*Pages 1--2 from  Microsoft Word - 24485.doc*
 Federal  Communications  Commission  FCC  03-  10 
 Before  the  Federal  Communications  Commission 
 Washington,  D.  C.  20554 


 In  the  Matter  of 
 Verizon  Telephone  Companies  Tariff  FCC  Nos.  1,  11,  14  and  16, 
 Transmittal  No.  226 


 )  ) 
 )  WC  Docket  No.  02-  317  ) 
 ) 


 ORDER 
 Adopted:  January  21,  2003  Released:  January  22,  2003 
 By  the  Commission: 
 1.  On  August  21,  2002,  the  Wireline  Competition  Bureau  (Bureau)  released  an  order  that  suspended  for  five  months  and  set  for  investigation  the  above-  referenced  tariff  transmittal.  1 
 This  transmittal  sought  to  revise  existing  security  deposit  provisions  of  the  Verizon  Telephone  Companies  (Verizon)  interstate  access  tariffs  and  to  shorten  the  notice  period  for  refusal  or 
 discontinuance  of  service  contained  in  those  tariffs.  On  October  7,  2002,  the  Bureau  designated  issues  for  investigation.  2 


 2.  On  December  23,  2002,  the  Commission  released  a  policy  statement  responding  to  a  petition  filed  by  Verizon  asking,  among  other  things,  that  the  Commission  permit  carriers  to 
 revise  their  tariffs  to  require  advance  payments,  security  deposits,  and  shorter  notice  periods  to  protect  against  the  risk  of  nonpayment.  3  The  Policy  Statement  was  intended  to  provide  general 
 guidance  to  incumbent  LECs  seeking  to  revise  the  deposit  and  payment  provisions  of  their  interstate  access  tariffs.  Based  on  the  record  developed  in  that  proceeding,  the  Commission 
 found  that  that  the  additional  deposit  revisions  that  Verizon  sought  in  its  petition,  which  were  similar  to  those  proposed  by  Verizon  in  its  tariffs,  were  not  narrowly  tailored  to  meet  the 
 incumbent  LECs’  need  for  additional  protection  against  nonpayment  without  imposing  undue  burdens  on  access  customers  in  general.  4  The  Commission  was  particularly  concerned  about  the 


 1  Verizon  Telephone  Companies,  Tariff  FCC  Nos.  1,  11,  14  and  16,  Transmittal  No.  226,  Order,  17  FCC  Rcd 
 16184  (2002). 
 2  Verizon  Telephone  Companies,  Tariff  FCC  Nos.  1,  11,  14  and  16,  Transmittal  No.  226,  WC  Docket  No.  02- 
 317,  Order,  17  FCC  Rcd  19472  (2002)  (Designation  Order). 
 3  Verizon  Petition  for  Emergency  Declaratory  and  Other  Relief,  Policy  Statement,  WC  Docket  No.  02-  202,  FCC 
 02-  337  (rel.  Dec.  23,  2002)  (Policy  Statement). 
 4  Id.  at  para.  6. 
1
 Federal  Communications  Commission  FCC  03-  10 
 2 
 potential  for  discriminatory  application  and  the  lack  of  evidence  demonstrating  that  current  uncollectibles  pose  a  unique  threat  warranting  the  burdensome  deposits  sought  by  the  incumbent 
 LECs.  5  The  Policy  Statement  also  suggested  possible  tariff  provisions  to  address  the  risk  of  nonpayment.  6 


 3.  Verizon  has  withdrawn  the  tariff  revisions  proposed  under  Transmittal  No.  226  effective  January  17,  2003.  7  This  withdrawal  rendered  moot  the  investigation  of  the  Verizon 
 tariffs. 
 4.  ACCORDINGLY,  IT  IS  ORDERED  that,  pursuant  to  section  204  of  the  Communications  Act  of  1934,  as  amended,  47  U.  S.  C.  §  204,  the  investigation  imposed  by  the 


 Wireline  Competition  Bureau  in  WC  Docket  No.  02-  317  with  respect  to  the  Verizon  Telephone  Companies,  Tariff  FCC  Nos.  1,  11,  14  and  16,  Transmittal  No.  226,  IS  TERMINATED. 


 FEDERAL  COMMUNICATIONS  COMMISSION 


 Marlene  H.  Dortch  Secretary 


 5  Id.  at  para.  14. 
 6  Id.  at  para.  26. 
 7  See  Verizon  Telephone  Companies,  Tariff  FCC  Nos.  1,  11,  14  and  16,  Transmittal  No.  280,  filed  January  16, 
 2003;  Verizon  Telephone  Companies,  Tariff  FCC  Nos.  1,  11,  14  and  16,  Transmittal  No.  284,  filed  January  17,  2003. 
2