Federal Register / Vol. 88, No. 198 / Monday, October 16, 2023 / Rules and Regulations 71283 

35 12 U.S.C. 5512(b)(1). 

36 5 U.S.C. 801 et seq. 37 44 U.S.C. 3501–3521. 

III. Summary of Section 1034(c) 

Obligations 

The CFPB is providing this summary 

section to assist large banks and credit 

unions in complying with section 

1034(c). This section is intended to 

serve as a simplified summary and a 

reference tool, and large banks and 

credit unions should refer to the legal 

analysis above for further detail and 

information. 

As discussed above, when a bank or 

credit union with over $10 billion in 

assets receives a request for information 

from a consumer relating to the 

consumer’s account for a consumer 

financial product or service, section 

1034(c) requires the bank or credit 

union to respond with information in its 

possession or control. The large bank or 

credit union must respond to the 

request in a timely manner; whether a 

response is timely may depend on the 

complexity of the request or difficulty of 

responding. Responses to consumer 

information requests must also be 

complete and accurate. Large banks and 

credit unions may respond to requests 

using any means or channels they 

choose. 

Consumers need information 

regarding their accounts to manages 

their finances, and the Advisory 

Opinion describes examples of account 

information that must be provided upon 

request. Consumers can request 

information such as account balances, 

transaction history, interest rates, 

scheduled auto-payments, fees, or 

balances necessary to pay off a loan, and 

may also request supporting written 

documents such as copies or images of 

checks or original signed contracts. The 

obligation to respond does not include 

information that does not concern the 

individual consumer’s account, such as 

internal operating procedures or 

policies, or the company’s financial 

performance, marketing strategy, or 

training program for its employees. The 

obligation also does not apply to 

information that falls within the four 

enumerated exceptions in section 

1034(c), including confidential 

information or information collected to 

prevent fraud or money laundering. 

Section 1034(c) does not bar large 

banks and credit unions from imposing 

reasonable impediments on consumer 

information requests, such as reasonable 

identity verification and data security 

measures. But large banks and credit 

unions may not impose conditions that 

unreasonably impede consumers’ 

information requests. The practice of 

charging fees to respond to an 

information request would generally 

unreasonably impede consumers’ 

exercise of their rights under section 

1034(c), and thus violate the provision. 

Regardless of how a large bank or credit 

union labels or categorizes a fee on its 

fee schedule or other documents, 

section 1034(c) does not permit 

unreasonable impediments to a request 

for information about a consumer’s 

account. That would likely include 

charging fees (1) to respond to consumer 

inquiries regarding their deposit 

account balance; (2) to respond to 

consumer inquiries seeking the amount 

necessary to pay a loan balance; (3) to 

respond to a request for a specific type 

of supporting document, such as a 

check image or an original account 

agreement; and (4) for time spent on 

consumer inquiries seeking information 

and supporting documents regarding an 

account. Depending on the 

circumstances, other kinds of conditions 

or obstacles may also violate section 

1034(c), such as forcing consumers to 

endure excessive wait times, requiring 

consumers to submit the same request 

multiple times, requiring consumers to 

interact with a chatbot that does not 

adequately respond to requests, or 

directing consumers to obtain 

information from a third party. 

As a matter of prosecutorial 

discretion, the CFPB does not intend to 

seek monetary relief for potential 

violations of section 1034(c) that occur 

prior to February 1, 2024. 

IV. Regulatory Matters 

The CFPB has concluded that the 

Advisory Opinion is an interpretive rule 

in part and a general statement of policy 

in part. Insofar as the Advisory Opinion 

constitutes an interpretive rule, it is 

issued under the CFPB’s authority to 

interpret the Consumer Financial 

Protection Act, including under section 

1022(b)(1) of the Consumer Financial 

Protection Act, which authorizes 

guidance as may be necessary or 

appropriate to enable the CFPB to 

administer and carry out the purposes 

and objectives of Federal consumer 

financial laws.35

Insofar as the Advisory Opinion 

constitutes a general statement of 

policy, it provides background 

information about applicable law and 

articulates considerations relevant to the 

CFPB’s exercise of its authorities. It does 

not confer any rights of any kind. 

Pursuant to the Congressional Review 

Act,36 the CFPB will submit a report 

containing this Advisory Opinion and 

other required information to the United 

States Senate, the United States House 

of Representatives, and the Comptroller 

General of the United States prior to the 

rule’s published effective date. The 

Office of Information and Regulatory 

Affairs has designated this interpretive 

rule as not a ‘‘major rule’’ as defined by 

5 U.S.C. 804(2). 

The CFPB has determined that this 

Advisory Opinion also does not impose 

any new or revise any existing 

recordkeeping, reporting, or disclosure 

requirements on covered entities or 

members of the public that would be 

collections of information requiring 

approval by the Office of Management 

and Budget under the Paperwork 

Reduction Act of 1995.37

Rohit Chopra, 

Director, Consumer Financial Protection 

Bureau. 

[FR Doc. 2023–22774 Filed 10–13–23; 8:45 am] 

BILLING CODE 4810–AM–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 39 

[Docket No. FAA–2023–1998; Project 

Identifier MCAI–2023–01045–R; Amendment 

39–22572; AD 2023–20–51] 

RIN 2120–AA64 

Airworthiness Directives; Airbus 

Helicopters 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Final rule; request for 

comments. 

SUMMARY: The FAA is adopting a new 

airworthiness directive (AD) for Airbus 

Helicopters Model AS332C, AS332C1, 

AS332L, AS332L1, AS332L2, and 

SA330J helicopters. This AD was 

prompted by a report of three newly 

supplied main rotor swashplate bushing 

retaining plates with oversized internal 

diameters. This AD requires 

accomplishing a one-time inspection to 

measure the internal diameter of 

affected bushing retaining plates and 

depending on the results, accomplishing 

an additional inspection, replacing nonconforming bushing retaining plates, or 

accomplishing additional corrective 

action, as specified in a European Union 

Aviation Safety Agency (EASA) AD, 

which is incorporated by reference. The 

FAA previously sent this AD as an 

emergency AD to all known U.S. owners 

and operators of these helicopters. The 

FAA is issuing this AD to address the 

unsafe condition on these products. 


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DATES: This AD is effective October 31, 

2023. Emergency AD 2023–20–51, 

issued on October 2, 2023, which 

contained the requirements of this 

amendment, was effective with actual 

notice. 

The Director of the Federal Register 

approved the incorporation by reference 

of a certain publication listed in this AD 

as of October 31, 2023. 

The FAA must receive comments on 

this AD by November 30, 2023. 

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 

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: Deliver to Mail 

address above between 9 a.m. and 5 

p.m., Monday through Friday, except 

Federal holidays. 

AD Docket: You may examine the AD 

docket at regulations.gov under Docket 

No. FAA–2023–1998; or in person at 

Docket Operations between 9 a.m. and 

5 p.m., Monday through Friday, except 

Federal holidays. The AD docket 

contains this final rule, any comments 

received, and other information. The 

address for Docket Operations is listed 

above. 

Material Incorporated by Reference: 

• For EASA material identified in this 

final rule, contact EASA, KonradAdenauer-Ufer 3, 50668 Cologne, 

Germany; telephone +49 221 8999 000; 

email ADs@easa.europa.eu; internet 

easa.europa.eu. You may find the EASA 

material on the EASA website at 

ad.easa.europa.eu. 

• You may view this material at the 

FAA, Office of the Regional Counsel, 

Southwest Region, 10101 Hillwood 

Pkwy., Room 6N–321, Fort Worth, TX 

76177. For information on the 

availability of this material at the FAA, 

call (817) 222–5110. It is also available 

at regulations.gov under Docket No. 

FAA–2023–1998. 

Other Related Service Information: 

For Airbus Helicopters service 

information identified in this final rule, 

contact Airbus Helicopters, 2701 North 

Forum Drive, Grand Prairie, TX 75052; 

phone (972) 641–0000 or (800) 232– 

0323; fax (972) 641–3775; or at 

airbus.com/en/products-services/ 

helicopters/hcare-services/airbusworld. 

You may also view this service 

information at the FAA contact 

information under Material 

Incorporated by Reference above. 

FOR FURTHER INFORMATION CONTACT: Dan 

McCully, Aviation Safety Engineer, 

FAA, 1600 Stewart Avenue, Suite 410, 

Westbury, NY 11590; phone (404) 474– 

5548; email william.mccully@faa.gov. 

SUPPLEMENTARY INFORMATION: 

Comments Invited 

The FAA invites you to send any 

written data, views, or arguments about 

this final rule. Send your comments to 

an address listed under ADDRESSES. 

Include ‘‘Docket No. FAA–2023–1998; 

Project Identifier MCAI–2023–01045–R’’ 

at the beginning of your comments. The 

most helpful comments reference a 

specific portion of the final rule, explain 

the reason for any recommended 

change, and include supporting data. 

The FAA will consider all comments 

received by the closing date and may 

amend this final rule because of those 

comments. 

Except for Confidential Business 

Information (CBI) as described in the 

following paragraph, and other 

information as described in 14 CFR 

11.35, the FAA will post all comments 

received, without change, to 

regulations.gov, including any personal 

information you provide. The agency 

will also post a report summarizing each 

substantive verbal contact received 

about this final rule. 

Confidential Business Information 

CBI is commercial or financial 

information that is both customarily and 

actually treated as private by its owner. 

Under the Freedom of Information Act 

(FOIA) (5 U.S.C. 552), CBI is exempt 

from public disclosure. If your 

comments responsive to this AD contain 

commercial or financial information 

that is customarily treated as private, 

that you actually treat as private, and 

that is relevant or responsive to this AD, 

it is important that you clearly designate 

the submitted comments as CBI. Please 

mark each page of your submission 

containing CBI as ‘‘PROPIN.’’ The FAA 

will treat such marked submissions as 

confidential under the FOIA, and they 

will not be placed in the public docket 

of this AD. Submissions containing CBI 

should be sent to Dan McCully, 

Aviation Safety Engineer, FAA, 1600 

Stewart Avenue, Suite 410, Westbury, 

NY 11590; phone (404) 474–5548; email 

william.mccully@faa.gov. Any 

commentary that the FAA receives that 

is not specifically designated as CBI will 

be placed in the public docket for this 

rulemaking. 

Background 

The FAA issued Emergency AD 2023– 

20–51, dated October 2, 2023 (the 

emergency AD), to address an unsafe 

condition on Airbus Helicopters Model 

AS332C, AS332C1, AS332L, AS332L1, 

AS332L2, and SA330J helicopters. The 

FAA sent the emergency AD to all 

known U.S. owners and operators of 

these helicopters. The emergency AD 

requires accomplishing a one-time 

inspection to measure the internal 

diameter of affected bushing retaining 

plates and depending on the results, 

inspecting the scissor attachment ball 

joint seating or replacing nonconforming bushing retaining plates. 

Depending on the results of the scissor 

attachment ball joint seating inspection, 

the emergency AD requires 

accomplishing repair in accordance 

with a method approved by the FAA, 

EASA, or Airbus Helicopters’ EASA 

Design Organization Approval (DOA). 

Lastly, the emergency AD prohibits 

installing an affected bushing retaining 

plate unless it has passed its required 

inspection. 

The emergency AD was prompted by 

EASA Emergency AD 2023–0174–E, 

dated October 2, 2023 (EASA AD 2023– 

0174–E), issued by EASA, which is the 

Technical Agent for the Member States 

of the European Union, to correct an 

unsafe condition on Airbus Helicopters 

Model SA 330 J, AS 332 C, AS 332 C1, 

AS 332 L, AS 332 L1, and AS 332 L2 

helicopters. EASA AD 2023–0174–E 

states that during an overhaul of a main 

rotor assembly, three newly supplied 

main rotor swashplate retaining bushes 

were identified as out of tolerance with 

a diameter of 39 mm (1.535 in.) instead 

of 31 mm (1.22 in.). EASA AD 2023– 

0174–E also states that affected retaining 

bushes may be installed on main rotor 

rotating and non-rotating swashplates. 

You may examine EASA AD 2023– 

0174–E in the AD docket at 

regulations.gov under Docket No. FAA– 

2023–1998. 

The FAA is issuing this AD to detect 

out of tolerance main rotor swashplate 

bushing retaining plates. This condition, 

if not addressed, could result in damage 

to the main rotor assembly and 

subsequent loss of control of the 

helicopter. 

Related Service Information Under 1 

CFR Part 51 

The FAA reviewed EASA AD 2023– 

0174–E, which requires a one-time 

inspection to measure the internal 

diameter of affected retaining bushes 

and depending on the results, 

inspecting the scissor attachment ball 

joint seating or replacing nonVerDate Sep<11>2014 15:48 Oct 13, 2023 Jkt 262001 PO 00000 Frm 00012 Fmt 4700 Sfmt 4700 E:\FR\FM\16OCR1.SGM 16OCR1

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conforming retaining bushes. Depending 

on the results of the scissor attachment 

ball joint seating inspection, EASA AD 

2023–0174–E requires contacting AH 

[Airbus Helicopters] for approved repair 

instructions and accomplishing those 

instructions accordingly. Lastly, EASA 

AD 2023–0174–E prohibits installing an 

affected retaining bush unless it has 

passed its required inspection. 

Additionally, EASA AD 2023–0174–E 

refers to a ‘‘bushing retaining plate’’ as 

a ‘‘retaining bush.’’ 

This material is reasonably available 

because the interested parties have 

access to it through their normal course 

of business or by the means identified 

in the ADDRESSES section. 

Other Related Service Information 

The FAA also reviewed Airbus 

Helicopters Emergency Alert Service 

Bulletins AS332–62–00–0001 and 

SA330–65–00–0003, each Revision 1 

and dated September 29, 2023. This 

service information specifies procedures 

for measuring the internal diameter of 

the bush retainings on the rotating and 

non-rotating swashplates and, if at least 

one internal diameter of the three bush 

retainings is more than 33 mm (1.3 in.), 

contacting Airbus Helicopters, removing 

and discarding each out of tolerance 

bush retaining, and checking the ball 

joint seating on the support. If the ball 

joint is not properly seated on the 

support, this service information 

specifies contacting Airbus Helicopters 

to get a repair solution. Lastly, this 

service information specifies procedures 

for installing new bush retainings. 

Additionally, Airbus Helicopters refers 

to a ‘‘bushing retaining plate’’ as either 

a ‘‘bush retaining,’’ ‘‘stop ring,’’ 

‘‘retaining bush,’’ or ‘‘locking ring’’ in 

its service information. 

FAA’s Determination 

These helicopters have been approved 

by the aviation authority of the 

European Union and are approved for 

operation in the United States. Pursuant 

to the FAA’s bilateral agreement with 

the European Union, EASA, its 

technical representative, has notified 

the FAA of the unsafe condition 

described in its emergency AD. The 

FAA is issuing this AD after evaluating 

all pertinent information and 

determining that the unsafe condition 

exists and is likely to exist or develop 

on other helicopters of these same type 

designs. 

Requirements of This AD 

This AD requires accomplishing the 

actions specified in EASA AD 2023– 

0174–E, described previously, as 

incorporated by reference, except for 

any differences identified as exceptions 

in the regulatory text of this AD and 

except as discussed under ‘‘Differences 

Between this AD and the EASA 

Emergency AD.’’ 

Explanation of Required Compliance 

Information 

In the FAA’s ongoing efforts to 

improve the efficiency of the AD 

process, the FAA developed a process to 

use some civil aviation authority (CAA) 

ADs as the primary source of 

information for compliance with 

requirements for corresponding FAA 

ADs. The FAA has been coordinating 

this process with manufacturers and 

CAAs. As a result, EASA AD 2023– 

0174–E is incorporated by reference in 

this FAA final rule. This AD, therefore, 

requires compliance with EASA AD 

2023–0174–E in its entirety through that 

incorporation, except for any differences 

identified as exceptions in the 

regulatory text of this AD. Using 

common terms that are the same as the 

heading of a particular section in EASA 

AD 2023–0174–E does not mean that 

operators need comply only with that 

section. For example, where the AD 

requirement refers to ‘‘all required 

actions and compliance times,’’ 

compliance with this AD requirement is 

not limited to the section titled 

‘‘Required Action(s) and Compliance 

Time(s)’’ in EASA AD 2023–0174–E. 

Service information referenced in EASA 

AD 2023–0174–E for compliance will be 

available at regulations.gov under 

Docket No. FAA–2023–1998 after this 

final rule is published. 

Differences Between This AD and the 

EASA Emergency AD 

The service information referenced in 

EASA AD 2023–0174–E specifies 

contacting Airbus Helicopters to get a 

repair solution and EASA AD 2023– 

0174–E requires contacting AH [Airbus 

Helicopters] for approved repair 

instructions and accomplishing those 

instructions accordingly if a scissor 

attachment ball joint is not properly 

seated, whereas this AD requires repair 

done in accordance with a method 

approved by the FAA, EASA, or Airbus 

Helicopters’ EASA DOA. 

Justification for Immediate Adoption 

and Determination of the Effective Date 

Section 553(b)(3)(B) of the 

Administrative Procedure Act (APA) (5 

U.S.C. 551 et seq.) authorizes agencies 

to dispense with notice and comment 

procedures for rules when the agency, 

for ‘‘good cause,’’ finds that those 

procedures are ‘‘impracticable, 

unnecessary, or contrary to the public 

interest.’’ Under this section, an agency, 

upon finding good cause, may issue a 

final rule without providing notice and 

seeking comment prior to issuance. 

Further, section 553(d) of the APA 

authorizes agencies to make rules 

effective in less than thirty days, upon 

a finding of good cause. 

An unsafe condition exists that 

required the immediate adoption of 

Emergency AD 2023–20–51, issued on 

October 2, 2023, to all known U.S. 

owners and operators of these 

helicopters. The FAA found that the risk 

to the flying public justified waiving 

notice and comment prior to adoption of 

this rule because the affected 

components are part of an assembly that 

is critical to the control of a helicopter. 

As the FAA has no information 

pertaining to the quantity of nonconforming components that may 

currently exist in the U.S. fleet or how 

quickly the condition may propagate to 

failure, the actions required by this AD 

must be accomplished within two days. 

These conditions still exist, therefore, 

notice and opportunity for prior public 

comment are impracticable and contrary 

to the public interest pursuant to 5 

U.S.C. 553(b)(3)(B). 

In addition, the FAA finds that good 

cause exists pursuant to 5 U.S.C. 553(d) 

for making this amendment effective in 

less than 30 days, for the same reasons 

the FAA found good cause to forego 

notice and comment. 

Regulatory Flexibility Act 

The requirements of the Regulatory 

Flexibility Act (RFA) do not apply when 

an agency finds good cause pursuant to 

5 U.S.C. 553 to adopt a rule without 

prior notice and comment. Because the 

FAA has determined that it has good 

cause to adopt this rule without prior 

notice and comment, RFA analysis is 

not required. 

Costs of Compliance 

The FAA estimates that this AD 

affects 14 helicopters of U.S. Registry. 

Labor rates are estimated at $85 per 

work-hour. Based on these numbers, the 

FAA estimates the following costs to 

comply with this AD. 

Inspecting the bushing retaining 

plates takes about 0.5 work-hour for an 

estimated cost of $43 per helicopter and 

up to $602 for the U.S. fleet. If required, 

replacing a non-conforming bushing 

retaining plate takes about 6 work-hours 

and parts cost about $600 for an 

estimated cost of $1,110 per 

replacement. 

If required, inspecting the scissor 

attachment ball joint seating takes about 

3 work-hours and costs about $255 per 

helicopter. The corrective action that 

may be needed as a result of that 


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inspection could vary significantly from 

helicopter to helicopter. The FAA has 

no data to determine the costs to 

accomplish the corrective action or the 

number of helicopters that may require 

corrective action. 

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. 

The FAA is 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 because it addresses an 

unsafe condition that is likely to exist or 

develop on products identified in this 

rulemaking action. 

Regulatory Findings 

This AD will not have federalism 

implications under Executive Order 

13132. This AD will 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, I certify 

that this AD: 

(1) Is not a ‘‘significant regulatory 

action’’ under Executive Order 12866, 

and 

(2) Will not affect intrastate aviation 

in Alaska. 

List of Subjects in 14 CFR Part 39 

Air transportation, Aircraft, Aviation 

safety, Incorporation by reference, 

Safety. 

The Amendment 

Accordingly, under the authority 

delegated to me by the Administrator, 

the FAA amends 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: 

2023–20–51 Airbus Helicopters: 

Amendment 39–22572; Docket No. 

FAA–2023–1998; Project Identifier 

MCAI–2023–01045–R. 

(a) Effective Date 

The FAA issued Emergency Airworthiness 

Directive (AD) 2023–20–51 on October 2, 

2023, directly to affected owners and 

operators. As a result of such actual notice, 

that emergency AD was effective for those 

owners and operators on the date it was 

provided. This AD contains the same 

requirements as that emergency AD and, for 

those who did not receive actual notice, is 

effective on October 31, 2023. 

(b) Affected ADs 

None. 

(c) Applicability 

This AD applies to Airbus Helicopters 

Model AS332C, AS332C1, AS332L, 

AS332L1, AS332L2, and SA330J helicopters, 

certificated in any category. 

(d) Subject 

Joint Aircraft System Component (JASC) 

Code: 6230, Main Rotor Mast/Swashplate. 

(e) Unsafe Condition 

This AD was prompted by a report of three 

newly supplied main rotor swashplate 

bushing retaining plates with oversized 

internal diameters. The FAA is issuing this 

AD to detect out of tolerance main rotor 

swashplate bushing retaining plates. The 

unsafe condition, if not addressed, could 

result in damage to the main rotor assembly 

and subsequent loss of control of the 

helicopter. 

Note 1 to paragraph (e): European Union 

Aviation Safety Agency (EASA) Emergency 

AD 2023–0174–E, dated October 2, 2023 

(EASA AD 2023–0174–E), refers to a 

‘‘bushing retaining plate’’ as a ‘‘retaining 

bush.’’ The service information referenced in 

EASA AD 2023–0174–E refers to a ‘‘bushing 

retaining plate’’ as either a ‘‘bush retaining,’’ 

‘‘stop ring,’’ ‘‘retaining bush,’’ or ‘‘locking 

ring.’’ 

(f) Compliance 

Comply with this AD within the 

compliance times specified, unless already 

done. 

(g) Requirements 

Except as specified in paragraphs (h) and 

(i) of this AD: Comply with all required 

actions and compliance times specified in, 

and in accordance with, EASA AD 2023– 

0174–E. 

(h) Exceptions to EASA AD 2023–0174–E 

(1) Where EASA AD 2023–0174–E refers to 

its effective date, this AD requires using the 

effective date of this AD. 

(2) Where paragraph (1) of EASA AD 2023– 

0174–E states, ‘‘before next flight,’’ for this 

AD, replace that text with, ‘‘within two 

calendar days.’’ 

(3) Where paragraph (2) of EASA AD 2023– 

0174–E specifies inspecting the scissor 

attachment ball joint seating without a 

compliance time, this AD requires that action 

before further flight. 

(4) Where the service information 

referenced in EASA AD 2023–0174–E 

specifies discarding parts, this AD requires 

removing those parts from service. 

(5) Where the service information 

referenced in EASA AD 2023–0174–E 

specifies contacting Airbus Helicopters if at 

least one internal diameter of the three 

bushing retaining plates is more than 33 mm 

(1.3 in), this AD does not require that action. 

(6) Where the service information 

referenced in EASA AD 2023–0174–E 

specifies contacting Airbus Helicopters to get 

a repair solution and paragraph (4) of EASA 

AD 2023–0174–E requires contacting AH 

[Airbus Helicopters] for approved repair 

instructions and accomplishing those 

instructions accordingly if a scissor 

attachment ball joint is not properly seated, 

this AD requires repair done in accordance 

with a method approved by the Manager, 

International Validation Branch, FAA; or 

EASA; or Airbus Helicopters’ EASA Design 

Organization Approval (DOA). If approved by 

the DOA, the approval must include the 

DOA-authorized signature. 

(7) This AD does not adopt the ‘‘Remarks’’ 

section of EASA AD 2023–0174–E. 

(i) No Reporting Requirement 

Although the service information 

referenced in EASA AD 2023–0174–E 

specifies to submit certain information to the 

manufacturer, this AD does not include that 

requirement. 

(j) Special Flight Permit 

Special flight permits are prohibited. 

(k) Alternative Methods of Compliance 

(AMOCs) 

(1) The Manager, International Validation 

Branch, 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 manager of the International Validation 

Branch, send it to the attention of the person 

identified in paragraph (l) of this AD. 

Information may be emailed to: 9-AVS-AIR730-AMOC@faa.gov. 

(2) 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. 

(l) Related Information 

For more information about this AD, 

contact Dan McCully, Aviation Safety 

Engineer, FAA, 1600 Stewart Avenue, Suite 

410, Westbury, NY 11590; phone (404) 474– 

5548; email william.mccully@faa.gov. 

(m) Material Incorporated by Reference 

(1) The Director of the Federal Register 

approved the incorporation by reference of 

the service information listed in this 


ddrumheller on DSK120RN23PROD with RULES1
Federal Register / Vol. 88, No. 198 / Monday, October 16, 2023 / Rules and Regulations 71287 

paragraph under 5 U.S.C. 552(a) and 1 CFR 

part 51. 

(2) You must use this service information 

as applicable to do the actions required by 

this AD, unless this AD specifies otherwise. 

(i) European Union Aviation Safety Agency 

(EASA) Emergency AD 2023–0174–E, dated 

October 2, 2023. 

(ii) [Reserved] 

(3) For EASA AD 2023–0174–E, contact 

EASA, Konrad-Adenauer-Ufer 3, 50668 

Cologne, Germany; telephone +49 221 8999 

000; email ADs@easa.europa.eu; internet 

easa.europa.eu. You may find the EASA 

material on the EASA website at 

ad.easa.europa.eu. 

(4) You may view this service information 

at the FAA, Office of the Regional Counsel, 

Southwest Region, 10101 Hillwood Pkwy., 

Room 6N–321, Fort Worth, TX 76177. For 

information on the availability of this 

material at the FAA, call (817) 222–5110. 

(5) You may view this material that is 

incorporated by reference at the National 

Archives and Records Administration 

(NARA). For information on the availability 

of this material at NARA, email 

fr.inspection@nara.gov, or go to: 

www.archives.gov/federal-register/cfr/ibrlocations.html. 

Issued on October 11, 2023. 

Victor Wicklund, 

Deputy Director, Compliance & Airworthiness 

Division, Aircraft Certification Service. 

[FR Doc. 2023–22856 Filed 10–12–23; 4:15 pm] 

BILLING CODE 4910–13–P 

DEPARTMENT OF THE TREASURY 

Internal Revenue Service 

26 CFR Parts 1 and 53 

[TD 9981] 

RIN 1545–BJ53 

Requirements for Type I and Type III 

Supporting Organizations 

AGENCY: Internal Revenue Service (IRS), 

Treasury. 

ACTION: Final regulations. 

SUMMARY: This document contains final 

regulations providing guidance on the 

prohibition on certain gifts or 

contributions to Type I and Type III 

supporting organizations from persons 

who control a supported organization 

and on certain other requirements for 

Type III supporting organizations. The 

regulations reflect changes to the law 

made by the Pension Protection Act of 

2006. The regulations affect certain 

Type I and Type III supporting 

organizations and their supported 

organizations. 

DATES: 

Effective date: These regulations are 

effective on October 16, 2023. 

Applicability date: For dates of 

applicability, see § 1.509(a)–4(I). 

FOR FURTHER INFORMATION CONTACT: 

Michael Gruccio at (202) 317–4541 or 

Don Spellmann at (202) 317–4086. 

SUPPLEMENTARY INFORMATION: 

Background 

I. Overview 

This document amends the Income 

Tax Regulations (26 CFR part 1) by 

adding final regulations under section 

509(a) of the Internal Revenue Code 

(Code). These final regulations amend 

§ 1.509(a)–4 to provide guidance on 

amendments to the Code enacted by 

section 1241 of the Pension Protection 

Act of 2006 (PPA), Public Law 109–280, 

120 Stat. 780 (August 17, 2006). 

An organization described in section 

501(c)(3) of the Code is classified as 

either a private foundation or a public 

charity. To be classified as a public 

charity, an organization must be 

described in section 509(a)(1), (2), or (3). 

Organizations described in section 

509(a)(3) are known as ‘‘supporting 

organizations.’’ Supporting 

organizations achieve their public 

charity status by providing support to 

one or more organizations described in 

section 509(a)(1) or (2), which, in this 

context, are referred to as ‘‘supported 

organizations.’’ 

To be described in section 509(a)(3), 

an organization must satisfy (1) an 

organizational test, (2) an operational 

test, (3) a relationship test, and (4) a 

disqualified person control test. The 

organizational and operational tests 

require that a supporting organization 

be organized, and at all times thereafter 

operated, exclusively for the benefit of, 

to perform the functions of, or to carry 

out the purposes of one or more 

supported organizations. The 

relationship test requires a supporting 

organization to establish one of three 

types of relationships with one or more 

supported organizations. A supporting 

organization that is operated, 

supervised, or controlled by one or more 

supported organizations is known as a 

‘‘Type I’’ supporting organization. The 

relationship of a Type I supporting 

organization with its supported 

organization(s) is comparable to that of 

a corporate parent-subsidiary 

relationship. A supporting organization 

that is supervised or controlled in 

connection with one or more supported 

organizations is known as a ‘‘Type II’’ 

supporting organization. The 

relationship of a Type II supporting 

organization with its supported 

organization(s) involves common 

supervision or control by the persons 

supervising or controlling both the 

supporting organization and the 

supported organization(s). A supporting 

organization that is operated in 

connection with one or more supported 

organizations is known as a ‘‘Type III’’ 

supporting organization and is 

discussed further in the remainder of 

this preamble. Finally, the disqualified 

person control test requires that a 

supporting organization not be 

controlled directly or indirectly by 

certain disqualified persons. 

Sections 1241 through 1243 of the 

PPA revised the requirements for 

supporting organizations. These final 

regulations under § 1.509(a)–4 address 

section 1241’s five changes to the 

requirements an organization must 

satisfy to qualify as a Type III 

supporting organization. 

II. PPA Changes to Type III Supporting 

Organizations 

The PPA made the following five 

changes to the requirements an 

organization must satisfy to qualify as a 

Type III supporting organization: 

(1) Section 1241(c) of the PPA 

removed the ability of a charitable trust 

to rely on the special rule under 

§ 1.509(a)–4(i)(2)(iii) as then in effect, 

which allowed a trust to satisfy the 

attentiveness requirement of the integral 

part test for non-functionally integrated 

Type III supporting organizations if the 

supported organization was a 

beneficiary of the trust and state law 

allowed the beneficiary to enforce the 

trust and compel an accounting of the 

trust; 

(2) Section 1241(d) of the PPA 

directed the Secretary of the Treasury or 

her delegate (Secretary) to promulgate 

regulations under section 509 that 

establish a new distribution requirement 

for Type III supporting organizations 

that are not ‘‘functionally integrated’’ (a 

non-functionally integrated (NFI) Type 

III supporting organization) to ensure 

that a ‘‘significant amount’’ is paid to 

supported organizations; for this 

purpose, the term ‘‘functionally 

integrated’’ means a Type III supporting 

organization that is not required under 

regulations to make payments to 

supported organizations, because the 

supporting organization engages in 

activities that relate to performing the 

functions of, or carrying out the 

purposes of, its supported 

organization(s); 

(3) Section 1241(b) of the PPA 

required a Type III supporting 

organization to provide annually to each 

of its supported organizations the 

information required by the Department 

of the Treasury (Treasury Department) 

and the IRS (referred to in § 1.509(a)– 

4(i)(2) as the notification requirement) 


ddrumheller on DSK120RN23PROD with RULES1