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ILECs Say Nothing Would Justify FCC Backing Off BDS Transport Price-Cap Relief

The FCC should end price caps on large telco business data service transport, incumbents said in replies posted through Tuesday on a Further NPRM proposal. A 2017 commission decision to end such ex-ante regulation, remanded by the 8th U.S. Circuit…

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Court of Appeals for lack of notice, "was backed by strong evidence and a rational policy choice," replied USTelecom and ITTA in docket 17-144. "Nothing in the record of the current proceeding should alter the Commission’s prior conclusion." AT&T said no party disputes "key facts" showing BDS transport competition was "essentially ubiquitous" in price-cap regions as of 2013 -- even with cable deployment understated -- and it cited "substantial" competitor investments since then. "Reversing course at this juncture would upset industry expectations, disrupt carriers and their customers, and strain the overall [BDS] regulatory framework," said Verizon. In initial opposition (see 1902110027), Incompas and Sprint "just recite arguments" the FCC rejected in 2017, said CenturyLink: "These parties appear to have forgotten that the Eighth Circuit denied all the CLECs’ substantive challenges to the BDS Order and remanded that order solely to cure a single procedural error. ... Given that court decision, the Commission’s key findings in the BDS Order are on even firmer ground today." The 8th Circuit's substantive affirmation of the 2017 order "is in many ways the end of the inquiry," said Frontier Communications. As USTelecom and ITTA said previously, the "FNPRM leaves RLECs wishing to elect price cap regulation for their transport elements in limbo," said NTCA. It backed an "ITTA/USTelecom recommendation that the same policy considerations that the Commission found justified moving price cap carriers’ TDM transport services to incentive regulation equally apply to RLECs’ TDM transport services."