15602 Federal Register / Vol. 62, No. 63 / Wednesday, April 2, 1997 / Rules and Regulations

carefully reviewed by SBA personnel.

SBA has ensured that language adequate

to protect its interest has been built into

the documentation for all of these

transactions and that the transactions

themselves do not add undue risk to the

program. It will employ similar

procedures in reviewing any

transactions taking place during the

pendency of the interim rule.

While interested in receiving

extensive comments on its proposed

rule, SBA still believes that it sets out

a reasonable approach to approving

sales of the unguaranteed portions of

SBA loans. Accordingly, subject to

compliance with all other aspects of the

interim rule, SBA expects to give

favorable review to any interim period

transaction which complies with the

retainage requirements described in the

notice of proposed rulemaking. If it is

presented with a transaction which is

not structured in a manner consistent

with such retainage requirements, SBA

will need to assure itself as to safety and

soundness considerations and

compliance with the interim rule before

giving its approval.

As expressed in both the advance

notice and the notice of proposed

rulemaking, SBA is concerned that there

are multiple issues which need to be

fully explored before this extremely

complex matter is finally resolved. It is

SBA’s expectation that the public will

comment on the substance of both the

advance notice and the proposed rule

during the pendency of this interim

final rule, and that such comment will

serve as the basis for a new final rule to

be published shortly after the extended

comment period closes.

Compliance With Executive Orders

12612, 12778, and 12866, the Regulatory

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

and the Paperwork Reduction Act (44

U.S.C. Ch. 35).

SBA certifies that this interim final

rule does not constitute a significant

rule within the meaning of Executive

Order 12866 and will not have a

significant economic impact on a

substantial number of small entities

within the meaning of the Regulatory

Flexibility Act, 5 U.S.C. 601 et seq. It

believes this rule is not likely to have an

annual economic effect of $100 million

or more, but requests comment from the

public on its perception of the costs and

benefits associated with this rule to

enable it to decide whether to prepare

a cost benefit analysis in conjunction

with the final rule. SBA believes that

the rule will not result in a major

increase in costs or prices, or have a

significant adverse effect on competition

or the United States economy.

The rule is consistent with the

mandate of section 103(e) of Public Law

104–208 that it set forth terms and

conditions under which sales for the

purpose of securitization can be

permitted, including the maintenance of

appropriate reserve requirements and

other safeguards to protect the safety

and soundness of the program. SBA

believes that the reserve requirements

and other safeguards built into the rule

satisfy this concern. For the reasons set

forth above, SBA believes that the rule

will help SBA lenders support an

increased volume of SBA lending.

Finally, the rule has no negative impact

on State, local, or tribal governments.

For purposes of the Paperwork

Reduction Act, 44 U.S.C. Ch. 35, SBA

certifies that this final rule contains no

new reporting or record keeping

requirements.

For purposes of Executive Order

12612, SBA certifies that this rule has

no federalism implications warranting

the preparation of a Federalism

Assessment.

For purposes of Executive Order

12778, SBA certifies that this rule is

drafted, to the extent practicable, in

accordance with the standards set forth

in Section 2 of that Order.

List of Subjects in 13 CFR Part 120

Business loans.

For the reasons set forth above, SBA

amends Part 120 of Title 13, Code of

Federal Regulations, as follows:

PART 120—BUSINESS LOANS

1. The authority citation for part 120

continues to read as follows:

Authority: 15 U.S.C. 634(b)(6) and 636 (a)

and (h).

2. Section 120.420 is revised to read

as follows:

§ 120.420 Financings by participating

lenders.

(a) A Lender may pledge the notes

evidencing SBA guaranteed loans or sell

the unguaranteed portions of such loans

if SBA, notwithstanding the provisions

of Sec. 120.453(c), in its sole discretion,

gives its prior written consent. The

Lender must be secure financially and

have a history of compliance with SBA’s

regulations and any other applicable

state or Federal statutory and regulatory

requirements.

(b) The Lender, SBA, and any third

party involved in the transaction, as

determined by SBA in its sole

discretion, must enter into a written

agreement satisfactory to SBA

acknowledging SBA’s interest as

guarantor of the subject loans and

accepting that all relevant third parties

agree to recognize and uphold those

interests under the Act, this part, and

the contractual provisions of SBA’s

Loan Guarantee Agreement. In any such

agreement, the parties must agree to the

following conditions:

(1) The Lender, SBA, or third party

custodian agreeable to SBA, will hold all

pertinent Loan Instruments, and the Lender

will continue to service the loans after the

pledge or transfer is made; and

(2) The Lender must retain an economic

risk in and bear the ultimate risk of loss on

the unguaranteed portions. This must be

demonstrated to SBA’s satisfaction by

establishing a sufficient reserve fund at the

time of sale of the unguaranteed portions

and, in the case of pledging notes, by

retaining all of the economic interest in the

unguaranteed portion of any loan which a

note evidences.

(c) The Lender may not use SBA

guaranteed loans or the collateral

supporting such loans as collateral for

any borrowing not related to financing

of the guaranteed or unguaranteed

portion of SBA loans.

Dated: March 26, 1997.

Ginger Ehn Lew,

Acting Administrator.

[FR Doc. 97–8416 Filed 4–1–97; 8:45 am]

BILLING CODE 8025–01–P

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 71

[Airspace Docket No. 96–ANM–027]

Amendment of Class E Airspace;

Montrose, Colorado

AGENCY: Federal Aviation

Administration (FAA), DOT.

ACTION: Final rule.

SUMMARY: This action amends the

Montrose, Colorado, Class E airspace to

accommodate a new Global Positioning

System (GPS) Standard Instrument

Approach Procedure (SIAP) to the

Montrose Regional Airport.

EFFECTIVE DATE: 0901 UTC, July 17,

1997.

FOR FURTHER INFORMATION CONTACT:

Ted Melland, Operations Branch, ANM–

532.1, Federal Aviation Administration,

Docket No. 96–ANM–027, 1601 Lind

Avenue SW., Renton, Washington

98055–4056; telephone number: (206)

227–2535.

SUPPLEMENTARY INFORMATION:

History

On January 29, 1997, the FAA

proposed to amend part 71 of the
Federal Register / Vol. 62, No. 63 / Wednesday, April 2, 1997 / Rules and Regulations 15603

Federal Aviation Regulations (14 CFR

part 71) to amend Class E airspace at

Montrose, Colorado, to accommodate a

new GPS SIAP to the Montrose Regional

Airport (62 FR 4220).

Interested parties were invited to

participate in the rulemaking

proceeding by submitting written

comments on the proposal. No

comments were received.

The coordinates for this airspace

docket are based on North American

Datum 83. Class E airspace areas

extending upward from the surface, and

from 700 feet or more above the surface

of the earth, are published in paragraph

6002 and paragraph 6005, respectively,

of FAA Order 7400.9D dated September

4, 1996, and effective September 16,

1996, which is incorporated by

reference in 14 CFR 71.1. The Class E

airspace listed in this document will be

published subsequently in the Order.

The Rule

This amendment to part 71 of Federal

Aviation Regulations amends Class E

airspace at Montrose, Colorado. The

FAA has determined that this regulation

only involves an established body of

technical regulations for which frequent

and routine amendments are necessary

to keep them operationally current. It,

therefore, (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) does not warrant

preparation of a regulatory evaluation as

the anticipated impact is so minimal.

Since this is a routine matter that will

only affect air traffic procedures and air

navigation, it is certified that this rule

will not have a significant economic

impact on a substantial number of small

entities under the criteria of the

Regulatory Flexibility Act.

List of Subjects in 14 CFR Part 71

Airspace, Incorporation by reference,

Navigation (air).

Adoption of the Amendment

In consideration of the foregoing, the

FAA amends 14 CFR part 71 as follows:

PART 71—[AMENDED]

1. The authority citation for 14 CFR

part 71 continues to read as follows:

Authority: 49 U.S.C. 106(g), 40103, 40113,

40120; E.O. 10854, 24 FR 9565, 3 CFR, 1959–

1963 Comp., p. 389; 14 CFR 11.69.

§ 71.1 [Amended]

2. The incorporation by reference in

14 CFR 71.1 of the Federal Aviation

Administration Order 7400.9D, Airspace

Designations and Reporting Points,

dated September 4, 1996, and effective

September 16, 1996, is amended as

follows:

Paragraph 6002 Class E Airspace Areas

Designated as a Surface Area for an Airport

* * * * *

ANM CO E2 Montrose, CO [Revised]

Montrose Regional Airport, CO

(Lat. 38°30′32′′ N, long. 107°53′38′′ W)

Montrose VOR/DME

(Lat. 38°30′23′′ N, long. 107°53′58′′ W)

That airspace extending upward from the

surface within a 4.8-mile radius of the

Montrose Regional Airport, and within 3.5

miles each side of the Montrose VOR/DME

313° radial extending from the 4.8-mile

radius to 12.2 miles northwest of the VOR/

DME, and within 2.5 miles each side of the

Montrose VOR/DME 360° radial extending

from the 4.8-mile radius to 8.5 miles north

of the VOR/DME. This Class E airspace area

is effective during the specific dates and

times established in advance by a Notice to

Airmen. The effective date and time will

thereafter be continuously published in the

Airport/Facility Directory.

* * * * *

Paragraph 6005 Class E Airspace Areas

Extending Upward From 700 Feet or More

Above the Surface of the Earth

* * * * *

ANM CO E5 Montrose, CO [Revised]

Montrose Regional Airport, CO

(Lat. 38°30′32′′ N, long. 107°53′38′′ W)

Montrose VOR/DME

(Lat. 38°30′23′′ N, long. 107°53′58′′ W)

That airspace extending upward from 700

feet above the surface within 4.3 miles

northeast and 8.3 miles southwest of the

Montrose VOR/DME 313° and 133° radials

extending from 6.1 miles southeast to 21.4

miles northwest of the VOR/DME, and within

4 miles each side of the Montrose VOR/DME

360° radial extending to 9.5 miles north of

the VOR/DME; and that airspace extending

upward from 1,200 feet above the surface

within an area bounded by a point beginning

at lat. 38°40′00′′ N, long. 108°46′00′′ W; to lat.

38°25′00′′ N, long. 108°42′30′′ W; to lat.

37°58′00′′ N, long. 108°10′00′′ W; to lat.

38°09′00′′ N, long. 107°35′00′′ W; to lat.

38°43′00′′ N, long. 107°39′30′′ W; to lat.

38°51′30′′ N, long. 107°41′00′′ W; to lat.

38°50′00′′ N, long. 107°53′00′′ W; to lat.

38°53′00′′ N, long. 108°03′30′′ W; thence to

the point of beginning.

* * * * *

Issued in Seattle, Washington, on March

19, 1997.

Helen Fabian Parke,

Manager, Air Traffic Division, Northwest

Mountain Region.

[FR Doc. 97–8371 Filed 4–1–97; 8:45 am]

BILLING CODE 4910–13–M

14 CFR Part 71

[Airspace Docket No. 97–AGL–11]

Modification of Class E Airspace Areas

AGENCY: Federal Aviation

Administration (FAA), DOT.

ACTION: Final rule; request for

comments.

SUMMARY: This action modifies Class E

airspace areas at Minot, ND. Presently,

these areas are designated as Class D

airspace when the associated control

tower is in operation. However,

controlled airspace to the surface is

needed when the control towers located

at these areas are closed. The intended

effect of this action is to provide

adequate Class E airspace for instrument

flight rule (IFR) operations when these

control towers are closed.

DATES: Effective date: 0901 UTC, May

22, 1997. Comment date: Comments

must be received on or before April 15,

1997.

ADDRESSES: Send comments on the rule

in triplicate to: Manager, Air Traffic

Division, Operations Branch, AGL–530,

Docket No. 97–AGL–11, Federal

Aviation Administration, 2300 East

Devon Avenue, Des Plaines, Illinois

60018.

The official docket may be examined

in the office of the Assistant Chief

Counsel, Federal Aviation

Administration, 2300 E. Devon Avenue,

Des Plaines, Illinois. An informal docket

may also be examined during normal

business hours at the address listed

above.

FOR FURTHER INFORMATION CONTACT:

John A. Clayborn, Air Traffic Division,

Operations Branch, AGL–530, Federal

Aviation Administration, 2300 East

Devon Avenue, Des Plaines, Illinois

60018, telephone (847) 294–7568.

SUPPLEMENTARY INFORMATION:

Request for Comments on the Rule

Although this action is in the form of

a final rule, and was not preceded by

notice and public procedure, comments

are invited on the rule. When the

comment period ends, the FAA will use

the comments submitted, together with

other available information, to review

the regulation. If the FAA receives no

adverse comments in response to this

action, this rule will become effective

on the date specified in the DATES

section. After the review, if the FAA

finds that further chances are

appropriate, it will initiate rulemaking

proceedings to amend the regulation.

Comments that provide the factual

basis supporting the views and

suggestions presented are particularly