Goto Section: 32.5300 | 32.6110 | Table of Contents

FCC 32.5999
Revised as of October 1, 2006
Goto Year:2005 | 2007
Sec.  32.5999   General.

   (a) Structure of the expense accounts. (1) The expense section of the system
   of accounts shall be organized by expense group summary account, and
   subsidiary record category (if required).

   (2) The expense section of this system of accounts shall be comprised of
   four major expense groups—Plant Specific Operations, Plant Nonspecific
   Operations, Customer Operations and Corporate Operations. Expenses to be
   recorded in Plant Specific and Plant Nonspecific Operations Expense Groups
   generally reflect cost associated with the various kinds of equipment
   identified in the plant asset accounts. Expenses to be recorded in the
   Customer Operations and Corporate Operations accounts reflect the costs of,
   or are associated with, functions performed by people, irrespective of the
   organization in which any particular function is performed.

   (3) Accounts shall be maintained as prescribed in this section subject to
   the conditions described in  Sec. 32.13 in subpart B. Subsidiary record
   categories may be required below the account level by this system of
   accounts or by Commission order.

   (b) Plant Specific Operations Expense. (1) The Plant Specific Operations
   Expense Accounts, 6110 through 6441, are used to record costs related to
   specific kinds of telecommunications plant.

   (2) The Plant Specific Operations Expense accounts predominantly mirror the
   telecommunications plant in service detail accounts and are numbered
   consistently with them; the first digit of the expense account being six (6)
   and the remaining digits being the same as the last three numbers of the
   related plant account. In classifying Plant Specific Operations expenses,
   the text of the corresponding plant account should be consulted to ensure
   appropriateness.

   (3) The Plant Specific Operations Expense accounts shall include the costs
   of inspecting, testing (except as specified in Account 6533, Testing
   Expense) and reporting on the condition of telecommunications plant to
   determine the need for repairs, replacements, rearrangements and changes;
   performing routine work to prevent trouble (except as specified in Account
   6533), replacing items of plant other than retirement units; rearranging and
   changing the location of plant not retired; repairing material for reuse;
   restoring the condition of plant damaged by storms, floods, fire or other
   casualties (other than the cost of replacing retirement units); inspecting
   after repairs have been made; and receiving training to perform these kinds
   of work. Also included are the costs of direct supervision (immediate of
   first-level) and office support of this work.

   (4) In addition to the activities specified in paragraph (b)(3) of this
   section, the appropriate Plant Specific Operations Expense accounts shall
   include the cost of personnel whose principal job is the operation of plant
   equipment, such as general purpose computer operators, aircraft pilots,
   chauffeurs and shuttle bus drivers. However, when the operation of equipment
   is performed as part of other identifiable functions (such as the use of
   office equipment, capital tools or motor vehicles), the operators' cost
   shall be charged to accounts appropriate for those functions. (For costs of
   operator services personnel, see Accounts 6621, Call completion services,
   and 6622, Number services, and for costs of test board personnel see Account
   6533.)

   (c) Plant nonspecific operations expense. The Plant Nonspecific Operations
   Expense accounts shall include expenses related to property held for future
   telecommunications use, provisioning expenses, network operations expenses,
   and depreciation and amortization expenses. Accounts in this group (except
   for Account 6540, Access expense, and Accounts 6560 through 6565) shall
   include the costs of performing activities described in narratives for
   individual accounts. These costs shall also include the costs of supervision
   and office support of these activities.

   (d) Customer Operations Expense. The Customer Operations Expense accounts
   shall include the cost of performing customer related marketing and services
   activities described in narratives for individual accounts. These costs
   shall also include the costs of supervision, office support and training for
   these activities.

   (e) Corporate Operations Expense. The Corporate Operations Expense accounts
   shall include the costs of performing executive and planning activities and
   general and administrative activities described in narratives for individual
   accounts. These costs shall also include the costs of supervision, office
   support and training for these activities.

   (f) Reimbursements. Reimbursements of actual costs incurred in connection
   with joint operations or projects repairing plant due to damages by others,
   and obligations to make changes in telecommunications plant (such as highway
   relocations), shall be credited to the accounts originally charged.

   (g) Expense accounts to be maintained.


------------------------------------------------------------------------
                                                  Class A      Class B
                 Account title                    account      account
------------------------------------------------------------------------
                       Income Statement Accounts
 ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨ ¨
Plant specific operations expense:
    Network support expense...................  ...........         6110
    Motor vehicle expense.....................         6112  ...........
    Aircraft expense..........................         6113  ...........
    Tools and other work equipment expense....         6114  ...........
    General support expenses..................  ...........         6120
    Land and building expenses................         6121  ...........
    Furniture and artworks expense............         6122  ...........
    Office equipment expense..................         6123  ...........
    General purpose computers expense.........         6124  ...........
    Central office switching expense..........  ...........         6210
    Non-digital switching expense.............         6211  ...........
    Digital electronic switching expense......         6212  ...........
    Operators system expense..................         6220         6220
    Central office transmission expenses......  ...........         6230
    Radio systems expense.....................         6231  ...........
    Circuit equipment expense.................         6232  ...........
    Information origination/termination         ...........         6310
     expense..................................
    Station apparatus expense.................         6311  ...........
    Large private branch exchange expense.....         6341  ...........
    Public telephone terminal equipment                6351  ...........
     expense..................................
    Other terminal equipment expense..........         6362  ...........
    Cable and wire facilities expenses........  ...........         6410
    Poles expense.............................         6411  ...........
    Aerial cable expense......................         6421  ...........
    Underground cable expense.................         6422  ...........
    Buried cable expense......................         6423  ...........
    Submarine and deep sea cable expense......         6424  ...........
    Intrabuilding network cable expense.......         6426  ...........
    Aerial wire expense.......................         6431  ...........
    Conduit systems expense...................         6441  ...........
Plant nonspecific operations expense:
    Other property plant and equipment          ...........         6510
     expenses.................................
    Property held for future                           6511  ...........
     telecommunications use expense...........
    Provisioning expense......................         6512  ...........
    Network operations expenses...............  ...........         6530
    Power expense.............................         6531  ...........
    Network administration expense............         6532  ...........
    Testing expense...........................         6533  ...........
    Plant operations administration expense...         6534  ...........
    Engineering expense.......................         6535  ...........
    Access expense............................         6540         6540
    Depreciation and amortization expenses....  ...........         6560
    Depreciation expense_telecommunications            6561  ...........
     plant in service.........................
    Depreciation expense_property held for             6562  ...........
     future telecommunications use............
    Amortization expense_tangible.............         6563  ...........
    Amortization expense_intangible...........         6564  ...........
    Amortization expense_other................         6565  ...........
Customer operations expense:
    Marketing.................................  ...........         6610
    Product management and sales..............         6611  ...........
    Product advertising.......................         6613  ...........
    Services..................................  ...........         6620
    Call completion services..................         6621  ...........
    Number services...........................         6622  ...........
    Customer services.........................         6623  ...........
Corporate operations expense:
    General and administrative................         6720         6720
    Provision for uncollectible notes                  6790         6790
     receivable...............................
------------------------------------------------------------------------

   [ 51 FR 43499 , Dec. 2, 1986, as amended at  52 FR 7580 , Mar. 12, 1987;  64 FR 50008 , Sept. 15, 1999;  65 FR 16335 , Mar. 28, 2000;  67 FR 5694 , Feb. 6, 2002;
    69 FR 53651 , Sept. 2, 2004]


Goto Section: 32.5300 | 32.6110

Goto Year: 2005 | 2007
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