Text: SF02243                           Text: SF02245
Text: SF02200 - SF02299                 Text: SF Index
Bills and Amendments: General Index     Bill History: General Index



Senate File 2244

Partial Bill History

Bill Text

PAG LIN
  1  1                                           SENATE FILE 2244
  1  2 
  1  3                             AN ACT 
  1  4 RELATING TO MUNICIPAL UTILITIES THAT PROVIDE TELE-
  1  5    COMMUNICATIONS SERVICES, INCLUDING THE EXAMINATION 
  1  6    AND CONFIDENTIALITY OF CERTAIN ACCOUNTING RECORDS.
  1  7 
  1  8 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  1  9 
  1 10    Section 1.  Section 11.6, subsection 1, paragraph a,
  1 11 unnumbered paragraph 1, Code 2003, is amended to read as
  1 12 follows:
  1 13    The financial condition and transactions of all cities and
  1 14 city offices, counties, county hospitals organized under
  1 15 chapters 347 and 347A, memorial hospitals organized under
  1 16 chapter 37, entities organized under chapter 28E having gross
  1 17 receipts in excess of one hundred thousand dollars in a fiscal
  1 18 year, merged areas, area education agencies, and all school
  1 19 offices in school districts, shall be examined at least once
  1 20 each year, except that cities having a population of seven
  1 21 hundred or more but less than two thousand shall be examined
  1 22 at least once every four years, and cities having a population
  1 23 of less than seven hundred may be examined as otherwise
  1 24 provided in this section.  The examination shall cover the
  1 25 fiscal year next preceding the year in which the audit is
  1 26 conducted.  The examination of school offices shall include an
  1 27 audit of all school funds, the certified annual financial
  1 28 report, and the certified enrollment as provided in section
  1 29 257.6.  Differences in certified enrollment shall be reported
  1 30 to the department of management.  The examination of a city
  1 31 that owns or operates a municipal utility providing
  1 32 telecommunications services pursuant to section 388.10 shall
  1 33 include an audit of the city's compliance with section 388.10.
  1 34    Sec. 2.  Section 388.10, Code 2003, is amended to read as
  1 35 follows:
  2  1    388.10  MUNICIPAL UTILITY PROVIDING LOCAL EXCHANGE
  2  2 TELECOMMUNICATIONS SERVICES.
  2  3    1.  a.  A city that owns or operates a municipal utility
  2  4 providing local exchange telecommunications services pursuant
  2  5 to chapter 476 or the such a municipal utility shall not do,
  2  6 directly or indirectly, any of the following:
  2  7    (1)  Use general fund moneys for the ongoing support or
  2  8 subsidy of a telecommunications system.
  2  9    (2)  Provide any city facilities, equipment, or services to
  2 10 provide telecommunications systems or services at a cost for
  2 11 such facilities, equipment, or services which is less than the
  2 12 reasonable cost of providing such city facilities, equipment,
  2 13 or services.
  2 14    (3)  Provide any other city service, other than a
  2 15 communications service, to a telecommunications customer at a
  2 16 cost which is less than would be paid by the same person
  2 17 receiving such other city service if the person was not a
  2 18 telecommunications customer.
  2 19    (4)  Use funds or revenue generated from electric, gas,
  2 20 water, sewage, or garbage services provided by the city for
  2 21 the ongoing support of that portion of a system or service
  2 22 used to provide local exchange services any city
  2 23 telecommunications system.
  2 24    b.  For purposes of this section, "telecommunications:
  2 25    (1)  "Telecommunications system" means only that portion of
  2 26 a system or facilities which is used to provide local exchange
  2 27 that provides telecommunications services.
  2 28    (2)  "Telecommunications services" means the retail
  2 29 provision of any of the following services:
  2 30    (a)  Local exchange telephone services.
  2 31    (b)  Long distance telephone services.
  2 32    (c)  Internet access services.
  2 33    (d)  Cable television services.
  2 34    2.  A city that owns or operates a municipal utility
  2 35 providing local exchange telecommunications services pursuant
  3  1 to chapter 476 or the such a municipal utility shall do the
  3  2 following:
  3  3    a.  Prepare and maintain records which record the full cost
  3  4 accounting of providing local exchange service
  3  5 telecommunications services.  The records shall show the
  3  6 amount and source of capital for initial construction or
  3  7 acquisition of the local exchange telecommunications system or
  3  8 facilities.  The records shall be public records subject to
  3  9 the requirements of chapter 22.  Information in the records
  3 10 that is not subject to examination or copying as provided in
  3 11 section 388.9, subsection 2, may be expunged from the records
  3 12 prior to public disclosure.  This section shall not prohibit a
  3 13 municipal utility from utilizing capital from any lawful
  3 14 source, provided that the reasonable cost of such capital is
  3 15 accounted for as a cost of providing the service.  In
  3 16 accounting for the cost of use of any city employees,
  3 17 facilities, equipment, or services, a city or municipal
  3 18 utility may make a reasonable allocation of the cost of use of
  3 19 any city employees, facilities, equipment, or services used by
  3 20 the municipal utility based upon reasonable criteria for the
  3 21 distribution of the cost of use in any manner which is not
  3 22 inconsistent with generally accepted accounting principles.
  3 23    b.  Adopt rates for the provision of local exchange
  3 24 telecommunications services that reflect the actual cost of
  3 25 providing the local exchange service telecommunications
  3 26 services.  However, this paragraph shall not prohibit the
  3 27 municipal utility from establishing market-based prices for
  3 28 competitive local exchange telecommunications services.
  3 29    c.  Be subject to all requirements of the city which would
  3 30 apply to any other provider of local exchange
  3 31 telecommunications services in the same manner as such
  3 32 requirements would apply to such other provider.  For purposes
  3 33 of cable television services, a city that is in compliance
  3 34 with section 364.3, subsection 7, shall be considered in
  3 35 compliance with this paragraph.
  4  1    d.  Make an annual certification of compliance with this
  4  2 section.  For any year in which the city or municipal utility
  4  3 is not audited in accordance with section 11.6, the city or
  4  4 municipal utility shall contract with or employ the auditor of
  4  5 state or a certified public accountant certified in the state
  4  6 of Iowa to attest to the certification.  The attestation
  4  7 report shall be a public record for purposes of chapter 22.
  4  8    3.  This section shall not prohibit the marketing or
  4  9 bundling of other products or services, in addition to local
  4 10 exchange telecommunications services.  However, a city shall
  4 11 include on a billing statement sent to a person receiving
  4 12 services from the city, a separate charge for each service
  4 13 provided to the person.  This subsection does not prohibit the
  4 14 city from also including on the billing statement a total
  4 15 amount to be paid by the person.
  4 16    4.  This section shall not apply to telecommunications
  4 17 services provided directly by a municipal airport.
  4 18    Sec. 3.  VALIDITY OF ACTIONS.  Except for an action that
  4 19 violates section 364.3, subsection 7, actions taken prior to
  4 20 July 1, 2004, by a city or municipal utility regarding the
  4 21 provision of cable, internet, or long distance service
  4 22 including financing are deemed valid.  
  4 23 
  4 24 
  4 25                                                             
  4 26                               JEFFREY M. LAMBERTI
  4 27                               President of the Senate
  4 28 
  4 29 
  4 30                                                             
  4 31                               CHRISTOPHER C. RANTS
  4 32                               Speaker of the House
  4 33 
  4 34    I hereby certify that this bill originated in the Senate and
  4 35 is known as Senate File 2244, Eightieth General Assembly.
  5  1 
  5  2 
  5  3                                                             
  5  4                               MICHAEL E. MARSHALL
  5  5                               Secretary of the Senate
  5  6 Approved                , 2004
  5  7 
  5  8 
  5  9                                
  5 10 THOMAS J. VILSACK
  5 11 Governor
     

Text: SF02243                           Text: SF02245
Text: SF02200 - SF02299                 Text: SF Index
Bills and Amendments: General Index     Bill History: General Index

Return To Home index


© 2004 Cornell College and League of Women Voters of Iowa


Comments about this site or page? webmaster@legis.iowa.gov.
Please remember that the person listed above does not vote on bills. Direct all comments concerning legislation to State Legislators.

Last update: Fri Apr 16 03:30:00 CDT 2004
URL: /DOCS/GA/80GA/Legislation/SF/02200/SF02244/040326.html
jhf