[Federal Register Volume 86, Number 53 (Monday, March 22, 2021)]
[Notices]
[Pages 15277-15279]
[FR Doc No: 2021-05821]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-91334; File No. SR-BX-2021-005]

Self-Regulatory Organizations; Nasdaq BX, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Amend Rule 4703
Regarding Reserve Orders

March 16, 2021.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on March 4, 2021, Nasdaq BX, Inc. (``BX'' or ``Exchange'') filed with
the Securities and Exchange Commission (``Commission'') the proposed
rule change as described in Items I and II below, which Items have been
prepared by the Exchange. The Commission is publishing this notice to
solicit comments on the proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The Exchange proposes to amend Rule 4703, as described further
below. The text of the proposed rule change is available on the
Exchange's website at https://listingcenter.nasdaq.com/rulebook/bx/rules, at the principal office of the Exchange, and at the Commission's
Public Reference Room.

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

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

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

1. Purpose
    The Exchange proposes to amend Rule 4703(h), which describes Orders
with ``Reserve Size,'' \3\ to clarify its existing practice relating to
replenishments of such Orders. As set forth in Rule 4703(h), ``Reserve
Size'' is an Order Attribute that permits a Participant to stipulate
that an Order Type that is Displayed may have its displayed size
replenished from additional non-displayed size.\4\
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    \3\ Securities Exchange Act Release No. 34-79290 (November 10,
2016), 81 FR 81184 (November 17, 2016) (SR-BX-2016-046).
    \4\ An Order with Reserve Size may be referred to as a ``Reserve
Order.''
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    The Exchange established the Reserve Orders with the intention that
it would always act as a provider of liquidity upon replenishment.
Indeed, this is what participants have come to expect from the
operation of Reserve Orders.
    In late 2016, however, a rule filing introduced a rare circumstance
where a Reserve Order, upon replenishment of its Displayed Order
component, theoretically could become a liquidity remover under the
existing Exchange Rules. Based upon the taker-maker model of the
Exchange, this rare circumstances only occurs in securities priced less
than $1.
    An example of the rare theoretical circumstance is as follows.
Order 1 is a Price to Comply Order to buy at $0.95 resting on the
Exchange book with 100 shares displayed and 3,000 shares in reserve
(for a total order size of 3,100 shares). Order 2 is an Order to sell
100 shares at $0.95, which executes against the 100 displayed shares
from Order 1 upon entry. Order 3 is a Post Only order to sell 1,000
shares at $0.95 that is

entered and posts to the Book before Order 1 has been replenished.
Following the rules of the Post Only Order Type, Order 3 does not
execute against the non-displayed interest resting at $0.95, but
instead posts at the locking price. Therefore, upon replenishment, the
new 100 shares of Order 1 would lock Order 3 at $0.95. As directed by
the rule governing Price to Comply Orders,\5\ Order 1 would execute
against Order 3 at $0.95 as a liquidity taker.
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    \5\ Pursuant to Rule 4702(b)(1)(A), a ``Price to Comply Order''
is an Order Type designed to comply with Rule 610(d) under
Regulation NMS by avoiding the display of quotations that lock or
cross any Protected Quotation in a System Security during Market
Hours. The Price to Comply Order is also designed to provide
potential price improvement. When a Price to Comply Order is
entered, the Price to Comply Order will be executed against
previously posted Orders on the Exchange Book that are priced equal
to or better than the price of the Price to Comply Order, up to the
full amount of such previously posted Orders, unless such executions
would trade through a Protected Quotation.
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    The Exchange did not account for this scenario when drafting its
rules. In fact, the Exchange does not presently handle this scenario as
described above. Instead, upon replenishment, the Exchange reprices the
new displayed Price to Comply Order such that it does not execute
against Order 3 as a liquidity taker.
    However, the Exchange now proposes to eliminate any unintended
inconsistency as to how it handles this scenario and make clear in its
Rules that a Reserve Order is an adder of liquidity after posting on
the Exchange Book in all circumstances. Specifically, the Exchange
proposes to amend the Rule to state that if the new Displayed Order
would lock an Order that posted to the Exchange Book before
replenishment can occur, the Displayed Order will post at the locking
price if the resting Order is Non-Display or will be repriced, ranked,
and displayed at one minimum price increment lower (higher) than the
locking price if the resting order to sell (buy) is
Displayed.6 7
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    \6\ The Exchange notes that a Reserve Order that does not
execute fully upon initial order entry will behave in the same
manner as described in this Proposal if the Displayed portion of the
Reserve Order would lock a resting Order upon entry.
    \7\ If a Displayed Order posts to the Exchange Book and locks a
resting Non-Displayed Order with the Trade Now attribute enabled,
then consistent with the definition of Trade Now, as set forth in
Rule 4703(l), the Trade Now functionality would apply and the Non-
Displayed Order would be able to execute against the locking
Displayed Order as a liquidity taker. If a locked Non-Displayed
Order does not have the Trade Now attribute enabled, then new
incoming orders will be eligible to execute against the Displayed
Order.
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    Again, in the above example, the proposed rule will prevent Order 1
from becoming a liquidity remover because upon replenishment, the new
Displayed Order will not attempt to execute against Order 3, but
instead it will post to the Exchange Book and display at a price of
$0.9499, while the remaining 2,900 non-display shares in reserve will
remain posted at $0.95.
    By posting new Displayed Orders without attempting to execute, the
Displayed Order will avoid removing liquidity upon replenishment.\8\
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    \8\ The Exchange proposes to correct a non-substantive
typographical error in the existing rule text by removing the word
``the'' from the following sentence: ``For example, if a Price to
Comply Order with Reserve Size . . . and the 150 shares . . . .''
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    The Exchange notes that the Commission has approved a similar rule
change that its sister exchange, the Nasdaq Stock Market, LLC
(``Nasdaq''), submitted late last year.\9\ The Exchange's proposal will
harmonize the Exchange's Reserve Order Attribute rule with that of
Nasdaq, except that the circumstance that the Exchange's proposal is
designed to address applies only to securities priced less than $1.
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    \9\ See Securities Exchange Act Release No. 34-91109 (February
11, 2021), 86 FR 10141 (February 18, 2021) (SR-NASDAQ-2020-090).
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2. Statutory Basis
    The Exchange believes that its proposal is consistent with Section
6(b) of the Act,\10\ in general, and furthers the objectives of Section
6(b)(5) of the Act,\11\ in particular, in that it is designed to
promote just and equitable principles of trade, to remove impediments
to and perfect the mechanism of a free and open market and a national
market system, and, in general to protect investors and the public
interest.
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    \10\ 15 U.S.C. 78f(b).
    \11\ 15 U.S.C. 78f(b)(5).
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    The proposed rule change is consistent with the Act because it will
help ensure that the Exchange's Rule governing Reserve Orders will be
consistent with the original intention of the Exchange and the
expectation of participants that such Orders, after posting on the
Exchange Book, will always be liquidity providers and not liquidity
takers. It would also ensure that the Exchange's Order Types operate
the same way during a race condition as they do during normal
conditions. The proposal would eliminate any ambiguity under the
existing rules as to whether a Reserve Order would take liquidity when
a locking order posts to the Exchange book prior to the Reserve Order
completing its replenishment (or prior to the Displayed portion of a
Reserve Order posting to the Exchange Book for the first time). Thus,
the proposal would ensure that the Exchange's Rules are transparent and
clear about how the System processes Reserve Orders.
    Finally, the proposal is consistent with the Act because it would
correct a non-substantive typographical error in the Rule text, which
will improve its readability and clarity, to the benefit of the public
and investors.

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

    The Exchange does not believe that the proposed rule change will
impose any burden on competition not necessary or appropriate in
furtherance of the purposes of the Act. Again, Exchange intends for the
proposed rule change to only eliminate an inconsistency as to how it
handles a rare circumstance that causes the System to process Reserve
Orders in an unintended manner. The Exchange does not anticipate this
proposal will have any impact on competition whatsoever.

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

    No written comments were either solicited or received.

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

    Because the foregoing proposed rule change does not: (i)
Significantly affect the protection of investors or the public
interest; (ii) impose any significant burden on competition; and (iii)
become operative for 30 days from the date on which it was filed, or
such shorter time as the Commission may designate, it has become
effective pursuant to Section 19(b)(3)(A) of the Act \12\ and Rule 19b-
4(f)(6) thereunder.\13\
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    \12\ 15 U.S.C. 78s(b)(3)(A).
    \13\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii)
requires a self-regulatory organization to give the Commission
written notice of its intent to file the proposed rule change, along
with a brief description and text of the proposed rule change, at
least five business days prior to the date of filing of the proposed
rule change, or such shorter time as designated by the Commission.
The Exchange has satisfied this requirement.
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    A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the
Act \14\ normally does not become operative for 30 days after the date
of its filing. However, Rule 19b-4(f)(6)(iii) \15\ permits the
Commission to designate a shorter time if such action is consistent
with the protection of investors and the public interest. The Exchange
has requested that the Commission waive the 30-day operative delay.
Waiver of the operative delay would allow the

Exchange to immediately amend its Reserve Order rule to account for
scenarios that may occur today and harmonize its Reserve Order rule
with that of Nasdaq.\16\ The Commission believes that waiver of the 30-
day operative delay is consistent with the protection of investors and
the public interest. Accordingly, the Commission hereby waives the
operative delay and designates the proposed rule change operative upon
filing.\17\
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    \14\ 17 CFR 240.19b-4(f)(6).
    \15\ 17 CFR 240.19b-4(f)(6)(iii).
    \16\ See supra note 9. According to the Exchange, given its
taker-maker model, the circumstance that the proposal is designed to
address applies only to securities priced less than $1.
    \17\ For purposes only of waiving the 30-day operative delay,
the Commission also has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
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    At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act. If the Commission
takes such action, the Commission shall institute proceedings to
determine whether the proposed rule change should be approved or
disapproved.

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to<EMAIL_ADDRESS>Please include
File Number SR-BX-2021-005 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-BX-2021-005. 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 (http://www.sec.gov/rules/sro.shtml).
Copies of the submission, all subsequent amendments, all written
statements with respect to the proposed rule change that are filed with
the Commission, and all written communications relating to the proposed
rule change between the Commission and any person, other than those
that may be withheld from the public in accordance with the provisions
of 5 U.S.C. 552, will be available for 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 10:00 a.m. and
3:00 p.m. Copies of the filing also will be available for inspection
and copying at the principal office of the Exchange. All comments
received will be posted without change. Persons submitting comments are
cautioned that we do not redact or edit personal identifying
information from comment submissions. You should submit only
information that you wish to make available publicly. All submissions
should refer to File Number SR-BX-2021-005 and should be submitted on
or before April 12, 2021.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\18\
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    \18\ 17 CFR 200.30-3(a)(12).
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J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021-05821 Filed 3-19-21; 8:45 am]
BILLING CODE 8011-01-P


NHTSA will reduce any fines owed, or repay fines to the extent that
credits received reduce the non-compliance.
    (e) No credits from any source will be accepted in lieu of
compliance after three model years after the non-compliance.
    (f) If a manufacturer is unable to comply in any compliance
category in any model year, NHTSA will automatically deduct and
extinguish any eligible credits subsequently held, earned, or acquired
to reduce the oldest instance of non-compliance before allowing credits
to accumulate or applying credits to achieve compliance in later years.
    (g) A carryback plan may not include the use of credits earned
before model year 2011 that have been subsequently traded or
transferred to another party.

Sec.  536.8  Conditions for trading of credits.

    (a) Trading of credits. If a credit holder wishes to trade credits
to another party, the current credit holder and the receiving party
must jointly issue an instruction to NHTSA, identifying the quantity,
vintage, compliance category, and originator of the credits to be
traded. If the recipient is not a current account holder, the recipient
must provide sufficient information for NHTSA to establish an account
for the recipient. Once an account has been established or identified
for the recipient, NHTSA completes the trade by debiting the
transferor's account and crediting the recipient's account. NHTSA will
track the quantity, vintage, compliance category, and originator of all
credits held or traded by all account-holders.
    (b) Trading between and within compliance categories. For credits
earned in model year 2011 or thereafter, and used to satisfy compliance
obligations for model year 2011 or thereafter:
    (1) Manufacturers may use credits originally earned by another
manufacturer in a particular compliance category to satisfy compliance
obligations within the same compliance category.
    (2) Once a manufacturer acquires by trade credits originally earned
by another manufacturer in a particular compliance category, the
manufacturer may transfer the credits to satisfy its compliance
obligations in a different compliance category, but only to the extent
that the CAFE increase attributable to the transferred credits does not
exceed the limits in 49 U.S.C. 32903(g)(3). For any compliance
category, the sum of a manufacturer's transferred credits earned by
that manufacturer and transferred credits obtained by that manufacturer
through trade must not exceed that limit.
    (c) Changes in corporate ownership and control. Manufacturers must
inform NHTSA of corporate relationship changes to ensure that credit
accounts are identified correctly and credits are assigned and
allocated properly.
    (1) In general, if two manufacturers merge in any way, they must
inform NHTSA how they plan to merge their credit accounts. NHTSA will
subsequently assess corporate fuel economy and compliance status of the
merged fleet instead of the original separate fleets.
    (2) If a manufacturer divides or divests itself of a portion of its
automobile manufacturing business, it must inform NHTSA how it plans to
divide the manufacturer's credit holdings into two or more accounts.
NHTSA will subsequently distribute holdings as directed by the
manufacturer, subject to provision for reasonably anticipated
compliance obligations.
    (3) If a manufacturer is a successor to another manufacturer's
business, it must inform NHTSA how it plans to allocate credits and
resolve liabilities per 49 CFR part 534, Rights and Responsibilities of
Manufacturers in the Context of Corporate Relationships.
    (d) No short or forward sales. NHTSA will not honor any
instructions to trade or transfer more credits than are currently held
in any account. NHTSA will not honor instructions to trade or transfer
credits from any future vintage (i.e., credits not yet earned). NHTSA
will not participate in or facilitate contingent trades.
    (e) Cancellation of credits. A credit holder may instruct NHTSA to
cancel its currently held credits, specifying the originating
manufacturer, vintage, and compliance category of the credits to be
cancelled. These credits will be permanently null and void; NHTSA will
remove the specific credits from the credit holder's account, and will
not reissue them to any other party.
    (f) Errors or fraud in earning credits. If NHTSA determines that a
manufacturer has been credited, through error or fraud, with earning
credits, NHTSA will cancel those credits if possible. If the
manufacturer credited with having earned those credits has already
traded them when the error or

fraud is discovered, NHTSA will hold the receiving manufacturer
responsible for returning the same or equivalent credits to NHTSA for
cancellation.
    (g) Error or fraud in trading. In general, all trades are final and
irrevocable once executed, and may only be reversed by a new, mutually-
agreed transaction. If NHTSA executes an erroneous instruction to trade
credits from one holder to another through error or fraud, NHTSA will
reverse the transaction if possible. If those credits have been traded
away, the recipient holder is responsible for obtaining the same or
equivalent credits for return to the previous holder.

Sec.  536.9  Use of credits with regard to the domestically
manufactured passenger automobile minimum standard.

    (a) Transferred or traded credits may not be used, pursuant to 49
U.S.C. 32903(g)(4), to meet the domestically manufactured passenger
automobile minimum standard specified in 49 U.S.C. 32902(b)(4).
    (b) Each manufacturer is responsible for compliance with both the
minimum standard and the attribute-based standard.
    (c) If a manufacturer's average fuel economy level for domestically
manufactured passenger automobiles is lower than the attribute-based
standard, but higher than the minimum standard, then the manufacturer
may achieve compliance with the attribute-based standard by applying
credits.
    (d) If a manufacturer's average fuel economy level for domestically
manufactured passenger automobiles is lower than both the attribute-
based standard and the minimum standard, then the difference between
the attribute-based standard and the minimum standard may be relieved
by the use of credits, but the difference between the minimum standard
and the manufacturer's actual fuel economy level may not be relieved by
credits and will be subject to penalties.

Sec.  536.10  Treatment of dual-fuel and alternative fuel vehicles--
consistency with 49 CFR Part 538.

    (a) Statutory alternative fuel and dual-fuel vehicle calculations
are treated as a change in the underlying fuel economy of the vehicle
for purposes of this regulation, not as a credit that may be
transferred or traded. Improvements in alternative fuel or dual fuel
vehicle fuel economy as calculated pursuant to 49 U.S.C. 32905 and
limited by 49 U.S.C. 32906 are therefore attributable only to the
particular compliance category and model year to which the alternative
or dual-fuel vehicle belongs.
    (b) If a manufacturer's calculated fuel economy for a particular
compliance category, including any required calculations for
alternative fuel and dual fuel vehicles, is higher or lower than the
applicable fuel economy standard, manufacturers will earn credits or
must apply credits or pay fines equal to the difference between the
calculated fuel economy level in that compliance category and the
applicable standard. Credits earned are the same as any other credits,
and may be held, transferred, or traded by the manufacturer subject to
the limitations of the statute and this regulation.
    (c) If a manufacturer builds enough alternative fuel or dual fuel
vehicles to improve the calculated fuel economy in a particular
compliance category by more than the limits set forth in 49 U.S.C.
32906(a), the improvement in fuel economy for compliance purposes is
restricted to the statutory limit. Manufacturers may not earn credits
nor reduce the application of credits or fines for calculated
improvements in fuel economy based on alternative or dual fuel vehicles
beyond the statutory limit.

PART 537--AUTOMOTIVE FUEL ECONOMY REPORTS

    16. The authority citation for part 537 continues to read as
follows:

    Authority: 49 U.S.C. 32907, delegation of authority at 49 CFR
1.50.

    17. Amend Sec.  537.7 by revising paragraphs (b) and (c)(4)(xvi)(A)
to read as follows:

Sec.  537.7  Pre-model year and mid-model year reports.

* * * * *
    (b) Projected average and target fuel economy. (1) State the
projected average fuel economy for the manufacturer's automobiles
determined in accordance with Sec.  537.9 and based upon the fuel
economy values and projected sales figures provided under paragraph
(c)(2) of this section.
    (2) State the projected final average fuel economy that the
manufacturer anticipates having if changes implemented during the model
year will cause that average to be different from the average fuel
economy projected under paragraph (b)(1) of this section.
    (3) State the projected target fuel economy for the manufacturer's
passenger automobiles and light trucks determined in accordance with 49
CFR 531.5(c) and 49 CFR 533.5(h) and based upon the projected sales
figures provided under paragraph (c)(2) of this section.
    (4) State the projected final target fuel economy that the
manufacturer anticipates having if changes implemented during the model
year will cause the targets to be different from the target fuel
economy projected under paragraph (b)(3) of this section.
    (5) State whether the manufacturer believes that the projections it
provides under paragraphs (b)(2) and (b)(4) of this section, or if it
does not provide an average or target under those paragraphs, the
projections it provides under paragraphs (b)(1) and (b)(3) of this
section, sufficiently represent the manufacturer's average and target
fuel economy for the current model year for purposes of the Act. In the
case of a manufacturer that believes that the projections are not
sufficiently representative for those purposes, state the specific
nature of any reason for the insufficiency and the specific additional
testing or derivation of fuel economy values by analytical methods
believed by the manufacturer necessary to eliminate the insufficiency
and any plans of the manufacturer to undertake that testing or
derivation voluntarily and submit the resulting data to the
Environmental Protection Agency under 40 CFR 600.509.
* * * * *
    (c) * * *
    (4) * * *
    (xvi)(A) In the case of passenger automobiles:
    (1) Interior volume index, determined in accordance with subpart D
of 40 CFR part 600,
    (2) Body style,
    (3) Beginning model year 2010, track width as defined in 49 CFR
523.2,
    (4) Beginning model year 2010, wheelbase as defined in 49 CFR
523.2, and
    (5) Beginning model year 2010, footprint as defined in 49 CFR
523.2.
* * * * *

    Issued: April 22, 2008.
Nicole R. Nason,
Administrator.
[FR Doc. 08-1186 Filed 4-23-08; 9:16 am]

BILLING CODE 4910-59-P


[Federal Register Volume 85, Number 198 (Tuesday, October 13, 2020)]
[Proposed Rules]
[Pages 64424-64425]
[FR Doc No: 2020-22566]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 71

[Docket No. FAA-2018-1001; Airspace Docket No. 18-AWP-24]
RIN 2120-AA66

Proposed Revocation of Class E Airspace; Fresno, CA

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: This action proposes to remove the Class E airspace extending
upward from the surface designated as an extension to a Class C surface
area at Fresno Yosemite International Airport, Fresno, CA, as it is no
longer needed. This action would support the operation of Instrument
Flight Rules (IFR) under standard instrument approach and departure
procedures in the National Airspace System.

DATES: Comments must be received on or before November 27, 2020.

ADDRESSES: Send comments on this proposal to the U.S. Department of
Transportation, Docket Operations, 1200 New Jersey Avenue SE, West
Building Ground Floor, Room W12-140, Washington, DC 20590; telephone:
1-800-647-5527, or<PHONE_NUMBER>. You must identify FAA Docket No.
FAA-2018-1001; Airspace Docket No. 18-AWP-24, at the beginning of your
comments. You may also submit comments through the internet at https://www.regulations.gov.
    FAA Order 7400.11E, Airspace Designations and Reporting Points, and
subsequent amendments can be viewed online at https://www.faa.gov/air_traffic/publications/. For further information, you can contact the
Airspace Policy Group, Federal Aviation Administration, 800
Independence Avenue SW, Washington, DC 20591; telephone: (202) 267-
8783. The Order is also available for inspection at the National
Archives and Records Administration (NARA). For information on the
availability of FAA Order 7400.11E at NARA, email<EMAIL_ADDRESS>or go to https://www.archives.gov/federal-register/cfr/ibr-locations.html.
    FAA Order 7400.11, Airspace Designations and Reporting Points, is
published yearly and effective on September 15.

FOR FURTHER INFORMATION CONTACT: Richard Roberts, Federal Aviation
Administration, Western Service Center, Operations Support Group, 2200
S 216th Street, Des Moines, WA 98198; telephone<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Authority for This Rulemaking

    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 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 regulation is within the scope of that authority
as it would remove Class E airspace extending upward from the surface
designated as an extension to a Class C surface area for the Fresno
Yosemite International Airport, Fresno, CA, to support IFR operations
in standard instrument approach and departure procedures at this
airport.

Comments Invited

    Interested parties are invited to participate in this proposed
rulemaking 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 and be submitted in
triplicate to the address listed above. Persons wishing the FAA to
acknowledge receipt of their comments on this notice must submit with
those comments a self-addressed, stamped postcard on which the
following statement is made: ``Comments to Docket No. FAA-2018-1001;
Airspace Docket No. 18-AWP-24''. 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 through the
internet at https://www.regulations.gov. Recently published rulemaking
documents can also be accessed through the FAA's web page at https://www.faa.gov/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 the address and phone number)
between 9:00 a.m. and 5:00 p.m., Monday through Friday, except federal
holidays. An informal docket may also be examined during normal
business hours at the Northwest Mountain Regional Office of the Federal
Aviation Administration, Air Traffic Organization, Western Service
Center, Operations Support Group, 2200 S 216th Street, Des Moines, WA
98198.

Availability and Summary of Documents for Incorporation by Reference

    This document proposes to amend FAA Order 7400.11E, Airspace
Designations and Reporting Points, dated July 21, 2020, and effective
September 15, 2020. FAA Order 7400.11E is publicly available as listed
in the ADDRESSES section of this document. FAA Order 7400.11E lists
Class A, B, C, D, and E airspace areas, air traffic service routes, and
reporting points.

The Proposal

    The FAA is proposing an amendment to Title 14 Code of Federal
Regulations (14 CFR) part 71 by removing the Fresno Yosemite
International Airport Class E3 airspace extending upward from the
surface of the earth. The Clovis VORTAC was decommissioned and requires
the legal descriptions in FAA Order 7400.11E be rewritten to eliminate
reference to this navigational aid. In addition, during review of the
Class E airspace extending upward from the surface as an extension to
the Class C surface area, it was identified that the airspace is no
longer needed to support approaches into the airport. This action would
support the operation of Instrument Flight Rules (IFR) under standard
instrument approach and departure procedures in the National Airspace
System.
    Class E airspace designations are published in paragraph 6003 of
FAA Order 7400.11E, dated July 21, 2020, and effective September 15,
2020, which is incorporated by reference in 14 CFR 71.1. The Class E
airspace designations listed in this document will be published
subsequently in the Order.

Regulatory Notices and Analyses

    The FAA has determined that this regulation only involves an
established body of technical regulations for which frequent and
routine amendments are necessary to keep them operationally current, is
non-controversial and unlikely to result in adverse or negative
comments. 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 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.

Environmental Review

    This proposal will be subject to an environmental analysis in
accordance with FAA Order 1050.1F, ``Environmental Impacts: Policies
and Procedures'' prior to any FAA final regulatory action.

List of Subjects in 14 CFR Part 71

    Airspace, Incorporation by reference, Navigation (air).

The Proposed Amendment

    Accordingly, pursuant to the authority delegated to me, 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

0
1. The authority citation for 14 CFR part 71 continues to read as
follows:

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

Sec.  71.1   [Amended]

0
2. The incorporation by reference in 14 CFR 71.1 of FAA Order 7400.11E,
Airspace Designations and Reporting Points, dated July 21, 2020, and
effective September 15, 2020, is amended as follows:

6003. Class E Airspace Areas Designated as an Extension.

    The Class E airspace areas listed below consist of airspace
extending upward from the surface designated as an extension to a
Class C surface area.
* * * * *

AWP CA E3 Fresno, CA [Remove]

Fresno Air Terminal, CA
    (Lat. 36[deg]46'34'' N, long. 119[deg]43'06'' W)
Clovis VORTAC
    (Lat. 36[deg]53'04'' N, long. 119[deg]48'55'' W)

    Issued in Seattle, Washington, on October 6, 2020.
Byron Chew,
Acting Manager, Operations Support Group, Western Service Center.
[FR Doc. 2020-22566 Filed 10-9-20; 8:45 am]
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