[Federal Register Volume 73, Number 119 (Thursday, June 19, 2008)]
[Rules and Regulations]
[Pages 34856-34857]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-13527]


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DEPARTMENT OF COMMERCE

International Trade Administration

15 CFR Part 303

DEPARTMENT OF THE INTERIOR

Office of Insular Affairs

[Docket No. 080306383-8384-01]
RIN 0625-AA78


Changes in the Insular Possessions Watch, Watch Movement and 
Jewelry Programs 2006; Corrections

AGENCY:  Import Administration, International Trade Administration, 
Department of Commerce; Office of Insular Affairs, Department of the 
Interior.

ACTION:  Final rule.

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SUMMARY:  The Departments of Commerce and the Interior (the 
Departments) issue this rule to amend their regulations governing 
jewelry duty-refund benefits for producers in the United States insular 
possessions (the U.S. Virgin Islands, Guam, American Samoa and the 
Commonwealth of the Northern Mariana Islands) published on April 5, 
2007 (72 FR 16713). This amendment is needed to correct the formula for 
the calculation of the jewelry duty-refund, in accordance with Public 
Law 108-429.

DATES:  This rule is effective June 19, 2008.

FOR FURTHER INFORMATION CONTACT: Faye Robinson, Director, Statutory 
Import Programs Staff at (202) 482-3526.

SUPPLEMENTARY INFORMATION:  The Departments of Commerce and the 
Interior (the Departments) published a document in the Federal Register 
on April 5, 2007 (72 FR 16712), amending their regulations governing 
watch duty-exemption allocations and the watch and jewelry duty-refund 
benefits for producers in the United States insular possessions (the 
U.S. Virgin Islands, Guam, American Samoa and the Commonwealth of the 
Northern Mariana Islands). That document inadvertently provided an 
incorrect formula for the calculation of the jewelry duty-refund in 
sections 303.15(b), 303.20(b)(1) and 303.20(b)(2). This document 
corrects the final regulations by revising the unit thresholds in the 
mid-year duty-refund benefit calculation to reflect the correct 
amounts. The unit thresholds are amended by replacing the amounts in 
sections 303.20(b)(1)(ii), (b)(1)(ii) and (b)(1)(iii) from 450,000; 
600,000 and 750,000 to 3,533,334; 6,766,667 and 10,000,000, 
respectively. This rule also corrects the final regulations by revising 
the calculation and unit thresholds in the annual duty-refund benefit 
calculation to reflect the correct formula and amounts. The unit 
thresholds are amended by replacing the amounts in sections 
303.20(b)(2)(ii), (b)(2)(ii) and (b)(2)(iii) from 450,000; 600,000 and 
750,000 to 3,533,334; 6,766,667 and 10,000,000 respectively.

Classification

Administrative Procedure Act

    The International Trade Administration (ITA) finds good cause under 
5 U.S.C. 553(b)(B) to waive prior notice and the opportunity for 
comment as it is impracticable and contrary to the public interest. 
This final rule amends the regulations governing jewelry duty-refund 
benefits for producers in the United States insular possessions. A 
previously published rule inadvertently provided an incorrect formula 
and unit thresholds for the calculation of the jewelry duty-refund in 
sections 303.15(b), 303.20(b)(1) and (b)(2). This document corrects the 
final regulations by revising these sections to be consistent with 
ITA's statutory mandate to provide duty-refund benefits as provided in 
Public Law 106-36 and 108-429. If this amendment is not implemented 
immediately, the correct formula and maximum unit thresholds would not 
be in place when the Departments calculate the amount of the duty-
refund in July 2008. In order to have the correct formula and unit 
thresholds in place by the time the refund is calculated, it is 
necessary to implement this rule immediately.

[[Page 34857]]

Regulatory Flexibility Act

    Because a notice of proposed rulemaking and an opportunity for 
public comment are not required to be given for this rule under the 
Administrative Procedure Act or by any other law, the analytical 
requirements of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) 
are not applicable.

Paperwork Reduction Act

    This final rule does not contain collection-of-information 
requirements subject to review and approval by OMB under the Paperwork 
Reduction Act (PRA). Notwithstanding any other provision of law, no 
person is required to respond to, nor shall any person be subject to a 
penalty for failure to comply with, a collection of information subject 
to the Paperwork Reduction Act unless that collection displays a valid 
OMB Control Number.

Executive Order 12866

    It has been determined that this rule is not significant for 
purposes of Executive Order 12866.

Executive Order 13132

    This rule does not contain policies with federalism implications as 
that term is defined in Executive Order 13132.

List of Subjects in 15 CFR Part 303

    Administrative practice and procedure, American Samoa, Customs 
duties and inspection, Guam, Imports, Marketing quotas, Northern 
Mariana Islands, Reporting and recordkeeping requirements, Virgin 
Islands, Watches and jewelry.

0
Accordingly, 15 CFR Part 330 is corrected by making the following 
correcting amendments: For reasons set forth above, the Departments 
amend 15 CFR Part 303 as follows:

PART 303--WATCHES, WATCH MOVEMENTS AND JEWELRY PROGRAM

0
1. The authority citation for 15 CFR Part 303 continues to read as 
follows:

    Authority: Pub. L. 97-446, 96 Stat. 2331(19 U.S.C. 1202, note); 
Pub. L. 103-465, 108 Stat. 4991; Pub. L. 94-241, 90 Stat. 263 (48 
U.S.C. 1681, note); Pub. L. 106-36, 113 Stat.167; Pub. L. 108-429, 
118 Stat. 2582.


Sec.  303.15  [Amended]

0
2. Section 303.15 is amended by removing ``750,000'' from the second 
sentence of paragraph (b) and adding ``10,000,000'' in its place.

0
3. Section 303.20(b) is revised to read as follows:


Sec.  303.20  Duty-refund calculations and miscellaneous provisions.

* * * * *
    (b) Calculation of the value of the mid-year production incentive 
certificates.
    (1) The value of each producer's certificate shall equal the 
producer's average creditable wage per unit shipped during the first 
six months of the calendar year multiplied by the sum of:
    (i) The number of units shipped up to 300,000 units times a factor 
of 90%; plus
    (ii) Incremental units shipped up to 3,533,334 units times a factor 
of 85%; plus
    (iii) Incremental units shipped up to 6,766,667 units times a 
factor of 80%; plus
    (iv) Incremental units shipped up to 10,000,000 units times a 
factor of 75%.
    (2) Calculation of the value of the annual production incentive 
certificates. The value of each producer's certificate shall equal the 
producer's average creditable benefit per unit based on creditable 
wages, health insurance, life insurance and pension benefits averaged 
from the amount of duty free units shipped during the calendar year 
multiplied by the sum of the following to obtain the total verified 
amount of the annual duty-refund per company. This amount would then be 
adjusted by deducting the amount of the mid-year duty-refund already 
issued.
    (i) The number of units shipped up to 300,000 units times a factor 
of 90%; plus
    (ii) Incremental units shipped up to 3,533,334 units times a factor 
of 85%; plus
    (iii) Incremental units shipped up to 6,766,667 units times a 
factor of 80%; plus
    (iv) Incremental units shipped up to 10,000,000 units times a 
factor of 75%.
* * * * *

    Dated: June 5, 2008.
Carole Showers,
Acting Deputy Assistant Secretary for Policy and Negotiations, 
Department of Commerce.
Stephen Sander,
Acting Director, Office of Insular Affairs, Import Administration, 
Department of Interior.
 [FR Doc. E8-13527 Filed 6-18-08; 8:45 am]
BILLING CODE 3510-DS-M(50%); 4310-93-M(50%)