[Congressional Record Volume 143, Number 160 (Thursday, November 13, 1997)]
[Senate]
[Page S12568]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                AMENDING THE COMMUNICATIONS ACT OF 1934

  Mr. McCAIN. Mr. President, I would like to discuss a very important 
bill that I first introduced on October 31, 1997. The bill, S. 1354, 
which is cosponsored by Senators Campbell, Stevens, Inouye, Daschle, 
and Dorgan, is an amendment to the Communications Act of 1934. The 
amendment enables the Federal Communications Commission [FCC] to 
designate common carriers not under the jurisdiction of a State 
commission as eligible recipients of universal service support.
  Universal Service provides intercarrier support for the provision of 
telecommunications services in rural and high-cost areas throughout the 
United States. However, section 254(e) of the Communications Act states 
that only an eligible carrier designated under section 214(e) of the 
Communications Act, shall be eligible to receive specific Federal 
universal support after the FCC issues regulations implementing the new 
universal service provisions into the law. Section 214(e) does not 
account for the fact that State commissions in a few States have no 
jurisdiction over certain carriers. Typically, States also have no 
jurisdiction over tribally owned common carriers which may or may not 
be regulated by a tribal authority that is not a State commission per 
se.
  The failure to account for these situations means that carriers not 
subject to the jurisdiction of a State commission have no way of 
becoming an eligible carrier that can receive universal service 
support. This would be the case whether these carriers are traditional 
local exchange carriers that provide services otherwise included in the 
program, have previously obtained universal service support, or will 
likely be the carrier that continues to be the carrier of last resort 
for customers in the area.
  This simple amendment will address this oversight within the 
amendments made by the Telecommunications Act of 1996, and prevent the 
unintentional consequences it will have on common carriers which 
Congress intended to be covered under the umbrella of universal service 
support.
  Mr. DASCHLE. Would this bill have any effect on the existing 
jurisdiction of State commissions over new or incumbent local exchange 
carriers, or providers of commercial mobile radio services?
  Mr. McCAIN. No, this bill does nothing to alter the existing 
jurisdiction that State commissions already have over local exchange 
carriers or providers of commercial mobile radio services as set forth 
in section 332(c)(3) of the Communications Act. Nor will this bill have 
any effect on litigation that may be pending regarding jurisdictional 
issues between the States and federally recognized tribal governments. 
I thank the Democratic leader for his interest in this matter.
  Mr. DASCHLE. I thank the Senator for his clarification of this 
matter.

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