House Study Bill 227 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON INFORMATION TECHNOLOGY BILL BY CHAIRPERSON LOHSE) A BILL FOR An Act relating to the development of an internet exchange 1 point. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 2583YC (2) 89 jda/rn

H.F. _____ Section 1. Section 8B.1, Code 2021, is amended by adding the 1 following new subsections: 2 NEW SUBSECTION . 3A. “Content delivery network” means 3 a network of servers and their data centers that are 4 geographically distributed to facilitate rapid access to 5 information on the internet. 6 NEW SUBSECTION . 10A. “Internet exchange point” means 7 physical infrastructure through which internet service 8 providers and content delivery networks exchange internet 9 traffic between their networks via peering relationships. 10 NEW SUBSECTION . 10B. “Internet service provider” means a 11 person who provides a service that enables users to access 12 content or information on the internet. 13 Sec. 2. Section 8B.4, Code 2021, is amended by adding the 14 following new subsection: 15 NEW SUBSECTION . 17A. Coordinate a program to provide for 16 the creation and implementation of an internet exchange point 17 pursuant to section 8B.27. 18 Sec. 3. Section 8B.11, subsection 2, paragraph b, Code 2021, 19 is amended to read as follows: 20 b. The office shall use moneys in the fund to provide grants 21 to communications service providers pursuant to this section . 22 The office may use not more than one percent of the moneys in 23 the fund at the beginning of the fiscal year to pay the costs 24 and expenses associated with the administration and operation 25 of the grant program. The office may not use more than twenty 26 percent of the moneys in the fund at the beginning of the 27 fiscal year to pay the costs and expenses associated with the 28 administration and operation of the internet exchange point 29 created pursuant to section 8B.27. The office shall use moneys 30 in the fund to leverage available federal moneys if possible. 31 Sec. 4. NEW SECTION . 8B.27 Internet exchange point. 32 1. Contingent upon the appropriation of sufficient moneys 33 to plan, design, and build an internet exchange point, the 34 office shall coordinate and implement a program to provide for 35 -1- LSB 2583YC (2) 89 jda/rn 1/ 5

H.F. _____ the creation and implementation of an internet exchange point 1 utilizing the Iowa communications network. The amount to be 2 appropriated pursuant to this subsection shall not exceed two 3 million dollars. 4 2. The office shall consult and coordinate with the Iowa 5 telecommunications and technology commission in establishing 6 and administering the internet exchange point pursuant to this 7 section. 8 3. The office shall not administer and operate the 9 internet exchange point in a manner that gives preference to 10 a particular internet service provider or content delivery 11 network. 12 Sec. 5. Section 8D.2, Code 2021, is amended by adding the 13 following new subsections: 14 NEW SUBSECTION . 01. “Broadband” means a high-speed, 15 high-capacity electronic transmission medium, including fixed 16 wireless and mobile wireless mediums, that can carry data 17 signals from independent network sources by establishing 18 different bandwidth channels and that is commonly used to 19 deliver internet services to the public. 20 NEW SUBSECTION . 1A. “Common carrier” means the same as 21 defined in 47 U.S.C. §153(11). 22 NEW SUBSECTION . 1B. “Communications service provider” means 23 a service provider that provides broadband service. 24 NEW SUBSECTION . 3A. “Political subdivision” means a 25 municipality, township, county, district, authority, or any 26 portion or combination thereof. 27 Sec. 6. Section 8D.3, subsection 3, Code 2021, is amended by 28 adding the following new paragraph: 29 NEW PARAGRAPH . l. Coordinate with the office of the chief 30 information officer in the creation and administration of the 31 internet exchange point pursuant to section 8B.27. 32 Sec. 7. Section 8D.11, subsection 4, Code 2021, is amended 33 by striking the subsection. 34 Sec. 8. Section 8D.13, Code 2021, is amended by adding the 35 -2- LSB 2583YC (2) 89 jda/rn 2/ 5

H.F. _____ following new subsections: 1 NEW SUBSECTION . 18. Access shall be offered to common 2 carriers and communications service providers. A common 3 carrier or a communications service provider shall contribute 4 an amount consistent with their share of use for the part of 5 the system in which they participate, as determined by the 6 commission. 7 NEW SUBSECTION . 19. Access shall be offered to political 8 subdivisions, to the extent not otherwise provided for in this 9 chapter, on the same basis and at the same rate as applicable 10 to state agencies. 11 EXPLANATION 12 The inclusion of this explanation does not constitute agreement with 13 the explanation’s substance by the members of the general assembly. 14 This bill relates to the development of an internet exchange 15 point and the use of moneys in the empower rural Iowa broadband 16 grant fund. 17 The bill defines “content delivery network” as a network 18 of servers and their data centers that are geographically 19 distributed to facilitate rapid access to information on 20 the internet. The bill defines “internet exchange point” 21 as a physical infrastructure through which internet service 22 providers and content delivery networks exchange internet 23 traffic between their networks via peering relationships. 24 The bill defines “internet service provider” as a person who 25 provides a service that enables users to access content or 26 information on the internet. 27 The bill requires the office to coordinate a program 28 to provide for the creation of an internet exchange point 29 utilizing the Iowa communications network. The bill authorizes 30 the office to use a maximum of 20 percent of the funds in the 31 empower rural Iowa broadband grant fund at the beginning of 32 the fiscal year for the administration and operation of the 33 internet exchange point. 34 The bill conditions the responsibilities of the office with 35 -3- LSB 2583YC (2) 89 jda/rn 3/ 5

H.F. _____ respect to the internet exchange point on the appropriation 1 of sufficient moneys for the planning, designing, and 2 building of the internet exchange point. The bill limits this 3 appropriation to a maximum of $2 million. The bill requires 4 the office to consult with the commission in establishing 5 and administering the internet exchange point. The bill 6 prohibits the office from administering and operating the 7 internet exchange point in a manner that gives preference to 8 a particular internet service provider or content delivery 9 network. 10 The bill also adds new defined terms to Code chapter 8D. 11 The bill defines “broadband” as a high-speed, high-capacity 12 electronic transmission medium, including fixed wireless and 13 mobile wireless mediums, that can carry data signals from 14 independent network sources by establishing different bandwidth 15 channels and that is commonly used to deliver internet services 16 to the public. The bill defines “common carrier” by reference 17 to 47 U.S.C. §153(11), as any person engaged as a common 18 carrier for hire, in interstate or foreign communication by 19 wire or radio or interstate or foreign radio transmission of 20 energy. The bill defines “communications service provider” as 21 a service provider that provides broadband service. Finally, 22 the bill defines “political subdivision” as a municipality, 23 township, county, district, authority, or any portion or 24 combination thereof. 25 The bill strikes Code section 8B.11, subsection 4, which 26 restricted the political subdivisions that could access the 27 Iowa communications network to those receiving communications 28 services from the state as of April 1, 1986. 29 The bill allows common carriers, communications service 30 providers, and political subdivisions to access the Iowa 31 communications network. The bill requires a common carrier 32 or communications service provider to contribute an amount 33 consistent with their share of use of the Iowa communications 34 network. The bill requires a political subdivision to 35 -4- LSB 2583YC (2) 89 jda/rn 4/ 5

H.F. _____ contribute at the same rate as applicable to state agencies. 1 -5- LSB 2583YC (2) 89 jda/rn 5/ 5