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A. 1. a.(1)(a) i) a) I. 1. 1. a.(1)(a) i) a) X   P3 Before the Federal Communications Commission  S-" Washington, D.C. 20554 ă  X`-#Xj\  P6G; XP#In the Matter of hh@) h pp  XI-x` `  hh@) h  X2-Implementation of thehh@)  X-Pay Telephone Reclassificationhh @)hCC Docket No. 96128  X-and Compensation Provisions of the @)hpp  xx 0  X-Telecommunications Act of 1996hh@)  X-x` `  hh@)h  X -SBC Request to Extend Limited Waiver@)  X -of Coding Digit Requirement hh@) x` `  hh@T  Xz -  MEMORANDUM OPINION AND ORDER TP  XL-X` hp x (#%'0*,.8135@8:that the effect is not limited to calls from payphones operated by any particular PSP.Z S-ԍ#X\  P6G;IP# x Id. at 4.pp#X\  P6G;IP#ѣ SBC  Xv-indicates that, altogether, the problems affect a small percentage of all payphone calls.vhZ S -ԍx#X\  P6G;IP#Id. at iii.#&a\  P6G;&P#ѐ  XH-x 1. 0 Transfer Calls From DMS 200 TOPS Switches   X -  x7. SBC states that the "0 transfer" FLEX ANI problem occurs when a customer dials  x="0" without any additional numbers from a payphone and obtains a TOPS operator via a DMS  X - x200 TOPS switch.t Z S-ԍ#X\  P6G;IP#xSee id. at 6.ppt SBC explains that at this stage, the call is carrying the FLEX ANI coding  x.digit ("27," "29," or "70") that identifies the call as a payphone call. SBC states that when the  xLcustomer then requests the operator to transfer the call to a carrier that participates in SBC's 0  xtransfer service, the call arrives at a TOPS switch that has its own outgoing table of ANI ii pairs.  xSBC states that if the incoming ANI ii coding digit pair matches a pair in the outgoing table, the  Xy- xincoming ANI ii pair is successfully sent forward.hyZ S-  ԍx#X\  P6G;IP#The coding digits with the incoming call and the outgoing switch table may be the FLEX ANI coding digits  x("27," "29," "70") or the ANI ii coding digits ("27" and "07") depending on the coding digits employed by the  yOr-carrier sending the call and the switch processing the call. #&a\  P6G;&P# If, however, the incoming ANI ii pair cannot  xkbe matched with a pair in the outgoing table, the switch strips the call of its incoming ANI ii  xintegers and sends the call forward with an ANI ii of "00," thus defeating the call tracking  xcapability of FLEX ANI. SBC asserts that the problem occurs whether the originating payphone  X-is "smart" or "dumb."bZ S-  ]ԍ#X\  P6G;IP#xSee Bureau Coding Digits Waiver Order, 13 FCC Rcd #X\  P6G;IP#at 5010 n.72 (describing the difference between  xZ"smart" and "dumb" payphones). The "27" coding digit identifies a coin line (a smart line) that generally is used  xZwith "dumb" payphones, which are primarily owned by LECs. The coin line rates the call, announces the charge,  xinterrupts the call for coin deposit, terminates the call if coins are not deposited, and controls the acceptance and  xreturn of coins. Coin line calls are automatically routed to an operator switch that provides the intelligent  yO!- xfunctionality. Letter from Michael K. Kellogg, LEC Coalition to William F. Caton, #K\  P@QIP#FCC at 2 (Oct. 2, 1997). The  x"07" coding digit, which also identifies other calls such as hospital and hotel calls on a restricted line, is used to  xidentify "smart" payphones. "Smart" payphones are connected to "dumb lines" that do not perform the coin and  x;control functions performed by the "smart lines" to which dumb payphones ("27" coding digit) are connected. The  xismart payphone has the intelligence within the payphone that performs the rating, announcement of rates, coin  {O%-acceptance and return, as well as accounting in some cases. Id.#&S\  P@Q&P#b  X-  x8. At the time of the Bureau Coding Digit Waiver Order, the 0 transfer program was"J,N(N(JJ"  xpresent in fortysix of SBC's DMS 200 TOPS switches. At this time, only Pacific Bell has not  X- x=resolved this problem.dZ Sb-  =ԍx#X\  P6G;IP#SBC states that Southwestern Bell Telephone Company has resolved the problem in all of its TOPS switches  yO:-and that Nevada Bell never encountered the problem because it does not offer the 0 product.#&a\  P6G;&P#d SBC estimates that all but six of Pacific Bell's switches will be fixed by  X- xthe June 9, 1998 deadline.0Z S-ԍx#X\  P6G;IP#SBC Petition at 7.#&a\  P6G;&P#ё Pacific Bell calculates that less than oneseventh of one percent  x(0.14%) of all payphone calls connected to its network will continue to be affected by this  X- xMproblem.eZ S% -ԍx#X\  P6G;IP#See id.e  XX   #Xj\  P6G; XP#SBC projects that it can meet the requirements on the remaining six switches by August 15, 1998.  Xv- x  X_-x2. 800Type Database Services Calls Routed to POTS Phones  XH-x  X1-  x9. SBC's second implementation problem ("tandemPOTS") pertains to the limits of  xtandem switches in delivering dialaround payphonespecific coding digits for direct calls to  xPOTS terminals. SBC states that the problem arises when both end office and tandem switches  xserve as the Service Switching Point ("SSP"). SBC explains that under these circumstances, the  X - xoriginal FLEX ANI coding digits cannot be passed on 800type Database Services pZ S-ԍ#X\  P6G;IP# xThose services include 800, 888, and 877 calls.#&a\  P6G;&P#ѵ calls routed  xto POTS phone numbers, and when such a routing takes place, the original FLEX ANI coding  X - xdigits are lost in the process of querying the 800 database.} Z Sh-  Mԍ#X\  P6G;IP#x#X\  P6G;IP#SBC states that during all outgoing 800 type Database Service calls the end office switch launches a query  xto the 800 data base. If the 800 database has a POTS routing number, rather than a CIC, the telephone number is  xreturned and the SSP replaces the original FLEX ANI ii integers with the integer "24" which merely identifies the  xwcall as an 800type call. The "24"coding digit is the industry standard on all switch types to (1) indicate an 800 call,  x;(2) generate the routing to the POTS number, and as a result, (3) create the correct Automatic Message Accounting  {O`-record. Id. at 10. SBC Petition at 9. #&a\  P6G;&P#} SBC indicates that the receiving  xcarrier receives the coding digit "24," which signals that the call is an 800type call; however,  xthe receiving carrier is unable to determine if the call originated from a payphone. SBC states  xthat although the problem affects both "smart" and "dumb" payphones, in total the problem  XK-affects less than one percent of payphone calls.K Z S -ԍ#X\  P6G;IP#xId. at 9.pp#&a\  P6G;&P#їpp   "x 10. SBC states that it has discussed changes in industry standards with Bellcore to  x^resolve the automatic replacement of the FLEX ANI coding digits with the "24" digit.  xAdditionally, SBC states that Pacific Bell has submitted the issue to the Industry Numbering":,N(N(JJ"  X- xCommittee.jf5 Sy-  ԍ#X\  P6G;IP#xThis issue is under consideration by the ANI Task Force, a subcommittee of the Alliance for  x,Telecommunications Industry Solutions forum.#K\  P@QIP# The issue has been assigned the issue number 139 and is titled "ANI  {O-ii for Payphone Compensation." Id. at 10.#&S\  P@Q&P# SBC explains that Pacific Bell has recommended to the Industry Numbering  xCommittee that three new ANI ii digit pairs be established to essentially mirror the existing  X- xcodes.f5 S}-ԍ#X\  P6G;IP#xThe three pairs are 27, 29, and 70.#&a\  P6G;&P#Ѣ SBC asserts that this solution would have the added benefit of identifying that the call  x{is toll free, that it originates from a payphone, and that the call is being routed to a POTS terminal.   ?x 11. SBC also notes that the need for standards development will depend upon whether  xthe vendors determine that the implementation of the three new codes will require altering the  xexisting software in the switches at the SSP. In the event that switch development is deemed  xnecessary, SBC asserts that the entire process will require the work and consensus of the industry  xforums and standards forums as well as additional vendor development. SBC states that this  xprocess normally takes a minimum of three to five years, and that even a development period of  xthis length requires strong industry support to move the issue to the top of the list of standards  X -proposals. f5 S -ԍ#X\  P6G;IP#x#X\  P6G;IP#SBC Petition at 10.#&a\  P6G;&P#ѹ   x 12. In the event that complete standards work is not found to be necessary, SBC has  xksuggested that Bellcore may be able to accommodate the new applications and the need for  xvendor uniformity by amending its Generic Requirements ("GR") documents. SBC asserts that  xzthe GR amendments will involve a delay of at least nine months if the proper funding can be  XK- x-obtained and the parties involved can reach agreement, and assuming a timely turnaround on the  x>GR amendments, switch vendors will still require 18 to 24 months to produce the necessary  X- xgeneric software releases.:f5 S-ԍ x#X\  P6G;IP#Id.Ġat 11.#&a\  P6G;&P#ѐ Moreover, SBC claims that even then, the transformation will not  X- xbe complete until LECwide switch translations take place.f5 S-ԍ#X\  P6G;IP#xSee id. SBC estimates LEC switch translations will take six months. #&a\  P6G;&P# SBC claims that it estimates the  X-resulting delay to be in the range of three to five years. pp  X-x  X- x3. 800Type Database Services Calls Routed to Access Tandem Switches  X-  |x 13. SBC's third implementation problem ("tandemscreening") also relates to current  xLlimits on SBC's tandem switches. SBC states that currently its access tandem switches are not  Xe- xcapable of identifying whether IXCs are ready to receive FLEX ANI coding digits. SBC explains  xthat for calls where 800 database lookup is performed at the access tandem, not at the end office,"Nz ,=(=(JJ"  X- xno screening can occur to determine whether or not to send FLEX ANI coding digits.+jf5 Sy-  ԍ#X\  P6G;IP#x#X\  P6G;IP#SBC states that the majority of SBC end offices are equipped with the appropriate FLEX ANI feature which  x=provides the ability to screen calls directed to IXCs. SBC states that currently the screening function is only  {O-available for those IXCs directly connected to the end office#X\  P6G;IP#s. Id. at 12.#&a\  P6G;&P#+ SBC  xjasserts that the access tandem switches are not capable of distinguishing between those IXCs  xready to receive FLEX ANI coding digits and those that are not. SBC claims that the call will  xbe processed improperly if the IXC switches have not been prepared to receive FLEX ANI  X-coding digits.| f5 SO -  zԍ#X\  P6G;IP#xToll free calls transmitted to an IXC by a LEC generally carry billing information codes along with them,  xcalled automatic number identification ("ANI"). The ANI is usually the billing number associated with the  yO - xxoriginating line supplied by the LEC that assists the IXC in properly billing the call. IXCs can also identify a call  {O - xusing a list of payphone originating numbers (LEC ANI lists) after the call is completed. However, without the  xJproper inclusion of FLEX ANI integers, the automated methods available to the IXCs cannot be properly employed  yOI -to identify the call as coming from a payphone in "real time".#&a\  P6G;&P#|   x 14. SBC states that this problem affects calls from both "smart" and "dumb" payphones.  x<SBC estimates that the problem affects less than one tenth of one percent (0.1%) of the combined  XH- xcalls from payphones directly connected to SBC's members.!H f5 S}-ԍx#X\  P6G;IP#SBC Petition at 13.#&a\  P6G;&P#ђ The problem also occurs in an  xunknown percentage of calls from payphones connected to the networks of other competitive and  X -independent LECs who use SBC's access tandems for 800 database lookups.a" $ f5 S-ԍ#X\  P6G;IP#xId.a   x15. SBC suggests that solving this problem may require adapting the same screening  xfunctionality for access tandems that presently exists at end offices. SBC further states that  xresolving the problem will require standards development involving the full range of industry  xplayers as well as the subsequent research and development of the new feature by the switch  X- xvendors.q# f5 S-  ԍx#X\  P6G;IP#SBC states that those involved in the development of a suitable standard may include but are not limited  {O-to the LECs, competitive local exchange carriers ("CLECs"), switch vendors, IXCs, and Bellcore. Id.#&a\  P6G;&P#q SBC predicts that the process and time delays involved in implementing such far  Xy-reaching changes are similar to those stated in the tandemPOTS problem.$y.f5 SX -ԍ#X\  P6G;IP#xSee supra para. 12.#&a\  P6G;&P#ј   /x16. In the event that a complete standards development process is not necessary, and the  xvendors are amenable to expediting their schedules, SBC estimates that it will need two to three  X- xLyears to complete the necessary changes.%f5 S%-ԍ#X\  P6G;IP#xSBC Petition at 14.#&a\  P6G;&P#ђ SBC additionally contends that the conversion of  xNevada Bell's DMS10 offices, which are incapable of performing the screening, to DMS100"n%,=(=(JJ("  X-offices which can screen FLEX ANI integers, will not occur until late in the year 2000.&f5 Sy-ԍ#X\  P6G;IP#xId.#&a\  P6G;&P#ш  X- III. DISCUSSION ĐTP   x17. In this order we grant SBC a limited waiver to resolve the 0 transfer problem until  xthe requested time of August 15, 1998. We grant until December 31, 1998, limited waivers of  xthe payphonespecific coding digit requirement associated with the tandemPOTS and tandem xscreening problems. The limited waivers we grant herein applies to the requirement that, with  x\respect to the technical problems for which the limited waivers are granted: (1) SBC provide  xLpayphonespecific coding digits to PSPs; and that (2) PSPs provide payphonespecific coding digits from their payphones in order to receive compensation.  X -  nx18. Waiver of the Commission's rules is appropriate only if special circumstances  X - xwarrant a deviation from the general rule, and such a deviation will serve the public interest.' hf5 {O-#X\  P6G;IP#эxWAIT Radio v. FCC, 418 F.2d 1153, 1159 (D.C. Cir. 1969).BB""  xWe conclude that the limited waivers we grant in this order meet both criteria. Each of the three  x problems described by SBC in its petition presents special circumstances justifying limited  X- x[waivers from the time requirements for providing payphonespecific coding digits in general.(f5 S;-ԍ#X\  P6G;IP#xBureau Coding Digit Waiver Order, 13 FCC Rcd at 5029, para. 59.''#&a\  P6G;&P#  xThe problems relate to the complexities of implementing FLEX ANI, of which the Commission  xalready has taken note, and the delays in implementation appear reasonable in light of those  XK- xMcomplexities.)Kf5 S-ԍx#X\  P6G;IP#Id.#&a\  P6G;&P#ш The presence of the problems, and SBC's efforts to resolve them, also are in  xkeeping with the spirit of the needed transition period the Commission provided to facilitate the  X-implementation of payphone compensation.*:f5 S-ԍx#X\  P6G;IP#Id.pp#&a\  P6G;&P#ё   x19. We note that these waivers are not granted for a period beyond the waiver period  X- xgranted to other LECs (December 31, 1998) in the Bureau Coding Digit Waiver Order.+` Sc -ԍx#X\  P6G;IP#Bureau Coding Digit Waiver Order, 13 FCC Rcd at 503435, para. 71. #&a\  P6G;&P# SBC  xestimates that the technical problems for which it seeks a waiver affect a small number of  X- xpayphone calls.,z f5 S#-ԍx#X\  P6G;IP#See SBC Petition at 5.#&a\  P6G;&P#ѡ SBC also indicates that it has worked expeditiously to try to solve the problems  xin question within the current deadlines. In some cases, SBC asserts that the solutions to the  x[technical problems rest with entities outside of SBC's control. Moreover, the waivers we grant herein in response to the technical problems presented by SBC are limited in time and scope. "g ,,=(=(JJO"Ԍ X-  ԙx20. The waivers granted herein are in the public interest.-f5 Sy-ԍ#X\  P6G;IP#xBureau Coding Digit Waiver Order, 13 FCC Rcd at 5029, paras. 5964. The waivers reflect technical  X- xproblems previously identified in the implementation of FLEX ANI..hf5 S-ԍx#X\  P6G;IP#Id. at 50405041, paras. 8182.#&a\  P6G;&P#Ѥ The waivers will promote  X- xxthe policies of the Payphone Orders by helping to ensure that payphone compensation payments  xto PSPs are not disrupted due to the technical problems identified by SBC in the implementation  xof FLEX ANI. According to SBC, the waivers relate to only a small portion of payphone calls  xmade by the public. Finally, we condition these waivers as we conditioned the waivers for these  Xx-technical problems in the Bureau Coding Digit Waiver Order.K/Rxf5 S1 -  ԍx#X\  P6G;IP#In the Bureau Coding Digit Waiver Order, the Bureau required that BOCs must provide payphonespecific  x<coding digits earlier than the end of the waiver period for each technical problem, if these problems are resolved  xearlier than the end of the waiver period granted herein. In addition, BOCs must notify IXCs regarding the call and  xswitch problems the BOCs are having on a monthly basis. We also stated that it is our expectation that BOCs and  xother LECs will share information regarding the types of problems that they are having and solutions developed to  xresolve those problems to minimize the delay for the provision of payphonespecific coding digits. Further, we  xrequired that with regard to these technical problems, BOCs and other LECs must notify IXCs regarding these  {O-problems in implementing FLEX ANI.  Id. at 5041, para. 82. K x   x21. We grant SBC a limited waiver with regard to the 0 transfer problem until August  x15, 1998. This time extension is short and a reasonable adjustment of the implementation schedule to accommodate adjustments in the remaining six switches.   x22. We grant SBC limited waivers to resolve the tandemPOTS and tandemscreening  x.problems until December 31, 1998. We are aware that SBC's solutions involve outside parties;  x-however, although SBC requests an extension until October 9, 2000, we conclude that on balance  xLsuch an extended time period is substantially beyond the December 31, 1998 waiver granted to  xLall LECs, and does not reflect the urgency of implementing FLEX ANI to facilitate the payment  X}- x\of percall compensation.0}" f5 SP-ԍ#X\  P6G;IP#x#X\  P6G;IP#Id. at 5034, 5041, paras. 71, 82.#&a\  P6G;&P# An extension until December 31, 1998, is more than a sixmonth  xextension beyond the current June 9, 1998 deadline. In light of the urgency expressed by  XO- xCongress in Section 276 to implement payphone compensation,1O f5 S-  ԍ#X\  P6G;IP#x "...[W]ithin 9 months after the date of enactment of the Telecommunications Act of 1996, the Commission  yO -shall take all actions necessary (including any reconsideration) to prescribe regulations...." 47 U.S.C.  276(b)(1). #&a\  P6G;&P#т we conclude that such  xkextensions of the previous waivers until December 31, 1998 for these technical problems are reasonable.  X-  x23. As in the Bureau Coding Digit Order, we distinguish in this case between the  xrequirement to provide payphonespecific coding digits and the requirement to pay payphone per" *1,=(=(JJ"ԫ X- x<call compensation.2f5 Sy-ԍ#X\  P6G;IP#x#X\  P6G;IP#Bureau Coding Digit Waiver Order, 13 FCC Rcd at 5029, para. 64.''#&a\  P6G;&P# IXCs must pay payphone compensation for payphone calls affected by this  X- xwaiver as required in the Bureau Coding Digit Waiver Order and the Perphone Compensation  X- xOrder.3lhf5 S-  >ԍx#X\  P6G;IP#See Bureau Waiver Order, 12 FCC Rcd at 16,390, para. 12; Bureau Coding Digits Waiver Order, 13 FCC  {O- xRcd at 5001, para. 4; Implementation of the Pay Telephone Reclassification and Compensation Provisions of the  {O-Telecommunications Act of 1996, Memorandum Opinion and Order, DA 98642 (rel. Apr. 3, 1998), at para. 16. #&a\  P6G;&P# Compensation for the calls in question can be paid by IXCs to PSPs through the use  X- xof LECprovided ANI lists on a percall basis or on a perphone basis as set forth in the Per X-phone Compensation Waiver Order.g4f5 S -ԍ#X\  P6G;IP#xId.g  X~-} IV. CONCLUSION ĐTP   x24. In this order, we grant limited waivers for certain technical problems of the June 9,  X9- x1998, deadline set by the March 9, 1998 Bureau Coding Digit Waiver Order for SBC to provide  xpayphonespecific coding digits to PSPs. We conclude that these limited waivers granted herein  X - xto SBC serve the public interest to facilitate the transition to percall compensation. We find that  xithe special circumstances with regard to the technical problems identified by SBC in the provision  xof FLEX ANI and the identification of calls coming from payphones in order for IXCs to pay  xxpayphone compensation are consistent with Section 276 and are in the public interest. We do not  x<anticipate granting any further extensions of these waivers beyond the time limits set forth in this order.  Xl-6 V. ORDERING CLAUSES ă  X>-  ] x25. Accordingly, pursuant to authority contained in Sections 1, 4, 201205, 218, 226, and  x276 of the Communications Act of 1934, as amended, 47 U.S.C.  151, 154, 201205, 218, 226,  xand 276, and the authority delegated pursuant to Sections 0.91, 0.291 and 1.3 of the  xCommission's rules, 47 C.F.R.  0.91, 0.291 and 1.3, IT IS ORDERED that the waiver extensions ARE GRANTED to the extent described herein, and otherwise ARE DENIED.  X-  x26. IT IS FURTHER ORDERED that this order is effective immediately upon release thereof, and that the waivers included in this order are effective June 9, 1998.  X-  r p x ***6FEDERAL COMMUNICATIONS COMMISSION **6******************Lawrence E. Strickling **x**6Deputy Bureau Chief, Common Carrier Bureau 1. a. i.(1)(a)(i) 1) a) 1. a. i.(1)(a)(i) 1) a)