DT 99-020:  Deliberations 

This docket was initially opened to investigate the issue of
congestion on the switched network.  During the course of the
first phase of this proceeding, various parties also suggested
that a dry copper tariff would be useful in fostering high-speed
access to the internet.  In Order No. 23,666, the Commission
issued a decision on network congestion. The Order considered
whether the offering of dry copper as a retail service would
help alleviate network congestion.  At that time, the Commission
was unable to evaluate the costs and benefits of dry copper on
the record presented.  Thus, the Commission directed Verizon to
develop an illustrative tariff for a dry copper retail service
and instructed Staff to ``analyze the illustrative tariff in
terms of the costs and benefits regarding network congestion
relief.''  

Both Verizon and Staff filed the required material.  Comments
were also received from Destek and the ISP Association , after
which a hearing was scheduled.  After two days of hearing and
submissions of final comments from the OCA, Staff, the
Independent Telephone Companies represented by Devine Millimet,
Destek, the ISP Association, Verizon, Mr. John Leslie, North
Country Internet Access and Mr. Robert Landman, we have
concluded that a modified Private Line Service tariff offered by
Verizon on a trial basis would be in the public interest and
consistent with state and federal policy goals.  

Our decision is in accord with the policy goal of promoting
greater deployment of broadband services. In a recent Notice of
Proposed Rulemaking entitled In the Appropriate Framework for
Broadband Access to the Internet over Wireline Facilities, the
FCC noted that ``widespread deployment of broadband
infrastructure has become the central communications policy
objective of the day.''   Moreover, the 1996 Telecommunications
Act includes as a goal the encouragement of the deployment of
advanced telecommunications capability.

Given these principles and policy goals and the policy goal of
the United States to ``promote the continued development of the
Internet,'' we believe our decision to have Verizon offer
DSL-ready facilities to internet service providers will serve to
expand consumer access in New Hampshire to infrastructures that
provide broadband capabilities and is therefore in the public
interest.  

We believe that the modifications to the Series 1000 tariff ,
which will be more fully delineated in our written order, will
allow innovative entities  the opportunity to provide broadband
Internet access services.  If priced and marketed correctly,
this may help prevent future network congestion as it will allow
customers to switch from the dial-up narrowband Internet access
to an xDSL service.  

While some argue a ``dry copper'' alternative is not the right
choice in promoting broadband internet access because the
technological evolution is to move away from copper to fiber
optic transmission facilities, we note that the prevailing
technology of the day is xDSL.  Today, in the residential market
the last mile is nearly always copper.  Thus, our decision will
allow entities such as internet service providers to utilize the
traditional telephone infrastructure to provision broadband to
both residential and business customers. 
DT 99-020:  Deliberations 
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We believe our decision will promote innovation in the
telecommunications industry.  By requiring Verizon to modify its
Series 1000 tariff for a trial period, this Commission, Verizon
and those buying out of the tariff can better assess the
necessity, feasibility and functionality of such an offering. 
In our order we will address reporting requirements and other
specifics related to the offering under the tariff.