This bill repeals the foregoing requirements and requires instead that certain
telecommunications providers must make available to their customers all essential
telecommunications services. The bill defines "essential telecommunications
services" as services or functionalities determined by the FCC to be eligible for
support by federal universal service support mechanisms. The bill's requirements
apply to a telecommunications provider that provides basic local exchange service or
that is designated under federal law as a telecommunications carrier eligible to
receive support from the federal universal service fund. Also, the bill provides that
a telecommunications provider may provide essential telecommunications services
itself or through an affiliate or through the use of any available technology or mode.
Basic voice service
The bill requires an ILEC to make basic voice service available to all residential
and small business customers within the ILEC's local exchange area. "Basic voice
service" is defined, in part, as two-way voice communication service within a local
calling area, and "small business customer" is defined as a business with three or
fewer telephone lines. In providing basic voice service, an ILEC must also provide
a customer the ability to utilize a dial-up Internet access service or an equivalent
service. The bill allows an ILEC to provide basic voice service through an affiliate,
or through the use of interconnected VOIP service or any available technology or
mode.
The bill also allows an ILEC to apply to the PSC for a waiver from the foregoing
requirements. The PSC must grant a waiver if the waiver is in the public interest
or effective competition exists in the local exchange area. If the PSC fails to meet a
120-day deadline based on the filing of a waiver request, the PSC is considered to
have granted the waiver. In addition, the PSC must grant a waiver if the PSC
previously found that effective competition existed. However, the PSC may not grant
a waiver based on a previous finding until after May 1, 2011. The bill also provides
that decisions of the PSC prior to the effective date of the bill that eliminate an ILEC's
provider of last resort obligations remain in force and effect. Finally, the bill provides
that none of the bill's basic voice service requirements apply after April 30, 2015.
Other changes
The bill repeals a requirement under current law for TUs and other
telecommunications providers to provide, with certain exceptions, access services
under tariffs under the same rates, terms, and conditions to all telecommunications
providers. "Access service" is defined under current law, in part, as the provision of
switched or dedicated access to a local exchange network for the purpose of enabling
a telecommunications provider to originate or terminate telecommunications
service. The bill also repeals a prohibition under current law on a TU, with respect
to its regulated services, or a telecommunications provider, with respect to its
offering of local exchange services, from giving preference or discriminating in the
provision of services, products, or facilities to an affiliate or to the consumer retail
department of the TU, telecommunications provider, or affiliate. Under current law,
the foregoing prohibition applies to the extent the preference or discrimination is
prohibited under federal law or the PSC's rules.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB696-engrossed,9,32
93.01
(1m) "Business" includes any business, except that of banks, savings
3banks, credit unions, savings and loan associations, and insurance companies.
4"Business" includes public utilities and telecommunications carriers to the extent
5that their activities, beyond registration, notice, and reporting activities, are not
6regulated by the public service commission and includes public utility and
7telecommunications carrier methods of competition or trade and advertising
1practices that are exempt from regulation by the public service commission under s.
2196.195,
196.196, 196.202, 196.203, 196.219, or 196.499 or by other action of the
3commission.
AB696-engrossed,9,125
133.07
(2) This chapter does not prohibit activities of any public utility, as
6defined in s. 196.01 (5), or telecommunications carrier, as defined in s. 196.01 (8m),
7which are required by ch. 196 or rules or orders under ch. 196, activities necessary
8to comply with that chapter or those rules or orders or activities that are actively
9supervised by the public service commission. This subsection does not apply to
10activities of a public utility or telecommunications carrier that are exempt from
11public service commission regulation under s. 196.195,
196.196, 196.202, 196.203,
12196.219 or 196.499 or by other action by the commission.
AB696-engrossed,9,1514
196.01
(1d) (g) A telecommunications utility that provides notice to the
15commission under s. 196.50 (2) (j) 1. a.
AB696-engrossed,9,1817
196.01
(3a) "Interconnected voice over Internet protocol service" has the
18meaning given in
47 CFR 9.3.
AB696-engrossed,9,2120
196.01
(12w) (a) "Wholesale telecommunications service" means, except as
21provided in par. (b), a service that satisfies all of the following:
AB696-engrossed,9,2422
1. The service is provided by a telecommunications provider to another
23telecommunications provider other than an affiliated interest, as defined in s. 196.52
24(1).
AB696-engrossed,9,2525
2. The service is subject to regulation by the commission under this chapter.
AB696-engrossed,10,2
13. The service is subsequently used in the provision of a telecommunications
2service to retail end user customers.
AB696-engrossed,10,43
(b) "Wholesale telecommunications service" does not include switched access
4service.
AB696-engrossed,10,11
6196.016 Relationship to certain federal telecommunications law. 7Except as provided in s. 196.50 (2) (j) 2. and 3., nothing in this chapter is intended
8to either reduce or expand the scope and application of the federal
9Telecommunications Act of 1996, P.L.
104-104, including the jurisdiction and
10authority granted to the commission thereunder and the commission may take any
11action that the commission is authorized to take under that federal act.
AB696-engrossed,10,2113
196.02
(2) Definition; classification. In this subsection, "public utility" does
14not include a telecommunications cooperative, an unincorporated
15telecommunications cooperative association, or a small telecommunications utility
16except as provided under s. 196.205 or 196.215 (2) and does not include an alternative
17telecommunications utility. The commission shall provide for a comprehensive
18classification of service for each public utility. The classification may take into
19account the quantity used, the time when used, the purpose for which used, and any
20other reasonable consideration. Each public utility shall conform its schedules of
21rates, tolls and charges to such classification.
AB696-engrossed,11,823
196.09
(1) In this section, "public utility" does not include a
24telecommunications cooperative or an unincorporated telecommunications
25cooperative association except as provided under s. 196.205. In subs. (2) to (7),
1"public utility" does not include a telecommunications utility. Subsection (9) only
2applies to a telecommunications utility. Every public utility shall file with the
3commission, within such time as may be required by the commission, its estimate of
4the annual rate of depreciation required for each of its classes of fixed capital used
5for public utility purposes, and of the composite annual rate of depreciation required
6for such fixed capital as an aggregate, which shall constitute the public utility's
7estimates of the amount which should be returned to it out of its rates for service, to
8meet the depreciation of its property.
AB696-engrossed,11,1511
196.13
(2) The commission shall publish in its reports the value of all the
12property actually used and useful for the convenience of the public of a public utility
,
13other than a telecommunications utility, if the commission has held a hearing on the
14public utility's rates, charges, service or regulations or if the commission has
15otherwise determined the value of the public utility's property.
AB696-engrossed,11,22
19196.191 Telecommunications utility and alternative
20telecommunications utility tariffs. (1) Notwithstanding anything in this
21chapter to the contrary, any telecommunications utility, including an alternative
22telecommunications utility, may do any of the following:
AB696-engrossed,12,723
(a) Retain on file with the commission tariffs already on file with the
24commission as of the effective date of this paragraph .... [LRB inserts date], showing
25the rates, tolls, and charges which the telecommunications utility, including an
1alternative telecommunications utility, has established as of the effective date of this
2paragraph .... [LRB inserts date], for some or all of the services performed by the
3telecommunications utility, including an alternative telecommunications utility,
4within the state or for any service in connection therewith or performed by any
5telecommunications utility, including an alternative telecommunications utility,
6controlled or operated by the telecommunications utility, including an alternative
7telecommunications utility.
AB696-engrossed,12,98
(b) Withdraw or change the rates, terms, or conditions of a tariff on file with
9the commission.
AB696-engrossed,12,1910
(c) File with the commission new tariffs showing the rates, tolls, and charges
11which the telecommunications utility, including an alternative telecommunications
12utility, has established, as provided in the tariff filings, for some or all of the services
13performed by the telecommunications utility, including an alternative
14telecommunications utility, within the state or for any service in connection
15therewith or performed by any telecommunications utility, including an alternative
16telecommunications utility, controlled or operated by the telecommunications utility,
17including an alternative telecommunications utility. If a telecommunications utility,
18including an alternative telecommunications utility, files a new tariff under this
19paragraph, all of the following apply:
AB696-engrossed,12,2520
1. The new tariff shall become effective on the date specified in the tariff, unless
21the commission suspends the operation of the new tariff upon serving a written
22notice of the suspension on the telecommunications utility, including an alternative
23telecommunications utility, within 10 days after the date of filing. The notice shall
24include a statement of the reason under subd. 2. upon which the commission believes
25the tariff may be modified.
AB696-engrossed,13,2
12. The commission may modify the new tariff after an opportunity for a hearing,
2only to the extent permitted by ss. 196.203 and 196.50 (2) (i) and (j).
AB696-engrossed,13,83
3. If the commission does not conduct a hearing under subd. 2., the commission
4shall issue its final order within 60 days after issuing the notice of suspension under
5subd. 1. If the commission conducts a hearing, the commission shall issue its final
6order within 120 days after issuing the notice of suspension under subd. 1. If a final
7order is not issued within the time limits specified in this subdivision, the new tariff
8becomes effective as filed.
AB696-engrossed,13,10
9(2) Nothing in this section shall give the commission jurisdiction over the rates
10or terms and conditions of any service that is not subject to a tariff under sub. (1).
AB696-engrossed,13,14
11(3) Every telecommunications utility, including an alternative
12telecommunications utility, that files a tariff with the commission under this section
13shall include all terms and conditions that apply to the services specified in the tariff
14and the rates charged or to be charged.
AB696-engrossed,13,16
15(4) A telecommunications utility, including an alternative telecommunications
16utility, may withdraw a tariff for any service by providing notice to the commission.
AB696-engrossed,13,18
17(5) (a) Except as provided in par. (b), a proposed change in a tariff shall be
18effective at the time specified in the tariff as filed with the commission.
AB696-engrossed,14,219
(b) No change in a tariff which constitutes an increase in switched access
20service rates may be made unless the change is consistent with the public interest
21factors set forth in s. 196.03 (6) and the commission by order, after investigation and
22opportunity for a hearing, approves the change, except that an increase in switched
23access service rates to mirror interstate switched access service rates shall go into
24effect on the 10th day after the change in the tariff is filed, unless the commission,
1before that day, suspends the rate increase and initiates an investigation under this
2paragraph.
AB696-engrossed,14,6
3(6) Nothing in this chapter prohibits a tariff for a service which permits a
4telecommunications utility, including an alternative telecommunications utility, to
5enter into an individual contract with an individual customer for that tariffed service
6that includes rates, terms, and conditions that are different from those in the tariff.
AB696-engrossed,14,11
7(7) Except as provided in sub. (6), no telecommunications utility, including an
8alternative telecommunications utility, may charge, demand, collect, or receive more
9or less compensation for any service for which a tariff is filed under this section than
10is specified in the tariff, as may at the time be in force, or demand, collect, or receive
11any rate, toll, or charge for such service not specified in the tariff.
AB696-engrossed,14,13
12(8) A copy of the tariffs filed under this section shall be made available to
13consumers in a form and place readily accessible to the public.
AB696-engrossed,15,15
18196.194 Public Gas utility individual contracts. Nothing in ss. 196.03,
19196.19, 196.20, 196.21, 196.22, 196.37, 196.60, 196.604 and 196.625 prohibits the
20commission from approving the filing of a tariff which permits a gas utility to enter
21into an individual contract with an individual customer if the term of the contract
22is no more than 5 years, or a longer period approved by the commission, and if the
23commission determines that substitute gas services are available to customers or
24potential customers of the gas utility and the absence of such a tariff will cause the
25gas utility to be disadvantaged in competing for business. A tariff filed under this
1subsection section shall include the condition that any such contract shall be
2compensatory. The tariff shall include any other condition and procedure required
3by the commission in the public interest. Within 20 days after a contract authorized
4under this
subsection section or an amendment to such a contract has been executed,
5the gas utility shall submit the contract to the commission. The commission shall
6give notice to any person, upon request, that a contract authorized under this
7subsection section has been received by the commission. The notice shall identify the
8gas utility that has entered into the contract. Within 6 months after receiving
9substantial evidence that a contract may be noncompensatory, or upon its own
10motion, the commission shall investigate and determine whether the contract is
11compensatory. If the commission determines that the contract is noncompensatory,
12the commission may make appropriate adjustments in the rates or tariffs of the gas
13utility that has entered into the contract, in addition to other remedies under this
14chapter. The dollar amount of the adjustment may not be less than the amount by
15which the contract was found to be noncompensatory.
AB696-engrossed,15,1917
196.195
(1) Regulation imposed. Except as provided in this section and ss.
18196.202, 196.203,
196.215 and, 196.219,
and 196.50 (2) (i), a telecommunications
19utility is subject to every applicable provision of this chapter and ch. 201.
AB696-engrossed,16,521
196.195
(5) Commission action. If after the proceedings under subs. (2), (3) and
22(4) the commission has determined that effective competition exists in the market
23for the telecommunications service which justifies a lesser degree of regulation and
24that lesser regulation in that market will serve the public interest, the commission
25may, by order, suspend any
of the following provisions of
law ch. 201, except as
1provided under subs. (7) and (8)
: ch. 201 and s. 196.02 (2); s. 196.05; s. 196.06; s.
2196.07; s. 196.09; s. 196.10; s. 196.12; s. 196.13 (2); s. 196.19; tariffing requirements
3under s. 196.194; s. 196.196 (1) or (5); s. 196.20; s. 196.21; s. 196.22; s. 196.26; s.
4196.28; s. 196.37; s. 196.49; s. 196.52; s. 196.58; s. 196.60;
s. 196.604; s. 196.77; s.
5196.78; s. 196.79; and s. 196.805.
AB696-engrossed,16,127
196.195
(12) (a) To provide incentives for telecommunications utilities to
8achieve any of the goals listed in par. (b) 1. a., the commission may suspend any of
9the provisions
listed in sub. (5) except ss. 196.19, 196.20 (1m), 196.22, 196.26, 196.37,
10196.60 and 196.604 of ch. 201 or may approve a regulatory method alternative to
11traditional rate-of-return regulation that does not require suspension of any
12provisions listed in sub. (5).
AB696-engrossed,16,2114
196.195
(12) (b) 3. The commission shall regulate telecommunications utilities
15with the goal of developing alternative forms of regulation. The commission shall,
16by order, develop and approve an incentive regulatory plan for each
17telecommunications utility to implement this subdivision. The commission may not
18increase regulation of a small telecommunications utility in implementing this
19subdivision.
For telecommunications utilities with more than 150,000 access lines
20in use in this state, s. 196.196 (2) applies to access service rates in any regulatory plan
21approved under this subdivision.
AB696-engrossed, s. 19
23Section
19. 196.198 (2) (a) of the statutes is renumbered 196.198 (2) and
24amended to read:
AB696-engrossed,17,6
1196.198
(2) Except as provided in sub. (3), a telecommunications utility that
2has more than 150,000 access lines in use in this state or a telecommunications
3provider that has more than 150,000 access lines in use in this state may not charge
4a residential customer for basic local exchange service based on the duration of a call
5or on the time of day that a call is made. This
paragraph subsection does not apply
6to an extended community telephone service.
AB696-engrossed,17,129
196.198
(3) (intro.) The commission may suspend the application of sub. (2)
(a) 10in a particular geographical area for a telecommunications utility or a
11telecommunications provider if, after a contested case hearing, the commission
12determines that all of the following apply:
AB696-engrossed,17,1514
196.198
(3) (a) Failure to suspend the application of sub. (2)
(a) makes
15competition in that geographical area impractical.
AB696-engrossed,17,1817
196.198
(3) (b) (intro.) Suspending the application of sub. (2)
(a) is beneficial
18to all of the following groups:
AB696-engrossed,18,320
196.20
(1) The rate schedules of any public utility shall include all rules
21applicable to the rendition or discontinuance of the service to which the rates
22specified in the schedules are applicable. No change may be made by any public
23utility in its schedules except by filing the change as proposed with the commission.
24Except for a telecommunications utility, no No change in any public utility rule which
25purports to curtail the obligation or undertaking of service of the public utility shall
1be effective without the written approval of the commission after hearing, except
2that the commission, by emergency order, may make the rule, as filed, effective from
3the date of the order, pending final approval of the rule after hearing.
AB696-engrossed,18,96
196.20
(2) (a) (intro.)
Except for a telecommunications utility, a A proposed
7change which constitutes a decrease in rates shall be effective at the time specified
8in the change as filed but not earlier than 10 days after the date of filing the change
9with the commission, unless any of the following occurs:
AB696-engrossed,18,1812
196.20
(2m) Except as provided under
sub. (5) and ss. s. 196.193
, 196.195 (12)
13and 196.196, no change in schedules which constitutes an increase in rates to
14consumers may be made except by order of the commission, after an investigation
15and opportunity for hearing.
The commission may waive a hearing under this
16subsection for a proposed change in a telecommunications utility schedule. By rule
17or order, the commission shall specify the notice and procedural requirements
18applicable to a telecommunications utility proposal for which a hearing is waived.
AB696-engrossed,19,6
1196.203
(1g) Alternative telecommunications utilities are exempt from all
2provisions of ch. 201 and this chapter, except as provided in this section, and except
3that an alternative telecommunications utility is subject to
s. ss. 196.025 (6)
and
4196.206 and may elect to subject itself to s. 196.191, and except that an alternative
5telecommunications utility that is a local government telecommunications utility
, as
6defined in s. 196.204 (5) (ag) 1., is subject to s. 196.204 (5).
AB696-engrossed,19,98
196.203
(1d) In this section, "local government telecommunications utility"
9has the meaning given in s. 196.204 (1m) (a).
AB696-engrossed, s. 35
10Section
35. 196.203 (2) of the statutes is renumbered 196.203 (2) (a) and
11amended to read:
AB696-engrossed,19,1612
196.203
(2) (a) No person may commence providing service as an alternative
13telecommunications utility unless the person petitions for and the commission issues
14a
determination certification that the person is an alternative telecommunications
15utility
or unless the person is a telecommunications utility for which the commission
16issues an order under s. 196.50 (2) (j) 1. a.