[Federal Register Volume 63, Number 208 (Wednesday, October 28, 1998)]
[Notices]
[Pages 57689-57694]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-28769]
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FEDERAL COMMUNICATIONS COMMISSION
Public Information Collections Approved By Office of Management
and Budget
October 20, 1998.
The Federal Communications Commission (FCC) has received Office of
Management and Budget (OMB) approval for the following public
information collections pursuant to the Paperwork Reduction Act of
1995, Public Law 104-13. An agency may not conduct or sponsor and a
person is not required to respond to a collection of information unless
it displays a currently valid control number. For further information
contact Shoko B. Hair, Federal Communications Commission, (202) 418-
1379.
Federal Communications Commission
OMB Control No.: 3060-0856.
Expiration Date: 04/30/99.
Title: Universal Service--Schools and Libraries Universal Service
Program Reimbursement Forms.
Form No.: FCC Form 472, FCC Form 473, FCC Form 474.
Respondents: Business or other for profit; Not for profit
institutions.
Estimated Annual Burden: 61,800 respondents; 1.42 hours per
response (avg.); 88,050 total annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: On occasion.
Description: The Commission adopted rules providing universal
service support for all telecommunications services, Internet access,
and internal connections for all eligible schools and libraries. The
Telecommunications Act of 1996 contemplates that discounts on eligible
services shall be provided to schools and libraries, and that service
providers shall seek reimbursement for the amount of the discounts. FCC
Form 472--Billed Entity Applicant Reimbursement Form. The information
to be collected in the Billed Entity Applicant Reimbursement Form is
necessary to enable the fund administrator, the SLC, to pay universal
service support to service providers who provide discounted services to
eligible schools, libraries, and consortia of those entities. The
information is to be collected from each Form 471 Billed Entity
Applicant (Applicant) that received a funding Commitment Decisions
Letter from the administrator and filed a Form 486 to indicate the
applicant intended to prepare and submit to the SLC an invoice for
reimbursement. The information to be collected on the Billed Entity
Applicant Reimbursement Form should be completed by an applicant to
seek reimbursement for payments on approved services and/or products
delivered to the applicant from the actual service start date, as
reported in the applicant's Form 486 Column (E), through no later than
December 31, 1998. This information is necessary to identify the amount
of the discounts due and owing from the service provider to the
applicant, so that the service provider may reimburse this amount to
the applicant. (No. of respondents: 50,000; annual burden per
respondent: 1.5 hours; total annual burden: 75,000 hours). FCC Form
473--Submission of Service Provider Annual Certification Form. The
Service Provider Annual Certification Form is to be submitted by each
service provider or vendor, hereinafter collectively referred to as
service providers, that was assigned a service provider identification
number (SPIN) by the Universal Service Administrative Company (USAC)
and that participates in the universal service support mechanism for
schools and libraries. The purpose of the Annual Certification Form is
to confirm that, for each Invoice Form submitted by the service
provider, the Invoice form is in compliance with the FCC's rules
governing the schools and libraries universal service support
mechanism, and the Invoice Form is true, accurate and complete. (No. of
respondents: 9300; annual burden per respondent: 1 hour; total annual
burden: 9300 hours). FCC Form 474--Submission of Service Provider
Invoice Form. The Service Provider Invoice Form is to be used by all
service providers or vendors, hereinafter collectively referred to as
service providers, who were assigned a SPIN by the USAC and participate
in the universal service support mechanism for schools and libraries.
The purpose of the Invoice Form is for the service provider/vendor to
seek reimbursement for the cost of discounts. The information to be
collected on the Service Provider Invoice Form must be received by the
SLC before a service provider participating in the universal service
program for schools and libraries can receive payment for the
discounted portion of its bill for eligible services to eligible
entities. (No. of respondents: 2500; annual burden per respondent: 1.5
hours; total annual burden: 3750 hours). All of the information
collected is used to administer the universal service schools and
libraries program. Copies of the forms may be obtained via e-mail
<www.neca.org> or by calling 1-888-203-8100. Obligation to comply:
required to obtain or retain benefits.
OMB Control No.: 3060-0470.
Expiration Date: 10/31/2001.
Title: Allocation of Cost, Cost Allocation Manual, RAO Letters 19
and 26.
Form No.: N/A.
Respondents: Business or other for profit.
Estimated Annual Burden: 18 respondents; 300 hours per response
(avg.) (approximately 2 filings annually); 10,800 total annual burden
hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: Annually.
Description: Section 64.903(a) requires local exchange carriers
(LECs) with annual operating revenues equal to or above the indexed
revenue threshold as defined in 47 CFR 32.9000 to file a cost
allocation manual containing the information specified in Section
64.903(a) (1)-(6). Section 64.903(b) requires that carriers update
their cost allocation manuals annually, except that changes to the cost
apportionment table and to the description of time reporting
[[Page 57690]]
procedures must be filed at least 15 days before the carrier plans to
implement the changes. The cost allocation manual is reviewed by the
FCC to ensure that all costs are properly classified between regulated
and nonregulated activity. Uniformity in the CAMs will help improve the
joint cost allocation process. In addition, this uniformity will give
the Commission greater reliability in financial data submitted by the
carriers through the Automated Reporting Management Information System
(ARMIS). Obligation to comply: Mandatory.
OMB Control No.: 3060-0853.
Expiration Date: 04/30/99.
Title: Receipt of Service Confirmation Form--Universal Service for
Schools and Libraries.
Form No.: FCC Form 486.
Respondents: Business or other for profit; Not for profit
institutions; State, local or tribal government.
Estimated Annual Burden: 30,000 respondents; 1.5 hours per response
(avg.); 45,000 total annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: On occasion.
Description: The Commission adopted rules providing support for all
telecommunications services, Internet access, and internal connections
for all eligible schools and libraries. To participate in the program
schools and libraries must confirm that they are actually receiving the
services eligible for support. FCC Form 486, Receipt of Service
Confirmation Form is used by all billed entities who filed a FCC Form
471 on behalf of an eligible school, library, library consortium or
consortium of multiple entities, to inform the SLC when they begin
receiving or have received service from the service provider. The FCC
Form 486 is also used to confirm that technology plans of entities
receiving universal service support pursuant to an SLC-approved funding
commitment have been approved, indicating that the eligible entities
applying for universal service support have a plan in place to utilize
the services for which they have contracted, and to indicate the name
of the authorized reviewing body, contact name, and contact telephone
number. The FCC Form 486 is used to implement the congressional mandate
for universal service. See 47 USC 254. The reporting requirements
verify that each eligible school or library has received the services
it ordered and assure that invoices submitted from service providers
for the costs of discounts for eligible services represent services
which have been delivered to the eligible school or library. Copies of
the forms may be obtained via e-mail <www.slcfund.org> or by calling 1-
888-203-8100. Obligation to respond: Required to obtain or retain
benefits.
OMB Control No.: 3060-0422.
Expiration Date: 10/31/2001.
Title: Section 68.5, Waivers (Application for Waiver of Hearing Aid
Compatibility Requirement).
Form No.: N/A.
Respondents: Business or other for profit.
Estimated Annual Burden: 10 respondents; 3 hours per response
(avg.); 30 total annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: On occasion.
Description: Section 710(b) of the Communications Act of 1934, as
amended, requires that almost all telephones manufactured in or
imported into this country after August 15, 1989 be hearing aid
compatible. Refurbished, repaired or resold telephones, telephones used
with public and private mobile radio services, and secure telephones
used for classified communications are exempt. The HAC Act provides a
three year grace period for cordless telephones before they must comply
with the requirement. Congress recognized, however, that there may be
technological and/or economical reasons some new telephones may not
meet the hearing aid compatibility requirement. Therefore, it provided
for a waiver requirement for new telephone based on technological and
economical grounds. Section 68.5 of the Commission's rules provides the
criteria to be used to assess waivers. Applicants seeking waivers must
submit sufficient information for the Commission to make an informed
decision. Obligation to comply: Required to obtain or retain benefits.
OMB Control No.: 3060-0736.
Expiration Date: 10/31/2001.
Title: Implementation of the Non-Accounting Safeguards of Sections
271 and 272 of the Communications Act of 1934, as amended, CC Docket
No. 96-149.
Form No.: N/A.
Respondents: Business or other for profit.
Estimated Annual Burden: 5 respondents; 5 hours per response
(avg.)(about 12 responses per year); 303 total annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: On occasion.
Description: Section 272 of the Telecommunications Act of 1996
requires that BOCs make information available to third parties if it
makes that information available to its section 272(a) affiliates. In
an Order released February 6, 1998, the Commission's Common Carrier
Bureau resolved questions regarding the application of sections 10 and
272 of the Communications Act of 1934, as amended, to the provision of
E911 services by the Bell Operating Companies. Bell Operating
Companies, Petitions for Forbearance from the Application of Section
272 of the Communications Act of 1934, as amended, to Certain
Activities, CC Docket No. 96-149, DA 98-220, Memorandum Opinion and
Order (Com. Car. Bur. Feb. 6, 1998) (February 6 Order). E911 services
enable emergency service personnel to identify the location of the
party calling 911, and are essential to the safety of many Americans.
In the February 6 Order, the Bureau determined that the BOCs' E911
services are interLATA information services. One consequence of this
determination was that each BOC had an obligation under section
272(a)(2)(c) of the Act to provide E911 services only through a
separate affiliate. In the February 6 Order, the Bureau forbore from
the application of this separate affiliate requirement pursuant to the
forbearance authority in section 10 of the Act, thus permitting the
BOCs to provide E911 services on an integrated basis. The Bureau
determined that requiring the BOCs to provide E911 services only
through separate affiliates would have increased the cost, but not the
quality, of those services. In the February 6 Order, the Bureau
maintained the substance of the statutory nondiscrimination requirement
by requiring each BOC to provide unaffiliated entities with all listing
information, including unlisted and unpublished numbers as well as the
numbers of other local exchange carriers' customers, that the BOC uses
to provide E911 services, even though that Order was permitting the
BOCs to provide those services on an integrated basis. The Bureau
required that this listing information be provided at the same rates,
terms, and conditions, if any, the BOC charges or imposes on its own
E911 services. The BOCs are already required to account for their E911
services on the books of account that they maintain in accordance with
Part 32 of the Commission's rules. The Commission requires that the
BOCs treat their E911 services as nonregulated activities for federal
accounting purposes to the extent they involve storage and retrieval
functions included within the statutory definition of
[[Page 57691]]
information service. The BOCs shall record any charges they impute for
their E911 services in their revenue accounts. The BOCs shall account
for any imputed charges by debiting their nonregulated operating
revenue accounts and crediting their regulated revenue accounts by the
amounts of the imputed charges. The BOCs shall make any changes to
their cost allocation manuals necessary to reflect this account. The
BOCs' independent auditors shall include this accounting in their
review of the BOCs compliance with their cost allocation manuals. The
requirements will be used to ensure that BOCs comply with the
nondiscrimination requirements under the 1996 Act. OMB also approved
the proposals contained in the Further Notice of Proposed Rulemaking
issued in CC Docket No. 96-149. In the FNPRM the Commission proposed
that BOCs make certain information disclosures available to
``unaffiliated entities'' as defined under Commission rules. This
disclosure include the amount of time, measured in percentages and
averages, that it takes a BOC to respond to its section 272 affiliates.
BOCs must submit an annual affidavit to the Commission certifying,
inter alia, that they are maintaining the information according to the
required format. Obligation to comply: Mandatory.
OMB Control No.: 3060-0804.
Expiration Date: 03/31/99.
Title: Universal Service--Health Care Providers Universal Service
Program.
Form No.: FCC Form 465, FCC Form 466, FCC Form 467, and FCC Form
468.
Respondents: Businesses or other for profit entities; Not for
profit institutions.
Estimated Annual Burden: 18,400 respondents; 6.6 hours per response
(avg.); 121,500 total annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: . On occasion.
Description: The Commission adopted rules providing support for all
telecommunications services, limited distance charges, and Internet
access for all eligible health care providers. Health care providers
who want to participate in the universal service program must file the
following forms. FCC Form 465 to request eligible services (no. of
respondents: 12,000; annual burden per response: 2.5 hours; total
annual burden: 30,000 hours); FCC Form 466 to certify that the most
cost effective method of providing the services has been requested (no.
of respondents: 15,000; annual burden per respondent: 1.5 hours; total
annual burden: 22,500 hours); FCC Form 467 to confirm the receipt of
the requested services (no. of respondents: 12,000; annual burden per
respondent: 1.5 hours; total annual burden: 18,000 hours); and FCC Form
468 to ensure that the proper amount of universal service support has
been calculated (no. of respondents: 3400; annual burden per
respondent: 1.5 hours; total annual burden: 51,000 hours). All the
information is used to administer the universal service health care
program. Copies of the forms may be obtained via e-mail
<www.rhccfund.org> or by calling 1-888-203-8100. Obligation to comply:
Required to obtain or retain benefits.
OMB Control No.: 3060-0824.
Expiration Date: 09/30/2001.
Title: Service Provider Information Form.
Form No.: FCC Form 498.
Respondents: Business or other for profit.
Estimated Annual Burden: 10,000 respondents; 1 hours per response
(avg.); 10,000 total annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: On occasion.
Description: Pursuant to Sections 54.515 and 54.611 of the
Commission's rules, 47 CFR Sections 54.515 and 54.611, the Universal
Service Administrative Company (USAC), must obtain information relating
to: service provider name and address, telephone number, Federal
employer identification number, contact names and telephone numbers,
and billing and collection information. To that end, USAC has developed
a Service Provider Information Form, FCC Form 498 to collect this
information from carriers and service providers participating in the
universal service programs. The FCC Form 498 is designed to collect
only the information necessary to fulfill the obligation of USAC to
bill and collect funds for the various universal service programs. All
the requirements contained herein are necessary to implement the
congressional mandate for universal service. See 47 USC 254. Copies of
the form may be obtained via e-mail <www.neca.org/usacform.html> or by
calling 1-888-641-8722.
OMB Control No.: 3060-0819.
Expiration Date: 09/30/2001.
Title: Lifeline Assistance (Lifeline) Connection Assistance (Link
Up) Reporting Worksheet and Instructions (47 CFR 54.400-54.417).
Form No.: FCC Form 497.
Respondents: Business or other for profit.
Estimated Annual Burden: 1500 respondents; 28 hours per response
(avg.) (about 12 submissions per respondent annually); 42,000 total
annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: On occasion.
Description: Pursuant to Section 54.405 all eligible
telecommunications carriers (ETCs) are required to provide Lifeline
service. In turn, these ETCs are permitted under Section 54.407
(Lifeline) or Section 54.413 (Link Up) to receive support for offering
Lifeline service to qualifying low-income customers or reduced service-
connection charges through Link Up. Pursuant to Section 54.403(c),
carriers providing toll-limitation services (TLS) for qualifying low-
income subscribers will be compensated from universal service
mechanisms for the incremental cost of providing TLS. In addition,
pursuant to Section 54.403(d), the cost of the Presubscribed Carriers
Charge (PICC) for Lifeline customers who elect toll blocking is also
recoverable from the low-income program. FCC Form 497, Lifeline and
Link Up Worksheet, is to be used to request reimbursement for
participating in the low-income program. The information is necessary
in order for ETCs to receive universal service support reimbursement
for providing Lifeline and Link Up. Copies of the form may be obtained
via e-mail <www.neca.org/usacform.html> or by calling 1-888-641-8722.
Obligation to comply: Required to obtain or retain benefits.
OMB Control No.: 3060-0815.
Expiration Date: 09/30/2001.
Title: North American Numbering Plan Funding Worksheet.
Form No.: FCC Form 496.
Respondents: Business or other for profit.
Estimated Annual Burden: 3700 respondents; .50 hours per response
(avg.); 1850 total annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: On occasion; annually.
Description: Pursuant to Congress's directive in the
Telecommunications Act of 1996 that the Commission establish an
independent entity to administer telecommunications numbering, the
Commission determined on July 13, 1995, that the costs associated with
administering numbering duties should be based on each
telecommunications carrier's gross revenues less payments made to other
carriers. The costs the North American Numbering Plan Administrator
(NANPA) incurs from establishing telecommunications numbering
administration arrangements and other number portability are to be
borne by all
[[Page 57692]]
telecommunications carriers on a competitively neutral basis. See 47
USC 251(e)(2). Section 52.16(b) of the Commission's rules require the
Billing and Collection agent to design a standard reporting worksheet
to collect information for assessment calculations from carriers and to
distribute it to carriers. FCC Form 498, is the instrument used to
request that telecommunications carriers provide information regarding
their yearly gross revenues less payments made to other
telecommunications carriers. The Commission and the NANPA's billing and
collection agent will use the information collected in the worksheet to
determine the total revenue received from telecommunications carriers
in order to arrive at an amount that each carrier must pay to fund the
NANPA. Copies of the form were mailed to respondents. Copies of the
form may be obtained via email <www.fcc.gov>. Obligation to respond:
Mandatory.
OMB Control No.: 3060-0845.
Expiration Date: 10/31/2001.
Title: 1998 Annual Biennial Review of ARMIS Reporting Requirements.
Form No.: FCC 43-01-FCC 43-08, FCC 495A, FCC 495B.
Respondents: Business or other for profit.
Estimated Annual Burden: 150 respondents; 1092 hours per response
(avg.); 163,846 total annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $0.
Frequency of Response: Annual.
Description: Section 220 of the Communications Act of 1934, as
amended, 47 USC 220, allows the Commission, at its discretion, to
prescribe the forms of any and all accounts, records, and memoranda to
be kept by carriers subject to this Act, including the accounts,
records, and memoranda of the movement of traffic, as well as of the
receipts and expenditures of moneys. Section 219(b) of the
Communications Act of 1934, as amended, 47 USC 219(b), authorizes the
Commission by general or special orders to require any carriers subject
to this Act to file annual reports concerning any matters with respect
to which the Commission is authorized or required by law to act.
Section 43.21 of the Commission's rules details that requirement. The
Automated Reporting Management Information System (ARMIS) was
implemented to facilitate the timely and efficient analysis of revenue
requirements and rate of return to provide an improved basis for audits
and other oversight functions, and to enhance the Commission's ability
to quantify the effects of alternative policy. Section 11 of the
Communications Act of 1934, as amended, requires the Commission, in
every even-numbered year beginning in 1998, to review its regulations
applicable to providers of telecommunications service to determine
whether the regulations are no longer in the public interest due to
meaningful economic competition between providers of such service and
whether such regulations should be repealed or modified. (See 47 USC
161). In a NPRM issued in CC Docket No. 98-117, released 7/17/98, we
proposed as part of the biennial review to reduce the reporting
requirements of our ARMIS. These modifications are designed to minimize
the reporting burden on carriers, improve the quality and use of the
reported information and reduce the cost to the Commission of
collection, verification, and distribution of the data. The Common
Carrier Bureau currently requires carriers to submit both paper and
electronic copies of the ARMIS reports. The Commission has, in recent
years, relied on the data filed electronically to maintain internal
databases and generate meaningful reports for policy making. We
tentatively conclude that paper versions of the ARMIS reports do not
significantly contribute to the Commission efforts or future goals in
administering its accounting, joint cost, jurisdictional separations,
access charge rules, or in monitoring the quality of service and
infrastructure development in the public network. Therefore, we
tentatively conclude that we should eliminate the paper filing
requirement. We anticipate that the transition to an electronic-only
reporting program will represent a substantial cost savings for all
carriers that file ARMIS reports.
The Commission plans to make the ARMIS data available through the
Internet. This will require Commission staff to develop software that
will allow interested parties to obtain ARMIS reports over the
Internet, which we anticipate to be a costly process. The Commission
also proposed specific modifications for certain ARMIS reports. For
example, the Commission proposed to modify the ARMIS 43-04 Access
Report by eliminating 114 rows and three columns in which carriers
report data pertaining to equal access, inside wire, and payphone
investment. The Commission also proposed to reduce reporting
requirements for mid-sized incumbent LECs. For the largest incumbent
LECs, we tentatively conclude that we should maintain the Class A level
of detail for their ARMIS reporting requirements. See CC Docket No. 98-
117 for detailed discussion of the proposals. The proposals contained
in the NPRM have been approved by OMB. The following is a listing of
the reports that may be affected by the proposals contained in the NPRM
and the burden estimate if the proposals are adopted.
a. ARMIS Annual Summary Report, FCC Report 43-01--The ARMIS Annual
Summary Report contains financial and operating data and is used to
monitor the local exchange carrier industry and to perform routine
analyses of costs and revenues. (No. of respondents: 150; estimated
time per response: 135 hours; total annual burden: 20,250 hours).
b. ARMIS USOA Report, FCC Report 43-02--The FCC Report 43-02
contains company-wide data for each account specified in the Uniform
System of Accounts (USOA). It provides the annual operating results of
the carriers' activities for every account in the USOA. (No. of
respondents: 50; estimated time per response: 190 hours; total annual
burden: 9500 hours).
c. ARMIS Joint Cost Report, FCC Report 43-03--FCC Report 43-03
contains financial and operating data. FCC Report 43-03 displays
regulated and nonregulated data disaggregated by allocation method, at
the study area level. The Commission uses it to monitor the local
exchange carriers' allocation of costs to regulated and nonregulated
activities and to perform routine analyses of costs and revenues. (No.
of respondents; 150; estimated time per response: 110 hours; total
annual burden: 12,450 hours).
d. ARMIS Access Report, FCC Report 43-04--FCC Report 43-04 contains
financial and operating data and is used to monitor the local exchange
carrier industry and to perform routine analyses of costs and revenues
on behalf of the Commission. (No. of respondents: 150; estimated per
response: 621 hours; total annual burden: 93,150 hours).
e. ARMIS Service Quality Report, FCC Report 43-05--The FCC Report
43-05 collects data at the study area level and holding company level
and is designed to capture trends in service quality under price cap
regulation. It provides service quality information in the areas of
interexchange access service installation and repair intervals, local
service installation and repair intervals, trunk blockage and total
switch downtime for price cap companies. (No. of respondents: 12;
estimated time per response: 625 hours; total annual burden: 7500
hours.
f. ARMIS Customer Satisfaction Report, FCC Report 43-06--The FCC
Report 43-06 reflects the results of customer satisfaction surveys
conducted
[[Page 57693]]
by individual carriers from residential and business customers. (No. of
respondents: 8; estimated time per response: 675 hours; total annual
burden: 5400 hours).
g. ARMIS Infrastructure Report, FCC Report 43-07--The FCC Report
43-07 is designed to capture trends in telephone industry
infrastructure development under price cap regulation. It provides
switch deployment and capabilities data. (No. of respondents: 8;
estimated time per response: 412 hours; total annual burden: 3296
hours).
h. ARMIS Operating Data Report, FCC Report 43-08--The FCC Report
43-08 consists of statistical schedules previously contained in FCC
Form M which are needed by the Commission to monitor network growth,
usage and reliability. (No. of respondents: 50; estimated time per
response: 120 hours; total annual burden: 6000 hours).
i. and j. ARMIS Forecast of Investment Usage Report and Actual
Usage of Investment Report, FCC Reports 495A and 495B, implement the
FCC's Joint Cost Order, CC Docket No. 86-111 which requires that
certain telephone plant investments used for both regulated and
nonregulated purposes be allocated on the basis of forecasted regulated
and nonregulated use. The detection and correction of forecasting
errors requires reporting of both forecasted and actual investment
usage data. The Forecast of Investment Usage Report is used by carriers
to subject the forecasts of investments used. The Actual Usage of
Investment Report is used to submit the actual investments used. (No.
of respondents: 300; estimated time per response: 21 hours; total
annual burden: 6300 hours). The proposed modifications, if adopted,
would result in a burden reduction of more than 50% in our current
estimate for ARMIS reports. The information contained in the ARMIS
Reports provide the necessary detail to enable the Commission to
fulfill its regulatory responsibilities. Automated reporting of these
data greatly enhances the Commissions ability to process and analyze
the extensive amounts of data that are needed to administer its rules.
It facilities the timely and efficient analyses of revenue
requirements, rates of return and price caps, and provides an improved
basis for auditing and other oversight functions. It also enhances the
Commission's ability to quantify the effects of policy proposals.
Obligation to comply: Mandatory.
OMB Control No.: 3060-0847.
Expiration Date: 10/31/2001.
Title: 1998 Biennial Regulatory Review, Review of Accounting and
Cost Allocation Requirements--CC Docket No. 98-81.
Respondents: Business or other for profit.
Estimated Annual Burden: 276 respondents; 1092 hours per response
(avg.); 2,415,568 total annual burden hours.
Estimated Annual Reporting and Recordkeeping Cost Burden: $1200.
Frequency of Response: On occasion, Annual.
Description: Section 220 of the Communications Act of 1934, as
amended, 47 U.S.C. 220, allows the Commission, in its discretion, to
prescribe the forms of any and all accounts, records, and memoranda to
be kept by carriers subject to this Act, including the accounts,
records and memoranda of the movement of traffic, as well as of the
receipts and expenditures of moneys. Section 11 of the Communications
Act of 1934, as amended, 47 U.S.C. 161, requires the Commission, in
every even-numbered year beginning in 1998, to review its regulations
applicable to providers of telecommunications services to determine
whether the regulations are no longer in the public interest due to
meaningful economic competition between providers of such service and
whether such regulations should be repealed or modified. Section 11
further instructs the Commission to repeal or modify any regulation it
determines to be no longer necessary in the public interest. On June
17, 1998, the Commission released a Notice of Proposed Rulemaking in CC
Docket No. 98-81, proposing to modify its accounting and cost
allocation rules as part of the biennial review process. Specifically,
the Commission proposed (1) to raise the threshold significantly for
required Class A accounting, thus allowing mid-sized carriers currently
required to use Class A accounts to use the more streamlined Class B
accounts; (2) to establish less burdensome cost allocation manual
(``CAM'') procedures for the mid-sized incumbent local exchange
carriers (``LECs'') and to reduce the frequency with which independent
audits of the cost allocations based upon the CAMs are required; and
(3) to make certain changes to our Uniform System of Accounts
(``USOA'') to reduce accounting requirements and to eliminate or
consolidate accounts. The proposals contained in the NPRM have been
approved by OMB. Following is a listing of the collections that will be
affected by the proposals contained in the NPRM along with the
estimated burden hours.
a. Part 32--Uniform Systems of Accounts (recordkeeping and
reporting requirements)--The Uniform System of Accounts is a historical
financial accounting system which reports the results of operational
and financial events in a manner which enables both management and
regulators to assess these results within a specified accounting
period. Subject respondents are telecommunications companies. The
Commission for accounting purposes has classified companies into two
classes in Part 32, namely Class A and Class B companies. Class A
carriers are those entities having annual revenues from regulatory
telecommunications operations of $100,000,000 or more. Class B carriers
are those entities having annual revenues from regulated
telecommunications operations of less than $100,000,000. (No. of
respondents: 239; estimated time per response: 10,034.5 hours; total
annual burden: 2,398,268 hours).
b. Computer III Remand Proceeding: BOC Safeguards and Tier 1 LEC
Safeguards and Implementation of Further Cost Allocation Uniformity.
Pursuant to Section 64.901, carriers are required to separate their
regulated costs from nonregulated costs using the attributable cost
method of accounting. Carriers must follow the principles described in
Section 64.901. Carriers subject to 47 CFR 64.901 are also subject to
the provisions of 47 CFR 32.23 and 32.27. Section 64.903(a), as amended
by the Telecommunications Act of 1996, requires local exchange carriers
with annual operating revenues equal to or above the indexed revenue
threshold as defined in 47 CFR Section 32.9000 to file a cost
allocation manual, containing the information specified in Section
64.903(a)(1)-(6). Section 64-903(b) requires that carriers update their
cost allocation manuals annually, except that changes to the cost
apportionment table and the description of time reporting procedures
must be filed at least 15 days before the carrier plans to implement
the changes. Proposed changes in the description of time reporting
procedures, the statement concerning affiliate transactions, and the
cost apportionment table must be accompanied by a statement quantifying
the impact of each change on regulated operations. Changes in the
description of time reporting procedures and the statement concerning
affiliate transactions must be quantified in $100,000 increments at the
account level. Changes in the cost apportionment table must be
quantified in $100,000 increments at the cost pool level. Moreover,
filing of cost allocation
[[Page 57694]]
manuals and occasional updates are subject to the uniform format and
standard procedures specified in RAO letter 19. The Commission proposes
to, among other things, eliminate or modify some of the information
required in the CAMs for mid-sized incumbent LECs. (No. of respondents:
18; estimated time per response: 300 hours (about two filings per
respondent); total annual burden: 10,800 hours).
c. Annual Auditor's Certification--Section 64.904--Independent
auditors must evaluate the results of the carrier's cost allocation
manuals in light of the requirements of the manuals as well as the
Commission's joint cost rules and rules and regulations including 47
CFR 32.23, 32.27, 64.901 and 64.903 in force as of the date of the
auditor's report. Independent auditors must follow all of the ten
standards of generally accepted auditing standards (GAAS) in preparing
the required reports. The Commission proposes to, among other things,
to relax the audit requirement for mid-sized incumbent LECs. (No. of
respondents: 19; estimated time per response: 500; total annual burden:
6500 hours). The proposed information collection requirements will
provide the necessary information to enable this Commission to fulfill
its regulatory responsibilities. These proposed accounts and
recordkeeping requirements are intended to achieve the following goals:
(1) to facilitate uniform reporting among ILECs; and (2) to ensure that
regulated ratepayers do not bear the costs of ILECs' competitive
activities. If the proposals are adopted, the Commission will realize a
burden reduction of 633,500 hours. Obligation to comply: Mandatory.
Public reporting burden for the collections of information is as
noted above. Send comments regarding the burden estimate or any other
aspect of the collections of information, including suggestions for
reducing the burden to Performance Evaluation and Records Management,
Washington, D.C. 20554.
Federal Communications Commission.
Magalie Roman Salas,
Secretary.
[FR Doc. 98-28769 Filed 10-27-98; 8:45 am]
BILLING CODE 6712-01-P