The commission shall commence a proceeding to:
(1) Identify and quantify implicit subsidies within the rates of incumbent telephone corporations including, but not limited to: Access charges paid by intrastate interexchange carriers to incumbent telephone corporations including all of the carrier common line charge;
(2) Above cost rates paid by one (1) class of customers to reduce the price paid by another class of customers; and
(3) Imputation of revenue from nonregulated telecommunications services.
(4) Determine a mechanism for removal of the subsidies from the rates of incumbent telephone corporations and the creation of explicit subsidy mechanisms.
(5) Determine revisions that may be necessary to section 62-610, Idaho Code, regarding universal service in order to comply with the telecommunications act of 1996 and regulations promulgated thereunder.
(6) On or before the first day of December 1997, the commission shall issue a report to the governor and the legislature recommending any necessary or desirable legislation concerning state and federal universal support mechanisms, the removal of implicit subsidies from rates and other telecommunication matters.