HF 3097

1st Engrossment - 86th Legislature (2009 - 2010) Posted on 03/17/2010 12:45pm

A bill for an act
relating to telecommunications; regulating private shared services; modifying
regulatory provisions; amending Minnesota Statutes 2008, sections 237.411,
subdivision 3; 237.74, subdivision 9; proposing coding for new law in Minnesota
Statutes, chapter 237.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2008, section 237.411, subdivision 3, is amended to read:

Subd. 3.

Reduced rate regulation.

The rates, prices, tariffs, or charges to a business
customer in a competitive area by a telephone company or a telecommunications carrier
offering local service are only subject to sections 237.07, subdivision 1; 237.66; and
237.663, and are not subject to any rules imposing rate or price restrictions beyond those
sections or to other order or investigation of local rates under section 237.081. new text begin A telephone
company or telecommunications carrier subject to this subdivision is not required to file
specific price information. However, upon request of the department, the commission, or
the Office of Attorney General, a telephone company or telecommunications carrier must
demonstrate that its pricing complies with subdivision 4.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from May 12, 2009.
new text end

Sec. 2.

Minnesota Statutes 2008, section 237.74, subdivision 9, is amended to read:

Subd. 9.

Discontinuance.

If a physical connection exists between a telephone
exchange system operated by a telephone company and the toll line or lines operated by a
telecommunications carrier, neither of the companies shall have the connection severed or
the service between the companies discontinued without first obtaining an order from the
commission upon an application for permission to discontinue the physical connection.
Upon the filing of an application for discontinuance of the connection, the department
shall investigate and ascertain whether public convenience requires the continuance
of the physical connection, and if the department so finds, the commission shall fix
the compensation, terms, and conditions of the continuance of the physical connection
and service between the telephone company and the telecommunications carrier. Prior
commission approval is not required for severing connections where multiple local
exchange companies are authorized to provide service. However, the commission may
require the connections if it finds that the connections are in the public interest new text begin , but may
not require connections with a telecommunications carrier certified to provide only
interexchange service new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 3.

new text begin [237.681] PRIVATE SHARED SERVICES.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin For the purposes of this section:
new text end

new text begin (1) "private shared services" means the provision of telephone services and
equipment, the provision of video programming services, or the provision of broadband
services within a user group located in discrete private premises, in building complexes,
campuses, or high-rise buildings, by a commercial shared services provider or by a
user association, through privately owned customer premises equipment and associated
data processing and information management services and includes the provision of
connections to the facilities of a local exchange and to long-distance telephone companies;
and
new text end

new text begin (2) "property owner" means a person who owns or, under a contract with the owner,
manages a building, property, complex, or other facility where private shared services
are provided.
new text end

new text begin Subd. 2. new text end

new text begin Requirements. new text end

new text begin A property owner shall establish a single demarcation
point for services and facilities provided by a telephone company providing local exchange
service in the area that is mutually agreeable to the property owner, commercial shared
services provider, and the telephone company. The obligation of a telephone company to
provide service to a customer at a location where private shared services are operating
is limited to providing telephone company service and facilities up to the demarcation
point established for the property where the private shared services are operating. The
property owner may not (1) impose unreasonable restrictions on access to the demarcation
point on the premises by a telephone company or (2) discriminate against or in favor of an
occupant in any manner, including charging the occupant higher or lower rental charges,
because of the occupant's choice of telephone company.
new text end

new text begin Subd. 3. new text end

new text begin Access to alternative provider. new text end

new text begin A tenant of a building, property, complex,
or other facility where private shared services are operating may establish a direct
connection to and receive telephone service from a telephone company providing local
exchange service in the area where the private shared services are operating. At the
request of a tenant where a private shared system is operated, the property owner shall
make its facilities or conduit space available to the tenant to allow the tenant to make
separate connection to and to receive telephone service directly from the telephone
company operating local exchange service in the area. The tenant has the choice of
installing the tenant's own facilities or using the property owner's existing facilities. The
property owner must provide its facilities or conduit space to the tenant at a reasonable
rate and on reasonable terms and conditions. It is the obligation of the tenant to arrange
for premises wire, cable, or other equipment necessary to connect the tenant's telephone
equipment with the facilities of the telephone company operating local exchange service
at the location of the demarcation point.
new text end

new text begin Subd. 4. new text end

new text begin Enforcement. new text end

new text begin If the commission finds that a property owner has failed to
comply with a request under this section, the commission may order the property owner to
make its facilities or conduit space available sufficient to allow the tenant to make separate
connection with the telephone company, and provide the services at reasonable prices
and on reasonable terms and conditions.
new text end

new text begin Subd. 5. new text end

new text begin Exemption. new text end

new text begin A commercial shared services provider is exempt from
section 237.16 if the private shared services are only provided to tenants or for the
provider's own use.
new text end

new text begin Subd. 6. new text end

new text begin Service by local telephone company. new text end

new text begin A telephone company providing
local exchange service shall provide service to any person in a property served by a
commercial shared services provider at the demarcation point within a reasonable time
upon request.
new text end

new text begin Subd. 7. new text end

new text begin Obligation of property owners. new text end

new text begin Nothing in this section requires a
commercial shared services provider to share its wiring, cabling, or other facilities unless
the commercial shared services provider is the property owner.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end