An Act To Eliminate the Broadband Sustainability Fee
Maine Legislature, Session 127, LD 0465
Committee: Energy, Utilities and Technology
Sponsors: HIGGINS, DAVIS, GINZLER, HANINGTON, MAKER, SAWICKI, SHERMAN, SKOLFIELD, TURNER
Amends: 35-A MRSA §9216

Legislative Document 
No. 465 
H.P. 304 
House of Representatives, February 24, 2015 
An Act To Eliminate the Broadband Sustainability Fee 
Reference to the Committee on Energy, Utilities and Technology suggested and ordered 
printed. 
ROBERT B. HUNT 
Clerk 
Presented by Representative HIGGINS of Dover-Foxcroft. 
Cosponsored by Senator DAVIS of Piscataquis and 
Representatives: GINZLER of Bridgton, HANINGTON of Lincoln, MAKER of Calais, 
McELWEE of Caribou, SAWICKI of Auburn, SHERMAN of Hodgdon, SKOLFIELD of 
Weld, TURNER of Burlington. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  35-A MRSA §9216, sub-§1, ¶¶A and C, as enacted by PL 2009, c. 612, 
§10, are amended to read: 
A.  "First assessment period" means the period: 
(1)  Commencing on the first day of the month following the date on which a 
dark fiber provider first sells, leases or otherwise provides one or more strands of 
federally supported dark fiber to an entity in this State; and 
(2)  Ending on the last day of the 60th month following the commencement under 
subparagraph (1) or 90 days after the adjournment of the First Regular Session of 
the 127th Legislature, whichever comes first. 
C.  "Second assessment period" means the period: 
(1)  Commencing on the first day of the month following the end of the first 
assessment period; and 
(2)  Ending on December 31, 2017 90 days after the adjournment of the First 
Regular Session of the 127th Legislature. 
Sec. 2.  35-A MRSA §9216, sub-§§2, 5 and 6, as enacted by PL 2009, c. 612, 
§10, are amended to read: 
2.  Broadband sustainability fee.  An Until 90 days after the adjournment of the 
otherwise obtains federally supported dark fiber from a dark fiber provider is subject to 
the following broadband sustainability fees: 
A.  During the first assessment period, a monthly fee equal to $3 multiplied by the 
number of miles of federally supported dark fiber strand purchased, leased or used by 
the entity during the month; and 
B.  During the 2nd assessment period, a monthly fee equal to $2 multiplied by the 
number of miles of federally supported dark fiber strand purchased, leased or used by 
the entity during the month. 
5.  Broadband sustainability fund.  The authority shall establish a broadband 
sustainability fund, separate and distinct from any other funds held or maintained by the 
authority, for use in accordance with subsection 6.  The fund is nonlapsing and all interest 
on funds in the fund remains in the fund for use in accordance with subsection 6.  The 
authority may contract with an appropriate independent fiscal agent that is not a state 
entity to serve as the administrator of the fund.  All funds deposited in the broadband 
sustainability fund are deemed to be encumbered for purposes of subsection 6 at the time 
the funds are deposited in the fund. 
6.  Use of the broadband sustainability fund.  The authority shall provide 
incumbent local exchange carriers a right of first refusal to access use funds in the 
broadband sustainability fund established pursuant to subsection 5 in accordance with this 
subsection to support municipal governments in developing plans to promote broadband 
service in unserved or underserved areas. 
A.  The authority shall allocate funds in the broadband sustainability fund established 
pursuant to subsection 5 to each incumbent local exchange carrier in accordance with 
this paragraph.  Each month, the authority shall allocate to each incumbent local 
exchange carrier an amount equal to the total amount deposited that month into the 
broadband sustainability fund multiplied by a fraction, the denominator of which is 
the total number of miles of federally supported dark fiber leased, sold or used in this 
State during the previous month and the numerator of which is the total number of 
miles of federally supported dark fiber leased, sold or used in that incumbent local 
exchange carrier's service territory during the previous month.  Any accumulated 
interest in the fund must be allocated proportionally.  Only those amounts allocated to 
an incumbent local exchange carrier under this paragraph are available for 
disbursement to that carrier pursuant to paragraph B.  By December 31st of each 
calendar year, the authority shall make an accounting of the total funds allocated 
during that calendar year to each incumbent local exchange carrier under this 
paragraph, and if by December 31st of the following calendar year some or all of 
those funds allocated to a carrier are not disbursed to that carrier in accordance with 
paragraph B, the authority shall transfer those unspent funds to the ConnectME Fund 
established under section 9211 for use in accordance with that section.  Funds 
transferred to the ConnectME Fund under this paragraph cease to be available to any 
incumbent local exchange carrier pursuant to the provisions of this section. 
B.  To receive a disbursement from the broadband sustainability fund established 
pursuant to subsection 5, an incumbent local exchange carrier must file with the 
authority a request for funds together with a certification indicating that the funds 
requested will be used to deploy broadband infrastructure in unserved areas within 
the carrier's service territory.  The certification must include the projected cost for the 
project and the scope of work, which must indicate how the funds will be spent.  
Upon receipt of a request for funds accompanied by the required certification, the 
authority shall disburse the requested amount to the incumbent local exchange carrier 
up to an amount not to exceed the total amount allocated under paragraph A to the 
requesting carrier. 
C.  An incumbent local exchange carrier may not expend funds received under 
paragraph B in a manner inconsistent with the certification provided by the carrier 
under paragraph B.  The authority may audit the use by an incumbent local exchange 
carrier of funds disbursed in accordance with paragraph B. 
D.  On the last day of the 12th month following the end of the 2nd assessment period, 
the authority shall transfer all funds remaining in the broadband sustainability fund 
established pursuant to subsection 5 to the ConnectME Fund established under 
section 9211 for use in accordance with that section.  Funds transferred to the 
ConnectME Fund pursuant to this paragraph cease to be available to any incumbent 
local exchange carrier pursuant to the provisions of this section. 
SUMMARY 
This bill terminates the broadband sustainability fee and requires that all funds in the 
broadband sustainability fund be used to support municipal governments in developing 
plans to promote broadband service in unserved or underserved areas.