Federal Register / Vol. 70, No. 199 / Monday, October 17, 2005 / Notices 60347 

15These commenters suggested that the Board 

participate in a future industry benchmarking 

study. 

16For the 2005 PSAF, the CAE model ROE was 

22.2%, the DCF model ROE was 19.7%, and the 

CAPM ROE was 12.3%, resulting in an average of 

18.1%. 

17FRRS 9–1558. 

structure to that of payment processing 

companies. 

Two commenters suggested that the 

Board adopt a ‘‘cost-plus’’

benchmarking approach from which a 

market rate of return would be 

determined for each business line.15

While there may be benefits to Reserve 

Banks in gaining insights from such a 

study, currently the Board does not 

contemplate incorporating this 

approach into its target ROE calculation. 

Moreover, the Board strives to use only 

data in the public domain to calculate 

the PSAF, and data from the study may 

not be available to the public. 

III. Effects of New PSAF ROE 

Methodology 

Using the 2005 final PSAF for 

illustrative purposes, the data below 

shows the effect of implementing a 

CAPM-only approach with a beta of 1.0 

assumption, a rolling 40-year MRP, and 

the coupon-equivalent three-month 

Treasury bill rate as the risk-free rate. 

Applying the revised approach to the 

2005 PSAF equity level results in a 

$70.2 million decrease. 

TABLE.—PSAF ILLUSTRATION

[$ in millions] 

Pretax ROE 

(percent) × Equity = Cost of equity PSAF 

Three model approach 16 .................................................................. 18.1 $808.0 $146.2 $161.0 

CAPM-only approach ........................................................................ 9.4 808.0 76.0 90.8 

IV. Competitive Impact Analysis 

All operational and legal changes 

considered by the Board that have a 

substantial effect on payments system 

participants are subject to the 

competitive impact analysis described 

in the March 1990 policy statement 

‘‘The Federal Reserve in the Payments 

System.’’ 17 Under this policy, the Board 

assesses whether a change would have 

a direct and material adverse effect on 

the ability of other service providers to 

compete effectively with the Federal 

Reserve in providing similar services 

because of differing legal powers or 

constraints or because of a dominant 

market position of the Federal Reserve 

deriving from such legal differences. If 

the fees or fee structures create such an 

effect, the Board must further evaluate 

the changes to assess whether their 

benefits—such as contributions to 

payment system efficiency, payment 

system integrity, or other Board 

objectives—can be retained while 

reducing the hindrances to competition. 

The Board is changing the PSAF 

methodology to develop an ROE target 

that reflects the return earned by 

private-sector service providers, 

consistent with the requirements of the 

MCA. Finance literature suggests that 

betas move toward 1.0 over time, 

including betas for correspondent banks 

and other firms that provide payments 

processing services. Because there is no 

perfect peer group for the Reserve Bank 

priced-services business, the PSAF ROE 

should be similar to the return of firms 

that provide similar services. 

Consequently, the fees adopted by the 

Reserve Banks should be based on the 

cost and profit targets that are 

comparable with those of other 

providers of services similar to Reserve 

Bank priced services. Accordingly, the 

Board believes that these changes will 

not have a direct and material adverse 

effect on the ability of other service 

providers to compete effectively with 

the Federal Reserve in providing similar 

services. 

V. Paperwork Reduction Act 

In accordance with the Paperwork 

Reduction Act of 1995 (44 U.S.C. ch. 

3506; 5 CFR 1320 Appendix A.1), the 

Board has reviewed the proposal under 

the authority delegated to the Board by 

the Office of Management and Budget. 

No collections of information pursuant 

to the Paperwork Reduction Act are 

contained in the proposal. 

VI. Conclusion 

Based on comments received and 

further consideration of the issues 

around the appropriate method for 

estimating a target ROE, the Board has 

adopted the following PSAF ROE 

methodology: 

• Use CAPM as the sole analytical 

method for developing the after-tax 

target ROE. 

• Within the CAPM framework for 

estimating the after-tax ROE 

Æ Set the risk-free rate equal to a 

short-term Treasury bill rate that is 

consistent with the rate used to 

calculate NICB. This will help to 

minimize volatility in net income from 

changes in interest rates. 

Æ Use a rolling forty-year average of 

monthly returns to estimate the market 

risk premium rather than taking the 

average since 1927. 

Æ Discontinue the practice of 

calculating a peer group beta to be used 

as a proxy for priced services. Instead, 

adopt a beta of 1.0, which approximates 

the return of the overall market. 

• Continue to establish the effective 

income tax rate based on the median tax 

rate of the top 50 BHCs by deposit 

balance over the last five years. 

• Continue to set the overall level of 

equity capital based on the FDIC 

guidelines for a well-capitalized 

depository institution for insurance 

premium purposes. 

By order of the Board of Governors of the 

Federal Reserve System, October 11, 2005. 

Jennifer J. Johnson, 

Secretary of the Board. 

[FR Doc. 05–20660 Filed 10–14–05; 8:45 am] 

BILLING CODE 6210–01–P 

GENERAL SERVICES 

ADMINISTRATION 

Privacy Act of 1974: Republication of 

a System of Records Notice 

AGENCY: General Services 

Administration. 

ACTION: Notice of an updated system of 

records subject to the Privacy Act of 

1974. 

SUMMARY: The General Services 

Administration (GSA) is providing 

notice of a revision to the record system, 

Purchase Card Program (GSA/PPFM4–

10). The system provides control over 

expenditure of funds through the use of 

Federal Government purchase cards. 

The revision includes a new category of 

records, credit data, as required by the 

60348 Federal Register / Vol. 70, No. 199 / Monday, October 17, 2005 / Notices 

Consolidated Appropriations Act, 2005 

(P.L. 108–447) and Office of 

Management and Budget guidance. The 

notice also updates authorities, includes 

minor editing for clarification purposes, 

and updates routine uses. 

EFFECTIVE DATE: The system of records 

will become effective without further 

notice on November 16, 2005 unless 

comments received on or before that 

date result in a contrary determination. 

FOR FURTHER INFORMATION CONTACT GSA 

Privacy Act Officer. Telephone (202) 

501–1452. Address: Office of the Chief 

People Officer (C), General Services 

Administration, 1800 F Street NW, 

Washington, DC 20405. 

Dated: October 7, 2005. 

June V. Huber, 

Director, Office of Information Management 

GSA/PPFM–10 

SYSTEM NAME: 

Purchase Card Program, GSA/PPFM–

10 

SYSTEM LOCATION: 

System records are maintained by the 

Office of Finance, General Services 

Administration (GSA), at 1800 F Street, 

NW, Washington DC 20405, and by 

designated purchase card coordinators’

offices in GSA regions. Contact the 

System Manager for additional 

information. 

PERSONS COVERED BY THE SYSTEM: 

The system includes employees of 

GSA, and of independent offices and 

commissions serviced by GSA, who 

qualify to use Federal Government 

charge cards for making authorized 

purchases for official business. 

TYPE OF RECORD SYSTEM: 

The system provides control over 

expenditure of funds through the use of 

Federal Government purchase cards. 

System records include: 

a. Personal information on charge 

card users, including names, home or 

business telephone numbers and 

addresses, Social Security Numbers, 

date of birth, employment information, 

and credit data in the form of credit 

scores (examples of credit scores are 

FICO, an acronym for Fair Isaac 

Corporation, a Beacon score, etc.) or 

commercial and agency investigative 

reports showing debtors’ asset, 

liabilities, income, expenses, 

bankruptcy petitions, history of wage 

garnishments, repossessed property, tax 

liens, legal judgments on debts owed, 

and financial delinquencies; and 

b. Account processing and 

management information, including 

charge card transactions, contractor 

monthly reports showing charges to 

individual account numbers, account 

balances, and other data needed to 

authorize, account for, and pay 

authorized purchase card expenses. 

AUTHORITY FOR MAINTAINING THE SYSTEM: 

Federal Acquisition Regulation (FAR), 

Part 13, 48 CFR part 13, Public Law 93–

579 section 7(b), and Section 639 of the 

Consolidated Appropriations Act, 2005 

(P.L. 108–447). 

PURPOSE: 

To establish and maintain a system 

for operating, controlling, and managing 

the purchase card program involving 

commercial purchases by authorized 

Government employees. 

ROUTINE USES OF THE RECORD SYSTEM, 

INCLUDING TYPES OF USERS AND THEIR

PURPOSES IN USING THE SYSTEM: 

System information may be accessed 

and used by authorized GSA employees 

or contractors to conduct official duties 

associated with the management and 

operation of the purchase card program. 

Information from this system also may 

be disclosed as a routine use: 

a. In any legal proceeding, where 

pertinent, to which GSA is a party 

before a court or administrative body. 

b. To authorized officials engaged in 

investigating or settling a grievance, 

complaint, or appeal filed by an 

individual who is the subject of the 

record. 

c. To a Federal agency in connection 

with the hiring or retention of an 

employee; the issuance of a security 

clearance; the reporting of an 

investigation; the letting of a contract; or 

the issuance of a grant, license, or other 

benefit to the extent that the information 

is relevant and necessary to a decision. 

d. To the Office of Personnel 

Management (OPM), the Office of 

Management and Budget (OMB), or the 

Government Accountability Office 

(GAO) when the information is required 

for program evaluation purposes. 

e. To a Member of Congress or staff on 

behalf of and at the request of the 

individual who is the subject of the 

record. 

f. To an expert, consultant, or 

contractor of GSA in the performance of 

a Federal duty to which the information 

is relevant. 

g. To the National Archives and 

Records Administration (NARA) for 

records management purposes. 

h. To the GSA Office of Finance for 

debt collection purposes (see GSA/ 

PPFM–7). 

POLICIES AND PRACTICES FOR STORING, 

RETRIEVING, ACCESSING, RETAINING, AND

DISPOSING OF RECORDS IN THE SYSTEM: 

STORAGE: 

Information may be collected on 

paper or electronically and may be 

stored on paper or on electronic media, 

as appropriate. 

RETRIEVAL: 

Records are retrievable by a personal 

identifier or by other appropriate type of 

designation approved by GSA. 

SAFEGUARDS: 

System records are safeguarded in 

accordance with the requirements of the 

Privacy Act, the Computer Security Act, 

and OMB Circular A–130. Technical, 

administrative, and personnel security 

measures are implemented to ensure 

confidentiality and integrity of the 

system data stored, processed, and 

transmitted. Paper records are stored in 

secure cabinets or rooms. Electronic 

records are protected by passwords and 

other appropriate security measures. 

DISPOSAL: 

Disposition of records is according to 

the National Archives and Records 

Administration (NARA) guidelines, as 

set forth in the handbook, GSA Records 

Maintenance and Disposition System 

(OAD P 1820.2A and CIO P 1820.1), and 

authorized GSA records schedules. 

SYSTEM MANAGER AND ADDRESS: 

Director, Financial Initiative Division 

(BCD), Office of Finance, Office of the 

Chief Financial Officer, General 

Services Administration, 1800 F Street, 

NW, Washington DC, 20405. 

NOTIFICATION PROCEDURE: 

A Privacy Act Statement on the 

purchase card data collection form 

notifies individuals of the purpose and 

uses of the information they provide. 

Employees may obtain information 

about whether they are a part of this 

system of records from the system 

manager at the above address. 

RECORD REVIEW PROCEDURES: 

Requests from individuals for access 

to their records should be addressed to 

the system manager. 

PROCEDURE TO CONTEST A RECORD: 

GSA rules for access to systems of 

records, contesting the contents of 

systems of records, and appealing initial 

determinations are published at 41 CFR 

Part 105–64. 

RECORD SOURCES: 

Information is obtained from 

individuals submitting charge card 

applications, monthly contractor 

Federal Register / Vol. 70, No. 199 / Monday, October 17, 2005 / Notices 60349 

reports, purchase records, managers, 

other agencies, non-Federal sources 

such as private firms, and other agency 

systems containing information 

pertaining to the purchase card 

program. 

[FR Doc. 05–20689 Filed 10–14–05; 8:45 am] 

BILLING CODE 6820–34–S 

DEPARTMENT OF HEALTH AND 

HUMAN SERVICES 

Centers for Disease Control and 

Prevention 

Advisory Committee for Injury 

Prevention and Control (ACIPC): 

Teleconference 

In accordance with Section 10(a)(2) of 

the Federal Advisory Committee Act 

(Pub. L. 92–463), the Centers for Disease 

Control and Prevention (CDC) 

announces the following subcommittee 

meeting. 

Name: Science and Program Review 

Subcommittee to ACIPC. 

Time and Date: 1 p.m.–3 p.m., 

November 2, 2005. 

Place: The teleconference call will 

originate at the Centers for Disease 

Control and Prevention in Atlanta, 

Georgia. Please see SUPPLEMENTARY

INFORMATION for details on accessing the 

teleconference. 

Status: Open to the public, 

teleconference access limited only by 

availability of 50 telephone ports. 

Purpose: The Subcommittee provides 

advice on the needs, structure, progress, 

and performance of the National Center 

for Injury Prevention and Control 

(NCIPC) programs. The Subcommittee 

provides second-level scientific and 

programmatic review for applications 

for research grants, cooperative 

agreements, and training grants related 

to injury control and violence 

prevention, and recommends approval 

of projects that merit further 

consideration for funding support. The 

Subcommittee also advises on priorities 

for research to be supported by 

contracts, grants, and cooperative 

agreements and provides concept 

review of program proposals and 

announcements. 

Matters to be Discussed: The 

subcommittee will meet to review, 

discuss, and evaluate program review 

documents. 

Agenda items are subject to change as 

priorities dictate. 

SUPPLEMENTARY INFORMATION: This 

conference call is scheduled to begin at 

1 p.m. Eastern Standard Time. To 

participates in the teleconference, 

please dial 1–877–951–7375, Pass Code 

603636. You will then be automatically 

connected to the call. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Louise Galaska, Executive Secretary, 

ACIPC, NCIPC, CDC, 4770 Buford 

Highway, NE., M/S K02, Atlanta, 

Georgia 30341–3724, telephone 770/ 

488–4694. 

The Director, Management Analysis 

and Services Office, has been delegated 

the authority to sign Federal Register 

notices pertaining to announcements of 

meetings and other committee 

management activities, for both CDC 

and the Agency for Toxic Substances 

and Disease Registry. 

Dated: October 12, 2005. 

Alvin Hall, 

Director, Management Analysis and Services 

Office, Centers for Disease Control and 

Prevention. 

[FR Doc. 05–20685 Filed 10–14–05; 8:45 am] 

BILLING CODE 4163–18–P 

DEPARTMENT OF HEALTH AND 

HUMAN SERVICES 

Centers for Disease Control and 

Prevention 

Decision To Evaluate a Petition To 

Designate a Class of Employees at the 

Ames Laboratory, on the Iowa State 

University Campus, Ames, IA, To Be 

Included in the Special Exposure 

Cohort 

AGENCY: Centers for Disease Control and 

Prevention (CDC), Department of Health 

and Human Services (HHS). 

ACTION: Notice. 

SUMMARY: The Department of Health and 

Human Services (HHS) gives notice as 

required by 42 CFR 83.12(e) of a 

decision to evaluate a petition to 

designate a class of employees at the 

Ames Laboratory, on the Iowa State 

University Campus, Ames, Iowa, to be 

included in the Special Exposure Cohort 

under the Energy Employees 

Occupational Illness Compensation 

Program Act of 2000. The initial 

proposed definition for the class being 

evaluated, subject to revision as 

warranted by the evaluation, is as 

follows: 

Facility: Ames Laboratory, on the Iowa 

State University Campus, and/or AEC/DOE 

facilities, including Annex 1, the ‘old’

women’s gymnasium, ‘Little Ankeny’, 

Chemistry Building, Wilhelm Hall. 

Location: Ames, Iowa. 

Job Titles and/or Job Duties: All scientists, 

production workers, technicians, salaried 

graduate students, physical plant workers, 

maintenance, administrative and support 

staff and subcontracted workers. 

Period of Employment: January 1, 1942 

through December 31, 1955. 

FOR FURTHER INFORMATION CONTACT: 

Larry Elliott, Director, Office of 

Compensation Analysis and Support, 

National Institute for Occupational 

Safety and Health, 4676 Columbia 

Parkway, MS C–46, Cincinnati, OH 

45226, Telephone 513–533–6800 (this is 

not a toll-free number). Information 

requests can also be submitted by e-mail 

to OCAS@CDC.GOV. 

Dated: October 11, 2005. 

John Howard, 

Director, National Institute for Occupational 

Safety and Health, Centers for Disease Control 

and Prevention. 

[FR Doc. 05–20716 Filed 10–14–05; 8:45 am] 

BILLING CODE 4163–19–P 

DEPARTMENT OF HEALTH AND 

HUMAN SERVICES 

Centers for Disease Control and 

Prevention 

Decision To Evaluate a Petition to 

Designate a Class of Employees at the 

Linde Ceramics Plant, Tonawanda, NY, 

To Be Included in the Special 

Exposure Cohort 

AGENCY: Centers for Disease Control and 

Prevention (CDC), Department of Health 

and Human Services (HHS). 

ACTION: Notice. 

SUMMARY: The Department of Health and 

Human Services (HHS) gives notice as 

required by 42 CFR 83.12(e) of a 

decision to evaluate a petition to 

designate a class of employees at the 

Linde Ceramics Plant, Tonawanda, New 

York, to be included in the Special 

Exposure Cohort under the Energy 

Employees Occupational Illness 

Compensation Program Act of 2000. The 

initial proposed definition for the class 

being evaluated, subject to revision as 

warranted by the evaluation, is as 

follows: 

Facility: Linde Ceramics Plant. 

Location: Tonawanda, New York. 

Job Titles and/or Job Duties: Chemical 

Operators. 

Period of Employment: July 1, 1943 

through September 30, 1946. 

FOR FURTHER INFORMATION CONTACT: 

Larry Elliott, Director, Office of 

Compensation Analysis and Support, 

National Institute for Occupational 

Safety and Health, 4676 Columbia 

Parkway, MS C–46, Cincinnati, OH 

45226, Telephone 513–533–6800 (this is 

not a toll-free number). Information 

requests can also be submitted by e-mail 

to OCAS@CDC.GOV.