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HCR007....................................................by WAYS AND MEANS
TELECOMMUNICATIONS - STUDY - Stating findings of the Legislature and
authorizing the Legislative Council to appoint a committee to undertake and
complete a study of issues surrounding regulation of the telecommunications
industry to include, but not be limited to, encouraging statewide
development of wideband fiber optics, strengthening communications in rural
Idaho and promoting e-commerce and Internet technology.
01/26 House intro - 1st rdg - to printing
01/29 Rpt prt - to St Aff
02/19 Rpt out - rec d/p - to 2nd rdg
02/20 2nd rdg - to 3rd rdg
02/22 3rd rdg - ADOPTED - 54-0-16
AYES -- Barrett, Black, Bolz, Bradford, Bruneel, Callister, Campbell,
Chase, Clark, Collins, Crow, Cuddy, Deal, Denney, Ellis, Ellsworth,
Field(13), Field(20), Gagner, Hadley, Harwood, Henbest, Higgins,
Hornbeck, Kellogg, Kendell, Kunz, Lake, Langford, Loertscher, Mader,
Marley, McKague, Meyer, Mortensen, Moss, Moyle, Pearce, Pischner,
Pomeroy, Raybould, Roberts, Sali, Sellman, Shepherd, Smith, Smylie,
Stevenson, Stone, Tilman, Trail, Wheeler, Wood, Young
NAYS -- None
Absent and excused -- Barraclough, Bedke, Bell, Bieter, Boe,
Eskridge, Gould, Hammond, Jaquet, Jones, Montgomery, Ridinger,
Robison, Schaefer, Swan, Mr. Speaker
Floor Sponsor -- Deal
Title apvd - to Senate
02/23 Senate intro - 1st rdg - to St Aff
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-sixth Legislature First Regular Session - 2001
IN THE HOUSE OF REPRESENTATIVES
HOUSE CONCURRENT RESOLUTION NO. 7
BY WAYS AND MEANS COMMITTEE
1 A CONCURRENT RESOLUTION
2 STATING FINDINGS OF THE LEGISLATURE AND AUTHORIZING THE LEGISLATIVE COUNCIL TO
3 APPOINT A COMMITTEE TO UNDERTAKE AND COMPLETE A STUDY OF ISSUES SURROUND-
4 ING REGULATION OF THE TELECOMMUNICATIONS INDUSTRY.
5 Be It Resolved by the Legislature of the State of Idaho:
6 WHEREAS, as a result of changes in technology and law, telecommunications
7 markets are evolving from a monopoly environment toward a competitive environ-
8 ment; and
9 WHEREAS, the federal Telecommunications Act of 1996 was intended to reduce
10 the level of regulation and remove barriers to competition in all telecommuni-
11 cations markets so that consumers could benefit from greater choice, lower
12 prices and more rapid deployment of new technologies and advanced services;
13 and
14 WHEREAS, the idea was that consumers would benefit if territorial and
15 line-of-business restrictions and incumbent local exchange companies (ILECs)
16 were allowed to offer local service outside their traditional boundaries as
17 well as inter-exchange and cable television services, if cable television
18 providers were allowed to offer telephone service and if inter-exchange compa-
19 nies (IXCs) were allowed to offer local service; and further, more competition
20 was expected from wireless providers, and former competitive access providers
21 were expected to transform themselves into competitive local exchange compa-
22 nies (CLECs) and offer a variety of services; and
23 WHEREAS, removing legal and administrative barriers to entry, however,
24 doesn't necessarily make markets competitive, and while competition is emerg-
25 ing in local access markets, it is far from being fully developed, especially
26 for residential customers; and
27 WHEREAS, relatively few households have a legitimate alternative to the
28 ILEC for local access while competition in the intra-LATA toll market is grow-
29 ing and equal access rules that require customers be allowed to designate
30 someone other than their ILEC as the primary inter-LATA carriers probably will
31 enhance the level of competition in those markets; and
32 WHEREAS, while there is competition in inter-LATA toll markets, the level
33 of competition in those markets should increase considerably once the business
34 operating companies (BOCs) are able to offer that service; and while competi-
35 tion in most local and intra-LATA markets is in its early stages of develop-
36 ment, the ILECs still serve the vast majority of access lines, their network
37 facilities and services serve as linchpins and entrants must obtain a variety
38 of services from them; and
39 WHEREAS, state public utilities commissions have a crucial and indispens-
40 able role in managing and facilitating the transition toward competition. The
41 role and function of public utilities commissions are undergoing a transition
42 from retail state regulation, whether the traditional rate-of-return or cost-
43 of-service regulations or incentive and/or price-cap regulation, towards mar-
44 ket regulations, with commissions taking on a referee function which includes
2
1 setting rules of the game, imposing penalties and protecting consumers; and
2 WHEREAS, the Public Utilities Commission's role in this matter is espe-
3 cially important in telecommunications because the ILECs networks are likely
4 to serve as linchpin networks as we evolve toward the intermeshed networks or
5 "networks of networks" model and entrants into the market are in the position
6 of purchasing services from and interconnecting with established ILECs with
7 whom they must compete for retail customers' business; and
8 WHEREAS, the regulation of the telecommunications industry is one of the
9 most important public policy issues facing a state with diverse urban and
10 rural populations like Idaho's.
11 NOW, THEREFORE, BE IT RESOLVED by the members of the First Regular Session
12 of the Fifty-sixth Idaho Legislature, the House of Representatives and the
13 Senate concurring therein, that the Legislative Council is authorized to
14 appoint a committee to undertake and complete a study of issues surrounding
15 the regulation of the telecommunications industry to include, but not be lim-
16 ited to, encouraging statewide development of wideband, fiberoptics, strength-
17 ening communications in rural Idaho and promoting e-commerce and Internet
18 technology. The Legislative Council shall determine the number of legislators
19 and membership from each house appointed to the committee and shall authorize
20 the committee to receive input, advice and assistance from interested and
21 affected parties who are not members of the legislature.
22 BE IT FURTHER RESOLVED that nonlegislative advisors of the committee may
23 be appointed by the cochairs of the committee who are appointed by the Legis-
24 lative Council. Nonlegislative advisors shall not be reimbursed from legisla-
25 tive funds for per diem, mileage or other expenses and shall not have voting
26 privileges, regarding the committee's recommendations or proposed legislation.
27 BE IT FURTHER RESOLVED that the committee shall report its findings, rec-
28 ommendations and proposed legislation, if any, to the Second Regular Session
29 of the Fifty-sixth Idaho Legislature.
STATEMENT OF PURPOSE
RS 10449C1
The purpose of this legislation is to allow the Legislative
Council to appoint a committee to study the subject of the
regulation of the telecommunications industry. In 1996 Congress
passed the Telecommunications Act of 1996 which was intended to
reduce the level of regulation and remove barriers to competition
in all telecommunications markets so that consumers could benefit
from greater choice, lower prices and more rapid deployment of
new technologies and advanced services. Given Idaho's diverse
rural and urban population, the regulation of the
telecommunications industry is one of the most important public
policy issues facing the state in the 21st century.
FISCAL IMPACT
The cost of the meeting for the Committee would be expected not
to exceed $10,000. Moneys would be paid from the Legislative
Account.
Contact
Name: Representative Bill Deal
Phone: 332-1000
STATEMENT OF PURPOSE/FISCAL NOTE HCR 7