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FCC 65.300
Revised as of September 1, 2021
Goto Year:2020 | 2022
  §  65.300   Calculations of the components and weights of the cost of capital.

   (a) Sections 65.301 through 65.303 specify the calculations that are to
   be performed in computing cost of debt, cost of preferred stock, and
   financial structure weights for prescription proceedings. The
   calculations shall determine, where applicable, a composite cost of
   debt, a composite cost of preferred stock, and a composite financial
   structure for all local exchange carriers with annual revenues equal to
   or above the indexed revenue threshold as defined in § 32.9000. The
   calculations shall be based on data reported to the Commission in FCC
   Report 43-02. (See 47 CFR 43.21). The results of the calculations shall
   be used in the represcription proceeding to which they relate unless
   the record in that proceeding shows that their use would be
   unreasonable.

   (b) Excluded from cost of capital calculations made pursuant to § 65.300
   shall be those sources of financing that are not investor supplied, or
   that are otherwise subtracted from a carrier's rate base pursuant to
   Commission orders governing the calculation of net rate base amounts in
   tariff filings that are made pursuant to section 203 of the
   Communications Act of 1934, 47 U.S.C. 203, or that were treated as
   “zero cost” sources of financing in section 450 and subpart G of this
   part 65. Specifically excluded are: accounts payable, accrued taxes,
   accrued interest, dividends payable, deferred credits and operating
   reserves, deferred taxes and deferred tax credits.

   [ 60 FR 28545 , June 1, 1995, as amended at  67 FR 5702 , Feb. 6, 2002]

   


Goto Section: 65.105 | 65.301

Goto Year: 2020 | 2022
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