1st Engrossment - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to telecommunications; providing for an 1.3 alternative form of regulation for certain telephone 1.4 companies; providing for reduced reporting 1.5 requirements; clarifying the authority of the public 1.6 utilities commission to issue remedial orders; 1.7 establishing a single per number fee for certain 1.8 telecommunications programs; regulating wireless 1.9 telephone directories; providing for additional cable 1.10 franchises; creating a task force on 1.11 telecommunications; regulating cancellation of long 1.12 distance service; authorizing the city of Alexandria 1.13 to enter into certain telecommunication joint 1.14 ventures; providing penalties; appropriating money; 1.15 amending Minnesota Statutes 2004, sections 237.11; 1.16 237.295, subdivisions 1, 2; 237.462, by adding 1.17 subdivisions; 237.69, subdivision 16, by adding a 1.18 subdivision; 237.70, subdivisions 2, 5; 237.701, 1.19 subdivision 1; 237.74, by adding a subdivision; 1.20 238.08, subdivision 1, by adding a subdivision; 1.21 403.06, subdivision 1a; 403.11, subdivision 1; 1.22 403.113, subdivision 1; 403.30, subdivision 1; Laws 1.23 1999, chapter 224, section 7, as amended; Laws 2002, 1.24 chapter 329, section 5; proposing coding for new law 1.25 in Minnesota Statutes, chapters 237; 325E; 325F; 1.26 repealing Minnesota Statutes 2004, section 237.69, 1.27 subdivisions 5, 17; Laws 1999, chapter 125, section 4, 1.28 as amended. 1.29 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.30 ARTICLE 1 1.31 REGULATORY RELIEF 1.32 Section 1. Minnesota Statutes 2004, section 237.11, is 1.33 amended to read: 1.34 237.11 [INSPECTING RECORDS AND PROPERTY; REPORTS REQUIRED.] 1.35 Every telephone company subject to the provisions of this 1.36 chapter, wherever organized, shall keep an office in this state, 1.37 and make such reports to the department as it shall from time to 2.1 time require. The department shall only require information for 2.2 an annual report from a telephone company, competitive local 2.3 exchange carrier, or independent telephone company that consists 2.4 of the name of the company, contact person, annual revenue, and 2.5 the annual status of the 911 plan update. All books, records, 2.6 and files, whether they relate to competitive or noncompetitive 2.7 services, and all of its property shall be at all times subject 2.8 to inspection by the commission and the department. It shall 2.9 close its accounts and take therefrom a balance sheet on 2.10 December 31 of each year, and on or before May 1 following, such 2.11 balance sheet, together with such other information as the 2.12 department shall require, verified by an officer of the 2.13 telephone company, shall be filed with the commission and the 2.14 department. 2.15 In the event that any telephone company shall fail to file 2.16 its annual report, as provided by this section, the department 2.17 is authorized to make such an examination of the books, records, 2.18 and vouchers of the company as is necessary to procure the 2.19 necessary data for the annual report and cause the same to be 2.20 prepared. The expense of procuring this data and preparing this 2.21 report shall be paid by the telephone company failing to report, 2.22 and the amount paid shall be credited by the commissioner of 2.23 finance to funds appropriated for the expense of the department. 2.24 The department is authorized to force collection of such 2.25 sum by an action at law in the name of the department. 2.26 Sec. 2. Minnesota Statutes 2004, section 237.462, is 2.27 amended by adding a subdivision to read: 2.28 Subd. 13. [REMEDIAL PAYMENTS.] The commission's authority 2.29 under this section includes authority to require refunds, 2.30 payments, or credits intended to provide compensation for 2.31 financial harm resulting from violations subject to penalty 2.32 payments under this section. Any remedial payments under this 2.33 section shall offset penalty payments ordered under subdivision 2.34 2 for the same violations. 2.35 Sec. 3. Minnesota Statutes 2004, section 237.462, is 2.36 amended by adding a subdivision to read: 3.1 Subd. 14. [WHOLESALE SERVICE QUALITY.] The commission's 3.2 authority to adopt wholesale service quality standards includes 3.3 the authority to establish remedy payments to provide 3.4 compensation and enforce those standards. 3.5 Sec. 4. [237.85] [DEFINITIONS.] 3.6 Subdivision 1. [SCOPE.] The definitions in this section 3.7 apply to sections 237.85 to 237.90. 3.8 Subd. 2. [BASIC SERVICE.] "Basic service" means one 3.9 unbundled, single line, unlimited local usage, residential voice 3.10 telephone service or unbundled single line, unlimited local 3.11 usage, business voice telephone service. Basic service includes: 3.12 (1) single party voice-grade service and touch-tone 3.13 capability; 3.14 (2) 911 or enhanced 911 access; 3.15 (3) 1+intraLATA and interLATA presubscription and 3.16 code-specific equal access to interexchange carriers subscribing 3.17 to its switched access service; 3.18 (4) access to directory assistance, directory listings, and 3.19 operator services; 3.20 (5) toll and information service-blocking; 3.21 (6) a white pages and directory assistance listing, or upon 3.22 customer request, a private listing that allows the customer to 3.23 have an unlisted or unpublished telephone number; 3.24 (7) call-tracing capability according to Minnesota Rules, 3.25 chapter 7813; and 3.26 (8) telecommunications relay service capability or access 3.27 necessary to comply with state and federal regulations. 3.28 Subd. 3. [CLASS OF SERVICES.] "Class of services" includes 3.29 all services provided to a particular class of customers, 3.30 including the residential class and the business class. 3.31 Subd. 4. [COMMISSION.] "Commission" means the Public 3.32 Utilities Commission. 3.33 Subd. 5. [COMPETITIVE REGULATION TELEPHONE 3.34 COMPANY.] "Competitive regulation telephone company" is a 3.35 telephone company that the commission authorizes to operate 3.36 under competitive regulation as provided in sections 237.86 to 4.1 237.90. 4.2 Subd. 6. [COMPETITIVE SERVICES REGULATION.] "Competitive 4.3 services regulation" means regulation of services determined to 4.4 be competitive as provided in sections 237.86 to 237.90. 4.5 Sec. 5. [237.86] [COMPETITIVE SERVICES REGULATION.] 4.6 Subdivision 1. [COMPETITION STANDARD.] Competitive 4.7 regulation as provided in sections 237.86 to 237.90 is permitted 4.8 for the residential services offered by a telephone company in 4.9 an exchange where three or more competitors offer comparable 4.10 retail residential services in the exchange. A residential 4.11 service is not comparable unless it provides basic service with 4.12 911 access through the dedicated 911 network. Competitive 4.13 regulation as provided in sections 237.86 to 237.90 is permitted 4.14 for the business class of services offered by a telephone 4.15 company in an exchange where three or more competitors offer 4.16 comparable service in an exchange through the use of unbundled 4.17 network elements, resale, voice over Internet protocol, 4.18 wireless, or a provider's own facilities, including cable. The 4.19 competitors must not be affiliated with the telephone company 4.20 seeking to be regulated under sections 237.86 to 237.90. 4.21 Subd. 2. [PETITION AND APPROVAL PROCESS.] (a) A telephone 4.22 company may petition the commission to have its retail 4.23 residential or business services in an exchange regulated as 4.24 provided in sections 237.86 to 237.90. The petition shall be 4.25 served upon the residential and small business utilities 4.26 division of the office of the attorney general, the Department 4.27 of Commerce, and any other persons who have requested to be on a 4.28 commissioner service list for petitions filed under this section. 4.29 (b) A petition shall be approved by the commission within 4.30 20 days after it is filed if it includes a signed affidavit that 4.31 identifies three or more competitors to the customer class or 4.32 classes in the exchange or exchanges covered by the petition. 4.33 The affidavit must be signed by an employee of the telephone 4.34 company with knowledge and the authority to make representations 4.35 on behalf of the company. Within 30 days after filing of the 4.36 affidavit, any interested person may file objections to the 5.1 petition setting forth the grounds upon which the person 5.2 believes the standard set forth in this section for competitive 5.3 services regulation has not been met. If the commission 5.4 determines after a hearing that the telephone company has failed 5.5 to meet the standard for competitive services regulation for a 5.6 particular class of services in a particular exchange, the 5.7 commission shall revoke the telephone company's competitive 5.8 regulation authority under sections 237.86 to 237.90 for those 5.9 services in the exchange in questions consistent with its 5.10 findings. 5.11 Sec. 6. [237.87] [RATES FOR SERVICES SUBJECT TO 5.12 COMPETITIVE SERVICES REGULATION.] 5.13 Subdivision 1. [PRICE AND SERVICE OFFERINGS.] A 5.14 competitive regulation telephone company may offer new local 5.15 services or change the prices, terms, or conditions of existing 5.16 local services as provided in this section for each class of 5.17 services in each exchange in which the commission has approved a 5.18 petition under section 237.86, subdivision 2. 5.19 Subd. 2. [BASIC SERVICE RATES.] (a) A competitive 5.20 regulation telephone company shall not increase its monthly 5.21 one-party residential and one-party business rates and 5.22 nonrecurring basic service rates for three years after the 5.23 commission has approved a petition under section 237.86, 5.24 subdivision 2. After three years, a basic services regulated 5.25 company may annually increase its monthly one-party residential 5.26 and one-party business rates and nonrecurring one-party 5.27 residential and one-party business installation service rates by 5.28 a percentage equal to or less than the inflation rate for the 5.29 prior year as measured by the Gross Domestic Product Price 5.30 Index, published by the federal government. 5.31 (b) Extended area service rates shall not be increased by a 5.32 competitive regulation telephone company without prior 5.33 commission approval. 5.34 (c) A competitive regulation telephone company may assess 5.35 special construction charges approved by the commission if 5.36 existing facilities are not available to the customer. 6.1 (d) Notwithstanding paragraph (a), a competitive regulation 6.2 telephone company may petition the commission and the commission 6.3 may authorize changes in residential or business local rates 6.4 associated with exongeous changes, including, but not limited 6.5 to, changes in the instrastate financial impact of: 6.6 (1) changes in intercarrier compensation; 6.7 (2) comprehensive local service rate restructuring; 6.8 (3) rate deaveraging; 6.9 (4) changes in universal service or funding payments; 6.10 (5) changes in local, state, or federal taxes; 6.11 (6) changes in the commission's application of 6.12 jurisdictional separation, the Uniform System of Accounts, or 6.13 other mandatory Financial Accounting Standards Board accounting 6.14 standards; 6.15 (7) assessments related to the use of telephone numbers, 6.16 including mandated number conservation efforts; and 6.17 (8) financial impacts of government mandates to construct 6.18 specific telecommunications infrastructure or develop systems. 6.19 Subd. 3. [OTHER PRICES SUBJECT TO EFFECTIVE 6.20 COMPETITION.] A competitive regulation telephone company's 6.21 prices for its intrastate retail services, other than basic 6.22 services and extended area service rates, are not subject to any 6.23 rate or price regulation except that the commission may, upon 6.24 complaint, order a competitive regulation telephone company to 6.25 change a retail or wholesale price or pricing practice or take 6.26 other appropriate action if the commission determines, after an 6.27 investigation, that: 6.28 (1) the price or pricing practice unreasonably restricts 6.29 resale in violation of Minnesota Statutes, section 237.121, 6.30 paragraph (a), clause (5); 6.31 (2) the price or pricing practice is unreasonably 6.32 discriminatory in violation of subdivision 6; 6.33 (3) the price or pricing practice is deceptive, misleading, 6.34 fraudulent, as those terms are defined in state or federal law, 6.35 or is otherwise unlawful under state or federal law; 6.36 (4) the price or pricing practice has caused or will result 7.1 in substantial customer harm; or 7.2 (5) the price or pricing practice will impede the 7.3 development of fair and reasonable competition or reflects the 7.4 absence of an effectively competitive market. 7.5 Subd. 4. [TARIFF CHANGES.] A competitive regulation 7.6 telephone company may offer new services or change the prices, 7.7 terms, or conditions of existing local service as permitted by 7.8 this section by filing amendments to its tariffs. These tariff 7.9 filings take effect as follows: 7.10 (a) A new service, price decrease, promotion, or 7.11 insubstantial change in the terms or conditions of a service may 7.12 take effect immediately upon filing without prior notice to 7.13 customers. 7.14 (b) A price increase, a substantial change in a term or 7.15 condition of a service, or a discontinuation of a service other 7.16 than basic local service may take effect 20 days after filing 7.17 and providing written notice to affected customers as provided 7.18 in clauses (1) and (2): 7.19 (1) the written notice of a price increase must be given in 7.20 simple and clear language by bill insert, bill notice, or direct 7.21 mail. To be simple and clear, the notice must bear the heading 7.22 "NOTICE OF PRICE INCREASE." 7.23 (2) the written notice of a substantial change in a term or 7.24 condition of service or of the discontinuance of a service must 7.25 be given in simple and clear language by bill insert, bill 7.26 notice, or direct mail. To be simple and clear, the notice 7.27 must, at a minimum, bear a heading such as "NOTICE OF CHANGE IN 7.28 TERMS" or "NOTICE OF DISCONTINUANCE," as appropriate. 7.29 Subd. 5. [COST INFORMATION.] The commission shall not 7.30 require a competitive regulation telephone company to file cost 7.31 information unless the commission determines that cost 7.32 information is needed to resolve a complaint or investigation 7.33 alleging that the competitive regulation telephone company is 7.34 violating a standard set forth in this section. 7.35 Subd. 6. [DISCRIMINATION.] No competitive regulation 7.36 telephone company may offer competitive services within the 8.1 state on terms or rates that are unreasonably discriminatory. 8.2 At a minimum, a competitive regulation telephone company must 8.3 provide its competitive services in accordance with paragraphs 8.4 (a) to (c). 8.5 (a) A competitive regulation telephone company shall charge 8.6 uniform rates for local services within its service area. 8.7 However, a competitive regulation telephone company may, upon a 8.8 filing under subdivision 4: 8.9 (1) offer unique pricing to certain customers or to certain 8.10 geographic locations for promotions as provided in section 8.11 237.626 or customer incentives of the type offered by other 8.12 providers and may offer local service as part of a package that 8.13 may include goods and services other than telecommunications 8.14 services. Nothing in this section is intended to give the 8.15 commission or department regulatory authority over 8.16 nontelecommunications services provided by the competitive 8.17 regulation telephone company; 8.18 (2) provide volume or term discounts; 8.19 (3) offer prices unique to particular customers, or groups 8.20 of customers, when differences in the cost of providing a 8.21 service, market conditions, or pricing practices of a competitor 8.22 justify a different price; 8.23 (4) pass through any legislatively authorized local taxes, 8.24 franchise fees, or special surcharges imposed by local or 8.25 regional governmental units on the services provided by the 8.26 competitive regulation telephone company in specific geographic 8.27 areas from which the taxes, fees, or surcharges originate; or 8.28 (5) furnish service free or at a reduced rate to its 8.29 officers, agents, or employees in furtherance of their 8.30 employment. 8.31 (b) A tariff providing for prices unique to particular 8.32 customers or groups of customers under paragraph (a), clause 8.33 (3), shall identify the service for which a unique price is 8.34 available and the conditions under which the unique price is 8.35 available. 8.36 (c) In addition to the exceptions provided in paragraph 9.1 (a), a competitive regulation telephone company may also charge 9.2 different rates for competitive local services within its 9.3 service territory upon a prior finding by the commission that 9.4 the competitive regulation telephone company has good cause to 9.5 do so. 9.6 Subd. 7. [PROTECTION FROM ANTICOMPETITIVE PRICING.] This 9.7 subdivision applies to prices governed by this section other 9.8 than one single-line local residential voice service or one 9.9 single-line local business voice telephone service. A 9.10 competitive regulation telephone company must not price its 9.11 local telephone services, whether offered singly or as part of a 9.12 bundle of services, below the total service long-run incremental 9.13 cost of providing the service or services. 9.14 Subd. 8. [RETAIL SERVICES ONLY.] The provisions of this 9.15 section apply only to retail services. 9.16 Subd. 9. [WHOLESALE OBLIGATIONS UNDER STATE AND FEDERAL 9.17 LAW.] Nothing in this section shall alter any wholesale 9.18 obligation of a competitive regulation telephone company under 9.19 state or federal law or the ability of the commission to enforce 9.20 applicable provisions of state or federal law. 9.21 Subd. 10. [COMPLAINTS.] The commission may investigate on 9.22 its own motion or upon a complaint an alleged violation of this 9.23 section. If the commission finds by a preponderance of the 9.24 evidence after a proceeding that existing rates, tariffs, 9.25 charges, schedules, or practices violate an applicable provision 9.26 of this chapter, the commission shall take appropriate action, 9.27 which may include ordering the competitive regulation telephone 9.28 company to; 9.29 (1) change the rate, tariff, charge, schedule, or practice; 9.30 (2) make the service reasonable, adequate, or obtainable; 9.31 or 9.32 (3) take other appropriate action. 9.33 Sec. 7. [237.88] [RATES NOT SUBJECT TO EFFECTIVE 9.34 COMPETITION.] 9.35 A competitive regulation telephone company's rates for 9.36 services in exchanges which the commission has not permitted to 10.1 be regulated under sections 237.86 to 237.90 shall be regulated 10.2 as otherwise provided in this chapter, except that a new 10.3 alternative form of regulation plan may apply only to those 10.4 services which have not been determined to be subject to 10.5 competitive services regulation or have been exempted from rate 10.6 regulation under section 237.411. 10.7 Sec. 8. [237.89] [AFOR SERVICE QUALITY; INTERIM 10.8 PROVISION.] 10.9 A competitive regulation telephone company shall comply 10.10 with the service quality standards, penalties, and remedies in 10.11 an AFOR plan in effect on June 1, 2005, until one year after the 10.12 commission authorizes competitive regulation for that telephone 10.13 company or the expiration of the AFOR plan, whichever is 10.14 earlier. After that time, competitive services are subject to 10.15 commission service quality rules of general applicability. 10.16 Sec. 9. [237.90] [APPLICABILITY OF OTHER LAWS; 10.17 COMMISSION.] 10.18 A competitive regulation telephone company is not subject 10.19 to rate-of-return regulation or the earnings investigations 10.20 provisions of sections 237.075, 237.081, and 237.22 during the 10.21 term of the election. Except as specifically provided in this 10.22 section, the commission retains all authority under this chapter 10.23 and competitive regulation telephone companies are subject to 10.24 the requirements of this chapter and rules of the commission, 10.25 including, but not limited to, laws and rules relating to the 10.26 provider of last resort obligations and service quality. 10.27 Sec. 10. Laws 1999, chapter 224, section 7, as amended by 10.28 Laws 2004, chapter 261, article 6, section 3, is amended to read: 10.29 Sec. 7. [SUNSET.] 10.30Sections 2 and 4 expire on August 1, 2005, andMinnesota 10.31 Statutes 1998, sections 237.63, 237.65, and 237.68, expire on 10.32 December 31, 2004. 10.33 [EFFECTIVE DATE.] This section is effective the day 10.34 following final enactment. 10.35 Sec. 11. [ANTISLAMMING AND OTHER FRAUD.] 10.36 Nothing in this act undermines or changes the consumer 11.1 protection laws found in Minnesota Statutes, sections 237.661; 11.2 237.663; and 237.665; or 325F.692. 11.3 ARTICLE 2 11.4 PER NUMBER FEE 11.5 Section 1. Minnesota Statutes 2004, section 237.295, 11.6 subdivision 1, is amended to read: 11.7 Subdivision 1. [PAYMENT FOR INVESTIGATIONFILING FEE FOR 11.8 NEW AUTHORITY.](a) Whenever the department or commission, in a11.9proceeding upon its own motion, on complaint, or upon an11.10application to it, considers it necessary, in order to carry out11.11the duties imposed on it, to investigate the books, accounts,11.12practices, and activities of any company, parties to the11.13proceeding shall pay the expenses reasonably attributable to the11.14proceeding. The department and commission shall ascertain the11.15expenses, and the department shall render a bill for those11.16expenses to the parties, at the conclusion of the proceeding.11.17The department is authorized to submit billings to parties at11.18intervals selected by the department during the course of a11.19proceeding.11.20(b) The allocation of costs may be adjusted for cause by11.21the commission during the course of the proceeding, or upon the11.22closing of the docket and issuance of an order. In addition to11.23the rights granted in subdivision 3, parties to a proceeding may11.24object to the allocation at any time during the proceeding.11.25Withdrawal by a party to a proceeding does not absolve the party11.26from paying allocated costs as determined by the commission.11.27The commission may decide that a party should not pay any11.28allocated costs of the proceeding.11.29(c) The bill constitutes notice of the assessment and a11.30demand for payment. The amount of the bills assessed by the11.31department under this subdivision must be paid by the parties11.32into the state treasury within 30 days from the date of11.33assessment. The total amount, in a calendar year, for which a11.34telephone company may become liable, by reason of costs incurred11.35by the department and commission within that calendar year, may11.36not exceed two-fifths of one percent of the gross jurisdictional12.1operating revenue of the telephone company in the last preceding12.2calendar year. Direct charges may be assessed without regard to12.3this limitation until the gross jurisdictional operating revenue12.4of the telephone company for the preceding calendar year has12.5been reported for the first time. Where, under this12.6subdivision, costs are incurred within a calendar year that are12.7in excess of two-fifths of one percent of the gross12.8jurisdictional operating revenues, the excess costs are not12.9chargeable as part of the remainder under subdivision 2.12.10(d) Except as otherwise provided in paragraph (e), for12.11purposes of assessing the cost of a proceeding to a party,12.12"party" means any entity or group subject to the laws and rules12.13of this state, however organized, whether public or private,12.14whether domestic or foreign, whether for profit or nonprofit,12.15and whether natural, corporate, or political, such as a business12.16or commercial enterprise organized as any type or combination of12.17corporation, limited liability company, partnership, limited12.18liability partnership, proprietorship, association, cooperative,12.19joint venture, carrier, or utility, and any successor or12.20assignee of any of them; a social or charitable organization;12.21and any type or combination of political subdivision, which12.22includes the executive, judicial, or legislative branch of the12.23state, a local government unit, an agency of the state or a12.24local government unit, or a combination of any of them.12.25(e) For assessment and billing purposes, "party" does not12.26include the Department of Commerce or the Residential Utilities12.27Division of the Office of Attorney General; any entity or group12.28instituted primarily for the purpose of mutual help and not12.29conducted for profit; intervenors awarded compensation under12.30section 237.075, subdivision 10; or any individual or group or12.31counsel for the individual or group representing the interests12.32of end users or classes of end users of services provided by12.33telephone companies or telecommunications carriers, as12.34determined by the commissionAn application for a new authority 12.35 must be accompanied by a payment not to exceed $2,000 as 12.36 determined by the Public Utilities Commission. This fee will be 13.1 reviewed annually and adjusted accordingly. 13.2 Sec. 2. Minnesota Statutes 2004, section 237.295, 13.3 subdivision 2, is amended to read: 13.4 Subd. 2. [ASSESSMENT OF COSTS.] The department and 13.5 commission shall quarterly, at least 30 days before the start of 13.6 each quarter, estimate the total of their expenditures in the 13.7 performance of their duties relating to telephone companies, 13.8 other than amounts chargeable to telephone companies under 13.9 subdivision 1, 5, or 6. The remainder must be assessed by the 13.10 department to the telephone companies operating in this state in 13.11 proportion to their respective gross jurisdictional operating 13.12 revenues during the last calendar year. The assessment must be 13.13 paid into the state treasury within 30 days after the bill has 13.14 been mailed to the telephone companies. The bill constitutes 13.15 notice of the assessment and demand of payment.The total13.16amount that may be assessed to the telephone companies under13.17this subdivision may not exceed one-eighth of one percent of the13.18total gross jurisdictional operating revenues during the13.19calendar year.The assessment for the third quarter of each 13.20 fiscal year must be adjusted to compensate for the amount by 13.21 which actual expenditures by the commission and department for 13.22 the preceding fiscal year were more or less than the estimated 13.23 expenditures previously assessed. A telephone company with 13.24 gross jurisdictional operating revenues of less than $5,000 is 13.25 exempt from assessments under this subdivision. 13.26 Sec. 3. [237.491] [COMBINED PER NUMBER FEE.] 13.27 Subdivision 1. [DEFINITIONS.] (a) The definitions in this 13.28 subdivision apply to this section. 13.29 (b) "911 emergency and public safety communications program" 13.30 means the program governed by chapter 403. 13.31 (c) "Service provider" means a provider doing business in 13.32 Minnesota who provides real time, two-way voice service with a 13.33 Minnesota telephone number. "Minnesota telephone number" means 13.34 a ten-digit telephone number being used to connect to the public 13.35 switched telephone network and starting with area code 651, 612, 13.36 763, 952, 320, 218, or 507, or any subsequent area code assigned 14.1 to Minnesota. 14.2 (d) "Telecommunications access Minnesota program" means the 14.3 program governed by sections 237.50 to 237.55. 14.4 (e) "Telephone assistance program" means the program 14.5 governed by sections 237.69 to 237.711. 14.6 Subd. 2. [PER NUMBER FEE.] (a) By July 1, 2006, the Public 14.7 Utilities Commission shall establish a fee that applies to each 14.8 service provider based upon the number of Minnesota telephone 14.9 numbers in use by current customers of the service provider. 14.10 The fee must be set at a level calculated to generate only the 14.11 amount of revenue necessary to fund: 14.12 (1) the telephone assistance program and the 14.13 telecommunications access Minnesota program at the levels 14.14 established by the commission under sections 237.52, subdivision 14.15 2, and 237.70; and 14.16 (2) the 911 emergency and public safety communications 14.17 program at the levels certified by the commissioner of public 14.18 safety for purposes of sections 403.11, 403.113, 403.27, 403.30, 14.19 and 403.31 for current fiscal years. 14.20 (b) Notwithstanding any law to the contrary, the Public 14.21 Utilities Commission shall, by order, establish the procedures 14.22 by which each service provider, to the extent allowed under 14.23 federal law, shall collect and remit the fee proceeds to the 14.24 Department of Revenue. The commissioner of revenue shall 14.25 allocate the fee proceeds to the three funding areas in 14.26 paragraph (a) and shall deposit the allocations into the 14.27 appropriate accounts. 14.28 (c) The per access line fee used to collect revenues to 14.29 support the TAP, TAM, and 911 programs shall remain in effect 14.30 until replaced by the per telephone number fee. 14.31 Sec. 4. Minnesota Statutes 2004, section 237.69, 14.32 subdivision 16, is amended to read: 14.33 Subd. 16. [TELEPHONE ASSISTANCE PLAN.] "Telephone 14.34 assistance plan" means the plan to be adopted by the commission 14.35 and to be jointly administered by the commission, the Department 14.36 ofHuman Services, and the telephone companies,Commerce, and 15.1 the local service providers, as required by sections 237.69 to 15.2 237.711. 15.3 Sec. 5. Minnesota Statutes 2004, section 237.69, is 15.4 amended by adding a subdivision to read: 15.5 Subd. 18. [LOCAL SERVICE PROVIDER.] "Local service 15.6 provider" means: 15.7 (1) a telephone company or telecommunications carrier 15.8 providing local service in Minnesota pursuant to a certificate 15.9 of authority granted by the commission; or 15.10 (2) a commercial mobile radio service (CMRS) provider, 15.11 personal communications services (PCS) provider, or other 15.12 wireless provider offering the functional equivalent of CMRS or 15.13 PCS in Minnesota, which has been designated by the commission as 15.14 an eligible telecommunications carrier in Minnesota pursuant to 15.15 47 United States Code, section 214, and relevant federal 15.16 regulations. 15.17 Sec. 6. Minnesota Statutes 2004, section 237.70, 15.18 subdivision 2, is amended to read: 15.19 Subd. 2. [SCOPE.] The telephone assistance plan must be 15.20 statewide and apply to local service providers that provide 15.21local exchangeservice in Minnesota. 15.22 Sec. 7. Minnesota Statutes 2004, section 237.70, 15.23 subdivision 5, is amended to read: 15.24 Subd. 5. [NATURE AND EXTENT OF CREDITS.] The telephone 15.25 assistance plan may provide for telephone assistance credits to 15.26 eligible households up to the amounts available under the 15.27 federal matching plan. However, the credits available under the 15.28 telephone assistance plan may not exceed: 15.29 (1) more than 50 percent of the localexchangerate charged 15.30 for the localexchangeservice provided to the household by that 15.31 household's local service provider; and 15.32 (2) the level of credits that can actually be funded in 15.33 accordance with the limitations contained in subdivision 6. 15.34 Sec. 8. Minnesota Statutes 2004, section 237.701, 15.35 subdivision 1, is amended to read: 15.36 Subdivision 1. [FUND CREATED; AUTHORIZED EXPENDITURES.] 16.1 The telephone assistance fund is created as a separate account 16.2 in the state treasury to consist of amounts received by the 16.3 commissioner of public safety representing the surcharge 16.4 authorized by section 237.70, subdivision 6, and amounts earned 16.5 on the fund assets. Money in the fund may be used only for: 16.6 (1) reimbursement to local service providers for expenses 16.7 and credits allowed in section 237.70, subdivision 7, paragraph 16.8 (d), clause (5); 16.9 (2) reimbursement of the reasonable administrative expenses 16.10 of the commissionnot to exceed $25,000 annually, a portion of 16.11 which may be used for periodic promotional activities, 16.12 including, but not limited to, radio or newspaper 16.13 advertisements, to inform eligible households of the 16.14 availability of the telephone assistance program; and 16.15 (3) reimbursement of the statewide indirect cost of the 16.16 commission. 16.17 Sec. 9. [325F.991] [911 EMERGENCY PHONE SERVICE 16.18 REPRESENTATIONS.] 16.19 Subdivision 1. [DEFINITIONS.] For purposes of this 16.20 section, the terms defined in this subdivision have the meanings 16.21 given them. 16.22 (a) "911 emergency telecommunications system" means a 16.23 dedicated emergency telecommunications system required by 16.24 section 403.025. 16.25 (b) "Person" means an individual, corporation, firm, or 16.26 other legal entity. 16.27 (c) "Service provider" means a person doing business in 16.28 Minnesota who provides real time, two-way voice service 16.29 interconnected with the public switched telephone network using 16.30 numbers allocated for Minnesota by the North American Numbering 16.31 Plan Administration. 16.32 Subd. 2. [REPRESENTATIONS OF 911 SERVICE.] A person shall 16.33 not advertise, market, or otherwise represent that the person 16.34 furnishes a service capable of providing access to emergency 16.35 services by dialing 911 unless the person provides a service 16.36 that routes 911 calls through the 911 emergency 17.1 telecommunications system. 17.2 Subd. 3. [DISCLOSURE.] A service provider that does not 17.3 provide 911 dialing that routes 911 calls through the 911 17.4 emergency telecommunications system must disclose that fact in 17.5 all advertisements, marketing materials, and contracts. The 17.6 disclosure must be in capital letters, in 12-point font, and on 17.7 the front page of the advertisement, marketing materials, and 17.8 contracts. The disclosure must state: "THIS SERVICE DOES NOT 17.9 ROUTE 911 CALLS THROUGH THE 911 EMERGENCY SYSTEM." 17.10 Subd. 4. [CERTAIN CALLS NOT 911 CALLS.] For purposes of 17.11 this section, 911 calls routed to the general access number at a 17.12 public safety answering point do not qualify as being routed 17.13 through a 911 emergency telecommunications system. 17.14 Sec. 10. Minnesota Statutes 2004, section 403.06, 17.15 subdivision 1a, is amended to read: 17.16 Subd. 1a. [BIENNIAL BUDGET; ANNUAL FINANCIAL REPORT.] The 17.17 commissioner shall prepare a biennial budget for maintaining the 17.18 911 system. By December 15 of each year, the commissioner shall 17.19 submit a report to the legislature detailing the expenditures 17.20 for maintaining the 911 system, the 911 feescollecteddeposited 17.21 by the Department of Revenue, the balance of the 911 fund, and 17.22 the 911-related administrative expenses of the commissioner. 17.23 The commissioner is authorized to expend money that has been 17.24 appropriated to pay for the maintenance, enhancements, and 17.25 expansion of the 911 system. 17.26 Sec. 11. Minnesota Statutes 2004, section 403.11, 17.27 subdivision 1, is amended to read: 17.28 Subdivision 1. [EMERGENCY TELECOMMUNICATIONS SERVICE FEE.] 17.29 (a) Each customer of a wireless or wire-line telecommunications 17.30 service provider that furnishes service capable of originating a 17.31 911 emergency telephone call is assessed a fee under section 17.32 237.491 to cover the costs of ongoing maintenance and related 17.33 improvements for trunking and central office switching equipment 17.34 for 911 emergency telecommunications service, plus 17.35 administrative and staffing costs of the commissioner related to 17.36 managing the 911 emergency telecommunications service program. 18.1 Recurring charges by a wire-line telecommunications service 18.2 provider for updating the information required by section 18.3 403.07, subdivision 3, must be paid by the commissioner if the 18.4 wire-line telecommunications service provider is included in an 18.5 approved 911 plan and the charges are made pursuant to tariff, 18.6 price list, or contract. A portion of the fee assessed under 18.7thissection 237.491 must also be used for the purpose of 18.8 offsetting the costs, including administrative and staffing 18.9 costs, incurred by the State Patrol Division of the Department 18.10 of Public Safety in handling 911 emergency calls made from 18.11 wireless phones. 18.12 (b) Money remaining in the 911 emergency telecommunications 18.13 service account after all other obligations are paid must not 18.14 cancel and is carried forward to subsequent years and may be 18.15 appropriated from time to time to the commissioner to provide 18.16 financial assistance to counties for the improvement of local 18.17 emergency telecommunications services. The improvements may 18.18 include providing access to 911 service for telecommunications 18.19 service subscribers currently without access and upgrading 18.20 existing 911 service to include automatic number identification, 18.21 local location identification, automatic location 18.22 identification, and other improvements specified in revised 18.23 county 911 plans approved by the commissioner. 18.24 (c)The fee may not be less than eight cents nor more than18.2540 cents a month for each customer access line or other basic18.26access service, including trunk equivalents as designated by the18.27Public Utilities Commission for access charge purposes and18.28including wireless telecommunications services. With the18.29approval of the commissioner of finance, the commissioner of18.30public safety shall establish the amount of the fee within the18.31limits specified and inform the companies and carriers of the18.32amount to be collected. When the revenue bonds authorized under18.33section 403.27, subdivision 1, have been fully paid or defeased,18.34the commissioner shall reduce the fee to reflect that debt18.35service on the bonds is no longer needed. The commissioner18.36shall provide companies and carriers a minimum of 45 days'19.1notice of each fee change. The fee must be the same for all19.2customers.19.3(d) The fee must be collected by each wireless or wire-line19.4telecommunications service provider subject to the fee. Fees19.5are payable to and must be submitted to the commissioner monthly19.6before the 25th of each month following the month of collection,19.7except that fees may be submitted quarterly if less than $250 a19.8month is due, or annually if less than $25 a month is due.19.9Receipts must be deposited in the state treasury and credited to19.10a 911 emergency telecommunications service account in the19.11special revenue fund. The money in the account may only be used19.12for 911 telecommunications services.19.13(e)This subdivision does not apply to customers of 19.14 interexchange carriers. 19.15(f)(d) The installation and recurring charges for 19.16 integrating wireless 911 calls into enhanced 911 systems must be 19.17 paid by the commissioner if the 911 service provider is included 19.18 in the statewide design plan and the charges are made pursuant 19.19 to tariff, price list, or contract. 19.20 Sec. 12. Minnesota Statutes 2004, section 403.113, 19.21 subdivision 1, is amended to read: 19.22 Subdivision 1. [FEEGRANT.] (a)Each customer receiving19.23service from a wireless or wire-line telecommunications service19.24provider is assessed a feeThe commissioner shall budget for and 19.25 provide grants to PSAPs to fund implementation, operation, 19.26 maintenance, enhancement, and expansion of enhanced 911 service, 19.27 including acquisition of necessary equipment and the costs of 19.28 the commissioner to administer the program.The actual fee19.29assessed under section 403.11 and the enhanced 911 service fee19.30must be collected as one amount and may not exceed the amount19.31specified in section 403.11, subdivision 1, paragraph (c).19.32 (b)The enhanced 911 service fee must be collected and19.33deposited in the same manner as the fee in section 403.11 and19.34used solely for the purposes of paragraph (a) and subdivision 3.19.35(c)The commissioner, in consultation with counties and 911 19.36 system users, shall determine the amount of the enhanced 911 20.1 servicefeegrant. Thefeegrant must include at leastten20.2cents per monththe amount funded in fiscal year 2005 to be 20.3 distributed under subdivision 2.The commissioner shall inform20.4wireless and wire-line telecommunications service providers that20.5provide service capable of originating a 911 emergency telephone20.6call of the total amount of the 911 service fees in the same20.7manner as provided in section 403.11.20.8 Sec. 13. Minnesota Statutes 2004, section 403.30, 20.9 subdivision 1, is amended to read: 20.10 Subdivision 1. [STANDING APPROPRIATION; COSTS COVERED.] 20.11 For each fiscal year beginning with the fiscal year commencing 20.12 July 1, 1997, the amount necessary to pay the following costs is 20.13 appropriated to the commissioner of public safety from the 911 20.14 emergency telecommunications service account established under 20.15 section 403.11: 20.16 (1) debt service costs and reserves for bonds issued 20.17 pursuant to section 403.27; 20.18 (2) repayment of the right-of-way acquisition loans; 20.19 (3) costs of design, construction, maintenance of, and 20.20 improvements to those elements of the first, second, and third 20.21 phases that support mutual aid communications and emergency 20.22 medical services; 20.23 (4) recurring charges for leased sites and equipment for 20.24 those elements of the first, second, and third phases that 20.25 support mutual aid and emergency medical communication services; 20.26 or 20.27 (5) aid to local units of government for sites and 20.28 equipment in support of mutual aid and emergency medical 20.29 communications services. 20.30 This appropriation shall be used to pay annual debt service 20.31 costs and reserves for bonds issued pursuant to section 403.27 20.32 prior to use of fee money to pay other costs eligible under this 20.33 subdivision. In no event shall the appropriation for each 20.34 fiscal year exceed an amount equal tofour cents a month for20.35each customer access line or other basic access service,20.36including trunk equivalents as designated by the Public21.1Utilities Commission for access charge purposes and including21.2cellular and other nonwire access services, in the fiscal21.3year4/40 of the amount collected by the fiscal year 2005 911 21.4 fee. Beginning July 1,20042005, this amount will increase 21.5 to13 cents a month13/40 of the amount collected by the fiscal 21.6 year 2005 911 fee. 21.7 Sec. 14. [REPEALER.] 21.8 (a) Minnesota Statutes 2004, section 237.69, subdivisions 5 21.9 and 17, are repealed. 21.10 (b) Laws 1999, chapter 125, section 4, as amended by Laws 21.11 2002, chapter 398, section 2, is repealed. 21.12 Sec. 15. [EFFECTIVE DATE.] 21.13 Sections 1 to 14 are effective the day following final 21.14 enactment. 21.15 ARTICLE 3 21.16 WIRELESS DIRECTORIES 21.17 Section 1. [325E.317] [DEFINITIONS 21.18 Subdivision 1. [SCOPE.] For the purposes of sections 21.19 325E.317 and 325E.318, the terms defined in this section have 21.20 the meanings given them. 21.21 Subd. 2. [PROVIDER.] "Provider" means a provider of 21.22 wireless telecommunications services. 21.23 Subd. 3. [TELECOMMUNICATIONS 21.24 SERVICES.] "Telecommunications services" has the meaning given 21.25 in section 297A.61, subdivision 24, paragraph (a). 21.26 Subd. 4. [WIRELESS DIRECTORY ASSISTANCE 21.27 SERVICE.] "Wireless directory assistance service" means any 21.28 service for connecting calling parties to a wireless 21.29 telecommunications services customer when the calling parties 21.30 themselves do not possess the customer's wireless telephone 21.31 number information. 21.32 Subd. 5. [WIRELESS TELECOMMUNICATIONS SERVICES.] "Wireless 21.33 telecommunications services" has the meaning given in section 21.34 325F.695. 21.35 Subd. 6. [WIRELESS TELEPHONE DIRECTORY.] "Wireless 21.36 telephone directory" means a directory or database containing 22.1 wireless telephone number information or any other identifying 22.2 information by which a calling party may reach a wireless 22.3 telecommunications services customer. 22.4 Subd. 7. [WIRELESS TELEPHONE NUMBER 22.5 INFORMATION.] "Wireless telephone number information" means the 22.6 telephone number, electronic address, and any other identifying 22.7 information by which a calling party may reach a wireless 22.8 telecommunications services customer, which is assigned by a 22.9 provider to the customer and includes the customer's name and 22.10 address. 22.11 Sec. 2. [325E.318] [WIRELESS DIRECTORIES.] 22.12 Subdivision 1. [NOTICE.] No provider of wireless 22.13 telecommunications service, or any direct or indirect affiliate 22.14 or agent of a provider, may include the wireless telephone 22.15 number information of a customer in a wireless telephone 22.16 directory assistance service database or publish, sell, or 22.17 otherwise disseminate the contents of a wireless telephone 22.18 directory assistance service database unless the provider 22.19 provides a conspicuous notice to the subscriber informing the 22.20 subscriber that the subscriber will not be listed in a wireless 22.21 directory assistance service database without the subscriber's 22.22 prior express authorization. 22.23 Subd. 2. [AUTHORIZATION.] (a) A provider, or any direct or 22.24 indirect affiliate or agent of a provider, may not disclose, 22.25 provide, or sell a customer's wireless telephone number 22.26 information, or any part thereof, for inclusion in a wireless 22.27 telephone directory of any form, and may not sell a wireless 22.28 telephone directory containing a customer's wireless telephone 22.29 number information without first receiving prior express 22.30 authorization from the customer. The customer's authorization 22.31 must meet the following requirements: 22.32 (1) consent shall be affirmatively obtained separately from 22.33 the execution of the service contract via verifiable means; and 22.34 (2) consent shall be unambiguous and conspicuously disclose 22.35 that the subscriber is consenting to have the customer's dialing 22.36 number sold or licensed as part of a publicly available 23.1 directory assistance database. 23.2 (b) A record of the authorization shall be maintained for 23.3 the duration of the service contract or any extension of the 23.4 contract. 23.5 (c) A subscriber who provides express consent pursuant to 23.6 paragraph (a) may revoke that consent at any time. A provider 23.7 must comply with the customer's request to be removed from the 23.8 directory and remove such listing from directory assistance 23.9 within 60 days. 23.10 Subd. 3. [NO FEE TO RETAIN PRIVACY.] A customer shall not 23.11 be charged for opting not to be listed in a wireless telephone 23.12 directory. 23.13 Subd. 4. [REMEDIES.] A person who violates this section is 23.14 subject to the remedies under section 8.31, except subdivision 23.15 3a. 23.16 Sec. 3. [EFFECTIVE DATE.] 23.17 Sections 1 and 2 are effective the day following final 23.18 enactment. 23.19 ARTICLE 4 23.20 CABLE FRANCHISE 23.21 Section 1. Minnesota Statutes 2004, section 238.08, 23.22 subdivision 1, is amended to read: 23.23 Subdivision 1. [REQUIREMENT; CONDITIONS.] (a) A 23.24 municipality or its joint commission created pursuant to 23.25 subdivision 5 shall require a franchise or extension permit of 23.26 any cable communications system providing service within the 23.27 municipality. 23.28 (b) No municipality or its joint commission shall grant an 23.29 additional franchise for cable service for an area included in 23.30 an existing franchise on terms and conditions more favorable or 23.31 less burdensome than those in the existing franchise pertaining 23.32 to: (1)the area served; (2)public, educational, or 23.33 governmental access requirements; or(3)(2) franchise fees. 23.34The provisions of this paragraph shall not apply when the area23.35in which the additional franchise is being sought is not23.36actually being served by any existing cable communications24.1system holding a franchise for the area. Nothing in this24.2paragraph prevents a municipality from imposing additional terms24.3and conditions on any additional franchisesThe provisions of 24.4 this paragraph shall not apply when the area in which the 24.5 additional franchise is being sought is not actually being 24.6 served by any existing cable communications system holding a 24.7 franchise for the area. Nothing in this paragraph prevents a 24.8 municipality from imposing additional terms and conditions on 24.9 any additional franchises related to the unserved area. The 24.10 grant of an additional franchise may include an area for cable 24.11 service similar to that in an existing franchise or another area 24.12 that the municipality or its joint commission determines is 24.13 necessary or desirable to reasonably meet the needs of the 24.14 municipality or its joint commission. If an additional 24.15 franchise area is not similar to an existing franchise area, the 24.16 municipality or joint commission shall ensure that access to 24.17 cable service is not denied because of the income status of 24.18 subscribers. Additional franchises must be granted or rejected 24.19 by a municipality or joint commission within 120 days of an 24.20 application deemed complete in compliance with section 238.081, 24.21 subdivision 4, by the municipality or the joint commission 24.22 unless the date is extended by mutual agreement of the applicant 24.23 and the municipality or its joint commission. 24.24 Sec. 2. Minnesota Statutes 2004, section 238.08, is 24.25 amended by adding a subdivision to read: 24.26 Subd. 1a. [LOCAL PUBLIC, EDUCATIONAL, AND GOVERNMENTAL 24.27 ACCESS CHANNELS.] (a) An additional franchisee must ensure that 24.28 all subscribers receive local public, educational, governmental 24.29 access and public local origination channels within the 24.30 additional franchisee's franchise area. 24.31 (b) An additional franchise must ensure that all 24.32 subscribers receive local public, educational, and governmental 24.33 access channels and public local origination channels as 24.34 specified in the existing franchise and on the same channel 24.35 numbers as the existing franchisee. Every cable franchisee 24.36 shall permit any other franchisee to interconnect all local 25.1 public, educational, governmental access, and public local 25.2 origination programming and channel feeds. The municipality or 25.3 its joint commission shall determine all terms and conditions of 25.4 such interconnection to permit the interconnection and provision 25.5 of the public, educational, and governmental services. The 25.6 municipality or its joint commission may require that such 25.7 interconnection occur on government property or on public 25.8 rights-of-way. The costs of connection to the existing 25.9 franchisee's public, educational, governmental access and public 25.10 local origination programming and channel feeds must be borne by 25.11 the additional franchisee. 25.12 (c) An additional franchise provider shall make financial 25.13 contributions that are equivalent on a per customer basis or 25.14 mutually agreed upon terms, proportionate to contributions made 25.15 to the public, educational, and government access service, 25.16 facilities, and equipment provided or made available by the 25.17 existing franchise provider. 25.18 (d) A municipality or its joint commission may not impose 25.19 public, educational, and governmental access, local origination, 25.20 institutional network, or other obligations on the additional 25.21 franchisee that would exceed those imposed on the existing 25.22 franchisee. 25.23 Sec. 3. [EFFECTIVE DATE.] 25.24 Sections 1 and 2 are effective the day following final 25.25 enactment. 25.26 ARTICLE 5 25.27 TASK FORCE ON TELECOMMUNICATIONS 25.28 Section 1. [JOINT LEGISLATIVE TASK FORCE ON 25.29 TELECOMMUNICATIONS.] 25.30 (a) The joint legislative task force on telecommunications 25.31 is created. It consists of five members from each body of the 25.32 Minnesota legislature, two of whom must be from the minority 25.33 caucus in each body, to be designated by the chairs of the 25.34 senate and house committees having subject matter responsibility 25.35 for telecommunications. The cochairs are the respective chairs 25.36 of the senate and house committees having subject matter 26.1 responsibility for telecommunications, or their designees. 26.2 Members must include at least one representative from the 26.3 following stakeholder groups recommended by the legislative 26.4 members of the task force and invited to participate by the 26.5 cochairs: 26.6 (1) Minnesota Telecommunications Alliance; 26.7 (2) competitive local exchange carriers; 26.8 (3) large ILECS; 26.9 (4) small ILECS; 26.10 (5) long-distance providers; 26.11 (6) wireless providers; 26.12 (7) cable services providers; 26.13 (8) Internet service; 26.14 (9) VOIP providers; 26.15 (10) cable services administrator associations; 26.16 (11) municipal associations; 26.17 (12) municipal utilities associations; 26.18 (13) residential consumer associations (two members); 26.19 (14) business consumer associations (two members); 26.20 (15) office of the attorney general; 26.21 (16) Department of Commerce; and 26.22 (17) Public Utilities Commission (ex officio). 26.23 (b) The task force must: 26.24 (1) conduct a full review of existing Minnesota 26.25 telecommunications regulation and rules in chapters 237 and 238; 26.26 and 26.27 (2) make recommendations for revision of Minnesota 26.28 telecommunications regulation and rules by January 15, 2006, to 26.29 the Minnesota Senate Jobs, Energy and Community Development 26.30 Committee and to the Minnesota House Regulated Industries 26.31 Committee. 26.32 (c) On request by the cochairs of the task force, the 26.33 commissioner of commerce shall assess from telephone companies, 26.34 in addition to assessments made under section 237.295, the 26.35 amount requested for the operation of the task force but not to 26.36 exceed $100,000 in a fiscal year. The amount assessed is 27.1 appropriated to the Department of Commerce for the purposes of 27.2 the task force, and is available until expended. The department 27.3 shall apportion those costs among all telephone companies in 27.4 proportion to their respective gross operating revenues from the 27.5 sale of telephone services within the state during the last 27.6 calendar year. The department shall assess telephone companies 27.7 and issue bills in accordance with the billing and assessment 27.8 procedures provided in section 237.295, to the extent that these 27.9 procedures do not conflict with this section. 27.10 (d) The Department of Commerce must provide staff and 27.11 expertise to the task force directly or by contract and may 27.12 reimburse the expenses of persons requested to assist the task 27.13 force in its duties other than state employees or employees of 27.14 telephone companies. The Department of Commerce must provide 27.15 administrative assistance to the task force. 27.16 (e) The joint legislative task force on telecommunications 27.17 shall expire July 1, 2007. 27.18 ARTICLE 6 27.19 CANCELLATION OF LONG DISTANCE SERVICE 27.20 Section 1. Minnesota Statutes 2004, section 237.74, is 27.21 amended by adding a subdivision to read: 27.22 Subd. 14. [CANCELLATION OF LONG DISTANCE SERVICE.] (a) A 27.23 telecommunications carrier providing long distance service may 27.24 not charge a customer for long distance service after the 27.25 customer has requested that carrier to cancel the customer's 27.26 long distance service. 27.27 (b) Notwithstanding the limitation on charges in paragraph 27.28 (a), if a customer with a fixed term contract requests that a 27.29 telecommunications carrier providing long distance service 27.30 cancel that customer's long distance service, the 27.31 telecommunications carrier may charge the customer for long 27.32 distance service until the end of the contract term but not 27.33 after the end of the contract term. 27.34 (c) A telecommunications carrier providing long distance 27.35 service may not require a customer to contact the customer's 27.36 local telephone service provider in order for the customer to 28.1 cancel long distance service with the carrier. 28.2 [EFFECTIVE DATE.] This section is effective August 1, 2006. 28.3 ARTICLE 7 28.4 CITY OF ALEXANDRIA JOINT VENTURE AUTHORITY 28.5 Section 1. Laws 2002, chapter 329, section 5, is amended 28.6 to read: 28.7 Sec. 5. [JOINT VENTURE AUTHORITY.] 28.8 (a) The city of Alexandria may enter into a joint 28.9 venture or joint ventures with one, two, or three of the 28.10 entities known as Runestone Telephone Associationand, Runestone 28.11 Electric Association, and Gardonville Telephone Cooperative for 28.12 the purpose of providing local niche service, including internet 28.13 services, and point to point transmission of digital information. 28.14 (b) For purposes of this section, with respect to the 28.15 services described in paragraph (a), the city of Alexandria and 28.16 a joint venture to which it is a party shall have the rights and 28.17 authority granted by, and be subject to, Minnesota Statutes 2001 28.18 Supplement, section 452.25, except for the provisions of that 28.19 section which relate specifically and only to electric utilities. 28.20 (c) For the purposes of this section, "local niche service" 28.21 refers to point-to-point connections between end-user locations 28.22 within a service area and any telecommunications services under 28.23 the public utilities commission's jurisdiction under Minnesota 28.24 Statutes, chapter 237 that do not fall within the definition of 28.25 local service or the definition of interexchange service. 28.26 (d) If the city of Alexandria obtains authority to provide 28.27 local service or interexchange service under chapter 237, it may 28.28 enter into a joint venture with the entities identified in 28.29 paragraph (a) for those purposes. 28.30 [EFFECTIVE DATE; LOCAL APPROVAL.] This section is effective 28.31 as to the city of Alexandria the day after the city of 28.32 Alexandria's governing body and its chief clerical officer 28.33 timely complete compliance with Minnesota Statutes, section 28.34 645.021, subdivisions 2 and 3.