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The petition for waiver filed by the Cimarron, Cross and...

The petition for waiver filed by the Cimarron, Cross and Pottawatmomie telephone companies is a “me too” filing “nearly identical to the one filed by TDS Telecom” in August, and should be denied, NCTA said Wednesday (http://xrl.us/bn8w79). Like TDS, the…

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rate-of-return ILECs seek to include in their 2011 base period revenue “unrecovered revenue that they billed to Halo Wireless,” thereby increasing the support they receive through the new Access Recovery Charge, NCTA said. The petition should be denied because it doesn’t meet the requirement that revenue must be recovered, not merely billed, to be included in the revenue base pursuant to a waiver, NCTA said. It would provide an unfair competitive advantage to ILECs while similarly situated competitive providers do not have access to this support, NCTA said. The commission must make clear that universal service and ARC support “are not meant to indemnify incumbent LECs against bankruptcy losses incurred in the normal course of business,” it said. The telcos said Halo diverted a “large amount of traffic” through their network, and then filed for bankruptcy protection, staying all collection actions (CD Dec 5 p14).