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Federal Register / Vol. 72, No.

218 / Tuesday, November 13, 2007 / Rules and Regulations 63797

outbreaks of the disease were confirmed and the Regulatory Flexibility Act, SUMMARY: The FAA is amending its
in the departments of Artigas, Executive Order 12988, and the requirements to allow the issuance of
Canelones, Colonia, Duranzo, Flores, Paperwork Reduction Act. export airworthiness approvals for Class
Florida, Lavalleja, Maldonado, Further, for this action, the Office of II and III products located at facilities
Paysandu, Rio Negro, Rivera, Rocha, Management and Budget has waived its outside the United States. The FAA
Salto, San Jose, Tacuarembo, and review under Executive Order 12866. proposed this change in a Notice of
Treinta y Tres. List of Subjects in 9 CFR Part 94 Proposed Rulemaking (NPRM) issued on
In response to the spread of FMD October 5, 2006. That NPRM proposed
within Uruguay, we issued an interim Animal diseases, Imports, Livestock, comprehensive changes to 14 CFR part
rule effective April 2, 2001, and Meat and meat products, Milk, Poultry 21 to standardize production and
published in the Federal Register on and poultry products, Reporting and airworthiness requirements for
July 13, 2001 (66 FR 36695–36697, recordkeeping requirements. production approval holders. This final
Docket No. 00–111–2), that amended the ■ Accordingly, the interim rule rule expedites the promulgation of a
regulations by removing Uruguay from amending 9 CFR part 94 that was simple and uncontroversial portion of
the list of regions considered free of published at 66 FR 36695–36697 on July that rulemaking. The FAA intends to
rinderpest and FMD and from the list of 13, 2001, is adopted as a final rule with issue a separate final rule on other
regions that, although rinderpest and the following change: proposals in that NPRM.
FMD-free, are subject to certain DATES: This amendment becomes
restrictions on the importation of meat PART 94—RINDERPEST, FOOT-AND-
effective January 14, 2008.
and other animal products. MOUTH DISEASE, FOWL PEST (FOWL
PLAGUE), EXOTIC NEWCASTLE FOR FURTHER INFORMATION CONTACT: For
Comments on the interim rule of July
13, 2001, were required to be received DISEASE, AFRICAN SWINE FEVER, technical questions concerning this final
on or before September 11, 2001. We CLASSICAL SWINE FEVER, AND rule, contact John Linsenmeyer,
did not receive any comments. BOVINE SPONGIFORM Production Certification Branch, AIR–
Although we removed Uruguay from ENCEPHALOPATHY: PROHIBITED 220, Federal Aviation Administration,
the list of regions considered to be free AND RESTRICTED IMPORTATIONS 800 Independence Avenue, SW.,
of rinderpest and FMD, we recognized Washington, DC 20591; telephone (202)
in that interim rule that Uruguay’s ■ 1. The authority citation for part 94 493–5571; facsimile (202) 267–5580, e-
Ministry of Livestock, Agriculture, and continues to read as follows: mail john.linsenmeyer@faa.gov.
Fisheries had responded immediately to Authority: 7 U.S.C. 450, 7701–7772, 7781– SUPPLEMENTARY INFORMATION:
the detection of the disease by imposing 7786, and 8301–8317; 21 U.S.C. 136 and
136a; 31 U.S.C. 9701; 7 CFR 2.22, 2.80, 371.4. Authority for This Rulemaking
restrictions on the movements of
ruminants and swine from the affected ■ 2. In § 94.1, paragraph (a)(3) is revised Under the laws of the United States,
areas and by initiating several measures to read as follows: the Department of Transportation has
to eradicate the disease. For this reason, the responsibility to develop
we stated that we intended to reassess § 94.1 Regions where rinderpest or foot- transportation policies and programs
the situation in accordance with the and-mouth disease exists; importations that contribute to providing fast, safe,
prohibited. efficient, and convenient transportation
standards of the World Organization for
Animal Health (OIE) at a future date. (a) * * * (49 U.S.C. 101). The Federal Aviation
Since that time, we have undertaken (3) The following regions are declared Administration (FAA or ‘‘we’’) is an
a reassessment of Uruguay’s disease to be free of rinderpest: Namibia, the agency of the Department. The FAA has
status. While we acknowledge the many Republic of South Africa, and Uruguay. general authority to issue rules
efforts Uruguay has made to control and * * * * * regarding aviation safety, including
eradicate FMD within its departments Done in Washington, DC, this 7th day of minimum standards for appliances and
since the interim rule was published, November 2007. for the design, material, construction,
we have received no data suggesting Kevin Shea, quality of work, and performance of
that our disease classification of the Acting Administrator, Animal and Plant aircraft, aircraft engines, and propellers
country is in error, or supporting the Health Inspection Service. (49 U.S.C. 106(g) and 44701). We may
return of Uruguay to FMD-free status. [FR Doc. E7–22091 Filed 11–9–07; 8:45 am] also prescribe regulations in the interest
However, we note that while it was BILLING CODE 3410–34–P
of safety for registering and identifying
necessary to remove Uruguay from the an aircraft engine, propeller, or
list in § 94.1(a)(2) of regions that are appliance (49 U.S.C. 44104).
declared to be free of both FMD and The FAA may issue, among other
DEPARTMENT OF TRANSPORTATION things, type certificates, production
rinderpest, the disease situation that led
to that action involved only FMD. Federal Aviation Administration certificates and airworthiness
Therefore, it is possible to include certificates (49 U.S.C. 44702). We issue
Uruguay on the list of regions declared 14 CFR Part 21 a production certificate authorizing the
to be free of rinderpest. Accordingly, production of a duplicate of an aircraft,
[Docket No. FAA–2006–25877; Amendment aircraft engine, propeller, or appliance
this final rule amends § 94.1(a)(3) by
No. 21–91] for which a type certificate has been
adding Uruguay to the list of regions
declared to be free of rinderpest. RIN 2120–AI78 issued when we find the duplicate will
Therefore, for the reasons given in the conform to the certificate. We may
interim rule and in this document, we Production and Airworthiness include in a production certificate terms
are adopting the interim rule as a final Approvals, Part Marking, and required in the interest of safety. We
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rule, with the change discussed in this Miscellaneous Proposals issue an airworthiness certificate for an
document. AGENCY: Federal Aviation aircraft when we find the aircraft
This final rule also affirms the Administration (FAA), DOT. conforms to its type design and is in
information contained in the interim condition for safe operation. We may
ACTION: Final rule.
rule concerning Executive Order 12866 include in an airworthiness certificate

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63798 Federal Register / Vol. 72, No. 218 / Tuesday, November 13, 2007 / Rules and Regulations

terms required in the interest of safety However, these assignees work on administering its requirements.
(49 U.S.C. 44704). behalf of the Administrator. Ultimately, Consequently, a PAH may direct ship its
This document adopts a change to our the FAA has a statutory responsibility to products from a supplier facility
regulations governing the certification inspect products and determine their without first shipping the product to the
procedures for products and parts. This airworthiness status. We use the undue United States to obtain an export
change will make it easier for burden determination to ensure, with airworthiness approval.
manufacturers to produce and obtain FAA’s limited resources, we can meet Certificate management and designee
aircraft parts in the global marketplace, the requirements of Title 49; our oversight responsibilities are examples
which should aid the efficiency and obligations under that statute cannot by
of potential burdens on the FAA. For
competitiveness of the industry. For circumvented by application of a rule.
these reasons, this final rule is a the PAHs, the assessment of undue
reasonable and necessary exercise of the Discussion of the Final Rule burden related to issuing an export
FAA’s rulemaking authority and Part 21, Subpart L contains airworthiness approval would be
obligations. regulations for exporting aviation performed during the FAA’s undue
products. This rulemaking amends the burden assessment of a prospective
Background regulations governing how export production facility located outside the
On October 5, 2006, the FAA issued airworthiness approvals for Class II and United States. Part of this assessment is
an NPRM to amend its certification III products are issued. Export a determination by the FAA that the
procedures and identification airworthiness approvals are used to PAH has established and implemented
requirements for aeronautical products identify the airworthiness status of a supplier control procedures that are
and parts (71 FR 58914). Included in particular product. Specifically, export acceptable to the FAA.
that NPRM was a proposed change to airworthiness approvals attest that a The FAA has granted many petitions
§ 21.325(b)(3) to allow an export particular product conforms to the for exemption to § 21.325(b)(3), and this
airworthiness approval to be issued for approved design and is in a condition rulemaking will resolve the direct-ship
a product or article located outside of for safe operation. These approvals issue that prompted organizations to
the U.S. if the FAA finds no undue provide a certain level of assurance that request them. Expediting this
burden in administering its regulations a product or part that has been placed rulemaking results in a more efficient
(Emphasis added). One aspect of the in the aviation stream of commerce disposition of those petitions for
proposed change was to substitute the poses a negligible risk to the flying exemption.
words ‘‘product or article’’ for ‘‘Class II public. They serve both civil aviation
and III products.’’ This change was part authorities approving the products for For the reasons stated above, this final
of a comprehensive effort to standardize import and the end-user who places rule adds new paragraph § 21.325(b)(4)
terminology throughout part 21. them into service. Although export which allows export airworthiness
Because the NPRM has not yet been approvals are required only when approvals to be issued for Class II and
adopted, this final rule allows for the requested by the importing civil III products located outside of the
issuance of export airworthiness airworthiness authority, these United States if the FAA finds no undue
approvals outside the U.S., but it retains documents have become increasingly burden in administering the applicable
the reference to ‘‘Class II and III valued in the aviation industry. requirements of Title 49 U.S.C. and
products.’’ Products and parts with an subchapter C of Title 14 of the Code of
airworthiness approval have increased Federal Regulations.
Summary of Comments
sales potential over those same parts Paperwork Reduction Act
The FAA received one comment on that do not have an approval.
our proposed changes to the regulations This rulemaking amends Subpart L to Information collection requirements
affecting export airworthiness allow the issuance of export associated with this final rule have been
approvals. The Aviation Suppliers airworthiness approvals for Class II and approved previously by the Office of
Association noted that the proposal still III products, regardless of their location. Management and Budget (OMB) under
imposes an obligation to apply to the Previously, the rule only permitted the provisions of the Paperwork
FAA for the ‘‘no undue burden’’ approvals to be issued for these Reduction Act of 1995 (44 U.S.C.
analysis. In the commenter’s view, such products manufactured and located in 3507(d)), and have been assigned OMB
an analysis is not necessary. Designated the United States. Control Number 2120–0721.
Airworthiness Representatives (DARs) When § 21.325(b)(3) was adopted (30
must already receive permission to FR 8465, Jul. 2, 1965), the international An agency may not collect or sponsor
operate outside his or her geographic market for aviation products was the collection of information, nor may it
region. If the DAR has the authority to minimal compared with today’s impose an information collection
operate and make findings outside the international market. Additionally, FAA requirement unless it displays a
U.S., then the DAR should also be resources were limited for issuing currently valid Office of Management
permitted to issue an export export airworthiness approvals outside and Budget (OMB) control number.
airworthiness approval. An ‘‘undue the United States. However, FAA International Compatibility
burden analysis’’ would be duplicative designees are now available to issue
and a waste of Government resources. export airworthiness approvals for In keeping with U.S. obligations
The commenter recommends removal of production approval holders (PAHs) under the Convention on International
the ‘‘undue burden analysis.’’ and other exporters. This rulemaking Civil Aviation, it is FAA policy to
The FAA disagrees with the relieves the past restriction on issuing comply with International Civil
commenter. Pursuant to Title 49 of the approvals, as well as the public’s Aviation Organization (ICAO) Standards
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United States Code, the Administrator burden of petitioning for exemptions, by and Recommended Practices to the
of the FAA may delegate to a qualified allowing export airworthiness approvals maximum extent practicable. The FAA
private person a matter related to the to be issued for any Class II or Class III has determined that there are no ICAO
examination, testing, and inspection product located in another country, if Standards and Recommended Practices
necessary to issue a certificate. the FAA finds no undue burden in that correspond to this final rule.

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Federal Register / Vol. 72, No. 218 / Tuesday, November 13, 2007 / Rules and Regulations 63799

Regulatory Evaluation, Regulatory Total Costs and Benefits of This Benefits of This Rulemaking
Flexibility Determination, International Rulemaking The FAA estimates the present
Trade Impact Assessment, and This Regulatory Evaluation examines discounted value of the benefits of this
Unfunded Mandates Assessment the impact of an FAA rule allowing for rule to be approximately $83 million.
the issuance of export airworthiness
Changes to Federal regulations must Costs of This Rulemaking
approvals for Class II (major
undergo several economic analyses. As this rule relieves regulatory
components) and Class III (parts and
First, Executive Order 12866 directs that burden, there are no costs of this rule.
components) products located at
each Federal agency shall propose or
facilities outside the United States. Alternatives Considered
adopt a regulation only upon a reasoned
Export airworthiness approvals are
determination that the benefits of the required by the FAA only if required by The Status Quo—The status quo
intended regulation justify its costs. the importing country. Consequently, represents a situation in which the FAA
Second, the Regulatory Flexibility Act would continue to issue exemptions
there is no issue of ‘‘market failure’’, at
of 1980 (Public Law 96–354) requires from § 21.325(b)(3) indefinitely. As that
least from the perspective of the United
agencies to analyze the economic would perpetuate ‘‘rulemaking by
States.
impact of regulatory changes on small As this rule relieves regulatory exemption,’’ we choose not to continue
entities. Third, the Trade Agreements burden, there are cost-relieving benefits with the status quo.
Act (Public Law 96–39) prohibits and no costs. The FAA estimates the Final Regulatory Flexibility
agencies from setting standards that annual cost savings from this rule to be Determination
create unnecessary obstacles to the $11,867,500. As the rule is a procedural The Regulatory Flexibility Act of 1980
foreign commerce of the United States. change with no front-loaded costs, we (Pub. L. 96–354) (RFA) establishes ‘‘as a
In developing U.S. standards, this Trade use a 10-year period of analysis. principle of regulatory issuance that
Act requires agencies to consider Discounting this stream of annual cost agencies shall endeavor, consistent with
international standards and, where savings (at 7%) for ten years yields a the objectives of the rule and of
appropriate, that they be the basis of present value of approximately $83 applicable statutes, to fit regulatory and
U.S. standards. Fourth, the Unfunded million. informational requirements to the scale
Mandates Reform Act of 1995 (Pub. L. of the businesses, organizations, and
Who Is Potentially Affected by This
104–4) requires agencies to prepare a governmental jurisdictions subject to
Rulemaking
written assessment of the costs, benefits, regulation. To achieve this principle,
and other effects of proposed or final This rule potentially affects directly
agencies are required to solicit and
rules that include a Federal mandate all production approval holders,
consider flexible regulatory proposals
likely to result in the expenditure by including holders of Production and to explain the rationale for their
State, local, or tribal governments, in the Certificates, Technical Standard Order actions to assure that such proposals are
aggregate, or by the private sector, of Authorizations, and Parts Manufacturer given serious consideration.’’ The RFA
$100 million or more annually (adjusted Approvals. The rule also potentially covers a wide-range of small entities,
for inflation with base year of 1995). affects distributors, importers and including small businesses, not-for-
exporters of airplane parts, air operators profit organizations, and small
In conducting these analyses, FAA and carriers, and the flying public.
has determined that this final rule: (1) governmental jurisdictions.
Has benefits that justify its costs, (2) is Assumptions Agencies must perform a review to
not an economically ‘‘significant determine whether a rule will have a
This evaluation makes the following
regulatory action’’ as defined in section significant economic impact on a
assumptions:
substantial number of small entities. If
3(f) of Executive Order 12866, (3) is not • This rule would become effective
‘‘significant’’ as defined in DOT’s the agency determines that it will, the
on January 1, 2008.
Regulatory Policies and Procedures; (4) • The discount rate is 7 percent agency must prepare a regulatory
will not have a significant economic (Office of Management and Budget, flexibility analysis as described in the
impact on a substantial number of small Circular A–94, ‘‘Guidelines and RFA. However, if an agency determines
Discount Rates for Benefit-Cost Analysis that a rule is not expected to have a
entities; (5) will not create unnecessary
of Federal Programs’’, October 29, 1992, significant economic impact on a
obstacles to the foreign commerce of the
p. 8). substantial number of small entities,
United States; and (6) will not impose
• The period of analysis is the 10-year section 605(b) of the RFA provides that
an unfunded mandate on state, local, or
period, 2008–2017. the head of the agency may so certify
tribal governments, or on the private
• For purposes of discounting, cost and a regulatory flexibility analysis is
sector by exceeding the threshold
savings are conventionally assumed to not required. The certification must
identified above. These analyses are
occur at the end of the year. (If assumed include a statement providing the
summarized below.
to occur at the beginning of the year, the factual basis for this determination, and
Regulatory Evaluation Summary discounted present value of the cost the reasoning should be clear.
savings increases by 7%.) The Initial Regulatory Flexibility
This portion of the preamble Analysis of the rules proposed in the
summarizes the FAA’s analysis of the Changes From the NPRM to the Final NPRM found a significant economic
economic impact of this rule. It also Rule impact on a substantial number of small
includes summaries of the final • The effective date of the rule entities. This result was reported in the
regulatory flexibility analysis, changes from 18 months after NPRM and the full IRFA was placed in
international trade impact assessment, publication in the Federal Register to the docket (FAA–2006–25877), along
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and the unfunded mandate assessment. effective on January 1, 2008. with the Initial Regulatory Analysis, and
For more information, we suggest • The period of analysis changes from was also published in the Federal
readers go to the full regulatory 2009–2018 to 2008–2017. Register (72 FR 6968, February 14,
evaluation, a copy of which we have • The base year changes from 2005 to 2007). This final rule, however, is cost
placed in the docket for this rulemaking. 2008. relieving and, therefore, imposes no

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63800 Federal Register / Vol. 72, No. 218 / Tuesday, November 13, 2007 / Rules and Regulations

economic cost on small entities. assessment or environmental impact may contact your local FAA official, or
Moreover, we did not receive any statement under the National the person listed under the FOR FURTHER
comments regarding the small entity Environmental Policy Act in the INFORMATION CONTACT heading at the
impact of this part of the NPRM. absence of extraordinary circumstances. beginning of the preamble. You can find
Therefore as the Acting FAA The FAA has determined this out more about SBREFA on the Internet
Administrator, I certify that this rule rulemaking action qualifies for the at http://www.faa.gov/
will not have a significant economic categorical exclusion identified in regulations_policies/rulemaking/
impact on a substantial number of small paragraph 308(b) and involves no sbre_act/.
entities. extraordinary circumstances.
List of Subjects in 14 CFR Part 21
International Trade Impact Assessment Regulations That Significantly Affect Aircraft, Certification procedures for
The Trade Agreements Act of 1979 Energy Supply, Distribution, or Use products and parts, Export
(Pub. L. 96–39) prohibits Federal The FAA has analyzed this final rule airworthiness approvals.
agencies from establishing any under Executive Order 13211, Actions
standards or engaging in related Concerning Regulations that The Amendment
activities that create unnecessary Significantly Affect Energy Supply, ■ In consideration of the foregoing, the
obstacles to the foreign commerce of the Distribution, or Use (May 18, 2001). We Federal Aviation Administration
United States. Legitimate domestic have determined that it is not a amends Chapter I of Title 14, Code of
objectives, such as safety, are not ‘‘significant energy action’’ under the Federal Regulations as follows:
considered unnecessary obstacles. The executive order because it is not a
statute also requires consideration of ‘‘significant regulatory action’’ under PART 21—CERTIFICATION
international standards and, where Executive Order 12866, and it is not PROCEDURES FOR PRODUCTS AND
appropriate, that they be the basis for likely to have a significant adverse effect PARTS
U.S. standards. The FAA has assessed on the supply, distribution, or use of
the potential effect of this final rule and energy. ■ 1. The authority citation for part 21
determined it would promote continues to read as follows:
Availability of Rulemaking Documents Authority: 42 U.S.C. 7572; 49 U.S.C.
international trade by reducing the cost
of export airworthiness approvals for You can get an electronic copy of 106(g), 40105, 40113, 44701–44702, 44707,
Class II products (major components) rulemaking documents using the 44709, 44711, 44713, 44715, 45303.
and Class III products (parts and Internet by— ■ 2. Amend § 21.325 by adding new
components). 1. Searching the Federal eRulemaking
paragraph (b)(4) to read as follows:
portal at http://www.regulations.gov;
Unfunded Mandates Assessment 2. Visiting the FAA’s Regulations and § 21.325 Export airworthiness approvals.
Title II of the Unfunded Mandates Policies Web page at http:// * * * * *
Reform Act of 1995 (Pub. L. 104–4) www.faa.gov/regulations_policies/; or (b)* * *
requires each Federal agency to prepare 3. Accessing the Government Printing (4) Class II and III products located
a written statement assessing the effects Office’s Web page at http:// outside of the United States if the FAA
of any Federal mandate in a proposed or www.gpoaccess.gov/fr/index.html. finds no undue burden in administering
final agency rule that may result in an You can also get a copy by sending a
the applicable requirements of Title 49
expenditure of $100 million or more request to the Federal Aviation
U.S.C. and this subchapter.
(adjusted annually for inflation with the Administration, Office of Rulemaking,
ARM–1, 800 Independence Avenue, * * * * *
base year 1995) in any one year by State,
local, and tribal governments, in the SW., Washington, DC 20591, or by Issued in Washington, DC, on November 6,
aggregate, or by the private sector; such calling (202) 267–9680. Make sure to 2007.
a mandate is deemed to be a ‘‘significant identify the amendment number or Robert A. Sturgell,
regulatory action.’’ The FAA currently docket number of this rulemaking. Acting Administrator.
uses an inflation-adjusted value of Anyone is able to search the [FR Doc. E7–22111 Filed 11–9–07; 8:45 am]
$128.1 million. electronic form of all comments BILLING CODE 4910–13–P
This final rule does not contain such received into any of our dockets by the
a mandate. The requirements of Title II name of the individual submitting the
do not apply. comment (or signing the comment, if DEPARTMENT OF TRANSPORTATION
submitted on behalf of an association,
Executive Order 13132, Federalism business, labor union, etc.). You may Federal Aviation Administration
The FAA has analyzed this final rule review DOT’s complete Privacy Act
under the principles and criteria of statement in the Federal Register 14 CFR Part 39
Executive Order 13132, Federalism. We published on April 11, 2000 (Volume [Docket No. FAA–2007–28828; Directorate
determined that this action will not 65, Number 70; Pages 19477–78) or you Identifier 2007–NM–010–AD; Amendment
have a substantial direct effect on the may visit http://DocketsInfo.dot.gov. 39–15258; AD 2007–23–12]
States, or the relationship between the
Small Business Regulatory Enforcement RIN 2120–AA64
national Government and the States, or
Fairness Act
on the distribution of power and
The Small Business Regulatory Airworthiness Directives; Boeing
responsibilities among the various
Enforcement Fairness Act (SBREFA) of Model 707 Airplanes and Model 720
levels of government, and, therefore,
1996 requires FAA to comply with and 720B Series Airplanes
does not have federalism implications.
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small entity requests for information or AGENCY: Federal Aviation


Environmental Analysis advice about compliance with statutes Administration (FAA), Department of
FAA Order 1050.1E identifies FAA and regulations within its jurisdiction. If Transportation (DOT).
actions that are categorically excluded you are a small entity and you have a
ACTION: Final rule.
from preparation of an environmental question regarding this document, you

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