DOCKET UT-970553 Page 1

BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION


In the Matter of the Petition   )  DOCKET  UT-970553
of Covad Communications Company  )  
for an Order Granting    )  ORDER GRANTING 
Registration       )  REGISTRATION  
to Provide Local Exchange      )  AND AUTHORIZING 
Services and Authorizing    )  THE PROVISION OF  
Provision of Interexchange and Switched )  INTEREXCHANGE AND Intraexchange 
Telecommunications   )  SWITCHED INTRAEXCHANGE  
Services     )  TELECOMMUNICATIONS
........................................................................)  
SERVICES



  On March 27, 1997, Covad Communication Company filed an application request 
for registration to operate as a provider of long distance and local exchanges 
services. Covad Communications Company (Covad) proposes to offer 
telecommunications services as a reseller of the services of incumbent and 
other local exchange carriers, provision of interLATA, intraLATA, high speed 
private line, local exchange and switched access, and all other 
telecommunications services.  

  Covad will provide high speed data services in Washington and will provide 
the full range of local exchange, high speed private line, switched access and 
long distance services in the State of Washington.  Covad proposes to provide 
these services through a combination of its own facilities and facilities to be 
leased from a variety of existing carriers.  Covad seeks to register as a 
facilities based and resale carrier.  As a facilities based carrier, Covad 
intends to house equipment within the structure of the central offices of the 
ILECs and utilize unbundled elements of the ILECs and does not propose to 
undertake construction of new buildings, towers, conduits, poles or trenches.  

  Covad intends to expand its services incrementally, on a city by city basis 
within the service areas of U S WEST, GTE and other local exchange companies.  
Covad intends to commence services in the Seattle area.

  Covad Communications Company is a corporation organized under the laws of 
California and incorporated on October 7, 1996.  The Chairman of the Board of 
Directors, Mr. Duncan M. Davidson is located in Cupertino California, as are 
Covad President Charles J. McMinn and Vice President Mr. Dhruv Khanna..

  Covad’s proposed tariff as amended is satisfactory and will mirror Local 
Exchange Company calling.  Covad has provided the information necessary to 
demonstrate Covad possesses adequate financial resources and technical 
competence to provide the proposed 


services.  Covad 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.  Covad does not propose to collect advanced payments or deposits from 
customers.  


FINDINGS

  THE COMMISSION FINDS:

  1.  Covad Communications Company, is a public service company subject to the 
jurisdiction of this Commission under the provisions of chapter 80.36 RCW.

  2.  Covad Communications Company, 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 
register as a telecommunications company and provide Interexchange and 
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 application of Covad Communications Company, 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.

  3.  The proposed tariff as filed and amended, attached to the application, is 
satisfactory.  Prior to supplying service to the public as a long distance, 
local exchange carrier or provision of resold services of incumbent and other 
local exchange carriers, Covad Communications Company, shall file and receive 
permission and approval for an initial tariff 


with the Commission. The tariff shall bear an effective date not less than 30 
days subsequent to the date of receipt by the Commission.  

  4.  Covad Communications Company, 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  rd day of April, 1997.


  WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION




       STEVE McLELLAN, Secretary