FCC SLC doc: da951168.txt (fwd)

[James Love <love@tap.org>]

  >From a friend whom I think wants to wants to remain anonymous.
  
                                                                   DA 95-1168
  
                COMMON CARRIER BUREAU WILL NOT ENFORCE CURRENT
                      RULES ON APPLICATION OF SUBSCRIBER
                         LINE CHARGES TO ISDN SERVICE
  
                                                      Released:  May 30, 1995
  
  The Common Carrier Bureau will not initiate enforcement actions
  against Local Exchange Carriers (LECs) for violation of Section
  69.104 of the Commission's rules, 47 C.F.R.  69.104, insofar as
  the rule requires that a Subscriber Line Charge (SLC) be assessed
  for each derived channel of Integrated Services Digital Network
  (ISDN) service.  The Bureau will refrain from enforcement,
  however, only on the condition that LECs calculate their Carrier
  Common Line charges as if they were imposing a SLC for each
  voice-grade-equivalent derived channel of the ISDN service,
  except for D channels used for signalling.  The suspension will
  remain in effect pending further Commission action in a
  rulemaking proceeding concerning SLCs.
  
  ISDN permits digital transmission over ordinary local loops and
  T-1 facilities through the use of advanced central office
  equipment and customer premises equipment.  There are two types
  of ISDN service currently available.  Basic Rate Interface (BRI)
  service allows a customer to obtain two voice-grade-equivalent
  channels and a data/signalling channel over an ordinary local
  loop.  Primary Rate Interface (PRI) service allows a customer to
  obtain 23 voice-grade-equivalent channels and a data/signalling
  channel or, in some circumstances, 24 voice-grade-equivalent
  channels over a T-1 facility, with two pairs of twisted copper
  wires.
  
  The SLC is a flat monthly charge paid by telephone subscribers to
  cover a portion of the cost of the local telephone line that
  connects the subscriber's telephone to the telephone company's
  switching office.  In 1992, in response to a tariff filing by the
  NYNEX Telephone Companies, the Common Carrier Bureau concluded
  that the Commission's access charge rules require telephone
  companies to assess a SLC for each derived channel of ISDN
  service, and the Commission later affirmed that decision.  See In
  the Matter of NYNEX Telephone Companies, Revisions to Tariff
  F.C.C. No. 1, Transmittal No. 116, Memorandum Opinion and Order,
  7 FCC Rcd 7938 (Com. Car. Bur. 1992), aff'd on recon., 10 FCC Rcd
  2247 (1995).
  
  The Commission's access charge rules are more than ten years old,
  and the current development of ISDN was not anticipated when
  these rules were adopted.  The Commission has initiated an
  expedited rulemaking to consider whether the current rules
  governing assessment of SLCs on derived channel services should
  be changed.  In the interim, we believe that the public interest
  is best served by focusing our resources on reaching an equitable
  long-term resolution of these issues as quickly as possible,
  rather than devoting resources to enforcing a rule that is
  subject to possible amendment in the near future.  In addition,
  the suspension of enforcement will expire when the Commission's
  action in the rulemaking proceeding takes effect.
  
  To guard against potential adverse consequences to non-ISDN
  subscribers as a result of this decision, we are conditioning the
  suspension of enforcement on the requirement that the LECs
  calculate Carrier Common Line rates as if they were charging a
  SLC for each voice-grade-equivalent derived ISDN channel, except
  for D channels used for signalling. This condition will ensure
  that LECs do not increase Carrier Common Line charges to
  compensate for SLC revenues not recovered from ISDN service,
  which potentially would put upward pressure on interstate toll
  rates.  The Common Carrier Bureau will address procedures to
  ensure compliance with this condition by local exchange carriers
  in the context of the review of the 1995 annual access tariff
  filings.
  
  By the Chief, Common Carrier Bureau.
  
  For further information, contact:  Lisa S. Gelb (202) 418-1592.