DOCKET UT-970650 Page 1 BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION In the Matter of the Petition ) DOCKET UT-970650 of GTE Card Services Incorporated ) for an Order Granting ) FIRST SUPPLEMENTAL Amendment to Registration ) ORDER GRANTING AMENDMENT to Provide Local Exchange ) TO REGISTRATION AND Services and Authorizing ) AUTHORIZING THE Provision of Intraexchange ) PROVISION OF SWITCHED Telecommunications ) INTRAEXCHANGE Services. ) TELECOMMUNICATIONS ................................... ) SERVICES. On April 15, 1997, GTE Card Services Incorporated, d/b/a GTE Long Distance (GTE Long Distance) filed a petition to amend the company’s registration authority to provide facilities and resold local exchanges services. GTE Long Distance proposes to offer telecommunications services as a reseller of the services of other local exchange carriers, including the incumbents. GTE Long Distance will also use its own local exchange facilities, at a later date, thereby operating as both a reseller and facilities based provider of local exchange telecommunications services. GTE Long Distance intends to offer service to business and residential customers throughout Washington State. The services will be an adjunct to the services that GTE Long Distance currently provides. GTE Long Distance was registered as a telecommunications company in Docket UT-950698 on July 12, 1995, and authorized to provide intrastate interexchange telecommunications services to residential and business customers in Washington. GTE Long Distance, is headquartered in Irving, Texas and uses the network and facilities of its parent, GTE Corporation. GTE Information Services is one of three primary business groups of GTE Corporation. GTE Long Distance has a separate board of directors, separate officers and separate corporation headquarters from its affiliated entities. It maintains separate books of account and prepares financial statements that are cons olidated, along with those of the other GTE Corporation affiliates, into GTE Corporation’s consolidated financial statements. GTE Long Distance’s proposed tariff is satisfactory and will mirror Local Exchange Company calling. GTE Long Distance has provided the information necessary to demonstrate GTE Long Distance possesses adequate financial resources and technical competence to provide the proposed services. GTE Long Distance has voluntarily committed to collect and remit to appropriate administrative agencies relevant excise taxes in support of various social programs, including enhanced 911, telecommunications relay services, and lifeline. GTE Long Distance does not propose to collect advanced payments or deposits from customers. FINDINGS THE COMMISSION FINDS: 1. GTE Long Distance, is a public service company subject to the jurisdiction of this Commission under the provisions of chapter 80.36 R.C.W. 2. GTE Long Distance has provided sufficient information to show that it is financially and technically capable to provide the services proposed. 3. It appears, upon investigation, that the request for authority to amend the application for registration and provide intraexchange switched telecommunications services should be approved. 4. In this proceeding, the Commission in no way endorses the financial viability of applicant nor the investment quality of any securities it may issue. O R D E R THE COMMISSION ORDERS: 1. After the effective date of this order and subject to the conditions hereof, the petition of GTE Long Distance, filed with the Commission requesting authority to amend the application for registration and provide intraexchange telecommunications services is hereby granted and may provide services through individual contract or tariff with cost support until the competitive classification is amended to include local exchange services and final order granted. 2. This order shall in no way affect the authority of this Commission over rates, service, accounts, valuations, estimates or determination of costs, or any matters whatsoever that may come before it, nor shall anything herein be construed as an acquiescence in any estimate or determination of costs, or any valuation of property claimed or asserted. 3. The proposed tariff as filed and amended, is satisfactory. Prior to supplying local exchange services to the public as a telecommunications company, GTE Long Distance shall file and receive permission and approval for an initial tariff from the Commission identical to the amended tariff filed in the application. The tariff shall bear an effective date not less than 30 days subsequent to the date of receipt by the Commission. 4. GTE Long Distance, shall not collect advanced payments or deposits without first showing that it has a satisfactory arrangement to protect customer monies as stated in WAC 480-121-040. DATED at Olympia, Washington, and effective this 31st day of December 1997. WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION PAUL CURL, Acting Secretary