House Bill 2278 would exempt all public utilities, including telecommunications companies, from the Kansas Consumer Protection Act (KCPA). Passage of HB 2278 would create a chilling effect on consumer protection efforts in Kansas by allowing these companies to circumvent the Attorney General’s power to investigate deceptive and unconscionable acts.
“This bill will make it much more difficult to protect Kansas consumers and will eliminate the oversight my office has of public utilities companies,” Morrison said. “It’s necessary to balance protections for consumers with business needs. This is not a good balance.”
As written, oversight and regulation of telecommunication companies would fall to the Kansas Corporation Commission (KCC). However, the KCC does not investigate deceptive or unconscionable acts. That obligation is left to the Attorney General’s Office through its statutory mandate of the KCPA.
“If this bill becomes law, Kansas consumers will no longer be protected from deceptive and unscrupulous business practices,” Morrison said. “And on top of that, these companies would no longer have to follow the Kansas No-Call Act.”
HB 2278 will also open the door for unauthorized billing and switching of long distance services by telecommunications companies. By removing the “supplier” tag from telecommunication companies, Kansas will lose local oversight of potential violations and be forced to rely on a federal agency to investigate these matters.
General Morrison concluded his testimony by stating that he would work with the proponents of this legislation to find a suitable compromise for all Kansans.
“I urge legislators to join me in continuing to protect Kansas consumers,” Morrison said.