S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  2674

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                            February 26, 2009
                               ___________

Introduced  by  Sens.  MORAHAN,  LARKIN, MAZIARZ, PADAVAN, YOUNG -- read
  twice and ordered printed, and when printed to  be  committed  to  the
  Committee on Energy and Telecommunications

AN  ACT  to  direct the public service commission to prepare a report on
  the impact of the proposed  elimination  of  portions  of  the  public
  service  law and of title 16 of the NYCRR and proposed changes to said
  commission's practices with regard  to  the  enforcement  of  existing
  portions  of  said law and of the NYCRR concerning universal access to
  adequate and affordable telephone service,  consumer  protection,  and
  service quality

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Legislative findings and  purpose.  The  legislature  finds
that   universal   access  to  affordable  telephone  service,  consumer
protection, and quality  telephone  service  have  been  a  longstanding
tradition  and  policy of the state. This policy has, however, come into
question in light of proposals by the department of  public  service  in
case 05-C-0616 to deregulate the telecommunications industry in New York
state  by  limiting  administratively  the application or enforcement of
significant portions of the public service law and of title 16  (depart-
ment  of public service) of the official compilation of codes, rules and
regulations of the state of New York  (hereinafter  NYCRR)  relating  to
telecommunications  services  and companies or by failing to extend such
laws and rules to new entities providing telecommunications services  in
New  York.  Our  state's commitment to universal service, long taken for
granted, must now be restated to ensure  that  it  is  uncompromised  by
deregulation  initiatives  that  the commission advances through this or
any related case; the  availability  and  timely  development  of  basic
consumer  protections,  such  as  ubiquitous  E-911 service, must now be
reevaluated to ensure that these protections are not sacrificed  if  the
commission elects to advance its deregulation initiatives in this or any
related  case; and the provision of adequate service by telephone corpo-
rations, long ensured by parts 602 and 603 et seq. of title 16 of  NYCRR
and  by  service  quality  plans  and  fines,  must now be protected and

              

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08569-01-9

S. 2674                             2

enhanced to ensure that such service quality survives any implementation
of the deregulatory initiatives that the commission elects to advance in
this or any related case.
  S  2.  (A)(i)  The public service commission shall immediately suspend
the proceeding entitled case 05-C-0616 ("Comp. III") and  shall  prepare
and issue a report as described in this section on the potential effects
of  such  proceeding to the governor, temporary president of the senate,
speaker of the assembly, minority leaders of the  senate  and  assembly,
chairperson  and  ranking minority member of the senate energy and tele-
communications committee,  and  the  chairperson  and  ranking  minority
member of the assembly corporations, authorities and commissions commit-
tee. Such report shall be transmitted to said persons on April 1, 2010.
  (ii)  The  report  shall  evaluate  in  detail the implications of the
following:
  (a) the elimination or consolidation of parts 602,  603,  and  609  of
title 16 of NYCRR;
  (b)  the elimination or consolidation of those portions of title 16 of
NYCRR set forth in the "Telephone Regulatory Convergence Matrix"  issued
in case 05-C-0616;
  (c) the effect upon universal service caused by the proposed increases
to local exchange company rates;
  (d)  the  effect  upon consumers of the failure to extend existing law
and rules to new entrants  supplying  telephone  services  in  New  York
state;
  (e)  the  effect upon consumers living in rural and high cost areas of
the increased local exchange company rates proposed in case 05-C-0616;
  (f) the effect upon independent upstate telephone corporations of  the
policies  set  forth  in the department's white paper and whether or not
such small, independent companies will go out of business, causing a net
loss of jobs and tax revenues to upstate New York; and
  (g) the failure to maintain subscribership in the  existing  telephone
lifeline program.
  (iii)  If  the  public  service commission has issued any decisions in
case 05-C-0616, or has issued an order or orders,  or  taken  any  other
final  actions in such proceeding before the effective date of this act,
the public service commission shall immediately  forbear  from  carrying
out  such  decisions, orders and final actions, and shall stay or vacate
such decisions or orders or other final actions, as applicable, until it
has completed the study and report process set forth in this section.
  (B) Within forty-five days after the public service commission  trans-
mits  the  report  provided  for in subdivision (A) of this section, the
governor, the temporary president of the  senate,  the  speaker  of  the
assembly,  the  minority  leaders of the senate and assembly, the chair-
person and ranking minority member of the senate energy and telecommuni-
cations committee, and the chairperson and ranking  minority  member  of
the  assembly  corporations,  authorities and commissions committee may,
severally or collectively, submit further issues for study and inclusion
in such report, which said commission shall study and include within  an
appendix  to  such  report  within  sixty days after receipt of any such
submission. The public service commission shall neither take  any  final
action  in  case 05-C-0616, nor act upon such final action, nor initiate
or take such action in a collateral proceeding to effectuate the  policy
and  deregulatory  goals  of  case  05-C-0616  until such report and its
appendix, if any, have been completed and transmitted to said persons.
  S 3. This act shall take effect immediately.