[Federal Register Volume 66, Number 45 (Wednesday, March 7, 2001)]
[Proposed Rules]
[Pages 13690-13691]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-5489]
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FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 43
[CC Docket No. 98-137; FCC 01-68]
1998 Biennial Regulatory Review--Review of Depreciation
Requirements for Incumbent Local Exchange Carriers
AGENCY: Federal Communications Commission.
ACTION: Proposed rule; denial.
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SUMMARY: In this document the Commission denied US West, Inc. (now
Qwest) petition for reconsideration of our December 30, 1999
Depreciation Order. The US West, Inc. petition sought reconsideration
of: our denial of United States Telephone Association petition for
forbearance; the methodology for certain equipment life ranges, and the
accounting treatment in waiver situation. The Commission concluded that
US West, Inc had not provided any new information or arguments that
required us to alter our prior rulings.
ADDRESSES: Office of the Secretary, Federal Communications Commission,
445-12th Street, SW, TW-A325, Washington, DC 20554.
FOR FURTHER INFORMATION CONTACT: JoAnn Lucanik, Accounting Safeguards
Division, Common Carrier Bureau, at (202) 418-0873.
SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Order
on Reconsideration adopted February 21, 2001, and released February 26,
2001. The full text of this Commission decision is available for
inspection and copying during normal business hours in the FCC
Reference Center (Room CY-A257), 445 12th Street, SW, Washington, DC
20554. The complete text may also be purchased from the Commission's
copy contractor, International Transcription Service, Inc., 1231 20th
Street, Washington, DC 20036, telephone (202) 857-3800.
Summary of Order on Reconsideration
In this order, we deny a petition for reconsideration filed on May
10, 2000, by US West, Inc. (now Qwest) of our December 30, 1999 Order
(Depreciation Order) (which was not published in the Federal Register).
In the Depreciation Order, which was part of our 1998 Biennial
Regulatory Review proceeding, we undertook an extensive review of our
depreciation requirements for price cap incumbent local exchange
carriers (ILECs). Although we denied a petition filed by the United
States Telecom Association (USTA) to forbear from imposing depreciation
requirements on price cap ILECs, we significantly streamlined our
depreciation requirements, and set out specific conditions under which
ILECs could seek waiver of these requirements.
In a subsequent order, released on November 7, 2000, 66 FR 9681
(February 9, 2001), we reviewed an alternative proposal for relieving
carriers of our depreciation requirements. We concluded that the
alternative proposal to permit an above-the-line accounting treatment
of the financial-to-regulatory book differential in lieu of a below-
the-line accounting treatment lacked the inherent protections provided
for in the waiver process adopted in the Depreciation
[[Page 13691]]
Order. Thus, we declined to relieve carriers of our depreciation
requirements in circumstances where they elected above-the-line
treatment.
In its petition for reconsideration, Qwest requests (1) that we
reconsider our denial of USTA's petition for forbearance of our
depreciation requirements; (2) that if USTA's petition is not granted,
we reconsider our methodology for establishing service life ranges for
telecommunications plant equipment; and (3) that for purposes of
seeking a waiver of the depreciation requirements, we permit an above-
the-line accounting treatment of the differential between regulatory
and financial book reserve levels.
After review of the arguments presented on reconsideration, we
conclude that Qwest has not provided any new information or arguments
that require us to alter our prior rulings. The precise issues and
arguments that Qwest raises on reconsideration were thoroughly
considered and examined in the previous proceeding. Our analysis and
reasons for our rulings are fully stated in the Depreciation Order, and
the November 2000 Order further underscores the appropriateness of the
decision to deny reconsideration.
Accordingly, pursuant to sections 4, 201-205, 218-220, 303(r), and
405 of the Communications Act of 1934, as amended, 47 U.S.C. 154, 201-
205, 218-220, 303(r), and 405 of the Communications Act of 1934, as
amended, and Secs. 1.106 and 1.429 of the Commission's rules, 47 CFR
1.106, 1.429, that the petition for reconsideration filed May 10, 2000,
by US West, Inc. (now Qwest) is denied.
Federal Communications Commission.
Magalie Roman Salas,
Secretary.
[FR Doc. 01-5489 Filed 3-6-01; 8:45 am]
BILLING CODE 6701-12-U