FCC said Verizon Thurs. proposed “significant reduction” in its R.I. switching rates and agency asked for comments by Feb. 19 on proposal. Reduction came as FCC was reviewing Verizon’s Sec. 271 request to enter long distance business in R.I. FCC said parties had raised concern about switching rates Verizon charged to competitors in R.I. and whether they fell within “reasonable range” of total element long-range incremental cost (TELRIC) standards. Verizon’s R.I. application relied in part on benchmark comparison of switching rates in N.Y. and Mass., FCC said. However on Jan. 28, N.Y. PSC adopted new rates, “which are 50% lower than Verizon’s previous N.Y. switching rates,” thus changing that benchmark, FCC notice said. As result, Verizon must file to reduce switching rates it used in its application. FCC asked for comment on whether new rates “fall within the reasonable range that correct application of TELRIC principles would produce.” It emphasized that its issuance of public notice didn’t represent decision to use new rates in its deliberations. FCC said it expected Sec. 271 application to stand as filed but, if new material were submitted, it “retains the discretion” to consider it, start new 90-day review period or to give new material no weight. FCC is scheduled to act on Verizon’s R.I. petition by Feb. 24.
FCC proposed plans to revamp satellite licensing system in action at agenda meeting Thurs. International Bureau (IB) said new system was response to increased global competition and need to change what had become long and cumbersome process. New rules should help expedite licensing process and reduce costs associated with regulatory delay, FCC said. Many satellite operators have complained about long wait -- sometimes more than 5 years -- to receive licenses in market that’s rapidly changing. Process has been particularly “troublesome” for companies attempting to launch new services, industry attorney said. Commission said proposed reforms would promote spectrum efficiency and technological innovation.
Calling Enron “America’s most corrupt company,” the United Church of Christ (UCC) challenged FCC Enforcement Bureau decision fining company $7,500 for failing to get FCC approval when it bought firms with private radio and microwave licenses. Last month, FCC said it had completed investigation of Enron’s failure to obtain regulatory approvals of those licenses, problem that bankrupt energy giant had informed Commission about in 1998 (CD Jan 17 p9). At time, Enron said responsibility for getting licenses was decentralized among its subsidiaries, which in some cases didn’t know such approvals were needed. FCC handled Enron violations with “a stunningly light hand,” UCC attorney Andrew Schwartzman said. He said “stealthy manner” in which FCC handled case “reduces confidence in Commission processes.” Deals, collectively, were “big deal,” Schwartzman said, and involved “public health and safety, so this has to be taken seriously.” Entire compliance process and early termination of investigation are “highly questionable,” he said.
Citing stepped-up efforts on homeland security initiatives, FCC unanimously approved order Thurs. to allocate 50 MHz of spectrum in 4.9 GHz band to support public safety operations. Commission said band could be used for applications such as high-speed digital technologies and wireless local area networks for emergency response. Order allocated 4.9 GHz band for fixed and mobile use and designates band, which has been transferred from govt. to nongovt. use, for support of public safety, said Wireless Bureau Chief Thomas Sugrue. At agenda meeting, FCC also adopted further notice seeking comment on what licensing and service rules “will further our goal of providing public safety personnel access to the latest broadband technologies,” he said.
FCC Comr. Copps corrected himself at agenda meeting Thurs., saying Cox is, in fact, offering high-speed Internet service in his neighborhood in northern Va. and has been since at least Dec. Copps complained at last month’s meeting that he had no cable service at his home (CD Jan 18 p2).
FCC said new recordkeeping and reporting requirements for some small cable operators became effective Jan. 28. New rules relieve cable systems serving 1,000-5,000 subscribers from certain recordkeeping requirements associated with maintaining public files.
FCC granted delay for launch of Intelsat 903 satellite to give company time to correct technical problems with bird. Intelsat 903 was to be launched in Nov. 2001 as replacement for Intelsat 603. New deadline is April.
In last-ditch effort to block pending FCC action on ultra-wideband (UWB), Air Transport Assn. of America (ATA) warned Commission decision would “have critical safety implications” for U.S. air travelers. FCC is to vote today (Thurs.) on UWB item at its agenda meeting. In strongly- worded news release, ATA said FCC was “poised to issue a ruling that could authorize the use of UWB devices that interfere with GPS transmissions that provide for critical safety-of-life functions.” ATA said UWB technology proponents hadn’t had to “demonstrate its safety” but airlines and aviation system users have had to prove it was unsafe. “Every other federal government agency is working diligently to enhance aviation safety and security in the aftermath of Sept. 11,” ATA Pres. Carol Hallett said: “Yet the FCC seems to be heading in the opposite direction.” Solution is for FCC to allow UWB devices to operate above 6 GHz and “avoid restricted safety-of-life aviation frequencies,” she said. No level of interference is acceptable for aviation, Hallett said. ATA cited Jan. 16 letter from Transportation Secy. Norman Mineta in response to Hallett letter sent in Nov. “We agree with you that interference is unacceptable for aviation and that adequate protections must be in place to assure the safety of the public,” Mineta wrote. “We recognize that the implementation of UWB presents some unique challenges that we continue to address.” On Feb. 7, ATA had written to FCC Chmn. Powell, reiterating recommendation that UWB devices be barred from operating between 1 and 6 GHz.
Rural telco representatives urged caution as several regulators and industry officials at en banc hearing Wed. questioned need to retain separations process in light of increased competition. Some rural telcos may never see competition, or at least not for long time, so regulators should be careful not to take precipitous action, warned Scott Reiter, senior telecom specialist at National Telephone Coop Assn. There’s “a lot of angst” in rural areas about how they would deal with cost recovery without separations process, he said. “Everyone agrees that when there is a fully competitive market you don’t need separations,” he said. “We agree but don’t think we will reach fully competitive markets soon.” Separations process determines whether telco costs are intrastate or interstate. For rural telcos that boils down to how much of their costs can be recovered from federal jurisdiction through subsidies, access charges and other means.
Several commenters in FCC Part 15 proceeding said proposed changes in radio frequency identification (RFID) rules could help homeland security. In Oct., FCC issued notice of proposed rulemaking to update sections of its Parts 2, 15 and 18 rules, including proposals to modify emissions limits on certain Part 15 devices above 2 GHz. On RFID systems, proposals would harmonize U.S. rules with standards for such devices in Europe and Australia. FCC rules let intentional radiators such as unlicensed RFID devices operate in 13.56 MHz band at certain power limits. Such systems typically include tag mounted on item to be tracked and use radio signals to identify items such as shipping containers. Proposed changes would let RFID systems transmit data more effectively “over longer localized ranges,” Texas Instruments said. Proposal would allow higher security and improved data transfer for access control, airline baggage handling, parcel tracking and electronic transactions that use RFID cards, TI said. Systems built under proposal could electronically identify wrapped packages and sealed envelopes because “line of sight” doesn’t have to be established, which could aid customs clearance, TI said. “There appears to be greater emphasis on knowing the identity of both persons (identification cards) and the contents of packages since Sept. 11 as our nation works to improve homeland security,” TI said. Motorola also supported changes for RFID rules, which were part of petition filed by National Council for Information Technology Standardization. Changes would allow greater RFID system range, including improvement from several centimeters to more than 1 m in some cases, Motorola said. “The expanded use of RFID technology can positively impact the national economy and be used as a tool for the homeland security initiative,” company said. CEA cited potential for RFID to help provide systems to match passengers with luggage. U.S. manufacturers of RFID equipment would benefit by “allowing a single product to be used in many markets, thus lowering development costs,” CEA said. Information Technology Industry Council said in recent years there had been “dramatic increase” in use of spectrum above 2 GHz, although Commission hadn’t changed requirements for spurious emissions limits. Balance must be kept between protecting licensed services from interference “while not overburdening the unlicensed devices with too excessively stringent limits,” CEA said. Group asked FCC to consider development of test method to measure unintentional emissions. ITI said removing some restrictions in bands above 38.6 GHz could open market for new unlicensed services.