New York Codes, Rules and Regulations › Title 16 - DEPARTMENT OF PUBLIC SERVICE › Chapter VI - TELEPHONE AND TELEGRAPH CORPORATIONS › Subchapter E - Uniform Systems Of Accounts › Article 1 - Telephone Corporations › Part 661 - Instructions-general › Section 661.14 - Nonregulated activities

Current through Register Vol. 46, No. 28, July 10, 2024
(a) This
					 section describes the accounting treatment of activities classified for
					 accounting purposes as nonregulated. Preemptively deregulated activities and
					 activities (other than incidental activities) never subject to regulation will
					 be classified for accounting purposes as nonregulated. Activities that qualify
					 for incidental treatment under the policies of this commission will be
					 classified for accounting purposes as regulated activities. Activities that
					 have been deregulated by this commission will be classified for accounting
					 purposes as nonregulated activities. Activities that have been deregulated at
					 the interstate level, but not preemptively deregulated, will be classified for
					 accounting purposes as regulated activities until such time as this commission
					 decides otherwise. The treatment of nonregulated activities shall differ
					 depending on the extent of the common or joint use of assets and resources in
					 the provision of both regulated and nonregulated products and
					 services.
(b) When a nonregulated
					 activity does not involve the joint or common use of assets and resources in
					 the provision of both regulated and nonregulated products and services,
					 carriers shall account for these activities on a separate set of books
					 consistent with the instructions set forth in accounts 1406, Nonregulated
					 Investments, and 7990, Nonregulated Net Income. Transfers of assets and sales
					 of products and services between the regulated activity and a nonregulated
					 activity for which a separate set of books is maintained, shall be accounted
					 for in accordance with the rules presented in section
					 661.16,
					 Transactions with Affiliates. In a separate set of books, carriers may
					 establish whatever detail they deem appropriate beyond what is necessary to
					 provide this commission with the information required in accounts 1406 and
					 7990.
(c) When a nonregulated
					 activity does involve the common or joint use of assets and resources in the
					 provision of regulated and nonregulated products and services, carriers shall
					 account for these activities within accounts prescribed in this system for
					 telephone company operations. Assets and expenses shall be subdivided in
					 subsidiary records among amounts solely assignable to nonregulated activities,
					 amounts solely assignable to regulated activities, and amounts related to
					 assets and expenses incurred jointly or in common, which will be allocated
					 between regulated and nonregulated activities. Carriers shall submit reports
					 identifying regulated and nonregulated amounts in the manner and at the times
					 prescribed by this commission. Nonregulated revenue items not qualifying for
					 incidental treatment, as provided in section
					 665.12,
					 shall be recorded in a separate subaccount of account 5280, Nonregulated
					 Operating Revenue.
(d) The
					 following accounts shall be maintained:
Account 1406, Nonregulated Investments
Account 5280, Nonregulated Operating Revenue
Account 7130, Return from Nonregulated Use of Regulated
						Facilities"
Account 7990, Nonregulated Net Income