16. Assignment of Proceeding

Michael R. Peevey is the assigned Commissioner and Jacqueline A. Reed is the assigned ALJ in this proceeding.

Findings of Fact

1. Applicant is authorized by D.95-12-057 and D.96-02-072 to provide facilities-based local exchange service, local bundled calling plans, ancillary services and calling features.

2. Applicant requests authority to discontinue service to 242,179 customers.

3. No one opposes the Application.

4. Applicant presented AT&T California as its acquiring or arranged CLEC.

5. On November 27, 2007, the assigned ALJ ruled that AT&T California is designated the arranged carrier to serve Applicant's remaining customers who have not selected another carrier.

6. Applicant's exit plan is adequate and timely filed.

7. Applicant has satisfied the regulatory and industry notification requirements.

8. Applicant has satisfied the requirements concerning the contents and timing of customer notification letters.

9. Applicant has met the mass migration process requirements.

10. Applicant has satisfied the Commission's requirements for the discontinuance of service.

11. None of Applicant's customers are in jeopardy of losing local service. As the arranged carrier, AT&T California will serve Applicant's remaining customers who have not selected another carrier.

12. Applicant is in good standing with the Commission regarding its reporting and payment of surcharges and regulatory fees.

13. Applicant is currently designated as a COLR and an ETC in AT&T California's GSA.

14. Applicant seeks to voluntarily relinquish its COLR and ETC designations in AT&T California's GSA.

Conclusions of Law

1. This is a ratesetting proceeding.

2. There is no need for hearings.

3. AT&T California should be designated the arranged carrier for Applicant's remaining customers.

4. The ALJ Ruling of November 27, 2007, designating AT&T California as the default carrier for Applicant's remaining customers should be affirmed.

5. AT&T California's tariffed credit and collection procedures should apply to any of Applicant's customers transferred to it as the arranged carrier. AT&T California's other tariff provisions should apply when they do not conflict with D.06-10-021 or FCC requirements.

6. AT&T California should be required to file all quarterly reports required under GO 133-B for failure to meet service quality measures due to a mass migration 30 days after the quarter in which the migrations are completed, but any failure to meet service quality measures due to a mass migration should not be subject to penalties.

7. OSS performance measurement reports should be filed when due, but AT&T California should be allowed to request relief from incentive payments if the mass migration process results in a failure to meet required measurements.

8. The third-party verification requirements of Pub. Util. Code § 2889.5 should not apply to Applicant's customers transferred to AT&T California.

9. Applicant's residential local services in AT&T California's service area should be withdrawn in accordance with Commission rules after adoption of this decision.

10. Applicant's request to voluntarily relinquish its COLR status and its ETC status should be granted.

11. Because this matter is uncontested, this order should be effective immediately.

ORDER

IT IS ORDERED that:

1. The application of AT&T Communications of California, Inc. (Applicant) to discontinue the provision of residential local exchange telecommunications service and all related telecommunication service offerings within the incumbent local exchange service territory of Pacific Bell Telephone Company d/b/a AT&T California (AT&T California) on April 11, 2008, is granted.

2. AT&T California is designated the arranged carrier for Applicant's remaining customers.

3. AT&T California's tariff and collection procedures shall apply to any of Applicant's customers transferred to it as the arranged carrier from April 2, 2007 through April 11, 2008. AT&T California's other tariff provisions shall apply when they do not conflict with Decision 06-10-021 or Federal Communications Commission requirements.

4. AT&T California shall file all quarterly General Order 133-B reports addressing failure to meet service quality measures due to migrating Applicant's customers 30 days after the quarter in which the migration is completed. Failure to meet service quality measures due to migrating Applicant's customers shall not be subject to penalties.

5. AT&T California shall file Operations Support Systems performance measurement reports when due. AT&T California may request relief from incentive payments if the mass migration process for Applicant's customers results in a failure to meet applicable performance measures.

6. The third-party verification requirements of Pub. Util. Code § 2889.5 shall not apply when Applicant's customers are transferred to AT&T California.

7. Applicant's request to relinquish both its Carrier of Last Resort status and its Eligible Telecommunications Carrier status, in AT&T California's geographic service area, is granted.

8. Application 07-02-024 is closed.

This order is effective today.

Dated April 10, 2008, at San Francisco, California.

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