Whereas, the Public Utilities Commission is proposing to adopt changes to its rules that will go into effect well before the Legislature adjourns and that are not designated as major substantive rules requiring approval by the Legislature before taking effect; and

Whereas, the proposed rule changes will require that the State's incumbent local exchange carriers reduce the level of their in-state access rates and, in most cases, significantly increase the level of their basic local exchange telephone rates; and

Whereas, as a result of federal and state access-rate policies, local customers are experiencing significant increases in local rates without corresponding reduction in toll rates; and

Whereas, the increases in local exchange rates increase the threat to the State's universal service priorities, particularly in rural areas of the State; and

Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 35-A MRSA §7101-B, sub-§2, as enacted by PL 1997, c. 259, §1, is repealed and the following enacted in its place:

2.__Access rates.__After any decrease of interstate access rates by the Federal Government, the commission shall consider corresponding reductions in intrastate access rates, taking into account both the disadvantages to customers of intrastate access rates that exceed interstate access rates and the disadvantages to customers of increases in rates for local telephone service that may result from reductions in intrastate access rates.__Within any 2-year period, the commission may not require an access rate reduction that results in an increase of more than 10% in the price of local telephone service or that results in an increase of more than 10% in the collection rate for the state universal service fund.__The commission may adopt rules to implement this subsection.__Rules adopted pursuant to this subsection are major substantive rules as defined in Title 5, chapter 375, subchapter 2-A.