[Federal Register Volume 63, Number 43 (Thursday, March 5, 1998)]
[Rules and Regulations]
[Pages 10781-10782]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-5526]


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DEPARTMENT OF TRANSPORTATION

Office of the Secretary

49 CFR Part 1

[OST Docket No. 1; Amdt. 1-292]


Organization and Delegation of Powers and Duties; Great Lakes 
Pilotage

AGENCY: Office of the Secretary, DOT.

ACTION: Final rule.

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SUMMARY: The Secretary of Transportation hereby revokes the authority 
delegated to the Administrator for the Saint Lawrence Seaway 
Development Corporation to carry out the functions vested in the 
Secretary by the Great Lakes Pilotage Act of 1960, as amended (46 
U.S.C. 9301 et seq.) and delegates that authority to Commandant of the 
Coast Guard. This responds to a ruling of the U.S. Court of Appeals for 
the District of Columbia Circuit that vacates a December 11, 1995, 
final rule transferring oversight of Great Lakes pilotage functions to 
the Saint Lawrence Seaway Development Corporation.

EFFECTIVE DATE: This rule is effective March 5, 1998.

FOR FURTHER INFORMATION CONTACT: Gwyneth Radloff, Office of the General 
Counsel, Department of Transportation, C-50, (202) 366-9306, 400 
Seventh Street, SW., Washington, DC 20590.

SUPPLEMENTARY INFORMATION: In 1994, the Secretary formed a study group 
to determine where best to locate the Secretary's authority to carry 
out the functions vested in him by the Great Lakes Pilotage Act of 
1960, as amended, and his authority to enter into, revise, or amend 
arrangements with Canada under the 1977 Memorandum of Arrangements with 
Canada. This authority extends to such matters as examination and 
registration of pilots and setting the rates for their services. The 
study group recommended transferring this responsibility from the Coast 
Guard to the St. Lawrence Seaway Development Corporation. On December 
11, 1995, the Secretary of Transportation issued a rule revoking the 
then-existing delegation of pilotage authority to the Coast Guard and 
redelegating oversight of Great Lakes Pilotage functions to the Saint 
Lawrence Seaway Development Corporation. On November 12, 1997, the U.S. 
Court of Appeals for the District of Columbia Circuit, in Halverson v. 
Slater, 129 F.3rd 180 (D.C. Cir. 1997), reversed a district court 
decision, and held that the Secretary of Transportation lacks the 
authority under 49 U.S.C. 322(b) to delegate Great Lakes Pilotage Act 
powers and duties to the Saint Lawrence Seaway Development Corporation. 
The court held that under 46 U.S.C. 2104(a) the Secretary only has 
authority either to keep those powers and duties within the Office of 
the Secretary or to delegate them to the U.S. Coast Guard.
    The 1995 rule vacated by the court decision revoked an earlier 
delegation of this authority to the U.S. Coast Guard and removed the 
relevant sections from the Code of Federal Regulations (CFR). The 
Department is acting now to settle the question of where the authority 
will reside after the court's decision. This action requires changes to 
the CFR.
    This rule responds to the U.S. Court of Appeals ruling by formally 
revoking the delegation to the Saint Lawrence Seaway Development 
Corporation and delegating to the Commandant of the Coast Guard the 
authority to carry out the Secretary's functions under the Great Lakes 
Pilotage Act of 1960, as amended, and his authority to enter into, 
revise, or amend arrangements with Canada.
    Following the issuance of the Court's decision, the Department 
undertook an outreach effort to elicit industry views concerning the 
administration of pilotage functions. The Secretary's decision to 
transfer the pilotage function to the Coast Guard takes into account 
the views expressed in these meetings, as well as the Department's own 
review of the best placement of the administration of the pilotage 
function given the limited options available under the Circuit Court's 
opinion.

[[Page 10782]]

    This rule amends 49 CFR 1.52 by deleting the authority of the SLSDC 
Administrator to carry out the Great Lakes Pilotage Act of 1960 and 
enter into, revise, or amend arrangements with Canada contained in 
paragraphs (d) and (e). The rule establishes the authority of the 
Commandant of the Coast Guard to carry out the functions vested in the 
Secretary by the Great Lakes Pilotage Act of 1960 by adding paragraphs 
(mmm) and (nnn) to 49 CFR 1.46.
    This rule is being published as a final rule and is being made 
effective on the date of publication. It relates to departmental 
management, organization, procedure, and practice. The Department also 
faces a short timeframe for complying with the court decision and 
wishes to avoid confusion about where this function will reside. For 
these reasons, the Secretary for good cause finds, under 5 U.S.C. 
553(b)B and (d)(3), that notice and public procedure on the rule are 
unnecessary and that this rule should be made effective in less than 30 
days after publication.

List of Subjects in 49 CFR Part 1

    Authority delegations (Government agencies), Organization and 
functions (Government agencies), Transportation Department.

    In consideration of the foregoing, part 1 of title 49, Code of 
Federal Regulations, is amended to read as follows:

PART 1--[AMENDED]

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

    Authority: 49 U.S.C. 2104(a); Pub. L. 101-552; 28 U.S.C. 2672, 
31 U.S.C. 3711(a)(2), 46 U.S.C. 2104(a).


Sec. 1.52  [Amended]

    2. In Sec. 1.52, paragraphs (d) and (e) are removed and reserved.
    3. Section 1.46 is amended by adding new paragraphs (mmm) and (nnn) 
to read as follows:


Sec. 1.46  Delegations to the Commandant of the Coast Guard.

* * * * *
    (mmm) Carry out the Great Lakes Pilotage Act of 1960, as amended, 
(46 U.S.C. 9301 et seq.).
    (nnn) Under the 1977 Memorandum of Arrangements with Canada and the 
Great Lakes Pilotage Act of 1960, as amended in 1983 (46 U.S.C. 9305), 
enter into, revise, or amend arrangements with Canada.

    Issued in Washington, DC this 26th day of February, 1998 under 
authority contained in 46 U.S.C. 2104(a).
Rodney E. Slater,
Secretary of Transportation.
[FR Doc. 98-5526 Filed 3-4-98; 8:45 am]
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