[Federal Register Volume 81, Number 26 (Tuesday, February 9, 2016)]
[Proposed Rules]
[Pages 6810-6813]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-02169]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION

Saint Lawrence Seaway Development Corporation

33 CFR Part 402

[Docket No. SLSDC 2016-0003]
RIN 2135-AA38


Tariff of Tolls

AGENCY: Saint Lawrence Seaway Development Corporation, DOT.

ACTION: Notice of proposed rulemaking.

-----------------------------------------------------------------------

SUMMARY: The Saint Lawrence Seaway Development Corporation (SLSDC) and 
the St. Lawrence Seaway Management Corporation (SLSMC) of Canada, under 
international agreement, jointly publish and presently administer the 
St. Lawrence Seaway Tariff of Tolls in their respective jurisdictions. 
The Tariff sets forth the level of tolls assessed on all commodities 
and vessels transiting the facilities operated by the SLSDC and the 
SLSMC. The SLSDC is revising its regulations to reflect the fees and 
charges levied by the SLSMC in Canada starting in the 2016 navigation 
season, which are effective only in Canada. An amendment to increase 
the minimum charge per lock for those vessels that are not pleasure 
craft or subject in Canada to tolls under items 1 and 2 of the Tariff 
for full or partial transit of the Seaway will apply in the U.S. (See 
SUPPLEMENTARY INFORMATION.)

DATES: Comments are due March 10, 2016.

ADDRESSES: Docket: For access to the docket to read background 
documents or comments received, go to http://www.Regulations.gov; or in 
person at the Docket Management Facility; U.S. Department of 
Transportation, 1200 New Jersey Avenue SE., West Building Ground Floor, 
Room W12-140, Washington, DC 20590-001, between 9 a.m. and 5 p.m., 
Monday through Friday, except Federal Holidays.

FOR FURTHER INFORMATION CONTACT: Carrie Mann Lavigne, Chief Counsel, 
Saint Lawrence Seaway Development Corporation, 180 Andrews Street, 
Massena, New York 13662; 315/764-3200.

SUPPLEMENTARY INFORMATION: The Saint Lawrence Seaway Development 
Corporation (SLSDC) and the St. Lawrence Seaway Management Corporation 
(SLSMC) of Canada, under international agreement, jointly publish and 
presently administer the St. Lawrence Seaway Tariff of Tolls (Schedule 
of Fees and Charges in Canada) in their respective jurisdictions.

[[Page 6811]]

    The Tariff sets forth the level of tolls assessed on all 
commodities and vessels transiting the facilities operated by the SLSDC 
and the SLSMC. The SLSDC is proposing to revise 33 CFR 402.12, 
``Schedule of tolls'', to reflect the fees and charges levied by the 
SLSMC in Canada beginning in the 2016 navigation season. With one 
exception, the changes affect the tolls for commercial vessels and are 
applicable only in Canada. The collection of tolls by the SLSDC on 
commercial vessels transiting the U.S. locks is waived by law (33 
U.S.C. 988a(a)). Accordingly, no notice or comment is necessary on 
these amendments.
    The SLSDC is proposing to amend 33 CFR 402.12, ``Schedule of 
tolls'', to increase the minimum charge per vessel per lock for full or 
partial transit of the Seaway from $26.92 to $27.46. This charge is for 
vessels that are not pleasure craft or subject in Canada to the tolls 
under items 1 and 2 of the Tariff. This increase is due to higher 
operating costs at the locks.
    Regulatory Notices: Privacy Act: Anyone is able to search the 
electronic form of all comments received into any of our dockets by the 
name of the individual submitting the comment (or signing the comment, 
if submitted on behalf of an association, business, labor union, etc.). 
You may review DOT's complete Privacy Act Statement in the Federal 
Register published on April 11, 2000 (Volume 65, Number 70; Pages 
19477-78) or you may visit http://dms.dot.gov.

Regulatory Evaluation

    This proposed regulation involves a foreign affairs function of the 
United States and therefore Executive Order 12866 does not apply and 
evaluation under the Department of Transportation's Regulatory Policies 
and Procedures is not required.

Regulatory Flexibility Act Determination

    I certify this proposed regulation will not have a significant 
economic impact on a substantial number of small entities. The St. 
Lawrence Seaway Tariff of Tolls primarily relate to commercial users of 
the Seaway, the vast majority of whom are foreign vessel operators. 
Therefore, any resulting costs will be borne mostly by foreign vessels.

Environmental Impact

    This proposed regulation does not require an environmental impact 
statement under the National Environmental Policy Act (49 U.S.C. 4321, 
et reg.) because it is not a major federal action significantly 
affecting the quality of the human environment.

Federalism

    The Corporation has analyzed this proposed rule under the 
principles and criteria in Executive Order 13132, dated August 4, 1999, 
and has determined that this proposal does not have sufficient 
federalism implications to warrant a Federalism Assessment.

Unfunded Mandates

    The Corporation has analyzed this proposed rule under Title II of 
the Unfunded Mandates Reform Act of 1995 (Pub. L. 104-4, 109 Stat. 48) 
and determined that it does not impose unfunded mandates on State, 
local, and tribal governments and the private sector requiring a 
written statement of economic and regulatory alternatives.

Paperwork Reduction Act

    This proposed regulation has been analyzed under the Paperwork 
Reduction Act of 1995 and does not contain new or modified information 
collection requirements subject to the Office of Management and Budget 
review.

List of Subjects in 33 CFR Part 402

    Vessels, Waterways.

    Accordingly, the Saint Lawrence Seaway Development Corporation 
proposes to amend 33 CFR part 402, Tariff of Tolls, as follows:

PART 402--TARIFF OF TOLLS

0
1. The authority citation for Part 402 continues to read as follows:

    Authority:  33 U.S.C. 983(a), 984(a)(4) and 988, as amended; 49 
CFR 1.52.

0
2. In Sec.  402.3, add definitions of ``Gateway Incentive'', ``Toll 
reduction'', and ``Volume commitment'' in alphabetical order to read as 
follows:


Sec.  402.3  Interpretation.

* * * * *
    Gateway Incentive means a percentage reduction, as part of an 
incentive program, negotiated and offered on applicable cargo tolls for 
shipments of a specific commodity diverted to the Seaway from a 
competing gateway.
* * * * *
    Toll reduction means the negotiated percentage of refund on 
applicable cargo tolls under the Gateway Incentive program.
* * * * *
    Volume commitment means the negotiated annual cargo tonnage, with a 
minimum of 250,000 metric tons per year, a shipper must reach for the 
negotiated toll reduction under the Gateway Incentive to become 
applicable.
* * * * *
0
3. Revise paragraph (a) of Sec.  402.4 to read as follows:


Sec.  402.4  Tolls.

    (a) Every vessel entering, passing through or leaving the Seaway 
shall pay a toll that is the sum of each applicable charge in Sec.  
402.12. Each charge is calculated on the description set out in column 
1 of Sec.  402.12 and the rate set out in column 2 or 3.
* * * * *
0
4 . Redesignate Sec. Sec.  402.8, 402.9. 402.10, 402.11, 402.12 and 
402.13 as 402.9, 402.10, 402.11, 402.12, 402.13 and 402.14 
respectively.
0
5. Add a new Sec.  402.8 to read as follows:


Sec.  402.8  Gateway Incentive.

    (a) To be eligible for the Gateway Incentive, cargoes, must 
presently be moving between a specific origin and destination via other 
competing gateways.
    (b) To be eligible for the refund applicable under the Gateway 
Incentive program, a shipper, or its representative, must:
    (1) Submit an application to the Manager for the proposed movement 
(cargo/origin/destination) to be approved under the rules of the 
Gateway Incentive program;
    (2) Supply to the Manager the information proving that the proposed 
movement is currently done via a competing gateway;
    (3) Negotiate with the Manager the terms of the proposal, that is 
an applicable toll reduction, a volume commitment, and the duration of 
the proposal.
    (c) The shipper, or its representative, will qualify annually for 
the negotiated toll reduction upon completion of the annual volume 
commitment during the agreed upon duration period.
    (d) The Gateway Incentive applies only to movements of qualified 
cargoes done after the commencement date of the qualified Gateway 
Incentive. Movements done prior to the date of commencement of the 
Gateway Incentive will be ineligible for the rebate.
    (e) The shipper, or its representative, will provide the Manager 
with a request for the Gateway Incentive refund, together with copies 
of any documents required to support the request, within sixty (60 
days) of the close of the navigation season. Requests for refunds 
should be submitted to the Manager, Revenue and Forecast, who will be 
responsible for reviewing all documents

[[Page 6812]]

and data and recommending the refund under the Gateway Incentive.
    (f) The negotiated Gateway Incentive percentage of tolls reduction 
paid in respect of qualifying cargo shipped will be refunded by the 
Manager after the close of the navigation season, once the Manager has 
confirmed through the review of submitted support documents that the 
shipper has met the volume commitment. The SLSMC reserves the right to 
require the ultimate origin and destination of cargoes to validate the 
commitment.
0
6. Revise paragraph (a) of the redesignated Sec.  402.10 to read as 
follows:


Sec.  402.10  Post-clearance date operational surcharges.

    (a) Subject to paragraph (b) of this section, a vessel that reports 
for its final transit of the Seaway from a place set out in column 1 of 
Sec.  402.12 within a period after the clearance date established by 
the Manager and the Corporation set out in column 2 of Sec.  402.12 
shall pay operational surcharges in the amount set out in column 3 of 
Sec.  402.12, prorated on a per-lock basis.
* * * * *
0
7. Revise redesignated Sec.  402.12 to read as follows:


Sec.  402.12   Schedule of tolls.

------------------------------------------------------------------------
               Column 1                     Column 2         Column 3
------------------------------------------------------------------------
                                                             Rate ($)
                                            Rate ($)     Welland Canal--
                     Description of      Montreal to or  Lake Ontario to
      Item               charges           from Lake       or from Lake
                                           Ontario (5    Erie  (8 locks)
                                             locks)
------------------------------------------------------------------------
1...............  Subject to item 3,                     ...............
                   for complete
                   transit of the
                   Seaway, a composite
                   toll, comprising:
                     (1) a charge per   0.1061.........  0.1698.
                      gross registered
                      ton of the ship,
                      applicable
                      whether the ship
                      is wholly or
                      partially laden,
                      or is in
                      ballast, and the
                      gross registered
                      tonnage being
                      calculated
                      according to
                      prescribed rules
                      for measurement
                      or under the
                      International
                      Convention on
                      Tonnage
                      Measurement of
                      Ships, 1969, as
                      amended from
                      time to time\1\.
                  (2) a charge per                       ...............
                   metric ton of cargo
                   as certified on the
                   ship's manifest or
                   other document, as
                   follows:
                       (a) bulk cargo.  1.0997.........  0.7506.
                       (b) general      2.6498.........  1.2013.
                        cargo.
                       (c) steel slab.  2.3981.........  0.8600.
                       (d)              1.0997.........  0.7506.
                        containerized
                        cargo.
                       (e) government   n/a............  n/a.
                        aid cargo.
                       (f) grain......  0.6756.........  0.7506.
                       (g) coal.......  0.6756.........  0.7506.
                  (3) a charge per      1.6476.........  1.6476.
                   passenger per lock.
                  (4) a lockage charge  n/a............  0.2827.
                   per Gross
                   Registered Ton of
                   the vessel, as
                   defined in tem
                   1(1), applicable
                   whether the ship is
                   wholly or partially
                   laden, or is in
                   ballast, for
                   transit of the
                   Welland Canal in
                   either direction by
                   cargo ships,
                  Up to a maximum       n/a............  3,955.
                   charge per vessel.
2...............  Subject to item 3,    20 per cent per  13 per cent per
                   for partial transit   lock of the      lock of the
                   of the Seaway.        applicable       applicable
                                         charge under     charge under
                                         items 1(1),      items 1(1),
                                         1(2) and 1(4)    1(2) and 1(4)
                                         plus the         plus the
                                         applicable       applicable
                                         charge under     charge under
                                         items 1(3).      items 1(3).
3...............  Minimum charge per    \2\ 27.46......  27.46.
                   vessel per lock
                   transited for full
                   or partial transit
                   of the Seaway.
4...............  A charge per          \4\ 30.00......  30.00.
                   pleasure craft per
                   lock transited for
                   full or partial
                   transit of the
                   Seaway, including
                   applicable federal
                   taxes \3\.
5...............  Under the New         20%............  20%.
                   Business Initiative
                   Program, for cargo
                   accepted as New
                   Business, a
                   percentage rebate
                   on the applicable
                   cargo charges for
                   the approved period.
6...............  Under the Volume      10%............  10%.
                   Rebate Incentive
                   program, a
                   retroactive
                   percentage rebate
                   on cargo tolls on
                   the incremental
                   volume calculated
                   based on the pre-
                   approved maximum
                   volume.
7...............  Under the New         20%............  20%.
                   Service Incentive
                   Program, for New
                   Business cargo
                   moving under an
                   approved new
                   service, an
                   additional
                   percentage refund
                   on applicable cargo
                   tolls above the New
                   Business rebate.
------------------------------------------------------------------------
\1\ Or under the US GRT for vessels prescribed prior to 2002.
\2\ The applicable charged under item 3 at the Saint Lawrence Seaway
  Development Corporation's locks (Eisenhower, Snell) will be collected
  in U.S. dollars. The collection of the U.S. portion of tolls for
  commercial vessels is waived by law (33 U.S.C. 988a(a)). The other
  charges are in Canadian dollars and are for the Canadian share of
  tolls.
\3\ $5.00 discount per lock applicable on ticket purchased for Canadian
  locks via paypal.
\4\ The applicable charge at the Saint Lawrence Seaway Development
  Corporation's locks (Eisenhower, Snell) for pleasure craft is $30 U.S.
  or $30 Canadian per lock.



[[Page 6813]]

    Issued at Washington, DC, on February 1, 2016.

Saint Lawrence Seaway Development Corporation.
Carrie Lavigne,
Chief Counsel.
[FR Doc. 2016-02169 Filed 2-8-16; 8:45 am]
BILLING CODE 4910-61-P