Instructions For Fcc Form 499-Q - Telecommunications Reporting Worksheet

reported in the FCC Form 499-A for the first two quarters would be based on actual billings for those

quarters and the relevant safe harbors, and the amounts reported for the final two quarters would be based

on actual billings for those quarters and the traffic studies for those quarters.

Many carriers and other providers of telecommunications now offer packages that bundle fixed local

exchange service with interstate toll service (i.e., voice long distance) for a single price. Revenues for the

whole bundle, except for tariffed subscriber line and PICC charges, should be reported on Line 116, as

described more fully below. The portion of revenues associated with interstate and international toll

services must be identified in columns (d) and (e), respectively.

Filers should make a good faith

estimate of the amounts of interstate and international revenues from bundled local/toll service if they

cannot otherwise determine these amounts from corporate records, and must make their methodology

available to the Commission or the Administrator, upon request.

Interconnected VoIP and CMRS providers may rely on traffic studies if they are unable to determine their

actual interstate and international revenues.

In developing their traffic studies, interconnected VoIP and

CMRS providers may rely on statistical sampling to estimate the proportion of minutes that are interstate

and international. Any revenues associated with charges on customer bills that are identified as interstate

or international must effectively be accounted for (e.g., through proper weighting in a traffic study) as 100

percent interstate or international when reporting revenues.

Sampling techniques must be designed to

produce a margin of error of no more than one percent with a confidence level of 95%. If the sampling

technique does not employ a completely random sample (e.g., if stratified samples are used), then the

respondent must document the sampling technique and explain why it does not result in a biased sample.

Traffic studies should include, at a minimum: (1) an explanation of the sampling and estimation methods

employed and (2) an explanation as to why the study results in an unbiased estimate with the accuracy

specified above. Mobile wireless providers and interconnected VoIP providers should retain all data

underlying their traffic studies as well as all documentation necessary to facilitate an audit of the study

data and be prepared to make this data and documentation available to the Commission upon request. In

addition, CMRS and interconnected VoIP providers that rely on traffic studies must submit those studies to

USAC (see Figure 2 for filing instructions – including address for filing traffic studies, and filing

deadlines). To enable USAC to match traffic studies filed by contributors with their FCC Form 499

filings, include the following identifying information at the top of each page of the traffic study: Filer ID;

Company Name; Affiliated Filers Name (where applicable).

See Universal Service Contribution Methodology, Petition for Declaratory Ruling of CTIA – The Wireless

Association on Universal Service Contribution Obligations, Petition for Declaratory Ruling of Cingular Wireless,

LLC, WC Docket No. 06-122, Declaratory Order, 23 FCC Rcd 1411, 1414, para. 5 (2008) (defining “toll service”)

(Separately Stated Toll Order).

See 2006 Contribution Methodology Reform Order, 21 FCC Rcd at 7534-36, 7547, paras. 29-33, 57; see also

Policy and Rules Concerning the Interstate, Interexchange Marketplace; Implementation of Section 254(g) of the

Communications Act of 1934, as Amended; 1998 Biennial Regulatory Review – Review of Customer Premises

Equipment and Enhanced Services Unbundling Rules in the Interexchange, Exchange Access and Local Exchange

Markets, CC Docket Nos. 96-61, 98-183, Report and Order, 16 FCC Rcd 7418, 7446-48, paras. 47-51 (2001) (CPE

Bundling Order).

See Separately Stated Toll Order, 23 FCC Rcd at 1418, para. 15. In developing traffic studies, toll service traffic

must be identified and treated in a manner that recognizes that such traffic is more likely to be interstate or

international than intrastate. See id. Additionally, appropriate weighting of the higher revenue that is often

associated with toll service must be reflected in the traffic study or studies. See id.

Instructions For Fcc Form 499-Q - Telecommunications Reporting Worksheet - 2017 Page 16

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