Idaho Admin. Code r. 31.46.01.104

Current through September 2, 2024
Section 31.46.01.104 - THE COMMISSION'S DETERMINATION OF FUNDING LEVELS
01.Issuance of Commission Order. On or before September 1 of each year the Commission shall issue an order in response to the administrator's report, which will establish statewide end-user surcharges to be in effect for the twelve (12) months beginning October 1 following issuance of the order.
02.Findings and Directives of the Order Prescribing Statewide End-User Surcharges. The order prescribing statewide end-user surcharges for the twelve months beginning October 1 shall contain the following:
a. The Commission's finding of the funding target for the USF for the twelve (12) months beginning October 1, based upon the anticipated revenue requirement of the USF for those twelve (12) months (including certain or likely changes in the revenue requirement of the USF from that reported by the administrator) and prudent management of minimum fund balances;
b. The Commission's finding of the fair, just, and reasonable contribution to this twelve (12) month funding target that should be made from local exchange and MTS/WATS surcharges; and
c. The Commission's finding of the statewide end-user surcharges to be imposed for the twelve (12) months beginning October 1 to reach the funding target.
03.Calculation of Local Surcharges. The surcharge imposed by Subsection 104.02.c. of this rule to be remitted by each LEC for residence and business local exchange service shall be calculated in the following manner from the total funds that the Commission finds should be recovered from local exchange surcharges. The Commission may round the surcharges for local residence and business service to the nearest cent per month. The following is an example of calculation of local service surcharge:
a. Total dollars to be funded from local service surcharges -- twenty-four thousand dollars ($24,000)/ month.
b. Total local residence lines (as reported in Rule 302.02) -- four hundred fifty thousand (450,000)
c. Weighted, state-wide average one-party, single-line flat residence rate (as reported in Rule 302.03) -- ten dollars ($10)/month
d. Hypothetical Residence revenues under statutory formula (line b x line c) -- four million five hundred thousand ($4,500,000)/month
e. Total local business lines (as reported in Rule 302.02) -- fifty thousand (50,000)
f. Weighted, statewide average one-party, single-line flat business rate (as reported in Rule 302.03) -- thirty dollars ($30)/month
g. Hypothetical business revenues under statutory formula (line e x line f) -- one million five hundred thousand dollars ($1,500,000)/month
h. Total hypothetical revenue (line d + line g) -- six million dollars ($6,000,000)
i. Residence relative responsibility (line d / line h) -- .7500
j. Residence total responsibility -- eighteen thousand dollars ($18,000)
k. Residence surcharge (line j / line b) -- four cents ($.04)/month
l. Business relative responsibility (line g / line h) -- .2500
m. Business total responsibility (line a x line l) -- six thousand dollars ($6,000)/month
n. Business surcharge (line h /line e) -- twelve cents ($.12)/month

* These hypothetical revenues from residence and business lines do not correspond to any actual revenues received by telephone corporations. Instead, they represent a calculation of revenues that would result if every residence and business line subscribed to one-party, single-line service at the weighted statewide average rate calculated for those services, which is the statutory formula underlying the calculation of the surcharges.

04.Calculation of MTS/WATS Surcharges. The surcharge imposed by Rule Subsection 104.02.c. of this rule to be remitted by each MTS/WATS company for MTS/WATS service shall be calculated in one (1) of two (2) alternative manners:
a. A uniform cents per minute surcharge for all MTS/WATS companies using this option will be calculated by the Commission by dividing the total revenues to be recovered from toll surcharges from all companies by the total actual toll minutes reported for all companies under Rule 204; or, alternatively,
b. A company-specific percentage surcharge will be calculated by the company (and reviewed by the administrator) by multiplying the individual MTS/WATS company's total toll minutes as reported in Rule 204 by the cents-per-minute surcharge calculated in a above, then dividing by the total toll revenues as reported for that company reported in Rule 204.

Idaho Admin. Code r. 31.46.01.104

Effective March 31, 2022