JR1 AB14: Bill Text

1. The bill eliminates the conveyance of data or other information from the definition of "telecommunications service" for purposes of the statutes administered by the PSC and certain other statutes. As a result, the definition is limited to the conveyance of voice communication, except that the bill also specifies that the definition includes switched access service.

2. Under current law, a company that provides telecommunications service may, subject to municipal regulation and PSC review, maintain lines within public rights-of-way. Current law does not define "telecommunications service" for this purpose. The bill defines "telecommunications service" for this purpose to include the conveyance of voice communication, data, or other information.

3. The bill eliminates a prohibition under current law against TUs and other telecommunications providers from giving certain preferences to their consumer retail departments or affiliates.

4. The bill eliminates certain requirements under current law that apply to certain telecommunications providers regarding issuance of securities, capital structure, and payment of dividends.

5. The bill exempts telecommunications providers from the PSC's authority to require public utilities to answer questionnaires and provide certain documents to the PSC, and the bill clarifies that the PSC's authority to require telecommunications providers to answer questionnaires applies only to matters within the PSC's jurisdiction.

For further information see the state 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:

AB14, s. 1 Section 1. 20.155 (1) (q) of the statutes is amended to read:

AB14,10,5 20.155 (1) (q) Universal telecommunications service. From the universal service fund, the amounts in the schedule for the promotion of universal telecommunications service for the purposes specified in s. 196.218 (5) (a) 1. to, 4., 8. and 9.

AB14, s. 2 Section 2. 93.01 (1m) of the statutes is amended to read:

AB14,11,9 93.01 (1m) "Business" includes any business, except that of banks, savings banks, credit unions, savings and loan associations, and insurance companies. "Business" includes public utilities and telecommunications carriers to the extent that their activities, beyond registration, notice, and reporting activities, are not regulated by the public service commission and includes public utility and telecommunications carrier methods of competition or trade and advertising practices that are exempt from regulation by the public service commission under s. 196.195, 196.196, 196.202, 196.203, 196.206, 196.219, or 196.499, or 196.50 (2) (i) or by other action of the commission.

AB14, s. 3 Section 3. 133.07 (2) of the statutes is amended to read:

AB14,11,18 133.07 (2) This chapter does not prohibit activities of any public utility, as defined in s. 196.01 (5), or telecommunications carrier, as defined in s. 196.01 (8m), which are required by ch. 196 or rules or orders under ch. 196, activities necessary to comply with that chapter or those rules or orders or activities that are actively supervised by the public service commission. This subsection does not apply to activities of a public utility or telecommunications carrier that are exempt from public service commission regulation under s. 196.195, 196.196, 196.202, 196.203, 196.206, 196.219 or, 196.499, or 196.50 (2) (i) or by other action by the commission.

AB14, s. 4 Section 4. 182.017 (1g) (cq) of the statutes is created to read:

AB14,11,23 182.017 (1g) (cq) "Telecommunications service" means the offering for sale of the conveyance of voice, data, or other information, including the sale of service for collection, storage, forwarding, switching, and delivery incidental to such communication regardless of the technology or mode used to make such offering.

AB14, s. 5 Section 5. 196.01 (1d) (g) of the statutes is created to read:

AB14,12,2 196.01 (1d) (g) A telecommunications utility certified under s. 196.203 pursuant to s. 196.50 (2) (j) 1. a.

AB14, s. 6 Section 6. 196.01 (2s) of the statutes is created to read:

AB14,12,5 196.01 (2s) "Incumbent local exchange carrier" has the meaning given in 47 USC 251 (h).

AB14, s. 7 Section 7. 196.01 (3a) of the statutes is created to read:

AB14,12,8 196.01 (3a) "Interconnected voice over Internet protocol service" has the meaning given in 47 CFR 9.3.

AB14, s. 8 Section 8. 196.01 (8d) of the statutes is created to read:

AB14,12,12 196.01 (8d) "Switched access rates" means the rates, rate elements, and rate structure, including all applicable fixed and traffic sensitive charges, that a telecommunications provider charges for the provision of switched access services.

AB14, s. 9 Section 9. 196.01 (8e) of the statutes is created to read:

AB14,12,16 196.01 (8e) "Switched access service" means the offering of switched access to a local exchange network for the purpose of enabling an entity to originate or terminate telecommunications service within the local exchange.

AB14, s. 10 Section 10. 196.01 (9m) of the statutes is amended to read:

AB14,12,25 196.01 (9m) "Telecommunications service" means the offering for sale of the conveyance of voice, data or other information at any frequency over any part of the electromagnetic spectrum communication, including the sale of service for collection, storage, forwarding, switching, and delivery incidental to such communication and including the regulated sale of customer premises equipment, regardless of the technology or mode used to make such offering. "Telecommunications service" includes switched access service. "Telecommunications service" does not include cable service or broadcast service.

AB14, s. 11 Section 11. 196.01 (12w) of the statutes is created to read:

AB14,13,3 196.01 (12w) (a) "Wholesale telecommunications service" means, except as provided in par. (b), a service that satisfies all of the following:

AB14,13,5 1. The service is provided by a telecommunications provider to another telecommunications provider other than an affiliate, as defined in s. 196.212 (1) (a).

AB14,13,6 2. The service is subject to regulation by the commission under this chapter.

AB14,13,8 3. The service is subsequently used in the provision of a telecommunications service to retail end users.

AB14,13,10 (b) "Wholesale telecommunications service" does not include switched access service.

AB14, s. 12 Section 12. 196.016 of the statutes is created to read:

AB14,13,17 196.016 Relationship to certain federal telecommunications law. Except as provided in s. 196.50 (2) (j) 2. and 3., nothing in this chapter is intended to either reduce or expand the scope and application of the federal Telecommunications Act of 1996, P.L. 104-104, including the jurisdiction and authority granted to the commission thereunder, and the commission may take any action that the commission is authorized to take under that federal act.

AB14, s. 13 Section 13. 196.02 (2) of the statutes is amended to read:

AB14,14,2 196.02 (2) Definition; classification. In this subsection, "public utility" does not include a telecommunications cooperative, an unincorporated telecommunications cooperative association, or a small telecommunications utility except as provided under s. 196.205 or 196.215 (2) and does not include an alternative telecommunications utility. The commission shall provide for a comprehensive classification of service for each public utility. The classification may take into account the quantity used, the time when used, the purpose for which used, and any other reasonable consideration. Each public utility shall conform its schedules of rates, tolls and charges to such classification.

AB14, s. 14 Section 14. 196.04 (1) (a) 1. of the statutes is renumbered 196.04 (1) (a) 4. and amended to read:

AB14,14,7 196.04 (1) (a) 4. "Transmission equipment and property" means any conduit, subway, pole, tower, transmission wire, or other equipment on, over, or under any right-of-way owned or controlled by a political subdivision, street, or highway.

AB14, s. 15 Section 15. 196.04 (1) (a) 3. of the statutes is created to read:

AB14,14,10 196.04 (1) (a) 3. "Political subdivision" means any county, city, village, or town or public utility owned or operated by any county, city, village, or town.

AB14, s. 16 Section 16. 196.04 (1) (b) 1. of the statutes is amended to read:

AB14,14,18 196.04 (1) (b) 1. Any person who owns transmission equipment and property shall permit, for reasonable compensation, the use of the transmission equipment and property, including an attachment to a pole, by any public utility, video service provider, or telecommunications provider if public convenience and necessity require such use and if the use will not result in irreparable injury to any owner or user of the transmission equipment and property or in any substantial detriment to the service to be rendered by the owner or user.

AB14, s. 17 Section 17. 196.04 (2) of the statutes is amended to read:

AB14,15,14 196.04 (2) If there is a failure to agree upon the use of transmission equipment and property under sub. (1) or the conditions or compensation for the use, or if there is a failure to agree upon the physical connections or the terms and conditions upon which the physical connections shall be made, any public utility, any video service provider, telecommunications provider, or any other interested person interested may apply to the commission. If, after investigation, the commission determines that public convenience and necessity require the use of the transmission equipment and property or the physical connections and that the use or physical connections will not result in irreparable injury to the owner or other users of the transmission equipment and property or of the facilities of the public utility, video service provider, or telecommunications provider or in any substantial detriment to the service to be rendered by the owner or the public utility, video service provider, telecommunications provider, or other users of the transmission equipment and property or facilities, the commission, by order, shall direct that the use of the transmission equipment and property be permitted and that the physical connections be made. The commission shall prescribe reasonable conditions and compensation for the use of the transmission equipment and property and shall determine how and within what time the physical connections shall be made and by whom the expense of making and maintaining the physical connections shall be paid. An order under this subsection may be revised by the commission.

AB14, s. 18 Section 18. 196.09 (1) of the statutes is amended to read:

AB14,16,2 196.09 (1) In this section, "public utility" does not include a telecommunications cooperative or an unincorporated telecommunications cooperative association except as provided under s. 196.205. In subs. (2) to (7), "public utility" does not include a telecommunications utility. Subsection (9) only applies to a telecommunications utility. Every public utility shall file with the commission, within such time as may be required by the commission, its estimate of the annual rate of depreciation required for each of its classes of fixed capital used for public utility purposes, and of the composite annual rate of depreciation required for such fixed capital as an aggregate, which shall constitute the public utility's estimates of the amount which should be returned to it out of its rates for service, to meet the depreciation of its property.

AB14, s. 19 Section 19. 196.09 (9) of the statutes is repealed.

AB14, s. 20 Section 20. 196.11 (2) of the statutes is amended to read:

AB14,16,13 196.11 (2) Any arrangement under this section shall be under the supervision and regulation of the commission. The commission may order any rate, charge or regulation which the commission deems necessary to give effect to the arrangement. The commission may make any change in a rate, charge or regulation as the commission determines is necessary and reasonable and may revoke its approval and amend or rescind all orders relative to any arrangement. This subsection does not apply to telecommunications cooperatives, unincorporated telecommunications cooperative associations, or telecommunications utilities except as provided in s. 196.205.

AB14, s. 21 Section 21. 196.13 (2) of the statutes is amended to read:

AB14,16,19 196.13 (2) The commission shall publish in its reports the value of all the property actually used and useful for the convenience of the public of a public utility, other than a telecommunications utility, if the commission has held a hearing on the public utility's rates, charges, service or regulations or if the commission has otherwise determined the value of the public utility's property.

AB14, s. 22 Section 22. 196.19 (1m) of the statutes is repealed.

AB14, s. 23 Section 23. 196.19 (5) of the statutes is repealed.

AB14, s. 24 Section 24. 196.191 of the statutes is created to read:

AB14,17,15 196.191 Telecommunications utility and alternative telecommunications utility tariffs. (1) No later than the 90th day beginning after the effective date of this subsection .... [LRB inserts date], any telecommunications utility or alternative telecommunications utility that provides intrastate switched access service within this state shall at all times have on file with the commission a tariff showing all rates, tolls, and charges that it has established and that are in force for such intrastate switched access service. The absence of such a tariff before the 90th day beginning after the effective date of this subsection .... [LRB inserts date], shall not prohibit a telecommunications utility or alternative telecommunications utility from charging intrastate switched access rates for any intrastate switched access service that it provides, or limit or excuse any entity from its obligation to pay intrastate switched access rates, provided that such intrastate switched access rates comply with the requirements of ss. 196.212 and 196.219 (2r). A telecommunications utility or alternative telecommunications utility may not withdraw a tariff for switched access service once the tariff is in effect. Except as allowed under this section or to comply with ss. 196.212 and 196.219 (2r), a telecommunications utility or alternative telecommunications utility may not file to change the rates, tolls, and charges shown in a tariff for switched access service.

AB14,17,18 (2) Except as provided in this section and s. 196.212, notwithstanding anything in this chapter to the contrary, any telecommunications utility or alternative telecommunications utility may do any of the following:

AB14,18,3 (a) Retain on file with the commission tariffs already on file with the commission as of the effective date of this paragraph .... [LRB inserts date], showing the rates, tolls, and charges and the terms and conditions that the telecommunications utility or alternative telecommunications utility has established as of the effective date of this paragraph .... [LRB inserts date], for some or all of the services performed by the telecommunications utility or alternative telecommunications utility within the state or for any service in connection therewith or performed by any telecommunications utility or alternative telecommunications utility controlled or operated by the telecommunications utility or alternative telecommunications utility.

AB14,18,11 (b) File with the commission new tariffs showing the rates, tolls, and charges and the terms and conditions that the telecommunications utility or alternative telecommunications utility has established, as provided in the tariff filings, for some or all of the services performed by the telecommunications utility or alternative telecommunications utility within the state or for any service in connection therewith or performed by any telecommunications utility or alternative telecommunications utility controlled or operated by the telecommunications utility or alternative telecommunications utility.

AB14,18,13 (c) Except as provided in sub. (1), withdraw a tariff for any service by providing notice to the commission.

AB14,18,18 (d) 1. Except as provided in subd. 2., change the rates, tolls, and charges and the terms and conditions of a tariff on file with the commission by filing a revised tariff with the commission. Except as provided in subd. 2., a proposed change in a tariff shall be effective at the time specified in the revised tariff as filed with the commission.

AB14,18,25 2. No change in a tariff that constitutes an increase in intrastate switched access rates may be made unless the change is consistent with the public interest factors set forth in s. 196.03 (6) and does not violate ss. 196.212 and 196.219 (2r) and the commission by order, after investigation and opportunity for a hearing, approves the change, except that an increase in intrastate switched access rates shall be effective at the time specified in the revised tariff as filed with the commission, if either of the following is satisfied:

AB14,19,3 a. The increase results in the intrastate switched access rates mirroring the interstate switched access rates for the telecommunications utility or alternative telecommunications utility.

AB14,19,9 b. If the telecommunications utility or alternative telecommunications utility is a small telecommunications utility, the increase does not violate s. 196.212 or 196.219 (2r), does not exceed, in any 12-month period, the percentage increase in the U.S. consumer price index for all urban consumers, U.S. city average, for the previous year, and is not greater than the corresponding increase in interstate switched access rates for the small telecommunications utility.

AB14,19,12 (3) (a) Except as provided in par. (b), if a telecommunications utility or alternative telecommunications utility files a new tariff under sub. (2) (b), all of the following apply:

AB14,19,18 1. The new tariff shall become effective on the date specified in the tariff, unless the commission suspends the operation of the new tariff upon serving a written notice of the suspension on the telecommunications utility or alternative telecommunications utility within 10 days after the date of filing. The notice shall include a statement of the reason under subd. 2. upon which the commission believes the tariff may be modified.

AB14,19,22 2. The commission may modify the new tariff after an opportunity for a hearing only to the extent that the tariff violates s. 196.209, 196.212, or 196.219 and only to the extent that s. 196.209, 196.212, or 196.219 applies to the telecommunications utility or alternative telecommunications utility.

AB14,20,3 3. If the commission does not conduct a hearing under subd. 2., the commission shall issue its final order within 60 days after issuing the notice of suspension under subd. 1. If the commission conducts a hearing, the commission shall issue its final order within 120 days after issuing the notice of suspension under subd. 1. If a final order is not issued within the time limits specified in this subdivision, the new tariff becomes effective as filed.

AB14,20,15 (b) If a telecommunications utility or alternative telecommunications utility files a new tariff under sub. (2) (b) to comply with sub. (1) for intrastate switched access service that includes intrastate switched access rates higher than the intrastate switched access rates it charged on January 1, 2011, the tariff shall not be effective unless the new tariff is consistent with the public interest factors set forth in s. 196.03 (6) and does not violate s. 196.212 or 196.219 (2r) and the commission by order, after investigation and opportunity for a hearing, approves the new tariff and rates, except that an increase in intrastate switched access rates shall be effective at the time specified in the new tariff as filed with the commission if sub. (2) (d) 2. a. is satisfied or, if the telecommunications utility or alternative telecommunications utility is a small telecommunications utility, sub. (2) (d) 2. a. or b. is satisfied.

AB14,20,18 (4) Nothing in this section shall give the commission jurisdiction over the rates, tolls, and charges or the terms and conditions of any service that is not subject to a tariff under this section.

AB14,20,22 (5) Every telecommunications utility or alternative telecommunications utility that files a tariff with the commission under this section shall include all rates, tolls, and charges and all terms and conditions that apply to the services specified in the tariff.

AB14,21,2 (6) Nothing in this chapter prohibits a tariff for a service that permits a telecommunications utility or alternative telecommunications utility to enter into a contract with a customer for that tariffed service that includes rates, tolls, and charges and terms and conditions that are different from those in the tariff.

AB14,21,7 (7) Except as provided in sub. (6), no telecommunications utility or alternative telecommunications utility may charge, demand, collect, or receive more or less compensation for any service for which a tariff is filed under this section than is specified in the tariff, as may at the time be in force, or demand, collect, or receive any rate, toll, or charge for such service not specified in the tariff.

AB14,21,9 (8) A copy of the tariffs filed under this section shall be made available to consumers in a form and place readily accessible to the public.

AB14, s. 25 Section 25. 196.194 (title) of the statutes is repealed.

AB14, s. 26 Section 26. 196.194 (1) of the statutes is repealed.

AB14, s. 27 Section 27. 196.194 (2) of the statutes is renumbered 196.194 and amended to read:

AB14,22,11 196.194 Gas utilities utility individual contracts. Nothing in ss. 196.03, 196.19, 196.20, 196.21, 196.22, 196.37, 196.60, 196.604 and 196.625 prohibits the commission from approving the filing of a tariff which permits a gas utility to enter into an individual contract with an individual customer if the term of the contract is no more than 5 years, or a longer period approved by the commission, and if the commission determines that substitute gas services are available to customers or potential customers of the gas utility and the absence of such a tariff will cause the gas utility to be disadvantaged in competing for business. A tariff filed under this subsection section shall include the condition that any such contract shall be compensatory. The tariff shall include any other condition and procedure required by the commission in the public interest. Within 20 days after a contract authorized under this subsection section or an amendment to such a contract has been executed, the gas utility shall submit the contract to the commission. The commission shall give notice to any person, upon request, that a contract authorized under this subsection section has been received by the commission. The notice shall identify the gas utility that has entered into the contract. Within 6 months after receiving substantial evidence that a contract may be noncompensatory, or upon its own motion, the commission shall investigate and determine whether the contract is compensatory. If the commission determines that the contract is noncompensatory, the commission may make appropriate adjustments in the rates or tariffs of the gas utility that has entered into the contract, in addition to other remedies under this chapter. The dollar amount of the adjustment may not be less than the amount by which the contract was found to be noncompensatory.

AB14, s. 28 Section 28. 196.195 of the statutes is repealed and recreated to read:

AB14,22,22 196.195 Alternative telecommunications regulation plans. Any telecommunications utility that as of the effective date of this section .... [LRB inserts date], is subject to an alternative regulation plan approved by the commission under s. 196.195, 2009 stats., shall remain regulated pursuant to such alternative regulation plan to the extent that the alternative regulation plan is not inconsistent with ss. 196.191 and 196.212, unless the telecommunications utility terminates the alternative regulation plan pursuant to the terms and conditions of the plan. If such an inconsistency exists, the requirements of ss. 196.191 and 196.212 shall apply to the intrastate switched access rates and intrastate switched access service tariff filings of such a telecommunications utility.

AB14, s. 29 Section 29. 196.196 of the statutes is repealed.

AB14, s. 30 Section 30. 196.198 (2) (a) of the statutes is renumbered 196.198 (2) and amended to read:

AB14,23,6 196.198 (2) Except as provided in sub. (3), a telecommunications utility that has more than 150,000 access lines in use in this state or a telecommunications provider that has more than 150,000 access lines in use in this state may not charge a residential customer for basic local exchange service based on the duration of a call or on the time of day that a call is made. This paragraph subsection does not apply to an extended community telephone service.

AB14, s. 31 Section 31. 196.198 (2) (b) of the statutes is repealed.

AB14, s. 32 Section 32. 196.198 (3) (intro.) of the statutes is amended to read:

AB14,23,12 196.198 (3) (intro.) The commission may suspend the application of sub. (2) (a) in a particular geographical area for a telecommunications utility or a telecommunications provider if, after a contested case hearing, the commission determines that all of the following apply:

AB14, s. 33 Section 33. 196.198 (3) (a) of the statutes is amended to read:

AB14,23,15 196.198 (3) (a) Failure to suspend the application of sub. (2) (a) makes competition in that geographical area impractical.