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Senate refines telecom rate-freeze bill, sets 1996 as base year after lengthy floor debate
Summary
Senators amended and advanced first substitute S.B. 13, changing the telecommunications rate framework to use a 1996 test period as the base and adding narrowly defined exceptions; supporters said it preserves commission authority while opponents warned of reduced discretion and upward rate pressure.
Senator Steele moved the first substitute of S.B. 13 onto the floor and led an extended debate that resulted in amendments narrowing the bill’s base year and clarifying exceptions to a revenue‑neutral rule for the public service commission.
Steele and backers argued the substitute focuses the rate-freeze framework and prevents future projections from being used as a base; he proposed amendments to make the rate proceeding "based on a 1996 test period" and to exclude certain time-frame changes considered earlier in committee. Proponents said the changes respond to competitive changes in telecommunications since 1995 and protect the system and network while preserving the commission’s final authority.
Opponents, including senators who represent competitive carriers and consumer interests, said the exceptions listed tended to be ones likely to push rates up and not down; they expressed concern the measure would limit commission discretion and pointed to the need for carrier and commission input. Senator Blackham and others said the amendments improved the bill but still left questions; several senators said they would vote for the amendments to permit further review.
The Senate adopted the amendment specifying a 1996 test period and accepted the substitute for placement on the third‑reading calendar. Sponsors said carriers and the public service commission would continue meetings to work out details.
What happens next: The bill was placed on the third‑reading calendar; senators requested additional engagement with carriers and commission staff before final passage.
