Stricken language would be deleted from and underlined language would be added to present law.
1 State of Arkansas
2 93rd General Assembly A Bill
3 Regular Session, 2021 HOUSE BILL 1918
4
5 By: Representative Hawks
6
7 For An Act To Be Entitled
8 AN ACT TO CREATE BROADBAND IMPROVEMENT DISTRICTS; AND
9 FOR OTHER PURPOSES.
10
11
12 Subtitle
13 TO CREATE BROADBAND IMPROVEMENT
14 DISTRICTS.
15
16
17 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:
18
19 SECTION 1. Arkansas Code Title 14, Chapter 88, Subchapter 2, is
20 amended to add an additional section to read as follows:
21 14-88-213. Broadband internet service.
22 (a) A municipal improvement district may enter into a partnership as
23 provided by 14-96-201 et seq. to:
24 (1) Contract for, or provide, promote, and support broadband
25 internet service through, a public-private partnership under 14-96-201 et
26 seq.; and
27 (2) Finance public capital facilities or projects that include
28 broadband internet service.
29 (b) A municipal improvement district in existence on and after January
30 1, 2021, may conduct any of the activities under subsection (a) of this
31 section using the notice and voting procedures under 14-88-203.
32
33 SECTION 2. Arkansas Code 14-92-219, concerning the purposes for
34 which a suburban improvement district may be organized, is amended to add an
35 additional subdivision to read as follows:
36 (12)(A) To enter into a partnership as provided by 14-96-201
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1 et seq. to do the following:
2 (i) Contract for, or provide, promote, and support
3 broadband internet service through, a public-private partnership under 14-
4 96-201 et seq.; and
5 (ii) Finance public capital facilities or projects
6 that include broadband internet service.
7 (B) A suburban improvement district created after March
8 16, 1981, and in existence on and after January 1, 2021, may conduct any of
9 the activities under subdivision (12)(A) of this section using the notice and
10 voting procedures for the creation of a suburban improvement district under
11 this subchapter.
12 (C) A suburban improvement district created before March
13 16, 1981, may conduct any of the activities under subdivision (12)(A) of this
14 section using the notice and voting procedures for the creation of a suburban
15 improvement district that were used before March 16, 1981.
16
17 SECTION 3. Arkansas Code 14-93-110, concerning the reasons for which
18 a property owners' improvement district is organized, is amended to add an
19 additional subdivision to read as follows:
20 (9)(A) To enter into a partnership as provided by 14-96-201 et
21 seq. to do the following:
22 (i) Contract for, or provide, promote, and support
23 broadband internet service through, a public-private partnership under 14-
24 96-201 et seq.; and
25 (ii) Finance public capital facilities or projects
26 that include broadband internet service.
27 (B) A district in existence on and after January 1, 2021,
28 may conduct any of the activities under subdivision (9)(A) of this section
29 using the notice and voting procedures for the creation of a district under
30 this chapter.
31
32 SECTION 4. Arkansas Code 14-94-105, concerning the purposes for
33 which a municipal property owners' improvement district is organized, is
34 amended to add an additional subsection to read as follows:
35 (f)(1) A district may enter into a partnership as provided by 14-96-
36 201 et seq. to:
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1 (A) Contract for, or provide, promote, and support
2 broadband internet service through, a public-private partnership under 14-
3 96-201 et seq.; and
4 (B) Finance public capital facilities or projects that
5 include broadband internet service.
6 (2) A district in existence on and after January 1, 2021, may
7 conduct any of the activities under subdivision (f)(1) of this section using
8 the notice and voting procedures under this chapter.
9
10 SECTION 5. Arkansas Code Title 14, is amended to add an additional
11 chapter to read as follows:
12 CHAPTER 96
13
14 BROADBAND IMPROVEMENT DISTRICTS
15
16 Subchapter 1 General Provisions
17 [Reserved.]
18
19 Subchapter 2 Broadband Improvement Districts Generally
20
21 14-96-201. Definitions.
22 As used in this subchapter:
23 (1) Broadband improvement district means an improvement
24 district established for the purpose of providing or aiding in the
25 development and maintenance of broadband internet service and deemed a
26 special-purpose unit of local government under 41 C.F.R. 105-50.001-4;
27 (2) Broadband internet service means the provision of
28 regulated or nonregulated connectivity to a high-speed, high-capacity
29 transmission medium that can carry signals from multiple independent network
30 carriers over electric power lines, communication lines, antennas, and
31 related facilities, whether above or below ground;
32 (3) Broadband system means the infrastructure, materials,
33 equipment, and other facilities installed to facilitate the provision of
34 broadband internet service;
35 (4) Party means:
36 (A) A municipal improvement district formed under 14-88-
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1 201 et seq.;
2 (B) A suburban improvement district formed under 14-92-
3 201 et seq.;
4 (C) A property owners' improvement district formed under
5 the Property Owners' Improvement District Law, 14-93-101 et seq.;
6 (D) A municipal property owners' improvement district
7 formed under the Municipal Property Owner's Improvement District Law, 14-
8 94-101 et seq.;
9 (E) A horizontal property regime or property owners'
10 association formed under the Horizontal Property Act, 18-13-101 et seq.; or
11 (F) A rural development authority formed under the Rural
12 Development Authority Act, 14-188-101 et seq.;
13 (5) Private actor means a cooperative, corporation, general
14 partnership, limited liability company, limited partnership, joint
15 venture, business trust, public benefit corporation, nonprofit entity, or
16 other private business entity that is experienced in the construction,
17 financing, implementation, maintenance, or operation of the facilities to be
18 acquired or constructed; and
19 (6) Public-private partnership means a partnership between a
20 party and a private actor.
21
22 14-96-202. Establishment of broadband improvement district Powers
23 and duties.
24 (a) Without limiting the powers, privileges, or authority that may be
25 jointly or cooperatively exercised under current law, any party may enter
26 into an agreement with a private actor as provided by this subchapter to
27 establish a broadband improvement district to:
28 (1) Contract for, or provide, promote, and support broadband
29 internet service through, a public-private partnership under this subchapter;
30 and
31 (2) Finance public capital facilities or projects that include
32 broadband internet service.
33 (b) A broadband improvement district:
34 (1)(A) May enter into a negotiated agreement with a private
35 actor in which the private actor will construct, finance, implement,
36 maintain, and operate a broadband system necessary to provide broadband
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1 internet service and will provide the broadband internet service.
2 (B) Upon entering an agreement under subdivision (b)(1)(A)
3 of this section, the private actor shall be responsible for:
4 (i) The construction, financing, implementation, and
5 operation of the broadband system;
6 (ii) The maintenance, repair, renewal, relocation,
7 or removal of broadband system infrastructure, materials, equipment, and
8 other facilities installed to facilitate the provision of broadband internet
9 service;
10 (iii) Additional installation or construction of new
11 broadband system infrastructure, materials, equipment, and other facilities
12 necessary to ensure the continuance of providing broadband internet service;
13 (iv) The maintenance, repair, renewal, relocation,
14 renovation, or removal of any existing public capital facilities or projects
15 that include broadband internet service;
16 (v) The additional installation or construction of
17 public capital facilities or projects necessary to ensure the continuance of
18 providing broadband internet service;
19 (vi) Providing high speed and high capacity
20 broadband internet service;
21 (vii) Responding to requests from broadband internet
22 service customers; and
23 (viii) Maintaining the quality of the infrastructure
24 and equipment that is provided and owned by the private actor;
25 (2) May finance a broadband system necessary to provide
26 broadband internet service through a public-private partnership as provided
27 by this subchapter if a private actor is the entity providing the broadband
28 internet service;
29 (3) May engage in negotiations with a private actor before,
30 during, and after construction, financing, and implementation of the
31 broadband system and while broadband internet service is being provided in
32 the area; and
33 (4) May receive federal, state, county, or municipal funding
34 through grants, transfers, appropriations, and other legal forms of payment
35 to accomplish the purposes of this section.
36 (c) A party may receive federal, state, county, or municipal funding
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1 through grants, transfers, appropriations, and other legal forms of payment
2 to accomplish the purposes of this section.
3 (d) A party in existence on and after January 1, 2021, may conduct any
4 of the activities in this section using the notice and voting procedures that
5 are necessary to create the party under the law applicable to that party.
6 (e) Without limiting the powers, privileges, or authority that may be
7 jointly or cooperatively exercised under current law, a party may enter into
8 a partnership agreement with a governmental entity experienced in the
9 provision of broadband services upon such terms and conditions as the parties
10 may agree to:
11 (1) Contract for, or provide, promote, and support broadband
12 internet service; and
13 (2) Finance public capital facilities or projects that include
14 broadband internet service.
15 (f) A partnership under this section may include a municipality as an
16 additional party.
17
18 SECTION 6. Arkansas Code 14-188-109, concerning the powers and
19 responsibilities of a rural development authority, is amended to add an
20 additional subdivision to read as follows:
21 (9)(A) To enter into a partnership as provided by 14-96-201 et
22 seq. to do the following:
23 (i) Contract for, or provide, promote, and support
24 broadband internet service through, a public-private partnership under 14-
25 96-201 et seq.; and
26 (ii) Finance public capital facilities or projects
27 that include broadband internet service.
28 (B) A rural development authority in existence on and
29 after January 1, 2021, may conduct any of the activities under subdivision
30 (9)(A) of this section using the notice and voting procedures for the
31 creation of a rural development authority under this chapter.
32
33 SECTION 7. Arkansas Code 14-217-103(7), concerning the definition of
34 a consolidated utility system, is amended to read as follows:
35 (7) Consolidated utility system, consolidated system, or
36 system means any system of public utilities together with any facilities
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1 related to or necessary or appropriate to the construction, operation, or
2 maintenance consisting of any two (2) or more of the following if
3 consolidated or combined:
4 (A) A combined water system and sewer system; or
5 (B) A sewer system;
6 (C) An electric system consolidated or combined with a
7 water system or with a sewer system; or
8 (D) A broadband system;
9
10 SECTION 8. Arkansas Code 14-217-103, concerning definitions, is
11 amended to add additional subdivisions to read as follows:
12 (18) Broadband system means the infrastructure, materials,
13 equipment, and other facilities installed to facilitate the provision of
14 broadband internet service; and
15 (19) Broadband internet service means the provision of
16 regulated or nonregulated connectivity to a high-speed, high-capacity
17 transmission medium that can carry signals from multiple independent network
18 carriers over electric power lines and related facilities, whether above or
19 below ground.
20
21 SECTION 9. Arkansas Code 18-13-108, concerning the administration
22 and bylaws of a horizontal property regime, is amended to add an additional
23 subsection to read as follows:
24 (c)(1) A horizontal property regime may enter into a partnership as
25 provided by 14-96-201 et seq. to:
26 (A) Contract for, or provide, promote, and support
27 broadband internet service through, a public-private partnership under 14-
28 96-201 et seq.; and
29 (B) Finance public capital facilities or projects that
30 include broadband internet service.
31 (2) A horizontal property regime in existence on and after
32 January 1, 2021, may conduct any of the activities in subdivision (c)(1) of
33 this section using the procedures to adopt decisions under the bylaws of the
34 horizontal property regime.
35
36
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Statutes affected:
HB 1918: 14-92-219, 14-93-110, 14-94-105, 14-188-109, 14-217-103(7), 14-217-103, 18-13-108