ARCHIVED - Order CRTC 2001-66

Order CRTC 2001-66

Ottawa, 26 January 2001

CRTC approves a contribution exemption for RSL COM administrative lines

Reference: 8626-R7-03/00

The CRTC approves a contribution exemption for administrative lines provided to RSL COM by Bell Canada.

By letter dated 7 November 2000, RSL COM Canada Inc. applied for a contribution exemption with respect to certain local services used for administrative purposes. RSL COM requested that the exemption be effective the date of installation of the services.

RSL COM included an affidavit affirming that certain local services are used by RSL COM solely to make and receive administrative calls. The affidavit also affirmed that no local or interexchange private line services are connected to the local services to permit direct access to interexchange networks provided by RSL COM or any other affiliated or non-affiliated long distance network provider, such that appropriate contribution is not assessed. Further, RSL COM affirmed that the circuits are all PIC'ed (Preferred Interexchange Carrier) to RSL COM.

By letter dated 17 November 2000, Bell Canada stated that the affidavit appears to satisfy the evidentiary requirements associated with exemptions granted for administrative purposes. However, Bell Canada stated that it has reviewed its records and has discovered a number of discrepancies with respect to the circuits identified in the RSL COM affidavit. Accordingly, Bell Canada submitted that these circuits do not appear to satisfy the conditions specified in RSL COM's affidavit. Bell Canada provided a detailed list of these discrepancies in confidence to the Commission and RSL COM.

Bell Canada stated that the remaining circuits (those not listed in the attachment) are leased to RSL COM and are PIC'ed to the RSL COM network, consistent with RSL COM's claim in its application including the affirmation in its affidavit. Accordingly, Bell Canada submitted that these circuits appear to be eligible for an exemption, on the basis of the evidence provided by RSL COM, effective the date of installation.

In light of the foregoing, Bell Canada submitted that the Commission should require further clarification from RSL COM with respect to the circuits identified in the attachment before reaching a determination regarding the RSL COM application.

By letter dated 15 December 2000, RSL COM provided a revised affidavit correcting the discrepancies noted above, which were described as errors related to poor record keeping. RSL COM advised the Commission that it has taken steps to amend its processes and records so as to avoid a recurrence of such errors in future.

By letter dated 27 December 2000, Bell Canada stated that it has reviewed its records with respect to the corrections identified by RSL COM and confirmed that they appear to be consistent with its records of the services in question, with the exception of a minor typographical error. Bell Canada stated that it also reviewed the revised affidavit and noted that it appeared to satisfy the evidentiary requirements associated with exemptions granted for administrative purposes. Accordingly, Bell Canada agreed with the requested exemption.

The Commission is of the view that RSL COM has provided evidence that satisfies the evidentiary requirements for a contribution exemption for administrative circuits. Accordingly, the Commission approves RSL COM's application, effective the date of installation, such that no contribution is payable.

Secretary General

This document is available in alternative format upon request and may also be examined at the following Internet site: www.crtc.gc.ca