(1) The purpose of these rules is to implement the policy of the state of Montana to maintain universal basic telecommunications service at affordable rates and, to the extent that it is consistent with maintaining universal service to encourage competition in the telecommunications industry, thereby allowing access by the public to advances in telecommunications technology.

(2) Regulatory jurisdiction exists over two-way switched, voice grade access and transport of communications originating and terminating in this state and nonvoice grade access and transport if intended to be converted to or from voice-grade access and transport. The commission retains the power to protect ratepayer interests by totally regulating the rates for telecommunication services that are provided on a monopoly basis.

(3) These rules, adopted pursuant to the Montana Telecommunications Act and in accordance with the Montana Administrative Procedure Act, may be cited as the Montana Telecommunications Act Rules.