[Federal Register Volume 72, Number 154 (Friday, August 10, 2007)]
[Rules and Regulations]
[Pages 44976-44978]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-15593]


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FEDERAL MARITIME COMMISSION

46 CFR Part 515

[Docket No. 07-08]
RIN 3072-AC32


Optional Method of Filing Form FMC-18, Application for a License 
as an Ocean Transportation Intermediary

August 6, 2007.
AGENCY: Federal Maritime Commission.

ACTION: Final rule.

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SUMMARY: The Federal Maritime Commission (``FMC'' or ``Commission'') 
amends its regulations relating to the method of filing Form FMC-18, 
Application for a License as an Ocean Transportation Intermediary 
(``OTI''), to provide for optional filing of OTI applications through a 
new electronic filing system. This optional filing system is intended 
to facilitate more efficient processing and review of applications for 
licensing. A filing fee of $250 will apply to new applicants for OTI 
licensing, and $125 for existing licensees who might want to use the 
optional electronic filing system to update their licensing records or 
to submit changes in the licensee's organization for which prior 
Commission approval is required.

DATES: Effective September 24, 2007.

FOR FURTHER INFORMATION CONTACT:

Sandra Kusumoto, Director, Bureau of Certification and Licensing, 
Federal Maritime Commission, 800 North Capitol Street, NW., Washington, 
DC 20573, (202) 523-5787, E-mail: [email protected].
Amy W. Larson, General Counsel, Federal Maritime Commission, 800 North 
Capitol Street, NW., Washington, DC 20573, (202) 523-5740, E-mail: 
[email protected].

SUPPLEMENTARY INFORMATION:
    By Notice of Inquiry in Docket No. 01-08, the Commission first 
solicited comments concerning the impact of the Government Paperwork 
Elimination Act and the Electronic Signatures in Global and National 
Commerce Act on all sectors of the U.S. ocean shipping industry. 
Comments received in response to the Notice were supportive and 
encouraging of the Commission's efforts to provide expanded electronic 
filing options for information collections.
    Responsive to comments filed in reply to that inquiry, the 
Commission signaled its intent to embark upon an E-government strategy 
which focuses on automating as many documents and

[[Page 44977]]

processes (both internal and external) as possible, and facilitating 
greater access to Commission information, forms and applications. The 
Commission concluded therein that establishing electronic options for 
most of its information collection processes was both viable and 
prudent. Since that time, the Commission has commenced an initiative 
for publishing electronic copies of Commission decisions; approved 
procedures by which non-vessel-operating common carriers (``NVOCCs'') 
may file electronic copies of NVOCC Service Arrangements (``NSAs''); 
upgraded the SERVCON system for filers of service contracts and NSAs; 
reorganized and updated the Commission's Web site at http://www.fmc.gov 
to improve transparency and accessibility to information; authorized 
the filing of agreement minutes and monitoring reports in electronic 
format, etc. The Commission's Annual Performance Plan envisions the 
continued use of technological enhancements to improve efficiency and 
facilitate the exchange of information within the Commission and 
between the Commission and the shipping industry.
    Working in conjunction with the Commission's Office of Information 
Technology, the Bureau of Certification and Licensing (``BCL'') 
commenced efforts in 2005 to automate the process of filing its 
application for OTI licensing, Form FMC-18. Under existing 46 CFR 
515.12, this application is submitted entirely in paper format, in 
duplicate. Supporting documentation required by the application process 
likewise must be filed in paper format.
    BCL recently completed the initial software development and 
associated testing to support an automated application filing system. 
The Commission now proposes to make BCL's automated filing system 
available as an optional method by which to file Form FMC-18. Use of 
the automated system will not be required; interested parties may 
continue to submit Form FMC-18 in paper format and those filings will 
be received and processed in the same manner as before.
    As developed by the Office of Information Technology and its 
contractors, the new automated filing system will facilitate the filing 
of Form FMC-18 in electronic format. Supporting documentation 
previously submitted in paper form will be appended electronically as 
part of the filing process. Validity checks incorporated into the 
automated filing process will alert the filer to the need to submit 
missing documentation at time of filing, thereby ensuring a more 
complete application and facilitating quicker processing of OTI 
applications by BCL staff. A visually cleaner and more helpful 
electronic interface also has been implemented to guide and assist the 
filing applicant in completing the application.
    The automated OTI filing system may be accessed through the 
Commission's Web site, http://www.fmc.gov. The filing system is 
password-protected to ensure the security of information being 
collected and to appropriately restrict external access to data to the 
applicant and its authorized filing agents. Both applicants for initial 
OTI licensing and current licensees seeking to amend or add an 
additional service (i.e., add NVOCC authority to an existing freight 
forwarder license) to their existing authority/license can make use of 
the automated filing system on an optional basis. Following 
implementation of automated filing on a voluntary basis, further 
automation of licensing-related functions, such as the use of e-
signature technology, electronic filing of bonds and electronic payment 
options for fees, may be addressed by the Commission in future 
rulemakings.
    The Commission may publish a rule as final, without being subject 
to the notice and comment requirements under the Administrative 
Procedure Act (``APA''), 5 U.S.C. 553, if the rule is interpretive, a 
general statement of policy, pertains to agency reorganization, or is a 
rule of practice and procedure. See 5 U.S.C. 553(b)(A); see also Bachow 
Communications, Inc. v. FCC, 237 F.3d 683, 690 (DC Cir. 2001) (``Like 
the rules governing the filing of applications, rules permitting (or 
suspending) amendments are `rules of agency organization, procedure, or 
practice' exempt from the Administrative Procedure Act's notice and 
comment requirement.'') The DC Circuit has held that the ``critical 
feature'' when determining whether a rule is procedural in nature is 
that ``it covers agency actions that do not themselves alter the rights 
or interests of parties, although it may alter the manner in which the 
parties present themselves or their viewpoints to the agency.'' James 
Hurson Assocs., Inc. v. Glickman, 229 F.3d 277, 280 (DC Cir. 2000) 
(citing JEM Broad. Co. v. FCC, 22 F.3d 320, 326 (DC Cir. 1994)).
    The Commission publishes this rule as final, implementing the 
voluntary electronic filing of Form FMC-18 under 5 U.S.C. 553 (b)(A), 
because this change is solely procedural in nature. Applicants will 
have the option to file electronically or to continue utilizing the 
paper format. If the Commission later determines that electronic filing 
be made a requirement of all applicants, a notice and comment period 
would be provided as required under 5 U.S.C. 553.
    In order to promote the use of the electronic filing option by the 
public and to facilitate transfer of OTI records from a paper-based 
format to a more convenient and accessible digital format, the 
Commission also has decided to assess a lesser filing fee for those 
using the optional electronic filing method during this initial testing 
period. A filing fee of $250 will apply to new applicants for OTI 
licensing, and $125 for existing licensees who might wish to use the 
optional electronic filing system to update their licensing records or 
to submit changes in the licensee's organization for which prior 
Commission approval is required. See 46 CFR 515.18. Those using the 
electronic filing method also will directly assist BCL in its 
transition to an electronic recordkeeping system, by reducing the need 
for Commission staff to manually re-key data now residing primarily in 
paper format.
    This rule is not a significant regulatory action as defined by 
Executive Order 12866, Regulatory Planning and Review, 58 FR 51,735 
(Sept. 30, 1993) and therefore, is not subject to review by the Office 
of Information and Regulatory Affairs, in the Office of Management and 
Budget.
    In accordance with the Regulatory Flexibility Act, 5 U.S.C. 601 et 
seq., the Federal Maritime Commission has certified to the Chief 
Counsel for Advocacy, Small Business Administration, that the rule will 
not have a significant impact on a substantial number of small 
entities. These changes establish an optional provision for U.S. 
licensed OTIs and applicants for OTI licensing, which may be used at 
their discretion. While these businesses qualify as small entities 
under the guidelines of the Small Business Administration, the rule 
poses no economic detriment, but rather provides a more cost-effective 
alternative than would otherwise be available to assist U.S. OTIs in 
obtaining licenses or in notifying the Commission of changes in the 
licensee's business structure or operations.
    The rule contains no additional information collection or 
recordkeeping requirement. Therefore, the requirements of the Paperwork 
Reduction Act, 44 U.S.C. 3501 et seq. do not apply.

List of Subjects for 46 CFR Part 515

    Classified information, Freedom of Information, Privacy, Sunshine 
Act.

[[Page 44978]]


0
For the reasons set out above, the Commission amends 46 CFR part 515 as 
follows:

PART 515--LICENSING, FINANCIAL RESPONSIBILITY REQUIREMENTS, AND 
GENERAL DUTIES FOR OCEAN TRANSPORTATION INTERMEDIARIES

0
1. The authority citation for 46 CFR part 515 continues to read as 
follows:

    Authority: 5 U.S.C. 553; 31 U.S.C. 9701; 46 U.S.C. app. 1702, 
1707, 1709, 1710, 1712, 1714, 1716, and 1718; Pub. L. 105-383, 112 
Stat. 3411; 21 U.S.C. 862.


Sec.  515.12  [Amended]

0
2. Amend 46 CFR 515.12 to add a new paragraph (e) as follows:
* * * * *
    (e) Optional method of filing Form FMC-18. In lieu of completing 
and filing Form FMC-18 in paper format, applications and amendments 
thereto may be completed and submitted to the Bureau of Certification 
and Licensing by using the automated FMC-18 filing system in accordance 
with the instructions found on the Commission's home page, http://www.fmc.gov. A $250 fee for filing a new application and a $125 fee for 
filing an amended application will be assessed for filers using the 
automated FMC-18 filing system instead of the fees listed at Sec.  
515.5(b)(1), (2).


Sec.  515.18  [Amended]

0
3. Amend 46 CFR 515.18 to add a new paragraph (f) as follows:
* * * * *
    (f) Optional method of filing Form FMC-18. In lieu of completing 
and filing Form FMC-18 in paper format, applications for approval of 
changes in organization, transfer of license, or changes in the 
identity or status of the designated qualifying individual required 
under this section may be completed and submitted to the Bureau of 
Certification and Licensing by using the automated FMC-18 filing system 
in accordance with the instructions found on the Commission's home 
page, http://www.fmc.gov. A $250 fee for filing a new application and a 
$125 fee for filing an amended application will be assessed for filers 
using the automated FMC-18 filing system instead of the fees listed at 
Sec.  515.5(b)(1), (2).

    By the Commission.
Bryant L. VanBrakle,
Secretary.
 [FR Doc. E7-15593 Filed 8-9-07; 8:45 am]
BILLING CODE 6730-01-P