FOR IMMEDIATE RELEASE: NEWS MEDIA CONTACT: February 15, 2000 Mike Balmoris at (202) 418-0253 Email: mbalmori@fcc.gov COMMON CARRIER ACTION FCC Sets criteria for limited modifications to local telephone boundaries to Offer Advanced Telecommunications Services Washington, D.C. On Friday, the Federal Communications Commission (FCC) adopted criteria by which the Bell Operating Companies (BOCs) may request modifications to Local Access Transport Areas (LATAs) to deploy broadband services. The FCC adopted a test by which it may grant targeted, limited LATA modifications for broadband services especially to underserved or unserved areas. A LATA defines the geographic area within which a BOC is authorized to provide telecommunications service. A BOC is prohibited from providing voice or data interLATA services (services across LATA boundaries) until it has met a fourteen-point checklist to open its local telecommunications markets to competition. Nonetheless, the Commission's Order today acknowledges that LATA modifications might be appropriate in certain circumstances to encourage the deployment of advanced services and sets out the framework by which it will consider limited requests for such modifications. In the Order released Friday, the Commission adopted a two-part test to judge LATA boundary modification requests for advanced services. The first prong of the test is satisfied when the Commission determines that granting the LATA boundary modification is necessary to encourage the deployment on a reasonable and timely basis of advanced services. The second prong of the test is satisfied when the Commission determines that granting the modification would not materially affect the BOC's incentive under Section 271 of the Telecommunications Act to open its local telecommunications markets to competition to obtain long distance authority for all purposes. Criteria for LATA Boundary Modification In adopting the two-part test, the Commission also specifies criteria that a BOC must include in its petition for LATA boundary modifications pertaining to advanced services. The Commission will examine the quality of advanced services currently being provided, the affordability of such services, and other information that, on a case-by-case basis, may be necessary for the Commission to properly evaluate LATA modification requests. Thus, a BOC must include the following criteria in any request for LATA boundary modification to supply advanced services: 1. the customer(s) to be provided with advanced services if the LATA modification is granted; 2. the service to be provided (including the bit rate required and protocols used to provide the service); 3. the physical mode of transport, (e.g., fiber, microwave); 4. the path that the network connection would take under the proposed LATA modification; and, 5. the BOC's efforts to obtain interLATA advanced services. Additionally, the Commission will pay particular attention to the views of the affected state on whether a LATA modification will serve the public interest. In applying the test and the criteria released Friday, the Commission's Order also denies Bell Atlantic's petition to provide high speed interstate interLATA connections to the Internet from Morgantown, West Virginia, to Pittsburgh, Pennsylvania. The Commission's review of the record found that sufficient bandwidth exists to supply the Morgantown to Pittsburgh connection. Action by the Commission January 28, 2000 by Fourth Report and Order and Memorandum Opinion and Order (FCC 00-26). Chairman Kennard, Commissioners Ness, Furchtgott-Roth, Powell and Tristani. CC Docket No. 98-147 NSD-L-98-99 -FCC- Common Carrier Bureau contacts: Gregory Cooke or Dennis Johnson at 202-418-2320; TTY 202-418-2555 News about the Federal Communications Commission can also be found on the Commission's web site www.fcc.gov.