The FCC should reverse two findings by the Universal Service Admi...
The FCC should reverse two findings by the Universal Service Administrative Co. in an audit of Madison River Communications, said Level 3 and two other competitive local exchange carriers. In comments last week on a petition for review, no…
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one took USAC’s side. USAC had determined that Madison River owes universal service fund and Telecommunications Relay Service fund contribution payments on intrastate T-1 revenue received from customers during 2005, because the company couldn’t prove the revenue was intrastate. But under FCC rules, Madison’s circuits are assumed to be intrastate unless the company certifies otherwise, said Level 3 and Paetec. “USAC’s view … represents an unprecedented ‘land grab’ of state regulatory authority that would have severe consequences for states, the industry, and consumers,” they said. Madison River also challenged a USAC determination that it should have reported the transmission portion of its Internet access services separately as assessable telecommunications service revenue. Madison River shouldn’t owe USF money for its transmission components in 2005 because at the time the FCC considered wireline broadband Internet access an information service not subject to USF assessment, Level 3 and Paetec said. Also, they said, “wireline broadband Internet services that are single, integrated service offerings -- as compared to bundled packages of stand-alone telecommunications and information services -- have never been subject to USF assessment.”