Amend the bill by striking out everything after the enacting clause and before the summary and inserting the following:

summary

This amendment is the majority report of the committee. The amendment removes the provision in the bill regarding penalties for utility misconduct and removes the provision in the bill regarding refunds to local telephone customers to remedy past excessive rates. The amendment adds a provision to the bill to repeal language in current law governing an alternative form of regulation that requires the Public Utilities Commission to ensure that, for the period of the alternative form of regulation, ratepayers may not be required to pay more for local phone service under the alternative form of regulation than they would have under traditional regulation. The amendment preserves the provision in the bill that requires the Public Utilities Commission to conduct a revenue requirement and earnings review of a telephone utility prior to the adoption or renewal of an alternative form of regulation and clarifies that this requirement applies when the alternative form of regulation includes a provision prohibiting a rate case for a set period of time. Finally, the amendment provides an application section to specify that the requirements established in this legislation do not apply to any alternative form of regulation proceeding that is pending on the effective date of this Act.