This News Release: Text | Word97
FCC 99-238: Text | Word97 | Acrobat
FactSheet: Text | Word97 | Acrobat
Chronology of Texas Section 271: Text | Word97 | Acrobat
Summary of 14-Point Competitive Checklist: Text | Word97 | Acrobat
Chairman Kennard Statement: Text | Word97
Commisoner Furchtgott-Roth Statement: Text | Word97

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Federal Communications Commission
445 12th Street, S.W.
Washington, D.C. 20554
News media information 202 / 418-0500
Fax-On-Demand 202 / 418-2830
TTY: 202/418-2555

This is an unofficial announcement of Commission action. Release of the full text of a Commission order constitutes official action. See MCI v. FCC. 515 F 2d 385 (D.C. Circ 1974).

June 30, 2000
Mike Balmoris at (202) 418-0253


Local Phone Application to Provide Long Distance Service In-Region is First that is Supported by All Three Relevant Regulatory Bodies

Washington, D.C. – Today the Federal Communications Commission (FCC) approved SBC Communications, Inc.’s application to provide long distance service in Texas. The decision marks the Commission’s second authorization of a Regional Bell Operating Company (BOC) to provide long distance services in its local phone region. Approval promises substantial benefits for consumers in the form of new service providers, lower prices, tailored and bundled service packages, and better customer service. In December 1999, the Commission approved Bell Atlantic’s long distance application for New York.

In the Telecommunications Act of 1996, Congress envisioned fundamental pro-competitive changes in the telecommunications environment by making a BOC’s entry into long distance contingent on the BOC first opening its local service monopoly to competition. A BOC satisfies this contingency by demonstrating compliance with section 271 of the Act.

Today’s action by the Commission follows the Texas Public Utility Commission’s approval on April 26, 2000 and the Department of Justice’s approval on June 13, 2000, marking the first section 271 application that has been supported by all three relevant regulatory bodies.

In granting SBC’s application to enter the long distance market in Texas, the Commission found that SBC has taken the statutorily required steps to open its local telecommunications markets to competition, including compliance with the 14-point checklist. Since the passage of the 1996 Act, the FCC has denied five section 271 applications, and now has approved two applications.

There are a number of elements that were particularly important to opening Texas’ local phone markets to competition. These include:

  1. full and open participation by all interested parties;
  2. independent third party testing of the operational readiness of SWBT’s operational support services (OSS);
  3. development of clearly defined performance measures and standards; and,
  4. adoption of performance assurance measures that ensure future compliance with the section 271checklist. The Commission emphasizes that the grant of this application may close this chapter of the proceeding, but it is not the end of the story. SBC must continue to comply with the checklist requirements, and the Commission has a number of enforcement tools at its disposal, including imposing penalties or suspension of approval.

    Action by the Commission June 30, 2000 by Memorandum Opinion and Order (FCC 00-238). Chairman Kennard, Commissioners Ness, Powell and Tristani approving. Commissioner Furchtgott-Roth concurring and issuing a separate statement.

    CC Docket No. 00-65


    Common Carrier Bureau contacts: Margaret Egler / Jake Jennings at (202) 418-1580

    News about the Federal Communications Commission can also be found on the Commission’s web site