47 U.S.C. § 214 — Extension of lines or discontinuance of

Page 50 TITLE 47—TELECOMMUNICATIONS § 214 48 Stat. 1064, known as the Communications Act of 1934, which is classified principally to this chapter. For com- plete classification of this Act to the Code, see section 609 of this title and Tables. AMENDMENTS 1994—Subsecs. (g), (h). Pub. L. 103–414 redesignated subsec. (h) as (g) and struck out former subsec. (g) which read as follows: ‘‘Notwithstanding any provision of this chapter the Interstate Commerce Commission, if requested to do so by the Commission, shall com- plete, at the earliest practicable date, such valuations of properties of carriers subject to this chapter as are now in progress, and shall thereafter transfer to the Commission the records relating thereto.’’ § 214. Extension of lines or discontinuance of service; certificate of public convenience and necessity (a) Exceptions; temporary or emergency service or discontinuance of service; changes in plant, operation or equipment No carrier shall undertake the construction of a new line or of an extension of any line, or shall acquire or operate any line, or extension there- of, or shall engage in transmission over or by means of such additional or extended line, un- less and until there shall first have been ob- tained from the Commission a certificate that the present or future public convenience and ne- cessity require or will require the construction, or operation, or construction and operation, of such additional or extended line: Provided, That no such certificate shall be required under this section for the construction, acquisition, or op- eration of (1) a line within a single State unless such line constitutes part of an interstate line, (2) local, branch, or terminal lines not exceeding ten miles in length, or (3) any line acquired under section 221 of this title: Provided further, That the Commission may, upon appropriate re- quest being made, authorize temporary or emer- gency service, or the supplementing of existing facilities, without regard to the provisions of this section. No carrier shall discontinue, re- duce, or impair service to a community, or part of a community, unless and until there shall first have been obtained from the Commission a certificate that neither the present nor future public convenience and necessity will be ad- versely affected thereby; except that the Com- mission may, upon appropriate request being made, authorize temporary or emergency dis- continuance, reduction, or impairment of serv- ice, or partial discontinuance, reduction, or im- pairment of service, without regard to the provi- sions of this section. As used in this section the term ‘‘line’’ means any channel of communica- tion established by the use of appropriate equip- ment, other than a channel of communication established by the interconnection of two or more existing channels: Provided, however, That nothing in this section shall be construed to re- quire a certificate or other authorization from the Commission for any installation, replace- ment, or other changes in plant, operation, or equipment, other than new construction, which will not impair the adequacy or quality of serv- ice provided. (b) Notification of Secretary of Defense, Sec- retary of State, and State Governor Upon receipt of an application for any such certificate, the Commission shall cause notice thereof to be given to, and shall cause a copy of such application to be filed with, the Secretary of Defense, the Secretary of State (with respect to such applications involving service to foreign points), and the Governor of each State in which such line is proposed to be constructed, ex- tended, acquired, or operated, or in which such discontinuance, reduction, or impairment of service is proposed, with the right to those noti- fied to be heard; and the Commission may re- quire such published notice as it shall deter- mine. (c) Approval or disapproval; injunction The Commission shall have power to issue such certificate as applied for, or to refuse to issue it, or to issue it for a portion or portions of a line, or extension thereof, or discontinu- ance, reduction, or impairment of service, de- scribed in the application, or for the partial ex- ercise only of such right or privilege, and may attach to the issuance of the certificate such terms and conditions as in its judgment the pub- lic convenience and necessity may require. After issuance of such certificate, and not before, the carrier may, without securing approval other than such certificate, comply with the terms and conditions contained in or attached to the issuance of such certificate and proceed with the construction, extension, acquisition, operation, or discontinuance, reduction, or impairment of service covered thereby. Any construction, ex- tension, acquisition, operation, discontinuance, reduction, or impairment of service contrary to the provisions of this section may be enjoined by any court of competent jurisdiction at the suit of the United States, the Commission, the State commission, any State affected, or any party in interest. (d) Order of Commission; hearing; penalty The Commission may, after full opportunity for hearing, in a proceeding upon complaint or upon its own initiative without complaint, au- thorize or require by order any carrier, party to such proceeding, to provide itself with adequate facilities for the expeditious and efficient per- formance of its service as a common carrier and to extend its line or to establish a public office; but no such authorization or order shall be made unless the Commission finds, as to such provi- sion of facilities, as to such establishment of public offices, or as to such extension, that it is reasonably required in the interest of public convenience and necessity, or as to such exten- sion or facilities that the expense involved therein will not impair the ability of the carrier to perform its duty to the public. Any carrier which refuses or neglects to comply with any order of the Commission made in pursuance of this subsection shall forfeit to the United States $1,200 for each day during which such refusal or neglect continues. (e) Provision of universal service (1) Eligible telecommunications carriers A common carrier designated as an eligible telecommunications carrier under paragraph (2), (3), or (6) shall be eligible to receive uni- versal service support in accordance with sec- tion 254 of this title and shall, throughout the service area for which the designation is re- ceived— Page 51 TITLE 47—TELECOMMUNICATIONS § 214 (A) offer the services that are supported by Federal universal service support mecha- nisms under section 254(c) of this title, ei- ther using its own facilities or a combina- tion of its own facilities and resale of an- other carrier’s services (including the serv- ices offered by another eligible tele- communications carrier); and (B) advertise the availability of such serv- ices and the charges therefor using media of general distribution. (2) Designation of eligible telecommunications carriers A State commission shall upon its own mo- tion or upon request designate a common car- rier that meets the requirements of paragraph (1) as an eligible telecommunications carrier for a service area designated by the State commission. Upon request and consistent with the public interest, convenience, and neces- sity, the State commission may, in the case of an area served by a rural telephone company, and shall, in the case of all other areas, des- ignate more than one common carrier as an el- igible telecommunications carrier for a serv- ice area designated by the State commission, so long as each additional requesting carrier meets the requirements of paragraph (1). Be- fore designating an additional eligible tele- communications carrier for an area served by a rural telephone company, the State commis- sion shall find that the designation is in the public interest. (3) Designation of eligible telecommunications carriers for unserved areas If no common carrier will provide the serv- ices that are supported by Federal universal service support mechanisms under section 254(c) of this title to an unserved community or any portion thereof that requests such serv- ice, the Commission, with respect to inter- state services or an area served by a common carrier to which paragraph (6) applies, or a State commission, with respect to intrastate services, shall determine which common car- rier or carriers are best able to provide such service to the requesting unserved community or portion thereof and shall order such carrier or carriers to provide such service for that unserved community or portion thereof. Any carrier or carriers ordered to provide such service under this paragraph shall meet the re- quirements of paragraph (1) and shall be des- ignated as an eligible telecommunications car- rier for that community or portion thereof. (4) Relinquishment of universal service A State commission (or the Commission in the case of a common carrier designated under paragraph (6)) shall permit an eligible tele- communications carrier to relinquish its des- ignation as such a carrier in any area served by more than one eligible telecommunications carrier. An eligible telecommunications car- rier that seeks to relinquish its eligible tele- communications carrier designation for an area served by more than one eligible tele- communications carrier shall give advance no- tice to the State commission (or the Commis- sion in the case of a common carrier des- ignated under paragraph (6)) of such relin- quishment. Prior to permitting a tele- communications carrier designated as an eligi- ble telecommunications carrier to cease pro- viding universal service in an area served by more than one eligible telecommunications carrier, the State commission (or the Commis- sion in the case of a common carrier des- ignated under paragraph (6)) shall require the remaining eligible telecommunications carrier or carriers to ensure that all customers served by the relinquishing carrier will continue to be served, and shall require sufficient notice to permit the purchase or construction of ade- quate facilities by any remaining eligible tele- communications carrier. The State commis- sion (or the Commission in the case of a com- mon carrier designated under paragraph (6)) shall establish a time, not to exceed one year after the State commission (or the Commis- sion in the case of a common carrier des- ignated under paragraph (6)) approves such re- linquishment under this paragraph, within which such purchase or construction shall be completed. (5) ‘‘Service area’’ defined The term ‘‘service area’’ means a geographic area established by a State commission (or the Commission under paragraph (6)) for the pur- pose of determining universal service obliga- tions and support mechanisms. In the case of an area served by a rural telephone company, ‘‘service area’’ means such company’s ‘‘study area’’ unless and until the Commission and the States, after taking into account rec- ommendations of a Federal-State Joint Board instituted under section 410(c) of this title, es- tablish a different definition of service area for such company. (6) Common carriers not subject to State com- mission jurisdiction In the case of a common carrier providing telephone exchange service and exchange ac- cess that is not subject to the jurisdiction of a State commission, the Commission shall upon request designate such a common carrier that meets the requirements of paragraph (1) as an eligible telecommunications carrier for a service area designated by the Commission consistent with applicable Federal and State law. Upon request and consistent with the public interest, convenience and necessity, the Commission may, with respect to an area served by a rural telephone company, and shall, in the case of all other areas, designate more than one common carrier as an eligible telecommunications carrier for a service area designated under this paragraph, so long as each additional requesting carrier meets the requirements of paragraph (1). Before desig- nating an additional eligible telecommuni- cations carrier for an area served by a rural telephone company, the Commission shall find that the designation is in the public interest. (June 19, 1934, ch. 652, title II, § 214, 48 Stat. 1075; Mar. 6, 1943, ch. 10, §§ 2–5, 57 Stat. 11; Pub. L. 93–506, § 1, Nov. 30, 1974, 88 Stat. 1577; Pub. L. 101–239, title III, § 3002(d), Dec. 19, 1989, 103 Stat. 2131; Pub. L. 103–414, title III, § 304(a)(4), Oct. 25, Page 52 TITLE 47—TELECOMMUNICATIONS § 215 1994, 108 Stat. 4296; Pub. L. 104–104, title I, § 102(a), Feb. 8, 1996, 110 Stat. 80; Pub. L. 105–125, § 1, Dec. 1, 1997, 111 Stat. 2540.) Editorial Notes AMENDMENTS 1997—Subsec. (e)(1). Pub. L. 105–125, § 1(1), substituted ‘‘(2), (3), or (6)’’ for ‘‘(2) or (3)’’. Subsec. (e)(3). Pub. L. 105–125, § 1(2), substituted ‘‘interstate services or an area served by a common carrier to which paragraph (6) applies’’ for ‘‘interstate services’’. Subsec. (e)(4). Pub. L. 105–125, § 1(3), inserted ‘‘(or the Commission in the case of a common carrier designated under paragraph (6))’’ after ‘‘State commission’’ wher- ever appearing. Subsec. (e)(5). Pub. L. 105–125, § 1(4), inserted ‘‘(or the Commission under paragraph (6))’’ after ‘‘State com- mission’’. Subsec. (e)(6). Pub. L. 105–125, § 1(5), added par. (6). 1996—Subsec. (e). Pub. L. 104–104 added subsec. (e). 1994—Subsec. (a). Pub. L. 103–414 substituted ‘‘section 221’’ for ‘‘section 221 or 222’’. 1989—Subsec. (d). Pub. L. 101–239 substituted ‘‘$1,200’’ for ‘‘$100’’. 1974—Subsec. (b). Pub. L. 93–506 substituted ‘‘the Sec- retary of Defense, the Secretary of State (with respect to such applications involving service to foreign points),’’ for ‘‘the Secretary of the Army, the Secretary of the Navy,’’. 1943—Subsec. (a). Act Mar. 6, 1943, § 2, among other changes inserted all after ‘‘no carrier shall dis- continue’’, etc. Subsec. (b). Act Mar. 6, 1943, § 3, among other changes provided notice should be filed with Secretary of War and the Secretary of the Navy. Subsec. (c). Act Mar. 6, 1943, § 4, extended provisions to include discontinuance, reduction, or impairment of service. Subsec. (d). Act Mar. 6, 1943, § 5, amended first sen- tence. Statutory Notes and Related Subsidiaries EXTENSION OF LINES; ARMIS REPORTS Pub. L. 104–104, title IV, § 402(b)(2), Feb. 8, 1996, 110 Stat. 129, provided that: ‘‘The Commission shall permit any common carrier— ‘‘(A) to be exempt from the requirements of section 214 of the Communications Act of 1934 [47 U.S.C. 214] for the extension of any line; and ‘‘(B) to file cost allocation manuals and ARMIS re- ports annually, to the extent such carrier is required to file such manuals or reports.’’ § 215. Examination of transactions relating to furnishing of services, equipment, etc.; re- ports to Congress (a) Access to records and documents The Commission shall examine into trans- actions entered into by any common carrier which relate to the furnishing of equipment, supplies, research, services, finances, credit, or personnel to such carrier and/or which may af- fect the charges made or to be made and/or the services rendered or to be rendered by such car- rier, in wire or radio communication subject to this chapter, and shall report to the Congress whether any such transactions have affected or are likely to affect adversely the ability of the carrier to render adequate service to the public, or may result in any undue or unreasonable in- crease in charges or in the maintenance of undue or unreasonable charges for such service; and in order to fully examine into such trans- actions the Commission shall have access to and the right of inspection and examination of all accounts, records, and memoranda, including all documents, papers, and correspondence now or hereafter existing, of persons furnishing such equipment, supplies, research, services, finances, credit, or personnel. The Commission shall in- clude in its report its recommendations for nec- essary legislation in connection with such trans- actions, and shall report specifically whether in its opinion legislation should be enacted (1) au- thorizing the Commission to declare any such transactions void or to permit such transactions to be carried out subject to such modification of their terms and conditions as the Commission shall deem desirable in the public interest; and/ or (2) subjecting such transactions to the ap- proval of the Commission where the person fur- nishing or seeking to furnish the equipment, supplies, research, services, finances, credit, or personnel is a person directly or indirectly con- trolling or controlled by, or under direct or indi- rect common control with, such carrier; and/or (3) authorizing the Commission to require that all or any transactions of carriers involving the furnishing of equipment, supplies, research, services, finances, credit, or personnel to such carrier be upon competitive bids on such terms and conditions and subject to such regulations as it shall prescribe as necessary in the public interest. (b) Exclusive dealing contracts The Commission shall examine all contracts of common carriers subject to this chapter which prevent the other party thereto from dealing with another common carrier subject to this chapter, and shall report its findings to Con- gress, together with its recommendations as to whether additional legislation on this subject is desirable. (June 19, 1934, ch. 652, title II, § 215, 48 Stat. 1076; Pub. L. 115–141, div. P, title IV, § 402(i)(2), Mar. 23, 2018, 132 Stat. 1089.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in text, was in the original ‘‘this Act’’, meaning act June 19, 1934, ch. 652, 48 Stat. 1064, known as the Communications Act of 1934, which is classified principally to this chapter. For complete classification of this Act to the Code, see section 609 of this title and Tables. AMENDMENTS 2018—Subsecs. (b), (c). Pub. L. 115–141 redesignated subsec. (c) as (b) and struck out former subsec. (b). Prior to amendment, text of subsec. (b) read as follows: ‘‘The Commission shall investigate the methods by which and the extent to which wire telephone compa- nies are furnishing wire telegraph service and wire tele- graph companies are furnishing wire telephone service, and shall report its findings to Congress, together with its recommendations as to whether additional legisla- tion on this subject is desirable.’’ § 216. Receivers and trustees; application of chapter The provisions of this chapter shall apply to all receivers and operating trustees of carriers