FCC Record, Volume 27, No. 11, Pages 8850 to 9847, July 30 - August 17, 2012 Page: 8,863

II. DISCUSSION
3. On March 1, 2012, Consolidated, Frontier, and Windstream filed a Joint Petition seeking
to convert their average schedule incumbent local exchange carrier (LEC) affiliates from average
schedule companies to price cap regulation.' Issues raised in the Joint Petition include the appropriate
methodology to set the Withdrawing Carriers' initial rates under price caps. The Withdrawing Carriers
filed rates in their new access tariffs based on the methodology under consideration in the still pending
Joint Petition. Incumbent LECs that are participating in the NECA-administered tariffs may exit those
tariffs, and average schedule carriers may elect to become cost carriers, or upon grant of a waiver, become
price cap carriers. Because the Commission has not yet acted on the Joint Petition, it has not yet
approved a methodology for setting the Withdrawing Carriers' initial rates or granted the Withdrawing
Carriers the waivers necessary to convert the subject affiliates. Thus, we conclude that substantial
questions exist regarding the lawfulness of the rates contained in the Consolidated Tariff FCC No. 2,
Transmittal No. 41; the Windstream Tariff F.C.C. No. 7, Transmittal No. 57; and the Frontier Tariff FCC
No. 10, Transmittal No. 28, which require further investigation. We will, accordingly, suspend all of the
rates contained in those tariff filings for one day, impose an accounting order, and initiate an investigation
into the lawfulness of the proposed tariffs. The investigation will be conducted pursuant to the docketed
proceeding addressing the Joint Petition. However, the Bureau reserves the right to issue a designation
order to identify specific issues that will be the subject of this investigation. Those issues may include,
but are not limited to, the issues identified in this paragraph. We may also, by order, identify discrete
issues that do not warrant further investigation.
III. EX PARTE REQUIREMENTS
4. This investigation is a permit-but-disclose proceeding and is subject to the requirements
of section 1.1206(b) of the Commission's rules.4 Persons making oral ex parte presentations are
reminded that memoranda summarizing the presentations must contain a summary of the substance of the
presentation and not merely a listing of the subjects discussed. More than a one- or two-sentence
description of the views and arguments presented is generally required.' Other rules pertaining to oral
and written presentations are also set forth in section 1.1206(b).
IV. ORDERING CLAUSES
5. Accordingly, IT IS ORDERED that, pursuant to sections 204(a) of the Communications
Act of 1934, as amended, 47 U.S.C. 204(a), and through the authority delegated pursuant to sections
0.91 and 0.291 of the Commission's rules, 47 C.F.R. 0.91 and 0.291, all of the rates filed by
Consolidated in Transmittal No. 41, Frontier in Transmittal No. 28, and Windstream in Transmittal No.
57, ARE SUSPENDED for one day and an investigation IS INSTITUTED.
6. IT IS FURTHER ORDERED that Consolidated, Frontier, and Windstream SHALL FILE
a supplement advancing the currently scheduled effective date to July 31, 2012, and then SUSPEND its
tariff revision for one day, until August 1, 2012. For this purpose, we waive sections 61.58, 61.59, and
61.86 of the Commission's rules, 47 C.F.R. 61.58, 61.59, 61.86.
7. IT IS FURTHER ORDERED that Consolidated, Frontier, and Windstream SHALL FILE
a supplement within five business days from the release date of this order reflecting the suspension.
See Joint Petition of Price Cap Holding Companies for Conversion of Average Schedule Affiliates to Price Cap
Regulation and for Limited Waiver Relief, WC Docket No. 12-63 (filed Mar. 1, 2012) (Joint Petition).
4 47 C.F.R. 1.1206(b).
51d.

8863

Federal Communications Commission

DA 12-1202