§  64.1903   Obligations of all incumbent independent local exchange
carriers.

   (a) An incumbent independent LEC providing in-region, interstate,
   interexchange services or in-region international interexchange
   services shall provide such services through an affiliate that
   satisfies the following requirements:

   (1) The affiliate shall maintain separate books of account from its
   affiliated exchange companies. Nothing in this section requires the
   affiliate to maintain separate books of account that comply with part
   32 of this title;

   (2) The affiliate shall not jointly own transmission or switching
   facilities with its affiliated exchange companies. Nothing in this
   section prohibits an affiliate from sharing personnel or other
   resources or assets with an affiliated exchange company; and

   (3) The affiliate shall acquire any services from its affiliated
   exchange companies for which the affiliated exchange companies are
   required to file a tariff at tariffed rates, terms, and conditions.
   Nothing in this section shall prohibit the affiliate from acquiring any
   unbundled network elements or exchange services for the provision of a
   telecommunications service from its affiliated exchange companies,
   subject to the same terms and conditions as provided in an agreement
   approved under section 252 of the Communications Act of 1934, as
   amended.

   (b) Except as provided in paragraph (b)(1) of this section, the
   affiliate required in paragraph (a) of this section shall be a separate
   legal entity from its affiliated exchange companies. The affiliate may
   be staffed by personnel of its affiliated exchange companies, housed in
   existing offices of its affiliated exchange companies, and use its
   affiliated exchange companies' marketing and other services, subject to
   paragraph (a)(3) of this section.

   (1) For an incumbent independent LEC that provides in-region,
   interstate domestic interexchange services or in-region international
   interexchange services using no interexchange switching or transmission
   facilities or capability of the LEC's own (i.e., "independent LEC
   reseller,") the affiliate required in paragraph (a) of this section may
   be a separate corporate division of such incumbent independent LEC. All
   other provisions of this Subpart applicable to an independent LEC
   affiliate shall continue to apply, as applicable, to such separate
   corporate division.

   (2) [Reserved]

   [ 64 FR 44425 , Aug. 16, 1999, as amended at  71 FR 65751 , Nov. 9, 2006]

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Subpart U--Customer Proprietary Network Information

   Source:  63 FR 20338 , Apr. 24, 1998, unless otherwise noted.

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