DOCKET NO. UT-980312 PAGE 1 BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION In the Matter of the Request for Approval of Negotiated Agreement under the Telecommunications Act of 1996 Between COVAD COMMUNICATIONS COMPANY and U S WEST COMMUNICATIONS, INC. . . . . . . . . . . . . . . . . ) ) ) ) ) ) ) ) ) ) ) ) DOCKET NO. UT-980312 SECOND SUPPLEMENTAL ORDER APPROVING AMENDMENT TO AGREEMENT BACKGROUND This matter comes before the Washington Utilities and Transportation Commission (Commission) for approval of an amendment to a previously approved interconnection agreement (Agreement) under the Telecommunications Act of 1996 between Covad Communications Company (Covad) and U S WEST Communications, Inc. (U S WEST). On February 8, 1999, the parties filed a joint request for approval of the Second Amendment to Interconnection Agreement (Amendment). The parties executed the Amendment on January 15, 1999. On March 10, 1999, the Commission convened an open public meeting at its offices in Olympia, Washington, to consider the request for approval of the Amendment. At the open meeting, the Commission approved the Amendment. FINDINGS OF FACT 1. The Commission is an agency of the state of Washington vested by statute with the authority to regulate the rates, rules, regulations, practices, accounts, securities, and transfers of public service companies, including telecommunications companies. 2. Section 252(e)(1) of the Telecommunications Act of 1996 (Act), requires parties to fully negotiated agreements to submit the agreement to the Commission for approval. Section 252(e)(2)(A) states that the Commission may only reject an agreement (or any portion thereof) adopted by negotiation if it finds that: (i) the agreement (or any portion thereof) discriminates against a telecommunications carrier not a party to the agreement; or (ii) the implementation of such agreement or portion is not consistent with the public interest, convenience, and necessity. 3. The Commission retains jurisdiction over revisions, modifications, or amendments to agreements previously approved pursuant to Section 252(e) of the Act. 4. U S WEST is engaged in the business of furnishing telecommunications services, including, but not limited to, basic local exchange service within the state of Washington. 5. Covad is authorized to provide intrastate and local exchange telecommunications services in the state of Washington. 6. The parties filed a joint request for approval of the Second Amendment to Interconnection Agreement between Covad and U S WEST on February 8, 1999. 7. The parties voluntarily negotiated the entire Amendment. 8. The Amendment does not discriminate against any other telecommunications carrier. 9. The Amendment will facilitate local exchange competition in the state of Washington by enabling Covad to expand its presence in the local exchange market and increase customer choices for local exchange services. The provisions of the Amendment are consistent with the public interest, convenience, and necessity. CONCLUSIONS OF LAW 1. The Commission has jurisdiction over the subject matter of and all parties to this proceeding. 2. The Amendment is consistent with the public interest, convenience, and necessity. 3. The Amendment meets the criteria of Sections 251 and 252 of the Act, including Section 252(e). 4. The laws of Washington shall govern the construction and interpretation of the Amendment and Agreement. The Amendment and Agreement shall also be subject to the present and future decisions of the Commission and the Washington courts. ORDER The COMMISSION ORDERS: 1. The Second Amendment to Interconnection Agreement between Covad Communications Company, and U S WEST Communications, Inc., which the parties executed on January 15, 1999, is approved. 2. In the event that the parties further revise, modify or amend the Agreement previously approved, the revised, modified, or amended agreement shall be deemed to be a new negotiated agreement under the Telecommunications Act and shall be submitted to the Commission for approval, pursuant to 47 U.S.C. § 252(e)(1) and relevant provisions of state law, prior to taking effect. 3. The laws of Washington shall govern the construction and interpretation of the Amendment and Agreement. The Amendment and Agreement shall also be subject to the present and future decisions of the Commission and the Washington courts. DATED at Olympia, Washington, and effective this 10th day of March, 1999. WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION MARILYN SHOWALTER, Chairwoman RICHARD HEMSTAD, Commissioner WILLIAM R. GILLIS, Commissioner