[Federal Register: July 25, 2007 (Volume 72, Number 142)]
[Proposed Rules]
[Page 40814-40816]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr25jy07-25]
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FEDERAL COMMUNICATIONS COMMISSION
47 CFR Parts 0, 1, 61 and 69
[WC Docket No. 05-25; RM-10593; FCC 07-123]
Parties Asked To Refresh Record in the Special Access Notice of
Proposed Rulemaking
AGENCY: Federal Communications Commission.
[[Page 40815]]
ACTION: Proposed rule.
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SUMMARY: In the Special Access Notice of Proposed Rulemaking (NPRM),
the Commission commenced a broad examination of the regulatory
framework to apply to interstate special access services provided by
price cap local exchange carriers (LECs), including whether the special
access pricing flexibility rules that the Commission adopted in 1999
have worked as intended. This document invites interested parties to
update the record in light of industry developments.
DATES: Comments are due on or before August 8, 2007 and reply comments
are due on or before August 15, 2007.
ADDRESSES: You may submit comments, identified by WC Docket No. 05-25
and RM-10593, by any of the following methods:
Federal eRulemaking Portal: http://www.regulations.gov.
Follow the instructions for submitting comments.
Federal Communications Commission's Web Site: http://www.fcc.gov/cgb/ecfs/.
Follow the instructions for submitting comments. E-mail: ecfs@fcc.gov., and include the following words in
the body of the message: ``Get form.'' A sample form and directions
will be sent in response.
First-class or overnight U.S. Postal Service mail:
Secretary, Federal Communications Commission, 445 12th Street, SW.,
Washington, DC 20554.
Detailed instructions for submitting comments, including how to submit
comments by hand, messenger delivery or by commercial overnight
courier, and additional information on the rulemaking process are
contained in the SUPPLEMENTARY INFORMATION section of this document.
FOR FURTHER INFORMATION CONTACT: Margaret Dailey, Wireline Competition
Bureau, Pricing Policy Division (202) 418-1520,
margaret.dailey@fcc.gov.
SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Public
Notice, FCC 07-12, released on July 9, 2007. The full text of this
document is available for public inspection during regular business
hours at the FCC Reference Information Center, Portals II, 445 12th
Street, SW., Washington, DC 20554 and may be viewed on the Commission's
Web site at http://www.fcc.gov/.
Pursuant to the Commission's rules governing notices of proposed
rulemakings, 47 CFR 1.415, 1.419, the Commission invites interested
parties to update the record in this proceeding. In the Special Access
NPRM, 70 FR 19381, April 13, 2005, the Commission commenced a broad
examination of the regulatory framework to apply to interstate special
access services provided by price LECs, including whether the special
access pricing flexibility rules that the Commission adopted in 1999
have worked as intended. 47 CFR 69.701 et seq.; Pricing Flexibility
Order, 64 FR 51258, Sept. 22, 1999. On June 8, 2005, a Protective Order
was entered to enable parties to submit documents that contain
proprietary or confidential information and to ensure adequate
protection for such documents. In response to the Special Access NPRM,
the Commission received comments on June 13, 2005 and reply comments on
July 29, 2005.
Since these comments were filed, a number of developments in the
industry may have affected parties' positions on the issues raised in
the Special Access NPRM. These developments include a number of
significant mergers and other industry consolidations, the continued
expansion of intermodal competition in the market for
telecommunications services, which affects the uses of, and competition
to provide, a variety of special access services or alternatives; and
GAO's November 2006 release of Report 07-80 (GAO Report), which
summarizes its review of certain aspects of the market for special
access services. Accordingly, the Commission requests that parties
refresh the record in this proceeding to reflect the effects of these
developments. Parties should include any new information or arguments
that may be relevant to the Commission's consideration of what action,
if any, may be appropriate in this proceeding. We also ask parties to
address the specific questions below, which were not raised in the
Special Access NPRM. First, parties should comment on the effect of the
post Special Access NPRM mergers and other industry consolidation on
the availability of competitive special access facilities and
providers. Parties should also comment on the effect these mergers may
have had on scale economies or the profitability of special access
services. In addition, since the release of the Special Access NPRM,
demand for wireless voice and wireless broadband services has
increased, and special access has been an important input for these
services. We seek comment on how special access pricing affects the
price and availability of wireless services and the investment in and
deployment of wireless networks. In the Special Access NPRM, the
Commission sought comment on both the price and cost of special access
services, and on how costs for special access facilities should be
estimated. We seek comment here on methods that may be used to estimate
the costs of special access facilities, including whether models may
appropriately be used to estimate such costs. For example, cost and
engineering models have been used to estimate the cost of Unbundled
Network Elements. Could they also be used to estimate costs of special
access facilities? We note that a number of carriers have embarked on
significant upgrades to their networks to provide high capacity
services to their customers. We seek information on projected costs per
customer to deploy these facilities. To assist in the assessment of the
reasonableness of rates for special access services, we ask parties to
supplement the record with information on vendor prices for high
capacity transmission equipment, outside plant, fiber, and fiber
installation, and on prices for nonregulated services that provide
similar or equivalent capabilities to special access services, such as
Ethernet and packet-based services.
In the Special Access NPRM, the Commission noted that an
examination of the current state of competition in the marketplace is
critical to a determination of whether our pricing flexibility rules
have worked as intended. We asked parties to comment and provide data
on whether DS-1 special access channel terminations between the LEC end
office and the customer premises are in the same product market as DS-3
and OCn channel terminations. In light of rapid changes in fiber
technologies, we now ask parties to comment on whether we should
further subdivide optical fiber services into low capacity OCn services
(such as OC-3) and higher capacity OCn services. We particularly seek
information as to how much capacity competitors believe is necessary to
justify building new facilities to serve customers.
This inquiry is also relevant to the Commission's analysis of
demand responsiveness. In the Special Access NPRM, the Commission
stated that parties may demonstrate that the market for a particular
special access service is not competitive by showing that a significant
number of an incumbent price cap LEC's customers cannot purchase a
comparable special access service from an entity other than the LEC.
Parties are invited to comment on whether any changes in the market
have affected the availability of comparable alternatives. To the
extent that parties contend that continued regulation of special access
services is warranted, we request that they provide specific
[[Page 40816]]
proposals for an appropriate regulatory scheme to assure reasonable
rates and conditions for special access services. Finally, we ask
parties to comment on the analysis and findings in the GAO Report
summarizing GAO's review of competition in the market for special
access services.
Procedural Matters
Ex Parte Requirements
This matter shall be treated as a ``permit-but-disclose''
proceeding in accordance with the Commission's ex parte rules. 47 CFR
1.1200 et seq. Persons making oral ex parte presentations are reminded
that memoranda summarizing the presentations must contain summaries of
the substance of the presentations and not merely a listing of the
subjects discussed. More than a one- or two-sentence description of the
views and arguments presented generally is required. 47 CFR
1.1206(b)(2). Other rules pertaining to oral and written presentations
are set forth at 47 CFR 1.1206(b).
Comment Filing Procedures
Pursuant to Commission rules governing notices of proposed
rulemakings, interested parties may file comments on or before August
8, 2007 and reply comments on or before August 15, 2007. 47 CFR 1.415,
1.419. All pleadings must reference WC Docket No. 05-25 and RM-10593.
Comments may be filed using: (1) The Commission's Electronic Comment
Filing System (ECFS); (2) the Federal Government's eRulemaking Portal;
or (3) by filing paper copies. See Electronic Filing of Documents in
Rulemaking Proceedings, 63 FR 24121, May 1, 1998. Comments may be filed
electronically using the Internet by accessing the ECFS at http://www.fcc.gov/cgb/ecfs/ or the Federal eRulemaking Portal: http://
http://www.regulations.gov. Filers should follow the instructions provided on
the Web sites for submitting comments. For ECFS filers, if multiple
docket or rulemaking numbers appear in the caption of this proceeding,
filers must transmit one electronic copy of the comments for each
docket or rulemaking number referenced in the caption. In completing
the transmittal screen, filers should include their full name, U.S.
Postal Service mailing address, and the applicable docket or rulemaking
number. Parties may also submit an electronic comment by Internet e-
mail. To get filing instructions, commenters should send an e-mail to
ecfs@fcc.gov, and should include the following words in the body of the
message: ``get form.'' A sample form and directions will be sent in
reply.
Parties who choose to file by paper must file an original and four
copies of each filing. If more than one docket or rulemaking number
appear in the caption of this proceeding, commenters must submit two
additional copies for each additional docket or rulemaking number.
Filings can be sent by hand or messenger delivery, by commercial
overnight courier, or by first-class or overnight U.S. Postal Service
mail (although we continue to experience delays in receiving U.S.
Postal Service mail). Parties are strongly encouraged to file comments
electronically using the Commission's ECFS. All filings must be
addressed to the Commission's Secretary, Marlene H. Dortch, Office of
the Secretary, Federal Communications Commission.
The Commission's contractor will receive hand-delivered or
messenger-delivered paper filings for the Commission's Secretary at 236
Massachusetts Avenue, NE., Suite 110, Washington, DC 20002. The filing
hours at this location are 8 a.m. to 7 p.m. All hand deliveries must be
held together with rubber bands or fasteners. Any envelopes must be
disposed of before entering the building. Commercial overnight mail
(other than U.S. Postal Service Express Mail and Priority Mail) must be
sent to 9300 East Hampton Drive, Capitol Heights, MD 20743. U.S. Postal
Service first-class, Express, and Priority mail should be addressed to
445 12th Street, SW., Washington DC 20554.
Parties should also send a copy of their filings to Margaret
Dailey, Pricing Policy Division, Wireline Competition Bureau, Federal
Communications Commission, Room 5-A232, 445 12th Street, SW.,
Washington, DC 20554, or by e-mail to margaret.dailey@fcc.gov. Parties
shall also serve one copy with the Commission's copy contractor, Best
Copy and Printing, Inc. (BCPI), Portals II, 445 12th Street, SW., Room
CY-B402, Washington, DC 20554, (202) 488-5300, or via e-mail to
fcc@bcpiweb.com.
Documents in WC Docket No. 05-25 and RM-10593 are available for
public inspection and copying during business hours at the FCC
Reference Information Center, Portals II, 445 12th Street, SW.,
Washington, DC 20554. The documents may also be purchased from BCPI,
telephone (202) 488-5300, facsimile (202) 488-5563, TTY (202) 488-5562,
e-mail fcc@bcpiweb.com. These documents may also be viewed on the
Commission's Web site at http://www.fcc.gov/. People with Disabilities:
To request materials in accessible formats for people with disabilities
(braille, large print, electronic files, audio format), send an e-mail
to fcc504@fcc.gov or call the Consumer & Governmental Affairs Bureau at
(202) 418-0530 (voice), (202) 418-0432 (tty).
List of Subjects
47 CFR Part 0
Organization and functions (Government agencies).
47 CFR Part 1
Administrative practice and procedure, Communications common
carriers, Telecommunications.
47 CFR Parts 61 and 69
Communications common carriers, Reporting and recordkeeping
requirements, Telephone.
Federal Communications Commission.
Marlene H. Dortch,
Secretary.
[FR Doc. E7-14272 Filed 7-24-07; 8:45 am]
BILLING CODE 6712-01-P