2004 Legislation
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HOUSE BILL NO. 502 – Telephone corp, services, PUC

HOUSE BILL NO. 502

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Bill Status



H0502......................................................by STATE AFFAIRS
TELEPHONE CORPORATIONS - Amends existing law relating to telecommunications
regulation to prescribe an election by the corporation to govern
applicability of the chapter to certain telephone corporations; to provide
continuing authority of the Public Utilities Commission relating to
telecommunications services subject to Chapter 6, Title 62, Idaho Code; and
to provide for Public Utility Commission reports to the Governor and the
Legislature.
                                                                        
01/20    House intro - 1st rdg - to printing
01/21    Rpt prt - to St Aff
02/06    Rpt out - rec d/p - to 2nd rdg
02/09    2nd rdg - to 3rd rdg
02/16    3rd rdg - PASSED - 38-32-0
      AYES -- Barraclough, Bedke, Bell, Black, Block, Boe, Campbell,
      Cannon, Clark, Collins, Crow, Deal, Eberle, Eskridge, Field(18),
      Field(23), Gagner, Garrett, Harwood, Jones, Kellogg(Nonini), Lake,
      Meyer, Miller, Moyle, Naccarato, Nielsen, Ring, Rydalch, Schaefer,
      Shirley, Skippen, Smith(30), Smylie, Snodgrass, Stevenson, Wills, Mr.
      Speaker
      NAYS -- Andersen, Barrett, Bauer, Bayer, Bolz, Bradford, Cuddy,
      Denney, Douglas, Edmunson, Ellsworth, Henbest, Jaquet, Kulczyk,
      Langford, Langhorst, Martinez, McGeachin, McKague, Mitchell,
      Pasley-Stuart, Raybould, Ridinger, Ringo, Roberts, Robison, Sali,
      Sayler, Shepherd, Smith(24), Trail, Wood
      Absent and excused -- None
    Reconsidered - PASSED - 36-34-0
      AYES -- Barraclough, Bedke, Bell, Black, Block, Campbell, Cannon,
      Clark, Collins, Crow, Deal, Eberle, Eskridge, Field(18), Field(23),
      Gagner, Garrett, Jones, Kellogg(Nonini), Kulczyk, Lake, McKague,
      Meyer, Miller, Moyle, Naccarato, Ring, Rydalch, Shirley, Skippen,
      Smith(30), Smylie, Snodgrass, Stevenson, Wills, Mr. Speaker
      NAYS -- Andersen, Barrett, Bauer, Bayer, Boe, Bolz, Bradford, Cuddy,
      Denney, Douglas, Edmunson, Ellsworth, Harwood, Henbest, Jaquet,
      Langford, Langhorst, Martinez, McGeachin, Mitchell, Nielsen,
      Pasley-Stuart, Raybould, Ridinger, Ringo, Roberts, Robison, Sali,
      Sayler, Schaefer, Shepherd, Smith(24), Trail, Wood
      Absent and excused -- None
    Floor Sponsor - Deal
    Title apvd - to Senate
02/17    Senate intro - 1st rdg - to St Aff
03/04    Rpt out - w/o rec - to 2nd rdg
03/05    2nd rdg - to 3rd rdg
03/16    3rd rdg - PASSED - 18-17-0
      AYES -- Andreason, Bailey, Bunderson, Calabretta, Cameron, Compton,
      Darrington, Davis, Goedde, Hill, Ingram, Little, Lodge, McKenzie,
      Noble, Sorensen, Stegner, Williams
      NAYS -- Brandt, Burkett, Burtenshaw, Gannon, Geddes, Kennedy, Keough,
      Malepeai, Marley, McWilliams, Noh, Pearce, Richardson, Schroeder,
      Stennett, Sweet, Werk
      Absent and excused -- None
    Floor Sponsor - Sorensen
    Held for reconsideration
03/17    Reconsidered - FAILED - 17-18-0
      AYES -- Andreason, Bailey, Bunderson, Calabretta, Cameron, Compton,
      Darrington, Davis, Goedde, Hill, Ingram, Little, Lodge, McKenzie,
      Sorensen, Stegner, Williams
      NAYS -- Brandt, Burkett, Burtenshaw, Gannon, Geddes, Kennedy, Keough,
      Malepeai, Marley, McWilliams, Noble, Noh, Pearce, Richardson,
      Schroeder, Stennett, Sweet, Werk
      Absent and excused -- None
    Floor Sponsor - Sorensen
    Ret'd to House
    Filed in the Office of the Chief Clerk

Bill Text


                                                                        
                                                                        
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-seventh Legislature                 Second Regular Session - 2004
                                                                        
                                                                        
                              IN THE HOUSE OF REPRESENTATIVES
                                                                        
                                     HOUSE BILL NO. 502
                                                                        
                                 BY STATE AFFAIRS COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO TELECOMMUNICATION REGULATION; AMENDING SECTION 62-604, IDAHO CODE,
  3        TO PRESCRIBE AN ELECTION BY THE CORPORATION TO GOVERN APPLICABILITY OF THE
  4        CHAPTER TO CERTAIN TELEPHONE CORPORATIONS AND TO MAKE A TECHNICAL  CORREC-
  5        TION;  AND  AMENDING  SECTION  62-605,  IDAHO  CODE, TO PROVIDE CONTINUING
  6        AUTHORITY OF THE COMMISSION RELATING TO TELECOMMUNICATION SERVICES SUBJECT
  7        TO CHAPTER 6, TITLE 62, IDAHO CODE, AND PROVIDING FOR  COMMISSION  REPORTS
  8        TO THE GOVERNOR AND THE LEGISLATURE.
                                                                        
  9    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
 10        SECTION  1.  That  Section  62-604, Idaho Code, be, and the same is hereby
 11    amended to read as follows:
                                                                        
 12        62-604.  APPLICABILITY OF CHAPTER.
 13        (1)  (a) Any telephone corporation, except any mutual nonprofit or cooper-
 14        ative telephone corporation, which did not, on January  1,  1988,  hold  a
 15        certificate  of  public convenience and necessity issued by the commission
 16        and, which does not provide basic local exchange service,  shall,  on  and
 17        after the effective date of this act, be subject to the provisions of this
 18        chapter and shall be exempt from the provisions of title 61, Idaho Code.
 19        (b)  All  telephone  corporations,  as set forth in subparagraph (1)(a) of
 20        this section, shall file a notice with the commission, which notice  shall
 21        set forth the following information:
 22             (i)   the  name  of  the telephone corporation and the address of its
 23             principal place of business within the state;
 24             (ii)  a description of the telecommunication services offered by such
 25             telephone corporation and the area served by it or in which it offers
 26             telecommunication services,.
 27        (c)  Such notice shall be filed on or before the 1st  day  of  January  of
 28        each year following the effective date of this act.
 29        (2)  Any telephone corporation holding a certificate of public convenience
 30    and  necessity  on January 1, 1988, issued by the commission pursuant to title
 31    61, Idaho Code, may, pursuant to section 62-605, Idaho Code:
 32        (a)  elect to exclude all, or  part  of  its  telecommunication  services,
 33        other  than basic local exchange service including recurring and nonrecur-
 34        ring charges therefor, from regulation pursuant to title 61,  Idaho  Code,
 35        and  such  excluded telecommunication services shall thereafter be subject
 36        to the provisions of this chapter except for  the  provisions  of  section
 37        62-622(1) through (3), Idaho Code;
 38        (b)  notwithstanding any other provision of this chapter, a telephone cor-
 39        poration  which, pursuant to section 61-538, Idaho Code, was, prior to the
 40        effective date of this chapter, subject to the provisions of such section,
 41        shall continue to be subject to the provisions of  section  61-538,  Idaho
 42        Code,  notwithstanding such telephone corporation is subject to the provi-
 43        sions of this chapter.
                                                                        
                                           2
                                                                        
  1        SECTION 2.  That Section 62-605, Idaho Code, be, and the  same  is  hereby
  2    amended to read as follows:
                                                                        
  3        62-605.  PROCEDURE FOR NOTICE OF ELECTION -- COMMISSION CONTINUING AUTHOR-
  4    ITY.  (1)   A  telephone corporation which held a certificate of public conve-
  5    nience and necessity on January 1, 1988, may file with the commission a notice
  6    that such telephone corporation elects to be subject to the provisions of this
  7    chapter for all, or part of its telecommunication services, other  than  basic
  8    local exchange service, which notice shall include the following:
  9        (a)  The name and address of the telephone corporation;
 10        (b)  A narrative description of the telecommunication services provided by
 11        the telephone corporation and the geographic area and market served by the
 12        telephone  corporation and a description of the telecommunication services
 13        for which the election is made.
 14        (2)  Upon the expiration of thirty (30)  days  from  the  filing  of  such
 15    notice  of election, said telephone corporation shall, as to telecommunication
 16    services other than basic local exchange service set forth in  the  notice  of
 17    election,  be  exempt  from  the  provisions of title 61, Idaho Code, and such
 18    telecommunication services shall thereafter be subject to  the  provisions  of
 19    this chapter with the exception of the provisions of section 62-622(1) through
 20    (3), Idaho Code.
 21        (3)  Nothing  contained  in  the  provisions  of this chapter or title 61,
 22    Idaho Code, shall be construed to prevent any person or entity from  providing
 23    telecommunication  services  in competition with a telephone corporation as to
 24    those services which have been excluded from regulation under title 61,  Idaho
 25    Code, pursuant to the provisions of this chapter, or with a telephone corpora-
 26    tion,  other  than  a  mutual, nonprofit or cooperative telephone corporation,
 27    which was not, on the effective date of this act, subject to regulation by the
 28    commission pursuant to title 61, Idaho Code.
 29        (4)  Nothing contained in the provisions of this  chapter  shall  be  con-
 30    strued  to prevent any telephone corporation from maintaining on file with the
 31    commission a tariff or price list describing the details of its services.
 32        (5)  For any telecommunication service which was subject, on the effective
 33    date of this act, to title 61, Idaho Code, and which at the  election  of  the
 34    telephone  corporation  became  subject  to this chapter, the commission shall
 35    have continuing authority to regulate the telephone corporation to the  extent
 36    necessary  to  implement the federal communications act of 1996, in accordance
 37    with section 62-615, Idaho Code, and review the quality of such  service,  its
 38    general availability, and terms and conditions under which it is offered. Upon
 39    complaint to the commission and after notice to the telephone corporation pro-
 40    viding  such  service and hearing, the commission finds that the quality, gen-
 41    eral availability or terms and conditions for such service are adverse to  the
 42    public  interest,  the commission shall have authority to negotiate or require
 43    technological and competitively neutral changes in how such  telecommunication
 44    services  are  provided  to  assure  that the public interest is not adversely
 45    affected. In addition, if the commission finds that such corrective action  is
 46    inadequate, it shall have the authority to require that such telecommunication
 47    services  be  subject to the requirements of title 61, Idaho Code, rather than
 48    the provisions of this chapter.
 49        (6)  On or before January 1, 2006, the commission shall, and may  at  such
 50    times thereafter as the commission deems necessary, report to the governor and
 51    the  legislature on the effect of chapter 6, title 62, Idaho Code, on telecom-
 52    munication services within the state of Idaho, together with the  commission's
 53    recommendations for changes in the law, if any.

Statement of Purpose / Fiscal Impact



                       STATEMENT OF PURPOSE
                            RS 13608C1

This proposal will permit currently regulated telephone companies
the option to elect to be regulated pursuant to Title 62, Idaho
Code, rather than Title 61, Idaho Code.

In 1988, legislation was approved that allowed existing telephone
companies to elect an alternative form of regulation, eliminating
the monopoly and rate of return pricing system established in
1913, for all telecommunication services except basic local
residential and small business services. 

In 1996, federal law mandated the ultimate removal of all state
and federal barriers to market entry by competing telephone
companies. Today, unregulated companies serve and compete for
local residential and business landline customers in previously
monopoly-protected areas of Idaho. Unregulated cell phone
companies provide local telephone services to over 539,000 Idaho
subscribers. At the same time, the number of local regulated
residential lines continue to decline. The growth of the
competitive market for local services has been further enhanced
by the availability of Voice-Over-Internet technology and the
ability of telephone subscribers to take their telephone number
with them if they change service to a competing company.

The IPUC will continue to have a regulatory role to protect the
public interest, pursuant to Title 62, Idaho Code.

                          FISCAL IMPACT
There is no negative fiscal impact on state or local funds.











Contact
Name: Rep. Bill Deal 
Phone: 208/332-1000
Name: Mike Reynoldson 
Phone:208/385-2154

STATEMENT OF PURPOSE/FISCAL NOTE                     H 502