2006 Minnesota Statutes

237.766 PLAN DURATION AND EXTENSION.
    Subdivision 1. Plan duration. An alternative regulation plan approved by the commission
under section 237.764 must remain in force as approved for the term specified in the plan, which
must be for no less than three years. Except as otherwise provided in this section, within six
months prior to the termination of the plan the company shall give notice that it will propose a
new plan, extend an existing plan, or revert to rate of return regulation.
    Subd. 2. New plan. A new plan proposed by a company must be reviewed by the
commission and, with the consent of the company, revised or approved consistent with sections
237.76 to 237.774, except that the justification of earnings levels in section 237.764, subdivision
1 , paragraph (c), if required, and the provisions prohibiting rate increases at the initiation of or
during the first three years of a plan contained in section 237.762, shall not apply to a new plan.
Any new plan must be approved by the commission and shall contain a mechanism under which a
telephone company may reduce the rates for price-regulated services below the initial rates or
prices or increase the rates or prices during the term of the plan. The plan must specify the reports
required of the telephone company for review of the plan and specify that the telephone company
shall maintain records in sufficient detail to facilitate the review. A new plan is not an extension,
which must be made pursuant to subdivision 3.
    Subd. 3. Plan extension. (a) Notwithstanding the provisions of its plan, a telephone company
operating under a plan as of May 20, 2004, may elect to extend that plan for up to three years
from the expiration date of the plan or until December 31, 2007, whichever is earlier. The election
is effective upon notification to customers, the commission, the department, and the Office of
the Attorney General. A telephone company must provide notification of its election within 30
days of May 20, 2004, or within six months of the expiration of its current or expired plan,
whichever is later. Once a telephone company has elected to exercise the option provided under
this subdivision, the company may elect at any time to terminate the plan by notifying customers,
the commission, the department, and the Office of the Attorney General, in writing, six months
prior to the termination date. Upon termination of a plan, the company shall be regulated as
provided in this chapter.
(b) A telephone company may elect to extend a plan entered into after May 20, 2004, in lieu
of proposing a new plan only if the company is in substantial compliance with the plan's service
quality provisions and has met its infrastructure obligations under the plan. If the company elects
to extend a plan, the rates for price-regulated services shall be capped at the rate levels in effect at
the time the extension commences, provided, however, exceptions to a price cap contained in
the plan being extended may remain in force. Unless otherwise specified in the plan, all other
provisions of the plan shall continue in effect throughout the extension period. A plan may not be
extended for less than one year or more than three years, and may only be extended once.
(c) The Department of Commerce or the Office of the Attorney General may file an objection
to the extension with the commission if the company is not in substantial compliance with the
service quality provisions of its plan or has not met its infrastructure obligations under the plan. An
objection must be filed within 45 days of the company's notice of its intention to extend the plan.
(d) If an objection is filed by the Department of Commerce or the Office of the Attorney
General, the commission may hold a hearing on the issues raised in the objection. The hearings
shall be completed within 30 days of the deadline for filing the objections. If the commission finds
that the issues raised in the objection are valid, it may reject the extension. If the commission finds
that the issues raised in the objection are not valid, it shall approve the extension. The commission
shall issue its decision within 15 days of the completion of the hearings concerning the objection.
(e) If the Department of Commerce or the Office of the Attorney General does not file an
objection, the commission shall approve the extension within 60 days of the company's filing of
its notice of its intention to extend the plan.
History: 1995 c 156 s 13,25; 1997 c 223 s 16; 2003 c 97 s 2; 2004 c 214 s 2