Telecommunications Reports presents . . . . . TR's State NewsWire
February 1, 2001 P.M. Edition

STATES
WASHINGTON -- WUTC sets line sharing, OSS transition, collocation prices

CONNECTICUT -- DPUC tells WorldCom to change collect call notification
policy
MICHIGAN -- Gov. Engler makes high technology a priority
NORTH DAKOTA -- House passes bill to adopt UETA
MISSISSIPPI -- UETA bill set to reach Senate floor
NEBRASKA -- Judiciary Committee to consider cellphone bill
MICHIGAN -- Legislation would prohibit telemarketers from blocking
Caller ID
HAWAII -- Bill would prohibit 'cybersquatting'
TENNESSEE -- Filing fees for telephone cooperatives would rise under
bill
NEW YORK -- Bill would require written notice before terminating service
contracts
UTAH -- PSC to hold technical conference on number conservation
WASHINGTON -- WUTC sets workshop on customer notice rules
FLORIDA -- New '386' area code to take effect soon
NEW YORK -- Time Warner Cable brings VoIP test to Rochester

SECTION 251/252
WASHINGTON
WUTC sets line sharing, OSS transition, collocation prices

The Utilities and Transportation Commission has set a $4 flat fee for
use of the high-frequency portion of the loops in operating areas
service by Qwest Corp. and Verizon Northwest, Inc.  The commission also
determined that Verizon may recover up to $1.98 million and Qwest may
recover up to $5.5 million of their operation support system (OSS)
transition costs.  In addition, the commission addressed several
collocation elements in its order, which was issued yesterday.

This decision addresses Part A of a second generic proceeding to
determine costs and prices for network elements.  During the first
generic proceeding, the commission set the costs and prices for
unbundled network elements (UNEs), including the unbundled loop.  The
first proceeding, which was split into three phases, set costs and
established deaveraged prices for interconnection and UNEs.  The second
proceeding addresses network elements not included in the first
proceeding.

The WUTC rejected the proposal espoused by many of the competitive local
exchange carriers (CLECs) for an exemption from making any contribution
to the recurring costs of the loop.  Instead, the WUTC set a $4 flat fee
for line sharing.  The commission also said it was premature to
determine whether a non-zero price for the high frequency spectrum UNE
would lead to overearning for Qwest or Verizon.

When the commission examined cost recovery issues related to the
modifications Qwest and Verizon made to their OSSs to support a
competitive environment, it determined that Verizon's proposed rates
were just and reasonable.  Verizon's nonrecurring charge for OSS
transition cost recovery is $3.27 per local service request, and its
nonrecurring charge for OSS transaction costs recovery is $3.76 per
local service request.

The WUTC rejected Qwest's proposed OSS transition recovery costs and
ordered the company to charge OSS transition and transaction rates equal
to Verizon's approved rates.  The commission noted that Qwest's proposed
costs were too high--more than twice the level reported by
Verizon--because the company doesn't perform its own OSS modifications.
Qwest relies on Telcordia Technologies, Inc.

The commission allowed Verizon to collect a maximum of $1.9 million and
allowed Qwest to collect a maximum of $5.5 million for OSS transition
costs.  Multiplying Verizon's proposed collection derived the value
assigned to Qwest's OSS recovery by the approximate ratio of Qwest's
access to Verizon's access lines within the state.

The commission also took up a variety of collocation issues.  Verizon
doesn't have to continue offering its Verizon-owned splitter option
beyond Dec. 15, 2000, on lines not currently using the company's
splitters.  The commission found Qwest's assumption that the average
cable length is 100 feet to be reasonable.  It approved Verizon's
estimates for planning and engineering time.  Other collocation issues
addressed in the order include Verizon's costs for cage enclosure and
building modification, efficient splitter configuration, Verizon's
jumper costs, and Verizon's environmental conditioning.

Hearings for Part B of this proceeding are scheduled to begin March 26.
The order is available at
http://www.wutc.wa.gov/webdocs.nsf/6f30f546379903ad8825652a005e07f2/d0c1a5d5db
085e78882569e50082ac29!OpenDocument.
(Docket no. UT-003013, In the Matter of the Continued Costing and
Pricing of Unbundled Network Elements, Transport, and Termination)

CUSTOMER-AFFECTING
CONNECTICUT
DPUC tells WorldCom to change collect call notification policy

The Department of Public Utility Control has ordered WorldCom, Inc., to
provide advance notice before imposing a collect call blocks on
customers' telephone numbers.  The DPUC's decision adopts a draft order
released last month.  (1/17/01 p.m.)

In March 1999 the DPUC launched an investigation into WorldCom's
blocking procedures in response to complaints that the company had
prevented the completion of collect calls from prison facilities.
Families of inmates said WorldCom didn't notify them that collect calls
would be blocked, even though they always paid their collect call
charges.  Under the company's current tariffs, WorldCom can block
collect calls from correctional facilities without notice.

WorldCom places collect call blocks to prevent "high-toll fraud
situations."  The company identifies end users with unusually high
numbers of collect calls.  It then assesses the end user's payment
history and whether the end user has verified that the calls are
legitimate.  If WorldCom is unable to verify the legitimacy of the
calls, it places a block on the end user's line.

The department determined that WorldCom's procedures are reasonable for
most customers but concluded that the company needs to make more of an
effort to notify a "small segment of the end user population" that is
being maligned by the company's procedures.

The department, however, removed language from last month's draft that
said the imposition of a collect call block constituted "a form of
termination of service."  The department instead simply ordered WorldCom
to revise its notification procedure to "ensure that every end user
subject to the imposition of collect call blocks on intrastate services
shall be provided advance notification."

If WorldCom can't reach a customer by phone and can't provide written
notice by overnight mail, it must use a "live agent" to find the
person.  WorldCom can initiate a collect call block without actual
notice only after trying the options for three days.

The department gave WorldCom until Feb. 25 to change its procedures and
directed the company to submit a written copy of the new procedures by
Feb. 28.  WorldCom also must file status reports each month through
June.  (Docket No. 99-03-37, DPUC Review of MCI WorldCom, Inc.'s Collect
Calling Notification and Termination Policies)

STATE & LOCAL GOVERNMENT
MICHIGAN
Gov. Engler makes high technology a priority

One of the initiatives Gov. John Engler (R.) outlined in his State of
the State address is ensuring "unfettered access to the information
economy."  During his speech yesterday, Engler said local governments
shouldn't be allowed "to erect stoplights and expensive tollbooths on
the information highway."

The governor said he has asked the Public Service Commission, the
Michigan Economic Development Corp., and the e-Michigan office to
recommend immediate reforms.  The Economic Development Corp. assists
businesses seeking to expand or relocate within the state, and
e-Michigan oversees the government's initiative to provide information
electronically.

Engler said, "We need to eliminate excessive access fees.  We need to
curb lengthy negotiation.  We need to curtail costly delays.  The public
interest demands that we break the grip of these broadband bandits."

INTERNET
NORTH DAKOTA
House passes bill to adopt UETA

The House has passed by a 95-3 vote a bill that would create a Uniform
Electronic Transactions Act to provide a legal structure for transacting
business over electronic media.  (1/2/01 p.m.)  HB 1106 has been
referred to the Senate Judiciary Committee.

MISSISSIPPI
UETA bill set to reach Senate floor

The Senate Committee on Appropriations has passed SB 2678 to enact the
Uniform Electronic Transactions Act (UETA), clearing the way for the
bill to proceed to the full Senate.  Earlier this week the Senate
Committee on Fees, Salaries, and Administration also approved the
measure.  (1/30/01 p.m.)

The bill, introduced by Sen. Neely C. Carlton (D., District 22), aims to
facilitate e-commerce by giving electronic records and signatures the
same legal effect as their pen and paper counterparts.

WIRELESS
NEBRASKA
Judiciary Committee to consider cellphone bill

The Judiciary Committee has scheduled a hearing for tomorrow to consider
a measure intended to reduce the number of traffic caused by drivers
using wireless phones.  LB 42 would create a "rebuttable presumption of
negligence" if a driver were in a traffic accident while using a
wireless phone.  Sen. David Landis (I., District 46) introduced the
measure.

The committee is scheduled to meet at 1 p.m. in Room 1113 of the State
Capitol.  Because the committee is scheduled to hear six other bills
tomorrow, it's difficult to predict what time LB 42 will be addressed, a
legislative staff member told TR.  It's "possible but not probable" that
the committee will vote on the measure tomorrow, the staff member said.

CUSTOMER-AFFECTING
MICHIGAN
Legislation would prohibit telemarketers from blocking Caller ID

Rep. Chris Kolb (D., District 53) has introduced HB 4126 to prohibit
telemarketers from blocking residential telephone subscribers' Caller
ID.  HB 4126 would prohibit local exchange and interexchange carriers
from providing any network element or service to a telemarketer that
would block or otherwise interfere with a residential subscriber's
Caller ID.

The measure has been referred to the Committee on Energy and Technology.

INTERNET
HAWAII
Bill would prohibit 'cybersquatting'

Rep. Avery B. Chumbley (D., District 6) has introduced SB 1276 to
prohibit "cybersquatters" from registering Internet domain names that
are widely recognized trademarks.  The measure would prohibit profiting
by selling the domain name to the trademark owner.  SB 1276 would add a
new cybersquatting section to chapter 482, Hawaii Revised Statutes,
which pertains to trademark protection.

SB 1276 would make it illegal to register in bad faith a domain name
that is the same as or "confusingly similar" to a mark that is already
famous at the time of registration.  The bill would allow courts to
consider several factors in determining bad faith, including the degree
to which the domain name reflected the name of the person who registered
it.  Courts also could consider whether the person who registered the
domain had used the name previously in offering legitimate goods and
services.

Individuals could bring a civil action against alleged violators of SB
1276 seeking several types of relief, including compensatory damages,
punitive damages, and injunctive relief, which would force the offender
to relinquish the domain.  Instead of seeking actual damages and
profits, the individual filing the suit could choose to receive
statutory damages of between $2,500 and $100,000 per domain name.

SB 1276 has been referred to the Economic Development and Technology
Committee, the Commerce, Consumer Protection, and Housing Committee, and
the Judiciary Committee.  Its text is available at
http://www.capitol.hawaii.gov/sessioncurrent/bills/sb1276_.htm.

FUTURE OF REGULATION
TENNESSEE
Filing fees for telephone cooperatives would rise under bill

Rep. Frank Buck (D., District 40) has introduced HB 355 to increase the
fees telephone cooperatives pay to file certain documents with the
secretary of state.  HB 355 would boost the amount telephone
cooperatives pay to file articles of incorporation from $25 to $30.  The
fee for filing articles of dissolution would jump from $15 to $20, and
the filing fee for a certificate of change of principal office would
increase from $5 to $10.

The bill's text is available at
http://www.legislature.state.tn.us/bills/currentga/Bill/HB0355.pdf.

WIRELESS
NEW YORK
Bill would require written notice before terminating service contracts

Sen. Charles J. Fuschillo (R., District 8) has introduced SB 880 to
require mobile telephone carriers to provide written notice of the
termination date of long-term customer contracts.  The notice would have
to be provided at least 45 days before the contract's termination date.

The measure is intended to help customers whose mobile service contracts
have a provision allowing the provider to continue service after a
contract expires for another term at a new rate if the customer fails to
request termination.  Fuschillo hopes written notification will enable
consumers to "shop for a plan that better fits their needs, or to shop
for more up-to-date equipment or type of service."

The bill has been referred to Consumer Protection Committee.

NETWORK MANAGEMENT
UTAH
PSC to hold technical conference on number conservation

The Public Service Commission has scheduled a Feb. 22 technical
conference to review the resources available to meet its numbering needs
for the relief plan it ordered for the "801" number planning area
(NPA).  In August the commission ordered a number pooling trial to take
place in the 801 NPA.  (8/11/00 p.m.)

The issues discussed at the technical conference will include
conservation measures being used, measures that may need modification,
and measures that may need to be implemented to ensure efficient use of
the existing numbering resources.  (Docket no. 99-999-04)

CUSTOMER-AFFECTING
WASHINGTON
WUTC sets workshop on customer notice rules

The Utilities and Transportation Commission has scheduled a Feb. 28
workshop to discuss its customer notice rules.  The commission has
proposed moving the rules from the tariff rule to the industry-specific
rules.  During the workshop, participants will have the opportunity to
comment on the placement of the rules and their content.

Comments are due Feb. 20.  (Docket no. U-991301, Utility
General-Tariffs, Chapter 480-80 WAC)

NETWORK MANAGEMENT
FLORIDA
New '386' area code to take effect soon

Florida's new "386" area code will take effect Feb. 15 in several
counties that were split from the "904" area code last fall, the Public
Service Commission has announced.  The PSC voted to split the 904
numbering plan area in September 2000, and North American Numbering Plan
administrator NeuStar, Inc., assigned the 386 area code in November
2000.  (11/28/00 p.m.)

When the 386 area code takes effect, permissive dialing will begin for
Columbia, Flagler, Hamilton, Lafayette, Suwannee, and Union counties and
parts of Volusia, Putnam, Alachua, and Gilchrist counties.  Mandatory
dialing is scheduled to begin Nov. 5.

ADVANCED SERVICES
NEW YORK
Time Warner Cable brings VoIP test to Rochester

Time Warner Cable has expanded its trial of local Internet telephone
service to the Rochester, N.Y., area from the initial test site in
Portland, Maine.  The service, which is being marketed to Time Warner
Cable's Internet service provider (ISP) customers as an additional
offering, uses voice over Internet protocol (VoIP) technology.  The
Rochester test will include up to 1000 of the company's ISP customers in
part of Monroe County, N.Y.

Time Warner Cable said its Portland test has shown "excellent customer
acceptance," adding that market research in New York indicates that
between 40% and 50% of its ISP customers would subscribe to the VoIP
service.


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