[Federal Register Volume 64, Number 84 (Monday, May 3, 1999)]
[Rules and Regulations]
[Pages 23545-23551]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-10896]


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FEDERAL MARITIME COMMISSION

46 CFR Parts 500, 501, 503, 504, 506, 507, 508, 540 and 582

[Docket No. 99-09]


Amendments to Regulations Governing Employee Ethical Conduct 
Standards, the Federal Maritime Commission--General, Public 
Information, Environmental Policy Analysis, Monetary Penalty Inflation 
Adjustments, Nondiscrimination on the Basis of Handicap, Passenger 
Vessel Financial Responsibility, and Certification of Policies and 
Efforts To Combat Rebating

AGENCY: Federal Maritime Commission.

ACTION: Final rule.

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SUMMARY: The Federal Maritime Commission is amending its regulations 
relating to agency organization, public information, procedures for 
environmental policy analysis, civil monetary penalty inflation 
adjustments, nondiscrimination on the basis of handicap, passenger 
vessel operations, and anti-rebating certifications, and is 
redesignating its regulation relating to employee ethical conduct 
standards, in order to incorporate certain amendments made by the Ocean 
Shipping Reform Act of 1998 as well as to clarify and reorganize 
existing regulations.

DATES: This rule is effective May 1, 1999.

FOR FURTHER INFORMATION CONTACT: Thomas Panebianco, General Counsel, 
Federal Maritime Commission, 800 North Capitol Street, N.W., 
Washington, D.C. 20573-0001, (202) 523-5740.

SUPPLEMENTARY INFORMATION: The Ocean Shipping Reform Act of 1998 
(``OSRA''), Public Law 105-258, 112 Stat. 1902, amends the Shipping Act 
of 1984 (``1984 Act'') in several areas. The Commission's rules at 46 
CFR Parts 500, 501, 503, 504, 506, and 507 address employee ethical 
conduct standards, the organization of the Commission, public 
information, environmental policy analysis, civil monetary inflation 
adjustment, and nondiscrimination on the basis of handicap. The 
Commission's rules at 46 CFR Part 540 address passenger vessel 
financial responsibility, and the rules at 46 CFR Part 582 address 
anti-rebating certifications. The Commission now amends these rules 
both to make certain changes required by OSRA and to update, 
redesignate, and clarify the rules more generally. Because the changes 
made in this proceeding are routine and ministerial in nature, this 
rulemaking is published as a final rulemaking as to which no notice and 
comment period is necessary.

Redesignation of Former 46 CFR Part 500

    The Commission's regulations at 46 CFR part 500 address employee 
ethical conduct standards. The rule redesignates former part 500 as 
part 508.

Amendments to 46 CFR Part 501

    OSRA amended Reorganization Plan No. 7 of 1961, 75 Stat. 840, to 
change the Commission's quorum requirements. Accordingly, the 
Commission has determined to amend 46 CFR 501.2(d) to track the new 
statutory language.

Amendments to 46 CFR Part 503

    The Commission's regulations at 46 CFR part 503 address access to 
public information. OSRA's elimination of tariff filing with the 
Commission has rendered unnecessary those portions of 46 CFR 514 
relating to fees for the provision of copies of tariffs. See 46 CFR 
514.21. While tariffs will no longer be filed with the Commission, the

[[Page 23546]]

Commission has determined to provide public access to historical tariff 
records. Accordingly, we have removed from part 503 the references to 
part 514 involving public access to information, but have included 
reference to public access to historical ATFI records. We have also 
added, at 46 CFR 503.24, two entries to the list of information 
available over the internet, to include a list of the location of 
common carrier and conference tariffs and marine terminal operator 
schedules, as well as a list of ocean transportation intermediaries who 
have provided the Commission with evidence of their financial 
responsibility.
    Also, Subpart F--Information Security Program of Part 503, is 
revised to implement changes required by Executive Order 12958 of April 
17, 1995, ``Classified National Security Information'' and Executive 
Order 12968 of August 2, 1995 ``Access to Classified Information.'' 
Changes are primarily to remove references to Executive Order 12356 of 
April 6, 1982, which was revoked by Executive Order 12958, and to keep 
pace with the requirements of the National Archives and Records 
Administration, 32 CFR Part 2001, made pursuant to Executive Order 
12958.
    Finally, in section 503.71(c), we have amended the Commission's 
definition of the term ``meeting,'' to reflect changes in the 
Commission's quorum rules prescribed by OSRA. Several other changes 
have been made to Part 503 that are of a purely ministerial nature.

Amendments to 46 CFR Part 504

    This part addresses the Commission's procedures for environmental 
policy analysis. We have removed references to the Shipping Act, 1916, 
in the Authority citation, in 504.1, and in 504.2, because that Act, to 
the extent it involved the Commission's jurisdiction, has been 
repealed. We have redefined ``marine terminal operator'' in 504.2 
pursuant to changes required by OSRA. We have updated the Commission's 
address in 504.3. We have deleted categorical exclusions (a)(5) and 
(a)(7) in 504.4 pursuant to OSRA, and amended (a)(6) to reflect the 
recently proposed redesignation of part 514 as part 520. Throughout the 
part, we removed references to the Office of Environmental Analysis, 
which no longer exists, and have indicated that for the purposes of 
part 504, the term ``Commission'' includes any office or bureau to 
which the Commission may delegate its environmental policy analysis 
responsibilities.

Amendments to 46 CFR Part 506

    This part addresses civil monetary penalty inflation adjustments. 
Pursuant to OSRA, we removed the penalty for failure to pay ATFI fees, 
and removed the penalty for failure to file an anti-rebate 
certification. We also added the suspension of service contracts as a 
penalty under the Merchant Marine Act of 1920 as amended by OSRA.

Amendment to 46 CFR Part 507

    This part addresses the Commission's enforcement of 
nondiscrimination on the basis of handicap. Section 507.170(b) is 
amended to correct a citation error. Section 507.170(c) is updated to 
reflect the Commission's current street address.

Amendments to 46 CFR Part 540

    This part addresses the financial responsibility of passenger 
vessel operators. The Commission has decided to clarify the regulation 
by renaming it ``Passenger Vessel Financial Responsibility,'' to 
replace its old title, ``Security for the Protection of the Public.'' 
The Commission has also removed an outdated reference in the authority 
section of the rule to the Shipping Act, 1916, which, to the extent it 
involved the Commission's jurisdiction, has been repealed.

Removal of 46 CFR Part 582

    This part addresses the requirements that govern the submission of 
anti-rebating certifications by common carriers and other entities in 
the foreign commerce of the United States. Such certifications were 
based upon the statutory authority of section 15(b) of the Shipping Act 
of 1984. However, OSRA has eliminated section 15(b); accordingly, the 
Commission has determined to remove 46 CFR part 582 from its 
regulations.

List of Subjects

46 CFR Parts 500 and 508

    Conflicts of interest.

46 CFR Part 501

    Authority delegations, Organization and functions.

46 CFR Part 503

    Classified information, Freedom of information, Privacy, Sunshine 
act.

46 CFR Part 504

    Environmental impact statements, Reporting and recordkeeping 
requirements.

46 CFR Part 506

    Fines and penalties.

46 CFR Part 507

    Blind, Civil rights, Deaf, Disabled, Discrimination against 
handicapped, Equal employment opportunity, Federal buildings and 
facilities, Handicapped, Nondiscrimination.

46 CFR Part 540

    Insurance, Maritime carriers, Penalties, Reporting and 
recordkeeping requirements, Surety bonds.

46 CFR Part 582

    Maritime carriers, Penalties, Reporting and recordkeeping 
requirements.

    For the reasons set out in the preamble, the Commission amends 46 
CFR parts 500, 501, 503, 504, 506, 507, 508, 540, and 582 as follows:

PART 500--EMPLOYEE ETHICAL CONDUCT STANDARDS AND FINANCIAL 
DISCLOSURE REGULATIONS

    1. The authority citation continues to read as follows:

    Authority: 5 U.S.C. 553; 5 U.S.C. 7301; 46 U.S.C. app. 1716

    2. Redesignate part 500 as part 508.

PART 501--THE FEDERAL MARITIME COMMISSION--GENERAL

    1. The authority citation continues to read as follows:

    Authority: 5 U.S.C. 551-557, 701-706, 2903 and 6304; 31 U.S.C. 
3721; 41 U.S.C. 414 and 418; 44 U.S.C. 501-520 and 3501-3520; 46 
U.S.C. app. 801-848, 876, 1111, and 1701-1720; Reorganization Plan 
No. 7 of 1961, 26 FR 7315, August 12, 1961; Pub.L. 89-56, 79 Stat. 
195; 5 CFR Part 2638.

    2. Revise Sec. 501.2(d) to read as follows:


Sec. 501.2  General.

* * * * *
    (d) A vacancy or vacancies in the Commission shall not impair the 
power of the Commission to execute its functions. The affirmative vote 
of a majority of the members of the Commission is required to dispose 
of any matter before the Commission. For purposes of holding a formal 
meeting for the transaction of the business of the Commission, the 
actual presence of two Commissioners shall be sufficient. Proxy votes 
of absent members shall be permitted.

PART 503--PUBLIC INFORMATION

    1. The authority citation continues to read as follows:

    Authority: 5 U.S.C. 552, 552a, 552b, 553; 31 U.S.C. 9701; E.O. 
12958 of April 20, 1995 (60 FR 19825), sections 5.2(a) and (b).


[[Page 23547]]


    2. Remove Sec. 503.11(b) and (c), redesignate paragraph (a) 
introductory text as the section's introductory text, redesignate 
paragraphs (a)(1) through (a)(5) as paragraphs (a) through (e), and 
revise the introductory text to read as follows:


Sec. 503.11  Materials to be published.

    The Commission shall publish the following materials in the Federal 
Register for the guidance of the public:
* * * * *
    3. Revise Sec. 503.22(b) to read as follows:


Sec. 503.22  Records available at the Office of the Secretary.

* * * * *
    (b) Certain fees may be assessed for duplication of records made 
available by this section as prescribed in subpart E of this part.
    4. In Sec. 503.23, remove paragraph (a)(3) and redesignate 
paragraphs (a)(4) and (a)(5) as (a)(3) and (a)(4), and revise 
redesignated paragraph (a)(3) and paragraph (b) to read as follows:


Sec. 503.23  Records available upon written request.

    (a) * * *
    (3) Tariff data filed in the Commission's ATFI system prior to May 
1, 1999.
* * * * *
    (b) Certain fees may be assessed for duplication of records made 
available by this section as prescribed in subpart E of this part.
    5. In Sec. 503.24, revise paragraph (b)(5)(iii), revise paragraph 
(b)(10), and add paragraphs (b)(11) and (b)(12) to read as follows:


Sec. 503.24  Information available via the internet.

* * * * *
    (b) * * *
    (5) * * *
    (iii) Access to statements of policy and interpretations as 
published in part 545 of this chapter; and
 * * * * *
    (10) Privacy Act information;
    (11) Lists of the location of all common carrier and conference 
tariffs and publicly available terminal schedules of marine terminal 
operators; and
    (12) A list of licensed ocean transportation intermediaries which 
have furnished the Commission with evidence of financial 
responsibility.
* * * * *
    6. Revise Sec. 503.51 to read as follows:


Sec. 503.51  Definitions.

    (a) Access means the ability or opportunity to gain knowledge of 
classified information.
    (b) Classification means the act or process by which information is 
determined to be classified information.
    (c) Classification guide means a documentary form of instruction or 
source that prescribes the classification of specific information 
issued by an original classification authority that identifies the 
elements of information regarding a specific subject that must be 
classified and establishes the level and duration of classification for 
each such element.
    (d) Classified national security information (hereafter 
``classified information'') means information that has been determined 
pursuant to Executive Order 12958 or any predecessor order in force to 
require protection against unauthorized disclosure and is marked to 
indicate its classified status when in documentary form.
    (e) Commission means the Federal Maritime Commission.
    (f) Declassification means the authorized change in the status of 
information from classified information to unclassified information.
    (g) Derivative classification means the incorporating, 
paraphrasing, restating or generating in new form information that is 
already classified, and marking the newly developed material consistent 
with the classification markings that apply to the source information. 
Derivative classification includes the classification of information 
based on classification guidance. The duplication or reproduction of 
existing classified information is not derivative classification.
    (h) Downgrading means a determination by a declassification 
authority that information classified and safeguarded at a specified 
level shall be classified and safeguarded at a lower level.
    (i) Foreign government information means:
    (1) Information provided to the United States Government by a 
foreign government or governments, an international organization of 
governments, or any element thereof, with the expectation that the 
information, the source of the information, or both, are to be held in 
confidence;
    (2) Information produced by the United States pursuant to or as a 
result of a joint arrangement with a foreign government or governments, 
or an international organization of governments, or any element 
thereof, requiring that the information, the arrangement, or both, are 
to be held in confidence; or
    (3) information received and treated as ``Foreign Government 
Information'' under the terms of Executive Order 12958 or any 
predecessor order.
    (j) Mandatory declassification review means the review for 
declassification of classified information in response to a request for 
declassification that meets the requirements under section 3.6 of 
Executive Order 12958.
    (k) Multiple sources means two or more source documents, 
classification guides, or a combination of both.
    (l) National security means the national defense or foreign 
relations of the United States.
    (m) Need to know means a determination made by an authorized holder 
of classified information that a prospective recipient requires access 
to specific classified information in order to perform or assist in a 
lawful and authorized governmental function.
    (n) Original classification means an initial determination that 
information requires, in the interest of national security, protection 
against unauthorized disclosure.
    (o) Original classification authority means an individual 
authorized in writing, either by the President, or by agency heads or 
other officials designated by the President, to classify information in 
the first instance.
    (p) Self-inspection means the internal review and evaluation of 
individual Commission activities and the Commission as a whole with 
respect to the implementation of the program established under 
Executive Order 12958 and its implementing directives.
    (q) Senior agency official (``security officer'') means the 
official designated by the Chairman under section 5.6 of Executive 
Order 12958 to direct and administer the Commission's program under 
which classified information is safeguarded.
    (r) Source document means an existing document that contains 
classified information that is incorporated, paraphrased, restated, or 
generated in new form into a new document.
    (s) Unauthorized disclosure means a communication or physical 
transfer of classified information to an unauthorized recipient.
    7. Revise Sec. 503.52 to read as follows:


Sec. 503.52  Senior Agency Official.

    The Chairman of the Commission shall designate a senior agency 
official to be the Security Officer for the Commission, who shall be 
responsible for directing, administering and

[[Page 23548]]

reporting on the Commission's information security program, which 
includes oversight (self-inspection) and security information programs 
to ensure effective implementation of Executive Orders 12958 and 12968, 
and 32 CFR part 2001.
    8. Amend Sec. 503.53 to revise paragraphs (a) and (d) to read as 
follows:


Sec. 503.53  Oversight Committee.

* * * * *
    (a) Establish a Commission security education program to 
familiarize all personnel who have or may have access to classified 
information with the provisions of Executive Order 12958 and directives 
of the Information Security Oversight Office. The program shall include 
initial, refresher, and termination briefings;
* * * * *
    (d) Recommend appropriate administrative action to correct abuse or 
violations of any provision of Executive Order 12958; and
 * * * * *
    9. Amend Sec. 503.54 to revise paragraphs (a) and (b) to read as 
follows:


Sec. 503.54  Original classification.

    (a) No Commission Member or employee has the authority to 
originally classify information.
    (b) If a Commission Member or employee develops information that 
appears to require classification, or receives any foreign government 
information as defined in section 1.1(d) of Executive Order 12958, the 
Member or employee shall immediately notify the Security Officer and 
appropriately protect the information.
* * * * *
    10. Amend Sec. 503.55 to revise paragraphs (a), (b) and (c) and 
delete paragraph (d) to read as follows:


Sec. 503.55  Derivative classification.

    (a) In accordance with Part 2 of Executive Order 12958 and 
directives of the Information Security Oversight Office, the 
incorporation, paraphrasing, restating or generation in new form of 
information that is already classified, and the marking of newly 
developed material consistent with the classification markings that 
apply to the source information, is derivative classification.
    (1) Derivative classification includes the classification of 
information based on classification guidance.
    (2) The duplication or reproduction of existing classified 
information is not derivative classification.
    (b) Members or employees applying derivative classification 
markings shall:
    (1) Observe and respect original classification decisions; and
    (2) Carry forward to any newly created documents the pertinent 
classification markings.
    (3) For information derivatively classified based on multiple 
sources, the Member or employee shall carry forward:
    (i) The date or event for declassification that corresponds to the 
longest period of classification among the sources; and
    (ii) A listing of these sources on or attached to the official file 
or record copy.
    (c) Documents classified derivatively shall bear all markings 
prescribed by 32 CFR 2001.20 through 2001.23 and shall otherwise 
conform to the requirements of 32 CFR 2001.20 through 2001.23.
    11. Amend Sec. 503.56 to revise the section heading and the first 
sentence of paragraph (a) to read as follows:


Sec. 503.56  General declassification and downgrading policy.

    (a) The Commission exercises declassification and downgrading 
authority in accordance with section 3.1 of Executive Order 12958, only 
over that information originally classified by the Commission under 
previous Executive orders. * * *
* * * * *
    12. Amend Sec. 503.57 to revise paragraphs (a) introductory text, 
(a)(1), (c), (e), and (i), and add paragraph (j), to read as follows:


Sec. 503.57  Mandatory review for declassification.

    (a) Information originally classified by the Commission but which 
has not been automatically declassified shall be subject to a review 
for declassification by the Commission, if:
    (1) A declassification request is made; and
* * * * *
    (c) If the request requires the provision of services by the 
Commission, fair and equitable fees may be charged pursuant to 31 
U.S.C. 9701.
* * * * *
    (e) If the information was originally classified by the Commission, 
the Commission Security Officer shall forward the request to the 
Chairman of the Commission for a determination of declassification. If 
the information was originated by another agency, the Commission 
Security Officer shall refer the review and the pertinent records to 
the originating agency. The final determination will be issued within 
180 days of the receipt of the request.
* * * * *
    (i) In response to a request for information under the Freedom of 
Information Act, the Privacy Act of 1974, or the mandatory review 
provisions of Executive Order 12958, the Commission shall refuse to 
confirm or deny the existence or non-existence of requested information 
whenever the fact of its existence or non-existence is itself 
classifiable under Executive Order 12958.
    (j) When a request has been submitted both under mandatory review 
and the Freedom of Information Act (FOIA), the requester must elect one 
process or the other. If the requester fails to so elect, the request 
will be treated as a FOIA request unless the requested materials are 
subject only to mandatory review.
* * * * *
    13. Amend Sec. 503.58 to revise paragraph (c) to read as follows:


Sec. 503.58  Appeals of denials of mandatory declassification review 
requests.

* * * * *
    (c) In accordance with section 5.4 of Executive Order 12598 and 32 
CFR 2001.54, within 60 days of such issuance, the requester may appeal 
a final determination of the Commission under paragraph (b) of this 
section to the Interagency Security Classification Appeals Panel. The 
appeal should be addressed to, Executive Secretary, Interagency 
Security Classification Appeals Panel, Attn: Classification Challenge 
Appeals, c/o Information Security Oversight Office, National Archives 
and Records Administration, 7th and Pennsylvania Avenue, N.W., Room 5W, 
Washington DC 20408.
    14. Revise Sec. 503.59 paragraphs (d), (e) introductory text, 
(g)(2), (h), and (q)(1),(2) and (3), to read as follows:


Sec. 503.59  Safeguarding classified information.

* * * * *
    (d) Classified information shall be made available to a recipient 
only when the authorized holder of the classified information has 
determined that:
    (1) The prospective recipient has a valid security clearance at 
least commensurate with the level of classification of the information; 
and
    (2) The prospective recipient requires access to the information in 
order to perform or assist in a lawful and authorized governmental 
function.
    (e) The requirement in paragraph (d)(2) of this section, that 
access to classified information may be granted only to individuals who 
have a need-to-know the information, may be waived for persons who:
* * * * *
    (g)* * *

[[Page 23549]]

    (2) To protect the classified information in accordance with the 
provisions of Executive Order 12958; and
* * * * *
    (h) Except as authorized by the originating agency, or otherwise 
provided for by directives issued by the President, the Commission 
shall not disclose information originally classified by another agency.
* * * * *
    (q)* * *
    (1) Knowingly, willfully, or negligently disclose to unauthorized 
persons information properly classified under Executive Order 12958 or 
predecessor orders in force;
    (2) Knowingly and willfully classify or continue the classification 
of information in violation of Executive Order 12958 or any 
implementing directive; or
    (3) Knowingly and willfully violate any other provision of 
Executive Order 12958 or implementing directive.
* * * * *
    15. Revise Sec. 503.71(c) introductory text to read as follows:


Sec. 503.71  Definitions.

* * * * *
    (c) Meeting means the deliberations of a majority of the members 
serving on the agency which determine or result in the joint conduct of 
or disposition of official agency business, but does not include:
* * * * *
    16. Revise Sec. 503.86(b) to read as follows:


Sec. 503.86  Public access to records.

* * * * *
    (b) Requests for access to the records described in this section 
shall be made in accordance with procedures described in subparts C and 
D of this part.
* * * * *

PART 504--PROCEDURES FOR ENVIRONMENTAL POLICY ANALYSIS

    1. The authority citation for part 504 is revised to read as 
follows:

    Authority: 5 U.S.C. 552, 553; 46 U.S.C. app. 1712 and 1716; 42 
U.S.C. 4332(2)(b), and 42 U.S.C. 6362.

    2. Revise Sec. 504.1(c) to read as follows:


Sec. 504.1  Purpose and scope.

* * * * *
    (c) Information obtained under this part is used by the Commission 
to assess potential environmental impacts of proposed Federal Maritime 
Commission actions. Compliance is voluntary but may be made mandatory 
by Commission order to produce the information pursuant to section 15 
of the Shipping Act of 1984. The penalty for violation of a Commission 
order under section 13 of the Shipping Act of 1984 may not exceed 
$5,000 for each violation, unless the violation was willfully and 
knowingly committed, in which case the amount of the civil penalty may 
not exceed $25,000 for each violation, as adjusted by Sec. 506.4 of 
this chapter. (Each day of a continuing violation constitutes a 
separate offense.)
    3. Revise Sec. 504.2 paragraphs (a), (b), (h), and (i) to read as 
follows:


Sec. 504.2  Definitions.

    (a) Shipping Act of 1984 means the Shipping Act of 1984 (46 U.S.C. 
app. 1701--1720).
    (b) Common carrier means any common carrier by water as defined in 
section 3 of the Shipping Act of 1984, including a conference of such 
carriers.
* * * * *
    (h) Marine Terminal Operator means a person engaged in the United 
States in the business of furnishing wharfage, dock, warehouse or other 
terminal facilities in connection with a common carrier, or in 
connection with a common carrier and a water carrier subject to 
subchapter II of chapter 135 of Title 49, United States Code.
    (i) Commission means the Federal Maritime Commission, including any 
office or bureau to which the Commission may delegate its environmental 
policy analysis responsibilities.
    4. Revise Sec. 504.3 to read as follows:


Sec. 504.3  General information.

    (a) All comments submitted pursuant to this part shall be addressed 
to the Secretary, Federal Maritime Commission, 800 North Capitol 
Street, N.W., Washington, D.C. 20573-0001.
    (b) A list of recent Commission actions, if any, for which a 
finding of no significant impact has been made or for which an 
environmental impact statement is being prepared will be maintained by 
the Commission in the Office of the Secretary and will be available for 
public inspection.
    (c) Information or status reports on environmental statements and 
other elements of the NEPA process can be obtained from the Secretary, 
Federal Maritime Commission, 800 North Capitol Street, N.W., 
Washington, D.C. 20573-0001.
    5. In Sec. 504.4, remove and reserve paragraph (a)(7), revise 
paragraphs (a)(1), (a)(3), (a)(5), (a)(6), (a)(19), (b), and (c) to 
read as follows:


Sec. 504.4  Categorical exclusions.

    (a) * * *
    (1) Issuance, modification, denial and revocation of ocean 
transportation intermediary licenses.
    (2) * * *
    (3) Receipt of surety bonds submitted by ocean transportation 
intermediaries.
    (4) * * *
    (5) Receipt of service contracts.
    (6) Consideration of special permission applications pursuant to 
part 520 of this chapter.
    (7) [Reserved]
* * * * *
    (19) Action taken on special docket applications pursuant to 
Sec. 502.271 of this chapter.
* * * * *
    (b) If interested persons allege that a categorically-excluded 
action will have a significant environmental effect (e.g., increased or 
decreased air, water or noise pollution; use of recyclables; use of 
fossil fuels or energy), they shall, by written submission to the 
Secretary, explain in detail their reasons. The Secretary shall refer 
these submissions for determination by the appropriate Commission 
official, not later than ten (10) days after receipt, whether to 
prepare an environmental assessment. Upon a determination not to 
prepare an environmental assessment, such persons may petition the 
Commission for review of the decision within ten (10) days of receipt 
of notice of such determination.
    (c) If the individual or cumulative effect of a particular action 
otherwise categorically excluded offers a reasonable potential of 
having a significant environmental impact, an environmental assessment 
shall be prepared pursuant to Sec. 504.5.
    6. Revise Sec. 504.5(b) to read as follows:


Sec. 504.5  Environmental assessments.

* * * * *
    (b) A notice of intent to prepare an environmental assessment 
briefly describing the nature of the potential or proposed action and 
inviting written comments to aid in the preparation of the 
environmental assessment and early identification of the significant 
environmental issues may be published in the Federal Register. Such 
comments must be received by the Commission no later than ten (10) days 
from the date of publication of the notice in the Federal Register.
    7. Revise Sec. 504.6 to read as follows:


Sec. 504.6  Finding of no significant impact.

    (a) If upon completion of an environmental assessment, it is 
determined that a potential or proposed action will not have a 
significant impact on the quality of the human

[[Page 23550]]

environment of the United States or of the global commons, a finding of 
no significant impact shall be prepared and notice of its availability 
published in the Federal Register. This document shall include the 
environmental assessment or a summary of it, and shall briefly present 
the reasons why the potential or proposed action, not otherwise 
excluded under Sec. 504.4, will not have a significant effect on the 
human environment and why, therefore, an environmental impact statement 
(EIS) will not be prepared.
    (b) Petitions for review of a finding of no significant impact must 
be received by the Commission within ten (10) days from the date of 
publication of the notice of its availability in the Federal Register. 
The Commission shall review the petitions and either deny them or order 
prepared an EIS pursuant to Sec. 504.7. The Commission shall, within 
ten (10) days of receipt of the petition, serve copies of its order 
upon all parties who filed comments concerning the potential or 
proposed action or who filed petitions for review.
    8. Revise Sec. 504.7 paragraphs (a)(1), (b)(1) and (c)(1) to read 
as follows:


Sec. 504.7  Environmental impact statements.

    (a) General. (1) An environmental impact statement (EIS) shall be 
prepared when the environmental assessment indicates that a potential 
or proposed action may have a significant impact upon the environment 
of the United States or the global commons.
* * * * *
    (b) Draft environmental impact statements. (1) A draft 
environmental impact statement (DEIS) will initially be prepared in 
accordance with 40 CFR part 1502.
* * * * *
    (c) Final environmental impact statements. (1) After receipt of 
comments on the DEIS, a final environmental impact statement (FEIS) 
will be prepared pursuant to 40 CFR part 1502, which shall include a 
discussion of the possible alternative actions to a potential or 
proposed action. The FEIS will be distributed in the same manner as 
specified in paragraph (b)(2) of this section.
* * * * *
    9. Revise Sec. 504.9 paragraphs (a) introductory text, (c), and (d) 
to read as follows:


Sec. 504.9  Information required by the Commission.

    (a) Upon request, a person filing a complaint, protest, petition or 
agreement requesting Commission action shall submit, no later than ten 
(10) days from the date of the request, a statement setting forth, in 
detail, the impact of the requested Commission action on the quality of 
the human environment, if such requested action will:
* * * * *
    (c) If environmental impacts, either adverse or beneficial, are 
alleged, they should be sufficiently identified and quantified to 
permit meaningful review. Individuals may contact the Secretary of the 
Federal Maritime Commission for informal assistance in preparing this 
statement. The Commission shall independently evaluate the information 
submitted and shall be responsible for assuring its accuracy if used by 
it in the preparation of an environmental assessment or EIS.
    (d) In all cases, the Secretary may request every common carrier by 
water, or marine terminal operator, or any officer, agent or employee 
thereof, as well as all parties to proceedings before the Commission, 
to submit, within ten (10) days of such request, all material 
information necessary to comply with NEPA and this part. Information 
not produced in response to an informal request may be obtained by the 
Commission pursuant to section 15 of the Shipping Act of 1984.

PART 506--CIVIL MONETARY PENALTY INFLATION ADJUSTMENT

    1. The authority citation for Part 506 continues to read as 
follows:

    Authority: 28 U.S.C. 2461.

    2. Revise Sec. 506.4 (d) to read as follows:


Sec. 506.4  Cost of living adjustments of civil monetary penalties.

    (d) Inflation adjustment. Maximum Civil Monetary Penalties within 
the jurisdiction of the Federal Maritime Commission are adjusted for 
inflation as follows:

----------------------------------------------------------------------------------------------------------------
                                                                               Maximum penalty    New adjusted
           United States Code citation              Civil monetary penalty    amount as of 10/   maximum penalty
                                                          description               23/96            amount
----------------------------------------------------------------------------------------------------------------
46 U.S.C. app. sec. 817d........................  Failure to establish                   5,000             5,500
                                                   financial responsibility                200               220
                                                   for death or injury.
46 U.S.C. app. sec. 817e........................  Failure to establish                   5,000             5,500
                                                   financial responsibility                200               220
                                                   for nonperformance of
                                                   transportation.
46 U.S.C. app. sec. 876.........................  Failure to provide                     5,000             5,500
                                                   required reports, etc.--
                                                   Merchant Marine Act of
                                                   1920.
46 U.S.C. app. sec. 876.........................  Adverse shipping                   1,000,000         1,100,000
                                                   conditions--Merchant
                                                   Marine Act of 1920.
46 U.S.C. app. sec. 876.........................  Operating after tariff or             50,000            55,000
                                                   service contract
                                                   suspension/ Merchant
                                                   Marine Act of 1920.
46 U.S.C. app. sec. 1710a.......................  Adverse impact on US               1,000,000         1,100,000
                                                   carriers by foreign
                                                   shipping practices.
46 U.S.C. app. sec. 1712........................  Operating in foreign                  50,000            55,000
                                                   commerce after tariff
                                                   suspension.
46 U.S.C. app. sec. 1712........................  Knowing and willful                   25,000            27,500
                                                   violation/Shipping Act of
                                                   1984 or Commission
                                                   regulation or order.
46 U.S.C. app. sec. 1712........................  Violation of Shipping Act              5,000             5,500
                                                   of 1984, Commission
                                                   regulation or order, not
                                                   knowing and willful.
31 U.S.C. sec. 3802(a)(1).......................  Program Fraud Civil                    5,000             5,500
                                                   Remedies Act/giving false
                                                   statement.
31 U.S.C. sec. 3802(a)(2).......................  Program Fraud Civil                    5,000             5,500
                                                   Remedies Act/giving false
                                                   statement.
----------------------------------------------------------------------------------------------------------------


[[Page 23551]]

PART 507--ENFORCEMENT OF NONDISCRIMINATION ON THE BASIS OF HANDICAP 
IN PROGRAMS OR ACTIVITIES CONDUCTED BY THE FEDERAL MARITIME 
COMMISSION

    1. The authority citation for part 507 continues to read as 
follows:

    Authority: 29 U.S.C. 794.

    2. In Sec. 507.170(b), remove ``29 CFR part 1613'' and replace with 
``29 CFR part 1614''.
    3. Revise Sec. 507.170(c) to read as follows:
    Sec. 507.170 Compliance Procedures.
* * * * *
    (c) The Director, Bureau of Administration shall be responsible for 
coordinating implementation of this section. Complaints may be sent to 
the Director, Bureau of Administration, Federal Maritime Commission, 
800 North Capitol Street, N.W., Washington, DC 20573.
* * * * *

PART 540--PASSENGER VESSEL FINANCIAL RESPONSIBILITY

    1. In part 540, revise the part heading to read as set forth above:
    2. Revise the authority citation of part 540 to read as follows:

    Authority: 5 U.S.C. 552, 553; 31 U.S.C. 9701; secs. 2 and 3, 
Pub. L. 89-777, 80 Stat. 1356-1358, 46 U.S.C. app. 817e, 817d; 46 
U.S.C. 1716.

PART 582--[REMOVED]

    Under the authority of 5 U.S.C. 553, 6 U.S.C. app. 1701, 1702, 
1707, 1709, 1712, and 1714-1716, remove part 582.

    By the Commission.
Bryant L. VanBrakle,
Secretary.
[FR Doc. 99-10896 Filed 4-30-99; 8:45 am]
BILLING CODE 6730-01-P