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Class 7 Network Industries, Spring, 2014 The Pole Attachments Act

Published byAngélica Mascarenhas Machado Modified over 6 years ago

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Presentation on theme: "Class 7 Network Industries, Spring, 2014 The Pole Attachments Act"— Presentation transcript:

1 Class 7 Network Industries, Spring, 2014 The Pole Attachments Act
11/17/2018 Class 7 Network Industries, Spring, The Pole Attachments Act Randal C. Picker James Parker Hall Distinguished Service Professor of Law The Law School The University of Chicago Copyright © Randal C. Picker. All Rights Reserved.

2 1978 Pole Attachments Act History
11/17/2018 1978 Pole Attachments Act History Facts from Legislative History 7800 cable pole attachment agreements in place 53% of poles controlled by power companies 85% of these already had telephone wires attached to them Most of the rest controlled by telephone companies November 17, 2018

3 1978 Act Legislative History: FCC Authority
November 17, 2018

4 1978 Act Legislative History: FCC Authority
November 17, 2018

5 1978 Act Legislative History
11/17/2018 November 17, 2018 1978 Act Legislative History

6 1978 Act Legislative History
November 17, 2018 1978 Act Legislative History

7 1978 Act Legislative History
November 17, 2018 1978 Act Legislative History

8 November 17, 2018 1978 Act: Key Definitions

9 1978 Act: FCC Just and Reasonable Rate Regulation (Subject to State Displacement)
November 17, 2018

10 November 17, 2018 1978 Act: State Regulation

11 1978 Act: FCC Just and Reasonable Formula
November 17, 2018

12 1978 Act: Sunset of formula in (d)
November 17, 2018 1978 Act: Sunset of formula in (d)

13 1978 Pole Attachments Act History
11/17/2018 1978 Pole Attachments Act History Rate-Setting without Access Rights Desire to control monopoly power No access required, but if access to poles given and the states have not regulated the price of access, federal rates apply November 17, 2018

14 11/17/2018 1996 Amendments Core Create parallel rights for telecommunications service providers Rewrite of 224(a)(1) and 224(a)(4) New 224(f) Revised rate formulas in 224(d); add new 224(e) November 17, 2018

15 1996 Amendments (47 USC 224): Definitions
November 17, 2018 1996 Amendments (47 USC 224): Definitions

16 1996 Amendments: FCC General Rate-setting Authority
November 17, 2018

17 1996 Amendments: State Authority
November 17, 2018 1996 Amendments: State Authority

18 1996 Amendments: FCC Rate Formula
November 17, 2018 1996 Amendments: FCC Rate Formula

19 What is a “telecommunications service”?
1996 Amendments: What services are covered by the FCC formula? November 17, 2018

20 1996 Amendments: Telecommunications Services rates
November 17, 2018

21 1996 Amendments: Nondiscriminatory Access Right
November 17, 2018

22 Rights Structure Absolute right to access poles? Answer: No, but …
11/17/2018 Rights Structure Absolute right to access poles? Answer: No, but … Sec. 224(f)(1) obligation applies only to a “utility” Under Sec. 224(a)(1), two requirements for utility: LEC or public utility, and poles etc. used for “any wire communications” November 17, 2018

23 11/17/2018 Rights Structure General public utility will not be using poles for communications unless it has entered that business or given access to third parties Once it does so, this triggers the nondiscrimination obligation of 224(f)(1) But, with 47% controlled by telephone companies and at least 85% of the remaining 53% already with wire communications, close to full access November 17, 2018

24 FCC Pole Attachments Order (1998)
November 17, 2018 FCC Pole Attachments Order (1998)

25 FCC Pole Attachments Order (1998): Commingled Cable Service gets benefit of 224(b)
November 17, 2018

26 FCC Pole Attachments Order (1998): What rate for commingled under 224(b)? The 224(d)(3) rate
November 17, 2018

27 FCC Pole Attachments Order (1998): Internet service is not telecommunications service
November 17, 2018

28 Pricing and Internet Service Attachments
11/17/2018 Pricing and Internet Service Attachments What kind of service is cable modem service? Why do we care? Under 224(a)(4), pole attachments rules tied to cable TV systems or provider of telco service Pricing rules tied to cable TV system “solely” providing cable service (224(d)(3)) or telcom carrier providing telcom service (224(e)(1)) or general rule of 224(b) November 17, 2018

29 Pricing and Internet Service Attachments
11/17/2018 Pricing and Internet Service Attachments What kind of service is cable modem service? Why do we care? If cable system hooks up wire doing something other than cable or telcom service, do they have access right and what rate do they pay? November 17, 2018

30 According to the FCC Cable internet
11/17/2018 According to the FCC Cable internet Isn’t a telcom service, so 224(e) doesn’t apply Chooses not to decide whether it is a cable service but applies the 224(d) pricing scheme anyhow November 17, 2018

31 Wireless Carrier Attachments
11/17/2018 Wireless Carrier Attachments Lower Court Analysis 224(a)(1) and (a)(4) together are limited to attaching wires to poles “Read in combination, these two provisions give the FCC authority to regulate attachments to poles used, at least in part, for wire communications, and by negative implication does not give the FCC authority over attachments to poles for wireless communications.” November 17, 2018

32 Wireless Carrier Attachments
11/17/2018 Wireless Carrier Attachments Why is this wrong? Should the theory of the PAA matter? Focus on access to bottleneck facilities? Poles aren’t that for wireless communications? November 17, 2018

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