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The Arkansas Public Service Commission set eligibility and report...

The Arkansas Public Service Commission set eligibility and reporting requirements for competitive carriers that want federal universal service subsidies. It put off to a future docket deciding whether these requirements would also apply to carriers seeking state subsidies. The…

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new rules won’t apply to incumbents that receive the subsidies because they already are under a broader set of provider requirements. AT&T in 2006 asked the PSC to adopt verbatim the FCC’s eligible telecom carrier (ETC) requirements for universal service subsidies such as setting a five-year plan for using subsidies to improve service quality, with annual progress reports on where the money went. The PSC followed the general outline of the FCC requirements but required only a two-year improvement plan (Case 06-050-R). For wireless ETCs, the PSC said they can satisfy the emergency- functionality test by showing they have taken “reasonable” precautions to maintain service in emergencies. It said wireless carriers would satisfy the “comparable service” test by showing they offer local calling plans with various usage allowances. The PSC also said its rules will be applied case by case as competitive carriers seek ETC status. AT&T had wanted all ETCs subject to identical treatment, but the PSC said the equal treatment of ETCs required by law doesn’t mean all competitive ETCs must be treated identically. The PSC said only incumbent telcos and wireless carriers are receiving universal service subsidies. It said it wanted to keep flexibility to accommodate special circumstances that may require special consideration in funding.