HLS 24RS-798 REENGROSSED
2024 Regular Session
HOUSE BILL NO. 700
BY REPRESENTATIVES DESHOTEL, BRYANT, CARRIER, FISHER, HEBERT,
TRAVIS JOHNSON, KNOX, LACOMBE, LAFLEUR, LARVADAIN,
MARCELLE, OWEN, SELDERS, ST. BLANC, TAYLOR, AND THOMPSON
UTILITIES: Provides relative to broadband
1 AN ACT
2To amend and reenact R.S. 51:2370.32 and to enact R.S. 51:1363.1(A)(7) and 2370.33(E),
3 Subpart C of Part VI-C of Chapter 39 of Title 51 of the Louisiana Revised Statutes
4 of 1950, to be comprised of R.S. 51:2370.41, and Subpart D of Part VI-C of Chapter
5 39 of Title 51 of the Louisiana Revised Statutes of 1950, to be comprised of R.S.
6 51:2370.51, relative to broadband; to provide for data from GUMBO winners to the
7 office of broadband and connectivity; to exempt certain broadband providers from
8 liability; to provide for an exception from Public Records Law; to provide for
9 reimbursement for grantees; to provide for failure to perform protocols; to provide
10 for the "Granting Unserved Municipalities Broadband Opportunities 3.0" program;
11 to provide for the "Granting Unserved Municipalities Broadband Opportunities 4.0"
12 program; and to provide for related matters.
13Be it enacted by the Legislature of Louisiana:
14 Section 1. R.S. 51:2370.32 is hereby amended and reenacted and R.S.
1551:1361.1(A)(7) and 2370.33(E), Subpart C of Part VI-C of Chapter 39 of Title 51 of the
16Louisiana Revised Statutes of 1950, comprised of R.S. 51:2370.41, and Subpart D of Part
17VI-C of Chapter 39 of Title 51 of the Louisiana Revised Statutes of 1950, comprised of R.S.
1851:2370.51, are hereby enacted to read as follows:
Page 1 of 7
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 24RS-798 REENGROSSED
HB NO. 700
1 §1363.1. Mapping areas for broadband service
2 A.
3 * * *
4 (7)(a) To expedite the construction of broadband projects throughout this
5 state, the office has the authority to collect data from GUMBO 2.0, GUMBO 3.0, and
6 GUMBO 4.0 winners on the location of new broadband infrastructure deployed
7 through GUMBO funding and existing water, sewer, or gas infrastructure in the path
8 of excavation funded through GUMBO. Data shall be provided to the office in a
9 manner identified to all participants. A GUMBO winner may enter into a
10 cooperative endeavor agreement with a participating water, sewer, or gas system to
11 expedite the construction of broadband projects.
12 (b) A GUMBO winner who collects, provides, or facilitates the transfer of
13 data on the location of infrastructure over which it has no control pursuant to this
14 Paragraph shall not be liable for damages or required to pay any penalty to any
15 person or governmental entity for an act or omission of the GUMBO winner in the
16 collection, provision, or transfer of such data.
17 (c) Data collected or provided in accordance with this Paragraph on
18 infrastructure owned, operated, leased, or otherwise used by an internet service
19 provider or telecommunications provider, or its affiliates or subsidiaries, shall be
20 confidential and an exemption from Public Records Law, R.S. 44:4.1 et seq., and an
21 exception from disclosure under any other provision of law.
22 * * *
23 §2370.32. Reimbursement for grantees
24 Reimbursements of eligible costs shall be made by percentage of total project
25 costs expended: ten percent, thirty-five percent, sixty percent, eighty-five percent,
26 and the final fifteen percent payment shall not be paid without an approved
27 completion report. Invoice for final payment shall be submitted within ninety days
28 of a completion date. All invoices are subject to audit for three years from the
29 completion date. GUMBO 2.0 awards will be made on a fixed-award subgrant basis,
Page 2 of 7
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 24RS-798 REENGROSSED
HB NO. 700
1 following all requirements of NTIA's modifications to the Uniform Guidance as
2 provided by final rule, with an initial ten percent disbursement made upon final grant
3 issuance. The next ten percent of the subgrant award shall be provided based on
4 provider certification and the office's verification that ten percent of the eligible
5 locations have been reached. The remaining disbursements shall be given at the
6 thresholds of completion of thirty-five percent, sixty percent, eighty-five percent, and
7 the final one hundred percent provided only after verification of one hundred percent
8 deployment to eligible locations, all within the mandatory forty-eight months
9 maximum deployment timeline or another shorter timeline certified by the applicant.
10 The office will disburse funds only for completed deployments that comply with the
11 terms included in the successful application and will withhold funds for failure to do
12 so.
13 §2370.33. Failure to perform
14 * * *
15 E. Any GUMBO 2.0 subgrantee also subject to deployment obligations
16 elsewhere in this state, including from programs such as the Rural Digital
17 Opportunity Fund, the Enhanced Alternative Connect America Model, the Rural
18 Development Broadband ReConnect Program, or any other similar program included
19 in the BEAD deduplication process, shall make an enforceable commitment as part
20 of its GUMBO 2.0 subgrant agreement not to default or otherwise fail to fulfill any
21 such deployment obligation in this state. The penalty for breach of this commitment
22 shall be, as reimbursement for funding that could have been awarded but for other
23 federal program funding, payment to the state in the amount equal to the total
24 investment cost of all defaulted locations, as measured by the Eligible Entity tool
25 provided to the state by NTIA.
Page 3 of 7
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 24RS-798 REENGROSSED
HB NO. 700
1 SUBPART C. GRANTING UNSERVED MUNICIPALITIES BROADBAND
2 OPPORTUNITIES 3.0
3 §2370.41. GUMBO 3.0
4 In the event there are remaining GUMBO 2.0 funds after the obligation of
5 infrastructure funds, the office shall run a grant program, nondeployment, that will
6 allow eligible parties that shall include but are not limited to state agencies,
7 nonprofits, for-profits, academic institutions, and planning commissions to utilize
8 these funds to help address challenges in economic development, workforce
9 development, healthcare, cybersecurity, agriculture, and other sectors and industries
10 of importance to the state of Louisiana, as determined by approval of Volume 2 of
11 Initial Proposal from the office and the Infrastructure and Jobs Act, or IIJA, the
12 Broadband Equity, Access, and Deployment, or BEAD, Program, and the Notice of
13 Funding Opportunity, or NOFO, with an obligation deadline of these funds to be
14 completed no later than December 12, 2024. This program will be designated as
15 "Granting Unserved Municipalities Broadband Opportunities 3.0" and the office
16 shall have the authority to create appropriate rules and scoring criteria.
17 SUBPART D. GRANTING UNSERVED MUNICIPALITIES BROADBAND
18 OPPORTUNITIES 4.0
19 §2370.51. GUMBO 4.0
20 The office shall have the authority to develop the rules, scoring criteria, and
21 eligibility in the execution of the State's First Digital Opportunity Plan, pending
22 approval from the National Telecommunications and Information Administration,
23 a Sub-Agency of the United States Department of Commerce. Eligible parties shall
24 include but not be limited to state agencies, nonprofits, for-profits, academic
25 institutions, and planning commissions. This program will be designated as
26 "Granting Unserved Municipalities Broadband Opportunities 4.0".
27 Section 2. The funds for GUMBO 2.0 outlined in Subsection E of R.S. 51:2370.33
28as enacted by Section 1 of this Act are to be obligated by December12, 2024 and spent by
29December 31, 2028.
Page 4 of 7
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 24RS-798 REENGROSSED
HB NO. 700
1 Section 3. The funds for GUMBO 3.0 outlined in R.S. 51:2370.41 as enacted by
2Section 1 of this Act are to be obligated by December 12, 2024 and to be spent by December
331, 2028.
4 Section 4. The funds for GUMBO 4.0 outlined in R.S. 51:2370.51 as enacted by
5Section 1 of this Act are to be spent by March 1, 2029.
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 700 Reengrossed 2024 Regular Session Deshotel
Abstract: Provides relative to broadband.
Present law provides for the mapping areas for broadband service.
Proposed law adds that to expedite the construction of broadband projects throughout this
state, the office of broadband and connectivity (office) has the authority to collect data from
GUMBO 2.0, GUMBO 3.0, and GUMBO 4.0 winners on the location of new broadband
infrastructure deployed through GUMBO funding and existing water, sewer, or gas
infrastructure in the path of excavation funded through GUMBO. Data shall be provided
to the office in a manner identified to all participants, and may include but not be limited to
water, sewer, gas, and voice and data services.
Proposed law states that a GUMBO winner may enter into a cooperative endeavor agreement
with a participating water, sewer, or gas system to expedite the construction of broadband
projects.
Proposed law exempts certain broadband providers from liability or penalty from collecting,
providing, or facilitating the transfer of data outlined in proposed law.
Proposed law provides that certain data outlined in proposed law is confidential and an
exception from present law, Public Records Law.
Present law provides that reimbursements of eligible costs shall be made by percentage of
total project costs expended: 10%, 35%, 60%, 85%, and the final 15% payment shall not be
paid without an approved completion report. Invoice for final payment shall be submitted
within 90 days of a completion date. All invoices are subject to audit for three years from
the completion date.
Proposed law deletes present law and adds that GUMBO 2.0 awards will be made on a
fixed-award subgrant basis, following all requirements of NTIA's modifications to the
Uniform Guidance as provided by final rule, with an initial 10% disbursement made upon
final grant issuance. The next 10% of the subgrant award shall be provided based on
provider certification and the office's verification that ten percent of the eligible locations
have been reached. The remaining disbursements shall be given at the thresholds of
completion of 35%, 60%, 85%, and the final 100% provided only after verification of 100%
deployment to eligible locations, all within the mandatory 48 months maximum deployment
timeline or another shorter timeline certified by the applicant.
Page 5 of 7
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 24RS-798 REENGROSSED
HB NO. 700
Proposed law provides that the office will disburse funds only for completed deployments
that comply with the terms included in the successful application and will withhold funds
for failure to do so.
Present law provides for if a grant recipient fails to perform.
Proposed law adds that any GUMBO 2.0 subgrantee also subject to deployment obligations
elsewhere in this state, including from programs such as the Rural Digital Opportunity Fund,
the Enhanced Alternative Connect America Model, the Rural Development Broadband
ReConnect Program, or any other similar program included in the BEAD deduplication
process, must make an enforceable commitment as part of its GUMBO 2.0 subgrant
agreement not to default or otherwise fail to fulfill any such deployment obligation in this
state.
Proposed law provides that the penalty for breach of this commitment shall be, as
reimbursement for funding that could have been awarded but for other federal program
funding, payment to the state in the amount equal to the total investment cost of all defaulted
locations, as measured by the Eligible Entity tool provided to the state by NTIA.
Proposed law provides that in the event there are remaining GUMBO 2.0 funds after the
obligation of infrastructure funds, the office shall run a grant program, non-deployment, that
will allow eligible parties that include but are not limited to state agencies, non-profits,
for-profits, academic institutions, and planning commissions to utilize these funds to help
address challenges in economic development, workforce development, healthcare,
cybersecurity, agriculture, and other sectors and industries of importance to the state of
Louisiana, as determined by approval of Volume 2 of Initial Proposal from the office and
the IIJA, the BEAD Program, and the NOFO, with an obligation deadline of these funds to
be completed no later than Dec. 12, 2024. This program will be designated as "Granting
Unserved Municipalities Broadband Opportunities 3.0" and the office will receive the
authority to create appropriate rules and scoring criteria.
Proposed law provides that the office shall have the authority to develop the rules, scoring
criteria, and eligibility in the execution of the State's First Digital Opportunity Plan, pending
approval from the National Telecommunications and Information Administration, a
Sub-Agency of the U.S. Dept. of Commerce. Eligible parties shall include but not be limited
to state agencies, nonprofits, for-profits, academic institutions, and planning commissions.
This program will be designated as "Granting Unserved Municipalities Broadband
Opportunities 4.0".
The funds for GUMBO 2.0 outlined in proposed law are to be obligated by Dec.12, 2024 and
spent by Dec. 31, 2028.
The funds for GUMBO 3.0 outlined in proposed law are to be obligated by Dec. 12, 2024
and to be spent by Dec. 31, 2028.
The funds for GUMBO 4.0 outlined in proposed law are to be spent by March 1, 2029.
(Amends R.S. 51:2370.32; Adds R.S. 51:1363.1(A)(7), 2370.33(E), 2370.41, and 2370.51)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Commerce to the
original bill:
1. Make technical changes.
Page 6 of 7
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 24RS-798 REENGROSSED
HB NO. 700
2. Add that the office of broadband and connectivity has the authority to collect
data from GUMBO 2.0, GUMBO 3.0, and GUMBO 4.0 winners on the location
of new broadband and existing utility infrastructure.
3. Add that eligible parties for GUMBO 4.0 shall include but not be limited to state
agencies, nonprofits, for-profits, academic institutions, and planning
commissions.
The House Floor Amendments to the engrossed bill:
1. Make technical changes.
2. Clarify that the office of broadband and connectivity has the authority to collect
data from winners on the location of new broadband infrastructure deployed
through GUMBO funding and existing water, sewer, or gas infrastructure in the
path of excavation funded through GUMBO.
3. Add that a GUMBO winner may enter into a cooperative endeavor agreement
with a participating water, sewer, or gas system to expedite the construction of
broadband projects.
4. Exempt certain broadband providers from liability or penalty from collecting,
providing, or facilitating the transfer of data outlined in proposed law.
5. Provide for certain data outlined in proposed law to be confidential and an
exception from present law, Public Records Law.
Page 7 of 7
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.