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States Should Maintain ETC Designation Authority, Michigan PSC Tells FCC

Removing the states' abilities to designate eligible telecommunications carriers (ETCs) could have negative effects, the Michigan Public Service Commission (PSC) said in an ex parte filing Monday to FCC docket 11-42. Among its main concerns, the PSC is worried about…

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waste, fraud and abuse increasing if the states aren't allowed to maintain their authority, the letter said. In Michigan particularly, state oversight provides an "efficient means" for companies seeking high-cost support or Lifeline reimbursement, the PSC said. States such as Michigan have more familiarity with the geographic areas and marketplace in which the ETCs are applying for designation, so states’ experience and knowledge in these areas help to fight waste, fraud and abuse, save the FCC time and resources, and help preserve universal service funds, the letter said.