SENATE BILL No. 1291

 

 

June 7, 2006, Introduced by Senators JACOBS, SWITALSKI, WHITMER, CHERRY, PRUSI, BRATER, OLSHOVE and EMERSON and referred to the Committee on Technology and Energy.

 

 

 

     A bill to amend 1991 PA 179, entitled

 

"Michigan telecommunications act,"

 

(MCL 484.2101 to 484.2604) by adding sections 381, 382, 383, 384,

 

and 385.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 381. (1) The scope of commission authority regarding

 

wireless telecommunications does not extend to the regulation of

 

market entry or exit by, the establishment of rates and services

 

offered by, or rates of return earned by wireless

 

telecommunications providers. The commission may use its authority

 

in the oversight of marketing and billing practices, service

 

quality, provision of accurate coverage maps, and resolution of

 

disputes between wireless telecommunications providers and their

 


subscribers.

 

     (2) The commission shall establish standards for, and publish

 

information regarding, the quality of service associated with

 

wireless telecommunications providers operating in the state,

 

including call center performance, blocked and dropped call rates,

 

and the number of complaints received by the commission for each

 

wireless telecommunications provider, per 1,000 subscribers,

 

quarterly. This information shall be made available through the

 

commission's website, pamphlets, or other means suitable for mass

 

distribution.

 

     (3) The commission shall monitor the deployment of wireless

 

telecommunications networks and develop rules for the production of

 

accurate coverage maps by wireless telecommunications providers in

 

the state. The commission shall develop signal strength thresholds,

 

measured in decibels relative to 1 milliwatt, to be used by

 

wireless telecommunications providers in producing the coverage

 

maps. The commission may develop other service quality

 

measurements, as appropriate, such as assessments of voice or data

 

transmission quality. The commission shall develop signal strength

 

thresholds that identify levels of quality of service in coverage

 

areas that are appropriate for the population characteristics and

 

terrain conditions in coverage areas of the state. Maps may also

 

depict other measures of service quality, as appropriate, that

 

shall be determined by the commission. The verified coverage maps

 

approved by the commission should clearly convey information

 

regarding the quality of service to the public and should have

 

uniform characteristics across wireless telecommunications

 


providers to promote service quality comparisons by consumers.

 

     (4) The commission shall develop methods to verify the

 

accuracy of coverage maps submitted by wireless telecommunications

 

providers to the commission for approval to ensure their compliance

 

with the rules established by the commission under this act. The

 

accuracy of these maps should be verified no less than annually.

 

The commission shall make available to the public copies of

 

verified accurate coverage maps for wireless telecommunications

 

providers operating in the state.

 

     Sec. 382. (1) All providers of wireless telecommunications

 

services shall publish verified coverage maps showing the coverage

 

area associated with all statewide home calling areas and each

 

calling plan. Wireless telecommunications providers shall make

 

copies of verified coverage maps available to prospective and

 

existing subscribers. Coverage maps should be prepared in

 

compliance with commission rules and submitted to the commission

 

for verification and approval no less than annually.

 

     (2) Wireless telecommunications providers shall publish rate

 

information in a clear and understandable format. Any restrictions

 

on the use of package minutes should be clearly identified. Prices,

 

rates, or term contracts associated with wireless

 

telecommunications services shall include a disclosure of any

 

geographic limitation to the advertised price, rate, or term

 

contract. Rate information should include a good faith estimate of

 

the total monthly cost of the service, which includes any

 

additional surcharges, call setup charges, fees, or taxes

 

applicable to the prices, rates, or term contracts. Rate

 


information should clearly identify how long-distance calling is

 

treated. Conditions under which roaming charges apply should be

 

clearly identified. Termination and reactivation fees should be

 

clearly stated.

 

     Sec. 383. Any agreement or contract the consumer or subscriber

 

may execute shall be a separate document from marketing materials

 

used to promote wireless telecommunications products or services

 

and shall be unambiguous and legible. Rates provided in agreements

 

or contracts should include a good faith estimate of the total

 

monthly cost of a plan, including taxes, surcharges, and other fees

 

that will appear on the customer's bill. The terms and conditions

 

specified in the contract regarding prices, terms of use, package

 

minutes, and nongovernment charges are binding on the provider

 

during the term of the plan.

 

     Sec. 384. For a period of up to 20 days after the date of the

 

first bill for the first full month of service following service

 

activation, the wireless telecommunications service subscriber

 

shall be allowed, without penalty, to cancel the contract with the

 

wireless telecommunications provider and return for a full refund

 

any wireless telecommunications equipment acquired from the

 

wireless telecommunications provider, or from its agents or

 

authorized dealers. The subscriber remains responsible for any use

 

charges incurred before termination. Refunds for equipment are

 

contingent upon the return of all wireless equipment in proper

 

working order.

 

     Sec. 385. (1) If a customer of a wireless service terminates a

 

service contract before the expiration date of the contract, the

 


wireless provider may charge the customer a termination fee not to

 

exceed $20.00.

 

     (2) Not less than 30 days from the expiration date of a

 

service contract with a provider of cellular telecommunication

 

service, the provider shall give notice to the customer of the

 

expiration date.

 

     (3) After the initial contract period for a wireless service,

 

the contract shall continue on a month-by-month basis and may be

 

terminated by the customer upon a 30-day notice to the wireless

 

provider.