FCC staff denied three challenges to its decision to reject certain requests to waive a post-selection rural broadband experiment requirement to submit three years of audited financial statements by a specified deadline. The Wireline Bureau denied an application for review filed by Worldcall Interconnect and petitions for reconsideration filed by AirNorth Communications and Michael Donnell (doing business as San Joaquin Broadband), said consolidated Bureau orders Monday in docket 10-90. The bureau orders also dismissed as moot related petitions.

FCC staff issued an update in the peer review of consultant Mark Rysman's analysis of the business data service market, which was included in the Further NPRM launching the current BDS rulemaking. After reviewing a June 28 staff memorandum, University of Maryland economics professor Andrew Sweeting had "suggested estimating cluster-robust standard errors using a geographic area larger than the census block," said a Wireline Bureau public notice Monday in docket 16-143. The bureau released a revised staff memo addressing Sweeting's suggestion "by estimating the cluster-robust standard errors at the census tract and county levels."

VTCSecure's bid to boost direct sign-language support services received a mixed reaction in comments posted Wednesday and Thursday in FCC docket 10-51. Consumer groups and Gallaudet University generally supported and video relay service (VRS) providers opposed VTCSecure's waiver petition to allow providers of direct sign-language (SL) support services to access the telecom relay service (TRS) numbering directory (see 1607070003). The consumer groups "conditionally support" the VTCSecure request and "urge the Commission to (1) classify direct SL customer support service, as defined by Petitioner, as TRS before a provider of such service is permitted access to the TRS Directory and (2) require providers of direct SL customer support service to comply with consumer protection rules applicable to VRS providers with access to the TRS Numbering Directory," said Telecommunications for the Deaf and Hard of Hearing, plus the National Association of the Deaf, Cerebral Palsy and Deaf Organization, the National Association of State Agencies of the Deaf and Hard of Hearing and others. They said they weren't addressing VTCSecure's assertion its service meets the TRS definition. Gallaudet said it agreed with the petition's premise to enable and facilitate direct sign-language calling. "If done correctly, staffed by deaf individuals who have appropriate signing skills and experience with the culture that they are serving, providing direct sign language communications to registered users of [VRS] would constitute a huge step up over what sign language users currently experience in their communications with businesses and government entities when they have to go through a VRS interpreter," the university said. VRS providers resisted the petition. "Although the Providers recognize the benefits of direct sign-language customer-support services, expanding access to the Numbering Directory to non-VRS providers would create significant security and interoperability challenges that must be considered before doing so," said ASL Services Holdings (Global VRS), Convo Communications, CSDVRS, Purple Communications and Sorenson Communications. "These issues should be addressed in a comprehensive rulemaking proceeding which appropriately considers the technical, security, and cost issues of expanding access to the Numbering Directory -- not through a waiver that sets aside the current rules only for a single company."

ITTA said it backs aspects of an NTCA petition for FCC reconsideration of a USF order in March updating subsidy mechanisms for rate-of-return telcos (see 1605250068). ITTA lauded the commission for working with industry groups on the USF broadband overhaul and said it's "especially gratified" rural carriers were given the option of receiving support based on a broadband cost model. In "this spirit of ongoing partnership and collaboration," the midsize telco group backed "three discrete issues" raised by NTCA. "ITTA agrees with NTCA that the Commission should clarify its order to ensure a better understanding of where an unsubsidized competitor actually purports to serve before eliminating support in a census block," said its comments posted Tuesday in docket 10-90. ITTA also echoed NTCA's request that the FCC confirm that, where there is competitive overlap, rural incumbents can choose freely from among the agency's defined formulas for recovering disaggregated costs. And ITTA supported NTCA's call for commission reconsideration of a requirement to impute access recovery charges where carriers can show they "had a certain number of standalone broadband connections when the Connect America Fund -- Intercarrier Compensation (CAF ICC) support baseline was set."

AT&T alleged Great Lakes Communication violated Communications Act provisions by denying AT&T's long-distance business the benefits of direct connection and lower rates. GLC's refusal to give AT&T a direct connection arrangement "was an unjust and unreasonable practice in violation of section 201(b) of the Act," said an AT&T complaint, part of a 1,407-page FCC filing posted Wednesday in File No. EB-16-MD-001. AT&T said GLC is required under the rules to "benchmark" its rates and offer services that are functionally equivalent to those of another carrier, CenturyLink, which offers direct connection. GLC offered a comparable service but withdrew it in an amended tariff after the 2011 USF and intercarrier compensation overhaul order, said AT&T. It said direct connection "would dramatically reduce the charges assessed to AT&T" and other long-distance carriers and their customers for GLC's "access stimulation traffic." GLC violated Sections 203(c) and 201(b) of the Act "by billing for services that were contrary to the terms set forth" in GLC's revised tariff and the agency's rules, AT&T said. It said GLC may not recover expenses from long-distance carriers for its regulated interstate call termination services except via a valid tariff or an "express, negotiated contract." A U.S. District Court ruled in AT&T's favor, dismissing GLC's state law recovery claims, AT&T said. The company said it was filing the complaint pursuant to FCC staff instructions after the carrier and GLC disputed the significance of two District Court referrals to the agency. GLC outside counsel David Carter of Innovista Law called the complaint "an effort to relitigate some of the FCC policy decisions" from the 2011 order, "where AT&T lost some of these same arguments." He said the company will have more to say when it responds at the FCC.

The FCC teed up AT&T requests to halt three telecom services in its tech transition trials in wire centers serving Carbon Hill, Alabama, and Kings Point, Florida. Comments are due by Sept. 14 on AT&T's applications to discontinue three business telecom services: BellSouth Analog Voice Grade Private Line Services, BellSouth Program Audio Service and BellSouth Analog Video Service-TV-1, said a commission public notice in docket 13-5 listed in Tuesday's Daily Digest. AT&T originally "grandfathered" existing customers for the affected services, which were replaced by IP-based alternatives in new offers, but it recently said it doesn't have any customers and thus seeks to discontinue the services altogether.

FCC staff rejected challenges to the rural broadband experiment post-selection duties of parties whose bids were provisionally selected to receive funding. The FCC Wireline Bureau dismissed the petitions of Lake Region Electric Cooperative, Wichita Online and Halstad Telephone for waivers of a requirement to submit by a deadline acceptable bank letters that commit to issuing irrevocable stand-by letters of credit for amounts equal to their bid amounts, said consolidated orders in docket 10-90 listed in Tuesday's Daily Digest. The orders also rejected: a Halstad recon petition of a bureau order finding it in default on the requirement; a Wichita Online petition to waive a requirement to submit by a deadline proof of its designation as an eligible telecom carrier in areas covered by its bid; and a Lake Region recon petition of a bureau determination, in the Connect America Fund Phase II challenge process, that certain areas targeted by its bid already were served and thus ineligible for Phase II support.

USTelecom said its survey of smaller businesses showed cable is seen as an alternative for data networking, "which is analogous" to what the FCC defines as business data services (BDS). "Cable is widely perceived by business customers with 5 and 100 employees as a competitive alternative for their business internet access and data needs," said a filing Monday by USTelecom in docket 16-143. The filing included more methodological information about the USTelecom survey, in response to questions from FCC staff in a recent meeting. The survey asked representatives of businesses with five to 100 employees about their use of business internet access service and data networking services, "which correspond to services termed by the Commission as 'best efforts' service" and BDS.

FCC staff tweaked a few model-based Connect America Fund support offers it made to rate-of-return telcos Aug. 3 (see 1608030049). A Wireline Bureau public notice Monday in docket 10-90 said it made "minor technical corrections" in reports it was updating: "Specifically, we show a revised support amount for Fremont Telecom (Fremont) and correct the short names previously assigned to seven study areas. No other changes were made and all other companies’ support amounts remain the same."

FCC staff cleared Global Connection and Phone Club Lifeline wireline compliance plans that are one condition for them to continue receiving USF low-income support. Global Connection and Phone Club provide resold Lifeline service, but the commission in 2015 amended its rules to eliminate Lifeline reimbursement for wholesale service provided to resellers, leaving only eligible telecom carriers providing service directly to consumers able to seek support, said a Wireline Bureau public notice in docket 09-197 listed in Thursday's Daily Digest. Effective Monday, non-ETC resellers no longer will be eligible for reimbursement and must obtain approval of a compliance plan to obtain ETC designations from state commissions or the FCC, the PN said. The compliance plan approval clears the way for Global Connection and Phone Club to seek state ETC designations, it said.