WASHINGTON-The wireless industry received a stinging rebuke Thursday about its lack of action on a Federal Communications Commission item that could increase the amount of money wireless customers pay into the universal-service fund.
“I have been shocked at how timid and placid the wireless industry has been about universal service. They have not said they are going to burn down the building,” said FCC Commissioner Harold Furchtgott-Roth.
The FCC is currently considering a proposal from the Coalition for Affordable Local and Long-distance Service (CALLS) that would create a $650 million universal-service fund, while at the same time reducing the amount long-distance carriers pay to local exchange carriers to carry their calls.
CALLS is a coalition of wireline giants, including AT&T Corp., Bell Atlantic Corp., BellSouth Corp., GTE Corp., SBC Communications Inc. and Sprint Corp.
Furchtgott-Roth told reporters he does not believe access charges and universal service should be linked, especially given the negative impact on wireless consumers.
The wireless industry-through both trade associations-said it has been lobbying the FCC on universal-service issues.
“From the very beginning, PCIA and our members have been engaged on universal-service issues. We believe wireless carriers must receive fair treatment and our agenda reflects that goal … Wireless-carrier contributions should not be used to correct rate imbalances for wireline carriers and their customers,” said Beth Zuczek, manager of media relations at the Personal Communications Industry Association.
The Cellular Telecommunications Industry Association has been focusing its attention on efforts to have wireless carriers granted eligible telecommunications carrier status. Several carriers have petitioned the FCC for ETC status so they could receive universal-support subsidies for serving rural areas and tribal lands.
“By and large, we have been paying into the fund and getting diddly out of it. There should be a principle that you only pay in when you get a benefit, but I didn’t write the law or the rules,” said Brian Fontes, CTIA senior vice president for policy and administration.
PCIA filed comments in the original CALLS proceeding last fall but did not file comments when a revised version-known as CALLS II-was put out for comment. CALLS II did not make substantive changes to the universal-service portion of the proposal.
CTIA has not filed any comments in the CALLS proceeding. “There has been a lack of statement on that, but consistent with that, we have been on record opposing the expansion of the universal-service fund,” Fontes said.
