Federal Register / Vol. 61, No. 97 / Friday, May 17, 1996 / Rules and Regulations 24889

19 CFR Part 145

Customs duties and inspection,

Imports, Mail, Postal service, Prohibited

merchandise, Restricted merchandise,

Reporting and recordkeeping

requirements, Seizure and forfeiture.

19 CFR Part 161

Customs duties and inspection,

Imports, Law enforcement.

Amendments to the Regulations

For the reasons stated above, parts 12,

145, and 161 of the Customs Regulations

(19 CFR parts 12, 145, and 161), are

amended as set forth below:

PART 12—SPECIAL CLASSES OF

MERCHANDISE

1. The general authority citation for

Part 12 continues and a specific

authority citation for new § 12.150 is

added to read as follows:

Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202

(General Note 20, Harmonized Tariff

Schedule of the United States (HTSUS)),

1624;

* * * * *

Section 12.150 also issued under 19 U.S.C.

1595a and 1618; 22 U.S.C. 401.

2. Part 12 is amended by adding a

centerheading and new § 12.150 to read

as follows:

Merchandise Subject to Economic

Sanctions

§ 12.150 Merchandise prohibited by

economic sanctions; detention; seizure or

other disposition; blocked property.

(a) Generally. Merchandise from

certain countries designated by the

President as constituting a threat to the

national security, foreign policy, or

economy of the United States shall be

detained until the question of its

release, seizure, or other disposition has

been determined under law and

regulations issued by the Treasury

Department’s Office of Foreign Assets

Control (OFAC) (31 CFR Chapter V).

(b) Seizure. When an unlicensed

importation of merchandise subject to

OFAC’s regulations is determined to be

prohibited, no entry for any purpose

shall be permitted and, unless the

immediate reexportation or other

disposition of such merchandise under

Customs supervision has previously

been authorized by OFAC, the

merchandise shall be seized.

(c) Licenses. OFAC’s regulations may

authorize OFAC to issue licenses on a

case-by-case basis authorizing the

importation of otherwise prohibited

merchandise under certain conditions.

If such a license is issued subsequent to

the attempted entry and seizure of the

merchandise, importation shall be

conditioned upon the importer:

(1) Agreeing in writing to hold the

Government harmless, and

(2) Paying any storage and other

Customs fees, costs, or expenses, as well

as any mitigated forfeiture amount or

monetary penalty imposed or assessed

by Customs or OFAC, or both.

(d) Blocked property. Merchandise

which constitutes property in which the

government or any national of certain

designated countries has an interest may

be blocked (frozen) pursuant to OFAC’s

regulations and may not be transferred,

sold, or otherwise disposed of without

an OFAC license.

(e) Additional information. For

further information concerning

importing merchandise prohibited

under economic sanctions programs

currently in effect, the Office of Foreign

Assets Control of the Department of the

Treasury should be contacted. The

address of that office is 1500

Pennsylvania Ave., N.W., Annex 2nd

Floor, Washington, D.C. 20220.

PART 145—MAIL IMPORTATIONS

1. The general authority citation for

Part 145 is revised to read as follows:

Authority: 19 U.S.C. 66, 1202 (General

Note 20, Harmonized Tariff Schedule of the

United States), 1624;

* * * * *

§ 145.56 [Amended]

2. Section 145.56 is amended by

removing the words ‘‘North Korea,

North Vietnam, Cuba, or Rhodesia’’ and

adding, in their place, the words

‘‘certain designated countries’’; and by

adding the parenthetical words ‘‘(See

also 19 CFR 12.150)’’ at the end of the

section before the period.

PART 161—GENERAL ENFORCEMENT

PROVISIONS

1. The general authority citation for

Part 161 is revised, and a specific

authority citation for section 161.2 is

added, to read as follows:

Authority: 5 U.S.C. 301; 19 U.S.C. 66,

1600, 1619, 1624, 1646a;

Section 161.2 also issued under 12 U.S.C.

95a; 18 U.S.C. 545; 19 U.S.C. 1595(a); 22

U.S.C. 401, 1934, 2349aa8–9;

42 U.S.C. 1804, 1807; 50 U.S.C. 1641 et

seq., 1701 et seq.;

50 U.S.C. App. 1–44, 2411.

* * * * *

2. Section 161.2 is amended by

adding paragraph (a)(3) and removing

the parenthetical authority citations at

the end of the section. The revision

reads as follows:

§ 161.2 Enforcement for other agencies.

(a) * * *

(1) * * *

(2) * * *

(3) Importations, exportations, and

transactions involving identified goods,

services, and technology with any of

those countries designated as subject to

economic sanctions under the laws and

regulations administered by the Office

of Foreign Assets Control of the

Department of the Treasury.

* * * * *

Michael H. Lane,

Acting Commissioner of Customs.

Approved: April 8, 1996.

John P. Simpson,

Deputy Assistant Secretary of the Treasury.

[FR Doc. 96–12373 Filed 5–16–96; 8:45 am]

BILLING CODE 4820–02–P

DEPARTMENT OF JUSTICE

28 CFR Part 58

United States Trustees; Guidelines

Relating to the Bankruptcy Reform Act

of 1994

AGENCY: Department of Justice.

ACTION: Final internal procedural

guidelines.

SUMMARY: The Department of Justice is

establishing internal procedural

guidelines for reviewing applications for

compensation and reimbursement of

expenses filed by case trustees and

professionals under section 330 of Title

11, United States Code. These

procedural guidelines are not intended

to supersede local rules, but are to be

read as complementing the procedures

set forth in local rules.

To keep all published rules,

regulations, and guidelines pertaining to

the United States Trustee Program in

one section of the Code of Federal

Regulations, the title to 28 CFR 58 will

be amended to include the Bankruptcy

Reform Act of 1994.

EFFECTIVE DATE: January 30, 1996.

FOR FURTHER INFORMATION CONTACT:

Martha L. Davis, General Counsel, or

Kathleen Dunivin Schmitt, Attorney,

(202) 307–1399. This is not a toll-free

number.

SUPPLEMENTARY INFORMATION: This

action is in response to the Bankruptcy

Reform Act of 1994, which amended 28

U.S.C. 586(a)(3)(A) to direct United

States Trustees to review applications

for compensation and reimbursement of

expenses in accordance with procedural

guidelines adopted by the Executive

Office for United States Trustees. The

guidelines are to be applied uniformly

by the United States Trustees, except

when circumstances warrant different

treatment.
24890 Federal Register / Vol. 61, No. 97 / Friday, May 17, 1996 / Rules and Regulations

Executive Order 12866

These guidelines have been drafted

and reviewed in accordance with

Executive Order 12866, section 1(b),

Principles of Regulation. The Director,

Executive Office for United States

Trustees, has determined that these

guidelines are not a ‘‘significant

regulatory action’’ under Executive

Order 12866 section 3(f), Regulatory

Planning and Review. These guidelines

pertain to the internal management of

the Department and as such are not

subject to central Office of Management

and Budget review pursuant to section

6 of Executive Order 12866.

Accordingly, these guidelines have not

been reviewed by the Office of

Management and Budget pursuant to

Executive Order 12866.

Regulatory Flexibility Act

The Director, Executive Office for

United States Trustees, in accordance

with the Regulatory Flexibility Act (5

U.S.C. § 605(b)), has reviewed these

guidelines and by approving them

certifies that these guidelines will not

have a significant economic impact on

a substantial number of small entities.

List of Subjects in 28 CFR Part 58

Bankruptcy, Trusts, and Trustees.

For the reasons set forth in the

preamble, the Department of Justice

proposes to amend 28 CFR part 58 as

follows:

PART 58—REGULATIONS RELATING

TO THE BANKRUPTCY REFORM ACTS

OF 1978 AND 1994

1. The heading of Part 58 is revised

to read as set forth above.

2. The authority citation for Part 58

continues to read as follows:

Authority: 28 U.S.C. 509, 510, 586(e),

588(d).

3. Appendix A is added to Part 58 to

read as follows:

Appendix A to Part 58—Guidelines for

Reviewing Applications for

Compensation and Reimbursement of

Expenses Filed Under 11 U.S.C. 330

(a) General Information. (1) The

Bankruptcy Reform Act of 1994 amended the

responsibilities of the United States Trustees

under 28 U.S.C. 586(a)(3)(A) to provide that,

whenever they deem appropriate, United

States Trustees will review applications for

compensation and reimbursement of

expenses under section 330 of the

Bankruptcy Code, 11 U.S.C. 101, et seq.

(‘‘Code’’), in accordance with procedural

guidelines (‘‘Guidelines’’) adopted by the

Executive Office for United States Trustees

(‘‘Executive Office’’). The following

Guidelines have been adopted by the

Executive Office and are to be uniformly

applied by the United States Trustees except

when circumstances warrant different

treatment.

(2) The United States Trustees shall use

these Guidelines in all cases commenced on

or after October 22, 1994.

(3) The Guidelines are not intended to

supersede local rules of court, but should be

read as complementing the procedures set

forth in local rules.

(4) Nothing in the Guidelines should be

construed:

(i) To limit the United States Trustee’s

discretion to request additional information

necessary for the review of a particular

application or type of application or to refer

any information provided to the United

States Trustee to any investigatory or

prosecutorial authority of the United States

or a state;

(ii) To limit the United States Trustee’s

discretion to determine whether to file

comments or objections to applications; or

(iii) To create any private right of action on

the part of any person enforceable in

litigation with the United States Trustee or

the United States.

(5) Recognizing that the final authority to

award compensation and reimbursement

under section 330 of the Code is vested in the

Court, the Guidelines focus on the disclosure

of information relevant to a proper award

under the law. In evaluating fees for

professional services, it is relevant to

consider various factors including the

following: the time spent; the rates charged;

whether the services were necessary to the

administration of, or beneficial towards the

completion of, the case at the time they were

rendered; whether services were performed

within a reasonable time commensurate with

the complexity, importance, and nature of

the problem, issue, or task addressed; and

whether compensation is reasonable based

on the customary compensation charged by

comparably skilled practitioners in nonbankruptcy cases. The Guidelines thus reflect

standards and procedures articulated in

section 330 of the Code and Rule 2016 of the

Federal Rules of Bankruptcy Procedure for

awarding compensation to trustees and to

professionals employed under section 327 or

1103. Applications that contain the

information requested in these Guidelines

will facilitate review by the Court, the

parties, and the United States Trustee.

(6) Fee applications submitted by trustees

are subject to the same standard of review as

are applications of other professionals and

will be evaluated according to the principles

articulated in these Guidelines. Each United

States Trustee should establish whether and

to what extent trustees can deviate from the

format specified in these Guidelines without

substantially affecting the ability of the

United States Trustee to review and comment

on their fee applications in a manner

consistent with the requirements of the law.

(b) Contents of Applications for

Compensation and Reimbursement of

Expenses. All applications should include

sufficient detail to demonstrate compliance

with the standards set forth in 11 U.S.C.

§ 330. The fee application should also

contain sufficient information about the case

and the applicant so that the Court, the

creditors, and the United States Trustee can

review it without searching for relevant

information in other documents. The

following will facilitate review of the

application.

(1) Information about the Applicant and

the Application. The following information

should be provided in every fee application:

(i) Date the bankruptcy petition was filed,

date of the order approving employment,

identity of the party represented, date

services commenced, and whether the

applicant is seeking compensation under a

provision of the Bankruptcy Code other than

section 330.

(ii) Terms and conditions of employment

and compensation, source of compensation,

existence and terms controlling use of a

retainer, and any budgetary or other

limitations on fees.

(iii) Names and hourly rates of all

applicant’s professionals and

paraprofessionals who billed time,

explanation of any changes in hourly rates

from those previously charged, and statement

of whether the compensation is based on the

customary compensation charged by

comparably skilled practitioners in cases

other than cases under title 11.

(iv) Whether the application is interim or

final, and the dates of previous orders on

interim compensation or reimbursement of

expenses along with the amounts requested

and the amounts allowed or disallowed,

amounts of all previous payments, and

amount of any allowed fees and expenses

remaining unpaid.

(v) Whether the person on whose behalf

the applicant is employed has been given the

opportunity to review the application and

whether that person has approved the

requested amount.

(vi) When an application is filed less than

120 days after the order for relief or after a

prior application to the Court, the date and

terms of the order allowing leave to file at

shortened intervals.

(vii) Time period of the services or

expenses covered by the application.

(2) Case Status. The following information

should be provided to the extent that it is

known to or can be reasonably ascertained by

the applicant:

(i) In a chapter 7 case, a summary of the

administration of the case including all

moneys received and disbursed in the case,

when the case is expected to close, and, if

applicant is seeking an interim award,

whether it is feasible to make an interim

distribution to creditors without prejudicing

the rights of any creditor holding a claim of

equal or higher priority.

(ii) In a chapter 11 case, whether a plan

and disclosure statement have been filed and,

if not yet filed, when the plan and disclosure

statement are expected to be filed; whether

all quarterly fees have been paid to the

United States Trustee; and whether all

monthly operating reports have been filed.

(iii) In every case, the amount of cash on

hand or on deposit, the amount and nature

of accrued unpaid administrative expenses,

and the amount of unencumbered funds in

the estate.

(iv) Any material changes in the status of

the case that occur after the filing of the fee
Federal Register / Vol. 61, No. 97 / Friday, May 17, 1996 / Rules and Regulations 24891

application should be raised, orally or in

writing, at the hearing on the application or,

if a hearing is not required, prior to the

expiration of the time period for objection.

(3) Summary Sheet. All applications

should contain a summary or cover sheet that

provides a synopsis of the following

information:

(i) Total compensation and expenses

requested and any amount(s) previously

requested;

(ii) Total compensation and expenses

previously awarded by the court;

(iii) Name and applicable billing rate for

each person who billed time during the

period, and date of bar admission for each

attorney;

(iv) Total hours billed and total amount of

billing for each person who billed time

during billing period; and

(v) Computation of blended hourly rate for

persons who billed time during period,

excluding paralegal or other paraprofessional

time.

(4) Project Billing Format. (i) To facilitate

effective review of the application, all time

and service entries should be arranged by

project categories. The project categories set

forth in Exhibit A should be used to the

extent applicable. A separate project category

should be used for administrative matters

and, if payment is requested, for fee

application preparation.

(ii) The United States Trustee has

discretion to determine that the project

billing format is not necessary in a particular

case or in a particular class of cases.

Applicants should be encouraged to consult

with the United States Trustee if there is a

question as to the need for project billing in

any particular case.

(iii) Each project category should contain a

narrative summary of the following

information:

(A) a description of the project, its

necessity and benefit to the estate, and the

status of the project including all pending

litigation for which compensation and

reimbursement are requested;

(B) identification of each person providing

services on the project; and

(C) a statement of the number of hours

spent and the amount of compensation

requested for each professional and

paraprofessional on the project.

(iv) Time and service entries are to be

reported in chronological order under the

appropriate project category.

(v) Time entries should be kept

contemporaneously with the services

rendered in time periods of tenths of an hour.

Services should be noted in detail and not

combined or ‘‘lumped’’ together, with each

service showing a separate time entry;

however, tasks performed in a project which

total a de minimis amount of time can be

combined or lumped together if they do not

exceed .5 hours on a daily aggregate. Time

entries for telephone calls, letters, and other

communications should give sufficient detail

to identify the parties to and the nature of the

communication. Time entries for court

hearings and conferences should identify the

subject of the hearing or conference. If more

than one professional from the applicant firm

attends a hearing or conference, the applicant

should explain the need for multiple

attendees.

(5) Reimbursement for Actual, Necessary

Expenses. Any expense for which

reimbursement is sought must be actual and

necessary and supported by documentation

as appropriate. Factors relevant to a

determination that the expense is proper

include the following:

(i) Whether the expense is reasonable and

economical. For example, first class and

other luxurious travel mode or

accommodations will normally be

objectionable.

(ii) Whether the requested expenses are

customarily charged to non-bankruptcy

clients of the applicant.

(iii) Whether applicant has provided a

detailed itemization of all expenses including

the date incurred, description of expense

(e.g., type of travel, type of fare, rate,

destination), method of computation, and,

where relevant, name of the person incurring

the expense and purpose of the expense.

Itemized expenses should be identified by

their nature (e.g., long distance telephone,

copy costs, messengers, computer research,

airline travel, etc,) and by the month

incurred. Unusual items require more

detailed explanations and should be

allocated, where practicable, to specific

projects.

(iv) Whether applicant has prorated

expenses where appropriate between the

estate and other cases (e.g., travel expenses

applicable to more than one case) and has

adequately explained the basis for any such

proration.

(v) Whether expenses incurred by the

applicant to third parties are limited to the

actual amounts billed to, or paid by, the

applicant on behalf of the estate.

(vi) Whether applicant can demonstrate

that the amount requested for expenses

incurred in-house reflect the actual cost of

such expenses to the applicant. The United

States Trustee may establish an objection

ceiling for any in-house expenses that are

routinely incurred and for which the actual

cost cannot easily be determined by most

professionals (e.g., photocopies, facsimile

charges, and mileage).

(vii) Whether the expenses appear to be in

the nature nonreimbursable overhead.

Overhead consists of all continuous

administrative or general costs incident to

the operation of the applicant’s office and not

particularly attributable to an individual

client or case. Overhead includes, but is not

limited to, word processing, proofreading,

secretarial and other clerical services, rent,

utilities, office equipment and furnishings,

insurance, taxes, local telephones and

monthly car phone charges, lighting, heating

and cooling, and library and publication

charges.

(viii) Whether applicant has adhered to

allowable rates for expenses as fixed by local

rule or order of the Court.

Exhibit A—Project Categories

Here is a list of suggested project categories

for use in most bankruptcy cases. Only one

category should be used for a given activity.

Professionals should make their best effort to

be consistent in their use of categories,

whether within a particular firm or by

different firms working on the same case. It

would be appropriate for all professionals to

discuss the categories in advance and agree

generally on how activities will be

categorized. This list is not exclusive. The

application may contain additional categories

as the case requires. They are generally more

applicable to attorneys in chapter 7 and

chapter 11, but may be used by all

professionals as appropriate.

Asset Analysis and Recovery: Identification

and review of potential assets including

causes of action and non-litigation

recoveries.

Asset Disposition: Sales, leases (§ 365

matters), abandonment and related

transaction work.

Business Operations: Issues related to

debtor-in-possession operating in chapter 11

such as employee, vendor, tenant issues and

other similar problems.

Case Administration: Coordination and

compliance activities, including preparation

of statement of financial affairs; schedules;

list of contracts; United States Trustee

interim statements and operating reports;

contacts with the United States Trustee;

general creditor inquiries.

Claims Administration and Objections:

Specific claim inquiries; bar date motions;

analyses, objections and allowances of

claims.

Employee Benefits/Pensions: Review issues

such as severance, retention, 401K coverage

and continuance of pension plan.

Fee/Employment Applicants: Preparation

of employment and fee applications for self

or others; motions to establish interim

procedures.

Fee/Employment Objections: Review of

and objections to the employment and fee

applications of others.

Financing: Matters under §§ 361, 363 and

364 including cash collateral and secured

claims; loan document analysis.

Litigation: There should be a separate

category established for each matter (e.g.,

XYZ Litigation).

Meetings of Creditors: Preparing for and

attending the conference of creditors, the

§ 341(a) meeting and other creditors’

committee meetings.

Plan and Disclosure Statement:

Formulation, presentation and confirmation;

compliance with the plan confirmation order,

related orders and rules; disbursement and

case closing activities, except those related to

the allowance and objections to allowance of

claims.

Relief From Stay Proceedings: Matters

relating to termination or continuation of

automatic stay under § 362.

The following categories are generally

more applicable to accountants and financial

advisors, but may be used by all

professionals as appropriate.

Accounting/Auditing: Activities related to

maintaining and auditing books of account,

preparation of financial statements and

account analysis.

Business Analysis: Preparation and review

of company business plan; development and

review of strategies; preparation and review

of cash flow forecasts and feasibility studies.
24892 Federal Register / Vol. 61, No. 97 / Friday, May 17, 1996 / Rules and Regulations

Corporate Finance: Review financial

aspects of potential mergers, acquisitions and

disposition of company or subsidiaries.

Data Analysis: Management information

systems review, installation and analysis,

construction, maintenance and reporting of

significant case financial data, lease rejection,

claims, etc.

Litigation Consulting: Providing consulting

and expert witness services relating to

various bankruptcy matters such as

insolvency, feasibility, avoiding actions,

forensic accounting, etc.

Reconstruction Accounting: Reconstructing

books and records from past transactions and

bringing accounting current.

Tax Issues: Analysis of tax issues and

preparation of state and federal tax returns.

Valuation: Appraise or review appraisals of

assets.

Dated: April 25, 1996.

Joseph Patchan,

Director.

[FR Doc. 96–11799 Filed 5–16–96; 8:45 am]

BILLING CODE 4410–01–M

DEPARTMENT OF TRANSPORTATION

Coast Guard

33 CFR Part 165

[COTP Los Angeles-Long Beach, CA 96–

008]

RIN 2115–AA97

Safety Zone; Long Beach Harbor, CA

AGENCY: Coast Guard, DOT.

ACTION: Final rule with request for

comments.

SUMMARY: The Coast Guard is

establishing a temporary safety zone in

the navigable waters of the United

States in the vicinity of the South East

side of Pier ‘‘J’’ in the Long Beach Outer

Harbor, California. The event requiring

the establishment of this safety zone is

the Pier ‘‘J’’ breakwater construction

project. Duration of this project is

estimated to be 11 months. A safety

zone is necessary to safeguard

recreational and commercial craft from

the dangers of the construction project

and to prevent interference with the

vessels engaged in these operations. The

safety zone includes all waters within

the boundaries defined by the line

connecting the following coordinates:

Latitude Longitude

33° 44.5′N. 118° 11.2′W.

33° 44.5′N. 118° 10.9′W.

33° 44.3′N. 118° 10.8′W.

33° 44.0′N. 118° 10.8′W.

33° 44.0′N. 118° 11.1′W.

Entry into, transit through, or

anchoring within the safety zone by

vessels or persons other than those

engaged in the construction project, or

vessels servicing the Maersk terminal is

prohibited unless authorized by the

Captain of the Port.

DATES: Effective Date: This rule is

effective at 12:01 a.m. PDT on April, 24,

1996 and will remain in effect until

12:01 a.m. PST on March 31, 1997,

unless cancelled earlier by the Captain

of the Port Los Angeles-Long Beach, Ca.

Comments: Comments on this

regulation must be received by June 17,

1996.

ADDRESSES: Comments should be

mailed to Commanding Officer, Coast

Guard Marine Safety Office, 165 N. Pico

Avenue, Long Beach, Ca 90802.

Comments received will be available for

inspection and copying within the Port

Safety Division at MSO Los AngelesLong Beach. Normal office hours are

between 8 a.m. and 4 p.m., Monday

through Friday, except federal holidays.

FOR FURTHER INFORMATION CONTACT:

Chief Petty Officer Daniel J. Walsh, Port

Safety and Security Division, Marine

Safety Office Los Angeles-Long Beach,

(310) 980–4454.

SUPPLEMENTARY INFORMATION: In

accordance with 5 U.S.C. 553, a notice

of proposed rulemaking was not

published for this regulation and good

cause exists for making it effective in

less than 30 days after Federal Register

publication. Following normal

rulemaking procedures could not be

done in a timely fashion in that the

Coast Guard was not approached

concerning the necessity for

implementation of a safety zone until

late in the planning process. The actual

stipulations of the safety zone were not

finalized until a date fewer than 30 days

prior to the start of the project.

Although this regulation is published

as a final rule without prior notice, an

opportunity for public comment is

nevertheless desirable to ensure the

regulation is both reasonable and

workable. Accordingly, persons wishing

to comment may do so by submitting

written comments to the office listed

under ADDRESSES in this preamble.

Those providing comments should

identify the docket number (COTP Los

Angeles-Long Beach, CA; 96–008) for

the regulation and also include their

name, address, and reason(s) for each

comment presented. Persons wanting

acknowledge of receipt of comments

should enclose a stamped, selfaddressed postcard or envelope.

Based upon the comments received,

the scope of the regulation may be

changed.

Discussion of Regulation

The project to construct a breakwater

around the Pier ‘‘J’’ Maersk terminal

entrance has already been initiated. A

safety zone is necessary to safeguard

recreational and commercial craft from

the dangers of the construction project

and to prevent interference with vessels

engaged in these operations. This safety

zone will be enforced by U.S. Coast

Guard personnel. The Coast Guard

Auxiliary and the Long Beach

Lifeguards will assist in the enforcement

of the safety zone. Persons and vessels

are prohibited from entering into,

transiting through, or anchoring within

the safety zone unless authorized by the

Captain of the Port of his designated

representative.

Regulatory Evaluation

This rule is not a significant

regulatory action under section 3(f) of

Executive Order 12866 and does not

require an assessment of potential costs

and benefits under section 6(a)(3) of that

order. It has been exempted from review

by the Office of Management and

Budget under that order. It is not

significant under the regulatory policies

and procedures of the Department of

Transportation (44 FR 11040; February

26, 1979). The Coast Guard expects the

economic impact of this regulation to be

so minimal that a full Regulatory

Evaluation under paragraph 10(e) of the

regulatory policies and procedures of

the Department of Transportation is

unnecessary. The safety zone does not

extend into the vessel traffic lanes. It

will have little or no impact on

commercial vessels transiting through

the harbor.

Small Entities

Under the Regulatory Flexibility Act

(5 U.S.C. 601 et seq.), the Coast Guard

must consider whether this regulation

will have a significant economic impact

on a substantial number of small

entities. ‘‘Small entities’’ include

independently owned and operated

small businesses that are not dominant

in their field and that otherwise qualify

as ‘‘small business concerns’’ under

Section 3 of the Small Business Act (15

U.S.C. 632). As discussed in the

‘‘Regulatory Evaluation’’ section,

because it expects the impact of this

regulation to be minimal, the Coast

Guard certifies under 5 U.S.C. 605(b)

that this regulation will not have a

significant economic impact on a

substantial number of small entities.

Collection of Information

This regulation contains no collection

of information requirements under the