Procedures for Responding to Petitions for Rulemaking, 59851-59855 [2021-21824]
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Federal Register / Vol. 86, No. 207 / Friday, October 29, 2021 / Rules and Regulations
FEDERAL TRADE COMMISSION
16 CFR Parts 1, 4, 306, 309, 323, and
500
Procedures for Responding to
Petitions for Rulemaking
Federal Trade Commission.
ACTION: Final rule.
AGENCY:
The Federal Trade
Commission (‘‘FTC’’ or ‘‘Commission’’)
is updating its procedures for
responding to petitions for rulemaking.
These changes will provide increased
transparency and promote public
participation in the rulemaking process.
Pursuant to the amendments, the FTC
will provide notice and an opportunity
for public comment on petitions for the
issuance, amendment, or repeal of
regulations. The rules also provide
greater guidance to the public on the
procedures for filing petitions and the
types of material that may be submitted
in support of a petition.
DATES: This rule is effective October 29,
2021.
FOR FURTHER INFORMATION CONTACT:
Kenny Wright, Attorney (202–326–
2907), Office of the General Counsel,
Federal Trade Commission, 600
Pennsylvania Avenue NW, Washington,
DC 20580.
SUPPLEMENTARY INFORMATION: The
Commission is revising parts 1 and 4 of
its rules of practice, 16 CFR parts 1 and
4, to update procedures for handling
petitions for rulemaking. These updated
procedures will govern the handling of
petitions for the issuance, amendments,
or repeal of rules, including trade
regulation rules issued pursuant to
Section 18(a)(1)(B) of the FTC Act (15
U.S.C. 57a(a)(1)(B)), as well as other
statutory grants of rulemaking authority.
These procedures will also apply to
requests to issue, amend, or repeal
interpretive rules, including guides
described in subchapter B of the
Commission rules and other official
Commission interpretations.1 In
addition, the procedures will apply to
petitions from regulated parties seeking
exemptions from Commission rules.2
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SUMMARY:
1 These new procedures do not alter or supersede
the procedures described in subpart A of Part 1, 16
CFR 1.1 through 1.4, of the Commission’s rules of
practice governing requests for advisory opinions
with respect to a course of action the requesting
party proposes to pursue. Requests for
individualized advisory opinions relating to the
lawfulness of a specific course of conduct will
continue to be handled pursuant to the procedures
outlined in subpart A of Part 1.
2 As described below, the Commission is also
making conforming amendments to provisions in
parts 306, 309, 323, and 500, which allow regulated
parties to seek exemptions from Commission rules,
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The amendments add a new subpart
D in part 1 of the Commission rules to
establish updated procedures for
responding to petitions for rulemaking.
Pursuant to these procedures, interested
persons may petition the Commission
for the issuance, amendment, or repeal
of a regulation administered by the
Commission, including an interpretive
rule providing a Commission
interpretation of a statute or regulation
administered by the Commission.
Under the revised procedures, the
Commission will publish petitions for
rulemaking in the Federal Register and
invite public comment on the merits of
petitions. This change will promote
public participation in the rulemaking
process and allow the Commission to
obtain useful public input in reaching a
determination on whether to grant a
petition for rulemaking.
The amendments also provide
additional detail regarding the types of
information that must be filed in
support of a petition for rulemaking as
well as the types of data that may assist
the Commission in evaluating petitions.
The rule describes the information and
supporting data that must be included
with any petition for rulemaking,
including the name and contact
information for the petitioner along with
an explanation of how the petitioner’s
interests would be affected by the
proposed action. The rule also requires
petitioners to provide a thorough
description of the action being
requested along with a full explanation
of the factual and legal basis for the
requested action. The rule also provides
guidance to petitioners on the types of
information that may be relied upon to
support a petition including, but not
limited to, research, industry data, and
all scientific, technical, or statistical
analyses prepared in support of the
proposal.
The rule also provides instructions to
the public on the mechanics for filing
petitions for rulemaking, and additional
detail on how the Commission will
docket and handle petitions that are
received. The revised rule also promotes
transparency by ensuring petitioners are
notified of a Commission decision to
either initiate rulemaking in response to
a petition or to deny the petition. In
addition, the revised rule provides
clearer instructions on how to obtain
confidential treatment of information
submitted in support of a petition.
These procedures will also apply to
petitions for exemptions from
Commission rules. Accordingly, the
to include a cross-reference to the Commission’s
updated procedures for responding to petitions for
rulemaking.
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Commission is making conforming
amendments to update cross-references
to the Commission’s procedures for
responding to petitions for rulemaking
and petitions for exemptions from an
agency rule in several other FTC rules.
§ 1.6
How Promulgated
The amendments revise § 1.6 to
clarify that the Commission will employ
these updated procedures to respond to
petitions seeking the issuance,
amendment, or repeal of industry
guides.
§ 1.9 Petitions To Commence Trade
Regulation Rule Proceedings
The amendments revise § 1.9 to
include an updated cross-reference to
these new procedures in § 1.31 of the
Commission’s rules. This change makes
clear that these new procedures will
apply to petitions to issue, amend, or
repeal trade regulation rules issued
under section 18(a)(1)(B) of the FTC Act
(15 U.S.C. 57a(1)(B)).
§ 1.16 Petition for Exemption From
Trade Regulation Rule
The amendments revise § 1.16 to
include an updated cross-reference to
§ 1.31. Pursuant to these amendments,
these new procedures will apply to
petitions by individual regulated
entities seeking an exemption from the
application of a trade regulation rule.
§ 1.25
Initiation of Proceedings
The Commission is also revising
§ 1.25 of the Commission’s rules, 16
CFR 1.25. This change makes clear that
the new procedures will be employed to
resolve petitions for rulemaking under
authorities other than section 18(a)(1)(B)
of the FTC Act (15 U.S.C. 57a(1)(B)).
§ 4.2 Requirements as to Form, and
Filing of Documents Other Than
Correspondence
The amendments also incorporate an
updated cross-reference to these new
procedures in the Commission’s filing
rules contained in § 4.2 of the
Commission’s rules, 16 CFR 4.2.
Other Rule Provisions
The Commission is also updating
references to petition procedures in
several FTC rules that provide for
regulated parties to seek exemptions
from Commission rules. Specifically,
the Commission is updating crossreferences to its petition procedures in
the following rules: Automotive fuel
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ratings, certification and posting, 16
CFR part 306; Labeling requirements for
alternative fuels and alternative fueled
vehicles, 16 CFR part 309; Made in USA
Labeling Rule, 16 CFR part 323; and
Regulations under section 4 of the Fair
Packaging and Labeling Act, 16 CFR
part 500.
16 CFR Part 309
Alternative fuel, Alternative fueled
vehicle, Energy conservation, Labeling,
Reporting and recordkeeping, Trade
practices.
IV. Procedural Requirements
16 CFR Part 500
Fair Packaging and Labeling Act,
Incorporation by reference, Labeling,
Packaging and containers, Trade
practices.
For the reasons set forth in the
preamble, the Federal Trade
Commission amends title 16, chapter I,
subchapter A of the Code of Federal
Regulations as follows:
This rule is exempt from the notice
and comment requirements of the
Administrative Procedure Act, 5 U.S.C.
553(b), as a rule of agency organization,
practice, and procedure. In addition,
only substantive rules require
publication 30 days prior to their
effective date. 5 U.S.C. 553(d).
Therefore, this final rule is effective
upon publication in the Federal
Register. The requirements of the
Regulatory Flexibility Act also do not
apply.3
The Office of Management and Budget
(‘‘OMB’’) has approved the information
collections associated with requests for
Commission action pursuant to the
Commission’s rules of practice,
including the petitions covered by these
amendments. OMB has approved these
information collections through June 30,
2024 (OMB Control No. 3084–0169).
These amendments revise the
procedures the Commission will employ
to respond to such petitions and provide
additional guidance to the public on
what types of information and
supporting materials should be
submitted in support of a petition to
allow the Commission to respond
effectively. The amendments do not
impose additional requirements and do
not require further OMB clearance.
Pursuant to the Congressional Review
Act (5 U.S.C. 801 et seq.), the Office of
Information and Regulatory Affairs
designated this rule as not a ‘‘major
rule,’’ as defined by 5 U.S.C. 804(2).
List of Subjects
16 CFR Part 1
Administrative practice and
procedure.
16 CFR Part 4
Administrative practice and
procedure, Freedom of information.
16 CFR Part 323
Labeling, U.S. origin.
PART 1—GENERAL PROCEDURES
1. The authority citation for part 1
continues to read as follows:
Authority: 15 U.S.C. 46; 15 U.S.C. 57a; 5
U.S.C. 552; 5 U.S.C. 601 note.
2. Add an authority citation for
subpart A to read as follows:
■
Authority: 15 U.S.C. 46, unless otherwise
noted.
■
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How promulgated.
Industry guides 1 are promulgated by
the Commission on its own initiative or
pursuant to petition filed with the
Secretary pursuant to § 1.31, by any
interested person or group, when it
appears to the Commission that
guidance as to the legal requirements
applicable to particular practices would
be beneficial in the public interest and
would serve to bring about more
widespread and equitable observance of
laws administered by the Commission.
In connection with the promulgation of
industry guides, the Commission at any
time may conduct such investigations,
make such studies, and hold such
conferences or hearings as it may deem
appropriate. All or any part of any such
investigation, study, conference, or
hearing may be conducted under the
provisions of subpart A of part 2 of this
chapter.
■ 4. Revise the authority citation for
subpart B of Part 1 to read as follows:
5. Revise § 1.9 to read as follows:
§ 1.9 Petitions to commence trade
regulation rule proceedings.
regulatory flexibility analysis under the RFA
is required only when an agency must publish a
notice of proposed rulemaking for comment. See 5
U.S.C. 603.
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3. Revise § 1.6 to read as follows:
§ 1.6
■
Fuel ratings, Fuel, Gasoline,
Incorporation by reference, Trade
practices.
§ 1.16 Petition for exemption from trade
regulation rule.
Any person to whom a rule would
otherwise apply may petition the
Commission for an exemption from
such rule. Petitions for exemptions will
be handled in the same manner and
pursuant to the same procedures as
prescribed in § 1.31 of this chapter.
■ 7. Revise the authority citation for
subpart C of Part 1 to read as follows:
Authority: 15 U.S.C. 46; 5 U.S.C. 601 note.
■
Authority: 5 U.S.C. 552; 5 U.S.C. 601 note;
15 U.S.C. 46; 15 U.S.C. 57a.
16 CFR Part 306
upon its own initiative or pursuant to
written petition filed with the Secretary
by any interested person stating
reasonable grounds therefor. Such
petitions will be handled in the same
manner and pursuant to the same
procedures as prescribed in § 1.31 of
this chapter.
■ 6. Revise § 1.16 to read as follows:
Trade regulation rule proceedings
may be commenced by the Commission
1 In the past, certain of these have been
promulgated and referred to as trade practice rules.
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■
8. Revise § 1.25 to read as follows:
§ 1.25 Initiation of rulemaking
proceedings—petitions.
Proceedings for the issuance,
amendment, or repeal of rules issued
pursuant to authorities other than
Section 18(a)(1)(B) of the FTC Act (15
U.S.C. 57a(1)(B)), including proceedings
for exemption of products or classes of
products from statutory requirements,
may be commenced by the Commission
upon its own initiative or pursuant to
petition. Such petitions will be handled
in the same manner and pursuant to the
same procedures as prescribed in § 1.31
of this chapter.
■ 9. Add subpart D, consisting of § 1.31,
to read as follows:
Subpart D—Petitions for Rulemaking
or Exemption
Authority: 15 U.S.C. 46; 15 U.S.C. 57a; 5
U.S.C. 601 note.
§ 1.31 Procedures for addressing
petitions.
(a) Petitions for rulemaking. An
interested person may petition for the
issuance, amendment, or repeal of a
rule, administered by the Commission
pursuant to Section 18(a)(1)(B) of the
FTC Act (15 U.S.C. 57a(1)(B)) or other
statutory authorities. A request to issue,
amend, or repeal an interpretive rule,
including an industry guide, may also
be submitted by petition. For purposes
of this section, a ‘‘petition’’ means a
written request to issue, amend, or
repeal a rule or interpretive rule
administered by the Commission or a
petition seeking an exemption from the
coverage of a rule.
(b) Requirements. Petitions must
include the following information:
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(1) The petitioner’s full name,
address, telephone number, and email
address (if available), along with an
explanation of how the petitioner’s
interests would be affected by the
requested action;
(2) A full statement of the action
requested by the petitioner, including
the text and substance of the proposed
rule or amendment, or a statement
identifying the rule proposed to be
repealed, and citation to any existing
Commission rules that would be
affected by the requested action;
(3) A full statement of the factual and
legal basis on which the petitioner relies
for the action requested in the petition,
including all relevant facts, views,
argument, and data upon which the
petitioner relies, as well as information
known to the petitioner that is
unfavorable to the petitioner’s position.
The statement should identify the
problem the requested action is
intended to address and explain why
the requested action is necessary to
address the problem.
(c) Supporting data. If an original
research report is used to support a
petition, the information should be
presented in a form that would be
acceptable for publication in a peer
reviewed scientific or technical journal.
If quantitative data are used to support
a petition, the presentation of the data
should include a complete statistical
analysis using conventional statistical
methods. Sources of information
appropriate to use in support of a
petition include, but are not limited to:
(1) Professional journal articles,
(2) Research reports,
(3) Official government statistics,
(4) Official government reports,
(5) Industry data, and
(6) Scientific textbooks.
(d) Filing. A petition should be
submitted via email to electronicfilings@
ftc.gov or sent via postal mail or
commercial delivery to Federal Trade
Commission, Office of the Secretary,
Suite CC–5610, 600 Pennsylvania
Avenue NW, Washington, DC 20580. If
the petition meets the requirements for
Commission consideration described in
this section, the Secretary will assign a
docket number to the petition. Once a
petition has been docketed, the FTC will
notify the petitioner in writing and
provide the petitioner with the number
assigned to the petition and an agency
contact for inquiries relating to the
petition. The petition number should be
referenced by the petitioner in all
contacts with the agency regarding the
petition.
(e) Confidential treatment. If a
petition contains material for which the
petitioner seeks confidential treatment,
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the petitioner must file a request for
confidential treatment that complies
with § 4.9(c) of this chapter and two
versions of the petition and all
supporting materials, consisting of a
confidential and a public version. Every
page of each such document shall be
clearly and accurately labeled ‘‘Public’’
or ‘‘Confidential.’’ In the confidential
version, the petitioner must use brackets
or similar conspicuous markings to
indicate the material for which it is
claiming confidential treatment. In the
public version, the petitioner must
redact all material for which it seeks
confidential treatment in the petition
and supporting materials or all portions
thereof for which confidential treatment
is requested. The written request for
confidential treatment that accompanies
the petition must include a description
of the material for which confidential
treatment is requested and the factual
and legal basis for the request. Requests
for confidential treatment will only be
granted if the General Counsel grants
the request in accordance with the law
and the public interest, pursuant to
§ 4.9(c) of this chapter.
(f) Notice and public comment. After
a petition has been docketed as
described in paragraph (d) of this
section, the Office of the Secretary will
provide public notice of the petition on
behalf of the Commission in the Federal
Register and publish the document
online for public comment for 30 days
through the Federal eRulemaking portal
at https://www.regulations.gov. Any
person may file a statement in support
of or in opposition to a petition prior to
Commission action on the petition by
following the instructions provided in
the Federal Register notice inviting
comment on the petition. All comments
on a petition will become part of the
public record.
(g) Resolution of petitions. The
Commission may grant or deny a
petition in whole or in part. If the
Commission determines to commence a
rulemaking proceeding in response to a
petition, the Commission will publish a
rulemaking notice in the Federal
Register and will serve a copy of the
notice initiating the rulemaking
proceeding on the petitioner. If the
petition is deemed by the Commission
as insufficient to warrant
commencement of a rulemaking
proceeding, the Commission will make
public its determination and notify the
petitioner, who may be given the
opportunity to submit additional data.
Petitions that are moot, premature,
repetitive, frivolous, or which plainly
do not warrant consideration by the
Commission may be denied or
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59853
dismissed without prejudice to the
petitioner.
PART 4—MISCELLANEOUS RULES
10. The authority citation for part 4
continues to read as follows:
■
Authority: 15 U.S.C. 46.
11. Amend § 4.2 by adding paragraph
(a)(1)(iii) to read as follows:
■
§ 4.2 Requirements as to form, and filing
of documents other than correspondence.
(a) * * *
(1) * * *
(iii) Petitions for rulemaking and
petitions for exemptions from rules
shall instead be filed in the manner
prescribed in § 1.31 of this chapter.
*
*
*
*
*
PART 306—AUTOMOTIVE FUEL
RATINGS, CERTIFICATION AND
POSTING
12. The authority citation for part 306
continues to read as follows:
■
Authority: 15 U.S.C. 2801 et seq.; 42 U.S.C.
17021.
13. Revise § 306.10(b)(2) to read as
follows:
■
§ 306.10
Automotive fuel rating posting.
(b) * * *
(2) You may petition for an exemption
from the placement requirements. You
must state the reasons that you want the
exemption. Petitions for exemptions
will be handled pursuant to the
procedures prescribed in § 1.31 of this
chapter.
*
*
*
*
*
14. Amend § 306.12 by:
a. In paragraph (a)(2), revising the last
two sentences; and
■ b. In paragraph (a)(3), revising the last
two sentences.
The revisions to read as follows:
■
■
§ 306.12
Labels.
(a) * * *
(2) * * * You must state the size and
contents of the label that you wish to
use, and the reasons that you want to
use it. Petitions for exemptions will be
handled pursuant to the procedures
prescribed in § 1.31 of this chapter.
(3) * * * You must state the size and
contents of the label that you wish to
use, and the reasons that you want to
use it. Petitions for exemptions will be
handled pursuant to the procedures
prescribed in § 1.31 of this chapter.
*
*
*
*
*
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PART 309—LABELING
REQUIREMENTS FOR ALTERNATIVE
FUELS AND ALTERNATIVE FUELED
VEHICLES
15. The authority citation for part 309
continues to read as follows:
■
Authority: 42 U.S.C. 13232(a).
■
16. Revise § 309.15(b)(2) to read as
follows:
PART 500—REGULATIONS UNDER
SECTION 4 OF THE FAIR PACKAGING
AND LABELING ACT
§ 309.15 Posting of non-liquid alternative
vehicle fuel rating.
■
*
*
*
*
*
(b) * * *
(2) You may petition for an exemption
from the placement requirements by
writing the Secretary of the Federal
Trade Commission, Washington, DC
20580. You must state the reasons that
you want the exemption. Petitions for
exemptions will be handled pursuant to
the procedures prescribed in § 1.31 of
this chapter.
*
*
*
*
*
■ 17. Amend § 309.17 by:
■ a. In paragraph (a)(1), revising the last
two sentences; and
■ b. In paragraph (a)(2), revising the last
two sentences.
The revisions to read as follows:
§ 309.17
Labels.
*
*
*
*
*
(a) * * *
(1) * * * You must state the size and
contents of the label that you wish to
use, and the reasons that you want to
use it. Petitions for exemptions will be
handled pursuant to the procedures
prescribed in § 1.31 of this chapter.
(2) * * * You must state the size and
contents of the label that you wish to
use, and the reasons that you want to
use it. Petitions for exemptions will be
handled pursuant to the procedures
prescribed in § 1.31 of this chapter.
*
*
*
*
*
PART 323—MADE IN USA LABELING
RULE
18. The authority citation for part 323
continues to read as follows:
■
Authority: 15 U.S.C. 45a.
■
19. Revise § 323.6 to read as follows:
§ 323.6
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resolve petitions using the procedures
provided in § 1.31 of this chapter. If
appropriate, the Commission may
condition such exemptions on
compliance with alternative standards
or requirements to be prescribed by the
Commission.
Exemptions.
Any person to whom this rule applies
may petition the Commission for a
partial or full exemption. The
Commission may, in response to
petitions or on its own authority, issue
partial or full exemptions from this part
if the Commission finds application of
the rule’s requirements is not necessary
to prevent the acts or practices to which
the rule relates. The Commission shall
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20. The authority citation for part 500
continues to read as follows:
Authority: 15 U.S.C. 1453, 1454, 1455.
21. Amend § 500.3 by revising
paragraph (e) to read as follows:
■
§ 500.3 Prohibited acts, coverage, general
labeling requirements, exemption
procedures.
*
*
*
*
*
(e) Proceedings for the promulgation
of such exempting regulations may be
commenced by the Commission upon
its own initiative or pursuant to petition
filed with the Secretary by any
interested person or group stating
reasonable grounds for the proposed
exemption, pursuant to § 1.31 of this
chapter.
By direction of the Commission,
Commissioner Christine S. Wilson
dissenting.
April J. Tabor,
Secretary.
The Following Will Not Appear in the
Code of Federal Regulations
Statement of Chair Lina M. Khan
A key priority of mine is ensuring that the
FTC is regularly hearing and learning from
the broader public, including the consumers,
workers, and honest businesses we strive to
protect. Guarding against insularity is a
constant challenge for virtually all federal
agencies, and ensuring the FTC is accessible
even to those who lack well-heeled counsel
or personal connections is essential to our
institutional credibility. Introducing these
open meetings and inviting public comments
on a monthly basis has been part of an effort
to democratize our work in this way.
Today, we are taking this effort one step
further by implementing changes to our
procedures around rulemaking. Congress
granted the FTC the power to issue rules,
equipping us with a vital tool to protect the
public from harmful business practices.
Interested members of the public will be able
to petition the FTC to invoke its rulemaking
and other authorities to advance its mission.
The new procedures provide clearer
guidance to the public on how to file a
petition with the Commission and what steps
the Commission will take after receiving a
petition. These revised procedures will help
ensure that all interested parties will have
effective and meaningful access to the
petition process. Each petition for
rulemaking will be made publicly available;
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petitioners will be provided an agency point
of contact to assist them throughout the
process; and all petitions will be put out for
comment so others can comment on them.
Finally, the new procedures ensure that
petitioners are notified of a Commission
decision on the petition one way or another.
As Chair, I am fully committed to finding
ways to ensure our agency is directly
connected to and responsive to the public we
serve, and I welcome additional ideas for
how we can modify our agency’s processes
to better meet these goals.
Statement of Commissioner Rohit Chopra
The Constitution of the United States
guarantees the right ‘‘to petition the
Government.’’ The Administrative Procedure
Act also requires that an ‘‘agency shall give
an interested person the right to petition for
the issuance, amendment, or repeal of a
rule.’’ Federal agencies across the
government have moved toward more
transparent procedures to allow the public to
file petitions for rulemaking. Unfortunately,
Commissioners spanning multiple
administrations pursued a more secretive and
less accountable policy when individuals
exercised their First Amendment rights.
The FTC used to publish routinely the
petitions it received to allow for public
inspection. Those petitions came on a wide
range of concerns. For example,
Commissioners received petitions on
everything from the labeling of cage-free eggs,
health benefit claims, and immigration
consulting. In 2011, Commissioners largely
abandoned the practice of publishing these
petitions. While we have resumed
publication of these petitions, we have not
done so consistently or in an orderly fashion.
In 2019, the New Civil Liberties Alliance,
a conservative legal advocacy group,
petitioned the FTC to pursue a rulemaking
regarding the procedures for defending
agency guidance when challenged in court.
My initial review suggested the actions
requested in the petition may not have been
the best use of resources, but the petition was
not frivolous. I unsuccessfully argued to my
colleagues that we should post the petition
and solicit comment on it, along with others,
consistent with the best practices published
by the Administrative Conference of the
United States, rather than what amounted to
pretending we never received it. Even if we
disagree, we shouldn’t silence or censor
them.
The proposed rule changes will reverse the
inappropriate practices implemented by prior
Commissioners and allow interested persons
to submit petitions for rulemaking. Petitions
properly submitted will be posted for public
inspection and the public will be allowed to
comment.
This system is not perfect. Dark money
groups funded by regulated entities may
submit petitions and may manufacture fake
comments, as federal agencies have seen in
other regulatory proceedings. However,
initiatives like these help loosen the grip
large, dominant firms have held in order to
secretly influence and dictate the agenda of
this agency. Small businesses and
community groups can’t afford to hire highpriced FTC alumni with special access and
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connections to push their agenda. Making
public every properly filed petition for
rulemaking will level the playing field. This
is another important step to be more
transparent, to promote democratic debate,
and to rebuild trust in the Federal Trade
Commission.
[FR Doc. 2021–21824 Filed 10–28–21; 8:45 am]
BILLING CODE 6750–01–P
DEPARTMENT OF HOMELAND
SECURITY
Coast Guard
33 CFR Part 100
[Docket Number USCG–2021–0804]
RIN 1625–AA08
Special Local Regulation; San Diego
Bay, San Diego, CA
Coast Guard, Department of
Homeland Security (DHS).
ACTION: Temporary final rule.
AGENCY:
The Coast Guard is
establishing a temporary special local
regulation (SLR) in the navigable waters
of San Diego Bay, California during the
Baja Ha-Ha XXVII Pre-Rally Parade
marine event. This regulation is
necessary to provide for the safety of the
participants, crew, spectators, sponsor
vessels of the parade, and general users
of the waterway during the event, which
will be held on November 1, 2021. This
special local regulation will temporarily
prohibit persons and vessels from
entering into, transiting through,
anchoring, blocking, or loitering within
the event area unless authorized by the
Captain of the Port San Diego or a
designated representative.
DATES: This rule is effective from 8:30
a.m. to 11:30 a.m. on November 1, 2021.
ADDRESSES: To view documents
mentioned in this preamble as being
available in the docket, go to https://
www.regulations.gov, type USCG–2021–
0804 in the search box and click
‘‘Search.’’ Next, in the Document Type
column, select ‘‘Supporting & Related
Material.’’
SUMMARY:
If
you have questions on this rule, call or
email Lieutenant Commander John
Santorum, Waterways Management,
U.S. Coast Guard Sector San Diego, CA;
telephone (619) 278–7656, email
D11MarineEventsSD@uscg.mil.
SUPPLEMENTARY INFORMATION:
khammond on DSKJM1Z7X2PROD with RULES
FOR FURTHER INFORMATION CONTACT:
I. Table of Abbreviations
CFR Code of Federal Regulations
DHS Department of Homeland Security
FR Federal Register
VerDate Sep<11>2014
15:56 Oct 28, 2021
Jkt 256001
NPRM Notice of proposed rulemaking
§ Section
U.S.C. United States Code
II. Background Information and
Regulatory History
The Coast Guard is issuing this
temporary rule without prior notice and
opportunity to comment pursuant to
authority under section 4(a) of the
Administrative Procedure Act (APA) (5
U.S.C. 553(b)). This provision
authorizes an agency to issue a rule
without prior notice and opportunity to
comment when the agency for good
cause finds that those procedures are
‘‘impracticable, unnecessary, or contrary
to the public interest.’’ Under 5 U.S.C.
553(b)(B), the Coast Guard finds that
good cause exists for not publishing a
notice of proposed rulemaking (NPRM)
with respect to this rule because we
must establish this special local
regulation by November 1, 2021. The
event sponsor did not notify the Coast
Guard of the official date of the event
until September 12, 2021. Therefore, it
is impracticable to publish an NPRM
because we lack sufficient time to
provide a reasonable comment period
and then consider those comments
before issuing the rule. This regulation
is necessary to ensure the safety of life
on the navigable waters of San Diego
Bay during the marine event.
Under 5 U.S.C. 553(d)(3), the Coast
Guard finds that good cause exists for
making this rule effective less than 30
days after publication in the Federal
Register. Delaying the effective date of
this rule would be contrary to public
interest because action is needed to
ensure the safety of life on the navigable
waters of San Diego Bay during the
marine event on November 1, 2021.
III. Legal Authority and Need for Rule
The Coast Guard is issuing this rule
under authority in 46 U.S.C. 70041
(previously 33 U.S.C. 1236). The
Captain of the Port Sector San Diego
(COTP) has determined that the large
number of vessels associated with the
Baja Ha-Ha XXVII Pre-Rally Parade
marine event on November 1, 2021,
poses a potential safety concern in the
regulated area. This rule is needed to
protect persons, vessels, and the marine
environment in the navigable waters of
San Diego Bay during the marine event.
IV. Discussion of the Rule
This rule establishes a special local
regulation from 8:30 a.m. to 11:30 a.m.
on November 1, 2021. This special local
regulation will cover all navigable
waters, from surface to bottom, on a predetermined course within San Diego
Bay, California, beginning at the starting
PO 00000
Frm 00017
Fmt 4700
Sfmt 4700
59855
point of the event in South San Diego
Bay, proceeding northwest to Harbor
Island, then southwest to Shelter Island,
and finishing at the starting point of the
rally outside of the San Diego Bay
channel entrance. The duration of the
temporary special local regulation is
intended to ensure the safety of vessels,
personnel, and the marine environment
in these navigable waters during the
scheduled marine event. No vessel or
person will be permitted to enter the
regulated area without obtaining
permission from the COTP or a
designated representative. The
regulatory text provides information on
how to contact the COTP or a
designated representative for permission
to transit the area. When in the
regulated area, persons must comply
with all lawful orders or directions
given to them by the COTP or
designated representative. Additionally,
the COTP will provide notice of the
regulated area through advanced notice
via broadcast notice to mariners or by
on-scene designated representatives.
V. Regulatory Analyses
We developed this rule after
considering numerous statutes and
Executive orders related to rulemaking.
Below we summarize our analyses
based on a number of these statutes and
Executive orders, and we discuss First
Amendment rights of protestors.
A. Regulatory Planning and Review
Executive Orders 12866 and 13563
direct agencies to assess the costs and
benefits of available regulatory
alternatives and, if regulation is
necessary, to select regulatory
approaches that maximize net benefits.
This rule has not been designated a
‘‘significant regulatory action,’’ under
Executive Order 12866. Accordingly,
this rule has not been reviewed by the
Office of Management and Budget
(OMB).
This regulatory action determination
is based on the size, location, duration,
and time-of-day of the regulated area.
The affected portion of the navigable
waterway in San Diego Bay will be of
very limited duration, during morning
hours when vessel traffic is historically
low and is necessary for safety of life of
participants in the marine event.
Moreover, the Coast Guard will issue a
Local Notice to Mariners and a Safety
Marine Information Broadcast over
Channel 22A about the regulated area.
B. Impact on Small Entities
The Regulatory Flexibility Act of
1980, 5 U.S.C. 601–612, as amended,
requires Federal agencies to consider
the potential impact of regulations on
E:\FR\FM\29OCR1.SGM
29OCR1
]]>Agencies
[Federal Register Volume 86, Number 207 (Friday, October 29, 2021)]
[Rules and Regulations]
[Pages 59851-59855]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-21824]
[[Page 59851]]
=======================================================================
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FEDERAL TRADE COMMISSION
16 CFR Parts 1, 4, 306, 309, 323, and 500
Procedures for Responding to Petitions for Rulemaking
AGENCY: Federal Trade Commission.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Federal Trade Commission (``FTC'' or ``Commission'') is
updating its procedures for responding to petitions for rulemaking.
These changes will provide increased transparency and promote public
participation in the rulemaking process. Pursuant to the amendments,
the FTC will provide notice and an opportunity for public comment on
petitions for the issuance, amendment, or repeal of regulations. The
rules also provide greater guidance to the public on the procedures for
filing petitions and the types of material that may be submitted in
support of a petition.
DATES: This rule is effective October 29, 2021.
FOR FURTHER INFORMATION CONTACT: Kenny Wright, Attorney (202-326-2907),
Office of the General Counsel, Federal Trade Commission, 600
Pennsylvania Avenue NW, Washington, DC 20580.
SUPPLEMENTARY INFORMATION: The Commission is revising parts 1 and 4 of
its rules of practice, 16 CFR parts 1 and 4, to update procedures for
handling petitions for rulemaking. These updated procedures will govern
the handling of petitions for the issuance, amendments, or repeal of
rules, including trade regulation rules issued pursuant to Section
18(a)(1)(B) of the FTC Act (15 U.S.C. 57a(a)(1)(B)), as well as other
statutory grants of rulemaking authority. These procedures will also
apply to requests to issue, amend, or repeal interpretive rules,
including guides described in subchapter B of the Commission rules and
other official Commission interpretations.\1\ In addition, the
procedures will apply to petitions from regulated parties seeking
exemptions from Commission rules.\2\
---------------------------------------------------------------------------
\1\ These new procedures do not alter or supersede the
procedures described in subpart A of Part 1, 16 CFR 1.1 through 1.4,
of the Commission's rules of practice governing requests for
advisory opinions with respect to a course of action the requesting
party proposes to pursue. Requests for individualized advisory
opinions relating to the lawfulness of a specific course of conduct
will continue to be handled pursuant to the procedures outlined in
subpart A of Part 1.
\2\ As described below, the Commission is also making conforming
amendments to provisions in parts 306, 309, 323, and 500, which
allow regulated parties to seek exemptions from Commission rules, to
include a cross-reference to the Commission's updated procedures for
responding to petitions for rulemaking.
---------------------------------------------------------------------------
The amendments add a new subpart D in part 1 of the Commission
rules to establish updated procedures for responding to petitions for
rulemaking. Pursuant to these procedures, interested persons may
petition the Commission for the issuance, amendment, or repeal of a
regulation administered by the Commission, including an interpretive
rule providing a Commission interpretation of a statute or regulation
administered by the Commission.
Under the revised procedures, the Commission will publish petitions
for rulemaking in the Federal Register and invite public comment on the
merits of petitions. This change will promote public participation in
the rulemaking process and allow the Commission to obtain useful public
input in reaching a determination on whether to grant a petition for
rulemaking.
The amendments also provide additional detail regarding the types
of information that must be filed in support of a petition for
rulemaking as well as the types of data that may assist the Commission
in evaluating petitions. The rule describes the information and
supporting data that must be included with any petition for rulemaking,
including the name and contact information for the petitioner along
with an explanation of how the petitioner's interests would be affected
by the proposed action. The rule also requires petitioners to provide a
thorough description of the action being requested along with a full
explanation of the factual and legal basis for the requested action.
The rule also provides guidance to petitioners on the types of
information that may be relied upon to support a petition including,
but not limited to, research, industry data, and all scientific,
technical, or statistical analyses prepared in support of the proposal.
The rule also provides instructions to the public on the mechanics
for filing petitions for rulemaking, and additional detail on how the
Commission will docket and handle petitions that are received. The
revised rule also promotes transparency by ensuring petitioners are
notified of a Commission decision to either initiate rulemaking in
response to a petition or to deny the petition. In addition, the
revised rule provides clearer instructions on how to obtain
confidential treatment of information submitted in support of a
petition.
These procedures will also apply to petitions for exemptions from
Commission rules. Accordingly, the Commission is making conforming
amendments to update cross-references to the Commission's procedures
for responding to petitions for rulemaking and petitions for exemptions
from an agency rule in several other FTC rules.
Sec. 1.6 How Promulgated
The amendments revise Sec. 1.6 to clarify that the Commission will
employ these updated procedures to respond to petitions seeking the
issuance, amendment, or repeal of industry guides.
Sec. 1.9 Petitions To Commence Trade Regulation Rule Proceedings
The amendments revise Sec. 1.9 to include an updated cross-
reference to these new procedures in Sec. 1.31 of the Commission's
rules. This change makes clear that these new procedures will apply to
petitions to issue, amend, or repeal trade regulation rules issued
under section 18(a)(1)(B) of the FTC Act (15 U.S.C. 57a(1)(B)).
Sec. 1.16 Petition for Exemption From Trade Regulation Rule
The amendments revise Sec. 1.16 to include an updated cross-
reference to Sec. 1.31. Pursuant to these amendments, these new
procedures will apply to petitions by individual regulated entities
seeking an exemption from the application of a trade regulation rule.
Sec. 1.25 Initiation of Proceedings
The Commission is also revising Sec. 1.25 of the Commission's
rules, 16 CFR 1.25. This change makes clear that the new procedures
will be employed to resolve petitions for rulemaking under authorities
other than section 18(a)(1)(B) of the FTC Act (15 U.S.C. 57a(1)(B)).
Sec. 4.2 Requirements as to Form, and Filing of Documents Other Than
Correspondence
The amendments also incorporate an updated cross-reference to these
new procedures in the Commission's filing rules contained in Sec. 4.2
of the Commission's rules, 16 CFR 4.2.
Other Rule Provisions
The Commission is also updating references to petition procedures
in several FTC rules that provide for regulated parties to seek
exemptions from Commission rules. Specifically, the Commission is
updating cross-references to its petition procedures in the following
rules: Automotive fuel
[[Page 59852]]
ratings, certification and posting, 16 CFR part 306; Labeling
requirements for alternative fuels and alternative fueled vehicles, 16
CFR part 309; Made in USA Labeling Rule, 16 CFR part 323; and
Regulations under section 4 of the Fair Packaging and Labeling Act, 16
CFR part 500.
IV. Procedural Requirements
This rule is exempt from the notice and comment requirements of the
Administrative Procedure Act, 5 U.S.C. 553(b), as a rule of agency
organization, practice, and procedure. In addition, only substantive
rules require publication 30 days prior to their effective date. 5
U.S.C. 553(d). Therefore, this final rule is effective upon publication
in the Federal Register. The requirements of the Regulatory Flexibility
Act also do not apply.\3\
---------------------------------------------------------------------------
\3\ A regulatory flexibility analysis under the RFA is required
only when an agency must publish a notice of proposed rulemaking for
comment. See 5 U.S.C. 603.
---------------------------------------------------------------------------
The Office of Management and Budget (``OMB'') has approved the
information collections associated with requests for Commission action
pursuant to the Commission's rules of practice, including the petitions
covered by these amendments. OMB has approved these information
collections through June 30, 2024 (OMB Control No. 3084-0169). These
amendments revise the procedures the Commission will employ to respond
to such petitions and provide additional guidance to the public on what
types of information and supporting materials should be submitted in
support of a petition to allow the Commission to respond effectively.
The amendments do not impose additional requirements and do not require
further OMB clearance.
Pursuant to the Congressional Review Act (5 U.S.C. 801 et seq.),
the Office of Information and Regulatory Affairs designated this rule
as not a ``major rule,'' as defined by 5 U.S.C. 804(2).
List of Subjects
16 CFR Part 1
Administrative practice and procedure.
16 CFR Part 4
Administrative practice and procedure, Freedom of information.
16 CFR Part 306
Fuel ratings, Fuel, Gasoline, Incorporation by reference, Trade
practices.
16 CFR Part 309
Alternative fuel, Alternative fueled vehicle, Energy conservation,
Labeling, Reporting and recordkeeping, Trade practices.
16 CFR Part 323
Labeling, U.S. origin.
16 CFR Part 500
Fair Packaging and Labeling Act, Incorporation by reference,
Labeling, Packaging and containers, Trade practices.
For the reasons set forth in the preamble, the Federal Trade
Commission amends title 16, chapter I, subchapter A of the Code of
Federal Regulations as follows:
PART 1--GENERAL PROCEDURES
0
1. The authority citation for part 1 continues to read as follows:
Authority: 15 U.S.C. 46; 15 U.S.C. 57a; 5 U.S.C. 552; 5 U.S.C.
601 note.
0
2. Add an authority citation for subpart A to read as follows:
Authority: 15 U.S.C. 46, unless otherwise noted.
0
3. Revise Sec. 1.6 to read as follows:
Sec. 1.6 How promulgated.
Industry guides \1\ are promulgated by the Commission on its own
initiative or pursuant to petition filed with the Secretary pursuant to
Sec. 1.31, by any interested person or group, when it appears to the
Commission that guidance as to the legal requirements applicable to
particular practices would be beneficial in the public interest and
would serve to bring about more widespread and equitable observance of
laws administered by the Commission. In connection with the
promulgation of industry guides, the Commission at any time may conduct
such investigations, make such studies, and hold such conferences or
hearings as it may deem appropriate. All or any part of any such
investigation, study, conference, or hearing may be conducted under the
provisions of subpart A of part 2 of this chapter.
---------------------------------------------------------------------------
\1\ In the past, certain of these have been promulgated and
referred to as trade practice rules.
0
4. Revise the authority citation for subpart B of Part 1 to read as
follows:
Authority: 5 U.S.C. 552; 5 U.S.C. 601 note; 15 U.S.C. 46; 15
U.S.C. 57a.
0
5. Revise Sec. 1.9 to read as follows:
Sec. 1.9 Petitions to commence trade regulation rule proceedings.
Trade regulation rule proceedings may be commenced by the
Commission upon its own initiative or pursuant to written petition
filed with the Secretary by any interested person stating reasonable
grounds therefor. Such petitions will be handled in the same manner and
pursuant to the same procedures as prescribed in Sec. 1.31 of this
chapter.
0
6. Revise Sec. 1.16 to read as follows:
Sec. 1.16 Petition for exemption from trade regulation rule.
Any person to whom a rule would otherwise apply may petition the
Commission for an exemption from such rule. Petitions for exemptions
will be handled in the same manner and pursuant to the same procedures
as prescribed in Sec. 1.31 of this chapter.
0
7. Revise the authority citation for subpart C of Part 1 to read as
follows:
Authority: 15 U.S.C. 46; 5 U.S.C. 601 note.
0
8. Revise Sec. 1.25 to read as follows:
Sec. 1.25 Initiation of rulemaking proceedings--petitions.
Proceedings for the issuance, amendment, or repeal of rules issued
pursuant to authorities other than Section 18(a)(1)(B) of the FTC Act
(15 U.S.C. 57a(1)(B)), including proceedings for exemption of products
or classes of products from statutory requirements, may be commenced by
the Commission upon its own initiative or pursuant to petition. Such
petitions will be handled in the same manner and pursuant to the same
procedures as prescribed in Sec. 1.31 of this chapter.
0
9. Add subpart D, consisting of Sec. 1.31, to read as follows:
Subpart D--Petitions for Rulemaking or Exemption
Authority: 15 U.S.C. 46; 15 U.S.C. 57a; 5 U.S.C. 601 note.
Sec. 1.31 Procedures for addressing petitions.
(a) Petitions for rulemaking. An interested person may petition for
the issuance, amendment, or repeal of a rule, administered by the
Commission pursuant to Section 18(a)(1)(B) of the FTC Act (15 U.S.C.
57a(1)(B)) or other statutory authorities. A request to issue, amend,
or repeal an interpretive rule, including an industry guide, may also
be submitted by petition. For purposes of this section, a ``petition''
means a written request to issue, amend, or repeal a rule or
interpretive rule administered by the Commission or a petition seeking
an exemption from the coverage of a rule.
(b) Requirements. Petitions must include the following information:
[[Page 59853]]
(1) The petitioner's full name, address, telephone number, and
email address (if available), along with an explanation of how the
petitioner's interests would be affected by the requested action;
(2) A full statement of the action requested by the petitioner,
including the text and substance of the proposed rule or amendment, or
a statement identifying the rule proposed to be repealed, and citation
to any existing Commission rules that would be affected by the
requested action;
(3) A full statement of the factual and legal basis on which the
petitioner relies for the action requested in the petition, including
all relevant facts, views, argument, and data upon which the petitioner
relies, as well as information known to the petitioner that is
unfavorable to the petitioner's position. The statement should identify
the problem the requested action is intended to address and explain why
the requested action is necessary to address the problem.
(c) Supporting data. If an original research report is used to
support a petition, the information should be presented in a form that
would be acceptable for publication in a peer reviewed scientific or
technical journal. If quantitative data are used to support a petition,
the presentation of the data should include a complete statistical
analysis using conventional statistical methods. Sources of information
appropriate to use in support of a petition include, but are not
limited to:
(1) Professional journal articles,
(2) Research reports,
(3) Official government statistics,
(4) Official government reports,
(5) Industry data, and
(6) Scientific textbooks.
(d) Filing. A petition should be submitted via email to
[email protected] or sent via postal mail or commercial
delivery to Federal Trade Commission, Office of the Secretary, Suite
CC-5610, 600 Pennsylvania Avenue NW, Washington, DC 20580. If the
petition meets the requirements for Commission consideration described
in this section, the Secretary will assign a docket number to the
petition. Once a petition has been docketed, the FTC will notify the
petitioner in writing and provide the petitioner with the number
assigned to the petition and an agency contact for inquiries relating
to the petition. The petition number should be referenced by the
petitioner in all contacts with the agency regarding the petition.
(e) Confidential treatment. If a petition contains material for
which the petitioner seeks confidential treatment, the petitioner must
file a request for confidential treatment that complies with Sec.
4.9(c) of this chapter and two versions of the petition and all
supporting materials, consisting of a confidential and a public
version. Every page of each such document shall be clearly and
accurately labeled ``Public'' or ``Confidential.'' In the confidential
version, the petitioner must use brackets or similar conspicuous
markings to indicate the material for which it is claiming confidential
treatment. In the public version, the petitioner must redact all
material for which it seeks confidential treatment in the petition and
supporting materials or all portions thereof for which confidential
treatment is requested. The written request for confidential treatment
that accompanies the petition must include a description of the
material for which confidential treatment is requested and the factual
and legal basis for the request. Requests for confidential treatment
will only be granted if the General Counsel grants the request in
accordance with the law and the public interest, pursuant to Sec.
4.9(c) of this chapter.
(f) Notice and public comment. After a petition has been docketed
as described in paragraph (d) of this section, the Office of the
Secretary will provide public notice of the petition on behalf of the
Commission in the Federal Register and publish the document online for
public comment for 30 days through the Federal eRulemaking portal at
https://www.regulations.gov. Any person may file a statement in support
of or in opposition to a petition prior to Commission action on the
petition by following the instructions provided in the Federal Register
notice inviting comment on the petition. All comments on a petition
will become part of the public record.
(g) Resolution of petitions. The Commission may grant or deny a
petition in whole or in part. If the Commission determines to commence
a rulemaking proceeding in response to a petition, the Commission will
publish a rulemaking notice in the Federal Register and will serve a
copy of the notice initiating the rulemaking proceeding on the
petitioner. If the petition is deemed by the Commission as insufficient
to warrant commencement of a rulemaking proceeding, the Commission will
make public its determination and notify the petitioner, who may be
given the opportunity to submit additional data. Petitions that are
moot, premature, repetitive, frivolous, or which plainly do not warrant
consideration by the Commission may be denied or dismissed without
prejudice to the petitioner.
PART 4--MISCELLANEOUS RULES
0
10. The authority citation for part 4 continues to read as follows:
Authority: 15 U.S.C. 46.
0
11. Amend Sec. 4.2 by adding paragraph (a)(1)(iii) to read as follows:
Sec. 4.2 Requirements as to form, and filing of documents other than
correspondence.
(a) * * *
(1) * * *
(iii) Petitions for rulemaking and petitions for exemptions from
rules shall instead be filed in the manner prescribed in Sec. 1.31 of
this chapter.
* * * * *
PART 306--AUTOMOTIVE FUEL RATINGS, CERTIFICATION AND POSTING
0
12. The authority citation for part 306 continues to read as follows:
Authority: 15 U.S.C. 2801 et seq.; 42 U.S.C. 17021.
0
13. Revise Sec. 306.10(b)(2) to read as follows:
Sec. 306.10 Automotive fuel rating posting.
(b) * * *
(2) You may petition for an exemption from the placement
requirements. You must state the reasons that you want the exemption.
Petitions for exemptions will be handled pursuant to the procedures
prescribed in Sec. 1.31 of this chapter.
* * * * *
0
14. Amend Sec. 306.12 by:
0
a. In paragraph (a)(2), revising the last two sentences; and
0
b. In paragraph (a)(3), revising the last two sentences.
The revisions to read as follows:
Sec. 306.12 Labels.
(a) * * *
(2) * * * You must state the size and contents of the label that
you wish to use, and the reasons that you want to use it. Petitions for
exemptions will be handled pursuant to the procedures prescribed in
Sec. 1.31 of this chapter.
(3) * * * You must state the size and contents of the label that
you wish to use, and the reasons that you want to use it. Petitions for
exemptions will be handled pursuant to the procedures prescribed in
Sec. 1.31 of this chapter.
* * * * *
[[Page 59854]]
PART 309--LABELING REQUIREMENTS FOR ALTERNATIVE FUELS AND
ALTERNATIVE FUELED VEHICLES
0
15. The authority citation for part 309 continues to read as follows:
Authority: 42 U.S.C. 13232(a).
0
16. Revise Sec. 309.15(b)(2) to read as follows:
Sec. 309.15 Posting of non-liquid alternative vehicle fuel rating.
* * * * *
(b) * * *
(2) You may petition for an exemption from the placement
requirements by writing the Secretary of the Federal Trade Commission,
Washington, DC 20580. You must state the reasons that you want the
exemption. Petitions for exemptions will be handled pursuant to the
procedures prescribed in Sec. 1.31 of this chapter.
* * * * *
0
17. Amend Sec. 309.17 by:
0
a. In paragraph (a)(1), revising the last two sentences; and
0
b. In paragraph (a)(2), revising the last two sentences.
The revisions to read as follows:
Sec. 309.17 Labels.
* * * * *
(a) * * *
(1) * * * You must state the size and contents of the label that
you wish to use, and the reasons that you want to use it. Petitions for
exemptions will be handled pursuant to the procedures prescribed in
Sec. 1.31 of this chapter.
(2) * * * You must state the size and contents of the label that
you wish to use, and the reasons that you want to use it. Petitions for
exemptions will be handled pursuant to the procedures prescribed in
Sec. 1.31 of this chapter.
* * * * *
PART 323--MADE IN USA LABELING RULE
0
18. The authority citation for part 323 continues to read as follows:
Authority: 15 U.S.C. 45a.
0
19. Revise Sec. 323.6 to read as follows:
Sec. 323.6 Exemptions.
Any person to whom this rule applies may petition the Commission
for a partial or full exemption. The Commission may, in response to
petitions or on its own authority, issue partial or full exemptions
from this part if the Commission finds application of the rule's
requirements is not necessary to prevent the acts or practices to which
the rule relates. The Commission shall resolve petitions using the
procedures provided in Sec. 1.31 of this chapter. If appropriate, the
Commission may condition such exemptions on compliance with alternative
standards or requirements to be prescribed by the Commission.
PART 500--REGULATIONS UNDER SECTION 4 OF THE FAIR PACKAGING AND
LABELING ACT
0
20. The authority citation for part 500 continues to read as follows:
Authority: 15 U.S.C. 1453, 1454, 1455.
0
21. Amend Sec. 500.3 by revising paragraph (e) to read as follows:
Sec. 500.3 Prohibited acts, coverage, general labeling requirements,
exemption procedures.
* * * * *
(e) Proceedings for the promulgation of such exempting regulations
may be commenced by the Commission upon its own initiative or pursuant
to petition filed with the Secretary by any interested person or group
stating reasonable grounds for the proposed exemption, pursuant to
Sec. 1.31 of this chapter.
By direction of the Commission, Commissioner Christine S. Wilson
dissenting.
April J. Tabor,
Secretary.
The Following Will Not Appear in the Code of Federal Regulations
Statement of Chair Lina M. Khan
A key priority of mine is ensuring that the FTC is regularly
hearing and learning from the broader public, including the
consumers, workers, and honest businesses we strive to protect.
Guarding against insularity is a constant challenge for virtually
all federal agencies, and ensuring the FTC is accessible even to
those who lack well-heeled counsel or personal connections is
essential to our institutional credibility. Introducing these open
meetings and inviting public comments on a monthly basis has been
part of an effort to democratize our work in this way.
Today, we are taking this effort one step further by
implementing changes to our procedures around rulemaking. Congress
granted the FTC the power to issue rules, equipping us with a vital
tool to protect the public from harmful business practices.
Interested members of the public will be able to petition the FTC to
invoke its rulemaking and other authorities to advance its mission.
The new procedures provide clearer guidance to the public on how to
file a petition with the Commission and what steps the Commission
will take after receiving a petition. These revised procedures will
help ensure that all interested parties will have effective and
meaningful access to the petition process. Each petition for
rulemaking will be made publicly available; petitioners will be
provided an agency point of contact to assist them throughout the
process; and all petitions will be put out for comment so others can
comment on them. Finally, the new procedures ensure that petitioners
are notified of a Commission decision on the petition one way or
another.
As Chair, I am fully committed to finding ways to ensure our
agency is directly connected to and responsive to the public we
serve, and I welcome additional ideas for how we can modify our
agency's processes to better meet these goals.
Statement of Commissioner Rohit Chopra
The Constitution of the United States guarantees the right ``to
petition the Government.'' The Administrative Procedure Act also
requires that an ``agency shall give an interested person the right
to petition for the issuance, amendment, or repeal of a rule.''
Federal agencies across the government have moved toward more
transparent procedures to allow the public to file petitions for
rulemaking. Unfortunately, Commissioners spanning multiple
administrations pursued a more secretive and less accountable policy
when individuals exercised their First Amendment rights.
The FTC used to publish routinely the petitions it received to
allow for public inspection. Those petitions came on a wide range of
concerns. For example, Commissioners received petitions on
everything from the labeling of cage-free eggs, health benefit
claims, and immigration consulting. In 2011, Commissioners largely
abandoned the practice of publishing these petitions. While we have
resumed publication of these petitions, we have not done so
consistently or in an orderly fashion.
In 2019, the New Civil Liberties Alliance, a conservative legal
advocacy group, petitioned the FTC to pursue a rulemaking regarding
the procedures for defending agency guidance when challenged in
court. My initial review suggested the actions requested in the
petition may not have been the best use of resources, but the
petition was not frivolous. I unsuccessfully argued to my colleagues
that we should post the petition and solicit comment on it, along
with others, consistent with the best practices published by the
Administrative Conference of the United States, rather than what
amounted to pretending we never received it. Even if we disagree, we
shouldn't silence or censor them.
The proposed rule changes will reverse the inappropriate
practices implemented by prior Commissioners and allow interested
persons to submit petitions for rulemaking. Petitions properly
submitted will be posted for public inspection and the public will
be allowed to comment.
This system is not perfect. Dark money groups funded by
regulated entities may submit petitions and may manufacture fake
comments, as federal agencies have seen in other regulatory
proceedings. However, initiatives like these help loosen the grip
large, dominant firms have held in order to secretly influence and
dictate the agenda of this agency. Small businesses and community
groups can't afford to hire high-priced FTC alumni with special
access and
[[Page 59855]]
connections to push their agenda. Making public every properly filed
petition for rulemaking will level the playing field. This is
another important step to be more transparent, to promote democratic
debate, and to rebuild trust in the Federal Trade Commission.
[FR Doc. 2021-21824 Filed 10-28-21; 8:45 am]
BILLING CODE 6750-01-P
