12142001.doc

DECISION MEMORANDUM

TO: COMMISSIONER KJELLANDER
COMMISSIONER SMITH
COMMISSIONER HANSEN
JEAN JEWELL
RON LAW
LOU ANN WESTERFIELD
LYNN ANDERSON
RANDY LOBB
JOE CUSICK
BEV BARKER
TONYA CLARK
DOUG COOLEY
GENE FADNESS
WORKING FILE
FROM:
DATE:
DECEMBER 14, 2001 RE: AMENDED RATE CENTER CONSOLIDATION PLAN FOR QWEST
CASE NO. USW-T-99-21

As a means of forestalling exhaustion of the 208 area code, the Commission directed Qwest in September 1999 to submit a rate center consolidation plan for its southern Idaho service area. Rate centers are the geographic coordinates typically used by local telephone companies for determining whether a call is a local or long-distance (toll) call. In some instances, the charges for long-distance calls are calculated based upon the distance from one rate center to another. Historically, each local exchange is assigned a rate center coordinate and the local telephone company has at least one telephone prefix (NXX-XXX) for each rate center.
The consolidation of rate centers is one means of conserving NXX prefixes and ultimately the need for a new area code. As local exchange competition emerges, each new local service provider must obtain an NXX for each rate center (exchange) in which it desires to offer service. For example, a competitor providing service throughout the Qwest Treasure Valley calling area, would normally obtain 18 NXX codes (corresponding to the 18 exchanges in the calling region). Rate center consolidation reduces the number of rate centers in a local calling area and, consequently, allows for greater conservation of NXX prefixes.
In its initial Application, Qwest proposed to reduce the number of its rate centers from 38 rate centers to 6 rate center clusters. In September 2000, Qwest amended its proposal by recommending eight center clusters. In response to the Commission’s Notice of Modified Procedure, Qwest, Verizon and Staff previously submitted comments.
CURRENT RECOMMENDATION
On December 5, 2001, Qwest again revised its recommended list of exchanges to be consolidated into rate center “clusters.” The Company noted that the Commission had delayed ruling on consolidation because of several pending extended area service (EAS) applications. With the implementation of these EAS routes, the Company now believes that it is appropriate for the Commission to again take up the issue of rate center consolidation. The Company is now recommending eight clusters including one rate center for Grangeville (encompassing both the Cottonwood and Grangeville exchanges). A list of the proposed clusters is attached to the decision memorandum. The eight clusters would encompass 42 exchanges.
STAFF RECOMMENDATION
Given the changes to its rate center consolidation plan, Staff believes that it is appropriate for the Commission to issue an Amended Notice of Application seeking additional comment on the proposed cluster plan.
COMMISSION DECISION
Does the Commission concur in the Staff’s recommendation to request additional comments in this matter?

vld/M:USW-T-99-21_dh4

DECISION MEMORANDUM 2