Goto Section: 61.2 | 61.13 | Table of Contents

FCC 61.3
Revised as of October 1, 2013
Goto Year:2012 | 2014
§  61.3   Definitions.

   (a) Act. The Communications Act of 1934 (48 Stat. 1004; 47 U.S.C.
   chapter 5), as amended.

   (b) Actual Price Index (API). An index of the level of aggregate rate
   element rates in a basket, which index is calculated pursunt to
   §  61.46.

   (c) Association. This term has the meaning given it in §  69.2(d).

   (d) Average Price Cap CMT Revenue per Line month. (1) Price Cap CMT
   Revenue (as defined in §  61.3(cc)) per month as of July 1, 2000
   (adjusted to remove Universal Service Contributions assessed to local
   exchange carriers pursuant to §  54.702 of this chapter) using 2000
   annual filing base period demand, divided by the 2000 annual filing
   base period demand. In filing entities with multiple study areas, if it
   becomes necessary to calculate the Average Price Cap CMT Revenue per
   Line month for a specific study area, then the Average Price Cap CMT
   Revenue per Line month for that study area is determined as follows,
   using base period demand revenues (adjusted to remove Universal Service
   Contributions assessed to Local Exchange Carriers pursuant to §  54.702
   of this chapter), Base Factor Portion (BFP) and 2000 annual filing base
   period lines:

   Average Price Cap CMT Revenue per Line Month in a study area = Price
   Cap CMT Revenue * (BFP in the study area -: (BFP in the Filing Entity)
   -:(Lines in the study area.

   (2) Nothing in this definition precludes a price cap local exchange
   carrier from continuing to average rates across filing entities
   containing multiple study areas, where permitted under existing rules.

   (3) Average Price Cap CMT Revenues per Line month may be adjusted after
   July 1, 2000 to reflect exogenous costs pursuant to §  61.45(d).

   (4) Average Price Cap CMT Revenues per Line month may also be adjusted
   pursuant to §  61.45 (b)(1)(iii).

   (e) Average Traffic Sensitive Charge. (1) The Average Traffic Sensitive
   Charge (ATS charge) is the sum of the following two components:

   (i) The Local Switching (LS) component. The LS component will be
   calculated by dividing the proposed LS revenues (End Office Switch, LS
   trunk ports, Information Surcharge, and signalling transfer point (STP)
   port) by the base period LS minutes of use (MOUs); and

   (ii) The Transport component. The Transport component will be
   calculated by dividing the proposed Transport revenues (Switched Direct
   Trunk Transport, Signalling for Switched Direct Trunk Transport,
   Entrance Facilities for Switched Access traffic, Tandem Switched
   Transport, Signalling for Tandem Switching and residual per minute
   Transport Interconnection Charge (TIC) pursuant to §  69.155 of this
   chapter) by price cap local exchange carrier only base period MOUs
   (including meet-point billing arrangements for jointly-provided
   interstate access by a price cap local exchange carrier and any other
   local exchange carrier).

   (2) For the purposes of determining whether the ATS charge has reached
   the Target Rate as set forth in §  61.3(qq), the calculations should
   include all the relevant revenues and minutes for services provided
   under generally available price cap tariffs.

   (f) Band. A zone of pricing flexibility for a service category, which
   zone is calculated pursuant to §  61.47.

   (g) Base period. For carriers subject to § §  61.41 through 61.49, the
   12-month period ending six months prior to the effective date of annual
   price cap tariffs. Base year or base period earnings shall exclude
   amounts associated with exogenous adjustments to the PCI for the lower
   formula adjustment mechanism permitted by §  61.45(d)(1)(vii).

   (h) Basket. Any class or category of tariffed service or charge:

   (1) Which is established by the Commission pursuant to price cap
   regulation;

   (2) The rates of which are reflected in an Actual Price Index; and

   (3) The related revenues of which are reflected in a Price Cap Index.

   (i) Change in rate structure. A restructuring or other alteration of
   the rate components for an existing service.

   (j) Charges. The price for service based on tariffed rates.

   (k) Commercial contractor. The commercial firm to whom the Commission
   annually awards a contract to make copies of Commission records for
   sale to the public.

   (l) Commission . The Federal Communications Commission.

   (m) Concurring carrier. A carrier (other than a connecting carrier)
   subject to the Act which concurs in and assents to schedules of rates
   and regulations filed on its behalf by an issuing carrier or carriers.

   (n) Connecting carrier. A carrier engaged in interstate or foreign
   communication solely through physical connection with the facilities of
   another carrier not directly or indirectly controlling or controlled
   by, or under direct or indirect common control with, such carrier.

   (o) Contract-based tariff. A tariff based on a service contract entered
   into between a non-dominant carrier and a customer, or between a
   customer and a price cap local exchange carrier which has obtained
   permission to offer contract-based tariff services pursuant to part 69,
   subpart H, of this chapter.

   (p) Corrections. The remedy of errors in typing, spelling, or
   punctuation.

   (q) Dominant carrier. A carrier found by the Commission to have market
   power ( i.e., power to control prices).

   (r) GDP Price Index (GDP-PI). The estimate of the Chain-Type Price
   Index for Gross Domestic Product published by the United States
   Department of Commerce, which the Commission designates by Order.

   (s) GNP Price Index (GNP-PI). The estimate of the "Fixed-Weighted Price
   Index for Gross National Product, 1982 Weights" published by the United
   States Department of Commerce, which the Commission designates by
   Order.

   (t) Incumbent Local Exchange Carrier. " Incumbent Local Exchange
   Carrier" or "ILEC" has the same meaning as that term is defined in 47
   U.S.C. 251(h).

   (u) Issuing carrier. A carrier subject to the Act that publishes and
   files a tariff or tariffs with the Commission.

   (v) Line month. Line demand per month multiplied by twelve.

   (w) Local exchange carrier. Any person that is engaged in the provision
   of telephone exchange service or exchange access as defined in section
   3(26) of the Act.

   (x) Mid-size company. All price cap local exchange carriers other than
   the Regional Bell Operating Companies and GTE.

   (y) New service offering. A tariff filing that provides for a class or
   sub-class of service not previously offered by the carrier involved and
   that enlarges the range of service options available to ratepayers.

   (z) Non-dominant carrier. A carrier not found to be dominant. The
   nondominant status of providers of international interexchange services
   for purposes of this subpart is not affected by a carrier's
   classification as dominant under §  63.10 of this chapter.

   (aa) Other participating carrier. A carrier subject to the Act that
   publishes a tariff containing rates and regulations applicable to the
   portion or through service it furnishes in conjunction with another
   subject carrier.

   (bb) Price Cap Local Exchange Carrier. A local exchange carrier subject
   to regulation pursuant to §  61.41 through 61.49.

   (cc) Pooled Local Switching Revenue. For certain qualified companies as
   set forth in §  61.48 (m), is the amount of additional local switching
   reductions in the July 2000 Annual filing allowed to be moved and
   recovered in the CMT basket.

   (dd) Price Cap CMT Revenue. The maximum total revenue a filing entity
   would be permitted to receive from End User Common Line charges under
   §  69.152 of this chapter, Presubscribed Interexchange Carrier charges
   (PICCs) under §  69.153 of this chapter, Carrier Common Line charges
   under §  69.154 of this chapter, and Marketing under §  69.156 of this
   chapter, using Base Period lines. Price Cap CMT Revenue does not
   include the price cap local exchange carrier universal service
   contributions as of July 1, 2000. The Price Cap CMT revenue does not
   include the pooled local switching revenue outlined in paragraph (bb)
   of this section.

   (ee) Price Cap Index (PCI). An index of prices applying to each basket
   of services of each carrier subject to price cap regulation, and
   calculated pursuant to §  61.45.

   (ff) Price cap regulation. A method of regulation of dominant carriers
   provided in § §  61.41 through 61.49.

   (gg) Price cap tariff filing. Any tariff filing involving a service
   subject to price cap regulation, or that requires calculations pursuant
   to § §  61.45, 61.46, or 61.47.

   (hh) [Reserved]

   (ii) Rate. The tariffed price per unit of service.

   (jj) Rate increase. Any change in a tariff which results in an
   increased rate or charge to any of the filing carrier's customers.

   (kk) Rate level change. A tariff change that only affects the actual
   rate associated with a rate element, and does not affect any tariff
   regulations or any other wording of tariff language.

   (ll) Regulations. The body of carrier prescribed rules in a tariff
   governing the offering of service in that tariff, including rules,
   practices, classifications, and definitions.

   (mm) Restructured service. An offering which represents the
   modification of a method of charging or provisioning a service; or the
   introduction of a new method of charging or provisioning that does not
   result in a net increase in options available to customers.

   (nn) Rural Company. A company that, as of December 31, 1999, was
   certified to the Commission as a rural telephone company.

   (oo) Service Band Index (SBI). An index of the level of aggregate rate
   element rates in a service category, which index is calculated pursuant
   to §  61.47.

   (pp) Service category. Any group of rate elements subject to price cap
   regulation, which group is subject to a band.

   (qq) Supplement. A publication filed as part of a tariff for the
   purpose of suspending or canceling that tariff, or tariff publication
   and numbered independently from the tariff page series.

   (rr) Target Rate. The applicable Target Rate shall be defined as
   follows:

   (1) For regional Bell Operating Companies and GTE, $0.0055 per ATS
   minute of use;

   (2) For a holding company with a holding company average of less than
   19 Switched Access End User Common Line charge lines per square mile
   served such company may elect to use a Target Rate of $0.0095 with
   respect to all exchanges owned by that holding company on July 1, 2000,
   or which that holding company is, as of April 1, 2000, under a binding
   and executed contract to purchase;

   (3) For other price cap local exchange carriers, $0.0065 per ATS minute
   of use.

   (ss) Tariff. Schedules of rates and regulations filed by common
   carriers.

   (tt) Tariff publication, or publication. A tariff, supplement, revised
   page, additional page, concurrence, notice of revocation, adoption
   notice, or any other schedule of rates or regulations filed by common
   carriers.

   (uu) Tariff year. The period from the day in a calendar year on which a
   carrier's annual access tariff filing is scheduled to become effective
   through the preceding day of the subsequent calendar year.

   (vv) Text change. A change in the text of a tariff which does not
   result in a change in any rate or regulation.

   (ww) United States. The several States and Territories, the District of
   Columbia, and the possessions of the United States.

   (xx) Corridor service. "Corridor service" refers to interLATA services
   offered in the "limited corridors" established by the District Court in
   United States v. Western Electric Co., Inc., 569 F. Supp. 1057, 1107
   (D.D.C. 1983).

   (yy) Toll dialing parity. "Toll dialing parity" exists when there is
   dialing parity, as defined in §  51.5 of this chapter, for toll
   services.

   (zz) Loop-based services. Loop-based services are services that employ
   Subcategory 1.3 facilities, as defined in §  36.154 of this chapter.

   (aaa) Zone Average Revenue per Line. The amount calculated as follows:

   Zone Average Revenue per Line = (25% * (Loop + Port)) + U (Uniform
   revenue per line adjustment)

   Where:

   Loop = the price for unbundled loops in a UNE zone.

   Port = the price for switch ports in that UNE zone.

   U = [(Average Price Cap CMT Revenue per Line month in a study area *
   price cap local exchange carrier Base Period Lines) - (25% * S (price
   cap local exchange carrier Base Period Lines in a UNE Zone * ((Loop +
   Port ) for all zones)))] -: price cap local exchange carrier Base
   Period Lines in a study area.

   (bbb) Access stimulation. (1) A rate-of-return local exchange carrier
   or a Competitive Local Exchange Carrier engages in access stimulation
   when it satisfies the following two conditions:

   (i) Has an access revenue sharing agreement, whether express, implied,
   written or oral, that, over the course of the agreement, would directly
   or indirectly result in a net payment to the other party (including
   affiliates) to the agreement, in which payment by the rate-of-return
   local exchange carrier or Competitive Local Exchange Carrier is based
   on the billing or collection of access charges from interexchange
   carriers or wireless carriers. When determining whether there is a net
   payment under this rule, all payments, discounts, credits, services,
   features, functions, and other items of value, regardless of form,
   provided by the rate-of-return local exchange carrier or Competitive
   Local Exchange Carrier to the other party to the agreement shall be
   taken into account; and

   (ii) Has either an interstate terminating-to-originating traffic ratio
   of at least 3:1 in a calendar month, or has had more than a 100 percent
   growth in interstate originating and/or terminating switched access
   minutes of use in a month compared to the same month in the preceding
   year.

   (2) The local exchange carrier will continue to be engaging in access
   stimulation until it terminates all revenue sharing arrangements
   covered in paragraph (a)(1)(i) of this section. A local exchange
   carrier engaging in access stimulation is subject to revised interstate
   switched access charge rules under §  61.38 and §  69.3(e)(12) of this
   chapter.

   [ 54 FR 19840 , May 8, 1989]

   Editorial Note: For Federal Register citations affecting §  61.3, see
   the List of CFR Sections Affected, which appears in the Finding Aids
   section of the printed volume and at www.fdsys.gov .

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Goto Year: 2012 | 2014
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