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S‑0555.2 _____________________________________________

SENATE BILL 5410

_____________________________________________

State of Washington 57th Legislature 2001 Regular Session

By Senators Stevens, Hochstatter, Fairley, Finkbeiner, McAuliffe, Rossi, Johnson and Rasmussen

Read first time 01/22/2001. Referred to Committee on Economic Development & Telecommunications.

_1 AN ACT Relating to telecommunications services provided by

_2 public utility and rural port districts; and amending RCW

_3 54.16.330 and 53.08.370.

_4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

_5 Sec. 1. RCW 54.16.330 and 2000 c 81 s 3 are each amended to read

_6 as follows:

_7 (1) A public utility district in existence on June 8, 2000, may

_8 construct, purchase, acquire, develop, finance, lease, license,

_9 handle, provide, add to, contract for, interconnect, alter,

10 improve, repair, operate, and maintain any telecommunications

11 facilities within or without the district's limits for the

12 following purposes:

13 (a) For the district's internal telecommunications needs; and

14 (b) For the provision of wholesale telecommunications services

15 within the district and by contract with another public utility

16 district.

17 ((~~Nothing in this subsection shall be construed to authorize~~

18 ~~public utility districts to provide telecommunications services to~~

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_1 ~~end users.~~))

_2 (2) Public utility districts are not authorized to provide

_3 telecommunications services or facilities to end users. Contracts

_4 with government agencies under chapter 39.34 RCW or otherwise for

_5 the provision of telecommunications services or facilities by

_6 public utility districts, in existence before the effective date

_7 of this act, shall terminate within twenty-four months thereof or

_8 as soon as an authorized telecommunications or internet provider

_9 can provide services.

10 (3) A public utility district providing wholesale

11 telecommunications services shall ensure that rates, terms, and

12 conditions for such services are not unduly or unreasonably

13 discriminatory or preferential. Rates, terms, and conditions are

14 discriminatory or preferential when a public utility district

15 offering rates, terms, and conditions to an entity for wholesale

16 telecommunications services does not offer substantially similar

17 rates, terms, and conditions to all other entities seeking

18 substantially similar services.

19 ((~~(3) When a public utility district establishes a separate~~

20 ~~utility function for the provision of wholesale telecommunications~~

21 ~~services, it~~)) (4) A public utility district providing wholesale

22 telecommunications services under subsection (1) of this section

23 shall establish a separate utility function for wholesale

24 telecommunications services.

25 (5) A public utility district providing wholesale

26 telecommunications services shall account for any and all revenues

27 and expenditures related to its wholesale telecommunications

28 facilities and services separately from revenues and expenditures

29 related to its internal telecommunications operations. Any revenues

30 received from the provision of wholesale telecommunications

31 services must be dedicated to the utility function that includes

32 the provision of wholesale telecommunications services for costs

33 incurred to build and maintain the telecommunications facilities

34 until such time as any bonds or other financing instruments

35 executed after June 8, 2000, and used to finance the

36 telecommunications facilities are discharged or retired.

37 ((~~(4)~~)) (6) When a public utility district establishes a

38 separate utility function for the provision of wholesale

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_1 telecommunications services, all telecommunications services

_2 rendered by the separate function to the district for the

_3 district's internal telecommunications needs shall be charged at

_4 its true and full value. A public utility district may not charge

_5 its nontelecommunications operations rates that are preferential

_6 or discriminatory compared to those it charges entities purchasing

_7 wholesale telecommunications services.

_8 ((~~(5)~~)) (7) A public utility district shall not exercise powers

_9 of eminent domain to acquire telecommunications facilities or

10 contractual rights held by any other person or entity to

11 telecommunications facilities.

12 ((~~(6)~~)) (8) Except as otherwise specifically provided, a public

13 utility district may exercise any of the powers granted to it

14 under this title and other applicable laws in carrying out the

15 powers authorized under this section. Nothing in chapter 81, Laws

16 of 2000 limits any existing authority of a public utility district

17 under this title.

18 Sec. 2. RCW 53.08.370 and 2000 c 81 s 7 are each amended to read

19 as follows:

20 (1) A rural port district in existence on June 8, 2000, may

21 construct, purchase, acquire, develop, finance, lease, license,

22 handle, provide, add to, contract for, interconnect, alter,

23 improve, repair, operate, and maintain any telecommunications

24 facilities within or without the district's limits for the

25 following purposes:

26 (a) For the district's own use; and

27 (b) For the provision of wholesale telecommunications services

28 within the district's limits. ((~~Nothing in this subsection shall be~~

29 ~~construed to authorize rural port districts to provide~~

30 ~~telecommunications services to end users.~~))

31 (2) Rural port districts are not authorized to provide

32 telecommunications services or facilities to end users. Contracts

33 with government agencies under chapter 39.34 RCW or otherwise for

34 the provision of telecommunications services or facilities by

35 rural port districts, in existence before the effective date of

36 this act, shall terminate within twenty-four months thereof or as

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_1 soon as an authorized telecommunications or internet provider can

_2 provide services.

_3 (3) A rural port district providing wholesale

_4 telecommunications services under this section shall ensure that

_5 rates, terms, and conditions for such services are not unduly or

_6 unreasonably discriminatory or preferential. Rates, terms, and

_7 conditions are discriminatory or preferential when a rural port

_8 district offering such rates, terms, and conditions to an entity

_9 for wholesale telecommunications services does not offer

10 substantially similar rates, terms, and conditions to all other

11 entities seeking substantially similar services.

12 ((~~(3) When a rural port district establishes a separate utility~~

13 ~~function for the provision of wholesale telecommunications~~

14 ~~services, it~~)) (4) A rural port district providing wholesale

15 telecommunications services under subsection (1) of this section

16 shall establish a separate utility function for wholesale

17 telecommunications services.

18 (5) A rural port district providing wholesale

19 telecommunications services shall account for any and all revenues

20 and expenditures related to its wholesale telecommunications

21 facilities and services separately from revenues and expenditures

22 related to its internal telecommunications operations. Any revenues

23 received from the provision of wholesale telecommunications

24 services must be dedicated to the utility function that includes

25 the provision of wholesale telecommunications services for costs

26 incurred to build and maintain the telecommunications facilities

27 until such time as any bonds or other financing instruments

28 executed after June 8, 2000, and used to finance the

29 telecommunications facilities are discharged or retired.

30 ((~~(4)~~)) (6) When a rural port district establishes a separate

31 utility function for the provision of wholesale telecommunications

32 services, all telecommunications services rendered by the separate

33 function to the district for the district's internal

34 telecommunications needs shall be charged at its true and full

35 value. A rural port district may not charge its

36 nontelecommunications operations rates that are preferential or

37 discriminatory compared to those it charges entities purchasing

38 wholesale telecommunications services.

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_1 ((~~(5)~~)) (7) A rural port district shall not exercise powers of

_2 eminent domain to acquire telecommunications facilities or

_3 contractual rights held by any other person or entity to

_4 telecommunications facilities.

_5 ((~~(6)~~)) (8) Except as otherwise specifically provided, a rural

_6 port district may exercise any of the powers granted to it under

_7 this title and other applicable laws in carrying out the powers

_8 authorized under this section. Nothing in chapter 81, Laws of 2000

_9 limits any existing authority of a rural port district under this

10 title.

‑‑‑ END ‑‑‑

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