[Federal Register: October 8, 1999 (Volume 64, Number 195)] [Rules and Regulations] [Page 54782-54783] From the Federal Register Online via GPO Access [wais.access.gpo.gov] [DOCID:fr08oc99-14] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF TRANSPORTATION Maritime Administration 46 CFR Part 204 [Docket No. MARAD-1999-6309] Redelegation of Authority To Settle Federal Tort Claims AGENCY: Maritime Administration, Department of Transportation. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: The Administrator of the Maritime Administration (MARAD) redelegates claim settlement authority under the Federal Tort Claims Act solely to MARAD's Office of the Chief Counsel and removes the settlement authority from MARAD's Associate Administrator for Administration and the Superintendent of the United States Merchant Marine Academy. Before this redelegation, the Associate Administrator for Administration had authority to settle tort claims and to authorize payments of $50,000 or less, and the Superintendent of the Merchant Marine Academy had authority to settle tort claims and to authorize payments of $20,000 or less. These changes are necessary to consolidate the settlement authority in the Office of the Chief Counsel and will make the Federal Tort Claims process easier for claimants. DATES: This rule is effective October 8, 1999. FOR FURTHER INFORMATION CONTACT: Mr. J. Patrick Wiese, Chief, Division of Litigation, Office of the Chief Counsel, Maritime Administration, (202) 366-5191; 400 Seventh Street, SW, Washington, DC 20590. SUPPLEMENTARY INFORMATION: In 49 CFR 1.45(a)(2), the Secretary of Transportation delegated to each Agency Administrator the authority to act under any statute, Executive Order, or regulation and in sections (a)(3) and (a)(16) specifically delegated the authority to request the Attorney General to approve a Federal tort claim in excess of $100,000, and the authority to settle claims of $100,000 or less. The Administrator of MARAD (Administrator) redelegated authority under the Federal Tort Claims Act, as amended, 28 U.S.C. 2672, to the Chief Counsel of MARAD, the Associate Administrator for Administration of MARAD, and the Superintendent of the United States Merchant Marine Academy. The regulations at 46 CFR part 204 set forth the requirements for settlement of claims against MARAD. Prior to this rule, Sec. 204.7 (Delegation of authority) provided that the Chief Counsel had the authority to settle Federal tort claims subject to the written approval of the U.S. Attorney General for payments in excess of $100,000; the Associate Administrator for Administration had the authority to settle tort claims and to authorize payments of $50,000 or less, and the Superintendent of the Merchant Marine Academy had authority to settle tort claims and to authorize payments of $20,000 or less. This rule redelegates the settlement authority under the Federal Tort Claims Act by removing the settlement authority from the Superintendent of the Merchant Marine Academy and the Associate Administrator for Administration and consolidating the authority in the Chief Counsel. The amended Sec. 204.7 (Delegation of authority) will consolidate the settlement authority in the Office of the Chief Counsel. These changes will make the Federal Tort Claims process easier for claimants. The MARAD Administrator should make this redelegation because the Office of the Chief Counsel has the requisite expertise and capability to carry out the responsibilities under the Federal Tort Claims Act. In practice, the Associate Administrator and Superintendent seek the legal advice of the Chief Counsel when settling tort claims. The consolidation of all agency authority with respect to tort claims in the Office of Chief Counsel is a natural extension of its current administration of tort claims. MARAD publishes this rule as a final rule, effective on the date of publication. Under 5 U.S.C. 553(b), notice and comment are unnecessary because the rule relates to departmental management, organization, procedure and practice. Further, since the amendment expedites the ability of MARAD to settle Federal Tort Claims, the Administrator finds good cause under 5 U.S.C. 553(b) and 5 U.S.C. 553(d)(3) for the final rule to be effective on the date of publication in the Federal Register. List of Subjects in 46 CFR Part 204 Claims, Delegation of authority. Accordingly, MARAD amends 46 CFR part 204 as follows: PART 204--CLAIMS AGAINST THE MARITIME ADMINISTRATION UNDER THE FEDERAL TORT CLAIMS ACT 1. The authority citation for part 204 is revised to read as follows: Authority: 28 U.S.C. 2672; 28 CFR 14.11; 49 CFR 1.45(a)(2), (3), and (16). Sec. 204.4 [Amended] 2. Section 204.4 is amended as follows: a. By adding in the first sentence of paragraph (b) before the words ``Maritime Administration'' the words ``Office of the Chief Counsel of the''. b. By removing from the second sentence of paragraph (b) the words ``which does not have settlement authority over the claim'' and by adding [[Page 54783]] in their place the words ``other than the Office of the Chief Counsel''. c. By removing from the second sentence of paragraph (b) the words ``the official vested with such authority'' and by adding in their place the words ``the Office of the Chief Counsel''. d. By removing from the second sentence of paragraph (b) the parenthetical ``(see Sec. 204.13, this part).'' 3. Section 204.7 is revised to read as follows: Sec. 204.7 Delegation of authority. (a) Subject to written approval of the Attorney General of the United States of any payment in excess of $100,000, the Chief Counsel of the Maritime Administration is authorized to approve the award, compromise, or settlement of any tort claim and to authorize payment of the claim. (b) The Chief Counsel is authorized to deny any claim and to settle and authorize payment of any tort claim involving the Maritime Administration in an amount not exceeding $100,000. 4. Section 204.8 is revised to read as follows: Sec. 204.8 Where to file claims. Claimants must file claims with the Chief Counsel (MAR-220), Maritime Administration, Department of Transportation, Room 7232, SW, Washington, DC 20590 at the Nassif Building, 7th and D Streets. Dated: October 4, 1999. By Order of the Maritime Administrator. Joel C. Richard, Secretary, Maritime Administration. [FR Doc. 99-26262 Filed 10-7-99; 8:45 am] BILLING CODE 4910-81-P