Discussion

SBC proposes to grandfather custom calling services as shown on page 2 of this resolution. SBC states that the aforementioned services are being grandfathered to simplify the SBC product portfolio for small business customers since the introduction of newer services offer more choices.

By grandfathering these services, the existing customers will continue to receive the services, but the services will not be available to new customers after the effective date of the revised tariff. If the existing customer moves or discontinues the services, then these offerings will no longer be available to the existing customers.

The alternative services are as follow:

Feature Select is package of 5 custom calling features for $15.00. Caller ID is available as one of the component features, but is not a requirement of the package. Feature Select was approved by the Commission on December 5, 2005 in Advice Letter No. 27570.

Custom BizSaver provides a package of services for the single or multiple line customers. According to Decision 04-11-022 ("Total of the Floor"), SBC has been able to develop a package that waives the installation charge for this package. Custom BizSaver contains Feature Select (described above) as a component of the package. Custom BizSaver was approved by the Commission on December 5, 2005 in Advice Letter No. 27571.

· The single line customer receives the basic access line, Feature Select (see above), Unlimited Local Calling Plan (ULCP) for business, and WirePro. The rate for the single line package is $38.99. (No non-recurring charges apply to installation for the single line customer, a savings of $72.91).

· The multi-line customer may choose to have between 1 and 10 lines. With the multi-line Custom BizSaver package, the customer receives the following services:

o On the first line: the basic access line, Feature Select, ULCP, WirePro and optional Hunting¹ service. The rate is $38.99 for the first line.

o On lines 2-10: the basic access line, Caller ID, ULCP, WirePro and optional Hunting. The rate for lines 2-10 is $26.99 per line.

o No non-recurring charges apply to installation for the multi-line customer, saving the customer between $201.82 (for two lines) to $1,009.10 (for a ten line package).

SBC states this filing will not increase any rate or charge, cause the withdrawal of service, nor conflict with other schedules or rules.

SBC indicates that customers who currently subscribe to the proposing grandfathered services have received notification of the proposed changes via a bill insert between December 7, 2005 and January 6, 2006. No comment to the notification has been received.

Telecommunications Division (TD) has reviewed SBC's AL No. 27908, and obtained more information through a data request regarding custom calling services. TD concludes that SBC's request for grandfathering of Pacific Bell Saver Packs (including Power Pack, The Works, and Business Preferred), Two-Line Solution Discount (Business Solutions) - Business, and 1-Line Solution Discount (Business Solutions) - Business in Schedule Cal. P.U.C. Nos. A3. Duel Element Charges, A5. Exchange Services, A6. Message Telecommunications Service, D3. Voice Based Information Services, D7. Inside Wire Repair Services and 175-T Access Services is just and reasonable. TD recommends that the Commission approve SBC's request.

Approval should be based on the specifics of this AL filing and does not establish a precedent for the contents of future filings for Commission approval of similar requests.

This is an uncontested matter in which the resolution grants the relief requested. Accordingly, pursuant to PU code Section 311(g)(2), the otherwise applicable 30-day period for public review and comment is being waived.

Findings

1. SBC filed Advice Letter No. 27908 on January 17, 2006, requesting Commission authorization to grandfather Pacific Bell Saver Packs (including Power Pack, The Works, and Business Preferred), Two-Line Solution Discount (Business Solutions) - Business, and 1-Line Solution Discount (Business Solutions) - Business in Schedule Cal. P.U.C. Nos. A3. Duel Element Charges, A5. Exchange Services, A6. Message Telecommunications Service, D3. Voice Based Information Services, D7. Inside Wire Repair Services and 175-T Access Services.

2. SBC offers alternative packages as described in pages 3 and 4 for the above services in Finding No. 1. The alternative packages are Feature Select and Custom BizSaver.

3. SBC states this filing will not increase any rate or charge, cause the withdrawal of service, nor conflict with other schedules or rules.

4. SBC indicates customers who currently subscribe to the proposing grandfathered services have received notification of the proposed changes via a bill insert between December 7, 2005 and January 6, 2006. No comment to the notification has been received.

5. SBC's request to grandfather of Pacific Bell Saver Packs (including Power Pack, The Works, and Business Preferred), Two-Line Solution Discount (Business Solutions) - Business, and 1-Line Solution Discount (Business Solutions) - Business in Schedule Cal. P.U.C. Nos. A3. Duel Element Charges, A5. Exchange Services, A6. Message Telecommunications Service, D3. Voice Based Information Services, D7. Inside Wire Repair Services and 175-T Access Services is just and reasonable and should be granted.

THEREFORE, IT IS ORDERED that:

1. SBC is authorized to grandfather Pacific Bell Saver Packs (including Power Pack, The Works, and Business Preferred), Two-Line Solution Discount (Business Solutions) - Business, and 1-Line Solution Discount (Business Solutions) - Business in Schedule Cal. P.U.C. Nos. A3. Duel Element Charges, A5. Exchange Services, A6. Message Telecommunications Service, D3. Voice Based Information Services, D7. Inside Wire Repair Services and 175-T Access Services.

2. Authority is granted to make AL No. 27908 and the associated tariff sheets effective April 20, 2006.

3. AL No. 27908 and accompanying tariff sheets shall be marked to show that they were authorized by Resolution T- 16997.

This Resolution is effective today.

I hereby certify that this Resolution was adopted by the California Public Utilities Commission at its regular meeting on April 13, 2006. The following Commissioners approved it.

STEVE LARSON Executive Director

¹ Hunting is an arrangement to search multiple lines of the same class of service and of the same customer for a vacant line for each incoming call.