Senate
File
2400
-
Reprinted
SENATE
FILE
2400
BY
COMMITTEE
ON
APPROPRIATIONS
(SUCCESSOR
TO
SF
2262)
(SUCCESSOR
TO
SSB
3112)
(COMPANION
TO
HF
2459
BY
COMMITTEE
ON
COMMERCE)
(As
Amended
and
Passed
by
the
Senate
March
10,
2020
)
A
BILL
FOR
An
Act
relating
to
broadband
service,
including
matters
under
1
the
purview
of
the
office
of
the
chief
information
officer,
2
the
empower
rural
Iowa
broadband
grant
fund,
and
certain
3
broadband
infrastructure
tax
exemptions,
and
including
4
effective
date
and
retroactive
applicability
provisions.
5
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
6
SF
2400
(2)
88
ja/jh/mb
S.F.
2400
Section
1.
Section
8B.1,
subsections
5,
13,
and
14,
Code
1
2020,
are
amended
to
read
as
follows:
2
5.
“Facilitate”
means
a
communication
service
provider’s
3
ability
to
provide
broadband
service
at
or
above
the
download
4
and
upload
speeds
specified
in
the
definition
of
targeted
5
service
area
in
this
section
or
section
8B.11,
subsection
6
5,
paragraph
“a”
,
if
applicable,
to
a
home,
farm,
school,
7
or
business
within
a
commercially
reasonable
time
and
at
a
8
commercially
reasonable
price
upon
request
by
a
consumer.
9
13.
“Targeted
service
area”
means
a
any
of
the
following:
10
a.
A
United
States
census
bureau
census
block
located
11
in
this
state,
including
any
crop
operation
located
within
12
the
census
block,
or
other
geographic
unit
the
office
sets
13
by
rule,
within
which
no
communications
service
provider
14
offers
or
facilitates
broadband
service
at
or
above
the
15
download
and
upload
speeds
identified
by
the
federal
16
communications
commission
pursuant
to
section
706
of
the
17
federal
Telecommunications
Act
of
1996,
as
amended.
18
b.
Any
geographic
area,
as
the
office
sets
by
rule,
that
19
is
materially
underserved
by
broadband
service
such
that
20
the
download
and
upload
speeds
identified
by
the
federal
21
communications
commission
pursuant
to
section
706
of
the
22
federal
Telecommunications
Act
of
1996,
as
amended,
of
the
23
broadband
service
in
the
geographic
area
are
not
meaningfully
24
available.
The
office’s
power
to
determine
the
geographic
25
area
by
rule
under
this
paragraph
includes
the
power
to
define
26
and
interpret
standards
as
to
whether
a
geographic
area
is
27
materially
underserved
and
broadband
service
is
meaningfully
28
available.
29
14.
“Underserved
area”
means
any
portion
of
a
targeted
30
service
area
within
which
no
communications
service
provider
31
offers
or
facilitates
broadband
service
meeting
the
download
32
and
upload
speeds
specified
in
the
definition
of
targeted
33
service
area
in
this
section
.
34
Sec.
2.
Section
8B.4,
Code
2020,
is
amended
by
adding
the
35
-1-
SF
2400
(2)
88
ja/jh/mb
1/
7
S.F.
2400
following
new
subsection:
1
NEW
SUBSECTION
.
17A.
Provide
technical
assistance
to
2
communications
service
providers
related
to
grant
applications
3
under
section
8B.11.
4
Sec.
3.
Section
8B.9,
subsection
5,
Code
2020,
is
amended
5
to
read
as
follows:
6
5.
An
annual
report
regarding
the
status
of
broadband
7
expansion
and
coordination,
the
connecting
Iowa
farms,
schools,
8
and
communities
empower
rural
Iowa
broadband
grant
program
9
established
under
section
8B.11
,
and
the
adequacy
of
the
speed
10
set
in
the
definition
of
targeted
service
area
in
section
8B.1
.
11
Sec.
4.
Section
8B.10,
subsection
1,
Code
2020,
is
amended
12
to
read
as
follows:
13
1.
The
determination
of
whether
a
communications
service
14
provider
offers
or
facilitates
broadband
service
meeting
the
15
download
and
upload
speeds
specified
in
the
definition
of
16
targeted
service
area
in
section
8B.1
shall
be
determined
17
or
ascertained
by
reference
to
broadband
availability
maps
18
or
data
sources
that
are
widely
accepted
for
accuracy
and
19
available
for
public
review
and
comment
and
that
are
identified
20
by
the
office
by
rule.
The
office
shall
periodically
make
21
renewed
determinations
of
whether
a
communications
service
22
provider
offers
or
facilitates
broadband
service
at
or
above
23
the
download
and
upload
speeds
specified
in
the
definition
of
24
targeted
service
area
in
section
8B.1
,
which
shall,
to
the
25
extent
updated
maps
and
data
sources
are
available
at
the
time,
26
include
making
such
determinations
prior
to
each
round
of
grant
27
applications
solicited
by
the
office
pursuant
to
section
8B.11
.
28
Sec.
5.
Section
8B.10,
Code
2020,
is
amended
by
adding
the
29
following
new
subsection:
30
NEW
SUBSECTION
.
3.
All
findings
and
determinations
made
31
pursuant
to
this
section
shall
exclude
mobile
wireless
or
32
satellite
data,
capabilities,
and
delivery
mediums.
33
Sec.
6.
Section
8B.11,
subsection
1,
Code
2020,
is
amended
34
to
read
as
follows:
35
-2-
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2400
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2400
1.
The
office
shall
administer
a
broadband
grant
program
1
designed
to
reduce
or
eliminate
unserved
and
underserved
2
areas
in
the
state,
leveraging
federal
funds
and
public
and
3
private
partnerships
where
possible,
by
awarding
grants
to
4
communications
service
providers
that
reduce
or
eliminate
5
targeted
service
areas
by
installing
broadband
infrastructure
6
that
facilitates
broadband
service
in
targeted
service
areas
7
at
or
above
the
download
and
upload
speeds
specified
in
the
8
definition
of
targeted
service
area
in
section
8B.1
subsection
9
5
,
in
accordance
with
this
section
.
10
Sec.
7.
Section
8B.11,
subsection
2,
paragraphs
a
and
b,
11
Code
2020,
are
amended
to
read
as
follows:
12
a.
A
connecting
Iowa
farms,
schools,
and
communities
An
13
empower
rural
Iowa
broadband
grant
fund
is
established
in
the
14
state
treasury
under
the
authority
of
the
office.
The
fund
15
shall
consist
of
moneys
available
to
and
obtained
or
accepted
16
by
the
office.
Moneys
in
the
fund
are
appropriated
to
the
17
office
to
be
used
for
the
grant
program
,
including
for
the
18
administration
and
operation
of
the
grant
program
.
19
b.
The
office
shall
use
moneys
in
the
fund
to
provide
grants
20
to
communications
service
providers
pursuant
to
this
section
.
21
The
office
may
use
moneys
in
the
fund
to
pay
the
costs
and
22
expenses
associated
with
the
administration
and
operation
of
23
the
grant
program.
The
office
shall
use
moneys
in
the
fund
to
24
leverage
available
federal
moneys
if
possible.
25
Sec.
8.
Section
8B.11,
subsection
2,
Code
2020,
is
amended
26
by
adding
the
following
new
paragraph:
27
NEW
PARAGRAPH
.
d.
Notwithstanding
paragraph
“c”
or
any
28
provision
to
the
contrary,
moneys
in
the
fund
that
have
been
29
awarded
but
not
paid
to
a
communications
service
provider
30
shall
not
revert
but
shall
remain
available
to
the
office
for
31
purposes
of
administering
the
award
in
a
manner
consistent
with
32
the
terms
and
conditions
of
any
corresponding
contract
or
grant
33
agreement
governing
the
administration
of
the
award.
34
Sec.
9.
Section
8B.11,
subsection
3,
Code
2020,
is
amended
35
-3-
SF
2400
(2)
88
ja/jh/mb
3/
7
S.F.
2400
to
read
as
follows:
1
3.
Communications
service
providers
may
apply
to
the
office
2
for
a
grant
pursuant
to
this
section
for
the
installation
3
of
broadband
infrastructure
that
facilitates
broadband
4
service
in
targeted
service
areas
at
or
above
the
download
5
and
upload
speeds
specified
in
the
definition
of
targeted
6
service
area
in
section
8B.1
subsection
5
.
The
office
may,
7
by
rule,
increase
the
minimum
download
and
upload
speeds
8
for
grant
eligibility
pursuant
to
this
section
.
The
office
9
shall
include
representatives
from
schools,
communities,
10
agriculture,
industry,
and
other
areas
as
appropriate
to
review
11
and
recommend
grant
awards.
The
office
shall
conduct
an
open
12
application
review
process
that
includes
the
opportunity
13
for
the
public
to
submit
factual
information
as
part
of
a
14
validation
process
to
address
claims
that
a
targeted
service
15
area
is
currently
served
with
broadband
service
at
or
above
16
the
download
and
upload
speeds
specified
in
the
definition
17
of
targeted
service
area
in
section
8B.1
subsection
5
.
Upon
18
completion
of
the
validation
process,
the
office
may
modify
19
a
proposed
targeted
service
area
to
account
for
information
20
received
during
the
validation
process.
The
office
shall
make
21
available
a
public
internet
site
identifying
all
publicly
22
available
information
contained
in
the
applications,
the
23
members
of
the
review
committee,
a
summary
of
the
review
24
committee’s
recommended
results,
and
any
results
of
performance
25
testing
conducted
after
the
project
is
completed.
26
Sec.
10.
Section
8B.11,
subsection
4,
paragraph
a,
27
unnumbered
paragraph
1,
Code
2020,
is
amended
to
read
as
28
follows:
29
The
office
shall
award
grants
on
a
competitive
basis
for
30
the
installation
of
broadband
infrastructure
that
facilitates
31
broadband
service
in
targeted
service
areas
at
or
above
the
32
download
and
upload
speeds
specified
in
the
definition
of
33
targeted
service
area
in
section
8B.1
subsection
5
,
after
34
considering
the
following:
35
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Sec.
11.
Section
8B.11,
subsection
4,
paragraph
a,
1
subparagraph
(2),
Code
2020,
is
amended
to
read
as
follows:
2
(2)
The
applicant’s
total
proposed
budget
for
the
project,
3
including
the
all
of
the
following:
4
(a)
The
amount
or
percentage
of
local
or
federal
matching
5
funds,
if
any,
and
any
funding
obligations
shared
between
6
public
and
private
entities
,
and
the
.
7
(b)
The
percentage
of
funding
provided
directly
from
the
8
applicant
,
including
whether
the
applicant
requested
from
the
9
office
an
amount
less
than
the
maximum
amount
the
office
could
10
award
pursuant
to
subsection
5
and,
if
so,
the
percentage
of
11
the
project
cost
that
the
applicant
is
requesting
.
12
Sec.
12.
Section
8B.11,
subsection
5,
Code
2020,
is
amended
13
to
read
as
follows:
14
5.
The
office
shall
not
award
a
grant
pursuant
to
this
15
section
that
exceeds
fifteen
any
of
the
following
amounts:
16
a.
Thirty-five
percent
of
the
communications
service
17
provider’s
project
cost,
for
projects
that
will
result
in
the
18
installation
of
broadband
infrastructure
that
will
facilitate
19
broadband
service
providing
a
minimum
download
speed
of
one
20
hundred
megabits
per
second
and
a
minimum
upload
speed
of
21
twenty
megabits
per
second.
22
b.
Fifteen
percent
of
the
communications
service
provider’s
23
project
cost
,
for
projects
that
will
result
in
the
installation
24
of
broadband
infrastructure
that
will
facilitate
broadband
25
service
providing
a
minimum
download
speed
less
than
one
26
hundred
megabits
per
second
but
greater
than
or
equal
to
the
27
download
speed
specified
in
the
definition
of
targeted
service
28
area
in
section
8B.1,
and
a
minimum
upload
speed
less
than
29
twenty
megabits
per
second
but
greater
than
or
equal
to
the
30
upload
speed
specified
in
the
definition
of
targeted
service
31
area
in
section
8B.1
.
32
Sec.
13.
Section
427.1,
subsection
40,
paragraph
b,
Code
33
2020,
is
amended
to
read
as
follows:
34
b.
The
exemption
shall
apply
to
the
installation
of
35
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broadband
infrastructure
that
facilitates
broadband
service
1
at
or
above
the
download
and
upload
speeds
specified
in
the
2
definition
of
targeted
service
area
in
section
8B.1
commenced
3
and
completed
on
or
after
July
1,
2015,
and
before
July
1,
4
2025,
in
a
targeted
service
area,
and
used
to
deliver
internet
5
services
to
the
public.
A
person
claiming
an
exemption
under
6
this
subsection
shall
certify
to
the
local
assessor
prior
to
7
commencement
of
the
installation
that
the
installation
of
8
broadband
infrastructure
will
facilitate
broadband
service
9
at
or
above
the
download
and
upload
speeds
specified
in
the
10
definition
of
targeted
service
area
in
section
8B.1
within
a
11
targeted
service
area
and
shall
specify
the
current
number
12
of
homes,
farms,
schools,
and
businesses
in
the
targeted
13
service
area
that
were
offered
to
which
broadband
service
was
14
facilitated
and
the
download
and
upload
speeds
available
prior
15
to
the
broadband
infrastructure
installation
for
which
the
16
exemption
is
claimed
and
the
number
of
homes,
farms,
schools,
17
and
businesses
in
the
targeted
service
area
that
will
be
18
offered
to
which
broadband
service
will
be
facilitated
and
the
19
download
and
upload
speeds
that
will
be
available
as
a
result
20
of
installation
of
the
broadband
infrastructure
for
which
the
21
exemption
is
claimed.
22
Sec.
14.
Section
427.1,
subsection
40,
paragraph
f,
23
subparagraph
(1),
subparagraph
division
(d),
Code
2020,
is
24
amended
to
read
as
follows:
25
(d)
Certification
from
the
office
of
the
chief
information
26
officer
pursuant
to
section
8B.10
that
the
installation
will
27
facilitate
broadband
service
at
or
above
the
download
and
28
upload
speeds
specified
in
the
definition
of
targeted
service
29
area
in
section
8B.1
in
a
targeted
service
area.
30
Sec.
15.
2019
Iowa
Acts,
chapter
136,
section
6,
subsection
31
1,
is
amended
to
read
as
follows:
32
1.
There
is
appropriated
from
the
general
fund
of
the
state
33
to
the
office
of
the
chief
information
officer
for
the
fiscal
34
year
beginning
July
1,
2019,
and
ending
June
30,
2020,
the
35
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7
S.F.
2400
following
amount,
or
so
much
thereof
as
is
necessary,
to
be
1
used
for
the
purposes
designated:
2
For
deposit
in
the
connecting
Iowa
farms,
schools,
and
3
communities
empower
rural
Iowa
broadband
grant
fund
established
4
under
section
8B.11
for
a
broadband
grant
program;
and
for
5
salaries,
support,
maintenance,
and
miscellaneous
purposes:
6
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
$
5,000,000
7
Sec.
16.
EFFECTIVE
DATE.
This
Act,
being
deemed
of
8
immediate
importance,
takes
effect
upon
enactment.
9
Sec.
17.
RETROACTIVE
APPLICABILITY.
The
following
applies
10
retroactively
to
July
1,
2015:
11
The
section
of
this
Act
enacting
section
8B.11,
subsection
12
2,
paragraph
“d”.
13
-7-
SF
2400
(2)
88
ja/jh/mb
7/
7