13436 Federal Register / Vol. 60, No. 48 / Monday, March 13, 1995 / Notices

operating as Potosi Abstract, Potosi,

Missouri, and thereby engage in the sale

of title insurance in a town of less than

5,000, pursuant to § 225.25(b)(8)(iii) of

the Board’s Regulation Y. This activity

will be conducted in Potosi, Missouri.

C. Federal Reserve Bank of Kansas

City (John E. Yorke, Senior Vice

President) 925 Grand Avenue, Kansas

City, Missouri 64198:

1. First Ainsworth Company,

Ainsworth, Nebraska; to engage in

performing insurance activities in a

town having a population not exceeding

5,000 pursuant to § 225.25(b)(8)(iii) of

the Board’s Regulation Y. These

activities will be conducted in Bassett,

Nebraska.

Board of Governors of the Federal Reserve

System, March 7, 1995.

Jennifer J. Johnson,

Deputy Secretary of the Board.

[FR Doc. 95–6072 Filed 3–10–95; 8:45 am]

BILLING CODE 6210–01–F

Mellon Bank Corporation, Pittsburgh,

Pennsylvania; Application to Engage

in Certain Nonbanking Activities

Mellon Bank Corporation, Pittsburgh,

Pennsylvania (Applicant), has applied

pursuant to section 4(c)(8) of the Bank

Holding Company Act (12 U.S.C.

1843(c)(8)) (BHC Act) and § 225.23(a)(3)

of the Board’s Regulation Y (12 CFR

225.23(a)(3)), to acquire the shares of

Mellon Investment Products

Corporation (Company) from its

subsidiary bank, Mellon Bank, N.A.

(Bank), both of Pittsburgh,

Pennsylvania, and to engage in the

following activities:

1) Underwriting and dealing to a

limited extent in municipal revenue

bonds (including certain industrial

development bonds and unrated

municipal revenue bonds), mortgagerelated securities, consumer-receivablerelated securities and commercial paper;

2) Underwriting and dealing in bankeligible instruments pursuant to 12 CFR

225.25(b)(16);

3) Acting as agent in the private

placement of securities, including

providing related advisory services;

4) Acting as riskless principal in the

purchase and sale of all types of

securities on behalf of customers;

5) Providing securities brokerage

services pursuant to 12 CFR

225.25(b)(15), including selling bankineligible securities underwritten or

dealt in by Company to retail customers;

6) Providing investment advisory

services pursuant to 12 CFR

225.25(b)(4); and

7) Providing foreign exchange

advisory and transactional services

pursuant to 12 CFR 225.25(b)(17).

Section 4(c)(8) of the BHC Act

provides that a bank holding company

may, with Board approval, engage in

any activity which the Board, after due

notice and opportunity for hearing, has

determined (by order or regulation) to

be so closely related to banking or

managing or controlling banks as to be

a proper incident thereto. This statutory

test requires that two separate tests be

met for an activity to be permissible for

a bank holding company. First, the

Board must determine that the activity

is, as a general matter, closely related to

banking. Second, the Board must find in

a particular case that the performance of

the activity by the applicant bank

holding company may reasonably be

expected to produce public benefits that

outweigh possible adverse effects.

A particular activity may be found to

meet the ‘‘closely related to banking’’

test if it is demonstrated that banks

generally have provided the proposed

activity, that banks generally provide

services that are operationally or

functionally similar to the proposed

activity so as to equip them particularly

well to provide the proposed activity, or

that banks generally provide services

that are so integrally related to the

proposed activity as to require their

provision in a specialized form.

National Courier Ass’n v. Board of

Governors, 516 F.2d 1229, 1237 (D.C.

Cir. 1975). In addition, the Board may

consider any other basis that may

demonstrate that the activity has a

reasonable or close relationship to

banking or managing or controlling

banks. Board Statement Regarding

Regulation Y, 49 FR 806 (January 5,

1984).

Applicant maintains that the Board

previously has determined that the

proposed activities are closely related to

banking. See 12 CFR 225.25 (b)(4), (15),

(16) & (17); PNC Financial Corp., 75

Federal Reserve Bulletin 396 (1989)

(section 20 company providing

securities brokerage services to retail

customers with respect to bankineligible securities underwritten or

dealt in by the section 20 company);

Bankers Trust New York Corporation,

75 Federal Reserve Bulletin 829

(1989)(acting as agent in the private

placement of securities and purchasing

and selling securities on the order of

investors as a riskless principal);

Citicorp, 73 Federal Reserve Bulletin

473 (1987), aff’d sub nom. Securities

Industry Ass’n v. Board of Governors of

the Federal Reserve System, 839 F.2d 47

(2d Cir. 1988), cert. den., 486 U.S. 1059

(1988), and Chemical New York

Corporation, 73 Federal Reserve

Bulletin 731 (1987) (underwriting and

dealing to a limited extent in municipal

revenue bonds (including certain

industrial development bonds),

mortgage-related securities, consumerreceivable-related securities and

commercial paper); and Letter dated

December 5, 1994, to Bruce Moland,

Assistant General Counsel, Norwest

Corporation, from William W. Wiles,

Secretary of the Board (underwriting

and dealing to a limited extent in

unrated municipal revenue bonds).

Applicant states that it would conduct

the proposed activities in accordance

with the Board’s orders, regulations and

related interpretations, with two

exceptions. In particular, Applicant

proposes to establish up to two

interlocking directors between Bank and

Company. These directors would not be

officers or employees of either Bank or

Company. Applicant maintains that the

Board previously has permitted similar

interlocks. See SunTrust Banks, Inc., 80

Federal Reserve Bulletin 938 (1994).

Applicant also proposes that Company

be permitted to have offices in buildings

in which Bank also has offices.

Applicant states that it would take a

number of steps to ensure that

Company’s offices are separate and

distinct from those of Bank.

In order to approve the proposal, the

Board must determine that the proposed

activities to be conducted by Company

‘‘can reasonably be expected to produce

benefits to the public, such as greater

convenience, increased competition, or

gains in efficiency, that outweigh

possible adverse effects, such as undue

concentration of resources, decreased or

unfair competition, conflicts of

interests, or unsound banking

practices.’’ 12 U.S.C. 1843(c)(8).

Applicant believes that the proposal

will produce public benefits that

outweigh any potential adverse effects.

In particular, Applicant maintains that

the proposal will enhance competition

and enable Applicant to offer its

customers a broader range of products.

Applicant also maintain that its

proposal would not result in any

adverse effects.

In publishing the proposal for

comment, the Board does not take a

position on issues raised by the

proposal. Notice of the proposal is

published solely to seek the views of

interested persons on the issues

presented by the application and does

not represent a determination by the

Board that the proposal meets, or is

likely to meet, the standards of the BHC

Act. Any comments or requests for

hearing should be submitted in writing

and received by William W. Wiles,
Federal Register / Vol. 60, No. 48 / Monday, March 13, 1995 / Notices 13437

Secretary, Board of Governors of the

Federal Reserve System, Washington,

D.C. 20551, not later than March 29,

1995. Any request for a hearing on this

application must, as required by §

262.3(e) of the Board’s Rules of

Procedure (12 CFR 262.3(e)), be

accompanied by a statement of the

reasons why a written presentation

would not suffice in lieu of a hearing,

identifying specifically any questions of

fact that are in dispute, summarizing the

evidence that would be presented at a

hearing, and indicating how the party

commenting would be aggrieved by

approval of the proposal.

This application may be inspected at

the offices of the Board of Governors or

the Federal Reserve Bank of Cleveland.

Board of Governors of the Federal Reserve

System, March 7, 1995.

Jennifer J. Johnson,

Deputy Secretary of the Board.

[FR Doc. 95–6073 Filed 3–10–95; 8:45 am]

BILLING CODE 6210–01–F

GENERAL SERVICES

ADMINISTRATION

Change in Solicitation Procedures

Under the Small Business

Competitiveness Demonstration

Program

AGENCY: Office of Acquisition Policy,

GSA.

ACTION: Notice.

SUMMARY: Title VII of the ‘‘Business

Opportunity Development Act of 1988’’

(Public Law 100–656) established the

Small Business Competitiveness

Demonstration Program and designated

nine (9) agencies, including GSA, to

conduct the program over a four (4) year

period from January 1, 1989 to

December 31, 1992. The Small Business

Opportunity Enhancement Act of 1992

(Public Law 102–366) extended the

demonstration program until September

1996 and made certain changes in the

procedures for operation of the

demonstration program. The law

designated four (4) industry groups for

testing whether the competitive

capabilities of the specified industry

groups will enable them to successfully

compete on an unrestricted basis. The

four (4) industry groups are:

construction (except dredging);

architectural and engineering (A&E)

services (including surveying and

mapping); refuse systems and related

services (limited to trash/garbage

collection); and non-nuclear ship repair.

Under the program, when a

participating agency misses its small

business participation goal, restricted

competition is reinstituted only for

those contracting activities that failed to

attain the goal. The small business goal

is 40 percent of the total contract dollars

awarded for construction, trash/garbage

collection services, and non-nuclear

ship repair and 35 percent of the total

contract dollars warded for architectengineer services. This notice

announces modifications to GSA’s

solicitation practices under the

demonstration program based on a

review of the agency’s performance

during the period from January 1, 1994

to December 31, 1994. Modifications to

solicitation practices are outlined in the

Supplementary Information section

below and apply to solicitations issued

on or after April 1, 1995.

EFFECTIVE DATE: April 1, 1995.

FOR FURTHER INFORMATION CONTACT:

Tom Wisnowski, Office of GSA

Acquisition Policy, (202) 501–1224.

SUPPLEMENTARY INFORMATION:

Procurements of construction or trash/

garbage collection with an estimated

value of $25,000 or less will be reserved

for emerging small business concerns in

accordance with the procedures

outlined in the interim policy directive

issued by the Office of Federal

Procurement Policy (58 FR 13513,

March 11, 1993).

Procurements of construction or

trash/garbage collection with an

estimated value that exceeds $25,000 by

GSA contracting activities will be made

in accordance with the following

procedures:

Construction Services in Groups 15, 16,

and 17

Procurements for all construction

services (except solicitations issued by

GSA contracting activities in Regions 1,

2, 5, 6, 7, 9 and the National Capital

Region in SIC Group 15, Regions 2, 5

and 9 for individual SIC code 1794, and

Regions 1, 3, 4, 5, 7, 9 and the National

Capital Region for individual SIC code

1796) shall be conducted on an

unrestricted basis.

Procurements for construction

services in SIC Group 15 issued by GSA

contracting activities in Regions 1, 2, 5,

6, 7, 9, and the National Capital Region,

for individual SIC code 1794 in Regions

2, 5 and 9, and for individual SIC Code

1796 in Regions 1, 3, 4, 5, 7, 9, and the

National Capital Region, shall be set

aside for small business when there is

a reasonable expectation of obtaining

competition for two or more small

businesses. If no expectation exists, the

procurements will be conducted on an

unrestricted basis.

Region 1 encompasses the states of

Connecticut, Maine, Massachusetts,

New Hampshire, Rhode Island and

Vermont.

Region 2 encompasses the states of

New Jersey, New York, and the

territories of Puerto Rico and the Virgin

Islands.

Region 3 encompasses the states of

Pennsylvania, Delaware, West Virginia,

Maryland (except Montgomery and

Prince Georges counties), and Virginia

(except the city of Alexandria and the

counties of Arlington, Fairfax, Loudoun,

and Prince William).

Region 4 encompasses the states of

Alabama, Florida, Georgia, Kentucky,

North Carolina, South Carolina,

Mississippi, and Tennessee.

Region 5 encompasses the states of

Illinois, Indiana, Ohio, Michigan,

Minnesota, and Wisconsin.

Region 6 encompasses the states of

Iowa, Kansas, Missouri and Nebraska.

Region 7 encompasses the states of

Arkansas, Louisiana, Oklahoma, New

Mexico, and Texas.

Region 9 encompasses the states of

Arizona, California, Hawaii, and

Nevada.

Region 10 encompasses the states of

Alaska, Idaho, Oregon, and Washington.

The National Capital Region

encompasses the District of Columbia,

Montgomery and Prince Georges

counties in Maryland, and the city of

Alexandria and the counties of

Arlington, Fairfax, Loudoun, and Prince

William In Virginia.

Trash/Garbage Collection Services in

PSC S205

Procurements for trash/garbage

collection services in PSC S205 will be

conducted on an unrestricted basis.

Architect-Engineer Services (all PSC

Codes under the Demonstration

Program):

Procurements for all architectengineer services (except procurements

issued by contracting activities in GSA

Region 4 for service code C119, and in

Region 9 for service code C219) shall be

conducted on an unrestricted basis.

Procurements for architect-engineer

services issued by GSA contracting

activities in Region 4 for service code

C119 and in Region 9 for service code

C219 shall be set aside for small

business when there is a reasonable

expectation of obtaining competition

from two or more small businesses. If no

expectation exists, the procurement will

be conducted on an unrestricted basis.

Region 4 encompasses the states of

Alabama, Florida, Georgia, Kentucky,

North Carolina, South Carolina,

Mississippi, and Tennessee.

Region 9 encompasses the states of

Arizona, California, Hawaii, and

Nevada.