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 Federal  Communications  Commission  DA  02-  2692 
 Before  the  Federal  Communications  Commission 
 Washington,  D.  C.  20554 


 In  the  Matter  of 
 Verizon  Telephone  Companies 
 Section  63.71  Application  to  Discontinue  Expanded  Interconnection  Service  Through 
 Physical  Collocation 


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 WC  Docket  No.  02-  237 


 ORDER 
 Adopted:  October  16,  2002  Released:  October  17,  2002 
 By  the  Chief,  Wireline  Competition  Bureau: 
 1.  On  August  16,  2002,  the  Verizon  Telephone  Companies  (Verizon)  filed  an  application  pursuant  to  section  214  of  the  Communications  Act  of  1934,  as  amended,  1  and 
 section  63.71  of  the  Commission’s  rules,  2  to  discontinue  providing  expanded  interconnection  through  physical  collocation  in  its  federal  tariffs.  3  Pursuant  to  section  63.71(  c)  of  the 
 Commission’s  rules,  in  this  order  we  provide  notice  to  Verizon  that  grant  of  its  application  will  not  be  automatically  effective  on  the  60  th  day  after  its  filing.  4 


 2.  In  its  application,  Verizon  seeks  authority  to  discontinue  federally-  tariffed  physical  collocation  services  in  the  Verizon  East  (the  former  Bell  Atlantic)  region.  5  Verizon  states  that 
 expanded  interconnection  through  virtual  collocation  will  continue  to  be  available  in  its  interstate  tariffs,  and  physical  collocation  will  continue  to  be  available  through  Verizon’s  state 
 tariffs  and  interconnection  agreements.  6  Verizon  will  allow  customers  the  option  of  retaining 
 1  47  U.  S.  C.  §  214. 
 2  47  C.  F.  R.  §  63.71. 
 3  Verizon  Telephone  Companies  Section  63.71  Application,  WC  Docket  No.  02-  237  (filed  Aug.  16,  2002) 
 (Verizon  Application). 
 4  47  C.  F.  R.  §  63.71(  c). 


 5  Verizon  Application  at  1. 
 6  Verizon  Application  at  1. 
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 Federal  Communications  Commission  DA  02-  2692 
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 existing  physical  collocation  arrangements  under  the  interstate  tariffs,  or  converting  those  arrangements  to  rates,  terms,  and  conditions  in  Verizon’s  state  tariffs  and  interconnection 
 agreements.  7  Verizon  proposes  that  supporting  services,  including  DC  power  and  new  cross-connects,  for  all  physical  collocation  arrangements  will  no  longer  be  available  through  the 
 interstate  tariff,  but  will  remain  available  to  collocators  through  state  tariffs  and  interconnection  agreements.  8 


 3.  By  Public  Notice  dated  August  19,  2002,  we  sought  comment  on  Verizon’s  application,  and  notified  the  public  that,  in  accordance  with  section  63.71(  c)  of  the 
 Commission’s  rules,  Verizon’s  application  for  discontinuance  authority  would  be  deemed  granted  on  the  60  th  day  after  the  release  date  of  the  notice,  unless  Verizon  received  notice  that 
 the  grant  would  not  automatically  be  effective.  9  Accordingly,  the  automatic  grant  date  for  this  application  would  be  October  18,  2002. 


 4.  Numerous  Verizon  customers  and  interested  parties  filed  oppositions  to  Verizon’s  application.  The  commenters  raise  a  variety  of  issues,  including:  1)  challenges  to  Verizon’s 
 proposal  to  provide  DC  power  and  cross-  connects  from  state  tariffs  and  interconnection  agreements;  2)  challenges  to  Verizon’s  proposal  to  offer  a  “conversion  credit”  to  collocators 
 in  the  Verizon  New  England  region  that  convert  from  the  federal  tariff  to  a  state  tariff  or  interconnection  agreement;  3)  the  inability  of  non-  carrier  collocators  to  obtain  physical 
 collocation  under  Verizon’s  proposal;  4)  the  unavailability  of  reasonable  substitutes  for  federal  physical  collocation;  5)  arguments  that  the  proposal  would  greatly  increase 
 collocators’  costs  and  is  therefore  unreasonable  and  contrary  to  the  public  interest;  and  6)  the  lack  of  evidence  that  continued  provision  of  federal  physical  collocation  imposes  any 
 financial  or  economic  burden  on  Verizon. 
 5.  Given  the  many  concerns  raised  by  the  commenters,  we  require  additional  time  to  consider  Verizon’s  application.  Therefore,  we  decline  to  grant  the  application  until  we  have 


 had  an  opportunity  to  further  analyze  these  issues.  We  therefore  provide  notice  that  the  application  will  not  be  automatically  granted  on  October  18,  2002.  At  a  later  date,  an  order 
 will  issue  addressing  the  merits  of  the  application.  Until  then,  Verizon  is  not  authorized  to  discontinue  providing  federally-  tariffed  physical  collocation  services. 


 7  Verizon  Application  at  2. 
 8  Verizon  Application  at  5-  6. 
 9  Comments  Invited  on  Verizon’s  Application  to  Discontinue  Federally-  Tariffed  Physical  Collocation  Service, 
 WC  Docket  No.  02-  237,  Public  Notice  (Wireline  Comp.  Bur.  Aug.  19,  2002). 
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 6.  Accordingly,  pursuant  to  sections  1,  4(  i),  and  214  of  the  Communications  Act  of  1934,  as  amended,  47  U.  S.  C.  §§  151,  154(  i),  214,  and  sections  0.91,  0.291,  and  63.71  of  the 
 Commission’s  rules,  47  C.  F.  R.  §§  0.91,  0.291,  63.71,  IT  IS  ORDERED  that  the  application  of  Verizon  to  discontinue  expanded  interconnection  services  through  physical  collocation  WILL 
 NOT  BE  AUTOMATICALLY  EFFECTIVE. 


 FEDERAL  COMMUNICATIONS  COMMISSION 


 William  F.  Maher,  Jr.  Chief,  Wireline  Competition  Bureau 
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