SENATE BILL REPORT

                                   SHB 2465

       AS REPORTED BY COMMITTEE ON ENERGY & UTILITIES, FEBRUARY 25, 1992

Brief Description:  Regulating public service company tariff charge reduction or waiver.

SPONSORS: House Committee on Energy & Utilities (originally sponsored by Representatives Grant, May, H. Myers, Miller, Paris, Forner and Casada)

HOUSE COMMITTEE ON ENERGY & UTILITIES

SENATE COMMITTEE ON ENERGY & UTILITIES

Majority Report:  Do pass. 

      Signed by Senators Thorsness, Chairman; Saling, Vice Chairman; Jesernig, Nelson, Patterson, Roach, Stratton, Sutherland, and Williams.

Staff:  Phil Moeller (786‑7445)

Hearing Dates: February 21, 1992; February 25, 1992

BACKGROUND:

Telecommunications utilities regulated by the Utilities and Transportation Commission (UTC) are required to file with the UTC the rates, charges or tolls that are charged to customers.  Generally these charges are subject to some form of approval by the UTC.

Telecommunications utilities are limited in providing free or reduced price services.  There is concern that these limitations should be defined more precisely to allow telecommunications utilities the ability to promote a service with free or reduced rates.

SUMMARY:

For certain telecommunications services, a utility tariff that temporarily reduces or waives existing charges shall be considered a tariff that decreases a rate, charge, rental, or toll.  If the utility files with the Utilities and Transportation Commission (UTC) necessary documentation, the UTC may not suspend such a tariff.  The services affected by such a tariff include custom calling service, second access lines, and other services the UTC specifies by rule; the UTC may suspend any promotional tariff other than these.  The service time for a reduced tariff is limited to no more than 60 days.

Appropriation:  none

Revenue:  none

Fiscal Note:  none requested

TESTIMONY FOR:

This measure allows a telecommunications utility the option of marketing certain services using standard promotional methods.  Safeguards remain as necessary cost documentation must still be filed with the UTC by the utility.

TESTIMONY AGAINST:

Despite rapid advances in telecommunications services, a local telecommunications utility still controls necessary access to the network.  This bill gives too much control to the UTC in allowing promotions of unspecified services.

TESTIFIED:  Mike Woodin, ATT; Rowland Thompson, Allied Dailies of Washington (con); Bruck Frickelton, Washington Cable TV Association (con); Bill Garvin, MCI (con); Becky Bogard, Washington State Association of Broadcasters (con); Ian MacGowan, Electric Lightwave (con); Dale Vincent, US West (pro)