The FCC froze rates for various forms of telecommunications relay service until it finishes studying options for recovering the programs’ costs. The action covers traditional TRS, speech-to-speech service, interstate captioned telephone service, IP relay and video relay service. The FCC didn’t comment on rates the National Exchange Carrier Association wants, saying it decided to keep the current rates “pending resolution of the cost recovery methodology issues” cited in the pending further notice of proposed rulemaking. Sorenson Communications, a provider of video relay services, said the FCC rightly opted for “stability and predictability.”

The FCC froze rates for various forms of telecommunications relay service until it finishes studying options for recovering the programs’ costs. The action covers traditional TRS, speech-to-speech service, interstate captioned telephone service, IP relay and video relay service. The FCC didn’t comment on rates the National Exchange Carrier Association proposed, saying it decided to keep the current rates “pending resolution of the cost recovery methodology issues” to be addressed in the pending further notice of proposed rulemaking. Sorenson Communications, a provider of video relay services, said the FCC rightly opted for “stability and predictability.”

Pay-TV and phone providers will get access to one another’s wiring in apartment buildings under an FCC order commissioners said will boost competition in both industries. An order stipulating when Bells must provide access to phone wires in multiple dwelling units (MDUs) to CLECs including cable operators, and when telcos can tap into cable wiring, was approved 5-0 at Thurs.’s agenda meeting. The order, in addressing 2 separate issues, offered cable operators a win, since Cox Communications’ complaint was upheld, while Bells get easier access to cable lines under Sheetrock in apartment walls.

Chmn. Martin plans to ask for a vote on revamped E-911 location rules at the May 31 agenda meeting. Martin also will seek a vote on a Katrina report and order, which grows out of a June 2006 notice of proposed rulemaking. Also on the public safety front, sources said, notices of apparent liability against Sprint-Nextel, Alltel and U.S. Cellular for violating location capable handset rules are on circulation. Each notice proposes fines in excess of $1 million for violation of a mandate that 95% of their subscribers have location-capable handsets by Dec. 31, 2005 (CD Jan 8 p1).

The FCC seeks comments on NECA’s proposed new rates for compensating telecom relay services providers for the year starting July 1. The rates ultimately determine the Telecom Relay Service Fund’s size and what carriers must pay into it. NECA this year gave the FCC a range of per-min. rates for each TRS service, such as video relay service, IP relay, speech-to-speech and others. NECA’s decision not to recommend specific rates adds “more uncertainty and complexity to the process,” said Sorenson Communications in a statement. Only a fraction of deaf people have access to VRS, Sorenson, which sells VRS services and equipment, said: “This annual struggle over the rate, and the uncertainty it brings, makes it impossible to invest in and plan how to offer the best quality VRS service to as many deaf people as possible.” Comments by May 16, replies by May 23.

The National Exchange Carrier Assn. will give the FCC a range of reimbursement rate proposals for telecom relay services, rather than recommend one number as in the past. Reimbursement rates are used to determine how much TRS providers are paid from the TRS Fund for providing services such as interpreters. The process often is controversial, providers and TRS users complaining that the rates aren’t high enough to cover the costly process. “NECA basically punted,” said a source who follows TRS funding issues. The FCC has opened a proceeding to study TRS rate methodology, so it makes sense to let the agency pick from a range, depending on different ways of defining costs and demand, NECA TRS Dir. John Ricker told the TRS Advisory Council Thurs. Ricker said for Video Relay Service alone at least 5 per-minute rates could be used, depending on which cost and demand figures are used. For example, if the agency accepted provider cost and demand figures, interpreters would be compensated at $6.77 a minute, he said, but if the FCC used provider costs but NECA demand measurements, the rate would drop to $5.85. Using another measure involving historic data and inflation adjustment the rate could be as low as $4.68, he said. The current rate is $6.64, he said. Ricker said the rate could go down this year if the FCC decided the current level is too high based on the new estimates. It would be very “wrong” to reach that conclusion, said Michael Maddix, regulatory affairs mgr. for VRS provider Sorenson Communications. Maddix said his company’s costs for providing service in 2006 exceeded $7 a minute. “At a time when more than 80% of deaf people in America do not yet have access to Video Relay Services, a reduction in the rate would cut back a program that is vital,” said Maddix.

The FCC released the text of a Dec. 20 ruling that IP- captioned phone service (CTS) is eligible for compensation from the Interstate TRS Fund. In Dec. the FCC approved the order 5-0 with several commissioners commenting on the action’s importance to those with impaired hearing. “The record reflects that IP captioned telephone service simply describes a new way that consumers with hearing disabilities can access the telephone system through TRS that will accommodate persons who wish to speak to the other party and simultaneously both listen to what the other party is saying and read captions of what is being said,” the order says.

The FCC ruled that IP-captioned telephone service (CTS) should be eligible for compensation from the Interstate TRS Fund. “IP CTS will benefit consumers by giving them the flexibility of using a computer, PDA, or wireless device to make such a call, without having to purchase special telephone equipment,” the Commission said: “In addition, captions provided on a computer screen can accommodate a much wider group of individuals, including persons with low vision, because they can take advantage of the large text, variable fonts, and variable colors that are available.” IP CTS “helps the hard of hearing, and all Americans, because it supports the use of new technologies to facilitate real-time telephone conversations where a hard of hearing person is a calling party,” Comr. McDowell said. Comr. Copps called the order significant for people who are deaf and hard of hearing and often are unemployed. “Affected consumers can now take advantage of the flexibility and portability that IP captioned telephone service offers by freeing them from having to use specialized equipment,” Copps said.

The FCC should cover the cost of training sign language interpreters when it sets compensation rates for video relay service (VRS) providers, Sorenson Communications said in comments filed Mon. at the FCC. Interpreter training hasn’t kept up with demand, and a shortage looms, said Sorenson, a provider of VRS services and equipment. The reply comments responded an FCC proposal to change how telecom relay service (TRS) providers are compensated. AT&T told the FCC today’s regime “does not afford many providers a reasonable opportunity to fully recover their reasonable costs and is burdensome for both providers and NECA [the TRS administrator].” AT&T said the FCC should make sure a new regime “encourages provider efficiency, affords providers a reasonable opportunity to fully recover their costs in providing traditional and new TRS services and minimizes the burdens on providers, NECA and the Commission.” The company said it supports, for traditional TRS services, a proposed Multistate Average Rate Structure (MARS) plan that “relies on market-based intrastate rates derived from competitive bidding.” AT&T said for VRS, speech-to-speech and IP relay it generally backs Verizon’s proposed compensation methodology but “strongly opposes” a price cap approach proposed by Sorenson. It said it could support the MARS plan for IP relay services, which uses the same communications assistants and equipment to provide IP relay and traditional TRS.

The FCC should set rates for video relay service (VRS) and IP relay using a price cap approach like that used for incumbent LECs, 7 equipment and service providers told the FCC. The FCC had sought comment on how providers of telecom relay services (TRS) are compensated. As in the price cap regime, “the rates for VRS and IP Relay would be capped for a minimum of three years, during which time the rates would be adjusted upward annually for inflation… and downward to account for efficiency gains,” the providers suggested. The filing said price caps would create “incentives for all VRS and IP Relay providers to lower costs,” simplifying rate making. The cap should be set for a minimum of 3 years so providers have “predictability about revenue to allocate money to programs that will reduce costs in the future such as hiring and training more interpreters,” providers said. The filing was signed by Sprint Nextel, Sorenson Communications, Snap Telecom, Communication Access Center for the Deaf & Hard of Hearing, Communication Service for the Deaf, GoAmerica and Hands on Video Relay Service. Verizon said the FCC should modify the ratemaking for VRS, IP Relay and Speech-to-speech relay by setting “a base rate and then [making] upward adjustments for inflation and any exogenous costs.” Six consumer groups said TRS providers should be compensated for “basic operational,” costs, “properly allocated executive compensation and “reasonable costs associated with marketing and outreach.” All these areas are essential to ensure service availability, said the filing by Telecom for the Deaf & Hard of Hearing, Assn. of Late- Deafened Adults, National Assn. of the Deaf, Deaf & Hard of Hearing Consumer Advocacy Network, Cal. Coalition of Agencies Serving the Deaf & Hard of Hearing, and Hearing Loss Assn. of America. TRS providers need enough money to “build the facilities and hire the staff necessary to meet the Commission’s speed of answer requirements,” they said. Providers should be compensated for the cost of certified deaf interpreters, research and development and lobbying, the consumer groups said. The Fla. PSC asked the FCC to refrain from requiring states to pick up part of VRS and IP Relay costs until outstanding issues are settled, including resolution of costly IP Relay fraud. Both services are compensated by Interstate TRS Fund but the FCC has indicated that’s temporary, with intrastate costs perhaps moving to the states, the PSC said. “If a decision is made to require states to assume intrastate VRS and IP Relay costs, the FCC must allow time for states to make legislative changes,” the Fla. regulators said. The comments were filed Oct. 30.