STATE INFRASTRUCTURE FINANCING AUTHORITY WATER APPLICANTS
APPLICATION INSTRUCTIONS

The U.S. Environmental Protection Agency (EPA) will invite selected applicants to submit an application for Water Infrastructure Finance and Innovation Act (WIFIA) loans. This application form must be used by State Infrastructure Financing Authority (SIFIA) applicants selected to apply for loans in either the base WIFIA program or the State Revolving Fund (SRF) WIFIA (SWIFIA) program. Unsolicited applications will not be considered. Following selection, each selected applicant will be assigned a transaction team led by an underwriter. The transaction team can answer the applicant's questions regarding the application form, its attachments, and the project review, negotiation, and closing processes.

The applicant should answer all questions in this form. It may indicate if a requirement is not applicable to its project. Narrative answers can reference source documents by including the name of the document and relevant pages or sections and providing any referenced documents as attachments. The applicant must sign the Certification in the appropriate space and submit a scanned version of the signature pages to EPA. If the applicant anticipates a delay in one or more source documents, it should discuss the situation with its transaction team and may indicate the anticipated date of submitting that document in the application. Additionally, the applicant is required to notify and submit to EPA any updated application materials that become available during the review period.

The applicant may assert a Confidential Business Information (CBI) claim covering part or all of the information submitted to EPA as part of its letter of interest, in a manner consistent with 40 C.F.R. 2.203, 41 Fed. Reg. 36902 (Sept. 1, 1976), by placing on (or attaching to) the information a cover sheet, stamped or typed legend, or other suitable form of notice employing language such as trade secret, proprietary, or company confidential. The applicant should also state whether it desires confidential treatment until a certain date or until the occurrence of a certain event.  Information covered by a business confidentiality claim will be disclosed by EPA only to the extent and only by means of the procedures set forth under 40 C.F.R. Part 2, Subpart B.  Information that is not accompanied by a business confidentiality claim when it is received by EPA may be made available to the public by EPA without further notice to the applicant. More information about CBI is available in the WIFIA program handbook and frequently asked questions (FAQ) available at http://www.epa.gov/wifia.
The applicant must submit a non-refundable application fee. The application fee for a State Infrastructure Financing Authority is $100,000. For further information regarding the application fee, as well as the credit processing fee which will be charged at loan closing, and any other applicable fees, please see the WIFIA fee rule.
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Application Submission
The final application submission must include:
 Completed application form;
 All attachments requested and referenced in the letter of interest form; and
 The application fee.
The applicant should reference Section C, Supporting Documents, to ensure all needed information is provided in the application submission. Upon receipt of the application fee and materials, EPA will provide a confirmation email.
Application Form and Attachment Submittal: When finished, the application form and attachments must be uploaded to EPA's SharePoint site.  To be granted access to the WIFIA SharePoint site, the applicant may email its assigned underwriter with the names and emails of all staff that need SharePoint access.
Application Fee Submittal: The applicant should use of Pay.gov to make electronic payments to EPA. In Pay.gov, the applicant can track its payments to EPA and schedule recurring or automatic payments. Although it is not mandatory to register for a user id to access and use Pay.Gov, registration is recommended to have access to all Pay.gov system functionality. To use Pay.gov, follow these instructions:
 Access the Pay.gov system by going to https://www.pay.gov and search for WIFIA or click on the following hyperlink to directly launch the WIFIA Loan Collection & Fees Form.
 Provide the following information on your payment to ensure proper credit:
 Remitter's contact phone number
 Company/Organization Name as it appears on EPA document
 Complete address, including city, state, zip code
 Project Name
 Loan Number: this is the EPA WIFIA Loan number, NOT the remitter's number
 From the "Payment Type" drop down menu select "Application Fee (Fee01)"
 Other Description: please enter your EPA WIFIA Loan number followed by -FEE01, for example 16123DC-FEE01
 Follow the remaining on‐screen instructions to successfully process the payment to EPA.
 Send an email to<EMAIL_ADDRESS>and<EMAIL_ADDRESS>informing that a payment has been made.

The application fee may also be paid via FEDWIRE or by check sent to US EPA; Las Vegas Finance Center; 4220 S. Maryland Pkwy, Bldg C, Ste 503; Las Vegas NV 89119. For questions about payments, contact the US EPA Las Vegas Finance Center at (702)798‐2485 or<EMAIL_ADDRESS>For detailed payment instructions, contact the WIFIA program. _____________________________________________________________________________________

Burden

The public reporting and recordkeeping burden for this collection of information is estimated to average 100 hours per response.  Send comments on the Agency's need for this information, the accuracy of the provided burden estimates, and any suggested methods for minimizing respondent burden, including through the use of automated collection techniques to the Director, Regulatory Support Division, U.S. Environmental Protection Agency (2822T), 1200 Pennsylvania Ave., NW, Washington, D.C. 20460. Include the OMB control number in any correspondence. Do not send the completed form to this address.
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Warning

Falsification or misrepresentation of information or failure to file or report information required to be reported may be the basis for denial of financial assistance by the Environmental Protection Agency. Knowing and willful falsification of information required to be submitted and false statements to a Federal Agency may also subject you to criminal prosecution.  See, for example, 18 U.S.C. §1001.
_____________________________________________________________________________________
Additional information is available at https://epa.gov/wifia and by contacting<EMAIL_ADDRESS>
APPLICATION FORM FOR STATE INFRASTRUCTURE FINANCING AUTHORITIES
Provide the following information in this form. Responses can reference source documents (include the name of the document and relevant pages or sections). Provide all referenced documents as attachments.

Section A: Loan and Applicant Information

    Legal name of the applicant:

   Click or tap here to enter text.

    Other names under which the applicant does business:

   Click or tap here to enter text.
    Business street address:

   Click or tap here to enter text.

    Program website:

   Click or tap here to enter text.

    Employer/taxpayer identification number (EIN/TIN):

    Click or tap here to enter text.

    Dun and Bradstreet Data Universal Number System (DUNS) number:

    Click or tap here to enter text.

    Requested amount of the WIFIA/SWIFIA loan (in dollars) (cannot exceed 49% of question A-8):

   Click or tap here to enter text.

    Estimated total costs of the SRF loans that are included in the WIFIA/SWIFIA Project (as defined on page 12) (in dollars):

   Click or tap here to enter text.

    Describe quantitative or qualitative benefits (e.g. additional communities reached, cost savings, environmental and public health benefits, economic benefits) that will be achieved by the SRF program with the WIFIA/SWIFIA loan. (Word limit: 200).

Click or tap here to enter text.

    Describe the applicant's legal structure. Include a copy of the statutory authority under which the entity was created as an attachment, if applicable. If this information is included in the program's Operating Agreements with EPA regional office for Clean Water SRF (CWSRF) and/or Drinking Water SRF (DWSRF) (as applicable), note the relevant pages or section.

Click or tap here to enter text.

    Describe the legal authority of the applicant to carry out proposed activities described in this application, including, issuing debt, charging fees, and/or receiving dedicated funding from another entity. Provide documentation as an attachment, if applicable.

Click or tap here to enter text.

    Identify what governmental entities (other than the applicant) approved the submission of this application and must approve incurrence of WIFIA/SWIFIA debt. Explain the approval process and timeline.

Click or tap here to enter text.

     Disclose any current, threatened, or pending litigation involving the applicant.

Click or tap here to enter text.

Section B: Financing Plan

 Indicate the requested loan structure (select only one):
   ☐ OPTION 1: EPA adopts SRF program's existing indenture
   ☐ OPTION 2: SRF program accepts EPA's standard terms
   ☐ OPTION 3: Negotiated terms (if invited to apply under the WIFIA base program only)

 For OPTION 1, answer the following questions:

 Will the WIFIA/SWIFIA loan be at parity with all SRF outstanding senior debt obligations?

         Click or tap here to enter text.

 What is the requirement of the additional bonds test in your existing indenture for your program?

         Click or tap here to enter text.
 Is all the debt in your existing indenture at parity?

         Click or tap here to enter text.

 Does your indenture require a debt service reserve?

         Click or tap here to enter text.

 For OPTION 2, answer the following questions:

          Does the SRF program have an existing indenture or plans to develop one in the future?

         Click or tap here to enter text.

          Does the SRF program have existing debt? If yes, explain.

         Click or tap here to enter text.

 Describe the additional bonds test for SRF borrowers or other controls that the state utilizes to manage risk?

 Click or tap here to enter text.

    Complete the following sources and uses of funds table, including the proposed WIFIA/SWIFIA assistance. Note:  Total sources and uses should be equal to one another and equal the estimated total costs of the SRF loans that are included in WIFIA/SWIFIA Project (Question A-8). All estimates should be expressed in year-of-expenditure dollars.

Sources Category
Estimated Dollar Value
1. WIFIA/SWIFIA Loan
Click or tap here to enter text.
2. Revenue Bonds
Click or tap here to enter text.
3. Program Equity
Click or tap here to enter text.
4. Federal Grant
Click or tap here to enter text.
5. Other (please specify) Click or tap here to enter text.
Click or tap here to enter text.
TOTAL SOURCES
Click or tap here to enter text.
TOTAL USES
Click or tap here to enter text.

 Identify the following proposed terms for the requested WIFIA/SWIFIA credit assistance:

 Origination date: Click or tap here to enter text.
 Final maturity date: Click or tap here to enter text.
 Timing of disbursements: Click or tap here to enter text.
 Pledged security (OPTION 1 & 3): Click or tap here to enter text.
 Repayment sources: Click or tap here to enter text.
 Amortization schedule: Click or tap here to enter text.
 Lien position (OPTION 3) (select only one)
              ☐ Senior Lien
              ☐ Subordinate Lien: All project debt has the same priority as the WIFIA loan
              ☐ Subordinate Lien: Not all project debt has the same priority of the WIFIA loan. A springing lien will be used in a bankruptcy related event.

 Provide the default tolerance for the proposed WIFIA/SWIFIA loan.
   Click or tap here to enter text.
 Describe the overall SRF loan portfolio size and applicant outstanding loan debt concentration.
   Click or tap here to enter text.
Section C: Supporting Documents
Provide the most recent versions of the following documents as attachments. The document is required unless otherwise noted:
 Attachment 1: Intended Use Plan (if updated since Letter of Interest submission)
 Attachment 2: Operating agreement (if updated since Letter of Interest submission)
 Attachment 3: Documentation of SRF program's priority setting system (if updated since Letter of Interest submission)
 Attachment 4: SRF Annual Report to EPA Region
 Attachments 5-7: Audited program financials for the previous 3 years
 Attachment 8: Standard SRF loan agreement
 Attachment 9:  The underwriting criteria that will be applied to the loans pledged to the WIFIA/ SWIFIA loan
 Attachment 10:  Projected Revenue Certificate, which includes pledged loan repayments, annual debt service, and debt service coverage for all outstanding debt until maturity (for applicants with existing debt) OR the projected revenue from loan repayments for the life of the SRF loan (for applicants with no debt)
 Attachment 11: Procedures for reviewing project's Preliminary Engineering Report (PER)
 Attachment 12: Procedures for construction monitoring
 Attachment 13: Procedures for the conducting the state environmental review
 Attachment 14: Completed Programmatic Environmental Assessment Questionnaire for WIFIA Credit Assistance SRF Programs (available at https://www.epa.gov/wifia/wifia-programmatic-environmental-assessment-questionnaires)
 Attachment 15: Bond Indenture (if applying for OPTION 1)
 Attachment 16: Most recent Official Statement (if applying for OPTION 1 or OPTION 3)
 Attachment 17: A preliminary rating letter from a Nationally Recognized Statistical Rating Organization, describing the applicant's ability to obtain an investment grade rating
 Attachment 18: Project List. Provide an Excel spreadsheet with a row for each SRF loan that are included in WIFIA/SWIFIA Project (Question A-8) and the following columns:
 Borrower
 Project Name
 Brief Project Description (1-2 sentences)
 City
 County
 Population
 Loan Amount
 Loan Term (years)
 Status of State Environmental Review
 Finding of State Environmental Review
 Construction Start Date
 Construction End Date
 SRF Loan Submittal Date
 Estimated SRF Loan Closing Date
 Type of Security Pledge
 SRF Borrower Rating (if known)

CERTIFICATIONS
 National Environmental Policy Act:  The undersigned acknowledges that EPA will not approve a loan until a final agency determination, such as a Categorical Exclusion (CATEX), Finding of No Significant Impact (FONSI), or a Record of Decision (ROD), has been issued.
 American Iron and Steel:  The applicant acknowledges that any project receiving credit assistance under this program for the construction, alteration, maintenance, or repair of a project may only use iron and steel products produced in the United States and must comply with all applicable guidance.
 Prevailing Wages:  The applicant acknowledges that all laborers and mechanics employed by contractors or subcontractors on projects receiving credit assistance under this program shall be paid wages at rates not less than those prevailing for the same type of work on similar construction in the immediate locality, as determined by the Secretary of Labor, in accordance with sections 3141-3144, 3146, and 3147 of Title 40 (Davis-Bacon wage rules).
 Credit Ratings:  This applicant has received a preliminary rating opinion letter describing its ability to obtain an investment grade rating. This letters or ratings are attached.
 Credit Processing Fees:  The undersigned certifies that it will reimburse EPA for its costs incurred in negotiating the credit agreement, irrespective of whether the credit agreement is executed.
 Lobbying:  Section 1352 of Title 31, United States Code provides that none of the funds appropriated by any Act of Congress may be expended by a recipient of a contract, grant, loan, or cooperative agreement to pay any person for influencing or attempting to influence an officer or employee of any Federal agency, a Member of Congress, or an employee of a Member of Congress in connection with the award or making of a Federal contract, grant, loan, or cooperative agreement or the modification thereof. EPA interprets this provision to include the use of appropriated funds to influence or attempt to influence the selection for assistance under the WIFIA/SWIFIA program.
WIFIA/SWIFIA applicants must file a declaration: (a) with the submission of an application for WIFIA/SWIFIA credit assistance; (b) upon receipt of WIFIA/SWIFIA credit assistance (unless the information contained in the declaration accompanying the WIFIA/SWIFIA application has not materially changed); and (c) at the end of each calendar quarter in which there occurs any event that materially affects the accuracy of the information contained in any declaration previously filed in connection with the WIFIA/SWIFIA credit assistance.
The undersigned certifies, to the best of his or her knowledge and belief, that:
 No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of an agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement.
 If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions.
 The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly.
         This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.
 Debarment: The undersigned further certifies that it is not currently: 1) debarred or suspended  from participating in any Federal programs; 2) formally proposed for debarment, with a final determination still pending; or 3) indicted, convicted, or had a civil judgment rendered against it for any of the offenses listed in the Regulations Governing Debarment and Suspension (Governmentwide Nonprocurement Debarment and Suspension Regulations: 2 C.F.R. Part 180 and Part 1532).
 Default/Delinquency:  The undersigned further certifies that neither it nor any of its subsidiaries or affiliates are currently in default or delinquent on any debt or loans provided or guaranteed by the Federal Government.
 Other Federal Requirements:  The applicant acknowledges that it must comply with all other federal statutes and regulations, as applicable.  A non-exhaustive list of federal cross-cutting statutes and regulations can be found at: www.epa.gov/wifia.
 Name:
Title:
Organization:
Street Address:
City/State/Zip:
Phone:
E-mail:

Name:
Title:
Organization:
Street Address:
City/State/Zip:
Phone:
E-mail:

Signature:  By submitting this application, the undersigned certifies that the facts stated and the certifications and representations made in this application are true, to the best of the applicant's knowledge and belief after due inquiry, and that the applicant has not omitted any material facts. The undersigned is an authorized representative of the applicant.

Signature:  _________________________________________________________________________

Date Signed: ________________________________________________________________________

KEY DEFINITIONS

 Applicant means the State Infrastructure Financing Authority submitting the application for WIFIA or SWIFIA program credit assistance. Only prospective borrowers that are invited to submit application become applicants

 Credit assistance means a secured loan or loan guarantee under WIFIA or SWIFIA.

 Credit agreement means a contractual agreement between EPA and the applicant (and the lender, if applicable) that formalizes the terms and conditions established in the term sheet (or conditional term sheet) and authorizes the execution of a secured loan or loan guarantee.

 Investment grade rating means a rating category of BBB minus, Baa3, bbb minus, BBB (low), or higher assigned by a nationally recognized statistical rating organization (NRSRO) to project obligations offered into the capital markets.

 Iron and steel products means the following products made primarily of iron or steel: lined or unlined pipes and fittings, manhole covers and other municipal castings, hydrants, tanks, flanges, pipe clamps and restraints, valves, structural steel, reinforced precast concrete, and construction materials.

 Nationally recognized statistical rating organization (NRSRO) means a credit rating agency identified and registered by the Office of Credit Ratings in the Securities and Exchange Commission.

 Prospective borrower means an entity that is contemplating or is in the process of undertaking the WIFIA/SWIFIA application process, or an entity that has undertaken these activities on behalf of another entity. The following entities are eligible to receive credit assistance: a corporation, a partnership, a joint venture, a trust, a Federal, State, or local government, a tribal government or consortium of tribal governments, and a State infrastructure financing authority. Prospective borrowers become applicants when they are invited to apply for WIFIA/SWIFIA credit assistance.

 SWIFIA means the separate, stand-alone State Revolving Fund WIFIA program authorized by sec. 4201(b) of America's Water Infrastructure Act of 2018, Pub. L. 115-270.

 WIFIA means the Water Infrastructure Finance and Innovation Act of 2014, Pub. L. 113-121, 128 Stat, 1332, codified at 33 U.S.C. §§ 3901-3914.

 State infrastructure financing authority (SIFA) means the State entity established or designated by the Governor of a State to receive a capitalization grant provided by, or otherwise carry out the requirements of, title VI of the Federal Water Pollution Control Act (33 U.S.C. 1381 et. seq.) or section 1452 of the Safe Drinking Water Act (42 U.S.C. 300j - 12).

 WIFIA/SWIFIA Project means the all the SRF loans being included in request for credit assistance. This includes both the SRF loans that will be financed with the WIFIA/SWIFIA loan (up to 49% of WIFIA Project costs) and the SRF loans that will be financed by other sources.


[Federal Register Volume 88, Number 168 (Thursday, August 31, 2023)]
[Notices]
[Pages 60251-60255]
[FR Doc No: 2023-18776]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-98227; File No. SR-DTC-2023-801]

Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing of Advance Notice To Raise Prefunded Liquidity
Resources Through the Periodic Issuance and Private Placement of Senior
Notes

August 25, 2023.
    Pursuant to section 806(e)(1) of title VIII of the Dodd-Frank Wall
Street Reform and Consumer Protection Act entitled the Payment,
Clearing, and Settlement Supervision Act of 2010 (``Clearing
Supervision Act'') \1\ and Rule 19b-4(n)(1)(i) under the Securities
Exchange Act of 1934 (``Act''),\2\ notice is hereby given that on
August 15, 2023, The Depository Trust Company (``DTC'') filed with the
Securities and Exchange Commission (``Commission'') the advance notice
SR-DTC-2023-801 (``Advance Notice'') as described in Items I, II and
III below, which Items have been prepared by the clearing agency. The
Commission is publishing this notice to solicit comments on the Advance
Notice from interested persons.
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    \1\ 12 U.S.C. 5465(e)(1).
    \2\ 17 CFR 240.19b-4(n)(1)(i).
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I. Clearing Agency's Statement of the Terms of Substance of the Advance
Notice

    This advance notice is filed by DTC in connection with a proposal
to raise prefunded liquidity resources through the periodic issuance
and private placement of senior notes (``Debt Issuance''). The proceeds
from the Debt Issuance would supplement DTC's existing default
liquidity risk management resources, as described in greater detail
below.\3\
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    \3\ Capitalized terms not defined herein are defined in the
Rules, By-Laws and Organization Certificate of DTC (``Rules'')
available at www.dtcc.com/~/media/Files/Downloads/legal/rules/
dtc_rules.pdf.
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II. Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Advance Notice

    In its filing with the Commission, the clearing agency included
statements concerning the purpose of and basis for the Advance Notice
and discussed any comments it received on the Advance Notice. The text
of these statements may be examined at the places specified in Item IV
below. The clearing agency has prepared summaries, set forth in
sections A and B below, of the most significant aspects of such
statements.

(A) Clearing Agency's Statement on Comments on the Advance Notice
Received from Members, Participants, or Others

    Written comments on the advance notice have not been solicited or
received. DTC will notify the Commission of any written comments
received by DTC.

(B) Advance Notice Filed Pursuant to Section 806(e) of the Clearing
Supervision Act

Description of Proposed Change
    DTC is proposing to raise prefunded liquidity through the periodic
issuance and private placement of senior notes to qualified
institutional investors in an aggregate amount not to exceed $5
billion, as described in greater detail below. The proceeds of the Debt
Issuance would supplement DTC's qualifying liquidity resources, which
are described in the Clearing Agency Liquidity Risk Management
Framework (``Framework'') \4\ and include cash

deposits to its Participants Fund and cash that would be obtained by
drawing upon DTC's committed 364-day credit facility with a consortium
of banks (``Line of Credit'').\5\
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    \4\ See Securities Exchange Act Release Nos. 82377 (Dec. 21,
2017), 82 FR 61617 (Dec. 28, 2017) (SR-DTC-2017-004; SR-FICC-2017-
008; SR-NSCC-2017-005). Following the completion of the initial
issuance and private placement of senior notes, the Clearing
Agencies would file a proposed rule change to amend the Framework to
include the proceeds of the Debt Issuance as an additional
qualifying liquidity resource of DTC.
    \5\ Capitalized terms not defined herein are defined in the
Rules, By-Laws and Organization Certificate of DTC (``Rules'')
available at www.dtcc.com/~/media/Files/Downloads/legal/rules/
dtc_rules.pdf. See also Securities Exchange Act Release No. 80605
(May 5, 2017), 82 FR 21850 (May 10, 2017) (SR-DTC-2017-802; SR-NSCC-
2017-802).
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    More precisely, while the specific terms of any future Debt
Issuance would depend on a number of factors, as described in greater
detail below, DTC is requesting the authority to use the proceeds of
any Debt Issuance as default liquidity.\6\
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    \6\ In addition to default liquidity, DTC may use the proceeds
of a Debt Issuance to prepay a prior Debt Issuance before maturity
but would not use the proceeds for any other purpose. DTC filed as a
confidential exhibit to this filing a sample term sheet that may be
indicative of the possible terms of any future Debt Issuance.
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    DTC, along with its affiliates, National Securities Clearing
Corporation (``NSCC'') and Fixed Income Clearing Corporation (``FICC,''
and, together with NSCC and DTC, the ``Clearing Agencies''), maintain
the Framework which sets forth the manner in which DTC measures,
monitors and manages the liquidity risks that arise in or are borne by
it.\7\ DTC's liquidity risk management strategy and tools are designed
to maintain sufficient available liquid resources to complete system-
wide settlement on each business day, with a high degree of confidence
and notwithstanding the failure to settle of the Participant, or
affiliated family of Participants, with the largest settlement
obligation.\8\
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    \7\ Supra note 4. Each of the Clearing Agencies is a wholly-
owned subsidiary of The Depository Trust & Clearing Corporation,
which operates on a shared service model with respect to the
Clearing Agencies. Most corporate functions are established and
managed on an enterprise-wide basis pursuant to intercompany
agreements under which it is generally DTCC that provides relevant
services to the Clearing Agencies.
    \8\ Id.
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    The proposed Debt Issuance would provide DTC with an additional
source of default liquidity, which would allow it to diversify its
sources of default liquidity and mitigate risks to DTC that it is
unable to secure default liquidity resources in an amount necessary to
meet its liquidity needs. DTC utilizes certain rules-based tools,
including the Net Debit Cap and the Collateral Monitor, to manage the
liquidity risks its Participants' present to it.\9\ These two controls
work together to protect the DTC settlement system in the event of a
Participant default. The Collateral Monitor requires net debit
settlement obligations, as they accrue intraday, to be fully
collateralized and the Net Debit Cap limits the amount of any
Participant's net debit settlement obligation to an amount that can be
satisfied with DTC's default liquidity resources. As stated above, DTC
currently maintains two key default liquidity resources to draw upon in
the event of a Participant default: cash deposits to its Participants
Fund and cash that would be obtained by drawing upon the Line of
Credit.\10\ By allowing DTC to diversify its sources of default
liquidity, the proposal would mitigate the risk, for example, that DTC
is unable to renew its Line of Credit at the targeted amount by
providing DTC with an alternative and supplemental source of default
liquidity.
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    \9\ A description of the calculation of each Participant's Net
Debit Cap and Collateral Monitor is available in the Settlement
Service Guide. See DTC Settlement Service Guide, available at
www.dtcc.com/-/media/Files/Downloads/legal/service-guides/Settlement.pdf.
    \10\ Under DTC Rule 10 (Discretionary Termination) and DTC Rule
11 (Mandatory Termination), a Participant will be in default if it
fails to pay any amount due to DTC within specified timeframes,
including the failure to fund a settlement obligation, to pay
required deposits to the Participants Fund or to pay adequate
assurances to DTC within the required timeframes. See supra note 5.
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    Terms of the Debt Issuance. DTC does not have immediate plans to
initiate the Debt Issuance. The timing of a Debt Issuance would depend
on a number of factors, including, for example, market conditions for
the issuance of senior notes and the timing of any changes to DTC's
liquidity needs. However, when it determines to do so it would engage a
trustee and underwriting banks to issue the senior notes to qualified
institutional investors through a private placement and offering in
reliance on an exemption from registration under section 4(a)(2) of the
Securities Act of 1933.\11\ DTC would be party to certain transaction
documents in connection with each issuance and private placement,
including an indenture with the trustee and purchase agreements. The
purchase agreements would each be based on the standard form of dealer
agreement for similar debt issuances, which is published by the
Securities Industry and Financial Markets Association.
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    \11\ 15 U.S.C. 77d(a)(2).
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    While the anticipated material terms and conditions of a future
Debt Issuance are summarized below, the actual terms of a future Debt
Issuance would depend on a number of factors, including DTC's liquidity
needs and the debt market conditions at the time of issuance.
Therefore, with the exception of the authorized aggregate amount that
DTC may issue of $5 billion, the anticipated terms summarized below are
reasonable estimates, but may not reflect the actual terms of a future
Debt Issuance.
    DTC is proposing to issue up to an aggregate amount of $5 billion
in senior notes, with an expected average amount issued and outstanding
at any time of approximately $2-3 billion, as DTC deems reasonable, or
as necessitated by liquidity needs. While, at the time of this filing,
DTC would not need to issue up to the aggregate amount of $5 billion
based on its current liquidity requirements, DTC believes that is
advisable to authorize up to this aggregate amount in order to help
manage its potential future liquidity needs and the potential risk that
it is not able to obtain the requisite amounts from its other sources
of default liquidity.
    DTC estimates that each issuance would be in an amount between
approximately $250 million and $1.5 billion, with an initial issuance
expected to be between approximately $500 million and $1 billion.\12\
DTC believes an initial issuance should be at an amount that would
attract the attention of potential investors. Therefore, DTC believes
that between approximately $500 million and $1 billion would be an
appropriate amount for the initial issuance for this reason.
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    \12\ If market conditions at the time of the inaugural issuance
are favorable, DTC may issue an initial aggregate amount of more
than $1 billion.
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    The senior notes would be represented by unsecured, unsubordinated
and non-convertible medium-term and long-term global notes held in the
name of DTC (as the central securities depository) or its nominee, Cede
& Co. The notes would be issued and transferred only through the book-
entry system of DTC. The senior notes would be interest bearing at
either fixed or floating interest rates that are set at market rates
customary for such type of debt and reflective of the creditworthiness
of DTC.
    DTC expects the average maturity of the senior notes issued under
the Debt Issuance would be no shorter than approximately two years and
no longer than approximately ten years, which are the typical lengths
of medium-term and long-term debt. DTC does not believe maturities over
ten years would be suitable as debt with longer maturities are
generally more expensive to issue and may present higher risks related
to interest rates. DTC would time each debt issuance and stagger
maturity dates

of each issuance in order to ladder the maturities. DTC would have the
ability to make use of optional features to redeem the issued senior
notes, in whole or in part, at any time prior to the maturity date of
notes. More specifically, DTC would have the option to prepay any
amount of principal owed on the issued senior notes before such payment
is due, i.e., before the maturity date.
    DTC would hold the proceeds from the Debt Issuance in either its
cash deposit account at the Federal Reserve Bank of New York
(``FRBNY'') or in accounts at other creditworthy financial institutions
in accordance with the Clearing Agency Investment Policy.\13\ These
amounts would be available to draw to complete settlement as needed.
---------------------------------------------------------------------------

    \13\ See Securities Exchange Act Release Nos. 79528 (Dec. 12,
2016), 81 FR 91232 (Dec. 16, 2016) (SR-DTC-2016-007, SR-FICC-2016-
005, SR-NSCC-2016-003); 84949 (Dec. 21, 2018), 83 FR 67779 (Dec. 31,
2018) (SR-DTC-2018-012, SR-FICC-2018-014, SR-NSCC-2018-013).
Following the issuance of a Notice of No Objection by the Commission
of this proposal, the Clearing Agencies would file a proposed rule
change to amend the Clearing Agency Investment Policy to include the
proceeds as default liquidity funds, within the definition of
``Investable Funds,'' as such term is defined therein, and provide
that such amounts would be held in bank deposits at eligible
commercial banks or at DTC's cash deposit account at the FRBNY.
---------------------------------------------------------------------------

    DTC Liquidity Risk Management. DTC's liquidity needs for settlement
are driven by protecting DTC against the possibility that a Participant
may fail to pay its settlement obligations on a business day. The tools
available to DTC under its Rules (e.g., the Participants Fund, Net
Debit Cap and Collateral Monitor) allow it to regularly test the
sufficiency of liquid resources on an intraday and end-of-day basis and
adjust to stressed circumstances during a settlement day to protect
itself and Participants against liquidity exposure under normal and
stressed market conditions.\14\ DTC calculates its liquidity needs per
Participant (at a legal entity level) and further aggregates these
amounts at a family level (that is, including all affiliated
Participants, based on the assumption that all such affiliates may fail
simultaneously). In this regard, DTC monitors settlement flows and net-
debit obligations on a daily basis, determines the appropriateness of
each Participant's Net Debit Cap and monitors net settlement activity.
---------------------------------------------------------------------------

    \14\ Supra note 4.
---------------------------------------------------------------------------

    As noted above, the Framework describes DTC's liquidity risk
management strategy, which is designed to maintain sufficient liquid
resources to complete system-wide settlement on each business day, with
a high degree of confidence and notwithstanding the failure to settle
of the Participant, or affiliated family of Participants, with the
largest settlement obligation.\15\ The Framework also describes how DTC
meets its requirement to hold qualifying liquid resources, as such term
is defined in Rule 17Ad-22(a)(14) under the Securities Exchange Act of
1934 (``Act''),\16\ sufficient to meet its minimum liquidity resource
requirement in each relevant currency for which it has payment
obligations owed to its Participants. DTC considers each of its
existing default liquidity resources to be qualifying liquid resources,
and the proceeds from the Debt Issuance would also be default liquidity
that is considered a qualifying liquid resource.
---------------------------------------------------------------------------

    \15\ Supra note 5.
    \16\ 17 CFR 240.17Ad-22(a)(14).
---------------------------------------------------------------------------

    The proceeds from the Debt Issuance would provide DTC with
additional, prefunded, and readily available qualifying liquid
resources to be used to complete system-wide settlement if a
Participant defaults. For DTC, the Participants Fund, Net Debit Cap and
Collateral Monitor tools work together to limit potential liquidity
requirements in default scenarios both on an intra-day and end-of-day
basis. So, while DTC's current available liquidity resources are
sufficient to satisfy the single-largest family default under stressed
but plausible conditions, the Debt Issuance would allow DTC to
diversify its sources of default liquidity and mitigate risks to DTC
that it is unable to secure default liquidity resources in an amount
necessary to meet its liquidity needs. More specifically, the proposal
would provide DTC with the flexibility to reduce its reliance on the
Line of Credit, which is renewed annually and dependent on continued
lender interest and meet any increased liquidity needs it may face in
the future. As a source of prefunded, default liquidity, the Debt
Issuance would provide additional certainty, stability, and safety to
DTC, its Participants, and the U.S. markets that it serves.
    By diversifying DTC's sources of qualifying liquid resources, the
Debt Issuance could also mitigate concentration risks related to its
liquidity providers. More specifically, while DTC would not limit the
potential qualified institutional investors that purchase senior notes
and, therefore, is not able to ensure that the Debt Issuance would
reduce concentration risk, the types of entities who typically invest
in senior notes (for example, insurance companies, asset managers and
pension funds) are generally not Participants of DTC or lenders under
the Line of Credit. Therefore, the prospective investors in the senior
notes are not expected to be the same firms that currently provide any
material amount of default liquidity resources to DTC either through
the Line of Credit, or as DTC Participants. In this way, the proposed
Debt Issuance would reduce the concentration risk related to its
liquidity providers, by reducing the likelihood that an impairment of a
liquidity provider to perform under one qualifying liquid resource
would impact DTC's ability to fully access its other qualifying liquid
resources.
Anticipated Effect on and Management of Risk
    In connection with its role as a central securities depository
(``CSD''), DTC provides for both the settlement of book-entry transfer
and pledge of interests in eligible deposited securities and net funds
settlement. A financially strong and well-managed, well-designed CSD,
with appropriate risk management arrangements, can reduce the risk
faced by participants, contributing to the goal of systemic financial
stability. In order to sufficiently perform this role, it is critical
that DTC has access to adequate liquidity resources to enable it to
complete system-wide settlement every business day, including following
a Participant default. DTC believes that the overall impact of the
proposed Debt Issuance on risks presented by DTC would be to reduce the
liquidity risks associated with DTC's net settlement obligations by
providing it with an additional source of liquidity to complete system-
wide settlement in the event of a Participant default. DTC further
believes that a reduction in its liquidity risk would reduce systemic
risk and would have a positive impact on the safety and soundness of
the wider financial system.
    While the proposed Debt Issuance, like any liquidity resource,
would involve certain risks, most of these risks are standard in any
debt issuance. One risk associated with the proposed Debt Issuance
would be the risk that DTC does not have sufficient funds to repay
issued senior notes when the notes mature. DTC believes that this risk
is extremely remote, as the proceeds of the Debt Issuance would be used
only in the event of a Participant default, and DTC would replenish
that cash, as it would replenish any of its liquidity resources that
are used to facilitate settlement in the event of a Participant
default, with the proceeds of the close out of that defaulted
Participant's portfolio. This notwithstanding, in the event that
proceeds from the close out are

insufficient to fully repay a liquidity borrowing, then DTC would look
to its loss waterfall to repay any outstanding liquidity
borrowings.\17\ DTC would further mitigate this risk through the timing
of each debt issuance and by staggering the maturity dates of the
issued senior notes in a way that would provide DTC with time to
complete the close out of a defaulted Participant's portfolio. A second
risk is that DTC may be unable to issue new senior notes as issued
notes mature due to, for example, stressed markets at the time the
issued debt matures. This risk is mitigated by the fact that DTC
maintains a number of different default liquidity resources, described
above, and would not depend on the Debt Issuance as its sole source of
liquidity.
---------------------------------------------------------------------------

    \17\ See Rule 4 (Participants Fund and Participants Investment)
of the Rules, supra note 5.
---------------------------------------------------------------------------

    DTC may be exposed to interest rate risk, which is the risk that a
change in interest rates could cause an increase to the net cost of
carry of the Debt Issuance.\18\ DTC would mitigate this risk by issuing
senior notes at different maturities and at both fixed interest rates
and floating interest rates. The interest rates for the senior notes
issued at floating interest rates would generally correlate with the
rates on investments of those proceeds \19\ and would be expected to
result in a largely stable net spread between the borrowing interest
rate and the investment interest rate, mitigating this risk. For the
senior notes issued with a fixed interest rate, DTC would consider
interest rate swaps as a method to mitigate interest rate risk,
depending on market environment at that time.
---------------------------------------------------------------------------

    \18\ The ``net cost of carry'' generally refers to the
difference between the interest earned on the invested proceeds of
an issuance and the interest rate paid on that issuance.
    \19\ See supra note 12.
---------------------------------------------------------------------------

    DTC could also face a related financial risk that the expense of a
Debt Issuance exceeds DTC's income and may have a negative impact on
DTC's financial health or its creditworthiness. DTC would mitigate this
risk by evaluating the expected net cost of carry (discussed above) of
a Debt Issuance prior to issuing any debt, and if the financing costs
for the issuance of senior notes increase, such that it is not
financially advisable to issue additional senior notes, then DTC may
determine to use its alternative liquidity resources to meet its
liquidity needs during those market conditions.
    DTC believes that the significant systemic risk mitigation benefits
of providing DTC with additional, prefunded liquidity resources
outweigh these risks.
Consistency With Clearing Supervision Act
    DTC believes that that proposal would be consistent with Title VIII
of the Dodd-Frank Wall Street Reform and Consumer Protection Act
entitled the Payment, Clearing, and Settlement Supervision Act of 2010
(``Clearing Supervision Act''), specifically with the risk management
objectives and principles of section 802(b)(1), and with certain of the
risk management standards adopted by the Commission pursuant to section
805(a)(2), for the reasons described below.\20\
---------------------------------------------------------------------------

    \20\ 12 U.S.C. 5464(a)(2) and (b)(1).
---------------------------------------------------------------------------

(i) Consistency With Section 805(b)(1) of the Clearing Supervision Act
    Although the Clearing Supervision Act does not specify a standard
of review for an advance notice, its stated purpose is instructive: to
mitigate systemic risk in the financial system and promote financial
stability by, among other things, promoting uniform risk management
standards for systemically important financial market utilities and
strengthening the liquidity of systemically important financial market
utilities.\21\
---------------------------------------------------------------------------

    \21\ 12 U.S.C. 5464(b)(1).
---------------------------------------------------------------------------

    DTC believes the proposal is consistent with section 805(b)(1) of
the Clearing Supervision Act because it would support the mitigation of
systemic risk in the financial system and promote financial stability
in the event of a Participant default by strengthening DTC's liquidity.
The proposed Debt Issuance is designed to reduce DTC's liquidity risks
by providing it with an additional source of liquidity to complete
system-wide settlement in the event of a Participant default. By
supplementing DTC's existing default liquidity resources with prefunded
liquidity, the proposal would contribute to DTC's goal of assuring that
DTC has adequate liquidity resources to meet its settlement obligations
notwithstanding the default of any of its Participants.
    In its critical role as a CSD, DTC provides for both the settlement
of book-entry transfer and pledge of interests in eligible deposited
securities and net funds settlement. In order to sufficiently perform
this role, it is critical that DTC has access to adequate liquidity
resources to enable it to complete system-wide settlement every
business day, including following a Participant default. Therefore, a
reduction in DTC's liquidity risk would reduce systemic risk and would
have a positive impact on the safety and soundness of the wider
financial system.
    As a result, DTC believes the proposed Debt Issuance would be
consistent with the objectives and principles of section 805(b)(1) of
the Clearing Supervision Act, which specify the promotion of robust
risk management, promotion of safety and soundness, reduction of
systemic risks and support of the stability of the broader financial
system by, among other things, strengthening the liquidity of
systemically important financial market utilities, such as DTC.
(ii) Consistency With Rule 17Ad-22(e)(7)(i) and (ii) Under the Act
    Section 805(a)(2) of the Clearing Supervision Act authorizes the
Commission to prescribe risk management standards for the payment,
clearing and settlement activities of designated clearing entities,
like DTC, and financial institutions engaged in designated activities
for which the Commission is the supervisory agency or the appropriate
financial regulator.\22\ The Commission has accordingly adopted risk
management standards under section 805(a)(2) of the Clearing
Supervision Act \23\ and section 17A of the Act (``Covered Clearing
Agency Standards'').\24\ The Covered Clearing Agency Standards require
covered clearing agencies to establish, implement, maintain, and
enforce written policies and procedures that are reasonably designed to
meet certain minimum requirements for their operations and risk
management practices on an ongoing basis.\25\
---------------------------------------------------------------------------

    \22\ 12 U.S.C. 5464(a)(2).
    \23\ Id.
    \24\ 17 CFR 240.17Ad-22(e).
    \25\ Id.
---------------------------------------------------------------------------

    DTC believes that the proposed Debt Issuance is consistent with
Rule 17Ad-22(e)(7)(i) and (ii) of the Covered Clearing Agency Standards
for the reasons described below.\26\
---------------------------------------------------------------------------

    \26\ 17 CFR 240.17Ad-22(e)(7)(i), (ii).
---------------------------------------------------------------------------

    Rule 17Ad-22(e)(7)(i) under the Act requires that DTC establish,
implement, maintain and enforce written policies and procedures
reasonably designed to maintain sufficient liquid resources at the
minimum in all relevant currencies to effect same-day and, where
appropriate, intraday and multiday settlement of payment obligations
with a high degree of confidence under a wide range of foreseeable
stress scenarios that includes, but is not limited to, the default of
the participant family that would generate the largest aggregate
payment obligation for the covered clearing agency in extreme but
plausible market conditions.\27\ Rule

17Ad-22(e)(7)(ii) under the Act requires that DTC establish, implement,
maintain and enforce written policies and procedures reasonably
designed to hold qualifying liquid resources sufficient to meet the
minimum liquidity resource requirement under Rule 17Ad-22(e)(7)(i) in
each relevant currency for which DTC has payment obligations owed to
its Participants.\28\
---------------------------------------------------------------------------

    \27\ 17 CFR 240.17Ad-22(e)(7)(i).
    \28\ 17 CFR 240.17Ad-22(e)(7)(ii). For purposes of this Rule,
``qualifying liquid resources'' are defined in Rule 17Ad-22(a)(14)
as including, in part, cash held either at the central bank of issue
or at creditworthy commercial banks. 17 CFR 240.17Ad-22(a)(14).
---------------------------------------------------------------------------

    As described above, the proposed Debt Issuance would provide DTC
with an additional resource of prefunded default liquidity, which it
would use to complete system-wide settlement every business day,
including following a Participant default. The proceeds of the Debt
Issuance would be cash held by DTC at either its cash deposit account
at the FRBNY or at a creditworthy commercial bank, pursuant to the
Clearing Agency Investment Policy.\29\ Therefore, the proceeds of the
Debt Issuance would be considered a qualifying liquid resource, as
defined by Rule 17Ad-22(a)(14).\30\ As such, the proposed Debt Issuance
would support DTC's ability to hold sufficient qualifying liquid
resources to meet its minimum liquidity resource requirement under Rule
17Ad-22(e)(7)(i).\31\
---------------------------------------------------------------------------

    \29\ Supra note 13.
    \30\ 17 CFR 240.17Ad-22(a)(14).
    \31\ 17 CFR 240.17Ad-22(e)(7)(i).
---------------------------------------------------------------------------

    For these reasons, DTC believes the proposal would support DTC's
compliance with Rule 17Ad-22(e)(7)(i) and (ii) by providing it with an
additional qualifying liquid resource.\32\
---------------------------------------------------------------------------

    \32\ 17 CFR 240.17Ad-22(e)(7)(i), (ii).
---------------------------------------------------------------------------

III. Date of Effectiveness of the Advance Notice, and Timing for
Commission Action

    The proposed change may be implemented if the Commission does not
object to the proposed change within 60 days of the later of (i) the
date that the proposed change was filed with the Commission or (ii) the
date that any additional information requested by the Commission is
received. The clearing agency shall not implement the proposed change
if the Commission has any objection to the proposed change.
    The Commission may extend the period for review by an additional 60
days if the proposed change raises novel or complex issues, subject to
the Commission providing the clearing agency with prompt written notice
of the extension. A proposed change may be implemented in less than 60
days from the date the advance notice is filed, or the date further
information requested by the Commission is received, if the Commission
notifies the clearing agency in writing that it does not object to the
proposed change and authorizes the clearing agency to implement the
proposed change on an earlier date, subject to any conditions imposed
by the Commission.
    The clearing agency shall post notice on its website of proposed
changes that are implemented.

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's internet comment form
    (https://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include
file number SR-DTC-2023-801 on the subject line.

Paper Comments

     Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE, Washington, DC 20549.
All submissions should refer to file number SR-DTC-2023-801. This file
number should be included on the subject line if email is used. To help
the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's internet website (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the Advance Notice that are filed
with the Commission, and all written communications relating to the
Advance Notice between the Commission and any person, other than those
that may be withheld from the public in accordance with the provisions
of 5 U.S.C. 552, will be available for website viewing and printing in
the Commission's Public Reference Room, 100 F Street NE, Washington, DC
20549 on official business days between the hours of 10 a.m. and 3 p.m.
Copies of the filing also will be available for inspection and copying
at the principal office of DTC and on DTCC's website (http://dtcc.com/legal/sec-rule-filings.aspx).
    Do not include personal identifiable information in submissions;
you should submit only information that you wish to make available
publicly. We may redact in part or withhold entirely from publication
submitted material that is obscene or subject to copyright protection.
All submissions should refer to File Number SR-DTC-2023-801 and should
be submitted on or before September 21, 2023.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\33\
---------------------------------------------------------------------------

    \33\ 17 CFR 200.30-3(a)(91).
---------------------------------------------------------------------------

J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2023-18776 Filed 8-30-23; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 79, Number 32 (Tuesday, February 18, 2014)]
[Notices]
[Page 9215]
[FR Doc No: 2014-03350]

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

DEPARTMENT OF HEALTH AND HUMAN SERVICES

Food and Drug Administration

[Docket No. FDA-2010-D-0283]

Agency Information Collection Activities; Announcement of Office
of Management and Budget Approval; Final Guidance for Industry on
Chemistry, Manufacturing, and Controls Postapproval Manufacturing
Changes To Be Documented in Annual Reports

AGENCY: Food and Drug Administration, HHS.

ACTION: Notice.

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

SUMMARY: The Food and Drug Administration (FDA) is announcing that a
collection of information entitled ``Final Guidance for Industry on
Chemistry, Manufacturing, and Controls Postapproval Manufacturing
Changes to be Documented in Annual Reports '' has been approved by the
Office of Management and Budget (OMB) under the Paperwork Reduction Act
of 1995.

FOR FURTHER INFORMATION CONTACT: FDA PRA Staff, Office of Operations,
Food and Drug Administration, 1350 Piccard Dr., PI50-400B, Rockville,
MD 20850<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION: On November 6, 2013; the Agency submitted a
proposed collection of information entitled ``Final Guidance for
Industry on Chemistry, Manufacturing, and Controls Postapproval
Manufacturing Changes to be Documented in Annual Reports'' to OMB for
review and clearance under 44 U.S.C. 3507. An 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 has now approved the information collection and has assigned OMB
control number 0910-0758. The approval expires on January 31, 2017. A
copy of the supporting statement for this information collection is
available on the Internet at http://www.reginfo.gov/public/do/PRAMain.

    Dated: February 10, 2014.
Leslie Kux,
Assistant Commissioner for Policy.
[FR Doc. 2014-03350 Filed 2-14-14; 8:45 am]
BILLING CODE 4160-01-P


[Federal Register: March 25, 2010 (Volume 75, Number 57)]
[Proposed Rules]
[Page 14381-14382]
[DOCID:fr25mr10-17]

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

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 71

[Docket No. FAA-2010-0070; Airspace Docket No. 10-ASO-14]

Amendment of Class E Airspace; Mount Airy, NC

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed rulemaking (NPRM).

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

SUMMARY: This action proposes to amend Class E Airspace at Mount Airy,
NC, to accommodate the additional airspace needed for the Standard
Instrument Approach Procedures (SIAPs) developed for Mount Airy-Surry
County Airport. This action enhances the safety and airspace management
of Instrument Flight Rules (IFR) operations at the airport.

DATES: Comments must be received on or before May 10, 2010.

ADDRESSES: Send comments on this rule to: U.S. Department of
Transportation, Docket Operations, West Building Ground Floor, Room
W12-140, 1200 New Jersey Avenue, SE., Washington, DC 20590-0001;
Telephone: 1-800-647-5527; Fax:<PHONE_NUMBER>. You must identify the
Docket Number FAA-2010-0070; Airspace Docket No. 10-ASO-14, at the
beginning of your comments. You may also submit and review received
comments through the Internet at http://www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Melinda Giddens, Operations Support
Group, Eastern Service Center, Federal Aviation Administration, P.O.
Box 20636, Atlanta, Georgia 30320; telephone<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Comments Invited

    Interested persons are invited to comment on this rule by
submitting such written data, views, or arguments, as they may desire.
Comments that provide the factual basis supporting the views and
suggestions presented are particularly helpful in developing reasoned
regulatory decisions on the proposal. Comments are specifically invited
on the overall regulatory, aeronautical, economic, environmental, and
energy-related aspects of the proposal.
    Communications should identify both docket numbers (FAA Docket No.
FAA-2010-0070; Airspace Docket No. 10-ASO-14) and be submitted in
triplicate to the Docket Management System (see ADDRESSES section for
address and phone number). You may also submit comments through the
Internet at http://www.regulations.gov.
    Comments wishing the FAA to acknowledge receipt of their comments
on this action must submit with those comments a self-addressed stamped
postcard on which the following statement is made: ``Comments to Docket
No. FAA-2010-0070; Airspace Docket No. 10-ASO-14.'' The postcard will
be date/time stamped and returned to the commenter.
    All communications received before the specified closing date for
comments will be considered before taking action on the proposed rule.
The proposal contained in this notice may be changed in light of the
comments received. A report summarizing each substantive public contact
with FAA personnel concerned with this rulemaking will be filed in the
docket.

Availability of NPRMs

    An electronic copy of this document may be downloaded from and
comments submitted through http://www.regulations.gov. Recently
published rulemaking documents can also be accessed through the FAA's
Web page at http://www.faa.gov/airports_airtraffic/air_traffic/
publications/airspace_amendments/.
    You may review the public docket containing the proposal, any
comments received, and any final disposition in person in the Dockets
Office (see the ADDRESSES section for address and phone number) between
9 a.m. and 5 p.m., Monday through Friday, except Federal holidays. An
informal docket may also be examined during normal business hours at
the office of the Eastern Service Center, Federal Aviation
Administration, room 210, 1701 Columbia Avenue, College Park, Georgia
30337.
    Persons interested in being placed on a mailing list for future
NPRM's should contact the FAA's Office of Rulemaking,<PHONE_NUMBER>,
to request a copy of Advisory circular No. 11-2A, Notice of Proposed
Rulemaking distribution System, which describes the application
procedure.

The Proposal

    The FAA is considering an amendment to Title 14, Code of Federal
Regulations (14 CFR) part 71 to amend Class E airspace at Mount Airy,
NC to provide controlled airspace required to support the SIAPs for
Mount Airy-Surry County Airport. The existing Class E airspace
extending upward from 700 feet above the surface would be modified for
the safety and management of IFR operations.
    Class E airspace designations are published in Paragraph 6005 of
FAA order 7400.9T, signed August 27, 2009, and effective September 15,
2009, which is incorporated by reference in 14 CFR 71.1. The Class E
airspace designation listed in this document will be published
subsequently in the Order.
    The FAA has determined that this proposed regulation only involves
an established body of technical regulations for which frequent and
routine amendments are necessary to keep them operationally current.
It, therefore, (1) is not a ``significant regulatory action'' under
Executive Order 12866; (2) is not a ``significant rule'' under DOT
Regulatory Policies and Procedures (44 FR 11034; February 26, 1979);
and (3) does not warrant preparation of a Regulatory Evaluation as the
anticipated impact is so minimal. Since this is a routine matter that
will only affect air traffic procedures and air navigation, it is
certified that this proposed rule, when promulgated, would not have a
significant economic impact on a substantial number of small entities
under the criteria of the Regulatory Flexibility Act.
    The FAA's authority to issue rules regarding aviation safety is
found in Title 49 of the United States Code. 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. This proposed rulemaking is promulgated under the authority
described in Subtitle VII, Part, A, Subpart I, Section 40103. Under
that section, the FAA is charged with prescribing regulations to assign
the use of airspace necessary to ensure the safety of aircraft and the
efficient use of airspace. This proposed regulation is within the scope
of that authority as it would amend Class E airspace at Mount Airy-
Surry County Airport, Mount Airy, NC.

List of Subjects in 14 CFR Part 71

    Airspace, Incorporation by reference, Navigation (Air).

The Proposed Amendment

    In consideration of the foregoing, the Federal Aviation
Administration proposes to amend 14 CFR Part 71 as follows:

PART 71--DESIGNATION OF CLASS A, B, C, D, AND E AIRSPACE AREAS; AIR
TRAFFIC SERVICE ROUTES; AND REPORTING POINTS

    1. The authority citation for Part 71 continues to read as follows:

    Authority: 49 U.S.C. 106(g); 40103, 40113, 40120; E.O. 10854, 24
FR 9565, 3 CFR, 1959-1963 Comp., p. 389.

Sec.  71.1  [Amended]

    2. The incorporation by reference in 14 CFR 71.1 of Federal
Aviation Administration Order 7400.9T, Airspace Designations and
Reporting Points, signed August 27, 2009, effective September 15, 2009,
is amended as follows:

Paragraph 6005 Class E Airspace Areas Extending Upward from 700 feet
or More Above the Surface of the Earth.
* * * * *

ASO NC E5 Mount Airy, NC [Amended]

Mount Airy-Surry County Airport, NC
    (Lat. 36[deg]27'35'' N., long. 80[deg]33'11'' W.)

    That airspace extending upward from 700 feet above the surface
within a 9-mile radius of the Mount Airy-Surry County Airport and
within 3.9 miles each side of the 353[deg] bearing from the airport
extending from the 9-mile radius to 15.3 miles north of the Mount
Airy-Surry County Airport.

    Issued in College Park, Georgia, on March 16, 2010.
Michael Vermuth,
Acting Manager, Operations Support Group, Eastern Service Center, Air
Traffic Organization.
[FR Doc. 2010-6650 Filed 3-24-10; 8:45 am]
BILLING CODE 4910-13-P


----- Forwarded by Greg Nizich/RTP/USEPA/US on 11/09/2007 07:02 AM -----

             "Borrelli,
             Frank"
             <Frank_Borrelli@                                        To
             americanchemistr         Greg Nizich/RTP/USEPA/US@EPA
             y.com>                                                  cc

             11/08/2007 04:35                                   Subject
             PM                       RE: Question About Compounding

Greg, I was traveling this week and wanted to modify the flow sheet to
correctly show the emission points for the PVC process before sending to
you.  I have attached a revised presentation with the corrected flow
sheet slide.  Regarding compounding, that is often the next step
following the manufacturing of PVC resin.  It is a completely different
manufacturing step and is purely the mixing of PVC resin with other
additives; colorants, stabilizers, and other additives.  It is usually
not part of a PVC manufacturing facility but is completed in separate
mixing equipment and mostly carried out in facilities not located where
the PVC is manufactured.  PVC compounding can result in the polymer
being mixed with ingredients that make the polymer useful in rigid
applications like pipe and in flexible application like in the
manufacturing of wire and cable jacketing and insulation materials. Some
other polymers would similarly require mixing of colorants and
stabilizers but may be carried out in different equipment.  I have
attached a paper on PVC pipe manufacturing and the compounding step in
that process. As HAPs are not usually introduced and emitted from these
processes, I am not sure how they fit into the standards.  I would think
that these facilities that involve a specific HAP material would fall
under the regulatory requirements for processing that specific material.
With PVC pipe we did not find any HAPs in the compounding and
manufacturing of the pipe materials.
Regards

From<EMAIL_ADDRESS><EMAIL_ADDRESS>Sent: Monday, November 05, 2007 2:43 PM
To: Borrelli, Frank
Subject: Question About Compounding

Hi Frank,

I'm trying to get a better understanding of how compounding fits in with
the PVC operations.  I know Ken Akins said it was essentially mixing dry
ingredients.  Do you know if this process is also done with other
polymer resins?
I'm thinking that maybe it's already addressed elsewhere under another
standard so it wouldn't even be a concern here.
Also, were you going to send us a copy of the meeting presentation?
Thanks.
Greg.
(See attached file: RVCM 101_EPA_Oct 07_final.ppt)(See attached file: 07
06 08 Emmission Paper.pdf)


[Federal Register Volume 82, Number 183 (Friday, September 22, 2017)]
[Proposed Rules]
[Pages 44357-44359]
[FR Doc No: 2017-19962]

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

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2017-0750; Product Identifier 2017-NE-24-AD]
RIN 2120-AA64

Airworthiness Directives; Rolls-Royce Corporation Turbofan
Engines

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed rulemaking (NPRM).

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

SUMMARY: We propose to adopt a new airworthiness directive (AD) for
certain Rolls-Royce Corporation (RRC) AE 3007A and AE 3007C model
turbofan engines. This proposed AD was prompted by an updated analysis
that lowered the life limit of fan wheels installed on the affected
engines. This proposed AD would require removal of the affected fan
wheel at new, lower life limits. We are proposing this AD to address
the unsafe condition on these products.

DATES: We must receive comments on this proposed AD by November 6,
2017.

ADDRESSES: You may send comments, using the procedures found in 14 CFR
11.43 and 11.45, by any of the following methods:
     Federal eRulemaking Portal: Go to http://www.regulations.gov. Follow the instructions for submitting comments.
     Fax:<PHONE_NUMBER>.
     Mail: U.S. Department of Transportation, Docket
Operations, M-30, West Building Ground Floor, Room

W12-140, 1200 New Jersey Avenue SE., Washington, DC 20590.
     Hand Delivery: Deliver to Mail address above between 9
a.m. and 5 p.m., Monday through Friday, except Federal holidays.
    For service information identified in this NPRM, contact Rolls-
Royce Corporation, 450 South Meridian Street, Mail Code NB-02-05,
Indianapolis, IN 46225; phone:<PHONE_NUMBER>; email:
<EMAIL_ADDRESS>Internet: www.rolls-royce.com. You
may view this service information at the FAA, Engine and Propeller
Standards Branch, 1200 District Avenue, Burlington, MA. For information
on the availability of this material at the FAA, call<PHONE_NUMBER>.

Examining the AD Docket

    You may examine the AD docket on the Internet at http://www.regulations.gov by searching for and locating Docket No. FAA-2017-
0750; 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 NPRM, the regulatory evaluation, any comments received,
and other information. The street address for the Docket Office (phone:
800-647-5527) is in the ADDRESSES section. Comments will be available
in the AD docket shortly after receipt.

FOR FURTHER INFORMATION CONTACT: Kyri Zaroyiannis, Aerospace Engineer,
Chicago ACO Branch, FAA, 2300 E. Devon Ave., Des Plaines, IL 60018;
phone:<PHONE_NUMBER>; fax:<PHONE_NUMBER>; email:
<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

Comments Invited

    We invite you to send any written relevant data, views, or
arguments about this proposal. Send your comments to an address listed
under the ADDRESSES section. Include ``Docket No. FAA-2017-0750;
Product Identifier 2017-NE-24-AD'' at the beginning of your comments.
We specifically invite comments on the overall regulatory, economic,
environmental, and energy aspects of this NPRM. We will consider all
comments received by the closing date and may amend this NPRM 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 NPRM.

Discussion

    We learned from RRC that an updated stress analysis shows higher
stress than previously calculated in the aft retainer flange scallop of
the fan wheel, part number (P/N) 23061670. As a result, RRC reduced the
published life of the affected fan wheel. We are proposing new life
limits to remove this fan wheel from service before exceeding this new
life limit. This condition, if not corrected, could result in failure
of the fan wheel, uncontained release of the fan wheel, damage to the
engine, and damage to the airplane.

Related Service Information Under 1 CFR Part 51

    We reviewed RRC Alert Service Bulletin (ASB) AE 3007A-A-72-424/ASB
AE 3007C-A-72-327 (one document), Revision 1, dated April 20, 2017. The
ASB provides updated life limits for the affected fan wheels. This
service information is reasonably available because the interested
parties have access to it through their normal course of business or by
the means identified in the ADDRESSES section.

FAA's Determination

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

Proposed AD Requirements

    This proposed AD would require replacement of the affected fan
wheels at new, lower life limits.

Costs of Compliance

    We estimate that this proposed AD affects 341 engines installed on
airplanes of U.S. registry.
    We estimate the following costs to comply with this proposed AD:

                                                 Estimated Costs
----------------------------------------------------------------------------------------------------------------
                                                                                Cost per      Cost on U.S.
              Action                      Labor cost             Parts cost           product        operators
----------------------------------------------------------------------------------------------------------------
Replace fan wheel (P/N 23061670)    0 work-hours x $85     $12,357 (pro-rated            $12,357      $4,213,737
 at reduced life.                    per hour = $0.         cost of part).
----------------------------------------------------------------------------------------------------------------

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.
    This AD is issued in accordance with authority delegated by the
Executive Director, Aircraft Certification Service, as authorized by
FAA Order 8000.51C. In accordance with that order, issuance of ADs is
normally a function of the Compliance and Airworthiness Division, but
during this transition period, the Executive Director has delegated the
authority to issue ADs applicable to engines, propellers, and
appliances to the Manager, Engine and Propeller Standards Branch,
Policy and Innovation Division.

Regulatory Findings

    We determined that this proposed AD would not have federalism
implications under Executive Order 13132. This proposed AD would not
have a substantial direct effect on the States, on the relationship
between the national Government and the States, or on the distribution
of power and responsibilities among the various levels of government.
    For the reasons discussed above, I certify this proposed
regulation:
    (1) Is not a ``significant regulatory action'' under Executive
Order 12866,
    (2) Is not a ``significant rule'' under the DOT Regulatory Policies
and Procedures (44 FR 11034, February 26, 1979),

    (3) Will not affect intrastate aviation in Alaska to the extent
that it justifies making a regulatory distinction, and
    (4) Will not have a significant economic impact, positive or
negative, on a substantial number of small entities under the criteria
of the Regulatory Flexibility Act.

List of Subjects in 14 CFR Part 39

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

The Proposed Amendment

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

PART 39--AIRWORTHINESS DIRECTIVES

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

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

Sec.  39.13  [Amended]

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

Roll-Royce Corporation (Type Certificate previously held by Allison
Engine Company): Docket No. FAA-2017-0750; Product Identifier 2017-
NE-24-AD.

(a) Comments Due Date

    We must receive comments by November 6, 2017.

(b) Affected ADs

    None.

(c) Applicability

    This AD applies to Rolls-Royce Corporation (RRC) AE 3007A, AE
3007A1, AE 3007A1/1, AE 3007A1/2, AE 3007A1/3, AE 3007A1P, AE
3007A1E, AE 3007A3, AE 3007C and 3007C1 turbofan engines with a fan
wheel, part number (P/N) 23061670, installed.

(d) Subject

    Joint Aircraft System Component (JASC) Code 7250, Turbine/
turboprop Engine, Turbine Section.

(e) Unsafe Condition

    This AD was prompted by an updated analysis that lowered the
life limit of fan wheels installed on the affected engines. We are
issuing this AD to prevent failure of the fan wheel. The unsafe
condition, if not corrected, could result in failure of the fan
wheel, uncontained release of the fan wheel, damage to the engine,
and damage to the airplane.

(f) Compliance

    Comply with this AD within the compliance times specified,
unless already done.
    (1) For all AE 3007A, AE 3007A1, AE 3007A1/1, AE 3007A1/2, AE
3007A1/3, AE 3007A1P, AE 3007A1E, AE 3007A3, AE 3007C and 3007C1
engines with an installed fan wheel, P/N 23061670, after the
effective date of this AD, remove the affected fan wheel before
exceeding the new life limits identified in Planning Information,
paragraph 1.F., of RRC ASB AE 3007A-A-72-424/ASB AE 3007C-A-72-327
(one document), Revision 1, dated April 20, 2017.
    (2) After the effective date of this AD, do not return to
service any engine with a fan wheel, P/N 23061670, with a fan wheel
life that exceeds the new life limits identified in Planning
Information, paragraph 1.C., of RRC ASB AE 3007A-A-72-424/ASB AE
3007C-A-72-327 (one document), Revision 1, dated April 20, 2017.

(g) Alternative Methods of Compliance (AMOCs)

    (1) The Manager, Chicago ACO Branch, FAA, has the authority to
approve AMOCs for this AD, if requested using the procedures found
in 14 CFR 39.19. In accordance with 14 CFR 39.19, send your request
to your principal inspector or local Flight Standards District
Office, as appropriate. If sending information directly to the
manager of the Chicago ACO Branch, send it to the attention of the
person identified in paragraph (i)(1) of this AD.
    (2) Before using any approved AMOC, notify your appropriate
principal inspector, or lacking a principal inspector, the manager
of the local flight standards district office/certificate holding
district office.

(h) Related Information

    (1) For more information about this AD, contact Kyri
Zaroyiannis, Aerospace Engineer, Chicago ACO Branch, FAA, 2300 E.
Devon Ave., Des Plaines, IL 60018; phone:<PHONE_NUMBER>; fax: 847-
294-7834; email<EMAIL_ADDRESS>    (2) For RRC service information identified in this AD, contact
Rolls-Royce Corporation, 450 South Meridian Street, Mail Code NB-02-
05, Indianapolis, IN 46225; phone:<PHONE_NUMBER>; email:
<EMAIL_ADDRESS>Internet: www.rolls-royce.com.
    (3) You may view this service information at FAA, Engine and
Propeller Standards Branch, 1200 District Avenue, Burlington, MA
01803. For information on the availability of this material at the
FAA, call<PHONE_NUMBER>.

    Issued in Burlington, Massachusetts, on September 13, 2017.
Robert J. Ganley,
Manager, Engine and Propeller Standards Branch, Aircraft Certification
Service.
[FR Doc. 2017-19962 Filed 9-21-17; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 80, Number 41 (Tuesday, March 3, 2015)]
[Rules and Regulations]
[Pages 11321-11323]
[FR Doc No: 2015-04269]

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

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R06-OAR-2014-0871; FRL-9923-80-Region 6]

Approval and Promulgation of Implementation Plans: Texas;
Approval of Substitution for Transportation Control Measures

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule; notice of administrative change.

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

SUMMARY: The Environmental Protection Agency (EPA) is making an
administrative change to update the Code of Federal Regulations (CFR)
to reflect a change made to the Texas State Implementation Plan (SIP)
on November 3, 2014, as a result of EPA's concurrence on a substitute
transportation control measure (TCM) for the Dallas/Ft. Worth (DFW)
portion of the Texas SIP. On November 24, 2014, the State of Texas,
through the Texas Commission on Environmental Quality (TCEQ), submitted
a revision to the Texas SIP

requesting that EPA update its SIP to reflect a substitution of a TCM.
The substitution was made pursuant to the TCM substitution provisions
contained in Clean Air Act (CAA). EPA concurred on this substitution on
November 3, 2014. In this administrative action, EPA is updating the
non-regulatory provisions of the Texas SIP to reflect the substitution.
In summary, the substitution was a replacement of environmental speed
limits (ESLs) within the DFW 8-hour ozone nonattainment area with
traffic signalization projects. EPA has determined that this action
falls under the ``good cause'' exemption in the Administrative
Procedures Act (APA) which, upon finding ``good cause,'' authorizes an
agency to make an action effective immediately, thereby avoiding the
30-day delayed effective date otherwise provided for in the APA.

DATES: This action is effective March 3, 2015.

ADDRESSES: SIP materials which are incorporated by reference into 40
Code of Federal Regulations (CFR) part 52 are available for inspection
at the following location: Environmental Protection Agency, Region 6,
1445 Ross Avenue, Suite 700, Dallas, TX 75202. Publicly available
materials are available either electronically in www.regulations.gov or
in hard copy at the Region 6 office. The Regional Office hours are
Monday through Friday, 8:30 to 4:30, excluding Federal holidays.

FOR FURTHER INFORMATION CONTACT: Mr. Jeffrey Riley at<PHONE_NUMBER> or
via electronic mail at<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION: On November 3, 2014, EPA issued a
concurrence letter to TCEQ stating that the substitution of DFW area
ESL TCMs with traffic signalization project TCMs met the CAA section
176(c)(8) requirements for substituting TCMs in an area's approved SIP.
See also EPA's Guidance for Implementing the CAA section 176(c)(8)
Transportation Control Measure Substitution and Addition Provision
contained in the Safe, Accountable, Flexible, Efficient Transportation
Equity Act: A Legacy for Users which was signed into law on August 10,
2005, dated January 2009. The DFW area ESLs were originally approved
into the SIP as control measures on October 11, 2005 (70 FR 58978). On
January 9, 2014, EPA approved re-categorization of the DFW area ESL
control measures to TCMs, making the measures eligible for substitution
under the provisions of CAA section 176(c)(8) (79 FR 1596).
    As a part of the concurrence process, the public was provided an
opportunity to comment on the proposed TCM substitution. Public notice
and comment was provided by the DFW metropolitan planning organization,
the North Central Texas Council of Governments (NCTCOG), during
Regional Transportation Council meetings held on July 14, 2014 and July
17, 2014. Public notice for these meetings was published in 20 DFW area
newspapers and circulars.
    Through this concurrence process, EPA determined that the
requirements of CAA section 176(c)(8) were met, including the
requirement that the substitute measures achieve equivalent or greater
emission reductions than the control measure to be replaced. Upon EPA's
concurrence, the ESL substitution took effect as a matter of federal
law. A copy of EPA's concurrence letter is included in the Docket for
this action. This letter can be accessed at www.regulations.gov using
Docket ID No. EPA-R06-OAR-2014-0871. In accordance with the
requirements for TCM substitution, on November 24, 2014, TCEQ submitted
a request for EPA to update the DFW portion of the Texas SIP to reflect
EPA's previous approval of the TCM substitution of the ESLs with the
traffic signalization project TCMs in its SIP (the subject of this
administrative change). Today, EPA is taking administrative action to
update the non-regulatory provisions of the Texas SIP in 40 CFR
52.2270(e) to reflect EPA's concurrence on the substitution of a TCM
for the conversion of ESLs to traffic signalization projects:

------------------------------------------------------------------------
                                    Applicable
   Name of nonregulatory SIP      geographic or    State submittal date/
           provision              nonattainment        effective date
                                       area
------------------------------------------------------------------------
DFW nine-county area ESL TCMs   Dallas-Fort Worth              9/16/2010
 to traffic signalization
 TCMs. Affected counties are
 Dallas, Tarrant, Collin,
 Denton, Parker, Johnson,
 Ellis, Kaufman, Rockwall.
------------------------------------------------------------------------

    Under section 553 of the APA, an agency may find good cause where
procedures are ``impractical, unnecessary, or contrary to the public
interest.'' The substitution was made through the process included in
CAA section 176(c)(8). Effective immediately, today's action codifies
provisions which are already in effect. The public had an opportunity
to comment on this substitution during the public comment period prior
to approval of the substitution. Immediate notice of this action in the
Federal Register benefits the public by providing the updated Texas SIP
Compilation and ``Identification of Plan'' portion of the Federal
Register.

Statutory and Executive Order Reviews

A. General Requirements

    Under Executive Order 12866 (58 FR 51735, October 4, 1993), this
administrative action is not a ``significant regulatory action'' and is
therefore not subject to review by the Office of Management and Budget.
This action is not subject to Executive Order 13211, ``Actions
Concerning Regulations That Significantly Affect Energy Supply,
Distribution, or Use'' (66 FR 28355, May 22, 2001) because it is not a
significant regulatory action under Executive Order 12866. Because the
Agency has made a ``good cause'' finding that this action is not
subject to notice-and-comment requirements under the APA or any other
statute as indicated in the Supplementary Information section above, it
is not subject to the regulatory flexibility provisions of the
Regulatory Flexibility Act (5 U.S.C. 601 et seq.), or to sections 202
and 205 of the Unfunded Mandates Reform Act (UMRA) of 1995 (Pub. L.
104-4). In addition, this action does not significantly or uniquely
affect small governments or impose a significant intergovernmental
mandate, as described in sections 203 and 204 of UMRA.
    This administrative action also does not have a substantial direct
effect on one or more Indian tribes, on the relationship between the
federal government and Indian tribes, or on the distribution of power
and responsibilities between the federal government and Indian tribes,
as specified by Executive Order 13175 (65 FR 67249, November 9, 2000),
nor will it have substantial direct effects 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, as specified in Executive Order 13132 (64 FR 43255, August
10, 1999).

    This administrative action also is not subject to Executive Order
13045 (62 FR19885, April 23, 1997), because it is not economically
significant. This administrative action does not involve technical
standards; thus the requirements of section 12(d) of the National
Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 note) do
not apply. The administrative action also does not involve special
consideration of environmental justice related issues as required by
Executive Order 12898 (59 FR 7629, February 16, 1994). This
administrative action does not impose an information collection burden
under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.).

B. Submission to Congress and the Comptroller General

    The Congressional Review Act (CRA) (5 U.S.C. 801 et seq.), as added
by the Small Business Regulatory Enforcement Fairness Act of 1996,
generally provides that before a rule may take effect, the agency
promulgating the rule must submit a rule report, which includes a copy
of the rule, to each House of the Congress and to the Comptroller
General of the United States. Section 808 allows the issuing agency to
make a rule effective sooner than otherwise provided by the CRA if the
agency makes a good cause finding that notice and public procedure is
impracticable, unnecessary or contrary to the public interest. Today's
administrative action simply codifies a provision which is already in
effect as a matter of law in Federal and approved state programs. 5
U.S.C. 808(2). These announced actions were effective upon EPA's
concurrence. EPA will submit a report containing this action and other
required information to the U.S. Senate, the U.S. House of
Representatives, and the Comptroller General of the United States prior
to publication of this action in the Federal Register. This update to
Texas' SIP Compilation is not a ``major rule'' as defined by 5 U.S.C.
804(2).

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by
reference, Nitrogen dioxide, Ozone, Volatile organic compounds.

    Dated: February 19, 2015.
Ron Curry,
Regional Administrator, Region 6.

    40 CFR part 52 is amended as follows:

PART 52--[AMENDED]

0
1. The authority citation for part 52 continues to read as follows:

    Authority:  42 U.S.C. 7401 et seq.

Subpart SS--Texas

0
2. In Sec.  52.2270(e), the table titled ``EPA Approved Nonregulatory
Provisions and Quasi-Regulatory Measures in the Texas SIP'' is amended
by adding an entry at the end for ``DFW nine-county area ESL TCM to
traffic signalization TCMs''.
    The addition reads as follows:

Sec.  52.2270  Identification of plan.

* * * * *
    (e) * * *

                                  EPA-Approved Nonregulatory Provisions and Quasi-Regulatory Measures in the Texas SIP
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                        State
         Name of SIP provision           Applicable geographic or    submittal/                 EPA approval date                       Comments
                                            nonattainment area     effective date
--------------------------------------------------------------------------------------------------------------------------------------------------------

                                                                      * * * * * * *
DFW nine-county area ESL TCM to         Dallas-Fort Worth:              9/16/2010  1/9/2014, 79 FR 1596.......................  DFW ESLs recategorized
 traffic signalization TCMs.             Dallas, Tarrant, Collin,                                                                as TCM 1/9/2014,
                                         Denton, Parker, Johnson,                                                                substituted withtraffic
                                         Ellis, Kaufman and                                                                      signalization TCMs 11/3/
                                         Rockwall Counties.                                                                      2014.
--------------------------------------------------------------------------------------------------------------------------------------------------------

[FR Doc. 2015-04269 Filed 3-2-15; 8:45 am]
BILLING CODE 6560-50-P