Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Rules and Regulations 51015

property unless the financing is

provided exclusively for repairs,

remodeling, or other improvements to

the rural home, in which case the loan

may be secured by other property or

unsecured if warranted by the

documented creditworthiness of the

borrower.

(5) Except as provided in § 614.4231,

loans made under title III of the Act may

be secured or unsecured, as appropriate

for the purpose of the loan and the

documented creditworthiness of the

borrower.

§§ 614.4210, 614.4220, 614.4222, 614.4230

[Removed]

14. Sections 614.4210, 614.4220,

614.4222, and 614.4230 are removed.

15. Section 614.4231 is revised to read

as follows:

§ 614.4231 Certain seasonal commodity

loans to cooperatives.

Loans on certain commodities that are

part of government programs shall

comply with the criteria established for

those programs. Security taken on

program commodities shall be

consistent with prudent lending

practices and ensure compliance with

the government program. The bank shall

provide for periodic review by bank

officials of any custodial activities and

shall provide notice to the custodians

that their activities are subject to review

and examination by the Farm Credit

Administration.

Subpart F—Collateral Evaluation

Requirements

16. Section 614.4245 is amended by

adding a new paragraph (d) to read as

follows:

§ 614.4245 Collateral evaluation policies.

* * * * *

(d) An institution’s board of directors

may adopt specific collateral evaluation

requirements, consistent with the

regulations in this subpart, for loans

designated as part of a minimum

information program.

Subpart H—Loan Purchases and Sales

17. Section 614.4325 is amended by

removing the reference ‘‘§ 614.4160’’

and adding in its place, the words ‘‘the

loan underwriting standards adopted

pursuant to § 614.4150’’ in the fourth

sentence of paragraph (e); revising

paragraph (a)(1); and adding new

paragraph (h) to read as follows:

§ 614.4325 Purchase and sale of interests

in loans.

(a) * * *

(1) Interests in loans means

ownership interests in the principal

amount, interest payments, or any

aspect of a loan transaction and

transactions involving a pool of loans,

including servicing rights.

* * * * *

(h) Transactions through agents.

Transactions pertaining to purchases of

loans, including the judgment on

creditworthiness, may be performed

through an agent, provided that:

(1) The institution establishes the

necessary criteria in a written agency

agreement that outlines, at a minimum,

the scope of the agency relationship and

obligates the agent to comply with the

institution’s underwriting standards;

(2) The institution periodically

reviews the agency relationship to

determine if the agent’s actions are in

the best interest of the institution;

(3) The agent must be independent of

the seller or intermediate broker in the

transaction; and

(4) If an association’s funding bank

serves as its agent, the agency agreement

must provide that:

(i) The association can terminate the

agreement upon no more than 60 days

notice to the bank;

(ii) The association may, in its

discretion, require the bank to purchase

from the association any interest in a

loan that the association determines

does not comply with the terms of the

agency agreement or the association’s

loan underwriting standards.

Subpart J—Lending Limits

§ 614.4355 [Amended]

18. Section 614.4355 is amended by

removing the word ‘‘seasonal’’ and

adding in its place, the word

‘‘commodity’’ the second place it

appears in paragraphs (a)(6) and (b)(1)

respectively, and in paragraph (a)(8).

§ 614.4358 [Amended]

19. Section 614.4358 is amended by

removing the words ‘‘on the credit

factors set forth in § 614.4160’’ and

adding in their place, the words ‘‘under

the loan underwriting standards

adopted pursuant to § 614.4150’’ in

paragraph (a)(1)(ii).

Subpart O—Banks for Cooperatives

Financing International Trade

§ 614.4810 [Amended]

20. Section 614.4810 is amended by

removing the words ‘‘credit factors

listed in § 614.4160’’ and adding in their

place, the words ‘‘the loan underwriting

standards adopted pursuant to

§ 614.4150’’ in paragraph (b).

PART 619—DEFINITIONS

21. The authority citation for part 619

continues to read as follows:

Authority: Secs. 1.7, 2.4, 4.9, 5.9, 5.12,

5.17, 5.18, 7.0, 7.6, 7.7, 7.8 of the Farm Credit

Act (12 U.S.C. 2015, 2075, 2160, 2243, 2246,

2252, 2253, 2279a, 2279b, 2279b–1, 2279b–

2).

§§ 619.9165 and 619.9290 [Removed]

22. Sections 619.9165 and 619.9290

are removed.

Dated: September 24, 1997.

Floyd Fithian,

Secretary, Farm Credit Administration Board.

[FR Doc. 97–25934 Filed 9–29–97; 8:45 am]

BILLING CODE 6705–01–P

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. 97–NM–218–AD; Amendment

39–10143; AD 97–20–05]

RIN 2120–AA64

Airworthiness Directives; British

Aerospace Model HS 748 Series

Airplanes

AGENCY: Federal Aviation

Administration, DOT.

ACTION: Final rule; request for

comments.

SUMMARY: This amendment adopts a

new airworthiness directive (AD) that is

applicable to all British Aerospace

Model HS 748 series airplanes. This

action requires installation of a

modified aileron cable pulley guard and

rubbing strips. This amendment is

prompted by issuance of mandatory

continuing airworthiness information by

a foreign civil airworthiness authority.

The actions specified by this AD are

intended to prevent jamming or

restricting of the aileron cable, which

could lead to the loss of aircraft roll

control.

DATES: Effective October 15, 1997.

The incorporation by reference of

certain publications listed in the

regulations is approved by the Director

of the Federal Register as of October 15,

1997.

Comments for inclusion in the Rules

Docket must be received on or before

October 30, 1997.

ADDRESSES: Submit comments in

triplicate to the Federal Aviation

Administration (FAA), Transport

Airplane Directorate, ANM–103,

Attention: Rules Docket No. 97–NM–

218–AD, 1601 Lind Avenue, SW.,

Renton, Washington 98055–4056.

The service information referenced in

this AD may be obtained from AI(R)

American Support, Inc., 13850 Mclearen
51016 Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Rules and Regulations

Road, Herndon, Virginia 20171. This

information may be examined at the

FAA, Transport Airplane Directorate,

1601 Lind Avenue, SW., Renton,

Washington.

FOR FURTHER INFORMATION CONTACT:

William Schroeder, Aerospace Engineer,

Standardization Branch, ANM–113,

FAA, Transport Airplane Directorate,

1601 Lind Avenue, SW., Renton,

Washington 98055–4056; telephone

(425) 227–2148; fax (425) 227–1149.

SUPPLEMENTARY INFORMATION: The Civil

Aviation Authority (CAA), which is the

airworthiness authority for the United

Kingdom, recently notified the FAA that

an unsafe condition may exist on all

British Aerospace Model HS 748 series

airplanes. The CAA advises that it

received a report indicating that

jamming or restricting of the aileron

cables located in the wing trailing edge

structure can occur due to insufficient

tension of the cables. Such jamming or

restricting, if not corrected, could result

in the loss of aircraft roll control.

Explanation of Relevant Service

Information

The manufacturer has issued Service

Bulletin HS 748–27–70, Revision 2,

dated May 20, 1994, which describes

procedures for installation of a modified

aileron cable pulley guard and rubbing

strips. Accomplishment of the actions

specified in the service bulletin is

intended to adequately address the

identified unsafe condition. The CAA

classified this service bulletin as

mandatory and issued British

airworthiness directive 009–05–94,

dated May 9, 1994, in order to assure

the continued airworthiness of these

airplanes in the United Kingdom.

FAA’s Conclusions

This airplane model is manufactured

in the United Kingdom and is type

certificated for operation in the United

States under the provisions of section

21.29 of the Federal Aviation

Regulations (14 CFR 21.19) and the

applicable bilateral airworthiness

agreement. Pursuant to this bilateral

airworthiness agreement, the CAA has

kept the FAA informed of the situation

described above. The FAA has

examined the findings of the CAA,

reviewed all available information, and

determined that AD action is necessary

for products of this type design that are

certificated for operation in the United

States.

Explanation of Requirements of the

Rule

Since an unsafe condition has been

identified that is likely to exist or

develop on other airplanes of the same

type design registered in the United

States, this amendment would require

accomplishment of the actions specified

in the service bulletin described

previously.

Cost Impact

None of the Model HS 748 series

airplanes affected by this action are on

the U.S. Register. All airplanes included

in the applicability of this rule currently

are operated by non-U.S. operators

under foreign registry; therefore, they

are not directly affected by this AD

action. However, the FAA considers that

this rule is necessary to ensure that the

unsafe condition is addressed in the

event that any of these subject airplanes

are imported and placed on the U.S.

Register in the future.

Should an affected airplane be

imported and placed on the U.S.

Register in the future, it would require

approximately 11 work hours to

accomplish the required actions, at an

average labor charge of $60 per work

hour. Required parts would cost

approximately $100. Based on these

figures, the cost impact of this AD

would be $760 per airplane.

Determination of Rule’s Effective Date

Since this AD action does not affect

any airplane that is currently on the

U.S. register, it has no adverse economic

impact and imposes no additional

burden on any person. Therefore, prior

notice and public procedures hereon are

unnecessary and the amendment may be

made effective in less than 30 days after

publication in the Federal Register.

Comments Invited

Although this action is in the form of

a final rule and was not preceded by

notice and opportunity for public

comment, comments are invited on this

rule. Interested persons are invited to

comment on this rule by submitting

such written data, views, or arguments

as they may desire. Communications

shall identify the Rules Docket number

and be submitted in triplicate to the

address specified under the caption

ADDRESSES. All communications

received on or before the closing date

for comments will be considered, and

this rule may be amended in light of the

comments received. Factual information

that supports the commenter’s ideas and

suggestions is extremely helpful in

evaluating the effectiveness of the AD

action and determining whether

additional rulemaking action would be

needed.

Comments are specifically invited on

the overall regulatory, economic,

environmental, and energy aspects of

the rule that might suggest a need to

modify the rule. All comments

submitted will be available, both before

and after the closing date for comments,

in the Rules Docket for examination by

interested persons. A report that

summarizes each FAA-public contact

concerned with the substance of this AD

will be filed in the Rules Docket.

Commenters wishing the FAA to

acknowledge receipt of their comments

submitted in response to this rule must

submit a self-addressed, stamped

postcard on which the following

statement is made: ‘‘Comments to

Docket Number 97–NM–218–AD.’’ The

postcard will be date stamped and

returned to the commenter.

Regulatory Impact

The regulations adopted herein will

not have substantial direct effects 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. Therefore, in

accordance with Executive Order 12612,

it is determined that this final rule does

not have sufficient federalism

implications to warrant the preparation

of a Federalism Assessment.

For the reasons discussed above, I

certify that this action (1) is not a

‘‘significant regulatory action’’ under

Executive Order 12866; (2) is not a

‘‘significant rule’’ under DOT

Regulatory Policies and Procedures (44

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

will not have a significant economic

impact, positive or negative, on a

substantial number of small entities

under the criteria of the Regulatory

Flexibility Act. A final evaluation has

been prepared for this action and it is

contained in the Rules Docket. A copy

of it may be obtained from the Rules

Docket at the location provided under

the caption ADDRESSES.

List of Subjects in 14 CFR Part 39

Air transportation, Aircraft, Aviation

safety, Incorporation by reference,

Safety.

Adoption of the Amendment

Accordingly, pursuant to the

authority delegated to me by the

Administrator, the Federal Aviation

Administration amends part 39 of the

Federal Aviation Regulations (14 CFR

part 39) as follows:

PART 39—AIRWORTHINESS

DIRECTIVES

1. The authority citation for part 39

continues to read as follows:

Authority: 49 U.S.C. 106(g), 40113, 44701.
Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Rules and Regulations 51017

§ 39.13 [Amended]

2. Section 39.13 is amended by

adding the following new airworthiness

directive:

97–20–05 British Aerospace: Amendment

39–10143. Docket 97–NM–218–AD.

Applicability: All Model HS 748 series

airplanes, certificated in any category.

Note 1: This AD applies to each airplane

identified in the preceding applicability

provision, regardless of whether it has been

otherwise modified, altered, or repaired in

the area subject to the requirements of this

AD. For airplanes that have been modified,

altered, or repaired so that the performance

of the requirements of this AD is affected, the

owner/operator must request approval for an

alternative method of compliance in

accordance with paragraph (b) of this AD.

The request should include an assessment of

the effect of the modification, alteration, or

repair on the unsafe condition addressed by

this AD; and, if the unsafe condition has not

been eliminated, the request should include

specific proposed actions to address it.

Compliance: Required as indicated, unless

accomplished previously.

To prevent jamming or restricting of

the aileron cable, accomplish the

following:

(a) Within 6 months after the effective date

of this AD, install a modified aileron cable

pulley guard and rubbing strips in

accordance with British Aerospace Service

Bulletin HS 748–27–70, Revision 2, dated

May 20, 1994.

(b) An alternative method of compliance or

adjustment of the compliance time that

provides an acceptable level of safety may be

used if approved by the Manager,

Standardization Branch, ANM–113, FAA,

Transport Airplane. Operators shall submit

their requests through an appropriate FAA

Principal Maintenance Inspector, who may

add comments and then send it to the

Manager, Standardization Branch, ANM–113.

Note 2: Information concerning the

existence of approved alternative methods of

compliance with this AD, if any, may be

obtained from the Standardization Branch,

ANM–113.

(c) Special flight permits may be issued in

accordance with sections 21.197 and 21.199

of the Federal Aviation Regulations (14 CFR

21.197 and 21.199) to operate the airplane to

a location where the requirements of this AD

can be accomplished.

(d) The installation shall be done in

accordance with Jetstream Service Bulletin

HS 748–27–70, Revision 2, dated May 20,

1994. This incorporation by reference was

approved by the Director of the Federal

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

and 1 CFR part 51. Copies may be obtained

from AI(R) American Support, Inc., 13850

Mclearen Road, Herndon, Virginia 20171.

Copies may be inspected at the FAA,

Transport Airplane Directorate, 1601 Lind

Avenue, SW., Renton, Washington; or at the

Office of the Federal Register, 800 North

Capitol Street, NW., suite 700, Washington,

DC.

(e) This amendment becomes effective on

October 15, 1997.

Note 3: The subject of this AD is addressed

in British airworthiness directive 009–05–94,

dated May 9, 1994.

Issued in Renton, Washington, on

September 17, 1997.

James V. Devany,

Acting Manager, Transport Airplane

Directorate, Aircraft Certification Service.

[FR Doc. 97–25165 Filed 9–29–97; 8:45 am]

BILLING CODE 4910–13–U

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. 96–NM–215–AD; Amendment

39–10146; AD 97–20–08]

RIN 2120–AA64

Airworthiness Directives; Airbus Model

A300, A300–600, and A310 Series

Airplanes

AGENCY: Federal Aviation

Administration, DOT.

ACTION: Final rule.

SUMMARY: This amendment adopts a

new airworthiness directive (AD),

applicable to all Airbus Model A300,

A300–600, and A310 series airplanes,

that requires inspecting the bearings

located in the mechanical control

linkage of the nose landing gear (NLG)

free-fall mechanism for discrepancies,

replacing any discrepant bearings with

stainless steel bearings, and conducting

a test to ensure that the NLG free-fall

mechanism extends properly. This

amendment is prompted by a report

indicating that, during an operational

test of the NLG, the landing gear failed

to extend. The actions specified by this

AD are intended to prevent the bearings

from seizing, which could lead to the

loss of NLG free-fall extension

capability.

DATES: Effective November 4, 1997.

The incorporation by reference of

certain publications listed in the

regulations is approved by the Director

of the Federal Register as of November

4, 1997.

ADDRESSES: The service information

referenced in this AD may be obtained

from Airbus Industrie, 1 Rond Point

Maurice Bellonte, 31707 Blagnac Cedex,

France. This information may be

examined at the Federal Aviation

Administration (FAA), Transport

Airplane Directorate, Rules Docket,

1601 Lind Avenue, SW., Renton,

Washington; or at the Office of the

Federal Register, 800 North Capitol

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

FOR FURTHER INFORMATION CONTACT:

Charles Huber, Aerospace Engineer,

Standardization Branch, ANM–113,

FAA, Transport Airplane Directorate,

1601 Lind Avenue, SW., Renton,

Washington 98055–4056; telephone

(425) 227–2589; fax (425) 227–1149.

SUPPLEMENTARY INFORMATION: A

proposal to amend part 39 of the Federal

Aviation Regulations (14 CFR part 39) to

include an airworthiness directive (AD)

that is applicable to all Airbus Model

A300, A300–600, and A310 series

airplanes was published in the Federal

Register on April 1, 1997 (62 FR 15441).

That action proposed to require

inspecting the bearings located in the

mechanical control linkage of the nose

landing gear (NLG) free-fall mechanism

for discrepancies, replacing any

discrepant bearings with stainless steel

bearings, and conducting a test to

ensure that the NLG free-fall mechanism

extends properly.

Interested persons have been afforded

an opportunity to participate in the

making of this amendment. Due

consideration has been given to the two

comments received.

Both commenters support the

proposed rule.

Conclusion

After careful review of the available

data, including the comments noted

above, the FAA has determined that air

safety and the public interest require the

adoption of the rule as proposed.

Cost Impact

The FAA estimates that 127 Model

A300, A300–600, and A310 airplanes of

U.S. registry will be affected by this AD,

that it will take approximately 14 work

hours per airplane to accomplish the

required actions, and that the average

labor rate is $60 per work hour.

Required parts will cost approximately

$552 per airplane. Based on these

figures, the cost impact of the AD on

U.S. operators is estimated to be

$176,784, or $1,392 per airplane.

The cost impact figure discussed

above is based on assumptions that no

operator has yet accomplished any of

the requirements of this AD action, and

that no operator would accomplish

those actions in the future if this AD

were not adopted.

Regulatory Impact

The regulations adopted herein will

not have substantial direct effects 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. Therefore, in

accordance with Executive Order 12612,

it is determined that this final rule does

not have sufficient federalism