81_FR_5390 81 FR 5369 - Commission Participation and Commission Employee Involvement in Voluntary Standards Activities

81 FR 5369 - Commission Participation and Commission Employee Involvement in Voluntary Standards Activities

CONSUMER PRODUCT SAFETY COMMISSION

Federal Register Volume 81, Issue 21 (February 2, 2016)

Page Range5369-5378
FR Document2016-01778

The United States Consumer Product Safety Commission (``Commission'' or ``CPSC'') is issuing this final rule to amend the existing regulation on Commission participation and employee involvement in voluntary standards activities. Currently, Commission rules allow employees to participate in voluntary standard development groups on a non-voting basis and do not allow Commission employees to accept leadership positions in voluntary standard development groups. This final rule removes these restrictions and allows Commission employees to participate as voting members and to accept leadership positions in voluntary standard development groups, subject to prior approval by CPSC's Office of the Executive Director (``OEX'').

Federal Register, Volume 81 Issue 21 (Tuesday, February 2, 2016)
[Federal Register Volume 81, Number 21 (Tuesday, February 2, 2016)]
[Rules and Regulations]
[Pages 5369-5378]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-01778]


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CONSUMER PRODUCT SAFETY COMMISSION

16 CFR Part 1031

[CPSC Docket No. CPSC-2013-0034]


Commission Participation and Commission Employee Involvement in 
Voluntary Standards Activities

AGENCY: Consumer Product Safety Commission.

ACTION: Final rule.

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SUMMARY: The United States Consumer Product Safety Commission 
(``Commission'' or ``CPSC'') is issuing this final rule to amend the 
existing regulation on Commission participation and employee 
involvement in voluntary standards activities. Currently, Commission 
rules allow employees to participate in voluntary standard development 
groups on a non-voting basis and do not allow Commission employees to 
accept leadership positions in voluntary standard development groups. 
This final rule removes these restrictions and allows Commission 
employees to participate as voting members and to accept leadership 
positions in voluntary standard development groups, subject to prior 
approval by CPSC's Office of the Executive Director (``OEX'').

DATES: The final rule will become effective on March 3, 2016.

[[Page 5370]]


FOR FURTHER INFORMATION CONTACT: Patricia K. Adair, Supervisory Program 
Analyst, Office of Hazard Identification and Reduction, Consumer 
Product Safety Commission, 4330 East West Highway, Bethesda, MD 20814; 
telephone: 301-504-7335; [email protected].

SUPPLEMENTARY INFORMATION:

I. Introduction

    Many consumer products under the Commission's jurisdiction are 
covered by voluntary standards. Voluntary standards provide safety 
provisions addressing potential hazards associated with consumer 
products found in locations such as homes, schools, and recreational 
areas. Developing voluntary standards may involve multiple revisions to 
a standard within 1 year, or over multiple years. Voluntary standards 
development activities for consumer products within the Commission's 
jurisdiction are handled primarily by three standards development/
coordinating organizations: ASTM International (previously called the 
American Society for Testing and Materials), the American National 
Standards Institute (``ANSI''), and Underwriters Laboratories Inc. 
(``UL''). Along with industry, consumer groups, and product safety 
experts, CPSC staff works with these and other organizations to 
coordinate the development of voluntary standards.
    Currently, CPSC staff provides technical support to organizations 
that coordinate the development of voluntary standards. According to 
the CPSC's Voluntary Standards Activities FY 2014 Annual Report, CPSC 
staff provided technical support or monitored voluntary standards 
activities for 83 products in FY 2014. Staff participates in the 
voluntary standards development process by providing expert advice, 
technical assistance, and information, based on analyses of the numbers 
and causes of deaths, injuries, or incidents associated with a product. 
Staff may also conduct CPSC research, perform laboratory tests, and 
provide draft language for a voluntary standard.
    The Commission's involvement and staff's participation in voluntary 
standards activities are governed by the Commission's rule at 16 CFR 
part 1031, Commission Participation and Commission Employee Involvement 
in Voluntary Standards Activities (``part 1031''). Part 1031 prohibits 
CPSC staff from voting and precludes staff from holding leadership 
positions in voluntary standards development groups. This final rule 
amends part 1031 to eliminate these prohibitions and allows CPSC staff 
to vote and hold leadership positions on an optional basis, provided 
that such activities have the prior approval of the CPSC's OEX.

A. Statutory and Regulatory Background

    The Consumer Product Safety Act (``CPSA'') gives the Commission 
authority to promulgate mandatory safety standards for consumer 
products. 15 U.S.C. 2056(a)(1)(A). The Commission issued regulations in 
1978, describing the extent and form of Commission involvement in the 
development of voluntary standards (43 FR 19216 (May 4, 1978)). 
Acknowledging the contribution that voluntary standards had made to 
reducing hazards associated with consumer products, the Commission 
stated its support for an effective voluntary standards program, 
finding that a proper combination of voluntary and mandatory standards 
can increase product safety better than either mandatory or voluntary 
activities alone.
    In 1981, Congress amended the CPSA, the Federal Hazardous 
Substances Act (``FHSA''), and the Flammable Fabrics Act (``FFA''), to, 
among other things, mandate that the Commission give preference to 
voluntary standards, as opposed to promulgating mandatory standards, if 
the Commission determines that a voluntary standard would eliminate or 
adequately reduce an unreasonable risk of injury and there will likely 
be substantial compliance with the voluntary standard. 15 U.S.C. 
2056(b), 15 U.S.C. 1262(g)(2), 15 U.S.C. 1193(h)(2). In 1989, the 
Commission adopted regulations to reflect the policies set forth by the 
1981 amendments, making several changes in the agency's policies on 
employee participation in voluntary standards development activities. 
The 1989 amendments also combined parts 1031 (on employee membership 
and participation) and 1032 (on Commission involvement) into a revised 
part 1031, titled, Commission Participation and Commission Employee 
Involvement in Voluntary Standards Activities. 54 FR 6646 (Feb. 14, 
1989).
    In 2006, the Commission amended several provisions of part 1031. 71 
FR 38754 (July 10, 2006). Among other things, the 2006 amendments 
provided that Commission employees only participate in voluntary 
standards efforts consistent with the Commission's priorities 
identified in the Commission's operating plan, performance budget, mid-
year review, or other official Commission document. In addition, the 
Commission added a requirement that employees with ongoing 
participation in voluntary standards activities report regularly to the 
Voluntary Standards Coordinator, to help ensure ongoing oversight and 
coordination. Lastly, the 2006 amendments added a requirement that the 
CPSC provide notice and the opportunity for the public to comment on 
staff's positions on voluntary standards activities.

B. Recent Statutory Changes Involving Voluntary Standards

    In the past, CPSC staff typically served on voluntary standards 
committees based on the Commission's priorities. Staff participated 
without any expectation that such voluntary standards would necessarily 
form the basis of a mandatory standard. The Consumer Product Safety 
Improvement Act of 2008 (``CPSIA''), however, gave rise to the 
expectation that, for certain children's products, voluntary standards 
would form the basis for mandatory standards development. For example, 
section 104(b) of the CPSIA requires the Commission to promulgate 
consumer product safety standards for durable infant or toddler 
products. These standards are to be ``substantially the same as'' 
applicable voluntary standards or more stringent than the voluntary 
standard, if the Commission determines that more stringent requirements 
would further reduce the risk of injury associated with the product.
    Congress also has addressed participation by federal agencies in 
voluntary standards development. Public Law 104-113 directed federal 
agencies to ``use technical standards that are developed or adopted by 
voluntary consensus standards bodies'' and to ``participate with such 
bodies in the development of technical standards.'' Public Law 104-113, 
12(d)(1) & (2), 110 Stat. 775, 783 (1996), 15 U.S.C. 272 note. Congress 
anticipated that federal agencies would ``work closely'' with voluntary 
standards organizations, that these organizations would ``include 
active government participation,'' and that agencies would ``work with 
these voluntary consensus bodies, whenever and wherever appropriate.'' 
H.R. Rep. 104-390 at 15, 25 (1995). See also 141 Cong. Rec. H14334 
(daily ed. December 12, 1995) (Statement of Rep. Morella).

C. GAO Report

    On May 16, 2012, the U.S. Government Accountability Office 
(``GAO'') issued a report titled, ``Consumer Product Safety Commission: 
A More Active Role in Voluntary Standards Development Should Be 
Considered'' (``GAO Report'') (available at: http://www.gao.gov/assets/600/590990.pdf). The GAO Report

[[Page 5371]]

recommended that the Commission review its policy for staff 
participation in voluntary standards development activities and 
determine the feasibility of agency staff assuming a more active, 
engaged role in developing voluntary standards. Specifically, the GAO 
Report recommended that CPSC staff be allowed to vote on balloted 
provisions of voluntary standards and to hold leadership positions at 
various levels of standards development organizations, including task 
groups, subcommittees, or committees. GAO concluded that changing the 
CPSC's regulations to allow staff to participate more actively in 
voluntary standards activities, especially when working with technical 
committees for which CPSC staff can provide expertise, and permitting 
CPSC staff to vote on voluntary standards, could result in stronger 
voluntary standards, without compromising the CPSC's independence.

D. Notice of Proposed Rulemaking

    In response to the GAO Report recommendations, the Commission 
issued a proposed rule (``NPR'') to remove the prohibitions on CPSC 
staff participating as voting members and accepting leadership 
positions in voluntary standard development groups. 78 FR 57818 (Sept. 
20, 2013). The NPR proposed that CPSC staff participation in such 
activities would receive prior approval by OEX. The preamble to the NPR 
stated that when approving staff's participation in such activities, 
OEX should consider the policy concerns set forth in 16 CFR 1031.9 
(appearance of preferential treatment, loss of impartiality, compromise 
of the agency's independence, and a real or apparent conflict of 
interest) and balance these concerns against Commission priorities, 
available resources, the need for greater staff involvement, and the 
efficiency of the voluntary standards process. 78 FR at 57820. The NPR 
stated that OEX would evaluate each request for staff to participate as 
a voting member or to accept a leadership position on a case-by-case 
basis. Additionally, the preamble to the NPR stated that OEX would 
authorize staff to vote on actions for a specified voluntary standard 
but would not be approving each individual vote. Id.

E. Rationale for the Rule

    The Commission is finalizing the proposed rule without any changes. 
As discussed in the preamble to the NPR, the Commission believes that 
permitting CPSC staff the option to vote on a voluntary standard and/or 
accept a leadership position in a voluntary standard development group 
may result in a more effective voluntary standards process and 
accelerate standards development and implementation, without 
compromising the CPSC's independence. Such participation could gain 
CPSC staff additional access to and familiarity with the latest 
technologies, and will provide an opportunity for staff to help 
establish standards that will advance CPSC's safety goals. In addition, 
``full'' federal government participation in standards development 
increases the likelihood that the standards can meet both public and 
private sector needs. 141 Cong. Rec. H14334 (daily ed. December 12, 
1995) (Statement of Rep. Morella).
    Additionally, optional staff participation in voluntary standard 
development groups by voting and taking leadership roles is consistent 
with the guidance in OMB Circular A-119 Revised, ``Federal 
Participation in the Development and Use of Voluntary Consensus 
Standards and in Conformity Assessment Activities'' (February 10, 
1998). Among other things, OMB Circular A-119 encourages agency 
representatives serving as members of voluntary consensus standards 
bodies to ``participate actively and on an equal basis with other 
members,'' and to ``vote . . . at each stage of the standards 
development process unless prohibited from doing so by law of their 
agencies.''
    When participating as a voting member of, or in a leadership 
position on, a voluntary standard development group, the Commission 
directs CPSC staff to indicate clearly that any views expressed in 
connection with such participation represent CPSC staff's position and 
may not necessarily represent the Commission's position. Making such a 
disclaimer is consistent with current staff practice regarding 
representations in oral and written presentations and staff documents 
intended for public release. In these contexts, CPSC staff's views 
cannot serve as a proxy for the Commission's or the agency's views on 
any particular issue, as stated in the final rule at Sec.  1031.11(c). 
Similarly, CPSC staff serving in leadership positions on a voluntary 
standard development group will act in their capacity as CPSC staff 
members, and their views will not necessarily represent the views of 
the Commission. In particular, the Commission warns that CPSC staff 
participation in a voluntary standard development group, even in a 
leadership position, does not provide any assurance that the Commission 
will support the resulting voluntary standard.
    Removing prohibitions on employees voting and serving in leadership 
positions should not result in the Commission compromising the policy 
concerns set forth in Sec.  1031.9. Generally, before any substantive 
issue is balloted on a voluntary standards committee, the committee is 
given the opportunity to discuss the proposals in detail. Currently, 
Commission staff engages in these discussions, such that the technical 
opinions of staff are known before a proposed change in a voluntary 
standard is balloted. Accordingly, CPSC staff's ability to vote on such 
ballots should not fundamentally alter current procedures in a manner 
that impinges on the Commission's independence. Rather, staff's ability 
to vote on a voluntary standard may improve the credibility and 
efficiency of the standard. Additionally, not only can OEX consider 
policy concerns when deciding whether to authorize staff participation 
in voluntary standards activities as voting members or in leadership 
roles, but OEX's approval also can impose constraints or limitations 
tailored to specific circumstances, such as measures to avoid undue 
influence or any appearance of impropriety.
    Finally, to serve in a leadership position on a voluntary standards 
development group, CPSC staff must agree to follow the procedures set 
forth by the voluntary standards development group for leadership 
positions. Staff's leadership role may involve helping the development 
group to run more smoothly and assisting the committee in achieving 
timely deliberations.

II. Response to Comments

    CPSC received 14 comments regarding the NPR that address 29 
separate issues. Comments submitted in response to the NPR are 
available at: www.regulations.gov, by searching under the docket number 
of the rulemaking, CPSC-2013-0034. We summarize the comments received 
on the NPR and CPSC's responses below. To make identification of the 
comments and our responses easier, we numbered the comments and 
responses, and placed the word ``Comment'' before each comment summary, 
and the word ``Response'' before the Commission's response.

A. Support for Greater Staff Participation in a Voting Capacity or in a 
Leadership Role in Voluntary Standards

    Comment 1: A commenter noted that, ``involvement of CPSC personnel 
in voluntary standards activities ensures that the agency and other 
affected

[[Page 5372]]

stakeholders (standards developers, industry, consumers, etc.) can 
address safety needs in an open forum, thereby reducing the likelihood 
that mandatory rulemaking will be necessary. Such rulemaking is often 
time-consuming, can preclude more robust stakeholder input and 
participation, and may not be able to react and adapt to changing 
market dynamics on a rolling basis.'' Other commenters echoed the 
conclusion that staff engagement produces ``better, more protective and 
timelier voluntary standards'' and those members with voting privileges 
are often more engaged in the process.
    Response 1: The Commission agrees that there are benefits to staff 
participation in voluntary standards organizations. Staff participation 
in a voluntary standards body facilitates more open, efficient 
interactions with stakeholders and such communication with stakeholders 
yields effective injury-prevention strategies for consumers. Sometimes, 
staff's participation in the voluntary standards process may be more 
efficient and timely in reducing safety hazards than mandatory 
rulemaking. For example, the ability to update standards quickly is an 
important benefit of voluntary standards. However, the ability to 
create mandatory rules is an important part of product safety. The 
Commission, not CPSC staff, generally determines when to follow a 
voluntary standard and when to initiate rulemaking, often based on 
staff's recommendations. Together, staff's participation in voluntary 
standards development and the Commission's rulemaking ability help 
fulfill the Commission's mission to prevent serious injury and death to 
consumers from unreasonable risks associated with consumer products. 
The Commission previously observed that an effective voluntary 
standards program, along with mandatory standards, can increase product 
safety better than either mandatory or voluntary standards alone (43 FR 
19216 (May 4, 1978)).
    Comment 2: A commenter expressed concern that staff's inability to 
``officially'' represent CPSC in voluntary standards development 
activities might be perceived negatively by other standards development 
group participants who expect that individuals in the group represent 
the views of their organizations.
    Response 2: CPSC staff currently provides input to voluntary 
standards development groups; this input represents the views and 
expertise of Commission staff, not the Commission. The fact that staff 
cannot represent the views of the Commission will not change if staff 
participates in voting. Leadership responsibilities in a voluntary 
standards organization are determined by each organization and 
generally require impartiality. A CPSC staff leader will be subject to 
all the rules and regulations of the voluntary standards, as any other 
member in the same role.
    Comment 3: A commenter noted that staff from the U.S. Environmental 
Protection Agency (``EPA'') participates and votes in voluntary 
standards development groups and has held leadership positions.
    Response 3: As GAO's report noted, CPSC's existing policy on voting 
and holding leadership positions in voluntary standards organizations 
is more restrictive than OMB's guidance on voluntary standard's 
participation in OMB Circular A-119 Revised, ``Federal Participation in 
the Development and Use of Voluntary Consensus Standards and in 
Conformity Assessment Activities'' (February 10, 1998). Each agency 
independently decides on an appropriate policy for voluntary standards 
activities.

B. Concerns With Greater Staff Participation in a Voting Capacity or in 
a Leadership Role in Voluntary Standards

    Comment 4: Some commenters stated that allowing staff to vote in 
voluntary standards development activities would ``compromise the 
CPSC's objectivity and have a `chilling effect' on candid discussions 
needed to develop the most effective standards.'' The commenters do not 
see the benefit of allowing staff to vote when an ``abstention with 
comment'' serves to provide substantive staff input.
    Response 4: Staff currently expresses its opinions of ballot items 
in voluntary standards development activities through an abstention 
with comment, participation in meetings, email communications, 
conference calls, and formal letters submitted to the standards 
development groups. At this time, the Commission is not aware of any 
instances in which expressions of opinion adversely affected 
discussions. Allowing staff to express staff's views through a vote may 
increase the speed and efficiency of staff communicating during 
standards development meetings. In addition to ballot votes, dozens of 
proposals can be made and voted on during any given standards 
development meeting. Allowing staff to cast a vote like other members 
can provide instant feedback about staff opinions.
    Comment 5: A commenter expressed concern that CPSC staff's negative 
vote could effectively negate the legitimacy and effectiveness of an 
entire standard, even when a standard has the full support of an entire 
committee. The commenter expressed concern that allowing CPSC staff to 
vote could cause manufacturers to decline altogether from participating 
in voluntary standards development.
    Response 5: The Commission disagrees. Staff regularly expresses its 
approval or disapproval of proposals in presentations and letters 
during standards development activities, usually verbally, but often in 
the form of a written ``abstention with comment.'' Even when staff 
provides negative feedback, voluntary standards development groups 
continue their work.
    Comment 6: Several commenters suggested that any CPSC staff 
position on a subject could be seen as an official Commission position, 
implying that staff's usual disclaimer cannot be effective. One 
commenter stated that the Commission should vote on every position 
taken by a staffer and expressed concern that a CPSC staff member 
stating a view that was ``materially different from one or more 
Commissioners, could create a conflict with an ultimate Commission 
determination.''
    Response 6: The Commission is comprised of five individual 
Commissioners. Accordingly, every Commissioner may not always agree 
with the recommendations or opinions of staff. The Commission's 
official position is determined by a majority vote of the five 
Commissioners. CPSC staff routinely expresses its opinions about 
proposals in voluntary standards activities with the disclaimer that 
staff cannot represent the Commission's opinions. The disclaimer that 
staff cannot ``represent the views of the Commission'' is generally 
understood within voluntary standards organizations and will be 
included as part of the comments attached to a staff vote if there is 
any indication that staff opinion could be misinterpreted as 
representing the views of the Commission.
    Comment 7: A commenter noted that CPSC's current policy preventing 
staff from voting in and leading voluntary standards activities ensures 
that the CPSC ``maintain[s] its independence as an impartial 
participant . . .''
    Response 7: The Commission's decision to permit the option for 
staff representatives to vote or hold leadership positions should not 
prevent the Commission from maintaining its independence. CPSC's 
regulation at 16 CFR 1031.13(e) states: ``Involvement by

[[Page 5373]]

Commission officials and employees in voluntary standards bodies or 
standards-development groups does not, of itself, connote Commission 
agreement with, or endorsement of, decisions reached, approved or 
published by such bodies or groups.'' The final rule requires OEX to 
approve staff participation, and to consider whether ``loss of 
impartiality'' would be an issue in each case.
    Comment 8: A commenter asserted that having staff in leadership 
positions of voluntary standards development groups would have ``a 
chilling effect'' on participation because, ``it is difficult to 
believe that any manufacturer representative would ever risk the ire of 
CPSC (a potential enforcement action?) against its company by voicing 
disagreement with a CPSC committee or subcommittee chair or voting 
against a CPSC position.''
    Response 8: According to CPSC staff, staff's experience 
participating in voluntary standards development groups does not 
support the commenter's claim. CPSC staff regularly engages in full and 
vigorous debates about staff's views in standards development meetings 
where a subcommittee disregards or votes against CPSC staff's position. 
Organizations, such as ASTM, have stated that leaders are subject to 
rules that maintain the development of consensus standards in 
accordance with rigorous democratic procedures that ensure open and 
balanced participation, due process, and consensus. Members may 
monitor, critique, and correct any actions of a subcommittee or task 
group chairman according to the rules and by-laws of the standards 
development organization. Additionally, although each organization may 
differ, leaders are nominated and appointed according to the standards 
development organization's rules and procedures. For example, UL 
employs UL staff to lead UL's standards technical panels. ASTM members 
elect a chairman who appoints subcommittee chairmen from the general 
membership, subject to the approval of ASTM's Executive Subcommittee 
(Section 6.3.1, ASTM, 2013).\1\ Task group leaders are appointed during 
subcommittee meetings.
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    \1\ http://www.astm.org/COMMIT/Regs.pdf--ASTM International, 
Regulations Governing ASTM Technical Committees, 100 Barr Harbor 
Drive, West Conshohocken, PA, October, 2013.
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    Under the final rule, CPSC staff could be nominated and appointed 
to leadership roles only after the approval of the standards 
development organization that makes the invitation. OEX will 
subsequently need to approve staff participation. The final rule gives 
standards development organizations the option to offer a leadership 
role to CPSC staff and for OEX to review and approve each offer on a 
case-by-case basis. Furthermore, execution of a leadership role is 
subject to the bylaws of the pertinent standards development 
organization, many of which require impartiality of people in 
leadership positions.
    Comment 9: Commenters argued that having CPSC staff in a leadership 
role in a voluntary standards development group could create the 
practice or appearance of undue influence if staff is allowed, for 
example, to schedule meetings, set agendas, and decide the direction of 
the conversation on the voluntary standard.
    Response 9: Standards development organizations have rules and 
bylaws that govern and protect the validity of their respective 
consensus-building procedures. Although the leader of a committee can 
have influence over the scheduling of meetings and discussions, the 
agenda and direction of the conversation are governed and selected by 
the committee members. Every proposal made by a member of the group 
must be voted on and approved by the members, and any irregularities in 
procedures are open to challenge by any member, as specified in the 
standards organization's rules of conduct or bylaws. Chairmen or other 
leaders cannot dictate the content or wording of a voluntary standard, 
nor can they move proposals forward without group consensus. Removing 
the prohibition will not alter or affect these rules and principles.
    Comment 10: A commenter asserted that the Commission has not shown 
``a reason why prohibiting staff from accepting leadership positions is 
no longer necessary.'' Another commenter termed the reasons for the 
proposed rule, ``a mystery.''
    Response 10: As noted above, a GAO report recommended that the 
Commission review its policy for participating in voluntary standards 
development activities and determine the feasibility of agency staff 
assuming a more active, engaged role in developing voluntary standards. 
The GAO concluded that CPSC had interpreted its level of participation 
more strictly than OMB guidance specified for activities such as voting 
on standards and taking leadership positions. Other participants in 
voluntary standards development activities familiar with CPSC 
contributions agreed with OMB that ``earlier and more active 
participation could increase CPSC's efficiency and effectiveness in 
developing standards'' (p. 10, GAO-12-582). After reviewing the GAO 
report, the Commission agreed with CPSC staff, that in certain limited 
circumstances, if CPSC staff is allowed to vote or serve in leadership 
positions, CPSC staff's participation may advance efficient development 
of safety standards. Importantly, removing the prohibition against 
these activities from part 1031 does not require CPSC staff to vote or 
to serve as leaders; however, removing the prohibition does provide a 
framework for CPSC to consider, on a case-by-case basis, whether staff 
should undertake such activities.

C. Potential Legal Issues With Greater Staff Participation Identified 
by Commenters

    Comment 11: Several commenters argued that allowing staff members 
to vote would ``usurp the regulatory process, effectively allowing the 
CPSC to develop a de facto `mandatory standard' outside of the notice 
and comment rulemaking process in violation of the Administrative 
Procedures Act, as such vote would likely be given significant 
weight.'' The commenters further asserted that, if staff assumes a 
leadership role in a voluntary standards development group, such a role 
would equate to an ``end run'' around the normal rulemaking safeguards 
that are needed to give small businesses a voice in the creation of a 
mandatory rule.
    Response 11: The Commission disagrees. Voluntary standards are not 
mandatory standards. Allowing staff to serve in leadership positions in 
a voluntary standards development group will not alter or circumvent 
any procedures for mandatory rulemaking. If the Commission engages in 
mandatory rulemaking, the Commission will continue to follow the 
appropriate notice and comment rulemaking procedures.
    Comment 12: A commenter noted that the CPSIA requires the 
Commission to make some voluntary standards into mandatory rules and 
expresses concern that a ``blurring'' is occurring between the needed 
distinction between voluntary standards versus CPSC-mandated 
regulations. The commenter is concerned that this perceived 
``blurring'' of the distinction between voluntary and mandatory 
standards is a ``slippery slope that could undermine the legitimacy, 
independence, and effectiveness of the entire voluntary standards 
framework.''
    Response 12: Several provisions of the CPSIA mandated or provided 
for the Commission to adopt as mandatory

[[Page 5374]]

regulations, certain voluntary standards, such as those for toys, 
durable infant and toddler products, and all-terrain vehicles. In these 
circumstances, there is a closer link between voluntary standards and 
mandatory CPSC standards than in other situations. However, the 
Commission follows appropriate rulemaking procedures when issuing a 
mandatory rule and clearly distinguishes between the staff's activities 
with a voluntary standards development group and the Commission's 
promulgation of a mandatory rule. Allowing staff to hold leadership 
positions or vote will not conflict with the rulemaking process.
    Most of CPSC staff's work with voluntary standards groups is 
outside of the unique circumstances of these provisions of the CPSIA 
and does not involve any rulemaking activity. Staff is engaged in the 
voluntary standards process for a range of other consumer products. 
Rather than ``undermining the legitimacy'' of the voluntary standards 
framework, CPSC staff, in addition to stakeholder engagement in the 
voluntary standards process, has added to the legitimacy and 
credibility of the voluntary standards process. Participation by all 
concerned stakeholders collectively to develop safety standards is the 
most effective way to mitigate the risk of injury through the sharing 
of information, such as testing and data.
    Comment 13: A commenter suggested that the language of the NPR 
sounds like the Commission believes that voluntary standards 
development is ``some kind of precursor to mandatory rulemaking or a 
substitute for an Advanced Notice of Proposed Rulemaking (``ANPR'').''
    Response 13: In the case of section 104 of the CPSIA, voluntary 
standards are the basis for the Commission's rulemaking for a durable 
infant or toddler product. Congress required the Commission to issue 
mandatory rules for certain durable infant and toddler products that 
are substantially the same as, or more stringent than, the voluntary 
standard for such products. Congress directed the Commission to issue 
such rules under section 553 of the Administrative Procedure Act 
(``APA''), rather than the Commission's rulemaking authority under 
sections 7 and 9 of the CPSA. In effect, Congress directed certain 
juvenile product voluntary standards to become precursors of mandatory 
rules, but still required the Commission to use notice and comment 
rulemaking to make such standards mandatory rules. Congress also made 
voluntary standards for both toys and ATVs mandatory CPSC rules.
    Voluntary standards are important to CPSC, as demonstrated by the 
large number of voluntary standards committees staff participates in 
annually. However, staff involvement in a voluntary standard committee 
is not a precursor to a mandatory rule. When the Commission engages in 
rulemaking under the CPSA, the Commission must consider the efficacy of 
any existing voluntary standards to address the risk of injury or death 
identified, and whether products substantially comply with the 
voluntary standard.
    Comment 14: A commenter stated that the proposed rule would have a 
``chilling effect'' on participating in the development of standards 
because ``. . . . the plaintiffs' bar will likely attempt to argue in 
product liability cases that a negative CPSC vote suggests that a 
voluntary standard (that was properly adopted through, for example, the 
ANSI or ASTM process) is still `unsafe.' ''
    Response 14: If lawyers wanted to make an argument based on an 
individual CPSC staffer's opinion, lawyers could do that today, based 
on staff's communications with a voluntary standards development group. 
Staff regularly and openly expresses opinions about voluntary standards 
in documents easily obtained and during open meetings. Expressing the 
same opinion in a vote will not change this dynamic.
    Comment 15: A commenter stated that one of the provisions of the 
Regulations Governing ASTM Technical Committees (Section 19.2.5) is 
that ``. . . no subcommittee or task group shall make any effort to 
bring about the standardization of any product or service for the 
purpose or with the effect of (a) preventing the manufacture or sale of 
any product or service not conforming to a specified standard. . . .'' 
The commenter argued that agency staff would violate this ASTM 
requirement if the proposed rule were approved.
    Response 15: The Commission disagrees with the commenter. CPSC 
staff's voting or holding leadership positions will have no effect on 
ASTM's requirements or procedures used for standards development. All 
members, including CPSC staff participating in the ASTM subcommittees 
are required to follow the rules of standard development set out by 
ASTM.
    Under the CPSA, the Commission must rely on a voluntary consumer 
product safety standard rather than promulgate a mandatory standard 
when compliance with the voluntary standard would eliminate or 
adequately reduce the risk of injury and it is likely there will be 
substantial compliance with the voluntary standard. Under section 104 
of the CPSIA, the Commission is required to issue a mandatory 
regulation for certain durable infant or toddler products that is the 
same as, or more stringent than, the voluntary standard if the 
Commission determines that more stringent standards would further 
reduce the risk of injury associated with such products. Contrary to 
the commenter's assertion, voluntary standards do not ``immediately 
become a mandatory standard.'' The Commission can only issue a final 
mandatory rule if the Commission follows the notice and comment 
rulemaking procedures under the APA or is otherwise instructed by 
Congress. Rulemaking can occur in parallel to the voluntary standards 
development process, but cannot be replaced by the voluntary standards 
development process.
    Comment 16: One commenter recommended that, if staff is given the 
opportunity to vote on a ballot item, and staff casts a negative vote 
that is later deemed nonpersuasive by the subcommittee, then staff's 
recommendation or suggestion should not be included in any final 
mandatory standard that incorporates the standard by reference.
    Response 16: This comment refers to the ASTM practice of allowing a 
subcommittee to find a negative vote nonpersuasive, thereby overriding 
the negative vote and allowing a ballot to pass, even though the ballot 
does not have the consensus of all voters. The commenter is confusing 
the roles of CPSC staff and the Commission. CPSC staff's opinions and 
suggestions are just that, they are the staff's opinions and 
suggestions, not the opinions and suggestions of the Commission. The 
creation of a mandatory standard, even one with origins in a voluntary 
standard, is separate from voluntary standards development and requires 
action by the Commission. Neither opinions of CPSC staff, nor the 
opinions of the standards organization members, can bind the Commission 
to any decision about a mandatory standard. CPSC rulemaking must be 
conducted following the appropriate statutory rulemaking procedure. 
Furthermore, the commenter's suggestion goes against separation of the 
voluntary and mandatory standards processes discussed previously.
    Comment 17: Commenters suggested that staff leadership and voting 
in voluntary standards development activities might activate certain 
requirements of the APA. These requirements ``could hinder or cripple 
the process'' of developing a standard.

[[Page 5375]]

    Response 17: CPSC staff voting and/or accepting a leadership 
position in a standards development organization does not implicate the 
APA. Procedural requirements of the APA do not apply to voluntary 
standard proceedings but only to rulemaking undertaken by the 
Commission through its statutory procedures.
    Comment 18: A commenter suggested that staff leadership in 
standards development activities might trigger the need to follow the 
Federal Advisory Committee Act (``FACA'').
    Response 18: FACA is not implicated by CPSC staff serving in a 
leadership position in a voluntary standards development group. FACA 
defines an ``advisory committee,'' in relevant part, as one that is 
``established or utilized by one or more agencies, in the interest of 
obtaining advice or recommendations for the President or one or more 
agencies or officers of the Federal Government . . .'' 5 U.S.C. 3 App. 
2. Voluntary standards organizations, committees, and subcommittees are 
not ``established or utilized'' by the Commission or CPSC staff. 
Voluntary standards committees exist to create and revise voluntary 
standards, irrespective of whether CPSC staff serves in a leadership 
function. Additionally, neither the Commission, nor staff, is 
establishing or utilizing a voluntary standards development group to 
advise the agency on any matter.
    Comment 19: A commenter suggested that staff leadership roles might 
trigger certain requirements of the Sunshine Act (``SA''), such as 
calendar notices and the accommodation of additional public 
participation beyond members who regularly contribute to standards 
development activities. The commenter was concerned that SA obligations 
would suppress participation and raise the costs of holding meetings 
for standards development organizations.
    Response 19: The SA, 5 U.S.C. 552b, does not apply to staff serving 
in leadership positions in a voluntary standards development group. As 
provided in the Commission's regulations implementing the SA, 16 CFR 
1013.1, SA requirements only apply to Commissioners, not to staff. The 
CPSC does have a meetings policy for the agency that applies to CPSC 
staff, as well as Commissioners. 16 CFR part 1012. The meetings policy 
fosters transparency and openness. Under the meetings policy, certain 
meetings involving CPSC staff (such as meetings concerning the 
development of voluntary standards) must be open to the public and must 
be noticed in CPSC's public calendar. The Commission's voluntary 
standards regulations at 16 CFR part 1031 explicitly reference and 
incorporate the meetings policy requiring CPSC employees to comply with 
applicable provisions. 16 CFR 1031.11(f) and 1031.13(c). CPSC staff has 
followed this meetings policy since its 1981 implementation when 
participating in the voluntary standards development process, including 
routinely posting voluntary standards organization meeting notices on 
the CPSC's public calendar and creating meeting logs to record 
participation.
    Comment 20: A commenter wrote that staff participation on technical 
committees ``could impede the ability of these committees to function 
effectively by precluding industry participants from discussing or 
disclosing privileged information.'' The commenter recommended allowing 
technical committee meetings to be closed to the public to facilitate 
``the open, honest dialogue and self-critical analysis that are the 
cornerstones of voluntary standard development.''
    Response 20: The final rule allows CPSC staff to vote on ballot 
items and to hold leadership positions. These revisions do not alter 
standards organizations' procedural rules or the CPSC's meetings policy 
(discussed in the previous response).

D. Other Procedural and Burden Considerations

    Comment 21: A commenter recommended that CPSC staff engagement be 
consistent with the Office of Science and Technology Policy (``OSTP'') 
guidance,\2\ namely:
---------------------------------------------------------------------------

    \2\ Principles for Federal Engagement in Standards Activities to 
Address National Priorities (Jan. 17, 2012), available at http://www.whitehouse.gov/sites/default/files/omb/memoranda/2012/m-12-08.pdf (last accessed March 25, 2014).
---------------------------------------------------------------------------

    1. Produce timely, effective standards and efficient conformity 
assessment schemes that are essential to addressing an identified need;
    2. Achieve cost-efficient, timely, and effective solutions to 
legitimate regulatory procurement and policy objectives;
    3. Promote standards and standardization schemes that promote and 
sustain innovation and foster competition;
    4. Enhance U.S. growth and competitiveness and ensure non-
discrimination, consistent with international obligations; and
    5. Facilitate international trade and avoid the creation of 
unnecessary obstacles to trade.
    The commenter also recommended that CPSC staff only accept 
leadership positions when the standard is a national priority and 
consistent with CPSC's current operating plan. Even then, the commenter 
recommended that leadership roles should be the exception, not the 
rule.
    Response 21: The Commission believes that the final rule will 
contribute to the objectives outlined in the OSTP guidance. OEX will 
approve staff participation on a case-by-case basis, based on the 
considerations outlined in the rule. The Commission expects that 
standards organizations will only extend an invitation for staff to 
take leadership positions during exceptional circumstances because many 
willing standard organization members are often available for taking 
leadership roles in standards organizations.
    Comment 22: Another commenter suggested that the Commission should 
be involved in the decision to approve staff participation because it 
is a policy decision, not just a budgetary concern.
    Response 22: The Chairman, not the Commission, is responsible for 
allocating staff resources. 15 U.S.C. 2053(f)(1). The Executive 
Director, as chief operating officer, manages staff's work. 16 CFR 
1000.18. Staff's work includes participation in voluntary standards 
activities, whether on a voting or non-voting basis and whether in a 
leadership or non-leadership capacity.
    Comment 23: A commenter questioned the criteria OEX would apply to 
determine when it was advisable for staff to participate actively in a 
standards initiative. What rules for gaining approval would be set and 
what criteria would OEX apply in the decision?
    Response 23: OEX will approve staff participation on a case-by-case 
basis, based on the considerations outlined in the rule, namely the 
policy concerns set forth in 16 CFR 1031.9:
     An appearance of preferential treatment,
     loss of impartiality,
     compromise of the agency's independence, and
     a real or apparent conflict of interest.
    Policy concerns in 16 CFR 1031.9 should be balanced against 
Commission priorities, available resources, and the need for greater 
staff involvement, among other things. Nominations for leadership roles 
will be subject to the rules set by the standards development 
organization, and an OEX decision will be rendered in a timely manner.
    Comment 24: Commenters strongly encouraged the Commission to ensure 
that the personnel assigned to participate in voluntary standards 
development groups have the technical

[[Page 5376]]

qualifications to address the entire subject of the standard, as 
opposed to a political appointee without relevant background training. 
Another commenter echoed this concern and also recommended that staff 
participation should involve regular attendance at meetings so that any 
votes cast by staff would be fully informed.
    Response 24: Staff members approved by OEX to hold leadership 
positions will be qualified to fulfill the responsibilities of their 
positions. CPSC's regulation at 16 CFR 1031.12 prohibits certain 
Commission personnel who have final decision-making responsibilities, 
such as political appointees, from becoming members of a voluntary 
standards development group.
    Comment 25: A commenter suggested that the procedures governing the 
chairman of a voluntary standards committee only allow that person to 
vote when there is a tie on a proposal. The commenter claimed that this 
would undermine one of the objectives of the rule.
    Response 25: The chairman's role in a voluntary standard committee 
is defined by each organization's by-laws, policies, and procedures. 
Anyone from CPSC staff taking a leadership role in a standards 
organization is required to adhere to those bylaws and policies. If 
this role is defined in standards organization bylaws and policies as 
one of a facilitator, then, staff will work to facilitate open 
discussion and debate, in accordance with the defined role of a 
chairman, and will avoid casting a vote when in that role.
    Comment 26: Some commenters expressed concern that the proposed 
rule could affect the ability of staff to monitor and informally 
participate in the greatest number of voluntary standards. Leadership 
roles demand significant resources and administrative responsibilities 
that may not be of significant interest to the Commission.
    Response 26: The Commission understands and agrees that leadership 
roles can be demanding and that the Commission's resources are limited. 
Some leadership roles, such as leading a small task group, may take 
less time and fewer resources and be an appropriate use of staff's 
time. For a staff member already committed to participating in a task 
group, serving as chairman may not involve a significant amount of 
extra time and preparation. However, as noted previously, resource 
demands and availability will be factors considered by the OEX when 
deciding on a request for staff to hold a leadership position.
    Comment 27: A commenter noted that the policy of limited staff 
participation in voluntary standards development activities was, in 
part, to reduce the financial burden on the government. The commenter 
did not see how lifting the prohibitions on staff participation in 
voluntary standards development activities would reduce the financial 
burdens on the government.
    Response 27: The final rule allows staff participation in a 
leadership role on a voluntary standards development group with OEX 
approval after taking into consideration a variety of factors, which 
may include resource availability. The level of participation in the 
voluntary standards process and the necessary commitment of time and 
resources can vary from situation to situation, and will be taken into 
account by OEX in considering approval. Implementing or revising 
mandatory standards can be costly in terms of the time and resources 
required to achieve a product safety objective. Participation in the 
voluntary standards development process is often a cost-efficient means 
to achieve the Commission's product safety objectives when the result 
is an effective standard with industry compliance. Implementing or 
revising an effective voluntary standard is in the interest of the 
Commission, consumers, and the industry.
    Comment 28: A commenter expressed concern that using staff in 
leadership roles could slow down the development of voluntary standards 
because those staffers would need to maintain their daily duties at the 
Commission.
    Response 28: Before approving staff to serve in a leadership 
position, the OEX will consider many factors, including the employee's 
then current duties and activities. Leaders in voluntary standards 
development groups typically have other duties at their place of 
employment, and if a leader is unable to fulfill his/her duties, the 
standards organization has procedures for replacing the leader to get 
the work completed on a timely basis. These procedures will apply to 
staff in leadership roles as well. For standards organizations that use 
volunteers in leadership roles (rather than voluntary standards 
development groups led by paid employees like UL), having another 
committee member who is allowed to volunteer for leadership duties will 
be beneficial during times of increased activity.
    Comment 29: Several commenters noted that if staff took leadership 
positions in voluntary standards activities and the government was shut 
down, then the standards development process would be slowed down.
    Response 29: Government shut downs are not common; however, the 
inability of staff to participate in voluntary standards activities 
based on this situation are similar to other circumstances, such as 
health-related issues, which can prohibit any person from fulfilling 
their duties on a committee. In the event of a leadership lapse, 
voluntary standards organizations have standing procedures for 
replacing leaders who cannot complete their duties.

III. Description of the Final Rule

    Following is a section-by-section description of the changes to 
part 1031. These changes are the same as those set out in the proposed 
rule.
    Section 1031.10(b)--Existing Sec.  1031.10(b), regarding 
definitions, lists the types of activities that may comprise ``employee 
involvement'' in voluntary standards development activities. Section 
1031.10(b) of the final rule expands the list of activities to include: 
``participating as a voting member of, or in a leadership position on, 
a voluntary standard development group, when authorized,'' to recognize 
that such activities are part of the term ``employee involvement.''
    Section 1031.11(c)--Existing Sec.  1031.11(c), regarding procedural 
safeguards, states that involvement in voluntary standards activities 
by Commission officials and employees is predicated on an understanding 
by the voluntary standards group that such involvement is on a non-
voting basis. The final rule deletes this provision as inconsistent 
with the goal of allowing employees the option, with prior approval, to 
participate as voting members of a voluntary standards committee.
    Section 1031.11(d)--Existing Sec.  1031.11(d), regarding procedural 
safeguards, states: ``[i]n no case shall Commission employees or 
officials vote or otherwise formally indicate approval or disapproval 
of a voluntary standard during the course of a voluntary standard 
development process.'' The final rule renumbers this section to Sec.  
1031.11(c), and revises the content to remove the existing language, 
which is inconsistent with allowing Commission employees the option, 
with prior approval, to vote. The final rule provides that employees 
authorized to participate as voting members of a voluntary standard 
development group represent the position of CPSC staff. Such votes do 
not necessarily represent the opinions or views of the Commission, and 
would not be binding on the Commission.

[[Page 5377]]

    Section 1031.11(e)--Existing Sec.  1031.11(e), on procedural 
safeguards, states that Commission officials and employees cannot 
accept voluntary standards committee leadership positions, except that 
the Voluntary Standards Coordinator may accept leadership positions 
with the governing bodies of standards-making entities with the 
approval of the Executive Director. The final rule renumbers this 
provision to Sec.  1031.11(d), and revises the language to state that 
Commission officials or employees may accept leadership positions in 
voluntary standards development groups or leadership positions with the 
governing bodies of standards-making entities, when authorized with 
prior approval by the Office of the Executive Director.
    Section 1031.11(f)--The final rule renumbers existing Sec.  
1031.11(f) to Sec.  1031.11(e).
    Section 1031.12(b)--Existing Sec.  1031.12(b), on membership 
criteria, states that all officials and employees not discussed in 
Sec.  1031.12(a) [which lists Commissioners and employees who may not 
become members of voluntary standards groups because they either make 
or advise on final agency decisions] may be advisory, non-voting 
members of voluntary standards development and advisory groups with the 
prior approval of the Executive Director, including the Voluntary 
Standards Coordinator. Section 1031.12(b) of the final rule revises the 
language to provide that all other officials and employees not covered 
under Sec.  1031.12(a) may participate as voting members or accept 
leadership positions in voluntary standard development groups, when 
authorized with the prior approval of the Office of the Executive 
Director. Section 1031.12(b) of the final rule removes the reference to 
the Voluntary Standards Coordinator because such person is not 
prohibited from becoming a member of a voluntary standards group in 
Sec.  1031.12(a). Thus, the Voluntary Standards Coordinator would fall 
within the class of persons discussed in final Sec.  1031.12(b) who may 
serve as a voting member and hold leadership positions, as authorized.
    Section 1031.12(c)--Existing Sec.  1031.12(c) references the 
Executive Director as the management official with the authority to 
approve staff serving as members of a voluntary standards organization 
or group. Section 1031.12(c) of the final rule removes the reference to 
the ``Executive Director'' and replaces it with ``Office of the 
Executive Director'' to reflect that prior approval for membership in 
voluntary standards activities must be approved by the Office of the 
Executive Director.

IV. Environmental Impact

    Generally, the Commission's regulations are considered to have 
little or no potential for affecting the human environment, and 
environmental assessments and impact statements are not usually 
required. See 16 CFR 1021.5(a). This final rule solely involves 
Commission procedure, and therefore, is not expected to have an adverse 
impact on the environment. The final rule generally falls within the 
categorical exclusion in 16 CFR 1021.5(c), eliminating the need for an 
environmental assessment or environmental impact statement.

V. Regulatory Flexibility Act

    The Regulatory Flexibility Act (``RFA'') requires agencies conduct 
regulatory impact analyses to assess the potential economic impact on 
small entities, including small businesses, unless the agency certifies 
that the rule will not have a significant economic impact on a 
substantial number of small entities. The Commission provided such a 
certification in the NPR because the rule would not impose any new 
requirements on businesses, including small businesses nor require any 
greater governmental participation in voluntary standards. The 
Commission did not receive any comments related to the certification, 
and the final rule does not differ from the proposed rule. Accordingly, 
the Commission finds that the final rule will not have a significant 
impact on a substantial number of small entities.

VI. Paperwork Reduction Act

    The final rule does not require any stakeholder to create, 
maintain, or disclose information. Thus, the Paperwork Reduction Act of 
1995 (44 U.S.C. 3501-3520) is not implicated in this rulemaking.

VII. Effective Date

    The APA generally requires that the effective date of a rule be at 
least 30 days after publication of a final rule. 5 U.S.C. 553(d). 
Because the final rule solely affects Commission procedure and does not 
require stakeholders to take any action, the final rule is effective 30 
days after publication in the Federal Register.

List of Subjects in 16 CFR Part 1031

    Business and industry, Consumer protection, Voluntary standards.

    For the reasons stated in the preamble, the Commission amends 16 
CFR part 1031 as follows:

PART 1031--COMMISSION PARTICIPATION AND COMMISSION EMPLOYEE 
INVOLVEMENT IN VOLUNTARY STANDARDS ACTIVITIES

0
1. The authority citation for part 1031 is revised to read as follows:

    Authority:  15 U.S.C. 2051-2083; 15 U.S.C. 1261-1276; 15 U.S.C. 
1191-1204; Sec. 3, 104, 106, 223 Pub. L. 110-314, 122 Stat. 3016, 
3017 (2008), Sec. 3, 4 Pub. L. 112-28 (2011).


0
2. In Sec.  1031.10 paragraph (b), revise the third sentence to read as 
follows:


Sec.  1031.10  Definitions.

* * * * *
    (b) * * * Employee involvement may include regularly attending 
meetings of a standards development committee or group, taking an 
active part in discussions and technical debates, expressing opinions, 
expending other resources in support of a voluntary standard 
development activity, and participating as a voting member of, or in a 
leadership position on, a voluntary standard development group, when 
authorized. * * *
* * * * *

0
3. In Sec.  1031.11, remove paragraph (f) and revise paragraphs (c), 
(d), and (e) to read as follows:


Sec.  1031.11  Procedural safeguards.

* * * * *
    (c) Commission officials or employees who are authorized to 
participate as a voting member of a voluntary standard development 
group represent the position of CPSC staff. Such votes or opinions do 
not bind the Commission in any way or necessarily represent the 
opinions or views of the Commission, but rather, solely represent the 
views of the CPSC staff.
    (d) Commission employees and officials who are involved in the 
development of voluntary standards may accept leadership positions in 
voluntary standard development groups (e.g., committee chairman or 
secretary) or leadership positions with the governing bodies of 
standard-making entities, when authorized with the prior approval of 
the Office of the Executive Director.
    (e) Attendance of Commission personnel at voluntary standards 
meetings shall be noted in the public calendar, and meeting summaries 
shall be submitted to the Office of the Secretary, as required by the 
Commission's meetings policy, 16 CFR part 1012.

0
4. In Sec.  1031.12:
0
a. Revise paragraph (b).

[[Page 5378]]

0
b. In paragraph (c), remove the phrase: ``Executive Director,'' and add 
in its place ``Office of the Executive Director''.
    The revision reads as follows:


Sec.  1031.12  Membership criteria.

* * * * *
    (b) All other officials and employees not covered under Sec.  
1031.12(a) may participate as voting members or accept leadership 
positions in voluntary standard development groups, when authorized 
with the prior approval of the Office of the Executive Director.
* * * * *

    Dated: January 27, 2016.
Todd A. Stevenson,
Secretary, Consumer Product Safety Commission.
[FR Doc. 2016-01778 Filed 2-1-16; 8:45 am]
 BILLING CODE 6355-01-P



                                                             Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations                                               5369

                                             3. Will not affect intrastate aviation in             the link bearing bore. Aluminum oxide                    (i) Bell Helicopter Alert Service Bulletin
                                           Alaska to the extent that it justifies                  corrosion appears as a white crystalline              429–15–26, dated December 7, 2015.
                                           making a regulatory distinction; and                    material in contrast with the black finish and           (ii) Reserved.
                                             4. Will not have a significant                        any accumulated soot. An example of this                 (3) For Bell Helicopter service information
                                                                                                   corrosion is shown in Figure 1 of Bell                identified in this final rule, contact Bell
                                           economic impact, positive or negative,
                                                                                                   Helicopter Alert Service Bulletin 429–15–26,          Helicopter Textron Canada Limited, 12,800
                                           on a substantial number of small entities               dated December 7, 2015 (ASB 429–15–26).               Rue de l’Avenir, Mirabel, Quebec J7J1R4;
                                           under the criteria of the Regulatory                       (ii) If there is any aluminum oxide                telephone (450) 437–2862 or (800) 363–8023;
                                           Flexibility Act.                                        corrosion, replace the T/R link before further        fax (450) 433–0272; or at http://
                                             We prepared an economic evaluation                    flight.                                               www.bellcustomer.com/files/.
                                           of the estimated costs to comply with                      (iii) If there is no aluminum oxide                   (4) You may view this service information
                                           this AD and placed it in the AD docket.                 corrosion, clean each T/R link bearing bore           at FAA, Office of the Regional Counsel,
                                                                                                   with isopropyl alcohol and inspect for                Southwest Region, 10101 Hillwood Pkwy,
                                           List of Subjects in 14 CFR Part 39                      pitting.                                              Room 6N–321, Fort Worth, TX 76177. For
                                             Air transportation, Aircraft, Aviation                   (A) If there is any pitting, replace the T/        information on the availability of this
                                           safety, Incorporation by reference,                     R link before further flight.                         material at the FAA, call (817) 222–5110.
                                           Safety.                                                    (B) If there is no pitting, apply corrosion           (5) You may view this service information
                                                                                                   preventative sealant by following the                 that is incorporated by reference at the
                                           Adoption of the Amendment                               Accomplishment Instructions, paragraph 5.             National Archives and Records
                                                                                                   of Part I, of ASB 429–15–26.                          Administration (NARA). For information on
                                             Accordingly, under the authority                                                                            the availability of this material at NARA, call
                                           delegated to me by the Administrator,                      (2) For all T/R links listed in paragraph (a)
                                                                                                   of this AD, within 50 hours TIS and                   (202) 741–6030, or go to: http://
                                           the FAA amends 14 CFR part 39 as                        thereafter at intervals not to exceed 50 hours        www.archives.gov/federal-register/cfr/ibr-
                                           follows:                                                TIS, using 10X or higher power                        locations.html.
                                                                                                   magnification, inspect each T/R link bearing            Issued in Fort Worth, Texas, on January 22,
                                           PART 39—AIRWORTHINESS                                   bore for missing corrosion preventative               2016.
                                           DIRECTIVES                                              sealant. If any corrosion preventative sealant
                                                                                                                                                         Scott A. Horn,
                                                                                                   is missing, perform the actions in paragraph
                                           ■ 1. The authority citation for part 39                 (e)(1)(i) through (e)(1)(iii) of this AD before       Acting Manager, Rotorcraft Directorate,
                                           continues to read as follows:                           further flight.                                       Aircraft Certification Service.
                                               Authority: 49 U.S.C. 106(g), 40113, 44701.             (3) Do not install T/R link P/N 429–012–           [FR Doc. 2016–01747 Filed 2–1–16; 8:45 am]
                                                                                                   112–101 or –103 on any helicopter before              BILLING CODE 4910–13–P
                                           § 39.13   [Amended]                                     complying with the actions in paragraph
                                                                                                   (e)(1) of this AD.
                                           ■ 2. The FAA amends § 39.13 by adding
                                           the following new airworthiness                         (f) Alternative Methods of Compliance                 CONSUMER PRODUCT SAFETY
                                           directive (AD):                                         (AMOCs)                                               COMMISSION
                                           2016–02–06 Bell Helicopter Textron                         (1) The Manager, Safety Management
                                               Canada Limited: Amendment 39–18387;                 Group, FAA, may approve AMOCs for this                16 CFR Part 1031
                                               Docket No. FAA–2016–2068; Directorate               AD. Send your proposal to: Matt Fuller,
                                                                                                   Senior Aviation Safety Engineer, Safety               [CPSC Docket No. CPSC–2013–0034]
                                               Identifier 2016–SW–002–AD.
                                                                                                   Management Group, Rotorcraft Directorate,
                                           (a) Applicability                                       FAA, 10101 Hillwood Pkwy, Fort Worth, TX              Commission Participation and
                                              This AD applies to Bell Helicopter Textron           76177; telephone (817) 222–5110; email 9-             Commission Employee Involvement in
                                           Canada Limited Model 429 helicopters with               ASW-FTW-AMOC-Requests@faa.gov.                        Voluntary Standards Activities
                                           a tail rotor (T/R) pitch link (link) part number           (2) For operations conducted under a 14
                                           (P/N) 429–012–112–101, –101FM, –103, or                 CFR part 119 operating certificate or under           AGENCY:  Consumer Product Safety
                                           –103FM installed, certificated in any                   14 CFR part 91, subpart K, we suggest that            Commission.
                                           category.                                               you notify your principal inspector, or               ACTION: Final rule.
                                                                                                   lacking a principal inspector, the manager of
                                           (b) Unsafe Condition                                    the local flight standards district office or         SUMMARY:    The United States Consumer
                                              This AD defines the unsafe condition as              certificate holding district office, before           Product Safety Commission
                                           failure of a T/R link. This condition could             operating any aircraft complying with this            (‘‘Commission’’ or ‘‘CPSC’’) is issuing
                                           result in loss of T/R flight control and                AD through an AMOC.                                   this final rule to amend the existing
                                           subsequent loss of control of the helicopter.                                                                 regulation on Commission participation
                                                                                                   (g) Additional Information
                                           (c) Effective Date                                         The subject of this AD is addressed in             and employee involvement in voluntary
                                              This AD becomes effective February 2,                Transport Canada AD CF–2016–01, dated                 standards activities. Currently,
                                           2016.                                                   January 5, 2016. You may view the Transport           Commission rules allow employees to
                                                                                                   Canada AD on the Internet at http://                  participate in voluntary standard
                                           (d) Compliance                                          www.regulations.gov by searching for and              development groups on a non-voting
                                             You are responsible for performing each               locating it in Docket No. FAA–2016–2068.              basis and do not allow Commission
                                           action required by this AD within the                                                                         employees to accept leadership
                                           specified compliance time unless it has                 (h) Subject
                                           already been accomplished prior to that time.             Joint Aircraft Service Component (JASC)             positions in voluntary standard
                                                                                                   Code: 6400, Tail Rotor System.                        development groups. This final rule
                                           (e) Required Actions                                                                                          removes these restrictions and allows
                                              (1) For T/R link P/N 429–012–112–101 and             (i) Material Incorporated by Reference                Commission employees to participate as
                                           429–012–112–103, within 10 hours time-in-                  (1) The Director of the Federal Register           voting members and to accept
wgreen on DSK2VPTVN1PROD with RULES




                                           service (TIS):                                          approved the incorporation by reference of            leadership positions in voluntary
                                              (i) Remove each T/R link assembly. Prior             the service information listed in this                standard development groups, subject to
                                           to cleaning the T/R link bearing bores, using           paragraph under 5 U.S.C. 552(a) and 1 CFR
                                                                                                                                                         prior approval by CPSC’s Office of the
                                           10X or higher power magnification, inspect              part 51.
                                           each T/R link bearing bore for aluminum                    (2) You must use this service information          Executive Director (‘‘OEX’’).
                                           oxide corrosion extruding from between the              as applicable to do the actions required by           DATES: The final rule will become
                                           roll staked lip of the bearing outer race and           this AD, unless the AD specifies otherwise.           effective on March 3, 2016.


                                      VerDate Sep<11>2014   15:14 Feb 01, 2016   Jkt 238001   PO 00000   Frm 00005   Fmt 4700   Sfmt 4700   E:\FR\FM\02FER1.SGM   02FER1


                                           5370              Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations

                                           FOR FURTHER INFORMATION CONTACT:                        allows CPSC staff to vote and hold                    regularly to the Voluntary Standards
                                           Patricia K. Adair, Supervisory Program                  leadership positions on an optional                   Coordinator, to help ensure ongoing
                                           Analyst, Office of Hazard Identification                basis, provided that such activities have             oversight and coordination. Lastly, the
                                           and Reduction, Consumer Product                         the prior approval of the CPSC’s OEX.                 2006 amendments added a requirement
                                           Safety Commission, 4330 East West                                                                             that the CPSC provide notice and the
                                                                                                   A. Statutory and Regulatory Background
                                           Highway, Bethesda, MD 20814;                                                                                  opportunity for the public to comment
                                           telephone: 301–504–7335; padair@                           The Consumer Product Safety Act                    on staff’s positions on voluntary
                                           cpsc.gov.                                               (‘‘CPSA’’) gives the Commission                       standards activities.
                                                                                                   authority to promulgate mandatory
                                           SUPPLEMENTARY INFORMATION:                              safety standards for consumer products.               B. Recent Statutory Changes Involving
                                                                                                   15 U.S.C. 2056(a)(1)(A). The                          Voluntary Standards
                                           I. Introduction
                                                                                                   Commission issued regulations in 1978,                   In the past, CPSC staff typically
                                              Many consumer products under the
                                                                                                   describing the extent and form of                     served on voluntary standards
                                           Commission’s jurisdiction are covered
                                                                                                   Commission involvement in the                         committees based on the Commission’s
                                           by voluntary standards. Voluntary                       development of voluntary standards (43                priorities. Staff participated without any
                                           standards provide safety provisions                     FR 19216 (May 4, 1978)).                              expectation that such voluntary
                                           addressing potential hazards associated                 Acknowledging the contribution that                   standards would necessarily form the
                                           with consumer products found in                         voluntary standards had made to                       basis of a mandatory standard. The
                                           locations such as homes, schools, and                   reducing hazards associated with                      Consumer Product Safety Improvement
                                           recreational areas. Developing voluntary                consumer products, the Commission                     Act of 2008 (‘‘CPSIA’’), however, gave
                                           standards may involve multiple                          stated its support for an effective                   rise to the expectation that, for certain
                                           revisions to a standard within 1 year, or               voluntary standards program, finding                  children’s products, voluntary standards
                                           over multiple years. Voluntary                          that a proper combination of voluntary                would form the basis for mandatory
                                           standards development activities for                    and mandatory standards can increase                  standards development. For example,
                                           consumer products within the                            product safety better than either                     section 104(b) of the CPSIA requires the
                                           Commission’s jurisdiction are handled                   mandatory or voluntary activities alone.              Commission to promulgate consumer
                                           primarily by three standards                               In 1981, Congress amended the CPSA,                product safety standards for durable
                                           development/coordinating                                the Federal Hazardous Substances Act                  infant or toddler products. These
                                           organizations: ASTM International                       (‘‘FHSA’’), and the Flammable Fabrics                 standards are to be ‘‘substantially the
                                           (previously called the American Society                 Act (‘‘FFA’’), to, among other things,                same as’’ applicable voluntary standards
                                           for Testing and Materials), the American                mandate that the Commission give                      or more stringent than the voluntary
                                           National Standards Institute (‘‘ANSI’’),                preference to voluntary standards, as                 standard, if the Commission determines
                                           and Underwriters Laboratories Inc.                      opposed to promulgating mandatory                     that more stringent requirements would
                                           (‘‘UL’’). Along with industry, consumer                 standards, if the Commission                          further reduce the risk of injury
                                           groups, and product safety experts,                     determines that a voluntary standard                  associated with the product.
                                           CPSC staff works with these and other                   would eliminate or adequately reduce                     Congress also has addressed
                                           organizations to coordinate the                         an unreasonable risk of injury and there              participation by federal agencies in
                                           development of voluntary standards.                     will likely be substantial compliance                 voluntary standards development.
                                              Currently, CPSC staff provides                       with the voluntary standard. 15 U.S.C.                Public Law 104–113 directed federal
                                           technical support to organizations that                 2056(b), 15 U.S.C. 1262(g)(2), 15 U.S.C.              agencies to ‘‘use technical standards
                                           coordinate the development of                           1193(h)(2). In 1989, the Commission                   that are developed or adopted by
                                           voluntary standards. According to the                   adopted regulations to reflect the                    voluntary consensus standards bodies’’
                                           CPSC’s Voluntary Standards Activities                   policies set forth by the 1981                        and to ‘‘participate with such bodies in
                                           FY 2014 Annual Report, CPSC staff                       amendments, making several changes in                 the development of technical
                                           provided technical support or                           the agency’s policies on employee                     standards.’’ Public Law 104–113,
                                           monitored voluntary standards activities                participation in voluntary standards                  12(d)(1) & (2), 110 Stat. 775, 783 (1996),
                                           for 83 products in FY 2014. Staff                       development activities. The 1989                      15 U.S.C. 272 note. Congress anticipated
                                           participates in the voluntary standards                 amendments also combined parts 1031                   that federal agencies would ‘‘work
                                           development process by providing                        (on employee membership and                           closely’’ with voluntary standards
                                           expert advice, technical assistance, and                participation) and 1032 (on Commission                organizations, that these organizations
                                           information, based on analyses of the                   involvement) into a revised part 1031,                would ‘‘include active government
                                           numbers and causes of deaths, injuries,                 titled, Commission Participation and                  participation,’’ and that agencies would
                                           or incidents associated with a product.                 Commission Employee Involvement in                    ‘‘work with these voluntary consensus
                                           Staff may also conduct CPSC research,                   Voluntary Standards Activities. 54 FR                 bodies, whenever and wherever
                                           perform laboratory tests, and provide                   6646 (Feb. 14, 1989).                                 appropriate.’’ H.R. Rep. 104–390 at 15,
                                           draft language for a voluntary standard.                   In 2006, the Commission amended                    25 (1995). See also 141 Cong. Rec.
                                              The Commission’s involvement and                     several provisions of part 1031. 71 FR                H14334 (daily ed. December 12, 1995)
                                           staff’s participation in voluntary                      38754 (July 10, 2006). Among other                    (Statement of Rep. Morella).
                                           standards activities are governed by the                things, the 2006 amendments provided
                                           Commission’s rule at 16 CFR part 1031,                  that Commission employees only                        C. GAO Report
                                           Commission Participation and                            participate in voluntary standards                       On May 16, 2012, the U.S.
                                           Commission Employee Involvement in                      efforts consistent with the Commission’s              Government Accountability Office
                                           Voluntary Standards Activities (‘‘part                  priorities identified in the Commission’s             (‘‘GAO’’) issued a report titled,
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                                           1031’’). Part 1031 prohibits CPSC staff                 operating plan, performance budget,                   ‘‘Consumer Product Safety Commission:
                                           from voting and precludes staff from                    mid-year review, or other official                    A More Active Role in Voluntary
                                           holding leadership positions in                         Commission document. In addition, the                 Standards Development Should Be
                                           voluntary standards development                         Commission added a requirement that                   Considered’’ (‘‘GAO Report’’) (available
                                           groups. This final rule amends part 1031                employees with ongoing participation in               at: http://www.gao.gov/assets/600/
                                           to eliminate these prohibitions and                     voluntary standards activities report                 590990.pdf). The GAO Report


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                                                             Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations                                         5371

                                           recommended that the Commission                         standard development group may result                    Removing prohibitions on employees
                                           review its policy for staff participation               in a more effective voluntary standards               voting and serving in leadership
                                           in voluntary standards development                      process and accelerate standards                      positions should not result in the
                                           activities and determine the feasibility                development and implementation,                       Commission compromising the policy
                                           of agency staff assuming a more active,                 without compromising the CPSC’s                       concerns set forth in § 1031.9.
                                           engaged role in developing voluntary                    independence. Such participation could                Generally, before any substantive issue
                                           standards. Specifically, the GAO Report                 gain CPSC staff additional access to and              is balloted on a voluntary standards
                                           recommended that CPSC staff be                          familiarity with the latest technologies,             committee, the committee is given the
                                           allowed to vote on balloted provisions                  and will provide an opportunity for staff             opportunity to discuss the proposals in
                                           of voluntary standards and to hold                      to help establish standards that will                 detail. Currently, Commission staff
                                           leadership positions at various levels of               advance CPSC’s safety goals. In                       engages in these discussions, such that
                                           standards development organizations,                    addition, ‘‘full’’ federal government                 the technical opinions of staff are
                                           including task groups, subcommittees,                   participation in standards development                known before a proposed change in a
                                           or committees. GAO concluded that                       increases the likelihood that the                     voluntary standard is balloted.
                                           changing the CPSC’s regulations to                      standards can meet both public and                    Accordingly, CPSC staff’s ability to vote
                                           allow staff to participate more actively                private sector needs. 141 Cong. Rec.                  on such ballots should not
                                           in voluntary standards activities,                      H14334 (daily ed. December 12, 1995)                  fundamentally alter current procedures
                                           especially when working with technical                  (Statement of Rep. Morella).                          in a manner that impinges on the
                                           committees for which CPSC staff can                        Additionally, optional staff                       Commission’s independence. Rather,
                                           provide expertise, and permitting CPSC                  participation in voluntary standard                   staff’s ability to vote on a voluntary
                                           staff to vote on voluntary standards,                   development groups by voting and                      standard may improve the credibility
                                           could result in stronger voluntary                      taking leadership roles is consistent                 and efficiency of the standard.
                                           standards, without compromising the                     with the guidance in OMB Circular A–                  Additionally, not only can OEX
                                           CPSC’s independence.                                    119 Revised, ‘‘Federal Participation in               consider policy concerns when deciding
                                                                                                   the Development and Use of Voluntary                  whether to authorize staff participation
                                           D. Notice of Proposed Rulemaking
                                                                                                   Consensus Standards and in Conformity                 in voluntary standards activities as
                                              In response to the GAO Report                                                                              voting members or in leadership roles,
                                                                                                   Assessment Activities’’ (February 10,
                                           recommendations, the Commission                                                                               but OEX’s approval also can impose
                                                                                                   1998). Among other things, OMB
                                           issued a proposed rule (‘‘NPR’’) to                                                                           constraints or limitations tailored to
                                           remove the prohibitions on CPSC staff                   Circular A–119 encourages agency
                                                                                                   representatives serving as members of                 specific circumstances, such as
                                           participating as voting members and                                                                           measures to avoid undue influence or
                                           accepting leadership positions in                       voluntary consensus standards bodies to
                                                                                                   ‘‘participate actively and on an equal                any appearance of impropriety.
                                           voluntary standard development groups.                                                                           Finally, to serve in a leadership
                                           78 FR 57818 (Sept. 20, 2013). The NPR                   basis with other members,’’ and to ‘‘vote
                                                                                                                                                         position on a voluntary standards
                                           proposed that CPSC staff participation                  . . . at each stage of the standards
                                                                                                                                                         development group, CPSC staff must
                                           in such activities would receive prior                  development process unless prohibited
                                                                                                                                                         agree to follow the procedures set forth
                                           approval by OEX. The preamble to the                    from doing so by law of their agencies.’’
                                                                                                                                                         by the voluntary standards development
                                           NPR stated that when approving staff’s                     When participating as a voting                     group for leadership positions. Staff’s
                                           participation in such activities, OEX                   member of, or in a leadership position                leadership role may involve helping the
                                           should consider the policy concerns set                 on, a voluntary standard development                  development group to run more
                                           forth in 16 CFR 1031.9 (appearance of                   group, the Commission directs CPSC                    smoothly and assisting the committee in
                                           preferential treatment, loss of                         staff to indicate clearly that any views              achieving timely deliberations.
                                           impartiality, compromise of the                         expressed in connection with such
                                           agency’s independence, and a real or                    participation represent CPSC staff’s                  II. Response to Comments
                                           apparent conflict of interest) and                      position and may not necessarily                         CPSC received 14 comments
                                           balance these concerns against                          represent the Commission’s position.                  regarding the NPR that address 29
                                           Commission priorities, available                        Making such a disclaimer is consistent                separate issues. Comments submitted in
                                           resources, the need for greater staff                   with current staff practice regarding                 response to the NPR are available at:
                                           involvement, and the efficiency of the                  representations in oral and written                   www.regulations.gov, by searching
                                           voluntary standards process. 78 FR at                   presentations and staff documents                     under the docket number of the
                                           57820. The NPR stated that OEX would                    intended for public release. In these                 rulemaking, CPSC–2013–0034. We
                                           evaluate each request for staff to                      contexts, CPSC staff’s views cannot                   summarize the comments received on
                                           participate as a voting member or to                    serve as a proxy for the Commission’s or              the NPR and CPSC’s responses below.
                                           accept a leadership position on a case-                 the agency’s views on any particular                  To make identification of the comments
                                           by-case basis. Additionally, the                        issue, as stated in the final rule at                 and our responses easier, we numbered
                                           preamble to the NPR stated that OEX                     § 1031.11(c). Similarly, CPSC staff                   the comments and responses, and
                                           would authorize staff to vote on actions                serving in leadership positions on a                  placed the word ‘‘Comment’’ before
                                           for a specified voluntary standard but                  voluntary standard development group                  each comment summary, and the word
                                           would not be approving each individual                  will act in their capacity as CPSC staff              ‘‘Response’’ before the Commission’s
                                           vote. Id.                                               members, and their views will not                     response.
                                                                                                   necessarily represent the views of the
                                           E. Rationale for the Rule                               Commission. In particular, the                        A. Support for Greater Staff
                                             The Commission is finalizing the                      Commission warns that CPSC staff                      Participation in a Voting Capacity or in
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                                           proposed rule without any changes. As                   participation in a voluntary standard                 a Leadership Role in Voluntary
                                           discussed in the preamble to the NPR,                   development group, even in a                          Standards
                                           the Commission believes that permitting                 leadership position, does not provide                    Comment 1: A commenter noted that,
                                           CPSC staff the option to vote on a                      any assurance that the Commission will                ‘‘involvement of CPSC personnel in
                                           voluntary standard and/or accept a                      support the resulting voluntary                       voluntary standards activities ensures
                                           leadership position in a voluntary                      standard.                                             that the agency and other affected


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                                           5372              Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations

                                           stakeholders (standards developers,                     change if staff participates in voting.               could effectively negate the legitimacy
                                           industry, consumers, etc.) can address                  Leadership responsibilities in a                      and effectiveness of an entire standard,
                                           safety needs in an open forum, thereby                  voluntary standards organization are                  even when a standard has the full
                                           reducing the likelihood that mandatory                  determined by each organization and                   support of an entire committee. The
                                           rulemaking will be necessary. Such                      generally require impartiality. A CPSC                commenter expressed concern that
                                           rulemaking is often time-consuming,                     staff leader will be subject to all the               allowing CPSC staff to vote could cause
                                           can preclude more robust stakeholder                    rules and regulations of the voluntary                manufacturers to decline altogether
                                           input and participation, and may not be                 standards, as any other member in the                 from participating in voluntary
                                           able to react and adapt to changing                     same role.                                            standards development.
                                           market dynamics on a rolling basis.’’                     Comment 3: A commenter noted that                      Response 5: The Commission
                                           Other commenters echoed the                             staff from the U.S. Environmental                     disagrees. Staff regularly expresses its
                                           conclusion that staff engagement                        Protection Agency (‘‘EPA’’) participates              approval or disapproval of proposals in
                                           produces ‘‘better, more protective and                  and votes in voluntary standards                      presentations and letters during
                                           timelier voluntary standards’’ and those                development groups and has held                       standards development activities,
                                           members with voting privileges are                      leadership positions.                                 usually verbally, but often in the form
                                           often more engaged in the process.                        Response 3: As GAO’s report noted,                  of a written ‘‘abstention with comment.’’
                                              Response 1: The Commission agrees                    CPSC’s existing policy on voting and                  Even when staff provides negative
                                           that there are benefits to staff                        holding leadership positions in                       feedback, voluntary standards
                                           participation in voluntary standards                    voluntary standards organizations is                  development groups continue their
                                           organizations. Staff participation in a                 more restrictive than OMB’s guidance                  work.
                                           voluntary standards body facilitates                    on voluntary standard’s participation in                 Comment 6: Several commenters
                                           more open, efficient interactions with                  OMB Circular A–119 Revised, ‘‘Federal                 suggested that any CPSC staff position
                                           stakeholders and such communication                     Participation in the Development and                  on a subject could be seen as an official
                                           with stakeholders yields effective                      Use of Voluntary Consensus Standards                  Commission position, implying that
                                           injury-prevention strategies for                        and in Conformity Assessment                          staff’s usual disclaimer cannot be
                                           consumers. Sometimes, staff’s                           Activities’’ (February 10, 1998). Each                effective. One commenter stated that the
                                           participation in the voluntary standards                agency independently decides on an                    Commission should vote on every
                                           process may be more efficient and                       appropriate policy for voluntary                      position taken by a staffer and expressed
                                           timely in reducing safety hazards than                  standards activities.                                 concern that a CPSC staff member
                                           mandatory rulemaking. For example,                                                                            stating a view that was ‘‘materially
                                                                                                   B. Concerns With Greater Staff
                                           the ability to update standards quickly                                                                       different from one or more
                                                                                                   Participation in a Voting Capacity or in
                                           is an important benefit of voluntary                                                                          Commissioners, could create a conflict
                                                                                                   a Leadership Role in Voluntary
                                           standards. However, the ability to create                                                                     with an ultimate Commission
                                                                                                   Standards
                                           mandatory rules is an important part of                                                                       determination.’’
                                           product safety. The Commission, not                        Comment 4: Some commenters stated                     Response 6: The Commission is
                                           CPSC staff, generally determines when                   that allowing staff to vote in voluntary              comprised of five individual
                                           to follow a voluntary standard and                      standards development activities would                Commissioners. Accordingly, every
                                           when to initiate rulemaking, often based                ‘‘compromise the CPSC’s objectivity and               Commissioner may not always agree
                                           on staff’s recommendations. Together,                   have a ‘chilling effect’ on candid                    with the recommendations or opinions
                                           staff’s participation in voluntary                      discussions needed to develop the most                of staff. The Commission’s official
                                           standards development and the                           effective standards.’’ The commenters                 position is determined by a majority
                                           Commission’s rulemaking ability help                    do not see the benefit of allowing staff              vote of the five Commissioners. CPSC
                                           fulfill the Commission’s mission to                     to vote when an ‘‘abstention with                     staff routinely expresses its opinions
                                           prevent serious injury and death to                     comment’’ serves to provide substantive               about proposals in voluntary standards
                                           consumers from unreasonable risks                       staff input.                                          activities with the disclaimer that staff
                                           associated with consumer products. The                     Response 4: Staff currently expresses              cannot represent the Commission’s
                                           Commission previously observed that                     its opinions of ballot items in voluntary             opinions. The disclaimer that staff
                                           an effective voluntary standards                        standards development activities                      cannot ‘‘represent the views of the
                                           program, along with mandatory                           through an abstention with comment,                   Commission’’ is generally understood
                                           standards, can increase product safety                  participation in meetings, email                      within voluntary standards
                                           better than either mandatory or                         communications, conference calls, and                 organizations and will be included as
                                           voluntary standards alone (43 FR 19216                  formal letters submitted to the standards             part of the comments attached to a staff
                                           (May 4, 1978)).                                         development groups. At this time, the                 vote if there is any indication that staff
                                              Comment 2: A commenter expressed                     Commission is not aware of any                        opinion could be misinterpreted as
                                           concern that staff’s inability to                       instances in which expressions of                     representing the views of the
                                           ‘‘officially’’ represent CPSC in voluntary              opinion adversely affected discussions.               Commission.
                                           standards development activities might                  Allowing staff to express staff’s views                  Comment 7: A commenter noted that
                                           be perceived negatively by other                        through a vote may increase the speed                 CPSC’s current policy preventing staff
                                           standards development group                             and efficiency of staff communicating                 from voting in and leading voluntary
                                           participants who expect that individuals                during standards development                          standards activities ensures that the
                                           in the group represent the views of their               meetings. In addition to ballot votes,                CPSC ‘‘maintain[s] its independence as
                                           organizations.                                          dozens of proposals can be made and                   an impartial participant . . .’’
                                              Response 2: CPSC staff currently                     voted on during any given standards                      Response 7: The Commission’s
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                                           provides input to voluntary standards                   development meeting. Allowing staff to                decision to permit the option for staff
                                           development groups; this input                          cast a vote like other members can                    representatives to vote or hold
                                           represents the views and expertise of                   provide instant feedback about staff                  leadership positions should not prevent
                                           Commission staff, not the Commission.                   opinions.                                             the Commission from maintaining its
                                           The fact that staff cannot represent the                   Comment 5: A commenter expressed                   independence. CPSC’s regulation at 16
                                           views of the Commission will not                        concern that CPSC staff’s negative vote               CFR 1031.13(e) states: ‘‘Involvement by


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                                                             Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations                                         5373

                                           Commission officials and employees in                   OEX will subsequently need to approve                 could increase CPSC’s efficiency and
                                           voluntary standards bodies or                           staff participation. The final rule gives             effectiveness in developing standards’’
                                           standards-development groups does not,                  standards development organizations                   (p. 10, GAO–12–582). After reviewing
                                           of itself, connote Commission agreement                 the option to offer a leadership role to              the GAO report, the Commission agreed
                                           with, or endorsement of, decisions                      CPSC staff and for OEX to review and                  with CPSC staff, that in certain limited
                                           reached, approved or published by such                  approve each offer on a case-by-case                  circumstances, if CPSC staff is allowed
                                           bodies or groups.’’ The final rule                      basis. Furthermore, execution of a                    to vote or serve in leadership positions,
                                           requires OEX to approve staff                           leadership role is subject to the bylaws              CPSC staff’s participation may advance
                                           participation, and to consider whether                  of the pertinent standards development                efficient development of safety
                                           ‘‘loss of impartiality’’ would be an issue              organization, many of which require                   standards. Importantly, removing the
                                           in each case.                                           impartiality of people in leadership                  prohibition against these activities from
                                              Comment 8: A commenter asserted                      positions.                                            part 1031 does not require CPSC staff to
                                           that having staff in leadership positions                  Comment 9: Commenters argued that                  vote or to serve as leaders; however,
                                           of voluntary standards development                      having CPSC staff in a leadership role in             removing the prohibition does provide a
                                           groups would have ‘‘a chilling effect’’                 a voluntary standards development                     framework for CPSC to consider, on a
                                           on participation because, ‘‘it is difficult             group could create the practice or                    case-by-case basis, whether staff should
                                           to believe that any manufacturer                        appearance of undue influence if staff is             undertake such activities.
                                           representative would ever risk the ire of               allowed, for example, to schedule
                                                                                                   meetings, set agendas, and decide the                 C. Potential Legal Issues With Greater
                                           CPSC (a potential enforcement action?)                                                                        Staff Participation Identified by
                                           against its company by voicing                          direction of the conversation on the
                                                                                                   voluntary standard.                                   Commenters
                                           disagreement with a CPSC committee or
                                           subcommittee chair or voting against a                     Response 9: Standards development                     Comment 11: Several commenters
                                           CPSC position.’’                                        organizations have rules and bylaws                   argued that allowing staff members to
                                              Response 8: According to CPSC staff,                 that govern and protect the validity of               vote would ‘‘usurp the regulatory
                                           staff’s experience participating in                     their respective consensus-building                   process, effectively allowing the CPSC
                                           voluntary standards development                         procedures. Although the leader of a                  to develop a de facto ‘mandatory
                                           groups does not support the                             committee can have influence over the                 standard’ outside of the notice and
                                           commenter’s claim. CPSC staff regularly                 scheduling of meetings and discussions,               comment rulemaking process in
                                           engages in full and vigorous debates                    the agenda and direction of the                       violation of the Administrative
                                           about staff’s views in standards                        conversation are governed and selected                Procedures Act, as such vote would
                                           development meetings where a                            by the committee members. Every                       likely be given significant weight.’’ The
                                           subcommittee disregards or votes                        proposal made by a member of the                      commenters further asserted that, if staff
                                           against CPSC staff’s position.                          group must be voted on and approved                   assumes a leadership role in a voluntary
                                           Organizations, such as ASTM, have                       by the members, and any irregularities                standards development group, such a
                                           stated that leaders are subject to rules                in procedures are open to challenge by                role would equate to an ‘‘end run’’
                                           that maintain the development of                        any member, as specified in the                       around the normal rulemaking
                                           consensus standards in accordance with                  standards organization’s rules of                     safeguards that are needed to give small
                                           rigorous democratic procedures that                     conduct or bylaws. Chairmen or other                  businesses a voice in the creation of a
                                           ensure open and balanced participation,                 leaders cannot dictate the content or                 mandatory rule.
                                                                                                   wording of a voluntary standard, nor                     Response 11: The Commission
                                           due process, and consensus. Members
                                                                                                   can they move proposals forward                       disagrees. Voluntary standards are not
                                           may monitor, critique, and correct any
                                                                                                   without group consensus. Removing the                 mandatory standards. Allowing staff to
                                           actions of a subcommittee or task group
                                                                                                   prohibition will not alter or affect these            serve in leadership positions in a
                                           chairman according to the rules and by-
                                                                                                   rules and principles.                                 voluntary standards development group
                                           laws of the standards development
                                                                                                      Comment 10: A commenter asserted                   will not alter or circumvent any
                                           organization. Additionally, although                    that the Commission has not shown ‘‘a                 procedures for mandatory rulemaking. If
                                           each organization may differ, leaders are               reason why prohibiting staff from                     the Commission engages in mandatory
                                           nominated and appointed according to                    accepting leadership positions is no                  rulemaking, the Commission will
                                           the standards development                               longer necessary.’’ Another commenter                 continue to follow the appropriate
                                           organization’s rules and procedures. For                termed the reasons for the proposed                   notice and comment rulemaking
                                           example, UL employs UL staff to lead                    rule, ‘‘a mystery.’’                                  procedures.
                                           UL’s standards technical panels. ASTM                      Response 10: As noted above, a GAO                    Comment 12: A commenter noted that
                                           members elect a chairman who appoints                   report recommended that the                           the CPSIA requires the Commission to
                                           subcommittee chairmen from the                          Commission review its policy for                      make some voluntary standards into
                                           general membership, subject to the                      participating in voluntary standards                  mandatory rules and expresses concern
                                           approval of ASTM’s Executive                            development activities and determine                  that a ‘‘blurring’’ is occurring between
                                           Subcommittee (Section 6.3.1, ASTM,                      the feasibility of agency staff assuming              the needed distinction between
                                           2013).1 Task group leaders are                          a more active, engaged role in                        voluntary standards versus CPSC-
                                           appointed during subcommittee                           developing voluntary standards. The                   mandated regulations. The commenter
                                           meetings.                                               GAO concluded that CPSC had                           is concerned that this perceived
                                              Under the final rule, CPSC staff could               interpreted its level of participation                ‘‘blurring’’ of the distinction between
                                           be nominated and appointed to                           more strictly than OMB guidance                       voluntary and mandatory standards is a
                                           leadership roles only after the approval                specified for activities such as voting on            ‘‘slippery slope that could undermine
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                                           of the standards development                            standards and taking leadership                       the legitimacy, independence, and
                                           organization that makes the invitation.                 positions. Other participants in                      effectiveness of the entire voluntary
                                             1 http://www.astm.org/COMMIT/Regs.pdf—ASTM
                                                                                                   voluntary standards development                       standards framework.’’
                                           International, Regulations Governing ASTM
                                                                                                   activities familiar with CPSC                            Response 12: Several provisions of the
                                           Technical Committees, 100 Barr Harbor Drive, West       contributions agreed with OMB that                    CPSIA mandated or provided for the
                                           Conshohocken, PA, October, 2013.                        ‘‘earlier and more active participation               Commission to adopt as mandatory


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                                           5374              Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations

                                           regulations, certain voluntary standards,                  Voluntary standards are important to               voluntary standard. Under section 104
                                           such as those for toys, durable infant                  CPSC, as demonstrated by the large                    of the CPSIA, the Commission is
                                           and toddler products, and all-terrain                   number of voluntary standards                         required to issue a mandatory regulation
                                           vehicles. In these circumstances, there                 committees staff participates in                      for certain durable infant or toddler
                                           is a closer link between voluntary                      annually. However, staff involvement in               products that is the same as, or more
                                           standards and mandatory CPSC                            a voluntary standard committee is not a               stringent than, the voluntary standard if
                                           standards than in other situations.                     precursor to a mandatory rule. When the               the Commission determines that more
                                           However, the Commission follows                         Commission engages in rulemaking                      stringent standards would further
                                           appropriate rulemaking procedures                       under the CPSA, the Commission must                   reduce the risk of injury associated with
                                           when issuing a mandatory rule and                       consider the efficacy of any existing                 such products. Contrary to the
                                           clearly distinguishes between the staff’s               voluntary standards to address the risk               commenter’s assertion, voluntary
                                           activities with a voluntary standards                   of injury or death identified, and                    standards do not ‘‘immediately become
                                           development group and the                               whether products substantially comply                 a mandatory standard.’’ The
                                           Commission’s promulgation of a                          with the voluntary standard.                          Commission can only issue a final
                                           mandatory rule. Allowing staff to hold                     Comment 14: A commenter stated that                mandatory rule if the Commission
                                           leadership positions or vote will not                   the proposed rule would have a                        follows the notice and comment
                                           conflict with the rulemaking process.                   ‘‘chilling effect’’ on participating in the           rulemaking procedures under the APA
                                              Most of CPSC staff’s work with                       development of standards because ‘‘.                  or is otherwise instructed by Congress.
                                           voluntary standards groups is outside of                . . . the plaintiffs’ bar will likely                 Rulemaking can occur in parallel to the
                                           the unique circumstances of these                       attempt to argue in product liability                 voluntary standards development
                                           provisions of the CPSIA and does not                    cases that a negative CPSC vote suggests              process, but cannot be replaced by the
                                           involve any rulemaking activity. Staff is               that a voluntary standard (that was                   voluntary standards development
                                           engaged in the voluntary standards                      properly adopted through, for example,                process.
                                           process for a range of other consumer                   the ANSI or ASTM process) is still                       Comment 16: One commenter
                                           products. Rather than ‘‘undermining the                 ‘unsafe.’ ’’                                          recommended that, if staff is given the
                                                                                                      Response 14: If lawyers wanted to                  opportunity to vote on a ballot item, and
                                           legitimacy’’ of the voluntary standards
                                                                                                   make an argument based on an                          staff casts a negative vote that is later
                                           framework, CPSC staff, in addition to
                                                                                                   individual CPSC staffer’s opinion,                    deemed nonpersuasive by the
                                           stakeholder engagement in the
                                                                                                   lawyers could do that today, based on                 subcommittee, then staff’s
                                           voluntary standards process, has added
                                                                                                   staff’s communications with a voluntary               recommendation or suggestion should
                                           to the legitimacy and credibility of the
                                                                                                   standards development group. Staff                    not be included in any final mandatory
                                           voluntary standards process.
                                                                                                   regularly and openly expresses opinions               standard that incorporates the standard
                                           Participation by all concerned
                                                                                                   about voluntary standards in documents                by reference.
                                           stakeholders collectively to develop
                                                                                                   easily obtained and during open                          Response 16: This comment refers to
                                           safety standards is the most effective                  meetings. Expressing the same opinion                 the ASTM practice of allowing a
                                           way to mitigate the risk of injury                      in a vote will not change this dynamic.               subcommittee to find a negative vote
                                           through the sharing of information, such                   Comment 15: A commenter stated that                nonpersuasive, thereby overriding the
                                           as testing and data.                                    one of the provisions of the Regulations              negative vote and allowing a ballot to
                                              Comment 13: A commenter suggested                    Governing ASTM Technical Committees                   pass, even though the ballot does not
                                           that the language of the NPR sounds like                (Section 19.2.5) is that ‘‘. . . no                   have the consensus of all voters. The
                                           the Commission believes that voluntary                  subcommittee or task group shall make                 commenter is confusing the roles of
                                           standards development is ‘‘some kind of                 any effort to bring about the                         CPSC staff and the Commission. CPSC
                                           precursor to mandatory rulemaking or a                  standardization of any product or                     staff’s opinions and suggestions are just
                                           substitute for an Advanced Notice of                    service for the purpose or with the effect            that, they are the staff’s opinions and
                                           Proposed Rulemaking (‘‘ANPR’’).’’                       of (a) preventing the manufacture or sale             suggestions, not the opinions and
                                              Response 13: In the case of section                  of any product or service not                         suggestions of the Commission. The
                                           104 of the CPSIA, voluntary standards                   conforming to a specified standard.                   creation of a mandatory standard, even
                                           are the basis for the Commission’s                        . . .’’ The commenter argued that                   one with origins in a voluntary
                                           rulemaking for a durable infant or                      agency staff would violate this ASTM                  standard, is separate from voluntary
                                           toddler product. Congress required the                  requirement if the proposed rule were                 standards development and requires
                                           Commission to issue mandatory rules                     approved.                                             action by the Commission. Neither
                                           for certain durable infant and toddler                     Response 15: The Commission                        opinions of CPSC staff, nor the opinions
                                           products that are substantially the same                disagrees with the commenter. CPSC                    of the standards organization members,
                                           as, or more stringent than, the voluntary               staff’s voting or holding leadership                  can bind the Commission to any
                                           standard for such products. Congress                    positions will have no effect on ASTM’s               decision about a mandatory standard.
                                           directed the Commission to issue such                   requirements or procedures used for                   CPSC rulemaking must be conducted
                                           rules under section 553 of the                          standards development. All members,                   following the appropriate statutory
                                           Administrative Procedure Act (‘‘APA’’),                 including CPSC staff participating in the             rulemaking procedure. Furthermore, the
                                           rather than the Commission’s                            ASTM subcommittees are required to                    commenter’s suggestion goes against
                                           rulemaking authority under sections 7                   follow the rules of standard                          separation of the voluntary and
                                           and 9 of the CPSA. In effect, Congress                  development set out by ASTM.                          mandatory standards processes
                                           directed certain juvenile product                          Under the CPSA, the Commission                     discussed previously.
                                           voluntary standards to become                           must rely on a voluntary consumer                        Comment 17: Commenters suggested
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                                           precursors of mandatory rules, but still                product safety standard rather than                   that staff leadership and voting in
                                           required the Commission to use notice                   promulgate a mandatory standard when                  voluntary standards development
                                           and comment rulemaking to make such                     compliance with the voluntary standard                activities might activate certain
                                           standards mandatory rules. Congress                     would eliminate or adequately reduce                  requirements of the APA. These
                                           also made voluntary standards for both                  the risk of injury and it is likely there             requirements ‘‘could hinder or cripple
                                           toys and ATVs mandatory CPSC rules.                     will be substantial compliance with the               the process’’ of developing a standard.


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                                                             Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations                                          5375

                                              Response 17: CPSC staff voting and/                  regulations at 16 CFR part 1031                       national priority and consistent with
                                           or accepting a leadership position in a                 explicitly reference and incorporate the              CPSC’s current operating plan. Even
                                           standards development organization                      meetings policy requiring CPSC                        then, the commenter recommended that
                                           does not implicate the APA. Procedural                  employees to comply with applicable                   leadership roles should be the
                                           requirements of the APA do not apply                    provisions. 16 CFR 1031.11(f) and                     exception, not the rule.
                                           to voluntary standard proceedings but                   1031.13(c). CPSC staff has followed this                 Response 21: The Commission
                                           only to rulemaking undertaken by the                    meetings policy since its 1981                        believes that the final rule will
                                           Commission through its statutory                        implementation when participating in                  contribute to the objectives outlined in
                                           procedures.                                             the voluntary standards development                   the OSTP guidance. OEX will approve
                                              Comment 18: A commenter suggested                    process, including routinely posting                  staff participation on a case-by-case
                                           that staff leadership in standards                      voluntary standards organization                      basis, based on the considerations
                                           development activities might trigger the                meeting notices on the CPSC’s public                  outlined in the rule. The Commission
                                           need to follow the Federal Advisory                     calendar and creating meeting logs to                 expects that standards organizations
                                           Committee Act (‘‘FACA’’).                               record participation.                                 will only extend an invitation for staff
                                              Response 18: FACA is not implicated                    Comment 20: A commenter wrote that                  to take leadership positions during
                                           by CPSC staff serving in a leadership                   staff participation on technical                      exceptional circumstances because
                                           position in a voluntary standards                       committees ‘‘could impede the ability of              many willing standard organization
                                           development group. FACA defines an                      these committees to function effectively              members are often available for taking
                                           ‘‘advisory committee,’’ in relevant part,               by precluding industry participants                   leadership roles in standards
                                           as one that is ‘‘established or utilized by             from discussing or disclosing privileged              organizations.
                                           one or more agencies, in the interest of                information.’’ The commenter                             Comment 22: Another commenter
                                           obtaining advice or recommendations                     recommended allowing technical                        suggested that the Commission should
                                           for the President or one or more                        committee meetings to be closed to the                be involved in the decision to approve
                                           agencies or officers of the Federal                     public to facilitate ‘‘the open, honest               staff participation because it is a policy
                                           Government . . .’’ 5 U.S.C. 3 App. 2.                   dialogue and self-critical analysis that              decision, not just a budgetary concern.
                                           Voluntary standards organizations,                      are the cornerstones of voluntary                        Response 22: The Chairman, not the
                                           committees, and subcommittees are not                   standard development.’’                               Commission, is responsible for
                                           ‘‘established or utilized’’ by the                        Response 20: The final rule allows                  allocating staff resources. 15 U.S.C.
                                           Commission or CPSC staff. Voluntary                     CPSC staff to vote on ballot items and                2053(f)(1). The Executive Director, as
                                           standards committees exist to create and                to hold leadership positions. These                   chief operating officer, manages staff’s
                                           revise voluntary standards, irrespective                revisions do not alter standards                      work. 16 CFR 1000.18. Staff’s work
                                           of whether CPSC staff serves in a                       organizations’ procedural rules or the                includes participation in voluntary
                                           leadership function. Additionally,                      CPSC’s meetings policy (discussed in                  standards activities, whether on a voting
                                           neither the Commission, nor staff, is                   the previous response).                               or non-voting basis and whether in a
                                           establishing or utilizing a voluntary                                                                         leadership or non-leadership capacity.
                                           standards development group to advise                   D. Other Procedural and Burden
                                                                                                                                                            Comment 23: A commenter
                                           the agency on any matter.                               Considerations
                                                                                                                                                         questioned the criteria OEX would
                                              Comment 19: A commenter suggested                       Comment 21: A commenter                            apply to determine when it was
                                           that staff leadership roles might trigger               recommended that CPSC staff                           advisable for staff to participate actively
                                           certain requirements of the Sunshine                    engagement be consistent with the                     in a standards initiative. What rules for
                                           Act (‘‘SA’’), such as calendar notices                  Office of Science and Technology Policy               gaining approval would be set and what
                                           and the accommodation of additional                     (‘‘OSTP’’) guidance,2 namely:                         criteria would OEX apply in the
                                           public participation beyond members                        1. Produce timely, effective standards             decision?
                                           who regularly contribute to standards                   and efficient conformity assessment                      Response 23: OEX will approve staff
                                           development activities. The commenter                   schemes that are essential to addressing              participation on a case-by-case basis,
                                           was concerned that SA obligations                       an identified need;                                   based on the considerations outlined in
                                           would suppress participation and raise                     2. Achieve cost-efficient, timely, and             the rule, namely the policy concerns set
                                           the costs of holding meetings for                       effective solutions to legitimate                     forth in 16 CFR 1031.9:
                                           standards development organizations.                    regulatory procurement and policy                        • An appearance of preferential
                                              Response 19: The SA, 5 U.S.C. 552b,                  objectives;                                           treatment,
                                           does not apply to staff serving in                         3. Promote standards and                              • loss of impartiality,
                                           leadership positions in a voluntary                     standardization schemes that promote                     • compromise of the agency’s
                                           standards development group. As                         and sustain innovation and foster                     independence, and
                                           provided in the Commission’s                            competition;                                             • a real or apparent conflict of
                                           regulations implementing the SA, 16                        4. Enhance U.S. growth and                         interest.
                                           CFR 1013.1, SA requirements only                        competitiveness and ensure non-                          Policy concerns in 16 CFR 1031.9
                                           apply to Commissioners, not to staff.                   discrimination, consistent with                       should be balanced against Commission
                                           The CPSC does have a meetings policy                    international obligations; and                        priorities, available resources, and the
                                           for the agency that applies to CPSC staff,                 5. Facilitate international trade and              need for greater staff involvement,
                                           as well as Commissioners. 16 CFR part                   avoid the creation of unnecessary                     among other things. Nominations for
                                           1012. The meetings policy fosters                       obstacles to trade.                                   leadership roles will be subject to the
                                           transparency and openness. Under the                       The commenter also recommended                     rules set by the standards development
                                           meetings policy, certain meetings                       that CPSC staff only accept leadership                organization, and an OEX decision will
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                                           involving CPSC staff (such as meetings                  positions when the standard is a                      be rendered in a timely manner.
                                           concerning the development of                                                                                    Comment 24: Commenters strongly
                                                                                                      2 Principles for Federal Engagement in Standards
                                           voluntary standards) must be open to                                                                          encouraged the Commission to ensure
                                                                                                   Activities to Address National Priorities (Jan. 17,
                                           the public and must be noticed in                       2012), available at http://www.whitehouse.gov/
                                                                                                                                                         that the personnel assigned to
                                           CPSC’s public calendar. The                             sites/default/files/omb/memoranda/2012/m-12-          participate in voluntary standards
                                           Commission’s voluntary standards                        08.pdf (last accessed March 25, 2014).                development groups have the technical


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                                           5376              Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations

                                           qualifications to address the entire                       Comment 27: A commenter noted that                    Response 29: Government shut downs
                                           subject of the standard, as opposed to a                the policy of limited staff participation             are not common; however, the inability
                                           political appointee without relevant                    in voluntary standards development                    of staff to participate in voluntary
                                           background training. Another                            activities was, in part, to reduce the                standards activities based on this
                                           commenter echoed this concern and                       financial burden on the government.                   situation are similar to other
                                           also recommended that staff                             The commenter did not see how lifting                 circumstances, such as health-related
                                           participation should involve regular                    the prohibitions on staff participation in            issues, which can prohibit any person
                                           attendance at meetings so that any votes                voluntary standards development                       from fulfilling their duties on a
                                           cast by staff would be fully informed.                  activities would reduce the financial                 committee. In the event of a leadership
                                              Response 24: Staff members approved                  burdens on the government.                            lapse, voluntary standards organizations
                                           by OEX to hold leadership positions                        Response 27: The final rule allows                 have standing procedures for replacing
                                           will be qualified to fulfill the                        staff participation in a leadership role              leaders who cannot complete their
                                           responsibilities of their positions.                    on a voluntary standards development                  duties.
                                           CPSC’s regulation at 16 CFR 1031.12                     group with OEX approval after taking
                                                                                                   into consideration a variety of factors,              III. Description of the Final Rule
                                           prohibits certain Commission personnel
                                           who have final decision-making                          which may include resource                               Following is a section-by-section
                                           responsibilities, such as political                     availability. The level of participation in           description of the changes to part 1031.
                                           appointees, from becoming members of                    the voluntary standards process and the               These changes are the same as those set
                                           a voluntary standards development                       necessary commitment of time and                      out in the proposed rule.
                                           group.                                                  resources can vary from situation to                     Section 1031.10(b)—Existing
                                              Comment 25: A commenter suggested                    situation, and will be taken into account             § 1031.10(b), regarding definitions, lists
                                           that the procedures governing the                       by OEX in considering approval.                       the types of activities that may comprise
                                           chairman of a voluntary standards                       Implementing or revising mandatory                    ‘‘employee involvement’’ in voluntary
                                           committee only allow that person to                     standards can be costly in terms of the               standards development activities.
                                           vote when there is a tie on a proposal.                 time and resources required to achieve                Section 1031.10(b) of the final rule
                                           The commenter claimed that this would                   a product safety objective. Participation             expands the list of activities to include:
                                           undermine one of the objectives of the                  in the voluntary standards development                ‘‘participating as a voting member of, or
                                           rule.                                                   process is often a cost-efficient means to            in a leadership position on, a voluntary
                                                                                                   achieve the Commission’s product                      standard development group, when
                                              Response 25: The chairman’s role in
                                                                                                   safety objectives when the result is an               authorized,’’ to recognize that such
                                           a voluntary standard committee is
                                                                                                   effective standard with industry                      activities are part of the term ‘‘employee
                                           defined by each organization’s by-laws,
                                                                                                   compliance. Implementing or revising                  involvement.’’
                                           policies, and procedures. Anyone from
                                                                                                   an effective voluntary standard is in the
                                           CPSC staff taking a leadership role in a                                                                         Section 1031.11(c)—Existing
                                                                                                   interest of the Commission, consumers,
                                           standards organization is required to                                                                         § 1031.11(c), regarding procedural
                                                                                                   and the industry.
                                           adhere to those bylaws and policies. If                    Comment 28: A commenter expressed                  safeguards, states that involvement in
                                           this role is defined in standards                       concern that using staff in leadership                voluntary standards activities by
                                           organization bylaws and policies as one                 roles could slow down the development                 Commission officials and employees is
                                           of a facilitator, then, staff will work to              of voluntary standards because those                  predicated on an understanding by the
                                           facilitate open discussion and debate, in               staffers would need to maintain their                 voluntary standards group that such
                                           accordance with the defined role of a                   daily duties at the Commission.                       involvement is on a non-voting basis.
                                           chairman, and will avoid casting a vote                    Response 28: Before approving staff to             The final rule deletes this provision as
                                           when in that role.                                      serve in a leadership position, the OEX               inconsistent with the goal of allowing
                                              Comment 26: Some commenters                          will consider many factors, including                 employees the option, with prior
                                           expressed concern that the proposed                     the employee’s then current duties and                approval, to participate as voting
                                           rule could affect the ability of staff to               activities. Leaders in voluntary                      members of a voluntary standards
                                           monitor and informally participate in                   standards development groups typically                committee.
                                           the greatest number of voluntary                        have other duties at their place of                      Section 1031.11(d)—Existing
                                           standards. Leadership roles demand                      employment, and if a leader is unable to              § 1031.11(d), regarding procedural
                                           significant resources and administrative                fulfill his/her duties, the standards                 safeguards, states: ‘‘[i]n no case shall
                                           responsibilities that may not be of                     organization has procedures for                       Commission employees or officials vote
                                           significant interest to the Commission.                 replacing the leader to get the work                  or otherwise formally indicate approval
                                              Response 26: The Commission                          completed on a timely basis. These                    or disapproval of a voluntary standard
                                           understands and agrees that leadership                  procedures will apply to staff in                     during the course of a voluntary
                                           roles can be demanding and that the                     leadership roles as well. For standards               standard development process.’’ The
                                           Commission’s resources are limited.                     organizations that use volunteers in                  final rule renumbers this section to
                                           Some leadership roles, such as leading                  leadership roles (rather than voluntary               § 1031.11(c), and revises the content to
                                           a small task group, may take less time                  standards development groups led by                   remove the existing language, which is
                                           and fewer resources and be an                           paid employees like UL), having another               inconsistent with allowing Commission
                                           appropriate use of staff’s time. For a                  committee member who is allowed to                    employees the option, with prior
                                           staff member already committed to                       volunteer for leadership duties will be               approval, to vote. The final rule
                                           participating in a task group, serving as               beneficial during times of increased                  provides that employees authorized to
                                           chairman may not involve a significant                  activity.                                             participate as voting members of a
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                                           amount of extra time and preparation.                      Comment 29: Several commenters                     voluntary standard development group
                                           However, as noted previously, resource                  noted that if staff took leadership                   represent the position of CPSC staff.
                                           demands and availability will be factors                positions in voluntary standards                      Such votes do not necessarily represent
                                           considered by the OEX when deciding                     activities and the government was shut                the opinions or views of the
                                           on a request for staff to hold a                        down, then the standards development                  Commission, and would not be binding
                                           leadership position.                                    process would be slowed down.                         on the Commission.


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                                                             Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations                                            5377

                                              Section 1031.11(e)—Existing                          standards activities must be approved                 PART 1031—COMMISSION
                                           § 1031.11(e), on procedural safeguards,                 by the Office of the Executive Director.              PARTICIPATION AND COMMISSION
                                           states that Commission officials and                                                                          EMPLOYEE INVOLVEMENT IN
                                                                                                   IV. Environmental Impact
                                           employees cannot accept voluntary                                                                             VOLUNTARY STANDARDS ACTIVITIES
                                           standards committee leadership                             Generally, the Commission’s
                                           positions, except that the Voluntary                    regulations are considered to have little             ■  1. The authority citation for part 1031
                                           Standards Coordinator may accept                        or no potential for affecting the human               is revised to read as follows:
                                           leadership positions with the governing                 environment, and environmental
                                                                                                                                                           Authority: 15 U.S.C. 2051–2083; 15 U.S.C.
                                           bodies of standards-making entities with                assessments and impact statements are
                                                                                                                                                         1261–1276; 15 U.S.C. 1191–1204; Sec. 3, 104,
                                           the approval of the Executive Director.                 not usually required. See 16 CFR                      106, 223 Pub. L. 110–314, 122 Stat. 3016,
                                           The final rule renumbers this provision                 1021.5(a). This final rule solely involves            3017 (2008), Sec. 3, 4 Pub. L. 112–28 (2011).
                                           to § 1031.11(d), and revises the language               Commission procedure, and therefore, is
                                           to state that Commission officials or                   not expected to have an adverse impact                ■ 2. In § 1031.10 paragraph (b), revise
                                           employees may accept leadership                         on the environment. The final rule                    the third sentence to read as follows:
                                           positions in voluntary standards                        generally falls within the categorical
                                                                                                   exclusion in 16 CFR 1021.5(c),                        § 1031.10    Definitions.
                                           development groups or leadership
                                           positions with the governing bodies of                  eliminating the need for an                           *      *    *    *     *
                                           standards-making entities, when                         environmental assessment or                              (b) * * * Employee involvement may
                                           authorized with prior approval by the                   environmental impact statement.                       include regularly attending meetings of
                                           Office of the Executive Director.                                                                             a standards development committee or
                                                                                                   V. Regulatory Flexibility Act
                                              Section 1031.11(f)—The final rule                                                                          group, taking an active part in
                                                                                                      The Regulatory Flexibility Act                     discussions and technical debates,
                                           renumbers existing § 1031.11(f) to
                                                                                                   (‘‘RFA’’) requires agencies conduct                   expressing opinions, expending other
                                           § 1031.11(e).
                                                                                                   regulatory impact analyses to assess the              resources in support of a voluntary
                                              Section 1031.12(b)—Existing
                                                                                                   potential economic impact on small                    standard development activity, and
                                           § 1031.12(b), on membership criteria,
                                                                                                   entities, including small businesses,                 participating as a voting member of, or
                                           states that all officials and employees
                                                                                                   unless the agency certifies that the rule             in a leadership position on, a voluntary
                                           not discussed in § 1031.12(a) [which
                                                                                                   will not have a significant economic                  standard development group, when
                                           lists Commissioners and employees who
                                                                                                   impact on a substantial number of small               authorized. * * *
                                           may not become members of voluntary
                                                                                                   entities. The Commission provided such                *      *    *    *     *
                                           standards groups because they either
                                                                                                   a certification in the NPR because the
                                           make or advise on final agency                                                                                ■ 3. In § 1031.11, remove paragraph (f)
                                                                                                   rule would not impose any new
                                           decisions] may be advisory, non-voting                                                                        and revise paragraphs (c), (d), and (e) to
                                                                                                   requirements on businesses, including
                                           members of voluntary standards                                                                                read as follows:
                                                                                                   small businesses nor require any greater
                                           development and advisory groups with
                                                                                                   governmental participation in voluntary               § 1031.11    Procedural safeguards.
                                           the prior approval of the Executive
                                                                                                   standards. The Commission did not
                                           Director, including the Voluntary                                                                             *      *    *     *    *
                                                                                                   receive any comments related to the
                                           Standards Coordinator. Section                                                                                   (c) Commission officials or employees
                                                                                                   certification, and the final rule does not
                                           1031.12(b) of the final rule revises the                                                                      who are authorized to participate as a
                                                                                                   differ from the proposed rule.
                                           language to provide that all other                                                                            voting member of a voluntary standard
                                                                                                   Accordingly, the Commission finds that
                                           officials and employees not covered                                                                           development group represent the
                                                                                                   the final rule will not have a significant
                                           under § 1031.12(a) may participate as                                                                         position of CPSC staff. Such votes or
                                                                                                   impact on a substantial number of small
                                           voting members or accept leadership                                                                           opinions do not bind the Commission in
                                                                                                   entities.
                                           positions in voluntary standard                                                                               any way or necessarily represent the
                                           development groups, when authorized                     VI. Paperwork Reduction Act                           opinions or views of the Commission,
                                           with the prior approval of the Office of                  The final rule does not require any                 but rather, solely represent the views of
                                           the Executive Director. Section                         stakeholder to create, maintain, or                   the CPSC staff.
                                           1031.12(b) of the final rule removes the                disclose information. Thus, the                          (d) Commission employees and
                                           reference to the Voluntary Standards                    Paperwork Reduction Act of 1995 (44                   officials who are involved in the
                                           Coordinator because such person is not                  U.S.C. 3501–3520) is not implicated in                development of voluntary standards
                                           prohibited from becoming a member of                    this rulemaking.                                      may accept leadership positions in
                                           a voluntary standards group in                                                                                voluntary standard development groups
                                           § 1031.12(a). Thus, the Voluntary                       VII. Effective Date
                                                                                                                                                         (e.g., committee chairman or secretary)
                                           Standards Coordinator would fall                           The APA generally requires that the                or leadership positions with the
                                           within the class of persons discussed in                effective date of a rule be at least 30               governing bodies of standard-making
                                           final § 1031.12(b) who may serve as a                   days after publication of a final rule. 5             entities, when authorized with the prior
                                           voting member and hold leadership                       U.S.C. 553(d). Because the final rule                 approval of the Office of the Executive
                                           positions, as authorized.                               solely affects Commission procedure                   Director.
                                              Section 1031.12(c)—Existing                          and does not require stakeholders to                     (e) Attendance of Commission
                                           § 1031.12(c) references the Executive                   take any action, the final rule is effective          personnel at voluntary standards
                                           Director as the management official with                30 days after publication in the Federal              meetings shall be noted in the public
                                           the authority to approve staff serving as               Register.                                             calendar, and meeting summaries shall
                                           members of a voluntary standards
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                                                                                                   List of Subjects in 16 CFR Part 1031                  be submitted to the Office of the
                                           organization or group. Section
                                                                                                     Business and industry, Consumer                     Secretary, as required by the
                                           1031.12(c) of the final rule removes the
                                                                                                   protection, Voluntary standards.                      Commission’s meetings policy, 16 CFR
                                           reference to the ‘‘Executive Director’’
                                                                                                                                                         part 1012.
                                           and replaces it with ‘‘Office of the                      For the reasons stated in the
                                           Executive Director’’ to reflect that prior              preamble, the Commission amends 16                    ■   4. In § 1031.12:
                                           approval for membership in voluntary                    CFR part 1031 as follows:                             ■   a. Revise paragraph (b).


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                                           5378              Federal Register / Vol. 81, No. 21 / Tuesday, February 2, 2016 / Rules and Regulations

                                           ■ b. In paragraph (c), remove the phrase:               the Landowner Helpline reflects an                       transferred the responsibility of dispute-
                                           ‘‘Executive Director,’’ and add in its                  allocation of dedicated resources to                     related calls pertaining to the
                                           place ‘‘Office of the Executive Director’’.             serve the public interest.                               construction and operation of
                                              The revision reads as follows:                       DATES: This rule will become effective                   hydroelectric projects to DRS.5
                                                                                                   March 3, 2016.                                              4. The Commission’s regulations
                                           § 1031.12   Membership criteria.                                                                                 require that natural gas companies
                                                                                                   FOR FURTHER INFORMATION CONTACT:
                                           *     *     *     *     *                                                                                        seeking automatic authorization for
                                             (b) All other officials and employees                 Thomas Sharp, Office of the General
                                                                                                                                                            replacement facilities or blanket
                                           not covered under § 1031.12(a) may                      Counsel, 888 First Street NE.,
                                                                                                                                                            certificate authorization for a project
                                           participate as voting members or accept                 Washington, DC 20426, 202–502–6461,                      under the Natural Gas Act (NGA) must
                                           leadership positions in voluntary                       thomas.sharp@ferc.gov.                                   provide all affected landowners with a
                                           standard development groups, when                       SUPPLEMENTARY INFORMATION:                               description of the company’s
                                           authorized with the prior approval of                   Order No. 821                                            environmental complaint resolution
                                           the Office of the Executive Director.                                                                            procedures, including company contact
                                                                                                   Final Rule                                               telephone numbers which landowners
                                           *     *     *     *     *
                                                                                                   (Issued January 21, 2016)                                can use to identify and resolve
                                             Dated: January 27, 2016.
                                                                                                                                                            environmental mitigation problems and
                                           Todd A. Stevenson,                                         1. 1. By this instant Final Rule, the
                                                                                                                                                            concerns during construction of the
                                           Secretary, Consumer Product Safety                      Commission is revising its regulations 1                 project and restoration of the right-of-
                                           Commission.                                             to substitute the Commission’s recently                  way.6 Companies must also provide
                                           [FR Doc. 2016–01778 Filed 2–1–16; 8:45 am]              established Landowner Helpline in                        affected landowners with the current
                                           BILLING CODE 6355–01–P                                  place of the Commission’s Dispute                        telephone number and email address of
                                                                                                   Resolution Service (DRS) as the point of                 the DRS and instruct them that if they
                                                                                                   contact for dispute-related calls, emails,               are not satisfied with the company’s
                                           DEPARTMENT OF ENERGY                                    and letters, pertaining to the                           response to their complaints, they may
                                                                                                   construction or operation of                             contact the DRS.7
                                           Federal Energy Regulatory                               jurisdictional natural gas and                              5. Going forward, the above-described
                                           Commission                                              hydroelectric projects. The Commission                   DRS responsibilities will be handled by
                                                                                                   is implementing this Final Rule as a                     the new OALJDR Landowner Helpline.
                                           18 CFR Parts 1b, 2, 157, and 380                        result of a recent internal
                                                                                                   reorganization, which designated a                       II. Discussion
                                           [Docket No. RM15–26–000; Order No. 821]                 Landowner Helpline function in the                          6. This Final Rule amends 18 CFR
                                           Transferring Certain Dispute                            Commission’s Office of Administrative                    157.203(d)(1)(iii)(D) to substitute the
                                           Resolution Service Matters to the                       Law Judges and Dispute Resolution                        Commission’s recently established
                                           Commission’s Landowner Helpline                         (OALJDR).                                                Landowner Helpline for the DRS
                                                                                                   I. Background                                            Helpline as the contact for members of
                                           AGENCY:  Federal Energy Regulatory                                                                               the public that have unresolved
                                           Commission, Department of Energy                           2. The Commission’s Enforcement                       disputes with pipeline companies
                                           (DOE).                                                  Hotline has been in existence since June                 following use of the pipeline
                                           ACTION: Final rule.                                     1987. In April 1999, the Enforcement                     companies’ environmental complaint
                                                                                                   Hotline was codified under section                       resolution procedure.8 This Final Rule
                                           SUMMARY:    The Commission is revising                  1b.21 of the Commission’s regulations.2                  also removes and renumbers 18 CFR
                                           its regulations to reflect an internal                  In addition to providing information to                  1b.21 (g) and (h) to create 18 CFR 1b.22
                                           reorganization. On June 14, 2013, the                   the public, and informal, non-binding                    (a) and (b), which substitutes the
                                           Dispute Resolution Service moved from                   staff opinions, any person may seek the                  Commission’s recently established
                                           the Commission’s Office of                              Enforcement Hotline’s assistance in the                  Landowner Helpline for the DRS
                                           Administrative Litigation (OAL) to the                  informal resolution of a dispute,                        Helpline as the contact for any person
                                           Commission’s Office of Administrative                   provided that the dispute is not before                  affected by either the construction or
                                           Law Judges (OALJ), and the resulting                    the Commission in a docketed                             operation of natural gas facilities under
                                           new office was named the Office of                      proceeding.3 The Enforcement Hotline                     the NGA or by the construction or
                                           Administrative Law Judges and Dispute                   is staffed by personnel from the Division                operation of a project under the Federal
                                           Resolution (OALJDR). On January 11,                     of Investigations in the Office of                       Power Act (FPA), who may wish to seek
                                           2015, the Commission designated a                       Enforcement.                                             the informal resolution of a dispute.
                                           Landowner Helpline function in the                         3. On April 15, 2010, the Commission                  This final rule makes this same
                                           OALJDR. The revised regulations                         substituted the DRS, with its expertise                  substitution in 18 CFR 2.55(c)(1)(ii)(C)
                                           substitute the Commission’s recently                    in conflict resolution, for the                          and 18 CFR 380.15(c)(1)(ii)(C). These
                                           established Landowner Helpline in                       Enforcement Hotline as the contact for
                                           place of the Commission’s Dispute                       landowners that have unresolved                          2010); FERC Stat. & Regs. ¶ 31,308 (2010) (cross-
                                           Resolution Service (DRS) as the contact                 disputes with natural gas companies                      referenced at 131 FERC ¶ 61,018 (2010)).
                                           for handling dispute-related calls,                     following use of the companies’                             5 Id. These include calls to OEP’s Division of

                                           emails, and letters, pertaining to the                  environmental complaint resolution                       Hydropower Administration and Compliance
                                                                                                                                                            (DHAC) regarding compliance with hydroelectric
                                           construction and operation of                           procedure.4 The Commission also                          project licensing conditions which DHAC elects to
                                           jurisdictional infrastructure projects.
wgreen on DSK2VPTVN1PROD with RULES




                                                                                                                                                            refer to DRS.
                                           This revision does not preclude                           1 18 CFR 1b.21(g-h), 2.55(c)(1)(ii)(C),                   6 18 CFR 157.203(d)(1)(iii) (2015).

                                           disputants from utilizing other means to                157.203(d)(1)(iii)(D), and 380.15(c)(1)(ii)(C) (2015).      7 18 CFR 157.203(d)(1)(iii)(D) (2015).
                                                                                                     2 18 CFR 1b.21 (2015).                                    8 Notwithstanding the name of the helpline, in
                                           address disputes at the Commission.                       3 Id.
                                                                                                                                                            accordance with section 1b.21(g), any person
                                           The transfer of responsibility for                        4 Instant Final Rule Transferring Certain              affected by a jurisdictional project—whether a
                                           dispute-related calls, emails, and letters              Enforcement Hotline Matters to the Dispute               landowner or not—may make use of the Landowner
                                           pertaining to infrastructure projects to                Resolution Service, 75 FR 21503, at 21504 (April 26,     Helpline.



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Document Created: 2016-02-02 00:31:43
Document Modified: 2016-02-02 00:31:43
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesThe final rule will become effective on March 3, 2016.
ContactPatricia K. Adair, Supervisory Program Analyst, Office of Hazard Identification and Reduction, Consumer Product Safety Commission, 4330 East West Highway, Bethesda, MD 20814; telephone: 301-504-7335; [email protected]
FR Citation81 FR 5369 
CFR AssociatedBusiness and Industry; Consumer Protection and Voluntary Standards

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