SENATE JOINT RESOLUTION NO. 15
INTRODUCED BY E. STONINGTON
A JOINT RESOLUTION OF THE SENATE AND THE HOUSE OF REPRESENTATIVES OF THE STATE OF MONTANA REQUESTING THE LEGISLATIVE COUNCIL TO DESIGNATE AN APPROPRIATE INTERIM COMMITTEE OR DIRECT SUFFICIENT STAFF RESOURCES TO STUDY THE COMPETITIVENESS OF THE EXISTING TELECOMMUNICATIONS MARKET IN MONTANA WITH SPECIFIC ATTENTION TO THE DIFFERENCES THAT EXIST BETWEEN PRIVATE, FOR-PROFIT TELECOMMUNICATIONS COMPANIES AND TELEPHONE COOPERATIVES IN THE AREAS OF REGULATION, TAX TREATMENT, AND RECEIPT AND USE OF FEDERAL UNIVERSAL SERVICE FUNDS; AND REQUIRING A REPORT TO THE 58TH LEGISLATURE.
WHEREAS, the federal Telecommunications Act of 1996 and Senate Bill No. 89, Chapter 349, Laws of 1997, laid the foundation for increased competition in the Montana telecommunications industry; and
WHEREAS, advanced telecommunications services have become a vital component of the ability of the business community and private citizens to bridge distances to regional and global markets; and
WHEREAS, the rapid development of more effective and efficient methods of providing telecommunications outpaces the current regulatory process and review of telecommunications services; and
WHEREAS, private, for-profit telecommunications companies doing business in Montana and companies contemplating entering the telecommunications market in Montana are regulated by the Public Service Commission, pay higher property tax rates if centrally assessed, pay income and excise taxes, and generally do not receive as much support from the federal universal service fund as telephone cooperatives; and
WHEREAS, it is fundamental to the public policy of this state to ensure the protection of universal service for rural telephone customers and to establish and ensure that the competitive environment in the state's telecommunications industry is level, fair, and equitable and does not provide a competitive advantage to any one type of business entity over any other; and
WHEREAS, the public policy of this state should ensure the fair and equitable assessment of taxes on telecommunications property and an overall telecommunications tax structure that does not result in an advantage or disadvantage to any telecommunications company in a competitive environment and protects the tax base of the state from abuse and erosion; and
WHEREAS, a level, competitive playing field in Montana will promote private investment in telecommunications infrastructure of the state, encourage continued infusion of capital into the state's telecommunications marketplace, and encourage new entrepreneurial activities in the state's telecommunications industry, including the development of efficient, unsubsidized private sector competition and investments in new and advanced services.
NOW, THEREFORE, BE IT RESOLVED BY THE SENATE AND THE HOUSE OF REPRESENTATIVES OF THE STATE OF MONTANA:
That the Legislative Council be requested to designate an appropriate interim committee, pursuant to section 5-5-217, MCA, or direct sufficient staff resources to study the existing competitive marketplace in the Montana telecommunications industry, including but not limited to:
(1) the rationale for the differences in property tax rates applied to telephone cooperatives and centrally assessed telecommunications companies;
(2) compliance with and the collection of the telecommunications excise tax;
(3) the presence and extent of existing and potential subsidized competition in the provision of telecommunications services;
(4) the regulatory framework currently governing the telecommunications industry and whether changes in scope or purpose are necessary to ensure adequate consumer protection and choice and the economic viability of existing and future telecommunications services providers;
(5) policies or statutes that create barriers to entry into the Montana telecommunications marketplace;
(6) the long-term impacts or effects that a competitive marketplace in the telecommunications arena may have on the state tax base;
(7) the effectiveness and appropriateness of state-sponsored financial incentives to spur telecommunications infrastructure development, including a review of:
(a) whether the advanced telecommunications infrastructure development tax credit should be retained, expanded, or eliminated; and
(b) the viability of additional grant or loan programs;
(8) conditions where public-private partnerships may improve public access to advanced telecommunications infrastructure in unserved or underserved areas;
(9) strategies and initiatives to aggregate demand for advanced telecommunications services in high-cost areas;
(10) the role of telecommunications services providers in expanding economic development efforts and the state's position in the global marketplace; and
(11) disincentives for private investments in advanced telecommunications infrastructure and services.
BE IT FURTHER RESOLVED, that interested citizens and individuals and groups with specialized expertise in telecommunications be encouraged to participate in the study.
BE IT FURTHER RESOLVED, that, if the study is assigned to staff, any findings or conclusions be presented to and reviewed by an appropriate committee designated by the Legislative Council.
BE IT FURTHER RESOLVED, that all aspects of the study, including presentation and review requirements, be concluded prior to September 15, 2002.
BE IT FURTHER RESOLVED, that the final results of the study, including any findings, conclusions, comments, or recommendations of the appropriate committee, be reported to the 58th Legislature.
- END -
Latest Version of SJ 15 (SJ0015.01)
Processed for the Web on February 12, 2001 (5:46PM)
New language in a bill appears underlined, deleted material appears stricken.
Sponsor names are handwritten on introduced bills, hence do not appear on the bill until it is reprinted. See the status of this bill for the bill's primary sponsor.
Status of this Bill | 2001 Legislature | Leg. Branch Home
All versions of this bill (PDF Format)
Authorized print version w/line numbers (PDF format)
(406)444-3064