This is just a rumor at this point, of course.
However, it does make sense.
Compared to 10 years ago, the Organization is printing something like 60% less magazines a year, not to mention the diminished demand that exists in developed nations due to the push for digital adaptation. I bet they could print 90% of the worldwide demand for literature in New York alone.
As far as the CO thing, it could have a grain of truth, however I think a little may have been lost in translation. Perhaps they're reorganizing the CO structure and will have a Pioneer Elder that is assigned to a certain geographic region.