HomeMy WebLinkAbout19980924Joint Motion to Adopt Stipulation.docCHERI C. COPSEY
DEPUTY ATTORNEY GENERAL
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, ID 83720-0074
TELE: (208) 334-0314
FAX: (208) 334-3762
Street Address for Express Mail:
472 W Washington
Boise, ID 83702-5983
Attorney for the Commission Staff
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF APPLICATION OF CITIZENS TELECOMMUNICATIONS COMPANY OF IDAHO TO REDUCE ACCESS RATES AND REBALANCE OTHER RATES FOR TELECOMMUNICATIONS SERVICES.
)
)
)
)
)
)
)
CASE NO. CTC-T-98-3
JOINT MOTION TO ADOPT A STIPULATION AND SETTLEMENT AGREEMENT
COMES now the Commission Staff and U S WEST Communications, Inc. by and through their respective attorneys of record and request that the Commission adopt the attached Stipulation and Settlement agreement executed by the parties in the above-referenced case. Exhibit 1. The parties waive oral argument or hearing. U S WEST and Staff further request that the Commission act on seven (7) days notice pursuant to Rule 256. IDAPA 31.01.01.256.
U S WESTs and Staffs request that the Commission act on shorter notice is supported by the fact that the basic methodology for determining U S WESTs costs for implementing mandatory extended area service (EAS) was approved by the Commission in Order No. 27633, Case No. USW-T-98-3, and U S WESTs costs are peripheal to the main issues presented in this docket. U S WEST and Staff assert that this Stipulation does not change the basic assumptions or method for determining U S WEST costs. Moreover, all parties to this case received actual notice of the motion, by personal delivery of the motion.
Pursuant to Rule 263, U S WEST and Staff further move this Commission to take official notice of the Commission record in USW-T-98-3, including all prefiled testimony. IDAPA 31.01.01.263.
In this case, if the Commission approves, Citizens Telecommunications Company of Idaho will offer its customers several optional calling plans which will cause a shift in toll minutes to non-toll. During hearing, both Staff and U S WEST agreed that while the basic assumptions made in the stipulated settlement in Case No. USW-T-98-3 would remain the same, the number of minutes that would shift from toll minutes of use to non-toll minutes in this case would be smaller because Citizens plans are optional. This settlement reflects the smaller shift.
BACKGROUND
On July 17, 1998, the Commission issued an Order in Case No. USW-T-98-3 approving a settlement between U S WEST and Staff adopting a general methodology for determining U S WESTs costs for providing EAS in future cases. Order No. 27633. At the hearing to consider approval of that Stipulation, both the Staff witness and U S WEST witness testified that the stipulated methodology would form the basis for determining U S WESTs costs in this case. However, both also testified that because Citizens was proposing several optional plans, the method would be modified to accommodate those optional plans, because the total number of toll minutes of use could not be assumed to change to non-toll minutes. Not all Citizens customers would use the optional plans.
By this Stipulation and Settlement, the parties recommend that the Commission adopt the following determination of U S WESTs costs for accommodating the EAS and optional calling plans to be offered in Case No. CTC-T-98-3.
A settlement conference was held with all parties on September 10, 1998, pursuant to Procedural Rule 272. After the settlement conference, the attached Stipulation and Settlement was negotiated and finalized.
THE STIPULATION AND SETTLEMENT
In an effort to expeditiously and efficiently resolve the issues in this case, U S WEST and the Commission Staff entered into the Stipulation and Settlement agreement attached to and made part of this motion. Exhibit 1.
U S WEST and the Staff agree that U S WESTs costs for accomodating both the proposed mandatory expanded area services and the optional calling plans from Citizens exchanges to the U S WEST exchanges as proposed in this case, CTC-T-98-3, are $0.0818 per toll minute of use adjusted to reflect dial around at an agreed rate of five percent (5%), [i.e., toll minutes of use x 1.05 x $0.0818]. If the Commission approves fewer local calling plans than are proposed in Citizens Application, U S WEST and Staff agree to adjust this total toll minutes of use to reflect the actual shift that is expected.
U S WEST and Staff also agree that this Stipulation does not affect previous Commission decisions ordering that U S WESTs reasonable and prudent capital investments for network facilities or improvements specifically needed to provide EAS, as established by competent evidence, be recovered from remaining Revenue Sharing Funds. Moreover, U S WEST and Staff agree that this Stipulation does not modify the Stipulation approved by the Commission in Case No. USW-T-98-3, Order No. 27633, and that U S WESTs costs for providing mandatory EAS from U S WEST exchanges to independent exchanges or to U S WEST exchanges will be calculated as set forth in that Stipulation. U S WEST and Staff further agree that if the Commission approves both the optional calling plans proposed by Citizens, as modified by the Stipulation among Citizens, U S WEST and the Idaho Telephone Association companies, and mandatory EAS from U S WEST exchanges to Citizens exchanges, then, using the Stipulation approved by the Commission in Case No. USW-T-98-3, Order No. 27633, U S WESTs costs for implementing all plans, would be calculated as approximately $1,356,650. Affidavit of Birdelle Brown, p. 2. If the Commission does not approve all the optional plans proposed by Citizens, these costs will be recalculated to reflect the lower number of toll minutes of use.
U S WEST and Staff further agree that the costs shall be recovered through a uniform increase in residential and business local exchange rates. Birdelle Brown testified in the attached affidavit that if the Commission approves Citizens Application, as amended by the Stipulations filed by Citizens, and approves reciprocal mandatory EAS from U S WEST exchanges into the Citizens exchanges, the total increase to U S WEST customer rates will be approximately $0.30 per month per customer line. Affidavit of Birdelle Brown, p. 2. If the Commission does not approve all the optional plans proposed by Citizens, these costs will be recalculated to reflect the lower number of toll minutes of use.
U S WEST and Staff agree that U S WESTs costs, as determined by this Stipulation and Settlement, and the proposed increases in U S WEST customer rates and charges if Citizens plan is approved are just and reasonable and consistent with the Commissions decisions in Case Nos. USW S 96 5 and USW-T-98-3. U S WEST and Staff further agree that this Stipulation does not change previous Commission decisions regarding U S WEST non-traffic sensitive cost allocations.
RESPECTFULLY submitted this day of September 1998.
Cheri C. Copsey
Deputy Attorney General
Attorney for Commission Staff
Mary S. Hobson
Robin L. Denison
STOEL RIVES LLP
Attorneys for U S WEST Communications, Inc.
N:ctct983.cc4
JOINT MOTION TO ADOPT A STIPULATION
AND SETTLEMENT AGREEMENT -1-