Goto Section: 61.38 | 61.40 | Table of Contents

FCC 61.39
Revised as of October 1, 2011
Goto Year:2010 | 2012
  §  61.39   Optional supporting information to be submitted with letters of
transmittal for Access Tariff filings by incumbent local exchange carriers
serving 50,000 or fewer access lines in a given study area that are described
as subset 3 carriers in § 69.602.

   (a) Scope. This section provides for an optional method of filing for
   any incumbent local exchange carrier that is described as subset 3
   carrier in § 69.602 of this chapter, which elects to issue its own
   Access Tariff for a period commencing on or after April 1, 1989, and
   which serves 50,000 or fewer access lines in a study area as determined
   under § 36.611(a)(8) of this chapter. However, the Commission may
   require any issuing carrier to submit such information as may be
   necessary for review of a tariff filing. This section (other than the
   preceding sentence of this paragraph) shall not apply to tariff filings
   of price cap local exchange carriers.

   (b) Explanation and data supporting tariff changes. The material to be
   submitted to either a tariff change or a new tariff which affects rates
   or charges must include an explanation of the filing in the transmittal
   as required by § 61.15. The basis for ratemaking must comply with the
   following requirements. Except as provided in paragraph (b)(5) of this
   section, it is not necessary to submit this supporting data at the time
   of filing. However, the incumbent local exchange carrier should be
   prepared to submit the data promptly upon reasonable request by the
   Commission or interested parties.

   (1) For a tariff change, the incumbent local exchange carrier that is a
   cost schedule carrier must propose Traffic Sensitive rates based on the
   following:

   (i) For the first period, a cost of service study for Traffic Sensitive
   elements for the most recent 12-month period with related demand for
   the same period.

   (ii) For subsequent filings, a cost of service study for Traffic
   Sensitive elements for the total period since the incumbent local
   exchange carrier's last annual filing, with related demand for the same
   period.

   (2) For a tariff change, the incumbent local exchange carrier that is
   an average schedule carrier must propose Traffic Sensitive rates based
   on the following:

   (i) For the first period, the incumbent local exchange carrier's most
   recent annual Traffic Sensitive settlement from the National Exchange
   Carrier Association pool.

   (ii) For subsequent filings, an amount calculated to reflect the
   Traffic Sensitive average schedule pool settlement the carrier would
   have received if the carrier had continued to participate, based upon
   the most recent average schedule formulas approved by the Commission.

   (3) For a tariff change, the incumbent local exchange carrier that is a
   cost schedule carrier must propose Common Line rates based on the
   following:

   (i) For the first biennial filing, the common line revenue requirement
   shall be determined by a cost of service study for the most recent
   12-month period. Subscriber line charges shall be based on cost and
   demand data for the same period. Carrier common line rates shall be
   determined by the following formula:
   [er20jy11.005.gif]

   View or download PDF

   Where:
   [er20jy11.006.gif]

   View or download PDF

   And where:

   CCL Rev Req = carrier common line revenue requirement for the most
   recent 12-month period;

   CCL MOU[b]= carrier common line minutes of use for the most recent
   12-month period;

   CCL MOU[1]= CCL MOU[b]; and

   CCL MOU[0]= carrier common line minutes of use for the 12-month period
   preceding the most recent 12-month period.

   (ii) For subsequent biennial filings, the common line revenue
   requirement shall be determined by a cost of service study for the most
   recent 24-month period. Subscriber line charges shall be based on cost
   and demand data for the same period. Carrier common line rates shall be
   determined by the following formula:
   [er20jy11.007.gif]

   View or download PDF

   Where:
   [er20jy11.008.gif]

   View or download PDF

   And where:

   CCL Rev Req = carrier common line revenue requirement for the most
   recent 24-month period;

   CCL MOU[b]= carrier common line minutes of use for the most recent
   24-month period;

   CCL MOU[1]= carrier common line minutes of use for the 12-month period;
   and

   CCL MOU[0]= carrier common line minutes of use for the 12-month period
   preceding the most recent 12-month period.

   (4) For a tariff change, the incumbent local exchange carrier which is
   an average schedule carrier must propose common line rates based on the
   following:

   (i) For the first biennial filings, the common line revenue requirement
   shall be determined by the incumbent local exchange carrier's most
   recent annual Common Line settlement from the National Exchange Carrier
   Association. Subscriber line charges shall be based on cost and demand
   data for the same period. Carrier common line rates shall be determined
   by the following formula:
   [er20jy11.009.gif]

   View or download PDF

   Where:
   [er20jy11.010.gif]

   View or download PDF

   And where:

   CCL Rev Req = carrier common line settlement for the most recent
   12-month period;

   CCL MOU[b]= carrier common line minutes of use for the most recent
   12-month period;

   CCL MOU[1]= CCL MOU[b]; and

   CCL MOU[0]= carrier common line minutes of use for the 12-month period
   preceding the most recent 12-month period.

   (ii) For subsequent biennial filings, the common line revenue
   requirement shall be an amount calculated to reflect the average
   schedule pool settlements the carrier would have received if the
   carrier had continued to participate in the carrier common line pool,
   based upon the average schedule Common Line formulas developed by the
   National Exchange Carrier Association for the most recent 24-month
   period. Subscriber line charges shall be based on cost and demand data
   for the same period. Carrier common line rates shall be determined by
   the following formula:
   [er20jy11.011.gif]

   View or download PDF

   Where:
   [er20jy11.012.gif]

   View or download PDF

   And where:

   CCL Rev Req = carrier common line settlement for the most recent
   24-month period;

   CCL MOU[b]= carrier common line minutes of use for the most recent
   24-month period;

   CCL MOU[1]= carrier common line minutes of use for the most recent
   12-month period; and

   CCL MOU[0]= carrier common line minutes of use for the 12-month period
   preceding the most recent 12-month period.

   (5) For End User Common Line charges included in a tariff pursuant to
   this Section, the incumbent local exchange carrier must provide
   supporting information for the two-year historical period with its
   letter of transmittal in accordance with § 61.38.

   (c) Maximum allowable rate of return. Incumbent Local exchange carriers
   filing tariffs under this section are not required to comply with
   § § 65.700 through 65.701 of this chapter, except with respect to
   periods during which tariffs were not subject to this section. The
   Commission may require any carrier to submit such information if it
   deems it necessary to monitor the carrier's earnings. However, rates
   must be calculated based on the incumbent local exchange carrier's
   prescribed rate of return applicable to the period during which the
   rates are effective.

   (d) Rates for a new service that is the same as that offered by a price
   cap local exchange carrier providing service in an adjacent serving
   area are deemed presumptively lawful, if the proposed rates, in the
   aggregate, are no greater than the rates established by the price cap
   local exchange carrier. Tariff filings made pursuant to this paragraph
   must include the following:

   (1) A brief explanation of why the service is like an existing service
   offered by a geographically adjacent price cap local exchange carrier;
   and

   (2) Data to establish compliance with this paragraph that, in
   aggregate, the proposed rates for the new service are no greater than
   those in effect for the same or comparable service offered by that same
   geographically adjacent price cap regulated local exchange carrier.
   Compliance may be shown through submission of applicable tariff pages
   of the adjacent carrier; a showing that the serving areas are adjacent;
   any necessary explanations and work sheets.

   (e) Average schedule companies filing pursuant to this section shall
   retain their status as average schedule companies.

   (f) On each page of cost support material submitted pursuant to this
   section, the issuing carrier shall indicate the transmittal number
   under which that page was submitted.

   [ 76 FR 43212 , July 20, 2011]

   Effective Date Note:   At  76 FR 43212 , July 20, 2011, § 61.39 was
   revised. This section contains information collection and recordkeeping
   requirements and will not become effective until approval has been
   given by the Office of Management and Budget.


Goto Section: 61.38 | 61.40

Goto Year: 2010 | 2012
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