04RS SB215

SB215

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SB 215/LM (BR 2146) - R. Sanders Jr, D. Boswell, R. Jones II, D. Karem, J. Pendleton, J. Turner

     AN ACT relating to the provision of broadband service.
     Create new sections of KRS Chapter 278 to find that state-of-the-art telecommunications is essential and that market-based competition creates innovation and reduces cost; add definitions for "ARMIS," "basic local exchange service," "broadband service," "competing local exchange carrier," and "telephone utility"; prohibit any type of state regulation of broadband services; prohibit the implementation of any requirement on facilities or equipment used to provide broadband; prohibit any type of state regulation of broadband rates, the terms of broadband service, or entry by providers into the broadband market; sunset any existing requirement on broadband service; affirm that the duties of local exchange carriers to provide unbundled network elements to providers to the extent required by federal law; affirm the right to charge for access and other charges for broadband services; affirm the right of service providers to obtain access to the publicly switched network; permit a telephone utility to elect to remain regulated or choose to be competitive; establish requirements for making an election to remain regulated; establish requirements for a telephone utility to make an election to be competitive under an alternate regulation plan; require a telephone utility making an election to be competitive under an alternate regulation plan to cap its rates for basic local exchange service and adjust the price of basic local exchange not to exceed its cap; require a telephone utility making an election to be competitive to establish ongoing rates for intrastate switched access services and provide a ceiling for that rate; permit a telephone utility making an election to be competitive to adjust its own depreciation rates, rate caps for basic local exchange service, rates for nonbasic services, and rates for services that are exchange specific and wire center specific; require that rates, charges, earnings and revenues of a telephone utility making an election to be competitive to be just and reasonable; establish the Public Service Commission's jurisdiction over complaints for basic service; provide a mechanism for a telephone utility to rescind its election; require that basic local exchange service and switched access shall be governed by the alternative regulation plan for a telephone utility making an election to be competitive; require telephone utilities to continue to file tariffs for services; permit telephone utilities to offer services under flexible pricing arrangements pursuant to written or verbal contracts; permit telephone utilities to offer contracts without filing, giving notice or seeking commission approval of those contracts; establish requirements for a level playing field for local exchange carriers; permit a telephone utility to petition for rate rebalancing for basic local exchange service and prohibit the commission from using a telephone utility's earnings in evaluating the petition; establish measures for the performance of a retail service standard; prohibit a local exchange carrier from targeting individual customer direct outbound marketing within 10 days of that customer switching to another service provider and sunset this provision in 2 years; severability clause; amend KRS 278.512 to restrict the commission or any other party from seeking an exemption from any part of KRS 278.516.

SB 215 - AMENDMENTS


     SFA (1, R. Sanders Jr) - Retain original provisions of the bill; create new definitions for "digital subscriber service" and "primary rate interface"; amend definition of "basic local exchange service" to delete flat-rate; amend definition of "broadband" to not include intrastate service except digital subscriber lines; amend Sections 3 and 4 of the Act governing broadband service providers and telephone utilities elected to be regulated by the commission; make technical corrections.

     SFA (2/FN, R. Sanders Jr) - Retain original provisions of the bill; create new definition for "primary rate interface"; amend definition of "basic local exchange service" to delete flat-rate; amend definition of "broadband" to not include intrastate service except digital subscriber lines; delete authority for a telephone utility to exceed the basic rate cap; amend Sections 3 and 4 of the Act governing broadband service providers and telephone utilities elected to be regulated by the commission; and make technical corrections.

     SFA (3, R. Sanders Jr) - Remove municipal utility from the definition of telephone utility and exempt municipal utilities that provide telephone service from the provisions of the bill.

     SFA (4, R. Sanders Jr) - Preserve the Public Service Commission's jurisdiction to arbitrate and enforce interconnection agreements.

     SFA (5, E. Harris) - Retain original provisions of SB 215; create new definition for "primary rate interface"; amend definition of "basic local exchange service" to delete flat-rate; amend definition of "broadband" to increase the rate of transmission to 200 kilobits and predicate that the technology is used to access the Internet; amend definition of "telephone utility" to remove municipal utilities from the bill; retain the Public Service Commission's jurisdiction delegated under 47 U.S.C. secs. 251 and 252; provide that the provisions neither confer nor remove jurisdiction for voice over Internet protocol services; retain the Public Service Commission's arbitration and enforcement authority over interconnection agreements; retain the Public Service Commission's enforcement authority granted under 47 U.S.C. sec 271; authorize the Office of the Attorney General and the Public Service Commission to investigate and enforce consumer service complaints and anticompetitive practices; permit the Public Service Commission to terminate an alternative rate plan; provide that all rates, charges, earnings and revenues, tariffs for basic services, and tariffs for flexible price contracts are presumed just and reasonable; restore commission authority to review under KRS 278.030 and 278.260; provide that filings are presumed in compliance with KRS 278.030(3); delete authority for a telephone utility to exceed the basic rate cap; amend Sections 3 and 4 of the Act governing broadband service providers and telephone utilities elected to be regulated by the commission; require verbal contracts for flexible price arrangements be subject to consumer protection provisions in KRS Chapter 367; require that the basic rate component of a flexible price contract be made transparent to the customer and that basic rates not exceed any applicable rate caps; and make technical corrections.

     Feb 23-introduced in Senate
     Feb 24-to Agriculture and Natural Resources (S)
     Mar 5-reported favorably, 1st reading, to Calendar
     Mar 8-2nd reading, to Rules
     Mar 10-floor amendment (1) filed
     Mar 11-posted for passage in the Regular Orders of the Day for Tuesday, March 16, 2004; floor amendment (2) filed
     Mar 15-floor amendments (3) and (4) filed
     Mar 16-passed over and retained in the Orders of the Day; floor amendment (5) filed
     Mar 17-3rd reading; floor amendments (1) (4) and (5) withdrawn ; passed 31-4 with floor amendments (2) and (3)
     Mar 18-received in House
     Mar 19-to Tourism Development and Energy (H)


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