4 | 5 | | |
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5 | 6 | | |
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6 | 7 | | A BILL TO BE ENTITLED |
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7 | 8 | | AN ACT |
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8 | 9 | | relating to the use of the universal service fund for the provision |
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9 | 10 | | of broadband service in underserved rural areas. |
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10 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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11 | 12 | | SECTION 1. Section 56.001, Utilities Code, is amended by |
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12 | 13 | | adding Subdivisions (3) and (4) to read as follows: |
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13 | 14 | | (3) "Broadband service" means a mass-market retail |
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14 | 15 | | service by wire or radio that provides the capability to transmit |
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15 | 16 | | data to and receive data from all or substantially all Internet |
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16 | 17 | | endpoints. The term includes any capabilities that are incidental |
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17 | 18 | | to and enable the operation of the communications service but does |
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18 | 19 | | not include dial-up Internet access service. |
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19 | 20 | | (4) "Broadband service provider" means a provider of |
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20 | 21 | | broadband service. |
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21 | 22 | | SECTION 2. Subchapter A, Chapter 56, Utilities Code, is |
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22 | 23 | | amended by adding Section 56.003 to read as follows: |
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23 | 24 | | Sec. 56.003. JURISDICTION OVER BROADBAND SERVICE |
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24 | 25 | | PROVIDERS. (a) The commission has jurisdiction relating to |
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25 | 26 | | broadband service providers only as necessary to enforce this |
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26 | 27 | | chapter and rules adopted under this chapter. |
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27 | 28 | | (b) This chapter does not otherwise grant the commission |
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28 | 29 | | authority to regulate broadband services or broadband service |
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29 | 30 | | providers. |
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30 | 31 | | SECTION 3. Section 56.021, Utilities Code, is amended to |
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31 | 32 | | read as follows: |
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32 | 33 | | Sec. 56.021. UNIVERSAL SERVICE FUND ESTABLISHED. The |
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33 | 34 | | commission shall adopt and enforce rules requiring local exchange |
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34 | 35 | | companies, and only those broadband service providers that elect to |
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35 | 36 | | participate in the program under Subchapter I, to establish a |
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36 | 37 | | universal service fund to: |
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37 | 38 | | (1) assist telecommunications providers in providing |
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38 | 39 | | basic local telecommunications service at reasonable rates in high |
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39 | 40 | | cost rural areas under two plans: |
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40 | 41 | | (A) the Texas High Cost Universal Service Plan |
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41 | 42 | | (16 T.A.C. Section 26.403); and |
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42 | 43 | | (B) the Small and Rural Incumbent Local Exchange |
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43 | 44 | | Company Universal Service Plan (16 T.A.C. Section 26.404); |
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44 | 45 | | (2) reimburse the telecommunications carrier that |
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45 | 46 | | provides the statewide telecommunications relay access service |
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46 | 47 | | under Subchapter D; |
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47 | 48 | | (3) finance the specialized telecommunications |
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48 | 49 | | assistance program established under Subchapter E; |
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49 | 50 | | (4) reimburse the department and the commission for |
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50 | 51 | | costs incurred in implementing this chapter and Chapter 57; |
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51 | 52 | | (5) reimburse a telecommunications carrier providing |
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52 | 53 | | lifeline service as provided by 47 C.F.R. Part 54, Subpart E, as |
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53 | 54 | | amended; |
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54 | 55 | | (6) finance the implementation and administration of |
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55 | 56 | | the identification process under Section 17.007 for |
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56 | 57 | | telecommunications services; |
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57 | 58 | | (7) reimburse a designated provider under Subchapter |
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58 | 59 | | F; |
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59 | 60 | | (8) reimburse a successor utility under Subchapter G; |
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60 | 61 | | [and] |
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61 | 62 | | (9) finance the program established under Subchapter |
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62 | 63 | | H; and |
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63 | 64 | | (10) provide support for the rural broadband service |
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64 | 65 | | program established under Subchapter I. |
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65 | 66 | | SECTION 4. Section 56.022, Utilities Code, is amended to |
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66 | 67 | | read as follows: |
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67 | 68 | | Sec. 56.022. UNIFORM CHARGE. (a) The universal service |
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68 | 69 | | fund is funded by a statewide uniform charge payable by each: |
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69 | 70 | | (1) telecommunications provider that has access to the |
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70 | 71 | | customer base; and |
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71 | 72 | | (2) broadband service provider only to the extent the |
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72 | 73 | | provider elects to participate in the program under Subchapter I. |
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73 | 74 | | (b) Each [A] telecommunications provider and each broadband |
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74 | 75 | | service provider that elects to participate in the program under |
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75 | 76 | | Subchapter I shall pay the charge in accordance with procedures |
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76 | 77 | | approved by the commission. |
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77 | 78 | | (c) The uniform charge is on services and at rates the |
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78 | 79 | | commission determines. In establishing the charge and the services |
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79 | 80 | | to which the charge will apply, the commission may not: |
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80 | 81 | | (1) grant an unreasonable preference or advantage to a |
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81 | 82 | | telecommunications provider or a broadband service provider that |
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82 | 83 | | elects to participate in the program under Subchapter I; |
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83 | 84 | | (2) assess the charge on pay telephone service; or |
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84 | 85 | | (3) subject a telecommunications provider or electing |
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85 | 86 | | broadband service provider to unreasonable prejudice or |
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86 | 87 | | disadvantage. |
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87 | 88 | | (d) The commission may establish separate uniform charges |
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88 | 89 | | for telecommunications providers and broadband service providers. |
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89 | 90 | | (e) Funds from the uniform charge on telecommunications |
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90 | 91 | | providers may only be used to fund programs under Sections |
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91 | 92 | | 56.021(1) through (9). Funds from the uniform charge on broadband |
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92 | 93 | | service providers that elect to participate in the program under |
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93 | 94 | | Subchapter I may only be used to fund the rural broadband service |
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94 | 95 | | program under Section 56.021(10). |
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95 | 96 | | (f) The commission may assess a uniform charge on a |
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96 | 97 | | broadband service provider only if the provider notifies the |
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97 | 98 | | commission of the provider's election to participate in the program |
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98 | 99 | | established under Subchapter I. |
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99 | 100 | | (g) A broadband service provider may notify the commission |
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100 | 101 | | at any time of the provider's intention to discontinue its |
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101 | 102 | | participation. The election is effective on the 60th day after the |
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102 | 103 | | date of the notification. |
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103 | 104 | | SECTION 5. Subchapter B, Chapter 56, Utilities Code, is |
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104 | 105 | | amended by adding Section 56.0235 to read as follows: |
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105 | 106 | | Sec. 56.0235. COMMISSION POWERS AND DUTIES RELATING TO |
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106 | 107 | | ELECTING BROADBAND SERVICE PROVIDERS. In addition to the powers |
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107 | 108 | | and duties provided by Section 56.023, the commission shall: |
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108 | 109 | | (1) adopt eligibility criteria for broadband service |
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109 | 110 | | providers that elect to participate in the program under Subchapter |
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110 | 111 | | I and review procedures, including a method for administrative |
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111 | 112 | | review, the commission finds necessary to manage crediting the |
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112 | 113 | | broadband charge receipts to the universal service fund in |
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113 | 114 | | accordance with Section 56.022(f) for the purposes of Subchapter I |
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114 | 115 | | and to make distributions of the broadband charge receipts from |
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115 | 116 | | that fund to electing broadband service providers; |
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116 | 117 | | (2) determine which electing broadband service |
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117 | 118 | | providers meet the eligibility criteria; and |
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118 | 119 | | (3) approve procedures for the collection and |
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119 | 120 | | disbursal to electing broadband service providers of the broadband |
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120 | 121 | | charge receipts the universal service fund received from electing |
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121 | 122 | | broadband service providers. |
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122 | 123 | | SECTION 6. Sections 56.024(a) and (b), Utilities Code, are |
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123 | 124 | | amended to read as follows: |
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124 | 125 | | (a) The commission may require a telecommunications |
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125 | 126 | | provider, or a broadband service provider that elects to |
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126 | 127 | | participate in the program under Subchapter I, to provide a report |
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127 | 128 | | or information necessary to assess contributions, broadband |
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128 | 129 | | charges, and disbursements to the universal service fund. |
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129 | 130 | | (b) A report or information the commission requires a |
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130 | 131 | | telecommunications provider, or a broadband service provider that |
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131 | 132 | | elects to participate in the program under Subchapter I, to provide |
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132 | 133 | | under Subsection (a) is confidential and not subject to disclosure |
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133 | 134 | | under Chapter 552, Government Code. |
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134 | 135 | | SECTION 7. Chapter 56, Utilities Code, is amended by adding |
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135 | 136 | | Subchapter I to read as follows: |
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136 | 137 | | SUBCHAPTER I. RURAL BROADBAND SERVICE PROGRAM |
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137 | 138 | | Sec. 56.351. SUPPORT FOR BROADBAND SERVICES IN UNDERSERVED |
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138 | 139 | | RURAL AREAS. (a) The commission shall provide from broadband |
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139 | 140 | | charge receipts from electing providers, support for broadband |
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140 | 141 | | service providers to offer retail broadband service in underserved |
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141 | 142 | | rural areas of this state at rates comparable to the benchmark rates |
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142 | 143 | | established by the Federal Communications Commission. |
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143 | 144 | | (b) Support received under this subchapter may not be used |
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144 | 145 | | for a purpose other than a purpose described by Subsection (a). |
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145 | 146 | | (c) The commission by rule shall adopt criteria for areas of |
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146 | 147 | | this state to qualify as underserved rural areas for the purposes of |
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147 | 148 | | this subchapter. |
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148 | 149 | | (d) A broadband service provider must notify the commission |
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149 | 150 | | of the provider's election to participate in the program |
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150 | 151 | | established under this subchapter and pay the uniform charge under |
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151 | 152 | | Section 56.022 before the provider may receive financial assistance |
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152 | 153 | | under this subchapter. |
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153 | 154 | | Sec. 56.352. NETWORK STANDARDS. The commission by rule |
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154 | 155 | | shall establish standards for networks built or maintained using |
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155 | 156 | | support disbursed under this subchapter. The standards must |
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156 | 157 | | require a network to provide broadband service and be consistent |
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157 | 158 | | with standards established by the federal government. |
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158 | 159 | | Sec. 56.353. ACCOUNTING. The commission shall adopt rules |
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159 | 160 | | to ensure that support provided under this subchapter is calculated |
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160 | 161 | | in a manner that is consistent with standard accounting principles. |
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161 | 162 | | SECTION 8. This Act takes effect September 1, 2019. |
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