Introduced Version
House Bill 3199 History
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H. B. 3199
(By Delegate Perdue)
(Originating in the Committee on
Health and Human Resources)
[February 27, 2003]
A BILL to amend and reenact sections one, two, three, four and
five, article two-c, chapter twenty-four of the code of West
Virginia, one thousand nine hundred thirty-one, as amended,
all relating to reduced telephone service rates for qualified
low-income residential consumers; updating terms; expanding
the scope of qualified persons; including additional
categories of tel-assistance services; providing for
additional rules and emergency rules; providing for agreements
regarding revenue deficiencies; and allocating revenue
deficiencies among eligible telecommunications carriers.
Be it enacted by the Legislature of West Virginia:
That sections one, two, three, four and five, article two-c,
chapter twenty-four of the code of West Virginia, one thousand nine
hundred thirty-one, as amended, be amended and reenacted, all to
read as follows:
ARTICLE 2C. REDUCED RATES FOR CERTAIN LOW-INCOME RESIDENTIAL
CUSTOMERS OF TELEPHONE SERVICE.
§24-2C-1. Legislative findings; utilities subject to public
service commission to file new rates.
(a) The Legislature finds that universal telephone service
contributes to the state's economic, social and political
integration and development. The preservation of universal
telephone service is therefore of utmost importance to the state
and its citizens.
(b) Recent changes in the telecommunications industry,
however, both in its structure and in the national policy which
governs it, have begun to exert a general, upward pressure on the
rates for basic telephone service. Although neither the extent to
which basic telephone rates may rise in the future, nor the effect
of any such future increases on the general affordability of
telephone service can be ascertained at this time, the Legislature
finds that anticipatory action should nonetheless be taken to
preserve the universal telephone service which has been
substantially achieved in this state.
(c) All telephone utilities, eligible telecommunications
carriers except cooperative telephone utilities, providing local
exchange dial access line service subject to the jurisdiction of
the public service commission are therefore directed to shall file with the commission tariffs providing for the offering of a new
class of basic residential service, at a special reduced rate, to
certain low-income households. Such tariffs shall be filed after
the adoption of the rules and regulations mandated by subsections
(b) and (c), section four of this article.
§24-2C-2. Tel-assistance; definitions.
The new service herein provided for is known as "tel-
assistance service" and consists of an individual, residential
local exchange dial access line and an allowance for usage not to
exceed two dollars in value. As used in this article, the term
"usage" means the local exchange service and the long distance
service provided by the telephone utility furnishing the tel-
assistance service. In any instance in which an individual
measured or message line cannot be provided to the customer, party-
line service shall be provided at the tel-assistance rate until
such time as an individual measured or message line can be
provided.
For purposes of this article, the following terms apply:
(a) "Eligible telecommunications carrier" means a common
carrier that offers telephone services that are supported by
federal universal service support mechanism, advertises the
availability of such services and the charges for the services
using media of general distribution, and that otherwise is qualified as an eligible telecommunications carrier pursuant to the
provisions of 47 U.S.C. Section 214.
(b) "Qualifying low-income consumer" means a consumer who
is
a recipient of Medicaid, food stamps, supplemental security income,
federal public housing assistance, low-income home energy
assistance program benefits, temporary assistance to needy families
benefits or other income-related state or federal programs.
(c) "Tel-assistance service" means a wholly measured or
message individual, residential local exchange dial access line
offered through the provisions of this article and that provides
for an allowance for usage not to exceed two dollars in value.
(d) "Usage" means the local exchange service and the long
distance service provided by the eligible telecommunications
carrier furnishing the tel-assistance service.
§24-2C-3. Monthly rate set by public service commission;
prohibited and permissible charges.
(a) The monthly rate for tel-assistance service shall be set
initially by the commission at the lower of (a) (1) the lowest
priced service available to the customer consumer at the time of
his or her application, or (b) (2) seven dollars and fifty cents.
All usage exceeding two dollars in value shall be charged for at
the otherwise applicable tariff rate. No other local voice
telephone service may be provided to the dwelling place of a tel-assistance customer consumer, nor may individual line foreign zone
or foreign exchange service be provided to a tel-assistance
customer consumer. A telephone utility An eligible
telecommunications carrier may not impose an order processing
charge or line charge when an existing customer consumer who is
eligible for tel-assistance service changes to such service, nor
may any charge be made when a tel-assistance service customer
consumer loses his or her eligibility and changes to another class
of residential service: Provided, That However, charges for the
initial installation of service for a new customer consumer, or
charges for moving a customer's consumer
's service from one
dwelling place to another shall be made at the otherwise applicable
tariff rate.
(b) The commission may, upon having set the rate initially for
tel-assistance service as herein provided, change such rate from
time to time upon a finding that is reasonable to do so, and may,
in connection therewith increase or decrease the amount of local
service usage provided as a part thereof.
§24-2C-4. Availability of tel-assistance service; determination of
eligibility; promulgation of rules.
(a)
Tel-assistance service shall be made available only to
qualified low-income customers who are:
(1) Either disabled or age sixty or older; and
(2) Social security supplemental security income benefits,
recipients, aid to dependent children (AFDC) benefit recipients,
aid to dependent children-unemployed (AFDC-U) benefit recipients,
food stamps recipients or whose total household income is at or
below the income level established for social security supplemental
security income eligibility.
(a) All eligible telecommunications carrier
s shall make tel-
assistance services available to qualified low-income consumers
pursuant to tariffs or agreements filed with and approved by the
public service commission.
(b) Insofar as permitted under federal law, eligible
telecommunications carriers may file with the public service
commission tariffs or agreements that, without limitation, offer
tel-assistance service which includes a broader group of services,
or make tel-assistance service available to a broader group of low-
income residential consumers.
(c) The public service commission shall establish,
by rules
and regulations,
rules to implement the provisions of this article.
The rules shall include, but not be limited to,
procedures
governing the application for and the provision of tel-assistance
service; and the determination, calculation and certification of
the revenue deficiency resulting from the provision of tel-
assistance service; criteria for establishing maximum levels of revenue deficiencies that may be claimed; including, but not
limited to, rules and regulations determining both establishing
the methods by which telephone utilities shall maintain records
pertaining to such deficiency and the methods by which such
deficiency shall be calculated; and providing for alternate
methodologies to simplify the record keeping of the eligible
telecommunications carriers. Such The rules and regulations shall
be promulgated pursuant to section seven, article one of this
chapter and adopted within one hundred twenty days of the effective
date of this article. The public service commission shall timely
amend the rules thereafter as may be required by any provision of
state or federal law.
(d) The department of human services shall
propose rules for
legislative approval in accordance with the provisions of article
three, chapter twenty-nine-a of this code to
establish, by rules
and regulations, procedures to inform persons of their eligibility
eligible telecommunications carriers of the eligibility of
applicants
for tel-assistance service, to assist applicants for
tel-assistance service in proving their eligibility therefor, and
to determine on a continuing basis the eligibility of persons
receiving tel-assistance service, and communicate such
determinations to the telephone utilities eligible
telecommunications carriers
. Initially, such rules and regulations shall be adopted and filed in the state register within one hundred
twenty days of the effective date of this article and shall not
otherwise be subject to the requirements of chapter twenty-nine-a
of this code. Such rules and regulations initially adopted Rules
promulgated pursuant to this subsection
shall become effective
immediately upon filing in the state register and remain in effect
until supplanted by legislative rules promulgated pursuant to
chapter twenty-nine-a of this code. Final approved legislative
rules shall be submitted by the department of human services to
the legislative rule-making review committee on or before the
first day of August, one thousand nine hundred eighty-seven.
(e)
The secretary of the department of health and human
services or the public service commission may propose emergency
rules for legislative approval in accordance with the provisions of
article three, chapter twenty-nine-a of this code to implement
additional provisions of this article as may be required.
§24-2C-5. Recovery of revenue deficiencies.
(a) In order to provide the special reduced rate mandated by
section one of this article and still maintain the integrity of
the earnings of the utilities eligible telecommunications carriers
offering tel-assistance service, the commission shall determine,
upon application by any affected utility eligible
telecommunications carrier
, that utility's eligible telecommunications carrier's
revenue deficiency for the utility's
eligible telecommunications carrier
's taxable year resulting from
the special reduced rates. Upon determining any utility's eligible
telecommunications carrier
's revenue deficiency, the commission
shall issue an order certifying the amount of that deficiency.
Certified revenue deficiencies shall thereafter be recovered by the
affected utilities eligible telecommunications carrier
as follows:
(a) (1) A utility's An eligible telecommunications carrier's
certified revenue deficiency, if any, resulting from the provision
of tel-assistance service shall be allowed as a tax credit against
the liability of the utility eligible telecommunications carrier
pursuant to the provisions of article thirteen-g, chapter eleven of
this code.
(b) (2) After allowance of such a tax credit pursuant to the
provisions of article thirteen-g, chapter eleven of this code, a
utility's an eligible telecommunications carrier's
remaining
certified revenue deficiency, if any, resulting from the provision
of tel-assistance service shall be allowed as a tax credit against
the liability of the utility eligible telecommunications carrier
pursuant to the provisions of section eleven-a, article twenty-
four, chapter eleven of this code.
(b) An eligible telecommunications carrier's revenue
deficiency under the provisions of section five of this article shall be limited to the amounts generated from providing tel-
assistance service to qualified low-income consumers who are either
disabled or age sixty or older. The agreements or tariffs
required by this article shall specify the methodology by which the
eligible telecommunications carrier will calculate the revenue
deficiency, and may include a provision to freeze the revenue
deficiency at certain levels as determined by the public service
commission. No such agreement or tariff by an eligible
telecommunications carrier may be effective unless first approved
by the public service commission.
(c) In determining such revenue deficiency in the case of
resale of tel-assistance service, the commission shall allocate the
revenue deficiency between the eligible telecommunications carrier
that physically provided the tel-assistance line, and the eligible
telecommunications carrier that provided the tel-assistance service
at retail to an eligible consumer. Such allocation shall be based
on the wholesale resale discount applicable to such tel-assistance
service.
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