Kasich bill provides for abandoning landline service

By Marc Kovac | February 21, 2015 at 12:02a.m.

COLUMBUS

Telephone companies would be allowed to abandon local landline services in areas where “reasonable and comparatively priced voice service” options are available to residents, under a provision included in Gov. John Kasich’s biennial budget proposal.

The language is altered from similar provisions included in separate legislation late last year that the governor threatened to veto.

This time, however, the administration says the proposed law change provides adequate protections to ensure Ohioans have access to some type of local phone service.

“Unlike the language discussed during lame duck, this provision will ensure impacted residents will have access to a reasonable and comparatively priced voice service in areas where no other alternatives exist,” Rob Nichols, the governor’s spokesman, said in a released statement.

The landline issue has prompted debate in recent legislative sessions.

Backers of abandoning such local services say the move would help bring Internet access to rural areas, as companies shift their resources to wireless and other communications technologies.

Opponents say the move would force Ohioans in rural areas to rely solely on wireless services, without price controls or guarantees for low-income residents. Wireless services, they add, aren’t available in some parts of the state.

Under the language included in Kasich’s two-year spending plan, companies would be allowed to abandon local exchange service if federal regulators allow it.

Carriers would have to provide notice within 120 days to the state’s Public Utilities Commission of Ohio and any customers who would be affected.

The latter could appeal the decision to PUCO if no other “reasonable and comparatively priced voice services” are available, according to an analysis by the state’s Legislative Service Commission.

PUCO also could order providers withdrawing or abandoning landline service to provide customers with “a reasonable and comparatively priced voice service.”