third party disclosure c. X Reporting 1. X On occasion 2. Q Weekly 3. X Monthly 4. Q Quarterly 5. Q Semi annually 6. Q Annually 7. Q Biannually 8. Q Other ( describe)

17. Statistical methods Does this information collection employ statistical methods?

Q Yes X No 18. Agency contact ( person who can best answer questions regarding the content of this submission) Name: Learia A. Williams Phone: ( 202) 564 4113 OMB 83 I 10/ 95 19. Certification for Paperwork Reduction Act Submissions On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with' 5 CFR 1320.9.

NOTE: The text of 5 CFR 1320.9, and the related provisions of 5 CFR 1320.8( b)( 3), appear at the end of the instructions. The certification is to be made with reference to those regulatory provisions as set forth in the instructions.

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

( a) It is necessary for the proper performance of agency functions;

( b) It avoids unnecessary duplication;

( c) It reduces burden on small entities;

( d) It uses plain, coherent, and unambiguous terminology that is understandable to respondents;

( e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

( f) It indicates the retention periods for recordkeeping requirements;

( g) It informs respondents of the information called for under 5 CFR 1320.8( b)( 3):

( i) Why the information is being collected; ( ii) Use of information; ( iii) Burden estimate; ( iv) Nature of response ( voluntary, required for a benefit, or mandatory); ( v) Nature and extent of confidentiality; and ( vi) Need to display currently valid OMB control number;

( h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected ( see note in Item 19 of the instructions);

( i) It uses effective and efficient statistical survey methodology; and ( j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item below and explain the reason in Item 18 of the Supporting Statement.

Signature of Program Official Michael S. Alushin, Director Compliance Assessment and Media Programs Division Office of Compliance Office of Enforcement and Compliance Assurance Date Signature of Senior Official or designee Oscar Morales, Director Collection Strategies Division Office of Environmental Information Date OMB 83 I 10/ 95 Certification Requirement for Paperwork Reduction Act Submissions 5 CFR 1320.9 reads " As part of the agency submission to OMB of a proposed collection of information, the agency ( through the head of the agency, the Senior Official or their designee) shall certify ( and provide a record supporting such certification) that the proposed collection of information

"( a) is necessary for the proper performance of the functions of the agency, including that the information to be collected will have practical utility;

"( b) is not unnecessarily duplicative of information otherwise reasonably accessible to the agency,

"( c) reduces to the extent practicable and appropriate the burden on persons who shall provide information to or for the agency, including with respect to small entities, as defined in the Regulatory Flexibility Act 5 U. S. C. § 601( 6)), the use of such techniques as:

"( 1) establishing differing compliance or reporting requirements or timetables that take into account the resources available to those who are to respond; "( 2) the clarification, consolidation, or simplification of compliance and reporting requirements; or collection of information , or any part thereof; "( 3) an exemption from coverage of the collection of information, or any part thereof;

"( d) is written using plain, coherent, and unambiguous terminology and is understandable to those who are to respond;

"( e) is to be implemented in ways consistent and compatible, to the maximum extent practicable, with the existing reporting and recordkeeping practices of those who are to respond;

"( f) indicates for each recordkeeping requirement the length of time persons are required to maintain the records specified;

"( g) informs potential respondents of the information called for under § 1320.8( b)( 3); [ see below]

"( h) has been developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected, including the processing of the information in a manner which shall enhance, where appropriate, the utility of the information to agencies and the public;

"( i) uses effective and efficient statistical survey methodology appropriate to the purpose for which the information is to be collected; and "( j) to the maximum extent practicable, uses appropriate information technology to reduce burden and improve data quality, agency efficiency and responsiveness to the public."

NOTE: 5 CFR 1320.8( b)( 3) requires that each collection of information:

"( 3) informs and provides reasonable notice to the potential persons to whom the collection of information is addressed of:

"( i) the reasons the information is planned to be and/ or has been used to further the proper performance of the functions of the agency; "( ii) the way such information is planned to be and/ or has been used to further the proper performance of the functions of the agency; "( iii) an estimate, to the extent practicable, of the average burden of the collection ( together with a request that the public direct to the agency any comments concerning the accuracy of this burden estimate and any suggestions for reducing this burden); "( iv) whether responses to the collection of information are voluntary, required to obtain or retain a benefit ( citing authority), or mandatory ( citing authority); "( v) the nature and extent of confidentiality to be provided, if any ( citing authority); and "( vi) the fact that any agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a currently valid OMB control number." OMB 83 I ( Instructions) 10/ 95


UNITED STATES ENVIRONMENTAL PROTECTION AGENCY WASHINGTON, D. C. 20460 OFFICE OF PREVENTION, PESTICIDES AND TOXIC SUBSTANCES Memorandum SUBJECT: Use Closure Memorandum on Bitertanol, PC # 117801 for the Tolerance Reassessment Decision FROM: Rosanna Louie, Chemical Review Manager Reregistration Branch 3 Special Review and Reregistration Division TO: Bitertanol Team DATE: July 1, 2005 The purpose of this memorandum is to provide use information on bitertanol that will be used in preparing the bitertanol risk assessment for the Tolerance Reassessment Decision, also known as a TRED. There are no currently registered uses for bitertanol in the U. S. Therefore, information provided only reflects information on bitertanol use in countries exporting commodities containing bitertanol residues into the U. S. Per 40 CFR § 180.457, there is a current tolerance established for bitertanol residues on bananas, which also includes residues on plantains.

Bitertanol is a fungicide used to treat black sigatoka on plantain and banana plants, and can be applied aerially, by backpack sprayer, and by other sprayer equipment. Bitertanol is formulated either as an emulsifiable concentrate ( EC) or suspension concentrate ( SC). Major countries that intend to export bananas or plantains that may contain bitertanol residues are Ecuador, Guatemala, Costa Rica, Colombia, and Honduras. Attachment A includes detailed information on bitertanol use in these countries as provided by Bayer CropScience, the sole registrant.

Should new use information become available during the development of the risk assessments, please inform me so that I can coordinate the new information with the entire team. If you have any questions or concerns regarding this memorandum, please contact me at ( 703) 308 0037.

Attachment  Attachment A   Use Information for Bitertanol ATTACHMENT A   Use Information for Bitertanol PC # 117801 Use Sites Banana, plantain Percent Formulation Trade Names 30 % a. i. EC Baycor 300 EC, Baycor 30 EC, Baycor 300 DC, Baycor 300 CE 50 % a. i. SC Baycor 500 EC, Baycor 50 SC Formulations*

* There are only two end use formulations for bitertanol: 30% EC and 50%

SC active ingredient ( AI) percentage. The variation in product names reflect different product naming requirements depending on which country each product is registered in.

Maximum Single Application Rate .133 lb a. i./ A Maximum Seasonal Application Rate 1.064 lb a. i./ A Maximum No. of Applications per Season 8 applications Minimum Treatment Intervals 7 days Re entry Interval 12 hours Pre harvest Interval None Application Type Foliar Application Timing During fruit development Application Restriction( s) None Major: Ecuador, Guatemala, Costa Rica, Colombia, Honduras Countries that Intend to Export Crops with Bitertanol Residues Minor: Mexico, Nicaragua, Peru, Venezuela, Dominican Republic, Panama