Item: 4A Date: September 9, 1998 Docket: UT-981165 Company: US WEST Communications, Inc. Staff: Vicki Elliott, Consumer Affairs Manager Roger Kouchi, Consumer Program Specialist Glenn Blackmon, Assistant Director-Telecommunications Recommendation Issue an Order Instituting Investigation of US West Communications, Inc. to determine whether the company violated various service quality, consumer protection, and notice requirements imposed on the company by Commission order and/or rule and to determine whether penalties should be assessed. Discussion Last month US West employees represented by the Communications Workers of America went on strike after the two sides were unable to negotiate a new labor contract. Company managers handled customer service, repair, and installation duties during the strike. The union and management reached a tentative agreement on August 30, and union workers began returning to their jobs on September 1. The Commission took no position on any of the issues being negotiated by the union and the company. The Commission was never asked to relax or waive any service quality standards or consumer protections, and it never did so. US West is required to provide good service to its customers and to compensate customers when it fails to do so. It also is required to notify customers of certain programs. The consumer protection and service quality standards at issue are listed in Appendix A. The Commission has received hundreds of complaints from US West customers during the strike and afterwards. As of September 4, the number of such complaints was approximately 500. Customers generally were complaining about delays in installing new service or in getting existing lines restored to working order. In addition, many customers reported that US West was not offering the required service protections, such as interim wireless service or the $50 credit for missed commitments. Staff worked closely with US West during the strike in an attempt to ensure that customers received the protections ordered by the Commission. The company repeatedly assured Staff that the interim service and the missed commitment credits would be offered. The company said it was doing this despite the fact that it believed that it was not required to do so during a strike. Staff encouraged the company to seek a clarification of the requirements if it believed they did not apply during the strike, and US West declined to seek such a ruling. The company also rebuffed Staff’s suggestions that the company publicly state that the service guarantee provisions were being honored despite the strike. Docket UT-981165 September 9, 1998 Page 1 While the issue of notice to customers became prominent during the strike, it is not a new concern for Staff. Earlier this year Staff asked the Commission to clarify US West’s obligation to provide notice of these programs. The Commission ordered US West not only to provide the interim service and the credit for missed appointments, but also to “announce both programs’ availability to customers at the time a service order is placed, including how to get in touch with the Company if customers become eligible.” [Docket UT-970766, 12th Supplemental Order, page 2] In ordering this oral notification, the Commission also said that, In the event that the Commission’s consumer affairs staff identifies a trend toward a failure of adequate notification to customers of the availability of this program, the Commission will order the Company to implement a requirement of automatic written confirmation of each order and the availability of the customer guarantee and missed appointment credit. [Docket UT-970766, 12th Supplemental Order, page 2] Staff recommends that the investigation include the issue of whether “a trend toward a failure of adequate notification” exists. Based on the results of this investigation, the Commission may decide that additional notice requirements, such as written confirmation of all orders, should be imposed. If the Commission determines that US West has violated the requirements listed above, including the requirement to notify customers of the availability of customer protection programs, it may assess penalties. The penalty for violation of these requirements is up to $1,000 per occurrence, with each day of a continuing violation considered a separate occurrence. Conclusion Based on the level and nature of complaints during the recent strike, Staff believes that the Commission should investigate whether US West has complied with its service quality, consumer protection, and notice obligations. Based on the results of this investigation, the Commission will be able to determine whether further action, including penalties and additional notice requirements, is warranted. Appendix A - Service Quality and Consumer Protection Requirements •Interim service for primary lines not installed within five days. US West was ordered in Docket UT-950200 to offer customers alternative service options if an order for a primary line could not be filled within 30 days. In Docket UT-970766 the Commission ordered that the interval before interim service was required be reduced from 30 days to five days. Customers are to be offered a choice of: (1) wireless telephone service paid for by US West, (2) a credit of up to $100 per month for wireless, (3) voice mail service, or (4) paging service. In addition, the company must waive installation charges and, except for those who choose option 1 above, credit customers for the first month’s basic local service charge. •Service credit of $50 for missed appointments or missed commitments. The Commission ordered in Docket UT-970766 that US West give a $50 credit if it failed to keep an appointment with a customer or if it failed to complete a service order by the promised date. •Restoration of service within 48 hours after it is reported. WAC 480-120-520 requires that all local exchange companies, including US West, restore service within 48 hours after the customer reports an interruption, “except interruptions caused by emergency situations, unavoidable catastrophes, and force majeure.” •Network maintenance. WAC 480-120-525 requires that all local exchange companies, including US West, answer 80% of all repair calls within 30 seconds and establishes a maximum allowable number of “trouble reports” per hundred access lines in each exchange. •Timely installation of orders for primary service. WAC 480-120-051 requires that all local exchange companies, including US West, complete 90% of orders for new, primary service within 30 days and 99% of such orders within 90 days. US West also is subject to the network performance standards in WAC 480-120-515. The rule states that these standards do not apply during certain events, including “work stoppage.” Therefore, Staff is not recommending that the Commission investigate US West’s compliance with that particular rule. The other service standards listed here do not include a waiver for labor-related reasons.