In RM06-11-000, FERC is adding a new
Uniform System of Accounts for Centralized Service Companies and
new preservation of records requirements as new Parts 367 and 368.
FERC's regulations revise Form No. 60, and adding Part 369 to its
regulations. Form No.60 provides financial reporting by centralized
service companies, i.e., service companies that are not special
purpose companies, consistent with the new Uniform System of
Accounts; and to provide for electronic filing of Form No. 60. FERC
also is making conforming changes to its regulations in Part 366
and corresponding changes to the Chief Accountant's delegations of
authority in Part 375 of FERCs regulations. FERC is making the
revised regulations effective January 1, 2008.
Order No. 667 required that,
unless otherwise exempted by Commission rule or order, holding
companies and service companies must maintain and make available to
the Commission their books and records. In addition, Order No. 667
allowed holding companies and service companies that did not
currently follow the Commissions records retention requirements to
transition to the Commissions requirements by January 1, 2007.
Order No. 667 further provided that holding companies would not be
required to comply with a Uniform System of Accounts, but that
centralized service companies would be required to do so as of
January 1, 2007. The Commission indicated in Order No. 667 that it
would initiate a separate rulemaking proceeding to address how the
Commission's Uniform Systems of Accounts and records retention
requirements in Parts 101, 125, 201 and 225 of its regulations
should be modified to adopt or otherwise integrate the relevant
parts of the SEC's Uniform System of Accounts and records retention
rules. The Commission indicated that it intended to issue a final
rule on any appropriate accounting and records retention
requirements modifications before January 1, 2007, so that service
companies would be able to transition to the Commissions Uniform
System of Accounts and records retention requirements and so that
holding companies could transition to the Commissions records
retention requirements, by that date. This final rule responds to
that directive and reflects the addition of service companies (38)
who must now comply with the Uniform System of Accounts and records
retention requirements in Parts 101, 125, 201 and 225 of the
Commissions regulations. The Commission sought comments on both
the burden estimates and corresponding costs. It should be noted
that the Commissions initial estimates were based on its review of
the SECs burden estimates and its first year of experience in
implementing the FERC Form No. 60 reporting requirement. The
Commission received one comment specifically addressing the burden
estimate for completing the revised FERC Form No. 60. The
commenter, Southern, provided an estimate for completion of the
revised FERC Form No. 60 prior to the Commissions adoption of the
requirements as contained in the Final Rule. The Commission notes
that Southern has significant operations, and it is to be expected
that its estimates would exceed the average projected by the
Commission. Otherwise, the majority of the commenters, while not
providing specific comments on the estimates, in general opposed
the Commissions proposal of establishing new accounting and
reporting requirements for centralized service companies. These
objections were also repeated in the staff technical conference
where some participants stated that the NOPRs proposed
requirements would be burdensome and costly to implement as changes
would have to be made to their accounting systems. The Commission
did not receive any specific comments concerning the estimates for
the recordkeeping requirements. However, in view of Southerns
comments and the general comments of others, the Commission
reevaluated its initial burden estimates as reflected in the final
rule.
$358,202
No
No
Uncollected
Uncollected
Uncollected
Uncollected
Brian Holmes 202
219-2618
No
On behalf of this Federal agency, I certify that
the collection of information encompassed by this request complies
with 5 CFR 1320.9 and the related provisions of 5 CFR
1320.8(b)(3).
The following is a summary of the topics, regarding
the proposed collection of information, that the certification
covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a
benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control
number;
If you are unable to certify compliance with any of
these provisions, identify the item by leaving the box unchecked
and explain the reason in the Supporting Statement.
Form FERC Form 60 Annual Report for Centralized Service Companies
Press Release.pdf
Supporting Statement RM06-11Final Rule(rev).doc
Narrative Description of Service Company Functions