Telecommunications Relay Services and Speech-to-Speech Services for Individuals With Hearing and Speech Disabilities, 54294-54298 [05-18029]
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54294
Federal Register / Vol. 70, No. 177 / Wednesday, September 14, 2005 / Rules and Regulations
B. Review Under Procedural Statutes
and Executive Orders
We have reviewed this final rule
under the following statutes and
executive orders governing rulemaking
procedures: The Unfunded Mandates
Reform Act of 1995, 2 U.S.C. 1501 et
seq.; the Regulatory Flexibility Act, 5
U.S.C. 601 et seq.; the Small Business
Regulatory Enforcement Fairness Act of
1996, 5 U.S.C. 801 et seq.; the
Paperwork Reduction Act, 44 U.S.C.
3501 et seq. Executive Order 12866
(Regulatory Planning and Review), as
amended by Executive Order 13258; and
Executive Order 13132 (Federalism).
Since this rule merely extends the
expiration date of subpart E, the
information in the compliance
statements that we published on April
17, 2003 with the existing rule
continues to apply.
List of Subjects in 45 CFR Part 160
Administrative practice and
procedure, Computer technology,
Electronic transactions, Employer
benefit plan, Health, Health care, Health
facilities, Health insurance, Health
records, Hospitals, Investigations,
Medicaid, Medical research, Medicare,
Penalties, Privacy, Reporting and record
keeping requirements, Security.
Dated: September 7, 2005.
Michael O. Leavitt,
Secretary.
[FR Doc. 05–18254 Filed 9–13–05; 8:45 am]
BILLING CODE 4120–01–P
FEDERAL COMMUNICATIONS
COMMISSION
47 CFR Part 64
[CC Docket No. 98–67 and CG Docket No.
03–123; FCC 05–141]
Telecommunications Relay Services
and Speech-to-Speech Services for
Individuals With Hearing and Speech
Disabilities
Federal Communications
Commission.
ACTION: Clarification.
AGENCY:
SUMMARY: In this document, the
Commission concludes that two-line
captioned telephone service is a type of
telecommunications relay service (TRS)
eligible for compensation from the
Interstate TRS Fund. The Commission
also approves the National Exchange
Carrier Association, Inc. (NECA), the
Interstate TRS Fund Administrator,
proposed allocation methodology for
determining the number of inbound
two-line captioned telephone minutes
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that should be compensated from the
Interstate TRS Fund. Also in this
document, the Commission seeks
approval from the Office of Management
and Budget (OMB) for any Paperwork
Reduction Act (PRA) burdens contained
in this document that will modify OMB
Control No. 3060–1053 to have TRS
providers offering two-line captioned
telephone service along with TRS
providers offering one-line captioned
telephone service file annual reports
with the Commission.
DATES: Effective October 14, 2005.
Written comments on the PRA modified
information collection requirements
must be submitted by the general
public, Office of Management and
Budget (OMB), and other interested
parties on or before November 14, 2005.
ADDRESSES: You may submit PRA
comments identified by [CG Docket No.
03–123 and/or OMB Control Number
3060–1053], by any of the following
methods:
• Federal eRulemaking Portal: https://
www.regulations.gov. Follow the
instructions for submitting comments.
• Federal Communications
Commission’s Web site: https://
www.fcc.gov/cgb/ecfs/. Follow the
instructions for submitting comments.
• E-mail: Parties who choose to file
by e-mail should submit their comments
to Leslie Smith at Leslie.Smith@fcc.gov
and to Kristy L. LaLonde at
Kristy_L.LaLonde@omb.eop.gov. Please
include the docket number and/or OMB
Control number in the subject line of the
message.
• Mail: Parties who choose to file by
paper should submit their comments to
Leslie Smith, Federal Communications
Commission, Room 1–A804, 445 12th
Street, SW., Washington, DC 20554, and
to Kristy L. LaLonde, OMB Desk Officer,
Room 10234 NEOB, 725 17th Street,
NW., Washington, DC 20503.
• People with Disabilities: Contact the
FCC to request reasonable
accommodations (accessible format
documents, sign language interpreters,
CART, etc.) by e-mail: FCC504@fcc.gov
or phone (202) 418–0539 or TTY: (202)
418–0432.
FOR FURTHER INFORMATION CONTACT:
Thomas Chandler, Consumer &
Governmental Affairs Bureau at (202)
418–1475 (voice), (202) 418–0597
(TTY), or e-mail
Thomas.Chandler@fcc.gov. For
additional information concerning the
PRA information collection
requirements contained in the
document, contact Leslie Smith at (202)
418–0217, or via the Internet at
Leslie.Smith@fcc.gov.
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This
Order contains modified information
collection requirements subject to the
PRA of 1995, Public Law 104–13. These
will be submitted to OMB for review
under section 3507 of the PRA. OMB,
the general public, and other Federal
agencies are invited to comment on the
modified information collection(s)
contained in this proceeding. This is a
summary of the Commission’s Order,
adopted July 14, 2005, released July 19,
2005. Copies of any subsequently filed
documents in this matter will be
available for public inspection and
copying during regular business hours
at the FCC Reference Information
Center, Portals II, 445 12th Street, SW.,
Room CY–A257, Washington, DC 20554.
The full text of the Order and copies of
any subsequently filed documents in
this matter will be available for public
inspection and copying during regular
business hours at the FCC Reference
Information Center, Portals II, 445 12th
Street, SW., Room CY–A257,
Washington, DC 20554. The Order and
copies of subsequently filed documents
in this matter may also be purchased
from the Commission’s duplicating
contractor, Best Copy and Printing, Inc.
(BCPI), Portals II, 445 12th Street, SW.,
Room CY–B402, Washington, DC 20554.
Customers may contact BCPI at their
Web site: www.bcpiweb.com or call 1–
800–378–3160. To request materials in
accessible formats for people with
disabilities (Braille, large print,
electronic files, audio format), send an
e-mail to fcc504@fcc.gov or call the
Consumer & Governmental Affairs
Bureau at (202) 418–0530 (voice), (202)
418–0432 (TTY). This Order can also be
downloaded in Word or Portable
Document Format (PDF) at: https://
www.fcc.gov/cgb/dro.
SUPPLEMENTARY INFORMATION:
Paperwork Reduction Act
The Order contains modified
information collection requirements.
The Commission, as part of its
continuing effort to reduce paperwork
burdens, invites the general public to
comment on the information collection
requirements contained in the Order as
required by the Paperwork Reduction
Act of 1995 (PRA), Public Law 104–13.
Public and agency comments are due
November 14, 2005. In addition, the
Commission notes that pursuant to the
Small Business Paperwork Relief Act of
2002, Public Law 107–198, see 44 U.S.C.
3506(c)(4), the Commission previously
sought specific comment on how it
might ‘‘further reduce the information
collection burden for small business
concerns with fewer than 25
employees.’’ In this present document,
the Commission has assessed the effects
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of its determination that two-line
captioned telephone service is a type of
TRS eligible for compensation from the
Interstate TRS Fund, and finds that such
action will not affect businesses with
fewer than 25 employees.
Synopsis
One-Line and Two-Line Captioned
Telephone Service
In the August 2003 Captioned
Telephone Declaratory Ruling, the
Commission concluded that captioned
telephone Voice Carry Over (VCO)
service is a type of TRS, and that
eligible providers of such services are
eligible to recover their costs in
accordance with Section 225 of the
Communications Act. See
Telecommunications Relay Services,
and Speech-to-Speech Services for
Individuals with Hearing and Speech
Disabilities, CC Docket No. 98–67,
Declaratory Ruling, 18 FCC Rcd 16121,
August 1, 2003, published at 68 FR
55898, September 29, 2003, (Captioned
Telephone Declaratory Ruling)
recognizing captioned telephone service
as a form of telecommunications relay
service (TRS). Captioned telephone
service uses a special telephone that has
a text display. It permits, on one
standard telephone line, the user—
typically someone who has the ability to
speak and some residual hearing—to
both listen to what is said over the
telephone and simultaneously read
captions of what the other person is
saying. A communications assistant
(CA) using specially developed voice
recognition technology generates the
captions. No typing is involved. The
Captioned Telephone Declaratory
Ruling permits providers of interstate
captioned telephone service to be
compensated from the Interstate TRS
Fund.
To use one-line captioned telephone
service, the captioned telephone user
dials the number of the person she
wishes to call. Unlike with other forms
of TRS, the user does not dial the
number of a TRS provider (or the 711
access number). Although the user has
dialed the number of the other party, the
captioned telephone automatically calls
a captioned telephone CA at a TRS
facility. The TRS provider, in turn, calls
the number of the called party, and all
three parties (the captioned telephone
user, the CA, and the called party) are
connected. Unlike ‘‘traditional’’ TRS,
where the CA would type what the
called party says, the CA instead repeats
or re-voices what the called party says
and voice recognition technology
automatically transcribes the CA’s voice
into text, which is then transmitted
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directly to the user and displayed on the
captioned telephone. As a result, the
captions appear on the captioned
telephone at nearly the same time the
user hears the called party’s spoken
words. Throughout the call the CA is
completely transparent and does not
participate in the call by voicing any
part of the conversation; there is no
interaction with the CA by either party
to the call. Calls may be placed to
captioned telephone users via a
provider’s toll free access number.
When such an ‘‘inbound’’ captioned
telephone call is made, the caller is
prompted by a recording to enter the
number he or she wishes to call, and the
call is automatically processed.
The Captioned Telephone Declaratory
Ruling did not address two-line
captioned telephone service, and
Petitioners now seek clarification that
this type of captioned telephone service
is also a type of TRS eligible for
compensation from the Interstate TRS
Fund. See Ultratec, Inc., Sprint
Corporation, and Hamilton Relay, Inc.,
Request for Clarification, CC Docket No.
98–67 and CG Docket No. 03–123, filed
December 7, 2004 (Ultratec Petition).
The Commission refers to Ultratec, Inc.,
Sprint Corporation, and Hamilton Relay,
Inc. as Petitioners). As Petitioners
explain, two-line captioned telephone
service requires the user to have two
standard telephone lines connected to a
captioned telephone. See, e.g., Ultratec
Petition at 2. The first line is set up as
the user’s primary telephone line, and
the second line transmits the captions
from the captioned telephone relay
service. When a two-line captioned
telephone user places an outbound call,
he or she dials the number of the party
he or she wants to call on the first line,
in the same way that a voice telephone
call is made to the called party. An
outbound call occurs when a captioned
telephone user initiates (dials) a call
from his or her captioned telephone
hardware device. When this call is being
made, the two-line captioned telephone
simultaneously connects to the
captioned telephone relay service on the
second line. When this connection is
made, the two-line captioned telephone
takes the voice of the party who is
called via the first line and sends it to
the captioned telephone relay provider
over the second line. As with one-line
captioned telephone, the captioned
telephone CA then re-voices everything
that is said by the called party. Voice
recognition technology transcribes what
the CA says into text, and sends
captions back on the second line to the
text display on the two-line captioned
telephone. In short, with one-line
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captioned telephone service the
outbound call goes through the
captioned telephone service provider to
be connected to the called party; with
two-line captioned telephone service,
the primary telephone line links the
calling and called parties directly, and
the captioned telephone service is
brought in on a second line.
For inbound calls to the two-line
captioned telephone user, the calling
party simply dials the telephone
number of the person he or she wants
to call. An inbound call occurs when a
captioned telephone user receives a call
from a voice telephone caller. The call
goes directly to the two-line captioned
telephone in the same way a call would
come in to any traditional telephone.
When the captioned telephone user
answers the call, his or her two-line
captioned telephone automatically calls
the captioned telephone relay service on
the second telephone line, and the call
then proceeds in the same manner as an
outbound two-line captioned telephone
call. Ultratec Petition at 3.
Petitioners cite several benefits that
two-line captioned telephone service
offers that are not available with oneline captioned telephone service. First,
because a two-line captioned telephone
allows direct inbound dialing, no
special ‘‘relay’’ numbers are needed and
users can give out their own telephone
numbers to persons who may want to
call them, not the number of a captioned
telephone relay service provider.
Second, because two-line captioned
telephone service directly connects both
parties to the call on the same telephone
line and adds the captioned telephone
relay service on a second telephone line,
it allows the user access to other
telephone network features available to
voice telephone users such as *69 to
receive information about the last
incoming call and to return such call,
call waiting, and call forwarding. In
addition, and for the same reason, this
service makes it possible for users to
directly access 9–1–1 emergency
services in the same way that hearing
telephone users access these services
(while simultaneously receiving
captions back on the second telephone
line). Two-line captioned telephone
service also allows two or more persons
to be on the call at the same time e.g.,
by using another telephone extension in
the same house because the primary
connection is a direct voice connection,
just like with any other call. In contrast,
one-line captioned telephone service
uses a single connection to carry both
voice traffic and captioning information,
which are encoded into a single data
stream. This data stream would be
unintelligible to a user who picks up a
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separate phone connected to the line on
which one-line captioned telephone
service is being used. Finally, unlike
with one-line captioned telephone
service, the captions service can be
added to a call at any time during the
call even after the call is in progress by
engaging the second line which is the
call to the captioned telephone service.
Jurisdictional Separation of Costs and
Inbound Two-Line Captioned Telephone
Service
Petitioners and NECA acknowledge
that although providers can readily
determine which one-line captioned
telephone calls are interstate and which
are intrastate for reimbursement
purposes, and can also make that
determination for outbound two-line
captioned telephone calls, they cannot
do so for inbound two-line captioned
telephone calls. See the National
Exchange Carrier Association, Inc., CC
Docket No. 98–67 and CG Docket No.
03–123, Petition for Declaratory Ruling,
filed December 10, 2004 (NECA
Petition). Therefore, NECA proposes
that we adopt an allocation
methodology for the jurisdictional
compensation of the inbound two-line
captioned telephone calls; i.e., for
determining which such calls shall be
compensated by a state, and which such
calls shall be compensated from the
Interstate TRS Fund.
As NECA explains, for one-line
captioned telephone service the relay
center is able to determine whether each
call is intrastate or interstate because
such calls go through the relay center,
and therefore the center can determine
where the call originates from the
automatic number identification (ANI)
of the caller’s telephone number and
where it ends from the called party’s
telephone number. NECA Petition at 1–
2; see also Ultratec Petition at 6. In other
words, the TRS providers (i.e., call
center) captures network information
from both the caller’s and the called
person’s telephone numbers. This
applies to both inbound and outbound
one-line captioned telephone calls. For
outbound two-line captioned telephone
calls, the process of determining the
jurisdictional nature of the call is the
same as for one-line captioned
telephone service. NECA Petition at 2.
The telephone captures the number of
the called party that is dialed, and
automatically forwards that number to
the relay center through the second line.
See Ultratec Petition at 6. As a result, in
this situation the call center receives
from the calling party the user of the
two-line captioned telephone the
telephone number of both the calling
and called parties. For inbound two-line
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captioned telephone calls, however, the
relay center is incapable of determining
the location of the calling (i.e.,
originating) party to the call. This is
because the originating inbound caller
calls the captioned telephone user
directly, and the captioned telephone
does not receive information about the
calling party that can be forwarded to
the relay center when the captioned
telephone calls the relay center on the
second line. NECA Petition at 2; Ultratec
Petition at 7. As a result, the relay center
does not receive the calling party’s ANI,
and therefore cannot determine the
jurisdictional nature of the call in order
to report and bill either the state or the
Interstate TRS Fund for the call. NECA
Petition at 2; Ultratec Petition at 7.
Petitioners suggest that although Caller
ID might provide the necessary
information, ‘‘this would not offer a
consistent solution because it is often
blocked or unavailable,’’ and also note
that Caller ID is a fee-based service that
may put an unfair additional financial
burden on the user. According to NECA,
presently states are compensating
providers of inbound two-line captioned
telephone calls for all such calls.
The problem of determining the
jurisdictional nature of inbound twoline captioned telephone calls was
addressed at the Interstate TRS
Advisory Council’s (Council) April 2004
and September 2004 meetings. NECA,
on behalf of the Council, now requests
that the Commission adopt an allocation
methodology to determine the portion of
such calls that will be considered
intrastate, and the portion that will be
considered interstate. NECA notes that
an allocation methodology has been
approved and is currently used for toll
free (800) and pay-per-call (900) number
calls because providers cannot
determine the jurisdictional nature of
such calls. In those cases, the share of
minutes compensable from the
Interstate TRS Fund is based on the
relationship of interstate and
international TRS minutes to intrastate
toll, interstate, and international TRS
minutes. Because this allocation is a
means of estimating the percentage of
800 and 900 number calls that are
interstate, and 800 and 900 number calls
are not local calls, only intrastate calls
that are toll calls, and not all intrastate
calls, are included in the denominator
of this calculation. NECA requests that
a similar interstate allocation factor be
calculated and applied to all inbound
two-line captioned telephone calls.
However, for such calls NECA proposes
that the allocation factor be based on the
relationship between the number of
interstate and international traditional
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TRS minutes to the total number of all
traditional TRS minutes (i.e., including
all intrastate minutes, as well as all
interstate and international minutes). In
other words, although NECA proposes
that the same allocation methodology
used for 800 and 900 calls also be used
to determine an allocation factor for
inbound two-line captioned telephone
calls, the allocation factor applied
would not be the same for 800/900 calls
and for inbound two-line captioned
telephone calls because the
denominator would not be the same.
NECA notes that based on this proposed
allocation methodology, the allocation
factor for the 2004–2005 Fund year
(using the traditional TRS data projected
for the calendar years 2004 and 2005)
would be 10 percent. Pursuant to this
methodology and allocation factor, 10%
of the two-line inbound captioned
telephone minutes would be allocated
to the interstate jurisdiction for payment
from the Interstate TRS Fund, while the
remaining 90% of the two-line inbound
captioned telephone minutes would
continue to be billed to the intrastate
jurisdiction. On December 16, 2004, the
Ultratec Petition and NECA Petition
were placed on Public Notice. Request
for Clarification Filed by Ultratec, Inc.,
Sprint Corporation and Hamilton Relay,
Inc. and Petition for Declaratory Ruling
Filed by The National Exchange Carrier
Association, Inc. Concerning Two-Line
Captioned Telephone Voice Carry Over,
A Form of Telecommunications Relay
Service, CC Docket No. 98–67, CG
Docket No. 03–12, Public Notice
(December 16, 2004) (Two-line
Captioned Telephone Public Notice).
Comments were filed by the California
Coalition of Agencies Serving the Deaf
and Hard of Hearing (California
Coalition Comments) (January 6, 2005)
and Telecommunications for the Deaf,
Inc. (TDI Comments) (January 7, 2005).
Ultratec, Inc. (Ultratec) filed reply
comments to the NECA Petition on
January 18, 2005 (Ultratec Reply
Comments). All commenting parties
support both petitions.
Discussion
Two-line Captioned Telephone Service
as a Type of TRS
The Commission concludes that twoline captioned telephone service is a
type of TRS eligible for compensation
from the Interstate TRS Fund. As noted
above, in the August 2003 Captioned
Telephone Declaratory Ruling the
Commission concluded that one-line
captioned telephone is a type of TRS
eligible for compensation from the
Interstate TRS Fund. The record reflects
that two-line captioned telephone
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service is simply a variation of
captioned telephone service that offers
the same functionality while also
offering the user additional features,
noted above. Ultratec Petition at 2–6;
see also California Coalition Comments
at 1–3; TDI Comments at 1–2. These
additional features ‘‘ including direct
inbound dialing and the ability to use
call waiting, call forwarding, directly
call 911, and have two or more persons
on the call at the same time ‘‘ represent
another step forward toward functional
equivalency. Therefore, the Commission
clarifies that two-line captioned
telephone service, like one-line
captioned telephone service, is a type of
TRS eligible for compensation from the
Interstate TRS Fund. In reaching this
conclusion, the Commission is mindful
that Section 225 obligates the
Commission to ensure that interstate
and intrastate TRS are available, to the
extent possible and in the most efficient
manner, to hearing-impaired and
speech-impaired individuals in the
United States, and to ensure that the
TRS regulations encourage the use of
existing technology and do not
discourage or impair the development of
improved technology. 47 U.S.C. 225
(b)(1); 47 U.S.C. 225 (d)(2). The
Commission also notes that no
commenters oppose this conclusion.
Compensation from the Interstate TRS
Fund
The Commission concludes that the
same allocation methodology presently
used for 800 and 900 number call
minutes should be used for inbound
two-line captioned telephone call
minutes. In enacting Section 225,
Congress provided for the compensation
of TRS providers for their costs of
providing TRS. See 47 U.S.C.
225(d)(1)(D). The users of TRS cannot be
required to pay for the service; see also
Captioned Telephone Declaratory
Ruling. This cost recovery regime
distinguishes between interstate and
intrastate TRS: the providers of
interstate TRS are compensated from the
Interstate TRS Fund, and providers of
intrastate TRS are compensated from the
states. See, e.g., 47 U.S.C. 225(c) and
(d)(3); 47 CFR 64.603, 64.604(c)(5).
Presently the costs of providing certain
types of intrastate TRS are compensated
from the Interstate TRS Fund, including
VRS and IP Relay. See Captioned
Telephone Declaratory Ruling. As noted
above, however, with inbound two-line
captioned telephone calls, there is
currently no way for the provider to
determine the jurisdictional nature of
the call. As a result, the provider cannot
determine which calls should be
reported and billed to the states, and
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which should be reported and billed to
the Interstate TRS Fund. In these
circumstances, NECA has proposed an
allocation methodology by which an
interstate allocation factor is calculated
and applied to all inbound two-line
captioned telephone minutes. NECA
notes that the impact of the use of its
allocation methodology on the fund
would be minimal. NECA Petition at 4.
NECA states that although captioned
telephone minutes are growing, they are
not a significant portion of the TRS
provider payments (less than 1% of the
monthly fund requirements), and that
inbound captioned telephone minutes
are in turn a small portion of total
captioned telephone minutes. No party
filed an alternate proposal or an
opposition to NECA’s proposal.
The Commission agrees with NECA’s
recommendation that the same
allocation methodology presently used
for 800 and 900 number call minutes
should be used for inbound two-line
captioned telephone call minutes.
Application of this methodology will
ensure that the Interstate TRS Fund
compensates providers of inbound twoline captioned telephone calls only for
such minutes reasonably estimated to be
interstate in nature. As a result, the
Commission adopts NECA’s proposed
methodology and instructs the Interstate
TRS Fund Administrator to determine
and apply, on an annual basis, an
allocation factor for inbound two-line
captioned telephone calls that is based
on the relationship between interstate
and international traditional TRS calls
and all intrastate, interstate, and
international traditional TRS calls. As
with the determination of the allocation
factor for 800 and 900 number calls, the
Fund Administrator will generally use
the providers’ projected minutes of use
for traditional TRS. This allocation
factor, along with the allocation factor
for 800 and 900 number calls, shall be
reflected in the Interstate TRS Fund
Administrator’s annual filing with the
Commission proposing the TRS
compensation rates for the upcoming
TRS Fund year. Upon release of the
Order, NECA shall determine an
allocation factor for inbound two-line
captioned telephone calls as specified
herein and submit it to the Commission.
After Public Notice and an opportunity
for comments, the Commission will
issue an order approving or modifying
the proposed factor. Finally, the
Commission notes that Ultratec suggests
that we monitor the usage data of oneline and two-line captioned telephone
service to ensure that any allocation
methodology adopted accurately reflects
the usage of two-line captioned
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54297
telephone service. Utratec Reply
Comments at 4–5. The Commission will
do so as part of its general oversight of
the regulation and compensation of
TRS.
Final Regulatory Flexibility
Certification
The Regulatory Flexibility Act of
1980, as amended (RFA), requires that
an initial regulatory flexibility analysis
be prepared for notice-and-comment
rule making proceedings, unless the
agency certifies that the rule will not, if
promulgated, have a significant
economic impact on a substantial
number of small entities. See 5 U.S.C.
603. The RFA, see 5 U.S.C. 601–612, has
been amended by the Small Business
Regulatory Enforcement Fairness Act of
1996 (SBREFA), Public Law Number
104–121, Title II, 110 Statute 857 (1996).
The RFA generally defines the term
‘‘small entity’’ as having the same
meaning as the terms ‘‘small business,’’
‘‘small organization,’’ and ‘‘small
governmental jurisdiction.’’ 5 U.S.C.
601(6). In addition, the term ‘‘small
business’’ has the same meaning as the
term ‘‘small business concern’’ under
the Small Business Act. 5 U.S.C. 601(3)
(incorporating by reference the
definition of ‘‘small-business concern’’
in the Small Business Act, 15 U.S.C.
632). Pursuant to 5 U.S.C. 601(3), the
statutory definition of a small business
applies unless an agency, after
consultation with the Office of
Advocacy of the Small Business
Administration and after opportunity
for public comment, establishes one or
more definitions of such term which are
appropriate to the activities of the
agency and publishes such definition(s)
in the Federal Register. A ‘‘small
business concern’’ is one which: (1) Is
independently owned and operated; (2)
is not dominant in its field of operation;
and (3) satisfies any additional criteria
established by the Small Business
Administration (SBA). 15 U.S.C. 632.
Nationwide, there are approximately 1.6
million small organizations.
Independent Sector, the New Nonprofit
Almanac & Desk Reference (2002).
The Order addresses two petitions
concerning the regulation and
compensation of captioned telephone
service, a form of telecommunications
relay service (TRS). As noted in the
Order, in August 2003, the Commission
concluded that captioned telephone
Voice Carry Over (VCO) service is a type
of TRS, and that eligible providers of
such services are eligible to recover
their costs in accordance with Section
225 of the Communications Act. See
Captioned Telephone Declaratory
Ruling. The Captioned Telephone
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Federal Register / Vol. 70, No. 177 / Wednesday, September 14, 2005 / Rules and Regulations
Declaratory Ruling did not address twoline captioned telephone service, and
petitioners now seek clarification that
this type of captioned telephone service
is also a type of TRS eligible for
compensation from the Interstate TRS
Fund.
As noted in the Order, the record
reflects that two-line captioned
telephone service is simply a variation
of captioned telephone service that
offers the same functionality while also
offering the user additional features.
These additional features represent
another step forward toward functional
equivalency. Therefore, in the Order the
Commission clarifies that two-line
captioned telephone service, like oneline captioned telephone service, is a
type of TRS eligible for compensation
from the Interstate TRS Fund.
The Commission does not believe this
clarification will have a significant
economic impact; however, in the event
that it does, the Commission also notes
that there are not a substantial number
of small entities that will be affected by
our action. The SBA has developed a
small business size standard for Wired
Telecommunications Carriers, which
consists of all such firms having 1,500
or fewer employees. 13 CFR 121.201,
NAICS code 517110 changed from
513310 in October 2002. According to
Census Bureau data for 1997, there were
2,225 firms in this category which
operated for the entire year. U.S. Census
Bureau, 1997 Economic Census, Subject
Series: Information, ‘‘Establishment and
Firm Size (Including Legal Form of
Organization),’’ Table 5, NAICS code
513310 issued October 2000. Of this
total, 2,201 firms had employment of
999 or fewer employees, and an
additional 24 firms had employment of
1,000 employees or more. Thus, under
this size standard, the majority of firms
can be considered small. The census
data do not provide a more precise
estimate of the number of firms that
have employment of 1,500 or fewer
employees; the largest category
provided is ‘‘Firms with 1,000
employees or more’’. Currently, only
three providers are providing captioned
telephone service and being
compensated from the Interstate TRS
Fund: CapTel, Inc., Hamilton and
Sprint. The Commission expects that
only one of the providers noted above
may be a small entity under the SBA’s
small business size standard. In
addition, the Interstate Fund
Administrator is the only entity that
will be required to pay to eligible
providers of two-line captioned
telephone service the costs of providing
interstate service. The Commission will
send a copy of the Order, including a
VerDate Aug<18>2005
15:56 Sep 13, 2005
Jkt 205001
copy of this Regulatory Flexibility
Certification, to the Chief Counsel for
Advocacy of the SBA. (5 U.S.C. 605(b)).
AGENCY:
impermissible financial incentive in
violation of the Financial Incentives
Declaratory Ruling. TRS providers in
violation of the Financial Incentives
Declaratory Ruling will be ineligible for
compensation from the Interstate TRS
Fund.
DATES: Effective January 12, 2006.
FOR FURTHER INFORMATION CONTACT:
Thomas Chandler, Consumer &
Governmental Affairs Bureau, (202)
418–1475 (voice), (202) 418–0597
(TTY), or e-mail
Thomas.Chandler@fcc.gov.
SUPPLEMENTARY INFORMATION: This is a
summary of Commission document DA
05–2066, adopted July 27, 2005,
released July 28, in CG Docket No. 03–
123. This document does not contain
new or modified information collections
requirements subject to the Paperwork
Reduction Act of 1995 (PRA), Public
Law 104–13. In addition, it does not
contain any New or modified
‘‘information collection burden for
small business concerns with fewer than
25 employees,’’ pursuant to the Small
Business Paperwork Relief Act of 2002,
Public Law 107–198, sec 44 U.S.C.
3506(c)(4). Copies of any subsequently
filed documents in this matter will be
available for public inspection and
copying during regular business hours
at the FCC Reference Information
Center, Portals II, 445 12th Street, SW.,
Room CY–A257, Washington, DC 20554.
They may also be purchased from the
Commission’s duplicating contractor,
Best Copy and Printing, Inc. (BCPI),
Portals II, 12th Street, SW., Room CY–
B402, Washington, DC 20554.
Customers may contact BCPI at their
Web site: https://www.bcpiweb.com or
call 1–800–378–3160. To request
materials in accessible formats for
people with disabilities (Braille, large
print, electronic files, audio format),
send an e-mail to fcc504@fcc.gov or call
the Consumer & Governmental Affairs
Bureau at (202) 418–0530 (voice) or
(202) 418–0432 (TTY). This document
can also be downloaded in Word and
Portable Document Format (PDF) at
https://www.fcc.gov/cgb.dro.
SUMMARY: In this document, the
Consumer & Governmental Affairs
Bureau (the Bureau) clarifies under
delegated authority, that
telecommunications relay service (TRS)
providers offering free or discount long
distance service to TRS consumers as an
incentive to use a particular TRS
provider’s relay service, or as an
incentive for a consumer to make more
or longer TRS calls, constitutes an
Synopsis
On January 26, 2005, the Bureau,
under delegated authority, issued the
Financial Incentives Declaratory Ruling
concluding that any program that offers
any kind of financial incentive or
reward for a consumer to place a TRS
call, including minimum usage
arrangements or programs (whether or
not tied to the acceptance of
equipment), violates section 225 of the
Communications Act. See
Telecommunications Relay Services and
Congressional Review Act
The Commission will send a copy of
the Order in a report to Congress and
the Governmental Accountability Office
pursuant to the Congressional Review
Act. See 5 U.S.C. 801(a)(1)(A).
Ordering Clauses
Pursuant to the authority contained in
Sections 1, 2, and 225 of the
Communications Act of 1934, as
amended, 47 U.S.C. 151, 152, and 225,
this Order is hereby adopted.
The Request for Clarification
submitted by Ultratec, Inc, Sprint
Corporation, and Hamilton Relay, Inc.,
is granted to the extent indicated herein.
The Petition for Declaratory Ruling
filed by the National Exchange Carrier
Association, Inc. (NECA), on behalf of
the Interstate Telecommunications
Relay Service Advisory Council, is
granted to the extend indicated herein.
The Order shall be effective October
14, 2005.
The Commission’s Consumer &
Governmental Affairs Bureau, Reference
Information Center shall send a copy of
the Order, including the Regulatory
Flexibility Certification, to the Chief
Counsel for Advocacy of the U.S. Small
Business Administration.
Federal Communications Commission.
Marlene H. Dortch,
Secretary.
[FR Doc. 05–18029 Filed 9–13–05; 8:45 am]
BILLING CODE 6712–01–P
FEDERAL COMMUNICATIONS
COMMISSION
47 CFR Part 64
[CG Docket No. 03–123; DA 05–2066]
Telecommunications Relay Services
and Speech-to-Speech Services for
Individuals With Hearing and Speech
Disabilities
Federal Communications
Commission.
ACTION: Final rule; clarification.
PO 00000
Frm 00064
Fmt 4700
Sfmt 4700
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Agencies
[Federal Register Volume 70, Number 177 (Wednesday, September 14, 2005)]
[Rules and Regulations]
[Pages 54294-54298]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-18029]
=======================================================================
-----------------------------------------------------------------------
FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 64
[CC Docket No. 98-67 and CG Docket No. 03-123; FCC 05-141]
Telecommunications Relay Services and Speech-to-Speech Services
for Individuals With Hearing and Speech Disabilities
AGENCY: Federal Communications Commission.
ACTION: Clarification.
-----------------------------------------------------------------------
SUMMARY: In this document, the Commission concludes that two-line
captioned telephone service is a type of telecommunications relay
service (TRS) eligible for compensation from the Interstate TRS Fund.
The Commission also approves the National Exchange Carrier Association,
Inc. (NECA), the Interstate TRS Fund Administrator, proposed allocation
methodology for determining the number of inbound two-line captioned
telephone minutes that should be compensated from the Interstate TRS
Fund. Also in this document, the Commission seeks approval from the
Office of Management and Budget (OMB) for any Paperwork Reduction Act
(PRA) burdens contained in this document that will modify OMB Control
No. 3060-1053 to have TRS providers offering two-line captioned
telephone service along with TRS providers offering one-line captioned
telephone service file annual reports with the Commission.
DATES: Effective October 14, 2005. Written comments on the PRA modified
information collection requirements must be submitted by the general
public, Office of Management and Budget (OMB), and other interested
parties on or before November 14, 2005.
ADDRESSES: You may submit PRA comments identified by [CG Docket No. 03-
123 and/or OMB Control Number 3060-1053], by any of the following
methods:
Federal eRulemaking Portal: https://www.regulations.gov.
Follow the instructions for submitting comments.
Federal Communications Commission's Web site: https://
www.fcc.gov/cgb/ecfs/. Follow the instructions for submitting comments.
E-mail: Parties who choose to file by e-mail should submit
their comments to Leslie Smith at Leslie.Smith@fcc.gov and to Kristy L.
LaLonde at Kristy--L.LaLonde@omb.eop.gov. Please include the docket
number and/or OMB Control number in the subject line of the message.
Mail: Parties who choose to file by paper should submit
their comments to Leslie Smith, Federal Communications Commission, Room
1-A804, 445 12th Street, SW., Washington, DC 20554, and to Kristy L.
LaLonde, OMB Desk Officer, Room 10234 NEOB, 725 17th Street, NW.,
Washington, DC 20503.
People with Disabilities: Contact the FCC to request
reasonable accommodations (accessible format documents, sign language
interpreters, CART, etc.) by e-mail: FCC504@fcc.gov or phone (202) 418-
0539 or TTY: (202) 418-0432.
FOR FURTHER INFORMATION CONTACT: Thomas Chandler, Consumer &
Governmental Affairs Bureau at (202) 418-1475 (voice), (202) 418-0597
(TTY), or e-mail Thomas.Chandler@fcc.gov. For additional information
concerning the PRA information collection requirements contained in the
document, contact Leslie Smith at (202) 418-0217, or via the Internet
at Leslie.Smith@fcc.gov.
SUPPLEMENTARY INFORMATION: This Order contains modified information
collection requirements subject to the PRA of 1995, Public Law 104-13.
These will be submitted to OMB for review under section 3507 of the
PRA. OMB, the general public, and other Federal agencies are invited to
comment on the modified information collection(s) contained in this
proceeding. This is a summary of the Commission's Order, adopted July
14, 2005, released July 19, 2005. Copies of any subsequently filed
documents in this matter will be available for public inspection and
copying during regular business hours at the FCC Reference Information
Center, Portals II, 445 12th Street, SW., Room CY-A257, Washington, DC
20554. The full text of the Order and copies of any subsequently filed
documents in this matter will be available for public inspection and
copying during regular business hours at the FCC Reference Information
Center, Portals II, 445 12th Street, SW., Room CY-A257, Washington, DC
20554. The Order and copies of subsequently filed documents in this
matter may also be purchased from the Commission's duplicating
contractor, Best Copy and Printing, Inc. (BCPI), Portals II, 445 12th
Street, SW., Room CY-B402, Washington, DC 20554. Customers may contact
BCPI at their Web site: www.bcpiweb.com or call 1-800-378-3160. To
request materials in accessible formats for people with disabilities
(Braille, large print, electronic files, audio format), send an e-mail
to fcc504@fcc.gov or call the Consumer & Governmental Affairs Bureau at
(202) 418-0530 (voice), (202) 418-0432 (TTY). This Order can also be
downloaded in Word or Portable Document Format (PDF) at: https://
www.fcc.gov/cgb/dro.
Paperwork Reduction Act
The Order contains modified information collection requirements.
The Commission, as part of its continuing effort to reduce paperwork
burdens, invites the general public to comment on the information
collection requirements contained in the Order as required by the
Paperwork Reduction Act of 1995 (PRA), Public Law 104-13. Public and
agency comments are due November 14, 2005. In addition, the Commission
notes that pursuant to the Small Business Paperwork Relief Act of 2002,
Public Law 107-198, see 44 U.S.C. 3506(c)(4), the Commission previously
sought specific comment on how it might ``further reduce the
information collection burden for small business concerns with fewer
than 25 employees.'' In this present document, the Commission has
assessed the effects
[[Page 54295]]
of its determination that two-line captioned telephone service is a
type of TRS eligible for compensation from the Interstate TRS Fund, and
finds that such action will not affect businesses with fewer than 25
employees.
Synopsis
One-Line and Two-Line Captioned Telephone Service
In the August 2003 Captioned Telephone Declaratory Ruling, the
Commission concluded that captioned telephone Voice Carry Over (VCO)
service is a type of TRS, and that eligible providers of such services
are eligible to recover their costs in accordance with Section 225 of
the Communications Act. See Telecommunications Relay Services, and
Speech-to-Speech Services for Individuals with Hearing and Speech
Disabilities, CC Docket No. 98-67, Declaratory Ruling, 18 FCC Rcd
16121, August 1, 2003, published at 68 FR 55898, September 29, 2003,
(Captioned Telephone Declaratory Ruling) recognizing captioned
telephone service as a form of telecommunications relay service (TRS).
Captioned telephone service uses a special telephone that has a text
display. It permits, on one standard telephone line, the user--
typically someone who has the ability to speak and some residual
hearing--to both listen to what is said over the telephone and
simultaneously read captions of what the other person is saying. A
communications assistant (CA) using specially developed voice
recognition technology generates the captions. No typing is involved.
The Captioned Telephone Declaratory Ruling permits providers of
interstate captioned telephone service to be compensated from the
Interstate TRS Fund.
To use one-line captioned telephone service, the captioned
telephone user dials the number of the person she wishes to call.
Unlike with other forms of TRS, the user does not dial the number of a
TRS provider (or the 711 access number). Although the user has dialed
the number of the other party, the captioned telephone automatically
calls a captioned telephone CA at a TRS facility. The TRS provider, in
turn, calls the number of the called party, and all three parties (the
captioned telephone user, the CA, and the called party) are connected.
Unlike ``traditional'' TRS, where the CA would type what the called
party says, the CA instead repeats or re-voices what the called party
says and voice recognition technology automatically transcribes the
CA's voice into text, which is then transmitted directly to the user
and displayed on the captioned telephone. As a result, the captions
appear on the captioned telephone at nearly the same time the user
hears the called party's spoken words. Throughout the call the CA is
completely transparent and does not participate in the call by voicing
any part of the conversation; there is no interaction with the CA by
either party to the call. Calls may be placed to captioned telephone
users via a provider's toll free access number. When such an
``inbound'' captioned telephone call is made, the caller is prompted by
a recording to enter the number he or she wishes to call, and the call
is automatically processed.
The Captioned Telephone Declaratory Ruling did not address two-line
captioned telephone service, and Petitioners now seek clarification
that this type of captioned telephone service is also a type of TRS
eligible for compensation from the Interstate TRS Fund. See Ultratec,
Inc., Sprint Corporation, and Hamilton Relay, Inc., Request for
Clarification, CC Docket No. 98-67 and CG Docket No. 03-123, filed
December 7, 2004 (Ultratec Petition). The Commission refers to
Ultratec, Inc., Sprint Corporation, and Hamilton Relay, Inc. as
Petitioners). As Petitioners explain, two-line captioned telephone
service requires the user to have two standard telephone lines
connected to a captioned telephone. See, e.g., Ultratec Petition at 2.
The first line is set up as the user's primary telephone line, and the
second line transmits the captions from the captioned telephone relay
service. When a two-line captioned telephone user places an outbound
call, he or she dials the number of the party he or she wants to call
on the first line, in the same way that a voice telephone call is made
to the called party. An outbound call occurs when a captioned telephone
user initiates (dials) a call from his or her captioned telephone
hardware device. When this call is being made, the two-line captioned
telephone simultaneously connects to the captioned telephone relay
service on the second line. When this connection is made, the two-line
captioned telephone takes the voice of the party who is called via the
first line and sends it to the captioned telephone relay provider over
the second line. As with one-line captioned telephone, the captioned
telephone CA then re-voices everything that is said by the called
party. Voice recognition technology transcribes what the CA says into
text, and sends captions back on the second line to the text display on
the two-line captioned telephone. In short, with one-line captioned
telephone service the outbound call goes through the captioned
telephone service provider to be connected to the called party; with
two-line captioned telephone service, the primary telephone line links
the calling and called parties directly, and the captioned telephone
service is brought in on a second line.
For inbound calls to the two-line captioned telephone user, the
calling party simply dials the telephone number of the person he or she
wants to call. An inbound call occurs when a captioned telephone user
receives a call from a voice telephone caller. The call goes directly
to the two-line captioned telephone in the same way a call would come
in to any traditional telephone. When the captioned telephone user
answers the call, his or her two-line captioned telephone automatically
calls the captioned telephone relay service on the second telephone
line, and the call then proceeds in the same manner as an outbound two-
line captioned telephone call. Ultratec Petition at 3.
Petitioners cite several benefits that two-line captioned telephone
service offers that are not available with one-line captioned telephone
service. First, because a two-line captioned telephone allows direct
inbound dialing, no special ``relay'' numbers are needed and users can
give out their own telephone numbers to persons who may want to call
them, not the number of a captioned telephone relay service provider.
Second, because two-line captioned telephone service directly connects
both parties to the call on the same telephone line and adds the
captioned telephone relay service on a second telephone line, it allows
the user access to other telephone network features available to voice
telephone users such as *69 to receive information about the last
incoming call and to return such call, call waiting, and call
forwarding. In addition, and for the same reason, this service makes it
possible for users to directly access 9-1-1 emergency services in the
same way that hearing telephone users access these services (while
simultaneously receiving captions back on the second telephone line).
Two-line captioned telephone service also allows two or more persons to
be on the call at the same time e.g., by using another telephone
extension in the same house because the primary connection is a direct
voice connection, just like with any other call. In contrast, one-line
captioned telephone service uses a single connection to carry both
voice traffic and captioning information, which are encoded into a
single data stream. This data stream would be unintelligible to a user
who picks up a
[[Page 54296]]
separate phone connected to the line on which one-line captioned
telephone service is being used. Finally, unlike with one-line
captioned telephone service, the captions service can be added to a
call at any time during the call even after the call is in progress by
engaging the second line which is the call to the captioned telephone
service.
Jurisdictional Separation of Costs and Inbound Two-Line Captioned
Telephone Service
Petitioners and NECA acknowledge that although providers can
readily determine which one-line captioned telephone calls are
interstate and which are intrastate for reimbursement purposes, and can
also make that determination for outbound two-line captioned telephone
calls, they cannot do so for inbound two-line captioned telephone
calls. See the National Exchange Carrier Association, Inc., CC Docket
No. 98-67 and CG Docket No. 03-123, Petition for Declaratory Ruling,
filed December 10, 2004 (NECA Petition). Therefore, NECA proposes that
we adopt an allocation methodology for the jurisdictional compensation
of the inbound two-line captioned telephone calls; i.e., for
determining which such calls shall be compensated by a state, and which
such calls shall be compensated from the Interstate TRS Fund.
As NECA explains, for one-line captioned telephone service the
relay center is able to determine whether each call is intrastate or
interstate because such calls go through the relay center, and
therefore the center can determine where the call originates from the
automatic number identification (ANI) of the caller's telephone number
and where it ends from the called party's telephone number. NECA
Petition at 1-2; see also Ultratec Petition at 6. In other words, the
TRS providers (i.e., call center) captures network information from
both the caller's and the called person's telephone numbers. This
applies to both inbound and outbound one-line captioned telephone
calls. For outbound two-line captioned telephone calls, the process of
determining the jurisdictional nature of the call is the same as for
one-line captioned telephone service. NECA Petition at 2. The telephone
captures the number of the called party that is dialed, and
automatically forwards that number to the relay center through the
second line. See Ultratec Petition at 6. As a result, in this situation
the call center receives from the calling party the user of the two-
line captioned telephone the telephone number of both the calling and
called parties. For inbound two-line captioned telephone calls,
however, the relay center is incapable of determining the location of
the calling (i.e., originating) party to the call. This is because the
originating inbound caller calls the captioned telephone user directly,
and the captioned telephone does not receive information about the
calling party that can be forwarded to the relay center when the
captioned telephone calls the relay center on the second line. NECA
Petition at 2; Ultratec Petition at 7. As a result, the relay center
does not receive the calling party's ANI, and therefore cannot
determine the jurisdictional nature of the call in order to report and
bill either the state or the Interstate TRS Fund for the call. NECA
Petition at 2; Ultratec Petition at 7. Petitioners suggest that
although Caller ID might provide the necessary information, ``this
would not offer a consistent solution because it is often blocked or
unavailable,'' and also note that Caller ID is a fee-based service that
may put an unfair additional financial burden on the user. According to
NECA, presently states are compensating providers of inbound two-line
captioned telephone calls for all such calls.
The problem of determining the jurisdictional nature of inbound
two-line captioned telephone calls was addressed at the Interstate TRS
Advisory Council's (Council) April 2004 and September 2004 meetings.
NECA, on behalf of the Council, now requests that the Commission adopt
an allocation methodology to determine the portion of such calls that
will be considered intrastate, and the portion that will be considered
interstate. NECA notes that an allocation methodology has been approved
and is currently used for toll free (800) and pay-per-call (900) number
calls because providers cannot determine the jurisdictional nature of
such calls. In those cases, the share of minutes compensable from the
Interstate TRS Fund is based on the relationship of interstate and
international TRS minutes to intrastate toll, interstate, and
international TRS minutes. Because this allocation is a means of
estimating the percentage of 800 and 900 number calls that are
interstate, and 800 and 900 number calls are not local calls, only
intrastate calls that are toll calls, and not all intrastate calls, are
included in the denominator of this calculation. NECA requests that a
similar interstate allocation factor be calculated and applied to all
inbound two-line captioned telephone calls. However, for such calls
NECA proposes that the allocation factor be based on the relationship
between the number of interstate and international traditional TRS
minutes to the total number of all traditional TRS minutes (i.e.,
including all intrastate minutes, as well as all interstate and
international minutes). In other words, although NECA proposes that the
same allocation methodology used for 800 and 900 calls also be used to
determine an allocation factor for inbound two-line captioned telephone
calls, the allocation factor applied would not be the same for 800/900
calls and for inbound two-line captioned telephone calls because the
denominator would not be the same. NECA notes that based on this
proposed allocation methodology, the allocation factor for the 2004-
2005 Fund year (using the traditional TRS data projected for the
calendar years 2004 and 2005) would be 10 percent. Pursuant to this
methodology and allocation factor, 10% of the two-line inbound
captioned telephone minutes would be allocated to the interstate
jurisdiction for payment from the Interstate TRS Fund, while the
remaining 90% of the two-line inbound captioned telephone minutes would
continue to be billed to the intrastate jurisdiction. On December 16,
2004, the Ultratec Petition and NECA Petition were placed on Public
Notice. Request for Clarification Filed by Ultratec, Inc., Sprint
Corporation and Hamilton Relay, Inc. and Petition for Declaratory
Ruling Filed by The National Exchange Carrier Association, Inc.
Concerning Two-Line Captioned Telephone Voice Carry Over, A Form of
Telecommunications Relay Service, CC Docket No. 98-67, CG Docket No.
03-12, Public Notice (December 16, 2004) (Two-line Captioned Telephone
Public Notice). Comments were filed by the California Coalition of
Agencies Serving the Deaf and Hard of Hearing (California Coalition
Comments) (January 6, 2005) and Telecommunications for the Deaf, Inc.
(TDI Comments) (January 7, 2005). Ultratec, Inc. (Ultratec) filed reply
comments to the NECA Petition on January 18, 2005 (Ultratec Reply
Comments). All commenting parties support both petitions.
Discussion
Two-line Captioned Telephone Service as a Type of TRS
The Commission concludes that two-line captioned telephone service
is a type of TRS eligible for compensation from the Interstate TRS
Fund. As noted above, in the August 2003 Captioned Telephone
Declaratory Ruling the Commission concluded that one-line captioned
telephone is a type of TRS eligible for compensation from the
Interstate TRS Fund. The record reflects that two-line captioned
telephone
[[Page 54297]]
service is simply a variation of captioned telephone service that
offers the same functionality while also offering the user additional
features, noted above. Ultratec Petition at 2-6; see also California
Coalition Comments at 1-3; TDI Comments at 1-2. These additional
features `` including direct inbound dialing and the ability to use
call waiting, call forwarding, directly call 911, and have two or more
persons on the call at the same time `` represent another step forward
toward functional equivalency. Therefore, the Commission clarifies that
two-line captioned telephone service, like one-line captioned telephone
service, is a type of TRS eligible for compensation from the Interstate
TRS Fund. In reaching this conclusion, the Commission is mindful that
Section 225 obligates the Commission to ensure that interstate and
intrastate TRS are available, to the extent possible and in the most
efficient manner, to hearing-impaired and speech-impaired individuals
in the United States, and to ensure that the TRS regulations encourage
the use of existing technology and do not discourage or impair the
development of improved technology. 47 U.S.C. 225 (b)(1); 47 U.S.C. 225
(d)(2). The Commission also notes that no commenters oppose this
conclusion.
Compensation from the Interstate TRS Fund
The Commission concludes that the same allocation methodology
presently used for 800 and 900 number call minutes should be used for
inbound two-line captioned telephone call minutes. In enacting Section
225, Congress provided for the compensation of TRS providers for their
costs of providing TRS. See 47 U.S.C. 225(d)(1)(D). The users of TRS
cannot be required to pay for the service; see also Captioned Telephone
Declaratory Ruling. This cost recovery regime distinguishes between
interstate and intrastate TRS: the providers of interstate TRS are
compensated from the Interstate TRS Fund, and providers of intrastate
TRS are compensated from the states. See, e.g., 47 U.S.C. 225(c) and
(d)(3); 47 CFR 64.603, 64.604(c)(5). Presently the costs of providing
certain types of intrastate TRS are compensated from the Interstate TRS
Fund, including VRS and IP Relay. See Captioned Telephone Declaratory
Ruling. As noted above, however, with inbound two-line captioned
telephone calls, there is currently no way for the provider to
determine the jurisdictional nature of the call. As a result, the
provider cannot determine which calls should be reported and billed to
the states, and which should be reported and billed to the Interstate
TRS Fund. In these circumstances, NECA has proposed an allocation
methodology by which an interstate allocation factor is calculated and
applied to all inbound two-line captioned telephone minutes. NECA notes
that the impact of the use of its allocation methodology on the fund
would be minimal. NECA Petition at 4. NECA states that although
captioned telephone minutes are growing, they are not a significant
portion of the TRS provider payments (less than 1% of the monthly fund
requirements), and that inbound captioned telephone minutes are in turn
a small portion of total captioned telephone minutes. No party filed an
alternate proposal or an opposition to NECA's proposal.
The Commission agrees with NECA's recommendation that the same
allocation methodology presently used for 800 and 900 number call
minutes should be used for inbound two-line captioned telephone call
minutes. Application of this methodology will ensure that the
Interstate TRS Fund compensates providers of inbound two-line captioned
telephone calls only for such minutes reasonably estimated to be
interstate in nature. As a result, the Commission adopts NECA's
proposed methodology and instructs the Interstate TRS Fund
Administrator to determine and apply, on an annual basis, an allocation
factor for inbound two-line captioned telephone calls that is based on
the relationship between interstate and international traditional TRS
calls and all intrastate, interstate, and international traditional TRS
calls. As with the determination of the allocation factor for 800 and
900 number calls, the Fund Administrator will generally use the
providers' projected minutes of use for traditional TRS. This
allocation factor, along with the allocation factor for 800 and 900
number calls, shall be reflected in the Interstate TRS Fund
Administrator's annual filing with the Commission proposing the TRS
compensation rates for the upcoming TRS Fund year. Upon release of the
Order, NECA shall determine an allocation factor for inbound two-line
captioned telephone calls as specified herein and submit it to the
Commission. After Public Notice and an opportunity for comments, the
Commission will issue an order approving or modifying the proposed
factor. Finally, the Commission notes that Ultratec suggests that we
monitor the usage data of one-line and two-line captioned telephone
service to ensure that any allocation methodology adopted accurately
reflects the usage of two-line captioned telephone service. Utratec
Reply Comments at 4-5. The Commission will do so as part of its general
oversight of the regulation and compensation of TRS.
Final Regulatory Flexibility Certification
The Regulatory Flexibility Act of 1980, as amended (RFA), requires
that an initial regulatory flexibility analysis be prepared for notice-
and-comment rule making proceedings, unless the agency certifies that
the rule will not, if promulgated, have a significant economic impact
on a substantial number of small entities. See 5 U.S.C. 603. The RFA,
see 5 U.S.C. 601-612, has been amended by the Small Business Regulatory
Enforcement Fairness Act of 1996 (SBREFA), Public Law Number 104-121,
Title II, 110 Statute 857 (1996). The RFA generally defines the term
``small entity'' as having the same meaning as the terms ``small
business,'' ``small organization,'' and ``small governmental
jurisdiction.'' 5 U.S.C. 601(6). In addition, the term ``small
business'' has the same meaning as the term ``small business concern''
under the Small Business Act. 5 U.S.C. 601(3) (incorporating by
reference the definition of ``small-business concern'' in the Small
Business Act, 15 U.S.C. 632). Pursuant to 5 U.S.C. 601(3), the
statutory definition of a small business applies unless an agency,
after consultation with the Office of Advocacy of the Small Business
Administration and after opportunity for public comment, establishes
one or more definitions of such term which are appropriate to the
activities of the agency and publishes such definition(s) in the
Federal Register. A ``small business concern'' is one which: (1) Is
independently owned and operated; (2) is not dominant in its field of
operation; and (3) satisfies any additional criteria established by the
Small Business Administration (SBA). 15 U.S.C. 632. Nationwide, there
are approximately 1.6 million small organizations. Independent Sector,
the New Nonprofit Almanac & Desk Reference (2002).
The Order addresses two petitions concerning the regulation and
compensation of captioned telephone service, a form of
telecommunications relay service (TRS). As noted in the Order, in
August 2003, the Commission concluded that captioned telephone Voice
Carry Over (VCO) service is a type of TRS, and that eligible providers
of such services are eligible to recover their costs in accordance with
Section 225 of the Communications Act. See Captioned Telephone
Declaratory Ruling. The Captioned Telephone
[[Page 54298]]
Declaratory Ruling did not address two-line captioned telephone
service, and petitioners now seek clarification that this type of
captioned telephone service is also a type of TRS eligible for
compensation from the Interstate TRS Fund.
As noted in the Order, the record reflects that two-line captioned
telephone service is simply a variation of captioned telephone service
that offers the same functionality while also offering the user
additional features. These additional features represent another step
forward toward functional equivalency. Therefore, in the Order the
Commission clarifies that two-line captioned telephone service, like
one-line captioned telephone service, is a type of TRS eligible for
compensation from the Interstate TRS Fund.
The Commission does not believe this clarification will have a
significant economic impact; however, in the event that it does, the
Commission also notes that there are not a substantial number of small
entities that will be affected by our action. The SBA has developed a
small business size standard for Wired Telecommunications Carriers,
which consists of all such firms having 1,500 or fewer employees. 13
CFR 121.201, NAICS code 517110 changed from 513310 in October 2002.
According to Census Bureau data for 1997, there were 2,225 firms in
this category which operated for the entire year. U.S. Census Bureau,
1997 Economic Census, Subject Series: Information, ``Establishment and
Firm Size (Including Legal Form of Organization),'' Table 5, NAICS code
513310 issued October 2000. Of this total, 2,201 firms had employment
of 999 or fewer employees, and an additional 24 firms had employment of
1,000 employees or more. Thus, under this size standard, the majority
of firms can be considered small. The census data do not provide a more
precise estimate of the number of firms that have employment of 1,500
or fewer employees; the largest category provided is ``Firms with 1,000
employees or more''. Currently, only three providers are providing
captioned telephone service and being compensated from the Interstate
TRS Fund: CapTel, Inc., Hamilton and Sprint. The Commission expects
that only one of the providers noted above may be a small entity under
the SBA's small business size standard. In addition, the Interstate
Fund Administrator is the only entity that will be required to pay to
eligible providers of two-line captioned telephone service the costs of
providing interstate service. The Commission will send a copy of the
Order, including a copy of this Regulatory Flexibility Certification,
to the Chief Counsel for Advocacy of the SBA. (5 U.S.C. 605(b)).
Congressional Review Act
The Commission will send a copy of the Order in a report to
Congress and the Governmental Accountability Office pursuant to the
Congressional Review Act. See 5 U.S.C. 801(a)(1)(A).
Ordering Clauses
Pursuant to the authority contained in Sections 1, 2, and 225 of
the Communications Act of 1934, as amended, 47 U.S.C. 151, 152, and
225, this Order is hereby adopted.
The Request for Clarification submitted by Ultratec, Inc, Sprint
Corporation, and Hamilton Relay, Inc., is granted to the extent
indicated herein.
The Petition for Declaratory Ruling filed by the National Exchange
Carrier Association, Inc. (NECA), on behalf of the Interstate
Telecommunications Relay Service Advisory Council, is granted to the
extend indicated herein.
The Order shall be effective October 14, 2005.
The Commission's Consumer & Governmental Affairs Bureau, Reference
Information Center shall send a copy of the Order, including the
Regulatory Flexibility Certification, to the Chief Counsel for Advocacy
of the U.S. Small Business Administration.
Federal Communications Commission.
Marlene H. Dortch,
Secretary.
[FR Doc. 05-18029 Filed 9-13-05; 8:45 am]
BILLING CODE 6712-01-P