[Federal Register Volume 61, Number 98 (Monday, May 20, 1996)]
[Proposed Rules]
[Page 25184]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-12586]



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FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 64

[CC Docket No. 96-112; FCC 96-214]


Allocation of Costs Associated With Local Exchange Carrier 
Provision of Video Programming Services

AGENCY: Federal Communications Commission.

ACTION: Proposed rule.

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SUMMARY: In the NPRM, the Commission would define the goals of our cost 
allocation rules and of the 1996 Act. Guided by these goals, the NPRM 
would seek specific comment on allocating certain categories of 
incumbent local exchange carriers' plant between regulated Title II and 
nonregulated (non-Title II) activities. Particular attention would be 
directed to the allocation of loop facilities, all of which have been 
allocated to regulated activities in the past. The intended effect of 
this action is to revise the Commission's rules regarding cost 
allocation to accommodate the provision of nonregulated and non-Title 
II services that share outside plant facilities with regulated 
services.

DATES: Comments must be submitted on or before May 28, 1996. Reply 
comments are due on or before June 7, 1996.

ADDRESSES: Federal Communications Commission, 1919 M St., N. W., 
Washington, D.C. 20554.

FOR FURTHER INFORMATION CONTACT: Andrew Mulitz, Attorney/Advisor 
Accounting and Audits, Common Carrier Bureau, (202) 418-0850.

Supplementary Information:

    1. This is a summary of the Commission's Notice of Proposed 
Rulemaking adopted May 10, 1996, and released May 10, 1996. The full 
text of this Commission decision is available for inspection and 
copying during normal business hours in the FCC Dockets Branch (Room 
239), 1919 M St., N.W., Washington, D.C. The complete text of this 
decision may also be purchased from the Commission's copy contractor, 
International Transcription Services, Inc., 202 857-3800, 1990 M 
Street, N.W., Suite 246, Washington, D.C. 20554.

Regulatory Flexibility Analysis

    2. We have determined that Section 605(b) of the Regulatory 
Flexibility Act of 1980, 5 U.S.C. 605(b) does not apply to this 
rulemaking proceeding because if promulgated, it would not have a 
significant economic impact on a substantial number of small entities. 
The definition of a ``small entity'' in Section 3 of the Small Business 
Act excludes any business that is dominant in its field of operation. 
Although some of the local exchange carriers that will be affected are 
very small, local exchange companies do not qualify as small entities 
because they have a nationwide monopoly on ubiquitous access to the 
subscribers in their service area. The Commission has found all 
exchange carriers to be dominant in the Competitive Carrier proceeding. 
85 FCC 2d 1, 23-24 (1980). To the extent that small telephone companies 
will be affected by these rules, we hereby certify that these rules 
will not have a significant economic effect on a substantial number of 
``small entities.'' Although we do not find that the Regulatory 
Flexibility Act is applicable to this proceeding, this Commission has 
an ongoing concern with the effect of its rules and regulations on 
small business and the customers of the regulated carriers as is 
evidenced by this proceeding.

Ordering Clause

    Accordingly, IT IS ORDERED that, pursuant to Sections 302 and 703 
of the 1996 Act, and sections 1, 4(i), 4(j), 201, 215, 218 and 220 of 
the Communications Act of 1934, as amended, 47 U.S.C. 151, 154(i), 
154(j), 201, 215, 218, 220), a Notice of Proposed Rulemaking is hereby 
ADOPTED.
    It is further ordered that the Secretary shall send a copy of this 
Notice of Proposed Rulemaking, including the Regulatory Flexibility 
Certification, to the Chief Counsel for Advocacy of the Small Business 
Administration, in accordance with paragraph 603(a) of the Regulatory 
Flexibility Act, 5 U.S.C. 601 et seq. (1981).

List of Subjects in 47 CFR Part 64

    Communications common carriers, Telephone.

Federal Communications Commission.
William F. Caton,
Acting Secretary.
[FR Doc. 96-12586 Filed 5-17-96; 8:45 am]
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