PREPROPOSAL STATEMENT OF INQUIRY (RCW 34.05.310) CR-101 (7/10/97) Do NOT use for expedited repeal or adoption Agency: WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION Subject of possible rule making: Establishing a rule for rates for attachments to transmission facilities. Create a methodology for determination of just and reasonable attachment rates in the utility industry. Docket No. UT-970723. (a) Statutes authorizing the agency to adopt rules on this subject: RCW 80.54.060 and 80.01.040. (b) Reasons why rules on this subject may be needed and what they might accomplish: Competition in the state utility market has instigated the need to establish an efficient and effective methodology to create fair, consistent and effective rates for attachments to transmission facilities. The lack of a prescribed methodology creates uncertainty and unpredictability, resulting in recourse to Commission complaint procedures. This is burdensome to the Commission and to the affected companies, and an impediment to the development of competition. The lack of rules also creates uncertainty as to whether Washington regulates pole attachment rates sufficiently to preempt Federal Communications Commission regulation of the subject. The adoption of rules implementing Chapter 80.54 RCW will eliminate these problems. It also will comply with the Commission’s mandate under 80.54.060 to adopt rules, regulations and procedures relative to the implementation of Chapter 80.54. (c) Identify other federal and state agencies that regulate this subject and the process coordinating the rule with these agencies: The Commission is not aware of any other federal or state agency that regulates this subject in Washington State. The FCC regulates cable television attachments and will be adopting rules regulating all telecommunications attachments, but is preempted from regulating attachments when a state regulates them. The FCC has identified Washington as a state in which rates, terms and conditions of attachments are regulated at the state level. The Commission intention is to adopt the same methodology as established in the FCC rules. (d) Process for developing new rule (check all that apply): X Negotiated rule making 9 Pilot rule making 9 Agency study X Other (describe) Workshop type meetings with regulated utilities, interested parties and consumer representatives in which information and views are exchanged in an effort to reach consensus on the issues. (e) How interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication: (List names, addresses, telephone, fax numbers of persons to contact describe meetings, other exchanges of information, etc.) All utility companies and interested persons listed with the Commission Records Center will be notified of the proposed rule process. It is envisioned that there will be at least one meeting scheduled to discuss the proposed rulemaking with industry representatives in 1997. All persons filing comments will be notified of the dates of the meetings. After evaluating comments of interested persons, the Commission will determine whether additional public input is appropriate, and establish procedural requirements at that time. CODE REVISER USE ONLY NAME (TYPE OR PRINT) SIGNATURE TITLE DATE