The FCC Consumer and Governmental Affairs Bureau raised the IP Relay compensation rate to $1.37 per minute starting Nov. 15 for the remainder of the 2014-15 fund year, which ends June 30. Purple exited the market Nov. 14 and Sprint became the sole provider offering the service. The bureau provided a special rate of $1.67 per minute, applicable to any monthly minutes in excess of 300,000, through May 15. The bureau said Monday it took the step at the request of Sprint to preserve the service, which is critical to the deaf, hard of hearing, deaf-blind or people with speech disabilities. “Our purpose is to ensure that the remaining provider is reasonably compensated for providing service, including service to users who migrate from the departing provider, and that IP Relay service will continue to be provided without interruption to eligible consumers, especially those who rely on IP Relay as their sole or primary source of functionally equivalent telephone service,” the bureau said. The rate had been $1.0309 per minute. Sprint had warned that the current compensation rate doesn't reflect its allowable costs and its costs will increase due to Purple’s exit, the bureau said. “In addition, Sprint asserts that even before Purple’s announced departure, it had been planning to terminate its IP Relay service and had begun winding down its business. Sprint adds, however, that a sufficient upward adjustment of the rate would enable it to stay in the business, and thereby enable it to serve both its current customers and any new users migrating from Purple.”
USTelecom asked the FCC to reconsider a Nov. 25 declaratory ruling changing the “long-standing” definition of what constitutes a “discontinuance, reduction, or impairment of service” under Communications Act Section 214. “The new definition is impermissibly vague and, instead of terminating a controversy or removing uncertainty, it creates unnecessary confusion,” USTelecom said in a petition for reconsideration filed Tuesday. The new standard says a service may no longer be defined by its provider, but should be defined under an “amorphous” functional test “that takes into account the totality of the circumstances from the perspective of the relevant community or part of a community,” USTelecom said. “Under this new view, providers are unable to gauge what services or aspects of their products or services might require a section 214 filing to discontinue or grandfather.”
The FCC Wireline Bureau released its annual telecom reporting worksheet, FCC Form 499-A, and accompanying instructions, to be used next year to report 2014 revenue, as well as its quarterly telecom reporting worksheet, Form 499-Q, and instructions. “Due to the de minimis nature of the revisions” to the forms and instructions, the bureau said Tuesday in a notice it did not issue a public notice seeking comment on any changes to the documents.
The National Rural Electric Cooperative Association filed a prohibited written presentation Dec. 9 on E-rate modernization and the Connect America Fund during the sunshine period for the FCC Dec. 11 open meeting, the Office of General Counsel said in a public notice Monday. The text of the group’s filing wasn't posted by the FCC. Commission rules prohibit “making of any presentation, whether ex parte or not, to decision-making personnel concerning any matter listed on the Commission's Sunshine Agenda from the day after the Sunshine Agenda is released until the Commission releases the text of a decision or order relating to that matter or removes the item from the sunshine agenda,” the PN said.
The FCC Wireline Bureau said it has an additional $651,832 in Connect America Fund money for category one funding and $64,600 in category two funding available for next-in-line bidders seeking rural broadband experiments support. Six entities that the Wireline Bureau selected earlier this month to receive CAF funding have decided to withdraw from the funding process, the bureau said Tuesday. The Wireline Bureau also sought comment on petitions filed by 15 provisionally selected bidders who are seeking a waiver from providing a required audited financial statement. Interested parties should file comments by Jan. 6, with replies due Jan. 13, the FCC said.
Windstream Communications selected software-defined network solutions provider Cyan to upgrade its regional and metro networks from 10 Gbps to 100 Gbps using Cyan’s Z-Series pack-optical hardware, Cyan said Monday. The company said it has begun initial deployments of new infrastructure in major Windstream markets. The upgrades will allow Windstream to offer advanced IP services to small and medium-sized businesses and higher-speed broadband to residential subscribers, Cyan said. Financial terms weren't revealed.
Any FCC order requiring calls originating or terminating over VoIP to be subject to intercarrier compensation requirements shouldn't be applied retroactively, AT&T said in comments posted Thursday in docket 10-90. Responding to Level 3’s comments saying requirements should be retroactive (see 1412180032), Sidley Austin’s David Lawson, representing AT&T, said “Level 3 misstates the controlling standards.” An order on VoIP calls would be “substituting a new law for an old law that was reasonably clear,” AT&T said. The U.S. Court of Appeals for the D.C. Circuit has ruled that in those cases, “agencies are required to ‘deny retroactive effect,’” AT&T said. Level 3 had no immediate comment.
A defendant who the Federal Trade Commission says was involved in a landline cramming operation settled FTC charges against him, an agency news release said. Under the agreement, Nathan Sann will be banned from placing charges of any kind on customers’ phone bills, and will be prohibited from billing consumers without their authorization, the Wednesday release said. The FTC had charged in a complaint that American eVoice, eight other companies, Sann and three other people were placing charges ranging from $9.95 to $24.95 per month on consumers’ landline phone bills for voicemail services they never signed up for and never even knew they had, the release said (see 1301230059). The case against the other entities and individuals allegedly involved in the scheme is ongoing, the FTC said.
The FCC should act “in short order” to pause, effective June 30, 2014, reductions in intercarrier compensation rates for originating intrastate VoIP traffic, said National Exchange Carrier Association, NTCA and WTA in a Dec. 16 letter to the commission, posted in docket 10-90 Wednesday. The groups filed an emergency petition on July 7, seeking relief from the reductions, and argued they had been approved under the assumption that Connect America Fund reforms would be in place to offset the loss for smaller carriers (see 1409030031). If granted, the pause should remain in place until the USF reforms are enacted, the letter said.
Any order requiring calls originating or terminating over VoIP to be subject to intercarrier compensation requirements should be applied retroactively, despite AT&T's and Verizon’s arguments to the contrary (see 1412090017), representatives of Level 3 and Bandwidth.com told officials with the FCC general counsel’s office and Wireline Bureau Dec. 8, according to an ex parte filing posted Wednesday. The U.S. Court of Appeals for the D.C. Circuit ruled in Qwest v. FCC that adjudications are presumed to be applied retroactively unless there’s a “‘manifest injustice’” in doing so, and neither AT&T nor Verizon has made that case, said the filing in docket 10-90. Representing Level 3 were Joseph Cavender, assistant general counsel, and Harris Wiltshire’s John Nakahata, Chris Wright and Tim Simeone. Morgan Lewis’ Tamar Finn represented Bandwidth.com.