roundtable: Hollings-Danforth (fwd)

roundtable: Hollings-Danforth (fwd)

Hollings-Danforth (fwd)

James Love (love@essential.org)
Mon, 7 Feb 1994 13:30:57 -0500 (EST) 

Date: Mon, 7 Feb 1994 13:30:57 -0500 (EST)
From: James Love <love@essential.org>
Subject: Hollings-Danforth (fwd)
To: roundtable@cni.org
Message-Id: <Pine.3.85.9402071356.E9368-0100000@essential>


---------- Forwarded message ----------
Date: Mon, 7 Feb 1994 12:19:20 -0600
From:MARK.A.JAMISON@sprint.sprint.com
To: Multiple recipients of list <telecomreg@relay.adp.wisc.edu>
Subject: Hollings-Danforth 

Following is a summary of the Hollings-Danforth bill.  This summary was 
prepared by the National Association of Regulatory Utility Commissioners.
Mark Jamison <mark.a.jamison@sprint.sprint.com>


                         Summary of Hollings' Bill
                      The Communications Act of 1994


Title I - Protection and Advancement of Universal Service

     Requires every common carrier engaged in intrastate,
interstate or foreign communications by wire or radio to
contribute to the preservation and advancement of universal
service.  Within one year of enactment, requires the FCC to set
forth minimum guidelines for the definition of universal service
after receiving comment from the states.  Within two years after
enactment, the FCC shall prescribe and implement regulations to
provide that a charge be collected to ensure that  providers of
interstate telecommunications make a contribution to the
protection and advancement of universal service, such funds shall
be distributed to the states.  States have the primary
responsibility to define and ensure universal service goals are
met.  If a State has not implemented procedures to carry out the
objectives of the above within 2 years, or at any time thereafter
fails to meet universal service obligations, the FCC shall assume
primary responsibility.


Title II - Telecommunications Investment

     The FCC make take such action as necessary if state
regulatory agencies fail to ensure that rural and noncompetitive
markets fail to have access to high quality, interoperable
telecommunications network facilities and capabilities.  The FCC
has authority to preempt state regulations preventing full
effectuation of this goal.  States are encouraged to implement
regulatory incentives to promote infrastructure development.
        The FCC shall ensure that interconnection and
interoperability standards are established.  The FCC shall
prescribe regulations that permit joint coordinated network
planning, design and cooperative implementation among all
telecommunications carriers in the provision of public switched
network infrastructure and services.  The legislation allows
infrastructure sharing arrangements between or among
telecommunications carriers.
     The FCC and the states shall ensure telecommunications
advances are accessible to individuals with disabilities.
     The FCC shall develop cost allocation regulations consistent
with the need to protect universal service to allocate a LEC's
costs of deploying broadband facilities between local exchange
service and competitive services.


Title III - Regulatory Reform

     When the universal service provisions of this legislation
have been implemented, or two years after the enactment of this
section, which ever comes first, no state may prohibit or
effectively prohibit the ability of any entity to provide
interstate or intrastate telecommunications services.  Allows
electric, gas, water or steam utilities to provide services
subject to the regulatory safeguards imposed by an appropriate
regulatory agency.  
     Telecommunications carriers shall be deemed common carriers. 
The FCC shall prescribe regulations to require interconnection
and nondiscriminatory access to facilities and information
necessary to the transmission and routing of any
telecommunications service, poles, ducts, conduits and rights of
way, network functions on an unbundled basis.
     The FCC and states shall ensure that customers have the
information necessary to make informed choices among providers.
     The FCC shall prescribe regulations for number portability
     The FCC may forbear or streamline provisions for providers
who do not have market power under certain conditions.
     The FCC shall and the states are encouraged to permit
pricing flexibility in services or geographic areas that are
found to be competitive, while preserving universal service.


Title IV - MFJ Issues

      Subtitle A - Manufacturing - Allows RBOC entry into
manufacturing through a separate subsidiary.  Many safeguards are
listed including, FCC and state access to the books, records, and
accounts.

      Subtitle B - Electronic Publishing and Burglar Alarm
Services - The FCC has authority to allow RBOC entry into the
alarm business after six years and satisfaction of certain
criteria.  A RBOC separate affiliate may engage in electronic
publishing subject to certain requirements.  Provisions relating
to this section shall sunset on June 30, 2000.

      Subtitle C - Information Services - RBOC's and their
subsidiaries offering a gateway service must offer such service
to others on non-discriminatory terms and conditions.  The FCC
shall prescribe cost allocation regulations to prevent
cross-subsidization.  States are prohibited from regulating
rates, terms or conditions of offering information services.

      Subtitle D - Long Distance - Allows RBOCs to engage in
interLATA service as provided by this section.  RBOCs must
petition the FCC for such authority.  For IN-Market Services, the
FCC will hold a public hearing on the petition and full
compliance with regulations required by section 230 and factual
evidence submitted by the state that shows that actual and
demonstrable competition exists.  For Out of Market Services the
FCC shall conduct a public hearing and a showing by the
petitioner that there is no substantial possibility that the Bell
operating company or its affiliates could use market power in the
market it seeks to enter.  A separate subsidiary is required for
interLATA services


Title V - Regulatory Parity between Telephone and Cable

     Prohibits LECs from purchasing more than 5% financial
interest in any cable system and entering into any joint venture
or partnership.  Any video programming must be provided by a
separate subsidiary.  Cross-subsidization of video programming
operations is prohibited.  Upon showing that a LEC does not have
market power, the FCC may exempt a carrier from some provisions
of this section.
     Cable operators offering telephone services must do so
through a separate subsidiary.  Cable operators may not purchase
more than a 5% financial interest in a telephone company.  Cable
operators may not subsidized its telecommunications operations.


Title VI - Customer Control of Information

     A LEC may not, except by affirmative request of the customer
to which the information relates, use CPNI for a number of
reasons.  Aggregate CPNI information must be available upon
reasonable request in a nondiscriminatory fashion.  LECs with
less than 1 million lines may be exempted from CPNI requirements.
     ANI services must be available under a contract or tariff
that comply with the
requirements of this section.


Title VII - Media Diversity

     Within 1 year after date of enactment, the FCC shall after
notice and comment, modify or remove national and local ownership
rules on radio and television broadcast stations as are necessary
to ensure that broadcasters are able to compete fairly with other
media providers while ensuring that the public receives
information from a diversity of media sources.

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