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8 C I'L'BLIC SERVICE COMMISSIN0 CEIVEL '; DEC 23 1998

E G E I VE

eQTE TelephoneT Operations

Nations Bank Tower1301 Gervais StreetSuite 825Columbia, South Carolina 29201803 254-5736

December 22, 1998

Mr. Gary E. WelshExecutive DirectorThe Public Service CommissionP. O. Drawer 11649Columbia, SC 29211

S. C, PUBLIC SERVICE COMIIiSSIDII

il

ItIE C E I VuilLiTiES DEPARil iEiiT

RE: Docket No. 98-188-C — Resale Agreement between GTE South Incorporated and

And Myrtle Beach Telephone Company, LLC

Dear Mr. Welsh:

Enclosed you will find an executed First Amendment to the above referenced agreement.

Your consideration in approval of this Amendment is requested. It would be appreciatedif you would acknowledge receipt of this transmittal by providing to our office a stamped

copy of this cover letter.

Your assistance in this is most appreciated.

$ )

State Director, Government Affairs

Enclosures

A part of GTE Corporation

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FIRST AMENDMENT TOINTERCONNECTION, RESALE AND UNBUNDLING AGREEMENT

BETWEENGTE SOUTH INCORPORATED

ANDMYRTLE BEACH TELEPHONE COMPANY, LLC

THIS FIRST AMENDMENT to Interconnection, Resale and Unbundling Agreement (the

"Agreement") by and between GTE South Incorporated and Myrtle Beach Telephone Company,

LLC ("MBTC") which became effective May 28,1998. GTE and MBTC being referred to

collectively as the "Parties" and individually as a "Party". This First Amendment covers services

in the state of South Carolina .

WHEREAS, the Agreement, was approved by the Commission's Order dated May 5, 1998, in

Docket No.188-C; and

WHEREAS, the Parties have agreed to provide language to allow MBTC to resale GTE's

residential service; and

WHEREAS, the Parties now wish to adopt that language as an amendment to the Agreement;

NOW, THEREFORE, in consideration of the mutual promises, provisions and covenants herein

contained, the sufficiency of which is hereby acknowledged, the Parties agree as follows:

l. Article VI of the Agreement first described above shall be deleted in its entirety

and replaced by the attached language.

2. Except as specifically modified by this First Amendment, the Agreement shall

remain in full force and effect.

3. If any provision in the Agreement conflicts with this First Amendment, this First

Amendment shall control.

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AMENDED ARTICLE VI

RESALE OF SERVICES

General. The purpose of this Article VI is to define the Exchange Services and relatedVertical Features and other services (collectively referred to for purposes of this Article VI

as the "services") that may be purchased from GTE and resold by MBTC and ttie termsand conditions applicable to such resold services. Except as specifically provided

otherwise in this Agreement, provisioning of Exchange Services for resale will begoverned by the GTE Guide. GTE will make available to MBTC for resale anyTelecommunications Service that GTE currently offers, or may offer hereaiter, on a retail

basis to subscribers that are not telecommunications carriers, except as qualified bySection 2.1 below.

Ter s and Condition

Restrictions on Res le. The following restrictions shall apply to the resale of retail

sei vices by MBTC.

MBTC shall not resell to one class of customers a service that is

offered by GTE only to another class of customers in accordance with

state requirements (e.g., R-1 to 8-1, disabled services or lifeline

services to non-qualifying customers).

(2) MBTC shall not resell lifeline services and services for the disabled.

(3) MBTC shall not resell promotional offerings of 90 days or less in

duration. These promotfonal offerings are not available to MBTC forresale. GTE will apply any applicable resale discount to the ordinaryrate for a retail service rather than the special promotional rate.

Interi Univ al Servi S ort C ar e or Re ale.Servi s. MBTC wishes toresell GTE's Basic Exchange Residential and Business services. It is GTE's

position that GTE's current intraLATA toll rates include implicit subsidies thatsupport below-cost prices for other services and thus promote universal service.This universal service support is lost where a CLEC resells GTE's local servicebut does not resell GTE's intraLATA toll service. For this reason, GTE will notresell Basic Exchange Residential or Business services unless MBTC pays themonthly interim universal service support charge set forth in Appendix A. GTEbelieves that this interim surcharge is required by state and federal law.

The lawfulness of GTE's interim surcharge is being addressed (or will be addressed) bythe Commission or a court of competent jurisdiction. The parties agree that GTE will offer

for resale Basic Local Exchange Residential and Business services at the avoided costdiscount rate set forth in Appendix A without the interim surcharge, but subject to thefollowing terms and conditions:

MBTC agrees that within thirty (30) days after the effective date of aCommission or court order affirming GTE's interim surcharge, MBTC

will (i) begin paying the monthly interim surcharge in accord with

Appertdix A, and (ii) make a lump sum payment to GTE of the totalinterim surcharges retroactive to the effective date of this agreement.

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(2) Notwithstanding any provision in this Agreement, GTE may, at its solediscretion and at any time, seek injunctive or other relief (i) requiring theCLEC to pay GTE's interim surcharge or (ii) requiring the Commissionto immediately impose the interim surcharge.

Nothing in this Agreement shall restrict or impair GTE from seekinginjunctive relief or any other remedy at any time and in any courtregarding GTE's interim surcharge or the Commission's rejection ormodificatien of GTE's interim surcharge.

Restrictions o Discoun of Retail S ivices. The discount specified in Section 5 3herein shall apply to all retail services except for the following:

MBTC may resell services that are provided at a volume discount inaccordance with terms and conditions of applicable tariff. MBTC shallnot aggregate end user lines andior traffic in order to qualify for volumediscount.

MBTC may resel! ICBiContract services without a discount and only toend user customers that already have such services.

MBTC may resell COCOT coin or coinless line, however, no discountapplies.

(4) MBTC may resell special access; however, no discount applies,

(5) MBTC may resell operator services and directory assistance asspecified in Section 5.6 herein; however, no discount applies.

sale to 0th r Carri rs. Services available for resale may not be used byMBTC to provide access to the local network as an alternative to tariffed switchedand special access by other carriers, including, but not limited to: interexchangecarriers, wireless carriers, competitive access providers, or other retailtelecommunications providers.

~od i f Blx

Local Service Re vest. Orders for resale of services will be placed utilizingstandard Local Service Request (LSR) forms. GTE will continue to participate inindustry forums for developing service order/disconnect order formats and will

incorporate appropriate industry standards. Complete and accurate LSR forms(containing the requisite end user information as described in the Guide) must beprovided by MBTC before a request can be processed.

GTE will accept orders for As-Is Transfer (AIT) of services from GTE toMBTC where GTE is the end user's current local exchange company.GTE oannot provide an AIT of service from another CLEC sellingGTE's services to MBTC.

Certificate of cretin A th ri . When ordering, MBTC must represent andwarrant to GTE that it is a certified provider of local dial-tone service. MBTC willprovide a copy of its Certificate of Operating Authority or other evidence of itsstatus to GTE upon request,

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Di esto ssistanc DA tin, GTE shall include a MBTC customer listing in

its DA database as part of the LSR process. GTE will honor MBTC Customer'

preferences fer listing status, including non-published and unlisted, and will enterthe listing in the GTE database which is used to perform DA functions as it

appears on the LSR.

onre urri Char . MBTC shall be responsible for the payment of att

nonrecurring charges (NRCs) applicable to resold services (e.g., installation,

changes, ordering charges) as listed in Appendix A. In addition, NRCs for Field

Service work (Installation/Repair requiring on site visits will be charged from theappropriate tariff. No discount applies to nonrecurring charges.

Tr nsfers Between BTC nd Another Res lier o GTE S rvices. When MBTC

has obtained an end user customer from another reseller of GTE services, MBTC

will inform GTE of the transfer by submitting standard LSR forms to GTE.

GTE cannot accept an order for AIT of service from one CLEC resellingGTE services to another reseller of GTE services.

~htdiii hti.d htf th i di th h

measured rate local service is available to end users, monthly billing to MBTC

does not include local calling detaiL However, MBTC may request and GTE shallconsider developing the capabilities to provide local calling detail in those areaswhere measured local service is hot available for a mutually agreeable charge.

Procedures. An overview of the procedures for preordering, ordering,provisioning and billing for resold services are outlined in ~e~dix B, attachedhereto and made a part hereof.

LIDB. For resale services, the LSR will generate updates to GTE's LIDB for

validation of calling card, collect, and third number billed calls.

0 inatin Line Number creenin OLNS . Upon request, GTE will update thedatabase to provide OLNS which indicates to an operator the acceptable billing

methods for calls originating from the calling number (e.g., penal institutions,COCOTS).

Maintenance Te tin and Re air. GTE will provide repair and maintenanceservices to MBTC and its end user customers for resold services in accordancewith the same standards and charges used for such services provided to GTEend user customers. GTE will not initiate a maintenance call or take action in

response to a trouble report from a MBTC end user until such time as trouble isreported to GTE by MBTC. MBTC must provide to GTE all end user informationnecessary for the installation, repair and servicing of any facilities used for resoldservices according to the procedures described in the Guide.

S ecificsan Pr c dures for M int n nce. An overview of the procedures formaintenance of resold services and additional matters agreed to by the Parties

i E i t ifdhi ~hdi E.

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Se ices v il I for al

D ti ofL I Ex'h n eServ' Avail bl for esal . ResoldbasicExchange Service includes, but is not limited to, the following elements:

(a) Voice Grade Local Exchange Access Lirie - includes a telephone number and dialtone.

(b) Local Calling - at local usage measured rates if applicable to the end usercustomer.

(c) Access to long distance carriers

(d) E-911 Emergency Dialing

(e) Access to Service Access Cedes - e.g., 800, 888, 900

(f) Use of AIN Services (those Currently Available to end users)

(g) End-User Private Line Services

(h) Listing of telephone number in appropriate "white pages" directory: and

(i) Copy of "White Pages" and "Yellow Pages" directories for the appropriate GTEservice area

(j) IntraLATA.toll

0th Se i s Av ilabl for Re le. GTE will provide resold services at retail lessthe avoided cost discount as defined in Article V, Section 5.3. Subject to thelimitations enumerated in Article V of this Agreement, the type of resold servicesmade available to MBTC are those telecommunication services descry&ed in GTE'sretail tariffs, as amended from time to time. Any new retail services that GTE offersin such tariffs to customers who are not telecommunications carriers may also beavailable to MBTC for resale under the same terms and conditions contained in thisAgreement.

(1) . GTE shall make available for resale, thosepromotional offerings that are greater than 90 days induration and the special promotional rate will be subject to theapplicable resale discount.

~Rate . The prices charged to MBTC for local services shall be calculated asfollows:

(1) Avoided Cost Discount as shown on Appendix A shall apply to all retail servicesexcept those senrices listed in Section 2.1 and Section 2.3 herein.

(2) The discount dollar amount calculated under Section 5.3.1 above will bededucted from the retail rate.

(3) The resulting rate is the resale rate.

Grandfathered S ivices. Services identified in GTE Tariffs as grandfathered in

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any manner are available for resale only to end user customers that already havesuch grandfathered service. An existing end user customer may not move agrandfathered service to a new service location. Grandfathered services aresubject to a resale discount.

Ac ss. GTE retains all revenue due from other camera for access to G i Efacilities, including both switched and special access charges.

0 er torService's OS andDirecto Assistance DA. OSforlocal and toll

assistance (for example, call completion, busy line verification and emergencyinterruption) and DA (e.g., 411 calls) are provided as a part of Exchange Servicesoffered for resale. GTE may brand this service as GTE. MBTC will be billed in

accordance with GTE's retail tariff.

If MBTC requests branding or unbranding, GTE will provide such unbranding orrebranding with MBTC's name.

MBTC will be billed a charge for unbranding or rebranding and customizedrouting.

For those offices that MBTC has requested GTE to rebrand and/or unbrand OSand DA, GTE will provide it where GTE performs its own OS and DA servicesubject to capability and capacity limitations where customized routing isCurrently Available. If GTE uses a third-party contractor to provide OS or DA,GTE wi1I not provide branding nor will GTE negotiate it with a third party onbehalf of MBTC. MBTC must negotiate with the third party. In these instances,MBTC will need to purchase customized routing and dedicated trunking todifferentiate its OS/DA traflic from GTE's.

LididdC II . Th P dl III Pl ylh f II I gP hd I h dll g ymisdirected calls (e.g„Business office, repair bureau, etc.).

To the extent the correct provider can be determined, each Party will refermisdirected calls to the proper provider of local exchange service. Whenreferring such calls, both Parties agree to do so in a courteous manner at nocharge.

For misdirected repair calls, the Parties will provide their respective repair bureaucontact number to each other on a reciprocal basis and provide the end user thecorrect contact number.

In responding to misdirected calls, neither Party shall make disparaging remarksabout each other, nor shall they use these calls as a basis for internal referrals orto solicit end users or to market services.

9 1 E 11 rran ements.

Des tion of Service. Where GTE is the 911 service provider, GTE shallprovide 911 Service as described in this Section as an element of local exchangeservices available for resale.

GTE wiil provide 911 map as described in Appendix C.

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o ti an e I of erf a e. The Parties agree to provide access to

911/E911 in a manner that is transparent to the end user. The Parties will work

together to facilitate the prompt, reliable and efficient level of performance that will

provide the same grade of service as that which GTE provides to its own end

users.

U ates o M ter tre t A r s uide MS . Itshallbe the responsibility of

MBTC to ensure that the address of each of its end users is included in the

MSAG. Where GTE is the lead telco, GTE will accept address records provided

on MBTC's LSR. GTE and MBTC will work together to develop the process by

which LSR errors out of the MSAG will be handled, with appropriate cost recovery

to GTE. Where GTE is not the lead telco, GTE has no action and MBTC must

establish a separate relationship with the lead telco to submit records for MSAG

validation. Where GTE is the lead telco, it will have a copy of the MSAG and will

provide a copy to MBTC upon request at the rate in Appendix C.

U d t D tab . The 911/E911 database will be updated with MBTC's end

user 911/E911 information. If MBTC provides its updated data to GTE as

frequently as does GTE's internal systems, the update will be as timely. In any

case, GTE will not update the ALI database any tater than one working day

subsequent to receipt of data from MBTC.

~Cm ~encl II.

(1) In situations in which GTE is responsible for maintenance of the 911/E-911

database and can be compensated for maintaining MBTC's information by the

911 district, GTE will seek such compensation from the 911 district. GTE will

seek compensation from MBTC only if and to the extent that GTE is unable to

obtain such compensation from the 911 district.

(2) Compensation to GTE for provision of services it provides MBTC hereunder

shall be according to reasohable rates developed by GTE and agreed upon by

MBTC.

Liability. GTE will not be liable for errors with respect to 911/E911 services

except for its gross negligence as addressed in applicable tariffs.

Dialin Form t Ch e . GTE will provide reasonable notification to MBTC of changes to

local dialing format, /.e., 7 to 10 digit, by end oflice.

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IN W1T&KSS WHEREOF, each Party has executed this First Amendment to be effective as of

the date on which this First Amendment is filed with the Commission.

GTE SOUTH INCORPORATED PHONE

By:

Name: Connie Nicholas

Title: Assistant Vice PresidentWholesale Markets-InterconnectionDate: December 16 1 8

Title. President

Date: