Goto Section: 51.907 | 51.911 | Table of Contents
FCC 51.909
Revised as of October 2, 2015
Goto Year:2014 |
2016
§ 51.909 Transition of rate-of-return carrier access charges.
(a) Notwithstanding any other provision of the Commission's rules, on
December 29, 2011, a Rate-of-Return Carrier shall:
(1) Cap the rates for all rate elements for services contained in the
definitions of End Office Access Service, Tandem Switched Transport Access
Service, and Dedicated Transport Access Service, as well as all other
interstate switched access rate elements, in its interstate switched access
tariffs at the rate that was in effect on the December 29, 2011; and
(2) Cap, in accordance with § 51.505(b)(2), the rates for rate all elements
in its intrastate switched access tariffs associated with the provision of
terminating End Office Access Service and terminating Tandem-Switched
Transport Access Service at the rates that were in effect on the December
29, 2011,
(i) Using the terminating rates if specifically identified; or
(ii) Using the rate for the applicable rate element if the tariff does not
distinguish between originating and terminating.
(3) Except as provided in paragraphs (a)(6) and (b)(4) of this section,
nothing in this section obligates or allows a Rate-of-Return Carrier that
has intrastate rates lower than its functionally equivalent interstate rates
to make any intrastate tariff filing or intrastate tariff revisions raising
such rates.
(4) Notwithstanding the requirements of paragraph (a)(1) of this section, if
a Rate-of-Return Carrier enters or exits the National Exchange Carrier
Association (Association), as defined in § 69.2(d) of this chapter,
traffic-sensitive tariff pursuant to the provisions of § 69.3(e)(6) of this
chapter, the Association shall adjust its switched access rate caps
referenced in paragraph (a)(1) of this section.
(i) For each entering Rate-of-Return Carrier, the Association shall:
(A) Determine each entering Rate-of-Return Carrier's interstate switched
access revenues for the preceding calendar year;
(B) Determine the revenues that would have been realized by the entering
Rate-of-Return Carrier in the preceding calendar year if it had used the
Association's switched access rates (employing the rates for the appropriate
bands) as of December 31 of the preceding year and the entering
Rate-of-Return Carrier's switched access demand used to determine switched
access revenues under paragraph (a)(4)(i)(A) of this section; and
(C) Subtract the sum of the revenues determined pursuant to paragraph
(a)(4)(i)(B) of this section from the sum of the revenues determined
pursuant to paragraph (a)(4)(i)(A) of this section.
(ii) The Association shall determine the amount by which each exiting
Rate-of-Return Carrier is a net contributor or net recipient to or from the
switched access segment of the Association pool as follows:
(A) The Association shall calculate the difference between each exiting
Rate-of-Return Carrier's 2011-2012 tariff year projected interstate switched
access revenues excluding Local Switching Support and the Rate-of-Return
Carrier's projected switched access pool settlements excluding Local
Switching Support for the same period with a net contribution amount being
treated as a positive amount and a net recipient amount being treated as a
negative amount. The Association shall divide the calculated difference by
the Rate-of-Return Carrier's 2011-2012 tariff year projected interstate
switched access revenues excluding Local Switching Support to produce a
percent net contribution or net receipt factor.
(B) The Association shall multiply the factor calculated in paragraph
(a)(4)(ii)(A) of this section by the Rate-of-Return Carrier's switched
access revenues for the preceding calendar year to yield the amount of the
Rate-of-Return Carrier's net contribution or net receipts for the calendar
year.
(iii) To determine the Association's adjusted switched access rate caps, the
Association shall:
(A) Add the amounts calculated under paragraphs (a)(4)(i) and (a)(4)(ii) of
this section;
(B) Divide the amount determined in paragraph (a)(4)(iii)(A) of this section
by the preceding year's switched access revenues of the Rate-of-Return
Carriers that will participate in the Association traffic-sensitive tariff
for the next annual tariff period;
(C) The Association shall proportionately adjust its June 30 switched access
rate caps by the percentage amount determined in paragraph (a)(4)(iii)(B) of
this section.
(iv) The interstate switched access rate caps determined pursuant to
paragraph (a)(4)(iii)(C) of this section shall be the new capped interstate
switched access rates for purposes of § 51.909(a). The Association shall
provide support in its annual access tariff filing to justify the revised
interstate switched access rate caps, the Access Recovery Charges that will
be assessed, and the amount of Connect America Fund ICC support each carrier
will be eligible to receive.
(5) A Rate-of-Return Carrier exiting the Association traffic-sensitive
tariff pursuant to § 69.3(e)(6) of this chapter must establish new switched
access rate caps as follows:
(i) The Rate-of-Return Carrier shall multiply the factor determined in
paragraph (a)(4)(ii)(A) of this section by negative one and then
proportionately adjust the Association's capped switched access rates as of
the date preceding the effective date of the exiting Rate-of-Return
Carrier's next annual tariff filing by this percentage. A Rate-of-Return
Carrier that was a net contributor to the pool will have rate caps that are
lower than the Association's switched access rate caps, while a net
recipient will have switched access rate caps that are higher than the
Association's switched access rate caps;
(ii) The interstate switched access rate caps determined pursuant to
paragraph (a)(5)(i) of this section shall be the new capped interstate
switched access rates of the exiting Rate-of-Return Carrier for purposes of
§ 51.909(a). An exiting Rate-of-Return Carrier shall provide support in its
annual access tariff filing to justify the revised interstate switched
access rate caps, the Access Recovery Charges that will be assessed, and the
amount of Connect America Fund ICC support the carrier will be eligible to
receive.
(6) If the Association revises its interstate switched access rate caps
pursuant to paragraph (a)(4) of this section, each Rate-of-Return Carrier
participating in the upcoming annual Association traffic-sensitive tariff
shall:
(i) Revise any of its intrastate switched access rates that would have
reached parity with its interstate switched access rates in 2013 to parity
with the revised interstate switched access rate levels;
(ii) The Association shall provide Rate-of-Return Carriers that are
participating in the Association traffic-sensitive pool with notice of any
revisions the Association proposes under paragraph (a)(4) of this section no
later than May 1.
(b) Step 1. Beginning July 1, 2012, notwithstanding any other provision of
the Commission's rules:
(1) Each Rate-of-Return Carrier shall file intrastate access tariff
provisions, in accordance with § 51.505(b)(2), that set forth the rates
applicable to Transitional Intrastate Access Service in each state in which
it provides Transitional Intrastate Access Service.
(2) Each Rate-of-Return Carrier shall establish the rates for Transitional
Intrastate Access Service using the following methodology:
(i) Calculate total revenue from Transitional Intrastate Access Service at
the carrier's interstate access rates in effect on December 29, 2011, using
Fiscal Year 2011 intrastate switched access demand for each rate element.
(ii) Calculate total revenue from Transitional Intrastate Access Service at
the carrier's intrastate access rates in effect on December 29, 2011, using
Fiscal Year 2011 intrastate switched access demand for each rate element.
(iii) Calculate the Step 1 Access Revenue Reduction. The Step 1 Access
Revenue Reduction is equal to one-half of the difference between the amount
calculated in (b)(2)(i) of this section and the amount calculated in
(b)(2)(ii) of this section.
(iv) A Rate-of-Return Carrier may elect to establish rates for Transitional
Intrastate Access Service using its intrastate access rate structure.
Carriers using this option shall establish rates for Transitional Intrastate
Access Service such that Transitional Intrastate Access Service revenue at
the proposed rates is no greater than Transitional Intrastate Access Service
revenue at the intrastate rates in effect as of December 29, 2011 less the
Step 1 Access Revenue Reduction, using Fiscal Year 2011 intrastate switched
access demand. Carriers electing to establish rates for Transitional
Intrastate Access Service in this manner shall notify the appropriate state
regulatory authority of their election in the filing required by
§ 51.907(b)(1).
(v) A Rate-of-Return Carrier may elect to apply its interstate access rate
structure and interstate rates to Transitional Intrastate Access Service. In
addition to applicable interstate access rates, the carrier may, between
July 1, 2012 and July 1, 2013, assess a transitional per-minute charge on
Transitional Intrastate Access Service end office switching minutes
(previously billed as intrastate access). The transitional per-minute charge
shall be no greater than the Step 1 Access Revenue Reduction divided by
Fiscal Year 2011 Transitional Intrastate Access Service end office switching
minutes. Carriers electing to establish rates for Transitional Intrastate
Access Service in this manner shall notify the appropriate state regulatory
authority of their election in the filing required by § 51.907(b)(1).
(3) Except as provided in paragraph (b)(4) of this section, nothing in this
section obligates or allows a Rate-of-Return carrier that has intrastate
rates lower than its functionally equivalent interstate rates to make any
intrastate tariff filing or intrastate tariff revisions raising such rates.
(4) If a Rate-of-Return Carrier must make an intrastate switched access rate
reduction pursuant to paragraph (b)(2) of this section, and that
Rate-of-Return Carrier has an intrastate rate for a rate element that is
below the comparable interstate rate for that element, the Rate-of-Return
Carrier shall:
(i) Increase the rate for any intrastate rate element that is below the
comparable interstate rate for that element to the interstate rate no later
than July 1, 2013;
(ii) Include any increases made pursuant to paragraph (b)(4)(i) of this
section in the calculation of its eligible recovery for 2012.
(c) Step 2. Beginning July 1, 2013, notwithstanding any other provision of
the Commission's rules:
(1) Transitional Intrastate Access Service rates shall be no higher than the
Rate-of-Return Carrier's interstate Terminating End Office Access Service,
Terminating Tandem-Switched Transport Access Service, and Originating and
Terminating Dedicated Transport Access Service rates and subject to the same
rate structure and all subsequent rate and rate structure modifications.
Except as provided in paragraph (c)(2) of this section, nothing in this
section obligates or allows a Rate-of-Return Carrier that has intrastate
rates lower than its functionally equivalent interstate rates to make any
intrastate tariff filing or intrastate tariff revisions to increase such
rates.
(2) If a Rate-of-Return Carrier made an intrastate switched access rate
reduction in 2012 pursuant to paragraph (b)(2) of this section, and that
Rate-of-Return Carrier has an intrastate rate for a rate element that is
below the comparable interstate rate for that element, the Rate-of-Return
Carrier shall:
(i) Increase any intrastate rate element that is below the comparable
interstate rate to the interstate rate by July 1, 2013; and
(ii) Include any increases made pursuant to paragraph (c)(2)(i) of this
section in the calculation of its eligible recovery for 2013.
(d) Step 3. Beginning July 1, 2014, notwithstanding any other provision of
the Commission's rules:
(1) Notwithstanding the rate structure rules set forth in § 69.106 of this
chapter or anything else in the Commission's rules, a Rate-of-Return Carrier
shall establish separate originating and terminating interstate and
intrastate rate elements for all components within interstate End Office
Access Service. For fixed charges, the Rate-of-Return Carrier shall divide
the amount based on relative originating and terminating end office
switching minutes. If sufficient originating and terminating end office
switching minute data is not available, the carrier shall divide such
charges equally between originating and terminating elements.
(2) Nothing in this Step shall affect Tandem-Switched Transport Access
Service or Dedicated Transport Access Service.
(3) Each Rate-of-Return Carrier shall establish rates for interstate and
intrastate terminating End Office Access Service using the following
methodology:
(i) Each Rate-of-Return Carrier shall calculate the 2011 Baseline Composite
Terminating End Office Access Rate. The 2011 Baseline Composite Terminating
End Office Access Rate means the Composite Terminating End Office Access
Rate calculated using Fiscal Year 2011 interstate demand and the interstate
End Office Access Service rates at the levels in effect on December 29,
2011.
(ii) Each Rate-of-Return Carrier shall calculate its 2014 Target Composite
Terminating End Office Access Rate. The 2014 Target Composite Terminating
End Office Access Rate means $0.005 per minute plus two-thirds of any
difference between the 2011 Baseline Composite Terminating End Office Access
Rate and $0.005 per minute.
(iii) Beginning July 1, 2014, no Rate-of-Return Carrier's interstate
Composite Terminating End Office Access Rate shall exceed its 2014 Target
Composite Terminating End Office Access Rate. A rate-of-return carrier shall
determine compliance by calculating interstate Composite Terminating End
Office Access Rates using the relevant projected interstate demand for the
tariff period multiplied by the respective interstate rates as of July 1,
2014, and then dividing by the projected interstate terminating end office
local switching demand for the tariff period. A rate-of-return carrier's
intrastate terminating end office access rates may not exceed the comparable
interstate terminating end office access rates. In the alternative, any
Rate-of-Return Carrier may elect to implement a single per minute rate
element for both interstate and intrastate terminating End Office Access
Service no greater than the 2014 Target Composite Terminating End Office
Access Rate if its intrastate terminating end office access rates would be
at rate parity with its interstate terminating end office access rates.
(4) Nothing in this section obligates or allows a Rate-of-Return Carrier
that has intrastate rates lower than its functionally equivalent interstate
rates to make any intrastate tariff filing or intrastate tariff revisions
raising such rates.
(e) Step 4. Beginning July 1, 2015, notwithstanding any other provision of
the Commission's rules:
(1) Each Rate-of-Return Carrier shall establish rates for interstate and
intrastate terminating End Office Access Service using the following
methodology:
(i) Each Rate-of-Return Carrier shall calculate its 2015 Target Composite
Terminating End Office Access Rate. The 2015 Target Composite Terminating
End Office Access Rate means $0.005 per minute plus one-third of any
difference between the 2011 Baseline Composite Terminating End Office Access
Rate and $0.005 per minute.
(ii) Beginning July 1, 2015, no Rate-of-Return Carrier's interstate
Composite Terminating End Office Access Rate shall exceed its 2015 Target
Composite Terminating End Office Access Rate. A rate-of-return carrier shall
determine compliance by calculating interstate Composite Terminating End
Office Access Rates using the relevant projected interstate demand for the
tariff period multiplied by the respective interstate rates as of July 1,
2015, and then dividing by the projected interstate terminating end office
local switching demand for the tariff period. A rate-of-return carrier's
intrastate terminating end office access rates may not exceed the comparable
interstate terminating end office access rates. In the alternative, any
Rate-of-Return Carrier may elect to implement a single per minute rate
element for both interstate and intrastate terminating End Office Access
Service no greater than the 2015 Target Composite Terminating End Office
Access Rate if its intrastate terminating end office access rates would be
at rate parity with its interstate terminating end office access rates.
Nothing in this section obligates or allows a Rate-of-Return Carrier that
has intrastate rates lower than its functionally equivalent interstate rates
to make any intrastate tariff filing or intrastate tariff revisions raising
such rates.
(2) [Reserved]
(f) Step 5. Beginning July 1, 2016, notwithstanding any other provision of
the Commission's rules, each Rate-of-Return Carrier shall establish
interstate terminating End Office Access Service rates such that its
interstate Composite Terminating End Office Access Service rate does not
exceed $0.005 per minute. A rate-of-return carrier shall determine
compliance by calculating interstate Composite Terminating End Office Access
Rates using the relevant projected interstate demand for the tariff period
multiplied by the respective interstate rates as of July 1, 2016, and then
dividing by the projected interstate terminating end office local switching
demand for the tariff period. A rate-of-return carrier's intrastate
terminating end office access rates may not exceed the comparable interstate
terminating end office access rates. In the alternative, any Rate-of-Return
Carrier may elect to implement a single per minute rate element for both
interstate and intrastate terminating End Office Access Service no greater
than the 2016 Target Composite Terminating End Office Access Rate if its
intrastate terminating end office access rates would be at rate parity with
its interstate terminating end office access rates. Nothing in this section
obligates or allows a Rate-of-Return Carrier that has intrastate rates lower
than its functionally equivalent interstate rates to make any intrastate
tariff filing or intrastate tariff revisions raising such rates.
(g) Step 6. Beginning July 1, 2017, notwithstanding any other provision of
the Commission's rules:
(1) Each Rate-of-Return Carrier shall establish interstate and intrastate
rates for terminating End Office Access Service using the following
methodology:
(i) Each Rate-of-Return Carrier shall calculate its 2017 Target Composite
Terminating End Office Access Rate. The 2017 Target Composite Terminating
End Office Access Rate means $0.0007 per minute plus two-thirds of any
difference between that carrier's 2016 Target Composite Terminating End
Office Access Rate and $0.0007 per minute.
(ii) Beginning July 1, 2017, no Rate-of-Return Carrier's interstate
Composite Terminating End Office Access Rate shall exceed its 2017 Target
Composite Terminating End Office Access Rate. A rate-of-return carrier shall
determine compliance by calculating interstate Composite Terminating End
Office Access Rates using the relevant projected interstate demand for the
tariff period multiplied by the respective interstate rates as of July 1,
2017, and then dividing by the projected interstate terminating end office
local switching demand for the tariff period. A rate-of-return carrier's
intrastate terminating end office access rates may not exceed the comparable
interstate terminating end office access rates. In the alternative, any
Rate-of-Return Carrier may elect to implement a single per minute rate
element for both interstate and intrastate terminating End Office Access
Service no greater than the 2017 Target Composite Terminating End Office
Access Rate if its intrastate terminating end office access rates would be
at rate parity with its interstate terminating end office access rates.
Nothing in this section obligates or allows a Rate-of-Return Carrier that
has intrastate rates lower than its functionally equivalent interstate rates
to make any intrastate tariff filing or intrastate tariff revisions raising
such rates.
(2) [Reserved]
(h) Step 7. Beginning July 1, 2018, notwithstanding any other provision of
the Commission's rules:
(1) Each Rate-of-Return Carrier shall establish interstate and intrastate
rates for terminating End Office Access Service using the following
methodology:
(i) Each Rate-of-Return Carrier shall calculate its 2018 Target Composite
Terminating End Office Access Rate. The 2018 Target Composite Terminating
End Office Access Rate means $0.0007 per minute plus one-third of any
difference between that carrier's 2016 Target Composite Terminating End
Office Access Rate and $0.0007 per minute.
(ii) Beginning July 1, 2018, no Rate-of-Return Carrier's interstate
Composite Terminating End Office Access Rate shall exceed its 2018 Target
Composite Terminating End Office Access Rate. A rate-of-return carrier shall
determine compliance by calculating interstate Composite Terminating End
Office Access Rates using the relevant projected interstate demand for the
tariff period multiplied by the respective interstate rates as of July 1,
2018 and then dividing by the projected interstate terminating end office
local switching demand for the tariff period. A rate-of-return carrier's
intrastate terminating end office access rates may not exceed the comparable
interstate terminating end office access rates. In the alternative, any
Rate-of-Return Carrier may elect to implement a single per minute rate
element for both interstate and intrastate terminating End Office Access
Service no greater than the 2018 interstate Target Composite Terminating End
Office Access Rate if its intrastate terminating end office access rates
would be at rate parity with its interstate terminating end office access
rates. Nothing in this section obligates or allows a Rate-of-Return Carrier
that has intrastate rates lower than its functionally equivalent interstate
rates to make any intrastate tariff filing or intrastate tariff revisions
raising such rates.
(2) [Reserved]
(i) Step 8. Beginning July 1, 2019, notwithstanding any other provision of
the Commission's rules, each Rate-of-Return Carrier shall establish
interstate and intrastate rates for terminating End Office Access Service
that do not exceed $0.0007 per minute.
(j) Step 9. Beginning July 1, 2020, notwithstanding any other provision of
the Commission's rules, each Rate-of-Return Carrier shall, in accordance
with a bill-and-keep methodology, revise and refile its federal access
tariffs and any state tariffs to remove any intercarrier charges for
terminating End Office Access Service.
(k) As set forth in FCC 11-161, states will facilitate implementation of
changes to intrastate access rates to ensure compliance with the Order.
Nothing in this section shall alter the authority of a state to monitor and
oversee filing of intrastate tariffs.
[ 76 FR 73856 , Nov. 29, 2011, as amended at 77 FR 48452 , Aug. 14, 2012; 78 FR 26267 , May 6, 2013; 79 FR 28845 , May 20, 2014]
return arrow Back to Top
Goto Section: 51.907 | 51.911
Goto Year: 2014 |
2016
CiteFind - See documents on FCC website that
cite this rule
Want to support this service?
Thanks!
Report errors in
this rule. Since these rules are converted to HTML by machine, it's possible errors have been made. Please
help us improve these rules by clicking the Report FCC Rule Errors link to report an error.
hallikainen.com
Helping make public information public