ALBLOUNT-L Archives

From: "James E. Walker" <>
Subject: [ALBLOUNT-L] FEE PER CALL
Date: Thu, 11 Mar 1999 10:27:37 -0500

I wrote my Congressman about all this talk of charging us for internet
access. Here is his reply.

Dear James,

Thank you for contacting me regarding your concern that a proposal being
considered bt the FCC would charge customers of local telephone companies
for Internet use. I appreciate hearing from you and having the benefit of
your views.

For over two years the FCC has been considering options to solve a dispute
between local telephone companies, Under current law, If a customer of one
telephone company, calls a customer who belongs to another telephone
company, the company which originated the call must compensate the other
company for handling the last leg of the telephone call. This "reciprocal
compensation" paid by the telephone company is commonly very low, as
incoming and outgoing calls between the companies often balance out.
Individual state laws govern the amount of compensation that is paid by each
telephone company involved.

The proposal the FCC is considering involves the amount of compensation paid
between telephone companies for calls through Internet Sepvice Providers.
There has been some confusion regarding this proposal. This proposal will in
no way affect charges customers currently pay for their Internet service.
Most states have flat rates for local telephone calls which will prevent
local telephone companies from passing onto their customers any excess costs
this proposal may incur. In addition, telephone companies have been
increasing their business due to many customers purchasing a second phone
line specifically for the Internet, which should help compensate for any
Cost increase.

This proposal has not yet been issued for public comment, and the details
are still being ironed out by the FCC. Many constituents have contacted me
with concerns that if this proposal is issued, they will have to pay per
minute for Internet use. As you know, telephone calls which cross state
lines are considered long distance, and are subject to per minute charges.
Telephone calls that remain in-state are considerel local, and are decided
by state law. Though Internet Service Providers are often locally-based,
their connections travel through other states. This has created some
confusion over the juruisdiction of the telephone call: whether it should be
considered long distance, or local.

The FCC has not decided whether to establish these telephone calls as local
or long distance. They expect to issue a final proposal within the next few
weeks. However, whatever decision they make will not effect charges
customers pay for Internet service. Under current law, Internet Service
Providers are charged a flat rate for long distance telephone calls. This
means that customers who use the Internet are also charged a flat rate, and
will not be subject to a per minute charge.

Again, thank you for contacting me. Your thoughts and comments are always
welcome.

With warm regards, I am.

Very truly youirs,

Bob Barr
Member of Congress

(7th District, Georgia)

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• [ALBLOUNT-L] FEE PER CALL by "James E. Walker" <>