Federal Register / Vol. 71, No. 201 / Wednesday, October 18, 2006 / Rules and Regulations 61399 

(j) When the HPC front hub is inspected, 

visually inspect for fretting wear and FMPI 

for cracks on 7th stage HPC disks and 9th 

stage-through-12th stage HPC disks coated 

with PWA 110–21. Inspection information 

can be found in the applicable sections of 

JT8D–200 Engine Manual P/N 773128, listed 

in Table 3 of this AD. 

JT8D–209, –217, –217A, –217C, and –219 

Turbofan Engines—Cycle Adjustment for 

HPC Front Hubs That Entered Service With 

Nickel-Cadmium Plating and PWA 110–21 

Coating 

(k) For JT8D–209, –217, –217A, –217C, and 

–219 turbofan engines with HPC front hubs 

that entered service with Nickel-Cadmium 

plating, but have also operated during the life 

of the hub with PWA 110–21 coating: 

(1) You are allowed to make a cycle 

adjustment. 

(2) Use the information under 

‘‘CONDITION A’’ of PW ASB JT8D A6430, 

Revision 2, dated December 23, 2004, to 

determine the adjustment. 

Replacement of HPC Front Hubs and Stage 

8–9 Spacers That Have Operated With PWA 

110–21 Coating, As Optional Action—All 

Engines 

(l) For all applicable engines, as an 

optional action for the visual inspections in 

this AD, replace HPC front hubs and stage 8–

9 spacers that have operated with PWA 110–

21 coating in the interface between the hub 

and the stage 8–9 spacer and HPC disks 

currently coated with PWA 110–21, as 

follows: 

(1) Install a Nickel-Cadmium plated HPC 

front hub that has never operated with PWA 

110–21 coating in the interface between the 

HPC front hub and the stage 8–9 spacer. 

(2) Install a Nickel-Cadmium plated or 

Electroless Nickel-plated stage 8–9 spacer. 

(3) Install HPC disks that have never 

operated with PWA 110–21 coating. 

Prohibition Against Recoating the HPC Front 

Hub, Stage 7 HPC Disk, and Stage 8–9 

Spacer With PWA 110–21—All Engines 

(m) Do not recoat the HPC front hub with 

PWA 110–21 (Repair-23 of Chapter/Section 

72–36–42 of JT8D–200 Engine Manual, P/N 

773128, and Repair-27 and Repair-28 of 

Chapter/Section 72–36–42 of JT8D Engine 

Manual, P/N 481672). 

(n) Do not recoat the 7th stage disk with 

PWA 110–21 (Repair-15 of Chapter/Section 

72–36–41 of JT8D–200 Engine Manual, P/N 

773128, and Repair-15 of Chapter/Section 

72–36–41 of JT8D Engine Manual, P/N 

481672). 

(o) Do not recoat the stage 8–9 spacer with 

PWA 110–21 (Repair-03, Task 72–36–12–30–

003–002, of Chapter/Section 72–36–12 of 

JT8D–200 Engine Manual, P/N 773128, and 

Repair-01, Task 72–36–12–30–001–002, of 

Chapter/Section 72–36–12 of JT8D Engine 

Manual, P/N 481672). 

Prohibition Against Reinstalling HPC Front 

Hubs and Stage 8–9 Spacers Coated With 

PWA 110–21 

(p) After the effective date of this AD, do 

not reinstall HPC front hubs and stage 8–9 

spacers coated with PWA 110–21. 

Definition 

(q) For the purpose of this AD, ‘‘accessible’’

is defined as when the HPC front hub is 

removed from the engine and the hub is 

debladed. 

Alternative Methods of Compliance 

(r) The Manager, Engine Certification 

Office, has the authority to approve 

alternative methods of compliance for this 

AD if requested using the procedures found 

in 14 CFR 39.19. 

Related Information 

(s) None. 

Material Incorporated by Reference 

(t) You must use the service information 

specified in Table 6 of this AD to perform the 

actions required by this AD. The Director of 

the Federal Register previously approved the 

incorporation by reference of these alert 

service bulletins in accordance with 5 U.S.C. 

552(a) and 1 CFR part 51, as of October 4, 

2006 (71 FR 51459, August 30, 2006). Contact 

Pratt & Whitney, 400 Main St., East Hartford, 

CT 06108, telephone (860) 565–7700; fax 

(860) 565–1605 for a copy of this service 

information. You may review copies at the 

FAA, New England Region, Office of the 

Regional Counsel, 12 New England Executive 

Park, Burlington, MA; or at the National 

Archives and Records Administration 

(NARA). For information on the availability 

of this material at NARA, call 202–741–6030, 

or go to: http://www.archives.gov/federalregister/cfr/ibr-locations.html. 

TABLE 6.—INCORPORATION BY REFERENCE

Pratt & Whitney Alert Service Bulletin No. Page Revision Date 

JT8D A6430, Total Pages: 35 ................................................................................... ALL ................... 2 ....................... December 23, 2004. 

JT8D A6468, Total Pages: 20 ................................................................................... ALL ................... Original ............. December 23, 2004. 

Issued in Burlington, Massachusetts, on 

October 11, 2006. 

Thomas A. Boudreau, 

Acting Manager, Engine and Propeller 

Directorate, Aircraft Certification Service. 

[FR Doc. E6–17327 Filed 10–17–06; 8:45 am] 

BILLING CODE 4910–13–P 

DEPARTMENT OF HOMELAND 

SECURITY 

Bureau of Customs and Border 

Protection 

DEPARTMENT OF THE TREASURY 

19 CFR Parts 12 and 163 

[USCBP–2006–0108; CBP Dec. 06–25] 

RIN 1505–AB73 

Entry of Softwood Lumber Products 

From Canada 

AGENCIES: Customs and Border 

Protection, Department of Homeland 

Security; Department of the Treasury. 

ACTION: Interim rule. 

SUMMARY: This document sets forth 

interim amendments to title 19 of the 

Code of Federal Regulations (CFR) 

establishing special entry requirements 

applicable to shipments of softwood 

lumber products from Canada. The 

interim amendments involve the 

collection of additional entry summary 

information for purposes of monitoring 

and enforcing the Softwood Lumber 

Agreement between the Governments of 

Canada and the United States, entered 

into on September 12, 2006. 

DATES: Interim rule effective October 16, 

2006. Comments must be received on or 

before December 18, 2006. 

ADDRESSES: You may submit comments, 

identified by docket number, by one of 

the following methods: 

• Federal eRulemaking Portal: http:// 

www.regulations.gov. Follow the 

instructions for submitting comments 

via docket number USCBP–2006–0108. 

• Mail: Trade and Commercial 

Regulations Branch, Office of 

Regulations and Rulings, Bureau of 

Customs and Border Protection, 1300 

Pennsylvania Avenue, NW. (Mint 

Annex), Washington, DC 20229. 

Instructions: All submissions received 

must include the agency name and 


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61400 Federal Register / Vol. 71, No. 201 / Wednesday, October 18, 2006 / Rules and Regulations 

docket number for this rulemaking. All 

comments received will be posted 

without change to http:// 

www.regulations.gov, including any 

personal information provided. For 

detailed instructions on submitting 

comments and additional information 

on the rulemaking process, see the 

‘‘Public Participation’’ heading of the 

SUPPLEMENTARY INFORMATION section of 

this document. 

Docket: For access to the docket to 

read background documents or 

comments received, go to http:// 

www.regulations.gov. Submitted 

comments may also be inspected during 

regular business days between the hours 

of 9 a.m. and 4:30 p.m. at the Office of 

Regulations and Rulings, Bureau of 

Customs and Border Protection, 799 9th 

Street, NW., 5th Floor, Washington, DC. 

Arrangements to inspect submitted 

comments should be made in advance 

by calling Joseph Clark at (202) 572–

8768. 

FOR FURTHER INFORMATION CONTACT: 

Millie Gleason, Office of Field 

Operations, Tel: (202) 344–1131. 

SUPPLEMENTARY INFORMATION: 

Public Participation 

Interested persons are invited to 

participate in this rulemaking by 

submitting written data, views, or 

arguments on all aspects of the interim 

rule. The Bureau of Customs and Border 

Protection (CBP) also invites comments 

that relate to the economic, 

environmental, or federalism effects that 

might result from this interim rule. 

Comments that will provide the most 

assistance to CBP in developing these 

procedures will reference a specific 

portion of the interim rule, explain the 

reason for any recommended change, 

and include data, information, or 

authority that supports such 

recommended change. 

Background 

Softwood Lumber Agreement 

On September 12, 2006, the 

Governments of the United States and 

Canada (the ‘‘Parties’’) signed a bilateral 

Softwood Lumber Agreement (‘‘SLA 

2006’’) concerning trade in softwood 

lumber products. The scope of the SLA 

2006 is limited to the softwood lumber 

products listed as covered by the 

Agreement in Annex 1A of that 

document. A copy of the SLA 2006 is 

available for public viewing on the 

website of the Office of the United 

States Trade Representative located at 

http://www.ustr.gov. 

The SLA 2006 entered into force on 

October 12, 2006, (effective date), as 

designated by the Parties in an exchange 

of letters certifying that certain 

conditions have been met pursuant to 

Article II.1 of the Agreement. Unless 

terminated according to the terms set 

forth in Article XX, the SLA 2006 will 

remain in force until October 12, 2013, 

and may be extended by agreement of 

the Parties for an additional 2 years. 

The SLA 2006, in pertinent part 

requires: 

• The United States to retroactively 

revoke, in their entirety, any 

antidumping (AD) and countervailing 

duty (CVD) orders that relate to 

softwood lumber products beginning 

May 22, 2002 (the initiation date of the 

order) to the effective date of the 

Agreement, without the possibility of 

their reinstatement, and terminates all 

U.S. Department of Commerce 

proceedings related to the orders. The 

United States is also required to 

liquidate unliquidated entries subject to 

AD/CVD orders made on or after May 

22, 2002, without regard to antidumping 

or countervailing duties, and with 

interest, pursuant to 19 U.S.C. 1677g(b). 

• The United States to not initiate 

and/or take action concerning trade 

remedy investigations. 

• Canada to apply export measures to 

exports of Softwood Lumber Products to 

the United States. For example, Canada 

will impose either an export charge or 

an export charge coupled with a volume 

restraint on exports of softwood lumber 

products to the United States from each 

Region described in 5 the Agreement 

and issue Export Permits on each entry 

of softwood lumber products exported 

from Canada to the United States. 

SLA 2006 Entry Requirements 

In addition to the entry and entry 

summary information otherwise 

required for importation into the United 

States, as per section 484 of the Tariff 

Act of 1930, as amended, (19 U.S.C. 

1484), the SLA 2006 obligates the 

United States to require that a U.S. 

importer provide specific information in 

connection with each entry of covered 

softwood lumber products from Canada. 

The information required under the SLA 

2006 includes the following data 

elements: 

(1) The Region of Origin of the 

softwood lumber product. The 

identified Regions are: Alberta, British 

Columbia (B.C.) Coast, B.C. Interior, 

Manitoba, Ontario, Saskatchewan, and 

Quebec. The regions designated as B.C. 

Coast and B.C. Interior are defined in 

Forest Regions and Districts Regulation, 

B.C. Reg, 123/2003, which is available 

for public viewing at http:// 

www.qp.gov.bc.ca/statreg/reg/F/Forest/ 

123_2003.htm. 

(2) The Export Permit Number issued 

by the Government of Canada for the 

shipment; and 

(3) The original paper Certificate of 

Origin issued by the Maritime Lumber 

Bureau, where applicable. 

Exclusions From SLA 2006 Export 

Measures 

Article X of the SLA 2006 identifies 

lumber products that are first produced 

in certain Canadian provinces, or 

produced by specific companies, as 

excluded from the export measures set 

forth in the Agreement. Specifically, 

Article X provides that SLA 2006 export 

measures will not apply to the following 

products: 

(1) Softwood lumber products first 

produced in the Maritimes from logs 

originating in the Maritimes or State of 

Maine, that are: 

(i) Exported directly to the United 

States from a Maritime province or 

(ii) Shipped to a province that is not 

a Maritime province, and reloaded or 

further processed and subsequently 

exported to the United States, provided 

that the products are accompanied by an 

original Certificate of Origin issued by 

the Maritime Lumber Bureau. An 

original Certificate of Origin issued by 

the Maritime Lumber Bureau is a 

required entry summary document by 

CBP. The Certificate must specifically 

state that the corresponding CBP entries 

are for softwood lumber products first 

produced in the Maritimes from logs 

originating in the Maritimes or State of 

Maine; 

(2) Softwood lumber products first 

produced in the Yukon, Northwest 

Territories or Nunavut from logs 

originating therein; and 

(3) Softwood lumber products 

produced by the companies listed in 

Annex 10 of the SLA 2006. 

Certificate of Origin From Maritime 

Lumber Bureau 

As the SLA 2006 requires softwood 

lumber products whose Region of Origin 

is the Maritimes to be accompanied by 

an original Certificate of Origin issued 

by the Maritime Lumber Bureau, and 

provides that the Certificate of Origin is 

a required entry summary document, 

CBP requires importers of this 

commodity to submit the original paper 

Certificate of Origin to CBP with the 

paper entry summary documentation 

(CBP Form 7501) for each entry. All 

other entries of softwood lumber 

products from Canada subject to the 

SLA 2006 may be filed electronically 

using the CBP Form e-7501. 

It is noted that the Certificate of 

Origin issued by the Maritime Lumber 

Bureau is distinct from the NAFTA 


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Federal Register / Vol. 71, No. 201 / Wednesday, October 18, 2006 / Rules and Regulations 61401 

Certificate of Origin required under 

§ 181.22 of title 19 of the CFR. 

This interim regulation adds the 

Certificate of Origin to the ‘‘List of 

Records Required for the Entry of 

Merchandise’’ set forth in the Appendix 

to part 163. The list, commonly referred 

to as the ‘‘(a)(1)(A) list,’’ implements 

section 509(e) of the Trade Act of 1930, 

as amended (19 U.S.C. 1509(e)), 

whereby CBP is required to identify and 

publish a list of the records and entry 

information that is required to be 

maintained and produced under section 

509(a)(1)(A) of the Tariff Act of 1930, as 

amended by title VI of Public Law 103–

182 (19 U.S.C. 1509(a)(1)(A)). Section 

509(a)(1)(A) requires the production of 

records, within a reasonable time after 

demand by CBP, ‘‘if such record is 

required by law or regulation for the 

entry of the merchandise (whether or 

not the Customs Service required its 

presentation at the time of entry).’’

SLA 2006 Exchange of Information and 

Monitoring 

In order to facilitate monitoring of the 

SLA 2006, and in order to ensure that 

Canadian exporters have obtained the 

required export permits, the SLA 2006 

also sets forth various cooperative 

measures which include the periodic 

exchange of export and import 

information collected by the two 

countries. The SLA 2006 also requires 

the Parties to establish Technical 

Working Groups to ensure the effective 

implementation and application of the 

export charges and the administration of 

the customs-related aspects of the 

Agreement, including export permits, 

volume restraints, data collection, and 

exchange of information. 

CBP Entry Requirements Specific to 

Softwood Lumber Products From 

Canada in Revised 19 CFR 12.140 

The purpose of this document is to 

provide an appropriate regulatory 

context for the new requirements 

resulting from the SLA 2006. As these 

requirements relate to a special class of 

imported products, CBP is of the view 

that a distinct provision pertaining to 

this commodity and its specific entry 

requirements is appropriate. As existing 

§ 12.140 of title 19 of the Code of 

Federal Regulations (CFR) contains 

obsolete provisions pertaining to a prior 

Softwood Lumber Agreement between 

the Governments of Canada and the 

United States that expired in March, 

2001, this document amends, on an 

interim basis, § 12.140 to set forth the 

entry requirements mandated by the 

SLA 2006, as discussed below. 

Section 12.140(a) sets forth 

definitions pertinent to the 

administration of this provision. 

Section 12.140(b) specifies the 

information required to be collected 

pursuant to the SLA 2006. Importers are 

required to enter a letter code 

representing the softwood lumber 

product’s Canadian Region of Origin in 

the data entry field entitled ‘‘Country of 

Origin’’ located on the CBP Form 7501. 

Importers must also enter a Canadianissued 8-digit export permit number 

preceded by a letter code designating 

either: (1) The date of shipment; (2) a 

Canadian Region whose exports of 

softwood lumber products are exempt 

from the export measures contained in 

the SLA 2006; or (3) a company listed 

in Annex 10 of the SLA 2006 as exempt 

from the Agreement’s export measures. 

Section 12.140(c) states that where a 

softwood lumber product’s Region of 

Origin is the Maritimes, the original 

paper Certificate of Origin issued by the 

Maritime Lumber Bureau must be 

submitted to CBP with the paper entry 

summary documentation. 

The letter codes described above are 

necessitated by the fact that the 

Canadian-issued Export Permit Number 

consists of eight digits, and the entry 

field for this data on the CBP Form 7501 

holds nine digits. Accordingly, CBP 

uses an alpha-numeric code system 

whereby the first piece of data input 

into the Export Permit Number field on 

the CBP Form 7501 is a letter code 

designating either an exclusion from 

export measures based on a product’s 

Region of Origin or a company’s 

exempt-status, or the code is used to 

designate the date of shipment as 

defined in Article XXI.16 of the SLA 

2006, in which the first twelve letters of 

the alphabet represent the twelve 

months of the year (e.g., ‘‘A’’ represents 

January, ‘‘B’’ represents February, etc.). 

These codes enable the United States to 

fulfill its information collection and 

exchange obligations under Article XV 

of the Agreement by being able to assess 

monthly volumes attributable to specific 

Regions and excluded companies. 

It is also noted that the SLA 2006 

recognizes two separate and distinct 

Canadian Regions comprising the 

territory of the Canadian Province of 

British Columbia. Article XXI.45 of the 

Agreement designates B.C. Coast and 

B.C. Interior as separate Regions for 

purposes of the SLA 2006. As noted 

above, the geographic boundaries of B.C. 

Coast and B.C. Interior are set forth in 

Forest Regions and Districts Regulation, 

B.C. Reg, 123/2003. The code ‘‘XD’’ is to 

be used to designate B.C. Coast in the 

‘‘Country of Origin’’ data field on the 

CBP Form 7501. The code ‘‘XE’’ is to be 

used to designate B.C. Interior. These 

new codes, as well as the existing codes 

applicable to the other Regions 

designated in the SLA 2006, are posted 

on the Administrative Message Board in 

the Automated Commercial System 

(ACS). In addition, this information will 

be provided to all Automated Broker 

Interface (ABI) Administrative Message 

System filers. 

The requirement to submit these data 

elements to CBP goes into effect upon 

the date of filing of these interim 

amendments for public inspection in 

the Federal Register. 

As noted above, the ‘‘List of Records 

Required for the Entry of Merchandise’’

set forth in the Appendix to part 163 of 

title 19 of the CFR (19 CFR part 163) is 

amended by this document to reflect the 

entry document requirements mandated 

by the SLA 2006. Section IV of the 

Appendix currently lists 19 CFR 12.140 

as the authority for the entry records 

requirements, ‘‘Province of first 

manufacture, export permit number and 

fee status of softwood lumber from 

Canada.’’ This document revises that 

requirement to state that § 12.140(c) 

requires a ‘‘Certificate of Origin issued 

by Canada’s Maritime Lumber Bureau.’’

Comments 

Submitted comments will be available 

for public inspection in accordance with 

the Freedom of Information Act (5 

U.S.C. 552) and § 103.11(b) of title 19 of 

the CFR (19 CFR 103.11(b)), on regular 

business days between the hours of 9 

a.m. and 4:30 p.m. at the Trade and 

Commercial Regulations Branch, Office 

of Regulations and Rulings, Customs 

and Border Protection, 799 9th St., NW., 

Washington, DC. Arrangements to 

inspect submitted documents should be 

made in advance by calling Joseph Clark 

at (202) 572–8768. 

Inapplicability of Notice and Delayed 

Effective Date Requirements 

Pursuant to 5 U.S.C. 553(a)(1), public 

notice and a delayed effective date are 

inapplicable to this interim regulation 

because it involves a foreign affairs 

function of the United States. The 

collection of information provided for in 

this interim regulation is required under 

the terms of the 2006 Softwood Lumber 

Agreement with Canada and is 

necessary to ensure effective monitoring 

of the operation of that Agreement. 

Executive Order 12866 

Because this rule involves a foreign 

affairs function of the United States, it 

is not subject to Executive Order 12866 

and has not been reviewed by the Office 

of Management and Budget. 


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Regulatory Flexibility Act 

Because no notice of proposed 

rulemaking is required for this interim 

rule, the provisions of the Regulatory 

Flexibility Act (5 U.S.C. 601 et seq.) do 

not apply. 

Paperwork Reduction Act 

The collection of information 

referenced in this regulation, CBP Form 

7501, has been previously reviewed and 

approved by the Office of Management 

and Budget in accordance with the 

requirements of the Paperwork 

Reduction Act (44 U.S.C. 3507) under 

OMB-assigned control number 1651–

0022. 

Signing Authority 

This document is being issued in 

accordance with 19 CFR 0.1(a)(1). 

List of Subjects 

19 CFR Part 12 

Bonds, Customs duties and 

inspection, Entry of merchandise, 

Imports, Prohibited merchandise, 

Reporting and recordkeeping 

requirements, Restricted merchandise. 

19 CFR Part 163 

Customs duties and inspection, 

Reporting and recordkeeping 

requirements. 

Amendment to the Regulations 

■ For the reasons stated above, parts 12 

and 163 of title 19 of the Code of 

Federal Regulations are amended as set 

forth below. 

PART 12—SPECIAL CLASSES OF 

MERCHANDISE 

■ 1. The authority citation for part 12 

continues to read in part as follows: 

Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202 

(General Note 3(i), Harmonized Tariff 

Schedule of the United States (HTSUS)), 

1624. 

* * * * * 

■ 2. Section 12.140 is revised to read as 

follows: 

§ 12.140 Entry of softwood lumber 

products from Canada. 

The requirements set forth in this 

section are applicable for as long as the 

Softwood Lumber Agreement (SLA 

2006), entered into on September 12, 

2006, by the Governments of the United 

States and Canada, remains in effect. 

(a) Definitions. The following 

definitions apply for purposes of this 

section: 

(1) British Columbia Coast. ‘‘British 

Columbia Coast’’ means the Coastal 

Forest Regions as defined by the 

existing Forest Regions and Districts 

Regulation, B.C. Reg. 123/2003. 

(2) British Columbia Interior. ‘‘British 

Columbia Interior’’ means the Northern 

Interior Forest Region and the Southern 

Interior Forest Region as defined by the 

existing Forest Regions and Districts 

Regulation, B.C. Reg. 123/2003. 

(3) Date of shipment. ‘‘Date of 

shipment’’ means, in the case of 

products exported by rail, the date when 

the railcar that contains the products is 

assembled to form part of a train for 

export; otherwise, the date when the 

products are loaded aboard a 

conveyance for export. If a shipment is 

transshipped through a Canadian reload 

center or other inventory location, the 

date of shipment is the date the 

merchandise leaves the reload center or 

other inventory location for final 

shipment to the United States. 

(4) Maritimes. ‘‘Maritimes’’ means 

New Brunswick, Canada; Nova Scotia, 

Canada; Prince Edward Island, Canada; 

and Newfoundland and Labrador, 

Canada. 

(5) Region. ‘‘Region’’ means British 

Columbia Coast or British Columbia 

Interior as defined in paragraphs (a)(1) 

and (2) of this section; Alberta, Canada; 

Manitoba, Canada; Maritimes, Canada; 

Northwest Territories, Canada; Nunavut 

Territory, Canada; Ontario, Canada; 

Saskatchewan, Canada; Quebec, Canada; 

or Yukon Territory, Canada. 

(6) Region of Origin. ‘‘Region of 

Origin’’ means the Region where the 

facility at which the softwood lumber 

product was first produced into such a 

product is located, regardless of whether 

that product was further processed (for 

example, by planing or kiln drying) or 

was transformed from one softwood 

lumber product into another such 

product (for example, a remanufactured 

product) in another Region, with the 

following exceptions: 

(i) The Region of Origin of softwood 

lumber products first produced in the 

Maritime Provinces from logs 

originating in a non-Maritime Region 

will be the Region where the logs 

originated; and 

(ii) The Region of Origin of softwood 

lumber products first produced in the 

Yukon, Northwest Territories or 

Nunavut (the ‘Territories’) from logs 

originating outside the Territories will 

be the Region where the logs originated. 

(7) SLA 2006. ‘‘SLA 2006’’ or ‘‘SLA’’

means the Softwood Lumber Agreement 

entered into between the Governments 

of Canada and the United States on 

September 12, 2006. 

(8) Softwood lumber products. 

‘‘Softwood lumber products’’ mean 

those products described as covered by 

the SLA 2006 in Annex 1A of the 

Agreement. 

(b) Reporting requirements. In the 

case of softwood lumber products from 

Canada listed in Annex 1A of the SLA 

2006, the following information must be 

included on the electronic entry 

summary documentation (CBP Form 

7501) for each entry: 

(1) Region of Origin. The letter code 

representing a softwood lumber 

product’s Canadian Region of Origin, as 

posted on the Administrative Message 

Board in the Automated Commercial 

System. (For example, the letter code 

‘‘XD’’ designates softwood lumber 

products whose Region of Origin is 

British Columbia Coast. The letter code 

‘‘XE’’ designates softwood lumber 

products whose Region of Origin is 

British Columbia Interior.) 

(2) Export Permit Number. The 8-digit 

Canadian-issued Export Permit Number, 

preceded by one of the following letter 

codes: 

(i) The letter code assigned to 

represent the date of shipment (i.e., ‘‘A’’

represents January, ‘‘B’’ represents 

February, ‘‘C’’ represents March, etc.), 

except for those softwood lumber 

products produced by a company listed 

in Annex 10 of the SLA 2006 or whose 

Region of Origin is the Maritimes, 

Yukon, Northwest Territories or 

Nunavut; 

(ii) The letter code ‘‘X’’, which 

designates a company listed in Annex 

10 of the SLA 2006; or 

(iii) The letter code assigned to 

represent the Maritimes (code M); 

Yukon (code Y); Northwest Territories 

(code W); or Nunavut (code N), for 

softwood lumber products originating in 

these regions. 

(c) Original Maritime Certificate of 

Origin. Where a softwood lumber 

product’s Region of Origin is the 

Maritimes, the original paper copy of 

the Certificate of Origin issued by the 

Maritime Lumber Bureau must be 

submitted to CBP with the paper entry 

summary documentation for each entry. 

The Certificate of Origin must 

specifically state that the corresponding 

CBP entries are for softwood lumber 

products first produced in the 

Maritimes from logs originating in the 

Maritimes or State of Maine. 

(d) Recordkeeping. Importers must 

retain copies of export permits, 

certificates of origin, and any other 

substantiating documentation issued by 

the Canadian Government pursuant to 

the recordkeeping requirements set forth 

in part 163 of title 19 to the CFR. 


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Federal Register / Vol. 71, No. 201 / Wednesday, October 18, 2006 / Rules and Regulations 61403 

PART 163—RECORDKEEPING 

■ 3. The authority citation for part 163 

continues to read as follows: 

Authority: 5 U.S.C. 301; 19 U.S.C. 66, 

1484, 1508, 1509, 1510, 1624. 

■ 4. The Appendix to part 163 is 

amended by removing the listing for 

§ 12.140 and adding in its place 

§ 12.140(c) under section IV to read as 

follows: 

Appendix to Part 163—Interim (a)(1)(A) 

List 

* * * * * 

IV. * * * 

§ 12.140(c) Certificate of Origin issued by 

Canada’s Maritime Lumber Bureau. 

* * * * * 

Chris J. Clark, 

Acting Commissioner, Bureau of Customs and 

Border Protection. 

Approved: October 13, 2006. 

Timothy E. Skud, 

Deputy Assistant Secretary of the Treasury. 

[FR Doc. 06–8761 Filed 10–16–06; 9:39 am] 

BILLING CODE 9111–14–P 

SOCIAL SECURITY ADMINISTRATION 

20 CFR Parts 404, 408 and 416 

RIN 0960–AG09 

Representative Payment Policies and 

Administrative Procedure for Imposing 

Penalties for False or Misleading 

Statements or Withholding of 

Information 

AGENCY: Social Security Administration 

(SSA). 

ACTION: Final rules. 

SUMMARY: We are amending our 

regulations on representative payment 

and on the administrative procedure for 

imposing penalties for false or 

misleading statements or withholding of 

information to reflect and implement 

certain provisions of the Social Security 

Protection Act of 2004 (SSPA). The 

SSPA amends representative payment 

policies by providing additional 

safeguards for Social Security, Special 

Veterans and Supplemental Security 

Income beneficiaries served by 

representative payees. These changes 

include additional disqualifying factors 

for representative payee applicants, 

additional requirements for nongovernmental fee-for-service payees, 

authority to redirect delivery of benefit 

payments when a representative payee 

fails to provide required accountings, 

and authority to treat misused benefits 

as an overpayment to the representative 

payee. In addition, we are amending our 

rules to explain financial requirements 

for representative payees, and we have 

made minor clarifying plain language 

changes. 

The SSPA also allows us to impose a 

penalty on any person who knowingly 

withholds information that is material 

for use in determining any right to, or 

the amount of, monthly benefits under 

titles II or XVI. The penalty is 

nonpayment for a specified number of 

months of benefits under title II that 

would otherwise be payable and 

ineligibility for the same period of time 

for payments under title XVI (including 

State supplementary payments). 

DATES: These final rules are effective 

November 17, 2006. 

Applicability Date: Sections 404.459 

and 416.1340, reflecting and 

implementing section 201(a)(2) of 

Public Law 108–203 relating to the 

withholding of information from us, or 

failure to disclose information to us, 

will be applicable upon implementation 

of the centralized computer file 

described in section 202 of Public Law 

108–203. This is because Congress 

provided that section 201 of the SSPA 

would apply only with respect to 

violations committed after that 

centralized computer file was 

implemented. If you want information 

regarding the applicability date of this 

provision, call or write the SSA contact 

person. We will publish a document 

announcing the applicability date in the 

Federal Register when the centralized 

computer file has been implemented. 

The remainder of §§ 404.459 and 

416.1340 currently in effect is 

unaffected by this delay. 

FOR FURTHER INFORMATION CONTACT: 

Betsy M. Byrd, Social Insurance 

Specialist, Social Security 

Administration, Office of Income 

Security Programs, 252 Altmeyer 

Building, 6401 Security Boulevard, 

Baltimore, MD 21235–6401, (410) 965–

7981 or TTY (410) 966–5609 for 

information about this Federal Register 

document. For information on eligibility 

or filing for benefits, call our national 

toll-free number, 1–800–772–1213 or 

TTY 1–800–325–0778, or visit our 

Internet site, Social Security Online, at 

http://www.socialsecurity.gov. 

SUPPLEMENTARY INFORMATION: 

Electronic Version 

The electronic file of this document is 

available on the date of publication in 

the Federal Register at http:// 

www.gpoaccess.gov/fr/index.html. 

Background 

Public Law 108–203, the SSPA, 

enacted March 2, 2004, required a 

number of changes to our representative 

payee policy and procedures. A 

representative payee is the person, 

agency, organization, or institution 

selected to receive and manage benefits 

on behalf of an incapable beneficiary. 

This includes a parent who is receiving 

benefits on behalf of his or her minor 

child. The SSPA also changes the rules 

for imposing penalties for false or 

misleading statements or for 

withholding information. 

Section 102 of the SSPA requires nongovernmental fee-for-service 

organizational representative payees to 

be both bonded and licensed, provided 

that licensing is available in the State. 

Section 103 of the SSPA expands the 

scope of disqualification to prohibit an 

individual from serving as a 

representative payee if he or she: (1) Has 

been convicted of any offense resulting 

in imprisonment for more than 1 year, 

unless we determine that an exception 

to this prohibition is appropriate; or (2) 

is fleeing to avoid prosecution, or 

custody or confinement after conviction 

of a crime, or an attempt to commit a 

crime, that is a felony. 

Section 104 of the SSPA requires feefor-service representative payees to 

forfeit their fees for any months during 

which they misuse all or part of any 

beneficiary’s benefits. 

Section 105 of the SSPA makes nongovernmental representative payees 

liable for any benefits they misuse and 

requires us to treat such misused 

benefits as overpayments to the 

representative payees, subject to 

overpayment recovery authorities. 

Section 106 of the SSPA authorizes us 

to require a representative payee to 

receive benefits in person at a Social 

Security field office or a United States 

Government facility that we designate if 

the payee fails to provide an annual 

accounting of benefits report or other 

requested information. 

In addition to the changes required by 

Public Law 108–203, we are clarifying 

financial requirements for 

representative payees. Our current 

regulations specify that the interest 

earned on conserved funds belongs to 

the beneficiary. However, the 

regulations do not specifically address 

interest earned on current benefits or 

how current benefits should be held. We 

are now specifying that a representative 

payee must keep any payments received 

for the beneficiary separate from the 

representative payee’s own funds and 

ensure that the beneficiary’s ownership 

is shown, unless the representative 


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