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                             DEPARTMENT OF COMMERCE 
                           Foreign-Trade Zones Board 
 
                                [Order No. 398] 
 
                                  53 FR 44510 
 
                                November 3, 1988 
 
 
Resolution and Order Approving the Application of the Calhoun-Victoria 
Foreign-Trade Zone, Inc., for a Foreign-Trade Zone and Special-Purpose 
Subzones in Calhoun and Victoria Counties, TX 
 
TEXT: Proceedings of the Foreign-Trade Zones Board, Washington, DC.  
 
   Resolution and Order 
 
   Pursuant to the authority granted in the Foreign-Trade Zones Act of June
18, 1934, as amended (19 U.S.C. 81a-81u), the Foreign-Trade Zones Board has
adopted the following Resolution and Order: 
 
   The Board, having considered the matter, hereby orders:  
 
   After consideration of the application of the Calhoun-Victoria Foreign-
Trade Zone, Inc., a Texas non-profit corporation, filed with the Foreign-
Trade Zones Board (the Board) on April 27, 1988, requesting a grant of 
authority for establishing, operating, and maintaining a general-purpose 
foreign-trade zone at sites in Calhoun and Victoria Counties, Texas, 
adjacent to the Point Comfort Customs port of entry, and special-purpose 
subzones at the railroad freight car repair and rebuilding facilities of 
Safety Railway Service and Safety Steel Service (divisions of CMC Steel 
Fabricators, Inc.) in Victoria County, the Board, finding that the 
requirements of the Foreign Trade Zones Act, as amended, and the Boards' 
regulations would be satisfied, and that the proposal would be in the public
interest if approval were given subject to a restriction requiring Safety 
Railway and Safety Steel to elect privileged foreign status (19 CFR 146.41) 
on all foreign merchandise admitted to the subzones, approves the general-
purpose zone and approves the subzones subject to the foregoing restriction.
 
   As the general-purpose zone proposal involves open space on which 
buildings may be constructed by parties other than the grantee, this 
approval includes authority to the grantee to permit the erection of such 
buildings, pursuant to @ 400.815 of the Board's regulations, as are 
necessary to carry out the zone proposal, providing that prior to its 
granting such permission it shall have the concurrences of the local 
District Director of Customs, the U.S. Army District Engineer, when 
appropriate, and the Board's Executive Secretary.  Further, the grantee 
shall notify the Board for approval prior to the commencement of any 
manufacturing operation within the general-purpose zone.  The Secretary of 
Commerce, as Chairman and executive Office of the Board, is hereby 
authorized to issue a grant of authority and appropriate Board Order. 
 
   Grant -- to Establish, Operate, and Maintain a Foreign-Trade Zone in 
Calhoun and Victoria Counties, Texas, With Subzone Sites in Victoria 
County, Texas  
 
   Whereas, by an act of Congress approved June 18, 1934, an Act "To 
provide for the establishment, operation, and maintenance of foreign-trade 
zones in ports of entry of the United States, to expedite and encourage 
foreign commerce, and for other purposes," as amended (19 U.S.C. 81a-81u) 
(the Act), the Foreign-Trade Zones Board (the Board) is authorized and 
empowered to grant to corporations the privilege of establishing, operating,
and maintaining foreign-trade zones in or adjacent to ports of entry under 
the jurisdiction of the United States;  
 
   Whereas, the Calhoun-Victoria Foreign-Trade Zone, Inc. (the Grantee), a 
Texas non-profit corporation, has made application (filed April 27, 1988, 
FTZ Docket 23-88, 53 FR 17739) in due and proper form to the Board, 
requesting the establishment, operation, and maintenance of a foreign-trade
zone at sites in Calhoun and Victoria Counties, Texas, adjacent to the 
Point Comfort Customs port of entry, and special-purpose subzones for the 
railroad freight car repair and rebuilding facilities of the Safety Railway 
Service and Safety Steel Service Division of CMC Fabricators, Inc., in 
Victoria County, Texas;  
 
   Whereas, notice of said application has been given and published, and 
full opportunity has been afforded all interested parties to be heard;  
 
   Whereas, CMC has made a commitment to purchase only domestic steel and 
foreign steel licensed under the President's Steel Program while the 
program is in effect; and, 
 
   Whereas, the Board has found that the requirements of the Act and the 
Board's regulations (15 CFR Part 400) would be satisfied and that the 
proposal would be in the public interest if approval is given subject to 
the condition in the resolution accompanying this action; 
 
   Now, therefore, the Board hereby grants to the Grantee the privilege of 
establishing, operating, and maintaining a foreign-trade zone, designated on
the records of the Board as Zone No. 155 and Subzone Nos. 155A and 155B, at
the locations mentioned above and more particularly described on the maps 
and drawings accompanying the application in Exhibits IX and X, subject to 
the provisions, conditions, and restrictions of the Act and the regulations,
and to the restriction in the resolution accompanying this action, and also 
to the following express conditions and limitations: 
 
   Operation of the foreign-trade zone and subzones shall be commenced by 
the Grantee within a reasonable time from the date of issuance of the grant,
and prior thereto the Grantee shall obtain all necessary permits from 
federal, state, and municipal authorities. 
 
   The Grantee shall allow officers and employees of the United States free 
and unrestricted access to and throughout the foreign-trade zone and subzone
sites in the performance of their official duties. 
 
   The grant does not include authority for manufacturing within the general-
purpose zone, and the Grantee shall notify the Board for approval prior to 
the commencement of any manufacturing operations within the general-purpose
zone, and any new manufacturing within the subzones. 
 
   The grant shall not be construed to relieve the Grantee from liability for 
injury or damage to the persons or property of others occasioned by the 
construction, operation, or maintenance of said zone, and in no event shall 
the United States be liable therefor. 
 
   The grant is further subject to settlement locally by the District 
Director of Customs and the Army District Engineer with the Grantee 
regarding compliance with their respective requirements for the protection 
of the revenue of the United States and the installation of suitable 
facilities.   

   In witness whereof, the Foreign-Trade Zones Board has caused its name to
be signed and its seal to be afixed hereto by its Chairman and Executive 
Officer at Washington, DC, this 24th day of October, 1988, pursuant to 
Order of the Board.  
 
   Foreign-Trade Zones Board. 
 
   Donna Tuttle, 
 
   Deputy Secretary of Commerce. 
 
   Attest: 
 
   John J. Da Ponte, Jr., 
 
   Executive Secretary. 
 
   [FR Doc. 88-25478 Filed 11-2-88; 8:45 am] 
 
   BILLING CODE 3510-DS-M