Agenda date:  April 9, 1997
Item No:

Docket:  UT 970546
   Policy Statement temporarily suspending action on new requests for EAS under 
the Commission’s 1989 rules, but allowing for continued consideration of 
expanded local calling in hardship situations, and of innovative optional 
interexchange calling plans.

Staff:   Bethany Weidner, Policy Advisor
   Glenn Blackmon, Assistant Director, Telecommunications


Recommendation:   
Adopt the policy statement temporarily suspending action on new requests for 
EAS under the Commission’s 1989 rules while the Commission considers revisions 
to the rule.  The policy statement provides for continuing consideration of 
expanded local calling in hardship situations and of innovative proposals to 
offer optional interexchange calling plans at reduced rates.

Discussion:  

Existing rules that govern the expansion of local calling areas were based on a 
statewide standard that focussed on the “local calling capability” for each 
exchange.  The process for achieving the standard was to create “extended area 
service” (EAS) routes between two or more exchanges.  Implementation of the 
existing rule greatly reduced disparities in the scope and price of local 
service across the state.

However, new rules appear to be needed because there were difficulties in 
applying the rule in certain situations that were clearly within its intent; 
and because the existing rule does not address the diversity of interest in 
interexchange calling at rates less than toll.

We believe that revisions to the rules are likely to benefit people by allowing 
more flexible options better tailored to meet different types of calling 
patterns.  A temporary suspension of consideration of EAS that requires a fee 
to be charged to all subscribers (regardless of calling patterns) will help 
ensure that the maximum benefit is derived from anticipated changes to the rule.

We do not anticipate that subscribers in any exchange will be disadvantaged by 
the temporary suspension.  The policy makes clear that the Commission will 
continue to consider expansions needed to remedy exchange-wide problems that 
cause hardships to the majority of subscribers in an exchange.  It will also 
consider innovative proposals for optional interexchange calling plans 
consistent with open access and interconnection pricing requirements.