Bill Summary – FastDemocracy

State of Alaska
                                                            Fiscal Note
                                                                                             Bill Version:                    CSSB 205(L&C)
 2018 Legislative Session
                                                                                             Fiscal Note Number:              1
                                                                                             (S) Publish Date:                4/4/2018
 Identifier:       SB205-DCCED-RCA-02-23-18                                    Department:       Department of Commerce, Community and
 Title:            TELECOMMUNICATIONS                                                            Economic Development
                   REGULATION/EXEMPTIONS                                       Appropriation: Regulatory Commission of Alaska
 Sponsor:          MEYER                                                       Allocation:       Regulatory Commission of Alaska
 Requester: (S) Labor & Commerce                                               OMB Component Number:              2417
 Expenditures/Revenues
 Note: Amounts do not include inflation unless otherwise noted below.                                                               (Thousands of Dollars)
                                                 Included in
                                    FY2019       Governor's
                                Appropriation      FY2019                                           Out-Year Cost Estimates
                                  Requested       Request
 OPERATING EXPENDITURES               FY 2019        FY 2019       FY 2020                     FY 2021           FY 2022            FY 2023         FY 2024
 Personal Services
 Travel
 Services
 Commodities
 Capital Outlay
 Grants & Benefits
 Miscellaneous
 Total Operating                            0.0           0.0          0.0                           0.0                0.0              0.0              0.0
 Fund Source (Operating Only)
 None
 Total                                            0.0             0.0                 0.0            0.0                0.0              0.0              0.0
 Positions
 Full-time
 Part-time
 Temporary
 Change in Revenues
 None
 Total                                            0.0             0.0                 0.0            0.0                0.0              0.0              0.0
 Estimated SUPPLEMENTAL (FY2018) cost:            0.0                    (separate supplemental appropriation required)
 (discuss reasons and fund source(s) in analysis section)
 Estimated CAPITAL (FY2019) cost:                 0.0                    (separate capital appropriation required)
 (discuss reasons and fund source(s) in analysis section)
 ASSOCIATED REGULATIONS
 Does the bill direct, or will the bill result in, regulation changes adopted by your agency?                Yes
 If yes, by what date are the regulations to be adopted, amended or repealed?                                12/31/23
 Why this fiscal note differs from previous version/comments:
 Not applicable, initial version.
 Prepared By:              Stephen McAlpine                                                                        Phone:         (907)276-6222
 Division:                 Regulatory Commission of Alaska                                                         Date:          02/23/2018
 Approved By:              Catherine Reardon, Director                                                             Date:          02/23/18
 Agency:                   Division of Administrative Services, DCCED
Printed 4/4/2018                                                        Page 1 of 2                                                        Control Code: EkHpj
                                                                                                          CSSB 205(L&C) - Fiscal Note 1
                                                  FISCAL NOTE ANALYSIS
STATE OF ALASKA                                                                    BILL NO. SB 205
2018 LEGISLATIVE SESSION
Analysis
   SB 205 will eliminate most Regulatory Commission of Alaska (RCA) functions pertaining to telecommunications service,
   including its ability to assess whether or not a discrete telecommunications market is competitive and set local rates for
   telecommunication services in noncompetitive markets.
   The RCA would still be required to certificate wireline telecommunications carriers and adjudicate the relinquishment or
   transfer of those certificates. It is not clear whether the bill would impact the RCA's oversight of inmate calling services or
   telecommunication relay services provided to consumers with disabilities.
   The RCA would also continue to act as state liaison with the Federal Communications Commission (FCC), the federal body
   with regulatory responsibility for telecommunications and information services. The RCA will still be required to review
   relevant federal filings related to the provision of telecommunications services within the state by Eligible
   Telecommunications Carriers (ETCs) that it has previously designated or may designate in the future. The RCA will also be
   required to provide annual certifications to the FCC that each designated ETC is using federal universal service funding for
   intended purposes. Additionally, the RCA may be required to address service problems related to state and federal
   Lifeline (a subsidy program providing telecommunications services for lowincome consumers) and address 911
   (emergency service) issues that may arise.
   SB 205 does not repeal AS 42.05.840, the statute allowing the RCA to establish a universal service fund to be used to
   ensure the provision of long distance service at reasonable rates throughout Alaska and to otherwise preserve universal
   service. The RCA will continue to have oversight responsibility for the Alaska Universal Service Fund (the RCA currently has
   a docket open to consider modifications to the Alaska Universal Service Fund).
   Among the retained statutes governing telecommunications service is AS 42.04.100, requiring the RCA to establish a
   Communications Carrier Section to develop, administer, and recommend policies and programs related to
   communications in the state involving wire, cable, radio, and space satellites.
   The RCA expects to implement the provisions of this legislation with existing resources. The Regulatory Cost Charge (RCC)
   adopted by the RCA through regulation funds the agency's annual operating budget. SB 205 eliminates the application of
   the RCC to telecommunication services that currently generate approximately 20 percent of RCC revenue. Consequently,
   the RCC may be raised for other regulated utility sectors (e.g., electric, natural gas, water/wastewater, pipeline, refuse.)
(Revised 9/26/17 OMB/LFD)                                                                                             Page 2 of 2
SB205-DCCED-RCA-02-23-18                                        Page 2 of 2                                                 Control Code: EkHpj
Statutes affected: 
SB0205A, AM SB 205, introduced 02/19/2018: 29.35.070, 42.05.711, 42.05.810, 42.05.141, 42.05.712, 42.05.990, 42.05.995, 42.05.221, 42.05.281, 42.05.296, 42.05.306, 42.05.631, 42.05.641, 42.05.830, 42.05.840, 42.05.860, 42.05.820, 29.35.060, 42.05.890, 42.05.800, 42.05.145, 42.05.325, 42.05.850
SB0205B, AM CSSB 205(L&C), introduced 04/04/2018, passed Senate 04/09/2018: 29.35.070, 42.05.711, 42.05.810, 42.05.141, 42.05.712, 42.05.990, 42.05.995, 42.05.211, 42.05.175, 42.05.254, 42.04.070, 44.23.020, 42.05.221, 42.05.281, 42.05.296, 42.05.306, 42.05.631, 42.05.641, 42.05.830, 42.05.860, 42.05.820, 29.35.060, 42.05.890, 42.05.800, 42.06.286