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Technology Stocks : LAST MILE TECHNOLOGIES - Let's Discuss Them Here -- Ignore unavailable to you. Want to Upgrade?

To: MikeM54321 who wrote (8692)	10/1/2000 9:59:16 AM
From: elmatador	Read Replies (1) \| Respond to of 12823

A HOUSE BILL could deprive some weaker CLECs of payments from ILECs. The bill, HR 4445, would kill "reciprocal compensation" payments by incumbent local exchange carriers to competitive carriers. ILECs pay 1 cent per minute, but those pennies add up to more than $1 billion a year and could go as high as $4 billion, says John Windhausen, president of the Association for Local Telecommunications Services. One possibility is a compromise that would reduce the payments. Many CLECs are already hurting for cash flow. Loss of recip comp, as it's called, is expected to force CLECs to increase their rates sharply. Some legislative technicians in the House want to tack recip comp onto an appropriations bill as an amendment. If that tactic is successful, the amended appropriations bill is likely to win approval as Congress races to adjourn, probably by mid-October. The Commerce Committee is expected to vote on it this week. COMMENTS: The CLEC's death will be so slow that know one will notice that there's a slaughtering going on.