By:  West                                             S.B. No. 1251
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to discontinuance of basic local telecommunications
 1-2     service.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Subchapter A, Chapter 55, Utilities Code, is
 1-5     amended by adding Section 55.012 to read as follows:
 1-6           Sec. 55.012.  LIMITATIONS ON DISCONTINUANCE OF BASIC LOCAL
 1-7     TELECOMMUNICATIONS SERVICE.  (a)  A provider of basic local
 1-8     telecommunications service may not discontinue that service because
 1-9     of nonpayment by a residential customer of charges for long
1-10     distance service.  Payment shall first be allocated to basic local
1-11     telecommunications service.
1-12           (b)  For purposes of allocating payment in this section, if
1-13     the provider of basic local telecommunications service bundles its
1-14     basic local telecommunications service with long distance service
1-15     or any other service and provides a discount for the basic local
1-16     telecommunications service because of that bundling, the rate of
1-17     basic local telecommunications service shall be the rate the
1-18     provider charges for stand-alone basic local telecommunications
1-19     service.
1-20           (c)  Notwithstanding Subsection (a), the commission shall
1-21     adopt and implement rules, not later than January 1, 2000, to
1-22     prevent customer abuse of the protections afforded by this section.
1-23     The rules must include:
1-24                 (1)  provisions requiring a provider of basic local
 2-1     telecommunications service to offer and implement, at the request
 2-2     and expense of a long distance service provider, toll blocking
 2-3     capability to limit a customer's ability to incur additional
 2-4     charges for long distance services after nonpayment for long
 2-5     distance services; and
 2-6                 (2)  provisions regarding fraudulent activity in
 2-7     response to which a provider may discontinue a residential
 2-8     customer's basic local telecommunications service.
 2-9           (d)  Notwithstanding any other provision of this title, the
2-10     commission has all jurisdiction necessary to establish a maximum
2-11     price that an incumbent local exchange company may charge a long
2-12     distance service provider to initiate the toll blocking capability
2-13     required to be offered under the rules adopted under Subsection
2-14     (c).  The maximum price established under this subsection shall be
2-15     observed by all providers of basic local telecommunications service
2-16     in the incumbent local exchange company's certificated service
2-17     area.  Notwithstanding Sections 52.102 and 52.152, the commission
2-18     has all jurisdiction necessary to enforce this section.
2-19           SECTION 2.  This Act takes effect September 1, 1999.
2-20           SECTION 3.  The importance of this legislation and the
2-21     crowded condition of the calendars in both houses create an
2-22     emergency and an imperative public necessity that the
2-23     constitutional rule requiring bills to be read on three several
2-24     days in each house be suspended, and this rule is hereby suspended.