[Federal Register Volume 63, Number 204 (Thursday, October 22, 1998)]
[Proposed Rules]
[Pages 56589-56590]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-28402]


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

PANAMA CANAL COMMISSION

35 CFR Part 117

RIN 3207-AA48


Marine Accidents: Investigations; Control; Responsibility

AGENCY: Panama Canal Commission.

ACTION: Notice of proposed rulemaking; request for comments.

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

SUMMARY: The Panama Canal Commission (Commission) proposes to amend its 
regulations to limit its liability in marine accidents. The new 
regulations will require potential claimants to carry insurance against 
marine accidents in an amount of $1 million to cover damages sustained 
by their vessels at the Canal when transiting the waterway or 
navigating in waters adjacent thereto.

DATES: The agency must receive written comments on or before November 
30, 1998.


[[Page 56590]]


ADDRESSES: Address all comments concerning this proposed rule to Office 
of the Secretary, Panama Canal Commission, 1825 I Street, N.W., Suite 
1050, Washington, D.C. 20006-5402; or Office of General Counsel, Panama 
Canal Commission, Balboa, Ancon, Republic of Panama.

FOR FURTHER INFORMATION CONTACT: John A. Mills, Office of the 
Secretary, Panama Canal Commission, Telephone: (202) 634-6441, 
Facsimile: (202) 634-6439; Office of General Counsel, Telephone: 011 
(507) 272-7511, Facsimile: 011 (507) 272-3748.

SUPPLEMENTARY INFORMATION: On October 17, 1998, the President signed 
into law a measure which allows the Commission to require potential 
claimants to carry insurance for damages sustained at the Panama Canal 
to their vessels, or to the cargo, crew and passengers of such vessels, 
which arise by reason of their passage through the locks or their 
presence in the Canal or adjacent waters. This proposed regulation 
would impose that requirement and would limit the liability of the 
Commission to only such damages as are in excess of $1 million.
    The Commission is taking these measures in an effort to reduce 
costs of Canal operations.
    This proposed rule involves public property, the Panama Canal, and 
therefore is excluded from coverage of the Administrative Procedures 
Act, 5 U.S.C. 553(a)(2). Nevertheless, the Commission has elected 
generally to follow the notice and comment procedures provided for 
rulemaking under section 553.
    The Commission will consider all timely written comments before 
publishing the final rule in the Federal Register.
    The final rule, as approved and published by the Commission, will 
be effective no earlier than 30 days after the date of its publication 
as final in the Federal Register.
    The Commission is exempt from Executive Order 12866 and its 
provisions do not apply to this rule. Even if the Order were 
applicable, the rule would not have a significant economic impact on a 
substantial number of small entities under the Regulatory Flexibility 
Act. The implementation of this rule will have no adverse effect on 
competition, employment, investment, productivity, innovation, or on 
the ability of United States-based enterprises to compete with foreign-
based enterprises in domestic or export markets.
    Finally, the Secretary of the Panama Canal Commission certifies 
these changes meet the applicable standards set out in sections 3(a) 
and 3(b)(2) of Executive Order 12998.

List of Subjects in 35 CFR Part 117

    Panama Canal.

    For the reasons stated in the preamble, the Panama Canal Commission 
proposes to amend 35 CFR part 117 as follows:

PART 117--MARINE ACCIDENTS: INVESTIGATIONS; CONTROL; RESPONSIBILITY

    1. The authority citation for part 117 is revised to read as 
follows:

    Authority: 22 U.S.C. 3777-3779, 93 Stat. 487; E.O. 12215, 45 FR 
36043.

    2. Add a new Sec. 117.7 to part 117 to read as follows:


Sec. 117.7  Insurance; limitation of liability; subrogation.

    (a) A claimant against the Commission under sections 1411 or 1412 
of Title 22, United States Code must be covered by insurance in the 
amount of $1 million against the types of injuries described in those 
sections.
    (b) The Commission's liability on any claim under sections 1411 or 
1412 of Title 22, United States Code shall be limited to amounts in 
excess of $1 million.
    (c) The Commission may not consider or pay claims presented by or 
on behalf of an insurer or subrogee of a claimant under section 1411 or 
1412 of Title 22, United States Code.

    Dated: October 19, 1998.
John A. Mills,
Secretary.
[FR Doc. 98-28402 Filed 10-21-98; 8:45 am]
BILLING CODE 3640-04-P