20 Federal Register / Vol. 79, No. 1 / Thursday, January 2, 2014 / Rules and Regulations 

■ a. Revising the fourth and sixth 

sentences of paragraph 2.e., ‘‘Civil 

Penalty,’’ in section VIII entitled 

‘‘Enforcement Actions’’; and 

■ b. Revising the last sentence of 

paragraph 3.d., ‘‘Adjustment Factors,’’ 

in section VIII entitled ‘‘Enforcement 

Actions’’. 

The revisions read as follows: 

Appendix A to Part 824—General 

Statement of Enforcement Policy 

* * * * * 

VIII. Enforcement Actions 

* * * * * 

2. Civil Penalty 

* * * * * 

e. * * * In no instance will a civil penalty 

for any one violation exceed the $120,000 

statutory limit per violation. * * * Thus, the 

per violation cap will not shield a DOE 

contractor that is or should have been aware 

of an ongoing violation and has not reported 

it to DOE and taken corrective action despite 

an opportunity to do so from liability 

significantly exceeding $120,000. * * * 

* * * * * 

3. Adjustment Factors 

* * * * * 

d. * * * Based on the degree of such 

factors, DOE may escalate the amount of civil 

penalties up to the statutory maximum of 

$120,000 per violation per day for continuing 

violations. 

* * * * * 

PART 851—WORKER SAFETY AND 

HEALTH PROGRAM 

■ 16. The authority citation for part 851 

continues to read as follows: 

Authority: 42 U.S.C. 2201(i)(3), (p); 42 

U.S.C. 2282c; 42 U.S.C. 5801 et seq.; 42 

U.S.C. 7101 et seq.; 50 U.S.C. 2401 et seq. 

■ 17. Section 851.5 is amended by 

revising the first sentence of paragraph 

(a) to read as follows: 

§ 851.5 Enforcement. 

(a) A contractor that is indemnified 

under section 170d. of the AEA (or any 

subcontractor or supplier thereto) and 

that violates (or whose employee 

violates) any requirement of this part 

shall be subject to a civil penalty of up 

to $80,000 for each such violation. 

* * * 

* * * * * 

■ 18. Appendix B to part 851 is 

amended by: 

■ a. Revising the last sentences of 

paragraphs (b)(1) and (b)(2) in section 

VI; 

■ b. Revising paragraph 1.(e)(1) in 

section IX ; and 

■ c. Revising the fourth sentence in 

paragraph 2.(f) in section IX. 

The revisions read as follows: 

Appendix B to Part 851—General 

Statement of Enforcement Policy 

* * * * * 

VI. Severity of Violations 

(b) * * * 

(1) * * * A Severity Level I violation 

would be subject to a base civil penalty of up 

to 100% of the maximum base civil penalty 

of $80,000. 

(2) * * * A Severity Level II violation 

would be subject to a base civil penalty up 

to 50% of the maximum base civil penalty 

($40,000). 

* * * * * 

IX. Enforcement Actions 

* * * * * 

1. Notice of Violation 

* * * * * 

(e) * * * 

(1) DOE may assess civil penalties of up to 

$80,000 per violation per day on contractors 

(and their subcontractors and suppliers) that 

are indemnified by the Price-Anderson Act, 

42 U.S.C. 2210(d). See 10 CFR 851.5(a). 

* * * * * 

2. Civil Penalty 

* * * * * 

(f) * * * In no instance will a civil penalty 

for any one violation exceed the statutory 

limit of $80,000 per day. * * * 

* * * * * 

PART 1013—PROGRAM FRAUD CIVIL 

REMEDIES AND PROCEDURES 

■ 19. The authority citation for part 

1013 continues to reads as follows: 

Authority: 31 U.S.C. 3801–3812; 28 U.S.C. 

2461 note. 

■ 20. Section 1013.3 is amended by 

revising paragraphs (a)(1)(iv) and 

(b)(1)(ii) to read as follows: 

§ 1013.3 Basis for civil penalties and 

assessments. 

(a) * * * 

(1) * * * 

(iv) Is for payment for the provision 

of property or services which the person 

has not provided as claimed, shall be 

subject, in addition to any other remedy 

that may be prescribed by law, to a civil 

penalty of not more than $9,000 for each 

such claim. 

* * * * * 

(b) * * * 

(1) * * * 

(ii) Contains or is accompanied by an 

express certification or affirmation of 

the truthfulness and accuracy of the 

contents of the statement, shall be 

subject, in addition to any other remedy 

that may be prescribed by law, to a civil 

penalty of not more than $9,000 for each 

such statement. 

* * * * * 

PART 1017—IDENTIFICATION AND 

PROTECTION OF UNCLASSIFIED 

CONTROLLED NUCLEAR 

INFORMATION 

■ 21. The authority citation for part 

1017 continues to read as follows: 

Authority: 42 U.S.C. 7101 et seq.; 50 U.S.C. 

2401 et seq.; 42 U.S.C. 2168; 28 U.S.C. 2461. 

■ 22. Section 1017.29 is amended by 

revising paragraph (c) to read as follows: 

§ 1017.29 Civil penalty. 

* * * * * 

(c) Amount of penalty. The Director 

may propose imposition of a civil 

penalty for violation of a requirement of 

a regulation under paragraph (a) of this 

section or a compliance order issued 

under paragraph (b) of this section, not 

to exceed $160,000 for each violation. 

* * * * * 

PART 1050—FOREIGN GIFTS AND 

DECORATIONS 

■ 23. The authority citation for part 

1050 continues to read as follows: 

Authority: The Constitution of the United 

States, Article I, Section 9; 5 U.S.C. 7342; 22 

U.S.C. 2694; 42 U.S.C. 7254 and 7262; 28 

U.S.C. 2461 note. 

■ 24. Section 1050.303 is amended by 

revising the last sentence in paragraph 

(d) to read as follows: 

§ 1050.303 Enforcement. 

* * * * * 

(d) * * * The court in which such 

action is brought may assess a civil 

penalty against such employee in any 

amount not to exceed the retail value of 

the gift improperly solicited or received 

plus $9,000. 

[FR Doc. 2013–31326 Filed 12–31–13; 8:45 am] 

BILLING CODE 6450–01–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Parts 61 and 141 

[Docket No.: FAA–2013–0809] 

Notice of Policy Change for the Use of 

FAA Approved Training Devices 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Policy statement. 

SUMMARY: The notification provides 

information and guidance concerning 

the use of FAA approved ground 

trainers, Personal Computer Aviation 

Training Device’s (PCATD), Flight 

Training Devices (FTD) level 1–3, and 

Aviation Training Devices (ATD). 

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Federal Register / Vol. 79, No. 1 / Thursday, January 2, 2014 / Rules and Regulations 21 

1Some of these devices at one time were 

approved for practical tests for pilot certification 

and ratings. However, because these trainers are not 

tested to the levels of fidelity required for FFSs and 

FTDs, they are no longer listed in the PTS for use 

during testing. Specifically, level 1–3 flight training 

devices have been removed from the task table in 

each PTS. 

2The FAA is granting an exemption from 

§ 61.65(i) for pilots applying for an instrument 

rating who have received training from a training 

provider who operates an ATD under the reduced 

training hours. The FAA is also granting an 

exemption to training providers from appendix C to 

part 141 to permit them to continue to train during 

the transition period under training programs with 

more than 10% of the training time in ATDs. 

3The FAA expects that most requests for 

approval will come from the ATD manufacturer. 

However, the FAA understands that in some cases 

the manufacturer may no longer exist or may not 

wish to seek approval for a particular device. As 

such, the FAA will accept approval requests from 

individual ATD owners. An ATD owner can be 

considered synonymous with a manufacturer for 

the purpose of submitting and receiving device 

approvals as described in this notice. 

DATES: Effective Date: The policy 

described herein is effective February 3, 

2014. 

FOR FURTHER INFORMATION CONTACT: For 

technical questions concerning this 

policy notice, contact AFS–810, Airmen 

Certification and Training Branch, 800 

Independence Ave. SW., Washington, 

DC 20591 202–385–9600 

SUPPLEMENTARY INFORMATION: 

Background 

Since the 1970s, the FAA has 

gradually expanded the use of flight 

simulation for training—first permitting 

simulation to be used in air carrier 

training programs and eventually 

permitting pilots to credit time in 

devices toward the aeronautical 

experience requirements for 

certification and recency. Currently, 

Title 14 of the Code of Federal 

Regulations (14 CFR) part 60 governs 

the qualification of full flight simulators 

and flight training devices (levels 4 

through 7). The FAA has, however, 

approved other devices for use in 

certification training under the authority 

provided in 14 CFR 61.4(c). 

For over 30 years, the FAA has issued 

Letters of Authorization (LOAs) to 

manufacturers of ground trainers, 

personal computer-based aviation 

training devices (PCATD), FTDs (levels 

1 through 3), basic aviation training 

devices (BATD), and advanced aviation 

training devices (AATD). These LOAs 

were based on guidance provided in 

advisory circulars that set forth the 

qualifications and capabilities for the 

devices. Prior to 2008, most LOAs were 

issued under the guidance provided in 

advisory circular AC 61–126, 

Qualification and Approval of Personal 

Computer-Based Aviation Training 

Devices, and AC 120–45, Airplane 

Flight Training Device Qualification. 

Since July 2008, the FAA has been 

approving devices in accordance with 

Advisory Circular 61–136, FAA 

Approval of Basic Aviation Training 

Devices (BATD) and Advanced Aviation 

Training Devices (AATD). 

Generally, the LOAs that have been 

issued list the approved uses for the 

devices with specific regulatory 

references. Several of these regulations 

have changed over the years, and some 

approved uses are no longer 

permissible.1 In addition, the majority 

of these LOAs were issued to 

manufacturers without a specific 

expiration date. The LOAs simply 

placed obligations on the manufacturer 

and the eventual operator of the device 

to ensure that the device was properly 

maintained and that annual reports 

were submitted to the FAA regarding 

the status and continued use of the 

device. It is unclear the extent that these 

reporting requirements have been 

satisfied. Moreover, devices approved 

prior to July 2008 have not been 

assessed under the most current 

guidance provided in AC 61–136. 

In 2009, the FAA issued a final rule 

that placed express limits on the 

amount of instrument training in an 

ATD that could be credited toward the 

aeronautical experience requirements 

for an instrument rating. 74 FR 42500 

(Aug. 21, 2009). Under § 61.65(i), no 

more than 10 hours of instrument time 

received in an ATD may be credited 

toward instrument time requirements of 

that section. Likewise, appendix C to 

part 141 states that credit for instrument 

training in an ATD cannot exceed 10% 

of the total flight training hour 

requirements of an approved course. 

The FAA has determined that it may 

not use LOAs as a means to exceed 

express limits that have been placed in 

the regulations through notice and 

comment rulemaking. As such, any 

LOAs for new devices that the FAA has 

issued since August 2013 reflect current 

regulatory requirements. Because, 

however, manufacturers and operators 

who hold LOAs issued prior to August 

2013, have acted in reliance on FAA 

statements that were inconsistent with 

the regulations, the FAA is granting a 

limited exemption from the requirement 

in the regulations to provide 

manufacturers, operators, and pilots 

currently training for an instrument 

rating time to adjust to the reduction in 

hours. This short-term exemption will 

provide an interim period to transition 

the LOAs for currently approved 

devices in accordance with this policy.2

This exemption is in the public interest 

because it will prevent undue harm 

caused by reasonable reliance on FAA 

statements. 

In addition, the FAA notes that, 

notwithstanding any statements in 

existing LOAs, only FFS and FTDs 

levels 4–7 approved under part 60 may 

be used during a practical test as noted 

in the appropriate Practical Test 

Standards (PTS) for the certificate or 

rating sought. The current PTSs reflect 

that no portion of a practical test may 

be conducted in an ATD. 

Policy 

Due to regulatory changes, new 

standards for qualifying aviation 

training devices, and ongoing 

improvements in technology, the FAA 

has determined that it is necessary to 

ensure all approved devices meet 

current standards contained in AC 61– 

136 (issued in July 2008) and are 

consistent with existing regulations. As 

such, all manufacturers of devices 3

(including ground trainers, PCATD, FTD 

level 1–3, and ATDs) who currently 

hold an LOA (or any other official 

method of approval) must apply for a 

new LOA. By January 1, 2015, all FAA 

approved training devices must have an 

LOA that has been reissued by AFS–800 

(excluding part 60 approvals) that: (1) 

Assesses the training device under the 

standards in current AC 61–136; (2) 

contains an expiration date; and (3) 

reflects current regulatory requirements. 

The only exception to the reapplication 

requirement in this notice applies to 

new devices that received their first 

LOAs after August 23, 2013. As noted, 

these devices have been approved in 

accordance with AC 61–136, contain 

expiration dates, and reference the 

appropriate regulatory limitations. 

After January 1, 2015, all LOAs 

previously issued prior to August 23, 

2013, for training devices approved to 

meet requirements under parts 61 and 

141 will terminate. This means that 

experience obtained in these devices 

may no longer be credited toward 

aeronautical experience or currency 

requirements in parts 61 and 141. In 

order to promote standardization, LOAs 

for any training device used for 

certification and recency under parts 61 

and 141 that are not approved by the 

National Simulator Program AFS–205 

will be issued only by General Aviation 

and Commercial Division, AFS–800. 

The FAA notes that, as part of this 

process, renewed LOAs (as well as any 

LOA issued for a new device) will 

contain limitations for instrument 

training that are consistent with the 

express aeronautical experience limits 

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22 Federal Register / Vol. 79, No. 1 / Thursday, January 2, 2014 / Rules and Regulations 

4Part 141 Appendix C describes the curriculum 

requirements for an approved training course. After 

January 1, 2015, no courses approved under part 

141 appendix C rating may allow for more than 

10% of the required coursework to have been 

completed in an ATD. After January 1, 2015, no 

person may graduate from a course that allows for 

more than 10% of the required coursework to have 

been completed in an ATD. The exception is those 

courses that have been approved under § 141.55 (d) 

and (e). The FAA recognizes that some pilot schools 

will need to revise their instrument-rating training 

program to reflect the 10% crediting limitation and 

resubmit for approval. Alternatively, a pilot school 

may elect to resubmit their training course for 

approval under § 141.55 (d) and (e). 

5Since January 2012, all LOAs have been issued 

to manufacturers with a five-year expiration date. 

for an instrument rating found in § 61.65 

and appendix C to part 141. 

LOAs that are reissued in accordance 

with this notice will contain language 

noting the previously discussed 

exemption that will permit operators of 

approved devices to continue to use 

ATDs at the higher levels set forth in the 

previously approved LOAs—and pilots 

applying for an instrument rating will 

be permitted to take the practical test 

with the aeronautical experience set 

forth in the LOAs—until January 1, 

2015. After this date, no applicant for an 

instrument rating may use more than 10 

hours of instrument training in an ATD 

toward the minimum aeronautical 

experience requirements required to 

take the practical test for an instrument 

rating. In addition, no graduate of a 

training program approved under 

appendix C to part 141 may credit more 

than 10% of the required coursework in 

ATDs (unless that program has been 

approved in accordance with 

§ 141.55(d) or (e)).4 The FAA expects 

manufacturers and operators to adjust 

training in advance of this date so that 

no applicant for an instrument rating is 

ineligible. The FAA notes that the 

regulations do not place a limit on the 

amount of time that a person may train 

in an ATD. Rather, the regulations place 

a limit on the amount of time in an ATD 

that may be credited toward the 

aeronautical experience requirements 

for an instrument rating. Operators may 

continue to use these devices to 

improve pilot proficiency and reduce 

more costly time in an aircraft. 

In order for any device, regardless of 

issue date, to be used to gain the 

aeronautical experience and currency 

described in the letter of authorization, 

that device must continue to perform to 

standards required by that 

authorization. In addition, all 

conditions noted on the letter of 

authorization must continue to be valid. 

These conditions may include an 

annual periodic inspection and 

stakeholder report verifying 

performance to original standards. 

Applications for new LOAs 

As noted above, all devices that 

received initial approval before August 

23, 2013 will require a new LOA to be 

issued before January 1, 2015, in order 

to continue to be used to obtain 

aeronautical experience to meet 

requirements under parts 61 and 141. 

The FAA does not intend to reevaluate 

every individual device as is the case for 

FFSs and FTDs under part 60. Rather, 

the FAA wants to ensure that the type 

of device meets acceptable standards for 

use in crediting aeronautical experience 

and currency. The manufacturer will be 

responsible for providing a copy of the 

renewed LOA to any operator of the 

device. 

Devices that received approval between 

July 14, 2008, and August 23, 2013 

Devices that were approved between 

July 14, 2008 and August 23, 2013 have 

been assessed under the current 

standards in AC 61–136; however, these 

devices may not contain the current 

regulatory limits of § 61.65(i) or part 141 

Appendix C. Any LOA issued after July 

14, 2008, may be reissued without the 

need for additional evaluation. 

Manufacturers must, however, submit a 

letter to the General Aviation and 

Commercial Division (AFS–800), 

including a copy of the original 

authorization, requesting a revised LOA 

that will contain regulatory references 

that reflect current requirements. If the 

LOA contains an expiration date, this 

new authorization will retain the 

original expiration date.5 For LOAs 

originally issued without an expiration 

date, the new LOA will reflect a fiveyear expiration date. 

The new LOA will replace and 

supersede the previous authorization. 

However, as noted, the FAA will 

continue to accept applicants for the 

instrument rating practical test who 

need to credit more than 10 hours of 

instrument time in an ATD to meet the 

minimum aeronautical experience 

requirements until January 1, 2015. 

Devices approved prior to July 14, 2008 

All devices (including ground 

trainers, PCATD, FTD level 1–3, and 

ATDs) for which an LOA (or any other 

official method of approval) was issued 

prior to July 2008 must be reevaluated 

under the standards set forth in the 

current advisory circular. Manufacturers 

of these devices will be required to 

demonstrate that the device meets the 

current standards for ATDs set forth in 

AC 61–136. The manufacturer must 

request this evaluation by the means 

described in AC 61–136 no later than 

July 1, 2014, in order to ensure that the 

FAA has adequate time to evaluate the 

device and issue a new LOA before the 

existing LOA terminates on January 1, 

2015. The FAA cannot guarantee that 

applications for reissued LOAs that are 

received after July 1, 2014, will be 

processed prior to the termination date. 

The LOAs reissued for these devices 

will be revised to contain expiration 

dates and reflect current regulatory 

requirements and references. 

Disposition 

The FAA has initiated a revision to 

AC 61–136 and will amend obsolete 

guidance concerning the approval and 

use of PCATD’s, FTD’s (level 1–3) and 

ATDs. The FAA will insert into AC 61– 

136 all of the above policy concerning 

these training devices. Please direct any 

questions or requests concerning 

information in this notice to AFS–810, 

Airmen Certification and Training 

Branch, 800 Independence Ave. SW., 

Washington, DC 20591. 

Issued in Washington, DC, on December 

19, 2013. 

John Barbagallo, 

Acting Deputy Director, Flight Standards 

Service. 

[FR Doc. 2013–31094 Filed 12–31–13; 8:45 am] 

BILLING CODE 4910–13–P 

DEPARTMENT OF COMMERCE 

Bureau of Industry and Security 

15 CFR Parts 740, 742, 744, 770, 772 

and 774 

[Docket No. 110928603–3999–02] 

RIN 0694–AF39 

Revisions to the Export Administration 

Regulations: Military Vehicles; Vessels 

of War; Submersible Vessels, 

Oceanographic Equipment; Related 

Items; and Auxiliary and Miscellaneous 

Items That the President Determines 

No Longer Warrant Control Under the 

United States Munitions List; Final 

Rule; Correction 

AGENCY: Bureau of Industry and 

Security, Commerce. 

ACTION: Final rule; correction 

SUMMARY: The Bureau of Industry and 

Security (BIS) is correcting a final rule 

that appeared in the Federal Register of 

July 8, 2013 (78 FR 40892) (here and 

after referred to as the July 8 rule), 

which becomes effective on January 6, 

2014. The July 8 rule adds to the Export 

Administration Regulations (EAR) 

controls on military vehicles and related 

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