By: Hancock H.B. No. 3638 A BILL TO BE ENTITLED AN ACT relating to telecommunications and the universal service fund. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter B, chapter 56, Utilities Code, is amended by adding Section 56.033 to read as follows: Section 56.033. UNIVERSAL SERVICE FUND STUDY. (a) The commission shall conduct a review and evaluation of whether the universal service fund accomplishes the fund's purpose as prescribed in 56.021. (b) Not later than January 8, 2013, the commission shall deliver to the legislature a report for the legislature's revision and approval on the results of the review and evaluation. The report must include recommendations that are consistent with the policies provided by this title. SECTION 2. Section 56.022, Utilities Code, is amended by adding Subsection (d) to read as follows: (d) Notwithstanding any other law, effective January 1, 2012, the uniform charge established by the commission shall not exceed 4.4% without the approval of the legislature. Nothing in this section shall be interpreted to require a reduction in universal service assistance for programs established pursuant to Sections 56.021(2), (3), (4), (5), (6), (7), (8), and (9). SECTION 3. This Act does not supersede or change the terms of any universal service fund settlement agreement in effect as of September 1, 2011. Section 4. This Act takes effect September 1, 2011.