12094 Federal Register / Vol. 80, No. 44 / Friday, March 6, 2015 / Proposed Rules 

National Environmental Policy Act 

The DOT has analyzed the 

environmental impacts of this proposed 

action pursuant to the National 

Environmental Policy Act of 1969 

(NEPA) (42 U.S.C. 4321 et seq.) and has 

determined that it is categorically 

excluded pursuant to DOT Order 

5610.1C, Procedures for Considering 

Environmental Impacts (44 FR 56420, 

Oct. 1, 1979). Categorical exclusions are 

actions identified in an agency’s NEPA 

implementing procedures that do not 

normally have a significant impact on 

the environment and therefore do not 

require either an environmental 

assessment (EA) or environmental 

impact statement (EIS). See 40 CFR 

1508.4. In analyzing the applicability of 

a categorical exclusion, the agency must 

also consider whether extraordinary 

circumstances are present that would 

warrant the preparation of an EA or EIS. 

Id. Paragraph 3.c.5 of DOT Order 

5610.1C incorporates by reference the 

categorical exclusions for all DOT 

Operating Administrations. This action 

is covered by the categorical exclusion 

listed in the Federal Highway 

Administration’s implementing 

procedures, ‘‘[p]romulgation of rules, 

regulations, and directives.’’ 23 CFR 

771.117(c)(20). The purpose of this 

rulemaking is to permit recipients and 

subrecipients to impose geographicbased hiring preferences whenever not 

otherwise prohibited by Federal statute. 

The agency does not anticipate any 

environmental impacts, and there are no 

extraordinary circumstances present in 

connection with this rulemaking. 

Regulation Identifier Number 

A regulation identifier number (RIN) 

is assigned to each regulatory action 

listed in the Unified Agenda of Federal 

Regulations. The Regulatory Information 

Service Center publishes the Unified 

Agenda in April and October of each 

year. The RIN contained in the heading 

of this document can be used to cross 

reference this action with the Unified 

Agenda. 

List of Subjects in 2 CFR Part 1201 

Uniform administrative requirements, 

Cost principles, and audit requirements 

for Federal awards. 

Issued in Washington, DC, on February 24, 

2015. 

Anthony R. Foxx, 

Secretary of Transportation. 

For the reasons set forth in the 

preamble, part 1201 of title 2 of the 

Code of Federal Regulations is proposed 

to be amended as follows: 

PART 1201—UNIFORM 

ADMINISTRATIVE REQUIREMENTS, 

COST PRINCIPLES, AND AUDIT 

REQUIREMENTS FOR FEDERAL 

AWARDS 

■ 1. The authority citation for part 1201 

continues to read: 

Authority: 49 U.S.C. 322. 

■ 2. Add § 1201.319 to read as follows: 

§ 1201.319 Competition. 

Notwithstanding 2 CFR 200.319, nonFederal entities may utilize geographic 

hiring preferences (including local 

hiring preferences) pertaining to the use 

of labor on a project consistent with 

such non-Federal entities’ policies and 

procedures, when not otherwise 

prohibited by Federal statute or 

regulation. 

[FR Doc. 2015–05215 Filed 3–5–15; 8:45 am] 

BILLING CODE 4910–9X–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 39 

[Docket No. FAA–2015–0250; Directorate 

Identifier 2014–NM–216–AD] 

RIN 2120–AA64 

Airworthiness Directives; Airbus 

Airplanes 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Notice of proposed rulemaking 

(NPRM). 

SUMMARY: We propose to adopt a new 

airworthiness directive (AD) for all 

Airbus Model A318, A319, A320, and 

A321 series airplanes. This proposed 

AD was prompted by reports of airspeed 

indication discrepancies while flying at 

high altitudes in inclement weather. 

This proposed AD would require 

replacing certain pitot probes on the 

captain, first officer, and standby sides 

with certain new pitot probes. We are 

proposing this AD to prevent airspeed 

indication discrepancies during 

inclement weather, which, depending 

on the prevailing altitude, could lead to 

unknown accumulation of ice crystals 

and consequent reduced controllability 

of the airplane. 

DATES: We must receive comments on 

this proposed AD by April 20, 2015. 

ADDRESSES: You may send comments, 

using the procedures found in 14 CFR 

11.43 and 11.45, by any of the following 

methods: 

• Federal eRulemaking Portal: Go to 

http://www.regulations.gov. Follow the 

instructions for submitting comments. 

• Fax: 202–493–2251. 

• Mail: U.S. Department of 

Transportation, Docket Operations, M– 

30, West Building Ground Floor, Room 

W12–140, 1200 New Jersey Avenue SE., 

Washington, DC 20590. 

• Hand Delivery: U.S. Department of 

Transportation, Docket Operations, M– 

30, West Building Ground Floor, Room 

W12–140, 1200 New Jersey Avenue SE., 

Washington, DC, between 9 a.m. and 5 

p.m., Monday through Friday, except 

Federal holidays. 

For service information identified in 

this proposed AD, contact Airbus, 

Airworthiness Office—EIAS, 1 Rond 

Point Maurice Bellonte, 31707 Blagnac 

Cedex, France; telephone +33 5 61 93 36 

96; fax +33 5 61 93 44 51; email 

account.airworth-eas@airbus.com; 

Internet http://www.airbus.com. You 

may view this referenced service 

information at the FAA, Transport 

Airplane Directorate, 1601 Lind Avenue 

SW., Renton, WA. For information on 

the availability of this material at the 

FAA, call 425–227–1221. 

Examining the AD Docket 

You may examine the AD docket on 

the Internet at http://

www.regulations.gov by searching for 

and locating Docket No. FAA–2015– 

0250; or in person at the Docket 

Management Facility between 9 a.m. 

and 5 p.m., Monday through Friday, 

except Federal holidays. The AD docket 

contains this proposed AD, the 

regulatory evaluation, any comments 

received, and other information. The 

street address for the Docket Operations 

office (telephone 800–647–5527) is in 

the ADDRESSES section. Comments will 

be available in the AD docket shortly 

after receipt. 

FOR FURTHER INFORMATION CONTACT: 

Sanjay Ralhan, Aerospace Engineer, 

International Branch, ANM–116, 

Transport Airplane Directorate, FAA, 

1601 Lind Avenue SW., Renton, WA 

98057–3356; telephone 425–227–1405; 

fax 425–227–1149. 

SUPPLEMENTARY INFORMATION: 

Comments Invited 

We invite you to send any written 

relevant data, views, or arguments about 

this proposed AD. Send your comments 

to an address listed under the 

ADDRESSES section. Include ‘‘Docket No. 

FAA–2015–0250; Directorate Identifier 

2014–NM–216–AD’’ at the beginning of 

your comments. We specifically invite 

comments on the overall regulatory, 

economic, environmental, and energy 


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Federal Register / Vol. 80, No. 44 / Friday, March 6, 2015 / Proposed Rules 12095 

aspects of this proposed AD. We will 

consider all comments received by the 

closing date and may amend this 

proposed AD based on those comments. 

We will post all comments we 

receive, without change, to http://

www.regulations.gov, including any 

personal information you provide. We 

will also post a report summarizing each 

substantive verbal contact we receive 

about this proposed AD. 

Discussion 

The European Aviation Safety Agency 

(EASA), which is the Technical Agent 

for the Member States of the European 

Union, has issued EASA Airworthiness 

Directive 2014–0237R1, dated December 

5, 2014 (referred to after this as the 

Mandatory Continuing Airworthiness 

Information, or ‘‘the MCAI’’), to correct 

an unsafe condition for all Airbus 

Model A318, A319, A320, and A321 

series airplanes. The MCAI states: 

Occurrences have been reported on A320 

family aeroplanes of airspeed indication 

discrepancies while flying at high altitudes 

in inclement weather conditions. 

Investigation results indicated that A320 

aeroplanes equipped with Thales Avionics 

Part Number (P/N) 50620–10 or P/N 

C16195AA pitot probes appear to have a 

greater susceptibility to adverse 

environmental conditions that aeroplanes 

equipped with certain other pitot probes. 

Prompted by earlier occurrences, DGAC 

[Direction Ge ́ne ́rale de l’Aviation Civile] 

France issued [DGAC] AD 2001–362 [http:// 

ad.easa.europa.eu/blob/easa_ad_2001_

362.pdf/AD_2001-362] [which corresponds to 

paragraph (f) of FAA AD 2004–03–33, 

Amendment 39–13477 (69 FR 9936, March 3, 

2004)] to require replacement of Thales 

(formerly known as Sextant) P/N 50620–10 

pitot probes with Thales P/N C16195AA 

probes. 

Since that [DGAC] AD was issued, Thales 

pitot probe P/N C15195BA was designed, 

which improved airspeed indication 

behavior in heavy rain conditions, but did 

not demonstrate the same level of robustness 

to withstand high-altitude ice crystals. Based 

on these findings, EASA have decided to 

implement replacement of the affected 

Thales [pitot] probes as a precautionary 

measure to improve the safety level of the 

affected aeroplanes. 

Consequently, EASA issued AD 2014–0237 

[http://ad.easa.europa.eu/blob/easa_ad_

2014_0237.pdf/AD_2014-0237], retaining the 

requirements of DGAC France AD 2001–362, 

which was superseded, to require 

replacement of Thales Avionics pitot probes 

P/N C16195AA and P/N C16195BA. 

The following related DGAC France ADs 

were also cancelled by EASA AD 2014–0237, 

without retaining any of their requirements: 

• AD 91–227–021R1 [http://

ad.easa.europa.eu/blob/easa_ad_91_227_

021R1.pdf/AD_91_227_021R1], that required 

replacement of Titeflex hoses; and 

• AD 2002–586R1 [http://

ad.easa.europa.eu/blob/easa_ad_2002_

586R1.pdf/AD_2002_586R1], that required 

cleaning of Thales P/N C16195AA probes. 

Since EASA issued AD 2014–0237, it was 

brought to the Agency’s attention that Airbus 

modification (mod) 155737 was introduced 

to install Thales probes in production. This 

affects paragraph (4) of the [EASA] AD. 

For the reasons described above, this 

[EASA] AD is revised to amend paragraph 

(4), making reference to aeroplanes which are 

post-mod 25578, but also post-mod 155737, 

as a result of which they have Thales probes 

installed. 

You may examine the MCAI in the 

AD docket on the Internet at http://

www.regulations.gov by searching for 

and locating Docket No. FAA–2015– 

0250. 

Related Rulemaking 

On February 4, 2004, we issued AD 

2004–03–33, Amendment 39–13477 (69 

FR 9936, March 3, 2004), applicable to 

certain Airbus Model A300 B2 and B4 

series airplanes; Model A300 B4–600, 

A300 B4–600R, and A300 F4–600R 

series airplanes; Model A310 series 

Airplanes; Model A319, A320, and 

A321 series airplanes; Model A330–301, 

–321, –322, –341, and –342 airplanes; 

and Model A340 series airplanes. That 

AD requires, among other actions, 

replacement of certain pitot probes with 

certain new pitot probes. That AD was 

issued to prevent loss or fluctuation of 

indicated airspeed, which could result 

in misleading information being 

provided to the flightcrew. 

Related Service Information Under 1 

CFR Part 51 

Airbus has issued Service Bulletin 

A320–34–1170, Revision 28, dated 

September 1, 2014; Service Bulletin 

A320–34–1456, Revision 01, dated May 

15, 2012; and Service Bulletin A320– 

34–1463, Revision 01, dated May 15, 

2012. The service information describes 

procedures for replacing certain Thales 

Avionics pitot probes on the captain, 

first officer, and standby sides with 

certain other Goodrich pitot probes. 

The actions described in this service 

information are intended to correct the 

unsafe condition identified in the 

MCAI. This service information is 

reasonably available; see ADDRESSES for 

ways to access this service information. 

FAA’s Determination and Requirements 

of This Proposed AD 

This product has been approved by 

the aviation authority of another 

country, and is approved for operation 

in the United States. Pursuant to our 

bilateral agreement with the State of 

Design Authority, we have been notified 

of the unsafe condition described in the 

MCAI and service information 

referenced above. We are proposing this 

AD because we evaluated all pertinent 

information and determined an unsafe 

condition exists and is likely to exist or 

develop on other products of these same 

type designs. 

Difference Between This Proposed AD 

and the MCAI or Service Information 

The EASA MCAI specifies that 

installation of a pitot probe approved 

after the effective date of the EASA AD, 

and compliant with the ‘‘new EASA 

icing requirements,’’ is equal to 

compliance with the requirements in 

paragraph (h) of this proposed AD, 

provided the part is approved by EASA 

or Airbus’s EASA Design Organization 

Approval (DOA). However, this 

proposed AD does not include that 

requirement because EASA regulations 

do not apply to airplanes type 

certificated for operation in the United 

States under the provisions of section 

21.29 of the Federal Aviation 

Regulations (14 CFR 21.29). 

Paragraph (1) of the MCAI requires 

replacement of Thales part number (P/ 

N) 50620–10 pitot probes with Thales P/ 

N C16195AA pitot probes. However, 

that action is not included in this 

proposed AD. Paragraph (f) of AD 2004– 

03–33, Amendment 39–13477 (69 FR 

9936, March 3, 2004), requires that 

action. 

Costs of Compliance 

We estimate that this proposed AD 

affects 953 airplanes of U.S. registry. 

We also estimate that it would take 

about 4 work-hours per product to 

comply with the basic requirements of 

this proposed AD. The average labor 

rate is $85 per work-hour. Required 

parts would cost about $21,930 per 

product. Based on these figures, we 

estimate the cost of this proposed AD on 

U.S. operators to be $21,223,310, or 

$22,270 per product. 

Authority for This Rulemaking 

Title 49 of the United States Code 

specifies the FAA’s authority to issue 

rules on aviation safety. Subtitle I, 

section 106, describes the authority of 

the FAA Administrator. ‘‘Subtitle VII: 

Aviation Programs,’’ describes in more 

detail the scope of the Agency’s 

authority. 

We are issuing this rulemaking under 

the authority described in ‘‘Subtitle VII, 

Part A, Subpart III, Section 44701: 

General requirements.’’ Under that 

section, Congress charges the FAA with 

promoting safe flight of civil aircraft in 

air commerce by prescribing regulations 

for practices, methods, and procedures 

the Administrator finds necessary for 

safety in air commerce. This regulation 

is within the scope of that authority 


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12096 Federal Register / Vol. 80, No. 44 / Friday, March 6, 2015 / Proposed Rules 

because it addresses an unsafe condition 

that is likely to exist or develop on 

products identified in this rulemaking 

action. 

Regulatory Findings 

We determined that this proposed AD 

would not have federalism implications 

under Executive Order 13132. This 

proposed AD would not have a 

substantial direct effect 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. 

For the reasons discussed above, I 

certify this proposed regulation: 

1. Is not a ‘‘significant regulatory 

action’’ under Executive Order 12866; 

2. Is not a ‘‘significant rule’’ under the 

DOT Regulatory Policies and Procedures 

(44 FR 11034, February 26, 1979); 

3. Will not affect intrastate aviation in 

Alaska; and 

4. Will not have a significant 

economic impact, positive or negative, 

on a substantial number of small entities 

under the criteria of the Regulatory 

Flexibility Act. 

List of Subjects in 14 CFR Part 39 

Air transportation, Aircraft, Aviation 

safety, Incorporation by reference, 

Safety. 

The Proposed Amendment 

Accordingly, under the authority 

delegated to me by the Administrator, 

the FAA proposes to amend 14 CFR part 

39 as follows: 

PART 39—AIRWORTHINESS 

DIRECTIVES 

■ 1. The authority citation for part 39 

continues to read as follows: 

Authority: 49 U.S.C. 106(g), 40113, 44701. 

§ 39.13 [Amended] 

■ 2. The FAA amends § 39.13 by adding 

the following new airworthiness 

directive (AD): 

Airbus: Docket No. FAA–2015–0250; 

Directorate Identifier 2014–NM–216–AD. 

(a) Comments Due Date 

We must receive comments by April 20, 

2015. 

(b) Affected ADs 

This AD affects AD 2004–03–33, 

Amendment 39–13477 (69 FR 9936, March 3, 

2004). 

(c) Applicability 

This AD applies to the airplanes identified 

in paragraphs (c)(1), (c)(2), (c)(3), and (c)(4) 

of this AD, certificated in any category, all 

manufacturer serial numbers. 

(1) Airbus Model A318–111, –112, –121, 

and –122 airplanes. 

(2) Airbus Model A319–111, –112, –113, 

–114, –115, –131, –132, and –133 airplanes. 

(3) Airbus Model A320–211, –212, –214, 

–231, –232, and –233 airplanes. 

(4) Airbus Model A321–111, –112, –131, 

–211, –212, –213, –231, and –232 airplanes. 

(d) Subject 

Air Transport Association (ATA) of 

America Code 34, Navigation. 

(e) Reason 

This AD was prompted by reports of 

airspeed indication discrepancies while 

flying at high altitudes in inclement weather. 

We are issuing this AD to prevent airspeed 

indication discrepancies during inclement 

weather, which, depending on the prevailing 

altitude, could lead to unknown 

accumulation of ice crystals and consequent 

reduced controllability of the airplane. 

(f) Compliance 

Comply with this AD within the 

compliance times specified, unless already 

done. 

(g) Replacement of Pitot Probes 

Within 48 months after the effective date 

of this AD: Replace any Thales pitot probe 

having part number (P/N) C16195AA or P/N 

C16195BA, with a Goodrich pitot probe 

having P/N 0851HL, in accordance with the 

Accomplishment Instructions of Airbus 

Service Bulletin A320–34–1170, Revision 28, 

dated September 1, 2014. Accomplishing the 

replacement in this paragraph terminates the 

requirements of paragraph (f) of AD 2004– 

03–33, Amendment 39–13477 (69 FR 9936, 

March 3, 2004), for that airplane only. 

(h) Methods of Compliance for Replacement 

(1) Replacement of the pitot probes in 

accordance with the Accomplishment 

Instructions of Airbus Service Bulletin A320– 

34–1456, Revision 01, dated May 15, 2012 

(pitot probes on the captain and standby 

sides); and Airbus Service Bulletin A320–34– 

1463, Revision 01, dated May 15, 2012 (pitot 

probes on the first officer side); is an 

acceptable method of compliance with the 

requirements of paragraph (g) of this AD. 

(2) Airplanes on which Airbus 

Modification 25578 was embodied in 

production, except for post-modification 

25578 airplanes on which Airbus 

Modification 155737 (installation of Thales 

pitot probes) was also embodied in 

production, are compliant with the 

requirements of paragraph (g) of this AD, 

provided it can be conclusively determined 

that no Thales pitot probe having P/N 

C16195AA, P/N C16195BA, or P/N 50620–10 

has been installed since the date of issuance 

of the original certificate of airworthiness or 

the date of issuance of the original export 

certificate of airworthiness. Post-modification 

25578 airplanes on which Airbus 

Modification 155737 (installation of Thales 

pitot probes) was also embodied in 

production must be in compliance with the 

requirements of paragraph (g) of this AD. 

(i) Credit for Previous Actions 

(1) This paragraph provides credit for the 

actions required by paragraph (g) of this AD, 

if those actions were performed before the 

effective date of this AD using the service 

information identified in paragraph (i)(1)(i) 

through (i)(1)(xxiv) of this AD. This service 

information is not incorporated by reference 

in this AD. 

(i) Airbus Service Bulletin A320–34–1170, 

Revision 04, dated May 24, 2000. 

(ii) Airbus Service Bulletin A320–34–1170, 

Revision 05, dated September 11, 2000. 

(iii) Airbus Service Bulletin A320–34– 

1170, Revision 06, dated October 18, 2001. 

(iv) Airbus Service Bulletin A320–34– 

1170, Revision 07, dated December 4, 2001. 

(v) Airbus Service Bulletin A320–34–1170, 

Revision 08, dated January 15, 2003. 

(vi) Airbus Service Bulletin A320–34– 

1170, Revision 09, dated February 17, 2003. 

(vii) Airbus Service Bulletin A320–34– 

1170, Revision 10, dated November 21, 2003. 

(viii) Airbus Service Bulletin A320–34– 

1170, Revision 11, dated August 18, 2004. 

(ix) Airbus Service Bulletin A320–34– 

1170, Revision 12, dated December 2, 2004. 

(x) Airbus Service Bulletin A320–34–1170, 

Revision 13, dated January 18, 2005. 

(xi) Airbus Service Bulletin A320–34– 

1170, Revision 14, dated April 21, 2005. 

(xii) Airbus Service Bulletin A320–34– 

1170, Revision 15, dated July 19, 2005. 

(xiii) Airbus Service Bulletin A320–34– 

1170, Revision 16, dated November 23, 2006. 

(xiv) Airbus Service Bulletin A320–34– 

1170, Revision 17, dated February 14, 2007. 

(xv) Airbus Service Bulletin A320–34– 

1170, Revision 18, dated October 9, 2009. 

(xvi) Airbus Service Bulletin A320–34– 

1170, Revision 19, dated November 9, 2009. 

(xvii) Airbus Service Bulletin A320–34– 

1170, Revision 20, dated December 1, 2010. 

(xviii) Airbus Service Bulletin A320–34– 

1170, Revision 21, dated March 24, 2011. 

(xix) Airbus Service Bulletin A320–34– 

1170, Revision 22, dated July 19, 2011. 

(xx) Airbus Service Bulletin A320–34– 

1170, Revision 23, dated February 3, 2012. 

(xxi) Airbus Service Bulletin A320–34– 

1170, Revision 24, dated April 12, 2012. 

(xxii) Airbus Service Bulletin A320–34– 

1170, Revision 25, dated September 4, 2012. 

(xxiii) Airbus Service Bulletin A320–34– 

1170, Revision 26, dated September 16, 2013. 

(xxiv) Airbus Service Bulletin A320–34– 

1170, Revision 27, dated March 18, 2014. 

(2) This paragraph provides credit for the 

replacement of pitot probes on the captain 

and standby sides specified in paragraph 

(h)(1) of this AD, if the replacement was 

performed before the effective date of this AD 

using Airbus Service Bulletin A320–34–1456, 

dated December 2, 2009, which is not 

incorporated by reference in this AD. 

(3) This paragraph provides credit for the 

replacement of pitot probes on the first 

officer side specified in paragraph (h)(1) of 

this AD, if those actions were performed 

before the effective date of this AD using 

Airbus Service Bulletin A320–34–1463, 

dated March 9, 2010, which is not 

incorporated by reference in this AD. 

(j) Parts Installation Limitations 

(1) At the applicable time specified in 

paragraph (j)(1)(i) or (j)(1)(ii) of this AD: No 

person may install on any airplane a Thales 

pitot probe having P/N C16195AA or P/N 

C16195BA. 


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(i) For airplanes with a Thales pitot probe 

having P/N C16195AA or P/N C16195BA 

installed: After accomplishing the 

replacement required by paragraph (g) of this 

AD. 

(ii) For airplanes without a Thales pitot 

probe having P/N C16195AA or P/N 

C16195BA installed: As of the effective date 

of this AD. 

(2) As of the effective date of this AD, no 

person may install on any airplane a Thales 

pitot probe having part number P/N 50620– 

10. 

(k) Other FAA AD Provisions 

The following provisions also apply to this 

AD: 

(1) Alternative Methods of Compliance 

(AMOCs): The Manager, International 

Branch, ANM–116, Transport Airplane 

Directorate, FAA, has the authority to 

approve AMOCs for this AD, if requested 

using the procedures found in 14 CFR 39.19. 

In accordance with 14 CFR 39.19, send your 

request to your principal inspector or local 

Flight Standards District Office, as 

appropriate. If sending information directly 

to the International Branch, send it to ATTN: 

Sanjay Ralhan, Aerospace Engineer, 

International Branch, ANM–116, Transport 

Airplane Directorate, FAA, 1601 Lind 

Avenue SW., Renton, WA 98057–3356; 

telephone 425–227–1405; fax 425–227–1149. 

Information may be emailed to: 9-ANM-116- 

AMOC-REQUESTS@faa.gov. Before using 

any approved AMOC, notify your appropriate 

principal inspector, or lacking a principal 

inspector, the manager of the local flight 

standards district office/certificate holding 

district office. The AMOC approval letter 

must specifically reference this AD. 

(2) Contacting the Manufacturer: For any 

requirement in this AD to obtain corrective 

actions from a manufacturer, the action must 

be accomplished using a method approved 

by the Manager, International Branch, ANM– 

116, Transport Airplane Directorate, FAA; or 

the European Aviation Safety Agency 

(EASA); or Airbus’s EASA Design 

Organization Approval (DOA). If approved by 

the DOA, the approval must include the 

DOA-authorized signature. 

(l) Related Information 

(1) Refer to Mandatory Continuing 

Airworthiness Information (MCAI) EASA 

Airworthiness Directive 2014–0237R1, dated 

December 5, 2014, for related information. 

This MCAI may be found in the AD docket 

on the Internet at http://www.regulations.gov 

by searching for and locating Docket No. 

FAA–2015–0250. 

(2) For service information identified in 

this AD, contact Airbus, Airworthiness 

Office—EIAS, 1 Rond Point Maurice 

Bellonte, 31707 Blagnac Cedex, France; 

telephone +33 5 61 93 36 96; fax +33 5 61 

93 44 51; email account.airworth-eas@

airbus.com; Internet http://www.airbus.com. 

You may view this service information at the 

FAA, Transport Airplane Directorate, 1601 

Lind Avenue SW., Renton, WA. For 

information on the availability of this 

material at the FAA, call 425–227–1221. 

Issued in Renton, Washington, on February 

19, 2015. 

John P. Piccola, Jr., 

Acting Manager, Transport Airplane 

Directorate, Aircraft Certification Service. 

[FR Doc. 2015–04495 Filed 3–5–15; 8:45 am] 

BILLING CODE 4910–13–P 

DEPARTMENT OF THE TREASURY 

Internal Revenue Service 

26 CFR Part 1 

[REG–100400–14] 

RIN 1545–BM14 

Guidance Regarding Reporting Income 

and Deductions of a Corporation That 

Becomes or Ceases To Be a Member 

of a Consolidated Group 

AGENCY: Internal Revenue Service (IRS), 

Treasury. 

ACTION: Notice of proposed rulemaking. 

SUMMARY: This document contains 

proposed amendments to the 

consolidated return regulations. These 

proposed regulations would revise the 

rules for reporting certain items of 

income and deduction that are 

reportable on the day a corporation joins 

or leaves a consolidated group. The 

proposed regulations would affect such 

corporations and the consolidated 

groups that they join or leave. 

DATES: Written or electronic comments 

and requests for a public hearing must 

be received by June 4, 2015. 

ADDRESSES: Send submissions to: 

CC:PA:LPD:PR (REG–100400–14), Room 

5203, Internal Revenue Service, P.O. 

Box 7604, Ben Franklin Station, 

Washington, DC 20044. Submissions 

may be hand-delivered Monday through 

Friday between the hours of 8 a.m. and 

4 p.m. to CC:PA:LPD:PR (REG–100400– 

14), Courier’s Desk, Internal Revenue 

Service, 1111 Constitution Avenue NW., 

Washington, DC, or sent electronically 

via the Federal eRulemaking Portal at 

http://www.regulations.gov/ (IRS REG– 

100400–14). 

FOR FURTHER INFORMATION CONTACT: 

Concerning the proposed regulations, 

Russell G. Jones, (202) 317–6847; 

concerning the submission of comments 

or to request a public hearing, 

Oluwafunmilayo (Funmi) P. Taylor, 

(202) 317–6901 (not toll-free numbers). 

SUPPLEMENTARY INFORMATION: 

Background and Explanation of 

Provisions 

1. Introduction 

This notice of proposed rulemaking 

contains proposed regulations that 

amend 26 CFR part 1 under section 

1502 of the Internal Revenue Code 

(Code). Section 1502 authorizes the 

Secretary to prescribe regulations for 

corporations that join in filing a 

consolidated return, and it expressly 

provides that those rules may be 

different from the provisions of chapter 

1 of subtitle A of the Code that would 

apply if those corporations filed 

separate returns. Terms used in the 

consolidated return regulations 

generally are defined in § 1.1502–1. 

These proposed regulations provide 

guidance under § 1.1502–76, which 

prescribes rules for determining the 

taxable period in which items of 

income, gain, deduction, loss, and credit 

(tax items) of a corporation that joins in 

filing a consolidated return are 

included. Section 1.1502–76(b) 

provides, in part, that if a corporation 

(S) becomes or ceases to be a member 

of a consolidated group during a 

consolidated return year, S must 

include in the consolidated return its 

tax items for the period during which it 

is a member. S also must file a separate 

return (including a consolidated return 

of another group) that includes its items 

for the period during which it is not a 

member. 

2. Prior and Current Regulations 

On September 8, 1966, the IRS and 

the Treasury Department promulgated 

regulations under § 1.1502–76 in TD 

6894, 31 FR 11794 (1966 regulations). 

Section 1.1502–76(b) of the 1966 

regulations was silent regarding the 

treatment of S’s tax items that accrued 

on the day S became or ceased to be a 

member of a consolidated group (S’s 

change in status). Thus, whether S’s tax 

items for the day of S’s change in status 

should have been reflected on S’s tax 

return for the short period ending with 

S’s change in status, or whether these 

tax items should have been reflected 

instead on S’s tax return for the short 

period beginning after S’s change in 

status, was unclear under the 1966 

regulations. 

On August 15, 1994, the IRS and the 

Treasury Department published final 

regulations (TD 8560; 59 FR 41666) 

under § 1.1502–76(b) (current 

regulations) that revised the 1966 

regulations to eliminate uncertainty 

regarding the treatment of tax items 

recognized by S on the day of S’s change 

in status. Under the general rule of 

§ 1.1502–76(b)(1)(ii)(A)(1) of the current 

regulations (current end of the day rule), 

S is treated for all federal income tax 

purposes as becoming or ceasing to be 

a member of a consolidated group at the 

end of the day of S’s change in status, 

and S’s tax items that are reportable on 


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