*Pages 1--17 from Microsoft Word - 14724.doc* NEWS News Media Information 202 / 418- 0500 TTY 202 / 418- 2555 Fax- On- Demand 202 / 418- 2830 Internet: http:// www. fcc. gov ftp. fcc. gov Federal Communications Commission 445 12 th Street, S. W. Washington, D. C. 20554 This is an unofficial announcement of Commission action. Release of the full text of a Commission order constitutes official action. See MCI v. FCC. 515 F 2d 385 (D. C. Circ 1974). FOR IMMEDIATE RELEASE: News Media Contact: February 7, 2002 Rosemary Kimball at (202) 418- 0511 e- mail: rkimball@ fcc. gov FCC CONSUMER INFORMATION BUREAU RELEASES QUARTERLY REPORT ON COMPLAINTS AND INQUIRIES PROCESSED Data Helps Commission, Companies and the Public Track Trends Washington, DC – The FCC’s Consumer Information Bureau (CIB) has released the latest quarterly report on the types of inquiries and complaints the Commission has received from the public. The attached report is a tabulation of the most common inquiries and informal consumer complaints received during the 4 th quarter of 2001 on broadcast, cable, wireless and wireline telecommunications issues. Inquiries are defined as correspondence or communications received at the Commission from individuals seeking information on matters under the FCC’s jurisdiction. Informal consumer complaints are defined as correspondence or communications received at the FCC from individuals who complain about alleged violations of the Communications Act or FCC rules or orders by entities regulated by the FCC. The statistics show that billing and rates complaints continue to be the largest category of consumer complaints for both wireless and wireline carriers, with corresponding high numbers of consumer inquiries regarding these subjects. Complaints about allegedly indecent radio or television broadcasts are the most common broadcast- related complaints. Complaints containing sufficient detail about an alleged indecent or obscene broadcast (i. e., the call sign of the broadcast station, date and time of day of the broadcast, and a description of the material believed to be indecent or obscene) are forwarded to the FCC’s Enforcement Bureau for appropriate handling. The report shows that relatively few cable- related complaints are filed with the FCC. However, a much larger number of cable- related inquiries are made to the FCC, particularly with regard to service- related issues. Because the FCC generally has limited authority over cable service matters, consumers typically direct their complaints to the cable companies or the local franchising authorities. Overall, there was a 38 percent decline in the total number of consumer complaints reported for the 4 th quarter (9729) compared to those reported for the 3 rd quarter (15599). This decline may be largely explained by the disruption of postal mail following the October anthrax incidents which disrupted mail delivery to federal agencies. With respect to each of the subject areas, these data indicate the volume of inquiries and complaints received at the FCC. They do not include inquiries and complaints made to local and 1 state agencies and the companies themselves. In addition, the FCC’s policy is to encourage consumers to take their complaints directly to the companies involved before filing a complaint with the FCC. Consumers often submit complaints about matters that are outside the FCC’s jurisdiction and which are more appropriately filed with local or state agencies. In addition, the FCC receives many complaints that do not involve violations of the Communications Act or a FCC rule or order. Therefore, the existence of a complaint does not necessarily indicate wrongdoing by the company involved. The FCC’s rules are designed to make it easy for consumers to file complaints and for the companies to move expeditiously to satisfy or answer complaints. For example, the rules governing accessibility to telecommunications services and equipment by individuals with disabilities permit the filing of informal complaints about accessibility problems or concerns by any reasonable means, including postal mail, the telephone, the Internet, fax transmission and audio or video cassette recording. Consumers without disabilities similarly have the option of using regular mail, the telephone, or the Internet to lodge inquiries or complaints. Inquiries and complaints are accorded the same treatment irrespective of the method used by consumers to file them with the FCC. In some instances, the staff may request additional information or documentation that may be needed to effectively process an inquiry or complaint. Information about the Commission’s complaint processes can be obtained by calling CIB’s Consumer Center toll- free at 1- 888- CALL- FCC (TTY users may call 1- 888- TELL- FCC) or by visiting the Bureau’s website at www. fcc. gov/ cib. Attached to the report is a subject reference guide that defines each complaint category. - FCC – Consumer Information Bureau contact: Thomas Wyatt at (202) 418- 1400. For more information about this or any other FCC matter contact the FCC’s Consumer Center at 1- 888- CALL- FCC (1- 888- 225- 5322), voice; or 1- 888- TELL- FCC (1- 888- 835- 5322), TTY; email us at fccinfo@ fcc. gov or visit our Web site at www. fcc. gov/ cib. 2 Summary of Top Consumer Complaint* Subjects Processed by the FCC's Consumer Information Bureau (CIB) Fourth Quarter - Calendar Year 2001 October November December Quarter Total Cable Services Connections to Cable TV System 1 1 2 4 Over the Air Reception Device Issues 1 0 0 1 Programming Issues 3 0 0 3 Rates 3 2 0 5 Satellite Home Viewer Improvement Act 1 0 2 3 Totals 9 3416 October November December Quarter Total Radio & Television Broadcasting Programming - General Criticism 12 8 17 37 Programming -Indecency/ Obscenity** 36 24 11 71 Programming - Religious 4 0 0 4 Other Programming Issues 16 0 0 16 Totals 68 32 28 128 October November December Quarter Total Wireless Telecommunications Billing & Rates 569 399 355 1323 Carrier Marketing & Advertising 130 95 121 346 Contract - Early Termination 90 81 80 251 Cramming 16 15 6 37 Equipment 58 33 37 128 Service Quality 142 89 107 338 Totals 1005 712 706 2423 October November December Quarter Total Wireline Telecommunications Billing & Rates 1954 759 875 3588 Carrier Marketing & Advertising 351 272 239 862 Cramming 331 112 151 594 Service Quality 140 121 129 390 Slamming 513 187 123 823 Telephone Consumer Protection Act 308 328 293 929 Totals 3597 1779 1810 7186 NOTES: (1) see attachment for brief description of subject categories. * A complaint is defined as a communication received at CIB’s consumer centers either via letter, fax, e- mail or telephone from individuals who complain about the alleged unlawful actions or omissions of an entity regulated by the FCC. The FCC receives many complaints that do not involve violations of the Communications Act or a FCC rule or order. The existence of a complaint does not necessarily indicate wrongdoing by the company involved. ** Complaints regarding alleged indecency/ obscenity during specific broadcasts are forwarded to the Enforcement Bureau for appropriate handling. The numbers reported in this category include complaints forwarded tot he Enforcement Bureau as well as complaints received separately by the Enforcement Bureau. Of the 71 complaints, 49 were referred to or received by the Enforcement Bureau. Edited: February 4, 2002 Page 1 of 15 3 Top Consumer Issues – Subject Category Reference Guide CABLE SERVICES Connections to Cable Systems: Complaints/ inquiries regarding availability or quality of connections to cable systems. Over- The- Air- Reception- Devices (OTARD) Issues: Complaints/ inquiries regarding the installation, maintenance or use of antennas -- including direct- to- home satellite dishes that are less than one meter (39.37") in diameter (or of any size in Alaska), TV antennas, and wireless cable antennas -- to receive video programming Programming Issues: Complaints/ inquiries regarding program content or the selection of channels or programs to be distributed to subscribers. RATES: Complaints/ inquiries concerning the rates charged for cable programming service (or expanded basic) tier on a cable system Satellite Home Viewer Improvement Act (SHVIA) Issues: Complaints/ inquiries concerning satellite carrier provision of television broadcast (including distant or national) programming to subscribers RADIO & TELEVISION BROADCASTING Programming Issues x Indecency/ Obscenity: Complaints/ inquiries regarding broadcast programs that allegedly contain indecent or obscene material x Loud Commercials: Complaints/ inquiries regarding abrupt changes in volume during transition from regular programming to commercials x Religious: Complaints/ inquiries regarding religious programs x Violence: Complaints/ inquiries regarding violence in programs x General Content Criticism: generalized concerns regarding the content of broadcast programs WIRELESS TELECOMMUNICATIONS Billing and Rates- Related – Includes the Following Subcategories: Billing/ Rates - Airtime Charges: Disputes regarding charges to subscriber for actual time spent talking on a wireless phone Billing/ Rates- Credit/ Refunds/ Adjustments: Disputes regarding credits, refunds, or bill adjustments Billing/ Rates (continued) Page 2 of 15 4 Billing/ Rates - Line Items: complaints/ inquiries regarding surcharges and taxes appearing on a phone bill x Access Charge: Complaints/ inquiries regarding miscellaneous line items charges x E- 911: Complaints/ inquiries regarding provision of automatic location information and automatic number identification via a wireless phone used to contact a 911 call center. x Taxes: Complaints/ inquiries regarding taxes appearing on cellular bill x Universal Service: Complaints/ inquiries about the availability and affordability of phone service for low income consumers in geographic areas where the costs of providing telephone service is high Billing/ Rates – Recurring Charges: Disputes over recurring monthly charges that appear on a customer’s bill Billing/ Rates – Roaming Rates: Disputes about charges assessed to the subscriber for wireless calls made while roaming in another carrier’s territory Billing/ Rates – Rounding: Disputes/ inquiries about the practice of rounding calls to a full minute Billing/ Rates – Service Plan Rate: Disputes/ inquiries about the terms and conditions of service: x Activation Fee: usually one time charge to initiate service x Off- Peak: specified time where per- minute rate is lower x Optional Services: including caller- id, voice mail, road- rescue, etc. x Peak: specified time where per- minute rate is higher x Prepaid Service: subscriber pays for service in advance x Promo Plan: including minute allowances x Security Deposit: usually one time charge that is held by the carrier for a specified timeframe in order for subscriber to acquire service Carrier Marketing & Advertising: Disputes/ inquiries regarding advertising and marketing practices of carriers including alleged misrepresentations Contract – Early Termination: Disputes/ inquiries regarding termination of a subscriber’s service prior to end of specified contract term x Termination of Service by subscriber: subscriber’s liability for terminating service prior to specified contract term x Termination of Service by carrier: carrier’s right to disconnect a subscriber’s service prior to end of a specified contract term Cramming: Consumer complaints/ inquiries about allegedly unauthorized, misleading, or deceptive charges appearing on a telephone bill Page 3 of 15 5 Equipment: Complaints/ inquiries about telecommunications equipment used or purchased by a subscriber. x Faulty Equipment: involves technical problems or malfunctioning equipment x Stolen Equipment: involves the purported misuse of or other problems associated with stolen equipment Service – Quality/ Coverage: Disputes/ inquiries regarding quality of service or the lack of coverage within a geographic area served by a wireless provider: x Dead Spots: inability to receive service within certain areas x Dropped Calls: premature termination of calls x Home Area Service: overall quality of service within the subscriber’s local calling area x Network Busy Signal: involving calls that do not go through because of overcrowding of the service frequencies x Roaming Availability: availability of service outside the subscriber’s local calling area x Roaming Service: overall quality of service while roaming x Service Interruption: inability to use cellular phone because service was interrupted by service provider WIRELINE TELECOMMUNICATIONS Billing and Rates- Related – Includes the Following Subcategories: Billing/ Rates Credit/ Refunds/ Adjustments: Disputes/ inquiries about credits, refunds, or adjustments allegedly owed to the subscriber Billing/ Rates – Line Item: Complaints/ inquiries about the line items appearing on telephone bills: x Access – Subscriber Line Charge: questions regarding subscriber local- loop line charges for maintaining residential and business and telephone access to the network x Access – Universal Service: questions regarding the FCC’s universal service fund-affordable access to basic telephone service for low income consumers, consumers in high- cost areas, schools, libraries, and rural health care facilities. x Interstate Directory Assistance: questions about charges assessed for access to directory assistance information x Taxes on Telephone Bill: questions about local, state, or federal taxes appearing on a telephone bill x Truth in Billing – No Service Provider ID: Disputes/ inquiries about whether the name of the service provider and/ or contact information for the service provider is easily identifiable on the bill Page 4 of 15 6 x Truth in Billing – Bundled Charges: Disputes/ inquiries about whether bills contain plain language description and breakdown of charges for each carrier when multiple carriers appear on the bill x Truth in Billing – No Payment Solution: Disputes/ inquiries about whether a bill clearly distinguishes charges for which nonpayment will result in disconnection from those that will not result in disconnection Billing/ Rates – Rates: Miscellaneous disputes/ inquiries about the rates and charges billed by telephone companies: x Casual Call Billing: rates billed for calls placed from non- public phones through a carrier who is not the presubscribed carrier for the telephone (or which does not recognize a telephone number as that of a subscriber) x Double Billing: dispute involving alleged double billing for calls or services x DSL Rate Problem: DSL promotion plan rates allegedly altered or unspecified to consumer x International Internet Dial- up: international calls (routed to places like Chad, Madagascar or other countries) that were billed to consumers as a result of using local (domestic) Internet service providers to access websites x International Calls – Rates: international calls, rates and/ or service that either originate or terminate in the U. S. x International 809# Billing: 809 area code collect call and consumer dialing scam x 900 Pay- Per- Call Billing: commercially provided interstate 900 number information or entertainment services x OSP Rates: rates charged for interstate calls placed from public phones x Rates for Interstate Telecommunications Services – Billing: disputes about interstate rates and charges Billing/ Rates – Recurring Charges: Disputed/ inquiries about recurring charges that appear on a customer’s bill Carrier Marketing & Advertising: Disputes/ inquiries regarding the marketing and advertising practices of interexchange carriers Service Quality: Complaints/ inquiries regarding the quality of service provided by telephone companies: x DSL Service Inadequate: poor quality of service or service outage x Interstate Telecommunications: poor call reception, service outage, service disconnects, or carrier’s failure to release telephone line (and no charges are associated) x Long Distance Service Treatment: inadequate customer service treatment by long distance carrier including, but not limited to, additional services being added without the consumer’s knowledge or approval, etc. Page 5 of 15 7 Slamming – Complaints/ inquiries regarding the practice of changing a subscriber’s telecommunications service provider (or a calling plan) without the subscriber’s permission x International slam: changing a subscriber’s international long distance service without permission x Local Service slammed: changing a subscriber’s local or regional intrastate long distance service without permission x Local and Long Distance slammed: changing a subscriber’s local and long distance service without permission x Long Distance slammed: changing a subscriber’s interstate telephone company service without permission x Slamming w/ Problem LOA: changing a subscriber’s interstate telephone company based on fraudulent signed documents or illegal format, such as sweepstake. Telephone Consumer Protection Act (TCPA): Complaints/ inquiries regarding compliance with the TCPA: x Artificial or Prerecorded Message and/ or ATDS: calls to a residence using an artificial or prerecorded voice to deliver a message without prior consent of the called party prohibited unless an emergency exists x Do Not Call List Request Not Honored: no person or entity may initiate any telephone solicitation to a residential telephone subscriber-- unless such person or entity has instituted procedures for maintaining a list of persons who have requested not to receive telephone solicitations x Fax Complaint: unsolicited (“ junk”) faxes or the use of a computer or other device to send any messages via a telephone facsimile prohibited unless such message clearly contains the date and time it is sent and an identification of the business, other entity or individual sending the message x TCPA General Solicitations: Disputes/ inquiries about the initiation of a call or message for the purpose of encouraging the purchase or rental of, or investment in property, goods, or services x Time of Day violation: no person or entity may initiate any telephone solicitation to a residential telephone subscriber before 8 a. m. after 9 p. m. (local time based on the called party’s location) Page 6 of 15 8 Page 7 of 15 Consumer Information Bureau Top Radio & Tel evi si on Broadcasti ng Consumer Compl ai nts Fourth Quarter - Cal endar Year 2001 0 5 10 15 20 25 30 35 40 Number of Complaints Programming - General Criticism 12 8 17 Programmi ng -I ndecency/ Obsceni t y** 36 24 11 Programmi ng - Rel i gious 4 0 0 Ot her Pr ogrammi ng Issues 16 0 0 Oct ober November December 9 Page 8 of 15 Consumer I nf ormati on Bureau Top Cabl e Servi ce Consumer Compl ai nt s Fourth Quarter - Cal endar Year 2001 0 0. 5 1 1. 5 2 2. 5 3 3. 5 Number of Complaints Connect i ons t o Cabl e TV Syst em 1 12 Over t he Ai r Recepti on Devi ce I ssues 1 00 Programmi ng Issues 3 00 Rat es 3 20 Satellite Home Viewer Improvement Act 1 02 Oct ober November December 10 Page 9 of 15 Consumer I nformati on Bureau Top Wi rel ess Tel ecommunicati ons Consumer Compl ai nts Fourth Quarter - Cal endar Year 2001 0 100 200 300 400 500 600 Number of Complaints Billing & Rates 569 399 355 Carri er Marketi ng & Advert i si ng 130 95 121 Contract - Early Termination 90 81 80 Crammi ng 16 15 6 Equipment 58 33 37 Service Quality 142 89 107 Oct ober November December 11 Page 10 of 15 Consumer I nformat i on Bureau Top Wi rel i ne Tel ecommunicati ons Consumer Compl ai nts Fourt h Quarter - Cal endar Year 2001 0 500 1000 1500 2000 2500 Number of Complaints Billing & Rates 1954 759 875 Carrier Marketing & Advertising 351 272 239 Cr amming 331 112 151 Servi ce Quali t y 140 121 129 Sl ammi ng 513 187 123 Tel ephone Consumer Protecti on Act 308 328 293 Oct ober November December 12 Summary of Top Consumer Inquiry* Subjects Processed by the FCC's Consumer Information Bureau (CIB) Fourth Quarter - Calendar Year 2001 October November December Quarter Total Cable Services Over the Air Reception Device Issues 465 343 321 1129 Programming Issues 171 182 155 508 Rates 161 129 212 502 Satellite Home Viewer Improvement Act 249 225 16 490 Service- Related Issues 516 457 528 1501 Totals 1562 1336 1232 4130 October November December Quarter Total Radio & Television Broadcasting General Broadcast Information 324 296 211 831 How to Start Broadcast Station 210 159 164 533 Low Power Broadcast Information 265 236 193 694 Madalyn M. O'Hair Religious Broadcast Rumor 249 108 45 402 General Programming & Content 525 1052 463 2040 Totals 1573 1851 1076 4500 October November December Quarter Total Wireless Telecommunications Billing & Rates 916 912 890 2718 Carrier Marketing 60 87 86 233 Contract - Early Termination 117 162 140 419 Cramming 12 21 16 49 Equipment 47 53 44 144 Service Quality 122 124 14 260 Totals 1274 1359 1190 3823 October November December Quarter Total Wireline Telecommunications Billing & Rates 4781 3622 3972 12375 Carrier Marketing & Advertising 171 211 143 525 Cramming 1932 1257 1396 4585 Service Quality 112 71 117 300 Slamming 6074 4588 4820 15482 Telephone Consumer Protection Act 2045 1542 1369 4956 Totals 15115 11291 11817 38223 NOTES: * An inquiry is defined as a correspondence received at CIB's consumer centers either via letter, fax, email or telephone from individuals seeking information on matters under the FCC's jurisdiction. Edited: February 4, 2002 Page 11 of 15 13 Page 12 of 15 Consumer Information Bureau Top Radio & Tel evision Broadcasti ng I nqui ri es Fourt h Quart er - Cal endar Year 2001 0 200 400 600 800 1000 1200 Number of Inquiries General Broadcast Inf ormati on 324 296 211 How t o Start Broadcast St ati on 210 159 164 Low Power Broadcast I nf ormati on 265 236 193 Madal yn M. O' Hai r Rel i gi ous Broadcast Rumor 249 108 45 General Programmi ng & Content 525 1052 463 Oct ober November December 14 Page 13 of 15 Consumer I nformati on Bureau Top Cable Servi ce Consumer I nquiri es Fourth Quarter - Cal endar Year 2001 0 100 200 300 400 500 600 Number of Inquiries Over t he Ai r Recept i on Devi ce I ssues 465 343 321 Programmi ng Issues 171 182 155 Rat es 161 129 212 Satellite Home Viewer Improvement Act 249 225 16 Servi ce- Rel ated Issues 516 457 528 Oct ober November December 15 Page 14 of 15 ConsumerI nformationBureau Top WirelessTelecommunicationsConsumerInquiries FourthQuarter -CalendarYear2001 0 100 200 300 400 500 600 700 800 900 1000 Number of Inquiries Billing &Rates 916 912 890 CarrierMarketing 60 87 86 Contract -EarlyTermination 117 162 140 Cramming 12 21 16 Equipment 47 53 44 ServiceQuality 122 124 14 October November December 16 Page 15 of 15 Consumer Information Bureau Top WirelineTelecommunications Consumer Inquiries Fourth Quarter - Cal endar Year 2001 0 1000 2000 3000 4000 5000 6000 7000 Number of Inquiries Billing & Rates 4781 3622 3972 Carrier Marketing & Advertising 171 211 143 Cr ammi ng 1932 1257 1396 Ser vi ce Qual i t y 112 71 117 Sl ammi ng 6074 4588 4820 Tel ephone Consumer Prot ect i on Act 2045 1542 1369 Oct ober November December 17