Bill Analysis — 2SSB 5383, Community & Economic Development Committee (Washington State House of Representatives)
Summary
Washington State House of Representatives Office of Program Research bill analysis of 2SSB 5383 for the Community & Economic Development Committee, with a hearing date of 3/17/21. The brief description says the bill authorizes public utility districts and port districts to provide retail telecommunications services in unserved areas under certain conditions, and the analysis assigns duties and reporting requirements to the State Broadband Office. Its background section covers existing retail telecommunications authority of public utility districts, including temporary authority of up to five months. It states Appropriation: None, Fiscal Note: Available, and an effective date 90 days after adjournment of the session.
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“Bill Analysis — 2SSB 5383, Community & Economic Development Committee (Washington State House of Representatives).”
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Washington State BILL
House of Representatives
Office of Program Research ANALYSIS
Community & Economic Development
Committee
2SSB 5383
Brief Description: Authorizing public utility districts and port districts to provide retail
telecommunications services in unserved areas under certain conditions.
Sponsors: Senate Committee on Ways & Means (originally sponsored by Senators Wellman,
Short, Hunt, King, Lovelett, Nguyen, Randall, Saldaña, Warnick, Wilson, C. and Wilson,
L.).
Brief Summary of Second Substitute Bill
• Allows public utility districts (PUD) and port districts to provide retail
telecommunications services to end users in unserved areas under certain
conditions.
• Assigns duties and reporting requirements to the State Broadband Office
related the provision of retail telecommunications services by PUDs and
port districts in unserved areas.
Hearing Date: 3/17/21
Staff: Cassie Jones (786-7303).
Background:
Public Utility Districts and Port Districts - Telecommunications.
A public utility district (PUD) and a port district in existence on June 8, 2000, may construct,
purchase, acquire, operate, and maintain telecommunications facilities within or without the
district limits for purposes of internal telecommunications needs and for the provision of
wholesale telecommunications services within the district. Public utility districts have limited
This analysis was prepared by non-partisan legislative staff for the use of legislative
members in their deliberations. This analysis is not part of the legislation nor does it
constitute a statement of legislative intent.
House Bill Analysis -1- 2SSB 5383
authority to provide retail telecommunications services. Port districts do not have that authority.
Public Utility Districts - Retail Telecommunications Services.
A PUD has limited authority to provide retail telecommunications services.
Temporary Authority. A PUD that provides wholesale telecommunications services but not
retail telecommunications service may provide retail telecommunications to the customers of an
Internet service provider (ISP) if the ISP:
• was operating on telecommunications facilities of the PUD; and
• has ceased to provide access to the Internet to its customers.
The PUD may only provide the retail telecommunications if there are no other willing retail
service providers. The PUD, within 30 days of the ISP ceasing to provide service, must initiate a
process to find a replacement ISP to resume providing access to the Internet using the
telecommunications facilities of the PUD. The PUD may provide the service for up to five
months after the PUD begins the replacement search or until a replacement ISP is in operation,
whichever is earlier.
Authority for Certain Public Utility Districts. A PUD that as of June 7, 2018, provides only
water, sewer, and wholesale telecommunications services in a county with an area less than 500
square miles and is located west of the Puget Sound may provide retail Internet service on the
PUD's broadband network located within the PUDs boundaries only when all of the existing
providers of end-user Internet service on the PUD's broadband network cease to provide end-user
service or inadequate end-user service. This authority expires five years after June 7, 2018.
State Broadband Office.
The purpose of the Governor's Statewide Broadband Office (Office) is to encourage, foster,
develop, and improve affordable, quality broadband within the state to promote innovation, serve
the growing needs of Washington's education, healthcare, and public safety systems, industries
and business, governmental operations, and citizens, and improve broadband accessibility for
unserved communities.
The Office's statutory speed goals are the following:
• by 2024, businesses and residences have access to minimum speeds of 25 megabits per
second (Mbps) download and 3 Mbps upload;
• by 2026, communities have access to at least 1 gigabit per second symmetrical service at
anchor institutions; and
• by 2028, businesses and residences have access to at least one provider with 150 Mbps
symmetrical service.
The Office is required to report biennially to the Legislature on the its activities. The reports
must include information and analysis on the current availability of broadband in the state and
average speeds, an overview of incumbent broadband infrastructure within the state, a summary
of the Office's activities coordinated with the Public Works Board, and suggested policies,
House Bill Analysis -2- 2SSB 5383
incentives, and legislation designed to achieve the state's broadband goals.
Summary of Second Substitute Bill:
Telecommunications Services - PUDs and Port Districts.
A PUD and a port district may provide retail telecommunications services to an end user in an
unserved area if the PUD or port district receives notice from the Office that an existing provider
has not submitted an objection and a broadband service plan relating to the same project area.
Public utility districts are authorized to provide wholesale telecommunications services to an
area currently served with electrical service in an adjoining county.
Prior to beginning a project to provide retail services, the PUD or port district must notify the
Office of its intent to provide such services and post notice of its intent on its public website.
The Office must post notices received from public utility districts or port districts on its public
website. Any existing provider of broadband services in the proposed project area may, within
30 days of the PUD or port district posting its intent, submit the following in writing to the
Office:
• a letter certifying that the project would result in overbuild; and
• a broadband service plan.
"Overbuild" means that the objecting service provider currently provides or has begun
construction to provide the service, or can demonstrate that it obligated resources toward the
completion of a feasibility study, before the PUD or port district provided notice of its intent, to
begin construction within six months in the proposed project area with speeds of at least 100
Mbps download and 20 Mbps upload.
A broadband service plan must demonstrate that the existing service provider currently provides
broadband service to end users within the unserved area at speeds equal to or greater than the
Office's speed goals and outline how the existing service provider intends to provide and sustain
broadband service to end users with speeds of at least 100 Mbps download and 20 Mbps upload
within six months. A broadband service plan is confidential and exempt from public disclosure
under the Public Records Act.
The Office may request additional information to authenticate an objection and must
communicate with the PUD or port district whether it received an objection to a proposed
project. Public utility districts and port districts may enter into mediation with service providers
if an objection is submitted. The Office is required to notify an affected PUD or port district if a
service provider does not fulfill its commitment (for reasons within its control) to provide
services within six months and authorize the PUD or port district to commence work. A service
provider that did not fulfill its commitment is prohibited from objecting to projects for the next
18 months.
A PUD or port district providing retail telecommunications services to an unserved area must
operate an open access network.
House Bill Analysis -3- 2SSB 5383
"Unserved area" means areas of Washington in which households and businesses lack access to
broadband service, as defined by the Office, except that the state's definition for broadband
service may not be actual speeds less than 25 Mbps download and 3 Mbps upload.
State Broadband Office.
By December 31, 2023, the Office must submit a report to the Governor and the Legislature
regarding the provision of retail telecommunications services to unserved areas by PUDs and
port districts. The report must contain: (1) the number of PUDs and ports that are providing
retail telecommunications services in unserved areas; (2) the number of and which existing
service providers submitted plans and objections; (3) the number of and which existing service
providers failed to fulfill their commitment to provider retail telecommunications services in
unserved areas; and (4) any recommendations to improve the provision of retail
telecommunications services in unserved areas.
Appropriation: None.
Fiscal Note: Available.
Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is
passed.
House Bill Analysis -4- 2SSB 5383
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