DS 98-225
Bell Atlantic
Request to Introduce National 411 Directory Assistance
Order Denying the Request
O R D E R N O. 23,154
February 23, 1999
On December 28, 1998, New England Telephone and
Telegraph Company, d/b/a Bell Atlantic - New Hampshire (BA-NH or
Company) petitioned the New Hampshire Public Utilities Commission
(Commission) for authority to introduce National 411( N-411)
Directory Assistance. Along with the petition, BA-NH provided
cost information. On January 4, 1999, the Company filed a public
notice of the filing.
This filing introduces national directory assistance
for customer listings situated outside of New Hampshire. A
customer would only be required to dial 411 and tell the Bell
Atlantic operator the desired city, state and listing name. The
proposed rate is $0.95 per call, which, according to Bell
Atlantic, is the mid-point of what competitors charge for
national directory service.
At the request of Commission Staff, the Commission
issued Order No. 23,118 on January 27, 1999 extending the time to
review the petition by 30 days, pursuant to RSA 378:6 IV, in
order to provide additional time to review the cost information
provided by the Company.
Staff has completed its review of the filing and cost
support information. While Bell Atlantic's cost support
information includes inputs and cost factors which are different
from the inputs and cost factors of previous cost studies
submitted by the Company, it is Staff's opinion that the proposed
rate still exceeds the cost of providing the service. Many, but
not all, inputs to the cost study are actually higher than
previous cost study inputs, including the total element long run
incremental cost (TELRIC) inputs. Also, this cost study is
reported to be a total service long run incremental cost (TSLRIC)
study as opposed to an incremental cost study which was the
methodology relied upon by the Company to support previous new
tariff filings. TSLRIC studies result in higher proxy costs than
incremental cost studies, in most cases. In addition, Staff
believes approval of the petition is in the public interest as
Bell Atlantic's entry into the national Directory Assistance
market will stimulate competition for this service.
Although customers can access an alternative carriers'
directory assistance service for both in-state and national
listings in a number of ways, we are concerned that Bell
Atlantic's abbreviated three digit dialing pattern will result in
an unfair competitive advantage compared to the manner in which
customers access an alternative carrier's directory assistance
service. In addition, we are concerned customers are not
adequately informed of the charges at the time the customer makes
a 411 call. Therefore, we will deny the request and hold a
hearing. Interested parties should file comments on or before
March 15, 1999 explaining whether this petition will result in
competitive harm to alternative carriers. In addition, comments
should address issues related to adequate customer notification
requirements.
Based upon the foregoing, it is hereby
ORDERED, that Bell Atlantic's petition for National 411
(N-411) Directory Assistance is hereby DENIED, and it is
FURTHER ORDERED, that a hearing be held before the
Commission located at 8 Old Suncook Road, Concord, New Hampshire
on March 17, 1999 at 10:00 a.m., at which each party will provide
a statement of its position with regard to the petition and any
other related issues.
FURTHER ORDERED, that pursuant to N.H. Admin. Rules Puc
203.01, BA-NH shall notify all persons desiring to be heard at
this hearing by publishing a copy of this Order of Notice no
later than March 3, 1999, in a newspaper with statewide
circulation or of general circulation in those portions of the
state in which operations are conducted, publication to be
documented by affidavit filed with the Commission on or before
March 15, 1999; and it is
FURTHER ORDERED, that pursuant to N.H. Admin. Rules Puc
203.02, any party seeking to intervene in the proceeding shall
submit to the Commission an original and eight copies of a
Petition to Intervene with copies sent to BA-NH and the Office of
the Consumer Advocate on or before March 12, 1999, such Petition
stating the facts demonstrating how its rights, duties,
privileges, immunities or other substantial interests may be
affected by the proceeding, as required by N.H. Admin. Rule Puc
203.02 and RSA 541-A:32,I(b); and it is
FURTHER ORDERED, that any party objecting to a Petition
to Intervene make said Objection on or before March 15, 1999.
By order of the Public Utilities Commission of New
Hampshire this twenty-third day of February, 1999.
Douglas L. Patch Susan S. Geiger Nancy Brockway
Chairman Commissioner Commissioner
Attested by:
Claire D. DiCicco
Assistant Secretary