From Deseret News archives:

Everybody's business

Utah Legislature to tackle variety of issues that affect state's economy, consumers

Published: Saturday, Jan. 15, 2005 5:24 p.m. MST
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Supporters say competitors have those freedoms, but Qwest, the incumbent provider, does not despite facing competition from other wireline companies, cable TV-based telecom providers, wireless companies and Voice over Internet Protocol services. In fact, Utah now has more wireless customers than wireline connections.

Not counting wireless, in places where Qwest faced competition last year, it controlled 74 percent of the market, down from 84 percent in 2001. Its share of the residential market is 85 percent, down from 94 percent in 2001. Its business-market share was dropped from 68 percent to 53 percent.

The bill would call for basic residential service rates — which about 20 percent of Qwest customers have — to be frozen at July 1, 2004, levels, although the Utah Public Service Commission could eliminate that if competitors offer comparable services at comparable prices. Qwest also would be allowed to make promotional offers, something it is prohibited from doing currently.

Qwest's top Utah official told the interim committee that service-quality rules would not be affected by the legislation, the bill would not weaken the commission's oversight duties, and that the commission could revoke pricing freedom under certain circumstances.

An attorney for Comcast has suggested that the bill be broadened to address other telecom competition issues, including those that competitors face in trying to get into Qwest service markets.

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The bill became a committee bill, but legislators emphasized that the vote was not meant necessarily to demonstrate support for it but rather to emphasize the importance that the bill be discussed during the general session.

Promoting promotion

Spend some bucks to recover some bucks.

That's the thinking behind a bill that would increase tourism promotion and, supporters hope, bring in out-of-staters to spend their leisure dollars in the Beehive State.

The bill, which has the blessing of the Workforce Services and Community and Economic Development Interim Committee, would start with a $10 million appropriation the first year, then dwindle by $1 million a year over the next nine years — a total of $55 million over a decade. The money would be used in a variety of ways to promote the state's tourist destinations.

But the bill also contains another funding mechanism using part of increases in tourism-generated tax revenue in later years.

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Alex Nabaum, Deseret Morning News

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