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Ottawa, 29 December 1994
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Telecom Public Notice CRTC 94-58
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IMPLEMENTATION OF REGULATORY FRAMEWORK - ISSUES RELATED TO MANITOBA TELEPHONE SYSTEM AND RECONSIDERATION OF RATE REBALANCING
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I GENERAL
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In Implementation of Regulatory Framework - Split Rate Base, 1995 Contribution Charges, Broadband Initiatives and Related Matters, Telecom Public Notice CRTC 94-52, 1 November 1994 (Public Notice 94-52), the Commission initiated a proceeding to consider, among other things, (1) 1995 contribution charges, (2) the splitting of the rate bases of AGT Limited (AGT), BC TEL, Bell Canada (Bell), The Island Telephone Company Limited (Island Tel), Manitoba Telephone System (Manitoba Tel), Maritime Tel & Tel Limited (MT&T), The New Brunswick Telephone Company Limited (NBTel) and Newfoundland Telephone Company Limited (Newfoundland Tel), and (3) issues related to investment in broadband infrastructure by these companies.
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In Implementation of Regulatory Framework - Stentor Broadband Initiatives and Canada/U.S. Cost Comparisons, Telecom Public Notice CRTC 94-56, 7 December 1994 (Public Notice 94-56), the Commission expanded the scope of the proceeding initiated by Public Notice 94-52 to include a consideration of Canada/U.S. cost comparisons. In addition, the applicable procedure was revised to permit an oral public hearing to deal with issues related to cost comparisons and to telephone company broadband initiatives.
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In order-in-council P.C. 1994-2036, 13 December 1994, the Governor General in Council referred back to the Commission that portion of Review of Regulatory Framework, Telecom Decision 94-19, 16 September 1994 (Decision 94-19), pursuant to which the Stentor members subject to the Decision were to file tariff revisions providing for local rate increases and offsetting basic toll rate decreases. That portion of Decision 94-19 was stayed pending reconsideration by the Commission. The Governor General in Council stated that he considered it material to the Commission's reconsideration of the relevant portion of Decision 94-19 that the Commission compare Phase III cost allocations with external benchmarks. In addition, the Governor General in Council specified that the Commission's reconsideration should be completed by no later than 31 October 1995.
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In light of the above, the Commission expands the scope of the proceeding initiated by Public Notice 94-52, as amended by Public Notice 94-56, to include a reconsideration of that portion of Decision 94-19 referred back to the Commission in order-in-council P.C. 1994-2036. The Commission notes that it has returned to the telephone companies all tariff notices filed to implement local rate increases and basic toll rate decreases pursuant to Decision 94-19.
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In light of concerns expressed by various parties, the Commission will also include in the expanded proceeding a consideration of the application of Decision 94-19 to Manitoba Tel. Manitoba Tel will remain a party to this proceeding with regard to other issues, including those directly related to the implementation of Decision 94-19. Thus, should the Commission determine that Decision 94-19 should apply to Manitoba Tel (in whole or in part), it will have a basis on which to implement that determination.
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An oral public hearing is scheduled to take place in Hull, Quebec, commencing on 8 May 1995. In light of the expanded scope of the proceeding, the Commission does not consider it feasible to maintain a separate paper process for certain issues, as contemplated by Public Notice 94-56. Accordingly, all issues raised in this Public Notice and in Public Notices 94-52 and 94-56 may be raised at the oral hearing by the Commission or by parties. In light of the expanded scope of the oral hearing, the Commission anticipates that it will last longer than the four weeks originally contemplated.
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The revised procedure applicable to the proceeding, which replaces the procedure originally contained in Public Notice 94-52 and revised by Public Notice 94-56, is set out below in its entirety. For greater clarity, the Commission has, where applicable, set out the relevant filing dates separately by issue.
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II REVISED PROCEDURE
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A. General
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1. AGT, Bell, BC TEL, Island Tel, MT&T, Manitoba Tel, NBTel, Newfoundland Tel (the telephone companies), ACC Long Distance Ltd., Cam-Net Communications Inc., Fonorola Inc., Sprint Canada Inc., Smart Talk Network, TelRoute Communications Inc., Unitel Communications Inc. (Unitel) and Westel Telecommunications Ltd. (the entrants) have been made party to the proceeding.
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2. Other parties wishing to participate fully in this proceeding (be served with copies of various submissions, appear at the hearing, etc.) must notify the Commission of their intention to do so by writing to Mr. Allan J. Darling, Secretary General, CRTC, Ottawa, Ontario, K1A 0N2, fax: 819-953-0795, by 15 January 1995. The Commission will issue a complete list of parties and their mailing addresses.
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3. Any party who wishes merely to file written comments in this proceeding, without receiving copies of the various submissions or appearing at the hearing, may do so by writing to the Commission at the address noted in the previous paragraph by 31 May 1995.
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4. Where a document is to be filed or served by a specific date, the document must be actually received, not merely mailed, by that date.
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B. Split Rate Base, Contribution Charges, Broadband Initiatives, Cost Comparisons
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5. Pursuant to Public Notice 94-52, telephone companies and entrants filed historical demand data, serving copies on each other, by 15 November 1994. Other parties are to be served with this information by 31 January 1995.
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6. Pursuant to Public Notice 94-52, the telephone companies filed interim contribution rates, serving copies on each other and on entrants, by 1 December 1994. Other parties are to be served with this information by 31 January 1995.
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7. By 31 January 1995, the telephone companies are to file and serve on parties all proposals and information required by Part II of Public Notice 94-52 (including information pertaining to their broadband initiatives).
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By 31 January 1995, the telephone companies and Unitel are to file and serve on parties evidence regarding external cost comparisons.
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Other parties who wish to file and serve evidence with regard to external cost comparisons, other than reply or rebuttal evidence, must do so by 31 January 1995.
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Parties other than the telephone companies may also file and serve, by 31 January 1995, evidence or other submissions regarding contribution charges and the splitting of the rate bases of the telephone companies. (Parties may file written submissions with regard to broadband initiatives pursuant to paragraph 13, below.)
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As noted in Public Notice 94-52, those parties to whom the Commission has addressed interrogatories (by letter dated 1 November 1994) have been directed to file responses, serving copies on all parties, by 31 January 1995.
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8. Any party may address interrogatories to any party who files submissions pursuant to paragraph 5, 6 or 7, above. Any such interrogatories must be filed with the Commission and served on the party or parties in question by 20 February 1995.
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9. Responses to interrogatories addressed pursuant to paragraph 8 are to be filed with the Commission and served on all parties by 13 March 1995.
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10. Requests by parties for further responses to their interrogatories, specifying in each case why a further response is both relevant and necessary, and requests for public disclosure of information for which confidentiality has been claimed, setting out the reasons for disclosure, must be filed with the Commission and served on the party or parties in question by 17 March 1995.
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11. Written responses to requests for further responses to interrogatories and for public disclosure must be filed with the Commission and served on the party making the request by 22 March 1995.
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12. The Commission will issue a determination with respect to requests for disclosure and for further responses as soon as possible, and intends to direct that any information to be provided pursuant to that determination be filed with the Commission and served on all parties to the proceeding by 7 April 1995.
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13. Parties other than the telephone companies may, by 20 March 1995, file with the Commission and serve on other parties evidence or other submissions regarding the telephone companies' broadband initiatives. All parties may, by the same date, file reply or rebuttal evidence regarding external cost comparisons, contribution charges and the splitting of the rate bases of the telephone companies.
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14. Parties may address interrogatories to any party who files submissions pursuant to paragraph 13, above. Any such interrogatories must be filed with the Commission and served on the party or parties in question by 7 April 1995.
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15. Responses to interrogatories addressed pursuant to paragraph 14, above, are to be filed and served on all parties by 1 May 1995.
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16. Requests by parties for further responses to their interrogatories, specifying in each case why a further response is both relevant and necessary, and requests for public disclosure of information for which confidentiality has been claimed, setting out the reasons for disclosure, must be filed with the Commission and served on the party or parties in question by 4 May 1995.
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C. Rate Rebalancing and Applicability of Decision 94-19 to Manitoba Tel
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17. Parties may, by 20 February 1995, file and serve on other parties evidence or other submissions related to that portion of Decision 94-19 providing for rate rebalancing and to the applicability of Decision 94-19 to Manitoba Tel.
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18. Parties may, by 20 March 1995, file and serve on other parties reply or rebuttal evidence to submissions made pursuant to paragraph 17, above.
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19. Any party may address interrogatories to any party who files submissions pursuant to paragraph 17 or 18, above. Any such interrogatories must be filed with the Commission and served on the party or parties in question by 7 April 1995.
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20. Responses to interrogatories addressed pursuant to paragraph 19 are to be filed with the Commission and served on all parties by 1 May 1995.
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21. Requests by parties for further responses to their interrogatories, specifying in each case why a further response is both relevant and necessary, and requests for public disclosure of information for which confidentiality has been claimed, setting out the reasons for disclosure, must be filed with the Commission and served on the party or parties in question by 4 May 1995.
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D. The Oral Hearing
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22. Any party who intends to make a witness or witnesses available for the public hearing is to so indicate to the Commission and to other parties by 20 March 1995.
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23. An oral public hearing is scheduled to begin at 9:00 a.m. on 8 May 1995 in Hull, Quebec. This hearing will address all issues raised in this Public Notice and in Public Notices 94-52 and 94-56. At the outset of the hearing, the Commission will deal with any outstanding requests for further responses to interrogatories or for the release of confidential information. The Commission anticipates that final and reply argument will take place at the hearing.
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24. The Commission will issue further directions with respect to the conduct of the oral public hearing.
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Allan J. Darling
Secretary General
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