10622 Federal Register / Vol. 54, No. 49 / W ednesday, March 15, 1989 / Rules and Regulations

requests and is reopening the comment 

period for an additional 30 days.

Done at Washington, DC on: March 13, 

1989.

Lester M. Crawford,

Administrator, Food Safety and Inspection

Service.

[FR Doc. 89-6194 Filed 3-14-89; 8:45 am] 

BILLING CODE 3410-DM-M

FEDERAL ELECTION COMMISSION

11 CFR Part 114

[Notice 1989—4]

Trade Association Solicitation

AGENCY: Federal Election Commission

a c t io n : Final rule, transmittal of

regulation to Congress

s u m m a r y : The Commission has revised 

its regulation at 11 CFR 114.8(f), 

governing the solicitation of parent and 

subsidiary corporations by a trade 

association or a trade association’s 

separate segregated fund. Section 114.8 

sets forth the rules under which a trade 

association may solicit the restricted 

class of its member corporations. The 

revision clearly states that a trade 

association or its separate segregated 

fund may solicit no part of the restricted 

class of the parent if the parent 

corporation is not a member of the 

association although the parent’s 

subsidiary is a member. The revision 

also specifies in each sentence the 

categories of persons who constitute the 

restricted class. Supplementary 

information, set out below, provides 

further information on the revision. 

d a t e s : Further action, including the 

announcement of an effective date, will 

be taken after the regulation has been 

before Congress for 30 legislative days 

pursuant to 2 U.S.C. 438(d).

FOR FURTHER INFORMATION CONTACT: 

Ms. Susan E. Propper, Assistant General 

Counsel, Federal Election Commission, 

999 E Street, NW., Washington, DC 

20463, (202) 376-5690 or (800) 424-9530. 

SUPPLEMENTARY INFORMATION: The 

Commission is publishing today the final 

text of a revised rule at 11 CFR 114.8(f), 

governing the solicitation of parent and 

subsidiary corporations by a trade 

association or its separate segregated 

fund.

On September 15,1988, the 

Commission issued a Notice of Proposed 

Rulemaking in which it sought 

comments on proposed revisions of 

§ 114.8(f) and two other regulations. 53 

FR 35827. The Commission received no 

comments in response to the Notice.

Section 438(d) of Title 2, United States 

Code, requires that any rule or 

regulation prescribed by the 

Commission to carry out the provisions 

of Title 2 of the United States Code be 

transmitted to the Speaker of the House 

of Representatives and to the President 

of the Senate 30 legislative days before 

they are finally promulgated. This 

regulation was transmitted to Congress 

on March 10,1989.

Explanation and Justification

The Federal Election Campaign Act of 

1971, as amended, (the “Act”), 2 U.S.C. 

431 et seq., permits trade associations to 

solicit the executive or administrative 

personnel, stockholders, and families of 

such personnel and stockholders (the 

"restricted class”) of the trade 

association’s member corporations, 

subject to certain conditions. 2 U.S.C. 

441b(b)(4)(D). Section 114.8(f) of the 

Commission’s regulations applies this 

basic rule to situations where a parent 

corporation is a member of a trade 

association but its subsidiary is not, or 

vice versa.

Under the current § 114.8(f), if the 

parent corporation is a member of a 

trade association but the subsidiary is 

not, the trade association or its separate 

segregated fund may solicit only the 

restricted class of the parent To be 

consistent with the Act, the regulations 

should further provide that if the 

subsidiary corporation is a member of a 

trade association but its parent is n o t 

then the trade association and its 

separate segregated fund may solicit 

only the restricted class of the 

subsidiary; the trade association may 

not solicit the parent corporation’s 

restricted class. As the Notice of 

Proposed Rulemaking pointed out, 

however, current § 114.8(f) states that 

the trade association is prohibited from 

soliciting only the “shareholders” of the 

non-member parent corporation. The 

revision corrects this language. The 

Commission notes that this revision 

does not represent a change in agency 

policy but rather is a more accurate 

statement of the current law. It has been 

the consistent position of the 

Commission that trade associations may 

only solicit the restricted class of their 

member corporations. In addition, unlike 

the earlier proposed version, the new 

rule also specifies in each sentence the 

categories of persons who constitute the 

relevant restricted class.

List of Subjects in 11 CFR Part 114

Business and industry, Elections.

For the reasons set out in the

preamble, Subchapter A, Chapter L Title

11 of the Code of Federal Regulations is

amended as follows:

PART 114—CORPORATE AND LABOR

ORGANIZATION ACTIVITY

1. The authority citations for Part 114 

is revised to read as follows:

Authority: 2 U.S.C. 431(8)(B), 431(9)(B), 432, 

437d(a)(8), 438(a)(8), and 441b.

2. By revising § 114.8(f) to read as 

follows:

§114.8 Trade associations.

*****

(f) Solicitation o f a subsidiary

corporation. If a parent corporation is a 

member of the trade association but its 

subsidiary is not, the trade association 

or its separate segregated fund may only 

solicit the parent’s executive or 

administrative personnel and their 

families and the parent’s stockholders 

and their families; it may not solicit the 

subsidiary’s executive or administrative 

personnel or stockholders or their 

families. If a subsidiary is a member of 

the trade association but the parent 

corporation is not, the trade association 

or its separate segregated fund may only 

solicit the subsidiary’s executive or 

administrative personnel and their 

families and the subsidiary’s 

stockholders and their families; it may 

not solicit the pareht’s executive or 

administrative personnel or 

stockholders or their families. If both 

parent and subsidiary are members of 

the trade association, the executive or 

administrative personnel and their 

families and the stockholders and their 

families of each may be solicited.

* * * * *

Dated: March 10,1989.

Danny L. McDonald,

Chairman, Federal Election Commission.

[FR Doc. 89-5993 Filed 03-14-89; 8:45 am] 

BILLING CODE 6715-01-Mfl

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. 88-NM-126-AD; Arndt. 39-

6150]

Airworthiness Directives; McDonnell

Douglas Model DC-9 Series, Model

DC-9-80 Series, Model MD-88, and C-9

(Military) Series Airplanes

AGENCY: Federal Aviation

Administration (FAA), DOT.

a c t io n : Final rule.

s u m m a r y : This amendment adopts a

new airworthiness directive (AD),

applicable to all McDonnell Douglas

Model DC-9 series, Model DC-9-80