Periodic Reporting, 21130-21131 [2020-07974]
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21130
Federal Register / Vol. 85, No. 74 / Thursday, April 16, 2020 / Proposed Rules
5203, Internal Revenue Service, P.O.
Box 7604, Ben Franklin Station,
Washington, DC 20044.
FOR FURTHER INFORMATION CONTACT: Dan
Phillips, (202) 317–6995 (not a toll-free
number).
SUPPLEMENTARY INFORMATION:
Background
The proposed regulations in the
notice of proposed rulemaking, which is
the subject of this correction, were
issued primarily under section 807 of
the Internal Revenue Code.
Need for Correction
As published, the notice of proposed
rulemaking (REG–132529–17) contains
an error that needs to be corrected.
Correction of Publication
Accordingly, the notice of proposed
rulemaking (REG–132529–17) that is the
subject of FR Doc. 2020–05701,
published on April 2, 2020 (85 FR
18496), is corrected as follows:
On page 18504, in the third column,
the second paragraph is deleted in its
entirety.
Martin V. Franks,
Chief, Publications and Regulations Branch,
Legal Processing Division, Associate Chief
Counsel (Procedure and Administration).
[FR Doc. 2020–07562 Filed 4–15–20; 8:45 am]
BILLING CODE 4830–01–P
POSTAL REGULATORY COMMISSION
39 CFR Part 3050
[Docket No. RM2020–7; Order No. 5478]
Periodic Reporting
Postal Regulatory Commission.
Notice of proposed rulemaking.
AGENCY:
ACTION:
The Commission is
acknowledging a recent filing requesting
the Commission initiate a rulemaking
proceeding to consider changes to
analytical principles relating to periodic
reports (Proposal Two). This document
informs the public of the filing, invites
public comment, and takes other
administrative steps.
DATES: Comments are due: May 22,
2020.
SUMMARY:
Submit comments
electronically via the Commission’s
Filing Online system at https://
www.prc.gov. Those who cannot submit
comments electronically should contact
the person identified in the FOR FURTHER
INFORMATION CONTACT section by
telephone for advice on filing
alternatives.
jbell on DSKJLSW7X2PROD with PROPOSALS
ADDRESSES:
VerDate Sep<11>2014
16:32 Apr 15, 2020
Jkt 250001
FOR FURTHER INFORMATION CONTACT:
David A. Trissell, General Counsel, at
202–789–6820.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Introduction
II. Proposal Two
III. Notice and Comment
IV. Ordering Paragraphs
I. Introduction
On April 7, 2020, the Postal Service
filed a petition pursuant to 39 CFR
3050.11 requesting that the Commission
initiate a rulemaking proceeding to
consider changes to analytical
principles relating to periodic reports.1
The Petition identifies the proposed
analytical changes filed in this docket as
Proposal Two.
II. Proposal Two
Background. The Postal Service
currently calculates unit delivery costs
by rate category to provide insight into
the nature of those costs at a detailed
level. Petition, Proposal Two at 1. A
review of those costs revealed large
differences between the street time unit
delivery costs for flats in Flats
Sequencing System (FSS) and non-FSS
zones. Id. This gap was surprising
because it did not exist for the marginal
times on which the costs were based. Id.
The Postal Service states that upon
investigation, it uncovered the source of
the discrepancy between relative costs
and volumes: Volume proportions from
the City Carrier Street Time Study
(CCSTS) data collected in FY 2013, and
used in the established model, do not
match the current volume proportions.
Id. at 2.
The shift in volume proportions has
implications for calculated unit delivery
costs because city carrier street time
variabilities depend upon the volumes
used to calculate them. Id. Failure to
account for volume changes can lead to
the calculation of inappropriate
variabilities. Id. The Postal Service
states that if a particular type of mail
experiences a volume decline and the
current variability calculation does not
account for that decline, the volume
variable cost for this type of mail will
be higher than it should be, leading to
1 Petition of the United States Postal Service for
the Initiation of a Proceeding to Consider Proposed
Changes in Analytical Principles (Proposal Two),
April 7, 2020 (Petition). The Petition was
accompanied by a study supporting its proposal.
See Professor Michael D. Bradley A Methodology
for Updating the City Carrier Regular Delivery
Variabilities*, April 7, 2020 (Bradley Report). The
Postal Service also filed a notice of filing of public
and non-public materials relating to Proposal Two.
Notice of Filing of USPS–RM2020–7–1 and USPS–
RM2020–7–NP1 and Application for Nonpublic
Treatment, April 7, 2020.
PO 00000
Frm 00027
Fmt 4702
Sfmt 4702
high calculated unit costs. Id. at 2–3.
The Postal Service explains that
‘‘[c]hanges in the relative volumes of
letter and flat mail create the need for
a process of updating the regular
delivery activity cost pools.’’ Id. at 3.
Proposal. Proposal Two would
‘‘introduce a methodology for updating
the delivery time variabilities for city
carrier regular delivery time, so that
they reflect changes in relative
volumes.’’ 2 City carrier delivery activity
cost pools are found by multiplying city
carrier street time variabilities by
accrued regular delivery time. Id. at 4.
Each street time variability has three
parts: The marginal time for the type of
mail, the volume for the type of mail,
and the total regular delivery time. Id.
Any of the three parts can change when
volume changes. Id. In updating
variability, the approach underlying
Proposal Two ‘‘allows for responses in
all three parts due to a volume change.’’
Id.
The Postal Service states that while
the mean volumes used to calculate
regular delivery time elasticities are
typically calculated directly from the FY
2013 CCSTS data, to facilitate an update
of the calculated variabilities, it is
possible to ‘‘derive the mean volumes as
proportions of the total average letter
and flat delivered volume.’’ Id. The
Postal Service clarifies that letter and
flat delivered volume is the sum of the
volumes of four components (mail
shapes) for which delivery variabilities
are calculated: delivery point sequence
(DPS) mail, cased mail, FSS mail, and
sequenced mail. Id. at 3–5.
Consequently, the average volume for
any component can be calculated ‘‘by
multiplying the component’s proportion
of total letter and flat delivery volume
by the overall average volume.’’ Id. at 4.
The Postal Service asserts that its
proposed version of the mean
formulation ‘‘makes it easy to update
the regular delivery time variabilities
using more recent volume means . . .
[which are] . . . calculated by forming
the needed volume proportions with the
more recent data, here the FY 2019 [City
Carrier Cost System] volumes.’’ 3 The
Postal Service states that ‘‘the proposed
new methodology would be applied
again each year to achieve annual
updates.’’ Id. at 1.
2 Id. at 1. A ‘‘full discussion of the research
supporting the proposal’’ is provided in the Bradley
Report, attached to the Petition electronically as a
separate PDF file. See id. at 3.
3 Id. at 5 (footnote omitted). In a footnote, the
Postal Service explains that the regular delivery
time equation includes volumes from customers’
receptacles, but that it lacks recent data that would
permit it to update that volume. Id. n.1.
E:\FR\FM\16APP1.SGM
16APP1
Federal Register / Vol. 85, No. 74 / Thursday, April 16, 2020 / Proposed Rules
Impact. To see if a recalculation of
variabilities using current volumes
mitigates the gap between FSS and nonFSS unit city carrier street time flats
costs, the Postal Service compares these
costs for FY 2019 using the old
variabilities and the new variabilities.
Id. at 6–7. It concludes that the updated
variabilities reduce the gap between FSS
and non-FSS unit street time costs for
flats. Id. at 7. The reduction is in the
range between 2.5 cents and 4.0 cents,
depending on the mail category. Id. at
7–8.
The updated variabilities also result
in some changes in the unit volume
variable city carrier costs for nearly all
products.4 Id. at 8. For all but one
domestic market dominant mail
products, the change in unit volume
variable costs is in the range between
-0.9 cents and 0.2 cents. Id. at 10. The
largest impact of Proposal Two on unit
volume variable costs is observed for
High Density and Saturation Flats/
Parcels, which has the unit costs fall by
1.2 cents. Id. at 9–10. For domestic
competitive mail products and services,
Proposal Two results in a decrease of
unit volume variable costs by 0.2 cents
on average. Id. at 10.
III. Notice and Comment
The Commission establishes Docket
No. RM2020–7 for consideration of
matters raised by the Petition. More
information on the Petition may be
accessed via the Commission’s website
at https://www.prc.gov. Interested
persons may submit comments on the
Petition and Proposal Two no later than
May 22, 2020. Pursuant to 39 U.S.C.
505, Lawrence Fenster is designated as
an officer of the Commission (Public
Representative) to represent the
interests of the general public in this
proceeding.
IV. Ordering Paragraphs
jbell on DSKJLSW7X2PROD with PROPOSALS
It is ordered:
1. The Commission establishes Docket
No. RM2020–7 for consideration of the
matters raised by the Petition of the
United States Postal Service for the
Initiation of a Proceeding to Consider
Proposed Changes in Analytical
Principles (Proposal Two), filed April 7,
2020.
2. Comments by interested persons in
this proceeding are due no later than
May 22, 2020.5
4 These costs include both office and street time
cost, as well as related indirect cost. Id. at 9.
5 The Commission reminds interested persons
that its revised and reorganized Rules of Practice
and Procedure become effective April 20, 2020, and
should be used in filings with the Commission after
April 20, 2020. Beginning on that date, the rules
will be available on the Commission’s website. In
VerDate Sep<11>2014
16:32 Apr 15, 2020
Jkt 250001
3. Pursuant to 39 U.S.C. 505, the
Commission appoints Lawrence Fenster
to serve as an officer of the Commission
(Public Representative) to represent the
interests of the general public in this
docket.
4. The Secretary shall arrange for
publication of this order in the Federal
Register.
By the Commission.
Erica A. Barker,
Secretary.
[FR Doc. 2020–07974 Filed 4–15–20; 8:45 am]
BILLING CODE 7710–FW–P
FEDERAL COMMUNICATIONS
COMMISSION
47 CFR Part 76
[MB Docket Nos. 20–70, 17–105, 11–131;
FCC 20–39; FRS 16644]
Modernization of Media Regulation
Initiative; Program Carriage
Federal Communications
Commission.
ACTION: Proposed rule.
AGENCY:
In this document, the
Commission seeks comment on whether
to adopt changes to our rules governing
the resolution of program carriage
disputes between video programming
vendors and multichannel video
programming distributors (MVPDs) to
ensure an expeditious dispute
resolution process. Specifically, we
propose to modify one of the time limit
requirements for filing program carriage
complaints in order to make it
consistent with the time limits for other
types of complaints. For consistency, we
also propose to revise the parallel time
limit requirements for filing program
access, open video system (OVS), and
good-faith retransmission consent
complaints. We also propose to revise
the effective date and review procedures
of initial decisions issued by an
administrative law judge (ALJ) in
program carriage proceedings so they
comport with the Commission’s
generally applicable procedures for
review of ALJ initial decisions. We
propose to extend this change to
program access and OVS proceedings as
well.
DATES: Comments due on or before May
18, 2020; reply comments due on or
before June 1, 2020.
SUMMARY:
the meantime, the new rules can be found in Order
No. 5407, which was issued on January 16, 2020.
Docket No. RM2019–13, Order Reorganizing
Commission Regulations and Amending Rules of
Practice, January 16, 2020 (Order No. 5407).
PO 00000
Frm 00028
Fmt 4702
Sfmt 4702
21131
You may submit comments,
identified by MB Docket Nos. 20–70,
17–105, 11–131, by any of the following
methods:
D Federal Communications
Commission’s website: https://
apps.fcc.gov/ecfs/. Follow the
instructions for submitting comments.
D People with Disabilities: Contact the
FCC to request reasonable
accommodations (accessible format
documents, sign language interpreters,
CART, etc.) by email: FCC504@fcc.gov
or phone: 202–418–0530 or TTY: 202–
418–0432.
For detailed instructions for
submitting comments and additional
information on the rulemaking process,
see the SUPPLEMENTARY INFORMATION
section of this document.
FOR FURTHER INFORMATION CONTACT: For
additional information on this
proceeding, contact John Cobb,
John.Cobb@fcc.gov of the Policy
Division, Media Bureau, (202) 418–
2120.
ADDRESSES:
This is a
summary of the Commission’s Further
Notice of Proposed Rulemaking and
Notice of Proposed Rulemaking
(FNPRM), MB Docket Nos. 20–70, 17–
105, 11–131; FCC 20–39, adopted on
March 31, 2020 and released on April 1,
2020. The full text of this document is
available for public inspection and
copying during regular business hours
in the FCC Reference Center, Federal
Communications Commission, 445 12th
Street SW, CY–A257, Washington, DC,
20554. The full text of this document
will also be available via ECFS (https://
www.fcc.gov/cgb/ecfs/). (Documents
will be available electronically in ASCII,
Word, and/or Adobe Acrobat.) The
complete text may be purchased from
the Commission’s copy contractor, 445
12th Street SW, Room CY–B402,
Washington, DC 20554. To request these
documents in accessible formats
(computer diskettes, large print, audio
recording, and Braille), send an email to
fcc504@fcc.gov or call the Commission’s
Consumer and Governmental Affairs
Bureau at (202) 418–0530 (voice), (202)
418–0432 (TTY).
SUPPLEMENTARY INFORMATION:
Synopsis
This Further Notice of Proposed
Rulemaking and Notice of Proposed
Rulemaking (FNPRM) proposes changes
to the Commission’s rules governing the
resolution of program carriage disputes
between video programming vendors
and multichannel video programming
distributors (MVPDs). Specifically, we
propose to modify one of the time limit
requirements for filing program carriage
complaints in order to make it
E:\FR\FM\16APP1.SGM
16APP1
Agencies
[Federal Register Volume 85, Number 74 (Thursday, April 16, 2020)]
[Proposed Rules]
[Pages 21130-21131]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-07974]
=======================================================================
-----------------------------------------------------------------------
POSTAL REGULATORY COMMISSION
39 CFR Part 3050
[Docket No. RM2020-7; Order No. 5478]
Periodic Reporting
AGENCY: Postal Regulatory Commission.
ACTION: Notice of proposed rulemaking.
-----------------------------------------------------------------------
SUMMARY: The Commission is acknowledging a recent filing requesting the
Commission initiate a rulemaking proceeding to consider changes to
analytical principles relating to periodic reports (Proposal Two). This
document informs the public of the filing, invites public comment, and
takes other administrative steps.
DATES: Comments are due: May 22, 2020.
ADDRESSES: Submit comments electronically via the Commission's Filing
Online system at https://www.prc.gov. Those who cannot submit comments
electronically should contact the person identified in the FOR FURTHER
INFORMATION CONTACT section by telephone for advice on filing
alternatives.
FOR FURTHER INFORMATION CONTACT: David A. Trissell, General Counsel, at
202-789-6820.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Introduction
II. Proposal Two
III. Notice and Comment
IV. Ordering Paragraphs
I. Introduction
On April 7, 2020, the Postal Service filed a petition pursuant to
39 CFR 3050.11 requesting that the Commission initiate a rulemaking
proceeding to consider changes to analytical principles relating to
periodic reports.\1\ The Petition identifies the proposed analytical
changes filed in this docket as Proposal Two.
---------------------------------------------------------------------------
\1\ Petition of the United States Postal Service for the
Initiation of a Proceeding to Consider Proposed Changes in
Analytical Principles (Proposal Two), April 7, 2020 (Petition). The
Petition was accompanied by a study supporting its proposal. See
Professor Michael D. Bradley A Methodology for Updating the City
Carrier Regular Delivery Variabilities*, April 7, 2020 (Bradley
Report). The Postal Service also filed a notice of filing of public
and non-public materials relating to Proposal Two. Notice of Filing
of USPS-RM2020-7-1 and USPS-RM2020-7-NP1 and Application for
Nonpublic Treatment, April 7, 2020.
---------------------------------------------------------------------------
II. Proposal Two
Background. The Postal Service currently calculates unit delivery
costs by rate category to provide insight into the nature of those
costs at a detailed level. Petition, Proposal Two at 1. A review of
those costs revealed large differences between the street time unit
delivery costs for flats in Flats Sequencing System (FSS) and non-FSS
zones. Id. This gap was surprising because it did not exist for the
marginal times on which the costs were based. Id.
The Postal Service states that upon investigation, it uncovered the
source of the discrepancy between relative costs and volumes: Volume
proportions from the City Carrier Street Time Study (CCSTS) data
collected in FY 2013, and used in the established model, do not match
the current volume proportions. Id. at 2.
The shift in volume proportions has implications for calculated
unit delivery costs because city carrier street time variabilities
depend upon the volumes used to calculate them. Id. Failure to account
for volume changes can lead to the calculation of inappropriate
variabilities. Id. The Postal Service states that if a particular type
of mail experiences a volume decline and the current variability
calculation does not account for that decline, the volume variable cost
for this type of mail will be higher than it should be, leading to high
calculated unit costs. Id. at 2-3. The Postal Service explains that
``[c]hanges in the relative volumes of letter and flat mail create the
need for a process of updating the regular delivery activity cost
pools.'' Id. at 3.
Proposal. Proposal Two would ``introduce a methodology for updating
the delivery time variabilities for city carrier regular delivery time,
so that they reflect changes in relative volumes.'' \2\ City carrier
delivery activity cost pools are found by multiplying city carrier
street time variabilities by accrued regular delivery time. Id. at 4.
Each street time variability has three parts: The marginal time for the
type of mail, the volume for the type of mail, and the total regular
delivery time. Id. Any of the three parts can change when volume
changes. Id. In updating variability, the approach underlying Proposal
Two ``allows for responses in all three parts due to a volume change.''
Id.
---------------------------------------------------------------------------
\2\ Id. at 1. A ``full discussion of the research supporting the
proposal'' is provided in the Bradley Report, attached to the
Petition electronically as a separate PDF file. See id. at 3.
---------------------------------------------------------------------------
The Postal Service states that while the mean volumes used to
calculate regular delivery time elasticities are typically calculated
directly from the FY 2013 CCSTS data, to facilitate an update of the
calculated variabilities, it is possible to ``derive the mean volumes
as proportions of the total average letter and flat delivered volume.''
Id. The Postal Service clarifies that letter and flat delivered volume
is the sum of the volumes of four components (mail shapes) for which
delivery variabilities are calculated: delivery point sequence (DPS)
mail, cased mail, FSS mail, and sequenced mail. Id. at 3-5.
Consequently, the average volume for any component can be calculated
``by multiplying the component's proportion of total letter and flat
delivery volume by the overall average volume.'' Id. at 4. The Postal
Service asserts that its proposed version of the mean formulation
``makes it easy to update the regular delivery time variabilities using
more recent volume means . . . [which are] . . . calculated by forming
the needed volume proportions with the more recent data, here the FY
2019 [City Carrier Cost System] volumes.'' \3\ The Postal Service
states that ``the proposed new methodology would be applied again each
year to achieve annual updates.'' Id. at 1.
---------------------------------------------------------------------------
\3\ Id. at 5 (footnote omitted). In a footnote, the Postal
Service explains that the regular delivery time equation includes
volumes from customers' receptacles, but that it lacks recent data
that would permit it to update that volume. Id. n.1.
---------------------------------------------------------------------------
[[Page 21131]]
Impact. To see if a recalculation of variabilities using current
volumes mitigates the gap between FSS and non-FSS unit city carrier
street time flats costs, the Postal Service compares these costs for FY
2019 using the old variabilities and the new variabilities. Id. at 6-7.
It concludes that the updated variabilities reduce the gap between FSS
and non-FSS unit street time costs for flats. Id. at 7. The reduction
is in the range between 2.5 cents and 4.0 cents, depending on the mail
category. Id. at 7-8.
The updated variabilities also result in some changes in the unit
volume variable city carrier costs for nearly all products.\4\ Id. at
8. For all but one domestic market dominant mail products, the change
in unit volume variable costs is in the range between -0.9 cents and
0.2 cents. Id. at 10. The largest impact of Proposal Two on unit volume
variable costs is observed for High Density and Saturation Flats/
Parcels, which has the unit costs fall by 1.2 cents. Id. at 9-10. For
domestic competitive mail products and services, Proposal Two results
in a decrease of unit volume variable costs by 0.2 cents on average.
Id. at 10.
---------------------------------------------------------------------------
\4\ These costs include both office and street time cost, as
well as related indirect cost. Id. at 9.
---------------------------------------------------------------------------
III. Notice and Comment
The Commission establishes Docket No. RM2020-7 for consideration of
matters raised by the Petition. More information on the Petition may be
accessed via the Commission's website at https://www.prc.gov. Interested
persons may submit comments on the Petition and Proposal Two no later
than May 22, 2020. Pursuant to 39 U.S.C. 505, Lawrence Fenster is
designated as an officer of the Commission (Public Representative) to
represent the interests of the general public in this proceeding.
IV. Ordering Paragraphs
It is ordered:
1. The Commission establishes Docket No. RM2020-7 for consideration
of the matters raised by the Petition of the United States Postal
Service for the Initiation of a Proceeding to Consider Proposed Changes
in Analytical Principles (Proposal Two), filed April 7, 2020.
2. Comments by interested persons in this proceeding are due no
later than May 22, 2020.\5\
---------------------------------------------------------------------------
\5\ The Commission reminds interested persons that its revised
and reorganized Rules of Practice and Procedure become effective
April 20, 2020, and should be used in filings with the Commission
after April 20, 2020. Beginning on that date, the rules will be
available on the Commission's website. In the meantime, the new
rules can be found in Order No. 5407, which was issued on January
16, 2020. Docket No. RM2019-13, Order Reorganizing Commission
Regulations and Amending Rules of Practice, January 16, 2020 (Order
No. 5407).
---------------------------------------------------------------------------
3. Pursuant to 39 U.S.C. 505, the Commission appoints Lawrence
Fenster to serve as an officer of the Commission (Public
Representative) to represent the interests of the general public in
this docket.
4. The Secretary shall arrange for publication of this order in the
Federal Register.
By the Commission.
Erica A. Barker,
Secretary.
[FR Doc. 2020-07974 Filed 4-15-20; 8:45 am]
BILLING CODE 7710-FW-P