96-30133. Food Stamp Program, Regulatory Review; Alaska, the Commonwealth of the Northern Mariana Islands, Puerto Rico, and Demonstration Projects  

  • [Federal Register Volume 61, Number 229 (Tuesday, November 26, 1996)]
    [Rules and Regulations]
    [Pages 60009-60013]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 96-30133]
    
    
    
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    Rules and Regulations
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    This section of the FEDERAL REGISTER contains regulatory documents 
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    Federal Register / Vol. 61, No. 229 / Tuesday, November 26, 1996 / 
    Rules and Regulations
    
    [[Page 60009]]
    
    
    
    DEPARTMENT OF AGRICULTURE
    
    Food and Consumer Service
    
    7 CFR Parts 271, 272, 282, 284, and 285
    
    [Amdt. No. 371]
    RIN: 0584-AC14
    
    
    Food Stamp Program, Regulatory Review; Alaska, the Commonwealth 
    of the Northern Mariana Islands, Puerto Rico, and Demonstration 
    Projects
    
    AGENCY: Food and Consumer Service, USDA.
    
    ACTION: Final rule.
    
    -----------------------------------------------------------------------
    
    SUMMARY: This rule amends Food Stamp Program rules affecting Alaska, 
    the Commonwealth of the Northern Mariana Islands, Puerto Rico, and 
    demonstration projects. This action is a result of a comprehensive, 
    page-by-page review, of all existing Food Stamp Program regulations 
    which was conducted in response to the President's efforts to reform 
    the Federal regulatory system. This rule eliminates prescriptive 
    detailed processes and empowers States to set their own procedures for 
    case management and customer service; eliminates outdated and redundant 
    regulatory requirements; and emphasizes recipient responsibility for 
    applying and reporting their circumstances properly.
    
    DATES: This final rule is effective December 26, 1996, and must be 
    implemented May 27, 1997.
    
    FOR FURTHER INFORMATION CONTACT: Judith M. Seymour, Chief, 
    Certification Policy Branch, Program Development Division, Food and 
    Consumer Service, USDA, 3101 Park Center Drive, Alexandria, Virginia, 
    22302, (703) 305-2520.
    
    SUPPLEMENTARY INFORMATION:
    
    Executive Order 12866
    
        This rule has been determined to be not significant for the 
    purposes of Executive Order 12866 and therefore was not reviewed by the 
    Office of Management and Budget.
    
    Executive Order 12372
    
        The Food Stamp Program is listed in the Catalog of Federal Domestic 
    Assistance under No. 10.551. For the reasons set forth in the final 
    rule in 7 CFR Part 3015, Subpart V and related Notice (48 FR 29115), 
    this Program is excluded from the scope of Executive Order 12372 which 
    requires intergovernmental consultation with State and local officials.
    
    Regulatory Flexibility Act
    
        This rule has been reviewed with regard to the requirements of the 
    Regulatory Flexibility Act of 1980 (5 U.S.C. 601-612). William E. 
    Ludwig, Administrator, Food and Consumer Service, has certified that 
    this final rule will not have a significant economic impact on a 
    substantial number of small entities. State and local welfare agencies 
    will be the most affected to the extent that they administer the 
    Program.
    
    Paperwork Reduction Act
    
        Sections 272.7(b) and (i) of this rulemaking require submission to 
    FCS of amendments to the Alaska State Plan of Operation. The 
    information collection burden associated with amendments to a State 
    agency's Plan of Operation is currently approved by the Office of 
    Management and Budget (OMB) under OMB Number 0584-00830. This 
    rulemaking does not alter the burden estimates as currently approved. 
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
    3507), FCS solicited comments through an April 1, 1996 publication in 
    the Federal Register (61 FR 14287, 14288) of a notice on the current 
    information collection requirements related to the State Plan of 
    Operation. The comment period ended on May 31, 1996. There were no 
    comments received on that portion of the notice which describes the 
    burden associated with the State Plan of Operation. The proposed 
    collection will be submitted to OMB for review and at that time the 
    Department will publish a notice which will provide an additional 
    opportunity to comment. The reporting burden in Sec. 285.3 related to 
    the Puerto Rico State Plan of Operation affects only the Puerto Rico 
    State agency. Under the Paperwork Reduction Act, burden is not required 
    to be assessed and submitted to OMB for review if the number of 
    respondents is less than nine.
    
    Executive Order 12778
    
        This rule has been reviewed under Executive Order 12778, Civil 
    Justice Reform. This rule is intended to have preemptive effect with 
    respect to any State or local laws, regulations or policies which 
    conflict with its provisions or which would otherwise impede its full 
    implementation. This rule is not intended to have retroactive effect 
    unless so specified in the ``Effective Date'' paragraph of this 
    preamble. Prior to any judicial challenge to the provisions of this 
    rule or the application of its provisions, all applicable 
    administrative procedures must be exhausted. In the Food Stamp Program 
    the administrative procedures are as follows: (1) For Program benefit 
    recipients--State administrative procedures issued pursuant to 7 U.S.C. 
    2020(e)(1) and 7 CFR 273.15; (2) for State agencies--administrative 
    procedures issued pursuant to 7 U.S.C. 2023 set out at 7 CFR 276.7 (for 
    rules related to non-quality control (QC) liabilities) or Part 283 (for 
    rules related to QC liabilities); (3) for Program retailers and 
    wholesalers--administrative procedures issued pursuant to 7 U.S.C. 2023 
    set out at 7 CFR 278.8.
    
    Background
    
        This rule is the first revision of the regulations governing the 
    Food Stamp Program issued in response to the President's Regulatory 
    Reform Initiative. For a detailed description of the analysis of the 
    initiative and its application by this Department, readers are referred 
    to the proposed rule published on January 24, 1996 at 61 FR 1849.
        In this rule, we are amending food stamp regulations affecting 
    Alaska, Puerto Rico, the Commonwealth of the Northern Mariana Islands, 
    and demonstration projects. The amendments streamline administration of 
    the program in these areas, offer greater flexibility to State agencies 
    in enacting policy, and improve customer service.
    
    [[Page 60010]]
    
        We received a comment letter from the Alaska Department of Health 
    and Social Services (the State agency), addressing technical changes to 
    three of the provisions regarding the administration of the program in 
    the State of Alaska. With the exception of minor changes, to the 
    proposed regulations suggested by this comment, which are discussed in 
    the following paragraphs, the provisions of the proposed rule are being 
    adopted without change. For a detailed description of these provisions 
    readers are referred to the proposed rule.
        Section 272.7, of the proposed rule described special procedures 
    for administration of the Food Stamp Program in Alaska. Section 
    272.7(a), the introductory paragraph to Sec. 272.7, specified that FCS 
    had developed additional regulations to accommodate the unique 
    demographic and climatic characteristics of certain areas in rural 
    Alaska. The paragraph further specified that, with the exception of 
    paragraph (f) which contains provisions regarding the treatment of 
    resources, the special procedures described in Sec. 272.7 would be 
    limited to the designated rural areas of Alaska.
        Section 272.7(c) of the proposed rule defined ``fee agent'' and 
    described the duties of such agents. In its comment letter, the State 
    agency requested that we amend Sec. 273.7(a) so that fee agents may be 
    used in urban areas. Under section 11(m) of the Food Stamp Act of 1977, 
    as amended, (7 U.S.C. 2020(m)) the Secretary is directed to provide for 
    the use of fee agents in rural Alaska. In view of the explicit 
    statutory language limiting the use of fee agents to only rural areas 
    of Alaska, the Department does not have the authority to expand the use 
    of fee agents to urban areas. We would, however, consider granting 
    waivers allowing for the use of fee agents in urban areas of Alaska on 
    a limited basis.
        Under the proposed rule at Sec. 272.7(b)(4), the State agency may, 
    in consultation with FCS, change the designation of any Alaska 
    subdivision to reflect changes in demographics or the cost of food 
    within the subdivision. The State agency requested clarification of how 
    it may initiate changes in the designation of areas as rural or urban. 
    Since the designation of which areas are urban or rural is included in 
    the State Plan of Operation, described at 7 CFR 272.2, changes in the 
    Plan would be made pursuant to the procedures at 7 CFR 272.2(f).
        In response to the State agency's request, we are also changing the 
    title of proposed Sec. 272.7(f) from ``Resources'' to ``Vehicles'' 
    since that section refers only to the treatment of vehicles as a 
    resource.
    
    Implementation
    
        The provisions of this rulemaking are effective no later than 30 
    days after publication of the final rule. State agencies shall 
    implement the provisions no later than 180 days after that date.
    
    List of Subjects
    
    7 CFR Part 271
    
        Administrative practice and procedure, Food stamps, Grant 
    programs--social programs.
    
    7 CFR Part 272
    
        Alaska, Civil Rights, Food Stamps, Grant programs--social programs, 
    Reporting and recordkeeping requirements.
    
    7 CFR Part 282
    
        Food stamps, Governmental contracts, Grant programs--social 
    programs, Research.
    
    7 CFR Part 284
    
        Administrative practice and procedure, Food assistance programs, 
    Grant programs--social programs, Health, Nutrition.
    
    7 CFR Part 285
    
        Accounting, Food assistance programs, Grant programs--agricultural, 
    Grant programs--social programs, Intergovernmental relations, Puerto 
    Rico, Technical assistance, Reporting and recordkeeping requirements.
    
        Accordingly, 7 CFR parts 271, 272, 282, 284, and 285 are amended as 
    follows:
        1. The authority citation for 7 CFR parts 271, 272, 282, 284, and 
    285 continue to read as follows:
    
        Authority: 7 U.S.C. 2011-2034.
    
    PART 271--GENERAL INFORMATION AND DEFINITIONS
    
    
    Sec. 271.2   [Amended]
    
        2. In Sec. 271.2, the definition of ``State'' is amended by 
    removing the words ``the Northern Mariana Islands,''.
    
    PART 272--REQUIREMENTS FOR PARTICIPATING STATE AGENCIES
    
        3. In Sec. 272.1, paragraph (g)(152) is added to read as follows:
    
    
    Sec. 272.1   General terms and conditions.
    
    * * * * *
        (g) Implementation * * *
        (152) Amendment No. 361  The provisions of Amendment No. 361 are 
    effective December 26, 1996, and must be implemented May 27, 1997. Any 
    variances resulting from implementation of the provisions of this 
    amendment shall be excluded from error analysis for 120 days from this 
    required implementation date in accordance with 7 CFR 
    275.12(d)(2)(vii). The provision must be implemented for all households 
    that newly apply for Program benefits on or after the required 
    implementation date. The current caseload shall be converted to these 
    provisions at the household's request, at the time of recertification, 
    or when the case is next reviewed, whichever occurs first. The State 
    agency must provide restored benefits to such households back to the 
    required implementation date or the date of application whichever is 
    later.
        If for any reason a State agency fails to implement on the required 
    implementation date, restored benefits shall be provided, if 
    appropriate, back to the required implementation date or the date of 
    application whichever is later, but for no more than 12 months in 
    accordance with Sec. 273.17(a) of this chapter.
    
    
    Sec. 272.4   [Amended]
    
        4. In Sec. 272.4, the third sentence of paragraph (a)(2) is amended 
    by adding the words ``, Sec. 272.7(d) for households residing in rural 
    Alaska,'' before the words ``and part 280 for disaster victims.''
        5. Section 272.7 is revised to read as follows:
    
    
    Sec. 272.7   Procedures for program administration in Alaska.
    
        (a) Purpose. To achieve the efficient and effective administration 
    of the Food Stamp Program in rural areas of Alaska, FCS has determined 
    that it is necessary to develop additional regulations which are 
    specifically designed to accommodate the unique demographic and 
    climatic characteristics which exist in these rural areas. The 
    regulations established in this section, except for paragraph (f) of 
    this section, shall apply only in those areas of Alaska designated as 
    ``rural'' in paragraph (b) of this section. All regulations not 
    specifically modified by this section shall remain in effect.
        (b) Area Designations. (1) Rural I Alaska TFP refers to a Thrifty 
    Food Plan (TFP) that is the higher of the TFP that was in effect in 
    each area on October 1, 1985, or 28.52 percent higher than the 
    Anchorage TFP, as calculated by FCS, with rounding and other reductions 
    that are appropriate. It is to be used in the following areas: In all 
    places in Kodiak Island Borough with the exception of Kodiak; in all 
    places in the Kenai Peninsula Borough that are west of Cook
    
    [[Page 60011]]
    
    Inlet (including Tyonek, Kustatan, Kalgin Island, Iliamna, Chenik, and 
    Augustine Island) and Chugach Island, English Bay, Port Graham, 
    Portlock, Pt. Gore, Pye Island, and Seldovia. In the Yukon-Koyukuk 
    Census Area, the city of Nenana; and Skwentna in the Matanuska-Susitna 
    Borough. In the Valdez-Cordova Census Area, all places except Dayville 
    and Valdez; and in the Southeast Fairbanks Census Area all places 
    except Big Delta, Delta Junction, and Fort Greely. In the Skagway-
    Yakutat-Angoon Census Area, all places except Skagway; in Sitka Borough 
    all places except Sitka; in the Wrangell-Petersburg Census Area, all 
    places except Wrangell and Petersburg; in the Ketchikan Gateway 
    Borough, all places except Ketchikan, Saxman, and Ward Cove; in the 
    Prince of Wales-Outer Ketchikan Census Area, all places except Craig, 
    Hyder, and Metlakatla.
        (2) Rural II Alaska TFP refers to a TFP that is 56.42 percent 
    higher than the Anchorage TFP, as calculated by FCS, with rounding and 
    other reductions that are appropriate. It is to be used in the 
    following areas: North Slope Borough; Kobuk Census Area; Nome Census 
    Area; Yukon-Koyukuk Census Area except for the city of Nenana; Wade 
    Hampton Census Area; Bethel Census Area; Denali in the Matanuska-
    Susitna Borough; Dillingham-Bristol Bay Borough; and in all places in 
    the Aleutian Islands except for Cold Bay and Adak.
        (3) Urban Alaska TFP refers to a TFP that is the higher of the TFP 
    that was in effect in each area on October 1, 1985, or .79 percent 
    higher than the Anchorage TFP, as calculated by FCS, with rounding and 
    other reductions that are appropriate. It is to be used in the 
    following areas: Cold Bay and Adak in the Aleutian Islands; Kodiak in 
    Kodiak Island Borough; Valdez and Dayville in the Valdez-Cordova Census 
    Area; all places in Kenai Peninsula Borough that are on the Kenai 
    Peninsula except for those specifically designated as Rural I; the 
    entire Anchorage Borough; the entire Matanuska-Susitna Borough except 
    for Denali and Skwentna; the entire Fairbanks-North Star Borough; the 
    entire Juneau Borough; the entire Haines Borough; Sitka in the Sitka 
    Borough; Skagway in the Skagway-Yakutat-Angoon Census Area; Wrangell 
    and Petersburg in the Wrangell-Petersburg Census Area; Ketchikan, 
    Saxman, and Ward Cove in the Ketchikan-Gateway Borough; Craig, Hyder, 
    and Metlakatla in the Prince of Wales-Outer Ketchikan Census Area; and 
    Big Delta, Delta Junction, and Fort Greely in the Southeast-Fairbanks 
    Census Area.
        (4) The State agency may, in consultation with FCS, change the 
    designation of any Alaska subdivision contained in the Plan of 
    Operation to reflect changes in demographics or the cost of food within 
    the subdivision.
        (c) Fee agents. ``Fee agent'' means a paid agent who, on behalf of 
    the State, is authorized to make applications available to low-income 
    households, assist in the completion of applications, conduct required 
    interviews, secure required verification, forward completed 
    applications and supporting documentation to the State agency, and 
    provide other services as required by the State agency. Such services 
    shall not include making final decisions on household eligibility or 
    benefit levels.
        (d) Application processing. The State agency may modify the 
    application processing requirements in Sec. 273.2 of this chapter as 
    necessary to insure prompt delivery of services to eligible households. 
    The following restrictions apply:
        (1) Fee agent processing. If the signed application is first 
    submitted by a household to a fee agent, the fee agent shall mail the 
    application to the State agency within 5 days of receipt. The fee agent 
    shall give the household the maximum amount of time to provide needed 
    verification as long as the five-day processing period is met.
        (2) Application filing date. An application is considered filed for 
    purposes of timely processing when it is received by an office of the 
    State agency.
        (3) Application processing timeframes. Eligible households must be 
    provided an opportunity to participate as soon as possible but no later 
    than 30 days after the application is received by an office of the 
    State agency.
        (4) Expedited service. (i) If the signed application is first 
    submitted by a household to a fee agent, the fee agent shall mail the 
    application to the State agency within 5 days of receipt. If the 
    household is eligible for expedited service, the State agency will mail 
    the coupons no later than the close of business of the second working 
    day following the date the application was received by the State 
    agency.
        (ii) If the signed application is submitted directly to the State 
    agency in person by a rural resident or its authorized representative 
    or by mail, the State agency shall process the application and issue 
    coupons to households eligible for expedited service in accordance with 
    the time standards contained in Sec. 273.2(i)(3) of this chapter.
        (iii) If an incomplete application is submitted directly to the 
    State agency by mail, the State agency shall conduct the interview by 
    the first working day following the date the application was received 
    if the fee agent can contact the household or the household can be 
    reached by telephone or radio-phone and does not object to this method 
    of interviewing on grounds of privacy. Based on information obtained 
    during the interview, the State agency shall complete the application 
    and process the case. Because of the mailing time in rural areas, the 
    State agency shall not return the completed application to the 
    household for signature. The processing standard shall be calculated 
    from the date the application was filed.
        (5) SSI Joint Processing. SSA workers shall mail all jointly 
    processed applications to the appropriate State agency office within 5 
    days of receipt of the application. A jointly processed application 
    shall be considered filed for purposes of timely processing when it is 
    received by an office of the State agency. The household, if determined 
    eligible, shall receive benefits retroactive to the first day of the 
    month in which the jointly processed application was received by the 
    SSA worker.
        (6) Interviews. The State agency shall interview applicant 
    households in the most efficient manner possible, either by face-to-
    face contact, telephone, radiophone, or other means of correspondence 
    including written correspondence. In instances in which an interview 
    cannot be conducted, the State agency may postpone the interview until 
    after the household is certified.
        (e) Determining household eligibility and benefit level. If a 
    household submits its application to a fee agent, it shall, if 
    eligible, receive benefits retroactive to the date the application is 
    received by the fee agent. If a household submits its application 
    directly to a State agency office, it shall, if determined eligible, 
    receive benefits retroactive to the date the application is received by 
    the State agency.
        (f) Vehicles. In areas of the State where there are no licensing 
    requirements, snowmobiles and boats used by the household for basic 
    transportation shall be evaluated in accordance with Sec. 273.8(h) of 
    this chapter even though they are unlicensed. Vehicles necessary for 
    subsistence hunting and fishing shall not be counted as a household 
    resource.
        (g) Reporting changes. The State agency shall allow the household 
    to choose to report changes either directly to the State agency or to 
    the fee agent. If the household reports the change to the fee agent, 
    the fee agent will mail the change report to the State agency office 
    within two working days of the date of
    
    [[Page 60012]]
    
    receipt. The household's obligation to report the change will have been 
    met if it submits the change to the fee agent within 10 days of the 
    date the change becomes known to the household. However, for purposes 
    of State agency action for increasing or decreasing benefits, the 
    change will be considered to have been reported when it is received by 
    a State agency office.
        (h) Fair hearings, fraud hearings, and agency conferences. The 
    State agency shall conduct fair hearings, administrative fraud 
    hearings, and agency conferences with households that wish to contest 
    denial of expedited service in the most efficient manner possible, 
    either by face-to-face contact, telephone, radiophone, or other means 
    of correspondence including written correspondence, in order to meet 
    the respective time standards contained in Sec. 273.15 and Sec. 273.16 
    of this chapter.
        (i) Issuance services. With the approval of FCS, coupons may be 
    mailed on a quarterly or semiannual basis to certain rural areas of 
    Alaska when provisions are not available on a monthly basis. The 
    decision to allow the distribution of coupons in this manner will be 
    made on an annual basis. These areas shall be listed in the State's 
    Plan of Operation. The State agency shall advise households that live 
    in rural areas where quarterly or semiannual allotments are authorized. 
    If, as the result of the issuance of quarterly or semiannual 
    allotments, food coupons are overissued or underissued, the State 
    agency shall process claim determinations and restore lost benefits.
    
    PART 282--DEMONSTRATION, RESEARCH, AND EVALUATION PROJECTS
    
        6. Section 282.1 is revised to read as follows:
    
    
    Sec. 282.1  Legislative authority and notice requirements.
    
        (a) Legislative authority. Section 17 of the Act authorizes the 
    Secretary to conduct demonstration, research, and evaluation projects. 
    In conducting such projects, the Secretary may waive all or part of the 
    requirements of the Act and implementing regulations necessary to 
    conduct such projects, except that no project, other than a project 
    involving the payment of the average value of allotments by household 
    size in the form of cash to eligible households or a project conducted 
    to test improved consistency or coordination between the food stamp 
    employment and training program and the Job Opportunities and Basic 
    Skills program under Title IV of the Social Security Act, may be 
    undertaken which would lower or further restrict the established income 
    and resource standards or benefit levels.
        (b) Notices. At least 30 days prior to the initiation of a 
    demonstration project, FCS shall publish a General Notice in the 
    Federal Register if the demonstration project will likely have a 
    significant impact on the public. The notice shall set forth the 
    specific operational procedures and shall explain the basis and purpose 
    of the demonstration project. If significant comments are received in 
    response to this General Notice, the Department will take such action 
    as may be appropriate prior to implementing the project. If the 
    operational procedures contained in the General Notice described above 
    are significantly changed because of comments, an amended General 
    Notice will be published in the Federal Register at least 30 days prior 
    to the initiation of the demonstration project, except where good cause 
    exists supporting a shorter effective date. The explanation for the 
    determination of good cause will be published with the amended General 
    Notice. The amended General Notice will also explain the basis and 
    purpose of the change.
    
    
    Secs. 282.2 through 282.19  [Removed]
    
        7. Sections 282.2 through 282.19 are removed.
        8. A new Sec. 282.2 is added to read as follows:
    
    
    Sec. 282.2  Funding.
    
        Federal financial participation may be made available to 
    demonstration, research, and evaluation projects awarded by FCS through 
    grants and contracts. Funds may not be transferred from one project to 
    another. FCS will pay all costs incurred during the project, up to the 
    level established in the grant, or in the terms and conditions of the 
    contract. FCS may grant time extensions of the project upon approval. 
    Funding for additional costs is subject to existing Federal grant and 
    contract procedures.
    
    PART 284--PROVISION OF A NUTRITION ASSISTANCE PROGRAM FOR THE 
    COMMONWEALTH OF THE NORTHERN MARIANA ISLANDS (CNMI) [REMOVED AND 
    RESERVED]
    
        9. Part 284 is removed and reserved.
    
    PART 285--PROVISION OF A NUTRITION ASSISTANCE GRANT FOR THE 
    COMMONWEALTH OF PUERTO RICO
    
    
    Sec. 285.2  [Amended]
    
        10. In Sec. 285.2, the first sentence of paragraph (b) is amended 
    by removing the citations ``Secs. 285.4 and 285.7 in this part'' and 
    adding ``Secs. 285.3 and 285.5'' in their place.
        11. In Sec. 285.3:
        a. The second sentence of paragraph (a) is removed.
        b. The third sentence of paragraph (a) is amended by removing the 
    word ``subsequent''.
        c. Paragraph (b)(3)(iii) is removed.
        d. New paragraphs (d), (e), (f), (g), and (h) are added.
        The additions read as follows:
    
    
    Sec. 285.3 Plan of operation.
    
    * * * * *
        (d) FCS shall approve or disapprove any plan of operation no later 
    than August 1 of the year of its submission. FCS approval of the plan 
    of operation shall be based on an assessment that the nutrition 
    assistance program, as defined in the plan of operation, is:
        (1) Sufficient to permit analysis and review;
        (2) Reasonably targeted to the most needy persons as defined in the 
    plan of operation;
        (3) Supported by an assessment of the food and nutrition needs of 
    needy persons;
        (4) Reasonable in terms of the funds requested;
        (5) Structured to include safeguards to prevent fraud, waste, and 
    abuse in the use of grant funds; and
        (6) Consistent with all applicable Federal laws.
        (e) FCS shall approve or disapprove any amendments to those 
    provisions of the plan of operation specified in paragraph (b) of this 
    section. If FCS fails either to approve or deny the amendment, or to 
    request additional information within 30 days, the amendment to the 
    plan of operation is approved. If additional information is requested, 
    the Commonwealth of Puerto Rico shall provide this as soon as possible, 
    and FCS shall approve or deny the amendment to the plan of operation. 
    Payment schedules and other program operations may not be altered until 
    an amendment to the plan of operation is approved. The Commonwealth of 
    Puerto Rico shall, for informational purposes, submit to FCS any 
    amendments to those provisions of the plan of operation not specified 
    in paragraph (b) of this section. Such submittal shall be made at least 
    30 days prior to the effective date of the amendment. If circumstances 
    warrant a waiver of the 30-day requirement, the Commonwealth of Puerto 
    Rico shall submit a waiver request to FCS for consideration. Should FCS 
    determine that such an amendment relates to the provisions of paragraph 
    (b) of this section, FCS approval as established above will be 
    necessary for the amendment to be implemented.
    
    [[Page 60013]]
    
        (f) FCS may approve part of any plan of operation or amendment 
    submitted by the Commonwealth of Puerto Rico contingent on appropriate 
    action by the Commonwealth of Puerto Rico with respect to the problem 
    areas in the plan of operation.
        (g) If all or part of the plan of operation is disapproved, FCS 
    shall notify the appropriate agency in the Commonwealth of Puerto Rico 
    of the problem area(s) in the plan of operation and the actions 
    necessary to secure approval.
        (h) In accordance with the provisions of Sec. 285.5, funds may be 
    withheld or denied when all or part of a plan of operation is 
    disapproved.
    
    
    Secs. 285.4 and 285.5  [Removed]
    
        12. Sections 285.4 and 285.5 are removed.
    
    
    Sec. 285.6  [Redesignated as Sec. 285.4]
    
        13. Section 285.6 is redesignated Sec. 285.4.
    
    
    Sec. 285.7  [Redesignated as Sec. 285.5 and amended]
    
        14. In Sec. 285.7:
        a. The section is redesignated Sec. 285.5.
        b. The first sentence of paragraph (a) is amended by removing the 
    citation ``Sec. 285.6'' and adding ``Sec. 285.4'' in its place.
        c. The first sentence of paragraph (b) is amended by removing the 
    citation ``Sec. 285.6'' and adding ``Sec. 285.4'' in its place.
    
    
    Secs. 285.8 through 285.10  [Removed]
    
        15. Sections 285.8 through 285.10 are removed.
    
        Dated: October 4, 1996.
    William E. Ludwig,
    Administrator, Food and Consumer Service.
    [FR Doc. 96-30133 Filed 11-25-96; 8:45 am]
    BILLING CODE 3410-30-P
    
    
    

Document Information

Effective Date:
12/26/1996
Published:
11/26/1996
Department:
Food and Consumer Service
Entry Type:
Rule
Action:
Final rule.
Document Number:
96-30133
Dates:
This final rule is effective December 26, 1996, and must be implemented May 27, 1997.
Pages:
60009-60013 (5 pages)
Docket Numbers:
Amdt. No. 371
PDF File:
96-30133.pdf
CFR: (10)
7 CFR 271.2
7 CFR 272.1
7 CFR 272.4
7 CFR 272.7
7 CFR 282.1
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