Montana Code Annotated
Part 8. Montana Telecommunications Act
69-3-848. Pricing of individual network elements

69-3-848. Pricing of individual network elements. (1) Except as provided in subsection (4), if the commission is requested by a telecommunications carrier to establish the prices of the individual network elements used to provide telecommunications services, the commission shall set those prices at a just and reasonable level sufficient to recover the actual cost of providing those elements, including:
(a) a reasonable share of the joint and common costs so that the telecommunications carrier has a reasonable opportunity to recover these costs;
(b) depreciation costs that are based upon forward-looking asset lives consistent with asset lives of other telecommunications carriers and that reflect an amortization of any underdepreciated investment;
(c) a reasonable share of the costs associated with fill factors, recognizing spare capacity required to fulfill eligible telecommunications carrier responsibilities; and
(d) a fair return on investments.
(2) The actual cost of providing the elements included in subsections (1)(a) through (1)(d) must be determined without reference to a rate-of-return or other rate-based proceeding.
(3) If a telecommunications carrier uses average prices for services to end users without regard to the customer's location, the commission shall similarly establish an average cost and wholesale price for each individual network element sold to other telecommunications carriers. The commission may depart from average pricing for network elements only to the extent that the retail prices to end users of a telecommunications carrier have departed from average pricing.
(4) This section does not apply to the prices, terms, and conditions of a final or interim arbitrated interconnection agreement, arbitration decision, or appeal from an agreement or decision if the request for arbitration was filed on or before March 1, 1997.
History: En. Sec. 18, Ch. 349, L. 1997.

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