Federal Register 2006-01-10: Vol 71 Iss 6

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Vol. 71 No. 6 Jan. 10, 2006
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Vol. 71 No. 6 Jan. 10, 2006
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II Federal Register/Vol. 71, No. 6/Tuesday, January 10, 2006
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Contents
Federal Register
Vol. 71. No. 6
Tuesday, January 10, 2006
Agriculture Department JC Penney Catalog Distribution Center, 1554
See Animal and Plant Health Inspection Service Jessica Trimmings et al., 1555-1558
See Forest Service Messier Services, Inc., 1558
Operations Centre, 1558
Alcohol and Tobacco Tax and Trade Bureau Pacific MDF Products, Inc., 1558-1559
PROPOSED RULES Paxar.Americas, Inc., 1559
Alcohol; viticultural area designations:
Saddle Rock-Malihu, Los Angeles County, CA, 1500-1504
Energy Department
NOTICES
See Federal Energy Regulatory Commission
Agency information collection activities: proposals,
See Southwestern Power Administration
submissions, and approvals, 1584-1585
See Western Area Power Administration
Animal and Plant Health Inspection Service
NOTICES Environmental Protection Agency
Environmental statements: availability, etc.: PROPOSED RULES
University of Wisconsin-Madison; genetically engineered Toxic substances:
erwinia carotovora; field tests, 1506-1507 Lead; renovation, repair, and painting program; hazard
exposure reduction, 1588-1636
Coast Guard NOTICES
RULES Meetings:
Drawbridge operations: Environmental Policy and Technology National Advisory
Connecticut, 1494-1496 Council, 1538
Vocational rehabilitation and education: Toxic and hazardous substances control:
Reservists education— Chemical testing—
Montgomery GI Bill—Selected Reserve; eligibility Data receipt, 1538-1540
requirements, 1496-1498
Executive Office of the President
Commerce Department
See Presidential Documents
See International Trade Administration
See National Oceanic and Atmospheric Administration
Federal Aviation Administration
Comptroller of the Currency RULES
Air carrier certification and operations:
NOTICES
Agency information collection activities; proposals, Antidrug and alcohol misuse prevention programs for
submissions, and approvals, 1585-1586 personnel engaged in specified aviation activities,
1666-1677
Corporation for National and Community Service Airworthiness standards:
Special conditions—
NOTICES
Meetings: Boeing Model 747-400 airplane, 1485—1488
AmeriCorps National Civilian Community Corps Exemption petition dispositions; Federal Register
Advisory Board, 1521 publishing requirement eliminated, 1483-1485
NOTICES
Defense Department Reports and guidance documents; availability, etc.:
Lighting direct effects compliance; policy statement,
RULES
Vocational rehabilitation and education: 1582-1583
Reservists education—
Montgomery GI Bill—Selected Reserve; eligibility Federal Energy Regulatory Commission
requirements, 1496-1498 NOTICES
Applications, hearings, determinations, etc.:
Education Department California Electricity Oversight Board et al., 1527-1530
NOTICES
Agency information collection activities; proposals,
Federal Railroad Administration
submissions, and approvals, 1521-1523
Grants and cooperative agreements: availability, etc.: RULES
Alcohol and drug testing: minimum random testing rates
Special education and rehabilitative services—
determination, 1498-1499
Small Business Innovative Research Program, 1523-
1527
Federal Reserve. System
Employment and Training Administration RULES
NOTICES Electronic fund transfers (Regulation E):
Adjustment assistance; applications, determinations, etc.: Financial institutions compliance requirements; official
Hanes Dye & Finishing Co. et al., 1554-1555 staff commentary, 1473—1483, 1638—1664
IV Federal Register/Vol. 71, No. 6/Tuesday, January 10, 2006/Contents
Federal Trade Commission See Mine Safety and Health Administration
NOTICES
Premerger notification waiting periods; early terminations, Land Management Bureau
1540-1542 NOTICES
Resource mcuiagement plans, etc.:
Fish and Wildlife Service Carson City Field Office, NV, 1550-1551
Jarbidge Field Office, ID, 1551-1552
NOpCES
Endangered and threatened species permit determinations,
Minerals Management Service
etc., 1550
NOTICES
Food and Drug Administration Agency information collection activities; proposals,
submissions, and approvals, 1552-1553
RULES
Medical devices:
Mine Safety and Health Administration
Medical device reporting, 1488
NOTICES
NOTICES
Agency information collection activities; proposals,
Agency information collection activities; proposals,
submissions, and approvals, 1559-1560
submissions, and approvals, 1542-1543
Reports and guidance documents; availability, etc.:
National Council on Disability
Veterinary Medicinal Products, International Cooperation
NOTICES
on Harmonisation of Technical Requirements for
Meetings; Sunshine Act, 1560
Registration—
New veterinary medicinal products; impurities, 1543- National Highway Traffic Safety Administration
1544
NOTICES
Agency information collection activities; proposals,
Forest Service submissions, and approvals, 1583-1584
NOTICES
Meetings: Nationai Institute of Corrections
Resource Advisory Committees— NOTICES
Crook County, 1508 Meetings:
Ketchikan, 1508 Advisory Board, 1553
Recreation fee areas;
Tongass National Forest, AK; Fish Creek Wildlife National Institutes of Heaith
Observation Site, 1508 NOTICES
Inventions, Government-owned; availability for licensing,
Health and Human Services Department 1544-1545
See Food and Drug Administration Patent licenses; non-exclusive, exclusive, or partially
See National Institutes of Health exclusive:
See Substance Abuse and Mental Health Services Van Andel Research Institute, 1545
Administration
Nationai Oceanic and Atmospheric Administration
Homeland Security Department NOTICES
See Coast Guard Fishery conservation and management;
Caribbean, Gulf, and South Atlantic fisheries—
Interior Department Gulf of Mexico shrimp and reef fish resources, 1519-
See Fish and Wildlife Service 1520
See Land Management Bureau Scientific research permit determinations, etc., 1521
See Minerals Management Service
National Science Foundation
See Surface Mining Reclamation apd Enforcement Office
NOTICES
Environmental statements: notice of intent:
International Trade Administration
U.S. Implementing Organization’s participation in
NOTICES
Integrated Ocean Drilling Program; potential
Antidumping:
environmental impacts, 1560-1563
Polyester staple fiber from—
Taiwan and Korea, 1508-1509
Nuclear Regulatory Commission
Small diameter carbon and alloy seamless standard, line,
NOTICES
and pressure pipe from—
Meetings:
Romania, 1509-1511 Reactor Safeguards Advisory Committee, 1563
Wooden bedroom furniture firom— Meetings; Sunshine Act, 1563-1564
China, 1511
Countervailing duties: Overseas Private Investment Corporation
Hot-rolled carbon steel flat products firom— NOTICES
India, 1512-1519 Meetings; Sunshine Act, 1564
Justice Department Pipeline and Hazardous Materiais Safety Administration
See National Institute of Corrections PROPOSED RULES
Pipeline safety:
Labor Department Gas gathering line definition: safety standards for onshore
See Employment and Training Administration lines; public meeting, 1504-1505
Federal Register/Vol. 71, No. 6/Tuesday, January 10, 2006/Contents V
Presidential Documents See Federal Railroad Administration
ADMINISTRATIVE ORDERS See National Highway Traffic Safety Administration
Peru; notice of intent to enter into free trade agreement See Pipeline and Hazardous Materials Safety
(Notice of January 6, 2006), 1679-1681 Administration
See Surface Transportation Board
Securities and Exchange Commission
NOTICES Treasury Department
Investment Company Act of 1940: See Alcohol and Tobacco Tax and Trade Bureau
Thriven! Mutual Funds et al., 1564-1569 See Comptroller of the Cmrency
Public Utility Holding Company Act of 1935 filings, 1569-
1580 Veterans Affairs Department
Self-regulatory organizations; proposed rule changes: RULES
American Stock Exchange LLC, 1580-1581 Vocational rehabilitation and education:
Resei V !& is'* education—
Small Business Administration Montgomery GI Bill—Selected Reserve; eligibility
NOTICES requirements, 1496-1498
Disaster loan areas:
Alabama, 1581 Western Area Power Administration
Indiana, 1581 NOTICES
Louisiana, 1581-1582 Power rates:
Mississippi, 1582 Central Arizona Project, 1533-1538
Texas, 1582
Southwestern Power Administration
Separate Parts In This Issue
NOTICES
Power rates:
Part II
Robert D. Willis Hydropower Project, 1530-1531
Environmental Protection Agency, 1588-1636
Sam Rayburn Dam, 1531-1533
Partin
Substance Abuse and Mental Health Services
Federal Reserve System, 1638-1664
Administration
Part IV
NOTICES
Transportation Department, Federal Aviation
Agency information collection activities; proposals,
Administration, 1666-1677
submissions, and approvals, 1545-1548
Federal agency urine drug testing; certified laboratories
Part V
meeting minimum standards, list, 1548-1550
Executive Office of the President, Presidential Documents,
1679-1681
Surface Mining Reclamation and Enforcement Office
RULES
Permanent program and abandoned mine land reclamation
plan submissions: Reader Aids
Virginia, 1488-1494 Consult the Reader Aids section at the end of this issue for
phone numbers, online resources, finding aids, reminders,
Surface Transportation Board and notice of recently enacted public laws.
NOTICES
Railroad operation, acquisition, construction, control, etc.: To subscribe to the Federal Register Table of Contents
Burlington Northern & Santa Fe Railway Co., 1584 LISTSERV electronic mailing list, go to http://
listserv.access.gpo.gov and select Online mailing list
Transportation Department archives, FEDREGTOC-L, Join or leave the list (or change
See Federal Aviation Administration settings); then follow the instructions.
ii?i)»! P vw nail lyp I I mp, mtim •m
VI Federal Register/Vol. 71, No. 6/Tuesday, January 10, 2006/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.
3 CFR
Administrative Orders:
Notices;
Notice of January 6,
2006.1681
12 CFR
205 (2 documents).1473,
1638
14 CFR
11.1483
25.1485
121.1666
21 CFR
803.r.....1488
27 CFR
Proposed Ruies:
9.1500
30 CFR
946.1488
33 CFR
117.1494
38 CFR
21.1496
40 CFR
Proposed Rules:
745.1588
49 CFR
219.1498
Proposed Rules:
192.1504
.1
1473
Rules and Regulations
Federal Register
Vol. 71, No. 6
Tuesday, January 10, 2006
This section of the FEDERAL REGISTER • Mail-: Jennifer J. Johnson, Secretary, protection from liability under sections
contains regulatory documents having general Board of Governors of the Federal 915 and 916 of the EFTA for financial
applicability and legal effect, most of which Reserve System, 20th Street and institutions and persons subject to the
are keyed to and codified in the Code of Constitution Avenue, NW., Washington, Act. 15 U.S.C. 1693m(d)(l). The
Federal Regulations, which is published under DC 20551. commentary is updated periodically to
50 titles pursuant to 44 U.S.C. 1510. All public comments are available address significant questions that arise.
from the Board’s Web site at http://
Tthhee SCuopdeeri notfe Fndedeenrta ol t RDeogcuulamtieonntss . isP rsiocleds boyf www.federalreserve.gov/generalinfo/ ICI.o mBamcekngtrso Runedce aivnedd O verview of
new books are listed in the first FEDERAL foia/ProposedRegs.cfm as submitted,
REGISTER issue of each week. unless modified for technical reasons. Payroll cards have become
Accordingly, your comments will not be increasingly popular with some
edited to remove any identifying or employers, financial institutions, and
FEDERAL RESERVE SYSTEM contact information. Public comments payroll service providers as a means of
may also be viewed electronically or in providing a consumer’s wages or other
12CFR Part 205 paper in Room MP-500 of the Board’s recurring compensation payments—
[Regulation E; Docket No. R-1247] Martin Building (20th and C Streets, assets that the consumer is able to
NW.) between 9 a.m. and 5 p.m. on access and spend via an access device
Electronic Fund Transfers weekdays. that provides functionality comparable
agency: Board of Governors of the FOR FURTHER INFORMATION CONTACT: Ky to that of a debit card. Typically, an
Federal Reserve System. Tran-Trong, Senior Attorney, or Daniel employer, in conjunction with a bank,
ApCuTbIlOicN :c Ionmtemriemn tf. inal rule; request for GC.o Lunosneelrsg, aDn ivoris Dioanv iodf AC.o nSsteuimn,e r and wcairldl pwroitvhi dae m thage neemtipc lsotyriepee w; tihthis ac parlads tic
Community Affairs, Board of Governors accesses an account (or subaccount)
summary: The Board is amending of the Federal Reserve System, assigned to the individual employee.
Regulation E, which implements the Washington, DC 20551, at (202) 452- Each payday, the employer credits this
Electronic Fund Transfer Act, and the 2412 or [phone]. For users of account for the amount of the
official staff commentary to the Telecommunications Device for the Deaf employee’s compensation instead of
regulation. The commentary interprets (TDD) only, contact [phone]. providing the employee with a paper
the requirements of Regulation E to SUPPLEMENTARY INFORMATION: check or making a direct deposit of
facilitate compliance primarily by salary to the employee’s checking
financial institutions that offer I. Statutory Background account. The employee-consumer can
electronic fund transfer services to The Electronic Fund Transfer Act use the payroll card to withdraw his or
consumers. (EFTA or Act) (15 U.S.C. 1693 et seq.], her funds at an ATM, and to make
The interim final rule provides that enacted in 1978, provides a basic purchases at POS (and possibly get cash
payroll card accounts established framework establishing the rights, back). Some payroll cards may offer
directly or indirectly by an employer on liabilities, and responsibilities of features such as convenience checks
behalf of a consumer to which participants in electronic fund transfer and electronic bill payment. Payroll
electronic fund transfers of the (EFT) systems. The EFTA is cards are often marketed to employers
consumer’s salary, wages, or other implemented by the Board’s Regulation as an effective means of providing
employee compensation are made on a E (12 CFR part 205). Examples of types wages to employees who lack a
recurring basis are accounts covered by of transfers covered by the Act and traditional banking relationship. For
Regulation E. regulation include transfers initiated “unbanked” consumers, payroll card
DATES: This interim final rule is through an automated teller machine products can serve as substitutes for
effective July 1, 2007. Comments must (ATM), point-of-sale (POS) terminal, traditional transaction accounts at a
be received on or before March 13, 2006. automated clearinghouse (ACH), financial institution.
ADDRESSES: You may submit comments, telephone bill-payment plan, or remote On September 17, 2004, the Board
identified by Docket No. R-1247, by any banking service. The Act and regulation published a notice of proposed
of the following methods: require disclosure of terms and rulemaking in the Federal Register (69
• Agency Web Site: http:// conditions of an EFT service; FR 55,996) (September 2004 proposal)
www.federalreserve.gov. Follow the documentation of EFTs by means of to provide, among other things, that the
instructions for submitting comments at terminal receipts and periodic account term “account” under Regulation E
http:// www.federalreserve.gov/ activity statements; limitations on includes payroll card accounts
generalinfo/foia/ProposedRegs. cfm. consumer liability for unauthorized established by an employer for the
• Federal eRulemaking Portal: http:// transfers; procedures for error purpose of providing an employee’s
www.regulations.gov. Follow the resolution; and certain rights related to compensation on a recurring basis. A
instructions for submitting comments. preauthorized EFTs. Further, the Act payroll card account would be subject to
• E-mail: and regulation also prescribe the regulation whether it is operated or
[email protected]. restrictions on the unsolicited issuance managed by the employer, a third-party
Include the docket number in the of ATM cards and other access devices. payroll processor, or a depository
subject line of the message. The official staff commentary (12 CFR institution.
• FAX: [phone] or (202) 452- part 205 (Supp. I)) is designed to The Board received approximately
3102. facilitate compliance and provide 120 comment letters on the September
1474 Federal Register/Vol. 71, No. 6/Tuesday, January 10, 2006/Rules and Regulations
2004 proposal, nearly 50 of which compensation are made on a recurring of payroll card accounts as proposed
specifically commented on the proposed basis. The interim final rule under § 205.2(b)(2).
revisions addressing payroll card incorporates a new § 205.18 to grant Overall, the majority of commenters
accounts. Comments were received fi'om financial institutions flexibility in how supported coverage of payroll card
a variety of industry commenters, to provide certain account transaction accounts under Regulation E. Many
including banks, thrifts, credit unions, information to payroll card users. Under industry commenters agreed that
and industry trade associations. the new section, financial institutions Regulation E coverage was appropriate
Comments were also received from would be granted an alternative to for payroll cards, but urged the Board to
consumer groups and individual regularly providing paper periodic narrowly define payroll cards so as to
consumers. statements. In particular, instead of include only those types of products
Industry commenters generally agreed providing paper periodic statements that are truly intended to serve as
that it was appropriate to cover payroll under § 205.9, an institution would: (1) “accounts.” In this regard, some
card accounts under Regulation E, but Make available to the consumer balance industry commenters were concerned
urged the Board not to cover other information through a readily available that an overly broad definition of
stored-value products so as not to telephone line; (2) make available to the payroll cards might have the effect of
discourage the continued evolution of consumer an electronic history (such as stifling the development of emerging
such products. Most industry via the Internet) of the consumer’s stored-value card products.
commenters also asserted that not all account transactions covering at least a A few industry commenters objected
provisions of Regulation E should apply period of 60 days prior to the to the characterization of payroll cards
to payroll card accounts. In particular, consumer’s oral or written request; and as “accounts” or “account substitutes,”
industry commenters stated that (3) provide promptly upon the asserting that funds are added to payroll
institutions should not be required to consumer’s request, a written history of card accounts in a more limited manner
provide paper periodic statements. the consumer’s account transactions than they are to traditional deposit
These commenters cited various covering at least a period of 60 days accounts. (With a payroll card, funds
reasons, including that other means of prior to the request. The history of can often be added to the account only
accessing balance and transaction account transactions provided by the employer and not the employee.)
information, such as via a telephone and electronically or upon request would set These industry commenters believed
the Internet, provided more useful and forth the same type of information that payroll cards were more
timely information to consumers at less required to be provided on paper appropriately characterized as
cost to financial institutions. Industry periodic statements otherwise required “payment substitutes” because they
commenters also stated that payroll card under Regulation E, including provide a means for replacing paper
users are often unbanked and chiefly information about any fees for EFTs checks.
interested in obtaining balance imposed during the period in Consumers and consumer groups
information and, further, that this connection with the payroll card supported the proposal’s broad coverage
population was typically transient, account. of financial institutions, employers, and
m^ng paper statements difficult to providers, and stated that all Regulation
deliver. Consumer groups urged the The comments received on the E protections, including the provision of
Board to expand the scope of the proposal, and the Board’s response to periodic statements, should apply to
proposal to cover any stored-value the comments, are discussed in the payroll card accounts. These
product that is meirketed or used as an following section-by-section analysis. commenters also recommended
accoimt substitute, or that is used to As discussed below, the Board is broadening the scope of the rule to
receive payments of significant adopting these rules as interim final encompass all cards “marketed as
household funds, such as workers’ rules so that interested parties may substitutes” for a bank account, as well
compensation or unemployment comment on the new requirements. The as cards that are used to receive
benefits. effective date of the interim final rule is payments of significant household
A final rule addressing the other July 1, 2007. funds, such as workers’ compensation,
proposed provisions addressing IV. Section-by-Section Analysis . unemployment benefits, social security
electronic check conversion transactions payments, or tax refunds.
and other matters in the September 2004 Section 205.2 Definitions 2(b) Account By express definition, the coverage of
proposal is published elsewhere in this EFT services under the EFTA and
Federal Register. The EFTA and Regulation E apply to Regulation E depends upon whether a
* any EFT that authorizes a financial
III. Summary of the Interim Final Rule institution to debit or credit a transaction involves an EFT to or fi’om
a consumer’s account. Section 903(2) of
The Board has modified the proposed consumer’s asset account. Under the
the EFTA defines cm “account” as a
rule in light of the conunents received. proposed rule, the term “account” in
“demand deposit, savings deposit, or
In order to give interested parties an § 205.2(b)(3) would be revised to
other asset account * * * as described
opportunity to comment on the include a “pa5Toll card account”
in regulations of the Board, established
modifications made, and, in particular, directly or indirectly established by an
primarily for personal, family, or
on the alternative means to provide employer on behalf of a consumer to
household purposes.” The definition is
periodic statement information, the which EFTs of the consumer’s wages,
broad and is not limited to traditional
Board is publishing this interim final salary, or other employee compensation
checking and savings accounts.^ Under
rule for comment. are made on a recurring basis. A payroll
Under the interim final rule, payroll card account would be subject to the
* The EFTA’s legislative history evidences a clear
ceud accounts are defined as “accounts” regulation whether the account is
Congressional intent to define the term “account”
for purposes of coverage under operated or managed by the employer, broadly to ensure that “all persons who offer
Regulation E, and include those a third-party payroll processor, or a equivalent EFT services involving any type of asset
accoimts directly or indirectly depository institution. The interim final account are subject to the same standards and
consumers owning such accounts are assured of
established by an employer to which rule redesignates current § 205.2(b)(2) as
uniform protection.” S. Rep. No. 915, 95th Cong.,
EFTs of the consumer’s wages or other § 205.2(b)(3) and adopts the definition 2d Sess. 9 (1978j.