[Federal Register Volume 60, Number 39 (Tuesday, February 28, 1995)]
[Proposed Rules]
[Pages 10814-10815]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-4795]



=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF JUSTICE

Drug Enforcement Administration

21 CFR Part 1310

[DEA No. 128P]
RIN 1117-AA26


Records, Reports, and Exports of Listed Chemicals

agency: Drug Enforcement Administration (DEA), Justice.

action: Notice of Proposed Rulemaking.

-----------------------------------------------------------------------

summary: This rule proposes to include methyl isobutyl ketone (MIBK) as 
a List II Chemical under the Controlled Substances Act (CSA) for the 
purpose of imposing controls on exports which may be destined for 
cocaine producing regions. This proposed action by the DEA Deputy 
Administrator is based on substantial evidence that MIBK is 
increasingly being used as a solvent in the production of cocaine 
hydrochloride during the conversion of cocaine base to cocaine 
hydrochloride. The recent steps by the Government of Colombia (GOC) to 
control MIBK further support this proposed action.
    This proposed action will only effect export transactions; 
international transactions in which a U.S. broker or trader 
participates; and transshipments through the U.S., which are greater 
than 500 gallons or 1523 kilograms of MIBK destined for countries in 
the Western Hemisphere (with the exception of transactions destined for 
Canada).

dates: Written comments and objections must be received on or before 
March 30, 1995.

addresses: Comments and objections should be submitted in quintuplicate 
to the Deputy Assistant Administrator, Office of Diversion Control, 
Drug Enforcement Administration, Washington, DC 20537, Attention: DEA 
Federal Register Representative/CCR.

for further information contact: Howard McClain Jr., Chief, Drug and 
Chemical Evaluation Section, Office of Diversion Control, Drug 
Enforcement Administration, Washington, DC 20537 at (202) 307-7183.

supplementary information: The Controlled Substances Act (CSA), 
specifically 21 U.S.C. section 802, provides the Attorney General with 
the authority to specify by regulation, additional precursor and 
essential chemicals as ``listed chemicals'' if they are used in the 
illicit manufacture of controlled substances. Section 802(39) also 
provides the Attorney General with authority to establish a threshold 
amount for ``listed chemicals'' if the Attorney General so elects. This 
authority has been delegated to the Administrator of DEA by 28 CFR 
0.100 and redelegated to the Deputy Administrator under 28 CFR 0.104 
(subpart R) appendix sec. 12.
    While methyl ethyl ketone (MEK) has become the solvent of choice in 
the processing of cocaine base to cocaine hydrochloride, recent 
regulatory and enforcement efforts in Latin America have resulted in a 
reduced availability of MEK. Information available to DEA indicates 
that in response to this shortfall of MEK, cocaine laboratory operators 
have moved to the utilization of MIBK for the processing of cocaine 
base to cocaine hydrochloride. Due to information regarding the use of 
MIBK for cocaine processing, the dramatic increase in MIBK importation, 
and the importation of MIBK by some firms that the Government of 
Colombia (GOC) considers suspect, the GOC has recently taken steps to 
control the sale and distribution of MIBK.
    In making the determination regarding the possible control of MIBK 
under the CSA, the DEA considered the following:

(1) The chemistry of the compound
(2) The legitimate use and commerce of the compound
(3) Evidence of illicit use

    An examination of the chemistry of MIBK shows that it appears to be 
ideally suited for the conversion of cocaine base to cocaine 
hydrochloride. MIBK possesses the correct solubility characteristics, 
is partially miscible with water and is relatively volatile.
    The U.S. is a major producer of MIBK and exports this chemical to 
Latin America. The major commercial application for MIBK is as a 
solvent for vinyl, epoxy and acrylic resins, for natural resins, for 
nitrocellulose and for dyes in the printing industry. It is also a 
versatile extracting agent, e.g. for the production of antibiotics, or 
the removal of paraffins from mineral oil for the production of 
lubricating oils. MIBK's uses are similar to those of MEK. There is a 
legitimate need for these chemicals in Colombia.
    Although Colombian imports of MEK have decreased, U.S. firms 
believe that the legitimate need for MEK is being met. In contrast, 
however, importations into Colombia of MIBK have increased dramatically 
in 1994 following regulatory and enforcement actions taken by the GOC 
and other countries against MEK. No significant increase in the 
legitimate need for MIBK has been identified. The amount of MIBK 
imported into Colombia in the second quarter of 1994 exceeded the total 
quantity imported over the preceding 15 months. Some of these 
importations were to firms which the GOC considers suspect.
    The use of MIBK in cocaine hydrochloride production has recently 
been scientifically confirmed via the identification of MIBK in seized 
cocaine hydrochloride. While MEK is the most frequently seen solvent 
appearing in cocaine hydrochloride, MIBK has also been identified in 
seized material. Recent samples show an increased incidence of MIBK in 
seized cocaine hydrochloride. During the fourth quarter 
[[Page 10815]] of 1994, 54 percent of the cocaine hydrochloride 
exhibits received under DEA's solvent analysis program contained MIBK. 
The recent increase in the incidence of MIBK in seized cocaine 
hydrochloride is consistent with the timing of initial reports 
regarding its illicit use.
    Given these factors, DEA has determined that the control of MIBK as 
a List II Chemical is warranted. Since the illicit use of MIBK for 
cocaine processing occurs in Latin America, the DEA proposes that MIBK 
shipments exported from the U.S., shipments transshipped or transferred 
through the U.S., and international transactions in which a U.S. broker 
or trader participates, be considered regulated transactions if 
destined for any country in the Western Hemisphere (with the exception 
of transactions destined for Canada) 21 U.S.C. section 802(39)(A)(iii). 
In addition, the DEA proposes that a threshold similar to that of MEK 
be established for MIBK. DEA proposes that a threshold of 500 gallons 
(by volume) or 1523 kilograms (by weight) be established for MIBK. 
Therefore, this proposed action will only effect (1) export 
transactions; (2) international transactions in which a U.S. broker or 
trader participates; and (3) transshipments through the U.S., which are 
greater than 500 gallons or 1523 kilograms of MIBK destined for 
designated countries. Import transactions of MIBK into the U.S. (not 
destined for transshipment or transfer to designated countries), and 
domestic transactions of MIBK are excluded from the definitions of 
regulated transactions contained in 21 CFR 1310.01(f) and 1313.02(d).
    The Deputy Administrator hereby certifies that this proposed 
rulemaking will have no significant impact upon entities whose 
interests must be considered under the Regulatory Flexibility Act, 5 
U.S.C. 601 et seq. A review of maritime shipments of MIBK reveals that 
during a two year period, there were less than 100 above-threshold 
export transactions destined for designated countries. This proposed 
rule is not a significant regulatory action and therefore has not been 
reviewed by the Office of Management and Budget pursuant to Executive 
Order 12866.
    This action has been analyzed in accordance with the principles and 
criteria in E.O. 12612, and it has been determined that the proposed 
rule does not have sufficient federalism implications to warrant the 
preparation of a Federalism Assessment.

List of Subjects in 21 CFR Part 1310

    Durg traffic control, reporting and recordkeeping requirements.

    For reasons set out above, it is proposed that 21 CFR part 1310 be 
amended as follows:

PART 1310--[AMENDED]

    1. The authority citation for part 1310 continues to read as 
follows:

    Authority: 21 U.S.C. 802, 830, 871(b).

    2. Section 1310.02 is proposed to be amended by adding a new 
paragraph (b)(10) to read as follows:


Sec. 1310.02  Substances covered.

* * * * *
    (b) * * *
    (10) Methyl Isobutyl Ketone (MIBK)
* * * * *
    3. Section 1310.04 is proposed to be amended by adding new 
paragraph (f)(2)(v) to read as follows:


Sec. 1310.04  Maintenance of records.

* * * * *
    (f) * * *
    (2) * * *
    (v) Export and International Transactions to Designated Countries, 
and Importations for Transshipment or Transfer to Designated Countries.

------------------------------------------------------------------------
        Chemical             Treshold by volume      Threshold by weight
------------------------------------------------------------------------
(A) Methyl Isobutyl       500 gallons.............  1523 kilograms.     
 Ketone (MIBK).                                                         
(B) Reserved                                                            
------------------------------------------------------------------------

    4. Section 1310.08 is proposed to be amended by adding new 
paragraphs (c), (d) and (e) to read as follows:


Sec. 1310.08  Excluded transactions.

* * * * *
    (c) Domestic transactions of Methyl Isobutyl Ketone (MIBK).
    (d) Import transactions of Methyl Isobutyl Ketone (MIBK) destined 
for the United States.
    (e) Export transactions, international transactions, and import 
transactions for transshipment or transfer of Methyl Isobutyl Ketone 
(MIBK) destined for Canada or any country outside of the Western 
Hemisphere.

    Dated: February 16, 1995.
Stepehn G. Greene,
Deputy Administrator.
[FR Doc. 95-4795 Filed 2-27-95; 8:45 am]
BILLING CODE 4410-09-M