SB469, s. 9 10Section 9. 196.13 (2) of the statutes is amended to read:
SB469,9,1511 196.13 (2) The commission shall publish in its reports the value of all the
12property actually used and useful for the convenience of the public of a public utility,
13other than a telecommunications utility,
if the commission has held a hearing on the
14public utility's rates, charges, service or regulations or if the commission has
15otherwise determined the value of the public utility's property.
SB469, s. 10 16Section 10. 196.19 (1m) of the statutes is repealed.
SB469, s. 11 17Section 11. 196.19 (5) of the statutes is repealed.
SB469, s. 12 18Section 12. 196.191 of the statutes is created to read:
SB469,9,20 19196.191 Telecommunications access charges. (1) Definitions. In this
20section:
SB469,9,2221 (a) "Access charges" means dedicated access charges and switched access
22charges.
SB469,9,2523 (b) "Access service" means the provision of switched or dedicated access to a
24local exchange network for the purpose of enabling a telecommunications provider
25to originate or terminate telecommunications service within the local exchange.
SB469,10,4
1(c) "Dedicated access" means the provision of wholesale intrastate access
2service, other than switched access service, to a local exchange network for the
3purpose of enabling a telecommunications provider to originate or terminate
4telecommunications service within the local exchange.
SB469,10,75 (d) "Dedicated access charges" means the rates and rate elements that a local
6exchange carrier charges a telecommunications provider for the provision of
7dedicated access.
SB469,10,98 (e) "Incumbent local exchange carrier" has the meaning given in 47 USC 251
9(h) (1).
SB469,10,1210 (f) "Lost revenues" means the amount of the reduction of an incumbent local
11exchange carrier's revenues that results directly from the incumbent local exchange
12carrier's compliance with sub. (2) as calculated under sub. (3) (c).
SB469,10,1513 (g) "Switched access" means the provision of switched access to a local exchange
14network for the purpose of enabling a telecommunications provider to originate or
15terminate telecommunications service within the local exchange.
SB469,10,1816 (h) "Switched access charges" means the rates and rate elements that a local
17exchange carrier charges a telecommunications provider for the provision of
18switched access, including any carrier common line charges or substitute charges.
SB469,10,25 19(2) Incumbent local exchange carriers. No incumbent local exchange carrier
20may increase its intrastate access charges so that the charges exceed the incumbent
21local exchange carrier's interstate access charges allowed under federal law. No later
22than 6 months after the effective date of this subsection .... [LRB inserts date], an
23incumbent local exchange carrier shall make any reductions in its intrastate access
24charges that are necessary to ensure that the charges do not exceed the incumbent
25local exchange carrier's interstate access charges allowed under federal law.
SB469,11,3
1(3) Recovery of lost revenues. (a) Amounts recoverable from universal service
2fund.
1. An incumbent local exchange carrier shall recover lost revenues from the
3universal service fund in the following amounts:
SB469,11,54 a. During the first year following a reduction under sub. (2), the incumbent
5local exchange carrier shall recover 95 percent of its lost revenues in each month.
SB469,11,76 b. During the 2nd year following a reduction under sub. (2), the incumbent local
7exchange carrier shall recover 85 percent of its lost revenues in each month.
SB469,11,108 c. Except as provided in subd. 2., during the 3rd year following a reduction
9under sub. (2), and during each year thereafter, the incumbent local exchange carrier
10shall recover 75 percent of its lost revenues in each month.
SB469,11,1711 2. a. In this subdivision, "broadband service" means a service that provides
12access to the Internet that is capable of transmitting data packets or Internet signals
13at upstream or downstream average minimum speeds of 200 kilobits per second,
14except that the commission may promulgate rules specifying greater upstream or
15downstream average minimum speeds if such speeds are consistent with any
16definition of broadband service established by the federal communications
17commission.
SB469,11,2218 b. If an incumbent local exchange carrier fails to provide access to broadband
19service to at least 85 percent of its customers in any month during the 6th year
20following a reduction under sub. (2), or during any year thereafter, the incumbent
21local exchange carrier shall recover from the universal service fund 50 percent of its
22lost revenues in that month.
SB469,12,223 (b) Amounts not recoverable from universal service fund. Beginning 6 months
24after the effective date of this paragraph .... [LRB inserts date], an incumbent local
25exchange carrier may, by increasing its monthly rates for any service other than

1access service, recover lost revenues not recovered from the universal service fund
2under par. (a).
SB469,12,153 (c) Calculation; notification. No later than 60 days after the effective date of
4this paragraph .... [LRB inserts date], each incumbent local exchange carrier shall
5notify the commission in writing, with supporting documentation, of the amount of
6the reduction in annual intrastate access revenues that results from the reduction
7required under sub. (2). The reduction in switched access revenues shall be
8calculated for each incumbent local exchange carrier as the difference between
9intrastate and interstate switched access charges in effect on October 1, 2009,
10multiplied by the intrastate switched access minutes of use and other switched
11access demand quantities for the 2008 calendar year. The reduction in dedicated
12access revenues shall be calculated for each incumbent local exchange carrier as the
13difference between the dedicated access charges in effect on October 1, 2009, and the
14dedicated access charges after any reduction required under sub. (2), multiplied by
15demand quantities for the 2008 calendar year.
SB469,12,1916 (d) Commission duties; disbursements. 1. No later than 60 days after an
17incumbent local exchange carrier makes the notification required under par. (c), the
18commission shall calculate the size of the monthly disbursement from the universal
19service fund for each incumbent local exchange carrier.
SB469,12,2520 2. If an incumbent local exchange carrier is in compliance with this section, the
21commission shall begin monthly disbursements from the universal service fund to
22the incumbent local exchange carrier within 270 days after the effective date of this
23subdivision .... [LRB inserts date]. In any month, the commission may not make a
24disbursement to an incumbent local exchange carrier that exceeds an amount
25reasonably approximating the carrier's lost revenues for that month.
SB469,13,2
13. The commission shall establish procedures for administering disbursements
2from the universal service fund required under this paragraph.
SB469,13,5 3(4) Other telecommunications providers. (a) In this subsection,
4"telecommunications provider" does not include an incumbent local exchange
5carrier.
SB469,13,126 (b) A telecommunications provider's intrastate access charges for a local
7exchange may not exceed the intrastate access charges of the incumbent local
8exchange carrier that provides telecommunications service in the local exchange,
9except that if a telecommunications provider is required to make reductions under
10par. (c), this paragraph first applies to such a telecommunications provider on the
11first day of the 60th month beginning after the effective date of this paragraph ....
12[LRB inserts date].
SB469,13,1813 (c) On the effective date of this paragraph .... [LRB inserts date], if a
14telecommunications provider's intrastate access charges for a local exchange exceed
15the intrastate access charges in effect on October 1, 2009, of the incumbent local
16exchange carrier that provides telecommunications service in the local exchange, the
17telecommunications provider shall determine the difference between the charges
18and reduce its intrastate access charges according to the following schedule:
SB469,13,2119 1. No later than 2 months after the effective date of this subdivision .... [LRB
20inserts date], the telecommunications provider shall reduce its charges by 20 percent
21of the difference.
SB469,13,2422 2. No later than 24 months after the effective date of this subdivision .... [LRB
23inserts date], the telecommunications provider shall reduce its charges by 40 percent
24of the difference.
SB469,14,3
13. No later than 36 months after the effective date of this subdivision .... [LRB
2inserts date], the telecommunications provider shall reduce its charges by 60 percent
3of the difference.
SB469,14,64 4. No later than 48 months after the effective date of this subdivision .... [LRB
5inserts date], the telecommunications provider shall reduce its charges by 80 percent
6of the difference.
SB469,14,97 5. No later than 60 months after the effective date of this subdivision .... [LRB
8inserts date], the telecommunications provider shall reduce its charges by 100
9percent of the difference.
SB469, s. 13 10Section 13. 196.194 (1) of the statutes is amended to read:
SB469,15,811 196.194 (1) Telecommunications utilities. Except as provided in this
12subsection, nothing
Nothing in this chapter prohibits the commission from
13approving the filing of a tariff which permits a telecommunications utility to enter
14into an individual contract with an individual customer if substitute
15telecommunications services are available to customers or potential customers of the
16telecommunications utility and the absence of such a tariff will cause the
17telecommunications utility to be disadvantaged in competing for business. A tariff
18filed under this subsection shall include the condition that any such contract shall
19be compensatory as determined under s. 196.204 (5) and (6). The tariff shall include
20any other condition and procedure required by the commission in the public interest.
21Within 20 days after a contract authorized under this subsection or an amendment
22to such a contract has been executed, the telecommunications utility shall submit to
23the commission written notice of the general nature of the contract and the parties
24to the contract. Upon request, the commission shall inform a person, or direct that
25the person be informed, that notice has been received by the commission of execution

1of a contract under this subsection. Within 6 months after receiving substantial
2evidence that a contract may be noncompensatory, or upon its own motion, the
3commission shall investigate and determine whether the contract is compensatory.
4If the commission determines that the contract is noncompensatory, the commission
5may make appropriate adjustments in the rates or tariffs of the telecommunications
6utility that has entered into the contract, in addition to other remedies under this
7chapter. The dollar amount of the adjustment may not be less than the amount by
8which the contract was found to be noncompensatory.
SB469, s. 14 9Section 14. 196.195 (1) of the statutes is amended to read:
SB469,15,1210 196.195 (1) Regulation imposed. Except as provided in this section and ss.
11196.202, 196.203, 196.215 and, 196.219, and 196.50 (2) (i), a telecommunications
12utility is subject to every applicable provision of this chapter and ch. 201.
SB469, s. 15 13Section 15. 196.195 (5) of the statutes is amended to read:
SB469,15,2314 196.195 (5) Commission action. If after the proceedings under subs. (2), (3) and
15(4) the commission has determined that effective competition exists in the market
16for the telecommunications service which justifies a lesser degree of regulation and
17that lesser regulation in that market will serve the public interest, the commission
18may, by order, suspend tariffing requirements under s. 196.194 (1) or any of the
19following
provisions of law ch. 201, except as provided under subs. (7) and (8): ch.
20201 and s. 196.02 (2); s. 196.05; s. 196.06; s. 196.07; s. 196.09; s. 196.10; s. 196.12; s.
21196.13 (2); s. 196.19; tariffing requirements under s. 196.194; s. 196.196 (1) or (5); s.
22196.20; s. 196.21; s. 196.22;
s. 196.26; s. 196.28; s. 196.37; s. 196.49; s. 196.52; s.
23196.58; s. 196.60;
s. 196.604; s. 196.77; s. 196.78; s. 196.79; and s. 196.805.
SB469, s. 16 24Section 16. 196.195 (12) (a) of the statutes is amended to read:
SB469,16,6
1196.195 (12) (a) To provide incentives for telecommunications utilities to
2achieve any of the goals listed in par. (b) 1. a., the commission may suspend any of
3the provisions listed in sub. (5) except ss. 196.19, 196.20 (1m), 196.22, 196.26, 196.37,
4196.60 and 196.604
of ch. 201 or may approve a regulatory method alternative to
5traditional rate-of-return regulation that does not require suspension of any
6provisions listed in sub. (5).
SB469, s. 17 7Section 17. 196.195 (12) (b) 3. of the statutes is amended to read:
SB469,16,158 196.195 (12) (b) 3. The commission shall regulate telecommunications utilities
9with the goal of developing alternative forms of regulation. The commission shall,
10by order, develop and approve an incentive regulatory plan for each
11telecommunications utility to implement this subdivision. The commission may not
12increase regulation of a small telecommunications utility in implementing this
13subdivision. For telecommunications utilities with more than 150,000 access lines
14in use in this state, s. 196.196 (2) applies to access service rates in any regulatory plan
15approved under this subdivision.
SB469, s. 18 16Section 18. 196.196 of the statutes is repealed.
SB469, s. 19 17Section 19. 196.198 (2) (a) of the statutes is renumbered 196.198 (2) and
18amended to read:
SB469,16,2419 196.198 (2) Except as provided in sub. (3), a telecommunications utility that
20has more than 150,000 access lines in use in this state or a telecommunications
21provider that has more than 150,000 access lines in use in this state may not charge
22a residential customer for basic local exchange service based on the duration of a call
23or on the time of day that a call is made. This paragraph subsection does not apply
24to an extended community telephone service.
SB469, s. 20 25Section 20. 196.198 (2) (b) of the statutes is repealed.
SB469, s. 21
1Section 21. 196.198 (3) (intro.) of the statutes is amended to read:
SB469,17,52 196.198 (3) (intro.) The commission may suspend the application of sub. (2) (a)
3in a particular geographical area for a telecommunications utility or a
4telecommunications provider if, after a contested case hearing, the commission
5determines that all of the following apply:
SB469, s. 22 6Section 22. 196.198 (3) (a) of the statutes is amended to read:
SB469,17,87 196.198 (3) (a) Failure to suspend the application of sub. (2) (a) makes
8competition in that geographical area impractical.
SB469, s. 23 9Section 23. 196.198 (3) (b) (intro.) of the statutes is amended to read:
SB469,17,1110 196.198 (3) (b) (intro.) Suspending the application of sub. (2) (a) is beneficial
11to all of the following groups:
SB469, s. 24 12Section 24. 196.20 (1) of the statutes is amended to read:
SB469,17,2113 196.20 (1) The rate schedules of any public utility shall include all rules
14applicable to the rendition or discontinuance of the service to which the rates
15specified in the schedules are applicable. No change may be made by any public
16utility in its schedules except by filing the change as proposed with the commission.
17Except for a telecommunications utility, no No change in any public utility rule which
18purports to curtail the obligation or undertaking of service of the public utility shall
19be effective without the written approval of the commission after hearing, except
20that the commission, by emergency order, may make the rule, as filed, effective from
21the date of the order, pending final approval of the rule after hearing.
SB469, s. 25 22Section 25. 196.20 (1m) of the statutes is repealed.
SB469, s. 26 23Section 26. 196.20 (2) (a) (intro.) of the statutes is amended to read:
SB469,18,224 196.20 (2) (a) (intro.) Except for a telecommunications utility, a A proposed
25change which constitutes a decrease in rates shall be effective at the time specified

1in the change as filed but not earlier than 10 days after the date of filing the change
2with the commission, unless any of the following occurs:
SB469, s. 27 3Section 27. 196.20 (2) (am) of the statutes is repealed.
SB469, s. 28 4Section 28. 196.20 (2m) of the statutes is amended to read:
SB469,18,115 196.20 (2m) Except as provided under sub. (5) and ss. 196.193, and 196.195
6(12) and 196.196, no change in schedules which constitutes an increase in rates to
7consumers may be made except by order of the commission, after an investigation
8and opportunity for hearing. The commission may waive a hearing under this
9subsection for a proposed change in a telecommunications utility schedule. By rule
10or order, the commission shall specify the notice and procedural requirements
11applicable to a telecommunications utility proposal for which a hearing is waived.
SB469, s. 29 12Section 29. 196.20 (2r) of the statutes is repealed.
SB469, s. 30 13Section 30. 196.20 (3) of the statutes is repealed.
SB469, s. 31 14Section 31. 196.20 (5) of the statutes is repealed.
SB469, s. 32 15Section 32. 196.20 (6) of the statutes is repealed.
SB469, s. 33 16Section 33. 196.203 (1) of the statutes, as affected by 2009 Wisconsin Act 28,
17is renumbered 196.203 (1g) and amended to read:
SB469,18,2318 196.203 (1g) Alternative telecommunications utilities are exempt from all
19provisions of ch. 201 and this chapter, except as provided in this section, and except
20that an alternative telecommunications utility is subject to s. 196.025 (6), and except
21that an alternative telecommunications utility that is a local government
22telecommunications utility, as defined in s. 196.204 (5) (ag) 1., is subject to s. 196.204
23(5).
SB469, s. 34 24Section 34. 196.203 (1d) of the statutes is created to read:
SB469,19,2
1196.203 (1d) In this section, "local government telecommunications utility"
2has the meaning given in s. 196.204 (1m) (a).
SB469, s. 35 3Section 35. 196.203 (2) of the statutes is renumbered 196.203 (2) (a) and
4amended to read:
SB469,19,95 196.203 (2) (a) No person may commence providing service as an alternative
6telecommunications utility unless the person petitions for and the commission issues
7a determination certification that the person is an alternative telecommunications
8utility or unless the person is a telecommunications utility for which the commission
9issues an order under s. 196.50 (2) (j) 1
.
SB469,19,13 10(6) The commission shall maintain information on authorized certified
11alternative telecommunications utilities and on applicants for alternative
12telecommunications utility status certification and make that information available
13to any person, upon request.
SB469, s. 36 14Section 36. 196.203 (2) (b) of the statutes is created to read:
SB469,19,2215 196.203 (2) (b) Except for an alternative telecommunications utility that is a
16local government telecommunications utility, certification as an alternative
17telecommunications utility shall be on a statewide basis and any certification issued
18by the commission before the effective date of this paragraph .... [LRB inserts date],
19to an alternative telecommunications utility that is not a local government
20telecommunications utility is considered amended to be a statewide certification.
21This paragraph does not alter any conditions of a certification issued before the
22effective date of this paragraph .... [LRB inserts date], except for geographic scope.
SB469, s. 37 23Section 37. 196.203 (2) (c) of the statutes is created to read:
SB469,20,324 196.203 (2) (c) The commission may deny a petition for certification as an
25alternative telecommunications utility described in s. 196.01 (1d) (f) if the

1commission finds that the petitioner does not have the financial, managerial, or
2technical capabilities to provide its proposed services or to comply with conditions
3that the commission is authorized to impose under sub. (3).
SB469, s. 38 4Section 38. 196.203 (3) (a) of the statutes is renumbered 196.203 (3) and
5amended to read:
SB469,20,176 196.203 (3) In response to a petition from any interested person, or upon its
7own motion, the commission shall determine whether the public interest requires
8that any provision of ch. 201 or a provision of this chapter specified in sub. (4m) be
9imposed on a person providing or proposing to provide service as an alternative
10telecommunications utility in a relevant market. In making this determination, the
11commission may consider factors including the quality of service, customer
12complaints, concerns about the effect on customers of local exchange
13telecommunications utilities and the extent to which similar services are available
14from alternative sources. If the commission imposes a provision on an alternative
15telecommunications utility under this subsection, the commission shall impose the
16same provision at the same level of regulation on all telecommunications utilities
17certified under s. 196.50 (2) and all other alternative telecommunications utilities.
SB469, s. 39 18Section 39. 196.203 (3) (b) of the statutes is repealed.
SB469, s. 40 19Section 40. 196.203 (3) (c) of the statutes is repealed.
SB469, s. 41 20Section 41. 196.203 (3) (d) of the statutes is repealed.
SB469, s. 42 21Section 42. 196.203 (3) (dm) of the statutes is repealed.
SB469, s. 43 22Section 43. 196.203 (3) (e) of the statutes is repealed.
SB469, s. 44 23Section 44. 196.203 (4) of the statutes is repealed.
SB469, s. 45 24Section 45. 196.203 (4m) of the statutes is created to read:
SB469,21,5
1196.203 (4m) The commission may impose s. 196.01, 196.02 (1), (4), or (5),
2196.04, 196.135, 196.14, 196.197, 196.199, 196.207, 196.208, 196.209, 196.218,
3196.219 (1), (2) (b), (c), or (d), (3) (a), (c), (d), (e), (h), (j), (m), (n), or (o), or (3m), 196.25,
4196.26, 196.39, 196.395, 196.40, 196.41, 196.43, 196.44, 196.65, 196.66, 196.81,
5196.85, or 196.858 on an alternative telecommunications utility.
SB469, s. 46 6Section 46. 196.203 (5) of the statutes is amended to read:
SB469,21,97 196.203 (5) The commission may establish a reasonable fee schedule and may
8assess an alternative telecommunications utility to cover the cost of making a
9certification or other determination under this section.
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