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FCC begins rulemaking on Bell LD requirements

The FCC has begun a rulemaking proceeding regarding the separate affiliate and related requirements for Bell companies providing in-region long distance service under Section 271 of the Telecom Act.

Under the Act, Bell companies must provide such services through separate corporate affiliates, which may not jointly own transmission and switching equipment with the Bells. Additionally, the Bell companies also are required to provide to competitive carriers the same services, products and information they provide to their affiliates, at the same rates, and under the same terms and conditions. Section 271 of the Act allows these requirements to expire three years after a Bell company receives Section 271 approval in a particular state, unless the FCC extends the period by rule or order.

The rulemaking asks: whether the statutory separate affiliate and related requirements of the Bell companies should sunset; whether, and under what conditions, the FCC should extend these requirements; whether the FCC, in the event it extends the requirements, should adopt a nation-wide rule or proceed on a case-by-case basis; and whether any alternative safeguards should apply to Bell company provisioning of in-region long distance service.

Currently, Bell companies have received Section 271 approvals in 13 states. New York, where Verizon Communications provides in-region long distance service, is the first state scheduled to sunset, which would occur in December 2002 should the FCC take no further action.

--Glenn Bischoff, Senior News Writer

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