Q. PLEASE STATE YOUR NAME AND BUSINESS ADDRESS?
A.  My name is Theresa Jensen and my business address is U S WEST 
Communications, Inc. (U S WEST or Company) 1600 7th Avenue, Room 3011, Seattle, 
Washington 98191.

Q. BY WHOM ARE YOU EMPLOYED AND IN WHAT CAPACITY?
A.  I am employed by U S WEST Communications, Inc. as the Director of 
 Regulatory Affairs for the State of Washington.

Q. HOW LONG HAVE YOU BEEN EMPLOYED BY U S WEST 
 COMMUNICATIONS, INC. OR ITS PREDECESSORS? 
A.  I have been employed by U S WEST Communications, Inc. or its 
 predecessors since 1972 and in my current assignment since 1991. 

Q. HAVE YOU PROVIDED OTHER TESTIMONY IN THIS DOCKET?
A. Yes. I filed direct testimony on August 29, 1997.

Q. WHAT IS THE PURPOSE OF YOUR SUPPLEMENTAL TESTIMONY?
A.    The purpose of my supplemental testimony is to introduce U S WEST’s 
proposal for recovery of  the increased revenue requirement resulting from only 
the increased depreciation expense authorized in Docket No. UT-951425, issued 
August 15, 1997.  The increased revenue requirement associated with the accrual 
approved in Docket No. UT-951425 is $36,789,758.  
Q. WHY IS U S WEST FILING THIS SUPPLEMENTAL TESTIMONY?
A.  At the September 17, 1997 pre-hearing conference the Company was 
directed to file supplemental testimony to address a rate design or rate spread 
consideration for the increased depreciation expense portion of the $70.3 
million increased revenue requirement.

Q. IS THE $36.8 MILLION INCLUDED IN THE $70.3 MILLION 
 INCREASED REVENUE REQUIREMENT?
A. Yes it is.

Q. WHAT IS THE COMPANY’S PROPOSAL FOR RECOVERY OF THE 
 INCREASED DEPRECIATION EXPENSE?
A.  The Company proposes that the $36.8 million increased revenue 
requirement associated with the increased depreciation expense be recovered 
through an increase to residential basic exchange service rates.   The Company 
proposes an increase of $2.00 per month for each residence flat rate basic 
exchange service.  This proposal would increase the current rate of $10.50 per 
month to $12.50 per month.

Q. WHY DOES THE COMPANY PROPOSAL ONLY ADDRESS 
 RESIDENCE RATES?
A.  The Company’s proposal is this proceeding includes increases to business 
 and residence basic exchange service rates to recover the $70.3 million 
increased 
revenue requirement.  This testimony is in response to the provision in the 
stipulated agreement approved in Docket No. UT-951425,  which recognized 
U S WEST’s right to file tariff changes reflecting the increased revenue 
requirement resulting from the increased depreciation expense if the informal 
audit is delayed beyond December 31,1997.  U S WEST requests that the increase 
associated with this requirement be recovered from residence basic exchange 
service.  However, U S WEST hopes the Commission will keep to the current 
schedule in this proceeding and that U S WEST will thus not be required to 
implement rate increases associated with the $70.3 million in two phases.

Q. WHY WOULD TWO PHASES BE NECESSARY?
A.  Rate increases would be implemented in two phases if the Commission 
sets rates this year to recover the increased depreciation expense and then 
later next year, to allow recovery of the balance of the increased revenue 
requirement.

Q. WOULD THERE BE AN ALTERNATIVE TO IMPLEMENTING THE 
 RATE INCREASE IN TWO PHASES?
A.  Yes.  An alternative would be interim rates based on the staff audit result 
 of an increased revenue requirement of $70.3 million.   

Q. DOES THIS CONCLUDE YOUR SUPPLEMENTAL TESTIMONY?
A. Yes it does.