AN ACT
1-1 relating to the telecommunications infrastructure fund.
1-2 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-3 SECTION 1. Subsection (a), Section 3.606, Public Utility
1-4 Regulatory Act of 1995 (Article 1446c-0, Vernon's Texas Civil
1-5 Statutes), is amended by amending Subdivision (5) and adding
1-6 Subdivisions (10) and (11) to read as follows:
1-7 (5) "School district" includes an independent school
1-8 district, a common school district, and a rural high school
1-9 district [has the meaning assigned by Section 19.001, Education
1-10 Code].
1-11 (10) "Public school" means a public elementary or
1-12 secondary school, including an open-enrollment charter school, a
1-13 home-rule school district school, and a school with a campus or
1-14 campus program charter.
1-15 (11) "Taxable telecommunications receipts" means
1-16 taxable telecommunications receipts reported under Chapter 151, Tax
1-17 Code.
1-18 SECTION 2. Section 3.606, Public Utility Regulatory Act of
1-19 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is amended
1-20 by amending Subsections (j) through (u) and adding Subsections (w)
1-21 and (x) to read as follows:
1-22 (j) An annual assessment is imposed on each
1-23 telecommunications utility and each commercial mobile service
2-1 provider doing business in this state. The assessment is imposed
2-2 at the rate of 1.25 percent of the taxable telecommunications
2-3 receipts of each telecommunications utility and commercial mobile
2-4 service provider subject to the assessment, subject to Subsection
2-5 (k) of this section.
2-6 (k) The total amount deposited to the credit of the fund,
2-7 excluding interest and loan repayments, may not exceed $1.5
2-8 billion. Not later than August 31 of each year, the comptroller
2-9 shall determine the total amount, excluding interest and loan
2-10 repayments, that has been deposited to the credit of the fund
2-11 during that fiscal year and the preceding fiscal years. If the
2-12 comptroller determines that a total of $1.2 billion or more,
2-13 excluding interest and loan repayments, has been deposited to the
2-14 credit of the fund, the comptroller shall impose the assessment
2-15 during the next fiscal year at a rate that the comptroller
2-16 estimates is sufficient to produce the amount necessary to result
2-17 in the deposit in the fund of a total of not more than $1.5
2-18 billion, excluding interest and loan repayments. The comptroller
2-19 may not collect the assessment during a fiscal year if the
2-20 comptroller determines after the yearly review that the total
2-21 amount deposited to the credit of the fund during that fiscal year
2-22 and the preceding fiscal years is $1.49 billion or more, excluding
2-23 interest and loan repayments, and it is not possible to impose the
2-24 assessment during the next fiscal year at a practical rate without
2-25 collecting more than a total of $1.5 billion, excluding interest
3-1 and loan repayments.
3-2 (l) [The fund is composed of the telecommunications
3-3 utilities account and the commercial mobile service providers
3-4 account. The telecommunications utilities account is financed by
3-5 an annual assessment on all telecommunications utilities doing
3-6 business in this state. Each telecommunications utility shall pay
3-7 the annual assessment in accordance with the ratio that the annual
3-8 taxable telecommunications receipts reported by that
3-9 telecommunications utility under Chapter 151, Tax Code, bears to
3-10 the total annual taxable telecommunications receipts reported by
3-11 all telecommunications utilities under Chapter 151, Tax Code.]
3-12 [(k) The commercial mobile service providers account is
3-13 financed by an annual assessment on all commercial mobile service
3-14 providers doing business in this state. Each commercial mobile
3-15 service provider shall pay the annual assessment in accordance with
3-16 the ratio that the annual taxable telecommunications receipts
3-17 reported by that provider under Chapter 151, Tax Code, bears to the
3-18 total annual taxable telecommunications receipts reported by all
3-19 commercial mobile service providers under Chapter 151, Tax Code.]
3-20 [(l) For the fiscal year beginning September 1, 1995, and
3-21 for the nine fiscal years immediately following that year, for a
3-22 total of 10 years, the comptroller shall assess and collect a total
3-23 annual amount of $75 million from telecommunications utilities and
3-24 a total annual amount of $75 million from commercial mobile service
3-25 providers. The amounts assessed against both the
4-1 telecommunications utilities and the commercial mobile service
4-2 providers shall be assessed and collected in each year without
4-3 respect to whether all of the funds previously collected and
4-4 deposited in either or both accounts have been disbursed or spent
4-5 due to lack of demand or otherwise.]
4-6 [(m)] The comptroller may require telecommunications
4-7 utilities and commercial mobile service providers to provide any
4-8 reports and information as are needed to fulfill the duties of the
4-9 comptroller provided by this section. Any information provided to
4-10 the comptroller by a telecommunications utility or commercial
4-11 mobile service provider under this section is confidential and
4-12 exempt from disclosure under Chapter 552, Government Code.
4-13 (m) The comptroller shall deposit 50 percent of the
4-14 [(n) All] amounts collected by the comptroller [from
4-15 telecommunications utilities] under Subsection (j) [(l)] of this
4-16 section [shall be deposited] to the credit of the public schools
4-17 [telecommunications utilities] account in the telecommunications
4-18 infrastructure fund in the state treasury. The comptroller shall
4-19 deposit the remainder of the [All] amounts collected by the
4-20 comptroller under Subsection (j) of this section [from commercial
4-21 mobile service providers under Subsection (l) of this section shall
4-22 be deposited] to the credit of the qualifying entities [commercial
4-23 mobile service providers] account in the telecommunications
4-24 infrastructure fund in the state treasury. Interest earned on
4-25 money in an account shall be deposited to the credit of that
5-1 account. Money in the fund may be appropriated only for a use
5-2 consistent with the purposes of this section. [Sections 403.094
5-3 and 403.095, Government Code, do not apply to the fund or either
5-4 account.]
5-5 (n) [(o)] From funds appropriated to the board, the
5-6 comptroller shall issue warrants as requested by the board in
5-7 accordance with the purposes of this section, including warrants to
5-8 grantees of the board in amounts certified by the board to the
5-9 comptroller.
5-10 (o) [(p)] In addition to any appropriated funds, the board
5-11 may accept gifts, grants, and donations and use them for the
5-12 purposes of this section.
5-13 (p) [(q)] The board shall use money in the public schools
5-14 [telecommunications utilities] account to award grants and loans in
5-15 accordance with this section to fund equipment [purchases],
5-16 including computers, printers, computer labs, and video equipment,
5-17 for public schools and for intracampus and intercampus wiring to
5-18 enable those public schools to use the equipment. The board shall
5-19 use money in the qualifying entities [commercial mobile service
5-20 providers] account for any purpose authorized by this section,
5-21 including equipment [purchases], wiring, material, program
5-22 development, training, installation costs, or any statewide
5-23 telecommunications network.
5-24 (q) [(r)] Subject to the limitations prescribed by
5-25 Subsection (p) [(q)] of this section, the board may award grants to
6-1 projects and proposals that:
6-2 (1) provide equipment and infrastructure needed for
6-3 distance learning, information sharing programs of libraries, and
6-4 telemedicine services;
6-5 (2) develop and implement the initial or prototypical
6-6 delivery of courses and other distance learning material;
6-7 (3) train teachers, faculty, librarians, or
6-8 technicians in the use of distance learning or information sharing
6-9 materials and equipment;
6-10 (4) develop curricula and instructional material
6-11 especially suited for delivery by telecommunications;
6-12 (5) provide electronic information; or
6-13 (6) establish or carry out information sharing
6-14 programs.
6-15 (r) [(s)] Subject to the limitations prescribed by
6-16 Subsection (p) [(q)] of this section, the board may award loans to
6-17 projects and proposals to acquire equipment needed for distance
6-18 learning and telemedicine projects.
6-19 (s) [(t)] In awarding grants and loans in accordance with
6-20 this section, the board shall give priority to projects and
6-21 proposals that:
6-22 (1) represent collaborative efforts involving multiple
6-23 schools, universities, or libraries;
6-24 (2) contribute matching funds from other sources;
6-25 (3) show promise of becoming self-sustaining;
7-1 (4) help users of information learn new ways to
7-2 acquire and use information through telecommunications;
7-3 (5) extend specific educational information and
7-4 knowledge services to groups not previously served, especially
7-5 those in rural and remote areas;
7-6 (6) result in more efficient or effective learning
7-7 than through conventional teaching;
7-8 (7) improve the effectiveness and efficiency of health
7-9 care delivery; or
7-10 (8) take advantage of distance learning opportunities
7-11 in rural and urban school districts with disproportionate numbers
7-12 of at-risk youths or with high dropout rates.
7-13 (t) The board shall adopt a master plan for infrastructure
7-14 development. The plan must cover a five-year period and be updated
7-15 annually. The plan must describe the project, timeline, and
7-16 resource allocation targets for each year included in the plan.
7-17 The board shall publish each proposed amendment to the plan and
7-18 each proposed annual update in the Texas Register in accordance
7-19 with Subchapter B, Chapter 2002, Government Code.
7-20 (u) The Texas Higher Education Coordinating Board, the Texas
7-21 [Central] Education Agency, and the Texas State Library and
7-22 Archives Commission shall adopt policies and procedures in
7-23 consultation with the board that are designed to aid the board in
7-24 achieving the purposes of this section.
7-25 (w) The board may adopt rules as necessary to administer
8-1 this section.
8-2 (x) If a board member is an employee of an entity that
8-3 applies for a grant or loan under this section, the board member,
8-4 before a vote on the grant or loan, shall disclose the fact of the
8-5 member's employment. The disclosure must be entered into the
8-6 minutes of the meeting. The board member may not vote on or
8-7 otherwise participate in the awarding of the grant or loan. If the
8-8 board member does not comply with this subsection, the entity is
8-9 not eligible for the grant or loan.
8-10 SECTION 3. (a) A reference in law to the telecommunications
8-11 utilities account means the public schools account. A reference in
8-12 law to the commercial mobile service providers account means the
8-13 qualifying entities account.
8-14 (b) On the effective date of this Act:
8-15 (1) money in the telecommunications utilities account
8-16 is transferred to the public schools account; and
8-17 (2) money in the commercial mobile service providers
8-18 account is transferred to the qualifying entities account.
8-19 (c) The validity of an act done, an obligation incurred, or
8-20 a right accrued before the transfer of money under Subsection (b)
8-21 of this section is not affected by the transfer.
8-22 SECTION 4. (a) This Act takes effect on the first day of
8-23 the first calendar quarter beginning on or after the earliest date
8-24 that it may take effect under Section 39, Article III, Texas
8-25 Constitution, and applies only to an assessment that accrues on or
9-1 after that date.
9-2 (b) The change in law made by this Act does not affect
9-3 liability for an assessment that accrued before the effective date
9-4 of this Act. That liability continues in effect as if this Act had
9-5 not been enacted, and the former law is continued in effect for the
9-6 collection of an assessment due and for civil and criminal
9-7 enforcement of the liability for that assessment.
9-8 SECTION 5. The importance of this legislation and the
9-9 crowded condition of the calendars in both houses create an
9-10 emergency and an imperative public necessity that the
9-11 constitutional rule requiring bills to be read on three several
9-12 days in each house be suspended, and this rule is hereby suspended,
9-13 and that this Act take effect and be in force according to its
9-14 terms, and it is so enacted.
S.B. No. 249
________________________________ ________________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 249 passed the Senate on
February 4, 1997, by the following vote: Yeas 30, Nays 0;
April 4, 1997, Senate refused to concur in House amendments and
requested appointment of Conference Committee; April 16, 1997,
House granted request of the Senate; May 5, 1997, Senate adopted
Conference Committee Report by the following vote: Yeas 30,
Nays 0.
_______________________________
Secretary of the Senate
I hereby certify that S.B. No. 249 passed the House, with
amendments, on March 25, 1997, by the following vote: Yeas 140,
Nays 3, one present not voting; April 16, 1997, House granted
request of the Senate for appointment of Conference Committee;
May 6, 1997, House adopted Conference Committee Report by the
following vote: Yeas 133, Nays 7, one present not voting.
_______________________________
Chief Clerk of the House
Approved:
________________________________
Date
________________________________
Governor