ARCHIVED - Telecom Public Notice CRTC 2003-7

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Telecom Public Notice CRTC 2003-7

Ottawa, 20 June 2003

Northwestel Inc. - Annual review of supplemental funding

Reference: 8695-C12-200307414

With this public notice, the Commission initiates a proceeding to determine Northwestel Inc.'s 2003 supplemental funding requirement, assess the roll-out of the company's service improvement plan, review the progress made towards toll competition in the north and assess the company's recent quality of service results.

Introduction

1.

In Northwestel Inc. - Initial annual review of supplemental funding, Telecom Decision CRTC 2003-39, 20 June 2003 (Decision 2003-39), the Commission determined, among other things, that the current regulatory framework for Northwestel Inc. (Northwestel) would remain in place at least until the completion of the company's service improvement plan (SIP) at the end of 2004. The current regulatory framework includes the continuation of a total company, rate base/rate of return form of regulation, the maintenance of a bundled, subsidized carrier access tariff (CAT) rate of $0.07, and the continuation of no earnings sharing for amounts earned in excess of the top of the company's rate of return on equity range.

2.

In Decision 2003-39, the Commission approved supplemental funding for Northwestel of $13.4 million for 2002, and found that the interim 2003 supplemental funding amount should be reduced to $13.4 million. The Commission also approved Northwestel's revised SIP, including the toll-free Internet access proposal and part of the Call Management Services proposal. Further, the Commission indicated that the review to establish Northwestel's 2003 supplemental funding requirement would be limited in nature.

Scope of the proceeding

3.

The Commission hereby initiates a proceeding to determine Northwestel's 2003 supplemental funding requirement, assess the roll-out of the company's SIP, review the progress made towards toll competition in the north and assess the recent quality of service results. The determination of the 2003 supplemental funding requirement will include an assessment of (a) variances in the company's capital plan, (b) productivity improvements made by the company, (c) any changes to depreciation life characteristics, and (d) equal access expenditures.

4.

In light of the Commission's determinations, in Decision 2003-39, that the current regulatory framework for Northwestel and the revenue deferral account would remain in place until at least the completion of the company's SIP at the end of 2004, issues with respect to the form of regulation, the CAT rate, earnings sharing and the revenue deferral account mechanism will not be addressed in this proceeding.

5.

On 10 March 2003, Northwestel filed depreciation studies for a number of accounts. These studies have been placed on the public record of this proceeding and will be addressed as part of the review of the 2003 supplemental funding requirement.

Procedure

6.

Northwestel is made a party to this proceeding. Other parties wishing to participate fully in this proceeding must notify the Commission of their intention to do so by 4 July 2003. They should contact the Secretary General by mail at CRTC, Ottawa, Ontario, K1A 0N2; by fax at (819) 953-0795; or by email at procedure@crtc.gc.ca. They are to indicate in the notice their email address where available. If parties do not have access to the Internet, they are to indicate in their notice whether they wish to receive disk versions of hard copy filings.

7.

The Commission will issue, as soon as possible after the registration date, a complete list of interested parties and their mailing address (including their email address, if available), identifying those parties who wish to receive disk versions.

8.

The Commission directs Northwestel to notify its subscribers of this proceeding and to outline the scope, the issues and the deadlines for public comments. Subscriber notification is to take the form of newspaper notices to be published no later than 8 August 2003. The Commission also directs Northwestel to file its proposed newspaper notices for approval by 18 July 2003.

9.

Any party who wishes merely to file written comments, without receiving copies of the various submissions, may do so by writing to the Commission at the address noted in paragraph 6 by 24 October 2003.

10.

Northwestel is directed to file with the Commission responses to the initial interrogatories sent on the date of this public notice and to serve copies of these responses on all parties by 18 July 2003.

11.

Northwestel is to file with the Commission, serving copies on all parties, its evidence on all matters within the scope of this proceeding. All such material is to be filed with the Commission and served on all parties by 18 July 2003.

12.

Interested parties may address interrogatories to Northwestel. Any such interrogatories must be filed with the Commission and served on the company by 15 August 2003.

13.

Responses to those interrogatories are to be filed with the Commission and served on all interested parties by 12 September 2003.

14.

Requests by interested 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 in each case the reasons for disclosure, must be filed with the Commission and served on Northwestel by 19 September 2003.

15.

Written responses to requests for further responses to interrogatories and for public disclosure must be filed with the Commission and served on the party who made the request by 26 September 2003.

16.

A determination with respect to requests for further information and public disclosure will be disposed of as soon as possible. Any information to be provided pursuant to that determination must be filed with the Commission and served on all interested parties by 17 October 2003.

17.

Northwestel and interested parties may file arguments with the Commission on any matters within the scope of this proceeding, serving copies on all other parties, by 24 October 2003.

18.

All parties may file reply arguments with the Commission, serving a copy on all other parties, by 7 November 2003.

19.

Where a document is to be filed or served by a specific date, the document must be actually received, not merely sent, by that date.

20.

Parties can file their submissions electronically or on paper. Submissions longer than five pages should include a summary.

21.

Where the submission is filed by electronic means, the line ***End of document*** should be entered following the last paragraph of the document, as an indication that the document has not been damaged during electronic transmission.

22.

Please note that only those submissions electronically filed will be placed on the Commission's web site and only in the official language and format in which they are submitted.

23.

Each paragraph of your submission should be numbered.

24.

The Commission also encourages interested parties to monitor the record of this proceeding (and/or the Commission's web site) for additional information that they may find useful when preparing their submissions.

Location of CRTC offices

25.

Submissions may be examined or will be made available promptly upon request at the Commission offices during normal business hours:

Central Building
Les Terrasses de la Chaudière
1 Promenade du Portage, Room G-5
Gatineau, Quebec K1A ON2
Tel: (819) 997-2429 - TDD: 994-0423
Fax: (819) 994-0218

10405 Jasper Avenue, Suite 520
Edmonton, Alberta T5J 3N4
Tel: (780) 495-3224
Fax: (780) 495-3214

530-580 Hornby Street
Vancouver, British Columbia V6C 3B6
Tel: (604) 666-2111 - TDD: 666-0778
Fax: (604) 666-8322

Secretary General

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


Date Modified: 2003-06-20

Date modified: