SB205 Amended, No Longer Threatens RDA
SB205 has passed the Senate today with amendments that clarify that RDA runds can’t be used to pay the debt service of a bond created by an interlocal agreement. The intent is that cities will not be able to funnel RDA money to pay off any existing bonds from UTOPIA. The amended bill text is available on the Legislature website (see lines 651-653b). As long as the bill doesn’t see any further modification in the House, I think Centerville and other cities who want to build fiber optic infrastructure with RDA money will be safe.
Liveblogging the Senate Revenue and Taxation Committee: Feburary 20, 2009
As I normally do when attending government meetings, I’ll be liveblogging the entire affair. Today the Senate Revenue and Taxation Committee will be considering SB205, a bill that makes modifications to redevelopment agency funds.
Upon a closer examination, it looks like it will do two things that can affect UTOPIA: network infrastructure can only be paid for via RDA through tax expendetures and not by bonding and the infrastructure must remain open to any service provider’s use. I disagree that it is necessary to take away the ability of the city to bond RDA funds for such projects (especially since they are very capital-intensive) and the “open” provision might be interpreted to mean that services such as transparent LAN can be provided directly by the city as wholesale transport. Obviously these changes can be quite troublesome. I’m going to speak against both changes and voice my concerns when the time presents itself.
Keep on refreshing as the meeting begins to see what’s going on.
3:00PM Movement to pass with favorable recommendation has passed unanimously with the note that the bill will be amended. The meeting is now adjourned. I’ll keep an eye on the amendments.
2:51PM UTOPIA cities are working on some amendments to improve the language in the bill. This may not be as bad as initially thought.
2:41PM Yeah, this is a direct response to Centerville. Sen. Bramble is concerned that RDA funds could be used to pay off UTOPIA’s bond debt. That’s why they’re looking at closing the bonding option for telecommunications.
2:38PM Sen. Bramble is taking the floor to discuss SB205.
2:28PM Sen. Bramble has arrived. I still don’t see any Qwest or Comcast reps that I recognize.
2:27PM SB205 isn’t going first as originally planned since Sen. Bramble isn’t here yet. Instead, we get to hear about uniform fees on canoes. This is the kind of legislative stuff that’s good for a nap.
2:25PM Looks like we’re up to 5 senators. With a quorum established, they can finally get started.
2:22PM Re-ordered so that the latest updates are at the top. Don’t know why I was doing it the other way.
2:20PM Looks like the committee chair got tired of waiting. He just left to go find some of the other senators that should be here right now.
2:18PM Okay, I know Senators are busy. But, seriously, it’s almost 20 minutes past when this was supposed to get started. And I’m here on my own dime.
2:07PM I still don’t see any of the usual suspects from Qwest or Comcast here today. It’s entirely possible they don’t yet have a hand in it. If we stay on the down-low, it may stay that way.
2:01PM As with most committee meetings, this one is going to start late. Looks like there’s still at least 3 members not here yet including Sen. Bramble and Sen. Stephenson.
1:55PM It’s still a pretty empty meeting room. I’ll bet the Senate has been pretty busy with today’s media circus. I’ve also heard that the bill is likely to be modified.
SB205 Hearing This Friday at 2PM
SB205 will be heard before the Senate Revenue and Taxation Committee this Friday the 20th at 2PM. For those of you planning on going to Brigham City, that doesn’t leave much in the way of time to make it down for the hearing, especially since it will be the first item heard. I would encourage you to write to the committee members if you are unable to attend to let them know how you feel about these changes.
SB205 Assigned to Committee
SB205 has been assigned to the Senate Revenue and Taxation Committee. There is currently no hearing scheduled during which it could be heard, so keep your eyes on their schedule for changes. It will be critically important that as many of us as possible appear at the hearings to speak our piece and express the strong opposition to the telecom changes.
SB205 Text Available, Would Ban RDA Funds for Telecom
The text of SB205 became available a few short moments ago and, as currently worded, would ban the use of RDA funds on telecommunications projects. (See lines 651-3.) The bill is a direct response to Centerville’s attempts to build out fiber optics infrastructure in the city to promote next-generation networks. Given Sen. Bramble’s significant power and influence, it is critically important that each of you contact your state senator and representative to ask that the provision either be stricken or amended to allow use of RDA funds for telecom provided that the infrastructure is open to any provider.
(Update 2/18/09 by Mike Taylor) – Here is the actual text of the bill, the link above shows the status.
Centerville Inches Closer to RDA-Funded Fiber Hub Despite SB205 Threat
Centerville is getting closer to using RDA money to build a fiber hub in the city even as the threat of Sen. Bramble’s RDA amendments loom. The city council was unanimuous in voting to draft final documents to make it all happen. Once built, it would rescue about $2M worth of “stranded investment” at a cost of around $100K.
Sen. Bramble’s boxcar legislation for the changes, SB205, may contain provisions that would allow such carrier-neutral infrastructure to be built with RDA money, but there’s still a very strong chance that the provision would be nixed and telecom spending banned outright. You’d better contact your state senators and representatives to make them aware of what’s coming.
UPDATE: The Standard-Examiner has more on the story.
Sen. Bramble Looking to Ban RDA Funds for Telecom
Senator Curt “Take My Check, Pizza Girl” Bramble is working on amending RDA laws in Utah to make sure that funds aren’t spent on any telecommunications projects. This is reportedly a direct reaction to Centerville’s proposed use of RDA funds to build fiber-optic infrastructure within the city, even though the proposal on the table allows any network to use it. Sen. Bramble has a well-deserved reputation for being prickly, so be prepared if you decide to communicate directly with him.
It’s very important that you write, call or speak with your senator or representative to make sure they know how you feel about this change. UTOPIA cities are working to make sure that the language will allow for it so long as it is vendor-neutral, but your voices are much, much louder.
Lobby Watch: Comcast
According to this article by the Standard Examiner, the following Utah public servants received $174 dollar meals for them and their spouses paid by a Comcast lobbyist:
- Senator Wayne Niederhauser (R)
- Senator Mark Madsen (R)
- Curt Bramble (R)
Did UTOPIA Dodge a Legislative Bullet?
Survey says: most likely. I've been watching the bills that have been filed by Rep. Frank and Sen. Stephenson, co-chairs of the Government Competition and Privatization Subcommittee, and it appears that no amendments to the Municipal Cable Television and Public Telecommunications Act have been given bill numbers. For all intents and purposes, it's dead, Jim.
This doesn't mean the fight is over. I'm no lawyer (I'm sure some of you are), but it seems that HB75, HB76 and SB45 could all be construed to bring cumbersome new requirements to municipal broadband projects. It's not entirely impossible that Qwest didn't see these as a bad-door way to further bind UTOPIA given Qwest's private meetings with most members of the committee. If you want to keep an eye on these, might I recommend the following handy RSS feed of the bill status?
Upcoming Broadband Legislation from The Swamp
Broadband is all the Washington rage these days. FCC Chairman Kevin Martin has become something of a techie celebrity and there's a bunch of bills in Congress set to change the way we approach broadband. Here's a quick run-down of the big ones to keep an eye on.