Editorial Note on Part 36
Editorial Note: Nomenclature changes to part 36 appear at 74 FR 23956, May 22, 2009, 77 FR 30411, May 23, 2012, 82 FR 25538, June 2, 2017, and corrected at 83 FR 4153, Jan. 30, 2018. Nomenclature changes to part 36 also appear at 83 FR 63587, Dec. 11, 2018, and 84 FR 4360, Feb. 15, 2019.

§ 36.377 Category 1—Local business office expense. ( a ) The expense in this category for the area under study is first segregated on the basis of an analysis of job functions into the following subcategories: End user service order processing; end user payment and collection; end user billing inquiry; interexchange carrier service order processing; interexchange carrier payment and collection; interexchange carrier billing inquiry; and coin collection and administration. Effective July 1, 2001, through December 31, 2024, study areas subject to price cap regulation, pursuant to § 61.41 of this chapter, shall assign the balance of Account 6620-Services to the subcategories, as specified in this paragraph (a), based on the relative percentage assignment of the balance of Account 6620 to these categories/subcategories during the twelve-month period ending December 31, 2000. ( 1 ) End-user service order processing includes expenses related to the receipt and processing of end users' orders for service and inquiries concerning service. This subcategory does not include any service order processing expenses for services provided to the interexchange carriers. End user service order processing expenses are first segregated into the following subcategories based on the relative number of actual contacts which are weighted, if appropriate, to reflect differences in the average work time per contact: Local service order processing; presubscription; directory advertising; State private line and special access; interstate private line and special access; other State message toll including WATS; other interstate message toll including WATS. ( i ) Local service order processing expense (primarily local telephone service orders) is assigned to the State jurisdiction.
( ii ) Presubscription service order processing expense is assigned to the interstate jurisdiction.
( iii ) Directory advertising service order processing expense is assigned to the State jurisdiction.
( iv ) State private line and special access service order processing expense is assigned to the State jurisdiction.
( v ) Interstate private line and special access service order processing expense is assigned to the interstate jurisdiction.
( vi ) Other State message toll including WATS service order processing expense is assigned to the State jurisdiction.
( vii ) Other Interstate message toll including WATS service order processing expense is assigned to the interstate jurisdiction.
( viii ) [Reserved]
( ix ) Effective July 1, 2001, through December 31, 2024, study areas subject to price cap regulation, pursuant to § 61.41 of this chapter, shall assign the balance of Account 6620-Services to the categories/subcategories, as specified in paragraphs (a)(1)(i) through (viii) of this section, based on the relative percentage assignment of the balance of Account 6620 to these categories/subcategories during the twelve-month period ending December 31, 2000. Effective July 1, 2001, through December 31, 2024, all study areas shall apportion TWX service order processing expense, as specified in paragraph (a)(1)(viii) of this section among the jurisdictions using relative billed TWX revenues for the twelve-month period ending December 31, 2000. All other subcategories of End-user service order processing expense, as specified in paragraphs (a)(1)(i) through (viii) shall be directly assigned.
( 2 ) End user payment and collection includes expenses incurred in relation to the payment and collection of amounts billed to end users. It also includes commissions paid to payment agencies (which receive payment on customer accounts) and collection agencies. This category does not include any payment or collection expenses for services provided to interexchange carriers. End user payment and collection expenses are first segregated into the following subcategories based on relative total state and interstate billed revenues (excluding revenues billed to interexchange carriers and/or revenues deposited in coin boxes) for services for which end user payment and collection is provided: State private line and special access; interstate private line and special access; State message toll including WATS; interstate message toll including WATS, and interstate subscriber line charge; local, including directory advertising. ( i ) State private line and special access payment and collection expense is assigned to the State jurisdiction.
( ii ) Interstate private line and special access payment and collection expense is assigned to the interstate jurisdiction.
( iii ) State message toll including WATS payment and collection expense is assigned to the State jurisdiction.
( iv ) Interstate message toll including WATS and interstate subscriber line charge payment and collection expense is assigned to the interstate jurisdiction.
( v ) Local, including directory advertising payment and collection expense is assigned to the State jurisdiction.
( vi ) [Reserved]
( vii ) Effective July 1, 2001, through December 31, 2024, study areas subject to price cap regulation, pursuant to § 61.41 of this chapter, shall assign the balance of Account 6620-Services to the subcategories, as specified in paragraphs (a)(2)(i) through (vi) of this section, based on the relative percentage assignment of the balance of Account 6620 to these categories/subcategories during the twelve-month period ending December 31, 2000. All other subcategories of End User payment and collection expense, as specified in paragraphs (a)(2)(i) through (v) of this section, shall be directly assigned.
( 3 ) End user billing inquiry includes expenses related to handling end users' inquiries concerning their bills. This category does not include expenses related to the inquiries of interexchange carriers concerning their bills. End user billing inquiry costs are first segregated into the following subcategories based on the relative number of actual contracts, weighted if appropriate, to reflect differences in the average work time per contact: State private line and special access; interstate private line and special access; State message toll including WATS, interstate message toll including WATS, interstate subscriber line charge; and other. ( i ) State private line and special access billing inquiry expense is directly assigned to the State jurisdiction.
( ii ) Interstate private line and special access billing inquiry expense is directly assigned to the interstate jurisdiction.
( iii ) State message toll including WATS billing inquiry expense is directly assigned to the State jurisdiction.
( iv ) Interstate message toll including WATS, and interstate subscriber line charge billing inquiry expense is directly assigned to the interstate jurisdiction.
( v ) [Reserved]
( vi ) Other billing inquiry expense (primarily related to local bills but also including directory advertising) is directly assigned to the State jurisdiction.
( vii ) Effective July 1, 2001, through December 31, 2024, study areas subject to price cap regulation, pursuant to § 61.41 of this chapter, shall assign the balance of Account 6620-Services to the subcategories, as specified in paragraphs (a)(3)(i) through (vi) of this section, based on the relative percentage assignment of the balance of Account 6620 to these subcategories during the twelve-month period ending December 31, 2000. All other subcategories of End user billing inquiry expense, as specified in paragraphs (a)(2)(i) through (vi) shall be directly assigned.
( 4 ) Interexchange carrier service order processing includes expenses associated with the receipt and processing of interexchange carrier orders for service and inquiries about service. Interexchange carrier service order processing expenses are assigned to the following subcategories based on the relative number of actual contacts which are weighted, if appropriate, to reflect differences in the average work time per contact: State special access and private line; interstate special access and private line; State switched access and message toll including WATS; interstate switched access and message toll including WATS; State billing and collection; and interstate billing and collection. ( i ) State special access and private line service order processing expense is directly assigned to the State jurisdiction.
( ii ) Interstate special access and private line service order processing expense is directly assigned to the interstate jurisdiction.
( iii ) State switched access and message toll including WATS service order processing expense is directly assigned to the State jurisdiction.
( iv ) Interstate switched access and message toll including WATS service order processing expense is directly assigned to the interstate jurisdiction.
( v ) State billing and collection service order processing expense is directly assigned to the state jurisdiction.
( vi ) Interstate billing and collection service order processing expense is directly assigned to the interstate jurisdiction.
( vii ) Effective July 1, 2001, through December 31, 2024, study areas subject to price cap regulation, pursuant to § 61.41 of this chapter, shall assign the balance of Account 6620-Services to the subcategories, as specified in paragraphs (a)(4)(i) through (vi) of this section, based on the relative percentage assignment of the balance of Account 6620 to these subcategories during the twelve-month period ending December 31, 2000. All subcategories of Interexchange carrier service order processing expense, as specified in paragraphs (a)(2)(i) through (vi), shall be directly assigned.
( 5 ) Interexchange carrier payment and collection includes expenses associated with the payment and collection of interexchange carrier billings, including commissions paid to payment and collection agents. Interexchange carrier payment and collection expenses are assigned to the following subcategories based on relative total State and interstate revenues billed to the interexchange carriers: State special access and private line; interstate special access and private line; State switched access and message toll including WATS; interstate switched access and message toll including WATS; State billing and collection; and interstate billing and collection. ( i ) State special access and private line payment and collection expense is directly assigned to the State jurisdiction.
( ii ) Interstate special access and private line payment and collection expense is directly assigned to the interstate jurisdiction.
( iii ) State switched access and message toll including WATS payment and collection expense is directly assigned to the State jurisdiction.
( iv ) Interstate switched access and message toll including WATS payment and collection expense is directly assigned to the interstate jurisdiction.
( v ) State billing and collection payment and collection expense is directly assigned to the State jurisdiction.
( vi ) Interstate billing and collection payment and collection expense is directly assigned to the interstate jurisdiction.
( vii ) Effective July 1, 2001, through December 31, 2024, study areas subject to price cap regulation, pursuant to § 61.41 of this chapter, shall assign the balance of Account 6620-Services to the subcategories, as specified in paragraphs (a)(5)(i) through (vi) of this section, based on the relative percentage assignment of the balance of Account 6620 to these subcategories during the twelve-month period ending December 31, 2000. All subcategories of Interexchange carrier payment expense, as specified in paragraphs (a)(2)(i) through (vi) shall be directly assigned.
( 6 ) Interexchange carrier billing inquiry includes expenses related to the handling of interexchange carrier billing inquiries. Interexchange carrier billing inquiry expenses are assigned to the following subcategories based on the relative number of actual contacts, weighted if appropriate, to reflect differences in the average work time per contact: State special access and private line; interstate special access and private line; State switched access and message toll including WATS; interstate switched access and message toll including WATS; State billing and collection; and interstate billing and collection. ( i ) State special access and private line billing inquiry expenses is directly assigned to the State jurisdiction.
( ii ) Interstate special access and private line billing inquiry expense is directly assigned to the interstate jurisdiction.
( iii ) State switched access and message toll including WATS billing inquiry expense is directly assigned to the State jurisdiction.
( iv ) Interstate switched access and message toll including WATS billing inquiry expense is directly assigned to the interstate jurisdiction.
( v ) State billing and collection billing inquiry expense is directly assigned to the State jurisdiction.
( vi ) Interstate Billing and Collection billing inquiry expense is directly assigned to the interstate jurisdiction.
( vii ) Effective July 1, 2001, through December 31, 2024, study areas subject to price cap regulation, pursuant to § 61.41 of this chapter, shall assign the balance of Account 6620-Services to the subcategories, as specified in paragraphs (a)(6)(i) through (vi) of this section, based on the relative percentage assignment of the balance of Account 6620 to these subcategories during the twelve-month period ending December 31, 2000. All subcategories of Interexchange carrier billing inquiry expense, as specified in paragraphs (a)(2)(i) through (vi), shall be directly assigned.
( 7 ) [Reserved]
( b ) [Reserved]
[52 FR 17229, May 6, 1987, as amended at 66 FR 33207, June 21, 2001; 71 FR 65746, Nov. 9, 2006; 75 FR 30301, June 1, 2010; 76 FR 30841, May 27, 2011; 79 FR 36238, June 26, 2014; 83 FR 63587, Dec. 11, 2018]