Sec.  61.3   Definitions.

   (a) Act. The Communications Act of 1934 (48 Stat. 1004; 47 U.S.C. chapter
   5), as amended.

   (b)  Actual Price Index (API). An index of the level of aggregate rate
   element rates in a basket, which index is calculated pursunt to  Sec. 61.46.

   (c) Association. This term has the meaning given it in  Sec. 69.2(d).

   (d) Average Price Cap CMT Revenue per Line month. (1) Price Cap CMT Revenue
   (as defined in  Sec. 61.3(cc)) per month as of July 1, 2000 (adjusted to remove
   Universal Service Contributions assessed to local exchange carriers pursuant
   to  Sec. 54.702 of this chapter) using 2000 annual filing base period demand,
   divided by the 2000 annual filing base period demand. In filing entities
   with multiple study areas, if it becomes necessary to calculate the Average
   Price Cap CMT Revenue per Line month for a specific study area, then the
   Average  Price  Cap  CMT Revenue per Line month for that study area is
   determined as follows, using base period demand revenues (adjusted to remove
   Universal Service Contributions assessed to Local Exchange Carriers pursuant
   to  Sec. 54.702 of this chapter), Base Factor Portion (BFP) and 2000 annual
   filing base period lines:

   Average Price Cap CMT Revenue per Line Month in a study area = Price Cap CMT
   Revenue × (BFP in the study area ÷ (BFP in the Filing Entity) ÷(Lines in the
   study area.

   (2) Nothing in this definition precludes a price cap local exchange carrier
   from continuing to average rates across filing entities containing multiple
   study areas, where permitted under existing rules.

   (3) Average Price Cap CMT Revenues per Line month may be adjusted after July
   1, 2000 to reflect exogenous costs pursuant to  Sec. 61.45(d).

   (4) Average Price Cap CMT Revenues per Line month may also be adjusted
   pursuant to  Sec. 61.45 (b)(1)(iii).

   (e) Average Traffic Sensitive Charge. (1) The Average Traffic Sensitive
   Charge (ATS charge) is the sum of the following two components:

   (i) The Local Switching (LS) component. The LS component will be calculated
   by dividing the proposed LS revenues (End Office Switch, LS trunk ports,
   Information Surcharge, and signalling transfer point (STP) port) by the base
   period LS minutes of use (MOUs); and

   (ii) The Transport component. The Transport component will be calculated by
   dividing the proposed Transport revenues (Switched Direct Trunk Transport,
   Signalling for Switched Direct Trunk Transport, Entrance Facilities for
   Switched Access traffic, Tandem Switched Transport, Signalling for Tandem
   Switching and residual per minute Transport Interconnection Charge (TIC)
   pursuant to  Sec. 69.155 of this chapter) by price cap local exchange carrier
   only  base  period MOUs (including meet-point billing arrangements for
   jointly-provided interstate access by a price cap local exchange carrier and
   any other local exchange carrier).

   (2) For the purposes of determining whether the ATS charge has reached the
   Target Rate as set forth in  Sec. 61.3(qq), the calculations should include all
   the relevant revenues and minutes for services provided under generally
   available price cap tariffs.

   (f) Band. A zone of pricing flexibility for a service category, which zone
   is calculated pursuant to  Sec. 61.47.

   (g) Base period. For carriers subject to  Sec.  Sec. 61.41 through 61.49, the 12-month
   period ending six months prior to the effective date of annual price cap
   tariffs. Base year or base period earnings shall exclude amounts associated
   with exogenous adjustments to the PCI for the lower formula adjustment
   mechanism permitted by  Sec. 61.45(d)(1)(vii).

   (h) Basket. Any class or category of tariffed service or charge:

   (1) Which is established by the Commission pursuant to price cap regulation;

   (2) The rates of which are reflected in an Actual Price Index; and

   (3) The related revenues of which are reflected in a Price Cap Index.

   (i) Change in rate structure. A restructuring or other alteration of the
   rate components for an existing service.

   (j) Charges. The price for service based on tariffed rates.

   (k)  Commercial contractor. The commercial firm to whom the Commission
   annually awards a contract to make copies of Commission records for sale to
   the public.

   (l) Commission. The Federal Communications Commission.

   (m) Concurring carrier. A carrier (other than a connecting carrier) subject
   to  the  Act  which  concurs  in and assents to schedules of rates and
   regulations filed on its behalf by an issuing carrier or carriers.

   (n)  Connecting  carrier.  A  carrier engaged in interstate or foreign
   communication solely through physical connection with the facilities of
   another carrier not directly or indirectly controlling or controlled by, or
   under direct or indirect common control with, such carrier.

   (o) Contract-based tariff. A tariff based on a service contract entered into
   between a non-dominant carrier and a customer, or between a customer and a
   price cap local exchange carrier which has obtained permission to offer
   contract-based tariff services pursuant to part 69, subpart H, of this
   chapter.

   (p) Corrections. The remedy of errors in typing, spelling, or punctuation.

   (q) Dominant carrier. A carrier found by the Commission to have market power
   (i.e., power to control prices).

   (r) GDP Price Index (GDP-PI). The estimate of the Chain-Type Price Index for
   Gross  Domestic  Product  published by the United States Department of
   Commerce, which the Commission designates by Order.

   (s) GNP Price Index (GNP-PI). The estimate of the “Fixed-Weighted Price
   Index for Gross National Product, 1982 Weights” published by the United
   States Department of Commerce, which the Commission designates by Order.

   (t) Issuing carrier. A carrier subject to the Act that publishes and files a
   tariff or tariffs with the Commission.

   (u) Line month. Line demand per month multiplied by twelve.

   (v) Local exchange carrier. Any person that is engaged in the provision of
   telephone exchange service or exchange access as defined in section 3(26) of
   the Act.

   (w) Mid-size company. All price cap local exchange carriers other than the
   Regional Bell Operating Companies and GTE.

   (x) New service offering. A tariff filing that provides for a class or
   sub-class of service not previously offered by the carrier involved and that
   enlarges the range of service options available to ratepayers.

   (y)  Non-dominant  carrier.  A  carrier  not found to be dominant. The
   nondominant status of providers of international interexchange services for
   purposes of this subpart is not affected by a carrier's classification as
   dominant under  Sec. 63.10 of this chapter.

   (aa) Price Cap Local Exchange Carrier. A local exchange carrier subject to
   regulation pursuant to  Sec. 61.41 through 61.49.

   (bb) Pooled Local Switching Revenue. For certain qualified companies as set
   forth in  Sec. 61.48 (m), is the amount of additional local switching reductions
   in the July 2000 Annual filing allowed to be moved and recovered in the CMT
   basket.

   (cc) Price Cap CMT Revenue. The maximum total revenue a filing entity would
   be permitted to receive from End User Common Line charges under  Sec. 69.152 of
   this chapter, Presubscribed Interexchange Carrier charges (PICCs) under
    Sec. 69.153 of this chapter, Carrier Common Line charges under  Sec. 69.154 of this
   chapter, and Marketing under  Sec. 69.156 of this chapter, using Base Period
   lines. Price Cap CMT Revenue does not include the price cap local exchange
   carrier universal service contributions as of July 1, 2000. The Price Cap
   CMT revenue does not include the pooled local switching revenue outlined in
   paragraph (bb) of this section.

   (dd) Price Cap Index (PCI). An index of prices applying to each basket of
   services of each carrier subject to price cap regulation, and calculated
   pursuant to  Sec. 61.45.

   (ee) Price cap regulation. A method of regulation of dominant carriers
   provided in  Sec.  Sec. 61.41 through 61.49.

   (ff) Price cap tariff filing. Any tariff filing involving a service subject
   to price cap regulation, or that requires calculations pursuant to  Sec.  Sec. 61.45,
   61.46, or 61.47.

   (gg) [Reserved]

   (hh) Rate. The tariffed price per unit of service.

   (ii) Rate increase. Any change in a tariff which results in an increased
   rate or charge to any of the filing carrier's customers.

   (jj) Rate level change. A tariff change that only affects the actual rate
   associated with a rate element, and does not affect any tariff regulations
   or any other wording of tariff language.

   (kk) Regulations. The body of carrier prescribed rules in a tariff governing
   the  offering  of  service in that tariff, including rules, practices,
   classifications, and definitions.

   (ll) Restructured service. An offering which represents the modification of
   a method of charging or provisioning a service; or the introduction of a new
   method of charging or provisioning that does not result in a net increase in
   options available to customers.

   (mm) Rural Company. A company that, as of December 31, 1999, was certified
   to the Commission as a rural telephone company.

   (nn) Service Band Index (SBI). An index of the level of aggregate rate
   element rates in a service category, which index is calculated pursuant to
    Sec. 61.47.

   (oo) Service category. Any group of rate elements subject to price cap
   regulation, which group is subject to a band.

   (pp) Supplement. A publication filed as part of a tariff for the purpose of
   suspending or canceling that tariff, or tariff publication and numbered
   independently from the tariff page series.

   (qq) Target Rate. The applicable Target Rate shall be defined as follows:

   (1) For regional Bell Operating Companies and GTE, $0.0055 per ATS minute of
   use;

   (2) For a holding company with a holding company average of less than 19
   Switched Access End User Common Line charge lines per square mile served
   such company may elect to use a Target Rate of $0.0095 with respect to all
   exchanges owned by that holding company on July 1, 2000, or which that
   holding  company is, as of April 1, 2000, under a binding and executed
   contract to purchase;

   (3) For other price cap local exchange carriers, $0.0065 per ATS minute of
   use.

   (rr) Tariff. Schedules of rates and regulations filed by common carriers.

   (ss) Tariff publication, or publication. A tariff, supplement, revised page,
   additional page, concurrence, notice of revocation, adoption notice, or any
   other schedule of rates or regulations filed by common carriers.

   (tt) Tariff year. The period from the day in a calendar year on which a
   carrier's annual access tariff filing is scheduled to become effective
   through the preceding day of the subsequent calendar year.

   (uu) Text change. A change in the text of a tariff which does not result in
   a change in any rate or regulation.

   (vv) United States. The several States and Territories, the District of
   Columbia, and the possessions of the United States.

   (ww) Corridor service. “Corridor service” refers to interLATA services
   offered in the “limited corridors” established by the District Court in
   United States v. Western Electric Co., Inc., 569 F. Supp. 1057, 1107 (D.D.C.
   1983).

   (xx) Toll dialing parity. “Toll dialing parity” exists when there is dialing
   parity, as defined in  Sec. 51.5 of this chapter, for toll services.

   (yy) Loop-based services. Loop-based services are services that employ
   Subcategory 1.3 facilities, as defined in  Sec. 36.154 of this chapter.

   (zz) Zone Average Revenue per Line. The amount calculated as follows:

   Zone Average Revenue per Line = (25% * (Loop + Port)) + U (Uniform revenue
   per line adjustment)

   Where:

   Loop = the price for unbundled loops in a UNE zone.

   Port = the price for switch ports in that UNE zone.

   U = [(Average Price Cap CMT Revenue per Line month in a study area * price
   cap local exchange carrier Base Period Lines)−(25% * Σ (price cap local
   exchange carrier Base Period Lines in a UNE Zone * ((Loop + Port ) for all
   zones)))] ÷ price cap local exchange carrier Base Period Lines in a study
   area.

   [ 54 FR 19840 , May 8, 1989, as amended at  55 FR 42382 , Oct. 19, 1990;  56 FR 55239 , Oct. 25, 1991;  58 FR 36147 , July 6, 1993;  59 FR 10301 , Mar. 4, 1994;
    60 FR 19527 , Apr. 19, 1995;  60 FR 20052 , Apr. 24, 1995;  61 FR 59366 , Nov.
   22, 1996;  62 FR 5777 , Feb. 7, 1997;  62 FR 31930 , June 11, 1997;  64 FR 46586 ,
   Aug. 26, 1999;  64 FR 51265 , Sept. 22, 1999;  65 FR 38694 , June 21, 2000;  65 FR 57740 , 57741, Sept. 26, 2000;  66 FR 16881 , Mar. 28, 2001]