******************************************************** NOTICE ******************************************************** This document was converted from WordPerfect to ASCII Text format. Content from the original version of the document such as headers, footers, footnotes, endnotes, graphics, and page numbers will not show up in this text version. All text attributes such as bold, italic, underlining, etc. from the original document will not show up in this text version. Features of the original document layout such as columns, tables, line and letter spacing, pagination, and margins will not be preserved in the text version. If you need the complete document, download the WordPerfect version or Adobe Acrobat version, if available. ***************************************************************** Before the Federal Communications Commission Washington, D.C. 20554 In the Matter of ) ) Wilderness Valley Telephone Company, Inc. ) AAD 96-99 ) Petition For Waiver of Sections 69.605(c) and ) 69.3(e)(11) of the Commission's Rules ) ORDER ON RECONSIDERATION Adopted: March 31, 1998 Released: March 31, 1998 By the Chief, Accounting and Audits Division: I. INTRODUCTION 1. On February 26, 1998, the Accounting and Audits Division ("Division") released an Order granting Wilderness Valley's ("Wilderness Valley") petition requesting a waiver of section 69.605(c) of the Commission's rules to enable it to convert from cost study settlements to average schedule settlements and to participate in the National Exchange Carrier Association's ("NECA's") average schedule settlements. On our own motion, we adopt this Order on Reconsideration of the February 26, 1998 Order to address another specific waiver necessary to allow Wilderness Valley to participate in NECA's average schedule settlements. II. DISCUSSION 2. Under section 1.3 of our rules, we are required to grant waivers "if good cause therefor is shown." As interpreted by the courts, this requires that a petitioner demonstrate that "special circumstances warrant a deviation from the general rule and such a deviation will serve the public interest." 3. To be a member of NECA and to participate in its tariff, Wilderness Valley must be a "telephone company," as defined in Part 69 of the Commission's rules. Part 69 defines "telephone company" as an incumbent local exchange carrier ("incumbent LEC") as defined in section 251(h) of the Communications Act of 1934 ("Act"). Furthermore, section 69.601 of the Commission's rules, that governs the participation of telephone companies in NECA, only applies to incumbent LECs. Section 251(h)(1) defines an "incumbent LEC" as a provider of telephone exchange service and a member of NECA on the date of enactment of the 1996 Act. The section also provides that a successor or assign of an incumbent LEC is also an incumbent LEC. Wilderness Valley, however, is not a successor or assign, it did not provide any services on the date of enactment of the 1996 Act, and it is not a member of NECA. Thus, Wilderness Valley is not an incumbent LEC. 4. When the Commission revised section 69.2 to require that telephone companies be incumbent LECs to participate in NECA tariffs and pools, the Commission did not specifically provide for companies that do not meet the definition of incumbent LEC, that come into existence after the enactment of the 1996 Act and that serve previously unserved areas. To the extent necessary, therefore, we waive the incumbent LEC requirement of Part 69 of the Commission's rules for Wilderness Valley. This waiver permits Wilderness Valley to participate in NECA pools and tariffs and to become a member of NECA, but does not affect Wilderness Valley's obligations under section 251. III. ORDERING CLAUSE 5. Accordingly, IT IS ORDERED that, pursuant to the authority contained in sections 1, 4(i), 5(c), 201-205, 218-220, 254, and 405 of the Communications Act of 1934, as amended, 47 U.S.C.  151, 154, 155(c), 201-205, 218-220, 254, 405, and sections 1.3, 1.108. 0.91, and 0.291 of the Commission's rules, 47 C.F.R.  1.3, 1.108, 0.91, and 0.291, that the incumbent LEC requirements of sections 69.2 and 69.601 of the Commission's rules, 47 C.F.R.  69.2 and 69.601, ARE WAIVED to the extent discussed in this Order. FEDERAL COMMUNICATIONS COMMISSION Kenneth P. Moran Chief, Accounting and Audits Division