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If competition is subsidized it can become artificial, said White...
January 12, 2001 |Miscellaneous

If competition is subsidized it can become artificial, said White Paper released Thurs. by National Telecom Coop Assn. (NTCA). “The Cost of Competition” argues that competition doesn’t necessarily work in rural areas and it shouldn’t be forced. Bottom line is “permit competition to develop in rural areas but don’t subsidize it,” NTCA said in news release. Authored by economist Dale Lehman, White Paper questioned wisdom of making universal service funds available to competitive entrants, saying that might undermine viability of broadband deployment by incumbent rural LEC. There isn’t real strong business case for broadband deployment in rural areas in first place, report said. Solution might be to increase universal service fund so more money would be available to all carriers, Lehman concluded -- www.ntca.org.

Bills introduced in Neb. and Wyo. would make wireless carriers el...
January 10, 2001 |Miscellaneous

Bills introduced in Neb. and Wyo. would make wireless carriers eligible for state universal service support. Neb. bill (LB-389) would give Neb. PSC limited jurisdiction over wireless phone carriers for universal service purposes. It would authorize PSC to require that wireless carriers contribute to state universal service fund and adopt rules under which wireless carriers could receive subsidies from state fund for local service to high-cost areas. Wyo. measure (HB-52) would make flat-rate wireless local service eligible for state universal service support. Bill would authorize Wyo. PSC to determine amount of money available for wireless universal service subsidies and adopt disbursement rules for payments to wireless carriers. Present law in both states denies commissions any authority over wireless services. Another new Neb. bill relating to universal service (LB-89) would annually earmark 1% of money in state universal service fund to subsidize broadband telecom services for county and municipal govt. agencies, starting in 2002.

FCC SEEKS COMMENTS ON MAG PLAN FOR RURAL CARRIERS
January 8, 2001 by Edie Herman|Miscellaneous

FCC asked Fri. whether it should adopt access charge reform plan for rural carriers in its entirety, as proposed by Multi- Assn. Group (MAG), or whether certain parts should be adopted or incorporated into other proceedings. Plan was developed by coalition of groups representing rural telcos -- National Telephone Cooperative Assn., National Rural Telecom Assn., OPASTCO, USTA. Comments will be due 30 days from publication in Federal Register, with replies due 15 days later. Federal Register publication generally occurs within days after item is released by FCC.