Sec. 61.41 Price cap requirements generally.
(a) Sections 61.42 through 61.49 shall apply as follows:
(1) To dominant interexchange carriers, as specified by Commission
(2) To such local exchange carriers as specified by Commission
order, and to all local exchange carriers, other than average schedule
companies, that are affiliated with such carriers; and
(3) On an elective basis, to local exchange carriers, other than
those specified in paragraph (a)(2) of this section, that are neither
participants in any Association tariff, nor affiliated with any such
participants, except that affiliation with average schedule companies
shall not bar a carrier from electing price cap regulation provided the
carrier is otherwise eligible.
(b) If a telephone company, or any one of a group of affiliated
telephone companies, files a price cap tariff in one study area, that
telephone company and its affiliates, except its average schedule
affiliates, must file price cap tariffs in all their study areas.
(c) The following rules apply to telephone companies subject to
price cap regulation, as that term is defined in Sec. 61.3(w), which are
involved in mergers, acquisitions, or similar transactions.
(1) Any telephone company subject to price cap regulation that is a
party to a merger, acquisition, or similar transaction shall continue to
be subject to price cap regulation notwithstanding such transaction.
(2) Where a telephone company subject to price cap regulation
acquires, is acquired by, merges with, or otherwise becomes affiliated
with a telephone company that is not subject to price cap regulation,
the latter telephone company shall become subject to price cap
regulation no later than one year following the effective date of such
merger, acquisition, or similar transaction and shall accordingly file
price cap tariffs to be effective no later than that date in accordance
with the applicable provisions of this part 61.
(3) Notwithstanding the provisions of Sec. 61.41(c)(2) above, when a
telephone company subject to price cap regulation acquires, is acquired
by, merges with, or otherwise becomes affiliated with a telephone
company that qualifies as an `average schedule' company, the latter
company may retain its `average schedule' status or become subject to
price cap regulation in accordance with Sec. 69.3(i)(3) and the
requirements referenced in that section.
(d) Local exchange carriers that become subject to price cap
regulation as that term is defined in Sec. 61.3(w) of this chapter shall
not be eligible to withdraw from such regulation.
[ 55 FR 42382 , Oct. 19, 1990; 55 FR 50558 , Dec. 7, 1990, as amended at 56 FR 55239 , Oct. 25, 1991]
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