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Telric Vs. Universal Service: A Takings Violation?, Stuart Buck
Telric Vs. Universal Service: A Takings Violation?, Stuart Buck
Federal Communications Law Journal
While the Telecommunications Act of 1996 has had a profound positive impact on many sectors of the communications industry in the United States, local phone companies have recently faced a serious dilemma under a provision of the Act known as TELRIC. In this article, Stuart Buck presents a current analysis of the position of the telephone company and its struggle to meet costs under the TELRIC structure. The author argues that by forcing regional phone operators to grant wholesale pricing to competitors under TELRIC, while simultaneously maintaining Universal Service requirements of reduced-rate phone access to remote customers, the local phone …
Who’S Taking Whom: Some Comments And Evidence On The Constitutionality Of Telric, David Gabel, David I. Rosenbaum
Who’S Taking Whom: Some Comments And Evidence On The Constitutionality Of Telric, David Gabel, David I. Rosenbaum
Federal Communications Law Journal
The FCC requires that the price of unbundled network elements be equal to the total element long-run incremental cost of production plus a reasonable contribution to common and joint costs. This pricing standard has the potential of making the telecommunications market more competitive. TELRIC prices, however, are set independently of historic costs and therefore may not compensate investors for incurred costs. Hence, incumbent local exchange carriers have been fighting its implementation. In all probability, the U.S. Supreme Court will become involved in the debate over its adoption. The Supreme Court has looked at changes in valuation methods in the past. …