PUBLIC NOTICE
FEDERAL COMMUNICATIONS COMMISSION  
1919 M STREET, N.W.
WASHINGTON, D.C. 20554                                 DA 97-832

News media information 202/418-0500     Fax-On-Demand  202/418-2830     Internet:  http://www.fcc.gov    ftp.fcc.gov
                                
    GTE NORTH INC. AND PTI COMMUNICATIONS OF MICHIGAN, INC. 
FILED A PETITION FOR WAIVER OF SECTION 61.41(C) AND THE DEFINITION
OF "STUDY AREA" CONTAINED IN THE APPENDIX-GLOSSARY Y OF PART 36
                   OF THE COMMISSION'S RULES
                            AAD 97-57
                                                Released:  April 21, 1997

Comment Date:  May 12, 1997
Reply Date:         May 22, 1997

     On April 14, 1997, GTE North, Inc. ("GTE") and PTI Communications of Michigan, Inc.
("PTI Michigan") filed a petition for waiver of the definition of "Study Area" as set forth in the
Appendix-Glossary of Part 36 of the Commission's rules.  That definition constitutes a rule freezing
all study area boundaries, effective November 15, 1984.  GTE seeks to alter the boundaries of its
existing Michigan study area as a result of selling eight exchanges (having 11,200 access lines) to
PTI Michigan.  PTI Michigan proposes to establish a new Michigan study area.  

     In addition, PTI Michigan seeks a waiver of Section 61.41(c) of the Commission's price cap
rules, 47 C.F.R.  61.41, to exempt it from the price cap "all or nothing" rule.  That rule requires
non-price cap companies, and the telephone companies with which they are affiliated, to become
subject to price cap regulation after acquiring a price cap company or any part thereof.  The
requested waiver would permit PTI Michigan to operate under rate-of-return regulation after
acquiring the GTE exchanges which currently are under price cap regulation.  The petitioners
submitted a Michigan Public Service Commission ("Michigan PSC") Order indicating that the
Michigan PSC does not object to the changes in the study area boundaries caused by transferring the
exchanges from GTE to PTI Michigan.    

     Interested parties may file comments on the petition on or before May 12, 1997, and reply
comments on or before May 22, 1997, with the Secretary, Federal Communications Commission,
1919 M Street, N.W., Room 222, Washington, D.C. 20554. Comments and reply comments should
reference AAD 97-57.  Four (4) copies should also be sent to Adrian Wright, Competitive
Safeguards Branch, Common Carrier Bureau, Room 257, 2000 L Street, N.W., Washington, D.C.
20554, and one (1) copy should be sent to the Commission's contractor for public service record
duplication: International Transcription Service (ITS), 2100 M Street, N.W., Suite 140, Washington,
D.C. 20037.  Copies of the petition may be obtained from the Accounting and Audits Division's
public reference room, Room 812, 2000 L Street, N.W., Washington, D.C.  Copies are also available
from ITS at (202) 857-3800.  


     We will treat this proceeding as non-restricted for purposes of the Commission's ex parterules.  See generally, 47 C.F.R.  1.1200-1.1206.  However, if this waiver petition is opposed, it
will be treated as a restricted proceeding under the Commission's ex parte rules.  See generally, 47
C.F.R.  1.1208-1.1216.  For further information contact Adrian Wright at (202) 418-0840.
                                 
                FEDERAL COMMUNICATIONS COMMISSION