2023 California Code › Government Code - GOV › TITLE 2 - GOVERNMENT OF THE STATE OF CALIFORNIA › DIVISION 3 - EXECUTIVE DEPARTMENT › PART 1 - STATE DEPARTMENTS AND AGENCIES › CHAPTER 5.8 - Office of Broadband and Digital Literacy › Section 11549.59.

11549.59. (a) The State Middle-Mile Broadband Enterprise Fund is hereby established within the State Treasury. Moneys in the fund shall be subject to this chapter.
(b) All internet services providers, governmental entities, and other users of the statewide open-access middle-mile broadband network shall pay to the department, or its designee, fees for connection to the statewide open-access middle-mile broadband network pursuant to any contract for the maintenance, operation, repair, and expansion of the statewide open-access middle-mile broadband network. All fees received by the department, or its designee, pursuant to the terms of the contract shall be deposited into the State Middle-Mile Broadband Enterprise Fund.
(c) All revenues payable to the department for activities undertaken by the department for the maintenance, operation, repair, and expansion of the statewide open-access middle-mile broadband network pursuant to this chapter shall be deposited into the fund.
(d) (1) Notwithstanding Section 13340, until July 1, 2027, funds deposited and maintained under this section are continuously appropriated, without regard to fiscal years, to the department for the maintenance, operation, repair, and expansion of the statewide open-access middle-mile broadband network pursuant to this chapter, and shall not be used for any other purpose.
(2) On or after July 1, 2027, moneys in the fund are available for expenditure, upon appropriation by the Legislature, for the maintenance, operation, repair, and expansion of the statewide open-access middle-mile broadband network pursuant to this chapter.
(e) (1) Obligations authorized and expenses incurred by the department for the maintenance, operation, repair, and expansion of the statewide open-access middle-mile broadband network pursuant to this chapter shall be payable from the fund or any other money lawfully available to the department for these purposes.
(2) The department shall recover all of the costs it incurs for maintaining, operating, repairing, and expanding the statewide open-access middle-mile broadband network pursuant to this chapter from the fund established pursuant to this section or any other money lawfully available to the department for these purposes.
(f) The fund shall be separate and distinct from any other fund and moneys administered by the department and any interest earned on the moneys in the fund shall be used solely for purposes of maintaining, operating, repairing, and expanding the statewide open-access middle-mile broadband network pursuant to this chapter.
(g) When fixed assets and leasehold interests procured under the authority of this chapter are sold or otherwise disposed of, the revenue from the sale or disposition, including any gain or loss, measured by the difference between book value and selling price, shall be deposited into the fund and available to the department for the purposes of maintaining, operating, repairing, and expanding the statewide open-access middle-mile broadband network. Any remaining revenue from the sale or other disposition of fixed assets procured under the authority of this chapter shall be returned to the General Fund once all obligations of the department are satisfied after the closure of the fund. While any obligation of the department incurred under this chapter remains outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department shall not be diminished or impaired in any manner that will adversely affect the interests and rights of the holders of or parties to those obligations.
(Added by Stats. 2023, Ch. 45, Sec. 18. (AB 127) Effective July 10, 2023.)