ARCHIVED - Telecom Decision CRTC 2014-86

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Route reference: Telecom Regulatory Policy 2013-160

Ottawa, 27 February 2014

Classification of small incumbent local exchange carrier basket 5 competitor services

File numbers: 8638-A2-201309196, 8638-C4-201309352, 8638-C41-201309394, 8638-D3-201310862, 8638-G1-201309542, 8638-K1-201310854, 8638-L2-201309526, 8638-M4-201309477, 8638-N51-201309170, 8638-O2-201309550, 8638-O31-201309617, 8638-P1-201309188, 8638-S4-201309443, 8638-S6-201309279, 8638-S7-201309427, 8638-T8-201309534, and 8638-U2-201309204

In this decision, the Commission approves the classification of the small ILECs’ basket 5 competitor services as set out in the Appendix to this decision.

Introduction

1. In Regulatory framework for the small incumbent local exchange carriers and related matters, Telecom Regulatory Policy CRTC 2013-160, 28 March 2013 (Telecom Regulatory Policy 2013-160), the Commission made determinations specific to the small incumbent local exchange carriers’ (ILECs) competitor services. For example, the Commission determined that it would allow small ILECs to make changes to their competitor service rates only if they provide supporting evidence or rationale, such as cost studies. It also determined, among other things, that rate ranges and rate de-averaging would not be available to the small ILECs for their competitor services.

2. In light of these determinations, the Commission established a fifth basket (basket 5) for small ILECs’ competitor services and concluded that services offered by small ILECs to competitors on a wholesale basis were to be included in this basket. The other four baskets are

• basket 1, which consists of single-line and party-line residential services, including all mandatory local exchange services, such as Touch-Tone service;
• basket 2, which consists of single-line, multi-line, and party-line business services, including mandatory local exchange services;
• basket 3, which consists of 9-1-1 service, message relay service, and toll restriction service; and
• basket 4, which consists of services not assigned to the other baskets.

3. To ensure the proper classification of basket 5 services, the Commission directed the small ILECs to file for Commission approval, within 90 days of the date of that decision, a list of all their services to be assigned to each of baskets 4 and 5.

4. Between 13 and 28 June 2013, the Commission received proposed lists of basket 4 and 5 services from the following small ILECs: Amtelecom Limited Partnership, operating as EastLink; CoopTel; La Cie de Téléphone de Courcelles Inc. (Courcelles); Dryden Municipal Telephone System (DMTS); Téléphone Guèvremont inc.; KMTS; La Compagnie de Téléphone de Lambton Inc.; Téléphone Milot inc. (Milot); NorthernTel, Limited Partnership (NorthernTel); the Independent Telecommunications Providers Association, on behalf of Brooke Telecom Co-operative Limited, Bruce Telecom, CityWest Telephone and Cable Corp., Cochrane Telecom Services, Execulink Telecom Inc., Gosfield North Communications Co-operative Limited, Hay Communications Co-operative Limited, Huron Telecommunications Co-operative Limited, Lansdowne Rural Telephone Company Limited, Mornington Communications Co-operative Limited, Nexicom Telecommunications Inc., Nexicom Telephones Inc., North Frontenac Telephone Corporation Limited, North Renfrew Telephone Company Limited, Quadro Communications Co-operative Inc., Roxborough Telephone Company Limited, Tuckersmith Communications Co-operative Limited, Wightman Telecom Limited, and WTC Communications; Ontera; People’s Tel Limited Partnership, operating as EastLink; Sogetel inc. (Sogetel); Le Téléphone de St-Éphrem inc. (St-Éphrem); La Compagnie de Téléphone de St-Victor (St-Victor); TBayTel; and La Compagnie de Téléphone Upton inc. (Upton).

5. The Commission received an intervention from TELUS Communications Company (TCC), dated 1 August 2013, in which TCC submitted that several small ILECs had misclassified or omitted certain competitor services. The Commission notes that during the proceeding, it received revised proposed lists of basket 4 and 5 services from Courcelles, DMTS, KMTS, Milot, NorthernTel, Sogetel, St-Éphrem, St-Victor, and Upton.

6. The public records of these proceedings, which closed on 13 December 2013 for DMTS, KMTS, and NorthernTel, and on 10 October 2013 for all the other small ILECs mentioned in paragraph 4, are available on the Commission’s website at www.crtc.gc.ca under “Public Proceedings” or by using the file numbers provided above.

Commission’s analysis and determinations

7. In the Appendix to this decision, the Commission lists the services provided by each of the small ILECs to be assigned to basket 5 because they are competitor services. These lists include services that the small ILECs submitted during these proceedings, as well as other services provided by the small ILECs that should have been proposed for inclusion in basket 5.

8. To identify the basket 5 competitor services, the Commission reviewed the small ILECs’ proposed lists of services for baskets 4 and 5 and made adjustments where required – that is, in cases where a competitor service was omitted or incorrectly assigned. For example, Ontera incorrectly listed its Support Structure Facilities service in basket 4, and TBayTel did not include its Co-Location Arrangements service in either of its basket 4 or basket 5 lists. The Commission has listed both of these services in basket 5. The Commission notes that the small ILECs’ applications regarding competitor services must meet the rules established in Telecom Regulatory Policy 2013-160. Therefore, none of these adjustments will have any effect on the rates or pricing policy for these services.

9. The Commission considers that the following types of services are competitor services: co-location services; toll network interconnection and ancillary services; local network interconnection and ancillary services; other interconnection arrangements, such as basic listing interchange file service, billed number screening database service, and zero-dialed emergency call routing service; wireless access services; and other services, such as support structure service, directory file service, operator services, and compensation per call service. The Commission will treat any existing or future competitor service not listed in the Appendix as a basket 5 service.

10. The Commission approves the classification of the small ILECs’ basket 5 competitor services as set out in the Appendix to this decision. The Commission does not consider it necessary to list the basket 4 services in this decision since those services continue to be those that do not qualify for inclusion in any of the other service baskets.

Secretary General

Appendix

Basket 5 competitor services by company

Date modified:

2014-02-27