86-1604.

Local exchange carrier; exchange; deregulation; procedure; effect.

(1) Notwithstanding any other provisions of Chapters 75 and 86, only an electing local exchange carrier may initiate a proceeding to deregulate one of such carrier's exchanges. The commission may hold a hearing on the application and receive testimony from the applicant and any other interested person. No later than one hundred twenty days after the date the commission receives an application to initiate such proceeding, the commission shall determine whether the regulated exchange should be deregulated or remain regulated and issue a final order classifying the exchange in accordance with this section. An electing local exchange carrier may file an application with the commission to deregulate an exchange of the carrier that the commission previously determined should remain regulated upon a material change in the exchange including the entrance of additional carriers providing voice communications service by carriers previously operating in the exchange. The commission may set an application fee at an amount to cover the commission's cost of processing such application.

(2)(a) In making a determination under subsection (1) of this section, the commission shall presume that an exchange is competitive and that deregulation of the exchange is in the public interest if, in addition to the electing local exchange carrier, there are at least two other carriers, including one wireline or cable carrier, providing voice communications service in at least ninety percent of the household locations outside of tribal areas known at the time of application in the exchange. The presumption may be rebutted by evidence sufficient to determine that:

(i) More than ten percent of the household locations outside of tribal areas known at the time of application in the exchange do not have, in addition to the electing local exchange carrier, at least two other carriers, including one wireline or cable carrier, providing voice communications service; or

(ii) Household locations outside of tribal areas known at the time of application in the exchange have no carrier other than the electing local exchange carrier capable of providing voice communications service to locations known at the time of application. For purposes of this subdivision (2)(a)(ii), voice communications shall not include the transmission, conveyance, or routing of real-time, two-way voice communications to a point or between or among points by or through satellite.

(b) In making a determination under subsection (1) of this section, the commission may determine that an exchange should be deregulated if, in addition to the electing local exchange carrier, at least two other carriers are providing, or are capable of providing, voice communications service in at least seventy-five percent of the household locations outside of tribal areas known at the time of application in the exchange.

(c) In determining whether household locations are capable of being provided voice communications services by a carrier other than the electing local exchange carrier, the commission shall consider evidence related to vacant locations, declination of service to the location, and other evidence related to inaccuracies in the Federal Communications Commission's Broadband Data Collection or other data related to service capability for the location.

(d) For the purposes of this subsection, an electing local exchange carrier may rely on data available to the carrier regarding the voice communications service capability, including, but not limited to, data from the Federal Communications Commission's Broadband Data Collection that is available at the time of the application.

(e) If the commission deregulates an exchange under this section and the deregulation results in a regulated carrier no longer regulated or a transitioning carrier no longer meeting the definition of a transitioning carrier, the commission shall issue an order reclassifying such carrier as a deregulated carrier.