Texas 2019 - 86th Regular

Texas House Bill HB669 Compare Versions

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11 86R24940 GRM-D
2- By: King of Hemphill, Guillen, Springer, H.B. No. 669
3- Ashby, King of Uvalde, et al.
2+ By: King of Hemphill, et al. H.B. No. 669
3+ Substitute the following for H.B. No. 669:
4+ By: Phelan C.S.H.B. No. 669
45
56
67 A BILL TO BE ENTITLED
78 AN ACT
89 relating to the use of the universal service fund for the provision
910 of broadband service in underserved rural areas.
1011 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1112 SECTION 1. Section 56.001, Utilities Code, is amended by
1213 adding Subdivisions (3) and (4) to read as follows:
1314 (3) "Broadband service" means a mass-market retail
1415 service by wire or radio that provides the capability to transmit
1516 data to and receive data from all or substantially all Internet
1617 endpoints. The term includes any capabilities that are incidental
1718 to and enable the operation of the communications service but does
1819 not include dial-up Internet access service.
1920 (4) "Broadband service provider" means a provider of
2021 broadband service.
2122 SECTION 2. Subchapter A, Chapter 56, Utilities Code, is
2223 amended by adding Section 56.003 to read as follows:
2324 Sec. 56.003. JURISDICTION OVER BROADBAND SERVICE
2425 PROVIDERS. (a) The commission has jurisdiction relating to
2526 broadband service providers only as necessary to enforce this
2627 chapter and rules adopted under this chapter.
2728 (b) This chapter does not otherwise grant the commission
2829 authority to regulate broadband services or broadband service
2930 providers.
3031 SECTION 3. Section 56.021, Utilities Code, is amended to
3132 read as follows:
3233 Sec. 56.021. UNIVERSAL SERVICE FUND ESTABLISHED. The
3334 commission shall adopt and enforce rules requiring local exchange
3435 companies, and only those broadband service providers that elect to
3536 participate in the program under Subchapter I, to establish a
3637 universal service fund to:
3738 (1) assist telecommunications providers in providing
3839 basic local telecommunications service at reasonable rates in high
3940 cost rural areas under two plans:
4041 (A) the Texas High Cost Universal Service Plan
4142 (16 T.A.C. Section 26.403); and
4243 (B) the Small and Rural Incumbent Local Exchange
4344 Company Universal Service Plan (16 T.A.C. Section 26.404);
4445 (2) reimburse the telecommunications carrier that
4546 provides the statewide telecommunications relay access service
4647 under Subchapter D;
4748 (3) finance the specialized telecommunications
4849 assistance program established under Subchapter E;
4950 (4) reimburse the department and the commission for
5051 costs incurred in implementing this chapter and Chapter 57;
5152 (5) reimburse a telecommunications carrier providing
5253 lifeline service as provided by 47 C.F.R. Part 54, Subpart E, as
5354 amended;
5455 (6) finance the implementation and administration of
5556 the identification process under Section 17.007 for
5657 telecommunications services;
5758 (7) reimburse a designated provider under Subchapter
5859 F;
5960 (8) reimburse a successor utility under Subchapter G;
6061 [and]
6162 (9) finance the program established under Subchapter
6263 H; and
6364 (10) provide support for the rural broadband service
6465 program established under Subchapter I.
6566 SECTION 4. Section 56.022, Utilities Code, is amended to
6667 read as follows:
6768 Sec. 56.022. UNIFORM CHARGE. (a) The universal service
6869 fund is funded by a statewide uniform charge payable by each:
6970 (1) telecommunications provider that has access to the
7071 customer base; and
7172 (2) broadband service provider only to the extent the
7273 provider elects to participate in the program under Subchapter I.
7374 (b) Each [A] telecommunications provider and each broadband
7475 service provider that elects to participate in the program under
7576 Subchapter I shall pay the charge in accordance with procedures
7677 approved by the commission.
7778 (c) The uniform charge is on services and at rates the
7879 commission determines. In establishing the charge and the services
7980 to which the charge will apply, the commission may not:
8081 (1) grant an unreasonable preference or advantage to a
8182 telecommunications provider or a broadband service provider that
8283 elects to participate in the program under Subchapter I;
8384 (2) assess the charge on pay telephone service; or
8485 (3) subject a telecommunications provider or electing
8586 broadband service provider to unreasonable prejudice or
8687 disadvantage.
8788 (d) The commission may establish separate uniform charges
8889 for telecommunications providers and broadband service providers.
8990 (e) Funds from the uniform charge on telecommunications
9091 providers may only be used to fund programs under Sections
9192 56.021(1) through (9). Funds from the uniform charge on broadband
9293 service providers that elect to participate in the program under
9394 Subchapter I may only be used to fund the rural broadband service
9495 program under Section 56.021(10).
9596 (f) The commission may assess a uniform charge on a
9697 broadband service provider only if the provider notifies the
9798 commission of the provider's election to participate in the program
9899 established under Subchapter I.
99100 (g) A broadband service provider may notify the commission
100101 at any time of the provider's intention to discontinue its
101102 participation. The election is effective on the 60th day after the
102103 date of the notification.
103104 SECTION 5. Subchapter B, Chapter 56, Utilities Code, is
104105 amended by adding Section 56.0235 to read as follows:
105106 Sec. 56.0235. COMMISSION POWERS AND DUTIES RELATING TO
106107 ELECTING BROADBAND SERVICE PROVIDERS. In addition to the powers
107108 and duties provided by Section 56.023, the commission shall:
108109 (1) adopt eligibility criteria for broadband service
109110 providers that elect to participate in the program under Subchapter
110111 I and review procedures, including a method for administrative
111112 review, the commission finds necessary to manage crediting the
112113 broadband charge receipts to the universal service fund in
113114 accordance with Section 56.022(f) for the purposes of Subchapter I
114115 and to make distributions of the broadband charge receipts from
115116 that fund to electing broadband service providers;
116117 (2) determine which electing broadband service
117118 providers meet the eligibility criteria; and
118119 (3) approve procedures for the collection and
119120 disbursal to electing broadband service providers of the broadband
120121 charge receipts the universal service fund received from electing
121122 broadband service providers.
122123 SECTION 6. Sections 56.024(a) and (b), Utilities Code, are
123124 amended to read as follows:
124125 (a) The commission may require a telecommunications
125126 provider, or a broadband service provider that elects to
126127 participate in the program under Subchapter I, to provide a report
127128 or information necessary to assess contributions, broadband
128129 charges, and disbursements to the universal service fund.
129130 (b) A report or information the commission requires a
130131 telecommunications provider, or a broadband service provider that
131132 elects to participate in the program under Subchapter I, to provide
132133 under Subsection (a) is confidential and not subject to disclosure
133134 under Chapter 552, Government Code.
134135 SECTION 7. Chapter 56, Utilities Code, is amended by adding
135136 Subchapter I to read as follows:
136137 SUBCHAPTER I. RURAL BROADBAND SERVICE PROGRAM
137138 Sec. 56.351. SUPPORT FOR BROADBAND SERVICES IN UNDERSERVED
138139 RURAL AREAS. (a) The commission shall provide from broadband
139140 charge receipts from electing providers, support for broadband
140141 service providers to offer retail broadband service in underserved
141142 rural areas of this state at rates comparable to the benchmark rates
142143 established by the Federal Communications Commission.
143144 (b) Support received under this subchapter may not be used
144145 for a purpose other than a purpose described by Subsection (a).
145146 (c) The commission by rule shall adopt criteria for areas of
146147 this state to qualify as underserved rural areas for the purposes of
147148 this subchapter.
148149 (d) A broadband service provider must notify the commission
149150 of the provider's election to participate in the program
150151 established under this subchapter and pay the uniform charge under
151152 Section 56.022 before the provider may receive financial assistance
152153 under this subchapter.
153154 Sec. 56.352. NETWORK STANDARDS. The commission by rule
154155 shall establish standards for networks built or maintained using
155156 support disbursed under this subchapter. The standards must
156157 require a network to provide broadband service and be consistent
157158 with standards established by the federal government.
158159 Sec. 56.353. ACCOUNTING. The commission shall adopt rules
159160 to ensure that support provided under this subchapter is calculated
160161 in a manner that is consistent with standard accounting principles.
161162 SECTION 8. This Act takes effect September 1, 2019.