Amend CSSB 86 by adding the following appropriately numbered
SECTION to the bill and renumbering subsequent SECTIONS
appropriately:
      SECTION ____.  Subchapter A, Chapter 55, Utilities Code, is
amended by adding Section 55.012 to read as follows:
      Sec. 55.012.  LIMITATIONS ON DISCONTINUANCE OF BASIC LOCAL
TELECOMMUNICATIONS SERVICE.  (a)  A provider of basic local
telecommunications service may not discontinue that service because
of nonpayment by a residential customer of charges for long
distance service.  Payment shall first be allocated to basic local
telecommunications service.
      (b)  For purposes of allocating payment in this section, if
the provider of basic local telecommunications service bundles its
basic local telecommunications service with long distance service
or any other service and provides a discount for the basic local
telecommunications service because of that bundling, the rate of
basic local telecommunications service shall be the rate the
provider charges for stand-alone basic local telecommunications
service.
      (c)  Notwithstanding Subsection (a), the commission shall
adopt and implement rules, not later than January 1, 2000, to
prevent customer abuse of the protections afforded by this section.
The rules must include:
            (1)  provisions requiring a provider of basic local
telecommunications service to offer and implement, at the request
and expense of a long distance service provider, toll blocking
capability to limit a customer's ability to incur additional
charges for long distance services after nonpayment for long
distance services; and
            (2)  provisions regarding fraudulent activity in
response to which a provider may discontinue a residential
customer's basic local telecommunications service.
      (d)  Notwithstanding any other provision of this title, the
commission has all jurisdiction necessary to establish a maximum
price that an incumbent local exchange company may charge a long
distance service provider to initiate the toll blocking capability
required to be offered under the rules adopted under Subsection
(c).  The maximum price established under this subsection shall be
observed by all providers of basic local telecommunications service
in the incumbent local exchange company's certificated service
area.  Notwithstanding Sections 52.102 and 52.152, the commission
has all jurisdiction necessary to enforce this section.