Reimbursement Rates for Relay Service Frozen
30 06 2007
All..
This just came out! The FCC has issued an "Order" on Reimbursement Rates for relay services. The rates are to be frozen
This includes VRS which has been the hottest issue for for a few months and Sorenson had launched one of the largest campaign I’ve ever seen to exhort people to file concerns on reduction of reimbursement rates to the FCC. Apparently this outreach blitz worked; it involved a well designed brochure that has ready-made card to be mailed to the FCC Chair and a video clip that was mailed to all VRS users.
I am impressed because I know only NECA and FCC know the actual cost breakdown and many who filed with the FCC did so because they believed what VRS provider told them; not based on actual cost breakdown. Corporation industry is the victor; hopefully result of that will provide better service for us VRS users.
This is one of the few issues that I know that most of other VRS providers also cheered on and supported the underlying message - they may not do it publically, but in talking with a few of them they support freezing or increasing the rate.
Click to this to read the full burnt of the Order Rates Frozen
Reason for freezing reimbursement rates was that the NECA who is the fund administrator of relay service had submitted 4 (four)different accounting methodology to determine the reimbursement rates; the FCC needed more time to determine which of the methodology is best thus froze the rates.
The Order explained each relay services; traditional TTY relay service, Speech to Speech, Internet Relay, and VRS. You will see diferent rates explaing for each. I will focus on VRS rates since that was the hottest topic the last few months. NECA submitted 6 (six) different rates for VRS. You will see terms adjusted and unadjusted quite a bit; adjusted means some costs are not factored in (disallowed) and unadjusted means total cost.
- one: unadjusted provider data: $6.77 vs $6.43 without marketing and outreach
- two: provider data with disallowances $6.14 vs $5.80 without marketing and outreach
- three: 2006 actual cost and demand $4.55 vs $4.48 without marketing and outreach
- four: 2006 actual cost and demand adjusted for inflation: $4.76 vs $4.54 without marketing and outreach
- five: provider’s unadjusted cost data and NECA’s projected demand: $6.37 vs $6.08 without marketing and outreach
- six: providers’ cost data with disallowances and NECA’s projected demand: %5.77 vs $5.49 without marketing and outreach
Note: look at the #4. This is actual cost and demand and compare that to the 2006 VRS rate of $6.64.
The order is an eye opener.
eyes open & thumbs up,
Ed
RT Admin.
Categories : Vlogs, FCC Issues, Alerts

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