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Federal Register/Vol. 71, No. 208/Friday, October, 27, 2006

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Federal Register/Vol. 71, No. 208/Friday, October, 27, 2006 Federal Register / Vol. 71, No. 208 / Friday, October, 27, 2006 / Notices 63179 2004 Pacific Survey Results and TABLE 3.—CHANGE IN HONOLULU AND CPI–U and divide that by the change in Interim Adjustments IN THE WASHINGTON-BALTIMORE the Washington-Baltimore CPI–U. OPM CPI–US 2004 TO 2005 published the 2004 Pacific survey report The process we used to compute the in the Federal Register on August 4, interim adjustments for the Pacific Survey Area CPI–U 2005, at 70 FR 44989. This report surveys (i.e., Honolulu, Hawaii, Kauai, included the survey price indexes for Maui, and Guam) is identical to the one Honolulu 2004 CPI–U first half 189.2 each of the Pacific COLA areas. described above for Alaska except that Honolulu 2005 CPI–U second However, as with Alaska, OPM we used the BLS CPI–U for Honolulu, half ........................................ 200.6 subsequently revised the Pacific price as specified in § 591.225. Table 3 shows Honolulu change ....................... 6.0254% DC-Baltimore 2004 CPI–U first indexes, incorporating methodological the relative change in the Honolulu half ........................................ 118.3 changes that OPM adopted pursuant to CPI–U compared with the Washington- DC-Baltimore 2005 CPI–U sec- comments it received. The revised Baltimore CPI–U. Once again, the table ond half ................................. 125.8 indexes were published recently in the shows prices have increased somewhat DC-Baltimore change ............... 6.3398% Federal Register in a final rule that faster in the Washington-Baltimore area implemented COLA rate changes. Table than in Honolulu since the first half of The second step is to multiply the 4 shows the revised indexes, the interim 2004. price indexes from the five 2004 Pacific adjustment process, and the final surveys by the change in the Honolulu results. TABLE 4.—PACIFIC COLA AREA CPI–U PRICE INDEX ADJUSTMENTS Honolulu Hawaii Co Kauai Maui Guam 2004 COLA Survey Indexes .......................................................... 125.80 117 .25 127 .63 131 .50 127 .40 Adjustment Factors........................................................................ 5 7 7 7 9 2004 COLA Survey Price Indexes ................................................. 120.80 110 .25 120 .63 124 .50 118 .40 2005 CPI Adjusted Price Indexes .................................................. 120.44 109 .92 120 .27 124 .13 118 .05 2005 COLA Indexes with Adj. Factors .......................................... 125.44 116 .92 127 .27 131 .13 127 .05 Interim Adjustments Summarized SUMMARY: This notice publishes the allowance (COLA) survey summary In a proposed rule published with this ‘‘2005 Nonforeign Area Cost-of-Living reports in the Federal Register. We are notice, OPM proposes to adjust COLA Allowance Survey Report: Caribbean publishing the complete ‘‘2005 rates based on the 2005 Caribbean and Washington, DC, Areas.’’ The Nonforeign Area Cost-of-Living Survey results and the interim Federal Government uses the results of Allowance Survey Report: Caribbean adjustments. The interim adjustments surveys such as these to set cost-of- and Washington, DC, Areas’’ with this show both Alaska and Pacific prices are living allowance (COLA) rates for notice. The report contains the results of falling slightly relative to Washington- General Schedule, U.S. Postal Service, the COLA surveys we conducted in Baltimore prices. In the Pacific, the and certain other Federal employees in Puerto Rico, the U.S. Virgin Islands, and results indicate that COLA rates in all of Alaska, Hawaii, Guam and the Northern the Washington, DC area during the Mariana Islands, Puerto Rico, and the the areas are currently set at the spring of 2005. appropriate levels, and no adjustments U.S. Virgin Islands. This report contains are necessary. In Alaska, the results the results of the COLA surveys Survey Results indicate that Anchorage, Fairbanks and conducted by the Office of Personnel Management in Puerto Rico, the U.S. Using an index scale with Juneau COLA rates should continue to Washington, DC area living costs equal be reduced by an additional 1 Virgin Islands, and the Washington, DC to 100, we computed index values of percentage point in each area, from 24 area during the spring of 2005. relative prices in the Puerto Rico and percent, which is the current COLA rate DATES: Comments on this report must be U.S. Virgin Islands COLA areas. Then in each of these areas, to 23 percent. received on or before December 26, However, § 591.228(c) limits COLA rate 2006. we added an adjustment factor of 7.0 to the Puerto Rico price index and 9.0 to reductions to no more than 1 percentage ADDRESSES: Send or deliver comments point in a 12-month period. to Jerome D. Mikowicz, Acting Deputy the U.S. Virgin Islands price index and Associate Director for Pay and rounded the results to the nearest whole Linda M. Springer, Performance Policy, Strategic Human percentage point. According to the Director, Office of Personnel Management. Resources Policy Division, Office of results, the COLA rate for the U.S. [FR Doc. E6–17952 Filed 10–26–06; 8:45 am] Personnel Management, Room 7H31, Virgin Islands should increase from 23 BILLING CODE 6325–39–P 1900 E Street, NW., Washington, DC percent, which is the current rate, to 25 20415–8200; fax: (202) 606–4264; or percent; and the COLA rate for Puerto e-mail: [email protected]. Rico should decrease from 10.5 percent, OFFICE OF PERSONNEL which is the current rate, to 9.5 percent. MANAGEMENT FOR FURTHER INFORMATION CONTACT: Donald L. Paquin, (202) 606–2838; fax: Section 591.228(c) limits decreases to 1 2005 Nonforeign Area Cost-of-Living (202) 606–4264; or e-mail: percentage point in a 12-month period. Allowance Survey Report: Caribbean [email protected]. In a proposed rule published with this and Washington, DC, Areas SUPPLEMENTARY INFORMATION: Section notice, OPM proposes to adjust COLA 591.229 of title 5, Code of Federal rate rates based on the results of the AGENCY: Office of Personnel 2005 Caribbean surveys. Management. Regulations, requires the Office of Personnel Management (OPM) to ACTION: Notice. publish nonforeign area cost-of-living VerDate Aug<31>2005 13:35 Oct 26, 2006 Jkt 211001 PO 00000 Frm 00002 Fmt 4701 Sfmt 4703 E:\FR\FM\27OCN3.SGM 27OCN3 rmajette on PROD1PC67 with NOTICES3 63180 Federal Register / Vol. 71, No. 208 / Friday, October, 27, 2006 / Notices Office of Personnel Management. This report provides the results of the and agency representatives in planning Linda M. Springer, COLA surveys OPM conducted in the and conducting the surveys and Director. spring of 2005 in Puerto Rico, the U.S. reviewing the results. Virgin Islands, and the Washington, DC Each CAC is composed of 2005 Nonforeign Area Cost-of-Living area. The report details our comparison approximately 12 agency and employee Allowance Survey Report: Caribbean of living costs in the Caribbean areas representatives from the survey area and and Washington, DC Areas with living costs in the Washington, DC 2 OPM representatives. The functions of Table of Contents area. the CACs include the following: For the surveys, we contacted about Executive Summary —Advising and assisting OPM in 850 outlets and collected approximately planning COLA surveys; 1. Introduction 4,000 non-rental prices on more than —Providing or arranging for data 1.1 Report Objectives 250 items representing typical consumer 2. Preparing for the Survey collection observers during COLA purchases. We also collected about surveys; 2.1 COLA Advisory Committees 1,800 rental prices. We then combined 2.2 Pre-Survey Meetings —Advising and assisting OPM in the data using consumer expenditure 2.3 Survey Item Selection reviewing survey data; 2.3.1 Special Considerations information from the Bureau of Labor —Advising OPM on its COLA program 2.4 Outlet Selection Statistics. The final results are living- administration, including survey 2.5 Geographic Coverage cost indexes, shown in Table 1. These methodology; 3. Conducting the Survey indexes compare living costs in Puerto —Assisting OPM in disseminating 3.1 Pricing Period Rico and the U.S. Virgin Islands to those information to affected employees 3.2 Non-Housing Price Data Collection in the Washington, DC area. The index about the surveys and the COLA 3.2.1 Data Collection Teams for the DC area (not shown) is 100.00 program; and 3.2.2 Data Collection Process because it is, by law, the reference area. —Advising OPM on special situations 3.3 Housing (Rental) Price Data The living-cost indexes shown in Table or conditions, such as hurricanes and Collection 1 include the adjustment factor 4. Analyzing the Results earthquakes, as they relate to OPM’s prescribed at 5 CFR 591.227. 4.1 Data Review authority to conduct interim surveys 4.2 Special Price Computations or implement some other change in TABLE 1.—FINAL LIVING-COST 4.2.1 K–12 Private Education response to conditions caused by a COMPARISON INDEXES 4.2.2 Health Insurance natural disaster or similar emergency. 4.2.3 Water Utilities 4.2.4 Energy Utilities Model Allowance area Index 2.2 Pre-Survey Meetings 4.2.5 Rental Data Hedonic Models 4.3 Averaging Prices by Item and Area Puerto Rico ................................... 103.32 To help us prepare for the COLA 4.4 Computing Price Indexes U.S. Virgin Islands ........................ 128.21 surveys, the CACs held 3-day meetings 4.4.1 Geometric Means in Puerto Rico, St. Thomas, and St. 4.4.2 Special Private Education 1. Introduction Croix. The CACs reviewed the Computations preliminary outlet and item lists 4.5 Applying Consumer Expenditure 1.1 Report Objectives developed by OPM for the surveys. The Weights This report provides the results of the committee members researched the 5. Final Results 2005 ‘‘Caribbean’’ nonforeign area cost- outlets and availability and 6. Post Survey Meetings of-living allowance (COLA) survey appropriateness of the items in each List of Appendices conducted by the Office of Personnel area and made recommendations to us Appendix 1: Publication in the Federal Management (OPM) in the spring of concerning the survey.
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