6675-S AMS FINK MCNA 001

SSB 6675 - S AMD - 089

    By Senators Finkbeiner and Rossi

                                               NOT ADOPTED 2/11/00

    On page 3, after line 6, insert the following:

    "(4) A public utility district may not subsidize the construction, acquisition, or provision of wholesale telecommunications services with revenues from its other utility operations, with tax revenues, or with proceeds from bonds or other debts incurred for its other utility operations unless and until it has first received approval of a resolution submitted to the voters of the district authorizing such subsidization.  Any resolution submitted to a district's voters to authorize subsidization of wholesale telecommunications services must include notice that wholesale telecommunications services are competitive ventures not subject to a guaranteed rate of return and that district ratepayers may be required to satisfy any financial obligations incurred by the district if not recovered through such wholesale telecommunications operations."

    On page 5, after line 25, insert the following:

    "(4) A rural port district may not subsidize the construction, acquisition, or provision of wholesale telecommunications services with revenues from its other operations, with tax revenues, or with proceeds from bonds or other debts incurred for its other operations unless and until it has first received approval of a resolution submitted to the voters of the district authorizing such subsidization.  Any resolution submitted to a district's voters to authorize subsidization of wholesale telecommunications services must include notice that wholesale telecommunications services are competitive ventures not subject to a guaranteed rate of return and that district ratepayers may be required to satisfy any financial obligations incurred by the district if not recovered through such wholesale telecommunications operations."

    Renumber the subsections consecutively and correct any internal references accordingly.

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EFFECT: Requires a vote of a district's ratepayers before a district may finance wholesale telecommunications operations with revenues or assets from its other utility operations.  A notice of the risks involved must accompany the resolution submitted to the voters.