Substitute House Bill No. 6800 with File No. 407 addresses the licensing of electronic books and digital audiobooks by libraries in the state, effective from October 1, 2023. The bill defines relevant terms and prohibits contract or license agreements that impose restrictions on libraries' operational or lending functions, such as limiting the number of loans or prohibiting interlibrary loans. It allows for certain limitations, like the number of simultaneous borrowers and the use of technological protection measures to prevent unauthorized access. Violations by publishers are considered an unfair trade practice, and contracts with prohibited provisions are deemed unconscionable.

The bill has fiscal implications, with potential enforcement costs for the Department of Consumer Protection estimated at $105,299 in FY 2024 and $143,908 in FY 2025, which may necessitate hiring additional staff. However, it could also lead to savings for public entities operating libraries, depending on the terms of the contracts they enter into with publishers. The bill includes insertions such as the file number and specific language regarding the limitations and requirements for contracts or license agreements between publishers and libraries.