PUBLIC NOTICE
FEDERAL COMMUNICATIONS COMMISSION  
1919 M STREET, N.W.
WASHINGTON, D.C. 20554                                 DA 97-546

News media information 202/418-0500     Fax-On-Demand  202/418-2830     Internet:  http://www.fcc.gov    ftp.fcc.gov
                                
 NORTHLAND TELEPHONE COMPANY AND U S WEST COMMUNICATIONS, INC.
FILED A PETITION FOR WAIVER OF SECTIONS 61.41(C) AND (D), 69.3(E)(6), AND
   THE DEFINITION OF "STUDY AREA" CONTAINED IN THE APPENDIX-
        GLOSSARY Y OF PART 36 OF THE COMMISSION'S RULES
                            AAD 97-37
                                                Released:  March 13, 1997

Comment Date:  April 2, 1997
Reply Date:         April 14, 1997

     On February 26, 1997, Northland Telephone Company d/b/a/ PTI Communications
("Northland") and U S WEST Communications, Inc. ("U S WEST") 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.  Northland and U S WEST seek to alter the boundaries of their existing Minnesota study areas
to reflect the sale of 23 exchanges from U S WEST to Northland.  Northland is currently an average
schedule company but plans to convert to a cost-settlement basis and add these exchanges on a cost-
settlement basis.

     In addition, Northland seeks a waiver of Section 61.41(c) and (d) 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 Northland to continue operating under rate-of-return regulation after
acquiring the U S WEST exchanges which currently are under price cap regulation.  Finally,
Northland seeks a waiver of Section 69.3(e)(6) of the rules, 47 C.F.R.  69.3(e)(6), so that it may
withdraw from the NECA traffic sensitive pool.  The petitioners submitted a Minnesota Public
Utilities Commission ("Minnesota PUC") order indicating that the Minnesota PUC does not object
to the changes in the study area boundaries caused by transferring the exchanges from U S WEST
to Northland.    

     Interested parties may file comments on the petition on or before April 2, 1997, and reply
comments on or before April 14, 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 97-37.  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