[Federal Register Volume 63, Number 226 (Tuesday, November 24, 1998)]
[Rules and Regulations]
[Page 64876]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-31341]
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FEDERAL MARITIME COMMISSION
46 CFR Parts 510, 514, and 582
Anti-Rebate Certification Filing Requirements
AGENCY: Federal Maritime Commission.
ACTION: Waiver of filing requirement.
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SUMMARY: The Commission is waiving the requirement for chief executive
officers of common carriers and other entities to file by December 31,
1998, a written certification that the firm has a policy against
rebating that was recently promulgated to each owner, officer and
employee of the firm, with details of the firm's efforts to prevent
illegal rebating and that the firm will cooperate with Commission
efforts to end illegal rebating. This action is being taken to
alleviate the filing burden on the public and the collection burden on
the Commission, in light of changes made by the Ocean Shipping Reform
Act of 1998 (``OSRA'') which removes the filing requirement on May 1,
1999, when OSRA becomes effective.
EFFECTIVE DATE: November 24, 1998.
FOR FURTHER INFORMATION CONTACT:
Bryant L. VanBrakle, Director, Bureau of Tariffs, Certification and
Licensing, Federal Maritime Commission, 800 North Capitol Street, N.W.,
Washington, D.C. 20573-0001, (202) 523-5796, E-mail: bryant@fmc.gov.
SUPPLEMENTARY INFORMATION: Section 15(b) of the Shipping Act of 1984,
46 U.S.C. 1714(b) (``1984 Act'') requires the chief executive officer
of each common carrier and other entities designated by the Federal
Maritime Commission to file with the Commission a periodic written
certification made under oath. The chief executive officer must
certify: that the firm has a policy prohibiting rebating; that the
policy was recently promulgated to each owner, officer and employee of
the firm; that it has provided details of the efforts made by the firm
to prevent illegal rebating; and that the firm will cooperate with the
Commission in its efforts to end these illegal practices.
The section 15(b) requirement is implemented by the Commission's
regulations at 46 CFR Part 582, 46 CFR 514.1(c)(1)(iii), 46 CFR
510.16(a)(6), and 46 CFR 510.25, which require the chief executive
officer of every common carrier and ocean freight forwarder to file an
Anti-Rebate Certification (``ARC'') as prescribed by the form in
Appendix A of Part 582. ARCs are required when a carrier files its
initial tariff and when a freight forwarder applicant submits its
initial application for a freight forwarder license. Thereafter, ARCs
are required to be filed by December 31 of each even-numbered calendar
year. Failure to file an ARC may result in the cancellation of a
carrier's tariffs, the striking of a carrier's name as a participant to
any conference rate tariffs in which it participates or suspension of a
freight forwarder's license and possibly the assessment of civil
penalties.
The 1984 Act, as amended by the Ocean Shipping Reform Act of 1998
(``OSRA''), removes the ARC requirements from section 15 effective May
1, 1999, four months after they are due from the approximately 5000
subject firms on December 31, 1998. The ARC program consumes a large
amount of the Commission's resources. In addition, it generally takes
several months to process receipts, follow-up on deficient filings and
to complete the tariff cancellation/freight forwarder license
suspension process. In short, it is unlikely that the 1999/2000 program
could be completed by May 1, 1999. Moreover, continuation of this
requirement would place a great strain on agency resources at a time
when they will be needed to work on program changes required by OSRA.
The Commission, therefore, has determined to waive this requirement for
the ARC filing due December 31, 1998.
This waiver is strictly for administrative convenience. The
Commission makes clear that the 1984 Act, both currently and as will be
amended by OSRA, prohibits the payment, receipt or solicitation of
illegal rebates. This waiver of certification requirements does not
modify, in any manner, the Commission's enforcement obligations or
efforts with respect to past or future rebate activity.
Now therefore, it is ordered that pursuant to 5 U.S.C. 553 and
sections 15 and 17 of the Shipping Act of 1984 (46 U.S.C. app 1714 and
1716), the requirements of 46 CFR Part 582, 46 CFR 514.1(c)(1)(iii), 46
CFR 510.16(a)(6), and 46 CFR 510.25 for the filing due December 31,
1998, are waived effective November 24, 1998.
Pursuant to 5 U.S.C. 553(b) and (d) we find that prior public
notice, opportunity for comment, and delayed effective date are neither
necessary nor practical inasmuch as this waiver merely relieves
restrictions otherwise applicable.
By the Commission.
Joseph C. Polking,
Secretary.
[FR Doc. 98-31341 Filed 11-23-98; 8:45 am]
BILLING CODE 6730-01-M
