Rural Empowerment Zones and Enterprise Communities

From: GPO_OnLine_USDA
Date: 2003/04/03


[Federal Register: April 3, 2003 (Volume 68, Number 64)]
[Rules and Regulations]
[Page 16169-16170]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr03ap03-1]

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[[Page 16169]]

DEPARTMENT OF AGRICULTURE

Office of the Secretary

7 CFR Part 25

 
Rural Empowerment Zones and Enterprise Communities

AGENCY: Office of the Secretary, USDA.

ACTION: Final rule.

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SUMMARY: The Secretary of the U.S. Department of Agriculture acting
through the Under Secretary, Rural Development, revises the regulations
for the rural empowerment zone program to amend the definition of
designation date to include the designation date for two rural
empowerment zones authorized by the Community Renewal Tax Relief Act of
2000 (Round III).

EFFECTIVE DATE: April 3, 2003.

FOR FURTHER INFORMATION CONTACT: Deputy Administrator for Community
Development, USDA Rural Development, Office of Community Development,
STOP 3203, 1400 Independence Ave., SW., Washington, DC 20024-3203,
telephone 1-800-645-4712, or by sending an Internet e-mail message to
``feedback@ocdx.usda.gov <mailto:feedback@ocdx.usda.gov>''. For hearing- and speech-impaired persons,
information concerning this program may be obtained by contacting
USDA's Target Center at (202) 720-2600 (Voice and TDD).

SUPPLEMENTARY INFORMATION:

Classification

    This rule has been determined to be non-significant for purposes of
Executive Order 12866 and, therefore, has not been reviewed by the
Office of Management and Budget (OMB).

Programs Affected

    The Catalog of Federal Domestic Assistance Program affected by this
action is 10.772, Empowerment Zone Program.

Program Administration

    The program is administered through the Office of Community
Development within the Rural Development mission area of the Department
of Agriculture.

Paperwork Reduction Act

    There are no reporting or recordkeeping requirements associated
with this rule.

Intergovernmental Review

    This program is not subject to the provisions of Executive Order
12372, which requires intergovernmental consultation with State and
local officials.

Regulatory Flexibility Act

    In compliance with the Regulatory Flexibility Act (5 U.S.C. 601-
612), the undersigned has determined and certified by signature of this
document that this rule will not have a significant economic impact on
a substantial number of small entities. New provisions included in this
rule will not impact a substantial number of small entities to a
greater extent than large entities. Therefore, a regulatory flexibility
analysis was not performed.

Civil Justice Reform

    This rule has been reviewed under Executive Order 12988, Civil
Justice Reform. In accordance with this Executive Order: (1) All State
and local laws and regulations that are in conflict with this rule will
be preempted, (2) no retroactive effect will be given to this rule and
(3) administrative proceedings in accordance with the regulations of
the Agency at 7 CFR part 11 must be exhausted before bringing
litigation challenging action taken under this rule unless those
regulations specifically allow bringing suit at an earlier time.

Environmental Impact Statement

    It is the determination of the Secretary that this action is not a
major Federal action significantly affecting the environment.
Therefore, in accordance with the National Environmental Policy Act of
1969, Public Law 91-190, and 7 CFR part 25, an Environmental Impact
Statement is not required.

The Unfunded Mandates Reform Act of 1995

    Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), Public
Law 104-4, establishes requirements for Federal agencies to assess the
effects of their regulatory actions on state, local, and tribal
governments and the private sector. Under section 202 of the UMRA, USDA
must prepare a written statement, including a cost benefit analysis,
for proposed and final rules with ``Federal mandates'' that may result
in expenditures to state, local or tribal governments, in the
aggregate, or to the private sector, of $100 million or more in any one
year. When such a statement is needed for a rule, section 205 of UMRA
generally requires USDA to identify and consider a reasonable number of
regulatory alternatives and adopt the least costly, more cost effective
or least burdensome alternative that achieves the objectives of the
rule.
    This rule contains no Federal mandates (under the regulatory
provisions of title II of the UMRA) for state, local, and tribal
governments or the private sector. Therefore this rule is not subject
to the requirements of sections 202 and 205 of UMRA.

Executive Order 13132, Federalism

    The policies contained in this rule will not have substantial
direct effects on states or their political subdivisions, or the
relationship between the Federal Government and the states, or on the
distribution of power and responsibilities among the various levels of
government. Nor does this rule impose substantial direct compliance
costs or other effects on States or their political subdivisions or on
the distribution of power and responsibilities among the various levels
of governments. Thus, it has been determined under Executive Order
13132, Federalism, that this rule does not have sufficient federalism
implications to warrant the preparation of a Federalism Assessment.

Background

    On December 21, 2000, the Community Renewal Tax Relief Act (Pub. L.
106-554) was signed into law, authorizing the designation of two
additional rural empowerment zones, bringing the total authorized rural
empowerment zones to ten. The eligibility criteria for Round III are
exactly the same as for the rural empowerment zones authorized by the
Taxpayer Relief Act of 1997 (Pub. L. 105-34).
    The Secretary announced on January 11, 2002 that the Northern Maine

[[Page 16170]]

Development Commission, Inc. (Aroostook County) in Maine and Middle Rio
Grande FUTURO Communities in Texas were designated as rural empowerment
zones pursuant to the Round III authorizing legislation.
    It is important to establish with certainty the beginning date of
the period that runs with empowerment zone designation for these
communities. It is particularly relevant to bond counsels which provide
opinions on the validity of tax preferential bonds issued under the
empowerment zone provisions in the Internal Revenue Code. Accordingly,
this final rule amends the definition of designation date to include
the designation date for Round III empowerment zones in addition to the
other relevant designation dates.
    This regulation is being published as a final rule without a Notice
of Prior Rulemaking because the change being made is a matter of
historical fact and is not subject to change in response to comments.
Therefore, public comment is unnecessary and impracticable and contrary
to the public interest. For this same reason, this final rule will be
effective immediately upon publication.

Delegation of Authority

    In the Final Rule published on March 25, 2002 (67 FR 13553), the
Secretary of Agriculture delegated to the Under Secretary, Rural
Development, authority to promulgate regulations for 7 CFR part 25.

List of Subjects in 7 CFR Part 25

    Community development, Economic development, Empowerment zones,
Enterprise communities, Housing, Indians, Intergovernmental relations,
Reporting and recordkeeping requirements, Rural development.

0
In accordance with the reasons set out in the preamble, 7 CFR part 25
is amended as follows:

PART 25--RURAL EMPOWERMENT ZONES AND ENTERPRISE COMMUNITIES

0
1. The authority citation for part 25 is revised to read as follows:

    Authority: 5 U.S.C. 301; 26 U.S.C. 1391; Pub. L. 103-66, 107
Stat. 543; Pub L. 105-34, 111 Stat. 885; Sec. 766, Pub. L. 105-277,
112 Stat. 2681-37; Pub. L. 106-554 [Title I of H.R. 5562], 114 Stat.
2763.

Subpart A--General Provision

0
2. Amend Sec. 25.3 by revising the definition of ``designation date''
to read as follows:

Sec. 25.3 Definitions.

* * * * *
    Designation date means December 21, 1994, in the case of Round I
designations, December 24, 1998, in the case of Round II and Round IIS
designations and January 11, 2002, in the case of Round III
designations.
* * * * *

    Dated: March 25, 2003.
Thomas C. Dorr,
Under Secretary, Rural Development.
[FR Doc. 03-8039 Filed 4-2-03; 8:45 am]

BILLING CODE 3410-01-P



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