BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION In the Matter of the Petition ) DOCKET NO. UT-970293 of U.S. Long Distance, Inc., ) for an Order Granting ) ORDER GRANTING AMENDMENT Amendment to Registration ) TO REGISTRATION to Provide Local Exchange ) APPLICATION AND Services and Authorizing ) AUTHORIZING THE Provision of Intraexchange ) PROVISION OF INTRAEXCHANGE Telecommunications ) TELECOMMUNICATIONS Services. ) SERVICES. U.S. Long Distance, Inc., filed a petition to amend the company’s registration authority on February 26, 1997 to operate as a reseller of other local exchange carriers services and as a facilities based provider of local exchanges services. U.S. Long Distance, Inc., (USLD) is presently registered as a telecommunications company authorized to provide intraexchange telecommunications services to residential and business customers in Washington. USLD was registered in Docket No. UT-893222 on February 2, 1990. USLD proposes to immediately offer telecommunications services as a reseller of the services of other local exchange carriers, including the incumbents. USLD will install its own local exchange facilities at a later date, thereby operating as both a reseller and facilities based provider of local exchange telecommunications services. USLD intends to offer service to business, residence, and public phone aggregator customers throughout the state. The services proposed by USLD will be an adjunct to the intrastate interexchange services that USLD currently provides statewide. USLD will commence offering service upon the establishment of the appropriate and necessary resale arrangements with the incumbent local exchange companies. USLD was registered as a telecommunications company in Docket UT-893222 on February 2, 1990 authorized to provide intrastate interexchange and alternative operator telecommunications services to residential and business customers in Washington. U.S. Long Distance, Inc., is headquartered in San Antonio, Texas and was organized under the laws of Texas in 1986. USLD is a full service telecommunications company that operates digital switching systems in Washington, California, Texas and Georgia. USLD has local authority to operate as a local exchange company in Texas, Oklahoma, California and Kansas. USLD is a wholly owned subsidiary of U.S. Long Distance Corporation, a publicly held company with headquarters in Texas. President and CEO of U.S. Long Distance, Inc., is Mr. Larry M. James of San Antonio, Texas. Docket UT-970293 Page 2 USLD’s proposed tariff is satisfactory and will mirror Local Exchange Company calling. USLD has provided the information necessary to demonstrate the company possesses adequate financial resources and technical competence to provide the proposed services. USLD 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. USLD does not propose to collect advanced payments or deposits from customers. FINDINGS THE COMMISSION FINDS: 1. U.S. Long Distance, Inc., is a public service company subject to the jurisdiction of this Commission under the provisions of chapter 80.36 RCW. 2. U.S. Long Distance, Inc., 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 U.S. Long Distance, Inc., filed with the Commission requesting authority to amend the application for registration and provide intraexchange telecommunications services is hereby 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. Docket UT-970293 Page 3 3. Prior to supplying service to the public as a provider of resold and/or switched based local exchange telecommunications services, U.S. Long Distance, Inc., shall file and receive permission and approval from The Commission for an initial tariff. The tariff shall bear an effective date not less than 30 days subsequent to the date of receipt by the Commission. 4. U.S. Long Distance Inc., 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 th day of May, 1997. WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION STEVE McLELLAN, Secretary