Unknown. Final Regulation

6,804 words·~31 min read·/register/2007/01/17/07-153

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-2007-01-17.xml --- 72 10 Wednesday, January 17, 2007 Contents Agricultural Agricultural Marketing Service RULES Tomatoes grown in Florida, 1917-1922 07-149 07-162 Agriculture Agriculture Department See Agricultural Marketing Service See Animal and Plant Health Inspection Service See Foreign Agricultural Service See Forest Service See Grain Inspection, Packers and Stockyards Administration See Natural Resources Conservation Service See Rural Business-Cooperative Service NOTICES Agency information collection activities; proposals, submissions, and approvals, 1977 E7-484 Animal Animal and Plant Health Inspection Service RULES Plant-related quarantine, domestic:

Pine shoot beetle, 1912-1913 E7-505 Census Census Bureau NOTICES Privacy Act; systems of records, 1979 E7-492 Centers Centers for Disease Control and Prevention NOTICES Meetings: Disease, Disability, and Injury Prevention and Control Special Emphasis Panels, 1998 E7-506 Children Children and Families Administration NOTICES Agency information collection activities; proposals, submissions, and approvals, 1998-1999 07-127 Commerce Commerce Department See Census Bureau See International Trade Administration See National Oceanic and Atmospheric Administration Corporation Corporation for National and Community Service NOTICES Agency information collection activities; proposals, submissions, and approvals, 1984-1985 E7-483 Defense Defense Department See Navy Department NOTICES Meetings:

Defense Health Board, 1985 07-130 EPA Environmental Protection Agency RULES Air programs; State authority delegations: Iowa, Missouri, and Nebraska, 1937-1945 E7-527 PROPOSED RULES Air quality implementation plans; approval and promulgation; various States; air quality planning purposes; designation of areas: Ohio, 1956-1965 E7-520 Air quality implementation plans; approval and promulgation; various States: Kentucky, 1954-1956 E7-531 NOTICES Air pollution control: Citizens suits; proposed settlements— American Foundry Society, 1986-1987 E7-516 Meetings:

Clean Air Scientific Advisory Committee, 1987-1989 E7-517 E7-523 Science Advisory Board, 1989-1990 E7-524 Pesticide programs: Risk assessments— Antimycin A, 1990-1992 E7-411 Risk mitigation decisions— Rodenticides, 1992-1993 E7-351 Pesticides; experimental use permits, etc.: Bayer CropScience LP, 1993-1995 E7-550 Reports and guidance documents; availability, etc.: Causal Analysis/Diagnosis Decision Information System (CADDIS); web site review draft, 1995-1996 E7-518 Executive Executive Office of the President See Trade Representative, Office of United States FAA Federal Aviation Administration RULES Airworthiness directives:

Airbus, 1928-1931 E7-399 PROPOSED RULES Airworthiness directives: General Electric Co., 1946-1947, 1949-1951 E7-498 E7-499 Turbomeca S.A., 1947-1949 E7-494 FCC Federal Communications Commission NOTICES Agency information collection activities; proposals, submissions, and approvals, 1996-1997 E7-346 E7-419 Meetings; Sunshine Act, 1997 07-163 Federal Highway Federal Highway Administration NOTICES Environmental statements; notice of intent: Coronado, CA, 2084 E7-491 Federal Housing Federal Housing Finance Board NOTICES Meetings;

Sunshine Act, 1997 07-188 FMC Federal Maritime Commission NOTICES Complaints filed: APM Terminals North America, Inc., 1997-1998 E7-496 Federal Railroad Federal Railroad Administration RULES Alcohol and drug testing; minimum random testing rates determination, 1945 E7-470 PROPOSED RULES Grants: Rail line relocation and improvement projects; implementation, 1965-1975 07-45 NOTICES Agency information collection activities; proposals, submissions, and approvals, 2084-2085 E7-487 Federal Transit Federal Transit Administration PROPOSED RULES Buy America requirements; end product analysis and waiver procedures, 1976 E7-473 Food Food and Drug Administration PROPOSED RULES Medical devices:

Orthopedic devices— Non-invasive bone growth stimulator; reclassification, 1951-1954 E7-476 NOTICES Reports and guidance documents; availability, etc.: Minimally manipulated, unrelated, allogeneic placental/umbilical cord blood for hematopoietic reconstitution in patients with hematological malignancies, 1999-2000 E7-549 Foreign Foreign Agricultural Service NOTICES Adjustment assistance; applications, determinations, etc.: Florida avocado producers, 1977 07-148 Forest Forest Service NOTICES Committees; establishment, renewal, termination, etc.:

Santa Rosa and San Jacinto Mountains National Monument Advisory Committee, 1978 07-132 GIPSA Grain Inspection, Packers and Stockyards Administration RULES Rice inspection services; fees increase, 1913-1917 07-153 Health Health and Human Services Department See Centers for Disease Control and Prevention See Children and Families Administration See Food and Drug Administration NOTICES Meetings: National Vaccine Advisory Committee, 1998 E7-553 Homeland Homeland Security Department See Immigration and Customs Enforcement Bureau Housing Housing and Urban Development Department NOTICES Agency information collection activities; proposals, submissions, and approvals, 2000-2001 E7-471 E7-472 Grant and cooperative agreement awards:

Fair Housing Initiatives Program, 2001-2006 E7-556 Mortgage and loan insurance programs: Credit Watch Termination Initiative; mortgagees whose Origination Approval Agreements have been terminated; list, 2006-2007 E7-582 Organization, functions, and authority delegations: Nashville, TN; post-of-duty station closing, 2007 E7-578 Immigration Immigration and Customs Enforcement Bureau RULES Immigration regulations: Inadmissible and deportable aliens, apprehension and detention; consular notification for detained aliens prior to removal order, 1923-1925 07-137 Indian Indian Affairs Bureau PROPOSED RULES Economic enterprises:

Gaming on trust lands acquired after October 1988; determination procedures, 1954 E7-511 NOTICES Tribal-State Compacts approval; Class III (casino) gambling: Quechan Tribe of Fort Yuma Indian Reservation, CA, 2007-2008 E7-514 Inter-American Inter-American Foundation NOTICES Meetings; Sunshine Act, 2007 07-189 Interior Interior Department See Indian Affairs Bureau See Land Management Bureau See National Park Service See Surface Mining Reclamation and Enforcement Office International International Trade Administration NOTICES Antidumping:

Corrosion-resistant carbon steel flat products from— Canada, 1979-1980 E7-530 Granular polytetrafluoroethylene resin from— Italy, 1980-1981 E7-551 Polyethylene retail carrier bags from— Thailand, 1982-1984 E7-552 Judicial Judicial Conference of the United States NOTICES Meetings: Judicial Conference Advisory Committee on— Criminal Procedure Rules, 2014-2015 07-125 Land Land Management Bureau NOTICES Closure of public lands: Wyoming, 2008-2009 E7-508 Committees; establishment, renewal, termination, etc.:

Central California Resources Advisory Council, 2009 07-129 Nevada Northeastern Great Basin Resource Advisory Council, 2009-2010 E7-509 Santa Rosa and San Jacinto Mountains National Monument Advisory Committee, 1978 07-132 Meetings: Resource Advisory Councils— Sierra Front-Northwestern Great Basin, 2010 E7-493 Public land orders: Alaska, 2010 E7-522 Recreation management restrictions, etc.: Meadowood Special Recreation Management Area, VA; visitor use and permits; supplementary rules, 2011-2013 E7-515 Withdrawal and reservation of lands:

Arizona, 2013 E7-510 Legal Legal Services Corporation NOTICES Meetings; Sunshine Act, 2015-2016 07-146 Maritime Maritime Administration NOTICES Coast Guard and Maritime Transportation Act of 2006; implementation: Liquefied natural gas transportation through offshore deepwater port receiving facilities; U.S. vessels and mariners utilization, 2086 E7-554 Coastwise trade laws; administrative waivers: EASY RIDER, 2086-2087 E7-542 ENA’S HAVEN, 2087 E7-544 NASA National Aeronautics and Space Administration NOTICES Federal antidiscrimination, whistleblower protection, and retaliation laws;

No FEAR Act notice, 2016-2017 E7-541 Patent licenses; non-exclusive, exclusive, or partially exclusive: Spacelines, LLC, 2017-2018 E7-477 National Archives National Archives and Records Administration NOTICES Agency information collection activities; proposals, submissions, and approvals, 2018-2019 E7-495 NOAA National Oceanic and Atmospheric Administration NOTICES Agency information collection activities; proposals, submissions, and approvals, 1984 E7-488 National Park National Park Service NOTICES Meetings:

Alaska Region Subsistence Resource Commission, 2014 E7-486 Delaware Water Gap National Recreation Area Citizen Advisory Commission, 2014 07-126 National Transportation National Transportation Safety Board NOTICES Meetings; Sunshine Act, 2019 07-185 NRCS Natural Resources Conservation Service NOTICES Reports and guidance documents; availability, etc.: National Handbook of Conservation Practices, 1978 E7-469 Navy Navy Department NOTICES Meetings: Chief of Naval Operations Executive Panel, 1985-1986 E7-500 Nuclear Nuclear Regulatory Commission NOTICES Environmental statements; availability, etc.:

University of Hawaii, School of Medicine, HI, 2021-2022 E7-507 Reports and guidance documents; availability, etc.: Control room envelope habitability; model safety evaluation; consolidated line item improvement process, 2022-2033 E7-503 *Applications, hearings, determinations, etc.:* Southern Nuclear Operating Co., Inc., 2019-2021 E7-501 Office of U.S. Trade Office of United States Trade Representative See Trade Representative, Office of United States Personnel Personnel Management Office RULES Health benefits, Federal employees:

Emergency health plan discontinuance, 1911-1912 E7-533 Postal Postal Service PROPOSED RULES Domestic Mail Manual: Domestic mailing services; new standards, 2090-2133 E7-245 Rural Rural Business-Cooperative Service NOTICES Loan guarantee authority; maximum available portions: 2007 FY, 1979 E7-504 SEC Securities and Exchange Commission NOTICES Agency information collection activities; proposals, submissions, and approvals, 2035-2036 E7-545 E7-546 Meetings; Sunshine Act, 2036 07-147 Privacy Act; systems of records, 2036-2040 E7-547 Securities:

Suspension of trading— Pathways Group, Inc., 2044 07-159 Securities Exchange Act: International Securities Exchange, LLC and National Association of Securities Dealers, Inc.; regulatory responsibilities allocation plan, 2040-2044 E7-539 Self-regulatory organizations; proposed rule changes: American Stock Exchange LLC, 2044-2047 E7-538 Boston Stock Exchange, Inc., 2047-2048 E7-526 Chicago Board Options Exchange, Inc., 2048 E7-540 Chicago Stock Exchange, Inc., 2049-2050 E7-536 International Securities Exchange, LLC, 2050-2052 E7-478 NASDAQ Stock Market LLC, 2052-2055 E7-543 National Association of Securities Dealers, Inc., 2055-2056 E7-525 New York Stock Exchange LLC, 2056-2058 E7-528 E7-535 New York Stock Exchange LLC et al., 2058-2078 E7-548 Philadelphia Stock Exchange, Inc., 2078-2079 E7-479 SBA Small Business Administration NOTICES Agency information collection activities; proposals, submissions, and approvals, 2079-2080 E7-489 Disaster loan areas:

Illinois, 2080 E7-481 Missouri, 2080 E7-480 Oregon, 2080-2081 E7-482 Social Social Security Administration NOTICES Agency information collection activities; proposals, submissions, and approvals, 2081-2083 E7-555 State State Department NOTICES Agency information collection activities; proposals, submissions, and approvals, 2083 E7-513 Surface Surface Mining Reclamation and Enforcement Office RULES Permanent program and abandoned mine land reclamation plan submissions: West Virginia, 1931-1937 E7-455 PROPOSED RULES Surface coal mining and reclamation operations:

Abandoned coal refuse remining operations; permit requirements and special permanent program performance standards, 2136-2166 E7-453 Thrift Thrift Supervision Office RULES Savings associations: Subordinated debt securities and mandatorily redeemable preferred stock; inclusion as supplementary capital, 1925-1928 E7-475 Trade Trade Representative, Office of United States NOTICES Generalized System of Preferences: 2006 annual product and country eligibility practices reviews— Product and country practice petitions accepted; list availability, 2033-2035 E7-474 Transportation Transportation Department See Federal Aviation Administration See Federal Highway Administration See Federal Railroad Administration See Federal Transit Administration See Maritime Administration Treasury Treasury Department See Thrift Supervision Office NOTICES Meetings:

Debt Management Advisory Committee, 2087-2088 07-123 U.S. U.S.-China Economic and Security Review Commission NOTICES Hearings, 2088 E7-602 Separate Parts In This Issue Part II Postal Service, 2090-2133 E7-245 Part III Interior Department, Surface Mining Reclamation and Enforcement Office, 2136-2166 E7-453 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. 72 10 Wednesday, January 17, 2007 Rules and Regulations OFFICE OF PERSONNEL MANAGEMENT 5 CFR Part 890 RIN 3206-AK95 Federal Employees Health Benefits Program: Discontinuance of Health Plan in an Emergency AGENCY: Office of Personnel Management.

ACTION: Final Regulation. SUMMARY: The Office of Personnel Management

(OPM)is issuing a final rule to amend the Federal Employees Health Benefits

(FEHB)regulations regarding discontinuance of a health plan to include situations in which a health plan becomes incapacitated, either temporarily or permanently, as the result of a disaster. EFFECTIVE DATE: February 16, 2007. FOR FURTHER INFORMATION CONTACT: For further information contact Edward M. DeHarde, Center for Employee and Family Support Policy, Strategic Human Resources Policy Division, Office of Personnel Management, 1900 E Street, NW., Washington, DC 20415; or call him at 202-606-0004. SUPPLEMENTARY INFORMATION: OPM currently has regulations dealing with the discontinuance of a health plan in whole or part. The regulations apply when a plan goes out of business or withdraws from the FEHB Program. Enrollees in such plans are notified that they need to change plans. The regulations also allow the automatic transfer of the enrollment of annuitants who do not change plans. In light of the devastation wrought by Hurricane Katrina, OPM has expanded the discontinuation of a health plan to include situations in which a plan becomes incapable of providing services, either on a permanent or temporary basis, because of a disaster. In such a situation enrollees are now allowed to change health plans. However, depending on the nature of the disaster, it may not be possible to locate enrollees to notify them of the need to change health plans. To ensure there is no loss of coverage, any enrollee who is not able to make a change in these circumstances will be transferred automatically to the standard option of the nationwide Blue Cross and Blue Shield Service Benefit Plan. To the extent practical, OPM will work together with carriers and agencies to notify affected individual employees, and OPM will make general notification or announcement on its Web site. Invoking the provisions of these final regulations will be at OPM's discretion. OPM will provide whatever notification is feasible, if a disaster necessitates enrollment changes under these provisions. It should be noted that, although one of the regulatory sections being amended, § 890.301, refers to employees who do not participate in premium conversion, under the premium conversion regulations at § 892.207 these provisions would also apply to employees who do participate in premium conversion. A proposed rule was published to amend 5 CFR part 890 in the **Federal Register** at 71 FR 11287, March 7, 2006. OPM requested comments by May 8, 2006. We received one comment by that date, from an FEHB Program carrier. The issues raised by this commenter are discussed below. The commenter suggested the regulations are unfair to affected carriers as it could force them to incur lost revenue; the commenter indicated that the proposed regulations do not define terms such as incapacitated, discontinuance, and disaster; the commenter suggested that the regulations do not provide a clear process for OPM to make determinations, enforce rules or communicate with members and plans; and the commenter suggested that the regulations give overly broad discretion to OPM. The intent of the regulations is that Federal employees can receive coverage for services in the event of a disaster, even if the employee's health plan is incapable of providing coverage. The regulations do not affect any health plan that could still provide benefit coverage to affected enrollees. Loss of coverage due to the discontinuation of a health plan is a longstanding part of FEHB Program regulations. The proposed rule adds discontinuation due to disaster to the list of possible causes for the discontinuation of a health plan. Under existing regulations, annuitants who do not change health plans when a plan is discontinued are deemed to have enrolled in the nationwide Blue Cross and Blue Shield Service Benefit Plan; however, employees who do not change health plans are deemed to have cancelled their coverage. Under the new rule, employees receive the same protection as annuitants when their health plan is discontinued due to disaster. This will ensure that no enrollee loses coverage because of a disaster. The rule requires wide latitude in its application since no one can accurately predict disaster or its aftermath. OPM is committed to protecting the health and safety of the Federal workforce. Therefore, for the reasons supplied in the proposed rule, we are adopting the proposed rule as the final rule without change. Regulatory Flexibility Act I certify that this regulation will not have a significant economic impact on a substantial number of small entities because the regulation only affects health benefits of Federal employees and retirees. Executive Order 12866, Regulatory Review This rule has been reviewed by the Office of Management and Budget in accordance with Executive Order 12866. Lists of Subjects in 5 CFR Part 890 Administrative practice and procedure, Government employees, Health facilities, Health insurance, Health professions, Hostages, Iraq, Kuwait, Lebanon, Military personnel, Reporting and recordkeeping requirements, Retirement. U.S. Office of Personnel Management. Linda M. Springer, Director. Accordingly, OPM is amending part 890 of title 5, Code of Federal Regulations as follows: PART 890—FEDERAL EMPLOYEES HEALTH BENEFITS PROGRAM 1. The authority citation for part 890 continues to read as follows: Authority: 5 U.S.C. 8913; § 890.303 also issued under 50 U.S.C. 403p, 22 U.S.C. 4069c and 4069c-1; subpart L also issued under sec. 599 C of Pub. L 101-513, 104 Stat. 2064, as amended; § 890.102 also issued under sections 11202(f), 11232(e), and 11246(b) and

(c)of Pub. L. 105-33, 111 Stat. 251; and section 721 of Pub. L. 105-261, 112 Stat. 2061 unless otherwise noted. 2. In § 890.301 add new paragraph (i)(4)(iv) to read as follows: § 890.301 Opportunities for employees who are not participants in premium conversion to enroll or change enrollment; effective dates.

(i)* * *

(4)* * *

(iv)If the discontinuance of the plan, whether permanent or temporary, is due to a disaster, an employee must change the enrollment within 60 days of the disaster, as announced by OPM. If an employee does not change the enrollment within the time frame announced by OPM, the employee will be considered to be enrolled in the standard option of the Blue Cross and Blue Shield Service Benefit Plan. The effective date of enrollment changes under this provision will be set by OPM when it makes the announcement allowing such changes. 3. In § 890.306 add new paragraph (1)(4)(v) to read as follows: § 890.306 When can annuitants or survivor annuitants change enrollment or reenroll and what are the effective dates?

(1)* * *

(4)* * *

(v)If the discontinuance of the plan, whether permanent or temporary, is due to a disaster, an annuitant must change the enrollment within 60 days of the disaster, as announced by OPM. If an annuitant does not change the enrollment within the time frame announced by OPM, the annuitant will be considered to be enrolled in the standard option of the Blue Cross and Blue Shield Service Benefit Plan. The effective date of enrollment changes under this provision will be set by OPM when it makes the announcement allowing such changes. 4. In § 890.806 add new paragraph (j)(4)(iv) to read as follows: § 890.806 When can former spouses change enrollment or reenroll and what are the effective dates?

(j)* * *

(4)* * *

(iv)If the discontinuance of the plan, whether permanent or temporary, is due to a disaster, the former spouse must change the enrollment within 60 days of the disaster, as announced by OPM. If the former spouse does not change the enrollment within the time frame announced by OPM, the former spouse will be considered to be enrolled in the standard option of the Blue Cross and Blue Shield Service Benefit Plan. The effective date of enrollment changes under this provision will be set by OPM when it makes the announcement allowing such changes. 5. In § 890.1108 add new paragraph (h)(4)(iv) to read as follows: § 890.1108 Opportunities to change enrollment; effective dates.

(h)* * *

(4)* * *

(iv)If the discontinuance of the plan, whether permanent or temporary, is due to a disaster, the enrollee must change the enrollment within 60 days of the disaster, as announced by OPM. If the enrollee does not change the enrollment within the time frame announced by OPM, the enrollee will be considered to be enrolled in the standard option of the Blue Cross and Blue Shield Service Benefit Plan. The effective date of enrollment changes under this provision will be set by OPM when it makes the announcement allowing such changes. [FR Doc. E7-533 Filed 1-16-07; 8:45 am] BILLING CODE 6325-39-P DEPARTMENT OF AGRICULTURE Animal and Plant Health Inspection Service 7 CFR Part 301 [Docket No. APHIS-2006-0117] Pine Shoot Beetle; Additions to Quarantined Areas AGENCY: Animal and Plant Health Inspection Service, USDA. ACTION: Affirmation of interim rule as final rule. SUMMARY: We are adopting as a final rule, without change, an interim rule that amended the pine shoot beetle regulations by adding counties in Illinois, Indiana, Iowa, New Jersey, New York, and Ohio to the list of quarantined areas and by designating the States of Michigan, Minnesota, and Pennsylvania, in their entirety, as quarantined areas based on their decision not to enforce intrastate movement restrictions. The interim rule also added the States of Connecticut and Rhode Island, in their entirety, to the list of quarantined areas based on projections of the natural spread of pine shoot beetle that make it reasonable to believe that the pest is present in those States. The interim rule was necessary to prevent the spread of pine shoot beetle, a pest of pine trees, into noninfested areas of the United States. DATES: Effective on January 17, 2007, we are adopting as a final rule the interim rule published at 71 FR 58243-58246 on October 3, 2006. FOR FURTHER INFORMATION CONTACT: Mr. Weyman Fussell, Program Manager, Pest Detection and Management Programs, PPQ, APHIS, 4700 River Road Unit 134, Riverdale, MD 20737-1231;

(301)734-5705. SUPPLEMENTARY INFORMATION: Background The regulations in 7 CFR 301.50 through 301.50-10 (referred to below as the regulations) restrict the interstate movement of certain regulated articles from quarantined areas in order to prevent the spread of pine shoot beetle

(PSB)into noninfested areas of the United States. In an interim rule 1 effective and published in the **Federal Register** on October 3, 2006 (71 FR 58243-58246, Docket No. APHIS-2006-0117), we amended the regulations by adding Jo Daviess and Stark Counties, IL; Dearborn County, IN; Dubuque and Scott Counties, IA; Bergen, Hunterdon, Passaic, Sussex, and Warren Counties, NJ; Columbia, Orange, and Ulster Counties, NY; and Highland, Jackson, Ross, and Scioto Counties, OH, to the list of quarantined areas in § 301.50-3(c). In addition, we designated the States of Michigan, Minnesota, and Pennsylvania, in their entirety, as quarantined areas based on their decision not to enforce intrastate movement restrictions. Finally, we added the States of Connecticut and Rhode Island, in their entirety, to the list of quarantined areas based on projections of the natural spread of PSB that make it reasonable to believe that the pest is present in those States. 1 To view the interim rule, go to *http://www.regulations.gov,* click on the “Advanced Search” tab, and select “Docket Search.” In the Docket ID field, enter APHIS-2006-0117, then click “Submit.” Clicking on the Docket ID link in the search results page will produce a list of all documents in the docket. Comments on the interim rule were required to be received on or before December 4, 2006. We did not receive any comments. Therefore, for the reasons given in the interim rule, we are adopting the interim rule as a final rule. This action also affirms the information contained in the interim rule concerning Executive Order 12866 and the Regulatory Flexibility Act, Executive Orders 12372 and 12988, and the Paperwork Reduction Act. Further, for this action, the Office of Management and Budget has waived its review under Executive Order 12866. List of Subjects in 7 CFR Part 301 Agricultural commodities, Plant diseases and pests, Quarantine, Reporting and recordkeeping requirements, Transportation. PART 301—DOMESTIC QUARANTINE NOTICES Accordingly, we are adopting as a final rule, without change, the interim rule that amended 7 CFR part 301 and that was published at 71 FR 58243-58246 on October 3, 2006. Done in Washington, DC, this 10th day of January 2007. W. Ron DeHaven, Administrator, Animal and Plant Health Inspection Service. [FR Doc. E7-505 Filed 1-16-07; 8:45 am] BILLING CODE 3410-34-P DEPARTMENT OF AGRICULTURE Grain Inspection, Packers and Stockyards Administration 7 CFR Part 868 RIN 0580-AA92 Fees for Rice Inspection Services AGENCY: Grain Inspection Packers and Stockyards Administration, USDA. ACTION: Final rule. SUMMARY: This final rule revises the regulations governing the sampling, inspection, weighing, and certification for rice by increasing certain fees charged for the services by approximately 18 percent. Further, the rice fees increase an additional 3 percent each year through fiscal year 2010 and establish a stowage examination fee. These revisions are necessary in order to recover, as nearly as practicable, the costs of performing these services under the Agricultural Marketing Act of 1946 (AMA). EFFECTIVE DATE: February 16, 2007. FOR FURTHER INFORMATION CONTACT: For information concerning program operations, contact John Giler, Deputy Director, Field Management Division, at his E-mail address: *john.c.giler@usda.gov* or by telephone

(202)720-0228. For information concerning fee development contact, contact Ms. Patricia Donohue-Galvin, Director, Budget and Planning Staff, at her E-mail address: *patricia.donohue-galvin@usda.gov* or by telephone

(202)690-0231. SUPPLEMENTARY INFORMATION: Background The AMA authorizes official inspection and weighing services, on a user-fee basis, of rice (7 U.S.C. 1622(h)). The AMA provides that reasonable fees be collected from the users of the services to cover, as nearly as practicable, the costs of the services rendered. The regulations in 7 CFR 868 list user fees for inspection and weighing services provided by the Grain Inspection, Packers and Stockyards Administration (GIPSA or Agency). This final rule amends the schedule for fees and charges for inspection and weighing services that GIPSA provides to the rice industry to reflect the costs necessary to operate the program. GIPSA receives no directly appropriated funds to provide inspection and weighing services. Our ability to provide these services depends on user fees. For our user fees to cover our costs so that we can continue to provide services and to inform our customers of user fees in time for advance planning, we proposed to set user fees for our inspection and weighing services for fiscal years 2007 through 2010. GIPSA regularly reviews its user fee programs to determine if the fees are adequate. While GIPSA continues to search for opportunities to reduce its costs, the existing fee schedule will not generate sufficient revenues to cover program costs while maintaining the Agency 3-month operating reserve. The cost of operating the rice program was $4.4 million during fiscal year 2006 and will increase to approximately $4.8 million by fiscal year 2010. These cost increases are due to estimated annual cost of living adjustments for employee salaries and benefits, equipment replacement, and information technology upgrades. Replacing aging rice inspection equipment will cost approximately $50,000. An information technology upgrade to improve certification efficiency and program management will cost approximately $300,000. The estimated costs incorporate plans to introduce program changes that will better control increases in long-term costs. We designed the revised fee structure to fund the rice program this fiscal year and future fiscal years to avoid a continued program deficit. The combination of the initial 18 percent increase and the subsequent annual 3 percent increases will ultimately cover the program's operating cost and replenish the 3-month retained earnings balance. We are also establishing a new fee for stowage examination services that we will provide as a service upon request. In the April 11, 2006 **Federal Register** (71 FR 18231-18236), we invited comments on our proposed rule identifying changes to the user fees we charge for rice inspection and weighing services. We solicited comments concerning our proposal for 60 days ending June 12, 2006. By the close of the comment period, we received two comments; one from representatives of a rice mill and one from a rice industry organization. Both commenters opposed the fee increases. The issues raised in these comments are discussed below. The comments, one from a rice industry trade organization and one from a rice mill, both opposed the fee increases. The trade organization stated that the fee increase was excessive and would lead to a reduction in service requested from the industry, resulting in a continuing cycle of fee increases. It also said that the fee increase was preemptive and premature considering the continuing nature of discussion on privatization. The trade organization indicated that GIPSA should eliminate costs, redesign its delivery system in certain locations, and it offered to work with GIPSA to evaluate options. The rice mill stated that the fees charged by GIPSA were much higher than private industry and that the increase would force the industry to look for alternatives. The mill also questioned a statement in the proposed rule concerning the voluntary nature of the inspection service, because GIPSA is the only agency issuing USDA Rice Inspection Certificates. We disagree with these comments. The rice inspection program is authorized under the AMA of 1946 and funded by user fees. The rice fees were last revised in 2003. Since that time, costs have increased and retained earnings have been depleted. Without the fee increase, the program will continue at a deficit. We have adopted cost savings measures; however some aspects of the program required upgrades, as previously discussed. In fact, we have already adopted program changes that involved a realignment of staff to better control rising personnel costs in the future. Further, program costs and revenues have been projected out through 2010 with fee adjustments on a fiscal year basis. This will minimize the impact of the needed fee increase and will provide the industry a template to take into account future rice program fees and stabilize program finances. While the agency has implemented appropriate cost savings measures, we have also completed our feasibility study that considered restructuring the program as part of a government-wide initiative designed to improve efficiency and cost effectiveness (see OMB Circular A-76). Specifically, our feasibility study determined that the A-76 action, which could include the use of private vendors to deliver inspection services, would not result in any savings to the rice inspection program or any long term savings to the rice industry. Therefore, a revision to the user fees is necessary now in order to run the inspection program without a deficit. Contrary to one of the commenter's statements, rice inspection is a voluntary service. Applicants in fact may choose to receive non-federal inspection services. While it is true that GIPSA is the only entity that issues USDA Rice Inspection Certificates, such certificates are not mandatory. Finally, we will continue to work with the rice industry, as appropriate, concerning this program. Miscellaneous Changes We made the following minor miscellaneous changes in the regulation to add clarity. In Table 2 of 7 CFR 868.91, the fees listed as

(a)and

(b)under Stowage Examination are the same, so we added the actual fee in row

(b)instead of implying it and only listing it in row (a). In footnote 2 of Table 2, we added a reference to the GIPSA Web site as an alternative source for field office information. We moved the text of footnote 3 in Table 2 to the introductory text of section 868.91 because it refers the reader back to the fees in Table 1. As a result, we renumbered footnote 4 in Table 2 as footnote 3. Therefore, for the reasons given in this proposed rule and in this document, we are adopting the proposed rule as a final rule, with the changes noted in this document. Executive Order 12866 and Regulatory Flexibility Act This rule has been determined to be not significant for the purposes of Executive Order 12866 and, therefore, the Office of Management and Budget

(OMB)has not reviewed it. As required by the Regulatory Flexibility Act (RFA); we have considered the economic impact of this action on small entities. The purpose of the RFA is to fit regulatory actions to the scale of businesses subject to such actions in order that small businesses will not be unduly or disproportionately burdened. We are making these regulatory changes because additional user fee revenues are needed to cover the costs of providing current and future program operations and services. There are approximately 135 applicants who receive rice inspection and weighing services. A small portion of these users are small entities under the criteria established by the Small Business Administration (13 CFR 121.201). GIPSA has determined that this final rule will not have a significant economic impact on a substantial number of small entities as defined under the RFA because the majority of applicants that apply for services do not meet the requirements of small entities. Rice inspection and weighing services are provided upon request and the fees charged to users of these services vary with usage. However, the impact on all businesses, including small entities, is very similar. Further, the rice industry businesses are under no obligation to use these services, and, therefore, any decision on their part to discontinue the use of the services should not prevent them from marketing their products. GIPSA regularly reviews its user fee financed programs to determine if the fees are adequate. GIPSA has and will continue to seek out cost saving opportunities and implement appropriate changes to reduce its costs. GIPSA's cost of operating the rice program was $4.4 million during fiscal year 2006 and will gradually escalate to approximately $4.8 million by fiscal year 2010. These cost increases through fiscal year 2010 are due to employee salaries and benefits coupled with estimated annual cost of living adjustments, the future costs of approximately $50,000 to replace aging rice inspection equipment in the offices, and the need to fund approximately $300,000 for an information technology upgrade to improve certification efficiency and program management. The fees cover the GIPSA administrative and supervisory costs for the performance of official services, including personnel compensation and benefits, travel, rent, communications, utilities, contractual services, supplies, and equipment. The 18 percent fee increase will initially increase the revenue of the program. The 3 percent annual increase through fiscal year 2010 is expected to cover the program's operating cost and replenish the 3-month reserve balance. To minimize the impact of a fee increase, GIPSA has decided to establish fee rates that will collect sufficient revenue over time to cover operating expenses, while striving to create a 3-month operating reserve by FY 2010. The following table reflects GIPSA's financial rice program projections through fiscal year 2010. GIPSA will evaluate the financial status of the rice program on a continuous basis to determine if it is meeting the goal of obtaining a 3-month operating reserve by FY 2010, and to determine if other adjustments are necessary. Table 1.—Rice Program FY06 Actual and Projections [Million dollars]* FY06 FY07 FY08 FY09 FY10 Revenue $4.0 $4.6 $5.0 $5.1 $5.3 Obligations 4.4 4.4 4.5 4.6 4.8 Projected Reserve (Retained Earnings) (0.5) (0.3) 0.2 0.7 1.2 Target Reserve (Retained Earnings) (3-months operating obligations) 1.1 1.1 1.2 1.2 1.2 * Figures may not sum due to rounding. GIPSA is also establishing a new fee for stowage examination services that we will provide as a service upon request. There is no additional reporting, recordkeeping, or other compliance requirements imposed upon small entities as a result of this final rule. Paperwork Reduction Act In compliance with the Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35), the information collection and record keeping requirements included in this final rule have been approved by OMB under control number 0580-0013. GIPSA is committed to compliance with the Government Paperwork Elimination Act, which requires Government agencies, in general, to provide the public the option of submitting information or transacting business electronically to the maximum extent possible. Executive Order 12988 We reviewed this final rule under Executive Order 12988, Civil Justice Reform. This action is not intended to have retroactive effect. This rule will not preempt any state or local laws, regulations or policies, unless they present an irreconcilable conflict with this rule. There are no administrative procedures that must be exhausted prior to any judicial challenge to the provisions of this rule. List of Subjects in 7 CFR Part 868 Administrative practice and procedure, Agricultural commodities, Reporting and recordkeeping requirements, Rice. For reasons set out in the preamble, amend 7 CFR Part 868 as follows: PART 868—GENERAL REGULATIONS AND STANDARDS FOR CERTAIN AGRICULTURAL COMMODITIES 1. Revise the authority citation for part 868 to read as follows: Authority: 7 U.S.C. 1621-1627. 2. Revise section 868.91 to read as follows: § 868.91 Fees for certain Federal rice inspection services. The fees shown in Tables 1 and 2 apply to Federal rice inspection services. Fees for other services not referenced in Table 2 will be based on the non-contract hourly rate listed in § 868.91, Table 1. Table 1.—Hourly Rates/Unit Rate per CWT Service 1 Regular workday (Monday-Saturday) Nonregular workday (Sunday-Holiday) Effective February 16, 2007 Contract (per hour per Service representative) $54.80 $76.00 Noncontract (per hour per Service representative) 66.80 92.10 Export Port Services (per hundredweight) 2 0.066 0.066 Effective October 1, 2007 Contract (per hour per Service representative) $56.40 $78.30 Noncontract (per hour per Service representative) 68.80 94.80 Export Port Services (per hundredweight) 2 0.068 0.068 Effective October 1, 2008 Contract (per hour per Service representative) $58.10 $80.70 Noncontract (per hour per Service representative) 70.90 97.70 Export Port Services (per hundredweight) 2 0.070 0.070 Effective October 1, 2009 Contract (per hour per Service representative) $59.90 $83.10 Noncontract (per hour per Service representative) 73.00 100.60 Export Port Services (per hundredweight) 2 0.072 0.072 Effective October 1, 2010 Contract (per hour per Service representative) $61.70 $85.60 Noncontract (per hour per Service representative) 75.20 103.60 Export Port Services (per hundredweight) 2 0.074 0.074 1 Original and appeal inspection services include: Sampling, grading, weighing, and other services requested by the applicant when performed at the applicant's facility. 2 Services performed at export port locations on lots at rest. Table 2.—Unit Rates Service 1 Effective February 16, 2007 Inspection for quality (per lot, sublot, or sample inspection):

(a)Rough rice $41.90

(b)Brown rice for processing 36.00

(c)Milled rice 26.00 Factor analysis for any single factor (per factor):

(a)Milling yield (per sample) (Rough or Brown rice) 32.50

(b)All other factors (per factor) (all rice) 15.60 Total oil and free fatty acid 50.80 Interpretive line samples: 2

(a)Milling degree (per set) 111.00

(b)Parboiled light (per sample) 27.20 Faxed and extra copies of certificates (per copy) 3.00 Stowage Examination (service-on-request) 3

(a)Ship (per stowage space) (minimum $252.50 per ship) 50.50

(b)Subsequent ship examination (same as original) (minimum $151.50 per ship) 50.50

(c)Barge (per examination) 40.50

(d)All other carriers (per examination) 15.50 Effective October 1, 2007 Inspection for quality (per lot, sublot, or sample inspection):

(a)Rough rice $43.20

(b)Brown rice for processing 37.10

(c)Milled rice 26.80 Factor analysis for any single factor (per factor):

(a)Milling yield (per sample) (Rough or Brown rice) 33.50

(b)All other factors (per factor) (all rice) 16.10 Total oil and free fatty acid 52.30 Interpretive line samples: 2

(a)Milling degree (per set) 114.30

(b)Parboiled light (per sample) 28.00 Faxed and extra copies of certificates (per copy) 3.00 Stowage Examination (service-on-request) 3

(a)Ship (per stowage space) (minimum $252.50 per ship) 50.50

(b)Subsequent ship examination (same as original) (minimum $151.50 per ship) 50.50

(c)Barge (per examination) 40.50

(d)All other carriers (per examination) 15.50 Effective October 1, 2008 Inspection for quality (per lot, sublot, or sample inspection):

(a)Rough rice $44.50

(b)Brown rice for processing 38.20

(c)Milled rice 27.60 Factor analysis for any single factor (per factor):

(a)Milling yield (per sample) (Rough or Brown rice) 34.50

(b)All other factors (per factor) (all rice) 16.60 Total oil and free fatty acid 53.90 Interpretive line samples: 2

(a)Milling degree (per set) 117.70

(b)Parboiled light (per sample) 28.80 Faxed and extra copies of certificates (per copy) 3.00 Stowage Examination (service-on-request) 3

(a)Ship (per stowage space) (minimum $252.50 per ship) 50.50

(b)Subsequent ship examination (same as original) (minimum $151.50 per ship) 50.50

(c)Barge (per examination) 40.50

(d)All other carriers (per examination) 15.50 Effective October 1, 2009 Inspection for quality (per lot, sublot, or sample inspection):

(a)Rough rice $45.80

(b)Brown rice for processing 39.40

(c)Milled rice 28.40 Factor analysis for any single factor (per factor):

(a)Milling yield (per sample) (Rough or Brown rice) 35.50

(b)All other factors (per factor) (all rice) 17.10 Total oil and free fatty acid 55.50 Interpretive line samples: 2

(a)Milling degree (per set) 121.30

(b)Parboiled light (per sample) 29.70 Faxed and extra copies of certificates (per copy) 3.00 Stowage Examination (service-on-request) 3

(a)Ship (per stowage space) (minimum $252.50 per ship) 50.50

(b)Subsequent ship examination (same as original) (minimum $151.50 per ship) 50.50

(c)Barge (per examination) 40.50

(d)All other carriers (per examination) 15.50 Effective October 1, 2010 Inspection for quality (per lot, sublot, or sample inspection):

(a)Rough rice $47.20

(b)Brown rice for processing 40.60

(c)Milled rice 29.30 Factor analysis for any single factor (per factor):

(a)Milling yield (per sample) (Rough or Brown rice) 36.60

(b)All other factors (per factor) (all rice) 17.60 Total oil and free fatty acid 57.20 Interpretive line samples: 2

(a)Milling degree (per set) 124.90

(b)Parboiled light (per sample) 30.60 Faxed and extra copies of certificates (per copy) 3.00 Stowage Examination (service-on-request) 3

(a)Ship (per stowage space) (minimum $252.50 per ship) 50.50

(b)Subsequent ship examination (same as original) (minimum $151.50 per ship) 50.50

(c)Barge (per examination) 40.50

(d)All other carriers (per examination) 15.50 1 Fees apply to determinations (original or appeals) for kind, class, grade, factor analysis, equal to type, milling yield, or any other quality designation as defined in the U.S. Standards for Rice or applicable instructions, whether performed singly or in combination at other than at the applicant's facility. 2 Interpretive line samples may be purchased from the U.S. Department of Agriculture, GIPSA, FGIS, Technical Services Division, 10383 North Ambassador Drive, Kansas City, Missouri 64153-1394. Interpretive line samples also are available for examination at selected FGIS field offices. A list of field offices may be obtained from the Director, Field Management Division, USDA, GIPSA, FGIS, 1400 Independence Avenue, SW., STOP 3630, Washington, DC 20250-3630 or from the GIPSA Web site ( *http://www.gipsa.usda.gov* ). The interpretive line samples illustrate the lower limit for milling degrees only and the color limit for the factor “Parboiled Light” rice. 3 If performed outside of normal business hours, 1 1/2 times the applicable unit fee will be charged. James E. Link, Administrator, Grain Inspection, Packers and Stockyards Administration. [FR Doc. 07-153 Filed 1-16-07; 8:45 am]

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