65010 Federal Register / Vol. 60, No. 241 / Friday, December 15, 1995 / Proposed Rules

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.

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]

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