ITTA, USTelecom Petition FCC for Additional BDS Streamlining in Rural Areas
ITTA and USTelecom asked the FCC to ease business data service regulations for some rural telcos by allowing them to opt into recently adopted relief for price-cap carriers. "Rate-of-return carriers that receive universal service fund ('USF') support based on theoretical…
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cost models (termed 'model-based rate-of-return carriers) must comply with legacy regulation only for their BDS offerings," said a petition for rulemaking Thursday. "Costs of such rate-of-return regulations for these carriers now outweigh the benefits of the regulation." The petition "requests that model-based rate-of-return carriers be permitted to opt into existing price cap regulation for their provision of BDS, subject to certain conditions. ... Continued compliance with rate-[of]-return-based rate regulation, including tariffing, tariff review plans, cost studies, and associated requirements, entails significant costs that are difficult for model-based rate-of-return carriers to recover in the competitive marketplace."