Goto Section: 36.2 | 36.4 | Table of Contents
FCC 36.3
Revised as of October 2, 2015
Goto Year:2014 |
2016
§ 36.3 Freezing of jurisdictional separations category relationships and/or
allocation factors.
(a) Effective July 1, 2001, through June 30, 2017, all local exchange
carriers subject to part 36 rules shall apportion costs to the jurisdictions
using their study area and/or exchange specific jurisdictional allocation
factors calculated during the twelve month period ending December 31, 2000,
for each of the categories/sub-categories as specified herein. Direct
assignment of private line service costs between jurisdictions shall be
updated annually. Other direct assignment of investment, expenses, revenues
or taxes between jurisdictions shall be updated annually. Local exchange
carriers that invest in telecommunications plant categories during the
period July 1, 2001, through June 30, 2017, for which it had no separations
allocation factors for the twelve month period ending December 31, 2000,
shall apportion that investment among the jurisdictions in accordance with
the separations procedures in effect as of December 31, 2000 for the
duration of the freeze.
(b) Effective July 1, 2001, through June 30, 2017, local exchange carriers
subject to price cap regulation, pursuant to § 61.41 of this chapter, shall
assign costs from the part 32 accounts to the separations
categories/sub-categories, as specified herein, based on the percentage
relationships of the categorized/sub-categorized costs to their associated
part 32 accounts for the twelve month period ending December 31, 2000. If a
part 32 account for separations purposes is categorized into more than one
category, the percentage relationship among the categories shall be utilized
as well. Local exchange carriers that invest in types of telecommunications
plant during the period July 1, 2001, through June 30, 2017, for which it
had no separations category investment for the twelve month period ending
December 31, 2000, shall assign such investment to separations categories in
accordance with the separations procedures in effect as of December 31,
2000. Local exchange carriers not subject to price cap regulation, pursuant
to § 61.41 of this chapter, may elect to be subject to the provisions of
paragraph (b) of this section. Such election must be made prior to July 1,
2001. Local exchange carriers electing to become subject to paragraph (b)
shall not be eligible to withdraw from such regulation for the duration of
the freeze. Local exchange carriers participating in Association tariffs,
pursuant to § 69.601 et seq., shall notify the Association prior to July 1,
2001, of such intent to be subject to the provisions of paragraph (b). Local
exchange carriers not participating in Association tariffs shall notify the
Commission prior to July 1, 2001, of such intent to be subject to the
provisions of paragraph (b).
(c) Effective July 1, 2001, through June 30, 2017, any local exchange
carrier that sells or otherwise transfers exchanges, or parts thereof, to
another carrier's study area shall continue to utilize the factors and, if
applicable, category relationships as specified in paragraphs (a) and (b) of
this section.
(d) Effective July 1, 2001, through June 30, 2017, any local exchange
carrier that buys or otherwise acquires exchanges or part thereof, shall
calculate new, composite factors and, if applicable, category relationships
based on a weighted average of both the seller's and purchaser's factors and
category relationships calculated pursuant to paragraphs (a) and (b) of this
section. This weighted average should be based on the number of access lines
currently being served by the acquiring carrier and the number of access
lines in the acquired exchanges.
(1) To compute the composite allocation factors and, if applicable, the
composite category percentage relationships of the acquiring company, the
acquiring carrier shall first sum its existing (pre-purchase) access lines
(A) with the total access lines acquired from selling company (B). Then,
multiply its factors and category relationship percentages by (A/(A + B))
and those of the selling company by (B/(A + B)) and sum the results.
(2) For carriers subject to a freeze of category relationships, the
acquiring carrier should remove all categories of investment from the
selling carrier's list of frozen category relationships where no such
category investment exists within the sold exchange(s). The seller's
remaining category relationships must then be increased proportionately to
total 100 percent. Then, the adjusted seller's category relationships must
be combined with those of the acquiring carrier as specified in § 36.3(d)(1)
to determine the category relationships for the acquiring carrier's
post-transfer study area.
(e) Any local exchange carrier study area converting from average schedule
company status, as defined in § 69.605(c) of this chapter, to cost company
status during the period July 1, 2001, through June 30, 2017, shall, for the
first twelve months subsequent to conversion categorize the
telecommunications plant and expenses and develop separations allocation
factors in accordance with the separations procedures in effect as of
December 31, 2000. Effective July 1, 2001 through June 30, 2017, such
companies shall utilize the separations allocation factors and account
categorization subject to the requirements of paragraphs (a) and (b) of this
section based on the category relationships and allocation factors for the
twelve months subsequent to the conversion to cost company status.
[ 66 FR 33204 , June 21, 2001, as amended at 79 FR 36235 , June 26, 2014]
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Goto Section: 36.2 | 36.4
Goto Year: 2014 |
2016
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