SBC Communications Inc. on Tuesday proposed to charge other local phone companies $22 to lease a phone line within its 13-state territory for the remainder of the year.
The RBOC made the offer to phone companies and two trade associations six weeks after a federal appeals court rejected FCC rules. Three weeks ago, the FCC called on phone companies to negotiate leasing agreements with SBC and the other three regional Bells: BellSouth Corp., Qwest Communications International Inc. and Verizon Communications Inc.
SBC said the proposal would be available to any wholesale customer that responds to the company on or before June 15, the day before FCC rules are set to expire. The federal government may ask the U.S. Supreme Court to review the contested regulations.
The CompTel/ASCENT Alliance, one of the trade associations representing phone companies that compete with SBC, said it would share SBC’s proposal with its member companies. “We hope that this proposal will serve as a starting point for true negotiations,” CompTel/ASCENT CEO H. Russell Frisby, Jr. said in a statement. “While CompTel/ASCENT continues to encourage its members to negotiate in good faith, the association is concerned that delaying resolutions of these issues until the end of 2004 does not provide long-term certainty for the telecommunications industry.”
Last week, MCI announced reaching an agreement with Denver-based Qwest to support a framework for open negotiations to set the rates for leasing Qwest’s local phone network. The arrangement calls for former Wisconsin Public Service Commission Chair Cheryl Parrino to mediate the negotiations. MCI has asked the other Bells to enter open, mediated negotiations.
"MCI has encouraged SBC to come to the table for good faith negotiations. SBC has failed to accept our offer so far, but we're hopeful that they'll join MCI in transparent and mediated negotiations,” a spokesperson says. “MCI is willing to consider any offer presented as part of these negotiations."
