[Federal Register: July 8, 2010 (Volume 75, Number 130)]
[Proposed Rules]
[Page 39192-39196]
[DOCID:fr08jy10-27]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2010-0564; Directorate Identifier 2010-SW-13-AD]
RIN 2120-AA64

Airworthiness Directives; Arrow Falcon Exporters, Inc.
(Previously Utah State University), et al., Model HH-1K, TH-1F, TH-1L,
UH-1A, UH-1B, UH-1E, UH-1F, UH-1H, UH-1L, and UH-1P Helicopters; and
Southwest Florida Aviation Model UH-1B (SW204 and SW204HP) and UH-1H
(SW205) Helicopters

AGENCY: Federal Aviation Administration, DOT.

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: This document proposes adopting a new airworthiness directive
(AD) for the specified type-certificated military surplus helicopters.
The AD would require: Creating a component history card or equivalent
record for each main rotor grip (grip); determining and recording the
total hours time-in-service (TIS) for each grip; visually inspecting
the upper and lower tangs of the grip for a crack; inspecting the grip
buffer pads for delamination and if delamination is present, inspecting
the grip surface for corrosion or other damage; inspecting the grip for
a crack using ultrasonic (UT) and fluorescent-penetrant inspection
methods; and establishing a retirement life for certain grips. This
proposal is prompted by three in-flight failures of grips installed on
Bell Helicopter Textron, Inc. (BHTI) Model 212 helicopters, which
resulted from cracks originating in the lower main rotor blade bolt
lug. The actions specified by the proposed AD are intended to prevent
failure of the grip, separation of a main rotor blade, and subsequent
loss of control of the helicopter.

DATES: Comments must be received on or before September 7, 2010.

ADDRESSES: Use one of the following addresses to submit comments on
this proposed AD:
     Federal eRulemaking Portal: Go to http://
www.regulations.gov. Follow the instructions for submitting comments.
     Fax:<PHONE_NUMBER>.
     Mail: U.S. Department of Transportation, Docket
Operations, M-30, West Building Ground Floor, Room W12-140, 1200 New
Jersey Avenue, SE., Washington, DC 20590.
     Hand Delivery: U.S. Department of Transportation, Docket
Operations, M-30, West Building Ground Floor, Room W12-140, 1200 New
Jersey Avenue, SE., Washington, DC 20590, between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays.
    You may get the service information identified in this proposed AD
from Bell Helicopter Textron, Inc., P.O. Box 482, Fort Worth, TX 76101,
telephone<PHONE_NUMBER>, fax<PHONE_NUMBER>, or at http://
www.bellcustomer.com/files/.
    You may examine the comments to this proposed AD in the AD docket
on the Internet at http://www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: DOT/FAA Southwest Region, Michael
Kohner, ASW-170, Aviation Safety Engineer, Rotorcraft Directorate,
Rotorcraft Certification Office, 2601 Meacham Blvd., Fort Worth, Texas
76137, telephone<PHONE_NUMBER>, fax<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Comments Invited

    We invite you to submit any written data, views, or arguments
regarding this proposed AD. Send your comments to the address listed
under the caption ADDRESSES. Include the docket number ``FAA-2010-0564,
Directorate Identifier 2010-SW-13-AD'' at the beginning of your
comments. We specifically invite comments on the overall regulatory,
economic, environmental, and energy aspects of the proposed AD. We will
consider all comments received by the closing date and may amend the
proposed AD in light 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
with FAA personnel concerning this proposed rulemaking. Using the
search function of our docket Web site, you can find and read the
comments to any of our dockets, including the name of the individual
who sent or signed the comment. You may review the DOT's complete
Privacy Act Statement in the Federal Register published on April 11,
2000 (65 FR 19477-78).

Examining the Docket

    You may examine the docket that contains the proposed AD, any
comments, and other information in person at the Docket Operations
office between 9 a.m. and 5 p.m., Monday through Friday, except Federal
holidays. The Docket Operations office (telephone

(800) 647-5527) is located in Room W12-140 on the ground floor of the
West Building at the street address stated in the ADDRESSES section.
Comments will be available in the AD docket shortly after receipt.

Discussion

    This document proposes adopting a new AD for Model HH-1K, TH-1F,
TH-1L, UH-1A, UH-1B, UH-1E, UH-1F, UH-1H, UH-1L, and UH-1P helicopters;
and Southwest Florida Aviation Model UH-1B (SW204 and SW204HP) and UH-
1H (SW205) helicopters. The AD would require creating a component
history card or equivalent record for each grip; determining and
recording the total hours TIS for each grip; visually inspecting the
upper and lower tangs of the grip for a crack; inspecting the grip
buffer pads for delamination, and if delamination is present,
inspecting the grip surface for corrosion or other damage; inspecting
the grip for a crack using UT and fluorescent-penetrant inspection
methods; and establishing a retirement life for grips, part number (P/
N) 204-011-121-009, ASI-4011-121-9, and P/N 204-011-121-121. This
proposal is prompted by three in-flight failures of grips, P/N 204-011-
121-009 and -121, installed on BHTI Model 212 helicopters, which
resulted from cracks originating in the lower main rotor blade bolt
lug. Grips with these same P/Ns, and those produced under an FAA Parts
Manufacturing Approval (PMA) that have a design approval based on their
being identical to the original BHTI-manufactured grips, are eligible
for installation on certain modified Model HH-1K, TH-1F, TH-1L, and UH-
1 helicopters. These helicopters have an FAA-approved modification
which increases their power rating to the equivalent of the twin-engine
Model 212 helicopter power rating. Grips, P/N 204-011-121-005, and -
113, are also affected by the proposed AD if they were ever installed
on a Model 205B or Model UH-1N helicopter; and grip, P/N 204-011-121-
117, is also affected if it was ever installed on a Model 205B
helicopter. Additionally, BHTI has developed a new, improved
replacement grip that will not require the repetitive UT inspections
and will have a 25,000 hour TIS and 500,000 Retirement Index Number
(RIN) retirement life for the BHTI Model 212 helicopters. The RIN count
accumulated for the new replacement grips will be increased by one for
each take-off or each external lift event. The actions specified by the
proposed AD are intended to prevent failure of the grip, separation of
a main rotor blade, and subsequent loss of control of the helicopter.
    We have reviewed the following service information:
     BHTI Alert Service Bulletin (ASB) 205B-02-39, Revision B,
dated November 22, 2002, applicable to Model 205B helicopters; and
     BHTI ASB 212-02-116, Revision A, dated October 30, 2002,
applicable to Model 212 helicopters.

Both ASBs contain BHTI Nondestructive Inspection Procedure, Log. No.
00-340, Revision E, dated April 9, 2002, which describes procedures for
an UT inspection of the grip. We have also reviewed BHTI Operations
Safety Notice (OSN) 204-85-6, OSN 205-85-9, and OSN 212-85-13, all
dated November 14, 1985, which describe a cracked Model 212 helicopter
grip that was returned to BHTI.

    This unsafe condition is likely to exist or develop on other
helicopters of the same type designs. Therefore, the proposed AD would
require:
     Within 10 hours TIS, creating a component history card or
equivalent record for the grip, and determining and recording the total
hours TIS of each grip;
     Within 10 hours TIS, and then at intervals not to exceed
25 hours TIS, visually inspecting the upper and lower tangs of the grip
for a crack using a 10-power or higher magnifying glass;
     Within 30 days, and then at intervals not to exceed
certain specified hours TIS or a certain number of engine start/stops,
whichever occurs first, for grips with certain specified hours TIS,
inspecting the grip for a crack using a UT inspection method;
     At intervals not to exceed 1,200 hours TIS or 24 months,
whichever occurs first, inspecting the grip buffer pads for
delamination, and if delamination is present, inspecting the grip
surface for corrosion or other damage;
     Within 2,400 hours TIS or at the next main rotor hub
overhaul, whichever occurs first, and then at intervals not to exceed
2,400 hours TIS, removing the grip buffer pads, visually inspecting the
grip surface for corrosion or other damage, and fluorescent-penetrant
inspecting the grip for a crack;
     Before further flight, removing from service any grip, P/N
204-011-121-009 or ASI-4011-121-9, with 15,000 or more hours TIS;
     Before further flight, removing from service any grip, P/N
204-011-121-121, with 25,000 or more hours TIS;
     Before further flight, replacing any unairworthy grip; and
     Establishing a retirement life of 15,000 hours TIS for
grip, P/N 204-011-121-009 or ASI-4011-121-9, and 25,000 hours TIS for
grip, P/N 204-011-121-121.
    We estimate that this proposed AD would affect 20 helicopters of
U.S. registry, and the proposed actions would take the following
approximate number of work hours per helicopter to accomplish at an
average labor rate of $85 per work hour:
     Create new component history cards or equivalent: 2 work
hours;
     Maintain records: 5 work hours per year;
     24 visual inspections using a magnifying glass: 12 work
hours per year;
     \1/2\ of a buffer pad inspection: 1.5 hours per year;
     \1/4\ of a fluorescent penetrant inspection: .5 work hour
per year;
     4 UT inspections: 4 work hours per year; and
     Remove and replace grip set: 20 work hours per year.

Required parts would cost approximately $37,590 per set of grips. Based
on these figures, we estimate the total cost impact of the proposed AD
on U.S. operators to be $828,300, if one set of grips is installed on
the total affected fleet of helicopters at the end of the first year.

Regulatory Findings

    We have determined that this proposed AD would not have federalism
implications under Executive Order 13132. Additionally, 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 that the proposed
regulation:
    1. Is not a ``significant regulatory action'' under Executive Order
12866;
    2. Is not a ``significant rule'' under the DOT Regulatory Policies
and Procedures (44 FR 11034, February 26, 1979); and
    3. Will not have a significant economic impact, positive or
negative, on a substantial number of small entities under the criteria
of the Regulatory Flexibility Act.
    We prepared a draft economic evaluation of the estimated costs to
comply with this proposed AD. See the AD docket to examine the draft
economic evaluation.

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.

List of Subjects in 14 CFR Part 39

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

The Proposed Amendment

    Accordingly, pursuant to the authority delegated to me by the
Administrator, the Federal Aviation Administration proposes to amend
part 39 of the Federal Aviation Regulations (14 CFR part 39) as
follows:

PART 39--AIRWORTHINESS DIRECTIVES

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

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

Sec.  39.13  [Amended]

    2. Section 39.13 is amended by adding a new airworthiness directive
to read as follows:

Arrow Falcon Exporters, Inc. (Previously Utah State University);
Firefly Aviation Helicopter Services (Previously Erickson Air-Crane
Co.); California Department of Forestry; Garlick Helicopters, Inc.;
Global Helicopter Technology, Inc.; Hagglund Helicopters, LLC
(Previously Western International Aviation, Inc.); International
Helicopters, Inc.; Precision Helicopters, LLC; Robinson Air Crane,
Inc.; San Joaquin Helicopters (Previously Hawkins and Powers
Aviation, Inc.); S.M.&T. Aircraft (Previously US Helicopters, Inc.,
UNC Helicopter, Inc., Southern Aero Corporation, and Wilco
Aviation); Smith Helicopters; Southern Helicopter, Inc.; Southwest
Florida Aviation International, Inc. (Previously Jamie R. Hill and
Southwest Florida Aviation); Tamarack Helicopters, Inc. (Previously
Ranger Helicopter Services, Inc.); US Helicopter, Inc. (Previously
UNC Helicopter, Inc.); West Coast Fabrication; and Williams
Helicopter Corporation (Previously Scott Paper Co.). Docket No. FAA-
2010-0564; Directorate Identifier 2010-SW-13-AD.
    Applicability: Model HH-1K, TH-1F, TH-1L, UH-1A, UH-1B, UH-1E,
UH-1F, UH-1H, UH-1L, and UH-1P helicopters, and Southwest Florida
Aviation Model UH-1B (SW204 and SW204HP) and UH-1H (SW205)
helicopters, with main rotor grip (grip), part number (P/N) 204-011-
121-009, -121, or ASI-4011-121-9, installed; or with grip, P/N 204-
011-121-005 or -113, if the grip was ever installed on a Model 205B
or a Model UH-1N helicopter, or P/N 204-011-121-117, installed, if
the grip was ever installed on a Model 205B helicopter, certificated
in any category.
    Compliance: Required as indicated.
    To prevent failure of a grip, separation of a main rotor blade,
and subsequent loss of control of the helicopter, accomplish the
following:
    (a) Within 10 hours time-in-service (TIS), unless accomplished
previously, create a component history card or equivalent record and
determine and record the total hours TIS for each grip. If the total
hours TIS cannot be determined from the helicopter records, assume
and record 50 hours TIS for each month for which the hours cannot be
determined with the grip installed on any helicopter. Continue to
count and record the hours TIS and begin to count and record the
number of times the helicopter engine(s) are started (engine start/
stop cycles).
    (b) Within 10 hours TIS, unless accomplished previously, and
then at intervals not to exceed 25 hours TIS, without removing the
main rotor blades:
    (1) Clean the exposed surfaces of the upper and lower tangs of
each grip with denatured alcohol and wipe dry.
    (2) Using a 10-power or higher magnifying glass, visually
inspect the exposed surfaces of the upper and lower tangs of each
grip for a crack. Pay particular attention to the lower surface of
each lower grip tang from the main rotor blade bolt-bushing flange
to the leading and trailing edge of each grip tang. See Figure 1 of
this AD.
BILLING CODE 4910-13-P

[GRAPHIC] [TIFF OMITTED] TP08JY10.000

BILLING CODE 4910-13-C
    (c) At the intervals shown in Table 1 of this AD, ultrasonic
(UT) inspect each grip for a crack in accordance with the Bell
Helicopter Textron, Inc. (BHTI) Nondestructive Inspection Procedure,
Log No. 00-340, Revision E, dated April 9, 2002.

                                                     Table 1
----------------------------------------------------------------------------------------------------------------
                                                                                Thereafter, at intervals not
                                                                     Within 30    to exceed the following number
                                                                    days, for a     of hours TIS or the engine
                                                                   grip with the   start/stop cycles, whichever
                      UT inspect grip, P/N                         following or            occurs first:
                                                                    more hours   -------------------------------
                                                                       TIS:                        Engine start/
                                                                                Hours TIS      stop cycles
----------------------------------------------------------------------------------------------------------------
204-011-121-009 or ASI-4011-121-9...............................           4,000             400           1,600
204-011-121-121.................................................             500             150             600
204-011-121-005 or -113, if the grip was EVER installed on a               4,000             400           1,600
 Model 205B or Model UH-1N helicopter...........................
204-011-121-117, if the grip was EVER installed on a Model 205B              500             150             600
 helicopter.....................................................
----------------------------------------------------------------------------------------------------------------

The UT inspection of the grip must be performed by a Nondestructive
Testing (NDT) UT Level I Special, Level II, or Level III inspector
who is qualified under the guidelines established by MIL-STD-410E,
ATA Specification 105, AIA-NAS-410, or an FAA-accepted equivalent
for qualification standards of NDT Inspection/Evaluation Personnel.

    Note 1: You can find the Nondestructive Inspection Procedure
attached to BHTI Alert

Service Bulletin (ASB) 205B-02-39, Revision B, dated November 22,
2002, or BHTI ASB 212-02-116, Revision A, dated October 30, 2002.

    (d) At intervals not to exceed 1,200 hours TIS or 24 months,
whichever occurs first:
    (1) Remove each main rotor blade, and
    (2) Inspect each grip buffer pad on the inner surfaces of each
grip tang for delamination (see Figure 1 of this AD). If there is
any delamination, remove the buffer pad and inspect the grip surface
for corrosion or other damage.

    Note 2: This inspection interval coincides with the main rotor
tension-torsion strap replacement times.

    (e) Within 2,400 hours TIS or at the next overhaul of the main
rotor hub, whichever occurs first, and then at intervals not to
exceed 2,400 hours TIS:
    (1) Remove each main rotor blade.
    (2) Remove each grip buffer pad (if installed) from the inner
surfaces of each grip tang.
    (3) Visually inspect the grip surfaces for corrosion or other
damage.
    (4) Fluorescent-penetrant inspect (FPI) the grip for a crack,
paying particular attention to the upper and lower grip tangs. When
inspecting a grip, P/N 204-011-121-005, -009, or -113, or ASI-4011-
121-9, pay particular attention to the leading and trailing edges of
the grip barrel.

    Note 3: FPI procedures are contained in BHTI Standard Practices
Manual, BHT-ALL-SPM.

    (f) Before further flight:
    (1) Replace any cracked grip with an airworthy grip.
    (2) Replace any grip with any corrosion or other damage with an
airworthy grip, or repair the grip if the corrosion or other damage
is within the maximum repair limitations found in the applicable
Component and Repair Overhaul Manual.

    Note 4: BHTI ASB 212-94-92, Revision A, dated March 13, 1995,
and BHTI Operations Safety Notice (OSN) 204-85-6, OSN 205-85-9, and
OSN 212-85-13, all dated November 14, 1985, also pertain to the
subject of this AD.

    (3) Remove any grip, P/N 204-011-121-009 or ASI-4011-121-9, that
has been in service for 15,000 or more hours TIS.
    (4) Remove any grip, P/N 204-011-121-121, that has been in
service for 25,000 or more hours TIS.
    (g) Revise the Airworthiness Limitations section of the
applicable maintenance manual or the Instructions for Continued
Airworthiness (ICA) by establishing a new retirement life of 15,000
hours TIS for grip, P/N 204-011-121-009 or ASI-4011-121-9, and
25,000 hours TIS for grip, P/N 204-011-121-121, by marking pen and
ink changes or inserting a copy of this AD into the maintenance
manual or ICA.
    (h) Record a 15,000 hour TIS life limit for each grip, P/N 204-
011-121-009 or ASI-4011-121-9, and a 25,000 hour life limit for each
grip, P/N 204-011-121-121, on the applicable component history card
or equivalent record.
    (i) To request a different method of compliance or a different
compliance time for this AD, follow the procedures in 14 CFR 39.19.
Contact the Manager, Rotorcraft Certification Office, Attn: Michael
Kohner, Aviation Safety Engineer, Rotorcraft Directorate, FAA, 2601
Meacham Blvd., Fort Worth, Texas 76137, telephone<PHONE_NUMBER>,
fax<PHONE_NUMBER>, for information about previously approved
alternative methods of compliance.
    (j) The Joint Aircraft System/Component (JASC) Code is 6220:
Main Rotor Head.

    Issued in Fort Worth, Texas, on June 5, 2010.
Mark R. Schilling,
Acting Manager, Rotorcraft Directorate, Aircraft Certification Service.
[FR Doc. 2010-16511 Filed 7-7-10; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 78, Number 108 (Wednesday, June 5, 2013)]
[Notices]
[Pages 33888-33889]
[FR Doc No: 2013-13301]

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DEPARTMENT OF TRANSPORTATION

Office of the Secretary

National Freight Advisory Committee: Notice of Public Meeting

ACTION: Notice of Public Meeting.

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SUMMARY: This notice announces a public meeting of the National Freight
Advisory Committee (NFAC). The NFAC will provide information, advice,
and recommendations to the U.S. Secretary of Transportation on matters
relating to U.S. freight transportation, including implementation of
the Moving Ahead for Progress in the 21st Century Act (MAP-21), Public
Law 112-141.

DATES: The meeting will be held on June 25, 2013, from 9:00 a.m. to
5:30 p.m., Eastern Standard Time.

ADDRESSES: The meeting will be held at the U.S. Department of
Transportation, 1200 New Jersey Avenue SE., Washington, DC 20590.

FOR FURTHER INFORMATION CONTACT: Tretha Chromey, Designated Federal
Officer at<PHONE_NUMBER> or<EMAIL_ADDRESS>or visit the NFAC Web site
at www.dot.gov/nfac which is under construction.

Additional Information

    Background: The NFAC is established under the authority of the U.S.
Department of Transportation, in accordance with the provisions of the
Federal Advisory Committee Act (5 U.S.C. App. 2). The Secretary of
Transportation has determined that establishment of the committee is in
the public interest. The NFAC provides advice and recommendations to
the Secretary on matters related to freight transportation in the
United States, including (1) Implementation of the freight
transportation requirements of the Moving Ahead for Progress in the
21st Century Act (Pub. L. 112-141); (2) establishment of the National
Freight Network; (3) development of a National Freight Strategic Plan;
(4) development of strategies to help States implement State Freight
Advisory Committees and State Freight Plans; and (5) development of
measures of conditions and

performance in freight transportation; (6) development of freight
transportation investment, data, and planning tools; and (7)
legislative recommendations. Agenda: This will be the NFAC's inaugural
meeting. The meeting agenda will be posted on the NFAC Web site at
www.dot.gov/nfac in advance of the meeting.
    Agenda: This will be the NFAC's inaugural meeting. Representatives
from the U.S. Department of Transportation will provide an overview of
MAP-21 freight provisions and an update of the Department's progress
implementing them. The Committee will begin to develop a list of tasks
to complete and prioritize those tasks for the Department to consider.
The agenda will be posted on the NFAC Web site at www.dot.gov/nfac in
advance of the meeting.
    Public Participation: The meeting will be open to the public and
press on a first-come, first served basis. Space is limited. The public
meeting is physically accessible to people with disabilities.
Individuals requiring accommodations, such as sign language
interpretation or other ancillary aids, are asked to notify Ms. Tretha
Chromey, at<PHONE_NUMBER> or<EMAIL_ADDRESS>five (5) business days
before the meeting.
    Members of the public who wish to attend in person are asked to
RSVP to<EMAIL_ADDRESS>with your name and affiliation no later than
June 18, 2013, in order to facilitate entry and guarantee seating.
    Written comments: Persons who wish to submit written comments for
consideration by the Committee must email<EMAIL_ADDRESS>or send them
to Ms. Tretha Chromey, Designated Federal Officer, National Freight
Advisory Committee, 1200 New Jersey Avenue SE., W82-320, Washington, DC
20590 by June 18, 2013 to provide sufficient time for review. All other
comments may be received at any time before or after the meeting.

    Dated: May 30, 2013.
Tretha Chromey,
Designated Federal Officer.
[FR Doc. 2013-13301 Filed 6-4-13; 8:45 am]
BILLING CODE 4910-9X-P


[Federal Register Volume 77, Number 75 (Wednesday, April 18, 2012)]
[Notices]
[Pages 23313-23316]
[FR Doc No: 2012-9285]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-66793; File No. SR-ISE-2012-27]

 Self-Regulatory Organizations; International Securities
Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed
Rule Change To Amend an Existing Fee Cap Program and Related Service
Fee

April 12, 2012.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 \2\ thereunder, notice is hereby given
that, on April 2, 2012, the International Securities Exchange, LLC (the
``Exchange'' or the ``ISE'') filed with the Securities and Exchange
Commission (the ``Commission'') the proposed rule change as described
in Items I, II, and III 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 ISE is proposing to amend an existing fee cap program and a
related service fee. The text of the proposed rule change is available
on the Exchange's Web site (http://www.ise.com), at the principal
office of the Exchange, and at the Commission's Public Reference Room.

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

    In its filing with the Commission, the self-regulatory organization
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 self-regulatory organization
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 currently has a fee cap program that, subject to
certain exclusions, is applicable across all products traded on ISE.\3\
The fee cap currently applies to transactions executed in a member's
proprietary account. The fee cap also applies to crossing transactions
for the account of entities affiliated with a member. That is, the cap
applies to a member's crossing transactions even if the member executes
crosses in the account of an affiliate, rather than the member's own
account.
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    \3\ See Securities Exchange Act Release No. 64274 [sic] (April
8, 2011), 76 FR 20754 (April 13, 2012) (SR-ISE-2011-13).
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    Under the fee cap program, the Exchange caps proprietary
transaction fees in all products traded on ISE, in the aggregate, at
$100,000 per month per member, with certain exclusions which are noted
below. All proprietary transactions, including non-ISE market maker
contracts that are part of a crossing transaction, are eligible towards
the fee cap. Volume from regular and complex orders, as well as
Facilitation Mechanism, Price Improvement Mechanism, Solicited Order
Mechanism, Block Order Mechanism and Qualified Contingent Cross
(``QCC'') orders,\4\ also counts towards the fee cap.
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    \4\ See Securities Exchange Act Release No. 63955 (February 24,
2011), 76 FR 11533 (March 2, 2011) (SR-ISE-2010-73).
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    In addition to the fee cap, ISE also currently has a service fee of
$0.01 per side on all transactions that are eligible for the fee cap.
The service fee applies once a member reaches the fee cap level and
applies to every contract side included in and above the fee cap. A
member who does not reach the monthly fee cap is not charged the
service fee. Additionally, the service fee is not calculated in
reaching the fee cap. Once the fee cap is reached, the service fee
applies to both proprietary and other account designations \5\ in all
ISE products in addition to those transactions that were included in
reaching the fee cap. The service fee, when charged for volume above
the cap when no other transaction fees are collected, was instituted to
defray the Exchange's costs of providing services to members, which
include trade matching and processing, post trade allocation,
submission for clearing and customer service activities related to
trading activity on the Exchange.
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    \5\ Other account designations include Prop-firm (Member trading
for its own account and clearing in the F range at OCC), Prop-cust
(Member trading for its own account and clearing in the C range at
OCC), BD-firm (Member trading on behalf of another registered
broker/dealer clearing in the F range at OCC), BD-cust (Member
trading on behalf of another registered broker/dealer clearing in
the C range at OCC), FarMM (Member trading on behalf of another
registered broker/dealer clearing in the M range at OCC).
---------------------------------------------------------------------------

    In calculating the fee cap, the Exchange currently excludes the
following:) \6\ (1) Any surcharge fee charged by the Exchange on
licensed products,\7\ (2) fees from Non-ISE Market Maker volume not
related to an affiliated member's crossing activity, (3) the fee for
responses to special orders \8\ in all products, (4) the maker and
taker fees charged by the Exchange for complex orders \9\ for certain
option classes,\10\ and (5) the taker fees charged by the Exchange for
regular orders \11\ for the Select Symbols.
---------------------------------------------------------------------------

    \6\ Other exchanges employ exclusions to their fee cap programs.
For example, at the Chicago Board Options Exchange, Inc. (``CBOE''),
Automated Improvement Mechanism (``AIM'') execution fees do not
count towards the fee cap employed by that exchange. See CBOE Fees
Schedule, Section 1 (Equity Options Fees).
    \7\ The Exchange currently charges a surcharge that ranges
between $0.02 per contract to $0.22 per contract on the following
licensed products: BKX, MFX, MID, MSH, SML, UKX, RMN, RUI, RUT, MVR,
NDX, MNX, FUM, HSX, POW, TNY, WMX and NXTQ.
    \8\ Special orders are order types that involve a crossing
transaction or an auction, where a broadcast is transmitted to
Exchange members for potential participation and/or price
improvement.
    \9\ A Complex Order is defined in Exchange Rule 722(a)(1) as any
order involving the simultaneous purchase and/or sale of two or more
different options series in the same underlying security, for the
same account, in a ratio that is equal to or greater than one-to-
three (.333) and less than or equal to three-to-one (3.00) and for
the purpose of executing a particular investment strategy.
    \10\ The current exclusion applies to options classes that are
subject to Rebates and Fees for Adding and Removing Liquidity in
Select Symbols (``Select Symbols'').
    \11\ An order means a commitment to buy or sell securities as
defined in Exchange Rule 715.
---------------------------------------------------------------------------

    The Exchange's current fee cap is functionally similar to a
``Multiply-Listed Option Fee Cap'' in place at the CBOE \12\ and a
``Firm Related Equity Option Cap'' in place at NASDAQ OMX PHLX, Inc.
(``PHLX'').\13\ Since its inception, the fee cap has served its
intended purpose of attracting order flow to the Exchange. However, in
response to the pricing competition prevalent across the options
markets today, the Exchange now proposes to make changes to the current
fee cap program that, once adopted, will allow members to continue to
benefit from a fee cap while benefitting the Exchange by way of
attracting increased and targeted order flow.
---------------------------------------------------------------------------

    \12\ The CBOE fees are capped at $75,000. See CBOE Fees
Schedule, Section 1 (Equity Options Fees).
    \13\ PHLX Firms are subject to a maximum fee of $75,000. See
PHLX Fee Schedule, Section II (Equity Options Fees).
---------------------------------------------------------------------------

    Specifically, the Exchange proposes to make four changes to its
current fee cap program. First, the Exchange proposes to lower the cap
from $100,000 to $75,000 per member per month. The proposal to lower
the cap amount will enable the Exchange to better compete with fee caps
that are currently in place at other exchanges. For example, CBOE and
PHLX both currently have their fee caps at $75,000 per month.
    Second, the Exchange proposes to limit the fee cap to only trades
executed in the Exchange's Facilitation Mechanism, Price Improvement
Mechanism, Solicited Order Mechanism and Block Order Mechanism and to
Qualified Contingent Cross (``QCC'') orders. These orders are generally
known as crossing orders. For the sake of clarity, the Exchange
proposes to define crossing orders in the footnotes applicable to the
fee cap. The Exchange believes the proposal to limit the cap to these
order types will simplify the Exchange's fees and allow it to better
compete for trading volume that contributes to fee caps at other
exchanges. The Exchange also believes the proposal will make it easier
for members to track their fee cap-eligible trading activity. To
reflect change, the Exchange proposes to remove what was previously
footnote 2 on page 17 of the Exchange's Schedule of Fees and
consolidate the rule text applicable to the fee cap program into a
single footnote. As a result, footnote 1 on page 16, footnote 9 on page
19 and footnote 6 on page 21 now reflect that the fees are capped at
$75,000 per member per month on all Firm Proprietary and Non-ISE Market
Maker transactions that are part of a originating or contra side of a
crossing order.
    Third, as noted above, in calculating the fee cap, the Exchange
currently excludes the maker and taker fees charged by the Exchange for
complex orders for certain option classes and the taker fees charged by
the Exchange for regular orders for the Select Symbols. The Exchange
proposes to remove these exclusions as they are no longer applicable
because this activity is not part of one of the crossing order
transactions and in order to simplify the fee schedule text. As a
result, the Exchange proposes to amend the text in footnote 9 on page
19 and footnote 6 on page 21 to reflect this change.

    Finally, the Exchange proposes to make the current service fee of
$0.01 per side incremental after a member reaches the fee cap. As noted
above, the service fee currently applies once a member reaches the fee
cap level and applies to every contract side included in and above the
fee cap. The Exchange notes that since members pay a transaction fee
for contracts executed up to the cap level, they are defraying the
Exchange's costs for providing services that include trade matching and
processing, post trade allocation, submission for clearing and customer
service activities related to their trading activity on the Exchange.
ISE believes that the service fee need only be charged to incremental
contracts where no transaction fee is assessed to offset the Exchange's
costs.
    The Exchange has designated this proposal to be operative on April
2, 2012.
2. Statutory Basis
    The Exchange believes that its proposal to amend its Schedule of
Fees is consistent with Section 6(b) of the Act \14\ in general, and
furthers the objectives of Section 6(b)(4) of the Act \15\ in
particular, in that it is an equitable allocation of reasonable fees
and other charges among Exchange members and other persons using its
facilities.
---------------------------------------------------------------------------

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

    The Exchange believes proposed amendment to the fee cap is
reasonable because it will continue to potentially lower transaction
fees for members providing liquidity on the Exchange. Members who reach
the fee cap during a month will not have to pay regular transaction
fees and thus will be able to lower their monthly fees.
    The Exchange believes that the fee cap is not unfairly
discriminatory because all members, including non-ISE market makers,
are eligible to reach the cap. The Exchange's fee cap applies only to
firm proprietary business, and not customer or market maker business,
because the Exchange is specifically targeting this type of business as
a competitive response to similar fee caps other exchanges have
adopted,\16\ and thus to make it more attractive for members to send
such business to the Exchange. The Exchange has adopted other incentive
programs targeting other business areas: Lower fees (or no fees) for
customer orders; \17\ and tiered pricing that reduces rates for market
makers based on the level of business they bring to the Exchange.\18\
---------------------------------------------------------------------------

    \16\ See supra notes 12 and 13.
    \17\ For example, the customer fee is $0.00 per contract for
products other than Second Market Options, Singly Listed Indexes,
Singly Listed ETFs and FX Options. For Second Market Options, the
customer fee is $0.05 per contract and for Singly Listed Options,
Singly Listed ETFs and FX Options, the customer fee is $0.18 per
contract. The Exchange also currently has an incentive plan in place
for certain specific FX Options which has its own pricing. See ISE
Schedule of Fees.
    \18\ The Exchange currently has a sliding scale fee structure
that ranges from $0.01 per contract to $0.18 per contract depending
on the level of volume a Member trades on the Exchange in a month.
---------------------------------------------------------------------------

    The Exchange further believes the proposed changes to the fee cap
program is equitable because it would uniformly apply to all members
engaged in proprietary trading in option classes traded on the
Exchange. As noted, ISE market makers currently receive the benefit of
a fee reduction under a sliding scale fee structure applicable to non-
Select Symbols.
    The Exchange believes that the proposed change to the service fee
is reasonable because it will also potentially lower transaction fees
for members. Members who reach the fee cap during a month will pay the
service fee instead of the regular transaction fees and thus will be
able to lower their monthly fees. The Exchange believes that charging a
service fee is also reasonable because it will allow the Exchange to
recoup the costs incurred in providing certain services, which include
trade matching and processing, post trade allocation, submission for
clearing and customer service activities related to trading activity on
the Exchange. The Exchange believes the proposed fee change will
attract additional order flow to the Exchange and thereby will benefit
all market participants.
    The Exchange believes the proposed change to the service fee is
equitable and not unfairly discriminatory because it would apply
uniformly to all members engaged in proprietary trading. The proposed
change to the manner by which the service fee is charged is designed to
give members who trade a lot on the Exchange a benefit by way of a
lower transaction fee.
    The Exchange believes the proposed fee change will benefit market
participants by potentially lowering their fees while allowing the
Exchange to remain competitive with other exchanges that offer similar
fee cap programs. For the reasons noted above, the Exchange believes
that the proposed fees are fair, equitable and not unfairly
discriminatory.

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

    The proposed rule change does not impose any burden on competition
that is not necessary or appropriate in furtherance of the purposes of
the Act.

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

    The Exchange has not solicited, and does not intend to solicit,
comments on this proposed rule change. The Exchange has not received
any unsolicited written comments from members or other interested
parties.

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

    The foregoing rule change has become effective pursuant to Section
19(b)(3)(A)(ii) of the Act.\19\ 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 should be approved or disapproved.
---------------------------------------------------------------------------

    \19\ 15 U.S.C. 78s(b)(3)(A)(ii).
---------------------------------------------------------------------------

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-ISE-2012-27 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-ISE-2012-27. This file
number should be included on the subject line if email is used. To help
the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/

rules/sro.shtml). Copies of the submission, all subsequent amendments,
all written statements with respect to the proposed rule change that
are filed with the Commission, and all written communications relating
to the proposed rule change between the Commission and any person,
other than those that may be withheld from the public in accordance
with the provisions of 5 U.S.C. 552, will be available for Web site
viewing and printing in the Commission's Public Reference Room, 100 F
Street NE., Washington, DC 20549, on official business days between the
hours of 10 a.m. and 3 p.m. Copies of the filing also will be available
for inspection and copying at the principal office of the Exchange. All
comments received will be posted without change; the Commission does
not edit personal identifying information from submissions. You should
submit only information that you wish to make available publicly. All
submissions should refer to File Number SR-ISE-2012-27 and should be
submitted on or before May 9, 2012.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\20\
---------------------------------------------------------------------------

    \20\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-9285 Filed 4-17-12; 8:45 am]
BILLING CODE 8011-01-P


securities) by a purchaser shall be made only to persons resident
within the purchaser's state or territory of residence.''; and
    (ii) Issue stop transfer instructions to the issuer's transfer
agent, if any, with respect to the securities, or, if the issuer
transfers its own securities, make a notation in the appropriate
records of the issuer.
    (2) The issuer shall, in connection with the issuance of new
certificates for any of the securities that are sold pursuant to this
section (Sec.  230.147) that are presented for transfer during the time
period specified in paragraph (e), take the steps required by
paragraphs (f)(1)(i) and (ii) of this section.
    (3) The issuer shall, at the time of any offer or sale by it of a
security pursuant to this section (Sec.  230.147), prominently disclose
to each offeree in the manner in which any such offer is communicated
and to each purchaser of such security in writing the following:
``Sales will be made only to residents of the same state or territory
as the issuer. Offers and sales of these securities are made under an
exemption from registration and have not been registered under the
Securities Act of 1933. For a period of nine months from the date of
the sale by the issuer of the securities, any resale of the securities
(or the underlying securities in the case of convertible securities) by
a purchaser shall be made only to persons resident within the
purchaser's state or territory of residence.''
    (g) Integration with other offerings. Offers or sales made in
reliance on this section will not be integrated with:
    (1) Prior offers or sales of securities; or
    (2) Subsequent offers or sales of securities that are:
    (i) Registered under the Act, except as provided in paragraph (h)
of this section;
    (ii) Exempt from registration under Regulation A (Sec.  230.251 et
seq.);
    (iii) Exempt from registration under Rule 701 (Sec.  230.701);
    (iv) Made pursuant to an employee benefit plan;
    (v) Exempt from registration under Regulation S (Sec. Sec.  230.901
through 230.905);
    (vi) Exempt from registration under section 4(a)(6) of the Act (15
U.S.C. 77d(a)(6)); or
    (vii) Made more than six months after the completion of an offering
conducted pursuant to this section.

    Note to Paragraph (g): If none of the safe harbors applies,
whether subsequent offers and sales of securities will be integrated
with any securities offered or sold pursuant to this section (Sec.
230.147) will depend on the particular facts and circumstances.

    (h) Offerings limited to qualified institutional buyers and
institutional accredited investors. Where an issuer decides to register
an offering under the Securities Act after making offers in reliance on
Rule 147 limited only to qualified institutional buyers and
institutional accredited investors referenced in Section 5(d) of the
Securities Act, such offers will not be subject to integration with any
subsequent registered offering. If the issuer makes offers in reliance
on Rule 147 to persons other than qualified institutional buyers and
institutional accredited investors referenced in Section 5(d) of the
Securities Act, such offers will not be subject to integration if the
issuer (and any underwriter, broker, dealer, or agent used by the
issuer in connection with the proposed offering) waits at least 30
calendar days between the last such offer made in reliance on Rule 147
and the filing of the registration statement with the Commission.
0
3. In Sec.  230.504, the section heading and paragraph (b)(2) are
revised, and paragraph (b)(3) is added, to read as follows:

Sec.  230.504  Exemption for limited offerings and sales of securities
not exceeding $5,000,000.

* * * * *
    (b) * * *
    (2) The aggregate offering price for an offering of securities
under this Sec.  230.504, as defined in Sec.  230.501(c), shall not
exceed $5,000,000, less the aggregate offering price for all securities
sold within the twelve months before the start of and during the
offering of securities under this Sec.  230.504, in reliance on any
exemption under section 3(b)(1), or in violation of section 5(a) of the
Securities Act.

    Note 1 to paragraph (b)(2): The calculation of the aggregate
offering price is illustrated as follows:
    If an issuer sold $900,000 on June 1, 2013 under this Sec.
230.504 and an additional $4,100,000 on December 1, 2013 under Sec.
230.505, the issuer could only sell $900,000 of its securities under
this Sec.  230.504 on June 1, 2014. Until December 1, 2014, the
issuer must count the December 1, 2013 sale towards the $5,000,000
limit within the preceding twelve months.

    Note 2 to paragraph (b)(2): If a transaction under Sec.  230.504
fails to meet the limitation on the aggregate offering price, it
does not affect the availability of this Sec.  230.504 for the other
transactions considered in applying such limitation. For example, if
an issuer sold $5,000,000 of its securities on January 1, 2014 under
this Sec.  230.504 and an additional $500,000 of its securities on
July 1, 2014, this Sec.  230.504 would not be available for the
later sale, but would still be applicable to the January 1, 2014
sale.

    (3) Disqualifications. No exemption under this section shall be
available for the securities of any issuer if such issuer would be
subject to disqualification under Sec.  230.506(d) of this section on
or after January 11, 2016; provided that disclosure of prior ``bad
actor'' events shall be required in accordance with Sec.  230.506(e).

    Note to paragraph (b)(3). For purposes of disclosure of prior
``bad actor'' events pursuant to Sec.  230.506(e), an issuer shall
furnish to each purchaser, a reasonable time prior to sale, a
description in writing of any matters that would have triggered
disqualification under this paragraph (b)(3) but occurred before
January 11, 2016.

* * * * *
0
4. In Sec.  230.505, paragraph (b)(2)(i) is revised to read as follows:

Sec.  230.505  Exemption for limited offers and sales of securities not
exceeding $5,000,000.

* * * * *
    (b) * * *
    (2) Specific conditions--(i) Limitation on aggregate offering
price. The aggregate offering price for an offering of securities under
this Sec.  230.505, as defined in Sec.  230.501(c), shall not exceed
$5,000,000, less the aggregate offering price for all securities sold
within the twelve months before the start of and during the offering of
securities under this section in reliance on any exemption under
section 3(b)(1) of the Act or in violation of section 5(a) of the Act.
* * * * *

    By the Commission.

    Dated: October 30, 2015.
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015-28219 Filed 11-9-15; 8:45 am]
 BILLING CODE 8011-01-P


[Federal Register Volume 86, Number 239 (Thursday, December 16, 2021)]
[Rules and Regulations]
[Pages 71385-71388]
[FR Doc No: 2021-27213]

=======================================================================
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ENVIRONMENTAL PROTECTION AGENCY

40 CFR PART 52

[EPA-HQ-OAR-2021-0868; FRL-9251-01-OAR]

Findings of Failure To Submit State Implementation Plan Revisions
for the 2016 Oil and Natural Gas Industry Control Techniques Guidelines
for the 2015 Ozone National Ambient Air Quality Standards (NAAQS) and
for States in the Ozone Transport Region

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final action.

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

SUMMARY: The Environmental Protection Agency (EPA) is taking final
action to find that the states of New York and Pennsylvania failed to
submit State Implementation Plan (SIP) revisions required by the Clean
Air Act (CAA) in a timely manner to address reasonably available
control technology (RACT) requirements associated with the 2016 Oil and
Natural Gas Industry Control Techniques Guidelines (CTG) for reducing
volatile organic compounds (VOC). The RACT requirements associated with
the CTG apply in certain nonattainment areas for the 2015 ozone
National Ambient Air Quality Standards (NAAQS) and in states in the
Ozone Transport Region (OTR). Both New York and Pennsylvania are in the
OTR. This action triggers certain CAA deadlines for the EPA to impose
sanctions if a state does not submit a complete SIP addressing the
outstanding requirements and for the EPA to promulgate a Federal
Implementation Plan (FIP) if the EPA does not approve the state's SIP
revision.

DATES: This action is effective on January 18, 2022.

FOR FURTHER INFORMATION CONTACT: General questions concerning this
notice should be addressed to Bob Lingard, Office of Air Quality
Planning and Standards, Air Quality Policy Division, Mail Code: C539-
01, 109 T.W. Alexander Drive, Research Triangle Park, NC 27709; by
telephone<PHONE_NUMBER>; or by email at [email protected].

SUPPLEMENTARY INFORMATION:

I. General Information

A. How is the preamble organized?

Table of Contents

I. General Information
    A. How is the preamble organized?
    B. Notice and Comment Under the Administrative Procedure Act
(APA)
    C. How can I get copies of this document and other related
information?
    D. Where do I go if I have specific state questions?
II. Background
III. Consequences of Findings of Failure To Submit
IV. Findings of Failure To Submit for States That Failed To Make a
Nonattainment Area SIP Submittal and/or Ozone Transport Region SIP
Submittal
V. Environmental Justice Considerations
VI. Statutory and Executive Order Reviews
    A. Executive Order 12866: Regulatory Planning and Executive
Order 13563: Improving Regulation and Regulatory Review
    B. Paperwork Reduction Act (PRA)
    C. Regulatory Flexibility Act (RFA)
    D. Unfunded Mandates Reform Act of 1995 (UMRA)
    E. Executive Order 13132: Federalism
    F. Executive Order 13175: Consultation and Coordination With
Indian Tribal Governments
    G. Executive Order 13045: Protection of Children From
Environmental Health and Safety Risks
    H. Executive Order 13211: Actions That Significantly Affect
Energy Supply, Distribution or Use
    I. National Technology Transfer and Advancement Act (NTTAA)
    J. Executive Order 12898: Federal Actions To Address
Environmental Justice in Minority and Low Income Populations
    K. Congressional Review Act (CRA)
    L. Judicial Review

B. Notice and Comment Under the Administrative Procedure Act (APA)

    Section 553 of the APA, 5 U.S.C. 553(b)(3)(B), provides that, when
an agency for good cause finds that notice and public procedures are
impracticable, unnecessary or contrary to the public interest, the
agency may issue a rule without providing notice and an opportunity for
public comment. The EPA has determined that there is good cause for
making this final agency action without prior proposal and opportunity
for comment because no significant EPA judgment is involved in making
findings of failure to submit SIPs, or elements of SIPs, required by
the CAA, where states have made no submissions to meet the requirement.
Thus, notice and public procedures are unnecessary to take this action.
The EPA finds that this constitutes good cause under 5 U.S.C.
553(b)(3)(B).

C. How can I get copies of this document and other related information?

    The EPA has established a docket for this action under Docket ID
No. EPA-HQ-OAR-2021-0868. Publicly available docket materials are
available either electronically through http://www.regulations.gov or
in hard copy at the EPA Docket Center, EPA/DC, William Jefferson
Clinton Building, Room 3334, 1301 Constitution Avenue NW, Washington,
DC. Out of an abundance of caution for members of the public and our
staff, the EPA Docket Center and Reading Room are open to the public by
appointment only to reduce the risk of transmitting COVID-19. Docket
Center staff will continue to provide remote customer service via
email, phone, and webform. The telephone number for the Public Reading
Room is<PHONE_NUMBER> and the telephone number for the Office of Air
and Radiation Docket and Information Center is<PHONE_NUMBER>. For
further information on EPA Docket Center services and the current
status, please visit us online at https://www.epa.gov/dockets.

D. Where do I go if I have specific state questions?

    For questions related to specific states mentioned in this notice,
please contact the appropriate EPA Regional office:

------------------------------------------------------------------------
            Regional offices                          States
------------------------------------------------------------------------
EPA Region 2: Mr. Kirk Wieber, Chief,     New York.
 Air Program Branch, EPA Region 2, 290
 Broadway, New York, New York 10007.
 [email protected].
EPA Region 3: Mike Gordon, Chief,         Pennsylvania.
 Planning and Implementation Branch, EPA
 Region 3, 1650 Arch Street,
 Philadelphia, Pennsylvania 19103.
 [email protected].
------------------------------------------------------------------------

II. Background

    On October 26, 2015, the EPA strengthened the NAAQS for ozone to
establish new 8-hour standards.\1\ In that action, the EPA promulgated
identical revised primary and secondary ozone standards, designed to
protect public health and welfare, of 0.070 parts per million (ppm).
Those standards are met when the 3-year average of the annual fourth
highest daily maximum 8-hour average ozone concentration (an area's
``design value'') is less than or equal to 0.070 ppm.\2\
---------------------------------------------------------------------------

    \1\ 80 FR 65292 (October 26, 2015).
    \2\ 40 CFR 50.15.
---------------------------------------------------------------------------

    Promulgation of a revised NAAQS triggers a requirement for the EPA
to designate areas of the country as nonattainment, attainment, or
unclassifiable for the standards, as well as, for the ozone NAAQS, a
requirement for the EPA, at the same time, to classify any
nonattainment areas.\3\ Ozone nonattainment areas are classified upon
designation based on the severity of their ambient ozone levels, as
determined based on an area's design value for the most recent 3 years.
The possible classifications for ozone nonattainment areas are
Marginal, Moderate, Serious, Severe, and Extreme.\4\ Nonattainment
areas with a ``lower'' classification (e.g., Marginal) have ozone
levels that are closer to the standards than areas with a ``higher''
classification (e.g., Severe).\5\
---------------------------------------------------------------------------

    \3\ CAA sections 107(d)(1) and 181(a)(1).
    \4\ CAA section 181(a)(1).
    \5\ See 40 CFR 51.1303 for the design value thresholds for each
classification for the 2015 ozone NAAQS.
---------------------------------------------------------------------------

    On June 4, 2018, and July 25, 2018, respectively, the EPA issued
two separate rules that cumulatively designated areas throughout the
country as nonattainment for the 2015 ozone NAAQS, effective August 3,
2018, and September 24, 2018, and established classifications for the
designated nonattainment areas.\6\ Areas designated nonattainment for
the ozone NAAQS are subject to the general nonattainment area planning
requirements of CAA section 172 and also to the ozone-specific planning
requirements of CAA section 182. States in the OTR are subject to the
requirements outlined in CAA section 184.\7\ CAA section 172(c)(1)
provides that SIPs for nonattainment areas must include reasonably
available control technology (RACT), including RACT for existing
sources of emissions. CAA section 182(b)(2)(A) requires states in which
a nonattainment area classified as Moderate is located to amend their
SIP ``to include provisions to require the implementation of [RACT ] .
. . with respect to . . . [e]ach category of VOC sources in the area
covered by a CTG document . . .'' CAA sections 182(c) through (e) apply
this requirement to states with designated ozone nonattainment areas
classified as Serious, Severe, or Extreme. CAA section 184(b) provides
that states in the OTR must submit a SIP revision addressing RACT with
respect to all sources of VOCs in the OTR covered by a CTG document.
The states of New York and Pennsylvania are both included in the OTR
and thus are subject to the CTG RACT requirements of CAA section
184(b). In addition to being included in the OTR, the state of New York
contains portions of a multi-state nonattainment area classified as
Moderate for the 2015 ozone NAAQS and is thus independently subject to
the CTG RACT requirement due to CAA section 182(b)(2)(A). The relevant
nonattainment area is called the New York-Northern New Jersey-Long
Island, NY-NJ-CT ozone nonattainment area.
---------------------------------------------------------------------------

    \6\ 83 FR 25776 (June 4, 2018) and 83 FR 35316 (July 25, 2018).
    \7\ CAA section 184(a) establishes a single OTR comprised of
Connecticut, Delaware, Maine, Maryland, Massachusetts, New
Hampshire, New Jersey, New York, Pennsylvania, Rhode Island,
Vermont, and the Consolidated Metropolitan Statistical Area that
includes the District of Columbia.
---------------------------------------------------------------------------

    On October 27, 2016, the EPA issued a final CTG document for
reducing VOC emissions from existing oil and natural gas industry
equipment and processes.\8\ On March 9, 2018, for reasons explained in
the Federal Register (83 FR 10478), the EPA proposed to withdraw the
CTG. However, the EPA did not finalize the proposal to withdraw the
CTG. The EPA announced in the U.S. Office of Management and Budget's
Spring 2020 Unified Agenda and Regulatory Plan that ``the CTG will
remain in place as published on October 27, 2016.'' \9\
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    \8\ 81 FR 74798 (October 27, 2016).
    \9\ See https://www.reginfo.gov/public/do/eAgendaViewRule?pubId=202004&RIN=2060-AT76 (last accessed October
14, 2020).
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    The RACT SIP revisions addressing the 2016 oil and natural gas
industry CTG, among other things, were due for EPA review from states
with nonattainment areas classified as Moderate or higher for the 2015
ozone NAAQS, as well as the 12 states and the District of Columbia that
comprise the OTR, by August 3, 2020.\10\ For nonattainment areas and/or
states subject to this RACT SIP requirement without any oil and natural
gas sources covered by the CTG in their jurisdictions, states were
required to make a SIP submission that could be comprised of a
``negative declaration'' stating as much.
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    \10\ 83 FR 62998 (December 6, 2018), see also 40 CFR 51.1312 and
51.1316.
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    Pursuant to CAA section 110(k)(1)(B), the EPA must determine no
later than 6 months after the date by which a state is required to
submit a SIP whether a state has made a submission that meets the
minimum completeness criteria established pursuant to CAA section
110(k)(1)(A). These criteria are set forth at 40 CFR part 51, appendix
V. The EPA refers to the determination that a state has not submitted a
SIP submission that meets the minimum completeness criteria as a
``finding of failure to submit.''
    The following Table 1 provides the names of states with
nonattainment areas and/or OTR states that this action finds failed to
submit the SIP revision required for the CTG for the 2015 ozone NAAQS
for reducing VOC emissions from existing oil and natural gas industry
equipment and processes as of the date of this action.

 Table 1--States and/or Nonattainment Areas Included in Findings of Failure To Submit Required SIP Revisions To
                   Address the 2016 Oil and Natural Gas Industry CTG for the 2015 Ozone NAAQS
----------------------------------------------------------------------------------------------------------------
                 State                   Nonattainment area/OTR state        Classification         EPA Region
----------------------------------------------------------------------------------------------------------------
NY....................................  NY portion of New York-N New    Serious.................               2
                                         Jersey-Long Island
                                         nonattainment area.
NY....................................  NY--OTR state.................  OTR.....................               2
PA....................................  PA--OTR state.................  OTR.....................               3
----------------------------------------------------------------------------------------------------------------

III. Consequences of Findings of Failure To Submit

    If the EPA finds that a state has failed to make the required SIP
submittal or that a submitted SIP is incomplete, then CAA section
179(a) establishes specific consequences, after a period of time,
including the imposition of mandatory sanctions for the affected area
or state (as appropriate in the case of the OTR). Additionally, such a
finding triggers an obligation under CAA section 110(c) for the EPA to
promulgate a FIP no later than 2 years after issuance of the finding of
failure to submit if the affected state has not submitted, and the EPA
has not approved, the required SIP submittal.
    If the EPA has not affirmatively determined that a state has made
the required complete SIP submittal for an area or OTR state within 18
months of the effective date of this rulemaking, then, pursuant to CAA
section 179(a) and (b) and 40 CFR 52.31, the offset sanction identified
in CAA section 179(b)(2) will apply in the affected nonattainment area
or OTR state. If the EPA has not affirmatively determined that the
state has made the required complete SIP submittal within 6 months
after the offset sanction is imposed, then the highway funding sanction
will apply in the affected nonattainment area, in accordance with CAA
section 179(b)(1) and 40 CFR 52.31.\11\ The sanctions will not take
effect if, within 18 months after the effective date of these findings,
the EPA affirmatively determines that the state has made a complete SIP
submittal addressing the deficiency for which the finding was made.
Additionally, if the state makes the required SIP submittal and the EPA
takes final action to approve the submittal within 2 years of the
effective date of these findings, the EPA is not required to promulgate
a FIP for the affected nonattainment area or OTR state.
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    \11\ For the OTR states, such highway sanctions would only apply
in nonattainment areas. If the OTR state does not contain any
nonattainment areas, then the highway sanctions would not apply in
that state.
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IV. Findings of Failure To Submit for States That Failed To Make a
Nonattainment Area and/or Ozone Transport Region SIP Submittal

    Based on a review of SIP submittals received and deemed complete as
of the date of signature of this action, the EPA finds that the states
listed in Table 1 above failed to submit the 2016 Oil and Gas CTG RACT
SIP revisions required under subpart 2 of part D of Title I of the CAA
and that were due no later than August 3, 2020, for the listed
nonattainment areas and OTR states.

V. Environmental Justice Considerations

    The EPA believes that the human health or environmental risks
addressed by this action will not have disproportionately high or
adverse human health or environmental effects on minority, low-income,
or indigenous populations because it does not directly affect the level
of protection provided to human health or the environment under the
2015 ozone NAAQS. The purpose of this action is to make findings that
the named states failed to provide the identified SIP submissions to
the EPA that are required per the CAA. As such, this action does not
directly affect the level of protection provided for human health or
the environment. Moreover, it is intended that the actions and
deadlines resulting from this notice will in fact lead to greater
protection for U.S. citizens, including minority, low-income, or
indigenous populations, by ensuring that states meet their statutory
obligation to develop and submit SIPs to ensure that areas make
progress toward reducing ozone pollution.

VI. Statutory and Executive Order Reviews

A. Executive Orders 12866: Regulatory Planning and Executive Order
13563: Improving Regulation and Regulatory Review

    This action is not a significant regulatory action and was,
therefore, not submitted to the Office of Management and Budget (OMB)
for review.

B. Paperwork Reduction Act (PRA)

    This action does not impose an information collection burden under
the provisions of the PRA. This final rule does not establish any new
information collection requirement apart from what is already required
by law. This rule relates to the requirement in the CAA for states to
submit SIPs under sections 172, 182, and 184 which address the
statutory requirements that apply to areas designated as nonattainment
for the ozone NAAQS and to states within the Ozone Transport Region,
respectively.

C. Regulatory Flexibility Act (RFA)

    I certify that this rule will not have a significant economic
impact on a substantial number of small entities under the RFA. This
action will not impose any requirements on small entities. The rule is
a finding that the named states have not made the necessary SIP
submission for certain nonattainment areas and/or states in the OTR to
meet the requirements of part D of Title I of the CAA.

D. Unfunded Mandates Reform Act of 1995 (UMRA)

    This action does not contain any unfunded mandate as described in
UMRA 2 U.S.C. 1531-1538, and does not significantly or uniquely affect
small governments. The action imposes no enforceable duty on any state,
local or tribal governments or the private sector.

E. Executive Order 13132: Federalism

    This action does not have federalism implications. It will not 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.

F. Executive Order 13175: Consultation and Coordination With Indian
Tribal Governments

    This action does not have tribal implications as specified in
Executive Order 13175. This rule finds that two states have failed to
submit SIP revisions that satisfy the nonattainment area planning
requirements under

sections 172 and 182 of the CAA, and/or the OTR requirements under
section 184 of the CAA. No tribe is subject to the requirement to
submit an implementation plan under section 172 or under subpart 2 of
part D of Title I of the CAA. Thus, Executive Order 13175 does not
apply to this action.

G. Executive Order 13045: Protection of Children From Environmental
Health and Safety Risks

    The EPA interprets Executive Order 13045 as applying only to those
regulatory actions that concern health or safety risks that the EPA has
reason to believe may disproportionately affect children, per the
definition of ``covered regulatory action'' in section 2-202 of the
Executive Order. This action is not subject to Executive Order 13045
because it is a finding that several states failed to submit SIP
revisions that satisfy the nonattainment area planning requirements
under sections 172 and 182 of the CAA, and/or the OTR requirements
under Section 184, and does not directly or disproportionately affect
children.

HI. Executive Order 13211: Actions That Significantly Affect Energy
Supply, Distribution or Use

    This action is not subject to Executive Order 13211, because it is
not a significant regulatory action under Executive Order 12866.

IJ. National Technology Transfer and Advancement Act (NTTAA)

    This rulemaking does not involve technical standards.

J. Executive Order 12898: Federal Actions To Address Environmental
Justice in Minority Populations and Low-Income Populations

    The EPA believes the human health or environmental risk addressed
by this action will not have potential disproportionately high and
adverse human health or environmental effects on minority, low-income,
or indigenous populations. In finding that two states have failed to
submit SIP revisions that satisfy the nonattainment area planning
requirements under sections 172 and 182 of the CAA, and/or the OTR
requirements under section 184 of the CAA, this action does not
directly affect the level of protection provided to human health or the
environment.

K. Congressional Review Act (CRA)

    This action is subject to the CRA, and the EPA will submit a rule
report to each House of the Congress and to the Comptroller General of
the United States. This action is not a ``major rule'' as defined by 5
U.S.C. 804(2).

L. Judicial Review

    Section 307(b)(1) of the CAA indicates which Federal Courts of
Appeal have venue for petitions of review of final actions by the EPA
under the CAA. This section provides, in part, that petitions for
review must be filed in the United States Court of Appeals for the
District of Columbia Circuit if (i) the agency action consists of
``nationally applicable regulations promulgated, or final actions
taken, by the Administrator,'' or (ii) such action is locally or
regionally applicable, but ``such action is based on a determination of
nationwide scope or effect and if in taking such action the
Administrator finds and publishes that such action is based on such a
determination.''
    This final action is nationally applicable. To the extent a court
finds this final action to be locally or regionally applicable, the EPA
finds that this action is based on a determination of ``nationwide
scope or effect'' within the meaning of CAA section 307(b)(1). This
final action consists of findings of failure to submit required SIPs
from two states in the OTR, one with a Moderate nonattainment area,
located in two of the ten EPA Regions, and in two different federal
judicial circuits. This final action is also based on a common core of
factual findings concerning the receipt and completeness of the
relevant SIP submittals. For these reasons, this final action is
nationally applicable or, alternatively, to the extent a court finds
this action to be locally or regionally applicable, the Administrator
has determined that this final action is based on a determination of
nationwide scope or effect for purposes of CAA section 307(b)(1).
    Under section 307(b)(1) of the CAA, petitions for judicial review
of this action must be filed in the United States Court of Appeals for
the District of Columbia Circuit within 60 days from the date this
final action is published in the Federal Register. Filing a petition
for reconsideration by the Administrator of this final action does not
affect the finality of the action for the purposes of judicial review,
nor does it extend the time within which a petition for judicial review
must be filed, and shall not postpone the effectiveness of such rule or
action.

List of Subjects in 40 CFR Part 52

    Environmental protection, Administrative practice and procedures,
Air pollution control, Approval and promulgation of implementation
plans, Intergovernmental relations, and Reporting and recordkeeping
requirements.

Michael S. Regan,
Administrator.
[FR Doc. 2021-27213 Filed 12-15-21; 8:45 am]
BILLING CODE 6560-50-P


[Federal Register: November 24, 2008 (Volume 73, Number 227)]
[Notices]
[Page 71007-71008]
[DOCID:fr24no08-109]

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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Food and Drug Administration

[Docket No. FDA-2007-N-0474] (formerly Docket No. 2007N-0292)

George Kindness; Debarment Order

AGENCY: Food and Drug Administration, HHS.

ACTION: Notice.

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SUMMARY: The Food and Drug Administration (FDA) is issuing an order
under the Federal Food, Drug, and Cosmetic Act (the act) permanently
debarring Mr. George Kindness from

providing services in any capacity to a person that has an approved or
pending drug product application including, but not limited to, a
biologics license application. FDA bases this order on a finding that
Mr. Kindness was convicted of a felony under Federal law for conduct
relating to the development or approval, including the process for
development or approval, of a drug product under the act. After being
given notice of the proposed permanent debarment and an opportunity to
request a hearing within the timeframe prescribed by regulation, Mr.
Kindness failed to request a hearing. Mr. Kindness's failure to request
a hearing constitutes a waiver of his right to a hearing concerning
this action.

DATES: This order is effective November 24, 2008.

ADDRESSES: Submit applications for termination of debarment to the
Division of Dockets Management (HFA-305), Food and Drug Administration,
5630 Fishers Lane, rm. 1061, Rockville, MD 20852.

FOR FURTHER INFORMATION CONTACT: Jennifer J. Ross, Center for Biologics
Evaluation and Research (HFM-10), Food and Drug Administration, 1401
Rockville Pike, Rockville, MD 20852-1448,<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

I. Background

    On September 28, 2006, the U.S. District Court for the Western
District of Tennessee accepted George Kindness's guilty plea to one
count of being aided and abetted in the introduction and delivery for
introduction into interstate commerce of a misbranded drug with intent
to defraud and mislead, a Federal felony offense under sections 301(a)
and 303(a)(2) of the act (21 U.S.C. 331(a) and 333(a)(2)) and 18 U.S.C.
2. This offense was committed when Mr. Kindness, president, part-owner
and laboratory director of Amscot Medical Labs, Inc., manufactured and
shipped a new drug for use in human beings for the treatment of cancer,
without an investigational new drug application in effect.
    As a result of this conviction, FDA sent Mr. Kindness by certified
mail on September 7, 2007, a notice proposing to permanently debar Mr.
Kindness from providing services in any capacity to a person that has
an approved or pending drug product application including, but not
limited to, a biologics license application. The proposal also offered
Mr. Kindness an opportunity for a hearing on the proposal. The proposal
was based on a finding, under section 306(a)(2)(A) and (c)(2)(A)(ii) of
the act (21 U.S.C. 335a(a)(2)(A) and (c)(2)(A)(ii)), that Mr. Kindness
was convicted of a felony under Federal law for conduct relating to the
development or approval, including the process for development or
approval, of a drug product. Mr. Kindness was provided 30 days to file
objections and request a hearing. Mr. Kindness did not request a
hearing. Mr. Kindness's failure to request a hearing constitutes a
waiver of his opportunity for a hearing and a waiver of any contentions
concerning his debarment (21 CFR part 12).

II. Findings and Order

    Therefore, the Director of the Center for Biologics Evaluation and
Research, under section 306(a)(2)(A) of the act, and under authority
delegated to the Director (FDA Staff Manual Guide 1410.35), finds that
Mr. Kindness has been convicted of a felony under Federal law for
conduct relating to the development or approval, including the process
for development or approval, of a drug product.
    As a result of the foregoing finding, Mr. Kindness is permanently
debarred from providing services in any capacity to a person with an
approved or pending drug product application (section 306(c)(1)(B) of
the act). A drug product means a drug, including a biological product,
subject to regulation under sections 505, 512, or 802 of the act (21
U.S.C. 355, 360b, or 382), or under section 351 of the Public Health
Service Act (42 U.S.C. 262). Any person with an approved or pending
drug product application including, but not limited to, a biologics
license application, who knowingly employs or retains as a consultant
or contractor, or otherwise uses the services of Mr. Kindness, in any
capacity, during Mr. Kindness's permanent debarment, will be subject to
civil money penalties (section 307(a)(6) of the act (21 U.S.C.
335b(a)(6))). If Mr. Kindness, during his permanent debarment, provides
services in any capacity to a person with an approved or pending drug
product application including, but not limited to, a biologics license
application, Mr. Kindness will be subject to civil money penalties
(section 307(a)(7) of the act). In addition, FDA will not accept or
review any abbreviated drug applications submitted by or with the
assistance of Mr. Kindness during Mr. Kindness's permanent debarment
(section 306(c)(1)(B) of the act).
    Any application by Mr. Kindness for termination of debarment under
section 306(d)(4) of the act should be identified with Docket No. FDA-
2007-N-0474 (formerly Docket No. 2007N-0292) and sent to the Division
of Dockets Management (see ADDRESSES). All such submissions are to be
filed in four copies (Sec.  10.20(a) (21 CFR 10.20(a))). The public
availability of information in these submissions is governed by Sec.
10.20(j). Publicly available submissions may be seen in the Division of
Dockets Management between 9 a.m. and 4 p.m., Monday through Friday
(Sec.  10.20(j)(1)).

    Dated: November 12, 2008.
Jesse Goodman,
Director, Center for Biologics Evaluation and Research.
[FR Doc. E8-27802 Filed 11-21-08; 8:45 am]

BILLING CODE 4160-01-S


[Federal Register: December 20, 2006 (Volume 71, Number 244)]
[Notices]
[Page 76312-76313]
[DOCID:fr20de06-74]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. RP07-104-000]

Northern Natural Gas Company; Notice of Limited Waiver

December 14, 2006.

    Take notice that on December 11, 2006, Northern Natural Gas Company
(Northern) tendered for filing a petition for a limited waiver of its
FERC Gas Tariff in order to allow Northern to resolve a prior-period
imbalance trading error by retroactively adjusting imbalance levels for
Alliant Energy and CenterPoint Energy Gas Services to reflect an
imbalance trade which was agreed to but improperly communicated.
    Any person desiring to intervene or to protest this filing must
file in accordance with Rules 211 and 214 of the Commission's Rules of
Practice and Procedure (18 CFR 385.211 and 385.214). Protests will be
considered by the Commission in determining the appropriate action to
be taken, but will not serve to make protestants parties to the
proceeding. Any person wishing to become a party must file a notice of
intervention or motion to intervene, as appropriate. Such notices,
motions, or protests must be filed on or before the date as indicated
below. Anyone filing an intervention or protest must serve a copy of
that document on the Applicant. Anyone filing an intervention or
protest on or before the intervention or protest date need not serve
motions to intervene or protests on persons other than the Applicant.
    The Commission encourages electronic submission of protests and
interventions in lieu of paper using the ``eFiling'' link at http://www.ferc.gov.
 Persons unable to file electronically should submit an

original and 14 copies of the protest or intervention to the Federal
Energy Regulatory Commission, 888 First Street, NE., Washington, DC
20426.
    This filing is accessible on-line at http://www.ferc.gov, using the

``eLibrary'' link and is available for review in the Commission's
Public Reference Room in Washington, DC. There is an ``eSubscription''
link on the Web site that enables subscribers to receive e-mail
notification when a document is added to a subscribed docket(s). For
assistance with any FERC Online service, please e-mail
<EMAIL_ADDRESS>or call<PHONE_NUMBER> (toll free). For

TTY, call<PHONE_NUMBER>.

    Comment Date: 5 p.m. Eastern Time December 21, 2006.

Magalie R. Salas,
Secretary.
[FR Doc. E6-21701 Filed 12-19-06; 8:45 am]

BILLING CODE 6717-01-P