Telecommunications Services -

                                CHAPTER 30                      ALTERNATIVE FORM OF REGULATION                      OF TELECOMMUNICATIONS SERVICES     Sec.     3001.  Declaration of policy (Repealed).     3002.  Definitions (Repealed).     3003.  Local exchange telecommunications company request for            alternative regulation and network modernization            implementation plan (Repealed).     3004.  Commission review and approval of petition and plan            (Repealed).     3005.  Competitive services (Repealed).     3006.  Streamlined form of rate regulation (Repealed).     3007.  Determination of access charges (Repealed).     3008.  Interexchange telecommunications carrier (Repealed).     3009.  Additional powers and duties (Repealed).     3010.  (Reserved).     3011.  Declaration of policy.     3012.  Definitions.     3013.  Continuation of commission-approved alternative            regulation and network modernization plans.     3014.  Network modernization plans.     3015.  Alternative forms of regulation.     3016.  Competitive services.     3017.  Access charges.     3018.  Interexchange telecommunications carriers.     3019.  Additional powers and duties.        Enactment.  Chapter 30 was added July 8, 1993, P.L.456,     No.67, effective immediately.        Expiration.  Section 4 of Act 67 of 1993 provided that     Chapter 30 shall expire on December 31, 2003, unless sooner     reenacted by the General Assembly.     § 3001.  Declaration of policy (Repealed).        2004 Repeal Note.  Section 3001 was repealed November 30,     2004, P.L.1398, No.183, effective immediately.     § 3002.  Definitions (Repealed).        2004 Repeal Note.  Section 3002 was repealed November 30,     2004, P.L.1398, No.183, effective immediately.     § 3003.  Local exchange telecommunications company request for                alternative regulation and network modernization                implementation plan (Repealed).        2004 Repeal Note.  Section 3003 was repealed November 30,     2004, P.L.1398, No.183, effective immediately.     § 3004.  Commission review and approval of petition and plan                (Repealed).        2004 Repeal Note.  Section 3004 was repealed November 30,     2004, P.L.1398, No.183, effective immediately.     § 3005.  Competitive services (Repealed).        2004 Repeal Note.  Section 3005 was repealed November 30,     2004, P.L.1398, No.183, effective immediately.     § 3006.  Streamlined form of rate regulation (Repealed).        2004 Repeal Note.  Section 3006 was repealed November 30,     2004, P.L.1398, No.183, effective immediately.     § 3007.  Determination of access charges (Repealed).        2004 Repeal Note.  Section 3007 was repealed November 30,     2004, P.L.1398, No.183, effective immediately.     § 3008.  Interexchange telecommunications carrier (Repealed).        2004 Repeal Note.  Section 3008 was repealed November 30,     2004, P.L.1398, No.183, effective immediately.     § 3009.  Additional powers and duties (Repealed).        2004 Repeal Note.  Section 3009 was repealed November 30,     2004, P.L.1398, No.183, effective immediately.     § 3010.  (Reserved).        2004 Amendment.  Section 3010 (Reserved) was added November     30, 2004, P.L.1398, No.183, effective immediately.     § 3011.  Declaration of policy.        The General Assembly finds and declares that it is the policy     of this Commonwealth to:            (1)  Strike a balance between mandated deployment and        market-driven deployment of broadband facilities and advanced        services throughout this Commonwealth and to continue        alternative regulation of local exchange telecommunications        companies.            (2)  Maintain universal telecommunications service at        affordable rates while encouraging the accelerated provision        of advanced services and deployment of a universally        available, state-of-the-art, interactive broadband        telecommunications network in rural, suburban and urban        areas, including deployment of broadband facilities in or        adjacent to public rights-of-way abutting public schools,        including the administrative offices supporting public        schools, industrial parks and health care facilities.            (3)  Ensure that customers pay only reasonable charges        for protected services which shall be available on a        nondiscriminatory basis.            (4)  Ensure that rates for protected services do not        subsidize the competitive ventures of telecommunications        carriers.            (5)  Provide diversity in the supply of existing and        future telecommunications services and products in        telecommunications markets throughout this Commonwealth by        ensuring that rates, terms and conditions for protected        services are reasonable and do not impede the development of        competition.            (6)  Ensure the efficient delivery of technological        advances and new services throughout this Commonwealth in        order to improve the quality of life for all Commonwealth        residents.            (7)  Encourage the provision of telecommunications        products and services that enhance the quality of life of        people with disabilities.            (8)  Promote and encourage the provision of competitive        services by a variety of service providers on equal terms        throughout all geographic areas of this Commonwealth without        jeopardizing the provision of universal telecommunications        service at affordable rates.            (9)  Encourage the competitive supply of any service in        any region where there is market demand.            (10)  Encourage joint ventures between local exchange        telecommunications companies and other entities where such        joint ventures accelerate, improve or otherwise assist a        local exchange telecommunications company in implementing its        network modernization plan.            (11)  Establish a bona fide retail request program to        aggregate and make advanced services available in areas where        sufficient market demand exists and to supplement existing        network modernization plans.            (12)  Promote and encourage the provision of advanced        services and broadband deployment in the service territories        of local exchange telecommunications companies without        jeopardizing the provision of universal service.            (13)  Recognize that the regulatory obligations imposed        upon the incumbent local exchange telecommunications        companies should be reduced to levels more consistent with        those imposed upon competing alternative service providers.     (Nov. 30, 2004, P.L.1398, No.183, eff. imd.)        2004 Amendment.  Act 183 added section 3011.     § 3012.  Definitions.        The following words and phrases when used in this chapter     shall have the meanings given to them in this section unless the     context clearly indicates otherwise:        "Advanced service."  A retail telecommunications service     that, regardless of transmission medium or technology, is     capable of supporting a minimum speed of 200 kilobits per second     (Kbps) in at least one direction at the network demarcation     point of the customer's premises.        "Aggregator telephone."  A telephone which is made available     to the transient public, customers or patrons, including, but     not limited to, coin telephones, credit card telephones and     telephones located in hotels, motels, hospitals and     universities.        "Alternative form of regulation."  A form of regulation of     telecommunications services other than the traditional rate base     or rate of return regulation, including a streamlined form of     regulation, as approved by the commission.        "Alternative service provider."  An entity that provides     telecommunications services in competition with a local exchange     telecommunications company.        "Bona fide retail request."  A written request for service     which meets the requirements of section 3014(c) (relating to     network modernization plans), is received by a local exchange     telecommunications company and through which end users commit to     subscribe to an advanced service.        "Bona fide retail request program."  A program established by     a local exchange telecommunications company pursuant to section     3014(c) (relating to network modernization plans).        "Broadband."  A communication channel using any technology     and having a bandwidth equal to or greater than 1.544 megabits     per second (Mbps) in the downstream direction and equal to or     greater than 128 kilobits per second (Kbps) in the upstream     direction.        "Broadband availability."  Access to broadband service by a     retail telephone customer of a local exchange telecommunications     company.        "Broadband Outreach and Aggregation Program."  A program     established by the Department of Community and Economic     Development pursuant to section 3014(i) (relating to network     modernization plans).        "Business Attraction or Retention Program."  A program     established by a local exchange telecommunications company     pursuant to section 3014(d) (relating to network modernization     plans).        "Central office."  A local exchange telecommunications     company switch used to provide local exchange telecommunications     service.        "Community."  Those customers of a local exchange     telecommunications company served by an existing or planned     remote terminal or, where no remote terminal exists or is     planned, a central office switch.        "Competitive service."  A service or business activity     determined to be competitive by the commission on or prior to     December 31, 2003, and a service or business activity determined     or declared to be competitive pursuant to section 3016 (relating     to competitive services).        "Department."  The Department of Community and Economic     Development of the Commonwealth.        "Education Technology Fund" or "E-Fund."  The fund     established under section 3015(d) (relating to alternative forms     of regulation).        "Education Technology Program."  The program established by     the Department of Education pursuant to section 3014(j)     (relating to network modernization plans).        "Eligible telecommunications carrier."  A carrier designated     by the Pennsylvania Public Utility Commission pursuant to 47 CFR     54.201 (relating to definition of eligible telecommunications     carriers, generally) or successor regulation as eligible to     receive support from the Federal Universal Service Fund.        "Eligible telecommunications customer."  A customer of an     eligible telecommunications carrier who qualifies for Lifeline     service discounts pursuant to the requirements of 47 CFR 54.409     (relating to consumer qualification for Lifeline) or successor     regulation.        "Fund."  The Broadband Outreach and Aggregation Fund     established under section 3015(c) (relating to alternative forms     of regulation).        "Gross Domestic Product Price Index" or "GDP-PI."  The Gross     Domestic Product Fixed Weight Price Index as calculated by the     United States Department of Commerce or a successor price index.        "Health care facility."  The term shall have the same meaning     given to it in the act of July 19, 1979 (P.L.130, No.48), known     as the Health Care Facilities Act.        "Industrial development agency."  An industrial development     agency under the act of May 17, 1956 (1955 P.L.1609, No.537),     known as the Pennsylvania Industrial Development Authority Act,     that has been certified by the Pennsylvania Industrial     Development Authority under section 5.2 of that act.        "Inflation offset."  The part of the price change formula in     the price stability mechanism that reflects an offset to the     Gross Domestic Product Price Index or Successor Price Index.        "Interexchange services."  The transmission of interLATA or     intraLATA toll messages or data outside the local calling area.        "Interexchange telecommunications carrier."  A carrier other     than a local exchange telecommunications company authorized by     the commission to provide interexchange services.        "Lifeline service."  A discounted rate local service     offering, as defined in 47 CFR 54.401 (relating to Lifeline     defined) or successor regulation, but excluding any offering     funded in part by Federal Universal Service Fund Tier Three     funding under 47 CFR 54.403 (relating to Lifeline support     amount) or successor regulation.        "Local development district."  A multicounty economic and     community development organization established to provide     regional planning and development services to improve the     economy and quality of life in a particular region through a     variety of activities, including, but not limited to, the     fostering of public and private partnerships and providing     assistance to businesses.        "Local exchange telecommunications company."  An incumbent     carrier authorized by the commission to provide local exchange     telecommunications services. The term includes a rural     telecommunications carrier and a nonrural telecommunications     carrier.        "Local exchange telecommunications service."  The     transmission of messages or communications that originate and     terminate within a prescribed local calling area.        "Network modernization plan."  A plan for the deployment of     broadband service by a local exchange telecommunications company     under this chapter or any prior law of this Commonwealth.        "Noncompetitive service."  A regulated telecommunications     service or business activity that has not been determined or     declared to be competitive.        "Nonprotected service."  Any telecommunications service     provided by a local exchange telecommunications company that is     not a protected service.        "Nonrural telecommunications carrier."  A local exchange     telecommunications company that is not a rural telephone company     as defined in section 3 of the Telecommunications Act of 1996     (Public Law 104-104, 110 Stat. 56).        "Optional calling plan."  A discounted toll plan offered by     either a local exchange telecommunications company or an     interexchange telecommunications carrier.        "Political subdivision."  Any county, city, borough,     incorporated town, township, municipality, municipal authority     or county institution district.        "Price stability mechanism."  A formula which may be included     in a commission-approved alternative form of regulation plan     that permits rates for noncompetitive services to be adjusted     upward or downward.        "Protected service."  The following telecommunications     services provided by a local exchange telecommunications company     unless the commission has determined the service to be     competitive:            (1)  Service provided to residential consumers or        business consumers that is necessary to complete a local        exchange call.            (2)  Touch-tone service.            (3)  Switched access service.            (4)  Special access service.            (5)  Ordering, installation, restoration and        disconnection of these services.        "Remote terminal."  A structure located outside of a central     office which houses electronic equipment and which provides     transport for telecommunications services to and from a central     office.        "Rural telecommunications carrier."  A local exchange     telecommunications company that is a rural telephone company as     defined in section 3 of the Telecommunications Act of 1996     (Public Law 104-104, 110 Stat. 56).        "School entity."  An intermediate unit, school district,     joint school district, area vocational-technical school,     independent school, licensed private academic school, accredited     school and any other public or nonpublic school serving students     in any grade from kindergarten through 12th grade.        "Special access service."  Service provided over dedicated,     nonswitched facilities by local exchange telecommunications     companies to interexchange telecommunications carriers or other     large volume users which provides connection between an     interexchange telecommunications carrier or private network and     a customer's premises.        "Switched access service."  A service which provides for the     use of common terminating, switching and trunking facilities of     a local exchange telecommunications company's public switched     network. The term includes, but is not limited to, the rates for     local switching, common and dedicated transport and the carrier     charge.        "Telecommunications Act of 1996."  The Telecommunications Act     of 1996 (Public Law 104-104, 110 Stat. 56).        "Telecommunications carrier."  An entity that provides     telecommunications services subject to the jurisdiction of the     commission.        "Telecommunications service."  The offering of the     transmission of messages or communications for a fee to the     public.        "Universal broadband availability."  Access to broadband     service by each telephone customer of a local exchange     telecommunications company.     (Nov. 30, 2004, P.L.1398, No.183, eff. imd.)        2004 Amendment.  Act 183 added section 3012.     § 3013.  Continuation of commission-approved alternative                regulation and network modernization plans.        (a)  General rule.--An alternative form of regulation plan     and network modernization plan approved by the commission for a     local exchange telecommunications company as of December 31,     2003, shall remain valid and effective except as may be amended     at the election of the local exchange telecommunications company     as authorized by this chapter. The commission shall allow a     previously approved plan to be amended to conform to any changes     made under this chapter and shall not require any other changes     to the plan.        (b)  Limitation on changes to plans.--Except for changes to     existing alternative form of regulation and network     modernization plans as authorized by this chapter, no change to     any alternative form of regulation or network modernization plan     may be made without the express agreement of both the commission     and the local exchange telecommunications company.        (c)  Grandfather provision.--All services previously     determined to be competitive as of December 31, 2003, shall     remain competitive services unless reclassified by the     commission under section 3016(c) (relating to competitive     services).        (d)  Commission oversight.--The commission will continue to     exercise oversight of alternative form of regulation and network     modernization plans for local exchange telecommunications     companies as provided in this chapter.     (Nov. 30, 2004, P.L.1398, No.183, eff. imd.)        2004 Amendment.  Act 183 added section 3013.        Cross References.  Section 3013 is referred to in section     3014 of this title.     § 3014.  Network modernization plans.        (a)  Continuation of approved plan.--A local exchange     telecommunications company that does not elect an option under     subsection (b) shall remain subject to its network modernization     plan in effect as of December 31, 2003, without revision or     modification except by agreement under section 3013(b) (relating     to continuation of commission-approved alternative regulation     and network modernization plans) and as provided in this section     through December 31, 2015.        (b)  Options for amendment of network modernization plan.--     Local exchange telecommunications companies shall have the     following options:            (1)  (i)  A rural telecommunications carrier that elects            to amend its network modernization plan pursuant to this            subsection shall remain subject to the carrier's network            modernization plan in effect as of December 31, 2003, as            amended pursuant to this subsection, through December 31,            2008. Prior to implementation of such election, the rural            telecommunications carrier shall comply with the            notification requirements of subsection (e).                (ii)  The rural telecommunications carrier shall            commit to accelerate 100% broadband availability by            December 31, 2008, in its amended network modernization            plan. Any rural telecommunications carrier electing this            option shall not be required to offer a bona fide retail            request program or a business attraction or retention            program.            (2)  (i)  A rural telecommunications carrier that elects            to amend its network modernization plan pursuant to this            subsection shall remain subject to the carrier's network            modernization plan in effect as of December 31, 2003, as            amended pursuant to this subsection, through December 31,            2013, or December 31, 2015, as applicable. Prior to            implementation of such election, the rural            telecommunications carrier shall comply with the            notification requirements of subsection (e).                (ii)  The rural telecommunications carrier shall            commit:                    (A)  to accelerate broadband availability to at                least 80% of its total retail access lines in its                distribution network by December 31, 2010, and 100%                of its total retail access lines in its distribution                network by December 31, 2013; or                    (B)  to accelerate broadband availability to at                least 80% of its total retail access lines in its                distribution network by December 31, 2010, and 100%                of its total retail access lines in its distribution                network by December 31, 2015; and                    (C)  to offer a bona fide retail request program                and a business attraction or retention program                pursuant to subsections (c) and (d). Under no                circumstances may the rural telecommunications                carrier reduce its existing broadband availability                commitment.            (3)  (i)  A nonrural telecommunications carrier that            elects to amend its network modernization plan pursuant            to this subsection shall remain subject to such carrier's            network modernization plan in effect as of December 31,            2003, as amended pursuant to this subsection, including            meeting its 100% broadband availability commitment. Prior            to implementation of such election, the nonrural            telecommunications carrier shall comply with the            notification requirements of subsection (e).                (ii)  The nonrural telecommunications carrier shall            commit:                    (A)  to provide broadband availability to 100% of                its total retail access lines in its distribution                network by December 31, 2013, or December 31, 2015;                and                    (B)  to offer a bona fide retail request program                and a business attraction or retention program                pursuant to subsections (c) and (d). Under no                circumstances may such nonrural telecommunications                carrier reduce its existing broadband availability                commitment.            (4)  A local exchange telecommunications company that        elects under paragraph (1), (2) or (3) shall also commit to        universal broadband deployment in or adjacent to public        rights-of-way abutting all public schools, including the        administration offices supporting public schools, industrial        parks and health care facilities in its service territory on        or before December 31, 2005, except that a local exchange        telecommunications company serving more than ten exchanges in        this Commonwealth may elect to extend this commitment from        December 31, 2005, to December 31, 2006, for any exchange        with less than 4,000 access lines.            (5)  A local exchange telecommunications company that        elects under paragraph (1), (2) or (3) may amend its network        modernization plan to extend the period of time within which        broadband service must be made available to a customer to up        to ten business days after the customer's request for        broadband service.            (6)  A local exchange telecommunications company        operating under an amended network modernization plan may        subsequently petition the commission for approval of further        modification of its amended network modernization plan, which        the commission may grant upon good cause shown.            (7)  A rural telecommunications carrier serving less than        50,000 access lines in this Commonwealth making an election        pursuant to paragraph (1) and filing its amended network        modernization plan with the commission pursuant to subsection        (e) shall be granted by the commission a suspension of        section 251(c)(2), (3), (4), (5) and (6) obligations under        the Telecommunications Act of 1996. This suspension of        obligations shall expire December 31, 2008, unless extended        by the commission. Should the commission, following a        hearing, determine that the rural telecommunications carrier        has failed to timely meet its commitments pursuant to this        paragraph, the suspension of obligations shall expire upon        entry of the commission order making such determination.        Expiration of the suspension of obligations shall not impact        the rural telephone company exemption of the rural        telecommunications carrier under section 251(f)(1) of the        Telecommunications Act of 1996.            (8)  A local exchange telecommunications company may        accelerate its broadband availability commitment by electing        an additional option pursuant to paragraph (1), (2) or (3),        as applicable, at a later date. The local exchange        telecommunications company shall be subject to the applicable        modified inflation offset in its price stability mechanism as        set forth in section 3015(a)(1) (relating to alternative        forms of regulation) effective upon the filing of an amended        network modernization plan under subsection (e).        (c)  Bona fide retail request program.--A local exchange     telecommunications company that elects to amend its network     modernization plan pursuant to subsection (b)(2) or (3) shall no     later than 90 days after the effective date of its amended plan     implement a bona fide retail request program in areas where it     does not provide broadband. Not later than 30 days in advance of     program implementation, the local exchange telecommunications     company shall file with the commission and provide the     department with a written description of the program, a sample     request for advanced services form for use in the program and     the form of any advanced services term subscription agreements     customers will be required to execute in connection with     receiving the requested services. A bona fide retail request     program shall consist of the following:            (1)  Any person, business, local development district,        industrial development agency or other entity seeking        advanced services pursuant to a bona fide retail request        program shall submit a written request for such services to        the local exchange telecommunications company or to the        department in accordance with subsection (d). The written        request may be in the form of a petition which includes the        information required by paragraph (2), in the form provided        by the department under subsection (d) which includes the        information required by paragraph (2) or in the form of        individual requests each of which includes the information        required by paragraph (2). If individual requests are        received, the local exchange telecommunications company shall        aggregate requests for the same service and initiate        appropriate action pursuant to this subsection when the        required number of requests have been received.            (2)  To be considered a bona fide retail request, the        written request must include:                (i)  a request that a minimum of 50 retail access            lines or 25% of retail access lines within a community,            whichever is less, each be provided the same advanced            service or comparable advanced services having a            bandwidth within 100 kilobits per second (Kbps) of each            other. Notwithstanding the foregoing comparable bandwidth            limitation, where a request includes individual customer            requests for advanced services having equal to or less            than 1.544 megabits per second (Mbps) bandwidth in the            downstream direction, all lines in the request shall be            counted in meeting the minimum line requirement of this            subparagraph;                (ii)  the name, address, telephone number and            signature of each existing retail customer requesting the            advanced service, the advanced service being requested            and the number of access lines for which the advanced            service is being requested;                (iii)  the name, address and telephone number of a            designated contact person where the request is made by or            on behalf of more than one person or business; and                (iv)  a commitment by each customer who signs the            request to subscribe to the requested service for one            year, subject to the local exchange telecommunications            company's identification of the price and terms of the            service and the customer's agreement to the price and            terms.            (3)  In administering the bona fide retail request        program, the local exchange telecommunications company shall:                (i)  establish an Internet website and toll-free            telephone number to address customer inquiries regarding            the program;                (ii)  mail a request form to a customer upon request;                (iii)  confirm its receipt of any completed request            in writing to the customer and identify the service            requested;                (iv)  as part of the written confirmation, if            available, or in a subsequent written communication to            the customer, provide the customer the applicable rate,            the contract term, the status of the request and a term            subscription agreement for execution; and                (v)  notify the customers in a community, within 30            days of receipt of a bona fide request, of the expected            date of the availability of the requesters' service.            (4)  When a bona fide retail request has been received        that meets the requirements of paragraph (2), the local        exchange telecommunications company shall provide the        requested advanced service, or other reasonably comparable        service having a bandwidth within 100 kilobits per second        (Kbps) of the requested service, to the community as soon as        practicable, but in no event later than 365 days of the date        the requirements of paragraph (2) have been met or within the        period approved by the commission under paragraph (5) or (6)        where:                (i)  the local exchange telecommunications company            provides the requested advanced service to other            customers in its service territory;                (ii)  no service is available to the requesting            customers from an alternative service provider at or            within 100 kilobits per second (Kbps) of the data speed            requested or such service is available at a price that            exceeds the then current price offered by the local            exchange telecommunications company by more than 50%;                (iii)  the community is situated within the service            territory of the local exchange telecommunications            company; and                (iv)  the local exchange telecommunications company            does not have to provide fiber to the customer's premises            to furnish the requested advanced service.            (5)  Where, as a result of property acquisition,        including acquiring rights-of-way, or new construction, a        local exchange telecommunications company is unable to        provide the requested advanced service within the one-year        period set forth in paragraph (4), the company may petition        the commission for an extension of up to six months, with        service upon the customer or customers who made the bona fide        retail request and the department if the department submitted        the request on behalf of the customer or customers. The        commission may delegate its authority to rule on such        petitions to a bureau director or other appropriate employee        who shall grant the petition for good cause shown.            (6)  Where the total number of bona fide retail requests        received by any local exchange telecommunications company or        affiliated companies that meet the requirements of paragraphs        (2) and (4) exceed 40 requests in any 12-month period or        where there are more than 20 such requests that require        property acquisition, including acquiring rights-of-way, or        new construction in any 12-month period, the local exchange        telecommunications company or companies may provide a        verified certification to the commission that one or both of        the previously stated criteria are met, with service upon the        customer or customers who made the additional requests and        upon the department if the department submitted any such        requests. Upon receipt of the certification, the commission        or the commission through its designated staff shall permit        the local exchange telecommunications company or companies to        extend the time for such deployments for a period of no more        than 12 months unless the commission determines an additional        time period to be just and reasonable. If a deployment is        extended, it shall be counted in determining the maximum        number of deployments provided for under this subsection in        any 12-month period covering the month to which it is        extended.            (7)  No advanced service requested and deployed by a        local exchange telecommunications company under the bona fide        retail request program which has a bandwidth of less than        1.544 megabits per second (Mbps) in the downstream direction        shall be counted as a credit toward the local exchange        telecommunications company's broadband deployment obligation        under its network modernization plan amended pursuant to        subsection (b)(2) or (3).            (8)  With regard to requests submitted under this        subsection, a retail customer may challenge the action of a        local exchange telecommunications company pursuant to section        701 (relating to complaints).            (9)  Local exchange telecommunications companies with        bona fide retail request programs shall provide semiannual        reports to the commission and the department of the number of        requests for advanced services received during the reporting        period by exchange or density cell and the action taken on        requests meeting the requirements of this subsection.            (10)  A local exchange telecommunication company's bona        fide retail request program established under this subsection        shall continue through December 31, 2015, or such earlier        date as the local exchange telecommunications company        achieves 100% broadband availability throughout its service        territory.            (11)  In addition to adjudicating any complaints brought        by customers under paragraph (8), the commission shall        monitor and enforce the compliance of participating local        exchange telecommunications companies with their obligations        under this subsection.        (d)  Business attraction or retention program.--            (1)  Not later than 90 days after amending its network        modernization plan under subsection (b)(2) or (3), the local        exchange telecommunications company shall establish a        business attraction or retention program to permit the        department to aggregate customer demand where necessary and        facilitate the deployment of advanced or broadband services        to qualifying businesses which the department seeks to        attract to or retain in this Commonwealth and whose requests        for such services are submitted by or through the department.            (2)  Each local exchange telecommunications company which        amends its network modernization plan under subsection (b)(2)        or (3) not later than 90 days after the effective date of its        amended plan shall designate a single point of contact to        receive all written advanced or broadband service requests        forwarded by the department, provide associated contact        information to the department and provide the department and        the commission with a written description of its        participation in the program and a sample request for        advanced or broadband services form for use in the program.            (3)  The department may submit a request to the        applicable local exchange telecommunications company by or on        behalf of qualifying businesses in areas that the department        deems priority areas for economic development, including and        giving preference to keystone opportunity zones, keystone        opportunity expansion zones, enterprise zones, keystone        opportunity improvement zones and other areas identified by        the department as lacking adequate access to advanced or        broadband services which would be important in order to        promote economic development projects in those areas.            (4)  The department shall establish an advisory committee        that shall consist of representatives of each local exchange        telecommunications company with a business attraction or        retention program, local development districts and other        local economic and industrial development agencies to assist        the department in developing protocols and procedures for        implementing these programs pursuant to this subsection.            (5)  Qualifying business or businesses' requests for        advanced services submitted by the department that are        provisioned through the bona fide retail request program        shall be processed in accordance with subsection (c) and        shall be allocated 50% of the maximum number of annual        deployments referenced in subsection (c)(6). Other requests        shall be allocated 50% of the number of such deployments,        provided, however, that any allocated deployments that are        unused may be utilized by the department or nondepartment        applicants, as applicable.            (6)  For qualifying business or businesses whose request        for advanced services is determined by the local exchange        telecommunications company to be better processed outside of        the bona fide retail request program, the local exchange        telecommunications company shall make a proposal to the        requesting business or businesses to provide the requested        advanced or broadband service and subsequently shall        provision such service. The local exchange telecommunications        company shall advise the department and the business or        businesses within 30 days of the date the contract is signed        of the date by which the requested advanced or broadband        service will be provided, which date shall be not later than        one year after the date the contract is signed unless the        business or businesses agree to a longer period or the local        exchange telecommunications company obtains commission        approval of an extension under the same procedure set forth        in subsection (c)(5).            (7)  No advanced service requested of and deployed by a        local exchange telecommunications company under the Business        Attraction or Retention Program which has a bandwidth of less        than 1.544 megabits per second (Mbps) in the downstream        direction shall be counted as a credit toward the local        exchange telecommunication company's broadband deployment        obligation under its network modernization plan amended under        subsection (b)(2) or (3).            (8)  Each local exchange telecommunications company which        is required to participate in the department's Business        Attraction or Retention Program shall continue its        participation through December 31, 2015, or such earlier date        as it achieves 100% broadband availability throughout its        service territory.            (9)  The department shall oversee local exchange        telecommunications company participation in the Business        Attraction or Retention Program, including the timely        completion of qualifying advanced or broadband services        requests submitted by or through the department which are        processed within or outside of the participating local        exchange telecommunications companies' bona fide retail        request programs.            (10)  The commission shall monitor and enforce the        compliance of participating local exchange telecommunications        companies with their obligations under the Business        Attraction or Retention Program.        (e)  Notice of filing of amendments.--A local exchange     telecommunications company that elects to amend its network     modernization plan under subsection (b) shall notify the     commission in writing of such election and, within 60 days     following such notification, file its amended network     modernization plan with the commission. Copies of the written     notice of election and of the amended network modernization plan     shall be served by the local exchange telecommunications company     on the Office of Consumer Advocate and the Office of Small     Business Advocate. Concurrent with the filing of the amended     plan with the commission, the local exchange telecommunications     company shall publish notice of such filing in a newspaper or     newspapers of general circulation in its service territory or by     bill message or insert. An amended plan compliant with the     requirements of this chapter shall be approved by the commission     within 100 days of its filing. If the commission fails to act     within 100 days, the amended plan shall be deemed approved.        (f)  Network modernization plan report.--            (1)  A local exchange telecommunications company        operating under a network modernization plan shall continue        to file with the commission biennial reports on its provision        of broadband availability in the form and detail required by        the commission as of July 1, 2004, unless such reporting        requirements are subsequently reduced by the commission.            (2)  Nothing in this subsection shall be construed to        impede the ability of the commission to require the        submission of further information to support the accuracy of        or to seek an explanation of the reports specified in this        subsection.            (3)  Under no circumstances shall the commission compel        the public release of maps or other information describing        the actual location of a local exchange telecommunications        company's facilities.        (g)  Assistance to political subdivisions.--A local exchange     telecommunications company shall commit in its amended network     modernization plan to make technical assistance available to     political subdivisions located in its service territory in     pursuing the deployment of additional telecommunications     infrastructure or services by the local exchange     telecommunications company.        (h)  Prohibition against political subdivision advanced and     broadband services deployment.--            (1)  Except as otherwise provided for under paragraph        (2), a political subdivision or any entity established by a        political subdivision may not provide to the public for        compensation any telecommunications services, including        advanced and broadband services, within the service territory        of a local exchange telecommunications company operating        under a network modernization plan.            (2)  A political subdivision may offer advanced or        broadband services if the political subdivision has submitted        a written request for the deployment of such service to the        local exchange telecommunications company serving the area        and, within two months of receipt of the request, the local        exchange telecommunications company or one of its affiliates        has not agreed to provide the data speeds requested. If the        local exchange telecommunications company or one of its        affiliates agrees to provide the data speeds requested, then        it must do so within 14 months of receipt of the request.            (3)  The prohibition in paragraph (1) shall not be        construed to preclude the continued provision or offering of        telecommunications services by a political subdivision of the        same type and scope as were being provided on the effective        date of this section.        (i)  Broadband Outreach and Aggregation Program.--            (1)  The department shall establish a Broadband Outreach        and Aggregation Program for the purpose of making        expenditures and providing grants from the Broadband Outreach        and Aggregation Fund established under section 3015(c)        (relating to alternative forms of regulation) for:                (i)  Outreach programs for political subdivisions,            economic development entities, schools, health care            facilities, businesses and residential customers            concerning the benefits, use and procurement of broadband            services; and                (ii)  Seed grants to aggregate customer demand for            broadband services in communities or political            subdivisions with limited access to such services and to            permit customers in such communities or political            subdivisions to request such services from a            telecommunications provider.            (2)  The department shall annually report to the        commission on all payments to and expenditures from the        Broadband Outreach and Aggregation Fund, and the commission        shall verify the accuracy of the contributions from the        participating local exchange telecommunications companies.        (j)  Education Technology Program.--            (1)  The Department of Education shall establish an        Education Technology Program for the purpose of providing        grants to school entities from the Education Technology Fund        (E-Fund) established under section 3015(d).            (2)  The Department of Education shall authorize grants        from the E-Fund for the following purposes:                (i)  Purchase or lease of telecommunications            services, infrastructure or facilities to establish and            support broadband networks between, among and within            school entities and not for the provision of            telecommunications services to the public for            compensation.                (ii)  Purchase or lease of premises            telecommunications network equipment and end-user            equipment to enable the effective use of broadband            networks between, among and within school entities and            not for the provision of telecommunications services to            the public for compensation.                (iii)  Distance learning initiatives that use the            foregoing broadband networks.                (iv)  Technical support services for the activities            described in subparagraphs (i) through (iii).            (3)  Each applicant school entity shall be required to        provide 100% matching funds to support each E-Fund grant        request. Funds received from Federal technology programs such        as the universal service support mechanism for schools and        libraries set forth in 47 CFR Pt. 54 (relating to universal        service or successor regulations), in-kind contributions and        any other technology expenditures shall be applied toward the        matching fund requirement.            (4)  No later than 90 days after the effective date of        this section, the Department of Education shall prescribe the        grant process and the form and manner of the E-Fund        application. Grants shall be limited to the funds available        in the Education Technology Fund. In awarding grants, the        Department of Education shall give priority to applications:                (i)  that are submitted by school entities that seek            funds for discounted broadband services under subsection            (l) or for broadband infrastructure, facilities or            equipment from local exchange telecommunications            companies which contribute to the E-Fund;                (ii)  that seek funds for regional networks that            serve multiple school districts which are filed on behalf            of multiple school districts and school entities; or                (iii)  that are submitted by school entities that do            not have broadband service, provided, however, that            nothing in this subsection shall preclude the department            from awarding funds to school entities for            telecommunications services, infrastructure or facilities            that provide bandwidths greater than 1.544 megabits per            second (Mbps).        The Department of Education shall assure that the        applications funded each year are geographically dispersed        throughout the Commonwealth.        (k)  Balanced deployment.--A local exchange     telecommunications company shall reasonably balance deployment     of its broadband network between rural, urban and suburban areas     within its service territory, as those areas are applicable, in     accordance with its approved network modernization plan.        (l)  Broadband discounts to schools.--Each local exchange     telecommunications company that elects to amend its network     modernization plan pursuant to this section:            (1)  Shall offer school customers which meet the        eligibility standards described in 47 CFR 54.501 (relating to        eligibility for services provided by telecommunications        carriers) and which agree to enter into a minimum three-year        contract a 30% discount, or greater discount at the local        exchange telecommunications company's discretion, in the        otherwise applicable tariffed distance-sensitive per-mile        rate element and also will waive the associated nonrecurring        charges for available intrastate broadband services where        used for educational purposes and not for the provision of        telecommunications services to the public for compensation.        The discount or waiver shall not be required where        application of it to a particular service would conflict with        applicable law.            (2)  Will assist school customers in applying for e-rate        funding under 47 CFR 54.505 (relating to discounts).        (m)  Inventory of available services.--            (1)  The department shall compile, periodically update        and publish, including at its Internet website, a listing of        advanced and broadband services, by general location,        available from all advanced and broadband service providers        operating in this Commonwealth irrespective of the technology        used.            (2)  All providers of advanced and broadband services        shall cooperate with the department.            (3)  The department may not disclose maps or other        information describing the specific location of any        telecommunications carrier's or alternative service        provider's facilities.        (n)  Construction.--Nothing in this section shall be     construed:            (1)  As giving the commission the authority to require a        local exchange telecommunications company to provide specific        services or to deploy a specific technology to retail        customers seeking broadband or advanced services.            (2)  As prohibiting a local exchange telecommunications        company from participating in joint ventures with other        entities in meeting its advanced services and broadband        deployment commitments under its network modernization plan.     (Nov. 30, 2004, P.L.1398, No.183)        2004 Amendment.  Act 183 added section 3014, effective     January 1, 2006, as to subsec. (h)(3) and immediately as to the     remainder of the section.        Cross References.  Section 3014 is referred to in sections     3012, 3015 of this title.     § 3015.  Alternative forms of regulation.        (a)  Inflation offset.--            (1)  Except as otherwise provided in paragraphs (2) and        (3), a local exchange telecommunications company with an        alternative form of regulation containing a price stability        mechanism that files an amended network modernization plan        under section 3014(b)(1), (2) or (3) (relating to network        modernization plans) shall be subject to a modified inflation        offset in its price stability mechanism in adjusting its        rates for noncompetitive services, effective upon the filing        of an amended network modernization plan under section        3014(e), as follows:                (i)  If a nonrural telecommunications carrier files            an amended network modernization plan under section            3014(b)(3) that commits to deploy 100% broadband            availability by December 31, 2013, then the carrier's            inflation offset shall be zero.                (ii)  If a nonrural telecommunications carrier files            an amended network modernization plan under section            3014(b)(3) that commits to deploy 100% broadband            availability by December 31, 2015, then the carrier's            inflation offset shall be equal to 0.5%.                (iii)  If a rural telecommunications carrier files an            amended network modernization plan under section            3014(b)(1) that commits to deploy 100% broadband            availability by December 31, 2008, or under section            3014(b)(2)(ii)(A) that commits to deploy 100% broadband            availability by December 31, 2013, then the carrier's            inflation offset shall be zero.                (iv)  If a rural telecommunications carrier files an            amended network modernization plan under section            3014(b)(2)(ii)(B) that commits to deploy 100% broadband            availability by December 31, 2015, then the carrier's            inflation offset shall be equal to 0.5%.            (2)  Utilizing network modernization plan reports filed        with the commission by local exchange telecommunications        companies under section 3014(f), the commission shall monitor        and enforce companies' compliance with their interim and        final 100% commitments for broadband availability in their        amended network modernization plans. In the event that a        local exchange telecommunications company is found by the        commission, after notice and evidentiary hearings held on an        expedited basis, to have failed to meet such an interim or        final 100% commitment, then the commission shall require the        local exchange telecommunications company to refund to        customers in its next price stability filing an amount that        is just and reasonable under the circumstances. Such amount        shall not exceed an amount determined by multiplying the        percentage shortfall of the broadband availability commitment        on an access-line basis required to be met during the period        from the start of the amended plan or from the date of the        last prior interim commitment, as applicable, times the        increased revenue that was obtained during this period as a        result of the modified inflation offset provided in this        section that reduced the inflation offset applicable in the        local exchange telecommunications company's alternative        regulation plan in effect on the effective date of this        section, plus interest calculated under section 1308(d)        (relating to voluntary changes in rates). Any such refund        required under this subsection shall be separate from and in        addition to any civil or other penalties that the commission        may impose on a local exchange telecommunications company        under Chapter 33 (relating to violations and penalties).            (3)  Where annual rate adjustments made under a nonrural        telecommunications carrier's price stability mechanism are        calculated using revenues from protected services, an average        rate adjustment for protected residential customer local        exchange telecommunications service lines shall be determined        by dividing the total protected service revenues associated        with such lines, as adjusted by the price stability formula,        by the number of such lines, and the rate adjustment for any        individual line shall not vary from this average rate        adjustment by more than 20%.        (b)  Rate changes for rural telecommunications carriers.--            (1)  In addition to the rate change provisions in its        alternative form of regulation plan, a rural        telecommunications carrier operating without a price        stability mechanism that files with the commission an amended        network modernization plan under section 3014(b)(1) or (2)        shall be permitted at any time to file proposed tariff        changes with the commission, effective 45 days after filing,        setting forth miscellaneous changes, including increases and        decreases, in rates for noncompetitive services, excluding        basic residential and business rates, provided such rate        changes do not increase the rural telecommunications        carrier's annual intrastate revenues by more than 3%.            (2)  The commission tariff filing requirements and review        associated with such proposed rate changes shall be limited        to schedules submitted by the rural telecommunications        carrier detailing the impact of the rate changes on the        carrier's annual intrastate revenues.            (3)  A rural telecommunications carrier that implements        noncompetitive rate changes consistent with the procedure set        forth in its alternative form of regulation plan shall be        required only to file such financial and cost data with the        commission to justify such changes as is required under its        commission-approved alternative form of regulation plan.            (4)  Notwithstanding the provisions of paragraph (1), (2)        or (3), for any rural telecommunications carrier serving less        than 50,000 access lines in this Commonwealth and operating        under an alternative form of regulation plan, a formal        complaint to deny rate changes for noncompetitive services        unless signed by at least 20 customers of the rural        telecommunications carrier shall not prevent implementation        of the rate changes pending the adjudication of the formal        complaint by the commission.        (c)  Broadband Outreach and Aggregation Fund.--            (1)  There is hereby established within the State        Treasury a special fund to be known as the Broadband Outreach        and Aggregation Fund for the purposes enumerated in section        3014(i).            (2)  A local exchange telecommunications company that        files an amended network modernization plan under section        3014(b)(2) or (3) shall be assessed by the commission for        contribution to the fund and to the E-fund established under        subsection (d) an amount of 20% of the first year's annual        revenue effect:                (i)  of any rate increase permitted by the            elimination or reduction of the offset under subsection            (a) and placed into effect; or                (ii)  of any rate increase placed into effect under            subsection (b)(1) if the local exchange            telecommunications company is operating without a price            stability mechanism.        For purposes of this paragraph, the term "first year's annual        revenue effect" means the projected or actual increased        revenues received by the local exchange telecommunications        company during the one-year period from the effective date of        its rate increase. The commission shall begin the assessments        provided for in this paragraph on June 30, 2005, and        thereafter shall make such assessments annually on June 30        until June 30, 2010, for assessments that include amounts for        the fund and the e-fund and until June 30, 2015, for        assessments that include amounts for only the fund. Each        assessment shall be based on the first year's annual revenue        effect of any covered rate increase effective after the date        of the last annual assessment.            (3)  An amount not to exceed 50% of such assessment shall        be allocated to the fund. The remainder of the assessment        shall be allocated to the E-fund provided for under        subsection (d) until its termination on June 30, 2011. After        the E-fund termination, the maximum assessment percentage        shall be reduced from 20% to 10%, and contributions shall be        made only to the fund until the local exchange        telecommunications company achieves 100% broadband        availability. Contributions of allocated amounts shall be        paid to the fund and the E-fund by the local exchange        telecommunications company in equal quarterly installments.            (4)  In no event shall the total amount of the fund        exceed $5,000,000 annually, and in the event of such        overfunding the department shall credit the overcollection to        the next year's contribution amount.            (5)  A local exchange telecommunications company that        elects to amend its network modernization plan pursuant to        section 3014 (b)(1) shall not be required to contribute to        the fund.            (6)  The moneys in the Broadband Outreach and Aggregation        Fund are hereby appropriated upon approval of the Governor to        the department for the purposes enumerated in paragraph (1).        The department may use up to 3% of the money in the fund for        administration.            (7)  The fund shall continue until July 1, 2016, at which        time the fund shall terminate, and the department shall        return any funds remaining in the fund on a pro rata basis to        the local exchange telecommunications companies that        contributed to the fu