[Federal Register Volume 61, Number 187 (Wednesday, September 25, 1996)]
[Proposed Rules]
[Pages 50266-50267]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-24474]



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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Parts 32, 43 and 64

[CC Docket No. 96-193; FCC 96-370]


Implementation of the Telecommunications Act of 1996: Reform of 
Filing Requirements and Carrier Classifications

AGENCY: Federal Communications Commission.

ACTION: Notice of Proposed Rulemaking.

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SUMMARY: On September 3, 1996, the Commission adopted a Notice of 
Proposed Rulemaking (NPRM) seeking comment on regulatory proposals 
affecting carrier classifications and reporting requirements. The 
intended effect of this proceeding is to establish regulatory reform 
which is consistent with the goals of the Telecommunications Act of 
1996. In particular, we initiate a rulemaking to consider whether we 
should modify or eliminate the 60-day advance notice requirement for 
revisions to cost allocation manuals when a LEC enters a new business 
venture or makes changes to an existing business venture; which 
inflation measure we should incorporate into our rules pertaining to 
carrier classifications and reporting requirements; and whether to 
modify the filing requirements for ARMIS reports and the reports 
required to be filed in interstate exchange carriers and AT&T.

DATES: Comments on the proposed rulemaking must be submitted on or 
before October 15, 1996. Reply comments are due on or before November 
5, 1996. Written comments by the public on the proposed and/or modified 
information collections are due on or before October 15, 1996. Written 
comments must be submitted by the Office of Management and Budget (OMB) 
on the proposed and/or modified information collections on or before 
November 25, 1996.

ADDRESSES: Federal Communications Commission, 1919 M St., NW., 
Washington, DC 20554. In addition to filing comments with the 
Secretary, a copy of any comments on the information collections 
contained herein should be submitted to Dorothy Conway, Federal 
Communications Commission, Room 234, 1919 M Street, NW., Washington, DC 
20554, or via the Internet to [email protected], and to Timothy Fain, OMB 
Desk Officer, 10236 NEOB, 725-17th Street, N.W., Washington, DC 20503 
or via the Internet to [email protected].

FOR FURTHER INFORMATION CONTACT: Valerie Yates, Accounting and Audits 
Division, Common Carrier Bureau at 202-418-0850. For additional 
information concerning the information collections contained in this 
NPRM contact Dorothy Conway at 202-418-0217, or via the Internet at 
[email protected].

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Notice 
of Proposed Rulemaking adopted September 3, 1996 and released September 
12, 1996. The full text of this Commission decision is available for 
inspection and copying during normal business hours in the FCC Public 
Reference Room (Room 230), 1919 M St., NW., Washington, DC. The 
complete text of this decision may also be purchased from the 
Commission's copy contractor, International Transcript Service (202) 
857-3800, 1919 M St., NW., Suite 246, Washington, DC 20554.

Paperwork Reduction Act

    This NPRM contains proposed or modified information collections 
subject to the Paperwork Reduction Act of 1995 (PRA). It has been 
submitted to the Office of Management and Budget (OMB) for review under 
the PRA. OMB, the general public, and other Federal agencies are 
invited to comment on the proposed or modified information collections 
contained in this proceeding. Public and agency comments are due at the 
same time as other comments on this NPRM; OMB notification of action is 
due 60 days from date of publication of this NPRM in the Federal 
Register. Comments should address: (a) whether the proposed collection 
of information is necessary for the proper performance of the functions 
of the Commission, including whether the information shall have 
practical utility; (b) the accuracy of the Commission's burden 
estimates; (c) ways to enhance the quality, utility, and clarity of the 
information collected; and (d) ways to minimize the burden of the 
collection of information on the respondents, including the use of 
automated collection techniques or other forms of information 
technology.
    OMB Approval Number: 3060-0470.
    Title: Computer III Remand Proceeding: Bell Operating Company 
Safeguards, and Tier 1 Local Exchange Company Safeguards.
    Form No.: N/A.
    Type of Review: Revision of Existing Collection.
    Number of Respondents: 18.
    Estimated Time Per Response: 300 hours.
    Total Annual Burden: 10,800.
    Estimated costs per respondent: $0.
    Needs and Uses: In the attached NPRM the FCC seeks comment on 
whether or not it should continue to require carriers to file CAM 
changes relating to the cost apportionment table or changes in time 
reporting procedures 60 days before implementation. This requirement 
could cause carriers to file CAM changes more frequently than annually. 
In addition, the FCC seeks comment on the appropriate index to use to 
adjust the classification and reporting thresholds for inflation.
    Regulatory Flexibility Analysis: Section 603 of the Regulatory 
Flexibility Act (RFA), as amended, requires an Initial Regulatory 
Flexibility Analysis in notice and comment rulemaking proceedings, 
unless we certify that ``the rule will not, if promulgated, have a 
significant economic impact on a significant number of small 
entities.'' This proceeding concerns the method for making inflation 
adjustments to the annual revenue threshold that determines which 
carriers must file ARMIS reports and cost allocation manuals. In 
addition, the NPRM seeks comment on whether the Commission should 
retain the 60-day notice requirement for revisions to cost allocation 
manuals when a LEC enters into a new business venture or makes changes 
to an existing business venture. Finally, the NPRM proposes several 
changes to the filing requirements for ARMIS reports, and the reports 
required to be filed by interstate exchange carriers (IXCs) under 
Section 43.22(b) and AT&T under Section 43.21(b) of our rules. We do 
not believe the rules proposed in the NPRM portion of this proceeding 
will have a significant economic impact on a significant number of 
small entities because the businesses affected by our proposed rules 
are not small entities within the meaning of the RFA and also because 
our proposals will not have a significant economic impact on these 
businesses.
    2. The RFA defines the term ``small entity'' as having the same 
meaning as ``small business concern'' under the Small Business Act 
(SBA), which defines small business concern as ``one which is 
independently owned and operated and which is not dominant in its field 
of operation * * *'' Section 121.201 of the Small Business 
Administration regulations defines small telecommunications entities in 
SIC Code 4813 (Telephone Communications, Except Radiotelephone) as any 
entity with fewer than 1,500 employees at the holding company level.

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    3. Our proposed rules concerning the filing requirements for cost 
allocation manuals and for adjusting for inflation references to 
carrier revenues apply to the Bell Operating Companies and other 
incumbent LECs, which, because they are dominant in their field of 
operations, are by definition not small entities under the RFA. These 
proposed rules would also affect filing requirements for new LECs 
entering the local exchange market under the competitive provisions of 
the 1996 Act to the extent that such carriers' revenues exceed the 
annual indexed revenue threshold of $100 million in operating revenue 
as adjusted upward by the rules adopted and proposed herein. While 
these companies may have fewer than 1,500 employees and thus fall 
within the SBA's definition of small telecommunications entity, we do 
not believe that such entities should be considered small entities 
within the meaning of the RFA.
    4. Similarly, our proposal to change the IXC report required by 
Section 43.22(b) of the Commission's rules affects only designated IXCs 
with annual operating revenues above $100 million dollars. In addition, 
we propose to eliminate the report required by Section 43.21(b) of our 
rules that presently is filed only by AT&T. While IXCs may have fewer 
than 1,500 employees and thus fall within the SBA's definition of small 
telecommunications entity, we do not believe that such entities should 
be considered small entities within the meaning of the RFA.
    5. Moreover, none of the proposed requirements contained in our 
NPRM will have a significant economic impact on the LECs or IXCs who 
are required to file these reports or manuals. The number of filings 
required would be reduced by our proposed rules, and raising revenue 
thresholds may allow certain carriers to avoid filing the reports or 
manuals. This should have a beneficial impact on carriers affected by 
the proposed rules.
    6. We therefore certify, pursuant to Section 605(b) of the RFA, 
that the rules will not, if promulgated, have a significant economic 
impact on a substantial number of small entities. We seek comment on 
this tentative conclusion. The Secretary shall send a copy of this 
Notice, including this certification and statement, to the Chief 
Counsel for Advocacy of the Small Business Administration. A copy of 
this certification will also be published in the Federal Register.

Ordering Clauses

    Accordingly, it is ordered that, pursuant to Sections 402(b)(2)(B) 
and 402(c) of the Telecommunications Act of 1996, Public Law No. 104-
104, sec. 402(b)(2)(B) and 402(c), and Sections 1, 4, 201-205, 215, 
218, 220 of the Communications Act of 1934, as amended, 47 U.S.C. 
Secs. 151(a), 154, 201-205, 215, 218 and 220, and Section 553(b)(B) of 
the Administrative Procedure Act, 5 U.S.C. Sec. 553(b)(B), notice is 
hereby given of proposed amendments to Parts 32, 43 and 64 in 
accordance with the proposals, discussions, and statement of issues in 
this Notice of Proposed Rulemaking and that comment is sought regarding 
such proposals, discussion and statement of issues.
    Accordingly, it is ordered that a rulemaking proceeding is 
instituted to determine whether proposals made herein concerning 
regulatory reform for carrier classifications and filing requirements 
would be in the public interest.

List of Subjects in 47 CFR Parts 32, 43 and 64

    Communications common carriers, Reporting and recordkeeping 
requirements, Telephone.

    Federal Communications Commission.
Shirley S. Suggs,
Chief, Publications Branch.
[FR Doc. 96-24474 Filed 9-24-96; 8:45 am]
BILLING CODE 6712-01-P