WSR 99-07-106

PROPOSED RULES

UTILITIES AND TRANSPORTATION

COMMISSION

[ Filed March 23, 1999, 2:01 p.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 98-06-050 [98-16-101].

Title of Rule: Registration, competitive classification, and price lists of telecommunications companies, Docket No. UT-980083.

Purpose: To implement the requirements of Executive Order 97-02, revising language to enhance understanding, adding processes for petitions for competitive classification, stating the commission's standards for evaluating applications for registration and competitive classification and price list filings, and adding standards for the denial of aplications or revocation of registration.

Statutory Authority for Adoption: RCW 80.01.040, 80.04.160.

Reasons Supporting Proposal: See Explanation of Rule below.

Name of Agency Personnel Responsible for Drafting: Sondra Walsh, Policy Research Specialist, 1300 South Evergreen Park, Drive S.W., Olympia, WA 98504, (360) 664-1286; Implementation and Enforcement: Carole Washburn, Secretary, 1300 South Evergreen Park Drive S.W., Olympia, WA 98504, (360) 664-1174.

Name of Proponent: Washington Utilities and Transportation Commission, governmental.

Rule is not necessitated by federal law, federal or state court decision.

Explanation of Rule, its Purpose, and Anticipated Effects: These rules address how the Washington Utilities and Transportation Commission regulates the registration applications, competitive classification petitions, and price list filings of telecommunication companies. This rule making incorporates into rule the commission's streamlined process for registration applications; minimizes the burden of entry; cultivates competition; and establishes the criteria for cancellation of a telecommunications company's registration. This review complies with Executive Order 97-02. The order requires agencies to review their rules for clarity, intent and statutory authority, need, effectiveness and efficiency, coordination, cost, and fairness. This proposal would redraft the rules to promote clarity and reader understanding, and eliminate rules that are no longer needed. Proposed substantive changes to the text include the following: (1) Adds processes for petitions for competitive classification to chapter 480-121 WAC, to clarify the process; (2) lists in rule the commission's standards for registration applications, competitive classification petitions, and price list filings; and (3) add rules to identify what may cause an application to be rejected or a registration to be revoked. The proposed rules should clarify, simplify, and expedite the commission processes.

Proposal Changes the Following Existing Rules: The following summarizes changes other than rephrasing for clarity. WAC 480-121-010, adds applications for competitive classification and price lists to the topics covered in the chapter. Allows simultaneous filing of application, petition, and price list for optimum efficiency. States the commission's authority to waive or modify the application of any rule.

WAC 480-121-020, states the required contents of applications for registration, petitions for competitive classification, and proposed price lists.

WAC 480-121-030, states the commission's authority to require additional information relating to petitions for competitive classification and approval of price lists.

WAC 480-121-040, deletes standards for applications, which are moved to WAC 480-121-020. States specific reasons for which the commission may deny registration.

In addition, WAC 480-121-050 Form, is proposed for repeal and new sections WAC 480-121-060 through 480-121-100 are proposed for adoption.

No small business economic impact statement has been prepared under chapter 19.85 RCW. There is minimal fiscal impact to companies.

RCW 34.05.328 does not apply to this rule adoption. The commission is not an agency to which RCW 34.05.328 applies. This is not the sort of rule making to which the statute applies.

Hearing Location: Commission Hearing Room, 2nd Floor, Chandler Plaza Building, 1300 South Evergreen Park Drive S.W., Olympia, WA 98504, on April 28, 1999, at 9:30 a.m.

Assistance for Persons with Disabilities: Contact Pat Valentine by April 26, 1999, TDD (360) 586-8203, or (360) 664-1133.

Submit Written Comments to: Re: Docket No. UT-980083, c/o Carole Washburn, Secretary, 1300 South Evergreen Park Drive S.W., Olympia, WA 98504, fax (360) 586-1150, by April 14, 1999.

Date of Intended Adoption: April 28, 1999.

March 23, 1999

Carole J. Washburn

Secretary

OTS-2924.1

Chapter 480-121 WAC

REGISTRATION, COMPETITIVE CLASSIFICATION AND PRICE LISTS OF TELECOMMUNICATIONS COMPANIES


AMENDATORY SECTION(Amending Order R-237, Cause No. U-85-43, filed 9/19/85)

WAC 480-121-010
Filing of registration application, competitive classification petition and price list.

(1) Applications ((shall)), petitions and price lists must be filed at the office of the commission in Olympia, Washington, by mail or in person, and ((shall)) must be signed by the applicant or its attorney, dated, and ((verified)) certified as to its accuracy.  Applications, petitions and price lists will be assigned a docket number, and all additional exhibits and data thereafter filed, and correspondence in connection with the ((application)) filing, should bear that docket number.

Applications ((shall)) for registration, petitions for competitive classification and price lists must be ((in the form prescribed by WAC 480-121-050, and shall in all respects adhere to the rules set out herein.  Applications not in substantial compliance with these rules may be rejected by the commission and returned to the applicant)) submitted at the same time. Applicant must file with the commission an original application, petition and price list and any additional copies as the commission may require.

(2) The commission may waive or modify the application of any rule to an applicant upon written request, or upon commission motion, except when such provisions are fixed by statute. The waiver or modification must be approved by the commission in writing.

[Statutory Authority: RCW 80.01.040.  85-20-002 (Order R-237, Cause No. U-85-43), 480-121-010, filed 9/19/85.]


AMENDATORY SECTION(Amending Order R-237, Cause No. U-85-43, filed 9/19/85)

WAC 480-121-020
((Number of copies.)) Requirements for registration applications, competitive classification petitions and price lists.

((Applicant shall file with the commission an original application and such additional copies as the commission may require.)) (1) Applications for registration must:

(a) Be in the form prescribed by the commission;

(b) Adhere to the rules set forth in chapter 480-120 WAC;

(c) Be accompanied by the applicant’s current balance sheet, latest annual report, if any, and a description of the telecommunications service it intends to offer; and

(d) Be accompanied by declaration of positive regulatory performance on the form prescribed by the commission.

(2) A petition for competitive classification must meet the requirements of WAC 480-120-023.

(3) Price lists must meet the requirements of WAC 480-120-027.

(4) As a condition to registration, with or without hearing, the commission may require an applicant clearly show that the:

(a) Applicant possesses adequate financial resources to provide the proposed service;

(b) Applicant possesses adequate technical competence to provide the proposed service;

(c) Applicant is in compliance with all federal, state and local telecommunications and business regulations; and

(d) Applicant operating in other states as a telecommunications company have a positive regulatory record. Companies that have been registered within another state for less than one year have a positive record since approval. Companies that have been registered for a period greater than one year have a positive record for at least the prior twelve consecutive months.

(5) Applicants that intend to collect customer prepayments must meet the requirements of WAC 480-120-058.

[Statutory Authority: RCW 80.01.040.  85-20-002 (Order R-237, Cause No. U-85-43), 480-121-020, filed 9/19/85.]


AMENDATORY SECTION(Amending Order R-237, Cause No. U-85-43, filed 9/19/85)

WAC 480-121-030
Additional information.

The commission may at its discretion require ((the production of data and)) additional information to supplement ((that contained in)) the registration application, competitive classification petition and price list.  Unless a different time is specified, such information shall be provided within ten days of the written request.

[Statutory Authority: RCW 80.01.040.  85-20-002 (Order R-237, Cause No. U-85-43), 480-121-030, filed 9/19/85.]


AMENDATORY SECTION(Amending Order R-332, Docket No. UT-900733, filed 12/5/90, effective 1/5/91)

WAC 480-121-040
Grant or denial of registration.

((As a condition to registration, with or without hearing, an applicant must clearly show that:

(1) Applicant possesses adequate financial resources to provide the proposed service;

(2) Applicant possesses adequate technical competence to provide the proposed service; and

(3) Applicant has procured and will maintain:

(2) A performance bond satisfactory to the commission sufficient to cover any customer advances or deposits; or

(b) Provision has been made for deposit of customer advances or deposits in a federally insured interest bearing trust account maintained by applicant solely for customer advances or deposits, in a bank, savings and loan association, mutual savings bank, or licensed escrow agent located in Washington, with access to such funds only for the purpose of applying an amount to a delinquent bill in accordance with commission deposit rules, or for the purpose of refunding advances or deposits to customers.  In any order granting certification, the commission may require either bond or trust account or escrow as a condition.

Such)) (1) Application may be granted without hearing upon a determination by the commission that the application is consistent with the public interest, and that applicant meets ((financial and technical requirements,)) the requirements of this section and RCW 80.36.350 and has provided adequately for the protection of customer ((advances or deposits,)) prepayments or the application may be set for hearing in accordance with notice issued by the commission.  If, upon hearing, the commission finds that registration is not consistent with the public interest, or that the applicant ((is not financially or [technically] [technical] able to provide the contemplated service)) does not meet the requirements of RCW 80.36.350, or that customer ((advances or deposits)) prepayments cannot be adequately protected, it will deny the application.

The commission ((may)) will deny an application for registration submitted by ((a company providing alternate)) an operator services provider if, after hearing, the commission finds that the alternate operator services offered by the company or the charges for those services are not for the public convenience and ((advantage)) necessity.

[Statutory Authority: RCW 80.01.040 and chapter 80.36 RCW.  90-24-090 (Order R-332, Docket No. UT-900733), 480-121-040, filed 12/5/90, effective 1/5/91.  Statutory Authority: RCW 80.01.040.  85-20-002 (Order R-237, Cause No. U-85-43), 480-121-040, filed 9/19/85.]


NEW SECTION
WAC 480-121-060
Adding additional services.

A registered telecommunication company that intends to offer additional services must:

(1) Supplement its original application, petition and price list requesting authority to provide the additional services.

(2) Update the original application, petition and price list to reflect the new services and any other changes that have occurred since the original filing.

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NEW SECTION
WAC 480-121-070
Rejection of registration application, competitive classification petition, and price list.

Registration applications, competitive classification petitions and price lists not insubstantial compliance with these rules and chapter 480-120 WAC may be rejected by the commission and returned to the applicant.

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NEW SECTION
WAC 480-121-080
Cancellations.

(1) A request to cancel registration as a telecommunications company must be submitted in writing to the commission.

(2) Registered telecommunications companies collecting prepayments must comply with WAC 480-120-058(10).

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NEW SECTION
WAC 480-121-090
Revocation of registration.

The commission may revoke a registration, after hearing for good cause. Good cause includes, but is not limited to, failure to:

(1) File an annual report or pay regulatory fees;

(2) Comply with the requirements of WAC 480-120-058;

(3) Provide adequate service;

(4) Maintain correct contact information, including current address and telephone number; or

(5) Comply with all federal, state and local telecommunications and business regulations.

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NEW SECTION
WAC 480-121-100
Petition for competitive classification.

(1) In addition to meeting the requirements of WAC 480-120-023, a petition for competitive classification must state an effective date no sooner than thirty days from the filing date.

(2) The petitioner must provide notice in the same manner as provided in WAC 480-80-120.

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REPEALER

     The following section of the Washington Administrative Code is repealed:
WAC 480-121-050Form.

Washington State Code Reviser's Office