86-145.

No local competition; rate review initiated by subscriber complaint.

(1) Basic local exchange rates increased by any telecommunications company pursuant to section 86-144 shall be reviewed by the commission only upon formal complaint. The complaint shall specifically set forth the particular rate as to which review is requested, the reasons for the requested review, and the relief which the complainants desire. The complaint shall be signed by (a) five percent of all affected subscribers if the telecommunications company has up to fifty thousand access lines affected by the rate increase, (b) three percent of all affected subscribers if the telecommunications company has fifty thousand but not more than two hundred fifty thousand access lines affected by the rate increase, or (c) two percent of all affected subscribers if the telecommunications company has more than two hundred fifty thousand access lines affected by the rate increase.

(2) If a proper complaint is presented to the commission within ninety days from the date notice of the rate change was sent to affected subscribers of a telecommunications company that has up to fifty thousand access lines in service or within one hundred twenty days from the date notice of the rate change was sent to affected subscribers of a telecommunications company that has fifty thousand or more access lines in service, the commission (a) shall accept and file the complaint, (b) upon proper notice, may suspend the rates at issue during the pendency of the proceedings and reinstate the rates previously in effect, and (c) shall hold and complete a hearing thereon within ninety days after filing to determine if the rates as proposed are fair, just, and reasonable.

(3) The commission may, within sixty days after close of the hearing, enter an order adjusting the rates at issue, except that the commission shall not set any rate below the actual cost of providing such service, which may include a reasonable profit, as established by the evidence received at the hearing. In such order, the commission may order a refund of amounts collected in excess of the rates as approved at the hearing which may be reimbursed as a credit against billings for future services.

(4) A telecommunications company shall not increase its basic local exchange rates without the approval of the commission for six months from the date the commission enters an order pursuant to subsection (3) of this section. If the complaint is denied, the commission shall enter an order denying the complaint within sixty days after the close of the hearing, and the rates proposed by the telecommunications company shall be deemed approved for all purposes, including for purposes of appeal.

(5) For purposes of this section, actual cost includes a ratable portion of administrative expenses and overhead incurred by the telecommunications company in its operations and the appropriate amortization of previously deferred accounting costs.