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TR's State NewsWire . . .daily intelligence on communications industry news and policy from the editors of Telecommunications Reports. . . ====================================================== *Table of Contents* October 19, 2001 STATES MISSOURI -- PSC suspends SW Bell's long distance tariffs ILLINOIS -- ICC lowers UNE charge, promotes UNE offerings VIRGINIA -- AG sues Tungsten for telemarketing fraud MISSOURI -- Staff wants to deny SW Bell LD service 'competitive' status NEVADA -- Clark County mulls cellphone ban NORTH DAKOTA -- PSC to hold hearing on Qwest's PAP VIRGINIA -- Staff proposes new pay phone rules TENNESSEE -- TRA mulls expedited review of intercompany complaints CALIFORNIA -- PUC to mull raising relay reimbursement rate WASHINGTON -- Fairpoint wants customers transferred to ATG MASSACHUSETTS -- Town meeting to decide fate of cell towers TEXAS -- Staff revises schedule for '903' 'overlay' INDIANA -- URC approves '219' permissive dialing date WISCONSIN -- Committee votes to sponsor privacy bill WISCONSIN -- Assembly, Senate abolish caucus staff WEST VIRGINIA -- Derelict tower to be donated to Citizens PENNSYLVANIA -- Gov. Schweiker launches 'e-security' initiative CALIFORNIA -- Commission confirms Supreme Court nominee MONTANA -- Gov. Martz warns of telemarketing scam PENNSYLVANIA -- North Pittsburgh Telephone receives billing waiver NORTH CAROLINA -- Mandatory 10-digit dialing in '919' NPA delayed TEXAS -- WorldCom shifts liability for collection charges to customers CONNECTICUT -- DPUC reschedules POTS oral arguments ILLINOIS -- ICC to cosponsor '911' conference WISCONSIN -- Global eScience to provide broadband service PENNSYLVANIA -- Verizon previews 'express network' REGIONAL WideOpen, Gemini to deploy broadband services ______________________________________________________ MISSOURI -- PSC suspends SW Bell's long distance tariffs The Public Service Commission has suspended Southwestern Bell Communications Services, Inc.'s long distance subsidiaries' tariffs until Feb. 17, 2002. The commission will review the tariffs, which were part of the subsidiaries' applications for certificates to offer telecom service, at a prehearing conference today. Southwestern Bell Long Distance and SBC Long Distance applied for certificates. The commission's tariff suspension could delay SW Bell's entry into the long distance market. The FCC has until Nov. 18 to approve or reject SW Bell's application to provide in-region interLATA (local access and transport area) service under section 271 of the federal Telecommunications Act of 1996. AT&T Communications of the Southwest, Inc., said the rates in the subsidiaries' proposed tariffs were predatory. If the subsidiaries were required to pay SW Bell's switched access charges, their rates would be priced below cost, AT&T said. SW Bell characterized AT&T's predatory pricing claims as further attempts to delay SW Bell's entry in the long distance market and dispute the incumbent's access charges. (Case TA-2001-475; TA- 99-47) ______________________________________________________ ILLINOIS -- ICC lowers UNE charge, promotes UNE offerings The Commerce Commission has ordered Ameritech-Illinois to lower its one-time nonrecurring unbundled network element platform (UNE-P) charge from $11.79 to $1.02. The commission also ordered Ameritech to make combinations of UNEs available to competitive local exchange carriers. Earlier this year, Ameritech-Illinois lowered its UNE-P charge from $29.54 to $13.17. The ICC's decision follows other state utility commissions in the Ameritech region. The Ohio Public Utilities Commission ordered Ameritech-Ohio to lower its UNE-P charge from $111 to 74 cents earlier this month. (Docket 98-0396) ______________________________________________________ VIRGINIA -- AG sues Tungsten for telemarketing fraud Attorney General Randolph Beales yesterday said that he filed an injunction with the U.S. District Court for the Eastern District of Virginia (Norfolk) against the Tungsten Group, Inc., for fraudulent telemarketing practices in an "advance fee loan" scheme. A spokesman for the AG's office explained that the company called consumers and told them they would receive a loan or other extension of credit in exchange for (1) an advance fee of $100, (2) an enrollment fee of $40, and (3) a first and last months' payment of $30. The company operated this scheme under the name of American Savings Discount Club (ASDC). Materials mailed to consumers who agreed to the plan informed them that they were qualified for "rebates" on various purchases and "might" qualify for a loan if they remain in good standing with ASDC after 90 days. The $30 then became, in reality, a monthly membership fee for ASDC's "buying club," the AG's office said. The AG's office has received 215 complaints against the company since May 1999. A meeting on the motion for injunction will be held Oct. 26 at the U.S. District Court for the Eastern District of Virginia in Norfolk. ______________________________________________________ MISSOURI -- Staff wants to deny SW Bell LD service 'competitive' status The Public Service Commission staff has recommended denying Southwestern Bell Long Distance's and SBC Long Distance's long distance service "competitive" status. SW Bell's long distance subsidiaries aren't "similarly situated" as other long distance companies because they have "opportunities to potentially subsidize" their long distance service, the staff said. The "shackling" of the subsidiaries with noncompetitive status would thwart the companies' ability to compete in the long distance market, SW Bell said. A "noncompetitive" classification would subject the companies' tariffs to a 30-day notice requirement and "file and suspend" procedures for tariff changes, which could delay approval of tariff changes for up to 11 months, SW Bell said. Noncompetitive status would also require the subsidiaries to file cost-of-service studies with proposed rate changes. Competitive long distance companies can increase their rates on 10 days' notice and decrease their rates on seven days' notice without filing cost-of-service studies. The staff recommendation, if approved, could delay Southwestern Bell Telephone Co.'s entry into the long distance market. The FCC has until Nov. 18 to approve or reject SW Bell's application to provide in-region interLATA (local access and transport area) service under section 271 of the federal Telecommunications Act of 1996. There is "absolutely no basis for singling out" the subsidiaries for "disparate regulatory treatment," SW Bell said. (Case TA- 2001-475; TA-99-47) ______________________________________________________ NEVADA -- Clark County mulls cellphone ban Clark County Commissioner Erin Kenny has introduced an ordinance that would prohibit anyone in the county from using a hand-held wireless phone while driving. Drivers would be able to use a hand-held device in case of an emergency. The ordinance would apply to all the unincorporated areas of Clark County, which includes all of southern Nevada, Ms. Kenny told TR. She added that the strip of large hotels and casinos most tourists visit in Las Vegas isn't actually within the Las Vegas city limits. The city has no jurisdiction over that area, and the proposed prohibition, therefore, would apply there. Ms. Kenny said she was prompted to introduce the ordinance following a fatal accident near her home several months ago. A driver was distracted while using a wireless phone, ran a red light, and killed two women, she said. The case will be going to trial in a couple of months. Opposition to the ordinance is "fierce," Ms. Kenny said. She added that the phone companies, conservative talk radio stations, and police department oppose the measure. The ordinance was introduced last Tuesday and Ms. Kenny said she felt confident that she had the necessary support before the "onslaught of opposition" began. A public hearing on the ordinance is scheduled for Nov. 6. ______________________________________________________ NORTH DAKOTA -- PSC to hold hearing on Qwest's PAP The Public Service Commission has scheduled a Nov. 8 hearing to discuss remaining issues in dispute related to Qwest Corp.'s performance assurance plan (PAP). North Dakota is part of a multistate collaborative examining the plan. The issues the commission plans to discuss include collocation, digital subscriber line intervals, unbundled network element prices, and structural separation. The examination of Qwest's plan is part of its bid to enter the in-region interLATA (local access and transport area) services market under section 271 of the federal Telecommunications Act of 1996. The plan seeks to ensure that the local market remains open. (Case PU-314-97-193) ______________________________________________________ VIRGINIA -- Staff proposes new pay phone rules The Corporation Commission staff has proposed new rules to govern pay phones operating in the state, stating that pay phones use has "diminished over the last few years." The new rules, the staff said, would modernize regulations to address changes in technology and usage. The new rules would apply to pay phone service providers, local exchange carriers serving pay phones, and operator service providers (OSPs). The staff suggested eliminating rate caps on operator assistance made from pay phones and, instead, require all OSPs to quote their rate for the service selected before the calls were completed. The staff said that this would change the rules from "price regulation to disclosure regulation." Comment on the proposed rules or hearing requests must be submitted by Nov. 14. The full text of the order and proposed regulation is available at http://www.state.va.us/scc/caseinfo/puc/case/c010186.pdf. (Case PUC010186 -- In the Matter of Revising Rules Governing Payphone Service and Instruments) ______________________________________________________ TENNESSEE -- TRA mulls expedited review of intercompany complaints The Regulatory Authority is considering implementing rules establishing procedures for reviewing complaints between telecom companies. The revised procedures would govern disputes about reciprocal compensation payments as well as other complaints, the TRA staff told TR. The TRA is slated to decide Oct. 23 whether to develop special procedures for intercompany complaints. ______________________________________________________ CALIFORNIA -- PUC to mull raising relay reimbursement rate The Public Utilities Commission has proposed raising the California Relay Service (CRS) reimbursement rate for Sprint Corp. through Oct. 11, 2002. Under the proposed resolution, Sprint's reimbursement rate would increase from $1.09 per conversation minute to $1.34, retroactively from Jan. 1 through June 18. From June 19 through Oct. 11, 2002, the reimbursement rate would rise to $1.35. The proposed resolution would be a second amendment to the company's amended master agreement. Effective Oct. 11, 2001, through Oct. 11, 2002, Sprint would be the state's secondary CRS provider. WorldCom, Inc., is the primary provider. The proposed resolution would require Sprint to have at least one CRS project manager based in California. The company would be required to provide a minimum annual expenditure of $250,000 in outreach and education through the state. Sprint also would need to spend an additional $25,000, which would be used as directed by the Deaf and Disabled Telecommunications Program for outreach and education. The PUC is scheduled to consider the resolution at its Oct. 25 meeting. (Resolution T-16595) ______________________________________________________ WASHINGTON -- FairPoint wants customers transferred to ATG FairPoint Communications Solutions Corp. has asked the Utilities and Transportation Commission for authority to transfer its entire Washington customer base to Advanced Telcom Group (ATG). FairPoint told the UTC that it is exiting the market because of "financial market conditions, " a UTC staff member told TR. The staff member also said that FairPoint served between 10,000 and 20,000 customers in the state. Because FairPoint wants to transfer its customer base, the commission's emergency rule governing service terminations wouldn't apply to this situation, the staff member said. He explained that the emergency rule sought to guard against customers unexpectedly loosing service. In this case, FairPoint must either receive permission from the commission or from its customers. The company asked for expedited action on the petition. The staff member said the commission would likely act on the petition Oct. 24. The staff member said the commission wants the customers to be informed before the transfer takes place. In addition, ATG would be required to offer FairPoint's customers the same rates they receive from FairPoint for 90 days. (Docket UT-011404) ______________________________________________________ MASSACHUSETTS -- Town meeting to decide fate of cell towers The town of Hudson will be holding a Nov. 19 town meeting to decide whether the town should allow cell towers to be constructed in residential and industrial zones. Currently, cell towers can only be built in four isolated, municipally owned areas, a spokesperson for the town of Hudson told TR. Allowing cell towers in other areas would require the town to rewrite its zoning bylaws to reclassify several commercial and industrial areas as wireless communication facility overlay districts. That classification means the town would allow telecommunications equipment to be built in the area. Town Finance Committee Chairman Duane Searles said his committee would report unfavorably on the measure, stating that current needs are satisfied by the four sites already housing cell towers. Those sites are at the highest points in the town. To pass the proposed bylaws, two-thirds of those present must vote in favor of the measure. The meeting must also have quorum, which consists of at least 100 registered Hudson voters. ______________________________________________________ TEXAS -- Staff revises schedule for '903' 'overlay' The Public Utility Commission staff has revised its proposed schedule for implementing an "overlay" to relieve number "exhaust" in the "903" area code. Permissive 10-digit dialing should begin April 20, 2002, with mandatory dialing starting Oct. 19, 2002, the staff said. Without a relief plan, number resources in the 903 area code are projected to exhaust during first quarter 2003. (6/21/01) The staff originally recommended that permissive dialing begin April 15, 2002, with mandatory dialing slated for Oct. 15, 2002. (10/9/01) Southwestern Bell Telephone Co. asked the staff to revise its schedule so that carriers could make necessary network changes during non-peak hours on Saturday. (Project 22749) ______________________________________________________ INDIANA -- URC approves '219' permissive dialing date The Utility Regulatory Commission has ordered permissive dialing to begin in the "219" area code Jan. 15, 2002. (07/12/01) The order also amended the boundaries for the new area codes the URC established in a June 14 order. In that order, the commission approved a three-way geographic split. Rolling Prairie, La Porte, Westville, Union Mills, and Hanna were moved from the "574" area code to the 219 area code. Ligonier and Cromwell were moved from the 574 area code into the "260" area code. ______________________________________________________ WISCONSIN -- Committee votes to sponsor privacy bill The Assembly Committee on Personal Privacy yesterday agreed in principle to introduce a privacy bill (LRB-3774/3) that would fine telephone solicitors $100 if they used a blocking device that defeats caller identification when making a telephone solicitation. A committee spokesperson told TR that the committee wanted to make a few changes to the proposed legislation. The spokesperson added that the amended measure would likely go before the committee later next week. He added that the telephone solicitor provision is not scheduled to receive any changes. The proposal covers several other issues such as access to public records containing personally identifiable information. The measure would grant the Department of Agriculture, Trade, and Consumer Protection enforcement authority regarding the prohibition. ______________________________________________________ WISCONSIN -- Assembly, Senate abolish caucus staff The Assembly yesterday voted to abolish staff support for the Democratic and Republican caucuses for both the Assembly and the Senate by a vote of 86-8. The move follows the Senate's 30-3 vote on Tuesday to end the caucus staff system. (10/12/01) The change also requires that new rules be enforced to closely monitor legislative staff. Under the new rules, caucus staff support for members will end Jan. 1, 2002. At that time their office space will be vacated. Moreover, "employees of [the] Wisconsin [Legislature] are flatly prohibited from engaging in campaign activities on state time," said Roth Judd, director of the Wisconsin Ethics Board. Employees are also prohibited from engaging in campaign activities while using comp-time, Mr. Judd told TR. The use of vacation time is also illegal unless special advance notice is given to the employee's supervisor. Legislative staff also must fill out weekly time sheets certifying to the chief clerk that no campaign activities were conducted on state time. ______________________________________________________ WEST VIRGINIA -- Derelict tower to be donated to Citizens The Public Service Commission has decided to donate an unused, 180-foot radio tower and its 1.5-acre lot to Citizens Telecommunications Co. The book value of the tower and lot is $9,400, but Citizens said that it would account for the donation on its books at a value of $63,000. The PSC agreed with Citizen's assertion that donating the tower would enhance Hardy County's ability to provide enhanced "911" services and, therefore, would improve delivery of emergency services and serve the public benefit. (Case 01-1246-T-PC) ______________________________________________________ PENNSYLVANIA -- Gov. Schweiker launches 'e-security' initiative Gov. Mark Schweiker (R.) has unveiled a new "e-security" initiative called "PA Secure Online," that seeks to enhance Internet security and privacy throughout the state's government Web sites. The program will establish an ombudsman to bring all state agencies into compliance with state and federal privacy policies and will create an educational program to teach state officials to detect and pursue security threats. A spokesman for the governor said the program would be completed by early spring. Gov. Schweiker has also asked the General Assembly to amend the state's Crimes Code to address crimes committed by hackers and allow for law enforcement officials to reach across jurisdictional lines to pursue such crimes. ______________________________________________________ CALIFORNIA -- Commission confirms Supreme Court nominee The Commission on Judicial Appointments has confirmed the nomination of Judge Carlos R. Moreno to be an associate justice of the state Supreme Court, filling the vacancy created by Justice Stanley Mosk's death in June. Judge Mosk was the longest-serving justice on the state Supreme Court. Judge Moreno has been a judge for the U.S. District Court, Central District of California, since his appointment by former President Clinton in February 1998. Before being appointed to the district court, Judge Moreno was a judge on the Los Angeles County Superior Court from 1993-1998. Gov. Gray Davis (D.) nominated Judge Moreno in September. (9/27/01) The commission consists of the chief justice, attorney general, and Presiding Justice Joan Dempsey Klein of the Second Appellate District. ______________________________________________________ MONTANA -- Gov. Martz warns of telemarketing scam Gov. Judy Martz (R.) has warned citizens to be aware of a new telemarketing scam that focuses on senior citizens. The scam artists claim to be selling "identity prevention" theft kits, antitelemarketing kits, and credit card insurance, according to the state Office of Consumer Protection. The scam targets credit cards and bank account numbers. Cort Jensen, attorney for the Office of Consumer Protection, said this new type of scam artist is "very aggressive." "These criminals will not take 'no' for an answer. They demand you give them your credit card number or your bank account number," he said. "They state you will be billed about $30, but in fact they plan to bill you $30 a month for 10 to 12 months. The contact number they provide is not their own. It is the customer service number for a business with no association with them," he added. ______________________________________________________ PENNSYLVANIA -- North Pittsburgh Telephone receives billing waiver The Public Utility Commission has authorized North Pittsburgh Telephone Co. to offer single-priced service packages to customers and has waived certain billing requirements for the company. The PUC said its decision would allow the company to compete with wireless carriers' single-rate packaged plans, which are already being offered in the area. North Pittsburgh had requested a waiver of rules that require (1) charges for toll service and usage be itemized on monthly bills, (2) partial bill payments be applied first to basic telephone service and then to nonbasic service, and (3) basic service and toll or nonbasic service be billed separately. The waiver will ensure that customers don't loose basic service as a result of not paying the single rate package plan charge or other charges in the toll portion of their bills. The company must send a disclosure statement to its customers, apprising them of the portion of the bill that will contain the single price charge for the package plan. The notice also must inform the customers that basic service will not disconnected for "nonpayment of package rate charges or other charges in the category containing the package charges." The full text of the order is available at http://puc.paonline.com/PcDocs/282889.doc. (Docket P-00011899) ______________________________________________________ NORTH CAROLINA -- Mandatory 10-digit dialing in '919' NPA delayed The Utilities Commission has decided to postpone indefinitely mandatory 10-digit dialing in the "919" area code. BellSouth Telecommunications, Inc., Carolina Telephone and Telegraph Co., Central Telephone Co., Sprint Communications Co. L.P., North State Communications, Time Warner Telecom of North Carolina L.P., and Verizon South, Inc., requested the postponement. (10/16/01) The activation of the new "984" overlay for the 919 area code and the introduction of mandatory 10-digit dialing was scheduled for Feb. 6, 2002. (5/23/01) Number conservation measures, however, extended the projected "exhaust" date for the 919 area code until fourth quarter 2003. Permissive 10-digit dialing, which began Aug. 1, will remain in place. (Docket P-100, sub 137B) ______________________________________________________ TEXAS -- WorldCom shifts liability for collection charges to customers WorldCom Technologies, Inc., has made its local service customers liable for certain expenses the company incurs to collect delinquent payments. If the company hires a collection agency to collect delinquent bills, customers are liable for an additional payment "equal to 35% of the charges owed, where permitted by applicable law." Customers are also liable for other expenses WorldCom incurs, including attorney's fees, in attempts to collect delinquent bills. ______________________________________________________ CONNECTICUT -- DPUC reschedules POTS oral arguments The Department of Public Utility Control has rescheduled oral arguments regarding an investigation of Southern New England Telephone Co.'s service quality. The arguments, which had been scheduled for Oct. 18, will now be held Nov. 21. The DPUC has directed SNET to conduct a feasibility study that "desegregates service-quality performance for a sample number of towns and locales" that aren't served by central offices. The study examines a sample group of the 54 Connecticut towns not served by their own central offices. The department decided to initiate the study after the town of Rocky Hill filed a complaint seeking an investigation into the POTS (plain old telephone service) SNET provided to the town. The town's filing included a petition signed by 60 residents complaining about the POTS service quality. After investigation, the DPUC determined that the complaint raised significant questions about the telco's performance. The DPUC determined that the complaints of "delayed or no dial tones, delayed ringing, cross talk resulting from line interference, and poor signal reception" merited study. (09/04/01) (Docket 01-01- 06) ______________________________________________________ ILLINOIS -- ICC to cosponsor '911' conference The Commerce Commission will cosponsor the 17th annual conference for public safety telecommunications officials with the Illinois Association of Public Safety Communication Officers and the Illinois chapter of the National Emergency Number Administrators (INENA). The conference will be held Oct. 22-24 in Springfield. The conference will include information on a new statewide digital radio system, wireless implementation updates, and violence in the workplace. For more information contact Mike Midiri Jr., president of the INENA at 217-789-2302. ______________________________________________________ WISCONSIN -- Global eScience to provide broadband service Global eScience Corp. has launched its new digital subscriber line service to consumers in Baldwin. "We are focusing on the data connection to the Internet-we are not trying to be your next telephone company," said Global eScience Chief Executive Officer Virgil Hentz. ______________________________________________________ PENNSYLVANIA -- Verizon previews 'express network' Verizon Wireless is now previewing its high-speed 1XRTT advanced wireless network, dubbed the "express network" in Philadelphia. A group of customers and application developers are testing the functionality and applications for the network, which is expected to be able to deliver between 40 and 60 kilobits per second to customers. The company said that the network should be rolled out by the fourth quarter of this year. ______________________________________________________ ILLINOIS, MICHIGAN, OHIO -- WideOpen, Gemini to deploy broadband services WideOpen West and Gemini Voice Solutions have completed subscriber trials and a planned expansion of Gemini's broadband voice service over WideOpen's high-capacity broadband network. Because it has met both technical and customer performance criteria, WideOpen said it will begin offering broadband telephone service. The company also plans to offer broadband Internet service and digital cable TV service to customers in its Denver metro area. WideOpen will launch these services in other regions at a later date. ======================== END ========================= To view this issue online, go to http://www.tr.com/statenews/. Federal law prohibits duplication in any form, including electronic, without permission of the publisher. TR's State NewsWire Copyright 2000, 2001 Telecommunications Reports International, Inc. (ISSN 1082-9350) is transmitted each business day, except holidays. Telecommunications Reports International, Inc. 1333 H St. NW, Suite 100-E Washington, DC 20005-4707 Gayle Kansagor, E-mail: mailto:gkansagor@tr.com Editor Susan McGovern, E-mail: mailto:smcgovern@tr.com Senior Telecommunications Analyst Victoria Curtis, E-mail: mailto:vcurtis@tr.com Senior Research Analyst Michael Johnson, E-mail: mailto:mjohnson@tr.com Senior Telecommunications Analyst Account Services: Christy Iredell (202) 312-6051, (202) 312-6065 (fax), E-mail: mailto:ciredell@tr.com
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