HF 3407
Introduction - 89th Legislature (2015 - 2016)
Posted on 03/21/2016 01:52 p.m.
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A bill for an act
relating to telecommunications; requiring the Public Utilities Commission
to establish a docket examining regulation of telecommunications services;
requiring a report; appropriating money.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1. new text begin PUBLIC UTILITIES COMMISSION DOCKET ON BASIC LOCAL
SERVICE COMPETITION; REPORT.
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new text begin Subdivision 1. new text end
new text begin Definition. new text end
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For the purposes of this section, "basic local service"
means wireline access to telecommunications services, including dial tone, access to the
public switched telephone network, and any related service provided in conjunction with
dial tone and access, that enable residential customers and business customers subscribing
to three or fewer business lines to originate calls to and receive calls from telephone
numbers assigned under the North American Numbering Plan. Basic local service includes
switched access services, but does not include interexchange service or local niche service.
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new text begin Subd. 2. new text end
new text begin Basic local service; docket. new text end
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(a) By August 1, 2016, the Public Utilities
Commission must establish a docket to collect information and opinions regarding options
to modify the regulation of basic local service to: (1) recognize and accommodate the
significant technological changes that have occurred in recent years with respect to the
delivery of telecommunications services; (2) promote effective competition and lessen
or eliminate unnecessary regulatory burdens; (3) preserve the provision of adequate and
reliable service at just and reasonable rates; and (4) ensure that consumer protections are
maintained in any transition to a competitive market for basic local service.
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(b) As part of the information and opinion collection effort, the commission must
consult with telecommunications providers, consumer advocates, the attorney general, the
commissioner of commerce, other stakeholders, and the general public.
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(c) At a minimum, the commission must gather information on the following issues:
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(1) specific quantified criteria that must be met in order for the commission to
designate a basic local service market as demonstrating effective competition. The
commission may modify, expand, or reject any of the current criteria contained in
Minnesota Statutes, section 237.59, subdivision 5;
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(2) the geographic definition of a market that should be used as the unit of analysis
to measure the level of competition for basic local service and determine whether effective
competition exists;
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(3) what types of providers, including those not subject to the commission's regulatory
authority, should be considered as providing actual market competition for basic local
service, considering the nature of the technology and infrastructure used to deliver basic
local service, including (i) whether that infrastructure is owned or leased; (ii) the format in
which those services are delivered, including whether the services are delivered separately,
packaged, or bundled; and (iii) what constitutes comparable services, prices, and terms;
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(4) the regulatory and reporting requirements that should be relaxed or eliminated
for a basic local service provider in a market that the commission has determined
demonstrates effective competition;
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(5) how carrier of last resort obligations should be met;
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(6) information that a basic local service provider operating in a market determined
by the commission to demonstrate effective competition should be required to report to the
commission in order to enable the commission to determine whether effective competition
conditions continue to exist in that market;
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(7) for each of the past three years, the number of consumer complaints regarding
basic local service that have been received by the commission, the Department of
Commerce, and the attorney general, disaggregated by issue if possible;
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(8) the need, if any, for the commission to retain authority to reexamine a market
the commission has previously determined demonstrates effective competition for basic
local service in order to assess whether that determination continues to be an accurate
assessment of market conditions;
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(9) what requirements are necessary to maintain the technical capability of providers
to achieve, at a minimum, the current level of quality and reliability with respect to:
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(i) calls to the 911 emergency and public safety communications system;
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(ii) the operation of medical monitoring devices and medical alert systems;
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(iii) the operation of devices that enable persons who are deaf or have hearing
impairments to communicate with nondeaf and non-hearing-impaired persons; and
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(iv) the operation of home security systems;
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(10) the impact a reduction in regulation has had on the availability, reliability, price,
and quality of basic local service in other states that have enacted deregulatory policies;
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(11) rules contained in the Federal Communications Commission's Order issued
on August 7, 2015 (FCC 15-97), regarding the preservation of competition under the
transition to an all Internet protocol environment and the maintenance of reasonably
comparable access to end user services when incumbent providers seek to discontinue,
reduce, or impair those services, including health and safety services such as 911 and
services for individuals with disabilities; and
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(12) any other issues the commission deems relevant to the inquiry.
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new text begin Subd. 3. new text end
new text begin Report. new text end
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The commission must present its findings and recommendations
from the docket under subdivision 2 in a report submitted to the committee chairs and
ranking minority members of the senate and house of representatives committees with
jurisdiction over telecommunications policy no later than February 1, 2017.
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new text begin EFFECTIVE DATE. new text end
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This section is effective the day following final enactment.
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Sec. 2. new text begin APPROPRIATION.
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(a) $....... in fiscal year 2017 is appropriated from the general fund to the commission
to administer the docket and complete the report required under section 1. The commission
may use a portion of this appropriation to obtain the services of an independent consultant
to assist with the completion of the work.
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(b) The commission must assess telephone companies an amount equal to the
appropriation in paragraph (a) using its authority to make regulatory assessments under
Minnesota Statutes, section 237.295, subdivision 2. This assessment must not be counted
toward the cap on assessments contained under Minnesota Statutes, section 237.295,
subdivision 2.
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new text begin EFFECTIVE DATE. new text end
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This section is effective the day following final enactment.
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