Michigan Office of Administrative Hearings and Rules  
611 W. Ottawa Street  
Lansing, MI 48909  
Phone: 517-335-8658 Fax: 517-335-9512  
AGENCY REPORT TO THE  
JOINT COMMITEE ON ADMNINISTRATIVE RULES (JCAR)  
1. Agency Information  
Agency name:  
Licensing and Regulatory Affairs  
Division/Bureau/Office:  
Public Service Commission  
Name of person completing this form:  
Lisa Gold  
Phone number of person completing this form:  
517-284-8084  
E-mail of person completing this form:  
Name of Department Regulatory Affairs Officer reviewing this form:  
Elizabeth Arasim  
2. Rule Set Information  
MOAHR assigned rule set number:  
2019-124 LR  
Title of proposed rule set:  
Responsibilities of Providers of Basic Local Exchange Service that Cease to Provide the Service  
3. Purpose for the proposed rules and background:  
MCL 24.242 and 24.245  
Agency Report to JCAR-Page 2  
These rules address the responsibilities of providers of basic local exchange service that cease to  
provide the service to any segment of end users or geographic area; go out of business; or, withdraw  
from the state, including the transfer of customers to other providers and the reclaiming of unused  
telephone numbers. Specifically, the rules address the roles and responsibilities of retail and  
wholesale providers that are involved in interconnection disputes with each other, which may result in  
the disconnection of end-user customers.  
If a wholesale provider cuts off service to a retail provider for non-payment of a  
charge, for example, that action could result in the disruption of service to the end user  
as well, if the end user is not given sufficient advanced warning to seek another retail  
provider. These re-promulgated rules ensure that both the PSC and affected customers  
receive adequate notice of an impending discontinuance of service from a wholesale  
provider and/or a retail provider. The rules also assist the PSC in attempts to resolve disputes  
between providers by requiring that the notice to the PSC contain certain information. The rules also  
address the reclamation of phone numbers used by a provider  
that ceases to provide service.  
In addition to re-promulgating this ruleset, the PSC proposes three minor changes. Two of the  
proposed changes are updates to CFR cites: R 484.1005(4) will be revised to change the “(2016)” to  
“(2018),” and R 484.1006(1) will be revised to reflect the same change. Additionally, R 484.1005  
will be revised to add a new subsection (5) and the remainder of that rule will be renumbered. The  
new subsection (5) will state “(5) If the provider fails to provide the notice under subrule (4) by the  
11th business day, the Commission may post a notice of the discontinuance on its website.” While  
the issue was resolved without disconnection, based upon its experience with a provider who failed to  
make the required notice under R 484.1005(4), the PSC has determined that this addition to the rule  
will be beneficial by allowing the PSC to post the notice on its website and potentially make  
customers aware that a provider is about to cease to provide service.  
4. Summary of proposed rules:  
This is a re-promulgation of existing rules. The rules address the responsibilities of providers of basic  
local exchange service that cease to provide the service to any segment of end users or geographic  
area, go out of business, or withdraw from the state, including the transfer of customers to other  
providers and the reclaiming of unused telephone numbers. Specifically, they address the roles and  
responsibilities of retail and wholesale providers that are involved in interconnection disputes with  
each other, which may result in the disconnection of end user customers.  
For example, if a wholesale provider of basic local exchange service cuts off service to a retail  
provider for non-payment of a charge, that action could result in the disruption of service to the end  
user of the retail provider as well, if the end user is not given sufficient advance warning to seek  
another retail provider. The targeted behavior is the loss of telephone service to a customer, including  
9-1-1 and emergency service, when that customer has not been given sufficient information and  
advance warning that the customer should seek service elsewhere.  
5. List names of newspapers in which the notice of public hearing was published and  
publication dates:  
MCL 24.242 and 24.245  
Agency Report to JCAR-Page 3  
The Oakland Press, July 1, 2020  
Grand Rapids Press, July 1, 2020  
The Mining Journal, July 1, 2020  
6. Date of publication of rules and notice of public hearing in Michigan Register:  
6/1/2020  
7. Date, time, and location of public hearing:  
7/14/2020 09:00 AM at Lake Michigan Hearing Room , 7109 W. Saginaw Hwy, Lansing MI 48909  
8. Provide the link the agency used to post the regulatory impact statement and cost-benefit  
analysis on its website:  
9. List of the name and title of agency representative(s) attending public hearing:  
Wendy Thelen, Manager, Licensing and Competitive Issues Section, Telecom Division  
Monica M. Stephens, Assistant Attorney General  
Lisa Gold, Regulatory Affairs Division  
10. Persons submitting comments of support:  
None  
11. Persons submitting comments of opposition:  
None  
12. Identify any changes made to the proposed rules based on comments received during the  
public comment period:  
Name &  
Organization public hearing  
Comments made at Written  
Comments  
Agency Rationale Rule number  
for change  
& citation  
changed  
None  
1
None  
None  
None  
13.Date report completed:  
8/25/2020  
MCL 24.242 and 24.245  
;