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                                                           Before the
          FEDERAL COMMUNICATIONS COMMISSION          
                     Washington, D.C. 20554
                                                     DA 96-2181
                                                               
                                                               
    In the Matter of)
     )
   Rules and Policies Regarding)CC Docket No. 91-281
  Calling Number Identification)
    Service -- Caller ID)


                  MEMORANDUM OPINION and ORDER
                                
     Adopted:December 23, 1996Released:December 23, 1996


By the Chief, Common Carrier Bureau:


                 I.  INTRODUCTION and BACKGROUND

   1.Southwestern Bell Telephone Company ("SWBT") seeks a stay of Section 64.1601(b) of the
caller identification ("Caller ID") rules.  Section 64.1601 was adopted to permit callers to block
passage of their numbers when using Caller ID and other calling party number ("CPN") based
services.  The carrier seeks a stay of the requirements that implement per call blocking (*67) and per
call unblocking (*82) on public payphones, hotel and motel lines, Centrex and Plexar lines, and lines
equipped with the automatic call return ("ACR") feature.  For the reasons discussed below, we grant
SWBT's petition.  In addition, on our own motion, we suspend the application of Section 64.1601(b)
to party lines and the application of Section 64.1601(a) to LECs without CLASS software.  

   2.Section 64.1601(a) of the Commission's rules requires common carriers using Signaling
System Seven ("SS7") to transmit the calling party number ("CPN") associated with an interstate call
to interconnecting carriers.  Section 64.1601(b) prohibits carriers from revealing a caller's name or
number when the caller requests that information not be provided to the called party.  Section
64.1601(b) also requires carriers employing SS7 to recognize *67 as a request for privacy on an
interstate call.  This rule also requires that if a carrier offers per line blocking it must recognize *82
as a caller's request that the CPN not be blocked on an interstate call.  Section 64.1601(b) applies
to the delivery of the CPN, and extends to call return services.  

   3.In the May 5, 1995 Order, in response to requests for clarification of its Caller ID rules, the
Commission stated that carriers must provide blocking and unblocking capabilities on public
payphones and party lines by January 1, 1997.  The Commission also stated that the Caller ID rules
applied to hotel and motel lines.  With the May 5, 1995 Order, the Commission released a Third
Notice that addressed Caller ID blocking and unblocking requirements as they apply to payphones
and private branch exchange systems ("PBXs").  On July 5, 1995, BellSouth filed for reconsideration
of the May 5, 1995 Order as it applied to blocking and unblocking requirements on payphones, hotel
and motel lines, party lines and lines equipped with the ACR feature.

   4.On September 28, 1995, SWBT filed a petition requesting that the Commission stay  Section
64.1601(b) of its rules until it ruled on issues raised in the BellSouth Reconsideration Petition and
the Third Notice.  In response, the Commission stayed the application of Section 64.1601(b)  for
hotel and motel lines and lines equipped with the ACR feature until January 1, 1997.  Section
64.1601(b) was stayed for Centrex and Plexar lines until further notice in the October 30, 1995
Order.  In granting the stay, the Commission noted that carriers could incur costly and inefficient
network upgrades if they started to comply with Commission rules prior to the resolution of issues
raised in the Third Notice.  The Commission did not, however, stay the blocking and unblocking
requirements for payphones because the decision to grant a stay appeared premature since the rules
for payphones were not to take effect until January 1, 1997.  
   5.On September 27, 1996, SWBT filed a petition requesting that the Commission stay limited
aspects of Section 64.1601 until the Commission ruled on the BellSouth Reconsideration Petition
and the Third Notice.  The SWBT petition was placed on public notice October 4, 1996.  The carrier
requests that the stay apply to payphones, hotel and motel lines, Centrex and Plexar lines, and lines
equipped with the ACR feature.  SWBT contends that the Commission should stay the application
of the Caller ID rules to these categories of  lines because of the same concerns that SWBT raised
in its September 28, 1995 request.  U  S West, Ameritech, BellSouth, Lufkin-Conroe Telephone
Exchange, Inc., and NYNEX filed comments in support of SWBT's petition.  In addition, U S West
stated that the stay requested by SWBT should extend to cover party lines.


                         II.  DISCUSSION

   6.After reviewing the record, we conclude that the public interest would best be served by
temporarily staying the application of Section 64.1601(b) to hotel and motel lines, public payphones,
party lines, and call return services; and the application of Section 64.1601(a) to LECs without
CLASS software.  We find that a stay is warranted because blocking and unblocking requirements
for these categories of lines may be modified as a consequence of information received in response
to the Third Notice, the Fourth Notice, and the BellSouth Reconsideration Petition.

   7.In the October 30, 1995 Order the Commission stayed Section 64.1601(b) for calls that
originated from hotel and motel lines until January 1, 1997.  In reaching that decision, the
Commission stated that " ... no matter how the issues raised in BellSouth's Reconsideration Petition
are resolved, and even if the Commission adheres to its original decision in every material respect,
complying with these rules prior to the resolution of issues raised in the Third Notice impose costly
and inefficient expenditures for network upgrades."   The Commission also noted that "if it adopted
rules different from the existing Caller ID rules, then carriers would have to deploy two separate
software packages unnecessarily."  The Commission therefore expressed concern that carriers could
incur economic harm if they had to comply with the Caller ID rules prior to the Commission's review
of the blocking and unblocking requirements for certain categories of lines.  We find this reasoning
is applicable to SWBT's current petition because the Commission is in the process of evaluating
information that was filed in response to the Third Notice, the Fourth Notice, and the BellSouth
Reconsideration Petition. 

   8.We recognize that in issuing the existing stay the Commission anticipated that this
proceeding would have concluded prior to January 1, 1997, and note that since this proceeding
remains open, the Commission's concern about economic harm continues to be as valid now as it
was then.  Because the Commission granted the Bureau authority to "rule on any additional petitions
for waivers and stays related to [the] Caller ID rules," we conclude that a stay of the application
of Section 64.1601(b) as it applies to public payphones, hotel and motel lines, party lines, and call
return services; and the application of Section 64.1601(a) as it applies to LECs without CLASS
software, is warranted. 


                      III.  ORDERING CLAUSES
     
   9.Accordingly, IT IS ORDERED, pursuant to Section 1.3 of the Commission's rules, 47 C.F.R. 
 1.3, and the authority that is delegated pursuant to Section 0.291 of the Commission's rules, 47
C.F.R.  0.291, that SWBT's petition IS GRANTED to the extent stated herein and is otherwise
DENIED in all respects. 

  10.Accordingly, IT IS ORDERED, pursuant to Section 1.3 of the Commission's rules, 47 C.F.R. 
 1.3, and the authority that is delegated pursuant to Section 0.291 of the Commission's rules, 47
C.F.R.  0.291, that U S West's petition IS GRANTED to the extent stated herein and is otherwise
DENIED in all respects. 

  11. IT IS FURTHER ORDERED, pursuant to Section 1.3 of the Commission's rules, 47 C.F.R.
 1.3, and the authority that is delegated pursuant to Section 0.291 of the Commission's rules, 47
C.F.R.  0.291, that Section 64.1601(b) as it applies to suppression of call return services and to per
call blocking and unblocking for public pay telephones, hotel and motel lines, and party lines, IS
STAYED until further order.

  12.IT IS FURTHER ORDERED, pursuant to Section 1.3 of the Commission's rules, 47 C.F.R. 
 1.3, and the authority that is delegated pursuant to Section 0.291 of the Commission's rules, 47
C.F.R.  0.291, that Sections 64.1601(a) and 64.1603 as they apply to LEC switches without CLASS
software, IS STAYED until further order. 

  13.IT IS FURTHER ORDERED, pursuant to Section 1.3 of the Commission's rules, 47 C.F.R.
 1.3, and the authority that is delegated pursuant to Section 0.291 of the Commission's rules, 47
C.F.R.  0.291, that Southwestern Bell Telephone Company's request for stay IS DISMISSED on
the issue of Centrex and Plexar lines. 





     FEDERAL COMMUNICATIONS COMMISSION


     

     Regina M. Keeney
     Chief, Common Carrier Bureau