Sec.  65.101   Initiation of unitary rate of return prescription proceedings.

   (a) Whenever the Commission determines that the monthly average yields on
   ten (10) year United States Treasury securities remain, for a consecutive
   six (6) month period, at least 150 basis points above or below the average
   of the monthly average yields in effect for the consecutive six (6) month
   period immediately prior to the effective date of the current prescription,
   the Commission shall issue a notice inquiring whether a rate of return
   prescription according to this part should commence. This notice shall
   state:

   (1)  The deadlines for filing initial and reply comments regarding the
   notice;

   (2)  The  cost of debt, cost of preferred stock, and capital structure
   computed in accordance with  Sec.  Sec. 65.302, 65.303, and 65.304; and

   (3) Such other information as the Commission may deem proper.

   (b) Based on the information submitted in response to the notice described
   in  Sec. 65.101(a), and on any other information specifically identified, the
   Commission may issue a notice initiating a prescription proceeding pursuant
   to this part.

   (c) The Chief, Wireline Competition Bureau, may issue the notice described
   in  Sec. 65.101(a).

   [ 60 FR 28544 , June 1, 1995, as amended at  67 FR 13229 , Mar. 21, 2002]