70464 Federal Register / Vol. 65, No. 227 / Friday, November 24, 2000 / Rules and Regulations

(ii) Upon request by the committee,

furnish reports of each shipment

pursuant to the applicable Special

Purpose Certificate.

* * * * *

Dated: November 15, 2000.

Ronald L. Cioffi,

Acting Deputy Administrator, Fruit and

Vegetable Programs.

[FR Doc. 00–29944 Filed 11–22–00; 8:45 am]

BILLING CODE 3410–02–P

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1011

[DA–01–01]

Milk in the Tennessee Valley Marketing

Area; Termination of the Order

AGENCY: Agricultural Marketing Service,

USDA.

ACTION: Final rule; termination order.

SUMMARY: This document terminates the

remaining administrative provisions of

the Tennessee Valley Federal milk

marketing order (Order 1011). All of the

monthly operating provisions of the

order were terminated as of October 1,

1997.

EFFECTIVE DATE: November 27, 2000.

FOR FURTHER INFORMATION CONTACT:

Nicholas Memoli, Marketing Specialist,

USDA/AMS/Dairy Programs, Order

Formulation Branch, Room 2971, South

Building, P.O. Box 96456, Washington,

DC 20090–6456, (202) 690–1932,

Nicholas.Memoli@usda.gov.

SUPPLEMENTARY INFORMATION: The

Department is issuing this rule in

conformance with Executive Order

12866.

This final rule has been reviewed

under Executive Order 12988, Civil

Justice Reform. This rule is not intended

to have a retroactive effect. This rule

will not preempt any state or local laws,

regulations, or policies, unless they

present an irreconcilable conflict with

this rule.

The Agricultural Marketing

Agreement Act of 1937, as amended (7

U.S.C. 601–674), provides that

administrative proceedings must be

exhausted before parties may file suit in

court. Under section 608c(15)(A) of the

Act, any handler subject to an order may

request modification or exemption from

such order by filing with the Secretary

a petition stating that the order, any

provision of the order, or any obligation

imposed in connection with the order is

not in accordance with the law. A

handler is afforded the opportunity for

a hearing on the petition. After a

hearing, the Secretary would rule on the

petition. The Act provides that the

district court of the United States in any

district in which the handler is an

inhabitant, or has its principal place of

business, has jurisdiction in equity to

review the Secretary’s ruling on the

petition, provided a bill in equity is

filed not later than 20 days after the date

of the entry of the ruling.

Small Business Consideration

In accordance with the Regulatory

Flexibility Act (5 U.S.C. 601 et seq.), the

Agricultural Marketing Service has

considered the economic impact of this

action on small entities and has certified

that this final rule will not have a

significant economic impact on a

substantial number of small entities

because the Tennessee Valley milk

order ceased operating as of October 1,

1997, and there are no handlers or dairy

farmers that will be affected by the

termination of its one remaining

administrative provision.

Preliminary Statement

This order of termination is issued

pursuant to the provisions of the

Agricultural Marketing Agreement Act,

as amended (7 U.S.C. 601–674), and of

the order regulating the handling of

milk in the Tennessee Valley marketing

area.

Notice of proposed rulemaking was

published in the Federal Register on

July 3, 1997 (62 FR 36022), concerning

a proposed termination of the order.

Interested persons were afforded

opportunity to file written data, views

and arguments thereon.

In total, 11 comments were received,

3 supporting the termination, 3 opposed

to it, and 5 taking no position on the

termination but offering comments on

questions raised by the Department in

the notice of proposed termination.

After consideration of all relevant

material, including the proposal in the

notice, the comments received, and

other available information, the

Administrator of the Agricultural

Marketing Service found and

determined that the order regulating the

handling of milk in the Tennessee

Valley marketing area (7 CFR 1011) did

not tend to effectuate the declared

policy of the Act and terminated all of

the operating provisions of the order on

September 5, 1997, effective October 1,

1997 (62 FR 47923).

Statement of Consideration

This rule terminates the last

remaining provision of the Tennessee

Valley Federal milk marketing order

effective one day after publication of

this final rule in the Federal Register.

On May 12, 1997, the Department

issued a partial final decision on

proposed amendments to the Carolina,

Southeast, Tennessee Valley, and

Louisville-Lexington-Evansville milk

orders (i.e., Orders 5, 7, 11, and 46)

which was published on May 20, 1997

(62 FR 27525). The final decision

document contained proposed amended

orders for the 4 southeast marketing

areas, including the Tennessee Valley

order, and directed the respective

market administrators of the 4 orders to

ascertain whether producers approved

the issuance of the amended orders. The

final decision concluded that amended

orders were needed to effectuate the

declared policy of the Act.

Less than two-thirds of the producers

whose milk is pooled in the Tennessee

Valley marketing area approved the

issuance of the proposed amended

order. The Act requires approval by at

least two-thirds of the producers before

an amended order may be issued.

Pursuant to the provisions of the

Agricultural Marketing Agreement Act

and of the order regulating the handling

of milk in the Tennessee Valley

marketing area, the operating provisions

of the Tennessee Valley Federal milk

order were terminated effective October

1, 1997. Notice of the termination was

published in the Federal Register on

September 12, 1997 (62 FR 47923).

Certain administrative provisions were

left intact at that time so that the market

administrator, in his capacity as the

order’s liquidating agent, could disburse

all of the money remaining in the

administrative, producer-settlement,

and marketing service funds established

under the order. These tasks having

been completed, the remaining

provisions of the order are unnecessary

and may be removed immediately.

Therefore, it is determined that the

remaining provisions of Part 1011 no

longer tend to effectuate the declared

policy of the Act and are hereby

terminated pursuant to provisions of 7

U.S.C. 608(c)(16)(A).

For the same reasons, it is hereby

found and determined, upon good

cause, that it is impracticable,

unnecessary, and contrary to the public

interest to give preliminary notice or

engage in further rulemaking prior to

putting this rule into effect and that

good cause exists for not postponing the

effective date of this rule until 30 days

after publication in the Federal

Register.

List of Subjects in 7 CFR Part 1011

Milk marketing orders.

Federal Register / Vol. 65, No. 227 / Friday, November 24, 2000 / Rules and Regulations 70465

PART 1011—MILK IN THE TENNESSEE

VALLEY MARKETING AREA

[REMOVED AND RESERVED]

For the reasons set forth in the

preamble and under the authority 7

U.S.C. 601–674, 7 CFR part 1011 is

removed and reserved.

Dated: November 15, 2000.

Richard M. McKee,

Deputy Administrator, Dairy Programs.

[FR Doc. 00–29943 Filed 11–22–00; 8:45 am]

BILLING CODE 3410–02–P

FEDERAL RESERVE SYSTEM

12 CFR Part 226

[Regulation Z; Docket No. R–1089]

Truth in Lending

AGENCY: Board of Governors of the

Federal Reserve System.

ACTION: Final rule; staff commentary.

SUMMARY: The Board is publishing a

final rule amending the staff

commentary that interprets the

requirements of Regulation Z (Truth in

Lending). The Board is required to

adjust annually the dollar amount that

triggers requirements for certain

mortgages bearing fees above a certain

amount. The Home Ownership and

Equity Protection Act of 1994 (HOEPA)

sets forth rules for home-secured loans

in which the total points and fees

payable by the consumer at or before

loan consummation exceed the greater

of $400 or 8 percent of the total loan

amount. In keeping with the statute, the

Board has annually adjusted the $400

amount based on the annual percentage

change reflected in the Consumer Price

Index that is in effect on June 1. The

adjusted dollar amount for 2001 is $465.

EFFECTIVE DATE: January 1, 2001.

FOR FURTHER INFORMATION CONTACT:

Minh-Duc T. Le, Staff Attorney,

Division of Consumer and Community

Affairs, Board of Governors of the

Federal Reserve System, at (202) 452–

3667. For the users of

Telecommunications Device for the Deaf

only, please contact Janice Simms at

(202) 872–4984.

SUPPLEMENTARY INFORMATION:

I. Background

The Truth in Lending Act (TILA; 15

U.S.C. 1601–1666j) requires creditors to

disclose credit terms and the cost of

consumer credit as an annual

percentage rate. The act requires

additional disclosures for loans secured

by a consumer’s home, and permits

consumers to cancel certain transactions

that involve their principal dwelling.

TILA is implemented by the Board’s

Regulation Z (12 CFR part 226). The

Board’s official staff commentary (12

CFR part 226 (Supp. I)) interprets the

regulation, and provides guidance to

creditors in applying the regulation to

specific transactions.

In 1995, the Board published

amendments to Regulation Z

implementing HOEPA, contained in the

Riegle Community Development and

Regulatory Improvement Act of 1994,

Public Law 103–325, 108 Stat. 2160 (60

FR 15463). These amendments are

contained in § 226.32 of the regulation

and impose substantive limitations and

additional disclosure requirements on

certain closed-end mortgage loans

bearing rates or fees above a certain

percentage or amount. As enacted, the

statute requires creditors to comply with

the HOEPA rules if the total points and

fees payable by the consumer at or

before loan consummation exceed the

greater of $400 or 8 percent of the total

loan amount. TILA and Regulation Z

provide that the $400 figure shall be

adjusted annually on January 1 by the

annual percentage change in the

Consumer Price Index (CPI) that was

reported on the preceding June 1. (15

U.S.C. 1602(aa)(3) and 12 CFR

226.32(a)(1)(ii)). The Board adjusted the

$400 amount to $451 for the year 2000.

The Bureau of Labor Statistics

publishes consumer-based indices

monthly, but does not ‘‘report’’ a CPI

change on June 1; adjustments are

reported in the middle of each month.

The board uses the CPI–U index, which

is based on all urban consumers and

represents approximately 80 percent of

the U.S. population, as the index for

adjusting the $400 figure. The

adjustment to the CPI–U index reported

by the Bureau of Labor Statistics on May

15, 2000, was the CPI–U index ‘‘in

effect’’ on June 1, and reflects the

percentage increase from April 1999 to

April 2000. The adjustment to the $400

figure below reflects a 3.1 percent

increase in the CPI–U index for this

period and is rounded to whole dollars

for ease of compliance.

II. Adjustment and Commentary

Revision

For the reasons set forth in the

preamble, for purposes of determining

whether a mortgage transaction is

covered by 12 CFR 226.32 (based on the

total points and fees payable by the

consumer at or before loan

consummation), a loan is covered if the

points and fees exceed the greater of

$465 or 8 percent of the total loan

amount, effective January 1, 2001.

Comment 32(a)(1)(ii)–2, which lists the

adjustments for each year, is amended

to reflect the dollar adjustment for 2001.

Because the timing and method of the

adjustment is set by statute, the Board

finds that notice and public comment

on the change are unnecessary.

III. Regulatory Flexibility Analysis

The Board certifies that this

amendment will not have a substantial

effect on the regulated entities because

the only change is to raise the

exemption level for transactions

requiring HOEPA disclosures.

List of Subjects in 12 CFR Part 226

Advertising, Federal Reserve System,

Mortgages, Reporting and recordkeeping

requirements, Truth in lending.

For the reasons set forth in the

preamble, the Board amends Regulation

Z, 12 CFR part 226, as set forth below:

PART 226—TRUTH IN LENDING

(REGULATION Z)

1. The authority citation for part 226

would continue to read as follows:

Authority: 12 U.S.C. 3806; 15 U.S.C. 1604

and 1637(c)(5).

2. In Supplement I to Part 226, under

Section 226.32—Requirements for

Certain Closed-End Home Mortgages,

under paragraph 32(a)(1)(ii), paragraph

2.vi. is added.

Supplement I to Part 226—Official Staff

Interpretations

* * * * *

Subpart E—Special Rules for Certain

Home Mortgage Transactions

* * * * *

§ 226.32—Requirements for Certain ClosedEnd Home Mortgages

32(a) Coverage.

* * * * *

Paragraph 32(a)(1)(ii).

* * * * *

2. Annual adjustment of $400 amount.

* * * * *

vi. For 2001, $465, reflecting a 3.1 percent

increase in the CPI–U from June 1999 to June

2000, rounded to the nearest whole dollar.

* * * * *

By order of the Board of Governors of the

Federal Reserve System, acting through the

Director of the Division of Consumer and

Community Affairs under delegated

authority, November 20, 2000.

Jennifer J. Johnson,

Secretary of the Board.

[FR Doc. 00–30044 Filed 11–22–00; 8:45 am]

BILLING CODE 6210–01–P