ARCHIVED - Telecom Order CRTC 97-1761
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Telecom Order |
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Ottawa, 27 November 1997
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Telecom Order CRTC 97-1761
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On 25 August 1997, La Compagnie de Téléphone de St-Victor (St-Victor) filed an application for approval of the use of its excess earnings deferred in 1996.
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File No.: 96-2421
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1. Deferral accounts for excess earnings were established for the Quebec independents while under the jurisdiction of the Régie des télécommunications du Québec.
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2. In Regulatory Framework for the Independent Telephone Companies in Quebec and Ontario (Except Ontario Northland Transportation Commission, Québec-Téléphone and Télébec ltée), Telecom Decision CRTC 96-6, 7 August 1996 (Decision 96-6), the Commission directed that each company showing a balance in its deferral account accumulated to 31 December 1994 and any excess earnings deferred in 1995 and 1996 submit a plan for the disposition of the funds.
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3. The Commission expressed the preliminary view that it would be prepared to approve plans that would apply the funds accumulated to 31 December 1994 to the improvement of basic local service.
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4. Due to the existence of a contribution component in the Carrier Access Tariff (CAT) in 1995 and 1996, the Commission favoured a pro-rata refund of any excess earnings in those years to long distance carriers.
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5. The Commission issued Telecom Order CRTC 97-278 on 27 February 1997 ordering St-Victor to apply its deferral account balance of $294,000 at 31 December 1994 and excess earnings of $90,000 for the year ended 31 December 1995 to the assets acquired for improving basic local service.
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6. St-Victor indicated that it had for 1996 a revenue settlement agreement with Québec-Téléphone and was not part of any contribution component in the CAT.
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7. St-Victor has proposed to apply its excess earnings of $70,000 for the year ended 31 December 1996 to assets acquired for the purpose of improving basic local service.
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8. The Commission is of the view that St-Victor's excess earnings for the year ended 31 December 1996 should be applied to the assets acquired as outlined in its proposal, for the purpose of improving basic local service.
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9. In light of the foregoing, the Commission orders that:
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St-Victor apply its excess earnings for the year ended 31 December 1996 to the assets acquired for the purpose of improving basic local service.
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Laura M. Talbot-Allan
Secretary General |
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