Resolution Regarding Traffic Pumping Exposed

The Resolution Regarding Traffic Pumping was adopted by ALEC's Telecommunications and Information Technology Task Force at the States and Nation Policy Task Force on December 3, 2010. According to ALEC.org, the bill was approved by the Board of Directors on January 7, 2011 and amended and re-approved on December 4, 2015. Language removed from the draft is indicated with strikethrough text, additions given in bold. (Accessed June 7, 2016).

ALEC Bill Text

Whereas, Traffic Pumping (Access Stimulation) is defined as the artificial stimulation of switched access traffic to small rural LECs with high inter- and intrastate switched access rates partnering with as a result of revenue sharing or “kick-back” arrangements partnering with third parties such as free calling service companies offering “free” conference calls, adult and pornographic chat, and international calling;

Whereas, these small rural LECs collect switched access revenues from long distance carriers and share them via secret contracts with the free calling service companies;

Whereas, Traffic Pumping is a significant and growing continuing problem within the Telecommunications industry;

Whereas, the FCC has amassed a large record on traffic pumping activities in its Traffic Pumping Notice of Proposed Rule Making and through a number of informal and formal complaints; has issued rules as part of the Transformation Order;

Whereas, the FCC stated in the National Broadband Plan that the traffic pumping business model should be curtailed in order to maintain the integrity of the intercarrier compensation regime;

Therefore, let be it resolved, that ALEC encourages the FCC to continue to act expeditiously to resolve traffic pumping issues; and,

Be it further resolved, that ALEC encourages state commissions also to resolve traffic pumping issues and encourages state legislatures to ensure that current statutes do not enable or promote traffic pumping practices