80_FR_12136 80 FR 12092 - Geographic-Based Hiring Preferences in Administering Federal Awards

80 FR 12092 - Geographic-Based Hiring Preferences in Administering Federal Awards

DEPARTMENT OF TRANSPORTATION
Office of the Secretary

Federal Register Volume 80, Issue 44 (March 6, 2015)

Page Range12092-12094
FR Document2015-05215

The DOT proposes to amend its regulations implementing the Government-wide Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards to permit recipients and subrecipients to impose geographic-based hiring preferences whenever not otherwise prohibited by Federal statute.

Federal Register, Volume 80 Issue 44 (Friday, March 6, 2015)
[Federal Register Volume 80, Number 44 (Friday, March 6, 2015)]
[Proposed Rules]
[Pages 12092-12094]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-05215]


========================================================================
Proposed Rules
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains notices to the public of 
the proposed issuance of rules and regulations. The purpose of these 
notices is to give interested persons an opportunity to participate in 
the rule making prior to the adoption of the final rules.

========================================================================


Federal Register / Vol. 80, No. 44 / Friday, March 6, 2015 / Proposed 
Rules

[[Page 12092]]



DEPARTMENT OF TRANSPORTATION

Office of the Secretary

2 CFR Part 1201

[Docket DOT-OST-2015-0013]
RIN 2105-AE38


Geographic-Based Hiring Preferences in Administering Federal 
Awards

AGENCY: Office of the Secretary (OST); U.S. Department of 
Transportation (DOT).

ACTION: Notice of proposed rulemaking.

-----------------------------------------------------------------------

SUMMARY: The DOT proposes to amend its regulations implementing the 
Government-wide Uniform Administrative Requirements, Cost Principles, 
and Audit Requirements for Federal Awards to permit recipients and 
subrecipients to impose geographic-based hiring preferences whenever 
not otherwise prohibited by Federal statute.

DATES: Comments must be received on or before April 6, 2015. Late-filed 
comments will be considered to the extent practicable, but the DOT may 
issue a final rule at any time after the close of the comment period.

ADDRESSES: To ensure that you do not duplicate your docket submissions, 
please submit them by only one of the following means:
     Federal eRulemaking Portal: Go to http://www.regulations.gov and follow the online instructions for submitting 
comments.
     Mail: Docket Management Facility, U.S. Department of 
Transportation, 1200 New Jersey Ave. SE., W12-140, Washington, DC 
20590-0001.
     Hand Delivery: West Building Ground Floor, Room W12-140, 
1200 New Jersey Ave. SE., between 9 a.m. and 5 p.m., Monday through 
Friday, except Federal holidays. The telephone number is (202) 366-
9329.
     Instructions: You must include the agency name and docket 
number or the Regulatory Identification Number (RIN) for the rulemaking 
at the beginning of your comments. All comments received will be posted 
without change to http://www.regulations.gov, including any personal 
information provided.

FOR FURTHER INFORMATION CONTACT: Michael Harkins, Deputy Assistant 
General Counsel for General Law (OST-C10), Office of the Secretary, 
Department of Transportation, 1200 New Jersey Avenue SE., Room W83-312, 
Washington, DC 20590, 202-366-0590.

SUPPLEMENTARY INFORMATION: On December 26, 2014, the DOT's regulations 
at 2 CFR part 1201 became effective, which adopted the Office of 
Management and Budget's (OMB) revised Government-wide Uniform 
Administrative Requirements, Cost Principles, and Audit Requirements 
for Federal awards to non-Federal entities at 2 CFR part 200 (Common 
Rule). These requirements at 2 CFR 200.319(b) prohibit the use of in-
state or local geographic preferences in the evaluation of bids or 
proposals except where Federal statute mandates or encourages the use 
of such preferences.\1\ This prohibition extends to the use of 
geographic hiring preferences in contracts that are awarded by 
recipients and subrecipients with Federal financial assistance since 
such preferences could result in a competitive advantage for 
contractors based in the targeted hiring area. This provision in the 
OMB Common Rule is not new and was found in the DOT's implementation of 
the prior version of OMB's Common Rule (49 CFR 18.36(c)(2) (2014)).
---------------------------------------------------------------------------

    \1\ For example, 23 U.S.C. 140(d) authorizes the preferential 
employment of Indians living on or near a reservation on projects 
and contracts on Indian reservations roads under the Federal-aid 
Highway Program.
---------------------------------------------------------------------------

    Many recipients and subrecipients at the local governmental level 
have local hiring provisions that they otherwise apply to procurements 
that do not involve Federal funding. Such provisions are intended to 
ensure that the communities in which the projects are located benefit 
from the jobs that result from their investment of their funds, 
particularly for workers in low income areas. Transportation plays a 
critical role in connecting Americans and communities to economic 
opportunity. The choices that are made regarding transportation 
infrastructure can strengthen communities, create pathways to jobs and 
improve the quality of life for all Americans. Transportation 
investments and policies can improve access to jobs, education, and 
goods movement, while providing construction and operations jobs. As 
such, the DOT believes that local and other geographic-based hiring 
preferences are essential to promoting Ladders of Opportunity for the 
workers in these communities by ensuring that they participate in, and 
benefit from, the economic opportunities such projects present.
    Additionally, Section 418 of the Consolidated and Further 
Continuing Appropriations Act, 2015, Public Law 113-235 (FY 2015 
Appropriations Act), prohibits the Federal Transit Administration from 
using fiscal year (FY) 2015 funds to implement, administer, or enforce 
49 CFR 18.36(c)(2), for construction hiring. Section 18.36(c)(2) 
prohibits the use of statutorily or administratively imposed in-State 
or local geographical preferences in the evaluation of bids or 
proposals.\2\ Thus, at least for FTA-funded project in FY 2015, 
Congress has diminished the legal effectiveness of this provision.
---------------------------------------------------------------------------

    \2\ Effective December 26, 2014, 49 CFR part 18 will apply only 
to grants obligated on or before December 25, 2014. Grants obligated 
on or after December 26, 2014 will be subject to 2 CFR part 200. 
This provision (18.36(c)(2)) has been recodified at 2 CFR 200.319(b) 
and is substantively the same as 18.36(c)(2). Although Congress did 
not address the change in codification in section 418, FTA intends 
to apply section 418 to grants obligated on or after December 26, 
2014 and subject to 2 CFR 200.319(b).
---------------------------------------------------------------------------

    Therefore, the DOT is proposing to amend Part 1201 by promulgating 
a provision to deviate from the OMB guidance by making clear that 
geographic hiring preferences may be used in DOT grant programs. With 
this deviation, local communities will be in a better position to 
leverage Federal and State and local funds into local jobs and economic 
growth. However, this deviation would only apply to the extent that 
such geographic hiring preferences are not otherwise prohibited by 
Federal statute or regulation. For example, the Federal statutory 
provision at 23 U.S.C. 112 requires full and open competition in the 
award of contracts under the Federal-aid highway program. The Federal 
Highway Administration has traditionally interpreted this provision as 
prohibiting the use of geographic hiring preferences and reinforced 
this interpretation in 23 CFR 635.117(b). Under a 2013 Opinion from

[[Page 12093]]

the Office of Legal Counsel (OLC), OLC clarified that section 112 does 
not compel the DOT from prohibiting recipients and subrecipients under 
the Federal-aid Highway Program from imposing contract requirements 
that do not directly relate to the performance of work. Rather, the OLC 
opinion states that the Secretary has discretion to permit such 
requirements as long as they do not ``unduly limit competition.'' (See 
Competitive Bidding Requirements Under the Federal-Aid Highway Program, 
23 U.S.C. 112, (Aug. 23, 2013)).
    In order to determine whether contracting requirements may be used 
consistent with the 2013 OLC opinion, the DOT has established a pilot 
program under which such geographic-based hiring requirements may be 
used on an experimental basis. This program, which is published in 
today's Federal Register, allows recipients and subrecipients of 
Federal Highway Administration and Federal Transit Administration funds 
to use such requirements pursuant to the experimental authorities of 
those agencies. For any such projects, the DOT will monitor and 
evaluate whether the contracting requirements approved for use under 
the pilot program have an undue restriction on competition.

Regulatory Analyses and Notices

Executive Order 12866 (Regulatory Planning and Review) and USDOT 
Regulatory Policies and Procedures

    The DOT has preliminarily determined that this action would not be 
a significant regulatory action within the meaning of Executive Order 
12866 and would not be significant within the meaning of DOT regulatory 
policies and procedures. It is anticipated that the economic impact of 
this rulemaking would be minimal. These proposed changes would not 
adversely affect, in a material way, any sector of the economy. In 
addition, these changes would not interfere with any action taken or 
planned by another agency and would not materially alter the budgetary 
impact of any entitlements, grants, user fees, or loan programs. 
Consequently, a full regulatory evaluation is not required.
    Allowing local geographic preferences in hiring, where none 
currently exist, may result in additional local hiring and in non-local 
workers not obtaining jobs they otherwise might get. To the extent this 
occurs this would be an economic transfer from non-local workers to 
local workers and not a cost.
    To the extent local labor markets are tight this could increase 
labor costs for the DOT-Grant funded projects if all hiring is local. 
Similarly, if local supply of labor in the skilled trades is low, 
productivity on DOT-Grant funded project could decrease and project 
costs could increase if all hiring is local. However, the proposed rule 
is not forcing local governments to hire locally; it is only saying 
that they may use geographic hiring preferences. They will only 
exercise this option if they feel it is net beneficial to their 
communities to do so.

Regulatory Flexibility Act

    In compliance with the Regulatory Flexibility Act (Pub. L. 96-354, 
5 U.S.C. 601-612), the DOT has evaluated the effects of this proposed 
action on small entities and has determined that the proposed action 
would not have a significant economic impact on a substantial number of 
small entities. This proposed action does not affect any funding 
distributed under any of the programs administered by the DOT. For 
these reasons, I hereby certify that this action would not have a 
significant economic impact on a substantial number of small entities.

Unfunded Mandates Reform Act of 1995

    This proposed rule would not impose unfunded mandates as defined by 
the Unfunded Mandates Reform Act of 1995 (Pub. L. 104-4, 109 Stat. 48). 
This proposed rule will not result in the expenditure by State, local, 
and tribal governments, in the aggregate, or by the private sector, of 
$128.1 million or more in any one year (2 U.S.C. 1532). Further, in 
compliance with the Unfunded Mandates Reform Act of 1995, the DOT will 
evaluate any regulatory action that might be proposed in subsequent 
stages of the proceeding to assess the effects on State, local, tribal 
governments and the private sector.

Executive Order 13132 (Federalism Assessment)

    This proposed action has been analyzed in accordance with the 
principles and criteria contained in Executive Order 13132, and the DOT 
has determined preliminarily that this proposed action would not have 
sufficient federalism implications to warrant the preparation of a 
federalism assessment. The DOT has also determined that this proposed 
action would not preempt any State law or State regulation or affect 
the States' ability to discharge traditional State governmental 
functions.

Executive Order 13211 (Energy Effects)

    We have analyzed this action under Executive Order 13211, Actions 
Concerning Regulations That Significantly Affect Energy Supply, 
Distribution, or Use, dated May 18, 2001. We have determined that it is 
not a significant energy action under that order since it is not likely 
to have a significant adverse effect on the supply, distribution, or 
use of energy. Therefore, a Statement of Energy Effects is not 
required.

Executive Order 12372 (Intergovernmental Review)

    Catalog of Federal Domestic Assistance Program Number 20.205, 
Highway Planning and Construction. The regulations implementing 
Executive Order 12372 regarding intergovernmental consultation on 
Federal programs and activities apply to this program. Accordingly, the 
DOT solicits comments on this issue.

Paperwork Reduction Act

    Under the Paperwork Reduction Act of 1995 (PRA) (44 U.S.C. 3501), 
Federal agencies must obtain approval from the Office of Management and 
Budget (OMB) for each collection of information they conduct, sponsor, 
or require through regulations. The DOT has determined that this 
proposal does not contain collection of information requirements for 
the purposes of the PRA.

Executive Order 12988 (Civil Justice Reform)

    This action meets applicable standards in sections 3(a) and 3(b)(2) 
of Executive Order 12988, Civil Justice Reform, to minimize litigation, 
eliminate ambiguity, and reduce burden.

Executive Order 13045 (Protection of Children)

    We have analyzed this rule under Executive Order 13045, Protection 
of Children from Environmental Health Risks and Safety Risks. The DOT 
certifies that this proposed action would not cause any environmental 
risk to health or safety that might disproportionately affect children.

Executive Order 12630 (Taking of Private Property)

    The DOT has analyzed this proposed rule under Executive Order 
12630, Governmental Actions and Interface with Constitutionally 
Protected Property Rights. The DOT does not anticipate that this 
proposed action would affect a taking of private property or otherwise 
have taking implications under Executive Order 12630.

[[Page 12094]]

National Environmental Policy Act

    The DOT has analyzed the environmental impacts of this proposed 
action pursuant to the National Environmental Policy Act of 1969 (NEPA) 
(42 U.S.C. 4321 et seq.) and has determined that it is categorically 
excluded pursuant to DOT Order 5610.1C, Procedures for Considering 
Environmental Impacts (44 FR 56420, Oct. 1, 1979). Categorical 
exclusions are actions identified in an agency's NEPA implementing 
procedures that do not normally have a significant impact on the 
environment and therefore do not require either an environmental 
assessment (EA) or environmental impact statement (EIS). See 40 CFR 
1508.4. In analyzing the applicability of a categorical exclusion, the 
agency must also consider whether extraordinary circumstances are 
present that would warrant the preparation of an EA or EIS. Id. 
Paragraph 3.c.5 of DOT Order 5610.1C incorporates by reference the 
categorical exclusions for all DOT Operating Administrations. This 
action is covered by the categorical exclusion listed in the Federal 
Highway Administration's implementing procedures, ``[p]romulgation of 
rules, regulations, and directives.'' 23 CFR 771.117(c)(20). The 
purpose of this rulemaking is to permit recipients and subrecipients to 
impose geographic-based hiring preferences whenever not otherwise 
prohibited by Federal statute. The agency does not anticipate any 
environmental impacts, and there are no extraordinary circumstances 
present in connection with this rulemaking.

Regulation Identifier Number

    A regulation identifier number (RIN) is assigned to each regulatory 
action listed in the Unified Agenda of Federal Regulations. The 
Regulatory Information Service Center publishes the Unified Agenda in 
April and October of each year. The RIN contained in the heading of 
this document can be used to cross reference this action with the 
Unified Agenda.

List of Subjects in 2 CFR Part 1201

    Uniform administrative requirements, Cost principles, and audit 
requirements for Federal awards.

    Issued in Washington, DC, on February 24, 2015.
Anthony R. Foxx,
Secretary of Transportation.

    For the reasons set forth in the preamble, part 1201 of title 2 of 
the Code of Federal Regulations is proposed to be amended as follows:

PART 1201--UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES, 
AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS

0
1. The authority citation for part 1201 continues to read:

    Authority: 49 U.S.C. 322.

0
2. Add Sec.  1201.319 to read as follows:


Sec.  1201.319  Competition.

    Notwithstanding 2 CFR 200.319, non-Federal entities may utilize 
geographic hiring preferences (including local hiring preferences) 
pertaining to the use of labor on a project consistent with such non-
Federal entities' policies and procedures, when not otherwise 
prohibited by Federal statute or regulation.

[FR Doc. 2015-05215 Filed 3-5-15; 8:45 am]
BILLING CODE 4910-9X-P



                                                 12092

                                                 Proposed Rules                                                                                                Federal Register
                                                                                                                                                               Vol. 80, No. 44

                                                                                                                                                               Friday, March 6, 2015



                                                 This section of the FEDERAL REGISTER                    will be posted without change to                      Transportation investments and policies
                                                 contains notices to the public of the proposed          http://www.regulations.gov, including                 can improve access to jobs, education,
                                                 issuance of rules and regulations. The                  any personal information provided.                    and goods movement, while providing
                                                 purpose of these notices is to give interested                                                                construction and operations jobs. As
                                                                                                         FOR FURTHER INFORMATION CONTACT:
                                                 persons an opportunity to participate in the                                                                  such, the DOT believes that local and
                                                 rule making prior to the adoption of the final
                                                                                                         Michael Harkins, Deputy Assistant
                                                                                                         General Counsel for General Law (OST–                 other geographic-based hiring
                                                 rules.
                                                                                                         C10), Office of the Secretary,                        preferences are essential to promoting
                                                                                                         Department of Transportation, 1200                    Ladders of Opportunity for the workers
                                                 DEPARTMENT OF TRANSPORTATION                            New Jersey Avenue SE., Room W83–                      in these communities by ensuring that
                                                                                                         312, Washington, DC 20590, 202–366–                   they participate in, and benefit from, the
                                                 Office of the Secretary                                 0590.                                                 economic opportunities such projects
                                                                                                                                                               present.
                                                                                                         SUPPLEMENTARY INFORMATION: On
                                                 2 CFR Part 1201                                                                                                  Additionally, Section 418 of the
                                                                                                         December 26, 2014, the DOT’s
                                                                                                                                                               Consolidated and Further Continuing
                                                 [Docket DOT–OST–2015–0013]                              regulations at 2 CFR part 1201 became
                                                                                                                                                               Appropriations Act, 2015, Public Law
                                                                                                         effective, which adopted the Office of
                                                 RIN 2105–AE38                                                                                                 113–235 (FY 2015 Appropriations Act),
                                                                                                         Management and Budget’s (OMB)
                                                                                                                                                               prohibits the Federal Transit
                                                 Geographic-Based Hiring Preferences                     revised Government-wide Uniform
                                                                                                                                                               Administration from using fiscal year
                                                 in Administering Federal Awards                         Administrative Requirements, Cost
                                                                                                                                                               (FY) 2015 funds to implement,
                                                                                                         Principles, and Audit Requirements for
                                                                                                                                                               administer, or enforce 49 CFR
                                                 AGENCY: Office of the Secretary (OST);                  Federal awards to non-Federal entities
                                                                                                                                                               18.36(c)(2), for construction hiring.
                                                 U.S. Department of Transportation                       at 2 CFR part 200 (Common Rule).
                                                                                                                                                               Section 18.36(c)(2) prohibits the use of
                                                 (DOT).                                                  These requirements at 2 CFR 200.319(b)
                                                                                                                                                               statutorily or administratively imposed
                                                 ACTION: Notice of proposed rulemaking.                  prohibit the use of in-state or local
                                                                                                                                                               in-State or local geographical
                                                                                                         geographic preferences in the evaluation
                                                 SUMMARY:    The DOT proposes to amend                                                                         preferences in the evaluation of bids or
                                                                                                         of bids or proposals except where
                                                 its regulations implementing the                                                                              proposals.2 Thus, at least for FTA-
                                                                                                         Federal statute mandates or encourages
                                                 Government-wide Uniform                                                                                       funded project in FY 2015, Congress has
                                                                                                         the use of such preferences.1 This
                                                 Administrative Requirements, Cost                                                                             diminished the legal effectiveness of
                                                                                                         prohibition extends to the use of
                                                 Principles, and Audit Requirements for                                                                        this provision.
                                                                                                         geographic hiring preferences in                         Therefore, the DOT is proposing to
                                                 Federal Awards to permit recipients and                 contracts that are awarded by recipients
                                                 subrecipients to impose geographic-                                                                           amend Part 1201 by promulgating a
                                                                                                         and subrecipients with Federal financial              provision to deviate from the OMB
                                                 based hiring preferences whenever not                   assistance since such preferences could               guidance by making clear that
                                                 otherwise prohibited by Federal statute.                result in a competitive advantage for                 geographic hiring preferences may be
                                                 DATES: Comments must be received on                     contractors based in the targeted hiring              used in DOT grant programs. With this
                                                 or before April 6, 2015. Late-filed                     area. This provision in the OMB                       deviation, local communities will be in
                                                 comments will be considered to the                      Common Rule is not new and was found                  a better position to leverage Federal and
                                                 extent practicable, but the DOT may                     in the DOT’s implementation of the                    State and local funds into local jobs and
                                                 issue a final rule at any time after the                prior version of OMB’s Common Rule                    economic growth. However, this
                                                 close of the comment period.                            (49 CFR 18.36(c)(2) (2014)).                          deviation would only apply to the
                                                 ADDRESSES: To ensure that you do not                       Many recipients and subrecipients at
                                                                                                                                                               extent that such geographic hiring
                                                 duplicate your docket submissions,                      the local governmental level have local
                                                                                                                                                               preferences are not otherwise prohibited
                                                 please submit them by only one of the                   hiring provisions that they otherwise
                                                                                                                                                               by Federal statute or regulation. For
                                                 following means:                                        apply to procurements that do not
                                                                                                                                                               example, the Federal statutory provision
                                                    • Federal eRulemaking Portal: Go to                  involve Federal funding. Such
                                                                                                                                                               at 23 U.S.C. 112 requires full and open
                                                 http://www.regulations.gov and follow                   provisions are intended to ensure that
                                                                                                                                                               competition in the award of contracts
                                                 the online instructions for submitting                  the communities in which the projects
                                                                                                                                                               under the Federal-aid highway program.
                                                 comments.                                               are located benefit from the jobs that
                                                                                                                                                               The Federal Highway Administration
                                                    • Mail: Docket Management Facility,                  result from their investment of their
                                                                                                                                                               has traditionally interpreted this
                                                 U.S. Department of Transportation, 1200                 funds, particularly for workers in low
                                                                                                                                                               provision as prohibiting the use of
                                                 New Jersey Ave. SE., W12–140,                           income areas. Transportation plays a
                                                                                                                                                               geographic hiring preferences and
                                                 Washington, DC 20590–0001.                              critical role in connecting Americans
                                                                                                                                                               reinforced this interpretation in 23 CFR
                                                    • Hand Delivery: West Building                       and communities to economic
                                                                                                                                                               635.117(b). Under a 2013 Opinion from
                                                 Ground Floor, Room W12–140, 1200                        opportunity. The choices that are made
                                                 New Jersey Ave. SE., between 9 a.m.                     regarding transportation infrastructure                  2 Effective December 26, 2014, 49 CFR part 18
rmajette on DSK2TPTVN1PROD with PROPOSALS




                                                 and 5 p.m., Monday through Friday,                      can strengthen communities, create                    will apply only to grants obligated on or before
                                                 except Federal holidays. The telephone                  pathways to jobs and improve the                      December 25, 2014. Grants obligated on or after
                                                                                                         quality of life for all Americans.                    December 26, 2014 will be subject to 2 CFR part
                                                 number is (202) 366–9329.                                                                                     200. This provision (18.36(c)(2)) has been recodified
                                                    • Instructions: You must include the                                                                       at 2 CFR 200.319(b) and is substantively the same
                                                                                                           1 For example, 23 U.S.C. 140(d) authorizes the
                                                 agency name and docket number or the                                                                          as 18.36(c)(2). Although Congress did not address
                                                                                                         preferential employment of Indians living on or       the change in codification in section 418, FTA
                                                 Regulatory Identification Number (RIN)                  near a reservation on projects and contracts on       intends to apply section 418 to grants obligated on
                                                 for the rulemaking at the beginning of                  Indian reservations roads under the Federal-aid       or after December 26, 2014 and subject to 2 CFR
                                                 your comments. All comments received                    Highway Program.                                      200.319(b).



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                                                                           Federal Register / Vol. 80, No. 44 / Friday, March 6, 2015 / Proposed Rules                                           12093

                                                 the Office of Legal Counsel (OLC), OLC                  the DOT-Grant funded projects if all                  Concerning Regulations That
                                                 clarified that section 112 does not                     hiring is local. Similarly, if local supply           Significantly Affect Energy Supply,
                                                 compel the DOT from prohibiting                         of labor in the skilled trades is low,                Distribution, or Use, dated May 18,
                                                 recipients and subrecipients under the                  productivity on DOT-Grant funded                      2001. We have determined that it is not
                                                 Federal-aid Highway Program from                        project could decrease and project costs              a significant energy action under that
                                                 imposing contract requirements that do                  could increase if all hiring is local.                order since it is not likely to have a
                                                 not directly relate to the performance of               However, the proposed rule is not                     significant adverse effect on the supply,
                                                 work. Rather, the OLC opinion states                    forcing local governments to hire                     distribution, or use of energy. Therefore,
                                                 that the Secretary has discretion to                    locally; it is only saying that they may              a Statement of Energy Effects is not
                                                 permit such requirements as long as                     use geographic hiring preferences. They               required.
                                                 they do not ‘‘unduly limit competition.’’               will only exercise this option if they feel
                                                                                                                                                               Executive Order 12372
                                                 (See Competitive Bidding Requirements                   it is net beneficial to their communities
                                                                                                                                                               (Intergovernmental Review)
                                                 Under the Federal-Aid Highway                           to do so.
                                                 Program, 23 U.S.C. 112, (Aug. 23,                                                                               Catalog of Federal Domestic
                                                                                                         Regulatory Flexibility Act
                                                 2013)).                                                                                                       Assistance Program Number 20.205,
                                                   In order to determine whether                            In compliance with the Regulatory                  Highway Planning and Construction.
                                                 contracting requirements may be used                    Flexibility Act (Pub. L. 96–354, 5 U.S.C.             The regulations implementing Executive
                                                 consistent with the 2013 OLC opinion,                   601–612), the DOT has evaluated the                   Order 12372 regarding
                                                 the DOT has established a pilot program                 effects of this proposed action on small              intergovernmental consultation on
                                                 under which such geographic-based                       entities and has determined that the                  Federal programs and activities apply to
                                                 hiring requirements may be used on an                   proposed action would not have a                      this program. Accordingly, the DOT
                                                 experimental basis. This program,                       significant economic impact on a                      solicits comments on this issue.
                                                 which is published in today’s Federal                   substantial number of small entities.
                                                 Register, allows recipients and                         This proposed action does not affect any              Paperwork Reduction Act
                                                 subrecipients of Federal Highway                        funding distributed under any of the
                                                                                                         programs administered by the DOT. For                   Under the Paperwork Reduction Act
                                                 Administration and Federal Transit
                                                                                                         these reasons, I hereby certify that this             of 1995 (PRA) (44 U.S.C. 3501), Federal
                                                 Administration funds to use such
                                                                                                         action would not have a significant                   agencies must obtain approval from the
                                                 requirements pursuant to the
                                                                                                         economic impact on a substantial                      Office of Management and Budget
                                                 experimental authorities of those
                                                                                                         number of small entities.                             (OMB) for each collection of
                                                 agencies. For any such projects, the
                                                                                                                                                               information they conduct, sponsor, or
                                                 DOT will monitor and evaluate whether                   Unfunded Mandates Reform Act of 1995                  require through regulations. The DOT
                                                 the contracting requirements approved
                                                                                                           This proposed rule would not impose                 has determined that this proposal does
                                                 for use under the pilot program have an
                                                                                                         unfunded mandates as defined by the                   not contain collection of information
                                                 undue restriction on competition.
                                                                                                         Unfunded Mandates Reform Act of 1995                  requirements for the purposes of the
                                                 Regulatory Analyses and Notices                         (Pub. L. 104–4, 109 Stat. 48). This                   PRA.
                                                 Executive Order 12866 (Regulatory                       proposed rule will not result in the                  Executive Order 12988 (Civil Justice
                                                 Planning and Review) and USDOT                          expenditure by State, local, and tribal               Reform)
                                                 Regulatory Policies and Procedures                      governments, in the aggregate, or by the
                                                                                                         private sector, of $128.1 million or more                This action meets applicable
                                                    The DOT has preliminarily                            in any one year (2 U.S.C. 1532). Further,             standards in sections 3(a) and 3(b)(2) of
                                                 determined that this action would not                   in compliance with the Unfunded                       Executive Order 12988, Civil Justice
                                                 be a significant regulatory action within               Mandates Reform Act of 1995, the DOT                  Reform, to minimize litigation,
                                                 the meaning of Executive Order 12866                    will evaluate any regulatory action that              eliminate ambiguity, and reduce
                                                 and would not be significant within the                 might be proposed in subsequent stages                burden.
                                                 meaning of DOT regulatory policies and                  of the proceeding to assess the effects on
                                                 procedures. It is anticipated that the                  State, local, tribal governments and the              Executive Order 13045 (Protection of
                                                 economic impact of this rulemaking                      private sector.                                       Children)
                                                 would be minimal. These proposed
                                                 changes would not adversely affect, in                  Executive Order 13132 (Federalism                       We have analyzed this rule under
                                                 a material way, any sector of the                       Assessment)                                           Executive Order 13045, Protection of
                                                 economy. In addition, these changes                       This proposed action has been                       Children from Environmental Health
                                                 would not interfere with any action                     analyzed in accordance with the                       Risks and Safety Risks. The DOT
                                                 taken or planned by another agency and                  principles and criteria contained in                  certifies that this proposed action would
                                                 would not materially alter the budgetary                Executive Order 13132, and the DOT                    not cause any environmental risk to
                                                 impact of any entitlements, grants, user                has determined preliminarily that this                health or safety that might
                                                 fees, or loan programs. Consequently, a                 proposed action would not have                        disproportionately affect children.
                                                 full regulatory evaluation is not                       sufficient federalism implications to                 Executive Order 12630 (Taking of
                                                 required.                                               warrant the preparation of a federalism               Private Property)
                                                    Allowing local geographic preferences                assessment. The DOT has also
                                                 in hiring, where none currently exist,                  determined that this proposed action                    The DOT has analyzed this proposed
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                                                 may result in additional local hiring and               would not preempt any State law or                    rule under Executive Order 12630,
                                                 in non-local workers not obtaining jobs                 State regulation or affect the States’                Governmental Actions and Interface
                                                 they otherwise might get. To the extent                 ability to discharge traditional State                with Constitutionally Protected Property
                                                 this occurs this would be an economic                   governmental functions.                               Rights. The DOT does not anticipate
                                                 transfer from non-local workers to local                                                                      that this proposed action would affect a
                                                 workers and not a cost.                                 Executive Order 13211 (Energy Effects)                taking of private property or otherwise
                                                    To the extent local labor markets are                  We have analyzed this action under                  have taking implications under
                                                 tight this could increase labor costs for               Executive Order 13211, Actions                        Executive Order 12630.


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                                                 12094                     Federal Register / Vol. 80, No. 44 / Friday, March 6, 2015 / Proposed Rules

                                                 National Environmental Policy Act                       PART 1201—UNIFORM                                       • Federal eRulemaking Portal: Go to
                                                                                                         ADMINISTRATIVE REQUIREMENTS,                          http://www.regulations.gov. Follow the
                                                    The DOT has analyzed the                             COST PRINCIPLES, AND AUDIT                            instructions for submitting comments.
                                                 environmental impacts of this proposed                  REQUIREMENTS FOR FEDERAL                                • Fax: 202–493–2251.
                                                 action pursuant to the National                         AWARDS                                                  • Mail: U.S. Department of
                                                 Environmental Policy Act of 1969                                                                              Transportation, Docket Operations, M–
                                                 (NEPA) (42 U.S.C. 4321 et seq.) and has                 ■ 1. The authority citation for part 1201             30, West Building Ground Floor, Room
                                                 determined that it is categorically                     continues to read:                                    W12–140, 1200 New Jersey Avenue SE.,
                                                 excluded pursuant to DOT Order                                                                                Washington, DC 20590.
                                                                                                             Authority: 49 U.S.C. 322.
                                                 5610.1C, Procedures for Considering                                                                             • Hand Delivery: U.S. Department of
                                                 Environmental Impacts (44 FR 56420,                     ■   2. Add § 1201.319 to read as follows:             Transportation, Docket Operations, M–
                                                 Oct. 1, 1979). Categorical exclusions are                                                                     30, West Building Ground Floor, Room
                                                                                                         § 1201.319    Competition.
                                                 actions identified in an agency’s NEPA                                                                        W12–140, 1200 New Jersey Avenue SE.,
                                                 implementing procedures that do not                       Notwithstanding 2 CFR 200.319, non-
                                                                                                         Federal entities may utilize geographic               Washington, DC, between 9 a.m. and 5
                                                 normally have a significant impact on                                                                         p.m., Monday through Friday, except
                                                 the environment and therefore do not                    hiring preferences (including local
                                                                                                         hiring preferences) pertaining to the use             Federal holidays.
                                                 require either an environmental                                                                                 For service information identified in
                                                 assessment (EA) or environmental                        of labor on a project consistent with
                                                                                                         such non-Federal entities’ policies and               this proposed AD, contact Airbus,
                                                 impact statement (EIS). See 40 CFR                                                                            Airworthiness Office—EIAS, 1 Rond
                                                 1508.4. In analyzing the applicability of               procedures, when not otherwise
                                                                                                         prohibited by Federal statute or                      Point Maurice Bellonte, 31707 Blagnac
                                                 a categorical exclusion, the agency must                                                                      Cedex, France; telephone +33 5 61 93 36
                                                 also consider whether extraordinary                     regulation.
                                                                                                                                                               96; fax +33 5 61 93 44 51; email
                                                 circumstances are present that would                    [FR Doc. 2015–05215 Filed 3–5–15; 8:45 am]
                                                                                                                                                               account.airworth-eas@airbus.com;
                                                 warrant the preparation of an EA or EIS.                BILLING CODE 4910–9X–P                                Internet http://www.airbus.com. You
                                                 Id. Paragraph 3.c.5 of DOT Order                                                                              may view this referenced service
                                                 5610.1C incorporates by reference the                                                                         information at the FAA, Transport
                                                 categorical exclusions for all DOT                      DEPARTMENT OF TRANSPORTATION
                                                                                                                                                               Airplane Directorate, 1601 Lind Avenue
                                                 Operating Administrations. This action                                                                        SW., Renton, WA. For information on
                                                 is covered by the categorical exclusion                 Federal Aviation Administration
                                                                                                                                                               the availability of this material at the
                                                 listed in the Federal Highway                                                                                 FAA, call 425–227–1221.
                                                 Administration’s implementing                           14 CFR Part 39
                                                 procedures, ‘‘[p]romulgation of rules,                                                                        Examining the AD Docket
                                                 regulations, and directives.’’ 23 CFR                   [Docket No. FAA–2015–0250; Directorate
                                                                                                                                                                  You may examine the AD docket on
                                                 771.117(c)(20). The purpose of this                     Identifier 2014–NM–216–AD]
                                                                                                                                                               the Internet at http://
                                                 rulemaking is to permit recipients and                                                                        www.regulations.gov by searching for
                                                 subrecipients to impose geographic-                     RIN 2120–AA64
                                                                                                                                                               and locating Docket No. FAA–2015–
                                                 based hiring preferences whenever not                                                                         0250; or in person at the Docket
                                                 otherwise prohibited by Federal statute.                Airworthiness Directives; Airbus
                                                                                                         Airplanes                                             Management Facility between 9 a.m.
                                                 The agency does not anticipate any                                                                            and 5 p.m., Monday through Friday,
                                                 environmental impacts, and there are no                 AGENCY: Federal Aviation                              except Federal holidays. The AD docket
                                                 extraordinary circumstances present in                  Administration (FAA), DOT.                            contains this proposed AD, the
                                                 connection with this rulemaking.                        ACTION: Notice of proposed rulemaking                 regulatory evaluation, any comments
                                                 Regulation Identifier Number                            (NPRM).                                               received, and other information. The
                                                                                                                                                               street address for the Docket Operations
                                                    A regulation identifier number (RIN)                 SUMMARY:   We propose to adopt a new                  office (telephone 800–647–5527) is in
                                                 is assigned to each regulatory action                   airworthiness directive (AD) for all                  the ADDRESSES section. Comments will
                                                 listed in the Unified Agenda of Federal                 Airbus Model A318, A319, A320, and                    be available in the AD docket shortly
                                                 Regulations. The Regulatory Information                 A321 series airplanes. This proposed                  after receipt.
                                                 Service Center publishes the Unified                    AD was prompted by reports of airspeed                FOR FURTHER INFORMATION CONTACT:
                                                 Agenda in April and October of each                     indication discrepancies while flying at              Sanjay Ralhan, Aerospace Engineer,
                                                 year. The RIN contained in the heading                  high altitudes in inclement weather.                  International Branch, ANM–116,
                                                 of this document can be used to cross                   This proposed AD would require                        Transport Airplane Directorate, FAA,
                                                 reference this action with the Unified                  replacing certain pitot probes on the                 1601 Lind Avenue SW., Renton, WA
                                                 Agenda.                                                 captain, first officer, and standby sides             98057–3356; telephone 425–227–1405;
                                                                                                         with certain new pitot probes. We are                 fax 425–227–1149.
                                                 List of Subjects in 2 CFR Part 1201                     proposing this AD to prevent airspeed
                                                                                                                                                               SUPPLEMENTARY INFORMATION:
                                                   Uniform administrative requirements,                  indication discrepancies during
                                                 Cost principles, and audit requirements                 inclement weather, which, depending                   Comments Invited
                                                 for Federal awards.                                     on the prevailing altitude, could lead to               We invite you to send any written
                                                                                                         unknown accumulation of ice crystals                  relevant data, views, or arguments about
                                                   Issued in Washington, DC, on February 24,             and consequent reduced controllability
rmajette on DSK2TPTVN1PROD with PROPOSALS




                                                 2015.                                                                                                         this proposed AD. Send your comments
                                                                                                         of the airplane.                                      to an address listed under the
                                                 Anthony R. Foxx,
                                                                                                         DATES: We must receive comments on                    ADDRESSES section. Include ‘‘Docket No.
                                                 Secretary of Transportation.
                                                                                                         this proposed AD by April 20, 2015.                   FAA–2015–0250; Directorate Identifier
                                                   For the reasons set forth in the                      ADDRESSES: You may send comments,                     2014–NM–216–AD’’ at the beginning of
                                                 preamble, part 1201 of title 2 of the                   using the procedures found in 14 CFR                  your comments. We specifically invite
                                                 Code of Federal Regulations is proposed                 11.43 and 11.45, by any of the following              comments on the overall regulatory,
                                                 to be amended as follows:                               methods:                                              economic, environmental, and energy


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Document Created: 2018-02-21 09:33:28
Document Modified: 2018-02-21 09:33:28
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionNotice of proposed rulemaking.
DatesComments must be received on or before April 6, 2015. Late-filed comments will be considered to the extent practicable, but the DOT may issue a final rule at any time after the close of the comment period.
ContactMichael Harkins, Deputy Assistant General Counsel for General Law (OST-C10), Office of the Secretary, Department of Transportation, 1200 New Jersey Avenue SE., Room W83-312, Washington, DC 20590, 202-366-0590.
FR Citation80 FR 12092 
RIN Number2105-AE38
CFR AssociatedUniform Administrative Requirements; Cost Principles and Audit Requirements for Federal Awards

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