Texas Senate Bill SB1849

Texas 2011 - 82nd Regular

• Out of Senate Committee: 4/20/11
• Introduced: 3/11/11
• Voted on by Senate: 5/5/11
• Refer: 3/24/11
• Report Pass: 4/20/11
• Engrossed: 5/5/11
• Refer: 5/9/11

Caption

Relating to furthering stability and affordable service in the communications industry through the universal service fund.

Impact

The provisions in SB1849 reinforce the financial foundation for local exchange companies dependent on the universal service fund, which is crucial for maintaining service quality and availability. This legislative action aligns with the state's broader goals of ensuring that residents, especially in rural and economically disadvantaged regions, have access to affordable telecommunications services. By safeguarding ongoing support for these companies, the bill aims to mitigate the risks associated with service interruptions that could arise from financial instability.

Summary

Senate Bill 1849 aims to enhance the stability and accessibility of communication services in Texas by making amendments related to the universal service fund. The bill specifically addresses the support mechanisms for local exchange companies that have received assistance before January 1, 2005. It ensures that such companies can continue to receive support without the obligation to reimburse past funding, thereby fostering continued service provision in potentially underserved areas.

Contention

Potential points of contention regarding SB1849 could revolve around the long-term sustainability of the universal service fund and its impacts on state funding. Critics may argue that ensuring continual funding without reimbursement could set a precedent for companies not to be held accountable for past appropriations. Additionally, there may be concerns regarding transparency in how these funds are utilized and whether this model is the most effective method of supporting communication services across Texas. Ultimately, the bill's passage may spark discussions on regulatory frameworks and funding models used in the telecommunications industry.