[Federal Register Volume 63, Number 43 (Thursday, March 5, 1998)]
[Notices]
[Page 10876]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-5758]


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FEDERAL COMMUNICATIONS COMMISSION

[CC Docket No. 96-45; DA 98-413]


Second Quarter 1998 Universal Service Contribution Factors

AGENCY: Federal Communications Commission.

ACTION: Notice.

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SUMMARY: The Common Carrier Bureau announces proposed universal service 
contribution factors for the second quarter of 1998. If the Commission 
takes no action regarding these proposed factors by March 19, 1998, the 
projections shall be deemed approved by the Commission and shall be 
used to calculate second quarter universal service contributions.

DATES: The proposed second quarter factors will be effective March 19, 
1998.

ADDRESSES: One original and five copies of all comments responsive to 
this Public Notice must be sent to Magalie Roman Salas, Secretary, 
Federal Communications Commission, 1919 M Street, N.W., Washington, 
D.C. 20554. Three copies also should be sent to Sheryl Todd, Universal 
Service Branch, Accounting and Audits Division, Common Carrier Bureau, 
2100 M Street, N.W., 8th Floor, Washington, D.C. 20554.

FOR FURTHER INFORMATION CONTACT: Sheryl Todd, Universal Service Branch, 
Accounting and Audits Division, Common Carriers Bureau at (202) 418-
7400 or Valerie Yates, Common Carrier Bureau at (202) 418-1500.

SUPPLEMENTARY INFORMATION: By the Common Carrier Bureau:
    As required by 47 CFR 54.709, on January 30, 1998, the Universal 
Service Administrative Corporation (USAC), the Schools and Libraries 
Corporation (SLC), and the Rural Health Care Corporation (RHCC) 
submitted the following projections of second quarter 1998 demand and 
administrative expenses:

                                                  [$ millions]                                                  
----------------------------------------------------------------------------------------------------------------
                                                                                                        Total   
                         Program                             Program    Administrative    Interest     program  
                                                              demand       expenses        income       costs   
----------------------------------------------------------------------------------------------------------------
Schools and Libraries....................................        322.4            4.4         (1.8)        325.0
Rural Health Care........................................         23.2            1.9         (0.1)         25.0
                                                          ------------------------------------------------------
    Subtotal.............................................        345.6            6.3         (1.9)        350.0
High Cost................................................        431.1            0.9         (0.9)        431.1
Low Income...............................................        122.3            0.4         (0.3)        122.4
                                                          ------------------------------------------------------
    Subtotal.............................................        553.4            1.3         (1.2)        553.5
                                                          ======================================================
    Total................................................        899.0            7.6         (3.1)        903.5
----------------------------------------------------------------------------------------------------------------

    Based on information contained in the Universal Service Worksheets, 
FCC Form 457, USAC submitted end-user telecommunications revenues for 
the first half of 1997 on January 30, 1998. On February 24, 1998, USAC 
revised these revenue estimates to reflect newly-filed or revised Form 
457 submissions and to exclude revenues from contributors that the 
Commission determined are exempt in its Fourth Order on 
Reconsideration, FCC 97-420, 63 FR 2094, Jan. 13, 1998. The revised 
amounts are as follows:
    Total Interstate, Intrastate, and International End-User 
Telecommunications Revenues from January 1, 1997--June 30, 1997: 
$92.1856 billion.
    Total Interstate and International End-User Telecommunications 
Revenues from January 1, 1997--June 30, 1997: $35.3033 billion.
    We estimate quarterly revenues by dividing the six-month revenue 
estimates listed above by two.
    Based on the figures submitted by USAC, SLC, and RHCC, the proposed 
contribution factors for the second quarter of 1998 are as follows:
    Contribution factor for the schools and libraries and rural health 
care support mechanisms:
    Total Program Costs/Contribution Base (Interstate, International, 
and Intrastate) = $0.350 billion/($92.1856 billion/2) = 0.0076.
    Contribution factor for the high cost and low income support 
mechanisms:
    Total Program Costs/Contribution Base (Interstate and 
International) = $0.554 billion/($35.3033 billion/2) = 0.0314.
    These factors are the proposed second quarter 1998 universal 
service contribution factors. If the Commission takes no action 
regarding these proposed factors by March 19, 1998, the projections 
shall be deemed approved by the Commission, 47 CFR 54.709(a)(3), and 
shall be used by USAC to calculate second quarter universal service 
contributions.

Federal Communications Commission.
Shirley S. Suggs,
Chief, Publications Branch.
[FR Doc. 98-5758 Filed 3-4-98; 8:45 am]
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