Print
House Study Bill 133 - IntroducedA Bill ForAn Act 1relating to broadband service, including matters under
2the purview of the office of the chief information officer,
3the empower rural Iowa broadband grant fund, and including
4effective date and applicability provisions.
5BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 8B.1, subsections 5, 13, and 14, Code
22021, are amended to read as follows:
35. “Facilitate” means a communication service provider’s
4ability to provide broadband service at or above the download
5and upload speeds specified in the definition of targeted
6service area in this section or section 8B.11, subsection
75, paragraph “a”, if applicable, to a home, farm, school,
8or business within a commercially reasonable time and at a
9commercially reasonable price upon request by a consumer.
1013. “Targeted service area” means any of the following:
11a. A United States census bureau census block located in
12this state, including any crop operation located within the
13census block, or other geographic unit the office sets by
14rule, within which no communications service provider offers
15or facilitates broadband service at or above the tier 1, tier
162, or tier 3 download and upload speeds identified by the
17federal communications commission pursuant to section 706 of
18the federal Telecommunications Act of 1996, as amended. As
19used in this subsection:
20(1) “Tier 1” means a minimum download speed of less than
21twenty-five megabits per second and a minimum upload speed of
22less than three megabits per second.
23(2) “Tier 2” means a minimum download speed of greater than
24or equal to twenty-five megabits per second but less than fifty
25megabits per second and a minimum upload speed of greater than
26or equal to three megabits per second.
27(3) “Tier 3” means a minimum download speed of greater than
28or equal to fifty megabits per second but less than eighty
29megabits per second.
30b. Any geographic area, as the office sets by rule, that
31is materially underserved by broadband service such that
32the download and upload speeds identified by the federal
33communications commission pursuant to section 706 of the
34federal Telecommunications Act of 1996, as amended, of the
35broadband service in the geographic area tier 1, tier 2,
-1-1and tier 3 download and upload speeds are not meaningfully
2available. The office’s power to determine the geographic
3area by rule under this paragraph includes the power to define
4and interpret standards as to whether a geographic area is
5materially underserved and broadband service is meaningfully
6available.
714. “Underserved area” means any portion of a targeted
8service area within which no communications service provider
9facilitates broadband service meeting the tier 1 download and
10upload speeds specified in the definition of targeted service
11area in this section.
12 Sec. 2. Section 8B.10, subsection 1, Code 2021, is amended
13to read as follows:
141. The determination of whether a communications service
15provider facilitates broadband service meeting the tier
161, tier 2, or tier 3 download and upload speeds specified
17in the definition of targeted service area in section 8B.1
18shall be determined or ascertained by reference to broadband
19availability maps or data sources that are identified by
20the office by rule. The office shall periodically make
21renewed determinations of whether a communications service
22provider facilitates broadband service at or above the tier
231, tier 2, or tier 3 download and upload speeds specified
24in the definition of targeted service area in section 8B.1,
25which shall, to the extent updated maps and data sources are
26available at the time, include making such determinations prior
27to each round of grant applications solicited by the office
28pursuant to section 8B.11. The office is not required to make
29renewed determinations of whether a communications service
30provider facilitates broadband service at or above the tier
311, tier 2, or tier 3 download and upload speeds specified in
32the definition of targeted service area in section 8B.1 more
33frequently than once in any calendar year.
34 Sec. 3. Section 8B.11, Code 2021, is amended to read as
35follows:
-2- 18B.11 Empower rural Iowa — broadband grants — fund.
21. The office shall administer a broadband grant program
3designed to reduce or eliminate unserved and underserved
4areas in the state, leveraging federal funds and public and
5private partnerships where possible, by awarding grants to
6communications service providers that reduce or eliminate
7targeted service areas by installing broadband infrastructure
8that facilitates broadband service providing a minimum download
9speed of one hundred megabits per second and a minimum upload
10speed of one hundred megabits per second in targeted service
11areas at or above the download and upload speeds specified in
12subsection 5, in accordance with this section.
132. a. An empower rural Iowa broadband grant fund is
14established in the state treasury under the authority of the
15office. The fund shall consist of moneys available to and
16obtained or accepted by the office. Moneys in the fund are
17appropriated to the office to be used for the grant program,
18including for broadband mapping and the administration and
19operation of the grant program.
20b. The office shall use moneys in the fund to provide grants
21to communications service providers pursuant to this section.
22The office may use not more than one three percent of the
23moneys in the fund at the beginning of the fiscal year to pay
24the costs and expenses associated with the administration and
25operation of the grant program. The office shall use moneys in
26the fund to leverage available federal moneys if possible.
27c. Notwithstanding section 8.33, moneys in the fund
28that remain unencumbered or unobligated at the close of the
29fiscal year shall not revert but shall remain available for
30expenditure for the purposes designated until three years
31following the last day of the fiscal year in which the funds
32were originally appropriated.
33d. Notwithstanding paragraph “c” or any provision to the
34contrary, moneys in the fund that have been awarded but not
35paid to a communications service provider shall not revert
-3-1but shall remain available to the office for purposes of
2administering the award in a manner consistent with the terms
3and conditions of any corresponding contract or grant agreement
4governing the administration of the award.
53. Communications service providers may apply to the office
6for a grant pursuant to this section for the installation of
7broadband infrastructure that facilitates broadband service
8providing a minimum download speed of one hundred megabits
9per second and a minimum upload speed of one hundred megabits
10per second in targeted service areas at or above the download
11and upload speeds specified in subsection 5. The office
12shall include representatives from schools, communities,
13agriculture, industry, and other areas as appropriate to review
14and recommend grant awards. The office shall conduct an open
15application review process that includes the opportunity
16for the public to submit factual information as part of a
17validation process to address claims that a targeted service
18area is currently served with broadband service at or above the
19download and upload speeds specified in subsection 5. Upon
20completion of the validation process, the office may modify
21a proposed targeted service area to account for information
22received during the validation process. The office shall make
23available a public internet site identifying all publicly
24available information contained in the applications, the
25members of the review committee, a summary of the review
26committee’s recommended results, and any results of performance
27testing conducted after the project is completed.
284. a. The office shall award grants on a competitive
29basis for the installation of broadband infrastructure that
30facilitates broadband service as provided in subsection 3 in
31targeted service areas at or above the download and upload
32speeds specified in subsection 5, after considering the
33following:
34(1) The relative need for broadband infrastructure in the
35area and the existing broadband service speeds, including
-4-1whether the project serves a rural area or areas.
2(2) The applicant’s total proposed budget for the project,
3including all of the following:
4(a) The amount or percentage of local or federal matching
5funds, if any, and any funding obligations shared between
6public and private entities.
7(b) The percentage of funding provided directly from the
8applicant, including whether the applicant requested from the
9office an amount less than the maximum amount the office could
10award pursuant to subsection 5 and, if so, the percentage of
11the project cost that the applicant is requesting.
12(3) The relative download and upload speeds of proposed
13projects for all applicants.
14(4) The specific product attributes resulting from the
15proposed project, including technologies that provide higher
16qualities of service, such as service levels, latency, and
17other service attributes as determined by the office.
18(5) (4) The percentage of the homes, farms, schools, and
19businesses in the targeted service area that will be provided
20access to broadband service.
21(6) The geographic diversity of the project areas of all the
22applicants.
23(7) The economic impact of the project to the area.
24(8) (5) Other factors the office deems relevant.
25b. In considering the factors listed in paragraph “a”
26for awarding grants pursuant to this section, the office
27shall afford the greatest weight to the factors described in
28paragraph “a”, subparagraphs (1) through (3).
29c. Except as otherwise provided in this section, the office
30shall not evaluate applications based on the office’s knowledge
31of the applicant except for information obtained by the office
32during the application process or period for public comment.
335. The office shall not award a grant pursuant to this
34section that exceeds thirty-five percent of the communications
35service provider’s project cost. The total amount of the
-5-1grants the office awards from the empower rural Iowa broadband
2grant fund pursuant to this section shall be as follows not
3exceed any of the following amounts:
4a. For Seventy-five percent of a communications service
5provider’s project costs for projects that will result in the
6installation of broadband infrastructure that will facilitate
7broadband service providing a minimum download speed less than
8one hundred megabits per second but greater than or equal to
9the download speed specified in the definition of targeted
10service area in section 8B.1, and a minimum upload speed less
11than twenty megabits per second but greater than or equal
12to the upload speed specified in the definition of targeted
13service area in section 8B.1, the total amount of the grants
14the office awards shall not exceed fifty percent of the moneys
15in the fund at the beginning of the fiscal year. However, if
16the amount requested for projects that facilitate broadband
17service at the speeds described in paragraph “b” for the fiscal
18year is less than the amount reserved for projects under
19paragraph “b”, the office may award the difference to projects
20under this paragraph for the same fiscal year in a targeted
21service area within which no communications service provider
22offers or facilitates broadband service that provides download
23and upload speeds less than or equal to the tier 1 download and
24upload speeds specified in the definition of targeted service
25area in section 8B.1.
26b. For Fifty percent of a communications service provider’s
27project costs for projects that will result in the installation
28of broadband infrastructure that will facilitate broadband
29service providing a minimum download speed of one hundred
30megabits per second and a minimum upload speed of twenty
31megabits per second, the total amount of the grants the office
32awards shall not exceed fifty percent of the moneys in the fund
33at the beginning of the fiscal year. However, if the amount
34requested for projects that facilitate broadband service at
35the speeds described in paragraph “a” for the fiscal year is
-6-1less than the amount reserved for projects under paragraph
2“a”, the office may award the difference to projects under
3this paragraph for the same fiscal year in a targeted service
4area within which no communications service provider offers or
5facilitates broadband service that provides download and upload
6speeds less than or equal to the tier 2 download and upload
7speeds specified in the definition of targeted service area in
8section 8B.1.
9c. Thirty-five percent of a communications service
10provider’s project costs for projects that will result in the
11installation of broadband infrastructure in a targeted service
12area within which no communications service provider offers or
13facilitates broadband service that provides download speeds
14less than or equal to the tier 3 download speed specified in
15the definition of targeted service area in section 8B.1.
166. The office shall provide public notice regarding the
17application process and receipt of funding.
187. The office shall not award a grant pursuant to this
19section on or after July 1, 2025.
208. 7. The office may adopt rules pursuant to chapter 17A
21interpreting this chapter or necessary for administering this
22chapter, including but not limited to rules relating to the
23broadband grant program process, management, and measurements
24as deemed necessary by the office.
259. 8. The office shall adopt rules establishing procedures
26to allow aggrieved applicants an opportunity to challenge the
27office’s award of grants under this section.
28 Sec. 4. EFFECTIVE DATE. This Act, being deemed of immediate
29importance, takes effect upon enactment.
30 Sec. 5. APPLICABILITY. This Act applies to applications
31for grants submitted pursuant to section 8B.11 on or after the
32effective date of this Act.
33EXPLANATION
34The inclusion of this explanation does not constitute agreement with
35the explanation’s substance by the members of the general assembly.
-7- 1This bill relates to broadband service, including
2facilitating the availability of broadband service in unsecured
3and underserved areas, and administration of the empower rural
4Iowa broadband grant fund.
5The bill modifies the definition of “facilitate” for
6purposes of Code chapter 8B to mean a communications service
7provider’s ability to provide broadband service at or above
8the download and upload speeds specified in the definition
9of a targeted service area to a home, farm, school, or
10business within a commercially reasonable time and at a
11commercially reasonable price upon request. The bill modifies
12the definition of “targeted service area” to mean either of
13the following: a United States census bureau census block
14located in this state, including any crop operation located
15within the census block, or other geographic unit the office
16of the chief information officer sets by rule, within which no
17communications service provider offers or facilitates broadband
18service at or above the tier 1, tier 2, or tier 3 download and
19upload speeds enumerated in the bill; or any geographic area,
20as the office sets by rule, that is materially underserved by
21broadband service such that tier 1, tier 2, and tier 3 download
22and upload speeds are not meaningfully available. The bill
23defines “tier 1” as a minimum download speed of less than 25
24megabits per second and a minimum upload speed of less than
25three megabits per second. The bill defines “tier 2” as a
26minimum download speed of greater than or equal to 25 megabits
27per second but less than 50 megabits per second and a minimum
28upload speed of greater than or equal to three megabits per
29second. The bill defines “tier 3” as a minimum download speed
30of greater than or equal to 50 megabits per second but less
31than 80 megabits per second. The bill modifies the definition
32of “underserved area” to mean any portion of a targeted
33service area within which no communications service provider
34facilitates broadband service meeting the tier 1 speeds.
35The bill provides that the determination of whether
-8-1a communications service provider facilitates broadband
2service meeting the tier 1, tier 2, or tier 3 download and
3upload speeds shall be determined by reference to broadband
4availability maps or data sources that are identified by the
5office by rule. The bill requires the office to periodically
6make renewed determinations as to whether a communications
7service provider facilitates broadband service at or above
8those download and upload speeds. The bill establishes that
9the office is not required to make renewed determinations more
10frequently than once in any calendar year.
11The bill provides that grants from the empower rural Iowa
12broadband grant fund shall only be made to communications
13service providers that reduce or eliminate targeted service
14areas by installing broadband infrastructure that facilitates
15broadband service providing a minimum download speed of 100
16megabits per second and a minimum upload speed of 100 megabits
17per second in targeted service areas. The bill provides that
18the office may use not more than 3 percent of the moneys in
19the fund at the beginning of the fiscal year to pay the costs
20associated with the administration of the grant program.
21The bill strikes provisions relating to the application
22review process for applications for grants under the fund.
23Additionally, the bill strikes provisions relating to a review
24committee for the review and recommendation of grant awards.
25The bill also makes certain changes to what the office is to
26consider when reviewing an application for a grant from the
27fund.
28The bill provides that the amount of the grants the
29office awards from the fund shall not exceed 75 percent
30of a communications service provider’s project costs for
31projects that will result in the installation of broadband
32infrastructure in a targeted service area within which no
33communications service provider offers or facilitates broadband
34service that provides download and upload speeds less than or
35equal to the tier 1 download and upload speeds; 50 percent
-9-1of a communications service provider’s project costs for
2projects that will result in the installation of broadband
3infrastructure in a targeted service area within which no
4communications service provider offers or facilitates broadband
5service that provides download and upload speeds less than
6or equal to the tier 2 download and upload speeds; and 35
7percent of a communications service provider’s project costs
8for projects that will result in the installation of broadband
9infrastructure in a targeted service area within which no
10communications service provider offers or facilitates broadband
11service that provides download speeds less than or equal to the
12tier 3 download speed.
13The bill strikes Code section 8B.11, subsection 7, which
14prohibits the office from awarding a grant from the fund on or
15after July 1, 2025.
16The bill takes effect upon enactment and applies to
17applications for grants submitted pursuant to Code section
188B.11 on or after the effective date of the bill.
-10-jda/rn
2the purview of the office of the chief information officer,
3the empower rural Iowa broadband grant fund, and including
4effective date and applicability provisions.
5BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 8B.1, subsections 5, 13, and 14, Code
22021, are amended to read as follows:
35. “Facilitate” means a communication service provider’s
4ability to provide broadband service at or above the download
5and upload speeds specified in the definition of targeted
6service area in this section or section 8B.11, subsection
75, paragraph “a”, if applicable, to a home, farm, school,
8or business within a commercially reasonable time and at a
9commercially reasonable price upon request by a consumer.
1013. “Targeted service area” means any of the following:
11a. A United States census bureau census block located in
12this state, including any crop operation located within the
13census block, or other geographic unit the office sets by
14rule, within which no communications service provider offers
15or facilitates broadband service at or above the tier 1, tier
162, or tier 3 download and upload speeds identified by the
17federal communications commission pursuant to section 706 of
18the federal Telecommunications Act of 1996, as amended. As
19used in this subsection:
20(1) “Tier 1” means a minimum download speed of less than
21twenty-five megabits per second and a minimum upload speed of
22less than three megabits per second.
23(2) “Tier 2” means a minimum download speed of greater than
24or equal to twenty-five megabits per second but less than fifty
25megabits per second and a minimum upload speed of greater than
26or equal to three megabits per second.
27(3) “Tier 3” means a minimum download speed of greater than
28or equal to fifty megabits per second but less than eighty
29megabits per second.
30b. Any geographic area, as the office sets by rule, that
31is materially underserved by broadband service such that
32the download and upload speeds identified by the federal
33communications commission pursuant to section 706 of the
34federal Telecommunications Act of 1996, as amended, of the
35broadband service in the geographic area tier 1, tier 2,
-1-1and tier 3 download and upload speeds are not meaningfully
2available. The office’s power to determine the geographic
3area by rule under this paragraph includes the power to define
4and interpret standards as to whether a geographic area is
5materially underserved and broadband service is meaningfully
6available.
714. “Underserved area” means any portion of a targeted
8service area within which no communications service provider
9facilitates broadband service meeting the tier 1 download and
10upload speeds specified in the definition of targeted service
11area in this section.
12 Sec. 2. Section 8B.10, subsection 1, Code 2021, is amended
13to read as follows:
141. The determination of whether a communications service
15provider facilitates broadband service meeting the tier
161, tier 2, or tier 3 download and upload speeds specified
17in the definition of targeted service area in section 8B.1
18shall be determined or ascertained by reference to broadband
19availability maps or data sources that are identified by
20the office by rule. The office shall periodically make
21renewed determinations of whether a communications service
22provider facilitates broadband service at or above the tier
231, tier 2, or tier 3 download and upload speeds specified
24in the definition of targeted service area in section 8B.1,
25which shall, to the extent updated maps and data sources are
26available at the time, include making such determinations prior
27to each round of grant applications solicited by the office
28pursuant to section 8B.11. The office is not required to make
29renewed determinations of whether a communications service
30provider facilitates broadband service at or above the tier
311, tier 2, or tier 3 download and upload speeds specified in
32the definition of targeted service area in section 8B.1 more
33frequently than once in any calendar year.
34 Sec. 3. Section 8B.11, Code 2021, is amended to read as
35follows:
-2- 18B.11 Empower rural Iowa — broadband grants — fund.
21. The office shall administer a broadband grant program
3designed to reduce or eliminate unserved and underserved
4areas in the state, leveraging federal funds and public and
5private partnerships where possible, by awarding grants to
6communications service providers that reduce or eliminate
7targeted service areas by installing broadband infrastructure
8that facilitates broadband service providing a minimum download
9speed of one hundred megabits per second and a minimum upload
10speed of one hundred megabits per second in targeted service
11areas at or above the download and upload speeds specified in
12subsection 5, in accordance with this section.
132. a. An empower rural Iowa broadband grant fund is
14established in the state treasury under the authority of the
15office. The fund shall consist of moneys available to and
16obtained or accepted by the office. Moneys in the fund are
17appropriated to the office to be used for the grant program,
18including for broadband mapping and the administration and
19operation of the grant program.
20b. The office shall use moneys in the fund to provide grants
21to communications service providers pursuant to this section.
22The office may use not more than one three percent of the
23moneys in the fund at the beginning of the fiscal year to pay
24the costs and expenses associated with the administration and
25operation of the grant program. The office shall use moneys in
26the fund to leverage available federal moneys if possible.
27c. Notwithstanding section 8.33, moneys in the fund
28that remain unencumbered or unobligated at the close of the
29fiscal year shall not revert but shall remain available for
30expenditure for the purposes designated until three years
31following the last day of the fiscal year in which the funds
32were originally appropriated.
33d. Notwithstanding paragraph “c” or any provision to the
34contrary, moneys in the fund that have been awarded but not
35paid to a communications service provider shall not revert
-3-1but shall remain available to the office for purposes of
2administering the award in a manner consistent with the terms
3and conditions of any corresponding contract or grant agreement
4governing the administration of the award.
53. Communications service providers may apply to the office
6for a grant pursuant to this section for the installation of
7broadband infrastructure that facilitates broadband service
8providing a minimum download speed of one hundred megabits
9per second and a minimum upload speed of one hundred megabits
10per second in targeted service areas at or above the download
11and upload speeds specified in subsection 5. The office
12shall include representatives from schools, communities,
13agriculture, industry, and other areas as appropriate to review
14and recommend grant awards. The office shall conduct an open
15application review process that includes the opportunity
16for the public to submit factual information as part of a
17validation process to address claims that a targeted service
18area is currently served with broadband service at or above the
19download and upload speeds specified in subsection 5. Upon
20completion of the validation process, the office may modify
21a proposed targeted service area to account for information
22received during the validation process. The office shall make
23available a public internet site identifying all publicly
24available information contained in the applications, the
25members of the review committee, a summary of the review
26committee’s recommended results, and any results of performance
27testing conducted after the project is completed.
284. a. The office shall award grants on a competitive
29basis for the installation of broadband infrastructure that
30facilitates broadband service as provided in subsection 3 in
31targeted service areas at or above the download and upload
32speeds specified in subsection 5, after considering the
33following:
34(1) The relative need for broadband infrastructure in the
35area and the existing broadband service speeds, including
-4-1whether the project serves a rural area or areas.
2(2) The applicant’s total proposed budget for the project,
3including all of the following:
4(a) The amount or percentage of local or federal matching
5funds, if any, and any funding obligations shared between
6public and private entities.
7(b) The percentage of funding provided directly from the
8applicant, including whether the applicant requested from the
9office an amount less than the maximum amount the office could
10award pursuant to subsection 5 and, if so, the percentage of
11the project cost that the applicant is requesting.
12(3) The relative download and upload speeds of proposed
13projects for all applicants.
14(4) The specific product attributes resulting from the
15proposed project, including technologies that provide higher
16qualities of service, such as service levels, latency, and
17other service attributes as determined by the office.
18(5) (4) The percentage of the homes, farms, schools, and
19businesses in the targeted service area that will be provided
20access to broadband service.
21(6) The geographic diversity of the project areas of all the
22applicants.
23(7) The economic impact of the project to the area.
24(8) (5) Other factors the office deems relevant.
25b. In considering the factors listed in paragraph “a”
26for awarding grants pursuant to this section, the office
27shall afford the greatest weight to the factors described in
28paragraph “a”, subparagraphs (1) through (3).
29c. Except as otherwise provided in this section, the office
30shall not evaluate applications based on the office’s knowledge
31of the applicant except for information obtained by the office
32during the application process or period for public comment.
335. The office shall not award a grant pursuant to this
34section that exceeds thirty-five percent of the communications
35service provider’s project cost. The total amount of the
-5-1grants the office awards from the empower rural Iowa broadband
2grant fund pursuant to this section shall be as follows not
3exceed any of the following amounts:
4a. For Seventy-five percent of a communications service
5provider’s project costs for projects that will result in the
6installation of broadband infrastructure that will facilitate
7broadband service providing a minimum download speed less than
8one hundred megabits per second but greater than or equal to
9the download speed specified in the definition of targeted
10service area in section 8B.1, and a minimum upload speed less
11than twenty megabits per second but greater than or equal
12to the upload speed specified in the definition of targeted
13service area in section 8B.1, the total amount of the grants
14the office awards shall not exceed fifty percent of the moneys
15in the fund at the beginning of the fiscal year. However, if
16the amount requested for projects that facilitate broadband
17service at the speeds described in paragraph “b” for the fiscal
18year is less than the amount reserved for projects under
19paragraph “b”, the office may award the difference to projects
20under this paragraph for the same fiscal year in a targeted
21service area within which no communications service provider
22offers or facilitates broadband service that provides download
23and upload speeds less than or equal to the tier 1 download and
24upload speeds specified in the definition of targeted service
25area in section 8B.1.
26b. For Fifty percent of a communications service provider’s
27project costs for projects that will result in the installation
28of broadband infrastructure that will facilitate broadband
29service providing a minimum download speed of one hundred
30megabits per second and a minimum upload speed of twenty
31megabits per second, the total amount of the grants the office
32awards shall not exceed fifty percent of the moneys in the fund
33at the beginning of the fiscal year. However, if the amount
34requested for projects that facilitate broadband service at
35the speeds described in paragraph “a” for the fiscal year is
-6-1less than the amount reserved for projects under paragraph
2“a”, the office may award the difference to projects under
3this paragraph for the same fiscal year in a targeted service
4area within which no communications service provider offers or
5facilitates broadband service that provides download and upload
6speeds less than or equal to the tier 2 download and upload
7speeds specified in the definition of targeted service area in
8section 8B.1.
9c. Thirty-five percent of a communications service
10provider’s project costs for projects that will result in the
11installation of broadband infrastructure in a targeted service
12area within which no communications service provider offers or
13facilitates broadband service that provides download speeds
14less than or equal to the tier 3 download speed specified in
15the definition of targeted service area in section 8B.1.
166. The office shall provide public notice regarding the
17application process and receipt of funding.
187. The office shall not award a grant pursuant to this
19section on or after July 1, 2025.
208. 7. The office may adopt rules pursuant to chapter 17A
21interpreting this chapter or necessary for administering this
22chapter, including but not limited to rules relating to the
23broadband grant program process, management, and measurements
24as deemed necessary by the office.
259. 8. The office shall adopt rules establishing procedures
26to allow aggrieved applicants an opportunity to challenge the
27office’s award of grants under this section.
28 Sec. 4. EFFECTIVE DATE. This Act, being deemed of immediate
29importance, takes effect upon enactment.
30 Sec. 5. APPLICABILITY. This Act applies to applications
31for grants submitted pursuant to section 8B.11 on or after the
32effective date of this Act.
33EXPLANATION
34The inclusion of this explanation does not constitute agreement with
35the explanation’s substance by the members of the general assembly.
-7- 1This bill relates to broadband service, including
2facilitating the availability of broadband service in unsecured
3and underserved areas, and administration of the empower rural
4Iowa broadband grant fund.
5The bill modifies the definition of “facilitate” for
6purposes of Code chapter 8B to mean a communications service
7provider’s ability to provide broadband service at or above
8the download and upload speeds specified in the definition
9of a targeted service area to a home, farm, school, or
10business within a commercially reasonable time and at a
11commercially reasonable price upon request. The bill modifies
12the definition of “targeted service area” to mean either of
13the following: a United States census bureau census block
14located in this state, including any crop operation located
15within the census block, or other geographic unit the office
16of the chief information officer sets by rule, within which no
17communications service provider offers or facilitates broadband
18service at or above the tier 1, tier 2, or tier 3 download and
19upload speeds enumerated in the bill; or any geographic area,
20as the office sets by rule, that is materially underserved by
21broadband service such that tier 1, tier 2, and tier 3 download
22and upload speeds are not meaningfully available. The bill
23defines “tier 1” as a minimum download speed of less than 25
24megabits per second and a minimum upload speed of less than
25three megabits per second. The bill defines “tier 2” as a
26minimum download speed of greater than or equal to 25 megabits
27per second but less than 50 megabits per second and a minimum
28upload speed of greater than or equal to three megabits per
29second. The bill defines “tier 3” as a minimum download speed
30of greater than or equal to 50 megabits per second but less
31than 80 megabits per second. The bill modifies the definition
32of “underserved area” to mean any portion of a targeted
33service area within which no communications service provider
34facilitates broadband service meeting the tier 1 speeds.
35The bill provides that the determination of whether
-8-1a communications service provider facilitates broadband
2service meeting the tier 1, tier 2, or tier 3 download and
3upload speeds shall be determined by reference to broadband
4availability maps or data sources that are identified by the
5office by rule. The bill requires the office to periodically
6make renewed determinations as to whether a communications
7service provider facilitates broadband service at or above
8those download and upload speeds. The bill establishes that
9the office is not required to make renewed determinations more
10frequently than once in any calendar year.
11The bill provides that grants from the empower rural Iowa
12broadband grant fund shall only be made to communications
13service providers that reduce or eliminate targeted service
14areas by installing broadband infrastructure that facilitates
15broadband service providing a minimum download speed of 100
16megabits per second and a minimum upload speed of 100 megabits
17per second in targeted service areas. The bill provides that
18the office may use not more than 3 percent of the moneys in
19the fund at the beginning of the fiscal year to pay the costs
20associated with the administration of the grant program.
21The bill strikes provisions relating to the application
22review process for applications for grants under the fund.
23Additionally, the bill strikes provisions relating to a review
24committee for the review and recommendation of grant awards.
25The bill also makes certain changes to what the office is to
26consider when reviewing an application for a grant from the
27fund.
28The bill provides that the amount of the grants the
29office awards from the fund shall not exceed 75 percent
30of a communications service provider’s project costs for
31projects that will result in the installation of broadband
32infrastructure in a targeted service area within which no
33communications service provider offers or facilitates broadband
34service that provides download and upload speeds less than or
35equal to the tier 1 download and upload speeds; 50 percent
-9-1of a communications service provider’s project costs for
2projects that will result in the installation of broadband
3infrastructure in a targeted service area within which no
4communications service provider offers or facilitates broadband
5service that provides download and upload speeds less than
6or equal to the tier 2 download and upload speeds; and 35
7percent of a communications service provider’s project costs
8for projects that will result in the installation of broadband
9infrastructure in a targeted service area within which no
10communications service provider offers or facilitates broadband
11service that provides download speeds less than or equal to the
12tier 3 download speed.
13The bill strikes Code section 8B.11, subsection 7, which
14prohibits the office from awarding a grant from the fund on or
15after July 1, 2025.
16The bill takes effect upon enactment and applies to
17applications for grants submitted pursuant to Code section
188B.11 on or after the effective date of the bill.
-10-jda/rn