81 FR 49639 - Billing Procedures for Annual Charges for the Costs of Other Federal Agencies for Administering Part I of the Federal Power Act; Notice Reporting Costs for Other Federal Agencies' Administrative Annual Charges for Fiscal Year 2015

DEPARTMENT OF ENERGY
Federal Energy Regulatory Commission

Federal Register Volume 81, Issue 145 (July 28, 2016)

Page Range		49639-49640
FR Document		2016-17850

Federal Register, Volume 81 Issue 145 (Thursday, July 28, 2016)

[Federal Register Volume 81, Number 145 (Thursday, July 28, 2016)]
[Notices]
[Pages 49639-49640]
From the Federal Register Online [www.thefederalregister.org]
[FR Doc No: 2016-17850]

-----------------------------------------------------------------------

DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. AD16-2-000]

Billing Procedures for Annual Charges for the Costs of Other
Federal Agencies for Administering Part I of the Federal Power Act;
Notice Reporting Costs for Other Federal Agencies' Administrative
Annual Charges for Fiscal Year 2015

1. The Federal Energy Regulatory Commission (Commission) is
required to determine the reasonableness of costs incurred by other
Federal agencies (OFAs) \1\ in connection with their participation in
the Commission's proceedings under the Federal Power Act (FPA) Part I
\2\ when those agencies seek to include such costs in the
administrative charges licensees must pay to reimburse the United
States for the cost of administering Part I.\3\ The Commission's Order
on Remand and Acting on Appeals of Annual Charge Bills \4\ determined
which costs are eligible to be included in the administrative annual
charges and it established a process for Commission review of future
OFA cost submittals. This order established a process whereby the
Commission would annually request each OFA to submit cost data, using a
form \5\ specifically designed for this purpose. In addition, the order
established requirements for detailed cost accounting reports and other
documented analyses, which explain the cost assumptions contained in
the OFAs' submissions.
---------------------------------------------------------------------------

\1\ The OFAs include: The U.S. Department of the Interior
(Bureau of Indian Affairs, Bureau of Land Management, Bureau of
Reclamation, National Park Service, U.S. Fish and Wildlife Service,
Office of the Solicitor, Office of Environmental Policy &
Compliance, Office of Hearings and Appeals and Office of Policy
Analysis); the U.S. Department of Agriculture (U.S. Forest Service);
the U.S. Department of Commerce (National Marine Fisheries Service);
and the U.S. Army Corps of Engineers.
\2\ 16 U.S.C. 794-823d (2012).
\3\ See id. 803(e)(1) and 42 U.S.C. 7178.
\4\ 107 FERC ] 61,277, order on reh'g, 109 FERC ] 61,040 (2004).
\5\ Other Federal Agency Cost Submission Form, available at
https://www.ferc.gov/docs-filing/forms.asp#ofa.
---------------------------------------------------------------------------

2. The Commission has completed its review of the forms and
supporting documentation submitted by the U.S. Department of the
Interior (Interior), the U.S. Department of Agriculture (Agriculture),
and the U.S. Department of Commerce (Commerce) for fiscal year 2015.
This notice reports the costs the Commission included in its
administrative annual charges for fiscal year 2016.

Scope of Eligible Costs

3. The basis for eligible costs that should be included in the
OFAs' administrative annual charges is prescribed by the Office of
Management and Budget's (OMB) Circular A-25--User Charges and the
Federal Accounting Standards Advisory Board's Statement of Federal
Financial Accounting Standards (SFFAS) Number 4--Managerial Cost
Accounting Concepts and Standards for the Federal Government. Circular
A-25 establishes Federal policy regarding fees assessed for government
services and provides specific information on the scope and type of
activities subject to user charges. SSFAS Number 4 provides a
conceptual framework for federal agencies to determine the full costs
of government goods and services.
4. Circular A-25 provides for user charges to be assessed against
recipients of special benefits derived from federal activities beyond
those received by the general public.\6\ With regard to licensees, the
special benefit derived from federal activities is the license to
operate a hydropower project. The guidance provides for the assessment
of sufficient user charges to recover the full costs of services
associated with these special benefits.\7\ SFFAS Number 4 defines full
costs as the costs of resources consumed by a specific governmental
unit that contribute directly or indirectly to a provided service.\8\
Thus, pursuant to OMB requirements and authoritative accounting
guidance, the Commission must base its OFA administrative annual charge
on all direct and indirect costs incurred by agencies in administering
Part I of the FPA. The special form the Commission designed for this
purpose, the ``Other Federal Agency Cost Submission Form,'' captures
the full range of costs recoverable under the FPA and the referenced
accounting guidance.\9\
---------------------------------------------------------------------------

\6\ OMB Circular A-25 Sec. 6.
\7\ OMB Circular A-25 Sec. 6.a.2.
\8\ SFFAS Number 4 ] 7.
\9\ To avoid the possibility of confusion that has occurred in
prior years as to whether costs were being entered twice as ``Other
Direct Costs'' and ``Overhead,'' the form excluded ``Other Direct
Costs.''
---------------------------------------------------------------------------

Commission Review of OFA Cost Submittals

5. The Commission received cost forms and other supporting
documentation from the Departments of the Interior, Agriculture, and
Commerce (OFAs). The Commission completed a review of each OFA's cost
submission forms and supporting reports. In its examination of the
OFAs' cost data, the Commission considered each agency's ability to
demonstrate a system or process which effectively captured, isolated,
and reported Part I costs as required by the ``Other Federal Agency
Cost Submission Form.''
6. The Commission held a Technical Conference on April 7, 2016 to
report its initial findings to licensees and OFAs. Representatives for
several licensees and most of the OFAs attended the conference.
Following the technical conference, a transcript was posted, and
licensees had the opportunity to submit comments \10\ to the Commission
regarding its initial review.
---------------------------------------------------------------------------

\10\ See Letter from Charles R. Sensiba, Van Ness Feldman, to
the Honorable Kimberly D. Bose, FERC, Docket No. AD16-2-000 (filed
May 13, 2016).
---------------------------------------------------------------------------

7. Written comments were filed by Idaho Falls Group (Idaho Falls).
Idaho Falls generally supported the Commission's analysis but raised
questions regarding certain various individual cost submissions. The
Commission will address the issues raised in the Appendix to this
notice.
8. After additional reviews, full consideration of the comments
presented, and in accordance with the previously cited guidance, the
Commission accepted as reasonable any costs reported via the cost
submission forms that were clearly documented in the OFAs' accompanying
reports and/or analyses. These documented costs will be included in the
administrative annual charges for fiscal year 2016.

[[Page 49640]]

Summary of Reported & Accepted Costs for Fiscal Year 2015
[Figure 1]
--------------------------------------------------------------------------------------------------------------------------------------------------------
Municipal Non-municipal Total
-----------------------------------------------------------------------------------------------
Reported Accepted Reported Accepted Reported Accepted
--------------------------------------------------------------------------------------------------------------------------------------------------------
Department of Interior
--------------------------------------------------------------------------------------------------------------------------------------------------------
Bureau of Indian Affairs................................ 273,348 214,243 385,922 334,374 659,270 548,617
Bureau of Land Management............................... 162,847 159,428 5,007 3,089 167,854 162,517
Bureau of Reclamation................................... .............. .............. 20,680 20,680 20,680 20,680
National Park Service................................... 301,785 301,785 480,652 480,651 782,437 782,437
U.S. Fish and Wildlife Service.......................... 754,732 753,664 938,031 933,919 1,692,763 1,687,582
U.S. Geological Survey.................................. .............. .............. .............. .............. .............. ..............
Office of the Solicitor................................. 5,684 5,684 110,699 110,699 116,383 116,383
Office of the Environmental Policy & Compliance......... 47,054 47,054 106,266 106,266 153,320 153,320
Office of Hearings and Appeals.......................... 763 .............. 2,997 .............. 3,760 ..............
Office of Policy Analysis............................... .............. .............. .............. .............. .............. ..............
--------------------------------------------------------------------------------------------------------------------------------------------------------
Department of Agriculture
--------------------------------------------------------------------------------------------------------------------------------------------------------
U.S. Forest Service..................................... 653,758 611,610 1,443,838 1,351,324 2,097,586 1,962,933
--------------------------------------------------------------------------------------------------------------------------------------------------------
Department of Commerce
--------------------------------------------------------------------------------------------------------------------------------------------------------
National Marine Fisheries Service....................... 1,142,203 948,320 789,673 449,589 1,931,876 1,397,909
-----------------------------------------------------------------------------------------------
Total............................................... 3,342,174 3,041,788 4,283,755 3,790,592 7,625,929 6,832,378
--------------------------------------------------------------------------------------------------------------------------------------------------------

9. Figure 1 summarizes the total reported costs incurred by
Interior, Agriculture, and Commerce with respect to each OFA's
participation in administering Part I of the FPA. Additionally, Figure
1 summarizes the reported costs that the Commission determined were
clearly documented and accepted for inclusion in its FY 2016
administrative annual charges.

Summary Findings of Commission's Costs Review

10. As presented in the preceding table, the Commission determined
that $6,832,378 of the $7,625,929 in total reported costs were
determined to be reasonable and clearly documented in the OFAs'
accompanying reports and/or analyses. Based on these findings, 10% of
the total reported cost was determined to be unreasonable. The
Commission noted the most significant issues with regard to the
insufficiency of documentation provided by the OFAs was the lack of
supporting documentation to substantiate costs reported on the ``Other
Federal Agency Cost Submission Form'' as well as the failure to
segregate Municipal and Non-Municipal costs.
11. The cost reports that the Commission determined were clearly
documented and supported could be traced to detailed cost-accounting
reports, which reconciled to data provided from agency financial
systems or other pertinent source documentation. A further breakdown of
these costs is included in the Appendix to this notice, along with an
explanation of how the Commission determined their reasonableness.

Points of Contact

12. If you have any questions regarding this notice, please contact
Norman Richardson at (202) 502-6219 or Raven Rodriquez at (202) 502-
6276.

Dated: July 21, 2016.
Kimberly D. Bose,
Secretary.
[FR Doc. 2016-17850 Filed 7-27-16; 8:45 am]
BILLING CODE 6717-01-P

Federal Register / Vol. 81, No. 145 / Thursday, July 28, 2016 / Notices 49639

Regulations (18 CFR 385.211 and cost data, using a form 5 specifically accounting guidance, the Commission
§ 385.214) on or before 5:00 p.m. Eastern designed for this purpose. In addition, must base its OFA administrative
time on the specified comment date. the order established requirements for annual charge on all direct and indirect
Protests may be considered, but detailed cost accounting reports and costs incurred by agencies in
intervention is necessary to become a other documented analyses, which administering Part I of the FPA. The
party to the proceeding. explain the cost assumptions contained special form the Commission designed
eFiling is encouraged. More detailed in the OFAs’ submissions. for this purpose, the ‘‘Other Federal
information relating to filing 2. The Commission has completed its Agency Cost Submission Form,’’
requirements, interventions, protests, review of the forms and supporting captures the full range of costs
service, and qualifying facilities filings documentation submitted by the U.S. recoverable under the FPA and the
can be found at: http://www.ferc.gov/ Department of the Interior (Interior), the referenced accounting guidance.9
docs-filing/efiling/filing-req.pdf. For U.S. Department of Agriculture
(Agriculture), and the U.S. Department Commission Review of OFA Cost
other information, call (866) 208–3676
of Commerce (Commerce) for fiscal year Submittals
(toll free). For TTY, call (202) 502–8659.
2015. This notice reports the costs the 5. The Commission received cost
Dated: July 22, 2016.
Commission included in its forms and other supporting
Nathaniel J. Davis, Sr., administrative annual charges for fiscal documentation from the Departments of
Deputy Secretary. year 2016. the Interior, Agriculture, and Commerce
[FR Doc. 2016–17877 Filed 7–27–16; 8:45 am]
Scope of Eligible Costs (OFAs). The Commission completed a
BILLING CODE 6717–01–P
review of each OFA’s cost submission
3. The basis for eligible costs that
forms and supporting reports. In its
should be included in the OFAs’
examination of the OFAs’ cost data, the
DEPARTMENT OF ENERGY administrative annual charges is
Commission considered each agency’s
prescribed by the Office of Management
Federal Energy Regulatory ability to demonstrate a system or
and Budget’s (OMB) Circular A–25—
Commission process which effectively captured,
User Charges and the Federal
isolated, and reported Part I costs as
Accounting Standards Advisory Board’s
[Docket No. AD16–2–000] required by the ‘‘Other Federal Agency
Statement of Federal Financial
Cost Submission Form.’’
Billing Procedures for Annual Charges Accounting Standards (SFFAS) Number
4—Managerial Cost Accounting 6. The Commission held a Technical
for the Costs of Other Federal Conference on April 7, 2016 to report its
Agencies for Administering Part I of Concepts and Standards for the Federal
Government. Circular A–25 establishes initial findings to licensees and OFAs.
the Federal Power Act; Notice Representatives for several licensees
Reporting Costs for Other Federal Federal policy regarding fees assessed
for government services and provides and most of the OFAs attended the
Agencies’ Administrative Annual conference. Following the technical
Charges for Fiscal Year 2015 specific information on the scope and
type of activities subject to user charges. conference, a transcript was posted, and
1. The Federal Energy Regulatory SSFAS Number 4 provides a conceptual licensees had the opportunity to submit
Commission (Commission) is required framework for federal agencies to comments 10 to the Commission
to determine the reasonableness of costs determine the full costs of government regarding its initial review.
incurred by other Federal agencies goods and services. 7. Written comments were filed by
(OFAs) 1 in connection with their 4. Circular A–25 provides for user Idaho Falls Group (Idaho Falls). Idaho
participation in the Commission’s charges to be assessed against recipients Falls generally supported the
proceedings under the Federal Power of special benefits derived from federal Commission’s analysis but raised
Act (FPA) Part I 2 when those agencies activities beyond those received by the questions regarding certain various
seek to include such costs in the general public.6 With regard to individual cost submissions. The
administrative charges licensees must licensees, the special benefit derived Commission will address the issues
pay to reimburse the United States for from federal activities is the license to raised in the Appendix to this notice.
the cost of administering Part I.3 The operate a hydropower project. The 8. After additional reviews, full
Commission’s Order on Remand and guidance provides for the assessment of consideration of the comments
Acting on Appeals of Annual Charge sufficient user charges to recover the full presented, and in accordance with the
Bills 4 determined which costs are costs of services associated with these previously cited guidance, the
eligible to be included in the special benefits.7 SFFAS Number 4 Commission accepted as reasonable any
administrative annual charges and it defines full costs as the costs of costs reported via the cost submission
established a process for Commission resources consumed by a specific forms that were clearly documented in
review of future OFA cost submittals. governmental unit that contribute the OFAs’ accompanying reports and/or
This order established a process directly or indirectly to a provided analyses. These documented costs will
whereby the Commission would service.8 Thus, pursuant to OMB be included in the administrative
annually request each OFA to submit requirements and authoritative annual charges for fiscal year 2016.

1 The OFAs include: The U.S. Department of the Fisheries Service); and the U.S. Army Corps of 7 OMB Circular A–25 § 6.a.2.
Interior (Bureau of Indian Affairs, Bureau of Land Engineers. 8 SFFAS Number 4 ¶ 7.
Lhorne on DSK30JT082PROD with NOTICES

2 16 U.S.C. 794–823d (2012).
Management, Bureau of Reclamation, National Park 9 To avoid the possibility of confusion that has
3 See id. 803(e)(1) and 42 U.S.C. 7178.
Service, U.S. Fish and Wildlife Service, Office of occurred in prior years as to whether costs were
4 107 FERC ¶ 61,277, order on reh’g, 109 FERC being entered twice as ‘‘Other Direct Costs’’ and
the Solicitor, Office of Environmental Policy &
Compliance, Office of Hearings and Appeals and ¶ 61,040 (2004). ‘‘Overhead,’’ the form excluded ‘‘Other Direct
Office of Policy Analysis); the U.S. Department of
5 Other Federal Agency Cost Submission Form, Costs.’’
Agriculture (U.S. Forest Service); the U.S. available at https://www.ferc.gov/docs-filing/ 10 See Letter from Charles R. Sensiba, Van Ness
forms.asp#ofa. Feldman, to the Honorable Kimberly D. Bose, FERC,
Department of Commerce (National Marine 6 OMB Circular A–25 § 6. Docket No. AD16–2–000 (filed May 13, 2016).

VerDate Sep<11>2014 14:44 Jul 27, 2016 Jkt 238001 PO 00000 Frm 00022 Fmt 4703 Sfmt 4703 E:\FR\FM\28JYN1.SGM 28JYN1

49640 Federal Register / Vol. 81, No. 145 / Thursday, July 28, 2016 / Notices

SUMMARY OF REPORTED & ACCEPTED COSTS FOR FISCAL YEAR 2015
[Figure 1]

Municipal Non-municipal Total

Reported Accepted Reported Accepted Reported Accepted

Department of Interior

Bureau of Indian Affairs ........................... 273,348 214,243 385,922 334,374 659,270 548,617
Bureau of Land Management .................. 162,847 159,428 5,007 3,089 167,854 162,517
Bureau of Reclamation ............................ ........................ ........................ 20,680 20,680 20,680 20,680
National Park Service .............................. 301,785 301,785 480,652 480,651 782,437 782,437
U.S. Fish and Wildlife Service ................. 754,732 753,664 938,031 933,919 1,692,763 1,687,582
U.S. Geological Survey ............................ ........................ ........................ ........................ ........................ ........................ ........................
Office of the Solicitor ............................... 5,684 5,684 110,699 110,699 116,383 116,383
Office of the Environmental Policy &
Compliance ........................................... 47,054 47,054 106,266 106,266 153,320 153,320
Office of Hearings and Appeals ............... 763 ........................ 2,997 ........................ 3,760 ........................
Office of Policy Analysis .......................... ........................ ........................ ........................ ........................ ........................ ........................

Department of Agriculture

U.S. Forest Service .................................. 653,758 611,610 1,443,838 1,351,324 2,097,586 1,962,933

Department of Commerce

National Marine Fisheries Service ........... 1,142,203 948,320 789,673 449,589 1,931,876 1,397,909

Total .................................................. 3,342,174 3,041,788 4,283,755 3,790,592 7,625,929 6,832,378

9. Figure 1 summarizes the total these costs is included in the Appendix e. Name of Project: South SWP
reported costs incurred by Interior, to this notice, along with an explanation Hydroelectric Project.
Agriculture, and Commerce with respect of how the Commission determined f. Location: The project is located on
to each OFA’s participation in their reasonableness. the California Aqueduct in San
administering Part I of the FPA. Bernardino, Los Angeles, San Luis
Points of Contact
Additionally, Figure 1 summarizes the Obispo, Ventura, and Kern counties,
reported costs that the Commission 12. If you have any questions California and occupies, in part, federal
determined were clearly documented regarding this notice, please contact lands administered by the United States
and accepted for inclusion in its FY Norman Richardson at (202) 502–6219 Forest Service.
2016 administrative annual charges. or Raven Rodriquez at (202) 502–6276. g. Filed Pursuant to: Federal Power
Dated: July 21, 2016. Act, 16 U.S.C. 791a–825r.
Summary Findings of Commission’s h. Applicant Contact: Bonnie
Costs Review Kimberly D. Bose,
Duecker, California Department of
Secretary.
10. As presented in the preceding Water Resources, 34534 116th Street
[FR Doc. 2016–17850 Filed 7–27–16; 8:45 am]
table, the Commission determined that East, Pearblossom, CA 93553, (661) 944–
$6,832,378 of the $7,625,929 in total BILLING CODE 6717–01–P
8557, Bonnie.Duecker@water.ca.gov.
reported costs were determined to be i. FERC Contact: Dr. Mark Ivy, (202)
reasonable and clearly documented in 502–6156, mark.ivy@ferc.gov.
DEPARTMENT OF ENERGY
the OFAs’ accompanying reports and/or j. Deadline for filing comments,
analyses. Based on these findings, 10% Federal Energy Regulatory motions to intervene, and protests:
of the total reported cost was Commission August 22, 2016.
determined to be unreasonable. The The Commission strongly encourages
Commission noted the most significant electronic filing. Please file comments,
[Project No. 2426–049]
issues with regard to the insufficiency of motions to intervene, and protests using
documentation provided by the OFAs California Department of Water the Commission’s eFiling system at
was the lack of supporting Resources; Notice of Application http://www.ferc.gov/docs-filing/
documentation to substantiate costs Accepted for Filing and Soliciting efiling.asp. Commenters can submit
reported on the ‘‘Other Federal Agency Comments, Motions To Intervene, and brief comments up to 6,000 characters,
Cost Submission Form’’ as well as the Protests without prior registration, using the
failure to segregate Municipal and Non- eComment system at http://
Municipal costs. Take notice that the following www.ferc.gov/docs-filing/
11. The cost reports that the hydroelectric application has been filed ecomment.asp. You must include your
Lhorne on DSK30JT082PROD with NOTICES

Commission determined were clearly with the Commission and is available name and contact information at the end
documented and supported could be for public inspection: of your comments. For assistance,
traced to detailed cost-accounting a. Application Type: Recreation Plan. please contact FERC Online Support at
reports, which reconciled to data b. Project No: 2426–049. FERCOnlineSupport@ferc.gov, (866)
provided from agency financial systems c. Date Filed: May 20, 2016. 208–3676 (toll free), or (202) 502–8659
or other pertinent source d. Applicant: California Department (TTY). In lieu of electronic filing, please
documentation. A further breakdown of of Water Resources. send a paper copy to: Secretary, Federal

VerDate Sep<11>2014 14:44 Jul 27, 2016 Jkt 238001 PO 00000 Frm 00023 Fmt 4703 Sfmt 4703 E:\FR\FM\28JYN1.SGM 28JYN1

Document Created: 2016-07-28 01:47:31
Document Modified: 2016-07-28 01:47:31

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		81 FR 49639

81 FR 49639 - Billing Procedures for Annual Charges for the Costs of Other Federal Agencies for Administering Part I of the Federal Power Act; Notice Reporting Costs for Other Federal Agencies' Administrative Annual Charges for Fiscal Year 2015

DEPARTMENT OF ENERGYFederal Energy Regulatory Commission

Federal Register Volume 81, Issue 145 (July 28, 2016)

DEPARTMENT OF ENERGY
Federal Energy Regulatory Commission