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\f1 \fs20 PRINT DOC REQUESTED: MAY 4, 1998 100E67\par 1 DOCUMENT PRINTED\par 74 PRINTED PAGES\par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par \par SEND TO: WILLIAMS, KALE\par CALIFORNIA PUBLIC UTILITIES COMM.\par LEGAL DIVISION\par 505 VAN NESS AVENUE, ROOM 2204\par SAN FRANCISCO CALIFORNIA 94102-3298\par \par \par \par **********************************03513********************************** \par \pard
\page DATE: MAY 4, 1998\par \par CLIENT: CPUC\par LIBRARY: STATES\par FILE: CAPUC\par \par \par YOUR SEARCH REQUEST IS:\par DECISION NO. 95-12-056\par \par NUMBER OF DECISIONS FOUND WITH YOUR REQUEST THROUGH:\par LEVEL 1... 2 \f1 \par \page \f0 \fs20 \li000\ri000 \pard
\qc Order Instituting Rulemaking on the Commission's Own Motion\par \qc Into Competition for Local Exchange Service; Order\par \qc Instituting Investigation on the Commission's Own Motion\par \qc into Competition for Local Exchange Service\par \par \pard
\qc Decision No. 95-12-056, Rulemaking No. 95-04-043 (Filed\par \qc April 26, 1995), Investigation No. 95-04-044 (Filed April\par \qc 26, 1995)\par \par \pard
\qc California Public Utilities Commission\par \par \pard
\qc 1995 Cal. PUC LEXIS 966; 63 CPUC2d 700\par \par \pard
\qc December 20, 1995\par \par \pard
PANEL: \'5B*1\'5D \par\par Daniel Wm. Fessler, President; P. Gregory Conlon, Jessie J. Knight, Jr., Henry M. Duque, Josiah L. Neeper, Commissioners \par\par\pard
INTERIM OPINION \par\par I. Introduction and Scope \par\par By this decision, we continue the implementation of competition in all California telecommunications markets with the adoption of further interim rules governing local exchange competition within the market territories of Pacific Bell (Pacific) and GTE California (GTEC). The interim rules adopted in this decision cover the issues designated as Phase I of this proceeding and supplement the initial rules for local exchange competition adopted in July 1995 in Decision (D.) 95-07-054. \par\par The rules we adopt today will enable certificated competitive local carriers (CLCs) to enter into interconnection arrangements for local exchange service effective January 1, 1996. The Phase I rules addressed in this decision relate principally to interconnection and related features required by facilities-based CLCs, and to certain other entry-related issues. In a companion decision being issued today in this docket, an initial batch of CLC Petitions for authority to offer competitive local exchange service within the service \'5B*2\'5D territories of Pacific and GTEC are being approved to become effective January 1, 1996. Those certificated CLCs shall be subject to the adopted rules specified in this order. We expect to issue a decision in early February 1996 adopting initial rates for interim number portability (INP). n1 We intend to adopt further rules governing local exchange competition by March 1, 1996, the date we have established for initiating resale competition. \par\par n1 By unanimous assent among the active parties, the ALJ adjusted the scheduling of hearings on INP pricing issues consolidating them into a single phase for a decision on INP pricing scheduled for early 1996. \par\par The rules allow for subsequent revision, if warranted, in response to changing market conditions or additional experience with their application. Accordingly, we stress that the rules we adopt are interim in nature and will serve to initiate the opening of the local exchange market to competition. We will entertain subsequent modifications if it becomes apparent that the rules are not working as intended or fail to achieve our stated goals. \par\par In this decision, we provide LECs and CLCs with guidance on the content of interconnection agreements, \'5B*3\'5D establish an expedited approval process, and design a streamlined dispute resolution process. These three steps address concerns of both the LECs and CLCs that interconnection agreements may be difficult to establish and that the negotiating power of the parties to the contract may not be even. Our stated goal of promoting economically efficient, timely and fairly balanced interconnection between CLCs and LECs leads us to adopt preferred outcomes that we strongly encourage parties to consider in their own negotiations. While we will entertain contracts that deviate from the preferred outcomes, parties will bear the burden of proving the deviations lead to more economic and/or efficient outcomes and are in the public interest. The expedited review process balances our need to reject contracts that are not in the public interest with our goal of not impeding competition. The review process is only available for interconnection at this time, as described below. As the Commission resolves policy and factual disputes regarding other services CLCs may need to promote local competition, we may allow those services to be submitted for review under the expedited process. Finally, the dispute \'5B*4\'5D resolution process we adopt today will provide all parties to a contract with an expeditious forum to address their concerns before and after a contract is signed. This process should allow the parties to receive maximum guidance from the Commission without jeopardizing their due process rights. \par\par II. Procedural Background \par\par In our November 1993 report entitled Enhancing California's Competitive Strength: A Strategy for Telecommunications Infrastructure (Infrastructure Report), w
Category Issue Preferred Outcomes\par Technical Point of Intercon- Parties should compensate\par nection\par Provisions\par each other for use of each\par others networks *\par Single, mutually agreed upon\par POI\par Maintenance plans with clear\par responsibilities and cost\par sharing\par One-Way versus Two-Way Two-way trunks\par Trunks\par Carriers should exchange\par percentage local usage\par (PLUs) quarterly. Carriers\par may request audits of PLUs\par Interconnect at each access\par tandem in a LATA\par Signalling Protocol SS7 is the standard. MF\par signalling allowed for end-\par offices without SS7\par capability\par Bill and Keep Bill and keep includes EAS\par Applicability\par and Zum Zone 3. 800\par number, busy line\par verification, busy line\par interrupt and directory\par assistance are not subject to\par bill and keep *\par Non-Technical Confidential Symmetrical rights and\par Information\par Provisions obligations\par Liability Symmetrical liability for\par LECs and CLCs\par Termination No unilateral power. Must\par provide notice and\par opportunity to dispute\par * Note: The Commission has established an interim\par policy of bill and keep for call termination rates.\par________________________________________________________________________________\par\par
\f0 \'5B*157\'5D \par\par APPENDIX B \f1 \par________________________________________________________________________________\par\par
List of Acronyms\par ALI - Automatic Location Identification\par ALJ - Administrative Law Judge\par AVRU - Automated Voice Response Unit\par CACD - Commission Advisory and Compliance Division\par CCSN - Customer Contact Services Node\par CESAR - Carrier Enhanced System for Access Requests\par CLCs - Competitive Local Carriers\par Coalition - The California Telecommunications Coalition\par CPUC - California Public Utilities Commission\par D. - Decision\par DGS - Department of General Services\par DRA - Division of Ratepayer Advocates\par DRP - Dispute Resolution Procedure\par EAS - Extended Area Service\par FEA - Federal Executive Agencies\par FGD - Feature Group D\par GTEC - GTE of California\par GO - General Order\par IIHSOs - Intercompany Interconnection Held Service Orders\par IISO - Intercompany Interconnection Service Order\par INP - Interim Number Portability\par LATA - Local Access and Transport Area\par LECs - Local Exchange Carriers\par LISA - Local Interconnection Serving Arrangement\par MFS - Metropolitan Fiber Systems\par MSAG - Master Street Address Guide\par OP - Ordering Paragraph\par ORP - Originating Responsibility Plan\par Pacific - Pacific Bell\par PLU - Percentage Local Usage\par POIs - Points of Interconnections\par PSAP - Public Safety Answering Point\par PU - Public Utilities\par RCF - Remote Call Forwarding\par RCFed - Remote Call Forwarded\par TCI - Telephone Company Identification\par TN-ESN - Telephone Number to Emergency Service Number\par TURN - Toward Utility Rate Normalization\par UCAN - Utility Consumers Action Network\par________________________________________________________________________________\par\par
\f0 \'5B*158\'5D \par\par APPENDIX C \par\par Initial Rules for Local Exchange Service Competition in California \par \par \'5BNote: Items in Boldface type are amendments to the rules issued in D.95-07-054, Appendix A.\'5D \par \par 1. PUBLIC POLICY PRINCIPLES AND OBJECTIVES \par\par A. It is the policy of the California Public Utilities Commission (Commission) that competition in the provision of local exchange telecommunications services is in the public interest. \par\par B. It is the policy of the Commission that, in an environment of competition for local exchange telecommunications services, telecommunications users shall receive ongoing disclosure of the rates, terms and conditions of service from telecommunications providers and shall benefit from a clear and comprehensive set of consumer protection rules. \par\par C. It is the policy of the Commission that interconnection of the networks of Competitive Local Carriers (CLCs) and Local Exchange Carriers (LECs) should be accomplished in a technically and economically efficient manner. \par\par D. It is the policy of the Commission that all telecommunications providers shall be subject to appropriate regulation designed to safeguard against anticompetitive conduct. \par\par E. It is the policy of the \'5B*159\'5D Commission that service provider local number portability should be accomplished. \par\par F. It is the policy of the Commission that networks of dominant providers of local exchange telecommunications services should be unbundled in such a manner that a carrier is provided access to essential facilities on a nondiscriminatory standalone basis. \par\par G. It is the policy of the Commission that customer privacy rights and concerns be protected in an environment of local exchange competition. \par\par H. It is the policy of the Commission to ensure that local exchange competition does not degrade the reliability of the telecommunications network. \par\par I. It is the policy of the Commission to encourage intercarrier coordination and cooperation. \par\par J. It is the policy of the Commission to monitor, on a periodic basis, the market conditions of the local exchange telecommunications market and reevaluate its policies on local exchange competition accordingly. \par\par K. It is the policy of this Commission that Commission- approved tariffs for call termination should reflect costs. \par \par 2. SCOPE OF RULES \par\par These interim rules apply to the provision of local exchange telecommunications services by CLCs, and where applicable, \'5B*160\'5D LECs. LEC as used in these rules refers to only Pacific Bell and GTE California, until further action by the Commission. \par \par 3. DEFINITIONS \par\par A. CLC means a common carrier that is issued a Certificate of Public Convenience and Necessity effective on or after January 1, 1996, to provide local exchange telecommunications service for a geographic area specified by such carrier. \par\par B. LEC means any incumbent carrier listed in Appendix C attached hereto. \par\par C. Minor rate increases are those which are both less than 1% of the CLC's total California intrastate revenues and less than 5% of the affected service's rates. Increases shall be cumulative, such that if the sum of the proposed rate increase and rate increases that took effect during the preceding 12-month period for any service exceeds either parameter above, then the filing shall be treated as a major increase. \par\par D. Major rate increases are increases which are greater than the increases described above. \par\par E. Network component means a functional capability of a network, disaggregated from other network capabilities and made available to other carriers and end users separately from all other network capabilities. \par\par F. Nondominant interexchange \'5B*161\'5D carrier (NDIEC) means an interexchange carrier that is considered nondominant under the Commission's decisions. \par\par G. NXX Rating Point means the e
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