Regulations Affecting Maritime Carriers and Related Activities in Domestic Commerce

FEDERAL MARITIME COMMISSION

46 CFR Parts 501, 502, 504, 514, 552, and 560

[Docket No. 96-23]

Regulations Affecting Maritime Carriers and Related Activities in

Domestic Commerce

AGENCY: Federal Maritime Commission.

ACTION: Final rule.

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SUMMARY: The Federal Maritime Commission (``FMC'' or ``Commission'') is

removing its rules governing the financial reporting and agreement

activity of, and rate proceedings involving, vessel-operating common

carriers by water in the domestic offshore trades. Jurisdiction over

the port to port operations of those carriers has been transferred to

the Surface Transportation Board. The Commission is also amending

various other parts of its regulations to delete references to the

removed parts.

EFFECTIVE DATE: December 18, 1996.

FOR FURTHER INFORMATION CONTACT: Austin L.Schmitt, Director, Bureau of

Economics and Agreement Analysis, Federal Maritime Commission, 800

North Capitol Street, N.W., Washington, DC 20573-0001, 202-523-5787.

SUPPLEMENTARY INFORMATION: The ICC Termination Act of 1995, Public Law

No. 104-88, 109 Stat. 803 (``ICC Termination Act''), transferred

jurisdiction over port to port operations in the noncontiguous domestic

trade, which formerly had been regulated by the FMC under the

Intercoastal Shipping Act, 1933, 46 U.S.C. app. 843-848 (``1933 Act'')

and the Shipping Act, 1916, 46 U.S.C. app. 801-842 (``1916 Act''), to

the Surface Transportation Board (``Board''). Accordingly, the

Commission is removing its major regulations governing domestic

offshore carriers, namely Part 552--Financial Reports of Vessel

Operating Common Carriers by Water in the Domestic Offshore Trades,

Part 560--Agreements by Common Carriers and Other Persons Subject to

the Shipping Act, 1916, and 46 CFR 502.67--Proceedings under section

3(a) of the Intercoastal Shipping Act, 1933. Only these major

regulations governing domestic carriers and references thereto are

being deleted at this time. All remaining references to the domestic

offshore trades in 46 CFR and any technical conforming amendments

necessary will be made at a later date.

The Federal Maritime Commission certifies, pursuant to section

605(b) of the Regulatory Flexibility Act, 5 U.S.C. 605(b), that this

final rule will not have a significant economic impact on a substantial

number of small entities, including small businesses, small

organizational units, and small governmental organizations.

The removal of Parts 552, 560 and Sec. 502.67, and references

thereto, is housekeeping in nature and will not impact a substantial

number of small entities.

This final rule does not contain any collection of information

requirements as defined by the Paperwork Reduction Act of 1995, as

amended. Therefore, OMB review is not required.

Notice and opportunity for public comment are not necessary prior

to issuance of these amendments because they reduce existing

requirements by deleting rules to reflect statutory changes to the

Commission's jurisdiction. For the same reason, the amendments are

effective upon publication in the Federal Register, rather than being

delayed for 30 days. 5 U.S.C. 553.

List of Subjects

46 CFR Part 501

Organization and functions, Delegation of authority, Seals and

insignia.

46 CFR Part 502

Administrative practice and procedure, Claims, Equal access to

justice, Investigations, Lawyers, Reporting and recordkeeping

requirements.

46 CFR Part 504

Environmental impact statements, Reporting and recordkeeping

requirements.

46 CFR Part 514

Freight, Harbors, Maritime carriers, Reporting and recordkeeping

requirements.

46 CFR Part 552

Maritime Carriers, Reporting and recordkeeping requirements,

Uniform System of Accounts.

46 CFR Part 560

Administrative practice and procedure, Antitrust, Freight, Maritime

carriers, Penalties, Reporting and recordkeeping requirements.

Therefore, pursuant to 5 U.S.C. 553; and Pub. L. 104-88, 109 Stat.

803, chapter IV of title 46 of the Code of Federal Regulations is

amended as follows:

PART 501--THE FEDERAL MARITIME COMMISSION--GENERAL

1. The authority citation for Part 501 continues to read as

follows:

Authority: 5 U.S.C. 551-557, 701-706, 2903 and 6304; 31 U.S.C.

3721; 41 U.S.C. 414 and 418; 44 U.S.C. 501-520 and 3501-3520; 46

U.S.C. app. 801-848, 876, 1111, and 1701-1720; Reorganization Plan

No. 7 of 1961, 26 FR 7315, August 12, 1961; Pub.L. 89-56, 79 Stat.

195; 5 CFR Part 2638.

2. In Sec. 501.5, paragraph (e) is amended by removing the words

``Shipping Act, 1916'' and the comma immediately thereafter; and

paragraph (g) is revised; and the second sentence of paragraph (h) is

revised to read as follows:

Sec. 501.5 Functions of the organizational components of the Federal

Maritime Commission.

* * * * *

(g) Under the direction and management of the Bureau Director, the

[[Page 66617]]

Bureau of Economics and Agreement Analysis develops and administers

programs in connection with the anticompetitive and cooperative

arrangements and practices of common carriers by water, freight

forwarders and terminal operators in the foreign commerce of the U.S.,

including the filing of ocean common carrier agreements under section 5

of the Shipping Act of 1984, and the filing of agreements by marine

terminal operators under section 5 of the Shipping Act of 1984. The

Bureau provides expert economic testimony and support in formal

proceedings, particularly regarding unfair foreign shipping practices

under section 19 of the Merchant Marine Act, 1920, and the Foreign

Shipping Practices Act of 1988.

(h) * * * These programs carry out provisions of the Shipping Act

of 1984; and Public Law 89-777, as implemented under Parts 510, 514,

540, 582 and 583 of this chapter. * * *

* * * * *

3. In Sec. 501.24, paragraph (e) is revised to read as follows; and

paragraph (h) is removed and reserved.

Sec. 501.24 Delegation to the Secretary.

* * * * *

(e) Authority to prescribe a time limit for the submission of

written comments with reference to agreements filed pursuant to section

5 of the Shipping Act of 1984.

* * * * *

4. In Sec. 501.26, paragraphs (a) through (d) are removed and

reserved; paragraph (l) introductory text is amended by removing the

words ``the Shipping Act, 1916, or''; paragraph (m) is amended by

removing the words ``section 15 of the Shipping Act, 1916, or''; and

paragraph (p) is removed.

PART 502--RULES OF PRACTICE AND PROCEDURE

5. The authority citation for Part 502 continues to read as

follows:

Authority: 5 U.S.C. 504, 551, 552, 553, 556(c), 559, 561-569,

571-596; 12 U.S.C. 1141j(a); 18 U.S.C. 207; 26 U.S.C. 501(c)(3); 28

U.S.C. 2112(a); 31 U.S.C. 9701; 46 U.S.C. app. 817, 820, 821, 826,

841a, 1114(b), 1705, 1707-1711, 1713-1716; E.O. 11222 of May 8, 1965

(30 FR 6469); 21 U.S.C. 853a; and Pub. L. 88-777 (46 U.S.C. app.

817d, 817e).

6. In Sec. 502.41, the third sentence is revised to read as

follows.

Sec. 502.41 Parties; how designated.

* * * A party against whom relief or other affirmative action is

sought in any proceeding commenced under Sec. 502.62 or Sec. 502.66, or

a party named in an order of investigation issued by the Commission,

shall be designated as ``respondent,'' except that in investigations

instituted under section 11(c) of the Shipping Act of 1984, the parties

to the agreement shall be designated as ``proponents'' and the parties

protesting the agreement shall be designated as ``protestants.'' * * *

Sec. 502.67 [Removed and Reserved]

7. Section 502.67 is removed and reserved.

Sec. 502.74 [Amended]

8. In Sec. 502.74, paragraph (b) is amended by removing the words

``protests seeking suspension of tariffs (Sec. 502.67)'' and the comma

immediately thereafter.

9. Section 502.111 is amended by revising the first two sentences

of paragraph (b) to read as follows:

Sec. 502.111 Form and appearance of documents filed with Commission.

* * * * *

(b) Filings by facsimile will not be accepted. Photocopies of

facsimile transmissions of signature pages on filings will be

tentatively accepted for the purpose of meeting filing deadlines

pending receipt of the original within seven working days. * * *

Sec. 502.114 [Amended]

10. In Sec. 502.114, paragraph (c) is amended by removing the words

``protests pursuant to Sec. 502.67''.

Sec. 502.118 [Amended]

11. In Sec. 502.118, paragraph (b)(5) is amended by removing the

words ``Sec. 502.67(d) and''.

12. Section 502.155 is revised to read as follows.

Sec. 502.155 Burden of proof.

In all cases, as prescribed by the Administrative Procedure Act, 5

U.S.C. 556(d), the burden of proof shall be on the proponent of the

rule or order. [Rule 155.]

Sec. 502.227 [Amended]

13. In Sec. 502.227, paragraph (a)(6) is amended by removing the

words ``Sec. 502.67 and''.

Sec. 502.271 [Amended]

14. In Sec. 502.271, paragraph (b) is removed and reserved.

PART 504--PROCEDURES FOR ENVIRONMENTAL POLICY ANALYSIS

15. The authority citation for Part 504 continues to read as

follows:

Authority: 5 U.S.C. 552, 553; secs. 21 and 43 of the Shipping

Act, 1916 (46 U.S.C. app. 820 and 841a); secs. 13 and 17 of the

Shipping Act of 1984 (46 U.S.C. app. 1712 and 1716); sec. 102 of the

National Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(b)) and

sec. 382(b) of the Energy Policy and Conservation Act of 1975 (42

U.S.C. 6362).

16. In Sec. 504.4, paragraph (a)(5) is amended by removing the

words ``and domestic''; paragraph (a)(8) is removed and reserved;

paragraph (a)(9) is amended by removing the words ``section 15 of the

Shipping Act, 1916 or''; paragraphs (a)(17) and (a)(21) are removed and

reserved; and paragraph (a)(22) is amended by removing the words ``the

Shipping Act, 1916 or''.

PART 514--TARIFFS AND SERVICE CONTRACTS

17. The authority citation for Part 514 continues to read as

follows:

Authority: 5 U.S.C. 552 and 553; 31 U.S.C. 9701; 46 U.S.C. app.

804, 812, 814-817(a), 820, 833a, 841a, 843, 844, 845, 845a, 845b,

847, 1702-1712, 1714-1716, 1718, 1721 and 1722; and sec. 2(b) of

Pub. L. 101-92, 103 Stat. 601.

18. In Sec. 514.1, the last sentence of paragraph (d)(1) and

paragraph (d)(2) are revised to read as follows:

Sec. 514.1 Scope, purpose, requirements, penalties and fees.

* * * * *

(d)(1) * * * The mere filing of a tariff does not excuse the tariff

owner or publisher from the obligations of the 1984 Act or this

chapter, regardless of whether these obligations preceded or followed

the filing of the tariff in question.

(2) Any tariff matter submitted for filing, including service

contracts and their essential terms, which fails in any respect to

conform with the applicable shipping statutes, with the provisions of

this part, or with a Commission Order, is subject to rejection or

partial rejection after filing.

* * * * *

Sec. 514.2 [Amended]

19. In Sec. 514.2, the definition of conference is amended by

removing ``Sec. 560.307(b) and''; the definition of marine terminal

services agreement is amended by removing ``Sec. 560.308(a) or''; the

definition of round trip excursion voyage is removed; and the text of

the definition of through transportation (domestic offshore commerce)

is amended by removing the last two sentences.

20. In Sec. 514.3, the first sentence of paragraph (a)(1) is

revised to read as follows; paragraphs (a)(3), (a)(5) and (a)(6) are

removed and reserved; the introductory text of paragraph (a)(7) is

revised to read as follows; paragraph

[[Page 66618]]

(a)(8)(ii) is amended by removing ``Sec. 560.308(a) or'' and

``Sec. 560.307(b) and'; paragraph (a)(10) is removed and reserved; the

text of paragraphs (b)(3) and (b)(5) is revised to read as follows; and

paragraph (e) is amended by removing the words ``under parts 515, 550,

580 and/or 581 of this chapter''.

Sec. 514.3 Exemptions and exclusions.

* * * * *

(a) * * *

(1) * * * Equipment-interchange agreements between common carriers

subject to this part and inland carriers, where such agreements are not

referred to in the carriers' tariffs and do not affect the tariff

rates, charges or practices of the carriers, are exempt from the tariff

filing requirements of the 1984 Act and the rules of this part. * * *

* * * * *

(7) Terminal barge operators in Pacific Slope States.

Transportation provided by terminal barge operators in Pacific Slope

States barging containers and containerized cargo by barge between

points in the United States are exempt from the tariff filing

requirements of 1984 Act and the rules of this part, where:

* * * * *

(b) * * *

(3) * * * Transportation of used military household goods and

personal effects by non-vessel-operating common carriers is exempt from

the filing requirements of the 1984 Act and the rules of this part.

* * * * *

(5) * * * Transportation of used military household goods and

personal effects by non-vessel-operating common carriers shipped by

federal civilian executive agencies under the International Household

Goods Program administered by the General Services Administration is

exempt from the filing requirements of the 1984 Act and the rules of

this part.

* * * * *

21. In Sec. 514.9, paragraph (b)(1)(i)(A) is redesignated as

paragraph (b)(1)(i), and paragraph (b)(1)(i)(B) is removed; the text of

paragraph (b)(7) is revised to read as follows; paragraph (b)(9)(i)(A)

is redesignated as paragraph (b)(9)(i), and paragraph (b)(9)(i)(B) is

removed; and paragraph (b)(24)(ii)(B) is removed and reserved.

Sec. 514.9 Filing/Amendment codes and required notice periods.

* * * * *

(b) * * *

(7) * * * Amendments of domestic offshore tariffs which change

rates, fares, charges, Tariff Rules, or other tariff provisions and

which constitute a general increase or decrease in rates, shall be

filed at least 60 days prior to their effective date and shall use the

symbol ``G.''

* * * * *

PART 552--[REMOVED]

22. Part 552 is removed.

PART 560--[REMOVED]

23. Part 560 is removed.

By the Commission.

Joseph C. Polking,

Secretary.

[FR Doc. 96-32064 Filed 12-17-96; 8:45 am]

BILLING CODE 6730-01-P