ENROLLED
COMMITTEE SUBSTITUTE
FOR
H. B. 4536
(By Delegate Amores)
[Passed March 11, 2006; in effect ninety days from passage.]
AN ACT
to amend the Code of West Virginia, 1931, as amended, by
adding thereto a new section, designated §24-2E-2, relating
generally to improving competition among telephone public
utilities providing landline services to business customers;
limiting termination fees charged by telephone public
utilities for landline service to business customers and
providing method of computing termination fee; specifying how
this act applies to existing landline business customer
services agreements, whether in their original term or in a
rollover term; and providing that act does not apply to
services agreements between two telephone public utilities.
Be it enacted by the Legislature of West Virginia:

That the Code of West Virginia, 1931, as amended, be amended
by adding thereto a new section, designated §24-2E-2, to read as
follows:
ARTICLE 2E. REQUIREMENTS FOR PHONE SERVICE SALES.
§24-2E-2. Telephone services agreements.

(a) Limitation on termination fees. -- On and after the
effective date of this section, no telephone public utility may, in
connection with its continued provision of landline telephone
service pursuant to an automatic renewal provision contained in a
customer service agreement with a business customer, impose a
termination fee that is greater than the charges for one month's
service, which fee shall be computed by averaging the service
charges invoiced to the terminating customer during the preceding
four months.

(b) Service agreements already automatically renewed. -- If,
as of the effective date of this section, a telephone public
utility is providing landline telephone service to a customer
pursuant to an automatic renewal provision contained in a customer
service agreement with a business customer, the telephone public
utility may not impose a termination fee that is greater than the
charges for two months' service, which fee shall be computed by
averaging the service charges invoiced to the terminating customer
during the preceding four months.

(c) Limitation on applicability. --

(1) Nothing herein shall be construed as preventing a
telephone public utility and its business customers from entering
into customer service agreements, governing, among other matters, any termination fee that may be imposed on the customer for
terminating the service agreement during its initial term.

(2) The provisions of this section do not apply to service
agreements between one telephone public utility and another
telephone public utility.