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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 29, 2001 STATES ALASKA -- RCA sets interim UNE rates OHIO -- Bill would strip 'alt reg' from noncompliant carriers TENNESSEE -- BellSouth, Sprint object to proposed billing rule MINNESOTA -- Lawmakers to discuss broadband availability CALIFORNIA -- PUC modifies Citizens sale conditions VIRGINIA -- SCC says FCC should decide 'recip comp' dispute MICHIGAN -- Senate proposes wiretapping bill MASSACHUSETTS -- DTE to look at interstate special access services NEW YORK -- PSC releases Verizon service-quality report NEW JERSEY -- Utilities working on disaster protocols ARKANSAS -- Sage requests waiver from inside-wire rule MAINE -- PUC investigates Maine-New Hampshire conduit ALASKA -- State should inventory IT assets, experts say MISSOURI -- PSC revises 'pooling' schedule for '314,' '816' NPAs TENNESSEE -- Sprint to launch 'talking call waiting' CALIFORNIA -- Gov. Davis makes judicial appointments DISTRICT OF COLUMBIA -- PSC collocation hearing rescheduled NEW YORK -- PSC orders three companies to return 'NXX' codes IOWA -- Gov. Vilslack to swear in new appeals court judge ARIZONA -- Industry wants to identify key issues ALASKA -- ACS to offer 'military service appreciation plan' FLORIDA -- AOL, EarthLink roll out cable modem service PENNSYLVANIA -- Robots to install fiber-optics in Pittsburgh sewers DELAWARE -- Children learn to make '911' calls ______________________________________________________ ALASKA -- RCA sets interim UNE rates The Regulatory Commission has set ACS of Anchorage, Inc.'s (ACS- AN's) interim and refundable unbundled network element (UNE) rate at $14.92. The existing UNE rate was set in 1996 and at that time the commission said the prices were temporary and would require a full study. The commission determined that it would use the FCC's forward- looking cost model to calculate ACS-AN's interim UNE rate. ACS- AN ran the FCC model and its own version 7.2 model to compute its forward-looking costs. The FCC model produced a $25 rate, and the version 7.2 model yielded a $25.49 rate. ACS-AN therefore asked the RCA to set the rate for Anchorage at $24 per local loop. The commission hasn't approved the version 7.2 model. General Communication, Inc. (GCI) opposed the interim rate, stating that ACS-AN failed to show that the rate was consistent with applicable FCC pricing rules. GCI added that the FCC model ACS-AN used wasn't the model used by ACS-AN's affiliates in Fairbanks or Juneau. GCI asserted that unless ACS-AN could demonstrate that its proposed $24 rate was consistent with FCC rules it should be rejected. GCI said it ran the FCC model using Anchorage customer and wire center information with the inputs from the Juneau-Fairbanks arbitration and produced a $14.92 loop rate. Using FCC default values, GCI produced a $12.94 rate. Although ACS-AN said the record supports a $24 interim and refundable rate, it was unable to tie that request to any data filed with the National Exchange Carriers Association, the commission said. The RCA added that the request was "premised on an untested and unapproved methodology." The commission said it wouldn't "order interim UNE rates based on a UNE pricing model which hasn't been adopted by us or on cost support date and inputs which have not been subject to scrutiny." The commission pointed out that incorrectly set UNE prices could "undermine" the intent of the federal Telecommunications Act of 1996 in a manner that couldn't be remedied by refundable rates. (Docket U-96-89) ______________________________________________________ OHIO -- Bill would strip 'alt reg' from noncompliant carriers Rep. Kirk Schuring (R., District 55) has introduced HB 418, which would require telecom companies to comply with the minimum standards of telephone service (MSTS) in order to be regulated under alternative forms of regulation. In addition, the Public Utilities Commission would be authorized to place a company being regulated by an alternative form of regulation under rate-of-return regulation if that company failed to meet the MSTS. HB 418 awaits consideration by the House Committee on Rules and Reference. ______________________________________________________ TENNESSEE -- BellSouth, Sprint object to proposed billing rule BellSouth Telecommunications, Inc., and United Telephone Southeast, Inc., d/b/a Sprint, have objected to a proposed Regulatory Authority rule that would prohibit telecom companies from disconnecting local service for nonpayment of long distance charges. Sprint said it experienced "increased bad debt expenses" in other states that had implemented the requirement. BellSouth said the requirement was "unfair." The additional costs associated with billing and collecting payments would ultimately be shifted to customers who pay their bills, BellSouth said. (Docket 00-00873) ______________________________________________________ MINNESOTA -- Lawmakers to discuss broadband availability Legislators on the Committee on Regulated Industries, headed by Rep. Ken Wolf (R., District 41), plan to meet with local officials in Lakefield and Blue Earth tomorrow to discuss the availability of broadband Internet access in rural Minnesota. A committee spokesperson told TR that the hearings in Lakefield and Blue Earth would give proponents and opponents of broadband legislation the opportunity to demonstrate why House action may or may not be necessary. The spokesperson described the hearings in Lakefield and Blue Earth as a "fact finding" investigation where local citizens and local telecom providers can discuss broadband issues with committee members. Representatives have proposed no broadband legislation at this time. The spokesperson added that Lakefield residents and city officials were likely to express their support for legislation that would make it easier for area residents to receive broadband services. In contrast, the spokesperson added that there are a number of opponents to state-funded support for any kind of broadband legislation in Blue Earth because service is already available there. Any taxes or regulations imposed on telecom providers or citizens could have a negative effect on other state-funded programs. The spokesperson said the committee intended to bring these broadband hearings to local communities to receive comments from local telecom providers and community members, rather than lobbyists representing the large carriers. "We are trying to steer testimony to local opponents and proponents," he said. Sprint Corp., and Frontier Corp., two local telecom providers in Lakefield and Blue Earth, would likely present testimony at the hearing, the spokesperson said. According to the spokesperson, the 20-member committee should only miss about five to 10 of its members for this short series of "on the road" meetings. The committee also plans to tour a central office (CO) from a selected local telecom provider in Madelia before the Lakefield and Blue Earth hearings. Members will also tour local businesses using broadband services such as digital subscriber line (DSL) service. ______________________________________________________ CALIFORNIA -- PUC modifies Citizens sale conditions The Public Utilities Commission has modified the conditions it placed on Citizens Telecommunications Co. of California to purchase 32 exchanges from Verizon California, Inc. Citizens requested the changes and said it wouldn't acquire the exchanges if its requests weren't granted. Citizens was opposed to a condition (condition four) prohibiting it from paying a dividend to its parent company Citizens Communications Co. if doing so would jeopardize the utility's ability to provide safe and reliable service at reasonable rates. Citizens asserted that condition four would impede its access to capital markets. Without capital, it can't invest in infrastructure to improve and expand service, Citizens said. The commission modified the condition to require the boards of directors of all the operating companies and the parent company to give first priority to the capital needs of the utility. The condition also would direct the parent company to provide "sufficient resources" to the operating companies to provide safe and reliable service. The decision also decreases the number of years Citizens must maintain capital expenditures at historical levels from five years to three years (conditions 12 and 13). The commission concluded that approving this request doesn't "eviscerate" its objective of ensuring that Citizens provides adequate services to all of its customers. The commission was concerned about the company's spending levels because it determined that the operating companies would be adversely affected by the exchange purchase. The commission pointed out that considerable public benefit would be realized if the sale was consummated. Those benefits include bringing telephone service to the unserved territory occupied by the Hoopa Valley Tribe and the Yurok Tribe, modernizing the infrastructure and service for the remote Bar-O Boys juvenile detention facility, and provisioning digital subscriber line service in Crescent City. The commission said, "We conclude that rather than allow the public to lose these significant benefits of phone service and because of the health and safety consequences of not having phone services, we should grant Citizens' petition." (Application 99- 09-027 and 99-09-031) ______________________________________________________ VIRGINIA -- SCC says FCC should decide 'recip comp' dispute The State Corporation Commission has declined jurisdiction in a dispute between US LEC of Virginia LLC and Verizon Virginia, Inc., that involves contractual obligations to pay reciprocal compensation for Internet service provider (ISP)-bound traffic. US LEC asked the SCC to enforce the companies' interconnection agreement that requires Verizon to pay reciprocal compensation for the transport and termination of ISP-bound traffic. US LEC pointed out that SCC found that calls to ISPs were "local traffic" and subject to reciprocal compensation payments in a case between Cox Virginia Telecom, Inc., and Bell Atlantic- Virginia, Inc. In this case, the SCC concluded that the FCC's decisions to treat ISP-bound traffic as interstate in nature supercedes its jurisdiction in this case. The SCC said it was "steadfast in its concern regarding the possibility of conflicting results by this commission and the FCC," and therefore "encourages the parties to request interpretation of this [interconnection] agreement from the FCC." The order may be found at http://www.state.va.us/scc/caseinfo/puc/case/c010194.pdf. (Case PUC010194) ______________________________________________________ MICHIGAN -- Senate proposes wiretapping bill Sen. William Van Regenmorter (R., District 22) has sponsored SB 803, which would give law enforcement officials the authority to intercept communications and use interception devices for drug trafficking offenses. The bill is identical to HB 5240, which has been proposed in the House. (10/25/01 a.m.) A spokesperson for Sen. Van Regenmorter told TR that the "wiretapping" bill is part of a package of about 12 bills that are going to be proposed by lawmakers in response to the recent terrorist events. The spokesperson said that the executive, legislative, and judicial branches of government are all involved in putting together these security measures. The spokesperson added that while SB 803 is very specific about the types of crimes that can be used for wiretapping such as drug trafficking offenses, he said it was likely the bill's authority to intercept communications would be amended through the mark-up process. A House Criminal Justice Committee spokesperson told TR that Michigan laws currently don't authorize state and local law enforcement officials to engage in wiretapping activities to fight crime. He said that Michigan has no statutes on the subject. SB 803 has been referred to the Senate Committee on Judiciary. ______________________________________________________ MASSACHUSETTS -- DTE to look at interstate special access services The Department of Telecommunications and Energy has decided to use Verizon Massachusetts, Inc.'s interstate special access service data in its proceeding to review the telco's intrastate special access services. The DTE found that the total number of intrastate circuits that Verizon submitted was "so small that performance results on those circuits. . . may not give a very useful or detailed picture of Verizon's provisioning process." The DTE has decided that, although the FCC has exclusive jurisdiction over the "quality of service of federally tariffed special access services," it does not preclude the DTE from using interstate data to inform the department about the provisioning of interstate services. Verizon has said that the provisioning of its federal circuits is the same as the provisioning of its instate circuits. The department said that it wasn't "second-guessing any conclusion reached by the FCC" and would not apply any findings to interstate services. (DTE 01-34 -- Investigation by the Department of Telecommunications and Energy into Verizon New England, Inc., d/b/a Verizon Massachusetts' provision of special access services) ______________________________________________________ NEW YORK -- PSC releases Verizon service-quality report The Public Service Commission has released a service-quality report for Verizon New York, Inc., that details service-quality trends for second quarter 2001 and measures the company's adherence to its performance plans. The PSC said that Verizon's service-quality trends for second quarter 2001 and the requirements set forth in its Performance Regulatory Plan (PRP) showed its service quality is about the same as it was during the same time last year. The PSC staff will continue to meet with Verizon monthly to monitor its performance, it said. The report is available at http://www.dps.state.ny.us/fileroom/doc10684.pdf. (Cases 01-C- 0491 and 92-C-0665) ______________________________________________________ NEW JERSEY -- Utilities working on disaster protocols Last week Board of Public Utilities President Connie Hughes outlined the steps utilities and the BPU have taken to respond to the Sept. 11 terrorist attacks and create disaster protocols in testimony to the Senate Law and Public Safety Committee. The BPU, she said, is coordinating a compilation of security information from all utilities, including the expansion of the infrastructure targeting identification program that is mapping all the utility sites in the state. On Oct. 11, the BPU, the office of Attorney General John Farmer, and the Office of Emergency Management held meetings with officials from all utilities. Four groups to assess security, identify what needs to be done, and provide the basis for utility security protocols were created, Ms. Hughes said. One of the working groups will be headed by Dennis Bone, president-Verizon New Jersey, and will review telecom security issues, review the disaster efforts on Sept. 11, and work on establishing security protocols based on what worked well and could be improved or modified, a spokesperson for Mr. Bone told TR. This will help telecom carriers to work with each other, with other utilities, and with state government to respond to such situations, the spokesperson said. Ms. Hughes finished by saying she wanted to "reach out" to her regulatory counterparts in other states, calling for them to assume active roles in utility security. ______________________________________________________ ARKANSAS -- Sage requests waiver from inside-wire rule Sage Telecom, Inc., has requested a waiver from a rule that requires local telecom companies to diagnose and repair inside wiring problems that occur on the customer's side of the point of demarcation. Southwestern Bell Telephone Co. won't permit Sage to resell the incumbent's customer premises wiring maintenance agreements, Sage said. As a result, Sage must hire additional employees or make contractual arrangements to provide the diagnostic and repair services required by the rule, Sage said. Customer premises wiring, like customer premises equipment, falls outside the commission's jurisdiction because it's "ancillary to" but not a part of telecom service, Sage added. (Docket 01-244-U) ______________________________________________________ MAINE -- PUC investigates Maine-New Hampshire conduit The Public Utilities Commission is investigating Revolution Networks LLC's claims that Verizon Maine, Inc., denied it access to place its fiber-optic cable in a pair of two-inch conduits attached to a bridge that passes over the Piscataqua River between Kittery, Maine and Portsmouth, N.H. Because the conduit runs between two states, the PUC has asked Verizon and Revolution to file information to determine if the Maine PUC has jurisdiction over all or portions of the conduit. Verizon has already provided information that supports the PUC's jurisdiction over the matter--Verizon's Kittery exchange is served directly from its Portsmouth central office. Verizon's fiber-optic cable inside the conduit also carries some intrastate Maine traffic and interstate traffic. The PUC noted that the nature of the dispute is largely factual because the question is whether Revolution's cable will fit inside the conduits alongside Verizon's cable without damaging Verizon's line. The hearing officer must submit a procedural schedule by Oct. 31. The text of the order is available at http://www.state.me.us/mpuc/orders/2001/2001-628%20NOI%20.htm. (Case 2001-628) ______________________________________________________ ALASKA -- State should inventory IT assets, experts say State information technology (IT) experts have told the House Finance Committee's subcommittee on IT that an inventory of the state's IT assets is an "essential" first step in making sure current and future investments are used most efficiently. The subcommittee is charged with reviewing the state's technology investments and providing a means for evaluating how well departments are spending their resources. Ken Bischoff, administrative services director for the Department of Public Safety, said the state's increasing dependence on computers makes a comprehensive information technology plan amount the state's "most pressing needs." He added that it has been 25 years since the state last made an overall effort to modernize and streamline its computer systems. ______________________________________________________ MISSOURI -- PSC revises 'pooling' schedule for '314,' '816' NPAs The Public Service Commission has revised its schedule for implementing 1,000-number-block "pooling" trials in the "314" and "816" area codes. Number pooling is now slated to begin Jan. 22, 2002, in the 314 area code and Feb. 22, 2002, in the 816 area code. Number pooling originally was scheduled to begin Jan. 2, 2002, in the 314 area code and Feb. 1, 2002, in the 816 area code. (10/3/01 a.m.) Southwestern Bell Telephone Co. asked the commission to delay the pooling trials so that they wouldn't coincide with a pooling trial in the Houston "713" area code, which is scheduled to begin Jan. 1, 2002. (8/3/01 a.m.) (Case TO-2000-374) ______________________________________________________ TENNESSEE -- Sprint to launch 'talking call waiting' Carolina Telephone and Telegraph Co. and Central Telephone Co., d/b/a Sprint, will offer "talking call waiting" to residential and business customers for $2.95 per line, per month beginning Nov. 16. The feature enables subscribers to know who is calling them while they are on the line with another party. ______________________________________________________ CALIFORNIA -- Gov. Davis makes judicial appointments Gov. Gray Davis (D.) has appointed several judges in Orange, Alameda, and Sacramento counties. In Orange County, Gov. Davis appointed Superior Court Judge Richard Aronson to the Court of Appeal, Fourth Appellate District, Division Three (Orange County). He also appointed Cormac Carney, James Di Cesare, and Kirk Nakamura as judges of the Orange County Superior Court. Gov. Davis appointed Alameda County Superior Court Commissioner Kenneth Norman as a judge of the Alameda County Superior Court. Gov. Davis also appointed David Abbott and Emily Vasquez as judges of the Sacramento County Superior Court. ______________________________________________________ DISTRICT OF COLUMBIA -- PSC collocation hearing rescheduled The Public Service Commission has rescheduled an Oct. 25 hearing to address central office collocation issues, remote terminal collocation issues, and remote terminal collocation cost studies submitted July 31 by Verizon Washington, D.C., Inc. The hearing will be held Feb. 25, 2002. (Order 12215, Formal case 962, In the Matter of the Implementation of the District of Columbia Telecommunications Competition Act of 1996 and Implementation of the Telecommunications Act of 1996) ______________________________________________________ NEW YORK -- PSC orders three companies to return 'NXX' codes The Public Service Commission has ordered Broadband Office Communication, Inc., Thousand Islands Communications Co., and Winstar Wireless, Inc., to return 15 "NXX" codes. Broadband Office Communication must return the "203" and "280" NXX codes in the "845" area code; the "430," "501," and "942" NXX codes in the "914" area code; and the "528" NXX in the "917" area code. Thousand Islands must return the "275," "284," "297," "325," "273," "552," "917," and "992" NXX codes in the "315" area code. Winstar must return the "374" NXX in the 914 area code. The PSC is acting under the authority of the FCC, which allows state commissions to reclaim an NXX code in a given area code that hasn't been assigned to a customer in six months. (Case 98- C-0689) ______________________________________________________ IOWA -- Gov. Vilslack to swear in new appeals court judge Gov. Thomas J. Vilsack (D.) today will administer the oath of office to Judge Larry J. Eisenhauer, as the newest member of the Iowa Court of Appeals. Judge Eisenhauer previously was a district court judge in the fifth judicial district for eight years. He also was a juvenile court judge in Polk County for eight years. ______________________________________________________ ARIZONA -- Industry wants to identify key issues Organizations and clusters representing Arizona's technology community have sponsored a survey to determine the community's most important issues and then advocate for them. Because of the "tumultuous business and political environment" there isn't enough money and other resources to advocate for all the issues that are important to the community, the Arizona Software and Internet Association said. The association said the state budget crisis could "rapidly eliminate the progress [they] have made in funding higher education, technology cluster development, and workforce development." The association added that this year they have been offered an "unprecedented" opportunity by House Commerce and Economic Development Committee Chairwoman Barbara Leff (R., District 24)), who asked the industry for input on how the state can support technology industries. The survey includes questions on access to capital, workforce, privacy, and infrastructure. The deadline for input is the close of business today, Oct. 29. It can be accessed at http://portal.kineticthinking.com/azsoftsurvey/. ______________________________________________________ ALASKA -- ACS to offer 'military service appreciation plan' ACS of the Northland, Inc., ACS of Anchorage, Inc., and ACS of Alaska, Inc., have proposed offering the "military service appreciation plan," which waives reconnection charges for residential military customers who disconnect their phones because of military deployment. The plan will cover military customers that disconnect their phones after Sept. 11 and then reconnect before Sept. 11, 2002. The waived charges would be the service order charge, the central office line connection charge, and the premise visit charge, which total $75. Comments on the filings are due Nov. 14. (TA 430-120) ______________________________________________________ FLORIDA -- AOL, EarthLink roll out cable modem service AOL Time Warner, Inc., and EarthLink, Inc., have launched cable modem service over Time Warner's central Florida cable TV networks. The cable modem service is available in Daytona Beach, Melbourne, Orlando, Palm Bay, and Titusville. AOL's cable modem service is available for $44.95 per month. EarthLink's service is available for $41.95 per month. ______________________________________________________ PENNSYLVANIA -- Robots to install fiber-optics in Pittsburgh sewers CityNet Telecommunications, Inc., has said it will use robots to install fiber-optic cable through sewer pipes in Pittsburgh. The company said it uses a small, computerized robot equipped with cameras to install stainless steel alloy rings to support fiber- optic cable inside city sewer pipes. Workers lower the robot down a manhole and into the sewer where it's controlled remotely by a nearby technician. A company spokesman said that the installation process provides the least invasive manner to lay cables and allows the company to gain access to the basements of many downtown buildings without "tearing up the streets." Pittsburgh marks the 10th city that CityNet has begun laying fiber in. The company has installed fiber-optic cable through sewer systems in Albuquerque, N.M., Omaha, Neb., Indianapolis, Ind., St Paul, Minn., Scottsdale, Ariz., Ft. Worth, Texas, Dallas, Vienna, Austria, and Seville, Spain. The company is planning to expand into 20 more cities, a spokesman told TR. ______________________________________________________ DELAWARE -- Children learn to make '911' calls Verizon Delaware, Inc., the Delaware State Police, and the Telephone Pioneers of America, a community service organization of telephone company employees and retirees, have partnered to bring "911" call simulators to schools to assist teachers and emergency personnel instruct children on the proper way to call 911. The 911-call simulator has a display that lights up, reminding the caller that the 911 operator knows some information about the caller. The device also sounds a buzzer warning when the emergency call is dialed incorrectly. Three units were purchased with a grant from the Verizon Foundation for use in the state. ======================== 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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