DE 98-007 Relay New Hampshire Order Directing Local Exchange Carriers to Adjust Basic Exchange Rates to Increase Revenue Collected for Telecommunications Relay Service O R D E R N O. 22,850 February 17, 1998 On November 8, 1991, Sprint began providing Telecommunications Relay Service (TRS) in New Hampshire to enable hearing people and people who are deaf, hard of hearing or speech impaired to talk with each other over the telephone. The cost of operating TRS is included in basic exchange rates. On August 16, 1994, the New Hampshire Public Utilities Commission (Commission) issued Order No. 21,324 which reduced the revenue collected to operate TRS in basic exchange rates from 10 cents to 2 cents per access line per month, and also reduced seasonal rates during the off season from 5 cents to 1 cent per access line per month. The amount collected was reduced below the actual cost to operate TRS, to 2 cents, due to an over-collection of revenue produced by 10 cents per access line. In July 1994, the over-collection amounted to approximately $865,000. Since then, the balance of the fund has reduced to approximately $163,000. House Bill 1515, Chapter 240, Laws of 1996, allocated $160,000 of this money to establish a telecommunications equipment distribution program through the Governor's Commission on Disability. According to current calculations, the cost of operating TRS is approximately $41,000 per month. Because the fund is fully depleted, Staff has recommended local exchange carriers collect 8 cents per access line per month, and 4 cents per access line a month for seasonal rates to accommodate potential future growth in relay traffic. We will accept Staff's recommendation and direct Staff to analyze this charge again in December 1998 to insure over-collection does not recur. Based upon the foregoing, it is hereby ORDERED, that the amount collected for TRS in basic exchange rates be increased by all New Hampshire local exchange carriers (LECs) from 2 cents per month to 8 cents per month and the amount collected in seasonal rates, during the off season, if applicable, be increased from 1 cent per month to 4 cents per month; and it is FURTHER ORDERED, that the incumbent local exchange carriers file revised tariff pages and that facilities-based competitive local exchange carriers file revised price sheets reflecting this change for effect with the first full billing cycle on or after April 1, 1998, in accordance with N.H. Admin. Rules, Puc PARTs 1600 and 1300; and it is FURTHER ORDERED, that all local exchange carriers notify customers of this increase with a bill insert provided concurrently with the increase. By order of the Public Utilities Commission of New Hampshire this seventeenth day of February, 1998. Douglas L. Patch Bruce B. Ellsworth Susan S. Geiger Chairman Commissioner Commissioner Attested by: Thomas B. Getz Executive Director and Secretary