New bill in Ill. legislature (SB-69) would rewrite state’s teleco...

rates for 2 years. Optional and discretionary residential service rates would be deregulated immediately. Bill would free Ameritech from most other current regulatory requirements for business service, but carrier still would have residential infrastructure, service quality and universal service obligations. Measure drew immediate attack from consumer interests who said Ameritech’s dismal service quality record last year showed company needed more regulation, not less. Rauschenberger said he doubted bill would pass in current form, but agreed to sponsor pro-Ameritech legislation to get phone issues on table. He said current state phone law, passed in 1985 and expiring this year, no longer works: “Fines don’t change a large company’s behavior. We need to give incentives to invest in our [telecom] infrastructure.” He called bill “starting point” for months of work before anything is passed. State Rep. Steve Davis (D-Benthalo) said he would introduce similar pro-Ameritech deregulation bill in House. He said Ameritech was only company willing to serve rural areas, but said “we're open to compromise and negotiation” on measure. Consumer groups vowed to fight any major deregulation of Ameritech. Ill. Citizens Utility Board called current bill “Ameritech’s wish list which, if passed, would choke off what little competition Ameritech now faces in the state.” CLEC-supported Ill. Coalition for Competitive Telecom called bill “outrageous.” Group said Ameritech had gall to ask for sweeping deregulation after putting state through “the worst utility service problem in our history.” But Connect Illinois, an Ameritech-backed business/industry coalition, said that unless Ameritech’s regulation were loosened further, state’s business users would continue to suffer from declines in telecom infrastructure.