SB169 Summary

• Redefines "basic telephone service" as "voice telephony service" per federal regulations (47 C.F.R. 54.101(a)), allowing incumbent local exchange carriers to provide service through any technology or affiliate arrangement, including cell phone service.

• Removes the requirement for incumbent local exchange carriers to provide basic telephone service to all residences within their franchised territory, except when service costs do not exceed $8,000 or federal universal service funds are available.

• Allows carriers to escape their carrier-of-last-resort obligation if property owners exclude them during construction or accept incentives from competing providers that condition local communications services on their exclusion.

• Permits residences unable to receive voice service from any provider to petition the Public Service Commission for service within 12 months of the act's effective date; the commission can order a carrier to provide service or conduct a competitive procurement.

• Caps basic telephone service rates at levels charged as of January 31, 2007, with limited increases through 2010 based on Consumer Price Index; removes commission rate regulation authority over basic and optional telephone service beginning January 1, 2011.