Minnesota Session Laws - 2003, Regular Session

                            CHAPTER 79-S.F.No. 1260 
                  An act relating to public utilities; making changes to 
                  the telephone assistance plan; amending Minnesota 
                  Statutes 2002, sections 237.70, subdivisions 2, 3, 4a, 
                  5, 6, 7; 237.701, subdivision 1. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2002, section 237.70, 
        subdivision 2, is amended to read: 
           Subd. 2.  [SCOPE.] The telephone assistance plan must be 
        statewide and apply to telephone companies local service 
        providers that provide local exchange service in Minnesota.  
           Sec. 2.  Minnesota Statutes 2002, 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 local service providers to qualify for waiver of the 
        federal interstate access charge and to enable eligible 
        subscribers to take advantage of the federal matching plan.  
           Sec. 3.  Minnesota Statutes 2002, section 237.70, 
        subdivision 4a, is amended to read: 
           Subd. 4a.  [HOUSEHOLD ELIGIBLE FOR CREDIT.] 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) the Minnesota family investment program; 
           (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 is eligible for the federal Lifeline 
        telephone service discount. 
           Sec. 4.  Minnesota Statutes 2002, section 237.70, 
        subdivision 5, is amended to read: 
           Subd. 5.  [NATURE AND EXTENT OF CREDITS.] The telephone 
        assistance plan may provide for telephone assistance credits to 
        eligible households up to the amounts available under the 
        federal matching plan.  However, the credits available under the 
        telephone assistance plan may not exceed: 
           (1) more than 50 percent of the local exchange rate charged 
        for the local exchange service provided to the household by that 
        household's telephone company local service provider; and 
           (2) the level of credits that can actually be funded in 
        accordance with the limitations contained in subdivision 6. 
           Sec. 5.  Minnesota Statutes 2002, 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 local service provider in the 
        state.  
           Sec. 6.  Minnesota Statutes 2002, 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 commerce, and the telephone companies local 
        service providers in accordance with the following guidelines: 
           (a) The commission and the department of human 
        services commerce shall develop an application form that must be 
        completed by the subscriber for the purpose of certifying 
        eligibility for telephone assistance plan credits to 
        the department of human services local service provider.  The 
        application must contain the applicant's social security 
        number.  Applicants who refuse to provide a social security 
        number will be denied telephone assistance plan credits.  The 
        application form must also include provisions for the applicant 
        to show the name of the applicant's telephone company.  The 
        application must also advise the applicant to submit the 
        required proof of age or disability, and income and must provide 
        examples of acceptable proof.  The application must state that 
        failure to submit proof with the application will result in the 
        applicant being found ineligible a statement that the applicant 
        household is currently eligible for one of the programs that 
        confers eligibility for the federal Lifeline Program.  The 
        application must be signed by the applicant, certifying, under 
        penalty of perjury, that the information provided by the 
        applicant is true.  Each telephone company local service 
        provider 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 ARE 65 YEARS OF AGE OR OLDER OR ARE DISABLED AND IF 
        YOU MEET CERTAIN HOUSEHOLD INCOME LIMITS RECEIVE BENEFITS FROM 
        CERTAIN LOW-INCOME ASSISTANCE PROGRAMS.  FOR MORE INFORMATION OR 
        AN APPLICATION FORM PLEASE CONTACT ......... 
           (b) The department of human services shall determine the 
        eligibility for telephone assistance plan credits at least 
        annually according to the criteria contained in subdivision 4a.  
           (c) An application may be made by the subscriber, the 
        subscriber's spouse, or a person authorized by the subscriber to 
        act on the subscriber's behalf.  On completing the application 
        certifying that the statutory criteria for eligibility are 
        satisfied, the applicant must return the application to an 
        office of the department of human services specially designated 
        to process telephone assistance plan applications the 
        subscriber's local service provider.  On receiving a completed 
        application from an applicant, the department of human services 
        shall determine the applicant's eligibility or ineligibility 
        within 120 days.  If the department fails to do so, it shall 
        within three working days provide written notice to the 
        applicant's telephone company that the company subscriber's 
        local service provider shall provide telephone assistance plan 
        credits against monthly charges in the earliest possible month 
        following receipt of the written notice application.  The 
        applicant must receive telephone assistance plan credits until 
        the earliest possible month following the company's service 
        provider's receipt of notice from the department information 
        that the applicant is ineligible. 
           If the department of human services determines that an 
        applicant is not eligible to receive telephone assistance plan 
        credits, it shall notify the applicant within ten working days 
        of that determination. 
           Within ten working days of determining that an applicant is 
        eligible to receive telephone assistance plan credits, the 
        department of human services shall provide written notification 
        to the telephone company that serves the applicant.  The notice 
        must include the applicant's name, address, and telephone number.
           Each telephone company shall provide telephone assistance 
        plan credits against monthly charges in the earliest possible 
        month following receipt of notice from the department of human 
        services. 
           By December 31 of each year, the department of human 
        services shall redetermine eligibility of each person receiving 
        telephone assistance plan credits, as required in paragraph (b). 
        The department of human services shall submit an annual report 
        to the commission by January 15 of each year showing that the 
        department has determined the eligibility for telephone 
        assistance plan credits of each person receiving the credits or 
        explaining why the determination has not been made and showing 
        how and when the determination will be completed.  
           If the department of human services determines that a 
        current recipient of telephone assistance plan credits is not 
        eligible to receive the credits, it shall notify, in writing, 
        the recipient within ten working days and the telephone company 
        serving the recipient within 20 working days of the 
        determination.  The notice must include the recipient's name, 
        address, and telephone number. 
           Each telephone company shall remove telephone assistance 
        plan credits against monthly charges in the earliest possible 
        month following receipt of notice from the department of human 
        services. 
           Each telephone company that disconnects a subscriber 
        receiving the telephone assistance plan credit shall report the 
        disconnection to the department of human services.  The reports 
        must be submitted monthly, identifying the subscribers 
        disconnected.  Telephone companies that do not disconnect a 
        subscriber receiving the telephone assistance plan credit are 
        not required to report.  
           If the telephone assistance plan credit is not itemized on 
        the subscriber's monthly charges bill for local telephone 
        service, the telephone company local service provider must 
        notify the subscriber of the approval for the telephone 
        assistance plan credit. 
           (d) (c) The commission shall serve as the coordinator of 
        the telephone assistance plan and be reimbursed for its 
        administrative expenses from the surcharge revenue pool.  As the 
        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 local service 
        provider shall extend to each eligible household in its service 
        area; 
           (3) require each telephone company local service provider 
        to account to the commission on a periodic basis for surcharge 
        revenues collected by the company provider, expenses incurred by 
        the company provider, not to include expenses of collecting 
        surcharges, and credits extended by the company provider under 
        the telephone assistance plan; 
           (4) require each telephone company local service provider 
        to remit surcharge revenues to the department of administration 
        for deposit in the fund; and 
           (5) remit to each telephone company local service provider 
        from the surcharge revenue pool the amount necessary to 
        compensate the company provider for expenses, not including 
        expenses of collecting the surcharges, and telephone assistance 
        plan credits.  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) (d) Each telephone company local service provider 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 commerce 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) (e) The department of commerce shall investigate 
        complaints against telephone companies local service providers 
        with regard to the telephone assistance plan and shall report 
        the results of its investigation to the commission.  
           Sec. 7.  Minnesota Statutes 2002, section 237.701, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [FUND CREATED; AUTHORIZED EXPENDITURES.] 
        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 local service 
        providers for expenses and credits allowed in section 237.70, 
        subdivision 7, paragraph (d) (c), clause (5); 
           (2) reimbursement of the administrative expenses of the 
        department of human services to implement sections 237.69 to 
        237.71, not to exceed $314,000 annually; 
           (3) reimbursement of the administrative expenses of the 
        commission not to exceed $25,000 annually; and 
           (4) (3) reimbursement of the statewide indirect cost of the 
        commission. 
           Presented to the governor May 19, 2003 
           Signed by the governor May 22, 2003, 9:30 p.m.