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Legislative counsel outlines ‘carrier of last resort’ obligations and tax/fee issues for telecom providers
Summary
A Legislative Council briefing explained the century‑old concept of carrier of last resort (COLR) obligations, how those obligations intersect with fiber upgrades, federal universal‑service subsidies and state taxation and right‑of‑way fee issues.
On April 3 Maria Royal of the Legislative Council briefed the House Energy and Digital Infrastructure Committee on the concept of a carrier of last resort (COLR) and related regulatory and fiscal issues for telecommunications providers. Royal explained that COLR obligations historically require incumbent local exchange carriers to provide voice service to customers within their service territory and that states determine how and when those obligations change.
Royal told the committee that Vermont’s incumbent local exchange carriers (the state’s consolidated and eight independent carriers) are treated as carriers of last resort and thus must provide voice service to new builds and customers in their service territories unless and until they receive Public Utility Commission approval to discontinue service. She described how technological change—particularly the move…
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