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RLECs Back Opening Rulemaking on Rural BDS Relief; AT&T Raises Targeted Issues

A request the FCC consider business data service (BDS) relief for some rural telcos got support from two RLEC trade groups and seven rural carriers, while AT&T said it wouldn't object but raised some issues with proposed continuation of certain…

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rate-of-return regulations. The parties' comments were posted Thursday in docket 17-144. Sprint's opposition and supportive comments from TDS and a smaller RLEC were posted earlier (see 1707060051). NTCA and WTA said they backed an ITTA/USTelecom petition to open a rulemaking to consider allowing RLECs receiving model-based USF support to opt into relaxed BDS rules for price-cap carriers. Both the FCC and individual carriers would "benefit from the efficiency of a clearly defined and carefully constructed path" enabling model-based carriers to convert to price-cap BDS regulation, commented NTCA/WTA. They said, however, the FCC must ensure there aren't "unintended consequences or adverse impacts" on consumers or RLECs not participating in the conversions, with details to be sorted out. Blackfoot Telephone Cooperative and six other "Big Sky" RLECs supported the petition and its substantive proposals. AT&T questioned two aspects of petitioners' proposals to retain other rate-of-return regulations: a waiver of an "all-or-nothing" rule that otherwise requires rural carriers electing price-cap regulation to move both switched access and special access (BDS) to price caps at the same time; and a "one-time unfreeze" of separations factors in setting initial rates. AT&T said the FCC shouldn't waive the all-or-nothing rule and said any one-time unfreeze of separations factors must be subject to public comment.