Agenda Date: January 27, 1999 Item Number: Docket: UT-980340 IntraLATA Presubscription Toll Dialing Parity Plan and Tariff Filing Staff: Sondra Walsh, Policy Research Specialist Recommendation: Approve U S WEST’s Toll Dialing Parity Plan and tariff filing in Docket UT-980340. Discussion: On October 26, 1998, U S WEST (company) filed a petition seeking approval of its IntraLATA Presubscription Implementation Plan (Plan). On November 2, 1998, the company filed its companion tariff. The plan and tariff are filed pursuant to The Telecommunications Act of 1996, and “Commission Order Granting Summary Determination; Ordering Implementation of 1+ Toll Dialing Parity.” The Plan At the Commission’s November 16, 1998, open meeting, the Commission approved, U S WEST’s dialing parity plan in part. The portions of the plan not approved by the Commission were the company’s proposed Business Practices and the Primary Interexchange Carrier (PIC) Freeze sections. Staff has worked with the company to write language that will define the company’s Business Practices and specifics for handling PIC freezes. The revised language is as follows: “If end user is uncertain U S WEST will read from a random list. Customer will be advised that U S WEST is a choice. U S WEST will market only to those customers who specifically request information about U S WEST intraLATA rates or services. End user will be asked for selection.” The revised language for the PIC Freeze section is as follows: “An end user with a PIC freeze may change their selection of an intraLATA carrier by contacting US WEST. If that contact is by e-mail or by letter a follow-up call by U S WEST will confirm that change.” The company has filed new pages to the plan with the revised language. AT&T has raised concerns with another part of the implementation plan the section called “Charge Application.” U S WEST proposed that the waived PIC charges be recovered via the issuance of a one time bulk bill to each participating carrier. This bill will represent the total number of lines changed. This bulk billing provision was approved in the November 16, 1998, order and staff continues to believe that this recovery is appropriate. Docket UT-980340 January 27, 1999 Page 2 The Tariff Staff has completed reviewing the tariff implementing 1+ Toll Dialing Parity. The total costs for implementing 1+ equal access in Washington are estimated to be $2,795,446. Costs include network reconfiguration, system and switch upgrades, right to use fees, and customer notification. The conversion costs will be recovered through a new rate element, the intraLATA Equal Access and Network Reconfiguration Charge of $.000812 per originating access minute. This rate element will be reviewed at the end of the first 12 month period and will be adjusted as necessary to ensure recovery of the costs. The rate is expected to be in place for three years. U S WEST will charge the end user a nonrecurring PIC change charge of $5.00 per line or trunk. This charge will be waived for the first 120 days of the initial subscription period. For an unauthorized PIC change the rate is $21.00. Recommendation Staff recommends the Commission approve U S WEST’s Toll Dialing Parity Plan and tariff filing in Docket UT-980340.