[Federal Register Volume 81, Number 66 (Wednesday, April 6, 2016)]
[Rules and Regulations]
[Pages 19904-19923]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-07759]


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SURFACE TRANSPORTATION BOARD

49 CFR Part 1201

[Docket No. EP 720]


Accounting and Reporting of Business Combinations, Security 
Investments, Comprehensive Income, Derivative Instruments, and Hedging 
Activities

AGENCY: Surface Transportation Board.

ACTION: Final rule.

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SUMMARY: The Surface Transportation Board (STB or Board) is adopting 
final rules that update the accounting and reporting requirements in 
its Uniform System of Accounts (USOA) for Class I Railroads so that 
they are more consistent with current generally accepted accounting 
principles (GAAP). The Board is also revising the schedules and 
instructions for the Annual Report for Class I Railroads (R-1 or Form 
R-1) to better meet regulatory requirements and industry needs.

DATES: This rule is effective on May 6, 2016.

FOR FURTHER INFORMATION CONTACT: Pedro Ramirez at (202) 245-0333. 
Assistance for the hearing impaired is available through the Federal 
Information Relay Service (FIRS) at 1-800-877-8339.

SUPPLEMENTARY INFORMATION: The Interstate Commerce Act, as amended by 
the ICC Termination Act of 1995 (ICCTA), Public Law 104-88, 109 Stat. 
803, authorizes the Board, in 49 U.S.C. 11142, to prescribe a uniform 
accounting system for rail carriers subject to our jurisdiction and, in 
49 U.S.C. 11161, to maintain cost accounting rules for rail 
carriers.\1\ Sections 11142 and 11161 both require the Board to conform 
its accounting rules to GAAP ``[t]o the maximum extent practicable.'' 
The USOA is set forth in the Board's regulations at 49 CFR part 1201--
Subpart A. The USOA is used by the Class I Railroads \2\ to comply with 
their statutory requirement to provide the Board an annual report, 
known as the R-1 report, that contains information about their finances 
and operating statistics. 49 U.S.C. 11145(b)(1) and 49 CFR 1241.11.
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    \1\ The Board has broad economic oversight of railroads, 49 
U.S.C. 10101-11908, and prescribes a uniform accounting system for 
rail carriers to use for regulatory purposes, 49 U.S.C. 11141-43, 
11161-64; 49 CFR parts 1200-1201. In addition, the Board requires 
Class I railroads to submit quarterly and annual reports containing 
financial and operating statistics, including employment and traffic 
data. 49 U.S.C. 11145; 49 CFR 1241-1246, 1248.
    \2\ The Board designates three classes of freight railroads 
based upon their operating revenues, for three consecutive years, in 
1991 dollars, using the following scale: Class I--$250 million or 
more; Class II--less than $250 million but more than $20 million; 
and Class III--$20 million or less. These operating revenue 
thresholds are adjusted annually for inflation. 49 CFR pt. 1201, 1-
1. Adjusted for inflation, the revenue threshold for a Class I rail 
carrier using 2014 data is $475,754,803. Today, there are seven 
Class I carriers.
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    In a notice of proposed rulemaking served on July 8, 2015 (NPR), 
the Board proposed to make a number of changes to the USOA. First, the 
Board noted that the existing USOA does not specifically address the 
proper accounting and reporting for changes in the fair value of 
certain security investments, derivative instruments, and hedging 
activities, nor does it contain specific accounts to record amounts 
related to items of Other Comprehensive Income or provide a format to 
display comprehensive income in the Form R-1. Without specific 
instructions and accounts for recording and reporting these 
transactions and events, inconsistent and incomplete accounting would 
result. Thus, the Board proposed to amend its USOA and Form R-1 to 
account for those types of transactions and events. Specifically, the 
Board proposed updating the USOA to provide for: (1) Fair value 
presentation of certain security investments, derivative instruments, 
and hedging activities; and (2) presentation of comprehensive income 
and components of other comprehensive income.
    The Board proposed these revisions based on the GAAP promulgated by 
the Financial Accounting Standards Board (FASB) \3\ in the following 
Accounting

[[Page 19905]]

Standards Codifications (ASC): ASC 320 Investments--Debt and Equity 
Securities; ASC 220 Comprehensive Income; ASC 815 Derivatives and 
Hedging; and ASC 805 Business Combinations.\4\ The Board stated that 
the purpose of the proposed revisions is to provide consistent 
accounting and reporting of changes in the fair value of security 
investments, derivative instruments, and hedging activities. The Board 
further stated that the proposed changes would minimize the accounting 
and reporting burden on railroads under the Board's jurisdiction, 
assist the Board in its overall monitoring effort, and improve 
transparency.
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    \3\ FASB is a private, non-profit organization responsible for 
setting accounting standards for public companies in the United 
States.
    \4\ These accounting pronouncements are available at https://asc.fasb.org.
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    Second, the Board proposed revising the USOA to reflect current 
accounting practices for business combinations by removing existing 
instructions for the pooling-of-interest method of accounting and 
replacing those instructions with the acquisition accounting method. 
This method of accounting has been standard practice in the accounting 
industry for some time, and the Board has already agreed that the 
acquisition method better reflects the investment made in an acquired 
entity and has affirmed the use of this treatment.\5\ Thus, in the NPR, 
the Board proposed to update the USOA to reflect this accounting 
treatment.
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    \5\ See W. Coal Traffic League--Pet. for Declaratory Order, FD 
35506, slip op at 6-17 (STB served July 25, 2013).
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    Finally, the Board proposed revising the Form R-1 to include new 
accounts and a new reporting schedule and eliminating 15 schedules that 
the Board no longer uses.
    The proposed rules were published in the Federal Register, 80 FR 
39,021 (July 8, 2015). The Board received comments from the Association 
of American Railroads (AAR); no reply comments were filed.

Final Rules

    The Board has reviewed the issues raised in AAR's comments and 
addresses them below, along with any revisions made in response. The 
final rules in full are below.

Accounting and Reporting of Business Combinations, Security 
Investments, Comprehensive Income, Derivative Instruments, and Hedging 
Activities

    In the NPR, the Board proposed to amend its USOA and Form R-1 by 
adding new general instructions and accounts to recognize changes in 
the fair value of certain security investments, items of other 
comprehensive income, derivative instruments, and hedging activities. 
Additionally, the Board proposed revising its USOA to reflect current 
accounting practices for business combinations by removing existing 
instructions for the pooling-of-interest method of accounting and 
requiring only the acquisition accounting methodology. The Board also 
sought comment on its proposal to revise the Form R-1 to include the 
new accounts and a new reporting schedule.
    No comments were filed in opposition to these proposals. Thus, the 
Board adopts such proposals here in the final rules. These changes will 
improve completeness and consistency of accounting and reporting. The 
addition of the proposed new accounts and related reporting 
requirements to the Form R-1 will reduce regulatory uncertainty as to 
the proper accounting and reporting for these items and minimize 
regulatory burden by reducing the potential differences in the manner 
in which certain amounts are reported to shareholders and to the Board. 
Finally, the reporting of derivative instruments and hedging activities 
by regulated carriers will assist the Board in its overall monitoring 
effort as well as its ability to assess railroad industry growth and 
financial stability.

Elimination of, or Changes to, Certain Schedules

    The Board stated in the NPR that it had examined the current Form 
R-1 and determined that 15 of the 47 schedules were no longer used by 
the Board to perform regulatory and oversight functions. The Board, 
therefore, proposed to eliminate the following 15 schedules:

230 Capital Stock
339 Accrued Liability--Leased Property
340 Depreciation Base and Rates--Improvements to Road and Equipment 
Leased from Others
350 Depreciation Base and Rates--Road and Equipment Leased to Others
351 Accumulated Depreciation--Road and Equipment Leased to Others
416 Supporting Schedule--Road
418 Supporting Schedule--Capital Leases
460 Items in Selected Income and Retained Earnings Accounts for the 
Year
702 Miles of Road at Close of Year--By States and Territories 
(Single Track)
721 Ties Laid in Replacement
722 Ties Laid in Additional Tracks and in New Lines and Extensions
723 Rails Laid in Replacement
724 Rails Laid in Additional Tracks and in New Lines and Extensions
725 Weight of Rail
726 Summary of Track Replacements

    In its comments, AAR states that it supports the Board's proposal 
to eliminate these schedules from the Form R-1, with the exception of 
Schedule 702, Miles of Road at Close of Year-By States and Territories 
(Single Track). According to AAR, Schedule 702 should be retained 
because this schedule is used to calculate state tax rates in the 
Revenue Shortfall Allocation Method.\6\
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    \6\ The Revenue Shortfall Allocation Method is one of the three 
benchmarks used to determine the reasonableness of a challenged rate 
under the Board's Three Benchmark methodology. See Simplified 
Standards for Rail Rate Cases, EP 646 (Sub-No. 1) (STB served Sept. 
5, 2007); Simplified Standards for Rail Rate Cases--Taxes in Revenue 
Shortfall Allocation Method, EP 646 (Sub-No. 2) (STB served Nov. 21, 
2008).
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    We agree with AAR that Schedule 702 should be retained. The Form R-
1 report, filed annually by Class I railroads, includes the mileage 
necessary to weight average state tax rates that are utilized in the 
Revenue Shortfall Allocation methodology.\7\ Therefore, Schedule 702 
will be retained.
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    \7\ See Annual Submission of Tax Info. for Use in Revenue 
Shortfall Allocation Method, EP 682, slip op. at 2 n.3 (STB served 
Feb. 26, 2010).
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    In addition to the schedules proposed for elimination in the NPR, 
AAR requests, consistent with its comments previously filed in 
Improving Regulation & Regulatory Review, Docket No. EP 712, that the 
Board eliminate Schedule 220, Retained Earnings; Schedule 342, 
Accumulated Depreciation--Improvements to Road and Equipment Leased 
from Others; Schedule 501, Guarantees and Suretyships; and Schedule 
502, Compensating Balances and Short-Term Borrowing Arrangements. AAR 
further requests that the Board eliminate Schedule 310, Investments and 
Advances Affiliated Companies and Schedule 310A, Investments in Common 
Stocks of Affiliated Companies. According to AAR, these schedules are 
unnecessary because they capture data that is neither used nor usable 
to support the Board's regulatory objectives.
    The Board will not adopt AAR's proposals to eliminate these other 
schedules. Schedule 220, Retained Earnings, will be retained because it 
is a significant financial disclosure for stakeholders interested in 
changes in the retained earnings account during the reporting period 
and gives important insight into the rail carrier's financial 
performance. Schedule 342, Accumulated Depreciation--Improvements to 
Road and Equipment Leased from Others, will be retained because it is 
used in the Board's Uniform Rail Costing System (URCS) and review of 
depreciation studies. In addition, eliminating Schedule 342 would limit 
the Board's ability to collect

[[Page 19906]]

sufficient detail for R-1 reporting regarding rail carriers' 
implementation of the updated GAAP standard for leases. Finally, 
Schedules 501 (Guarantees and Suretyships), 502 (Compensating Balances 
and Short-Term Borrowing Arrangements), 310 (Investments and Advances 
Affiliated Companies), and 310A (Investments in Common Stocks of 
Affiliated Companies), are currently used by the Board's Office of 
Economics in intercompany audits, as they provide detailed information 
related to the railroads' financial arrangements with affiliated 
companies and financial agreements with borrowers and lenders. Those 
schedules therefore will be retained.
    AAR further suggests, consistent with its comments in Improving 
Regulation and Regulatory Review, Docket No. EP 712, that the Board 
make certain changes to either conform Form R-1 schedules to GAAP or 
otherwise harmonize Form R-1 reporting requirements. In Schedule 210, 
Results of Operations, AAR suggests that the Board change the 
description in Line 41 from ``Amortization of Discount on Funded 
Debt,'' to ``Amortization of Premium or Discount on Funded Debt,'' to 
reflect that premium amortization is included in interest expenses. AAR 
also suggests removing Line 22 where amortization of premium on funded 
debt is currently reported. In Schedule 412, Way and Structures, AAR 
suggests adding a separate line for ``Shop Machinery'' to reconcile the 
amortization expenses and depreciation for road accounts required in 
Schedules 412 and 335, Accumulated Depreciation--Road and Equipment 
Owned and Used. For Schedule 415, Supporting Schedule--Equipment, AAR 
proposes that the Board combine owned and capitalized leases in the 
schedule and eliminate lines pertaining to ``Machinery'' because, 
according to AAR, this data is not in or supported by Schedule 410, 
Equipment Accounts. Finally, for Schedule 755, Railroad Operating 
Statistics, AAR suggests eliminating Line 89--Caboose Miles--due to the 
significant reduction in the use of cabooses by reporting rail 
carriers.
    While the Board will not adopt AAR's suggestions that the Board 
make certain other changes to either conform Form R-1 schedules to GAAP 
or otherwise harmonize Form R-1 reporting requirements, the Board will 
provide clarifying instructions with respect to one of AAR's proposals.
    First, we will not adopt AAR's requested changes to Schedule 210, 
Results of Operations. Although AAR's proposal would simplify the 
reporting presentation in the Form R-1, the Board's current practice of 
presenting premiums and discounts of funded debt separately is 
preferable because it allows for transparent financial reporting by 
showing both interest income and expense.
    Additionally, AAR's suggestion that the Board combine owned and 
capitalized leases in Schedule 415 (Supporting Schedule--Equipment) 
will not be adopted because this change would limit the Board's ability 
to collect sufficient detail for R-1 reporting regarding railroads' 
implementation of the updated GAAP standards for leases. This change 
would also require a modification in how Schedule 415 is inputted in 
URCS. In addition, although AAR suggests that lines pertaining to 
``Machinery'' be eliminated in Schedule 415 because, according to AAR, 
such data is not in or supported by Schedule 410 (Equipment Accounts), 
the Board will not do so because Schedule 415, Lines 38-40 reconcile to 
Schedule 410, Lines 203, 222, and 306.
    In Schedule 755 (Railroad Operating Statistics), the Board will 
retain Line 89-Caboose Miles. While reporting carriers have been 
reducing the use of cabooses over time, a level of use still exists. 
Further, removing Line 89 would eliminate an operating statistic from 
the URCS calculation.
    While AAR suggests adding a separate line for ``Shop Machinery'' in 
Schedule 412 (Way and Structures) to reconcile the amortization 
expenses and depreciation for road accounts required in Schedules 412 
(Way and Structures) and 335 (Accumulated Depreciation--Road and 
Equipment Owned and Used), the Board notes that Schedule 412 reports a 
railroad's fixed roadway facilities; ``Shop Machinery'' does not fall 
into such a category, but should be recorded in equipment accounts. The 
Board, however, will clarify instruction 4 in Schedule 412 to read as 
follows: ``Amortization adjustment of each road property type which is 
included in column (b) shall be repeated in column (d) as a debit or 
credit to the appropriate line item. The net adjustment on line 29 
shall equal the adjustment reported on line 29 of Schedule 335, 
excluding Account 44, Shop Machinery.''
    In sum, the final rules will eliminate the schedules previously 
identified in the NPR except for Schedule 702, Miles of Road at Close 
of Year-By States and Territories (Single Track), as discussed above. 
The Board will also clarify R-1 Schedule 412 instruction 4 as it 
pertains to the treatment of Shop Machinery.

Instruction 2-15

    As noted in the NPR, ASC 805 Business Combinations requires the use 
of the acquisition method of accounting for all business combinations. 
While this method of accounting has been standard practice in the 
accounting industry for some time, and the Board has already agreed 
that the acquisition method better reflects the investment made in an 
acquired entity and has affirmed the use of this treatment, the USOA 
has not been updated to incorporate the method.\8\ Thus, the NPR 
proposed to update the USOA to reflect this accounting treatment.
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    \8\ See Western Coal Traffic League--Pet. for Declaratory Order, 
FD 35506, slip op at 6-17.
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    In connection with that proposal, the Board specifically sought 
comment on the application of Instruction 2-15, paragraph (d) with 
respect to use of the pooling of interest method for transactions 
involving the acquisition and merger of property of subsidiaries in 
INSTRUCTIONS FOR PROPERTY ACCOUNTS. No comments were submitted 
regarding the treatment or application of Instruction 2-15, paragraph 
(d). Therefore, we will update Instruction 2-15, paragraph (d) to 
reflect the use of the acquisition accounting methodology and remove 
any reference or instruction pertaining to the pooling-of-interest 
methodology.\9\
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    \9\ We believe that removing references or instructions 
pertaining to the pooling-of-interest methodology in Instruction 2-
15, paragraph (d) directly follows from the NPR and the Board's 
adoption of the acquisition accounting methodology. It is also a 
logical outgrowth of the overall approach proposed in the NPR of 
shifting to the acquisition method of accounting for all business 
combinations. In proceedings governed by the rulemaking provisions 
of the Administrative Procedure Act, 5 U.S.C. 553, notice is 
sufficient if the final rule adopted by an agency is the logical 
outgrowth of the proposed rule on which it sought comment. See EC-
MAC Motor Carriers Serv. Ass'n, SSM 118 (Sub-No. 2), slip op. at 3 
(STB served Mar. 27, 2003) (citing Fertilizer Inst. v. EPA, 935 F.2d 
1303, 1311 (D.C. Cir. 1991)).
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ASC 410

    In response to the NPR, AAR also suggests that the Board adopt ASC 
410, Asset Retirement and Environmental Obligations, which addresses 
financial accounting and reporting for obligations associated with the 
retirement of tangible long-lived assets and the associated asset 
retirement costs. AAR, however, does not explain why it believes ASC 
410 should be adopted. The Board has already determined in an 
Accounting Series Circular served on June 11, 2003, and sent to all 
accounting officers of Class I railroads, that the Board would not 
adopt Financial Accounting Standard (FAS) 143, Accounting for Asset 
Retirement

[[Page 19907]]

Obligations, now codified as ASC 410, because to do so would be 
inconsistent with the Board's accounting rules.\10\ Nothing in AAR's 
comments suggests any reason for altering the Board's 2003 
determination. Accordingly, we will not adopt ASC 410 as suggested by 
AAR.
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    \10\ Surface Transportation Board, Office of Economics, 
Environmental Analysis and Administration, Accounting Series 
Circular No. 202 (2003).
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Periodic Review

    As noted above, 49 U.S.C. 11142 and 11161 require the Board to 
conform its accounting rules to GAAP ``[t]o the maximum extent 
practicable.'' Therefore, in keeping with this requirement, the Board 
will conduct a periodic review of its accounting standards not less 
than every five years.

Paperwork Reduction Act

    In the NPR the Board sought comments pursuant to the Paperwork 
Reduction Act (PRA), 44 U.S.C. 3501-3549, and Office of Management and 
Budget (OMB) regulations at 5 CFR 1320.11, regarding: (1) Whether the 
revisions to the collection of information proposed here are necessary 
for the proper performance of the functions of the Board, including 
whether the collection has practical utility; (2) the accuracy of the 
Board's burden assessment; (3) ways to enhance the quality, utility, 
and clarity of the information collected; and (4) ways to minimize the 
burdens of the collections of information on the respondents, including 
the use of automated collection techniques or other forms of 
information technology, when appropriate. Comments regarding the 
necessity, utility, and clarity of the information collection were 
received and are addressed above. No comments concerning the Board's 
burden estimates were received.
    The proposed collection was submitted to OMB for review as required 
under the PRA, 44 U.S.C. 3507(d), and 5 CFR 1320.11. OMB withheld 
approval pending submission of the final rule. We are today submitting 
the collection contained in this final rule to OMB for approval. Once 
approval is received, we will post a copy of the revised Form R-1 on 
the Board's Web site. Unless renewed, OMB approval of this collection 
expires three years after the date that OMB approves the collection.

Regulatory Flexibility Act Statement

    The Regulatory Flexibility Act of 1980 (RFA), 5 U.S.C. 601-612, 
generally requires a description and analysis of new rules that would 
have a significant economic impact on a substantial number of small 
entities. In drafting a rule, an agency is required to: (1) Assess the 
effect that its regulation will have on small entities; (2) analyze 
effective alternatives that may minimize a regulation's impact; and (3) 
make the analysis available for public comment. 5 U.S.C. 601-604. Under 
Sec.  605(b), an agency is not required to perform an initial or final 
regulatory flexibility analysis if it certifies that the proposed or 
final rules will not have a ``significant impact on a substantial 
number of small entities.''
    Because the goal of the RFA is to reduce the cost to small entities 
of complying with federal regulations, the RFA requires an agency to 
perform a regulatory flexibility analysis of small entity impacts only 
when a rule directly regulates those entities. In other words, the 
impact must be a direct impact on small entities ``whose conduct is 
circumscribed or mandated'' by the proposed rule. White Eagle Coop. 
Ass'n v. Conner, 553 F.3d 467, 478, 480 (7th Cir. 2009). An agency has 
no obligation to conduct a small entity impact analysis of effects on 
entities that it does not regulate. United Distrib. Cos. v. FERC, 88 
F.3d 1105, 1170 (D.C. Cir. 1996).
    The rule changes adopted here will not have a significant economic 
impact upon a substantial number of small entities, within the meaning 
of the RFA. The reporting requirements are applicable only to entities 
that are required to file Form R-1 reports, i.e., the Class I carriers. 
49 CFR 1241.1. Class I carriers are large railroads; accordingly, there 
will be no impact on small railroads (small entities).\11\ Therefore, 
the Board certifies under 5 U.S.C. 605(b) that this rule will not have 
a significant economic impact on a substantial number of small entities 
within the meaning of the RFA.
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    \11\ Class I carriers generally do not fall under the definition 
of a ``small rail carrier'' as defined by the Small Business 
Administration (SBA). The SBA's Office of Size Standards has 
established a size standard for rail transportation, pursuant to 
which a ``line-haul railroad'' is considered small if its number of 
employees is 1,500 or less, and a ``short line railroad'' is 
considered small if its number of employees is 500 or less. 13 CFR 
121.201 (industry subsector 482).

    Authority: 49 U.S.C. 11142 and 11164.

List of Subjects in 49 CFR Part 1201.

    Railroads, Uniform System of Accounts.

    It is ordered:
    1. The final rules set forth below are adopted and will be 
effective on May 6, 2016. Notice of the rules adopted here will be 
published in the Federal Register.
    2. This decision is effective on the date of service.

    Decided: March 30, 2016.

    By the Board, Chairman Elliott, Vice Chairman Miller, and 
Commissioner Begeman.
Tia Delano,
Clearance Clerk.
    For the reasons set forth in the preamble, the Surface 
Transportation Board is amending part 1201 of title 49, chapter X, of 
the Code of Federal Regulations as follows:

PART 1201--RAILROAD COMPANIES

0
The authority citation for part 1201 continues to read as follows:

    Authority: 49 U.S.C. 11142 and 11164.

Subpart A--Uniform System of Accounts

0
2. Amend Regulations Prescribed by revising paragraph (ii), item 16(c), 
to read as follows:

List of Instructions and Accounts

REGULATIONS PRESCRIBED

* * * * *
    (ii) * * *
    16. * * *
    (c) Cost, as applied to a marketable equity security, refers to the 
original cost as adjusted for unrealized holding gains and losses.
* * * * *
0
3. Amend General Instructions by adding instructions 1-19 and 1-20, to 
read as follows:

GENERAL INSTRUCTIONS

* * * * *
    1-19 Accounting for Other Comprehensive Income. (a) Railroads will 
record items of Other Comprehensive Income in account 799.1, Other 
comprehensive income. Amounts included in this account will be 
maintained by each category of Other Comprehensive Income. Examples of 
categories of Other Comprehensive Income include foreign currency 
items, minimum pension liability adjustments, unrealized gains and 
losses on available-for-sale type securities and cash-flow hedge 
amounts.
    (b) Supporting records will be maintained for account 799 so that 
the company can readily identify the cumulative amount of Other 
Comprehensive Income for each item included in this account.
    (c) When an item of Other Comprehensive Income enters into the 
determination of earnings in the current or subsequent periods, a 
reclassification adjustment will be recorded in account 799 to avoid 
double counting of when

[[Page 19908]]

an item included in net income was also included in Other Comprehensive 
Income in the same or prior period.
    1-20 Accounting for derivative instruments and hedging activities. 
(a) A carrier will recognize derivative instruments as either assets or 
liabilities in the financial statements and measure those instruments 
at fair value. A derivative instrument is a financial instrument or 
other contract with all three of the following characteristics:
    (1) The derivative instrument has one or more underlyings and a 
notional amount or payment provision. Those terms determine the amount 
of the settlement or settlements, and, in some cases, whether or not a 
settlement is required.
    (2) The derivative instrument requires no initial net investment or 
an initial net investment that is smaller than would be required for 
other types of contracts that would be expected to have similar 
responses to changes in market factors.
    (3) The derivative instrument's terms require or permit net 
settlement; the derivative instrument can readily be settled net by a 
means outside the contract; or the derivative instrument's terms 
provide for delivery of an asset that puts the recipient in a position 
not substantially different from net settlement.
    (b) The accounting for the changes in the fair value of derivative 
instruments depends upon their intended use and designation. Changes in 
the fair value of derivative instruments not designated as fair value 
or cash flow hedges will be recorded in account 713.5, Derivative 
instrument assets, or account 763.5, Derivative instrument liabilities, 
as appropriate, with the gains or losses charged to earnings in account 
551, Miscellaneous income charges.
    (c) A derivative instrument may be specifically designated as a 
fair-value or cash-flow hedge. A hedge may be used to manage risk to 
price, interest rates, or foreign currency transactions. An entity will 
maintain documentation of the hedge relationship at the inception of 
the hedge that details the risk management objective and strategy for 
undertaking the hedge, the nature of the risk being hedged, and how 
hedge effectiveness will be determined.
    (d) If the carrier designates the derivative instrument as a fair-
value hedge against exposure to changes in the fair value of a 
recognized asset, liability, or a firm commitment, it will record the 
change in fair value of the derivative instrument designated as a fair-
value hedge to account 713.6, Derivative instruments assets--hedges, or 
account 763.6, Derivative instrument liabilities--hedges, as 
appropriate, with a corresponding adjustment to the sub-account of the 
item being hedged. The ineffective portion of the hedge transaction 
will be reflected in the same income or expense account that would have 
been used if the hedged item had been disposed of or settled. In the 
case of a fair-value hedge of a firm commitment, a new asset or 
liability is created. As a result of the hedge relationship, the new 
asset or liability will become part of the carrying amount of the item 
being hedged.
    (e) If the carrier designates the derivative instrument as a cash-
flow hedge against exposure to variable cash flows of a probable 
forecasted transaction, it will record changes in the fair value of the 
derivative instrument in account 713.6, Derivative instrument assets--
hedges, or account 763.6, Derivative instrument liabilities--hedges, as 
appropriate, with a corresponding amount in account 799.1, Other 
comprehensive income, for the effective portion of the hedge. The 
ineffective portion of the hedge transaction will be reflected in the 
same income or expense account that would have been used if the hedged 
item had been disposed of or settled. Amounts recorded in Other 
Comprehensive Income will be reclassified into earnings in the same 
period or periods that the hedged forecasted item affects earnings.

0
4. Amend Instructions For Property Accounts by:
0
a. Revising paragraph (a) in Instruction 2-15;
0
b. Removing paragraph (b) in Instruction 2-15;
0
c. Redesignating paragraph (c) as paragraph (b) in Instruction 2-15;
0
d. Revising the newly designated paragraph (b) in Instruction 2-15;
0
e. Redesignating paragraph (d) as paragraph (c) in Instruction 2-15; 
and
0
f. Revising the newly designated paragraph (c) in Instruction 2-15.
    The revisions read as follows:

INSTRUCTIONS FOR PROPERTY ACCOUNTS

* * * * *
    2-15 * * * (a) When a railway or portion thereof constituting an 
operating unit or system is acquired in a business combination, that 
business combination shall be recorded in the accounts in the manner 
stated hereunder.
    (b) Purchase:
    (1) The amount includable in account 731, Road and equipment 
property, shall be the cost at the date of acquisition to the purchaser 
of the transportation property acquired. The cost assigned the 
property, as well as other assets acquired, shall be the amount of the 
cost consideration given. Where property and other assets are acquired 
for other than cash, including liabilities assumed and shares of stock 
issued, cost shall be determined by either the fair value of the 
consideration given or the fair value of the assets acquired, whichever 
is more clearly evident. In addition to any liabilities assumed, 
provision shall be made for such estimated liabilities as may be 
necessary.
    (2) When the costs of individual units or classes of transportation 
property are not specified in the agreement, the cost assigned such 
property shall be apportioned among the appropriate primary accounts 
using the percentage relationship between the fair values for each 
class of property acquired and the total of such values.
    (c) Merger of subsidiaries:
    The acquisition and merger of property of subsidiaries controlled 
through ownership of the majority shares of voting stock is to be 
accounted for using the acquisition accounting methodology.

0
5. Amend Instructions For Income And Balance Sheet Accounts by revising 
Instruction 5-2, paragraph (a), items (2), (3), and (4) to read as 
follows:

INSTRUCTIONS FOR INCOME AND BALANCE SHEET ACCOUNTS

* * * * *
    5-2 * * *
    (a) * * *
    (2) Account 702, Temporary cash investments, account 721, 
Investments and advances; affiliated companies, and account 722, Other 
investments and advances, shall be maintained in such a manner as to 
reflect the marketable equity portion (see definition 26) and other 
securities or investments.
    (3) For the purpose of determining net ledger value, the marketable 
equity securities in account 702 shall be considered the current 
portfolio and the marketable equity securities in accounts 721 and 722 
(combined) shall be considered the noncurrent portfolio.
    (4) Carriers will categorize their security investments as held-to-
maturity, trading, or available-for-sale. Unrealized holding gains and 
losses on trading type investment securities will be recorded in 
account 551, Miscellaneous income charges. Unrealized holding gains and 
losses on available-for-sale type investment securities will be 
recorded in account 799.1, Other comprehensive income.
* * * * *

0
6. Amend Income Accounts--Ordinary Items by adding a sentence at the 
end of the list of inclusions for

[[Page 19909]]

account 551 ``Miscellaneous income charges,'' paragraph (a) to read as 
follows:

INCOME ACCOUNTS

Ordinary Items

* * * * *

551 Miscellaneous income charges.

    (a) * * *
    Unrealized holding gains and losses on trading type investment 
securities.
* * * * *

0
7. Amend General Balance Sheet Accounts Explanations--Assets, Current 
Assets by:
0
a. Adding a sentence to the end of the first paragraph in account 702 
``Temporary cash investment'';
0
b. Adding accounts 713.5 ``Derivative instrument assets'' and 713.6 
``Derivative instrument assets-hedges.''
    The additions read as follows:

GENERAL BALANCE SHEET ACCOUNTS EXPLANATIONS

Assets

Current Assets
* * * * *

702 Temporary cash investments.

    * * * This account shall also include unrealized holding gains and 
losses on trading and available-for-sale types of security investments.
* * * * *

713.5 Derivative instrument assets.

    This account shall include the amounts paid for derivative 
instruments, and the change in the fair value of all derivative 
instrument assets not designated as cash-flow or fair-value hedges. 
Account 551, Miscellaneous income charges, will be charged with the 
corresponding amount of the change in the fair value of the derivative 
instrument.

713.6 Derivative instrument assets--hedges.

    (a) This account shall include the amounts paid for derivative 
instruments, and the change in the fair value of derivative instrument 
assets designated by the carrier as cash-flow or fair-value hedges.
    (b) When a carrier designates a derivative instrument asset as a 
cash-flow hedge, it will record the change in the fair value of the 
derivative instrument in this account with a concurrent charge to 
account 799.1, Other comprehensive income, with the effective portion 
of the derivative's gain or loss. The ineffective portion of the cash-
flow hedge will be charged to the same income or expense account that 
would have been used if the hedged item had been disposed of or 
otherwise settled.
    (c) When a carrier designates a derivative instrument as a fair-
value hedge, it will record the change in the fair value of the 
derivative instrument in this account with a concurrent charge to a 
sub-account of the asset or liability that carries the item being 
hedged. The ineffective portion of the fair-value hedge will be charged 
to the same income or expense account that would have been used if the 
hedged item had been disposed of or otherwise settled.
* * * * *

0
8. Amend General Balance Sheet Accounts Explanations--Assets, Special 
Funds by:
0
a. In account 715 ``Sinking funds,'' adding two sentences to the end of 
paragraph (b);
0
b. In account 716 ``Capital funds,'' adding a sentence to the end of 
paragraph (a); and
0
c. In account 717 ``Other funds,'' adding Note E.
    The additions read as follows:

GENERAL BALANCE SHEET ACCOUNTS EXPLANATIONS

Assets

Special Funds

715 Sinking funds.

* * * * *
    (b) * * * This account shall also include unrealized holding gains 
and losses on trading and available-for-sale types of security 
investments. The cash value of life insurance policies on the lives of 
employees and officers to the extent that the carrier is the 
beneficiary of such policies shall also be included in this account.
* * * * *

716 Capital funds.

    (a) * * * This account shall also include unrealized holding gains 
and losses on trading and available-for-sale types of security 
investments.
* * * * *

717 Other funds.

* * * * *

    Note E:  This account shall also include unrealized holding 
gains and losses on trading and available-for-sale types of security 
investments.


0
9. Amend General Balance Sheet Accounts Explanations--Assets, 
Investments by:
0
a. In account 722 ``Other investments and advances,'' adding two 
sentences to the end of paragraph (a); and
0
b. Removing account 724 ``Allowance for net unrealized loss on 
noncurrent marketable equity securities--Cr.''
    The addition reads as follows:

GENERAL BALANCE SHEET ACCOUNTS EXPLANATIONS

Assets

Investments

* * * * *

722 Other investments and advances.

    (a) * * * This account shall also include unrealized holding gains 
and losses on trading and available-for-sale types of security 
investments. Include also the offsetting entry to the recording of 
amortization of discount or premium on interest bearing investments.
* * * * *

0
10. Amend General Balance Sheet Accounts Explanations--Liabilities and 
Shareholders' Equity, Current Liabilities by adding accounts 763.5 
``Derivative instrument liabilities'' and 763.6 ``Derivative instrument 
liabilities-hedges'', to read as follows:

GENERAL BALANCE SHEET ACCOUNTS EXPLANATIONS

Liabilities and Shareholders' Equity

Current Liabilities
* * * * *

763.5 Derivative instrument liabilities.

    This account shall include the change in the fair value of all 
derivative instrument liabilities not designated as cash-flow or fair-
value hedges. Account 551, Miscellaneous income charges, will be 
charged with the corresponding amount of the change in the fair value 
of the derivative instrument.

763.6 Derivative instrument liabilities--hedges.

    (a) This account shall include the change in the fair value of 
derivative instrument liabilities designated by the carrier as cash-
flow or fair-value hedges.
    (b) A carrier will record the change in the fair value of a 
derivative instrument liability related to a cash-flow hedge in this 
account, with a concurrent charge to account 799.1, Other comprehensive 
income, with the effective portion of the derivative instrument's gain 
or loss. The ineffective portion of the cash-flow hedge will be charged 
to the same income or expense account that would have been used if the 
hedged item had been disposed of or otherwise settled.
    (c) A carrier will record the change in the fair value of a 
derivative instrument liability related to a fair-value hedge in this 
account, with a concurrent charge to a sub-account of the asset or 
liability

[[Page 19910]]

that carries the item being hedged. The ineffective portion of the 
fair-value hedge will be charged to the same income or expense account 
that would have been used if the hedged item had been disposed of or 
otherwise settled.
* * * * *

0
11. Amend General Balance Sheet Accounts Explanations--Liabilities and 
Shareholders' Equity, Shareholders' Equity by:
0
a. Removing account 798.1 ``Net unrealized loss on noncurrent 
marketable securities''; and
0
b. Adding account 799 ``Accumulated Other Comprehensive Income.''
    The addition reads as follows:

GENERAL BALANCE SHEET ACCOUNTS EXPLANATIONS

Liabilities and Shareholders' Equity

Shareholders' Equity
* * * * *

799 Accumulated Other Comprehensive Income.

    (a) This account shall include revenues, expenses, gains, and 
losses that are properly includable in Other Comprehensive Income 
during the period. Examples of items of Other Comprehensive Income 
include foreign currency items, minimum pension liability adjustments, 
unrealized gains and losses on certain investments in debt and equity 
securities, and cash-flow hedges. Records supporting the entries to 
this account shall be maintained so that the carrier can furnish the 
amount of Other Comprehensive Income for each item included in this 
account.
    (b) This account shall also be debited or credited, as appropriate, 
with amounts of accumulated Other Comprehensive Income that have been 
included in the determination of net income during the period and in 
accumulated Other Comprehensive Income in prior periods. Separate 
records for each category of items will be maintained to identify the 
amount of the reclassification adjustments from accumulated Other 
Comprehensive Income to earnings made during the period.

0
12. Revise Form of General Balance Sheet Statement to read as follows:
Form of General Balance Sheet Statement
    The classified form of general balance sheet statement is designed 
to show the financial condition of the accounting company at any 
specified date.

                                 Assets
------------------------------------------------------------------------
 
-------------------------------------------------------------------------
Current assets:
    701. Cash.
    702. Temporary cash investments.
    703. Special deposits.
    704. Loans and notes receivable.
    705. Accounts receivable; Interline and other balances.
    706. Accounts receivable; Customers.
    707. Accounts receivable; Other.
    708. Interest and dividends receivable.
    708.5. Receivables from affiliated companies.
    709. Accrued accounts receivable.
    709.5. Allowance for uncollectible accounts.
        Net receivables.
    710. Working funds.
    711. Prepayments.
    712. Material and supplies.
    713. Other current assets.
    713.5 Derivative instrument assets.
    713.6 Derivative instrument assets-hedges.
    714. Deferred income tax debits.
        Total current assets.
Special funds:
    715. Sinking funds.
    716. Capital funds.
    717. Other funds.
        Total special funds.
Investments:
    721. Investments and advances; affiliated companies.
Undistributed earnings from certain investments in account 751.
    721.5. Adjustments; investments and advances--affiliated companies.
Net--investments and advances--affiliated companies.
    722. Other investments and advances.
    723. Adjustments; Other investments and advances.
 Net--other investments and advances.
 Total investments.
Tangible property:
    731. Road and equipment property.
    735. Accumulated depreciation; Road and equipment property.
    736. Accumulated amortization; Road and equipment property--Defense
     projects.
 Net road and equipment property.
    732. Improvements on leased property.
    733. Accumulated depreciation; Improvements on leased property.
    734. Accumulated amortization; Improvements on leased property--
     Defense projects.
 Net improvements on leased property.
 Total carrier property.
    737. Property used in other than carrier operations.
    738. Accumulated depreciation; Property used in other than carrier
     operations.
 Net--property used in other than carrier operations.
 Total tangible property.
Intangible property:
    739. Organization expenses.
Other assets and deferred debits:
    741. Other assets.
    743. Other deferred debits.
    744. Accumulated deferred income tax debits.
        Total other assets and deferred debits.
        Total assets.
                  Liabilities and Shareholders' Equity
Current liabilities:
    751. Loans and notes payable.
    752. Accounts payable; Interline and other balances.
    753. Audited accounts and wages payable.
    754. Accounts payable; Other.
    755. Interest payable.
    756. Dividends payable.
    757. Payables to affiliated companies.
    759. Accrued accounts payable.
    760. Federal income taxes accrued.
    761. State and other income taxes accrued.
    761.5. Other taxes accrued.
    762. Deferred income tax credits.
    763. Other current liabilities.
    763.5 Derivative instrument liabilities.
    763.6 Derivative instrument liabilities--hedges.
    764. Equipment obligations and other long-term debt due within one
     year.
        Total current liabilities.
Long-term debt due after one year: \1\
    765. Funded debt unmatured.
    766. Equipment obligations.
    766.5. Capitalized lease obligations.
    767. Receivers' and trustees' securities.
    768. Debt in default.
    769. Accounts payable; Affiliated companies.
    770.1 Unamortized debt discount.
    770.2 Unamortized premium on debt.
        Total long-term debt due after one year.
Other long-term liabilities:
    771. Accrued liability; Pension and welfare.
    772. Accrued liability; Leased property.
    774. Accrued liability; Casualty and other claims.
    775. Other accrued liabilities.
    781. Interest in default.
    782. Other liabilities.
        Total other long-term liabilities.
Deferred credits:
    783. Deferred revenues--transfers from government authorities.
    784. Other deferred credits.
    786. Accumulated deferred income tax credits.
        Total deferred credits.
Shareholders' equity:
 Capital stock:
    791. Capital stock.
    792. Liability for conversion of capital stock.
    793. Discount on capital stock.
        Total capital stock.
 Additional capital:
    794. Premiums and assessments on capital stock.
    795. Other capital.
        Total additional capital.
Retained earnings:
    797. Retained earnings; Appropriated.
    798. Retained earnings; Unappropriated.
        Total retained earnings.
    798.5 Treasury stock.
    799. Accumulated Other Comprehensive Income.

[[Page 19911]]

 
        Total shareholders' equity.
        Total liabilities and shareholders' equity.
------------------------------------------------------------------------
\1\ To be divided as to ``Total issued'' and ``Held by or for company.''

0
13. Amend Conversion Tables by revising General Balance Sheet Accounts 
Conversion Table to read as follows:

CONVERSION TABLES

* * * * *

                                 General Balance Sheet Accounts Conversion Table
----------------------------------------------------------------------------------------------------------------
        System of accounts eff. prior to April 2016                   System of accounts eff. April 2016
----------------------------------------------------------------------------------------------------------------
               Account title                       No.             No.                  Account title
----------------------------------------------------------------------------------------------------------------
Cash.......................................             701             701  Cash.
Temporary cash investments.................             702             702  Temporary cash investments.
Special deposits...........................             703             703  Special deposits.
Loans and notes receivable.................             704             704  Loans and notes receivable.
                                                                      708.5  Receivables from affiliated
                                                                              companies.
                                                                      709.5  Allowance for uncollectible
                                                                              accounts.
Traffic, car service and other balances--dr             705             705  Accounts receivable; interline and
                                                                              other balances.
                                                                      709.5  Allowances for uncollectible
                                                                              accounts.
                                                                        752  Accounts payable; interline and
                                                                              other balances.
Net balance receivable from agents and                  706             706  Accounts receivable; customers.
 conductors.
Miscellaneous accounts receivable..........             707             707  Accounts receivable; other.
                                                                      708.5  Receivables from affiliated
                                                                              companies.
                                                                      709.5  Allowance for uncollectible
                                                                              accounts.
Interest and dividends receivable..........             708             708  Interest and dividends receivable.
                                                                      708.5  Receivables from affiliated
                                                                              companies.
                                                                      709.5  Allowance for uncollectible
                                                                              accounts.
Accrued accounts receivable................             709             709  Accrued accounts receivable.
Working fund advances......................             710             710  Working funds.
Prepayments................................             711             711  Prepayments.
Material and supplies......................             712             712  Material and supplies.
Other current assets.......................             713             713  Other current assets.
                                                                      713.5  Derivative instrument assets.
                                                                      713.6  Derivative instrument assets--
                                                                              hedges.
Deferred income tax charges................             714             714  Deferred income tax debits.
Sinking funds..............................             715             715  Sinking funds.
Capital and other reserve funds............             716             716  Capital funds.
Insurance and other funds..................             717             717  Other funds.
Investment in affiliated companies.........             721             721  Investments and advances;
                                                                              affiliated companies.
Other investments..........................             722             722  Other investments and advances.
Reserve for adjustment of investment in                 723           721.5  Adjustments; investments and
 securities--cr.                                                              advances--affiliated companies.
                                                                        723  Adjustments; other investments and
                                                                              advances.
Road and equipment property................             731             731  Road and equipment property.
Organization expenses......................              71             739  Organization expenses.
Improvements on leased property............             732             732  Improvements on leased property.
Accrued depreciation; improvements on                   733             733  Accumulated depreciation;
 leased property.                                                             improvements on leased property.
Accrued depreciation; road and equipment...             735             735  Accumulated depreciation; road and
                                                                              equipment property.
Amortization of defense projects; road and              736             736  Accumulated amortization; road and
 equipment.                                                                   equipment property--defense
                                                                              projects.
                                                                        734  Accumulated amortization;
                                                                              improvements on leased property--
                                                                              defense projects.
Miscellaneous physical property............             737             737  Property used in other than carrier
                                                                              operations.
Accrued depreciation; miscellaneous                     738             738  Accumulated depreciation; property
 physical property.                                                           used in other than carrier
                                                                              operations.
Other assets...............................             741             741  Other assets.
 
Unamortized discount on long-term debt.....           770.1           770.1  Unamortized debt discount.
Other deferred charges.....................             743             743  Other deferred debits.
Accumulated deferred income tax charges....             744             744  Accumulated deferred income tax
                                                                              debits.
----------------------------------------------------------------------------------------------------------------
                                                   Liabilities
----------------------------------------------------------------------------------------------------------------
Loans and notes payable....................             751             751  Loans and notes payable.
                                                                        757  Payables to affiliated companies.
Traffic, car service and other balances--cr             752             752  Accounts payable; interline and
                                                                              other balances.
                                                                        705  Accounts receivable; interline and
                                                                              other balances.
                                                                      709.5  Allowance for uncollectible
                                                                              accounts.
Audited accounts and wages payable.........             753             753  Audited accounts and wages payable.
Miscellaneous accounts payable.............             754             754  Accounts payable; other.
                                                                        757  Payables to affiliated companies.

[[Page 19912]]

 
Interest matured unpaid....................             755             755  Interest payable.
                                                                        757  Payables to affiliated companies.
Dividends matured unpaid...................             756             756  Dividends payable.
                                                                        757  Payables to affiliated companies.
Unmatured interest accrued.................             757             755  Interest payable.
                                                                        757  Payables to affiliated companies.
Unmatured dividends declared...............             758             756  Dividends payable.
                                                                        757  Payables to affiliated companies.
Accrued accounts payable...................             759             759  Accrued accounts payable.
Federal income taxes accrued...............             760             760  Federal income taxes accrued.
Other taxes accrued........................             761             711  Prepayments.
                                                                        761  State and other income taxes
                                                                              accrued.
                                                                      761.5  Other taxes accrued.
Deferred income tax credits................             762             762  Deferred income tax credits.
Other current liabilities..................             763             763  Other current liabilities.
                                                                      763.5  Derivative instrument liabilities
                                                                      763.6  Derivative instrument liabilities--
                                                                              hedges
Equipment obligations and other debt due                764             764  Equipment obligations and other
 within one year.                                                             long-term debt due within 1 year.
Funded debt unmatured......................             765             765  Funded debt unmatured.
Equipment obligations......................             766             766  Equipment obligations.
Capitalized lease obligations..............           766.5           766.5  Capitalized lease obligations.
Receivers' and trustees' securities........             767             767  Receivers' and trustees'
                                                                              securities.
Debt in default............................             768             768  Debt in default.
Amounts payable to affiliated companies....             769             769  Accounts payable; affiliated
                                                                              companies.
Pension and welfare reserves...............             771             771  Accrued liability; pension and
                                                                              welfare.
Casualty and other reserves................             774             774  Accrued liability; casualty and
                                                                              other claims.
                                                                        775  Other accrued liabilities.
Interest in default........................             781             781  Interest in default.
Other liabilities..........................             782             782  Other liabilities.
Deferred revenues--transfers from                       783             783  Deferred revenues--transfers from
 government authorities..                                                     government authorities
Unamortized premium on long-term debt......           790.2           770.2  Unamortized premium on debt.
Other deferred credits.....................             784             784  Other deferred credits.
Accrued liability; leased property.........             785             772  Accrued liability; leased property.
Accumulated deferred income tax credits....             786             786  Accumulated deferred income tax
                                                                              credits.
----------------------------------------------------------------------------------------------------------------
                                              Shareholders' Equity
----------------------------------------------------------------------------------------------------------------
Capital stock issued.......................             791             791  Capital stock.
Stock liability for conversion.............             792             792  Liability for conversion of capital
                                                                              stock.
Discount on capital stock..................             793             793  Discount on capital stock.
Premiums and assessment on capital stock...             794             794  Premiums and assessments on capital
                                                                              stock.
Paid-in surplus............................             795             795  Other capital.
Other capital surplus......................             796             795  Do.
Retained income; appropriated..............             797             797  Retained earnings; appropriated.
Retained income; unappropriated............             798             798  Retained earnings; unappropriated.
Treasury stock.............................           798.5           798.5  Treasury stock.
                                                                        799  Accumulated Other Comprehensive
                                                                              Income.
----------------------------------------------------------------------------------------------------------------


    Note: The following appendix will not appear in the Code of 
Federal Regulations.

BILLING CODE 4915-01-P

[[Page 19913]]

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[[Page 19914]]


[GRAPHIC] [TIFF OMITTED] TR06AP16.013


[[Page 19915]]


[GRAPHIC] [TIFF OMITTED] TR06AP16.014


[[Page 19916]]


[GRAPHIC] [TIFF OMITTED] TR06AP16.015


[[Page 19917]]


[GRAPHIC] [TIFF OMITTED] TR06AP16.016


[[Page 19918]]


[GRAPHIC] [TIFF OMITTED] TR06AP16.017


[[Page 19919]]


[GRAPHIC] [TIFF OMITTED] TR06AP16.018


[[Page 19920]]


[GRAPHIC] [TIFF OMITTED] TR06AP16.019


[[Page 19921]]


[GRAPHIC] [TIFF OMITTED] TR06AP16.020


[[Page 19922]]


[GRAPHIC] [TIFF OMITTED] TR06AP16.021

[FR Doc. 2016-07759 Filed 4-5-16; 8:45 am]
 BILLING CODE 4915-01-P