[Federal Register Volume 60, Number 241 (Friday, December 15, 1995)]
[Proposed Rules]
[Page 65010]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-30453]
[[Page 65009]]
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Part IV
Federal Communications Commission
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47 CFR Part 36
Federal-State Joint Board Extension of Indexed Cap on Total Level of
Universal Service Fund; Proposed Rule
Establishment of a Joint Board; Final Rule
Federal Register / Vol. 60, No. 241 / Friday, December 15, 1995 /
Proposed Rules
[[Page 65010]]
FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 36
[CC Docket No. 80-286, FCC 95J-1]
Federal-State Joint Board; Extension of Indexed Cap on Total
Level of Universal Service Fund
AGENCY: Federal Communications Commission.
ACTION: Recommended decision of Federal-State Joint Board.
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SUMMARY: The Federal-State Joint Board recommends the extension of the
duration of the interim indexed cap on the total level of the Universal
Service Fund (USF) for an additional six months. The cap was intended
as an interim measure moderating the growth of the USF during the
pendency of a broader rulemaking revising the Part 36 jurisdictional
separations rules governing the USF. The Federal-State Joint Board
recommends the extension of the interim cap, which expires January 1,
1996, for an additional six months while that rulemaking is completed.
FOR FURTHER INFORMATION CONTACT: Clara Kuehn, 202-418-0844, Deborah A.
Dupont, 202-418-0873, Accounting and Audits Division, Common Carrier
Bureau.
SUPPLEMENTARY INFORMATION: This is a summary of the Federal-State Joint
Board's Recommended Decision CC Docket No. 80-286, FCC 95J-1, adopted
December 7, 1995, and released December 8, 1995.
The full text of Recommended Decisions of the Joint Board are
available for inspection and copying during normal business hours in
the FCC Dockets Branch (room 230), 1919 M Street, NW, Washington DC.
The full text of this Recommended Decision may also be purchased from
the Commission's copy contractors, International Transcription Service,
(202) 857-3800, 2100 M Street, NW, Suite 140, Washington DC 20037.
Summary of Recommended Decision
In 1993, the Commission imposed a two-year indexed cap (cap) on the
total level of the Universal Service Fund (USF) for the purpose of
moderating growth in the USF during the pendency of a planned
rulemaking that would address permanent changes in the Commission's
rules governing the USF. 58 FR 69239, Dec. 30, 1993. On October 3,
1995, the Commission issued a Notice of Proposed Rulemaking, proposing
a six-month extension of the cap in order to continue to moderate
growth in the USF while the Commission completed its USF rulemaking. 60
FR 52359, Oct. 6, 1995. The Commission explained that the duration of
the cap had been limited to two years in the belief that the USF
rulemaking would be completed within that period and that an additional
six months would be sufficient to complete the USF rulemaking in view
of the progress made to date. Id. at 52361. The Commission referred the
issues raised in its Notice of Proposed Rulemaking to the Federal-State
Joint Board for a Recommended Decision and invited interested parties
to propose extensions of the cap for longer or shorter periods than six
months. Id. at 52360-61.
Following review of comments and reply comments filed by interested
parties, the Joint Board recommends that the cap be extended for an
additional six months in order to continue to moderate growth in the
USF while the USF rulemaking is completed. The Joint Board reiterates
its conclusion, stated during earlier deliberations in the same
proceeding, that the cap would minimize dislocation should the
Commission's ongoing USF rulemaking result in revisions to the USF
rules. In response to contentions of the parties that the proposed
extension is unnecessary, because recent NECA submissions showed total
USF payments in 1996 below the level of the USF as limited by an
extension of the cap, the Joint Board explains that no one would be
harmed if total claims for USF assistance remain below an extended cap,
but that an extended cap would protect against unanticipated and
unwanted growth in the fund during the pendency of the USF rulemaking
should total claims substantially exceed NECA's current calculations.
The Joint Board reiterates its concerns, stated earlier in the
proceeding, regarding the pattern of growth and the overall rate of
growth in the USF, explaining that moderating the level of the USF
during the pendency of the USF rulemaking would serve the public
interest.
The Joint Board concludes that six months should be sufficient to
complete the USF rulemaking and recommends an extension of the cap for
six additional months. The Joint Board rejects arguments to broaden the
scope of the USF rulemaking as beyond the scope of the Notice of
Proposed Rulemaking.
Ordering Clause
28. For all of the reasons discussed in this Recommended Decision,
this Federal-State Joint Board recommends, pursuant to Section 410(c)
of the Communications Act of 1934, as amended, 47 U.S.C. 410(c), that
the Federal Communications Commission extend, until July 1, 1996, the
current interim rules prescribing an indexed cap on the total level of
the Universal Service Fund, 47 CFR 36.601, 36.622.
List of Subjects in 47 CFR Part 36
Communications common carriers, Reporting and recordkeeping
requirements, Telephone, Uniform System of Accounts.
Federal Communications Commission.
William F. Caton,
Acting Secretary.
[FR Doc. 95-30453 Filed 12-14-95; 8:45 am]
BILLING CODE 6712-01-P
