UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 5
ANNUAL STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
( ) Check box if no longer subject to Section 16.
Form 4 or Form 5 obligations may continue. See instruction 1(b).
( ) Form 3 Holdings Reported
( ) Form 4 Transactions Reported
1.Name and address of Reporting Person
Anthony E. Papa
130 Cremora Drive, Suite C
Santa Barbara, CA 93117
2.Issuer Name and Ticker or Trading Symbol
AvTel Communications, Inc. (AVCO)
3.IRS or Social Security Number of Reporting Person (Voluntary)
4.Statement for Month/Year
September 30, 1997
5.If Amendment, Date of Original (Month/Year)
6.Relationship of Reporting Person(s) to Issuer (Check all applicable)
(X) Director (X) 10% Owner (X) Officer (give titles below)
7.Individual or Joint/Group Reporting (Check Applicable Line)
(X) Form filed by One Reporting Person
( ) Form filed by More than one Reporting Person
Table I - - Non Derivative Securities Acquired, Disposed of, or Beneficially
Owned
N/A
Table II - - Derivative Securities Acquired, Disposed of, or Beneficially
Owned
1. Title of Derivative Security - Employee Stock Option (Right to Buy)
2. Conversion or exercise Price - $.825
3. Transaction Date - 3/4/97
4.Transaction Code - A
5. Number of Derivative Securities Acquired 125,000
6. Date of expiration 3/4/07
7. Title and Amount of underlying Securities - Common Stock 125,000
8. Price of Derivative Security
9. Number of Derivative Securities Beneficially Owned at end of Year -
125,000
10. Direct or Indirect - Direct
11. Nature of indirect
Explanation of Responses:
The option vests in four equal annual installments beginning on March 4,
1998.
SIGNATURE OF REPORTING PERSON
/s/ Anthony E. Papa
DATE
November 13, 1997
