Amend SB 21, Floor Amendment No. 1, as follows:                              

	(1)  Delete new CHAPTER 66 of the amendment.                                   

	(2)  Add the following new appropriately numbered SECTION 

and  renumber subsequent SECTIONs accordingly:

	SECTION   .  STUDY ON RIGHT-OF-WAY USE AND COMPENSATION PAID 

TO GOVERNMENTAL ENTITIES BY COMMUNICATIONS AND TECHNOLOGY SERVICE 

PROVIDERS. (a)  In this Section, "committee" means the 

Telecommunications Competitiveness Legislative Oversight 

Committee.

	(b)  The committee shall conduct a comprehensive study and 

file a report with the legislature not later than November 1, 2006, 

containing the committee's revenue-neutral, technology-neutral, 

and competitively neutral recommendations concerning compensation 

paid to governmental entities, including municipalities, by 

communications and technology service providers.  The report shall 

address the following items:

		(1)  all sources of compensation historically paid to 

municipalities and other governmental entities by communications 

and technology service providers for the use of the public 

rights-of-way;

		(2)  the types of communications and technology 

services available to consumers within municipalities, without 

regard to the technology used to deliver such services;

		(3)  alternative funding mechanisms, including the 

possibility of a new communications and technology assessment that 

would include all types of communications and technology service 

providers and that would be technology-neutral, revenue-neutral to 

the municipalities, and competitively neutral in application to the 

providers, their services, and consumers;

		(4)  the mechanism for the assessment, collection, and 

payment of any fee, including franchise fees and right-of-way use 

compensation paid to municipalities;

		(5)  the advantages and disadvantages of state-issued 

franchises for the provision of cable and video services versus 

municipally issued franchises for the provision of those services;

		(6)  the proper terms and conditions of a state-issued 

franchise for the provision of cable and video service if such 

franchise is recommended, and how the terms and conditions would be 

imposed and enforced;

		(7)  the proper state agency for issuing a state-issued 

franchise for the provision of cable and video service if such 

franchise is recommended;

		(8)  the role of a municipality if the state issues a 

franchise authorizing the provision of cable and video service 

within the municipality, if franchising by the state is 

recommended;

		(9)  whether any cable and video service provider 

should be exempt from the application of a franchise requirement, 

and, if so, the reasons for such exemption;

		(10)  issues with regard to the imposition of state 

highway right-of-way charges on communications and technology 

service providers; and

		(11)  a review of how utility relocation costs are 

apportioned among communications and technology service providers 

when a utility relocation in the public right-of-way is 

necessitated by a public improvement project.

	(c)  The Public Utility Commission of Texas shall:                             

		(1)  assist with the collection and compilation of 

information necessary to conduct the study under this section;

		(2)  maintain the confidentiality of information 

collected under this section that is claimed to be confidential for 

competitive purposes; and

		(3)  provide a summary of any congressional or federal 

agency actions that have an impact on issues reviewed by the 

committee.

	(d)  Information that is claimed to be confidential under 

Subsection (b) of this section is exempt from disclosure under 

Chapter 552, Government Code.

	(e)  The committee may request reports and other information 

from the Public Utility Commission of Texas, from governmental 

entities, and from communications and technology service providers 

as necessary to carry out this section.