### Federal Register I

### VoL 66, No. 98 I

### Monday, May 21, 2001/Rules and Regulations 27853

Our comments on specific aspects ofthe internal control over financial reporting, compliance with specific RUS loan and security instrument provisions, and other additional matters as required by § 1773.33

are presentedbelow.

Comments on Certain SpecificAspects ofthe Internal Control OverFinancialReporting

We noted no matters regarding Center County Telecommunications Systems, Inc.'s internal control over financial reporting and its operation that we consider to be a material weakness as previously defined withrespect to: -The accounting procedures and records

[list other comments]; -The process for accumulating and

recording labor, material, and overhead costs, and the distribution ofthese costs to construction, retirement, and maintenance

or other expense accounts [list other comments]; and -Thematerials control [list other

comments].

Comments on Compliance With Specific RUS Loan and SecurityInstrumentProvisions

At your request, we have performed the procedures enumeratedbelow withrespect to compliance with certainprovisions oflaws, regulations, contracts, and grants. The procedures we performed are summarized as follows: -Procedures performed with respect to the

requirement for a borrowerto obtain written approval ofthemortgagee to enter into any contract, agreement or lease between the borrower and an affiliate of Center County Telecommunications Systems, Inc. for the year endedDecember 31,20X1:

1. Obtained and read a borrower-prepared schedule ofnew written contracts, agreements or leases enteredinto during the year between the borrower and an affiliate as defined in § 1773.33(e)(2)(i).

2. Reviewed Board ofDirector minutes to ascertain whetherboard-approved written contracts are included inthe borrowerprepared schedule.

3. Noted the existence ofwritten RUS [and othermortgagee] approval ofeach contract listedby the borrower. -Procedure performed withrespect to the

requirement to submit RUS Form 479 to the RUS:
1. Agreed amounts reported in Form 479 to Center County Telecommunications Systems, Inc.'s records.

The results ofour tests indicate that, with respect to the items tested, Center County Telecommunications Systems, Inc. complied, except as noted below, in all material respects, with the specific RUS loan and security instrument provisions referred to below. The specific provisions tested, as well

as any exceptions noted, include the requirements that: -Theborrowerhas obtained written

approval ofthe RUS [and other mortgagees] to enterinto any contract agreement or lease with an affiliate as defined in § 1773.33(e)(2)(i) [list all exceptions]; and -Theborrowerhas submitted its Form 479

to the RUS and the Form 479, Financial and Statistical Report, as ofDecember 31, 20X1, represented by the borrower as having been submitted to RUS is in agreement withthe Center County Telecommunications Systems, Inc.'s audited records in all material respects [list all exceptions] [or ifthe audit year end is other thanDecember 31], appears reasonable based upon the audit procedures performed [list all exceptions].

Comments on OtherAdditionalMatters

In connection with our audit ofthe financial statements ofCenter County Telecommunications Systems, Inc., nothing carrie to our attention that caused us to believe that Center County Telecommunications Systems, Inc. failed to comply with respect to: -The reconciliation ofcontinuingproperty

records to the controlling general ledger plant accounts addressed at § 1773.33(c)(1) [list all exceptions]; -The clearing ofthe construction accounts

and the accrual ofdepreciation on completed construction addressed at § 1773.33(c)(2) [list all exceptions]; -Theretirement ofplant addressed at

§ 1773.33(c)(3) and (4) [list all exceptions]; -The approval ofthe sale, lease, or transfer

ofcapital assets and disposition of proceeds for the sale oflease ofplant, material, or scrap addressed at § 1773.33(c)(5) [list all exceptions]; -The disclosure ofmaterial related party

transactions, in accordance with Statement ofFinancial Accounting Standards No. 57, Related Party Transactions, for the year ended December 31, 20Xl, inthe financial
statements referenced in the first paragraph ofthis report addressed at § 1773.33(fj [list all exceptions]; and -The detailed schedule ofinvestments.

Our audit was made for the purpose of forming an opinion onthe basic financial
statements taken as a whole. The detailed schedule ofinvestments required by § 1773.33(i) and providedbelow is presented for purposes ofadditional analysis and is not

a required part ofthe basic financial
statements. This information has been subjected to the auditing procedures applied in our audit ofthe basic financial statements and, in our opinion, is fairly stated in all material respects inrelation to the basic financial statements taken as a whole. [The detailed schedule ofinvestments would be included here. The total ofthe investment in each companyreported must agree with the detail investment subsidiary account(s).]

This report is intended solely for the information and use ofthe board ofdirectors, management, and the RUS and supplemental lenders and is not intended to be and should
notbe used by anyone other than these specified parties. However, this report is a matter ofpublic record and its distribution is
not limited.
Certified Public Accountants [FR Doc. 01-12127 Filed 5-18-01; 8:45 am]

BILLING CODE 341G-15-P DEPARTMENT OF ENERGY

Office of Energy Efficiency and Renewable Energy

10 CFR Part 431

RIN 1904-AB06

Energy Efficiency Program for Commercial and Industrial Equipment: Efficiency Standards for Commercial Heating, Air Conditioning and Water Heating Equipment

AGENCY: 

### Department ofEnergy (DOE).

ACTION: 

### Final rule; completion of regulatory review.

SUMMARY: 

### OnJanuary 12, 2001, DOE published inthe Federal Register 

### the final rule entitled "EnergyEfficiency Program for Commercial and Industrial Equipment: Efficiency Standards for Commercial Heating, Air Conditioning and Water Heating Equipment" (66 FR 3336). In accordance with the memorandum ofJanuary 20, 2001, from the Assistant to the President and Chief ofStaff, entitled "Regulatory Review Plan," published in the Federal Register



### onJanuary 24, 2001 (66 FR 7702), DOE temporarily delayed for 60 days the effective date ofthatrule (66 FR 8745, February 2, 2001). DOE has now completed its review ofthat regulation, and does not intend to initiate any further rulemaking action to modify its provisions.

DATES: 

### The effective date ofthe rule amending 10 CFR part 431 published at 66 FR 3336, January 12, 2001, and delayed at 66 FR 8745, February 2, 2001, is confirmed as April 13, 2001.

FOR FURTHER INFORMATION CONTACT: 

## Jill Holtzman, Office ofGeneral Counsel, (202) 586-3410, 

### jill.holtzman@hq.doe.govor Lawrence R. 

### Oliver, Office ofthe General Counsel, (202) 586-9521, 

### lawrence.oliver®hq.doe.gov or Cyrus Nasseri, Office ofEnergy Efficiency and Renewable Energy, (202) 586-9138, 

### cyrus.nasseri@ee.doe.gov.

Issued in Washington, DC on May 14, 2001. SpencerAbraham, Secretaryof Energy. [FR Doc. 01-12686 Filed 5-18-01; 8:45 am]

BILLING CODE 645G-01-P