SB-0754, As Passed Senate, October 11, 2005

 

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

SENATE BILL NO. 754

 

(As amended, October 11, 2005)

 

 

 

 

 

 

 

 

 

     <<A bill to amend 1991 PA 179, entitled

 

"Michigan telecommunications act,"

 

by amending sections 102, 103, 202, 203, 203a, 204, 205, 210, 211,

 

213, 214, 303, 304, 304a, 305, 306, 309, 309a, 310, 315, 316a, 317,

 

321, 355, 359, 360, 502, 505, and 604 (MCL 484.2102, 484.2103, 484.2202,

 

484.2203, 484.2203a, 484.2204, 484.2205, 484.2210, 484.2211,

 

484.2213, 484.2214, 484.2303, 484.2304, 484.2304a, 484.2305,

 

484.2306, 484.2309, 484.2309a, 484.2310, 484.2315, 484.2316a, 484.2317,

 

484.2321, 484.2355, 484.2359, 484.2360, 484.2505, and 484.2604),

 

section 102 as amended by 1998 PA 41, sections 103, 203, 203a,

 

303, 304, 310, 502, and 604 as amended and sections 214 and 316a

 

as added by 2000 PA 295, sections 202, 205, 210, 305, 306, and 309a

 

as amended and sections 304a, 317, 321, 355, 359, and 360 as added

 

by 1995 PA 216, section 213 as amended by 2004 PA 591, and section

 

505 as added by 1998 PA 260, and by adding sections 203b, 204a, 215,

 


 

Senate Bill No. 754 as amended October 11, 2005

 

215a, 304c, 304d, 305a, 305b, 305c, 305d, 305e, 353a, 402a, and 502a;

 

and to repeal acts and parts of acts.>>

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 102. As used in this act:

 

     (a) "Access service" means access to a local exchange network

 

for the purpose of enabling a provider to originate or terminate

 

telecommunication services within the local exchange. Except for

 

end-user common line services, access service does not include

 

access service to a person who is not a provider.

 

     (b) "Basic local exchange service" or "local exchange service"

 

means the provision of an access line and usage within a local

 

calling area for the transmission of high-quality 2-way interactive

 

switched voice or data communication.

 

     (c) "Cable service" means 1-way transmission to subscribers of

 

video programming or other programming services and subscriber

 

interaction for the selection of video programming or other

 

programming services.

 

     (d) "Commission" means the Michigan public service commission.

 

     (e) "Contested case" or "case" means a proceeding as defined

 

in section 3 of the administrative procedures act of 1969, 1969 PA

 

306, MCL 24.203.

 

     (f) "Educational institution" means a public educational

 

institution or a private non-profit educational institution

 

approved by the department of education to provide a program of

 

primary, secondary, or higher education, a public library, or a

 

nonprofit association or consortium whose primary purpose is

 

education. A nonprofit association or consortium under this

 


Senate Bill No. 754 as amended October 11, 2005

subdivision shall consist of 2 or more of the following:

 

     (i) Public educational institutions.

 

     (ii) Nonprofit educational institutions approved by the

 

department of education.

 

     (iii) The state board of education.

 

     (iv) Telecommunication providers.

 

     (v) A nonprofit association of educational institutions or

 

consortium of educational institutions.

 

     (g) "Energy management services" means a service of a public

 

utility providing electric power, heat, or light for energy use

 

management, energy use control, energy use information, and energy

 

use communication.

 

     (h) "Essential basic local exchange service" means basic local

 

exchange service that consists of 1 primary access line to a

 

residential <<OR BUSINESS>> customer for voice communications and a

minimum

 

allowance of local usage on that line of at least 200 <<OUTGOING>> calls

per

 

month <<WITH ADDITIONAL LOCAL CALLS AVAILABLE AT A RATE SET IN ACCORDANCE

WITH SECTION 304>>.

 

     (i)  (h)  "Exchange" means 1 or more contiguous central

 

offices and all associated facilities within a geographical area in

 

which basic local exchange  telecommunication services are  service

 

is offered by a provider.

 

     (j)  (i)  "Information services" or "enhanced services" means

 

the offering of a capability for generating, acquiring, storing,

 

transforming, processing, retrieving, utilizing, or making

 

available information, including energy management services, that

 

is conveyed by telecommunications. Information services or enhanced

 

services do not include the use of such capability for the

 


management, control, or operation of a telecommunications system or

 

the management of a telecommunications service.

 

     (k)  (j)  "Interconnection" means the technical arrangements

 

and other elements necessary to permit the connection between the

 

switched networks of 2 or more providers to enable a

 

telecommunication service originating on the network of 1 provider

 

to terminate on the network of another provider.

 

      (k) "Inter-LATA prohibition" means the prohibitions on the

 

offering of inter-exchange or inter-LATA service contained in the

 

modification of final judgment entered pursuant to a consent decree

 

in United States v American Telephone and Telegraph Co., 552 F.

 

Supp. 131 (D.D.C. 1982), and in the consent decree approved in

 

United States v GTE Corp., 603 F. Supp. 730 (D.D.C. 1984).

 

      (l) "LATA" means the local access and transport area as

 

defined in United States v American Telephone and Telegraph Co.,

 

569 F. Supp. 990 (D.D.C. 1983).

 

      (m) "License" means a license issued pursuant to this act.

 

      (n) "Line" or "access line" means the medium over which a

 

telecommunication user connects into the local exchange.

 

      (o) "Local calling area" means a geographic area encompassing

 

1 or more local communities as described in maps, tariffs, or rate

 

schedules filed with and approved by the commission.

 

      (p) "Local directory assistance" means the provision by

 

telephone of a listed telephone number within the caller's area

 

code.

 

      (q) "Local exchange rate" means the monthly and usage rate,

 

including all necessary and attendant charges, imposed for basic

 


local exchange service to customers.

 

      (r) "Loop" means the transmission facility between the

 

network interface on a subscriber's premises and the main

 

distribution frame in the servicing central office.

 

      (s) "Operator service" means a telecommunication service that

 

includes automatic or live assistance to a person to arrange for

 

completion and billing of a telephone call originating within this

 

state that is specified by the caller through a method other than 1

 

of the following:

 

     (i) Automatic completion with billing to the telephone from

 

which the call originated.

 

     (ii) Completion through an access code or a proprietary account

 

number used by the person, with billing to an account previously

 

established with the provider by the person.

 

     (iii) Completion in association with directory assistance

 

services.

 

      (t) "Operator service provider" or "OSP" means a provider of

 

operator service.

 

      (u) "Payphone service" means a telephone call provided from a

 

public, semipublic, or individually owned and operated telephone

 

that is available to the public and is accessed by the depositing

 

of coin or currency or by other means of payment at the time the

 

call is made.

 

      (v) "Person" means an individual, corporation, partnership,

 

association, governmental entity, or any other legal entity.

 

      (w) "Person with disabilities" means a person who has 1 or

 

more of the following physical characteristics:

 


     (i) Blindness.

 

     (ii) Inability to ambulate more than 200 feet without having to

 

stop and rest during any time of the year.

 

     (iii) Loss of use of 1 or both legs or feet.

 

     (iv) Inability to ambulate without the prolonged use of a

 

wheelchair, walker, crutches, braces, or other device required to

 

aid mobility.

 

     (v) A lung disease from which the person's expiratory volume

 

for 1 second, when measured by spirometry, is less than 1 liter, or

 

from which the person's arterial oxygen tension is less than 60

 

mm/hg of room air at rest.

 

     (vi) A cardiovascular disease from which the person measures

 

between 3 and 4 on the New York heart classification scale, or from

 

which a marked limitation of physical activity causes fatigue,

 

palpitation, dyspnea, or anginal pain.

 

     (vii) Other diagnosed disease or disorder including, but not

 

limited to, severe arthritis or a neurological or orthopedic

 

impairment that creates a severe mobility limitation.

 

     (x) "Port" except for the loop, means the entirety of local

 

exchange, including dial tone, a telephone number, switching

 

software, local calling, and access to directory assistance, a

 

white pages listing, operator services, and interexchange and

 

intra-LATA toll carriers.

 

     (y) "Reasonable rate" or "just and reasonable rate" means a

 

rate that is not inadequate, excessive, or unreasonably

 

discriminatory. A rate is inadequate if it is less than the total

 

service long run incremental cost of providing the service.

 


     (z) "Residential customer" means a person to whom

 

telecommunication services are furnished predominantly for personal

 

or domestic purposes at the person's dwelling.

 

     (aa) "Special access" means the provision of access service,

 

other than switched access service, to a local exchange network for

 

the purpose of enabling a provider to originate or terminate

 

telecommunication service within the exchange, including the use of

 

local private lines.

 

     (bb) "State institution of higher education" means an

 

institution of higher education described in sections 4, 5, and 6

 

of article VIII of the state constitution of 1963.

 

     (cc) "Telecommunication provider" or "provider" means a person

 

or an affiliate of the person each of which for compensation

 

provides 1 or more telecommunication services.

 

     (dd) "Telecommunication services" or "services" includes

 

regulated and unregulated services offered to customers for the

 

transmission of 2-way interactive communication and associated

 

usage. A telecommunication service is not a public utility service.

 

     (ee) "Toll service" means the transmission of 2-way

 

interactive switched communication between local calling areas.

 

Toll service does not include individually negotiated contracts for

 

similar telecommunication services or wide area telecommunications

 

service.

 

     (ff) "Total service long run incremental cost" means, given

 

current service demand, including associated costs of every

 

component necessary to provide the service, 1 of the following:

 

     (i) The total forward-looking cost of a telecommunication

 


service, relevant group of services, or basic network component,

 

using current least cost technology that would be required if the

 

provider had never offered the service.

 

     (ii) The total cost that the provider would incur if the

 

provider were to initially offer the service, group of services, or

 

basic network component.

 

     (gg) "Wide area telecommunications service" or "WATS" means

 

the transmission of 2-way interactive switched communication over a

 

dedicated access line.

 

     Sec. 103. (1) Except as otherwise provided in this act, this

 

act shall not be construed to prevent any person from providing

 

telecommunication services in competition with another

 

telecommunication provider.

 

     (2) The commission shall submit an annual report describing

 

the status of competition in telecommunication services in this

 

state, including, but not limited to, the toll and local exchange

 

service markets in this state. The report required under this

 

section shall be submitted to the governor and the house and senate

 

standing committees with oversight of telecommunication issues.

 

     (3) The report required under this section shall include, but

 

is not limited to, all of the following:

 

     (a) The status of competition from all modes of competitive

 

telecommunication services, including, but not limited to,

 

wireline, wireless, and voice over internet protocol.

 

     (b) Actions taken by the commission to implement measures

 

necessary to protect consumers from unfair or deceptive business

 

practices by telecommunication providers.

 


Senate Bill No. 754 as amended October 11, 2005

     (c) Information regarding customer education activities

 

conducted by the commission to inform consumers of all relevant

 

information regarding the purchase of telecommunication services.

 

     (d) Recommendations for legislation, if any.

     <<(4) A PROVIDER SHALL SUBMIT TO THE COMMISSION ALL INFORMATION NECESSARY FOR THE PREPARATION OF THE ANNUAL REPORT UNDER THIS SECTION.>>

     Sec. 202. (1) In addition to the other powers and duties

 

prescribed by this act, the commission shall do all of the

 

following:

 

     (a) Establish by order the manner and form in which

 

telecommunication providers of regulated services within the state

 

keep accounts, books of accounts, and records in order to determine

 

the total service long run incremental costs and imputation

 

requirements of this act of providing a service. The commission

 

requirements under this subdivision shall be consistent with any

 

regulations covering the same subject matter made by the federal

 

communications commission.

 

     (b) Require by order that a provider of a regulated service  ,

 

including access service,  make available for public inspection and

 

file with the commission a  schedule  tariff of the provider's

 

rates, services, and conditions of  service, including access

 

service provided by contract  regulated services. The tariffs shall

 

be effective upon 1 day's notice of submission to the commission.

 

     (c) Promulgate rules under section 213  and issue orders to

 

establish and enforce quality standards for providing

 

telecommunication services in this state.  to establish and enforce

 

quality standards for all of the following:

 

     (i) The provision of basic local exchange service <<to>> end users.

 

     (ii) The provision of unbundled network elements and local

 


Senate Bill No. 754 as amended October 11, 2005               (1 of 2)

interconnection services to providers which are used in the

 

provision of basic local exchange service.

 

     (iii) The timely transfer of an end user from 1 provider of

 

basic local exchange service to another provider.

 

     (iv) Providers of basic local exchange service that cease to

 

provide the service to any segment of end users or geographic area,

 

go out of business, or withdraw from the state.

     <<(v) PROCEDURES AND METHODS TO ENSURE ACCURATE, TIMELY, AND TRUTHFUL BILLING PRACTICES.>>

     (d) Preserve the provision of high quality basic local

 

exchange service.

      <<(E) CREATE A TASK FORCE TO STUDY THE CREATION OF A COORDINATED MICHIGAN TELEPHONE ASSISTANCE PROGRAM. THE PROGRAM SHALL PROVIDE FOR LOW INCOME CUSTOMERS TO RECEIVE ASSISTANCE WITH THEIR TELECOMMUNICATION SERVICES, INCLUDING, BUT NOT LIMITED TO LIFELINE, LINK-UP, AND COMMUNITY VOICE MAIL. THE TASK FORCE SHALL ISSUE A REPORT TO THE LEGISLATURE AND GOVERNOR ON OR BEFORE DECEMBER 31, 2006 CONTAINING ITS FINDINGS AND RECOMMENDATIONS. THE TASK FORCE SHALL CONSIST OF THE FOLLOWING MEMBERS:

      (i) THE CHAIRPERSON OF THE COMMISSION.

      (ii) ONE REPRESENTATIVE FROM EACH BASIC LOCAL EXCHANGE PROVIDER WITH 250,000 OR MORE ACCESS LINES.

      (iii) TWO REPRESENTATIVES FROM PROVIDERS WHO, TOGETHER WITH AFFILIATED PROVIDERS, PROVIDE BASIC LOCAL EXCHANGE OR TOLL SERVICE TO LESS THAN 250,000 END USERS IN THIS STATE.

      (iv) TWO REPRESENTATIVES OF CONSUMER GROUPS PRIMARILY INTERESTED IN MATTERS AFFECTING LOW INCOME CUSTOMERS.

     (v) ONE REPRESENTATIVE OF THE PROVIDER OF COMMUNITY VOICE MAIL IN MICHIGAN.>>

     (e) Create a task force to study changes occurring in the

 

federal universal service fund and the need for the establishment

 

of a state universal service fund to promote and maintain basic

 

local exchange service in high cost rural areas at affordable

 

rates. The task force shall issue a report to the legislature and

 

governor on or before December 31, 1996 containing its findings and

 

recommendations. The task force shall consist of all of the

 

following members:

 

     (i) The chairperson of the commission.

 

     (ii) One representative from each basic local exchange provider

 

with 250,000 or more access lines.

 

Senate Bill No. 754 as amended October 11, 2005                (2 of 2)

 

     (iii) Four representatives from providers who, together with

 

affiliated providers, provide basic local exchange or toll service

 

to less than 250,000 end users in this state.

 

     (iv) Two representatives of other providers of regulated

 

services.

 

     (v) One representative of the general public.

 

     (f) On or before January 1, 1997, the commission shall study

 


Senate Bill No. 754 as amended October 11, 2005

and report to the legislature and governor on the following matters

 

that have impact on the basic local exchange calling activities of

 

all residential customers in the state:

 

     (i) The percentage of intra-LATA calls and minutes of usage

 

which are charged as basic local exchange calls.

 

     (ii) The average size and range of sizes of basic local

 

exchange calling areas.

 

     (iii) The ability of customers to contact emergency services,

 

school districts, and county, municipal, and local units of

 

government without a toll call.

 

     (iv) Whether there are significant differences in basic local

 

exchange calling patterns between urban, suburban, and rural areas.

 

     (v) The impact on basic local exchange rates which would occur

 

if basic local exchange calling areas are altered.

 

     (vi) The impact when basic local exchange calling areas overlap

 

LATA boundaries.

 

     (vii) The impact on basic local exchange rates which would

 

occur if basic local exchange calling areas are expanded within

 

LATA boundaries.

 

     (g) On or before January 1, 1997, conduct a study of internet

 

access provider locations to determine which exchanges can reach

 

the nearest location only by making a toll call. The commission

 

shall then gather input from internet access providers, local

 

exchange providers, and other interested parties and make a

 

recommendation to the legislature as to the steps needed to allow

 

all local exchange customers to access an internet provider by

 

making a local call.

     <<(e) On or before July 1, 2006 and every 6 months thereafter, the commission shall report to the legislature and governor on the current status of competition in telecommunication services within this state. The commission shall establish benchmark criteria to allow for the assessment of progress in the development of competition in telecommunication services.>>


     (2) Rules promulgated under subsection (1)(c) shall include

 

remedies for the enforcement of the rules that are consistent with

 

substantive and procedural requirements of this act and applicable

 

federal law. Rules promulgated under subsection (1)(c)(ii) shall not

 

apply to the provision of unbundled network elements and local

 

interconnection services subject to quality standards in an

 

interconnection agreement approved by the commission. In

 

promulgating any rules under subsection (1)(c), the commission

 

shall consider to what extent current market conditions are

 

sufficient to provide adequate service quality to basic local

 

exchange service end users. Any service quality rules promulgated

 

by the commission shall expire within 3 years of the effective date

 

of the rules. The commission may, prior to the expiration of the

 

rules, promulgate new rules under subsection (1)(c).

 

     (3) The commission shall permit the electronic filing of any

 

pleadings, tariffs, or any other document required or allowed to be

 

filed with the commission under this act.

 

     Sec. 203. (1) Upon receipt of an application or complaint filed

 

under this act, or on its own motion, the commission may conduct an

 

investigation, hold hearings, and issue its findings and order under

 

the contested hearings provisions of the administrative procedures act

 

of 1969, 1969 PA 306, MCL 24.201 to 24.328.

 

     (2) If a complaint filed under this section alleges facts that

 

warrant emergency relief, the complainant may request an emergency

 

relief order. On the date of filing, the complaint and request for

 

emergency relief shall be hand-delivered to the respondent at its

 

principal place of business in Michigan. The commission shall allow 5

 


business days for a filing in response to the request for emergency

 

relief. The commission shall review the complaint, the request for

 

emergency relief, the response, and all supporting materials and

 

determine whether to deny the request for emergency relief or to

 

conduct an initial evidentiary hearing. The initial evidentiary

 

hearing shall be conducted within 5 business days from the date of the

 

notice of hearing and the commission shall issue an order granting or

 

denying the request for emergency relief. An order for emergency

 

relief may require a party to act or refrain from action to protect

 

competition. Any action required by an order for emergency relief

 

shall be technically feasible and economically reasonable and the

 

respondent shall be given a reasonable period of time to comply with

 

the order. At the hearing for emergency relief, the respondent has the

 

burden of showing that the order is not technically feasible and not

 

economically reasonable. If the commission finds that extraordinary

 

circumstances exist that warrant expedited review before the

 

commission's issuance of a final order, it shall set a schedule

 

providing for the issuance of a partial final order as to all or part

 

of the issues for which emergency relief was granted within 90 days of

 

the issuance of the emergency relief order.

 

     (3) An order for emergency relief may be granted under subsection

 

(2) if the commission finds all of the following:

 

     (a) That the party has demonstrated exigent circumstances that

 

warrant emergency relief.

 

     (b) That the party seeking relief will likely succeed on the

 

merits.

 

     (c) That the party will suffer irreparable harm in its ability to

 


serve customers if emergency relief is not granted.

 

     (d) That the order is not adverse to the public interest.

 

     (4) The commission may require the complainant to post a bond in

 

an amount sufficient to make whole the respondent in the event that

 

the order for emergency relief is later found to have been erroneously

 

granted.

 

     (5) An order for emergency relief shall expire upon the sooner of

 

any of the following:

 

     (a) Ninety days after its issuance.

 

     (b) Issuance of the commission's partial final order.

 

     (c) An earlier date set by the commission. Notwithstanding this

 

subsection, the commission may extend the emergency relief order to a

 

date no later than the date on which the final order in the proceeding

 

is issued.

 

     (6) An order granting or denying emergency relief under

 

subsection (2) shall be subject to immediate review in the court of

 

appeals as a matter of right by the party aggrieved. The review shall

 

be de novo and shall comply with Michigan court rule 7.211(c)(6). The

 

court may stay an order granting emergency relief upon the posting of

 

a bond or other security in an amount and on terms set by the court.

 

Regardless of whether an appeal is made under this subsection, the

 

commission shall proceed with the case and issue a final order as

 

otherwise required under this section.

 

     (7) An application or complaint filed under this section shall

 

contain all information, testimony, exhibits, or other documents and

 

information within the person's possession on which the person intends

 

to rely to support the application or complaint. Applications or

 


complaints that do not meet the requirements of this subsection shall

 

be dismissed or suspended pending the receipt by the commission of the

 

required information. If the complainant or applicant requires

 

information in the possession of the respondent, not within the

 

complainant's or applicant's possession, the commission may allow a

 

reasonable opportunity for discovery to allow the complainant or

 

applicant to provide all relevant information, testimony, exhibits, or

 

other documents on which the complainant or applicant intends to rely

 

to support its application or complaint.

 

     (8) The burden of proving a case filed under this act is with the

 

party filing the application or complaint.

 

     (9) In a contested case under this section, the commission can

 

administer oaths, certify all official acts, and compel the attendance

 

of witnesses and the production of papers, books, accounts, documents,

 

and testimony.

 

     (10) Except as otherwise provided in this section, the commission

 

shall issue a final order in a case filed under this section within 90

 

days from the date the application or complaint is filed.

 

     (11) Except as provided for a hearing involving a request for

 

emergency relief, if a hearing is required, the applicant or

 

complainant shall publish a notice of hearing as required by the

 

commission within 7 days of the date the application or complaint was

 

filed or as required by the commission. The first hearing shall be

 

held within 10 days after the date of the notice. If a hearing is

 

held, the commission shall have 180 days from the date the application

 

or complaint was filed to issue its final order. If the principal

 

parties of record agree that the complexity of issues involved

 


requires additional time, the commission may have up to 210 days from

 

the date the application or complaint was filed to issue its final

 

order. If the application or complaint is subject to section 203a, the

 

commission shall have an additional  45  60 days to issue its final

 

order.

 

     (12) An order of the commission  shall be subject to review as

 

provided by section 26 of 1909 PA 300, MCL 462.26  under this act is

 

subject to appellate review as of right in the court of appeals. The

 

appeal shall be initiated by the filing of a claim of appeal with the

 

court of appeals within 30 days of the issuance of an order or within

 

30 days of an order issued on a petition for rehearing of an order.

 

     (13) If a complaint is filed under this section by a provider

 

against another provider, the provider of service shall not

 

discontinue service during the period of the contested case, including

 

the alternative dispute process, if the provider receiving the service

 

has posted a surety bond, provided an irrevocable letter of credit, or

 

provided other adequate security in an amount and on a form as

 

determined by the commission.

 

     (14) Except if there is a request for emergency relief under this

 

section, if the complaint filed under this section involves an

 

interconnection dispute between providers, the commission shall

 

require the parties to utilize the alternative dispute process under

 

section 203a.

 

     (15) In addition to any other relief provided by this act, the

 

commission or a party may seek to compel compliance with a commission

 

order by proceedings in mandamus, injunction, or by other appropriate

 

civil remedies in the circuit court or other court of proper

 


Senate Bill No. 754 as amended October 11, 2005

     jurisdiction.

 

     (16)  The amendatory act that added this subsection does not

 

amend, alter, or limit any case or proceeding commenced before the

 

effective date of this subsection.  Upon the filing of a motion for

 

stay, the commission may, on terms as it considers just, stay the

 

effect or enforcement of an order. A motion for stay, including a

 

request for setting the amount of any appeal bond, is governed by the

 

provisions for obtaining a stay of a civil action set forth in rule

 

7.209 of the Michigan court rules. The commission shall decide a

 

motion for stay within 10 days from the date the motion is filed with

 

the commission.

 

     Sec. 203a. (1) For all complaints involving a dispute of

 

$1,000.00 or less, a dispute under section 203(14), or <<at the option

 

of the complainant                                           

 

                  >>, for a period of  45  60 days after the date the

 

complaint is filed under section 203, the parties shall attempt

 

alternative means of resolving the complaint.

 

     (2) Any alternative means that will result in a recommended

 

settlement may be used that is agreed to by the principal parties of

 

record, including, but not limited to, settlement conferences,

 

mediation, and other informal dispute resolution methods. If the

 

parties cannot agree on an alternative means within  20  10 days after

 

the date the complaint is filed, the commission shall order mediation.

 

Within the  45-day  60-day period required under subsection (1), a

 

recommended settlement shall be made to the parties.

 

     (3) Within 7 days after the date of the recommended settlement,

 

each party shall file with the commission a written acceptance or

 


Senate Bill No. 754 as amended October 11, 2005               (1 of 2)

rejection of the recommended settlement. If the parties accept the

 

recommendation, then the recommendation shall become the final order

 

in the contested case under section 203.

 

     (4) If a party rejects or fails to respond within 7 days to the

 

recommended settlement, then the application or complaint shall

 

proceed to a contested case hearing under section 203.

 

     (5) The party that rejects the recommended settlement shall pay

 

the opposing party's actual costs of proceeding to a contested case

 

hearing, including attorney fees, unless the final order of the

 

commission is more favorable to the rejecting party than the

 

recommended settlement under this section. A final order is considered

 

more favorable if it differs by 10% or more from the recommended

 

settlement in favor of the rejecting party.

 

     (6) If the recommendation is not accepted under subsection (3),

 

the individual commissioners shall not be informed of the recommended

 

settlement until they have issued their final order under section 203.

 

     (7) An attempt to resolve a contested case under this section is

 

exempt from the requirements of section 203 and the administrative

 

procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328.

 

     (8) This section shall not extend or toll the time within which

 

the commission is required to issue its final order under section 203.

     <<SEC. 203B. THE COMMISSION MAY RECEIVE A COMPLAINT, FILED PURSUANT TO SEC. 203, AGAINST A PROVIDER OF BASIC LOCAL EXCHANGE SERVICE ALLEGING THAT THE PROVIDER IS OFFERING EITHER BASIC LOCAL EXCHANGE SERVICE OR ESSENTIAL BASIC LOCAL EXCHANGE SERVICE AT A PREDATORY RATE. IF THE COMMISSION FINDS THAT A PARTY'S COMPLAINT OR DEFENSE IS PRIVOLOUS, THE COMMISSION SHALL AWARD TO THE PREVAILING PARTY COSTS, INCLUDING REASONABLE ATTORNEY FEES, AGAINST THE NONPREVAILING PARTY AND THEIR ATTORNEY.

     Sec. 204. If 2 or more telecommunication providers are unable to agree on a matter relating to a regulated telecommunication issue between the parties, including but not limited to, a matter prohibited by section 305, then either telecommunication provider may file with the commission an application for resolution of the matter.

     SEC. 204A. UPON COMPLAINT OR APPLICATION FILED BY A PARTY UNDER THIS ACT, THE COMMISSION SHALL HAVE AUTHORITY TO RESOLVE A DISPUTE BETWEEN 2 PROVIDERS ARISING UNDER AN INTERCONNECTION AGREEMENT APPROVED BY THE COMMISSION.>>

     Sec. 205. (1) The commission may investigate and resolve

 

Senate Bill No. 754 as amended October 11, 2005                (2 of 2)

 

complaints under this act. The penalties under this act shall not be

 

imposed for a violation that occurred more than 2 years before the

 

     date the complaint was filed.

 

     (2) If the commission finds, after notice and hearing, that the

 

quality, general availability, or conditions for the regulated service

 


violate this act or an order of the commission under this act, or is

 

adverse to the public interest, the commission may require changes in

 

how the telecommunication services are provided.  The commission's

 

authority includes, but is not limited to, the revocation of a license

 

and issuing cease and desist orders.

 

     Sec. 210. (1) Except under the terms of a mandatory protective

 

order, trade secrets and commercial or financial information submitted

 

under this act are exempt from the freedom of information act,  Act

 

No. 442 of the Public Acts of 1976, being sections 15.231 to 15.246 of

 

the Michigan Compiled Laws  1976 PA 442, MCL 15.231 to 15.246.

 

     (2) If information is disclosed pursuant to a mandatory

 

protective order, then the information may be included in the

 

commission's evidentiary record if admissible,  and remains  but shall

 

remain confidential.

 

     (3) There is a rebuttable presumption that cost studies, customer

 

usage data, marketing studies, and contracts between providers are

 

trade secrets or commercial or financial information protected under

 

subsection (1). The burden of removing the presumption under this

 

subsection is with the party seeking to have the information

 

disclosed.

 

     Sec. 211. Each telecommunication provider of a regulated service

 

in this state shall pay an assessment in an amount equal to the

 

expenses of the commission pursuant to  Act No. 299 of the Public Acts

 

of 1972, being sections 460.111 to 460.120 of the Michigan Compiled

 

Laws  1972 PA 299, MCL 460.111 to 460.120.

 

     Sec. 213. (1) Subject to section 201, the commission may

 

promulgate rules under the administrative procedures act of 1969, 1969

 


PA 306, MCL 24.201 to 24.328.

 

     (2) Effective September 1, 1996, the following administrative

 

rules shall not apply to telecommunication providers or

 

telecommunication services:

 

     (a) Electric power and communication lines: R 460.581 to R

 

460.592.

 

     (b) Intrastate telephone services and facilities: R 460.1951 to R

 

460.1968.

 

     (c) Filing procedures for communications common carriers tariffs:

 

R 460.2051 to R 460.2057.

 

     (d) Consumer standards and billing practices, residential

 

telephone service: R 460.2211 to R 460.2279.

 

     (e) Uniform systems of accounts for class A and class B telephone

 

companies: R 460.9041 and R 460.9059.

 

     (3) Rules promulgated after January 1, 1996 under this act are

 

considered to have been promulgated under the authority granted under

 

subsection (1). R 484.453(5), 484.455(2), 484.455(3), 484.457(3), and

 

484.458(4) of the Michigan administrative code may not be enforced

 

until a court determines that the rules do not exceed the commission's

 

authority under this act. It is the legislature's intent that

 

providers voluntarily comply with the rules until a court makes a

 

determination. A provider that voluntarily agrees to abide by the

 

rules does not relinquish its rights to challenge the legality of the

 

rules.

 

     (4) A proceeding before the commission to promulgate rules under

 

this act shall be concluded within 180 days from the date that the

 

proceeding is initiated.

 


     Sec. 214. (1) The commission shall issue orders that assign

 

the telephone digits 2-1-1 to community resource information and

 

referral answering points established under subsection (3) and

 

prescribe appropriate interconnection orders to carry out the

 

intent of this section.

 

     (2) Each provider of basic local exchange service in this

 

state shall assign the telephone number 2-1-1 only to a community

 

resource information and referral answering point established under

 

subsection (3).

 

     (3) The commission shall designate a community resource

 

information and referral entity to be the 2-1-1 answering point for

 

various geographical areas within this state. In making its

 

determination, the commission shall consider all of the following:

 

     (a) The recommendations of  the  Michigan  alliance for

 

information and referral systems  2-1-1, inc.

 

     (b) Whether the relevant state-endorsed  multipurpose  

 

community collaborative bodies are in agreement.

 

     (c) Whether the entity has established a framework to assure

 

the provision of coverage of the 2-1-1 telephone number 24 hours

 

per day, 7 days per week.

 

     (d) Whether the entity meets 2-1-1 standards adopted by the

 

Michigan alliance for information and referral systems.

 

     (4) Each community resource information and referral entity

 

designated by the commission to be the 2-1-1 answering point for a

 

particular geographical area within the state shall establish the

 

framework to provide sufficient resources to operate the 2-1-1

 

telephone number 24 hours per day, 7 days per week.

 


     (5) Within 90 days of the effective date of the amendatory act

 

that added this subsection, the commission shall designate an

 

entity to serve as the state 2-1-1 coordinating agency. The

 

designated agency shall assist and provide information and

 

resources in implementing 2-1-1 service in this state. The

 

designated agency shall also coordinate the providing of 2-1-1

 

services of the community resource information and referral

 

entities designated under subsection (3).

 

     (6) Before a state agency or local unit of government

 

implements a community resource information or referral service,

 

the state agency or local unit of government shall consult with the

 

state 2-1-1 coordinating agency designated by the commission under

 

subsection (5).

 

     (7) By 2008, the MPSC shall issue orders that assign the

 

telephone digits 2-1-1 to a statewide central routing system

 

connecting regional community resource information and referral

 

answering points established under subsection (3). Each provider of

 

basic local exchange service in the state will reassign the

 

telephone number 2-1-1 to the central system without additional

 

charge.

 

     Sec. 215. For markets declared competitive under section 208,

 

the commission shall establish and carry out a customer education

 

program to do all of the following:

 

     (a) Inform customers of the changes in the provision of

 

telecommunication services, including, but not limited to, the

 

availability of competitive telecommunication providers.

 

     (b) Inform customers of the applicable laws and requirements

 


Senate Bill No. 754 as amended October 11, 2005                (1 of 2)

relating to disclosures, explanations, or sales practices for

 

telecommunication providers.

 

     (c) Provide assistance to customers in understanding and using

 

the information to make reasonably informed choices.

     <<SEC. 215A. (1) THE SCOPE OF COMMISSION AUTHORITY REGARDING WIRELESS TELECOMMUNICATIONS DOES NOT EXTEND TO THE REGULATION OF MARKET ENTRY OR EXIT BY, THE ESTABLISHMENT OF RATES AND SERVICES OFFERED BY, OR RATES OF RETURN EARNED BY WIRELESS TELECOMMUNICATIONS PROVIDERS. THE COMMISSION MAY USE ITS AUTHORITY IN THE OVERSIGHT OF MARKETING AND BILLING PRACTICES, SERVICE QUALITY, PROVISION OF ACCURATE COVERAGE MAPS, AND RESOLUTION OF DISPUTES BETWEEN WIRELESS TELECOMMUNICATIONS PROVIDERS AND THEIR SUBSCRIBERS.

     (2) THE COMMISSION SHALL ESTABLISH STANDARDS FOR, AND PUBLISH INFORMATION REGARDING, THE QUALITY OF SERVICE ASSOCIATED WITH WIRELESS TELECOMMUNICATIONS PROVIDERS OPERATING IN THE STATE, INCLUDING CALL CENTER PERFORMANCE, BLOCKED AND DROPPED CALL RATES, AND THE NUMBER OF COMPLAINTS RECEIVED BY THE COMMISSION FOR EACH WIRELESS TELECOMMUNICATIONS PROVIDER, PER 1,000 SUBSCRIBERS, QUARTERLY. THIS INFORMATION SHALL BE MADE AVAILABLE THROUGH THE COMMISSION'S WEBSITE, PAMPHLETS, OR OTHER MEANS SUITABLE FOR MASS DISTRIBUTION.

     (3) THE COMMISSION SHALL MONITOR THE DEPLOYMENT OF WIRELESS TELECOMMUNICATIONS NETWORKS AND DEVELOP RULES FOR THE PRODUCTION OF ACCURATE COVERAGE MAPS BY WIRELESS TELECOMMUNICATIONS PROVIDERS IN THE STATE. THE COMMISSION SHALL DEVELOP SIGNAL STRENGTH THRESHOLDS, MEASURED IN DECIBLES RELATIVE TO 1 MILLIWATT, TO BE USED BY WIRELESS TELECOMMUNICATIONS PROVIDERS IN PRODUCING THE COVERAGE MAPS. THE COMMISSION MAY DEVELOP OTHER SERVICE QUALITY MEASUREMENTS, AS APPROPRIATE, SUCH AS ASSESSMENTS OF VOICE OR DATA TRANSMISSION QUALITY. THE COMMISSION SHALL DEVELOP SIGNAL STRENGTH THRESHOLDS THAT IDENTIFY LEVELS OF QUALITY OF SERVICE IN COVERAGE AREAS THAT ARE APPROPRIATE FOR THE POPULATION CHARACTERISTICS AND TERRAIN CONDITIONS IN COVERAGE AREAS OF THE STATE. MAPS MAY ALSO DEPICT OTHER MEASURES OF SERVICE QUALITY, AS APPROPRIATE, THAT SHALL BE DETERMINED BY THE COMMISSION. THE VERIFIED COVERAGE MAPS APPROVED BY THE COMMISSION SHOULD CLEARLY CONVEY INFORMATION REGARDING THE QUALITY OF SERVICE TO THE PUBLIC AND SHOULD HAVE UNIFORM CHARACTERISTICS ACROSS WIRELESS TELECOMMUNICATIONS PROVIDERS TO PROMOTE SERVICE QUALITY COMPARISONS BY CONSUMERS.

     (4) THE COMMISSION SHALL DEVELOP METHODS TO VERIFY THE ACCURACY OF COVERAGE MAPS SUBMITTED BY WIRELESS TELECOMMUNICATIONS PROVIDERS TO THE COMMISSION FOR APPROVAL TO ENSURE THEIR COMPLIANCE WITH THE RULES ESTABLISHED BY THE COMMISSION UNDER THIS ACT. THE ACCURACY OF THESE MAPS SHOULD BE VERIFIED NO LESS THAN ANNUALLY. THE COMMISSION SHALL MAKE AVAILABLE TO THE PUBLIC COPIES OF VERIFIED ACCURATE COVERAGE MAPS FOR WIRELESS TELECOMMUNICATIONS PROVIDERS OPERATING IN THIS STATE.>>

     Sec. 303. (1) The commission may alter or amend the geographic

 

area of a license, grant a competing license, or revoke a license of a

 

provider if within 2 years from the date the license was granted the

 

provider has not marketed its services to all potential customers or

Senate Bill No. 754 as amended October 11, 2005            (2 of 2)

 

has refused to provide services to certain customers.

 

     (2) A telecommunication provider shall not provide basic local

 

exchange service to customers or end-users located within another

 

telecommunication provider's licensed service area except through

 

interconnection arrangements as provided by this act.

 

     (3) The sale or transfer of shares of stock of a provider of

 

basic local exchange service is not a sale or transfer of a license or

 

a discontinuance of service.

 

     (4) The commission has the authority to approve or deny a

 

proposed addition, elimination, or modification of an area code in

 

this state. The commission shall give public notice and shall conduct

 

a public hearing in the affected geographic area before an addition,

 

elimination, or modification of an area code is made in this state.

 

     (5) To the extent that it is technically and economically

 

feasible, the commission shall issue orders requiring the modification

 

of all area code boundaries in this state to insure that they conform

 

to county lines. 

 

     Sec. 304. (1) <<Essential basic local exchange service shall be

offered to each residential customer in this state. Each provider shall offer essential basic local exchange service to such residential customer within the provider's service area.>>  Except as provided in section 304a, the  The

 

rates for essential basic local exchange service shall be just and

 


Senate Bill No. 754 as amended October 11, 2005

reasonable. <<the commission>> shall set the initial rates for essential

 

basic local exchange service to be effective within 90 days from

 

the effective date of the amendatory act that added subsection

 

(13). The initial rates may not exceed the rates in place before

 

the rates are set under this subsection unless the rates in place

 

do not exceed the total service long run incremental costs of the

 

rates. <<The rates for essential basic local exchange service shall only

be altered as provided under this section and are not subject to section 208.>>

 

     (2) A provider may alter its rates for essential basic local

 

exchange services by 1 or more of the following:

 

     (a) Filing with the commission notice of a decrease, discount,

 

promotional rate, or other rate reduction in  a  an essential basic

 

local exchange rate. A rate alteration under this subdivision shall

 

become effective without commission review or approval.

 

     (b) Filing with the commission a notice of an increase in an

 

essential basic local exchange rate to a level not to exceed the

 

initial rate set under subsection (1) or a rate established under

 

subdivision (c) or (f). A rate alteration under this subdivision is

 

effective without commission review or approval.

 

     (c)  (b)  Filing with the commission notice of an annual

 

increase in  a  an essential basic local exchange rate that does

 

not exceed 1% less than the consumer price index. Unless the

 

commission determines that the rate alteration exceeds the allowed

 

increase under this subdivision, the rate alteration shall take

 

effect  90 not less than 60 days from the date of the notice

 

required under subsection (3). As used in this  subdivision

 

section, "consumer price index" means the most recent reported

 

annual average percentage increase in the Detroit consumer price

 


index for all items for the prior 12-month period by the United

 

States department of labor.

 

     (d) Filing with the commission notice of a combination of

 

increases and decreases in essential basic local exchange rates

 

that are projected to be revenue neutral for the next 12-month

 

period. Unless the commission determines that the combination will

 

result in an increase in revenues for the services in question

 

during the next 12-month period, the combination of increases and

 

decreases shall take effect not less than 60 days from the notice

 

required under subsection (3).

 

     (e) Filing with the commission notice of a rate alteration

 

that includes a range of rates for essential basic local exchange

 

service within which the provider can increase or decrease rates in

 

different amounts for different geographic areas. The upper limit

 

of the range of increases shall be equal to 1% less than the

 

consumer price index and the lower limit shall be selected by the

 

provider consistent with the requirements of this act. The range of

 

rates shall take effect without commission review or approval not

 

less than 60 days from the date of the notice required under

 

subsection (3).

 

     (f)  (c)  Filing with the commission an application to

 

increase  a  an essential basic local exchange rate in an amount

 

greater than that allowed under  subdivision (b)  subdivisions (c),

 

(d), and (e). The application shall be accompanied with sufficient

 

documentary support that the rate alteration is just and

 

reasonable. The commission shall make a determination within the

 

90-day period provided for in subsection (5) of 1 of the following:

 


     (i) That the rate alteration is just and reasonable.

 

     (ii) That a filing under section 203 is necessary to review the

 

rate alteration.

 

     (3) Notice to customers of a rate alteration is required for a

 

rate alteration under subsection  (2)(b) or (c)  (2)(c), (d), (e),

 

and (f) and section 304a and shall be included in or on the bill of

 

each affected customer of the provider before the effective date of

 

the rate alteration.

 

     (4) The notice required under subsection (3) shall contain at

 

least all of the following information:

 

     (a) A statement that the customer's rate may change.

 

     (b) An estimate of the amount of the annual change for the

 

typical residential customer that would result by the rate change.

 

     (c) A statement that a customer may comment on or receive

 

complete details of the rate alteration by calling or writing the

 

commission. The statement shall also include the telephone number

 

and address of the commission. Complete details of the rate

 

alteration shall be provided free of charge to the customer at the

 

expense of the provider.

 

     (5) Except as otherwise provided in subsections (2) and (6),

 

an altered essential basic local exchange rate shall take effect  

 

90  10 days from the date of the notice required by subsection (3).

 

     (6) Upon receiving a complaint or pursuant to a determination

 

under subsection  (2)(c)  (2)(f), the commission may require a

 

filing under section 203 to review a proposed rate alteration under

 

subsection  (2)(c)  (2)(f). The commission's final order may

 

approve, modify, or reject the rate alteration.

 


Senate Bill No. 754 as amended October 11, 2005

     (7) In reviewing a rate alteration under subsection  (6)

 

(2)(f), the commission shall consider only 1 or more of the

 

following factors if relevant to the rate alteration as specified

 

by the provider:

 

     (a) Total service long run incremental cost of essential basic

 

local exchange services.

 

     (b) Whether the proposed rate alteration would discourage

 

competition for telecommunication services.

 

     (c)  (b)  Comparison of the proposed rate to the rates charged

 

by other providers in this state for the same service.

 

     (c) Whether a new function, feature, or capability is being

 

offered as a component of basic local exchange service.

 

     (d) Whether there has been an increase in the costs to provide

 

essential basic local exchange service in the geographic area of

 

the proposed rate.

 

     (e) Whether the provider's further investment in the network

 

infrastructure of the geographic area of the proposed rate is

 

economically justifiable without the proposed rate.

 

     (f) Whether additional revenue resulting from the rate

 

alteration could be reinvested in the basic local exchange network

 

for the development or implementation of new technology or the

 

enhancement of the telecommunications infrastructure.

 

     (g) Whether the proposed rate alteration produces a reasonable

 

rate.

     <<(8) A PROVIDER SHALL BE ALLOWED ONLY 1 RATE INCREASE UNDER THIS SECTION DURING ANY 12-MONTH PERIOD. A PROVIDER MAY OFFER A SPECIAL INCENTIVE, BUT MAY NOT INCREASE THE RATE ABOVE THE RATE ESTABLISHED PRIOR TO THE SPECIAL INCENTIVE.>>

     (8) A provider shall be allowed only 1 rate increase for each

 

class or type of service during any 12-month period. 

 

      (9) A provider shall not make a rate alteration under this

 


Senate Bill No. 754 as amended October 11, 2005

section until the rate has been restructured under section 304a.

 

     (9)  (10)  The commission shall exempt a provider from this

 

section and section 310(2) if it finds all of the following:

 

     (a) The provider provides basic local exchange service or

 

basic local exchange and toll service to less than 250,000 end-

 

users in this state.

 

     (b) The provider offers to end-users single-party basic local

 

exchange service, tone dialing, toll access service, including end-

 

user common line services and dialing parity at a total price of no

 

higher than the amount charged as of May 1, 2000.

 

     (c) The provider provides dialing parity access to operator,

 

telecommunication relay, and emergency services to all basic local

 

exchange end-users.

 

     (10) A provider may charge a late payment fee to customers who

 

do not make timely payments of the outstanding balance of their

 

account as provided in tariffs filed with the commission. <<A PROVIDER

SHALL NOT CHARGE A LATE PAYMENT FEE IN EXCESS OF 5% OF THE CUSTOMER'S OUTSTANDING ACCOUNT BALANCE.>>

 

     (11)  (11)  A call made to a local calling area adjacent to

 

the caller's local calling area shall be considered a local call

 

and shall be billed as a local call.

     <<(12) A call made to a local calling area adjacent to the caller's local calling area shall be considered a local call and shall be billed as a local call. A CALL MADE TO A CALLED PARTY WHO IS NOT LOCATED WITHIN THE GEOGRAPHIC AREA OF THE CALLER'S LOCAL CALLING AREA OR AN ADJACENT LOCAL CALLING AREA AS DEFINED BY THE COMMISSION'S ORDER IN CASE NUMBERS U-12515 AND U-12528, DATED FEBRUARY 5, 2001, IS NOT A LOCAL CALL IF THE TARIFF OF THE PROVIDER ORIGINATING THE CALL DOES NOT CLASSIFY THE CALL AS A LOCAL CALL.>>

<<                                                              

                                                                                                                                                                                                              

                                                                                                                                             

     (13) A PROVIDER OF ESSENTIAL BASIC LOCAL EXCHANGE SERVICE MAY

PROVIDE THAT SERVICE USING DIFFERENT TECHNOLOGIES, PROVIDED THE ESSENTIAL

 


Senate Bill No. 754 as amended October 11, 2005

 

BASIC LOCAL EXCHANGE SERVICE IS OFFERED AS REQUIRED BY THIS ACT.

 

                                                          

 

                          >>

     (14) A person <<WITH DISABILITIES, OR WHO IS VOLUNTARILY PROVIDING

A SERVICE FOR AN ORGANIZATION CLASSIFIED BY THE INTERNAL REVENUE SERVICE AS A SECTION 501 (C)(3) OR (19) ORGANIZATION, OR>> who provides a service for a congressionally

chartered veterans organization or its duly authorized foundation

 

shall be exempt from any call limit and shall receive essential

 

basic local exchange service allowing unlimited calls per month for

 

a flat rate. A person exempt from any call cap under this

 

subsection shall not be charged for such unlimited essential basic

 

local exchange service a rate greater than the flat rate charged

other residential customers for essential basic local exchange

service.

     <<(15) IF A CUSTOMER OF A WIRELESS TELECOMMUNICATIONS SERVICE TERMINATES A SERVICE CONTRACT BEFORE THE EXPIRATION DATE OF THE CONTRACT, THE WIRELESS PROVIDER MAY CHARGE THE CUSTOMER A TERMINATION FEE NOT TO EXCEED $20.00.

     (16) A provider shall file with the commission for review and approval a tariff for the rates and charges for calls made under essential basic local exchange service that exceed the 200-call limit.>>

     Sec. 304a. (1) Upon filing with and the approval of the

commission, a basic local exchange provider shall restructure its

 

rates for basic local exchange, toll, and access services to ensure

 

that the rates are not less than the total service long run

 

incremental cost of providing each service.

 

     (2)  The provider may determine when each rate is restructured

 

and may phase in the rate restructuring until January 1, 2000.

 

After January 1, 2000, the  A provider's rates for basic local

 

exchange, toll, and access services shall not be less than the

 

total service long run incremental cost for each service.

 

     (3) The rate restructuring may include, but is not limited to,

 

1 or more of the following:

 

     (a) Touchtone capability and associated charges into basic

 

local exchange services at rate levels no greater than the sum of

 

the current basic local exchange service rates and the touchtone

 


service rates. Residential customers with rotary dial service may

 

retain such service at their current rate.

 

     (b) Within basic local exchange rates, all or part of the

 

existing rate elements and charges for other services that are

 

designed to recover the costs associated with the local exchange

 

network.

 

     (c) Restructure existing basic local exchange rates to reflect

 

the existing variations in costs to provide basic local exchange

 

services based upon differences in geographic areas, classes of

 

customers, calling patterns and volumes, technology, and other

 

factors.

 

     (4) The commission shall have 45 days from the date of a

 

filing under this section to review the proposed rate restructuring

 

to ensure that the rates are not less than the total service long

 

run incremental costs of the service, or that the rate

 

restructuring brings rates that are below such costs closer to the

 

costs. If the commission is unable to make a determination within

 

the allowed 45 days under this subsection, the commission shall

 

have an additional 45 days to review the rate restructuring.

 

     (5) If the commission does not complete its review within the

 

time period required under subsection (4), the rate restructuring

 

is considered approved under this section. The basic local exchange

 

provider may implement the restructured rates 10 days following

 

commission approval or the end of the period provided for

 

commission review, whichever is earlier.

 

     (6) Except as provided in subsection (7), for the purposes of

 

this section and the act, providers who, together with any

 


Senate Bill No. 754 as amended October 11, 2005               (1 of 2)

affiliated providers, provide basic local exchange service or basic

 

local exchange and toll service to less than 250,000 end-users in

 

this state may determine total service long run incremental cost

 

through preparation of a cost study or may determine that their

 

total service long run incremental cost is the same as that of a

 

provider with more than 250,000 end-users.

 

     (7) A provider of basic local exchange service with less than

 

15,000 end-users in this state may determine that their total

 

service long run incremental cost is the same as that of a provider

 

with more than 250,000 end-users.

     <<SEC. 304C. (1) ALL PROVIDERS OF WIRELESS TELECOMMUNICATIONS SERVICES SHALL PUBLISH VERIFIED COVERAGE MAPS SHOWING THE COVERAGE AREA ASSOCIATED WITH ALL STATEWIDE HOME CALLING AREAS AND EACH CALLING PLAN. WIRELESS TELECOMMUNICATIONS PROVIDERS SHALL MAKE COPIES OF VERIFIED COVERAGE MAPS AVAILABLE TO PROSPECTIVE AND EXISTING SUBSCRIBERS. COVERAGE MAPS SHOULD BE PREPARED IN COMPLIANCE WITH COMMISSION RULES AND SUBMITTED TO THE COMMISSION FOR VERIFICATION AND APPROVAL NO LESS THAN ANNUALLY.

     (2) WIRELESS TELECOMMUNICATIONS PROVIDERS SHALL PUBLISH RATE INFORMATION IN A CLEAR AND UNDERSTANDABLE FORMAT. ANY RESTRICTIONS ON THE USE OF PACKAGE MINUTES SHOULD BE CLEARLY IDENTIFIED. PRICES, RATES, OR TERM CONTRACTS ASSOCIATED WITH WIRELESS TELECOMMUNICATIONS SERVICES SHALL INCLUDE A DISCLOSURE OF ANY GEOGRAPHIC LIMITATION TO THE ADVERTISED PRICE, RATE, OR TERM CONTRACT. RATE INFORMATION SHOULD INCLUDE A GOOD FAITH ESTIMATE OF THE TOTAL MONTHLY COST OF THE SERVICE, WHICH INCLUDES ANY ADDITIONAL SURCHARGES, CALL SETUP CHARGES, FEES, OR TAXES APPLICABLE TO THE PRICES, RATE, OR TERM CONTRACTS. RATE INFORMATION SHOULD BE CLEARLY IDENTIFIED. TERMINATION AND REACTIVATION FEES SHOULD BE CLEARLY STATED.

     SEC. 304D. (1) FOR A PERIOD OF UP TO 20 DAYS AFTER THE DATE OF THE FIRST BILL FOR THE FIRST FULL MONTH OF SERVICE FOLLOWING SERVICE ACTIVATION, THE WIRELESS TELECOMMUNICATIONS SERVICE SUBSCRIBER SHALL BE ALLOWED, WITHOUT PENALTY, TO CANCEL THE CONTRACT WITH THE WIRELESS TELECOMMUNICATIONS PROVIDER AND RETURN FOR A FULL REFUND ANY WIRELESS TELECOMMUNICATIONS EQUIPMENT ACQUIRED FROM THE WIRELESS TELECOMMUNICATIONS PROVIDER, OR FROM ITS AGENTS OR AUTHORIZED DEALERS. THE SUBSCRIBER REMAINS RESPONSIBLE FOR ANY USE CHARGES INCURRED BEFORE TERMINATION. REFUNDS FOR EQUIPMENT ARE CONTINGENT UPON THE RETURN OF ALL WIRELESS EQUIPMENT IN PROPER WORKING ORDER.>>

     Sec. 305.  (1)  A provider of basic local exchange service

 

shall not do any of the following:

 

     (a) Discriminate against another provider by refusing or

 

delaying access service to the local exchange.

 

     (b) Refuse or delay interconnections or provide inferior

 

connections to another provider.

 

Senate Bill No. 754 as amended October 11, 2005               (2 of 2)

 

     (c) Degrade the quality of access service provided to another

 

provider.

     (d) Impair the speed, quality, or efficiency of lines used by

 

another provider.

 

     (e) Develop new services to take advantage of planned but not

 

publicly known changes in the underlying network.

 

     (f) Refuse or delay a request of another provider for

 

information regarding the technical design, equipment capabilities

 

and features, geographic coverage, and traffic patterns of the

 

local exchange network.

 

     (g) Refuse or delay access service or be unreasonable in

 


connecting another provider to the local exchange whose product or

 

service requires novel or specialized access service requirements.

 

     (h) Upon a request, fail to fully disclose in a timely manner

 

all available information necessary for the design of equipment

 

that will meet the specifications of the local exchange network.

 

     (i) Discriminate against any provider or any party who

 

requests the information for commercial purposes in the

 

dissemination of customer proprietary information. A provider shall

 

provide without unreasonable discrimination or delay telephone

 

directory listing information and related services to persons

 

purchasing telephone directory listing information to the same

 

extent and in the same quality as provided to the provider,

 

affiliates of the provider, or any other listing information

 

purchaser.

 

     (j) Refuse or delay access service by any person to another

 

provider.

 

     (k) Sell, lease, or otherwise transfer an asset to an

 

affiliate for an amount less than the fair market value of the

 

asset.

 

     (l) Buy, lease, or otherwise acquire an asset from an affiliate

 

of the provider for an amount greater than the fair market value of

 

the asset.

 

     (m) Bundle unwanted services or products for sale or lease to

 

another provider.

 

     (n) Perform any act that has been prohibited by this act or an

 

order of the commission.

 

     (o) Sell services or products, extend credit, or offer other

 


Senate Bill No. 754 as amended October 11, 2005                  (1 of 2)

terms and conditions on more favorable terms to an affiliate of the

 

provider than the provider offers to other providers.

 

     (p) Discriminate in favor of an affiliated burglar and fire

alarm service over a similar service offered by another provider.

     <<(Q) OFFER BASIC LOCAL EXCHANGE SERVICE OR ESSENTIAL BASIC LOCAL EXCHANGE SERVICE AT PREDATORY RATES.>>

     (2) A provider of cellular telecommunication services shall

not do either of the following:

 

     (a) Unreasonably provide services, extend credit, or offer

 

other terms and conditions on more favorable terms to an affiliate

 

of the provider or to its retail department that sells to end users

 

than the provider offers to other providers.

 

     (b) Unreasonably use rates or proceeds from providers,

 

directly or indirectly, to subsidize or offset the costs of

 

cellular service offered by the provider, or an affiliate of the

 

provider, to other providers or to end-users.

 

     (3) Until a provider has complied with section 304a, the

 

provider of a rate regulated service shall not provide that service

 

in combination with an unregulated service in section 401 or an

 

unbundled or resold service under section 357 at a price that does

not exceed the total service long run incremental cost of each

service.

     <<SEC. 305A. ANY AGREEMENT OR CONTRACT THE CONSUMER OR SUBSCRIBER MAY EXECUTE SHALL BE A SEPARATE DOCUMENT FROM MARKETING MATERIALS USED TO PROMOTE WIRELESS TELECOMMUNICATIONS PRODUCTS OR SERVICES AND SHALL BE UNAMBIGUOUS AND LEGIBLE. RATES PROVIDED IN AGREEMENTS OR CONTRACTS SHOULD INCLUDE A GOOD FAITH ESTIMATE OF THE TOTAL MONTHLY COST OF A PLAN, INCLUDING TAXES, SURCHARGES, AND OTHER FEES THAT WILL APPEAR ION THE CUSTOMER'S BILL. THE TERMS AND CONDITIONS SPECIFIED IN THE CONTRACT REGARDING PRICES, TERMS OF USE, PACKAGE MINUTES, AND NONGOVERNMENT CHARGES ARE BINDING ON THE PROVIDER DURING THE TERM OF THE PLAN.

     SEC. 305B. EACH WIRELESS TELECOMMUNICATIONS PROVIDER SHALL ESTABLISH AND MAINTAIN A TOLL-FREE CUSTOMER SERVICE TELEPHONE NUMBER WITH ACCESS TO A LIVE OPERATOR, THROUGH WHICH CONSUMERS MAY LODGE RELEVANT COMPLAINTS AND THROUGH WHICH ALL OF THE FOLLOWING INFORMATION MAY BE OBTAINED BY CONSUMERS:

     (A)  ALL RATES, SURCHARGES, AND FEES.

     (B)  THE BALANCE OF MINUTES IN THE CONSUMER'S ACCOUNT, IF APPLICABLE.

     (C)  THE PROCESS TO DISPUTE CHARGES.

     SEC. 305C. NOT LESS THAN 30 DAYS FROM THE EXPIRATION DATE OF A SERVICE CONTRACT WITH A PROVIDER OF CELLULAR TELECOMMUNICATION SERVICE, THE PROVIDER SHALL GIVE NOTICE TO THE CUSTOMER OF THE EXPIRATION DATE.>>

     SEC. 305D. A PROVIDER'S RATES FOR WHOLESALE SERVICES SHALL BE AT

 

Senate Bill No. 754 as amended October 11, 2005              (2 of 2)

 

RATES BELOW ITS RETAIL RATES.

     SEC. 305E. A PROVIDER OF A TELECOMMUNICATION SERVICE IN THIS STATE SHALL PROVIDE ON EACH SERVICE CONTRACT INFORMATION REGARDING WHICH ENTITY

IS RESPONSIBLE FOR REPAIRS AND RESOLUTION OF OTHER SERVICE ISSUES. THE NOTICE WILL ALSO INCLUDE INFORMATION ON HOW TO CONTACT THE SERVICE PROVIDER WHICH IS RESPONSIBLE FOR SERVICE AND REPAIR. >>

     Sec. 306.  Except as provided in section 312b, a  A

 

telecommunication provider of basic local exchange service is not

 

required to provide toll services. If a telecommunication provider

 

that provides basic local exchange service does not offer toll or

 

have interconnection with a toll provider, the commission shall

 

order a toll provider to interconnect with the telecommunication

 

provider upon terms that are fair to both providers.

 


     Sec. 309. (1) A provider of basic local exchange service shall

 

provide to each customer local directory assistance and, at no

 

additional charge to the customer, an annual printed telephone

 

directory.

 

     (2) A provider of interzone service, as defined in tariffs on

 

file with the commission on December 31, 1991, shall continue to

 

provide the service pursuant to the terms of the tariffs. A

 

provider may alter interzone service rates pursuant to provisions

 

of section 304.

 

     (2)  (3)  A provider of basic local exchange service shall

 

provide each customer at no additional charge the option of having

 

access to 900 prefix services blocked through the customer's

 

exchange service.

 

     Sec. 309a.  (1)  A provider of telecommunication service,

 

including, basic local exchange service, may provide cable service

 

if the provider has received a franchise agreement from the local

 

unit of government to provide cable service.

 

     (2) If a new provider of cable service seeks to offer the

 

service in an area that has an incumbent provider of cable service

 

operating under a franchise agreement, in negotiating a franchise

 

agreement during the term of a franchise agreement entered into

 

prior to July 1, 1995, the local government unit may consider terms

 

and conditions of the franchise agreement of the incumbent

 

provider, existing cable franchise fees, development of new

 

services, the state of technology, and other factors.

 

     Sec. 310. (1) Except as provided by this act, the commission

 

shall not review or set the rates for toll access services.

 


     (2) Except as otherwise provided under subsection (7), a

 

provider of toll access services shall set the rates for toll

 

access services. Access service rates and charges set by a provider

 

that exceed the rates allowed for the same interstate services by

 

the federal government are not just and reasonable. In no event may

 

end-user or subscriber line charges exceed the rates allowed for

 

the same interstate services by the federal government.  as of May

 

1, 2000.  Providers may agree to a rate that is less than the rate

 

allowed by the federal government. If the providers cannot agree on

 

a rate, a provider may apply to the commission under section 204.

 

     (3) Two or more providers that each have less than 250,000

 

access lines may agree to joint toll access service rates and

 

pooling of intrastate toll access service revenues.

 

     (4) A provider of toll access services shall make available

 

for intrastate access services any technical interconnection

 

arrangements, including colocation required by the federal

 

government for the identical interstate access services.

 

     (5) A provider of toll access service, whether under tariff or

 

contract, shall offer the services under the same rates, terms and

 

conditions, without unreasonable discrimination, to all providers.

 

All pricing of special toll access services and switched access

 

services, including volume discounts, shall be offered to all

 

providers under the same rates, terms, and conditions. Until

 

allowed by the federal communications commission, volume discounts

 

on switched access are prohibited under this subsection.

 

     (6) If a toll access service rate is reduced, then the

 

provider receiving the reduced rate shall reduce its rate to its

 


Senate Bill No. 754 as amended October 11, 2005

customers by an equal amount. The commission shall investigate and

ensure that the provider has complied with this subsection.

     <<(7) AFTER JULY 1, 2006, A PROVIDER OF BASIC LOCAL EXCHANGE SERVICE SHALL NOT ASSESS OR IMPOSE ON END-USERS AN INTRASTATE SUBSCRIBER LINE CHARGE OR END-USER LINE CHARGE.

     (8) IF A PROVIDER IS ASSESSING OR IMPOSING AN INTRASTATE SUBSCRIBER LINE CHARGE OR END-USER LINE CHARGE ON JULY 1, 2005, THE PROVIDER MAY NO LATER THAN JULY 2, 2006 FILE WITH THE COMMISSION UNDER SECTION 304(2)(F) NOTICE OF AN INCREASE IN THE ESSENTIAL BASIC LOCAL EXCHANGE RATE IN AN AMOUNT NOT TO EXCEED THE PROVIDER'S INTRASTATE SUBSCRIBER LINE CHARGE OR END-USER LINE CHARGE IN EFFECT ON JULY 1, 2005.>>

     (7) A provider of basic local exchange service shall not

 

assess or impose on end-users an intrastate subscriber line charge

 

or end-user line charge.

 

     (7)  (8)  This section shall not apply to basic local exchange

 

providers that have 250,000 or fewer customers in this state.

 

     Sec. 315. (1) The commission shall require each provider of

 

basic local exchange service to provide a text telephone-

 

telecommunications device for the deaf at costs to each individual

 

who is certified as deaf or  severely hearing-  hard of hearing or

 

speech-impaired by a licensed physician, licensed audiologist, or

 

qualified state agency, and to each public safety answering point

 

as defined in section 102 of the emergency telephone service

 

enabling act,  Act No. 32 of the Public Acts of 1986, being section

 

484.1102 of the Michigan Compiled Laws   1986 PA 32, MCL 484.1102.

 

     (2) The commission shall require each provider of basic local

 

exchange service to provide a telecommunication relay service

 

whereby persons using a text telephone-telecommunications device

 

for the deaf can communicate with persons using a voice telephone

 

through the use of third party intervention or automated

 

translation. Each provider of basic local exchange service shall

 

determine whether to provide a telecommunication relay service on

 

its own, jointly with other basic local exchange providers, or by

 

contract with other telecommunication providers. The commission

 

shall determine the technical standards and essential features of

 

text telephone and telecommunication relay service to ensure their


compatibility and reliability.

 

     (3) The commission shall appoint a 3-person advisory board

 

consisting of a representative of the deaf community, the

 

commission staff, and providers of basic local exchange service to

 

assist in administering this section. The advisory board shall hold

 

meetings, open to the public, at least once each 3 months, shall

 

periodically seek input on the administration of this section from

 

members of the deaf, hearing, or speech impaired community, and

 

shall report to the commission at least annually. The advisory

 

board shall investigate and make recommendations on the feasibility

 

of hiring a reasonably prudent number of people from the deaf or

 

hearing impaired and speech impaired community to work in the

 

provision of telecommunication relay service.

 

     (3) The Michigan telecommunication relay service advisory

 

board is created within the department. The board shall consist of

 

9 members. One member shall be the chair of the commission or his

 

or her designated representative. One member shall the director of

 

the division on deaf and hard of hearing within the department or

 

his or her designated representative. One member shall be a deaf

 

consumer appointed by the director of the department upon the

 

recommendation of the Michigan deaf association. One member shall

 

be a hard of hearing consumer appointed by the department upon the

 

recommendation of Michigan self-help for hard of hearing. One

 

member shall be a speech impaired consumer appointed by the

 

director of the department. Four members shall be appointed by the

 

director of the department to represent telecommunication

 

providers. Appointed members shall be appointed for terms of 4

 


years. A vacancy on the board shall be filled in the same manner as

 

the original appointment for the remainder of the unexpired term.

 

     (4) The board shall designate from among its appointed members

 

a chairperson and vice-chairperson, who shall serve for 2-year

 

terms and who may be reelected. The board shall meet not less than

 

4 times each year. Special meetings may be called by the

 

chairperson, or upon written request of not less than 4 board

 

members. Meetings shall be held at a location designated by the

 

chairperson.

 

     (5) Members of the board shall serve without compensation, but

 

shall be reimbursed for actual and necessary expenses.

 

     (6) Staff services shall be performed by personnel of the

 

department. Assistance shall also be made available, as requested

 

by the board, from other agencies, departments, and authorities of

 

the state. The board may employ a staff to assist it in the

 

performance of its duties, subject to civil service rules and

 

within fiscal restraints.

 

     (7) A majority of the members appointed to and serving on the

 

board constitute a quorum. A majority vote of the members voting

 

shall be required to pass upon any question, action, or business of

 

the board.

 

     (8) The business performed by the board shall be conducted at

 

a public meeting of the board. The board shall keep minutes of its

 

proceedings, showing the vote of each member on each proposition or

 

question, or indicating if a member is absent or fails to vote. A

 

record of board action and business shall be made and maintained.

 

     (9) A writing prepared, owned, used, in the possession of, or

 


retained by the board in the performance of an official function

 

shall be made available to the public.

 

     (10)  (4)  Rates and charges for calls placed through a

 

telecommunication relay service shall not exceed the rates and

 

charges for calls placed directly from the same originating

 

location to the same terminating location. Unless ordered by the

 

commission, a provider of a telecommunications relay service shall

 

not be required to handle calls from public telephones except for

 

calls charged collect, cash, to a credit card, or third party

 

number.

 

     (11)  (5)  Notwithstanding any other provision of this act, a

 

provider may offer discounts on toll calls where a text telephone-

 

telecommunications device for the deaf is used. The commission

 

shall not prohibit such discounts on toll calls placed through a

 

telecommunication relay service.

 

     (12)  (6)  The commission shall establish a rate for each

 

subscriber line of a provider to allow the provider to recover

 

costs incurred under this section and may waive the costs assessed

 

under this section to individuals who are deaf or severely hearing

 

impaired or speech impaired. The commission shall ensure providers

 

properly remit funds to support the relay service.

 

     (13) No later than January 1, 2008, the board shall conduct a

 

study and report to the governor and the house and senate standing

 

committees with oversight of telecommunication issues on the

 

ability for deaf, hard of hearing, and speech impaired customers to

 

access telecommunication services. The report shall include, but is

 

not limited to, activities by the commission to ensure reasonable

 


access, impediments to access, identification of activities in

 

other states to improve access, and recommendations for

 

legislation, if any.

 

     (14) As used in this section:

 

     (a) "Board" means the Michigan telecommunication relay service

 

advisory board created under subsection (3).

 

     (b) "Department" means the department of labor and economic

 

growth.

 

     Sec. 316a. (1) As used in this section:

 

     (a) "Affordable rates" means, at a minimum, rates in effect on

 

January 1, 2001 or as determined by the commission.

 

     (b) "Intrastate universal service fund" means a fund created

 

by the commission to provide a subsidy to customers for the

 

provision of supported telecommunication services provided by any

 

telecommunication carrier.

 

     (c) "Supported telecommunication services" means primary

 

residential access lines and a minimum level of local usage on

 

those lines, as determined by the commission.

 

     (d) "Universal service" shall mean the provision of supported

 

telecommunication services by any carrier.

 

     (2) No sooner than July 1, 2002, the commission shall initiate

 

an investigation to determine whether an intrastate universal

 

service fund should be created. The commission shall complete the

 

investigation no sooner than December 1, 2002. All providers shall

 

be made respondents in the proceeding and any other interested

 

party may participate and intervene in the proceeding.

 

     (2)  (3)  The commission shall determine for each provider

 


whether and to what extent the affordable rate level to provide

 

supported telecommunication services is below each provider's

 

forward looking economic cost of the supported telecommunication

 

services.

 

     (3)  (4)  If  a  an intrastate universal fund is created under

 

this section, to the extent providers provide supported

 

telecommunication services at an affordable rate that is below the

 

forward looking economic cost of the supported telecommunication

 

services, the fund shall provide a subsidy for customers in an

 

amount which is equal to the difference between the affordable rate

 

as determined by the commission and the forward looking economic

 

cost of the supported services, less any federal universal service

 

support received for those supported services.

 

     (4)  (5)  Eligibility for customers to receive intrastate

 

universal service support under subsection  (4)  (3) shall be

 

consistent with the eligibility guidelines of section 254(e) of the

 

telecommunications act of 1996 and the rules and regulations of the

 

federal communications commission. The state fund shall be

 

administered by an independent third-party administrator selected

 

by the commission.

 

     (5)  (6)  To the extent an intrastate universal service fund

 

is established, the commission shall require that the costs of the

 

fund be recovered from all telecommunication providers on a

 

competitively neutral basis. Providers contributing to the

 

intrastate universal service fund may recover from end-users the

 

costs of the financial support through surcharges assessed on end-

 

users' bills.

 


     (6)  (7)  Upon request or on its own motion, the commission,

 

after notice and hearing, shall determine if, based upon changes in

 

technology or other factors, the findings made under this section

 

should be reviewed.

 

     (8) This section does not apply if an interstate universal

 

service fund exists on the federal level unless otherwise approved

 

by the commission.

 

     Sec. 317.  (1) The commission shall adopt operating

 

requirements for operator service providers. The requirements shall

 

include the following:

 

     (a) That an OSP shall furnish each entity with which the OSP

 

contracts to provide operator service a sticker, card, or other

 

form of information for each telephone that has access to the

 

operator service. The information shall include the name of the

 

operator service provider, a toll-free customer service telephone

 

number, and a statement that charges imposed by the operator

 

service provider may be obtained by calling the toll-free telephone

 

number. The operator service provider shall require by contract

 

that the entity receiving the information display the information

 

on or near each of the telephones that has access to the service.

 

     (b) Prior to the connection of each call, the operator service

 

provider shall do all of the following:

 

     (i) Announce the operator service provider's name.

 

     (ii) Quote, at the caller's request and without charge, the

 

rate and any other fees or surcharges applicable to the call

 

charged by the operator service provider.

 

     (c) Allow a caller to choose the carrier of his or her choice

 


by doing either of the following:

 

     (i) After informing the caller that the rates for the call may

 

not reflect the rates for a call from the location of the caller

 

and receiving the caller's consent, transfer the caller to the

 

carrier of his or her choice without charge.

 

     (ii) Instruct the caller how to reach his or her carrier of

 

choice by dialing the carrier's 950, 1-800, or 10-XXX access

 

service method.

 

     (d) Allow callers to the operator service provider to reach

 

emergency services without charge.

 

     (1)  (2)  An operator service provider shall not provide

 

operator services in this state without first registering with the

 

commission. The registration shall include the following

 

information:

 

     (a) The name of the provider.

 

     (b) The address of the provider's principal office.

 

     (c) If the provider is not located in this state, the address

 

of the registered office and the name of the registered agent

 

authorized to receive service of process in this state.

 

     (d) Any other information that the commission may require.

 

     (2)  (3)  The registration shall be accompanied with a

 

registration fee of $100.00.

 

     (3)  (4)  The registration is effective immediately upon

 

filing with the commission and the payment of the registration fee

 

and shall remain in effect for 1 year from its effective date.

 

     (4)  (5)  A registration may be renewed for 1 year by filing

 

with the commission a renewal registration on a form provided by

 


Senate Bill No. 754 as amended October 11, 2005                 (1 of 2)

 

     the commission and the payment of a renewal fee of $100.00.

     <<(5) THE COMMISSION SHALL REQUIRE AN OPERATOR SERVICE PROVIDER TO QUOTE, AT THE CALLER'S REQUEST AND WITHOUT CHARGE, THE RATE AND ANY OTHER FEES OR SURCHARGES APPLICABLE TO THE CALL CHARGED BY THE OPERATOR SERVICE PROVIDER.>>

     (6) Except as otherwise authorized by the commission, a

 

provider under this section shall not charge a rate for operator

 

services or toll service that is greater than 300% of the state

 

average rate for operator or toll service by providers of regulated

 

toll service.

 

     (7) A provider shall not discontinue basic local exchange

 

service for failure by a person to pay an OSP charge.

 

     (8) In addition to any other penalty under this act, a person

 

who is charged for the use of an operator service provider or is

 

denied access to emergency services in violation of this section

 

may bring a civil action against the OSP to recover actual damages

 

or $250.00, whichever is greater, plus all reasonable attorney

 

fees.

 

     Sec. 321.  Except as otherwise provided under section 304a, a  

 

A provider of a regulated telecommunication service shall not

 

charge a rate for the service that is less than the total service

 

long run incremental cost of providing the service.

     <<SEC. 353A. (1) WHEN NEGOTIATING A SUCCESSOR INTERCONNECTION AGREEMENT, UNLESS THE PARTIES AGREE OTHERWISE, THE PARTIES SHALL USE THEIR CURRENT INTERCONNECTION AGREEMENT AS THE BASELINE DOCUMENT FOR NEGOTIATION. THE PARTY REQUESTING IN AN ARBITRATION PROCEEDING A CHANGE IN THE BASELINE DOCUMENT BEARS THE BURDEN OF PERSUASION THAT THE CHANGE IS NECESSARY.

     (2) IF A PARTY NEGOTIATING AN INTERCONNECTION AGREEMENT WISHES TO TAKE A POSITION CONTRARY TO A PRIOR RULING OF THE COMMISSION IN AN ARBITRATION PROCEEDING, THE PARTY SHALL FILE A MOTION WITH THE COMMISSION DEMONSTRATING THAT GOOD CAUSE EXISTS TO RELITIGATE THE ISSUE. SUCH MOTION SHALL BE FILED NOT LATER THAN 90 DAYS FROM THE COMMENCEMENT OF NEGOTIATIONS. THE COMMISSION SHALL RULE UPON THE MOTION WITHIN 21 DAYS OF ITS FILING AND DETERMINE THE EXTENT TO WHICH THE ISSUE MAY BE RELITIGATED. A PARTY THAT BELIEVES THAT THE OTHER PARTY IS TAKING A POSITION CONTRARY TO A PRIOR RULING OF THE COMMISSION MAY ALSO FILE A MOTION FOR A DETERMINATION UNDER THIS SECTION.>>

     Sec. 355. (1)  On or before January 1, 1996, a  A provider of

 

basic local exchange service shall unbundle and separately price

 

Senate Bill No. 754 as amended October 11, 2005                 (2 of 2)

 

each basic local exchange service offered by the provider into the

 

loop and port components and allow other providers to purchase such

 

 

services on a nondiscriminatory basis.

 

     (2) Unbundled services and points of interconnection shall

 

include at a minimum the loop and the switch port.

 

     Sec. 359. (1)  No later than January 1, 1996, a  A provider of

 

basic local exchange service shall establish a rate charge for

 


Senate Bill No. 754 as amended October 11, 2005              (1 of 3)

other providers of basic local exchange service for the termination

 

of local traffic on its network as provided under section 352.

 

     (2) This section does not prohibit providers of basic local

 

exchange service from entering into an agreement to provide for the

 

exchange of local traffic on other terms and conditions. Any

 

compensation arrangements agreed to between providers under this

 

subsection shall be available to other providers with the same

 

terms and conditions on a nondiscriminatory basis.

 

     Sec. 360. (1)  No later than January 1, 1996, a  A provider of

 

basic local exchange service shall establish a rate to other

 

providers of basic local exchange service for providing directory

 

assistance.

 

     (2) This section does not prohibit providers of basic local

 

exchange service from entering into an agreement to provide for the

 

exchange of providing directory assistance on other terms and

 

conditions.

     <<Sec. 402A. (1) A provider of an unregulated service may SHALL file with the commission a tariff which shall contain A COMMITMENT TO PROVIDE EMERGENCY SERVICES TO ITS CUSTOMERS, INCLUDING 9-1-1 AND E-9-1-1 SERVICES. IF 911 SERVICE IS NOT AVAILABLE IN AN AREA, THE PROVIDER SHALL MAKE ARRANGEMENTS FOR THE CUSTOMER TO REACH POLICE, FIRE, AND EMERGENCY MEDICAL SERVICES THROUGH ANOTHER MECHANISM. THE TARIFF MAY CONTAIN OTHER the information the provider determines to be appropriate regarding the offered service ITS RATES AND SERVICE OFFERINGS.

     Sec. 502. (1) A provider of a telecommunication service shall not do any of the following:

     (a) Make a statement or representation, including the omission of material information, regarding the rates, terms, or conditions of providing a telecommunication service that is false, misleading, or deceptive.

     (b) Charge an end-user for a subscribed service that the end-user did not make an initial affirmative order. Failure to refuse an offered or proposed subscribed service is not an affirmative order for the service.

     (c) If an end-user has canceled a service in compliance with a tariff or contract, charge the end-user for service provided after the effective date the service was canceled.

     (d) If a residential end-user has orally ordered a service, fail to confirm the order in writing within 15 days after the service is ordered.

     (e) State to an end-user that their basic local exchange service or other regulated service will be discontinued unless the end-user pays a charge that is due for an unregulated service.

     (f) Disparage the services, business, or reputation of another by false, deceptive, or misleading representation of fact.

 

Senate Bill No. 754 as amended October 11, 2005                 (2 of 3)

 

     (g) Represent to a party to whom services are supplied that the services are being supplied in response to a request made by or on behalf of the party when they are not.

     (h) Cause a probability of confusion or a misunderstanding as to the legal rights, obligations, or remedies of a party to a transaction by making a false, deceptive, or misleading statement.

     (i) Represent or imply that the subject of a transaction will be provided promptly, or at a specified time, or within a reasonable time, if the provider knows or has reason to know it will not be so provided.

     (j) Cause coercion and duress as a result of the time and nature of a sales presentation.

     (2) When the commission has authority to bring a proceeding for violation of this section, the commission may accept an assurance of discontinuance of a method, act, or practice which is alleged to be unlawful under this section from the person who is alleged to have engaged, be engaging, or be about to engage in the method, act, or practice. The assurance shall not be an admission of guilt or be introduced in any other proceeding. Unless rescinded by the parties or voided by the court for good cause, the assurance may be enforced in the circuit court by the parties to the assurance. The assurance may include a stipulation for any of the following:

     (a) The voluntary payment by the person for the cost of investigation.

     (b) An amount to be held in escrow pending the outcome of an action.

     (c) An amount for restitution to an aggrieved person.

      SEC. 502A. (1) A PROVIDER OF AN UNREGULATED TELECOMMUNICATION SERVICE SHALL NOT DO ANY OF THE FOLLOWING:

      (A) CHARGE AN END-USER FOR A SERVICE THAT THE END-USER DID NOT REQUEST BY AN AFFIRMATIVE ORDER. FAILURE TO REFUSE AN OFFERED OR PROPOSED SERVICE IS NOT AN AFFIRMATIVE ORDER FOR THE SERVICE.

     (B) IF AN END-USER HAS CANCELLED A SERVICE, CHARGE THE END-USER FOR SERVICES PROVIDED AFTER THE EFFECTIVE DATE THE SERVICE WAS CANCELLED.

      Sec. 505. (1) An end user of a telecommunications provider, INCLUDING AN UNREGULATED PROVIDER, shall not be switched to another provider without the authorization of the end user.

      (2) The commission shall issue orders to ensure that an end user of a telecommunications provider is not switched to another provider without the end user's oral authorization, written confirmation, confirmation through an independent third party, or other verification procedures subject to commission approval, confirming the end user's intent to make a switch and that the end user has approved the specific details of the switch. The order issued under this section shall require that all as providers comply with the regulations established by the federal communications commission on verification procedures for the switching of an end user's telecommunications provider.

      (3) As used in this section and section 506:

      (a) "End user" means the retail subscriber of a telecommunications service.

     (b) "Telecommunications provider" or "provider" means a person that provides 1 or more telecommunications services for compensation. Telecommunication provider does not include a provider of commercial mobile service as defined in section 332(d)(1) or Part I of title III of

 

 

 

Senate Bill No. 754 as amended October 11, 2005           (3 of 3)

 

the communications act of 1934, chapter 652, 96 Stat. 1096, 47 U.S.C. 332.>>

 

     Sec. 604. This act is repealed effective December 31,  2005 

 

2009.

 

     Enacting section 1. Sections 207, 304b, 312a, 319, 322, 351,

 

353, 358, and 701 of the Michigan telecommunications act, 1991 PA

 

179, MCL 484.2207, 484.2304b, 484.2312a, 484.2319, 484.2322,

 

484.2351, 484.2353, 484.2358, and 484.2701, are repealed.