Federal Communications Commission DA 08-805
Before the
Federal Communications Commission
Washington, D.C. 20554
In the Matter of
2008 Annual Access Tariff Filings
Petition of SureWest Telephone
)
)
)
)
)
WCB/Pricing File No. 08-03
ORDER
Adopted:  April 7, 2008 Released:  April 7, 2008
By the Chief, Pricing Policy Division, Wireline Competition Bureau:
1. On January 11, 2008, SureWest Telephone (SureWest) filed a petition requesting 
Commission approval to change its method of determining cash working capital beginning with its 2008 
annual access tariff filings.1  SureWest is a Class B carrier and, in previous years, it used full lead-lag 
studies in order to determine its cash working capital.2 SureWest seeks approval to use the standard 
allowance method, which is a permitted method for determining cash working capital under section 
65.820(d) of the Commission’s rules.  In accordance with those rules, SureWest requires Commission 
approval for that change in its method.3  On January 31, 2008, the Commission sought comment on 
SureWest’s petition.4 No comments or oppositions to SureWest’s petition were filed.
2. Pursuant to section 65.820(d) of the Commission’s rules, Class B carriers have three 
options for calculating the cash working capital component of cost support.5 Class B carriers may 
conduct a full lead-lag study.6 They may also use a Commission-prescribed formula, or they may use a 
Commission-established standard allowance.7 SureWest states that its most recent lead-lag study 
  
1 SureWest Telephone Petition for Approval to Change Method of Determining Cash Working Capital Pursuant to 
47 C.F.R. § 65.820(d), WCB/Pricing File No. 08-03 (filed Jan. 11, 2008) (SureWest Petition).
2 Id. at 2.  SureWest was classified as a Class A carrier from 1999-2005 because it exceeded the Class B revenue 
threshold during those years.  However, in 2006 its annual revenues were below the Class A revenue threshold and 
SureWest was classified as a Class B carrier.  SureWest anticipates that it will continue to be a Class B carrier in 
the foreseeable future.  Id. 
3 Id. at 3.
4 See Comments Sought on SureWest Petition to Change Method of Determining Cash Working Capital Pursuant 
to Section 65.820(d) of the Commission’s Rules, WCB/Pricing File No. 08-03, Public Notice, DA 08-276 (rel. Jan. 
31, 2008).
5 47 C.F.R. § 65.820(d)
6 Id.
7 Id.
Federal Communications Commission DA 08-805
2
revealed a cash working capital requirement of nineteen days.8 The Commission’s current standard 
allowance is fifteen days.9 SureWest notes that since its lead-lag study results are similar to the 
Commission’s standard allowance, resources for all interested parties would be better used if SureWest 
were permitted to use the standard allowance.10 In addition, SureWest claims that using the smaller 
standard allowance will result in lower rates for consumers.11
3. We have reviewed SureWest’s petition and find that its request to use the standard 
allowance method for determining cash working capital is reasonable.  Therefore, we approve SureWest’s 
request to change its method of determining cash working capital to the standard allowance method 
beginning with its 2008 annual access tariff filings and for as long as it remains a Class B carrier.
4. Accordingly, IT IS ORDERED, pursuant to sections 65.820(d) of the Commission’s 
rules, 47 C.F.R. § 65.820(d), and pursuant to the authority delegated under sections 0.91 and 0.291 of the 
Commission’s rules, 47 C.F.R. §§ 0.91 and 0.291, that the SureWest petition for approval to change its 
method of determining cash working capital IS GRANTED.
FEDERAL COMMUNICATIONS COMMISSION
Albert M. Lewis
Chief, Pricing Policy Division
Wireline Competition Bureau
  
8 SureWest Petition at 3.
9 Amendment of Part 65 of the Commission’s Rules to Prescribe Components of the Rate Base and Net Income of 
Dominant Carriers, CC Docket No. 86-497, Order on Reconsideration, 4 FCC Rcd 1697, 1698, para. 14 (1989).
10 SureWest Petition at 3.
11 Id. at 4-5.