093_SB0914 LRB093 07851 JLS 08040 b 1 AN ACT concerning telecommunications. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Public Utilities Act is amended by 5 changing Sections 13-401, 13-404, and 13-405 and adding 6 Sections 13-221 and 13-408 as follows: 7 (220 ILCS 5/13-221 new) 8 (Section scheduled to be repealed on July 1, 2005) 9 Sec. 13-221. Retail local exchange telecommunications 10 service. "Retail local exchange telecommunications service" 11 means "local exchange telecommunications services", as 12 defined in Section 13-204, sold to an end user. "Retail local 13 exchange telecommunications service" does not include a local 14 exchange telecommunications service provided by a 15 telecommunications carrier to a telecommunications carrier, 16 including itself, as a component of, or for the provision of, 17 local exchange telecommunications service. A "business retail 18 local exchange telecommunications service" is a retail local 19 exchange telecommunications service provided to a business 20 end user. A "residential retail local exchange 21 telecommunications service" is a retail local exchange 22 telecommunications service provided to a residential end 23 user. 24 (220 ILCS 5/13-401) (from Ch. 111 2/3, par. 13-401) 25 (Section scheduled to be repealed on July 1, 2005) 26 Sec. 13-401. Certificate of Service Authority. 27 (a) No telecommunications carrier not possessing a 28 certificate of public convenience and necessity or 29 certificate of authority from the Commission at the time this 30 Article goes into effect shall transact any business in this -2- LRB093 07851 JLS 08040 b 1 State until it shall have obtained a certificate of service 2 authority from the Commission pursuant to the provisions of 3 this Article. 4 No telecommunications carrier offering or providing, or 5 seeking to offer or provide, any interexchange 6 telecommunications service shall do so until it has applied 7 for and received a Certificate of Interexchange Service 8 Authority pursuant to the provisions of Section 13-403. No 9 telecommunications carrier offering or providing, or seeking 10 to offer or provide, any local exchange telecommunications 11 service shall do so until it has applied for and received a 12 Certificate of Exchange Service Authority pursuant to the 13 provisions of Section 13-405. 14 Notwithstanding Sections 13-403, 13-404, and 13-405, the 15 Commission shall approve a cellular radio application for a 16 Certificate of Service Authority without a hearing upon a 17 showing by the cellular applicant that the Federal 18 Communications Commission has issued to it a construction 19 permit or an operating license to construct or operate a 20 cellular radio system in the area as defined by the Federal 21 Communications Commission, or portion of the area, for which 22 the carrier seeks a Certificate of Service Authority. 23 No Certificate of Service Authority issued by the 24 Commission shall be construed as granting a monopoly or 25 exclusive privilege, immunity or franchise. The issuance of a 26 Certificate of Service Authority to any telecommunications 27 carrier shall not preclude the Commission from issuing 28 additional Certificates of Service Authority to other 29 telecommunications carriers providing the same or equivalent 30 service or serving the same geographical area or customers as 31 any previously certified carrier, except to the extent 32 otherwise provided by Sections 13-403 and 13-405. 33 Any certificate of public convenience and necessity 34 granted by the Commission to a telecommunications carrier -3- LRB093 07851 JLS 08040 b 1 prior to the effective date of this Article shall remain in 2 full force and effect, and such carriers need not apply for a 3 Certificate of Service Authority in order to continue 4 offering or providing service to the extent authorized in 5 such certificate of public convenience and necessity. Any 6 such carrier, however, prior to substantially altering the 7 nature or scope of services provided under a certificate of 8 public convenience and necessity, or adding or expanding 9 services beyond the authority contained in such certificate, 10 must apply for a Certificate of Service Authority for such 11 alterations or additions pursuant to the provisions of this 12 Article. 13 The Commission shall review and modify the terms of any 14 certificate of public convenience and necessity issued to a 15 telecommunications carrier prior to the effective date of 16 this Article in order to ensure its conformity with the 17 requirements and policies of this Article. Any Certificate of 18 Service Authority may be altered or modified by the 19 Commission, after notice and hearing, upon its own motion or 20 upon application of the person or company affected. Unless 21 exercised within a period of two years from the issuance 22 thereof, authority conferred by a Certificate of Service 23 Authority shall be null and void. 24 (b) The Commission may issue a temporary Certificate 25 which shall remain in force not to exceed one year in cases 26 of emergency, to assure maintenance of adequate service or to 27 serve particular customers, without notice and hearing, 28 pending the determination of an application for a 29 Certificate, and may by regulation exempt from the 30 requirements of this Section temporary acts or operations for 31 which the issuance of a certificate is not necessary in the 32 public interest and which will not be required therefor. 33 (c) Notwithstanding any of the provisions in this 34 Section and Sections 13-402, 13-403, 13-404, and 13-405, the -4- LRB093 07851 JLS 08040 b 1 Commission shall initiate an investigation and order to show 2 cause to determine whether to revoke all or part of a 3 telecommunications carrier's certificate upon the occurrence 4 of any of the following events: (i) an event (a) indicating 5 that the telecommunications carrier's financial condition has 6 been or may be impaired or (b) causing the telecommunications 7 carrier's financial condition to deteriorate including, but 8 not limited to, the voluntary filing of a bankruptcy petition 9 by, or the involuntary filing of a bankruptcy petition 10 against, the telecommunications carrier or its parent or 11 indirect parent; (ii) a felony conviction under state or 12 federal law of the telecommunications carrier or its parent 13 or indirect parent; (iii) a felony conviction under state or 14 federal law of an officer of the telecommunications carrier 15 or its parent or indirect parent that relates to the 16 provision of telecommunications services; or (iv) failure to 17 comply with the corporate reporting requirements set forth in 18 Sections 13-404, 13-405, and 13-408. The telecommunications 19 carrier shall provide written notice to the Commission within 20 14 days after an event identified in subdivision (c)(i), 21 (c)(ii), or (c)(iii). Should the affected telecommunications 22 carrier fail to provide such notice within such time period, 23 any other telecommunications carrier certified by the 24 Commission to provide service may provide such notice. 25 Promptly upon receiving notice, the Commission shall initiate 26 its investigation by providing written notice thereof to all 27 other telecommunications carriers certified to provide 28 service by the Commission. The Commission shall conclude its 29 investigation within 90 days after the occurrence of any of 30 the events listed in subdivision (c)(i), (c)(ii), (c)(iii), 31 or (c)(iv). 32 In its investigation, the Commission shall consider 33 whether the affected telecommunications carrier continues to 34 possess sufficient technical, financial, and managerial -5- LRB093 07851 JLS 08040 b 1 resources and abilities to continue to provide 2 telecommunications services in the State of Illinois. 3 Relevant to the determination of whether the affected 4 telecommunications carrier continues to possess sufficient 5 financial resources and abilities to provide service in the 6 State of Illinois is its ability to meet on a timely basis 7 any of its ongoing obligations, if any, to other 8 telecommunications carriers. If at the conclusion and as a 9 result of its investigation, the Commission concludes that as 10 a result of the event or events in question, the affected 11 telecommunications carrier no longer possesses sufficient 12 technical, financial, and managerial resources and ability to 13 continue to provide telecommunications services in the State 14 of Illinois, the Commission may revoke the affected 15 telecommunications carrier's certificate in whole or in part 16 or impose conditions and restrictions on its continued 17 exercise consistent with the public interest, convenience, 18 and necessity. 19 (Source: P.A. 87-856.) 20 (220 ILCS 5/13-404) (from Ch. 111 2/3, par. 13-404) 21 (Section scheduled to be repealed on July 1, 2005) 22 Sec. 13-404. Any telecommunications carrier offering or 23 providing the resale of either local exchange or 24 interexchange telecommunications service must first obtain a 25 Certificate of Service Authority. The Commission shall 26 approve an application for a Certificate for the resale of 27 local exchange or interexchange telecommunications service 28 upon a showing by the applicant, and a finding by the 29 Commission, after notice and hearing, that the applicant 30 possesses sufficient technical, financial and managerial 31 resources and abilities to provide the resale of 32 telecommunications service. 33 The Commission shall not grant a waiver from the -6- LRB093 07851 JLS 08040 b 1 requirements of 83 Ill. Adm. Code 710 to any 2 telecommunications carrier granted a certificate for the 3 resale of local exchange service. All telecommunication 4 carriers that provide local exchange service and that have 5 been granted a waiver from 83 Ill. Adm. Code Part 710 prior 6 to the effective date of this amendatory Act of the 93rd 7 General Assembly shall be subject to the requirements of this 8 Act as of January 1, 2004. 9 (Source: P.A. 84-1063.) 10 (220 ILCS 5/13-405) (from Ch. 111 2/3, par. 13-405) 11 (Section scheduled to be repealed on July 1, 2005) 12 Sec. 13-405. Local exchange service authority; approval. 13 The Commission shall approve an application for a Certificate 14 of Exchange Service Authority only upon a showing by the 15 applicant, and a finding by the Commission, after notice and 16 hearing, that the applicant possesses sufficient technical, 17 financial, and managerial resources and abilities to provide 18 local exchange telecommunications service. 19 The Commission shall not grant a waiver from the 20 requirements of 83 Ill. Adm. Code 710 to any 21 telecommunications carrier granted such a certificate. All 22 telecommunication carriers that provide local exchange 23 service and that have been granted a waiver from 83 Ill. Adm. 24 Code Part 710 prior to the effective date of this amendatory 25 Act of the 93rd General Assembly shall be subject to the 26 requirements of this Act as of January 1, 2004. 27 (Source: P.A. 90-185, eff. 7-23-97.) 28 (220 ILCS 5/13-408 new) 29 (Section scheduled to be repealed on July 1, 2005) 30 Sec. 13-408. Annual Reports. Notwithstanding any of the 31 provisions in Section 5-109, the Commission shall require all 32 telecommunications carriers providing retail local exchange -7- LRB093 07851 JLS 08040 b 1 telecommunications service to submit annual reports in the 2 same form and level of detail as any incumbent local exchange 3 carrier, not including its parent, affiliates, or 4 subsidiaries. 5 Section 99. Effective date. This Act takes effect upon 6 becoming law.