[Federal Register Volume 85, Number 33 (Wednesday, February 19, 2020)]
[Notices]
[Pages 9454-9455]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-03234]


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DEPARTMENT OF AGRICULTURE

Rural Utilities Service


Publication of Depreciation Rates

AGENCY: Rural Utilities Service, USDA.

ACTION: Notice of depreciation rates for telecommunications plant.

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SUMMARY: The United States Department of Agriculture (USDA) Rural 
Utilities Service (RUS) administers rural utilities programs, including 
the Telecommunications Program. RUS

[[Page 9455]]

announces the depreciation rates for telecommunications plant for the 
period ending December 31, 2018.

DATES: These rates are effective immediately and will remain in effect 
until rates are available for the period ending December 31, 2019.

FOR FURTHER INFORMATION CONTACT: Chad Parker, Assistant Administrator, 
Telecommunications Program, Rural Utilities Service, STOP 1590--Room 
5151, 1400 Independence Avenue SW, Washington, DC 20250-1590. 
Telephone: (202) 720-9556.

SUPPLEMENTARY INFORMATION: In 7 CFR part 1737, Pre-Loan Policies and 
Procedures Common to Insured and Guaranteed Telecommunications Loans, 
Sec.  1737.70(e) explains the depreciation rates that are used by RUS 
in its feasibility studies. Given that approved depreciation rates per 
Sec.  1737.70(e)(1) do not exist, RUS is publishing its annual median 
depreciation rates for all borrowers, in accordance with Sec.  
1737.70(e)(2). RUS also notes that the rates have changed only 
minimally from the previous year. The following chart provides those 
rates, compiled by RUS, for the reporting period ending December 31, 
2018:

     Median Depreciation Rates of Rural Utilities Service Borrowers
       [By equipment category for period ending December 31, 2018]
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                                                           Depreciation
            Telecommunications plant category                  rate
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1. Land and Support Assets:
    a. Motor vehicles...................................           16.67
    b. Aircraft.........................................           10.10
    c. Special purpose vehicles.........................           12.00
    d. Garage and other work equipment..................           10.00
    e. Buildings........................................            3.30
    f. Furniture and office equipment...................           10.00
    g. General purpose computers........................           20.00
2. Central Office Switching:
    a. Digital..........................................            9.30
    b. Analog & Electro-mechanical......................            9.80
    c. Operator Systems.................................            9.32
3. Central Office Transmission:
    a. Radio Systems....................................           10.00
    b. Circuit equipment................................           10.00
4. Information origination/termination:
    a. Station apparatus................................           11.95
    b. Customer premises wiring.........................           10.00
    c. Large private branch exchanges...................           11.40
    d. Public telephone terminal........................           11.65
    e. Other terminal equipment.........................           10.00
5. Cable and wire facilities:
    a. Aerial cable--poles..............................            6.00
    b. Aerial cable--metal..............................            6.00
    c. Aerial cable--fiber..............................            5.10
    d. Underground cable--metal.........................            5.00
    e. Underground cable--fiber.........................            5.00
    f. Buried cable--metal..............................            5.15
    g. Buried cable--fiber..............................            5.00
    h. Conduit systems..................................            4.00
    i. Other............................................            5.00
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Chad Rupe,
Administrator, Rural Utilities Service.
[FR Doc. 2020-03234 Filed 2-18-20; 8:45 am]
 BILLING CODE 3410-15-P