Coalition Says FCC Shouldn’t Act in Haste to Approve VoIP Number Trial
The proposed pilot program under which Vonage would have access to numbering resources in a few trial markets could be in trouble after NARUC and consumer and public interest groups announced their opposition in a letter to the commission. The pilot program and an NPRM on number resources is set for a vote Thursday at the commission. It’s unclear whether the letter will cause commissioners to rethink the draft order, industry officials said Friday. Vonage is rebutting arguments made by the NARUC-led coalition.
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Former Commissioner Michael Copps signed the letter on behalf of Common Cause. Also signing the letter: AARP, Consumer Federation of America, Consumers Union, Free Press, Public Knowledge, the National Consumer Law Center on behalf of its low-income clients, and the National Association of State Consumer Advocates.
Industry observers said the letter puts Democratic Commissioners Jessica Rosenworcel and Mignon Clyburn in a tough spot -- to support the chairman on the pilot programs or side with the groups raising concerns, including state commissioners, whose opinions are afforded great weight at the FCC. A commission official declined to comment except to note that other than NARUC the groups on the letter have not been active on the issue.
"Commissioners Clyburn and Rosenworcel have no obligation to give crutches to a lame duck,” said Free Press Policy Director Matt Wood. “Their only obligation is to promote the public interest and enforce existing law. There are a number of policy questions that the commission must answer before it moves ahead with waivers that pre-judge the answers to those very same questions. This issue touches on other FCC proceedings that impact the public interest, including the IP transition. The prudent course here would be a notice and comment process that helps the agency answer the policy questions, followed by a trial that helps answer the technical questions."
"The signatories to this letter are concerned that signaling its intent to allow direct assignment of numbers to non-carriers would trigger a ‘Race To the Bottom’ in the American communications market -- where providers of all kinds race to self-define their regulatory status to obtain desired privileges or avoid unwanted burdens of regulations (e.g. [rules against] number spoofing, harassing or fraudulent calling and the consumer complaints and enforcement that follow),” the letter said (http://bit.ly/16SA77Q). “A glaring example of the flaw in this action is that the proposed NPRM is accompanied by a special ‘waiver/trial’ for Vonage that would be conducted simultaneously with the NPRM. Ultimately, the FCC would be pressed to grant other Non-Carriers waivers to conduct ’trials’ because it is blatantly discriminatory to grant such privileges only to Vonage."
The FCC is wrong to launch a pilot first and then ask for comments on a broader rulemaking, the letter said. “This approach combines the inefficiencies of both procedural vehicles and none of the benefits. A rulemaking should precede any decision that has broad and wide-ranging impacts. A rulemaking should not be used to figure out if there are unintended consequences that should have been addressed before any waiver is granted or to quantify the impacts (both positive and negative) if the special advantage bestowed on one market participant is multiplied to cover all participants."
Vonage Chief Legal Officer Kurt Rogers rebutted arguments in the coalition’s letter. “Direct access to telephone numbers by VoIP providers is about delivering better services to consumers,” Rogers said Friday. “It will enable VoIP providers to deliver new and innovative products. It also lowers costs, improves quality and increases network redundancy. The NARUC letter is simply wrong on the issues. The proposed limited trial does not prejudge direct access; it provides real-world data to help the FCC make decisions in the NPRM. Without this trial, there is a risk that the commission won’t be able to get past the technical objections made by some opponents. The FCC’s proposed action does not alter state authority; VoIP providers who obtain direct access will be subject to state numbering authority. Direct access does not impact number exhaust. For the most part, it will shift existing numbers to VoIP providers from CLECs. Any requests for new numbering resources will be through existing state processes."
Glenn Richards, executive director of the Voice on the Net Coalition, filed an ex parte notice at the FCC on messages he left for staffers for Genachowski, Clyburn and Rosenworcel Thursday before the item was put on the Sunshine notice cutting off further lobbying for this week’s meeting. The letter “does not raise any issues not previously addressed in this docket,” Richards said (http://bit.ly/12Vg7iw). “The letter is not a valid reason to abandon the proposed VoIP numbering trial. A numbering trial will help the Commission develop a more complete record as it considers rules allowing VoIP providers to directly access numbers. The VON Coalition supports adopting both the NPRM and VoIP numbering trial at the April 18 open meeting.”