Provides for the regulation of certain broadband services. (8/1/26) (RE NO IMPACT See Note)
Provides for the regulation of certain broadband services. (8/1/26) (RE NO IMPACT See Note)
Senate Bill 80 amends the regulatory framework governing Louisiana's broadband grant programs by creating new oversight authority in the Office of Broadband Development and Connectivity and modifying the administration of the GUMBO grant programs. The bill enacts a new statutory section, R.S. 51:1362.1, that grants the office exclusive authority to develop rules and standards for all broadband programs including GUMBO 1.0 through 4.0, investigate alleged noncompliance with broadband deployment obligations such as inadequate service speeds, pricing violations, and failure to meet coverage requirements, and enforce compliance through administrative penalties, disbursement suspensions, fund recovery, or program exclusion. The bill also increases the administration fee cap for the GUMBO program from one percent to two and one-half percent of appropriated funds for both direct administration and third-party contractor hiring. Additionally, the legislation grants the office discretion to determine completion thresholds for remaining disbursements in GUMBO 1.0 and 2.0 programs rather than fixing those thresholds by statute, and requires that completion thresholds for GUMBO 2.0 be defined in the subgrant agreement. The bill extends the statutory framework to the newly created GUMBO 3.0 and 4.0 programs by subjecting their grants to the Louisiana Procurement Code or Public Bid Law while allowing alternative procurement methods consistent with federal requirements if the commissioner of administration determines such methods to be in the state's best interest.
The practical effects of this legislation impact broadband service providers, grant recipients under the GUMBO programs, residents and municipalities served by GUMBO-funded projects, and the Office of Broadband Development and Connectivity itself. Providers and grantees receiving funds under GUMBO 2.0, 3.0, or 4.0 programs become subject to the office's new investigation and enforcement powers regarding service quality, pricing, coverage obligations, construction practices, and timeliness of service activation and repair. The office gains increased administrative capacity through the doubling of its available administration funds from one to two and one-half percent, enabling enhanced oversight and third-party contractor support. Recipients of grants in both the GUMBO 3.0 and 4.0 programs, which include state agencies, nonprofits, for-profit entities, academic institutions, and planning commissions, must comply with procurement requirements while benefiting from potential flexibility through alternative procurement methods. Residents and municipalities gain a formal complaint resolution process through the office to address deployment deficiencies.
This legislation operates within Louisiana's Title 51 Commercial Code framework governing business regulations and builds upon the existing GUMBO program structure created to deploy broadband infrastructure in unserved areas. The new oversight authority section applies exclusively to broadband deployments funded under GUMBO 2.0, 3.0, or 4.0 programs initiated on or after August 1, 2026, creating a carve-out that preserves the status quo for pre-existing deployments. The bill's reference to the Infrastructure Investment and Jobs Act and the Broadband Equity, Access, and Deployment program indicates alignment with federal funding requirements and standards. The provision allowing alternative procurement methods when determined by the commissioner of administration to serve the state's interest incorporates flexibility consistent with federal telecommunications law and broadband deployment standards. The establishment of the office's exclusive regulatory authority in R.S. 51:1362.1, combined with the requirement that the office promulgate rules pursuant to the Administrative Procedure Act, ensures that detailed compliance standards and enforcement procedures will be developed through notice and comment rulemaking rather than by statute alone.
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