HB113 Summary

• Incumbent local exchange carriers must provide basic telephone service to permanent residences within their service territory if costs do not exceed $8,000; if costs exceed $8,000, service may still be required if federal universal service funds are available.

• Carriers of last resort are relieved of service obligations if property owners or developers permit alternative providers to install facilities with incumbent carrier exclusion, accept conditional incentives from alternative providers, collect mandatory charges from residents for alternative services, or prohibit carriers from offering full communications services including video.

• If an alternative communications provider goes out of business and no other provider offers service, the incumbent carrier must provide voice service using any available technology through affiliated companies, subject to cost limitations and reasonable property access.

• Beginning August 1, 2009, the commission loses regulatory jurisdiction over retail telecommunications services for businesses and government entities; beginning January 1, 2011, the commission loses jurisdiction over basic telephone service and optional telephone feature rates.

• Rate increases for basic telephone service are frozen at January 31, 2007 levels through 2010, with optional features limited to 5 percent annual increases; bundled offerings must be priced at or below the sum of individual tariffed prices through December 31, 2010.