Document ID: USCG-2011-0745-0001
Agency: uscg
Document Type: Proposed Rule
Title: NPRM:  International Anti-fouling System Certificate (Federal Registr Publication)
Posted Date: 2011-09-01T04:00Z

[Federal Register Volume 76, Number 170 (Thursday, September 1, 2011)]
[Proposed Rules]
[Pages 54419-54422]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-22361]

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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

46 CFR Part 8

[Docket No. USCG-2011-0745]
RIN 1625-AB79

International Anti-Fouling System Certificate

AGENCY: Coast Guard, DHS.

ACTION: Notice of proposed rulemaking.

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SUMMARY: The Coast Guard proposes to amend its vessel inspection 
regulations to add the International Anti-fouling System (IAFS) 
Certificate to the list of certificates a recognized classification 
society may issue on behalf of the Coast Guard. This action is being 
taken in response to recently enacted legislation implementing the 
International Convention on the Control of Harmful Anti-fouling Systems 
on Ships, 2001. This proposed rule would enable recognized 
classification societies to apply to the Coast Guard for authorization 
to issue IAFS Certificates to vessel owners on behalf of the Coast 
Guard.

DATES: Comments and related material must either be submitted to our 
online docket via http://www.regulations.gov on or before October 3, 
2011 or reach the Docket Management Facility by that date.

ADDRESSES: You may submit comments identified by docket number USCG-
2011-0745 using any one of the following methods:
    (1) Federal eRulemaking Portal: http://www.regulations.gov.
    (2) Fax: 202-493-2251.
    (3) Mail: Docket Management Facility (M-30), U.S. Department of 
Transportation, West Building Ground Floor, Room W12-140, 1200 New 
Jersey Avenue, SE., Washington, DC 20590-0001.
    (4) Hand delivery: Same as mail address above, between 9 a.m. and 5 
p.m., Monday through Friday, except Federal holidays. The telephone 
number is 202-366-9329.
    To avoid duplication, please use only one of these four methods. 
See the ``Public Participation and Request for Comments'' portion of 
the SUPPLEMENTARY INFORMATION section below for instructions on 
submitting comments.

FOR FURTHER INFORMATION CONTACT: If you have questions on this rule, e-
mail or call Mr. John Meehan, Environmental Standards Division, Coast 
Guard, e-mail john.a.meehan@uscg.mil, telephone 202-372-1429. If you 
have questions on viewing or submitting material to the docket, call 
Renee V. Wright, Program Manager, Docket Operations, telephone 202-366-
9826.

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Public Participation and Request for Comments
    A. Submitting Comments
    B. Viewing Comments and Documents
    C. Privacy Act
    D. Public Meeting
II. Abbreviations
III. Background
IV. Discussion of Proposed Rule
V. Regulatory Analyses
    A. Regulatory Planning and Review
    B. Small Entities
    C. Assistance for Small Entities
    D. Collection of Information
    E. Federalism
    F. Unfunded Mandates Reform Act
    G. Taking of Private Property
    H. Civil Justice Reform
    I. Protection of Children
    J. Indian Tribal Governments
    K. Energy Effects
    L. Technical Standards
    M. Environment

I. Public Participation and Request for Comments

    We encourage you to participate in this rulemaking by submitting 
comments and related materials. All comments received will be posted, 
without change, to http://www.regulations.gov and will include any 
personal information you have provided.

A. Submitting Comments

    If you submit a comment, please include the docket number for this 
rulemaking (USCG-2011-0745), indicate the specific section of this 
document to which each comment applies, and provide a reason for each 
suggestion or recommendation. You may submit your comments and material 
online, or by fax, mail, or hand delivery, but please use only one of 
these means. We recommend that you include your name and a mailing 
address, an e-mail address, or a telephone number in the body of your 
document so that we can contact you if we have questions regarding your 
submission.
    To submit your comments online, go to http://www.regulations.gov 
and click on the ``submit a comment'' box, which will then become 
highlighted in blue. In the ``Document Type'' drop down menu, select 
``Proposed Rule,'' and insert ``USCG-2011-0745'' in the ``Keyword'' 
box. Click ``Search,'' then click on the balloon shape in the 
``Actions'' column. If you submit your comments by mail or hand 
delivery, submit them in an unbound format, no larger than 8\1/2\ by 11 
inches, suitable for copying and electronic filing. If you submit 
comments by mail and would like to know that they reached the Facility, 
please enclose a stamped, self-addressed postcard or envelope.
    We will consider all comments and material received during the 
comment period and may change this proposed rule based on your 
comments.

B. Viewing Comments and Documents

    To view comments, as well as documents mentioned in this preamble 
as being available in the docket, go to http://www.regulations.gov and 
click on the ``Read Comments'' box, which will then become highlighted 
in blue. In the ``Keyword'' box, insert ``USCG-2011-0745'' and click 
``Search.'' Click the ``Open Docket Folder'' option in the ``Actions'' 
column. If you do not have access to the Internet, you may view the 
docket online by visiting the Docket Management Facility in Room W12-
140 on the ground floor of the Department of Transportation West 
Building, 1200 New Jersey Avenue, SE., Washington, DC 20590, between 9 
a.m. and 5 p.m., Monday through Friday, except Federal holidays. We 
have an agreement with the Department of Transportation to use the 
Docket Management Facility.

C. Privacy Act

    Anyone can search the electronic form of all comments received into 
any of our dockets by the name of the individual submitting the comment 
(or signing the comment, if submitted on behalf of an association, 
business, labor union, etc.). You may review a Privacy Act notice 
regarding our public dockets in the January 17, 2008, issue of the 
Federal Register (73 FR 3316).

D. Public Meeting

    We do not now plan to hold a public meeting. However, you may 
submit a public meeting request to the docket using one of the methods 
specified under ADDRESSES. In your request, explain why you believe a 
public meeting would be beneficial. If we determine that holding a 
public meeting

[[Page 54420]]

would aid this rulemaking, we will hold one at a time and place 
announced by a later notice in the Federal Register.

II. Abbreviations

CFR: Code of Federal Regulations.
DHS: Department of Homeland Security.
FR: Federal Register.
IAFS: International Anti-fouling System
NAICS: North American Industry Classification System.
NPRM: Notice of proposed rulemaking.
Sec.  : Section.
U.S.C.: United States Code.

III. Background

    The Coast Guard Authorization Act of 2010 at Title X, Public Law 
111-281, 124 Stat. 3023, 33 U.S.C. 3801 to 3857 (Oct. 15, 2010), 
directs the Secretary of Homeland Security to administer and enforce 
the International Convention on the Control of Harmful Anti-fouling 
Systems on Ships, 2001 (Convention). Section 1021 of Title X (33 U.S.C. 
3821) and Regulation 2 of Annex 4 of the Convention call for U.S. 
Government officials, or an organization identified by the United 
States, to issue International Anti-fouling System (IAFS) Certificates 
to ships whose anti-fouling systems fully comply with the Convention.
    Under the Convention, an ``anti-fouling system'' is defined as a 
coating, paint, surface treatment, surface, or device that is used on a 
ship to control or prevent attachment of unwanted organisms. The 
Convention is currently focused on reducing pollution caused by 
organotin compounds used in anti-fouling systems.
    Since the mid-1990s, under authority of 46 U.S.C. 3103, 3306, 3316 
and 3703, and regulations in 46 CFR part 8, the Coast Guard has 
authorized recognized classification societies to issue international 
certificates to vessels. The United States currently recognizes six 
classification societies for purposes of issuing international 
certificates: the American Bureau of Shipping (ABS, United States), Det 
Norske Veritas (DNV, Norway), Lloyd's Register (LR, Great Britain), 
Germanischer Lloyd (GL, Germany), Bureau Veritas (BV, France), and 
RINA, S.p.A. (RINA, Italy).
    The list of international certificates the Coast Guard may 
authorize a recognized classification society to issue appears in 46 
CFR 8.320. That list currently includes 12 certificates, but does not 
include the IAFS Certificate.

IV. Discussion of the Proposed Rule

    The Coast Guard proposes to amend 46 CFR 8.320(b) by adding the 
IAFS Certificate to the current list of international convention 
certificates included in that paragraph. Adding the IAFS Certificate to 
Sec.  8.320(b) would allow the Coast Guard to authorize recognized 
classification societies to issue IAFS Certificates. Authorization 
would be based on the Coast Guard's review of applicable class rules 
and applicable classification society procedures. See 46 CFR 8.320(a). 
The Coast Guard would then enter into a written agreement with a 
recognized classification society authorized to issue international 
convention certificates. The agreement would define the scope, terms, 
conditions, and requirements of that delegation. See 46 CFR 8.320(c).

V. Regulatory Analyses

    We developed this rule after considering numerous statutes and 
executive orders related to rulemaking. Below we summarize our analyses 
based on 14 of these statutes or executive orders.

A. Regulatory Planning and Review

    Executive Orders 12866 (``Regulatory Planning and Review'') and 
13563 (``Improving Regulation and Regulatory Review'') direct agencies 
to assess the costs and benefits of available regulatory alternatives 
and, if regulation is necessary, to select regulatory approaches that 
maximize net benefits (including potential economic, environmental, 
public health and safety effects, distributive impacts, and equity). 
Executive Order 13563 emphasizes the importance of quantifying both 
costs and benefits, of reducing costs, of harmonizing rules, and of 
promoting flexibility. This notice of proposed rulemaking (NPRM) has 
not been designated a ``significant regulatory action'' under section 
3(f) of Executive Order 12866. Accordingly, the NPRM has not been 
reviewed by the Office of Management and Budget. A draft regulatory 
assessment follows.
    Under the authority of 46 U.S.C. 3103, 3306, 3316, and 3703, the 
Coast Guard proposes to amend 46 CFR 8.320, to enable the Coast Guard 
to delegate the activity of issuing IAFS Certificates to a recognized 
classification society which would act on behalf of the Coast Guard. 
The intent of this proposed rule is only to allow for the delegation of 
IAFS Certification to recognized class societies; it does not impose 
mandatory actions on the U.S. maritime industry.
    This proposed rule initiates the process that may allow recognized 
classification societies to issue IAFS Certificates on behalf of the 
Coast Guard. Any recognized classification society that wishes to issue 
IAFS Certificates on the Coast Guard's behalf would be required to 
request a delegation of authority from the Coast Guard pursuant to the 
procedures in 46 CFR part 8. In response, the Coast Guard would 
evaluate the application, and review the applicant's applicable class 
rules and applicable classification society procedures, before deciding 
whether to issue a delegation of authority to the applicant.
    Although requesting the delegation of authority to conduct IAFS 
surveys, inspections, and certifications is voluntary, classification 
societies may incur minor costs associated with this process. The Coast 
Guard may incur costs associated with the evaluation of these requests 
and the issuance of delegations of authority to recognized 
classification societies.
    The Coast Guard estimates that this proposed rule would potentially 
affect six classification societies which may request a delegation of 
authority to issue IAFS Certificates. The Coast Guard used OMB-approved 
collections of information (1625-0101, 1625-0095, 1625-0093, and 1625-
0041) to estimate the costs and burden.
    The Coast Guard estimates that it will take classification society 
employees about 5.25 hours to review the rulemaking requirements and 
prepare the delegation request, at an average one-time cost of $458.50 
per classification society (3.5 hours at $112 per hour for a director 
and 1.75 hours at $38 per hour for a secretary). The total one-time 
cost for all six classification societies is estimated to be $2,800 
(rounded).
    In addition, the Coast Guard estimates that it will incur a one-
time cost to review and approve the requests for delegation. Based on 
the OMB-approved collections of information discussed above, the Coast 
Guard estimates that it will take about 5 hours to review, approve, and 
issue an order to delegate authority, at an average cost of $360 per 
event (3.5 hours for reviewing/approving and 1.5 hours for issuing at 
$72 per hour for a lieutenant). The Coast Guard estimates a total one-
time Government cost of $2,200 (rounded) based on OMB-approved 
collection of information estimates.
    The Coast Guard estimates the total one-time cost of this proposed 
rule to be $5,000 (non-discounted) for classification societies and the 
Government combined.
    This proposed rule may result in several benefits to the U.S. 
maritime industry. First, it may result in a reduction of potential 
wait time for IAFS Certificates. In the absence of delegation of 
authority to classification societies, vessel owners and operators may 
experience delays while the Coast Guard processes and issues IAFS

[[Page 54421]]

Certificates. Combined with the Coast Guard's other activities and 
responsibilities, such a process could result in an unnecessary and 
burdensome wait for vessels. The Coast Guard might also have to 
redirect resources that could be used for other missions, resulting in 
a less efficient use of Government resources. Finally, this proposed 
rule may mitigate potential consequences to U.S. flag vessels due to 
non-compliance with the Convention, including costly vessel detentions 
in foreign ports.

B. Small Entities

    Under the Regulatory Flexibility Act (5 U.S.C. 601-612), the Coast 
Guard has considered whether this proposed rule would have a 
significant economic impact on a substantial number of small entities. 
The term ``small entities'' comprises small businesses, not-for-profit 
organizations that are independently owned and operated and are not 
dominant in their fields, and governmental jurisdictions with 
populations of less than 50,000.
    Classification societies affected by this proposed rule would be 
classified under one of the following North American Industry 
Classification System (NAICS) 6-digit codes for water transportation: 
488330--Navigation Services to Shipping, 488390--Other Support 
Activities for Water Transportation, or 541611--Administrative 
Management and General Management Consulting Services.
    The Coast Guard did not find any classification societies directly 
affected by this rule that are small businesses or governments with 
populations of less than 50,000. The only predominate U.S. 
classification society is the American Bureau of Shipping (ABS). ABS is 
a privately owned non-profit organization that is dominant in its field 
(Source: 2011 Hoovers, http://www.hoovers.com/company/American_Bureau_of_Shipping_Inc/rfsksji-1.html). Based on publicly available 
information, ABS has more than 3,000 employees and an annual revenue of 
more than $800 million (Source: 2011 Bloomberg, http:// 
investing.businessweek.com/research/stocks/private/person.asp?personId=28915205&privcapId=4217113&previousCapId=764755&previousTitle=ABS%20Group%20of%20Companies,%20Inc). We do not consider ABS 
to be a small entity under the Regulatory Flexibility Act. The other 
classification societies affected by this rule are foreign owned and 
operated.
    The Coast Guard expects that this proposed rule will not have a 
significant economic impact on a substantial number of small entities. 
As described in section V.A. of this preamble, ``Regulatory Planning 
and Review,'' the anticipated cost of this rule, per class society, is 
less than $500. This proposed rule is not mandatory, and classification 
societies, regardless of size, will choose to participate only if the 
benefits are greater than the costs.
    Therefore, the Coast Guard certifies under 5 U.S.C. 605(b) that 
this proposed rule, if promulgated, will not have a significant 
economic impact on a substantial number of small entities. If you think 
that your business, organization, or governmental jurisdiction 
qualifies as a small entity and that this rule will have a significant 
economic impact on it, please submit a comment using one of the methods 
listed under ADDRESSES. In your comment, explain why you think it 
qualifies and how and to what degree this rule would economically 
affect it.

C. Assistance for Small Entities

    Under section 213(a) of the Small Business Regulatory Enforcement 
Fairness Act of 1996 (Pub. L. 104-121), the Coast Guard wants to assist 
small entities in understanding this proposed rule so that they can 
better evaluate its effects on them and participate in the rulemaking. 
If the proposed rule would affect your small business, organization, or 
governmental jurisdiction and you have questions concerning its 
provisions or options for compliance, please consult Mr. John Meehan, 
Environmental Standards Division, Coast Guard, telephone 202-372-1429 
or e-mail john.a.meehan@uscg.mil. The Coast Guard will not retaliate 
against small entities that question or complain about this rule or any 
policy or action of the Coast Guard.

D. Collection of Information

    This proposed rule would call for no new collection of information 
under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520) because 
the Coast Guard expects that the number of applications will be less 
than 10 in any given year.

E. Federalism

    A rule has implications for federalism under Executive Order 13132, 
Federalism, if it has a substantial direct effect on State or local 
governments and would either preempt State law or impose a substantial 
direct cost of compliance on them. We have analyzed this proposed rule 
under that Order and have determined that it does not have implications 
for federalism.

F. Unfunded Mandates Reform Act

    The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538) 
requires Federal agencies to assess the effects of their discretionary 
regulatory actions. In particular, the Act addresses actions that may 
result in the expenditure by a State, local, or tribal government, in 
the aggregate, or by the private sector, of $100,000,000 (adjusted for 
inflation) or more in any one year. Though this proposed rule will not 
result in such an expenditure, the Coast Guard does discuss the effects 
of this rule elsewhere in this preamble.

G. Taking of Private Property

    This proposed rule would not affect a taking of private property or 
otherwise have takings implications under Executive Order 12630, 
Governmental Actions and Interference with Constitutionally Protected 
Property Rights.

H. Civil Justice Reform

    This proposed rule meets applicable standards in sections 3(a) and 
3(b)(2) of Executive Order 12988, Civil Justice Reform, to minimize 
litigation, eliminate ambiguity, and reduce burden.

I. Protection of Children

    The Coast Guard has analyzed this rule under Executive Order 13045 
Protection of Children from Environmental Health Risks and Safety 
Risks. This proposed rule is not an economically significant rule and 
does not create an environmental risk to health or risk to safety that 
may disproportionately affect children.

J. Indian Tribal Governments

    This proposed rule does not have tribal implications under 
Executive Order 13175 Consultation and Coordination with Indian Tribal 
Governments, because it does not have a substantial direct effect on 
one or more Indian tribes, on the relationship between the Federal 
Government and Indian tribes, or on the distribution of power and 
responsibilities between the Federal Government and Indian tribes.

K. Energy Effects

    The Coast Guard has analyzed this proposed rule under Executive 
Order 13211 Actions Concerning Regulations That Significantly Affect 
Energy Supply, Distribution, or Use. The Coast Guard has determined 
that this proposed rule is not a ``significant energy action'' under 
that order because it is not a ``significant regulatory action'' under 
Executive Order 12866, supplemented by Executive Order 13563, and is 
not

[[Page 54422]]

likely to have a significant adverse effect on the supply, 
distribution, or use of energy. The Administrator of the Office of 
Information and Regulatory Affairs has not designated this proposed 
rule as a significant energy action. Therefore, it does not require a 
Statement of Energy Effects under Executive Order 13211.

L. Technical Standards

    The National Technology Transfer and Advancement Act (15 U.S.C. 272 
note) directs agencies to use voluntary consensus standards in their 
regulatory activities unless the agency provides Congress, through the 
Office of Management and Budget, with an explanation of why using these 
standards would be inconsistent with applicable law or otherwise 
impractical. Voluntary consensus standards are technical standards 
(e.g., specifications of materials, performance, design, or operation; 
test methods; sampling procedures; and related management systems 
practices) that are developed or adopted by voluntary consensus 
standards bodies.
    This proposed rule does not use technical standards. Therefore, the 
Coast Guard did not consider the use of voluntary consensus standards.

M. Environment

    The Coast Guard has analyzed this proposed rule under Department of 
Homeland Security Management Directive 023-01 and Commandant 
Instruction M16475.lD, which guide the Coast Guard in complying with 
the National Environmental Policy Act of 1969 (42 U.S.C. 4321-4370f), 
and has made a preliminary determination that this action is one of a 
category of actions that do not individually or cumulatively have a 
significant effect on the human environment. A preliminary 
environmental analysis checklist supporting this determination is 
available in the docket where indicated under the ``Public 
Participation and Request for Comments'' section of this preamble. This 
proposed rule involves the delegation of authority, the inspection and 
documentation of vessels, and congressionally-mandated regulations 
designed to improve or protect the environment. This action falls under 
section 2.B.2, figure 2-1, paragraphs (34)(b) and (d), of the 
Instruction, and under section 6(b) of the ``Appendix to National 
Environmental Policy Act: Coast Guard Procedures for Categorical 
Exclusions, Notice of Final Agency Policy'' (67 FR 48243, July 23, 
2002). The Coast Guard seeks any comments or information that may lead 
to the discovery of a significant environmental impact from this 
proposed rule.

List of Subjects for 46 CFR Part 8

    Administrative practice and procedure, Incorporation by reference, 
Organization and functions (Government agencies), Reporting and 
recordkeeping requirements, Vessels.

    For the reasons discussed in the preamble, the Coast Guard proposes 
to amend 46 CFR part 8 as follows:

PART 8--VESSEL INSPECTION ALTERNATIVES

    1. The authority citation for part 8 is revised to read as follows:

    Authority: 33 U.S.C. 3803 and 3821; 46 U.S.C. 3103, 3306, 3316, 
3703; Department of Homeland Security Delegation No. 0170.1.

    2. Amend Sec.  8.320 as follows:
    a. In paragraph (b)(11), remove the word ``and'';
    b. In paragraph (b)(12), remove the period at the end of the 
sentence and add, in its place, the text ``; and''; and
    c. Add paragraph (b)(13) to read as follows:

Sec.  8.320  Classification society authorization to issue 
international certificates.

* * * * *
    (b) * * *
    (13) International Anti-fouling System Certificate.
* * * * *

    Dated: August 25, 2011.
F.J. Sturm,
Acting Director of Commercial Regulations and Standards, U.S. Coast 
Guard.
[FR Doc. 2011-22361 Filed 8-31-11; 8:45 am]
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