6062 Federal Register / Vol. 65, No. 26 / Tuesday, February 8, 2000 / Proposed Rules

proceeding would have been different

had the statement or omission not

occurred; and

(5) Copies of all documents relied on

by the petitioner, or references to such

documents if they are contained in the

public files of the commission.

(c) Procedures after reopening. In the

event the Commission reopens a

determination pursuant to this section it

will:

(1) Give notice to the jurisdictional

agency and all persons who participated

before both that agency and the

Commission in the proceedings

resulting in the determination in

question;

(2) Permit the jurisdictional agency

and other persons receiving notice

pursuant to paragraph (C)(1) of this

section to submit whatever

documentary evidence such agency or

persons deem relevant; and

(3) Take such other action or hold or

cause to be held such proceedings as it

deems necessary or appropriate for a

full disclosure of the facts.

(d) Final order of Commission. Within

150 days after issuance of the notice

under paragraph (c)(1) of this section,

the Commission shall issue a final

order. If the Commission finds that the

grounds referred to in paragraph (a) of

this section exist, it will vacate the

determination.

§ 270.506 Confidentiality.

(a) Except as provided in paragraph

(b) of this section, the Commission will

accord confidential protection to, and

not disclose to the public, any

information submitted by a

jurisdictional agency under § 270.204,

if:

(1) The jurisdictional agency, on its

own motion or on request of the

applicant, afforded such information

confidential treatment before the

jurisdictional agency; and

(2) The agency order or the

applicant’s request stated grounds for

confidential treatment which fall within

one of the exemptions described in

paragraphs (1) through (9) of 5 U.S.C.

552(b).

(b) Upon receipt of a request for

disclosure of information treated as

confidential under paragraph (a), the

Commission will determine in

accordance with 5 U.S.C. 552 whether

the information is exempt. 5 U.S.C.

552(b). If it determines the information

is not exempt, the information will be

made public. If it determines the

information is exempt, the Commission

will not make it public unless it

determines that its conduct of the

proceeding to review the jurisdictional

agency determination requires making

such information available to the public

or to particular parties, subject to

conditions (including a protective order)

as the Commission may prescribe.

Before making any information public

under this paragraph, the Commission

will provide at least 5 days notice to the

person who submitted the information.

PART 375—THE COMMISSION

3. The authority citation for part 375

continues to read as follows:

Authority: 5 U.S.C. 551–557; 15 U.S.C.

717–717w, 3301–3432; 16 U.S.C. 791–825r,

2601–2645; 42 U.S.C. 7101–7352.

4. § 375.307 paragraph (p) is added to

read as follows:

§ 375.307 Delegation to the Director of the

Office of Markets, Tariffs, and Rates

* * * * *

(p) Take the following actions under

the Natural Gas Policy Act of 1978:

(1) Notify jurisdictional agencies

within 45 days after the date on which

the Commission receives notice of a

determination pursuant to § 270.502(b)

of this chapter that the notice is

incomplete under § 270.204 of this

chapter.

(2) Issue preliminary findings under

§ 270.502(a)(1) of this chapter.

PART 381—FEES

Subpart D—Fees Applicable to the

Natural Gas Policy Act of 1978

5. The authority citation for part 381

will continue to read as follows:

Authority: 15 U.S.C. 717–717W; 16 U.S.C.

791–828c, 2601–2645; 31 U.S.C. 9701; 42

U.S.C. 7101–7352; 49 U.S.C. 60502; 49 App.

U.S.C. 1–85.

6. Section 381.401 is added to read as

follows:

§ 381.401 Review of jurisdictional agency

determinations

The fee established for review of a

jurisdictional agency determination is

$115. The fee must be submitted in

accordance with subpart A of this part

and § 270.301(c) of this chapter.

Note: The following form will not appear

in the Code of Federal Regulations.

Attachment—Federal Energy

Regulatory Commission Form No. 121

Application for Well Category

Determination

1.0 API well number for this well (14 digits

maximum. If no API number assigned,

leave blank.): llll-llllllll-lllll

2.0 Section 107 determination being sought

(check one) is for gas produced from:

ll(1) coal seams;

ll(2) Devonian shale; or

ll(3) a designated tight formation.

3.0 Spud date of this well:

ll/ll/ll (month/day/year)

4.0 Recompletion commenced: ll/ll/

ll (month/day/year)

5.0 Measured depth of recompletion: from

lllll (top and base, in feet)

6.0 Applicant’s name, address and zip code:

Name* llllllllllllllll

Street* llllllllllllllll

City* lllllllllllllllll

State lllllllllllllllll

Zip Code lllllllllllllll

7.0 Name and identification number of this

well, name of reservoir into which well

has been recompleted, and location of

this well:

Well* lllllllllllllllll

Reservoir* llllllllllllll

Field* llllllllllllllll

County* lllllllllllllll

State* llllllllllllllll

8.0 If applying for determination on a

recompletion into a designated tight

formation, provide designated tight

formation’s name and corresponding

FERC Designation:

Formation* llllllllllllll

FERC lllllllllllllllll

Designation* lllllllllllll

9.0 Person responsible for this application:

Name* llllllllllllllll

Title* lllllllllllllllll

Signature lllllllllllllll

Phone No. llllllllllllll

*Signifies that line entry may contain up to

35 letters and/or numbers.

[FR Doc. 00–2367 Filed 2–7–00; 8:45 am]

BILLING CODE 6717–01–P

DEPARTMENT OF THE TREASURY

Customs Service

19 CFR Parts 12 and 113

RIN 1515–AC43

Amended Bond Procedures for

Articles Subject to Exclusion Orders

Issued by the U.S. International Trade

Commission

AGENCY: U.S. Customs Service,

Treasury.

ACTION: Notice of proposed rulemaking.

SUMMARY: This document proposes to

amend the Customs Regulations to

reflect the statutory provisions regarding

bond procedures for the entry of articles

subject to exclusion orders issued by the

U.S. International Trade Commission

(‘‘Commission’’). This document also

proposes to include the text of a new

special importation and entry bond in

the Customs Regulations. These

proposed changes reflect the terms of

section 337 of the Tariff Act of 1930, as

amended by section 321 of the Uruguay

Round Agreements Act. As amended,

Federal Register / Vol. 65, No. 26 / Tuesday, February 8, 2000 / Proposed Rules 6063

section 337 requires that the bond

prescribed by the Secretary of the

Treasury must be in an amount

determined by the Commission to be

sufficient to protect the complainant

from any injury and that if the

Commission later determines that the

respondent has violated the provisions

of section 337, the bond may be

forfeited to the complainant.

DATES: Comments must be received on

or before April 10, 2000.

ADDRESSES: Written comments

(preferably in triplicate), regarding both

the substantive aspects of this proposal

as well as the clarity of the proposed

rule and how it may be made easier to

understand, may be submitted to and

inspected at the Regulations Branch,

Office of Regulations and Rulings, U.S.

Customs Service, 1300 Pennsylvania

Avenue, NW, 3rd Floor, Washington,

DC 20229.

FOR FURTHER INFORMATION CONTACT: Glen

Vereb, Entry Procedures and Carriers

Branch, (202) 927–1327.

SUPPLEMENTARY INFORMATION:

Background

U.S. International Trade Commission

Investigations Under Section 337 of the

Tariff Act of 1930 (19 U.S.C. 1337)

Under section 337 of the Tariff Act of

1930 (19 U.S.C. 1337), the Commission

has the authority to conduct

investigations into certain alleged unfair

practices in import trade. Most

complaints filed under this provision

involve allegations of patent

infringement, trademark infringement,

or misappropriation of trade secrets.

The Commission may determine that

section 337 has been violated or, during

the course of an investigation, that there

is reason to believe that section 337 has

been violated.

Exclusion From Entry Into the U.S. of

Articles that are the Subject of an Unfair

Trade Practice Determination

If the Commission finds a violation, or

reason to believe there is a violation, of

section 337, it may direct the Secretary

of the Treasury to exclude the subject

articles from entry into the U.S.

Entry Under Bond of Excluded Articles

During the period the Commission’ s

exclusion order remains in effect, and

prior to the date that the Commission’s

determination of a violation of section

337 becomes final, articles otherwise

excluded may be entered under a single

entry bond prescribed by the Secretary

of the Treasury.

Statutory Amendments to Sections

337(e)(1) and (j)(3) Require

Amendments to the Customs

Regulations

Certain statutory changes to section

337 of the Tariff Act of 1930 were

enacted pursuant to the Uruguay Round

Agreements Act (URAA), Pub. L. 103–

465, 108 Stat. 4809 (December 8, 1994).

Paragraphs (e)(1) and (j)(3) of section

337, as respectively amended by

sections 321(a)(3) and (6) of the URAA,

provide that articles subject to a

Commission exclusion order may be

entered under bond prescribed by the

Secretary of the Treasury in an amount

determined by the Commission to be

sufficient to protect the complainant

from any injury and that if the

Commission later determines that the

respondent has violated the provisions

of section 337, the bond may be

forfeited to the complainant.

Customs has determined that the

amendments to section 337 effected by

section 321 of the URAA, as described

above, require changes to the Customs

Regulations. It is Customs view that

these amendments also warrant

inclusion of the text of a special bond

that indemnifies a complainant

pursuant to the terms of section 337, as

amended.

Present Regulatory Provisions

Section 12.39 of the Customs

Regulations (19 CFR 12.39) sets forth

provisions regarding imported articles

involving unfair methods of competition

or trade practices. Section 12.39(b)(1)

identifies the manner by which such

articles may be excluded from entry into

the United States. Section 12.39(b)(2)

provides that such excluded articles

may be entitled to entry under a single

entry bond in an amount determined by

the Commission.

Section 113.62 of the Customs

Regulations (19 CFR 113.62) sets forth

basic importation and entry bond

conditions. Section 113.62(l) identifies

the consequence of default on certain

agreements by which merchandise is

released conditionally from Customs

custody. Section 113.62(l)(1) provides,

in pertinent part, that if a principal

defaults on an agreement involving

merchandise subject to an exclusion

order of the Commission under 19

U.S.C. 1337 which has been released

before such order becomes final, the

obligors agree to pay the amount

specified in the order for failure to

redeliver such merchandise.

Explanation of Amendments

The specific regulatory amendments

proposed in this document are

explained in more detail below.

Section 12.39

As mentioned previously,

§ 12.39(b)(2) provides that during the

period the Commission’s exclusion

order remains in effect, excluded

articles may be entered under a single

entry bond in an amount determined by

the Commission. This document

proposes to amend § 12.39(b)(2) to

provide that the bond must be in an

amount determined by the Commission

to be sufficient to protect the

complainant from any injury and, if the

Commission later determines that the

respondent has violated the provisions

of section 337, the bond may be

forfeited to the complainant. These

proposed changes reflect the

amendments to sections 337(e)(1) and

(j)(3) of the Tariff Act of 1930 enacted

pursuant to sections 321(a)(3) and (6) of

the URAA. The statutory amendments

were enacted to bring Commission

practice with respect to bonding

requirements into closer conformity

with district court practice. ]

It is further proposed that

§ 12.39(b)(2) be amended by deleting

reference to Customs Form (CF) 301 and

to the bond conditions set forth in

§ 113.62. The deletion of these terms

reflects the fact that a CF 301 and

§ 113.62 pertain to basic importation

and entry bonds. The single entry bond

contemplated by § 12.39(b)(2), as

amended, is a special importation and

entry bond, not under cover of basic

importation and entry bonds because

the bond does not inure to the Treasury,

but rather to the complainant, in the

event of forfeiture.

It is proposed to add two new

paragraphs to § 12.39(b)(2) which set

forth the procedures for importing

merchandise subject to the bonding

requirements of sections 337(e)(1) and

(j)(3). The first paragraph, (b)(2)(i),

requires that a bond, in the amount

determined by the Commission and

containing the conditions identified in

the text of the newly created special

importation and entry bond, set forth in

appendix B to part 113 of this chapter,

be filed with the port director prior to

entry. Paragraph (b)(2)(ii) directs that in

the event of a forfeiture of this bond,

§ 210.50(d) of the United States

International Trade Commission

Regulations, (19 CFR 210.50(d)), will

apply.

Section 113.62

Section 113.62 is proposed to be

amended by striking that portion of the

existing introductory paragraph which

reads, ‘‘except that a bond taken in the

case of merchandise subject to an

exclusion order of the International

6064 Federal Register / Vol. 65, No. 26 / Tuesday, February 8, 2000 / Proposed Rules

Trade Commission under 19 U.S.C.

1337 shall be a single entry bond.’’

Section 113.62(l)(1) is proposed to be

amended by striking that portion of the

existing text which reads, ‘‘except that

in the case of merchandise subject to an

exclusion order of the International

Trade Commission under 19 U.S.C.

1337 which has been released before

such order becomes final, the obligors

agree to pay liquidated damages in the

amount specified in the order for failure

to redeliver such merchandise.’’

These two proposed amendments

reflect that § 113.62 is to pertain only to

basic importation and entry bonds and

that the bond taken in the case of

merchandise subject to an exclusion

order of the Commission under 19

U.S.C. 1337 will be a special entry bond.

Accordingly, all references to the bond

taken out in regard to 19 U.S.C. 1337 are

proposed to be removed from § 113.62.

Section 113.74

It is proposed to create a new

provision at § 113.74 which sets forth

that a bond to indemnify a complainant

under section 337 of the Tariff Act of

1930, as amended, is contained in

appendix B to part 113. Section 113.74

would provide that the bond must be

filed in accordance with the provisions

set forth in § 12.39(b)(2), must be a

single entry bond that contains the

conditions listed in appendix B to part

113 and, for the forfeiture or return of

the bond, the provisions of 19 CFR

210.50(d) will apply. The bond set forth

in appendix B to part 113 is, of course,

in addition to any other Customs

requirements for the importation of

merchandise subject to a section 337

exclusion order.

Appendix B to Part 113

It is proposed to add an appendix B

to part 113 which sets forth the bond

conditions for a bond to indemnify a

complainant under section 337 of the

Tariff Act of 1930, as amended. The

introductory paragraph to appendix B to

part 113 would state that the provisions

contained in §§ 12.39(b)(2) and 113.74

of the Customs Regulations and

§ 210.50(d) of the U.S. International

Trade Commission Regulations will

apply.

In consideration of the fact that the

regulatory proposals discussed above

include documentation requirements for

the entry of merchandise covered by a

Commission exclusion order, the

‘‘(a)(1)(A)’’ list set forth in the appendix

to part 163 of the Customs Regulations

(19 CFR part 163) will be modified

accordingly if these proposed regulatory

changes are adopted as a final rule.

Comments

Before adopting this proposal as a

final rule, consideration will be given to

any written comments timely submitted

to Customs. Comments submitted will

be available for public inspection in

accordance with the Freedom of

Information Act (5 U.S.C. 552), § 1.4 of

the Treasury Department Regulations

(31 CFR 1.4), and § 103.11(b) of the

Customs Regulations (19 CFR

103.11(b)), on regular business days

between the hours of 9 a.m. and 4:30

p.m. at the Regulations Branch, Office of

Regulations and Rulings, U.S. Customs

Service, 1300 Pennsylvania Avenue,

NW, 3rd Floor, Washington, DC.

Inapplicability of the Regulatory

Flexibility Act and Executive Order

12866

Because these proposed amendments

to the Customs Regulations regarding

bond procedures for articles subject to

exclusion orders issued by the

Commission merely reflect the terms of

the statute, pursuant to the provisions of

the Regulatory Flexibility Act, 5 U.S.C.

601 et seq., it is certified that, if

adopted, the proposed amendments will

not have a significant impact on a

substantial number of small entities.

Further, these proposed amendments do

not meet the criteria for a ‘‘significant

regulatory action’’ as specified in E.O.

12866.

Paperwork Reduction Act

The collection of information

contained in this notice of proposed

rulemaking has been submitted to the

Office of Management and Budget

(OMB) for review in accordance with

the Paperwork Reduction Act of 1995

(44 U.S.C. 3507). Comments on the

collection of information should be sent

to OMB, Attention: Desk Officer for the

Department of the Treasury, Office of

Information and Regulatory Affairs,

Washington, DC 20503. A copy should

also be sent to the Regulations Branch

at the address set forth above.

Comments should be submitted within

the time frame that comments are due

regarding the substance of the proposal.

Comments are invited on:

(a) Whether the collection of

information is necessary for the proper

performance of the functions of the

agency, including whether the

information will have practical utility;

(b) The accuracy of the agency’s

estimate of the information collection

burden;

(c) Ways to enhance the quality,

utility, and clarity of the information to

be collected;

(d) Ways to minimize the information

collection burden on respondents,

including through the use of automated

collection techniques or other forms of

information technology; and

(e) Estimates of capital or start up

costs and costs of operations,

maintenance, and purchase of services

to provide information.

An agency may not conduct or

sponsor, and a person is not required to

respond to, a collection of information

unless the collection of information

displays a valid control number.

The collection of information in these

proposed regulations is in appendix B to

part 113. The information requested is

necessary to enable Customs to permit

entry under a bond to indemnify a

complainant under section 337 of the

Tariff Act of 1930, as amended. The

likely respondents are individuals or

commercial organizations who seek to

import merchandise which is the

subject of a section 337 exclusion order

into the U.S.

Estimated total annual reporting and/

or recordkeeping burden: 25 hours.

Estimated average annual burden per

respondent/recordkeeper: 30 minutes.

Estimated number of respondents

and/or recordkeepers: 50.

Estimated annual frequency of

response: 2.

Part 178 of the Customs Regulations

(19 CFR part 178), which lists the

information collections contained in the

regulations and control numbers

assigned by OMB, will be amended

accordingly if this proposal is adopted.

Drafting Information

The principal author of this document

was Suzanne Karateew, Office of

Regulations and Rulings, U.S. Customs

Service. However, personnel from other

offices participated in its development.

List of Subjects

19 CFR Part 12

Bonds, Customs duties and

inspection, Entry of merchandise,

Imports, Reporting and recordkeeping

requirements, Restricted merchandise,

Unfair competition.

19 CFR Part 113

Bonds, Customs duties and

inspection, Exports, Imports, Reporting

and recordkeeping requirements, Surety

bonds.

Proposed Amendments to the

Regulations

For the reasons stated in the

preamble, parts 12 and 113 of the

Customs Regulations (19 CFR parts 12

and 113) are proposed to be amended as

follows:

Federal Register / Vol. 65, No. 26 / Tuesday, February 8, 2000 / Proposed Rules 6065

PART 12—SPECIAL CLASSES OF

MERCHANDISE

1. The general authority citation for

part 12 and the specific authority

citation for § 12.39 continue to read as

follows:

Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202

(General Note 20, Harmonized Tariff

Schedule of the United States (HTSUS)),

1624.

* * * * *

Section 12.39 is also issued under 19

U.S.C. 1337, 1623.

* * * * *

2. It is proposed to revise § 12.39(b)(2)

to read as follows:

§ 12.39 Imported articles involving unfair

methods of competition or practices.

* * * * *

(b) * * *

(2) During the period the

Commission’s exclusion order remains

in effect, excluded articles may be

entered under a single entry bond in an

amount determined by the International

Trade Commission to be sufficient to

protect the complainant from any

injury. On or after the date that the

Commission’s determination of a

violation of section 337 becomes final,

as set forth in paragraph (a) of this

section, articles covered by the

determination will be refused entry. If a

violation of section 337 is found, the

bond may be forfeited to the

complainant under terms and

conditions prescribed by the

Commission. To enter merchandise that

is the subject of a Commission exclusion

order, importers must:

(i) File with the port director prior to

entry a bond in the amount determined

by the Commission that contains the

conditions identified in the special

importation and entry bond set forth in

appendix B to part 113 of this chapter;

and

(ii) Comply with the terms set forth in

19 CFR 210.50(d) in the event of a

forfeiture of this bond.

* * * * *

PART 113—CUSTOMS BONDS

1. The general authority citation for

part 113 continues to read as follows,

and a new authority citation is added

for § 113.74:

Authority: 19 U.S.C. 66, 1623, 1624.

* * * * *

§ 113.74 also issued under 19 U.S.C. 1337.

2. In § 113.62:

a. The introductory paragraph is

proposed to be amended by removing

that portion of the text which reads,

‘‘except that a bond taken in the case of

merchandise subject to an exclusion

order of the International Trade

Commission under 19 U.S.C. 1337 shall

be a single entry bond’’.

b. Paragraph (l)(1) is proposed to be

amended by removing the words

‘‘except that in the case of merchandise

subject to an exclusion order of the

International Trade Commission under

19 U.S.C. 1337 which has been released

before such order becomes final, the

obligors agree to pay liquidated damages

in the amount specified in the order for

failure to redeliver such merchandise’’.

3. It is proposed that a new § 113.74

be added to read as follows:

§ 113.74 Bond conditions to indemnify a

complainant under section 337 of Tariff Act

of 1930, as amended.

A bond to indemnify a complainant

under section 337 of the Tariff Act of

1930, as amended, must contain the

conditions listed in appendix B to this

part. The bond must be a single entry

bond and must be filed in accordance

with the provisions set forth in 19 CFR

12.39(b)(2). For the forfeiture or return

of this bond, the provisions of 19 CFR

210.50(d) will apply.

4. It is proposed to add appendix B to

part 113 to read as follows:

Appendix B to Part 113—Bond to

Indemnify Complainant Under Section

337, Tariff Act of 1930, as Amended

This appendix contains the bond to

indemnify a complainant under section 337

of the Tariff Act of 1930, as amended. The

provisions contained in §§ 12.39(b)(2) and

113.74 of the Customs Regulations (19 CFR

Chapter I) and § 210.50(d) of the U.S.

International Trade Commission Regulations

(19 CFR Chapter II) apply.

Bond to Indemnify Complainant Under

Section 337, Tariff Act of 1930, as Amended

lll as principal and lll as surety,

are held and bound to the complainant of

unfair practices or methods of competition in

import trade in violation of section 337,

Tariff Act of 1930, as amended, in the sum

of lll dollars ($lll), for payment of

which we bind ourselves, our heirs,

executors, administrators, successors, and

assigns, jointly and severally, by these

conditions.

Pursuant to the provisions of section 337,

Tariff Act of 1930, as amended, the principal

and surety recognize that the U.S.

International Trade Commission has,

according to the conditions described in its

order, excluded from, or authorized, entry

into the United States of the following

merchandise.

lllllllllllllllllllll

The principal and surety recognize that the

Commission has excluded that merchandise

from entry until its investigation is

completed, or until its decision that there is

a violation of section 337 becomes final.

The principal and surety recognize that

certain merchandise excluded from entry by

the Commission was, or may be, offered for

entry into the United States while the

Commission’s prohibition is in effect.

The principal and surety recognize that the

principal desires to obtain a release of that

merchandise pending a final determination

of the merchandise’s admissibility into the

United States, as provided under section 337,

and, for that purpose, the principal and

surety execute this stipulation:

If it is determined, as provided in section

337 of the Tariff Act of 1930, as amended, to

exclude that merchandise from the United

States, then, on notification from the port

director of Customs, the principal is

obligated to export or destroy under Customs

supervision the merchandise released under

this stipulation within 30 days from the date

of the port director’s notification.

The principal and surety agree that if the

principal defaults on that obligation, the

principal and surety shall pay to the

complainant an amount equal to the face

value of the bond as may be demanded by

him/her under the applicable law and

regulations.

Witness our hands and seals this lll

day of lll(month), lll (year).

(seal) llllllllllllllllll

Principal

(seal) llllllllllllllllll

Surety

Raymond W. Kelly,

Commissioner of Customs.

Approved: October 21, 1999.

John P. Simpson,

Deputy Assistant Secretary of the Treasury.

[FR Doc. 00–2725 Filed 2–7–00; 8:45 am]

BILLING CODE 4820–02–P

DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 1

[REG–208280–86]

RIN 1545–AJ57

Exclusions From Gross Income of

Foreign Corporations

AGENCY: Internal Revenue Service (IRS),

Treasury.

ACTION: Notice of proposed rulemaking

and notice of public hearing.

SUMMARY: This document contains

proposed rules implementing the

portions of section 883(a) and (c) of the

Internal Revenue Code (Code) that relate

to income derived by foreign

corporations from the international

operation of a ship or ships or aircraft.

The proposed rules reflect changes

made by the Tax Reform Act of 1986

and subsequent legislative amendments.

The proposed rules provide, in general,

that a foreign corporation organized in

a qualified foreign country and engaged