NEWSReport No. DC 96-94NEWS  ACTION IN DOCKET CASE            
October 29, 1996

                 FCC RELIEVES LONG DISTANCE COMPANIES FROM 
                         TARIFF FILING REQUIREMENTS
                            (CC Docket No. 96-61)
                                      
 The Commission today, exercising its new forbearance authority,
ruled that non-
dominant interexchange carriers will no longer file tariffs for
their interstate domestic long
distance services.  After a nine-month transition period,
relationships between carriers and
their customers will be set by contract.  Carriers have the
option immediately to cease filing
tariffs.  Today's decision is the first major exercise of the new
forbearance authority granted
to the Commission in the Telecommunications Act of 1996.  

 This new forbearance authority requires the Commission to reduce
or eliminate
unnecessary regulation where certain public interest criteria are
met.  In the Order adopted
today, the Commission found that the 1996 Act's criteria are met
to forbear from requiring
long distance companies to file tariffs for interstate, domestic,
long distance services. 
Consequently, the Commission ordered that, after a 9-month
transition period, long distance
companies may no longer file with the Commission tariffs for
interstate, domestic,
interexchange services.  The Order will become effective 30 days
after publication in the
Federal Register.

 The Commission stated that its action today would promote the
pro-competitive and
deregulatory objectives of the 1996 Act by fostering increased
competition in the long
distance market.  In addition, the Commission noted that its
decision marks the end of the
transformation of the regulatory regime governing interstate,
domestic, interexchange services
from one in which all interexchange carriers were subject to a
broad range of pricing and
other regulatory requirements to one that relies on market
forces.  After complete detariffing
is implemented, long distance companies will be subject to the
same incentives and rewards
that competitors in other unregulated markets confront.  The
Commission also stated that it
seeks ultimately to accomplish the same result in every
telecommunications market, because
effectively competitive markets produce maximum benefits for
consumers, carriers, and the
nation's economy.

 The Commission also stressed that its decision does not in any
way signal a departure
from its historic commitment to protect consumers of interstate
telecommunications services.
The Commission noted that consumers have several tools to protect
themselves against
potential abusive practices. All interexchange carriers will be
required to retain and make
available information as to the rates and terms of all their
offerings. This will supplement the
information already available to consumers through carriers'
marketing efforts and from their
own telephone bills. Based on this information, consumers who
believe that an interexchange
carrier's rates or terms of service violate the law can continue
to file complaints with the
Commission.  In addition, when complete detariffing is
implemented, consumers will be able
to take advantage of remedies provided by state consumer
protection laws and contract law
against such practices.  Finally, nothing in today's decision
alters the carriers' statutory
obligation to charge rates that are just and reasonable and not
unjustly or unreasonably
discriminatory.

 On March 25, 1996, just six weeks after Congress granted the
Commission
forbearance authority, the Commission released a Notice of
Proposed Rulemaking initiating a
review of its regulation of interstate, domestic, interexchange
telecommunications services in
light of the passage of the 1996 Act and the increasing
competition in the interexchange
market.  In the Order adopted today, the Commission addressed the
tariff forbearance issues
raised in the Notice and concluded that its decision to order
complete detariffing largely
renders moot the contract tariff and reseller issues raised in
the Notice.  The Commission also
addressed, but did not adopt, the proposal in the Notice to allow
nondominant interexchange
carriers to bundle customer premises equipment with interstate,
interexchange
telecommunications services.

 Action by the Commission October 29, 1996, by Second Report and
Order (FCC 96-
424).  Chairman Hundt, Commissioners Quello, Ness, and Chong,
with Commissioner Chong
issuing a separate statement.

-FCC-
                                    
 News Media contact: Mindy Ginsburg at (202) 418-1500.
 Common Carrier Bureau contacts: Christopher Heimann at (202)
418-1580.