SRC-LBB S.B. 1436 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 1436
78R4851 MTB-FBy: Staples
Business & Commerce
4/17/2003
As Filed


DIGEST AND PURPOSE 

Currently, few mechanisms exist that allow small and rural communities to
create associations in an effort to access funds for economic development
and to improve technology.  The communities often lack the knowledge of
where and how to apply for grants and funding for projects.  As proposed,
S.B. 1436  creates the Telecommunications Alliance Program to build
associations of public and private entities to promote economic
development and school health technologies. 

RULEMAKING AUTHORITY

Rulemaking authority is expressly granted to the Office of Rural Community
Affairs and the Telecommunications Infrastructure Fund Board in SECTION 1
(Section 487.452, Government Code) of this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 487, Government Code, by adding Subchapter K,
as follows: 

SUBCHAPTER K.  COMMUNITY TELECOMMUNICATIONS ALLIANCE PROGRAM

Sec. 487.451.  DEFINITIONS.  Defines "community telecommunications
alliance" and "program." 

Sec. 487.452.  MEMORANDUM OF UNDERSTANDING.  (a)  Requires the Office of
Rural Community Affairs (RCA) and the Telecommunications Infrastructure
Fund Board (TIF) by rule to adopt a memorandum of understanding
establishing the community telecommunications alliance program.  Requires
the program to perform certain functions. 
  
(b)  Requires each community telecommunications alliance established under
this section to have an advisory council with representation from certain
groups. 
  
(c)  Provides that eligibility for private network services under this
section is limited to the entities listed in Sections 58.253(a) and
59.072(a), Utilities Code, as appropriate. 

Sec. 487.453.  REPORT TO THE LEGISLATURE.  Requires RCA, not later than
January 1 of each odd-numbered year, to submit to the legislature a report
detailing the grant activities of the program and grant recipients.
Requires the report to include certain information. 
  
SECTION 2.  Amends Section 57.047(c), Utilities Code, to include a
proposal that was developed in connection with a community
telecommunications alliance program created under Subchapter K, Chapter
487, Government Code regarding awarding a grant or loan under this
subchapter, by TIF. 

SECTION 3.  Effective date:  September 1, 2003.