Sec.  61.40   Private line rate structure guidelines.

   (a) The Commission uses a variety of tools to determine whether a carrier's
   private  line tariffs are just, reasonable, and nondiscriminatory. The
   carrier's burden of cost justification can be reduced when its private line
   rate structures comply with the following five guidelines.

   (1)  Rate  structures  for  the  same or comparable services should be
   integrated;

   (2) Rate structures for the same or comparable services should be consistent
   with one another;

   (3) Rate elements should be selected to reflect market demand, pricing
   convenience for the carrier and customers, and cost characteristics; a rate
   element  which  appears separately in one rate structure should appear
   separately in all other rate structures;

   (4) Rate elements should be consistently defined with respect to underlying
   service functions and should be consistently employed through all rate
   structures; and

   (5) Rate structures should be simple and easy to understand.

   (b) The guidelines do not preclude a carrier, in a given case when a private
   line tariff does not comply with these guidelines, from justifying its
   departure  from  the  guidelines  and showing that its tariff is just,
   reasonable, and nondiscriminatory.