[Federal Register Volume 61, Number 117 (Monday, June 17, 1996)]
[Rules and Regulations]
[Pages 30531-30532]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-15267]



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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Chapter I

[FCC 96-240]


Subsidiary Accounting Requirements Concerning Video Dialtone 
Costs and Revenues for Local Exchange Carriers Offering Video Dialtone 
Services

AGENCY: Federal Communications Commission.

ACTION: Final rule.

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SUMMARY: This Memorandum Opinion and Order requires LECs to change the 
classification of asynchronous transfer mode (ATM) switches from 
circuit equipment to switching equipment for the purposes of assigning 
investment to accounts in the Uniform System of Accounts. This 
Memorandum Opinion and Order disposes of six Applications for Review 
filed by or on behalf of local exchange carriers. The Memorandum 
Opinion and Order is intended to clarify the proper accounting 
treatment for the local exchange carriers' investment in ATM equipment.

EFFECTIVE DATE: July 17, 1996.

FOR FURTHER INFORMATION CONTACT: Thomas David, Tariff Division, Common 
Carrier Bureau, (202) 418-0850.

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's 
Memorandum Opinion and Order adopted May 29, 1996, and released May 30, 
1996. The full text of this Commission decision is available for 
inspection and copying during normal business hours in the FCC Public 
Reference Room (Room 230), 1919 M St., N.W., Washington, D.C. The 
complete text of this decision may also be purchased from the 
Commission's copy contractor, International Transcription Service, 
Suite 140, 2100 M Street, N.W., Washington, D.C. 20037.

Summary of Report and Order

    BellSouth, Southwestern Bell and NARUC challenge the Bureau's 
previous determination in Responsible Accounting Officer Letter 25 that 
ATM equipment should be classified as circuit equipment. The Commission 
agrees that certain types of ATM switching equipment route video 
signals along transmission paths and thus should be classified as 
switching equipment. The Commission further found that other ATM 
equipment used for video applications should be classified based on its 
function or use as either switching or circuit equipment.

Ordering Clauses

    1. Accordingly, pursuant to Sections 4(i), 4(j), and 220 of the 
Communications Act of 1934, as amended, 47 U.S.C. Secs. 154(i), 154(j), 
and 220 and Section 1.115 of our rules, 47 C.F.R. Sec. 1.115, it is 
ordered that the Applications for Review filed by Bell Atlantic 
Telephone Companies, BellSouth Telecommunications, Inc., GTE Service 
Corporation, National Telephone Cooperative Association, Southwestern 
Bell Telephone Company, and US West Communications, Inc. on or before 
May 3, 1995 are granted to the extent indicated in this Order and to 
the extent not granted, are dismissed.
    It is further ordered that, pursuant to Sections 4(i), 4(j), and 
220 of the Communications Act of 1934, as amended, 47 U.S.C. 
Secs. 154(i), 154(j), 220, and Sections 1.3 and 32.18 of our rules, 47 
C.F.R. Secs. 1.3 and 32.18, the Petition for Waiver filed by US West 
Communications Inc. on September 5, 1995 is dismissed.


[[Page 30532]]


Federal Communications Commission.
William F. Caton,
Acting Secretary.
[FR Doc. 96-15267 Filed 6-14-96; 8:45 am]
BILLING CODE 6712-01-P