32.1.9  Closing a Regulation Project

32.1.9.1  (08-11-2004)
Criteria for Closing a Regulation Project

  1. A regulation project can be closed only after

    1. The IRS withdraws an NPRM or publishes it as a final regulation,

    2. In the case of a TEMP with a cross-referencing NPRM, the IRS removes the TEMP and withdraws the NPRM or published it as a final regulation, or

    3. The IRS decides not to publish a regulation.

32.1.9.2  (08-11-2004)
Final Regulation Published

  1. After a final regulation is published, the drafting attorney should use Form 9506, Treasury Decision File Closing Information Sheet and Assembly Checklist, to assemble and organize the folder(s) of the legal file. The drafting attorney should use a two-hole punch to put holes in the top of each paper or document and put the papers and documents in the folders using file fasteners. The drafting attorney should send the legal file to the Communications, Records, and User Fee Unit (CC:PA:LPD:DRU) in room 5336 as soon as possible after publication of the final regulation.

  2. After a final regulation is published, the drafting attorney should ensure that the final regulation is closed on CASE-MIS using status code 951 (closed – publication) and classification code J (Regulation and Legislation Projects). The Publications and Regulations Branch enters the Federal Register filing and publication information on CASE-MIS. The Publications and Regulations Branch will close the regulation project on CASE-MIS after it is published if the branch or Associate office fails to close it timely.

32.1.9.3  (08-11-2004)
NPRM Published But Will Not be Finalized

  1. If the IRS will not publish an NPRM as a final regulation, the NPRM should be withdrawn before closing the regulation project. To withdraw a regulation, a withdrawal of notice of proposed rulemaking must be signed by the Commissioner, approved by Treasury, and published in the FR. Once the NPRM is withdrawn, the drafting attorney should assemble the legal file and forward it to the Communications, Records, and User Fee Unit (CC:PA:LPD:DRU). The drafting attorney should ensure that the regulation project is closed on CASE-MIS using status code 960 (closed – withdrawn).

  2. Occasionally, the IRS decides not to publish an NPRM as a final regulation and does not issue a withdrawal of notice of proposed rulemaking. In that situation, the regulation project remains open in CASE-MIS with status code 745 (NPRM published) and classification code J (Regulation and Legislation Projects). See Exhibit 32.1.9-1, Sample Withdrawal of Notice of Proposed Rulemaking.

32.1.9.4  (08-11-2004)
No Regulation Published

  1. If the IRS will not publish a regulation, prepare a closing memorandum for the signature of the Associate Chief Counsel stating the reason the project is being closed. Include the closing memorandum in the legal file. Send the legal file to the Communications, Records, and User Fee Unit (CC:PA:LPD:DRU) for storage. Files closed by nonpublication will be retained in accordance with the records control schedule set forth in IRM 1.15.14. Close the regulation project on CASE-MIS using status code 952 (closed – non-publication) and classification code J (Regulation and Legislation Projects).

  2. An open regulation project may be closed by nonpublication for any of the following reasons:

    1. The matter involves an issue specifically addressed by another open regulation project,

    2. The issue is answered by statute, treaty, or regulations, or will be answered by pending legislation; answered by publications or court opinions previously published in the IRB; involves a determination of fact rather than an interpretation of law; or is of insufficient importance or interest to warrant publication.

    3. The matter is recommended for nonpublication by an Associate Chief Counsel, a Division Counsel, the Chief Counsel, the Commissioner, or by a Treasury official.

  3. If an open regulation project is identified as an appropriate subject for nonpublication, a nonpublication memorandum is prepared by the drafting attorney for the signature of the Associate Chief Counsel. After the memorandum is approved by the Associate Chief Counsel, the original is included in the case file.

  4. The body of the nonpublication memorandum must contain the following in separate paragraphs:

    • Introduction: A statement that the project is under consideration; a description of the regulation project; the date of issuance of any relevant document; and

    • Background or Reason for Nonpublication: A discussion of the developments or events that led to a conclusion that the regulation should be closed by nonpublication. The memorandum should contain sufficient information for the Associate Chief Counsel to determine whether the regulation should be closed without reviewing the file.

    • Action: A direct statement that the project is being closed and no further consideration will be given to its publication.

  5. See Exhibit 32.1.9-2, Sample Closing Memorandum by Nonpublication.

32.1.9.5  (08-11-2004)
Closed Regulation File Assembly

  1. Follow the procedures on Form 9506, Treasury Decision File Closing Information Sheet and Assembly Checklist, for assembling the contents of the legal file. See Exhibit 32.1.9-3, Form 9506, TD File Closing: Information Sheet And Assembly Checklist.

Exhibit 32.1.9-1  (08-11-2004)
Sample Withdrawal of Notice of Proposed Rulemaking

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Exhibit 32.1.9-2  (08-11-2004)
Sample Closing Memorandum by Nonpublication

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Exhibit 32.1.9-3  (08-11-2004)
Form 9506, TD File Closing: Information Sheet and Assembly Checklist

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