[Federal Register Volume 63, Number 93 (Thursday, May 14, 1998)]
[Rules and Regulations]
[Pages 26716-26717]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-12880]
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DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric Administration
15 CFR Part 921
[Docket #980427108-8108-01]
RIN 0694-AL16
National Estuarine Research Reserve System Regulations
AGENCY: Office of Ocean and Coastal Resource Management, National Ocean
Service, National Oceanic and Atmospheric Administration, Commerce.
ACTION: Final rule.
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SUMMARY: The National Oceanic and Atmospheric Administration (NOAA) is
making a correction to its regulations concerning the National
Estuarine Research Reserve System (NERRS) to clarify that certain types
of financial assistance awards are not subject to specified limits on
amounts. The Coastal Zone Protection Act of 1996 amended the Coastal
Zone Management Act (CZMA) by, among other things, eliminating the
state match requirement in cases where financial assistance was coming
from proceeds of a natural resource damage action. In 1997, NOAA issued
a rule to amend the NERRS regulations to conform to the statutory
amendments. That rule specified that the state match requirement was
eliminated in cases where natural resource damage proceeds were being
used to fund NERRS activities. However, the rule did not address what
the effects of other limits on financial assistance (caps on funding,
rather than state match) would be in these cases. This final rule
clarifies that, in cases where financial assistance is coming from
natural resource damage funds, the caps on financial assistance to not
apply.
EFFECTIVE DATE: May 14, 1998.
FOR FURTHER INFORMATION CONTACT:
Mary O'Brien, Attorney-Adviser, Office of General Counsel, 1305 East-
West Highway, Silver Spring, Maryland 20910. Telephone: 301-713-2967.
SUPPLEMENTARY INFORMATION:
I. Authority
This final rule is issued under the authority of the Coastal Zone
Management Act, CZMA, 16 U.S.C. 1451 et seq., as amended.
II. Background
Section 315 of the CZMA authorizes grants to states for the
selection, designation, management, and use of National Estuarine
Research Reserves. However, section 315 of the CZMA limits, in most
cases, the proportion of federal financial assistance that may be
provided to states for program activities. The 1996 amendments to the
CZMA provided that notwithstanding these statutory limits, financial
assistance provided from amounts recovered as a result of damage to
natural resources located in the coastal zone may be used to pay 100
percent of the costs of activities carried out with the assistance. In
1997, NOAA issued a rule, the intent of which was to bring the program
regulations into conformity with the statutory change.
Following NOAA's 1997 rule, questions arose as to the effects of
the amendment on certain statutory and regulatory limits on amounts.
While it was clear the amendments eliminated the match requirement in
cases where financial assistance is coming from natural resource damage
funds, questions remained as to the appropriate interpretation, in
these cases, of provisions limiting the amount of financial assistance
that may be granted to any one reserve for certain activities.
Specifically, the statute provides a $5,000,000 cap on federal
financial assistance for acquisition activities at any one reserve. The
regulations contain not only that cap, but also a $100,000 cap on
federal financial assistance for certain pre-designation activities
(site selection, draft management plan and environmental impact
statement preparation, and basic characterization studies).
The NERRS was established by Congress to provide for a system of
representative estuarine ecosystems, with each site contributing to the
biogeographical and typological balance of the system. It was
envisioned that the completed system would ultimately contain 25-35
sites. Throughout the course of the program, there has been a need to
ensure that limited appropriations are distributed equitably among
reserve sites. Hence, the statute and the regulations provided caps to
restrict the amount of funds that could be granted to any one site.
In the case of reserve activities being funded with amounts
recovered as a result of natural resource damages, the concern that
gave rise to the establishment of the caps does not exist. Natural
resource damage funds do not come out of the NERRS appropriation. When
such funds are used to establish a reserve or pay for reserve
activities, there is no reduction in the appropriation and thus no
effect, financial speaking, on other reserves in the system or on
states wishing to advance reserve proposals. For this reason, it is not
appropriate to apply the NERRS limits on federal financial assistance
when activities are being funded from natural resource damage proceeds.
Congress recognized as much in the 1996 amendments to the CZMA. New
section 315(e)(3)(C) explicitly stated that notwithstanding the 50
percent/$5,000,000 cap, financial assistance provided from natural
resource damage funds could be used to pay 100 percent of the costs of
such activities. Congress did not address the $100,000 pre-designation
cap, because that cap was established by regulation rather than by
statute.
III. Discussion of Change
The purpose of this rule is to amend the regulations to clarify
that, consistent with the changes made to the CZMA in 1996, the
$5,000,000 and $100,000 limits on federal financial assistance for
certain activities are not applicable with the funding for these
activities is being provided from amounts recovered as a result of
damage to natural resources.
IV. Rulemaking Requirements
A. This rule was determined to be ``not significant'' for purposes
of Executive Order 12866.
B. This rule relates to public property, loans, grants, benefits,
and contracts, and therefore, it is exempt from every requirement of
section 553 of the Administrative Procedure Act, 5 U.S.C. 553,
including notice and comment and delayed effective date.
C. Because a notice of proposed rulemaking is not required by 5
U.S.C.
[[Page 26717]]
553, or by any other law, a Regulatory Flexibility Analysis under the
Regulatory Flexibility Act is not required and was not prepared.
D. This rule involves collections of information subject to the
Paperwork Reduction Act and cleared by the Office of Management and
Budget under control number 0648-0119. The estimated response times for
these requirements are 480 hours for management program approval and 8
hours for program amendment and routine program changes. The response
estimates shown include the time for reviewing instructions, searching
existing data sources, gathering and maintaining needed data, and
completing and reviewing the collection of information. Notwithstanding
any other provision of the law, no person is required to respond to,
nor shall any person be subject to penalty for failure to comply with,
a collection of information, subject to the requirements of the PRA,
unless that collection of information displays a currently valid OMB
control number.
E. NOAA has concluded that this regulatory action does not
constitute a major federal action significantly affecting the quality
of the environment. Therefore, an environmental impact statement under
the National Environmental Policy Act, 43 U.S.C. 4321 et seq. is not
required.
F. This rule contains no mandates, under the provisions of Title II
of the Unfunded Mandates Reform Act of 1995 (UMRA), Public Law 104-4,
for state, local, or tribal governments or the private sector. Thus,
this rule is not subject to the requirements of sections 202 and 205 of
the UMRA.
G. NOAA has concluded that this regulatory action does not have
sufficient federalism implications to warrant the preparation of a
Federalism Assessment under Executive Order 12612.
List of Subjects in 15 CFR Part 921
Administrative practice and procedure, Coastal zone, Grant
programs--Natural resources, Reporting and recordkeeping requirements.
Dated: May 11, 1998.
Nancy Foster,
Assistant Administrator for Ocean Services and Coastal Zone Management.
For the reasons set forth in the Preamble, 15 CFR part 921 is
amended as follows:
PART 921--NATIONAL ESTUARINE RESEARCH RESERVE SYSTEM REGULATIONS
1. The authority citation for part 921 continues to read as
follows:
Authority: Section 315 of the Coastal Zone Management Act, as
amended (16 U.S.C. 1461).
2. Paragraph (f) of Sec. 921.1 is amended by revising the fourth
sentence to read as follows:
Sec. 921.1 Mission, goals and general provisions.
* * * * *
(f) * * * Notwithstanding any financial assistance limits
established by this Part, when financial assistance is provided from
amounts recovered as a result of damage to natural resources located in
the coastal zone, such assistance may be used to pay 100 percent of all
actual costs of activities carrier out with this assistance, as long as
such funds are available. * * *
* * * * *
3. Paragraph (a) of Sec. 921.10 is amended by adding a new
sentence, after the third sentence, to read as follows:
Sec. 921.10 General.
(a) * * * Notwithstanding the above, when financial assistance is
provided from amounts recovered as a result of damage to natural
resources located in the coastal zone, such assistance may be used to
pay 100 percent of all actual costs of activities carried out with this
assistance, as long as such funds are available. * * *
4. Paragraph (b) of Sec. 921.10 is amended by adding a new
sentence, after the last sentence, to read as follows:
Sec. 921.10 General.
(b) * * * Notwithstanding the above, when financial assistance is
provided from amounts recovered as a result of damage to natural
resources located in the coastal zone, such assistance may be used to
pay 100 percent of all actual costs of activities carrier out with this
assistance, as long as such funds are available.
5. Section 921.20 is amended by revising the last sentence to read
as follows:
Sec. 921.20 General
* * * In any case, the amount of Federal financial assistance
provided to a coastal state with respect to the acquisition of lands
and waters, or interests therein, for any one National Estuarine
Research Reserve may not exceed an amount equal to 50 percent of the
costs of the lands, waters, and interests therein or $5,000,000,
whichever amount is less, except when the financial assistance is
provided from amounts recovered as a result of damage to natural
resources located in the coastal zone, in which case the assistance may
be used to pay 100 percent of all actual costs of activities carrier
out with this assistance, as long as such funds are available.
6. Section 921.31 is amended by revising the fourth sentence to
read as follows:
Sec. 921.31 Supplemental acquisition and development awards.
* * * Acquisition awards for the acquisition of lands or waters, or
interests therein, for any one reserve may not exceed an amount equal
to 50 percent of the costs of the lands, waters, and interests therein
of $5,000,000, whichever amount is less, except when the financial
assistance is provided from amounts recovered as result of damage to
natural resources located in the coastal zone, in which case the
assistance may be used to pay 100 percent of all actual costs of
activities carrier out with this assistance, as long as such funds are
available. * * *
[FR Doc. 98-12880 Filed 5-13-98; 8:45 am]
BILLING CODE 3510-08-M
