HB1390 (2012) Detail

Relative to the regulation of incumbent local exchange carriers.


HB 1390 – AS INTRODUCED

2012 SESSION

12-2525

06/10

HOUSE BILL 1390

AN ACT relative to the regulation of incumbent local exchange carriers.

SPONSORS: Rep. Cali-Pitts, Rock 16; Rep. Levasseur, Hills 11

COMMITTEE: Science, Technology and Energy

ANALYSIS

This bill modifies the requirements for use of an alternative regulation plan.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

12-2525

06/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Twelve

AN ACT relative to the regulation of incumbent local exchange carriers.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Alternative Regulation of Local Exchange Carriers. Amend RSA 374:3-b to read as follows:

374:3-b Alternative Regulation of [Small] Incumbent Local Exchange Carriers.

I. [In this section, “small incumbent local exchange carrier” means an incumbent local exchange carrier serving fewer than 25,000 access lines.

II.] Solely at its option, [a small] an incumbent local exchange carrier subject to rate of return regulation[, and only such small incumbent local exchange carrier,] may petition the public utilities commission for approval of an alternative form of regulation providing for regulation of such carrier’s retail operations comparable to the regulation applied to competitive local exchange carriers, subject to paragraph [III, due to its status as carrier of last resort] II.

[III.] II. The commission shall approve the alternative regulation plan if it finds that:

(a) [The small incumbent local exchange carrier has 25 percent fewer access lines in service than it did on December 31, 2004;

(b)] The plan provides for maximum stand-alone basic local service rates at levels that do not [exceed the comparable rates charged by the largest incumbent local exchange carrier operating in the state and that do not] increase by more than 5 percent in each of the 4 years after a plan is approved with the exception that the plan may provide for additional rate adjustments, with public utilities commission review and approval, to reflect changes in federal, state, or local government taxes, mandates, rules, regulations, or statutes;

[(c)] (b) The plan meets intercarrier service obligations under other applicable laws;

[(d)] (c) The plan preserves universal access to affordable stand-alone basic telephone service; and

[(e)] (d) The plan provides that, if the [small] incumbent local exchange carrier operating under the plan fails to meet any of the conditions set out in this section, the public utilities commission may require the [small] incumbent local exchange carrier to propose modifications to the alternative regulation plan or return to rate of return regulation.

[IV.] III. The alternative regulation plan may allow the [small] incumbent local exchange carrier to offer bundled services that include combinations of telecommunications, data, video, and other services.

[V.] IV. Following approval of the alternative regulation plan, the [small] incumbent local exchange carrier shall no longer be subject to rate of return regulation or be required to file affiliate contracts or seek prior commission approval of financings or corporate organizational changes, including, without limitation, mergers, acquisitions, corporate restructurings, issuance or transfer of securities, or the sale, lease, or other transfer of assets or control.

[VI.] V. Notwithstanding any other provision of law, competitive entry in the service territory of [a small] an incumbent local exchange carrier which has petitioned for approval of an alternative regulation plan, is consistent with the public good for the specific purpose of RSA 374:22-g and approval of such competitive entry shall not require a hearing as required under RSA 374:26.

2 Effective Date. This act shall take effect 60 days after its passage.