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$// Suspension Order, 47 U.S.C. Sec. 204; DA 98-737 //$
$/Sec. 0.291, Del. Auth. /$
                                                    
Before the 
      
FEDERAL COMM              UNICATIONS COMMISSION
 Washington,                    D.C. 20554

In the Matter of                                 ) 
                  )
NYNEX Telephone Companies                  )
Revisions to Tariff F.C.C. No. 1                 )     Transmittal Nos. 494, 497 
                                                 )

ORDER
                        
Adopted: April 16, 1998;  Released: April 16, 1998 

By the Chief, Competitive Pricing Division, Common Carrier Bureau: 

      1.  On April 2, 1998, the NYNEX Telephone Companies (NYNEX) filed Transmittal No. 494
to establish special access and switched transport expanded interconnection through virtual collocation
in its New York study area.  Expanded interconnection enables parties to compete with local
exchange carriers (LECs) by offering access services through the interconnection of their circuits with
the LEC's network at a central office.  Virtual collocation is a service that allows the interconnector to
designate, monitor and control transmission equipment located in the LEC's central office.  With
virtual collocation service, the LEC owns, installs, and maintains the transmission equipment and the
interconnector pays for the installation, use, and maintenance of the equipment.

      2.   Transmittal 494 is scheduled to take effect on April 17, 1998.  On April 9, 1998, four
parties filed petitions to reject or suspend and investigate Transmittal 494.  NYNEX filed an
opposition to those petitions on April 15, 1998.  In pertinent part, the petitioners note that an
investigation of other LECs' virtual collocation tariffs is pending, and argue that NYNEX's
Transmittal 494 raises the same issues as the virtual collocation tariffs currently under investigation. 
NYNEX responds that it has supported its rates in sufficient detail to comply with the Commission's
rules, and that suspension is therefore unnecessary. 

      3.  We have reviewed Transmittal 494 and the associated petitions.  We conclude that
Transmittal 494 raises substantial questions of lawfulness for the same reasons that the Bureau has
suspended and initiated investigations into other LECs' virtual collocation tariffs.  Accordingly,
Transmittal 494 will become effective following a one-day suspension.  These rates will also be
subject to an accounting order to facilitate any refunds that may later prove necessary.  In a later
Order, the Bureau will address the particular arguments raised by petitioners here, and designate
specific issues for investigation.
 
      4.  Accordingly, IT IS ORDERED that the petitions to suspend and investigate NYNEX
Telephone Companies' Revisions to its Tariff F.C.C. No. 1, Transmittal No. 494, filed by the
Association for Local Telecommunications Services, MCI Telecommunications, Inc., Teleport
Communications Group, Inc., and WorldCom, Inc., ARE GRANTED, to the extent indicated above,
and otherwise ARE DENIED.

      5.  IT IS FURTHER ORDERED that, pursuant to Section 204(a) of the Communications Act
of 1934, 47 U.S.C.  204(a), and Section 0.291 of the Commission's Rules, 47 C.F.R.  0.291, the
NYNEX Telephone Companies' Revisions to its Tariff F.C.C. No. 1, Transmittal Nos. 494 and 497,
ARE SUSPENDED for one day, and an investigation of the referenced tariff transmittals IS
INSTITUTED.
  
      6.  IT IS FURTHER ORDERED that the NYNEX Telephone Companies SHALL FILE tariff
revisions reflecting the suspension no later than five business days from the release date of this Order.
  
      7.  IT IS FURTHER ORDERED that, for these purposes, we waive Sections 61.58 and 61.59
of the Commission's Rules, 47 C.F.R.  61.58, 61.59.  The NYNEX Telephone Companies should
cite the "DA" number of the instant Order as the authority for this filing.

      8.  IT IS FURTHER ORDERED that, pursuant to Section 204(a) of the Communications Act
of 1934, 47 U.S.C.  204(a), the NYNEX Telephone Companies shall keep accurate account of all
amounts received by reason of the rates that are the subject of this investigation.
   


                  FEDERAL COMMUNICATIONS COMMISSION




                  Jane E. Jackson
                        Chief, Competitive Pricing Division
                  Common Carrier Bureau