Unknown. Final rule; staff commentary

2,185 words·~10 min read·/register/2003/08/25/03-21569

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

--- schema: federal-register doc_type: fedreg source_file: FR-2003-08-25.xml --- 68 164 Monday, August 25, 2003 Contents Agency Agency for Healthcare Research and Quality NOTICES Medicare and medicaid: Hemodialysis care experiences; instruments measuring patient perspectives; voluntary submission, 51017-51018 03-21555 Meetings: Health Care Policy and Research Special Emphasis Panel; correction, 51018-51019 03-21556 Agriculture Agriculture Department See Grain Inspection, Packers and Stockyards Administration NOTICES Agency information collection activities; proposals, submissions, and approvals, 51000-51003 03-21640 Centers Centers for Disease Control and Prevention NOTICES Standards and certifications:

Laboratory requirements— Medicare, Medicaid, and CLIA programs; quality systems and certain personnel qualifications; correction, [ **Editorial Note:** This document appearing at 68 FR 50722 in the **Federal Register** of August 22, 2003, was inadvertently dropped from that issue's Table of Contents.] Children Children and Families Administration NOTICES Agency information collection activities; proposals, submissions, and approvals, 03-21629 51019-51020 03-21630 03-21631 Civil Civil Rights Commission NOTICES Meetings;

State advisory committees: Oregon, 51005 03-21648 Wyoming, 51005-51006 03-21647 Coast Guard Coast Guard PROPOSED RULES Marine casualties and investigations: Chemical testing following serious marine incidents, 50992-50993 03-21643 Commerce Commerce Department See International Trade Administration See National Oceanic and Atmospheric Administration NOTICES Agency information collection activities; proposals, submissions, and approvals, 51006 03-21607 03-21637 Commodity Commodity Futures Trading Commission NOTICES Agency information collection activities; proposals, submissions, and approvals, 51009 03-21633 Defense Defense Department See Navy Department Education Education Department NOTICES Agency information collection activities; proposals, submissions, and approvals, 51009-51010 03-21642 Energy Energy Department See Federal Energy Regulatory Commission NOTICES Meetings:

Advanced Scientific Computing Advisory Committee, 51010 03-21666 EPA Environmental Protection Agency NOTICES Meetings: Tribal Pesticide Programs Council, 51010-51011 03-21663 Reports and guidance documents; availability, etc.: Watershed-Based National Pollution Discharge Elimination System Permitting Implementation; guidance, 51011-51012 03-21660 Water pollution control: Total maximum daily loads— Ohio; addition of waters to list, 51012-51013 03-21659 Water supply: Public water supply supervision program— Oklahoma, 51013 03-21661 Executive Executive Office of the President See Presidential Documents See Trade Representative, Office of United States FCC Federal Communications Commission RULES Common carrier services:

Americans with Disabilities Act; implementation— Individuals with hearing and speech disabilities; telecommunications relay services and speech-to-speech services, 50973-50978 03-21615 International telecommunications service; biennial regulatory review; correction, 50973 03-21617 Radio frequency devices: Unlicensed operation of fixed point-to-point transmitters; 24.0-24.25 GHz band at field strengths up to 2500 mV/m; equipment certification, 50972-50973 03-21618 Telephone Consumer Protection Act; implementation:

Unsolicited fascsimile advertising requirements; modification, 50978-50980 03-21644 PROPOSED RULES Common carrier services: Americans with Disabilities Act; implementation— Individuals with hearing and speech disabilities; telecommunications relay services and speech-to-speech services, 50993-50998 03-21616 Radio broadcasting: Definition of radio markets for areas not located in an arbitron survey area, 50998 03-21652 NOTICES Agency information collection activities; proposals, submissions, and approvals, 51013-51016 03-21620 03-21621 03-21622 Common carrier services:

Telecommunications carrier eligibility designation petitions— NPCR, Inc., 51016-51017 03-21619 Federal Energy Federal Energy Regulatory Commission RULES Electric utilities (Federal Power Act): Hydroelectric licensing regulations, 51069-51143 03-20999 Federal Reserve Federal Reserve System RULES Truth in lending (Regulation Z): Official staff commentary; amendments, 50965-50966 03-21569 NOTICES Banks and bank holding companies: Formations, acquisitions, and mergers, 51017 03-21667 FTC Federal Trade Commission PROPOSED RULES Industry guides:

Tire advertising and labeling guides, 50984-50985 03-21681 Fish Fish and Wildlife Service NOTICES Reports and guidance documents; availability, etc.: Candidate Conservation Agreements with Assurances and Enhancement of Survival Permit Processing; handbook, 51029-51030 03-21623 Food Food and Drug Administration PROPOSED RULES Human drugs: Oral health care drug products (OTC)— Antigingivitis/antiplaque products; monograph establishment, 50991-50992 03-21669 NOTICES Agency information collection activities; proposals, submissions, and approvals, 51020-51024 03-21624 03-21625 03-21627 Meetings:

Arthritis Advisory Committee, 51024 03-21626 Reproductive Health Drugs Advisory Committee, 51024-51025 03-21628 GIPSA Grain Inspection, Packers and Stockyards Administration NOTICES Stockyards; posting and deposting: Athens-Limestock Stockyard, et al., 51003-51004 03-21664 Tulare Sales Yard, Inc., et al., 51005 03-21665 Health Health and Human Services Department See Agency for Healthcare Research and Quality See Children and Families Administration See Food and Drug Administration Homeland Homeland Security Department See Coast Guard Housing Housing and Urban Development Department NOTICES Agency information collection activities; proposals, submissions, and approvals, 03-21634 51025-51028 03-21635 Grants and cooperative agreements; availability, etc.:

Ending chronic homelessness through employment and housing— Working for freedom, opportunity, and real choice through community employment (WorkFORCE), 51028-51029 03-21716 Indian Indian Affairs Bureau NOTICES Agency information collection activities; proposals, submissions, and approvals, 51030 03-21680 Interior Interior Department See Fish and Wildlife Service See Indian Affairs Bureau International International Trade Administration NOTICES Export trade certificates of review, 51007 03-21668 Labor Labor Department NOTICES Agency information collection activities; proposals, submissions, and approvals, 51030-51032 03-21674 Grants and cooperative agreements; availability, etc.:

Ugandan workplaces; combating HIV/AIDS through community/faith-based organizations; correction, 51032 03-21675 NOAA National Oceanic and Atmospheric Administration RULES Fishery conservation and management: Alaska; fisheries of Exclusive Economic Zone— American Fisheries Act; provisions, 51145-51146 03-21451 PROPOSED RULES Fishery conservation and management: Alaska; fisheries of Exclusive Economic Zone— American Fisheries Act; provisions, 51146-51148 03-21452 Northeastern United States fisheries— Atlantic surf clam and ocean quahog, 50998-50999 03-21609 NOTICES Meetings:

Pacific Fishery Management Council, 51007-51009 03-21608 National Science National Science Foundation NOTICES Meetings: DOE/NSF Nuclear Science Advisory Committee, 51032 03-21639 Proposal review meetings, 51032-51033 03-21638 Navy Navy Department NOTICES Meetings: Naval Academy, Board of Visitors, 51009 03-21632 Nuclear Nuclear Regulatory Commission NOTICES Reports and guidance documents; availability, etc.: Uranium in situ leach extraction facilities; standard review plan, 51034-51040 03-21656 Uranium Mill Tailings Radiation Control Act; uranium mill tailings sites reclamation; standard review plan, 51040-51043 03-21655 *Applications, hearings, determinations, etc.:* Sequoyah Fuels Corp., 51033-51034 03-21654 03-21657 Office of U.S.

Trade Office of United States Trade Representative See Trade Representative, Office of United States Presidential Presidential Documents ADMINISTRATIVE ORDERS Colombia; drug interdiction assistance (Presidential Determination No. 2003-32 of August 18, 2003), 50963 03-21676 SEC Securities and Exchange Commission NOTICES Self-regulatory organizations; proposed rule changes: New York Stock Exchange, Inc., 51045-51047 03-21641 *Applications, hearings, determinations, etc.:* Nuveen Real Estate Income Fund et al., 51043-51045 03-21658 SBA Small Business Administration NOTICES Agency information collection activities; proposals, submissions, and approvals, 51047-51048 03-21672 Disaster loan areas:

Indiana, 51048 03-21673 Organization, functions, and authority delegations: Associate Deputy Administrator for Capital Access, 51048 03-21671 Social Social Security Administration PROPOSED RULES Social security benefits: Federal old-age, survivors, and disability insurance— Earnings; annual test for retirement beneficiaries, 50985-50991 03-21613 State State Department NOTICES Arms Export Control Act: Denied persons pursuant to UN Security Council Resolution, 51048-51056 03-21790 Commercial export license; notifications to Congress, 51056-51060 03-21678 Cuba;

Cuban Interests Section, Embassy of Switzerland; motor vehicle acquisition and disposition, 51060-51062 03-21677 Surface Surface Transportation Board RULES Fees: Licensing and related services— 2003 update, 50980-50983 03-21571 TVA Tennessee Valley Authority NOTICES Meetings; Sunshine Act, 51062 03-21726 Trade Trade Representative, Office of United States NOTICES Trade Policy Staff Committee: U.S.-Bahrain Free Trade Agreement— Negotiating objectives; clarification, 51062-51064 03-21679 Transportation Transportation Department See Surface Transportation Board Treasury Treasury Department NOTICES Agency information collection activities; proposals, submissions, and approvals, 51064-51067 03-21534 03-21535 Veterans Veterans Affairs Department RULES Adjudication; pensions, compensation, dependency, etc.:

Herbicide exposure, disability or death caused by; effective dates of benefits; disposition of unpaid benefits after death of beneficiary, 50966-50972 03-21646 NOTICES Inventions, Government-owned; availability for licensing, 51067 03-21645 Separate Parts In This Issue Part II Energy Department, Federal Energy Regulatory Commission, 51069-51143 03-20999 Part III Commerce Department, National Oceanic and Atmospheric Administration, 51145-51148 03-21451 03-21452 Reader Aids Consult the Reader Aids section at the end of this issue for phone numbers, online resources, finding aids, reminders, and notice of recently enacted public laws.

To subscribe to the Federal Register Table of Contents LISTSERV electronic mailing list, go to http://listserv.access.gpo.gov and select Online mailing list archives, FEDREGTOC-L, Join or leave the list (or change settings); then follow the instructions. 68 164 Monday, August 25, 2003 Rules and Regulations FEDERAL RESERVE SYSTEM 12 CFR Part 226 [Regulation Z; Docket No. R-1157] Truth in Lending AGENCY: Board of Governors of the Federal Reserve System. ACTION: Final rule; staff commentary.

SUMMARY: The Board is publishing a final rule amending the staff commentary that interprets the requirements of Regulation Z (Truth in Lending). The Board is required to adjust annually the dollar amount that triggers requirements for certain home mortgage loans bearing fees above a certain amount. The Home Ownership and Equity Protection Act of 1994 (HOEPA) sets forth rules for home-secured loans in which the total points and fees payable by the consumer at or before loan consummation exceed the greater of $400 or 8 percent of the total loan amount.

In keeping with the statute, the Board has annually adjusted the $400 amount based on the annual percentage change reflected in the Consumer Price Index that is in effect on June 1. The adjusted dollar amount for 2004 is $499. DATES: January 1, 2004. FOR FURTHER INFORMATION CONTACT: Minh-Duc T. Le, Staff Attorney, Division of Consumer and Community Affairs, Board of Governors of the Federal Reserve System, at

(202)452-3667. For the users of Telecommunications Device for the Deaf (“TDD”) only, contact

(202)263-4869. SUPPLEMENTARY INFORMATION: I. Background The Truth in Lending Act (TILA; 15 U.S.C. 1601 - 1666j) requires creditors to disclose credit terms and the cost of consumer credit as an annual percentage rate. The act requires additional disclosures for loans secured by a consumer's home, and permits consumers to cancel certain transactions that involve their principal dwelling. TILA is implemented by the Board's Regulation Z (12 CFR part 226). The Board's official staff commentary (12 CFR part 226 (Supp. I)) interprets the regulation, and provides guidance to creditors in applying the regulation to specific transactions. In 1995, the Board published amendments to Regulation Z implementing HOEPA, contained in the Riegle Community Development and Regulatory Improvement Act of 1994, Pub. L. 103-325, 108 Stat. 2160 (60 FR 15463). These amendments, contained in §§ 226.32 and 226.34 of the regulation, impose substantive limitations and additional disclosure requirements on certain closed-end home mortgage loans bearing rates or fees above a certain percentage or amount. As enacted, the statute requires creditors to comply with the HOEPA rules if the total points and fees payable by the consumer at or before loan consummation exceed the greater of $400 or 8 percent of the total loan amount. TILA and Regulation Z provide that the $400 figure shall be adjusted annually on January 1 by the annual percentage change in the Consumer Price Index

(CPI)that was reported on the preceding June 1. (15 U.S.C. 1602(aa)(3) and 12 CFR 226.32(a)(1)(ii)). The Board adjusted the $400 amount to $488 for the year 2003. The Bureau of Labor Statistics publishes consumer-based indices monthly, but does not“report” a CPI change on June 1; adjustments are reported in the middle of each month. The Board uses the CPI-U index, which is based on all urban consumers and represents approximately 80 percent of the U.S. population, as the index for adjusting the $400 dollar figure. The adjustment to the CPI-U index reported by the Bureau of Labor Statistics on May 15, 2003, was the CPI-U index “in effect” on June 1, and reflects the percentage increase from April 2002 to April 2003. The adjustment to the $400 figure below reflects a 2.22 percent increase in the CPI-U index for this period and is rounded to whole dollars for ease of compliance. II. Adjustment and Commentary Revision Effective January 1, 2004, for purposes of determining whether a home mortgage transaction is covered by 12 CFR 226.32 (based on the total points and fees payable by the consumer at or before loan consummation), a loan is covered if the points and fees exceed the greater of $499 or 8 percent of the total loan amount. Comment 32(a)(1)(ii)-2, which lists the adjustments for each year, is amended to reflect the dollar adjustment for 2004. Because the timing and method of the adjustment is set by statute, the Board finds that notice and public comment on the change are unnecessary. III. Regulatory Flexibility Analysis The Board certifies that this amendment will not have a substantial effect on regulated entities because the only change is to raise the threshold for transactions requiring HOEPA disclosures. List of Subjects in 12 CFR Part 226 Advertising, Federal Reserve System, Mortgages, Reporting and recordkeeping requirements, Truth in lending. For the reasons set forth in the preamble, the Board amends Regulation Z, 12 CFR part 226, as set forth below: PART 226—TRUTH IN LENDING (REGULATION Z) 1. The authority citation for part 226 continues to read as follows: Authority: 12 U.S.C. 3806; 15 U.S.C. 1604 and 1637(c)(5). 2. In Supplement I to Part 226, under *Section 226.32—Requirements for Certain Closed-End Home Mortgages,* under Paragraph 32(a)(1)(ii), paragraph 2. ix. is added. SUPPLEMENT I TO PART 226—OFFICIAL STAFF INTERPRETATIONS Subpart E—Special Rules for Certain Home Mortgage Transactions Section 226.32—Requirements for Certain Closed-End Home Mortgages *32(a) Coverage* *Paragraph 32(a)(1)(ii)* *2. Annual adjustment of $400 amount. * * ** ix. For 2004, $499, reflecting a 2.22 percent increase in the CPI-U from June 2002 to June 2003, rounded to the nearest whole dollar. By order of the Board of Governors of the Federal Reserve System, acting through the Director of the Division of Consumer and Community Affairs under delegated authority, August 18, 2003. Robert deV. Frierson, Deputy Secretary of the Board. [FR Doc. 03-21569 Filed 8-22-03; 8:45 am]

Connectionstraces to 5

Traces to 5 documents

U.S. Code

CFR