[Congressional Record Volume 141, Number 49 (Thursday, March 16, 1995)]
[Senate]
[Pages S4089-S4091]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


               A CHECKLIST APPROACH TO TELECOMMUNICATIONS

  Mr. PRESSLER. Mr. President, I wish to print in the Record a possible 
proposal for a checklist approach to the telecommunications bill. I 
invite comments for improving it from my colleagues. There have been 
many suggestions, and I hope my colleagues will consider these 
suggestions.
  I ask unanimous consent that the checklist approach be printed in the 
Record at this point.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                           [Discussion Draft]

                             March 16, 1995

     ``SEC. 255. INTEREXCHANGE TELECOMMUNICATIONS SERVICES.

       ``(a) In General.--Notwithstanding any restriction or 
     obligation imposed before the date of enactment of the 
     Telecommunications Act of 1995 under section II(D) of the 
     Modification of Final Judgment, a Bell operating company, or 
     any subsidiary or affiliate of a Bell operating company, that 
     meets the requirements of this section may provide--
       ``(1) interLATA telecommunications services originating in 
     any region in which it is the dominant provider of wireline 
     telephone exchange or exchange access services after the 
     Commission determines that it has fully implemented the 
     competitive checklist found in subsection (b)(3) in the area 
     in which it seeks to provide interLATA telecommunications 
     services;
       ``(2) interLATA telecommunications services originating in 
     any area where that company is not the dominant provider of 
     wireline telephone exchange or exchange access service in 
     accordance with the provisions of subsection (d); and
       ``(3) interLATA services that are incidental services in 
     accordance with the provisions of subsection (e).
       ``(b) Duty to Provide Interconnection.--
       ``(1) In general.--A Bell operating company that provides 
     telephone exchange or exchange access service has a duty 
     under this Act upon request to provide, at rates that are 
     just, reasonable, and nondiscriminatory--
       ``(A) for the exchange of telecommunications between its 
     end users and the end users of another telecommunications 
     carrier; and
       ``(B) interconnection that meets the requirements of 
     paragraph (3) with the facilities and equipment of any other 
     telecommunications carrier for the purpose of permitting the 
     other carrier to provide telephone exchange or exchange 
     access services.
       ``(2) Interconnection agreement process.--The provisions of 
     section 251 (c), (d), (e), (f), and (g) apply to the 
     negotiation of a binding interconnection agreements under 
     this section.
       ``(3) Competitive Checklist.--Interconnection provided by a 
     Bell operating company to other
      telecommunications carriers under this section shall 
     include:
       ``(A) Nondiscriminatory access that is at least equal in 
     type, quality, and price to the access the local exchange 
     carrier affords to itself or to any other entity.
       ``(B) The capability to exchange telecommunications between 
     customers of the local exchange carrier and the 
     telecommunications carrier seeking interconnection.
       ``(C) Nondiscriminatory access to the poles, ducts, 
     conduits, and rights-of-way owned or controlled by the local 
     exchange carrier where it has the legal authority to permit 
     such access.
       ``(D) Local loop transmission from the central office to 
     the customer's premises, unbundled from local switching or 
     other services.
       ``(E) Local transport from the trunk side of a wireline 
     local exchange carrier switch unbundled from switching or 
     other services.
       ``(F) Local switching unbundled from transport, local loop 
     transmission, or other services.
       ``(G) Nondiscriminatory access to--
       ``(i) 911 and E911 services;
       ``(ii) directory assistance services to allow the other 
     carrier's customers to obtain telephone numbers; and
       ``(iii) operator call completion services.
       ``(H) White pages directory listings for customers of the 
     other carrier's telephone exchange service.
       ``(I) Before the date by which neutral telephone number 
     administration arrangements must be established, 
     nondiscriminatory access to telephone numbers for assignment 
     to the other carrier's telephone exchange service customers. 
     After that date, compliance with the neutral telephone number 
     administration arrangements.
       ``(J) Nondiscriminatory access to databases and associated 
     signaling, including signaling links, signaling service 
     control points, and signaling service transfer points, 
     necessary for call routing and completion.
       ``(K) Before the date by which the Commission determines 
     that telephone number portability is technically feasible and 
     must be made available, telecommunications number portability 
     through remote call forwarding, direct inward dialing trunks, 
     or other comparable arrangements, with as little impairment 
     of functioning, quality, reliability, and convenience as 
     possible. After that date, full compliance with full number 
     portability.
       ``(L) Nondiscriminatory access to whatever services or 
     information may be necessary to allow the requesting carrier 
     to implement local dialing parity in a manner that permits 
     consumers to be able to dial the same number of digits when 
     using any telecommunications carrier providing telephone 
     exchange service or exchange access service.
       ``(M) Reciprocal compensation arrangements for the 
     origination and termination of telecommunications.
       ``(N) Telecommunications services and network functions 
     provided on an unbundled basis without any conditions or 
     restrictions on the resale or sharing of those services or 
     functions, including both origination and termination of 
     telecommunications services, other than reasonable conditions 
     required by the Commission or
      a State. For purposes of this subparagraph, it is not an 
     unreasonable 
     [[Page S4090]] condition for the Commission or a State to 
     limit the resale--
       ``(i) of services included in the definition of universal 
     service to a telecommunications carrier who intends to resell 
     that service to a category of customers different from the 
     category of customers being offered that universal service by 
     such carrier if the Commission or State orders a carrier to 
     provide the same service to different categories of customers 
     at different prices necessary to promote universal service; 
     or
       ``(ii) of subsidized universal service in a manner that 
     allows companies to charge another carrier rates which 
     reflect the actual cost of such services, exclusive of any 
     universal service support received for providing such 
     services.

     [Note in margin indicates that the following is to be placed 
       in section 251: ``The cost of establishing neutral number 
       administration arrangements and number portability shall be 
       borne by all providers on a competitively neutral basis.'']

       ``(3) Compensation.--Amounts charged by a local exchange 
     carrier for interconnection under this section shall meet the 
     requirements of section 251(x)(x).
       ``(4) Relationship to section 251 minimum standards.--For 
     the purpose of determining whether a Bell operating company 
     may provide interLATA services under subsection (c), the 
     provisions of this subsection shall be applied in lieu of any 
     requirement under section 251(b).
       ``(5) Commission may not expand competitive checklist.--The 
     Commission shall adopt rules to implement the competitive 
     checklist found in subsection (b)(3), but may not, however, 
     by rule or otherwise, limit or extend the terms used in the 
     competitive checklist.
       ``(c) In-Region Services.--
       ``(1) Application.--Upon the enactment of the 
     Telecommunications Act of 1995, a Bell operating company or 
     its subsidiary or affiliate may apply to the Commission for 
     authorization notwithstanding the Modification of Final 
     Judgment to provide interLATA telecommunications service 
     originating in any area where such Bell operating company is 
     the dominant provider of wireline telephone exchange or 
     exchange access service. The application shall describe with 
     particularity the nature and scope of the activity and of 
     each product market or service market, and each geographic 
     market for which authorization is sought.
       ``(2) Determination by commission.--
       ``(A) Determination.--Not later than 90 days after 
     receiving an application under paragraph (1), the Commission 
     shall issue a written determination, on the record after a 
     hearing and opportunity for comment. Before making any 
     determination under this subparagraph, the Commission shall 
     consult with the Attorney General regarding the application.
       ``(B) Approval.--The Commission may only approve the 
     authorization requested in any application submitted under 
     paragraph (1) if it finds that--
       ``(i) the requested authorization is consistent with the 
     public interest, convenience and necessity;
       ``(ii) the petitioning Bell operating company has fully 
     implemented the competitive checklist found in subsection 
     (b)(3); and
       ``(iii) the requested authority will be carried out in 
     accordance with the requirements of section 252.
       ``(3) Publication.--Not later than 10 days after issuing a 
     determination under paragraph (2), the Commission shall 
     publish in the Federal Register a brief description of the 
     determination.
       ``(4) Judicial Review.--
       ``(A) Commencement of action.--Not later than 45 days after 
     a determination by the Commission is published under 
     paragraph (3), the Bell operating company or its subsidiary 
     or affiliate that applied to the Commission under paragraph 
     (1), or any person who would be threatened with loss or 
     damage as a result of the determination regarding such 
     company's engaging in the activity described in such 
     company's application, may commence an action in any United 
     States Court of Appeals against the Commission for judicial 
     review of the determination regarding the application.
       ``(B) Judgment.--
       ``(i) The Court shall enter a judgment after reviewing the 
     determination in accordance with section 706 of title 5 of 
     the United States Code.
       ``(ii) A judgment.--
       ``(I) affirming any part of the determination that approves 
     granting all or part of the requested authorization, or
       ``(II) reversing part of the determination that denies all 
     or part of the requested authorization,

     shall describe with particularity the nature and scope of the 
     activity, and of each product market or service market, and 
     each geographic market, to which the affirmance or reversal 
     applies.
       ``(5) Requirements Relating to Separate Subsidiary; 
     Safeguards; and IntraLATA Toll Dialing Parity.--
       ``(A) Separate subsidiary; safeguards.--Other than 
     interLATA services authorized by an order entered by the 
     United States District Court for the District of Columbia 
     pursuant to the Modification of Final Judgment before the 
     date of enactment of the Telecommunications Act of 1995, a 
     Bell operating company, or any subsidiary or affiliate of 
     such a company, providing interLATA services in that market 
     only in accordance with the requirements of section 252.
       ``(B) InterLATA toll dialing parity.--
       ``(i) A Bell operating company granted authority to provide 
     interLATA services under this subsection shall provide 
     intraLATA toll dialing parity throughout that market 
     coincident with its exercise of that authority. If the 
     Commission finds that such a Bell operating company has 
     provided interLATA service authorized under this clause 
     before its implementation of intraLATA toll dialing parity 
     throughout that market, or fails to maintain intraLATA toll 
     dialing parity throughout that market, the Commission, except 
     in cases of inadvertent interruptions or other
      events beyond the control of the Bell operating company, 
     shall suspend the authority to provide interLATA service 
     for that market until the Commission determines that 
     interLATA toll dialing parity is implemented or 
     reinstated.
       ``(ii) A State may not order the implementation of toll 
     dialing parity in intraLATA area before a Bell operating 
     company has been granted authority under this subsection to 
     provide interLATA services in that area.
       ``(d) Out-of-Region Services.--A Bell operating company or 
     its subsidiary or affiliate may provide interLATA 
     telecommunications services originating in any area where 
     such company is not the dominant provider of wireline 
     telephone exchange or exchange access service upon the 
     enactment of the Telecommunications Act of 1995.
       ``(e) Incidental Services.--
       ``(1) In general.--A Bell operating company may provide 
     interLATA services that are incidental to the purposes of--
       ``(A)(i) providing audio programming, video programming, or 
     other programming services to subscribers of such company,
       ``(ii) providing the capability for interaction by such 
     subscribers to select or respond to such audio programming, 
     video programming, or other programming services, to order, 
     or control transmission of the programming, polling or 
     balloting, and ordering other goods or services, or
       ``(iii) providing to distributors audio programming or 
     video programming that such company owns, controls, or is 
     licensed by the copyright owner of such programming, or by an 
     assignee of such owner, to distribute,
       ``(B) providing a telecommunications service, using the 
     transmission facilities of a cable system that is an 
     affiliate of such company, between LATAs within a cable 
     system franchise area in which such company is not, on the 
     date of the enactment of the Telecommunications Act of 1995, 
     a provider of wireline telephone exchange service,
       ``(C) providing a commercial mobile service except where 
     such service is a replacement for land line telephone 
     exchange service for a substantial portion of the telephone 
     land line exchange service in a State in accordance with 
     section 332(c) of this Act and with the regulations 
     prescribed by the Commission,
       ``(D) providing a service that permits a customer that is 
     located in one LATA to retrieve stored information from, or 
     file information for storage in, information storage 
     facilities of such company that are located in another LATA 
     area, so long as the customer acts affirmatively to initiate 
     the storage or retrieval of information, except that--
       ``(i) such service shall not cover any service that 
     establishes a direct connection between end users or any 
     real-time voice and data transmission,
       ``(ii) such service shall not include voice, data, or 
     facsimile distribution services in which the Bell operating 
     company or affiliate forwards customer-supplied information 
     to customer- or carrier-selected recipients;
       ``(iii) such service shall not include any service in which 
     the Bell operating
      company or affiliate searches for and connects with the 
     intended recipient of information, or any service in which 
     the Bell operating company or affiliate automatically 
     forwards stored voicemail or other information to the 
     intended recipient; and
       ``(iv) customers of such service shall not be billed a 
     separate charge for the interLATA telecommunications 
     furnished in conjunction with the provision of such service;
       ``(E) providing signaling information used in connection 
     with the provision of exchange or exchange access services to 
     a local exchange carrier that, together with any affilated 
     local exchange carriers, has aggregate annual revenues of 
     less than $100,000,000; or
       ``(F) providing network control signaling information to, 
     and receiving such signaling information from, interexchange 
     carriers at any location within the area in which such 
     company provides exchange services or exchange access.
       ``(2) Limitations.--The provisions of paragraph (1) are 
     intended to be narrowly construed. The transmission 
     facilities used by a Bell operating company or affiliate 
     thereof to provide interLATA telecommunications under 
     subparagraphs (C) and (D) of paragraph (1) shall be leased by 
     that company from unaffiliated entities on terms and 
     conditions (including price) no more favorable than those 
     available to the competitors of that company unless the 
     Commission or a State approves different terms and 
     conditions. The interLATA services provided under paragraph 
     (1)(A) are limited to those interLATA transmission incidental 
     to the provision by a Bell operating company or its affiliate 
     of video, audio, and other programming services that the 
     company or its affiliate is engaged in providing to the 
     public and, except as provided in paragraph (1)(A)(iii), 
     [[Page S4091]] does not include the interLATA transmission of 
     audio, video, or other programming services provided by 
     others.
       ``(3) Regulations.--
       ``(A) The Commission shall prescribe regulations for the 
     provision by a Bell operating company or any of its 
     affiliates of the interLATA services authorized under this 
     subsection. The regulations shall ensure that the provision 
     of such service by a Bell operating company or its affiliate 
     does not--
       ``(i) permit that company to provide telecommunications 
     services not described in paragraph (1) without receiving the 
     approvals required by subsection (c), or
       ``(ii) adversely affect telephone exchange ratepayers or 
     competition in any telecommunications services market.
       ``(B) Nothing in this paragraph shall delay the ability of 
     a Bell operating company to provide the interLATA services 
     described in paragraph (1) immediately upon enactment of the 
     Telecommunications Act of 1995.
       ``(f) Definitions.--As used in this section--
       ``(1) LATA.--The term `LATA' means a local access and 
     transport area as defined in United States v. Western 
     Electric Co., 569 F. Supp. 990 (United States District Court, 
     District of Columbia) and subsequent judicial orders relating 
     thereto.
       ``(2) Audio programming services.--The term `audio 
     programming services' means programming provided by, or 
     generally considered to be comparable to programming provided 
     by, a radio broadcast station.
       ``(3) Video programming services; other programming 
     services.--The terms `video programming service' and `other 
     programming services' have the same meanings as such terms 
     have under section 602 of this Act.
       ``(g) Currently Authorized Activities.--Subsection (a) does 
     not prohibit a Bell operating company, or its subsidiary or 
     affiliate, from engaging, at any time after the date of 
     enactment of the Telecommunications Act of 1995, in any 
     activity authorized by an order entered by the United States 
     District Court for the District of Columbia pursuant to the 
     Modification of Final Judgement if such order was entered on 
     or before such date of enactment.''.
     

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