LETTERS: TELECOMMUNICATIONS BILL NEEDS APPROVAL

To the editor:

The future of telecommunications is much closer than you think. The Missouri Senate has passed a bill that, if passed by the House, would bring consumers all the advantages of full and fair competition. Passage of the Telecommunications Act of 1996 in Washington, D.C., paved the way for states to determine just how they would ensure the benefits promised by sweeping reform. The telephone industry, consumer advocates, the Missouri Public Service Commission and others reached an agreement on how to do this in Missouri. That agreement is a great example of how government and private industry should work together for the common good.

The proposed bill guarantees that no Southwestern Bell Telephone customer in the state will see an increase in basic local service until the year 2000. That is nearly 75 percent of the state. After that period, rates could possible go up, but only by the most conservative margins, as any proposed increase would have to be tied to a national average of telecommunications prices, a further protection for consumers. Of course, saying rates could go up does not mean that they actually will. The whole intent of this bill is to encourage open competition, and competition tends to drive prices toward costs, not the other way. So for many consumers, prices should go down.

Consumers are further protected by a price cap on even non-basic services such as caller ID and call waiting until Jan. 1, 1999, or until competition develops in their area. After that, once again, prices could go up but won't necessarily, due to the advent of competition to deliver these popular services.

Another key component of the bill is that it treats all companies the same. No company is advantaged at the expense of another. Each company operates under the same rules, and the local phone companies will be allowed the downward pricing flexibility they need to compete with new entrants.

While no compromise is ever perfect, this bill is an excellent agreement. It is what this state needs to compete with others to make sure Missouri is not left behind in this technological age. There are still some who complain that this bill is not perfect. Those are the people who would not be happy with any agreement. Missouri needs legislation this year. Without it, we lose ground because technology moves very fast. To wait until next year to pass legislation is a lifetime in this industry. Why wait for progress? We have waited long enough for this type of consensus. All the right people have agreed this is the best thing for Missouri. It is up to us to make sure the Missouri House does not sit on its collective hands on this. The House should pass the telecommunications bill just as the Senate did.

SHIRLEY YOUNG

Scott City