By: Uher H.B. No. 1695 73R6365 DWS-F A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the service area of certain public utilities. 1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-4 SECTION 1. Article XIII, Public Utility Regulatory Act 1-5 (Article 1446c, Vernon's Texas Civil Statutes), is amended by 1-6 adding Section 93A to read as follows: 1-7 Sec. 93A. (a) The commission shall require each local 1-8 exchange company to establish local service areas that conform to 1-9 this section. 1-10 (b) Each telephone subscriber is entitled to place toll-free 1-11 calls to any other subscriber if any part of the respective 1-12 subscribers' central office territories are adjoining or if either 1-13 territory's central office is located within 22 miles of the other 1-14 central office's territory. 1-15 (c) Each telephone subscriber is entitled to place toll-free 1-16 calls to any other subscriber within any area that the commission 1-17 determines to be within one community of interest. 1-18 (d) For the purposes of this section, a community of 1-19 interest: 1-20 (1) includes areas that have a relationship because of 1-21 schools, hospitals, local governments, business centers, and other 1-22 relationships the unavailability of which would cause a hardship to 1-23 the residents of the area; and 1-24 (2) need not include an area where the affected 2-1 central offices are more than 50 miles apart. 2-2 (e) Each local exchange company shall submit its plan to 2-3 establish toll-free calling areas under this section not later than 2-4 the 90th day after the date the commission adopts rules 2-5 implementing this section. Any affected person may complain about 2-6 the plan as provided by Section 43A of this Act. 2-7 (f) The commission shall amend the boundaries of a toll-free 2-8 service area on petition by 100 or more residents of the area if 2-9 the commission finds, after a hearing on the merits, that a 2-10 community of interest exists. The commission shall require notice 2-11 by the local exchange company to affected parties as the commission 2-12 considers reasonable. The commission shall make a decision 2-13 relating to changing a toll-free calling area under this section 2-14 not later than the 60th day after the date the notice required by 2-15 the commission is delivered. The commission shall establish a 2-16 reasonable time for the implementation of the plan. 2-17 (g) The commission and a local exchange company are not 2-18 required to comply with this section with regard to a specific 2-19 proposed area if the commission determines that there has been a 2-20 good and sufficient showing of a geographic or technological 2-21 infeasibility to serve the area. 2-22 (h) To compensate a local exchange company for any lost 2-23 revenues caused by compliance with this section, the commission may 2-24 allow the local exchange company to establish a fixed monthly per 2-25 line fee to be paid by subscribers that obtain a new toll-free 2-26 calling area under this section. This fee may not exceed $2 a line 2-27 and may be collected only until the local exchange company's next 3-1 general rate case, at which time the costs and revenues associated 3-2 with providing the service shall be considered as if the boundaries 3-3 of the territories had not changed. A fee established under this 3-4 section must be approved by the commission after adequate notice 3-5 and hearing on the merits and may not exceed an amount determined 3-6 by the commission to compensate the local exchange company for the 3-7 actual loss of revenue due to the implementation of this section. 3-8 If the fee established fails to compensate the local exchange 3-9 company and the local exchange company is able to demonstrate a 3-10 hardship, as defined by the commission, the local exchange company 3-11 is entitled to recover sufficient lost revenues to eliminate the 3-12 hardship from the universal service fund established by this Act. 3-13 SECTION 2. The importance of this legislation and the 3-14 crowded condition of the calendars in both houses create an 3-15 emergency and an imperative public necessity that the 3-16 constitutional rule requiring bills to be read on three several 3-17 days in each house be suspended, and this rule is hereby suspended, 3-18 and that this Act take effect and be in force from and after its 3-19 passage, and it is so enacted.