[Federal Register Volume 63, Number 188 (Tuesday, September 29, 1998)]
[Proposed Rules]
[Pages 51878-51881]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-25931]


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DEPARTMENT OF TRANSPORTATION

Coast Guard

33 CFR Part 55

[USCG 1998-3821]
RIN 2115-AF48


Coast Guard Child Development Services Programs

AGENCY: Coast Guard, DOT.

ACTION: Notice of proposed rulemaking.

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SUMMARY: The Coast Guard proposes to establish child development 
services for eligible children of the Department of Transportation 
military and civilian personnel and eligible children of armed forces 
members and federal civilian employees. This proposed rule also 
establishes the basis for a ``total family income'' sliding fee 
schedule to make child care more affordable for lower-income families 
in center-based programs. This proposed rule also provides a mechanism 
to reduce fees for users of family child care providers through the use 
of appropriated funds.

DATES: Comments must reach the Docket Management Facility on or before 
October 29, 1998.

ADDRESSES: You may mail comments to the Docket Management Facility, 
(USCG 1998-3821), U.S. Department of Transportation, room PL-401, 400 
Seventh Street SW., Washington, DC 20590-0001, or deliver them to room 
PL-401, located on the Plaza Level of the Nassif Building at the same 
address between 10 a.m. and 5 p.m., Monday through Friday, except 
Federal holidays. The telephone number is 202-366-9329.
    The Docket Management Facility maintains the public docket for this 
rulemaking. Comments will become part of this docket and will be 
available for inspection or copying at room PL-401, located on the 
Plaza Level of the Nassif Building at the same address between 10 a.m. 
and 5 p.m., Monday through Friday, except Federal holidays. You may 
also access this docket on the Internet at http://dms.dot.gov.

FOR FURTHER INFORMATION CONTACT:
For questions about the docket, contact Ms. Paulette Twine, Chief, 
Documentary

[[Page 51879]]

Services Division, Department of Transportation, telephone 202-366-
9329. For questions about this notice, contact Ms. Elaine Sweetland, 
Project Manager, Office of Work-Lift (202) 267-6727 or Ms. Jessie 
Broadaway, Project Manager, Office of Work-Life (202) 267-6728.

SUPPLEMENTARY INFORMATION: 

Request for Comments

    The Coast Guard encourages you to submit written data, views, or 
arguments. If you submit comments, you should include your name and 
address, identify this rulemaking (USCG 1998-3821) and the specific 
section or question in this document to which your comments apply, and 
give the reason for each comment. Please submit all comments and 
attachments in an unbound format, no larger than 8\1/2\ by 11 inches, 
suitable for copying and electronic filing to the DOT Docket Management 
Facility at the address under ADDRESSES. If you want us to acknowledge 
receiving your comments, please enclose a stamped, self-addressed 
postcard or envelope.
    The Coast Guard will consider all comments received during the 
comment period.
    The Coast Guard plans no public meeting. You may request a public 
meeting by submitting a request to the address under ADDRESSES. The 
request should include the reasons why a meeting would be beneficial. 
If the Coast Guard determines that a public meeting should be held, it 
will hold the meeting at a time and place announced by a later notice 
in the Federal Register.

Background and Purpose

    The first child care programs in the Coast Guard were spouse 
sponsored and met in buildings that a command was not using. In the 
early 1970's, Coast Guard sponsored child care centers were developed 
and became Morale, Welfare, and Recreation (MWR) activities under 
policy promulgated by MWR, following Department of Defense guidelines. 
In 1987 the two centers remaining under spouse sponsorship were brought 
into the Coast Guard MWR system and policy specific to Coast Guard 
child care was issued.
    In 1996 the Child Development Services Manual, Commandant 
Instruction M1754.15 was issued providing policy guidance to manage and 
run Coast Guard child care programs. A copy of the manual is in the 
docket of the rulemaking and available therefor review. The policy 
directives in the Manual apply to all child development services 
provided by the Coast Guard, including center-based and family child 
care. The manual provides the policy for eligibility for services, 
health and safety standards, staff-to-child ratios, program and staff 
training requirements, discipline policies, facility requirements, 
child abuse prevention and reporting requirements, special needs 
children, parental involvement, and financial management.
    In 1996 new legislation was passed regarding child development 
services. The Coast Guard Authorization Act of 1996 (Act) added section 
515 to Title 14 of the U.S. Code, which requires the Secretary of 
Transportation to promulgate regulations to implement section 515. The 
authority to promulgate regulations pertaining to section 515 and other 
authorities under the Act was delegated to the Commandant of the Coast 
Guard on July 18, 1997 (62 FR 38478). Section 515 allows the Commandant 
to make Coast Guard child development services available to members of 
the Armed Forces and Federal civilian employees. The Act requires that 
the regulations establish fees to be charged for child development 
services that take into consideration total family income.
    The purpose of this rulemaking is to implement section 515 and 
establish a fee regime to permit eligible federal employees and 
military members to take advantage of Coast Guard offered child care 
services. The Child Development Services Manual will continue to 
provide policy guidance to supplement the rule.

Discussion of Proposed Rule

    Because child development services apply to civilian employees as 
well as military members, we propose to remove the word ``Military'' 
from the heading at 33 Code of Federal Regulations, Subchapter B, so 
the heading reads ``Personnel.'' Within Subchapter B, this proposed 
rule creates a new part 55 of 33 Code of Federal Regulations.
    Section 55.5. This proposed section describes the military members 
and civilian employees who are eligible to use the Coast Guard's child 
development services. These include Coast Guard members, civilian Coast 
Guard employees, and other military personnel and Federal civilian 
employees, on a space available basis.
    Section 55.9. This proposed section conforms to the requirements of 
14 U.S.C. 515(c). Paragraph (a) provides for regular and unannounced 
inspections of child development centers by headquarters program 
personnel, the commanding officer of the sponsoring command, fire 
personnel, and health and safety personnel. Paragraph (b) provides for 
employee training on a monthly basis. Training will be conducted by the 
Center Director and others arranged for by the Director with expertise 
in specific disciplines, and will consist of training about early 
childhood development, activities and disciplinary techniques, child 
abuse prevention and detection, and emergency medical procedures.
    Section 55.11. This proposed section establishes a total family 
income chart to be used to calculate fees at child development centers. 
Fees will vary, depending on total family income, and geographic 
location. Fees for each of the prescribed categories will be set by the 
local command to cover the expenses of that particular center. Fees are 
set by the local command rather than at Coast Guard headquarters 
because the primary expense for providing child care services is 
salaries, which vary widely in the geographic areas where the Coast 
Guard operates. The chart in Subsection (a) is to be used by each local 
command to establish a sliding fee scale, based on total family income. 
``Total family income'' is defined in section 55.7. We are adopting the 
DOD definitions of total family income and the five income categories 
of the sliding fee scale as they apply to child development services. 
Adopting the DOD definitions will ensure that military members from all 
the services have equivalent eligibility requirements at Coast Guard 
and DOD child development centers.
    Subsection (b) discusses the proper use of fees collected from 
parents for child care services. To conform with the requirements of 14 
U.S.C. 515(b), these fees can only be used to compensate those 
employees who are directly involved in providing child care services at 
center-based programs unless use of fees in this manner is determined 
to be uneconomical and inefficient. Uneconomical and inefficient means 
that using the fees in this manner would not provide a quality program 
at an affordable cost to parents using the child care services. If this 
is the case, then the fees may be used for consumable or disposable 
items for the centers. If these needs have been met, the fees may then 
be used for other center expenses.
    Section 55.13. This proposed section discusses family home day care 
providers and Coast Guard Family Child Care Providers. A family home 
care provider is an individual licensed by a state agency who offers 
child care in his or her home. A Coast Guard Family Child Care Provider 
is a Coast Guard family member who provides child care in Coast Guard -
leased or -owned

[[Page 51880]]

housing. Approval procedures are detailed in the Child Development 
Services manual. Family child care is an option because it can provide 
flexibility in meeting unusual duty hours and best meets the needs of 
personnel at smaller units.
    When available, appropriated funds may be used to reduce the child 
care costs of eligible persons who choose to use family child care. 
Guidelines concerning family child care are contained in the Child 
Development Services Manual.

Regulatory Evaluation

    This proposed rule is not a significant regulatory action under 
section 3(f) of Executive Order 12866 and does not require an 
assessment of potential costs and benefits under section 6(a)(3) of 
that Order. It has not been reviewed by the Office of Management and 
Budget under that Order. It is not significant under the regulatory 
policies and procedures of the Department of Transportation (DOT) (44 
FR 11040; February 26, 1979).
    The Coast Guard expects the economic impact of this proposed rule 
to be so minimal that a full Regulatory Evaluation under paragraph 10e 
of the regulatory policies and procedures of DOT is unnecessary.
    This proposed rule would apply only to providers of Coast Guard 
child development services programs.

Small Entities

    Under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.), the 
Coast Guard considers whether this proposed rule, if adopted, will have 
a significant economic impact on a substantial number of small 
entities. ``Small entities'' include 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.
    The small entities affected by this rule are family home day care 
providers (e.g., Coast Guard Family Child Care Providers). If funds are 
available, the family home day care providers may receive funding to 
enable them to provide services to families of Coast Guard military 
members and Coast Guard civilian employees at a more affordable rate. 
This rulemaking does not result in any change in the amount of income 
received by family home day care providers.
    Therefore, the Coast Guard's position is that this proposed rule, 
if adopted, will not have a significant economic impact on a 
substantial number of small entities. If, however, you think that your 
business or organization qualifies as a small entity and that this rule 
will have a significant economic impact on your business or 
organization, please submit a comment (see ADDRESSES) explaining why 
you think it qualifies, and in what way and to what degree this rule 
will economically affect it.

Assistance for Small Entities

    In accordance with 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 process. If your small business or organization is 
affected by this rule and you have questions concerning its provisions 
or options for compliance, please contact The Dependent Resource 
Coordinator or Family Child Care Coordinator on the Coast Guard Work-
Life Staff that serves your geographic area.

Collection of Information

    This proposed rule does not provide for a collection of information 
under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.).

Federalism

    The Coast Guard has analyzed this proposed rule under the 
principles and criteria contained in Executive Order 12612 and has 
determined that this proposed rule does not have sufficient 
implications for federalism to warrant the preparation of a Federalism 
Assessment.

Environment

    Under paragraph 2.B.2.b.(34) of Commandant Instruction M16475.1B, 
this proposed rule is categorically excluded from further environmental 
documentation. This authority deals with the use of Coast Guard funds 
for Coast Guard Child Development Services and requirements for 
facility and program inspections and for staff training and has no 
impact on the environment.
    A ``Categorical Exclusion Determination'' is available in the 
docket for inspection or copying where indicated under ADDRESSES.

List of Subjects in 33 CFR Part 55

    Day care, Government Employees, Infants and Children and Military 
Personnel.
    For the reasons discussed in the preamble, the Coast Guard proposes 
to amend 33 CFR Chapter I as follows:
    1. In the heading of Subchapter B, remove the word ``Military.''
    2. Add part 55 to Subchapter B to read as follows:

PART 55--CHILD DEVELOPMENT SERVICES

Subpart A--General

Sec.
55.1  Purpose.
55.3  Who Is Covered by this Part?
55.5  Who is Eligible for Child Development Services?
55.7  Definitions.
55.9  Child Development Centers.
55.11  How are Child Development Center Fees Established?
55.13  Family Child Care.

    Authority: 14 U.S.C. 515.

Subpart A--General


Sec. 55.1  Purpose.

    This subpart implements 46 U.S.C. 515, which provides for Coast 
Guard Child Development Services.


Sec. 55.3  Who Is Covered by this Part?

    This subpart applies to all Coast Guard installations.


Sec. 55.5  Who Is Eligible for Child Development Services?

    Coast Guard members and civilian Coast Guard employees are eligible 
for the Child Development Services described in this subpart. As space 
is available, members of the other Armed Forces and other Federal 
civilian employees are also eligible.


Sec. 55.7  Definitions.

    As used in this part--
    Child Development Center means a facility located on a Coast Guard 
installation that offers, on a regularly scheduled basis, developmental 
services designed to foster social, emotional, physical, creative, and 
intellectual growth to groups of children.
    Child Development Services means developmental services provided at 
a child development center or by a family child care provider at his or 
her Coast Guard-owned or -leased home.
    Coast Guard Family Child Care Provider means a Coast Guard family 
member, 18 years of age or older, who provides child care for 10 hours 
or more per week per child to one but no more than six children, 
including the provider's own children under the age of eight, on a 
regular basis in his or her Coast Guard-owned or -leased housing.
    Coast Guard Family Child Care Services means child care provided on 
a regularly scheduled basis for 10 hours or more a week by an 
individual certified by the Coast Guard and who resides in Coast Guard-
controlled housing.

[[Page 51881]]

    Command means the Commanding Officer of one or more units of 
personnel in a limited geographic area with responsibility for a child 
development center.
    Family Child Care means child care provided in the home of a 
provider, either a Coast Guard Family Child Care Provider or a Family 
Home Day Care Provider.
    Family Home Day Care Provider means an individual 18 years of age 
or older who is licensed by the state agency that regulates child care. 
This person provides child care to one but to no more than six 
children, including the provider's own children under the age of eight, 
on a regular basis in his or her residence.
    Geographic Cost of Living Allowance means the adjustment in basic 
pay related to higher living costs in certain geographic areas.
    Total Family Income means the earned income for adult members of 
the household including wages, salaries, tips, long-term disability 
benefits received by a family, incentive and special pay for service or 
anything else of value, even if not taxable, that was received for 
providing services. Also included is Basic Allowance for Housing and 
Basic Allowance for Subsistence authorized for the pay grade of 
military personnel, whether the allowance is received in cash or in-
kind. Total Family Income does not include: the geographic cost of 
living allowances; alimony and child support; temporary duty allowances 
or reimbursements for educational expenses; veterans benefits; workers 
compensation benefits; and, unemployment compensation. These are to be 
excluded from Total Family Income.
    Uneconomical and inefficient means that the fees collected from 
parents can not be used in a manner that provides a quality program at 
an affordable cost to parents using the child care services.


Sec. 55.9  Child Development Centers.

    (a) The Commandant may make child development services available at 
Child Development Centers located at Coast Guard Installations.
    (b) Regular and unannounced inspections of each child development 
center shall be conducted annually by headquarters program personnel, 
the commanding officer of the sponsoring command, fire personnel, and 
health and safety personnel.
    (c) Training programs shall be conducted monthly to ensure that all 
child development center employees complete a minimum of 20 hours of 
training annually with respect to early childhood development, 
activities and disciplinary techniques appropriate to children of 
different ages, child abuse prevention and detection, and appropriate 
emergency medical procedures.


Sec. 55.11  How Are Child Development Center Fees Established?

    (a) Fees for the provision of services at child development centers 
shall be set by each Command with responsibility for a center-based 
program, according to the following total family income chart:

Total Family Income

$0 to $23,000
$23,001 to $34,000
$34,001 to $44,000
$44,001 to $55,000
Over $55,000

    (b) Fees for the provision of services at Coast Guard child 
development centers shall be used only for compensation for employees 
at those centers who are directly involved in providing child care, 
unless it is uneconomical and inefficient. If uneconomical and 
inefficient, then the fees may be used for:
    (1) The purchase of consumable or disposable items for Coast Guard 
child development centers; and
    (2) If the requirements of such centers for consumable or 
disposable items for a given fiscal year have been met, for other 
expenses of those centers.


Sec. 55.13  Family Child Care Providers.

    When appropriated funds are available, funds may be offered to 
provide assistance to Coast Guard Family Child Care Providers or to 
family home day care providers so that family child care services can 
be provided to military members and civilian employees of the Coast 
Guard, at a cost comparable to the cost of services at Coast Guard 
child development centers.

    Dated: July 28, 1998.
T.J. Barrett, RADM, USCG,
Assistant Commandant for Human Resources, Acting.
[FR Doc. 98-25931 Filed 9-28-98; 8:45 am]
BILLING CODE 4910-15-M