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Enforcement Bureau & AT&T Settle TRS Investigation for $18.25 Million

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Released: May 7, 2013
Federal Communications Commission
DA 13-594

Before the

Federal Communications Commission

Washington, DC 20554

)
In the Matter of
)
File No.: EB-TCD-12-000003371
)
AT&T Inc.
)
Acct. No.: 201332170011
)
)
FRN: 0005193701

ORDER

Adopted: May 7, 2013

Released: May 7, 2013
By the Chief, Enforcement Bureau:
1.
In this Order, we adopt the attached Consent Decree entered into between the
Enforcement Bureau (Bureau) of the Federal Communications Commission (Commission) and AT&T
Inc. (AT&T). The Consent Decree resolves and terminates the Bureau’s investigation into AT&T’s
compliance with Section 225 of the Communications Act of 1934, as amended,2 Sections 64.604 and
64.605 of the Commission’s rules, and the Commission’s orders concerning the provision of
Telecommunications Relay Services (TRS) and compensation from the Interstate TRS Fund.3
2.
The Bureau and AT&T have negotiated the terms of the Consent Decree that resolves this
matter. A copy of the Consent Decree is attached hereto and incorporated by reference.
3.
After reviewing the terms of the Consent Decree and evaluating the facts before us, we
find that the public interest would be served by adopting the Consent Decree and terminating the
referenced investigation.
4.
Based solely on the record developed to date in this investigation and in the absence of
material new evidence relating to this matter, we conclude that the Bureau’s investigation raises no
substantial or material questions of fact as to whether AT&T possesses the basic qualifications, including
those related to character, to hold or obtain any Commission license or authorization.
5.
Accordingly,

IT IS ORDERED

, pursuant to Sections 4(i), 4(j), and 503(b) of the
Communications Act of 1934, as amended,4 and Sections 0.111 and 0.311 of the Commission’s rules,5 the
attached Consent Decree

IS ADOPTED

.
6.

IT IS FURTHER ORDERED

that the above-captioned investigation

IS

TERMINATED

.

1 The investigation was originally identified as file number EB-11-TC-022.
2 47 U.S.C. § 225.
3 47 C.F.R. §§ 64.604, 64.605.
4 47 U.S.C. §§ 154(i), 154(j), 503(b).
5 47 C.F.R §§ 0.111, 0.311.

Federal Communications Commission
DA 13-594
7.

IT IS FURTHER ORDERED

that a copy of this Order and Consent Decree shall be
sent by first class mail and certified mail, return receipt requested, to Jacquelyne Flemming, AVP-
External Affairs/Regulatory, AT&T Services, 1120 20th St. NW, Suite 1000, Washington, DC 20036.
FEDERAL COMMUNICATIONS COMMISSION
P. Michele Ellison
Chief, Enforcement Bureau
2

Federal Communications Commission
DA 13-594

Before the

Federal Communications Commission

Washington, DC 20554

)
)
File No.: EB-TCD-12-00000337
In the Matter of
)
)
Acct. No.: 201332170011
AT&T Inc.
)
)
FRN: 0005193701
)

CONSENT DECREE

The Enforcement Bureau of the Federal Communications Commission and AT&T Inc., by their
authorized representatives, hereby enter into this Consent Decree that resolves and terminates the
Enforcement Bureau’s investigation into AT&T’s compliance with Section 225 of the Communications
Act of 1934, as amended,1 Sections 64.604 and 64.605 of the Commission’s rules, and the Commission’s
orders concerning the provision of Telecommunications Relay Services and compensation from the TRS
Fund.2

I.

DEFINITIONS

1.
For the purposes of this Consent Decree, the following definitions shall apply:
(a)
“Act” means the Communications Act of 1934, as amended, 47 U.S.C. § 151 et
seq.

(b)
“Adopting Order” means an order of the Bureau adopting the terms of this Consent
Decree without change, addition, deletion, or modification.
(c)
“AT&T” or “Company” means AT&T Inc., and each of its subsidiaries,
predecessors, or successors-in-interest.
(d)
“Bureau” means the Enforcement Bureau of the Federal Communications
Commission.
(e)
“Commission” and “FCC” mean the Federal Communications Commission and all
of its bureaus and offices.
(f)
“Communications Laws” means collectively, the Act, the Rules, and the published
and promulgated orders and decisions of the Commission to which AT&T is
subject by virtue of its business activities.

1 47 U.S.C. § 225.
2 47 C.F.R. §§ 64.604, 64.605.

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DA 13-594
(g)
“Compliance Plan” means the compliance obligations, program, and procedures
described in this Consent Decree at paragraph 12.
(h)
“Compliance Reports” mean the reports AT&T is required to file with the
Commission pursuant to paragraph 14.
(i)
“Covered Personnel” means all employees, independent contractors,
subcontractors, and agents of AT&T who perform, supervise, oversee, or manage
any activities that relate to the Company’s responsibilities under, and compliance
with, Section 225 of the Act and the TRS Rules.
(j)
“Effective Date” means the date on which the Bureau releases the Adopting Order.
(k)
“FCC Compliance Assessments” means reviews conducted by AT&T to ensure
that any Product offered to TRS users complies with the Communications Laws.
(l)
“Internet-based TRS” means any form of TRS in which an individual with a
hearing or speech disability connects to a communications assistant using an
Internet Protocol-enabled device via the Internet. See 47 C.F.R. § 64.601(a)(11).
(m) “Investigation” means the inquiry undertaken by the Bureau in File No.: EB-TCD-
12-00000337 (formerly EB-11-TC-022) regarding compliance with the TRS Rules,
and the term expressly excludes any pending litigation.
(n)
“IP Relay” means Internet Protocol Relay Service, 47 C.F.R. § 64.601(a)(13).
(o)
“iTRS database” means the TRS Numbering Directory as described in 47 C.F.R. §
64.613.
(p)
“Operating Procedures” means the operating procedures and compliance policies
established and used by AT&T to implement the Compliance Plan.
(q)
“Parties” means AT&T and the Bureau, each of which is a “Party.”
(r)
“Products” means TRS products, services, equipment, and software offered by
AT&T to TRS users.
(s)
“Refund Payment” means the payment to be made by AT&T to the TRS Fund
pursuant to this Consent Decree and described at paragraph 18.
(t)
“Rules” means the Commission’s regulations found in Title 47 of the Code of
Federal Regulations.
(u)
“TRS” means Telecommunications Relay Services, 47 C.F.R. § 64.601(a)(22).
(v)
“TRS Fund” or “Fund” means the Interstate Cost Recovery Plan administered by
an entity selected by the Commission, 47 C.F.R. § 64.604(c)(5)(iii).
(w) “TRS Fund administrator” or “Administrator” means the entity selected by the
Commission to administer the TRS Fund, 47 C.F.R. § 64.604(c)(5)(iii).
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DA 13-594
(x)
“TRS Rules” means the regulations set forth at Section 64.601 through Section
64.613 of the Rules, 47 C.F.R. §§ 64.601 et seq., Commission orders implementing
and interpreting 47 U.S.C. § 225 of the Act, and any other Rules and orders
applicable to TRS providers, as such Rules and orders apply to AT&T and any
Product or form of TRS offered by AT&T.
(y)
“Voluntary Contribution” means the payment to be made by AT&T to the United
States Treasury pursuant to this Consent Decree and described at paragraph 17.
(z)
“VRS” means video relay service, 47 C.F.R. § 64.601(a)(27).
(aa) “Work Number” means a ten-digit number associated with Covered Personnel that
is designated for business purposes.

II.

BACKGROUND

2.
TRS is a telephone transmission service that enables persons who are deaf, hard of
hearing, deaf-blind, as well as those with speech disabilities to communicate by wire or radio with hearing
individuals in a manner that is functionally equivalent to voice communication services utilized by those
without such disabilities.3 Section 225 of the Act obligates the Commission to ensure that TRS is
“available, to the extent possible and in the most efficient manner” to persons with hearing or speech
disabilities in the United States.4 In addition, the Act directs the Commission to adopt implementing
regulations that encourage the use of existing technology and do not discourage or impair the
development of new technologies.5
3. The Commission has approved various forms of TRS, including traditional Text telephone
(TTY), VRS, and IP Relay.6 The Commission also has taken numerous steps to protect the TRS Fund
from abuse and ensure that it only covers the cost of compensable minutes generated by eligible users.7
In 2008, the Commission adopted a new numbering system to assign VRS and IP Relay users ten-digit
numbers linked to the North American Numbering Plan.8 These dedicated numbers are similar to the

3 See 47 U.S.C. § 225(a)(3). See also 47 C.F.R. § 64.601(a)(22).
4 47 U.S.C. § 225(b)(1); see Americans with Disabilities Act of 1990, Pub. L. No. 101-336, § 401, 104 Stat. 327,
336-69 (1990).
5 47 U.S.C. § 225(d)(2).
6 See 47 U.S.C. § 64.601.
7 TRS users do not pay to use the service. To cover the costs of TRS, telecommunications carriers and Voice over
Internet Protocol (VoIP) service providers collect a surcharge from all subscribers as part of the billing process. 47
C.F.R. § 64.604(c)(5) (establishing the method for recovering the costs of TRS from subscribers of interstate and
intrastate telecommunications (e.g., mobile telephone, operator services, voice telephone services, toll free number
services, international, etc.) and VoIP services and contributions to the TRS Fund). These monies are then paid into
the TRS Fund and used to reimburse eligible TRS providers for the costs of providing TRS. 47 U.S.C. § 225(d)(3).
Section 64.604(c)(5)(iii)(D) of the Rules requires TRS providers seeking compensation from the TRS Fund to
submit true and adequate data to the TRS Fund administrator to, among other things, facilitate payments.
8 Telecommunications Relay Services and Speech-to-Speech Services for Individuals with Hearing and Speech
Disabilities
, Report and Order and Further Notice of Proposed Rulemaking, 23 FCC Rcd 11591 (2008) (Internet-
Based TRS Order
); Telecommunications Relay Services and Speech-to-Speech Services for Individuals with Hearing
and Speech Disabilities
, Second Report and Order and Order on Reconsideration, 24 FCC Rcd 791 (2008) (Second
Internet-Based TRS Report & Order
).
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DA 13-594
telephone numbers used by persons without disabilities, allowing VRS and IP Relay users to more easily
make and receive calls, ensuring direct and automatic routing of emergency calls,9 and reducing the
misuse of IP Relay.10
4.
After December 31, 2008, VRS and IP Relay providers were prohibited from providing
non-emergency service to a new VRS or IP Relay user unless the provider first registered the user and
assigned the user a ten-digit number.11 To further guard against misuse and help ensure that VRS and IP
Relay are used only for the intended purposes, the Commission subsequently required VRS and IP Relay
providers to institute procedures to verify the information provided by users during registration, including
the user’s name and address, and to obtain a self-certification whereby the user verifies that he or she has
a medically recognized hearing or speech disability necessitating their use of TRS.12 The Commission
also emphasized that certain TRS calls are not compensable on a per-minute basis, including calls by
provider or subcontractor employees.13
5.
On March 11, 2011, the Bureau’s Telecommunications Consumers Division (TCD)
issued a Letter of Inquiry (LOI) to AT&T seeking information on the Company’s VRS and IP Relay
service offerings, emergency call handling processes, submissions to the TRS Fund administrator, and
registration and verification of VRS and IP Relay users assigned ten-digit numbers, among other things.14
On January 23, 2012, the Bureau issued a supplemental LOI to AT&T requesting more detailed
information on AT&T’s process for registering and verifying users of IP Relay.15 The Bureau
simultaneously issued a subpoena to AT&T for certain records related to TRS reimbursement requests.16
AT&T timely filed responses to these inquiries.

III.

TERMS OF AGREEMENT

6.

Adopting Order

. The Parties agree that the provisions of this Consent Decree shall be
subject to final approval by the Bureau by incorporation of such provisions by reference in the Adopting
Order.

9 Internet-based TRS Order, 23 FCC Rcd at 11592, para. 1.
10 Second Internet-based TRS Order, 24 FCC Rcd at 809-810, para. 38 (noting that the ten-digit numbering systems
eliminates the anonymity previously associated with using the service).
11 Second Internet-based TRS Order, 24 FCC Rcd 801-802, para. 21. With respect to existing users, the prohibition
applied after November 12, 2009. Telecommunications Relay Services and Speech-to-Speech Services for
Individuals with Hearing and Speech Disabilities
, Order, 24 FCC Rcd 8000 (2009) (extending the initial deadline
from June 30, 2009 to November 12, 2009).
12 Second Internet-based TRS Order, 24 FCC Rcd at 809, para. 37 (effective May 28, 2010). The Commission
recently prohibited Internet-based TRS providers from handling calls made by new users prior to taking reasonable
measures to verify users’ registration information, i.e., eliminating the “guest-user” policy. See Misuse of Internet
Protocol (IP) Relay Service
, First Report and Order, 27 FCC Rcd 7866 (2012).
13 Structure and Practices of the Video Relay Service Program, Declaratory Ruling, 25 FCC Rcd 1868 (2010).
14 See Letter from Richard A. Hindman, Chief, TCD, FCC Enforcement Bureau, to Celia Nogales, Assistant Vice
President, AT&T Services, Inc. (Mar. 11, 2011) (on file in EB-TCD-12-00000337).
15 See Letter from Richard A. Hindman, Chief, TCD, FCC Enforcement Bureau, to Jackie Flemming, Assistant Vice
President, External Affairs Regulatory, AT&T Services, Inc. (Jan. 23, 2012) (on file in EB-TCD-12-00000337).
16 See Subpoena from Richard A. Hindman, Chief, TCD, FCC Enforcement Bureau, to Jackie Flemming, Assistant
Vice President, External Affairs Regulatory, AT&T Services, Inc. (Jan. 23, 2012) (on file in EB-TCD-12-
00000337).
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7.

Jurisdiction

. AT&T agrees that the Bureau has jurisdiction over it and the matters
contained in this Consent Decree and that the Bureau has the authority to enter into and adopt this
Consent Decree.
8.

Effective Date; Violations

. The Parties agree that this Consent Decree shall become
effective on the Effective Date. As of the Effective Date, the Adopting Order and this Consent Decree
shall have the same force and effect as any other order of the Commission. Any violation of the Adopting
Order or of the terms of this Consent Decree shall constitute a separate violation of a Commission order,
entitling the Commission to exercise any rights and remedies attendant to the enforcement of a
Commission order.
9.

Termination of Investigation

. In express reliance on the covenants and representations
in this Consent Decree and to avoid further expenditure of public resources, the Bureau agrees to
terminate the Investigation. In consideration for the termination of the Investigation, AT&T agrees to the
terms, conditions, and procedures contained herein. The Bureau further agrees that in the absence of new
material evidence, the Bureau will not use the facts developed in this Investigation through the Effective
Date, or the existence of this Consent Decree, to institute on its own motion any new proceeding, formal
or informal, or take any action on its own motion against AT&T concerning the matters that were the
subject of the Investigation. The Bureau also agrees that, based solely on the record developed to date in
this Investigation, and in the absence of new material evidence it will not use the facts developed in this
Investigation through the Effective Date, or the existence of this Consent Decree, to institute on its own
motion any proceeding, formal or informal, or take any action on its own motion against AT&T with
respect to AT&T’s basic qualifications, including its character qualifications, to hold Commission
certifications, licenses, or authorizations. This Consent Decree does not constitute an admission or
concession by either party to the litigation below with respect to any claim, allegation, fact, or defense
that has or may be asserted, or any relief that has been or may be sought, in United States ex rel. Lyttle v.
AT&T Corp
., No. 10-1376 (W.D. Pa.).
10.

Representations; Warranties

. AT&T represents and warrants that as of February 2012,
the Company began verifying existing AT&T IP Relay registered users through a process that, at a
minimum, verified the user’s name, linked the named user to the U.S. address provided by the user during
registration, and ensured that the users had provided a self-certification attesting that they have a
disability and are eligible to use IP Relay. AT&T further represents and warrants that it used this process
to verify all IP Relay users by the end of June 2012. AT&T further represents and warrants that it has
removed from the iTRS database any and all assigned ten-digit numbers that correspond to AT&T
registered users who failed to provide the required self-certification as to their disability and eligibility or
who could not be verified through the Company’s verification process (i.e., verification of the registrant’s
name, address, and a link between such name and address). AT&T also represents and warrants that the
Company’s last request for reimbursement for IP Relay was submitted to the TRS Fund administrator in
January 2012, and that the Company has received no reimbursements for IP Relay from the TRS Fund
since February 2012, other than true-ups attributable to reimbursements for months prior to January 2012.
11.

Compliance Officer

. Within thirty (30) calendar days after the Effective Date, AT&T
shall designate a senior corporate manager with the requisite corporate and organizational authority to
serve as Compliance Officer and to discharge the duties set forth below. The Compliance Officer shall
be responsible for developing, implementing, and administering the compliance procedures, detailed
below, that AT&T must implement to ensure compliance with the terms and conditions of this Consent
Decree. In addition to the general knowledge of the Communications Laws necessary to discharge his/her
duties under this Consent Decree, the Compliance Officer shall have specific knowledge of the TRS
Rules prior to assuming his/her duties.
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12.

Compliance Plan

. AT&T agrees that it shall within sixty (60) calendar days after the
Effective Date, develop, implement, and maintain a Compliance Plan that is designed to ensure future
compliance with the Communications Laws and with the terms and conditions of this Consent Decree.17
With respect to the TRS Rules, AT&T shall implement the following:
(a)

Operating Procedures

. Within sixty (60) calendar days after the Effective Date,
AT&T shall establish, use, and maintain Operating Procedures that the Compliance
Officer and all Covered Personnel shall follow to help ensure AT&T’s compliance
with the TRS Rules and terms of this Consent Decree. AT&T’s Operating
Procedures shall, at a minimum, include procedures and policies specifically
designed to ensure that AT&T operations and provision of TRS, including any
aspect of TRS provided by independent contractors, subcontractors, or agents,
comply with Section 225 of the Act and all TRS Rules that are applicable to any
form of TRS offered or provided by AT&T, either directly or indirectly through an
independent contractor, subcontractor, or agent.
(b)

Compliance Manual

. Within sixty (60) calendar days after the Effective Date,
AT&T shall develop, use, and maintain a Compliance Manual and distribute the
Compliance Manual to all Covered Personnel. For any person who becomes
Covered Personnel after the Effective Date, AT&T shall distribute the Compliance
Manual to that person within thirty (30) calendar days after the date such person
becomes Covered Personnel. The Compliance Manual shall explain the TRS Rules
and the Operating Procedures that Covered Personnel shall follow to help ensure
AT&T’s compliance with the TRS Rules. The Compliance Manual shall require
Covered Personnel to contact their supervisor and/or the Compliance Officer with
any questions or concerns that arise with respect to AT&T’s obligations under or
compliance with the TRS Rules. The supervisor shall promptly notify the
Compliance Officer when a violation or potential violation of the TRS Rules or this
Consent Decree is raised by Covered Personnel. In addition, the Compliance
Manual shall explain how Covered Personnel may report waste, fraud, or abuse to
the FCC’s Office of the Inspector General and shall set forth the general hotline
number and website address for the FCC’s Office of the Inspector General. AT&T
shall periodically review and revise the Compliance Manual as necessary to ensure
that the information set forth therein remains current and complete, taking into
account changes in AT&T’s Products and processes and any modifications to the
TRS Rules. AT&T shall distribute any revisions to the Compliance Manual to all
Covered Personnel within thirty (30) calendar days after any revisions have been
made.
(c)

Compliance Training Program

. Within sixty (60) calendar days after the Effective
Date, AT&T shall establish, implement, and maintain a Compliance Training
Program to ensure compliance with the TRS Rules and the Operating Procedures. As
part of the Compliance Training Program, Covered Personnel shall be advised of
AT&T’s obligation to report any noncompliance with the TRS Rules under paragraph
13 of this Consent Decree and shall be instructed on how to disclose noncompliance

17 AT&T represents that it has comprehensive organizational structures, plans, and procedures in place that are
intended to ensure compliance with the Communications Laws. See, e.g., AT&T, Inc., Order, 27 FCC Rcd 13492,
13496-501, para. 10-16 (Enf. Bur. 2012) (re: 47 U.S.C. §§ 201(b), 202(a); truth-in-billing); AT&T, Inc., Order, 26
FCC Rcd 3332, 3336-37, para. 8 (Enf. Bur. 2011) (re: network outage reporting); AT&T, Inc., 25 FCC Rcd 16196,
16201-03, para. 10 (re: CPNI). This Consent Decree does not require new organizational structures, plans, or
procedures except as necessary to implement paragraphs 11-14 of this Consent Decree.
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DA 13-594
to the Compliance Officer. All Covered Personnel shall be trained pursuant to the
Compliance Training Program within sixty (60) calendar days after the Effective
Date, except that any person who becomes Covered Personnel at any time after the
Effective Date shall be trained within thirty (30) calendar days after the date such
person becomes Covered Personnel. AT&T shall repeat the compliance training on
an annual basis and shall periodically review and revise the Compliance Training
Program as necessary to ensure that it remains current and complete and to enhance
its effectiveness.
(d)

Acts or Omissions of Contractors and Agents

. AT&T acknowledges that the act,
failure to act, or omission by any independent contractor, subcontractor, or agent of
AT&T, acting in such capacity, that results in a violation of the Act, TRS Rules, or
this Consent Decree constitutes an act, failure to act, or omission by AT&T. If the
Company must renegotiate any contract with any independent contractor or
subcontractor to discharge its responsibilities pursuant to this Consent Decree, the
Company must take all commercially reasonable steps to do so within the 60-day
deadline set forth in such paragraphs. If, after taking such steps, the Company has
not successfully renegotiated a contract with any independent contractor or
subcontractor as necessary to discharge its responsibilities pursuant to this Consent
Decree within the 60-day deadlines set forth in such paragraphs, the Company shall
notify the Commission, within 75 days after the Effective Date, of: (i) the name of
each such contractor or subcontractor; (ii) the steps that AT&T took to renegotiate
the contract; (iii) further steps that AT&T will take to comply with this Consent
Decree with respect to each such independent contractor and subcontractor; and (iv)
the date by which AT&T will discharge its responsibilities under this Consent
Decree.
(e)

Additional Compliance Measures

. AT&T shall implement the following
additional compliance measures:
i.

Work Numbers

. Within sixty (60) calendar days after the Effective Date,
the Company shall compile a list of the Work Numbers (Work Number List)
and on a monthly basis file the Work Number List with any requests for
reimbursements submitted to the TRS Fund administrator. The Company
shall not submit requests to the TRS Fund administrator for reimbursement
of any minutes that are associated with any number on the Work Number
List. AT&T shall maintain and update the Work Number List to ensure that
it remains accurate. AT&T shall include in its Operating Procedures an
instruction that Covered Personnel must use their Work Number whenever
they access or use TRS for a business purposes, whether or not at the
workplace and notify all Covered Personnel in writing of the obligation
relating to Work Numbers. The Company shall not subsequently submit
requests to the TRS Fund administrator for reimbursement for any calls
associated with a Work Number during the time such Work Number was on
a list that AT&T submitted to the TRS Fund administrator. The Company
shall segregate and keep the call detail records for all Work Numbers to
ensure compliance with this provision.
ii.

Maintenance of Documents and Information

. In addition, within sixty (60)
calendar days after the Effective Date, AT&T shall: (1) revise the Company’s
website to advise TRS users about how to make emergency calls using any
Product offered by the Company for which the Company seeks compensation
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from the TRS Fund; (2) establish and maintain procedures for modifying or
adding emergency calling advisories to all TRS literature provided to the
public; (3) develop and maintain records of when TRS literature and Product
marketing materials are created, modified and used; and (4) establish and
maintain procedures for documenting and retaining FCC Compliance
Assessments on new Products.
iii.

Recordkeeping

. Within sixty (60) calendar days after the Effective Date,
AT&T shall require all independent contractors, subcontractors, and agents
to maintain and produce to AT&T and/or the FCC upon request, any records
or documentation that support or relate to an AT&T claim for reimbursement
from the TRS Fund as required by the TRS Rules, including as required to
ensure AT&T’s compliance with 47 C.F.R. § 64.604(c)(5)(iii)(D)(1)-(4) and
(6)-(7), and the terms of this paragraph 12.
iv.
iTRS Database Entries. AT&T shall immediately block and promptly
remove from the Company’s database any ten-digit number associated with
an AT&T registered user whom AT&T deems to be ineligible to make TRS
calls. Contemporaneously to removing the user from AT&T’s database, the
Company shall complete all actions required by a provider to have the
number removed from the iTRS database.
13.

Reporting Noncompliance

. AT&T shall report any noncompliance with the TRS Rules
and with the terms and conditions of this Consent Decree within fifteen (15) calendar days after discovery
of such noncompliance. Such reports shall include a detailed explanation of: (i) each instance of
noncompliance; (ii) the steps that AT&T has taken or will take to remedy such noncompliance; (iii) the
schedule on which such remedial actions will be taken; and (iv) the steps that AT&T has taken or will
take to prevent the recurrence of any such noncompliance. All reports of noncompliance shall be
submitted to the Chief, Telecommunications Consumers Division, Enforcement Bureau, Federal
Communications Commission, Room 3-C366, 445 12th Street, S.W. Washington, D.C. 20554, with a
copy submitted electronically to Sharon Lee at sharon.lee@fcc.gov and to fccebaccess@fcc.gov.
14.

Compliance Reports

. AT&T shall file Compliance Reports with the Commission ninety
(90) calendar days after the Effective Date, twelve (12) months after the Effective Date, and twenty-four
(24) months after the Effective Date.
(a)
Each Compliance Report shall include a detailed description of AT&T’s efforts
during the relevant period (beginning on the Effective date, and continuing through
to the filing date of each report) to comply with the terms and conditions of this
Consent Decree and the TRS Rules.
(b)
In addition, each Compliance Report shall include a certification by the
Compliance Officer, as an agent of and on behalf of AT&T, stating that the
Compliance Officer has personal knowledge that AT&T: (i) has established,
implemented, and is maintaining the Compliance Plan; (ii) has utilized the
Operating Procedures since the implementation of the Compliance Plan; and (iii) is
not aware of any instances of noncompliance with the terms and conditions of this
Consent Decree, including the reporting obligations set forth in paragraph 13
herein.
(c)
The Compliance Officer’s certification shall be accompanied by a statement
explaining the basis for such certification and must be in the form set forth in
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Section 1.16 of the Rules18 and be subscribed to as true under penalty of perjury in
substantially the form set forth therein.
(d)
If the Compliance Officer cannot provide the requisite certification, the
Compliance Officer, as an agent of and on behalf of AT&T, shall provide the
Commission with a detailed explanation of the reason(s) why and describe fully: (i)
each instance of noncompliance; (ii) the steps that AT&T has taken or will take to
remedy such noncompliance, including the schedule on which proposed remedial
actions will be taken; and (iii) the steps that AT&T has taken or will take to prevent
the recurrence of any such noncompliance, including the schedule on which such
preventive action will be taken.
(e)
All Compliance Reports shall be submitted to the Chief, Telecommunications
Consumers Division, Enforcement Bureau, Federal Communications Commission,
445 12th Street, SW, Washington, D.C. 20554, with a copy submitted
electronically to Sharon Lee at sharon.lee@fcc.gov and to fccebaccess@fcc.gov.
15.

Termination Date

. Unless stated otherwise, the obligations set forth in paragraphs 11
through 14 of this Consent Decree shall expire twenty-four (24) months after the Effective Date.
16.

Section 208 Complaints; Subsequent Investigations

. Nothing in this Consent Decree
shall prevent the Commission or its delegated authority from adjudicating complaints filed pursuant to
Section 208 of the Act against AT&T or its affiliates for alleged violations of the Act, or for any other
type of alleged misconduct, regardless of when such misconduct took place. The Commission’s
adjudication of any such complaint will be based solely on the record developed in that proceeding.
Except as expressly provided in this Consent Decree, this Consent Decree shall not prevent the
Commission from investigating new evidence of noncompliance by AT&T with the Communications
Laws.
17.

Voluntary Contribution

. AT&T agrees that it will make a Voluntary Contribution to
the United States Treasury totaling eleven million two hundred fifty thousand dollars ($11,250,000.00)
within thirty (30) calendar days after the Effective Date. AT&T acknowledges and agrees that upon
execution of this Consent Decree, the Voluntary Contribution shall become a “Claim” or “Debt” as
defined in 31 U.S.C. § 3701(b)(1).19 AT&T shall also send electronic notification of payment to Sharon
Lee at sharon.lee@fcc.gov and to fccebaccess@fcc.gov on the date said payment is made. The payment
must be made by check or similar instrument, wire transfer, or credit card, and must include the Account
Number and FRN referenced above. Regardless of the form of payment, a completed FCC Form 159
(Remittance Advice) must be submitted.20 When completing the FCC Form 159, enter the Account
Number in block number 23A (call sign/other ID) and enter the letters “FORF” in block number 24A
(payment type code). Below are additional instructions AT&T should follow based on the form of
payment it selects:

Payment by check or money order must be made payable to the order of the Federal
Communications Commission. Such payments (along with the completed Form 159) must be
mailed to Federal Communications Commission, P.O. Box 979088, St. Louis, MO 63197-
9000, or sent via overnight mail to U.S. Bank – Government Lockbox #979088, SL-MO-C2-

18 47 C.F.R. § 1.16.
19 Debt Collection Improvement Act of 1996, Pub. L. No. 104-134, 110 Stat. 1321, 1358 (1996).
20 An FCC Form 159 and detailed instructions for completing the form may be obtained at
http://www.fcc.gov/Forms/Form159/159.pdf.
9

Federal Communications Commission
DA 13-594
GL, 1005 Convention Plaza, St. Louis, MO 63101.

Payment by wire transfer must be made to ABA Number 021030004, receiving bank
TREAS/NYC, and Account Number 27000001. To complete the wire transfer and ensure
appropriate crediting of the wired funds, a completed Form 159 must be faxed to U.S. Bank
at (314) 418-4232 on the same business day the wire transfer is initiated.

Payment by credit card must be made by providing the required credit card information on
FCC Form 159 and signing and dating the Form 159 to authorize the credit card payment.
The completed Form 159 must then be mailed to Federal Communications Commission, P.O.
Box 979088, St. Louis, MO 63197-9000, or sent via overnight mail to U.S. Bank –
Government Lockbox #979088, SL-MO-C2-GL, 1005 Convention Plaza, St. Louis, MO
63101.
If AT&T has questions regarding payment procedures, it may contact the Financial Operations Group
Help Desk by phone, 1-877-480-3201, or by e-mail, ARINQUIRIES@fcc.gov.
18.

Reimbursement to the TRS Fund.

AT&T agrees that it shall make a Refund Payment
to the TRS Fund within thirty (30) calendar days after the Effective Date totaling seven million dollars
($7,000,000), which includes accrued interest.
19.

Event of Default; Interest and Charges for Collection

. AT&T agrees that an event of
default by nonpayment shall occur upon the failure of AT&T to pay the full amount of the Voluntary
Contribution, or the full amount of the Refund Payment. AT&T acknowledges and agrees that, for
purposes of this Consent Decree, in the event of such default by non-payment, any unpaid amount shall
become a “Debt” as defined in 31 U.S.C. § 3701(b)(1). An event of default on either payment of the
Voluntary Contribution or the Refund Payment will result in a cross default on both amounts. Upon an
event of default, without further notice, demand, or presentment, all procedures for collection permitted
by the Debt Collection Improvement Act of 199621 and other provisions of law22 may, at the
Commission’s discretion, be initiated and (1) the then entire unpaid amount of the Voluntary Contribution
and Refund Payment, which shall accrue interest at a rate of 15.75% per annum from the date of the event
of default until payment in full and (2) any penalties permitted and/or required by the law, including but
not limited to 31 U.S.C. § 3717 and (3) any administrative charge(s), including the costs of collection,
litigation, and attorneys’ fees, is accelerated and shall become immediately due and payable, without
notice, presentment, demand, protest, or notice of protest of any kind, all of which are waived by AT&T.
20.

Waivers

. AT&T waives any and all rights it may have to seek administrative or judicial
reconsideration, review, appeal, or stay, or to otherwise challenge or contest the validity of this Consent
Decree and the Adopting Order, provided the Bureau issues the Adopting Order as defined herein. AT&T
shall retain the right to challenge Commission interpretation of the Consent Decree or any terms
contained herein. If either Party (or the United States on behalf of the Commission) brings a judicial
action to enforce the terms of the Adopting Order, neither AT&T nor the Commission shall contest the
validity of the Consent Decree or the Adopting Order, and AT&T shall waive any statutory right to a trial
de novo. AT&T hereby agrees to waive any claims it may have under the Equal Access to Justice Act, 5
U.S.C. § 504 and 47 C.F.R. § 1.1501 et seq., relating to the matters addressed in this Consent Decree.
21.

Invalidity

. The Parties agree that if a court of competent jurisdiction renders any of the
provisions of the Adopting Order or the Consent Decree invalid or unenforceable, such invalidity or
unenforceability shall not invalidate or render unenforceable the entire Adopting Order or Consent

21 Debt Collection Improvement Act of 1996, Pub. L. No. 104-134, 110 Stat. 1321, 1358 (1996) (DCIA), codified in
part at 31 U.S.C. §§ 3711, 3716, 3717,3720B.
22 See 31 C.F.R. Part 900, et seq.
10

Federal Communications Commission
DA 13-594
Decree, but rather the entire Adopting Order or Consent Decree shall be construed as if not containing the
particular invalid or unenforceable provision or provisions, and the rights and obligations of the Parties
shall be construed and enforced accordingly. In the event that this Consent Decree in its entirety is
rendered invalid by any court of competent jurisdiction, it shall become null and void and may not be
used in any manner in any legal proceeding.
22.

Subsequent Rule or Order

. The Parties agree that if any provision of the Consent
Decree conflicts with any subsequent Rule or order adopted by the Commission (except an order
specifically intended to revise the terms of this Consent Decree to which AT&T does not expressly
consent) that provision will be superseded by such Rule or Commission order.
23.

Successors and Assigns

. AT&T agrees that the provisions of this Consent Decree shall
be binding on its successors, assigns, and transferees.
24.

Final Settlement

. The Bureau conducted the Investigation into AT&T’s possible
violation of Section 225 of the Act and the TRS Rules. AT&T neither admits nor denies any such
violations, and the Commission does not concede or otherwise represent that its claims are not well-
founded. The Parties agree and acknowledge that this Consent Decree shall constitute a final settlement
between the Parties with respect to the Investigation. The Parties further agree that this Consent Decree
does not constitute an adjudication on the merits, or a factual or legal finding or determination regarding
any compliance or noncompliance with the Communications Laws.
25.

Modifications

. This Consent Decree cannot be modified without the advance written
consent of both Parties.
26.

Paragraph Headings

. The headings of the paragraphs in this Consent Decree are
inserted for convenience only and are not intended to affect the meaning or interpretation of this Consent
Decree.
27.

Authorized Representative

. The individual signing this Consent Decree on behalf of
AT&T represents and warrants that he is authorized by AT&T to execute this Consent Decree and to bind
AT&T to the obligations, including all payment obligations, set forth herein. The FCC signatory
represents that she is signing this Consent Decree in her official capacity and that she is authorized to
execute this Consent Decree.
11

Federal Communications Commission
DA 13-594
28.

Counterparts

. This Consent Decree may be signed in any number of counterparts
(including by facsimile), each of which, when executed and delivered, shall be an original, and all of
which counterparts together shall constitute one and the same fully executed instrument.
________________________________
P. Michele Ellison
Chief
Enforcement Bureau
_______________________________
Date
_______________________________
Carmen P. Nava
Senior Vice President-Customer Experience
AT&T Inc.
______________________________
Date
12

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