Bill Analysis - HB 1429, Competitive Telecommunications Company Classification (Hearing 2/9/21)
Summary
A bill analysis of HB 1429, concerning classification as a competitive telecommunications company for an incumbent local exchange carrier under RCW 80.36.135. It was prepared by the House of Representatives Office of Program Research for the Community & Economic Development Committee, with hearing date 2/9/21 and staff contact Kyle Raymond. The summary of the bill says that effective competition includes technologies other than traditional landline telephone service and that the Utilities and Transportation Commission may make an additional finding before revoking waivers. An incumbent local exchange carrier may elect competitive classification by written notice, and the alternative form of regulation then automatically terminates. A fiscal note was requested on February 5, 2021.
Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used
Cite this document
“Bill Analysis - HB 1429, Competitive Telecommunications Company Classification (Hearing 2/9/21).”
Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2021-02-09-a28591-d228268-bill-analysis-b934e85b11/
, SHA-256 f4ac5108cb90f81c41c8f3e51c477bb29d46f3ccef7f1e6dac72c89208d32b36.Full text
Washington State BILL
House of Representatives
Office of Program Research ANALYSIS
Community & Economic Development
Committee
HB 1429
Brief Description: Concerning classification as a competitive telecommunications company for
an incumbent local exchange carrier currently operating under an alternative form of
regulation authorized by RCW 80.36.135.
Sponsors: Representatives Ryu, Lovick, Fey, Robertson and Hansen.
Brief Summary of Bill
• Specifies that effective competition includes technologies other than
traditional landline telephone service for purposes of classifying a
telecommunications company as a competitive telecommunications
company.
• Provides that the Utilities and Transportation Commission may make an
additional finding that a company is no longer subject to effective
competition in order to revoke regulatory waivers and reclassify the
competitive telecommunications company.
• Allows an incumbent local exchange carrier (ILEC) to elect to be
classified as a competitive telecommunications company if the ILEC is
operating under an alternative form of regulation, does not receive
universal communication services, and otherwise qualifies as a
competitive telecommunications company.
Hearing Date: 2/9/21
Staff: Kyle Raymond (786-7190).
Background:
This analysis was prepared by non-partisan legislative staff for the use of legislative
members in their deliberations. This analysis is not part of the legislation nor does it
constitute a statement of legislative intent.
House Bill Analysis -1- HB 1429
The Utilities and Transportation Commission (Commission) is authorized to classify a
telecommunications company as a competitive telecommunications company if the services it
offers are subject to effective competition. Effective competition means that the company's
customers have reasonably available alternatives and that the company does not have a
significant captive customer base.
In determining whether a company is competitive, the Commission considers:
• the number and sizes of alternative providers of service;
• the extent to which services are available from alternative providers in the relevant market;
• the ability of alternative providers to make functionally equivalent or substitute services
readily available at competitive rates, terms, and conditions; and
• other indicators of market, including market share, growth in market share, ease of entry,
and the affiliation of providers of services.
Competitive telecommunications companies are subject to minimal regulation. The Commission
may waive regulatory requirements under the Commission's authority for competitive
telecommunications companies when it determines that competition will serve the same purposes
as public interest regulation. The Commission may revoke any waivers it grants and may
reclassify any competitive telecommunications company if the revocation or reclassification
would protect the public interest.
Telecommunications companies are regulated under a rate of return system. Under certain
circumstances, telecommunications companies can be regulated in ways other than the traditional
rate of return regulation. For example, a telecommunications company may petition the
Commission to be regulated under an alternative form of regulation.
Summary of Bill:
Effective competition includes technologies other than traditional landline telephone service for
purposes of classifying a telecommunications company as a competitive telecommunications
company.
The Commission may make an additional finding that a company is no longer subject to
effective competition in order to revoke regulatory waivers and reclassify the competitive
telecommunications company.
An incumbent local exchange carrier (ILEC) may elect to be classified as a competitive
telecommunications company by providing written notice to the Commission if the ILEC is
operating under an alternative form of regulation by the Commission, does not receive Universal
Communication Services program distributions, and otherwise qualifies as a competitive
telecommunications company. The company's alternative form of regulation automatically
terminates once competitive classification has been elected.
Appropriation: None.
House Bill Analysis -2- HB 1429
Fiscal Note: Requested on February 5, 2021.
Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is
passed.
House Bill Analysis -3- HB 1429
File and source
- File
- 2021-02-09_a28591_d228268_bill-analysis.pdf
- Size
- 8,013 bytes
- SHA-256
- f4ac5108cb90f81c41c8f3e51c477bb29d46f3ccef7f1e6dac72c89208d32b36
- Original
- No public link identified.