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North American Numbering Council Billing & Collection Working Group

North American Numbering Council Billing & Collection Working Group. March 14, 2006 Co-Chairs: Rosemary Emmer, Sprint Nextel Jim Castagna, Verizon. 2006/07 NANP Budget & Contribution Factor. Overview: BCWG consulted with Welch and Co.

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North American Numbering Council Billing & Collection Working Group

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  1. North American Numbering CouncilBilling & Collection Working Group March 14, 2006 Co-Chairs: Rosemary Emmer, Sprint NextelJim Castagna, Verizon

  2. 2006/07 NANP Budget & Contribution Factor • Overview: • BCWG consulted with Welch and Co. • Consideration included pANI Administration, Carrier Audits and PA Contract RFP. • Discussed three different Options to address the surplus. • US Carrier obligation is $6,843,370 for fiscal year 06/07. • $ 83,238 of remaining NANP funding to come from International Participants. • 05/06 Anticipated Surplus is $ 2,200,135

  3. Recommendation • Implement Option 1: CF = 0.000020 • Keep the Contingency Amount of $ 1,000,000. • Consume the entire projected surplus of $ 2,200,135. • Net US Carrier Contributions would be $4,643,235 to meet the US funding requirement of $ 6,843,370 for 06/07. • Rationale • Consuming surplus each year provides contribution factor long term stability as compared to letting the surplus accumulate. • $ 1M Contingency provides a sufficient buffer. • Last year the factor was 0.0000052, and stakeholders were informed to anticipate that the factor will return to approximately 0.000025 in fiscal year 06/07.

  4. Contribution Factor History Fiscal Year Original Final (#) 2000-2001 0.0000557 0.000043 2001-2002 0.000043 0.000043 2002-2003 0.000043 0.000043 2003-2004 0.000036 0.000021 2004-2005 0.000021 0.000021 2005-2006 0.0000052 0.0000052 Proposed Option 1: 2006-2007 0.000020 # Final factor reflects a “Revised” factor if different from Original.

  5. Recommendation • NANC • Ask Welch and Co. to employ the approach described in Option 1 when preparing its FCC filing. • Ask Welch and Co. to share the draft filing with the BCWG prior to the filing due date. • Welch and Co • Obtain Contribution Base from NECA in April to calculate the exact contribution factor. • Prepare an FCC filing reflecting the contribution factor and budgeted amounts corresponding to Option 1. • The FCC • Direct the Agent to Implement Option 1 for the 06/07 fiscal year.

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