00 CS FOR SENATE BILL NO. 52(FIN) 01 "An Act relating to competition in the provision of local exchange telephone 02 service; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 42.05 is amended by adding a new section to read: 05  Sec. 42.05.870. Competition in local exchange service. (a) The legislature 06 finds that 07  (1) modern, affordable, efficient, and universally available local and 08 long distance telephone service is essential to the people of the state; 09  (2) local exchange telephone service should be provided competitively 10 wherever possible; 11  (3) technological advances, reduced costs, and increased consumer 12 choices for local exchange telephone service, resulting from the adoption of an 13 appropriate competitive market structure, will enhance the state's economic 14 development; 01  (4) the benefits of competition in local exchange telephone service 02 should be available to consumers throughout the state; 03  (5) the commission should oversee competition in local exchange 04 telephone service to ensure that the competition is fair to consumers and competitors; 05  (6) the commission should provide for competition in a timely manner 06 and should adopt regulations that eliminate impediments to entry for local exchange 07 carriers fit, willing, and able to provide service. 08  (b) By July 1, 1999, the commission shall adopt 09  (1) regulations ensuring universal service and providing for access 10 charges that are compatible with full competition in the provision of local exchange 11 telephone service using all methods allowed by 47 U.S.C. 251 - 276 12 (Telecommunications Act of 1996); and 13  (2) any further regulations necessary to allow and promote local 14 exchange competition, using all methods allowed by 47 U.S.C. 251 - 276 15 (Telecommunications Act of 1996), in the service areas of all local exchange carriers 16 that served 25,000 or more access lines on January 1, 1999, other than the service 17 areas of telephone cooperatives. 18  (c) The commission shall approve or deny applications to provide competitive 19 local exchange telephone service within 90 days after the filing of a complete 20 application and, except for applications to provide competitive local exchange 21 telephone service in the service area of a telephone cooperative, shall consider 22 competitive local exchange telephone service to be a service required for the 23 convenience and necessity of the public under AS 42.05.241. The commission shall 24 approve an application on a finding that the applicant is fit, willing, and able to 25 provide the service. In accordance with 47 U.S.C. 253(f), the commission may require 26 the applicant to offer service throughout the study area of the existing local exchange 27 telephone utility. If the commission fails to approve or deny an application, other than 28 an application to provide competitive local exchange telephone service in the service 29 area of a telephone cooperative, within 90 days after the commission has received a 30 complete application, the application is considered approved. 31  (d) A local exchange telephone company, other than a municipally-owned local 01 exchange telephone company, that is exempted in whole or in part from complying 02 with all or a portion of this chapter may not be regulated by a municipality under 03 AS 29.35.060 or 29.35.070. 04 * Sec. 2. AS 42.05.870(b) is amended to read: 05  (b) By July 1, 1999, the commission shall adopt 06  (1) regulations ensuring universal service and providing for access 07 charges that are compatible with full competition in the provision of local exchange 08 telephone service using all methods allowed by 47 U.S.C. 251 - 276 09 (Telecommunications Act of 1996); and 10  (2) any further regulations necessary to allow and promote local 11 exchange competition, using all methods allowed by 47 U.S.C. 251 - 276 12 (Telecommunications Act of 1996), in the service areas of all local exchange carriers 13 that served 25,000 or more access lines on January 1, 1999 [, OTHER THAN THE 14 SERVICE AREAS OF TELEPHONE COOPERATIVES]. 15 * Sec. 3. AS 42.05.870(c) is amended to read: 16  (c) The commission shall approve or deny applications to provide competitive 17 local exchange telephone service within 90 days after the filing of a complete 18 application and [, EXCEPT FOR APPLICATIONS TO PROVIDE COMPETITIVE 19 LOCAL EXCHANGE TELEPHONE SERVICE IN THE SERVICE AREA OF A 20 TELEPHONE COOPERATIVE,] shall consider competitive local exchange telephone 21 service to be a service required for the convenience and necessity of the public under 22 AS 42.05.241. The commission shall approve an application on a finding that the 23 applicant is fit, willing, and able to provide the service. In accordance with 47 U.S.C. 24 253(f), the commission may require the applicant to offer service throughout the study 25 area of the existing local exchange telephone utility. If the commission fails to 26 approve or deny an application [, OTHER THAN AN APPLICATION TO PROVIDE 27 COMPETITIVE LOCAL EXCHANGE TELEPHONE SERVICE IN THE SERVICE 28 AREA OF A TELEPHONE COOPERATIVE,] within 90 days after the commission 29 has received a complete application, the application is considered approved. 30 * Sec. 4. (a) Section 1 of this Act takes effect immediately under AS 01.10.070(c). 31  (b) Sections 2 and 3 of this Act take effect on the date two years after the day 01 sec. 1 of this Act takes effect.