House File 2590 - Introduced HOUSE FILE 2590 BY COMMITTEE ON STATE GOVERNMENT (SUCCESSOR TO HSB 709) A BILL FOR An Act relating to the Iowa communications network, and 1 including effective date provisions. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5861HV (1) 91 sc/ns
H.F. 2590 Section 1. Section 8D.11, subsection 2, Code 2026, is 1 amended by striking the subsection. 2 Sec. 2. Section 8D.11, subsection 5, Code 2026, is amended 3 to read as follows: 4 5. Pursuant to an agreement between the commission and an 5 authorized user, the commission may provide billing services on 6 behalf of the authorized user and charge another entity that 7 receives services from the authorized user pursuant to the 8 network if all of the following conditions are satisfied: 9 a. The the services provided by the authorized user to the 10 other entity must be are consistent with the mission of the 11 authorized user. 12 b. The services provided by the authorized user to the other 13 entity must be consistent with the requirements and limitations 14 in subsection 2 . 15 Sec. 3. SALE OF IOWA COMMUNICATIONS NETWORK. The department 16 of management shall implement a solicitation process, which 17 may include direct solicitation of bids, to sell the Iowa 18 communications network. The solicitation must provide for 19 the sale to be concluded as soon as feasible. The department 20 may utilize a sole source approach to contract for necessary 21 vendor services to facilitate the transaction, including 22 but not limited to brokerage services, financial accounting 23 services, and outside counsel. The department shall condition 24 the sale of the Iowa communications network on terms that will 25 allow existing contracted services by authorized users of the 26 network to continue on commercially reasonable terms for a 27 period of at least ten years. The department shall submit 28 periodic status reports to the legislative services agency at 29 three-month intervals, beginning October 1, 2026, regarding 30 progress made toward selling the network. At least ten days 31 before completing the sale, the director of the department 32 shall submit a report to the legislative services agency 33 outlining the proposed sale. Proceeds from the sale of the 34 Iowa communications network shall be deposited in the general 35 -1- LSB 5861HV (1) 91 sc/ns 1/ 2
H.F. 2590 fund of the state. 1 Sec. 4. EFFECTIVE DATE. The following, being deemed of 2 immediate importance, takes effect upon enactment: 3 The section of this Act authorizing the sale of the Iowa 4 communications network. 5 Sec. 5. EFFECTIVE DATE. The following take effect July 1, 6 2027: 7 1. The section of this Act amending section 8D.11, 8 subsection 2. 9 2. The section of this Act amending section 8D.11, 10 subsection 5. 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 strikes provisions prohibiting the Iowa 15 telecommunications and technology commission from providing 16 or reselling communications services to entities other than 17 public and private agencies, prohibiting public and private 18 agencies from providing communication services of the Iowa 19 communications network to another entity unless authorized, and 20 authorizing and regulating leases and agreements regarding the 21 Iowa communications network with private and public agencies. 22 The elimination of these provisions takes effect July 1, 2027. 23 The bill directs the department of management (DOM) to sell 24 the Iowa communications network as soon as feasible. DOM may 25 use a sole source approach to contract for vendor services 26 to facilitate the transaction and may directly solicit bids 27 for the network. The sale must allow authorized users of 28 the network to continue to receive contracted services on 29 commercially reasonable terms for at least 10 years. The 30 bill requires DOM to submit status reports to the legislative 31 services agency every three months, beginning October 1, 2026, 32 and an outline of the proposed sale 10 days prior to completing 33 the transaction. The proceeds of the sale are deposited in the 34 general fund. This provision takes effect upon enactment. 35 -2- LSB 5861HV (1) 91 sc/ns 2/ 2