Indiana 2024 Regular Session

Indiana House Bill HB1277 Compare Versions

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1+*EH1277.1*
2+February 23, 2024
3+ENGROSSED
4+HOUSE BILL No. 1277
5+_____
6+DIGEST OF HB 1277 (Updated February 22, 2024 11:52 am - DI 119)
7+Citations Affected: IC 4-4.
8+Synopsis: State administration of federal BEAD program. Specifies
9+that the existing Indiana statute concerning the awarding of grants by
10+the office of community and rural affairs for certain eligible broadband
11+projects does not apply to subgrants awarded by the Indiana broadband
12+office (office) under the federal Broadband Equity, Access, and
13+Deployment (BEAD) Program (program). Establishes a new Indiana
14+(Continued next page)
15+Effective: Upon passage.
16+Soliday, Zimmerman, Pierce M,
17+Hall
18+(SENATE SPONSOR — KOCH)
19+January 9, 2024, read first time and referred to Committee on Utilities, Energy and
20+Telecommunications.
21+January 18, 2024, amended, reported — Do Pass.
22+January 22, 2024, read second time, ordered engrossed. Engrossed.
23+January 23, 2024, read third time, passed. Yeas 94, nays 0.
24+SENATE ACTION
25+February 5, 2024, read first time and referred to Committee on Utilities.
26+February 22, 2024, amended, reported favorably — Do Pass.
27+EH 1277—LS 6583/DI 101 Digest Continued
28+Code chapter governing the administration of the program by the
29+office. Requires the office to administer the program in Indiana in
30+compliance with all mandatory provisions set forth in: (1) the federal
31+Infrastructure Investment and Jobs Act (Act); and (2) the BEAD Notice
32+of Funding Opportunity (BEAD NOFO); with respect to the program.
33+Provides that before awarding a subgrant to an eligible broadband
34+service provider during any round of funding under the program, the
35+office shall submit to the budget committee for review the proposed
36+amount and terms of the subgrant. Provides that in awarding subgrants
37+for the deployment of a broadband network using program funds, the
38+office may not exclude cooperatives, nonprofit organizations,
39+public-private partnerships, private companies, public or private
40+utilities, public utility districts, or local governments from eligibility for
41+those funds, as set forth in the Act. Provides that the final proposal
42+submitted by the office to the National Telecommunications
43+Information Administration (NTIA) with respect to the program must
44+include the specifications for the required low cost broadband service
45+option that are set forth in the office's initial proposal, as submitted to
46+and approved by NTIA.
47+EH 1277—LS 6583/DI 101EH 1277—LS 6583/DI 101 February 23, 2024
148 Second Regular Session of the 123rd General Assembly (2024)
249 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
350 Constitution) is being amended, the text of the existing provision will appear in this style type,
451 additions will appear in this style type, and deletions will appear in this style type.
552 Additions: Whenever a new statutory provision is being enacted (or a new constitutional
653 provision adopted), the text of the new provision will appear in this style type. Also, the
754 word NEW will appear in that style type in the introductory clause of each SECTION that adds
855 a new provision to the Indiana Code or the Indiana Constitution.
956 Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
1057 between statutes enacted by the 2023 Regular Session of the General Assembly.
11-HOUSE ENROLLED ACT No. 1277
12-AN ACT to amend the Indiana Code concerning state offices and
13-administration.
58+ENGROSSED
59+HOUSE BILL No. 1277
60+A BILL FOR AN ACT to amend the Indiana Code concerning state
61+offices and administration.
1462 Be it enacted by the General Assembly of the State of Indiana:
15-SECTION 1. IC 4-4-38.5-1, AS ADDED BY P.L.189-2019,
16-SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
17-UPON PASSAGE]: Sec. 1. (a) This chapter applies to grants awarded
18-from the fund after July 31, 2019.
19-(b) This chapter does not apply to subgrants awarded by the
20-Indiana broadband office under the federal Broadband Equity,
21-Access, and Deployment Program established under 47 U.S.C.
22-1702(b).
23-SECTION 2. IC 4-4-38.5-11, AS AMENDED BY P.L.158-2021,
24-SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
25-UPON PASSAGE]: Sec. 11. (a) The rural broadband fund is
26-established for the purpose of:
27-(1) awarding grants under:
28-(A) this chapter after July 31, 2019; and
29-(B) IC 4-4-38 before August 1, 2019;
30-(2) providing financial assistance under the program established
31-by the office under section 10.5 of this chapter for expenses
32-described in section 10.5(b) of this chapter incurred before July
33-1, 2025;
34-(3) providing funding for the creation and annual maintenance of
35-the public broadband portal created and administered by the
36-HEA 1277 — Concur 2
37-office under IC 4-4-41-8; and
38-(4) awarding grants under the Indiana broadband connectivity
39-program under IC 4-4-41.
40-(b) The office shall administer the fund.
41-(c) The fund consists of:
42-(1) money appropriated by the general assembly;
43-(2) money received by the office from federal grants or programs
44-for broadband infrastructure, other than money received by the
45-state under the federal Broadband Equity, Access, and
46-Deployment Program established under 47 U.S.C. 1702(b);
47-and
48-(3) donations, gifts, and money received from any other source,
49-including transfers from other funds or accounts.
50-(d) The treasurer of state shall invest the money in the fund not
51-currently needed to meet the obligations of the fund in the same
52-manner as other public funds may be invested.
53-(e) Money in the fund at the end of a state fiscal year does not revert
54-to the state general fund but remains in the fund to be used exclusively
55-for the purposes of this chapter and IC 4-4-38.
56-SECTION 3. IC 4-4-38.6 IS ADDED TO THE INDIANA CODE
57-AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
58-UPON PASSAGE]:
59-Chapter 38.6. State Administration of Federal Broadband
60-Equity, Access, and Deployment Program
61-Sec. 1. As used in this chapter, "act" refers to the federal
62-Infrastructure Investment and Jobs Act (P.L. 117-58), including
63-regulations and guidance issued under that act.
64-Sec. 2. (a) As used in this chapter, "BEAD NOFO" refers to the
65-Notice of Funding Opportunity for the federal Broadband Equity,
66-Access, and Deployment Program, as issued by NTIA on May 12,
67-2022, pursuant to 47 U.S.C. 1702(e)(1)(A)(i).
68-(b) The term includes any additional guidance issued by NTIA
69-with respect to the program after the issuance of the notice
70-described in subsection (a).
71-Sec. 3. As used in this chapter, "final proposal" refers to the
72-office's final proposal (as described in 47 U.S.C. 1702(e)(4))
73-submitted to NTIA.
74-Sec. 4. As used in this chapter, "initial proposal" refers to the
75-office's initial proposal (as described in 47 U.S.C. 1702(e)(3))
76-submitted to and approved by NTIA.
77-Sec. 5. As used in this chapter, "NTIA" refers to the National
78-Telecommunications Information Administration, United States
79-HEA 1277 — Concur 3
80-Department of Commerce.
81-Sec. 6. As used in this chapter, "office" refers to the Indiana
82-broadband office in its capacity as an eligible entity (as defined in
83-47 U.S.C. 1702(a)(2)(F)) under the act.
84-Sec. 7. As used in this chapter, "program" refers to the federal
85-Broadband Equity, Access, and Deployment Program established
86-under 47 U.S.C. 1702(b).
87-Sec. 8. As used in this chapter, "subgrantee" has the meaning
88-set forth in 47 U.S.C. 1702(a)(2)(N).
89-Sec. 9. (a) Subject to subsection (b), and to the extent not
90-preempted by federal law, the office shall administer the program
91-in Indiana in compliance with the following:
92-(1) All mandatory provisions set forth in the act with respect
93-to the program.
94-(2) All mandatory provisions set forth in the BEAD NOFO
95-with respect to the program.
96-(3) Before awarding a subgrant to an eligible broadband
97-service provider during any round of funding under the
98-program, the office shall submit to the budget committee for
99-review the proposed amount and terms of the subgrant.
100-(4) In awarding subgrants for the deployment of a broadband
101-network using program funds, the office may not exclude
102-cooperatives, nonprofit organizations, public-private
103-partnerships, private companies, public or private utilities,
104-public utility districts, or local governments from eligibility
105-for those funds, as set forth in 47 U.S.C. 1702(h)(1)(A)(iii).
106-(b) The final proposal submitted by the office to NTIA must
107-include the specifications for the required low cost broadband
108-service option that are set forth in the office's initial proposal, as
109-submitted to and approved by NTIA.
110-Sec. 10. To the extent that this chapter conflicts with a provision
111-of any other Indiana law, this chapter prevails.
112-SECTION 4. An emergency is declared for this act.
113-HEA 1277 — Concur Speaker of the House of Representatives
114-President of the Senate
115-President Pro Tempore
116-Governor of the State of Indiana
117-Date: Time:
118-HEA 1277 — Concur
63+1 SECTION 1. IC 4-4-38.5-1, AS ADDED BY P.L.189-2019,
64+2 SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
65+3 UPON PASSAGE]: Sec. 1. (a) This chapter applies to grants awarded
66+4 from the fund after July 31, 2019.
67+5 (b) This chapter does not apply to subgrants awarded by the
68+6 Indiana broadband office under the federal Broadband Equity,
69+7 Access, and Deployment Program established under 47 U.S.C.
70+8 1702(b).
71+9 SECTION 2. IC 4-4-38.5-11, AS AMENDED BY P.L.158-2021,
72+10 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
73+11 UPON PASSAGE]: Sec. 11. (a) The rural broadband fund is
74+12 established for the purpose of:
75+13 (1) awarding grants under:
76+14 (A) this chapter after July 31, 2019; and
77+15 (B) IC 4-4-38 before August 1, 2019;
78+16 (2) providing financial assistance under the program established
79+17 by the office under section 10.5 of this chapter for expenses
80+EH 1277—LS 6583/DI 101 2
81+1 described in section 10.5(b) of this chapter incurred before July
82+2 1, 2025;
83+3 (3) providing funding for the creation and annual maintenance of
84+4 the public broadband portal created and administered by the
85+5 office under IC 4-4-41-8; and
86+6 (4) awarding grants under the Indiana broadband connectivity
87+7 program under IC 4-4-41.
88+8 (b) The office shall administer the fund.
89+9 (c) The fund consists of:
90+10 (1) money appropriated by the general assembly;
91+11 (2) money received by the office from federal grants or programs
92+12 for broadband infrastructure, other than money received by the
93+13 state under the federal Broadband Equity, Access, and
94+14 Deployment Program established under 47 U.S.C. 1702(b);
95+15 and
96+16 (3) donations, gifts, and money received from any other source,
97+17 including transfers from other funds or accounts.
98+18 (d) The treasurer of state shall invest the money in the fund not
99+19 currently needed to meet the obligations of the fund in the same
100+20 manner as other public funds may be invested.
101+21 (e) Money in the fund at the end of a state fiscal year does not revert
102+22 to the state general fund but remains in the fund to be used exclusively
103+23 for the purposes of this chapter and IC 4-4-38.
104+24 SECTION 3. IC 4-4-38.6 IS ADDED TO THE INDIANA CODE
105+25 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
106+26 UPON PASSAGE]:
107+27 Chapter 38.6. State Administration of Federal Broadband
108+28 Equity, Access, and Deployment Program
109+29 Sec. 1. As used in this chapter, "act" refers to the federal
110+30 Infrastructure Investment and Jobs Act (P.L. 117-58), including
111+31 regulations and guidance issued under that act.
112+32 Sec. 2. (a) As used in this chapter, "BEAD NOFO" refers to the
113+33 Notice of Funding Opportunity for the federal Broadband Equity,
114+34 Access, and Deployment Program, as issued by NTIA on May 12,
115+35 2022, pursuant to 47 U.S.C. 1702(e)(1)(A)(i).
116+36 (b) The term includes any additional guidance issued by NTIA
117+37 with respect to the program after the issuance of the notice
118+38 described in subsection (a).
119+39 Sec. 3. As used in this chapter, "final proposal" refers to the
120+40 office's final proposal (as described in 47 U.S.C. 1702(e)(4))
121+41 submitted to NTIA.
122+42 Sec. 4. As used in this chapter, "initial proposal" refers to the
123+EH 1277—LS 6583/DI 101 3
124+1 office's initial proposal (as described in 47 U.S.C. 1702(e)(3))
125+2 submitted to and approved by NTIA.
126+3 Sec. 5. As used in this chapter, "NTIA" refers to the National
127+4 Telecommunications Information Administration, United States
128+5 Department of Commerce.
129+6 Sec. 6. As used in this chapter, "office" refers to the Indiana
130+7 broadband office in its capacity as an eligible entity (as defined in
131+8 47 U.S.C. 1702(a)(2)(F)) under the act.
132+9 Sec. 7. As used in this chapter, "program" refers to the federal
133+10 Broadband Equity, Access, and Deployment Program established
134+11 under 47 U.S.C. 1702(b).
135+12 Sec. 8. As used in this chapter, "subgrantee" has the meaning
136+13 set forth in 47 U.S.C. 1702(a)(2)(N).
137+14 Sec. 9. (a) Subject to subsection (b), and to the extent not
138+15 preempted by federal law, the office shall administer the program
139+16 in Indiana in compliance with the following:
140+17 (1) All mandatory provisions set forth in the act with respect
141+18 to the program.
142+19 (2) All mandatory provisions set forth in the BEAD NOFO
143+20 with respect to the program.
144+21 (3) Before awarding a subgrant to an eligible broadband
145+22 service provider during any round of funding under the
146+23 program, the office shall submit to the budget committee for
147+24 review the proposed amount and terms of the subgrant.
148+25 (4) In awarding subgrants for the deployment of a broadband
149+26 network using program funds, the office may not exclude
150+27 cooperatives, nonprofit organizations, public-private
151+28 partnerships, private companies, public or private utilities,
152+29 public utility districts, or local governments from eligibility
153+30 for those funds, as set forth in 47 U.S.C. 1702(h)(1)(A)(iii).
154+31 (b) The final proposal submitted by the office to NTIA must
155+32 include the specifications for the required low cost broadband
156+33 service option that are set forth in the office's initial proposal, as
157+34 submitted to and approved by NTIA.
158+35 Sec. 10. To the extent that this chapter conflicts with a provision
159+36 of any other Indiana law, this chapter prevails.
160+37 SECTION 4. An emergency is declared for this act.
161+EH 1277—LS 6583/DI 101 4
162+COMMITTEE REPORT
163+Mr. Speaker: Your Committee on Utilities, Energy and
164+Telecommunications, to which was referred House Bill 1277, has had
165+the same under consideration and begs leave to report the same back
166+to the House with the recommendation that said bill be amended as
167+follows:
168+Page 1, line 5, delete "Except for section 4 of this chapter, this" and
169+insert "This".
170+Page 1, delete lines 9 through 17.
171+Page 2, delete lines 1 through 14.
172+Page 3, delete lines 20 through 21.
173+Page 3, line 22, delete "4." and insert "3.".
174+Page 3, line 25, delete "5." and insert "4.".
175+Page 3, line 28, delete "6." and insert "5.".
176+Page 3, line 31, delete "7." and insert "6.".
177+Page 3, line 34, delete "8." and insert "7.".
178+Page 3, line 37, delete "9." and insert "8.".
179+Page 3, line 37, delete "means an eligible" and insert "has the
180+meaning set forth in 47 U.S.C. 1702(a)(2)(N).".
181+Page 3, delete lines 38 through 40.
182+Page 3, line 41, delete "10. (a) Subject to subsections (b) and (c),"
183+and insert "9. (a) Subject to subsection (b),".
184+Page 4, between lines 9 and 10, begin a new line block indented and
185+insert:
186+"(4) In awarding subgrants for the deployment of a
187+broadband network using program funds, the office may not
188+exclude cooperatives, nonprofit organizations, public-private
189+partnerships, private companies, public or private
190+universities, public utility districts, or local governments from
191+eligibility for those funds, as set forth in 47 U.S.C.
192+1702(h)(1)(A)(iii).".
193+Page 4, delete lines 10 through 15.
194+Page 4, line 16, delete "(c)" and insert "(b)".
195+Page 4, line 17, delete "following:" and insert "specifications for
196+the required low cost broadband service option that are set forth
197+in the office's initial proposal, as submitted to and approved by
198+NTIA.".
199+Page 4, delete lines 18 through 22.
200+Page 4, line 23, delete "11." and insert "10.".
201+Renumber all SECTIONS consecutively.
202+and when so amended that said bill do pass.
203+EH 1277—LS 6583/DI 101 5
204+(Reference is to HB 1277 as introduced.)
205+SOLIDAY
206+Committee Vote: yeas 11, nays 0.
207+_____
208+COMMITTEE REPORT
209+Madam President: The Senate Committee on Utilities, to which was
210+referred House Bill No. 1277, has had the same under consideration
211+and begs leave to report the same back to the Senate with the
212+recommendation that said bill be AMENDED as follows:
213+Page 3, line 29, delete "universities," and insert "utilities,".
214+and when so amended that said bill do pass.
215+(Reference is to HB 1277 as printed January 18, 2024.)
216+KOCH, Chairperson
217+Committee Vote: Yeas 8, Nays 0.
218+EH 1277—LS 6583/DI 101