[Federal Register Volume 63, Number 161 (Thursday, August 20, 1998)]
[Proposed Rules]
[Pages 44599-44600]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-22341]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 54

[CC Docket 96-45, 97-160; DA 98-1576]


Federal-State Joint Board on Universal Service and Forward-
Looking Mechanism for High Cost Support for Non-Rural LECs

AGENCY: Federal Communications Commission.

ACTION: Proposed rule; Supplemental data request.

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SUMMARY: In conjunction with the Commission's proceeding to select a 
forward-looking economic cost mechanism for determining the level of 
federal high cost support that eligible non-rural carriers will receive 
beginning July 1, 1999, we request certain revenue information from 
non-rural local exchange carriers and holding companies.

DATES: Responses to this data request must be submitted on or before 
October 6, 1998.

ADDRESSES: The full text of data request order and spreadsheets are 
available for inspection and copying during normal business hours in 
the FCC Reference Center (Room 239), 1919 M St., NW, Washington, DC. In 
addition, interested parties may obtain the spreadsheet from the 
Commission's web site at http://www.fcc.gov/ccb/universal__service/
highcost.html#determine.

FOR FURTHER INFORMATION CONTACT: Katie King, Accounting Policy 
Division, Common Carrier Bureau, (202) 418-7400.

SUPPLEMENTARY INFORMATION:
    1. In the Universal Service Order, CC Docket No. 96-45, FCC 97-157 
(released May 8, 1997) 62 FR 32862 (June 17, 1997), the Commission 
determined that the level of federal high cost support that eligible 
non-rural carriers will receive would be 25 percent of the difference 
between the estimated forward-looking economic cost of providing the 
supported services and a nationwide average revenue benchmark. The 
Commission also determined that the revenue benchmark should be 
calculated using revenues derived from local service, access, and other 
telecommunications services, including discretionary services. The 
Commission

[[Page 44600]]

did not adopt a precise calculation of the revenue benchmark in the 
Universal Service Order, but stated that, based on 1994 data received 
in response to an earlier data request, ``it appears that the benchmark 
for residential services should be approximately $31 and for single-
line businesses should be approximately $51.''
    2. In a Public Notice released May 4, 1998, 63 FR 28339 (May 22, 
1998), the Common Carrier Bureau sought to augment the record on 
certain issues relating to the creation of the federal forward-looking 
economic cost mechanism. With respect to the revenue benchmark, we 
sought comment generally on the amount of access revenues that should 
be included in the benchmark. In addition, the Bureau sought comment on 
the appropriate amount of intraLATA toll revenue that should be 
included in the revenue benchmark. We also encouraged parties to 
provide further information about the revenues that are derived from 
services provided over the network that the universal service mechanism 
is designed to support.
    3. We find that, in addition to comments that we received in 
response to the May 4th Public Notice, specific information from non-
rural local exchange carriers and holding companies is necessary to 
allow the Commission to calculate accurately the revenue benchmark that 
may be used to determine the level of federal high cost support. The 
Commission's suggested residential and business benchmarks of $31 and 
$51, respectively, were based on data that are four years old. In 
addition, the earlier data request did not ask local exchange carriers 
to differentiate among various revenue sources that would allow the 
Commission to deduct specific portions of access or toll revenue from 
the benchmark.
    4. Purpose of Data Request. This data request is being issued to 
assist the Commission in implementing the forward-looking economic cost 
mechanism used to estimate the amount of universal service support that 
will be provided to eligible non-rural carriers beginning July 1, 1999.
    5. Carriers Subject to Data Request. The following non-rural local 
exchange carriers and holding companies must respond to this data 
request: Aliant Communications Company, ALLTEL, Ameritech, Anchorage 
Telephone Utility, Bell Atlantic, BellSouth, Cincinnati Bell, Frontier 
Corporation, GTE, North State Telephone Company, Puerto Rico Telephone 
Company, Roseville Telephone Company, Southern New England, 
Southwestern Bell, U S West, and United Telephone System.
    6. OMB Approval. Approved by OMB, 3060-0842, Expires 2/28/1999, 
Burden hour per respondent: 250 average. An agency may not conduct or 
sponsor, and a person is not required to respond to, a collection of 
information unless the agency displays a currently valid control 
number.
    7. Accordingly, pursuant to sections 5(c), 201-205, 220(c), 254 and 
403 of the Communications Act of 1934, as amended, 47 U.S.C. 155(c), 
201-205, 220(c), 254, and 403, and sections 0.91 and 0.291 of the 
Commission's rules, 47 CFR 0.91 and 0.291, it is Hereby Ordered that 
Aliant Communications Company, ALLTEL, Ameritech, Anchorage Telephone 
Utility, Bell Atlantic, BellSouth, Cincinnati Bell, Frontier 
Corporation, GTE, North State Telephone Company, Puerto Rico Telephone 
Company, Roseville Telephone Company, Southern New England, 
Southwestern Bell, U S West, and United Telephone System shall complete 
the attached Revenue Benchmark Data Request in the prescribed formats, 
and file their responses to the data request with the Commission by 
October 6, 1998.

Federal Communications Commission.
James D. Schlichting,
Deputy Chief, Common Carrier Bureau.
[FR Doc. 98-22341 Filed 8-19-98; 8:45 am]
BILLING CODE 6712-01-P