AT&T, NARUC lead filing to Supreme Court

AT&T and the National Association of Regulatory Utility Commissioners yesterday asked the Supreme Court to hear an appeal of the U.S. Court of Appeals for the District of Columbia Circuit decision that eliminated most FCC rules regarding unbundled network elements.

While the filings to have the case heard were expected at yesterday’s deadline, few legal analysts believe the Supreme Court will take the case. Last month, Solicitor General Ted Olson decided not to recommend that the high court hear an appeal. Subsequently, the FCC—after Commissioner Kevin Martin changed his swing vote—also chose not to ask for a Supreme Court appeal. Without any government support, most analysts believe it is very doubtful the Supreme Court will hear an appeal.

AT&T spokeswoman Claudia Jones said the Supreme Court is not expected to respond to the petition to hear an appeal until September or October. Asked whether something had changed in the last month to make the carrier encouraged about the Supreme Court’s decision, Jones said she could not think of anything.

"No, not really," Jones said. "What hasn’t changed is our opinion about how harmful the D.C. Circuit ruling will be to competition and consumers."

In the aftermath of the D.C. Circuit ruling taking effect, all RBOCs have promised not to raise the UNE rates charged to wholesale customers until after the November elections. The FCC is expected to adopt interim rules soon and Chairman Michael Powell said he would like the commission to approve permanent rules by the end of the year.

Meanwhile, AT&T has stopped marketing its local residential service in seven states, noting that future wholesale rate increases by RBOCs prevent the carrier from being able to commit to a long-term residential business in those markets. In one of those states—Ohio—AT&T today announced it would remove itself from the Ohio UNE rate proceeding, saying it could not justify the expense of continuing to lobby the state commission.