278.5464 Provision of broadband service to unserved and underserved
547 words·~2 min read·
/ky/278-5464A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
households and businesses -- Facilitation by distribution cooperative.
(1)The General Assembly recognizes and declares:
(a)The provision of broadband service to residential, commercial, and
industrial customers is critical to securing a sound economy and
promoting the general welfare of the Commonwealth; and
(b)Distribution cooperatives are able to access and leverage federal funding
to extend and enhance the availability of broadband service to Kentucky
residents who are currently unserved or underserved.
(2)As used in this section:
(a)"Underserved area" has the same meaning as in KRS 224A.011; and
(b)"Unserved area" has the same meaning as in KRS 224A.011.
(3)Notwithstanding any other statute to the contrary, a distribution cooperative
may facilitate the operation of an affiliate engaged exclusively in the provision
of broadband service to unserved or underserved households and businesses
by:
(a)Constructing and leasing excess capacity on any fiber optic cable for
broadband service which shall not require a certificate of public
convenience and necessity under KRS 278.020; however, the
construction of fiber optic cable used to support the distribution
cooperative's electric distribution system shall require a certificate of
public convenience and necessity under KRS 278.020;
(b)Issuing securities or evidences of indebtedness in an amount not to
exceed twenty-five percent (25%) of the net book value of its assets, the
proceeds of which shall be used for the exclusive purpose of capitalizing
the affiliate; or
(c)Pledging up to twenty-five percent (25%) of the net book value of its
assets as collateral for a loan entered into by the affiliate for the purpose
of providing broadband services.
(4)A distribution cooperative shall comply with the cost allocation requirements of:
(a)KRS 278.2201, 278.2203, 278.2205, 278.2207, 278.2209, and 278.2211;
and
(b)Only KRS 278.2213(1) and
(3)with regard to any costs associated with
its facilitation of an affiliate's provision of broadband services.
(5)The commission shall promulgate administrative regulations regarding pole
attachments under the commission's jurisdiction, including those necessary for
the provision of broadband service.
(6)Before broadband services may be offered under this section, a distribution
cooperative shall, by resolution of the board of directors and spread upon its
minutes, have an economic feasibility study conducted. The feasibility study
shall be provided to the commission and made available to distribution
cooperative members upon request.
(7)A distribution cooperative shall not allow the installation or operation of a
broadband system on its electric delivery system by an affiliate or other
broadband operator to diminish the reliability of the electric delivery system.
(8)A distribution cooperative shall not require any person to purchase broadband
services from an affiliate or other broadband operator as a condition of
receiving or continuing to receive electric energy from the distribution
cooperative.
(9)A distribution cooperative shall not disconnect or threaten to disconnect its
electric service to any customer due to the customer's failure to pay for
broadband services provided to the customer by an affiliate or other broadband
operator.
(10)Every distribution cooperative shall conduct an annual audit of compliance with
this section, which shall be provided to the commission and made available to
distribution cooperative members upon request.
(11)The commission shall have no jurisdiction over the creation or operation of an
distribution cooperative's broadband affiliate, except as referred to in
subsection
(4)of this section.