STATE REPORT


STATE MONTHLY SUMMARY REPORT- February  1999


The following is a summary of State regulatory documents filed, and State regulatory
action performed, on behalf of the Telecommunications Resellers Association (TRA)
between mid-January and mid-February 1999. TRA state filings may be viewed at TRA's
Internet web site.

FILINGS

California - In the Matter of the Joint Application of BELL ATLANTIC CORPORATION and
GTE CORPORATION for Consent and Approval of a Change of Control (Docket No. 98-1252-TP)


Connecticut - In the Matter of the Joint Application of BELL ATLANTIC CORPORATION and
GTE CORPORATION for Consent and Approval of a Change of Control (Docket No. 98-10-18)


January 15, 1999 (California) and January 29, 1999 (Connecticut): Initial comments
were filed with the California Public Utilities Commission and the Connecticut Department
of Public Utility Control regarding the proposed merger between GTE Corporation and Bell
Atlantic Corporation. In its comments, TRA urged regulators to adopt a public interest
standard for approval of the merger similar to that adopted by the New York Public
Service Commission in its evaluation of the Bell Atlantic and NYNEX merger. TRA recommended
that tough pre-merger conditions be adopted to compel the incumbents to open their local
markets to competition. TRA's comments mirrored those previously filed on this issue in
other jurisdictions.

Connecticut: DPUC investigation into the Construction and Pricing of Telephone Company
Unbundled Network Elements (Docket No. 98-10-16)


February 5, 1999 A letter was filed with the Connecticut Department of Public
Utility Control to address the impact of the January 25, 1999 Supreme Court Opinion on the
Department's investigation into UNE provisioning and pricing. TRA urged the Department to
ensure that its UNE pricing methodology and provisioning requirements are fully consistent
with the federal rules reinstated under the Supreme Court's Opinion.

Florida - In Re: Petition of Competitive Carriers for Commission Action to Support Local
Competition in BellSouth's Territory (Docket No. 981834-TP)


January 11, 1999 A Response to BellSouth's Motion to Dismiss a Florida Competitive
Carriers Association (FCCA) Petition for establishment of an industry competitive forum,
third party operations support testing and a UNE pricing proceeding was filed with the
Florida Public Service Commission by the FCCA. FCCA's Response underscored the flaws in
BellSouth's Motion. TRA signed the Motion as a FCCA member.

Missouri - In the Matter of the Application of Southwestern Bell Telephone Company to
Provide Notice of Intent to File an Application for Authorization to Provide In-region
InterLATA Services Originating in Missouri Pursuant to Section 271 of the
Telecommunications Act of 1996 (Case No. TO-99-227)


January 12, 1999 A Request for Reconsideration was filed with the Missouri Public
Service Commission through which TRA asked to be granted limited intervenor status in the
Commission's investigation into SWBT's in-region interLATA market entry without a
requirement that it provide the Commission and other parties with a list of members. TRA's
request was granted.

Nebraska - In the Matter of US West Communications, Inc. filing its Notice of Intention
to File Section 271(c) Application With the FCC and Request for Commission to Verify US
West Compliance With Section 271(c) (Application No. C-1830)


February 11, 1999 A Supplemental Brief was filed with the Nebraska Public Service
Commission outlining the implications of the January 25, 1999 Supreme Court Opinion in AT&T
Corp. et al. vs. Iowa Utilities Board et al. on US West's compliance with Section 271(c),
the competitive checklist, for in-region interLATA market entry. TRA stressed that by
upholding the FCC's jurisdiction to establish unbundled network element pricing methodology
and provisioning requirements, resale pricing methodology, and "pick and choose" provisions
for interconnection agreements, the Supreme Court's decision clarified US West's Section
271(c) obligations. TRA urged the Commission to ensure that no favorable consideration
of US West in-region interLATA market entry be given until the Company demonstrates
compliance with the competitive checklist for interLATA market entry now under the
requirements imposed by the reinstated FCC interconnection rules.

Nevada - In the Matter of a Petition by AT&T COMMUNICATIONS OF NEVADA, INC., MCI
TELECOMMUNICATIONS CORPORATION and SPRINT COMMUNICATIONS COMPANY L.P. for an Order
Requiring NEVADA BELL to Implement IntraLATA Equal Access by February 8, 1999 (Docket
Number 98-11010)


January 15, 1999 A Petition for Leave to Intervene in the Nevada Public Service
Commission IntraLATA Toll Dialing Parity Proceeding was filed with the Commission. February
8, 1999: A letter was filed with the Nevada Public Utility Commission, urging the
Commission to grant a petition filed by AT&T Communications of Nevada, Inc., MCI
Telecommunications Corporation, and Sprint Communications Company, L.P. (jointly, the
"Petitioners") for an Order requiring Nevada Bell to implement intraLATA toll dialing
parity on February 8, 1999. The letter also expressed TRA's concurrence with the
Petitioners' January 29, 1999 letter which summarized the legal basis under which a
February 8, 1999 ILP implementation date is required in light of the Supreme Court's
January 25, 1999 opinion.

Texas - Petition Of AT&T Communications Of The Southwest, Inc. To Require Southwestern
Bell Telephone Company To Implement IntraLATA Presubscription No Later Than February 8,
1999 (Docket No. 19919).


February 4, 1999 Exceptions were filed to the Texas Public Utility Commission's
Revised Proposed Order in the Commission's IntraLATA toll dialing parity proceeding. TRA
excepted to the proposed order's "deliberate speed" standard for Southwestern Bell
Telephone, Inc.'s intraLATA toll dialing parity implementation as being entirely
open-ended, unenforceable, without basis in record, and contrary to FCC rules and law. TRA
urged the Commission to order a February 8, 1999 intraLATA toll dialing parity
implementation date rather than unnecessarily delay further the availability of competitive
choice to the public.

REGULATORY ACTION

Minnesota - January 29, 1999 A letter was submitted to Minnesota Public
Utilities Commission Counsel in response to a staff document which outlined the potential
harm to competitive local exchange carriers (CLEC) from competing against incumbent LEC
CLEC affiliates in the absence of regulatory safeguards. TRA generally agreed with the
potential anti-competitive incumbent LEC-CLEC affiliate scenarios identified by Staff. TRA
urged the Commission to ensure that incumbents are not able to rely on CLEC affiliates to
bypass their obligations under the Act, particularly in the delivery of advanced
telecommunications services.

Maryland - February 9, 1999 A joint response by TRA, CompTel, and ALTS was
submitted to the Maryland Public Service Commission in response to the Commission's request
that the Associations indicate whether the recent FCC Subscriber Carrier Selection rules
resolved concerns over Bell Atlantic's Local Service Provider (PIC) freeze service. The
Associations reiterated their concerns, noting that until Bell Atlantic could demonstrate
compliance with the FCC's rules, the company's ability to rely on freezes to engage in
anti-competitive abuse would remain suspect.

Massachusetts - January 18, 1999 A joint TRA, CompTel, and ALTS letter was
submitted with the Massachusetts Department of Telecommunications and Energy to reiterate
concerns raised by the Associations regarding Bell Atlantic's Local Service Provider
(PIC)freeze program in late December. The Associations urged the Department to require Bell
Atlantic to demonstrate how it will comply with the FCC's Subscriber Carrier Selection
rules before the Company's freeze service is authorized by the Commission.

New York - January 18, 1999 A letter was sent to Peter McGowan, New York
Public Service Commission counsel to thank Mr. McGowin for his response to the joint TRA,
CompTel, and ALTS letter raising concern over Bell Atlantic's PIC freeze service. The
Associations used the opportunity to address the FCC's recent Subscriber Carrier Selection
rules and urge the Commission to require Bell Atlantic to demonstrate how it will comply
with the FCC's new rules before its PIC freeze service is approved.

NARUC - The Telecommunications Resellers Association will be represented by Mr. Isar
at the upcoming National Association of Regulatory Utility Commissioners Winter Committee
Meetings in Washington, D.C., February 22 - 24. Mr. Kelly will address the Communications
Committee on resale and intraLATA competition issues. TRA, CompTel, and ALTS are jointly
sponsoring a reception for NARUC attendees on Monday, February 22, 1999.