Bill Text: HI HB254 | 2010 | Regular Session | Amended
Bill Title: Public Utilities; Local Exchange Intrastate Service; Competition
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed - Dead) 2009-05-11 - Carried over to 2010 Regular Session. [HB254 Detail]
Download: Hawaii-2010-HB254-Amended.html
Report Title:
Public Utilities; Local Exchange Intrastate Service; Competition
Description:
Requires the public utilities commission to treat local exchange intrastate services as fully competitive. (SD1)
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
254 |
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TWENTY-FIFTH LEGISLATURE, 2009 |
H.D. 1 |
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STATE OF HAWAII |
S.D. 1 |
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A BILL FOR AN ACT
RELATING TO PUBLIC UTILITIES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that competition in the telecommunications market is robust. Consumers have many choices when deciding how to communicate: traditional land-line telephony, voice over internet-protocol, and wireless phone service.
The legislature further finds that advances in voice over internet-protocol and wireless phone services make these technologies a viable substitute for traditional land-line telephony. These services currently provide 9‑1‑1 capability, number portability, reliable service, and extensive network coverage. Even though some federal and state regulators feel these new technologies, especially wireless phone service, can never replace the traditional land-line phone for casual and emergency communication needs, many consumers do not share this same view. According to the Federal Communications Commission, the number of lines of Hawaii's incumbent local exchange carrier decreased from 735,459 in 2001 to only 541,030 in 2007. The number of wireless subscribers in Hawaii, however, increased from 595,721 to 1,096,181 over the same period. While some consumers subscribing to wireless phone service maintain their land-line or wired phone service, other consumers are subscribing to wireless service as a true alternative and thus are disconnecting their land-line service. Hawaii is not unique; this telecommunication market trend is similar across the United States.
The legislature further finds that competition in Hawaii's telecommunications market is not a level playing field; the incumbent local exchange carrier is highly regulated, while other telecommunications service providers do not share the same level of regulation. Although the incumbent local exchange carrier continues to maintain the majority of lines, this dominance of market share does not take into account the meteoric rise of wireless subscribers and voice over internet-protocol service. In order to determine competition in a modern telecommunications market, all types of services need to be evaluated for their effects in the marketplace.
The purpose of this Act is to require the public utilities commission to treat local exchange intrastate service as fully competitive in order for the local exchange carrier to compete with new technology and advanced service.
SECTION 2. Chapter 269, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§269- Local exchange intrastate services; fully competitive. (a) Notwithstanding section 269-16.9 or any other law to the contrary, the public utilities commission shall classify the State's local exchange intrastate telecommunications services as fully competitive under the commission's classifications of services related to costs, rates, and pricing. In addition, a telecommunications carrier shall not be required to obtain approval or provide any cost support or other information to establish or otherwise modify in any manner its rates, fares, and charges, or to bundle any service offerings into a single or combined price package; provided that with respect to basic residential service the local incumbent exchange carrier, except upon obtaining commission approval, shall not charge any rate for a service above the rate for the service included in the local incumbent exchange carrier's filed tariff. All rates, fares, charges, and bundled service offerings shall be filed with the public utilities commission for information purposes only.
(b) This section shall apply to retail rates charged for service to end-user consumers only and shall not apply to wholesale rates charged for services provided by a telecommunications carrier to another telecommunications provider, a wireless communications provider, a voice over internet protocol communications provider, or other similar communications provider.
(c) Nothing herein shall modify any requirements of a telecommunications carrier to provide lifeline telephone service, comply with carrier of last resort obligations, or comply with applicable service quality standards."
SECTION 3. New statutory material is underscored.
SECTION 4. This Act shall take effect upon its approval.
