AB 1693, as introduced, Perea. Small independent telephone corporations: rates.
Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including telephone corporations. Existing law authorizes the commission to fix the rates and charges for every public utility, and requires that those rates and charges be just and reasonable. Existing law, with certain exceptions, prohibits a public utility from changing any rate, except upon a showing before the commission and a finding by the commission that the new rate is justified. Existing law requires the commission to exercise its regulatory authority to maintain the California High-Cost Fund-A Program to provide universal service rate support to small independent telephone corporations, as defined, in amounts sufficient to meet the revenue requirements established by the commission through rate-of-return regulation in furtherance of the state’s universal service commitment to the continued affordability and widespread availability of safe, reliable, high-quality communications services in rural areas of the state.
This bill would require the commission to issue its final decision on a general rate case of a small independent telephone corporation no later than 330 days following the corporation’s filing of its general rate case application or advice letter initiating the general rate case. If the commission fails to issue a final decision by the 330th day, the bill would provide that the application or advice letter is deemed approved and the rate design proposed by the small independent telephone corporation in its application or advice letter will take effect on the first day of the first month that begins more than 30 days following the expiration of the 330-day period. The bill would provide that its provisions may be waived at any time by mutual consent of the executive director of the commission and the small independent telephone corporation.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 455.4 is added to the Public Utilities
2Code, to read:
(a) For purposes of this section, “small independent
4telephone corporation” has the same meaning as defined in Section
5275.6.
6(b) The commission shall issue its final decision on a general
7rate case of a small independent telephone corporation no later
8than 330 days following the corporation’s filing of its general rate
9case application or advice letter initiating the general rate case.
10(c) Notwithstanding Section 454, if the commission fails to
11issue a final decision as required by subdivision (b), the application
12or advice letter shall be deemed approved and the rate design
13proposed by the small independent telephone corporation in its
14application or advice letter will take effect
on the first day of the
15first month that begins more than 30 days following the expiration
16of the 330-day period in subdivision (b).
17(d) The requirements of subdivisions (b) and (c) may be waived
18at any time by mutual consent of the executive director of the
19commission and the small independent telephone corporation.
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