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House Journal: Page 1752: Thursday, May 1, 2003

19 i. Take all other steps necessary and proper as
20 needed to carry out its responsibilities enumerated in
21 this subsection. The board may adopt necessary rules
22 pursuant to chapter 17A to administer this division of
23 this Act.
24 Sec. 203. MINIMUM QUALIFICATIONS OF PURCHASER.
25 The purchaser shall meet the following requirements:
26 1. The principal place of business of the
27 purchaser and any parent of the purchaser shall be
28 located in the state of Iowa.
29 2. For national security reasons, and because of
30 the extensive military use of the network, the
31 purchaser shall possess national security approval.
32 Sec. 204. CRITERIA FOR SELECTION OF PURCHASER.
33 After issuing a request for proposals for the purchase
34 of the network and considering the proposals received,
35 the board shall select the highest and best offer for
36 purchase of the network from those persons submitting
37 proposals which meet all of the following criteria:
38 1. Satisfy the minimum qualifications of this
39 division of this Act.
40 2. Submit a proposal in compliance with the
41 request for proposals.
42 3. Demonstrate a likelihood of being able to
43 obtain any financing necessary to close the
44 transaction. However, the board shall not require
45 that the purchaser have a commitment for financing to
46 award the contract, but shall allow the purchaser at
47 least one year to obtain any necessary financing. The
48 board may also in its discretion consider proposals
49 involving financing of the sale by the state.
50 4. Agree to continue all services currently being

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1 provided to state and federal agencies and military
2 installations for the next ten years, with any annual
3 rate increase not to exceed five percent per year,
4 provided that the purchaser shall not be required to
5 supply at such restricted prices a quantity or quality
6 of service greater than that provided by the network
7 as of execution of the contract for sale of the
8 network.
9 Sec. 205. CLOSING OF SALE. Any debt of the state
10 related to the network or other liens against network
11 assets shall be discharged out of the state's proceeds
12 of closing, so that the purchaser receives marketable
13 title to the network. The purchaser shall receive
14 bills of sale, in the case of personal property, and
15 deeds, in the case of real property, transferring all
16 network assets to the purchaser. The state shall also
17 transfer its interest in right-of-way and leases and


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