68
SATURDAY, JANUARY 22, 1972 WASHINGTON, D.C. Volume 37 - Number 15 / O Pages 1029-1096 2 1.934 HIGHLIGHTS OF THIS ISSUE This listing does not affect the legal status of any document published In this Issue. Detailed table of contents appears inside. ECONOMIC STABILIZATION-CSC amendment on pay adjustments; effective 1-11-72 -----.--- 1033 BANK HOLDING COMPANIES-FRS amend- ments expanding authority of Reserve Banks regarding applications; effective 1-21-72-..._____ 1034 MAIL RATE PROCEEDINGS--CAB rule on filing times; effective 1-18-72 ................... 1035 FLOOD INSURANCE-HUD rule on eligible prop- erties; effective 3-1-72 .............................. 1036 PROCUREMENT-GSA rule on contracts with Small Business Administration; effective 3- %29-72 .................................................. 1037 MOTOR VEHICLE SAFETY-DoT proposal on ex- terior protection testing; comments by 2-21-72.- 1059 FOREIGN ATOMIC ENERGY PROGRAMS-AEC extension of comment time on proposal to 3- 6-72 .............. ............................................... 1059 ENVIRONMENT- AEC notices of availability of reports (4 docu- ments) ........................................ 1073 EPA proposal on suspension and cancellation proceedings under Federal Insecticide, Fungi- cide, and Rodenticide Act; comments within 30 days .......... 1059 Council on Environmental Quality listing of impact statements.... 1082 (Continued Inside)

tile.loc.gov...SATURDAY, JANUARY 22, 1972 WASHINGTON, D.C. Volume 37 - Number 15 / O Pages 1029-1096 2 1.934 HIGHLIGHTS OF THIS ISSUE This listing does not affect the legal status

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  • SATURDAY, JANUARY 22, 1972WASHINGTON, D.C.

    Volume 37 - Number 15 / O

    Pages 1029-1096 2

    1.934

    HIGHLIGHTS OF THIS ISSUEThis listing does not affect the legal statusof any document published In this Issue. Detailedtable of contents appears inside.

    ECONOMIC STABILIZATION-CSC amendmenton pay adjustments; effective 1-11-72 -----.--- 1033

    BANK HOLDING COMPANIES-FRS amend-ments expanding authority of Reserve Banksregarding applications; effective 1-21-72-..._____ 1034

    MAIL RATE PROCEEDINGS--CAB rule on filingtimes; effective 1-18-72 ................... 1035

    FLOOD INSURANCE-HUD rule on eligible prop-erties; effective 3-1-72 .............................. 1036

    PROCUREMENT-GSA rule on contracts withSmall Business Administration; effective 3-%29-72 .................................................. 1037

    MOTOR VEHICLE SAFETY-DoT proposal on ex-terior protection testing; comments by 2-21-72.- 1059

    FOREIGN ATOMIC ENERGY PROGRAMS-AECextension of comment time on proposal to 3-6-72 .............. ............................................... 1059

    ENVIRONMENT-AEC notices of availability of reports (4 docu-ments) ........................................ 1073EPA proposal on suspension and cancellationproceedings under Federal Insecticide, Fungi-cide, and Rodenticide Act; comments within30 days .......... 1059Council on Environmental Quality listing ofimpact statements.... 1082

    (Continued Inside)

  • Just Released

    CODE OF FEDERAL REGULATIONS

    (Revised as of Januaxy 1,1972)

    Title 7-Agriculture (Part 52) -------------------- $3.25

    Title 26-Internal Revenue (Part 600-End)----------

    Title 27-Intoxicating Liquors- -----------------

    [A Cumulative check ist of OF R issuances for1972 appears in the first issueof the Federal Register each month under Title 1]

    Order from Superintendent of Documents,United States Government Printing Office,

    Washington, D.C. 20402

    . 60

    .45

    Published daily, Tuesday through Saturday (no publication on Sundays, Mfondays, orFEllEI1BEGISTEII on the day after an official Federal holiday), by the Office of the Federal Register, NationalArchives and 'Records Service, General Services Administration, Washington, D.C. 20400,A- Code 202 " Phone 962-4626 pursuant to the authority contained in the Federal Register Act, approved July 20, l03a5

    (49 Stat. 500, as amended; 44 U.S.C., Ch. 15), under regulations prescribed by the Administrative Committee of the Federal Register, ap-proved by the President (1 CFR Ch. 1). Distribution Is made only by the Superintendent of Documents, U.S. Government Printing Offico,Washington, D.C. 20402.

    The FEDRmL REGrsTER will be furnished by mail to subscribers, free of postage, for $2.50 per month or $25 per year, payable Inadvance. The charge for individual copies is 20 cents for each issue, or 20 cents for each group of pages as actually bound. Remit oheol ormoney order, made payable to the Superintendent of Documents, U.. Government Printing Office, Washington, D.C. 20402.

    The regulatory material appearing herein is keyed to the CODE or FEDERAL REGULATIONS, which is published, under 50 titles, pursuantto section 11 of the Federal Register Act, as amended (44 U.S.C. 1510). The CODE Os FEDERAL REGULATIONS Is sold by the Superintendenbof Documents. Prices of new books are listed in the first FDERAL REGIST issue of each month.

    There are no restrictions on the republication of material appearing in the FEDERAL REGISTER or the CODn O rEDERAL REGULATION,

  • HIGHLIGHTS-Continued

    TELECOMMUNICATIONS-FCC proposal on FM Table of Assignments;comments by 2-25-72,FCC ruling on FM Table of Assignments; effec-tive 2-25-72 ........................-----......FCC notice on hearing for DoD-Westem Unionassessment complaint --------------- ...-----------------FCC notice on ABC prime time waiver ...........

    1067

    1041

    10851085

    FOOD ADDITIVES-FDA notice of withdrawal ofpetition 1072

    FEDERAL SERVICE-CSC notices an certain payrate adjustments (2 documents); effective 1-1-72 and 2-6-72_..... 1075, 1080RAILROADS-ICC amendments on abandonmentprocedures (2 documents); effective 1-22-72.... 1046,

    1049

    AGRICULTURE DEPARTMENTSee also Consumer and Marketing

    Service; Forest Service.

    NoticesAnimal and Plant Health Inspec-

    tion Service; proposed transferof assignments of functions anddelegations of authority-__

    Designation of areas for emer-gency loans:

    Arkansas----------------South Carolina -------------Utah -------------------

    ATOMIC ENERGY COMMISSIProposed Rule MakingForeign atomic energy programs;

    unclassified activities.....

    NoticesAvailability of applicants' environ-

    mental reports:Commonwealth Edison Co. (2

    documents)-------------Northern Indiana Public Service

    Co ..................Northern States Power Co ....

    SCIL AERONAUTICS BOAR[Rules and RegulationsEconomic proceedings; time for

    filing answers in mail rate pro-ceedings

    Notices

    Hearings, etc.:Air West...............ATC bylaws investigation ------Eastern Air Lines, Inc ---------Kodiak-Western Alaska merger

    caseTexas International Airlines,

    Inc..........Wisconsinpojts deyphenation

    case----------

    ContentsCONSUMER AND MARKETING

    SERVICE

    Rules and RegulationsHandling limitations; California

    and Arizona:Lemons 1034Navel oranges --------------- 1033

    1071 Proposed Rule Making1071 Mlilk handling in Minneapolls-St.1071 Paul and southeastern MInne-

    sota-northern Iowa (Dairyland)ION marketing areas; recommended

    decision ------------------ 105

    1059 ENVIRONMENTAL PROTECTIONAGENCY

    Proposed Rule Making1073 Advisory committees and hearings

    under Federal Insecticide, Fun-1073 gicide, and Rodenticide Act.... 10591073 Notices

    ) Assistant Administrator for Cate-gorical Programs; delegation ofauthority to publish rules.... 1084

    1035 ENVIRONMENTAL QUALITYCOUNCIL

    107410741074

    1074

    1074

    1074

    CIVIL SERVICE COMMISSIONRules and RegulationsPay adjiustments under economic

    stabilization program ..-------- 1033NoticesMinimum rates and rate ranges;

    adjustment (2 documents).__ 1075, 1080

    NoticesEnvironmental impact state-

    ments; public availability ....

    FEDERAL AVIATION- ADMINISTRATION

    Rules and RegulationsStandard instrument approach

    procedures; miscellaneousamendments.............

    NoticesKentucky; transfer of air carrier

    functions-------------Old Town, :Maine; relocation of

    flight service station ..........

    1082

    FEDERAL COMMUNICATIONSCOMMISSION

    Rules and RegulationsExperimental, auxiliary, special

    broadcast and other programdistributional services; CATVsystems; correction ......

    FM broadcast stations; table ofassignments; certain States__

    Proposed Rule MakingFM broadcast stations; table of

    assignments; certain States--.NoticesPrimer on ascertainment of com-

    munity problems by broadcastapplicants; petition for recon-fdderation------

    Hearings, etc.:Action Radio, Inc -------------American Broadcasting Com-

    pules, Inc ------------Department of Defense and

    Western Union TelegraphCo ----. - ----.

    KFPW Broadcasting Co. andGeorge T. Henrelc......

    Jackson, Phil D., et al -.....

    1045

    1041

    1067

    1089

    1084

    1085

    1085

    10861088

    FEDERAL INSURANCEADMINISTRATION

    Rules and RegulationsFlood Insurance program; miscel-

    laneous amendments....------- 1036

    FEDERAL POWER COMMISSIONNoticesHearings, etc.:

    Hill, John H., et al ..........Pennzoll Pipeline Co ..........

    1035 FEDERAL RESERVE SYSTEMRules and RegulationsDelegations of authority; bank

    1072 acquisitions by holding com-panies

    1072 (Continued on next page)- 1031

    10901091

  • CONTENTS

    NoticesAuglaize County Bank; order ap-

    proving application for mergerof banks -------------------- 1091

    Formation of one-bank holdingcompanies:

    Bankshares of Nebraska, Inc_ 1092Security Pacific Corp ---------- 1092

    FISH AND WILDLIFE SERVICERules and RegulationsSport fishing on Missisquoi Na-

    tional Wildlife Refuge, Ver-mont ----------------------- 1049

    Wilderness preservation andmanagement; access to Stateand private lands; correction-_ 1049

    FOOD AND DRUGADMINISTRATION

    NoticesFM1C Corp.; withdrawal of petition

    for food additives ------------ 1072

    FOREST SERVICENoticesRegional Foresters; delegation of

    authority ------------------- 1070

    GENERAL ,SERVICESADMINISTRATION

    Rules and RegulationsProcurement; contracts wit h

    Small Business Administration 1037NoticesSecretary of Defense; delegation

    of authority ----------------- 1092

    HEALTH, EDUCATION, ANDWELFARE DEPARTMENT

    See also Food and Drug Adminis-tration.

    Rules and RegulationsDelegations of authority; issuance

    of U.S. Government bills oflading for transportation ofhousehold goods -------------- 1041

    HOUSING AND URBANDEVELOPMENT DEPARTMENT

    See also Federal Insurance Ad-ministration.

    NoticesAssistant to the Secretary; desig-

    nation ---------------------- 1072

    INDIAN AFFAIRS BUREAUNoticesCrow Creek and Lower Brule

    Reservations; establishment ofagencies -------------------- 1070

    INTERIOR DEPARTMENTSee Fish and Wildlife Service;

    Indian Affairs Bureau; NationalPark Service.

    INTERSTATE COMMERCECOMMISSION

    Rules and RegulationsAbandonment of railroad lines;

    special procedures (2 docu-ments) ----------------- 1046, 1049

    Car service; Union Pacific Rail-road Co. authorized to operate .over certain trackage of Burl-inkton Northern Inc ---------- 1046

    NoticesAssignment of hearings ----------Curtis, Inc,, Denver, Colo.; hear-

    ing regarding meats over irregu-lar routes ...................

    1093

    1003

    NATIONAL HIGHWAY TRAFFICSAFETY ADMINISTRATION

    Proposed fRule MakingExterior protection; removal of

    trailer hitches during testing...

    NATIONAL PARK SERVICENotices

    Padre Island National Seashore,Tex.; suitability as wilderness;public hearing ...............

    PIPELINE SAFETY OFFICENotices 0

    Petition for waiver of gas pipelinesafety standards; hearing----

    SMALL BUSINESSADMINISTRATION

    NoticesWisconsin; declaration of disaster

    loan area ...................

    1059

    1070

    1072

    1092

    TRANSPORTATION DEPARTMENTSee Federal Aviation Administra-

    tion; National Highway TrafficSafety Administration; PipelineSafety Office.

    List of CFR Parts AffectedThe following numerical guide is a list of the parts of each title of the Code of Federal Regulations affected by

    documents published in today's issue. A cumulative list of parts affected, covering the current month to date,appears following the Notices sectibn of each issue beginning with the second Issue of the month.

    A cumulative guide is published separately at the end of each month. The guide lists the parts and sectionsaffected by documents published since January I, 1972, and specifies how they are affected.

    5 CFR532........................

    7 CFR907........................910........................PROPOSED RULES:1061........................1068 .........

    14 CFR1033 97 ----------------- ---------- 1035

    302 ---------------------------- 1035

    1033 24 CFR1034 1909 ------------------------- 10361911------------------.......-1--

    1050

    10 CFRPROPOSED RULES:110 -------------------------- 1059

    47 CFR73 ----------------------------- 104174_- ..---------------------------- 1045PROPOSED RULES:

    73 ----------------------------- 1067

    1913 ------------------------- 1037 49 CFR1914 ----------------------------- 1 037 1033-------------------------1040

    40 CFR 1121 (2 documents) -------- 1046,1049PROPOSED RULES: PROPOSED RULES:

    164 -------------------------- 1059 571 -------------------------- 1059

    41 CFR 50 CFR12 CFR 50.. ..1-1 -------------------------- 1037 33 ----------------------------- 1 049265 -------------------------- 1034 3-75 -------------------------- 1041 35 --------------------------- 1 1049

    1032

  • 1033

    Rules and Regulations

    Title 5-ADMINISTRATIVEPERSONNEL

    Chapter I-Civil Service Commission

    PART-532-PAY UNDER PREVAILING'RATE SYSTEMS -

    Subpart K-Pay Adjustments UnderEconomic Stabilization Program

    Part 532 is amended by adding a newSubpart K1 to provide the bases for ad-justing schedules to conform to payguidelines established by the Pay Boardin accordance with Executive Order11639.

    Effective January 11, 1972, a new Sub-part K is added to Part 532 as set outbelow.

    SubpartK---Pay Adjustments Under EconomicStabilization ProgramSec.532.1101 Purpose.532.1102 Applicability.532.1103 Definitions.532.1104 Responsibility of surveying agency.532.1105 Application of the guidelines.532.1106 Determination process.

    Aurnonr: The provisions of this SubpartM issued under Executive Order 11639, 36F.R. 52L§ 532.1101 Purpose.

    'The purpose of this subpart is to pro-vide the regulations necessary for ad-mintering each pay schedule adjust-ment for employees whose rates of basicpay are fixed by administrative actionunder subchapter IV of chapter 53 oftitle 5 of the United States Code, andfor carrying out the intent of the Con-gress and the President in providing forthe stabilization of the economy, pro-vided for under the Economic Stabiliza-tion Program and Executive Order 11639,dated January 11, 1972, as administeredby the Pay Board established ilnderExecutive Order 11627 of October 15,1971.§ 532.1102 Applicability.

    (a) Agency. This subpart applies toeach executive agency of military de-

    * partment authorized to fix by adminis-trative action the rate of basic pay fora position or employee under subchapterIV of chapter 53 of title 5 of the UnitedStates Code.

    (b) Emfployee. This subpart applies toan employee who is excepted from chap-ter 51 of title 5, United States Code bysections 5102(c) (7) and 5102(c) (8) ofthat title.

    (e) Wage schedules. This subpart ap-plies to all wage rate schedules which areissued by responsible agency authorityon or after January 11, 1972, irrespectiveof the effective date of the schedules.

    § 532.1103 Definitions.(a) "Tandem relationship" means a

    well established and consistently main-tained practice before August 15, 1971,whereby the timing, amount, and natureof general Increase in wages, salaries, andother compensation within a commonlyrecognized industry are used to estab-lish the wage schedules for wage em-ployees performing similar work.

    (b) "Guidelines" means the generalwage and salary standard limiting an-nual aggregate increases to a rate ofincrease established by the Pay Boardfor the non-Federal sector.§ 532.1104 Rcesponsillity of surveying

    agency.Each executive agency or military de-

    partment responsible for establishingrates of basic pay for employees undersubchapter IV of chapter 53, title 5United States Code and to whom thissubpart applies is responsible for estab-lishing those wage rates in accordancewith the requirements prescribed herein-notwithstanding any other Cornmislonor agency regulations or Instruction con-cerning the fixing and adjusting of payfor wage employees issued prior to theeffective date of this subpart.§ 532.1105 Application of the guide-

    lines.In determining the amount of the an-

    nual aggregate increase permitted underthe guidelines, the annual period shal becomputed from the normal effective date.For the purpose of this section "normaleffective date" means the date the wageschedule would have been effective fromthe normal application of an agency'sfiscal year 1972 wage survey schedule asdeveloped before the limitations imposedby Executive Order 11615.§532.1106 Determination process.

    In determining the applicability ofsection 5341(c) of title 5, United StatesCode, no pay schedule adjustment mayexceed the guidelines except when theCivil Service Commission finds that: (a)A tandem relationship exists between aFederal pay schedule for an employeeunit and pay increases granted in anactivity in the private sector, (b) thePay Board has permitted a pay increasefor the activity in the private sectorwhich is in excess of the guidelines and(c) a comparable increase Is essential tothe continued operation of the Govern-ment service concerned.

    Ulnxxn SzTArs CIVIL SRV-ICE Co~MLsSION,

    EsEAL] JAIs C. SPa,Executive Assistant to

    t1e Commissioners.[FR Doc.72-1031 Piled 1-21-72:8:50 am]

    Title 7- AGPRICULTUREChapter IX-Consumer and Market-

    ing Service (Marketing Agreementsand Orders; Fruits, Vegetables,Nuts), Department of Agriculture

    [Navel Orange Reg. 250, Aradt. 11PART 907-NAVEL ORANGES GROWN

    IN ARIZONA AND DESIGNATEDPART OF CALIFORNIA

    Limitation of Handling(a) Findings. (1) Pursuant to the mar-

    keting agreement, as amended, andOrder No. 907, as amended (7 CPR Part907, 35 P.R. 16359), regulating the han-dling of Navel oranges grown in Arizona -and designated part of California, effec-tive under the applicable provisions ofthe Agricultural Marketing AgreementAct of 1937, as amended (7 US.C. 601-674), and upon the basis of the recom-mendations and information submittedby the Navel Orange AdministrativeCommittee, established under the saidamended marketing agreement andorder, and upon other available informa-tion, It Is hereby found that the limita-tion of handling of such Navel oranges,as hereinafter provided, will tend toeffectuate the declared policy-of the act.

    (2) It is hereby further found that itis Impracticable and contrary to thepublic interest to give preliminary noticeengage in public rule making procedure,and postpone the effective date of thisamendment until 30 days after publica-tion thereof in the FErnAL REGisTR (5U.S.C. 553) because the time interven-ing between the date when informationupon which this amendment is based be-came available and the time when thisamendment must become effective inorder to effectuate the declared policy ofthe act is insufficlent, and this amend-ment relieves restrictions on the handlingof Navel oranges grown in Arizona anddesignated part of California.

    (b) Order, as amended. The provi-sions in paragraph (b) (1) (1) and (Gi) of§ 907.550 (Navel Orange Regulation 250;37 FR. 523) during the period Janu-ary 14, 1972, through January 20, 1972,are hereby fixed as follows:§ 907.550 Navel Orange Regulation230.

    (b) Order. (1) "*(i) District 1: 924,000 cartons;(I) District 2: 176,000 cartons.

    FEDERAL REGISTER, VOL 37, NO. 15-SATURDAY, JANUARY 22, 1972

  • RULES AND REGULATIONS

    (Sees. 1-19, 48 Stat. 31, as amended; 7 U.S.C.601-674)

    Dated: January 16,-1972.FLOYD F. HEDLUND,

    Director, Fruit and VegetableDivision, Consumer and Mar-keting Service.

    [FR Doc.72-976 Filed 1-21-72;8:46 am]

    [Lemon Reg. 517]PART 910-LEMONS GROWN IN

    CALIFORNIA AND ARIZONA

    Limitation of Handling§ 910.817 Lemon Regulation 517.

    (a) Findings. (1) Pursuant to themarketing agreement, as amended, andOrder No. 910, as amended (7 CFR Part910; 36 F.R. 9061), regulating the han-dling of lemons grown in California andArizona, effective under the applicableprovisions of the Agricultural MarketingAgreement Act of 1937, as amended (7U.S.C. 601-674), and upon the basis ofthe recommendations and informationsubmitted by the Lemon AdministrativeCommittee, established under the saidamended marketing agreement andorder, and upon other available infor-mation, it is hereby found that the limi-tation of handling of such lemons, ashereinafter provided, will tend to effec-tuate the declared policy of the act.

    (2) It is hereby further found that itis impracticable and contrary to the pub-lic interest to give preliminary notice,engage in public rule making procedure,and postpone the effective date of thissection until 30 days after publicationhereof in the FEDERAL REGISTER (5 U.S.C.553) because the time interveningbetween the date when information uponwhich this section is based became avail-able and the time when this section mustbecome effective in order to effectuatethe declared policy of the act is insuffi-cient, and a reasonable time is permitted,under the circumstances, for preparationfor such effective time; and good causeexists for making the provisions hereofeffective as hereinafter set forth. Thecommittee held an open meeting duringthe current week, after giving due noticethereof, to consider supply and marketconditions for lemons and the need forregulation; interested persons wereafforded an opportunity to submit infor-mation and views at this meeting; therecommendation and supporting infor-mation for regulation during the periodspecified herein were promptly submittedto the Department after such meetingwas held; the provisions of this section,including its effective time, are identicalwith the aforesaid recommendation ofthe committee, and information concern-ing such provisions and effective time hasbeen disseminated among handlers ofsuch lemons; it is necessary, in order toeffectuate the declared policy of the act,to make this section effective during theperiod herein specified; and compliancewith this section will not require anyspecial preparation on the part of per-sons subject hereto which cannot be com-pleted on or before the effective date

    hereof. Such committee meeting washeld on January 18, 1972.

    (b) Order. (1) The quantity of lemonsgrown in California and Arizona whichmay be handled during the period Janu-ary 23, through January 29, 1972, ishereby fixed at 185,000 cartons.

    (2) As used in this section, "handled"and "carton(s)" have the same mean-ing as when used in the said amendedmarketing agreement and order.(Sees. 1-19, 48 Stat. 31, as amended; 7 U.S.O.601-674)

    Dated: January 20, 1972.AiTHUR E. BROWNE,

    Acting Director, Fruit and Vege-table Division, Consumer andMarketing Service.

    [FR Doc.72-1054 Filed 1-21-72;8:50 am]

    Title 12-BANKS AND BANKINGChapter II-Federal Reserve SystemSUBCHAPTER A-BOARD OF GOVERNORS OF

    THE FEDERAL RESERVE SYSTEM .

    PART 265-RULES REGARDINGDELEGATION OF AUTHORITY

    Bank Acquisitions by HoldingCompanies

    The Board of Governors has expandedthe authority of the Federal ReserveBanks to approve applications by bankholding companies to acquire control ofa bank.

    In August 1971 the Board delegated tothe Reserve Banks substantial authorityto approve the formation of one-bankholding companies and dispensed withthe publication of an order and state-ment in cases approved by a ReserveBank.

    The Board's evaluation of the man-her in which such delegated authorityhas been exercised and the Board's ex-perience in considering applications byholding companies for bank acquisitionshave led the Board to expand the ReserveBanks' authority. Under the expandedauthority the appropriate Reserve Bankmay approve the acquisition by a reg-istered bank holding company of a con-trolling interest in the shares of anewly formed bank, within specifiedlimitations.

    The Board has also delegated to theReserve Banks authority to approve ac-quisition by a holding company of addi-tional shares in a subsidiary bank tothe extent the shares are acquiredthrough the exercise of rights receivedas a bank shareholder.

    The Board has clarified that the Re-serve Banks' authority to approve theformation of a one-bank holding com-pany includes the authority to approvemerger and/or membership applicationsthat are incidental to such formation.

    To accompish these delegations,§ 265.2(f) (22) of the Board's rules re-garding delegation of authority Isamended, and § 265.2(f) (23) and (24).are added, to read as follows:

    § 265.2 Specific functions delegated toBoard employees and Federal Ie-serve Banks.

    (f) Each Federal Reserve Bank is au-thorized, as to member banks or otherindicated organizations headquarteredin its district:

    (22) Under the provisions of section3(a) (1) of the Bank Holding CompanyAct (12 U.S.C. 1842), to approve the ac-quisition by a company of a controllinginterest in the voting shares of one banl,if (i) no objection to the proposed ac-quisition has been made by the bank'ssupervisory authority, (ii no significantpolicy issue is raised by the proposal asto which the Board has not expressed itsviews, and (ii) neither the holding com-pany nor any of Its subsidiaries or affili-ates Is engaged in any activities otherthan those speCifically permissible forbank holding companies by either theAct or Part 225 of this chapter (Regula-tion Y) ?

    (23) Under the provisions of section3(a) (3) of the Bank Holding CompanyAct (12 U.S.C. 1842), to approve theacquisition by a bank holding companyof additional shares In a subsidiary banlthat are to be acquired through exerciseof rights received, on a pro rata basis,by the bank's shareholders.

    (24) Under the provisions of section3(a) (3) of the Bank Holding CompanyAct (12 U.S.C. 1842), to approve the ac-quisition of a controlling interest In theshares of a newly formed bank, If (i) noobjection to the proposed acquisition hasbeen made by the bank's supervisory au-thority, (i) no significant policy Issueis raised by the proposal as to which theBoard has not expressed its views, and(liI) the Reserve Bank determines that:

    (a) The general condition of the hold-ing company and its bank subsidiariesis satisfactory;

    (b) The holding company has either(1) a proven record of furnishing to itssubsidiary banks, when needed, specialservices, management, capital funds, orgeneral guidance, or (2) in the case ofa relatively new holding company, theReserve Bank Is satisfied that the com-pany has the potential to provide suchservices;

    (c) (1) Bank subsidiaries of the hold-ing company do not hold in the aggregatemore than 20 percent of the commercialbank deposits in the relevant marketarea and (2) the holding company Is notone of the dominant banking organiza-tions in the State.

    Effective date. These amendments areeffective with respect to applications re-ceived by the Reserve Banks afterJanuary 21, 1972.

    2 ThIs delegation Includes authority toapprove (a) a merger transaction under theprovisions of section 18(o) of the FederalDeposit Insurance Act .(12 U.S.O. 1820(o))and (b) an application, under section 9 ofthe Federal Reserve Act (12 U.S.C. 321), formembership In the Federal Reservo Systemthat are incidental to an application to be-come a one-bank holding company.

    FEDERAL REGISTER, VOL. 37, NO. 15-SATURDAY, JANUARY 22, 1972

  • RULES AND REGULATIONS

    "By order of the Board of Governors,January 4,1972.

    [SEAL] TYNAN SmTHr,Sepretarg of the Board.

    [FR Doc.72-998 Piled 1-21-72;8:50 am]

    Title 14-AERONAUTICSAND SPACE

    Chapter -- Federal Aviation Admin-istration, Department of Transpor-tation

    [Docket No. 11670; Amdt. '92]

    PART 97--STANDARD INSTRUMENTAPPROACH PROCEDURES

    Miscellaneous AmendmenfsThis amendment to-Part 97 of the

    Federal Aviation Regulations incorpo-rates by reference therein changes andadditions to the Standard InstrumentApproach Procedures (SIAPs) that wererecently adopted by the Administratorto promote safety at the airportsconcerned.-The complete SIAPs for the changes

    and additions covered by this amend-ment are described in FAA Forms 3139,8260-3, 8260-4, or- 8260-5 and made apart of the public rule making docketsfor theFAA in accordance with the pro-cedures set forth in Amendment No. 97-696 (35 F R. 5609).

    SIAPs are available for examinationat the Rules Docket and at the NationalF light Data Center, Federal AviationAdministration, 800 Independence Ave-nue SW., Washington, DC 20591. Copiesof SIAPs adopted in a particular regionare also available for examination atthe 'headquarters of that region. Indi-vidual copies of SIAPs may be purchasedfrom the FAA Public Document Inspec-tion Facility, HQ-405, 800 IndependenceAvenue SW., Washington, DC 20591, orfrom the applicable FAA regional office

    -in accordance with the fee schedule pre-scribed in 49 CPR 7:85. This fee is pay-able in advance and may be paid bycheck, draft or postal money order pay-able to the Treasurer of the UnitedStates. A weekly transmittal of all SIAPchanges and additions may be obtainedby subscription at an annual rate of$125 per annum from the Superintendentof Documents, U.S. Government PrintingOffice, Washington, D.C. 20402.

    Since a situation exists that requiresimmediate adoption of this amendment,I find that further notice and publicprocedure hereon is impracticable andgood cause exists for making it effectivein less than 30 days.

    In consideration of the foregoing, Part97 of the Federal Aviation Regulationsis amended as follows, effective on thedates specified:

    1. Section 97.23 is amended by estab-lishing, revising, or canceling the follow-ing VOR-VOR/DME SIAPs, effectiveFebruary 17,1972.Bridgeport N.J.--Brdgeport Airport; VOR

    Runway 34, Amdt. 4; Revised.Oakland, Calif.-Metropolltan Oakland In-

    ternational Airport; VOR-A, Amdt. 7;Revised.

    Oakland, Call.-Motropolitan Oakland Xn-ternationnl Airport; VOR Runway 9R.,Amdt. 2; Revised.

    Prospectvllle, Pa.-Turncr Fleld; VOn Run-way 14. Original: Establshed.

    Oakland, Calif.-Metropolitan Oakland In-ternational Airport; VOR/DME Runway27L, Amdt. 5; Revised.

    2. Section 97.25 is amended by estab-lishing, revising, or canceling the follow-ing SDF-LOC-LDA SiAPs effectiveFebruary 17,1972.Oakland. Callf.-Metropolta Oakland In-

    ternational Airport; LOa (BC) Runway11, Amdt. 2; Revised.

    3. Section 97.27 is amended by estab-lishing, revising, or canceling the fol-lowing NDB/ADF SIAPs, effective Feb-ruary 17,1972.Latrobe, Pa.-Latrobe Airport; NDB Runway

    23. Amdt. 4: Revised.Oakland, Calif. -Mtropoiltan Oakland In-

    ternational Airport; N1DB Runway 29,Amdt. 8; Revised.

    Washington, N.C.-Warrea Field; NDB Run-way 35. Original; Established.

    4. Section 97.29 is amended by estab-lishing, revising, or canceling the follow-ing ILS SIAPs, effective February 17,1972.Latrobe, Pa.-Latrobe Airport; ILS Runway

    23, Amdt. 4: Revised.M Imi la.Mnlaml International Airport,

    ILS Runway 9L. Amdt. 11; Revised.Miami, Fla.-Mlami International Airport;

    ILS Runway 27L. Amdt. 11; Revised.Oakland, Callf.-Metropoiltan Oakland In-

    ternational Airport; IiS Runway 27R,Amdt. 24; Revised.

    Oakland, Calf.-MtropoUtan Oakland In-ternmational Airport; I. Runway 29, Amdt.13; Revised.

    5. Section 97.33 is amended by estab-lishing, revising, or canceling the follow-ing RNAV SIAPs, effective February 17,1972.Atlanta. Ga.-De Kalb-Peachtreo Airport;

    RNAV Runway 20L, Amdt. 2; Revised.(Sees. 307. 313, 601, 1110. Federal AviationAct of 1958; 49 U.S.C. 1438. 1354, 1421, 1510,sec. 6(c) Department of Transportation Act,49 U.S.C. 1655(c) and SU.S.C.552(a) (1))

    Issued in Washington, D.C., on Janu-ary 14, 1972.

    R. S. SLUT.Acting Director,

    Flight Standards Service.

    NOTE: Incorporation by reference pro-visions in §§ 97.10 and 97.20 (35 P.R.5610) approved by the Director of theFederal Register on May 12, 1969.

    [FR Doo.72-917 Filed 1-21-72;8:45 am]

    Chapter Il-Civil Aeronautics BoardSUBCHAPER B--PROCEDURAL REGULATIONS

    [Reg. PR-125, Amdt. 91

    PART 302-RULES OF PRACTICE INECONOMIC PROCEEDINGS

    Time for Filing Answers to Petitionsin Mail Rate Proceedings

    Adopted by the Civil AeronauticsBoard at Its office in Washington, D.C.,on the 18th day of January 1972.

    Rule 303 of the Board's rules of prac-tice (Part 302, § 302.303) provides, interalia, that proceedings for the determina-tion of rates of compensation for thetransportation of mail may be com-menced by the-filing of a petition by anair carrier whose rate is to be fixed, orby the Postmaster General, or upon theis-uance of an order by the Board. Inthe absence of a special provision for thetime to answer petitions in such proceed-Ings, the general provisions of Rule 6(c)of the rules of practice (Part 302,§ 302.6(c)) apply. The general provisionis that an answer to a document shallbe filed within 7 days after service ofthe document to which the response isdirected.'

    By a petition dated October 13, 1971,2the Postal Service requests that Part302 be amended so as to allow 20 days,rather than seven, for the iling of an-swers to service mail rate petitions. Insupport of Its petition, the Postal Servicestates that answers to petitions filed pur-suant to Rule 303 involve complex costingissues, and that a meaningful answer-partlcularly- in response to a carrier'spetition-requires detailed and time-consuming analysis of Form 41 reports,which are not so compiled as to permita ready Identification of unit mail costs.Moreover, the Postal Service says thatan extension of the time for fling suchanswers in recent proceedings would nothave Significantly delayed the final de-clon In these cases.

    No ansTer to the Petition has beenfiled.

    Upon consideration, we are of the viewthat the request of the Postal Serviceis reasonable, and we have determinedto grant the petition.

    Since this rule is wholly proceduralin nature, the Board finds that noticeand public procedure hereon are umnec-essary and the amendment may bemade effective immediately.

    Accordingly, the Civil AeronauticsBoard hereby amends § 302.303 of itsprocedural regulations (14 CFR Part302), effective January 18, 1972, by add-ing a new paragraph (d) as follows:§ 302.303 Institution of proceedings.

    IRule 303 requires service upon the Post-master General.

    SDOcket 23990.

    FEDERAL REGISTER, VOL 37, NO. 15-SATURDAY, JANUARY 22, 1972

    1035

  • 1036

    (d) Answers to petitions shall be fileidwithin 20 days after service of thebetition.(Sec. 204(a) of the Federal Aviation Act of1958, as amended, 72 Stat. 743; 49 U.S.O.1324)

    By the Civil Aeronautics Board.[sEAL] HARRY J. ZWK,

    Secretary.[FR Doc.72-1002 Filed 1-21-72;8:50 am]

    Title 24-HOUSING ANDURBAN DEVELOPMENT

    Chapter X-Federal Insurance Ad-ministration, Department of Hous-ing and Urban Development

    [Docket No. R-71-116]

    SUBCHAPtER B-NATIONAL FLOODINSURANCE PROGRAM

    MISCELLANEOUS AMENDMENTS TOSUBCHAPTER

    Pursuant to section 1305(b) of theNational Flood Insurance Act of 1968(42 U.S.C. section 4012(b), 82 Stat. 574)and section 2 of Public Law 92-213 (85Stat. 775), the following amendmentsare made to the regulations of the Na-tional Flood Insurance Program.

    In accordance with section 1305 (a) ofthe Act, a priority has been previouslygiven to making flood insurance avail-able in eligible communities on dwellingproperties designed for the occupancy offrom one to four families and on prop-erties owned or leased and operated bysmall business concerns. The amend-ments to § 1909.1 and to Part 1911 areintended to expand the existing programby permitting flood insurance coverageto be written on certain types of proper-ties previously ineligible for this insur-ance. The program as expanded by theseamended regulations now includes allproperties used for residential, business,religious, and agricultural purposes,properties occupied by nonprofit organi-zations, and properties owned by Stateor local governments or agencies thereof.

    These amendments are also intendedto implement the provisions of section 2of Public Law 92-213. Section 1909.3 isrevised to reflect the statutory extensionof the emergency program. Section 1913.1is amended to reflect the statutory delayin the effective date of subsection 1314(a) (2) of the National Flood InsuranceAct.

    Although it is the general policy ofthe Federal Insurance Administration topropose its regulatory changes for publiccomment whenever practical and in thepublic interest, it has been determinedthat since (1) manuals and forms, re-flecting the new regulations, must beprinted and distributed to affected com-panies and producers well in advance ofthe effective date of the expanded pro-gram; and (2) these amendments do notchange the nature or structure of theprogram but merely make additionalproperties eligible for insurance underthe same terms and conditions as have

    RULES AND REGULATJONS

    existed in the past, it is in the publicinterest to make these amendmentseffective on March 1, 1972, withoutformal publication for comment.

    Subchapter B of Chapter X of Title 24of the Code of Federal Regulations isamended as follows:PART 1909-GENERAL PROVISIONS§ 1909.1 [Amended]

    1. Section 1909.1 is amended by revok-ing the definitions of "Dwelling" or"dwelling property," "Small Business,"and "Small Business Property" and byadding the folloiving definition of"Structure," in the proper alphabeticalsequence:

    "Structure" means a building which isused for residential, business, agricul-tural, or religious purposes, or which isoccupied by a private nonprofit organ-ization, or which is owned by a State orlocal government or an agency thereof.The term includes a building while in thecourse of construction, alteration or re-pair, but does not include building ma-terials or supplies intended for use insuch construction, alteration, or repair,unless such materials or supplies arewithin an. enclosed building on thepremises.

    2. Section 1909.3 is amended to readas follows:§ 1909.3 Emergency program.

    The 1968 Act required a ratemakingstudy to be undertaken for each com-munity before it could become eligiblefor the sale of flood insurance. Sincethis requirement resulted in a delay inproviding insurance, the Congress, insection 408 of the Housing and UrbanDevelopment Act of 1969 (Public Law 91-152, Dec. 24, 1969), established an Emer-gency Flood Insurance Program as a newsection 1336 of the National Flood Insur-ance Act (42 U.S.C. 4056) to permit theearly sale of insurance in flood-pronecommunities. The emergency program(which was extended for the period end-ing December 31, 1973) does not affectthe requirement that a community mustadopt adequate land use and controlmeasures but permits insurance to besold before a study is conducted to deter-mine actuarial rates for the community.The amended program still requires thecharging of actuarial rates for higherlimits of coverage for existing structuresand for all new construction in areashaving special flood and/or mudslidehazards. After December 31, 1973, underexisting law, no properties can be newlyinsured or have policies renewed exceptthose in communities for which actuarialrates are available.

    PART 191 1-INSURANCE COVERAGEAND RATES

    3. In the table of contents to Part 1911,§§ 1911.1 and 1911.3 are amended to read

    -as follows:Sec.1911.1 Special definition.1911.3 Types of coverage.

    4. Section 1911.1 is revised to read asfollows:

    § 1911.1 Special definition.The definitions set forth In § 1009.1 of

    this subchapter are applicable to thispart except that, for the purposes of thispart, "Flood" means a general and tem-porary condition of partial or completeinundation of normally dry land areasfrom (a) the overflow of inland or tidalwaters, (b) the unusual and rapid ac-cumulation or runoff of surface watersfrom any source, or (c) mudslldes whichare caused or precipitated by accumula-tions or water on or under the ground.

    5. Section 1911.3 is revised to read asfollows:§ 1911.3 Typesof coverage.

    Insurance coverage under the programis available for structures and the con-tents thereof. Coverage for each may bepurchased separately.

    6. In § 1911.5, paragraphs (d), (f), (g),and o(h) are amended to read as follows:§ 1911.5 Special terms and conditions.

    (d) Each loss sustained by the Insuredis subject to a deductible provision underwhich the insured bears a portion of theloss before payment is made under thepolicy. The amount 6f the deductible foreach loss occurrence Is (1) for structurallosses, $200 or 2 percent of the amountof the loss applicable to the structure,whichever is greater, and (2) for con-tents losses, $200 or 2 percent of theamount of the loss applicable to the con-tents, whichever is greater.

    (f) The Insured may apply up to, butnot in excess of, 10 percent of the faceamount of the structural coverage on aproperty used for residential purposesto appurtenant structures and outbutld-ings (such as carports, garages, andguest houses).

    (g) The following are not Insurableunder the program: Outdoor swimmingpools, bulkheads, wharves, piers, bridges,and docks.

    (h) The contents coverage for prem-ises used for residential purposes excludesmoney and securities, birds or ant-mals, most motor vehicles, boats, trailers,business property, and certain othertypes of property. It provides only limi-ted amounts of protection for certainother items, such as paintings andjewelry.

    7. Section 1911.6 is revised to read asfollows:§1911.6 Alaximun amount of cov.

    erage available.The maximum limits of coverage of

    the policy under the regular program arethe following, and the maximum limits ofcoverage under the emergency programare one-half the following-

    (a) For structures used for residentialpurposes and designed for the occupancyof a single family (including t9wn-houses or'rowhouses), which are eitherseparated from other structures bystandard firewalis or open space, or con-tiguous to the ground and customarilyregarded as separate structures:

    FEDERAL REGISTER, VOL. 37, NO. 15-SATURDAY, JANUARY 22, 1972

  • RULES AND REGULATIONS

    (1) $35,000 structural coverage,(2) $10,000 contents coverage, which

    may be purchased by either the owneror the tenant;

    (b) For all other structures:'(1) $60,000 structural coverage,(2) $10,000 contents coverage per unit

    in the case of premises used for residen-tial purposes or $10,000 contents cover-age per occupant in the case of premisesused for nonresidential purp'oses, whichmay be purchased by either the owneror the tenant.

    8. Section 1911.8 is revised to read asfollows:§ 1911.8 ApplicaLility of actuarial rates.

    Actuarial rates are applicable to allflood insurance made available for-

    (a) Any structure, the construction orsubstantial improvement of which wasstarted after the Administrator hasidentified the area in7 which the prop-erty is located as an area having specialflood or mudslide hazards under Part1915 of this subchapter; and

    (b) Coverage which exceeds the fol-lowing limits:

    (1) For structures used for residentialpurposes and designed for the occu-pancy of a single family (including town-houses or rowhouses), which, are eitherseparated from other structures bystandard firewalls or open space, orcontiguous to the ground and customarilyregarded as separate structures:

    (D $17,500 structural coverage, and(ii) $5,000 contents coverage; and(2) For all other structures:(i) $30,000 structural coverage, and(ii) $5,000 contents coverage per unit

    in the case of premises used for resi-dential purposes or $5,000 contentscoverage per occupant in the case ofpremises used for nonresidential pur-poses; and

    (c) Any structure or the contentsthereof for which the chargeable ratespfescribed by this part would exceed theactuarial rates.

    9- Section 1911.9 is revised to read asfollows:§191i.9 Establishment of chargeable

    rates.(a) Pursuant to section 1308 of theAct,

    chargeable rates per year per $100 offlood insurance are established as followsfor all areas designated by the Admin-istrator under-Part 1914 of thissubchapter for the offering of foodinsurance-

    Rate RatoPer year peryear

    Tyx pe t ou f Value of structure per $100 per $0ttstr.c- contents

    tural coveragecoverage

    (1) Single faint- $17,500 and under. $0.40 $0.50ly residential. 17,01-35,00_____ .45 .55

    35,001 and over..--- .50 .60(2) All other 30,000 and under- .40 .50reidnia 0,001--60,00---_= .45 .55

    60,001 and over_- .90 .60(3)Al non- 3000 and under-. .50 LOU

    dential 30,001-=0,00 ... .60 LODinduding 60,001 and over_-- .70 LODhotels and

    3notels with -normal occu-pancy of lessthnsixmouths induration).

    (b) The contents rate shall be basedupon the use of the Individual premisesfor which contents coverage is purchased.

    PART 1913-EXEMPTION FROM DE-NIAL OF FEDERAL DISASTER BENE-FITS

    10. Section 1913.1 is amended by addinga new sentence at the end thereof, toread as follows:§ 1913.1 Purpose of part.* *. The provisions of subsection 1314(a) (2) shall not apply to any loss, de-struction, or damage of real or personalproperty that occurs on or before Decem-ber 31, 1973.

    PART 1914-AREAS ELIGIBLE FORTHE SALE OF INSURANCE

    11. Section 1914.1(b) is amended toread as follows:§ 1914.1 Purpose of part.

    * . * * C

    (b) Section 1336 of the Act authorizesan emergency implementation of theNational Flood Insurance Programwhereby, for a period ending on Decem-ber 31,1973, the Administrator may makesubsidized coverage available to eligiblecommunities prior to the completion ofratemaking studies for such areas. Thispart also describes procedures under theemergency program and lists communi-ties which become eligible under thatprogram.

    Effective date. These amendments shallbe effective on March 1, 1972.

    GEORGE K. BERNSTEW,Federal Insurance Administrator.

    [FR Doc.72-98 Filed 1-21-72;8:40 am]

    Title 41-PUBLIC CONTRACTSAND PROPERTY MANAGEMENTChapter 1-Federal Procurement

    Regulations

    PART 1-1-GENERAL

    Contracts With the Small BusinessAdministration

    This amendment to the Federal Pro-curement Regulations establishes new§ 1-1.713, Contracts with the Small Busi-ness Administration, which prescribespolicies and procedures on the award ofprocurement contracts to the Small Busi-ness Administration (SBA) for furtheraward of subcontracts to eligible con-cerns under section 8(a) of the SmallBusiness Act (15 U.S.C. 637(a)).

    The table of contents for Part 1-1 ischanged to add new entries, as follows!Sec.1-1.713 Contracts with the Small Busl-

    ness Administration.1-1.713-1 Authority.1-L713-2 Policy.1-1.713-3 Procurement of supplies, services,

    and research and development,1-1.713-4 Procurement of construction.

    Subpart 1-1.7-Small BusinessConcerns

    1. Section 1-L705-7 is revised to in-clude a crow-reference to new 11-1.713.As revised, the section reads as follows:§1-1.705--7 Performance of contract

    by SBA.In accordance with the Small Business

    Act (15 U.S.C. 637(a)), in any case inwhich the Administrator of SBA certifiesto the head of the procuring agency con-cerned that SBA la competent to per-form any specific contract, the contract-ing officer is authorized, in his discre-tion. to award the contract to SEA uponsuch terms and conditions, consistentwith applicable procurement regulationsas may be agreed upon between SBA andthe contracting officer. The policies andprocedures governing the award of suchcontracts are set forth in I 1-L713.

    2. Section 1-1.713 is added to pre-scribe policies and procedures for theaward of contracts to the SBA for fur-ther award of subcontracts to eligibleconcerns under secton 8(a) of the SmallBusiness Act (15 U.S.C. 637(a)). Thenew section reads as follows:

    §1-1.713 Contracts -with the SmallBusiness Administration.

    § 1-1.713-1 Authority.In any case in which the Small Busi-

    ness Administration certifies to a pro-curing agency that SBA is competentto perform any specific contract, thecontracting officer is authorized, in hisdiscretion, to award the contract toSBA pursuant to section 8(a) of theSmall Business Act (15 U.S.C. 637(a))and this section and upon such termsand conditions consistent therewith asmay be agreed upon between the SBAand the procuring agency. This authori-zation applies to all types of procurementcontracts for personal property and non-personal services (including constructionand research and development).§ 1-1.713-2 Policy.

    (a) It Is the policy of the Governmentto increase the participation of smallbusiness concerns in Government pro-curement by awarding procurement con-tracts to the Small Business Administra-tion as authorized by section 8(a) of theSmall Business Act for award of sub-contracts by SBA to eligble concerns.

    (b) In requesting a contract from aprocuring agency for the purpose of as-sisting an eligible concern, the SBA willprovide detailed purchase descriptions.Federal stock numbers, and other perti-nent information to the fullest extentpossible. However, authorized represent-atives of the precuring agency shall co-operate with and assist SBA representa-tives, as needed, in developing identifyingInformation for the requirements be-ing sought from the procuring agency.When practicable and feasible, the pro-curing agency representatives shall ar-range for such additional assistance asmay be required from agency procure-ment, technical, and supply managementofficials. The SBA will provide its bestestimates of current and future pro-curement requirements so as to enable

    FEDERAL REGISTER, VOL 37, NO. 15-SATURDAY, JANUARY 22, 1972No. 15-2

  • the procuring agency to evaluate Its abil-ity to render future assistance. For con-struction, the SBA will identify the cate-gory or categories of work, the extent ofwork needed, and location restrictions, ifany. I

    (c) In addition to giving considera-tion to requests for procurement com-mitments received frbm the SBA, eachprocuring agency should also reviewother proposed procurements estimatedto exceed $2,500 for the purpose of identi-fying other requirements which may beawarded to the SBA. The procuringagency should promptly notify the SBAof any such proposed procurementswhich are available for award to SBAunder section 8(a). In connection withall proposed procurements which maybecome involved in an award to SBA, theprocuring agency should furnish allavailable Information concerning thework including, where applicable butnot limited to, quantities, required de-livery schedules or time for performance,location, drawings and specifications, ifany, and current detailed Governmentestimates, where readily available, in-cluding quantities and unit costs; laborcosts, identified where possible with spe-cific items of materials to be placed oroperations to be performed; facilities andequipment required, including rental,hours, and rates; workmen's compensa-tion and public liability insurance; over-head, general and administrative, andprofit; employment taxes under FICAand FUTA; bonds; and any other readilyavailable information which will helpSBA to determine whether it will submita request to the procuring agency for aprocurement commitment.

    (d) When requested by the SBA, thecontracting officer of the procuringagency and his authorized representa-tives shall render all possible assistanceto the SEA relative to its negotiationswith eligible concerns regarding the pos-sible award of section 8(a) subcontracts.At the SBA's request, the contracting of-ficer of the procuring agency or his au-thorized representatives may conductthe negotiations with eligible concerns,but any agreements which may bereached as the result of such negotia-tions must be approved by an authorizedrepresentative of the SBA.

    (e) Generally, section 8(a) contractsbetween a procuring agency and the SBAwill not be considered for specific itemsor work after such items or work havebeen synopsized in the Commerce Busi-ness Daily or publicized to or solicitedfrom industry.§ 1-1.713-3 Procurement of supplies,

    services, and research and develop.ment.

    (a) Factors to be considered. When aprocuring agency receives a request fromSBA which involves the procurement ofsupplies, services, or research and de-velopment, consideration shall be givento:

    (1) Estimated total requirements ofthe Identified items planned for pro-curement in the current fiscal year and,to the extent possible, future fiscal years;

    RULES AND REGULATIONS

    (2) Require& ihonthly rates of pro-duction and delivery or performance;

    (3) Items of work of similar complex-ity and nature if there are no known re-quirements for the specifically identifieditems;

    (4) Impact if the items or work areurgent or if slippage in performance ordelivery occurs; and

    (5) Any other information concern-ing the items or work of the prospectivesubcontractor which is pertinent to therequested commitments, including theprice range in previous or currentprocurements.

    (b) Cost or pricing data. When re-quired by § 1-3.807-3, the SBA shall se-cure from its prospective subcontractorcost or pricing data, together with anynecessary supporting certificate.

    (c) Notification. After completing itsreview of the SBA's request for a com-mitment, the procuring agency willnotify the SBA of the extent to which asection 8(a) contract will be placed withthe SBA and the time frames withinwhich the prime and subcontract actionshave to be completed in order to satisfythe procuring agency's program respon-sibilities. This notification represents afirm commitment by the procuringagency to award a contract to SBA underterms and conditions which are agreeableto both agencies, provided that there is nomaterial change in requirements, avail-ability of funds, or other pertinentfactors. In the notification to the SBA,the procuring agency may also fix a timelimit (generally not less than 30 workdaysafter receipt of the notification) withinwhich the SBA" must establish contactwith the-designated procuring activity ofthe procuring agency and initiate negoti-ation of the section 8(a) contract. If ne-gotiations are not completed within thetime frame established by the procuringagency, the agency may notify SBA thatit intends to proceed with the procure-ment without futher regard for the sec-tion 8(a) procedures, unless additionaltime is requested by SBA and such addi-tional time is granted by the procuringagency after giving due regard to theurgency of the proposed procurement.

    (d) Provisions of contracts with SBA.After the SBA has completed its nego-tiations with an -eligible concern pur-suant to the procurement commitmentmade by the procuring agency, and afterthe SBA and the procuring agency havereached an agreement concerning theterms and conditions (including price)to be included in the contract to beawarded by the procuring agency to theSBA and have also mutually agreedupon the terms and conditions (includ-ing price) to be included in the subcon-tract to be awarded by the SBA to asmall' business concern, the procuringagency shall prepare two sets of contractdocuments as follows:

    (1) Standard Form 26, Award/Con-tract, and Standard Form 36, Continu-ation Sheet, shall be prepared for execu-tion by the SBA and the procuringagency. Authority for negotiation of thecontract shall be cited as 41 U.S.C. 252(cX(15) and 15 U.S.C. 637(a). The con-

    tract shall be prepared in the rame detalas would be required for al award to iprivate business. It should be recog-nized, however, that the contract is tobe executed by the SBA and the procur-ing agency. No requirement for the 8BAto furnish payment or performancebonds shall be included in the contract.In addition to the terms and conditionswhich have been mutually agreed uponby the SBA and the procuring agency,Standard Form 32, General Provisions,appropriate procuring agency forms, andother appropriate provisions shall be in-corporated in the contract. Unless other-wise agreed upon between the SBA andthe procuring agency, thq followingclause (or a clause similar thereto) alsoshall be incorporated In the contract:

    SPraciL 8(a) OoN'rnAcr CoNDs'zomThe Small Busincss Administration (SDA)

    agrees as follows:(a) To furnish tho supplies or services

    set forth in this contract according to thespecifications and the terms and conditionshereof by subcontracting with an eligibleconcern pursuant to the provisions of soo-tion 8(a) of the Small Buaines Act, wsamended (15 US.O. 637(a)).

    (b) That In the ovent SBA does not awarda ubcontract for ell or a pant of the workhereunder, this contract may be terminatedeither in whole or in part without cost toeither party.

    (e) SBA hereby delegates to the (inz0rtname of procuring agency) the responsibilityfor administering the subcontract to beawarded hereunder with complete authorityto take any action on behalf Of the Govern-ment under the terms and conditions of thesubcontract: Providcd, hovicvcr, That the(insert name of procuring agency) shall giveadvance notice to the SEA before It I sues afinal notice terminating the rlght of a sub-contractor to proceed with further perform-ance, either in whole or in part, under thesubcontract for default or for the conven-Ience of the Government.

    (d) Payments to be made under any oub-contract awarded under this contrao willbe made directly to the subcontractor bythe (insert name of procuring agency).

    (e) That the subcontractor awarded a sub-contract hereunder shall have the right ofappeal from decisions of the ContractingOfficer cognizable under the "Disputes"clause of said subcontract, which clause shallbe identical with that set out In Article llal Standard Form 32. It Is further under-stood and agreed that the subcontract to beexecuted between the SBA and SBA'a cub-contractor shall also Include a clause a3follows:

    For the purpose of this subcontract, thereference to the "Secretary or his duly au-thorized representative" In the "Disputes"clause of this subcontract (Article 12 ofStandard Form 32, General Provisions) shallbe deemed to mean, respectively, the (inertSecretary or Administrator) of the (insertname of procuring agency) and the Board ofContract Appeals of the (inSert name of pro-curing agency).

    (2) The original and one duplicateoriginal copy of the contract documentsshall be executed by an authorized offi-cial of the SBA and the contracting offi-cer of the procuring agency. The originalexecuted contract (and such additionalauthenticated, conformed, or reproducedcopies as may be required by the procur-ing agency) shall be retained by the pro-curing agency and distribution shall be

    FEDERAL REGISTER, VOL 37, NO. 15-SATURDAY, JANUARY 22, 1972

  • RULES AND REGULATIONS

    made in accordance with its internalregulations and procedures. The dupli-cate original copy of the contract (andsuch additional authenticated, con-formed, or reproduced copies as may berequired by SBA) shall be forwarded bythe procuring agency to SBA for distri-bution in accordance with its internalregulations and procedures.

    (e) Provisions of subcontracts awardedby SBA. (1) The subcontract whichwill be executed by SBA and its sub-contractor shall be prepared by theprocuring agency on Standard Form 33,Solicitation, Offer, and Award, or onStandard Form 26, Award/Contract, asappropriate, and Standard Form 36,Continuation Sheet. It ahall be preparedin the same detail as would be requiredfor a normal procurement contractawarded by the procuring agency, recog-nizing at the same time, however, thatthe subcontract is to be executed by SBAand its subcontractor. In addition to the.terms and conditions, including price,delivery and performance dates, andother pertinent information which havebeen agreed upon and incorporated Inthe contract between SBA and the pro-curing agency, and which, in turn, havebeen agreed upon during the negotia-tions between the SBA and its subcon-tractor, Standard Form 32, General Pro-visions, and other appropriate procuringagency forms and special provisions shallalso -be incorporated in the subcontract.Unless otherwise agreed upon betweenthe SEA and the procuring agency, thefollowing clause (or a similar clause)shall also be incorporated in thesubcontract:

    SMcrAL 8(a) SuscoNaACr CorNmoNS(a) The Small Business Administration

    (SBA) has entered Into Contract No. (insertnumber of contract) with the (insert nameof procuring agency) to furnish the suppliesor services as described therein. A copy Ofsaid contract is attached hereto and made apart hereof. As used in this subcontract, thereference to "the Secretary or his duly au-thorized representative" in the 'Dlsputes"clause of this subcontract (Article 12 ofStandard Form 32, General Provisions) shallbe deemed to mean, respectively, the (insertSecretary or Administrator) of the (insertname of procuring agency) and the Board ofContract Appeals of the (insert name ofprocuring agency).

    (b) The (insert name of the subcontrac-tor), hereafter referred to as the subcontrac-tor, agrees and acknowledges as follows:

    (1) That he will, for and on behalf of theSBA, fulfil and perform all of the require-ments of Contract No. (insert number of con-tract) for the consideration stated thereinand that hi bas read and is familiar witheach and every part of said contract.

    (2) That the SBA has delegated responsi-bility for the administration of this subcon-tract to the (insert name of procuringagency) with complete authority to take anyaction on. behalf of the Government underthe terms and conditions of this subcontract.

    (3) That he will not subcontract the per-formance of any of the requirements of thissubcontract to agy lower tier subcontractorwithout the prior written approval of theSBA and the designated contracting officer ofthe (insert name of procuring agency).

    (c) Payments, including any progress pay-ments, under this subcontract will be madedirectly to the subcontractor by the (insertname of procuring agency).

    (2) The original and two duplicateoriginal copies of the subcontract shallbe executed by the subcontractor and anauthorized official of the SBA. The orig-inal executed subcontract and such ad-ditional authenticated. conformed, orreproduced copies as may be required bySBA shall be retained by SBA for internaldistribution in accordance with its regu-lations and procedures. One duplicate

    .original copy of the executed subcontractand such additional authenticated, con-formed, or reproduced copies as may berequired by the procuring agency shall befurnished to the procuring agency forinternal distribution In accordance withits xegulations and procedures. The sec-ond duplicate original copy of the exe-cuted subcontract, together with an at-tached copy of the contract between SBAand the procuring agency shall be fur-nished to the subcontractor.

    (f) Special services. The requirementsset forth in §§ 1-1.713-3(d) (1) and 1-1.713-3(e) (1) concerning the terms andconditions to be included in contractsbetween the SBA and procuring agenciesand in subcohtracts between the SBA andeligible concerns may be modified as ap-propriate for contracts and subcontractsinvolving specialized types of servicessuch as building services, food services,and business concessions.§ 1-1.713-1 Procurement of construc-

    tion.(a) Information furnished by SBA. In

    subcontracts for construction (includ-ng maintenance, repair, and alteration),it is the policy of the-Small Business Ad-ministration to award subcontractsunder the section 8(a) program only tothose concerns which have been approvedby SBA as supporting the policy objec-tives of § 1-1.713-2. In the execution ofthis policy, the SBA will furnish to theprocuring agency its request for a com-naltment showing at least the followinginformation:

    (1) The various categories of main-tenance, repair, alteration, and construc-tion work In such specific work projectcategories as mechanical, electrical, heat-ing and air conditioning, demolition,building painting, paving, earth work,waterfront work, or general constructionwork; and

    (2) The individual Identification of theestimated dollar value In each cate-,ory.

    (b) Eraluation of S8A requests. Theprocuring agency will evaluate the SEArequest for a commitment and determineto what extent the agency has proposedwork projects for which funding Is avail-able in those requested categories. In theevaluation of the SBA request for a com-mitment, the matters considered allinclude the following:

    (1) The extent to which work projectsof the type requested by SBA are plannedfor procurement in the current fiscal yearand, to the extent known, future fiscalyears; and

    (2) Work projects of similar complex-ity and nature if there are no knownwork projects, of the specific typerequested.

    Wc) Lists of construction prolects. Inaddition to specific individual requests by

    the SBA, the procuring agency shall fur-nish to the SBA, in accordance with amutually acceptable schedule, lists ofconstruction work projects which itdeems to be suitable for subcontractingby SBA under the section 8(a) program.

    Cd) Cost or Picing data. When re-quired by § 1-3137-3, tha SBA shall se-cure from its praspective subcontractorcost or pricing dat , tcgether with anyneccezary supp'tinz ce-difleate.

    (e) Notiftcation. After completing itsreview of the SBA request for a commit-mont, the procuring agency shall notifythe SBA of the extent to which a section8(a) contract will be placed with the SBAand the time frames within which thecontract actions need to be completed inorder to satisfy ti program responsibili-ties. This notification represents a firmcommitment by the procuring agency toaward a contract to SIA under mutuallyaccnptable terms and conditions, pro-vided there is no material change in re-quirements, availability of funds, orother pertinent factors. The notificationshould contain the following informationwith regard to the work projects:

    (1) A summary of the proposed work;(2) Plans and specificatilons;(3) equred performance schedules;(4) Any other pertinent and reason-

    ably available data, wage determinationby the Secretary of Labor, if required;and

    (5) Available detailed Governmentcost estimates, including:

    (C) Material quantities and unit costs;(it) Labor cocts (identified with the

    specific Item of material to be placed oroperation to be performed);

    (ll) Con-truction equipment lhoursand rates);

    (iv) Workmen's campensation andpublic liability Insurance;

    (v) Overhead and profit;(vi) Employment taxes under FICA

    and FTA; and(vii) Bonds.(f) Time limitations. In the notifica-

    tion to the SBA, the procuring agencymay also fix a time limit (generally notless than 30 danys after receipt of the noti-flcatlon) within which the SBA must es-tablish contact with the designated pro-curing activity and initiate negotiationsof the section 8(a) contract. If negotia-tions are not completed within the timeframe established by the procuringagency, the desIgnated procuring activitymay notify the SBA that it Intends toproceed with the procurement withoutfurther regard to the section 8(a) pro-cedures, unless additional time is re-quested by SEA and granted by the pro-curing activity after due considerationfor the urgency of the proposedprocurement.

    (g) Proriaosis of contracts with SBA.The procuring agency shall prepare twosets of contract documents as providedby this paragraph (g) after: The SBAhas completed negotiations with the ell-cible concern pursant to the commit-ment made by the procuring agency;the SBA and the procuring agency havereached mutual agreement concerningall terms and conditions (includingprice) to be included in the contract to

    FEDERAL REGISTER, VOL 37, NO. 15-SATURDAY, JANUARY 22, 1972

    1039

  • be awarded by the procuring agency toSBA; and the SBA and the procuringagency have agreed upon all the termsand conditions (including price) to beincluded in the subcontract to beawarded by SBA to the eligible concern.

    (1) The contract to be executed be-tween the SBA and the procuring agencyshall be prepared by the procuringagency on Standard Form 19, Invita-tion, Bid, and Award (Construction, Al-teration, or Repair), or Standard Form23, Construction Contract, as may be ap-propriate. Authority for negotiation ofthe contract shall be cited as 41 U.S.C.252(c)(15) and 15 U.S.C. 637(a). Thecontract shall be prepared in the samedetail as would be required for a normalprocurement contract to be awarded bythe procuring agency to a private busi-ness, recognizing at the same time, how-ever, that the contract documents areto be executed by the SBA and the pro-curing agency. No requirement for theSBA to furnish payment and perform-ance bonds shall be included in the-con-tract. In addition to including the termsand conditions (including price) whichhave been mutually agreed upon betweenSBA and the procuring agency, thereshall also be incorporated in the con-tract Standard Form 19-A, Labor Stand-ards Provisions Applicable to Contractsin Excess of $2,000, if the contract is inexcess of $2,000, and Standard Form23-A, General Provisions (ConstructionContract), or the General Provisions onStandard Form 19, whichever is appro-priate, together with such other procur-ing agency forms and special conditionsas may be required. The contract shallalso contain a provision that the SBAshall not be entitled to any commissionon work performed by its subcontraqtoror any lower tier subcontractor. Unlessotherwise agreed upon between the SBAand the procuring agency, the followingadditional clause (or a similar clause)shall be incorporated in contracts pre-pared on Standard Form 19 or StandardForm 23.

    SECLL 8(a) CONnAcT CornoNes

    The Small Business Administration (SBA)agrees as follows:

    (a) SBA will perform the work set forthin this contract according to the specifica-tions and drawings and the teims and con-ditions hereof by subcontracting wit4 aneligible concern pursuant tQ the provisionsof section 8(a) of the Small Business Act,as amended (15 U.S.C. 637(a)).

    (b) If SBA does not award a subcontractfor the work hereunder, this contract maybe terminated without cost to either party.

    (c) The SBA hereby delegates to the (in-sert name of procuring agency) the respon-sibility for administering the subcontract tobe awarded hereunder with complete author-ity to take any action on behalf of theGovernment under the terms and conditionsof the subcontract.

    (d) Progress payments to be made underthe subcontract awarded under this con-tract shall be made directly to the subcon-tractor by the (insert name of procuringagency). However, final payment under thesubcontract will be made only upon thewritten authorization of the SBA and afterreceipt of an executed. release of claims fromthe subcontractor.

    RULES AND REGULATIONS

    (e) The subcontractor awarded a subcon-tract hereunder shall have the right of ap-peal from decisions of the contracting officerunder the "Disputes" clause of the subcon-tract, which shall be identical to Clause 3on Standard Form 19 or to Clause 6 onStandard Form 23-A, whichever Is applica-ble. Further, the subcontract to be executedbetween the SBA and its subcontractor pur-suant to this contract shall contain thefollowing clause:

    For the purpose of this subcontract, thereference to the "head of the Federal agency"and "his duly authorized representative" inthe "Disputes" clause of this subcontract(Article 3 of Standard'Form 19 or Article 6of Standard Form 23-A, whichever is ap-plicable) shall be deemed to mean, respec-tively, the (insert Secretary or Administra-tor) of the (insert name of procuring agency)and the Board of Contract Appeals of the(insert name of procuring agency).

    (2) The original and ope duplicatecopy of the contract documents shall beexecuted by an authorized official of theSBA and the contracting officer of theprocuring agency. The original executedcontract (and such additional authenti-cated, conformed, or reproduced copiesas may be required by the procuringagency) shall be retained by the procur-ing agency and distribution shall bemade in accordance with its internal reg-ulations and procedures. The duplicateoriginal copy of the contract (and suchadditional authenticated, conformed, orreproduced copies as may be required bySBA) shall be forwarded by the procur-ing agency to SBA for distribution inaccordance with its internal regulationsand procedures.

    (h) Provisions of subcontractsawarded by SBA. (1) The subcontractwhich will be executed by SBA and itssubcontractor shall be prepared by theprocuring agency on Standard Form 19,Invitation, Bid, and Award (Construc-tion, Alteration, or Repair), or StandardForm 23, Construction Contract, as ap-propriate. It shall be prepared in thesame detail as would be required for anornial procurement contract awardedby the procuring agency, recognizing atthe same time, however, that the sub-contract is to be executed by the SBAand its subcontractor. A provision shallbe included in the subcontract which re-quires the subcontractor to furnish aperformance bond on Standard Form 25,Performance Bond, and a payment bondon Standard Form 25A, Payment Bond,as required by the vMiller Act (40 U.S.C.270a-270e). Applicable policies and pro-cedures regarding the use of these bondsappear in §§ 1-10.104--l and 1-10.105-1.In addition to incorporating the termsand conditions (including price) whichhave been agreed upon and incorporatedin the contract between SBA and theprocuring agency, and which, in turn,have been agreed upon during the nego-tiations between SBA and its subcon-tractor, the following shall also be in-corporated in the subcontract: (1)Standard Form 19-A, if the subcontractis in excess of $2,000, (ii) Standard Form23-A. General Provisions (ConstructionContract), or the General Provisions onStandard Form 19, as appropriate, and(iii) such other procuring agency forms

    and special conditions as may b0 re-quired. Unless othervise'agreed to by theSBA and the procuring agency, th0 fol-lowing clause (or a similar clause) shallbe included in the subcontract:

    SPEcIAL 8(a) SECONTUACT COrNMoNs

    (a) The Small Businc.s Administration(SBA) has entered into Contract No. (Intertcontract number) with the (inzort name ofprocuring agency) to perform the work asdescribed therein. A copy of sAd contract Isattached hereto and made a part hereof.

    (b) The Small Buziness Administrationand (insert name of subcontractor), herein-after called the subcontractor, agree awfollows:

    (1) The subcontractor shall, for and onbehalf of the SBA, fulfill and perform all ofthe requirements of Contract No. (insertcontract nunber) for the coniderationstated therein. The subcontractor aclmowl-edges that it has read and Is ftnillar witheach and every part of said contract,

    (2) The SBA has delegated responsibllltyfor the administrattlon of this subcontractto the (insert name of procuring agency)with complet-o authority to take any actionon behalf of the Government under the termsand conditions of this subcontract.

    (3) The term "Contracting Officer" touzed In the General Provisions (StandardForm 19 or Standard Form 23-A, whioheverapplies) means the person designated by the(insert name of procuring agency) as Con-tracting Officer. The Contractlng Officerdesignated for this subcontract shall be(name), (address), (insert name of procur-Ing activity and the name of the procuringagency) or his duly appointed succesor orauthorized representative.

    (4) The term "Contractor" as used in thoGeneral Provisions (Standard Form 1 orStandard Form 23-A, whichever applies)means the "subcontractor" who has enteredinto this subcontract with SBA for the per-formance of all of the work under thissubcontract.

    (5) The reference to the "head of theFederal agency" and to "his duly author-ized representative" in the "Disputes" clausoof this subcontract (General Provisions, Ar-ticle 3 of Standard Form 19 or Article 0 ofStandard Form 23-A, whichever applies)shall be deemed to mean, rcpoctivoly, the(insert Secretary or Administrator) of the(insert name of procuring agency) and theBoard of Contract Appeals of the (insertname of procuring agency).

    (6) The subcontractor will not subcon-tract the performance of any of the ro-quirements of this subcontract to a lowertier subcontractor without the prior writ-ten approval of the SBA and the designatedContracting Officer of the (insert name ofprocuring agency), or his duly appointedsuccessor or authorized representative,

    (7) Nothing contained In tids contractshall be construed as creating any contrac-tual relationship between the Govornmontand any second or lower tier subcontractorwhich may be authorized by the SBA andthe Contracting Officer. The divisions or ec-tions of the specifications arc not Intendedto control the subcontractor In dividing tiework among any duly authoried second tiersubcontractors, or to limit the work of anytrade.

    (8) The subcontractor shall be respond-ble to the Government for the acts oromissions of his own employees and of anyduly authorized lower tier subcontractorsand their employees. He shall also be re-sponsible for the coordination of the workof the trades, any duly authorized lowertier subcontractors, and suppliers,

    FEDERAL REGISTER, VOL. 37, NO. 15-SATURDAY, JANUARY 22, 1972

  • RULES AND REGULATIONS

    (9) Any progress payments to be madeunder this subcontract will be made directlyto the subcontractor by the (insert name ofprocuring agency). However, the final pay-ment under the subcontract will be madeonly -upon the written authorization of theSBA and after receipt of an executed release-of claims from the subcontractor.

    (2) The original and two duplicateoriginal copies of the subcontract shallbe executed by the subcontractor andan authorized official of the SBA.. Theoriginal executed subcontract (and suchadditional autheihticated, conformed, orreproduced copies as may be required bySBA) shall be retained by SBA for in-ternal distribution in accordance withits regulations and procedures. One du-plicate original copy of the executed sub-contract (and such additional authenti-cated, conformed, or reproduced copiesas may be required by the procuringagency) shall be furnished to the pro-curing agency for internal distributionin accordance -with its regulations andprocedures. The second duplicate origi-nal copy of the executed subcontract (to-gether with an attached copy of the con-tract between the SBA and the procuringagency) shall be furnished to the sub-contractor.(Sec. 205(c), 63 Stat. 390; 40 U.S.C. 486(c))

    Effective date. This amendment iseffective March 29, 1972, but may be ob-served earlier.

    Dated: January 14, 1972.

    RGOBERT L. KUNMrG,Administrator of General Services.

    IFR Doc.72-997 Filed 1-21-72;8:50 am]

    Chapter 3-Department of Health,Education, and Welfare

    - PART 3-75-DELEGATIONS OFAUTHORITY

    Issuance of U.S. Government Bills ofLading for Transportation of House-hold Goods

    -Chapter 3, Title 41, Code of FederalRegulations, -is amended as set forthbelow. The purpose of this amendment isto authorize members of the PublicHealth Service Commissioned Corps toissue and sign as "Issuing Officer" Gov-ernment bills of lading for the shipmentof household goods under certainconditions.

    It is the policy of the Department ofHealth, Education, and Welfare to allowtime for interested parties to take partin the rule making process. However, thisamendment involves only a minor tech-nical matter. Therefore, the public rulemaking process is deemed unnecessary inthis instance.

    1. The table of contents of Part 3-75is amended to add new sections underSubpart 3-75.1 as follows:

    Subpart 3-75.1--Procurement AuthoritySec.3-75-1053-75.105-1

    Special and limited delegations.Issuance of U.S. Government

    bills of lading for transporta-lion of household goods.

    2. Sections 3-75.105 and 3-75.105-1 areadded to read as follows:

    § 3-75.105 Special and limited delega-tions.

    § 3-75,105-1 Issuance of US. Govern-ment bills of lading for transporta.tion of household goods.

    When a member of the Public HealthService Commissioned Corps is author-ized travel at Goveinment expense. in-cluding the shipment of household goods,and it is determined by CommissionedPersonnel Operations Division, Office ofPersonnel and Training, that the ship-ment cannot be arranged by a designatedhousehold goods shipping officer, suchmember is delegated authority to issueand sign as "Issuing Officer," Govern-ment bill(s) of lading to accomplish suchshipment. The Government bil(s) oflading will be prepared In accordancewith Instructions provided with per-sonnel orders.(5 U.S.C. 301; 40 U.S.C. 486(c))

    Effective date. This amendment shallbe effective 30 days after publication inthe FEDERAL REGISTER.

    Dated: January 14.1972.

    N. B. HOUSTON,Deputy Assistant Secrctarz

    for Administration.

    [R, Doc.72-1001 Filed 1-21-72:8:48 am]

    Title 47-TELECOMMUNICATIONChapter I-Federal Communications

    Commission

    'Docket 1.o. 19074; FCC 72-146]

    PART 73-RADIO BROADCASTSERVICES

    FM Broadcast Stations in CertainStates

    Report and Order. In the matter ofamendment of § 73.202(b), Table of As-signments, F Broadcast Stations.(Greenville, KY.; Burnside, Greensburg,and Jamestown, Ky.; Oak RIdge andJamestown, Tenn.; Pineville, Barbour-ville, and Middiesboro, Ky.; and BigStone Gap. Va.) Docket No. 19074, PM-1390, RAM-1427, RM-1436, RM-1581.

    1. The Commission here considers thenotice of proposed rule making in thisdocket, adopted October 28, 1970 (FCC70-1162). This proceeding Is an off-shootof Docket No. 18476, and, indced, takesup proposals which could not be dealtwith in that proceeding without undulydelaying disposition of other proposals;see second report and order in DocketNo. 18476, also adopted October 28, 1970(26 FCC 2d 162). This proceeding dealswith: (a) Alternative proposals forGreenville, Greensburg, and Jamestown,Ky.; (b) further consideration of theBurnside, Ky., petition (M-1390); and(c) the intertwined proposals for OakRidge and Jamestown, Tenn., and Pine-ville, Ky. (RM-1436): Big Stoie Gap,Va. (RM-1427); and Middlesbor, K.y.

    (R2,.-1581). The comments and replycomments originally were due December21, 1970, and January 4, 1971, respec-tively. The Commison on its own motionextended these times to and includingFebruary 12 and 26, 19171, respectively,became of the failure to personally servethe notice on certain interested partieswhose views were deemed essential; seeorder extending time, adopted Janu-ary 13, 1971 (FCC 71-41).1 All populationfigures are from the 1970 Census, unlessotherwise indicated.

    2. Greenville, Ky.: By the second re-port and order in Docket No. 18476 (26FCC 2d 162), we deleted the Channel292A as.signment at Greenville to allowacsignment of that channel to three othercommunities, but, in this proceeding, weput out for further consideration thepossblity of azsigning Channel 288A asa substitute to Greenille as urged by oneof the parties to that portion of DocketNo. 18476. Shain Broadcasting Co., theapplicant for Channel 292A at Greenville(1BPH-6571), had opposed the counter-proposal stating that Chanel 288A wasunsuitable becauze (t) with the transmit-ter having to be over 7 miles from thecity to meet mileage ceparatious, a signalof strength required by the rules couldnot be placed over the city, (ii) a suitabletransmitter site was unavailable becauseof terrain, and (iII) other objections. Be-cause of the populaton figure (3,875),the fact that It is the county seat, andthe lack of a local AM outlet, we invitedcomments on whether Channel 288A isusable at Greenville or If there is an-other alternative.

    3. No comments were filed as to thisportion of the proceeding. Our ownsearch for a pz-Able other channel re-veals that no alternative is available. Inthe absence of further information anddata as to site availability and terrainfactors (see 26 FCC 2d at 165), we areunable to decide whethbr Channel 288Acan be assig ned to Greenville. In the cir-cumatances, we must decline making an

    %This incidentally has the effect of mak-ing moot the motion of Trevor F. Swoyer &Associates (Swoye.) to ctrike "reply com-ments" filed by WATO. Inc. (WATO). TheSwoyer moton touched on how silence of apetitioner or a party supporting or opp s-jag a petition, failure to plead to a notice.and the failure to csmnment but filing replycomments on a point. should be treated.Since the notice of proposed rule making inthis docket, we have dsslt with this problemby requiring pe~tiner(s) and any other pro-ponent(s) to ile certain minimal data elsefailure could lead to denfaL See, for example.paragraph 6 of the notice of proposed rulemaking in Dccket No. 1315, adapted Septem-ber 8, 1971 (FCC 71-054). The procedure inrule making c3all for c mnents and replycomments (§ 1.415). and, while we agree thatthe practce of c:me to first raize a conten-tion in a reply comment and thus effectivelybar another to rebut the Issue may be bur-densome. this h.- been permitted except to"cut off" the cppartunity in FM rule mak-Ing to make a counterpro;:sal (ee, e-g., para-graph 17 of the notice of proposed rule mak-ing in this dccket). The -cut off" procedurewas fr t adopted in this docket. In any event,the partes agree that the motion becamemoot when tbe time was extended.

    FEDERAL REGISTER, VOL. 37, NO. 15-SATURDAY, JANUARY 22, 1972

  • RULES AND REGULATIONS

    assignment to Greenville, Ky. at thistime.

    4. Greensburg, Burnside, and James-town, Ky.: Here, we are considering analternative proposal for allocating Chan-nel 276A to Greensburg, population1,990, the county seat and largest com-munity in Green County (population10,350), to be used 1 mile or more north-east of the city. The original proposalof petitioners Virgil A. Price and E. J.Milby to allocate Channel 261A toGreensburg conflicted with-the use of thesame channel at Elizabethtown, Ky., anintegral part of the FM Table of Assign-ments changes adopted in the secondreport and order in Docket No. 18476 toprovide a substitute channel for StationWQXE operating at Elizabethtown.Although the petitioners then also wereapplicants for a daytime only AM stationat Greensburg,' nonetheless, we felt thatbecause of the lack of any other auralservice to the county, an FM assignmentshould be considered to provide a firstfull-time aural service to Green County.In order to assign Channel 276A toGreensburg, the channel for StationWJRS-FM -at Jamestown, Ky.,3 about 30miles away, would have to be changedfrom 276A to 285A. The notice notedthat this proposal would require thedenial of RM-1390, based on the petitionof Leon Jasper for Channel 285A as thefirst FM assignment to Burnside, al-though we indicated our doubt as to themerit of that proposal because of thelack of population (586 persons) andthe abundance of aural service fromSomerset, the county seat (population10,436), about 7 miles away-one ClassA FM, a daytime AM, and a Class IVAM station. See both the notices in thisproceeding and in Docket No. 18476(paragraph 31; FCC 69-207). In theearlier Notice, we stated our dispositionto deny because of the small population,and, in this proceeding, we additionallyindicated the conflict with the proposedassignment to Jamestown. See para-graph 6 of the notice. Our notice men-tioned the "dubious merit" but we saidfurther comments about Burnside wouldbe entertained, and specifically said that"[m]aterial previously [filed in DocketNo., 18476) * * * need not be resubmittedbut may be incorporated by reference."(Notice, paragraph 7; compare with thegeneral procedure since adopted de-scribed in footnote 1.)

    5. The only one filing comments as tothis part of the proceeding is WelbyHoover, doing business as Lake Cumber-land Broadcasters (Lake Cumberland),the licensee of Station WJRS-FM,Jamestown, Ky. Lake Cumberland's in-terest is that Station WJRS-FM wouldhave to change channels. In the circum-stances, the policy of the Commissionis "well settled", that is, as an operatingstation, it is entitled to reimbursementof actual costs of change from the partyor parties benefitting. See paragraph 15

    'This application was granted on Feb. 19,1971. Call letters "WGRK" were authorizedlay 10, 1971.

    aPopulation 1,027. Its county-ussell-has 10,542 inhabitants.

    of the notice in this proceeding andparagraph:-11 of the second report andorder in Docket No. 18476 (26 FCC 2dat 166). In this respect, Lake Cumber-land refers to the loss of listeners andgoodwill, if compelled to change its fre-quency, money and time expended forprograming and jingles to promote itscurrent frequency. Suffice it to say thatthese are not "actual costs."

    6. Lake Cumberland also commentedon the merits of the proposed assign-ment to Greensburg. Lake Cumberlandstates that an FM channel assignment atGreensburg is unnecessary because ofservice to that community from WJRS-FM (the distance between the communi-ties is only 30 miles) especially, publicservice and public affairs programingand the station earns some revenue fromGreensburg. Lake Cumberland contendsthat an allocation at Greensburg is notwarranted as a fair, efficient, and equita-ble distribution of radio service undersection 307(b) of the Act. This partyalso urges that Greensburg has no need

    "for' an FM assignment because of theth