[Federal Register Volume 59, Number 168 (Wednesday, August 31, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-21452]


[[Page Unknown]]

[Federal Register: August 31, 1994]


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PANAMA CANAL COMMISSION

35 CFR Part 103

RIN 3207-AA36

 

General Provisions Governing Vessels

AGENCY: Panama Canal Commission.

ACTION: Final rule.

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SUMMARY: On October 1, 1994, the existing rules for measurement of 
vessels using the Panama Canal will be replaced with the Panama Canal 
Universal Measurement System (PC/UMS). Currently, fees for booking 
transits at the Panama Canal are assessed at a fixed rate per Panama 
Canal Gross Ton. Inasmuch as the PC/UMS will no longer utilize a Panama 
Canal Gross Tonnage value, fees for the use of the transit booking 
system should be assessed on some other basis. This final rule 
authorizes retention of the existing method of calculating booking fees 
for vessels subject to PC/UMS transitional relief measures and the 
fixing of fees for all other vessels in reference to the PC/UMS Net 
Ton.

EFFECTIVE DATE: October 1, 1994.

FOR FURTHER INFORMATION CONTACT: Michael Rhode, Jr., Secretary, Panama 
Canal Commission, 1825 I Street NW, Suite 1050, Washington, DC 20006-
5402, (Telephone: (202) 634-6441), (Facsimile: (202) 634-6439).

SUPPLEMENTARY INFORMATION: On August 17, 1994, the President approved a 
final rule with respect to a related matter--the complete revision of 
the Rules for Measurement of Vessels for the Panama Canal as set forth 
in 35 CFR part 135. That final rule was published in the Federal 
Register (59 FR 43254) on August 22, 1994. The new measurement rules 
become effective October 1, 1994.
    Corresponding changes in the transit booking system regulations are 
necessary to reconcile 35 CFR Sec. 103.8(e) with the aforementioned 
revisions to the rules for measurement of vessels using the Panama 
Canal. On August 16, 1994 a proposed rule with a request for comments 
was published in the Federal Register (59 FR 41997). In addition, the 
Commission provided individual notice to various shipping associations 
and agents. No substantive comments were received which necessitate 
change in the final rule.
    Under existing Sec. 103.8(e), fees for booking transits at Panama 
Canal are assessed at $0.23 per Panama Canal Gross Ton. With the 
replacement of the existing measurement system on October 1, 1994, a 
Panama Canal Gross Ton value will no longer exist. Instead, the new PC/
UMS will utilize a PC/UMS Net Ton value. Accordingly, in order to 
continue using tonnage as the basis for rate assessment for the transit 
booking system, fees must be assessed on the tonnage value used in the 
PC/UMS. Therefore, transit booking fees will be fixed in relation to 
the PC/UMS Net Ton for vessels transiting the Canal for the first time 
after September 30, 1994. The final rule also provides special relief 
measures for vessels which have previously transited the Canal. These 
measures serve to minimize the financial impact of the change on the 
individual customer.
    In the first category--vessels which have not transited the Canal 
before October 1, 1994, the final rule establishes a new rate of $0.26 
per PC/UMS Net Ton. This rate of $0.26 per PC/UMS Net Ton is expected 
to result in a booking fee near the rate assessed under the existing 
system. In other words, the amount paid by an individual vessel at 
$0.26 per PC/UMS Net Ton will closely approximate the amount it would 
have paid at $0.23 per Panama Canal Gross Ton. The new booking fee rate 
will be applied to a limited number of vessels inasmuch as the number 
of first-time transits involves a relatively small number of vessels 
each year.
    As noted above, the Commission's intention is to revise the rate in 
a manner which maintains fees at approximately the same level as 
currently paid by individual vessels. Inasmuch as the revision is 
designed to reconcile paragraph 103.8(e) with the new standard tonnage 
measurement and not to otherwise alter the booking fees, the 
establishment of the $0.26 rate will approximate present booking fees 
without increasing customer costs.
    For the other and larger category--vessels which have previously 
transited the Canal, the final rule retains the existing booking fee 
computation method. This provision has its genesis in the revisions to 
the Rules for Measurement of Vessels using the Panama Canal. The PC/UMS 
contains transitional relief measures which preserve existing tonnage 
for ships transiting the Canal between March 23, 1976 (the date of the 
last significant rules change) and September 30, 1994, inclusive. The 
final booking fee rule provides that the existing method for assessing 
booking fees for these vessels be similarly retained. Vessels meeting 
the aforementioned PC/UMS requirements for transitional relief which 
use the booking system after September 30, 1994 will not be affected 
inasmuch as they will continue to pay the same fee--$0.23 per Panama 
Canal Gross Ton. For these previously-transiting vessels, the booking 
fee would change only in the event the vessel undergoes a significant 
structural change, defined in the PC/UMS as a change in the volume of 
the vessel of 10% or more. Under the PC/UMS, a vessel undergoing a 
significant structural change loses its entitlement to the relief 
measures and becomes subject to application of the PC/UMS measurement 
formulas. In such an instance, the new rate of $0.26 per PC/UMS Net Ton 
will be applied to the vessel.
    The Commission has been exempted from Executive Order 12866 and, 
accordingly, the provisions of that directive do not apply to this 
final rule. Even if the order were applicable, the final rule, which 
concerns ``rates'' and ``practices relating'' thereto, would not 
constitute a ``rule'' as that term is defined in the Regulatory 
Flexibility Act (5 U.S.C. 601(2)) and would not have a significant 
impact on a substantial number of small entities under that Act.
    A review of the environmental effect of the final rule concludes 
that it will not have a significant effect on the quality of the human 
environment. An environmental impact statement is not required under 
the National Environmental Policy Act of 1969.
    Finally, the Administrator of the Panama Canal Commission certifies 
that these regulations meet the applicable standards provided in 
sections 2(a) and 2(b)(2) of Executive Order No. 12778.

List of Subjects in 35 Part 103

    Advance reservations, Booking system, Order of transit, Panama 
Canal, Vessels.

    Accordingly, for the reasons set forth above, 35 CFR part 103 is 
amended as follows:

PART 103--GENERAL PROVISIONS GOVERNING VESSELS

    1. The authority citation for part 103 is revised to read as 
follows:

    Authority: 22 U.S.C. 3791, E.O. 12215, 45 FR 36043, 3 CFR, 1981 
Comp., p. 257.

    2. Paragraph (e) of Sec. 103.8 is revised to read as follows:


Sec. 103.8  Preference in the transit schedule; order of transiting 
vessels.

* * * * *
    (e) Booking fees. (1) For vessels measured in accordance with 
Sec. 135.13(a) of this chapter, the fee for booking shall be $0.26 per 
PC/UMS Net Ton.
    (2) For vessels subject to the transitional relief measures of 
Sec. 135.31 of this chapter and measured in accordance with 
Sec. 135.13(b) of this chapter, the fee for booking shall be $0.23 per 
Panama Canal Gross Ton as specified on the last certificate issued by 
the Panama Canal Commission between March 23, 1976 and September 30, 
1994, inclusive.
    (3) The minimum booking fee for any vessel is $1,500.
* * * * *
(Existing collections of information are approved under Office of 
Management and Budget (OMB) control number 3207-0001. Modifications 
are being submitted to OMB for approval.)

    Dated: August 26, 1994.
Gilberto Guardia F.,
Administrator, Panama Canal Commission.
[FR Doc. 94-21452 Filed 8-30-94; 8:45 am]
BILLING CODE 3640-04-P