FEDERAL COMMUNICATIONS COMMISSION
September 7, 20 I I
JULIUS GENACHQWSKI
CHAIRMAN
The Iionorable Debbie Wasserman Schultz
U.S. House of Representatives
I 18 Cannon I-louse Office Building
Washington, D.C. 20515
Dear Congresswoman Wasserman Schultz:
Thank you for your letter regarding the Commission's current effons to reform the
Universal Service Fund and the intercarrier compensation system. As you noted, one of the
issues the Commission is examining in its Notice ofProposed Rulemaking is access stimulation
and the impact ofCommission policics on services such as conference calling scrvices.
Interested parties recently submittcd comments and reply comments on proposals
regarding access stimulation, and the Commission's staff is in the process ofrcvicwing these
filings. Thc Proposed Rulemaking did not propose to declare the practice unlawful, as many
providers have urged. Rather, it required entities engaging in revenue sharing, which may
include a conference call company, to rcfile their rates to reflect the volumc of traffic delivered.
Rcsolution ofthis issue should bring ccrtainty to providers while taking action to reduce inflated
rcvenues that result from intercarrier compcnsation rates based on elevated traffic volumes.
As the Commission considers thcsc issues, our objective is to spur dcployment of
broadband and IP networks while taking measures to prevent gaming the intcrcarrier
compensation system and eliminate any abuses and inefficiencies that are occurring with thc
currcnt system. The reforms also will crcate a level playing field to enable all providers to
compete on equal terms. Please be assured that any decision by the Commission will take into
account the interests ofconsumers. businesses. and carriers, and the imponance of continued
investmcnt in underserved areas.
I appreciate learning ofyour concerns and look forward to your continued input on these
imponant issues.
\;~uliuSGenachowski
445 12TH STREET 5 W WASHINGTON, D.C. 20554 • 202-4 I 8-1 000