**DA 08-2033**

**Release Date: 09/03/2008**

**The Office of Managing Director Releases Data to Assist Commenters on
Issues Presented in Further Notice of Proposed Rulemaking Adopted on
August 1, 2008**

**MD Docket No. 08-65**

On August 1, 2008 the Commission adopted a Report and Order and Further
Notice of Proposed Rulemaking in MD Docket No. 08-65 regarding the
collection of regulatory fees for Fiscal Year 2008.[^1] In the Further
Notice of Proposed Rulemaking, the Commission sought comment on ways
that it can better determine and calculate the regulatory fees in a way
that is aligned with the Commission's regulatory activities.
Specifically, the Commission asked whether certain fee categories bear
too heavy a regulatory burden and if other fee categories should be
responsible for a larger share of the total regulatory fees collected by
the agency.

To assist prospective commenters in developing their analyses, the
Office of Managing Director has prepared several charts and tables that
present a breakdown of the costs incurred by the Commission's regulatory
activities. These charts are based on publicly available information
that is routinely contained in the Commission's annual budget
submissions to Congress.[^2] The first chart, Attachment A of this
Public Notice, identifies the total estimated costs (that is, both
direct and indirect costs) associated with the regulatory activities
performed by the Wireless, Wireline, Media, and International Bureaus
(the "core Bureaus"). The estimated indirect costs are comprised of the
expenses incurred by the remaining Commission Offices and Bureaus,
including each respective Commissioner's office, the Enforcement Bureau,
the Consumer & Governmental Affairs Bureau, the Public Safety & Homeland
Security Bureau, and the Office of General Counsel, etc. In the chart at
Attachment A, the estimated indirect costs have been allocated among the
four core Bureaus based on their number of full-time employees.[^3]
Estimated costs associated with operating the Commission, such as
financial operations, human resources, and information technology
management, are typically assigned to the Office of Managing Director.
These costs have first been allocated to each Bureau and Office based
upon the number of FTEs in each of these operating units. Then, the
support Bureaus and Offices expenses, including the allocated
OMD-related expenses, are allocated to the core Bureaus as described
above. The presentation of data in Attachment A is for informational
purposes to assist commenters in discussing ways to calculate regulatory
fees.

The second chart depicts another method for allocating the Commission's
estimated costs. Specifically, Attachment 2, allocates these estimated
costs among each of the six strategic goals identified by the
Commission.[^4] In allocating these costs, we have relied upon the FTE
counts by strategic goal that are contained in the FCC's annual budget
submission to Congress.[^5] The six strategic goals are:

-   *Broadband*. All Americans should have affordable access to robust
    and reliable broadband products and services. Regulatory policies
    must promote technological neutrality, competition, investment, and
    innovation to ensure that broadband service providers have
    sufficient incentive to develop and offer such products and
    services.

-   *Competition*. Competition in the provision of communications
    services, both domestically and overseas, supports the Nation's
    economy. The competitive framework for communications services
    should foster innovation and offer consumers reliable, meaningful
    choice in affordable services.

-   *Spectrum*. Efficient and effective use of non-federal spectrum
    domestically and internationally promotes the growth and rapid
    deployment of innovative and efficient communications technologies
    and services.

-   *Media*. The Nation's media regulations must promote competition and
    diversity and facilitate the transition to digital modes of
    delivery.

-   *Public Safety & Homeland Security*. Communications during
    emergencies and crises must be available for public safety, health,
    defense, and emergency personnel, as well as all consumers in need.
    The Nation's critical communications infrastructure must be
    reliable, interoperable, redundant, and rapidly restorable.

-   *Modernize the FCC*. The FCC shall strive to be a highly productive,
    adaptive, and innovative organization that maximizes the benefit to
    stakeholders, staff, and management from effective systems,
    processes, resources, and organizational culture.

We recognize that there are numerous options for devising an estimate of
the costs associated with each of the Commission's Bureaus and Offices.
The Commission is presenting this information in order to assist
commenters in analyzing our regulatory fee methodology. Section 9 of the
Communications Act of 1934, as amended (the "Act"), requires the
Commission to collect regulatory fees on an annual basis "to recover the
costs of ... enforcement activities, policy and rulemaking activities,
user information services, and international activities."[^6] In
addition, section 9 of the Act requires the Commission to make certain
changes to the regulatory fee schedule "if the Commission determines
that the schedule requires amendment to comply with the requirements" of
section 9(b)(1)(A). Specifically, the Commission must add, delete, or
reclassify services in the fee schedule to reflect additions, deletions,
or changes in the nature of its services "as a consequence of Commission
rulemaking proceedings or changes in law."

Attachment C shows the estimated costs for the core Bureaus and the
remaining Bureaus and Offices in a table form. Attachment D shows the
regulatory fees by service to be collected for FY 2008. Attachment E
shows the regulatory fees collections by category of service in 1995.

For further information on this Public Notice or the attachments, please
contact Mika Savir of the Office of Managing Director, (202) 418-0384,
or via email at mika.savir@fcc.gov.

**-FCC-**

**Attachment A**

![](media/image2.png){width="6.499305555555556in"
height="4.398611111111111in"}

**Attachment B**

![](media/image3.png){width="6.500694444444444in"
height="4.397222222222222in"}

**Attachment C**

![](media/image4.wmf){width="6.935416666666667in"
height="4.653472222222222in"}

**Attachment D**

![](media/image5.wmf){width="6.0in" height="4.75in"}

**Attachment E**

![](media/image6.wmf){width="5.991666666666666in" height="4.46875in"}

[^1]: *See Assessment and Collection of Regulatory Fees for Fiscal Year
    2008*, MD Docket No. 08-65, RM-11312, Report and Order and Further
    Notice of Proposed Rulemaking, FCC 08-182 (rel. Aug. 8, 2008);
    http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-08-182A1.pdf.

[^2]: Specifically, the charts and tables in this Public Notice use data
    submitted to Congress in the Commission's FY 2008 budget submission.
    *See*
    <http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-270286A1.pdf>.;
    http://www.fcc.gov/Reports/fcc2008budget_complete.pdf.

[^3]: *See* FY 2008 Budget at 6 for a summary of FY 2006-2008 full time
    employees ("FTEs") and funding, per Bureau and Office.

[^4]: http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-283196A1.pdf.

[^5]: *See* FY 2008 Budget at 7 for the FY 2006-2008 FTE distribution by
    strategic goal and organization.

[^6]: 47 U.S.C. § 159(a).