PRIOR PRINTER'S NOS. 1554, 2908 PRINTER'S NO. 3021
No. 30 Session of 2003
INTRODUCED BY ADOLPH, PRESTON, BUNT, DeWEESE, McILHATTAN,
LaGROTTA, FICHTER, FRANKEL, DiGIROLAMO, CRAHALLA, HARHAI,
KENNEY, LAUGHLIN, LEH, RAYMOND, READSHAW, REICHLEY, RUBLEY,
SAINATO, SEMMEL, TRUE, WOJNAROSKI, WRIGHT, YEWCIC, ZUG,
ALLEN, ARMSTRONG, BAKER, BARD, BARRAR, BASTIAN, BEBKO-JONES,
BELARDI, BELFANTI, BENNINGHOFF, BIANCUCCI, BISHOP, BOYES,
BROWNE, BUTKOVITZ, CALTAGIRONE, CAPPELLI, CASORIO, CAUSER,
CAWLEY, CIVERA, CLYMER, COHEN, COLEMAN, CORNELL, CORRIGAN,
COSTA, COY, CREIGHTON, CRUZ, DAILEY, DALEY, DALLY, DeLUCA,
DERMODY, DIVEN, DONATUCCI, EACHUS, EGOLF, FABRIZIO, FLEAGLE,
FLICK, FORCIER, GABIG, GANNON, GEIST, GERGELY, GILLESPIE,
GODSHALL, GOODMAN, GRUITZA, HALUSKA, HANNA, HARHART, HARPER,
HARRIS, HASAY, HENNESSEY, HERMAN, HERSHEY, HESS, HICKERNELL,
JAMES, KELLER, KIRKLAND, KOTIK, LEACH, LEDERER, LESCOVITZ,
LEWIS, LYNCH, MAITLAND, MAJOR, MANN, MARKOSEK, MARSICO,
McCALL, McGEEHAN, McGILL, McILHINNEY, McNAUGHTON, METCALFE,
MICOZZIE, R. MILLER, S. MILLER, NAILOR, NICKOL, OLIVER,
PALLONE, PETRI, PETRONE, PHILLIPS, PISTELLA, RIEGER, ROBERTS,
ROEBUCK, RUFFING, SANTONI, SAYLOR, SCAVELLO, SCHRODER,
B. SMITH, SOLOBAY, STABACK, STAIRS, STEIL, STERN,
R. STEVENSON, T. STEVENSON, TANGRETTI, E. Z. TAYLOR,
J. TAYLOR, TIGUE, VANCE, WALKO, WANSACZ, WASHINGTON, WATERS,
WATSON, WEBER, WILLIAMS, YOUNGBLOOD, YUDICHAK, PICKETT,
BIRMELIN, TRAVAGLIO, O'NEILL, ROHRER, DENLINGER, WILT,
MACKERETH AND REED, APRIL 30, 2003
AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
NOVEMBER 25, 2003
AN ACT
1 Amending Title 66 (Public Utilities) of the Pennsylvania
2 Consolidated Statutes, further providing for residential
3 telephone service rates based on duration or distance of call
4 and for local exchange service increases and limitations;
5 adding and repealing provisions relating to alternative form
6 of regulation of telecommunications services; establishing
7 the Advanced Services Education and Aggregation Fund;
8 providing for Voice Over Internet Protocol; and making a
9 repeal.
10 The General Assembly of the Commonwealth of Pennsylvania
1 hereby enacts as follows:
2 Section 1. Sections 1325, 3001, 3002, 3003, 3004, 3005, <--
3 3006, 3007, 3008 and 3009 of Title 66 of the Pennsylvania
4 Consolidated Statutes are repealed.
5 Section 2. Title 66 is amended by adding sections to read:
6 § 3010. (Reserved).
7 § 3011. Declaration of policy.
8 The General Assembly finds and declares that it is the policy
9 of this Commonwealth to:
10 (1) Strike a balance between mandated deployment and
11 market-driven deployment of broadband facilities and advanced
12 services throughout this Commonwealth and to continue
13 alternative regulation of local exchange telecommunications
14 companies.
15 (2) Maintain universal telecommunications service at
16 affordable rates while encouraging the accelerated provision
17 of advanced services and deployment of a universally
18 available, state-of-the-art, interactive broadband
19 telecommunications network in rural, suburban and urban
20 areas, including deployment of broadband facilities in or
21 adjacent to public rights-of-way abutting public schools,
22 including the administrative offices supporting public
23 schools, industrial parks and health care facilities.
24 (3) Ensure that customers pay only reasonable charges
25 for protected services, which shall be available on a
26 nondiscriminatory basis.
27 (4) Ensure that rates for protected services do not
28 subsidize the competitive ventures of telecommunications
29 carriers.
30 (5) Provide diversity in the supply of existing and
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1 future telecommunications services and products in
2 telecommunications markets throughout this Commonwealth by
3 ensuring that rates, terms and conditions for protected
4 services are reasonable and do not impede the development of
5 competition.
6 (6) Ensure the efficient delivery of technological
7 advances and new services throughout this Commonwealth in
8 order to improve the quality of life for all Commonwealth
9 residents.
10 (7) Encourage the provision of telecommunications
11 products and services that enhance the quality of life of
12 people with disabilities.
13 (8) Promote and encourage the provision of competitive
14 services by a variety of service providers on equal terms
15 throughout all geographic areas of this Commonwealth without
16 jeopardizing the provision of universal telecommunications
17 service at affordable rates.
18 (9) Encourage the competitive supply of any service in
19 any region where there is market demand.
20 (10) Encourage joint ventures between local exchange
21 telecommunications companies and other entities where such
22 joint ventures accelerate, improve or otherwise assist a
23 local exchange telecommunications company in carrying out its
24 network modernization implementation plan.
25 (11) Establish a bona fide retail request program to
26 aggregate and make advanced services available in areas where
27 sufficient market demand exists and to supplement existing
28 network modernization plans.
29 (12) Promote and encourage the provision of advanced
30 services and broadband deployment in the service territories
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1 of local exchange telecommunications companies without
2 jeopardizing the provision of universal service.
3 (13) Recognize that the regulatory obligations imposed
4 upon the incumbent local exchange telecommunications
5 companies should be reduced to levels more consistent with
6 those imposed upon competing alternative service providers.
7 § 3012. Definitions.
8 The following words and phrases when used in this chapter
9 shall have the meanings given to them in this section unless the
10 context clearly indicates otherwise:
11 "Advanced service." A retail service that, regardless of
12 transmission medium or technology, is capable of supporting a
13 minimum speed of 200 kilobits per second (kbps) in at least one
14 direction at the network demarcation point of the customer's
15 premises.
16 "Aggregator telephone." A telephone which is made available
17 to the transient public, customers or patrons, including, but
18 not limited to, coin telephones, credit card telephones and
19 telephones located in hotels, motels, hospitals and
20 universities.
21 "Alternative form of regulation." A form of regulation of
22 telecommunications services other than the traditional rate
23 base/rate of return regulation, including a streamlined form of
24 regulation, as approved by the commission.
25 "Alternative service provider." An entity that provides
26 telecommunications services in competition with a local exchange
27 telecommunications company.
28 "Bona fide retail request." A written request for service
29 which meets the requirements of section 3014(c)(1), (relating to
30 network modernization plans), is received by a local exchange
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1 telecommunications company, and through which end users commit
2 to subscribing to an advanced service.
3 "Bona fide retail request program." A program established by
4 a local exchange telecommunications company pursuant to section
5 3014(c) (relating to network modernization plans).
6 "Broadband." A communication channel using any technology
7 and having a bandwidth equal to or greater than 1.544 megabits
8 per second in at least one direction.
9 "Broadband availability." Access to broadband service by a
10 retail telephone customer of a local exchange telecommunications
11 company.
12 "Central office." A building containing one or more local
13 exchange telecommunications company switches used to provide
14 local exchange telecommunications service.
15 "Community." Those customers of a local exchange
16 telecommunications company served by an existing or planned
17 remote terminal or, where no remote terminal exists or is
18 planned, a central office switch.
19 "Competitive service." A service or business activity
20 declared to be competitive by the commission on or prior to
21 December 31, 2003, and a service or business activity declared
22 to be competitive pursuant to section 3016 (relating to
23 competitive services).
24 "Department." The Department of Community and Economic
25 Development of the Commonwealth.
26 "Eligible telecommunications carrier." A carrier designated
27 by the Pennsylvania Public Utility Commission pursuant to 47 CFR
28 54.201 (relating to definition of eligible telecommunications
29 carriers, generally) or successor regulation, as eligible to
30 receive support from the Federal Universal Service Fund.
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1 "Eligible telecommunications customer." A customer of an
2 eligible telecommunications carrier who qualifies for Lifeline
3 service discounts pursuant to the requirements of 47 CFR 54.409
4 (relating to consumer qualification for Lifeline) or successor
5 regulation.
6 "Fund." The Advanced Services Education and Aggregation Fund
7 established under section 3014 (relating to network
8 modernization plans).
9 "Gross Domestic Product Price Index" or "GDP-PI." The Gross
10 Domestic Product Fixed Weight Price Index as calculated by the
11 United States Department of Commerce.
12 "Health care facility." The term shall have the same meaning
13 given to it in the act of July 19, 1979 (P.L.130, No.48), known
14 as the Health Care Facilities Act.
15 "Inflation offset." The part of the price change formula in
16 the price stability mechanism that reflects an offset to the
17 Gross Domestic Product Price Index.
18 "Interexchange services." The transmission of interLATA or
19 intraLATA toll messages or data outside the local calling area.
20 "Interexchange telecommunications carrier." A carrier other
21 than a local exchange telecommunications company authorized by
22 the commission to provide interexchange services.
23 "Lifeline service." A discounted rate local service
24 offering, as defined in 47 CFR 54.401 (relating to Lifeline
25 defined) or successor regulation, but excluding any offering
26 funded in part by Federal Universal Service Fund Tier Three
27 funding under 47 CFR 54.403 (relating to Lifeline support
28 amount) or successor regulation.
29 "Local exchange telecommunications company." An incumbent
30 carrier authorized by the commission to provide local exchange
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1 telecommunications services. The term includes a rural
2 telecommunications carrier and a nonrural telecommunications
3 carrier.
4 "Local exchange telecommunications service." The
5 transmission of messages or communications that originate and
6 terminate within a prescribed local calling area.
7 "Noncompetitive service." A regulated service that is not
8 declared competitive and, as to interexchange telecommunications
9 carriers, those services included in section 3018(a) (relating
10 to interexchange telecommunications carriers).
11 "Nonrural telecommunications carrier." A local exchange
12 telecommunications company that is not a rural telephone company
13 as defined in section 3 of the Telecommunications Act of 1996
14 (Public Law 104-104, 110 Stat. 56).
15 "Optional calling plan." A discounted toll plan offered by
16 either a local exchange telecommunications company or an
17 interexchange telecommunications carrier.
18 "Price stability mechanism." A formula which may be included
19 in a commission-approved alternative form of regulation plan
20 that permits rates for noncompetitive services to be adjusted
21 upward or downward.
22 "Protected service." The following telecommunications
23 services provided by a local exchange telecommunications
24 company, unless the commission determines that such service is
25 competitive:
26 (1) Service provided to residential consumers or small
27 business consumers subscribing to four or fewer access lines
28 only to the extent that the service is necessary for
29 completing any local exchange call for which dial tone is
30 necessary.
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1 (2) Touch-tone service.
2 (3) Switched access service.
3 (4) Special access service.
4 (5) Ordering, installation, restoration and
5 disconnection of the services specified in paragraphs (1)
6 through (4).
7 "Remote terminal." A structure located outside of a central
8 office which houses electronic equipment and which provides
9 transport for telecommunications services to and from a central
10 office switch.
11 "Rural telecommunications carrier." A local exchange
12 telecommunications company that is a rural telephone company as
13 defined in section 3 of the Telecommunications Act of 1996
14 (Public Law 104-104, 110 Stat. 56).
15 "Small business." A business consumer that subscribes to
16 four or fewer access lines.
17 "Special access service." Service provided over dedicated,
18 nonswitched facilities by local exchange telecommunications
19 companies to interexchange carriers or other large volume users
20 which provide connection between an interexchange carrier or
21 private network and a customer's premises.
22 "Switched access service." A service which provides for the
23 use of common terminating, switching and trunking facilities of
24 a local exchange telecommunications company's public switched
25 network. The term includes, but is not limited to, the rates for
26 local switching, common and dedicated transport and the carrier
27 charge.
28 "Telecommunications Act of 1996." The Telecommunications Act
29 of 1996 (Public Law 104-104, 110 Stat. 56).
30 "Telecommunications carrier." An entity that provides
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1 telecommunications services subject to the jurisdiction of the
2 commission.
3 "Telecommunications service." The offering of the
4 transmission of messages or communications for a fee to the
5 public.
6 "Voice Over Internet Protocol" or "VOIP." The provision of
7 voice communications and related features and functions by means
8 of encoding voice and related signals into packetized form and
9 transmission of those packets using Internet Protocol or any
10 successor protocol for some or all of the transmission.
11 § 3013. Continuation of commission-approved alternative
12 regulation and network modernization plans.
13 (a) General rule.--An alternative form of regulation plan
14 and network modernization plan approved by the commission for a
15 local exchange telecommunications company as of December 31,
16 2003 shall remain valid and effective, except as may be amended
17 at the election of the local exchange telecommunications company
18 as authorized by this chapter. The commission shall allow a
19 previously approved plan to be amended to conform to any changes
20 made under this chapter, and shall not require any other changes
21 to the plan.
22 (b) Limitation on changes to plans.--Except for changes to
23 existing alternative form of regulation and network
24 modernization plans as authorized by this chapter, no change to
25 any alternative form of regulation or network modernization plan
26 may be made without the express agreement of both the commission
27 and the local exchange telecommunications company.
28 (c) Grandfather provision.--All services previously declared
29 competitive as of December 31, 2003, under a local exchange
30 telecommunications company's alternative form of regulation plan
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1 shall remain competitive.
2 (d) Commission oversight.--The commission will continue to
3 exercise oversight of alternative form of regulation and network
4 modernization plans for local exchange telecommunications
5 companies as provided in this chapter.
6 § 3014. Network modernization plans.
7 (a) Continuation of approved plan.--A local exchange
8 telecommunications company that does not elect an option under
9 subsection (b) shall remain subject to its network modernization
10 plan in effect as of December 31, 2003, without revision or
11 modification except by agreement under section 3013(b) (relating
12 to continuation of commission-approved alternative regulation
13 and network modernization plans) and as provided in this
14 section, through December 31, 2015.
15 (b) Options for amendment of network modernization plan.--
16 Local exchange telecommunications companies shall have the
17 following options:
18 (1) (i) A rural telecommunications carrier that elects
19 to amend its network modernization plan pursuant to this
20 subsection shall remain subject to the carrier's network
21 modernization plan in effect as of December 31, 2003, as
22 amended pursuant to this subsection, through December 31,
23 2008. Prior to implementation of such election, the rural
24 telecommunications carrier shall comply with the
25 notification requirements of subsection (d).
26 (ii) The rural telecommunications carrier shall
27 commit to accelerate 100% universal broadband
28 availability by December 31, 2008, in its amended network
29 modernization plan. Any rural telecommunications carrier
30 electing this option shall not be required to offer a
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1 bona fide retail request program.
2 (2) (i) A rural telecommunications carrier that elects
3 to amend its network modernization plan pursuant to this
4 subsection shall remain subject to the carrier's network
5 modernization plan in effect as of December 31, 2003, as
6 amended pursuant to this subsection, through December 31,
7 2010. Prior to implementation of such election, the rural
8 telecommunications carrier shall comply with the
9 notification requirements of subsection (d).
10 (ii) The rural telecommunications carrier shall
11 commit:
12 (A) to accelerate broadband availability to 80%
13 of its total retail access lines in its distribution
14 network by December 31, 2010; and
15 (B) to offer a bona fide retail request program
16 pursuant to subsection (c) through December 31, 2015.
17 A rural telecommunications carrier with an existing broadband
18 availability commitment exceeding 80% of the total retail
19 access lines in its distribution network on December 31,
20 2010, may either accelerate such broadband availability or
21 remain under its existing network modernization plan for
22 broadband deployment, provided however, that under no
23 circumstances may the rural telecommunications carrier reduce
24 its existing commitment.
25 (3) (i) A local exchange telecommunications company
26 that elects to amend its network modernization plan
27 pursuant to this subsection shall remain subject to such
28 company's network modernization plan in effect as of
29 December 31, 2003, as amended pursuant to this
30 subsection, including meeting its 100% broadband
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1 availability commitment by December 31, 2015. Prior to
2 implementation of such election, the local exchange
3 telecommunications company shall comply with the
4 notification requirements of subsection (d).
5 (ii) The local exchange telecommunications company
6 shall commit:
7 (A) to accelerate broadband availability to 80%
8 of its total retail access lines in its distribution
9 network by December 31, 2010; and
10 (B) to offer a bona fide retail request program
11 pursuant to subsection (c) through December 31, 2015.
12 A local exchange telecommunications company with an existing
13 broadband availability commitment exceeding 80% of the total
14 retail access lines in its distribution network on December
15 31, 2010, may either accelerate such broadband availability
16 or remain under its existing network modernization plan for
17 broadband deployment, provided however that under no
18 circumstances may such local exchange telecommunications
19 company reduce its existing commitment.
20 (4) A local exchange telecommunications company that
21 elects under paragraph (1), (2) or (3) shall also commit to
22 universal broadband deployment in or adjacent to public
23 rights-of-way abutting all public schools, including the
24 administration offices supporting public schools, industrial
25 parks and health care facilities in its service territory on
26 or before December 31, 2004, except that a local exchange
27 telecommunications carrier serving more than ten exchanges in
28 this Commonwealth may elect to extend this commitment from
29 December 31, 2004, to December 31, 2005, for any exchange
30 with less than 4,000 access lines.
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1 (5) A local exchange telecommunications company that
2 elects under paragraph (1), (2) or (3) may amend its network
3 modernization plan to define "universal broadband
4 availability" as the provision of broadband capability with
5 ten business days of notice to the company of the request by
6 a bona fide customer. If a local exchange telecommunications
7 company does not elect under paragraph (1), (2) or (3), then
8 the provisioning interval shall remain and be within five
9 days after a request for broadband service is received, as
10 stated in the company's currently effective network
11 modernization plan.
12 (6) A local exchange telecommunications company that
13 elects under paragraph (1), (2) or (3) may petition the
14 commission for modification of its amended network
15 modernization plan, which the commission may grant upon good
16 cause shown.
17 (7) A rural telecommunications carrier making an
18 election pursuant to paragraph (1), (2) or (3) and filing its
19 amended network modernization plan with the commission
20 pursuant to subsection (d) shall be granted by the commission
21 a suspension of its section 251(c)(2), (3), (4), (5) and (6)
22 obligations under the Telecommunications Act of 1996. This
23 suspension of obligations shall expire on December 31, 2010,
24 unless extended by the commission. Should the commission,
25 following a hearing, determine that the rural
26 telecommunications carrier has failed to timely meet its
27 commitments pursuant to this paragraph the suspension of
28 obligations shall expire upon entry of the commission order
29 making such determination. Expiration of the suspension of
30 obligations shall not impact the rural telephone company
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1 exemption of the rural telecommunications carrier under
2 section 251(f)(1) of the Telecommunications Act of 1996.
3 (c) Bona fide retail request program.--A local exchange
4 telecommunications company that elects to amend its network
5 modernization plan pursuant to subsection (b)(1), (2) or (3)
6 shall notify the commission no later than one year after the
7 effective date of its election that it is implementing a bona
8 fide retail request program which shall continue through
9 December 31, 2015, or such earlier date as the local
10 telecommunications company achieves universal broadband
11 deployment throughout its service territory. A bona fide retail
12 request program shall consist of the following:
13 (1) Persons or entities seeking advanced services
14 pursuant to a bona fide retail request program shall submit a
15 written request for such services to the local exchange
16 telecommunications company. The written request may be in the
17 form of a petition which includes the information required by
18 this paragraph or in the form of individual requests each of
19 which includes the information required by this paragraph. If
20 individual requests are received, the local exchange
21 telecommunications company shall aggregate requests for the
22 same or comparable service and initiate appropriate action
23 pursuant to this subsection when the required number of
24 requests have been received. To be considered a bona fide
25 retail request, the written request must include:
26 (i) a request that a minimum of 50 retail access
27 lines be provided the same or comparable advanced service
28 within a community or a request that 25% of retail access
29 lines be provided the same or comparable advanced service
30 within a community, whichever is less;
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1 (ii) the name, address, telephone number and
2 signature of each existing retail customer seeking the
3 advanced service, the advanced service being requested,
4 the number of access lines for which the advanced service
5 is requested, a commitment by each retail customer who
6 signs the request to subscribe to the requested advanced
7 service for a minimum of one year at the local exchange
8 telecommunications company's applicable rate for the
9 service; and
10 (iii) the name, address and telephone number of a
11 designated contact person.
12 Customers making the request shall agree to take the service
13 for a one-year period, but shall not be required to make such
14 a commitment until the price and terms of the service are
15 specified by the Incumbent Local Exchange Carrier and shall
16 not be required to make any payments until the service is
17 actually provided.
18 (2) In administering the bona fide retail request
19 program, the local exchange telecommunications company shall:
20 (i) establish a World Wide Web site and toll-free
21 telephone number to address customer inquiries regarding
22 the program;
23 (ii) mail a request form to a customer upon request;
24 (iii) confirm its receipt of any completed request
25 in writing to the customer; such confirmation to identify
26 the service requested, the applicable rate, the expected
27 contract term, the status of the request and a term
28 subscription agreement for execution; and
29 (iv) notify the customers in a community, within 45
30 days, of the expected implementation date once the
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1 requisite number of requests has been received and the
2 expected date of the availability of service.
3 (3) When a bona fide retail request has been received
4 that meets the requirements of paragraph (1), the local
5 exchange telecommunications company shall provide the
6 requested advanced service or other reasonably comparable
7 service that meets the data speed of the requested service to
8 the community as soon as practicable, but in no event later
9 than 365 days of the date the requirements of paragraph (1)
10 have been met or within the period approved by the commission
11 under paragraph (4) where:
12 (i) the local exchange telecommunications company
13 provides the requested advanced service to other
14 customers in its service territory;
15 (ii) there is no advanced service using any
16 technology available to the requesting customers that
17 offers data speeds reasonably comparable to that
18 requested; and
19 (iii) the community is situated within the service
20 territory of the local exchange telecommunications
21 company.
22 (4) Where the total number of bona fide retail requests
23 received by any local exchange telecommunications company or
24 affiliated companies that meet the requirements of paragraphs
25 (1) and (3) exceed 40 customers in any 12-month period, or
26 where there are more than 20 such requests that require
27 property acquisition, including acquiring rights-of-way, or
28 new construction in any 12-month period, the local exchange
29 telecommunications company or companies may provide a
30 verified certification to the commission that one or both of
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1 the previously stated criteria are met. Upon receipt of the
2 certification, the commission, or the commission through its
3 designated staff, shall permit the local exchange
4 telecommunications company or companies to extend the time
5 for such deployments for a period of no more than 12 months,
6 unless the commission determines an additional time period to
7 be just and reasonable.
8 (5) With regard to requests submitted under this
9 subsection, a retail customer may challenge the action of a
10 local exchange telecommunications company pursuant to section
11 701 (relating to complaints).
12 (6) Local exchange telecommunications companies with
13 bona fide retail request programs shall provide semiannual
14 reports to the commission of the number of requests for
15 advanced services received during the reporting period by
16 exchange and the action taken on requests meeting the
17 requirements of subsection (c). Local exchange
18 telecommunications companies, within 30 days after initiating
19 a bona fide retail request program, shall also provide the
20 commission with the form of any advanced services term
21 subscription agreements customers will be required to execute
22 in connection with receiving the requested services.
23 (d) Notice and filing of amendments.--A local exchange
24 telecommunications company that elects to amend its network
25 modernization plan pursuant to subsection (b) shall notify the
26 commission in writing of such election and, within 60 days
27 following such notification, file its amended network
28 modernization plan with the commission. Copies of the written
29 notice of election and of the amended network modernization plan
30 shall be served by the local exchange telecommunications company
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1 on the Office of Consumer Advocate and the Office of Small
2 Business Advocate. Concurrent with the filing of the amended
3 plan with the commission, the local exchange telecommunications
4 company shall publish notice of such filing in a newspaper or
5 newspapers of general circulation in its service territory or by
6 bill message or insert. The amended network modernization plan
7 shall become effective upon filing with the commission.
8 (e) Network modernization plan report.--
9 (1) A local exchange telecommunications company that
10 files an amended network modernization plan with the
11 commission shall also file with the commission a report on
12 its provision of broadband availability. The first report
13 shall be filed no later than April 30, 2004, and shall be
14 based upon the 12 months ending December 31, 2003.
15 Thereafter, reports shall be filed biennially no later than
16 April 30. To the extent applicable to the local exchange
17 telecommunications company's amended network modernization
18 plan, reports shall be limited to:
19 (i) The status of broadband deployment in or
20 adjacent to public rights-of-way abutting all public
21 schools, including the administration offices supporting
22 public schools, industrial parks and health care
23 facilities.
24 (ii) The percentage of access lines with broadband
25 availability from the local exchange telecommunications
26 company.
27 (iii) The number of written bona fide retail
28 requests received by exchange.
29 (iv) A general description of any technologies or
30 media utilized by the local exchange telecommunications
20030H0030B3021 - 18 -
1 company to offer or provide advanced services and
2 broadband availability.
3 (2) (i) The report shall be submitted in the form
4 determined by the commission. Should the commission
5 request any additional network reports or information, a
6 local exchange telecommunications company may oppose such
7 requirement, by petition, on the grounds that the report
8 or information will be detrimental to the security of its
9 network or that the benefits of the report will not
10 exceed the attendant expense or administrative time
11 requirements associated therewith. The commission shall
12 grant the petition upon such showing by the local
13 exchange telecommunications company.
14 (ii) Nothing in this paragraph shall be construed to
15 impede the ability of the commission to require the
16 submission of further information to support the accuracy
17 of or to seek an explanation of the reports specified in
18 this subsection.
19 (iii) Under no circumstances shall the commission
20 compel the public release of maps or other information
21 describing the actual location of a local exchange
22 communications company's facilities.
23 (f) Assistance to political subdivisions.--
24 (1) In an effort to assist political subdivisions with
25 economic revitalization projects, a local exchange
26 telecommunications company shall commit, in its modified
27 alternative form of regulation plan and its network
28 modernization plan, to make technical assistance for such
29 projects available to political subdivisions located in its
30 service territory in pursuing the deployment of additional
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1 telecommunications infrastructure or services by the local
2 telecommunications company.
3 (2) A political subdivision or any entity established by
4 a political subdivision, including a municipal authority, may
5 not provide any telecommunications services to the public for
6 compensation within the service territory of a local exchange
7 telecommunications company operating under a network
8 modernization plan.
9 (3) The prohibition in paragraph (2) shall not be
10 construed to preclude the continued provision of any
11 municipally provided telecommunications services of the same
12 type and scope as were being provided on the effective date
13 of this section.
14 (g) Advanced Services Education and Aggregation Fund.--
15 (1) The Advanced Services Education and Aggregation Fund
16 is established as a separate fund in the State Treasury and
17 shall be funded by the payments that may be required under
18 section 3015(c) (relating to alternative forms of
19 regulation).
20 (2) The department shall authorize expenditures from the
21 fund for two purposes:
22 (i) educational outreach programs for political
23 subdivisions, economic development entities, public
24 schools, health care facilities and businesses and for
25 residential customers concerning the benefits, use and
26 procurement of advanced services and broadband
27 telecommunication services from local exchange
28 telecommunications companies; and
29 (ii) seed grants to aggregate customer demand for
30 advanced services or broadband in communities without
20030H0030B3021 - 20 -
1 such services and permit customers in such communities to
2 request such services under a local exchange
3 telecommunications company bona fide retail request
4 program.
5 (3) The fund shall continue until December 31, 2015, at
6 which time the department shall terminate the fund and return
7 the remaining funds on a pro rata basis to the local exchange
8 telecommunications companies that contributed to the fund.
9 (h) Balanced deployment.--A local exchange
10 telecommunications company shall reasonably balance deployment
11 of its broadband network between rural, urban and suburban areas
12 within its service territory, as those areas are applicable,
13 according to its approved network modernization plan.
14 (i) Impact of competition.--Notwithstanding any provision of
15 this section or any network modernization plan to the contrary,
16 if one or more alternative service providers, excluding service
17 providers using satellite-based systems, have made advanced
18 services or broadband available at reasonably comparable data
19 speeds throughout a particular exchange served by a rural
20 telecommunications carrier, the rural telecommunications
21 carrier's commitment to provide advanced services and broadband
22 availability in that exchange shall be deemed met and shall be
23 credited to its deployment obligation.
24 (j) Study of Statewide education network.--
25 (1) The Legislative Budget and Finance Committee in
26 consultation with all advanced broadband service providers,
27 telecommunications carriers and alternative service providers
28 operating in this Commonwealth, irrespective of the
29 technology used, and the Department of Education shall
30 perform a feasibility study on the development of a Statewide
20030H0030B3021 - 21 -
1 education network to promote the effective use of information
2 technology that enhances education, promotes community
3 partnerships and supports economic growth in a knowledge-
4 based society. In conducting the study, the committee shall
5 consider cost-benefit analyses associated with the
6 development and implementation of a Statewide education
7 network. At a minimum, the committee shall inquire into and
8 make recommendations with respect to:
9 (i) The impact on public and private schools,
10 vocational-technical schools, intermediate units and
11 institutions of higher education in this Commonwealth
12 that would be linked together with functional levels of
13 broadband throughout this Commonwealth.
14 (ii) Competition in the telecommunications industry
15 of this Commonwealth and the ability for the public and
16 private schools, vocational-technical schools,
17 intermediate units and institutions of higher education
18 in this Commonwealth's network on intermediate units,
19 school districts and individual schools to procure
20 telecommunications services.
21 (iii) The impact on local exchange
22 telecommunications service providers that have amended
23 its network modernization plan to accelerate the
24 deployment of broadband and advanced services as provided
25 for within the provisions of this chapter.
26 (iv) Funding mechanisms to support the development
27 and implementation of a Statewide education network and
28 the availability of Federal and State funding assistance
29 programs available to rural school districts to procure
30 high-speed telecommunications services.
20030H0030B3021 - 22 -
1 (v) A comparison of the efficiency and effectiveness
2 of Statewide education networks implemented in other
3 states.
4 (2) The committee shall submit a final report with
5 recommendations to the General Assembly no later than May 31,
6 2005, and publish notice of the final report in the
7 Pennsylvania Bulletin within 30 days of the submission of the
8 final report.
9 (k) Inventory of available services.--
10 (1) The department shall compile, periodically update
11 and publish, including at its World Wide Web site, a listing
12 of advanced and broadband services, by general location,
13 available from all advanced and broadband service providers
14 operating in this Commonwealth irrespective of the technology
15 used.
16 (2) All providers of advanced and broadband services
17 shall cooperate with the department.
18 (3) The department may not disclose maps or other
19 information describing the specific location of any
20 provider's facilities.
21 (l) Construction.--Nothing in this section shall be
22 construed:
23 (1) As giving the commission the authority to require a
24 local exchange telecommunications company to provide specific
25 services or to deploy a specific technology to retail
26 customers seeking broadband or advanced services.
27 (2) As prohibiting a local exchange telecommunications
28 company from participating in joint ventures with other
29 entities in meeting its advanced services and broadband
30 deployment commitments under its network modernization plan.
20030H0030B3021 - 23 -
1 § 3015. Alternative forms of regulation.
2 (a) Inflation offset.--
3 (1) Except as otherwise provided in paragraph (2), a
4 local exchange telecommunications company with an alternative
5 form of regulation containing a price stability mechanism
6 that files an amended network modernization plan under
7 section 3014(b)(1), (2) or (3) (relating to network
8 modernization plans) shall not be subject to an inflation
9 offset in its price stability mechanism in adjusting its
10 rates for noncompetitive services. In all other respects the
11 price stability mechanism shall remain the same.
12 (2) Through December 31, 2015:
13 (i) In any year in which revenue-neutral rate
14 changes are ordered by the commission for a nonrural
15 telecommunications carrier, any increase in residential
16 and small business protected service rates under that
17 carrier's price stability mechanism in that year shall be
18 offset against any revenue-neutral rate increase for
19 those services.
20 (ii) (A) A rural telecommunications carrier may not
21 separately propose, as part of a rate rebalancing
22 filing, to increase the rates for residential or
23 small business local exchange telecommunications
24 service in the same calendar year as rates for
25 residential or small business local exchange
26 telecommunications service are increased under the
27 annual price stability index, where the rate
28 rebalancing proposal is not submitted to the
29 commission as part of the annual price stability
30 mechanism filing. Any cap contained in the rate
20030H0030B3021 - 24 -
1 rebalancing section of a rural telecommunications
2 carrier's existing alternative form of regulation
3 plan that restricts the level of annual rate
4 increases to a local exchange telecommunications
5 service shall also be applied to limit any rate
6 increase that occurs as a result of elimination of
7 the offset.
8 (B) These limitations shall not apply where
9 rates are changed as a result of a generic
10 investigation or when the rebalancing does not
11 increase the weighted average rates respectively of
12 residential and small business local exchange
13 telecommunications service.
14 (b) Rate changes for rural telecommunications carriers.--
15 (1) In addition to the rate change provisions in its
16 alternative form of regulation plan, a rural
17 telecommunications carrier operating without a price
18 stability mechanism that files with the commission an amended
19 network modernization plan under section 3014(b)(1), (2) or
20 (3) shall be permitted at any time to file with the
21 commission proposed tariff changes, effective 45 days after
22 filing, setting forth miscellaneous changes, including
23 increases and decreases, in rates for noncompetitive
24 services, excluding basic residential and business rates,
25 provided such rate changes do not increase the rural
26 telecommunications carrier's annual intrastate revenues by
27 more than 2%.
28 (2) The commission tariff filing requirements and review
29 associated with such proposed rate changes shall be limited
30 to schedules submitted by the rural telecommunications
20030H0030B3021 - 25 -
1 carrier detailing the impact of the rate changes on the
2 carrier's annual intrastate revenues.
3 (3) A rural telecommunications carrier that implements
4 noncompetitive rate changes consistent with the procedure set
5 forth in its alternative form of regulation plan shall be
6 required only to file such financial and cost data with the
7 commission to justify such changes as is required under its
8 commission-approved alternative form of regulation plan.
9 (4) Notwithstanding the provisions of paragraph (1), (2)
10 or (3), for any rural telecommunications carrier serving less
11 than 50,000 access lines in this Commonwealth and operating
12 under an alternative form of regulation plan, a formal
13 complaint to deny rate changes for noncompetitive services,
14 unless signed by at least 20 customers of the rural
15 telecommunications carrier, shall not prevent implementation
16 of the rate changes pending the adjudication of the formal
17 complaint by the commission.
18 (c) Payments to fund.--
19 (1) A local exchange telecommunications company that
20 files an amended network modernization plan under section
21 3014(b)(2) or (3) may be required by the department to
22 contribute up to, but no more than, 10% of the first year's
23 annual revenue effect:
24 (i) of any rate increases permitted by the
25 elimination of the offset under subsection (a); or
26 (ii) if the local exchange telecommunications
27 company is operating without a price stability mechanism,
28 of any rate increases under subsection (b)(1), to the
29 fund established under section 3014(g).
30 (2) The contribution shall be payable in equal quarterly
20030H0030B3021 - 26 -
1 installments and calculated on projected increased revenues
2 for the first year of the rate change. The contributions
3 shall also be made in connection with each subsequent
4 noncompetitive service rate increase until the local exchange
5 telecommunications company fulfills the higher percentage
6 deployment obligation set forth in its amended network
7 modernization plan.
8 (3) In no event shall the fund exceed $5,000,000 and, in
9 the event of such overfunding, the department shall credit
10 the overcollection to the next year's contribution amount.
11 (4) A local exchange telecommunications company that
12 elects to amend its network modernization plan pursuant to
13 section 3014(b)(1) shall not be required to contribute to the
14 fund.
15 (d) General filing requirements.--For a local exchange
16 telecommunications company that files an amended network
17 modernization plan under section 3014(b)(1), (2) or (3), the
18 commission's filing and audit requirements shall be limited to
19 the following submissions by the company:
20 (1) Network modernization plan reports filed pursuant to
21 section 3014(e).
22 (2) An annual financial report consisting of a balance
23 sheet and income statement.
24 (3) An annual deaf, speech-impaired and hearing-impaired
25 relay information report.
26 (4) An annual service report.
27 (5) Universal service reports.
28 (6) An annual access line report.
29 (7) An annual statement of gross intrastate operating
30 revenues for purposes of calculating assessments for
20030H0030B3021 - 27 -
1 regulatory expenses.
2 (8) An annual State tax adjustment computation for years
3 in which a tax change has occurred, if applicable.
4 (9) For those companies with a bona fide retail request
5 program, a bona fide retail request report under section
6 3014(c)(6).
7 These reports shall be submitted in the form determined by the
8 commission.
9 (e) Other reports.--
10 (1) Notwithstanding any other provision of this title to
11 the contrary, no report, statement, filing or other document
12 or information, except as specified in subsection (d), shall
13 be required of any local exchange telecommunications company
14 unless the commission, upon notice to the affected local
15 exchange telecommunications company and an opportunity to be
16 heard, has first made specific written findings supporting
17 conclusions in an entered order that:
18 (i) The report is necessary to ensure that the local
19 exchange telecommunications company is charging rates
20 that are in compliance with this chapter and its
21 effective alternative form of regulation.
22 (ii) The benefits of the report substantially
23 outweigh the attendant expense and administrative time
24 and effort required of the local exchange
25 telecommunications company to prepare it.
26 (2) Nothing in this subsection shall be construed to
27 impede the ability of the commission to require the
28 submission of further information to support the accuracy of
29 or to seek an explanation of the reports specified in
30 subsection (d).
20030H0030B3021 - 28 -
1 (f) Rate change limitations.--Nothing in this chapter shall
2 be construed to limit the requirement of section 1301 (relating
3 to rates to be just and reasonable) that rates shall be just and
4 reasonable. The annual rate change limitations set forth in a
5 local exchange telecommunications company's effective
6 commission-approved alternative form of regulation plan or any
7 other commission-approved annual rate change limitation shall
8 remain applicable.
9 (g) Small business customers.--Local exchange
10 telecommunications carriers operating under an alternative form
11 of regulation plan with small business customers defined as
12 "three lines or less" shall amend such definition to "four or
13 fewer lines."
14 (h) Conformance of plan.--Upon the filing by a local
15 exchange telecommunications company of network modernization
16 plan amendments pursuant to section 3014(d), the local exchange
17 telecommunications company's alternative form of regulation plan
18 shall be deemed amended consistent with this section.
19 § 3016. Competitive services.
20 (a) Declaration of services as competitive.--A service or
21 business activity provided by a local exchange
22 telecommunications company, including a protected service, not
23 previously declared by the commission as competitive may be
24 declared competitive by the commission under the following
25 provisions:
26 (1) The local exchange telecommunications company may
27 petition the commission for a determination of whether a
28 service is competitive. The commission shall enter an order
29 approving or disapproving the petition within 60 days of the
30 filing date or 90 days where a protest is timely filed, or
20030H0030B3021 - 29 -
1 the petition shall be deemed approved. In making the
2 determination, the commission shall consider all relevant
3 information submitted to it.
4 (2) Simultaneously with the filing by the local exchange
5 telecommunications company of a petition with the commission
6 for a declaration of a service as competitive, the local
7 exchange telecommunications company shall serve a copy of the
8 petition on the Office of Consumer Advocate and the Office of
9 Small Business Advocate and give notice to the public of the
10 filing of its petition in a newspaper or newspapers of
11 general circulation in the company's service territory.
12 (3) In a proceeding to declare a service competitive,
13 the commission shall consider the availability of like or
14 substitute services or other business activities in the
15 relevant geographic area.
16 (4) The burden of proving that a protected service is
17 competitive rests on the party seeking to have the service
18 declared competitive. Hearings shall not be required, unless
19 a protesting party has raised relevant and material factual
20 issues.
21 (b) Optional declaration of nonprotected services as
22 competitive.--Notwithstanding the provisions of subsection (a),
23 a local exchange telecommunications company that has filed an
24 amended network modernization plan pursuant to section
25 3014(b)(1), (2) or (3) (relating to network modernization
26 plans), at its option, may declare services which are not
27 protected as competitive by filing notice of its election of
28 this option with the commission.
29 (c) Rural exchange specific pricing.--
30 (1) When an alternative service provider is providing
20030H0030B3021 - 30 -
1 local exchange telecommunications services within an exchange
2 of a rural telecommunications carrier that has filed an
3 amended network modernization plan under section 3014(b)(1),
4 (2) or (3), the rural telecommunications carrier may petition
5 the commission for approval to begin pricing its services in
6 the exchange at its discretion.
7 (2) The commission, following public notice, shall
8 approve the petition within 60 days if shown by the rural
9 telecommunications carrier that the alternative service
10 provider is providing local exchange telecommunications
11 services in the exchange.
12 (3) Any party with standing shall have the right to
13 challenge the lawfulness of any petition filed or of any rate
14 change pursuant to section 701 (relating to complaints).
15 (4) Following approval of a petition, the rural
16 telecommunications carrier shall tariff any changes in
17 noncompetitive rates effective one day after filing.
18 (5) The rural telecommunications carrier shall give
19 notice to all customers impacted by any rate increases in the
20 form of a bill insert, bill message, written notice or
21 newspaper notice at least ten days prior to the tariff
22 filing.
23 (d) Reclassification.--
24 (1) The commission may reclassify a telecommunications
25 service or other service or business activity that it has
26 previously found to be competitive if, after notice and
27 hearing, it determines, upon application of the criteria set
28 forth in this chapter, that:
29 (i) sufficient competition is no longer present;
30 (ii) the local exchange telecommunications company
20030H0030B3021 - 31 -
1 has engaged in unfair competition with respect to the
2 service; or
3 (iii) the local exchange telecommunications company
4 has failed to provide nondiscriminatory access in the
5 provision of the service.
6 (2) If the commission finds that a reclassification is
7 necessary, the commission shall determine whether the rate
8 for the telecommunications service or other service or
9 business activity is just and reasonable in accordance with
10 section 1301 (relating to rates to be just and reasonable).
11 (3) If the telecommunications service or other service
12 or business activity subsequently becomes competitive, the
13 local exchange telecommunications company shall petition the
14 commission to make a determination of competitiveness for the
15 service under the provisions of this chapter.
16 (4) The burden of proving that a competitive service
17 should be declared noncompetitive rests on the party seeking
18 to have the service declared noncompetitive.
19 (e) Additional requirements.--
20 (1) The prices which a local exchange telecommunications
21 company charges for competitive services shall not be less
22 than the costs to provide the services.
23 (2) The commission may not require tariffs for
24 competitive service offerings to be filed with the
25 commission.
26 (3) A local exchange telecommunications company, at its
27 option, may tariff its rates, subject to rules and
28 regulations applicable to the provision of competitive
29 services.
30 (4) The commission may require a local exchange
20030H0030B3021 - 32 -
1 telecommunications company to maintain price lists with the
2 commission applicable to its competitive services.
3 (f) Pricing flexibility and bundling.--
4 (1) Subject to the requirements of subsection (e)(1), a
5 local exchange telecommunications company may price
6 competitive services at the company's discretion.
7 (2) A local exchange telecommunications company may
8 offer and bill to customers on one bill bundled packages of
9 services which include nontariffed, competitive,
10 noncompetitive or protected services, including services of
11 an affiliate, in combinations and at a single price selected
12 by the company.
13 (3) If a customer subscribes to a bundled package of
14 services which include nontariffed, competitive,
15 noncompetitive or protected services as provided in paragraph
16 (2) and does not make payment on a billing due date, the
17 local exchange telecommunications company may first suspend
18 all of the customer's services subscribed to in the bundled
19 package following written notice to the customer of such
20 suspension at least seven days prior to the suspension and
21 thereafter may terminate all the customer's bundled package
22 services following written notice to the customer of such
23 termination at least ten days prior to the termination.
24 (g) Prohibitions.--
25 (1) A local exchange telecommunications company shall be
26 prohibited from using revenues earned or expenses incurred in
27 conjunction with protected services to subsidize competitive
28 services.
29 (2) Paragraph (1) shall not be construed to prevent the
30 marketing and billing of noncompetitive and competitive
20030H0030B3021 - 33 -
1 services as packages to customers.
2 § 3017. Access charges.
3 (a) General rule.--The commission may not require a local
4 exchange telecommunications company to reduce access rates
5 except on a revenue-neutral basis and may not order decreases in
6 access rates for a nonrural telecommunications carrier more than
7 once every two years.
8 (b) Refusal to pay access charges prohibited.--No person or
9 entity may refuse to pay tariffed access charges for
10 interexchange services provided by a local exchange
11 telecommunications company.
12 (c) Limitation.--No telecommunications carrier providing
13 competitive local exchange telecommunications service may charge
14 access rates higher than those charged by the incumbent local
15 exchange telecommunications company in the same service
16 territory, unless such carrier can demonstrate, by substantial
17 evidence, that the higher access rates are cost justified.
18 § 3018. Interexchange telecommunications carriers.
19 (a) Competitive and noncompetitive services.--Interexchange
20 services provided by interexchange telecommunications carriers
21 shall continue to be competitive services after December 31,
22 2003, except for the provision of the following interexchange
23 services which shall be noncompetitive services unless declared
24 otherwise by the commission pursuant to section 3016 (relating
25 to competitive services):
26 (1) Interexchange service to aggregator telephones.
27 (2) Optional calling plans required by the commission to
28 be offered when justified by usage over an interexchange
29 route.
30 (b) Rate regulation.--
20030H0030B3021 - 34 -
1 (1) The commission may not fix or prescribe the rates,
2 tolls, charges, rate structures, rate base, rate of return,
3 operating margin or earnings for interexchange competitive
4 services or otherwise regulate interexchange competitive
5 services except as set forth in this chapter.
6 (2) An interexchange telecommunications carrier may file
7 and maintain tariffs or price lists with the commission for
8 competitive telecommunications services.
9 (3) Nothing in this chapter shall be construed to limit
10 the authority of the commission to regulate the privacy of
11 interexchange service and the ordering, installation,
12 restoration and disconnection of interexchange service to
13 customers.
14 (c) Reclassification.--The commission may reclassify
15 telecommunications services provided by an interexchange
16 telecommunications carrier as noncompetitive if, after notice
17 and hearing, it determines, upon application of the criteria set
18 forth in this chapter, that sufficient competition is no longer
19 present.
20 (d) Construction.--Nothing in this chapter shall be
21 construed:
22 (1) To limit the authority of the commission to resolve
23 complaints regarding the quality of interexchange
24 telecommunications carrier service.
25 (2) To limit the authority of the commission to
26 determine whether an interexchange telecommunications carrier
27 should be extended the privilege of operating within this
28 Commonwealth or to order the filing of such reports,
29 documents and information as may be necessary to monitor the
30 market for and competitiveness of interexchange
20030H0030B3021 - 35 -
1 telecommunications services.
2 § 3019. Additional powers and duties.
3 (a) General rule.--The commission may certify more than one
4 telecommunications carrier to provide local exchange
5 telecommunications service in a specific geographic location.
6 The certification shall be granted upon a showing that it is in
7 the public interest and that the applicant possesses sufficient
8 technical, financial and managerial resources.
9 (b) Powers and duties retained.--The commission shall retain
10 the following powers and duties relating to the regulation of
11 all telecommunications carriers and interexchange
12 telecommunications carriers:
13 (1) To audit the accounting and reporting systems of
14 telecommunications carriers relating to their transactions
15 with affiliates pursuant to Chapter 21 (relating to relations
16 with affiliated interests). A telecommunications carrier
17 shall file affiliated interest and affiliated transaction
18 agreements, unless such agreements involve services declared
19 to be competitive. The filings shall constitute notice to the
20 commission only and shall not require approval by the
21 commission.
22 (2) To review and revise quality of service standards
23 contained in 52 Pa. Code (relating to public utilities) that
24 address the safety, adequacy, reliability and privacy of
25 telecommunications services and the ordering, installation,
26 suspension, termination and restoration of any
27 telecommunications service. Any review or revision shall take
28 into consideration the emergence of new industry
29 participants, technological advancements, service standards
30 and consumer demand.
20030H0030B3021 - 36 -
1 (3) Subject to the provisions of section 3015(d)
2 (relating to alternative forms of regulation), to establish
3 such additional requirements as are consistent with this
4 chapter as the commission determines to be necessary to
5 ensure the protection of customers.
6 (4) Condition the sale, merger or acquisition of a local
7 exchange telecommunications company or any facilities used to
8 provide telecommunications services to ensure that there is
9 no reduction in the advanced service or broadband deployment
10 obligations for the sold, merged or acquired property.
11 (c) Privacy of customer information.--
12 (1) Except as otherwise provided in this subsection, a
13 telecommunications carrier may not disclose to any person
14 information relating to any customer's patterns of use,
15 equipment and network information and any accumulated records
16 about customers.
17 (2) A telecommunications carrier may disclose such
18 information:
19 (i) Pursuant to a court order or where otherwise
20 required by law.
21 (ii) To the carrier's affiliates, agents,
22 contractors or vendors and other telecommunications
23 carriers or interexchange telecommunications carriers, as
24 permitted by law.
25 (iii) Where the information consists of aggregate
26 data which does not identify individual customers.
27 (d) Unreasonable preferences.--Nothing in this chapter shall
28 be construed to limit the authority of the commission to ensure
29 that local exchange telecommunications companies do not make or
30 impose unreasonable preferences, discriminations or
20030H0030B3021 - 37 -
1 classifications for protected services and other noncompetitive
2 services.
3 (e) Lifeline service.--
4 (1) All eligible telecommunications carriers
5 certificated to provide local exchange telecommunications
6 service shall provide Lifeline service to all eligible
7 telecommunications customers who subscribe to such service.
8 (2) All eligible telecommunications customers who
9 subscribe to Lifeline service shall be permitted to subscribe
10 up to two other eligible telecommunications carrier
11 telecommunications services at the tariffed rates for such
12 services.
13 (3) Whenever a prospective customer seeks to subscribe
14 to local service from an eligible telecommunications carrier,
15 the carrier shall explicitly advise the customer of the
16 availability of Lifeline service and shall make reasonable
17 efforts where appropriate to determine whether the customer
18 qualifies for such service and, if so, whether the customer
19 wishes to subscribe to the service.
20 (4) Eligible telecommunications carriers shall inform
21 existing customers of the availability of Lifeline service
22 twice annually by bill insert or message. The notice shall be
23 conspicuous and shall provide appropriate eligibility,
24 benefits and contact information for customers who wish to
25 learn of the Lifeline service subscription requirements.
26 (5) No eligible telecommunications carrier shall be
27 required to provide or to continue to provide after the
28 effective date of this section any Lifeline service discount
29 that is not fully subsidized by the Federal Universal Service
30 Fund.
20030H0030B3021 - 38 -
1 (f) Method for fixing rates.--The commission may not fix or
2 prescribe the rates, tolls, charges, rate structures, rate base,
3 rate of return or earnings of competitive services or otherwise
4 regulate competitive services except as set forth in this
5 chapter.
6 (g) Implementation.--The terms of a local exchange
7 telecommunications company's alternative form of regulation and
8 network modernization plans shall govern the regulation of the
9 local exchange telecommunications company and, consistent with
10 the provisions of this chapter, shall supersede any conflicting
11 provisions of this title or other laws of this Commonwealth and
12 shall specifically supersede all provisions of Chapter 13
13 (relating to rates and rate making) other than sections 1301
14 (relating to rates to be just and reasonable), 1302 (relating to
15 tariffs; filing and inspection), 1303 (relating to adherence to
16 tariffs), 1304 (relating to discrimination in rates), 1305
17 (relating to advance payment of rates; interest on deposits),
18 1309 (relating to rates fixed on complaint; investigation of
19 costs of production) and 1312 (relating to refunds).
20 (h) Protection of employees.--
21 (1) No telecommunications carrier may discharge,
22 threaten, discriminate or retaliate against an employee
23 because the employee made a good faith report to the
24 commission, the Office of Consumer Advocate or the Office of
25 Attorney General regarding wrongdoing, waste or a potential
26 violation of the commission's orders or regulations or of
27 this title.
28 (2) A person who alleges a violation of this section
29 must bring a civil action in a court of competent
30 jurisdiction for appropriate injunctive relief or damages
20030H0030B3021 - 39 -
1 within 180 days after the occurrence of the alleged
2 violation.
3 § 3019.1. Voice Over Internet Protocol regulation exemption.
4 Voice Over Internet Protocol service shall not be subject to
5 commission regulation, nor shall any provider of VOIP service be
6 a public utility subject to commission regulation by virtue of
7 providing such service. However, this exemption from commission
8 regulation shall not affect the rights and obligations of any
9 entity related to the payment of switched network access rates
10 or other intercarrier compensation, if any, related to VOIP
11 service.
12 § 3019.2. Voice Over Internet Protocol tax exemption.
13 The provision of Voice Over Internet Protocol services by any
14 person or corporation and the provision of telecommunications
15 services used to provide VOIP services shall be exempt from the
16 following taxes and fees commencing on the effective date of
17 this section.
18 (1) Notwithstanding the act of December 31, 1965
19 (P.L.1257, No.511), known as The Local Tax Enabling Act, no
20 political subdivision shall impose or collect any tax, charge
21 or other fee upon the provision of VOIP services.
22 (2) Notwithstanding Article XXXI-B of the act of July
23 28, 1953 (P.L.723, No.230), known as the Second Class County
24 Code, and the act of June 5, 1991 (P.L.9, No.6), known as the
25 Pennsylvania Intergovernmental Cooperation Authority Act for
26 Cities of the First Class, no local sales and use tax shall
27 be imposed on any VOIP services.
28 § 3020. Expiration of chapter.
29 (a) Expiration.--Except as provided in subsection (b), this
30 chapter shall expire on December 31, 2010.
20030H0030B3021 - 40 -
1 (b) Exception.--A local exchange telecommunications
2 company's alternative form of regulation in effect on December
3 31, 2010, and the VOIP exemption from commission regulation
4 under section 3019.1 (relating to Voice Over Internet Protocol
5 exemption) shall not expire on December 31, 2010.
6 Section 3. The provisions of this act are severable. If any
7 provision of this act or its application to any person or
8 circumstance is held invalid, the invalidity shall not affect
9 other provisions or applications of this act which can be given
10 effect without the invalid provision or application.
11 Section 4. Section 2471 of the act of February 1, 1966 (1965
12 P.L.1656, No.581), known as The Borough Code, is repealed to the
13 extent it is inconsistent with this act.
14 Section 5. This act shall take effect January 1, 2004, or
15 immediately, whichever occurs later.
16 SECTION 1. SECTIONS 1325, 3001, 3002, 3003, 3004, 3005, <--
17 3006, 3007, 3008 AND 3009 OF TITLE 66 OF THE PENNSYLVANIA
18 CONSOLIDATED STATUTES ARE REPEALED.
19 SECTION 2. TITLE 66 IS AMENDED BY ADDING SECTIONS TO READ:
20 § 3010. (RESERVED).
21 § 3011. DECLARATION OF POLICY.
22 THE GENERAL ASSEMBLY FINDS AND DECLARES THAT IT IS THE POLICY
23 OF THIS COMMONWEALTH TO:
24 (1) STRIKE A BALANCE BETWEEN MANDATED DEPLOYMENT AND
25 MARKET-DRIVEN DEPLOYMENT OF BROADBAND FACILITIES AND ADVANCED
26 SERVICES THROUGHOUT THIS COMMONWEALTH AND TO CONTINUE
27 ALTERNATIVE REGULATION OF LOCAL EXCHANGE TELECOMMUNICATIONS
28 COMPANIES.
29 (2) MAINTAIN UNIVERSAL TELECOMMUNICATIONS SERVICE AT
30 AFFORDABLE RATES WHILE ENCOURAGING THE ACCELERATED PROVISION
20030H0030B3021 - 41 -
1 OF ADVANCED SERVICES AND DEPLOYMENT OF A UNIVERSALLY
2 AVAILABLE, STATE-OF-THE-ART, INTERACTIVE BROADBAND
3 TELECOMMUNICATIONS NETWORK IN RURAL, SUBURBAN AND URBAN
4 AREAS, INCLUDING DEPLOYMENT OF BROADBAND FACILITIES IN OR
5 ADJACENT TO PUBLIC RIGHTS-OF-WAY ABUTTING PUBLIC SCHOOLS,
6 INCLUDING THE ADMINISTRATIVE OFFICES SUPPORTING PUBLIC
7 SCHOOLS, INDUSTRIAL PARKS AND HEALTH CARE FACILITIES.
8 (3) ENSURE THAT CUSTOMERS PAY ONLY REASONABLE CHARGES
9 FOR PROTECTED SERVICES, WHICH SHALL BE AVAILABLE ON A
10 NONDISCRIMINATORY BASIS.
11 (4) ENSURE THAT RATES FOR PROTECTED SERVICES DO NOT
12 SUBSIDIZE THE COMPETITIVE VENTURES OF TELECOMMUNICATIONS
13 CARRIERS.
14 (5) PROVIDE DIVERSITY IN THE SUPPLY OF EXISTING AND
15 FUTURE TELECOMMUNICATIONS SERVICES AND PRODUCTS IN
16 TELECOMMUNICATIONS MARKETS THROUGHOUT THIS COMMONWEALTH BY
17 ENSURING THAT RATES, TERMS AND CONDITIONS FOR PROTECTED
18 SERVICES ARE REASONABLE AND DO NOT IMPEDE THE DEVELOPMENT OF
19 COMPETITION.
20 (6) ENSURE THE EFFICIENT DELIVERY OF TECHNOLOGICAL
21 ADVANCES AND NEW SERVICES THROUGHOUT THIS COMMONWEALTH IN
22 ORDER TO IMPROVE THE QUALITY OF LIFE FOR ALL COMMONWEALTH
23 RESIDENTS.
24 (7) ENCOURAGE THE PROVISION OF TELECOMMUNICATIONS
25 PRODUCTS AND SERVICES THAT ENHANCE THE QUALITY OF LIFE OF
26 PEOPLE WITH DISABILITIES.
27 (8) PROMOTE AND ENCOURAGE THE PROVISION OF COMPETITIVE
28 SERVICES BY A VARIETY OF SERVICE PROVIDERS ON EQUAL TERMS
29 THROUGHOUT ALL GEOGRAPHIC AREAS OF THIS COMMONWEALTH WITHOUT
30 JEOPARDIZING THE PROVISION OF UNIVERSAL TELECOMMUNICATIONS
20030H0030B3021 - 42 -
1 SERVICE AT AFFORDABLE RATES.
2 (9) ENCOURAGE THE COMPETITIVE SUPPLY OF ANY SERVICE IN
3 ANY REGION WHERE THERE IS MARKET DEMAND.
4 (10) ENCOURAGE JOINT VENTURES BETWEEN LOCAL EXCHANGE
5 TELECOMMUNICATIONS COMPANIES AND OTHER ENTITIES WHERE SUCH
6 JOINT VENTURES ACCELERATE, IMPROVE OR OTHERWISE ASSIST A
7 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY IN CARRYING OUT ITS
8 NETWORK MODERNIZATION IMPLEMENTATION PLAN.
9 (11) ESTABLISH A BONA FIDE RETAIL REQUEST PROGRAM TO
10 AGGREGATE AND MAKE ADVANCED SERVICES AVAILABLE IN AREAS WHERE
11 SUFFICIENT MARKET DEMAND EXISTS AND TO SUPPLEMENT EXISTING
12 NETWORK MODERNIZATION PLANS.
13 (12) PROMOTE AND ENCOURAGE THE PROVISION OF ADVANCED
14 SERVICES AND BROADBAND DEPLOYMENT IN THE SERVICE TERRITORIES
15 OF LOCAL EXCHANGE TELECOMMUNICATIONS COMPANIES WITHOUT
16 JEOPARDIZING THE PROVISION OF UNIVERSAL SERVICE.
17 (13) RECOGNIZE THAT THE REGULATORY OBLIGATIONS IMPOSED
18 UPON THE INCUMBENT LOCAL EXCHANGE TELECOMMUNICATIONS
19 COMPANIES SHOULD BE REDUCED TO LEVELS MORE CONSISTENT WITH
20 THOSE IMPOSED UPON COMPETING ALTERNATIVE SERVICE PROVIDERS.
21 § 3012. DEFINITIONS.
22 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS CHAPTER
23 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE
24 CONTEXT CLEARLY INDICATES OTHERWISE:
25 "ADVANCED SERVICE." A RETAIL SERVICE THAT, REGARDLESS OF
26 TRANSMISSION MEDIUM OR TECHNOLOGY, IS CAPABLE OF SUPPORTING A
27 MINIMUM SPEED OF 200 KILOBITS PER SECOND (KBPS) IN AT LEAST ONE
28 DIRECTION AT THE NETWORK DEMARCATION POINT OF THE CUSTOMER'S
29 PREMISES.
30 "AGGREGATOR TELEPHONE." A TELEPHONE WHICH IS MADE AVAILABLE
20030H0030B3021 - 43 -
1 TO THE TRANSIENT PUBLIC, CUSTOMERS OR PATRONS, INCLUDING, BUT
2 NOT LIMITED TO, COIN TELEPHONES, CREDIT CARD TELEPHONES AND
3 TELEPHONES LOCATED IN HOTELS, MOTELS, HOSPITALS AND
4 UNIVERSITIES.
5 "ALTERNATIVE FORM OF REGULATION." A FORM OF REGULATION OF
6 TELECOMMUNICATIONS SERVICES OTHER THAN THE TRADITIONAL RATE
7 BASE/RATE OF RETURN REGULATION, INCLUDING A STREAMLINED FORM OF
8 REGULATION, AS APPROVED BY THE COMMISSION.
9 "ALTERNATIVE SERVICE PROVIDER." AN ENTITY THAT PROVIDES
10 TELECOMMUNICATIONS SERVICES IN COMPETITION WITH A LOCAL EXCHANGE
11 TELECOMMUNICATIONS COMPANY.
12 "BONA FIDE RETAIL REQUEST." A WRITTEN REQUEST FOR SERVICE
13 WHICH MEETS THE REQUIREMENTS OF SECTION 3014(C)(1), (RELATING TO
14 NETWORK MODERNIZATION PLANS), IS RECEIVED BY A LOCAL EXCHANGE
15 TELECOMMUNICATIONS COMPANY, AND THROUGH WHICH END USERS COMMIT
16 TO SUBSCRIBING TO AN ADVANCED SERVICE.
17 "BONA FIDE RETAIL REQUEST PROGRAM." A PROGRAM ESTABLISHED BY
18 A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY PURSUANT TO SECTION
19 3014(C) (RELATING TO NETWORK MODERNIZATION PLANS).
20 "BROADBAND." A COMMUNICATION CHANNEL USING ANY TECHNOLOGY
21 AND HAVING A BANDWIDTH EQUAL TO OR GREATER THAN 1.544 MEGABITS
22 PER SECOND IN AT LEAST ONE DIRECTION.
23 "BROADBAND AVAILABILITY." ACCESS TO BROADBAND SERVICE BY A
24 RETAIL TELEPHONE CUSTOMER OF A LOCAL EXCHANGE TELECOMMUNICATIONS
25 COMPANY.
26 "CENTRAL OFFICE." A BUILDING CONTAINING ONE OR MORE LOCAL
27 EXCHANGE TELECOMMUNICATIONS COMPANY SWITCHES USED TO PROVIDE
28 LOCAL EXCHANGE TELECOMMUNICATIONS SERVICE.
29 "COMMUNITY." THOSE CUSTOMERS OF A LOCAL EXCHANGE
30 TELECOMMUNICATIONS COMPANY SERVED BY AN EXISTING OR PLANNED
20030H0030B3021 - 44 -
1 REMOTE TERMINAL OR, WHERE NO REMOTE TERMINAL EXISTS OR IS
2 PLANNED, A CENTRAL OFFICE SWITCH.
3 "COMPETITIVE SERVICE." A SERVICE OR BUSINESS ACTIVITY
4 DECLARED TO BE COMPETITIVE BY THE COMMISSION ON OR PRIOR TO
5 DECEMBER 31, 2003, AND A SERVICE OR BUSINESS ACTIVITY DECLARED
6 TO BE COMPETITIVE PURSUANT TO SECTION 3016 (RELATING TO
7 COMPETITIVE SERVICES).
8 "DEPARTMENT." THE DEPARTMENT OF COMMUNITY AND ECONOMIC
9 DEVELOPMENT OF THE COMMONWEALTH.
10 "ELIGIBLE TELECOMMUNICATIONS CARRIER." A CARRIER DESIGNATED
11 BY THE PENNSYLVANIA PUBLIC UTILITY COMMISSION PURSUANT TO 47 CFR
12 54.201 (RELATING TO DEFINITION OF ELIGIBLE TELECOMMUNICATIONS
13 CARRIERS, GENERALLY) OR SUCCESSOR REGULATION, AS ELIGIBLE TO
14 RECEIVE SUPPORT FROM THE FEDERAL UNIVERSAL SERVICE FUND.
15 "ELIGIBLE TELECOMMUNICATIONS CUSTOMER." A CUSTOMER OF AN
16 ELIGIBLE TELECOMMUNICATIONS CARRIER WHO QUALIFIES FOR LIFELINE
17 SERVICE DISCOUNTS PURSUANT TO THE REQUIREMENTS OF 47 CFR 54.409
18 (RELATING TO CONSUMER QUALIFICATION FOR LIFELINE) OR SUCCESSOR
19 REGULATION.
20 "FUND." THE ADVANCED SERVICES EDUCATION AND AGGREGATION FUND
21 ESTABLISHED UNDER SECTION 3014 (RELATING TO NETWORK
22 MODERNIZATION PLANS).
23 "GROSS DOMESTIC PRODUCT PRICE INDEX" OR "GDP-PI." THE GROSS
24 DOMESTIC PRODUCT FIXED WEIGHT PRICE INDEX AS CALCULATED BY THE
25 UNITED STATES DEPARTMENT OF COMMERCE.
26 "HEALTH CARE FACILITY." THE TERM SHALL HAVE THE SAME MEANING
27 GIVEN TO IT IN THE ACT OF JULY 19, 1979 (P.L.130, NO.48), KNOWN
28 AS THE HEALTH CARE FACILITIES ACT.
29 "INFLATION OFFSET." THE PART OF THE PRICE CHANGE FORMULA IN
30 THE PRICE STABILITY MECHANISM THAT REFLECTS AN OFFSET TO THE
20030H0030B3021 - 45 -
1 GROSS DOMESTIC PRODUCT PRICE INDEX.
2 "INTEREXCHANGE SERVICES." THE TRANSMISSION OF INTERLATA OR
3 INTRALATA TOLL MESSAGES OR DATA OUTSIDE THE LOCAL CALLING AREA.
4 "INTEREXCHANGE TELECOMMUNICATIONS CARRIER." A CARRIER OTHER
5 THAN A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY AUTHORIZED BY
6 THE COMMISSION TO PROVIDE INTEREXCHANGE SERVICES.
7 "LIFELINE SERVICE." A DISCOUNTED RATE LOCAL SERVICE
8 OFFERING, AS DEFINED IN 47 CFR 54.401 (RELATING TO LIFELINE
9 DEFINED) OR SUCCESSOR REGULATION, BUT EXCLUDING ANY OFFERING
10 FUNDED IN PART BY FEDERAL UNIVERSAL SERVICE FUND TIER THREE
11 FUNDING UNDER 47 CFR 54.403 (RELATING TO LIFELINE SUPPORT
12 AMOUNT) OR SUCCESSOR REGULATION.
13 "LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY." AN INCUMBENT
14 CARRIER AUTHORIZED BY THE COMMISSION TO PROVIDE LOCAL EXCHANGE
15 TELECOMMUNICATIONS SERVICES. THE TERM INCLUDES A RURAL
16 TELECOMMUNICATIONS CARRIER AND A NONRURAL TELECOMMUNICATIONS
17 CARRIER.
18 "LOCAL EXCHANGE TELECOMMUNICATIONS SERVICE." THE
19 TRANSMISSION OF MESSAGES OR COMMUNICATIONS THAT ORIGINATE AND
20 TERMINATE WITHIN A PRESCRIBED LOCAL CALLING AREA.
21 "NONCOMPETITIVE SERVICE." A REGULATED SERVICE THAT IS NOT
22 DECLARED COMPETITIVE AND, AS TO INTEREXCHANGE TELECOMMUNICATIONS
23 CARRIERS, THOSE SERVICES INCLUDED IN SECTION 3018(A) (RELATING
24 TO INTEREXCHANGE TELECOMMUNICATIONS CARRIERS).
25 "NONRURAL TELECOMMUNICATIONS CARRIER." A LOCAL EXCHANGE
26 TELECOMMUNICATIONS COMPANY THAT IS NOT A RURAL TELEPHONE COMPANY
27 AS DEFINED IN SECTION 3 OF THE TELECOMMUNICATIONS ACT OF 1996
28 (PUBLIC LAW 104-104, 110 STAT. 56).
29 "OPTIONAL CALLING PLAN." A DISCOUNTED TOLL PLAN OFFERED BY
30 EITHER A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY OR AN
20030H0030B3021 - 46 -
1 INTEREXCHANGE TELECOMMUNICATIONS CARRIER.
2 "PRICE STABILITY MECHANISM." A FORMULA WHICH MAY BE INCLUDED
3 IN A COMMISSION-APPROVED ALTERNATIVE FORM OF REGULATION PLAN
4 THAT PERMITS RATES FOR NONCOMPETITIVE SERVICES TO BE ADJUSTED
5 UPWARD OR DOWNWARD.
6 "PROTECTED SERVICE." THE FOLLOWING TELECOMMUNICATIONS
7 SERVICES PROVIDED BY A LOCAL EXCHANGE TELECOMMUNICATIONS
8 COMPANY, UNLESS THE COMMISSION DETERMINES THAT SUCH SERVICE IS
9 COMPETITIVE:
10 (1) SERVICE PROVIDED TO RESIDENTIAL CONSUMERS OR SMALL
11 BUSINESS CONSUMERS SUBSCRIBING TO FOUR OR FEWER ACCESS LINES
12 ONLY TO THE EXTENT THAT THE SERVICE IS NECESSARY FOR
13 COMPLETING ANY LOCAL EXCHANGE CALL FOR WHICH DIAL TONE IS
14 NECESSARY.
15 (2) TOUCH-TONE SERVICE.
16 (3) SWITCHED ACCESS SERVICE.
17 (4) SPECIAL ACCESS SERVICE.
18 (5) ORDERING, INSTALLATION, RESTORATION AND
19 DISCONNECTION OF THE SERVICES SPECIFIED IN PARAGRAPHS (1)
20 THROUGH (4).
21 "REMOTE TERMINAL." A STRUCTURE LOCATED OUTSIDE OF A CENTRAL
22 OFFICE WHICH HOUSES ELECTRONIC EQUIPMENT AND WHICH PROVIDES
23 TRANSPORT FOR TELECOMMUNICATIONS SERVICES TO AND FROM A CENTRAL
24 OFFICE SWITCH.
25 "RURAL TELECOMMUNICATIONS CARRIER." A LOCAL EXCHANGE
26 TELECOMMUNICATIONS COMPANY THAT IS A RURAL TELEPHONE COMPANY AS
27 DEFINED IN SECTION 3 OF THE TELECOMMUNICATIONS ACT OF 1996
28 (PUBLIC LAW 104-104, 110 STAT. 56).
29 "SMALL BUSINESS." A BUSINESS CONSUMER THAT SUBSCRIBES TO
30 FOUR OR FEWER ACCESS LINES.
20030H0030B3021 - 47 -
1 "SPECIAL ACCESS SERVICE." SERVICE PROVIDED OVER DEDICATED,
2 NONSWITCHED FACILITIES BY LOCAL EXCHANGE TELECOMMUNICATIONS
3 COMPANIES TO INTEREXCHANGE CARRIERS OR OTHER LARGE VOLUME USERS
4 WHICH PROVIDE CONNECTION BETWEEN AN INTEREXCHANGE CARRIER OR
5 PRIVATE NETWORK AND A CUSTOMER'S PREMISES.
6 "SWITCHED ACCESS SERVICE." A SERVICE WHICH PROVIDES FOR THE
7 USE OF COMMON TERMINATING, SWITCHING AND TRUNKING FACILITIES OF
8 A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY'S PUBLIC SWITCHED
9 NETWORK. THE TERM INCLUDES, BUT IS NOT LIMITED TO, THE RATES FOR
10 LOCAL SWITCHING, COMMON AND DEDICATED TRANSPORT AND THE CARRIER
11 CHARGE.
12 "TELECOMMUNICATIONS ACT OF 1996." THE TELECOMMUNICATIONS ACT
13 OF 1996 (PUBLIC LAW 104-104, 110 STAT. 56).
14 "TELECOMMUNICATIONS CARRIER." AN ENTITY THAT PROVIDES
15 TELECOMMUNICATIONS SERVICES SUBJECT TO THE JURISDICTION OF THE
16 COMMISSION.
17 "TELECOMMUNICATIONS SERVICE." THE OFFERING OF THE
18 TRANSMISSION OF MESSAGES OR COMMUNICATIONS FOR A FEE TO THE
19 PUBLIC.
20 "VOICE OVER INTERNET PROTOCOL" OR "VOIP." THE PROVISION OF
21 VOICE COMMUNICATIONS AND RELATED FEATURES AND FUNCTIONS BY MEANS
22 OF ENCODING VOICE AND RELATED SIGNALS INTO PACKETIZED FORM AND
23 TRANSMISSION OF THOSE PACKETS USING INTERNET PROTOCOL OR ANY
24 SUCCESSOR PROTOCOL FOR SOME OR ALL OF THE TRANSMISSION.
25 § 3013. CONTINUATION OF COMMISSION-APPROVED ALTERNATIVE
26 REGULATION AND NETWORK MODERNIZATION PLANS.
27 (A) GENERAL RULE.--AN ALTERNATIVE FORM OF REGULATION PLAN
28 AND NETWORK MODERNIZATION PLAN APPROVED BY THE COMMISSION FOR A
29 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY AS OF DECEMBER 31,
30 2003 SHALL REMAIN VALID AND EFFECTIVE, EXCEPT AS MAY BE AMENDED
20030H0030B3021 - 48 -
1 AT THE ELECTION OF THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
2 AS AUTHORIZED BY THIS CHAPTER. THE COMMISSION SHALL ALLOW A
3 PREVIOUSLY APPROVED PLAN TO BE AMENDED TO CONFORM TO ANY CHANGES
4 MADE UNDER THIS CHAPTER, AND SHALL NOT REQUIRE ANY OTHER CHANGES
5 TO THE PLAN.
6 (B) LIMITATION ON CHANGES TO PLANS.--EXCEPT FOR CHANGES TO
7 EXISTING ALTERNATIVE FORM OF REGULATION AND NETWORK
8 MODERNIZATION PLANS AS AUTHORIZED BY THIS CHAPTER, NO CHANGE TO
9 ANY ALTERNATIVE FORM OF REGULATION OR NETWORK MODERNIZATION PLAN
10 MAY BE MADE WITHOUT THE EXPRESS AGREEMENT OF BOTH THE COMMISSION
11 AND THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY.
12 (C) GRANDFATHER PROVISION.--ALL SERVICES PREVIOUSLY DECLARED
13 COMPETITIVE AS OF DECEMBER 31, 2003, UNDER A LOCAL EXCHANGE
14 TELECOMMUNICATIONS COMPANY'S ALTERNATIVE FORM OF REGULATION PLAN
15 SHALL REMAIN COMPETITIVE.
16 (D) COMMISSION OVERSIGHT.--THE COMMISSION WILL CONTINUE TO
17 EXERCISE OVERSIGHT OF ALTERNATIVE FORM OF REGULATION AND NETWORK
18 MODERNIZATION PLANS FOR LOCAL EXCHANGE TELECOMMUNICATIONS
19 COMPANIES AS PROVIDED IN THIS CHAPTER.
20 § 3014. NETWORK MODERNIZATION PLANS.
21 (A) CONTINUATION OF APPROVED PLAN.--A LOCAL EXCHANGE
22 TELECOMMUNICATIONS COMPANY THAT DOES NOT ELECT AN OPTION UNDER
23 SUBSECTION (B) SHALL REMAIN SUBJECT TO ITS NETWORK MODERNIZATION
24 PLAN IN EFFECT AS OF DECEMBER 31, 2003, WITHOUT REVISION OR
25 MODIFICATION EXCEPT BY AGREEMENT UNDER SECTION 3013(B) (RELATING
26 TO CONTINUATION OF COMMISSION-APPROVED ALTERNATIVE REGULATION
27 AND NETWORK MODERNIZATION PLANS) AND AS PROVIDED IN THIS
28 SECTION, THROUGH DECEMBER 31, 2015.
29 (B) OPTIONS FOR AMENDMENT OF NETWORK MODERNIZATION PLAN.--
30 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANIES SHALL HAVE THE
20030H0030B3021 - 49 -
1 FOLLOWING OPTIONS:
2 (1) (I) A RURAL TELECOMMUNICATIONS CARRIER THAT ELECTS
3 TO AMEND ITS NETWORK MODERNIZATION PLAN PURSUANT TO THIS
4 SUBSECTION SHALL REMAIN SUBJECT TO THE CARRIER'S NETWORK
5 MODERNIZATION PLAN IN EFFECT AS OF DECEMBER 31, 2003, AS
6 AMENDED PURSUANT TO THIS SUBSECTION, THROUGH DECEMBER 31,
7 2008. PRIOR TO IMPLEMENTATION OF SUCH ELECTION, THE RURAL
8 TELECOMMUNICATIONS CARRIER SHALL COMPLY WITH THE
9 NOTIFICATION REQUIREMENTS OF SUBSECTION (D).
10 (II) THE RURAL TELECOMMUNICATIONS CARRIER SHALL
11 COMMIT TO ACCELERATE 100% BROADBAND AVAILABILITY BY
12 DECEMBER 31, 2008, IN ITS AMENDED NETWORK MODERNIZATION
13 PLAN. ANY RURAL TELECOMMUNICATIONS CARRIER ELECTING THIS
14 OPTION SHALL NOT BE REQUIRED TO OFFER A BONA FIDE RETAIL
15 REQUEST PROGRAM.
16 (2) (I) A RURAL TELECOMMUNICATIONS CARRIER THAT ELECTS
17 TO AMEND ITS NETWORK MODERNIZATION PLAN PURSUANT TO THIS
18 SUBSECTION SHALL REMAIN SUBJECT TO THE CARRIER'S NETWORK
19 MODERNIZATION PLAN IN EFFECT AS OF DECEMBER 31, 2003, AS
20 AMENDED PURSUANT TO THIS SUBSECTION, THROUGH DECEMBER 31,
21 2010. PRIOR TO IMPLEMENTATION OF SUCH ELECTION, THE RURAL
22 TELECOMMUNICATIONS CARRIER SHALL COMPLY WITH THE
23 NOTIFICATION REQUIREMENTS OF SUBSECTION (D).
24 (II) THE RURAL TELECOMMUNICATIONS CARRIER SHALL
25 COMMIT:
26 (A) TO ACCELERATE BROADBAND AVAILABILITY TO AT
27 LEAST 80% OF ITS TOTAL RETAIL ACCESS LINES IN ITS
28 DISTRIBUTION NETWORK BY DECEMBER 31, 2010, AND MAY
29 ALSO COMMIT TO FURTHER DEPLOYMENT BY 2015 AS SET
30 FORTH IN SECTION 3015(A) (RELATING TO ALTERNATIVE
20030H0030B3021 - 50 -
1 FORMS OF REGULATION); AND
2 (B) TO OFFER A BONA FIDE RETAIL REQUEST PROGRAM
3 PURSUANT TO SUBSECTION (C).
4 UNDER NO CIRCUMSTANCES MAY THE RURAL TELECOMMUNICATIONS
5 CARRIER REDUCE ITS EXISTING BROADBAND AVAILABILITY
6 COMMITMENT.
7 (3) (I) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
8 THAT ELECTS TO AMEND ITS NETWORK MODERNIZATION PLAN
9 PURSUANT TO THIS SUBSECTION SHALL REMAIN SUBJECT TO SUCH
10 COMPANY'S NETWORK MODERNIZATION PLAN IN EFFECT AS OF
11 DECEMBER 31, 2003, AS AMENDED PURSUANT TO THIS
12 SUBSECTION, INCLUDING MEETING ITS 100% BROADBAND
13 AVAILABILITY COMMITMENT. PRIOR TO IMPLEMENTATION OF SUCH
14 ELECTION, THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
15 SHALL COMPLY WITH THE NOTIFICATION REQUIREMENTS OF
16 SUBSECTION (D).
17 (II) THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
18 SHALL COMMIT:
19 (A) TO PROVIDE BROADBAND AVAILABILITY TO 100% OF
20 ITS TOTAL RETAIL ACCESS LINES IN ITS DISTRIBUTION
21 NETWORK BY DECEMBER 31, 2013 OR DECEMBER 31, 2015;
22 AND
23 (B) TO OFFER A BONA FIDE RETAIL REQUEST PROGRAM
24 PURSUANT TO SUBSECTION (C).
25 UNDER NO CIRCUMSTANCES MAY SUCH LOCAL EXCHANGE
26 TELECOMMUNICATIONS COMPANY REDUCE ITS EXISTING BROADBAND
27 AVAILABILITY COMMITMENT.
28 (4) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY THAT
29 ELECTS UNDER PARAGRAPH (1), (2) OR (3) SHALL ALSO COMMIT TO
30 UNIVERSAL BROADBAND DEPLOYMENT IN OR ADJACENT TO PUBLIC
20030H0030B3021 - 51 -
1 RIGHTS-OF-WAY ABUTTING ALL PUBLIC SCHOOLS, INCLUDING THE
2 ADMINISTRATION OFFICES SUPPORTING PUBLIC SCHOOLS, INDUSTRIAL
3 PARKS AND HEALTH CARE FACILITIES IN ITS SERVICE TERRITORY ON
4 OR BEFORE DECEMBER 31, 2004, EXCEPT THAT A LOCAL EXCHANGE
5 TELECOMMUNICATIONS COMPANY SERVING MORE THAN TEN EXCHANGES IN
6 THIS COMMONWEALTH MAY ELECT TO EXTEND THIS COMMITMENT FROM
7 DECEMBER 31, 2004, TO DECEMBER 31, 2005, FOR ANY EXCHANGE
8 WITH LESS THAN 4,000 ACCESS LINES.
9 (5) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY THAT
10 ELECTS UNDER PARAGRAPH (1), (2) OR (3) MAY AMEND ITS NETWORK
11 MODERNIZATION PLAN TO DEFINE "UNIVERSAL BROADBAND
12 AVAILABILITY" AS THE PROVISION OF BROADBAND CAPABILITY WITHIN
13 TEN BUSINESS DAYS OF NOTICE TO THE COMPANY OF THE REQUEST BY
14 A BONA FIDE CUSTOMER. IF A LOCAL EXCHANGE TELECOMMUNICATIONS
15 COMPANY DOES NOT ELECT UNDER PARAGRAPH (1), (2) OR (3), THEN
16 THE PROVISIONING INTERVAL SHALL REMAIN AND BE WITHIN FIVE
17 BUSINESS DAYS AFTER A REQUEST FOR BROADBAND SERVICE IS
18 RECEIVED, AS STATED IN THE COMPANY'S CURRENTLY EFFECTIVE
19 NETWORK MODERNIZATION PLAN. THE AMENDED NETWORK MODERNIZATION
20 PLAN MAY ALSO BE MODIFIED TO REMOVE ANY INTERIM COMMITMENTS
21 CONTAINED IN THE NETWORK MODERNIZATION PLAN IN EFFECT AS OF
22 DECEMBER 31, 2003, OR AS LATER MODIFIED.
23 (6) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY THAT
24 ELECTS UNDER PARAGRAPH (1), (2) OR (3) MAY SUBSEQUENTLY
25 PETITION THE COMMISSION FOR FURTHER MODIFICATION OF ITS
26 AMENDED NETWORK MODERNIZATION PLAN, WHICH THE COMMISSION MAY
27 GRANT UPON GOOD CAUSE SHOWN.
28 (7) A RURAL TELECOMMUNICATIONS CARRIER MAKING AN
29 ELECTION PURSUANT TO PARAGRAPH (1), (2) OR (3) AND FILING ITS
30 AMENDED NETWORK MODERNIZATION PLAN WITH THE COMMISSION
20030H0030B3021 - 52 -
1 PURSUANT TO SUBSECTION (D) SHALL BE GRANTED BY THE COMMISSION
2 A SUSPENSION OF ITS SECTION 251(C)(2), (3), (4), (5) AND (6)
3 OBLIGATIONS UNDER THE TELECOMMUNICATIONS ACT OF 1996. THIS
4 SUSPENSION OF OBLIGATIONS SHALL EXPIRE ON DECEMBER 31, 2010,
5 UNLESS EXTENDED BY THE COMMISSION. SHOULD THE COMMISSION,
6 FOLLOWING A HEARING, DETERMINE THAT THE RURAL
7 TELECOMMUNICATIONS CARRIER HAS FAILED TO TIMELY MEET ITS
8 COMMITMENTS PURSUANT TO THIS PARAGRAPH THE SUSPENSION OF
9 OBLIGATIONS SHALL EXPIRE UPON ENTRY OF THE COMMISSION ORDER
10 MAKING SUCH DETERMINATION. EXPIRATION OF THE SUSPENSION OF
11 OBLIGATIONS SHALL NOT IMPACT THE RURAL TELEPHONE COMPANY
12 EXEMPTION OF THE RURAL TELECOMMUNICATIONS CARRIER UNDER
13 SECTION 251(F)(1) OF THE TELECOMMUNICATIONS ACT OF 1996.
14 (8) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY MAY
15 ACCELERATE ITS BROADBAND AVAILABILITY COMMITMENT BY ELECTING
16 AN ADDITIONAL OPTION PURSUANT TO PARAGRAPH (1), (2) OR (3),
17 AS APPLICABLE, AT A LATER DATE. THE LOCAL EXCHANGE
18 TELECOMMUNICATIONS COMPANY SHALL BE SUBJECT TO THE APPLICABLE
19 MODIFIED INFLATION OFFSET IN ITS PRICE STABILITY MECHANISM AS
20 SET FORTH IN SECTION 3015(A)(1), EFFECTIVE UPON THE FILING OF
21 AN AMENDED NETWORK MODERNIZATION PLAN UNDER SUBSECTION (D).
22 (C) BONA FIDE RETAIL REQUEST PROGRAM.--A LOCAL EXCHANGE
23 TELECOMMUNICATIONS COMPANY THAT ELECTS TO AMEND ITS NETWORK
24 MODERNIZATION PLAN PURSUANT TO SUBSECTION (B)(1), (2) OR (3)
25 SHALL NOTIFY THE COMMISSION NO LATER THAN ONE YEAR AFTER THE
26 EFFECTIVE DATE OF ITS ELECTION THAT IT IS IMPLEMENTING A BONA
27 FIDE RETAIL REQUEST PROGRAM WHICH SHALL CONTINUE THROUGH
28 DECEMBER 31, 2015, OR SUCH EARLIER DATE AS THE LOCAL
29 TELECOMMUNICATIONS COMPANY ACHIEVES 100% BROADBAND AVAILABILITY
30 THROUGHOUT ITS SERVICE TERRITORY. A BONA FIDE RETAIL REQUEST
20030H0030B3021 - 53 -
1 PROGRAM SHALL CONSIST OF THE FOLLOWING:
2 (1) PERSONS OR ENTITIES SEEKING ADVANCED SERVICES
3 PURSUANT TO A BONA FIDE RETAIL REQUEST PROGRAM SHALL SUBMIT A
4 WRITTEN REQUEST FOR SUCH SERVICES TO THE LOCAL EXCHANGE
5 TELECOMMUNICATIONS COMPANY. THE WRITTEN REQUEST MAY BE IN THE
6 FORM OF A PETITION WHICH INCLUDES THE INFORMATION REQUIRED BY
7 THIS PARAGRAPH OR IN THE FORM OF INDIVIDUAL REQUESTS EACH OF
8 WHICH INCLUDES THE INFORMATION REQUIRED BY THIS PARAGRAPH. IF
9 INDIVIDUAL REQUESTS ARE RECEIVED, THE LOCAL EXCHANGE
10 TELECOMMUNICATIONS COMPANY SHALL AGGREGATE REQUESTS FOR THE
11 SAME OR COMPARABLE SERVICE AND INITIATE APPROPRIATE ACTION
12 PURSUANT TO THIS SUBSECTION WHEN THE REQUIRED NUMBER OF
13 REQUESTS HAVE BEEN RECEIVED. TO BE CONSIDERED A BONA FIDE
14 RETAIL REQUEST, THE WRITTEN REQUEST MUST INCLUDE:
15 (I) A REQUEST THAT A MINIMUM OF 50 RETAIL ACCESS
16 LINES BE PROVIDED THE SAME OR COMPARABLE ADVANCED SERVICE
17 WITHIN A COMMUNITY OR A REQUEST THAT 25% OF RETAIL ACCESS
18 LINES BE PROVIDED THE SAME OR COMPARABLE ADVANCED SERVICE
19 WITHIN A COMMUNITY, WHICHEVER IS LESS;
20 (II) THE NAME, ADDRESS, TELEPHONE NUMBER AND
21 SIGNATURE OF EACH EXISTING RETAIL CUSTOMER SEEKING THE
22 ADVANCED SERVICE, THE ADVANCED SERVICE BEING REQUESTED,
23 THE NUMBER OF ACCESS LINES FOR WHICH THE ADVANCED SERVICE
24 IS REQUESTED, A COMMITMENT BY EACH RETAIL CUSTOMER WHO
25 SIGNS THE REQUEST TO SUBSCRIBE TO THE REQUESTED ADVANCED
26 SERVICE FOR A MINIMUM OF ONE YEAR AT THE LOCAL EXCHANGE
27 TELECOMMUNICATIONS COMPANY'S APPLICABLE RATE FOR THE
28 SERVICE; AND
29 (III) THE NAME, ADDRESS AND TELEPHONE NUMBER OF A
30 DESIGNATED CONTACT PERSON.
20030H0030B3021 - 54 -
1 CUSTOMERS MAKING THE REQUEST SHALL AGREE TO TAKE THE SERVICE
2 FOR A ONE-YEAR PERIOD, BUT SHALL NOT BE REQUIRED TO MAKE SUCH
3 A COMMITMENT UNTIL THE PRICE AND TERMS OF THE SERVICE ARE
4 SPECIFIED BY THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
5 AND SHALL NOT BE REQUIRED TO MAKE ANY PAYMENTS UNTIL THE
6 SERVICE IS ACTUALLY PROVIDED.
7 (2) IN ADMINISTERING THE BONA FIDE RETAIL REQUEST
8 PROGRAM, THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY SHALL:
9 (I) ESTABLISH A WORLD WIDE WEB SITE AND TOLL-FREE
10 TELEPHONE NUMBER TO ADDRESS CUSTOMER INQUIRIES REGARDING
11 THE PROGRAM;
12 (II) MAIL A REQUEST FORM TO A CUSTOMER UPON REQUEST;
13 (III) CONFIRM ITS RECEIPT OF ANY COMPLETED REQUEST
14 IN WRITING TO THE CUSTOMER; SUCH CONFIRMATION TO IDENTIFY
15 THE SERVICE REQUESTED, THE APPLICABLE RATE, THE EXPECTED
16 CONTRACT TERM, THE STATUS OF THE REQUEST AND A TERM
17 SUBSCRIPTION AGREEMENT FOR EXECUTION; AND
18 (IV) NOTIFY THE CUSTOMERS IN A COMMUNITY, WITHIN 45
19 DAYS, OF THE EXPECTED IMPLEMENTATION DATE ONCE THE
20 REQUISITE NUMBER OF REQUESTS HAS BEEN RECEIVED AND THE
21 EXPECTED DATE OF THE AVAILABILITY OF SERVICE.
22 (3) WHEN A BONA FIDE RETAIL REQUEST HAS BEEN RECEIVED
23 THAT MEETS THE REQUIREMENTS OF PARAGRAPH (1), THE LOCAL
24 EXCHANGE TELECOMMUNICATIONS COMPANY SHALL PROVIDE THE
25 REQUESTED ADVANCED SERVICE OR OTHER REASONABLY COMPARABLE
26 SERVICE THAT MEETS THE DATA SPEED OF THE REQUESTED SERVICE TO
27 THE COMMUNITY AS SOON AS PRACTICABLE, BUT IN NO EVENT LATER
28 THAN 365 DAYS OF THE DATE THE REQUIREMENTS OF PARAGRAPH (1)
29 HAVE BEEN MET OR WITHIN THE PERIOD APPROVED BY THE COMMISSION
30 UNDER PARAGRAPH (4) WHERE:
20030H0030B3021 - 55 -
1 (I) THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
2 PROVIDES THE REQUESTED ADVANCED SERVICE TO OTHER
3 CUSTOMERS IN ITS SERVICE TERRITORY;
4 (II) THERE IS NO ADVANCED SERVICE USING ANY
5 TECHNOLOGY AVAILABLE TO THE REQUESTING CUSTOMERS THAT
6 OFFERS DATA SPEEDS REASONABLY COMPARABLE TO THAT
7 REQUESTED; AND
8 (III) THE COMMUNITY IS SITUATED WITHIN THE SERVICE
9 TERRITORY OF THE LOCAL EXCHANGE TELECOMMUNICATIONS
10 COMPANY.
11 (4) WHERE THE TOTAL NUMBER OF BONA FIDE RETAIL REQUESTS
12 RECEIVED BY ANY LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY OR
13 AFFILIATED COMPANIES THAT MEET THE REQUIREMENTS OF PARAGRAPHS
14 (1) AND (3) EXCEED 40 CUSTOMERS IN ANY 12-MONTH PERIOD, OR
15 WHERE THERE ARE MORE THAN 20 SUCH REQUESTS THAT REQUIRE
16 PROPERTY ACQUISITION, INCLUDING ACQUIRING RIGHTS-OF-WAY, OR
17 NEW CONSTRUCTION IN ANY 12-MONTH PERIOD, THE LOCAL EXCHANGE
18 TELECOMMUNICATIONS COMPANY OR COMPANIES MAY PROVIDE A
19 VERIFIED CERTIFICATION TO THE COMMISSION THAT ONE OR BOTH OF
20 THE PREVIOUSLY STATED CRITERIA ARE MET. UPON RECEIPT OF THE
21 CERTIFICATION, THE COMMISSION, OR THE COMMISSION THROUGH ITS
22 DESIGNATED STAFF, SHALL PERMIT THE LOCAL EXCHANGE
23 TELECOMMUNICATIONS COMPANY OR COMPANIES TO EXTEND THE TIME
24 FOR SUCH DEPLOYMENTS FOR A PERIOD OF NO MORE THAN 12 MONTHS,
25 UNLESS THE COMMISSION DETERMINES AN ADDITIONAL TIME PERIOD TO
26 BE JUST AND REASONABLE.
27 (5) WITH REGARD TO REQUESTS SUBMITTED UNDER THIS
28 SUBSECTION, A RETAIL CUSTOMER MAY CHALLENGE THE ACTION OF A
29 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY PURSUANT TO SECTION
30 701 (RELATING TO COMPLAINTS).
20030H0030B3021 - 56 -
1 (6) LOCAL EXCHANGE TELECOMMUNICATIONS COMPANIES WITH
2 BONA FIDE RETAIL REQUEST PROGRAMS SHALL PROVIDE SEMIANNUAL
3 REPORTS TO THE COMMISSION OF THE NUMBER OF REQUESTS FOR
4 ADVANCED SERVICES RECEIVED DURING THE REPORTING PERIOD BY
5 EXCHANGE AND THE ACTION TAKEN ON REQUESTS MEETING THE
6 REQUIREMENTS OF SUBSECTION (C). LOCAL EXCHANGE
7 TELECOMMUNICATIONS COMPANIES, WITHIN 30 DAYS AFTER INITIATING
8 A BONA FIDE RETAIL REQUEST PROGRAM, SHALL ALSO PROVIDE THE
9 COMMISSION WITH THE FORM OF ANY ADVANCED SERVICES TERM
10 SUBSCRIPTION AGREEMENTS CUSTOMERS WILL BE REQUIRED TO EXECUTE
11 IN CONNECTION WITH RECEIVING THE REQUESTED SERVICES.
12 (D) NOTICE AND FILING OF AMENDMENTS.--A LOCAL EXCHANGE
13 TELECOMMUNICATIONS COMPANY THAT ELECTS TO AMEND ITS NETWORK
14 MODERNIZATION PLAN PURSUANT TO SUBSECTION (B) SHALL NOTIFY THE
15 COMMISSION IN WRITING OF SUCH ELECTION AND, WITHIN 60 DAYS
16 FOLLOWING SUCH NOTIFICATION, FILE ITS AMENDED NETWORK
17 MODERNIZATION PLAN WITH THE COMMISSION. COPIES OF THE WRITTEN
18 NOTICE OF ELECTION AND OF THE AMENDED NETWORK MODERNIZATION PLAN
19 SHALL BE SERVED BY THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
20 ON THE OFFICE OF CONSUMER ADVOCATE AND THE OFFICE OF SMALL
21 BUSINESS ADVOCATE. CONCURRENT WITH THE FILING OF THE AMENDED
22 PLAN WITH THE COMMISSION, THE LOCAL EXCHANGE TELECOMMUNICATIONS
23 COMPANY SHALL PUBLISH NOTICE OF SUCH FILING IN A NEWSPAPER OR
24 NEWSPAPERS OF GENERAL CIRCULATION IN ITS SERVICE TERRITORY OR BY
25 BILL MESSAGE OR INSERT. THE AMENDED NETWORK MODERNIZATION PLAN
26 SHALL BECOME EFFECTIVE UPON FILING WITH THE COMMISSION.
27 (E) NETWORK MODERNIZATION PLAN REPORT.--
28 (1) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY THAT
29 FILES AN AMENDED NETWORK MODERNIZATION PLAN WITH THE
30 COMMISSION SHALL ALSO FILE WITH THE COMMISSION A REPORT ON
20030H0030B3021 - 57 -
1 ITS PROVISION OF BROADBAND AVAILABILITY. THE FIRST REPORT
2 SHALL BE FILED NO LATER THAN APRIL 30, 2004, AND SHALL BE
3 BASED UPON THE 12 MONTHS ENDING DECEMBER 31, 2003.
4 THEREAFTER, REPORTS SHALL BE FILED BIENNIALLY NO LATER THAN
5 APRIL 30. TO THE EXTENT APPLICABLE TO THE LOCAL EXCHANGE
6 TELECOMMUNICATIONS COMPANY'S AMENDED NETWORK MODERNIZATION
7 PLAN, REPORTS SHALL BE LIMITED TO:
8 (I) THE STATUS OF BROADBAND DEPLOYMENT IN OR
9 ADJACENT TO PUBLIC RIGHTS-OF-WAY ABUTTING ALL PUBLIC
10 SCHOOLS, INCLUDING THE ADMINISTRATION OFFICES SUPPORTING
11 PUBLIC SCHOOLS, INDUSTRIAL PARKS AND HEALTH CARE
12 FACILITIES.
13 (II) THE PERCENTAGE OF ACCESS LINES WITH BROADBAND
14 AVAILABILITY FROM THE LOCAL EXCHANGE TELECOMMUNICATIONS
15 COMPANY.
16 (III) THE NUMBER OF WRITTEN BONA FIDE RETAIL
17 REQUESTS RECEIVED BY EXCHANGE.
18 (IV) A GENERAL DESCRIPTION OF ANY TECHNOLOGIES OR
19 MEDIA UTILIZED BY THE LOCAL EXCHANGE TELECOMMUNICATIONS
20 COMPANY TO OFFER OR PROVIDE ADVANCED SERVICES AND
21 BROADBAND AVAILABILITY.
22 (2) (I) THE REPORT SHALL BE SUBMITTED IN THE FORM
23 DETERMINED BY THE COMMISSION. SHOULD THE COMMISSION
24 REQUEST ANY ADDITIONAL NETWORK REPORTS OR INFORMATION, A
25 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY MAY OPPOSE SUCH
26 REQUIREMENT, BY PETITION, ON THE GROUNDS THAT THE REPORT
27 OR INFORMATION WILL BE DETRIMENTAL TO THE SECURITY OF ITS
28 NETWORK OR THAT THE BENEFITS OF THE REPORT WILL NOT
29 EXCEED THE ATTENDANT EXPENSE OR ADMINISTRATIVE TIME
30 REQUIREMENTS ASSOCIATED THEREWITH. THE COMMISSION SHALL
20030H0030B3021 - 58 -
1 GRANT THE PETITION UPON SUCH SHOWING BY THE LOCAL
2 EXCHANGE TELECOMMUNICATIONS COMPANY.
3 (II) NOTHING IN THIS PARAGRAPH SHALL BE CONSTRUED TO
4 IMPEDE THE ABILITY OF THE COMMISSION TO REQUIRE THE
5 SUBMISSION OF FURTHER INFORMATION TO SUPPORT THE ACCURACY
6 OF OR TO SEEK AN EXPLANATION OF THE REPORTS SPECIFIED IN
7 THIS SUBSECTION.
8 (III) UNDER NO CIRCUMSTANCES SHALL THE COMMISSION
9 COMPEL THE PUBLIC RELEASE OF MAPS OR OTHER INFORMATION
10 DESCRIBING THE ACTUAL LOCATION OF A LOCAL EXCHANGE
11 COMMUNICATIONS COMPANY'S FACILITIES.
12 (F) ASSISTANCE TO POLITICAL SUBDIVISIONS.--
13 (1) IN AN EFFORT TO ASSIST POLITICAL SUBDIVISIONS WITH
14 ECONOMIC REVITALIZATION PROJECTS, A LOCAL EXCHANGE
15 TELECOMMUNICATIONS COMPANY SHALL COMMIT, IN ITS MODIFIED
16 ALTERNATIVE FORM OF REGULATION PLAN AND ITS NETWORK
17 MODERNIZATION PLAN, TO MAKE TECHNICAL ASSISTANCE FOR SUCH
18 PROJECTS AVAILABLE TO POLITICAL SUBDIVISIONS LOCATED IN ITS
19 SERVICE TERRITORY IN PURSUING THE DEPLOYMENT OF ADDITIONAL
20 TELECOMMUNICATIONS INFRASTRUCTURE OR SERVICES BY THE LOCAL
21 EXCHANGE TELECOMMUNICATIONS COMPANY.
22 (2) (I) EXCEPT AS OTHERWISE PROVIDED FOR UNDER
23 SUBPARAGRAPH (II), A POLITICAL SUBDIVISION OR ANY ENTITY
24 ESTABLISHED BY A POLITICAL SUBDIVISION, INCLUDING A
25 MUNICIPAL AUTHORITY, MAY NOT PROVIDE ANY
26 TELECOMMUNICATIONS SERVICES TO THE PUBLIC FOR
27 COMPENSATION WITHIN THE SERVICE TERRITORY OF A LOCAL
28 EXCHANGE TELECOMMUNICATIONS COMPANY OPERATING UNDER A
29 NETWORK MODERNIZATION PLAN.
30 (II) A POLITICAL SUBDIVISION MAY OFFER ADVANCED OR
20030H0030B3021 - 59 -
1 BROADBAND SERVICES IF THE POLITICAL SUBDIVISION HAS
2 SUBMITTED A WRITTEN REQUEST FOR THE PROVISION OF SUCH
3 SERVICE TO THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
4 SERVING THE AREA AND, WITHIN SIX MONTHS OF THE REQUEST,
5 THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY HAS NOT
6 AGREED TO PROVIDE THE DATA SPEEDS REQUESTED. IF THE LOCAL
7 EXCHANGE TELECOMMUNICATIONS COMPANY AGREES TO PROVIDE THE
8 DATA SPEEDS REQUESTED, THEN IT MUST DO SO WITHIN 18
9 MONTHS OF THE REQUEST.
10 (3) THE PROHIBITION IN PARAGRAPH (2) SHALL NOT BE
11 CONSTRUED TO PRECLUDE THE CONTINUED PROVISION OF ANY
12 MUNICIPALLY PROVIDED TELECOMMUNICATIONS SERVICES OF THE SAME
13 TYPE AND SCOPE AS WERE BEING PROVIDED ON THE EFFECTIVE DATE
14 OF THIS SECTION.
15 (G) ADVANCED SERVICES EDUCATION AND AGGREGATION FUND.--
16 (1) THE ADVANCED SERVICES EDUCATION AND AGGREGATION FUND
17 IS ESTABLISHED AS A SEPARATE FUND IN THE STATE TREASURY AND
18 SHALL BE FUNDED BY THE PAYMENTS THAT MAY BE REQUIRED UNDER
19 SECTION 3015(C) (RELATING TO ALTERNATIVE FORMS OF
20 REGULATION).
21 (2) THE DEPARTMENT SHALL AUTHORIZE EXPENDITURES FROM THE
22 FUND FOR TWO PURPOSES:
23 (I) EDUCATIONAL OUTREACH PROGRAMS FOR POLITICAL
24 SUBDIVISIONS, ECONOMIC DEVELOPMENT ENTITIES, PUBLIC
25 SCHOOLS, HEALTH CARE FACILITIES AND BUSINESSES AND FOR
26 RESIDENTIAL CUSTOMERS CONCERNING THE BENEFITS, USE AND
27 PROCUREMENT OF ADVANCED SERVICES AND BROADBAND
28 TELECOMMUNICATION SERVICES FROM LOCAL EXCHANGE
29 TELECOMMUNICATIONS COMPANIES; AND
30 (II) SEED GRANTS TO AGGREGATE CUSTOMER DEMAND FOR
20030H0030B3021 - 60 -
1 ADVANCED SERVICES OR BROADBAND IN COMMUNITIES WITHOUT
2 SUCH SERVICES AND PERMIT CUSTOMERS IN SUCH COMMUNITIES TO
3 REQUEST SUCH SERVICES UNDER A LOCAL EXCHANGE
4 TELECOMMUNICATIONS COMPANY BONA FIDE RETAIL REQUEST
5 PROGRAM.
6 (3) THE FUND SHALL CONTINUE UNTIL DECEMBER 31, 2015, AT
7 WHICH TIME THE DEPARTMENT SHALL TERMINATE THE FUND AND RETURN
8 THE REMAINING FUNDS ON A PRO RATA BASIS TO THE LOCAL EXCHANGE
9 TELECOMMUNICATIONS COMPANIES THAT CONTRIBUTED TO THE FUND.
10 (H) BALANCED DEPLOYMENT.--A LOCAL EXCHANGE
11 TELECOMMUNICATIONS COMPANY SHALL REASONABLY BALANCE DEPLOYMENT
12 OF ITS BROADBAND NETWORK BETWEEN RURAL, URBAN AND SUBURBAN AREAS
13 WITHIN ITS SERVICE TERRITORY, AS THOSE AREAS ARE APPLICABLE,
14 ACCORDING TO ITS APPROVED NETWORK MODERNIZATION PLAN.
15 (I) IMPACT OF COMPETITION.--NOTWITHSTANDING ANY PROVISION OF
16 THIS SECTION OR ANY NETWORK MODERNIZATION PLAN TO THE CONTRARY,
17 IF ONE OR MORE ALTERNATIVE SERVICE PROVIDERS, EXCLUDING SERVICE
18 PROVIDERS USING SATELLITE-BASED SYSTEMS, HAVE MADE ADVANCED
19 SERVICES OR BROADBAND AVAILABLE AT REASONABLY COMPARABLE DATA
20 SPEEDS THROUGHOUT A PARTICULAR EXCHANGE SERVED BY A RURAL
21 TELECOMMUNICATIONS CARRIER, THE RURAL TELECOMMUNICATIONS
22 CARRIER'S COMMITMENT TO PROVIDE ADVANCED SERVICES AND BROADBAND
23 AVAILABILITY IN THAT EXCHANGE SHALL BE DEEMED MET AND SHALL BE
24 CREDITED TO ITS DEPLOYMENT OBLIGATION. TO OBTAIN SUCH CREDIT,
25 THE RURAL TELECOMMUNICATIONS CARRIER MUST PROVIDE VERIFICATION
26 OF SUCH SERVICE AVAILABILITY TO THE COMMISSION.
27 (J) STUDY OF STATEWIDE EDUCATION NETWORK.--
28 (1) THE LEGISLATIVE BUDGET AND FINANCE COMMITTEE IN
29 CONSULTATION WITH ALL ADVANCED BROADBAND SERVICE PROVIDERS,
30 TELECOMMUNICATIONS CARRIERS AND ALTERNATIVE SERVICE PROVIDERS
20030H0030B3021 - 61 -
1 OPERATING IN THIS COMMONWEALTH, IRRESPECTIVE OF THE
2 TECHNOLOGY USED, AND THE DEPARTMENT OF EDUCATION SHALL
3 PERFORM A FEASIBILITY STUDY ON THE DEVELOPMENT OF A STATEWIDE
4 EDUCATION NETWORK TO PROMOTE THE EFFECTIVE USE OF INFORMATION
5 TECHNOLOGY THAT ENHANCES EDUCATION, PROMOTES COMMUNITY
6 PARTNERSHIPS AND SUPPORTS ECONOMIC GROWTH IN A KNOWLEDGE-
7 BASED SOCIETY. IN CONDUCTING THE STUDY, THE COMMITTEE SHALL
8 CONSIDER COST-BENEFIT ANALYSES ASSOCIATED WITH THE
9 DEVELOPMENT AND IMPLEMENTATION OF A STATEWIDE EDUCATION
10 NETWORK. AT A MINIMUM, THE COMMITTEE SHALL INQUIRE INTO AND
11 MAKE RECOMMENDATIONS WITH RESPECT TO:
12 (I) THE IMPACT ON PUBLIC AND PRIVATE SCHOOLS,
13 VOCATIONAL-TECHNICAL SCHOOLS, INTERMEDIATE UNITS AND
14 INSTITUTIONS OF HIGHER EDUCATION IN THIS COMMONWEALTH
15 THAT WOULD BE LINKED TOGETHER WITH FUNCTIONAL LEVELS OF
16 BROADBAND THROUGHOUT THIS COMMONWEALTH.
17 (II) COMPETITION IN THE TELECOMMUNICATIONS INDUSTRY
18 OF THIS COMMONWEALTH AND THE ABILITY FOR THE PUBLIC AND
19 PRIVATE SCHOOLS, VOCATIONAL-TECHNICAL SCHOOLS,
20 INTERMEDIATE UNITS AND INSTITUTIONS OF HIGHER EDUCATION
21 IN THIS COMMONWEALTH'S NETWORK ON INTERMEDIATE UNITS,
22 SCHOOL DISTRICTS AND INDIVIDUAL SCHOOLS TO PROCURE
23 TELECOMMUNICATIONS SERVICES.
24 (III) THE IMPACT ON LOCAL EXCHANGE
25 TELECOMMUNICATIONS SERVICE PROVIDERS THAT HAVE AMENDED
26 THEIR NETWORK MODERNIZATION PLAN TO ACCELERATE THE
27 DEPLOYMENT OF BROADBAND AND ADVANCED SERVICES AS PROVIDED
28 FOR WITHIN THE PROVISIONS OF THIS CHAPTER.
29 (IV) FUNDING MECHANISMS TO SUPPORT THE DEVELOPMENT
30 AND IMPLEMENTATION OF A STATEWIDE EDUCATION NETWORK AND
20030H0030B3021 - 62 -
1 THE AVAILABILITY OF FEDERAL AND STATE FUNDING ASSISTANCE
2 PROGRAMS TO RURAL SCHOOL DISTRICTS TO PROCURE HIGH-SPEED
3 TELECOMMUNICATIONS SERVICES.
4 (V) A COMPARISON OF THE EFFICIENCY AND EFFECTIVENESS
5 OF STATEWIDE EDUCATION NETWORKS IMPLEMENTED IN OTHER
6 STATES.
7 (2) THE COMMITTEE SHALL SUBMIT A FINAL REPORT WITH
8 RECOMMENDATIONS TO THE GENERAL ASSEMBLY NO LATER THAN MAY 31,
9 2005, AND PUBLISH NOTICE OF THE FINAL REPORT IN THE
10 PENNSYLVANIA BULLETIN WITHIN 30 DAYS OF THE SUBMISSION OF THE
11 FINAL REPORT.
12 (K) INVENTORY OF AVAILABLE SERVICES.--
13 (1) THE DEPARTMENT SHALL COMPILE, PERIODICALLY UPDATE
14 AND PUBLISH, INCLUDING AT ITS WORLD WIDE WEB SITE, A LISTING
15 OF ADVANCED AND BROADBAND SERVICES, BY GENERAL LOCATION,
16 AVAILABLE FROM ALL ADVANCED AND BROADBAND SERVICE PROVIDERS
17 OPERATING IN THIS COMMONWEALTH IRRESPECTIVE OF THE TECHNOLOGY
18 USED.
19 (2) ALL PROVIDERS OF ADVANCED AND BROADBAND SERVICES
20 SHALL COOPERATE WITH THE DEPARTMENT.
21 (3) THE DEPARTMENT MAY NOT DISCLOSE MAPS OR OTHER
22 INFORMATION DESCRIBING THE SPECIFIC LOCATION OF ANY
23 PROVIDER'S FACILITIES.
24 (L) CONSTRUCTION.--NOTHING IN THIS SECTION SHALL BE
25 CONSTRUED:
26 (1) AS GIVING THE COMMISSION THE AUTHORITY TO REQUIRE A
27 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY TO PROVIDE SPECIFIC
28 SERVICES OR TO DEPLOY A SPECIFIC TECHNOLOGY TO RETAIL
29 CUSTOMERS SEEKING BROADBAND OR ADVANCED SERVICES.
30 (2) AS PROHIBITING A LOCAL EXCHANGE TELECOMMUNICATIONS
20030H0030B3021 - 63 -
1 COMPANY FROM PARTICIPATING IN JOINT VENTURES WITH OTHER
2 ENTITIES IN MEETING ITS ADVANCED SERVICES AND BROADBAND
3 DEPLOYMENT COMMITMENTS UNDER ITS NETWORK MODERNIZATION PLAN.
4 § 3015. ALTERNATIVE FORMS OF REGULATION.
5 (A) INFLATION OFFSET.--
6 (1) EXCEPT AS OTHERWISE PROVIDED IN PARAGRAPHS (2) AND
7 (3), A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY WITH AN
8 ALTERNATIVE FORM OF REGULATION CONTAINING A PRICE STABILITY
9 MECHANISM THAT FILES AN AMENDED NETWORK MODERNIZATION PLAN
10 UNDER SECTION 3014(B)(1), (2) OR (3) (RELATING TO NETWORK
11 MODERNIZATION PLANS) SHALL BE SUBJECT TO A MODIFIED INFLATION
12 OFFSET IN ITS PRICE STABILITY MECHANISM IN ADJUSTING ITS
13 RATES FOR NONCOMPETITIVE SERVICES, EFFECTIVE UPON THE FILING
14 OF AN AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION
15 3014(D), AS FOLLOWS:
16 (I) IF A NONRURAL TELECOMMUNICATIONS CARRIER FILES
17 AN AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION
18 3014(B)(3) THAT COMMITS TO DEPLOY 100% BROADBAND
19 AVAILABILITY BY DECEMBER 31, 2013, THEN THE INFLATION
20 OFFSET SHALL BE ZERO.
21 (II) IF A NONRURAL TELECOMMUNICATIONS CARRIER FILES
22 AN AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION
23 3014(B)(3) THAT COMMITS TO DEPLOY 100% BROADBAND
24 AVAILABILITY BY DECEMBER 31, 2015, THEN THE INFLATION
25 OFFSET SHALL BE EQUAL TO 0.5%.
26 (III) IF A RURAL TELECOMMUNICATIONS CARRIER FILES AN
27 AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION
28 3014(B)(1) OR (3), THEN THE INFLATION OFFSET SHALL BE
29 ZERO.
30 (IV) IF A RURAL TELECOMMUNICATIONS CARRIER FILES AN
20030H0030B3021 - 64 -
1 AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION
2 3014(B)(2) THAT COMMITS TO DEPLOY 95% BROADBAND
3 AVAILABILITY BY DECEMBER 31, 2013, THEN THE INFLATION
4 OFFSET SHALL BE EQUAL TO 10% OF THE INFLATION OFFSET
5 CONTAINED IN THE RURAL TELECOMMUNICATIONS CARRIER'S
6 ORIGINAL ALTERNATIVE REGULATION PLAN.
7 (V) IF A RURAL TELECOMMUNICATIONS CARRIER FILES AN
8 AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION
9 3014(B)(2) THAT COMMITS TO DEPLOY 90% BROADBAND
10 AVAILABILITY BY DECEMBER 31, 2012, THEN THE INFLATION
11 OFFSET SHALL BE EQUAL TO 25% OF THE INFLATION OFFSET
12 CONTAINED IN THE RURAL TELECOMMUNICATIONS CARRIER'S
13 ORIGINAL ALTERNATIVE REGULATION PLAN.
14 (VI) IF A RURAL TELECOMMUNICATIONS CARRIER FILES AN
15 AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION
16 3014(B)(2) THAT COMMITS TO DEPLOY 85% BROADBAND
17 AVAILABILITY BY DECEMBER 31, 2011, THEN THE INFLATION
18 OFFSET SHALL BE EQUAL TO 50% OF THE INFLATION OFFSET
19 CONTAINED IN THE RURAL TELECOMMUNICATIONS CARRIER'S
20 ORIGINAL ALTERNATIVE REGULATION PLAN.
21 (VII) IF A RURAL TELECOMMUNICATIONS CARRIER FILES AN
22 AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION
23 3014(B)(2) THAT COMMITS TO DEPLOY 80% OR LESS BROADBAND
24 AVAILABILITY BY DECEMBER 31, 2010, THEN THE INFLATION
25 OFFSET SHALL BE EQUAL TO THE INFLATION OFFSET CONTAINED
26 IN THE RURAL TELECOMMUNICATIONS CARRIER'S ORIGINAL
27 ALTERNATIVE REGULATION PLAN.
28 IN THE EVENT THAT A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
29 IS FOUND BY THE COMMISSION, AFTER NOTICE AND EVIDENTIARY
30 HEARINGS, TO HAVE FAILED TO MEET ITS NETWORK COMMITMENT FOR
20030H0030B3021 - 65 -
1 FINAL BROADBAND AVAILABILITY, THEN THE COMMISSION SHALL
2 REQUIRE THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY TO
3 REFUND TO CUSTOMERS IN ITS NEXT PRICE STABILITY FILING AN
4 AMOUNT THAT IS JUST AND REASONABLE UNDER THE CIRCUMSTANCES,
5 BUT NOT TO EXCEED A REVENUE AMOUNT DETERMINED BY MULTIPLYING
6 THE PERCENTAGE SHORTFALL OF THE BROADBAND AVAILABILITY
7 COMMITMENT ON AN ACCESS LINE BASIS TIMES THE REVENUE THAT WAS
8 OBTAINED AS A RESULT OF THE MODIFIED INFLATION OFFSET
9 PROVIDED IN THIS SECTION PLUS INTEREST CALCULATED UNDER
10 SECTION 1308(D) (RELATING TO VOLUNTARY CHANGES IN RATES).
11 (2) EACH PROTECTED SERVICE OF A NONRURAL
12 TELECOMMUNICATIONS CARRIER SHALL BE SUBJECT TO AN INFLATION
13 OFFSET AND THAT NO RATE ADJUSTMENT FOR ANY SUCH PROTECTED
14 SERVICE SHALL EXCEED THE INFLATION OFFSET.
15 (3) THROUGH DECEMBER 31, 2015:
16 (I) IN ANY YEAR IN WHICH REVENUE-NEUTRAL RATE
17 CHANGES ARE ORDERED BY THE COMMISSION FOR A NONRURAL
18 TELECOMMUNICATIONS CARRIER, ANY INCREASE IN RESIDENTIAL
19 AND SMALL BUSINESS PROTECTED SERVICE RATES UNDER THAT
20 CARRIER'S PRICE STABILITY MECHANISM IN THAT YEAR SHALL BE
21 OFFSET AGAINST ANY REVENUE-NEUTRAL RATE INCREASE FOR
22 THOSE SERVICES.
23 (II) (A) A RURAL TELECOMMUNICATIONS CARRIER MAY NOT
24 SEPARATELY PROPOSE, AS PART OF A RATE REBALANCING
25 FILING, TO INCREASE THE RATES FOR RESIDENTIAL OR
26 SMALL BUSINESS LOCAL EXCHANGE TELECOMMUNICATIONS
27 SERVICE IN THE SAME CALENDAR YEAR AS RATES FOR
28 RESIDENTIAL OR SMALL BUSINESS LOCAL EXCHANGE
29 TELECOMMUNICATIONS SERVICE ARE INCREASED UNDER THE
30 ANNUAL PRICE STABILITY INDEX, WHERE THE RATE
20030H0030B3021 - 66 -
1 REBALANCING PROPOSAL IS NOT SUBMITTED TO THE
2 COMMISSION AS PART OF THE ANNUAL PRICE STABILITY
3 MECHANISM FILING. ANY CAP CONTAINED IN THE RATE
4 REBALANCING SECTION OF A RURAL TELECOMMUNICATIONS
5 CARRIER'S EXISTING ALTERNATIVE FORM OF REGULATION
6 PLAN THAT RESTRICTS THE LEVEL OF ANNUAL RATE
7 INCREASES TO A LOCAL EXCHANGE TELECOMMUNICATIONS
8 SERVICE SHALL ALSO BE APPLIED TO LIMIT ANY RATE
9 INCREASE THAT OCCURS AS A RESULT OF ELIMINATION OF
10 THE OFFSET.
11 (B) THESE LIMITATIONS SHALL NOT APPLY WHERE
12 RATES ARE CHANGED AS A RESULT OF A GENERIC
13 INVESTIGATION OR WHEN THE REBALANCING DOES NOT
14 INCREASE THE WEIGHTED AVERAGE RATES RESPECTIVELY OF
15 RESIDENTIAL AND SMALL BUSINESS LOCAL EXCHANGE
16 TELECOMMUNICATIONS SERVICE.
17 (B) RATE CHANGES FOR RURAL TELECOMMUNICATIONS CARRIERS.--
18 (1) IN ADDITION TO THE RATE CHANGE PROVISIONS IN ITS
19 ALTERNATIVE FORM OF REGULATION PLAN, A RURAL
20 TELECOMMUNICATIONS CARRIER OPERATING WITHOUT A PRICE
21 STABILITY MECHANISM THAT FILES WITH THE COMMISSION AN AMENDED
22 NETWORK MODERNIZATION PLAN UNDER SECTION 3014(B)(1), (2) OR
23 (3) SHALL BE PERMITTED AT ANY TIME TO FILE WITH THE
24 COMMISSION PROPOSED TARIFF CHANGES, EFFECTIVE 45 DAYS AFTER
25 FILING, SETTING FORTH MISCELLANEOUS CHANGES, INCLUDING
26 INCREASES AND DECREASES, IN RATES FOR NONCOMPETITIVE
27 SERVICES, EXCLUDING BASIC RESIDENTIAL AND BUSINESS RATES,
28 PROVIDED SUCH RATE CHANGES DO NOT INCREASE THE RURAL
29 TELECOMMUNICATIONS CARRIER'S ANNUAL INTRASTATE REVENUES BY
30 MORE THAN 2%.
20030H0030B3021 - 67 -
1 (2) THE COMMISSION TARIFF FILING REQUIREMENTS AND REVIEW
2 ASSOCIATED WITH SUCH PROPOSED RATE CHANGES SHALL BE LIMITED
3 TO SCHEDULES SUBMITTED BY THE RURAL TELECOMMUNICATIONS
4 CARRIER DETAILING THE IMPACT OF THE RATE CHANGES ON THE
5 CARRIER'S ANNUAL INTRASTATE REVENUES.
6 (3) A RURAL TELECOMMUNICATIONS CARRIER THAT IMPLEMENTS
7 NONCOMPETITIVE RATE CHANGES CONSISTENT WITH THE PROCEDURE SET
8 FORTH IN ITS ALTERNATIVE FORM OF REGULATION PLAN SHALL BE
9 REQUIRED ONLY TO FILE SUCH FINANCIAL AND COST DATA WITH THE
10 COMMISSION TO JUSTIFY SUCH CHANGES AS IS REQUIRED UNDER ITS
11 COMMISSION-APPROVED ALTERNATIVE FORM OF REGULATION PLAN.
12 (4) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (1), (2)
13 OR (3), FOR ANY RURAL TELECOMMUNICATIONS CARRIER SERVING LESS
14 THAN 50,000 ACCESS LINES IN THIS COMMONWEALTH AND OPERATING
15 UNDER AN ALTERNATIVE FORM OF REGULATION PLAN, A FORMAL
16 COMPLAINT TO DENY RATE CHANGES FOR NONCOMPETITIVE SERVICES,
17 UNLESS SIGNED BY AT LEAST 20 CUSTOMERS OF THE RURAL
18 TELECOMMUNICATIONS CARRIER, SHALL NOT PREVENT IMPLEMENTATION
19 OF THE RATE CHANGES PENDING THE ADJUDICATION OF THE FORMAL
20 COMPLAINT BY THE COMMISSION.
21 (C) PAYMENTS TO FUND.--
22 (1) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY THAT
23 FILES AN AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION
24 3014(B)(2) OR (3) MAY BE REQUIRED BY THE DEPARTMENT TO
25 CONTRIBUTE UP TO, BUT NO MORE THAN, 10% OF THE FIRST YEAR'S
26 ANNUAL REVENUE EFFECT:
27 (I) OF ANY RATE INCREASES PERMITTED BY THE
28 ELIMINATION OF THE OFFSET UNDER SUBSECTION (A); OR
29 (II) IF THE LOCAL EXCHANGE TELECOMMUNICATIONS
30 COMPANY IS OPERATING WITHOUT A PRICE STABILITY MECHANISM,
20030H0030B3021 - 68 -
1 OF ANY RATE INCREASES UNDER SUBSECTION (B)(1), TO THE
2 FUND ESTABLISHED UNDER SECTION 3014(G).
3 (2) THE CONTRIBUTION SHALL BE PAYABLE IN EQUAL QUARTERLY
4 INSTALLMENTS AND CALCULATED ON PROJECTED INCREASED REVENUES
5 FOR THE FIRST YEAR OF THE RATE CHANGE. THE CONTRIBUTIONS
6 SHALL ALSO BE MADE IN CONNECTION WITH EACH SUBSEQUENT
7 NONCOMPETITIVE SERVICE RATE INCREASE UNTIL THE LOCAL EXCHANGE
8 TELECOMMUNICATIONS COMPANY FULFILLS THE HIGHER PERCENTAGE
9 DEPLOYMENT OBLIGATION SET FORTH IN ITS AMENDED NETWORK
10 MODERNIZATION PLAN.
11 (3) IN NO EVENT SHALL THE FUND EXCEED $5,000,000 AND, IN
12 THE EVENT OF SUCH OVERFUNDING, THE DEPARTMENT SHALL CREDIT
13 THE OVERCOLLECTION TO THE NEXT YEAR'S CONTRIBUTION AMOUNT.
14 (4) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY THAT
15 ELECTS TO AMEND ITS NETWORK MODERNIZATION PLAN PURSUANT TO
16 SECTION 3014(B)(1) SHALL NOT BE REQUIRED TO CONTRIBUTE TO THE
17 FUND.
18 (D) GENERAL FILING REQUIREMENTS.--FOR A LOCAL EXCHANGE
19 TELECOMMUNICATIONS COMPANY THAT FILES AN AMENDED NETWORK
20 MODERNIZATION PLAN UNDER SECTION 3014(B)(1), (2) OR (3), THE
21 COMMISSION'S FILING AND AUDIT REQUIREMENTS SHALL BE LIMITED TO
22 THE FOLLOWING SUBMISSIONS BY THE COMPANY:
23 (1) NETWORK MODERNIZATION PLAN REPORTS FILED PURSUANT TO
24 SECTION 3014(E).
25 (2) AN ANNUAL FINANCIAL REPORT CONSISTING OF A BALANCE
26 SHEET AND INCOME STATEMENT.
27 (3) AN ANNUAL DEAF, SPEECH-IMPAIRED AND HEARING-IMPAIRED
28 RELAY INFORMATION REPORT.
29 (4) AN ANNUAL SERVICE REPORT.
30 (5) UNIVERSAL SERVICE REPORTS.
20030H0030B3021 - 69 -
1 (6) AN ANNUAL ACCESS LINE REPORT.
2 (7) AN ANNUAL STATEMENT OF GROSS INTRASTATE OPERATING
3 REVENUES FOR PURPOSES OF CALCULATING ASSESSMENTS FOR
4 REGULATORY EXPENSES.
5 (8) AN ANNUAL STATE TAX ADJUSTMENT COMPUTATION FOR YEARS
6 IN WHICH A TAX CHANGE HAS OCCURRED, IF APPLICABLE.
7 (9) FOR THOSE COMPANIES WITH A BONA FIDE RETAIL REQUEST
8 PROGRAM, A BONA FIDE RETAIL REQUEST REPORT UNDER SECTION
9 3014(C)(6).
10 THESE REPORTS SHALL BE SUBMITTED IN THE FORM DETERMINED BY THE
11 COMMISSION.
12 (E) OTHER REPORTS.--
13 (1) NOTWITHSTANDING ANY OTHER PROVISION OF THIS TITLE TO
14 THE CONTRARY, NO REPORT, STATEMENT, FILING OR OTHER DOCUMENT
15 OR INFORMATION, EXCEPT AS SPECIFIED IN SUBSECTION (D), SHALL
16 BE REQUIRED OF ANY LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
17 UNLESS THE COMMISSION, UPON NOTICE TO THE AFFECTED LOCAL
18 EXCHANGE TELECOMMUNICATIONS COMPANY AND AN OPPORTUNITY TO BE
19 HEARD, HAS FIRST MADE SPECIFIC WRITTEN FINDINGS SUPPORTING
20 CONCLUSIONS IN AN ENTERED ORDER THAT:
21 (I) THE REPORT IS NECESSARY TO ENSURE THAT THE LOCAL
22 EXCHANGE TELECOMMUNICATIONS COMPANY IS CHARGING RATES
23 THAT ARE IN COMPLIANCE WITH THIS CHAPTER AND ITS
24 EFFECTIVE ALTERNATIVE FORM OF REGULATION.
25 (II) THE BENEFITS OF THE REPORT SUBSTANTIALLY
26 OUTWEIGH THE ATTENDANT EXPENSE AND ADMINISTRATIVE TIME
27 AND EFFORT REQUIRED OF THE LOCAL EXCHANGE
28 TELECOMMUNICATIONS COMPANY TO PREPARE IT.
29 (2) NOTHING IN THIS SUBSECTION SHALL BE CONSTRUED TO
30 IMPEDE THE ABILITY OF THE COMMISSION TO REQUIRE THE
20030H0030B3021 - 70 -
1 SUBMISSION OF FURTHER INFORMATION TO SUPPORT THE ACCURACY OF
2 OR TO SEEK AN EXPLANATION OF THE REPORTS SPECIFIED IN
3 SUBSECTION (D).
4 (F) RATE CHANGE LIMITATIONS.--NOTHING IN THIS CHAPTER SHALL
5 BE CONSTRUED TO LIMIT THE REQUIREMENT OF SECTION 1301 (RELATING
6 TO RATES TO BE JUST AND REASONABLE) THAT RATES SHALL BE JUST AND
7 REASONABLE. THE ANNUAL RATE CHANGE LIMITATIONS SET FORTH IN A
8 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY'S EFFECTIVE
9 COMMISSION-APPROVED ALTERNATIVE FORM OF REGULATION PLAN OR ANY
10 OTHER COMMISSION-APPROVED ANNUAL RATE CHANGE LIMITATION SHALL
11 REMAIN APPLICABLE.
12 (G) SMALL BUSINESS CUSTOMERS.--LOCAL EXCHANGE
13 TELECOMMUNICATIONS COMPANIES OPERATING UNDER AN ALTERNATIVE FORM
14 OF REGULATION PLAN WITH SMALL BUSINESS CUSTOMERS DEFINED AS
15 "THREE LINES OR LESS" SHALL AMEND SUCH DEFINITION TO "FOUR OR
16 FEWER LINES."
17 (H) CONFORMANCE OF PLAN.--UPON THE FILING BY A LOCAL
18 EXCHANGE TELECOMMUNICATIONS COMPANY OF NETWORK MODERNIZATION
19 PLAN AMENDMENTS PURSUANT TO SECTION 3014(D), THE LOCAL EXCHANGE
20 TELECOMMUNICATIONS COMPANY'S ALTERNATIVE FORM OF REGULATION PLAN
21 SHALL BE DEEMED AMENDED CONSISTENT WITH THIS SECTION.
22 § 3016. COMPETITIVE SERVICES.
23 (A) DECLARATION OF SERVICES AS COMPETITIVE.--A SERVICE OR
24 BUSINESS ACTIVITY PROVIDED BY A LOCAL EXCHANGE
25 TELECOMMUNICATIONS COMPANY, INCLUDING A PROTECTED SERVICE, NOT
26 PREVIOUSLY DECLARED BY THE COMMISSION AS COMPETITIVE MAY BE
27 DECLARED COMPETITIVE BY THE COMMISSION UNDER THE FOLLOWING
28 PROVISIONS:
29 (1) THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY MAY
30 PETITION THE COMMISSION FOR A DETERMINATION OF WHETHER A
20030H0030B3021 - 71 -
1 SERVICE IS COMPETITIVE. THE COMMISSION SHALL ENTER AN ORDER
2 APPROVING OR DISAPPROVING THE PETITION WITHIN 60 DAYS OF THE
3 FILING DATE OR 90 DAYS WHERE A PROTEST IS TIMELY FILED, OR
4 THE PETITION SHALL BE DEEMED APPROVED. IN MAKING THE
5 DETERMINATION, THE COMMISSION SHALL CONSIDER ALL RELEVANT
6 INFORMATION SUBMITTED TO IT.
7 (2) SIMULTANEOUSLY WITH THE FILING BY THE LOCAL EXCHANGE
8 TELECOMMUNICATIONS COMPANY OF A PETITION WITH THE COMMISSION
9 FOR A DECLARATION OF A SERVICE AS COMPETITIVE, THE LOCAL
10 EXCHANGE TELECOMMUNICATIONS COMPANY SHALL SERVE A COPY OF THE
11 PETITION ON THE OFFICE OF CONSUMER ADVOCATE AND THE OFFICE OF
12 SMALL BUSINESS ADVOCATE AND GIVE NOTICE TO THE PUBLIC OF THE
13 FILING OF ITS PETITION IN A NEWSPAPER OR NEWSPAPERS OF
14 GENERAL CIRCULATION IN THE COMPANY'S SERVICE TERRITORY.
15 (3) IN A PROCEEDING TO DECLARE A SERVICE COMPETITIVE,
16 THE COMMISSION SHALL CONSIDER THE AVAILABILITY OF LIKE OR
17 SUBSTITUTE SERVICES OR OTHER BUSINESS ACTIVITIES IN THE
18 RELEVANT GEOGRAPHIC AREA.
19 (4) THE BURDEN OF PROVING THAT A PROTECTED SERVICE IS
20 COMPETITIVE RESTS ON THE PARTY SEEKING TO HAVE THE SERVICE
21 DECLARED COMPETITIVE. HEARINGS SHALL NOT BE REQUIRED, UNLESS
22 A PROTESTING PARTY HAS RAISED RELEVANT AND MATERIAL FACTUAL
23 ISSUES.
24 (B) OPTIONAL DECLARATION OF NONPROTECTED SERVICES AS
25 COMPETITIVE.--NOTWITHSTANDING THE PROVISIONS OF SUBSECTION (A),
26 A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY THAT HAS FILED AN
27 AMENDED NETWORK MODERNIZATION PLAN PURSUANT TO SECTION
28 3014(B)(1), (2) OR (3) (RELATING TO NETWORK MODERNIZATION
29 PLANS), AT ITS OPTION, MAY DECLARE SERVICES WHICH ARE NOT
30 PROTECTED AS COMPETITIVE BY FILING NOTICE OF ITS ELECTION OF
20030H0030B3021 - 72 -
1 THIS OPTION WITH THE COMMISSION.
2 (C) RURAL EXCHANGE SPECIFIC PRICING.--
3 (1) WHEN AN ALTERNATIVE SERVICE PROVIDER IS PROVIDING
4 LOCAL EXCHANGE TELECOMMUNICATIONS SERVICES WITHIN AN EXCHANGE
5 OF A RURAL TELECOMMUNICATIONS CARRIER THAT HAS FILED AN
6 AMENDED NETWORK MODERNIZATION PLAN UNDER SECTION 3014(B)(1),
7 (2) OR (3), THE RURAL TELECOMMUNICATIONS CARRIER MAY PETITION
8 THE COMMISSION FOR APPROVAL TO BEGIN PRICING ITS SERVICES IN
9 THE EXCHANGE AT ITS DISCRETION.
10 (2) THE COMMISSION, FOLLOWING PUBLIC NOTICE, SHALL
11 APPROVE THE PETITION WITHIN 60 DAYS IF SHOWN BY THE RURAL
12 TELECOMMUNICATIONS CARRIER THAT THE ALTERNATIVE SERVICE
13 PROVIDER IS PROVIDING LOCAL EXCHANGE TELECOMMUNICATIONS
14 SERVICES IN THE EXCHANGE.
15 (3) ANY PARTY WITH STANDING SHALL HAVE THE RIGHT TO
16 CHALLENGE THE LAWFULNESS OF ANY PETITION FILED OR OF ANY RATE
17 CHANGE PURSUANT TO SECTION 701 (RELATING TO COMPLAINTS).
18 (4) FOLLOWING APPROVAL OF A PETITION, THE RURAL
19 TELECOMMUNICATIONS CARRIER SHALL TARIFF ANY CHANGES IN
20 NONCOMPETITIVE RATES EFFECTIVE ONE DAY AFTER FILING.
21 (5) THE RURAL TELECOMMUNICATIONS CARRIER SHALL GIVE
22 NOTICE TO ALL CUSTOMERS IMPACTED BY ANY RATE INCREASES IN THE
23 FORM OF A BILL INSERT, BILL MESSAGE, WRITTEN NOTICE OR
24 NEWSPAPER NOTICE AT LEAST TEN DAYS PRIOR TO THE TARIFF
25 FILING.
26 (D) RECLASSIFICATION.--
27 (1) THE COMMISSION MAY RECLASSIFY A TELECOMMUNICATIONS
28 SERVICE OR OTHER SERVICE OR BUSINESS ACTIVITY THAT HAS
29 PREVIOUSLY BEEN FOUND TO BE COMPETITIVE IF, AFTER NOTICE AND
30 HEARING, IT DETERMINES, UPON APPLICATION OF THE CRITERIA SET
20030H0030B3021 - 73 -
1 FORTH IN THIS CHAPTER, THAT:
2 (I) SUFFICIENT COMPETITION IS NO LONGER PRESENT;
3 (II) THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
4 HAS ENGAGED IN UNFAIR COMPETITION WITH RESPECT TO THE
5 SERVICE; OR
6 (III) THE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY
7 HAS FAILED TO PROVIDE NONDISCRIMINATORY ACCESS IN THE
8 PROVISION OF THE SERVICE.
9 (2) IF THE COMMISSION FINDS THAT A RECLASSIFICATION IS
10 NECESSARY, THE COMMISSION SHALL DETERMINE WHETHER THE RATE
11 FOR THE TELECOMMUNICATIONS SERVICE OR OTHER SERVICE OR
12 BUSINESS ACTIVITY IS JUST AND REASONABLE IN ACCORDANCE WITH
13 SECTION 1301 (RELATING TO RATES TO BE JUST AND REASONABLE).
14 (3) IF THE TELECOMMUNICATIONS SERVICE OR OTHER SERVICE
15 OR BUSINESS ACTIVITY SUBSEQUENTLY BECOMES COMPETITIVE, THE
16 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY SHALL PETITION THE
17 COMMISSION TO MAKE A DETERMINATION OF COMPETITIVENESS FOR THE
18 SERVICE UNDER THE PROVISIONS OF THIS CHAPTER.
19 (4) THE BURDEN OF PROVING THAT A COMPETITIVE SERVICE
20 SHOULD BE DECLARED NONCOMPETITIVE RESTS ON THE PARTY SEEKING
21 TO HAVE THE SERVICE DECLARED NONCOMPETITIVE.
22 (E) ADDITIONAL REQUIREMENTS.--
23 (1) THE PRICES WHICH A LOCAL EXCHANGE TELECOMMUNICATIONS
24 COMPANY CHARGES FOR COMPETITIVE SERVICES SHALL NOT BE LESS
25 THAN THE COSTS TO PROVIDE THE SERVICES.
26 (2) THE COMMISSION MAY NOT REQUIRE TARIFFS FOR
27 COMPETITIVE SERVICE OFFERINGS TO BE FILED WITH THE
28 COMMISSION.
29 (3) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY, AT ITS
30 OPTION, MAY TARIFF ITS RATES, SUBJECT TO RULES AND
20030H0030B3021 - 74 -
1 REGULATIONS APPLICABLE TO THE PROVISION OF COMPETITIVE
2 SERVICES.
3 (4) THE COMMISSION MAY REQUIRE A LOCAL EXCHANGE
4 TELECOMMUNICATIONS COMPANY TO MAINTAIN PRICE LISTS WITH THE
5 COMMISSION APPLICABLE TO ITS COMPETITIVE SERVICES.
6 (F) PRICING FLEXIBILITY AND BUNDLING.--
7 (1) SUBJECT TO THE REQUIREMENTS OF SUBSECTION (E)(1), A
8 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY MAY PRICE
9 COMPETITIVE SERVICES AT THE COMPANY'S DISCRETION.
10 (2) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY MAY
11 OFFER AND BILL TO CUSTOMERS ON ONE BILL BUNDLED PACKAGES OF
12 SERVICES WHICH INCLUDE NONTARIFFED, COMPETITIVE,
13 NONCOMPETITIVE OR PROTECTED SERVICES, INCLUDING SERVICES OF
14 AN AFFILIATE, IN COMBINATIONS AND AT A SINGLE PRICE SELECTED
15 BY THE COMPANY.
16 (3) IF A CUSTOMER SUBSCRIBES TO A BUNDLED PACKAGE OF
17 SERVICES WHICH INCLUDE NONTARIFFED, COMPETITIVE,
18 NONCOMPETITIVE OR PROTECTED SERVICES AS PROVIDED IN PARAGRAPH
19 (2) AND DOES NOT MAKE PAYMENT ON A BILLING DUE DATE, THE
20 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY MAY FIRST SUSPEND
21 ALL OF THE CUSTOMER'S SERVICES SUBSCRIBED TO IN THE BUNDLED
22 PACKAGE FOLLOWING WRITTEN NOTICE TO THE CUSTOMER OF SUCH
23 SUSPENSION AT LEAST SEVEN DAYS PRIOR TO THE SUSPENSION AND
24 THEREAFTER MAY TERMINATE ALL THE CUSTOMER'S BUNDLED PACKAGE
25 SERVICES FOLLOWING WRITTEN NOTICE TO THE CUSTOMER OF SUCH
26 TERMINATION AT LEAST TEN DAYS PRIOR TO THE TERMINATION.
27 (G) PROHIBITIONS.--
28 (1) A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY SHALL BE
29 PROHIBITED FROM USING REVENUES EARNED OR EXPENSES INCURRED IN
30 CONJUNCTION WITH PROTECTED SERVICES TO SUBSIDIZE COMPETITIVE
20030H0030B3021 - 75 -
1 SERVICES.
2 (2) PARAGRAPH (1) SHALL NOT BE CONSTRUED TO PREVENT THE
3 MARKETING AND BILLING OF NONCOMPETITIVE AND COMPETITIVE
4 SERVICES AS PACKAGES TO CUSTOMERS.
5 § 3017. ACCESS CHARGES.
6 (A) GENERAL RULE.--THE COMMISSION MAY NOT REQUIRE A LOCAL
7 EXCHANGE TELECOMMUNICATIONS COMPANY TO REDUCE ACCESS RATES
8 EXCEPT ON A REVENUE-NEUTRAL BASIS AND MAY NOT ORDER DECREASES IN
9 ACCESS RATES FOR A NONRURAL TELECOMMUNICATIONS CARRIER MORE THAN
10 ONCE EVERY TWO YEARS.
11 (B) REFUSAL TO PAY ACCESS CHARGES PROHIBITED.--NO PERSON OR
12 ENTITY MAY REFUSE TO PAY TARIFFED ACCESS CHARGES FOR
13 INTEREXCHANGE SERVICES PROVIDED BY A LOCAL EXCHANGE
14 TELECOMMUNICATIONS COMPANY.
15 (C) LIMITATION.--NO TELECOMMUNICATIONS CARRIER PROVIDING
16 COMPETITIVE LOCAL EXCHANGE TELECOMMUNICATIONS SERVICE MAY CHARGE
17 ACCESS RATES HIGHER THAN THOSE CHARGED BY THE INCUMBENT LOCAL
18 EXCHANGE TELECOMMUNICATIONS COMPANY IN THE SAME SERVICE
19 TERRITORY, UNLESS SUCH CARRIER CAN DEMONSTRATE, BY SUBSTANTIAL
20 EVIDENCE, THAT THE HIGHER ACCESS RATES ARE COST JUSTIFIED.
21 § 3018. INTEREXCHANGE TELECOMMUNICATIONS CARRIERS.
22 (A) COMPETITIVE AND NONCOMPETITIVE SERVICES.--INTEREXCHANGE
23 SERVICES PROVIDED BY INTEREXCHANGE TELECOMMUNICATIONS CARRIERS
24 SHALL CONTINUE TO BE COMPETITIVE SERVICES AFTER DECEMBER 31,
25 2003, EXCEPT FOR THE PROVISION OF THE FOLLOWING INTEREXCHANGE
26 SERVICES WHICH SHALL BE NONCOMPETITIVE SERVICES UNLESS DECLARED
27 OTHERWISE BY THE COMMISSION PURSUANT TO SECTION 3016 (RELATING
28 TO COMPETITIVE SERVICES):
29 (1) INTEREXCHANGE SERVICE TO AGGREGATOR TELEPHONES.
30 (2) OPTIONAL CALLING PLANS REQUIRED BY THE COMMISSION TO
20030H0030B3021 - 76 -
1 BE OFFERED WHEN JUSTIFIED BY USAGE OVER AN INTEREXCHANGE
2 ROUTE.
3 (B) RATE REGULATION.--
4 (1) THE COMMISSION MAY NOT FIX OR PRESCRIBE THE RATES,
5 TOLLS, CHARGES, RATE STRUCTURES, RATE BASE, RATE OF RETURN,
6 OPERATING MARGIN OR EARNINGS FOR INTEREXCHANGE COMPETITIVE
7 SERVICES OR OTHERWISE REGULATE INTEREXCHANGE COMPETITIVE
8 SERVICES EXCEPT AS SET FORTH IN THIS CHAPTER.
9 (2) AN INTEREXCHANGE TELECOMMUNICATIONS CARRIER MAY FILE
10 AND MAINTAIN TARIFFS OR PRICE LISTS WITH THE COMMISSION FOR
11 COMPETITIVE TELECOMMUNICATIONS SERVICES.
12 (3) NOTHING IN THIS CHAPTER SHALL BE CONSTRUED TO LIMIT
13 THE AUTHORITY OF THE COMMISSION TO REGULATE THE PRIVACY OF
14 INTEREXCHANGE SERVICE AND THE ORDERING, INSTALLATION,
15 RESTORATION AND DISCONNECTION OF INTEREXCHANGE SERVICE TO
16 CUSTOMERS.
17 (C) RECLASSIFICATION.--THE COMMISSION MAY RECLASSIFY
18 TELECOMMUNICATIONS SERVICES PROVIDED BY AN INTEREXCHANGE
19 TELECOMMUNICATIONS CARRIER AS NONCOMPETITIVE IF, AFTER NOTICE
20 AND HEARING, IT DETERMINES, UPON APPLICATION OF THE CRITERIA SET
21 FORTH IN THIS CHAPTER, THAT SUFFICIENT COMPETITION IS NO LONGER
22 PRESENT.
23 (D) CONSTRUCTION.--NOTHING IN THIS CHAPTER SHALL BE
24 CONSTRUED:
25 (1) TO LIMIT THE AUTHORITY OF THE COMMISSION TO RESOLVE
26 COMPLAINTS REGARDING THE QUALITY OF INTEREXCHANGE
27 TELECOMMUNICATIONS CARRIER SERVICE.
28 (2) TO LIMIT THE AUTHORITY OF THE COMMISSION TO
29 DETERMINE WHETHER AN INTEREXCHANGE TELECOMMUNICATIONS CARRIER
30 SHOULD BE EXTENDED THE PRIVILEGE OF OPERATING WITHIN THIS
20030H0030B3021 - 77 -
1 COMMONWEALTH OR TO ORDER THE FILING OF SUCH REPORTS,
2 DOCUMENTS AND INFORMATION AS MAY BE NECESSARY TO MONITOR THE
3 MARKET FOR AND COMPETITIVENESS OF INTEREXCHANGE
4 TELECOMMUNICATIONS SERVICES.
5 § 3019. ADDITIONAL POWERS AND DUTIES.
6 (A) GENERAL RULE.--THE COMMISSION MAY CERTIFY MORE THAN ONE
7 TELECOMMUNICATIONS CARRIER TO PROVIDE LOCAL EXCHANGE
8 TELECOMMUNICATIONS SERVICE IN A SPECIFIC GEOGRAPHIC LOCATION.
9 THE CERTIFICATION SHALL BE GRANTED UPON A SHOWING THAT IT IS IN
10 THE PUBLIC INTEREST AND THAT THE APPLICANT POSSESSES SUFFICIENT
11 TECHNICAL, FINANCIAL AND MANAGERIAL RESOURCES.
12 (B) POWERS AND DUTIES RETAINED.--THE COMMISSION SHALL RETAIN
13 THE FOLLOWING POWERS AND DUTIES RELATING TO THE REGULATION OF
14 ALL TELECOMMUNICATIONS CARRIERS AND INTEREXCHANGE
15 TELECOMMUNICATIONS CARRIERS:
16 (1) TO AUDIT THE ACCOUNTING AND REPORTING SYSTEMS OF
17 TELECOMMUNICATIONS CARRIERS RELATING TO THEIR TRANSACTIONS
18 WITH AFFILIATES PURSUANT TO CHAPTER 21 (RELATING TO RELATIONS
19 WITH AFFILIATED INTERESTS). A TELECOMMUNICATIONS CARRIER
20 SHALL FILE AFFILIATED INTEREST AND AFFILIATED TRANSACTION
21 AGREEMENTS, UNLESS SUCH AGREEMENTS INVOLVE SERVICES DECLARED
22 TO BE COMPETITIVE. THE FILINGS SHALL CONSTITUTE NOTICE TO THE
23 COMMISSION ONLY AND SHALL NOT REQUIRE APPROVAL BY THE
24 COMMISSION.
25 (2) TO REVIEW AND REVISE QUALITY OF SERVICE STANDARDS
26 CONTAINED IN 52 PA. CODE (RELATING TO PUBLIC UTILITIES) THAT
27 ADDRESS THE SAFETY, ADEQUACY, RELIABILITY AND PRIVACY OF
28 TELECOMMUNICATIONS SERVICES AND THE ORDERING, INSTALLATION,
29 SUSPENSION, TERMINATION AND RESTORATION OF ANY
30 TELECOMMUNICATIONS SERVICE. ANY REVIEW OR REVISION SHALL TAKE
20030H0030B3021 - 78 -
1 INTO CONSIDERATION THE EMERGENCE OF NEW INDUSTRY
2 PARTICIPANTS, TECHNOLOGICAL ADVANCEMENTS, SERVICE STANDARDS
3 AND CONSUMER DEMAND.
4 (3) SUBJECT TO THE PROVISIONS OF SECTION 3015(D)
5 (RELATING TO ALTERNATIVE FORMS OF REGULATION), TO ESTABLISH
6 SUCH ADDITIONAL REQUIREMENTS AS ARE CONSISTENT WITH THIS
7 CHAPTER AS THE COMMISSION DETERMINES TO BE NECESSARY TO
8 ENSURE THE PROTECTION OF CUSTOMERS.
9 (4) CONDITION THE SALE, MERGER OR ACQUISITION OF A LOCAL
10 EXCHANGE TELECOMMUNICATIONS COMPANY OR ANY FACILITIES USED TO
11 PROVIDE TELECOMMUNICATIONS SERVICES TO ENSURE THAT THERE IS
12 NO REDUCTION IN THE ADVANCED SERVICE OR BROADBAND DEPLOYMENT
13 OBLIGATIONS FOR THE SOLD, MERGED OR ACQUIRED PROPERTY.
14 (C) PRIVACY OF CUSTOMER INFORMATION.--
15 (1) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBSECTION, A
16 TELECOMMUNICATIONS CARRIER MAY NOT DISCLOSE TO ANY PERSON
17 INFORMATION RELATING TO ANY CUSTOMER'S PATTERNS OF USE,
18 EQUIPMENT AND NETWORK INFORMATION AND ANY ACCUMULATED RECORDS
19 ABOUT CUSTOMERS.
20 (2) A TELECOMMUNICATIONS CARRIER MAY DISCLOSE SUCH
21 INFORMATION:
22 (I) PURSUANT TO A COURT ORDER OR WHERE OTHERWISE
23 REQUIRED BY LAW.
24 (II) TO THE CARRIER'S AFFILIATES, AGENTS,
25 CONTRACTORS OR VENDORS AND OTHER TELECOMMUNICATIONS
26 CARRIERS OR INTEREXCHANGE TELECOMMUNICATIONS CARRIERS, AS
27 PERMITTED BY LAW.
28 (III) WHERE THE INFORMATION CONSISTS OF AGGREGATE
29 DATA WHICH DOES NOT IDENTIFY INDIVIDUAL CUSTOMERS.
30 (D) UNREASONABLE PREFERENCES.--NOTHING IN THIS CHAPTER SHALL
20030H0030B3021 - 79 -
1 BE CONSTRUED TO LIMIT THE AUTHORITY OF THE COMMISSION TO ENSURE
2 THAT LOCAL EXCHANGE TELECOMMUNICATIONS COMPANIES DO NOT MAKE OR
3 IMPOSE UNREASONABLE PREFERENCES, DISCRIMINATIONS OR
4 CLASSIFICATIONS FOR PROTECTED SERVICES AND OTHER NONCOMPETITIVE
5 SERVICES.
6 (E) LIFELINE SERVICE.--
7 (1) ALL ELIGIBLE TELECOMMUNICATIONS CARRIERS
8 CERTIFICATED TO PROVIDE LOCAL EXCHANGE TELECOMMUNICATIONS
9 SERVICE SHALL PROVIDE LIFELINE SERVICE TO ALL ELIGIBLE
10 TELECOMMUNICATIONS CUSTOMERS WHO SUBSCRIBE TO SUCH SERVICE.
11 (2) ALL ELIGIBLE TELECOMMUNICATIONS CUSTOMERS WHO
12 SUBSCRIBE TO LIFELINE SERVICE SHALL BE PERMITTED TO SUBSCRIBE
13 TO UP TO TWO OTHER ELIGIBLE TELECOMMUNICATIONS CARRIER
14 TELECOMMUNICATIONS SERVICES AT THE TARIFFED RATES FOR SUCH
15 SERVICES.
16 (3) WHENEVER A PROSPECTIVE CUSTOMER SEEKS TO SUBSCRIBE
17 TO LOCAL SERVICE FROM AN ELIGIBLE TELECOMMUNICATIONS CARRIER,
18 THE CARRIER SHALL EXPLICITLY ADVISE THE CUSTOMER OF THE
19 AVAILABILITY OF LIFELINE SERVICE AND SHALL MAKE REASONABLE
20 EFFORTS WHERE APPROPRIATE TO DETERMINE WHETHER THE CUSTOMER
21 QUALIFIES FOR SUCH SERVICE AND, IF SO, WHETHER THE CUSTOMER
22 WISHES TO SUBSCRIBE TO THE SERVICE.
23 (4) ELIGIBLE TELECOMMUNICATIONS CARRIERS SHALL INFORM
24 EXISTING CUSTOMERS OF THE AVAILABILITY OF LIFELINE SERVICE
25 TWICE ANNUALLY BY BILL INSERT OR MESSAGE. THE NOTICE SHALL BE
26 CONSPICUOUS AND SHALL PROVIDE APPROPRIATE ELIGIBILITY,
27 BENEFITS AND CONTACT INFORMATION FOR CUSTOMERS WHO WISH TO
28 LEARN OF THE LIFELINE SERVICE SUBSCRIPTION REQUIREMENTS.
29 (5) NO ELIGIBLE TELECOMMUNICATIONS CARRIER SHALL BE
30 REQUIRED TO PROVIDE AFTER THE EFFECTIVE DATE OF THIS SECTION
20030H0030B3021 - 80 -
1 ANY NEW LIFELINE SERVICE DISCOUNT THAT IS NOT FULLY
2 SUBSIDIZED BY THE FEDERAL UNIVERSAL SERVICE FUND.
3 (F) CALLER IDENTIFICATION SERVICE.--
4 (1) A TELECOMMUNICATIONS CARRIER THAT OFFERS A CALLER
5 IDENTIFICATION SERVICE THAT IDENTIFIES THE NAME AND TELEPHONE
6 NUMBER OF A CALLER FOR AN ADDITIONAL FEE MAY NOT CHARGE A
7 RESIDENTIAL CUSTOMER WITHIN THIS COMMONWEALTH MORE THAN $3.50
8 PER MONTH FOR BASIC CALLER IDENTIFICATION SERVICE THAT
9 IDENTIFIES THE NAME AND THE TELEPHONE NUMBER OF A CALLER
10 UNLESS:
11 (I) THE TELECOMMUNICATIONS CARRIER REQUESTS A WAIVER
12 FROM THE MONTHLY DOLLAR LIMITATION SET FORTH IN THIS
13 PARAGRAPH; AND
14 (II) THE COMMISSION DETERMINES THAT THE MONTHLY
15 DOLLAR LIMITATION SET FORTH IN THIS PARAGRAPH IS NOT JUST
16 AND REASONABLE IN RELATION TO THE ACTUAL COST TO THE
17 TELECOMMUNICATIONS CARRIER FOR THE SERVICE.
18 (2) PARAGRAPH (1) SHALL NOT APPLY TO THE BUNDLING OR
19 PRICING OF MULTIPLE SERVICES THAT INCLUDE CALLER
20 IDENTIFICATION SERVICE IN A SINGLE OFFER.
21 (G) METHOD FOR FIXING RATES.--THE COMMISSION MAY NOT FIX OR
22 PRESCRIBE THE RATES, TOLLS, CHARGES, RATE STRUCTURES, RATE BASE,
23 RATE OF RETURN OR EARNINGS OF COMPETITIVE SERVICES OR OTHERWISE
24 REGULATE COMPETITIVE SERVICES EXCEPT AS SET FORTH IN THIS
25 CHAPTER.
26 (H) IMPLEMENTATION.--THE TERMS OF A LOCAL EXCHANGE
27 TELECOMMUNICATIONS COMPANY'S ALTERNATIVE FORM OF REGULATION AND
28 NETWORK MODERNIZATION PLANS SHALL GOVERN THE REGULATION OF THE
29 LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY AND, CONSISTENT WITH
30 THE PROVISIONS OF THIS CHAPTER, SHALL SUPERSEDE ANY CONFLICTING
20030H0030B3021 - 81 -
1 PROVISIONS OF THIS TITLE OR OTHER LAWS OF THIS COMMONWEALTH AND
2 SHALL SPECIFICALLY SUPERSEDE ALL PROVISIONS OF CHAPTER 13
3 (RELATING TO RATES AND RATE MAKING) OTHER THAN SECTIONS 1301
4 (RELATING TO RATES TO BE JUST AND REASONABLE), 1302 (RELATING TO
5 TARIFFS; FILING AND INSPECTION), 1303 (RELATING TO ADHERENCE TO
6 TARIFFS), 1304 (RELATING TO DISCRIMINATION IN RATES), 1305
7 (RELATING TO ADVANCE PAYMENT OF RATES; INTEREST ON DEPOSITS),
8 1309 (RELATING TO RATES FIXED ON COMPLAINT; INVESTIGATION OF
9 COSTS OF PRODUCTION) AND 1312 (RELATING TO REFUNDS).
10 (I) PROTECTION OF EMPLOYEES.--
11 (1) NO TELECOMMUNICATIONS CARRIER MAY DISCHARGE,
12 THREATEN, DISCRIMINATE OR RETALIATE AGAINST AN EMPLOYEE
13 BECAUSE THE EMPLOYEE MADE A GOOD FAITH REPORT TO THE
14 COMMISSION, THE OFFICE OF CONSUMER ADVOCATE OR THE OFFICE OF
15 ATTORNEY GENERAL REGARDING WRONGDOING, WASTE OR A POTENTIAL
16 VIOLATION OF THE COMMISSION'S ORDERS OR REGULATIONS OR OF
17 THIS TITLE.
18 (2) A PERSON WHO ALLEGES A VIOLATION OF THIS SECTION
19 MUST BRING A CIVIL ACTION IN A COURT OF COMPETENT
20 JURISDICTION FOR APPROPRIATE INJUNCTIVE RELIEF OR DAMAGES
21 WITHIN 180 DAYS AFTER THE OCCURRENCE OF THE ALLEGED
22 VIOLATION.
23 § 3019.1. VOICE OVER INTERNET PROTOCOL REGULATION EXEMPTION.
24 VOICE OVER INTERNET PROTOCOL SERVICE SHALL NOT BE SUBJECT TO
25 COMMISSION REGULATION, NOR SHALL ANY PROVIDER OF VOIP SERVICE BE
26 A PUBLIC UTILITY SUBJECT TO COMMISSION REGULATION BY VIRTUE OF
27 PROVIDING SUCH SERVICE. HOWEVER, THIS EXEMPTION FROM COMMISSION
28 REGULATION SHALL NOT AFFECT THE RIGHTS AND OBLIGATIONS OF ANY
29 ENTITY RELATED TO THE PAYMENT OF SWITCHED NETWORK ACCESS RATES
30 OR OTHER INTERCARRIER COMPENSATION, IF ANY, RELATED TO VOIP
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1 SERVICE.
2 § 3019.2. VOICE OVER INTERNET PROTOCOL TAX EXEMPTION.
3 THE PROVISION OF VOICE OVER INTERNET PROTOCOL SERVICES BY ANY
4 PERSON OR CORPORATION AND THE PROVISION OF TELECOMMUNICATIONS
5 SERVICES USED TO PROVIDE VOIP SERVICES SHALL BE EXEMPT FROM THE
6 FOLLOWING TAXES AND FEES COMMENCING ON THE EFFECTIVE DATE OF
7 THIS SECTION.
8 (1) NOTWITHSTANDING THE ACT OF DECEMBER 31, 1965
9 (P.L.1257, NO.511), KNOWN AS THE LOCAL TAX ENABLING ACT, NO
10 POLITICAL SUBDIVISION SHALL IMPOSE OR COLLECT ANY TAX, CHARGE
11 OR OTHER FEE UPON THE PROVISION OF VOIP SERVICES.
12 (2) NOTWITHSTANDING ARTICLE XXXI-B OF THE ACT OF JULY
13 28, 1953 (P.L.723, NO.230), KNOWN AS THE SECOND CLASS COUNTY
14 CODE, AND THE ACT OF JUNE 5, 1991 (P.L.9, NO.6), KNOWN AS THE
15 PENNSYLVANIA INTERGOVERNMENTAL COOPERATION AUTHORITY ACT FOR
16 CITIES OF THE FIRST CLASS, NO LOCAL SALES AND USE TAX SHALL
17 BE IMPOSED ON ANY VOIP SERVICES.
18 § 3020. EXPIRATION OF CHAPTER.
19 (A) EXPIRATION.--EXCEPT AS PROVIDED IN SUBSECTION (B), THIS
20 CHAPTER SHALL EXPIRE ON DECEMBER 31, 2015.
21 (B) EXCEPTION.--A LOCAL EXCHANGE TELECOMMUNICATIONS
22 COMPANY'S ALTERNATIVE FORM OF REGULATION IN EFFECT ON DECEMBER
23 31, 2015, AND THE VOIP EXEMPTION FROM COMMISSION REGULATION
24 UNDER SECTION 3019.1 (RELATING TO VOICE OVER INTERNET PROTOCOL
25 REGULATION EXEMPTION) SHALL NOT EXPIRE ON DECEMBER 31, 2015.
26 SECTION 3. THE PROVISIONS OF THIS ACT ARE SEVERABLE. IF ANY
27 PROVISION OF THIS ACT OR ITS APPLICATION TO ANY PERSON OR
28 CIRCUMSTANCE IS HELD INVALID, THE INVALIDITY SHALL NOT AFFECT
29 OTHER PROVISIONS OR APPLICATIONS OF THIS ACT WHICH CAN BE GIVEN
30 EFFECT WITHOUT THE INVALID PROVISION OR APPLICATION.
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1 SECTION 4. SECTION 2471 OF THE ACT OF FEBRUARY 1, 1966 (1965
2 P.L.1656, NO.581), KNOWN AS THE BOROUGH CODE, IS REPEALED TO THE
3 EXTENT IT IS INCONSISTENT WITH THIS ACT.
4 SECTION 5. THIS ACT SHALL TAKE EFFECT JANUARY 1, 2004, OR
5 IMMEDIATELY, WHICHEVER OCCURS LATER.
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