Enacts new subsection (l) under GS 62-133.5 to provide that a local exchange company may elect alternative regulation under this proposed section providing that it meets specified criteria including foregoing funding from a state universal service fund or alternate funding mechanism and having territory open to competition from competing local providers. Provides that the election of the alternative regulation is effective immediately upon the filing of the local exchange company. Adds subsection (k1) to provide that a local exchange company that has made an alternative election under proposed subsection (l) is no longer subject to the requirement to report annually to the General Assembly on or after the third anniversary following the date of the local exchange company’s election. Provides that a local exchange company’s election of the alternative regulation under new GS 62-133.5(l) does not affect (1) the obligations or rights of an incumbent local exchange carrier as defined under federal law and regulations nor (2) North Carolina Utilities Commissions (Commission) jurisdiction concerning specified enforcement and regulatory authority. Provides that a local exchange company’s election under this proposed subsection does not prevent a consumer from seeking the assistance of the Commission to resolve a complaint with the local exchange company as provided in GS 62-73.1. Makes conforming changes to GS 62-133.5 and 62-302(b)(4)b. Amends GS 62-110(f1) to provide that a local exchange that has chosen alternative regulation under proposed GS 62-133.5(l) does not have any carrier of last resort obligations.