22256 Federal Register / Vol. 60, No. 87 / Friday, May 5, 1995 / Rules and Regulations

certified that this rule will not have a

significant economic impact on a

substantial number of small entities.

This rule lessens the regulatory impact

of the order on dairy farmers and will

not affect milk handlers.

The Department is issuing this rule in

conformance with Executive Order

12866.

This final rule has been reviewed

under Executive Order 12778, 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

file with the Secretary a petition stating

that the order, any provisions of the

order, or any obligation imposed in

connection with the order is not in

accordance with the law and requesting

a modification of an order or to be

exempted from the order. 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.

This order of termination is issued

pursuant to the provisions of the

Agricultural Marketing Agreement Act

and of the order regulating the handling

of milk in the Eastern Ohio-Western

Pennsylvania marketing area.

Notice of proposed rulemaking was

published in the Federal Register on

March 24, 1995 (60 FR 15523)

concerning a proposed termination of

certain provisions of the order.

Interested persons were afforded an

opportunity to file written data, views

and arguments thereon. Two comments

supporting (and none opposing) the

proposed termination were received.

After consideration of all relevant

material, including the proposal in the

notice, the comments received, and

other available information, it is hereby

found and determined that the

following provisions of the order do not

tend to effectuate the declared policy of

the Act:

Sections 1036.105 through 1036.122,

the undesignated center heading

preceding them, and the reference to

these provisions in § 1036.73.

Statement of Consideration

This rule terminates the advertising

and promotion provisions of the Eastern

Ohio-Western Pennsylvania Federal

milk order. Milk Marketing Inc. (MMI),

Dairylea Cooperative Inc., and TriCounty Producers Cooperative, all

associations of dairy farmers whose

milk is pooled on the Eastern OhioWestern Pennsylvania Federal milk

order, requested termination of the

provisions.

The cooperatives stated that the

primary purpose of these provisions, at

the time of their implementation, was to

increase producer participation in the

advertising and promotion of milk and

dairy products. However, the Dairy and

Tobacco Adjustment Act of 1983

mandated that all dairy farmers

contribute to such activities through a

national program that includes all

Federal order marketing areas (7 CFR

part 1150). The cooperatives asserted

that the advertising and promotion

provisions of the order are redundant

and create unnecessary expenses in

view of the existence of qualified

regional programs that are funded under

the national advertising and promotion

program. The efficiency and

effectiveness of producer funds would

be enhanced with termination of the

Federal order advertising and promotion

provisions. Thus, the cooperatives

requested removal of the advertising

and promotion provisions to eliminate

administrative costs without affecting

the integrity of the Federal order

program or the national Dairy

Promotion Program.

Comments favoring the termination of

the provisions were received from

National Farmers Organization (NFO)

and a dairy farmer whose milk is pooled

on Order 36. NFO reiterated the

comments made by the three proponent

cooperatives. The dairy farmer’s

comments favored the proposed

termination of the provisions.

The advertising and promotion

provisions of the Eastern Ohio-Western

Pennsylvania Federal order should be

terminated. Termination of the aforesaid

sections of Order 36 would reduce

administrative costs of the Order, while

funding for dairy research and

promotion would be maintained via 7

CFR part 1150, the Dairy Promotion

Program. In addition, producers whose

milk is pooled under the order support

elimination of these provisions.

Section 608c(16)(A) of the Act

authorizing Federal milk orders

provides that any order provisions may

be terminated separately whenever the

Secretary makes a determination that

such provisions obstruct or do not tend

to effectuate the declared policy of the

Act.

Therefore, the aforesaid provisions of

the order are hereby terminated.

List of Subjects in 7 CFR Part 1036

Milk marketing orders.

For the reasons set forth in the

preamble, the following provisions in

Title 7, Part 1036, are amended as

follows:

PART 1036—MILK IN THE EASTERN

OHIO-WESTERN PENNSYLVANIA

MARKETING AREA

1. The authority citation for 7 CFR

Part 1036 continues to read as follows:

Authority: 7 U.S.C. 601–674.

§ 1036.73 [Amended]

2. In § 1036.73, paragraph (a)(2)(iii) is

amended, effective July 1, 1995, by

adding the word ‘‘and’’, and paragraph

(a)(2)(iv) is removed and reserved.

§§ 1036.105 through 1036.121 [Removed]

3. Sections 1036.105 through

1036.121 are removed, effective July 1,

1995.

§ 1036.122 [Removed]

4. Section 1036.122 and the

undesignated center heading preceding

it are removed, effective August 1, 1995.

Dated: May 1, 1995.

David R. Shipman,

Acting Deputy Assistant Secretary, Marketing

and Regulatory Programs.

[FR Doc. 95–11042 Filed 5–4–95; 8:45 am]

BILLING CODE 3410–02–P

FEDERAL RESERVE SYSTEM

12 CFR Part 265

[Docket No. R–0877]

Rules Regarding Delegation of

Authority

AGENCY: Board of Governors of the

Federal Reserve System.

ACTION: Final rule.

SUMMARY: The Board is amending its

delegation rules to allow Federal

Reserve Banks to approve certain public

welfare investments by state member

banks under the Board’s Regulation H.

This amendment should provide for

more expeditious processing of these

requests.

EFFECTIVE DATE: June 5, 1995.

FOR FURTHER INFORMATION CONTACT:

Stephanie Martin, Senior Attorney

(202–452–3198), Legal Division; Sandra
Federal Register / Vol. 60, No. 87 / Friday, May 5, 1995 / Rules and Regulations 22257

1 ‘‘Community development financial institution’’

is defined in the Community Development Banking

and Financial Institutions Act of 1994 (Title I of

Pub. L. 103–325, 108 Stat. 2160, section 103(5)).

Braunstein, Manager for Community

Affairs (202–452–3378), Division of

Consumer and Community Affairs;

Larry Cunningham, Supervisory

Financial Analyst, Division of Banking

Supervision and Regulation (202–452–

2701); for users of the

Telecommunications Device for the Deaf

(TDD) only, Dorothea Thompson (202–

452–3544); Board of Governors of the

Federal Reserve System, Washington,

DC 20551.

SUPPLEMENTARY INFORMATION: Section

9(23) of the Federal Reserve Act (12

U.S.C. 338a) allows state member banks,

under certain conditions, to make

investments designed primarily to

promote the public welfare. Section

9(23) provides that public welfare

investments must not violate state law

or expose the bank to unlimited

liability. Section 9(23) limits the

aggregate of the bank’s public welfare

investments to 5 percent of the bank’s

capital stock and surplus, but allows the

Board to increase this limit to as much

as 10 percent on a case-by-case basis.

The Board’s Regulation H (12 CFR

208.21) permits state member banks to

make public welfare investments

without prior approval if the investment

is one that is listed in the regulation and

if the bank meets the regulation’s capital

and condition requirements.

Specifically, a state member bank may

make an investment, without prior

approval, that the Board or the

Comptroller of the Currency (OCC)

previously has determined to be a

public welfare investment or that is an

investment in a community

development financial institution.1 In

addition, Regulation H allows state

member banks to invest without prior

approval in an entity established solely

to engage in certain community

development activities, such as lowand moderate-income housing,

nonresidential real estate development,

small business development, and job

training.

In order to make a public welfare

investment without prior approval, a

state member bank must (1) Limit any

single investment to not more than 2

percent of the bank’s capital stock and

surplus, (2) be at least adequately

capitalized, (3) be rated a composite

CAMEL ‘‘1’’ or ‘‘2,’’ (4) be rated at least

‘‘satisfactory’’ (i.e., ‘‘2’’) in its last

consumer compliance examination, and

(5) not be subject to any written

agreement, cease and desist order,

capital directive, or prompt corrective

action directive.

The Board is delegating to the Federal

Reserve Banks the authority to approve

certain public welfare investments by

state member banks that do not meet the

‘‘no-prior-approval’’ conditions in

Regulation H. Specifically, Reserve

Banks may approve investments that

meet all the conditions in § 208.21(b) of

Regulation H, except that:

• The bank’s compliance rating is

‘‘3;’’

• The investment would exceed 2

percent (but not 5 percent) of the bank’s

capital and surplus; or

• The aggregate of all such

investments of the bank exceeds 5

percent (but not 10 percent) of its

capital stock and surplus.

Administrative Procedure Act

The Administrative Procedure Act (5

U.S.C. 553(b)(A)) exempts ‘‘rules of

agency organization, procedure, or

practice’’ from the notice of proposed

rulemaking and public comment

requirements. As the Board’s delegation

rules fall under this exemption, the

Board is adopting these amendments

without notice-and-comment

procedures.

List of Subjects in 12 CFR Part 265

Authority delegations (Government

agencies), Banks, banking, Federal

Reserve System.

For the reasons set forth in the

preamble, the Board is amending 12

CFR Part 265 as set forth below:

PART 265—RULES REGARDING

DELEGATION OF AUTHORITY

1. The authority citation for Part 265

continues to read as follows:

Authority: 12 U.S.C. 248 (i) and (k).

2. Section 265.11 is amended by

adding a new paragraph (e)(12) to read

as follows:

§ 265.11 Functions delegated to Federal

Reserve Banks.

* * * * *

(e) * * *

(12) Public welfare investments. To

permit a state member bank to make a

public welfare investment that meets

the conditions set forth in § 208.21(b)

(1)–(8) of Regulation H (12 CFR 208),

except that:

(i) The state member bank received an

overall rating of ‘‘3’’ as of its most recent

consumer compliance examination;

(ii) The investment exceeds 2 percent,

but does not exceed 5 percent, of the

state member bank’s capital stock and

surplus as defined under 12 CFR

250.162; or

(iii) The aggregate of all such

investments of the state member bank

exceeds 5 percent, but does not exceed

10 percent, of its capital stock and

surplus as defined under 12 CFR

250.162.

* * * * *

By order of the Board of Governors of the

Federal Reserve System, May 1, 1995.

William W. Wiles,

Secretary of the Board.

[FR Doc. 95–11087 Filed 5–4–95; 8:45 am]

BILLING CODE 6210–01–P

DEPARTMENT OF ENERGY

Federal Energy Regulatory

Commission

18 CFR Parts 2 and 35

[Docket No. PL95–1–000]

Ratemaking Treatment of the Cost of

Emissions Allowances in Coordination

Rates; Order No. 579

Issued April 26, 1995.

AGENCY: Federal Energy Regulatory

Commission, DOE.

ACTION: Final rule amendment and

confirmation of interim rules as final.

SUMMARY: On December 15, 1994, the

Commission issued a Policy Statement

and Interim Rule Regarding Ratemaking

Treatment of the Cost of Emissions

Allowances in Coordination Rates. In

the Policy Statement, codified in § 2.25,

the Commission set forth the elements

of what generally constitutes

appropriate ratemaking treatment of

sulfur dioxide emissions allowances in

coordination transactions under the

Federal Power Act. The Interim Rule,

codified in § 35.23, implemented the

filing guidelines set forth in the Policy

Statement.

This order is issued in response to

comments on the Interim rule (§ 35.23).

It clarifies the Policy Statement (§ 2.25)

in certain respects and adopts the

Interim Rule, without modification, as a

Final Rule.

EFFECTIVE DATE: June 5, 1995.

FOR FURTHER INFORMATION CONTACT:

Wayne W. Miller (Legal Information),

Office of the General Counsel, Federal

Energy Regulatory Commission, 825

North Capitol Street NE., Washington,

DC 20426, Telephone: (202) 208–0466

Moira Notargiacomo (Technical

Information), Office of Electric Power

Regulation, Federal Energy Regulatory

Commission, 825 North Capitol Street

NE., Washington, DC 20426,

Telephone: (202) 208–1079.