BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION


In the Matter of the Petition of

Qwest Corporation
For Extension of Waiver of
Administrative Rules
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	)	DOCKET NO. UT-000222
		
		ORDER GRANTING, IN PART, AND DENYING, IN PART, PETITION FOR EXTENSION OF RULE 
WAIVER
BACKGROUND

1 On February 15, 2001, Qwest Corporation (Qwest) filed a petition with the 
Commission to extend its  current waiver of WAC 480-120-139(5) pertaining to 
offering preferred carrier freezes to local  exchange customers. 

2 WAC 480-120-139(5), adopted November 30, 1999, and effective March 1, 2000, 
requires local  exchange companies to offer a preferred carrier freeze to all 
of their customers for local exchange,  interlata, and intralata services.  On 
February 17, 2000, U S WEST Communications, Inc., (USWC)  filed a petition 
requesting a waiver for local exchange services because it did not have the 
processes  and technology in place to implement local carrier freezes in a 
consistent and cost-effective manner.   The Commission approved this petition 
on March 10, 2000.  The existing waiver covers two separate  rule 
requirements.  First, the waiver exempts Qwest from providing a preferred 
carrier freeze to its  local exchange customers under WAC 480-120-139(5)(c) 
through (e).  Second, the waiver exempts  Qwest from the requirement to notify 
customers about the option of a preferred carrier freeze for local  exchange 
customers under WAC 480-120-139(5)(a) and (b).  

3 Qwest requests an extension of this waiver until September 1, 2001.  The 
company contends   additional work is required to complete the mechanized 
process to fully implement preferred carrier  freezes.   Without this extension 
the company must manually "flag" a customer's account to identify a  local 
carrier freeze on the account, a process that Qwest asserts is prone to human 
error.  Qwest  states it can have the mechanized process in place by August 1, 
2001.  

4 In addition, the company, even if it were required to provide a manual 
preferred carrier freeze for  local exchange customers, does not wish to notify 
its customers that such an option exists.  It contends  that such a notice 
could produce a large number of customers choosing a preferred carrier 
freeze.   This would over-burden the manual process, resulting in a number of 
errors that would preclude  accurate local exchange carrier freezes.

5 In determining whether to grant the petition, the Commission considered a 
number of factors.  First,  competition is beginning for residential consumers 
in the local exchange market.  Since September  2000, Consumer Affairs has 
received over 150 complaints from consumers regarding local exchange  
competitors.  Approximately twenty of  the 150 complaints were from customers 
stating their local  exchange service was switched to another carrier without 
their authorization.   In addition, the   company has had sufficient time to 
develop the processes and technology necessary to implement the  preferred 
carrier freeze for local exchange service.  Fifteen months have elapsed since 
the date the  rules were adopted.  These considerations indicate that customers 
who wish to have a preferred  carrier freeze placed on local exchange service 
should be afforded that option, in accordance with  WAC 480-120-139(5)(c) 
through (e).  Accordingly, the Commission denies the request for waiver of  
subsections (5)(c) through (e) of WAC 480-120-139. 

6 However, the Commission understands Qwest’s concern about mass notification 
to customers that the  manual process exists, the burden this would place on 
the company, and the increased chance for  error that would accompany any 
action where a large number of customers would request a preferred  carrier 
freeze before an automated process is in place.  These considerations lead the 
Commission to  believe that Qwest should not be required to notify customers of 
their option to impose a preferred  carrier freeze as required in WAC 
480-120-139(5)(a) and (b) until no later than August 1, 2001.   Accordingly, 
the Commission grants the request for waiver of  subsections (5)(a) and (b) of 
WAC  480-120-139 until no later than August 1, 2001.  The Commission encourages 
Qwest to come back  to the Commission as soon as the system is in place to lift 
the waiver.

FINDINGS

THE COMMISSION FINDS: 

7 1.  Qwest Corporation is a public service company subject of the jurisdiction 
of this Commission  under the provisions of Chapter 80.36 RCW. 

8 2.  It appears, upon investigation, the request for waiver of Commission 
rules by Qwest Corporation  in WAC 480-120-139(5)(c) through (e), the 
requirement that a company offer a preferred carrier  freeze for local exchange 
service, is not reasonable nor consistent with the public interest and should  
therefore be denied.

9 3.  It further appears, upon investigation, the request for waiver of 
Commission rules by Qwest   Corporation in WAC 480-120-139(5)(a) and (b), 
notification to customers, is reasonable and   consistent with the public 
interest and should therefore be granted until no later than August 1, 2001.

ORDER

THE COMMISSION ORDERS: 

10 The petition of Qwest Corporation filed with the Commission requesting an 
extension of the waiver of  WAC 480-120-139(5) is denied in part and granted in 
part.  The Commission denies Qwest   Corporation's request for a waiver of WAC 
480-120-139(5)(c) through (e), and grants its request for  a waiver of WAC 
480-120-139(5)(a) and (b) until no later than August 1, 2001.

DATED at Olympia, Washington, and effective this 21st day of  March, 2001. 

WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION




    
     MARILYN SHOWALTER, Chairwoman 




     RICHARD HEMSTAD, Commissioner