H*4735(Rat #0291, Act #0405 of 2008)  Joint Resolution, By Harrell, Cato, 
Funderburk, Loftis, Sandifer, Thompson, Owens, Harvin, Bedingfield, Leach, 
Bales, Whipper and R.L. Brown
 A JOINT RESOLUTION TO CREATE THE SOUTH CAROLINA EDUCATIONAL BROADBAND SERVICE
 COMMISSION FOR THE PURPOSE OF OBTAINING AND EVALUATING PROPOSALS FROM
 COMMERCIAL ENTITIES FOR THE LEASING OF SPECTRUM CAPACITY LICENSED TO THE SOUTH
 CAROLINA EDUCATIONAL TELEVISION NETWORK, TO PROVIDE A PROCESS FOR APPROVAL OF
 THE LEASES, TO PROVIDE THAT REVENUE RECEIVED FROM THE LEASE OF SPECTRUM
 CAPACITY MUST BE DEPOSITED INTO THE STATE GENERAL FUND, TO EXEMPT THE LEASES
 FROM THE CONSOLIDATED PROCUREMENT CODE, AND TO PROVIDE FOR THE MEMBERSHIP,
 POWERS, AND DUTIES OF THE COMMISSION. - ratified title

   02/21/08  House  Introduced and read first time HJ-4
   02/21/08  House  Referred to Committee on Labor, Commerce and
                     Industry HJ-4
   02/21/08  House  Member(s) request name added as sponsor: Funderburk
   02/26/08  House  Member(s) request name added as sponsor: Loftis
   02/27/08  House  Member(s) request name added as sponsor:
                     Sandifer, Thompson, Owens, Harvin
   02/28/08  House  Committee report: Favorable with amendment Labor,
                     Commerce and Industry HJ-2
   02/29/08         Scrivener's error corrected
   03/05/08  House  Member(s) request name added as sponsor:
                     Bedingfield, Leach, Bales, Whipper, R.L.Brown
   03/05/08  House  Amended HJ-28
   03/05/08  House  Read second time HJ-30
   03/06/08  House  Read third time and sent to Senate HJ-21
   03/06/08  Senate Introduced and read first time
   03/06/08  Senate Referred to Committee on Judiciary
   03/17/08  Senate Referred to Subcommittee: Rankin (ch), Ford,
                     Scott, Campbell
   04/02/08  Senate Committee report: Favorable with amendment
                     Judiciary SJ-10
   04/03/08         Scrivener's error corrected
   04/10/08  Senate Committee Amendment Amended and Adopted SJ-38
   04/15/08         Scrivener's error corrected
   04/16/08  Senate Amended SJ-13
   04/16/08  Senate Read second time SJ-13
   04/17/08  Senate Read third time and returned to House with
                     amendments SJ-16
   04/17/08         Scrivener's error corrected
   04/24/08  House  Debate adjourned on Senate amendments until
                     Tuesday, April 29, 2008 HJ-91
   04/29/08  House  Debate adjourned on Senate amendments until
                     Wednesday, April 30, 2008 HJ-44
   04/30/08  House  Debate adjourned on Senate amendments until
                     Thursday, May 1, 2008 HJ-42
   05/01/08  House  Senate amendment amended HJ-133
   05/01/08  House  Returned to Senate with amendments HJ-137
   05/20/08  Senate Concurred in House amendment and enrolled SJ-19
   05/22/08         Ratified R 291
   05/27/08         Signed By Governor
   06/03/08         Copies available
   06/03/08         Effective date 05/27/08
   08/06/08         Act No. 405

(A405, R291, H4735)

A JOINT RESOLUTION TO CREATE THE SOUTH CAROLINA EDUCATIONAL BROADBAND SERVICE COMMISSION FOR THE PURPOSE OF OBTAINING AND EVALUATING PROPOSALS FROM COMMERCIAL ENTITIES FOR THE LEASING OF SPECTRUM CAPACITY LICENSED TO THE SOUTH CAROLINA EDUCATIONAL TELEVISION NETWORK, TO PROVIDE A PROCESS FOR APPROVAL OF THE LEASES, TO PROVIDE THAT REVENUE RECEIVED FROM THE LEASE OF SPECTRUM CAPACITY MUST BE DEPOSITED INTO THE STATE GENERAL FUND, TO EXEMPT THE LEASES FROM THE CONSOLIDATED PROCUREMENT CODE, AND TO PROVIDE FOR THE MEMBERSHIP, POWERS, AND DUTIES OF THE COMMISSION.

Whereas, access to computers and the internet is becoming increasingly important for full participation in America's economic, political, and social life; and

Whereas, changes to the 2500-2690 MHz band of spectrum licensed by the Federal Communications Commission for Educational Broadband Service and Broadband Radio Service will enable providers to use that spectrum in a more technologically and economically efficient manner, encourage licensees to digitize their frequencies thereby creating excess capacity on their spectrum, and allow licensees to lease up to ninety-five percent of their capacity to commercial entities; and

Whereas, the South Carolina Educational Television Network (ETV) holds Education Broadband Service licenses throughout the State of South Carolina; and

Whereas, Act 169 of 2007 provided that ETV could not lease its excess spectrum capacity prior to approval of the recommendations of the study committee by the General Assembly, which were submitted to the General Assembly on February 6, 2008. Now, therefore,

Be it enacted by the General Assembly of the State of South Carolina:

South Carolina Educational Broadband Service Commission created

SECTION    1.    (A)    There is created a commission to be known as the South Carolina Educational Broadband Service Commission. All appointees must have a background of substantial duration and expertise in business. The commission shall be composed of the following seven members:

(1)    one member of the private sector appointed by the President Pro Tempore of the Senate;

(2)    one member of the private sector appointed by the Speaker of the House of Representatives;

(3)    one member of the private sector appointed by the chairman of the Senate Finance Committee;

(4)    one member of the private sector appointed by the chairman of the House Ways and Means Committee;

(5)    one member of the private sector appointed by the chairman of the State Regulation of Public Utilities Review Committee;

(6)    one member of the private sector appointed by the vice chairman of the State Regulation of Public Utilities Review Committee; and

(7)    one member of the private sector appointed by the Governor.

(B)    The commission shall elect its chairman and vice chairman at the first meeting of the commission. The appointee of the President Pro Tempore of the Senate shall call an organizational meeting for the purpose of electing officers and other matters that may arise.

(C)    The commission must meet as soon as practicable after a majority of members have been appointed. A majority of members of the commission who have been appointed shall constitute a quorum for the transaction of business. A vacancy on the commission shall not impair the ability of a quorum to exercise and perform the powers and duties of the commission.

(D)    Commission members serve at the pleasure of the appointing authority. A vacancy in the membership of the commission must be filled in the manner of the original appointment. Commission membership does not constitute an office for purposes of the prohibition on dual office holding provided in Section 3, Article VI of the Constitution of the State. Commission members are subject to the provisions of the Ethics, Government Accountability, and Campaign Reform Act, Chapter 13 of Title 8.

(E)    Members serve without compensation but are allowed the usual per diem and mileage as provided by law for members of boards, commissions, and committees while on official business.

(F)    The commission has the following powers and duties:

(1)    The commission shall use a competitive process to obtain proposals from commercial entities for the leasing of the excess spectrum capacity of the Education Broadband Service (EBS) licenses held by the South Carolina Educational Television Network. The commission shall seek proposals that utilize the excess spectrum capacity of the EBS licenses in the following manner: (a) a single lease of ETV's excess spectrum capacity without any service requirements; (b) a single lease of ETV's excess spectrum capacity with service requirements as recommended by the commission; (c) multiple leases on a regional basis without any service requirements, such regions to be determined by the commission; (d) multiple leases on a regional basis with service requirements as recommended by the commission, such regions to be determined by the commission; and (e) other manners deemed appropriate by the commission. The commission also must consider whether to include any lease of tower space in the proposals in the lease of excess spectrum capacity. In determining any service requirements to impose on potential lessees, the commission must consider the costs and benefits, both monetary and societal, that would be borne by or inure to the public at large, as well as the public to be served. Because broadband service may be provided using a number of different technologies, each of which has unique characteristics and advantages, the commission, in developing its recommended service requirements, must consider the costs and benefits of all methods available to deploy broadband services throughout the State, including wireline, wireless technologies utilizing other bands of the spectrum, or satellite. The commission must not impose any pricing requirements on lessees and must take steps to ensure that the state's assets are not made available to a private broadband service provider to subsidize a private company's competitive service offerings. The competitive process used by the commission shall be governed exclusively by the procedures stated herein and procedures established by the commission.

(2)    The commission shall evaluate the proposals and present the proposals and its recommendations to the Joint Bond Review Committee. The Joint Bond Review Committee shall evaluate the proposals and the commission's recommendations to determine whether a proposal shall be approved. If the Joint Bond Review Committee determines that a proposal shall be approved, this determination shall be presented at the next meeting of the State Budget and Control Board for review and approval. If the State Budget and Control Board does not approve a proposal, it shall be returned to the Joint Bond Review Committee for further evaluation and recommendation. The South Carolina Educational Television Network must take actions necessary to facilitate the lease of the excess spectrum capacity of the EBS licenses in the manner set forth in an approved proposal and to ensure that ETV complies with any FCC rules or requirements. Revenue received by the State from an approved proposal must be deposited into the State General Fund for recommendation by the Governor and appropriation by the General Assembly.

(3)    The commission is exempt from the Consolidated Procurement Code and is authorized to engage legal counsel, consultants, or other experts to assist it in carrying out its powers and duties subject to the approval of the executive director of the State Budget and Control Board.

(G)    The commission shall use clerical and professional employees of the State Budget and Control Board. Upon request of the commission, the South Carolina Educational Television Network must make staff available to the commission.

(H)    The commission shall terminate six months after all agreements resulting from an approved proposal are finally executed or no later than June 30, 2010. Upon termination of the commission, the State Budget and Control Board shall assume responsibility for the management and administration of all agreements resulting from an approved proposal.

Time effective

SECTION    2.    This joint resolution takes effect upon approval by the Governor.

Ratified the 22nd day of May, 2008.

Approved the 27th day of May, 2008.