Ala. Admin. Code r. 770-X-5-.22

Current through Register Vol. 42, No. 8, May 31, 2024

Section 770-X-5-.22 - Accounting Rules

(1) The following shall be known as the Uniform System of Accounting and Reporting for Telephone Utilities. Appropriate and definite instructions shall be given each kind and class of utility hereafter as to classification of accounts and forms of reports. Utility, as herein used, shall be held to include all telephone and telegraph companies as defined in Title 37 of the Code of Ala. of 1975.

(2) All utilities shall keep their books of record in accordance with the Uniform System of Accounts applicable to their kind and class as herein prescribed by this Commission.

(3)

(a) All Local Exchange Carriers shall keep their books and records in accordance with the currently effective Uniform System of Accounts of the Federal Communications Commission.

(b) All telecommunications carriers, except Local Exchange Carriers, shall keep their books and records in accordance with Generally Accepted Accounting Principles applied on a consistent basis.

(4) The classification which governs the minimum detail in which each utility shall keep its accounts, shall be determined according to the annual gross operating revenue of such utility as more fully set forth in the general instructions contained in the Uniform System of Accounts prescribed for it herein.

(5) Each utility shall so keep its general, subsidiary and books of original entry, together with all documents pertaining to either plant or operating accounts as to clearly reflect the cost of its properties, including additions thereto and retirements therefrom; also as to correctly record income and expense and to facilitate the calculation of gross and net returns. Each entry must be capable of support by definite history of the transaction recorded to the end that ready and exact verification in detail of all facts may be obtained. The books and records to which reference is made in the paragraph include not only those called books in a technical sense, but all stock books, minute books, charts, maps, drawings, contracts and writings, invoices, vouchers of whatever nature, store room records and other records which are connected with the operations and history and development of the utility and its properties.

(6) Every utility furnishing service within this State must either keep its books of account and records at its principal place of business in this State, or keep and preserve them elsewhere, and deliver them at its principal place of business in the State, at such reasonable time or times as the Commission may direct, for examination and inspection.

(7) Where the same company operates in Alabama as well as in other states, it shall keep its investment, revenue and expense accounts for its property in the State of Alabama, separately from those of its property in other states.

(8) The books and records of all utilities shall be open for examination and inspection by members of the Commission or its authorized representatives or employees at any reasonable time.

(9) Each utility within the jurisdiction of this Commission shall file annual financial operating and statistical reports upon forms prescribed by or authorized by the Commission and such other reports of like nature at more frequent intervals as may be required by direction of the Commission from time to time. All footnotes and instructions contained on the report forms prescribed or authorized by the Commission for making annual reports must be carefully observed.

(10) The above prescribed annual report shall be filed with the Commission on or before the first day of the fourth month following the end of the reporting utility's fiscal year. The report shall be a true and correct statement of facts as contained in the books and records of the utility.

(11) All annual reports and other reports made to the Commission shall be signed and sworn to by the President (or Vice President) and Treasurer or other officer in charge of such accounting, or, if under trust or receivership operation, by majority of trustees or receivers, or, if unincorporated, by the proprietor, manager or auditor.

(12) All annual reports must be made in triplicate and two copies thereof returned to the Commission and the third copy retained in the files of the utility for permanent reference.

(13) The Commission may, from time to time, alter or amend, or make such modifications with respect to the application of, the above prescribed rules and regulations as may be deemed necessary and proper to meet changed and exceptional conditions.

(14) The above prescribed rules and regulations are not intended to and shall not have the effect of abrogating, repealing or modifying rules of specific application which have heretofore been authorized or which may in the future be authorized for any utility.

Ala. Admin. Code r. 770-X-5-.22

Effective March 1993. Amended January 1998. Filed with LRS February 5, 2 013. Filed for Codification in the Alabama Administrative Code by the Alabama Public Service Commission on February 5, 2013, pursuant to the Code of Ala. 1975, § 41-22-7.

Author: Alabama Public Service Commission

Statutory Authority:Code of Ala. 1975, §§ 37-1-54, 37-1-57, 37-1-58, 37-1-60, 37-1-82, 37-23.