LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS FISCAL IMPACT STATEMENT LS 7289 NOTE PREPARED: Apr 10, 2025 BILL NUMBER: SB 502 BILL AMENDED: Apr 8, 2025 SUBJECT: Attachments to Utility Poles. FIRST AUTHOR: Sen. Zay BILL STATUS: 2 nd Reading - 2 nd House FIRST SPONSOR: Rep. DeVon FUNDS AFFECTED:XGENERAL IMPACT: State DEDICATED FEDERAL Summary of Legislation: This bill defines an "attachment request" as a request made: (1) by an attaching entity, other than an electricity supplier, to the owner (pole owner) of an electric distribution pole (pole) for authorization to install, within a period of not more than 30 days, communications service equipment on 300 or more poles owned by the pole owner; and (2) in connection with, and using funds obtained from, a state or federal program directly related to the expansion of communications services to unserved, underserved, or rural areas (program). It also defines "process management agreement" as a written agreement entered into by: (1) an attaching entity that has been awarded funding under a program; and (2) a pole owner that owns at least 300 poles with respect to which the attaching entity intends to submit an attachment request in connection with a project under the program; for the purpose of establishing processes, timelines, mutual performance obligations, and conflict resolution options for timely completing attachment requests. Contract Execution: The bill provides that not later than five business days after the execution of a contract that: (1) is entered into by an attaching entity and a governmental agency; and (2) sets forth the terms and conditions for a project for which funding has been awarded under a program; the Indiana broadband office (office) shall publish the contract on the office's website. The bill also provides that not later than 60 days after a contract is executed: (1) the attaching entity that executed the contract; and (2) each pole owner that owns at least 300 poles with respect to which the attaching entity intends to submit an attachment request in connection with a project under the program; shall hold a meeting for the purpose of discussing general project plans. Contract Mediation Process: The bill provides that not later than four months after the National Telecommunications Information Administration approves the office's final proposal for funding under the federal Broadband Equity, Access, and Deployment Program, if an attaching entity that has been awarded funding under a program does not have a process management agreement in effect with a pole owner that owns at least 300 poles with respect to which the attaching entity intends to submit an attachment request in connection with a project under the program, the attaching entity and the pole owner shall negotiate an agreement that sets forth specified processes, timelines, mutual performance obligations, and conflict SB 502 1 resolution options. It provides that if the attaching entity and a pole owner do not reach an agreement as to the terms, conditions, and timelines for a process management agreement, or otherwise have the prescribed negotiated agreement in effect, within the required four month period, certain conditions apply with respect to the dealings between the attaching entity and the pole owner with respect to any application for a pole attachment permit that does not seek the attachment of more than 3,000 poles within a period of not more than 30 days. It also authorizes the office to adopt a rapid response mediation process to be followed if a dispute arises between an attaching entity and a pole owner regarding the processes and timelines for the timely completion of an attachment request. Effective Date: July 1, 2025. Explanation of State Expenditures: Contract Execution: This bill may increase the workload of the Indiana Broadband Office to post attachment contract information on their website. This workload increase will be within the office’s current funding and staffing levels. Contract Mediation Process: This bill will increase the workload to implement a rapid response mediation process to follow for if disputes arise between attaching entities and pole owners. This process is to be modeled after the federal Rapid Broadband Assessment Team Review and Assessment process and require and complainant to pursue remedies available under federal law before seeking relief from the office. Explanation of State Revenues: Explanation of Local Expenditures: Explanation of Local Revenues: State Agencies Affected: Indiana Broadband Office; Indiana Office of Technology Local Agencies Affected: Information Sources: Fiscal Analyst: Abdulrahman Abdulkadri, 317-232-9852. SB 502 2