SENATE BILL REPORT

ESB 5097

BYSenator Williams

Modifying provisions relating to utility regulation.

Senate Committee on Energy & Utilities

Senate Hearing Date(s):January 15, 1987; January 16, 1987; January 22, 1987

Majority Report:  Do pass.

      Signed by Senators Williams, Chairman; Owen, Vice Chairman; Benitz, Cantu, Nelson, Smitherman, Stratton.

Senate Staff:Paul Parker (786-7455)

                  April 10, 1987

House Committe on Energy & Utilities

AS PASSED SENATE, MARCH 16, 1987

BACKGROUND:

Three chapters of the Laws of 1985 amended RCW 80.04.010, definitions relating to the Utilities and Transportation Commission.  Three chapters of the Laws of 1985 also amended RCW 80.04.130, relating to utility tariffs for water and telecommunications service.

SUMMARY:

In each section, RCW 80.04.010 and RCW 80.04.130, the amendments are reenacted and merged.  New definitions are added and a program is established to maintain service for low-income households that currently have phone service and make telephone service available to those that do not presently have service.

This lifeline assistance program is made available to participants in already existing aid programs:  aid to families with dependent children, chore service, food stamps, supplemental security income, refugee assistance, and community options program entry system (COPES).  The program will be administered by the Department of Social and Health Services (DSHS).  The department shall notify the clients of the listed programs of their eligibility.  The benefits include a 50 percent discount on connection charges for those who do not have telephone service, a waiver of deposits, and a lifeline service rate established by the Utilities and Transportation Commission.  The lifeline service rate will apply to eligible customers whose lowest available rate is greater than the lifeline rate.

The program is funded through a surcharge tax not to exceed 16 cents per month on the access lines of local ratepayers.  The expected surcharge will average about 9 cents.  A lifeline fund is created for use by DSHS in administering the program.  The Legislature will review the program by December 15, 1989.  The act expires December 31, 1989.

Fiscal Note:      none requested

Senate Committee - Testified: No one

HOUSE AMENDMENT:

The act relating to lifeline expires June 30, 1990. In addition, the lifeline program provides that the surcharge not be subject to the utility tax.  The telephone solicitation law is changed.  The civil cause of action is now conditioned on repeated rather than a single violation of the solicitation law.