PRINTER'S NO. 428

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 393 Session of 1987


        INTRODUCED BY LLOYD, TELEK, MORRIS, COLAFELLA, TRELLO,
           CAPPABIANCA, PISTELLA, TIGUE, ITKIN, BELFANTI, D. W. SNYDER,
           KUKOVICH, KOSINSKI AND SHOWERS, FEBRUARY 24, 1987

        REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, FEBRUARY 24, 1987

                                     AN ACT

     1  Amending Title 66 (Public Utilities) of the Pennsylvania
     2     Consolidated Statutes, regulating local exchange service
     3     increases and decreases.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6     Section 1.  The heading and subsection (a) of section 1325 of
     7  Title 66 of the Pennsylvania Consolidated Statutes are amended
     8  to read:
     9  § 1325.  Local exchange service increases and decreases;
    10             limitation.
    11     (a)  General rule.--In any rate proceeding pursuant to
    12  section 1308 (relating to voluntary changes in rates) or 1309
    13  (relating to rates fixed on complaint; investigation of costs of
    14  production), no public utility shall be granted a percentage
    15  increase in local exchange service or shall be ordered to put
    16  into effect a percentage decrease in local exchange service
    17  unless that percentage increase or decrease is just and
    18  reasonable. In no event, other than a case in which the rate or

     1  tariff at issue involves only local exchange service, shall the
     2  public utility be granted an increase in local exchange [rates]
     3  service which is greater than the overall average percentage
     4  increase, or be ordered to put into effect a decrease in local
     5  exchange service which is less than the overall average
     6  percentage decrease, in total intrastate revenues authorized or
     7  ordered by the commission unless the utility proves by record
     8  evidence that a greater percentage increase or decrease for
     9  local exchange service is justified based upon the cost of
    10  providing that service.
    11     * * *
    12     Section 2.  This act shall take effect in 60 days.












    B19L66VDL/19870H0393B0428        - 2 -