By: Sibley, et al. S.B. No. 1783
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the regulation of telecommunications services, fees,
1-3 and programs.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subchapter E, Chapter 54, Utilities Code, is
1-6 amended by adding Section 54.2045 to read as follows:
1-7 Sec. 54.2045. LIMITATIONS ON PROVISION OF SERVICE BY
1-8 MUNICIPALITY. (a) A municipality otherwise authorized by law to
1-9 provide an advanced service or any other communications service to
1-10 the public may do so only in compliance with the following
1-11 requirements:
1-12 (1) a municipality may only begin offering an advanced
1-13 service or other communications service, either directly or through
1-14 an electric system which it owns, operates, and controls, after
1-15 approval by a majority of the municipality's voters casting ballots
1-16 on a proposal authorizing the municipality to provide such service;
1-17 and
1-18 (2) if a municipality offers an advanced service or
1-19 other communications service to the public, either directly or
1-20 through an electric system which it owns, operates, and controls,
1-21 and does so in competition with a private provider, the
1-22 municipality must conduct its activities in the provision of such
1-23 services and its regulation and control of competitors in a manner
1-24 so as to avoid cross-subsidization or other discriminatory
1-25 practices that could limit competition, and shall specifically
2-1 ensure non-discriminatory treatment among all providers with
2-2 respect to:
2-3 (A) all financial and operational requirements
2-4 imposed by the municipality;
2-5 (B) requiring that a franchise, license, or
2-6 other authorization be obtained by a provider before such services
2-7 may be offered within the municipality;
2-8 (C) compliance with municipal regulations and
2-9 requirements governing the construction, operation, and maintenance
2-10 of facilities used in the provision of service; and
2-11 (D) access to the municipality's or electric
2-12 system's poles and conduits at comparable terms and conditions and
2-13 at rates that would apply if the municipality were subject to the
2-14 provisions of Section 224, Federal Communications Act of 1934 (47
2-15 U.S.C. Section 224), as amended.
2-16 (b) If a municipality offers an advanced service or other
2-17 communications service to the public, either directly or indirectly
2-18 through an electric system which it owns, operates, and controls,
2-19 in competition with a private provider, no revenues obtained from
2-20 electric service ratepayers shall be used to finance the
2-21 construction and deployment of facilities used in the provision of
2-22 service; payments in lieu of property taxes shall be made to the
2-23 municipality; and tying arrangements and price discrimination
2-24 activities of the sort commonly proscribed by antitrust law shall
2-25 be prohibited.
2-26 SECTION 2. Chapter 55, Utilities Code, is amended by adding
3-1 Subchapter L to read as follows:
3-2 SUBCHAPTER L. DEPLOYMENT OF ADVANCED SERVICES TO RURAL AREAS
3-3 Sec. 55.401. POLICY. It is the policy of this state to:
3-4 (1) ensure the availability of advanced services to
3-5 every residential and business customer;
3-6 (2) ensure that access in rural areas to advanced
3-7 services is reasonably comparable in price, terms, conditions, and
3-8 quality as that provided in urban areas; and
3-9 (3) encourage the deployment of advanced services,
3-10 without regard to any specific transmission medium or technology,
3-11 to all communities of the state and to any person.
3-12 Sec. 55.402. DEFINITIONS. In this subchapter:
3-13 (1) "Advanced service" means a service that,
3-14 regardless of transmission medium or technology, is capable of
3-15 originating and receiving data transmissions with an upstream speed
3-16 of at least 128 kilobits per second and a downstream speed of at
3-17 least 200 kilobits per second.
3-18 (2) "Anchor tenancy" means the use, in a rural
3-19 community under this subchapter, of advanced services by large
3-20 scale consumers, including but not limited to local government,
3-21 schools, and libraries, to guarantee a certain level of demand that
3-22 is large enough to take advantage of economies of scale sufficient
3-23 to:
3-24 (A) mitigate the risk of making a relatively
3-25 high fixed investment in advanced services infrastructure; or
3-26 (B) encourage private sector investment in the
4-1 infrastructure adequate to provide state-of-the-art advanced
4-2 services to a given community.
4-3 (3) "Bona fide request" means a retail request from a
4-4 person residing in a rural community that:
4-5 (A) requests that a provider offer an advanced
4-6 service in the community and sets forth the name, address, and
4-7 telephone number of each person to whom service is to be provided;
4-8 (B) sets forth the service area proposed to be
4-9 served within the community; and
4-10 (C) contains the agreement of the customer to
4-11 presubscribe to an advanced service the provider offers in the
4-12 rural community with a minimum term commitment of one year at
4-13 prices and on terms and conditions reasonably comparable to those
4-14 offered in the company's larger exchanges.
4-15 (4) "Commission" means the Public Utility Commission
4-16 of Texas.
4-17 (5) "Community networks" means advanced services
4-18 networks in a rural community under this subchapter that allow
4-19 broad community participation and utilization of advanced services
4-20 by private and public sector users.
4-21 (6) "Community technology centers" means centers that
4-22 provide individuals or organizations with access to computers,
4-23 technology literacy training, the Internet, technical support, and
4-24 staff training.
4-25 (7) "Company" means a local exchange company that has
4-26 a certificate of convenience and necessity.
5-1 (8) "Demand aggregation" means the joining together of
5-2 several small consumers who desire advanced services and hold
5-3 themselves out to a provider of advanced services as a single
5-4 consumer that is large enough to warrant private investment in
5-5 providing the requested service, thereby combining the buying power
5-6 of the small consumers.
5-7 (9) "Local solutions" means a documented attempt by a
5-8 local government, including but not limited to a county
5-9 commissioners court, city council, or economic development
5-10 authority, or private initiative to encourage the deployment of
5-11 advanced services to a community by the use of demand aggregation,
5-12 anchor tenancy, community networks, or any similar means approved
5-13 by the commission.
5-14 (10) "Market failure" means the inability of a rural
5-15 community to obtain deployment of an advanced service through
5-16 market-based deployment, the incentive process provided under
5-17 Sections 55.4025 and 55.403, or the local solutions made available
5-18 under Section 55.404.
5-19 (11) "Rural community" means a home-rule or
5-20 general-law municipality with a population of less than 20,000 that
5-21 is not located in a county that has a municipality with a
5-22 population greater than 190,000.
5-23 (12) "Urban" means a municipality with a population of
5-24 more than 190,000.
5-25 Sec. 55.4025. INCENTIVE ELECTION AND PROCESSES TO ASSIST IN
5-26 MAKING ADVANCED SERVICES AVAILABLE. (a) This section applies to a
6-1 company that has elected under Chapter 59.
6-2 (b) Upon notification to the commission that a rural
6-3 community has 75 bona fide requests for an advanced service, the
6-4 rural community, upon commission approval, may utilize funding
6-5 sources under Section 55.404(b) to attract any provider of advanced
6-6 services in the state if the community is not already receiving
6-7 advanced services, as defined in Section 55.402, from a wire-line
6-8 provider.
6-9 (c) The commission shall post publicly the number of bona
6-10 fide requests for an advanced service in each rural community.
6-11 (d) As an incentive to deploy advanced services in the
6-12 state, a company electing under Chapter 59, without having to elect
6-13 under Chapter 58, may, upon notification to the commission, elect
6-14 to have its services established as basic network services
6-15 according to Section 58.051, nonbasic services according to Section
6-16 58.151, and new services according to Section 58.153. In addition,
6-17 the rate cap provision in Section 58.054, pricing and packaging
6-18 flexibility in Section 59.031, and pricing provisions in Section
6-19 58.152, applicable to basic network and nonbasic services, shall
6-20 also be applicable. An election pursuant to this section
6-21 supersedes any provisions in any prior commission orders relating
6-22 to pricing of services specific to the electing company. A company
6-23 may elect this incentive plan only if the company is required to
6-24 provide services under Subsection (e).
6-25 (e) If, 120 days after the posting of 75 bona fide requests
6-26 for an advanced service by the commission, a rural community has
7-1 not entered into a contract with a provider of advanced services,
7-2 then a company to which this section applies shall provide an
7-3 advanced service to its wire-line customers within its certificated
7-4 area that is reasonably comparable to an advanced service provided
7-5 in its larger exchanges. The company shall offer the advanced
7-6 service:
7-7 (1) at prices, terms, conditions, and quality that are
7-8 reasonably comparable to the prices, terms, conditions, and quality
7-9 for the similar advanced service provided by the company in its
7-10 larger exchanges; and
7-11 (2) within nine months after the requirement to
7-12 provide an advanced service for a community within its service
7-13 area.
7-14 (f) This section may not be construed to require a company
7-15 to:
7-16 (1) begin providing service in an area in which the
7-17 company does not provide local exchange service; or
7-18 (2) provide a service in an area of this state unless
7-19 the company provides the service in a larger exchange for which it
7-20 is certificated to serve.
7-21 (g) The requirements of Subsection (e) shall be considered
7-22 met:
7-23 (1) if a company described under Subsection (a) has
7-24 provided or deploys advanced services in the rural community; or
7-25 (2) if alternative telecommunications carriers, cable
7-26 companies, wireless providers, or satellite companies provide
8-1 advanced services to the customers of the rural community.
8-2 (h) Notwithstanding any other provision of this title, the
8-3 commission has all jurisdiction necessary to enforce this section.
8-4 (i) Section 14.101 does not apply to a company electing to
8-5 Subsection (d) that has fulfilled the requirements of this section.
8-6 Sec. 55.403. PROVISION OF ADVANCED SERVICES. (a) This
8-7 section applies to a company as defined in Section 55.402.
8-8 (b) Upon notification to the commission that a rural
8-9 community has 75 bona fide requests for an advanced service, the
8-10 rural community, upon commission approval, may utilize funding
8-11 sources under Section 55.404(b) to attract any provider of advanced
8-12 services in the state if the community is not already receiving
8-13 advanced services, as defined in Section 55.402, from a wire-line
8-14 provider.
8-15 (c) The commission shall post publicly the number of bona
8-16 fide requests for an advanced service in each rural community.
8-17 (d) If, 120 days after the posting of 75 bona fide requests
8-18 for an advanced service by the commission, a community has not
8-19 entered into a contract with a provider of advanced services, then
8-20 a company to which this section applies shall provide an advanced
8-21 service to its wire-line customers within its certificated area
8-22 that is reasonably comparable to the advanced service provided in
8-23 its larger exchanges. The advanced service a company offers is
8-24 reasonably comparable to the advanced service a community requests
8-25 if it meets or exceeds the criteria of Section 55.402(1). Upon
8-26 such request the company shall:
9-1 (1) provide an advanced service; or
9-2 (2) enter into a partnership or joint venture with
9-3 another provider of advanced services in order to provide an
9-4 advanced service.
9-5 (e) An advanced service shall be provided by the company:
9-6 (1) at prices, terms, conditions, and quality that are
9-7 reasonably comparable to the prices, terms, conditions, and quality
9-8 for the similar advanced services provided by the company in its
9-9 larger exchanges; and
9-10 (2) within nine months after the requirement to
9-11 provide an advanced service for a community within its service
9-12 area.
9-13 (f) The price of an advanced service is reasonably
9-14 comparable if it is offered at monthly rates no higher than 125
9-15 percent of the price of comparable advanced services offered by the
9-16 same provider in its other service territories. The terms and
9-17 conditions of an offering of advanced service are reasonably
9-18 comparable if the terms and conditions are applicable to the
9-19 advanced service of the same technology offered by the same
9-20 provider in its other service territories. The quality of an
9-21 offering of advanced service is reasonably comparable if the
9-22 advanced service a provider offers under this section has a similar
9-23 level of reliability to another advanced service.
9-24 (g) The requirements of Subsection (d) shall be considered
9-25 met:
9-26 (1) if a company described under Subsection (a) has
10-1 provided or deploys advanced services in the rural community; or
10-2 (2) if alternative telecommunications carriers, cable
10-3 companies, wireless providers, or satellite companies provide
10-4 advanced services to the customers of the rural community.
10-5 Sec. 55.404. DEPLOYMENT OF ADVANCED SERVICES TO RURAL
10-6 COMMUNITIES. (a) The state believes it is important that
10-7 companies and rural communities seek local solutions to encourage
10-8 the deployment of advanced services. The state determines that the
10-9 following local solutions are best practices for encouraging
10-10 deployment of such services in rural communities of the state:
10-11 (1) demand aggregation;
10-12 (2) anchor tenancy; and
10-13 (3) community networks.
10-14 (b) In addition to the provisions of Subsection (a), and in
10-15 accordance with Sections 55.4025 and 55.403, a rural community may
10-16 seek to fund advanced services through the following means:
10-17 (1) funding sources identified in the Development
10-18 Corporation Act of 1979 (Article 5190.6, Vernon's Texas Civil
10-19 Statutes);
10-20 (2) telecommunications infrastructure fund grants to
10-21 provide community technology centers;
10-22 (3) community development block grants;
10-23 (4) Texas Agricultural Finance Authority financing; or
10-24 (5) other business incentives within the jurisdiction
10-25 of the local government's authority.
10-26 (c) Upon a showing to the commission that market failure has
11-1 occurred, and that the incentive and local solutions processes
11-2 under this subchapter have been unsuccessful in encouraging the
11-3 deployment of advanced services in a rural community, the
11-4 appropriate local governmental body or residents on petition of 25
11-5 percent of the voting age residents may request of the commission
11-6 permission to:
11-7 (1) allow private entities within the jurisdictional
11-8 boundaries of the local government to use the state's consolidated
11-9 telecommunications system only for purposes of providing an
11-10 advanced service;
11-11 (2) seek telecommunications infrastructure fund grants
11-12 to provide advanced services infrastructure; or
11-13 (3) provide an advanced service to the rural community
11-14 as allowed by law.
11-15 Sec. 55.405. STATEWIDE ADVANCED SERVICES STRATEGIC PLANNING.
11-16 (a) The commission is responsible for strategic planning for the
11-17 deployment of advanced services to end use customers in rural
11-18 communities.
11-19 (b) The commission shall coordinate with and provide
11-20 direction to other agencies regarding the deployment of advanced
11-21 services or issues that may affect the deployment of advanced
11-22 services throughout the state.
11-23 (c) In order to perform strategic planning, the commission
11-24 may collect and make use of data and information considered
11-25 reasonably necessary to verify efficient deployment of advanced
11-26 services throughout the state.
12-1 (d) Information obtained pursuant to this subchapter is
12-2 confidential, shall not be disclosed, and is excepted from public
12-3 disclosure under Chapter 552, Government Code.
12-4 Sec. 55.4055. STUDY REGARDING COMPETITION IN ADVANCED
12-5 SERVICES MARKET. (a) In conjunction with fulfilling the strategic
12-6 planning objectives in Section 55.405, the commission shall study
12-7 and report to the legislature on the status of the development and
12-8 vitality of competition in the market for providing advanced
12-9 services, including the related impact on the competitive provision
12-10 of local exchange telephone service, both in the rural areas of the
12-11 state as well as the urban areas of the state.
12-12 (b) The report required by Subsection (a) shall include
12-13 recommendations for legislation the commission determines
12-14 appropriate to promote the development and vitality of competition
12-15 in the market for providing advanced services, as well as providing
12-16 local exchange telephone service, in rural and urban areas of the
12-17 state.
12-18 (c) The report required by Subsection (a) shall include an
12-19 evaluation of and recommendations for legislation the commission
12-20 determines appropriate regarding the impact of long distance
12-21 charges and their inputs on rural citizens who pay long distance
12-22 charges to connect with their chosen Internet service provider.
12-23 (d) The report required by Subsection (a) shall include an
12-24 evaluation of and recommendations for legislation the commission
12-25 determines appropriate regarding the availability and cost of
12-26 high-speed transport service and the related impact on the
13-1 provision of advanced services in rural areas.
13-2 (e) The commission shall file the report required by
13-3 Subsection (a) with the legislature not later than January 15,
13-4 2003.
13-5 Sec. 55.406. COMMISSION AUTHORITY. This subchapter
13-6 establishes the state's uniform policy for the deployment of
13-7 advanced services in rural communities. Accordingly, this
13-8 subchapter supersedes any provisions in any prior commission
13-9 orders. Notwithstanding any other provision of this title, the
13-10 commission has all jurisdiction necessary to enforce this
13-11 subchapter. Not later than November 1, 2004, the commission shall
13-12 begin a review and evaluation of the availability and quality of
13-13 advanced services and information services in rural and high cost
13-14 areas, as well as the issue of whether the definition of advanced
13-15 service should be modified to take into account advances in
13-16 technology and changes in market conditions. The commission shall
13-17 file a report with the legislature not later than January 1, 2005.
13-18 The report shall include the commission's recommendations on the
13-19 issues reviewed and evaluated.
13-20 SECTION 3. Section 57.042, Utilities Code, is amended to
13-21 read as follows:
13-22 Sec. 57.042. DEFINITIONS. In this subchapter:
13-23 (1) "Advanced service" has the meaning assigned by
13-24 Section 55.402.
13-25 (2) "Ambulatory health care center" means a health
13-26 care clinic or an association of such a clinic that is:
14-1 (A) exempt from federal income taxation under
14-2 Section 501(a), Internal Revenue Code of 1986, as amended, as an
14-3 organization described by Section 501(c)(3), as amended; and
14-4 (B) funded wholly or partly by a grant under 42
14-5 U.S.C. Section 254b, 254c, or 256, as amended.
14-6 (3) [(2)] "Board" means the telecommunications
14-7 infrastructure fund board.
14-8 (4) [(3)] "Commercial mobile service provider" means a
14-9 provider of commercial mobile service as defined by Section 332(d),
14-10 Communications Act of 1934 (47 U.S.C. Section 151 et seq.), Federal
14-11 Communications Commission rules, and the Omnibus Budget
14-12 Reconciliation Act of 1993 (Pub. L. No. 103-66).
14-13 (5) "Community technology centers" has the meaning
14-14 assigned by Section 55.402.
14-15 (6) [(4)] "Fund" means the telecommunications
14-16 infrastructure fund.
14-17 (7) [(5)] "Institution of higher education" means:
14-18 (A) an institution of higher education as
14-19 defined by Section 61.003, Education Code; or
14-20 (B) a private or independent institution of
14-21 higher education as defined by Section 61.003, Education Code.
14-22 (8) [(6)] "Library" means:
14-23 (A) a public library or regional library system
14-24 as those terms are defined by Section 441.122, Government Code; or
14-25 (B) a library operated by an institution of
14-26 higher education or a school district.
15-1 (9) [(7)] "Public not-for-profit health care facility"
15-2 means a rural or regional hospital or other entity such as a rural
15-3 health clinic that:
15-4 (A) is supported by local or regional tax
15-5 revenue;
15-6 (B) is a certified not-for-profit health
15-7 corporation, under federal law; or
15-8 (C) is an ambulatory health care center.
15-9 (10) [(8)] "School district" includes an independent
15-10 school district, a common school district, and a rural high school
15-11 district.
15-12 (11) [(9)] "Public school" means a public elementary
15-13 or secondary school, including an open-enrollment charter school, a
15-14 home-rule school district school, and a school with a campus or
15-15 campus program charter.
15-16 (12) "Rural community" has the meaning assigned by
15-17 Section 55.402.
15-18 (13) [(10)] "Taxable telecommunications receipts"
15-19 means taxable telecommunications receipts reported under Chapter
15-20 151, Tax Code.
15-21 (14) [(11)] "Telemedicine":
15-22 (A) means medical services delivered by
15-23 telecommunications technologies to rural or underserved public
15-24 not-for-profit health care facilities or primary health care
15-25 facilities in collaboration with an academic health center and an
15-26 associated teaching hospital or tertiary center or with another
16-1 public not-for-profit health care facility; and
16-2 (B) includes consultive services, diagnostic
16-3 services, interactive video consultation, teleradiology,
16-4 telepathology, and distance education for working health care
16-5 professionals.
16-6 SECTION 4. Section 57.046, Utilities Code, is amended to
16-7 read as follows:
16-8 Sec. 57.046. USE OF ACCOUNTS. (a) The board shall use
16-9 money in the public schools account to award grants and loans in
16-10 accordance with this subchapter to fund:
16-11 (1) equipment for public schools, including computers,
16-12 printers, computer labs, and video equipment; and
16-13 (2) intracampus and intercampus wiring to enable those
16-14 public schools to use the equipment.
16-15 (b) The board shall use money in the qualifying entities
16-16 account for any purpose authorized by this subchapter, including:
16-17 (1) equipment;
16-18 (2) wiring;
16-19 (3) material;
16-20 (4) program development;
16-21 (5) training;
16-22 (6) installation costs; [and]
16-23 (7) a statewide telecommunications network; and
16-24 (8) infrastructure and related costs for the provision
16-25 of community technology centers or an advanced service to a rural
16-26 community under Sections 55.4025, 55.403, and 55.404.
17-1 SECTION 5. Section 57.047, Utilities Code, is amended to
17-2 read as follows:
17-3 Sec. 57.047. GRANT AND LOAN PROGRAM. (a) The board may
17-4 award a grant to a project or proposal that:
17-5 (1) provides equipment and infrastructure necessary
17-6 for:
17-7 (A) distance learning;
17-8 (B) an information sharing program of a library;
17-9 [or]
17-10 (C) telemedicine services; or
17-11 (D) the provision of community technology
17-12 centers or an advanced service in a rural community under Sections
17-13 55.4025, 55.403, and 55.404;
17-14 (2) develops and implements the initial or
17-15 prototypical delivery of a course or other distance learning
17-16 material;
17-17 (3) trains teachers, faculty, librarians, or
17-18 technicians in the use of distance learning or information sharing
17-19 materials and equipment;
17-20 (4) develops a curriculum or instructional material
17-21 specially suited for telecommunications delivery;
17-22 (5) provides electronic information; or
17-23 (6) establishes or carries out an information sharing
17-24 program.
17-25 (b) The board may award a loan to a project or proposal to
17-26 acquire equipment needed for distance learning and telemedicine
18-1 projects.
18-2 (c) In awarding a grant or loan under this subchapter, the
18-3 board shall give priority to a project or proposal that:
18-4 (1) represents collaborative efforts involving more
18-5 than one school, university, or library;
18-6 (2) contributes matching funds from another source;
18-7 (3) shows promise of becoming self-sustaining;
18-8 (4) helps users of information learn new ways to
18-9 acquire and use information through telecommunications;
18-10 (5) extends specific educational information and
18-11 knowledge services to a group not previously served, especially a
18-12 group in a rural or remote area;
18-13 (6) results in more efficient or effective learning
18-14 than through conventional teaching;
18-15 (7) improves the effectiveness and efficiency of
18-16 health care delivery; [or]
18-17 (8) takes advantage of distance learning opportunities
18-18 in a rural or urban school district with a:
18-19 (A) disproportionate number of at-risk youths;
18-20 or
18-21 (B) high dropout rate; or
18-22 (9) will establish or enhance the provision of an
18-23 advanced service to a rural community.
18-24 (d) In distributing money to public schools, the board
18-25 shall:
18-26 (1) consider the relative property wealth per student
19-1 of the school districts that receive the money; and
19-2 (2) recognize the unique needs of rural communities.
19-3 (e) If a board member is an employee of an entity that
19-4 applies for a grant or loan under this subchapter, the board
19-5 member, before a vote on the grant or loan, shall disclose the fact
19-6 of the member's employment. The disclosure must be entered into
19-7 the minutes of the meeting. The board member may not vote on or
19-8 otherwise participate in the awarding of the grant or loan. If the
19-9 board member does not comply with this subsection, the entity is
19-10 not eligible for the grant or loan.
19-11 (f) A grant or loan awarded under this section is subject to
19-12 the limitations prescribed by Sections [Section] 57.046 and
19-13 57.0475.
19-14 SECTION 6. Subchapter C, Chapter 57, Utilities Code, is
19-15 amended by adding Section 57.0475 to read as follows:
19-16 Sec. 57.0475. GRANTS TO RURAL COMMUNITIES FOR ADVANCED
19-17 SERVICES. (a) In consideration of the duties and responsibilities
19-18 given the board under this chapter, it is the policy of this state
19-19 that rural communities have access to advanced services. The board
19-20 shall coordinate its duties and responsibilities with the
19-21 commission and any other entity to encourage the ubiquitous access
19-22 of advanced services in rural communities.
19-23 (b) Any public or governmental entity or political
19-24 subdivision within a rural community may:
19-25 (1) seek funds under this chapter for the development
19-26 of community technology centers under Sections 55.4025, 55.403, and
20-1 55.404; and
20-2 (2) seek funds under this chapter for the provision of
20-3 advanced services, pursuant to commission approval under Sections
20-4 55.4025, 55.403, and 55.404.
20-5 (c) The board shall adopt rules to implement this section in
20-6 cooperation with the commission and the Department of Information
20-7 Resources. The rules shall include the coordination of requests
20-8 for access under this section from different parties in the same
20-9 rural community.
20-10 SECTION 7. Sections 57.048, 57.050, and 57.051, Utilities
20-11 Code, are amended to read as follows:
20-12 Sec. 57.048. ASSESSMENTS AND COLLECTIONS. (a) An annual
20-13 assessment is imposed on each telecommunications utility and each
20-14 commercial mobile service provider doing business in this state.
20-15 (b) The assessment is imposed at the rate of 0.5 [1.25]
20-16 percent of the taxable telecommunications receipts of the
20-17 telecommunications utility or commercial mobile service provider,
20-18 subject to this section.
20-19 (c) [The total amount deposited to the credit of the fund,
20-20 excluding interest and loan repayments, may not exceed $1.5
20-21 billion. Not later than August 31 of each year, the comptroller
20-22 shall determine the total amount, excluding interest and loan
20-23 repayments, that has been deposited to the credit of the fund
20-24 during that fiscal year and the preceding fiscal years. If the
20-25 comptroller determines that a total of $1.2 billion or more,
20-26 excluding interest and loan repayments, has been deposited to the
21-1 credit of the fund, the comptroller shall impose the assessment
21-2 during the next fiscal year at a rate that the comptroller
21-3 estimates is sufficient to produce the amount necessary to result
21-4 in the deposit in the fund of a total of not more than $1.5
21-5 billion, excluding interest and loan repayments.]
21-6 [(d) The comptroller may not collect the assessment during a
21-7 fiscal year if the comptroller determines after the yearly review
21-8 that the total amount deposited to the credit of the fund during
21-9 that fiscal year and the preceding fiscal years is $1.49 billion or
21-10 more, excluding interest and loan repayments, and it is not
21-11 possible to impose the assessment during the next fiscal year at a
21-12 practical rate without collecting more than a total of $1.5
21-13 billion, excluding interest and loan repayments.]
21-14 [(e)] The comptroller may require a telecommunications
21-15 utility or commercial mobile service provider to provide any report
21-16 or information necessary to fulfill the comptroller's duties under
21-17 this section. Information provided to the comptroller under this
21-18 section is confidential and exempt from disclosure under Chapter
21-19 552, Government Code.
21-20 Sec. 57.050. ASSISTANCE OF OTHER AGENCIES. The following
21-21 agencies, in consultation with the board, shall adopt policies and
21-22 procedures that are designed to aid the board in achieving the
21-23 purposes of this subchapter:
21-24 (1) the Texas Higher Education Coordinating Board;
21-25 (2) the Texas Education Agency; [and]
21-26 (3) the Texas State Library and Archives Commission;
22-1 (4) the Public Utility Commission of Texas; and
22-2 (5) the Department of Information Resources.
22-3 Sec. 57.051. SUNSET PROVISION. The Telecommunications
22-4 Infrastructure Fund Board is subject to Chapter 325, Government
22-5 Code (Texas Sunset Act). Unless continued in existence as provided
22-6 by that chapter, the board is abolished and this subchapter expires
22-7 September 1, 2010 [2005].
22-8 SECTION 8. Section 58.253, Utilities Code, is amended to
22-9 read as follows:
22-10 Sec. 58.253. PRIVATE NETWORK SERVICES FOR CERTAIN ENTITIES.
22-11 (a) On customer request, an electing company shall provide private
22-12 network services to:
22-13 (1) an educational institution;
22-14 (2) a library;
22-15 (3) a nonprofit telemedicine center;
22-16 (4) a public or not-for-profit hospital;
22-17 (5) a project funded by the telecommunications
22-18 infrastructure fund under Subchapter C, Chapter 57, except for
22-19 projects authorized or permitted under Subchapter L, Chapter 55; or
22-20 (6) a legally constituted consortium or group of
22-21 entities listed in this subsection.
22-22 (b) Except as provided by Section 58.266, the electing
22-23 company shall provide the private network services for the private
22-24 and sole use of the receiving entity.
22-25 SECTION 9. Section 2054.206, Government Code, is amended to
22-26 read as follows:
23-1 Sec. 2054.206. ADVISORY AGENCIES. The following state
23-2 agencies shall formally advise the telecommunications planning
23-3 group and send representatives to meetings of the group:
23-4 (1) the Texas Education Agency;
23-5 (2) the Texas Higher Education Coordinating Board;
23-6 (3) The Texas A&M University System;
23-7 (4) The University of Texas System;
23-8 (5) the Telecommunications Infrastructure Fund Board;
23-9 [and]
23-10 (6) the Texas State Library and Archives Commission;
23-11 (7) the Department of Agriculture;
23-12 (8) the Public Utility Commission of Texas;
23-13 (9) the General Services Commission;
23-14 (10) the Department of Information Resources;
23-15 (11) the Commission on State Emergency Communications;
23-16 and
23-17 (12) the Texas Department of Economic Development.
23-18 SECTION 10. Section 2170.004, Government Code, is amended to
23-19 read as follows:
23-20 Sec. 2170.004. CONTRACTS WITH ENTITIES OTHER THAN STATE
23-21 AGENCIES. The commission may contract for use of the consolidated
23-22 telecommunications system with:
23-23 (1) each house of the legislature;
23-24 (2) a legislative agency;
23-25 (3) an agency that is not a state agency as defined by
23-26 Section 2151.002; [and]
24-1 (4) a political subdivision, including a county,
24-2 municipality, or district; and
24-3 (5) any person or entity the Public Utility Commission
24-4 of Texas approves for use that resides within a rural community of
24-5 this state as provided by Section 2170.060.
24-6 SECTION 11. Subchapter A, Chapter 2170, Government Code, is
24-7 amended by adding Section 2170.0045 to read as follows:
24-8 Sec. 2170.0045. PUBLIC ENTITY ACCESS TO CONSOLIDATED
24-9 TELECOMMUNICATIONS SYSTEM. Upon approval by the Public Utility
24-10 Commission of Texas, the commission shall allow access to, and
24-11 contract the use of, the consolidated telecommunications system to
24-12 an approved public or governmental entity or political subdivision
24-13 of this state as provided by Section 2170.060. The commission may
24-14 require the public or governmental entity or political subdivision
24-15 to contract with the commission pursuant to the Interlocal
24-16 Cooperation Act, Chapter 791.
24-17 SECTION 12. Section 2170.058, Government Code, is amended to
24-18 read as follows:
24-19 Sec. 2170.058. USE OF SYSTEM BY CERTAIN STUDENTS. (a) An
24-20 institution of higher education under Section 61.003, Education
24-21 Code, that is authorized to use the system of telecommunications
24-22 services established under this chapter may allow students of the
24-23 institution who reside in housing for which the institution
24-24 provides telephone service to use the system of telecommunications
24-25 services. An institution shall recover from a student who chooses
24-26 to use the system the full pro rata cost attributable to that
25-1 student's use, including costs identifiable for interconnection to
25-2 and use of the local publicly switched network.
25-3 (b) The commission shall adopt rules that govern student
25-4 access to the system, including:
25-5 (1) times of access to the system; and
25-6 (2) the full recovery of actual costs from each
25-7 student who uses the system.
25-8 (c) In consideration of the duties and responsibilities
25-9 given the commission under this subtitle, it is the policy of this
25-10 state that a state agency or unit of state government may not
25-11 provide telecommunications products or services to the general
25-12 public in competition with private enterprise unless there is a
25-13 finding that providing the products or services is in the public
25-14 interest or as provided by law. This subsection does not prohibit
25-15 students who reside in housing for which institutions of higher
25-16 education provide telephone service from using service provided
25-17 under this section.
25-18 SECTION 13. Subchapter B, Chapter 2170, Government Code, is
25-19 amended by adding Section 2170.060 to read as follows:
25-20 Sec. 2170.060. RURAL COMMUNITY ACCESS TO CONSOLIDATED
25-21 TELECOMMUNICATIONS SYSTEM. (a) In this section, "rural community"
25-22 has the meaning assigned by Section 55.402, Utilities Code.
25-23 (b) In consideration of the duties and responsibilities
25-24 given to the commission under this subtitle and to the Public
25-25 Utility Commission of Texas under the Utilities Code, it is the
25-26 policy of this state that a rural community that is unable to
26-1 obtain advanced services have access to such services through the
26-2 consolidated telecommunications system.
26-3 (c) The commission shall coordinate its duties and
26-4 responsibilities with the telecommunications infrastructure fund
26-5 board and permit access, pursuant to Public Utility Commission of
26-6 Texas approval under Section 55.404, Utilities Code.
26-7 (d) The Public Utility Commission of Texas shall adopt rules
26-8 to implement this section in cooperation with the
26-9 telecommunications planning group and the commission. The rules
26-10 shall include the coordination of requests for access under this
26-11 section from different parties in the same rural community.
26-12 SECTION 14. Paragraph (A), Subdivision (11), Section 2,
26-13 Development Corporation Act of 1979 (Article 5190.6, Vernon's Texas
26-14 Civil Statutes), is amended to read as follows:
26-15 (A) "Project" shall mean the land, buildings,
26-16 equipment, facilities, targeted infrastructure, and improvements
26-17 (one or more) to promote new and expanded business development or
26-18 found by the board of directors to be required or suitable for the
26-19 promotion of development and expansion of manufacturing and
26-20 industrial facilities, job creation and retention, job training,
26-21 educational facilities, transportation facilities (including but
26-22 not limited to airports, ports, mass commuting facilities, and
26-23 parking facilities), facilities or infrastructure used to support
26-24 or provide advanced services as defined by Section 55.402,
26-25 Utilities Code, sewage or solid waste disposal facilities,
26-26 recycling facilities, air or water pollution control facilities,
27-1 facilities for the furnishing of water to the general public,
27-2 distribution centers, small warehouse facilities capable of serving
27-3 as decentralized storage and distribution centers, and facilities
27-4 for use by institutions of higher education, and for the promotion
27-5 of development or redevelopment and expansion, including costs of
27-6 administration and operation, of a military base closed or
27-7 realigned pursuant to recommendation of the Defense Closure and
27-8 Realignment Commission pursuant to the Defense Base Closure and
27-9 Realignment Act of 1990 (10 U.S.C. Section 2687 note) as amended,
27-10 and of facilities which are related to any of the foregoing, and in
27-11 furtherance of the public purposes of this Act, all as defined in
27-12 the rules of the department, irrespective of whether in existence
27-13 or required to be identified, acquired, or constructed thereafter.
27-14 "Project" also includes job training required or suitable for
27-15 the promotion of development and expansion of business enterprises
27-16 and other enterprises described by this Act, as provided by Section
27-17 38 of this Act.
27-18 SECTION 15. Section 151.007, Tax Code, is amended by adding
27-19 Subsection (f) to read as follows:
27-20 (f) The sales price of telecommunications services does not
27-21 include the telecommunications infrastructure fund assessment
27-22 imposed under Subchapter C, Chapter 57, Utilities Code, if the
27-23 assessment or fee is passed through to the purchaser of the service
27-24 and is listed as a separate line item on the customer's bill.
27-25 SECTION 16. (a) The change in law made by this Act to
27-26 Section 151.007, Tax Code, takes effect September 1, 2006.
28-1 (b) Section 55.014, Utilities Code, is repealed.
28-2 (c) Except as provided by Subsection (a) of this section,
28-3 this Act takes effect September 1, 2001.