Federal Register / Vol. 69, No. 212 / Wednesday, November 3, 2004 / Rules and Regulations 63921

■ 8. Section 109.35 is removed and 

reserved.

§ 109.35 [Removed and reserved]

■ 9. Section 109.36 is amended by 

revising the heading to read as follows:

§ 109.36 Are there circumstances under 

which a political party committee is 

prohibited from making independent 

expenditures?

* * * * *

Dated: October 28, 2004. 

Bradley A. Smith, 

Chairman, Federal Election Commission.

[FR Doc. 04–24475 Filed 11–2–04; 8:45 am] 

BILLING CODE 6715–01–P

SMALL BUSINESS ADMINISTRATION

13 CFR Part 105

RIN 3245–AF24

Standards of Conduct and Employee 

Restrictions and Responsibilities

AGENCY: U.S. Small Business 

Administration.

ACTION: Direct final rule.

SUMMARY: The Small Business 

Administration (SBA) amends its 

regulations governing employee 

standards of conduct by deleting 

references to Supplemental Standards of 

Ethical Conduct and revising the 

descriptions of the headings for Office 

of the Government Ethics (OGE) 

regulations. The effect of these 

amendments is to make SBA’s 

Standards of Conduct and Employee 

Restrictions and Responsibilities a more 

precise statement of existing authorities 

applicable to the ethical conduct of SBA 

employees.

DATES: This direct final rule is effective 

January 3, 2005, without further action, 

unless adverse comment is received by 

December 3, 2004. If adverse comment 

is received, SBA will publish a timely 

withdrawal of the direct final rule in the 

Federal Register.

ADDRESSES: You may submit comments, 

identified by RIN number, by any of the 

following methods: (1) Federal 

eRulemaking Portal: http://

www.regulations.gov; (2) e-mail: 

robert.gangwere@sba.gov. Include RIN 

number in the subject line of the 

message; (3) Fax: (202) 481–5275; (4) 

mail: Robert L. Gangwere, Deputy 

General Counsel, Office of General 

Counsel, U.S. Small Business 

Administration, 409 3rd Street, SW., 

Washington, DC 20416; (5) hand 

delivery/courier: 409 3rd Street, SW., 

Washington, DC 20416.

FOR FURTHER INFORMATION CONTACT:

Susan L. Sundberg, Alternate 

Designated Agency Ethics Official, 

Office of General Counsel, U.S. Small 

Business Administration, 409 3rd Street, 

SW., Washington, DC 20416; (202) 619–

0585; e-mail: susan.sundberg@sba.gov.

SUPPLEMENTARY INFORMATION: SBA 

issued regulations governing employee 

standards of conduct on January 26, 

1996, at 61 FR 2399 based on its 

independent authority under the Small 

Business Act, 15 U.S.C. 631 et seq., and 

Executive Order 11222, May 8, 1965. 

According to 5 CFR 2635.105, an agency 

may also issue regulations that 

supplement OGE’s regulations on 

standards of conduct for Executive 

branch employees, which the agency 

determines are necessary and 

appropriate in view of its programs and 

operations. Although SBA’s standards of 

conduct regulations currently make 

general and specific references to 

supplemental regulations, SBA has no 

current plans to issue such 

supplemental regulations. Therefore, it 

is necessary to amend the regulations so 

as not to imply that such supplemental 

regulations exist. The current 

regulations also cross-reference two 

parts of OGE’s regulations, 5 CFR part 

2634 and 5 CFR part 2635, and describe 

them as the Uniform Financial 

Disclosure regulations and the Uniform 

Standards of Ethical Conduct for 

Executive Branch employees, 

respectively. This direct final rule will 

revise these descriptions to make them 

consistent with the actual headings used 

by OGE in its regulations. 

SBA is publishing this rule as a direct 

final rule because the Agency believes 

that this rule is non-controversial; it 

merely makes the Agency’s regulations 

consistent with existing authorities. 

SBA expects no adverse comments on 

this rule. If, however, adverse comments 

are received, SBA will publish a timely 

notice of withdrawal in the Federal 

Register. 

Section-by-Section Analysis 

Section 105.101 notifies employees 

that 5 CFR part 2635 codifies the 

‘‘Uniform Standards of Ethical Conduct 

for Executive Branch employees’’ and 

that 5 CFR part 2634 codifies the 

‘‘Uniform Financial Disclosure 

regulation for Executive Branch 

employees.’’ Because these headings do 

not accurately reflect the headings 

found at 5 CFR parts 2634 and 2635, 

this direct final rule amends § 105.101 

to indicate the accurate headings for 

these OGE regulations. Section 105.101 

also refers employees to SBA 

Supplemental Standards of Ethical 

Conduct at 5 CFR XLIV. This direct final 

rule deletes that reference because such 

regulations do not exist. 

Section 105.402 identifies the 

Designated Agency Ethics Official as the 

official who serves as SBA’s Standards 

of Conduct Counselor, delegates 

authority to that official to designate 

Assistant Standards of Conduct 

Counselors, and describes their 

responsibilities under OGE and SBA 

regulations, including SBA’s 

supplemental regulations. Paragraph 

(b)(4) of this section will be removed in 

order to delete the provision directing 

standards of conduct counselors to rely 

on SBA’s Supplemental Standards of 

Ethical Conduct in making decisions on 

outside employment. SBA will also 

make minor grammatical changes to this 

section to improve clarity. 

Compliance With Executive Orders 

13132, 12988 and 12866, the Regulatory 

Flexibility Act (5 U.S.C. 601–612) and 

the Paperwork Reduction Act (44 

U.S.C. Ch. 35) 

This direct final rule will not have 

substantial direct effects on the States, 

on the relationship between the national 

Government and the States, or on the 

distribution of power and 

responsibilities among the various 

levels of Government. Therefore, for the 

purposes of Executive Order 13132, 

SBA determines that this direct final 

rule has no federalism implications 

warranting preparation of a federalism 

assessment. 

This direct final rule meets applicable 

standards set forth in sections 3(a) and 

3(b)(2) of Executive Order 12988, Civil 

Justice Reform, to minimize litigation, 

eliminate ambiguity, and reduce 

burden. The direct final rule does not 

have retroactive or preemptive effect. 

The Office of Management and Budget 

(OMB) has determined that this direct 

final rule does not constitute a 

significant regulatory action under 

Executive Order 12866. 

SBA certifies that this direct final rule 

will not have a significant economic 

impact on a substantial number of small 

entities within the meaning of the 

Regulatory Flexibility Act, 5 U.S.C. 601–

612 because the direct final rule applies 

to SBA employees, not small entities. 

SBA has determined that this direct 

final rule will not impose any new 

reporting or recordkeeping requirements 

under the Paperwork Reduction Act, 44 

U.S.C. Ch. 35.

List of Subjects in 13 CFR Part 105

Conflicts of interest, Conduct 

standards, Ethical conduct, Financial 

disclosure, Government employees.

63922 Federal Register / Vol. 69, No. 212 / Wednesday, November 3, 2004 / Rules and Regulations 

1Related Identity Theft Definitions, Duration of 

Active Duty Alerts, and Appropriate Proof of 

Identity under the Fair Credit Reporting Act, 69 FR 

23370 (proposed April 28, 2004) (to be codified at 

16 CFR. parts 603, 613, and 614).

2The public comments relating to these 

rulemakings may be viewed at http://www.ftc.gov/

os/comments/factaidt/index.htm. The Commission 

considered all comments timely filed, i.e.—those 

received on or before the close of the comment 

period on June 15, 2004. As a matter of discretion, 

the Commission also considered comments that 

were filed after the close of the comment period. 

Citations to comments filed in this proceeding are 

made to the name of the organization (if any) or the 

last name of the commenter, and the comment 

number of record. Comment number may appear as 

all numeric characters—e.g., #000031 (indicating a 

comment received by paper or electronic mail), or 

as numeric characters preceded by ‘‘EREG’’—e.g., 

‘‘EREG–000031’’ (indicating a comment received 

through www.regulations.gov).

3Consumers Union submitted a comment on 

behalf of 11 organizations. Consumer advocacy 

groups commenting included Consumer Action, 

Consumer Federation of America, Consumers 

Union, Electronic Privacy Information Center, 

Identity Theft Resource Center, National 

Association of Consumer Advocates, National 

Consumer Law Center, National Council of La Raza, 

Privacy Rights Clearinghouse, Privacy Times, and 

U.S. Public Interest Research Group (US–PIRG).

4 In addition to Consumer Data Industry 

Association (CDIA)—the trade association that 

represents the nationwide consumer reporting 

agencies and a variety of other consumer reporting 

agencies—the Commission received comment on 

the proposed rule on behalf of a number of trade 

organizations representing a variety of industries 

and concerns. These included ACA International 

(representing debt collection agencies and other 

accounts receivable professionals), American 

Bankers Association, American Financial Services 

Association (representing companies primarily 

engaged in the business of providing consumer 

credit), America’s Community Bankers, Credit 

Union National Association (CUNA), Coalition to 

Implement the FACT Act (representing trade 

associations and companies that furnish, use, 

collect, and disclose consumer information), 

Consumer Bankers Association, Independent 

Community Bankers of America, National 

Automobile Dealers Association, National Business 

Coalition on Privacy and E-Commerce (representing 

diverse companies interested in national policy on 

privacy and electronic commerce issues), Michigan 

Credit Union League, National Retail Federation, 

Pennsylvania Credit Union Association, and the 

Financial Services Roundtable.

5Equifax Information Services LLC, Experian 

Information Solutions, Inc., and Trans Union LLC.

6These included Bank of America, Bank One 

Corporation, BMO Financial Group, Boeing 

Employees’ Credit Union, Capital One Financial 

Corporation, Countrywide Home Loans, Fifth Third 

■ For the reasons stated in the preamble, 

SBA amends 13 CFR part 105 as follows:

PART 105—STANDARDS OF 

CONDUCT AND EMPLOYEE 

RESTRICTIONS AND 

RESPONSIBILITIES

■ 1. The authority citation for part 105 

continues to read as follows:

Authority: 5 U.S.C. 7301; 15 U.S.C. 634, 

637(a)(18) and (a)(19), 642 and 645(a).

■ 2. Revise § 105.101 to read as follows:

§ 105.101 Cross-reference to employee 

ethical conduct standards and financial 

disclosure regulations. 

In addition to this part, Small 

Business Administration (SBA) 

employees should refer to the Standards 

of Ethical Conduct for Employees of the 

Executive Branch at 5 CFR part 2635 

and the regulations at 5 CFR part 2634 

entitled, Executive Branch Financial 

Disclosure, Qualified Trusts and 

Certificates of Divestiture.

■ 3. Amend § 105.402 by revising 

paragraphs (b) (2) and (b) (3) and 

removing paragraph (b) (4) to read as 

follows:

§ 105.402 Standards of Conduct 

Counselors.

* * * * *

(b) * * *

(2) Monitor the Standards of Conduct 

Program within their assigned areas and 

provide required reports thereon; and 

(3) Review Confidential Financial 

Disclosure reports as required under 5 

CFR part 2634, subpart I, and provide an 

annual report on compliance with filing 

requirements to the SBA Standards of 

Conduct Counselor as of February 1 of 

each year.

* * * * *

Hector V. Barreto, 

Administrator.

[FR Doc. 04–24498 Filed 11–2–04; 8:45 am] 

BILLING CODE 8025–01–P

FEDERAL TRADE COMMISSION

16 CFR Parts 603, 613, and 614

RIN 3084–AA94

Related Identity Theft Definitions, 

Duration of Active Duty Alerts, and 

Appropriate Proof of Identity Under the 

Fair Credit Reporting Act

AGENCY: Federal Trade Commission 

(FTC or the Commission).

ACTION: Final rule.

SUMMARY: The recently enacted Fair and 

Accurate Credit Transactions Act of 

2003 (FACT Act or the Act), amending 

the Fair Credit Reporting Act (FCRA), 

establishes requirements for consumer 

reporting agencies, creditors, and others 

to help remedy identity theft. In this 

document, the Commission issues final 

rules to establish definitions for the 

terms ‘‘identity theft’’ and ‘‘identity 

theft report;’’ the duration of an ‘‘active 

duty alert;’’ and the ‘‘appropriate proof 

of identity’’ for purposes of sections 

605A (fraud alerts and active duty 

alerts), 605B (consumer report 

information blocks), and 609(a)(1) 

(truncation of Social Security numbers) 

of the FCRA, as amended by the Act.

DATES: Effective Date: This rule is 

effective on December 1, 2004.

ADDRESSES: Requests for copies of the 

Rule and the Statement of Basis and 

Purpose should be sent to the 

Commission’s Public Reference Branch, 

Room 130, Federal Trade Commission, 

600 Pennsylvania Avenue, NW., 

Washington, DC 20580. The complete 

record of this proceeding is also 

available at that address. Relevant 

portions of the proceeding, including 

the Rule and Statement of Basis and 

Purpose, are also available at the 

Commission’s Web site, www.ftc.gov.

FOR FURTHER INFORMATION CONTACT:

Naomi B. Lefkovitz, Attorney, Division 

of Planning and Information, Bureau of 

Consumer Protection, Federal Trade 

Commission, 600 Pennsylvania Avenue, 

NW., Washington, DC 20580. (202) 326–

3228.

SUPPLEMENTARY INFORMATION: 

Statement of Basis and Purpose 

I. Introduction 

The FACT Act was signed into law on 

December 4, 2003. Pub. L. 108–159, 117 

Stat. 1952. Portions of the Act amend 

the FCRA to enhance consumers’ ability 

to resolve problems caused by identity 

theft. Section 111 of the Act adds 

several new definitions to the FCRA, 

including ‘‘identity theft’’ and ‘‘identity 

theft report.’’ The Act permits the 

Commission to further define the term 

‘‘identity theft,’’ and requires the 

Commission to determine the meaning 

of the term ‘‘identity theft report,’’

although the Act does provide a 

minimum definition. Section 112 of the 

Act requires the Commission to 

determine the duration of an ‘‘active 

duty alert,’’ which the Act sets at a 

minimum of 12 months. Section 112 

also requires the Commission to 

determine the ‘‘appropriate proof of 

identity’’ for purposes of sections 605A 

(fraud alerts and active duty alerts), 

605B (consumer report information 

blocks), and 609(a)(1) (truncation of 

Social Security numbers) of the FCRA, 

as amended by the Act. 

The Commission published a Notice 

of Proposed Rulemaking and request for 

Public Comment (‘‘NPRM’’) in the 

Federal Register on April 28, 2004,1 and 

the comment period closed on June 15, 

2004. The Commission received fortynine comments.2 The commenters 

included the National Association of 

Attorneys General Executive Committee, 

consumer advocacy groups,3 industry 

trade organizations,4 three nationwide 

consumer reporting agencies,5 financial 

institutions and other companies,6 two