[Federal Register: December 6, 2004 (Volume 69, Number 233)]
[Rules and Regulations]
[Page 70379-70382]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr06de04-12]
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DEPARTMENT OF THE INTERIOR
Fish and Wildlife Service
50 CFR Part 14
RIN 1018-AT59
Conferring Designated Port Status on Houston, TX; Louisville, KY;
and Memphis, TN
AGENCY: Fish and Wildlife Service, Interior.
ACTION: Final rule.
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SUMMARY: We, the U.S. Fish and Wildlife Service, make Houston, Texas;
Louisville, Kentucky; and Memphis, Tennessee, designated ports under
section 9(f) of the Endangered Species Act of 1973 (ESA). This action
will allow the direct importation and exportation of wildlife and
wildlife products through these growing international ports. We are
changing the regulations in 50 CFR part 14 to reflect this designation.
DATES: This rule is effective January 5, 2005.
ADDRESSES: Comments and materials received, as well as supporting
documentation used in the preparation of this final rule, are available
for public inspection, by appointment, during regular business hours at
the Branch of Investigations, U.S. Fish and Wildlife Service, Office of
Law Enforcement, 4501 North Fairfax Drive, Suite 3000, Arlington,
Virginia 22203.
FOR FURTHER INFORMATION CONTACT: Gregory Jackson, Special Agent in
Charge, Branch of Investigations, U.S. Fish and Wildlife Service,
Office of Law Enforcement, at (703) 358-1949.
SUPPLEMENTARY INFORMATION:
Background
The ESA requires that all fish and wildlife, with only limited
exceptions, be imported and exported through designated ports.
Designated ports facilitate U.S. efforts to monitor wildlife trade and
enforce wildlife protection laws and regulations by funneling wildlife
shipments through a limited number of locations. The Secretary of the
Interior, with the approval of the Secretary of the Department of
Homeland Security, designates ports for wildlife trade by regulation
after holding a public hearing and collecting and considering public
comments. Public hearings were conducted in Houston on June 10, 2004,
in Memphis on July 1, 2004, and in Louisville on July 8, 2004. We
published a proposed rule to designate the ports of Houston,
Louisville, and Memphis, with a 30-day comment period, on April 22,
2004 (69 FR 21806).
The Service selects designated ports based upon numerous criteria,
such as volume of wildlife shipments, geographic diversity, frequency
of requests for designated port exception permits, and the proximity to
existing ports of entry. The Service presently has 14 designated ports
of entry for the importation and exportation of wildlife and wildlife
products: Anchorage, Alaska; Atlanta, Georgia; Baltimore, Maryland;
Boston, Massachusetts; Chicago, Illinois; Dallas/Fort Worth, Texas;
Honolulu, Hawaii; Los Angeles, California; Miami, Florida; New Orleans,
Louisiana; New York, New York; Portland, Oregon; San Francisco,
California; and Seattle, Washington. The Service maintains a staff of
wildlife inspectors at each designated port to inspect and clear
wildlife shipments.
Regulatory exceptions allow certain types of wildlife shipments to
enter or leave the country through ports that are not designated. Under
certain conditions, importers and exporters can obtain a permit from
the Service, called a designated port exception permit, that allows
their use of non-designated ports. The importer or exporter will be
responsible for additional fees associated with the designated port
exception permit ($25) and the inspection of their wildlife shipment at
a non-designated port.
Need for This Rulemaking
Existing and projected increases in air and express cargo, along
with substantial growth in the number of airline passengers,
international visitors, and hunters seeking clearance of wildlife
imports and exports, justify the designation of the ports of Houston,
Louisville, and Memphis. The designation of these ports will improve
service, while reducing costs, for international air and ocean cargo
and mail carriers, small businesses, and the public, while maintaining
effective monitoring and regulation of the U.S. wildlife trade.
In the Fiscal Year 2004 budget appropriation for the Service's
Office of Law Enforcement, monies were appropriated by Congress in the
amount of $700,000 each for the purpose of establishing the designated
ports of Louisville and Memphis. The Service has not received an
appropriation from Congress to designate the port of Houston. However,
the designation of Houston has been under discussion for some time. At
present, the Service has three wildlife inspectors on duty in Houston,
which fulfills the staffing requirement that the Service has
established for a designated port in funding and staffing models.
Therefore, the designation of Houston would amount to changing the
status of an existing Service port and would not require start-up costs
as would be the case in Louisville and Memphis.
Houston is one of the fastest growing ports of entry in the nation
in both international airfreight and shipping. The three airports
comprising the Houston Airport System handled 42,016,609 passengers and
330,701 tons of cargo in 2002. International air cargo tonnage at
George Bush Intercontinental increased by more than 62 percent in the
past 10 years with a 10 percent per year increase in the past 5 years.
Houston is the primary air cargo gateway to and from Mexico, and the
Houston sea port handles 81 steamship lines with 6,414 vessel calls,
hauling 175,000,000 tons of cargo between Houston and 200 countries
worldwide in 2002. The Port of Houston ranks first in the United States
in tonnage imported, and third in tonnage exported. Houston also has an
extensive designated Foreign Trade Zone.
Service records indicate that a wide variety of wildlife and
wildlife products are imported and exported through Houston under
designated port exception permits. These wildlife and wildlife products
include game trophies, reptile leather goods, scientific and museum
specimens, live tropical fish, and curios. The number of designated
port exception permits issued for the port of Houston suggests that
demand for the use of this port is high. In addition, the number of
import/export licenses issued to companies in the State of Texas has
nearly doubled since 2001. Doubtless, many of these companies are doing
business in or near the Houston area and will benefit from the
designation of this port.
Before this designation, the designated ports of entry for wildlife
and wildlife products nearest to Houston were Dallas/Fort Worth, Texas
(approximately 239 miles), and New Orleans, Louisiana (approximately
347 miles). In the 2003 Fiscal Year, 4,434 wildlife shipments were
processed in Dallas/Forth Worth, and 659 wildlife shipments were
processed in New Orleans. We estimate that a significant fraction of
this volume will be shipped directly to Houston for Service inspection
and clearance with its
[[Page 70380]]
designation, resulting in considerable savings in shipping time and
costs. Before this designation, importations or exportations of
wildlife or wildlife products arriving in Houston without Service
clearance had to be either shipped in-bond, under U.S. Bureau of
Customs and Border Protection (CBP) authority, to designated ports of
entry for Service inspection and clearance, or had to be accompanied by
a designated port exception permit that authorized Service inspection
and clearance in Houston. Designated port exception permits for Houston
have been issued on a regular basis since the Service does have three
wildlife inspectors on duty at that location. However, either
alternative creates delays and increased costs to businesses.
In Louisville, the presence of the United Parcel Service (UPS) hub
at the Louisville International Airport makes Louisville the 6th
largest handler of air cargo in the world. In 2002, UPS at Louisville
handled 3,360,155,981 lbs. of air cargo in 3.5 million shipments,
including approximately 665,000 CBP import entries. In addition, the
port of Louisville had 34,354 CBP entries for other importations and
waterborne cargo at the Louisville Container Freight Port separate from
the UPS facility.
Before this designation, the designated ports of entry for wildlife
and wildlife products nearest to Louisville were Chicago, Illinois
(approximately 297 miles), and Atlanta, Georgia (approximately 421
miles). In the 2003 Fiscal Year, 5,434 wildlife shipments were
processed in Chicago, and 2,020 wildlife shipments were processed in
Atlanta. In addition, 11,800 wildlife shipments were processed in
Anchorage, which is the Pacific rim first port of landing for UPS. We
estimate that a significant fraction of this volume will be shipped
directly to Louisville for Service inspection and clearance with its
designation, resulting in considerable savings in shipping time and
costs. Before this designation, importations or exportations of
wildlife or wildlife products arriving in Louisville without Service
clearance had to be shipped in-bond, under CBP authority, to designated
ports of entry for Service inspection and clearance, thereby creating
delays and increased costs to businesses. Designated port exception
permits for Louisville have been issued on an extremely limited basis
since the Service does not currently have staff at that location, and
issuing these permits can only be done subject to the availability of
Service staff from other ports to conduct inspections.
In Memphis, the presence of the Federal Express (FedEx)
headquarters and Superhub makes Memphis International Airport the
world's largest processor of international airfreight, handling 2.63
million metric tons in 2001, more than Los Angeles or Hong Kong.
FedEx's global network spans over 210 countries, and 121,000
international shipments pass through the Memphis hub each day. More
than 130 foreign-owned firms from 22 countries employing over 17,000
workers have relocated to Memphis in the past 20 years. In addition,
Memphis is home to both rail and waterborne freight imports and
exports, with a CBP port of entry for such cargo. In 2001, the
International Port of Memphis handled 16,907,000 tons of cargo. Memphis
is served by five Class 1 railroads, which operate approximately 220
freight trains daily through the city.
Before this designation, the designated ports of entry for wildlife
and wildlife products nearest to Memphis were New Orleans, Louisiana
(approximately 402 miles), Dallas, Texas (approximately 452 miles), and
Atlanta, Georgia (approximately 463 miles). In the 2003 Fiscal Year,
659 wildlife shipments were processed in New Orleans, 4,434 wildlife
shipments were processed in Dallas, and 2,020 wildlife shipments were
processed in Atlanta. In addition, 11,800 wildlife shipments were
processed in Anchorage, which is the Pacific rim first port of landing
for FedEx. We estimate that a significant percentage of this volume
will be shipped directly to Memphis for Service inspection and
clearance with its designation, resulting in considerable savings in
shipping time and costs. Before this designation, importations or
exportations of wildlife or wildlife products arriving in Memphis
without Service clearance had to be shipped in-bond, under CBP
authority, to designated ports of entry for Service inspection and
clearance, thereby creating delays and increased costs to businesses.
Designated port exception permits for Memphis have been issued on an
extremely limited basis since the Service has only one special agent at
that location whose responsibilities extend far beyond the port. While
there are 18 CBP inspectors and 10 U.S. Department of Agriculture
Inspectors in Memphis, the absence of Service inspectors has increased
the likelihood that illegal wildlife shipments have been imported or
exported through Memphis, impacting both the United States' ability to
fulfill treaty obligations under the Convention on International Trade
in Endangered Species (CITES) and creating an avenue for the
introduction of injurious or invasive species into the nation. Prior to
September 11, 2001, CBP inspectors in Memphis initiated about 156
wildlife-related seizures per year, mostly consisting of reptile
leather goods. The single Service agent stationed in Memphis is
responsible for criminal investigations in all of West Tennessee and,
therefore, has had very little time to devote to import/export matters.
However, by spending minimal time at the FedEx air facility, he has
routinely made about 40 seizures of illegally imported wildlife or
wildlife products annually. Designated port status for Memphis will
expedite the processing of wildlife shipments, which is financially
advantageous for Memphis' and the region's carriers, importers, and
exporters, while interdicting the illegal international import and
export trade in wildlife and wildlife products.
In summary, the Service makes Houston, Louisville, and Memphis
designated ports under section 9(f) of the ESA. The justification for
this designation is based primarily on past and projected increases in
the import and export of wildlife or wildlife products through these
ports. The result of this designation will be to ease the financial and
administrative burden on companies and individuals seeking to import or
export wildlife or wildlife products through the ports of Houston,
Louisville, and Memphis. With this final rule, the list of designated
ports is now alphabetized by city name.
Summary of Public Comments Received
In response to our proposed rule to designate the ports of Houston,
Louisville, and Memphis, published on April 22, 2004 (69 FR 21806), we
received a total of 35 comments. All of these comments supported the
designation of Houston, Louisville, and Memphis. In addition, we
received three written comments at our hearing in Houston, and one
written comment at our hearing in Louisville. All of these comments
supported the designation of these ports.
Required Determinations
Executive Order 12866 (Regulatory Planning and Review)
This rule has not been reviewed by the Office of Management and
Budget (OMB) under Executive Order 12866. Under the criteria in
Executive Order 12866, this rule is not a significant regulatory
action.
a. This rule will not have an annual economic effect of $100
million or adversely affect an economic sector, productivity, jobs, the
environment, or other units of government. A cost-
[[Page 70381]]
benefit and economic analysis is not required.
The purpose of this rule is to confer designated port status on
Houston, Louisville, and Memphis. Changing the status of these ports
will have very little or no adverse effect on the economic sector,
productivity, jobs, or the environment, or other units of government.
This rule is intended to decrease the administrative and financial
burden on wildlife importers and exporters by allowing them to use the
ports of Houston, Louisville, and Memphis for all varieties of wildlife
shipments. This rule provides a significant benefit to those businesses
that import or export wildlife or wildlife products by allowing the
inspection of shipments in Houston, Louisville, and Memphis, and will
result in a savings for the importer or exporter in both time and the
expense of shipping to a designated port for Service inspection and
clearance.
b. This rule will not create inconsistencies with other agencies'
actions.
The Service is the lead agency regulating wildlife trade through
the declaration process, the issuance of permits to conduct activities
affecting wildlife and their habitats, and carrying out the United
States' obligations under CITES. Therefore, this rule has no effect on
other agencies' responsibilities and will not create inconsistencies
with other agencies' actions.
c. This rule will not materially affect entitlements, grants, user
fees, loan programs, or the rights and obligations of their recipients.
This rule will not materially affect entitlements, grants, loan
programs, or the rights and obligations of their recipients. This rule
will, however, affect user fees. User fees will be decreased or
cancelled depending on whether the import or export of wildlife or
wildlife products is for commercial purposes. For example, when we
establish Houston, which is currently staffed with three wildlife
inspectors, as a designated port, commercial importers and exporters
will save a minimum of $40 per shipment and noncommercial importers and
exporters will save a minimum of $95 per shipment. When we establish
Memphis and Louisville, which are not currently staffed with wildlife
inspectors, as designated ports, commercial importers and exporters
will save all costs associated with inspections and clearance, such as
travel, salary, and per diem, and noncommercial importers and exporters
will save the $55 administrative fee plus all costs associated with
inspections and clearance. In addition, when we establish Houston,
Louisville, and Memphis as designated ports, all importers and
exporters will save the $25 designated port exception permit fee.
d. This rule will not raise novel legal or policy issues.
This rule will not raise novel legal or policy issues because it is
based upon specific language in the ESA and the Code of Federal
Regulations, which has been applied numerous times to various ports
around the country.
Regulatory Flexibility Act (5 U.S.C. 601 et seq.)
The Department of the Interior has determined that this rule will
not have a significant economic effect on a substantial number of small
entities under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.).
An initial regulatory flexibility analysis is not required. In
addition, a Small Entity Compliance Guide is not required.
Most of the businesses that engage in commerce by importing or
exporting wildlife or wildlife products would be considered small
businesses as defined under the Regulatory Flexibility Act. This rule
is intended to ease the financial and administrative burden on
companies and individuals seeking to import or export wildlife or
wildlife products through the ports of Houston, Louisville, and
Memphis. This burden will be eased through the reduction or elimination
of user fees, and the elimination of the need for designated port
exception permits. In addition, the designation of these ports will
provide small entities with opportunities for additional brokerage,
freight forwarding, and related services to accommodate the increased
volume of imports and exports of wildlife and wildlife products through
these ports. These businesses would be considered by the Small Business
Administration (SBA) as ``All Other Support Activities for
Transportation,'' with an SBA size standard of $6 million in average
annual receipts.
Small Business Regulatory Enforcement Fairness Act (5 U.S.C. 804(2))
This rule is not a major rule under 5 U.S.C. 804(2), the Small
Business Regulatory Enforcement Fairness Act.
a. This rule does not have an annual effect on the economy of $100
million or more.
This rule will not increase costs for small entities. Before this
designation, a shipper who requested Service clearance at Houston,
Louisville, or Memphis had to have the shipment continue under CBP bond
to a designated port. With the designation of Houston, Louisville, and
Memphis, the elimination of costs associated with shipping under CBP
bond to a designated port will amount to a substantial savings for
importers and exporters of wildlife or wildlife products. In addition,
the designation of these ports will provide small entities with
opportunities for additional brokerage, freight forwarding, and related
services to accommodate the increased volume of imports and exports of
wildlife and wildlife products through these ports.
b. This rule will not cause a major increase in costs or prices for
consumers, individual industries, Federal, State, or local government
agencies, or geographic regions.
This rule is intended to ease the financial and administrative
burden on companies and individuals seeking to import or export
wildlife or wildlife products through the ports of Houston, Louisville,
and Memphis, thereby decreasing costs or prices for consumers or
individual businesses.
c. This rule does not have significant negative effects on
competition, employment, investment, productivity, innovation, or the
ability of U.S.-based companies to compete with foreign-based
companies.
This rule is intended to ease the financial and administrative
burden on companies and individuals seeking to import or export
wildlife or wildlife products through the ports of Houston, Louisville,
and Memphis, thereby promoting competition, employment, and investment,
and increasing the ability of U.S.-based enterprises to compete with
foreign-based enterprises.
Unfunded Mandates Reform Act (2 U.S.C. 1501 et seq.)
Under the Unfunded Mandates Reform Act (2 U.S.C. 1501 et seq.),
this rule, as proposed, will not ``significantly or uniquely'' affect
small governments.
a. This rule will not significantly or uniquely affect small
governments. A Small Government Agency Plan is not required.
We are the lead agency for carrying out regulations that govern and
monitor the importation and exportation of wildlife and wildlife
products. Therefore this rule has no effect on small government's
responsibilities.
b. This rule will not produce a Federal requirement that may result
in the combined expenditure by State, local, or tribal governments of
$100 million or greater in any year, so it is not a ``significant
regulatory action'' under the Unfunded Mandates Reform Act.
[[Page 70382]]
This rule will not result in any combined expenditure by State,
local, or tribal governments.
Executive Order 12630 (Takings)
Under Executive Order 12630, this rule does not have significant
takings implications. Under Executive Order 12630, this rule does not
affect any constitutionally protected property rights. This rule will
not result in the physical occupancy of property, the physical invasion
of property, or the regulatory taking of any property. A takings
implication assessment is not required. The purpose of this rule is to
confer designated port status on the ports of Houston, Louisville, and
Memphis. The result will be easing the financial and administrative
burden on the public by eliminating the need for non-designated port
permits, and decreasing or eliminating the administrative fees
associated with shipment inspections. Therefore, this rule does not
have significant takings implications.
Executive Order 13132 (Federalism)
Under Executive Order 13132, this rule does not have significant
Federalism effects. A Federalism evaluation is not required. This rule
will not have a substantial direct effect on the States, on the
relationship between the Federal Government and the States, or on the
distribution of power and responsibilities among the various levels of
government.
Executive Order 12988 (Civil Justice Reform)
Under Executive Order 12988, the Office of the Solicitor has
determined that this rule does not overly burden the judicial system
and meets the requirements of sections 3(a) and 3(b)(2) of the Order.
Specifically, this rule has been reviewed to eliminate errors and
ensure clarity, has been written to minimize lawsuits, provides a clear
legal standard for affected actions, and specifies in clear language
the effect on existing Federal law or regulation.
Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.)
This rule does not contain any information collection requirements
that require approval by the Office of Management and Budget under the
Paperwork Reduction Act, 44 U.S.C. 3501 et seq.
National Environmental Policy Act
This rule has been analyzed under the criteria of the National
Environmental Policy Act and 318 DM 2.2(g) and 6.3(D). This rule does
not amount to a major Federal action significantly affecting the
quality of the human environment. An environmental impact statement/
evaluation is not required. This rule is categorically excluded from
further National Environmental Policy Act requirements, under part 516
of the Departmental Manual, Chapter 2, Appendix 1.10.
Executive Order 13175 (Tribal Consultation) and 512 DM 2 (Government-
to-Government Relationship With Tribes)
Under the President's memorandum of April 29, 1994, ``Government-
to-Government Relations with Native American Tribal Governments'' (59
FR 22951), Executive Order 13175, and 512 DM 2, we have evaluated
possible effects on Federally recognized Indian tribes and have
determined that there are no effects. Individual tribal members are
subject to the same regulatory requirements as other individuals who
engage in the import and export of wildlife or wildlife products.
Executive Order 13211 (Energy Supply, Distribution, or Use)
On May 18, 2001, the President issued Executive Order 13211 on
regulations that significantly affect energy supply, distribution, and
use. Executive Order 13211 requires agencies to prepare Statements of
Energy Effects when undertaking certain actions. The purpose of this
rule is to confer designated port status on the ports of Houston,
Louisville, and Memphis. This rule is not a significant regulatory
action under Executive Order 12866 and it is not expected to
significantly affect energy supplies, distribution, and use. Therefore,
this action is a not a significant energy action and no Statement of
Energy Effects is required.
Endangered Species Act
A determination has been made under section 7 of the ESA that the
revision of part 14 will not affect federally listed species.
Author
The originator of this rule is Mark Phillips, Office of Law
Enforcement, U.S. Fish and Wildlife Service, Washington, DC.
List of Subjects in 50 CFR Part 14
Animal welfare, Exports, Fish, Imports, Labeling, Reporting and
recordkeeping requirements, Transportation, Wildlife.
Regulation Promulgation
0
For the reasons described above, we amend part 14, subchapter B of
chapter 1, title 50 of the Code of Federal Regulations as set forth
below.
PART 14--IMPORTATION, EXPORTATION, AND TRANSPORTATION OF WILDLIFE
0
1. The authority citation for part 14 continues to read as follows:
Authority: 16 U.S.C. 668, 704, 712, 1382, 1538(d)-(f), 1540(f),
3371-3378, 4223-4244, and 4901-4916; 18 U.S.C. 42; 31 U.S.C. 9701.
0
2. Revise Sec. 14.12 to read as follows:
Sec. 14.12 Designated ports.
The following ports of entry are designated for the importation and
exportation of wildlife and wildlife products and are referred to
hereafter as ``designated ports'':
(a) Anchorage, Alaska.
(b) Atlanta, Georgia.
(c) Baltimore, Maryland.
(d) Boston, Massachusetts.
(e) Chicago, Illinois.
(f) Dallas/Fort Worth, Texas.
(g) Honolulu, Hawaii.
(h) Houston, Texas.
(i) Los Angeles, California.
(j) Louisville, Kentucky.
(k) Memphis, Tennessee.
(l) Miami, Florida.
(m) New Orleans, Louisiana.
(n) New York, New York.
(o) Portland, Oregon.
(p) San Francisco, California.
(q) Seattle, Washington.
Dated: November 29, 2004.
David P. Smith,
Deputy Assistant Secretary for Fish and Wildlife and Parks.
[FR Doc. 04-26717 Filed 12-3-04; 8:45 am]
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