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Question 1 of 30
1. Question
A telecommunications provider in North Dakota begins offering a new broadband internet service that utilizes advanced fiber optic technology, presenting a significant upgrade over existing copper-based infrastructure. Multiple other providers also offer similar fiber optic services within the same geographic area, leading to robust market competition. Despite this competitive landscape, what is the necessary procedural step for this new fiber optic service to be officially classified as a “competitive telecommunications service” exempt from certain North Dakota Public Service Commission (PSC) regulations, such as rate approval, according to North Dakota Century Code Chapter 49-20?
Correct
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. Section 49-20-04 outlines the powers of the Public Service Commission (PSC) regarding telecommunications, including the authority to regulate rates, services, and facilities. However, Section 49-20-01.1 provides an exemption for “competitive telecommunications services” from certain regulatory oversight, including rate regulation, if the PSC determines that market conditions provide sufficient competition to protect consumer interests. For a telecommunications service to be considered competitive and thus exempt from certain PSC regulations under North Dakota law, the PSC must make a formal determination. This determination is based on an assessment of market conditions, the availability of alternative providers, and the potential for consumer choice. Without such a PSC finding, a telecommunications service, even if offered by multiple providers, remains subject to the general regulatory framework unless another specific exemption applies. The question hinges on the procedural requirement for regulatory exemption in North Dakota.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. Section 49-20-04 outlines the powers of the Public Service Commission (PSC) regarding telecommunications, including the authority to regulate rates, services, and facilities. However, Section 49-20-01.1 provides an exemption for “competitive telecommunications services” from certain regulatory oversight, including rate regulation, if the PSC determines that market conditions provide sufficient competition to protect consumer interests. For a telecommunications service to be considered competitive and thus exempt from certain PSC regulations under North Dakota law, the PSC must make a formal determination. This determination is based on an assessment of market conditions, the availability of alternative providers, and the potential for consumer choice. Without such a PSC finding, a telecommunications service, even if offered by multiple providers, remains subject to the general regulatory framework unless another specific exemption applies. The question hinges on the procedural requirement for regulatory exemption in North Dakota.
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Question 2 of 30
2. Question
PrairieComm, a newly established telecommunications provider, intends to offer both high-speed broadband internet and traditional voice-over-internet-protocol (VoIP) services exclusively within the geographical boundaries of North Dakota. The company has not yet sought any form of state-level authorization. Under the framework of North Dakota Communications Law, what is the primary regulatory prerequisite for PrairieComm to commence its operations legally within the state?
Correct
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and video. Section 49-20-03 outlines the authority of the North Dakota Public Service Commission (PSC) over such services, including the power to grant certificates of authority. A telecommunications provider operating within North Dakota must obtain a certificate of authority from the PSC unless specifically exempted by statute. Exemptions typically apply to services that are purely intrastate and provided by entities not considered common carriers, or those subject to federal regulation that preempts state oversight. In this scenario, PrairieComm, an entity providing broadband internet and voice services exclusively within North Dakota, is engaging in activities that fall under the definition of telecommunications services. Without any indication of an exemption under North Dakota law, PrairieComm would be required to secure a certificate of authority from the North Dakota PSC to legally operate. The absence of such a certificate would constitute a violation of state regulatory requirements. Therefore, the PSC has the jurisdiction to require PrairieComm to obtain this certificate.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and video. Section 49-20-03 outlines the authority of the North Dakota Public Service Commission (PSC) over such services, including the power to grant certificates of authority. A telecommunications provider operating within North Dakota must obtain a certificate of authority from the PSC unless specifically exempted by statute. Exemptions typically apply to services that are purely intrastate and provided by entities not considered common carriers, or those subject to federal regulation that preempts state oversight. In this scenario, PrairieComm, an entity providing broadband internet and voice services exclusively within North Dakota, is engaging in activities that fall under the definition of telecommunications services. Without any indication of an exemption under North Dakota law, PrairieComm would be required to secure a certificate of authority from the North Dakota PSC to legally operate. The absence of such a certificate would constitute a violation of state regulatory requirements. Therefore, the PSC has the jurisdiction to require PrairieComm to obtain this certificate.
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Question 3 of 30
3. Question
PrairieLink, a newly formed entity, commences operations by offering high-speed internet access to residents in rural Griggs County, North Dakota, a region previously lacking robust broadband connectivity. This service is characterized by the transmission of data packets to and from end-users. Considering North Dakota’s legislative framework for telecommunications and the competitive nature of this new offering, under which of the following regulatory classifications would PrairieLink’s operations in Griggs County most likely fall concerning the oversight by the North Dakota Public Service Commission?
Correct
The North Dakota Century Code, specifically Chapter 49-20, addresses the regulation of telecommunications services. Section 49-20-01.1 defines “telecommunications service” broadly to include the transmission of voice, data, or video signals. When a new telecommunications provider, “PrairieLink,” begins offering competitive broadband internet services in a previously underserved rural area of North Dakota, the core question is which regulatory framework applies. Given that the service is broadband internet, which falls under the broad definition of telecommunications service in North Dakota, and that the state has a general interest in promoting universal service and competition, the Public Service Commission (PSC) would typically have oversight. However, the specific nature of broadband and the evolving regulatory landscape, particularly concerning the classification of internet services, means that while the PSC has general authority over telecommunications, its direct intervention in competitive broadband markets might be limited unless specific state statutes or federal preemption issues arise. The North Dakota Legislature has also passed legislation aimed at fostering broadband deployment, which often involves collaboration with local entities and private providers, rather than direct rate-setting or service mandates for competitive services. Therefore, the most accurate characterization of the PSC’s role in this scenario, considering North Dakota’s statutory framework and the competitive nature of the offering, is to ensure compliance with general telecommunications regulations and potentially facilitate broadband deployment initiatives without necessarily imposing traditional utility-style regulation on a competitive market. The concept of “public utility” classification is key here; if PrairieLink is not classified as a public utility for its broadband service under North Dakota law, then the PSC’s regulatory powers would be less stringent than for traditional regulated monopolies. The North Dakota Supreme Court has, in various contexts, interpreted the scope of the PSC’s authority in relation to evolving communication technologies, generally favoring a regulatory approach that balances consumer protection with market development.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, addresses the regulation of telecommunications services. Section 49-20-01.1 defines “telecommunications service” broadly to include the transmission of voice, data, or video signals. When a new telecommunications provider, “PrairieLink,” begins offering competitive broadband internet services in a previously underserved rural area of North Dakota, the core question is which regulatory framework applies. Given that the service is broadband internet, which falls under the broad definition of telecommunications service in North Dakota, and that the state has a general interest in promoting universal service and competition, the Public Service Commission (PSC) would typically have oversight. However, the specific nature of broadband and the evolving regulatory landscape, particularly concerning the classification of internet services, means that while the PSC has general authority over telecommunications, its direct intervention in competitive broadband markets might be limited unless specific state statutes or federal preemption issues arise. The North Dakota Legislature has also passed legislation aimed at fostering broadband deployment, which often involves collaboration with local entities and private providers, rather than direct rate-setting or service mandates for competitive services. Therefore, the most accurate characterization of the PSC’s role in this scenario, considering North Dakota’s statutory framework and the competitive nature of the offering, is to ensure compliance with general telecommunications regulations and potentially facilitate broadband deployment initiatives without necessarily imposing traditional utility-style regulation on a competitive market. The concept of “public utility” classification is key here; if PrairieLink is not classified as a public utility for its broadband service under North Dakota law, then the PSC’s regulatory powers would be less stringent than for traditional regulated monopolies. The North Dakota Supreme Court has, in various contexts, interpreted the scope of the PSC’s authority in relation to evolving communication technologies, generally favoring a regulatory approach that balances consumer protection with market development.
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Question 4 of 30
4. Question
When a telecommunications provider licensed to operate in North Dakota consistently fails to meet the minimum service quality benchmarks established by the Public Service Commission, resulting in frequent network disruptions for rural communities and prolonged response times for essential infrastructure repairs, what is the primary statutory recourse available to the Commission under North Dakota Century Code Chapter 49-20 to address these deficiencies and compel compliance?
Correct
The North Dakota Century Code, specifically Chapter 49-20, addresses the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and video. Section 49-20-04 outlines the authority of the Public Service Commission (PSC) over such services, including the power to establish rules and standards for quality of service and to investigate complaints. When a telecommunications provider operating within North Dakota fails to meet established service quality standards, such as consistent dropped calls or significant delays in repair for critical infrastructure, and these failures are documented through customer complaints and independent technical assessments, the PSC has the statutory basis to intervene. The PSC’s role is to ensure that telecommunications providers fulfill their obligations to the public by offering reliable and adequate service. This intervention can involve issuing orders for corrective action, imposing penalties, or mandating service improvements. The question focuses on the PSC’s investigatory and enforcement powers when a provider’s service quality falls below acceptable thresholds, as defined by state law and PSC regulations, impacting North Dakota residents. The core principle is the PSC’s oversight to protect consumers and ensure the effective functioning of telecommunications networks within the state.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, addresses the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and video. Section 49-20-04 outlines the authority of the Public Service Commission (PSC) over such services, including the power to establish rules and standards for quality of service and to investigate complaints. When a telecommunications provider operating within North Dakota fails to meet established service quality standards, such as consistent dropped calls or significant delays in repair for critical infrastructure, and these failures are documented through customer complaints and independent technical assessments, the PSC has the statutory basis to intervene. The PSC’s role is to ensure that telecommunications providers fulfill their obligations to the public by offering reliable and adequate service. This intervention can involve issuing orders for corrective action, imposing penalties, or mandating service improvements. The question focuses on the PSC’s investigatory and enforcement powers when a provider’s service quality falls below acceptable thresholds, as defined by state law and PSC regulations, impacting North Dakota residents. The core principle is the PSC’s oversight to protect consumers and ensure the effective functioning of telecommunications networks within the state.
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Question 5 of 30
5. Question
A new provider in rural North Dakota begins offering a service that allows individuals to communicate using voice-over-internet-protocol (VoIP) technology, transmitting conversations digitally over broadband internet connections. This service is offered to residential customers for a monthly subscription fee and is advertised as a modern alternative to traditional landline telephone service. Considering the statutory framework for telecommunications regulation in North Dakota, which of the following best characterizes this new offering in the context of state regulatory oversight?
Correct
North Dakota’s approach to regulating telecommunications services, particularly concerning universal service and broadband deployment, often involves a careful balancing act between fostering market competition and ensuring essential services reach all residents. The North Dakota Public Service Commission (PSC) plays a crucial role in this regulatory landscape. When considering the definition of “telecommunications service” for regulatory purposes, North Dakota law, like many states, has evolved to encompass new technologies. Historically, the focus was on traditional voice services, but with the advent of broadband internet and other advanced communication methods, the definition has broadened. The North Dakota Century Code, specifically provisions related to telecommunications, defines services based on their function and the infrastructure used to deliver them. For instance, North Dakota Century Code Section 49-21-01 defines “telecommunications service” broadly to include the transmission of intelligence by wire, wireless, or other devices, and any service incidental thereto. This definition is intended to be technology-neutral and adaptable. When evaluating whether a new service falls under this definition, the PSC considers factors such as whether the service facilitates the transmission of information, the nature of the underlying infrastructure, and whether it is offered to the public for a fee. The intent is to capture services that serve a similar public purpose to traditional telephony, even if delivered through different means. Therefore, a service that transmits voice or data over an internet protocol network, even if it utilizes advanced digital technologies, would likely be considered a telecommunications service under North Dakota law if it is offered to the public for compensation and serves the purpose of transmitting intelligence. This ensures that regulatory oversight can be applied to ensure fair access and service quality, particularly in areas where market forces alone may not guarantee adequate provision. The PSC’s authority extends to ensuring that such services are provided in a manner that benefits the public interest, which includes promoting broadband availability and affordability throughout the state.
Incorrect
North Dakota’s approach to regulating telecommunications services, particularly concerning universal service and broadband deployment, often involves a careful balancing act between fostering market competition and ensuring essential services reach all residents. The North Dakota Public Service Commission (PSC) plays a crucial role in this regulatory landscape. When considering the definition of “telecommunications service” for regulatory purposes, North Dakota law, like many states, has evolved to encompass new technologies. Historically, the focus was on traditional voice services, but with the advent of broadband internet and other advanced communication methods, the definition has broadened. The North Dakota Century Code, specifically provisions related to telecommunications, defines services based on their function and the infrastructure used to deliver them. For instance, North Dakota Century Code Section 49-21-01 defines “telecommunications service” broadly to include the transmission of intelligence by wire, wireless, or other devices, and any service incidental thereto. This definition is intended to be technology-neutral and adaptable. When evaluating whether a new service falls under this definition, the PSC considers factors such as whether the service facilitates the transmission of information, the nature of the underlying infrastructure, and whether it is offered to the public for a fee. The intent is to capture services that serve a similar public purpose to traditional telephony, even if delivered through different means. Therefore, a service that transmits voice or data over an internet protocol network, even if it utilizes advanced digital technologies, would likely be considered a telecommunications service under North Dakota law if it is offered to the public for compensation and serves the purpose of transmitting intelligence. This ensures that regulatory oversight can be applied to ensure fair access and service quality, particularly in areas where market forces alone may not guarantee adequate provision. The PSC’s authority extends to ensuring that such services are provided in a manner that benefits the public interest, which includes promoting broadband availability and affordability throughout the state.
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Question 6 of 30
6. Question
Consider a scenario where “PrairieCom Solutions,” a new telecommunications provider, intends to launch broadband internet services in rural areas of North Dakota previously underserved by high-speed internet. PrairieCom Solutions’ business model relies on a unique wireless transmission technology not currently deployed by existing providers in the state. Before commencing operations, PrairieCom Solutions must obtain a certificate of authority from the North Dakota Public Service Commission (PSC). What is the primary legal basis and purpose for the PSC’s requirement that PrairieCom Solutions secure this certificate of authority under North Dakota communications law?
Correct
The North Dakota Century Code, specifically Chapter 49-21, addresses telecommunications services and regulations. Section 49-21-01 defines “telecommunications service” broadly, encompassing the transmission of voice, data, and other information. Section 49-21-04 outlines the authority of the Public Service Commission (PSC) over telecommunications companies, including the power to grant certificates of authority and to regulate rates and services to ensure adequacy and affordability. When a new telecommunications provider seeks to offer services in North Dakota, they must demonstrate to the PSC that they can meet the state’s service standards and consumer protection requirements. This typically involves submitting an application detailing their proposed services, technical capabilities, financial stability, and compliance with North Dakota statutes. The PSC then reviews this application to determine if issuing a certificate of authority is in the public interest. This process ensures that providers are capable of delivering reliable service and adhere to state-specific regulatory frameworks, which may differ from federal regulations or those of other states. The PSC’s role is to balance the benefits of competition with the need for universal access and consumer protection within North Dakota’s unique economic and geographic landscape. The commission’s decisions are guided by principles of public convenience and necessity, as well as the objective of fostering a robust telecommunications infrastructure across the state.
Incorrect
The North Dakota Century Code, specifically Chapter 49-21, addresses telecommunications services and regulations. Section 49-21-01 defines “telecommunications service” broadly, encompassing the transmission of voice, data, and other information. Section 49-21-04 outlines the authority of the Public Service Commission (PSC) over telecommunications companies, including the power to grant certificates of authority and to regulate rates and services to ensure adequacy and affordability. When a new telecommunications provider seeks to offer services in North Dakota, they must demonstrate to the PSC that they can meet the state’s service standards and consumer protection requirements. This typically involves submitting an application detailing their proposed services, technical capabilities, financial stability, and compliance with North Dakota statutes. The PSC then reviews this application to determine if issuing a certificate of authority is in the public interest. This process ensures that providers are capable of delivering reliable service and adhere to state-specific regulatory frameworks, which may differ from federal regulations or those of other states. The PSC’s role is to balance the benefits of competition with the need for universal access and consumer protection within North Dakota’s unique economic and geographic landscape. The commission’s decisions are guided by principles of public convenience and necessity, as well as the objective of fostering a robust telecommunications infrastructure across the state.
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Question 7 of 30
7. Question
Consider a scenario where “PrairieCom Solutions,” a newly formed entity, intends to offer competitive voice and broadband internet services throughout North Dakota. PrairieCom Solutions has reviewed the relevant statutes and believes its business model is innovative and inherently competitive, potentially falling under certain interpretations of market-based deregulation. However, they have not yet formally engaged with the North Dakota Public Service Commission regarding their service offerings or operational framework. Under North Dakota Century Code § 49-21-05.1, what is the primary regulatory action PrairieCom Solutions must undertake before commencing its operations to ensure compliance with state telecommunications law?
Correct
North Dakota Century Code § 49-21-05.1 addresses the regulation of competitive telecommunications providers and outlines provisions for the certification and operational requirements of such entities. Specifically, it mandates that a competitive telecommunications provider must file a tariff with the North Dakota Public Service Commission (NDPSC) unless exempted. This filing requirement is a crucial aspect of ensuring a level playing field and allowing the NDPSC to monitor market entry and service offerings. The statute aims to foster competition while safeguarding consumer interests by providing regulatory oversight. Therefore, a provider seeking to offer competitive telecommunications services in North Dakota, and not meeting any specific statutory exemptions, must adhere to the tariff filing mandate as a prerequisite for lawful operation. The absence of such a filing, when required, would constitute a violation of the state’s regulatory framework for telecommunications.
Incorrect
North Dakota Century Code § 49-21-05.1 addresses the regulation of competitive telecommunications providers and outlines provisions for the certification and operational requirements of such entities. Specifically, it mandates that a competitive telecommunications provider must file a tariff with the North Dakota Public Service Commission (NDPSC) unless exempted. This filing requirement is a crucial aspect of ensuring a level playing field and allowing the NDPSC to monitor market entry and service offerings. The statute aims to foster competition while safeguarding consumer interests by providing regulatory oversight. Therefore, a provider seeking to offer competitive telecommunications services in North Dakota, and not meeting any specific statutory exemptions, must adhere to the tariff filing mandate as a prerequisite for lawful operation. The absence of such a filing, when required, would constitute a violation of the state’s regulatory framework for telecommunications.
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Question 8 of 30
8. Question
A resident of Fargo, North Dakota, experiences persistent issues with the reliability and clarity of their landline telephone service, impacting their ability to conduct business. The service provider is a local exchange carrier operating solely within North Dakota. To which regulatory body should this resident direct their formal complaint to seek resolution, considering the intrastate nature of the service and the specific jurisdictional responsibilities within the state?
Correct
The North Dakota Public Service Commission (PSC) oversees intrastate telecommunications services. While the Federal Communications Commission (FCC) generally regulates interstate and international communications, state commissions like the North Dakota PSC retain authority over intrastate services, including aspects of local exchange carrier (LEC) regulation, universal service fund contributions for intrastate services, and specific consumer protection rules that do not conflict with federal mandates. Specifically, North Dakota Century Code Chapter 49-21 addresses telecommunications regulation, granting the PSC powers to ensure adequate service and reasonable rates for intrastate services. This includes the ability to investigate complaints and issue orders concerning service quality and pricing. Therefore, a complaint regarding the quality of local telephone service within North Dakota would fall under the purview of the North Dakota PSC, not directly under the FCC’s primary jurisdiction for intrastate matters. The PSC’s authority is rooted in its mandate to protect North Dakota consumers and ensure the provision of essential telecommunications services within the state.
Incorrect
The North Dakota Public Service Commission (PSC) oversees intrastate telecommunications services. While the Federal Communications Commission (FCC) generally regulates interstate and international communications, state commissions like the North Dakota PSC retain authority over intrastate services, including aspects of local exchange carrier (LEC) regulation, universal service fund contributions for intrastate services, and specific consumer protection rules that do not conflict with federal mandates. Specifically, North Dakota Century Code Chapter 49-21 addresses telecommunications regulation, granting the PSC powers to ensure adequate service and reasonable rates for intrastate services. This includes the ability to investigate complaints and issue orders concerning service quality and pricing. Therefore, a complaint regarding the quality of local telephone service within North Dakota would fall under the purview of the North Dakota PSC, not directly under the FCC’s primary jurisdiction for intrastate matters. The PSC’s authority is rooted in its mandate to protect North Dakota consumers and ensure the provision of essential telecommunications services within the state.
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Question 9 of 30
9. Question
Consider a new entity, “Prairie Connect,” that proposes to offer a novel communication service in North Dakota utilizing a proprietary, low-latency, encrypted mesh network technology that transmits data packets directly between user devices without reliance on traditional central switching infrastructure. Prairie Connect asserts that its service does not constitute a “telecommunications service” as historically understood and therefore is not subject to the certification requirements outlined in North Dakota Century Code Chapter 49-20. What is the most accurate assessment of Prairie Connect’s assertion under North Dakota communications law?
Correct
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services within the state. This chapter outlines the powers and duties of the Public Service Commission (PSC) in overseeing such services. Section 49-20-01 defines “telecommunications service” broadly, encompassing the transmission of intelligence by electrical or electronic means. Section 49-20-02 establishes the PSC’s authority to supervise and regulate all telecommunications companies operating in North Dakota, including their rates, charges, services, and facilities, to ensure adequate and efficient service. Section 49-20-03 mandates that telecommunications companies must obtain a certificate of authority from the PSC before commencing or continuing operations. This certification process involves demonstrating that the proposed service is in the public interest and that the company is capable of providing it. Furthermore, the PSC has the power to investigate complaints, hold hearings, and issue orders to enforce compliance with the statutes and PSC rules. The commission’s regulatory approach aims to balance the need for competitive markets with the imperative of universal service and consumer protection. Therefore, any entity providing telecommunications services in North Dakota, regardless of its technological basis, falls under the purview of Chapter 49-20, requiring PSC certification and adherence to its regulatory framework.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services within the state. This chapter outlines the powers and duties of the Public Service Commission (PSC) in overseeing such services. Section 49-20-01 defines “telecommunications service” broadly, encompassing the transmission of intelligence by electrical or electronic means. Section 49-20-02 establishes the PSC’s authority to supervise and regulate all telecommunications companies operating in North Dakota, including their rates, charges, services, and facilities, to ensure adequate and efficient service. Section 49-20-03 mandates that telecommunications companies must obtain a certificate of authority from the PSC before commencing or continuing operations. This certification process involves demonstrating that the proposed service is in the public interest and that the company is capable of providing it. Furthermore, the PSC has the power to investigate complaints, hold hearings, and issue orders to enforce compliance with the statutes and PSC rules. The commission’s regulatory approach aims to balance the need for competitive markets with the imperative of universal service and consumer protection. Therefore, any entity providing telecommunications services in North Dakota, regardless of its technological basis, falls under the purview of Chapter 49-20, requiring PSC certification and adherence to its regulatory framework.
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Question 10 of 30
10. Question
A telecommunications provider operating solely within North Dakota has reported its annual intrastate telecommunications revenue for the previous fiscal year. The North Dakota Public Service Commission has determined, based on the provisions of North Dakota Century Code Chapter 49-20, that a contribution rate of 0.25% of intrastate revenue is necessary to adequately fund the statewide telecommunications relay service for the upcoming year. If the provider’s reported intrastate revenue was $5,000,000, what is the calculated amount of their contribution to the statewide telecommunications relay service fund?
Correct
North Dakota Century Code Chapter 49-20 addresses the regulation of telecommunications services, including provisions for universal service and the provision of affordable telecommunications. Specifically, Section 49-20-04.1 outlines the framework for establishing and administering a statewide telecommunications relay service fund. This fund is designed to ensure that individuals with hearing or speech impairments can access telecommunications services comparable to those without such impairments. The funding mechanism involves contributions from telecommunications providers operating within North Dakota. These contributions are typically based on a percentage of intrastate telecommunications revenue. The purpose of the relay service is to facilitate communication by providing an intermediary who can relay messages between individuals using TTY devices and those using voice telephones. The statute aims to balance the cost of providing these essential services across all telecommunications users while ensuring access for all residents of North Dakota. The regulatory body, the North Dakota Public Service Commission, oversees the collection and disbursement of these funds and sets the contribution rate.
Incorrect
North Dakota Century Code Chapter 49-20 addresses the regulation of telecommunications services, including provisions for universal service and the provision of affordable telecommunications. Specifically, Section 49-20-04.1 outlines the framework for establishing and administering a statewide telecommunications relay service fund. This fund is designed to ensure that individuals with hearing or speech impairments can access telecommunications services comparable to those without such impairments. The funding mechanism involves contributions from telecommunications providers operating within North Dakota. These contributions are typically based on a percentage of intrastate telecommunications revenue. The purpose of the relay service is to facilitate communication by providing an intermediary who can relay messages between individuals using TTY devices and those using voice telephones. The statute aims to balance the cost of providing these essential services across all telecommunications users while ensuring access for all residents of North Dakota. The regulatory body, the North Dakota Public Service Commission, oversees the collection and disbursement of these funds and sets the contribution rate.
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Question 11 of 30
11. Question
A telecommunications carrier operating in North Dakota, providing both traditional landline and broadband internet services, receives a complaint from a resident who is deaf and relies on a Video Relay Service (VRS) to communicate with voice telephone users. The resident alleges that the carrier is not adequately supporting the VRS connection, leading to dropped calls and significant delays in relaying messages. Under North Dakota Century Code Chapter 49-21, what is the primary obligation of the telecommunications carrier in addressing this situation?
Correct
The North Dakota Century Code, specifically Chapter 49-21, addresses telecommunications relay services and the provision of access for individuals with hearing or speech impairments. Section 49-21-03 mandates that every telecommunications carrier operating within North Dakota must provide telecommunications relay services. These services are designed to facilitate communication between individuals using TTY devices (or similar text-based communication devices) and individuals using voice telephones. The core principle is to ensure equal access to telecommunications for all residents, regardless of their communication abilities. The law requires carriers to offer these services in a manner that is functionally equivalent to the services provided to individuals without such impairments. This includes ensuring that the relay service is available 24 hours a day, seven days a week, and that the costs incurred by relay users are no greater than the costs for standard telephone service. The relay service itself is typically provided through a third-party provider contracted by the telecommunications carrier, but the ultimate responsibility for compliance rests with the carrier. The specific operational details, such as the types of relay services offered (e.g., TRS, VRS, IP Relay), are often governed by federal regulations from the Federal Communications Commission (FCC) as well, but state law in North Dakota establishes the foundational requirement for provision.
Incorrect
The North Dakota Century Code, specifically Chapter 49-21, addresses telecommunications relay services and the provision of access for individuals with hearing or speech impairments. Section 49-21-03 mandates that every telecommunications carrier operating within North Dakota must provide telecommunications relay services. These services are designed to facilitate communication between individuals using TTY devices (or similar text-based communication devices) and individuals using voice telephones. The core principle is to ensure equal access to telecommunications for all residents, regardless of their communication abilities. The law requires carriers to offer these services in a manner that is functionally equivalent to the services provided to individuals without such impairments. This includes ensuring that the relay service is available 24 hours a day, seven days a week, and that the costs incurred by relay users are no greater than the costs for standard telephone service. The relay service itself is typically provided through a third-party provider contracted by the telecommunications carrier, but the ultimate responsibility for compliance rests with the carrier. The specific operational details, such as the types of relay services offered (e.g., TRS, VRS, IP Relay), are often governed by federal regulations from the Federal Communications Commission (FCC) as well, but state law in North Dakota establishes the foundational requirement for provision.
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Question 12 of 30
12. Question
A rural telecommunications cooperative operating solely within North Dakota proposes to significantly increase its monthly service fees for its subscribers in sparsely populated areas, citing escalating operational costs. The cooperative has not sought prior approval from any regulatory body for this rate adjustment. What is the primary regulatory recourse available to North Dakota residents who are affected by this proposed rate increase, and which entity is most likely responsible for adjudicating such a dispute under North Dakota communications law?
Correct
The North Dakota Public Service Commission (PSC) has the authority to regulate intrastate telecommunications services, including the rates and services of local exchange carriers. While the Federal Communications Commission (FCC) oversees interstate communications, state-level bodies like the North Dakota PSC address issues within their borders. The concept of “universal service” is a key component of telecommunications regulation, aiming to ensure that all citizens have access to affordable telecommunications services. In North Dakota, the PSC administers programs designed to support this, often through mechanisms that allow telecommunications providers to recover costs associated with serving high-cost areas or specific customer groups. The North Dakota Century Code, specifically sections related to public utilities and telecommunications, outlines the PSC’s powers and responsibilities. The PSC can investigate complaints, hold hearings, and issue orders to ensure compliance with state law and its own regulations. For a telecommunications provider to adjust its rates or alter its service offerings in a way that impacts customers, it typically must seek approval from the PSC, demonstrating the necessity and reasonableness of the proposed changes. This process ensures that changes are made in a manner that is consistent with the public interest and the regulatory framework established for telecommunications in North Dakota.
Incorrect
The North Dakota Public Service Commission (PSC) has the authority to regulate intrastate telecommunications services, including the rates and services of local exchange carriers. While the Federal Communications Commission (FCC) oversees interstate communications, state-level bodies like the North Dakota PSC address issues within their borders. The concept of “universal service” is a key component of telecommunications regulation, aiming to ensure that all citizens have access to affordable telecommunications services. In North Dakota, the PSC administers programs designed to support this, often through mechanisms that allow telecommunications providers to recover costs associated with serving high-cost areas or specific customer groups. The North Dakota Century Code, specifically sections related to public utilities and telecommunications, outlines the PSC’s powers and responsibilities. The PSC can investigate complaints, hold hearings, and issue orders to ensure compliance with state law and its own regulations. For a telecommunications provider to adjust its rates or alter its service offerings in a way that impacts customers, it typically must seek approval from the PSC, demonstrating the necessity and reasonableness of the proposed changes. This process ensures that changes are made in a manner that is consistent with the public interest and the regulatory framework established for telecommunications in North Dakota.
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Question 13 of 30
13. Question
An incumbent local exchange carrier in North Dakota, citing a shift in market demand, announces its intention to cease offering a comprehensive suite of voice and data services, instead focusing solely on maintaining the basic network infrastructure for essential connectivity. Simultaneously, a competitive local exchange carrier operating within the same North Dakota service territory aims to leverage this underlying infrastructure to provide advanced broadband and integrated communication packages to consumers. Under North Dakota communications law, what is the primary regulatory obligation of the incumbent carrier concerning the competitive carrier’s access to the network infrastructure to facilitate the competitive carrier’s service expansion?
Correct
The question pertains to the application of North Dakota Century Code Chapter 49-21, which governs telecommunications services and specifically addresses the regulation of incumbent local exchange carriers (ILECs) and competitive local exchange carriers (CLECs). When an ILEC in North Dakota transitions from providing a full range of services to offering only a limited set of essential services, and a CLEC seeks to offer a broader range of services, the regulatory framework established by the North Dakota Public Service Commission (NDPSC) dictates the terms of interconnection and access. North Dakota law, consistent with federal principles aimed at promoting competition while ensuring universal service, generally requires that an ILEC must provide access to its network facilities to CLECs on reasonable and nondiscriminatory terms. This access is crucial for CLECs to establish their own service offerings and compete effectively. The specific terms, including pricing and availability of network elements, are subject to negotiation and, if necessary, arbitration by the NDPSC to ensure they are just and reasonable. The concept of “unbundling” of network elements is central here, allowing CLECs to lease specific components of the ILEC’s infrastructure rather than building their own from scratch. The NDPSC’s role is to oversee these arrangements to prevent anti-competitive behavior and ensure fair access, thereby fostering a competitive telecommunications market within the state. The core principle is that even as an ILEC scales back its own offerings, its obligation to provide access to its essential infrastructure for competitors remains, governed by state regulatory oversight.
Incorrect
The question pertains to the application of North Dakota Century Code Chapter 49-21, which governs telecommunications services and specifically addresses the regulation of incumbent local exchange carriers (ILECs) and competitive local exchange carriers (CLECs). When an ILEC in North Dakota transitions from providing a full range of services to offering only a limited set of essential services, and a CLEC seeks to offer a broader range of services, the regulatory framework established by the North Dakota Public Service Commission (NDPSC) dictates the terms of interconnection and access. North Dakota law, consistent with federal principles aimed at promoting competition while ensuring universal service, generally requires that an ILEC must provide access to its network facilities to CLECs on reasonable and nondiscriminatory terms. This access is crucial for CLECs to establish their own service offerings and compete effectively. The specific terms, including pricing and availability of network elements, are subject to negotiation and, if necessary, arbitration by the NDPSC to ensure they are just and reasonable. The concept of “unbundling” of network elements is central here, allowing CLECs to lease specific components of the ILEC’s infrastructure rather than building their own from scratch. The NDPSC’s role is to oversee these arrangements to prevent anti-competitive behavior and ensure fair access, thereby fostering a competitive telecommunications market within the state. The core principle is that even as an ILEC scales back its own offerings, its obligation to provide access to its essential infrastructure for competitors remains, governed by state regulatory oversight.
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Question 14 of 30
14. Question
A telecommunications carrier, “Prairie Connect,” operating solely within North Dakota, wishes to implement a new pricing structure for its intrastate long-distance voice services. This new structure involves a significant increase in per-minute charges for calls originating and terminating within the state, citing rising operational costs. What is the primary regulatory body in North Dakota responsible for reviewing and potentially approving or rejecting this proposed tariff change, and what is the general standard by which such proposed rates are evaluated?
Correct
In North Dakota, the regulation of telecommunications services, particularly concerning intrastate long-distance rates, is primarily governed by the North Dakota Public Service Commission (NDPSC). While federal law, specifically the Telecommunications Act of 1996, has significantly deregulated the industry and promoted competition, state commissions retain authority over intrastate services where competition is deemed insufficient or where specific consumer protection issues arise. The NDPSC has the power to approve or reject tariff filings for intrastate telecommunications services, including setting reasonable rates. When a telecommunications provider seeks to implement new or revised intrastate long-distance rates in North Dakota, they must file a tariff with the NDPSC. The commission then reviews this filing to ensure it complies with state statutes and rules, which often include provisions for rate reasonableness, non-discrimination, and service quality. If the proposed rates are found to be unjust, unreasonable, or discriminatory, the NDPSC has the authority to suspend the tariff and disallow the proposed rate changes, or to order modifications. This oversight is crucial for protecting consumers in markets where competitive alternatives may be limited. Therefore, any provider wishing to alter intrastate long-distance rates must navigate this regulatory process.
Incorrect
In North Dakota, the regulation of telecommunications services, particularly concerning intrastate long-distance rates, is primarily governed by the North Dakota Public Service Commission (NDPSC). While federal law, specifically the Telecommunications Act of 1996, has significantly deregulated the industry and promoted competition, state commissions retain authority over intrastate services where competition is deemed insufficient or where specific consumer protection issues arise. The NDPSC has the power to approve or reject tariff filings for intrastate telecommunications services, including setting reasonable rates. When a telecommunications provider seeks to implement new or revised intrastate long-distance rates in North Dakota, they must file a tariff with the NDPSC. The commission then reviews this filing to ensure it complies with state statutes and rules, which often include provisions for rate reasonableness, non-discrimination, and service quality. If the proposed rates are found to be unjust, unreasonable, or discriminatory, the NDPSC has the authority to suspend the tariff and disallow the proposed rate changes, or to order modifications. This oversight is crucial for protecting consumers in markets where competitive alternatives may be limited. Therefore, any provider wishing to alter intrastate long-distance rates must navigate this regulatory process.
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Question 15 of 30
15. Question
Consider a situation where residents in a rural area of North Dakota, specifically near the town of Belfield, have lodged multiple formal complaints with the North Dakota Public Service Commission regarding persistent service disruptions and substandard data speeds from their sole telecommunications provider. The provider, citing economic challenges in upgrading infrastructure in low-density population areas, has been slow to address these issues. Under North Dakota Century Code Chapter 49-20, what is the primary procedural avenue available to the Commission to compel the telecommunications provider to rectify these service deficiencies and ensure compliance with its service obligations to the affected North Dakota citizens?
Correct
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-04 outlines the powers and duties of the Public Service Commission concerning telecommunications companies. This chapter empowers the Commission to investigate complaints, hold hearings, and issue orders to ensure fair and reasonable service. When a complaint arises regarding the quality or availability of telecommunications services within North Dakota, the Commission’s authority extends to requiring telecommunications providers to take corrective actions. The specific mechanism for addressing such complaints often involves formal investigations or informal dispute resolution processes managed by the Commission. The core principle is to balance the public’s need for reliable communication with the operational and economic realities faced by service providers, all within the statutory framework established by the North Dakota Legislature. The Commission’s role is to act as an arbiter and enforcer of these regulations, ensuring compliance with service standards and consumer protection mandates as defined in state law. The Commission’s oversight is crucial for maintaining a functional and equitable telecommunications landscape across the state, addressing issues from basic service provision to advanced network deployment.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-04 outlines the powers and duties of the Public Service Commission concerning telecommunications companies. This chapter empowers the Commission to investigate complaints, hold hearings, and issue orders to ensure fair and reasonable service. When a complaint arises regarding the quality or availability of telecommunications services within North Dakota, the Commission’s authority extends to requiring telecommunications providers to take corrective actions. The specific mechanism for addressing such complaints often involves formal investigations or informal dispute resolution processes managed by the Commission. The core principle is to balance the public’s need for reliable communication with the operational and economic realities faced by service providers, all within the statutory framework established by the North Dakota Legislature. The Commission’s role is to act as an arbiter and enforcer of these regulations, ensuring compliance with service standards and consumer protection mandates as defined in state law. The Commission’s oversight is crucial for maintaining a functional and equitable telecommunications landscape across the state, addressing issues from basic service provision to advanced network deployment.
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Question 16 of 30
16. Question
Consider a scenario where “PrairieCom,” a newly formed telecommunications entity, submits an application to the North Dakota Public Service Commission (PSC) seeking authority to offer broadband internet services throughout rural areas of the state. PrairieCom argues that its proposed service is innovative and will significantly expand access to high-speed internet, thereby fostering economic development. The PSC must determine the appropriate regulatory framework for PrairieCom’s operations. Based on North Dakota’s telecommunications regulatory principles, what is the most likely initial step the PSC will take to categorize PrairieCom’s proposed service and dictate the subsequent regulatory pathway?
Correct
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. Section 49-20-05 addresses the classification of telecommunications providers, distinguishing between competitive and non-competitive services. North Dakota law generally favors deregulation and competition where feasible, but retains regulatory oversight for services deemed essential or lacking sufficient market competition. The North Dakota Public Service Commission (PSC) is the primary regulatory body responsible for implementing these provisions, including approving or denying applications for authority to provide telecommunications services, setting rates for non-competitive services, and ensuring universal service. When a telecommunications provider seeks to offer a new service within North Dakota, the PSC evaluates the nature of the service and the competitive landscape. If the service is deemed to be in a competitive market, the provider may be subject to less stringent regulatory requirements, such as streamlined approval processes. However, if the service is considered essential or if there is a lack of demonstrable competition, the PSC may impose more detailed requirements, including a formal application process and potential rate regulation, to protect consumer interests and ensure service availability. The determination of whether a service is competitive or non-competitive is a crucial step in the regulatory process. This involves an analysis of market conditions, the number of providers, and the ability of consumers to switch providers. The PSC’s decision on this classification directly impacts the regulatory obligations placed upon the provider.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. Section 49-20-05 addresses the classification of telecommunications providers, distinguishing between competitive and non-competitive services. North Dakota law generally favors deregulation and competition where feasible, but retains regulatory oversight for services deemed essential or lacking sufficient market competition. The North Dakota Public Service Commission (PSC) is the primary regulatory body responsible for implementing these provisions, including approving or denying applications for authority to provide telecommunications services, setting rates for non-competitive services, and ensuring universal service. When a telecommunications provider seeks to offer a new service within North Dakota, the PSC evaluates the nature of the service and the competitive landscape. If the service is deemed to be in a competitive market, the provider may be subject to less stringent regulatory requirements, such as streamlined approval processes. However, if the service is considered essential or if there is a lack of demonstrable competition, the PSC may impose more detailed requirements, including a formal application process and potential rate regulation, to protect consumer interests and ensure service availability. The determination of whether a service is competitive or non-competitive is a crucial step in the regulatory process. This involves an analysis of market conditions, the number of providers, and the ability of consumers to switch providers. The PSC’s decision on this classification directly impacts the regulatory obligations placed upon the provider.
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Question 17 of 30
17. Question
Consider a hypothetical North Dakota statute enacted in 2023 that strictly prohibits the installation of any new wireless communication equipment on existing utility poles located within municipal rights-of-way across the state, irrespective of the equipment’s size or the impact on existing pole infrastructure. A telecommunications provider wishes to deploy small wireless facilities, as defined by federal regulations, on these poles to enhance 5G coverage in rural areas of North Dakota. Which legal principle or federal regulatory action would most likely be invoked to challenge the validity of this North Dakota statute?
Correct
The question pertains to the regulatory framework governing wireless communication infrastructure deployment in North Dakota, specifically concerning the placement of small wireless facilities. The relevant federal legislation is the Communications Act of 1934, as amended, and more specifically, the Federal Communications Commission’s (FCC) Declaratory Ruling and Report and Order (WC Docket No. 17-84, adopted January 24, 2018, and released January 31, 2018). This FCC order established rules that preempt certain state and local limitations on the deployment of wireless infrastructure, including small wireless facilities. North Dakota, like other states, must comply with these federal mandates. The FCC order specifies that state and local governments may not prohibit, unreasonably delay, or charge discriminatory rates for the placement of small wireless facilities. It also defines what constitutes a “small wireless facility” and sets timeframes for review of applications. The core principle is to facilitate the build-out of 5G networks by removing unnecessary barriers. Therefore, a state law that imposes an outright prohibition on the installation of any new wireless communication equipment on existing utility poles within municipal rights-of-way, without any consideration for the federal preemption of unreasonable delays or prohibitions, would be in conflict with federal law. Such a prohibition would directly impede the FCC’s goals for wireless infrastructure deployment. The FCC’s authority to preempt state and local regulations that unreasonably burden or discriminate against wireless infrastructure deployment stems from its mandate under the Communications Act to promote the development of broadband and wireless services. North Dakota’s regulatory approach must align with these federal standards to avoid preemption challenges.
Incorrect
The question pertains to the regulatory framework governing wireless communication infrastructure deployment in North Dakota, specifically concerning the placement of small wireless facilities. The relevant federal legislation is the Communications Act of 1934, as amended, and more specifically, the Federal Communications Commission’s (FCC) Declaratory Ruling and Report and Order (WC Docket No. 17-84, adopted January 24, 2018, and released January 31, 2018). This FCC order established rules that preempt certain state and local limitations on the deployment of wireless infrastructure, including small wireless facilities. North Dakota, like other states, must comply with these federal mandates. The FCC order specifies that state and local governments may not prohibit, unreasonably delay, or charge discriminatory rates for the placement of small wireless facilities. It also defines what constitutes a “small wireless facility” and sets timeframes for review of applications. The core principle is to facilitate the build-out of 5G networks by removing unnecessary barriers. Therefore, a state law that imposes an outright prohibition on the installation of any new wireless communication equipment on existing utility poles within municipal rights-of-way, without any consideration for the federal preemption of unreasonable delays or prohibitions, would be in conflict with federal law. Such a prohibition would directly impede the FCC’s goals for wireless infrastructure deployment. The FCC’s authority to preempt state and local regulations that unreasonably burden or discriminate against wireless infrastructure deployment stems from its mandate under the Communications Act to promote the development of broadband and wireless services. North Dakota’s regulatory approach must align with these federal standards to avoid preemption challenges.
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Question 18 of 30
18. Question
PrairieCom, a new telecommunications entity, intends to deploy advanced fiber optic infrastructure to enhance broadband access in sparsely populated regions of North Dakota. Before commencing operations, PrairieCom must obtain certification from the North Dakota Public Service Commission (PSC). What fundamental legal principle, derived from North Dakota’s telecommunications regulatory framework, guides the PSC’s decision-making process in granting such certification to a new entrant?
Correct
The North Dakota Century Code, specifically Chapter 49-21, governs telecommunications services and infrastructure. Section 49-21-02 defines “telecommunications service” broadly to include the transmission of voice, data, and video signals. Section 49-21-05 addresses the authority of the Public Service Commission (PSC) regarding telecommunications providers, including the power to regulate rates and services to ensure adequacy and affordability. When a new telecommunications provider, “PrairieCom,” seeks to offer services in a previously underserved rural area of North Dakota, the PSC’s role is to assess whether the proposed service meets the public convenience and necessity. This involves evaluating the provider’s technical capabilities, financial stability, and the impact on existing providers and consumers. The PSC must balance the goal of expanding access to modern communication technologies with the need to maintain a stable and competitive telecommunications market. A key consideration is whether PrairieCom’s proposed service plan, which includes a commitment to build out fiber optic infrastructure to a specified percentage of households within a defined timeframe, aligns with the state’s objectives for broadband deployment as outlined in state broadband plans and federal grant programs. The PSC would review applications for certification, potentially holding hearings to gather input from consumers and incumbent providers. Ultimately, the PSC’s decision to grant or deny certification would hinge on whether PrairieCom demonstrates a clear plan to provide reliable and affordable telecommunications services that serve the public interest in North Dakota.
Incorrect
The North Dakota Century Code, specifically Chapter 49-21, governs telecommunications services and infrastructure. Section 49-21-02 defines “telecommunications service” broadly to include the transmission of voice, data, and video signals. Section 49-21-05 addresses the authority of the Public Service Commission (PSC) regarding telecommunications providers, including the power to regulate rates and services to ensure adequacy and affordability. When a new telecommunications provider, “PrairieCom,” seeks to offer services in a previously underserved rural area of North Dakota, the PSC’s role is to assess whether the proposed service meets the public convenience and necessity. This involves evaluating the provider’s technical capabilities, financial stability, and the impact on existing providers and consumers. The PSC must balance the goal of expanding access to modern communication technologies with the need to maintain a stable and competitive telecommunications market. A key consideration is whether PrairieCom’s proposed service plan, which includes a commitment to build out fiber optic infrastructure to a specified percentage of households within a defined timeframe, aligns with the state’s objectives for broadband deployment as outlined in state broadband plans and federal grant programs. The PSC would review applications for certification, potentially holding hearings to gather input from consumers and incumbent providers. Ultimately, the PSC’s decision to grant or deny certification would hinge on whether PrairieCom demonstrates a clear plan to provide reliable and affordable telecommunications services that serve the public interest in North Dakota.
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Question 19 of 30
19. Question
A new enterprise, “Prairie Connect,” seeks to offer broadband internet and voice services exclusively within North Dakota’s rural counties. They have submitted an application to the North Dakota Public Service Commission (PSC) for a certificate of authority to operate. Prairie Connect argues that the existing providers are not adequately serving the identified rural areas with high-speed internet. The PSC reviews the application, considering Prairie Connect’s business plan, technical infrastructure proposals, and financial projections. What is the primary legal basis for the North Dakota Public Service Commission’s authority to grant or deny this certificate of authority to Prairie Connect?
Correct
The North Dakota Century Code, specifically Chapter 49-21, governs the regulation of telecommunications services. Section 49-21-01 defines “telecommunications company” broadly to include entities providing voice, data, and other communication services. Section 49-21-06 establishes the authority of the North Dakota Public Service Commission (PSC) to regulate rates, services, and facilities of telecommunications companies. While the Telecommunications Act of 1996 aimed to deregulate the industry at the federal level, state commissions retain significant oversight, particularly concerning intrastate services and market entry. In North Dakota, the PSC’s authority extends to ensuring universal service, preventing anticompetitive practices, and approving mergers or acquisitions that impact intrastate telecommunications markets. The question revolves around the PSC’s power to grant or deny a certificate of authority for a new telecommunications provider to operate within North Dakota. This power is rooted in the state’s regulatory framework designed to ensure adequate service and fair competition. The PSC must consider factors such as the applicant’s financial stability, technical capability, and the potential impact on existing providers and consumers. The absence of a specific statutory requirement for a “public need” demonstration, as might be found in other regulatory contexts, means the PSC’s decision is guided by the broader mandate to regulate for the public interest within the telecommunications sector. Therefore, the PSC’s decision to grant or deny a certificate of authority is a direct exercise of its statutory regulatory power under Chapter 49-21 of the North Dakota Century Code.
Incorrect
The North Dakota Century Code, specifically Chapter 49-21, governs the regulation of telecommunications services. Section 49-21-01 defines “telecommunications company” broadly to include entities providing voice, data, and other communication services. Section 49-21-06 establishes the authority of the North Dakota Public Service Commission (PSC) to regulate rates, services, and facilities of telecommunications companies. While the Telecommunications Act of 1996 aimed to deregulate the industry at the federal level, state commissions retain significant oversight, particularly concerning intrastate services and market entry. In North Dakota, the PSC’s authority extends to ensuring universal service, preventing anticompetitive practices, and approving mergers or acquisitions that impact intrastate telecommunications markets. The question revolves around the PSC’s power to grant or deny a certificate of authority for a new telecommunications provider to operate within North Dakota. This power is rooted in the state’s regulatory framework designed to ensure adequate service and fair competition. The PSC must consider factors such as the applicant’s financial stability, technical capability, and the potential impact on existing providers and consumers. The absence of a specific statutory requirement for a “public need” demonstration, as might be found in other regulatory contexts, means the PSC’s decision is guided by the broader mandate to regulate for the public interest within the telecommunications sector. Therefore, the PSC’s decision to grant or deny a certificate of authority is a direct exercise of its statutory regulatory power under Chapter 49-21 of the North Dakota Century Code.
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Question 20 of 30
20. Question
Consider a scenario where a rural cooperative in North Dakota, providing essential broadband internet services to an underserved region, faces significant financial challenges in upgrading its network to meet current speed and reliability standards. The cooperative relies on funding from the North Dakota Telecommunications Universal Service Fund to maintain service affordability for its subscribers. The Public Service Commission (PSC) is reviewing the contribution factor for the fund, which directly impacts the revenue available for disbursements. What is the primary statutory basis within North Dakota law that empowers the PSC to administer this fund and ensure the continued availability of affordable telecommunications services in high-cost areas?
Correct
In North Dakota, the regulation of telecommunications services, particularly concerning universal service and network infrastructure development, is guided by state-specific statutes and Public Service Commission (PSC) rules. The North Dakota Century Code (NDCC) §49-21-13.1 addresses the establishment and administration of a telecommunications universal service fund. This fund is designed to ensure that all residents of North Dakota, regardless of geographic location or income level, have access to affordable telecommunications services. The PSC is empowered to collect contributions from telecommunications providers operating within the state and to disburse these funds to eligible providers serving high-cost areas or low-income consumers. The specific mechanism for contribution and disbursement, including the rate calculation, is subject to PSC rulemaking. The statute mandates that the PSC consider factors such as the cost of providing service, the affordability for consumers, and the need to promote network expansion and modernization. The PSC’s authority extends to defining eligible telecommunications carriers and the specific services that qualify for support. The intent is to foster a competitive telecommunications market while simultaneously ensuring essential service availability, a balance often seen in state-level communications law. This regulatory framework reflects a broader national trend, influenced by federal policies, but is tailored to the unique circumstances and needs of North Dakota.
Incorrect
In North Dakota, the regulation of telecommunications services, particularly concerning universal service and network infrastructure development, is guided by state-specific statutes and Public Service Commission (PSC) rules. The North Dakota Century Code (NDCC) §49-21-13.1 addresses the establishment and administration of a telecommunications universal service fund. This fund is designed to ensure that all residents of North Dakota, regardless of geographic location or income level, have access to affordable telecommunications services. The PSC is empowered to collect contributions from telecommunications providers operating within the state and to disburse these funds to eligible providers serving high-cost areas or low-income consumers. The specific mechanism for contribution and disbursement, including the rate calculation, is subject to PSC rulemaking. The statute mandates that the PSC consider factors such as the cost of providing service, the affordability for consumers, and the need to promote network expansion and modernization. The PSC’s authority extends to defining eligible telecommunications carriers and the specific services that qualify for support. The intent is to foster a competitive telecommunications market while simultaneously ensuring essential service availability, a balance often seen in state-level communications law. This regulatory framework reflects a broader national trend, influenced by federal policies, but is tailored to the unique circumstances and needs of North Dakota.
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Question 21 of 30
21. Question
PrairieCom, a telecommunications provider operating exclusively within North Dakota, is preparing its quarterly regulatory filings. The company’s total revenue for the quarter was $10,000,000, of which $7,500,000 was derived from intrastate telecommunications services. The remaining $2,500,000 came from interstate services and ancillary non-telecommunications business activities. According to North Dakota Century Code Chapter 49-21, which portion of PrairieCom’s revenue is subject to the universal service fund contribution assessment?
Correct
The North Dakota Century Code Chapter 49-21 addresses the regulation of telecommunications services, including the establishment of universal service funds and the provision of basic local telecommunications service. Specifically, Section 49-21-12 outlines the responsibilities of telecommunications carriers in contributing to the state’s universal service fund. This fund is designed to ensure that telecommunications services are available and affordable throughout North Dakota, particularly in rural and high-cost areas. Carriers are typically required to contribute a percentage of their intrastate telecommunications revenue to this fund. The question posits a scenario where a telecommunications provider, “PrairieCom,” operating in North Dakota, is assessing its regulatory obligations. To determine the correct contribution amount, PrairieCom must understand the basis of the assessment as defined by state law. The law mandates contributions based on a percentage of a carrier’s intrastate telecommunications revenue, not their total revenue, nor solely on the number of subscribers, nor is it a flat fee irrespective of revenue. Therefore, the accurate calculation involves identifying the portion of revenue derived from services provided within North Dakota’s borders. The correct answer reflects this specific basis for contribution as stipulated in the relevant North Dakota statutes.
Incorrect
The North Dakota Century Code Chapter 49-21 addresses the regulation of telecommunications services, including the establishment of universal service funds and the provision of basic local telecommunications service. Specifically, Section 49-21-12 outlines the responsibilities of telecommunications carriers in contributing to the state’s universal service fund. This fund is designed to ensure that telecommunications services are available and affordable throughout North Dakota, particularly in rural and high-cost areas. Carriers are typically required to contribute a percentage of their intrastate telecommunications revenue to this fund. The question posits a scenario where a telecommunications provider, “PrairieCom,” operating in North Dakota, is assessing its regulatory obligations. To determine the correct contribution amount, PrairieCom must understand the basis of the assessment as defined by state law. The law mandates contributions based on a percentage of a carrier’s intrastate telecommunications revenue, not their total revenue, nor solely on the number of subscribers, nor is it a flat fee irrespective of revenue. Therefore, the accurate calculation involves identifying the portion of revenue derived from services provided within North Dakota’s borders. The correct answer reflects this specific basis for contribution as stipulated in the relevant North Dakota statutes.
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Question 22 of 30
22. Question
A regional television broadcaster operating in North Dakota is exploring a novel advertising strategy that leverages third-party data analytics to dynamically insert personalized advertisements into its live programming, based on granular viewer data. This data is collected through various online and offline channels. What legal framework within North Dakota is most likely to govern the broadcaster’s compliance and potential liabilities concerning the collection and utilization of viewer data for this targeted advertising, considering the absence of a specific North Dakota data privacy statute?
Correct
The scenario describes a situation where a local television station in North Dakota is considering a new advertising model that involves dynamically inserting targeted advertisements into live broadcasts based on viewer demographics identified through a separate data analytics firm. This practice raises concerns under North Dakota’s communications law, particularly regarding consumer privacy and data protection. While North Dakota does not have a single, comprehensive data privacy law akin to California’s CCPA, its existing legal framework, including statutes related to unfair trade practices and consumer protection, as well as potential common law torts like invasion of privacy, would be applicable. The core issue is the collection and use of personally identifiable information (PII) without explicit consent for targeted advertising in a broadcast medium. North Dakota Century Code Chapter 51-15, which deals with deceptive trade practices, could be invoked if the advertising practices are found to be misleading or deceptive to consumers regarding data collection or usage. Furthermore, common law principles of privacy, particularly the tort of intrusion upon seclusion, might be relevant if the data collection methods are deemed highly offensive to a reasonable person. The station would need to ensure transparency in its data collection and advertising practices and obtain appropriate consent to mitigate legal risks. The question tests the understanding of how general consumer protection laws and privacy principles, even without a specific North Dakota data privacy statute, would apply to emerging digital advertising technologies in the state. The correct answer focuses on the application of existing North Dakota consumer protection statutes and common law privacy principles to this novel advertising method.
Incorrect
The scenario describes a situation where a local television station in North Dakota is considering a new advertising model that involves dynamically inserting targeted advertisements into live broadcasts based on viewer demographics identified through a separate data analytics firm. This practice raises concerns under North Dakota’s communications law, particularly regarding consumer privacy and data protection. While North Dakota does not have a single, comprehensive data privacy law akin to California’s CCPA, its existing legal framework, including statutes related to unfair trade practices and consumer protection, as well as potential common law torts like invasion of privacy, would be applicable. The core issue is the collection and use of personally identifiable information (PII) without explicit consent for targeted advertising in a broadcast medium. North Dakota Century Code Chapter 51-15, which deals with deceptive trade practices, could be invoked if the advertising practices are found to be misleading or deceptive to consumers regarding data collection or usage. Furthermore, common law principles of privacy, particularly the tort of intrusion upon seclusion, might be relevant if the data collection methods are deemed highly offensive to a reasonable person. The station would need to ensure transparency in its data collection and advertising practices and obtain appropriate consent to mitigate legal risks. The question tests the understanding of how general consumer protection laws and privacy principles, even without a specific North Dakota data privacy statute, would apply to emerging digital advertising technologies in the state. The correct answer focuses on the application of existing North Dakota consumer protection statutes and common law privacy principles to this novel advertising method.
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Question 23 of 30
23. Question
Consider a scenario in North Dakota where a municipal government, acting as the franchising authority, receives a formal complaint from a consortium of local businesses alleging consistent service disruptions and failure to meet agreed-upon upgrade timelines by a prominent cable television provider operating within the city limits. Under North Dakota’s communications law framework, what is the most appropriate initial step for the municipality to take to address this situation, considering its regulatory powers concerning cable franchises?
Correct
In North Dakota, the regulation of cable television services involves a tiered approach to oversight. While the Federal Communications Commission (FCC) establishes broad guidelines and licensing frameworks, state and local governments retain significant authority over certain aspects of cable operations. Specifically, North Dakota law, as codified in various statutes, empowers municipalities to grant franchises to cable operators. These franchises are essentially permits that allow companies to operate within a specific geographic area, typically a city or county. The franchise agreement details terms such as service quality, build-out requirements, customer service standards, and public access channel provisions. The North Dakota Public Service Commission (PSC) plays a role in overseeing certain aspects of telecommunications, including aspects that may intersect with cable services, particularly concerning pole attachments and rights-of-way. However, the primary regulatory authority for the day-to-day operation and service provision within a local jurisdiction rests with the franchising authority, which is usually the municipality. The North Dakota Century Code, particularly chapters related to public utilities and telecommunications, outlines the process for franchise applications, renewals, and the grounds for revocation. Local governments are tasked with ensuring that cable operators meet their obligations under the franchise agreement and state law, thereby protecting consumer interests and promoting the availability of diverse communication services within their communities. The framework is designed to balance the need for robust cable infrastructure with the public interest concerns of local communities.
Incorrect
In North Dakota, the regulation of cable television services involves a tiered approach to oversight. While the Federal Communications Commission (FCC) establishes broad guidelines and licensing frameworks, state and local governments retain significant authority over certain aspects of cable operations. Specifically, North Dakota law, as codified in various statutes, empowers municipalities to grant franchises to cable operators. These franchises are essentially permits that allow companies to operate within a specific geographic area, typically a city or county. The franchise agreement details terms such as service quality, build-out requirements, customer service standards, and public access channel provisions. The North Dakota Public Service Commission (PSC) plays a role in overseeing certain aspects of telecommunications, including aspects that may intersect with cable services, particularly concerning pole attachments and rights-of-way. However, the primary regulatory authority for the day-to-day operation and service provision within a local jurisdiction rests with the franchising authority, which is usually the municipality. The North Dakota Century Code, particularly chapters related to public utilities and telecommunications, outlines the process for franchise applications, renewals, and the grounds for revocation. Local governments are tasked with ensuring that cable operators meet their obligations under the franchise agreement and state law, thereby protecting consumer interests and promoting the availability of diverse communication services within their communities. The framework is designed to balance the need for robust cable infrastructure with the public interest concerns of local communities.
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Question 24 of 30
24. Question
A rural electric cooperative in North Dakota, known for its extensive fiber optic network, proposes to offer a new high-speed broadband internet service in a previously underserved county. Considering North Dakota’s telecommunications regulatory framework, what primary factor would dictate whether the Public Service Commission (PSC) requires the cooperative to seek approval for its proposed pricing structure for this new service?
Correct
The North Dakota Century Code, specifically Chapter 49-20, addresses the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. Section 49-20-02 outlines the general powers of the Public Service Commission (PSC) regarding telecommunications, including the authority to set rates and service standards. However, North Dakota has adopted a policy of deregulation for competitive telecommunications markets, as evidenced by legislation that exempts certain services from PSC regulation when sufficient competition exists. For instance, the law generally presumes competition for services provided to businesses and for interexchange services. The key to determining PSC jurisdiction in North Dakota hinges on whether a service is deemed “competitive” and therefore exempt from direct price regulation. While the PSC retains oversight for ensuring universal service and addressing anti-competitive practices, the specific question of whether a new broadband internet service offered by a rural cooperative in North Dakota would require PSC approval for its pricing structure depends on the competitive landscape of that specific rural area, as determined by the PSC under the framework of the Century Code. The concept of “essential service” is implicitly considered when assessing competition, but the direct statutory authority for pricing approval is often waived if a market is found to be sufficiently competitive. The question tests the understanding of North Dakota’s approach to deregulating telecommunications services based on market competition, rather than a blanket regulatory requirement for all new services. The North Dakota Century Code’s framework prioritizes market forces where competition is present.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, addresses the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. Section 49-20-02 outlines the general powers of the Public Service Commission (PSC) regarding telecommunications, including the authority to set rates and service standards. However, North Dakota has adopted a policy of deregulation for competitive telecommunications markets, as evidenced by legislation that exempts certain services from PSC regulation when sufficient competition exists. For instance, the law generally presumes competition for services provided to businesses and for interexchange services. The key to determining PSC jurisdiction in North Dakota hinges on whether a service is deemed “competitive” and therefore exempt from direct price regulation. While the PSC retains oversight for ensuring universal service and addressing anti-competitive practices, the specific question of whether a new broadband internet service offered by a rural cooperative in North Dakota would require PSC approval for its pricing structure depends on the competitive landscape of that specific rural area, as determined by the PSC under the framework of the Century Code. The concept of “essential service” is implicitly considered when assessing competition, but the direct statutory authority for pricing approval is often waived if a market is found to be sufficiently competitive. The question tests the understanding of North Dakota’s approach to deregulating telecommunications services based on market competition, rather than a blanket regulatory requirement for all new services. The North Dakota Century Code’s framework prioritizes market forces where competition is present.
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Question 25 of 30
25. Question
Consider a newly formed enterprise, “Prairie Connect,” aiming to offer advanced broadband internet services across rural areas of North Dakota, including underserved regions previously lacking robust connectivity. Prairie Connect intends to leverage a combination of fixed wireless and fiber optic technologies. Before commencing operations and marketing its services to potential subscribers, what is the primary regulatory prerequisite mandated by North Dakota state law for Prairie Connect to legally operate as a telecommunications provider within the state?
Correct
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications company” and its scope. Section 49-20-05 addresses the certification of telecommunications providers, requiring a certificate of authority for any entity proposing to offer telecommunications services within the state. This certification process involves demonstrating financial viability, technical capability, and adherence to state regulations. Furthermore, North Dakota has adopted a policy of “regulatory flexibility” for telecommunications services, as outlined in various legislative acts and Public Service Commission (PSC) orders, aiming to promote competition and innovation while ensuring universal service. However, certain essential services or providers deemed to have market power may still be subject to more stringent oversight. The question probes the fundamental requirement for any entity wishing to provide telecommunications services in North Dakota, which is the acquisition of a certificate of authority from the Public Service Commission. This is a foundational aspect of telecommunications regulation in the state, ensuring that providers meet established standards before entering the market.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications company” and its scope. Section 49-20-05 addresses the certification of telecommunications providers, requiring a certificate of authority for any entity proposing to offer telecommunications services within the state. This certification process involves demonstrating financial viability, technical capability, and adherence to state regulations. Furthermore, North Dakota has adopted a policy of “regulatory flexibility” for telecommunications services, as outlined in various legislative acts and Public Service Commission (PSC) orders, aiming to promote competition and innovation while ensuring universal service. However, certain essential services or providers deemed to have market power may still be subject to more stringent oversight. The question probes the fundamental requirement for any entity wishing to provide telecommunications services in North Dakota, which is the acquisition of a certificate of authority from the Public Service Commission. This is a foundational aspect of telecommunications regulation in the state, ensuring that providers meet established standards before entering the market.
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Question 26 of 30
26. Question
A telecommunications carrier operating within North Dakota proposes to introduce a novel bundled service package that combines traditional voice transmission with advanced data streaming capabilities, a service not previously offered in the state. What is the primary procedural requirement mandated by North Dakota communications law for this carrier before the service can be legally offered to the public?
Correct
The North Dakota Century Code Chapter 49-20 governs the regulation of telecommunications services. Specifically, Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. Section 49-20-03 addresses the authority of the Public Service Commission (PSC) to regulate these services. When a telecommunications provider seeks to offer new services or modify existing ones in North Dakota, the PSC’s oversight is paramount. The question hinges on understanding the PSC’s procedural requirements for such changes, particularly concerning public notice and the opportunity for affected parties to comment. North Dakota law, like many states, emphasizes transparency and due process in regulatory actions that could impact consumers or competitors. The PSC is empowered to set rules for how providers must inform the public about proposed changes, typically through official publications or direct notification to potentially impacted customers. This ensures that interested parties, including other telecommunications providers and consumer advocacy groups, have a chance to review the proposal and voice any concerns before a final decision is made. The PSC’s role is to balance the need for innovation and service expansion with the protection of public interest and fair competition within the state’s telecommunications market. Therefore, a provider must adhere to the PSC’s established procedures for public notification and comment periods when introducing new services.
Incorrect
The North Dakota Century Code Chapter 49-20 governs the regulation of telecommunications services. Specifically, Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. Section 49-20-03 addresses the authority of the Public Service Commission (PSC) to regulate these services. When a telecommunications provider seeks to offer new services or modify existing ones in North Dakota, the PSC’s oversight is paramount. The question hinges on understanding the PSC’s procedural requirements for such changes, particularly concerning public notice and the opportunity for affected parties to comment. North Dakota law, like many states, emphasizes transparency and due process in regulatory actions that could impact consumers or competitors. The PSC is empowered to set rules for how providers must inform the public about proposed changes, typically through official publications or direct notification to potentially impacted customers. This ensures that interested parties, including other telecommunications providers and consumer advocacy groups, have a chance to review the proposal and voice any concerns before a final decision is made. The PSC’s role is to balance the need for innovation and service expansion with the protection of public interest and fair competition within the state’s telecommunications market. Therefore, a provider must adhere to the PSC’s established procedures for public notification and comment periods when introducing new services.
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Question 27 of 30
27. Question
Consider a scenario where “PrairieCom,” a telecommunications provider incorporated and operating solely within North Dakota, proposes to launch an innovative bundled service package combining traditional voice, high-speed internet, and a proprietary over-the-top video streaming platform. This offering is distinct from its previously approved services. Under North Dakota’s telecommunications regulatory framework, what is the general requirement for PrairieCom’s proposed bundled service offering before it can be legally implemented?
Correct
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications company” and outlines the scope of regulation. When a telecommunications company seeks to offer new services or modify existing ones that may impact competition or consumer welfare, the Public Service Commission (PSC) of North Dakota has oversight. The PSC’s authority is rooted in ensuring fair competition, preventing monopolies, and safeguarding public interest in telecommunications. Section 49-20-03 grants the PSC the power to approve or deny applications for new services or significant changes. The core principle is to balance the benefits of innovation and market expansion with the need for consumer protection and a stable telecommunications infrastructure. Without explicit legislative exemption or a specific finding by the PSC that a service is de-regulated due to market conditions, a telecommunications company operating within North Dakota is generally subject to the PSC’s review process for new service offerings. This process often involves demonstrating that the new service is in the public interest and does not unduly harm competition. The question hinges on understanding the default regulatory posture for telecommunications companies in North Dakota when introducing novel services.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications company” and outlines the scope of regulation. When a telecommunications company seeks to offer new services or modify existing ones that may impact competition or consumer welfare, the Public Service Commission (PSC) of North Dakota has oversight. The PSC’s authority is rooted in ensuring fair competition, preventing monopolies, and safeguarding public interest in telecommunications. Section 49-20-03 grants the PSC the power to approve or deny applications for new services or significant changes. The core principle is to balance the benefits of innovation and market expansion with the need for consumer protection and a stable telecommunications infrastructure. Without explicit legislative exemption or a specific finding by the PSC that a service is de-regulated due to market conditions, a telecommunications company operating within North Dakota is generally subject to the PSC’s review process for new service offerings. This process often involves demonstrating that the new service is in the public interest and does not unduly harm competition. The question hinges on understanding the default regulatory posture for telecommunications companies in North Dakota when introducing novel services.
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Question 28 of 30
28. Question
A resident of Fargo, North Dakota, files a formal complaint with the North Dakota Public Service Commission (PSC) alleging that their internet service provider, which offers both broadband and voice-over-IP services, has engaged in discriminatory bandwidth allocation, significantly degrading the quality of their voice calls while prioritizing data streaming for other customers. The provider argues that the market for internet services in Fargo is highly competitive and therefore outside the PSC’s regulatory purview for such operational matters. Under North Dakota communications law, what is the primary basis for the PSC’s authority to investigate and potentially address this complaint?
Correct
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. While the deregulation of telecommunications has been a trend nationwide, North Dakota retains regulatory authority over certain aspects to ensure universal service and prevent anticompetitive practices. Section 49-20-06 outlines the powers of the Public Service Commission (PSC) regarding telecommunications, including the ability to investigate complaints and issue orders. The question focuses on a specific scenario involving a complaint against a provider. The PSC’s authority to investigate and potentially order remedies is established by statute. The absence of a specific statutory exemption for competitive markets in this context means the PSC’s general investigatory powers under Chapter 49-20 would apply. The scenario describes a complaint that falls within the purview of telecommunications service as defined. Therefore, the PSC has the inherent authority to investigate and act upon such a complaint, even if the service is considered competitive, unless a specific exemption is provided, which is not indicated in the scenario. The key is the PSC’s broad mandate to ensure fair and adequate telecommunications services within the state.
Incorrect
The North Dakota Century Code, specifically Chapter 49-20, governs the regulation of telecommunications services. Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, and other information. While the deregulation of telecommunications has been a trend nationwide, North Dakota retains regulatory authority over certain aspects to ensure universal service and prevent anticompetitive practices. Section 49-20-06 outlines the powers of the Public Service Commission (PSC) regarding telecommunications, including the ability to investigate complaints and issue orders. The question focuses on a specific scenario involving a complaint against a provider. The PSC’s authority to investigate and potentially order remedies is established by statute. The absence of a specific statutory exemption for competitive markets in this context means the PSC’s general investigatory powers under Chapter 49-20 would apply. The scenario describes a complaint that falls within the purview of telecommunications service as defined. Therefore, the PSC has the inherent authority to investigate and act upon such a complaint, even if the service is considered competitive, unless a specific exemption is provided, which is not indicated in the scenario. The key is the PSC’s broad mandate to ensure fair and adequate telecommunications services within the state.
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Question 29 of 30
29. Question
A new enterprise, “PrairieLink Wireless,” establishes operations in rural North Dakota, providing high-speed internet access via fixed wireless technology to underserved communities. As a supplementary service, PrairieLink Wireless also offers voice-over-internet-protocol (VoIP) services to its subscribers, bundling it with the internet packages. Considering the regulatory landscape under North Dakota Century Code Chapter 49-21, which governs telecommunications services, how would PrairieLink Wireless’s primary business model of fixed wireless broadband with bundled VoIP most likely be classified for regulatory purposes by the North Dakota Public Service Commission, assuming no specific exemption or special order applies?
Correct
The question concerns the application of North Dakota’s statutory framework for regulating intrastate telecommunications services, specifically focusing on the classification of a provider under North Dakota Century Code (NDCC) Chapter 49-21. The scenario describes a company offering broadband internet access primarily through fixed wireless technology, with a secondary offering of voice-over-internet-protocol (VoIP) services. North Dakota law, particularly as interpreted and applied through the Public Service Commission’s (PSC) regulatory oversight, distinguishes between telecommunications carriers and providers of information services or other regulated entities. NDCC § 49-21-01 defines a “telecommunications carrier” broadly, but subsequent provisions and regulatory interpretations often differentiate services based on their primary function and the technology employed. Fixed wireless broadband, while a form of telecommunications, has historically been subject to less stringent regulation than traditional circuit-switched voice services, especially when the primary service is data transmission. VoIP services, while carrying voice, are often treated as an information service or a distinct category depending on the specific regulatory treatment and the nature of the underlying network. However, North Dakota law has evolved to consider the overall nature of the service. If the primary and dominant service offered is broadband internet access, and the VoIP is an ancillary or bundled feature, the entity may not be classified as a “telecommunications carrier” requiring full certification and rate regulation as a traditional telephone company under NDCC Chapter 49-21, unless specific provisions or PSC rulings mandate such classification based on the integration of services or market power. The scenario emphasizes fixed wireless broadband as the primary offering. North Dakota’s approach, like many states, has been to reduce regulatory burdens on broadband deployment to encourage investment. Therefore, a company whose core business is fixed wireless broadband, with VoIP as a secondary component, would likely be regulated based on its primary service. Without specific provisions in NDCC Chapter 49-21 or PSC orders explicitly reclassifying such integrated services as solely telecommunications carrier services requiring traditional utility regulation, the entity would likely be categorized in a manner that reflects its primary broadband focus. The key distinction is whether the entity is providing “telecommunications service” as defined and regulated under the chapter’s core provisions for traditional carriers, or if its dominant service falls outside that primary regulatory scope. Given the emphasis on fixed wireless broadband, the most accurate classification, absent specific contrary PSC action, would align with a less regulated status for its primary offering.
Incorrect
The question concerns the application of North Dakota’s statutory framework for regulating intrastate telecommunications services, specifically focusing on the classification of a provider under North Dakota Century Code (NDCC) Chapter 49-21. The scenario describes a company offering broadband internet access primarily through fixed wireless technology, with a secondary offering of voice-over-internet-protocol (VoIP) services. North Dakota law, particularly as interpreted and applied through the Public Service Commission’s (PSC) regulatory oversight, distinguishes between telecommunications carriers and providers of information services or other regulated entities. NDCC § 49-21-01 defines a “telecommunications carrier” broadly, but subsequent provisions and regulatory interpretations often differentiate services based on their primary function and the technology employed. Fixed wireless broadband, while a form of telecommunications, has historically been subject to less stringent regulation than traditional circuit-switched voice services, especially when the primary service is data transmission. VoIP services, while carrying voice, are often treated as an information service or a distinct category depending on the specific regulatory treatment and the nature of the underlying network. However, North Dakota law has evolved to consider the overall nature of the service. If the primary and dominant service offered is broadband internet access, and the VoIP is an ancillary or bundled feature, the entity may not be classified as a “telecommunications carrier” requiring full certification and rate regulation as a traditional telephone company under NDCC Chapter 49-21, unless specific provisions or PSC rulings mandate such classification based on the integration of services or market power. The scenario emphasizes fixed wireless broadband as the primary offering. North Dakota’s approach, like many states, has been to reduce regulatory burdens on broadband deployment to encourage investment. Therefore, a company whose core business is fixed wireless broadband, with VoIP as a secondary component, would likely be regulated based on its primary service. Without specific provisions in NDCC Chapter 49-21 or PSC orders explicitly reclassifying such integrated services as solely telecommunications carrier services requiring traditional utility regulation, the entity would likely be categorized in a manner that reflects its primary broadband focus. The key distinction is whether the entity is providing “telecommunications service” as defined and regulated under the chapter’s core provisions for traditional carriers, or if its dominant service falls outside that primary regulatory scope. Given the emphasis on fixed wireless broadband, the most accurate classification, absent specific contrary PSC action, would align with a less regulated status for its primary offering.
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Question 30 of 30
30. Question
Consider a scenario where a newly formed internet service provider in North Dakota, operating primarily in urban areas, argues that it should be exempt from contributing to a state-mandated fund designed to subsidize broadband deployment in rural communities. The provider contends that its business model does not directly benefit from the expansion of services in these less populated regions. Under North Dakota Century Code Chapter 49-20, what is the primary legal basis for the Public Service Commission’s authority to require such contributions from all telecommunications providers, regardless of their specific service areas, to support universal service obligations?
Correct
North Dakota Century Code Chapter 49-20 governs the regulation of telecommunications services. Specifically, Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, or other information by wire, radio, or other electromagnetic means. Section 49-20-04 establishes the authority of the North Dakota Public Service Commission (PSC) to regulate such services, including setting rates and ensuring service quality, unless specifically exempted. While the chapter allows for deregulation of certain competitive services, it maintains regulatory oversight for essential services or where competition is deemed insufficient. The PSC’s role is to balance consumer protection with fostering innovation and investment in the telecommunications sector. The question centers on the PSC’s authority to impose universal service obligations on providers, which is a key aspect of ensuring access to telecommunications services across the state, particularly in rural areas. This obligation is a common regulatory tool to address market failures where providing service to sparsely populated regions might not be economically viable without some form of subsidy or mandate. The PSC’s power to mandate such contributions is derived from its general regulatory authority under Chapter 49-20 to ensure adequate and affordable telecommunications service for all North Dakota residents.
Incorrect
North Dakota Century Code Chapter 49-20 governs the regulation of telecommunications services. Specifically, Section 49-20-01 defines “telecommunications service” broadly to include the transmission of voice, data, or other information by wire, radio, or other electromagnetic means. Section 49-20-04 establishes the authority of the North Dakota Public Service Commission (PSC) to regulate such services, including setting rates and ensuring service quality, unless specifically exempted. While the chapter allows for deregulation of certain competitive services, it maintains regulatory oversight for essential services or where competition is deemed insufficient. The PSC’s role is to balance consumer protection with fostering innovation and investment in the telecommunications sector. The question centers on the PSC’s authority to impose universal service obligations on providers, which is a key aspect of ensuring access to telecommunications services across the state, particularly in rural areas. This obligation is a common regulatory tool to address market failures where providing service to sparsely populated regions might not be economically viable without some form of subsidy or mandate. The PSC’s power to mandate such contributions is derived from its general regulatory authority under Chapter 49-20 to ensure adequate and affordable telecommunications service for all North Dakota residents.