House Amendment 8293 PAG LIN 1 1 Amend House File 2536 as follows: 1 2 #1. By striking everything after the enacting 1 3 clause and inserting the following: 1 4 <Section 1. IOWA COMMUNICATIONS NETWORK == INTERIM 1 5 STUDY. 1 6 1. The legislative council shall establish an 1 7 interim study committee to evaluate a sale of the Iowa 1 8 communications network, or a portion of the network's 1 9 assets. The study shall include a review of legal and 1 10 practical issues that may affect whether the sale of 1 11 the network, or a portion of the network's assets, 1 12 should be approved or rejected, or that may affect the 1 13 terms under which a sale or partial sale should be 1 14 completed. Issues to be included in the study shall 1 15 include all of the following: 1 16 a. The impact of a sale or partial sale of the 1 17 network on existing authorized users. 1 18 b. The impact of a sale or partial sale of the 1 19 network on existing telecommunications providers, and 1 20 on the development of the competitive local exchange 1 21 market. 1 22 c. The impact of a sale or partial sale of the 1 23 network to a single provider on the state's continued 1 24 use of the bandwidth at an affordable price. 1 25 d. The effect of a sale or partial sale of the 1 26 network on Part III leases. 1 27 e. The protection of state interests including the 1 28 assurance of affordable access to the network for 1 29 public entities. 1 30 f. The necessity of compliance with applicable 1 31 state laws. 1 32 g. Issues relating to the use of public rights=of= 1 33 way by potential buyers of the network, or a portion 1 34 of the network. 1 35 h. The impact of a sale or partial sale of the 1 36 network on Iowa businesses and citizens. 1 37 i. Providing for a long=term lease of sufficient 1 38 capacity to meet the needs of existing and future 1 39 educational users of the network identified in chapter 1 40 8D. 1 41 j. A review of whether a sale or partial sale of 1 42 the network should be completed pursuant to a request 1 43 for proposals or by some other manner of sale. 1 44 k. A review of the impact of federal 1 45 communications commission policy pertaining to common 1 46 carriage status of the network and the potential loss 1 47 of universal service funds for kindergarten through 1 48 grade twelve schools based on a sale or partial sale 1 49 of the network, and recommendations on the manner in 1 50 which the network should be sold to avoid an adverse 2 1 impact on the state, educational users, and the 2 2 network. 2 3 l. The anticipated future requirements of the 2 4 state for use of the network to address the state's 2 5 technological needs. 2 6 m. A review of the cost implications to the state 2 7 if federal funds are lost due to a sale, or partial 2 8 sale, of the network. 2 9 n. Consideration of sales criteria including, 2 10 among others, whether the network, or a portion of the 2 11 network, should be sold to a single purchaser, 2 12 multiple purchasers, or to a consortium of purchasers; 2 13 and whether or not to establish a minimum sale price. 2 14 o. A review of the necessity for continuation of 2 15 the Iowa telecommunications and technology commission 2 16 and the Iowa communications network operations center 2 17 in the event that the network, or a portion of the 2 18 network, is sold. 2 19 p. A review, in consultation with the utilities 2 20 division of the department of commerce, of the legal 2 21 and practical issues involved in, and the merits of, a 2 22 possible conversion of the network into a public 2 23 utility. 2 24 q. A review of the existing agreements between the 2 25 state, the network, the federal emergency management 2 26 administration, and the department of defense, and the 2 27 impact of a sale or partial sale of the network on its 2 28 use during times of emergency or national disaster. 2 29 r. Other relevant issues as identified by 2 30 committee members. 2 31 2. The committee shall consult with other state 2 32 agencies, appropriate federal agencies, and private 2 33 associations and vendors in completing its evaluation 2 34 of a sale or partial sale of the network. 2 35 3. The interim committee shall be composed of ten 2 36 voting members, representing both political parties 2 37 and both houses of the general assembly. Five members 2 38 shall be members of the senate, three of whom shall be 2 39 appointed by the majority leader of the senate and two 2 40 of whom shall be appointed by the minority leader of 2 41 the senate. Five members shall be members of the 2 42 house of representatives, appointed by the speaker of 2 43 the house, three of whom shall be of the majority 2 44 party and two of whom shall be of the minority party. 2 45 Nonvoting members shall be appointed by the 2 46 legislative council, in consultation with the 2 47 governor, and shall include, but not be limited to, 2 48 individuals representing the Iowa telecommunications 2 49 and technology commission, an independent telephone 2 50 company, a rate=regulated telephone company, the Iowa 3 1 national guard, private industry, the state board of 3 2 regents universities, the kindergarten through grade 3 3 twelve public education system, community colleges, 3 4 private colleges, the Iowa utilities board, the Iowa 3 5 department of corrections, the emergency management 3 6 division of the Iowa department of public defense, and 3 7 a representative from the medical field. 3 8 4. The committee shall complete its evaluation and 3 9 submit a written report of its recommendations to the 3 10 members of the general assembly by December 1, 2004.> 3 11 #2. Title page, by striking lines 1 through 3 and 3 12 inserting the following: <An Act relating to the 3 13 establishment of a committee to conduct an evaluation 3 14 of the issues relating to the sale, or partial sale, 3 15 of the Iowa communications network.> 3 16 3 17 3 18 3 19 HORBACH of Tama 3 20 3 21 3 22 3 23 SANDS of Louisa 3 24 3 25 3 26 3 27 QUIRK of Chickasaw 3 28 3 29 3 30 3 31 PETERSEN of Polk 3 32 HF 2536.703 80 3 33 rn/gg -1-