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First Substitute H.B. 141

Representative Chad E. Bennion proposes to substitute the following bill:


             1     
TELECOMMUNICATIONS - PRICING NEW

             2     
SERVICES

             3     
2000 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Sponsor: Chad E. Bennion

             6      AN ACT RELATING TO PUBLIC UTILITIES; REQUIRING A NEW PUBLIC
             7      TELECOMMUNICATIONS SERVICE THAT IS NOT COMPETITIVE TO BE SUBJECT TO
             8      TARIFF REQUIREMENTS; PROVIDING CRITERIA FOR PRICING FLEXIBILITY FOR ANY
             9      NEW PUBLIC TELECOMMUNICATION SERVICE; AND PERMITTING THE COMMISSION
             10      TO REQUIRE THE SERVICE TO BE OFFERED PURSUANT TO TARIFF UNDER CERTAIN
             11      CONDITIONS.
             12      This act affects sections of Utah Code Annotated 1953 as follows:
             13      AMENDS:
             14          54-8b-2.3, as last amended by Chapter 88, Laws of Utah 1997
             15      Be it enacted by the Legislature of the state of Utah:
             16          Section 1. Section 54-8b-2.3 is amended to read:
             17           54-8b-2.3. Pricing flexibility.
             18          (1) (a) A telecommunications corporation that obtains a certificate to compete with [the]
             19      an incumbent [telephone] telecommunications corporation in a defined geographic area pursuant
             20      to Section 54-8b-2.1 may price any public telecommunications services it is authorized to offer,
             21      or any new public telecommunications service, by means of a price list or competitive contract.
             22          (b) Before the telecommunications corporation begins providing any authorized public
             23      telecommunications service, it shall notify the commission of its intent to begin providing the
             24      service.
             25          (2) (a) Notwithstanding other requirements of this chapter relating to pricing flexibility,


             26      an incumbent [telephone] telecommunications corporation may offer retail end user public
             27      telecommunications services by means of a price list or competitive contract as provided in
             28      Subsections (2)(b) and (c).
             29          (b) (i) An incumbent [telephone] telecommunications corporation may petition the
             30      commission for pricing flexibility in any proceeding in which another telecommunications
             31      corporation has petitioned the commission for a certificate to provide specified public
             32      telecommunications services in a defined geographic area that is within the incumbent [telephone]
             33      telecommunications corporation's service territory.
             34          (ii) In the proceeding, the commission shall, by order, grant pricing flexibility to [the] an
             35      incumbent [telephone] telecommunications corporation for the same or substitutable public
             36      telecommunications services in the same defined geographic area.
             37          (iii) Pricing flexibility for any public telecommunications service shall become effective
             38      when the following conditions are met:
             39          (A) the commission has issued a certificate to the competing telecommunications
             40      corporation;
             41          (B) the competing telecommunications corporation has begun providing the authorized
             42      public telecommunications service in the defined geographic area;
             43          (C) [the] an incumbent [telephone] telecommunications corporation, by written agreement,
             44      stipulation, or pursuant to an order of the commission, has allowed the competing
             45      telecommunications corporation to interconnect with the essential facilities and to purchase
             46      essential services of [the] an incumbent [telephone] telecommunications corporation; and
             47          (D) the incumbent [telephone] telecommunications corporation is in compliance with the
             48      rules and orders of the commission adopted or issued under Section 54-8b-2.2 .
             49          (c) (i) An incumbent [telephone] telecommunications corporation may price any new
             50      public telecommunications service by means of a price list or competitive contract.
             51          (3) The commission may review any new public telecommunications service offered by
             52      an incumbent [telephone] telecommunications corporation after the applicable tariff, price list, or
             53      competitive contract has taken effect.
             54          (4) Each price list shall:
             55          (a) be filed with the commission;
             56          (b) describe the public telecommunications service;


             57          (c) set forth the basic terms and conditions upon which the public telecommunications
             58      service is offered; and
             59          (d) list the prices to be charged for the public telecommunications service or the basis on
             60      which the services will be priced.
             61          (5) Prices, terms, and conditions offered under price lists or competitive contracts that are
             62      different from tariff prices, terms, and conditions for the same services are not considered
             63      discriminatory under Section 54-3-8 and Subsection 54-8b-3.3 (2).
             64          (6) A price list filed with the commission under this section shall take effect five days after
             65      it is filed with the commission.
             66          (7) The prices, terms, and conditions of a public telecommunications service offered by
             67      a telecommunications corporation pursuant to a competitive contract with a retail customer shall
             68      be filed with the commission.
             69          (8) The commission may, as determined necessary to protect the public interest, set an
             70      upper limit on the price that may be charged by telecommunications corporations for public
             71      telecommunications services that may be priced by means of a price list or competitive contract.
             72          (9) (a) The commission may revoke or suspend the authority of a telecommunications
             73      corporation to offer a public telecommunications service pursuant to a price list or competitive
             74      contract and may require the service to be offered pursuant to a tariff if the commission finds:
             75          (i) (A) the telecommunications corporation has violated statutes or rules applicable to the
             76      specific service;
             77          (B) there has been a material and substantial change in the level of competition; or
             78          (C) competition has not developed or is not likely to develop; and
             79          (ii) [revocation is] offering the public telecommunications service pursuant to a price list
             80      is not in the public interest.
             81          (b) The party asserting that revocation or suspension should occur shall bear the burden
             82      of proof.


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