[Federal Register Volume 90, Number 124 (Tuesday, July 1, 2025)]
[Rules and Regulations]
[Pages 28027-28029]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-12086]


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DEPARTMENT OF TRANSPORTATION

Maritime Administration

46 CFR Parts 317, 324, 325, 326, 328, 329, 330, 332, 335, 336, 337, 
338, and 339

[Docket Number MARAD-2025-0092]
RIN 2133-AC04


Rescinding Regulations Providing Terms for Agency Agreements

AGENCY: Maritime Administration (MARAD), Department of Transportation 
(DOT).

ACTION: Final rule.

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[[Page 28028]]

SUMMARY: MARAD is deleting 46 CFR parts 317, 324, 325, 326, 328, 329, 
330, 332, 335, 336, 337, 338, and 339, which pertain to terms under 
agreements with agents. While MARAD is retaining its 46 CFR part 315 
regulation addressing agency agreements and the appointment of agents, 
other regulations that simply provide static procedures to serve as 
terms of agreement are obsolete and are being rescinded because they 
are covered by clauses contained in the Federal Acquisition Regulation 
(FAR). In the more than 30 years since MARAD last updated its 
regulations, the development of its service agreements has benefited 
from the uniformity and transparency provided by FAR clauses, and MARAD 
has increased reliance on them.

DATES: This final rule is effective on July 1, 2025.
    Privacy Act: Anyone can 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.). For information on 
DOT's compliance with the Privacy Act, please visit https://www.transportation.gov/privacy.

FOR FURTHER INFORMATION CONTACT: Mitch Hudson, Office of the Chief 
Counsel, Division of Legislation and Regulation, (202) 366-9373 or via 
email at [email protected]. Persons who use a telecommunications 
device for the deaf (TDD) may call the Federal Information Relay 
Service (FIRS) at 1-800-877-8339 to contact the above individual during 
business hours. The FIRS is available twenty-four hours a day, seven 
days a week, to leave a message or question. You will receive a reply 
during normal business hours. You may send mail to Department of 
Transportation, Maritime Administration, Office of the Chief Counsel, 
Division of Legislation and Regulations, W24-220, 1200 New Jersey 
Avenue SE, Washington, DC 20590-0001.

SUPPLEMENTARY INFORMATION:

Electronic Access and Filing

    An electronic copy of this document may also be downloaded by 
accessing the Office of the Federal Register's home page at: 
www.federalregister.gov.

Background

    Improvement of regulations is a continuous focus for DOT and MARAD. 
For that reason, DOT/MARAD regularly and deliberately review their 
rules in accordance with DOT Order 2100.6B, Policies and Procedures for 
Rulemakings, Executive Order (E.O.) 12866, Regulatory Planning and 
Review (Oct. 4, 1993), and section 610 of the Regulatory Flexibility 
Act. That process is summarized in Appendix D of DOT's semi-annual 
regulatory agenda. In addition, E.O. 14192, Unleashing Prosperity 
Through Deregulation (Feb. 6, 2025), and E.O. 14219, Ensuring Lawful 
Governance and Implementing the President's ``Department of Government 
Efficiency'' Deregulatory Initiative (Feb. 19, 2025) directed agencies 
to further scrutinize their regulations to reduce unnecessary costs, 
clear barriers to emerging technology, and alleviate unnecessary 
regulatory burdens.

Discussion

    As explained above, the high degree of specificity and procedural 
detail contained in 46 CFR parts 317, 324, 325, 326, 328, 329, 330, 
332, 335, 336, 337, 338, and 339 are better addressed through the terms 
of MARAD service agreements that are negotiated on a case-by-case 
basis, and the application of modern federal acquisition policies and 
procedures that are covered in the FAR. Removing such procedures from 
the regulations ensures that administrative methods are kept current 
with modern commercial business practices and more easily aligned with 
the contracted services. Accordingly, for the reasons provided, MARAD 
regulations at 46 CFR parts 317, 324, 325, 326, 328, 329, 330, 332, 
335, 336, 337, 338, and 339 are now being rescinded.

Rulemaking Analysis and Notices

Administrative Procedure Act

    MARAD is issuing this rule without prior notice and the opportunity 
for public comment and the 30-day delayed effective date ordinarily 
prescribed by the Administrative Procedure Act (APA). Pursuant to 
section 553(b)(B) of the APA, general notice and the opportunity for 
public comment are not required with respect to a rulemaking when an 
``agency for good cause finds (and incorporates the finding and a brief 
statement of reasons therefor in the rules issued) that notice and 
public procedure thereon are impracticable, unnecessary, or contrary to 
the public interest.''
    The intent of this action is to remove unnecessary and obsolete 
MARAD procedures which have been superseded by FAR policies and 
procedures. For these reasons, MARAD has determined that there is good 
cause to waive prior notice and comment because rescinding obsolete and 
unhelpful agency agreement regulations would not benefit from public 
input.

Executive Orders 12866 and DOT Rulemaking Procedures

    This rule is not a significant regulatory action under Executive 
Order (E.O.) 12866 and DOT Order 2100.6B and, therefore it was not 
reviewed by the Office of Management and Budget. It is also not 
considered a major rule for purposes of Congressional review under 
Public Law 104-121. This rule is limited to removing obsolete 
regulations and will result in de minimis cost savings.

Executive Order 14192 (Deregulation)

    E.O. 14192 requires that for ``each new [E.O. 14192 regulatory 
action] issued, at least ten prior regulations be identified for 
elimination.'' Implementation guidance for E.O. 14192, issued by the 
Office of Management and Budget (OMB) (Memorandum M-25-20, March 26, 
2025), defines an E.O. 14192 deregulatory action as ``an action that 
has been finalized and has total costs less than zero.'' This rule will 
have total costs less than zero, and therefore is an E.O. 14192 
deregulatory action.

Executive Order 13132 (Federalism)

    MARAD analyzed this rulemaking in accordance with the principles 
and criteria contained in Executive Order 13132 (``Federalism'') and 
has determined that it has no substantial effect on the States, on the 
current Federal-State relationship, or on the current distribution of 
power and responsibilities among the various local officials. Nothing 
in this document preempts any State law or regulation. Therefore, MARAD 
did not consult with State and local officials on this rulemaking and 
did not prepare a federalism summary impact statement.

Executive Order 13175 (Consultation and Coordination With Indian Tribal 
Governments)

    MARAD does not believe that this rulemaking 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.

Regulatory Flexibility Act

    The Regulatory Flexibility Act of 1980 requires MARAD to assess 
whether this rulemaking would have a significant

[[Page 28029]]

economic impact on a substantial number of small entities and to 
minimize any adverse impact. The regulations have been rendered 
obsolete and are therefore not used. Accordingly, the rescission of the 
regulations will impose no impact. MARAD certifies that this rulemaking 
will not have a significant economic impact on a substantial number of 
small entities.

Privacy Impact Assessment

    Section 522(a)(5) of the Transportation, Treasury, Independent 
Agencies, and General Government Appropriations Act, 2005 (Pub. L. 108-
447, div. H, 118 Stat. 2809 at 3268) requires the Department of 
Transportation and certain other federal agencies to conduct a privacy 
impact assessment of each proposed rule that will affect the privacy of 
individuals.

Unfunded Mandates Reform Act of 1995

    The Unfunded Mandates Reform Act of 1995 requires agencies to 
evaluate whether an agency action would result in the expenditure by 
State, local, and tribal governments, in the aggregate, or by the 
private sector, of $206 million or more (as adjusted for inflation) in 
any 1 year, and if so, to take steps to minimize these unfunded 
mandates. This rulemaking will not impose unfunded mandates under the 
Unfunded Mandates Reform Act of 1995. It will not result in costs of 
$206 million or more to either State, local, or tribal governments, in 
the aggregate, or to the private sector, and is the least burdensome 
alternative that achieves the objectives of the rule. Therefore, the 
analytical requirements of UMRA do not apply.

Regulation Identifier Number (RIN)

    A regulation identifier number (RIN) is assigned to each regulatory 
action listed in the Unified Agenda of Federal Regulations. The 
Regulatory Information Service Center publishes the Unified Agenda in 
April and October of each year. The RIN number contained in the heading 
of this document can be used to cross-reference this action with the 
Unified Agenda.

Paperwork Reduction Act

    Under the Paperwork Reduction Act of 1995 (PRA), a person is not 
required to respond to a collection of information by a federal agency 
unless the collection displays a valid OMB control number. This 
rulemaking includes no new collection of information.

List of Subjects

46 CFR Part 317

    National defense, Surety bonds, Vessels.

46 CFR Part 324

    National defense, Reporting and recordkeeping requirements, Uniform 
System of Accounts, Vessels.

46 CFR Part 325

    National defense, Reporting and recordkeeping requirements, Uniform 
System of Accounts, Vessels, Wages.

46 CFR Part 326

    Claims, Insurance, National defense, Vessels.

46 CFR Part 328

    National defense, Reporting and recordkeeping requirements, 
Vessels.

46 CFR Part 329

    National defense, Reporting and recordkeeping requirements, 
Vessels.

46 CFR Part 330

    National defense, Vessels.

46 CFR Part 332

    National defense, Seamen.

46 CFR Part 335

    National defense, Reporting and recordkeeping requirements, 
Vessels.

46 CFR Part 336

    Government contracts, National defense, Reporting and recordkeeping 
requirements, Vessels.

46 CFR Part 337

    Customs duties and inspection, National defense, Reporting and 
recordkeeping requirements,
    Vessels.

46 CFR Part 338

    Government contracts, National defense, Reporting and recordkeeping 
requirements, Vessels.

46 CFR Part 339

    Government contracts, National defense, Vessels.

PARTS 317, 324, 325, 326, 328, 329, 330, 332, 335, 336, 337, 338, 
AND 339--[REMOVED AND RESERVED]

0
For the reasons set forth in the preamble, under the authority of 49 
U.S.C. 109, 49 CFR 1.81 MARAD amends46 CFR chapter II, subchapter I-A 
by removing and reserving parts 317, 324, 325, 326, 328, 329, 330, 332, 
335, 336, 337, 338, and 339.

    By order of the Maritime Administration.
T. Mitchell Hudson, Jr.,
Secretary, Maritime Administration.
[FR Doc. 2025-12086 Filed 6-27-25; 4:15 pm]
BILLING CODE 4910-81-P