§  69.152   End user common line for price cap local exchange carriers.

   (a) A charge that is expressed in dollars and cents per line per month
   shall be assessed upon end users that subscribe to local exchange
   telephone service or Centrex service to the extent they do not pay
   carrier common line charges. A charge that is expressed in dollars and
   cents per line per month shall be assessed upon providers of public
   telephones. Such charge shall be assessed for each line between the
   premises of an end user, or public telephone location, and a Class 5
   office that is or may be used for local exchange service transmissions.

   (b) [Reserved]

   (c) The charge for each subscriber line associated with a public
   telephone shall be equal to the monthly charge computed in accordance
   with paragraph (k) of this section.

   (d)(1) Beginning July 1, 2000, in a study area that does not have
   deaveraged End User Common Line Charges, the maximum monthly charge for
   each primary residential or single-line business local exchange service
   subscriber line shall be the lesser of:

   (i) The Average Price Cap CMT Revenue per Line month as defined in
   §  61.3(d) of this chapter; or

   (ii) The following:

   (A) On July 1, 2000, $4.35.

   (B) On July 1, 2001, $5.00.

   (C) On July 1, 2002, $6.00.

   (D) On July 1, 2003, $6.50.

   (2) In the event that GDP-PI exceeds 6.5% or is less than 0%, the
   maximum monthly charge in paragraph (d)(1)(ii) of this section and the
   cap will be adjusted pursuant to §  61.45(b)(1)(iii) of this chapter.

   (e)(1) Beginning July 1, 2000, in a study area that does not have
   deaveraged End User Common Line Charges, the maximum monthly charge for
   each non-primary residential local exchange service subscriber line
   shall be the lesser of:

   (i) $7.00; or

   (ii) The greater of:

   (A) The rate as of June 30, 2000 less reductions needed to ensure over
   recovery of CMT Revenues does not occur; or

   (B) The Average Price Cap CMT Revenue per Line month as defined in
   §  61.3(d) of this chapter.

   (2) In the event that GDP-PI is greater than 6.5% or is less than 0%,
   the maximum monthly charge in paragraph (e)(1)(i) of this section and
   the cap will be adjusted pursuant to §  61.45(b)(1)(iii) of this
   chapter.

   (3) Where the local exchange carrier provides a residential line to
   another carrier so that the other carrier may resell that residential
   line to a residence that already receives a primary residential line,
   the local exchange carrier may collect the non-primary residential
   charge described in paragraph (e) of this section from the other
   carrier.

   (f) The charge for each primary residential local exchange service
   subscriber line shall be the same as the charge for each single-line
   business local exchange service subscriber line.

   (g) A line shall be deemed to be a residential subscriber line if the
   subscriber pays a rate for such line that is described as a residential
   rate in the local exchange service tariff.

   (h) Effective July 1, 1999, only one of the residential subscriber
   lines a price cap local exchange carrier provides to a location shall
   be deemed to be a primary residential line.

   (1) Effective July 1, 1999, for purposes of §  69.152(h) of this
   chapter, “residential subscriber line” includes residential lines that
   a price cap local exchange carrier provides to a competitive local
   exchange carrier that resells the line and on which the price cap local
   exchange carrier may assess access charges.

   (2) Effective July 1, 1999, if a customer subscribes to residential
   lines from a price cap local exchange carrier and at least one reseller
   of the price cap local exchange carrier's lines, the line sold by the
   price cap local exchange carrier shall be the primary line, except that
   if a resold price cap LEC line is already the primary line, the resold
   line will remain the primary line should a price cap local exchange
   carrier subsequently sell an additional line to that residence.

   (i) A line shall be deemed to be a single-line business subscriber line
   if the subscriber pays a rate that is not described as a residential
   rate in the local exchange service tariff and does not obtain more than
   one such line from a particular telephone company.

   (j) No charge shall be assessed for any WATS access line.

   (k)(1) Beginning on July 1, 2000, for any study area that does not have
   deaveraged End User Common Line charges and in the absence of voluntary
   reductions, the maximum monthly End User Common Line Charge for
   multi-line business lines will be the lesser of:

   (i) $9.20; or

   (ii) The greater of:

   (A) The rate as of June 30, 2000, less reductions needed to ensure over
   recovery of CMT Revenues does not occur; or

   (B) The Average Price Cap CMT Revenue per Line month as defined in
   §  61.3(d) of this chapter.

   Note to paragraph ( k )(1): Except when the local exchange carrier
   reduces the rate through voluntary reductions, the multi-line business
   End User Common Line charge will be frozen until the study area's
   multi-line business PICC and CCL charge are eliminated.

   (2) In the event that GDP-PI is greater than 6.5% or is less than 0%,
   the maximum monthly charge in paragraph (k)(1)(i) of this section and
   the cap will be adjusted pursuant to §  61.45(b)(1)(iii) of this
   chapter.

   (l)(1) Beginning January 1, 1998, local exchange carrier shall assess
   no more than one End User Common Line charge as calculated under the
   applicable method under paragraph (e) of this section for Basic Rate
   Interface integrated services digital network (ISDN) service.

   (2) Local exchange carriers shall assess no more than five End User
   Common Line charges as calculated under paragraph (k) of this section
   for Primary Rate Interface ISDN service.

   (m) In the event the local exchange carrier charges less than the
   maximum End User Common Line charge for any subscriber lines, the local
   exchange carrier may not recover the difference between the amount
   collected and the maximum from carrier common line charges or PICCs.

   (n)-(p) [Reserved]

   (q) End User Common Line Charge De-Averaging. Beginning on July 1,
   2000, local exchange carriers may geographically deaverage End User
   Common Line charges subject to the following conditions:

   (1) In order for a price cap local exchange carrier to be allowed to
   de-average End User Common Line charges within a study area, the price
   cap local exchange carrier must have state Commission approved
   geographically deaveraged rates for UNE loops within that study area.
   Except where a LEC geographically deaverages through voluntary
   reductions, before a price cap local exchange carrier may
   geographically deaverage its End User Common Line rates, its
   Originating and Terminating CCL and Multi-line Business PICC rates in
   that study area must equal $0.00.

   (2) All geographic deaveraging of End User Common Line charges by
   customer class within a study area must be according to the state
   commission-approved UNE loop zone. Solely for the purposes of
   determining interstate subscriber line charges and the interstate
   access universal service support described in § §  54.806 and 54.807 of
   this chapter, a price cap local exchange carrier may not have more than
   four geographic End User Common Line Charge/Universal Service zones
   absent a review by the Commission. Where a price cap local exchange
   carrier has more than four state-created UNE zones and the Commission
   has not approved use of additional zones, the price cap local exchange
   carrier will determine, at its discretion, which state-created UNE
   zones to consolidate so that it has no more than four zones for the
   purpose of determining interstate subscriber line charges and
   interstate access universal service support.

   (3) Within a given zone, Multi-line Business End User Common Line rates
   cannot fall below Primary Residential and Single-Line Business or
   Non-Primary Residential End User Common Line charges. Non-Primary End
   User Common Line charges cannot fall below Primary Residential and
   Single-Line Business charges.

   (4) For any given class of customer in any given zone, the Zone
   deaveraged End User Common Line Charge in that zone must be greater
   than or equal to the Zone deaveraged End User Common Line charge in the
   zone with the next lower Zone Average Revenue Per Line.

   (5) The sum of all revenues per month that would be generated from all
   deaveraged End User Common Line charges in all zones within a study
   area plus Interstate Access Universal Service Support per Line month
   (as defined in §  54.807 of this chapter) for the applicable customer
   classes and zones receiving such support multiplied by corresponding
   base period lines, divided by the number of base period lines in that
   study area cannot exceed Average Price Cap CMT Revenue per Line month
   as defined in §  61.3(d) of this chapter for that study area. In
   addition, the sum of revenues per month that would be generated from
   all deaveraged End User Common Line charges in all End User Common Line
   charge deaveraging zones within a study area plus revenues per month
   from all End User Common Line charge, multi-line business PICC and CCL
   charges from study areas within that study area that have not
   geographically deaveraged End User Common Line charges plus the sum of
   all Interstate Access Universal Service Support per Line month (as
   defined in §  54.807 of this chapter) for the applicable customer
   classes and zones receiving such support, multiplied by the
   corresponding base period lines for the applicable customer classes and
   zones within the study area, divided by the number of total base period
   lines in the study area cannot exceed Average Price Cap CMT Revenue per
   Line month as defined in §  61.3(d) of this chapter for the study area.

   (6) Maximum charge. The maximum zone deaveraged End User Common Line
   Charge that may be charged in any zone is the applicable cap specified
   in §  69.152(d)(1), §  69.152(e)(1)(i) or §  69.152 (k)(1)(i) Zone Average
   Revenue Per Line is the Average Price Cap CMT Revenue per Line month
   allocated to a particular state-defined zone used for deaveraging of
   UNE loop prices. The zone average revenue per line is computed pursuant
   to §  61.3 (zz) of this chapter.

   (7) Minimum charge. Except where a local exchange carrier chooses to
   lower the deaveraged End User Common Line charge through voluntary
   reductions, the minimum zone deaveraged End User Common Line charge in
   any zone in a study area is at least the Minimum End User Common Line
   charge. Minimum End User Common Line charge is Zone Average Revenue Per
   Line for the zone with the lowest Zone Average Revenue Per Line in that
   study area plus an amount per line calculated to recover the difference
   between Interstate Access Universal Service Support Per Line (as
   defined in §  54.807 of this chapter) multiplied by base period lines
   for the applicable customer class and zones receiving such support and
   Study Area Above Benchmark Revenues, first from Zone 1 until the End
   User Common Line charges in Zone 1 equal the End User Common Line
   charges in Zone 2, and then from lines in Zones 1 and 2 equally until
   the End User Common Line charges in those Zones reach Zone 3 (with all
   End User Common Line charges subject to the applicable residential and
   multi-line business lines nominal caps).

   (i) For the purposes of this part, “Study Area Above Benchmark
   Revenues” is the sum of all Zone Above Benchmark Revenues.

   (ii) For the purposes of this part, “Zone Above Benchmark Revenues” is
   calculated as follows:

   Zone Above Benchmark Revenues is the sum of Zone Above Benchmark
   Revenues for Residential and Single-line Business lines and Zone Above
   Benchmark Revenues for Multi-line Business lines. Zone Above Benchmark
   Revenues for Residential and Single-line Business lines is, within each
   zone, (Zone Average Revenue Per Line minus $7.00) multiplied by all
   eligible telecommunications carrier Base Period Residential and
   Single-line Business lines times 12. If negative, the Zone Above
   Benchmark Revenues for Residential and Single-line Business lines for
   the zone is zero. Zone Above Benchmark Revenues for Multi-line Business
   lines is, within each zone,

   (Zone Average Revenue Per Line minus $9.20) multiplied by all eligible
   telecommunications carrier zone Base Period Multi-line Business lines
   times 12. If negative, the Zone Above Benchmark Revenues for Multi-line
   Business lines for the zone is zero.

   (8) Voluntary Reductions. A “Voluntary Reduction” is one in which the
   local exchange carrier reduces prices other than through offset of net
   increases in End User Common Line charge revenues or Interstate Access
   Universal Service support received pursuant to §  54.807 of this
   chapter, or through increases in other zone deaveraged End User Common
   Line charges.

   [ 65 FR 38701 , June 21, 2000;  65 FR 57744 , Sept. 26, 2000]

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