Proposed Directives for Forest Service Concession Campground Special Use Permits, 62736-62742 [E9-28744]

Agencies

• DEPARTMENT OF AGRICULTURE
• Forest Service

[Federal Register Volume 74, Number 229 (Tuesday, December 1, 2009)]
[Notices]
[Pages 62736-62742]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-28744]


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DEPARTMENT OF AGRICULTURE

Forest Service

RIN 0596-AC91


Proposed Directives for Forest Service Concession Campground 
Special Use Permits

AGENCY: Forest Service, USDA.

ACTION: Notice of proposed directives; request for comment.

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SUMMARY: The Forest Service is proposing changes to its directives 
governing permits for operation of campground and related Granger-Thye 
concessions (concessions with Government-owned improvements) on 
National Forest System lands. The proposed directives would reduce from 
50 to 10 percent the camping fee discount campground concessioners 
(concessioners) are required to offer to holders of Senior and Access 
Passes and Golden Age and Golden Access Passports. Additionally, the 
proposed directives would allow concessioners to propose camping fee 
discounts above 10 percent for these pass holders in their 
applications; would require concessioners to offer a 10 percent 
discount to holders of Senior and Access Passes and Golden Age and 
Golden Access Passports for standard amenity recreation fee (SARF) day 
use sites that they operate; and would require concessioners to provide 
free use to holders of Annual and Volunteer Passes at SARF day use 
sites they operate. Furthermore, existing concessioners could request 
amendment of their permit to incorporate all of these changes, as well 
as an increase in their land fee for the remaining term of their permit 
if their gross revenue increases significantly due to the reduction in 
the camping fee discount. Alternatively, the proposed directive changes 
would allow existing concessioners to continue operating under the 
terms of their current permit until it expires. Public comment on the 
proposed directives is invited and will be considered in development of 
the final directives.

DATES: Comments must be received in writing by February 1, 2010.

ADDRESSES: Send comments electronically by following the instructions 
at the Federal eRulemaking portal at https://www.regulations.gov. 
Comments also may be submitted by mail to U.S. Forest Service, Attn: 
Carolyn Holbrook, Recreation and Heritage Resources Staff, 1400 
Independence Avenue, SW., Stop 1125, Washington, DC 20250-1125. If 
comments are sent electronically, please do not send duplicate comments 
by mail. Please confine comments to issues pertinent to the proposed 
directives, explain the reasons for any recommended changes, and, where 
possible, reference the specific section and wording being addressed.
    All comments, including names and addresses when provided, will be 
placed in the record and will be available for public inspection. The 
public may inspect comments received on these proposed directives in 
the Office of the Director, Recreation, Heritage, and Volunteer 
Resources Staff, 4th Floor Central, Sidney R. Yates Federal Building, 
14th and Independence Avenue, SW.,

[[Page 62737]]

Washington, DC, on business days between 8:30 a.m. and 4 p.m. Those 
wishing to inspect comments are encouraged to call ahead at 202-205-
1426 to facilitate entry into the building. Copies of comments may be 
requested under the Freedom of Information Act.

FOR FURTHER INFORMATION CONTACT: Carolyn Holbrook, 202-205-1426, 
Recreation, Heritage, and Volunteer Resources Staff.

SUPPLEMENTARY INFORMATION:

1. Background and Need for the Proposed Directives

a. The Campground Concession Program

    Three decades ago, Forest Service personnel operated and maintained 
most Government-owned recreation facilities on National Forest System 
lands. Around that time, the Forest Service began experimenting with 
concession operation of its developed recreation sites. The program has 
evolved to a point where most highly developed campgrounds on National 
Forest System lands are managed by concessioners (approximately 50 
percent of Forest Service camping capacity, or 82 percent of the 
reservable campsites listed in the National Recreation Reservation 
Service (NRRS) are managed by concessioners). The Forest Service 
administers approximately 150 permits for operation of Government-owned 
campgrounds and related recreation sites under Section 7 of the 
Granger-Thye Act, 16 U.S.C. 580d.
    These campground concessions vary based on size, the number of 
developed recreation sites included, and the range of revenue 
generated. For example, a small campground concession with one to three 
developed recreation sites might produce revenue ranging from $50,000 
to $105,000, while a large campground concession with 10 to 12 
developed recreation sites might generate revenue in excess of 
$1,000,000. The Agency anticipates that opportunities to camp and 
recreate at developed recreation sites will continue to be important to 
the public and that the Forest Service will continue to rely on 
concessioners to manage developed camping opportunities.

b. Passes Authorized by the Land and Water Conservation Fund Act and 
the Federal Lands Recreation Enhancement Act

    The Forest Service authorizes operation of Government-owned 
campgrounds and related Granger-Thye concessions under Section 7 of the 
Granger-Thye Act (16 U.S.C. 580d).
    From its enactment in 1965 until its repeal in 2004, section 4 of 
the Land and Water Conservation Fund Act (LWCFA) (16 U.S.C. 460l-6a) 
established criteria for charging a use fee for developed recreation 
sites on National Forest System lands. From 1996 until its repeal in 
2004, the Recreational Fee Demonstration Program (Fee Demo) statute 
(Pub. L. 104-134, Sec.  315) provided separate, broader authority than 
the LWCFA for charging a use fee for developed recreation sites. 
However, as a matter of policy, until 2004, concessioners were 
authorized to charge fees for developed recreation sites only if the 
Forest Service could charge fees for those sites under the LWCFA (see 
Forest Service Manual (FSM) 2344.31).
    In December 2004, the Federal Lands Recreation Enhancement Act 
(REA) (16 U.S.C. 6801-6814) supplanted the LWCFA and the Fee Demo 
statute as the sole recreation fee authority for the Forest Service. 
The Forest Service continued to utilize the same standards, now the 
criteria in REA, for determining whether developed recreation sites, 
both those managed by the Forest Service and those managed by 
concessioners, were eligible for charging a use fee. The campground 
concession prospectus was updated to reflect changes in REA. However, 
FSM 2344.31 must now be updated to replace references to the LWCFA with 
references to REA.
    Additionally, the LWCFA established three passes: (1) A lifetime 
pass for senior citizens and permanent residents, called the Golden Age 
Passport; (2) a lifetime pass for citizens and permanent residents with 
a permanent disability under Federal law, called the Golden Access 
Passport; and (3) an annual pass available to anyone, called the Golden 
Eagle Passport. The Golden Eagle Passport entitled the holder to free 
admission at Federal recreation sites where an entrance fee was 
charged. The Golden Age and Golden Access Passports entitled the holder 
to free admission at Federal recreation sites where an entrance fee was 
charged, as well as a 50 percent discount on camping fees charged at 
Federal recreation sites. Forest Service policy at FSM 2344.31 also 
requires concessioners to provide a 50 percent discount on camping fees 
to holders of the Golden Age or Golden Access Passport.
    REA replaced the Golden Eagle, Golden Age, and Golden Access 
Passports with the America the Beautiful-National Parks and Federal 
Recreational Lands Pass (Interagency Pass). The Interagency Pass 
consists of four passes: (1) The Annual Pass, which replaced the Golden 
Eagle Passport; (2) the Senior Pass, which replaced the Golden Age 
Passport; (3) the Access Pass, which replaced the Golden Access 
Passport; and (4) the new Volunteer Pass, for those who volunteer on 
Federal lands. REA provides that the Golden Eagle, Golden Age, and 
Golden Access Passports remain in effect under the terms under which 
they were issued, to the extent practicable, until they are lost, 
stolen, or expired.
    REA prohibits the Forest Service from charging entrance fees, but 
authorizes the Forest Service to charge an SARF for recreation sites 
that meet certain criteria, including day use sites, and an expanded 
amenity recreation fee for campgrounds and other facilities that meet 
certain criteria. REA provides that the holder of an Interagency Pass, 
including the Annual, Senior, and Access Passes, is entitled to free 
use at Forest Service recreation sites where an SARF is charged. Unlike 
the LWCFA, however, REA does not provide that the holder of a senior 
citizen or disability pass is entitled to a 50 percent discount on 
camping fees charged at Federal recreation sites. However, the 
participating agencies, including the Forest Service, elected to apply 
the 50 percent discount on camping fees provided under the LWCFA to 
holders of Senior and Access Passes issued under REA at federally-
operated recreation sites. Consistent with FSM 2344.31, since enactment 
of REA, the Forest Service has also continued to require concessioners 
to provide a 50 percent discount on camping fees to holders of Golden 
Age and Golden Access Passports and Senior and Access Passes.

c. The Effects of the 50 Percent Discount on Camping Fees

    The Forest Service is the only participating agency that requires 
concessioners to provide a 50 percent discount on camping fees to 
holders of these passes. For example, the National Park Service allows 
its concessioners to elect whether to honor these passes, and most 
elect not to honor them. In addition, concessioners have raised five 
concerns regarding the 50 percent discount on camping fees: (1) REA 
does not require a camping fee discount for Senior and Access Passes; 
(2) a 50 percent discount is very steep and is not comparable to other 
discounts in the private sector; (3) the 50 percent discount is non-
negotiable and thus cannot be used as a marketing tool to encourage 
off-peak use; (4) application of the 50 percent discount to holders of 
Senior and Access Passes is unreasonable in view of the growing

[[Page 62738]]

number of senior citizens in the United States; and (5) the 50 percent 
discount requires concessioners to raise camping fees to compensate for 
the loss in revenue, thus increasing prices for non-seniors and 
discouraging a future generation of campers.

d. Not Honoring the Interagency Pass at SARF Day Use Sites Operated by 
Concessioners

    A converse problem has emerged with SARF day use sites that are 
operated as concessions. After enactment of REA, the Forest Service 
took the position that concessioners should not be required to provide 
free use at SARF sites to any Interagency Pass holders. There were 
several reasons for this policy, including the need to (1) Maintain 
eligibility for the regulatory exemption from the Service Contract Act 
at 29 CFR 4.133(b) by not requiring concessioners to provide extensive 
free services; (2) honor the terms under which these concessions were 
offered; and (3) maintain the economic viability of concessions.
    However, not requiring concessioners to honor Interagency Passes at 
SARF day use sites has resulted in misunderstanding by some Interagency 
Pass holders, who expect to have their passes honored at all SARF day 
use sites. The problem has created a dilemma for the Forest Service. 
The Agency believes that all pass holders should understand how their 
passes will be honored at concessions. Additionally, the Agency 
believes that holders of the Interagency Pass have a reasonable 
expectation that their passes will be honored at all SARF day use 
sites.
    However, it would not be economically viable to require 
concessioners to provide free use to all Interagency Pass holders. Not 
only were these costs not anticipated when the applications for these 
concessions were submitted, but these requirements, in addition to the 
camping fee discount, would be detrimental to the economics of the 
concessions and could render many of them nonviable. Furthermore, 
although camping fees are the primary source of revenue for most 
concessions, for some, the primary source of revenue is day use sites. 
Concessioners are concerned that the Agency will remove these sites 
from concessions to satisfy the expectations of Interagency Pass 
holders and thus eliminate viable business opportunities.

e. Annual Interagency Pass Sales by the Forest Service

    Based on data obtained from a 2008 field survey, the issuance of 
Interagency Passes by the Forest Service can be characterized as 
follows:

------------------------------------------------------------------------
                                                         Percentage of
           Type of pass                Number sold           total
------------------------------------------------------------------------
Access............................             11,991               15.7
Senior............................             47,488               62.0
Annual............................             16,437               21.5
Volunteer.........................                227               00.3
                                   -------------------------------------
    Total.........................             76,143                100
------------------------------------------------------------------------

    Senior and Access Passes, which currently entitle the holder to a 
50 percent discount on camping fees at concessions, represent more than 
78 percent of Interagency Passes issued by the Forest Service. Annual 
Passes, which are not currently honored by concessioners for free use 
at SARF day use sites, represent 21.5 percent of Interagency Passes 
issued by the Forest Service. Volunteer Passes, which are also not 
currently honored by concessioners for free use at SARF day use sites, 
constitute an insignificant percentage of Interagency Passes issued by 
the Forest Service.

f. Offering Different Discounts on Camping Fees for the Two Sets of 
Senior and Disability Passes

    It is impracticable for the Forest Service to offer different 
discounts on camping fees, one for holders of Golden Age and Golden 
Access Passports and another for holders of Senior and Access Passes. 
Most highly developed Forest Service campgrounds are managed by 
concessioners, and campsites at these campgrounds are included in the 
NRRS. It is not feasible under the current technological configuration 
and contract for the NRRS to distinguish between Golden Age and Golden 
Access Passports and Senior and Access Passes in providing camping fee 
discounts for concession sites in the NRRS. Provision of the discount 
to eligible customers for Forest Service sites in the NRRS is driven by 
provision of the holder's pass number, not the type of pass. There is 
no way to differentiate between the numbers for Golden Age and Golden 
Access Passports and the numbers for Senior and Access Passes in the 
NRRS because they have the same number of digits. Moreover, there is no 
national database of pass numbers for either type of pass. Thus, there 
is no means to verify which discount holders of the two types of passes 
should receive through the NRRS.
    The Agency does not want to discourage use of the NRRS because it 
is known in the market as the primary portal for campground 
reservations on Federal lands and it reduces the need to handle cash in 
remote locations, thereby enhancing public safety and accountability. 
The Forest Service also does not want to treat reservation and walk-in 
customers differently with regard to how these two sets of passes are 
honored at concessions.
    Differentiation between the two sets of passes would create an 
excessive workload for the NRRS because of the need to ensure at all 
reservation levels (that is, at the call center, over the internet, and 
for field sales) that the correct discount is being provided. 
Differentiation would add complexity to field operations by requiring 
verification of eligibility and would increase the risk of failure for 
the NRRS contractor in meeting the Government's performance standards 
by imposing a requirement that is difficult to verify.
    Different discounts for the two sets of passes would create 
inequity among members of two classes of citizens, seniors and the 
disabled. Under the NRRS, customers are not classified. All customers 
are considered equal; the only differentiation is that those with a 
Golden Age or Golden Access Passport or Senior or Access Pass enter the 
pass number and receive a discount on camping fees. Furthermore, when 
the Interagency Pass was adopted, holders of Golden Age and Golden 
Access Passports were encouraged to exchange them for Senior or Access 
Passes, and many did. Establishing a dual discount policy would seem 
unfair to these pass holders.
    Finally, a dual standard for the two sets of passes would be 
confusing to current and future pass holders. Therefore, the Forest 
Service is

[[Page 62739]]

proposing to offer the same discounts on camping fees to holders of 
Golden Age and Golden Access Passports as holders of Senior and Access 
Passes.

g. Analysis of the Concession Industry

    In 2008, the Forest Service commissioned a market and financial 
analysis to assist the Forest Service in understanding current trends 
in the campground concession industry. As part of the study, interviews 
were conducted with Forest Service employees across the country at the 
regional, district, and forest levels; campground concessioners; the 
National Forest Recreation Association; the Good Sam Club; the National 
Association of RV Parks and Campgrounds; and the RV Industry 
Association. While AARP declined to be interviewed, the organization 
stated via email that it may submit comments on the proposed 
directives. The Forest Service used the report resulting from the study 
as part of its analysis in preparing this notice.

h. The Effect of Changing Demographics

    Between 2008 and 2022, it is estimated that the number of senior 
citizens 62 years of age or older in the United States will increase at 
an average annual rate of approximately 3 percent a year due to the 
effect of the Baby Boom generation (born between 1946 and 1964). The 
total senior population will grow by approximately 50 percent from 47 
million in 2008 to 70.7 million in 2022, increasing from 15.4 percent 
of the total population in 2008 to 20.7 percent in 2022 according to 
census estimates. In contrast, the rest of the U.S. population is 
expected to decline.
    Between 2001 and 2006, the number of concession camping nights sold 
at a discount was approximately 7.4 percent nationally. By 2007, 
discounted senior use increased to 11.4 percent nationally. Some 
concessioners already provide senior discounts on 25 to 30 percent or 
more of their camping fees. Due to the growth of eligible seniors, the 
number of discounted camping nights could increase nationally to 17 
percent by 2022, assuming current participation rates by seniors and 
non-seniors in camping.
    Concessioners' cost to provide the 50 percent senior and disability 
discounts in 2007 was approximately $4,000,000 nationally. Given the 
projected growth in seniors, continuation of the 50 percent senior and 
disability discount policy could increase the cost of providing the 50 
percent discount to $6,000,000 nationally by 2022. This increase in 
operating costs would likely require a corresponding increase in 
camping fees for non-seniors, who represent a shrinking demographic in 
relation to seniors.
    Assuming full campsite costs ranging from $10.50 to $15.00 for non-
seniors, senior pass holders who would pay $5.25 to $7.50 per night for 
a family campsite under current Forest Service policy would pay $9.45 
to $13.50 for that campsite under the proposed directives. Non-seniors 
already pay an estimated $1.50 extra to offset the senior discount. If 
the discount policy remains unchanged, based solely on growth in the 
number of seniors, campsite cost for non-seniors could increase by $.75 
to $1.00 by 2022 strictly to offset the senior discount. The 
consequential cost of the current policy to non-seniors is inequitable.

i. Forest Service Discount Versus Market Discounts

    Now that the Baby Boom generation is starting to retire, many 
hospitality, travel, and recreation companies have reconsidered their 
approach to senior discounts. Nevertheless, some level of discounting 
remains widespread across hospitality industries. Discount levels vary 
and come with more or less restrictions, but a generally accepted 
standard appears to be approximately 10 percent, rather than 50 
percent, as under current Forest Service policy. Camping discounts in 
the private sector are not uniquely targeted towards seniors. Where 
annual membership fees are charged, discounts range from 10 to 50 
percent. In contrast to the Forest Service senior discount, 
participating campgrounds are generally required to honor the 10 
percent discount at any time of year, although black-out dates may 
apply. The 50 percent discount is typically offered only when space is 
readily available and can therefore be used to encourage off-peak use 
without reducing peak season income.

j. Proposed Change to Pass Policy for Concessioners

    To address the economic impact of escalating senior pass use on 
concessions, to approximate the market rate for discounts, and to treat 
all holders of senior and disability passes the same, the Forest 
Service is proposing to reduce the camping fee discount concessioners 
are required to offer holders of Golden Age and Golden Access Passports 
and Senior and Access Passes from 50 to 10 percent. Concession 
applicants could propose a higher discount in their application to 
encourage use during off-peak times.
    To address the competing objectives of meeting expectations of 
Interagency Pass holders, while retaining the option to operate SARF 
day use sites as part of concessions, the Forest Service is also 
proposing to require concessioners to offer a 10 percent discount to 
holders of Golden Age and Golden Access Passports and Senior and Access 
Passes and free use to holders of Annual and Volunteer Passes at SARF 
day use sites operated by concessioners.
    Revenue derived from camping fees represents approximately 88 
percent of total concession revenue, while revenue derived from day use 
sites, most of which comes from SARFs, represents approximately 12 
percent of total concession revenue. Reducing the camping fee discount 
for holders of Golden Age and Golden Access Passports and Senior and 
Access Passes from 50 percent to 10 percent would increase revenue for 
concessions by approximately $3,360,000 or 9.6 percent nationally. The 
report estimates that the current cost of the 50 percent camping fee 
discount to concessioners is $4.2 million. The proposed directives 
would reduce the camping fee discount to 10 percent or $0.84 million. 
The difference between the value of the current discount and the 
proposed discount, $3.36 million, equals the estimated increase in 
campground concession revenue ($4.2 million - $.84 million = $3.36 
million). Additionally, the report estimates that total campground 
concession revenue is $35 million. Thus, reducing the camping fee 
discount for holders of Golden Age and Golden Access Passports and 
Senior and Access Passes from 50 to 10 percent would increase 
campground concession revenue by approximately $3.36 million or 9.6 
percent of total concession revenue nationally (3.36 / 35 = .096).
    Based on 2007 data, the agency estimates that establishing a 
discount of 10 percent for holders of Golden Age and Golden Access 
Passports and Senior and Access Passes at concession-operated SARF day 
use sites would cost concessioners approximately $50,000 nationally 
(assuming that gross revenue is $4,200,000 and that senior represents 
11.4 percent of total use). This cost could increase to $75,000 by 2022 
based on the increase in the number of eligible seniors. Granting free 
use to holders of Annual and Volunteer Passes would cost concessioners 
approximately $134,000 to $420,000 nationally (assuming that annual 
pass use ranges from 3.2 to 10 percent of total use). There are 
insufficient data regarding current pass use at SARF day use sites. 
Therefore, the lower number in the range is based on the number of 
Annual and Volunteer Passes issued by the Forest Service, which 
represents 28 percent of the number of Senior and Access Passes issued 
by the agency. The

[[Page 62740]]

higher number in the range is based on the assumption that passes 
issued by other Federal agencies will be presented at these sites. 
These two costs combined ($184,000 to $470,000) represent approximately 
0.53 to 1.3 percent of all Forest Service campground concession revenue 
nationally.
    The agency estimates that the cost of providing a 10 percent 
discount for holders of Golden Age and Golden Access Passports and 
Senior and Access Passes and free use to holders of Annual and 
Volunteer Passes at SARF day use sites would be offset by the estimated 
$3,360,000 increase in revenue nationally from reducing the camping fee 
discount for holders of Golden Age and Golden Access Passports and 
Senior and Access Passes. The agency estimates that the concession 
program as a whole would experience a net revenue increase of 
approximately 8.3 to 9.0 percent based on the combined effect of the 
reduced discount on camping fees for holders of Golden Age and Golden 
Access Passports and Senior and Access Passes; the 10 percent discount 
for holders of those passes at SARF day use sites; and free use for 
holders of Annual and Volunteer Passes at concession-operated SARF day 
use sites.
    If existing concessioners would experience a net decrease in 
revenue, they could elect not to amend their permit to include the 
requirements in the proposed directives. When permits are reoffered, 
the Agency would strive to compose the offering so that implementation 
of the proposed directives would not render a concession uneconomical. 
Where revenue generated from SARF day use sites is substantial, the 
prospectus would allow applicants to propose separate percentages of 
gross revenue for SARF day use sites and camping.
    The effect of these policy changes on a particular concession would 
vary depending on the amount of revenue generated from camping fees 
relative to the amount of revenue generated from SARF day use sites. 
Some concessions would experience a significant increase in revenue, 
while others might experience little or no change. The Forest Service 
is proposing to amend the land use fee to maintain market value for 
existing concessioners who agree to have their permits changed to 
reflect the new policy. Specifically, the Forest Service is proposing 
to increase the land use fee by adding a surcharge for the balance of 
these concessioners' permit term in accordance with the schedule below.

------------------------------------------------------------------------
                                             Percentage of gross revenue
         Increase in gross revenue            added to the land use fee
------------------------------------------------------------------------
$10,000 or less...........................  No change.
$10,001 to $25,000........................  +0.25.
$25,001 to 50,000.........................  +0.5.
$50,001 to 75,000.........................  +1.0.
$75,001 to 100,000........................  +1.5.
Over $100,000.............................  +2.0.
------------------------------------------------------------------------

    The example below illustrates the economic effect of the proposed 
directives on a concession that has a significant SARF day use 
component. In this example, a concession generates approximately 
$500,000 in revenue, 50 percent of which is generated from camping 
fees, and 50 percent is generated from day use; 11.4 percent of campers 
and day users hold Senior or Access Passes, and 3 percent of day users 
hold Annual or Volunteer Passes.

--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                        Current camping                       Proposed camping                       Change in revenue/
           Overnight use              Camper nights           fee          Current revenue          fee         Potential revenue       land use fee
--------------------------------------------------------------------------------------------------------------------------------------------------------
No Pass...........................             15,703             $15.00           $235,545             $15.00           $235,545
Senior and Access Passes..........              2,021               7.50             15,158              13.50             27,284
    Totals........................             17,724  .................            250,703  .................            262,829  +12,126
--------------------------------------------------------------------------------------------------------------------------------------------------------


--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                     Change in revenue/
              Day use                    Use days       Current use fee                       Proposed use fee                          land use fee
--------------------------------------------------------------------------------------------------------------------------------------------------------
No Pass...........................             36,581              $5.85           $213,999              $5.85           $213,999
Senior and Access Passes..........              4,872               5.85             28,501               5.27             25,675
Annual and Volunteer Passes.......              1,282               5.85              7,500                  0                  0
    Totals........................             42,735  .................            250,000  .................            239,674  -$10,326
Net Change in Revenue.............  .................  .................  .................  .................  .................  +1,800
Surcharge.........................  .................  .................  .................  .................  .................  none
--------------------------------------------------------------------------------------------------------------------------------------------------------
In this scenario, net concession revenue would increase by only $1,800, so there would be no surcharge.

k. Summary

    The proposed 10 percent discount for seniors and the disabled would 
be comparable to other market discounts and would be sustainable for 
concession operations, even with changing demographics. The reduction 
in the camping fee discount, combined with the added discount and free 
use at SARF day use sites, would generate sufficient revenue to sustain 
viable concession operations and correct the unsustainable cost of a 
non-market based senior discount. These changes are both necessary and 
timely. Furthermore, the proposed changes would ensure consistency and 
fairness in the Forest Service's concessions pass policy.
    Proposed policy changes that are adopted would be incorporated as 
appropriate in the standard prospectus; the standard special use permit 
for concession campgrounds and related Granger-Thye improvements, form 
FS-2700-4h; and other applicable forms.

2. Section-by-Section Analysis of Proposed Changes to FSM 2344.3, 
Campgrounds and Related Granger-Thye Concessions

In General

    FSM 2344.3 would be revised, and section 2344.31, paragraph 1, 
would be replaced with proposed paragraphs 1, 2, 2(a), 2(b), 2(c), and 
3. Current paragraphs 2, 3, and 7 would be renumbered to 5, 6, and 10 
and revised, respectively, to replace references to the

[[Page 62741]]

LWCFA with a reference to REA if applicable and to incorporate 
amendments to Section 7 of the Granger-Thye Act. The remaining current 
paragraphs 4, 5, 6, 8, 9 would be renumbered to 7, 8, 9, 11, and 12 
respectively.

2344.3--Campground and Related Granger-Thye Concessions

    FSM 2344.3 would be revised to replace the reference to the LWCFA 
with a reference to REA. Additionally, the title would be revised for 
consistency with the standard campground concession permit.

2344.31--Policy

Current Paragraph 1
    This paragraph would be revised to conform to the current practice 
in concession prospectuses and the NRRS of requiring a 50 percent 
discount for holders of Senior and Access Passes. Additionally, it 
would limit the requirement to extend a 50 percent discount to holders 
of Golden Age and Golden Access Passports and Senior and Access Passes 
to permits that are in effect before the effective date of the revised 
directives, unless concessioners agree to amend their permit to reflect 
all of the new requirements in paragraphs 2(a), 2(b), 2(c), and 3.
Proposed Paragraph 2
    This paragraph would address the new policy for honoring passes at 
concessions.
Proposed Paragraph 2(a)
    Paragraph 2(a) would reduce the discount on camping fees which 
concessioners are required to provide to holders of Golden Age and 
Golden Access Passports and Senior and Access Passes from 50 to 10 
percent. Additionally, paragraph 2(a) would allow concessioners to 
propose higher discounts in their applications.
Proposed Paragraph 2(b)
    Paragraph 2(b) would require concessioners to provide a 10 percent 
discount at SARF day use sites to holders of Golden Age and Golden 
Access Passports and Senior and Access Passes.
Proposed Paragraph 2(c)
    Paragraph 2(c) would require concessioners to provide free use to 
holders of Annual and Volunteer Passes at SARF day use sites.
Proposed Paragraph 3
    For existing concessioners who elect to amend their permits to 
incorporate the changes to the concession pass policy in the proposed 
directives, this paragraph would impose an increase in the land use fee 
if their gross revenue increases by more than $10,000 from the 
reduction in the camping fee discount.
Proposed Paragraph 4
    This paragraph would clarify that required discounts and free use 
to pass holders must be factored into proposed land use fees.
Current Paragraphs 2 and 3
    Current paragraph 2 in FSM 2344.31 would be renumbered as paragraph 
5, and current paragraph 3 would be renumbered as paragraph 6. Proposed 
paragraphs 5 and 6 would cite the new FSH on publicly managed 
recreation sites or REA, rather than the LWCFA.
Current Paragraph 7
    This paragraph would be renumbered as paragraph 10 and would be 
revised to conform with amendments to Section 7 of the Granger-Thye Act 
regarding land use fee offset.
Current Paragraph 9
    This paragraph would be renumbered as paragraph 12 and would cite 
the new FSH on publicly managed recreation sites. Additionally, this 
paragraph would be revised to include the requirements of the NRRS 
contract, including the need to make at least 60 percent of campsites 
reservable and to allow reservations to be made on the date of arrival 
or up to 4 days in advance of arrival. However, the permit clause 
addressing the NRRS would be removed from the FSM and placed in the 
standard campground concession permit form, FS-2700-4h.
Current Paragraphs 4, 5, 6, and 8
    These paragraphs would be renumbered as 7, 8, 9, and 11.

3. Regulatory Requirements

Environmental Impact

    These proposed directives would revise national Forest Service 
policy governing administration of concession permits. Forest Service 
regulations at 36 CFR 220.6(d)(2) exclude from documentation in an 
environmental assessment or environmental impact statement ``rules, 
regulations, or policies to establish Servicewide administrative 
procedures, program processes, or instructions.'' The Agency has 
concluded that these proposed directives fall within this category of 
actions and that no extraordinary circumstances exist which would 
require preparation of an environmental assessment or environmental 
impact statement.

Regulatory Impact

    These proposed directives have been reviewed under USDA procedures 
and Executive Order (E.O.) 12866 on regulatory planning and review. The 
Office of Management and Budget has determined that these directives 
are not significant. These directives would alter recreation use fees 
paid by the public at concessions. Therefore, these proposed directives 
would not have an annual effect of $100 million or more on the economy, 
nor would they adversely affect productivity, competition, jobs, the 
environment, public health and safety, or State or local governments. 
These proposed directives would not interfere with an action taken or 
planned by another agency, nor would they raise new legal or policy 
issues. Finally, these proposed directives would not alter the 
budgetary impact of entitlement, grant, or loan programs or the rights 
and obligations of beneficiaries of those programs. Accordingly, these 
proposed directives are not subject to Office of Management and Budget 
review under E.O. 12866.
    Moreover, the Agency has considered these proposed directives in 
light of the Regulatory Flexibility Act (5 U.S.C. 602 et seq.). 
Pursuant to a threshold Regulatory Flexibility Act analysis, the Agency 
has determined that these proposed directives would not have a 
significant economic impact on a substantial number of small entities 
as defined by the Act because the proposed directives would not impose 
new recordkeeping requirements on them; the proposed directives would 
not affect their competitive position in relation to large entities; 
and the proposed directives would not significantly affect their cash 
flow, liquidity, or ability to remain in the market. To the contrary, 
these proposed directives would either have a positive or neutral 
effect on the economics of concessions. The benefits are not likely to 
alter costs to small businesses. Revenue for small entities is likely 
to increase from 0.5 to 8.3 percent as a result of these proposed 
directives.

No Takings Implications

    The Agency has analyzed these proposed directives in accordance 
with the principles and criteria contained in E.O. 12630 and has 
determined that the proposed directives would not pose the risk of a 
taking of private property.

Civil Justice Reform

    These proposed directives have been reviewed under E.O. 12988 on 
civil justice reform. If the proposed directives were adopted, (1) All 
State and local laws and regulations that conflict with

[[Page 62742]]

the proposed directives or that would impede their full implementation 
would be preempted; (2) no retroactive effect would be given to the 
proposed directives; and (3) they would not require administrative 
proceedings before parties may file suit in court challenging their 
provisions.

Federalism and Consultation and Coordination With Indian Tribal 
Governments

    The Agency has considered these proposed directives under the 
requirements of E.O. 13132 on federalism and has concluded that the 
proposed directives conform with the federalism principles set out in 
this E.O.; would not impose any compliance costs on the States; and 
would not have substantial direct effects on the States, the 
relationship between the Federal Government and the States, or the 
distribution of power and responsibilities among the various levels of 
government. Therefore, the Agency has determined that no further 
assessment of federalism implications is necessary at this time.
    Moreover, these proposed directives do not have tribal implications 
as defined by E.O. 13175, entitled ``Consultation and Coordination With 
Indian Tribal Governments,'' and therefore advance consultation with 
Tribes is not required.

Energy Effects

    The Agency has reviewed the proposed directives under E.O. 13211, 
entitled ``Actions Concerning Regulations That Significantly Affect 
Energy Supply, Distribution, or Use.'' The Agency has determined that 
these proposed directives do not constitute a significant energy action 
as defined in the E.O.

Unfunded Mandates

    Pursuant to Title II of the Unfunded Mandates Reform Act of 1995 (2 
U.S.C. 1531-1538), the Agency has assessed the effects of these 
proposed directives on State, local, and Tribal Governments and the 
private sector. These proposed directives would not compel the 
expenditure of $100 million or more by any State, local, or Tribal 
Government or anyone in the private sector. Therefore, a statement 
under section 202 of the act is not required.

Controlling Paperwork Burdens on the Public

    These proposed directives do not contain any new recordkeeping or 
reporting requirements or other information collection requirements as 
defined in 5 CFR Part 1320 that are not already required by law or not 
already approved for use. Any information collected from the public 
that would be required by these proposed directives has been approved 
by the Office of Management and Budget and assigned control number 
0596-0082. Accordingly, the review provisions of the Paperwork 
Reduction Act of 1995 (44 U.S.C. 3501 et seq.) and its implementing 
regulations at 5 CFR Part 1320 do not apply.

4. Access to the Proposed Directives

    The intended audience for this direction is Forest Service 
employees charged with issuing and administering concession permits. To 
view the proposed directives, visit the Forest Service's Web site at 
https://www.fs.fed.us/specialuses/. Only the section of the FSM that is 
the subject of this notice has been posted, i.e., FSM 2344.3, 
Campgrounds and Related Granger-Thye Concessions.

    Dated: November 24, 2009.
Hank Kashdan,
Associate Chief.
[FR Doc. E9-28744 Filed 11-30-09; 8:45 am]
BILLING CODE 3410-11-P