Price Cap Performance Review for Local Exchange Carriers
On September 14, 1995, the Commission adopted a Second Further Notice of Proposed Rulemaking in this docket, seeking comment on how its price cap regulation of local exchange carriers should be revised as the competition faced by those carriers grows. In particular, the Commission sought comment on relaxing the procedural requirements for establishing new rate elements for new switched access services, and eliminating the lower boundaries of the service band indices. In this Third Report and Order, the Commission adopts the rules it proposed. These rule revisions are intended to make it easier for local exchange carriers to introduce new services, and to lower rates.