This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents. Prices of

new books are listed in the first FEDERAL

REGISTER issue of each week.

Rules and Regulations Federal Register

35957 

Vol. 76, No. 119 

Tuesday, June 21, 2011 

COURT SERVICES AND OFFENDER 

SUPERVISION AGENCY FOR THE 

DISTRICT OF COLUMBIA 

5 CFR Chapter LXX 

[CSOSA–0009–P] 

RIN 3209–AA15 and 3225–AA07 

Supplemental Standards of Ethical 

Conduct for Employees of the Court 

Services and Offender Supervision 

Agency for the District of Columbia 

AGENCY: Court Services and Offender 

Supervision Agency for the District of 

Columbia. 

ACTION: Final rule. 

SUMMARY: The Court Services and 

Offender Supervision Agency for the 

District of Columbia (CSOSA or 

Agency), with the concurrence of the 

Office of Government Ethics (OGE), is 

adopting as final, without change, the 

interim CSOSA rule that supplements 

the executive-branch-wide Standards of 

Ethical Conduct (Standards) issued by 

OGE, and requires employees of CSOSA 

and employees of the District of 

Columbia Pretrial Services Agency 

(PSA), an independent entity within 

CSOSA, to obtain approval before 

engaging in outside employment. 

DATES: This final rule is effective June 

21, 2011. 

FOR FURTHER INFORMATION CONTACT: 

Theresa A. Rowell, Assistant General 

Counsel, Office of General Counsel, 

telephone: (202) 220–5364; e-mail: 

theresa.rowell@csosa.gov. 

SUPPLEMENTARY INFORMATION: CSOSA 

published, with OGE concurrence, an 

interim rule in 76 FR 22293, on April 

21, 2011, requiring employees of 

CSOSA and PSA to obtain prior written 

approval before engaging in outside 

employment. No comments were 

received. CSOSA has determined, with 

OGE concurrence, to adopt the interim 

rule as final without any change. The 

interim rule being adopted as final 

provides that employees of CSOSA and 

PSA must obtain prior written approval 

before engaging in outside employment. 

The rule defines outside employment 

and sets out the procedure for seeking 

approval. 

For a detailed section analysis of this 

final rule, see the preamble of the 

interim rule as published in 76 FR 

22293. 

Regulatory Flexibility Act 

CSOSA, in accordance with the 

Regulatory Flexibility Act (5 U.S.C. 

605(b)), has reviewed this rule and by 

approving it certifies that this rule will 

not have a significant economic impact 

upon a substantial number of small 

entities. This rule pertains to agency 

management, and its economic impact 

is limited to the agency’s appropriated 

funds. 

Paperwork Reduction Act 

The Paperwork Reduction Act, 44 

U.S.C. chapter 35, does not apply 

because this rulemaking does not 

contain information collection 

requirements subject to the approval of 

the Office of Management and Budget. 

Congressional Review Act 

CSOSA has determined that this rule 

is not a rule as defined in 5 U.S.C. 804, 

and thus, does not require review by 

Congress. 

List of Subjects in 5 CFR Part 8001 

Conflict of interests, Government 

employees. 

Authority and Issuance: 5 U.S.C. 7301; 5 

U.S.C. App. (Ethics in Government Act of 

1978); E.O. 12674, 54 FR 15159, 3 CFR, 1989 

Comp., p. 215, as modified by E.O 12731, 55 

FR 42547, 3 CFR, 1990 Comp., p. 306; 5 CFR 

2635.105, 2635.801, 2635.802, 2635.803. 

Accordingly, the Court Services and 

Offender Supervision Agency for the 

District of Columbia, with the 

concurrence of the Office of 

Government Ethics, is adopting the 

interim rule adding 5 CFR chapter LXX, 

consisting of part 8001, which was 

published in 76 FR 22293 on April 21, 

2011, as a final rule without change. 

Dated: May 24, 2011. 

Adrienne Poteat, 

Deputy Director, Court Services and Offender 

Supervision Agency. 

Approved: May 24, 2011. 

Robert I. Cusick, 

Director, Office of Government Ethics. 

[FR Doc. 2011–15362 Filed 6–20–11; 8:45 am] 

BILLING CODE 3129–01–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 932 

[Doc. No. AMS–FV–10–0115; FV11–932–1 

FIR] 

Olives Grown in California; Decreased 

Assessment Rate 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Affirmation of interim rule as 

final rule. 

SUMMARY: The Department of 

Agriculture (USDA) is adopting, as a 

final rule, without change, an interim 

rule that decreases the assessment rate 

established for the California Olive 

Committee (Committee) for 2011 and 

subsequent fiscal years from $44.72 to 

$16.61 per ton of olives handled. The 

Committee locally administers the 

marketing order which regulates the 

handling of olives grown in California. 

Assessments upon olive handlers are 

used by the Committee to fund 

reasonable and necessary expenses of 

the program. The fiscal year began 

January 1 and ends December 31. The 

assessment rate will remain in effect 

indefinitely unless modified, 

suspended, or terminated. 

DATES: Effective June 22, 2011. 

FOR FURTHER INFORMATION CONTACT: Jerry 

L. Simmons, Marketing Specialist, or 

Kurt J. Kimmel, Regional Manager, 

California Marketing Field Office, 

Marketing Order Administration 

Branch, Fruit and Vegetable Programs, 

AMS, USDA; Telephone: (559) 487– 

5901, Fax: (559) 487–5906, or E-mail: 

Jerry.Simmons@ams.usda.gov or 

Kurt.Kimmel@ams.usda.gov. 

Small businesses may request 

information on complying with this and 

other marketing order and/or agreement 

regulations by viewing a guide at the 

following Web site: http:// 


wwoods2 on DSK1DXX6B1PROD with RULES_PART 1
35958 Federal Register / Vol. 76, No. 119 / Tuesday, June 21, 2011 / Rules and Regulations 

www.ams.usda.gov/ 

MarketingOrdersSmallBusinessGuide; 

or by contacting Laurel May, Marketing 

Order Administration Branch, Fruit and 

Vegetable Programs, AMS, USDA, 1400 

Independence Avenue, SW., STOP 

0237, Washington, DC 20250–0237; 

Telephone: (202) 720–2491, Fax: (202) 

720–8938, or E-mail: 

Laurel.May@ams.usda.gov. 

SUPPLEMENTARY INFORMATION: This rule 

is issued under Marketing Agreement 

No. 148 and Order No. 932, both as 

amended (7 CFR part 932), regulating 

the handling of olives grown in 

California, hereinafter referred to as the 

‘‘order.’’ The order is effective under the 

Agricultural Marketing Agreement Act 

of 1937, as amended (7 U.S.C. 601–674), 

hereinafter referred to as the ‘‘Act.’’ 

The Department of Agriculture 

(USDA) is issuing this rule in 

conformance with Executive Order 

12866. 

The handling of olives grown in 

California is regulated by 7 CFR part 

932. California olive handlers are 

subject to assessments. Prior to this 

change handlers were assessed $44.72 

per ton of olives handled. 

The Committee met on December 15, 

2010, and unanimously recommended 

an assessment rate of $16.61 per ton of 

olives. The assessment rate of $16.61 is 

$28.11 per ton lower than the rate 

currently in effect. The Committee 

recommended the lower assessment rate 

because of a substantial increase in 

assessable olives for the 2011 fiscal year. 

The assessment rate established in 

this rule will be applicable to all 

assessable olives beginning on January 

1, 2011, and continue in effect 

indefinitely unless modified, 

suspended, or terminated by USDA 

upon recommendation and information 

submitted by the Committee or other 

available information. Although this 

assessment rate is effective for an 

indefinite period, the Committee will 

continue to meet prior to or during each 

fiscal year to recommend a budget of 

expenses and consider 

recommendations for modification of 

the assessment rate. 

In an interim rule published in the 

Federal Register on March 4, 2011, and 

effective on March 5, 2011 (76 FR 

11937, Doc. No. AMS–FV–10–0115, 

FV11–932–1 IR), §§ 932.230 was 

amended by decreasing the assessment 

rate from $44.72 to $16.61 per ton of 

olives handled. 

Final Regulatory Flexibility Analysis 

Pursuant to requirements set forth in 

the Regulatory Flexibility Act (RFA) (5 

U.S.C. 601–612), the Agricultural 

Marketing Service (AMS) has 

considered the economic impact of this 

action on small entities. Accordingly, 

AMS has prepared this final regulatory 

flexibility analysis. 

The purpose of the RFA is to fit 

regulatory actions to the scale of 

business subject to such actions in order 

that small businesses will not be unduly 

or disproportionately burdened. 

Marketing orders issued pursuant to the 

Act, and the rules issued thereunder, are 

unique in that they are brought about 

through group action of essentially 

small entities acting on their own 

behalf. 

There are approximately 1,000 

producers of California olives in the 

production area and 2 handlers subject 

to regulation under the marketing order. 

Small agricultural producers are defined 

by the Small Business Administration 

(SBA) (13 CFR 121.201) as those having 

annual receipts of less than $750,000, 

and small agricultural service firms are 

defined as those whose annual receipts 

are less than $7,000,000. 

Based upon information from the 

industry and the California Agricultural 

Statistics Service (CASS), the average 

grower price for 2010 was 

approximately $811 per ton and total 

grower production was around 165,000 

tons. Based on production, producer 

prices, and the total number of 

California olive producers, the average 

annual producer revenue is less than 

$750,000. Thus, the majority of olive 

producers may be classified as small 

entities. Both of the handlers may be 

classified as large entities. 

This rule decreases the assessment 

rate established for the Committee and 

collected from handlers for the 2011 and 

subsequent fiscal years from $44.72 to 

$16.61 per ton of olives. The Committee 

unanimously recommended 2011 

expenditures of $2,203,909 and an 

assessment rate of $16.61 per ton. The 

recommended assessment rate of $16.61 

is $28.11 lower than the 2010 rate. 

Income generated from the $16.61 per 

ton assessment rate should be adequate 

to meet this year’s expenses when 

combined with funds from the 

authorized reserve and interest income. 

The major expenditures 

recommended by the Committee for the 

2011 fiscal year include $1,093,009 for 

Research Programs, $700,000 for 

Marketing Programs, $335,900 for 

General Administration, and $75,000 for 

Inspection Equipment Development. 

Budgeted expenses for these items in 

2010 were $300,000, $255,000, 

$324,923, and $50,000, respectively. 

The Committee recommended the 

lower assessment rate because of a 

substantial increase in assessable olives 

for the 2011 fiscal year. The fiscal year 

2011 olives as reported by CASS total 

164,984 tons, as compared to 23,033 

tons reported for the 2010 fiscal year. 

The Committee reviewed and 

unanimously recommended 2011 

expenditures of $2,203,909, which 

included increases in administrative 

expenses, marketing programs, 

equipment development and research 

programs. Prior to arriving at this 

budget, the Committee considered 

information from various sources, such 

as the Executive Subcommittee, 

Marketing Subcommittee, Inspection 

Subcommittee, and the Research 

Subcommittee. Alternative expenditure 

levels were discussed by these groups, 

based upon the relative value of various 

projects to the olive industry. The 

assessment rate of $16.61 per ton of 

assessable olives was derived by 

considering anticipated expenses, the 

volume of assessable olives, and 

additional pertinent factors. 

A review of historical information and 

preliminary information indicates that 

grower price could range between 

approximately $811 per ton and $1,105 

per ton. Therefore, the estimated 

assessment revenue for the 2011 fiscal 

year as a percentage of total grower 

revenue could range between 1.5 and 

2 percent. 

This action decreases the assessment 

obligation imposed on handlers. 

Assessments are applied uniformly on 

all handlers, and some of the costs may 

be passed on to producers. However, 

decreasing the assessment rate reduces 

the burden on handlers, and may reduce 

the burden on producers. 

This action imposes no additional 

reporting or recordkeeping requirements 

on either small or large California olive 

handlers. As with all Federal marketing 

order programs, reports and forms are 

periodically reviewed to reduce 

information requirements and 

duplication by industry and public 

sector agencies. 

AMS is committed to complying with 

the E-Government Act, to promote the 

use of the Internet and other 

information technologies to provide 

increased opportunities for citizen 

access to Government information and 

services, and for other purposes. 

USDA has not identified any relevant 

Federal rules that duplicate, overlap, or 

conflict with this rule. 

Comments on the interim rule were 

required to be received on or before May 

3, 2011. No comments were received. 

Therefore, for the reasons given in the 

interim rule, we are adopting the 

interim rule as a final rule, without 

change. 


wwoods2 on DSK1DXX6B1PROD with RULES_PART 1
Federal Register / Vol. 76, No. 119 / Tuesday, June 21, 2011 / Rules and Regulations 35959 

1Public Law 110–343, 122 Stat. 3765 (2008). 

2 12 CFR part 225, Appendices A and D. 

3 12 CFR part 225, Appendix C. 

4Through the CPP, Treasury invested in newly 

issued senior perpetual preferred stock of banking 

organizations (Senior Perpetual Preferred Stock) 

that are not S-Corps or organized in mutual form. 

On June 1, 2009, the Board published a final rule 

on the capital treatment of the Senior Perpetual 

Preferred Stock. See 74 FR 26081 (June 1, 2009). 

To view the interim rule, go to: 

http://www.regulations.gov/ 

#!documentDetail;D=AMS-FV-10-0115- 

0001. 

This action also affirms information 

contained in the interim rule concerning 

Executive Orders 12866 and 12988, the 

Paperwork Reduction Act (44 U.S.C. 

Chapter 35), and the E-Gov Act (44 

U.S.C. 101). 

After consideration of all relevant 

material presented, it is found that 

finalizing the interim rule, without 

change, as published in the Federal 

Register (76 FR 11937, March 4, 2011) 

will tend to effectuate the declared 

policy of the Act. 

List of Subjects in 7 CFR Part 932 

Olives, Marketing agreements, 

Reporting and recordkeeping 

requirements. 

PART 932—[AMENDED] 

■ Accordingly, the interim rule that 

amended 7 CFR part 932 and that was 

published at 76 FR 11937 on March 4, 

2011, is adopted as a final rule, without 

change. 

Dated: June 15, 2011. 

Ellen King, 

Acting Administrator, Agricultural Marketing 

Service. 

[FR Doc. 2011–15446 Filed 6–20–11; 8:45 am] 

BILLING CODE 3410–02–P 

FEDERAL RESERVE SYSTEM 

12 CFR Part 225 

[Regulation Y; Docket No. R–1356] 

Capital Adequacy Guidelines; Small 

Bank Holding Company Policy 

Statement: Treatment of Subordinated 

Securities Issued to the United States 

Treasury Under the Emergency 

Economic Stabilization Act of 2008 and 

the Small Business Jobs Act of 2010 

AGENCY: Board of Governors of the 

Federal Reserve System (Board). 

ACTION: Final rule. 

SUMMARY: The Board is adopting a final 

rule that allows bank holding 

companies that have made a valid 

election to be taxed under Subchapter S 

of Chapter 1 of the U.S. Internal 

Revenue Code (S-Corp BHCs) and bank 

holding companies organized in mutual 

form (Mutual BHCs) to include the full 

amount of any subordinated debt 

securities issued to the U.S. Department 

of the Treasury (Treasury) under the 

capital purchase program (CPP), in tier 

1 capital for purposes of the Board’s 

risk-based and leverage capital 

guidelines for bank holding companies, 

provided that the Subordinated 

Securities will count toward the limit 

on the amount of other restricted core 

capital elements includable in tier 1 

capital; and allows bank holding 

companies that are subject to the 

Board’s Small Bank Holding Company 

Policy Statement (small bank holding 

companies) and that are S-Corp BHCs or 

Mutual BHCs to exclude the CPP 

Subordinated Securities from treatment 

as debt for purposes of the debt-toequity standard under the Small Bank 

Holding Company Policy Statement 

(Policy Statement). The Board is also 

adopting, and requesting comment on, 

an interim final rule that allows small 

bank holding companies that are SCorps or Mutual BHCs to exclude from 

treatment as debt for purposes of the 

debt-to-equity standard under the Policy 

Statement subordinated debt securities 

issued to the Treasury through the 

Small Business Lending Fund 

established under the Small Business 

Jobs Act of 2010. 

DATES: The final rule will become 

effective on June 21, 2011. Comments 

on allowing S-Corp BHCs and Mutual 

BHCs that issue SBLF Subordinated 

Securities to the Treasury to exclude the 

securities from the definition of debt 

under the Policy Statement are due by 

July 30, 2011. 

FOR FURTHER INFORMATION CONTACT: 

Anna Lee Hewko, (202) 530–6260, 

Assistant Director, Capital and 

Regulatory Policy, or Brendan G. Burke, 

(202) Senior Supervisory Financial 

Analyst, Division of Banking 

Supervision and Regulation; April C. 

Snyder, Counsel, (202) 452–3099, or 

Benjamin W. McDonough, Counsel, 

(202) 452–2036, Legal Division; Board of 

Governors of the Federal Reserve 

System, 20th Street and Constitution 

Ave., NW., Washington, DC 20551. For 

the hearing impaired only, 

Telecommunication Device for the Deaf 

(TDD), (202) 263–4869. 

SUPPLEMENTARY INFORMATION: 

Background 

On June 1, 2009, the Board issued an 

interim final rule (CPP interim rule) (74 

FR 26077) to allow bank holding 

companies that have made a valid 

election to be taxed under Subchapter S 

of Chapter 1 of the U.S. Internal 

Revenue Code (S-Corp BHCs) and bank 

holding companies organized in mutual 

form (Mutual BHCs) to include the full 

amount of any subordinated debt 

securities issued to the Treasury under 

the capital purchase program (CPP 

Subordinated Securities) established by 

Treasury under the Economic 

Stabilization Act of 2008 (EESA) 1 in tier 

1 capital for purposes of the Board’s 

risk-based and leverage capital 

guidelines for bank holding companies 

(Capital Guidelines),2 provided that the 

Subordinated Securities would count 

toward the limit on the amount of other 

restricted core capital elements 

includable in tier 1 capital. The CPP 

interim rule also permitted bank 

holding companies that are subject to 

the Board’s Small Bank Holding 

Company Policy Statement (Policy 

Statement) 3 and that are S-Corps or 

Mutual BHCs, to exclude the CPP 

Subordinated Securities from treatment 

as debt for purposes of the debt-toequity standard under the Policy 

Statement. 

The Board is now adopting the CPP 

interim final rule as a final rule in 

substantially the same form, as 

discussed below. In addition, for the 

reasons explained below, the Board is 

adopting as an interim final rule a 

provision that would allow bank 

holding companies that are subject to 

the Board’s Policy Statement and that 

are S-Corp BHCs or Mutual BHCs to 

exclude subordinated debt securities 

issued to the Treasury through the 

Small Business Lending Fund 

established under the Small Business 

Jobs Act of 2010 (SBLF Subordinated 

Securities) from debt for purposes of the 

debt-to-equity standard under the Policy 

Statement. 

Capital Guidelines 

Under the Troubled Asset Relief 

Program (TARP) established in the 

Emergency Economic Stabilization Act 

of 2008 (EESA), Division A of Pub. L. 

No. 110–343, 122 Stat. 3765 (2008), 

Treasury provided capital to eligible 

banks, bank holding companies and 

savings associations (collectively, 

banking organizations), as well as 

certain other financial institutions 

(CPP).4 S-Corp BHCs generally could 

not participate in the CPP through the 

issuance of Senior Perpetual Preferred 

Stock because, under the Internal 

Revenue Code, S-Corp BHCs may not 

issue more than one class of equity 

security. Bank holding companies 

organized in mutual form also cannot 

issue Senior Perpetual Preferred Stock 


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