§ 36.421   Equal access expenses.

   (a) Equal access expenses include only initial incremental
   pre-subscription costs and other initial incremental expenditures
   related directly to the provision of equal access, that would not be
   required to upgrade the capabilities of the office involved absent the
   provision of equal access. Equal access expenses are limited to such
   expenditures for converting central offices that serve competitive
   interexchange carriers or where there has been a bona fide request for
   conversion to equal access.

   (b) Equal access expenses are apportioned between the jurisdictions by
   first segregating them from all other expenses in the primary accounts
   and then allocating them on the same basis as equal access investment.

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Subpart E—Reserves and Deferrals

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