[Federal Register Volume 62, Number 237 (Wednesday, December 10, 1997)]
[Proposed Rules]
[Pages 65053-65055]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-32223]
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FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 32
[CC Docket No. 97-212; FCC 97-355]
Uniform System of Accounts for Interconnection
AGENCY: Federal Communications Commission.
ACTION: Proposed rule.
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SUMMARY: In this document, we propose rules for the accounting
treatment of transactions related to interconnection and shared
infrastructure. Specifically, we propose new Part 32 accounts and
subsidiary recordkeeping requirements to record the revenues and
expenses related to providing and obtaining interconnection. We
tentatively conclude that new accounts are not necessary to record the
revenues and expenses associated with sharing infrastructure.
DATES: Interested parties may file comments on or before December 10,
1997, and reply comments on or before January 26, 1998. Written
comments by the public on the proposed and/or modified information
collections are due December 10, 1997. Written comments must be
submitted by the Office of Management and Budget (OMB) on the proposed
and/or modified information collections on or before February 9, 1998.
ADDRESSES: Parties should send their comments or reply comments to
Office of the Secretary, Federal Communications Commission, 1919 M
Street, NW., Room 222, Washington, DC 20554. Parties should also send a
paper copy, and a copy on 3.5 inch diskette formatted in an IBM
compatible form using, if possible, WordPerfect 5.1 for Windows
software, to Matthew Vitale of the Common Carrier Bureau's Accounting
and Audits Division, 2000 L Street, NW., Room 200F, Washington, DC
20554. Commenters should also provide one copy of any documents filed
in this proceeding to the Commission's copy contractor, International
Transcription Service, 1231 20th Street, NW., Washington, DC 20036.
[[Page 65054]]
In addition to filing comments with the Secretary, a copy of any
comments on the information collection contained herein should be
submitted to Judy Boley, Federal Communications Commission, Room 234,
1919 M Street, NW., Washington, DC 20554, or via the Internet at
jboley@fcc.gov, and to Timothy Fain, OMB Desk Officer, 10236 NEOB, 725
17th Street, NW., Washington, DC 20503 or via the Internet to
fain__t@al.eop.gov.
FOR FURTHER INFORMATION CONTACT: Matthew Vitale, Accounting and Audits
Division, Common Carrier Bureau, (202) 418-0866.
SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Notice
of Proposed Rulemaking adopted October 2, 1997, and released October 7,
1997. The full text of this Commission notice is available for
inspection and copying during normal business hours in the FCC Public
Reference Room (Room 230), 1919 M Street, NW., Washington, DC. The
complete text of this decision may be purchased from the Commission's
copy contractor, International Transcription Service, 1231 20th Street,
NW., Washington, DC 20036.
Paperwork Reduction Analysis
This notice contains a proposed or modified information collection.
The Commission, as part of its continuing effort to reduce paperwork
burdens, invites the general public and the Office of Management and
Budget (OMB) to comment on the information collections contained in
this Notice, as required by the Paperwork Reduction Act of 1995, Pub.
L. 104-13. Public and agency comments are due at the same time as other
comments on this notice; OMB notification of action is due 60 days from
date of publication of this Notice in the Federal Register. Comments
should address: (a) whether the proposed collection of information is
necessary for the proper performance of the functions of the
Commission, including whether the information shall have practical
utility; (b) the accuracy of the Commission's burden estimates; (c)
ways to enhance the quality, utility, and clarity of information
collection; and (d) ways to minimize the burden of the collection of
information on the respondents, including the use of automated
collection techniques or other forms of information technology.
OMB Approval Number: None.
Title: Amendments to Uniform Systems of Accounts for
Interconnection, Notice of Proposed Rulemaking, CC Docket No. 97-212.
Form No.: N/A.
Type of Review: New Collection.
Respondents: Businesses or other for profit.
Proposed Collections:
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Est. time per response Total annual burden
# Respondents (hours) (hours)
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a. New Accounts.............................. 68 40 2,720
b. Subsidiary Accounting Records............. 68 120 8,160
c. Cost Study................................ 68 160 10,880
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Total Annual Burden: 21,760.
Estimated Costs Per Respondent: $0.
Needs and Uses: In this Notice of Proposed rulemaking issued in CC
Docket No. 97-212, the Commission initiates a proceeding with the goal
of reviewing comprehensively our Part 32 procedures dealing with the
accounting treatment of transactions related to interconnection and
shared infrastructure to ensure that they meet the objectives of the
1996 Act. The Commission seeks comment on a proposal establishing new
Part 32 accounts and subsidiary recordkeeping requirements to record
the revenues and expenses related to providing and obtaining
interconnection. The Commission also seeks comment on the conclusion
that new accounts are not necessary to record the revenues and expenses
associated with sharing infrastructure.
Regulatory Flexibility Analysis
This Notice proposes new revenue and expense accounts for ILECs to
record the revenues they receive and the amounts they pay in the sale
and purchase of interconnection, access to unbundled network elements,
transport and termination of traffic, and resale of telecommunications
services. Section 603 of the Regulatory Flexibility Act (RFA), as
amended,1 requires an initial Regulatory Flexibility Act
Analysis in notice-and-comment rulemaking proceedings unless we certify
that ``the rule will not, if promulgated, have a significant economic
impact on a significant number of small entities.'' 2
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\1\ 5 U.S.C. 603.
\2\ Id. 605(b).
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The RFA defines the term small entity as having the same meaning as
small business concern under the Small Business Act (SBA),3
which defines small business concern as ``one which is independently
owned and operated and which is not dominant in its field of
operation.'' 4 Section 121.201 of the SBA regulations
defines small telecommunications entities in SIC Code 4813 (Telephone
Communications, Except Radiotelephone) as any entity with fewer than
1,500 employees at the holding company level.5 Some entities
employing fewer than 1500 employees at the holding company level may be
affected by the proposals made in this Notice. However, we do not
consider such entities to be ``small entities'' under the RFA because
they are either affiliates of large corporations or dominant in their
field of operations. Therefore, we do not believe that the proposed
rules will affect a substantial number of small entities.
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\3\ Id. 601(6) adopting 15 U.S.C. Sec. 632(a)(1).
\4\ 15 U.S.C. 632(a)(1).
\5\ 13 CFR 121.201.
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Even if the small ILECs were ``small entities'' under the SBA, we
would still certify that no regulatory flexibility analysis is
necessary here because none of the proposals in this Notice, if
adopted, would have a significant economic impact on the carriers which
must comply with our accounting rules. Pursuant to long-standing rules,
ILECs must record the revenues and expenses associated with their
operations. This Notice merely proposes that new revenue and expense
accounts be established so that the amounts pertaining to
interconnection and infrastructure sharing will be uniformly reported.
This procedure will be easy for ILECs to implement and will not require
costly or burdensome analysis.
We therefore certify, pursuant to section 605(b) of the RFA that
the rules proposed in this Notice will not have a significant economic
impact on a substantial number of small entities.
Ordering Clause
Accordingly, it is ordered that, pursuant to sections 1, 2, 4, 201-
205, 215, 218, 220, 229, 254, and 410 of the Communications Act of
1934, as amended, 47 U.S.C. Secs. 151, 152, 154,
[[Page 65055]]
201-205, 215, 218, 220, 229, 254 and 410 that notice is hereby given of
proposed amendments to Part 32 of the Commission's rules, 47 CFR part
32, as described in this notice of proposed rulemaking.
List of Subjects in 47 CFR Part 32
Uniform System of Accounts.
Federal Communications Commission.
Magalie Roman Salas,
Secretary.
[FR Doc. 97-32223 Filed 12-9-97; 8:45 am]
BILLING CODE 6712-01-P
