FINAL BILL REPORT

HB 2546

                                  C 170 L 90

BYRepresentatives Phillips, Hankins, Nelson, May, R. Meyers, Miller, Jacobsen, Brooks, Todd, Anderson, Jesernig and Jones

Renewing the Washington telephone assistance program.

House Committe on Energy & Utilities

Senate Committee on Energy & Utilities

SYNOPSIS AS ENACTED

BACKGROUND:

Telephone costs have increased significantly, in part due to the AT&T divestiture that resulted in some long distance costs being transferred to local costs.  State policy is that every home should be able to have a telephone, but local rates have become unaffordable for some low-income people.  In 1987, the Legislature created an assistance program for low-income persons.  The program provides discounted service connection fees and service deposit waivers.  The Utilities and Transportation Commission establishes a discounted rate for participants.  Participants in the assistance program must subscribe to the least expensive service offered by the local exchange company.  In some cases, this is multi-party service.  The program is funded by a surcharge, set by the commission, of not more than 16 cents per month on each subscriber access line in the state.  Those eligible for the program are persons participating in certain programs administered by the Department of Social and Health Services.  These include Aid to Families with Dependent Children, chore services, food stamps, and supplemental security income.

The program expires June 30, 1990.

SUMMARY:

The telephone assistance program is continued until June 30, 1993 with some changes.  Low-income senior citizens 60 and older and low-income medically needy may obtain single party service under the program when this service is available.  The surcharge imposed to pay for the program is changed to an excise tax and is lowered to 14 cents per month for each access line.  Any adult recipient of department administered programs for the financially needy is eligible to participate in the telephone assistance program. The commission shall apply for any federal funds that may be available to pay for a portion of the program.  The Department of Social and Health Services shall submit a report on the program to the House and Senate committees on Energy & Utilities in December of each year.

VOTES ON FINAL PASSAGE:

      House 97   0

      Senate    45     2 (Senate amended)

      House 94   0 (House concurred)

EFFECTIVE:June 7, 1990