[Federal Register Volume 78, Number 208 (Monday, October 28, 2013)]
[Proposed Rules]
[Pages 64183-64186]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-24750]
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Proposed Rules
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
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Federal Register / Vol. 78, No. 208 / Monday, October 28, 2013 /
Proposed Rules
[[Page 64183]]
DEPARTMENT OF HOMELAND SECURITY
U.S. Immigration and Customs Enforcement
8 CFR Part 293
[DHS Docket No. ICEB-2013-0002]
RIN 1653-AA66
Change to Existing Regulation Concerning the Interest Rate Paid
on Cash Deposited To Secure Immigration Bonds
AGENCY: U.S. Immigration and Customs Enforcement, DHS.
ACTION: Notice of proposed rulemaking.
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SUMMARY: The Department of Homeland Security proposes to amend its
regulations addressing the payment of interest on cash bond deposits to
explicitly provide that the Department of the Treasury (Treasury) will
set the interest rate. In the future, Treasury will notify the public
of its interest rate determinations by publishing the rates on the
Treasury Web site or via another mechanism. The current rate of
interest paid on deposits securing cash bonds is 3 percent per annum. 8
U.S.C. 1363(a); 8 CFR 293.2. This action is consistent with the
requirement of 8 U.S.C. 1363(a) that interest payments shall be ``at a
rate determined by the Secretary of the Treasury, except that in no
case shall the interest rate exceed 3 per centum per annum.''
DATES: Comments and related material must either be submitted to our
online docket via http://www.regulations.gov on or before December 27,
2013 or reach the Mail or Hand Delivery/Courier address listed below by
that date.
ADDRESSES: You may submit comments, identified by DHS Docket No. ICEB-
2013-0002, by using any one of the following methods:
Federal eRulemaking Portal: http://www.regulations.gov.
Follow the instructions for submitting comments.
Mail: Bonds Branch, c/o Don Benoit, Bonds Branch
Supervisor, Burlington Finance Center, P.O. Box 5000, Williston, VT
05495.
Hand Delivery/Courier: Don Benoit, Bonds Branch
Supervisor, Burlington Finance Center, 166 Sycamore Street, Williston,
VT 05495, between 9 a.m. and 5 p.m., Monday through Friday, except
federal holidays. Contact telephone number (802) 288-7630.
To avoid duplication, please use only one of these three methods.
See the ``Public Participation and Request for Comments'' portion of
the SUPPLEMENTARY INFORMATION section below for instructions on
submitting comments.
FOR FURTHER INFORMATION CONTACT: If you have questions on this proposed
rule, call or email Don Benoit, Bonds Branch Supervisor, Burlington
Finance Center, P.O. Box 5000, Williston, VT 05495-5000. Telephone:
(802) 288-7630, email: [email protected].
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Public Participation
A. Submitting Comments
B. Viewing Comments and Documents
C. Public Meeting
II. Abbreviations
III. Background
A. Immigration Bonds Secured by Cash
B. Payment of Interest on Cash Bond Deposits
C. Request for Comments
IV. Regulatory Analyses
A. Executive Orders 13563 and 12866: Regulatory Planning and
Review
B. Small Entities
C. The Small Business Regulatory Enforcement Fairness Act of
1996
D. Paperwork Reduction Act of 1995
E. Federalism
F. Unfunded Mandates Reform Act of 1995
G. Private Property
H. Executive Order 12988 Civil Justice Reform
I. Energy Effects
J. Technical Standards
K. National Environmental Policy Act
List of Subjects
Amendments to the Regulations.
I. Public Participation and Request for Comments
We encourage you to participate in this rulemaking by submitting
comments and related materials. All comments received will be posted
without change to http://www.regulations.gov and will include any
personal information you have provided.
A. Submitting Comments
If you submit a comment, please include the docket number for this
rulemaking (ICEB-2013-0002), indicate the specific section of this
document to which each comment applies, and provide a reason for each
suggestion or recommendation. You may submit your comments and material
online or by mail or hand delivery, but please use only one of these
means. We recommend that you include your name and a mailing address,
an email address, or a phone number in the body of your document so
that we can contact you if we have questions regarding your submission.
To submit your comment online, go to http://www.regulations.gov,
click on the ``submit a comment'' box, which will then become
highlighted in blue. In the ``Document Type'' drop down menu select
``Proposed Rule'' and insert ``ICEB-2013-0002'' in the ``Keyword'' box.
Click ``Search'' then click on the balloon shape in the ``Actions''
column. If you submit your comments by mail or hand delivery, submit
them in an unbound format, no larger than 8\1/2\ by 11 inches, suitable
for copying and electronic filing. If you submit comments by mail and
would like to know that they reached the mailing address, please
enclose a stamped, self-addressed postcard or envelope.
We will consider all comments and material received during the
comment period and may change this proposed rule based on your
comments.
B. Viewing Comments and Documents
To view comments, as well as documents mentioned in this preamble
as being available in the docket, go to http://www.regulations.gov, and
insert ``ICEB-2013-0002'' in the ``Search'' box. Click on ``Open Docket
Folder,'' and then click on ``View Comment'' or ``View All'' under the
``Comments'' section of the page. Individuals without internet access
can make alternate arrangements for viewing comments and documents
related to this rulemaking by contacting the Bonds Branch using the FOR
FURTHER INFORMATION CONTACT information above. Please be aware that
anyone can search the electronic form of comments received into any of
our dockets by the name of the individual submitting the comment (or
signing the
[[Page 64184]]
comment, if submitted on behalf of an association, business, labor
union, etc.).
C. Public Meeting
We do not now plan to hold a public meeting. But you may submit a
request for one to the docket using one of the methods specified under
ADDRESSES. In your request, explain why you believe a public meeting
would be beneficial. If we determine that one would aid this
rulemaking, we will hold one at a time and place announced by a later
notice in the Federal Register.
II. Abbreviations
CFR Code of Federal Regulations
DHS Department of Homeland Security
FR Federal Register
ICE U.S. Immigration and Customs Enforcement
INA Immigration and Nationality Act of 1952, as amended
Sec. Section symbol
U.S.C. United States Code
III. Background
A. Immigration Bonds Secured by Cash
ICE may release certain aliens from detention during removal
proceedings after a custody determination has been made pursuant to 8
CFR 236.1(c). As a condition of his/her release from custody, an alien
may be required to post an immigration bond. Currently, about 91
percent of the immigration bonds issued each year is secured by cash.
In FY 2012, there were a total of 56,501 immigration bonds posted. Of
that, 51,451 were secured by cash, totaling almost $274.9 million; the
remaining approximately 9 percent of the immigration bonds posted were
surety bonds, totaling almost $39.4 million. (Fiscal Year 2012 Total,
Cash Bonds and Surety Bonds--on file with the Bonds Branch, ICE
Burlington Finance Center).
All types of immigration bonds (delivery bonds, voluntary departure
bonds, order of supervision bonds, public charge bonds, maintenance of
status bonds, and stowaway bonds) secured by cash deposits are included
in this proposed rule. When a cash bond is posted, the bond obligor
pledges an amount of money equal to the face amount of the bond as
``security for the performance and fulfillment of the obligations''
described in the bond form. ICE Form I-352, ] I (Rev. 03/08). ICE
deposits cash pledged as security on immigration bonds in a fund
maintained by Treasury known as the Immigration Bond Deposit Account.
These funds are held ``in trust'' for the obligor and currently earn
simple interest at the rate of 3 percent per annum. 8 U.S.C. 1363(a); 8
CFR part 293. By signing the pledge and power of attorney in the bond
form, the obligor authorizes the United States to ``collect or to
assign and transfer'' the amount of money deposited as security to
satisfy any ``damages, demands, or deficiencies arising by reason of''
the bond's breach. Id. ] I. In other words, the obligor agrees that, in
case of default of any of the bond's terms and conditions, the
Government has the power to retain the cash deposited to satisfy any
damages, demands, or deficiencies arising from the default. ICE Form I-
352, ] I (Rev. 03/08). When the bond is breached, only the interest
that has accrued on the cash deposit is returned to the obligor. When
the bond's terms and conditions are satisfied, the bond is cancelled.
In this situation, both the cash deposit for the face amount of the
bond and the interest are sent to the obligor.
B. Payment of Interest on Cash Bond Deposits
In 1970, Congress added section 293 of the Immigration and
Nationality Act (INA), as amended, to pay interest at a rate determined
by the Secretary of the Treasury, not to exceed 3 per centum per annum,
on cash received as security for immigration bonds. Public Law 91-313
(July 10, 1970) (codified at 8 U.S.C. 1363). Effective on the date of
its publication in the Federal Register, July 23, 1971, the interest
rate set by Treasury--3 per centum per annum--has been paid on cash
bond deposits received after April 27, 1966. 36 FR 13677 (8 CFR part
293). Thus, since 1971, the Government has paid simple interest at the
rate of 3 percent per year on cash deposited by bond obligors to secure
immigration bonds.
C. Request for Comments
Under current law, Treasury has the sole authority to set the rate
of interest that DHS will use to calculate the amount of interest paid
in this context. Accordingly, DHS does not (indeed, cannot) propose any
changes to the current interest rate paid to cash bond obligors.
As explained above, current 8 CFR 293.2 states that ``effective
from date of deposit occurring after April 27, 1966, the interest rate
shall be 3 per centum per annum.'' In this action, DHS proposes to
modify this provision to explicitly state that Treasury will set the
interest rate directly. Thus, DHS will utilize the rate set by Treasury
in issuing interest payments, but will have no role in setting the
rate.
Comments on matters committed by law to Treasury's sole discretion
would be out-of-scope of this proposed rulemaking, however, commenters
may have valuable input on the matters relevant to this rulemaking. DHS
will consider all relevant comments and material received during the
comment period and will respond to them in the final rule.
IV. Regulatory Analyses
A. Executive Orders 13563 and 12866: Regulatory Planning and Review
Executive Orders 13563 and 12866 direct agencies to assess the
costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health and safety effects, distributive impacts, and equity). Executive
Order 13563 emphasizes the importance of quantifying both costs and
benefits, of reducing costs, of harmonizing rules, and of promoting
flexibility. The Office of Management and Budget (OMB) has not
designated this rule a ``significant regulatory action'' under section
3(f) of Executive Order 12866. Accordingly, OMB has not reviewed the
proposed rule.
The proposed rule, if finalized, would explicitly state that
Treasury is authorized by statute to set the interest rate paid on cash
deposited to secure immigration bonds, provided that the rate cannot
exceed 3 percent per year and cannot be less than 0. In deciding to
propose this rule, DHS considered whether DHS would implement any
possible future changes to the current fixed interest rate of 3 percent
per annum that may be made by Treasury, through informal rulemaking or
other means. DHS has rejected this alternative. Because Congress
authorized the Secretary of the Treasury to set the rate directly, the
approach that DHS proposes here is a more efficient and cost-effective
process.
This proposed rule does not propose any changes to the current
interest rate paid to cash bond obligors; under current law, a change
to the current interest rate paid cannot be made except under
Treasury's sole authority. As this rulemaking does not propose any
changes to the current fixed 3 percent per annum interest rate, this
proposed rule does not impose any costs on bond obligors.
As noted above, under current law, Treasury has the sole authority
to set the interest rate that DHS uses to determine the amount of
interest paid for cash immigration bonds. The proposed rule would
provide that Treasury will set the
[[Page 64185]]
interest rate directly and will publish the interest rate on the
Treasury Web site or through another mechanism. This would save DHS
resources by removing the intermediate step for DHS to implement
Treasury's decision by informal rulemaking.
B. Small Entities
Under the Regulatory Flexibility Act (5 U.S.C. 601-612), we have
considered whether this proposed rule would have a significant economic
impact on a substantial number of small entities. The term ``small
entities'' comprises small businesses, not-for-profit organizations
that are independently owned and operated and are not dominant in their
fields, and governmental jurisdictions with populations of less than
50,000.
This rule does not impose any direct costs on small entities.
Consequently, DHS certifies this proposed rule, if finalized, would not
impose a significant economic impact on a substantial number of small
entities.
C. The Small Business Regulatory Enforcement Fairness Act of 1996
This proposed rule is not a major rule as defined by 5 U.S.C. 804,
for purposes of congressional review of agency rulemaking under the
Small Business Regulatory Enforcement Fairness Act of 1996, Public Law
104-121. This rule would not result in an annual effect on the economy
of $100 million or more; a major increase in costs or prices; or
adverse effects on competition, employment, investment, productivity,
innovation, or the ability of United States-based companies to compete
with foreign-based companies in domestic or export markets.
D. Paperwork Reduction Act of 1995
This proposed rule would call for no new collection of information
under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520).
E. Federalism
A rule has federalism implications under Executive Order 13132,
Federalism, if it has a substantial direct effect on State or local
governments, on the relationship between the national government and
the States, or on the distribution of power and responsibilities among
the various levels of government. We have analyzed this proposed rule
under that Order and have determined that it does not have federalism
implications.
F. Unfunded Mandates Reform Act of 1995
The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538)
requires Federal agencies to assess the effects of their discretionary
regulatory actions. In particular, the Act addresses actions that may
result in the expenditure by a State, local, or tribal government, in
the aggregate, or by the private sector of $100,000,000 (adjusted for
inflation) or more in any one year. This proposed rule would not result
in such an expenditure.
G. Private Property
This proposed rule would not cause a taking of private property or
otherwise have taking implications under Executive Order 12630,
Governmental Actions and Interference with Constitutionally Protected
Property Rights.
H. Civil Justice Reform
Executive Order 12988 requires agencies to conduct reviews on civil
justice and litigation impact issues before proposing legislation or
issuing regulations. The order requires agencies to exert reasonable
efforts to ensure that the regulation identifies clearly preemptive
effects, effects on existing federal laws or regulations, identifies
any retroactive effects of the regulation, and other matters. DHS has
determined that this proposed rule meets the requirements of E.O. 12988
because it does not involve any retroactive effects, preemptive
effects, or any other matters addressed in E.O. 12988.
I. Energy Effects
We have analyzed this proposed rule under Executive Order 13211,
Actions Concerning Regulations That Significantly Affect Energy Supply,
Distribution, or Use. We have determined that it is not a ``significant
energy action'' under that order because it is not a ``significant
regulatory action'' under Executive Order 12866 and will not have a
significant adverse effect on the supply, distribution, or use of
energy.
J. Technical Standards
The National Technology Transfer and Advancement Act (NTTAA) (15
U.S.C. 272 note) directs agencies to use voluntary consensus standards
in their regulatory activities unless the agency provides Congress,
through the Office of Management and Budget, with an explanation of why
using these standards would be inconsistent with applicable law or
otherwise impractical. Voluntary consensus standards are technical
standards (e.g., specifications of materials, performance, design, or
operation; test methods; sampling procedures; and related management
systems practices) that are developed or adopted by voluntary consensus
standards bodies. This proposed rule does not use technical standards.
Therefore, we did not consider the use of voluntary consensus
standards.
K. National Environmental Policy Act
U.S. Department of Homeland Security Management Directive (MD) 023-
01 establishes procedures that the Department and its components use to
comply with the National Environmental Policy Act of 1969 (NEPA), 42
U.S.C. 4321-4375, and the Council on Environmental Quality (CEQ)
regulations for implementing NEPA, 40 CFR Parts 1500-1508. CEQ
regulations allow federal agencies to establish categories of actions
which do not individually or cumulatively have a significant effect on
the human environment and, therefore, do not require an Environmental
Assessment or Environmental Impact Statement. 40 CFR 1508.4. DHS MD
023-01 lists the Categorical Exclusions that the Department has found
to have no such effect. MD 023-01 app. A tbl.1.
The proposed rule would amend 8 CFR Part 293 to change the interest
rate for immigration bonds secured by cash from a fixed rate of 3
percent per year to a rate determined by the Secretary of the Treasury,
provided that the rate does not exceed 3 percent per year and is not
less than 0.
ICE has analyzed this proposed rule under MD 023-01. ICE has made a
preliminary determination that this action is one of a category of
actions which does not individually or cumulatively have a significant
effect on the human environment. This proposed rule clearly fits within
the two Categorical Exclusions found in MD 023-01, Appendix A, Table 1:
A3(a): ``Promulgation of rules . . . of a strictly administrative and
procedural nature''; and A3(d): ``Promulgation of rules . . . that
interpret or amend an existing regulation without changing its
environmental effect.'' This proposed rule is not part of a larger
action. This proposed rule presents no extraordinary circumstances
creating the potential for significant environmental effects.
Therefore, this proposed rule is categorically excluded from further
NEPA review.
ICE seeks any comments or information that may lead to the
discovery of any significant environmental effects from this proposed
rule.
[[Page 64186]]
List of Subjects
8 CFR Part 293
Administrative practice and procedure, Aliens, Bonds, Immigration,
Interest rate.
Amendments to the Regulations
For the reasons discussed in the preamble, DHS proposes to amend 8
CFR part 293 as follows:
PART 293--DEPOSIT OF AND INTEREST ON CASH RECEIVED TO SECURE
IMMIGRATION BONDS
0
1. Revise the authority citation for part 293 to read as follows:
Authority: 8 U.S.C. 1363.
0
2. Revise Sec. 293.1 to read as follows:
Sec. 293.1 Computation of Interest.
The Secretary of the Treasury determines the rate at which an
immigration bond secured by cash shall bear interest, consistent with 8
CFR 293.2. Interest shall be computed from the deposit date to and
including the refund date or breach date of the immigration bond. For
purposes of this part, the deposit date shall be the date shown on the
receipt for the cash received as security on an immigration bond. The
refund date shall be the date upon which the interest is certified to
the Treasury Department for payment. The breach date shall be the date
the immigration bond was breached as shown on Form I-323--``Notice--
Immigration Bond Breached.'' In counting the number of days for which
interest shall be computed, the day on which the cash was deposited
shall not be counted; however, the refund date or the breach date shall
be counted.
0
3. Revise Sec. 293.2 to read as follows:
Sec. 293.2 Interest Rate.
Interest on cash deposited to secure immigration bonds will be at
the rate as determined by the Secretary of the Treasury, but in no case
will exceed 3 per centum per annum or be less than zero. The rate will
be published by Treasury on the Treasury Web site or through another
mechanism.
0
4. Revise Sec. 293.3 to read as follows:
Sec. 293.3 Time of Payment.
Interest shall be paid only at time of disposition of principal
cash when the immigration bond has been cancelled or declared breached.
0
5. Remove Sec. 293.4.
Rand Beers,
Acting Secretary of Homeland Security.
[FR Doc. 2013-24750 Filed 10-25-13; 8:45 am]
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