Chief Sponsor: Kay J. Christofferson

Senate Sponsor: Wayne A. Harper


8     General Description:
9          This bill amends a provision related to telecommunications.
10     Highlighted Provisions:
11          This bill:
12          ▸     allows the Public Service Commission to issue an order exempting a
13     telecommunications corporation or public telecommunications service from a
14     requirement of the Public Utilities Code after an informal adjudication, without a
15     hearing, under certain circumstances.
16     Money Appropriated in this Bill:
17          None
18     Other Special Clauses:
19          None
20     Utah Code Sections Affected:
21     AMENDS:
22          54-8b-3, as last amended by Laws of Utah 1995, Chapter 269

24     Be it enacted by the Legislature of the state of Utah:
25          Section 1. Section 54-8b-3 is amended to read:
26          54-8b-3. Exemptions from requirements.
27          (1) (a) The commission, on its own initiative or in response to an application by a

28     telecommunications corporation, a public agency, or a user of a public telecommunications
29     service, may, after public notice and a hearing, issue an order exempting any
30     telecommunications corporation or public telecommunications service from any requirement of
31     this title, including any requirement or limitation relating to a telecommunication corporation's
32     earnings, rate base, or pricing of public telecommunications services.
33          (b) The commission may issue an order described in Subsection (1)(a), after an
34     informal adjudication, without a hearing if:
35          (i) the matter is not a proceeding described in Subsection 54-1-3(2)(a);
36          (ii) a party to an application submitted under Subsection (1)(a) requests an informal
37     adjudication; and
38          (iii) no person opposes the request for informal adjudication before 10 business days
39     after the day on which the party files the request.
40          (2) The commission shall specify in the order any requirements, terms, or conditions
41     which may apply to any exemption.
42          (3) An exemption may be granted for the entire service territory of a
43     telecommunications corporation or for a specific geographic area of the service territory.
44          (4) The commission may issue an order for an exemption only if it finds that:
45          (a) the telecommunications corporation or service is subject to effective competition;
46     and
47          (b) the exemption is in the public interest.
48          (5) In determining if the telecommunications corporation or service is subject to
49     effective competition, the commission shall consider all relevant factors, which may include:
50          (a) the extent to which competing telecommunications services are available from
51     alternative telecommunications providers;
52          (b) the ability of alternative telecommunications providers to offer competing
53     telecommunications services that are functionally equivalent or substitutable and reasonably
54     available at comparable prices, terms, quality, and conditions;
55          (c) the market share of the telecommunications corporation for which an exemption is
56     proposed;
57          (d) the extent of economic or regulatory barriers to entry;
58          (e) the impact of potential competition; and

59          (f) the type and degree of exemptions to this title that are proposed.
60          (6) In determining if the proposed exemption is in the public interest, the commission
61     shall consider, in addition to other relevant factors, the impact the proposed exemption would
62     have on captive customers of the telecommunications corporation.
63          (7) (a) The commission shall approve or deny any application for exemption under this
64     section within 240 days, except that the commission may by order defer action for an additional
65     30-day period.
66          (b) If the commission has not acted on any application within the permitted time
67     period, the application is considered granted.

Legislative Review Note
Office of Legislative Research and General Counsel