NAC704.7597. Information to be filed with annual report.

The following information must be filed with the annual report of a local exchange company providing a service that has been deregulated:

     1. If the service has been totally deregulated:

     (a) The direct cost of the service pursuant to the Uniform System of Accounts, 47 C.F.R. § 32.23.

     (b) The method of determining and the amount of the common costs and general overhead expenses allocated, pursuant to the apportionment rules of 47 C.F.R. § 64.901 (Federal Communications Commission’s Order in Docket No. 86-111).

     2. For a service allowed flexibility of pricing or which is exempt from tariff:

     (a) The direct cost of and revenue from the service pursuant to the Uniform System of Accounts, 47 C.F.R. Part 32.

     (b) The method of determining and the amount of the common costs and general overhead expenses allocated to each account of the Uniform System of Accounts, 47 C.F.R. Part 32.

     (c) The current rate charged for the service and adequate information to verify that the rate charged will recover at least the long-run incremental costs associated with the service.

     3. If the service is allowed flexibility of pricing, is exempt from tariff, or has been totally deregulated, adequate information to verify:

     (a) That the sum of the earnings from basic service and service allowed flexibility of pricing are not subsidizing the earnings from service which is exempt from tariff or service which has been totally deregulated.

     (b) Compliance by the company with operational safeguards to ensure that the local exchange company will not impede competition by its control of the local network.

     (Added to NAC by Pub. Service Comm’n, eff. 1-23-87; A 1-11-91)