Regulatory Overview

Telecommunications carriers and certain other providers of telecommunications may be subject to two layers of regulation.  At the federal level, the FCC establishes rules applicable to entities providing interstate and international services.  This category includes interexchange carriers, toll resellers, and providers of interconnected VoIP, prepaid calling card, payphone, and mobile telephone services.

The states establish rules and regulations applicable to carriers offering services within state boundaries.  This includes providers of local exchange and in-state, interexchange services (“intrastate services”). 

In general, there are three basic components to full regulatory compliance at both the federal and state level:

• Registration, licensing and certification
• Ongoing regulatory compliance and reporting
• Payment of regulatory fees & taxes

Regulatory Fees & Taxes

Compliance and Reporting obligations are imposed on telecommunications services at both the federal and state level.  For example, at the federal level, telecommunications carriers must contribute to five federally-mandated support programs:  USF, TRS fund, NANPA, LNP, and FCC regulatory fees.

States impose various reporting obligations on telecommunications providers.  Many states require reporting and contribution to their own state support programs, including universal service and TRS funds.  Like the FCC, many states also collect fees to recover some of the operating expenses of the applicable state regulatory commission or agency.  Some states impose surcharges to support emergency services, such as E911.  Finally, many states also collect local taxes, in the form of sales taxes, gross revenue taxes, or sales and use taxes.

The Commpliance Group provides complete coverage for each of these areas of compliance.  We can assist you in getting started in telecommunications, prepare all of your ongoing regulatory compliance filings, and provide support for your communications tax and fee obligations.  In short, we can ensure Total Outsourced Regulatory Compliance, so that no deadline is ever missed, and that all of your regulatory compliance obligations are 100% covered.

For a more detailed summary of rules and regulations generally applicable to telecommunications providers, please the FCC Compliance and State Compliance areas of our site. You may also download copies of our Interconnected VoIP or Prepaid Calling Card Fact Sheets.