8YY Order Aimed at Arbitrage Problems Adopted 5-0

Cutting intercarrier compensation charges should undermine the incentive for 8YY arbitrage schemes such as robocaller "traffic pumping," said the FCC in an 8YY order approved by FCC commissioners Friday (see 2010090047). Commissioner Jessica Rosenworcel, who dissented on the 8YY NPRM adopted in 2018 (see 1806070021), concurred in the vote. The 5-0 vote was expected by some (see 2009040016). The order caps originating 8YY end office, database query and tandem switch and transport charges at their current amounts. It also sets transition periods for them, with the originating 8YY end office charges reduced to bill-and-keep in phases starting July 1 through July 1, 2023. It sets a nationwide rate cap of .001 cent per minute for originating 8YY tandem switching and transport access charges effective July 1, and cuts database query charges to .0002 cent per query over three phases ending July 1, 2023. The order also bars carriers from charging for more than one query per call.