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TAXPAYER ASSETS PROJECT - INFORMATION POLICY NOTE
May 9, 1995
- Ad Hoc Coalition to press for Low Cost ISDN Service
- Your help is needed
The following is a sign-on letter to the House Subcommittee on
Telecommunications and Finance, asking that they include a
section in HR 1555 which would require dominant local exchange
carriers to provide ISDN connections priced no more than the cost
of voice service plus the incremental cost of providing ISDN. We
believe that in many markets the additional cost of configuring a
voice line to ISDN (excluding customer premise equipment) is less
than $10 per month. ISDN service can be configured to provide
connections to the World Wide Web at around 128k, nearly 10 times
as fast as a 14.4 modem. This is a two part process. First, we
are soliciting names for a sign-on letter to the Subcommittee.
Second, we will be asking people to contact the Subcommittee
members directly about this issue.
James Love TAP (202/387-8030; love@tap.org)
To sign the letter, please send the following information to Mike
Ward (mike@tap.org; fax 202/234-5176; voice: 202/387-8030).
Name: ______________________________________
Affiliation (optional) ______________________________________
(for purposes of identification only)
Address: ______________________________________
City, State, zip ___________________, _____, __________
(Very Important)
voice telephone (___)_____________
(for verification)
email address ______________________________________
comments ______________________________________
(to be attached to the letter)
Here is the letter we will be giving the Subcommittee.
Ad Hoc Coalition for Low Cost ISDN
Dear Members of the Subcommittee on
Telecommunications and Finance:
We are writing to urge the Subcommittee on Telecommunications and
Finance to address an important issue for consumers of new
information technologies. At present it is possible to provide
high speed digital connections to millions of homes and
businesses using ISDN, a technology that allows for much faster
data transfers than modems over voice grade telephone lines.
This service can be provided over ordinary telephone lines, and
can be deployed cheaply. Some studies suggest that after
installation, ISDN can be delivered to homes for less than $10
per month more than consumers now pay for ordinary telephone
service.
Unfortunately, local exchange telephone companies often charge
fees which are far above cost. The high prices for ISDN services
is one of the most important barriers to the deployment of a
fully switched digital network. Prices are highly varied from
community to community, ranging from $25 to $100 per month for
some basic line charges. Moreover, many local exchange carriers
charge costly per minute ($.01 to $.15 per minute) or per data
packet charges. These usage charges can end up costing hundreds
of dollars per month in some markets.
In general, the local exchange carriers consider ISDN a potential
cash cow, because they can charge high prices for a service that
can be delivered over the existing copper wire infrastructure.
If local exchange carriers made ISDN service available at prices
closer to cost, there would be a huge increase in the demand for
the service, particularly for persons who use the Internet's
World Wide Web. This is a very popular network, which works best
with the higher speed connections that are possible with ISDN.
In HR 1555 Congress is proposing a number of measures that will
encourage competition for local exchange telephone service. If
there was vigorous competition for local exchange service,
carriers would not be able to charge prices for ISDN service that
are so far above cost. However, for millions of residential
consumers competition is still years away.
We propose a provision in HR 1555 that will require a dominant
local exchange carriers who provides ISDN services to charge no
more than the cost of voice grade service, plus the incremental
cost of the upgrade to ISDN. In the spirit of HR 1555, this
requirement would be eliminated when the Commission determined
the dominant carrier faces substantial competition for local
exchange services in the residential market.
As you know, a similar requirement was included in last year's
legislation (HR 3636, 103rd congress), in the section on the
"Open Platform." We were disappointed when the "Open Platform"
service did not appear in HR 1555. We urge you to put a section
in this year's bill which addresses this important problem.
Recommended langauage:
(xx) A common carrier providing local exchange telephone
service that is the dominant carrier and that provides
ISDN service to residential subscribers and small
businesses shall make such a service available to the
public for the price of a voice grade line plus no more
than the incremental cost of providing the ISDN
service. This requirement shall expire when the
Commission determines that the common carrier faces
substantial competition for local exchange services in
the residential market.
Sincerely,
CONTACT INFORMATION FOR HOUSE SUBCOMMITTEE
ON TELECOMMUNICATION AND FINANCE
Here are the members of the House Subcommittee on
Telecommunications and Finance. Please contact them individually
in support of an amendment requiring low cost ISDN service. If
you send a fax, you may want to put something like ATTENTION: HR
1555, since Congressional offices receive quite a bit of mail,
and this makes it easier to route. If you live in the same state
or district of a member, you might want to call the office and
ask for the name of the staffer is who is following the
telecommunications regulation bills. Calls or faxes from
constituents are by far the most effective.
HOUSE SUBCOMMITTEE ON TELECOMMUNICATIONS AND FINANCE
PHONE FAX EMAIL
REPUBLICANS
Fields, Chmn. 226-2424 226-4105
Oxley, Michael(OH) 225-2676 226-1160
Moorhead,Carlos(CA) 225-4176 226-1279
Schaefer, Dan (CO) 225-7882 225-7885 schaefer@hr.house.gov
Barton,Joe (TX) 225-2002 225-3052
Hastert,Dennis (IL) 225-2976 225-0697 dhastert@hr.house.gov
Stearns,Cliff (FL) 225-5744 225-3973 cstearns@hr.house.gov
Paxon,Bill (NY) 225-5625 225-5910
Gillmor,Paul(OH) 225-6405 225-1985
Klug,Scott(WI) 225-2906 225-6492
Cox,Christopher(CA) 225-5611 225-9177
Frisa,Dan(NY) 225-5516 225-3817
White,Rick(WA) 225-6311 225-3524 repwhite@hr.house.gov
Coburn,Tom(OK) 225-2701 225-3038
Bliley,Tom(VA) 225-2815 225-0011
DEMOCRATS
Markey, Edward(MA) 225-2836 225-1716
Hall, Ralph(TX) 225-6673 225-3332
Bryant, John(TX) 225-2231 225-0327
Boucher, Rick(VA) 225-3861 225-0442 ninthnet@hr.house.gov
Manton, Tom(NY) 225-3965 225-1909 tmanton@hr.house.gov
Towns, Edolphus(NY) 225-5061 225-0843
Studds, Gerry(MA) 225-3111 225-2212
Gordon, Bart (TN) 225-4231 225-6887
Rush, Bobby (IL) 225-4372 226-0333
Eshoo, Anna (GA) 225-8104 225-8890 annagram@hr.house.gov
Klink, Ron (PA) 225-2565 226-2274
Dingell,John (MI) 225-4071
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