By Puente H.B. No. 3750 Line and page numbers may not match official copy. Bill not drafted by TLC or Senate E&E. A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the regulation of telecommunications utilities. 1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-4 SECTION 1. Subchapter C, Chapter 52, Utilities Code, is 1-5 amended by adding Section 52.112 to read as follows: 1-6 Sec. 52.112. PASS-THROUGH OF ACCESS RATE REDUCTION. (a) An 1-7 interexchange telecommunications utility doing business in this 1-8 state shall pass through to all customers reductions in intrastate 1-9 access charges ordered by the commission, including reductions 1-10 ordered under Chapter 56. 1-11 (b) The commission may require an interexchange 1-12 telecommunications utility to file with the commission a plan 1-13 detailing how the utility intends to pass through reductions. A 1-14 plan submitted to the commission must provide for reductions for 1-15 each customer class that are proportional to the reductions in 1-16 intrastate access charges for that customer class. 1-17 (c) Notwithstanding Section 52.102, the commission has all 1-18 jurisdiction necessary to implement and enforce this section, 1-19 including the authority to enter any necessary order and to impose 1-20 an administrative penalty under Chapter 15. 1-21 SECTION 2. Section 56.026, Utilities Code, is amended by 2-1 adding Subsection (c) to read as follows: 2-2 (c) A local exchange company regulated under PURA Chapter 58 2-3 may receive a disbursement from the high cost universal service 2-4 fund through a mechanism designed to offset any implicit subsidy of 2-5 basic local telecommunications service contained in access charges 2-6 to the extent the disbursement does not exceed the amount 2-7 determined by the commission to be an implicit subsidy of basic 2-8 local telecommunications service. 2-9 SECTION 3. Section 58.021, Utilities Code, is amended by 2-10 adding Subsections (c) and (d) to read as follows: 2-11 (c) Except as provided by Subsection (d), an election under 2-12 this chapter remains in effect until the legislature eliminates the 2-13 incentive regulation authorized by this chapter and Chapter 59. 2-14 (d) Notwithstanding any other provision of this chapter, an 2-15 electing company serving fewer than five million access lines in 2-16 this state may withdraw its election under this chapter at any time 2-17 after the later of September 1, 2001, or the fourth anniversary of 2-18 the company's election date. 2-19 SECTION 4. Section 58.054, Utilities Code, is amended by 2-20 adding Subsection (c) to read as follows: 2-21 (c) Notwithstanding Subsections (a) and (b), the cap on the 2-22 rates for basic network services for a company electing under this 2-23 subchapter may not expire before September 1, 2001. 2-24 SECTION 5. The importance of this legislation and the 2-25 crowded condition of the calendars in both houses create an 3-1 emergency and an imperative public necessity that the 3-2 constitutional rule requiring bills to be read on three several 3-3 days in each house be suspended, and this rule is hereby suspended, 3-4 and that this Act take effect and be in force from and after its 3-5 passage, and it is so enacted.