Telecommunications Fair Competition Enforcement Act of 2001

Telecommunications Fair Competition Enforcement Act of 2001 - Amends the Communications Act of 1934 (the Act) to provide shared jurisdiction by the Federal Communications Commission (FCC) or a State over: (1) a complaint alleging a violation of the Act by a bell operating company (BOC); or (2) an action to enforce compliance by a BOC or its affiliate with an interconnection agreement.

Provides for the expedited consideration (within 90 days) of BOC interconnection, interLATA (local access and transport area), and separate affiliate complaints and enforcement actions.

Authorizes a party to an interconnection agreement between a telecommunications carrier and a local exchange carrier to submit a dispute to alternative dispute resolution at the FCC or State level. Directs the FCC to issue final rules to ensure the prompt and verifiable implementation of such interconnection agreements.

Provides additional forfeitures and damages for violations by telecommunications carriers, local exchange carriers, and BOCs, allowing such forfeitures to be increased threefold for repeat violations. Increases from one to three years the statute of limitations with respect to violations and forfeitures.

Authorizes a State commission to apply to the FCC to impose forfeitures for violations.

Provides for the separation of retail and wholesale functions of BOCs. Provides a Code of Conduct for the provision of retail service by a BOC. Requires the separation of retail affiliates within two years and the structural separation of business functions of retail affiliates. Requires a BOC to obtain a joint Federal/State audit to determine compliance with the requirements of this Act.