2011 Wisconsin Act 22

22,58 Section 58. 196.203 (4) of the statutes is repealed.

22,59 Section 59. 196.203 (4m) of the statutes is created to read:

196.203 (4m) (a) The commission may impose s. 196.02 (1), (4), or (5), 196.04, 196.135, 196.14, 196.197, 196.199, 196.207, 196.208, 196.209, 196.218, 196.219 (1), (2) (b), (c), or (d), (2r), or (3) (a), (d), (j), (m), (n), or (o), 196.25, 196.26, 196.39, 196.395, 196.40, 196.41, 196.43, 196.44, 196.65, 196.66, 196.81, 196.85, 196.858, or 196.859 on an alternative telecommunications utility.

(b) In addition to the requirements under s. 196.212, the commission may, with respect only to intrastate switched access services, impose s. 196.03 (1) or (6) or 196.37 on an alternative telecommunications utility, except that the commission may not investigate, review, or set the rates for intrastate switched access services of an alternative telecommunications utility that is subject to s. 196.212 (2) or (3) except as required to enforce s. 196.212 (2) or (3).

(c) The commission may, with respect only to wholesale telecommunications service, impose s. 196.03 (1) or (6), 196.219 (4), 196.28, or 196.37 on an alternative telecommunications utility certified under sub. (2) (a) or (c).

22,60 Section 60. 196.203 (5) of the statutes is amended to read:

196.203 (5) The commission may establish a reasonable fee schedule and may assess an alternative telecommunications utility to cover the cost of making a determination certification, recertification, or other determinations made under this section.

22,61 Section 61. 196.204 (title) of the statutes is repealed and recreated to read:

196.204 (title) Local government telecommunications utilities.

22,62 Section 62. 196.204 (1) of the statutes is repealed.

22,63 Section 63. 196.204 (2) of the statutes is repealed.

22,64 Section 64. 196.204 (3) of the statutes is repealed.

22,65 Section 65. 196.204 (4) of the statutes is repealed.

22,66 Section 66. 196.204 (5) (ag) of the statutes is renumbered 196.204 (1m), and 196.204 (1m) (intro.), as renumbered, is amended to read:

196.204 (1m) (intro.) In this subsection section:

22,67 Section 67. 196.204 (5) (ar) of the statutes is renumbered 196.204 (2m), and 196.204 (2m) (a), (b) (intro.) and (c) (intro.), as renumbered, are amended to read:

196.204 (2m) (a) In addition to the other requirements of this section, each Each telecommunications service, relevant group of services, and basic network function offered or used by a local government telecommunications utility shall be priced to exceed its total service long-run incremental cost. The commission may waive the applicability of this subdivision to a nongovernmental telecommunications utility's basic local exchange service if the commission determines that a waiver is consistent with the factors under s. 196.03 (6).

(b) (intro.) For purposes of subd. 1. par. (a), the total service long-run incremental cost of a local government telecommunications utility shall take into account, by imputation or allocation, equivalent charges for all taxes, pole rentals, rights-of-way, licenses, and similar costs that are incurred by nongovernmental telecommunications utilities. This subdivision paragraph does not apply to a local government telecommunications utility that is subject to the exemption under s. 66.0422 (3n). This subdivision paragraph also does not apply to a telecommunications service, relevant group of services, or basic network function if all of the following conditions apply:

(c) (intro.) Subdivision 2. Paragraph (b) does not apply to a telecommunications service, relevant group of services, or basic network function, that is used to provide broadband service and that is offered by a municipal telecommunications utility, if all of the following apply:

22,68 Section 68. 196.204 (5) (b) of the statutes is repealed.

22,69 Section 69. 196.204 (6) of the statutes is repealed.

22,70 Section 70. 196.205 (1) (c) of the statutes is created to read:

196.205 (1) (c) The articles of incorporation of the small telecommunications utility under s. 181.1001 or the articles of organization of the small telecommunications utility under s. 183.0203.

22,71 Section 71. 196.205 (1m) (intro.) of the statutes is renumbered 196.205 (intro.) and amended to read:

196.205 Election of rate regulation of telecommunications cooperatives. (intro.) A telecommunications cooperative or, an unincorporated telecommunications cooperative association, or a small telecommunications utility may elect to be subject to ss. 196.28 and 196.37 as they apply to any rate, toll, or charge and to ss. 196.02 (2), 196.09 (1), s. 196.11 (2), 196.20 and 196.26 in any of the following ways:

22,72 Section 72. 196.205 (1m) (a) of the statutes is renumbered 196.205 (1) (intro.) and amended to read:

196.205 (1) (intro.) By amendment of any of the following:

(a) The articles of incorporation of the cooperative under s. 185.51 or the.

(b) The articles of organization of the association under s. 193.221.

22,73 Section 73. 196.205 (1m) (c) of the statutes is renumbered 196.205 (2m) (intro.) and amended to read:

196.205 (2m) (intro.) By a majority of any of the following:

(a) The voting members of the board of directors of the cooperative or, association, or small telecommunications utility.

22,74 Section 74. 196.205 (2) of the statutes is repealed.

22,75 Section 75. 196.205 (2m) (b) of the statutes is created to read:

196.205 (2m) (b) If a small telecommunications utility is organized as a limited liability company, the voting members of the small telecommunications utility.

22,76 Section 76. 196.206 of the statutes is created to read:

196.206 Interconnected voice over Internet protocol service. (1) Exemptions. An interconnected voice over Internet protocol service is not subject to this chapter, except as provided in this section, and except that an interconnected voice over Internet protocol service is subject to ss. 196.01, 196.016, 196.025 (6), 196.199, 196.218 (3), 196.858, and 196.859, and except as required for the commission to administer and enforce this section.

(2) Universal service fund. An entity that provides interconnected voice over Internet protocol service in this state shall make contributions to the universal service fund based on its revenues from providing intrastate interconnected voice over Internet protocol service. The revenues shall be calculated using the entity's actual intrastate revenues, a provider-specific traffic study approved by the commission or federal communications commission, or the inverse of the interstate jurisdictional allocation established by the federal communications commission for the purpose of federal universal service assessments. To the extent applicable, the calculation of the intrastate revenues of an entity that provides interconnected voice over Internet protocol service shall be based on the primary physical service address identified by the customer.

(3) Intrastate switched access rates. (a) Unless otherwise provided under federal law, an entity that provides an interconnected voice over Internet protocol service shall pay intrastate switched access rates in connection with the interconnected voice over Internet protocol services that it provides to the same extent that any telecommunications provider is obligated to pay intrastate switched access rates in connection with the telecommunications services that it provides.

(b) Unless otherwise provided under federal law, an entity that provides an intrastate switched access service in connection with interconnected voice over Internet protocol services shall be subject to s. 196.191 with respect to such intrastate switched access service and may charge intrastate switched access rates to the same extent that any telecommunications provider may charge intrastate switched access rates in connection with the intrastate switched access services that it provides.

22,77 Section 77. 196.212 of the statutes is created to read:

196.212 Switched access rates. (1) Definitions. In this section:

(a) "Affiliate" means any person, corporation, company, cooperative, unincorporated cooperative association, partnership, association, or other entity that is controlled by, or is under common control with, a telecommunications provider or telecommunications utility.

(b) "Large incumbent local exchange carrier" means an incumbent local exchange carrier that, with any affiliates that are incumbent local exchange carriers operating in the state, in total had 150,000 or more access lines in use in this state as of January 1, 2010.

(c) "Large nonincumbent" means a telecommunications provider that is not an incumbent local exchange carrier, that had 10,000 or more access lines in use in this state as of January 1, 2010, and that was granted an initial certification by the commission pursuant to s. 196.203 or 196.50 before January 1, 2011.

(d) "New nonincumbent" means a telecommunications provider, other than an alternative telecommunications utility certified under s. 196.203 pursuant to s. 196.50 (2) (j) 1. a., that is not an incumbent local exchange carrier and that was granted an initial certification by the commission pursuant to s. 196.203 or 196.50 on or after January 1, 2011.

(e) "Small incumbent local exchange carrier" means an incumbent local exchange carrier that, with any affiliates that are incumbent local exchange carriers operating in the state, in total had fewer than 150,000 access lines in use in this state as of January 1, 2010.

(f) "Small nonincumbent" means a telecommunications provider that is not an incumbent local exchange carrier, that had fewer than 10,000 access lines in use in this state as of January 1, 2010, and that was granted an initial certification by the commission pursuant to s. 196.203 or 196.50 before January 1, 2011.

(2) New nonincumbents and large nonincumbents. (a) New nonincumbents. Within 30 days of the effective date of this paragraph .... [LRB inserts date], a new nonincumbent may not charge intrastate switched access rates that are higher than its interstate switched access rates.

(b) Large nonincumbents. 1. Except for an increase in intrastate switched access rates under s. 196.191 (2) (d) 2. a. or (3) (b) in order to mirror its interstate switched access rates, a large nonincumbent may not charge intrastate switched access rates higher than the intrastate switched access rates it charged on January 1, 2011.

2. A large nonincumbent shall reduce its intrastate switched access rates as follows:

a. No later than 4 years after the effective date of this subd. 2. a. .... [LRB inserts date], the large nonincumbent shall reduce its intrastate switched access rates by an amount equal to 33 percent of the difference between its intrastate switched access rates in effect prior to the reduction and its interstate switched access rates in effect prior to the reduction.

b. No later than 5 years after the effective date of this subd. 2. b. .... [LRB inserts date], the large nonincumbent shall further reduce its intrastate switched access rates by an amount equal to 50 percent of the difference between its intrastate switched access rates in effect prior to the reduction and its interstate switched access rates in effect prior to the reduction.

c. No later than 6 years after the effective date of this subd. 2. c. .... [LRB inserts date], the large nonincumbent shall further reduce its intrastate switched access rates in order to mirror its interstate switched access rates in effect prior to the reduction and, beginning no later than that date, may not charge intrastate switched access rates that are higher than its interstate switched access rates.

(3) Large incumbent local exchange carriers. A large incumbent local exchange carrier shall reduce its intrastate switched access rates to no higher than the large incumbent local exchange carrier's interstate switched access rates as follows:

(a) Beginning on the effective date of this paragraph .... [LRB inserts date], the large incumbent local exchange carrier may not charge intrastate switched access rates higher than the intrastate switched access rates it charged on January 1, 2011.

(b) No later than 2 years after the effective date of this paragraph .... [LRB inserts date], the large incumbent local exchange carrier shall reduce its intrastate switched access rates by an amount equal to 25 percent of the difference between its intrastate switched access rates in effect prior to the reduction and its interstate switched access rates in effect prior to the reduction.

(c) No later than 3 years after the effective date of this paragraph .... [LRB inserts date], the large incumbent local exchange carrier shall further reduce its intrastate switched access rates by an amount equal to 33 percent of the difference between its intrastate switched access rates in effect prior to the reduction and its interstate switched access rates in effect prior to the reduction.

(d) No later than 4 years after the effective date of this paragraph .... [LRB inserts date], the large incumbent local exchange carrier shall further reduce its intrastate switched access rates by an amount equal to 50 percent of the difference between its intrastate switched access rates in effect prior to the reduction and its interstate switched access rates in effect prior to the reduction.

(e) No later than 5 years after the effective date of this paragraph .... [LRB inserts date], the large incumbent local exchange carrier shall further reduce its intrastate switched access rates in order to mirror its interstate switched access rates in effect prior to the reduction and, beginning no later than that date, may not charge intrastate switched access rates that are higher than its interstate switched access rates.

(4) Limited commission review. (a) Notwithstanding any other provision of this chapter, except to enforce this section and ss. 196.191(2) (d) 2. a. and 196.219 (2r), and except to enforce s. 196.191 (3) (b) only to allow an increase in intrastate switched access rates in order to mirror interstate switched access rates, the commission may not investigate, review, or set the intrastate switched access rates of large nonincumbents, new nonimcumbents, and large incumbent local exchange carriers.

(b) Notwithstanding any other provision of this chapter except to enforce ss. 196.191 (2) (d) 2. and 196.219 (2r), during the 4-year period beginning on the effective date of this paragraph .... [LRB inserts date], the commission may not investigate, review, or set the intrastate switched access rates of small incumbent local exchange carriers.

(c) Notwithstanding any other provision of this chapter except to enforce ss. 196.191 (2) (d) 2. and 196.219 (2r), during the 3-year period beginning on the effective date of this paragraph .... [LRB inserts date], the commission may not investigate, review, or set the intrastate switched access rates of small nonincumbents.

(5) Enforcement. Notwithstanding any other provision of this chapter, the commission shall have jurisdiction to enforce payment of intrastate switched access rates set forth in a tariff required under s. 196.191 (1) or a contract for intrastate switched access service allowed under 196.191 (6).

(6) Application. The intrastate switched access rate reductions required by this section apply to any entity subject to those rates, regardless of the technology or mode used by that entity to provide its telecommunications services.

22,78 Section 78. 196.213 of the statutes is repealed.

22,79 Section 79. 196.215 of the statutes is repealed.

22,80 Section 80. 196.218 (1) (a) of the statutes is created to read:

196.218 (1) (a) "Essential telecommunications services" means the services or functionalities listed in 47 CFR 54.101 (a) as of January 1, 2010.

22,81 Section 81. 196.218 (1) (c) of the statutes is amended to read:

196.218 (1) (c) "Universal service" includes the availability of a basic set of essential telecommunications services and access to advanced service capabilities of a modern telecommunications infrastructure anywhere in this state.

22,82 Section 82. 196.218 (3) (a) 3m. of the statutes is amended to read:

196.218 (3) (a) 3m. Contributions under this paragraph may be based only on the gross operating revenues from the provision of broadcast services identified by the commission under subd. 2. and on intrastate telecommunications services in this state of the telecommunications providers subject to the contribution. Contributions based on revenues from interconnected voice over Internet protocol service shall be calculated as provided under s. 196.206 (2).

22,83 Section 83. 196.218 (3) (f) of the statutes is amended to read:

196.218 (3) (f) Notwithstanding ss. 196.196 (1) and (5) (d) 2., 196.20 (2m), (5) and (6), 196.213 and 196.215, a A telecommunications utility that provides local exchange service may make adjustments to local exchange service rates for the purpose of recovering its contributions to the universal service fund required under this subsection. A telecommunications utility that adjusts local exchange service rates for the purpose of recovering such contributions shall identify on customer bills a single amount that is the total amount of the adjustment. The public service commission shall provide telecommunications utilities the information necessary to identify such amounts on customer bills.

22,84 Section 84. 196.218 (4) of the statutes is repealed and recreated to read:

196.218 (4) Essential telecommunications services. (a) Each telecommunications provider that is designated as an eligible telecommunications carrier pursuant to 47 USC 214 (e) shall make available to its customers all essential telecommunications services. A telecommunications provider may satisfy this paragraph by providing essential telecommunications services itself or through an affiliate and in either case may provide essential telecommunications services through the use of any available technology or mode.

(b) Notwithstanding par. (a), if a commercial mobile radio service provider is designated or seeks designation as an eligible telecommunications carrier pursuant to 47 USC 214 (e) for the purpose of federal universal service funding and not for the purpose of state universal service funding, the commercial mobile radio service provider is not subject to any eligible telecommunications carrier requirements imposed by the commission and shall be subject only to the eligible telecommunications carrier requirements imposed by 47 USC 214 (e) (1) and regulations and orders of the federal communications commission implementing 47 USC 214 (e) (1).

22,85 Section 85. 196.218 (5) (a) 2. of the statutes is repealed.

22,86 Section 86. 196.218 (5) (b) of the statutes is amended to read:

196.218 (5) (b) The commission shall promulgate rules to determine whether a telecommunications provider, the customers of a telecommunications provider or another person shall be assisted by the universal service fund for any use under par. (a) 1. to and 4.

22,87 Section 87. 196.218 (5) (c) 5. of the statutes is amended to read:

196.218 (5) (c) 5. The extent to which the fund preserves and promotes an available and affordable basic set of essential telecommunications services, encourages access to the advanced service capabilities of a modern telecommunications infrastructure throughout the state and promotes economic development.

22,88 Section 88. 196.218 (5r) (a) 1. of the statutes is amended to read:

196.218 (5r) (a) 1. The affordability of and accessibility to a basic set of essential telecommunications services and of advanced service capabilities throughout this state.

22,89 Section 89. 196.218 (5r) (a) 4. of the statutes is amended to read:

196.218 (5r) (a) 4. An assessment of how successful investments identified in s. 196.196 (5) (f), assistance provided by the universal service fund, and price regulation and other alternative incentive regulations of telecommunications utilities designed to promote competition have been in advancing the public interest goals identified under s. 196.03 (6), and recommendations for further advancing those goals.

22,90 Section 90. 196.219 (1) (b) of the statutes is amended to read:

196.219 (1) (b) "Local exchange service" has the meaning given in s. 196.50 (1) (b) 1. includes access service, basic local exchange service, and business access line and usage service within a local calling area.