Federal Register / Vol. 61, No. 100 / Wednesday, May 22, 1996 / Notices 25693

views on the liability of Indian tribes under

the Federal Unemployment Tax Act (FUTA).

Your letter was forwarded to this office for

reply.

You state that the Colorado Employment

Security Act has amended their definition of

‘‘Political Subdivision,’’ for purposes of the

Employment Security Act, to include an

Indian tribe organized pursuant to the Indian

Reorganization Act of 1934. This amendment

confers on Indian tribes in Colorado the

option of either paying contributions to the

State unemployment fund or reimbursing the

State account for the amount of benefits paid

based upon service with the Tribe. You

question whether this amendment to

Colorado law and the fact that tribes have

chosen the reimbursement option changes

the status of the tribes for purposes of

determining the amount of tax due under

FUTA. As explained below, it is the position

of the Internal Revenue Service that Indian

tribes are treated in the same way as private

employers. The amendment to Colorado law

does not change our position.

In addition you ask whether Indian tribes

being treated as political subdivisions of a

State are exempt from FUTA. If tribes are

being treated as private employers, you also

ask whether the FUTA tax is reduced by any

reimbursements made by the tribes. While

we are unable to comment directly on the

Indian tribes in Colorado, we can provide the

following general information.

Section 3301 of the Internal Revenue Code

imposes on every employer a tax (the FUTA

tax) on the total wages (as defined in section

3306(b)) paid by him during the calendar

year with respect to employment (as defined

in section 3306(c)). Thus, unless the

payments are excepted from the term

‘‘wages’’ or the services performed by the

employee are excepted from the term

‘‘employment’’ such payments will be subject

to FUTA.

Section 3306(c)(7) provides an exception

from the definition of ‘‘employment,’’ for

purposes of FUTA, for service performed in

the employ of a State or political subdivision.

Section 3309 allows States to provide for

unemployment coverage for governmental

organization under the ‘‘direct

reimbursement method.’’ Under the direct

reimbursement method, a qualifying

organization is allowed to obtain state

unemployment coverage for its employees by

agreeing to reimburse the State for

unemployment benefits that are attributable

to services performed for the organization.

The reimbursement of benefits is in lieu of

paying state unemployment tax based on the

experience rate of the organization. This

provision applies to service which is

excluded from the term ‘‘employment’’ by

reason of section 3306(c)(7), which is service

performed in the employ of a State, or

political subdivision thereof.

It is the long-standing position of the

Service that American Indian tribes are not

political subdivisions or agencies of a state

for federal employment tax purposes. For

purposes of FUTA, Indian tribes and their

tribal activities are treated in the same way

as private employers. Although section 7871

of the Code provides that an Indian tribal

government is a State for certain enumerated

Internal Revenue Code purposes, these

purposes do not include federal employment

taxes. Thus, service for a tribal government

does not qualify for the exception from the

definition of ‘‘employment’’ under section

3306(c)(7). See Rev. Rul. 59–354, 1959–2 C.B.

24 and Rev. Rul. 68–493, 1968–2 C.B. 426

(copies attached).

Section 3302(a)(1) of the Code provides

that the taxpayer may, to the extent provided

in subsections (a) and (c), credit against the

tax imposed by section 3301, the amount of

contributions paid by the taxpayer into an

unemployment fund maintained during the

taxable year under the unemployment

compensation law of a State which is

certified as provided in section 3304 for the

12-month period ending on October 31 of

such year.

As stated above, for purposes of FUTA,

Indian tribes and their tribal activities are

treated in the same way as private employers.

Thus, if a tribe is not contributing to a State

unemployment fund, it would be required to

pay FUTA at the full rate. Because the

reimbursement option under section 3309 is

not available to Indian tribes, we have never

addressed the question of whether

reimbursements made to a State

unemployment fund by an Indian tribe

would reduce the amount of FUTA tax owed

by the tribe. Section 3302(a) allows a credit

for contributions paid by a taxpayer. Section

3309 allows for reimbursements in lieu of

contributions. Given this language, it appears

that Indian tribes would not be allowed a

credit for any reimbursements they made.

We hope this information is helpful. If we

can be of further assistance, please contact

Jean M. Casey of my staff at (202) 622–6040.

Sincerely yours,

Mary E. Oppenheimer,

Assistant Chief Counsel, Office of the

Associate Chief Counsel (Employee Benefits

and Exempt Organizations).

[FR Doc. 96–12751 Filed 5–27–96; 8:45 am]

BILLING CODE 4510–30–M

Employment Standards Administration

Proposed Collection; Comment

Request

ACTION: Notice.

SUMMARY: The Department of Labor, as

part of its continuing effort to reduce

paperwork and respondent burden,

conducts a preclearance consultation

program to provide the general public

and Federal agencies with an

opportunity to comment on proposed

and/or continuing collections of

information in accordance with the

Paperwork Reduction Act of 1995

(PRA95) [44 U.S.C. 3506(c)(2)(A)]. This

program helps to ensure that requested

data can be provided in the desired

format, reporting burden (time and

financial resources) is minimized,

collection instruments are clearly

understood, and the impact of collection

requirements on respondents can be

properly assessed. Currently, the

Employment Standards Administration

is soliciting comments concerning the

proposed revision collection of FECA

Medical Report Forms: CA–7, CA–8,

CA–16b, CA–20, CA–20a, CA–1090,

CA–1303, CA–1305, CA–1306, CA–

1314, CA–1316, CA–1331, CA–1332, A–

1336, OWCP–5a, OWCP–5b, and

OWCP–5c.

A copy of the proposed information

collection request can be obtained by

contacting the office listed below in the

addressee section of this notice.

DATES: Written comments must be

submitted to the office listed in the

addressee section below on or before

July 24, 1996. The Department of Labor

is particularly interested in comments

which:

• Evaluate whether the proposed

collection of information is necessary

for the proper performance of the

functions of the agency, including

whether the information will have

practical utility;

• Evaluate the accuracy of the

agency’s estimate of the burden of the

proposed collection of information,

including the validity of the

methodology and assumptions used;

• Enhance the quality, utility and

clarity of the information to be

collected; and

• Minimize the burden of the

collection of information on those who

are to respond, including through the

use of appropriate automated,

electronic, mechanical, or other

technological collection techniques or

other forms of information technology,

e.g., permitting electronic submissions

of responses.

ADDRESSEE: Mr. Rich Elman, U.S.

Department of Labor, 200 Constitution

Ave., NW., Room S–3201, Washington,

DC 20210, telephone (202) 219–6375

(this is not a toll-free number), fax 202–

219–6592.

SUPPLEMENTARY INFORMATION:

I. Background

Statute 5 USC 8101 et seq. of the

Federal Employees’ Compensation Act

provides for the payment of benefits for

wage-loss and/or for permanent

payment to a scheduled member, arising

out of a work-related injury or disease.

The CA–7 and CA–8 request

information, allowing the Office of

Workers’ Compensation Programs to

fulfill its statutory requirements for the

period of compensation claimed (e.g.,

the pay rate, dependents, earnings, dual

benefits and third party information).

The other forms in this proposed

revision collection collect medical
25694 Federal Register / Vol. 61, No. 100 / Wednesday, May 22, 1996 / Notices

information necessary to determine

entitlement to benefits under FECA.

II. Current Actions

The Department of Labor seeks the

revision approval to collect this

information in order to carry out its

responsibility to determine eligibility

for and the compensation of benefits.

The OWCP–5a, OWCP–5b and OWCP–

5c are being revised. The CA–1302,

formerly included in 1215–0103, is

being eliminated.

Type of Review: Revision.

Agency: Employment Standards

Administration.

Title: FECA Medical Report Forms.

OMB Number: 1215–0103.

Agency Numbers: CA–7, CA–8, CA–

16b, CA–20, CA–20a, CA–1090, CA–

1303, CA–1305, CA–1306, CA–1314,

CA–1316, CA–1331, CA–1332, A–1336,

OWCP–5a, OWCP–5b, and OWCP–5c.

Affected Public: Individuals or

households; Businesses or other forprofit; Federal Government.

Total Respondents: 441,855.

Frequency: As needed.

Total Responses: 441,855.

Estimated Total Burden Hours:

43,412.

Total Form respondents Responses Total response

time

Burden

hours

CA–7 .......................................................................................................................... 200 200 20 min .............. 67

CA–8 .......................................................................................................................... 200 200 5 min ................ 17

CA–16B ..................................................................................................................... 157,000 157,000 5 min ................ 13,083

CA–17B ..................................................................................................................... 134,000 134,000 5 min ................ 11,167

CA–20 ........................................................................................................................ 92,000 92,000 5 min ................ 7,667

CA–20a ...................................................................................................................... 20,000 20,000 5 min ................ 1,667

CA–1090 .................................................................................................................... 800 800 5 min ................ 67

CA–1303 .................................................................................................................... 4,000 4,000 20 min .............. 1,333

CA–1305 .................................................................................................................... 80 80 20 min .............. 27

CA–1306 .................................................................................................................... 25 25 10 min .............. 4

CA–1314 .................................................................................................................... 1,200 1,200 20 min .............. 400

CA–1316 .................................................................................................................... 1,100 1,100 10 min .............. 183

CA–1331 .................................................................................................................... 750 750 5 min ................ 63

CA–1332 .................................................................................................................... 1,500 1,500 30 min .............. 750

CA–1336 .................................................................................................................... 2,000 2,000 5 min ................ 167

OWCP–5a .................................................................................................................. 7,000 7,000 15 min .............. 1,750

OWCP–5b .................................................................................................................. 5,000 5,000 15 min .............. 1,250

OWCP–5c .................................................................................................................. 15,000 15,000 15 min .............. 3,750

Totals .............................................................................................................. 441,855 441,855 ........................... 43,412

Total Burden Cost (capital/startup):

$0.

Total Burden Cost (operating/

maintenance): $141,394.

Comments submitted in response to

this notice will be summarized and/or

included in the request for Office of

Management and Budget approval of the

information collection request; they will

also become a matter of public record.

Dated: May 17, 1996.

Cecily A. Rayburn,

Director, Division of Financial Management,

Office of Management, Administration and

Planning, Employment Standards

Administration.

[FR Doc. 96–12846 Filed 5–21–96; 8:45 am]

BILLING CODE 4510–27–M

NUCLEAR REGULATORY

COMMISSION

[Docket No. 030–30266, License No. 30–

23697–01E, EA 96–170]

Innovative Weaponry, Inc.,

Albuquerque, New Mexico;

Confirmatory Order Modifying License

(Effective Immediately)

I

Innovative Weaponry, Inc. of Nevada,

(IWI or Licensee) is the holder of NRC

License No. 30–23697–01E issued by

the Nuclear Regulatory Commission

(NRC or Commission) pursuant to 10

CFR Part 30. The license authorizes the

Licensee to distribute byproduct

material (i.e., tritium) in gunsights as

specified in the license. The license was

transferred from IWI of New Mexico to

IWI of Nevada on April 3, 1995.

Although due to expire on June 30,

1993, the license has remained active

based on a timely renewal application.

II

Based on its review of the results of

an NRC investigation conducted from

May 9, 1995, through March 22, 1996,

the NRC identified the following

apparent violations of IWI’s license

conditions: (1) IWI distributed tritium in

gunsights not approved by the NRC and

not specifically authorized on the

license; and (2) IWI distributed tritium

sources obtained from a manufacturer

not authorized on the license. In

addition, as indicated in a letter issued

to IWI on April 17, 1996, it appeared

that the violations were committed by

the President and Executive Vice

President of the company.

These apparent violations and the

concern that they were committed by

the President and Executive Vice

President were discussed with IWI

representatives at a predecisional

enforcement conference in Rockville,

Maryland on April 23, 1996. The

Licensee admitted that violations had

occurred but denied that there was any

intent to commit the violations.

Notwithstanding the Licensee’s position

on intent, the NRC is concerned that the

violations resulted from a lack of

effective action to assure compliance

with license requirements, despite IWI

officials being aware that the NRC

license contained limitations on what

could and could not be distributed.

III

As a result of the NRC investigation,

the NRC staff questioned whether it

should have the requisite reasonable

assurance that IWI will comply with

agency requirements. At the

predecisional enforcement conference

and a meeting on the same date to

discuss license amendment issues, the

Licensee voluntarily committed to

actions to address the NRC’s concerns

about its ability to conduct its activities

in compliance with the license and

applicable NRC requirements. The

Licensee offered to develop the

following plans and to submit them to

the NRC for approval: (1) a training plan

to assure that all IWI employees,

including management, understand the