Federal Register / Vol. 65, No. 128 / Monday, July 3, 2000 / Rules and Regulations 40981

Commenters also stated that calculation

of CFI status on a quarterly or monthly

basis would cause some members’ CFI

status to fluctuate more frequently,

which, for members approaching the

CFI asset cap, could have a chilling

effect on their reliance on Bank funding

secured by CFI-eligible collateral.

For membership eligibility purposes,

the determination of whether an

institution applying for Bank

membership is a CFI and, therefore,

exempt from the 10 percent

requirement, is only required to be

made by the Bank one time, during the

membership application evaluation

process. Therefore, the comments

regarding the administrative burden and

cost of performing more frequent

periodic calculations, coordinating with

the annual stock purchase calculation,

and the effect on use of Bank funding,

are inapposite for membership

eligibility purposes. Rather, these

comments appear to be directed at how

CFI status should be calculated for

purposes of allowing CFI members to

use the expanded collateral authority

under the Modernization Act. These

comments, and the definition of CFI for

advances collateral purposes, are more

appropriately addressed in the Finance

Board’s final Advances Collateral Rule.

Under the Membership Regulation,

the calculation of the 10 percent

requirement is based on the applicant’s

total assets and residential mortgage

loans drawn from its most recent

quarterly regulatory financial report

filed with its appropriate regulator. See

12 CFR 925.10. Since the calculation of

average total assets to determine CFI

status is necessary in order to determine

whether the 10 percent requirement

applies, it would be consistent with the

current membership application review

process at the Banks to use the same

total assets data from the applicant’s

most recent quarterly regulatory

financial report for the CFI calculation.

In addition, since an average of total

assets over three years is required for

the CFI calculation, it also would be

reasonable to include in the calculation

the total assets data from the quarterly

regulatory financial reports filed with

the applicant’s appropriate regulator for

the immediately preceding 11 calendar

quarters.

Because the calculation of the threeyear total assets average affects the

determination of CFI status for both

membership and advances purposes, the

definition of CFI belongs in § 900.1,

which contains general definitions

applying to all Finance Board

regulations. Accordingly, this final rule

removes the definitions of ‘‘community

financial institution’’ and ‘‘community

financial institution asset cap’’

(§ 925.1(ff) and (gg)) from the

Membership Regulation. The final

Advances Collecteral Rule will add the

calculation for membership purposes as

described above, as well a the

calculation for advances purposes, to a

definition of ‘‘community financial

institution’’ in § 900.1. The final

Advances Collateral Rule also will add

the definition of ‘‘community financial

institution asset cap’’ to § 900.1.

B. Readmission to Membership—

§ 925.30

The final rule makes technical

revisions to the language on

readmission to membership in § 925.30

of the Interim Final Rule for greater

clarity.

III. Regulatory Flexibility Act

Because no notice of proposed

rulemaking is required for this final

rule, the provisions of the Regulatory

Flexibility Act, U.S.C. 601 et seq., do

not apply.

IV. Paperwork Reduction Act

For the reasons stated in the Interim

Final Rule, the Finance Board adopted

the Interim Final Rule on an expedited

basis to conform provisions of its

regulations to the recently enacted

statutory amendments to the Bank Act.

Due to the expedited nature of this

rulemaking, the Finance Board has not

completed its analysis of the

information collection requirements

contained in the final rule. The

amendments in the final rule may result

in a reduction in the information

collection burden for institutions that

qualify as community financial

institutions, and an increase in the

number of respondents that apply for

Bank membership. The Finance Board

intends to submit to the Office of

Management and Budget the

information collection requirements

contained in this final rule in

accordance with the requirements of

section 3507(d) of the Paperwork

Reudction Act of 1995, 44 U.S.C.

3507(d).

List of Subjects in Parts 925 and 950

Credit, Federal home loan banks,

Reporting and recordkeeping

requirements.

Accordingly, the Interim Final Rule

amending title 12, chapter IX, parts 925

and 950, Code of Federal Regulations,

which was published at 65 FR 13866

(March 15, 2000), is adopted as final

with the following changes:

PART 925—MEMBERS OF THE BANKS

1. The authority citation for part 925

continues to read as follows:

Authority: 12 U.S.C. 1422, 1422a, 1422b,

1423, 1424, 1426, 1430, 1442.

§ 925.1 [Amended]

2. Amend § 925.1 by removing

paragraphs (ff) and (gg).

3. Revised § 925.30 to read as follows:

§ 925.30 Readmission to membership.

(a) In general. An institution that has

withdrawn from membership, or

otherwise terminated its membership,

may not be readmitted to membership

in any Bank for a period of 5 years from

the date on which its membership

terminated.

(b) Exceptions. An institution that

transfers membership between two

Banks without interruption shall not be

deemed to have withdrawn from Bank

membership. Any institution that

withdrew from Bank membership prior

to December 31, 1997, and for which the

5-year period has not expired, may

apply for membership in a Bank at any

time, subject to the approval of the

Finance Board and the requirements of

12 CFR part 925.

Dated: June 23, 2000.

By the Board of Directors of the Federal

Housing Finance Board.

Bruce A. Morrison,

Chairman.

[FR Doc. 00–16790 Filed 6–30–00; 8:45 am]

BILLING CODE 6725–01–M

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. 99–NE–15–AD; Amendment 39–

11800; AD 2000–13–01]

RIN 2120–AA64

Airworthiness Directives; Allison

Engine Company, Inc. AE 3007A and

AE 3007C Series Turbofan Engines

AGENCY: Federal Aviation

Administration, DOT.

ACTION: Final rule.

SUMMARY: This amendment adopts a

new airworthiness directive (AD) that is

applicable to Allison Engine Company,

Inc. AE 3007A and AE 3007C series

turbofan engines. This AD requires the

removal from service of certain turbine

wheels before exceeding new, reduced

cyclic life limits. This amendment is

prompted by a refined life analysis that

was performed by the manufacturer.

40982 Federal Register / Vol. 65, No. 128 / Monday, July 3, 2000 / Rules and Regulations

The actions specified by this AD are

intended to prevent an uncontained

turbine wheel failure, which could

result in damage to the airplane.

DATES: Effective date September 1, 2000.

The incorporation by reference of

certain publications listed in the rule is

approved by the Director of the Federal

Register as of September 1, 2000.

ADDRESSES: The service information

referenced in this AD may be obtained

from Rolls-Royce Allison, P.O. Box 420,

Indianapolis, IN 46206–0420; telephone:

(888) 255–4766. This information may

be examined at the Federal Aviation

Administration (FAA), New England

Region, Office of the Regional Counsel,

12 New England Executive Park,

Burlington, MA; or at the Office of the

Federal Register, 800 North Capitol

Street, NW., suite 700, Washington, DC.

FOR FURTHER INFORMATION CONTACT: John

Tallarovic, Aerospace Engineer, Chicago

Aircraft Certification Office, FAA, Small

Airplane Directorate, 2300 East Devon

Avenue, Des Plaines, IL 60018;

telephone (847) 294–8180, fax (847)

294–7834.

SUPPLEMENTARY INFORMATION: A

proposal to amend part 39 of the Federal

Aviation Regulations (14 CFR part 39) to

include an airworthiness directive (AD)

applicable to Allison Engine Company,

Inc. AE 3007A and AE 3007C series

turbofan engines was published in the

Federal Register on August 5, 1999 (64

FR 42622). That action proposed to

require the removal of certain turbine

wheels from service before exceeding

new, reduced cyclic life limits listed in

Rolls-Royce Alert Service Bulletin

(ASB) AE 3007A–A–72–105/AE 3007C–

A–72–105, dated January 29, 1999.

Interested persons have been afforded

an opportunity to participate in the

making of this amendment. Due

consideration has been given to the

comments received.

Support for the Rule

One commenter supports the

proposed rule as written.

Part Numbers

One commenter requests the addition

of part numbers (P/N) to the compliance

section. The commenter states that the

way the NPRM is written, paragraphs

(a)(2) and (b)(2) could be interpreted to

mean that all stage 1 and stage 2 turbine

wheels, respectively, should have lower

lives. In fact, the life reduction is

limited to a few part numbers. The

addition of the affected part numbers

would prevent confusion.

The FAA agrees. To eliminate

confusion, paragraph (a)(2) of the

compliance section of the final rule has

been revised to specify P/Ns 23065891

and 23062373. Paragraph (b)(2) of the

compliance section of the final rule has

been revised to specify P/Ns 23065892

and 23063462.

Conclusion

After careful review of the available

data, including the comments noted

above, the FAA has determined that air

safety and the public interest require the

adoption of the rule with the changes

described previously. The FAA has

determined that these changes will

neither increase the economic burden

on any operator nor increase the scope

of the AD.

Economic Analysis

There are approximately 325 engines

of the affected design in the worldwide

fleet. The FAA estimates that 260

engines installed on aircraft of U.S.

registry will be affected by this AD, that

it will take approximately 63 work

hours per engine to accomplish the

required actions, and that the average

labor rate is $60 per work hour. The

estimated cost of the lost cycles due to

the reduction of the engine cycle life

limit is $57,800 per engine. Based on

these figures, the total cost impact of the

AD on U.S. operators is estimated to be

$15,028,000. The manufacturer of the

affected turbine wheels has advised the

FAA that it may defray the cost of the

reduced life limits, thus reducing the

overall cost to operators.

Regulatory Impact

This rule does not have federalism

implications, as defined in Executive

Order 13132, because it does 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. Accordingly, the

FAA has not consulted with state

authorities prior to publication of this

rule.

For the reasons discussed above, I

certify that this action (1) is not a

‘‘significant regulatory action’’ under

Executive Order 12866; (2) is not a

‘‘significant rule’’ under DOT

Regulatory Policies and Procedures (44

FR 11034, February 26, 1979); and (3)

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. A final evaluation has

been prepared for this action and is

contained in the Rules Docket. A copy

of it may be obtained from the Rules

Docket at the location provided under

the caption ADDRESSES.

List of Subjects in 14 CFR Part 39

Air transportation, Aircraft, Aviation

safety, Incorporation by reference,

Safety.

Adoption of the Amendment

Accordingly, pursuant to the

authority delegated to me by the

Administrator, the Federal Aviation

Administration amends part 39 of the

Federal Aviation Regulations (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. Section 39.13 is amended by

adding the following new airworthiness

directive:

2000–13–01 Allison Engine Company, Inc.:

Amendment 39–11800. Docket No. 99–

NE–15–AD.

Applicability

Allison Engine Company, Inc. AE 3007A

and AE 3007C series turbofan engines,

installed on, but not limited to, Cessna

Aircraft Company 750 series airplanes and

Empresa Brasileira de Aeronautica S.A.

(Embraer) EMB–145 series airplanes.

Note 1: This airworthiness directive (AD)

applies to each engine identified in the

preceding applicability provision, regardless

of whether it has been modified, altered, or

repaired in the area subject to the

requirements of this AD. For engines that

have been modified, altered, or repaired so

that the performance of the requirements of

this AD is affected, the owner/operator must

request approval for an alternative method of

compliance in accordance with paragraph (d)

of this AD. The request should include an

assessment of the effect of the modification,

alteration, or repair on the unsafe condition

addressed by this AD; and, if the unsafe

condition has not been eliminated, the

request should include specific proposed

actions to address it.

Compliance

Required as indicated, unless

accomplished previously.

To prevent an uncontained turbine wheel

failure, which could result in damage to the

airplane, accomplish the following:

Remove and Replace

(a) Remove stage 1 turbine wheels, part

numbers (P/Ns) 23065891 and 23062373, and

replace with new or serviceable parts as

follows:

(1) For stage 1 turbine wheels with serial

numbers (SNs) listed in Table 5 of RollsRoyce Alert Service Bulletin (ASB) AE

3007A–A–72–105 and AE 3007C–A–72–105,

dated January 29, 1999, replace before

accumulating 9,000 engine cycles since new

(CSN).

Federal Register / Vol. 65, No. 128 / Monday, July 3, 2000 / Rules and Regulations 40983

(2) For all other stage 1 turbine wheel SNs

with P/Ns 23065891 and 23062373, replace

before accumulating 13,100 engine CSN.

(b) Remove stage 2 turbine wheels, P/Ns

23065892 and 23063462, and replace with

new or serviceable parts as follows:

(1) For stage 2 turbine wheels with SNs

listed in Table 6 of Rolls-Royce ASB AE

3007A–A–72–105 and AE 3007C–A–72–105,

dated January 29, 1999, replace before

accumulating 7,800 engine CSN.

(2) For all other stage 2 turbine wheel SNs

with P/Ns 23065892 and 23063462, replace

before accumulating 8,400 engine CSN.

Alternative Life Limits

(c) This AD establishes new cyclic life

limits for the turbine wheels identified in

paragraphs (a) and (b) of this AD. Except in

accordance with paragraph (d) of this AD, no

alternative life limits may be approved for

the turbine wheels identified in paragraphs

(a) and (b) of this AD.

Alternative Method of Compliance

(d) An alternative method of compliance or

adjustment of the compliance time that

provides an acceptable level of safety may be

used if approved by the Manager, Chicago

Aircraft Certification Office. Operators shall

submit their request through an appropriate

FAA Principal Maintenance Inspector, who

may add comments and then send it to the

Manager, Chicago Aircraft Certification

Office.

Note 2: Information concerning the

existence of approved alternative methods of

compliance with this airworthiness directive,

if any, may be obtained from the Chicago

Aircraft Certification Office.

Special Flight Permits

(e) Special flight permits may be issued in

accordance with §§ 21.197 and 21.199 of the

Federal Aviation Regulations (14 CFR 21.197

and 21.199) to operate the aircraft to a

location where the requirements of this AD

can be accomplished.

Documents Incorporated by Reference

(f) This AD references Rolls-Royce Alert

Service Bulletin AE 3007A–A–72–105/AE

3007C–A–72–105, dated January 29, 1999.

This incorporation by reference was

approved by the Director of the Federal

Register in accordance with 5 U.S.C. 552(a)

and 1 CFR part 51. Copies may be obtained

from Rolls-Royce Allison, P.O. Box 420,

Indianapolis, IN 46206–0420; telephone:

(888) 255–4766. Copies may be inspected at

the FAA, New England Region, Office of the

Regional Counsel, 12 New England Executive

Park, Burlington, MA; or at the Office of the

Federal Register, 800 North Capitol Street,

NW., suite 700, Washington, DC.

Effective Date

(g) This amendment becomes effective on

September 1, 2000.

Issued in Burlington, Massachusetts, on

June 19, 2000.

Jay J. Pardee,

Manager, Engine and Propeller Directorate,

Aircraft Certification Service.

[FR Doc. 00–16232 Filed 6–30–00; 8:45 am]

BILLING CODE 4910–13–U

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. 2000–NE–05–AD; Amendment

39–11804; AD 2000–13–05–AD]

RIN 2120–AA64

Airworthiness Directives; Rolls-Royce

plc. RB211 Trent 768–60, Trent 772–60,

and Trent 772B–60 Turbofan Engines

AGENCY: Federal Aviation

Administration, DOT.

ACTION: Final rule; request for

comments.

SUMMARY: This amendment adopts a

new airworthiness directive (AD) that is

applicable to Rolls-Royce plc. (RR)

RB211 Trent 768–60, Trent 772–60, and

Trent 772B–60 turbofan engines. This

action requires initial and repetitive

ultrasonic inspections for cracks in fan

blade dovetail roots, and if necessary,

replacement with serviceable parts. This

amendment is prompted by reports of

fan blade failures due to dovetail root

cracks. The actions specified in this AD

are intended to prevent possible

multiple fan blade failures, which could

result in an uncontained engine failure

and damage to the airplane.

DATES: Effective August 2, 2000. The

incorporation by reference of certain

publications listed in the rule is

approved by the Director of the Federal

Register as of August 2, 2000.

Comments for inclusion in the Rules

Docket must be received on or before

September 1, 2000.

ADDRESSES: Submit comments in

triplicate to the Federal Aviation

Administration (FAA), New England

Region, Office of the Regional Counsel,

Attention: Rules Docket No. 2000–NE–

05–AD, 12 New England Executive Park,

Burlington, MA 01803–5299. Comments

may also be sent via the Internet using

the following address: ‘‘9-adengineprop@faa.gov.’’ Comments sent

via the Internet must contain the docket

number in the subject line.

The service information referenced in

this AD may be obtained from RollsRoyce plc, PO Box 31, Derby, England;

telephone: 011–44–1332–249428; fax

011–44–1332–249223. This information

may be examined at the FAA, New

England Region, Office of the Regional

Counsel, 12 New England Executive

Park, Burlington, MA; or at the Office of

the Federal Register, 800 North Capitol

Street, NW., suite 700, Washington, DC.

FOR FURTHER INFORMATION CONTACT:

James Lawrence, Aerospace Engineer,

Engine Certification Office, FAA, Engine

and Propeller Directorate, 12 New

England Executive Park, Burlington, MA

01803–5299; telephone 781–238–7176;

fax 781–238–7199.

SUPPLEMENTARY INFORMATION: The Civil

Aviation Authority (CAA), which is the

airworthiness authority for the United

Kingdom (U.K.), recently notified the

FAA that an unsafe condition may exist

on Rolls-Royce plc. (RR) RB211 Trent

768–60, Trent 772–60, and Trent 772B–

60 turbofan engines with fan blade part

numbers (P/N’s) FK22580, FK23411,

FK25441, and FK25968 installed. The

CAA received a report of multiple fan

blade root cracks in a factory engine. A

recent inspection of a set of fan blades

from a factory fleet leader test engine

has identified small cracks in the blade

roots on the convex root flank. To date,

this is the only engine that has exhibited

the blade root cracks. This condition, if

not corrected, could result in possible

multiple fan blade failures, which could

result in an uncontained engine failure

and damage to the airplane.

Manufacturer’s Service Information

Rolls-Royce plc (RR) has issued

service bulletin (SB) No. RB.211–72–

C878, Revision 1, dated December 10,

1999, that specifies procedures for

ultrasonic inspections for cracks in fan

blade dovetail roots. The CAA classified

this SB as mandatory and issued

airworthiness directive (AD) 003–11–99

in order to assure the airworthiness of

these engines in the U.K.

Differences Between This AD and the

Manufacturer’s Service Information

This AD applies only to those engines

with fan blades having four specific part

numbers. The manufacturer’s service

bulletin is not limited in that fashion.

The FAA expects that future changes in

the design of the affected fan blades will

eliminate the need for the required

inspections and that those newer fan

blades will have different part numbers.

The installation of the newer part

number will therefore have the effect of

removing the engine from the

applicability of this AD.

Bilateral Airworthiness Agreement

This engine model is manufactured in

the U.K. and is type certificated for

operation in the United States under the

provisions of section 21.29 of the

Federal Aviation Regulations (14 CFR

21.29) and the applicable bilateral

airworthiness agreement. Pursuant to

this bilateral airworthiness agreement,

the CAA has kept the FAA informed of

the situation described above. The FAA

has examined the findings of the CAA,

reviewed all available information, and

determined that AD action is necessary