Import Administration
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                             DEPARTMENT OF COMMERCE 
                           Foreign-Trade Zones Board 
 
                                [Order No. 406] 
 
                                  53 FR 52455 
 
                               December 28, 1988 
 
   Resolution and Order Approving the Application of the Lake Charles Harbor
and Terminal District for a Subzone at the Conoco, Inc., Refinery in 
Calcasieu Parish, LA 
 
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 (the
Board) has adopted the following Resolution and Order: 
 
   The Board, having considered the matter, hereby orders:  
 
   After consideration of the application of Lake Charles Harbor & Terminal
District, grantee of FTZ 87, filed with the Foreign-Trade Zones Board (the 
Board) on June 17, 1986, requesting special-purpose subzone status for the
crude oil refinery of Conoco, Inc., located in Calcasieu Parish, Louisiana,
adjacent to the Lake Charles Customs port of entry, the Board, finding that 
the requirements of the Foreign-Trade Zones Act, as amended, and the Board's
regulations would be satisfied, and that the proposal would be in the public
interest if approval is subject to certain conditions, approves the 
application subject to the following conditions: 
 
   1. Foreign crude oil used as fuel for the refinery shall be dutiable.  
 
   2. Conoco shall elect privileged foreign status on foreign crude oil and
other foreign merchandise admitted to the subzone. 
 
   3. The U.S. Customs Service shall inform the Foreign-Trade Zones Board on
or before July 1, 1991, that a satisfactory control system has been 
implemented so that the revenue can be fully protected; otherwise, the 
authority under this grant shall expire on that date. 
 
   The Secretary of Commerce, as Chairman and Executive Officer of the 
Board, is hereby authorized to issue a grant of authority and appropriate 
Board Order.  
 
   Grant of Authority To Establish a Foreign-Trade Subzone at the Conoco, 
Inc., Refinery in Calcasieu Parish, LA 
 
   Whereas, by an Act of Congress approved June 18, 1934, an Act "To provide
for the establishement, 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 Board's regulations (15 CFR 400.304) provide for the 
establishment of special-purpose subzones when existing zone facilities 
cannot serve the specific use involved, and where a significant public 
benefit will result; 
 
   Whereas, the Lake Charles Harbor and Terminal District, grantee of 
Foreign-Trade Zone No. 87, has made application (filed June 17, 1986, FTZ 
Docket 21-86, 51 FR 24188) in due and proper form to the Board for authority
to establish a special-purpose subzone at the crude oil refinery at Conoco, 
Inc. (Conoco), located in Calcasieu Parish, Louisiana; 
 
   Whereas, notice of said application has been given and published, and 
full opportunity has been afforded all interested parties to be heard;  
 
   Whereas, the Board has found that the requirements of the Act and the 
Board's regulations would be satisfied and that the proposal would be in 
the public interest if approval is given subject to the conditions in the 
resolution accompanying this action; 
 
  Now, therefore, in accordance with the application filed June 17, 1986, 
the Board hereby authorizes the establishment of a subzone at the Conoco 
refinery, designated on the records of the Board as Foreign-Trade Subzone 
No. 87A, at the location mentioned above and more particularly described on 
the maps and drawings accompanying the application, said grant of authority 
being subject to the provisions and restrictions of the Act and 
regulations, and those stated in the resolution accompanying this action, 
and also to the following express conditions and limitations: 
 
   Activation of the subzone shall be commenced 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.
 
   Officers and employees of the United States shall have free and 
unrestricted access to an throughout the foreign-trade subzone in the 
performance of their official duties. 
 
   The grant shall not be construed to relieve the Grantee from liability 
for injury or damage to the person or property of others occasioned by the 
construction, operation, or maintenance of said subzone, 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 affixed hereto by its Chairman and 
Executive Officer at Washington, DC, this 16th day of December, 1988, 
pursuant to Order of the Board. 
 
   Foreign-Trade Zones Board. 
 
 
Jan W. Mares, 
 
   Assistant Secretary of Commerce for Import Administration, Chairman, 
Committee of Alternates. 
 
   Attest: 
 
 
John J. Da Ponte, Jr., 
 
   Executive Secretary.   
[FR Doc. 88-29813 Filed 12-27-88; 8:45 am] 
 
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