SENATE BILL NO. 823


  December 2, 1997, Introduced by Senator HOFFMAN and 
       referred to the Committee on Technology and 
       Energy.
     


        A bill to amend 1991 PA 179, entitled

   "Michigan telecommunications act,"

   by amending section 304b (MCL 484.2304b), as added by 1995 PA

   216.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1         Sec. 304b.  (1) A provider of basic local exchange service

 2    shall develop and offer various rate plans that reflect residen-

 3    tial customer calling patterns AND NEEDS that shall include, but

 4    not limited to, all of the following at the option of the cus-

 5    tomer unless it is not technologically feasible:

 6         (a) A flat rate allowing unlimited personal and domestic

 7    outgoing calls.

 8         (b) A flat rate allowing personal and domestic outgoing

 9    calls up to 400 calls per month per line.  Calls in excess of 400

10    per month may be charged at an incremental rate as set by the


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 1    provider under section 304.  If a customer has more than 1 line

 2    at the same location that appears on the customer's bill, the

 3    allowable calls under this subdivision shall be the aggregate of

 4    all the lines regardless from which line the calls originate.  A

 5    person who is handicapped or is voluntarily providing a service

 6    for an organization classified by the internal revenue service as

 7    a section 501(c)(3) or (19) organization, or a congressionally

 8    chartered veterans organization or their duly authorized founda-

 9    tions, is exempt from the 400 calls per month limitation and

10    shall receive a flat rate allowing unlimited calls per month.  A

11    person exempt from the call cap under this subdivision shall not

12    be charged a rate greater than the flat rate charged other resi-

13    dential customers for 400 calls.

14         (c) A flat rate allowing personal and domestic outgoing

15    calls of not less than 50 nor more than 150 per month, per line.

16    Providers may offer additional plans allowing personal and domes-

17    tic outgoing calls of not less than 150 per month nor more than

18    400 per month, per line.  Calls in excess of upper per call limit

19    per month may be charged at an incremental rate as set by the

20    provider under section 304.  If a customer has more than 1 line

21    at the same location that appears on the customer's bill, the

22    allowable calls under this subdivision shall be the aggregate of

23    all the lines regardless from which line the calls originate.

24         (d) A rate determined by the time duration of service usage

25    or the distance between the points of service origination and

26    termination.





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 1         (e) A rate determined by the number of times the service is

 2    used.

 3         (f) A rate that includes 1 or more of the rates allowed by

 4    this section.

 5         (g) A rate that includes toll-free calling to contiguous

 6    Michigan local calling exchanges.  THE RATE CHARGED FOR THIS

 7    SERVICE SHALL NOT EXCEED THE COST OF PROVIDING SERVICE.

 8         (2) If an option required under subsection (1) is not being

 9    offered by the provider on January 1, 1996, the provider shall

10    set the initial rate for the option.

11         (3) A provider who, together with any affiliated providers,

12    provides basic local exchange service or basic local exchange and

13    toll service to less than 250,000 end-users in this state is not

14    required to provide a rate plan required under subsection 
             (1) 

15    (1)(A) TO (F) if it is not economically feasible to provide the

16    rate plan.

























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