NEWSReport No. DC 95-55 ACTION IN DOCKET CASE April 5, 1995 FCC PROPOSES RULES FOR CMRS RESALE; DECLINES TO PROPOSE RULES FOR CMRS INTERCONNECTION AT THIS TIME (CC DOCKET 94-54) In a Notice of Proposed Rulemaking adopted today, the Commission has tentatively concluded that imposing a resale obligation on most Commercial Mobile Radio Service (CMRS) providers would be in the public interest. It also tentatively concluded that a resale obligation would provide additional competition and "jump start" the entry of personal communications services into the CMRS marketplace. Moreover, the Commission tentatively concluded that a resale obligation would impose only minimal costs upon the subject carriers. In the interest of striking an acceptable balance between new CMRS entrants' interest in reselling in order to enter the market as quickly as possible and the public interest in encouraging the aggressive development of networks, the Commission tentatively concluded that, as in the case of cellular carriers, it is appropriate to place a time limitation on the obligation of a facilities-based CMRS provider. The Commission also sought comment on whether, as in the case of cellular carriers, the time limit should be linked to the build-out period of the particular service, or whether some other specified period would be more appropriate. The Commission also tentatively concluded that CMRS providers should not generally be required to interconnect with the switches of CMRS resellers. The Commission said that, based on the record compiled in response to a notice of inquiry adopted last year, it would be premature at this time to adopt rules of general applicability requiring direct interconnection arrangements between CMRS providers. Although it declined to adopt general interconnection rules at this time, the Commission said that because of the fundamental importance of interconnectivity, and the needs of carriers and the investment community to understand how CMRS will be regulated, it is important to examine and to articulate some broad policy guidelines on the implementation of the basic common carrier obligations of CMRS providers. In addition, the Commission said it would continue its inquiry into the interconnection arrangements required to support CMRS roaming service. (over) - 2 - Action by the Commission April 5, 1995, by Notice of Proposed Rulemaking (FCC 95-149). Chairman Hundt, Commissioners Quello, Barrett, Ness and Chong, with Commissioner Quello issuing a separate statement. --FCC-- News Media contact: Stacey Reuben Mesa at (202) 418-0654. Wireless Telecommunications Bureau contacts: Judy Argentieri (resale, reseller switch) at (202) 418-1361; Barbara Esbin (interconnection, roaming) at (202) 418-1546.