Date:	March 8, 1999
To:	All Telecommunications Carriers
From:	Local Number Portability Administrator (LNPA)
Re:	Telephone Number Portability, Third Report and Order, CC Docket No. 95-116

In the Third Report and Order, adopted May 5, 1998, released May 12, 1998 and published in the Federal Register July 29, 1998 the Commission implemented section 251(e)(2) with regard to the costs of providing long-term number portability.  
Section 251(e)(2) of the Communications Act of 1934 (1934 Act), as amended requires that “[t]he cost of establishing telecommunications numbering administration arrangements and number portability shall be borne by all telecommunications carriers on a competitively neutral basis as determined by the Commission.” 
The amended FCC rules governing long-term number portability cost recovery apply to all telecommunication carriers, including incumbent LECs, new LEC entrants, and IXCs, as well as cellular, broadband PCS, and covered SMR providers. 
The FCC rules require that the LNPA of each regional database must collect sufficient revenues to fund that database in the following manner:
•	Assess a $ 100 yearly contribution on each telecommunication carrier that has no intrastate, interstate or international end-user telecommunications revenue derived from providing telecommunications service in the areas that regional database serves.
•	Assess on each of the other telecommunications carriers providing telecommunications service in areas that regional database serves, a charge that recovers the remaining shared costs of long-term number portability attributable to that regional database in proportion to the ratio of:
a)	the sum of the intrastate, interstate, and international end-user telecommunications revenues that such telecommunications carrier derives from providing telecommunications service in the areas that regional database serves. 
b)	to the sum of the intrastate, interstate, and international end-user telecommunications revenues that all telecommunications carriers derive from providing telecommunications service in the areas that database serves. 
The FCC rules require carriers providing telecommunications service in the areas served by the regional database to provide the LNPA with that data necessary to calculate carriers’ allocation of the shared costs of long-term number portability attributable to that regional database. Lockheed Martin IMS (LMIMS) is the LNPA for all seven regional local number portability databases (Midatlantic, Midwest, Northeast, Southeast, Southwest, West Coast, and Western) in the United States. 
The enclosed LNP Worksheet FCC Form 487and Instructions are to be used by carriers to report  telecommunications service end-user revenue to the LNPA for the period January 1, 1998 through December 31, 1998. The LNPA will use the data reported on the LNP Worksheet to calculate carriers’ allocation of the shared costs for long-term number portability. Completed worksheets are due April 16th 1999, and must be mailed to the LNPA to the address provided on the form.
Carriers will be notified of their allocation percent in the 3rd Quarter of 1999.  A bill for allocated costs will be prepared and mailed to carriers in the 4th Quarter of 1999. 
If you have any questions regarding this process, or need additional information to complete the LNP Worksheet, please call the LNP Billing and Collection HELPLINE at 877-245-5277. Our hours of operation are 9 am to 5 pm (Eastern Time), Monday through Friday.