[Federal Register Volume 59, Number 53 (Friday, March 18, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-6273]
[[Page Unknown]]
[Federal Register: March 18, 1994]
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FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 1
[CC Docket No. 94-1 FCC 94-10]
Comprehensive Review of the Performance of LECs Under Price Cap
Regulation
AGENCY: Federal Communications Commission.
ACTION: Notice of proposed rulemaking.
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SUMMARY: The Commission adopted a Notice of Proposed Rulemaking
initiating a comprehensive review of the performance of local exchange
carriers under price cap regulation. The Commission pledged to
undertake this fourth-year review when it adopted price cap regulation
for the Regional Bell Operating Companies, GTE, and electing local
exchange carriers (LECs). The document meets this pledge and identifies
and solicits comments on three sets of issues.
DATES: Comments must be filed on or before April 18, 1994, and reply
comments on or before May 17, 1994.
ADDRESSES: Federal Communications Commission, 1919 M Street, NW.,
Washington, DC 20554.
FOR FURTHER INFORMATION CONTACT:
Joanne Wall, Tel. (202) 632-6917.
SUPPLEMENTARY INFORMATION:
Paperwork Reduction
This proposal contained herein has been analyzed with respect to
the Paperwork Reduction Act of 1980 and found not to impose new or
modified information collection requirements on the public.
On January 19, 1994, the Commission adopted a Notice of Proposed
Rulemaking (NPRM) initiating a comprehensive review of the performance
of LECs under price cap regulation. Price cap regulation for the LECs
became effective on January 1, 1991, and the NPRM meets a Commission
pledge to review the plan during its fourth year of operation. The
Commission pledged to undertake this review when it adopted price cap
regulation for the RBOCs, GTE, and electing LECs.
Under LEC price cap regulation, the LECs' interstate services are
grouped within baskets. Rates within each basket are capped on a
formula that limits maximum rate changes. This formula produces the
Price Cap Index (PCI) for the basket. Within each basket, rate changes
in any one year are also limited by rate bands.
The NPRM presents data indicating that access rates have declined,
service quality remains the same as before price caps, and earnings
have been higher than under rate of return regulation. The basic
purpose of the review will be to consider whether the plan should be
revised to better serve the goals of the Communications Act and the
public interest. The NPRM identifies and solicits comments on three
sets of issues.
First, the NPRM requests comment on a set of general issues
addressing whether the goals of price caps should be refined to assure
that LEC price cap regulation facilitates the deployment of the
facilities and services consumers and businesses will need in the
future. Second, the NPRM identifies a set of issues raising questions
of whether to revise the current plan to improve its performance or to
adjust the plan in response to changes in technology, regulation, and
the market in the near term. The third set of issues relates to a
possible transition from the baseline price cap plan toward the
relaxation of regulatory oversight and rate regulation as competition
develops in the market for local exchange access services.
The Common Carrier Bureau has established a computerized data base
for use in the LEC price cap performance review. This data base is
located in the Industry Analysis Division's ``FCC-State Link Bulletin
Board System'' (RBBS-PC), in a directory entitled ``PRICECAP.'' (See,
FCC Public Notice, DA 94-219, rel. March 8, 1994.)
This 24-hour bulletin board is restricted to FCC use from 9:30
a.m.-10:30 a.m. and 1 p.m.-1:30 p.m. EST, Monday through Sunday. From 8
a.m.-9:30 a.m. and 10:30 a.m. to 1 p.m. EST, Monday through Sunday,
regulatory commissions and other government agencies are priority users
and, therefore, the system is not available to other users during those
hours. The board is available to the public (as well as government
users) from 1:30 p.m.-8 a.m. EST, Monday through Sunday.
This computerized bulletin board can be accessed by using a
computer and modem and calling (202) 632-1361. Users can transfer
information on the use of this board to their computers by selecting
first, the ``FILE'' command from the ``MAIN'' menu, second, the
``DOWNLOAD'' command from the ``FILE'' menu and third, the ``RBBS-
PC.REF'' file in the ``BBS'' directory of the bulletin board. Users
should refer to their communications package for instructions on how to
transfer the file to the users' computer system. Information on various
aspects of this board can be found by selecting first, the ``BULLETIN''
command from the ``MAIN'' menu and, second, the ``INFO'' bulletin from
the list of bulletins. In-depth information about commands, menus, and
special topics can be found by selecting the ``HELP'' command, which is
available in all menus. Specific questions can be sent to the System
Operator by first, selecting the ``COMMENT TO SYSOP'' command from the
``MAIN'' menu, second, typing in a message containing the question and
third, selecting the ``SAVE MESSAGE'' command. The System Operator's
response to these questions can be retrieved by selecting the ``READ
MESSAGE'' command from the ``MAIN'' menu.
As noted in the NPRM, the Commission is using this proceeding as a
test of methods to improve the ability of the Commission and the public
to review and evaluate data and information through the use of
computerized data bases. We therefore encourage all commenters to
submit, in addition to the required paper copies (see NPRM at para.
107), a copy of their comments and reply comments on IBM-PC compatible
diskettes to: (1) The Secretary, Federal Communications Commission,
1919 M St., NW., Washington, DC 20554 and (2) the Commission's copy
contractor, International Transcription Services, Inc., Room 246, 1919
M Street, NW., Washington, DC 20554, Attn. Wilbur Thomas. Each diskette
submitted to the Office of the Secretary should be labeled CC Docket
No. 94-1, Attn. Adrianne Brent, Industry Analysis Division. All
diskettes should be submitted with text files in two formats, one
compatible with WordPerfect 5.1 or 4.2 and one in ASCII, and with
spreadsheets in a Lotus 1-2-3 WK1 or WK3 file, so that they may be
included in the data base. All ex parte statements and replies to ex
parte statements should be filed in this same manner.
In the NPRM, the Commission identified a number of issues for
comment. Each issue is categorized as a ``General,'' ``Baseline,'' or
``Transition'' issue. In addition, each issue is assigned a number, and
some of the issues also are assigned a letter. For example, the first
issue identified for comment in the NPRM is ``General Issue 1''; the
third issue identified for comment is ``Baseline Issue 1a''; the last
issue identified for comment is ``Transition Issue 6.'' In responding
to an issue identified for comment in the NPRM, commenters should
specifically reference the category, number, and where applicable, the
letter that corresponds to the issue. Further, the category, number,
and letter of the issue should precede the corresponding comments.
Comments filed in this format should improve the Commission and the
public's ability to review and evaluate data and information submitted
in this docket.
The NPRM provides that comments in this docket are due on April 18,
1994, and replies are due on May 17, 1994. In order to facilitate the
creation of useful data bases in this and other Commission proceedings,
we encourage comments and suggestions for improvements to these
procedures.
For further information regarding the operation of the bulletin
board, call Adrianne Brent or Jonathan Kraushaar, Industry Analysis
Division, (202) 632-0745. For further information about the NPRM, call
Joanne Wall, Tariff Division, (202) 632-6917.
The full text of this proposal may also be purchased from the
Commission's copy contractor, International Transcription Services
(ITS), 2100 M Street, NW., suite 140, Washington, DC 20037, Tel. (202)
875-3800.
Regulatory Flexibility Act
We certify that the Regulatory Flexibility Act of 1980 does not
apply to this rulemaking proceeding because if the proposal rule
amendments are promulgated, there will not be a significant economic
impact on a substantial number of small business entities, as defined
by Section 601(3) of the Regulatory Flexibility Act. Carriers subject
to price cap regulation for local exchange access services affected by
the rule amendments under consideration generally are large
corporations or affiliates of such corporations. The Secretary shall
send a copy of this Notice of Proposed Rule Making, including the
certification, to the Chief, Counsel for Advocacy of the Small Business
Administration in accordance with paragraph 603(a) of the Regulatory
Flexibility Act, Pub. L. No. 96-354, 94 Stat. 1164, 5 U.S.C. Section
601 et seq. (1981).
Ex Parte
This is a non-restricted notice and comment rulemaking proceeding.
Ex parte presentations are permitted, except during the Sunshine Agenda
period, provided they are disclosed as provided in Commission rules.
See generally 47 CFR 1.1202, 1.1203, and 1.1206(a).
List of Subjects in 47 CFR Part 1
Administrative practice and procedure, Communications common
carriers, Reporting and recordkeeping requirements, Telecommunications.
Federal Communications Commission.
William F. Caton,
Acting Secretary.
[FR Doc. 94-6273 Filed 3-17-94; 8:45 am]
BILLING CODE 6712-01-M
