61452 Federal Register / Vol. 69, No. 201 / Tuesday, October 19, 2004 / Rules and Regulations 

will accept electronic options (such as 

facsimile and Internet) for transmission 

of required information to MARAD, if 

practicable.

PART 380—PROCEDURES

■ 18. The authority citation for part 380 

continues to read as follows:

Authority: Sec. 204, 49 Stat. 1987, as 

amended; 46 U.S.C. 1114.

■ 19. Section 380.22 is amended by 

revising paragraphs (b) and (c) to read as 

follows:

§ 380.22 Responsibility.

* * * * *

(b) With respect to books, records, and 

accounts which, subject to the provision 

of paragraph (a) of this section, are to be 

disposed of upon the expiration of the 

minimum retention period prescribed 

herein, there shall be filed with the 

Records Officer, Maritime 

Administration, Washington, DC, 20590, 

a written notification, at least thirty (30) 

days prior to the contemplated, disposal 

requesting permission to dispose of 

records. MARAD will accept electronic 

options (such as facsimile and Internet) 

for transmission of required information 

to MARAD, if practicable. The request 

shall be in such form that the books, 

records, and accounts can be readily 

identified. Within thirty (30) days after 

receipt of such notification the Records 

Officer shall grant approval for disposal, 

or advise the necessity for continued 

retention of all or any specified portion 

thereof. Failure of the Record Officer to 

reply within the thirty (30) days period 

following receipt by the Administration 

of such request shall constitute 

approval. 

(c) Applications for special authority 

to dispose of certain books, records, and 

accounts prior to the expiration of 

prescribed minimum retention periods, 

and any inquiries as to the 

interpretation or applicability of this 

subpart to specific items shall be 

submitted to the Records Officer, 

Maritime Administration. MARAD will 

accept written or electronic options 

(such as facsimile and Internet) for 

transmission of required information to 

MARAD, if practicable. The applicant 

shall describe in detail the items to be 

disposed of and explain why continued 

retention is unnecessary.

■ 20. Section 380.23 is revised to read as 

follows:

§ 380.23 Supervision of records. 

(a) Contractors and others subject to 

the provisions of this subpart shall 

designate, through formal action, the 

official company position by title, the 

incumbent of which shall be responsible 

for supervision of its document 

retention and disposal program. 

Immediately upon designation of the 

position, a copy of the formal action and 

name of the incumbent shall be filed 

with the Records Officer, Maritime 

Administration. MARAD will accept 

written or electronic options (such as 

facsimile and Internet) for transmission 

of required information, if practicable. 

(b) The person in charge of the 

retention and disposal program shall 

maintain a record of all books, records, 

and accounts held in storage, and in 

such form that the items and their 

location are readily identifiable. A copy 

of the written, or by electronic options 

(such as facsimile and Internet), if 

practicable, notification requesting 

permission to dispose of any books, 

records, and accounts, and the original 

approval from the Administration, as 

required in § 380.22(b), together with a 

statement showing date, place and 

method of disposal will suffice as a 

record of such disposed items. These 

retention and disposal records shall be 

available at all times for inspection by 

Administration officials and auditors.

PART 390—CAPITAL CONSTRUCTION 

FUND

■ 21. The authority citation for part 390 

continues to read as follows:

Authority: Sections 204(b) and 607, 

Merchant Marine Act, 1936, as amended (46 

App. U.S.C. 1114(b) and 1177); 49 CFR 1.66.

■ 22. Section 390.2 is amended by 

revising paragraph (a)(1) to read as 

follows:

§ 390.2 Application for an agreement. 

(a) In general—(1) Application 

instructions. The Maritime 

Administrator has adopted instructions 

for making application for an agreement. 

These instructions are contained in 

appendix I to this part. MARAD will 

accept electronic options (such as 

facsimile and Internet) for transmission 

of required information to MARAD, if 

practicable.

* * * * *

By Order of the Maritime Administrator.

Dated: October 13, 2004. 

Joel C. Richard, 

Secretary, Maritime Administration.

[FR Doc. 04–23361 Filed 10–18–04; 8:45 am] 

BILLING CODE 4910–81–P

DEPARTMENT OF TRANSPORTATION

Maritime Administration 

46 CFR Part 310

[Docket Number: MARAD–2004–17185] 

RIN 2133–AB66

Amended Service Obligation Reporting 

Requirements for U.S. Merchant 

Marine Academy Graduates

AGENCY: Maritime Administration, 

Department of Transportation.

ACTION: Final rule.

SUMMARY: In this final rule, the Maritime 

Administration (MARAD, we, us, or 

our) amends the service obligation 

reporting requirements for United States 

Merchant Marine Academy (USMMA) 

graduates. The new reporting 

requirements create standard reporting 

dates that coincide with the U.S. Naval 

Reserve/Merchant Marine Reserve 

(USNR/MMR) service reporting dates, 

which will make reporting to the USNR 

and to MARAD less burdensome. This 

final rule also corrects an error that 

appeared in the interim final rule that 

preceded this action, which mistakenly 

indicated that it applied to both 

USMMA graduates as well as to State 

maritime academy graduates. Finally, 

this rulemaking provides for the 

electronic submission of reports as the 

primary means of submission to 

MARAD.

DATES: This final rule is effective 

October 19, 2004.

ADDRESSES: This final rule is available 

for inspection and copying between 10 

a.m. and 5 p.m., ET, Monday through 

Friday, except Federal holidays at the 

Docket Clerk, U.S. DOT Dockets, Room 

PL–401, Department of Transportation, 

400 7th St., SW., Washington, DC 

20590. An electronic version of this 

document along with all documents 

entered into this docket are available on 

the World Wide Web at http://

dms.dot.gov.

FOR FURTHER INFORMATION CONTACT: Ms. 

Brenda Reed-Perry, Compliance 

Specialist, Office of Policy and Plans, 

Maritime Administration, Department of 

Transportation, 400 7th St., SW., Room 

7123, Washington, DC 20590; telephone: 

(202) 366–0845; FAX: (202) 366–7403; 

and e-mail: 

maritime.graduate@marad.dot.gov.

SUPPLEMENTARY INFORMATION: On March 

2, 2004, MARAD published an interim 

final rule entitled Amended Service 

Obligation Reporting Requirements for 

U.S. Merchant Marine Academy and 

State Maritime Academy Graduates (69 

Federal Register / Vol. 69, No. 201 / Tuesday, October 19, 2004 / Rules and Regulations 61453

FR 9758). Despite this title, and other 

references to State maritime academy 

graduates that appeared in the 

rulemaking, MARAD only intended to 

change the reporting requirements of 

USMMA graduates, and not State 

academy graduates. This intent is 

reflected by the fact that the interim 

final rule only changed 46 CFR section 

310.58(d), which governs USMMA 

reporting requirements, and not 46 CFR 

section 310.7(b)(6), which governs State 

academy reporting requirements. In this 

final rule, MARAD is amending the 

service obligation reporting 

requirements for USMMA graduates 

only. MARAD has issued a separate 

rulemaking to address the reporting 

requirements of State academy 

graduates. 

In the interim final rule, MARAD 

changed the requirement that USMMA 

graduates submit their service obligation 

report forms thirteen (13) months 

following graduation and each 

succeeding twelve (12) months for five 

(5) consecutive years thereafter to a 

system where graduates would submit 

reports on March 31 following 

graduation and six (6) consecutive years 

thereafter. 

Comments on the interim final rule 

were due by April 1, 2004, and two sets 

of comments were timely filed. 

Public Comments on the Interim Final 

Rule 

The first commenting party 

recommended that MARAD make 

reports due by March 31, rather than on 

March 31. The commenting party also 

recommended that MARAD provide a 

ninety (90) day period in which to 

submit reports, noting that many 

graduates, while out at sea, may have 

difficulty submitting their reports by a 

specified due date, rather than during a 

reporting period. MARAD agrees with 

this recommendation and has decided 

to adopt a reporting period rather than 

a specified due date. However, instead 

of a ninety (90) day reporting period, 

MARAD has decided to adopt a sixty 

(60) day reporting period (or 61 days, 

during leap years) that coincides with 

the USNR/MMR’s reporting period. 

MARAD believes that the sixty (60) day 

reporting period provides ample time 

for graduates to submit their reports. 

Additionally, since the reporting period 

coincides with the USNR/MMR’s 

reporting period, submitting reports 

should be less burdensome because 

graduates will be able to compile and 

submit information to both MARAD and 

the USNR during the same time frame. 

The second commenting party 

addressed issues related to Student 

Incentive Payments such as default of 

service obligations, recoupment of funds 

from defaulting students, and other 

issues, none of which are addressed in 

this rulemaking. Thus, MARAD will not 

address the issues raised by the second 

commenting party at this time. 

As indicated above, based on 

comments received and on further 

consideration, MARAD has decided to 

adopt a reporting period that coincides 

with the USNR/MMR’s reporting period. 

Under this new reporting system, 

graduates will file reports between 

January 1 and March 1 following 

graduation, and during the same time 

frame between January 1 and March 1 

for six (6) consecutive years thereafter 

(or until all components of the service 

obligation are fulfilled, whichever is 

latest). Graduates will file a minimum of 

seven (7) reports in order to give 

information on all six (6) years of the 

service obligation. Graduates must 

submit annually the Maritime 

Administration Service Obligation 

Compliance Report and Merchant 

Marine Reserve, U.S. Naval Reserve 

(USNR), Annual Report (Form MA–

930). Graduates may submit their 

Service Obligation Compliance Reports 

electronically via the Maritime Service 

Compliance System at https://

mscs.marad.dot.gov.

Regulatory Analyses and Notices 

Executive Order 12866 and DOT 

Regulatory Policies and Procedures 

This final rule is not considered a 

significant regulatory action under 

section 3(f) of Executive Order 12866 

and, therefore, was not reviewed by the 

Office of Management and Budget. This 

final rule is not likely to result in an 

annual effect on the economy of $100 

million or more. This final rule is also 

not significant under the Regulatory 

Policies and Procedures of the 

Department of Transportation (44 FR 

11034, February 26, 1979). The costs 

and overall economic impact associated 

with this rulemaking are considered to 

be so minimal that no further analysis 

is necessary.

Administrative Procedure Act 

The Administrative Procedure Act (5 

U.S.C. 553) provides an exception to 

notice and comment procedures when 

they are unnecessary or contrary to the 

public interest. MARAD finds that 

under 5 U.S.C. 553(b)(3)(B), good cause 

exists for not providing notice and 

comment since this final rule merely 

changes the service obligation reporting 

dates of USMMA graduates and 

provides for the electronic submission 

of reports as the primary means of 

submission to MARAD. For the same 

reasons, MARAD finds good cause 

under 5 U.S.C. 553(d) to make this final 

rule effective upon publication. 

Regulatory Flexibility Act 

The Maritime Administrator certifies 

that this final rule will not have a 

significant economic impact on a 

substantial number of small entities. 

This final rule merely changes the 

service obligation reporting dates for 

USMMA graduates and thus only affects 

USMMA graduates and has no effect on 

small businesses or other entities. 

Federalism 

We have analyzed this final rule in 

accordance with the principles and 

criteria contained in Executive Order 

13132 (Federalism) and have 

determined that it does not have 

sufficient federalism implications to 

warrant the preparation of a federalism 

summary impact statement. These 

regulations have no substantial effect on 

the States, the current Federal-State 

relationship, or the current distribution 

of power and responsibilities among 

local officials. Therefore, consultation 

with State and local officials is not 

necessary. 

Executive Order 13175

MARAD does not believe that this 

final rule will significantly or uniquely 

affect the communities of Indian tribal 

governments when analyzed under the 

principles and criteria contained in 

Executive Order 13175 (Consultation 

and Coordination with Indian Tribal 

Governments). Therefore, the funding 

and consultation requirements of this 

Executive Order do not apply. 

Environmental Impact Statement 

We have analyzed this final rule for 

purposes of compliance with the 

National Environmental Policy Act of 

1969 (42 U.S.C. 4321 et seq.) and have 

concluded that under the categorical 

exclusions in section 4.05 of Maritime 

Administrative Order (MAO) 600–1, 

‘‘Procedures for Considering 

Environmental Impacts,’’ 50 FR 11606 

(March 22, 1985), neither the 

preparation of an Environmental 

Assessment, an Environmental Impact 

Statement, nor a Finding of No 

Significant Impact for this final rule is 

required. This final rule involves 

administrative and procedural 

regulations that have no environmental 

impact. 

Unfunded Mandates Reform Act of 1995

This final rule does not impose an 

unfunded mandate under the Unfunded 

Mandates Reform Act of 1995. It does 

not result in costs of $100 million or 

61454 Federal Register / Vol. 69, No. 201 / Tuesday, October 19, 2004 / Rules and Regulations 

more, in the aggregate, to any of the 

following: State, local, or Native 

American tribal governments, or the 

private sector. This final rule is the least 

burdensome alternative that achieves 

this objective of U.S. policy. 

Paperwork Reduction Act 

This final rule contains information 

collection requirements covered by the 

Office of Management and Budget 

approval number 2133–0509. The 

changes have no impact on the reporting 

burden.

List of Subjects in 46 CFR Part 310

Federal Aid Programs, Reporting and 

recordkeeping requirements, Schools, 

and Seamen.

■ Accordingly, for the reasons discussed 

in the preamble, 46 CFR 310.58 is 

amended as follows:

PART 310—[AMENDED]

■ 1. The authority citation for part 310 

continues to read as follows:

Authority: 46 App. U.S.C. 1295; 49 CFR 

1.66.

■ 2. Amend § 310.58 by revising 

paragraph (d) to read as follows:

§ 310.58 Service obligation for students 

executing or reexecuting contracts

* * * * *

(d) Reporting requirements. (1) Each 

graduate must submit an annual Service 

Obligation Compliance Report form 

(MA–930) to the Maritime 

Administration between January 1 and 

March 1 following his or her graduation. 

After the initial report is submitted, 

each graduate must continue to submit 

annual reports during the same time 

frame between January 1 and March 1 

for six (6) consecutive years thereafter, 

or until all components of the service 

obligation are fulfilled, whichever is 

latest. Each graduate will file a 

minimum of seven (7) reports in order 

to give information on all six (6) years 

of the service obligation. Graduates are 

encouraged to submit their Service 

Obligation Compliance Report forms 

(MA–930) to MARAD using the webbased Internet system at https://

mscs.marad.dot.gov. Reports may also 

be mailed to: Compliance Specialist, 

Office of Policy and Plans, Maritime 

Administration, Department of 

Transportation, 400 7th St., SW., Room 

7123, Washington, DC 20590. 

(i) Example 1: Midshipman graduates 

on June 30, 2004. His or her first 

reporting date is between January 1, 

2005 and March 1, 2005 and thereafter 

between January 1 and March 1 for six 

(6) consecutive years (or until all 

components of the service obligation are 

fulfilled, whichever is latest) for a 

minimum of seven (7) reports. 

(ii) Example 2: Midshipman has a 

deferred graduation on November 30, 

2004. His or her first reporting period is 

between January 1, 2005 and March 1, 

2005 and thereafter between January 1 

and March 1 for six (6) consecutive 

years (or until all components of the 

service obligation are fulfilled, 

whichever is latest) for a minimum of 

seven (7) reports. 

(iii) Example 3: Midshipman 

graduated in June 2003 and has already 

begun his or her service obligation 

reporting. His or her reports are now 

due between January 1 and March 1 of 

each reporting year. 

(2) The Maritime Administration will 

provide reporting forms upon request. 

However, non-receipt of such forms will 

not exempt a graduate from submitting 

service obligation information as 

required by this paragraph. Graduates 

are encouraged to submit their Service 

Obligation Compliance Report forms 

(MA–930) electronically at https://

mscs.marad.dot.gov. The reporting form 

has been approved by the Office of 

Management and Budget (2133–0509).

* * * * *

Dated: October 13, 2004.

By Order of the Maritime Administrator. 

Joel C. Richard, 

Secretary, Maritime Administration.

[FR Doc. 04–23360 Filed 10–18–04; 8:45 am] 

BILLING CODE 4910–81–P