Minnesota Office of the Revisor of Statutes
[*Add Subtitle/link: Office]

Menu

Revisor of Statutes Menu

SF 584

as introduced - 88th Legislature (2013 - 2014) Posted on 03/01/2013 09:47am

KEY: stricken = removed, old language. underscored = added, new language.

Pdf

Version List Authors and Status

Current Version - as introduced

1.1A bill for an act
1.2relating to telecommunications; clarifying enforcement authority; adding new
1.3requirements for tariffs; protecting proprietary information; specifying criteria
1.4for certificates of authority; terminating alternative regulation plans; adding
1.5definitions; making technical corrections; removing obsolete provisions; making
1.6conforming changes; amending Minnesota Statutes 2012, sections 216B.16,
1.7subdivision 2; 237.01, subdivisions 6, 7, by adding subdivisions; 237.02; 237.035;
1.8237.036; 237.065, subdivision 2; 237.066, subdivision 3; 237.081, subdivisions
1.91, 1a, 2, 4; 237.09; 237.115; 237.12, by adding a subdivision; 237.121; 237.295,
1.10subdivision 2; 237.49; 237.491, subdivision 2; 237.661, subdivision 1; 237.663;
1.11237.681, subdivision 5; 237.81; 308A.210, subdivision 8; 325F.693, subdivision
1.122; 412.014; 609.892, subdivision 1; proposing coding for new law in Minnesota
1.13Statutes, chapter 237; repealing Minnesota Statutes 2012, sections 237.06;
1.14237.067; 237.068; 237.069; 237.07; 237.071; 237.072; 237.075, subdivisions 1,
1.152, 3, 4, 5, 6, 7, 8, 9, 10, 11; 237.076; 237.082; 237.10; 237.11; 237.12, subdivision
1.162; 237.15; 237.155; 237.16, subdivisions 1, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13;
1.17237.164; 237.18; 237.21; 237.22; 237.23; 237.231; 237.28; 237.295, subdivisions
1.181, 6; 237.30; 237.33; 237.34; 237.35; 237.36; 237.37; 237.38; 237.39; 237.40;
1.19237.411; 237.414; 237.47; 237.57; 237.59, subdivisions 1, 1a, 2, 3, 4, 5, 6, 8, 9,
1.2010; 237.60, subdivisions 3, 4; 237.61; 237.626; 237.64; 237.66, subdivisions 1,
1.211a, 1c, 1d, 2, 2a, 3; 237.73; 237.74; 237.75; 237.76; 237.761; 237.762; 237.763;
1.22237.764; 237.765; 237.766; 237.767; 237.768; 237.769; 237.770; 237.771;
1.23237.772; 237.773, subdivisions 1, 2, 3, 4; 237.774; 237.775; 237.80.
1.24BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.25ARTICLE 1
1.26STATUTE MODERNIZATION

1.27    Section 1. Minnesota Statutes 2012, section 237.01, is amended by adding a
1.28subdivision to read:
1.29    Subd. 1a. Advanced services. "Advanced services" means any of the following:
1.30(1) advanced services, as defined in Code of Federal Regulations, title 47, section
1.3151.5;
2.1(2) informational services, as defined in United States Code, title 47, section 153,
2.2paragraph (20);
2.3(3) internet protocol-enabled services, including, without limitation, Voice Over
2.4Internet Protocol, regardless of how the service is defined, classified, interpreted, or
2.5enforced by the Federal Communications Commission;
2.6(4) commercial mobile radio service, as defined in United States Code, title 47,
2.7section 332; or
2.8(5) any telecommunications service not commercially available on the effective
2.9date of this section.

2.10    Sec. 2. Minnesota Statutes 2012, section 237.01, is amended by adding a subdivision
2.11to read:
2.12    Subd. 1b. Advanced services provider. "Advanced services provider" means a
2.13a person or entity that provides any advanced services. An advanced services provider
2.14may also be a telecommunications carrier.

2.15    Sec. 3. Minnesota Statutes 2012, section 237.01, is amended by adding a subdivision
2.16to read:
2.17    Subd. 1c. Basic services. "Basic services" means one unbundled, single line,
2.18unlimited usage, residential voice local exchange telephone service, or unbundled, single
2.19line, unlimited usage, business voice local exchange telephone service. Basic services
2.20does not include any state or federally authorized or mandated services.

2.21    Sec. 4. Minnesota Statutes 2012, section 237.01, is amended by adding a subdivision
2.22to read:
2.23    Subd. 1d. Competitive local exchange carrier. "Competitive local exchange
2.24carrier" or "CLEC" means a telecommunications carrier that is certified by the commission
2.25to provide local service.

2.26    Sec. 5. Minnesota Statutes 2012, section 237.01, is amended by adding a subdivision
2.27to read:
2.28    Subd. 2a. End user. "End user" means a retail customer of a telecommunications
2.29provider.

2.30    Sec. 6. Minnesota Statutes 2012, section 237.01, is amended by adding a subdivision
2.31to read:
3.1    Subd. 9. Wholesale telecommunications service. "Wholesale telecommunications
3.2service" means either: (1) any telecommunications service offered under an interconnection
3.3agreement between an incumbent local exchange carrier and a competitive local exchange
3.4carrier under sections 251 and 252 of the 1996 Act; or (2) intrastate access service.

3.5    Sec. 7. Minnesota Statutes 2012, section 237.01, is amended by adding a subdivision
3.6to read:
3.7    Subd. 10. 1996 Act. "1996 Act" means the federal Telecommunications Act of
3.81996, Public Law 104-104, United States Code, title 47, section 151 et. seq.

3.9    Sec. 8. Minnesota Statutes 2012, section 237.02, is amended to read:
3.10237.02 GENERAL AUTHORITY OF DEPARTMENT AND COMMISSION;
3.11DEFINITIONS.
3.12(a) The Department of Commerce and the Public Utilities Commission are hereby
3.13vested with the same jurisdiction and supervisory power outlined in this chapter. Effective
3.14July 1, 2019, the duties granted to the Department of Commerce shall be transferred to
3.15the Public Utilities Commission. The commissioner is authorized to transfer staff and
3.16resources necessary to continue executing the duties under this chapter over telephone
3.17and telecommunications companies doing business in this state as the commission's
3.18predecessor, the railroad and warehouse commission, had over railroad and express
3.19companies.
3.20(b) The definitions set forth in sections 216A.02 and 216B.02 also apply to this
3.21chapter.

3.22    Sec. 9. Minnesota Statutes 2012, section 237.065, subdivision 2, is amended to read:
3.23    Subd. 2. Basic and advanced telecommunication service; reduced rate. (a)
3.24Notwithstanding the provisions of sections 237.09, and 237.14, 237.60, subdivision 3,
3.25and 237.74, each telephone company and telecommunications carrier that provides local
3.26telephone service in a service area that includes a school that has classes within the
3.27range from kindergarten to grade 12, a public library, or a telecommunication services
3.28purchasing cooperative may provide, upon request, basic and advanced telecommunication
3.29services at reduced or no cost to that school, library, or may provide, upon request,
3.30advanced basic telecommunication services at reduced wholesale rates to the members
3.31of a telecommunication services purchasing cooperative. For purposes of this section,
3.32a "telecommunication services purchasing cooperative" means a cooperative organized
3.33under section 308A.210. A school or library receiving telecommunications services at
4.1reduced or no cost may not resell or sublease the discounted services. No members of a
4.2telecommunication services purchasing cooperative may resell or sublease the discounted
4.3services. A purchasing cooperative is not required to negotiate or provide a uniform rate
4.4for its members. Telecommunications services shall be provided in accordance with
4.5Public Law 104-104, and the regulations of the Federal Communications Commission
4.6adopted under the act.
4.7(b) An agent that provides telecommunications services to a school or library may
4.8request the favorable rate on behalf of and for the exclusive benefit of the school or library.
4.9The school or library must authorize the agent to make the request of the local telephone
4.10company or telecommunications carrier. The telephone company or telecommunications
4.11carrier is not required to offer the same price discount to the agent that it would offer to the
4.12school district or library. An agent that receives a price discount for telecommunications
4.13services on behalf of a school or library may only resell or sublease the discounted
4.14services to that school or library.
4.15(c) For the purposes of this subdivision, "school" includes a public school as defined
4.16in section 120A.05, nonpublic, and church or religious organization schools that provide
4.17instruction in compliance with sections 120A.22, 120A.24, and 120A.41.

4.18    Sec. 10. Minnesota Statutes 2012, section 237.066, subdivision 3, is amended to read:
4.19    Subd. 3. Rates. Notwithstanding section 237.09, or 237.14, 237.60, subdivision
4.203
, or 237.74, a telephone company or a telecommunications carrier may, individually or
4.21in cooperation with other telephone companies or telecommunications carriers, develop
4.22and offer basic or advanced telecommunications services at discounted or reduced rates
4.23as a state government telecommunications pricing plan. Any basic telecommunications
4.24services provided under any state government telecommunications pricing plan shall be
4.25used exclusively by those entities described in subdivision 2 subject to the plan solely for
4.26their own use and shall not be made available to any other entities by resale, sublease,
4.27or in any other way.

4.28    Sec. 11. [237.077] SCHEDULES, TARIFFS, AND INDIVIDUAL CONTRACTS.
4.29    Subdivision 1. Filing requirements. Except as set forth in this section,
4.30telecommunications carriers are not required to maintain or file any schedule, tariff,
4.31contract, or agreement with the commission.
4.32    Subd. 2. General provisions applicable to all tariffs. Any tariff filed with the
4.33commission in accordance with this chapter must include all terms, conditions, rates, and
4.34charges that apply to the services specified in the tariff.
5.1    Subd. 3. Required tariff. (a) The telecommunications services described in
5.2this subdivision require the filing of a tariff. Any tariff required to be filed under this
5.3subdivision must be referred to as a required tariff.
5.4(b) Any telecommunications carrier that offers intrastate access services shall
5.5maintain on file with the commission a tariff containing the terms, conditions, rates, and
5.6charges the telecommunications carrier has established for such intrastate access services.
5.7(c) Every local exchange carrier that provides basic telecommunications service
5.8shall maintain on file with the commission a tariff containing the terms, conditions, rates,
5.9and charges for that service.
5.10(d) Subject to any applicable notice to end users required by this chapter, a required
5.11tariff becomes effective 30 days after it is filed with the commission.
5.12(e) A person who objects to a required tariff shall file an objection within 20 days
5.13of the filing of the required tariff. The person filing the required tariff may reply to the
5.14objection within five days of the filing of the objection.
5.15(f) The commission shall review the required tariff, the objection, and the reply
5.16within 60 days of the filing of the required tariff and shall issue an order approving the
5.17required tariff or order that a contested case hearing be conducted under chapter 14.
5.18    Subd. 4. Individual contracts permitted; no filing requirement. (a)
5.19Notwithstanding any other provision of this chapter, a telecommunications carrier may
5.20enter into an individual contract for providing retail or wholesale telecommunications
5.21services, except for intrastate switched services. The contract may include, without
5.22limitation, services that are subject to a tariff filed under this section that includes terms,
5.23conditions, rates, and charges that are different from those in the telecommunications
5.24carrier's tariff.
5.25(b) Except as required by federal or state law, any individual contract is not subject
5.26to any filing or notice requirement, including, without limitation, a requirement that the
5.27contract be filed with the commission.

5.28    Sec. 12. Minnesota Statutes 2012, section 237.081, subdivision 1, is amended to read:
5.29    Subdivision 1. Commission investigation. Whenever the commission believes that
5.30a basic or wholesale telecommunications service is inadequate or cannot be obtained or
5.31that an investigation of any matter relating to any telephone service should for any reason
5.32be made, it may on its own motion investigate the service or matter with or without notice,
5.33except that the commission shall give notice to a telephone company before it investigates
5.34the level of rates charged by the company.

6.1    Sec. 13. Minnesota Statutes 2012, section 237.081, subdivision 1a, is amended to read:
6.2    Subd. 1a. Complaint investigation. Upon a complaint made against a telephone
6.3company by any other provider of telephone service, by the governing body of a political
6.4subdivision, or by no fewer than five percent or 100, whichever is the lesser number,
6.5of the subscribers or spouses of subscribers of the particular telephone company, that
6.6any of the rates, tolls, tariffs, charges, or schedules, or any regulation, measurement,
6.7practice, act, or omission affecting or relating to the production, transmission, delivery, or
6.8furnishing of telephone basic or wholesale telecommunications service or any service in
6.9connection with telephone basic or wholesale telecommunications service is in any respect
6.10unreasonable, insufficient, or unjustly discriminatory, or that any service is inadequate
6.11or cannot be obtained, the commission, after notice to the telephone company, shall may
6.12 investigate the matters raised by the complaint.

6.13    Sec. 14. Minnesota Statutes 2012, section 237.081, subdivision 2, is amended to read:
6.14    Subd. 2. Procedure after investigation. (a) If, after making an investigation under
6.15subdivision 1 or 1a, the commission finds that a significant factual issue raised has not
6.16been resolved to its satisfaction, the commission shall follow the appropriate procedure
6.17prescribed by this subdivision.
6.18(b) For an investigation concerning the reasonableness of the rates for noncompetitive
6.19 basic services of a telephone company whose general revenue requirement is determined
6.20under section 237.075, the commission shall order the company to initiate a rate
6.21proceeding in accordance with section 237.075. The commission shall allow the company
6.22at least 120 days after the date of the commission's order to initiate the proceeding.
6.23(c) For other investigations, the commission shall may order that a contested case
6.24hearing be conducted under chapter 14 unless the complainant, the telephone company,
6.25and the commission agree that an expedited hearing under section 237.61 is appropriate.

6.26    Sec. 15. Minnesota Statutes 2012, section 237.081, subdivision 4, is amended to read:
6.27    Subd. 4. Establishment of rate and price. Whenever the commission finds, after
6.28a proceeding under subdivision 2, that (1) a basic or wholesale telecommunications
6.29 service that can be reasonably demanded cannot be obtained, (2) that any rate, toll, tariff,
6.30charge, or schedule, or any regulation, measurement, practice, act, or omission affecting
6.31or relating to the production, transmission, delivery, or furnishing of telephone basic
6.32or wholesale telecommunications service or any service in connection with telephone
6.33service, is in any respect unreasonable, insufficient, or unjustly discriminatory, or (3) that
6.34any basic or wholesale telecommunications service is inadequate, the commission shall
7.1make an order respecting the tariff, regulation, act, omission, practice, or service that is
7.2just and reasonable and, if applicable, shall establish just and reasonable rates and prices.

7.3    Sec. 16. Minnesota Statutes 2012, section 237.09, is amended to read:
7.4237.09 DISCRIMINATION PROHIBITED.
7.5    Subdivision 1. Generally. No telephone company, or any agent or officer thereof,
7.6shall, directly or indirectly, in any manner, knowingly or willfully, charge, demand,
7.7collect, or receive from any person, firm, or corporation, a greater or less compensation for
7.8any intrastate basic or wholesale telecommunications service rendered or to be rendered
7.9by it than it charges, demands, collects, or receives from any other firm, person, or
7.10corporation for a like and contemporaneous intrastate service under similar circumstances.
7.11    Subd. 2. Particular services. (a) A telephone company that offers or provides a
7.12 basic or wholesale telecommunications service or services, service elements, features, or
7.13functionalities on a separate, stand-alone basis to any customer shall provide that service,
7.14service element, feature, or functionality pursuant to tariff to all similarly situated persons,
7.15including all telecommunications carriers and competitors. To the extent prohibited by
7.16the Federal Communications Commission or Public Utilities Commission, a telephone
7.17company shall not give preference or discriminate in providing basic or wholesale
7.18telecommunications services, products, or facilities to an affiliate or to its own or an
7.19affiliate's retail department that sells to consumers.
7.20(b) For purposes of establishing an appropriate rate or price floor for a rate for
7.21a telephone basic or wholesale telecommunications service, a telephone company shall
7.22impute, on a service-by-service basis, into the rate or price for that service, the tariffed rate
7.23or price for the same services, service elements, or network functions that the company
7.24provides to others who use it to provide a service that competes with the telephone service
7.25offered by the company. A company is not required to impute a rate or price under this
7.26paragraph if it demonstrates to the commission, in an expedited proceeding under section
7.27237.61, that:
7.28(1) the competitor can obtain substantially equivalent services, service elements,
7.29or network functions within the relevant market or geographic area on reasonably
7.30comparable terms and conditions through self-provision or from a provider other than
7.31the telephone company; or
7.32(2) application of the imputation requirement otherwise would be inconsistent with
7.33the public interest.

8.1    Sec. 17. Minnesota Statutes 2012, section 237.115, is amended to read:
8.2237.115 INFORMATION SUBJECT TO PROTECTIVE ORDER.
8.3    Subdivision 1. Proprietary information to be protected. The commission shall
8.4maintain the confidentiality of all proprietary information, including trade secrets, business
8.5plans, and other confidential information that either becomes known to the commission or
8.6comes into the commission's possession or control. The commission shall not disclose
8.7proprietary information without adequate protection of the information and reasonable
8.8notice to the affected person.
8.9    Subd. 2. Protective order. The commission possesses the authority to enter into any
8.10protective order necessary and appropriate to maintain the confidentiality of proprietary
8.11information. The order may be entered only after giving the affected parties 30 days'
8.12advance notice and the opportunity to comment on the proposed protective order.
8.13    Subd. 3. Procedural requirements. In any meeting of the commission during
8.14which information that is subject to a protective order is discussed, the commission shall
8.15employ the procedures of section 14.60 to close to all persons who are not authorized
8.16to obtain the information under the protective order that portion of the meeting during
8.17which the information will be discussed and take other appropriate measures to ensure
8.18that the data is not disclosed to persons who are not authorized to obtain the information
8.19under the protective order.

8.20    Sec. 18. Minnesota Statutes 2012, section 237.12, is amended by adding a subdivision
8.21to read:
8.22    Subd. 5. Discontinuance. (a) In the event that an interexchange carrier or a
8.23competitive local exchange carrier fails to pay full compensation to a local exchange
8.24carrier and a valid dispute has not been registered between the companies, the local
8.25exchange carrier may discontinue accepting traffic from that interexchange carrier
8.26or CLEC if the local exchange carrier provides to the commission notice of intent to
8.27disconnect the interexchange carrier.
8.28(b) Any person objecting to the discontinuance must file an objection with the
8.29commission within 20 days.
8.30(c) The commission will investigate and ascertain whether public convenience
8.31requires continued service to the interexchange carrier or CLEC and, if the commission so
8.32finds, the commission shall fix the compensation, terms, and conditions of the continuance
8.33of service between the companies within 90 days of its receipt of an objection to the
8.34discontinuance.

9.1    Sec. 19. Minnesota Statutes 2012, section 237.121, is amended to read:
9.2237.121 PROHIBITED PRACTICES.
9.3(a) A telephone company or telecommunications carrier may not do any of the
9.4following with respect to services regulated by the commission:
9.5(1) upon request, fail to disclose in a timely and uniform manner information
9.6necessary for the design of equipment and services that will meet the specifications for
9.7interconnection;
9.8(2) intentionally impair the speed, quality, or efficiency of services, products, or
9.9facilities offered to a consumer under a tariff, contract, or price list;
9.10(3) fail to provide a service, product, or facility to a consumer other than a telephone
9.11company or telecommunications carrier in accordance with its applicable tariffs, price
9.12lists, or contracts and with the commission's rules and orders;
9.13(4) refuse to provide a service, product, or facility to a telephone company or
9.14telecommunications carrier in accordance with its applicable tariffs, price lists, or contracts
9.15and with the commission's rules and orders;
9.16(5) impose unreasonable or discriminatory restrictions on the resale of its services,
9.17provided that:
9.18(i) it may require that residential service may not be resold as a different class of
9.19service; and
9.20(ii) the commission may prohibit resale of services it has approved for provision for
9.21not-for-profit entities at rates less than those offered to the general public; or
9.22(6) provide telephone service to a person acting as a telephone company or
9.23telecommunications carrier if the commission has ordered the telephone company or
9.24telecommunications carrier to discontinue service to that person.
9.25(b) A telephone company or telecommunications carrier may not violate a provision
9.26of section 325F.693, with regard to any of the basic or wholesale telecommunications
9.27 services provided by the company or carrier.

9.28    Sec. 20. Minnesota Statutes 2012, section 237.295, subdivision 2, is amended to read:
9.29    Subd. 2. Assessment of costs. The department and commission shall quarterly, at
9.30least 30 days before the start of each quarter, estimate the total of their expenditures
9.31in the performance of their duties relating to telephone companies, other than amounts
9.32chargeable to telephone companies under subdivision 1, 5, or 6. The remainder must
9.33be assessed by the department to the telephone companies operating in this state in
9.34proportion to their respective gross jurisdictional operating revenues from basic or
9.35intrastate wholesale telecommunications services during the last calendar year. The
10.1assessment must be paid into the state treasury within 30 days after the bill has been
10.2transmitted via mail, personal delivery, or electronic service to the telephone companies.
10.3The bill constitutes notice of the assessment and demand of payment. The total amount
10.4that may be assessed to the telephone companies under this subdivision may not exceed
10.5three-eighths of one percent of the total gross jurisdictional intrastate operating revenues
10.6from basic or wholesale telecommunications services during the calendar year. Effective
10.7July 1, 2019, this fee assessment cap shall be reduced to 3/32 of one percent of total
10.8gross revenue derived from basic or wholesale telecommunications services during the
10.9calendar year. The assessment for the third quarter of each fiscal year must be adjusted
10.10to compensate for the amount by which actual expenditures by the commission and
10.11department for the preceding fiscal year were more or less than the estimated expenditures
10.12previously assessed. A telephone company with gross jurisdictional operating revenues of
10.13less than $5,000 is exempt from assessments under this subdivision.

10.14    Sec. 21. Minnesota Statutes 2012, section 237.49, is amended to read:
10.15237.49 COMBINED LOCAL ACCESS SURCHARGE.
10.16    Subdivision 1. Local exchange carriers. Each local telephone company shall
10.17collect from each subscriber an amount per telephone access line representing the total of
10.18the surcharges required under sections 237.52, 237.70, and 403.11. Amounts collected
10.19must be remitted to the commissioner of public safety in the manner prescribed in section
10.20403.11 . The commissioner of public safety shall divide the amounts received and deposit
10.21them in the appropriate accounts. The commissioner of public safety may recover from
10.22the agencies receiving the surcharges the personnel and administrative costs to collect and
10.23distribute the surcharge. A company or the billing agent for a company shall list the
10.24surcharges as one amount on a billing statement sent to a subscriber.
10.25    Subd. 2. Advanced service providers. Advanced service providers shall collect
10.26from each end user an amount per Minnesota telephone number assigned to the end user's
10.27account representing the total number of surcharges required under sections 237.52,
10.28237.70, and 403.11. Advanced service providers providing service over their owned or
10.29leased facilities shall collect the surcharges on a line equivalency basis of 21 surcharges
10.30for every 1.5 megabits per second of capacity. Amounts collected must be remitted
10.31to the commissioner of public safety in the manner prescribed in section 403.11. The
10.32commissioner of public safety shall divide the amounts received and deposit them in the
10.33appropriate accounts. The commissioner of public safety may recover from the agencies
10.34receiving the surcharges the personnel and administrative costs to collect and distribute
11.1the surcharge. An advanced service provider or its billing agent shall list the surcharge
11.2as one amount on a billing statement sent to a subscriber.

11.3    Sec. 22. Minnesota Statutes 2012, section 237.491, subdivision 2, is amended to read:
11.4    Subd. 2. Per number fee. (a) By January 15, 2006, the commissioner of commerce
11.5shall report to the legislature and to the senate Committee on Jobs, Energy and Community
11.6Development and the house of representatives Committee on Regulated Industries,
11.7recommendations for the amount of and method for assessing a fee that would apply to
11.8each service provider based upon the number of Minnesota telephone numbers in use by
11.9current customers of the service provider. Annually, the commission shall set the fee
11.10would be set at a level calculated to generate only the amount of revenue necessary to fund:
11.11(1) the telephone assistance program and the telecommunications access Minnesota
11.12program at the levels established by the commission under sections 237.52, subdivision
11.132
, and 237.70; and
11.14(2) the 911 emergency and public safety communications program at the levels
11.15appropriated by law to the commissioner of public safety and the commissioner of
11.16management and budget for purposes of sections 403.11, 403.113, 403.27, 403.30, and
11.17403.31 for each fiscal year.
11.18(b) The recommendations must include any changes to Minnesota Statutes necessary
11.19to establish the procedures whereby each service provider, to the extent allowed under
11.20federal law, would collect and remit the fee proceeds to the commissioner of revenue. The
11.21commissioner of revenue would allocate the fee proceeds to the three funding areas in
11.22paragraph (a) and credit the allocations to the appropriate accounts.
11.23(c) The recommendations must be designed to allow the combined per telephone
11.24number fee to be collected beginning July 1, 2006. The per access line fee used to collect
11.25revenues to support the TAP, TAM, and 911 programs remains in effect until the statutory
11.26changes necessary to implement the per telephone number fee have been enacted into
11.27law and taken effect.
11.28(d) As part of the process of developing the recommendations and preparing the
11.29report to the legislature required under paragraph (a), the commissioner of commerce
11.30must, at a minimum, consult regularly with the Departments of Public Safety, Management
11.31and Budget, and Administration, the Public Utilities Commission, service providers,
11.32the chairs and ranking minority members of the senate and house of representatives
11.33committees, subcommittees, and divisions having jurisdiction over telecommunications
11.34and public safety, and other affected parties.

12.1    Sec. 23. Minnesota Statutes 2012, section 237.663, is amended to read:
12.2237.663 LOADING.
12.3(a) Except as provided in paragraph (b) or (c), a telephone company or
12.4telecommunications carrier providing local basic service shall not charge a telephone
12.5service subscriber, as defined in section 325F.692, for a telephone or telecommunications
12.6service that is not required by the commission to be offered and for which the subscriber
12.7did not explicitly contract.
12.8(b) If a charge is assessed on a per-use basis for a service described in paragraph (a),
12.9the charge must be applied as a credit to the subscriber's next monthly bill, if the subscriber
12.10notifies the telephone company or telecommunications carrier that the subscriber did not
12.11utilize the service or did not authorize the utilization of the service.
12.12(c) A telephone company or telecommunications carrier that receives a notification
12.13from a telephone service subscriber under paragraph (b) shall inform the subscriber of the
12.14ability to block the services from future use by the subscriber, and shall block the services
12.15from future use by the subscriber, if the subscriber so requests. If a subscriber requests that
12.16the carrier or company not block the service or later requests to have the block lifted, the
12.17subscriber shall be responsible for charges caused by the future utilization of that service.
12.18The carrier or company may not charge a recurring fee for blocking the service.

12.19    Sec. 24. [237.84] CERTIFICATION, REGISTRATION, AND MAPPING.
12.20    Subdivision 1. Application for certificate of authority; fee. (a) Before a
12.21telecommunications carrier may offer basic or wholesale telecommunications services
12.22to end users in Minnesota, the telecommunications carrier must receive a certificate of
12.23authority from the commission. The commission shall issue a certificate of authority
12.24within 30 days after receipt of a completed application. A telecommunications carrier
12.25seeking a certificate of authority under this chapter shall submit an application on a form
12.26prescribed by the commission. The form must require the telecommunications carrier to
12.27provide the following information:
12.28(1) the legal name of the telecommunications carrier and any name under which the
12.29telecommunications carrier does or will do business in Minnesota, as authorized by the
12.30secretary of state;
12.31(2) a certification from the secretary of state authorizing the telecommunications
12.32carrier to do business in Minnesota;
12.33(3) the address and telephone number of the telecommunications carrier, along
12.34with contact information for the person responsible for ongoing communication with
12.35the commission;
13.1(4) the legal name, address, and telephone number of the parent company of the
13.2telecommunications carrier, if any;
13.3(5) a description of each service area in Minnesota in which the telecommunications
13.4carrier proposes to offer telecommunications service;
13.5(6) a list of other states in which the telecommunications carrier offers
13.6telecommunications service, including the type of telecommunications service offered; and
13.7(7) information demonstrating the financial, managerial, and technical ability of the
13.8telecommunications carrier to provide telecommunications service in Minnesota.
13.9(b) The commission may collect from the applicant a filing fee not to exceed $300,
13.10charged at the time an application is filed under this section.
13.11    Subd. 2. Advanced service provider registration. (a) Advanced service providers
13.12shall register with the commission within 60 days after beginning operation by submitting
13.13a registration form as prescribed by the commission. The form must require the advanced
13.14service provider to provide the following information:
13.15(1) the legal name of the advanced service provider and any name under which the
13.16advanced service provider does or will do business in Minnesota, as authorized by the
13.17secretary of state;
13.18(2) a certification from the secretary of state authorizing the advanced service
13.19provider to do business in Minnesota;
13.20(3) the address and telephone number of the advanced service provider, along
13.21with contact information for the person responsible for ongoing communication with
13.22the commission; and
13.23(4) a description of the services being provided by the advanced service provider
13.24in Minnesota.
13.25(b) The registration requirements in paragraph (a) do not apply to an advanced
13.26service provider that:
13.27(1) is also a telecommunications carrier; and
13.28(2) has received a certificate of authority from the commission under this chapter.
13.29    Subd. 3. Map. Every local exchange carrier authorized to provide telephone
13.30exchange service under this chapter shall file and maintain a territorial map.

13.31    Sec. 25. [237.85] ALTERNATIVE REGULATION PLANS TERMINATED.
13.32Any alternative regulation plan entered into under Minnesota Statutes 2010, chapter
13.33237, automatically terminates in its entirety with respect to all services subject to the plan
13.34and has no force or effect as of the effective date of this act.

14.1    Sec. 26. REPEALER.
14.2Minnesota Statutes 2012, sections 237.06; 237.067; 237.068; 237.069; 237.07;
14.3237.071; 237.072; 237.075, subdivisions 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, and 11; 237.076;
14.4237.082; 237.10; 237.11; 237.12, subdivision 2; 237.15; 237.155; 237.16, subdivisions 1,
14.53, 4, 5, 6, 7, 8, 9, 10, 11, 12, and 13; 237.164; 237.18; 237.21; 237.22; 237.23; 237.231;
14.6237.28; 237.295, subdivisions 1 and 6; 237.30; 237.33; 237.34; 237.35; 237.36; 237.37;
14.7237.38; 237.39; 237.40; 237.411; 237.414; 237.47; 237.57; 237.59, subdivisions 1, 1a, 2,
14.83, 4, 5, 6, 8, 9, and 10; 237.60, subdivisions 3 and 4; 237.61; 237.626; 237.64; 237.66,
14.9subdivisions 1, 1a, 1c, 1d, 2, 2a, and 3; 237.73; 237.74; 237.75; 237.76; 237.761; 237.762;
14.10237.763; 237.764; 237.765; 237.766; 237.767; 237.768; 237.769; 237.770; 237.771;
14.11237.772; 237.773, subdivisions 1, 2, 3, and 4; 237.774; 237.775; and 237.80, are repealed.

14.12ARTICLE 2
14.13CONFORMING CHANGES

14.14    Section 1. Minnesota Statutes 2012, section 216B.16, subdivision 2, is amended to read:
14.15    Subd. 2. Suspension of proposed rate; hearing; final determination defined. (a)
14.16Whenever there is filed with the commission a schedule modifying or resulting in a change
14.17in any rates then in force as provided in subdivision 1, the commission may suspend the
14.18operation of the schedule by filing with the schedule of rates and delivering to the affected
14.19utility a statement in writing of its reasons for the suspension at any time before the rates
14.20become effective. The suspension shall not be for a longer period than ten months beyond
14.21the initial filing date except as provided in this subdivision or subdivision 1a.
14.22(b) During the suspension the commission shall determine whether all questions of
14.23the reasonableness of the rates requested raised by persons deemed interested or by the
14.24department can be resolved to the satisfaction of the commission. If the commission
14.25finds that all significant issues raised have not been resolved to its satisfaction, or upon
14.26petition by ten percent of the affected customers or 250 affected customers, whichever is
14.27less, it shall refer the matter to the Office of Administrative Hearings with instructions
14.28for a public hearing as a contested case pursuant to chapter 14, except as otherwise
14.29provided in this section.
14.30(c) The commission may order that the issues presented by the proposed rate
14.31changes be bifurcated into two separate hearings as follows: (1) determination of the
14.32utility's revenue requirements and (2) determination of the rate design. Upon issuance of
14.33both administrative law judge reports, the issues shall again be joined for consideration
14.34and final determination by the commission.
15.1(d) All prehearing discovery activities of state agency intervenors shall be
15.2consolidated and conducted by the Department of Commerce.
15.3(e) If the commission does not make a final determination concerning a schedule of
15.4rates within ten months after the initial filing date, the schedule shall be deemed to have
15.5been approved by the commission; except if:
15.6(1) an extension of the procedural schedule has been granted under paragraph (f) or
15.7subdivision 1a, in which case the schedule of rates is deemed to have been approved by
15.8the commission on the last day of the extended period of suspension; or
15.9(2) a settlement has been submitted to and rejected by the commission and the
15.10commission does not make a final determination concerning the schedule of rates, the
15.11schedule of rates is deemed to have been approved 60 days after the initial or, if applicable,
15.12the extended period of suspension.
15.13(f) If the commission finds that it has insufficient time during the suspension period
15.14to make a final determination of a case involving changes in general rates because of the
15.15need to make a final determination of any pending case involving changes in general rates
15.16under this section or section 237.075, the commission may extend the suspension period
15.17to allow up to a total of 90 additional calendar days to make the final determination.
15.18An extension of the suspension period under this paragraph does not alter the setting of
15.19interim rates under subdivision 3.
15.20(g) For the purposes of this section, "final determination" means the initial decision
15.21of the commission and not any order which may be entered by the commission in response
15.22to a petition for rehearing or other further relief. The commission may further suspend
15.23rates until it determines all those petitions.

15.24    Sec. 2. Minnesota Statutes 2012, section 237.01, subdivision 6, is amended to read:
15.25    Subd. 6. Telecommunications carrier. "Telecommunications carrier" means a
15.26person, firm, association, or corporation authorized to furnish one or more of the following
15.27telephone services to the public, but not otherwise authorized to furnish local exchange
15.28service: (1) interexchange telephone service; (2) local telephone service pursuant to a
15.29certificate granted under the authority of section 237.16, subdivision 4, before August 1,
15.301995; or (3) local service pursuant to a certificate granted under section 237.16, for the
15.31first time after August 1, 1995, except if granted to a successor to a telephone company
15.32otherwise authorized to furnish local exchange service. Telecommunications carrier does
15.33not include entities that derive more than 50 percent of their revenues from operator
15.34services provided to transient locations such as hotels, motels, and hospitals. In addition,
16.1telecommunications carrier does not include entities that provide centralized equal access
16.2services.

16.3    Sec. 3. Minnesota Statutes 2012, section 237.01, subdivision 7, is amended to read:
16.4    Subd. 7. Telephone company. "Telephone company," means and applies to any
16.5person, firm, association or any corporation, private or municipal, owning or operating
16.6any telephone line or telephone exchange for hire, wholly or partly within this state, or
16.7furnishing any telephone service to the public.
16.8A "telephone company" does not include a radio common carrier as defined in
16.9subdivision 4. A telephone company which also conforms with the definition of a radio
16.10common carrier is subject to regulation as a telephone company. However, none of
16.11chapter 237 applies to telephone company activities which conform to the definition of
16.12a radio common carrier.
16.13A "telephone company" does not include a telecommunications carrier as defined in
16.14subdivision 6, except that a telecommunications carrier is a telephone company for the
16.15purposes of section 222.36. A telephone company is not subject to section 237.74.

16.16    Sec. 4. Minnesota Statutes 2012, section 237.035, is amended to read:
16.17237.035 TELECOMMUNICATIONS CARRIER EXEMPTION.
16.18(a) Telecommunications carriers are subject to regulation under this chapter only to
16.19the extent required under paragraphs (b) to (e).
16.20(b) Telecommunications carriers shall comply with sections section 237.121 and
16.21237.74.
16.22(c) Telecommunications carriers shall comply with section 237.16, subdivisions
16.238 and 9.
16.24(d) To the extent a telecommunications carrier offers local service, it shall obtain a
16.25certificate under section 237.16 for that local service.
16.26(e) (d) In addition, a telecommunications carrier's local service is subject to this
16.27chapter except that:
16.28(1) a telecommunications carrier is not subject to rate-of-return or earnings
16.29investigations under section 237.075 or 237.081; and.
16.30(2) a telecommunications carrier is not subject to section 237.22.

16.31    Sec. 5. Minnesota Statutes 2012, section 237.036, is amended to read:
16.32237.036 COIN-OPERATED OR PUBLIC PAY TELEPHONES.
16.33(a) Neither commission approval nor a commission certificate is required to:
17.1(1) site a coin-operated or public pay telephone in the state; or
17.2(2) implement changes in service, services offered, rates, or location regarding a
17.3coin-operated or public pay telephone. Registration under section 237.64 is required to
17.4own or operate a coin-operated or public pay telephone in the state.
17.5(b) This section does not change the authority of other state or local government
17.6entities to regulate aspects of coin-operated or public pay telephone ownership, location,
17.7or operation; however, an entity may not regulate aspects of these services that it did not
17.8regulate prior to May 26, 1999. The commission shall retain the authority delegated to
17.9it under federal and state law to protect the public interest with regard to coin-operated
17.10or public pay telephones.
17.11(c) Owners and operators of coin-operated or public pay telephones are exempt from
17.12sections 237.06, 237.07, 237.075, 237.09, 237.23, and 237.295, and 237.39 and the annual
17.13reporting requirement of section 237.11.
17.14(d) Owners of coin-operated or public pay telephones shall:
17.15(1) provide immediate coin-free access, to the extent technically feasible, to 911
17.16emergency service or to another approved emergency service; and
17.17(2) provide free access to the telecommunications relay service for the
17.18communication impaired.
17.19(e) Owners of coin-operated or public pay telephones must post at each coin-operated
17.20or public pay telephone location:
17.21(1) customer service and complaint information, including the name, address, and
17.22telephone number of the owner of the coin-operated or public pay telephone and the
17.23operator service handling calls from the coin-operated or public pay telephone; a toll-free
17.24number of the appropriate telephone company for the resolution of complaints; and the
17.25toll-free number of the public utilities commission; and
17.26(2) a toll-free number at which consumers can obtain pricing information regarding
17.27rates, charges, terms, and conditions of local and long-distance calls.

17.28    Sec. 6. Minnesota Statutes 2012, section 237.661, subdivision 1, is amended to read:
17.29    Subdivision 1. Antislamming duties of local telephone company. If a customer
17.30has elected to exercise the right described in Minnesota Statutes 2010, section 237.66,
17.31subdivision 1a
, the telephone company serving the customer shall not process a request
17.32to serve the customer by another telecommunications carrier without prior authorization
17.33from the customer. If a customer has not elected to exercise the right described in
17.34that subdivision, the company may process a request to serve the customer by another
17.35telecommunications carrier.

18.1    Sec. 7. Minnesota Statutes 2012, section 237.681, subdivision 5, is amended to read:
18.2    Subd. 5. Exemption. A commercial shared services provider is exempt from
18.3 Minnesota Statutes 2010, section 237.16, if the private shared services are only provided
18.4to tenants or for the provider's own use.

18.5    Sec. 8. Minnesota Statutes 2012, section 237.81, is amended to read:
18.6237.81 SCOPE.
18.7To the extent they regulate telecommunications right-of-way users, sections 237.04;
18.8237.16, subdivision 1;, 237.162;, and 237.163; and 237.74, subdivision 5, supersede
18.9section 222.37, and any ordinance, regulation, or rule to the contrary.

18.10    Sec. 9. Minnesota Statutes 2012, section 308A.210, subdivision 8, is amended to read:
18.11    Subd. 8. Advanced telecommunication service; defined. "Advanced
18.12telecommunications service" includes any service that would be classified as a flexibly
18.13priced service within the meaning of section 237.761, subdivision 4, or non-price-regulated
18.14service within the meaning of section 237.761, subdivision 4, provided that a service may
18.15be an advanced telephone service whether or not the telephone company has adopted an
18.16alternative rate plan within the meaning of section 237.76.

18.17    Sec. 10. Minnesota Statutes 2012, section 325F.693, subdivision 2, is amended to read:
18.18    Subd. 2. Slamming deemed consumer fraud. (a) It is fraud under section 325F.69
18.19to request a change in a telephone service subscriber's local exchange or interexchange
18.20carrier without the subscriber's verified consent.
18.21(b) A telephone service subscriber may employ the remedies provided in section
18.22237.66 for violations of paragraph (a). section 8.31 may also be employed to remedy
18.23violations of paragraph (a).
18.24(c) For the purposes of paragraph (a):
18.25(1) the consent of the telephone service subscriber may be verified utilizing any
18.26method that is consistent with federal law or regulation;
18.27(2) compliance with applicable federal law and regulation, or state law and rule,
18.28whichever is more stringent, is a complete defense to an allegation of consumer fraud
18.29under paragraph (a); and
18.30(3) it is the responsibility of the company or carrier requesting a change in a telephone
18.31service subscriber's company or carrier to verify that the subscriber has authorized the
18.32change. A telephone company or telecommunications carrier providing local exchange
18.33service who has been requested by another telephone company or telecommunications
19.1carrier to process a change in a subscriber's carrier is only liable under this section if it
19.2knowingly participates in processing a requested change that is unauthorized.
19.3Nothing in this section shall be construed to change a telephone company's or
19.4telecommunications carrier's obligations under section 237.66.

19.5    Sec. 11. Minnesota Statutes 2012, section 412.014, is amended to read:
19.6412.014 POWER TO OPERATE TELEPHONE LINES.
19.7Any statutory city heretofore or hereafter incorporated, in the territory of which
19.8previous to such incorporation telephone lines have been constructed and operated by a
19.9town as authorized by Minnesota Statutes 2010, sections 237.33 to 237.40, is hereby
19.10authorized to continue to operate such telephone lines and the city shall have all the
19.11powers granted to towns and the council shall have all of the powers granted to boards of
19.12supervisors under Minnesota Statutes 2010, sections 237.33 to 237.40.

19.13    Sec. 12. Minnesota Statutes 2012, section 609.892, subdivision 1, is amended to read:
19.14    Subdivision 1. Applicability. The definitions in this section apply to sections
19.15237.73, 609.892, and 609.893.

700 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155 ♦ Phone: (651) 296-2868 ♦ TTY: 1-800-627-3529 ♦ Fax: (651) 296-0569