3. Compliance With the Guidelines
The Commission's requirements governing the discontinuance of telecommunications services by competitive carriers such as Applicant are set forth in D.06-10-021. That decision adopted Guidelines that apply when a CLEC files an application to discontinue providing local exchange services to its customers (exiting CLEC).4 The Guidelines give the exiting CLEC's customers the opportunity to migrate to another local exchange carrier without interruption of service.
The Guidelines require the filing of an application for discontinuance of service that includes an exit plan, notification of carriers potentially affected by the discontinuance of service, and customer notification. Customers must be notified 60 days in advance of the final service termination date and a second notice must be given to customers who have not taken action to select a carrier.
The Guidelines also provide a mass migration process, including determining an overall program manager, and submitting customer list information and progress reports to Commission staff. The Guidelines incorporate procedures for transferring NXX codes5 and unlocking telephone numbers in the E-911 database. Finally, the Guidelines establish criteria for Commission approval of a CLEC's termination of service and for appointing a default carrier in situations where the exiting carrier has not found an arranged carrier to serve the customers who have not selected another carrier. We address Applicant's compliance with the Guidelines below.
3.1. Exit Plan
An exiting CLEC must file an application to withdraw from service and must continue to provide service until the Commission approves the application. The application must contain an exit plan, and be filed with the Commission at least 90 days in advance of the proposed date for the CLEC's discontinuance of service.
Applicant filed its application and exit plan on February 23, 2007, in compliance with our requirements. The CD has reviewed the exit plan, and worked with Applicant to revise the plan.
The revised exit plan provides for "rolling" cut-off dates,6 and an April 11, 2008 exit date to ensure Applicant's remaining customers receive adequate notice before they are migrated to AT&T California and to provide the ILEC sufficient time to undertake the migration. Here, Applicant and AT&T California developed a customer transition plan whereby Applicant's current local residential customers were to be transferred to the local service network, billing, and operational platforms of AT&T California if they did not choose another local exchange provider by their designated cut-off date. Applicant and AT&T California effectuated the customer transition via software. The first cut-off date was May 4, 2007. Given the process used, customers have experienced imperceptible effects of the platform transfer. The CD has determined that Applicant's revised exit plan satisfies our requirements. Therefore, Applicant's exit plan is adequate and timely filed.
3.2. Industry Notification
At the same time an exiting CLEC files its application and exit plan with the Commission, it must serve the documents on any carrier with whom it has arranged to assume Applicant's customers (arranged carrier), all local exchange carriers known to provide service in the affected area, all underlying network service providers used by the exiting CLEC, any other parties to whom the exiting CLEC is required to give notice under related interconnection, resale, or service agreements, and the CD.
Applicant and its affiliate AT&T California have made arrangements for AT&T California to be the Arranged Carrier. Affected customers received clear and concise advance written notification beginning April 2 and continuing a rolling basis, more than 30 days prior to service transfer. On February 23, 2007, Applicant served its application and exit plan on the CLECs and counsel representing a broad range of telecommunications carriers known to provide service in its serving area as well as interested parties in the telecommunications industry.7 Applicant notes that AT&T California is its underlying network provider.
The CD has determined that Applicant's notification of affected entities satisfies our requirements. Thus, Applicant has satisfied our industry notification requirements.
4 Prior to adoption of D.06-10-021, we handled CLEC exit issues on a case-by-case basis, although we established requirements for utilities to provide customer notification when withdrawing service or transferring customers. (See D.02-01-038.)
5 An "NXX Code" is a block of 10,000 telephone numbers represented by the second set of three digits of a telephone number. An NXX Code is also referred to as a "prefix."
6 The "cut-off date" is defined as the date after which customers will have to wait until the mass migration is completed before they can obtain local exchange service from a different provider. When the customer is notified 60 days in advance of the proposed service termination date, the cut-off date is customarily 30 days from the scheduled migration.
7 Applicant served the Local Competition Service List, Rulemaking 95-04-043.
