HBA-DMD H.B. 2904 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2904
By: Seaman
State Affairs
4/9/1999
Introduced



BACKGROUND AND PURPOSE 

Under current law, extended local toll-free calling is available to
individuals in certain exchanges that petition the Public Utility
Commission (commission) for this option. To obtain this service, the local
exchange in a community must petition the commission for extended local
calling and pay a flat monthly fee. However, in some instances, the local
carrier or local exchange company has the option of whether individuals
served by the carrier can or cannot petition the commission for extended
local toll-free calling.  

H.B. 2904 provides that the prohibition against the commission requiring an
incumbent local exchange company (exchange company) that is serving the
petitioning or requested exchange to expand the exchange company toll-free
local calling area if the exchange company has fewer than 10,000 access
lines does not apply to an exchange company that has certificates of
convenience and a necessity to serve more than one service area in this
state, and has a total of more than 10,000 access lines in this state. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 55.044, Utilities Code, by adding Subsection
(c), to provide that the exemption provided by Subsection (a)(1) does not
apply to an incumbent local exchange company that has certificates of
convenience and a necessity to serve more than one service area in this
state, and has a total of more than 10,000 access lines in this state.
Subsection (a)(1) prohibits the Public Utility Commission from requiring an
incumbent local exchange company that is serving the petitioning or
requested exchange to expand the company's toll-free local calling area if
the incumbent local exchange company has fewer than 10,000 access lines. 

SECTION 2.Emergency clause.
  Effective date: upon passage.