18574 Federal Register / Vol. 72, No. 71 / Friday, April 13, 2007 / Rules and Regulations 

17September 21 NOPR at P 17. 

will, by regulation, notify the submitter 

at least five days prior to disclosure. 

This allows the submitter an 

opportunity to respond, as well as to 

pursue an injunction against release in 

district court. 

10. The Commission’s regulations do 

not require separation of the 

opportunity to comment and notice of 

release. However, it was the 

Commission’s practice in processing 

CEII requests to issue these notifications 

separately. As the Commission 

explained in its September 21 Order, 

combining the two will increase the 

efficiency of processing CEII requests. 

See September 21 Order at P 9–10. But 

those opposing release will continue to 

have ten days of notice before the 

information is released. 

11. Contrary to EEI’s assertion, there 

is no inconsistency in the application of 

the rules to CEII and FOIA requests. The 

combined notice that the Commission 

sends pursuant to the September 21 

Order explains that a submitter has an 

opportunity (5-day minimum) to submit 

timely comments opposing release. See 

18 CFR 388.112(d). It further explains 

that if the submitter provides timely 

comments, he or she will be notified in 

advance of the release of any 

information in accordance with 18 CFR 

388.112(e) (another 5-day minimum). In 

other words, if the submitter provides 

comments, a second notice of release 

follows the first (a total of 10-day 

minimum). In the event timely 

comments opposing release are not 

received, the combined notice 

constitutes notice of release of the 

specified document in accordance with 

18 CFR 388.112(e), subject to an 

appropriate non-disclosure agreement. 

The combined opportunity to comment 

and notice of release does not reduce 

the submitter’s opportunity to respond 

or to pursue judicial relief. 

Requirements To Comply With 

Procedural Requirements 

12. The September 21 Order states 

that an application will be rejected in its 

entirety if information is mislabeled as 

CEII or a legal justification for CEII is 

not provided. The purpose of that rule 

is to dissuade applicants from carelessly 

using the CEII designation because such 

misuse prevents interested parties and 

other deserving members of the public 

from accessing needed information in 

the timeliest manner. As the 

Commission said in the September 21 

NOPR, the ‘‘Commission retains its 

concern for CEII filing abuses and will 

take action against applicants or parties 

who knowingly misfile information as 

CEII.’’ 17 The Commission disagrees 

with EEI’s assertion that rejection is 

unacceptably harsh. Applications are 

frequently rejected for failure to comply 

with procedural requirements. See, e.g., 

ANR Pipeline Co., 103 FERC ¶ 61,261 at 

P 8 (2003) (rejecting filing without 

prejudice to filing a fully supported 

application in accordance with the 

Commission’s regulations). In instances 

in which documents are rejected for 

filing, the rejection is usually without 

prejudice and no substantive rights are 

lost. Id. The application must merely be 

refiled in accordance with the 

procedural requirements. That is not 

harsh, but rather promotes the proper 

use of the CEII designation. 

The Commission orders: 

EEI’s request for rehearing is denied 

as described above. The California State 

Agencies’ request for reconsideration is 

rejected in this docket as untimely filed. 

By the Commission. 

Philis J. Posey, 

Acting Secretary. 

[FR Doc. E7–7005 Filed 4–12–07; 8:45 am] 

BILLING CODE 6717–01–P 

DEPARTMENT OF HOMELAND 

SECURITY 

Bureau of Customs and Border 

Protection 

19 CFR Part 123 

Advance Electronic Presentation of 

Cargo Information for Truck Carriers 

Required To Be Transmitted Through 

ACE Truck Manifest at Ports in the 

States of Vermont, North Dakota and 

New Hampshire 

AGENCY: Customs and Border Protection, 

Department of Homeland Security. 

ACTION: Final rule. 

SUMMARY: Pursuant to section 343(a) of 

the Trade Act of 2002 and implementing 

regulations, truck carriers and other 

eligible parties are required to transmit 

advance electronic truck cargo 

information to the Bureau of Customs 

and Border Protection (CBP) through a 

CBP-approved electronic data 

interchange. In a previous document, 

CBP designated the Automated 

Commercial Environment (ACE) Truck 

Manifest System as the approved 

interchange and announced that the 

requirement that advance electronic 

cargo information be transmitted 

through ACE would be phased in by 

groups of ports of entry. This document 

announces that at all land border ports 

in Vermont and New Hampshire and at 

the land border ports in North Dakota in 

which ACE has not yet been required, 

truck carriers will be required to file 

electronic manifests through the ACE 

Truck Manifest System. 

DATES: Trucks entering the United 

States through land border ports of entry 

in the states of Vermont and New 

Hampshire and at the ports of St. John, 

Fortuna, Ambrose, Carbury, Noonan, 

Dunseith, Sherwood, Antler, Northgate, 

Westhope, and Portal in the state of 

North Dakota, will be required to 

transmit the advance information 

through the ACE Truck Manifest system 

effective July 12, 2007. 

FOR FURTHER INFORMATION CONTACT: Mr. 

James Swanson, via e-mail at 

james.d.swanson@dhs.gov. 

SUPPLEMENTARY INFORMATION: 

Background 

Section 343(a) of the Trade Act of 

2002, as amended (the Act; 19 U.S.C. 

2071 note), required that CBP 

promulgate regulations providing for the 

mandatory transmission of electronic 

cargo information by way of a CBPapproved electronic data interchange 

(EDI) system before the cargo is brought 

into or departs the United States by any 

mode of commercial transportation (sea, 

air, rail or truck). The cargo information 

required is that which is reasonably 

necessary to enable high-risk shipments 

to be identified for purposes of ensuring 

cargo safety and security and preventing 

smuggling pursuant to the laws enforced 

and administered by CBP. 

On December 5, 2003, CBP published 

in the Federal Register (68 FR 68140) a 

final rule to effectuate the provisions of 

the Act. In particular, a new section 

123.92 (19 CFR 123.92) was added to 

the regulations to implement the 

inbound truck cargo provisions. Section 

123.92 describes the general 

requirement that, in the case of any 

inbound truck required to report its 

arrival under section 123.1(b), if the 

truck will have commercial cargo 

aboard, CBP must electronically receive 

certain information regarding that cargo 

through a CBP-approved EDI system no 

later than 1 hour prior to the carrier’s 

reaching the first port of arrival in the 

United States. For truck carriers arriving 

with shipments qualified for clearance 

under the FAST (Free and Secure Trade) 

program, section 123.92 provides that 

CBP must electronically receive such 

cargo information through the CBPapproved EDI system no later than 30 

minutes prior to the carrier’s reaching 

the first port of arrival in the United 

States. 


cprice-sewell on PRODPC61 with RULES
Federal Register / Vol. 72, No. 71 / Friday, April 13, 2007 / Rules and Regulations 18575 

ACE Truck Manifest Test 

On September 13, 2004, CBP 

published a notice in the Federal 

Register (69 FR 55167) announcing a 

test allowing participating Truck Carrier 

Accounts to transmit electronic manifest 

data for inbound cargo through ACE, 

with any such transmissions 

automatically complying with advance 

cargo information requirements as 

provided in section 343(a) of the Trade 

Act of 2002. Truck Carrier Accounts 

participating in the test were given the 

ability to electronically transmit the 

truck manifest data and obtain release of 

their cargo, crew, conveyances, and 

equipment via the ACE Portal or 

electronic data interchange messaging. 

A series of notices announced 

additional deployments of the test, with 

deployment sites being phased in as 

clusters. Clusters were announced in the 

following notices published in the 

Federal Register: 70 FR 30964 (May 31, 

2005); 70 FR 43892 (July 29, 2005); 70 

FR 60096 (October 14, 2005); 71 FR 

3875 (January 24, 2006); 71 FR 23941 

(April 25, 2006); 71 FR 42103 (July 25, 

2006), 71 FR 77404 (December 26, 2006) 

and 72 FR 7058 (February 14, 2007). 

CBP continues to test ACE at various 

ports. CBP will continue, as necessary, 

to announce in subsequent notices in 

the Federal Register the deployment of 

the ACE truck manifest system test at 

additional ports. 

Designation of ACE Truck Manifest 

System as the Approved Data 

Interchange System 

In a notice published October 27, 

2006 (71 FR 62922), CBP designated the 

Automated Commercial Environment 

(ACE) Truck Manifest System as the 

approved EDI for the transmission of 

required data and announced that the 

requirement that advance electronic 

cargo information be transmitted 

through ACE would be phased in by 

groups of ports of entry. 

ACE will be phased in as the required 

transmission system at some ports even 

while it is still being tested at other 

ports. However, the use of ACE to 

transmit advance electronic truck cargo 

information will not be required in any 

port in which CBP has not first 

conducted the test. 

The October 27, 2006, document 

identified all land border ports in the 

states of Washington and Arizona and 

the ports of Pembina, Neche, Walhalla, 

Maida, Hannah, Sarles, and Hansboro in 

North Dakota as the first group of ports 

where use of the ACE Truck Manifest 

System is mandated. Subsequently, CBP 

announced on January 19, 2007 (72 FR 

2435) that, after 90 days notice, the use 

of the ACE Truck Manifest System will 

be mandatory at all land border ports in 

the states of California, Texas and New 

Mexico. On February 23, 2007 (72 FR 

8109), CBP announced that, again after 

90 days notice, the ACE Truck Manifest 

System will be mandatory at all land 

border ports in Michigan and New York, 

as well. 

ACE Mandated at Land Border Ports of 

Entry in Vermont and New Hampshire 

and Identified Ports in North Dakota 

Applicable regulations (19 CFR 

123.92(e)) require CBP, 90 days prior to 

mandating advance electronic 

information at a port of entry, to publish 

notice in the Federal Register informing 

affected carriers that the EDI system is 

in place and fully operational. 

Accordingly, CBP is announcing in this 

document that, effective 90 days from 

the date of publication of this notice, 

truck carriers entering the United States 

through land border ports of entry in the 

states of Vermont and New Hampshire 

and through the ports of St. John, 

Fortuna, Ambrose, Carbury, Noonan, 

Dunseith, Sherwood, Antler, Northgate, 

Westhope, and Portal, in the state of 

North Dakota, will be required to 

present advance electronic cargo 

information regarding truck cargo 

through the ACE Truck Manifest 

System. Together with the ports 

announced in 71 FR 62922, use of the 

ACE Truck Manifest System will, 90 

days from the date of publication of this 

notice, be mandatory in all land border 

ports in the state of North Dakota, as 

well as the land border ports in the 

states of Vermont and New Hampshire. 

Although other systems that have 

been deemed acceptable by CBP for 

transmitting advance truck manifest 

data will continue to operate and may 

still be used in the normal course of 

business for purposes other than 

transmitting advance truck manifest 

data, use of systems other than ACE will 

no longer satisfy advance electronic 

cargo information requirements at the 

ports of entry announced in this 

document as of July 12, 2007. 

Compliance Sequence 

CBP will be publishing subsequent 

notices in the Federal Register as it 

phases in the requirement that truck 

carriers utilize the ACE system to 

present advance electronic truck cargo 

information at other ports. ACE will be 

phased in as the mandatory EDI system 

at the ports identified below in the 

sequential order in which they are 

listed. The sequential order provided 

below is somewhat different than that 

announced in the October 27, 2006, 

notice. Although further changes to this 

order are not currently anticipated, CBP 

will state in future notices if changes do 

occur. In any event, as mandatory ACE 

is phased in at these remaining ports, 

CBP will always provide 90 days’ notice 

through publication in the Federal 

Register prior to requiring the use of 

ACE for the transmission of advance 

electronic truck cargo information at a 

particular group of ports. 

The remaining ports at which the 

mandatory use of ACE will be phased 

in, listed in sequential order, are as 

follows: 

1. All land border ports in the states 

of Idaho and Montana. 

2. All land border ports in the state of 

Maine. 

3. All land border ports in the states 

of Alaska and Minnesota. 

Dated: April 6, 2007. 

Deborah J. Spero, 

Acting Commissioner, Customs and Border 

Protection. 

[FR Doc. E7–6908 Filed 4–12–07; 8:45 am] 

BILLING CODE 9111–14–P 

DEPARTMENT OF THE TREASURY 

Internal Revenue Service 

26 CFR Part 1 

[TD 9313] 

RIN 1545–BG29 

Corporate Reorganizations; Additional 

Guidance on Distributions Under 

Sections 368(a)(1)(D) and 354(b)(1)(B); 

Correction 

AGENCY: Internal Revenue Service (IRS), 

Treasury. 

ACTION: Correcting amendment. 

SUMMARY: This document contains a 

correction to temporary regulations (TD 

9313) that were published in the 

Federal Register on Thursday, March 1, 

2007 (72 FR 9262) providing guidance 

regarding the qualification of certain 

transactions as reorganizations 

described in section 368(a)(1)(D) where 

no stock and/or securities of the 

acquiring corporation are issued and 

distributed in the transaction. 

DATES: This correcting amendment is 

effective April 13, 2007. 

FOR FURTHER INFORMATION CONTACT: 

Bruce A. Decker at (202) 622–7550 (not 

a toll-free number). 

SUPPLEMENTARY INFORMATION: 

Background 

The temporary regulations that are the 

subject of this correction are under 

section 368 of the Internal Revenue 

Code. 


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