Sub. H.B. 402 Summary

• Amends Ohio's regulation of telephone companies by expanding the definition of "telephone company" to include wireless service providers and covered 9-1-1 service providers under federal regulations.

• Creates new rate-setting provisions (sections 4927.121-4927.125) allowing incumbent local exchange carriers to raise basic local exchange service rates under specified conditions, including unlimited rate increases for customer-owned cooperatives and rates necessary for federal universal service high-cost program compliance.

• Establishes an exemption process allowing carriers with at least 50% line loss since January 1, 2002 to be exempt from rate regulation after four years, subject to approval by the Public Utilities Commission.

• Modifies Public Utilities Commission oversight authority to restrict plant and facility inspections to cases involving complaints from consumers about basic local exchange service or other entities concerning wholesale service.

• Requires the Public Utilities Commission to report to the legislature within three years on basic local exchange line losses, aggregate line loss statewide, and price changes for basic local exchange service across all exchange areas.