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                                                      PRINTER'S NO. 2083

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 1378 Session of 2002


        INTRODUCED BY CORMAN, ARMSTRONG, STOUT, ROBBINS, TARTAGLIONE,
           SCARNATI, WENGER, KITCHEN, BOSCOLA, LEMMOND AND DENT,
           JUNE 12, 2002

        REFERRED TO CONSUMER PROTECTION AND PROFESSIONAL LICENSURE,
           JUNE 12, 2002

                                     AN ACT

     1  Amending Title 66 (Public Utilities) of the Pennsylvania
     2     Consolidated Statutes, defining "rural telecommunications
     3     carrier"; and further providing for reports by public
     4     utilities, for duty to furnish information to commission and
     5     for reports.

     6     The General Assembly of the Commonwealth of Pennsylvania
     7  hereby enacts as follows:
     8     Section 1.  Section 102 of Title 66 of the Pennsylvania
     9  Consolidated Statutes is amended by adding a definition to read:
    10  § 102.  Definitions.
    11     Subject to additional definitions contained in subsequent
    12  provisions of this part which are applicable to specific
    13  provisions of this part, the following words and phrases when
    14  used in this part shall have, unless the context clearly
    15  indicates otherwise, the meanings given to them in this section:
    16     * * *
    17     "Rural telecommunications carrier."  Any telecommunications
    18  carrier authorized by the commission to provide local


     1  telecommunications services and found to be a rural telephone
     2  company defined in section 3 of the Telecommunications Act of
     3  1996 (Public Law 104-104, 110 Stat. 56).
     4     * * *
     5     Section 2.  Sections 504, 505 and 1703(b) of Title 66 are
     6  amended to read:
     7  § 504.  Reports by public utilities.
     8     The commission may require any public utility to file
     9  periodical reports, at such times, and in such form, and of such
    10  content, as the commission may prescribe, and special reports
    11  concerning any matter whatsoever about which the commission is
    12  authorized to inquire, or to keep itself informed, or which it
    13  is required to enforce. The commission may require any public
    14  utility to file with it a copy of any report filed by such
    15  public utility with any Federal department or regulatory body.
    16  All reports shall be under oath or affirmation when required by
    17  the commission. Except for annual statements of gross intrastate
    18  operating revenues for purposes of calculating assessments for
    19  regulatory expenses, and notwithstanding any other provision to
    20  the contrary, no report, statement, filing or other document
    21  shall be required of any rural telecommunications carrier unless
    22  the commission, upon notice to the rural telecommunications
    23  carrier and an opportunity to be heard, has first made specific
    24  written findings and conclusions in an entered order that states
    25  the following:
    26         (1)  The report is necessary to ensure that the rural
    27     telecommunications carrier is applying rates that are just,
    28     reasonable, nondiscriminatory and tariffed and is providing
    29     service that is safe, reliable, reasonable and adequate.
    30         (2)  The benefits of the report substantially outweigh
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     1     the attendant expense and administrative time required of the
     2     rural telecommunications carrier to prepare it.
     3  § 505.  Duty to furnish information to commission; cooperation
     4             in valuing property.
     5     Every public utility shall furnish to the commission, from
     6  time to time, and as the commission may require, all accounts,
     7  inventories, appraisals, valuations, maps, profiles, reports of
     8  engineers, books, papers, records, and other documents or
     9  memoranda, or copies of any and all of them, in aid of any
    10  inspection, examination, inquiry, investigation, or hearing, or
    11  in aid of any determination of the value of its property, or any
    12  portion thereof, and shall cooperate with the commission in the
    13  work of the valuation of its property, or any portion thereof,
    14  and shall furnish any and all other information to the
    15  commission, as the commission may require, in any inspection,
    16  examination, inquiry, investigation, hearing, or determination
    17  of such value of its property, or any portion thereof. No
    18  report, statement, filing or other document shall be required of
    19  any rural telecommunications carrier under authority of this
    20  section unless specifically authorized elsewhere in this title.
    21  § 1703.  Depreciation accounts; reports.
    22     * * *
    23     (b)  Statements.--Every public utility shall file with the
    24  commission, at such times and in such form as the commission may
    25  prescribe, statements setting forth the details supporting its
    26  computation of annual depreciation, as recorded on the books or
    27  records of accounts of the public utility. If the commission,
    28  upon review of such statements, is of the opinion that the
    29  amount of annual depreciation so recorded by any public utility
    30  is not reasonable and proper, it may, after hearing, require
    20020S1378B2083                  - 3 -

     1  that provision be made for annual depreciation in such sums as
     2  may be found by it to be reasonable and proper. In making its
     3  findings, the commission shall give consideration to the
     4  experience of the public utility, and the predecessors of the
     5  public utility in accumulating depreciation reserves, the
     6  retirements actually made, and such other factors as may be
     7  deemed relevant. This section shall not apply to any rural
     8  telecommunications carrier, unless that carrier is subject to
     9  regulation under a simplified ratemaking plan approved under
    10  Chapter 30 (relating to alternative form of regulation of
    11  telecommunications services) and has filed to change its rates
    12  pursuant to that plan, in which case a statement setting forth
    13  the details supporting the rural telecommunications carrier's
    14  computation of annual depreciation may be required. In that
    15  event, depreciation that is accounted for in accordance with
    16  generally accepted accounting principles shall be deemed
    17  reasonable and proper for ratemaking purposes.
    18     * * *
    19     Section 3.  This act shall take effect in 60 days.








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