H.B. 272

1

UTAH EDUCATION NETWORK AMENDMENTS
2 2002 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: Thomas V. Hatch
5 This act modifies provisions related to the State System of Higher Education by requiring
6 any telecommunications services distribution facility owned by the Utah Education Network
7 (UEN) to be used exclusively for the support of public or higher education and prohibiting
8 UEN from building or acquiring any facilities for the delivery of telecommunications services
9 if comparable facilities and services can be provided by a privately owned
10 telecommunications corporation at comparable costs. This act requires the UEN steering
11 committee to include three representatives of private industry and clarifies that a school
12 district may acquire telecommunications services from a privately owned
13 telecommunications corporation irrespective of services provided by UEN.
14 This act affects sections of Utah Code Annotated 1953 as follows:
15 AMENDS:
16 53B-17-102, as last amended by Chapter 243, Laws of Utah 1996
17 53B-17-104, as enacted by Chapter 33, Laws of Utah 1995
18 ENACTS:
19 53B-17-101.5, Utah Code Annotated 1953
20 53B-17-105, Utah Code Annotated 1953
21 Be it enacted by the Legislature of the state of Utah:
22 Section 1. Section 53B-17-101.5 is enacted to read:
23 53B-17-101.5. Definitions.
24 As used in this part:
25 (1) "Telecommunications corporation" has the meaning defined in Section 54-8b-2 .
26 (2) "Privately owned telecommunications corporation" means a telecommunications
27 corporation that is not owned by a governmental entity, political subdivision, or

28 quasi-governmental entity.
29 Section 2. Section 53B-17-102 is amended to read:
30 53B-17-102. Utah Education Network.
31 (1) The Utah Education Network, hereafter referred to as UEN, is a consortium and
32 partnership between public and higher education established to:
33 (a) coordinate and support the telecommunications needs of public and higher education;
34 and
35 (b) coordinate the various telecommunications technology initiatives of public and higher
36 education.
37 (2) The University of Utah shall provide administrative management for UEN.
38 (3) (a) The governor shall appoint a statewide steering committee of representatives from
39 public and higher education, state government, and private industry to advise UEN in the
40 development and operation of a coordinated, statewide, multi-option telecommunications system
41 to assist in the delivery of educational services throughout the state.
42 (b) The membership of the steering committee shall include at least three representatives
43 of the private telecommunications industry.
44 (4) (a) Except as required by Subsection (4)(b), members shall be appointed to four-year
45 terms.
46 (b) Notwithstanding the requirements of Subsection (4)(a), the governor shall, at the time
47 of appointment or reappointment, adjust the length of terms to ensure that the terms of committee
48 members are staggered so that approximately half of the committee is appointed every two years.
49 (c) When a vacancy occurs in the membership for any reason, the replacement shall be
50 appointed for the unexpired term.
51 (i) (A) Members who are not government employees shall receive no compensation or
52 benefits for their services, but may receive per diem and expenses incurred in the performance of
53 the member's official duties at the rates established by the Division of Finance under Sections
54 63A-3-106 and 63A-3-107 .
55 (B) Members may decline to receive per diem and expenses for their service.
56 (ii) (A) State government officer and employee members who do not receive salary, per
57 diem, or expenses from their agency for their service may receive per diem and expenses incurred
58 in the performance of their official duties from the committee at the rates established by the

59 Division of Finance under Sections 63A-3-106 and 63A-3-107 .
60 (B) State government officer and employee members may decline to receive per diem and
61 expenses for their service.
62 (d) (i) Higher education members who do not receive salary, per diem, or expenses from
63 the entity that they represent for their service may receive per diem and expenses incurred in the
64 performance of their official duties from the committee at the rates established by the Division of
65 Finance under Sections 63A-3-106 and 63A-3-107 .
66 (ii) Higher education members may decline to receive per diem and expenses for their
67 service.
68 (5) (a) UEN shall locate EDNET receive and transmit sites and UtahLink data connection
69 sites at various institutions and public schools throughout the state.
70 (b) The institutions and other identified public education sites at which hub sites are
71 located shall manage site operations under policy established by UEN.
72 (6) (a) The Legislature shall provide an annual appropriation to UEN to pay for ongoing
73 maintenance and operation costs of EDNET sites serving the state's public education system.
74 (b) The Legislature shall provide an annual appropriation to fund the ongoing line-costs,
75 maintenance, and operation of the UtahLink sites serving the state's public and higher education
76 systems.
77 Section 3. Section 53B-17-104 is amended to read:
78 53B-17-104. Responsibilities of UEN related to telecommunications for education.
79 (1) Subject to Section 53B-17-105 and applicable rules of the Federal Communications
80 Commission, the State Board of Regents, the State Board of Education, and the University of Utah,
81 UEN shall:
82 (a) coordinate statewide services of public radio and television;
83 (b) (i) develop, maintain, and operate statewide distribution systems:
84 (A) for KUED, KUER, KULC, EDNET, and UtahLink including radio and television
85 translator systems, an educational microwave distribution system, a data network, and other
86 telecommunications services distribution systems appropriate for providing video, audio, and data
87 telecommunication services;
88 (B) in support of public and higher education; and
89 (C) to as many communities as may be economically and technically feasible and lawfully

90 permissible under the various operating licenses[,]; and[,]
91 (ii) in conjunction with these operations[,]:
92 (A) cooperate with state and local governmental and educational agencies; and
93 (B) provide leadership and consulting service in regards to signal distribution;
94 (c) represent the state with privately owned telecommunications systems to gain access
95 to their networks for the delivery of programs and services sponsored or produced by public and
96 higher education;
97 (d) acquire, produce, coordinate, and distribute a variety of programs and services of an
98 educational, cultural, informative, and entertaining nature designed to promote the public interest
99 and welfare of the state;
100 (e) coordinate with the state system of higher education to acquire, produce, and distribute
101 broadcast and nonbroadcast college credit telecourses, teleconferences, and other instructional and
102 training services;
103 (f) coordinate with the State Office of Education and school districts to acquire, produce,
104 and distribute broadcast and nonbroadcast telecourses, teleconferences, and other instructional and
105 training services to the public schools;
106 (g) act as a clearing house for the materials, courses, publications, media, software, and
107 other applicable information related to the items addressed in Subsections (1)(e) and (f);
108 (h) coordinate with the State Office of Education to assist in providing the public schools
109 of Utah with the following services:
110 (i) broadcast during school hours of educational and administrative programs approved
111 and scheduled by the State Board of Education;
112 (ii) studio production and technical assistance for the creation of educational programs;
113 (iii) duplication of program masters for broadcast purposes;
114 (iv) nonstudio production services for the compilation of various production elements into
115 completed programs;
116 (v) program previewing; and
117 (vi) shared responsibility with the Utah State Office of Education for ITV awareness and
118 utilization;
119 (i) cooperate with state and local governmental agencies to provide teleconference and
120 training services;

121 (j) consult with the steering committee authorized in Section 53B-17-102 and other
122 technology coordinating committees established by the State Board of Education and State Board
123 of Regents in acquiring, producing, and distributing instructional services on all media, and with
124 public advisory committees in acquiring, producing, and distributing public radio and television
125 programs on KUER and KUED;
126 (k) coordinate the statewide development and implementation of the electronic highway
127 for education, which shall include video, audio, and data interconnections utilizing satellite,
128 microwave, fiber-optic, and other transmission media;
129 (l) coordinate through the UEN steering committee the technology initiatives for public
130 and higher education which are under the direction of the State Office of Education and the Office
131 of the Commissioner of Higher Education;
132 (m) coordinate through the UEN steering committee, public education's Educational
133 Technology Initiative authorized under Title 53A, Chapter 1, Part 7, Educational Technology
134 Programs;
135 (n) utilize statewide economic development criteria in the design and implementation of
136 the educational telecommunications infrastructure; and
137 (o) assure that public service entities such as educators, public service providers, and
138 public broadcasters are granted access to the telecommunications infrastructures that are developed
139 in the state.
140 (2) This section neither regulates nor restricts a privately owned company in the
141 distribution or dissemination of education programs.
142 (3) A school district may obtain telecommunications services from a privately owned
143 telecommunications corporation irrespective of the services provided by UEN.
144 Section 4. Section 53B-17-105 is enacted to read:
145 53B-17-105. Telecommunications services distribution system owned by UEN -- Use
146 restricted to support public or higher education -- Cost analysis.
147 (1) Any data network or other telecommunications services distribution facilities owned
148 by UEN shall be used exclusively for the support of public or higher education.
149 (2) Before UEN builds or acquires its own telecommunications facilities, it shall first
150 attempt to acquire the facilities through a lease or other arrangement from a privately owned
151 telecommunications corporation if the facilities, or reasonable substitutes for them, are available

152 and can be obtained, or can reasonably be made available and obtained, at costs comparable to
153 those which UEN would incur in building, operating, and maintaining its own facilities.
154 (3) Before building or acquiring its own telecommunications facilities, UEN shall conduct
155 a feasibility study, through an independent third party, including a five-year analysis of the total
156 expenditures necessary for UEN to build, acquire, operate, and maintain its own facilities. The
157 feasibility study shall, at a minimum, consider:
158 (a) whether or not the building of telecommunications facilities by UEN will duplicate
159 facilities, or reasonable substitutes for them, which are already available or may reasonably be
160 made available from a privately owned telecommunications corporation;
161 (b) the cost to lease or obtain the facilities from a privately owned telecommunications
162 corporation;
163 (c) the capital investment to build the facilities;
164 (d) a full-cost accounting, based on the five-year analysis, of UEN's projected expenditures
165 to build, acquire, operate, and maintain its own facilities; and
166 (e) whether the expenditures referred to in Subsection (3)(d) will be more than those
167 required if UEN were to lease or enter into a similar arrangement for the facilities from a privately
168 owned telecommunications corporation.
169 (4) (a) If the results of the feasibility study indicate that UEN can build, operate, and
170 maintain facilities more economically than by leasing or acquiring the facilities from a privately
171 owned telecommunications corporation, UEN may elect to build its own telecommunications
172 facilities.
173 (b) If the results of the feasibility study do not indicate that UEN can build, operate, and
174 maintain facilities more economically than by leasing or acquiring the facilities from a privately
175 owned telecommunications corporation, UEN shall obtain telecommunications facilities from a
176 privately owned telecommunications corporation.
177 (5) The results of the feasibility study shall be available for public inspection.
178 (6) (a) If as a result of the feasibility study, UEN elects to build its own facilities, it shall
179 provide notification of its decision to each privately owned telecommunications corporation
180 holding a certificate issued under Title 54, Public Utilities, to provide telecommunications services
181 in the area to be served by the UEN-owned facilities.
182 (b) Any privately owned telecommunications corporation that disagrees with a decision

183 of UEN to build its own facilities may request a review of the decision as provided in Title 63,
184 Chapter 46b, Administrative Procedures Act.
185 (7) This section does not apply to any contract for the acquisition of telecommunications
186 facilities entered into by UEN before the effective date of this section.




Legislative Review Note
as of 1-22-02 1:58 PM

A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel