2003S0204-2 02/13/03


By:  Fraser                                                       S.B. No. 1401

A BILL TO BE ENTITLED
AN ACT
relating to the administration of the telecommunications infrastructure fund, including the abolition of the telecommunications infrastructure fund board and the transfer of the board's duties to the comptroller of public accounts. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 57.042, Utilities Code, is amended to read as follows: Sec. 57.042. DEFINITIONS. In this subchapter: (1) "Ambulatory health care center" means a health care clinic or an association of such a clinic that is: (A) exempt from federal income taxation under Section 501(a), Internal Revenue Code of 1986, as amended, as an organization described by Section 501(c)(3), as amended; and (B) funded wholly or partly by a grant under 42 U.S.C. Section 254b, 254c, or 256, as amended. (2) ["Board" means the telecommunications infrastructure fund board. [(3)] "Commercial mobile service provider" means a provider of commercial mobile service as defined by Section 332(d), Communications Act of 1934 (47 U.S.C. Section 151 et seq.), Federal Communications Commission rules, and the Omnibus Budget Reconciliation Act of 1993 (Pub. L. No. 103-66). (3) [(4)] "Fund" means the telecommunications infrastructure fund. (4) [(5)] "Institution of higher education" means: (A) an institution of higher education as defined by Section 61.003, Education Code; or (B) a private or independent institution of higher education as defined by Section 61.003, Education Code. (5) [(6)] "Library" means: (A) a public library or regional library system as those terms are defined by Section 441.122, Government Code; (B) a library operated by an institution of higher education or a school district; or (C) a library operated by a nonprofit corporation as defined by Section 441.221(3), Government Code. (6) [(7)] "Public not-for-profit health care facility" means a rural or regional hospital or other entity such as a rural health clinic that: (A) is supported by local or regional tax revenue; (B) is a certified not-for-profit health corporation, under federal law; or (C) is an ambulatory health care center. (7) [(8)] "School district" includes an independent school district, a common school district, and a rural high school district. (8) [(9)] "Public school" means a public elementary or secondary school, including an open-enrollment charter school, a home-rule school district school, and a school with a campus or campus program charter. (9) [(10)] "Taxable telecommunications receipts" means taxable telecommunications receipts reported under Chapter 151, Tax Code. (10) [(11)] "Telehealth service" means a health service, other than a telemedicine medical service, delivered by a licensed or certified health professional acting within the scope of the health professional's license or certification who does not perform a telemedicine medical service that requires the use of advanced telecommunications technology, other than by telephone or facsimile, including: (A) compressed digital interactive video, audio, or data transmission; (B) clinical data transmission using computer imaging by way of still-image capture and store and forward; and (C) other technology that facilitates access to health care services or medical specialty expertise. (11) [(12)] "Telemedicine medical service" means a health care service initiated by a physician or provided by a health professional acting under physician delegation and supervision, for purposes of patient assessment by a health professional, diagnosis or consultation by a physician, treatment, or the transfer of medical data, that requires the use of advanced telecommunications technology, other than by telephone or facsimile, including: (A) compressed digital interactive video, audio, or data transmission; (B) clinical data transmission using computer imaging by way of still-image capture and store and forward; and (C) other technology that facilitates access to health care services or medical specialty expertise. (12) "Telepharmacy system" means a system that monitors the dispensing of prescription drugs and provides for related drug use review and patient counseling services by an electronic method, including the use of the following types of technology: (A) audio and video; (B) still image capture; and (C) store and forward. SECTION 2. Subsection (a), Section 57.043, Utilities Code, is amended to read as follows: (a) The telecommunications infrastructure fund is a trust fund inside the state treasury with the comptroller in trust. Interest earned on the fund shall be credited to the fund. Notwithstanding any other law, the assets of the fund, including interest earned by those assets, are to be held in trust for the benefit and protection of the fund and may not be diverted, distributed, or appropriated for any purpose other than as provided by this subchapter. The comptroller shall only appropriate amounts earned by the fund and may not divert, distribute, or appropriate the corpus of the trust fund. In this subsection, "corpus of the trust fund" means the amount deposited to the credit of the fund under Section 57.048(c) and does not include earnings or interest [an account in the general revenue fund]. The [telecommunications infrastructure] fund [account] is composed of the public schools account and the qualifying entities account. [Section 403.095, Government Code, does not apply to the telecommunications infrastructure fund account or to the accounts that compose the fund account.] SECTION 3. Section 57.0455, Utilities Code, is amended to read as follows: Sec. 57.0455. MASTER PLAN FOR INFRASTRUCTURE DEVELOPMENT. (a) The comptroller [board] shall adopt a master plan for infrastructure development. The plan must: (1) cover a five-year period; (2) be updated annually; and (3) describe the project, timeline, and resource allocation targets for each year included in the plan. (b) The comptroller [board] shall publish each proposed amendment to the plan and each proposed annual update in the Texas Register in accordance with Subchapter B, Chapter 2002, Government Code. SECTION 4. Section 57.046, Utilities Code, is amended to read as follows: Sec. 57.046. USE OF ACCOUNTS. (a) The comptroller [board] shall use money in the public schools account to award grants and loans in accordance with this subchapter to fund: (1) equipment for public schools, including computers, printers, computer labs, and video equipment; and (2) intracampus and intercampus wiring to enable those public schools to use the equipment. (b) The comptroller [board] shall use money in the qualifying entities account for any purpose authorized by this subchapter, including: (1) equipment; (2) wiring; (3) material; (4) program development; (5) training; (6) installation costs; and (7) a statewide telecommunications network. SECTION 5. Section 57.047, Utilities Code, is amended to read as follows: Sec. 57.047. GRANT AND LOAN PROGRAM. (a) The comptroller [board] may award a grant to a project or proposal that: (1) provides equipment and infrastructure necessary for: (A) distance learning; (B) an information sharing program of a library; (C) telemedicine medical services; [or] (D) telehealth services; or (E) [(D)] a telepharmacy system; (2) develops and implements the initial or prototypical delivery of a course or other distance learning material; (3) trains teachers, faculty, librarians, or technicians in the use of distance learning or information sharing materials and equipment; (4) develops a curriculum or instructional material specially suited for telecommunications delivery; (5) provides electronic information; or (6) establishes or carries out an information sharing program. (b) The comptroller [board] may award a loan to a project or proposal to acquire equipment needed for distance learning and telemedicine medical service projects. (c) In awarding a grant or loan under this subchapter, the comptroller [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 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. (d) In distributing money to public schools, the comptroller [board] shall: (1) consider the relative property wealth per student of the school districts that receive the money; and (2) recognize the unique needs of rural communities. (e) [If a board member is an employee of an entity that applies for a grant or loan under this subchapter, the board member, before a vote on the grant or loan, shall disclose the fact of the member's employment. The disclosure must be entered into the minutes of the meeting. The board member may not vote on or otherwise participate in the awarding of the grant or loan. If the board member does not comply with this subsection, the entity is not eligible for the grant or loan. [(f)] A grant or loan awarded under this section is subject to the limitations prescribed by Section 57.046. SECTION 6. Subsections (a) and (b), Section 57.0475, Utilities Code, are amended to read as follows: (a) The comptroller [board] may award a grant under Section 57.047(a)(1)(C) only to a health care facility that: (1) is a hospital or other entity, including a health clinic, that: (A) is supported by local or regional tax revenue; (B) is a certified nonprofit health corporation under federal law; or (C) is an ambulatory health care center; or (2) meets the criteria adopted by the comptroller [board] and the Health and Human Services Commission under Subsection (b). (b) The comptroller [board] and the Health and Human Services Commission shall jointly adopt rules prescribing the criteria a health care facility not described by Subsection (a)(1) must meet to be eligible to receive a grant under Section 57.047(a)(1)(C). In determining the criteria, the comptroller [board] and commission shall prioritize health care facilities based on: (1) the amount of charity care provided by each facility during the year preceding the year in which the facility applies for a grant; and (2) the number of Medicaid patients and patients enrolled in the state child health plan treated by each facility during the year preceding the year in which the facility applies for a grant. SECTION 7. Subsection (c), Section 57.048, Utilities Code, is amended to read as follows: (c) The total amount deposited to the credit of the fund, excluding interest and loan repayments, may not exceed $1.5 billion. Not later than August 31 of each year, the comptroller shall determine the total amount, excluding interest and loan repayments, that has been deposited to the credit of the fund during that fiscal year and the preceding fiscal years. If the comptroller determines that a total of $1.2 billion or more, excluding interest and loan repayments, has been deposited to the credit of the fund, the comptroller shall impose the assessment during the next fiscal year at a rate that the comptroller estimates is sufficient to produce the amount necessary to result in the deposit in the fund of a total of not more than $1.5 billion, excluding interest and loan repayments. The assessment under this section expires on the earlier of: (1) the date on which the total amount deposited to the fund reaches $1.5 billion, excluding interest and loan repayments; or (2) September 1, 2005. SECTION 8. Section 57.049, Utilities Code, is amended to read as follows: Sec. 57.049. ISSUANCE OF WARRANTS. The [From money appropriated to the board, the] comptroller shall issue warrants [the board requests] in accordance with the purposes of this subchapter[, including warrants to grantees of the board in amounts the board certifies to the comptroller]. SECTION 9. Section 57.050, Utilities Code, is amended to read as follows: Sec. 57.050. ASSISTANCE OF OTHER AGENCIES. The following agencies, in consultation with the comptroller [board], shall adopt policies and procedures that are designed to aid the comptroller [board] in achieving the purposes of this subchapter: (1) the Texas Higher Education Coordinating Board; (2) the Texas Education Agency; and (3) the Texas State Library and Archives Commission. SECTION 10. Subsection (c), Section 21.0482, Education Code, as added by Chapter 1301, Acts of the 77th Legislature, Regular Session, 2001, is amended to read as follows: (c) To be eligible for a master technology teacher certificate, a person must: (1) hold a technology applications or Technology Education certificate issued under this subchapter, satisfactorily complete the course of instruction prescribed under Subdivision (2)(B), and satisfactorily perform on the examination prescribed under Subdivision (2)(C); or (2) hold a teaching certificate issued under this subchapter and: (A) have at least three years of teaching experience; (B) satisfactorily complete a knowledge-based and skills-based course of instruction on interdisciplinary technology applications and the science of teaching technology that includes training in: (i) effective technology instruction techniques, including applications designed to meet the educational needs of students with disabilities; (ii) classroom teaching methodology that engages student learning through the integration of technology; (iii) digital learning competencies, including Internet research, graphics, animation, website mastering, and video technologies; (iv) curriculum models designed to prepare teachers to facilitate an active student learning environment; and (v) effective professional peer mentoring techniques; (C) satisfactorily perform on an examination developed by the board [in cooperation with the Telecommunications Infrastructure Fund Board] and administered at the conclusion of the course of instruction prescribed under Paragraph (B); and (D) satisfy any other requirements prescribed by the board. SECTION 11. Subsection (a), Section 487.054, Government Code, is amended to read as follows: (a) At least once each year, the following agency heads shall meet to discuss rural issues: (1) the commissioner of agriculture; (2) the executive director of the Public Utility Commission of Texas; (3) the director of the Texas Agricultural Extension Service; (4) [the presiding officer of the Telecommunications Infrastructure Fund Board; [(5)] the executive director of the Texas Department of Housing and Community Affairs; (5) [(6)] the commissioner of health; (6) [(7)] the executive administrator of the Texas Water Development Board; (7) [(8)] the executive director of the Parks and Wildlife Department; (8) [(9)] the commissioner of human services; (9) [(10)] the commissioner of higher education; (10) [(11)] the comptroller; and (11) [(12)] the executive director of the Texas Department of Transportation. SECTION 12. Subsections (b) and (c), Section 531.02161, Government Code, as added by Chapter 1255, Acts of the 77th Legislature, Regular Session, 2001, are amended to read as follows: (b) The commission [and the Telecommunications Infrastructure Fund Board] by [joint] rule shall establish and adopt minimum standards for an operating system used in the provision of telemedicine medical services by a health care facility participating in the state Medicaid program, including standards for electronic transmission, software, and hardware. (c) In developing standards under this section, the commission [and the Telecommunications Infrastructure Fund Board] shall address: (1) authentication and authorization of users; (2) authentication of the origin of information; (3) the prevention of unauthorized access to the system or information; (4) system security, including the integrity of information that is collected, program integrity, and system integrity; (5) maintenance of documentation about system and information usage; (6) information storage, maintenance, and transmission; and (7) synchronization and verification of patient profile data. SECTION 13. Subsection (b), Section 531.02172, Government Code, as added by Chapter 661, Acts of the 77th Legislature, Regular Session, 2001, is amended to read as follows: (b) The advisory committee must include: (1) representatives of health and human services agencies and other state agencies concerned with the use of telemedical consultations in the Medicaid program and the state child health plan program, including representatives of: (A) the commission; (B) the Texas Department of Health; (C) the Center for Rural Health Initiatives; (D) [the Telecommunications Infrastructure Fund Board; [(E)] the Texas Department of Insurance; (E) [(F)] the Texas State Board of Medical Examiners; (F) [(G)] the Board of Nurse Examiners; and (G) [(H)] the Texas State Board of Pharmacy; (2) representatives of health science centers in this state; (3) experts on telemedicine, telemedical consultation, and telemedicine medical services or telehealth services; and (4) representatives of consumers of health services provided through telemedical consultations and telemedicine medical services or telehealth services. SECTION 14. Subsection (b), Section 531.02172, Government Code, as added by Chapter 959, Acts of the 77th Legislature, Regular Session, 2001, is amended to read as follows: (b) The advisory committee must include: (1) representatives of health and human services agencies and other state agencies concerned with the use of telemedical consultations in the Medicaid program and the state child health plan program, including representatives of: (A) the commission; (B) the Texas Department of Health; (C) the Center for Rural Health Initiatives; (D) [the Telecommunications Infrastructure Fund Board; [(E)] the Texas Department of Insurance; (E) [(F)] the Texas State Board of Medical Examiners; (F) [(G)] the Board of Nurse Examiners; and (G) [(H)] the Texas State Board of Pharmacy; (2) representatives of health science centers in this state; (3) experts on telemedicine, telemedical consultation, and telemedicine medical services; and (4) representatives of consumers of health services provided through telemedical consultations and telemedicine medical services. SECTION 15. Subsection (a), Section 2054.201, Government Code, is amended to read as follows: (a) The telecommunications planning and oversight council is composed of: (1) a representative of the comptroller's office, appointed by the comptroller; (2) [the executive director of the Telecommunications Infrastructure Fund Board; [(3)] a representative of the Texas Building and Procurement Commission, appointed by the executive director of the commission; (3) [(4)] a member representing the interests of state agencies with 1,000 employees or more, appointed by the lieutenant governor; (4) [(5)] a member representing the interests of state agencies with fewer than 1,000 employees, appointed by the speaker of the house of representatives; (5) [(6)] a member representing the interests of institutions of higher education, appointed by the commissioner of higher education; (6) [(7)] a member representing the interests of The University of Texas System, appointed by the chancellor; (7) [(8)] a member representing the interests of The Texas A&M University System, appointed by the chancellor; (8) [(9)] a member representing the interests of public school districts that are customers of the consolidated telecommunications system, appointed by the governor; (9) [(10)] a member representing the interests of local governments that are customers of the consolidated telecommunications system, appointed by the governor; and (10) [(11)] two public members with telecommunications expertise, appointed by the governor. SECTION 16. Subsection (c), Section 2165.104, Government Code, is amended to read as follows: (c) To the extent possible without sacrificing critical public or client services, the commission may not allocate usable office space, as defined by the commission, to a state agency under Article I, II, V, VI, VII, or VIII of the General Appropriations Act or to the Texas Higher Education Coordinating Board, the Texas Education Agency, the State Board for Educator Certification, [the Telecommunications Infrastructure Fund Board,] or the Office of Court Administration of the Texas Judicial System in an amount that exceeds an average of 153 square feet per agency employee for each agency site. To the extent that any of those agencies allocates its own usable office space, as defined by the commission, the agency shall allocate the space to achieve the required ratio. This subsection does not apply to: (1) an agency site at which fewer than 16 employees are located; (2) warehouse space; (3) laboratory space; (4) storage space exceeding 1,000 gross square feet; (5) library space; (6) space for hearing rooms used to conduct hearings required under the administrative procedure law, Chapter 2001; or (7) another type of space specified by commission rule, if the commission determines that it is not practical to apply this subsection to that space. SECTION 17. Sections 57.044, 57.045, and 57.051, Utilities Code, are repealed. SECTION 18. The comptroller of public accounts may not divert, distribute, or appropriate any funds from the telecommunications infrastructure fund until the assessment period required under Subsection (c), Section 57.048, Utilities Code, as amended by this Act, has expired. SECTION 19. (a) The telecommunications infrastructure fund board is abolished but continues in effect until December 1, 2003, for the sole purpose of transferring to the comptroller of public accounts all the rights, powers, duties, and functions exercised by the board immediately before the effective date of this Act. The transfer must be completed not later than December 1, 2003. (b) All rules of the telecommunications infrastructure fund board are continued in effect as rules of the comptroller of public accounts until superseded by a rule of the comptroller of public accounts. (c) All funds, contracts, property, personnel, and records of the telecommunications infrastructure fund board are transferred to the comptroller of public accounts for the purpose of administering the telecommunications infrastructure fund. (d) A reference in law or in an administrative rule to the telecommunications infrastructure fund board means the comptroller of public accounts. SECTION 20. This Act takes effect September 1, 2003.