[Federal Register Volume 66, Number 61 (Thursday, March 29, 2001)]
[Rules and Regulations]
[Pages 17073-17078]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-7744]


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DEPARTMENT OF THE INTERIOR

Bureau of Indian Affairs

25 CFR Part 170

RIN 1076-AE13


Distribution of Fiscal Year 2001 Indian Reservation Roads Funds

AGENCY: Bureau of Indian Affairs, Interior.

ACTION: Final rule.

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SUMMARY: We are issuing a final rule requiring that we distribute the 
remaining 25 percent of fiscal year 2001 Indian Reservation Roads (IRR) 
funds to projects on or near Indian reservations using the relative 
need formula. We are using the Federal Highway Administration (FHWA) 
Price Trends report for the relative need formula distribution process, 
with appropriate modifications to address non-reporting states. Up to 
$35,000 per tribe is available under this distribution until August 15, 
2001, for administrative capacity building and other eligible 
transportation activities upon receipt, review, and approval of self-
determination contracts and self-governance agreements, where 
applicable, and receipt of tribal requests by direct services tribes 
for BIA regions to perform these functions for them. We are extending 
the deadline for applying for these funds from March 15, 2001, to May 
15, 2001.

EFFECTIVE DATE: March 29, 2001. Section 170.4b expires September 30, 
2001.

FOR FURTHER INFORMATION CONTACT: LeRoy Gishi, Chief, Division of 
Transportation, Office of Trust Responsibilities, Bureau of Indian 
Affairs, 1849 C Street, NW., MS-4058-MIB, Washington, DC 20240. Mr. 
Gishi may also be reached at 202-208-4359 (phone) or 202-208-4696 
(fax).

SUPPLEMENTARY INFORMATION:

Background

Where Can I Find General Background Information on the Indian 
Reservation Roads (IRR) Program, the Relative Need Formula, the Federal 
Highway Administration (FHWA) Price Trends Report, and the 
Transportation Equity Act for the 21st Century (TEA-21) Negotiated 
Rulemaking Process?

    The background information on the IRR program, the relative need 
formula, the FHWA Price Trends Report, and the TEA-21 Negotiated 
Rulemaking process is detailed in the Federal Register notice dated 
February 15, 2000 (65 FR 7431). You may obtain additional information 
on the IRR program web site at http://www.irr.bia.gov.

Why Are You Publishing This Final Rule?

    We are publishing this final rule only for the distribution of the 
remaining 25 percent of fiscal year 2001 IRR funds. This rule sets no 
precedent for the final rule to be published as required by Section 
1115 of TEA-21. On January 9, 2001, we published a temporary rule 
distributing 75 percent of fiscal year 2001 IRR funds (66 FR 1576).

Where Can I Find Information on the Distribution of 75 Percent of 
Fiscal Year 2001 IRR Funds?

    You can find this information in the Federal Register notice dated 
January 9, 2001 (66 FR 1576).

What Comments Did You Receive on the Temporary Rule for Distribution of 
25 Percent of Fiscal Year 2001 IRR Program Funds?

    In the 30-day comment period after publication of the temporary 
rule distributing 75 percent of fiscal year 2001 IRR program funds, we 
received comments from 84 commenters. We have reviewed and considered 
these comments on distributing the remaining 25 percent of fiscal year 
2001 IRR program funds.
    Many commenters referred to ``the [TEA-21] Negotiated Rulemaking 
Committee's consensus'' on IRR funding for fiscal year 2001. The full 
committee did not consider or come to a consensus on this funding. 
Rather, the tribal caucus came to consensus and made written 
recommendations for fiscal year 2001 IRR funding to the Assistant 
Secretary--Indian Affairs, as requested by the Assistant Secretary. The 
Assistant Secretary considered the recommendations and implemented 
almost all of them, except for specific items for which the 
Department's legal review required changes.
    Comment: Eight commenters objected to the Secretary's reserving 
$19.53 million for administrative capacity building and other 
transportation activities out of the second 25 percent distribution 
rather than out of the first 75 percent distribution. Their objection

[[Page 17074]]

was that reserving the $19.53 million from the 25 percent distribution 
subjected those funds to ``further decision-making'' and violated the 
tribal caucus recommendation on fiscal year 2001 IRR funding.
    Response: The portion of fiscal year 2001 IRR program funds 
reserved for administrative capacity building was a new provision and 
departed from the current relative need formula. Therefore, we were 
required to solicit comments from the public. Those funds necessarily 
must come from the second distribution to allow for consideration of 
comments and any appropriate changes. After considering all comments, 
we will distribute fiscal year 2001 IRR program funds according to the 
diagram shown in the January 9, 2001, Federal Register notice (66 FR 
1578).
    Comment: Twenty-nine commenters objected to the requirement that 
tribes submit contract applications for administrative capacity 
building funds ($35,000 per tribe from the $19.53 million reserved) in 
order to receive those funds. The commenters said that the tribal 
caucus recommendation only required that tribes submit a tribal 
resolution or other official tribal action to receive the funds.
    Response: The temporary rule, following the tribal caucus 
recommendation, required that tribes submit a scope of work, a budget, 
and a tribal resolution or other official tribal action in order to 
apply for a self-determination contract or self-governance agreement. 
It required that direct services tribes request the administrative 
capacity building services from the appropriate region.
    Comment: Five commenters said the March 15, 2001, deadline for 
tribes to apply for administrative capacity building and other eligible 
transportation activities should be extended to August 15, 2001, as the 
tribal caucus recommendation stated.
    Response: The tribal caucus recommendation set August 15, 2001, as 
the deadline for both the application requests as well as awards of ACB 
funds. This deadline for applications does not allow BIA a reasonable 
time for consideration and approval of applications and direct service 
requests. Since the fiscal year ends September 30, 2001, the August 15, 
2001, deadline for application allows BIA and the tribes only 45 days 
to negotiate all requests for contracts and agreements and requests for 
direct services. However, in this final rule BIA is extending the 
deadline for tribes to apply for funds for administrative capacity 
building and other eligible transportation activities to May 15, 2001.
    Comment: Twelve commenters stated that direct services tribes 
should not be required to submit anything in order to receive 
administrative capacity building services from their respective 
regional offices.
    Response: The tribal caucus recommendation states that ``the BIA 
will provide administrative capacity building services for tribes which 
so request.'' The temporary rule required that tribes needing direct 
services request those services from the appropriate BIA regional 
office.
    Comment: Eighteen commenters stated the temporary rule does not 
indicate that funds will be provided to regions to provide 
administrative capacity building services to direct services tribes.
    Response: The temporary rule states that the reserved funds will be 
distributed to the twelve BIA regions based on the number of tribes in 
the region that request to participate by tribal resolution or other 
official action of the tribe.
    Comment: Twenty-eight commenters agreed with the Secretary's 
reserving $19.53 million for administrative capacity building and other 
eligible transportation activities.
    Response: Accepted.
    Comment: Five commenters stated administrative capacity building 
funds should continue and be made available as part of the new funding 
formula.
    Response: The tribal caucus recommendation stated that this funding 
allocation is for fiscal year 2001 only. The temporary rule also states 
that this funding allocation applies only to fiscal year 2001 IRR 
program funding.
    Comment: Five commenters opposed the $19.53 million reserved for 
administrative capacity building and other eligible transportation 
activities.
    Response: The tribal caucus recommendation was to reserve funds for 
administrative capacity building for fiscal year 2001 only. The 
Assistant Secretary--Indian Affairs considered this tribal caucus 
recommendation to allow all tribes to participate in the IRR program, 
as an acceptable funding method for fiscal year 2001 and proposed it 
only for fiscal year 2001 in the temporary rule.
    Comment: Four commenters supported using the current relative need 
formula.
    Response: Accepted.
    Comment: One commenter stated the BIA should not use empty cells in 
the funding formula, but should use the regional engineer's estimates 
and recompute the cost to construct in that region and distribute the 
remaining 25 percent of fiscal year 2001 IRR program funds to correct 
for the entire year.
    Response: We are continuing to distribute IRR program funds for 
fiscal year 2001 as we have done in previous years using nationwide 
data in the approved relative need formula.
    Comment: Twenty-one commenters support the existing relative need 
formula only if it includes funds for administrative capacity building.
    Response: The tribal caucus recommendation was to use the current 
relative need formula and reserve funds for administrative capacity 
building for fiscal year 2001 only. The Assistant Secretary--Indian 
Affairs considered this tribal caucus recommendation to allow all 
tribes to participate in the IRR program as an acceptable funding 
method for fiscal year 2001 and proposed it only for fiscal year 2001 
in the temporary rule.
    Comment: Twelve commenters recommend distributing program 
management and oversight funds in an equitable manner considering 
number of tribes served, difficulty, and cost to travel to provide 
service to tribes, and geographic location.
    Response: Program management and oversight funds are part of the 
statutorily directed takedown and are not subject to the formula 
distribution.
    Comment: One commenter noted that ``administrative capacity 
building'' is not defined.
    Response: Accepted.
    Comment: One commenter recommended immediately distributing the 
first part of fiscal year 2001 IRR funds and immediately making 
available the $35,000 per tribe for administrative capacity building 
and other eligible transportation activities.
    Response: Upon publication of the temporary rule on January 9, 
2001, we distributed 75 percent of fiscal year 2001 IRR program funds. 
The portion of fiscal year 2001 IRR program funds reserved for 
administrative capacity building was a new provision and departed from 
the current relative need formula. Therefore, we were required to 
solicit comments from the public. Those funds necessarily must come 
from the second distribution to allow for consideration of comments and 
any appropriate changes. After considering all comments, we will 
distribute fiscal year 2001 IRR program funds according to the diagram 
shown in the January 9, 2001, Federal Register notice (66 FR 1578).
    Comment: Twenty-nine commenters objected to the requirement that 
tribes submit contract applications for administrative capacity 
building funds

[[Page 17075]]

($35,000 per tribe from the $19.53 million reserved) in order to 
receive those funds. The commenters said that the tribal caucus 
recommendation only required that tribes submit a tribal resolution or 
other official tribal action to receive the funds.
    Response: The temporary rule, following the tribal caucus 
recommendation, required that tribes submit a scope of work, a budget, 
and a tribal resolution or other official tribal action in order to 
apply for a self-determination contract or self-governance agreement. 
It required that direct services tribes request the administrative 
capacity building services from the appropriate region.
    Comment: Forty-two commenters agreed with using the Federal 
Highways Administration Price Trends Report with appropriate 
modifications for non-reporting states in the relative need formula if 
the report is implemented correctly; i.e., if BIA uses the most 
recently reported data and does not default non-reporting states to 
their lowest scores.
    Response: Accepted.
    Comment: Two commenters disagreed with using FHWA Price Trends 
Report as the guide for determining the cost-to-construct because the 
trends are taken from projects exceeding $500,000 and most reservation 
projects are much less than this.
    Response: The FHWA Price Trends Report indices are a reflection of 
the market trends for different categories of highway construction in 
each state. It does not determine the cost-to-construct. The cost-to-
construct is determined by updates tribes/agencies submit to BIA 
regional offices and approved by BIA Division of Transportation. The 
FHWA Price Trends Report is applied consistently to all states which 
have federally-recognized tribes.
    Comment: One commenter recommended using projected FHWA price 
indices for relative need formula for fiscal year 2001 IRR funds only 
if fiscal year 2000 4th quarter price indices have not been published 
by FHWA at the time regional distributions are finally calculated.
    Response: The use of FHWA Price Trends Report in the current 
relative need formula for fiscal year 2001 is consistent with its use 
since 1993. Recommendations for changes in use of the FHWA Price Trends 
Report or its elimination are appropriate for comments to the Notice of 
Proposed Rulemaking for the new relative need formula as proposed the 
TEA-21 Negotiated Rulemaking Committee.
    Comment: One commenter disagreed with modifications to the FHWA 
Price Trends Report and use of that data in distribution of fiscal year 
2001 IRR funds.
    Response: The use of FHWA Price Trends Report in the current 
relative need formula for fiscal year 2001 is consistent with its use 
since 1993. Recommendations for changes in use of the FHWA Price Trends 
Report or its elimination are appropriate for comments to the Notice of 
Proposed Rulemaking for the new relative need formula as proposed the 
TEA-21 Negotiated Rulemaking Committee.
    Comment: Two commenters stated that $35,000 per tribe for 
administrative capacity building and other eligible transportation 
activities is arbitrary and should be increased under certain 
circumstances based on need and available funding.
    Response: As proposed, $35,000 per tribe for administrative 
capacity building is only for fiscal year 2001 IRR program funds.
    Comment: Seven commenters agreed with distributing fiscal year 2001 
IRR funds in two installments.
    Response: Accepted.
    Comment: Six commenters objected to distributing fiscal year 2001 
IRR funds in two parts, noting that the tribal caucus consensus 
recommendation was to distribute the funds to the BIA regions in one 
payment.
    Response: The portion of fiscal year 2001 IRR program funds 
reserved for administrative capacity building was a new provision and 
departed from the current relative need formula. Therefore, we were 
required to solicit comments from the public. Those funds necessarily 
must come from the second distribution to allow for consideration of 
comments and any appropriate changes. After considering all comments, 
we will distribute fiscal year 2001 IRR program funds according to the 
diagram shown in the January 9, 2001, Federal Register notice (66 FR 
1578).
    Comment: One commenter stated that undistributed funding from the 
$19.53 million should remain in the region from which it was to be 
appropriated.
    Response: The tribal caucus recommendation states ``any funds 
reserved by the BIA to fund administrative capacity building 
applications which are not needed for this purpose based on the number 
of applications received by August 15 shall be redistributed nationally 
under the relative need formula.'' We accepted and used the tribal 
caucus recommendation in the temporary rule.
    Comment: Three commenters noted that the temporary rule did not 
include the Negotiated Rulemaking Committee's tribal caucus consensus 
statement that a transition distribution formula was necessary to 
provide tribes not already participating in the IRR program the 
opportunity to participate and that this should be addressed in future 
IRR regulations.
    Response: The temporary rule provided that all tribes should be 
able to participate in administrative capacity building.
    Comment: Three commenters noted that the temporary rule did not 
include the formula component diagram exactly as the committee caucus 
recommendation had presented it. The commenters said displaying the 
term ``reserved'' in the ``takedowns'' oval is misleading and should be 
correctly applied to the ``reserved'' amounts for the nationwide 
priority program for improving deficient IRR bridges of not less than 
$13 million.
    Response: The diagram as published in the temporary rule accurately 
reflects the current method for distributing IRR program funds under 
the current relative need formula. The statutorily directed takedown is 
not subject to formula distribution. The commenter is correct that 
reserved funds refer to reserved IRR bridge funds.
    Comment: Three commenters noted that the temporary rule and the 
diagram included in it imply that the $35,000 per tribe is intended 
only to be used for administrative capacity building rather than also 
for ``other eligible transportation activities'' and the diagram 
ignores possible allocations to regions to perform other eligible 
transportation activities for direct services tribes.
    Response: The temporary rule provides that the funds are reserved 
for administrative capacity building and other eligible transportation 
activities.
    Comment: Two commenters noted that they were hereby submitting 
their applications for $35,000 for administrative capacity building and 
other eligible transportation activities.
    Response: Accepted.
    Comment: Four commenters noted that they would be submitting a 
scope of work, budget, and tribal resolution for administrative 
capacity building funds by March 15, 2001.
    Response: Accepted.
    Comment: One commenter stated that the BIA should distribute the 
remaining 25 percent of fiscal year 2001 IRR funds according to the 
same relative need formula used to distribute the first 75 percent of 
those funds.
    Response: Accepted.

[[Page 17076]]

    Comment: Thirty-seven commenters stated that although the temporary 
rule did not address the population factor in the relative need 
formula, they were commenting that BIA should not reduce Alaska's 
population numbers in the BIA Labor Force Report.
    Response: We are continuing to distribute IRR program funds as we 
have in previous years under the relative need formula using data 
tribes provide to BIA.
    Comment: Two commenters support lifting the restriction that 
requires funds to be used on BIA projects.
    Response: All IRR program funds are eligible for use on projects, 
functions, services, and activities for all IRR transportation 
projects.
    Comment: One commenter stated that each village in Alaska should 
not receive tribal status.
    Response: IRR program funds are available for approved IRR projects 
for all federally recognized tribes as identified in the Federal 
Register. This comment is outside the scope of this rule.
    Comment: One commenter stated that Alaska needs a separate IRR 
program because the relative need formula was not designed for Alaska.
    Response: The IRR program was developed to serve all federally 
recognized tribes. This comment is outside the scope of this rule.
    Comment: Two commenters noted that using adjusted mileage for 
Alaska in the current relative need formula is contrary to Public Law 
102-381 after the relative need formula was put into place in 1993.
    Response: Comments on inventory data are properly addressed in TEA-
21 Section 1115 negotiated rulemaking process and comments to the 
Notice of Proposed Rulemaking when it is published. This comment is 
outside the scope of this rule.
    Comment: One commenter stated that revenue from the federal fuel 
excise tax should be used mainly for community road maintenance and 
construction and should not be used for other transportation 
activities.
    Response: This comment is outside the scope of this rule.
    Comment: One commenter noted that the temporary rule does not take 
into account the Office of Self-Governance or the 100 percent advance 
payment provision of a fiscal year 2001 self-governance agreement.
    Response: This comment is correct, however, this comment is 
properly addressed in TEA-21 Section 1115 negotiated rulemaking process 
and comments to the Notice of Proposed Rulemaking when it is published.
    Comment: One commenter noted that each chapter of the Navajo Nation 
should be allocated $35,000 for administrative capacity building.
    Response: The temporary rule provides that administrative capacity 
building funds in the temporary rule are available to federally 
recognized tribes in the amount of $35,000 per tribe.

Does This Rule Include the Reserved Funds for Administrative Capacity 
Building?

    Yes. The remaining 25 percent of fiscal year IRR program funds 
distributed under this rule includes the $19.53 million reserved for 
administrative capacity building and other eligible transportation 
activities. These funds will be distributed until August 15, 2001, 
based on approved self-determination contracts or applicable self-
governance agreements or requests by direct services tribes to the 
appropriate BIA region for BIA to perform administrative capacity 
building for them. After August 15, 2001, any undistributed funds 
reserved for administrative capacity building will be distributed to 
the appropriate BIA regions using the relative need formula.

What Is the Deadline for Applying for Administrative Capacity Building 
Funds for Fiscal Year 2001 as Outlined in the January 9, 2001, Federal 
Register Notice?

    The deadline for applying for administrative capacity building 
funds for fiscal year 2001 is changed from March 15, 2001 to May 15, 
2001.

How Will the Secretary Distribute the Remaining 25 Percent of Fiscal 
Year 2001 IRR Program Funds?

    Upon publication of this rule, the Secretary will distribute the 
remaining 25 percent (approximately $56.5 million) of fiscal year 2001 
IRR program funds based on the current relative need formula used in 
fiscal year 2000 and in the first distribution in fiscal year 2001. 
From this 25 percent the Secretary is reserving $19.53 million to 
distribute for administrative capacity building by the process 
described in the January 9, 2001, temporary rule. We are using the 
latest indices from the FHWA Price Trends Report with appropriate 
modifications for non-reporting states in the relative need formula 
distribution process.

Regulatory Planning and Review (Executive Order 12866)

    Under the criteria in Executive Order 12866, this rule is a 
significant regulatory action because it will have an annual effect of 
more than $100 million on the economy. The total amount available for 
distribution of fiscal year 2001 IRR program funds is approximately 
$226 million and we are distributing approximately $56.5 million under 
this rule. Congress has already appropriated these funds and FHWA has 
already allocated them to BIA. The cost to the government of 
distributing the IRR program funds, especially under the relative need 
formula with which the tribal governments and tribal organizations and 
the BIA are already familiar, is negligible. The distribution of fiscal 
year 2001 IRR program funds does not require tribal governments and 
tribal organizations to expend any of their own funds.
    This rule is consistent with the policies and practices that 
currently guide our distribution of IRR program funds. This rule 
continues to adopt the relative need formula that we have used since 
1993, adjusting the FHWA Price Trends Report indices for states that do 
not have current data reports.
    This rule will not create a serious inconsistency or otherwise 
interfere with an action taken or planned by another Federal agency. 
The FHWA has transferred the IRR program funds to us and fully expects 
the BIA to distribute the funds according to a funding formula approved 
by the Secretary. This rule does not alter the budgetary effects on any 
tribes from any previous or any future distribution of IRR program 
funds and does not alter entitlement, grants, user fees, or loan 
programs or the rights or obligations of their recipients.
    This rule does not raise novel legal or policy issues. It is based 
on the relative need formula in use since 1993. We are changing 
determination of relative need only by appropriately modifying the FHWA 
Price Trend Report indices for states that did not report data for the 
FHWA Price Trends Report, just as we did for the second partial 
distribution of fiscal year 2000 IRR program funds and the first 
partial distribution of fiscal year 2001 IRR funds.
    Approximately 1400 road and bridge construction projects are at 
various phases that depend on this fiscal year's IRR program funds. 
Leaving these ongoing projects unfunded will create undue hardship on 
tribes and tribal members. Lack of funding would also pose safety 
threats by leaving partially constructed road and bridge projects to 
jeopardize the health and safety of the traveling public. Thus, the 
benefits of this rule far outweigh the costs. This rule is consistent 
with the policies and practices that currently guide our distribution 
of IRR program funds. This

[[Page 17077]]

rule continues to adopt the relative need formula that we have used 
since 1993.

Regulatory Flexibility Act

    A Regulatory Flexibility analysis under the Regulatory Flexibility 
Act (5 U.S.C. 601 et seq.) is not required for this rule because it 
applies only to tribal governments, not state and local governments.

Small Business Regulatory Enforcement Fairness Act (SBREFA)

    This rule is a major rule under 5 U.S.C. 804(2), the Small Business 
Regulatory Enforcement Fairness Act, because it has an annual effect on 
the economy of $100 million or more. We are distributing approximately 
$57.5 million under this rule. Congress has already appropriated these 
funds and FHWA has already allocated them to BIA. The cost to the 
government of distributing the IRR program funds, especially under the 
relative need formula with which tribal governments, tribal 
organizations, and the BIA are already familiar, is negligible. The 
distribution of the IRR program funds does not require tribal 
governments and tribal organizations to expend any of their own funds.
    This rule will not cause a major increase in costs or prices for 
consumers, individual industries, Federal, State, or local government 
agencies, or geographic regions. Actions under this rule will 
distribute Federal funds to Indian tribal governments and tribal 
organizations for transportation planning, road and bridge 
construction, and road improvements.
    This rule does not have significant adverse effects on competition, 
employment, investment, productivity, innovation, or the ability of 
U.S.-based enterprises to compete with foreign-based enterprises. In 
fact, actions under this rule will provide a beneficial effect on 
employment through funding for construction jobs.

Unfunded Mandates Reform Act

    Under the Unfunded Mandates Reform Act (2 U.S.C. 1531 et seq.), 
this rule will not significantly or uniquely affect small governments, 
or the private sector. A Small Government Agency Plan is not required.
    This rule will not produce a federal mandate that may result in an 
expenditure by State, local, or tribal governments of $100 million or 
greater in any year. The effect of this rule is to immediately provide 
the remaining 25 percent of fiscal year 2001 IRR program funds to 
tribal governments for ongoing IRR activities and construction 
projects.

Takings Implications (Executive Order 12630)

    With respect to Executive Order 12630, the rule does not have 
significant takings implications since it involves no transfer of title 
to any property. A takings implication assessment is not required.

Federalism (Executive Order 13132)

    With respect to Executive Order 13132, the rule does not have 
significant Federalism implications to warrant the preparation of a 
Federalism Assessment. This rule should not affect the relationship 
between state governments and the Federal government because this rule 
concerns administration of a fund dedicated to IRR projects on or near 
Indian reservations that has no effect on Federal funding of state 
roads. Therefore, the rule has no Federalism effects within the meaning 
of Executive Order 13132.

Civil Justice Reform (Executive Order 12988)

    This rule does not unduly burden the judicial system and meets the 
requirements of sections 3(a) and 3(b)(2) of Executive Order 12988. 
This rule contains no drafting errors or ambiguity and is clearly 
written to minimize litigation, provide clear standards, simplify 
procedures, and reduce burden. This rule does not preempt any statute. 
We are still pursuing the TEA-21 mandated negotiated rulemaking 
process. The rule is not retroactive with respect to any funding from 
any previous fiscal year (or prospective to funding from any future 
fiscal year), but applies only to the remaining 25 percent of fiscal 
year 2001 IRR program funding.

Paperwork Reduction Act

    The Paperwork Reduction Act does not apply because this rule does 
not impose record keeping or information collection requirements or the 
collection of information from offerors, contractors, or members of the 
public that require the approval of the Office of Management and Budget 
under 44 U.S.C. 501 et seq. We already have all of the necessary 
information to implement this rule.

National Environmental Policy Act

    This rule is categorically excluded from the preparation of an 
environmental assessment or an environmental impact statement under the 
National Environmental Policy Act of 1969, 42 U.S.C. 4321 et seq., 
because its environmental effects are too broad, speculative, or 
conjectural to lend themselves to meaningful analysis and the road 
projects funded as a result of this rule will be subject later to the 
National Environmental Policy Act process, either collectively or case-
by-case. Further, no extraordinary circumstances exist to require 
preparation of an environmental assessment or environmental impact 
statement.

Consultation and Coordination With Indian Tribal Governments 
(Executive Order 13175)

    Pursuant to the President's Executive Order 13175 of November 6, 
2000, ``Consultation and Coordination with Indian Tribal Governments,'' 
we have consulted with tribal representatives throughout the negotiated 
rulemaking process and in developing this rule. The TEA-21 Negotiated 
rulemaking committee's tribal caucus presented a consensus 
recommendation to the Assistant Secretary for distribution of fiscal 
year 2001 IRR program funds. We have evaluated any potential effects on 
federally recognized Indian tribes and have determined that there are 
no potential adverse effects and have determined that this rule 
preserves the integrity and consistency of the relative need formula 
process we have used since 1993 to distribute IRR funds. We are making 
a change from previous years (which we also made for fiscal year 2000 
and the first part of fiscal year 2001 IRR program funds (see Federal 
Register notices at 65 FR 7431 and 66 FR 1576 )) to modify the FHWA 
Price Trends Report indices for non-reporting states which do not have 
current price trends data reports. The yearly FHWA Report is used as 
part of the process to determine the cost-to-improve portion of the 
relative need formula. The only other change from previous years is to 
provide for up to $35,000 per tribe for administrative capacity 
building and other eligible transportation activities by reserving 
$19.53 million from this distribution. Consultation with tribal 
governments and tribal organizations is ongoing as part of the TEA-21 
negotiated rulemaking process and this distribution uses the TEA-21 
Negotiated Rulemaking Committee's tribal caucus recommendation.

List of Subjects in 25 CFR Part 170

    Highways and Roads, Indians-lands.


    For the reasons set out in the preamble, we are amending Part 170 
in Chapter I of Title 25 of the Code of Federal Regulations as follows.

PART 170--ROADS OF THE BUREAU OF INDIAN AFFAIRS

    1. The authority citation for part 170 continues to read as 
follows:


[[Page 17078]]


    Authority: 36 Stat. 861; 78 Stat. 241, 253, 257; 45 Stat. 750 
(25 U.S.C. 47; 42 U.S.C. 2000e(b), 2000e-2(i); 23 U.S.C. 101(a), 
202, 204), unless otherwise noted.


    2. Revise Sec. 170.4b to read as follows:


Sec. 170.4b  What formula will BIA use to distribute the remaining 25 
percent of fiscal year 2001 Indian Reservation Roads program funds?

    On March 29, 2001 we will distribute the remaining 25 percent of 
fiscal year 2001 IRR program funds authorized under Section 1115 of the 
Transportation Equity Act for the 21st Century, Public Law 105-178. We 
will distribute the funds to Indian Reservation Roads projects on or 
near Indian reservations using the relative need formula established 
and approved in January 1993. The formula has been modified to account 
for non-reporting states by inserting the latest data reported for 
those states for use in the relative need formula process. Of this 
remaining 25 percent of fiscal year 2001 IRR program funds, $19.53 
million is available for immediate distribution to provide for up to 
$35,000 for each tribe for administrative capacity building and other 
eligible transportation activities based on approved contracts, 
agreements, or requests for such funds by the deadline of May 15, 2001.

    Dated: March 23, 2001.
James H. McDivitt,
Deputy Assistant Secretary--Indian Affairs (Management).
[FR Doc. 01-7744 Filed 3-28-01; 8:45 am]
BILLING CODE 4310-02-P