Ill. Admin. Code tit. 83, § 791.200 - Aggregate Revenue Test for Competitive Services
a)
The competitive services of a carrier that provides both competitive and
noncompetitive services shall provide revenues which equal or exceed the sum of the
following:
1) The sum of the LRSICs of all
competitive services, less the LRSICs of noncompetitive tariffed elements that are
imputed into the costs of those services;
2) The sum of the imputed costs of the
noncompetitive tariffed elements that are inputs to competitive services;
and
3) The common costs that are to be
allocated to competitive services pursuant to the relative LRSIC method. The portion
of common costs that shall be recovered by competitive services in the aggregate
shall be equal to the ratio of the amount in subsection (a)(3)(A) to the amount in
subsection (a)(3)(B):
A) The sum of the LRSICs of
all competitive services, less the LRSICs of noncompetitive tariffed elements that
are imputed into the costs of these services; and
B) The sum of the LRSICs of all noncompetitive and
competitive services of the carrier.
b) The aggregate revenue test shall be provided in
the following proceedings:
1) In any proceeding
approving, implementing, or evaluating an alternative form of regulation under
Section 13-506.1 of the Act;
2) In a
general rate case;
3) In a proceeding
involving the introduction of a new competitive telecommunications
service;
4) In a proceeding to
reclassify a non-competitive telecommunications service to competitive;
5) Notwithstanding the provisions of subsections
(b)(1), (2), (3), and (4) of this Section, and upon good cause shown, the aggregate
revenue test shall be provided, upon motion of a party and order of the Hearing
Examiner, in any other proceeding approving, investigating or establishing rates,
charges, classifications or tariffs for telecommunications services offered by a
telecommunications service provider that provides both competitive and
non-competitive services. Any motion requesting an aggregate revenue test shall be
filed within 30 days after the docketing of the underlying proceeding. Responses to
such motions shall be filed within 14 days after the filing of the motion. Failure
to file the motion within 30 days after the docketing of the proceeding shall be an
independent ground for denying the motion. Failure to file responses within 14 days
after the filing of the motion shall be an independent ground for granting the
motion. Factors to be considered in determining the propriety of granting such a
motion shall include but not be limited to:
A) The
length of time elapsed since the LEC last filed an aggregate revenue test;
B) The revenues projected to be generated by the
service or services under consideration compared with total company service
revenues;
C) The number of competitive
and non-competitive services currently being offered by the LEC; and
D) The cost associated with performing the
aggregate revenue test.
c) The carrier may file a petition pursuant to 83
Ill. Adm. Code 200 for a waiver of the requirement to use the methodology required
by subsection (a)(3) to apportion costs common to the provision of both competitive
and noncompetitive services. The waiver shall be granted within 90 days after the
filing of a petition for waiver if the carrier can demonstrate that using the
methodology required by subsection (a)(3) would be cost prohibitive or, in
accordance with subsection (b)(3), would prevent a carrier from offering the new
competitive service. To comply with Section 13-507 requiring a telecommunications
carrier providing both competitive and noncompetitive services to recover the
aggregate LRSICs of its competitive services plus a proper and reasonable
apportionment of common costs, a substitute allocator is required. The burden of
proving the reasonableness of a substitute common cost allocation methodology shall
be upon its proponent. The Commission reserves the right to authorize the use of
superior methodologies apportioning common costs should they arise.
d) For a carrier seeking approval of an
alternative regulatory plan under Section 13-506.1 of the Act, the Commission shall
make a finding of, or adopt a methodology for determining, the amount to be
allocated for purposes of subsection (a)(3) in any order approving an alternative
regulatory plan.
e) In lieu of preparing
an LRSIC study, the carrier may provide alternative cost data. Nothing in this
subsection shall relieve carriers from the requirements of Section 13-507 of the
Act.
Notes
Amended at 36 Ill. Reg. 15094, effective October 1, 2012
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