Telecommunications Reports presents . . . . . TR's State NewsWire
January 17, 2001 P.M. Edition

STATES
TENNESSEE -- Appeals court to rule on pay phone line fees
CONNECTICUT -- DPUC may tell WorldCom to change collect call
notification policy
GEORGIA -- McDonald becomes new PSC chairman
UTAH -- State to examine mapping telecom infrastructure
ARKANSAS -- Bill would require public schools and libraries to use
Internet filters
WASHINGTON -- Locke proposes investing in technology education
initiatives
IOWA -- Board approves Citizens reorganization
VIRGINIA -- Legislators take another stab at restricting wireless phone
use while driving
NEW MEXICO -- Parties negotiating Qwest 'alt reg' settlement
MISSISSIPPI -- Legislation aims to prevent 'cramming'
CALIFORNIA -- Lynch asks AG about legality of consumer protection fund
WASHINGTON -- Bill would set up no-call list
NORTH DAKOTA -- Legislators want to speed up Qwest market-entry bid
COLORADO - Legislation would designate provider of last resort
TEXAS -- House to take up digital signatures, voter registration
NEW YORK -- Verizon deploys more fiber on Long Island


TENNESSEE
Appeals court to rule on pay phone line fees

The Tennessee Court of Appeals this month will determine how much pay
phone owners must pay local exchange carriers (LEC) for use of
individual lines, Henry Walker, an attorney for the Tennessee Payphone
Owners Association, told TR.  On Jan. 9 the state Regulatory Authority
rejected BellSouth Telecommunications, Inc.'s petition to stay the TRA's
December order, which cut line fees virtually in half.  BellSouth has
taken the TRA's Jan. 9 decision to the appeals court.

Walker, who estimated that pay phone owners now pay $27 per month for
use of LEC lines, said the figure was not cost based.  The TRA's Dec. 19
order, which reduced the fee to $13.78 per month, used BellSouth's own
cost studies in establishing a cost-based fee, he added.  "Finally we
have a rate that's based on the cost of providing service," Walker said.

If the appeals court upholds the TRA's rejection of the BellSouth
petition, the reduced pay phone line fee will go into effect Feb. 19, 60
days after the original TRA order.  Passage of the line reduction also
would force LECs to provide retroactive refunds dating from April 15,
1997, Walker said.  The retroactive refunds, which include the accrued
interest of 6% of individual refund totals, would give non-LEC pay phone
owners $6.5 million from BellSouth alone.  (Docket No. 97-00409, Tariff
Filings By Local Exchange Companies to Comply with FCC Order 96-439
Concerning the Reclassification of Pay Telephones)


CONNECTICUT
DPUC may tell WorldCom to change collect call notification policy

The Department of Public Utility Control has released an initial draft
of an order that would require WorldCom, Inc., to provide advance notice
before the company imposes a collect call block on a customer's number.

The DPUC launched an investigation into WorldCom's blocking procedures
in March 1999 after receiving complaints that the company had prevented
the completion of collect calls from prison facilities.  (3/30/99 p.m.)
Families of inmates complained that WorldCom didn't notify them that
collect calls would be blocked even though collect call charges were
always paid in full.  Under the company's current tariffs, WorldCom can
block collect calls from correctional facilities without notice.

WorldCom places collect call blocks to prevent "high toll fraud
situations."  The company identifies end users with unusually high
numbers of collect calls and then assesses the end user's payment
history and whether the end user has verified that the calls are
legitimate.

The department determined that WorldCom's procedures are reasonable but
found that placing collect call blocks "constitutes a form of
termination of service."  The department concluded that WorldCom must
revise its notification procedure to "ensure that every end user subject
to the imposition of collect call blocks on intrastate services shall be
provided advance notification."

The department said it will consider parties' exceptions before making
the decision final.  A final decision is due Jan. 31.  (Docket No.
99-03-37, DPUC Review of MCI WorldCom, Inc.'s Collect Calling
Notification and Termination Policies)


GEORGIA
McDonald becomes new PSC chairman

The Public Service Commission has chosen Lauren (Bubba) McDonald Jr. to
be its chairman.  McDonald will serve a one-year term as chairman.
Commissioner Stan Wise will be vice chairman.

McDonald, who has been a PSC member since 1998, named Commissioner David
L. Burgess as chairman of the commission's telecommunications committee.



UTAH
State to examine mapping telecom infrastructure

The state Department of Community and Economic Development and the
Office of Chief Information Officer (CIO) have scheduled a Feb. 1
meeting to discuss how the state can provide companies information about
its telecom infrastructure.  The CIO staff told TR participants are
expected to discuss establishing maps with detailed infrastructure
deployment information.

The staff noted that Ohio is creating a broadband availability map for
the state.  The Ohio map will show the availability of digital
subscriber line service, cable modem services, and other Internet
services with access speeds faster than 128 kilobits per second.  The
staff pointed out that San Diego offers an interactive map as a service
for businesses considering relocating to the city.  The map includes
information about what buildings are wired, what streets are wired, and
which carriers serve specific areas.

In addition to Department of Community of Economic Development and the
Office of the CIO, meeting participants will include members of the
telecom industry and representatives from the Public Service Commission
and Division of Public Utilities.


ARKANSAS
Bill would require public schools, libraries to use Internet filters

State Rep. Russ Bennett (R., District 22) has introduced a bill to
require public schools and libraries to use Internet filters to restrict
access to content that is "harmful to minors."  Bennett told TR he
expects to present the bill to the House Education Committee in about a
week.

HB 1003 would require public schools and libraries either to install
their own Internet filters or to offer Internet access through a
provider that filters content.  The filtering rules would apply to any
public access computer.

If a public school or library used filtering software, the institution's
employees couldn't be held criminally liable or liable for civil damages
that occurred as a result of a minor obtaining access to content that is
"harmful" to them.

The bill's text is available at
http://www.arkleg.state.ar.us/ftproot/bills/2001/htm/HB1003.pdf.


WASHINGTON
Locke proposes investing in technology education initiatives

Gov. Gary Locke (D.) yesterday proposed investing $22 million in
expanding and starting up new high-technology programs in colleges in
universities throughout the state.  Locke also proposed spending $20
million to (1) help keep high-technology faculty salaries competitive,
(2) bolster proficiency and interest in technology in high school, and
(3) promote advanced research.

Locke discussed the strategic importance of Washington's higher
education institutions and stressed the need to continue to build on
these strengths.  Locke said that in the past five years, the household
median income in Washington has jumped 20%, with much of that growth
driven by technology.

The governor also proposed investing $7.5 million in state funds,
matched with $4 million from private sources, to create a technology
institute at the University of Washington, Tacoma Campus (UW Tacoma).
Additionally, Intel Corp. pledged a computer equipment donation to UW
Tacoma valued at $270,000 over the next two years.  This marks the first
private-sector investment in the proposed technology institute.


IOWA
Board approves Citizens reorganization

The Utilities Board has approved the proposed sale of the capital stock
of Frontier Subsidiary Telco, Inc., from Global Crossing Ltd. to
Citizens Communications Co.  The board's decision approves a settlement
reached by Citizens, Global, and the state consumer advocate.  According
to the agreement, Citizens must report to the board periodically on
service quality, capital expenditures, and system upgrades.

The board's order is available at
http://www.state.ia.us/government/com/util/_private/Orders/2001/0116_spu0015.p
df.
(Docket no. SPU-00-15 - In Re: Global Crossing Ltd. and Citizens
Communications Co.)


VIRGINIA
Legislators take another stab at restricting wireless phone use while
driving

Last year the Senate let a bill (SB 405) die in committee that would
have established misdemeanor penalties for drivers who cause injury
while using a handheld wireless phone.  (4/7/00 a.m.).  Now legislators
have introduced three measures that could place more direct restrictions
on the use of wireless phones while driving.

Del. Anne G. Rhodes (R., District 68) has introduced HB 1884 to ban the
use of any "handheld wireless communication device" by drivers while
their vehicles are in motion.  The bill has been referred to the
Committee on Militia and Police.  Its text is available at
http://leg1.state.va.us/cgi-bin/legp504.exe?011+ful+HB1884.

The House Committee on Transportation yesterday approved HB 1629, which
would prohibit the use of handheld wireless phones while turning onto or
off of the state's highways.  HB 1629, sponsored by Del. L. Karen Darner
(D District 49), has been sent to the Committee on Militia and Police.
Its text is available at
http://leg1.state.va.us/cgi-bin/legp504.exe?011+ful+HB1629.

Sen. Thomas K. Norment (R., District 3) has introduced SJR 336 to
establish a 10-member joint subcommittee to assess the "threat to
highway safety posed by the increasing use of telecommunication devices
by drivers."  The subcommittee also would be charged with recommending
any legislation it deems necessary.  The resolution has been referred to
the Committee on Rules.  Its text is available at
http://leg1.state.va.us/cgi-bin/legp504.exe?011+ful+SJ336.


NEW MEXICO
Parties negotiating Qwest 'alt reg' settlement

The parties to the Public Regulation Commission's examination of a
settlement reached on Qwest Corp.'s alternative regulation plan are
negotiating and are scheduled to report to the PRC next week on their
progress, the PRC staff has told TR.

In November 2000 the PRC staff and Qwest reached the settlement on the
company's plan.  (11/2/00 p.m.)  But Attorney General Patricia Madrid
and several Internet service providers have opposed the settlement,
saying it lacks sufficient enforcement mechanisms and adequate
infrastructure investments.  Madrid also said she was disappointed that
the settlement would dismiss several cases pending before the PRC,
including her request for a $98 million Qwest rate reduction.

After holding hearings on the settlement in early January, the parties
to the case agreed to work out a settlement.


MISSISSIPPI
Legislation aims to prevent 'cramming'

Rep. Greg Ward (D., District 4) has introduced a bill to make it illegal
for telecom companies and ancillary service providers to charge
consumers for additional services without obtaining the consumers'
authorizations.  HB 984 has been referred to the House Public Utilities
Committee.

HB 984 would prohibit telecom companies and ancillary service providers
from billing consumers for additional services unless the services were
mandated by the Public Service Commission or explicitly requested by the
consumers.  Consumers wouldn't be required to pay for unauthorized
additional services that appeared on their bills.

If a service billed on a per-use basis appeared on the bill of a
consumer who neither requested nor used the service, the consumer could
notify his or her telecom company.  The company then would be required
to refund the charge or credit the amount to the consumer's next monthly
bill.

Telecom companies and ancillary service providers also would be
prohibited from using contest, drawing, or sweepstakes entry forms as a
consumer's consent to add or alter services.


CALIFORNIA
Lynch asks AG about legality of consumer protection fund

State Public Utilities Commission President Loretta Lynch has asked
Attorney General Bill Lockyer (D.) for a formal opinion concerning the
legality of the Consumer Telecommunications Consumer Protection Fund.

The fund was established in 1998 in a settlement order issued by the
commission stemming from an investigation into alleged marketing abuses
by GTE California, Inc. (now Verizon California, Inc.).  As a part of
the settlement, Verizon paid $4.8 million into the fund.  The fund is
designed to educate nonEnglish-speaking telephone consumers in Verizon's
service territory about their rights as consumers to advocate safeguards
of their rights.

Lynch's question arises from a recent opinion issued by Lockyer
concluding that a settlement entered into by the former insurance
commissioner establishing a private charitable foundation was illegal.
In his decision Lockyer said, "The insurance commissioner may not
include a term of settlement requiring payment of funds to a private
charitable foundation for the purpose of supporting activities unrelated
to the regulatory enforcement responsibilities of the Department of
Insurance in the proceeding."

Lynch said that although there may be legal and factual differences
between the funds, she was "sufficiently concerned" about the decision.
Lockyer based his opinion in the Department of Insurance case on a 1983
case that concluded that agencies could enter into settlements that
further their purposes if those settlements don't contravene public
policy.  Lynch said it wasn't clear whether the purpose of the consumer
protection fund possesses the required relationship with the PUC, as
described in the 1983 case.  (Rich Vision Centers, Inc. v. Board of
Medical Examiners)

The PSC is taking up this issue now because the commission needs to rule
on a staff recommendation to approve the governance structure of the
fund.


WASHINGTON
Bill would set up no-call list

State Sen. Jim Kastama (D., District 25) has introduced SB 5174 to
establish a no-call list for residential telephone customers who don't
want to receive commercial telemarketing calls.  The attorney general's
office would develop and maintain the list.

SB 5174 states that no fee could be charged to citizens who want their
numbers placed on the list, but a "reasonable" fee could be charged to
anyone who wants to inspect the list.

Individuals who are called by a telemarketer despite being listed would
able to bring an action for recovery of liquidated damages of $1,000 per
violation, plus court costs and attorneys' fees.

SB 5174 awaits consideration by the House Economic Development and
Telecommunications Committee.


NORTH DAKOTA
Legislators want to speed up Qwest market entry bid

A resolution introduced in the state Senate would urge the Public
Service Commission and the FCC to move forward "as quickly as possible"
on Qwest Corp.'s bid to provide interLATA (local access and transport
area) service under section 271 of the federal Telecommunications Act of
1996.  According to SCR 4008, granting Qwest market entry authority
would prevent the state from lagging behind other states in the local
and long distance markets.

Sens. Jerry Klein (R., District 14), Dwight Cook (R., District 34),
Steven W. Tomac (D., District 31) and Reps. Rick Berg (R., District 45)
and Francis J. Wald (R., District 37) introduced the resolution.  It has
been referred to the Senate Committee on Industry, Business, and Labor.


COLORADO
Legislation would designate provider of last resort

Sen. Jim Dyer (R., District 26) and Rep. Brad Young (R., District 63)
have introduced SB 106 to designate each local exchange carrier (LEC)
within a specific geographic area as the provider of last resort if the
Public Utilities Commission has found that competition exists in the
area.  The PUC would have to define each relevant geographic area.

A LEC would have to provide the PUC information on regulated activities
at least quarterly.  The information would have to include the number of
customers currently served, with subtotals for each wire center or
similar accounting unit.

SB 106 has been referred to the Senate Agriculture and Natural Resources
Committee.


TEXAS
House to take up digital signatures, voter registration

State Rep. Glen Maxey (D., District 51) has introduced two bills in the
House that address voter registration applications submitted by digital
transmission.  SB 613 would permit the voter registrars to accept a
voter registration by digital transmission, and SB 615 would require the
registrars to accept a voter registration by digital transmission.

Both bills state that a digital signature would have to be present on a
registration application submitted digitally.  The bills also would call
on the secretary of state to adopt rules regarding the technologies
needed to create a digital signature.


NEW YORK
Verizon deploys more fiber on Long Island

Verizon New York, Inc., has completed the installation of a $19 million
upgrade of its fiber optic cable system in Long Island's Nassau and
Suffolk counties.  The company said it now has 200,000 miles of fiber
optic cable on the island.


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