[Federal Register Volume 63, Number 98 (Thursday, May 21, 1998)]
[Notices]
[Pages 27967-27969]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-13562]


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FEDERAL COMMUNICATIONS COMMISSION

[CC Docket No. 96-45; DA 98-580]


Program To Monitor Impacts of Universal Service Support 
Mechanisms

AGENCY: Federal Communications Commission.

ACTION: Notice.

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SUMMARY: On April 24, 1998, the Common Carrier Bureau issued a Public

[[Page 27968]]

Notice to solicit comment on its proposed program to monitor the 
impacts of universal service support mechanisms and to issue reports 
documenting the results of that monitoring program. Previously, on May 
8, 1997, the Commission released a Report and Order implementing 
section 254 of the Communications Act, as amended, and creating a new 
set of universal service support mechanisms. The Public Notice 
describes a monitoring program, developed in consultation with the 
states, and that will enable the public, the Commission, and other 
policy makers to assess and evaluate the new universal service support 
mechanisms.

DATES: Comments to the Public Notice are due on or before May 26, 1998. 
Reply comments are due on or before June 10, 1998.

ADDRESSES: Comments and reply comments should be sent to the Office of 
the Secretary, Federal Communications Commission, 1919 M Street, N.W., 
Suite 222, Washington, D.C. 20554, with a copy to Scott Bergmann of the 
Common Carrier Bureau, Federal Communications Commission, 2033 M 
Street, N.W., Suite 500, Washington, D.C. 20554. Parties should also 
file one copy of any documents filed in this docket with the 
Commission's copy contractor, International Transcription Services, 
Inc. (ITS), 1231 20th St., NW, Washington, DC 20036, (202) 857-3800.

FOR FURTHER INFORMATION CONTACT: Thomas J. Beers, Deputy Chief of the 
Industry Analysis Division, Common Carrier Bureau, at (202) 418-0952, 
or Scott K. Bergmann, Industry Analysis Division, Common Carrier 
Bureau, at (202) 418-7102.

SUPPLEMENTARY INFORMATION: This is a summary of the Bureau's Public 
Notice released April 24, 1998 (DA 98-580). The full text of this 
Public Notice is available for inspection and copying during normal 
business hours in the FCC Reference Center, Room 239, 1919 M Street, 
Washington, D.C. 20554. The complete text also may be purchased from 
the Commission's copy contractor, International Transcription Service, 
Inc. (202) 857-3800, 1231 20th St., NW, Washington, DC 20036.

Summary of The Public Notice

    1. On May 8, 1997, the Commission released a Report and Order, 
Federal-State Joint Board on Universal Service, CC Docket No. 96-45, 
FCC 97-157, (62 FR 32862, June 17, 1997) (hereafter Universal Service 
Order), implementing section 254 of the Communications Act, as amended, 
(47 U.S.C. Section 151 et seq.) and creating a new set of universal 
service support mechanisms. In the Universal Service Order, the 
Commission also decided to create a new program to monitor the 
universal service support mechanisms and to issue reports documenting 
the results of that monitoring program at least once a year. The 
Commission delegated responsibility for creating this monitoring 
program and for compiling the Monitoring Reports to the Common Carrier 
Bureau (Bureau), in consultation with the state staff of the Universal 
Service Joint Board. This Public Notice seeks comment on the proposed 
monitoring program.
    2. The Commission instructed the Bureau to issue publicly available 
Monitoring Reports that are based on information provided by the 
administrator of the universal service support mechanisms to the 
Commission relating to the determination and amounts of payments made 
and monies received with respect to the universal service support 
mechanisms. With this guidance, the Commission delegated to the Bureau 
discretion over the exact content and timing of the Monitoring Reports. 
This Public Notice describes a monitoring program that we have 
developed in consultation with the states and that will enable the 
public, the Commission, and other policy makers, to assess and evaluate 
the new universal service support mechanisms. We issue this Public 
Notice to seek comment, particularly from those states, industry 
participants, and other members of the public not actively involved in 
CC Docket 96-45, on the proposed monitoring program. We note that, with 
some exceptions described below, the data included in the proposed 
Monitoring Reports are obtained pursuant to existing information 
collections, and thus impose no new reporting requirements on carriers, 
states, or any person other than the universal service administrator.

I. Background

    3. In the 1996 Act, Congress adopted new section 254 of the 
Communications Act, as amended, and articulated a new statutory basis 
for federal universal service support mechanisms. Section 254 directs 
the Commission and states to establish support mechanisms to ensure the 
delivery of affordable telecommunications service to all Americans, 
including low-income consumers, eligible schools and libraries, and 
rural health care providers. The Commission, in the Universal Service 
Order, set forth a plan to meet all of the statutory requirements and 
to implement a universal service support system that will be 
sustainable over time.

II. Proposal

    4. The new monitoring program will document and assess three 
aspects of the new universal service support mechanisms: (1) the 
contribution of support to the universal service support mechanisms; 
(2) the disbursement of support through the explicit universal service 
support mechanisms; and, (3) various measures of the impacts of the 
universal service support mechanisms. With respect to contributions, we 
propose to receive and report data on the monies collected by the 
administrator and to analyze the revenue data on which those 
contributions are based. This information will provide one measure of 
the overall size of the universal service support mechanisms. 
Similarly, with respect to disbursements, we propose to receive and 
report data on the monies distributed by the administrator and to 
analyze the various data (concerning, for example, costs to provide 
service in high cost areas, participation in low-income assistance 
plans, and provision of services through the new schools and libraries 
and rural health care support mechanisms) obtained by the administrator 
in the course of making disbursements. Finally, we propose to collect 
and report data on a number of measures (e.g., rates, penetration, 
usage, quality of service, and infrastructure), as a means of 
evaluating the effectiveness and efficiency of the universal service 
support mechanisms.
    5. As a general matter, we seek comment on the proposals set forth 
in this Public Notice, including the organization, format, and content 
of individual sections of the Monitoring Report. In particular, we 
invite parties to address proposed additions to, or modifications of, 
sections included in the previous Monitoring Reports, as well as the 
proposed elimination of certain sections. We invite commenters to 
identify any additional information that they believe should be 
provided in the Monitoring Reports, and request that they explain why 
it would be in the public interest to add such information to the 
Monitoring Reports.
    6. As we implement the new Monitoring Reports, we note that the 
Commission has delegated to the Bureau the authority to administer the 
monitoring program. Thus, the Bureau may change the content or timing 
of the Monitoring Reports if it is necessary or desirable to do so. In 
order to allow parties to submit, or review, materials and comments 
concerning the monitoring program at any time, we

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have created a separate Bureau file number (CCB-IAD File No. 98-101) 
for all pleadings concerning the monitoring program.
    7. In addition, we seek comment on whether we should supplement the 
Monitoring Report data on federal mechanisms with corresponding data on 
state universal service mechanisms. One of the Commission's fundamental 
goals in the Universal Service Order was to ``create sustainable and 
harmonious federal and state methods of continuously fulfilling 
universal service goals'' in cooperation with the Universal Service 
Joint Board. If we were to include data on state universal service 
support mechanisms in the Monitoring Reports, they would present a more 
comprehensive picture of the impact of both federal and state universal 
service support mechanisms on the industry and customers, materially 
enhancing the usefulness of the monitoring program. We note, however, 
that the federal universal service mechanisms are designed to address 
that portion of the cost of providing telecommunications services that 
is attributable to interstate service. Accordingly, and in light of 
these universal service goals, we seek comment on whether it would be 
appropriate, useful, and feasible to include state data in the 
Monitoring Reports.
    8. Given the close relationship between the Commission's previous 
universal service support mechanisms and those new support mechanisms 
outlined in the Universal Service Order, we propose to adopt the 
structure and content of the past Monitoring Reports, i.e., those 
issued in CC Docket 87-339, with modifications described herein. The 
new Monitoring Reports, proposed in the Public Notice, contain eleven 
sections, each described in the Public Notice. To address certain new 
aspects of the universal service support mechanisms, we propose to add 
four sections to the Monitoring Report. These new sections would report 
data on: (1) contributions to the universal service support mechanisms 
and accompanying industry revenue information; (2) the new rural health 
care mechanism; (3) the new schools and libraries mechanism; and (4) 
quality of service.

III. Procedural Issues

    9. Procedures for Filing. Interested parties may file comments in 
CC Docket No. 96-45 not later than May 26, 1998. Reply comments may be 
filed not later than June 10, 1998. All filings should refer to the 
pleadings as Program to Monitor Impacts of Universal Service Support 
Mechanisms, CC Docket 96-45, CCB-IAD File No. 98-101. One original and 
four copies of all comments must be sent to Magalie Roman Salas, 
Secretary, Federal Communications Commission, 1919 M Street, NW., 
Washington, D.C. 20554. Two copies should also be sent to Ms. Terry 
Conway, Industry Analysis Division, Common Carrier Bureau, 2033 M 
Street, NW., Suite 500, Washington, D.C. 20554. Copies of documents 
filed with the Commission may be obtained from the International 
Transcription Service (ITS), 1231 20th Street, NW., Suite 140, 
Washington, D.C. 20036, (202) 857-3800. Documents are also available 
for review and copying at the Reference Center, Room 239, 1919 M 
Street, NW., Washington, D.C., Monday, from 9:45 a.m. to 4:30 p.m., and 
Tuesday through Friday from 9:00 a.m. to 4:30 p.m., (202) 418-0270.
    10. This proceeding is a non-restricted proceeding. See 47 CFR 
1.1200(a), 1.1206. Accordingly, ex parte presentations are permitted, 
provided that they are disclosed in conformance with the Commission's 
ex parte rules.
    11. Paperwork Reduction Act. We note that substantially all of the 
data included in the proposed Monitoring Reports is obtained pursuant 
to existing information collections that have previously been approved 
by the Office of Management and Budget (OMB), pursuant to the Paperwork 
Reduction Act of 1995, Public Law No. 104-13. We tentatively conclude 
that certain proposals in this Public Notice might be subject to 
approval by the OMB, pursuant to the Paperwork Reduction Act, since 
they might impose new or modified collection requirements. Our analysis 
indicates that the following proposals may require OMB approval: (1) 
any collection of voluntarily submitted data from states concerning 
state universal service mechanisms (See paragraph 9 of the Public 
Notice); (2) any expansion of the Commission's local rate survey (See 
paragraphs 37-38 of the Public Notice); and (3) collection of certain 
usage data (See paragraph 43-45 of the Public Notice). All other 
proposals associated with the program either require responses from 
fewer than ten parties or are continuations of requirements that 
already have OMB approval. We invite the general public to comment on 
the new or modified information collections. Comments should address: 
(a) whether the proposed collection of information is necessary for the 
proper performance of the functions of the Commission, including 
whether the information shall have practical utility; (b) the accuracy 
of the Commission's burden estimates; (c) ways to enhance the quality, 
utility, and clarity of the information collected; and (d) ways to 
minimize the burden of collection of information on respondents, 
including the use of automated collection techniques or other forms of 
information technology.

Federal Communications Commission.
Peyton L. Wynns,
Chief, Industry Analysis Division.
[FR Doc. 98-13562 Filed 5-20-98; 8:45 am]
BILLING CODE 6712-01-P