FCC's Expected Preemption of California's COLR Requirements Is Welcome

By Randolph May

Communications Daily and Policyband are reporting welcome news from FCC Chairman Brendan Carr. Chairman Carr is circulating a proposed order to preempt California's Carrier of Last Resort (COLR) rules if they have the effect of blocking or delaying a provider’s attempt to retire copper wire telephone service after the provider has received FCC approval.

The FCC said: “If adopted, the order would preempt specific regulations to the extent that they are expressly preempted by section 214 or, alternatively, that their enforcement conflicts with discontinuances approved by the Commission under the federal discontinuance framework established by section 214.” 

California's COLR mandates – and those in other states – are a regulatory relic from a bygone monopolistic telecom era that now only serve to impede much-needed network modernization efforts that are crucial to furthering overall consumer welfare and the nation's economy, and national security too. Retirement of legacy copper wire networks allows providers to invest in IP digital networks that make available advanced broadband services. The FCC has made clear that it will not preempt state COLR mandates unless consumers have comparable services available in their area. In today's competitive environment, comparable alternatives are almost universally available.

As long as alternatives are available to consumers, Free State Foundation scholars have long supported efforts by AT&T in California, and carriers in other jurisdictions, to have the FCC preempt COLR requirements that impede network modernization plans by requiring carriers to maintain legacy copper wire offerings, including FSF's comments and reply comments.

The news that the FCC may act soon is welcome and will be an important component of its Build America Agenda.