AT&T pressed the FCC to "complete the move" to a default bill-and-keep regime of zero payments to eliminate incentives for intercarrier-compensation arbitrage. "Companies continue to game ... the system, creating irrational and inefficient economic incentives by artificially inflating switched access charge revenues," filed the telco Thursday in docket 01-92. "Moving these remaining access charges to bill-and-keep would be consistent with the Commission’s overarching goal of discouraging arbitrage" and be aligned with a 2011 order finding "that, with respect to terminating traffic, the LEC’s end user is the cost causer and therefore the LEC should look first to its subscribers to recover the costs of its network." The cost causers in this case are access stimulators that "should bear sole responsibility for the expenses," AT&T said. It suggested the FCC could also state it violates the rules to be "intentionally locating high volume services in remote areas with the prevailing purpose of abusing the switched access regime" or routing "high-volume switched access traffic to remote areas to then re-route that traffic" via IP networks to the state in which the traffic is destined. Locating operations and targeting traffic in remote areas is arbitrage that "artificially" inflates traffic and increases terminating costs borne by interexchange carriers, filed USTelecom on meetings its members had with Wireline Bureau and Office of Economics and Analytics staffers, posted Friday in docket 18-155. It said "some arbitrageurs may be able to move around to increase their revenues" making it "difficult for terminating carriers to develop alternative network designs, like direct connections." Telcos also continue to "see revenue sharing agreements and traffic imbalances" consistent with access stimulation, it said. Calling ILEC rates a cap to its rates, CLEC Wide Voice said "carrier 'self-help' refusal to pay properly tariffed rates" is its single biggest problem," it filed on meetings CEO Andrew Nickerson had with aides to every commissioner and with Wireline Bureau and OEA staffers. It urged the FCC to "end the vilification of access stimulation" -- a "valid, compensable traffic category" created by the agency -- and penalize carriers engaging in "self-help non payment."
NTCA objected to an FCC draft order on intermediate carrier standards the association said could increase rural call completion problems. The RLEC group urged the FCC to add to the draft's "flexible" service-quality standards and condition elimination of existing "covered" originating provider record-keeping duties. WTA backed NTCA, but some others supported the draft, tentatively scheduled for a vote at a March 15 commissioners meeting (see 1902220062).
Senate Commerce Committee Chairman Roger Wicker, R-Miss., said Wednesday he favors reauthorization of the Satellite Television Extension and Localism Act, one of several communications policy issues the committee is “intent on moving” on this year. Wicker said during an Incompas event he is bullish about advancing privacy legislation but less certain about prospects for bills on net neutrality and improving conditions for 5G. Other federal officials meanwhile noted there's no 5G "killer app" yet.
Electric utilities and telecom groups sought further coordination to improve wireless network resiliency and restoration from disasters. "Communications providers should continue hardening their infrastructure and designing networks to avoid single points of failure, said Edison Electric Institute and other utility interests, as replies were posted Tuesday in FCC docket 11-60. They said the FCC "should promote best practices to address communications network back-up power deficiencies" and engage regularly with state and local authorities and other stakeholders, and encourage communications providers do likewise. They want more utility industry seats on the Broadband Deployment Advisory Committee. Most initial commenters (see 1902110034) "agree the best forum for improved coordination between communications providers and power companies is the local emergency operations center [(EOC)] level," said American Electric Power and Southern Co. They disputed wireless pushback to the need to improve back-up power. CTIA said commenters "widely support enhancing cooperative efforts, at the local level and through the BDAC" and Department of Homeland Security. It backs "a flexible approach to resilience" that has "proven effective," though it acknowledged "restoration efforts were challenging" for communications providers and power companies after "recent historic hurricanes." USTelecom said coordination between communications and electric companies "runs deep," and to the extent more is needed, "continue those discussions in existing venues at the Commission and within other government partners." Noting wireline telcos provide wireless backhaul, USTelecom agreed communications companies may be able to enhance coordination with state EOCs but disputed "any suggestion that our sector does not work together in disaster recovery." The American Cable Association said a cooperative resiliency framework for backhaul providers isn't needed. "Modest improvements" in coordination between power and communications providers "would enhance disaster resiliency," ACA said.
The FCC offered $67 million in additional annual support to rural telcos it said could bring improved service to nearly 110,000 residences and businesses in 43 states. RLEC representatives welcomed the Monday announcement, which flowed from a December order (see 1812120039). Carriers have until March 27 to decide whether to accept the offers, which would require them to "significantly expand" the availability of 25/3 Mbps in their high-cost areas, said a release and public notice in docket 10-90 (both here). The FCC made 262 revised offers to 207 rate-of-return carriers receiving alternative connect America cost model (A-CAM) support, noting locations with monthly costs above $52.50 will be funded up to a per-location cap of $200 per month. The PN links to a file showing revised state-level offers of support and associated deployment obligations. "We worked really hard to get the commission to adopt additional funding for the A-CAM program, and we’re really pleased the FCC has released the public notice to get the revised program up and running," ITTA President Genny Morelli told us. "I’m glad the revised ACAM offers have been released," emailed Derrick Owens, WTA senior vice president-government and industry affairs, noting some members previously took A-CAM support even though it "was reduced from $200/line to $146.10/line" due to widespread interest that diluted per-carrier funding. Companies "now have the data they need to make a decision" on whether to accept the additional support and obligations, he said. NTCA CEO Shirley Bloomfield said it's "a critical first step in a process" adopted in the December order "that should help to restore regulatory certainty and sufficiency within cost recovery mechanisms that had been lacking ... for many years." “USTelecom is pleased the Commission has moved quickly so that companies that elect A-CAM can begin getting funding and deploying broadband to rural America in the near-term," emailed a spokesperson.
AT&T and USTelecom political action committees are set to hold a Tuesday night fundraiser in support of the Responsibility and Freedom Work PAC, which backs re-election of Senate Commerce Committee Chairman Roger Wicker, R-Miss. He's to attend the event at the Capital Grille in Washington, said an invitation. Tickets are $1,500 to $5,000. The fundraiser is the day before Senate Commerce holds what's expected to be the first in a series of data privacy hearings (see 1902220041). A Wicker spokesperson didn't immediately comment.
The FCC has shifted stances in its draft repacking reimbursement order and proposes using FY 2019 reimbursement dollars to pay back low-power TV, translator and FM stations as well as using the $200 million from FY 2018. The draft order was released Friday along with the tentative agenda. It includes items on spectrum horizons and other 5G changes, a proposal for new 911 wireless location accuracy requirements, a draft order setting intermediate carrier standards for rural call completion and rules on reauthorization of broadcast satellite stations.
Reactions were mixed to an FCC draft that would find broadband deployment is meeting a Telecom Act Section 706 mandate. Broadband providers and others welcomed a positive finding and credited the commission with clearing deployment obstacles, while consumer advocates were skeptical and slammed agency leadership. Chairman Ajit Pai Tuesday circulated a draft report internally that broadband-like advanced telecom capability is being deployed in a "reasonable and timely" way (see 1902190057). The report was due out Feb. 5 but delayed by the government shutdown. It might be put on the tentative agenda for the March 15 commissioners' meeting, which Pai is expected to highlight Thursday.
Democratic and GOP lawmakers are linking arms to support state bills to combat caller ID spoofing, with some measures getting nearly unanimous floor votes this session. Lawmakers in at least 10 states including California, Connecticut, Minnesota, Mississippi and Virginia are trying to combat robocalls through legislation (see map). Spoofing is “completely irritating” and is happening with increasing frequency, said Minnesota state Rep. Julie Sandstede (D) in an interview.
The FCC gave itself 90 more days to decide USTelecom's forbearance petition for ILEC wholesale relief, as allowed under the Communications Act. Instead of May 4, the petition won't be deemed granted, absent a commission denial, until Aug. 2, said a Wireline Bureau order Thursday in docket 18-141. USTelecom wasn't surprised. "These extensions are typical -- even when forbearance requests are ultimately granted," emailed Patrick Halley, senior vice president-advocacy and regulatory affairs.