5. Exceptions to Tariff and
Data Filing Interstate Rates

Some carriers will not have to change their intrastate access rates because the rates are already below interstate rates and these carriers maintain that an informational filing should be sufficient. For example, the Small LECS state that "[t]he FCC has adopted a methodology for comparing interstate and intrastate composite rates that neutralizes any structural differences and avoids any consideration of individual element-by-element juxtapositions."23 We concur that carriers whose relevant Transitional Intrastate Access service rates are already below their corresponding interstate rates must file an Information Only Advice Letter. It is also reasonable to require these carriers to include 1) a copy of the current intrastate tariffs containing the rates and elements impacted and the functionally equivalent interstate tariffs; and 2) a copy of the appropriate data spreadsheet (FCC TRP form or Appendices A and B) containing the total revenue from Transitional Intrastate Access Service at the carrier's interstate access rates in effect on December 29, 2011, using Fiscal Year 2011 intrastate switched access demand for each rate element and the total revenue from Transitional Intrastate Access Service at the carrier's intrastate access rates in effect on December 29, 2011, using Fiscal Year 2011 intrastate switched access demand for each rate element.24

Similarly, Cox notes that a CLEC's intrastate access rates may already mirror its interstate access rates. In these cases, Cox argues a carrier should not be required to provide any of the supporting data described in the ACR where the carrier is not assessing a transitional per-minute charge on Transitional Intrastate Access Service end office switching minutes as permitted by 47 CFR § 51.911(b)(5). The FCC Order allows carriers to make a choice of 1) applying the required revenue reduction to the rates in its intrastate rate structure, or 2) applying the interstate rate structure and rates to its intrastate access service, plus the assessment of a transitional per-minute charge on end office switching minutes equal to its revenue reduction.25 Cox states that it will revise its rates for terminating switched access rates applicable to traffic that is not defined as Voice over Internet Protocol - Public Switched Telephone Network (VoIP-PSTN) traffic (as permitted by the FCC Order) and will not include an additional transitional per-minute charge. Cox explains that it can implement this approach via a "straight-forward formula that (a) captures the difference between its interstate rate and its intrastate rate and then (b) subtract 50% of that amount from Cox's existing intrastate rate."26 Cox contends that it should not be required to provide the supporting data described in the ACR because it is not necessary for Cox to use its intrastate demand data or its interstate or intrastate revenue data to calculate the required reductions in intrastate access rates. Comcast also states that the requirements for supporting data should not apply to carriers that already have reduced their intrastate access rates to the same level as their intrastate access rates.

We concur. If a carrier has already reduced its intrastate access rates to parity with its interstate access rates, and if a carrier's Transitional Intrastate Access Service rates already reflect the functionally equivalent interstate rates, and the carrier is not assessing a transitional per-minute charge on Transitional Intrastate Access Service end office switching minutes, the carrier must file an Information Only Advice Letter and must attach copies of the relevant interstate and intrastate tariff sheets. Such carriers will not have to submit cost studies or revenue data in support of such rates.

5.3.1. Access Reciprocal Compensation

CALTEL states that CLECs are not required to revise Access Reciprocal Compensation rates until July 1, 2013 and no further action is necessary here because we have already required the Access Reciprocal Compensation rates be in compliance with the FCC requirements. We concur. The July 3, 2012 intrastate tariff changes ordered by the FCC's Order must set forth the rates applicable to "Transitional Intrastate Access Service."27 For this purpose, the term "Transitional Intrastate Access Service" is defined in 47 CFR § 51.903(j) as follows:

(j) Transitional Intrastate Access Service means terminating End Office Access Service that was subject to intrastate access rates as of December 31, 2011; terminating Tandem-Switched Transport Access Service that was subject to intrastate access rates as of December 31, 2011; and originating and terminating Dedicated Transport Access Service that was subject to intrastate access rates as of December 31, 2011.

Accordingly, we agree that CLECs do not need to file Access Reciprocal Compensation demand or rates in the worksheets filed with their advice letter filings this July.

5.3.2. Non-Access Reciprocal Compensation

The Small LECs explain that certain information is unnecessary for these carriers as well, because none of the Small LECs have reciprocal compensation rates that exceed interstate access rates. We agree that Small LECs need not include this information in their filings. However, where applicable LECs must file Information Only Advice Letters with copies of relevant intrastate and interstate tariff sheets attached. ILECs are required to file the FCC TRP Reciprocal Compensation Spreadsheet.

Sprint states that carriers must provide a worksheet with calculations that demonstrate the "reciprocal compensation rates, if above the carrier's interstate access rates, are reduced by 50% of the differential between the carrier's intrastate rate and the carrier's interstate rate." 28 Again, we concur. Pursuant to the FCC Order,29 effective July 1, 2012, if the LEC's default transitional Non-Access Reciprocal Compensation rates in effect on December 29, 2011, or established pursuant to the FCC Order, subsequent to December 29, 2011, exceed that carrier's interstate access rate for functionally equivalent service in effect in the same state on December 29, 2011, that carrier must reduce its non-access reciprocal compensation rate by one half of the difference between the Non-Access Reciprocal Compensation rate and the corresponding functionally equivalent interstate access rate. Carriers required to lower their default Non-Access Reciprocal Compensation rates must show the appropriate information on the relevant data worksheet.

5.3.3. Worksheets

CALTEL also suggests that the worksheet be modified to include operating territory breakouts if applicable, because some CLECs have tariffed interstate and intrastate access rates by ILEC operating territory. This is a reasonable suggestion and we have modified Appendix A, attached to this decision. We have added a line at the top of the data sheet where the CLEC can indicate the relevant ILEC operating territory. If a CLEC offers service in more than one ILEC operating territory in California, the CLEC must submit separate data spreadsheets for each territory.

Cox and Comcast raise concerns regarding tariff filings reflecting the FCC Order's rules on intrastate toll VoIP-PSTN traffic. Several parties point out that some carriers have already filed tariffs to transition interstate and intrastate originating and terminating access rates for "toll VoIP-PSTN" traffic, and did so on December 29, 2011, consistent with the requirements of the FCC Order.30 Here, we clarify that this decision will not apply to tariffs filed consistent with the FCC's rules on access rates applicable to toll VoIP-PSTN traffic.

23 Comments of Small LECs to ACR at 3.

24 See 47 CFR §§ 51.907(b)(2)(i) and (ii); 51.909(b)(2)(i) and (ii); and 51.911(b)(1) and(2).

25 See § 51.907(b)(iv) and (v) for Price Cap Carriers, and § 51.909(b)(iv) and (v) for rate-of-return carriers.

26 Cox's Comments on ACR at 3.

27 47 CFR §§ 51.907(b); 51.909(b); and 51.911(b).

28 Sprint Comments on ACR at 4.

29 47 CFR 51.705(c)(2).

30 Comcast Comments to ACR at 4; Cox Comments to ACR at 3.

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