Updating the Description of Functions for the Executive Office for United States Attorneys
| Citation | 84 FR 17750 |
| Record Number | 2019-08467 |
| Published date | 26 April 2019 |
| Section | Rules and Regulations |
| Court | The Attorney General Office |
17750
Federal Register / Vol. 84, No. 81 / Friday, April 26, 2019 / Rules and Regulations
114
Order No. 849, 164 FERC ¶61,031 at P 57
(citing BP West Coast Products, LLC, 374 F.3d at
1289).
115
Under the stand-alone policy, a regulated
entity is permitted an income tax allowance
notwithstanding the fact that it is the corporate
parent that pays the income tax on behalf of the
regulated entity. City of Charlottesville v. FERC, 774
F.2d 1205, 1207–1208 (D.C. Cir. 1985). See also BP
West Coast Products, LLC, 374 F.3d at 1289
(explaining that an income tax allowance is
appropriate in the cost of service of a pass-through
subsidiary of a corporation ‘‘when such a subsidiary
does not itself incur a tax liability but generates one
that might appear on a consolidated return of the
corporate group’’).
116
City of Charlottesville, 774 F.2d at 1215.
117
Id. (emphasis original).
118
Enable Mississippi River Transmission, LLC,
164 FERC ¶61,075, at PP 29–40 (2018) (Enable
MRT). Enable MRT was a wholly owned subsidiary
of an MLP. Because 86 percent of the MLPs
unitholders were corporations, Enable MRT
claimed that it should receive an income tax
allowance based upon the corporate income tax rate
as applied to this 86 percent corporate ownership
share.
119
Id. P 35.
120
Id.
121
Id.
122
Id.
123
As noted elsewhere in this order, the pipeline
may also use FERC Form No. 501–G and an
Appendix to FERC Form No. 501–G in any
discretionary limited NGA section 4 rate reduction
pursuant to Order No. 849. See supra note 106.
However, regardless of the tax treatment of wholly
owned corporate subsidiaries on the FERC Form
No. 501–G, the pipeline in the Appendix could
claim that as a subsidiary of a corporation it incurs
a corporate income tax allowance. This Appendix
could then serve as the basis for any rate adjustment
pursuant to the limited NGA section 4 rate filings
permitted by Order No. 849.
124
See Order No. 849, 164 FERC ¶61,031 at P
135. The electronic version of FERC Form No. 501–
G filed by a pipeline can easily be modified by any
shipper to change the taxpaying status of the
regulated entity and the shipper could attempt to
use this as the basis of its own NGA section 5
complaint (as opposed to relying upon the
Commission’s discretionary unilateral action).
3. Commission Determination
56. We deny both Process Gas’ and
Enable’s rehearing requests.
Commission policy supports the
position adopted by Order No. 849.
57. Specifically, we reject Process
Gas’ argument that Order No. 849
incorrectly permitted the wholly owned
subsidiary of a corporation to claim an
income tax allowance on FERC Form
No. 501–G.
114
Rather, the Commission’s
standalone income tax policies have
long permitted a wholly owned pipeline
subsidiary to recover the income tax
costs of its corporate parent that arise
from jurisdictional service.
115
Moreover,
under the stand-alone methodology, it is
not relevant that the income from the
subsidiary allocated to the corporate
parent may be offset by other
deductions or losses of the parent or
affiliates.
116
Rather, as the D.C. Circuit
has explained, under the stand-alone
methodology, ‘‘pipeline ratepayers may
be assessed with a tax expense when the
consolidated company in fact pays no
taxes.’’
117
58. Enable’s arguments are also
unpersuasive. The Commission
addressed similar arguments in its July
30, 2018 Enable MRT decision, which
addressed Enable’s own NGA section 4
rate proceeding where Enable argued
that an income tax allowance should be
permitted for the income tax costs of its
corporate MLP unitholders.
118
In the
Enable MRT decision, the Commission
explained that United Airlines’ double-
recovery concern precludes an income
tax allowance for the income tax costs
of corporate MLP unitholders as well as
other MLP unitholders. The Enable
MRT decision emphasized the
distinction between (a) a pipeline
organized as a pass-through entity that
is owned by an MLP that has corporate
unitholders; and (b) a pipeline
organized as a pass-through entity that
is a wholly owned subsidiary of a
corporation. The Commission explained
that an MLP incurs no tax liability prior
to making the distribution to its
unitholders that is reflected in the DCF
model’s determination of the MLP’s
ROE.
119
Thus, the MLP’s distribution
includes funds that the corporate and
individual unitholders may use to pay
taxes on their share of the MLP’s
income.
120
In contrast, a corporation
that wholly owns a pass-through
pipeline pays the corporate income tax
prior to the investor-level dividend
reflected in the DCF model’s calculation
of the pipeline’s ROE.
121
Although a
double-recovery results from granting a
pipeline an income tax allowance to
reflect the tax liability of corporate or
other MLP unitholders, no double-
recovery results from granting an
income tax allowance to the wholly
owned subsidiary of a corporation.
122
Consistent with this logic, Order No.
849 permitted an income tax allowance
for the wholly owned subsidiary of a
corporation while denying an income
tax allowance for the tax costs of an
MLP’s corporate unitholders.
59. In any case, in regard to both
Enable’s and Process Gas’ concerns, we
reiterate that the FERC Form No. 501–
G serves a limited informational
purpose involving the Commission’s
exercise of its discretion to initiate NGA
section 5 investigations of interstate
natural gas pipelines’ rates
123
and the
holdings of Order No. 849 do not
establish a broader rule constraining
pipelines or shippers from adopting
contrary positions in other
proceedings.
124
III. Document Availability
60. In addition to publishing the full
text of this document in the Federal
Register, the Commission provides all
interested persons an opportunity to
view and/or print the contents of this
document via the internet through the
Commission’s Home Page www.ferc.gov
and in the Commission’s Public
Reference Room during normal business
hours (8:30 a.m. to 5:00 p.m. Eastern
time) at 888 First Street NE, Room 2A,
Washington, DC 20426.
61. From the Commission’s Home
Page on the internet, this information is
available on eLibrary. The full text of
this document is available on eLibrary
in PDF and Microsoft Word format for
viewing, printing, and/or downloading.
To access this document in eLibrary,
type the docket number excluding the
last three digits in the docket number
field.
62. User assistance is available for
eLibrary and the Commission’s website
during normal business hours from
FERC Online Support at (202) 502–6652
(toll free at 1–866–208–3676) or email at
ferconlinesupport@ferc.gov, or the
Public Reference Room at (202) 502–
8371, TTY (202) 502–8659. Email the
Public Reference Room at
public.referenceroom@ferc.gov.
By the Commission. Commissioner
McNamee is not participating.
Issued: April 18, 2019.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2019–08241 Filed 4–25–19; 8:45 am]
BILLING CODE 6717–01–P
DEPARTMENT OF JUSTICE
Office of the Attorney General
28 CFR Part 0
[Docket No. OAG 161; AG Order No. 4443–
2019]
Updating the Description of Functions
for the Executive Office for United
States Attorneys
AGENCY
: Department of Justice.
ACTION
: Final rule.
SUMMARY
: This final rule amends the
organizational regulations of the
Department of Justice to make
ministerial changes to the description of
the organization and functions of the
Executive Office for United States
Attorneys (EOUSA).
DATES
: Effective April 26, 2019.
FOR FURTHER INFORMATION CONTACT
: Jay
Macklin, General Counsel, Executive
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17751
Federal Register / Vol. 84, No. 81 / Friday, April 26, 2019 / Rules and Regulations
Office for United States Attorneys,
Department of Justice, Washington, DC
20530; (202) 252–1600.
SUPPLEMENTARY INFORMATION
: 28 CFR
part 0 provides for the organization of
the Department of Justice. As part of
that regulation, 28 CFR 0.22, subpart D–
1, Executive Office for U.S. Attorneys,
describes the general functions of
EOUSA. The current regulation
provides that EOUSA shall publish and
maintain a U.S. Attorneys’ Manual.
Recently, however, the name of the U.S.
Attorneys’ Manual was changed to the
Justice Manual. This final rule makes
ministerial revisions to 28 CFR 0.22 to
reflect that name change. It also makes
minor revisions to reflect the current
functions of EOUSA’s Office of Legal
Education. The proposed changes are
ministerial in nature rather than
substantive.
Regulatory Certifications
Administrative Procedure Act
This rule relates to a matter of agency
management or personnel, is a rule of
agency organization, procedure, or
practice, and is not a substantive rule.
As such, this rule is exempt from the
usual requirements for prior notice and
comment and a 30-day delay in effective
date. See 5 U.S.C. 553(b) & (d).
Regulatory Flexibility Act
This rule will not have an impact on
small entities because it pertains to
agency personnel and administrative
matters and, therefore, is not subject to
the Regulatory Flexibility Act, 5 U.S.C.
601, et seq. A Regulatory Flexibility Act
analysis is not required for this final
rule because the Department was not
required to publish a general notice of
proposed rulemaking for this matter.
See 5 U.S.C. 603(a).
Executive Orders 12866 and 13563—
Regulatory Review
This rule has been drafted and
reviewed in accordance with Executive
Order 12866, ‘‘Regulatory Planning and
Review,’’ section 1(b), The Principles of
Regulation, and Executive Order 13563,
‘‘Improving Regulation and Regulatory
Review,’’ section 1, General Principles
of Regulation.
This action is ‘‘limited to agency
organization, management, or personnel
matters’’ and thus is not a ‘‘rule’’ for
purposes of review by the Office of
Management and Budget. See Executive
Order 12866, ‘‘Regulatory Planning and
Review,’’ section 3(d)(3).
Executive Order 13771—Reducing
Regulation and Controlling Regulatory
Costs
This rule is not a regulatory action
under Executive Order 13771 because
this rule imposes no costs and is not a
significant regulatory action under
Executive Order 12866.
Executive Order 12988—Civil Justice
Reform
This regulation meets the applicable
standards set forth in sections 3(a) and
3(b)(2) of Executive Order 12988.
Executive Order 13132—Federalism
This rule will not have substantial
direct effects on the States, on the
relationship between the national
government and the States, or on the
distribution of power and
responsibilities among the various
levels of government. Therefore, in
accordance with Executive Order 13132,
the Department has determined that this
rule does not have sufficient federalism
implications to warrant the preparation
of a federalism summary impact
statement.
Unfunded Mandates Reform Act of 1995
This rule will not result in the
expenditure by State, local, and tribal
governments, in the aggregate, or by the
private sector, of $100 million or more
(adjusted for inflation) in any one year,
and it will not significantly or uniquely
affect small governments. Therefore, no
actions are necessary under the
provisions of the Unfunded Mandates
Reform Act of 1995, 2 U.S.C. 1501 et
seq.
Congressional Review Act
This action is not a major rule as
defined by the Congressional Review
Act. See 5 U.S.C. 804. This action
pertains to agency management,
personnel, and organization and does
not substantially affect the rights or
obligations of non-agency parties and,
accordingly, is not a ‘‘rule’’ as that term
is defined by the Congressional Review
Act. Therefore, the reporting
requirement of 5 U.S.C. 801 does not
apply.
List of Subjects in 28 CFR Part 0
Authority delegations (Government
agencies), Government employees,
Organization and functions
(Government agencies), Privacy,
Reporting and recordkeeping
requirements, Whistleblowing.
Accordingly, by virtue of the
authority vested in me as Attorney
General, including 5 U.S.C. 301 and 28
U.S.C. 509 and 510, part 0 of title 28 of
the Code of Federal Regulations is
amended as follows:
PART 0—ORGANIZATION OF THE
DEPARTMENT OF JUSTICE
[AMENDED]
■1. The authority citation for Part 0
continues to read as follows:
Authority: 5 U.S.C. 301; 28 U.S.C. 509,
510, 515–519.
■2. Amend § 0.22 by revising
paragraphs (a)(1), (b), and (c), to read as
follows:
§ 0.22 General functions.
* * * * *
(a) * * *
(1) Evaluating the performance of the
offices of the U.S. Attorneys, making
appropriate reports and inspections and
taking corrective action where
indicated.
* * * * *
(b) Publish and maintain the Justice
Manual and other guidance for the U.S.
Attorneys’ offices and those other
organizational units of the Department
concerned with litigation.
(c) Supervise the operation of the
Office of Legal Education, which shall
provide training to all Department of
Justice attorney and non-attorney legal
personnel and publish the Department
of Justice Journal of Federal Law and
Practice.
* * * * *
Dated: April 22, 2019.
William P. Barr,
Attorney General.
[FR Doc. 2019–08467 Filed 4–25–19; 8:45 am]
BILLING CODE 4410–07–P
DEPARTMENT OF HOMELAND
SECURITY
Coast Guard
33 CFR Part 100
[Docket Number USCG–2019–0058]
RIN 1625–AA08
Special Local Regulation; Lake
Pontchartrain, New Orleans, LA
AGENCY
: Coast Guard, DHS.
ACTION
: Temporary final rule.
SUMMARY
: The Coast Guard is
establishing a temporary special local
regulation for certain navigable waters
of Lake Pontchartrain in New Orleans,
LA. This action is necessary to protect
persons and vessels from potential
hazards created by the Kenner Super
Boat Grand Prix Race. Entry of vessels
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