[Federal Register Volume 65, Number 175 (Friday, September 8, 2000)]
[Notices]
[Pages 54530-54533]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-22891]


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FEDERAL COMMUNICATIONS COMMISSION

[CC Docket No. 96-98; FCC 00-297]


Implementation of the Local Competition Provisions of the 
Telecommunications Act of 1996

AGENCY: Federal Communications Commission.

ACTION: Notice.

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SUMMARY: This document continues the Commission's efforts to facilitate 
the development of competition in telecommunications services, 
particularly local telecommunications. The Commission invites comment 
on whether it should amend its unbundled network element rules to 
ensure that carriers are able to gain competitive access to subloops 
and loops as incumbent local exchange carriers (LECs) introduce new 
network technologies.

DATES: Written comments by the public on the proposed information 
collections are due October 12, 2000, and reply comments are due on 
November 14, 2000. Written comments must be submitted by the Office of 
Management and Budget (OMB) on the proposed information collection(s) 
on or before November 7, 2000.

ADDRESSES: Federal Communications Commission, 445 Twelfth Street, SW, 
Washington, D.C. 20554. In addition to filing comments with the 
Secretary, a copy of any comments on the information collections 
contained herein should be submitted to Judy Boley, Federal 
Communications Commission, Room 1-C804, 445 12th Street, SW, 
Washington, DC 20554, or via the Internet to [email protected], and to 
Edward C. Springer, OMB Desk Officer, 10236 NEOB, 725--17th Street, 
N.W., Washington, DC 20503 or via the Internet to 
[email protected].

FOR FURTHER INFORMATION CONTACT: Johanna Mikes, Attorney Advisor, 
Common Carrier Bureau, Policy and Program Planning Division, 202-418-
1580. Further information also may be obtained by calling the Common 
Carrier Bureau's TTY number: 202-418-0484. In addition to filing 
comments with the Secretary, a copy of any comments on the information 
collections contained herein should be submitted to Judy Boley, Federal 
Communications Commission, Room 1-C804, 445 12th Street, SW, 
Washington, DC 20554, or via the Internet to [email protected], and to 
Edward C. Springer, OMB Desk Officer, 10236 NEOB, 725--17th Street, 
N.W., Washington, DC 20503 or via the Internet to 
[email protected].

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Fifth 
Further Notice of Proposed Rulemaking (5th FNPRM) in CC Docket No. 96-
98, FCC 00-297, adopted on August 9, 2000, and released August 10, 
2000. This 5th FNPRM contains proposed information collection(s) 
subject to the Paperwork Reduction Act of 1995 (PRA). It has been 
submitted to the Office of Management and Budget (OMB) for review under 
the PRA. OMB, the general public, and other Federal agencies are 
invited to comment on the proposed information collections contained in 
this proceeding. The complete text of this Fifth Further Notice of 
Proposed Rulemaking is available for inspection and copying during 
normal business hours in the FCC Reference Information Center, 
Courtyard Level, 445 Twelfth Street, S.W. Washington, D.C., and also 
may be purchased from the Commission's copy contractor, International 
Transcription Services (ITS), CY-B400, 445 Twelfth Street, S.W., 
Washington, D.C.

Synopsis of the Fifth Further Notice of Proposed Rulemaking

    1. The Fifth Further Notice of Proposed Rulemaking in CC Docket No. 
96-98 invites comment on whether the Commission should amend its local 
competition rules to respond to new network architectures being 
deployed by incumbent LECs. In the Fifth Further Notice, we invite 
comment on several issues concerning the deployment of new network 
architectures, including whether we should modify or clarify our 
definition of the loop and transport elements to include access for 
requesting carriers at the wavelength level. We also request comment on 
the features, functions, and capabilities of the subloop created by the 
deployment of new network architectures. We invite comment on incumbent 
LECs' obligations to provide unbundled access to the subloop, 
particularly the fiber feeder portion, in situations where there is 
inadequate existing capacity. In addition, we invite comment on 
whether, as part of their deployment of additional fiber facility, 
incumbent LECs plan to retire and remove existing copper plant and how 
that would affect their obligations under our local

[[Page 54531]]

competition rules. We seek comment on whether we should change the 
technically feasible points at which competing carriers may access 
subloops at remote terminal locations.

Paperwork Reduction Act

    2. This 5th FNPRM contains a proposed information collection. The 
Commission, as part of its continuing effort to reduce paperwork 
burdens, invites the general public and the Office of Management and 
Budget (OMB) to comment on the information collection(s) contained in 
this 5th FNPRM, as required by the Paperwork Reduction Act of 1995, 
Public Law 104-13. Public and agency comments are due at the same time 
as other comments on this 5th FNPRM; OMB notification of action is due 
November 7, 2000 of this 5th FNPRM. Comments should address: (a) 
whether the proposed collection of information is necessary for the 
proper performance of the functions of the Commission, including 
whether the information shall have practical utility; (b) the accuracy 
of the Commission's burden estimates; (c) ways to enhance the quality, 
utility, and clarity of the information collected; and (d) ways to 
minimize the burden of the collection of information on the 
respondents, including the use of automated collection techniques or 
other forms of information technology.
    OMB Control Number: None.
    Title: Proposed Demographic Information and Notifications, Second 
FNPRM, CC Docket No. 98-147, and Fifth FNPRM, CC Docket No. 96-98.
    Form No.: N/A.
    Type of Review: New Collections.
    Respondents: Business or other for-profit.
    Number of Respondents: 1400.
    Estimated Time Per Response: 2 hours.
    Total Annual Burden: 2800 hours.
    Cost to Respondents: $0.
    Needs and Uses: The Commission seeks comment on whether incumbent 
LECs are required under section 251(c)(5) or any other provision of the 
Act to notify competing carriers of where they are deploying fiber 
facilities in the loop. Competing carriers would use this information 
in planning their networks. The Commission also seeks comment on 
whether incumbents should provide notice to competitors before retiring 
and removing copper facilities. Competing carriers would use this 
information to ensure that such retirements and removals do not prevent 
them from delivering advanced services to their customers.

Final Regulatory Flexibility Analysis (FRFA)

    3. As required by the Regulatory Flexibility Act (RFA), an Initial 
Regulatory Flexibility Analysis (IRFA) was incorporated in the Advanced 
Services Order and Notice of Proposed Rulemaking 63 FR 45140, August 
24, 1998, in CC Docket 98-147. The Commission sought written public 
comment on the proposals in the Notice, including comment on the IRFA. 
We received no comments specifically directed toward the IRFA. In 
addition, we incorporated the Final Regulatory Flexibility Analysis 
(FRFA) into the Advanced Services First Report and Order and received 
no petitions for reconsideration specifically directed toward the FRFA. 
This Supplemental Final Regulatory Flexibility Analysis (SFRFA) 
conforms to the RFA.

Need for and Objectives of this Fifth Further Notice of Proposed 
Rulemaking

    4. This 5th FNPRM continues the Commission's efforts to facilitate 
the development of competition in telecommunications services, 
particularly local telecommunications. The Commission invites comment 
on whether we should amend our unbundled network element rules to 
ensure that carriers are able to gain competitive access to transport, 
subloops, and loops as incumbent LECs introduce new network 
technologies. Specifically, the Commission seeks comment on the legal 
and policy bases for amending its local competition unbundling rules to 
ensure that competitors will have competitive access to transport, 
subloops, and loops as new network technologies are deployed.

Summary of Significant Issues Raised by Public Comments in Response 
of the FRFA

    5. In the IRFA, we stated that any rule changes would impose 
minimum burdens on small entities and solicited comments on 
alternatives to our proposed rules that would minimize the impact that 
might have on small entities. In the Final Regulatory Flexibility 
Analysis (FRFA), we discussed the impact on small entities of the rules 
adopted in the Advanced Services First Report and Order 63 FR 45133, 
August 24, 1998. As noted, we have received no comments or petitions 
specifically directed to the IRFA or the FRFA. In making the 
determinations reflected in the Order, however, we have considered the 
impact of our actions on small entities.

Description and Estimate of the Number of Small Entities Affected 
by the Fifth Further Notice of Proposed Rulemaking

    6. In the IRFA to the Advanced Services Order and NPRM, we adopted 
the analysis and definitions set forth in determining the small 
entities affected by this Fifth Further Notice of Proposed Rulemaking 
for purposes of this SFRFA. The RFA directs agencies to provide a 
description of and, where feasible, an estimate of the number of 
entities that will be affected by the rules. The RFA generally defines 
``small entity'' as having the same meaning as the term ``small 
business,'' ``small organization,'' and ``small governmental 
jurisdiction.'' In addition, the term ``small business'' has the same 
meaning as the term ``small business concern'' under the Small Business 
Act, unless the Commission has developed one or more definitions that 
are appropriate to its activities. Under the Small Business Act, a 
``small business concern'' is one that: (a) is independently owned and 
operated; (b) is not dominant in its field of operation; and (c) meets 
any additional criteria established by the Small Business 
Administration (SBA). The SBA has defined a small business for Standard 
Industrial Classification (SIC) categories 4812 (Radiotelephone) to be 
small entities when they have no more than 1,500 employees. We first 
discuss the number of small telephone companies falling within these 
SIC categories, then attempt to refine further those estimates to 
correspond with the categories of telephone companies that are commonly 
used under our rules.
    7. The most reliable source of information regarding the total 
numbers of common carrier and related providers nationwide, as well as 
the numbers of commercial wireless entities, appears to be data the 
Commission publishes annually in its Carrier Locator report, derived 
from filings made in connection with the Telecommunications Relay 
Service (TRS). According to data in the most recent report, there are 
4,144 interstate carriers. These carriers include, inter alia, LECs, 
wireline carriers and service providers, interexchange carriers, 
competitive access providers, operators services providers, pay 
telephone operators, providers of telephone toll service, providers of 
telephone exchange service, and resellers.
    8. We have included small incumbent LECs in this present RFA 
analysis. As noted above, a ``small business'' under the RFA is one 
that, inter alia, meets the pertinent small business size standard 
(e.g., a telephone communications business having 1,500 or fewer

[[Page 54532]]

employees), and ``is not dominant in its field of operation.'' The 
SBA's Office of Advocacy contends that, for RFA purposes, small 
incumbent LECs are not dominant in their field of operation because any 
such dominance is not ``national'' in scope. We have therefore included 
small incumbent LECs in this RFA analysis, although we emphasize that 
this RFA action has no effect on FCC analyses and determinations in 
other, non-RFA contexts.
    9. Total Number of Telephone Companies Affected. The United States 
Bureau of the Census (Census Bureau) reports that, at the end of 1992, 
there were 3,497 firms engaged in providing telephone services, as 
defined therein, for at least one year. These firms include a variety 
of different categories of carriers, including LECs, interexchange 
carriers, competitive access providers, cellular carriers, mobile 
service carriers, operator service providers, pay telephone operators, 
PCS providers, covered SMR providers, and resellers. It seems certain 
that some of those 4,144 telephone service firms may not qualify as 
small entities or small incumbent LECs because they are not 
``independently owned and operated.'' For example, a PCS provider that 
is affiliated with an interexchange carrier having more than 1,500 
employees would not meet the definition of a small business. It seems 
reasonable to conclude, therefore, that fewer than 4,144 telephone 
service firms are small entity telephone service firms or small 
incumbent LECs that may be affected by the decisions and rules that 
potentially could be adopted based upon this Fifth Further Notice.
    10. Wireline Carriers and Service Providers. SBA has developed a 
definition of small entities for telephone communications companies 
other than radiotelephone companies. The Census Bureau reports that, 
there were 2,321 such telephone companies in operation for at least one 
year at the end of 1992. According to SBA's definition, a small 
business telephone company other than a radiotelephone company is one 
employing no more than 1,500 persons. All but 26 of the 2,231 non-
radiotelephone companies listed by the Census Bureau were reported to 
have fewer that 1,000 employees. Thus, even if all 26 of those 
companies had more than 1,500 employees, there would still be 2,295 
non-radiotelephone companies that might qualify as small entities or 
small incumbent LECs. Although it seems certain that some of these 
carriers are not independently owned and operated, we are unable at 
this time to estimate with greater precision the number of wireline 
carriers and service providers that would qualify as small business 
concerns under SBA's definition. Consequently, we estimate that there 
are fewer than 2,295 small entity telephone communications companies 
other than radiotelephone companies that may be affected by the 
decisions and rules that could potentially result from this 5th FNPRM.
    11. Local Exchange Carriers. The Commission has not developed a 
special size definition of small LECs or competitive LECs. The closest 
applicable definition for these types of carriers under SBA rules is, 
again, that used for telephone communications companies other than 
radiotelephone (wireless) companies. The most reliable source of 
information regarding the number of these carriers nationwide of which 
we are aware appears to be the data that we collect annually in 
connection with the Telecommunications Relay Service (TRS). According 
to our most recent data, there are 1,348 incumbent LECs, 212 
competitive LECs, and 442 resellers. Although it seems certain that 
some of these carriers are not independently owned and operated, or 
have more than 1,500 employees, we are unable at this time to estimate 
with greater precision the number of these carriers that would qualify 
as small business concerns under SBA's definition. Consequently, we 
estimate that there are no more than 1,348 small entity incumbent LECs, 
212 competitive LECs, and 442 resellers that may be affected by the 
decisions and rules that could result from this Fifth Further Notice.

Description of Projected Reporting, Record Keeping, and other 
Compliance Requirements

    12. In the 5th FNPRM in CC Docket No. 96-98, we invite comment on 
several issues concerning the deployment of new network architectures. 
We ask, for instance, whether we should modify or clarify our 
definition of the loop to include access for requesting carriers at the 
wavelength level. We request comment on the features, functions, and 
capabilities of the subloop created by the deployment of new network 
architectures. We invite comment on incumbent LECs' obligations to 
provide unbundled access to the subloop, particularly the fiber feeder 
portion, in situations where there is inadequate existing capacity. We 
also seek comment on whether we should change the technically feasible 
points at which competing carriers may access subloops at remote 
terminal locations. We further invite comment on whether, as part of 
their deployment of additional fiber facility, incumbent LECs plan to 
retire and remove existing copper plant and how that would affect their 
obligations under our local competition rules. Finally, we inquire 
about whether we should alter our definition of the transport element 
in view of new network architectures being deployed by carriers.

Steps Taken to Minimize Significant Economic Impact on Small 
Entities and Significant Alternatives Considered

    13. In the 5th FNPRM, we seek to develop a record sufficient to 
adequately address issues related to developing long-term policies for 
ensuring that competitive carriers have access to unbundled network 
elements as changes are made to traditional telephone networks. In 
addressing these issues, we seek to ensure that competing providers, 
including small entity carriers, obtain access to inputs necessary to 
the provision voice and advanced telecommunications services. We 
believe that the issues on which we invite comment could impose minimal 
burdens on small entities, including both telecommunications carriers 
that request unbundled network elements and the incumbent LECs that, 
under section 251 of the Communications Act, must provide unbundled 
network elements to requesting carriers. As indicated, both groups of 
carriers include entities that, for purposes of this SIRFA, are 
classified as small entities. In framing the issues in this Fifth 
Further Notice, we have sought to develop a record on the potential 
impact our proposed rules could have upon small entities. We thus ask 
that commenters propose measures to avoid significant economic impact 
on small business entities.

Procedural Matters

    14. Pursuant to sections 1-4, 201, 202, 251-254, 256, 271, and 
303(r) of the Communications Act of 1934, as amended, 47 U.S.C. 151-
154, 201, 202, 251-254, 256, 271, and 303(r), that the Second Further 
Notice of Proposed Rulemaking in (Published elsewhere in this issue) CC 
Docket No. 98-147 and the Fifth Further Notice of Proposed Rulemaking 
in CC Docket No. 96-98 Are Adopted.
    15. The Commission's Consumer Information Bureau, Reference 
Information Center, Shall Send a copy of this Order on Reconsideration 
and Second Further Notice of Proposed Rulemaking (Published elswhere in 
this issue) in CC Docket No. 98-147 and this Fifth Further Notice of 
Proposed Rulemaking in CC Docket No., including the Supplemental Final 
Regulatory Flexibility Analysis and the Initial

[[Page 54533]]

Regulatory Flexibility Analysis, to the Chief Counsel for Advocacy of 
the Small Business Administration.

Federal Communications Commission.
Magalie Roman Salas,
Secretary.
[FR Doc. 00-22891 Filed 9-7-00; 8:45 am]
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