Sec. 69.401  Direct expenses.

    (a) Plant Specific Operations Expenses in Accounts 6110 and 6120 
shall be apportioned among the interexchange category, the billing and 
collection category and appropriate access elements on the following 
basis:
    (1) Account 6110--Apportion on the basis of other investment 
apportioned pursuant to Sec. 69.309.
    (2) Account 6120--Apportion on the basis of General and Support 
Facilities investment pursuant to Sec. 69.307.
    (b) Plant Specific Operations Expenses in Accounts 6210, 6220, and 
6230, shall be apportioned among the interexchange category and access 
elements on the basis of the apportionment of

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the investment in Accounts 2210, 2220, and 2230, respectively; provided 
that any expenses associated with DS1/voice-grade multiplexers, to the 
extent that they are not associated with an analog tandem switch, 
assigned to the local transport category by this paragraph shall be 
reallocated to the local switching category; provided further that any 
expenses associated with common channel signalling included in Account 
6210 shall be assigned to the local transport category.
    (c) Plant Specific Operations Expenses in Accounts 6310 and 6410 
shall be assigned to the appropriate investment category and shall be 
apportioned among the interexchange category and access elements in the 
same proportions as the total associated investment.
    (d) Plant Non Specific Operations Expenses in Accounts 6510 and 6530 
shall be apportioned among the interchange category, the billing and 
collection category, and access elements in the same proportions as the 
combined investment in COE, IOT, and C&WF apportioned to each element 
and category.
    (e) Plant Non Specific Operations Expenses in Account 6540 shall be 
assigned to the interexchange category.
    (f) Plant Non Specific Operations Expenses in Account 6560 shall be 
apportioned among the interexchange category, the billing and collection 
category, and access elements in the same proportion as the associated 
investment.
    (g) Amortization of embedded customer premises wiring investment 
shall be deemed to be associated with Sec. 69.303(b) IOT investment for 
purposes of the apportionment described in paragraph (c) of this 
section.

[ 52 FR 37313 , Oct. 6, 1987, as amended at  62 FR 31939 , June 11, 1997]

    Effective Date Note: At  62 FR 31939 , June 11, 1997, Sec. 69.401 was 
amended by revising paragraph (b), effective Jan. 1, 1998. For the 
convenience of the user, the superseded text is set forth as follows:

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    (b) Plant Specific Operations Expenses in Accounts 6210, 6220 and 
6230 shall be apportioned among the interchange category and access 
elements on the basis of the apportionment of the total COE investment.

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