72702 Federal Register / Vol. 70, No. 234 / Wednesday, December 7, 2005 / Rules and Regulations 

1 150 CONG. REC. S10356 (daily ed. Oct. 4, 2004) 

(statement of Sen. Levin). 

Dated: December 1, 2005. 

Lloyd C. Day, 

Administrator, Agricultural Marketing 

Service. 

[FR Doc. 05–23707 Filed 12–6–05; 8:45 am] 

BILLING CODE 3410–02–P 

NATIONAL CREDIT UNION 

ADMINISTRATION 

12 CFR Part 796 

Post-Employment Restrictions for 

Certain NCUA Examiners 

AGENCY: National Credit Union 

Administration (NCUA). 

ACTION: Final rule. 

SUMMARY: NCUA is adding a new part to 

NCUA’s regulations to implement new, 

post-employment restrictions that will 

apply to certain senior NCUA examiners 

starting December 17, 2005. The final 

rule prohibits senior NCUA examiners, 

for a year after leaving NCUA 

employment, from accepting 

employment with a credit union if they 

had continuing, broad responsibility for 

examination of that credit union for a 

total of two or more months during their 

last 12 months of NCUA employment. 

DATES: Effective December 17, 2005. 

FOR FURTHER INFORMATION CONTACT: 

Regina M. Metz, Staff Attorney, Office of 

General Counsel, at the above address or 

telephone (703) 518–6540. 

SUPPLEMENTARY INFORMATION: On 

December 17, 2004, Congress enacted 

the Intelligence Reform Act, Public Law 

108–458, creating new, postemployment restrictions for certain 

federal employees who examine banks 

and credit unions. Public Law No. 108–

458, § 6303(c), 118 Stat. 3754 (2004). 

The law amended the Federal Credit 

Union (FCU) Act and requires NCUA to 

prescribe a rule implementing this 

section for federal examiners of 

federally insured credit unions. 12 

U.S.C. 1786(w). The law also requires 

NCUA to consult to the extent it deems 

necessary with the federal banking 

agencies. In July, the Board issued a 

proposed rule with a 60-day comment 

period on post-employment restrictions 

for certain NCUA examiners to 

implement the amendments. 70 FR 

43800, Jul. 29, 2005. NCUA reviewed 

and considered all comments received 

and, except for two minor clarifications, 

is issuing the final rule unchanged from 

the proposed rule. As with the proposed 

rule, NCUA staff consulted with an 

interagency group so that the final rule 

is consistent and comparable with the 

final rule the Federal banking agencies 

are issuing. 

The post-employment restrictions will 

apply to senior examiners starting 

December 17, 2005. For a year after 

leaving NCUA employment, senior 

examiners will be prohibited from 

accepting employment with a federally 

insured credit union if they had 

continuing, broad responsibility for 

examination of that credit union for two 

or more months during their last 12 

months of NCUA employment. 

The final rule implements the 

statutory provisions by giving NCUA the 

authority to issue administrative orders 

removing a person from a position with 

a federally insured credit union and 

barring further participation with that 

credit union or any federally insured 

credit union for up to five years. Also, 

the final rule implements the statute by 

imposing civil money penalties for 

violations of up to $250,000. The rule 

also implements the statutory provision 

authorizing the NCUA Board to grant 

waivers if the NCUA Chairman certifies 

that granting the waiver would not 

affect the integrity of NCUA’s 

supervisory program. 

NCUA received eight comments: 

Three from national trade groups; one 

from a state trade group; three from 

Federal credit unions; and one from a 

state-chartered credit union. Four of the 

eight commenters fully supported the 

proposed rule and believe NCUA 

properly implemented the new statutory 

post-employment restrictions. 

Two commenters thought the rule 

should be less restrictive and two 

commenters thought it should be more 

restrictive. Since the restrictions are 

statutory, the regulation cannot be less 

restrictive. One commenter who thought 

the post-employment restriction should 

be more restrictive supported a two-year 

cooling off period during which a senior 

examiner could not work for the credit 

union for which he or she had a 

substantial role in the supervision. The 

other commenter who thought the 

proposed rule should be stricter 

recommended NCUA expand the 

proposed ‘‘senior examiner’’ definition 

to include any examiners involved in a 

credit union in the last 12 months of 

their NCUA employment and at a 

minimum, examiners-in-charge. The 

commenter also proposed NCUA 

implement additional penalties for 

NCUA examiners seeking employment 

with credit unions. 

The final rule retains the one-year 

cooling off period as specified in the 

statute. The final rule also retains the 

definition of NCUA senior examiner to 

whom the restriction will apply with 

one wording change from 

‘‘commissioned’’ to ‘‘authorized.’’ 12 

CFR 796.2. Congress intended the oneyear post-employment prohibition to 

apply to examiners with a ‘‘meaningful’’

relationship to the credit union.1

Consistent with that intent, the final 

rule defines a ‘‘senior examiner’’ as an 

NCUA employee, authorized as an 

examiner, who has continuing, broad, 

and lead responsibility for examining a 

particular federally insured credit 

union, routinely interacts with officers 

or employees of the credit union, and 

devotes a substantial portion of his or 

her time to supervising or examining 

that credit union. Finally, the wording 

of the final rule in section 796.3 has 

been slightly modified to reflect that the 

cooling off period applies to a senior 

examiner who performed work, 

including onsite or offsite work, for a 

federally insured credit union for a total 

of two months or more in his or her last 

year of NCUA employment. 

Regulatory Procedures 

Regulatory Flexibility Act 

The Regulatory Flexibility Act (RFA) 

requires NCUA to prepare an analysis to 

describe any significant economic 

impact a rule may have on a substantial 

number of small entities. NCUA 

considers credit unions having less than 

ten million dollars in assets to be small 

for purposes of RFA. Interpretive Ruling 

and Policy Statement (IRPS) 87–2 as 

amended by IRPS 03–2. The final rule 

prohibits senior examiners from 

accepting employment with a credit 

union if they had continuing, broad 

responsibility for examination of that 

credit union for two or more months 

during their last 12 months of NCUA 

employment. The NCUA has 

determined and certifies that this final 

rule will not have a significant 

economic impact on a substantial 

number of small credit unions. 

Accordingly, the NCUA has determined 

that an RFA analysis is not required. 

Paperwork Reduction Act 

In accordance with the requirements 

of the Paperwork Reduction Act of 1995 

(PRA), NCUA may not conduct or 

sponsor, and the respondent is not 

required to respond to, an information 

collection unless it displays a currently 

valid Office of Management and Budget 

(OMB) control number. The Board has 

determined that the final rule does not 

contain any information collections and, 

therefore, no PRA number is required. 

Executive Order 13132 

Executive Order 13132 encourages 

independent regulatory agencies to 

consider the impact of their actions on 

Federal Register / Vol. 70, No. 234 / Wednesday, December 7, 2005 / Rules and Regulations 72703 

state and local interests. In adherence to 

fundamental federalism principles, 

NCUA, an independent regulatory 

agency as defined in 44 U.S.C. 3502(5), 

voluntarily complies with the executive 

order. It will not have substantial direct 

effects on the states, on the relationship 

between the national government and 

the states, or on the distribution of 

power and responsibilities among the 

various levels of government. NCUA has 

determined that this final rule does not 

constitute a policy that has federalism 

implications for purposes of the 

executive order. 

The Treasury and General Government 

Appropriations Act, 1999—Assessment 

of Federal Regulations and Policies on 

Families 

The NCUA has determined that this 

final rule will not affect family wellbeing within the meaning of section 654 

of the Treasury and General 

Government Appropriations Act, 1999, 

Public Law 105–277, 112 Stat. 2681 

(1998). 

Small Business Regulatory Enforcement 

Fairness Act 

The Small Business Regulatory 

Enforcement Fairness Act of 1996 (Pub. 

L. 104–121) provides generally for 

congressional review of agency rules. A 

reporting requirement is triggered in 

instances where NCUA issues a final 

rule as defined by Section 551 of the 

Administrative Procedure Act. 5 U.S.C. 

551. The Office of Management and 

Budget has determined that this rule is 

not a major rule for purposes of the 

Small Business Regulatory Enforcement 

Fairness Act of 1996. 

List of Subjects in 12 CFR Part 796 

Conflicts of interest, Credit unions, 

Ethical conduct, Government 

employees. 

By the National Credit Union 

Administration Board on November 29, 2005. 

Mary F. Rupp, 

Secretary of the Board. 

■ Accordingly, NCUA proposes to add a 

new 12 CFR part 796 as follows: 

PART 796—POST–EMPLOYMENT 

RESTRICTIONS FOR CERTAIN NCUA 

EXAMINERS 

Sec. 

796.1 What is the purpose and scope of this 

part? 

796.2 Who is considered a senior examiner 

of the NCUA? 

796.3 What special post-employment 

restrictions apply to senior examiners? 

796.4 When do these special restrictions 

become effective and may they be 

waived? 

796.5 What are the penalties for violating 

these special post-employment 

restrictions? 

796.6 What other definitions and rules of 

construction apply for purposes of this 

part? 

Authority: 12 U.S.C. 1786(w). 

§ 796.1 What is the purpose and scope of 

this part? 

This part identifies those National 

Credit Union Administration (NCUA) 

employees who are subject to the 

special, post-employment restrictions in 

section 1786(w) of the Act and 

implements those restrictions as they 

apply to NCUA employees. 

§ 796.2 Who is considered a senior 

examiner of the NCUA? 

For purposes of this part, an NCUA 

employee is considered to be the 

‘‘senior examiner’’ for a federally 

insured credit union if the employee—

(a) Has been authorized by NCUA to 

conduct examinations or inspections of 

federally insured credit unions on 

behalf of NCUA; 

(b) Has continuing, broad, and lead 

responsibility for examining or 

inspecting that federally insured credit 

union; 

(c) Routinely interacts with officers or 

employees of that federally insured 

credit union; and 

(d) Devotes a substantial portion of 

his or her time to supervising or 

examining that federally insured credit 

union. 

§ 796.3 What special post-employment 

restrictions apply to senior examiners? 

(a) Senior examiners of federally 

insured credit unions. An officer or 

employee of the NCUA who performs 

work (onsite or offsite) as the senior 

examiner of a federally insured credit 

union for a total of two or more months 

during the last 12 months of 

individual’s employment with NCUA 

may not, within one year after leaving 

NCUA employment, knowingly accept 

compensation as an employee, officer, 

director, or consultant from that credit 

union. 

(b) Example. An NCUA resident 

corporate credit union examiner 

assigned to work at a federally insured, 

corporate credit union for two or more 

months during the last 12 months of 

that individual’s employment with 

NCUA will be subject to the one-year 

prohibition of this section. 

§ 796.4 When do these special restrictions 

become effective and may they be waived? 

The post-employment restrictions in 

section 1786(w) of the Act and § 796.3 

do not apply to any current or former 

NCUA employee, if: 

(a) The individual ceased to be an 

NCUA employee on or before December 

17, 2005; or 

(b) The Chairman of the NCUA Board 

certifies in writing and on a case-by-case 

basis that granting the senior examiner 

a waiver of the restrictions would not 

affect the integrity of the NCUA’s 

supervisory program. 

§ 796.5 What are the penalties for violating 

these special post-employment 

restrictions? 

(a) Penalties under section 1786(w)(5) 

of the Act. An NCUA senior examiner 

who violates the post-employment 

restrictions set forth in § 796.3 can be: 

(1) Removed from participating in the 

affairs of the relevant credit union and 

prohibited from participating in the 

affairs of any federally insured credit 

union for a period of up to five years; 

and, alternatively, or in addition, 

(2) Assessed a civil monetary penalty 

of not more than $250,000. 

(b) Other penalties. The penalties in 

paragraph (a) of this section are not 

exclusive, and a senior examiner who 

violates the restrictions in § 796.3 also 

may be subject to other administrative, 

civil, and criminal remedies and 

penalties as provided in law. 

§ 796.6 What other definitions and rules of 

construction apply for purposes of this 

part? 

For purposes of this part, a person 

shall be deemed to act as a ‘‘consultant’’

for a federally insured credit union or 

other company only if the person works 

directly on matters for, or on behalf of, 

such credit union. 

[FR Doc. 05–23710 Filed 12–6–05; 8:45 am] 

BILLING CODE 7535–01–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 97 

[Docket No. 30466; Amdt. No. 3142] 

Standard Instrument Approach 

Procedures, Weather Takeoff 

Minimums; Miscellaneous 

Amendments 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Final rule. 

SUMMARY: This amendment establishes, 

amends, suspends, or revokes Standard 

Instrument Approach Procedures 

(SIAPs) and/or Weather Takeoff 

Minimums for operations at certain 

airports. These regulatory actions are 

needed because of the adoption of new