H.B. No. 3325




AN ACT
relating to the creation and administration of the community telecommunications alliance program. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 487, Government Code, is amended by adding Subchapter O to read as follows:
SUBCHAPTER O. COMMUNITY TELECOMMUNICATIONS ALLIANCE PROGRAM
Sec. 487.651. DEFINITIONS. In this subchapter: (1) "Board" means the Telecommunications Infrastructure Fund Board. (2) "Community telecommunications alliance" means an association of public and private entities created to share resources, promote innovative school health technology, promote economic development opportunities for the community, and improve the overall quality of life within a local community through telecommunications and information services provided by the private sector. (3) "Program" means the community telecommunications alliance program. Sec. 487.652. MEMORANDUM OF UNDERSTANDING. (a) The office and the board by rule shall adopt a memorandum of understanding establishing the community telecommunications alliance program. The program shall: (1) assist local communities in the creation and development of community telecommunications alliances, including alliances established to pursue rural economic development or innovative rural school health technology projects, by providing advice and assistance in assessing local uses of and local demands or needs for local telecommunications and information services of private sector providers; and (2) assist community telecommunications alliances in applying for grant funding for projects, including: (A) assisting alliances in securing matching private sector funding for projects; and (B) requiring alliances to develop sustainable plans: (i) that demonstrate how the alliance will continue to obtain private sector services once the grant funding terminates; (ii) that do not directly compete with local businesses, telecommunications providers, or information services providers; and (iii) that prohibit a network created with assistance from the alliance or other public funding from being sold to a direct competitor of a private sector provider. (b) Each community telecommunications alliance established under this section shall have an advisory council with representation from each of the following: (1) a local nonprofit organization; (2) a local county-elected official; (3) a local city-elected official; (4) a local telecommunications provider; (5) a local economic development group; (6) the local financial community; and (7) a local information services provider. (c) This chapter may not be construed to: (1) expand eligibility for private network services under Section 58.253(a) or 59.072(a), Utilities Code, to persons not eligible to purchase the services; or (2) permit the direct or indirect sharing or resale of private network services with persons not eligible to purchase the services. (d) A community telecommunications alliance created under this section shall offer the following local entities the opportunity to be included in the alliance: (1) a library, as defined by Section 57.042, Utilities Code; (2) a public school, as defined by Section 57.042, Utilities Code; (3) a public not-for-profit health care facility, as defined by Section 57.042, Utilities Code; and (4) a local institution of higher education, as defined by Section 57.042, Utilities Code. Sec. 487.653. REPORT TO LEGISLATURE. Not later than January 1 of each odd-numbered year, the office and the board jointly shall submit to the legislature a report detailing the grant activities of the program and grant recipients. The report must include: (1) the criteria used to quantify the effect grant funds had in advancing telecommunications connectivity and technology; (2) data and performance measures used to quantify the achievement of program objectives; and (3) a description of and results from a grant monitoring risk assessment and on-site review process. Sec. 487.654. PROHIBITION. A community telecommunications alliance may not directly or indirectly: (1) provide telecommunications or information services to the public; (2) resell or share telecommunications or information services obtained through grants or loans received under Chapter 57, Utilities Code, with persons not eligible for the grants or loans; or (3) provide or support the provision of telecommunications or information services in competition with a private sector provider. SECTION 2. Section 57.047(c), Utilities Code, is amended to read as follows: (c) In awarding a grant or loan under this subchapter, the board shall give priority to a project or proposal that: (1) represents collaborative efforts involving more than one school, university, or library; (2) contributes matching funds from another source; (3) shows promise of becoming self-sustaining; (4) helps users of information learn new ways to acquire and use information through telecommunications; (5) extends specific educational information and knowledge services to a group not previously served, especially a group in an economically depressed, [a] rural, or remote area; (6) results in more efficient or effective learning than through conventional teaching; (7) improves the effectiveness and efficiency of health care delivery; [or] (8) takes advantage of distance learning opportunities in a rural or urban school district with a: (A) disproportionate number of at-risk youths; or (B) high dropout rate; or (9) assists the community telecommunications alliance program created under Subchapter O, Chapter 487, Government Code. SECTION 3. This Act takes effect September 1, 2003. ______________________________ ______________________________ President of the Senate Speaker of the House I certify that H.B. No. 3325 was passed by the House on May 10, 2003, by a non-record vote; and that the House concurred in Senate amendments to H.B. No. 3325 on May 30, 2003, by a non-record vote. ______________________________ Chief Clerk of the House I certify that H.B. No. 3325 was passed by the Senate, with amendments, on May 28, 2003, by the following vote: Yeas 31, Nays 0. ______________________________ Secretary of the Senate APPROVED: __________________ Date __________________ Governor