| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the Texas Connectivity Fund and to the allocation and |
|
|
the use of certain proceeds from the imposition of state sales and |
|
|
use taxes on telecommunications services. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Subtitle F, Title 4, Government Code, is amended |
|
|
by adding Chapter 490J to read as follows: |
|
|
CHAPTER 490J. TEXAS CONNECTIVITY FUND |
|
|
Sec. 490J.0101. DEFINITIONS. In this chapter: |
|
|
(1) "Broadband development account" means the account |
|
|
established by Section 490I.0108. |
|
|
(2) "Commission" means the Public Utility Commission |
|
|
of Texas. |
|
|
(3) "Comptroller" means the comptroller of public |
|
|
accounts of the State of Texas. |
|
|
(4) "Texas Connectivity Fund" or "fund" means the fund |
|
|
established by Section 68, Article III, Texas Constitution. |
|
|
(5) "Universal service fund" means the fund |
|
|
established by Chapter 56, Utilities Code. |
|
|
Sec. 490J.0102. DEDICATION OF REVENUE TO FUND. The revenue |
|
|
of the state that is dedicated or appropriated to the fund pursuant |
|
|
to Section 7-e, Article VIII, Texas Constitution, shall be |
|
|
deposited to the fund in accordance with Section 7-e, Article VIII, |
|
|
Texas Constitution. |
|
|
Sec. 490J.0103. ALLOCATION OF FUND REVENUE. (a) At the end |
|
|
of each fiscal year, the commission shall prepare a report |
|
|
detailing the amount of funds necessary to fulfill the requirements |
|
|
of the universal service fund. Upon receipt of that report, the |
|
|
comptroller shall transfer from the Texas Connectivity Fund to the |
|
|
commission the amount designated in the report. |
|
|
(b) The remaining funds deposited in the fund for that |
|
|
fiscal year shall be credited to the broadband development account. |
|
|
SECTION 2. Section 490I.0108(b), Government Code, is |
|
|
amended to read as follows: |
|
|
(b) The account consists of: |
|
|
(1) appropriations of money to the account by the |
|
|
legislature, including funds appropriated from the Texas |
|
|
Connectivity Fund; |
|
|
(2) gifts, donations, and grants, including federal |
|
|
grants; and |
|
|
(3) interest earned on the investment of the money in |
|
|
the account. |
|
|
SECTION 3. Section 56.022, Utilities Code, is amended to |
|
|
read as follows: |
|
|
Sec. 56.022. REVENUE FROM TEXAS CONNECTIVITY FUND. [UNIFORM |
|
|
CHARGE. (a)] The universal service fund is funded by allocations |
|
|
made by the comptroller from the Texas Connectivity Fund [a |
|
|
statewide uniform charge payable by each telecommunications |
|
|
provider that has access to the customer base]. |
|
|
[(b) A telecommunications provider shall pay the charge in |
|
|
accordance with procedures approved by the commission. |
|
|
[(c) The uniform charge is on services and at rates the |
|
|
commission determines. In establishing the charge and the services |
|
|
to which the charge will apply, the commission may not: |
|
|
[(1) grant an unreasonable preference or advantage to a |
|
|
telecommunications provider; |
|
|
[(2) assess the charge on pay telephone service; or |
|
|
[(3) subject a telecommunications provider to |
|
|
unreasonable prejudice or disadvantage.] |
|
|
SECTION 4. Section 56.023(a), Utilities Code, is amended to |
|
|
read as follows: |
|
|
(a) The commission shall: |
|
|
(1) in a manner that assures reasonable rates for |
|
|
basic local telecommunications service, adopt eligibility criteria |
|
|
and review procedures, including a method for administrative |
|
|
review, the commission finds necessary to [fund the universal |
|
|
service fund and] make distributions from the universal service |
|
|
fund [that fund]; |
|
|
(2) determine which telecommunications providers meet |
|
|
the eligibility criteria; |
|
|
(3) determine the amount of and approve a procedure |
|
|
for reimbursement to telecommunications providers of revenue lost |
|
|
in providing tel-assistance service under Subchapter C; |
|
|
(4) establish and collect fees from the universal |
|
|
service fund necessary to recover the costs the department and the |
|
|
commission incur in administering this chapter and Chapter 57; |
|
|
(5) approve procedures for the [collection and] |
|
|
disbursal of the revenue of the universal service fund; and |
|
|
(6) audit voucher payments and other expenditures made |
|
|
under the specialized telecommunications assistance program |
|
|
established under Subchapter E. |
|
|
SECTION 5. Section 151.801, Tax Code, is amended by adding |
|
|
Subsection (g) to read as follows: |
|
|
(g) The comptroller shall deposit each fiscal year 50 |
|
|
percent of the proceeds from the collection of the taxes imposed by |
|
|
this chapter on telecommunications services to the credit of the |
|
|
Texas Connectivity Fund. |
|
|
SECTION 6. The Public Utility Commission of Texas shall |
|
|
adopt rules consistent with this Act as soon as practicable after |
|
|
the effective date of this Act. |
|
|
SECTION 7. (a) This Act takes effect only if the |
|
|
constitutional amendment proposed by the 88th Legislature, Regular |
|
|
Session, 2023, requiring the automatic appropriation to the Texas |
|
|
Connectivity Fund of part of the proceeds from existing state sales |
|
|
and use taxes on telecommunications services is approved by the |
|
|
voters. If that amendment is not approved by the voters, this Act |
|
|
has no effect. |
|
|
(b) If this Act takes effect as provided by Subsection (a) |
|
|
of this section, this Act takes effect September 1, 2025. |