16662 Federal Register / Vol. 62, No. 67 / Tuesday, April 8, 1997 / Rules and Regulations

This may also include the development

of recreational facilities and the

improvement of fish and wildlife

habitat.

(ii) The Emergency Watershed

Protection (EWP) Program, authorized

by Section 216 of the Flood Control Act

of 1950 (Pub. L. 81–516) and Section

403 of Title IV of the Agricultural Credit

Act of 1978 (Pub. L. 95–334). EWP

provides assistance to reduce hazards to

life and property in watersheds

damaged by severe natural events.

Emergency work includes establishing

quick vegetative cover on denuded land,

sloping steep land, and eroding banks;

opening dangerously restricted

channels; repairing diversions and

levees; and other emergency work.

NRCS provides technical and financial

assistance for disaster cleanup; stream

corridor, wetland, and riparian area

restoration; and urban planning and site

location assistance to the Federal

Emergency Management Agency

(FEMA) when relocating communities

out of flood plains.

(iii) The Watershed Protection and

Flood Prevention Act (Pub. L. 83–566),

also known as the Small Watersheds

Program. This program provides for

cooperation with local sponsors, State,

and other public agencies in the

installation of planned works of

improvement and land treatment

measures in approved watershed

projects. Eligible measures include flood

prevention, water conservation,

recreation, agricultural water

management, flood plain easements,

municipal and industrial water, and

rural water supply.

§ 601.2 Functions reserved to the

Secretary of Agriculture.

(a) Designation of new Resource

Conservation and Development (RC&D)

areas. Once designated, these areas may

receive RC&D Program assistance from

NRCS.

(b) Administration of the Soil and

Water Resources Conservation Act of

1977 (Pub. L. 95–192) to conduct an

appraisal and develop a national

conservation program every five years.

§ 601.3 Natural disaster assistance.

(a) To assist in emergencies caused by

natural disasters, NRCS may:

(1) Provide technical and financial

assistance under authority of Section

216 of the Flood Control Act of 1950

(Pub. L. 81–516, Stat. 184, 33 U.S.C.

701b) and Section 403 of Title IV of the

Agricultural Credit Act of 1978 (Pub. L.

95–334).

(2) Provide technical assistance for

rehabilitation of land and conservation

systems for which other U.S.

Department of Agriculture agencies

provide cost sharing.

(3) Provide technical assistance on

rehabilitation of rural lands damaged by

natural disaster.

(4) Provide assistance in evaluating

the severity of the disaster, assessing

problems created, and determining the

amount and kind of emergency work

needed for restoration.

(5) Provide available information,

maps, and reports on projects described

in Parts 621, 622, 623, and 640 of

Section 216 of the Flood Control Act of

1950.

(6) Provide assistance in locating

heavy earthmoving equipment.

(7) Make light trucks and other types

of NRCS transportation equipment

available for emergency use.

(8) Provide technical assistance in

locating alternate routes when existing

roads and highways cannot be used.

(b) In a disaster, it is the responsibility

of the state conservationist to determine

the extent of NRCS assistance. In

presidentially-declared disasters, NRCS

coordinates emergency assistance with

the Federal Emergency Management

Agency (FEMA).

§ 601.4 Defense responsibilities.

In the event of nuclear attack, NRCS

is responsible for providing:

(a) Technical guidance, based upon

results of radiological monitoring and

the extent of radiological contamination

to farmers, ranchers, and others relating

to:

(1) The selection and use of land for

agricultural production.

(2) The harvesting of crops.

(3) The use of crops stored on the

farm.

(4) The use, conservation, disposal,

and control of water to insure adequate

usable water for agricultural purposes

and to prevent floods.

(5) The safety of livestock.

(b) Basic soil information, land use

guides, and onsite technical assistance

in selecting land for production and in

applying practices to increase

production of food and fiber with

maximum efficiency.

David C. White,

Director, Conservation Communications Staff,

Natural Resources Conservation Service.

[FR Doc. 97–8943 Filed 4–7–97; 8:45 am]

BILLING CODE 3410–16–M

FEDERAL DEPOSIT INSURANCE

CORPORATION

12 CFR Part 303

RIN 3064–AC03

Applications, Requests, Submittals,

Delegations of Authority, and Notices

Required to be Filed by Statute or

Regulation

AGENCY: Federal Deposit Insurance

Corporation.

ACTION: Final rule.

SUMMARY: The Federal Deposit

Insurance Corporation (FDIC) is

amending the definition of ‘‘appropriate

FDIC regional office’’ and other related

terms contained in its applications

regulation to change the way the FDIC

designates the appropriate regional

office for purposes of filing applications,

requests, submittals, and notices. The

amendment relates to a realignment of

the FDIC’s regional office operations. As

a result, the FDIC Division of

Supervision (DOS) and the Division of

Compliance and Consumer Affairs

(DCA) will supervise groups of related

insured institutions from one FDIC

regional office. The designated regional

office for a group of institutions will,

except in rare circumstances, be the one

in which the group’s major policy and

decision makers are located. This

location will coincide with the

headquarters location of holding

companies or lead institutions in most

instances. Realigning operations in this

manner will streamline supervision

processes and simplify communication

channels.

All supervisory matters processed in

regional offices, including applications

and administrative actions, that involve

insured institutions within a group of

related institutions will be processed in

the designated FDIC regional office.

Applications will be submitted directly

to the FDIC regional office assigned

supervisory responsibility for the group.

The regulation makes no change in the

location of the appropriate region for

institutions that are not part of a group

or when a group of related institutions

are located within one region.

EFFECTIVE DATE: This rule is effective

April 8, 1997.

FOR FURTHER INFORMATION CONTACT:

Christopher J. Spoth, Examination

Specialist, Division of Supervision (202)

898–6611; David K. Mangian, Regional

Director, Division of Compliance and

Consumer Affairs (312) 382–7550; Ken

A. Quincy, Section Chief, Division of

Compliance and Consumer Affairs (202)

942–3083; or Susan van den Toorn,

Counsel, Legal Division (202) 898–8707.
Federal Register / Vol. 62, No. 67 / Tuesday, April 8, 1997 / Rules and Regulations 16663

SUPPLEMENTARY INFORMATION: The FDIC

is amending 12 CFR 303.0(b)(12)

regarding the definition of ‘‘appropriate

FDIC region’’, ‘‘appropriate FDIC

regional office’’, ‘‘appropriate regional

director’’, ‘‘appropriate deputy regional

director’’, and ‘‘appropriate regional

counsel’’ (collectively, ‘‘appropriate

region’’) to permit groups of related

insured institutions to be supervised by

a single FDIC regional office. With

regard to an insured institution or

proposed institution that is not or will

not be part of a group of related

institutions, the appropriate FDIC region

will continue to be the FDIC region in

which the institution is or will be

located.

The amendment provides that the

appropriate FDIC region for groups of

related institutions will be the regional

office in which the group’s major policy

and decision makers are located or any

other region the FDIC designates on a

case-by-case basis. In most cases

involving related institutions, the

appropriate FDIC region will be the

region in which the headquarters of a

lead institution or of a holding company

is located. All supervisory matters,

including applications and

administrative actions, that involve

insured institutions within a group of

related institutions will be processed in

the appropriate FDIC regional office.

The phrase ‘‘group of related insured

institutions’’ is used in the amended

definition because it provides necessary

flexibility to designate the appropriate

regional office for supervisory purposes.

Other more specific terms, such as

‘‘affiliates’’, or ‘‘subsidiaries of the same

bank holding company’’, or ‘‘commonly

controlled institutions’’, were

considered. However, such terms or

phrases are used in other regulations

and do not capture the array of

ownership and control relationships

which will be considered ‘‘related’’ for

purposes of establishing one FDIC

regional office as the appropriate region

for supervising a group of related

institutions. For example, the owners of

a group of institutions that are to be

supervised together may be individuals,

bank and thrift holding companies,

nonregulated parent companies, and

foreign owners, or any combination of

these elements in multiple ownership

tiers. Institutions related through

ownership by individuals or entities

other than holding companies may be

affected, even where they are not

commonly ‘‘controlled’’ for other

regulatory purposes (e.g., Regulation O

(12 CFR part 215), Change in Bank

Control Act). Similarly, the phrase

‘‘major policy and decision makers are

located’’ is used to designate the

location of the appropriate FDIC

regional office because other terms, such

as ‘‘holding company headquarters’’ or

‘‘location of the lead institution’’ may

not accurately describe the location

where a group of related institutions

locates its top managing officials.

The provision to permit the FDIC to

designate the appropriate regional office

on a case-by-case basis is necessary to

give the FDIC flexibility where using the

location of the major policy and

decision makers for determining the

appropriate region is inappropriate or

inefficient. The need for such language

is demonstrated in the case of a foreign

bank that operates several institutions in

the United States, but whose

headquarters, CEO, and major policy

and decision makers are located in a

foreign country. In such a case, the FDIC

would have the discretion to select the

most appropriate regional office to

supervise the institutions located in the

United States. Such flexibility is also

needed in the case of a multibank

holding company where major policy

and decision makers are located in

several FDIC regions. In such a case, the

most logical region from a supervisory

standpoint will be designated by DOS

and DCA.

A letter to all insured institutions will

announce the realignment of DOS and

DCA’s regional office responsibilities. A

separate explanatory letter will also be

sent to each institution that, as a result

of the realignment, will be supervised

by a newly designated FDIC regional

office. In the event an institution which

is part of a group of related institutions

inadvertently files an application with

the wrong FDIC regional office, the FDIC

will forward the document to the

appropriate regional office and notify

the institution without penalizing the

institution for a misdirected filing. Each

regional office has information available

to advise insured institutions,

applicants, the public, other regulators,

and any interested party regarding

identification of an institution’s

assigned FDIC regional office.

The purpose of the realignment of

FDIC regional office responsibilities and

the amendment is to more efficiently

supervise groups of related institutions

by assigning responsibility for the group

to one FDIC regional office based on the

location of the group’s major policy and

decision makers. The prior part 303

language defines ‘‘appropriate’’ to mean

that the FDIC supervises institutions

from the region in which the institution

is located, regardless of where the

parent company or any related

institution in a group is located or

where the group’s major policy and

decision makers are located. Over time,

with the trend toward industry

consolidation and interstate banking,

this approach has become cumbersome

for both the FDIC and for groups of

related institutions that operate, or seek

to operate, in more than one FDIC

region. In such cases, every FDIC region

in which a related institution operates is

directly involved in the group’s

business and regulatory affairs, resulting

in potential duplication of supervisory

efforts and disorder in multiple

communication channels.

The changes to part 303 are being

made to facilitate improved

communications between insured

institutions and the FDIC and to make

better use of the FDIC’s resources in

processing applications and

administrative actions for groups of

related insured institutions. The

changes do not create any insured

institution publication requirements or

impact the institution’s or other

respondent’s right to challenge any

action. The changes also do not impair

access to the Board, to the extent it

exists currently in part 303, for review

of decisions on any application or

administrative matter. The change in the

appropriate region is procedural in

nature. The designation of the FDIC

office which will exercise overall

supervision for purposes of receiving

applications and deciding certain

regulatory matters has no effect on the

standards against which the merits of an

application or administrative action are

to be measured. In addition, any change

as to the appropriate FDIC office in

which overall supervisory functions

will be assigned does not alter any of

the rights or obligations of any

institution or other respondent.

The FDIC is also eliminating the term

‘‘appropriate regional manager’’ from its

definition because the term is no longer

a designated title used by the FDIC.

Exemption From Public Notice and

Comment

The amendments are being published

in final form without opportunity for

public comment under authority of 5

U.S.C. 553(b)(A) (Administrative

Procedure Act) which exempts from

required publication for comment

interpretive rules, general statements of

policy, and rules of agency practice and

procedure. Specifically, the

amendments relate to the FDIC’s

administrative and supervisory

procedures concerning the designation

of appropriate regional offices for

purposes of filings and administrative

actions. The amendments, which

constitute nonsubstantive changes to the

FDIC’s Rules of Practice and Procedure,

are being made immediately effective
16664 Federal Register / Vol. 62, No. 67 / Tuesday, April 8, 1997 / Rules and Regulations

inasmuch as the requirement found in 5

U.S.C. 553(d) that substantive rules be

published not less than 30 days prior to

their effective date is inapplicable.

Regulatory Flexibility Act

Under section 605(b) of the

Regulatory Flexibility Act (RFA) (5

U.S.C. 605(b)), the final regulatory

flexibility analysis otherwise required

under section 604 of the RFA (5 U.S.C.

604) is not required if the head of the

agency certifies that the rule will not

have a significant economic impact on

a substantial number of small entities

and the agency publishes such

certification in the Federal Register

along with this general notice of

proposed rulemaking or at the time of

publication of the final rule.

The Board of Directors has concluded

after reviewing the final regulation that

it will not have a significant economic

impact on a substantial number of small

institutions since the only change, if

any, may be the location in which the

institution will make filings and from

which the institution will be supervised

by the FDIC. The Board of Directors

therefore hereby certifies pursuant to

section 605 of the RFA that the

regulation will not have a significant

economic impact on a substantial

number of small entities within the

meaning of the RFA.

Small Business Regulatory Enforcement

Fairness Act

The Small Business Regulatory

Enforcement Fairness Act of 1996

(SBREFA) (Public Law 104–121)

provides generally for agencies to report

rules to Congress and for Congress to

review rules. This final rule is not a rule

for purposes of SBREFA because it is a

rule of agency organization pursuant to

SBREFA, 5 U.S.C. 804(3)(c).

Paperwork Reduction Act

As these amendments neither alter

existing nor create new record keeping

or reporting requirements, the

Paperwork Reduction Act is

inapplicable.

Cost Benefit Analysis

This final rule is generally not

expected to result in material increases

in costs and burden to respondents.

Some filers, however, will be required

to file materials in a different location.

List of Subjects in 12 CFR Part 303

Administrative practice and

procedure, Authority delegations

(Government agencies), Bank deposit

insurance, Banks, Banking, Reporting

and recordkeeping requirements,

Savings associations.

For the reasons set forth in the

preamble, 12 CFR part 303 is amended

as set forth below:

PART 303—APPLICATIONS,

REQUESTS, SUBMITTALS,

DELEGATIONS OF AUTHORITY, AND

NOTICES REQUIRED TO BE FILED BY

STATUTE OR REGULATION

1. The authority citation for part 303

continues to read as follows:

Authority: 12 U.S.C. 378, 1813, 1815, 1816,

1817(j), 1818, 1819 (Seventh and Tenth),

1828, 1831e, 1831o, 1831p–1; 15 U.S.C. 1607.

2. In § 303.0, paragraph (b)(12) is

revised to read as follows:

§ 303.0 Scope and definitions.

* * * * *

(b) * * *

(12) Appropriate FDIC region,

appropriate FDIC regional office,

appropriate regional director,

appropriate deputy regional director,

and appropriate regional counsel shall

refer to the FDIC region, and the FDIC

regional office, regional director, deputy

regional director, and regional counsel,

of the FDIC region, which the FDIC

designates as follows:

(i) When an institution or proposed

institution that is the subject of an

application, request, submittal, notice,

or administrative action is not or will

not be part of a group of related

institutions, the appropriate region for

the institution and any individual

associated with the institution is the

FDIC region in which the institution or

proposed institution is or will be

located; or

(ii) When an institution or proposed

institution that is the subject of an

application, request, submittal, notice,

or administrative action is or will be

part of a group of related institutions,

the appropriate region for the institution

and any individual associated with the

institution is the FDIC region in which

the group’s major policy and decision

makers are located, or any other region

the FDIC designates on a case-by-case

basis.

* * * * *

By Order of the Board of Directors.

Dated at Washington, D.C., this 25th day of

March, 1997.

Federal Deposit Insurance Corporation

Robert E. Feldman,

Deputy Executive Secretary.

[FR Doc. 97–8827 Filed 4–7–97; 8:45 am]

BILLING CODE 6714–01–P

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. 95–NM–234–AD; Amendment

39–9986; AD 97–07–12]

RIN 2120–AA64

Airworthiness Directives; McDonnell

Douglas Model MD–11 and DC–10

Series Airplanes, and KC–10A

(Military) Airplanes

AGENCY: Federal Aviation

Administration, DOT.

ACTION: Final rule.

SUMMARY: This amendment supersedes

an existing airworthiness directive (AD)

that is applicable to certain McDonnell

Douglas Model MD–11 and DC–10

series airplanes, and KC–10A (military)

airplanes. That AD currently requires

functional testing to verify proper

installation of the electrical connectors

to the engine generator and fire bell

shutoff switches, and correction of the

installation, if necessary. This

amendment requires installation of a

modification that terminates the

requirement to perform repetitive

functional tests. This amendment is

prompted by the development of a

modification that minimizes the

possibility of improperly connecting

(crossing) the electrical connectors to

the fire extinguishing handles. The

actions specified by this amendment are

intended to prevent the wrong enginedriven generator from being shut down

unnecessarily in the event of an engine

fire warning.

DATES: Effective May 13, 1997.

The incorporation by reference of

certain publications listed in the

regulations is approved by the Director

of the Federal Register as of May 13,

1997.

ADDRESSES: The service information

referenced in this AD may be obtained

from McDonnell Douglas Corporation,

3855 Lakewood Boulevard, Long Beach,

California 90846, Attention: Technical

Publications Business Administration,

Department C1-L51 (2–60). 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 FAA,

Transport Airplane Directorate, Los

Angeles Aircraft Certification Office,

3960 Paramount Boulevard, Lakewood,

California; or at the Office of the Federal

Register, 800 North Capitol Street, NW.,

suite 700, Washington, DC.