Federal Register / Vol. 61, No. 121 / Friday, June 21, 1996 / Proposed Rules 31875

accessed from the FedWorld main menu

by selecting the ‘‘Regulatory,

Government Administration and State

Systems,’’ then selecting ‘‘Regulatory

Information Mall.’’ At that point, a

menu will be displayed that has an

option ‘‘U.S. Nuclear Regulatory

Commission’’ that will take you to the

NRC on-line main menu. The NRC online area also can be accessed directly

by typing ‘‘/go nrc’’ at a FedWorld

command line. If NRC is accessed from

FedWorld’s main menu, the user may

return to FedWorld by selecting the

‘‘Return to FedWorld’’ option from the

NRC on-line main menu. However, if

NRC at FedWorld is accessed by using

NRC’s toll-free number, the user will

have full access to all NRC systems but

not to the main FedWorld system.

If FedWorld is contacted using Telnet,

the user will see the NRC area and

menus, including the rules menu.

Although the user will be able to

download documents and leave

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write comments or upload files

(comments). If FedWorld is contacted

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within a subdirectory, with descriptions

of those files. There is a 15-minute time

limit for FTP access.

Although FedWorld also can be

accessed through the Worldwide Web,

like FTP, that mode only provides

access for downloading files and does

not display the NRC rules menu.

For more information on NRC bulletin

boards call Mr. Arthur Davis, Systems

Integration and Development Branch,

NRC, Washington, DC 20555–0001,

telephone (301)415–5780; E-mail

AXD3@nrc.gov.

Single copies of this petition may be

obtained by written request or telefax

((301)415–5144) from the Rules Review

Section, Rules Review and Directives

Branch, Division of Freedom of

Information and Publications Services,

Office of Administration, Mail Stop T6–

D59, U.S. Nuclear Regulatory

Commission, Washington, DC 20555–

0001. Certain documents related to this

petition, including comments received,

may be examined at the NRC Public

Document Room, 2120 L Street NW.

(Lower Level), Washington, DC. These

same documents also may be viewed

and downloaded electronically via the

Electronic Bulletin Board established by

NRC for this petition as indicated above.

Dated at Rockville, MD., the 17th day of

June, 1996.

For the Nuclear Regulatory Commission.

John C. Hoyle,

Secretary of the Commission.

[FR Doc. 96–15837 Filed 6–20–96; 8:45 am]

BILLING CODE 7590–01–P

DEPARTMENT OF THE INTERIOR

Bureau of Indian Affairs

25 CFR Part 2

RIN 1076–AD50

Appeals From Administrative Actions

AGENCY: Bureau of Indian Affairs,

Interior.

ACTION: Proposed rule.

SUMMARY: The Bureau of Indian Affairs

is proposing to amend its regulations on

appeals. We are proposing this

amendment as part of the President’s

National Performance Review regulatory

reform initiative. The proposal will

enhance its usability by clarifying the

language.

DATES: Comments must be received on

or before September 19, 1996.

ADDRESSES: Mail comments to Deborah

Maddox, Director of the Office of Tribal

Services, Bureau of Indian Affairs, 1849

C Street, NW, MS 4603–MIB,

Washington, D.C. 20240. Comments

may be hand delivered to the same

address from 9:00 a.m. to 4:00 p.m.

Monday through Friday.

FOR FURTHER INFORMATION CONTACT:

Deborah Maddox, Office of Tribal

Services at 202–208–3463.

SUPPLEMENTARY INFORMATION: The

authority to issue rules and regulations

is vested in the Secretary of the Interior

by 5 U.S.C. § 301 and sections 463 and

465 of the Revised Statutes, 25 U.S.C.

§§ 2 and 9. The proposed rule has been

written to facilitate its use by the

general public, tribes, and individual

Indians affected by the rule. No

substantive revisions are proposed in

this rule.

Public Participation Statement

Publication of the proposed rule by

the Department of the Interior

(Department) provides the public an

opportunity to participate in the

rulemaking process. Interested persons

may submit written comments regarding

the proposed rule to the location

identified in the ‘‘addresses’’ section of

this document.

Executive Order 12778

The Department has certified to the

Office of Management and Budget

(OMB) that these proposed regulations

meet the applicable standards provided

in sections 2(a) and 2(b)(2) of Executive

Order 12778.

Executive Order 12866

This proposed rule is not a significant

regulatory action under Executive Order

12866 and has not been reviewed by the

Office of Management and Budget.

Regulatory Flexibility Act

This proposed rule will not have a

significant economic impact on a

substantial number of small entities

under the Regulatory Flexibility Act (5

U.S.C. 601 et seq.).

Executive Order 12630

The Department has determined that

this proposed rule does not have

‘‘significant takings’’ implications. The

proposed rule does not pertain to

‘‘taking’’ of private property interests,

nor does it impact private property.

Executive Order 12612

The Department has determined that

this proposed rule does not have

significant federalism effects because it

pertains solely to Federal-tribal relations

and will not interfere with the roles,

rights and responsibilities of states.

NEPA Statement

The Department has determined that

this proposed rule does not constitute a

major Federal action significantly

affecting the quality of the human

environment and that no detailed

statement is required under the National

Environmental Policy Act of 1969.

Unfunded Mandates Act of 1995

This rule imposes no unfunded

mandates on any governmental or

private entity and is in compliance with

the provisions of the Unfunded

Mandates Act of 1995.

Paperwork Reduction Act of 1995

This rule has been examined under

the Paperwork Reduction Act of 1995

and has been found to contain no

information collection requirements.

Drafting Information

The primary author of this document

is Kimberly Toyekoyah, Bureau of

Indian Affairs, Department of the

Interior.

List of Subjects in 25 CFR Part 2

Indians-law, Indians—administrative

practice and procedure, Indians—

administrative appeals.

For the reasons given in the preamble,

part 2 of title 25, chapter I of the Code

of Federal Regulations is proposed to be

revised as set forth below.
31876 Federal Register / Vol. 61, No. 121 / Friday, June 21, 1996 / Proposed Rules

PART 2—APPEALS FROM

ADMINISTRATIVE ACTIONS

Sec.

2.1 Information collection.

2.2 Definitions.

2.3 Applicability.

2.4 Who will decide my appeal?

2.5 What can I do if the appeal causes

delays and financial losses?

2.6 When is an administrative decision

final?

2.7 How will I know an administrative

decision has been made?

2.8 What may I do if an official fails to act?

2.9 How do I appeal an administrative

decision?

2.10 What documents must I file other than

a notice of appeal?

2.11 If someone else files an appeal that

affects my interest, may I respond to the

appeal?

2.12 How do I serve appeal documents?

2.13 How do I file an appeal document?

2.14 Who is responsible for keeping record

addresses up to date?

2.15 How are periods of time computed?

2.16 May the time period for filing or

serving a document be extended?

2.17 Can an appeal be dismissed before it

is reviewed?

2.18 Can appeals be consolidated?

2.19 How do Area Directors and Education

Line Officers render decisions?

2.20 Can the Assistant Secretary—Indian

Affairs render a decision after I have

filed an appeal with the Interior Board of

Indian Appeals?

2.21 What information may the reviewing

official consider?

Authority: 5 U.S.C. 301; 25 U.S.C. 2, 9.

§ 2.1 Information collection.

In accordance with Office of

Management and Budget regulations in

5 CFR 1320.4, approval of information

collections contained in this regulation

is not required.

§ 2.2 Definitions.

Administrative decision means a

decision or action made by an official of

the Bureau of Indian Affairs.

Appeal means a written request for

review of an action or the inaction of an

official of the Bureau of Indian Affairs

that is claimed to adversely affect the

interested party making the request.

Appellant means any interested party

who files an appeal under this part.

Commissioner of Indian Affairs means

the Commissioner of Indian Affairs or

the Deputy Commissioner of Indian

Affairs.

Interested party means any person

whose interests could be adversely

affected by a decision in an appeal.

Legal holiday means a Federal holiday

as designated by the President or

Congress of the United States.

Must means a mandatory or

imperative act or requirement.

Notice of appeal means the written

document sent to the official designated

in this part, indicating that a decision is

being appealed (see § 2.9).

Person includes any Indian or nonIndian individual, corporation, tribe or

other organization.

Statement of reasons means a written

document submitted by the appellant

explaining why the decision being

appealed is in error (see § 2.10).

§ 2.3 Applicability.

(a) Except as provided in paragraph

(b) of this section, this part applies to all

appeals from decisions made by officials

of the Bureau of Indian Affairs by

persons who may be adversely affected

by these decisions.

(b) This part does not apply if any

other regulation or Federal statute

provides a different administrative

appeal procedure applicable to a

specific type of decision.

§ 2.4 Who will decide my appeal?

(a) An Area Director, if the subject of

appeal is a decision by a person under

the authority of that Area Director.

(b) An Area Director, an Education

Line Officer, a President of a PostSecondary School, or the Director,

Office of Indian Education Programs if

the appeal is from a decision of an

Office of Indian Education programs

official under his/her jurisdiction.

(c) The Assistant Secretary—Indian

Affairs under the provisions of § 2.20.

(d) The Commissioner of Indian

Affairs under the provisions of § 2.20(c).

(e) The Interior Board of Indian

Appeals, under the provisions of 43 CFR

part 4, subpart D, if the appeal is from

a decision made by an Area Director or

the Commissioner of Indian Affairs.

§ 2.5 What can I do if the appeal causes

delays and financial losses?

(a) If you believe that you may suffer

a measurable and substantial financial

loss as a direct result of the delay

caused by an appeal filed by someone

else, you may request that the official

before whom the appeal is pending

require the appellant to post a

reasonable bond adequate to protect

against that financial loss.

(b) If you request a bond, you are

responsible for proving the likelihood

that you may suffer a measurable and

substantial financial loss as a direct

result of the delay caused by the appeal.

(c) The official before whom an

appeal is pending may require the

posting of a bond on his or her own

initiative, if the official determines that

a bond is necessary to protect the

financial interests of an Indian or Indian

tribe.

(d) The official before whom an

appeal is pending must give notice of

the decision that a bond be posted or the

decision denying a request that a bond

be posted under § 2.7.

§ 2.6 When is an administrative decision

final?

(a) No decision, which at the time of

its rendition is subject to appeal to a

superior authority in the Department,

will be considered final so as to

constitute Departmental action subject

to judicial review under 5 U.S.C. 704,

unless when an appeal is filed, the

official to whom the appeal is made

determines that public safety, protection

of trust resources, or other public

exigency requires that the decision be

made effective immediately.

(b) Decisions made by officials of the

Bureau of Indian Affairs will be

effective when the time for filing a

notice of appeal has expired and no

notice of appeal has been filed.

(c) Decisions made by the Assistant

Secretary—Indian Affairs will be final

for the Department and effective

immediately unless the Assistant

Secretary—Indian Affairs provides

otherwise in the decision.

§ 2.7 How will I know an administrative

decision has been made?

(a) The official making a decision

must give the appellant and all known

interested parties written notice of the

decision by certified or registered mail,

return receipt requested. These receipts

will become a permanent part of the

record.

(b) Failure of the official making a

decision to give written notice will not

affect the validity of the decision or

action. However, the time to file a notice

of appeal regarding such a decision will

not begin to run until notice has been

given in accordance with paragraph (c)

of this section.

(c) All written decisions, except

decisions which are final for the

Department under § 2.6(c), must include

a statement that the decision may be

appealed under this part, identify the

official to whom it may be appealed and

indicate the appeal procedures,

including the 30-day time limit for filing

a notice of appeal.

§ 2.8 What may I do if an official fails to

act?

(a) If your interests are adversely

affected, or your ability to protect your

interests is impeded by the failure of an

official to act on a request to the official,

you can make the official’s inaction the

subject of appeal. You must:

(1) Request in writing that the official

take the action originally asked of the

official;
Federal Register / Vol. 61, No. 121 / Friday, June 21, 1996 / Proposed Rules 31877

(2) Describe the interest adversely

affected by the official’s inaction,

including a description of the loss,

impairment or impediment of the

interest caused by the official’s inaction;

and

(3) State that, unless the official

involved either takes action on the

merits of the written request within 10

days of receipt of the request by the

official, or establishes a date by which

action will be taken, an appeal will be

filed in accordance with this part.

(b) The official receiving a request as

specified in paragraph (a) of this section

must either:

(1) Make a decision on the merits of

the initial request within 10 days from

receipt of the request for a decision; or

(2) Establish a reasonable later date by

which the decision will be made, not to

exceed 60 days from the date of request.

(c) If an official establishes a date by

which a requested decision will be

made, this date will be the date by

which failure to make a decision will be

appealable under this part.

(d) If the official, within the 10-day

period specified in paragraph (a) of this

section, fails to make a decision on the

merits of the initial request or to

establish a later date by which a

decision will be made, the official’s

inaction will be appealable to the next

official in the process established in this

part.

§ 2.9 How do I appeal an administrative

decision?

(a) You must file a written notice of

appeal in the office of the official whose

decision is being appealed. You must

also send a copy of the notice of appeal

to the official who will decide the

appeal and to all known interested

parties. The notice of appeal must be

filed in the office of the official whose

decision is being appealed within 30

days of your receipt of the notice of

administrative action described in § 2.7.

(1) A notice of appeal that is filed by

mail is considered filed on the date that

it is postmarked. You are responsible for

proving that your notice of appeal is

timely filed.

(2) No extension of time will be

granted for filing a notice of appeal.

Notices of appeal not filed in the

specified time will not be considered,

and the decision involved will be

considered final for the Department and

effective in accordance with § 2.6(a).

(b) If you are an Indian or Indian tribe

and not represented by counsel, you

may request assistance in preparing

your appeal from the official who issued

the decision. If you request assistance,

the official who issued the decision

appealed must give you appropriate

assistance in preparing the appeal.

(c) Your notice of appeal must:

(1) Include your name, address, and

phone number.

(2) Be clearly labeled or titled with

the words ‘‘NOTICE OF APPEAL.’’

(3) Contain a statement of the decision

being appealed that is sufficient to

permit identification of the decision.

(4) Certify that copies of the notice of

appeal have been served on interested

parties, as prescribed in § 2.12(a).

(d) Your notice of appeal should:

(1) Have on the face of any envelope

in which the notice is mailed or

delivered, in addition to the address, the

clearly visible words ‘‘NOTICE OF

APPEAL.’’

(2) If possible, attach either a copy of

the notice of the administrative decision

received under § 2.7, or when an official

has failed to make a decision or take any

action, attach a copy of your request for

a decision or action under § 2.8 with a

written statement that the official failed

to make a decision or take any action or

to establish a date by which a decision

would be made upon the request.

§ 2.10 What documents must I file other

than a notice of appeal?

(a) You must file a statement of

reasons in every appeal, and it must be

accompanied by or otherwise

incorporate all supporting documents.

(b) The statement of reasons may be

included in or filed with the notice of

appeal.

(c) If the statement of reasons is not

filed with the notice of appeal, you must

file a separate statement of reasons in

the office of the official whose decision

is being appealed within 30 days after

the notice of appeal was filed in that

office.

(d) The statement of reasons whether

filed with the notice of appeal or filed

separately should:

(1) Be clearly labeled ‘‘STATEMENT

OF REASONS’’.

(2) Have on the face of any envelope

in which the statement of reasons is

mailed or delivered, in addition to the

address, the clearly visible words

‘‘STATEMENT OF REASONS’’.

§ 2.11 If someone else files an appeal that

affects my interest, may I respond to the

appeal?

Yes. You are an interested party.

(a) Any interested party may file a

written answer responding to the

appellant’s notice of appeal and

statement of reasons.

(b) Any interested party may file a

written answer describing the affected

interest and a response to the appeal.

This answer may be submitted in any

appropriate manner. The written answer

may be accompanied by or otherwise

incorporate supporting documents.

(c) The written answer must be filed

within 30 days after the statement of

reasons is received.

(d) The written answer and any

supporting documents must be filed in

the office of the official before whom the

appeal is pending as specified in § 2.13.

(e) The written answer should:

(1) Be clearly labeled or titled with

the words ‘‘ANSWER OF INTERESTED

PARTY’’;

(2) Have on the face of any envelope

in which the answer is mailed or

delivered, in addition to the address, the

clearly visible words ‘‘ANSWER OF

INTERESTED PARTY’’; and

(3) Contain a statement of the decision

being appealed that is sufficient to

permit identification of the decision.

§ 2.12 How do I serve appeal documents?

(a) All persons filing documents in an

appeal must serve copies of those

documents on all other interested

parties known to the person making the

filing.

(1) The documents must be served on

all other interested parties, either by

mail or personal delivery, at the time

the document is filed.

(2) A written statement must be filed

certifying that the document has been

served on each interested party. The

statement should show the document

involved, the name and address of the

party served, and the date of service.

(b) If an appeal is filed with the

Interior Board of Indian Appeals, a copy

of the notice of appeal must also be sent

to the Assistant Secretary—Indian

Affairs: The notice of appeal sent to the

Interior Board of Indian Appeals must

certify that a copy has been sent to the

Assistant Secretary—Indian Affairs.

(c) If the appellant is an Indian or

Indian tribe not represented by counsel,

and has requested assistance in

preparing the appeal from the official

who issued the decision, the official

will, in the manner prescribed in this

section, personally or by mail serve a

copy of all appeal documents on the

official who will decide the appeal and

on each interested party known to the

serving official.

(d) Service of any document under

this part must be by personal delivery

or by mail to the record address as

specified in § 2.14. Service on a tribe

will be to the principal or designated

tribal official or to the governing body.

(e) In all cases where a party is

represented by an attorney in an appeal,

service of any document on the attorney

is service on the party represented.

Where a party is represented by more
31878 Federal Register / Vol. 61, No. 121 / Friday, June 21, 1996 / Proposed Rules

than one attorney, service on any one

attorney is sufficient. The certificate of

service on an attorney will include the

name of the party whom the attorney

represents and indicate that service was

made on the attorney representing that

party.

(f) When an official deciding an

appeal determines that there has not

been service of a document affecting a

person’s interest, the official will either

serve the document on the person or

direct the appropriate legal counsel to

serve the document on the person and

allow the person an opportunity to

respond.

§ 2.13 How do I file an appeal document?

(a) An appeal document is properly

filed with an official of the Bureau of

Indian Affairs:

(1) By personal delivery during

regular business hours to the person

designated to receive mail in the

immediate office of the official; or

(2) By mail to the facility officially

designated for receipt of mail addressed

to the official. The document is

considered filed by mail on the date that

it is postmarked.

(b) Bureau of Indian Affairs offices

receiving a misdirected appeal

document will forward the document to

the proper office promptly. If a person

delivers an appeal document to the

wrong office or mails an appeal

document to an incorrect address, no

extension of time should be allowed

because of the time necessary for a

Bureau office to redirect the document

to the correct address.

(c) Notwithstanding any other

provision of this section, an official

deciding an appeal will allow late filing

of a misdirected document, including a

notice of appeal, where the official finds

that the misdirection is the fault of the

government.

§ 2.14 Who is responsible for keeping

record addresses up to date?

(a) Every interested party who files a

document in connection with an appeal

must, when filing the document,

indicate his/her address.

(1) Any change of address must be

promptly reported to the official with

whom the previous address was filed.

(2) The most current address on file

under this subsection will be deemed

the proper address for all purposes

under this part.

(b) The successors in interest of a

party must also promptly inform the

official specified in paragraph (a) of this

section of their interest in the appeal

and their address.

(c) An appellant or interested party

failing to file an address or change of

address as specified in this section may

not object to lack of notice or service

attributable to his/her failure to indicate

a new address.

§ 2.15 How are periods of time computed?

In computing any period of time

prescribed or allowed in this part,

calendar days will be used.

Computation will not include the day

on which a decision being appealed was

made, service or notice was received, a

document was filed, or other event

occurred causing time to begin to run.

Computation will include the last day of

the period, unless it is a Saturday, a

Sunday, or a legal holiday, in which

event the period runs until the end of

the next day which is not a Saturday, a

Sunday, or a legal holiday.

§ 2.16 May the time for filing or serving a

document be extended?

An official to whom an appeal is

made may, upon a showing of good

cause by a party and with notice to all

other parties, extend the period for

filing or serving any document;

provided, however, that no extension

will be granted for filing a notice of

appeal under § 2.9 or serve by itself to

extend any period specified by law or

regulation other than in this part.

§ 2.17 Can an appeal be dismissed before

it is reviewed?

(a) An appeal under this part will be

dismissed if the notice of appeal is not

filed within the time specified in

§ 2.9(a).

(b) An appeal under this part may be

subject to summary dismissal for the

following causes:

(1) If after the appellant is given an

opportunity to amend them, the appeal

documents do not state the reasons why

the appellant believes the decision

being appealed is in error, or the reasons

for the appeal are not otherwise evident

in the documents; or

(2) If the appellant has been required

to post a bond and fails to do so.

§ 2.18 Can appeals be consolidated?

Separate proceedings pending before

one official under this part and

involving common questions of law or

fact may be consolidated by the official

conducting the proceedings, under a

motion by any party or on the initiative

of the official.

§ 2.19 How do Area Directors or Education

Line Officers render decisions?

(a) Area Directors, Education Line

Officers and the Director, Office of

Indian Education Programs must render

written decisions in all cases appealed

to them within 60 days after all time for

pleadings (including all extensions

granted) has expired. The decision must

include a statement that the decision

may be appealed and indicate the

appeal procedures, including the 30-day

time limit for filing a notice of appeal.

(b) The official deciding the appeal

must send a copy of the decision to the

appellant and each known interested

party by certified or registered mail,

return receipt requested.

These receipts will become a

permanent part of the record.

§ 2.20 Can the Assistant Secretary—Indian

Affairs render a decision after I have filed

an appeal with the Interior Board of Indian

Appeals?

(a) When a decision is appealed to the

Interior Board of Indian Appeals, a copy

of the notice of appeal must be sent to

the Assistant Secretary—Indian Affairs.

(b) The notice of appeal sent to the

Interior Board of Indian Appeals must

certify that a copy has been sent to the

Assistant Secretary—Indian Affairs.

(c) Under 43 CFR 4.332(b), a notice of

appeal to the Board of Indian Appeals

will not be effective until 20 days after

receipt by the Board. During this time,

the Assistant Secretary—Indian Affairs

will have authority to issue a decision

in the appeal or assign responsibility to

issue a decision in the appeal to the

Commissioner of Indian Affairs. The

Assistant Secretary—Indian Affairs will

not consider petitions to exercise this

authority.

(1) If the Assistant Secretary—Indian

Affairs decides to issue a decision in the

appeal or to assign responsibility to the

Commissioner of Indian Affairs, he/she

will notify the Board of Indian Appeals,

the deciding official, the appellant, and

interested parties within 15 days of his/

her receipt of a copy of the notice of

appeal.

(2) Upon receipt of the notification,

the Board of Indian Appeals will

transfer the appeal to the Assistant

Secretary—Indian Affairs. The decision

must be signed by the Assistant

Secretary—Indian Affairs or the

Commissioner of Indian Affairs within

60 days after all time for pleadings

(including all extensions granted) has

expired.

(3) If the decision is signed by the

Assistant Secretary—Indian Affairs, it

will be final for the Department and

effective immediately unless the

Assistant Secretary—Indian Affairs

provides otherwise in the decision.

Except as otherwise provided in

§ 2.20(g), if the decision is signed by the

Commissioner of Indian Affairs, it may

be appealed to the Board of Indian

Appeals under the provisions of 43 CFR

part 4, subpart D.

(d) The official deciding the appeal

must send a copy of the decision to the
Federal Register / Vol. 61, No. 121 / Friday, June 21, 1996 / Proposed Rules 31879

appellant and each known interested

party by certified or registered mail,

return receipt requested. These receipts

will become a permanent part of the

record.

(e) If the Assistant Secretary—Indian

Affairs or the Commissioner of Indian

Affairs does not make a decision within

60 days after all time for pleadings

(including all extensions granted) has

expired, any party may move the Board

of Indian Appeals to assume jurisdiction

subject to 43 CFR 4.337(b). A motion for

Board decision under this section will

invest the Board with jurisdiction as of

the date the motion is received by the

Board.

(f) When the Board of Indian Appeals,

in accordance with 43 CFR 4.337(b),

refers an appeal containing one or more

discretionary issues to the Assistant

Secretary—Indian Affairs for further

consideration, the Assistant Secretary—

Indian Affairs will take action on the

appeal consistent with the procedures

in this section.

(g) The Assistant Secretary—Indian

Affairs will render a written decision in

an appeal from a decision of the

Director, Office of Indian Education

Programs within 60 days after all time

for pleadings (including extensions

granted) has expired. A copy of the

decision must be sent to the appellant

and each known interested party by

certified or registered mail, return

receipt requested. These receipts will

become a permanent part of the record.

The decision will be final for the

Department and effective immediately

unless the Assistant Secretary—Indian

Affairs provides otherwise in the

decision.

§ 2.21 What information may the reviewing

official consider?

(a) When a decision has been

appealed, any information available to

the reviewing official may be used in

reaching a decision whether part of the

record or not.

(b) When the official deciding an

appeal believes it appropriate to

consider documents or information not

contained in the record on appeal, the

official must notify all interested parties

of the information and give them not

less than 10 days to comment on the

information before the appeal is

decided. The deciding official will

include in the record copies of

documents or a description of the

information used in arriving at the

decision. Except where disclosure of the

actual documents used may be

prohibited by law, copies of the

information will be made available to

the parties upon request and at their

expense.

Dated: May 31, 1996.

Ada E Deer,

Assistant Secretary—Indian Affairs.

[FR Doc. 96–15501 Filed 6–20–96; 8:45 am]

BILLING CODE 4310–02–P

DEPARTMENT OF THE TREASURY

Fiscal Service

31 CFR Part 202

RIN 1510–AA42

Depositaries and Financial Agents of

the Federal Government

AGENCY: Financial Management Service,

Fiscal Service, Treasury.

ACTION: Proposed rule.

SUMMARY: This proposes to revise

regulations which govern the

designation of Depositaries and

Financial Agents of the Federal

Government (depositaries); their

authorization to accept deposits of

public money and to perform other

specific services; and the securing of

public money. The proposed revisions

update, clarify, and simplify current

requirements, but do not change them.

Outdated references to specific

acceptable insurers are deleted. Existing

language concerning the types and

valuation of acceptable collateral

securities and the authorization for

depositaries to perform services other

than acceptance of insured deposits is

clarified. In addition, various references

are updated.

DATES: Comments must be submitted on

or before August 5, 1996.

ADDRESSES: All comments concerning

these proposed regulations should be

addressed to the Cash Management

Policy and Planning Division, Financial

Management Service, 401 14th Street,

S.W., Room 420, Washington, DC 20227,

Attn. Donald E. Clark.

FOR FURTHER INFORMATION CONTACT:

Donald E. Clark, (202) 874–7106

(Financial Program Specialist, Cash

Management Policy and Planning

Division) or Cynthia L. Johnson, (202)

874–6590 (Director, Cash Management

Policy and Planning Division).

SUPPLEMENTARY INFORMATION:

Background

Depositaries accepting deposits of

public money and providing other

financial agency services to the United

States are required to pledge adequate

acceptable securities as collateral, as

directed by the Secretary of the Treasury

(Secretary). The Secretary previously

promulgated regulations, codified at 31

CFR part 202, setting forth the general

requirements for designating

depositaries and the pledging of

collateral to secure public money held

by depositaries.

Since these regulations were last

amended, the Secretary has revised the

types and valuations of acceptable

collateral for securing public money

referenced in this part. In addition,

these regulations reference the Federal

Savings and Loan Insurance Corporation

(FSLIC) as an acceptable insurer of

deposits. FSLIC has been abolished.

Summary of Changes

1. Types and Valuation of Acceptable

Collateral Securities

The current rule provides that certain

identified securities are acceptable as

collateral at face value, unless otherwise

specified by the Secretary. The

Secretary has recognized that the use of

face value for managing the level of

pledged collateral is problematic

because the true value of a security is

rarely the face value, except on the day

of redemption. A common practice of

the Federal Reserve bank and United

States Department of the Treasury when

valuing collateral is to apply market

discounts, i.e., subtractions, to the value

of the collateral to account for market

volatility due to interest rate

fluctuations, the quality of the security

pledged, or the financial instability of

the pledging institution. Therefore,

since this Part was last amended, the

Secretary has ‘‘otherwise specified’’ that

certain securities, including certain of

those expressly referenced in the

current rule, are acceptable only at 90%

of face value, rather than at 100% of

face value.

Because the Secretary has otherwise

specified the types and valuations of

acceptable collateral securities, revision

of this part will eliminate any possible

confusion regarding acceptable

collateral security types and valuation

under this part. The proposed rule

provides that types and valuation of

acceptable collateral securities will be

specified in Treasury procedural

instructions. Treasury issued these

procedural instructions to Federal

Reserve banks, which disseminated

them to financial institutions pledging

collateral under this Part.

2. Financial Institution Insurers

The current rule provides that eligible

banks insured by the Federal Deposit

Insurance Corporation (FDIC) and

eligible institutions insured by FSLIC

are designated as depositaries. The

proposed rule deletes references to

FSLIC, which has been abolished, and