HBA-KDB H.B. 3435 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3435 By: Merritt State Affairs 4/11/2001 Introduced BACKGROUND AND PURPOSE Under current law, the Public Utility Commission (PUC) is authorized to order one or more local exchange companies that are dominant carriers to provide mandatory extended area telecommunication service in a metropolitan area. However, smaller exchanges, such as the town of Kilgore, do not receive mandatory extended area service because the PUC does not currently have the authority to order local exchange companies to provide such a service. House Bill 3435 authorizes the PUC to order mandatory extended area telecommunication service in specific exchanges that have more than 10,000 but fewer than 20,000 access lines. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 3435 amends the Utilities Code to authorize the Public Utility Commission (PUC) to order mandatory extended area service in specific changes if the PUC receives a signed petition or resolution, there is a sufficient interest between the petitioners and requested exchanges, the incumbent local exchange company can reasonably provide the service, and the proposed calling area has a single, continuous boundary and includes not more than four exchanges. The bill specifies requirements for the petition or resolution. These provisions apply only to an exchange that has more than 10,000 access lines but fewer than 20,000 access lines. EFFECTIVE DATE September 1, 2001.