ORDER NO. 99-463

ENTERED AUG 02 1999

This is an electronic copy. Appendices and Footnotes may not appear.

OF OREGON

UA 72

DISPOSITION: APPLICATION GRANTED

On June 10, 1999, U S WEST Communications, Inc., (USWC) filed an application with the Oregon Public Utility Commission (Commission) requesting an order pursuant to ORS 759.560 and OAR 860-025-0027 authorizing USWC to abandon and unallocate rights to exclusively served territory. The area USWC seeks to abandon and have unallocated may generally be described as the west half of USWC’s Sumpter exchange, including the town of Granite and surrounding areas. Appendix A of this order is a legal description of the boundaries of the territory sought to be unallocated and abandoned (hereafter referred to as the "Granite area."). Appendix B is a revised legal description for USWC’s remaining allocated territory.

USWC does not currently provide telecommunications services to the town of Granite or other locations in the Granite area. USWC’s existing facilities are not situated close enough to Granite area to permit the company to serve that area economically. The purpose of USWC’s application is to permit Pine Telephone Company (Pine) to acquire the territory so that it may provide such services. As a small telephone company, Pine is eligible for low cost loans and subsidies that are unavailable to USWC. Pine has represented that it is willing to provide telephone service to the citizens of Granite without charging them for the construction of facilities.

PUC Staff reviewed USWC’s application and agrees that it is in the best interest of residents in the Granite area to allow the company to unallocate and abandon the territory. Staff confirms that it would be prohibitively expensive for USWC to install telecommunications facilities in that area. Staff also notes that low cost funds would not be available to Pine if the Granite area were simply transferred to Pine from USWC.

Public Notice of USWC’s application was published in the Baker City Herald and the LaGrande Observer, two newspapers of general circulation, for two consecutive weeks during June 1999. No objections to the application have been registered with the Commission.

Based on the foregoing, the Commission concludes that the application should be granted.

ORDER

IT IS THEREFORE ORDERED that:

1. The application of U S WEST Communications, Inc., to abandon and unallocate the territory specified in Appendix A of this order is granted.
2. Within 30 days of the date of this order, U S WEST Communications, Inc., shall file a revised tariff map of the Sumpter exchange.

Made, entered, and effective ____________________________.

A party may request rehearing or reconsideration of this order pursuant to ORS 756.561. The request must be filed with the Commission within 60 days of the date of service of this order and must comply with the requirements in OAR 860-014-0095. A copy of any such request must also be served on each party to the proceeding as provided by OAR 860-013-0070(2). A party may also appeal this order to a court pursuant to ORS 756.580.