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                                                         FCC 97-3
                            Before the
                FEDERAL COMMUNICATIONS COMMISSION
                     Washington, D.C.  20554


In the Matter of                        )
                                   )
Amendments of Part 69                   )
of the Commission's Rules                    )    CC Docket No. 89-79
Relating to the Creation of                  )
Access Charge Subelements for           )
Open Network Architecture                    )

                              ORDER

Adopted:  January 6, 1997                              Released:  January 24, 1997 

By the Commission:

     1. On June 27, 1995, the U.S. Court of Appeals for the District of Columbia Circuit,
issued a decision in MCI Telecommunications Corp. v. FCC, 57 F.3d 1136, vacating in relevant
part and remanding to the Commission its decision in Amendments of Part 69 of the Commission's
Rules Relating to the Creation of Access Charge Subelements for Open Network Architecture,
Report and Order, CC Docket No. 89-79, 6 FCC Rcd 4524 (1991) (Order), modified on recon.,
8 FCC Rcd 3114 (1993).  The Court found that the Commission provided inadequate notice of its
proposal to modify its existing rules and allow the Bell Operating Companies (BOCs) to
discontinue offering bundled feature groups to interexchange carriers (IXCs).  MCI
Telecommunications Corp. v. FCC, 57 F.3d 1136 at 1143.

     2.  On remand, we now determine that we will reinstate the pre-existing rules and will not
implement the feature group unbundling policy established for the IXCs in this proceeding.  If we
decide that interstate access services need to be offered on a more unbundled basis than are
currently available, we will address the issue in our upcoming access charge reform proceeding.

     3.  Accordingly, IT IS ORDERED, that pursuant to the District of Columbia Circuit Court
of Appeals decision in MCI Telecommunications Corp. v. FCC, 57 F.3d 1136 (D.C. Cir. 1995),
Part 69 of the Commission's rules, 47 C.F.R. Part 69, IS AMENDED as set forth in Appendix
A.

                              FEDERAL COMMUNICATIONS COMMISSION


                              William F. Caton
                              Acting Secretary



                            APPENDIX A

                    AMENDMENTS TO THE CODE OF
                       FEDERAL REGULATIONS

     Title 47 of the CFR, Part 69, is amended as follows:

                    PART 69 -- ACCESS CHARGES

     1. Section 69.106 is amended by revising paragraph (a) to read as follows:

     69.106  Local switching.

     (a) Charges that are expressed in dollars and cents per access minute of use shall be
assessed upon all interexchange carriers that use local exchange switching facilities for the
provision of interstate or foreign services.

     * * * * *

     2. Section 69.109 is amended by revising paragraph (b) to read as follows:

     69.109  Information.

     * * * * *

     (b) If such connections are maintained exclusively by carriers that offer MTS, the projected
annual revenue requirement for the Information element shall be divided by 12 to compute the
monthly assessment to such carriers.

     * * * * *