Federal Communications Commission DA 12-389
Before the
Federal Communications Commission
Washington, D.C. 20554
In the Matter of
Petition of Puerto Rico Telephone Company, Inc.
and Puerto Rico Telephone Larga Distancia, Inc.
for Waiver of Section 64.1903 of the 
Commission’s Rules
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WC Docket No. 10-52
ORDER
Adopted:  March 12, 2012 Released:  March 12, 2012
By the Chief, Wireline Competition Bureau:
1. In this Order, the Wireline Competition Bureau (Bureau) extends its conditional waiver of 
section 64.1903 and temporarily defers application of dominant carrier regulation to Puerto Rico 
Telephone Company, Inc. (PRT) for any in-region, interstate and international, long distance services 
PRT provides, other than through a section 64.1903 separate affiliate, until February 16, 2013.  The 
Bureau extends this conditional waiver and deferral to allow the Commission to evaluate PRT’s 
circumstances in parallel with a Petition for Forbearance filed by the United States Telecom Association 
(USTelecom) on February 16, 2012.1  
2. On January 26, 2010, PRT, an independent incumbent local exchange carrier (independent 
incumbent LEC), filed a petition for waiver asserting that: (1) application of the structural separation 
requirements in section 64.1903 is not necessary because PRT faces extensive local and long distance 
competition; and (2) compliance with those requirements imposes unnecessary costs.2 PRT sought 
permission to provide – without using a separate corporate affiliate – in-region, interstate and 
international, long distance services subject to nondominant carrier regulation (except with respect to its 
dominant international routes), conditioned upon safeguards similar to those the Commission imposed on 
the Bell Operating Companies and their independent incumbent LEC affiliates in the Section 272 Sunset 
Order.3  
  
1 See Petition for Forbearance of the United States Telecom Association for Forbearance Under 47 U.S.C. § 160(c) 
from Enforcement of Certain Legacy Telecommunications Regulations, WC Docket No. 12-61 (filed Feb. 16, 2012), 
available at http://transition.fcc.gov/Daily_Releases/Daily_Business/2012/db0308/DA-12-352A1.pdf (USTelecom 
Petition).  The USTelecom Petition, among other things, seeks forbearance from “applying to all independent ILECs 
the structural separation requirements of section 64.1903 and from applying dominant carrier regulation for long 
distance services offered by an independent ILEC on an integrated basis.”  USTelecom Petition at 64. 
2 Petition of Puerto Rico Telephone Company, Inc. and Puerto Rico Telephone Larga Distancia, Inc. for Waiver of 
Section 64.1903 of the Commission's Rules, WC Docket No. 10-52 (filed Jan. 26, 2010) (PRT Petition).  
3 See Letter from Bennett L. Ross, Counsel for PRT, to Marlene H. Dortch, Secretary, FCC, WC Docket No. 10-52, 
at 2-5 (filed July 28, 2010); Section 272(f)(1) Sunset of the BOC Separate Affiliate and Related Requirements; 2000 
(continued....)
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3. On December 23, 2010, the Bureau granted PRT’s request for waiver of section 64.1903 
(the separate affiliate requirement), conditioned on PRT complying with certain targeted structural 
safeguards and other continuing statutory and regulatory obligations.4 In that order, the Bureau also 
deferred temporarily the application of dominant carrier regulation to PRT’s in-region, interstate and 
international, long distance services, conditioned on PRT's filing, within 90 days of the order's effective 
date (i.e., by March 23, 2011), evidence intended to show that PRT lacks market power in relation to 
those services.5 The Puerto Rico Telephone Waiver Order also stated: “[a]ssuming that PRT meets this 
filing deadline, the deferral will continue for one additional year or until the Commission addresses PRT's 
supplemental submission, whichever occurs earlier.  If the Commission does not address PRT's 
supplemental submission by [March 23, 2012], PRT will have thirty days either to comply with dominant 
carrier regulation in its provision of in-region, interstate and international, long distance services or cease 
providing those services through an entity other than a rule 64.1903 separate affiliate.”6 The one-year 
period will therefore expire for PRT on March 23, 2012.
4. The USTelecom Petition, among other things, requests that the Commission forbear from 
applying section 64.1903 to all independent incumbent LECs, including PRT.  Because the USTelecom 
Petition raises issues and requires analysis similar to those at issue for PRT, it is prudent to evaluate those 
proceedings in a coordinated manner.  The Bureau therefore finds good cause to extend PRT’s one year 
deadline for compliance with section 64.1903 or dominant carrier regulation for these services, so the 
Commission can consider the related issues raised in the USTelecom Petition.  The statutory deadline for 
the Commission to act on the USTelecom Petition is February 16, 2013, so the Bureau extends PRT’s 
deadline to that same date.7 This extension is subject to the same conditions imposed in the Puerto Rico 
Telephone Waiver Order.8  
5. Accordingly, IT IS ORDERED that, pursuant to sections 1, 4(i) and 4(j) of the 
Communications Act of 1934, as amended, 47 U.S.C. §§ 151, 154(i), 154(j), and section 1.3 of the 
Commission’s rules, 47 C.F.R. § 1.3, and pursuant to authority delegated under sections 0.91 and 0.291 of 
the Commission’s rules, 47 C.F.R. §§ 0.91 and 0.291, the current deadline applicable to Puerto Rico 
  
(...continued from previous page)
Biennial Regulatory Review Separate Affiliate Requirements of Section 64.1903 of the Commission's Rules; Petition 
of AT&T Inc. for Forbearance Under 47 U.S.C. §160(c) with Regard to Certain Dominant Carrier Regulations for 
In-Region, Interexchange Services, WC Docket Nos. 02-112, 06-120, CC Docket No. 00-175, Report and Order and 
Memorandum Opinion and Order, 22 FCC Rcd 16440 (2007) (Section 272 Sunset Order).
4 See Petition of Puerto Rico Telephone Company, Inc. and Puerto Rico Telephone Larga Distancia, Inc. for Waiver 
of Section 64.1903 of the Commission's Rules, WC Docket No. 10-52, Memorandum Opinion and Order, 25 FCC 
Rcd 17704, 17712, para. 16 (WCB 2010) (Puerto Rico Telephone Waiver Order).
5 Puerto Rico Telephone Waiver Order, 25 FCC Rcd at 17714, para. 21.  PRT made its supplementary filing on 
March 23, 2011.  See Comment Sought on Puerto Rico Telephone Company’s Supplemental Filing in Connection 
with Petition for Wavier of Structural Separation Requirements, WC Docket No. 10-52, Public Notice, 26 FCC Rcd 
5208 (Apr. 8, 2011).
6 Puerto Rico Telephone Waiver Order, 25 FCC Rcd at 17714, para. 21.  
7 47 U.S.C. § 160(c) (“Any such petition shall be deemed granted if the Commission does not deny the petition for 
failure to meet the requirements for forbearance under subsection (a) of this section within one year after the 
Commission receives it, unless the one-year period is extended by the Commission.”). 
8 Puerto Rico Telephone Waiver Order, 25 FCC Rcd at 17713-14, para. 20 (“This deferral of dominant carrier 
regulation is conditioned upon PRT’s not increasing its rates for any of PRT’s existing in-region, interstate or 
international, long distance services above their current levels during the deferral period.  It also is conditioned on 
PRT’s compliance with the safeguards we adopt in part III.E.2.c, of this Order to protect PRT residential customers 
who make relatively few interstate long distance calls.”) (citations omitted).
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Telephone Company, Inc. for compliance with section 64.1903 or dominant carrier regulation for these 
services IS EXTENDED to February 16, 2013.
FEDERAL COMMUNICATIONS COMMISSION
Sharon E. Gillett
Chief, Wireline Competition Bureau