Sec.  61.49   Supporting information to be submitted with letters of transmittal
for tariffs of carriers subject to price cap regulation.

   (a) Each price cap tariff filing must be accompanied by supporting materials
   sufficient to calculate required adjustments to each PCI, API, and SBI
   pursuant to the methodologies provided in  Sec.  Sec. 61.45, 61.46, and 61.47, as
   applicable.

   (b)  Each  price cap tariff filing that proposes rates that are within
   applicable bands established pursuant to  Sec. 61.47, and that results in an API
   value  that is equal to or less than the applicable PCI value, must be
   accompanied by supporting materials sufficient to establish compliance with
   the applicable bands, and to calculate the necessary adjustment to the
   affected APIs and SBIs pursuant to  Sec.  Sec. 61.46 and 61.47, respectively.

   (c) Each price cap tariff filing that proposes rates above the applicable
   band limits established in  Sec.  Sec. 61.47 (e) must be accompanied by supporting
   materials establishing substantial cause for the proposed rates.

   (d) Each price cap tariff filing that proposes rates that will result in an
   API value that exceeds the applicable PCI value must be accompanied by:

   (1) An explanation of the manner in which all costs have been allocated
   among baskets; and

   (2) Within the affected basket, a cost assignment slowing down to the lowest
   possible level of disaggregation, including a detailed explanation of the
   reasons for the prices of all rate elements to which costs are not assigned.

   (e) Each price cap tariff filing that proposes restructuring of existing
   rates must be accompanied by supporting materials sufficient to make the
   adjustments  to  each  affected API and SBI required by  Sec.  Sec. 61.46(c) and
   61.47(d), respectively.

   (f)(1) [Reserved]

   (2) Each tariff filing submitted by a price cap LEC that introduces a new
   loop-based  service,  as defined in  Sec. 61.3(pp) of this part—including a
   restructured unbundled basic service element (BSE), as defined in  Sec. 69.2(mm)
   of this chapter, that constitutes a new loop-based service—that is or will
   later be included in a basket, must be accompanied by cost data sufficient
   to establish that the new loop-based service or unbundled BSE will not
   recover more than a just and reasonable portion of the carrier's overhead
   costs.

   (3) A price cap LEC may submit without cost data any tariff filings that
   introduce new services, other than loop-based services.

   (4) A price cap LEC that has removed its corridor or interstate intraLATA
   toll services from its interexchange basket pursuant to  Sec. 61.42(d)(4)(ii),
   may submit its tariff filings for corridor or interstate intraLATA toll
   services without cost data.

   (g) Each tariff filing submitted by a local exchange carrier subject to
   price  cap  regulation  that  introduces a new loop-based service or a
   restructured unbundled basic service element (BSE), as defined in  Sec. 69.2(mm)
   of this chapter, that is or will later be included in a basket, or that
   introduces  or changes the rates for connection charge subelements for
   expanded interconnection, as defined in  Sec. 69.121 of this chapter, must also
   be accompanied by:

   (1) The following, including complete explanations of the bases for the
   estimates.

   (i) A study containing a projection of costs for a representative 12 month
   period; and

   (ii) Estimates of the effect of the new tariff on the traffic and revenues
   from  the service to which the new tariff applies, the carrier's other
   service classifications, and the carrier's overall traffic and revenues.
   These  estimates must include the projected effects on the traffic and
   revenues for the same representative 12 month period used in paragraph
   (g)(1)(i) of this section.

   (2) Working papers and statistical data. (i) Concurrently with the filing of
   any tariff change or tariff filing for a service not previously offered, the
   Chief, Tariff and Pricing Analysis Branch must be provided two sets of
   working papers containing the information underlying the data supplied in
   response to paragraph (h)(1) of this section, and a clear explanation of how
   the working papers relate to that information.

   (ii) All statistical studies must be submitted and supported in the form
   prescribed in  Sec. 1.363 of the Commission's rules.

   (h) Each tariff filing submitted by a local exchange carrier subject to
   price cap regulation that introduces or changes the rates for connection
   charge subelements for expanded interconnection, as defined in  Sec. 69.121 of
   this chapter, must be accompanied by cost data sufficient to establish that
   such charges will not recover more than a just and reasonable portion of the
   carrier's overhead costs.

   (i) [Reserved]

   (j) For a tariff that introduces a system of density pricing zones, as
   described in  Sec. 69.123 of this chapter, the carrier must, before filing its
   tariff,  submit  a  density  pricing  zone plan including, inter alia,
   documentation sufficient to establish that the system of zones reasonably
   reflects  cost-related  characteristics,  such as the density of total
   interstate traffic in central offices located in the respective zones, and
   receive approval of its proposed plan.

   (k)  In accordance with  Sec.  Sec. 61.41 through 61.49, local exchange carriers
   subject to price cap regulation that elect to file their annual access
   tariff pursuant to section 204(a)(3) of the Communications Act shall submit
   supporting material for their interstate annual access tariffs, absent rate
   information, 90 days prior to July 1 of each year.

   (l)  On  each page of cost support material submitted pursuant to this
   section, the carrier shall indicate the transmittal number under which that
   page was submitted.

   [ 54 FR 19843 , May 8, 1989, as amended at  55 FR 42384 , Oct. 19, 1990;  56 FR 5956 , Feb. 14, 1991;  56 FR 21617 , May 10, 1991;  56 FR 33880 , July 24, 1991;
    57 FR 37730 , Aug. 20, 1992;  57 FR 54331 , Nov. 18, 1992;  58 FR 17167 , Apr. 1,
   1993;  58 FR 38536 , July 19, 1993;  58 FR 48762 , Sept. 17, 1993;  59 FR 10304 ,
   Mar. 4, 1994;  62 FR 4659 , Jan. 31, 1997;  62 FR 5778 , Feb. 7, 1997;  62 FR 42218 , Aug. 6, 1997;  64 FR 46590 , 46593, Aug. 26, 1999;  64 FR 51266 , Sept.
   22, 1999]