Chapter 135

2013 -- S 0309 SUBSTITUTE A

Enacted 06/24/13

 

A N A C T

RELATING TO PUBLIC UTILITIES AND CARRIERS - WIRELESS TELEPHONE

REGULATORY MODERNIZATION ACT

          

     Introduced By: Senator Roger Picard

     Date Introduced: February 13, 2013

 

It is enacted by the General Assembly as follows:

 

     SECTION 1. Legislative findings. The general assembly finds and declares that:

     (1) Wireless communications and broadband technology are economic forces that

contribute to the growth and stability of the Rhode Island economy; and

     (2) Policies in Rhode Island have, for many years, established robust competition in the

wireless communications market without unreasonable, industry-specific regulation as the best

means of promoting universal service, economic efficiency, technological innovation, expanded

consumer choice and empowerment, and investment in and deployment of advanced

communications services in the state; and

     (3) Stating such policies in statute will provide additional certainty and continuity of this

policy and is necessary to attract new investment in wireless, broadband and other advanced

networks, encourage technology deployment and promote the creation of new jobs in Rhode

Island, while at the same time ensuring that consumers of wireless service continue to benefit

from the consumer protection laws that apply to consumers generally; and

     (4) The great majority of other states have already enshrined similar policies in statute;

and

     (5) Rhode Island’s wireless marketplace is one of the most open and competitive in the

nation, with over ninety-nine percent (99%) of residents having access to three (3) or more

wireless providers; and

     (6) Countless other industries, trades, and businesses in Rhode Island benefit from this

open and competitive wireless market; and

     (7) A leading-edge wireless industry with investments in up-to-date technology is a

competitive advantage for Rhode Island businesses and the state’s economy; and

     (8) The interstate, and often international, nature of the wireless communication industry

makes a state-by-state regulatory approach problematic and may limit access and increase costs

for consumers.

 

     SECTION 2. Section 39-1-2 of the General Laws in Chapter 39-1 entitled "Public

Utilities Commission" is hereby amended to read as follows:

 

     39-1-2. Definitions. -- Terms used in this title shall be construed as follows, unless

another meaning is expressed or is clearly apparent from the language or context:

      (1) "Administrator" means the administrator of the division of public utilities and

carriers;

      (2) "Airport" and "landing field" mean and include all airports and landing fields other

than those owned by the state;

      (3) "Chairperson" means the chairperson of the public utilities commission;

      (4) "Charter carrier" means and includes all carriers for hire or compensation within this

state not included in the definition of common carrier;

      (5) "Commission" means the public utilities commission;

      (6) "Commissioner" means a member of the public utilities commission;

      (7) "Common carrier", except when used in chapters 12, 13, and 14 of this title, means

and includes all carriers for hire or compensation including railroads, street railways, express,

freight and freight line companies, dining car companies, steam boat, motor boat, power boat,

hydrofoil, and ferry companies and all other companies operating any agency or facility for

public use in this conveyance over fixed routes, or between fixed termini within this state or

persons or property by or by a combination of land, air, or water;

      (8) "Company" means and includes a person, firm, partnership, corporation, quasi-

municipal corporation, association, joint stock association or company, and his, her, its, or their

lessees, trustees, or receivers appointed by any court;

      (9) "Customer" means a company taking service from an electric distribution company at

a single point of delivery or meter location;

      (10) "Distribution facility" means plant or equipment used for the distribution of

electricity and which is not a transmission facility;

      (11) "Division" means the division of public utilities and carriers;

      (12) "Electric distribution company" means a company engaging in the distribution of

electricity or owning, operating, or controlling distribution facilities and shall be a public utility

pursuant to section 39-1-2(20);

      (13) "Electric transmission company" means a company engaging in the transmission of

electricity or owning, operating, or controlling transmission facilities. An electric transmission

company shall not be subject to regulation as a public utility except as specifically provided in the

general laws, but shall be regulated by the federal energy regulatory commission and shall

provide transmission service to all nonregulated power producers and customers, whether

affiliated or not, on comparable, nondiscriminatory prices and terms. Electric transmission

companies shall have the power of eminent domain exercisable following a petition to the

commission pursuant to section 39-1-31;

      (14) "Liquefied natural gas" means a fluid in the liquid state composed predominantly of

methane and which may contain minor quantities of ethane, propane, nitrogen, or other

components normally found in natural gas;

      (15) "Manufacturing customers" means all customers that have on file with an electric

distribution company a valid certificate of exemption from the Rhode Island sales tax indicating

the customer's status as a manufacturer pursuant to section44-18-30;

      (16) "Motor carriers" means any carrier regulated by the administrator pursuant to

Chapters 3, 11, 12, 13 and 14 of this title;

      (17) "Natural gas" means the combustible gaseous mixture of low-molecular-weight,

paraffin hydrocarbons, generated below the surface of the earth containing mostly methane and

ethane with small amounts of propane, butane, and hydrocarbons, and sometimes nitrogen,

carbon dioxide, hydrogen sulfide, and helium;

      (18) "Nonprofit housing development corporation" means a nonprofit corporation, which

has been approved as a section501(c)(3), 26 U.S.C. section501(c)(3), corporation by the internal

revenue service, and which is organized and operated primarily for the purpose of providing

housing for low and moderate income persons;

      (19) "Nonregulated power producer" means a company engaging in the business of

producing, manufacturing, generating, buying, aggregating, marketing or brokering electricity for

sale at wholesale or for retail sale to the public; provided however, that companies which

negotiate the purchase of electric generation services on behalf of customers and do not engage in

the purchase and resale of electric generation services shall be excluded from this definition. A

nonregulated power producer shall not be subject to regulation as a public utility except as

specifically provided in the general laws;

      (20) "Public utility" means and includes every company that is an electric distribution

company and every company operating or doing business in intrastate commerce and in this state

as a railroad, street railway, common carrier, gas, liquefied natural gas, water, telephone,

telegraph, and pipeline company, and every company owning, leasing, maintaining, managing, or

controlling any plant or equipment or any part of any plant or equipment within this state for

manufacturing, producing, transmitting, distributing, delivering, or furnishing natural or

manufactured gas, directly or indirectly to or for the public, or any cars or equipment employed

on or in connection with any railroad or street railway for public or general use within this state,

or any pipes, mains, poles, wires, conduits, fixtures, through, over, across, under, or along any

public highways, parkways or streets, public lands, waters, or parks for the transmission,

transportation, or distribution of gas for sale to the public for light, heat, cooling, or power for

providing audio or visual telephonic or telegraphic communication service within this state or any

pond, lake, reservoir, stream, well, or distributing plant or system employed for the distribution of

water to the consuming public within this state including the water supply board of the city of

Providence; provided, that, except as provided in section39-16-9 and in chapter 2072 of the

public laws, 1933, as amended, this definition shall not be construed to apply to any public

waterworks or water service owned and furnished by any city, town, water district, fire district, or

any other municipal or quasi-municipal corporation, excepting the water supply board of the city

of Providence, unless any city, town, water district, fire district, municipal, or quasi-municipal

corporation obtains water from a source owned or leased by the water resources board, either

directly or indirectly, or obtains a loan from the board pursuant to the provisions of chapter 15 of

title 46, or sells water, on a wholesale or retail basis, inside and outside the territorial limits of the

city or town, water district, fire district, municipal or quasi-municipal corporation, except,

however, that a public waterworks or water service owned and furnished by any city, town, water

district, fire district, or any other municipal or quasi-municipal corporation which sells water, on

a wholesale or retail basis, inside and outside its territorial limits shall not be construed as a

public utility if it has fewer than one-thousand five hundred (1500) total customer service

connections and provided outside sales do not exceed ten percent (10%) of the total water service

connections or volumetric sales and provided the price charged to outside customers, per unit of

water, is not greater than the price charged to inside customers for the same unit of water, nor to

the Rhode Island public transit authority, or to the production and/or distribution of steam, heat,

or water by Rhode Island port authority and economic development corporation in the town of

North Kingstown; and the term "public utility" shall also mean and include the Narragansett Bay

water quality management district commission; and provided that the ownership or operation of a

facility by a company which dispenses alternative fuel or energy sources at retail for use as a

motor vehicle fuel or energy source, and the dispensing of alternative fuel or energy sources at

retail from such a facility, does not make the company a public utility within the meaning of this

title solely because of that ownership, operation, or sale; and provided further that this exemption

shall not apply to presently regulated public utilities which sell natural gas or are dispensers of

other energy sources; and provided further, that the term "public utility" shall not include any

company;

      (i) Producing or distributing steam or heat from a fossil fuel fired cogeneration plant

located at the university of Rhode Island South Kingstown, Rhode Island and;

      (ii) Producing and/or distributing thermal energy and/or electricity to a state owned

facility from a plant located on an adjacent site regardless of whether steam lines cross a public

highway; and

     (iii) Providing wireless service.

      (21) "Purchasing cooperatives" shall mean any association of electricity consumers

which join for the purpose of negotiating the purchase of power from a nonregulated power

producer, provided however, that purchasing cooperatives shall not be required to be legal entities

and are prohibited from being engaged in the re-sale of electric power;

      (22) "Railroad" means and includes every railroad other than a street railway, by

whatsoever power operated for public use in the conveyance in this state of persons or property

for compensation, with all bridges, ferries, tunnels, switches, spurs, tracks, stations, wharves, and

terminal facilities of every kind, used, operated, controlled, leased, or owned by or in connection

with any railroad;

      (23) "Retail access" means the use of transmission and distribution facilities owned by

an electric transmission company or an electric distribution company to transport electricity sold

by a nonregulated power producer to retail customers pursuant to section39-1-27.3;

      (24) "Street railway" means and includes every railway by whatsoever power operated or

any extension or extensions, branch, or branches thereof, for public use in the conveyance in this

state of persons or property for compensation, being mainly upon, along, above, or below any

street, avenue, road, highway, bridge, or public place in any city or town, and including all

switches, spurs, tracks, rights of trackage, subways, tunnels, stations, terminals and terminal

facilities of every kind, used, operated, controlled, or owned by or in connection with any street

railway;

      (25) "Transmission facility" means plant or equipment used for the transmission of

electricity as determined by the federal energy regulatory commission pursuant to federal law as

of the date of the property transfers pursuant to section39-1-27(c);

      (26) Notwithstanding any provision of this section or any provision of the act entitled,

"An Act Relating to the Utility Restructuring Act of 1996" (hereinafter "Utility Restructuring

Act"), upon request by the affected electric utility, the commission may exempt from the Utility

Restructuring Act or any provision(s) thereof, an electric utility which meets the following

requirements: (i) the utility is not selling or distributing electricity outside of the service territory

in effect for that utility on the date of passage of the Utility Restructuring Act; and (ii) the number

of kilowatt hours sold or distributed annually by the utility to the public is less than five percent

(5%) of the total kilowatt hours consumed annually by the state. Provided however that nothing

contained in this section shall prevent the commission from allowing competition in the

generation of electricity in service territories of utilities exempted in whole or in part from the

Utility Restructuring Act pursuant to this section, as long as such allowance of competition is

conditioned upon payment to the exempted electric utility of a nonbypassable transition charge

calculated to recover the elements comparable in nature to the elements in section39-1-27.4(b)

and (c) taking into consideration any unique circumstances applicable to the exempted electric

utility.

     (27) "Wireless service" means communication services provided over spectrum licensed

by or subject to the jurisdiction of the federal communications commission.

 

     SECTION 3. Title 39 of the General Laws entitled "PUBLIC UTILITIES AND

CARRIERS" is hereby amended by adding thereto the following chapter:

 

CHAPTER 29

WIRELESS TELEPHONE REGULATORY MODERNIZATION ACT

 

     39-29-1. Jurisdiction over wireless service. – Notwithstanding any general or public

law to the contrary, the commission and the division shall have no jurisdiction or authority over

wireless service.

 

     39-29-2. Authority unaffected. – Nothing in this chapter shall be construed to modify or

affect the jurisdiction or authority of the commission or the division over exchange access rates or

the rights or obligations of any carrier pursuant to 47 U.S.C. section 251 or 47 U.S.C. section 252.

Nor shall this chapter be construed to modify or affect the authority of the commission to

designate eligible telecommunications carriers pursuant to federal law.

 

     39-29-3. Residential local exchange service. – Nothing in this chapter shall be construed

to modify the jurisdiction or authority of the commission or the division over standalone

residential local exchange service, meaning residential service that only provides access to E911

and voice telephone calling wholly within a local service calling area on a measured or unlimited

service basis.

 

     39-29-4. Consumer protection. – Nothing in this chapter shall derogate from or be

construed as a limitation on the common law or statutory authority of the attorney general to

enforce consumer protection or unfair or deceptive trade practice statutes and regulations.

 

     39-29-5. Unaffected fees. – Nothing in this chapter shall be construed to affect, mandate,

or prohibit the assessment of nondiscriminatory enhanced 911 fees, telecommunications

education access fund fees, or telecommunications relay service fees.

 

     39-29-6. No effect on tax obligations. – Nothing in this chapter shall be construed to

modify or affect any tax obligations imposed by section 44-13-4.

 

     SECTION 4. This act shall take effect upon passage.

     

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LC00946/SUB A

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