ARCHIVED - Telecom Decision CRTC 2013-436
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Ottawa, 23 August 2013
Hay Communications Co-operative Limited – Application to modify the band assignment for the Zurich wire centre
File number: 8663-H3-201306671
In this decision, the Commission approves the reclassification of Hay Communications’ Zurich wire centre to Band E, effective 1 January 2013.
1. Incumbent local exchange carriers (ILECs) receive a monthly subsidy from the National Contribution Fund for providing residential telephone service in high-cost serving areas (HCSAs). The amount of subsidy paid per month varies by ILEC and rate band.Footnote 1
2. The Commission received an application from Hay Communications Co-operative Limited (Hay Communications), dated 25 April 2013, requesting that the Commission modify the band assignment approved in Telecom Regulatory Policy 2013-160 for its Zurich wire centre from Band F-1 to Band E, effective 1 January 2013.
3. Hay Communications acknowledged that based upon its 2010 network access service (NAS) information, its Zurich wire centre had been appropriately classified in Telecom Regulatory Policy 2013-160 as Band F-1. However, Hay Communications submitted that since January 2012, there had been a steady decline in the wire centre’s total NAS count, which currently falls below the 1,500 NAS upper threshold for Band E.
4. The Commission received no submissions with respect to this application. The public record of this proceeding, which closed on 5 June 2013, is available on the Commission’s website at www.crtc.gc.ca under “Public Proceedings” or by using the file number provided above.
Commission’s analysis and determinations
5. In Telecom Regulatory Policy 2013-160, the Commission approved wire centre rate band assignments and the interim 2013 subsidy per residential NAS amounts for the small ILECs, including Hay Communications.
6. The Commission considers that based upon the information provided, Hay Communications’ Zurich wire centre should be classified as Band E. The Commission notes that while local competition has begun in Hay Communications’ operating territory, it has not yet begun in the Zurich wire centre, which means that the NAS information provided by Hay Communications for its Zurich wire centre reflects the entire wire centre and not just Hay Communications’ portion of the wire centre.
7. Accordingly, the Commission approves, effective 1 January 2013, the reclassification of Hay Communications’ Zurich wire centre to Band E.
8. The Commission directs the Central Fund Administrator to adjust the distribution of the monthly subsidy for the Zurich wire centre to reflect Hay Communications’ approved interim Band E 2013 subsidy per residential NAS amount of $12.60 per month.
- Regulatory framework for the small incumbent local exchange carriers and related matters, Telecom Regulatory Policy CRTC 2013-160, 28 March 2013
- Regulatory framework for the small incumbent telephone companies, Decision CRTC 2001-756, 14 December 2001
- Footnote 1
For the small ILECs, a rate band represents a group of exchanges or wire centres with similar characteristics, such as number of lines and remoteness. The small ILEC exchanges or wire centres in Bands E, F-1, F-2, F-3, F-4, and G, as defined in Decision 2001-756, are designated as HCSAs.
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