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T`Z`Zff,gg,&,l,l,f,Z",,,&,",^Wf,fffNfNTffr,fTfffTfTrfxBxfNfffNfffffffT,oToToToTrTrrfrTfxT)rrrf,frfNdQdWxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNllf ZfZfZff,gg,,,l,l,f,Z",,,&,2 KY^FZ"i~'^:LpddDDDdp4D48ddddddddddDDpppdLd||p|||D8DpdDddXdXDdp88d8pdddLL8pXdXLD,DpD4ppDDD4DDDDDDdDd8dddddXXXXXL8L8L8L8pddddpppp|Xdddd|Xd|ddddXXpXXXXXdddpdppL8LdLDLdpppd|8|h|D|L|8pppddLLLpLpLpLpp|l|8|ppppppp|p|L|L|Ld|DppL|D|d4ddC8CWddddddddddddddddddddddddddddddddddddddddNHxxHddLdddddd4\4  pG;7jC:,ynXj\  P6G;XP7nC:,Communications Act of 1934, as amended, 47 U.S.C.  151, 154, 405 and 610, Part 68 of the Commission's rules IS AMENDED as set forth in the attached Appendix A.  X-  $s8.  IT IS FURTHER ORDERED that, pursuant to Sections 1, 4, 405, and 710 of the  eCommunications Act of 1934, as amended, 47 U.S.C.  151, 154, 405 and 610, the Petition for  eReconsideration filed by the Consumer Electronics Manufacturers Association is GRANTED to"V ,N(N(ZZ" the extent indicated herein, and otherwise DENIED.  X-  s9.  IT IS FURTHER ORDERED that the Supplemental Final Regulatory Flexibility Analysis set forth in the attached Appendix B is ADOPTED.  X-  $s10.  IT IS FURTHER ORDERED that the rule amendments set forth in the attached Appendix A SHALL BE EFFECTIVE 30 days after publication in the Federal Register. s s  m m  FEDERAL COMMUNICATIONS COMMISSION s  m m  William F. Caton  X -s  m m  Acting Secretaryc" ,N(N(ZZN "  X- #Xj\  P6G;ynXP# APPENDIX A: AMENDED RULES ăQKe Part 68 of Title 47 of the Code of Federal Regulations is amended as follows:  X-  PART 68 CONNECTION OF TERMINAL EQUIPMENT TO THE TELEPHONE  Xv-NETWORK  XH-1.sThe authority citation for Part 68 continues to read as follows: AUTHORITY: Secs. 4, 5, 303, 48 Stat., as amended, 1066, 1068, 1082; (47 U.S.C. 154, 155, 303).  X -2.sSection 68.6 is amended to read as follows:QQKe  X -  68.6 Telephones with volume control.  Xy-As of January 1, 2000, all telephones, including cordless telephones, as defined in Section 15.3(j) of these rules, manufactured in the United States (other than for export) or imported for use in the United States, must have volume control in accordance with Section 68.317 of these rules. Secure telephones, as defined by Section 68.3 of these rules, are exempt from this section, as are telephones used with public mobile services or private radio services.  X-3.sSection 68.112 is amended by revising paragraphs (b)(3) (6), as follows:  X-  X-  68.112 Hearing Aid Compatibility * * * *  X7-(b) Emergency use telephones. Telephones "provided for emergency use" include the following: s(1) *** s(2) *** s(3) ***  X#- s  m m  Xj$-s  (i) *** s  (ii) As of January 1, 2000 or January 1, 2005, whichever date is applicable, there shall be a rebuttable presumption that all telephones located in the workplace are hearing"%',N(N(ZZ%" aid compatible, as defined in Section 68.316. Any person who identifies a telephone as non X-hearing aidcompatible, as defined in Section 68.316, may rebut this presumption. Such telephone must be replaced within fifteen working days with a hearing aid compatible telephone, as defined in Section 68.316, including, on or after January 1, 2000, with volume control, as defined in Section 68.317. .Tech Init 1. 1. 1. a.(1)(a) i) a) 1 .1 .1 .1 .1 .1 .1 .1 Technical s  (iii) Telephones, not including headsets, except those headsets furnished under Section 68.112(b)(3)(A), that are purchased, or replaced with newly acquired telephones, must be: s  m m (A) Hearing aid compatible, as defined in Section 68.316, after the effective date of Section 68.112(b)(3); and s  m m (B) Include volume control, as defined in Section 68.317, on or after  X -January 1, 2000. m m s  m m s  (iv) When a telephone under Subsection (C) is replaced with a telephone from inventory existing before the effective date of amended Section 68.112(b)(3), any person may  Xb-make a bona fide request that such telephone be hearing aid compatible, as defined in Section 68.316. If the replacement occurs on or after January 1, 2000, the telephone must have volume control, as defined in Section 68.317. The telephone shall be provided within fifteen working days. s  (v) *** s(4) *** s(5) Telephones needed to signal life threatening or emergency situations in confined settings, including but not limited to, rooms in hospitals, residential health care facilities for senior citizens, and convalescent homes.  X7-s  (i) *** s  (ii) Telephones that are purchased, or replaced with newly acquired telephones, must be: s  m m (A) Hearing aid compatible, as defined in Section 68.116, after the effective date of amended Section 68.112(b)(5); and s  m m (B) Include volume control, as defined in Section 68.317, on or after  Xh$-January 1, 2000. m m s  m m s  (iii) *** QKes"#',N(N(ZZ%"Ԍ X-Xs(6) ***m m (# s s  (i) Anytime after the effective date of amended Section 68.112(b)(6), if a hotel or motel room is renovated or newly constructed, or the telephone in a hotel or motel room or  X-is replaced or substantially, internally repaired, the telephone in that room must be: + s  m m (A) Hearing aid compatible, as defined in Section 68.316, after the effective date of amended Section 68.112(b)(6); and s  m m (B) Include volume control, as defined in Section 68.317, on or after  X -January 1, 2000.m m ****** " ,N(N(ZZN "  X-   X- #Xj\  P6G;ynXP#O APPENDIX B: SUPPLEMENTAL FINAL REGULATORY FLEXIBILITY ANALYSIS  X-#Xj\  P6G;ynXP#  X- 1 .1 .1 .1 .1 .1 .1 .1 1 A. 1. a.(1)(a) i) a)Technicals 1.  Supplemental Final Regulatory Flexibility Analysis: As required by the  X-Regulatory Flexibility Act (RFA), 5 U.S.C.  603, an Initial Regulatory Flexibility Analysis  X-(IRFA) was incorporated in the Notice of Proposed Rulemaking (NPRM).% F yO- xԍ Access to Telecommunications Equipment and Services by Persons with Disabilities, Notice of Proposed  yO- xRulemaking, CC Docket No. 87124, 11 FCC Rcd 4338 (1995). The RFA, see 5 U.S.C.  601 et seq., has been  xamended by the Contract with America Advancement Act of 1996, Pub. L. No. 104121, 110 Stat. 847 (1996) (CWAAA). Title II of the CWAAA is the Small Business Regulatory Enforcement Fairness Act of 1996 (SBREFA).% The Commission  Xx-sought written public comments in the NPRM, including on the IRFA. In addition, pursuant to the RFA, 5 U.S.C.  603, a Final Regulatory Flexibility Analysis (FRFA) was incorporated in  XJ-the Report and Order.JF yO - xKԍ Access to Telecommunications Equipment and Services by Persons with Disabilities, Report and Order, CC Docket No. 87124, 11 FCC Rcd 8249 (1996). Those analyses conformed to the RFA. This Supplemental Final  X3-Regulatory Flexibility Analysis (SFRFA) in this Order on Reconsideration also conforms to the  X -SBREFA. The Commission's SFRFA in this Order on Reconsideration is as follows:  X -sa.   1 A. 1. a.(1)(a) i) a) 1. a. i.(1)(a)(i) 1) a)Need for, and Objectives of this Order on Reconsideration: The need for and  X -objectives of the rules adopted in this Order on Reconsideration are the same as those  X -discussed in the FRFA in the Report and Order.T F yOy-ԍ Report and Order, 11 FCC Rcd at 8297.T In general, the rules adopted herein amend  X -the Commission's rules at 47 C.F.R.  68.6 to require that as of January 1, 2000, all wireline telephones manufactured or imported for use in the United States must have volume control.  X{-This represents an amendment of the original final rule in the Report and Order requiring all telephones manufactured or imported for use in the U.S. after November 1, 1998, to have  XM-volume control.qMF yO-ԍ 47 C.F.R.  68.6. Report and Order, 11 FCC Rcd at 8282 8283.q For reasons explained in this Order and Reconsideration, the Commission has decided to extend its original November 1, 1998 compliance timeline for this rule by fourteen (14) months, to January 1, 2000. The Commission has also made conforming amendments to portions of 47 C.F.R.  68.112, which require establishments such as workplaces, hospitals and hotels to provide volume control telephones in their facilities. These establishments will not be required to ensure that newly replaced or installed telephones must have volume control until after January 1, 2000. This likewise reflects a 14month extension  X-of the original November 1, 1998 timelines for such establishments adopted in the Report and  X-Order.( F yOn$-ԍ 47 C.F.R.  68.112 (b)(3) (6). Report and Order, 11 FCC Rcd. at 8268, 8271 8272, 8274.  Xg-sb.  Summary of Significant Issues Raised by the Public Comments In Response to  XP-the FRFA: No comments were submitted specifically in response to the FRFA. In its"P ,N(N(ZZ"  X-petition for reconsideration, which was the initiating document for this Order on  X-Reconsideration, the Consumer Electronics Manufacturers Association (CEMA) asserted, inter  X-alia, that if 47 C.F.R.  68.6 was to be applicable to all telephone models on the compliance date, and not only to new models which are registered under Part 68 of the Commission's rules after that date, manufacturers would incur significant expenses caused by the "retooling" of existing production cycles prior to November 1, 1998. Several telephone equipment manufacturers also submitted comments in support of CEMA's petition for reconsideration,  Xc-stating that the rule as adopted in the Report and Order would impose undue burdens on their manufacturing processes and resources.  X -sc.  Description and Estimate of Number of Small Entities to Which Rules Will  X -Apply:  X -s  (1)m m Under the RFA, small entities may include small organizations, small businesses, and small governmental organizations. The RFA generally defines the term "small business" as having the same meaning as the term "small business concern" under the Small Business Act, 15 U.S.C.  632. 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  Xf-additional criteria established by the Small Business Administration (SBA). Id.  X8-s  (2)m m The description and estimate of the number of small businesses to which  X!-the rules will apply set forth in the FRFA in the Report and Order also applies to the rules  X -adopted in this Order on Reconsideration.[ F yO-ԍ Report and Order, 11 FCC Rcd at 8298 8300.[ The same four industry categories identified in the  X-FRFA are also subject to the rules adopted in this Order on Reconsideration: (a) workplaces; (b) confined settings, such as hospitals and nursing homes; (c) hotels and motels; and (d) importers and manufacturers of telephones for use in the United States. The determination of whether or not an entity within these industry groups is small is made by the Small Business Administration (SBA). These standards also apply in determining whether an entity is a small business for purposes of the RFA. The detailed analysis and estimate of the number of small  Xi-entities within each of these above four industry categories in the FRFA to the Report and  XR-Order is also applicable to the rules adopted in this Order on Reconsideration.4RXF {O[-ԍ Id. 4  + s   X$- sd.  Description of Projected Reporting, Recordkeeping and Other Compliance  X -Requirements:  X-s  (1)m m Reporting and Recordkeeping: No additional reporting requirements  X -beyond those identified in the FRFA to the Report and Order are imposed by this Order on  X!-Reconsideration.[!F yOL'-ԍ Report and Order, 11 FCC Rcd at 8300 8301.[ "! z,N(N(ZZ "Ԍ X-ԙs  (2) m m Other Compliance Requirements:%%  X-s  (a) m m The rules adopted in this Report and Order require that on or after January 1, 2000, owners of workplaces, confined settings, and hotels and motels must ensure  X-that newly installed or replacement telephones have volume control.dF yO-ԍ See amendments to 47 CFR  68.112 in Appendix A. d These requirements will affect owners of workplaces, confined settings, and hotels and motels.  X_-s  (b)m m The rules also require that on or after January 1,2000, all telephones  XH-manufactured or imported for use in the United States must have volume control.aHXF yOQ -ԍ See 47 C.F.R.  68.6 in Appendix A.a These rules would affect small as well as large domestic manufacturers and importers of telephones. """""" s   X -se.  Steps Taken to Minimize Significant Economic Burdens on Small Entities, and  X -Significant Alternatives Considered:  X -s  (1) m m The Commission's efforts to learn of and respond to small business  X -concerns detailed in the FRFA to the Report and Order are likewise applicable to this  X-SFRFA.[F yO)-ԍ Report and Order, 11 FCC Rcd at 8301 8302.[ In applying the rules adopted in this Order on Reconsideration, the Commission has sought to minimize any disproportionate burden on small entities. The Commission efforts  Xb-described in the FRFA to the Report and Order are also applicable to the rules adopted in this  XK-Order on Reconsideration.[ KxF yOt-ԍ Report and Order, 11 FCC Rcd at 8302 8303.[ In particular, the Commission's decision in this Order on  X4-Reconsideration to extend the date by which all telephones manufactured or imported for use in the United States must have volume control is a direct result of the Commission's consideration of the impact of the rule on small entities and manufacturers. Furthermore, the Commission's decision to also extend compliance dates for workplaces, confined settings, and hotels is a result of consideration of the potential impact of the rule on small business establishments.  X-s  (2)m m Under Section 610(e) of the Hearing Aid Compatibility Act, the Commission must consider the costs, as well as the benefits, of the proposed rules to all  Xe-telephone users, including persons with and without hearing disabilities.@!eF yO#-ԍ 47 U.S.C.  610 (e).@ In the NPRM, the Commission solicited comment on the costs to establishments of providing volume control and  X7-hearing aid compatible telephones.a"7F yO&-ԍ NPRM, 11 FCC Rcd at 4351 4352, 4359, 4361, 4372.a After reviewing the comments, the Commission  X -concluded in the Report and Order that the new rules will not impose significant additional"  ( ",N(N(ZZ" costs on telephone users, manufacturers or establishments, and that any costs are significantly  X-outweighed by the benefits to be achieved.h#F yOb-ԍ Report and Order, 11 FCC Rcd. at 8275, 8280 8281.h Likewise, in this Order on Reconsideration the Commission specifically considered the costs and benefits of the rules to all telephone users in  X-its decision to extend the original compliance date for volume control by fourteen (14) months.  X-s  (3)m m Small entities will be among the beneficiaries of the Commission's new rules. Under the new rules, telephones in workplaces, confined settings and hotels and motels will be more accessible to persons with hearing disabilities. These changes may lead to new business for hotels and motels and confined settings, and workplaces may be able to hire better employees, since the pool of potential employees will be widened to include persons with hearing disabilities. In addition, the level of public safety will increase in all three settings, thereby benefitting both the business setting and the public at large. The volume control manufacturing requirement probably will increase the consumer demand for volume control telephones, benefitting large and small manufacturers alike, due to the fact that volume control is a feature useful not only to people with hearing disabilities, but to nondisabled telephone users as well. Furthermore, to the extent that the rule amendments may allow smaller manufacturers and suppliers more time to recoup costs sunk in any remaining equipment inventory and allow them to expand their marketing options, they are consistent with section 257 of the Communications Act, as amended, 47 U.S.C.  257. That section requires, among other things, that the Commission eliminate marker entry barriers for small businesses who may provide parts or services to providers of telecommunications services and information  X-services. Id. at  257(a).q$XXF yO&- xԍ The Commission recently issued a report in GN Docket No. 96113 regarding its implementation of section  yO- x;257. See Section 257 Proceeding to Identify and Eliminate Market Entry Barriers for Small Businesses, Report No.  yO-978, 1997 WL 232120 (1997).q  X-s  (4)m m The Commission rejected the proposal of the Consumer Electronics Manufacturers Association in its petition for reconsideration that the volume control rules apply only to new telephone models registered under Part 68 of the Commission's rules after the compliance date. The Commission concluded that this approach would mean that upon the compliance date, some telephone models would be without volume control, which would not further Congressional intent in the HAC Act that persons with hearing disabilities have reasonable access to the telephone network. Rather, the Commission concluded that by extending the compliance timeline by an additional fourteen (14) months, potential burdens on small entities could be reduced, while at the same time furthering the goals of the HAC Act to provide access to the telephone network for people with hearing disabilities.  X-s  f.  Summary of Projected Reporting, Recordkeeping, and Other Compliance  X-Requirements:  X - s  s  On or after of January 1, 2000, all telephones manufactured or imported for use"! x$,N(N(ZZ " in the United States must have volume control; and newly purchased and replacement telephones in workplaces, confined settings and hotels and motels must have volume control on or after January 1, 2000. There are no other recordkeeping or other compliance  X-requirements.%F yO4- xԍ This summary represents only a general statement of requirements for establishments, manufacturers and importers. For a complete and particular statement, see the Amended Rules in Appendix A. s  m m  uu;  X-sg.   Report to Congress: The Commission will include a copy of this Supplementary  Xv-Final Regulatory Flexibility Analysis, along with this Order on Reconsideration, in a report to Congress pursuant to the Small Business Regulatory Enforcement Fairness Act of 1996, 5 U.S.C. Section 801(a)(1)(A). A copy of this SFRFA (or summary thereof) will also be  X1-published in the Federal Register.