[Federal Register Volume 69, Number 41 (Tuesday, March 2, 2004)]
[Rules and Regulations]
[Pages 9758-9759]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-4553]


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DEPARTMENT OF TRANSPORTATION

Maritime Administration

46 CFR Part 310

[Docket Number MARAD-2004-17185]
RIN 2133-AB57


Amended Service Obligation Reporting Requirements for U.S. 
Merchant Marine Academy and State Maritime Academy Graduates

AGENCY: Maritime Administration, Department of Transportation.

ACTION: Interim final rule with request for comments.

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SUMMARY: In this interim final rule, the U.S. Maritime Administration 
(MARAD, we, us, or our) will change the service obligation reporting 
requirements for United States Merchant Marine Academy (USMMA) 
graduates and State maritime academy graduates who receive Student 
Incentive Payments (SIP). Prior to this regulation, each graduate was 
required to submit an employment report form thirteen (13) months 
following his or her graduation and each succeeding twelve (12) months 
for a total of five (5) consecutive years.
    The amended obligation will require each graduate to file a report 
on March 31 following graduation and six (6) consecutive years 
thereafter. Each graduate will file a total of seven (7) reports in 
order to give information on all six (6) years of service obligation. 
This new reporting date will create a standard reporting period for all 
graduates and will coincide with the U.S. Naval Reserve/Merchant Marine 
Reserve (USNR/MMR) service reporting date. This rulemaking will also 
provide for the electronic submission of reports as the primary means 
for submission to MARAD.

DATES: This interim final rule is effective March 2, 2004. However, 
MARAD will consider comments received not later than April 1, 2004.

ADDRESSES: Comments should refer to the docket number that appears on 
the top of this document. Written comments may be submitted to the 
Docket Clerk, U.S. DOT Dockets, Room PL-401, 400 Seventh Street, SW., 
Washington, DC 20590. Comments may also be submitted by electronic 
means via the Internet at http://dmses.dot.gov/submit. Note that all 
comments received will be posted without change including any personal 
information provided in the comment. All comments received will be 
available for examination at the above address between 10 a.m. and 5 
p.m. ET, Monday through Friday, except Federal holidays. An electronic 
version of this document is available on the World Wide Web at http://dms.dot.gov.

FOR FURTHER INFORMATION CONTACT: Ms. Brenda Reed-Perry, Office of 
Policy and Plans, Maritime Administration, MAR-410, Room 7123, 400 
Seventh Street, SW., Washington, DC 20590; telephone: (202) 366-0845; 
FAX: (202) 366-7403 and e-mail: [email protected].

SUPPLEMENTARY INFORMATION: The USMMA and State maritime academies 
require a midshipman/cadet who is a U.S. citizen and who enters the 
USMMA or a State maritime academy in the SIP program after April 1, 
1982, to sign a service obligation contract which obligates the 
midshipman/cadet to certain post-graduate employment. Prior to this 
interim final rule, a USMMA or State maritime academy SIP graduate was 
required to submit his or her service obligation report thirteen (13) 
months following his or her graduation and each succeeding twelve (12) 
months for a total of five (5) consecutive years for USMMA graduates 
and for a total of three (3) years for State maritime academy SIP 
graduates.
    However, MARAD is now establishing the same service obligation 
reporting date that the USNR/MMR requires. This interim final rule will 
require each graduate to file a report on March 31 following graduation 
and six (6) consecutive years thereafter. Each graduate will file a 
total of seven (7) reports in order to give information on all six (6) 
years of service obligation. This new reporting date not only will 
coincide with the USNR/MMR's service reporting date but also will 
create a standard reporting period for all graduates. This rulemaking 
will also provide for the electronic submission of reports as the 
primary means for submission. Graduates must submit annually the 
Maritime Administration Service Obligation Compliance Report and 
Merchant Marine Reserve, U.S. Naval Reserve (USNR), Annual Report (Form 
MA-930). Graduates may submit their Service Obligation Reports 
electronically via the Maritime Service Compliance System at https://mscs.marad.dot.gov.

Regulatory Analyses and Notices

    Executive Order 12866 and DOT Regulatory Policies and Procedures. 
This interim final rule is not considered a significant regulatory 
action under section 3(f) of Executive Order 12886 and, therefore, was 
not reviewed by the Office of Management and Budget. This interim final 
rule is not likely to result in an annual effect on the economy of $100 
million or more. This interim final rule is also not significant under 
the Regulatory Policies and Procedures of the Department of 
Transportation (44 FR 11034, February 26, 1979). The costs and benefits 
associated with this rulemaking are considered to be so minimal that no 
further analysis is necessary. The economic impact, if any, should be 
minimal; therefore, further regulatory evaluation is not necessary. 
Additionally, this interim final rule is intended only to allow timely 
as well as fair and efficient use of electronic submission technologies 
for the information collection identified in this interim final rule.

Administrative Procedure Act

    The Administrative Procedure Act (5 U.S.C. 553) provides an 
exception to the

[[Page 9759]]

notice and comment procedures when they are unnecessary or contrary to 
the public interest. MARAD finds that under 5 U.S.C. 553(b)(3)(B) good 
cause exists for not providing notice and comment since this interim 
final rule only changes the service obligation reporting date of 
graduates to March 31 following graduation and thereafter for six (6) 
consecutive years for a total of seven (7) reports. The USNR/MMR also 
requires a March 31 reporting date for its service obligation reports. 
Additionally, we find good cause under 5 U.S.C. 553(d) to make this 
interim final rule effective upon publication because this rule is 
noncontroversial and allows timely and efficient reporting criteria. An 
immediate effective date of this final rule will provide USMMA and 
State maritime academy SIP graduates with equal reporting dates 
irrespective of graduation date. However, MARAD will accept comments as 
indicated in the Comments section above.

Regulatory Flexibility Act

    MARAD certifies that this interim final rule will not have a 
significant economic impact on a substantial number of small entities. 
This interim final rule only changes the service obligation reporting 
date for graduates to March 31 following graduation and for six (6) 
consecutive years thereafter. Only individuals and not businesses are 
affected by this interim final rule.

Federalism

    We have analyzed this interim final rule in accordance with the 
principles and criteria contained in Executive Order 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 is 
not necessary.

Executive Order 13175

    MARAD does not believe that this interim 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 do not apply.

Environmental Impact Statement

    We have analyzed this interim 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 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 
interim final rule is not required. This interim final rule involves 
administrative and procedural regulations that have no environmental 
impact.

Unfunded Mandates Reform Act of 1995

    This interim 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 interim final rule is the least burdensome alternative 
that achieves the objective of the rule.

Paperwork Reduction Act

    This interim final rule contains information collection 
requirements covered by the Office of Management and Budget approval 
number 2133-0509.

List of Subjects in 46 CFR Part 310

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


0
Accordingly, for the reasons discussed in the preamble, 46 CFR part 
310, is amended as follows:

PART 310--[AMENDED]

0
1. The authority citation for part 310 continues to read as follows:

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


0
2. In Sec.  310.58, paragraph (d) is revised to read as follows:


Sec.  310.58  Service obligation for students enrolled after April 2, 
1982.

* * * * *
    (d) Reporting requirements. (1) Each graduate must submit a service 
obligation report form on March 31 following graduation and six (6) 
consecutive years thereafter. Each graduate will file a total of seven 
(7) reports in order to give information on all six (6) years of 
service obligation. Graduates are encouraged to submit the service 
obligation report to MARAD using the web-based Internet system at 
https://mscs.marad.dot.gov. You may also continue to mail the service 
obligation report to: Compliance Specialist, Maritime Administration, 
Office of Policy and Plans, Room 7123, 400 7th St., SW., Washington, DC 
20590.
    (i) Example 1: Midshipman/cadet graduates on June 30, 2004. His 
first reporting date is March 31, 2005 and thereafter on March 31 for 
six (6) consecutive years for a total of seven (7) reports.
    (ii) Example 2: Midshipman/cadet has a deferred graduation to 
November 30, 2004. His first reporting date is March 31, 2005 and 
thereafter for six (6) consecutive years for a total of seven (7) 
reports.
    (iii) Example 3: Midshipman/cadet graduated in June 2002 and has 
already begun his service obligation reporting. His reports are now due 
on March 31 of each reporting year.

    (2) The Maritime Administration will provide reporting forms upon 
request. However, non-receipt of such form will not exempt a graduate 
from submitting service obligation information as required by this 
paragraph. Graduates are encouraged to submit their service obligation 
reports electronically at https://mscs.marad.dot.gov. The reporting 
form has been approved by the Office of Management and Budget (2133-
0509).
* * * * *

    Dated: February 26, 2004.

    By Order of the Maritime Administrator.
Joel C. Richard,
Secretary, Maritime Administration.
[FR Doc. 04-4553 Filed 3-1-04; 8:45 am]
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