Opinion ID: 1874673
Heading Depth: 1
Heading Rank: 10

Heading: GTD-5 switches:

Text: AT & T argues that the incorporation of GTD-5 switching technology in the ICM-FL model was inappropriate because it does not represent the most efficient switching technology available. However, we conclude that competent, substantial evidence supports the Commission's conclusion that the incorporation of GTD-5 switches was appropriate and that their utilization in the model satisfied TELRIC standards. Previously advanced at the hearing by the ALEC Coalition, the Commission addresses this identical TELRIC challenge in detail in its order: Although we acknowledge that the record indicates that the GTD-5 switch is not used by any other ILEC, we do not agree with the Coalition's assertion that the GTD-5's inclusion in Verizon's cost study violates TELRIC principles. The fact that Verizon does not use the GTD-5 switch in areas other than former GTE territories, and that no other ILECs use the GTD-5 switch, are not indicative, in and of themselves, of a non-TELRIC compliant switch cost study. Furthermore, the Coalition's assertion that we found that the GTD-5 switch was not forward-looking technology in Order No. PSC-99-0068-FOC-TP needs to be put in context. Verizon witness Tucek agrees that the Order excluded the GTD-5 switch, but adds that it was because we did not feel it was representative of costs that would be suitable for generic costs in the USF docket. Verizon witness Tucek's belief that we never determined that the GTD-5 switch was not representative of Verizon's costs  the only costs that are at issue in this proceeding is correct. What differentiates between the USF docket and the present proceeding is that the USF docket was a generic proceeding where the outcome was applicable to every ILEC. In the current proceeding, the decision from the Verizon track will be applicable to Verizon alone. Verizon's assumptions and inputs as they relate to the GTD-5 and other switches included in its switching model appear to be reasonable, and are indicative of a forward-looking, TELRIC compliant cost study. Although the GTD-5 may not be a forward-looking technology for other LECs, based on the record here we believe that the GTD-5 appears to be a forward-looking, economically efficient technology for Verizon-Florida. Verizon has indicated throughout the record that it intends to purchase additional GTD-5 switches, albeit as remotes, and has no plans to discontinue the use of the GTD-5 in its network. The ALEC Coalition admits the same, but adds that Verizon is only doing so to ensure host switch compatibility. As such, we believe the inclusion of the GTD-5 switch in the determination of switch costs does not appear to violate TELRIC. In re Investigation into Pricing of Unbundled Network Elements, order at 143. Although AT & T invites this Court to reweigh the evidence and determine that the GTD-5 switch is not forward-looking and violates TELRIC standards, we conclude the Commission's determination that the GTD-5 switch satisfies the necessary criteria is essentially a finding of fact that will not be disturbed unless clearly erroneous. The Commission heard extensive witness testimony from both Verizon and the ALEC Coalition, and having weighed the evidence presented, determined that the use of the GTD-5 switch was adequately forward-looking and TELRIC compliant. Therefore, AT & T has not satisfied the burden of proving that the Commission's decision to allow the incorporation of the GTD-5 switch was clearly erroneous.