[Federal Register Volume 66, Number 133 (Wednesday, July 11, 2001)]
[Rules and Regulations]
[Pages 36175-36177]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-17217]


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DEPARTMENT OF TRANSPORTATION

Maritime Administration

46 CFR Part 310

[Docket No. MARAD-2001-10056]


Service Obligation Reporting Requirements for United States 
Merchant Marine Academy and State Maritime School Graduates

AGENCY: Maritime Administration, Transportation.

ACTION: Final rule.

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SUMMARY: The Maritime Administration (MARAD, we, our, or us) is 
amending the employment reporting requirements for United States 
Merchant Marine Academy (USMMA) graduates and graduates receiving 
student incentive payments at state maritime schools. The

[[Page 36176]]

new rule will allow a USMMA or state maritime school graduate to submit 
his or her employment report 13 months following his or her graduation 
and each succeeding 12 months for a total of five consecutive years for 
USMMA graduates and three years for state maritime school graduates. 
The intended effect of this rulemaking is to provide all graduates 
(whether June or deferred) an equal amount of months to report 
employment under their service obligations rather than require a July 1 
report date for all graduates including those having deferred 
graduation dates. This rule is noncontroversial and allows a timely as 
well as fair and efficient reporting criterion.

DATES: The effective date of this final rule is July 11, 2001.

FOR FURTHER INFORMATION CONTACT: Mr. Taylor E. Jones II, Office of 
Maritime Labor, Training, and Safety, (202) 366-5755. You may send mail 
to Mr. Jones at Maritime Administration, Office of Maritime Labor, 
Training, and Safety, MAR-250, Room 7302, 400 Seventh Street, SW., 
Washington, DC 20590.

SUPPLEMENTARY INFORMATION:   

Background

    The USMMA and state maritime schools require a midshipman/cadet who 
is a U.S. citizen and who enters the USMMA or a state maritime school 
in the student incentive payment (SIP) program after April 1, 1982 to 
sign a service obligation contract which obligates the midshipman/cadet 
to certain post graduate employment. Prior regulations required an 
employment reporting date of July 1 for all USMMA and state maritime 
school SIP graduates irrespective of whether the graduation date was in 
June or deferred. This presented a situation in which some graduates 
were allowed less time to submit an employment report under their 
service obligations. This final rule will allow a USMMA or state 
maritime school SIP graduate to submit his or her employment report 13 
months following his or her graduation and each succeeding 12 months 
for a total of five consecutive years for USMMA graduates and for a 
total of three years for state maritime school SIP graduates. This will 
afford all graduates (whether June or deferred) an equal amount of 
months to report employment under their service obligations rather than 
require a July 1 report date for all graduates including those having 
deferred graduation dates.
    This rulemaking does not require notice and comment because it is a 
rule of agency organization, procedure, and practice (5 U.S.C. 553(b)). 
Additionally, we find good cause under 5 U.S.C. 553(d) to make this 
final rule effective upon publication because this rule is 
noncontroversial and allows a timely as well as fair and efficient 
reporting criterion. An immediate effective date of this final rule 
will provide USMMA and state maritime school (SIP) graduates with equal 
reporting time irrespective of graduation date.

Regulatory Analyses and Notices

Executive Order 12866 and DOT Regulatory Policies and Procedures

    This final rule is not considered a significant regulatory action 
under section 3(f) of Executive Order 12866 and, therefore, was not 
reviewed by the Office of Management and Budget. This final rule is not 
likely to result in an annual effect on the economy of $100 million or 
more. This final rule is also not significant under the Regulatory 
Policies and Procedures of the Department of Transportation (44 FR 
11034; February 26, 1979). The economic impact, if any, should be so 
minimal that no further regulatory evaluation is necessary. This final 
rule is intended only to allow timely as well as fair and efficient 
employment reporting criterion.

Regulatory Flexibility Act

    MARAD certifies that this final rule will not have a significant 
economic impact on a substantial number of small entities. This final 
rule only provides an equal reporting time for all USMMA and state 
maritime school graduates irrespective of graduation date.

Federalism

    We analyzed this final rule in accordance with the principles and 
criteria contained in E.O. 13132 (``Federalism'') and have determined 
that it does not have sufficient federalism implications to warrant the 
preparation of a federalism summary impact statement. These regulations 
have no substantial effects on the States, or on the current Federal-
State relationship, or on the current distribution of power and 
responsibilities among the various local officials. Therefore, 
consultation with State and local officials was not necessary.

Executive Order 13175

    MARAD does not believe that this final rule will significantly or 
uniquely affect the communities of Indian tribal governments when 
analyzed under the principles and criteria contained in Executive Order 
13175 (``Consultation and Coordination with Indian Tribal 
Governments''). Therefore, the funding and consultation requirements of 
this Executive Order would not apply.

Environmental Impact Statement

    We have analyzed this final rule for purposes of compliance with 
the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) 
and have concluded that under the categorical exclusions provision in 
section 4.05 of Maritime Administrative Order (``MAO'') 600-1, 
Procedures for Considering Environmental Impacts, 50 FR 11606 (March 
22, 1985), the preparation of an Environmental Assessment and an 
Environmental Impact Statement, or a Finding of No Significant Impact 
for this final rule is not required. This final rule involves 
administrative and procedural regulations that have no environmental 
impact.

Unfunded Mandates Reform Act of 1995

    This final rule does not impose an unfunded mandate under the 
Unfunded Mandates Reform Act of 1995. It does not result in costs of 
$100 million or more, in the aggregate, to any of the following: State, 
local, or Native American tribal governments, or the private sector. 
This final rule is the least burdensome alternative that achieves the 
objective of the rule.

Paperwork Reduction Act

    This final rule contains information collection requirements 
covered by OMB approval number 2133-0509, under 5 CFR part 1320, 
pursuant to the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et 
seq.).

List of Subjects in 46 CFR Part 310

    Grant programs-education, Reporting and recordkeeping requirements, 
Schools, and Seamen


    Accordingly, for the reasons discussed in the preamble, 46 CFR part 
310, is amended as follows:
    1. The authority citation for part 310 continues to read as 
follows:

    Authority: 46 App. U.S.C. 1295; 49 CFR 1.66.

    2. In Sec. 310.7, paragraph (b)(6) is revised to read as follows:


Sec. 310.7  Federal student subsistence allowances and student 
incentive payments.

* * * * *
    (b) * * *
    (6) Reporting requirement. (i) The schools must promptly submit 
copies of all resignation forms (containing the name, reason, address 
and telephone number) of juniors and seniors to the Supervisor, to be 
used for monitoring and enforcement purposes. Each

[[Page 36177]]

graduate must submit an employment report form to the Maritime 
Administration (Supervisor) 13 months following his or her graduation 
and each succeeding 12 months for three years to: Academies Program 
Officer, Office of Maritime Labor and Training, Maritime 
Administration, NASSIF Building, 400 7th St., SW., Washington, DC 
20590. In case a deferment has been granted to engage in a graduate 
course of study, semi-annual reports must be submitted for any 
extension of the three (3) year obligation period resulting from such 
deferments. The examples follow:

    Example 1: Midshipman graduates on June 30, 2001. His first 
reporting date is July 1, 2002 and thereafter for 3 consecutive 
years.
    Example 2: Midshipman has a deferred graduation on November 30, 
2001. His first reporting date is December 1, 2002 and thereafter 
for 3 consecutive years.

    (ii) The Maritime Administration will provide reporting forms. 
However, non-receipt of such form will not exempt a graduate from 
submitting employment information as required by this paragraph. The 
reporting form has been approved by the Office of Management and Budget 
(2133-0509).

    3. Section 310.58 is amended by revising paragraph (d) as follows:
* * * * *
    (d) Reporting requirements. (1) Each graduate must submit an 
employment report form 13 months following his or her graduation and 
each succeeding 12 months for a total of five consecutive years to: 
Academies Program Officer, Office of Maritime Labor and Training, 
Maritime Administration, NASSIF Building, 400 7th St., SW., Washington, 
DC 20590.

    Example 1: Midshipman graduates on June 30, 2001. His first 
reporting date is July 1, 2002 and thereafter for 5 consecutive 
years.
    Example 2: Midshipman has a deferred graduation on November 30, 
2001. His first reporting date is December 1, 2002 and thereafter 
for 5 consecutive years.

    (2) The Maritime Administration will provide reporting forms. 
However, non-receipt of such form will not exempt a graduate from 
submitting employment information as required by this paragraph. The 
reporting form has been approved by the Office of Management and Budget 
(2133-0509).

    Dated: July 5, 2001.
By Order of the Acting Deputy Maritime Administrator.
Joel C. Richard,
Secretary, Maritime Administration.
[FR Doc. 01-17217 Filed 7-10-01; 8:45 am]
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