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Minn. regulators followed their Cal. counterparts in seeking to o...

Minn. regulators followed their Cal. counterparts in seeking to overturn the Nov. FCC ruling that denied state regulators any jurisdiction over the VoIP services of Vonage and other providers. The Minn. PUC, which filed its appeal in the 8th…

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U.S. Appeals Court, St. Louis, is the 2nd state to challenge the FCC ruling. The Cal. PUC filed an appeal last month in the 9th U.S. Appeals Court, San Francisco. Like Cal., Minn. alleges the FCC overreached its authority in preempting state regulation of VoIP services. Burl Haar, Minn. PUC exec. secy., said the PUC acted out of concern about whether VoIP providers like Vonage can be required to help support public interest services like 911. Minn. tried to impose telecom regulation on Vonage, but its regulations were struck down last year in federal district court. Minn. and other states have expressed fears that a shift of calls from traditional telephone networks to unregulated and untaxed VoIP systems will erode the revenue base that supports public policy goals like universal service. Incumbent telcos have called for imposing on VoIP providers the same public interest obligations they must carry. The FCC, however, agreed with VoIP providers that a very light regulatory hand is needed while the nascent VoIP industry is still developing.