Extensions of Credit by Federal Reserve Banks, 39411-39412 [05-13443]

Download as PDF 39411 Rules and Regulations Federal Register Vol. 70, No. 130 Friday, July 8, 2005 This section of the FEDERAL REGISTER contains regulatory documents having general applicability and legal effect, most of which are keyed to and codified in the Code of Federal Regulations, which is published under 50 titles pursuant to 44 U.S.C. 1510. The Code of Federal Regulations is sold by the Superintendent of Documents. Prices of new books are listed in the first FEDERAL REGISTER issue of each week. FEDERAL RESERVE SYSTEM 12 CFR Part 201 [Regulation A] Extensions of Credit by Federal Reserve Banks Board of Governors of the Federal Reserve System. ACTION: Final rule. AGENCY: SUMMARY: The Board of Governors of the Federal Reserve System (Board) has adopted final amendments to its Regulation A to reflect the Board’s approval of an increase in the primary credit rate at each Federal Reserve Bank. The secondary credit rate at each Reserve Bank automatically increased by formula as a result of the Board’s primary credit rate action. DATES: The amendments to part 201 (Regulation A) are effective July 8, 2005. The rate changes for primary and secondary credit were effective on the dates specified in 12 CFR 201.51, as amended. FOR FURTHER INFORMATION CONTACT: Jennifer J. Johnson, Secretary of the Board (202/452–3259); for users of Telecommunication Devices for the Deaf (TDD) only, contact 202/263–4869. SUPPLEMENTARY INFORMATION: The Federal Reserve Banks make primary and secondary credit available to depository institutions as a backup source of funding on a short-term basis, usually overnight. The primary and secondary credit rates are the interest rates that the twelve Federal Reserve Banks charge for extensions of credit under these programs. In accordance with the Federal Reserve Act, the primary and secondary credit rates are established by the boards of directors of the Federal Reserve Banks, subject to the review and determination of the Board. VerDate jul<14>2003 15:44 Jul 07, 2005 Jkt 205001 The Board approved requests by the Reserve Banks to increase by 25 basis points the primary credit rate in effect at each of the twelve Federal Reserve Banks, thereby increasing from 4.00 percent to 4.25 percent the rate that each Reserve Bank charges for extensions of primary credit. As a result of the Board’s action on the primary credit rate, the rate that each Reserve Bank charges for extensions of secondary credit automatically increased from 4.50 percent to 4.75 percent under the secondary credit rate formula. The final amendments to Regulation A reflect these rate changes. The 25-basis-point increase in the primary credit rate was associated with a similar increase in the target for the federal funds rate (from 3.00 percent to 3.25 percent) approved by the Federal Open Market Committee (Committee) and announced at the same time. A press release announcing these actions indicated that: The Committee believes that, even after this action, the stance of monetary policy remains accommodative and, coupled with robust underlying growth in productivity, is providing ongoing support to economic activity. Although energy prices have risen further, the expansion remains firm and labor market conditions continue to improve gradually. Pressures on inflation have stayed elevated, but longer-term inflation expectations remain well contained. The Committee perceives that, with appropriate monetary policy action, the upside and downside risks to the attainment of both sustainable growth and price stability should be kept roughly equal. With underlying inflation expected to be contained, the Committee believes that policy accommodation can be removed at a pace that is likely to be measured. Nonetheless, the Committee will respond to changes in economic prospects as needed to fulfill its obligation to maintain price stability. Regulatory Flexibility Act Certification Pursuant to the Regulatory Flexibility Act (5 U.S.C. 605(b)), the Board certifies that the new primary and secondary credit rates will not have a significantly adverse economic impact on a substantial number of small entities because the final rule does not impose any additional requirements on entities affected by the regulation. Administrative Procedure Act The Board did not follow the provisions of 5 U.S.C. 553(b) relating to notice and public participation in PO 00000 Frm 00001 Fmt 4700 Sfmt 4700 connection with the adoption of these amendments because the Board for good cause determined that delaying implementation of the new primary and secondary credit rates in order to allow notice and public comment would be unnecessary and contrary to the public interest in fostering price stability and sustainable economic growth. For these same reasons, the Board also has not provided 30 days prior notice of the effective date of the rule under section 553(d). 12 CFR Chapter II List of Subjects in 12 CFR Part 201 Banks, Banking, Federal Reserve System, Reporting and recordkeeping. Authority and Issuance For the reasons set forth in the preamble, the Board is amending 12 CFR Chapter II to read as follows: I PART 201—EXTENSIONS OF CREDIT BY FEDERAL RESERVE BANKS (REGULATION A) 1. The authority citation for part 201 continues to read as follows: I Authority: 12 U.S.C. 248(i)–(j), 343 et seq., 347a, 347b, 347c, 348 et seq., 357, 374, 374a, and 461. 2. In § 201.51, paragraphs (a) and (b) are revised to read as follows: I § 201.51 Interest rates applicable to credit extended by a Federal Reserve Bank.1 (a) Primary credit. The interest rates for primary credit provided to depository institutions under § 201.4(a) are: Federal Reserve Bank Boston ................. New York ............. Philadelphia ......... Cleveland ............. Richmond ............ Atlanta ................. Chicago ............... St. Louis .............. Minneapolis ......... Kansas City ......... Dallas ................... San Francisco ..... Rate 4.25 4.25 4.25 4.25 4.25 4.25 4.25 4.25 4.25 4.25 4.25 4.25 Effective June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. July 1, 2005. June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. 1 The primary, secondary, and seasonal credit rates described in this section apply to both advances and discounts made under the primary, secondary, and seasonal credit programs, respectively. E:\FR\FM\08JYR1.SGM 08JYR1 39412 Federal Register / Vol. 70, No. 130 / Friday, July 8, 2005 / Rules and Regulations (b) Secondary credit. The interest rates for secondary credit provided to depository institutions under 201.4(b) are: Federal Reserve Bank Rate Boston ................. New York ............. Philadelphia ......... Cleveland ............. Richmond ............ Atlanta ................. Chicago ............... St. Louis .............. Minneapolis ......... Kansas City ......... Dallas ................... San Francisco ..... * * * 4.75 4.75 4.75 4.75 4.75 4.75 4.75 4.75 4.75 4.75 4.75 4.75 * Effective June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. July 1, 2005. June 30, 2005. June 30, 2005. June 30, 2005. June 30, 2005. * By order of the Board of Governors of the Federal Reserve System, July 5, 2005. Jennifer J. Johnson, Secretary of the Board. [FR Doc. 05–13443 Filed 7–7–05; 8:45 am] BILLING CODE 6210–02–P DEPARTMENT OF TRANSPORTATION Federal Aviation Administration 14 CFR Part 39 [Docket No. FAA–2005–21730; Directorate Identifier 2005–NE–18–AD; Amendment 39– 14186; AD 2005–14–09] RIN 2120–AA64 Airworthiness Directives; Rolls-Royce plc Models RB211 Trent 768–60, Trent 772–60, and Trent 772B–60 Turbofan Engines Federal Aviation Administration (FAA), DOT. ACTION: Final rule; request for comments. AGENCY: The FAA is adopting a new airworthiness directive (AD) for RollsRoyce plc (RR) models RB211 Trent 768–60, Trent 772–60, and Trent 772B– 60 turbofan engines. This AD requires removal of certain Engine Electronic Controller (EEC) part numbers from service. This AD results from nine reports of loss of engine parameters displayed in the airplane cockpit, with the simultaneous loss of capability to change thrust of the affected engine. We are issuing this AD to prevent loss of airplane control after an aborted takeoff due to asymmetric thrust. DATES: Effective July 25, 2005. We must receive any comments on this AD by September 6, 2005. SUMMARY: VerDate jul<14>2003 15:44 Jul 07, 2005 Jkt 205001 Use one of the following addresses to comment on this AD: • DOT Docket Web site: Go to http://dms.dot.gov and follow the instructions for sending your comments electronically. • Government-wide rulemaking Web site: Go to http://www.regulations.gov and follow the instructions for sending your comments electronically. • Mail: Docket Management Facility; U.S. Department of Transportation, 400 Seventh Street, SW., Nassif Building, Room PL–401, Washington, DC 20590– 0001. • Fax: (202) 493–2251. • Hand Delivery: Room PL–401 on the plaza level of the Nassif Building, 400 Seventh Street, SW., Washington, DC, between 9 a.m. and 5 p.m., Monday through Friday, except Federal holidays. FOR FURTHER INFORMATION CONTACT: Christopher Spinney, Aerospace Engineer, Engine Certification Office, FAA, Engine and Propeller Directorate, 12 New England Executive Park, Burlington, MA 01803–5299; telephone (781) 238–7175; fax (781) 238–7199. SUPPLEMENTARY INFORMATION: The Civil Aviation Authority (CAA), which is the airworthiness authority for the United Kingdom (UK), recently notified us that an unsafe condition might exist on Rolls-Royce plc RB211 Trent 768–60, Trent 772–60, and Trent 772B–60 turbofan engines. The CAA advises that there have been nine reports of loss of engine parameters displayed in the airplane cockpit, with the simultaneous loss of capability to change thrust of the affected engine. RR’s investigation established the cause of these conditions to be a fault in the EEC software. RR has determined that if this condition occurs during takeoff roll and in response, the crew attempts to abort the takeoff, hazardous asymmetric thrust could occur. ADDRESSES: Bilateral Airworthiness Agreement These RR RB211 Trent 768–60, Trent 772–60, and Trent 772B–60 turbofan engines are manufactured in the UK and are type certificated for operation in the United States under the provisions of section 21.29 of the Federal Aviation Regulations (14 CFR 21.29) and the applicable bilateral airworthiness agreement. Under this bilateral airworthiness agreement, the CAA kept the FAA informed of the situation described above. We have examined the findings of the CAA, reviewed all available information, and determined that AD action is necessary for products of this type design that are certificated for operation in the United States. PO 00000 Frm 00002 Fmt 4700 Sfmt 4700 FAA’s Determination and Requirements of This AD Although no airplanes that are registered in the United States use these engines, the possibility exists that the engines could be used on airplanes that are registered in the United States in the future. The unsafe condition described previously is likely to exist or develop on other RR RB211 Trent 768–60, Trent 772–60, and Trent 772B–60 turbofan engines of the same type design. We are issuing this AD to prevent loss of airplane control after an aborted takeoff due to asymmetric thrust. This AD requires removal of certain EEC part numbers from service. FAA’s Determination of the Effective Date Since there are currently no domestic operators of this engine model, notice and opportunity for public comment before issuing this AD are unnecessary. A situation exists that allows the immediate adoption of this regulation. Comments Invited This AD is a final rule that involves requirements affecting flight safety and was not preceded by notice and an opportunity for public comment; however, we invite you to send us any written relevant data, views, or arguments regarding this AD. Send your comments to an address listed under ADDRESSES. Include ‘‘AD Docket No. FAA–2005–21730; Directorate Identifier 2005–NE–18–AD’’ in the subject line of your comments. We specifically invite comments on the overall regulatory, economic, environmental, and energy aspects of the rule that might suggest a need to modify it. We will post all comments we receive, without change, to http:// dms.dot.gov, including any personal information you provide. We will also post a report summarizing each substantive verbal contact with FAA personnel concerning this AD. Using the search function of the Docket Management System Web site, anyone can find and read the comments in any of our dockets, including the name of the individual who sent the comment (or signed the comment on behalf of an association, business, labor union, etc.). You may review the DOT’s complete Privacy Act Statement in the Federal Register published on April 11, 2000 (65 FR 19477–78) or you may visit http://dms.dot.gov. Examining the AD Docket You may examine the docket that contains the AD, any comments received, and any final disposition in person at the Docket Management E:\FR\FM\08JYR1.SGM 08JYR1

Agencies

[Federal Register Volume 70, Number 130 (Friday, July 8, 2005)]
[Rules and Regulations]
[Pages 39411-39412]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-13443]



========================================================================
Rules and Regulations
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains regulatory documents 
having general applicability and legal effect, most of which are keyed 
to and codified in the Code of Federal Regulations, which is published 
under 50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by the Superintendent of Documents. 
Prices of new books are listed in the first FEDERAL REGISTER issue of each 
week.

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


Federal Register / Vol. 70, No. 130 / Friday, July 8, 2005 / Rules 
and Regulations

[[Page 39411]]



FEDERAL RESERVE SYSTEM

12 CFR Part 201

[Regulation A]


Extensions of Credit by Federal Reserve Banks

AGENCY: Board of Governors of the Federal Reserve System.

ACTION: Final rule.

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

SUMMARY: The Board of Governors of the Federal Reserve System (Board) 
has adopted final amendments to its Regulation A to reflect the Board's 
approval of an increase in the primary credit rate at each Federal 
Reserve Bank. The secondary credit rate at each Reserve Bank 
automatically increased by formula as a result of the Board's primary 
credit rate action.

DATES: The amendments to part 201 (Regulation A) are effective July 8, 
2005. The rate changes for primary and secondary credit were effective 
on the dates specified in 12 CFR 201.51, as amended.

FOR FURTHER INFORMATION CONTACT: Jennifer J. Johnson, Secretary of the 
Board (202/452-3259); for users of Telecommunication Devices for the 
Deaf (TDD) only, contact 202/263-4869.

SUPPLEMENTARY INFORMATION: The Federal Reserve Banks make primary and 
secondary credit available to depository institutions as a backup 
source of funding on a short-term basis, usually overnight. The primary 
and secondary credit rates are the interest rates that the twelve 
Federal Reserve Banks charge for extensions of credit under these 
programs. In accordance with the Federal Reserve Act, the primary and 
secondary credit rates are established by the boards of directors of 
the Federal Reserve Banks, subject to the review and determination of 
the Board.
    The Board approved requests by the Reserve Banks to increase by 25 
basis points the primary credit rate in effect at each of the twelve 
Federal Reserve Banks, thereby increasing from 4.00 percent to 4.25 
percent the rate that each Reserve Bank charges for extensions of 
primary credit. As a result of the Board's action on the primary credit 
rate, the rate that each Reserve Bank charges for extensions of 
secondary credit automatically increased from 4.50 percent to 4.75 
percent under the secondary credit rate formula. The final amendments 
to Regulation A reflect these rate changes.
    The 25-basis-point increase in the primary credit rate was 
associated with a similar increase in the target for the federal funds 
rate (from 3.00 percent to 3.25 percent) approved by the Federal Open 
Market Committee (Committee) and announced at the same time. A press 
release announcing these actions indicated that:

    The Committee believes that, even after this action, the stance 
of monetary policy remains accommodative and, coupled with robust 
underlying growth in productivity, is providing ongoing support to 
economic activity. Although energy prices have risen further, the 
expansion remains firm and labor market conditions continue to 
improve gradually. Pressures on inflation have stayed elevated, but 
longer-term inflation expectations remain well contained.
    The Committee perceives that, with appropriate monetary policy 
action, the upside and downside risks to the attainment of both 
sustainable growth and price stability should be kept roughly equal. 
With underlying inflation expected to be contained, the Committee 
believes that policy accommodation can be removed at a pace that is 
likely to be measured. Nonetheless, the Committee will respond to 
changes in economic prospects as needed to fulfill its obligation to 
maintain price stability.

Regulatory Flexibility Act Certification

    Pursuant to the Regulatory Flexibility Act (5 U.S.C. 605(b)), the 
Board certifies that the new primary and secondary credit rates will 
not have a significantly adverse economic impact on a substantial 
number of small entities because the final rule does not impose any 
additional requirements on entities affected by the regulation.

Administrative Procedure Act

    The Board did not follow the provisions of 5 U.S.C. 553(b) relating 
to notice and public participation in connection with the adoption of 
these amendments because the Board for good cause determined that 
delaying implementation of the new primary and secondary credit rates 
in order to allow notice and public comment would be unnecessary and 
contrary to the public interest in fostering price stability and 
sustainable economic growth. For these same reasons, the Board also has 
not provided 30 days prior notice of the effective date of the rule 
under section 553(d).

12 CFR Chapter II

List of Subjects in 12 CFR Part 201

    Banks, Banking, Federal Reserve System, Reporting and 
recordkeeping.

Authority and Issuance

0
For the reasons set forth in the preamble, the Board is amending 12 CFR 
Chapter II to read as follows:

PART 201--EXTENSIONS OF CREDIT BY FEDERAL RESERVE BANKS (REGULATION 
A)

0
1. The authority citation for part 201 continues to read as follows:

    Authority: 12 U.S.C. 248(i)-(j), 343 et seq., 347a, 347b, 347c, 
348 et seq., 357, 374, 374a, and 461.


0
2. In Sec.  201.51, paragraphs (a) and (b) are revised to read as 
follows:


Sec.  201.51  Interest rates applicable to credit extended by a Federal 
Reserve Bank.\1\
---------------------------------------------------------------------------

    \1\ The primary, secondary, and seasonal credit rates described 
in this section apply to both advances and discounts made under the 
primary, secondary, and seasonal credit programs, respectively.
---------------------------------------------------------------------------

    (a) Primary credit. The interest rates for primary credit provided 
to depository institutions under Sec.  201.4(a) are:

------------------------------------------------------------------------
        Federal Reserve Bank            Rate           Effective
------------------------------------------------------------------------
Boston..............................     4.25  June 30, 2005.
New York............................     4.25  June 30, 2005.
Philadelphia........................     4.25  June 30, 2005.
Cleveland...........................     4.25  June 30, 2005.
Richmond............................     4.25  June 30, 2005.
Atlanta.............................     4.25  June 30, 2005.
Chicago.............................     4.25  June 30, 2005.
St. Louis...........................     4.25  July 1, 2005.
Minneapolis.........................     4.25  June 30, 2005.
Kansas City.........................     4.25  June 30, 2005.
Dallas..............................     4.25  June 30, 2005.
San Francisco.......................     4.25  June 30, 2005.
------------------------------------------------------------------------


[[Page 39412]]

    (b) Secondary credit. The interest rates for secondary credit 
provided to depository institutions under 201.4(b) are:

------------------------------------------------------------------------
        Federal Reserve Bank            Rate           Effective
------------------------------------------------------------------------
Boston..............................     4.75  June 30, 2005.
New York............................     4.75  June 30, 2005.
Philadelphia........................     4.75  June 30, 2005.
Cleveland...........................     4.75  June 30, 2005.
Richmond............................     4.75  June 30, 2005.
Atlanta.............................     4.75  June 30, 2005.
Chicago.............................     4.75  June 30, 2005.
St. Louis...........................     4.75  July 1, 2005.
Minneapolis.........................     4.75  June 30, 2005.
Kansas City.........................     4.75  June 30, 2005.
Dallas..............................     4.75  June 30, 2005.
San Francisco.......................     4.75  June 30, 2005.
------------------------------------------------------------------------

* * * * *


    By order of the Board of Governors of the Federal Reserve 
System, July 5, 2005.
Jennifer J. Johnson,
Secretary of the Board.
[FR Doc. 05-13443 Filed 7-7-05; 8:45 am]
BILLING CODE 6210-02-P