LRB-4210/1
MDK:wlj&cmh:jf
1999 - 2000 LEGISLATURE
February 10, 2000 - Introduced by Representatives Huebsch, Stone, Musser,
Suder, Freese, Goetsch, Handrick, Kelso, Walker
and Powers, cosponsored
by Senators Shibilski, Breske and Moen. Referred to Committee on
Information Policy.
AB747,1,8 1An Act to renumber 196.203 (2) and 196.50 (2) (c); to renumber and amend
2196.499 (15) and 196.50 (4); to amend 196.50 (4) (title), 198.12 (6) and 198.22
3(6); and to create 196.203 (2) (b), 196.499 (15) (b), 196.50 (2) (c) 2., 196.50 (4)
4(a) and 196.50 (4) (c) of the statutes; relating to: prohibiting cities, villages,
5towns, counties, school districts, technical college districts and cooperative
6educational service agencies from providing certain telecommunications
7services and Internet access services and from making certain transfers of
8telecommunications transmission facilities.
Analysis by the Legislative Reference Bureau
Under this bill, a governmental subdivision, which the bill defines as a city,
village, town, county, school district, technical college district or cooperative
educational service agency may not provide a telecommunications service in this
state as a telecommunications utility, alternative telecommunications utility or
telecommunications carrier. A "telecommunications utility" is defined under current
law as a person that manages or controls any plant or equipment used to furnish
telecommunications services within the state directly or indirectly to the public. A
"telecommunications carrier" is similar to a telecommunications utility, except that
a carrier does not provide basic local exchange service, except on a resale basis. An

"alternative telecommunications utility" is defined to include cable television
telecommunications service providers, pay telephone service providers and
telecommunications resellers.
The bill also prohibits a governmental subdivision from providing an Internet
access service directly or indirectly to the public. "Internet access service" is defined
as a service that enables a user to obtain access to content, information, electronic
mail or any other service offered over the Internet. Finally, the bill prohibits a
governmental subdivision from transferring a telecommunications transmission
facility in this state to another person if the facility is used to furnish a
telecommunications service directly or indirectly to the public.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB747, s. 1 1Section 1. 196.203 (2) of the statutes is renumbered 196.203 (2) (a).
AB747, s. 2 2Section 2. 196.203 (2) (b) of the statutes is created to read:
AB747,2,43 196.203 (2) (b) The commission may not issue a determination under par. (a)
4to a governmental subdivision, as defined in s. 196.50 (4) (a) 1.
AB747, s. 3 5Section 3. 196.499 (15) of the statutes is renumbered 196.499 (15) (a) and
6amended to read:
AB747,3,37 196.499 (15) (a) A telecommunications carrier that is not authorized to provide
8intrastate telecommunications service on January 1, 1994, may not commence the
9construction of any plant, extension or facility, or provide intrastate
10telecommunications service directly or indirectly to the public, unless the
11telecommunications carrier obtains a certificate from the commission authorizing
12the telecommunications carrier to provide intrastate telecommunications. The
13Except as provided in par. (b), the commission may issue a certificate if the
14telecommunications carrier demonstrates that it possesses sufficient technical,
15financial and managerial resources to provide intrastate telecommunications

1services. A telecommunications carrier that is authorized to provide intrastate
2telecommunications service on January 1, 1994, is not required to be recertified
3under this subsection paragraph.
AB747, s. 4 4Section 4. 196.499 (15) (b) of the statutes is created to read:
AB747,3,65 196.499 (15) (b) The commission may not issue a certificate under par. (a) to
6a governmental subdivision, as defined in s. 196.50 (4) (a) 1.
AB747, s. 5 7Section 5. 196.50 (2) (c) of the statutes is renumbered 196.50 (2) (c) 1.
AB747, s. 6 8Section 6. 196.50 (2) (c) 2. of the statutes is created to read:
AB747,3,109 196.50 (2) (c) 2. The commission may not issue a certificate of authority under
10this subsection to a governmental subdivision, as defined in s. 196.50 (4) (a) 1.
AB747, s. 7 11Section 7. 196.50 (4) (title) of the statutes is amended to read:
AB747,3,1312 196.50 (4) (title) Municipality Municipalities and governmental subdivisions
13restrained.
AB747, s. 8 14Section 8. 196.50 (4) of the statutes is renumbered 196.50 (4) (b) and amended
15to read:
AB747,3,2116 196.50 (4) (b) No municipality may construct any public utility that is not a
17telecommunications utility or alternative telecommunications utility
if there is in
18operation under an indeterminate permit in the municipality a public utility
19engaged in similar service other than a telecommunications service, unless it secures
20from the commission a declaration, after a public hearing of all parties interested,
21that public convenience and necessity require the municipal public utility.
AB747, s. 9 22Section 9. 196.50 (4) (a) of the statutes is created to read:
AB747,3,2323 196.50 (4) (a) In this subsection:
AB747,3,2524 1. "Governmental subdivision" means a city, village, town, county, school
25district, cooperative educational service agency or technical college district.
AB747,4,2
12. "Internet access service" means a service that enables a user to obtain access
2to content, information, electronic mail or any other service offered over the Internet.
AB747,4,43 3. "Transfer" means to sell, lease or transfer for consideration of any interest
4in ownership, title or right to use.
AB747, s. 10 5Section 10. 196.50 (4) (c) of the statutes is created to read:
AB747,4,66 196.50 (4) (c) No governmental subdivision may do any of the following:
AB747,4,87 1. Provide a telecommunications service in this state as a telecommunications
8utility, alternative telecommunications utility or telecommunications carrier.
AB747,4,109 2. Transfer a transmission facility in this state to another person if the facility
10is used to furnish a telecommunications service directly or indirectly to the public.
AB747,4,1111 3. Provide an Internet access service directly or indirectly to the public.
AB747, s. 11 12Section 11. 198.12 (6) of the statutes is amended to read:
AB747,5,613 198.12 (6) Utilities, acquire, construct, operate; water power; sale of
14service; use of streets.
The district shall have power and authority to own, acquire
15and, subject to the restrictions applying to a municipality under s. 196.50 (4) (b), to
16construct any utility or portion thereof to operate, in whole or in part, in the district,
17and to own, acquire and, subject to ss. 196.01 to 196.53 and 196.59 to 196.76 where
18applicable, to construct any addition to or extension of any such utility, and to own,
19acquire and construct any water power and hydroelectric power plant, within or
20without the district, to be operated in connection with any such utility, and to
21operate, maintain and conduct such utility and water power and hydroelectric power
22plant and system both within and without the district, and to furnish, deliver and
23sell to the public and to any municipality and to the state and any state institution
24heat, light and power service and any other service, commodity or facility which may
25be produced or furnished thereby, and to charge and collect rates, tolls and charges

1for the same. For said purposes the district is granted and shall have and exercise
2the right freely to use and occupy any public highway, street, way or place reasonably
3necessary to be used or occupied for the maintenance and operation of such utility
4or any part thereof, subject, however, to such local police regulations as may be
5imposed by any ordinance adopted by the governing body of the municipality in
6which such highway, street, way or place is located.
AB747, s. 12 7Section 12. 198.22 (6) of the statutes is amended to read:
AB747,5,178 198.22 (6) Acquisition; construction; operation; sale of service; use of
9streets.
The district shall have power and authority to own, acquire, and, subject
10to the restrictions applying to a municipality under s. 196.50 (4) (b), to construct any
11water utility or portion thereof, to operate, in whole or in part, in the district and to
12construct any addition or extension to any such utility. For such purpose the district
13is granted and shall have and exercise the right freely to use and occupy any public
14highway, street, way or place reasonably necessary to be used or occupied for the
15construction, operation or maintenance of such utility or any part thereof, subject,
16however, to the obligation of the district to replace said grounds in the same condition
17as they previously were in.
AB747, s. 13 18Section 13. Initial applicability.
AB747,5,2119 (1) The treatment of section 196.50 (4) (c) of the statutes first applies to services
20provided or facilities transferred under contracts entered into, extended, modified or
21renewed on the effective date of this subsection.
AB747,5,2222 (End)
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