LRBs0406/1
MDK:cjs:ch
2003 - 2004 LEGISLATURE
SENATE SUBSTITUTE AMENDMENT 1,
TO 2003 SENATE BILL 302
March 2, 2004 - Offered by Senator Kanavas.
SB302-SSA1,1,9 1An Act to repeal 196.196 (1) (a) 2. b.; to renumber 196.218 (4); to renumber
2and amend
196.199 (1); to consolidate, renumber and amend 196.196 (1)
3(a) 2. (intro.) and 2. a.; to amend 93.01 (1m), 133.07 (2), 196.01 (1g), 196.19 (1m)
4(a), 196.195 (1), 196.204 (1), 196.218 (3) (a) 3m., 196.219 (2) (a) and 196.219 (3)
5(f); and to create 66.0422, 196.01 (1k), 196.196 (3) (d), 196.199 (1) (a) 2., 196.199
6(1) (b), 196.2035, 196.218 (4) (b) and 196.219 (2r) of the statutes; relating to:
7regulation of broadband service, requiring telecommunications utilities to
8provide unbundled network elements, and price regulation of
9telecommunications utilities.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB302-SSA1, s. 1 10Section 1. 66.0422 of the statutes is created to read:
SB302-SSA1,2,3 1166.0422 Broadband service. No city, village, town, or county may enact an
12ordinance or adopt a resolution that regulates providing, or offering to provide,

1broadband service, as defined in s. 196.01 (1k), to the public. This subsection does
2not prohibit a city, village, town, or county from regulating the use of a public
3right-of-way by a broadband service provider.
SB302-SSA1, s. 2 4Section 2. 93.01 (1m) of the statutes, as affected by 2003 Wisconsin Act 63, is
5amended to read:
SB302-SSA1,2,146 93.01 (1m) "Business" includes any business, except that of banks, savings
7banks, credit unions, savings and loan associations, and insurance companies.
8"Business" includes public utilities and telecommunications carriers to the extent
9that their activities, beyond registration, notice, and reporting activities, are not
10regulated by the public service commission and includes public utility and
11telecommunications carrier methods of competition or trade and advertising
12practices that are exempt from regulation by the public service commission under s.
13196.195, 196.196, 196.202, 196.203, 196.2035, 196.219, or 196.499 or by other action
14of the commission.
SB302-SSA1, s. 3 15Section 3. 133.07 (2) of the statutes is amended to read:
SB302-SSA1,2,2316 133.07 (2) This chapter does not prohibit activities of any public utility, as
17defined in s. 196.01 (5), or telecommunications carrier, as defined in s. 196.01 (8m),
18which are required by ch. 196 or rules or orders under ch. 196, activities necessary
19to comply with that chapter or those rules or orders or activities that are actively
20supervised by the public service commission. This subsection does not apply to
21activities of a public utility or telecommunications carrier that are exempt from
22public service commission regulation under s. 196.195, 196.196, 196.202, 196.203,
23196.2035, 196.219 or 196.499 or by other action by the commission.
SB302-SSA1, s. 4 24Section 4. 196.01 (1g) of the statutes is amended to read:
SB302-SSA1,3,9
1196.01 (1g) "Basic local exchange service" means the provision to residential
2customers of an access facility, whether by wire, cable, fiber optics or radio, and
3essential usage within a local calling area for the transmission of high-quality
42-way interactive switched voice or data communication. "Basic local exchange
5service" includes extended community calling and extended area service. "Basic
6local exchange service" does not include additional access facilities or any
7discretionary or optional services that may be provided to a residential customer.
8"Basic local exchange service" does not include cable television service, broadband
9service,
or services provided by a commercial mobile radio service provider.
SB302-SSA1, s. 5 10Section 5. 196.01 (1k) of the statutes is created to read:
SB302-SSA1,3,1411 196.01 (1k) "Broadband service" means a telecommunications service that
12conveys voice, data, or other information in either direction between a provider's
13facilities and a customer using any medium or technology in any of the following
14ways:
SB302-SSA1,3,1515 (a) At a speed of 200 kilobits per second or more.
SB302-SSA1,3,1616(b) Via an intentional radiator, as defined in 47 CFR 15.3 (o).
SB302-SSA1, s. 6 17Section 6. 196.19 (1m) (a) of the statutes is amended to read:
SB302-SSA1,4,218 196.19 (1m) (a) In this subsection, "new telecommunications service" means
19services that are not offered by the telecommunications utility before January 1,
201994, and alternative rate structures offered after December 31, 1993, for any
21telecommunications service that is offered before January 1, 1994, if the rate
22structure effective before January 1, 1994, continues to be available to new and
23existing customers. "New telecommunications service" includes additional
24functions and features on, and technological alternatives to, any

1telecommunications service offered before January 1, 1994. "New
2telecommunications service" does not include broadband service.
SB302-SSA1, s. 7 3Section 7. 196.195 (1) of the statutes is amended to read:
SB302-SSA1,4,64 196.195 (1) Regulation imposed. Except as provided in this section and ss.
5196.202, 196.203, 196.2035, 196.215 and 196.219, a telecommunications utility is
6subject to every applicable provision of this chapter and ch. 201.
SB302-SSA1, s. 8 7Section 8. 196.196 (1) (a) 2. (intro.) and 2. a. of the statutes are consolidated,
8renumbered 196.196 (1) (a) 2. and amended to read:
SB302-SSA1,4,139 196.196 (1) (a) 2. The commission may include, following notice and
10opportunity for hearing, as part of the services subject to price regulation under this
11subsection all of the following: 2. a. Those those services and technological features
12found by the commission to be a necessary component of universal service under s.
13196.218.
SB302-SSA1, s. 9 14Section 9. 196.196 (1) (a) 2. b. of the statutes is repealed.
SB302-SSA1, s. 10 15Section 10. 196.196 (3) (d) of the statutes is created to read:
SB302-SSA1,4,1816 196.196 (3) (d) Notwithstanding pars. (a) to (c), this subsection does not apply
17to the offering of a broadband service by a price-regulated telecommunications
18utility.
SB302-SSA1, s. 11 19Section 11. 196.199 (1) of the statutes is renumbered 196.199 (1) (intro.) and
20amended to read:
SB302-SSA1,4,2121 196.199 (1) Definition Definitions. (intro.) In this section, "interconnection:
SB302-SSA1,4,22 22(a) "Interconnection agreement" does not include an any of the following:
SB302-SSA1,4,24 231. An interconnection agreement to which a commercial mobile radio service
24provider is a party.
SB302-SSA1, s. 12 25Section 12. 196.199 (1) (a) 2. of the statutes is created to read:
SB302-SSA1,5,6
1196.199 (1) (a) 2. All or part of an interconnection agreement or of an
2amendment to an interconnection agreement that provides interconnection, a
3service, or a network element pursuant to 47 USC 251 (c) or 271 (c) (2) (B) that is used
4exclusively to provide a broadband service to an end user customer by the
5telecommunications provider procuring the interconnection, service, or network
6element under the interconnection agreement or amendment.
SB302-SSA1, s. 13 7Section 13. 196.199 (1) (b) of the statutes is created to read:
SB302-SSA1,5,88 196.199 (1) (b) "Network element" has the meaning given in 47 USC 153 (29).
SB302-SSA1, s. 14 9Section 14. 196.2035 of the statutes is created to read:
SB302-SSA1,5,11 10196.2035 Exemption for broadband service. (1) In this section, "federal
11communications acts" means the federal acts codified under title 47 USC, ch. 5.
SB302-SSA1,5,15 12(2) Notwithstanding any other provision in this chapter, the offering or
13provision of any broadband service to an end user customer who is not a
14telecommunications provider is not subject to regulation under this chapter, except
15as specified in sub. (3).
SB302-SSA1,5,22 16(3) The commission may regulate the offering or provision of a broadband
17service to an end user customer who is not a telecommunications provider to the
18extent authorized or required in an order or regulation adopted after the effective
19date of this subsection by the federal communications commission under the federal
20communications acts. All orders or rules issued or promulgated by the commission
21under this subsection shall comply with and may not be more stringent than the
22requirements of the federal communications acts.
SB302-SSA1, s. 15 23Section 15. 196.204 (1) of the statutes is amended to read:
SB302-SSA1,6,924 196.204 (1) Except for retained earnings, a telecommunications utility may not
25subsidize, directly or indirectly, any activity, including any activity of an affiliate,

1which is not subject to this chapter or is subject to this chapter under s. 196.194,
2196.195, 196.202 or, 196.203, or 196.2035. No telecommunications utility may
3allocate any costs or expenses in a manner which would subsidize any activity which
4is not subject to this chapter or is subject to this chapter under s. 196.194, 196.195,
5196.202 or, 196.203, or 196.2035. Except as provided in subs. (2) and (4) the
6commission may not allocate any revenue or expense so that a portion of a
7telecommunications utility's business which is fully regulated under this chapter is
8subsidized by any activity which is not regulated under this chapter or is partially
9deregulated under s. 196.194, 196.195, 196.202 or 196.203.
SB302-SSA1, s. 16 10Section 16. 196.218 (3) (a) 3m. of the statutes is amended to read:
SB302-SSA1,6,1511 196.218 (3) (a) 3m. Contributions under this paragraph may be based only on
12the gross operating revenues from the provision of broadcast services identified by
13the commission under subd. 2. and on intrastate telecommunications services, other
14than broadband services,
in this state of the telecommunications providers subject
15to the contribution.
SB302-SSA1, s. 17 16Section 17. 196.218 (4) of the statutes is renumbered 196.218 (4) (a).
SB302-SSA1, s. 18 17Section 18. 196.218 (4) (b) of the statutes is created to read:
SB302-SSA1,6,1918 196.218 (4) (b) In promulgating rules under par. (a), the commission may not
19specify that broadband service is a necessary component of universal service.
SB302-SSA1, s. 19 20Section 19. 196.219 (2) (a) of the statutes is amended to read:
SB302-SSA1,7,221 196.219 (2) (a) Notwithstanding any exemptions identified in this chapter
22except s. ss. 196.202 and 196.2035, a telecommunications utility or provider shall
23provide protection to its consumers under this section unless exempted in whole or
24in part by rule or order of the commission under this section. The commission shall

1promulgate rules that identify the conditions under which provisions of this section
2may be suspended.
SB302-SSA1, s. 20 3Section 20. 196.219 (2r) of the statutes is created to read:
SB302-SSA1,7,94 196.219 (2r) Interconnection, services, and unbundled network elements.
5A telecommunications utility shall provide interconnection, services, and unbundled
6network elements used to provide a broadband service to an end user customer who
7is not a telecommunications provider to the extent specifically required or authorized
8under 47 USC 251 (c) or 271 (c) (2) (B) and the regulations and orders of the federal
9communications commission promulgated thereunder.
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