DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part of the
legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law
or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 653 Engrossed 2023 Regular Session Deshotel
Abstract: Creates the GUMBO 2.0 program and provides for the administration of the program.
Proposed law establishes the "Granting Unserved Municipalities Broadband Opportunities 2.0"
(GUMBO 2.0) program.
Proposed law defines certain terms including "broadband service", "eligible grant recipient",
"eligible project", "infrastructure", "shapefile", "underserved location", and "unserved location".
Proposed law authorizes the office of broadband development and connectivity (office) to use up to
one percent of appropriated funds to administer GUMBO 2.0. Proposed law further authorizes the
office to use one percent of funds to hire 3
rd
party contractors to administer the program. Proposed
law prohibits the use of the funds for compensation of any new or existing positions within the
office.
Proposed law gives the office the authority and responsibility to promulgate rules at least 90 days
prior to a grant round. The rules must be consistent with state law and federal guidelines pertaining
to the Infrastructure Investment and Jobs Act and proposed law.
Proposed law exempts the GUMBO 2.0 program from the provisions of present law, the La.
Procurement Code and the Public Bid Law.
Proposed law provides that, unless stated otherwise in proposed law, all records related to GUMBO
2.0 are public records. A broadband service provider's trade secret and proprietary information are
not subject to the Public Records Law.
Proposed law requires the office to treat any information submitted with a protest that is not publicly
available as confidential.
Proposed law requires grant recipients to provide matching funds. Further requires a grant recipient
to contribute from its own funds a minimum of 25% of the total estimated cost of the project. A
written waiver to this requirement can be granted by the office.
Proposed law authorizes a local government to contribute funding of in-kind contributions for an
eligible project. Such contributions shall not be considered a partnership for providing a covered
service in accordance with present law, the Local Government Fair Competition Act. Proposed law gives the office the authority and responsibility to promulgate rules with regard to the
grant process.
Proposed law requires the challenge process start at least 90 days before a future grant round is
launched. The state is required to use the Federal Communications Commission's (FCC) National
Broadband Map and the National Telecommunications and Information Administration's (NTIA)
preferred model approach to conduct the process. Proposed law requires broadband service providers
to submit challenges within 30 days of mapping information being released publicly.
Proposed law provides that NTIA is the final arbiter of availability challenges.
Proposed law requires the office to keep confidential challenge details.
Proposed law requires that the office keep a grant round open for a period of at least 30 days but not
longer than 60 days.
Proposed law requires the office to identify eligible locations for grant funding using the most recent
FCC National Broadband Map.
Proposed law requires the office to release eligible locations at least 60 days prior to the start of a
grant round.
Proposed law requires application information used for scoring purposes to be made publicly
available, subject to confidentiality protections provided in proposed law. Such information is
required to be posted on the office's website or the division of administration's website for at least
7 days prior to the grant award.
Proposed law requires a grant applicant to define its proposed project area. Proposed law requires
the office to provide additional points for applications that will serve areas determined to be most
in need due to the high cost to serve or economic or other needs of the community.
Proposed law requires the office to promulgate application minimum requirements and scoring rules
at least 90 days prior to a grant round.
Proposed law provides the procedure for an aggrieved party to protest an award and requires such
party to do so within 14-business-day protest process. Further requires such a party that submits a
protest to attest that the information in the protest is accurate and that the protest is submitted in good
faith.
Proposed law allows a local governing authority to submit to the office an objection to any provider
that seeks to deploy broadband service in the local governing authority's area if the provider has
received a letter grade rating of "D" or "F" from the Better Business Bureau.
Proposed law gives the director of the office the authority to settle and resolve a protest of an
aggrieved party. Proposed law requires the director of the office to provide a written decision, within seven days,
when a protest cannot be resolved by mutual agreement. Proposed law provides the requirements
for the written decision and requires the decision to be provided to the aggrieved party immediately.
Proposed law provides that the office's decision is final and conclusive with exceptions.
Proposed law allows an aggrieved party to file an appeal with the commissioner of administration
within 10 business days of receipt of a decision issued pursuant to proposed law. Proposed law gives
the commissioner the authority to review and determine any appeal by an aggrieved party. The
commissioner has 14 days to decide the appeal and that decision is required to be mailed or
otherwise provided immediately to the aggrieved party.
Proposed law allows an aggrieved party to file an appeal, within seven days of receipt of a decision
from the commissioner, with the 19th Judicial District Court. Proposed law also gives an aggrieved
party the right to appeal to the 1st Circuit Court of Appeal or the La. Supreme Court.
Proposed law requires the office to conduct an implementation meeting with a grant recipient within
30 days of execution of a grant agreement.
Proposed law requires a grant recipient to submit to the office an annual report for each funded
project during an agreement period. Proposed law provides requirements for the report. Proposed
law further requires a grant recipient to submit to the office a quarterly report for each project during
an agreement period and the necessary information for the report.
Proposed law requires the office to submit annually, on or before Sept. 30th, a report to the House
and Senate commerce committees and the Joint Legislative Committee on Technology and
Cybersecurity. Proposed law provides the necessary elements for the report.
Proposed law requires eligible grant recipients to submit a quarterly report for each funded project
located in the state and provides the required elements for the report. Proposed law provides that
if a grant recipient does not submit quarterly reports for two consecutive quarters, the office may
consider locations within the awarded area unserved.
Proposed law provides that the division of administration shall be the designated agency for receipt
and disbursement of state and federal funds for broadband expansion.
Proposed law provides that reimbursements shall be made at certain completion points of a project.
Proposed law provides that the final 15% of a grant shall not be paid without an approved
completion report.
Proposed law provides that a grant recipient forfeits the amount of a grant if the recipient fails to
perform, in material respect, its obligations. Proposed law provides that grant agreements shall last,
at a minimum, for the duration of broadband project construction and 5 years after construction
completion.
Proposed law provides that a grant recipient is not required to forfeit the amount of a grant if the recipient fails to perform due to circumstances beyond its control.
Proposed law provides that a grant recipient could be required to reimburse the state the actual cost
to finish a project if the recipient fails to complete the project in a material respect.
Present law, the Public Records Law, provides that unless there is an exception, records are subject
to public review and examination.
Present law provides exceptions to the Public Records Law.
Proposed law creates an exception to the Public Records Law for proposed law, R.S. 51:2370.27.
Proposed law authorizes the La. State Law Institute to make certain technical changes to the law
regarding GUMBO 1.0 to conform with proposed law.
(Adds R.S. 51:2370.21-2370.33; Amends R.S. 44:4.1(B)(35))