House Study Bill 689



                                       HOUSE FILE       
                                       BY  (PROPOSED COMMITTEE ON
                                            ECONOMIC GROWTH BILL BY
                                            CHAIRPERSON HOFFMAN)


    Passed House, Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act to establish an advanced telecommunications services
  2    incentives program and fund in the utilities division of the
  3    department of commerce.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 6086YC 81
  6 kk/gg/14

PAG LIN



  1  1    Section 1.  NEW SECTION.  476.58  ADVANCED
  1  2 TELECOMMUNICATIONS SERVICES INCENTIVES PROGRAM.
  1  3    1.  For purposes of this section, "advanced
  1  4 telecommunications services" means infrastructure capable of
  1  5 delivering a data transmission speed of at least two hundred
  1  6 kilobits per second in each direction.
  1  7    2.  The utilities board shall establish an advanced
  1  8 telecommunications services incentives program to provide
  1  9 loans, loan guarantees, or grants to telecommunications
  1 10 service providers in this state in order to establish or
  1 11 expand the provision of advanced telecommunications services
  1 12 in this state.  Moneys received by a telecommunications
  1 13 service provider under this program shall be used to provide
  1 14 advanced telecommunications services in geographical areas of
  1 15 this state where advanced telecommunications services are not
  1 16 otherwise available.  The board shall give priority as
  1 17 determined by the board to the establishment or expansion of
  1 18 advanced telecommunications services in rural areas of the
  1 19 state.
  1 20    3.  An advanced telecommunications services fund is created
  1 21 within the state treasury under the control of the utilities
  1 22 board.  The fund shall consist of moneys appropriated or
  1 23 allocated to the fund and any other moneys available to and
  1 24 obtained by the board from the federal government or private
  1 25 sources for placement in the fund.  The assets of the fund
  1 26 shall be used by the board only for administering the advanced
  1 27 telecommunications services incentive program.  All moneys
  1 28 designated for repayment to the advanced telecommunications
  1 29 services fund shall be credited to the fund.  The department
  1 30 shall determine the actuarially sound reserve requirement for
  1 31 the amount of guaranteed loans outstanding.
  1 32    4.  The board shall adopt rules as necessary for the
  1 33 administration of the advanced telecommunications services
  1 34 incentives program under this section.
  1 35    5.  The general assembly is not obligated to appropriate
  2  1 moneys to pay for any defaults or to appropriate moneys to be
  2  2 credited to the advanced telecommunications services fund.
  2  3 The advanced telecommunications services program does not
  2  4 obligate the state except to the extent provided in this
  2  5 section, and the board, in administering the program, shall
  2  6 not give or lend the credit of the state.
  2  7                           EXPLANATION
  2  8    This bill establishes an advanced telecommunications
  2  9 services incentives program and fund within the utilities
  2 10 division of the department of commerce.  The utilities board
  2 11 shall establish an advanced telecommunications services
  2 12 incentives program to provide loans, loan guarantees, or
  2 13 grants to telecommunications service providers to establish or
  2 14 expand advanced telecommunications services, also known as
  2 15 broadband services, in areas of this state where such services
  2 16 are not otherwise available.  The board shall give priority to
  2 17 telecommunications service providers seeking to establish or
  2 18 expand advanced telecommunications services in rural areas of
  2 19 the state.
  2 20    The bill establishes an advanced telecommunications
  2 21 services fund in the treasury of the state and under the
  2 22 control of the utilities board.  Moneys in the advanced
  2 23 telecommunications services fund shall be used for the
  2 24 purposes of the advanced telecommunications services
  2 25 incentives program as provided in the bill.
  2 26    The bill provides for the adoption of rules by the board.
  2 27 The general assembly is not required to appropriate moneys for
  2 28 the advanced telecommunications service incentives program and
  2 29 the board may not give or lend the credit of the state.
  2 30 LSB 6086YC 81
  2 31 kk:rj/gg/14