tracked in a stand-alone category in a given period, with final dis- position or accounting treatment left for a succeeding period. If your organization doesn't currently practice communications cost management, don't worry. You can start at anytime with a spread- sheet and a small effort and lever your success into the budgeting, planning, and operating practices of the way your enterprise does business. Potential rewards vary depending on the size of the organ- ization, and, of course, reward doesn't come without investment. Before going too far down the road, recognize that communications cost management is not just paying the telephone bill anymore. ANATOMY AND PATHOLOGY OF COMMUNICATIONS BILLING AND PAYMENT Billing for communications equipment, facilities, and services has its roots in telephone service billing. For many years before 1984, AT&T's local operating companies generated the vast majority of telephone bills. Pricing was based on tariffs accepted and filed with the Federal Communications Commission (FCC) and each state Public Utilities Commission (PUC). Basically there were two rate structures, one for business or other organizational entities and an- other for residential service. Pricing was a combination of a fixed 11 MANAGING COST OF EQUIPMENT FACILITIES AND SERVICES monthly charge to subscribe to local service, plus an incremental charge for calls outside the local exchange area, also called a long distance call. Charges for long distance calls were made each time long distance service was used and calculated on the basis of a minimum charge for the first 3 minutes, plus a per-minute rate for each additional minute the call continued beyond the first 3 minutes. The basic minimum and additional minutes rates were also distance sensitive. The longer the physical distance between the end-points of the connection, the higher the rate. Go back and read this paragraph again. So far, we have a basis and method for calculating charges for service. Nothing has been mentioned about extra charges for oth