HF4052 (Legislative Session 94 (2025-2026))
Various provisions governing telephone company regulation, infrastructure and railroad crossings, pricing plans, service classification, and reporting requirements modified and clarified.
Related bill: SF4496
AI Generated Summary
Purpose
- Modernize and clarify Minnesota’s telecommunications regulatory framework. The bill aims to update how telephone companies are overseen, including rules around tracer requests, reporting, pricing, and customer disclosures. It also introduces new programs for universal service discounts and state government pricing plans, while repealing various outdated or overlapping provisions.
Main Provisions and What the Bill Seeks to Accomplish
Tracer Harassment and Law Enforcement Access
- The Public Utilities Commission (PUC) would adopt rules about how telephone companies respond to tracer requests from people who report harassing calls.
- Rules would specify when a tracer request can be denied or delayed.
- Telecommunications equipment must allow authorized law enforcement to access call-identifying information in line with federal law (US Code title 47, sections 1001–1010).
Records, Reporting, and Agency Access
- Every Minnesota telephone company must maintain an office in the state and file required reports with the PUC.
- All books and records related to services (competitive and noncompetitive) are subject to inspection.
- Annual reporting requirements include a balance sheet and other data; local and competitive local carriers have some simplified reporting (e.g., name, contact, revenue, 911 update plan).
- If a company fails to file, the department can examine its books and prepare the required data, with the company covering related costs.
Universal Service Discount for Schools and Libraries
- The Commission would establish intrastate discounts to help schools and libraries obtain federally supported discounts (ERATE).
- Eligible schools, districts, and libraries could receive discounts aligned with the ERATE program (47 U.S.C. §254 and FCC Part 54).
Customer Pricing Notices to Residential Customers
- Telephone companies must notify residential customers about the price for all service options at key times:
- When a customer first requests service
- When the customer requests a service change
- Whenever the customer requests it
Customer Notice and Electronic Billing
- A customer notice requirement can be delivered via paper or electronic methods if the customer affirmatively opts in to electronic billing or communication.
- Notices must be clear and accessible, and customers must be able to request a paper copy of pricing information.
Repeal of Numerous Existing Provisions
- The bill repeals a broad set of statutes related to coin-operated or public pay telephones and various regulatory provisions (many sections and subdivisions listed in the bill).
- The repeal aims to remove outdated rules and align with new regulatory approaches.
State Government and Tribal Pricing Plans
- The bill authorizes and sets conditions for state government or Tribal government telecommunications pricing plans.
- Plans may offer basic or advanced services at discounted rates for state/tribal entities and must be reviewed and approved by the PUC to ensure they are in the public interest and below applicable tariffed rates.
- Plans are for the entities’ own use and are not intended for resale.
Rate Regulation, Pricing, and Rate Change Procedures
- The bill includes mechanisms around rate changes, including interim rates, hearings, and the burden of proof on the provider.
- It allows for special pricing for noncompetitive or emerging-competition services under certain conditions.
- Interim rate refunds may be ordered if interim rates differ from final determinations.
Intervenor Reimbursement and Costs
- The Commission may reimburse intervenors in rate cases up to a limit (up to $20,000 per intervention) if the intervenor materially aids the process and lacks funds to participate.
Universal Service Fund
- The Commission would establish and administer a universal service fund funded by all providers of telephone services to help preserve universal service access across the state.
- The fund would be coordinated with federal programs and other universal service requirements.
Depreciation, Amortization, and Related Financial Rules
- The Commission could set depreciation and amortization rates for purposes of rate proceedings and universal service support levels.
- Other related financial considerations (e.g., exclusion of certain advertising, limits on charitable contributions) are addressed.
Other Provisions
- Provisions related to rates for officers or employees, department investigations, and the authority to conduct hearings and appoint staff for investigations are included.
- The bill references ongoing regulatory concepts like rate design, revenue requirements, and cost-of-service considerations.
Significant Changes to Existing Law
- Major expansion and clarification of consumer-facing disclosures and protections (pricing notices, tracer response rules).
- Introduction of explicit universal service support for schools/libraries and a structured state/Tribal pricing plan framework.
- Creation of new or revised pathways for pricing plans and rate changes, including a formal process for interim rates and refunds.
- Broad repeal of a large set of older statutes governing coin-operated pay telephones and various rate-regulation regimes, simplifying or retiring outdated rules.
- Reallocation of regulatory focus toward modernized pricing, reporting, and service-disclosure practices, with new authorities for the Commission and the Department of Commerce.
Repeals and Appendix (What is Being Deleted)
- Repeals include numerous sections and subdivisions related to older rate rules, pricing, and operations (e.g., 237.036, 237.06, 237.065, 237.066, 237.067, 237.07, 237.071, 237.072, 237.075, 237.14, 237.15, 237.16, 237.22, 237.231, 237.46, 237.59, 237.66, 237.75, 237.766, 237.768, 237.772, 237.775, among others).
- Appendix repeals coin-operated or public pay telephones provisions, including ownership/operation rules, posting requirements, access to 911 and relay services, and pricing information disclosures.
Appendix Topic
- Coin-operated or public pay telephones: prior rules about no need for commission approval to site or modify service offerings, registration requirements, and public-interest protections are repealed and replaced by the broader modern framework above.
Potential Impacts
- Consumers: more transparent pricing disclosures; clearer expectations for service options and pricing; enhanced protections around tracer requests and emergency access.
- Schools and libraries: potential access to federally supported discounts via ERATE-compatible programs, with intrastate discounts aligned to federal supports.
- Government and tribal entities: new or clarified pricing plans offering discounted services for own-use needs, subject to regulator review.
- Telephone providers: changes to reporting, pricing, and rate-change processes; potential new costs related to reporting, regulatory compliance, and interventional costs.
- Regulators: expanded authority to oversee pricing plans, universal service funding, and modernized service requirements; ongoing assessment of rates, depreciation, and revenue requirements.
Note on Terminology
- Tracer, harassing telephone calls, call-identifying information, United States Code title 47, sections 1001–1010, ERATE, Universal Service Administrative Company, 254 and FCC Part 54, Public Utilities Commission (PUC), Department of Commerce, emerging competition, rate design, revenue requirements, test year, cost of capital, depreciation, amortization, interim rate, universal service fund, noncompetitive services, services subject to emerging competition, pricing plans, and pricing notices are key terms embedded in the bill.
Relevant Terms - tracer harassing telephone calls - call-identifying information - United States Code title 47 sections 1001–1010 - ERATE - Universal Service Administrative Company - public utilities commission (PUC) - Department of Commerce - state government pricing plans - Tribal government pricing plans - emerging competition - rate design - revenue requirements - test year - cost of capital - depreciation - amortization - interim rate - universal service fund - coin-operated pay telephone - 911 access - telecommunications pricing notices - electronic billing - rebilling and refunds - intervenor reimbursement
Bill text versions
- Introduction PDF PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 09, 2026 | House | Action | Introduction and first reading, referred to | Commerce Finance and Policy |
Citations
[
{
"analysis": {
"added": [],
"removed": [],
"summary": "Amends tracer harassing telephone call rules to require coordination with law enforcement and reference to federal interception standards.",
"modified": []
},
"citation": "237.069",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Amends requirements for inspecting records and reports by telephone companies, including annual reporting and 911 update plan considerations.",
"modified": []
},
"citation": "237.11",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Establishes intrastate universal service discounts for schools and libraries aligned with federal ERATE (47 U.S.C. § 254; 47 C.F.R. Part 54).",
"modified": []
},
"citation": "237.164",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Requires telephone companies to notify residential customers of pricing for all service options at key interaction points.",
"modified": []
},
"citation": "237.66",
"subdivision": "Subd.4"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Permits customer notice to be provided electronically if opt-in and accessibility requirements are met, including paper copy option.",
"modified": []
},
"citation": "237.66",
"subdivision": "Subd.5"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Repeals coin-operated or public pay telephones provisions.",
"modified": []
},
"citation": "237.036",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Retains general rate/deposit provisions and fairness standards for intrastate service.",
"modified": []
},
"citation": "237.06",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Rate for school or purchasing cooperative: requires reduced or specific school rates and related provisions.",
"modified": []
},
"citation": "237.065",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "State government pricing plans authorizing discounted or reduced-rate services for listed entities; outlines plan applicability and commission review.",
"modified": []
},
"citation": "237.066",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Establishment exemption from regulation for certain establishments providing telephone service to patrons, with related requirements.",
"modified": []
},
"citation": "237.067",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Filing requirements related to rates, charges, and service classifications; separate pricing rules for emerging competition.",
"modified": []
},
"citation": "237.07",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Special pricing provisions allowing nonuniform pricing where justified by cost differences.",
"modified": []
},
"citation": "237.071",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Limitation on rate change for incumbent telephone companies with large Minnesota customer bases; revenue requirement considerations.",
"modified": []
},
"citation": "237.072",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Rate change procedures requiring 60 days' notice and municipality/county notification; schedules filed with commission.",
"modified": []
},
"citation": "237.075",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Rate for service to officers, agents, or employees; obligation to charge full rates to others.",
"modified": []
},
"citation": "237.14",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Delegates department authority for investigations and hearings, including appointment of staff.",
"modified": []
},
"citation": "237.15",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Local exchange competition rules.",
"modified": []
},
"citation": "237.16",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Depreciation and amortization provisions for rate proceedings.",
"modified": []
},
"citation": "237.22",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Additional telecommunications regulation provisions (as listed in the repeal section).",
"modified": []
},
"citation": "237.231",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "General regulatory provisions within the repealed/deprecated sections.",
"modified": []
},
"citation": "237.46",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Additional regulatory provisions included in the repealer.",
"modified": []
},
"citation": "237.59",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Repealed; previously related to pricing or service level provisions.",
"modified": []
},
"citation": "237.75",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Repealed: statutory provisions related to specific rate regulation or pricing structures.",
"modified": []
},
"citation": "237.766",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Repealed: statutory provisions related to specific rate regulation or pricing structures.",
"modified": []
},
"citation": "237.768",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Repealed: statutory provisions related to specific rate regulation or pricing structures.",
"modified": []
},
"citation": "237.772",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Repealed: statutory provisions related to specific rate regulation or pricing structures.",
"modified": []
},
"citation": "237.775",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Pricing for school facilities; price reductions or discounts for specified subdivisions of 120A.05.",
"modified": []
},
"citation": "120A.05",
"subdivision": "Subd.9"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Pricing for schools/libraries in purchasing cooperatives; participation and resale restrictions.",
"modified": []
},
"citation": "120A.05",
"subdivision": "Subd.11"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Pricing for schools/libraries and cooperative purchasing under federal frameworks; agent involvement.",
"modified": []
},
"citation": "120A.05",
"subdivision": "Subd.13"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Pricing for schools/libraries under cooperative purchasing arrangements; resale/sublease restrictions.",
"modified": []
},
"citation": "120A.05",
"subdivision": "Subd.17"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "ERATE-like discounts and school/library service pricing considerations (ERATE link).",
"modified": []
},
"citation": "120A.22",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "ERATE-related discounted or reduced-rate services for schools/libraries; agent authorization considerations.",
"modified": []
},
"citation": "120A.24",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Definition of eligible entities and pricing framework for school/library discounts.",
"modified": []
},
"citation": "120A.41",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Exemption from regulation for certain entities; reference in purchasing/cooperative contexts.",
"modified": []
},
"citation": "308A.210",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Procedures for amendments to articles of incorporation affecting rate regulation status.",
"modified": []
},
"citation": "308A.135",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Election procedures for rate regulation eligibility for various types of corporate entities.",
"modified": []
},
"citation": "302A.133",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Election procedures for rate regulation eligibility for various types of corporate entities.",
"modified": []
},
"citation": "302A.134",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Election procedures for rate regulation eligibility; timing and ballot rules.",
"modified": []
},
"citation": "302A.135",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Election procedures for rate regulation eligibility; timing and ballot rules.",
"modified": []
},
"citation": "302A.136",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Election procedures for rate regulation eligibility; timing and ballot rules.",
"modified": []
},
"citation": "302A.137",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Election procedures for rate regulation eligibility; timing and ballot rules.",
"modified": []
},
"citation": "302A.138",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Election procedures for rate regulation eligibility; timing and ballot rules.",
"modified": []
},
"citation": "302A.139",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Authorizes and outlines duties related to state administration employee compensation plans for pricing.",
"modified": []
},
"citation": "16E.17",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Continues framework for state/tribal pricing plans; review and implementation requirements.",
"modified": []
},
"citation": "16E.18",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Establishment exemption from regulation (definition and applicability) for certain establishments offering telephone service.",
"modified": []
},
"citation": "Minn. Stat. ch. 157",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Reference to general filing requirements within Minnesota statute Chapter 13 (administrative procedure).",
"modified": []
},
"citation": "Chapter 13",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Federal law reference supporting ERATE and universal service provisions.",
"modified": []
},
"citation": "Public Law 104-104",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Reference to federal law governing interception and related processes for tracers.",
"modified": []
},
"citation": "47 U.S.C. § 1001 to § 1010",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Reference to federal universal service requirements tied to ERATE and pricing plans.",
"modified": []
},
"citation": "47 U.S.C. § 254",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Reference to federal regulations implementing universal service discounts for schools and libraries.",
"modified": []
},
"citation": "47 C.F.R. Part 54",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Goals referenced in 237.011 related to state telecommunications policy.",
"modified": []
},
"citation": "Minn. Stat. § 237.011",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Definitions and general provisions relevant to universal service fund and pricing.",
"modified": []
},
"citation": "Minn. Stat. § 237.01",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Election procedures for rate regulation eligibility under corporate structures; part of the 302A series.",
"modified": []
},
"citation": "Minn. Stat. ch. 302A.133",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Finalization of rate regulation elections under 302A series.",
"modified": []
},
"citation": "Minn. Stat. ch. 302A.139",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Exemption conditions for establishments providing telephone service; cross-reference with licensing provisions.",
"modified": []
},
"citation": "Minn. Stat. ch. 157",
"subdivision": ""
}
]Progress through the legislative process
In Committee