Federal Register / Vol. 75, No. 172 / Tuesday, September 7, 2010 / Rules and Regulations 54285 

Control(s) Country chart 

NS applies to ‘‘software’’ NS Column 

1 for ‘‘use’’ of 

‘‘FADEC systems’’ 

for equipment controlled by 9A001 to 

9A003.

AT applies to entire 

entry AT Column 1. 

MT applies to ‘‘software’’ MT Column 

1 required for the 

‘‘use’’ of ‘‘FADEC 

systems’’ for gas 

turbine engines 

controlled by 

9A101, or 9A106. 

* * * * * 

List of Items Controlled 

* * * * * 

Items: 

* * * * * 

b. Fault-tolerant ‘‘software’’ used in 

‘‘FADEC systems’’ for propulsion systems and 

associated test facilities. 

■ 52. In Supplement No. 1 to Part 774 

(the Commerce Control List), Category 9, 

Aerospace and Propulsion, ECCN 9E003 

is amended by: 

■ a. Revising the SI paragraph in the 

License Requirements section; 

■ b. Removing and reserving paragraph 

a.9, and adding a note after the reserved 

a.9 in the Items paragraph of the List of 

Items Controlled section; and 

■ c. Redesignating paragraph h. as i. and 

adding a new paragraph h. in the Items 

paragraph of the List of Items 

Controlled; and 

■ d. Revising newly redesignated 

paragraph i. in the Items paragraph of 

the List of Items Controlled section to 

read as follows: 

9E003 Other ‘‘technology’’ as follows (see 

List of Items Controlled). 

* * * * * 

SI applies to 9E003.a.1 through a.8, a.10, .h 

and .i. See § 742.14 of the EAR for additional 

information. 

* * * * * 

List of Items Controlled 

* * * * * 

Items: 

a. * * * 

a.9. [Reserved] 

N.B.: For ‘‘FADEC systems’’, see 9E003.h. 

* * * * * 

h. ‘‘Technology’’ for gas turbine engine 

‘‘FADEC systems’’ as follows: 

h.1. ‘‘Development’’ ‘‘technology’’ for 

deriving the functional requirements for the 

components necessary for the ‘‘FADEC 

system’’ to regulate engine thrust or shaft 

power (e.g., feedback sensor time constants 

and accuracies, fuel valve slew rate); 

h.2. ‘‘Development’’ or ‘‘production’’ 

‘‘technology’’ for control and diagnostic 

components unique to the ‘‘FADEC system’’ 

and used to regulate engine thrust or shaft 

power; 

h.3. ‘‘Development’’ ‘‘technology’’ for the 

control law algorithms, including ‘‘source 

code’’, unique to the ‘‘FADEC system’’ and 

used to regulate engine thrust or shaft power. 

Note: 9E003.h does not apply to technical 

data related to engine-aircraft integration 

required by the civil aviation certification 

authorities to be published for general airline 

use (e.g., installation manuals, operating 

instructions, instructions for continued 

airworthiness) or interface functions (e.g., 

input/output processing, airframe thrust or 

shaft power demand). 

i. ‘‘Technology’’ not otherwise controlled in 

9E003.a.1 through a.8, a.10, and .h and used 

in the ‘‘development’’, ‘‘production’’, or 

overhaul of hot section parts and components 

of civil derivatives of military engines 

controlled on the U.S. Munitions List. 

Dated: August 26, 2010. 

Kevin J. Wolf, 

Assistant Secretary for Export 

Administration. 

[FR Doc. 2010–21688 Filed 9–3–10; 8:45 am] 

BILLING CODE 3510–33–P 

SOCIAL SECURITY ADMINISTRATION 

20 CFR Part 416 

[Docket No. SSA–2009–0017] 

RIN 0960–AD78 

Improvements to the Supplemental 

Security Income Program—Heroes 

Earnings Assistance and Relief Tax 

Act of 2008 (HEART Act) 

AGENCY: Social Security Administration. 

ACTION: Final rule. 

SUMMARY: We are revising our 

regulations to incorporate 

improvements to the Supplemental 

Security Income (SSI) program made by 

the HEART Act. The HEART Act 

changes the way we treat certain cash 

payments to members of the uniformed 

services and veterans and the way we 

treat cash and in-kind payments to 

AmeriCorps volunteers. In addition, we 

are making a technical change to our 

rules to reflect the correct section of the 

Internal Revenue Code. 

DATES: These final rules are effective 

September 7, 2010. 

FOR FURTHER INFORMATION CONTACT: Eric 

Skidmore, Office of Income Security 

Programs, Social Security 

Administration, 6401 Security 

Boulevard, Baltimore, MD 21235–6401, 

(410) 597–1833. For information on 

eligibility or filing for benefits, call our 

national toll-free number, 1–800–772– 

1213 or TTY 1–800–325–0778, or visit 

our Internet site, Social Security Online, 

at http://www.socialsecurity.gov. 

SUPPLEMENTARY INFORMATION: 

Electronic Version 

The electronic file of this document is 

available on the date of publication in 

the Federal Register at http:// 

www.gpoaccess.gov/fr/index.html. 

Background 

We are revising our regulations to 

incorporate changes to the SSI program 

made by sections 201–203 of the 

HEART Act, Public Law 110–245. The 

HEART Act amended the SSI program 

with respect to SSI benefits payable on 

or after September 1, 2008 by: 

• Treating certain cash payments to 

members of the uniformed services as 

earned income, generally providing a 

higher SSI benefit (section 201(a) of the 

HEART Act); 

• Excluding from countable income 

and resources certain annuity payments 

paid by a State (section 202 of the 

HEART Act); and, 

• Excluding any cash or in-kind 

benefit provided by AmeriCorps State 

and National and AmeriCorps National 

Civilian Community Corps (NCCC) from 

countable income for SSI eligibility and 

benefit determinations (section 203 of 

the HEART Act). 

The primary goal of the SSI program 

is to ensure a minimum level of income 

to persons who are aged 65 or older, 

blind, or disabled and who have limited 

income and resources. The law provides 

that SSI payments can be made only to 

persons who have income and resources 

below specified amounts. Therefore, 

income and resources are major factors 

in deciding SSI eligibility and the 

amount of any SSI payments. 

The HEART Act changes the way we 

apply our earned income, unearned 

income, and resource exclusion rules to 

uniformed services personnel, veterans 

and their spouses, and AmeriCorps 

participants. Under the HEART Act, 

some payments that we previously 

counted as unearned income now count 

as earned income, and some payments 

are excluded altogether for purposes of 

SSI eligibility and benefit 

determinations. Since the changes made 

by the HEART Act were effective with 

respect to SSI benefits payable 

beginning on or after September 1, 2008, 

we have already updated our 

operational instructions. We also need 

to update our rules in order to reflect 

these statutory changes. 

Explanation of Changes 

We are amending sections 416.1110, 

416.1112, 416.1124, 416.1130(b), and 

416.1210 of our rules to reflect the 

changes mandated by sections 201, 202, 

and 203 of the HEART Act. In addition, 

we are making a technical change to 


wwoods2 on DSK1DXX6B1PROD with RULES
54286 Federal Register / Vol. 75, No. 172 / Tuesday, September 7, 2010 / Rules and Regulations 

section 416.1110(c) to reflect the correct 

section of the Internal Revenue Code. 

Uniformed Services Special Pay and 

Allowances 

Before the HEART Act, we treated 

some non-wage cash payments to 

uniformed service members, i.e., the 

military housing allowance paid to 

uniformed service members who live in 

completely private housing, as unearned 

income for SSI purposes. We are 

revising section 416.1110 (What is 

earned income.) to reflect section 201 of 

the HEART Act and treat most cash 

payments to uniformed service 

members, including the military 

housing allowance for completely 

private housing, as earned income. 

The HEART Act does not change, for 

SSI eligibility and benefit 

determinations, the way we treat: 

• On-base housing and privatized 

military housing allowances. We count 

these as in-kind support and 

maintenance (ISM). Military service 

members receive a basic allowance to 

cover housing costs in on-base housing, 

privatized military housing, or 

completely private housing. Privatized 

military housing is developed and 

managed by private companies under 

agreement with the military to provide 

housing for service members, whereas 

completely private housing is not. 

• Combat-related military pay. We 

exclude this pay for an SSI recipient 

from countable income, and we exclude 

from deeming additional types of 

combat-related pay beyond special pay. 

37 U.S.C. 310; 20 CFR 416.1124(c)(19) 

and 416.1161(a)(28). We exclude from a 

spouse’s or child’s deemed income any 

additional pay that members of the 

uniformed services received because 

they were deployed to or served in a 

combat zone. 

State Annuities for Blind, Aged, or 

Disabled Veterans 

Before the HEART Act, we counted 

State annuity payments as income in the 

month received, and as a resource if 

retained into the following month. We 

are revising sections 416.1124 

(Unearned income we do not count) and 

416.1210 (Exclusions from resources; 

general) to reflect section 202 of the 

HEART Act and exclude, for SSI 

eligibility and benefit determinations, 

annuity payments that a State pays to a 

person (or his or her spouse) because 

the State has determined that the person 

is: 

• A veteran; and 

• Blind, disabled, or aged. 

Under section 202 of the HEART Act, 

we exclude these payments from 

income for the month received and from 

resources beginning with the month 

after the month received. 

AmeriCorps State and National and 

AmeriCorps NCCC Payments 

Prior to the HEART Act, we treated 

cash or in-kind payments from the 

AmeriCorps State and National and 

AmeriCorps NCCC programs as 

countable income. We are revising 

sections 416.1112 (Earned income we do 

not count) and 416.1124 (Unearned 

income we do not count) to reflect 

section 203 of the HEART Act. For SSI 

eligibility and benefit determinations, 

we will exclude from countable income 

any cash or in-kind payments to 

program participants or on the 

AmeriCorps participants behalf. Such 

payments may include, but are not 

limited to: Food and shelter, stipends, 

living allowance payments, clothing 

allowances, educational awards, and 

payments in lieu of educational awards. 

Technical Section Change 

We are also updating a citation in 20 

CFR 416.1110(c), which currently cites 

‘‘section 43 of the Internal Revenue Code 

of 1954, as amended’’ as authority for 

the earned income credit. We are 

updating that citation to refer to section 

32 of the Internal Revenue Code of 1986, 

as amended (26 U.S.C. 32). This change 

is technical in nature and does not have 

any substantive impact on our policies 

or procedures. 

Regulatory Procedures 

We follow the Administrative 

Procedure Act (APA) rulemaking 

procedures in 5 U.S.C. 553 when 

developing our regulations. The APA 

provides exceptions to its prior notice 

and public comment procedures when 

an agency finds that there is good cause 

for dispensing with such procedures 

because they are impracticable, 

unnecessary, or contrary to the public 

interest. 

In the case of these rules, we have 

determined that, under 5 U.S.C. 

553(b)(B), good cause exists for 

dispensing with the prior notice and 

public comment procedures for the 

changes we are making because all of 

these changes are required by the 

HEART Act. The statutory changes 

made by the HEART Act are selfimplementing provisions that do not 

give us any discretion in implementing 

them. The statutory changes were 

effective with respect to SSI benefits 

payable on or after September 1, 2008, 

and we have been following these 

provisions in accordance with our 

operational instructions since they 

became effective. Therefore, we have 

determined that notice and opportunity 

for comment prior to making these 

changes is unnecessary. 

In addition, we find good cause for 

dispensing with the 30-day delay in the 

effective date of a substantive rule, 

provided for by 5 U.S.C. 553(d). As 

explained above, we are revising our 

title XVI rules to reflect legislative 

provisions that are already in effect and 

that we have been applying since they 

became effective. Without these 

changes, our rules will not reflect 

current law or our operating policy and 

procedures, and thus may mislead the 

public. Therefore, we find that it is in 

the public interest to make these rules 

effective upon publication. 

Executive Order 12866 

We have consulted with the Office of 

Management and Budget (OMB) and 

determined that these final rules do not 

meet the criteria for a significant 

regulatory action under Executive Order 

12866 and were not subject to OMB 

review. 

Regulatory Flexibility Act 

We certify that these final rules will 

not have a significant economic impact 

on a substantial number of small entities 

because they only affect individuals. 

Therefore, a regulatory flexibility 

analysis is not required under the 

Regulatory Flexibility Act, as amended. 

Paperwork Reduction Act 

These rules do not create any new or 

affect any existing collections and, 

therefore, do not require Office of 

Management and Budget approval 

under the Paperwork Reduction Act. 

(Catalog of Federal Domestic Assistance 

Program No. 96.006, Supplemental Security 

Income.) 

List of Subjects in 20 CFR Part 416 

Administrative practice and 

procedure; Reporting and recordkeeping 

requirements; Supplemental Security 

Income (SSI). 

Dated: August 27, 2010. 

Michael J. Astrue, 

Commissioner of Social Security. 

■ For the reasons stated in the preamble, 

we are amending subparts K and L of 

chapter III of title 20 of the Code of 

Federal Regulations as set forth below: 

PART 416—SUPPLEMENTAL 

SECURITY INCOME FOR THE AGED, 

BLIND, AND DISABLED. 

Subpart K—[Amended] 

■ 1. The authority citation for subpart K 

of part 416 continues to read as follows: 

Authority: Secs. 702(a)(5), 1602, 1611, 

1612, 1613, 1614(f), 1621, 1631, and 1633 of 


wwoods2 on DSK1DXX6B1PROD with RULES
Federal Register / Vol. 75, No. 172 / Tuesday, September 7, 2010 / Rules and Regulations 54287 

the Social Security Act (42 U.S.C. 902(a)(5), 

1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 

1383, and 1383b); sec 211, Pub. L. 93–66, 87 

Stat. 154 (42 U.S.C. 1382 note). 

■ 2. In § 416.1110, revise the section 

heading, paragraph (a) and the first 

sentence of paragraph (c) to read as 

follows: 

§ 416.1110 What is earned income. 

* * * * * 

(a) Wages—(1) Wages paid in cash— 

general. Wages are what you receive 

(before any deductions) for working as 

someone else’s employee. Wages are the 

same for SSI purposes as for the social 

security retirement program’s earnings 

test. (See § 404.429(c) of this chapter.) 

Wages include salaries, commissions, 

bonuses, severance pay, and any other 

special payments received because of 

your employment. 

(2) Wages paid in cash to uniformed 

service members. Wages paid in cash to 

uniformed service members include 

basic pay, some types of special pay, 

and some types of allowances. 

Allowances for on-base housing or 

privatized military housing are 

unearned income in the form of in-kind 

support and maintenance. Cash 

allowances paid to uniformed service 

members for private housing are wages. 

(3) Wages paid in kind. Wages may 

also include the value of food, clothing, 

shelter, or other items provided instead 

of cash. We refer to this type of income 

as in-kind earned income. However, if 

you are a domestic or agricultural 

worker, the law requires us to treat your 

in-kind pay as unearned income. 

* * * * * 

(c) * * * Refunds on account of 

earned income credits are payments 

made to you under the provisions of 

section 32 of the Internal Revenue Code 

of 1986, as amended. * * * 

* * * * * 

■ 3. Amend § 416.1112(c) as follows: 

■ a. Remove the word ‘‘and’’ at the end 

of paragraph (c)(8); 

■ b. Remove the period at the end of 

paragraph (c)(9) and add ‘‘; and’’ in its 

place; 

■ c. Add paragraph (c)(10) to read as 

follows: 

§ 416.1112 Earned income we do not 

count. 

* * * * * 

(c) * * * 

(10) Payments made to participants in 

AmeriCorps State and National and 

AmeriCorps National Civilian 

Community Corps (NCCC). Payments to 

participants in AmeriCorps State and 

National and AmeriCorps NCCC may be 

made in cash or in-kind and may be 

made directly to the AmeriCorps 

participant or on the AmeriCorps 

participant’s behalf. These payments 

include, but are not limited to: Living 

allowance payments, stipends, 

educational awards, and payments in 

lieu of educational awards. 

■ 4. Amend § 416.1124 as follows: 

■ a. Remove the word ‘‘and’’ at the end 

of paragraph (c)(21); 

■ b. Remove the period from the end of 

paragraph (c)(22) and add ‘‘; and’’ in its 

place; and 

■ c. Add new paragraphs (c)(23) and 

(c)(24) to read as follows: 

§ 416.1124 Unearned income we do not 

count. 

* * * * * 

(c) * * * 

(23) AmeriCorps State and National 

and AmeriCorps National Civilian 

Community Corps cash or in-kind 

payments to AmeriCorps participants or 

on AmeriCorps participants’ behalf. 

These include, but are not limited to: 

Food and shelter, and clothing 

allowances; 

(24) Any annuity paid by a State to a 

person (or his or her spouse) based on 

the State’s determination that the person 

is: 

(i) A veteran (as defined in 38 U.S.C. 

101); and 

(ii) Blind, disabled, or aged. 

■ 5. Amend § 416.1130 by adding the 

following sentence to the end of 

paragraph (b) to read as follows: 

§ 416.1130 Introduction. 

* * * * * 

(b) How we define in-kind support 

and maintenance. * * * In addition, 

cash payments to uniformed service 

members as allowances for on-base 

housing or privatized military housing 

are in-kind support and maintenance. 

* * * * * 

Subpart L—[Amended] 

■ 6. The authority citation for subpart L 

of part 416 continues to read as follows: 

Authority: Secs. 702(a)(5), 1602, 1611, 

1612, 1613, 1614(f), 1621, 1631, and 1633 of 

the Social Security Act (42 U.S.C. 902(a)(5), 

1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 

1383, and 1383b); sec 211, Pub. L. 93–66, 87 

Stat. 154 (42 U.S.C. 1382 note). 

■ 7. Amend § 416.1210 as follows: 

■ a. Remove the word ‘‘and’’ at the end 

of paragraph (u); 

■ b. Remove the period from the end of 

paragraph (v) and add ‘‘; and’’ in its 

place; and 

■ c. Add paragraph (w) to read as 

follows: 

§ 416.1210 Exclusions from resources; 

general. 

* * * * * 

(w) Any annuity paid by a State to a 

person (or his or her spouse) based on 

the State’s determination that the person 

is: 

(1) A veteran (as defined in 38 U.S.C. 

101); and 

(2) Blind, disabled, or aged. 

[FR Doc. 2010–22179 Filed 9–3–10; 8:45 am] 

BILLING CODE 4191–02–P 

POSTAL SERVICE 

39 CFR Part 111 

Submission of Electronic 

Documentation With Comailed and 

Copalletized Mailings 

AGENCY: Postal ServiceTM. 

ACTION: Final rule. 

SUMMARY: The Postal Service is revising 

Mailing Standards of the United States 

Postal Service, Domestic Mail Manual 

(DMM®) 705 and 707 to require mailers 

preparing comailed or copalletized 

mailings, or mail owners who contribute 

mailpieces to a consolidated comailed 

or copalletized mailing, to submit 

electronic documentation to the USPS®

by an approved method. 

DATES: Effective Date: January 2, 2011. 

FOR FURTHER INFORMATION CONTACT: 

David Guinther at 202–268–7769 or 

Kevin Gunther at 202–268–7208. 

SUPPLEMENTARY INFORMATION: The 

support of electronic documentation for 

a comailed and copalletized mailing 

enhances the electronic visibility of the 

mailpiece, allows for a reduction in 

postal handling, and improves 

efficiency of USPS processing. 

The Postal Service published a 

proposed rule Federal Register notice, 

Submission of Electronic 

Documentation with Comailed and 

Copalletized Mailings (75 FR 32143– 

32145) on June 7, 2010. 

This final rule will require comailed 

and copalletized mailings to include 

Intelligent Mail® tray labels on trays or 

sacks. Intelligent Mail container 

placards must also be used on pallets or 

similar containers when making 

comailed or copalletized mailings. 

The Postal Service will accept piecelevel electronic documentation through 

either of two methods—Mail.dat® or 

Mail.XML®. The original container data, 

included in the Mail.dat or Mail.XML 

file, permit the tracking of containers 

from their origin, through the 

consolidation site, and ultimately into 

USPS processing. These original 


wwoods2 on DSK1DXX6B1PROD with RULES