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United States PERIODICALS Government Postage and Fees Paid Printing Office U.S. Government Printing Office SUPERINTENDENT (ISSN 0097-6326) OF DOCUMENTS Washington, DC 20402 ************* ****3_qjqj-]- official business A FR PR0QU3OOP FEB 04 K Penalty for Private Use, $300 PROQUEST MARY K0ERNKE 300 N ZEEB RD ANN ARBOR MI 48106 1-30-04 Friday Vol. 69 No. 20 Jan. 30, 2004 II Federal Register/Vol. 69, No. 20/Friday, January 30, 2004 SUBSCRIPTIONS AND COPIES_ The FEDERAL REGISTER (ISSN 0097-6326) is published daily, Monday through Friday, except official holidays, by the Office PUBLIC of the Federal Register, National Archives and Records Administration, Washington, DC 20408, under the Federal Register Subscriptions: Act (44 U.S.C. Ch. 15) and the regulations of the Administrative Paper or fiche 202-512-1800 Committee of the Federal Register (1 CFR Ch. I). 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Printed on recycled paper. 2 Contents Federal Register Vol. 69, No. 20 Friday, January 30, 2004 Agriculture Department Defense Department See Forest Service See Air Force Department See Navy Department Air Force Department Employment Standards Administration NOTICES Agency information collection activities; proposals, NOTICES submissions, and approvals, 4497 Minimum wages for Federal and federally-assisted Meetings: construction; general wage determination decisions, Air Force Academy Board of Visitors, 4497 4541-4542 Energy Department Blind or Severely Disabled, Committee for Purchase From See Federal Energy Regulatory Commission People Who Are See Committee for Purchase From People Who Are Blind Environmental Protection Agency or Severely Disabled PROPOSED RULES Air pollutants, hazardous; national emission standards; and Census Bureau air pollution; standards of performance for new NOTICES stationary sources: Surveys, determinations, etc.: Electric utility steam generating units, 4651-4752 Annual trade survey, 4487-4488 Air programs: Ambient Air quality standards, national— Centers for Medicare & Medicaid Services Fine particulate matter and ozone; interstate transport PROPOSED RULES control measures, 4565-4650 Medicare: Air quality implementation plans; approval and Long-term care hospitals; prospective payment system; promulgation; various States: annual payment rate updates and policy changes, Florida, 4459-4463 4753-4817 Solid wastes: Psychiatric facilities; hospital inpatient services Hazardous waste; identification and listing— prospective payment system, 4464-4465 Solvent-contaminated reusable shop towels, rags, NOTICES disposable wipes, and paper towels; conditional Agency information collection activities; proposals, exclusion, 4463—4464 submissions, and approvals, 4520-4521 NOTICES Agency information collection activities; proposals, Commerce Department submissions, and approvals, 4509—4512 See Census Bureau Environmental statements; availability, etc.: See Industry and Security Bureau Agency statements; comment availability, 4513 See International Trade Administration Agency statement’s; weekly receipts, 4512-4513 See National Oceanic and Atmospheric Administration Meetings: National Drinking Water Advisory Council; Committee for Purchase From People Who Are Blind or teleconference, 4514 Severely Disabled Toxicological review of dichlorobenzenes and IRIS summary for 1,2-DCB, 1,3-DCB, and 1,4-DCB; NOTICES Procurement list; additions and deletions, 4485-4487 external peer-review panel review, 4514—4515 Correction, 4487 Superfund; response and remedial actions, proposed settlements, etc.: Committee for the Implementation of Textile Agreements Malver TCE Site, PA, 4515-4516 NOTICES Federal Aviation Administration Textile and apparel categories: African Growth and Opportunity Act and Andean Trade RULES Airworthiness directives: Promotion and Drug Eradication Act; short supply Boeing, 4452-4454 requests— Bombardier, 4454-4455 Fusible interlining fabrics used in waistbands McDonnell Douglas, 4448—4452 construction, 4494-4495 African Growth and Opportunity Act, Caribbean Basin Federal Communications Commission Trade Partnership Act, and Andean Trade Promotion NOTICES and Drug Eradication Act; short supply requests— Agency information'collection activities; proposals, Fusible interlining fabrics used in waistbands submissions, and approvals, 4516 construction, 4495-4497 Federal Energy Regulatory Commission Commodity Futures Trading Commission NOTICES NOTICES Agency information collection activities; proposals, Meetings; Sunshine Act, 4497 submissions and approvals, 4498—4499 IV Federal Register/Vol. 69, No. 20/Friday, January 30, 2004/Contents Electric rate and corporate regulation filings, 4502—4504 See National Institutes of Health Environmental statements; availability, etc.: NOTICES Allegheny Energy Supply Co., LLC, 4504 Agency information collection activities; proposals, Portland General Electric Co., 4504-4505 submissions, and approvals, 4518—4519 Public Utility District No. 1 of Cowlitz County, WA, 4505 Environmental statements; notice of intent: Housing and Urban Development Department Young Gas Storage Co., Ltd., 4505—4507 NOTICES Hydroelectric applications, 4507—4508 Grants and cooperative agreements; availability, etc.: Meetings: Homeless assistance; excess and surplus Federal Golden Pass LNG and Pipeline Project, 4508 properties, 4528—4529 Southwest Power Pool, Inc., Board of Directors and Industry and Security Bureau members, 4509 Practice and procedure: NOTICES Meetings: Off-the-record communications, 4509 Transportation and Related Equipment Technical Applications, hearings, determinations, etc.: Advisory Committee, 4488 ANR Pipeline Co., 4500 Equitrans, L.P., 4500—4501 Interior Department Iroquois Gas Transmission System, L.P., 4501 See Fish and Wildlife Service Midwest Independent Transmission System Operator, See Land Management Bureau Inc., 4501 See Minerals Management Service Paiute Pipeline Co., 4501 Vector Pipeline L.P., 4501—4502 Internal Revenue Service Williston Basin Interstate Pipeline Co., 4502 RULES Income taxes: Federal Highway Administration Confidential transactions; correction, 4557 NOTICES Environmental statements; notice of intent: International Trade Administration Multiple south and east counties, TX; correction, 4557 NOTICES Antidumping: Federal Mine Safety and Health Service Commission Automotive replacement glass windshields from— NOTICE China, 4488-4489 Meetings; Sunshine Act [EDITORIAL NOTE:] This Countervailing duties: document published at 69 FR 4320 in the Federal Softwood lumber products from— Register of January 29, 2004, was inadvertently placed Canada, 4489-4491 under the Mine Safety and Health Administration in Meetings: that issue’s table of contents. United States Travel and Tourism Promotion Advisory Federal Register Office Board, 4491 NOTICES Labor Department Public Laws; cumulative list: 107th Congress, Second Session, 4559-4563 See Employment Standards Administration NOTICES Federal Reserve System Agency information collection activities; proposals, submissions, and approvals, 4540—4541 NOTICES Banks and bank holding companies: Land Management Bureau Change in bank control, 4516-4517 Permissible nonbanking activities, 4517 , NOTICES Environmental statements; availability, etc.: Fish and Wildlife Service Timbered Rock Fire Salvage and Elk Creek Watershed, OR; restoration projects, 4529—4531 PROPOSED RULES Endangered Species Act: Environmental statements; notice of intent: Joint counterpart consultation regulations, 4465—4480 Kobuk-Seward Peninsula Planning Area, AK; resource management plan, 4531 Forest Service Meetings: NOTICES California Desert District Advisory Council, 4531-4532 Environmental statements; notice of intent: Flathead National Forest, MT, 4481-4482 Minerals Management Service Nebraska National Forest, NE, et al., 4482-4485 NOTICES Meetings: Outer Continental Shelf operations: Resource Advisory Committees— Alaska Region— Alpine County, 4485 Oil and gas lease sales, 4532-4540 General Services Administration National Institutes of Health NOTICES NOTICES Privacy Act: Inventions, Government-owned; availability for licensing, Systems of records, 4517—4518 4521-4522 Meetings: Health and Human Services Department Intramural research programs; policies and procedures, See Centers for Medicare & Medicaid Services 4522-4523 Federal Register/Vol. 69, No. 20/Friday, January 30, 2004/Contents V National Cancer Institute, 4523-4524 Meetings: National Institute of Neurological Disorders and Stroke, Millennium Challenge Corp; Sunshine meeting, 4555- 4525 4556 National Institute on Drug Abuse, 4524-4525 National Library of Medicine, 4525—4526 Textile Agreements Implementation Committee Scientific Review Center, 4526—4528 See Committee for the Implementation of Textile Agreements National Labor Relations Board NOTICES Transportation Department Meetings; Sunshine Act, 4542 See Federal Aviation Administration National Oceanic and Atmospheric Administration See Federal Highway Administration PROPOSED RULES RULES Endangered Species Act: Direct final rulemaking procedures; expedited processing of Joint counterpart consultation regulations, 4465-4480 noncontroversial changes, 4455—4458 NOTICES NOTICES Endangered and threatened species: Agency information collection activities; proposals, Findings on petitions, etc.— submissions, and approvals, 4556 Winter flounder and cunner, 4491-4494 Treasury Department Navy Department See Internal Revenue Service NOTICES Environmental statements; availability, etc.: Hancock County, MS; purchase of land for naval special Veterans Affairs Department operations forces training range; public hearings, PROPOSED RULES 4497-4498 Compensation, pension, burial and related benefits: Meetings: Service requirements for veterans, 4819—4842 Chief of Naval Operations Executive Panel, 4498 Nuclear Regulatory Commission Separate Parts In This Issue RULES Production and utilization facilities; domestic licensing: Part II Financial information requirements for applications to Readers Aids, Office of the Federal Register, National renew or extend operating license term for power Archives and Records Administration 4559—4563 reactor, 4439—4448 NOTICES Environmental statements; availability, etc.: Part III Connecticut Yankee Atomic Power Co., 4542—4543 Environmental Protection Agency, 4565—4650 Maine Yankee Atomic Power Co., 4543-4544 USEC Inc., correction, 4544-4545 Part IV Meetings: Environmental Protection Agency, 4651—4752 Nuclear Waste Advisory Committee, 4545 Reactor Safeguards Advisory Committee, 4545 Part V Securities and Exchange Commission Health and Human Services Department, Centers for NOTICES Medicare & Medicaid Services, 4753—4817 Agency information collection activities; proposals, submissions, and approvals, 4545—4547 Part VI Self-regulatory organizations; proposed rule changes: Veterans Affairs Department, 4819—4842 Fixed Income Clearing Corp., 4547—4548 Municipal Securities Rulemaking Board, 4548-4552 Options Clearing Corp., 4552-4555 Reader Aids State Department Consult the Reader Aids section at the end of this issue for phone numbers, online resources, finding aids, reminders, NOTICES and notice of recently enacted public laws. Agency information collection activities; proposals, submissions, and approvals, 4555 To subscribe to the Federal Register Table of Contents Foreign Operations, Export Financing, and Related LISTSERV electronic mailing list, go to http:// Programs Appropriations Act: listserv.access.gpo.gov and select Online mailing list Colombian Armed Forces; human rights violations; archives, FEDREGTOC-L, Join or leave the list (or change suspension determination, 4555 settings); then follow the instructions. VI Federal Register/Vol. 68, No. 20/Friday, January 30, 2003/Contents CFR PARTS AFFECTED IN THIS ISSUE A cumulative list of the parts affected this month can be found in the Reader Aids section at the end of this issue. 10 CFR 50.4439 14 CFR 39 (4 documents) ...4448, 4450, 4452, 4454 26 CFR 1.4557 38 CFR Proposed Rules: 5.4820 40 CFR Proposed Rules: 51 .4566 52 .4459 60 .4652 63.4652 72.4566 75.4566 96 .4566 260 .4463 261 .4463 42 CFR Proposed Rules: 412 (2 documents).4464, 4754 413 .4464 424.4464 49 CFR 5.:.4455 50 CFR Proposed Rules: 402.4465 Rules and Regulations Federal Register Vol. 69, No. 20 Friday, January 30, 2004 This section of the FEDERAL REGISTER rule or regulation, may determine to be for a finding of financial qualifications contains regulatory documents having general necessary to decide such of the for non-electric utility entities. applicability and legal effect, most of which technical and financial qualifications of Since the 1995 rulemaking, the NRC are keyed to and codified in the Code of the applicant * * * as the Commission has received 40 requests for license Federal Regulations, which is published under may deem appropriate for the license.” renewals and has granted 23 renewed 50 titles pursuant to 44 U.S.C. 1510. The NRC’s regulations governing licenses for twelve plant sites to electric The Code of Federal Regulations is sold by financial qualifications reviews of utilities. However, because of ongoing the Superintendent of Documents. Prices of applications for licenses to construct or deregulation in the power market, new new books are listed in the first FEDERAL operate nuclear power plants are entities other than electric utilities may REGISTER issue of each week. provided in 10 CFR 50.33(f). be created and become licensees of Section 50.33(f)(2), adopted on nuclear power plants. Some of these September 12, 1984 (49 FR 35747), entities may decide to renew their NUCLEAR REGULATORY requires all applicants for initial licenses. Under the current rule, these COMMISSION operating licenses and renewal of entities would be required to submit operating licenses to submit financial financial qualifications information 10CFR Part 50 qualifications information, except under § 50.33(f)(2). RIN 3150-AG84 applicants for and holders of operating NRC’s case-by-case determination of licenses for nuclear power reactors that financial qualifications is resource- Financial Information Requirements for are electric utilities. The exception for intensive and may result in delays in Applications To Renew or Extend the electric utilities was based on the approving renewal applications. The Term of an Operating License for a premise that the cost-of-service NRC has reviewed the license transfer Power Reactor ratemaking process ensures that electric process to determine if there is a basis utilities will have funds to operate their in the regulatory process that would AGENCY: Nuclear Regulatory nuclear power plants safely. Because eliminate the need for such a finding at Commission. entities other than electric utilities do license renewal. The NRC determined ACTION: Final rule. not have recourse to such ratemaking, that, with one exception, it does not they were required to submit need the financial qualifications SUMMARY: The Nuclear Regulatory information on financial qualifications information from license renewal Commission (NRC) is amending its in accordance with § 50.33(f), and the applicants that are not electric utilities. regulations to remove the requirement NRC was required to make a finding of The exception is when an existing that non-electric utility power reactor financial qualification for these non¬ nuclear power licensee transitions from licensees submit financial qualifications electric utility entities under an electric utility to an entity other than information in their license renewal § 50.57(a)(4). an electric utility without transferring applications, and to add a new In its 1991 License Renewal Rule, 10 its license. All license transfers requirement that electric utility CFR part 54 (56 FR 64943; December 13, involving non-electric utility applicants licensees of nuclear power reactors who 1991), the NRC reaffirmed that the basis require consideration of the financial become non-electric utility entities of the 1984 rulemaking for eliminating qualifications of the non-electric utility without a license transfer must notify financial qualifications reviews for entity that holds or will hold the the NRC and submit information on electric utilities applies not only for the license. However, an electric utility their financial qualifications. The final term of the original license, but also for licensee transitioning to a non-electric rule will reduce unnecessary regulatory the period of operation covered by a utility status without a license transfer burden on licensees seeking renewal of renewed license (56 FR at 64968). The would not be subject to an NRC review operating licenses and ensure that License Renewal Rule left unchanged of financial qualifications for the licensees that become non-electric the requirement in § 50.33(f)(2) that licensee as a non-electric utility entity utility entities continue to be financially license renewal applicants that are not under current NRC rules. If not closed, qualified to operate their facilities and electric utilities must submit financial this regulatory gap would prevent the maintain the public health and safety. qualifications information in their NRC from making a generic EFFECTIVE DATE: March 1, 2004. renewal applications. However, the determination that financial FOR FURTHER INFORMATION CONTACT: section of the License Renewal Rule that qualifications review is unnecessary at George J. Mencinsky, Office of Nuclear contains the standards for issuance of a license renewal. Reactor Regulation, U.S. Nuclear renewed license, 10 CFR 54.29, does not On June 4, 2002, the NRC published Regulatory Commission, Washington, require a finding regarding financial a proposed rule in the Federal Register DC 20555-0001, telephone (301) 415- qualifications for non-electric utility (67 FR 38427). The rule proposed to 3093, e-mail [email protected]. entities applying for license renewal. remove the requirement that non¬ SUPPLEMENTARY INFORMATION: The revisions to 10 CFR part 54 electric utility power reactor licensees published on May 8,1995 (60 FR submit financial qualifications Background 22461), did not amend the requirements information in their Jicense renewal Section 182.a. of the Atomic Energy in 10 CFR 54.29. Thus, while non¬ applications, and to add a new Act of 1954, as amended (AEA), electric utility entities are required to requirement that licensees of nuclear provides that “each application for a submit financial qualifications power reactors who are electric utilities license * * * shall specifically state information under 10 CFR 50.33, there reorganizing as or changing their status such information as the Commission, by is no requirement under 10 CFR 54.29 to non-electric utility entities without a ( 4440 Federal Register/Vol. 69, No. 20/Friday, January 30, 2004/Rules and Regulations license transfer must notify the NRC and financial qualifications information to information to identify changes in submit information on their financial the NRC. With the addition of this * licensees’ financial health, as well as qualifications. The proposed rule would provision, the NRC believes it has a indirect indicators of declining financial reduce unnecessary regulatory burden basis for concluding that non-electric health such as layoffs or increasing on licensees seeking renewal of utility licensees that are holders of technical problems. If the review of any operating licenses and ensure that operating licenses for nuclear power of these sources indicates that a licensees reorganizing as or changing to reactors need not submit financial licensee’s financial health may be non-electric utility entities continue to qualifications information during the deteriorating, the NRC can request have financial resources to operate their license renewal process. additional financial information from facilities safely. The public comment With this final rule, the NRC believes the licensee as authorized by 10 CFR period closed on August 19, 2002. Nine that review of financial qualifications of 50.33(f)(4) to confirm that a licensee has comments were received on the non-electric utility licensee applicants the financial resources to operate the proposed rule. at license renewal is not necessary. The facility safely. The financial information resulting process for oversight of that the NRC can request under 10 CFR Discussion financial qualifications is sufficient to 50.33(f)(4) can be the same type of After considering public comment, ensure that the NRC has adequate information required for an initial the NRC has decided to adopt the warning of adverse financial impacts so license application or a license transfer. proposed rule unchanged as the final that the NRC can take timely regulatory . The following sections discuss the rule. The final rule will remove the action to ensure public health and safety times in a licensee’s term of license requirement that non-electric utility and the common defense and security. when financial qualifications are power reactor licensees submit financial The resulting process has two reviewed and the changes made by this qualifications information in their components: (1) A formal review of final rule. license renewal applications. The final major triggering events, and (2) Initial Licensing Reviews rule will also add a new requirement monitoring of financial health between that licensees of nuclear power reactors the formal reviews due at the “triggering The NRC performs financial who are electric utilities reorganizing as events.” The relevant triggering events qualifications reviews during initial or changing their status to non-electric are (1) initial operating license licensing because the startup of a utility entities without a license transfer application, (2) license transfer, and (3) nuclear power reactor is a major must notify the NRC and submit transition from an electric utility to a financial undertaking that has information on their financial non-electric utility, either with or significant implications for a company’s qualifications. The final rule reduces without transfer of control of the financial health. The NRC’s financial unnecessary regulatory burden on license. In addition, the NRC can review qualifications review process is licensees seeking renewal of operating a licensee’s financial qualifications at contained in NUREG-1577, “Standard licenses and ensures that licensees any point during the term of the license Review Plan on Power Reactor Licensee reorganizing as or changing to non¬ if there is evidence of a decline in the Financial Qualifications and electric utility entities continue to be licensee’s financial health. The NRC Decommissioning Funding Assurance,” financially qualified to operate their believes that there are no unique March 1999. These reviews form part of facilities and maintain the public health financial circumstances associated with the licensing basis that the licensee and safety. These changes will increase license renewal because the NRC has no must maintain for the 40-year term of regulatory clarity and strengthen the information indicating a licensee’s the initial license and for any license NRC’s ability to protect public health revenues and expenses change due to renewal period. Financial qualifications and safety. The following discussion license renewal. reviews at the operating license stage presents the basis and rationale for this Between major triggering events, the distinguish between license applicants action. NRC relies upon periodic monitoring of that are electric utilities, as defined in The NRC’s regulations provide for an the financial health of licensees to 10 CFR 50.2, and those that are not. evaluation of the financial qualifications detect whether additional regulatory Applicants other than electric utilities of an applicant for a nuclear power scrutiny and action are necessary to are required to submit estimates for total reactor operating license or a licensee at assure public health and safety and the annual operating costs for each of the several points during a reactor’s common defense and security. The first 5 years of operation of the facility operating lifetime—at initial licensing, NRC’s current regulations require non¬ and to indicate the sources of funds to before license transfers, and when electric utility reactor licensees to cover these costs. The NRC’s evaluation circumstances warrant an ad hoc submit 5 years of financial projections of the financial qualifications of an request for additional financial for license renewal applications. entity other than an electric utility information. In addition, the NRC Because this financial qualifications applicant is based on the submitted 5- monitors the financial trade press and information ages quickly and is of year projections of income and other sources for information on limited relevance years later, the NRC expenses. In addition, the NRC licensees’ financial situations. relies on a process of monitoring considers current information from Currently, there is one gap in the licensees throughout the term of their several major financial rating service NRC’s regulatory provisions for licenses for any indications that they publications, and other relevant evaluating a power reactor licensee’s may not have sufficient financial information, may also be considered. As financial qualifications. The NRC’s resources to operate their plants safely. part of its evaluation, the NRC reviews current regulations do not require a The current licensee monitoring the reasonableness of an applicant’s financial qualifications review when a process involves the review of financial assumptions and inputs to its licensee transitions from an electric and industry trade press as well as other projections. The NRC publishes the utility to an entity other than an electric publicly available information, such as results of its evaluation in a safety utility without transferring control of its Securities and Exchange Commission evaluation report. The NRC’s license. This final rule will rectify the (SEC) submissions and Federal Energy regulations do not require additional regulatory gap by imposing a Regulatory Commission (FERC) financial qualifications reviews at requirement that these licensees submit submissions. The NRC reviews this scheduled intervals.

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