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Code · Kentucky · Kentucky Revised Statutes

278.514 Exempted service not to be subsidized by nonexempted, regulated

194 words·~1 min read·/ky/278-514

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telecommunications services.
(1)Revenues derived from nonexempted, regulated telecommunications services,
whether essential or nonessential, shall not be used to subsidize or otherwise give
advantage to any person providing an exempted service. The commission shall
require a provider of any exempted service to keep separate accounts, to allocate
cost in accordance with procedures established by the commission, and may require
other acts that will assist the commission in enforcing this section. Any person
requesting an exemption or providing a service exempted pursuant to KRS 278.512
shall have the burden of proof to show compliance with this requirement.
(a)Except as provided in subsection (2)(b) of this section, any
telecommunications utility that willfully violates subsection
(1)of this section
shall be subject to a penalty no greater than the revenue requirement effect of
moneys determined to have been misallocated in the violation. For the
purpose of calculating the penalty under this section, the commission shall not
use a period longer than five
(5)years.
(b)A local exchange carrier with fewer than thirty-five thousand (35,000) access
lines who willfully violates subsection
(1)of this section shall be subject to
the penalties prescribed in KRS 278.990(1).
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