[Federal Register Volume 60, Number 14 (Monday, January 23, 1995)]
[Rules and Regulations]
[Pages 4376-4377]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-1594]
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DEPARTMENT OF THE TREASURY
Fiscal Service
31 CFR Parts 306 and 357
General Regulations Governing U.S. Securities and Regulations
Governing Book-Entry Treasury Bonds, Notes and Bills
AGENCY: Bureau of the Public Debt, Fiscal Service, Treasury.
ACTION: Final rule.
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SUMMARY: This final rule amends the general regulations governing
United States securities and the regulations governing book-entry
Treasury securities to implement a provision of the Treasury, Postal
Service and General Government Appropriations Act of 1995. The
legislation authorizes the Treasury to collect a fee for each
definitive Treasury security issued to customers, and to collect an
annual fee for each TREASURY DIRECT securities account that exceeds a
stipulated amount.
EFFECTIVE DATE: January 23, 1995.
FOR FURTHER INFORMATION CONTACT: Maureen Parker, Director, Division of
Securities Systems, Bureau of the Public Debt, (304) 480-7761; Susan
Klimas, Attorney-Adviser, Office of the Chief Counsel, Bureau of the
Public Debt, (304) 480-5192.
SUPPLEMENTARY INFORMATION: The Treasury, Postal Service and General
Government Appropriations Act of 1995 (Pub. L. 103-329), authorizes the
Secretary to collect a fee of not less than $46 for each definitive
security issued to customers. The general regulations governing United
States securities are contained in 31 CFR Part 306. A definitive
security is a Treasury bond, note, certificate of indebtedness, or bill
issued in engraved or printed form. Although securities in definitive
form are no longer available on original issue, certain older issues of
Treasury securities, by the terms of their issue, are still available
in definitive form. The fees are to be imposed on each definitive
security issued or reissued upon the request of a customer, to enable
the Department to recoup the costs connected with such issuance. The
fees must be paid in full when the transaction is requested. The
Department intends to begin the collection of these fees on January 30,
1995.
Therefore, Part 306 is amended by adding a new Section 306.24, to
provide that a fee will be charged for each definitive security issued
as a result of a transfer, reissue, exchange or withdrawal from book-
entry form, or the granting of relief on account of loss or theft, in
accordance with a fee schedule. The fee schedule applicable appears
separately as a notice in this issue of the Federal Register. Future
fee schedule changes, if any, will be announced through a notice
published in the Federal Register.
The Treasury, Postal Service and General Government Appropriations
Act of 1995 (Pub. L. 103-329) also authorizes the Secretary to collect
an annual fee of not less than $25.00 for each Treasury Direct Investor
Account in the Treasury Direct book-entry securities system which
exceeds $100,000 (par value). The regulations governing such securities
are contained in 31 CFR Part 357. The category of accounts covered by
the legislation is referred to in Part 357 as a ``Securities account'',
and defined in Section 357.20. Fees will be charged to reduce the cost
of maintaining large Treasury Direct Investor Accounts. A bill will be
mailed to the investor for each account subject to the charge. The
Department intends to begin the collection of these fees for accounts
in the applicable amount as of May 19, 1995.
Accordingly, Part 357 is amended to add new paragraph (f) to
Section 357.20. Paragraph (f) provides that accounts above a stipulated
par amount will be charged a fee. The accounts to which the fee will
apply, and the amount of such fee, are published separately as a notice
in this issue of the Federal Register.
Procedural Requirements
It has been determined that this final rule does not meet the
criteria for a ``significant regulatory action,'' as defined in
Executive Order 12866. Therefore, the regulatory review procedures
contained therein do not apply.
This final rule relates to matters of public contract and
procedures for U.S. securities, as well as the borrowing power and
fiscal authority of the United States. Accordingly, pursuant to 5 U.S.C
553(a)(2), the notice, public comment and delayed effective date
provisions of the Administrative Procedure Act do not apply. As no
notice of proposed rulemaking is required, the provisions of the
Regulatory Flexibility Act (5 U.S.C. 601, et seq.) do not apply.
[[Page 4377]]
As there are no new collections of information contained in this
final rule, the Paperwork Reduction Act (44 U.S.C. 3504) does not
apply.
List of Subjects in 31 CFR Parts 306 and 357
Banks, Banking, Bonds, Federal Reserve System, Government
securities.
Dated: January 17, 1995.
Gerald Murphy,
Fiscal Assistant Secretary.
For the reasons set out in the preamble, 31 CFR Parts 306 and 357
are amended, as follows:
PART 306--GENERAL REGULATIONS GOVERNING U.S. SECURITIES
1. The authority citation for Part 306 continues to read as
follows:
Authority: 31 U.S.C. Chapter 31, 5 U.S.C. 301 and 12 U.S.C. 391.
2. A new section, 306.24, is added to subpart C to read as follows:
Sec. 306.24 Collection of fees on definitive securities.
A fee shall be charged for each definitive security, as defined in
Sec. 306.115 (a), issued as a result of a transfer, exchange, reissue,
withdrawal from book-entry, or the granting of relief on account of
loss, theft, destruction, mutilation, or defacement. The applicable
fee, and the basis for its determination, will be published by notice
in the Federal Register.
PART 357--REGULATIONS GOVERNING BOOK-ENTRY TREASURY BONDS, NOTES
AND BILLS (DEPARTMENT OF THE TREASURY CIRCULAR, PUBLIC DEBT SERIES
NO. 2-86)
3. The authority citation for Part 357 continues to read as
follows:
Authority: 31 U.S.C. Chapter 31, 5 U.S.C. 301 and 12 U.S.C. 391.
4. Section 357.20 is amended by adding a new paragraph (f) to read
as follows:
Sec. 357.20 Securities account in TREASURY DIRECT.
* * * * *
(f) Account maintenance fees. An annual maintenance fee shall be
charged for each TREASURY DIRECT securities account holding securities
that in the aggregate exceed a stipulated par amount. The amount of the
fee will be published by notice in the Federal Register.
* * * * *
[FR Doc. 95-1594 Filed 1-20-95; 8:45 am]
BILLING CODE 4810-39-P