Minnesota Session Laws - 1988, Regular Session

  

                         Laws of Minnesota 1988 

                        CHAPTER 621-S.F.No. 1809 
           An act relating to telephones; combining local 
          telephone service surcharges for emergency telephone 
          service, telephone access for hearing impaired, and 
          the telephone assistance plan into one surcharge at 
          the option of each company; requiring the department 
          of human services to administer the telecommunications 
          assistance for communication impaired persons program; 
          making other technical changes in the program; 
          requiring the department of administration to separate 
          the surcharges into three separate accounts; adding 
          low-income disabled persons to those eligible for the 
          telephone assistance plan; clarifying eligibility for 
          telephone assistance; clarifying administrative 
          functions of and reimbursements to state agencies and 
          telephone companies; amending Minnesota Statutes 1987 
          Supplement, sections 237.50, subdivision 4; 237.51, 
          subdivision 5; 237.52, subdivision 5; 237.53, 
          subdivisions 3, 4, 6, and 7; 237.69, subdivision 6, 
          and by adding subdivisions; and 237.70, subdivisions 
          3, 6, 7, and by adding a subdivision; Laws 1987, 
          chapter 340, section 17; proposing coding for new law 
          in Minnesota Statutes, chapter 237; repealing 
          Minnesota Statutes 1987 Supplement, sections 237.53, 
          subdivision 8; 237.70, subdivision 4; and 237.72. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  [237.49] [COMBINED LOCAL ACCESS SURCHARGE.] 
    Each local telephone company shall collect from each 
subscriber an amount or amounts representing the total of the 
surcharges required under sections 237.52, 237.70, and 403.11.  
Amounts collected must be remitted to the department of 
administration in the manner prescribed in section 403.11.  The 
department of administration shall divide the amounts received 
proportional to the individual surcharges and deposit them in 
the appropriate accounts. 
    Sec. 2.  Minnesota Statutes 1987 Supplement, section 
237.50, subdivision 4, is amended to read:  
    Subd. 4.  [COMMUNICATION DEVICE.] "Communication device" 
means a device that when connected to a telephone enables a 
communication-impaired person to communicate with another person 
utilizing the telephone system.  A "communication device" 
includes a ring signaler, an amplification device, a telephone 
device for the deaf with any auxiliary equipment the board deems 
necessary, and a telebraille unit. 
    Sec. 3.  Minnesota Statutes 1987 Supplement, section 
237.51, subdivision 5, is amended to read:  
    Subd. 5.  [DUTIES.] In addition to any duties specified 
elsewhere in sections 237.51 to 237.56, the board shall: 
    (1) define economic hardship, special needs, and household 
criteria so as to determine the priority of eligible applicants 
for initial distribution of devices and to determine 
circumstances necessitating provision of more than one 
communication device per household; 
    (2) establish a method to verify eligibility requirements; 
    (3) research and publish lists of available establish 
specifications for communication devices and compatibility of 
the devices with available telephone equipment to be purchased 
under section 237.53, subdivision 3; 
    (4) enter contracts for the establishment and operation of 
the message relay service pursuant to section 237.54; 
    (5) inform the public and specifically the community of 
communication-impaired persons of the program; 
    (6) prepare the reports required by section 237.55; 
    (7) administer the fund created in section 237.52;  
    (8) retain the services of a program administrator; and 
    (9) adopt rules, including emergency rules, under chapter 
14 to implement the provisions of sections 237.50 to 237.56; and 
    (10) study the potential economic impact of the program on 
local communication device retailers and dispensers and. 
Notwithstanding any provision of chapter 16B, the board shall 
develop guidelines for the purchase of some communication 
devices from local retailers and dispensers if the study 
determines that otherwise they will be economically harmed by 
implementation of sections 237.50 to 237.56. 
    Sec. 4.  Minnesota Statutes 1987 Supplement, section 
237.52, subdivision 5, is amended to read:  
    Subd. 5.  [EXPENDITURES.] Money in the fund may only be 
used for: 
    (1) program administration expenses of the board, including 
personnel cost, public relations, board members' expenses, 
preparation of reports, and other reasonable expenses not to 
exceed 20 percent of total program expenditures; 
    (2) reimbursing telephone companies the commissioner of 
human services for purchases made or services provided pursuant 
to section 237.53; 
    (3) reimbursing telephone companies for purchases made or 
services provided under section 237.53, subdivision 5; and 
    (4) contracting for establishment and operation of the 
message relay service required by section 237.54. 
    All costs directly associated with the establishment of the 
board and program, the purchase and distribution of 
communication devices, and the establishment and operation of 
the message relay service are either reimbursable or directly 
payable from the fund after authorization by the board. 
    Sec. 5.  Minnesota Statutes 1987 Supplement, section 
237.53, subdivision 3, is amended to read:  
    Subd. 3.  [DISTRIBUTION.] The telephone company providing 
local exchange service to the largest number of persons in the 
state commissioner of human services shall purchase and 
distribute to each other telephone company providing local 
exchange service a sufficient number of communication devices so 
that each eligible household receives an appropriate 
device.  Each telephone company providing local exchange service 
The commissioner of human services shall distribute the devices 
to eligible households in its each service area free of charge 
as directed by the program administrator.  Initial distribution 
of the devices will be on a priority basis as determined by the 
board under section 237.51. the board under section 237.51, 
subdivision 5. 
    Sec. 6.  Minnesota Statutes 1987 Supplement, section 
237.53, subdivision 4, is amended to read:  
    Subd. 4.  [TRAINING; MAINTENANCE.] The company providing 
local exchange service to an eligible household commissioner of 
human services shall maintain the communication devices until 
the warranty period expires, and provide training, without 
charge, to first-time users of the devices. 
    Sec. 7.  Minnesota Statutes 1987 Supplement, section 
237.53, subdivision 6, is amended to read:  
    Subd. 6.  [OWNERSHIP.] All communication devices purchased 
pursuant to subdivision 3 will become the property of 
the company providing the communication device to eligible 
recipients and are excluded from that company's rate base for 
the purpose of establishing rates under section 237.075 as 
applicable state of Minnesota. 
    Sec. 8.  Minnesota Statutes 1987 Supplement, section 
237.53, subdivision 7, is amended to read:  
    Subd. 7.  [STANDARDS.] The communication devices 
distributed under this section must comply with the electronic 
industries association standards and approved by the Federal 
Communications Commission.  Each company The commissioner of 
human services must provide each eligible person a choice of 
several models of devices, the retail value of which may not 
exceed $600 for a communication device for the deaf, and a 
retail value of $7,000 for a telebraille device, or an amount 
authorized by the board for a telephone device for the deaf with 
auxiliary equipment. 
    Sec. 9.  Minnesota Statutes 1987 Supplement, section 
237.69, is amended by adding a subdivision to read: 
    Subd. 9.  [DISABLED.] "Disabled" has the meaning given it 
in section 363.01, subdivision 25.  
    Sec. 10.  Minnesota Statutes 1987 Supplement, section 
237.69, subdivision 6, is amended to read:  
    Subd. 6.  [FEDERAL MATCHING PLAN.] "Federal matching plan" 
means the any telephone assistance plan formulated by the 
Federal Communications Commission that provides federal 
assistance to local telephone subscribers. 
    Sec. 11.  Minnesota Statutes 1987 Supplement, section 
237.69, is amended by adding a subdivision to read: 
    Subd. 10.  [FUND.] "Fund" means the telephone assistance 
fund established in section 16.  
    Sec. 12.  Minnesota Statutes 1987 Supplement, section 
237.70, subdivision 3, is amended to read:  
    Subd. 3.  [FEDERAL MATCHING PLAN.] The telephone assistance 
plan must contain adequate provisions to enable telephone 
companies to qualify for assistance under waiver of the federal 
interstate access charge and to enable eligible subscribers to 
take advantage of the federal matching plan.  
    Sec. 13.  Minnesota Statutes 1987 Supplement, section 
237.70, is amended by adding a subdivision to read:  
    Subd. 4a.  [HOUSEHOLDS ELIGIBLE FOR CREDITS.] The telephone 
assistance plan must provide telephone assistance credit for a 
residential household in Minnesota that meets each of the 
following criteria: 
    (1) has a household member who: 
    (i) subscribes to local exchange service; and 
    (ii) is either disabled or 65 years of age or older; 
    (2) whose household income is 150 percent or less of 
federal poverty guidelines or is currently eligible for: 
    (i) aid to families with dependent children; 
    (ii) medical assistance; 
    (iii) general assistance; 
    (iv) Minnesota supplemental aid; 
    (v) food stamps; 
    (vi) refugee cash assistance or refugee medical assistance; 
    (vii) energy assistance; or 
    (viii) supplemental security income; and 
    (3) who has been certified as eligible for telephone 
assistance plan credits. 
    Sec. 14.  Minnesota Statutes 1987 Supplement, section 
237.70, subdivision 6, is amended to read: 
    Subd. 6.  [FUNDING.] The commission shall provide for the 
funding of the telephone assistance plan by assessing a uniform 
recurring monthly surcharge, not to exceed ten cents per access 
line, applicable to all classes and grades of access lines 
provided by each telephone company in the state.  The revenue 
generated by the surcharge must not exceed $2,500,000 on a 
statewide basis.  This statewide $2,500,000 limitation must be 
apportioned between telephone companies based on their relative 
number of access lines. 
    Sec. 15.  Minnesota Statutes 1987 Supplement, section 
237.70, subdivision 7, is amended to read:  
    Subd. 7.  [ADMINISTRATION.] The telephone assistance plan 
must be administered jointly by the commission, the department 
of human services, and the telephone companies in accordance 
with the following guidelines: 
    (a) The commission and the department of human services 
shall develop eligibility certification forms an application 
form that must be completed at least annually by the subscriber 
residing in a household for the purposes purpose of certifying 
eligibility for telephone assistance plan credits to the 
telephone companies.  Each telephone company shall annually mail 
a notice of the availability of the telephone assistance plan to 
each residential subscriber in a regular billing and shall mail 
the application form to customers when requested.  
    The notice must state the following: 
    YOU MAY BE ELIGIBLE FOR ASSISTANCE IN PAYING YOUR TELEPHONE 
BILL IF YOU MEET CERTAIN HOUSEHOLD INCOME LIMITS, AND YOU ARE 65 
YEARS OF AGE OR OLDER OR ARE DISABLED.  FOR MORE INFORMATION OR 
AN APPLICATION FORM PLEASE CONTACT ......... 
    (b) The department of human services, through its various 
offices and agencies, shall determine the eligibility for 
telephone assistance plan credits on an annual basis at least 
annually according to the criteria contained in subdivision 4, 
based upon consideration of documentation made available to the 
department of human services by the subscriber, and shall 
provide the necessary certification forms to eligible households 
for provision by the households to the telephone company 4a.  
    (c) The Each telephone company shall provide telephone 
assistance plan credits against monthly charges in the earliest 
possible month following receipt of an eligibility certification 
application form and shall continue to provide credits for 12 
months after, unless notified that eligibility has terminated 
earlier the subscriber is ineligible.  At the end of every 
12-month period, telephone assistance plan credits cease unless 
the telephone company has been provided with a new eligibility 
certification form.  The company shall cease granting credits at 
the earliest possible billing cycle when notified by the 
department of human services that the subscriber is ineligible.  
    (d) The commission shall serve as the administrator 
coordinator of a statewide surcharge revenue pool the telephone 
assistance plan and be reimbursed for its administrative 
expenses from the surcharge revenue pool.  As the 
administrator coordinator, the commission shall: 
    (1) establish a uniform statewide surcharge in accordance 
with subdivision 6; 
    (2) establish a uniform statewide level of telephone 
assistance plan credit that each telephone company shall extend 
to each eligible household in its service area; 
    (3) require each telephone company to account to the 
commission on a periodic basis for surcharge revenues collected 
by the company, expenses incurred by the company, not to include 
expenses of collecting surcharges, and credits extended by the 
company under the telephone assistance plan; 
    (4) require each telephone company to remit excess 
surcharge revenues to the commission department of 
administration for administration as part of the pool deposit in 
the fund; and 
    (5) remit to each telephone company from the surcharge 
revenue pool the amount necessary to compensate the company for 
expenses, not including expenses of collecting the surcharges, 
and telephone assistance plan credits that are not covered by 
the surcharge revenue collected by the company.  When it appears 
that the revenue generated by the maximum surcharge permitted 
under subdivision 6 will be inadequate to fund any particular 
established level of telephone assistance plan credits, the 
commission shall reduce the credits to a level that can be 
adequately funded by the maximum surcharge.  Similarly, the 
commission may increase the level of the telephone assistance 
plan credit that is available or reduce the surcharge to a level 
and for a period of time that will prevent an unreasonable 
overcollection of surcharge revenues. 
    (e) Each telephone company shall maintain adequate records 
of surcharge revenues, expenses, and credits related to the 
telephone assistance plan and shall, as part of its annual 
report or separately, provide the commission and the 
department of public service with a financial report of its 
experience under the telephone assistance plan for the previous 
year.  That report must also be adequate to satisfy the 
reporting requirements of the federal matching plan.  
    (f) The department of public service shall investigate 
complaints against telephone companies with regard to the 
telephone assistance plan and shall report the results of its 
investigation to the commission. 
    Sec. 16.  [237.701] [TELEPHONE ASSISTANCE FUND; 
APPROPRIATION.] 
    Subdivision 1.  [TELEPHONE ASSISTANCE FUND.] The telephone 
assistance fund is created as a separate account in the state 
treasury to consist of amounts received by the department of 
administration representing the surcharge authorized by section 
237.70, subdivision 6, and amounts earned on the fund assets.  
Money in the fund may be used only for: 
    (1) reimbursement to telephone companies for expenses and 
credits allowed in section 237.70, subdivision 7, paragraph (d), 
clause (5); 
    (2) reimbursement of the administrative expenses of the 
department of human services from January 1, 1988, to June 30, 
1989, to implement sections 237.69 to 237.71 not to exceed 
$90,000; and 
    (3) reimbursement of the administrative expenses of the 
commission not to exceed $25,000 annually. 
    Subd. 2.  [APPROPRIATION.] Money in the fund is 
appropriated to the commission to be disbursed pursuant to 
section 237.70, subdivision 7. 
    Sec. 17.  Laws 1987, chapter 340, section 17, is amended to 
read:  
    Sec. 17.  [LEGISLATIVE REPORT.] 
    By January 1, 1989, the commission shall submit a report to 
the legislature with regard to the implementation, 
administration, and effectiveness of the telephone assistance 
plan and shall make any recommendations the commission believes 
are appropriate with regard to eligibility, funding, and 
administration of the telephone assistance plan for changes in 
the plan. 
    Sec. 18.  [237.711] [RULES.] 
    The commission may adopt emergency and permanent rules to 
implement sections 1 to 16. 
    Sec. 19.  [REPEALER.] 
    Minnesota Statutes 1987 Supplement, sections 237.53, 
subdivision 8, 237.70, subdivision 4, and 237.72, are repealed. 
    Sec. 20.  [EFFECTIVE DATE.] 
    Sections 1 to 19 are effective the day following final 
enactment. 
    Approved April 24, 1988