Full Text of HB3605 095th General Assembly
HB3605 95TH GENERAL ASSEMBLY
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95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008 HB3605
Introduced 2/28/2007, by Rep. Thomas Holbrook SYNOPSIS AS INTRODUCED: |
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220 ILCS 5/13-203 |
from Ch. 111 2/3, par. 13-203 |
220 ILCS 5/13-502 |
from Ch. 111 2/3, par. 13-502 |
220 ILCS 5/13-504 |
from Ch. 111 2/3, par. 13-504 |
220 ILCS 5/13-518 |
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220 ILCS 5/13-701 |
from Ch. 111 2/3, par. 13-701 |
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Amends the Public Utilities Act. Provides that service offered by wireless service providers and voice-over-Internet protocol (VoIP) providers shall be deemed reasonably available competitive alternatives for local exchange and interexchange service offered by an incumbent local exchange carrier. Provides that an incumbent local exchange carrier may elect to classify local exchange service in one or more of its exchanges as competitive in accordance with certain standards and procedures. Provides that a service shall be classified as competitive if for any identifiable class or group of customers in that exchange, local exchange service, or its functional competitive alternative is offered by at least 3 providers that are not affiliated with the incumbent local exchange carrier. Provides that if a local exchange service provided by an incumbent local exchange carrier is properly classified as competitive in at least one exchange within a particular market service area under certain provisions, that incumbent local exchange carrier may classify its local exchange services in each of the other exchanges within the same market service area as competitive without any further showing or review by the Commission following specified procedures. In a Section concerning optional services packages, provides that certain service packages shall be classified as competitive services if they meet certain criteria. Makes other changes. Effective immediately.
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A BILL FOR
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HB3605 |
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| AN ACT concerning regulation.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Public Utilities Act is amended by changing | 5 |
| Sections 13-203, 13-502, 13-504, 13-518, and 13-701 as follows:
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| (220 ILCS 5/13-203) (from Ch. 111 2/3, par. 13-203)
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| (Section scheduled to be repealed on July 1, 2007)
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| Sec. 13-203. Telecommunications service.
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| "Telecommunications service"
means the provision or | 10 |
| offering for rent, sale or lease, or in exchange for
other | 11 |
| value received, of the transmittal of information, by means of
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| electromagnetic, including light, transmission with or without | 13 |
| benefit of
any closed transmission medium, including all | 14 |
| instrumentalities,
facilities, apparatus, and services | 15 |
| (including the collection, storage,
forwarding, switching, and | 16 |
| delivery of such information) used to provide
such transmission | 17 |
| and also includes access and interconnection arrangements
and | 18 |
| services.
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| "Telecommunications service" does not include, however:
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| (a) the rent, sale, or lease, or exchange for other | 21 |
| value received, of
customer premises equipment except for | 22 |
| customer premises equipment owned or
provided by a | 23 |
| telecommunications carrier and used for answering 911 |
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| calls,
and except for customer premises equipment provided | 2 |
| under Section 13-703;
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| (b) telephone or telecommunications answering | 4 |
| services, paging services,
and physical pickup and | 5 |
| delivery incidental to the provision of information
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| transmitted through electromagnetic, including light, | 7 |
| transmission;
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| (c) community antenna television service which is | 9 |
| operated to perform
for hire the service of receiving and | 10 |
| distributing video and audio program
signals by wire, cable | 11 |
| or other means to members of the public who
subscribe to | 12 |
| such service, to the extent that such service is utilized
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| solely for the one-way distribution of such entertainment | 14 |
| services with no
more than incidental subscriber | 15 |
| interaction required for the selection of
such | 16 |
| entertainment service ;
. | 17 |
| (d) public mobile service, as defined under Section | 18 |
| 13-214 of this Act, or commercial mobile service, as | 19 |
| defined under 47 U.S.C. 332.
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| The Commission may, by rulemaking, exclude (1) private line | 21 |
| service which
is not directly or indirectly used for the | 22 |
| origination or termination of
switched telecommunications | 23 |
| service, (2) cellular radio service, (3)
high-speed | 24 |
| point-to-point data transmission at or above 9.6 kilobits, or
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| (4) the provision of telecommunications service by a company or | 26 |
| person
otherwise subject to Section 13-202 (c) to a |
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| telecommunications carrier,
which is incidental to the | 2 |
| provision of service subject to Section 13-202 (c),
from active | 3 |
| regulatory oversight to the extent it finds, after notice, | 4 |
| hearing
and comment that such exclusion is consistent with the | 5 |
| public interest and
the purposes and policies of this Article. | 6 |
| To the extent that the
Commission has excluded cellular radio | 7 |
| service from active regulatory
oversight for any provider of | 8 |
| cellular radio service in this State pursuant
to this Section, | 9 |
| the Commission shall exclude all other providers of
cellular | 10 |
| radio service in the State from active regulatory oversight
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| without an additional rulemaking proceeding where there are 2 | 12 |
| or more
certified providers of cellular radio service in a | 13 |
| geographic area.
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| (Source: P.A. 90-185, eff. 7-23-97 .)
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| (220 ILCS 5/13-502) (from Ch. 111 2/3, par. 13-502)
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| (Section scheduled to be repealed on July 1, 2007)
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| Sec. 13-502. Classification of services.
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| (a) All telecommunications services offered or provided
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| under tariff by telecommunications carriers shall be | 20 |
| classified as either
competitive or noncompetitive. A | 21 |
| telecommunications carrier may offer or
provide either | 22 |
| competitive or noncompetitive telecommunications services, or
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| both, subject to proper certification and other applicable | 24 |
| provisions of
this Article. Any tariff filed with the | 25 |
| Commission as required by Section
13-501 shall indicate whether |
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| the service to be offered or provided is
competitive or | 2 |
| noncompetitive.
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| (b) A service shall be classified as competitive only if, | 4 |
| and only to the
extent that, for some identifiable class or | 5 |
| group of customers in an
exchange, group of exchanges, or some | 6 |
| other clearly defined geographical
area, such service, or its | 7 |
| functional equivalent, or a substitute service,
is reasonably | 8 |
| available from more than one provider, whether or not any
such | 9 |
| provider is a telecommunications carrier subject to regulation | 10 |
| under
this Act. All telecommunications services not properly | 11 |
| classified as
competitive shall be classified as | 12 |
| noncompetitive. The Commission shall
have the power to | 13 |
| investigate the propriety of any classification of a
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| telecommunications service on its own motion and shall | 15 |
| investigate upon
complaint. In any hearing or investigation, | 16 |
| the burden of proof as to the
proper classification of any | 17 |
| service shall rest upon the telecommunications
carrier | 18 |
| providing the service. After notice and hearing, the Commission
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| shall order the proper
classification of any service in whole | 20 |
| or in part. The Commission shall
make its determination and | 21 |
| issue its final order no later than 180 days
from the date such | 22 |
| hearing or investigation is initiated. If the Commission
enters | 23 |
| into a hearing upon complaint and if the Commission fails to | 24 |
| issue
an order within that period, the complaint shall be | 25 |
| deemed granted unless
the Commission, the complainant, and the | 26 |
| telecommunications carrier
providing the service agree to |
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| extend the time period.
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| (c) In determining whether a service should be reclassified | 3 |
| as
competitive, the Commission shall, at a minimum, consider | 4 |
| the following
factors:
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| (1) the number, size, and geographic distribution of | 6 |
| other providers of
the
service;
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| (2) the availability of functionally equivalent | 8 |
| services in the relevant
geographic area and the ability of | 9 |
| telecommunications carriers or other
persons
to make the | 10 |
| same, equivalent, or substitutable service readily | 11 |
| available in the
relevant market at comparable rates, | 12 |
| terms, and conditions;
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| (3) the existence of economic, technological, or any | 14 |
| other barriers to
entry into, or exit from, the relevant | 15 |
| market;
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| (4) the extent to which other telecommunications | 17 |
| companies must rely upon
the service of another | 18 |
| telecommunications carrier to provide telecommunications
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| service; and
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| (5) any other factors that may affect competition and | 21 |
| the public interest
that the Commission deems appropriate.
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| (d) No tariff classifying a new telecommunications service | 23 |
| as
competitive or
reclassifying a previously noncompetitive | 24 |
| telecommunications service as
competitive, which is filed by a | 25 |
| telecommunications carrier which also
offers or provides | 26 |
| noncompetitive telecommunications service, shall be
effective |
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| unless and until such telecommunications carrier offering or
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| providing, or seeking to offer or provide, such proposed | 3 |
| competitive
service prepares and files a study of the long-run | 4 |
| service incremental cost
underlying such service and | 5 |
| demonstrates that the tariffed rates and
charges for the | 6 |
| service and any relevant group of services that includes
the | 7 |
| proposed competitive service and for which resources are used | 8 |
| in common
solely by that group of services are not less than | 9 |
| the long-run service
incremental cost of providing the service | 10 |
| and each relevant group of services.
Such study shall be given | 11 |
| proprietary treatment by the Commission at the
request of such | 12 |
| carrier if any other provider of the competitive service,
its | 13 |
| functional equivalent, or a substitute service in the | 14 |
| geographical area
described by the proposed tariff has not | 15 |
| filed, or has not been required to
file, such a study.
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| (e) In the event any telecommunications service has been
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| classified and
filed as competitive by the telecommunications | 18 |
| carrier, and has been
offered or provided on such basis, and | 19 |
| the Commission subsequently
determines after investigation | 20 |
| that such classification improperly included
services which | 21 |
| were in fact noncompetitive, the Commission shall have the
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| power to determine and order refunds to customers for any | 23 |
| overcharges which
may have resulted from the improper | 24 |
| classification, or to order such other
remedies provided to it | 25 |
| under this Act, or to seek an appropriate remedy or
relief in a | 26 |
| court of competent jurisdiction.
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| (f) If no hearing or investigation regarding the propriety | 2 |
| of a
competitive
classification of a telecommunications | 3 |
| service is initiated within 180 days
after a
telecommunications | 4 |
| carrier files a tariff listing such telecommunications
service | 5 |
| as competitive, no refunds to customers for any overcharges | 6 |
| which may
result from an improper classification shall be | 7 |
| ordered for the period from the
time the telecommunications | 8 |
| carrier filed such tariff listing the service as
competitive up | 9 |
| to the time an investigation of the service classification is
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| initiated by the Commission's own motion or the filing of a | 11 |
| complaint. Where a
hearing or an investigation regarding the | 12 |
| propriety of a telecommunications
service classification as | 13 |
| competitive is initiated after 180 days from the
filing of the | 14 |
| tariff, the period subject to refund for improper | 15 |
| classification
shall begin on the date such investigation or | 16 |
| hearing is initiated by the
filing of a Commission motion or a | 17 |
| complaint. | 18 |
| (g) For purposes of this Section: | 19 |
| "Wireless services providers" means providers of public | 20 |
| mobile services as defined in Section 13-214 of this Act or | 21 |
| commercial mobile services as defined at 47 U.S.C. 332 (d) (1). | 22 |
| Service offered by wireless service providers and | 23 |
| voice-over-Internet protocol (VoIP) providers shall be deemed | 24 |
| reasonably available competitive alternatives for both local | 25 |
| exchange and interexchange service offered by an incumbent | 26 |
| local exchange carrier. |
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| (h) Notwithstanding any other provision of this Section, an | 2 |
| incumbent local exchange carrier may elect to classify local | 3 |
| exchange service in one or more of its exchanges as competitive | 4 |
| in accordance with the standards and procedures described in | 5 |
| this subsection (h). All local exchange service provided by an | 6 |
| incumbent local exchange carrier in a particular exchange that | 7 |
| the carrier elects to proceed under this subsection (h) shall | 8 |
| be classified as competitive upon the filing of a tariff with | 9 |
| the Commission that classifies the service as competitive and a | 10 |
| verified statement as described in this subsection (h). | 11 |
| A service shall be classified as competitive under this | 12 |
| subsection (h) if, for any identifiable class or group of | 13 |
| customers in that exchange, local exchange service, or its | 14 |
| reasonably available competitive alternative is offered by at | 15 |
| least 3 providers that are not affiliated with the incumbent | 16 |
| local exchange carrier whether or not each provider is a | 17 |
| telecommunication carrier subject to regulation under this | 18 |
| Act. No more than one of the alternative providers relied on | 19 |
| for the classification of local exchange service as competitive | 20 |
| in a particular exchange under this subsection (h) may be a | 21 |
| wireless service provider and no more than one of such | 22 |
| alternative providers may be a VoIP provider that does not own | 23 |
| or lease network facilities in the exchange. | 24 |
| An incumbent local exchange carrier that classifies a local | 25 |
| exchange service in a particular exchange as competitive | 26 |
| pursuant to this subsection (h) shall, at the same time that it |
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| files a tariff implementing that classification, also file with | 2 |
| the Commission a verified statement (i) informing the | 3 |
| Commission of its classification; (ii) identifying each of 3 or | 4 |
| more alternative providers meeting the standards under this | 5 |
| subsection (h); and (iii) listing the source or sources upon | 6 |
| which the incumbent carrier relied on in identifying each | 7 |
| alternative provider. The burden of proof shall be on the | 8 |
| incumbent local exchange carrier seeking to classify its local | 9 |
| exchange service as competitive. The Commission shall review | 10 |
| the statement without a hearing for the sole purpose of | 11 |
| determining whether the verified statement is complete and | 12 |
| accurately identifies at least 3 alternative service providers | 13 |
| that meet the standards set forth in this subsection (h). | 14 |
| A review of the verified statement conducted pursuant to | 15 |
| this subsection (h) shall not be considered a contested case | 16 |
| defined in Section 1-30 of the Illinois Administrative | 17 |
| Procedures Act, notwithstanding any contrary provision. Within | 18 |
| 15 days after filing the verified statement, the Commission | 19 |
| shall notify the carrier in writing whether the statement is | 20 |
| complete or incomplete. If the Commission determines that the | 21 |
| verified statement is incomplete, it shall state in the notice | 22 |
| the reasons that is incomplete and the carrier may submit a | 23 |
| revised verified statement. | 24 |
| Within 30 days after filing a complete verified statement, | 25 |
| the Commission shall notify the carrier in writing as to | 26 |
| whether or not the standards set forth in this subsection (h) |
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| have been met. If the Commission determines that the statement | 2 |
| does not accurately identify at least 3 alternative carriers, | 3 |
| it shall issue an order stating the reasons for that | 4 |
| determination and direct that local exchange service in the | 5 |
| affected exchange be reclassified as noncompetitive. If, | 6 |
| however, the local exchange service in that exchange has been | 7 |
| qualified as competitive pursuant to subsection (i) of this | 8 |
| Section, no reclassification shall be required if the incumbent | 9 |
| continues to comply with the requirements of subsection (i) of | 10 |
| this Section. | 11 |
| Notwithstanding any other provision of this Act, the order | 12 |
| shall be deemed to be a final order immediately subject to | 13 |
| appeal under Section 10-201 of this Act. If the Commission does | 14 |
| not notify the carrier regarding the completeness and accuracy | 15 |
| of the verified statement within the time periods required | 16 |
| under this subsection (h), the verified statement shall be | 17 |
| considered complete and accurate. Nothing in this subsection | 18 |
| (h) shall be construed to prohibit an incumbent local carrier | 19 |
| for which the Commission has rejected a verified statement as | 20 |
| inaccurate from making additional attempts to reclassify the | 21 |
| local exchange service at issue as competitive under this | 22 |
| subsection (h) or subsection (b), (c), or (i). | 23 |
| Notwithstanding any other Section of this Article, no | 24 |
| wireless service provider, as defined in this subsection (h), | 25 |
| shall be compelled to participate in any Commission review | 26 |
| conducted pursuant to this subsection (h) or be compelled to |
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| assist any incumbent local exchange carrier in the preparation | 2 |
| of information for any verified statement filed pursuant to | 3 |
| this subsection (h). | 4 |
| (i) Notwithstanding any other provision of this Section, if | 5 |
| the local exchange service provided by an incumbent local | 6 |
| exchange carrier is properly classified as competitive in at | 7 |
| least one exchange within a particular market service area | 8 |
| either under subsection (b), (c), or (h) of this Section, that | 9 |
| incumbent local exchange carrier may classify its local | 10 |
| exchange services in each of the other exchanges within the | 11 |
| same market service area as competitive without any further | 12 |
| showing or review by the Commission upon the filing with the | 13 |
| Commission of a binding commitment to comply with the following | 14 |
| limitations with respect to the prices charged for local | 15 |
| exchange services in each other exchange: | 16 |
| (1) For each other exchange in which the local exchange | 17 |
| services fall within the same rate group as the local | 18 |
| exchange services provided in an established competitive | 19 |
| exchange, the prices charged for local exchange services in | 20 |
| the other exchange shall not exceed the prices charged for | 21 |
| services in the same rate group in the established | 22 |
| competitive exchange. | 23 |
| (2) For each other exchange within a market service | 24 |
| area in which an incumbent local exchange carrier has an | 25 |
| established competitive exchange, in which local exchange | 26 |
| services fall within a rate group for which there is no |
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| established competitive exchange, the prices charged for | 2 |
| local exchange services in the other local exchange shall | 3 |
| not exceed the tariffed prices in effect in that exchange | 4 |
| on the date that local exchange service in that exchange is | 5 |
| classified as competitive under this subsection (i) or such | 6 |
| higher tariff prices as may be required under subsection | 7 |
| (d) of this Section. | 8 |
| In the event that local exchange service provided in an | 9 |
| exchange classified as competitive under this subsection (i) is | 10 |
| subsequently classified as competitive under another provision | 11 |
| of this Section, including subsection (h) of this Section, the | 12 |
| binding commitment as to pricing described in this subsection | 13 |
| (i) shall no longer apply to that exchange.
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| (Source: P.A. 92-22, eff. 6-30-01 .)
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| (220 ILCS 5/13-504) (from Ch. 111 2/3, par. 13-504)
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| (Section scheduled to be repealed on July 1, 2007)
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| Sec. 13-504. Application of ratemaking provisions of | 18 |
| Article IX.
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| (a) Except where the context clearly renders such | 20 |
| provisions
inapplicable, the ratemaking provisions of Article | 21 |
| IX of this Act relating
to public utilities are fully and | 22 |
| equally applicable to the rates, charges,
tariffs and | 23 |
| classifications for the offer or provision of noncompetitive
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| telecommunications services. However, the ratemaking | 25 |
| provisions do not apply to
any proposed change in rates or |
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| charges, any proposed change in any
classification or tariff | 2 |
| resulting in a change in rates or charges, or the
establishment | 3 |
| of new services and rates therefor for
a noncompetitive local | 4 |
| exchange telecommunications service offered or provided
by a | 5 |
| local exchange telecommunications carrier with no more than | 6 |
| 35,000
subscriber access lines. Proposed changes in rates, | 7 |
| charges,
classifications, or tariffs meeting these criteria | 8 |
| shall be permitted upon
the filing of the proposed tariff and | 9 |
| 30 days notice to the Commission and
all potentially affected | 10 |
| customers. The proposed changes shall not be
subject to | 11 |
| suspension. The Commission shall investigate whether any | 12 |
| proposed
change is just and reasonable only if a | 13 |
| telecommunications
carrier that is
a customer of the local | 14 |
| exchange telecommunications carrier or 10% of the potentially | 15 |
| affected access line subscribers of the
local exchange | 16 |
| telecommunications carrier shall file a petition or
complaint | 17 |
| requesting an investigation of the proposed
changes. When the
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| telecommunications carrier or 10% of the
potentially
affected | 19 |
| access line subscribers of a local exchange telecommunications
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| carrier file a complaint, the Commission shall, after notice | 21 |
| and hearing,
have the power and duty to establish the rates, | 22 |
| charges, classifications,
or tariffs it finds to be just and | 23 |
| reasonable.
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| (b) Subsection (c) of Section 13-502 and Sections 13-505.1, | 25 |
| 13-505.4,
13-505.6, and 13-507 of this Article do not
apply to | 26 |
| rates or charges or proposed changes in rates or charges for
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| applicable competitive or interexchange services when offered | 2 |
| or provided
by a local exchange telecommunications carrier with | 3 |
| no more than 35,000
subscriber access lines. In addition, | 4 |
| Sections 13-406, 13-514, 13-515, and 13-516 do
not apply to | 5 |
| telecommunications carriers with no more than 35,000 | 6 |
| subscriber
access
lines. The Commission may require | 7 |
| telecommunications
carriers with no more than 35,000 | 8 |
| subscriber access lines to
furnish
information that the | 9 |
| Commission deems necessary for a determination that
rates and | 10 |
| charges for any competitive telecommunications service are
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| just and reasonable.
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| (c) For a local exchange telecommunications carrier with no | 13 |
| more than
35,000 access lines, the Commission shall consider | 14 |
| and adjust,
as
appropriate, a local exchange | 15 |
| telecommunications carrier's depreciation
rates only in | 16 |
| ratemaking proceedings.
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| (d) Articles
Article VI and Sections 7-101 and 7-102 of | 18 |
| Article VII of this Act
pertaining to public utilities, public | 19 |
| utility rates and services, and the
regulation thereof are not | 20 |
| applicable to local exchange telecommunication
carriers with | 21 |
| no more than 35,000 subscriber access lines.
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| (Source: P.A. 89-139, eff. 1-1-96; 90-185, eff. 7-23-97 .)
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| (220 ILCS 5/13-518)
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| (Section scheduled to be repealed on July 1, 2007)
| 25 |
| Sec. 13-518. Optional service packages.
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| (a) It is the intent of this Section to provide unlimited | 2 |
| local service
packages at prices that will result in savings | 3 |
| for the average consumer.
Each telecommunications carrier that | 4 |
| provides
competitive and noncompetitive services, and that is | 5 |
| subject to an alternative
regulation plan pursuant to Section | 6 |
| 13-506.1 of this Article, shall provide, in
addition to such | 7 |
| other services as it offers, the following optional packages
of | 8 |
| services for a fixed monthly rate, which, along with the terms | 9 |
| and
conditions thereof, the Commission shall review, pursuant | 10 |
| to Article IX of this
Act, to determine whether such rates, | 11 |
| terms, and conditions are fair, just, and
reasonable.
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| (1) A budget package, which shall consist of | 13 |
| residential access service
and unlimited local calls.
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| (2) A flat rate package, which shall consist of | 15 |
| residential access
service, unlimited local calls, and the | 16 |
| customer's choice of 2 vertical
services as defined in this | 17 |
| Section.
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| (3) An enhanced flat rate package, which shall consist | 19 |
| of residential
access service for 2 lines, unlimited local | 20 |
| calls, the customer's choice of
2 vertical services as | 21 |
| defined in this Section, and unlimited local toll
service.
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| (b) Nothing in this Section or this Act shall be construed | 23 |
| to prohibit any
telecommunications carrier subject to this | 24 |
| Section from charging customers who
elect to take one of the | 25 |
| groups of services offered pursuant to this Section,
any | 26 |
| applicable surcharges, fees, and taxes.
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| (c) The term "vertical services", when used in this | 2 |
| Section, includes,
but is not necessarily limited to, call | 3 |
| waiting, call forwarding, 3-way
calling, caller ID, call | 4 |
| tracing, automatic callback, repeat dialing, and
voicemail.
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| (d) The service packages described in this Section shall be | 6 |
| classified
defined as
competitive
noncompetitive services in | 7 |
| all geographic areas in which any package of basic local | 8 |
| exchange services, that contain at a minimum a network access | 9 |
| line, of a telecommunications carrier subject to this Section | 10 |
| has been or is classified as competitive pursuant to Section | 11 |
| 13-502 of this Act .
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| (Source: P.A. 92-22, eff. 6-30-01 .)
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| (220 ILCS 5/13-701) (from Ch. 111 2/3, par. 13-701)
| 14 |
| (Section scheduled to be repealed on July 1, 2007)
| 15 |
| Sec. 13-701. (a) Notwithstanding any other provision of | 16 |
| this Act to the
contrary, the Commission has no power to | 17 |
| supervise or control any telephone
cooperative as respects | 18 |
| assessment schedules or local service rates made or
charged by | 19 |
| such a cooperative on a nondiscriminatory basis. In addition,
| 20 |
| the Commission has no power to inquire into, or require the | 21 |
| submission of,
the terms, conditions or agreements by or under | 22 |
| which telephone
cooperatives are financed. A telephone | 23 |
| cooperative shall file with the
Commission either a copy of the | 24 |
| annual financial report required by the
Rural Electrification | 25 |
| Administration, or the annual financial report
required of |
|
|
|
HB3605 |
- 17 - |
LRB095 09676 MJR 32109 b |
|
| 1 |
| other public utilities. | 2 |
| (b) Sections 13-712 and 13-713 of this Act do not apply to | 3 |
| telephone cooperatives.
| 4 |
| (Source: P.A. 84-1063 .)
| 5 |
| Section 99. Effective date. This Act takes effect upon | 6 |
| becoming law.
|
|