The FCC released the text of its Order limiting interstate inmate calling service rates. The rules adopting
interim rate caps and prohibiting call blocking for lack of billing relationship will be effective 90 days after Federal Register publication. The mandatory data collection requirements and
the annual reporting and certification requirements need Office of Management and Budget (OMB) approval and will be effective immediately on announcement in the Federal Register of OMB’s approval.
The Order requires inmate phone providers to charge cost-based rates to inmates and their families and establishes “safe-harbor” rates at or below which rates will be treated as lawful unless the FCC issues a finding to the contrary. A provider’s rates will be presumptively lawful if: (1) none of the provider’s rates for collect calling exceed $0.14 per minute at any correctional institution, and (2) none of the provider’s rates for debit calling, prepaid calling, or prepaid collect calling exceed $0.12 per minute at any correctional institution. A provider’s rates will be considered consistent with this requirement if the total charge for a 15-minute call, including any per-call or per-connection charges, does not exceed the appropriate rate in (1) or (2) for a 15-minute call. In addition, the FCC set an interim hard cap on ICS providers’ rates of $0.21 per minute for interstate debit, prepaid calling and prepaid collect calls, and $0.25 per minute for collect interstate calls. A provider’s rates will be considered consistent with this requirement if the total charge for a 15-minute call, including any per-call or per-connection charges, does not exceed $3.75 for a 15-minute call using collect calling, or $3.15 for a 15-minute call using debit calling, prepaid calling, or prepaid collect calling.